Document:

Exhibit 10.21

 

Execution version

 

 

 

 

 

Charge
over Accounts

 

APTORUM
GROUP LIMITED

 

as
Chargor

 

and

 

PEACE
RANGE LIMITED

 

as
Chargee

 

 

 

 

 

 

 

_________________
2018

 

     

     

    

 

CONTENTS

 

	CLAUSE 	PAGE
	1.	Definitions
and Interpretation	3
	2.	Covenant to Pay	7
	3.	Charging Clause	7
	4.	Further Assurance	8
	5.	Representations and Warranties	9
	6.	Undertakings – General	10
	7.	cONTROL
    Account	11
	8.	Enforcement and powers
of the chargee	15
	9.	Attorney	16
	10.	Extension and Variation
of Statutory Powers	16
	11.	Status, Powers, Removal
and Remuneration of Receiver	17
	12.	Application of Enforcement
proceeds	19
	13.	Protection of Security	20
	14.	Protection of third parties	23
	15.	Protection of Secured Parties	23
	16.	Delegation	25
	17.	Costs and Expenses	25
	18.	Set-off	26
	19.	Notices	26
	20.	Changes to Parties	26
	21.	CURRENCY	27
	22.	Miscellaneous	27
	23.	Governing Law	28
	24.	ENFORCEMENT	28
	25.	Waiver of immunities	28
	schedule 1	29
	Control Account	29
	schedule 2	30
	Form of notice to Account Banks	30

 

     

     

    

 

THIS
DEED is made on ___________________ 2018

 

BETWEEN:

 

	(1)	APTORUM
    GROUP LIMITED, a Cayman Islands exempt company with company number 245310 and with Hong Kong business registration no.
    F0023235 and whose registered office is at c/o Campbells Corporate Services Limited, Floor 4, Willow House, Cricket Square,
    Grand Cayman KY1-9010, Cayman Islands (the “Chargor”); and

 

	(2)	PEACE
    RANGE LIMITED a limited liability company incorporated in the British Virgin Islands with company number 1839278 and whose
    registered address is at [ ] (the
    “Chargee” which expression shall include any person from time to time appointed as a successor, replacement
    or additional trustee in relation to the interests created by this deed).

 

RECITALS:

 

	(A)	The
    Chargor has issued or will issue the Bonds.

 

	(B)	The
    Chargor and Chargee are entering into this deed in connection with the Bonds.

 

THE
PARTIES AGREE AS FOLLOWS:

 

	1.	Definitions
    and Interpretation

 

	1.1	Definitions

 

In
this deed:

 

“Account
Bank” means MUFG Bank, Ltd., Hong Kong Branch;

 

“Bonds”
means the US$15,000,000 aggregate principal amount of 8.00 per cent. convertible bonds due 2019 issued or to be issued by
the Chargor pursuant to the Subscription Agreement, which term shall include, unless the context requires otherwise, any further
bonds issued in accordance with Condition 16 (Further Issues) of the Conditions and consolidated and forming a single series therewith;

 

“Business
Days” has the meaning given to that term in the Conditions;

 

“Charged
Property” means the assets mortgaged, charged or assigned to the Chargee pursuant to clause 3 (Charging Clause) of this
deed;

 

“Companies
Ordinance” means the Companies Ordinance (Cap. 622) of the Laws of Hong Kong;

 

“Conditions”
has the meaning given to that term in the Bonds;

 

“Control
Account” means the bank account(s) listed in schedule 1 (Control Account) and any replacement account or any sub-division
or sub-account of those accounts;

 

“Conversion
Right” has the meaning given to that term in the Conditions;

 

“Conversion
Upon QIPO” has the meaning given to that term in the Conditions;

 

“CPO”
means the Conveyancing and Property Ordinance (Cap. 219) of the Laws of Hong Kong;

 

“Debt
Service Reserve” has the meaning given to that term in the Conditions;

 

    3

     

    

 

“Delegate”
means any delegate, agent, attorney or co-trustee appointed by the Chargee;

 

“Deposit”
means all monies in any currency together with all interest and other sums accruing thereon from time to time standing to
the credit of the Control Account and all rights of the Chargor in relation to the Control Account;

 

“Early
Redemption Date” has the meaning given to that term in the Conditions;

 

“Events
of Default” has the meaning given to that term in the Conditions;

 

“Extended
Maturity Date” has the meaning given to that term in the Conditions;

 

“Floating
Charge Asset” means an asset charged under clause 3.43.3 (Floating Charge);

 

“Guarantor”
means JURCHEN INVESTMENT CORPORATION, a limited liability company incorporated in the British Virgin Islands whose registered
office is at c/o Vistra Corporate Services Centre, Wickhams Cay II, Road Town, Tortola, British Virgin Islands with company number
511328;

 

“Hong
Kong” means the Hong Kong Special Administrative Region of the People’s Republic of China;

 

“Insolvency
Proceedings” means, in relation to the Chargor, any corporate action, legal proceedings or other procedure or step referred
to in Conditions 11(vi)(Security Enforced), 11(vii)(Winding-up) or 11(viii)(Insolvency) of the Conditions;

 

“Interest
Period” has the meaning given to that term in the Conditions;

 

“Issuer’s
Redemption Price” has the meaning given to that term in the Conditions;

 

“Maturity
Date” has the meaning given to that term in the Conditions;

 

“Notice
of Potential Event of Default” has the meaning given to that term in the Conditions;

 

“Optional
Redemption” means the redemption of any Outstanding Bonds by the Chargor in accordance with Condition 9(b) of the Conditions;

 

“Outstanding”
has the meaning given to that term in the Conditions;

 

“Receiver”
means a receiver or receiver and manager or administrative receiver in each case appointed under this deed;

 

“Related
Rights” means, in relation to any asset:

 

	 	(a)	any
    monies and proceeds paid or payable in relation to that asset; and

 

	 	(b)	the
    benefit of all other rights, powers, claims, consents, contracts, warranties, security, guarantees, indemnities or covenants
    for title in respect of that asset;

 

“Release
Conditions” has the meaning given to that term in in the Conditions;

 

“Relevant
Event Put Date” has the meaning given to that term in the Conditions;

 

“Scheduled
Maturity Date” has the meaning given to that term in the Conditions;

 

“Secured
Obligations” means all present and future obligations and liabilities (whether actual or contingent and whether owed
jointly or severally or in any other capacity whatsoever) of the Transaction Obligors to the Secured Parties under the Bonds and
the Transaction Documents;

 

    4

     

    

 

“Secured
Parties” means the Chargee, any Bondholder and any Receiver or Delegate;

 

“Security”
means a mortgage, charge, pledge, lien or other security interest securing any obligation of any person or any other agreement
or arrangement having a similar effect;

 

“Subscription
Agreement” means the subscription agreement dated 6 April 2018 between Aptorum Group Limited, JURCHEN INVESTMENT CORPORATION
and Peace Range Limited (as amended, supplemented or restated from time to time);

 

“Tax”
means any tax, levy, impost, duty or other charge or withholding of a similar nature (including any penalty or interest payable
in connection with any failure to pay or any delay in paying any of the same);

 

“Transaction
Documents” has the meaning given to that term in the Conditions; and

 

“Transaction
Obligors” means the Chargor and the Guarantor.

 

	1.2	Construction

 

	 	(a)	In
    this deed, unless a contrary intention appears, a reference to:

 

	 	(i)	words
    and expressions defined in the Conditions have the same meanings when used in this deed unless otherwise defined in this deed;

 

	 	(ii)	an
    “agreement” includes any legally binding arrangement, concession, contract, deed or franchise (in each case
    whether oral or written);

 

	 	(iii)	an
    “amendment” includes any amendment, supplement, variation, novation, modification, replacement or restatement
    and “amend”, “amending” and “amended” shall be construed accordingly;

 

	 	(iv)	“assets”
    includes present and future properties, revenues and rights of every description;

 

	 	(v)	an
    “assignment” includes a novation, transfer and reassignment and retransfer and “assign”,
    “assigning” and “assigned” shall be construed accordingly;

 

	 	(vi)	a
    “consent” includes an authorisation, approval, exemption, licence, order, permission or waiver;

 

	 	(vii)	the
    “Chargee”, the “Chargor”, any “Secured Party”, any “Transaction Obligor”
    or any other person shall be construed so as to include its successors in title, permitted assignees and transferees;

 

	 	(viii)	a
    “Bond” or a “Transaction Document” or any other agreement or instrument is a reference to
    that agreement or instrument as amended, novated, supplemented, extended, restated or replaced;

 

	 	(ix)	“including”
    means including without limitation and “includes” and “included” shall be construed
    accordingly;

 

	 	(x)	“losses”
    includes losses, actions, damages, claims, proceedings, costs, demands, expenses (including fees) and liabilities and
    “loss” shall be construed accordingly;

 

    5

     

    

 

	 	(xi)	a
    “person” includes any person, firm, company, corporation, government, state or agency of a state or any association,
    trust or partnership (whether or not having separate legal personality) or any two or more of the foregoing;

 

	 	(xii)	a
    “regulation” includes any regulation, rule, official directive, request or guideline (whether or not having
    the force of law) of any governmental, intergovernmental or supranational body, agency, department or regulatory, self-regulatory
    or other authority or organisation;

 

	 	(xiii)	a
    provision of law is a reference to that provision as amended or re-enacted;

 

	 	(xiv)	any
    clause or schedule is a reference to, respectively, a clause of and schedule to this deed and any reference to this deed includes
    its schedules; and

 

	 	(b)	The
    parties intend that this document shall take effect as a deed, notwithstanding the fact that a party may only execute it under
    hand;

 

	 	(c)	The
    index to and the headings in this deed are inserted for convenience only and are to be ignored in construing this deed;

 

	 	(d)	Words
    importing the plural shall include the singular and vice versa;

 

	 	(e)	Unless
    the context otherwise requires, a reference to a Charged Property includes:

 

	 	(i)	any
    part of that Charged Property; and

 

	 	(ii)	the
    proceeds of sale of that Charged Property;

 

	 	(f)	“$”,
    “US$”, “US dollar” and “US dollars”, denote lawful currency of the United
    States of America; and

 

	 	(g)	To
    the fullest extent permitted by law and unless a contrary indication applies, the following provisions of the CPO shall apply
    to this deed:

 

	 	(i)	section
    15 (Construction of words and expressions), as if this deed was an instrument affecting land (as that expression appears in
    the CPO);

 

	 	(ii)	section
    35(1) (Implied covenants) and Part V of the First Schedule as if:

 

	 	(A)	this
    deed was a legal charge (as that expression appears in the CPO);

 

	 	(B)	the
    expression “charge” in section 35(1)(e) was construed as “mortgage, charge, assign or otherwise grant a security
    interest”; and

 

	 	(C)	references
    in Part V of the First Schedule to the “borrower” were construed as references to the Chargor, to the “lender”
    were construed as references to the Chargee and to “land” were construed as references to anything in action, and
    any interest in real or personal property;

 

	 	(iii)	section
    50 (Power to appoint receiver), as if:

 

	 	(A)	this
    deed was a legal charge, equitable mortgage and/or mortgage deed (as those expressions appear in the CPO); and

 

    6

     

    

 

	 	(B)	references
    in section 50 to “land” were construed as references to anything in action, and any interest in real or personal
    property; and

 

	 	(iv)	section
    51 (Powers of mortgagee and receiver) and the Fourth Schedule as if:

 

	 	(A)	this
    deed was a legal charge, equitable mortgage and/or mortgage deed (as those expressions appear in the CPO); and

 

	 	(B)	references
    in the Fourth Schedule to “land” were construed as references to anything in action, and any interest in real or
    personal property

 

	1.3	Third
    party rights

 

	 	(a)	Any
    Receiver or Delegate will have the right to enforce the provisions of this deed which are given in its favour in accordance
    with the Contracts (Rights of Third Parties) Ordinance (Cap. 623) of the Laws of Hong Kong (the “Third Parties Ordinance”).

 

	 	(b)	Subject
    to clause 1.3(a) and unless expressly provided to the contrary in a Bond or Transaction Document, a person who is not a party
    to this deed has no right under the Third Parties Ordinance to enforce or enjoy the benefit of any term of this deed.

 

	 	(c)	Notwithstanding
    any term of a Bond or Transaction Document, the consent of any person who is not a party (including any Receiver or Delegate)
    is not required to rescind or vary this deed at any time.

 

	2.	Covenant
    to Pay

 

The
Chargor as primary obligor covenants with the Chargee that it will on demand pay the Secured Obligations when they fall due for
payment in the manner provided for in the Bonds and the Transaction Documents.

 

	3.	Charging
    Clause

 

	3.1	Fixed
    Charges

 

The
Chargor, as legal and beneficial owner and as security for the payment and discharge of the Secured Obligations, charges in favour
of the Chargee by way of first fixed charge, all its present and future rights, title and interest in or to the Control Account,
the Deposit and all Related Rights.

 

	3.2	Fixed
    Security

 

Clause
3.1 (Fixed Charges) shall be construed as creating a separate and distinct mortgage or fixed charge over each relevant asset within
any particular class of assets specified in this deed. Any failure to create effective fixed security (for whatever reason) over
any such asset under clause 3.1 (Fixed Charges) shall not affect the fixed nature of the security on any other asset specified
in this deed, whether within the same class of assets or not.

 

	3.3	Floating
    Charge

 

As
further security for the payment and discharge of the Secured Obligations, the Chargor charges, as legal and beneficial owner,
in favour of the Chargee by way of first floating charge, all its present and future rights, title and interest in or to the Control
Account, the Deposit and all Related Rights to the extent not effectively charged by way of fixed charge under clause 3.1 (Fixed
Charges).

 

    7

     

    

 

	3.4	Conversion
    of Floating Charge

 

If:

 

	 	(a)	an
    Event of Default has occurred;

 

	 	(b)	the
    Chargee is reasonably of the view that any legal process or execution is being enforced against any Floating Charge Asset
    or that any Floating Charge Asset is in danger of being seized or sold under any form of distress, attachment, execution or
    other legal process or otherwise in jeopardy;

 

	 	(c)	the
    Chargor fails to comply or takes or threatens to take any action which in the reasonable opinion of the Chargee is likely
    to result in it failing to comply with its obligations under clause 6.2 (Negative Pledge) or clause 6.3 (Disposal Restrictions);
    or

 

	 	(d)	the
    Chargee reasonably considers that it is necessary to protect the priority of the security, 

 

the
Chargee may, by written notice to the Chargor, convert the floating charge created under this deed into a fixed charge as regards
those assets which it specifies in the notice.

 

	3.5	Automatic
    Conversion of Floating Charge

 

If:

 

	 	(a)	the
    Chargor creates (or purports to create) any Security in breach of clause 6.2 (Negative Pledge) over any Floating Charge Asset;

 

	 	(b)	any
    person levies or attempts to levy any distress, attachment, execution or other legal process against any Floating Charge Asset;
    or

 

	 	(c)	an
Insolvency Proceeding in respect of the Chargor is commenced or has occurred,

 

the
floating charge created under this deed over the relevant Floating Charge Asset will automatically and immediately be converted
into a fixed charge.

 

	4.	Further
    Assurance

 

	 	(a)	In
    addition and without prejudice to the covenant in paragraph 5 of Part V of the First Schedule to the CPO (as varied pursuant
    to this deed), the Chargor will, promptly following request by the Chargee, do all such acts and/or execute all such documents
    (including assignments, transfers, mortgages, charges, notices and instructions) as is necessary:

 

	 	(i)	to
    perfect the Security created or intended to be created under or evidenced by this deed (which may include the execution of
    a mortgage, charge, assignment or other Security over all or any of the assets which are, or are intended to be, the subject
    of this deed) or for the exercise of any rights, powers and remedies of the Chargee or any Receiver provided by or pursuant
    to the Bonds or Transaction Documents or by law; and/or

 

	 	(ii)	to
    facilitate the realisation of the assets which are, or are intended to be, the subject of the Security created by this deed.

 

	 	(b)	The
    Chargor shall take all such action (including making all filings and registrations) as may reasonably be necessary for the
    purpose of the creation, perfection, protection or maintenance of any Security conferred or intended to be conferred on the
    Chargee by or pursuant to this deed.

 

    8

     

    

 

	4.2	Hong
    Kong Registration

 

The
Chargor shall ensure that details of the Security created by this deed are duly registered with the Companies Registry in Hong
Kong forthwith upon execution of this deed and in any event within one month of the date of this deed and to provide a certified
copy of the certificate of registration of charge upon receipt of such certificate and in any event within one month of the date
of this deed.

 

	4.3	Cayman
    Register of Charges

 

The
Chargor shall, as soon as reasonably practicable after execution of this deed, and in any event within 5 Business Days of the
date of this deed, create and maintain a register of mortgages and charges (the “Register of Charges”) for the
Chargor (to the extent this has not already been done in accordance with section 52 of the Cayman Act) and instruct its registered
agent to enter particulars of the security created pursuant to this deed in the Register of Charges as required by section 54
of the Cayman Act and provide a certified copy of the Register of Charges to the Chargee within 10 Business Days after the date
of this Deed.

 

	5.	Representations
    and Warranties

 

	5.1	Matters
    Represented

 

The
Chargor represents and warrants to the Chargee as set out this clause 5 (Representations and Warranties) on the date of this deed
and on each day the Secured Obligations remains outstanding with reference to the facts and circumstances then existing.

 

	5.2	General
    representations and warranties

 

The
Chargor represents and warrants to the Chargee with respect to itself in the terms as set out in clause 3 (Representations and
Warranties of the Issuer and Guarantor) of the Subscription Agreement, the provisions of which are incorporated herein mutatis
mutandis as if set out herein as if references therein to “the Guarantor” or the “Issuer” were a referent
to the Chargor, and references therein to “the Transaction Documents” or “a Transaction Document” were a referent
to the Bonds or Transaction Documents or a Transaction Document.

 

	5.3	Governing
    Law and Enforcement

 

	 	(a)	The
    choice of governing law of this deed will be recognised and enforced in its jurisdiction of incorporation; and

 

	 	(b)	Any
    judgment obtained in relation to this deed in the jurisdiction of the governing law of this deed will be recognised and enforced
    in its jurisdiction of incorporation.

 

	5.4	Insolvency

 

	 	(a)	No
    Insolvency Proceedings has been taken or, to the knowledge of the Chargor, threatened in relation to it.

 

	 	(b)	No
    distress, attachment, execution or other legal decision is levied, enforced or sued out on or against substantially all of
    the property, assets or revenues (as applicable) of the Chargor having an aggregate value of at least US$400,000 and is not
    discharged or stayed within 30 days of having been so levied, enforced or sued out on.

 

    9

     

    

 

	5.5	No
    Filing or Stamp Taxes

 

It
is not necessary that this deed be filed, recorded or enrolled with any court or other authority or that any stamp, registration,
notarial or similar taxes or fees be paid on or in relation to this deed or the transactions contemplated by this deed except
for registration of this deed with the Hong Kong Companies Registry and payment of associated fees, which registration and fees
will be made and paid promptly after the date of this deed.

 

	5.6	Deduction
    of Tax 

 

It
is not required to make any deduction for or on account of Tax from any payment it may make under this deed.

 

	5.7	Ranking

 

The
Security under this deed has the ranking in priority which it is expressed to have in and is not subject to any prior ranking
or pari passu ranking Security.

 

	5.8	Non-Hong
    Kong Company

 

It
is registered as a Non-Hong Kong Company under (and as defined in) Part 16 of the Companies Ordinance.

 

	5.9	Control
    Account

 

	 	(a)	It
    has full power to establish and maintain the Control Account and the Deposit;

 

	 	(b)	it
    is the legal and beneficial owner of the Charged Property;

 

	 	(c)	except
    as expressly permitted under the Bonds, it has not assigned, transferred or otherwise disposed the Charged Property (or its
    rights, title and interest to or in the Charged Property), either in whole or in part, nor agreed to do so; and

 

	 	(d)	other
    than the Security created under this deed, no Security exists on or over all or any party of the Charged Property.

 

	6.	Undertakings
    – General

 

	6.1	Duration
    of Undertakings

 

All
of the undertakings given by the Chargor to the Chargee in this deed are given from the date of this deed and for so long as any
Security constituted by this deed remains in force.

 

	6.2	Negative
    Pledge

 

The
Chargor will not create or agree to create or permit to subsist any Security over all or any part of the Charged Property, except
as expressly permitted under the Bonds or the Transaction Documents or with the prior written consent of the Chargee.

 

	6.3	Disposal
    Restrictions

 

The
Chargor will not enter into a single transaction or a series of transactions (whether related or not) and whether voluntary or
involuntary to sell, lease, transfer, declare a trust over or otherwise dispose of all or any part of the Charged Property, except
as expressly permitted under the Bonds or the Transaction Documents or with the prior written consent of the Chargee.

 

    10

     

    

 

	6.4	Preservation
    of Charged Property

 

	 	(a)	The
    Chargor will observe and perform all covenants and stipulations under the Bonds and the Transaction Documents from time to
    time affecting the Charged Property, make all payments, carry out all registrations or renewals and generally take all steps
    which are necessary to preserve, maintain and renew when necessary; and

 

	 	(b)	the
    Chargor will not vary any contract or other document relevant to its interest in any Charged Property where such variation
    would have a material adverse effect on the value of the relevant Charged Property or the rights of the Secured Parties under
    the Bonds or the Transaction Documents.

 

	6.5	Documents
    relating to Charged Property

 

	 	(a)	Without
    prejudice to any specific requirements in this deed for the delivery of documents, the Chargor will promptly deliver to the
    Chargee all relevant documents relating to the Charged Property which the Chargee reasonably requires.

 

	 	(b)	The
    Chargee may retain any document delivered to it under this deed for so long as any Security constituted by this deed remains
    in force and, if for any reason it returns any document to the Chargor (or its nominee) before that time, it may by notice
    to the Chargor require that the relevant document be redelivered to it and the Chargor shall promptly comply (or procure compliance)
    with that notice.

 

	6.6	Information

 

The
Chargor shall provide to the Chargee, promptly on request, such information regarding the Control Account as the Chargee may reasonably
request.

 

	6.7	Power
    to Remedy

 

If
the Chargor fails to comply with any undertaking given in this deed and that failure is not remedied to the reasonable satisfaction
of the Chargee within 30 days of the Chargor becoming aware of such breach or after written notice of such failure to comply has
been given to the Chargor by the Chargee notifying the Chargor that remedy is required, it will allow (and irrevocably authorises)
the Chargee, or any Delegate, to take any action on behalf of the Chargor which is necessary to ensure that those undertakings
are complied with.

 

	7.	cONTROL
    Account

 

	7.1	Control
    Account

 

	 	(a)	The
    Chargor must establish on or prior to the date of this deed and thereafter maintain the Control Account with the Account Bank.

 

	 	(b)	Prior
    to security becoming enforceable under this deed in accordance with clauses 8.1(a)(i) or 8.1(a)(ii) (Exercise of Enforcement
    Powers) or (in each case) prior to the Maturity Date, the Early Redemption Date, the Relevant Event Put Date or any other
    date on which the principal, interest or premium on the Bonds are payable by the Chargor pursuant to the Conditions, the Chargor
    and the Chargee shall have joint signing rights in relation to the Control Account provided that the prior written consent
    of the Chargee is required for the withdrawal or transfer of any funds from the Control Account permitted in accordance with
    the Bonds or Transaction Documents.

 

    11

     

    

 

	 	(c)	Upon
    security becoming enforceable under this deed in accordance with clauses 8.1(a)(i) or 8.1(a)(ii) (Exercise of Enforcement
    Powers) or (in each case) on or after the Maturity Date, the Early Redemption Date, the Relevant Event Put Date or any other
    date on which the principal, interest or premium on the Bonds are payable by the Chargor pursuant to the Conditions, the Chargee
    shall have sole signing rights in relation to the Control Account and may by delivering an enforcement notice notify the Account
    Bank that the Chargor no longer has any signing rights in relation to the Control Account and that the Chargee shall have
    the sole right and authority to instruct the Account Bank to withdraw, release or transfer funds from the Control Account.

 

	7.2	Deposits
    and Withdrawals

 

	 	(a)	The
    Chargor must ensure, on the Issue Date (subject to the Chargee subscribing and paying for the Bonds in accordance with the
    terms of the Subscription Agreement) that:

 

	 	(i)	the
    entire Principal Amount of the Bonds; and

 

	 	(ii)	an
amount in US dollars equal to the aggregate amount of interest due and payable for two consecutive Interest Periods commencing
from, and including, the Issue Date,

 

shall be
deposited in the Control Account.

 

	 	(b)	Subject
    to paragraphs (c), (e) and (f) of clause 7.2 (Deposits and withdrawals) below, for the purposes of the following:

 

	 	(i)	the
    release of the Debt Service Reserve from the Control Account to the Bondholders in an amount sufficient to satisfy the Chargor’s
    obligations to pay the principal, interest and premium in accordance with the Conditions; and/or

 

	 	(ii)	following
the occurrence of a QIPO and any Bond being converted into Shares on a Conversion Upon QIPO or exercise of a Conversion Right
in accordance with the Conditions, the release of the Debt Service Reserve from the Control Account in an amount pro rata to
the principal amount of the Bond or Bonds being converted,

 

the
Chargor may request the release from the Control Account, subject to the prior written consent of the Chargee being provided (such
consent not to be unreasonably withheld or delayed) and no Event of Default having occurred, such proceeds deposited in the Control
Account solely on satisfaction of the following requirements (the “Release Notice Requirements”):

 

	 	(A)	delivery
    by the Chargor to the Bondholders of a written notice detailing satisfaction of the relevant Release Conditions in relation
    to the matters referred to in sub-paragraphs (b)(i) or (b)(ii) above (as the case may be), duly signed by any two directors
    or duly authorised officers of the Chargor (each, a “Release Notice”); and

 

	 	(B)	each
    relevant Release Notice sets out the exact amounts of Debt Service Reserve to be released from the Control Account and, as
    the case may be, certifying that such amounts are or will be designated to be applied by the Chargor for all or any of the
    Permitted Use of Proceeds.

 

For
the purposes of this clause 7.2(b), satisfaction of the Release Notice Requirements shall be deemed to have occurred only upon
written confirmation being provided by the Chargee to the Chargor (such confirmation not to be unreasonably withheld or delayed).

 

    12

     

    

 

	 	(c)	Provided
    that the Release Notice Requirements have been satisfied pursuant to clause 7.2(b) above:

 

	 	(i)	the
    Debt Service Reserve (or the relevant part thereof) will be released from the Control Account on satisfaction of the requirements
    relating to the relevant Release Conditions specified in either clause 7.2(b)(i) or 7.2(b)(ii); and

 

	 	(ii)	if
    any Bond has been converted into Shares or redeemed in accordance with the Conditions, the Debt Service Reserve (or the relevant
    part thereof) may be released from the Control Account on satisfaction of the requirements relating to the relevant Release
    Conditions specified in either clause 7.2(b)(i) or 7.2(b)(ii) in an amount pro rata to the principal amount of the
    Bond or Bonds being converted or redeemed, as the case may be.

 

	 	(d)	In
    the event that the Scheduled Maturity Date is extended to the Extended Maturity Date in accordance with Condition 9 of the
    Conditions, the Chargor shall ensure that the aggregate amount of interest due and payable for the Interest Period commencing
    on, and including, the Scheduled Maturity Date and ending on, and including, the Extended Maturity Date shall be made immediately
    available as a condition of such extension in the Control Account to the satisfaction of the Chargee.

 

	 	(e)	On
    the date falling two Business Days prior to each Interest Payment Date commencing on, and including                             2018
    and ending on, and including the Scheduled Maturity Date and if the Scheduled Maturity Date is extended to the Extended Maturity
    Date in accordance with Condition 9 of the Conditions, the Extended Maturity Date, the Chargor may request the release from
    the Control Account, subject to the prior written consent of the Chargee being provided (such consent not to be unreasonably
    withheld or delayed) and no Event of Default having occurred, such amount of the proceeds deposited in the Control Account
    as is equal to the aggregate amount of interest due and payable on the immediately following Interest Payment Date or, as
    the case may be, the Scheduled Maturity Date or, if the Scheduled Maturity Date is extended to the Extended Maturity Date
    in in accordance with Condition 9 of the Conditions, the Extended Maturity Date, in accordance with Condition 6 of the Conditions
    and upon the release of such amounts from the Control Account with the consent of the Chargee, the Chargor shall pay such
    released amounts to the account of the Bondholders. For the avoidance of doubt, the release of any amounts from the Control
    Account under this clause 7.2(e) shall be subject to the requirement that, following any such release, the remaining amounts
    standing to the credit of the Control Account shall be no less than the aggregate amounts required to repay the Principal
    Amount of the Outstanding Bonds and balance of interest due and payable for the remaining Interest Periods.

 

	 	(f)	On
    the Maturity Date, the Early Redemption Date, the Relevant Event Put Date or any other date on which the principal, interest
    or premium on the Bonds are payable by the Chargor pursuant to the Conditions, the Chargor may request the release from the
    Control Account, subject to the prior written consent of the Chargee being provided (such consent not to be unreasonably withheld
    or delayed) and no Event of Default having occurred, the monies standing to the credit of the Control Account to be applied
    by the Chargee in or towards repayment or redemption of the Outstanding Bonds and/or in or towards payment of any other Secured
    Obligations.

 

	 	(g)	Except
    as expressly allowed under the Bonds or Transaction Documents or otherwise with the prior written consent of the Chargee,
    the Chargor must not withdraw or transfer (and must not instruct the Account Bank to withdraw or transfer) any cash (including,
    for the avoidance of doubt, any interest paid or otherwise deposited into the Control Account).

 

    13

     

    

 

	 	(h)	Notwithstanding
    any provision in any Bond or Transaction Document, if an Event of Default has occurred, the Chargee may, and is irrevocably
    authorised to, operate the Control Account by delivering an enforcement notice notifying the Account Bank in accordance with
    clause 7.1(c).

 

	 	(i)	Notwithstanding
    any provision in any Bond or Transaction Document, if a Notice of Potential Event of Default has been given in accordance
    with the Conditions, but prior to the occurrence of an Event of Default, the Chargee may allow the release of amounts from
    the Control Account pursuant to clauses 7.2(b), 7.2(c), 7.2(e) or 7.2(f) if the Chargor has exercised its right of an Optional
    Redemption under Condition 9(b) of the Conditions and the Chargee is satisfied that the Debt Service Reserve as at the date
    of such redemption is no less than the Issuer’s Redemption Price.

 

	7.3	Miscellaneous
    Control Account Provisions

 

	 	(a)	The
    Chargor must ensure that the Control Account does not go into overdraft.

 

	 	(b)	The
    Chargor shall not change (or instruct the Account Bank to change) any bank mandate entered into and any authorised signatory
    appointed, in each case, on or prior to the date of this deed in respect of the Control Account, without the prior written
    consent of the Chargee.

 

	 	(c)	On
    the Maturity Date, the Early Redemption Date, the Relevant Event Put Date or any other date on which the principal, interest
    or premium on the Bonds are payable by the Chargor pursuant to the Conditions or at any time after circumstances in clauses
    8.1(a)(i) or 8.1(a)(ii) (Exercise of Enforcement Powers) has occurred, the monies standing to the credit of the Control Account
    may be applied by the Chargee in or towards repayment or redemption of the Bonds and/or in or towards payment of any other
    Secured Obligations (to the extent that the Chargor has not requested that such amounts be withdrawn and applied in accordance
    with clause 7.2(f) above. Without prejudice to the Chargee’s rights under this clause 7.3(c), the Chargor shall on or prior
    to the Issue Date deliver a signed but undated irrevocable authority addressed to the Account Bank which provides for an irrevocable
    payment instruction to be given to the Account Bank to release and pay such amounts standing to the credit of the Control
    Account to the Chargee or to its order on the Maturity Date.

 

	 	(d)	No
    Secured Party is responsible or liable to any Transaction Obligor for:

 

	 	(i)	any
    non-payment of any liability of a Transaction Obligor which could be paid out of moneys standing to the credit of the Control
    Account; or

 

	 	(ii)	any
withdrawal wrongly made, if made in good faith,

 

unless
such non-payment or withdrawal is caused by the gross negligence, wilful misconduct or fraud of such Secured Party.

 

	 	(e)	The
    Chargor must, as soon as practicable and in any event, within five Business Days of any relevant request by the Chargee, supply
    the Chargee with the following information in relation to any payment received in the Control Account:

 

	 	(i)	the
    date of payment or receipt;

 

	 	(ii)	the
    payer; and

 

	 	(iii)	the
    purpose of the payment or receipt.

 

    14

     

    

 

	 	(f)	The
    Control Account may earn interest at such rate as the Chargor may from time to time agree with the Account Bank at which the
    Control Account is held. Any such interest shall be deposited by the Account Bank into the Control Account as and when payable
    and shall form part of the Charged Property to be dealt with and applied in accordance with the terms of this deed.

 

	 	(g)	Any
    operational costs and expenses or bank account service fees imposed or charged by the Account Bank in respect of the Control
    Account shall be agreed in writing with the Account Bank prior to the establishment of such account. If such costs, expenses
    and fees are to be borne by the Chargor, the Chargor shall settle such amounts with funds other than the Debt Service Reserve.

 

	7.4	Perfection
    of Control Account Security

 

The
Chargor will, following execution of this deed:

 

	 	(a)	promptly
    give notice (substantially in the form set out in schedule 2 (Form of notice to Account Banks)) to the Account Bank of the
    Security created by this deed over those accounts and provide evidence reasonably satisfactory to the Chargee of the delivery
    of that notice; and

 

	 	(b)	procure
    that the Account Bank promptly and in any event, on or prior to the Issue Date, acknowledges that notice by countersigning
    a copy of it and delivering that copy to the Chargee.

 

	8.	Enforcement
    and powers of the chargee

 

	8.1	Exercise
    of Enforcement Powers

 

	 	(a)	At
    any time after:

 

	 	(i)	an
    Event of Default has occurred; or

 

	 	(ii)	a
written request from the Chargor to the Chargee that it exercise any of its powers under this deed,

 

the
Security created by or pursuant to this deed is immediately enforceable and the Chargee may (in addition to giving notice in accordance
with the Conditions that the Bonds are and shall become immediately due and repayable) its absolute discretion, without any additional
notice:

 

	 	(iii)	at
    the times and in the manner it thinks fit, enforce all or any part of the Security and take possession of and hold, sell or
    otherwise dispose and/or deal with all or any part of the Charged Property (including whether for cash or non-cash consideration);

 

	 	(iv)	to
    the extent applicable, exercise the power of sale and all other rights and powers conferred by this deed or by statute (as
    varied or extended by this deed) on the Chargee or on a Receiver, irrespective of whether the Chargee has taken possession
    or appointed a Receiver of the Charged Property; and

 

	 	(v)	dispose
    of all or any of the Chargee’s other rights under this deed for such consideration (whether payable or deliverable immediately
    or by instalments) and in such manner as the Chargee considers appropriate.

 

	 	(b)	For
    the purpose of all rights and powers implied or granted by statute, the Secured Obligations are deemed to have fallen due
    on the date of this deed. The power of sale and other powers conferred by the CPO and all other enforcement powers conferred
    by this deed shall be immediately exercisable at any time after the Security under this deed has become enforceable in accordance
    with clause 8.1 (Exercise of Enforcement Powers).

 

    15

     

    

 

	8.2	Appointment
    of Receiver

 

At
any time after the Security created by or pursuant to this deed has become enforceable under clause 8.1 (Exercise of Enforcement
Powers), or if the Chargor so requests the Chargee in writing at any time, the Chargee may (in addition to giving notice in accordance
with the Conditions that the Bonds are and shall become immediately due and repayable), without prior notice to the Chargor, by
deed, under seal or by writing under hand signed by any officer or manager of the Chargee, appoint any person (or persons) to
be a Receiver of all or any part of the Charged Property (including in respect of separate parts of the Charged Property). Any
restriction on the right of the Chargee to appoint a Receiver conferred by law does not apply to this deed.

 

	9.	Attorney

 

	9.1	Appointment
    and power

 

The
Chargor, by way of security, irrevocably appoints the Chargee, each Receiver and any of its Delegates or sub-delegates and any
person nominated for the purpose by the Chargee or any Receiver (in writing and signed by an officer of the Chargee or Receiver)
as its attorney (with full power of substitution and delegation) in its name and on its behalf and as its act and deed to execute,
seal and deliver (using the company seal where appropriate) and perfect any deed, agreement or other instrument and to do any
act or thing:

 

	 	(a)	which
    the Chargor is required to do by the terms of any Bond or Transaction Document (including the execution and delivery of deeds,
    charges, assignments or other security and any transfers of Charged Property and perfecting and/or releasing the Security
    created or intended to be created in respect of the Charged Property); and/or

 

	 	(b)	which
    is for the purpose of enabling the exercise of any rights or powers conferred on the Chargee or any Receiver by any Bond or
    Transaction Document or by any applicable laws and regulations (including the exercise of any right of a legal or beneficial
    owner of the Charged Property).

 

	9.2	Ratification

 

The
Chargor ratifies, confirms and agrees to ratify and confirm whatever any such attorney shall do in the exercise or purported exercise
of the power of attorney granted by it in clause 9.1 (Appointment and power).

 

	10.	Extension
    and Variation of Statutory Powers

 

	10.1	Statutory
    Powers

 

	 	(a)	The
    powers conferred on mortgagees or receivers by statute shall apply to the Security created by this deed, unless they are expressly
    or impliedly excluded. If there is ambiguity or conflict between the powers conferred by statute and those contained in this
    deed, those contained in this deed shall prevail.

 

	 	(b)	The
    statutory power of sale, of appointing a Receiver and the other statutory powers conferred on mortgagees by section 51 (Powers
    of mortgagee and receiver) and section 53 (Sale by mortgagee) of the CPO and the Fourth Schedule (Powers of mortgagee and
    receiver) to the CPO as varied and extended by this deed shall arise on the date of this deed, and for that purpose the Secured
    Obligations are deemed to have fallen due on the date of this deed, and no restriction imposed by any ordinance or other statutory
    provision in relation to the exercise of any power of sale shall apply to this deed.

 

    16

     

    

 

	 	(c)	Each
    Receiver and Chargee is entitled to all the rights, powers, privileges and immunities conferred by law (including the CPO)
    on mortgagees and receivers duly appointed under any law (including the CPO).

 

	10.2	Exercise
    of Powers

 

Subject
to the terms of this deed, all or any of the powers conferred upon mortgagees by the CPO as varied or extended by this deed, and
all or any of the rights and powers conferred by this deed on a Receiver (whether expressly or impliedly), may be exercised by
the Chargee without further notice to the Chargor at any time after the Security under this deed has become enforceable in accordance
with clause 8.1 (Exercise of Enforcement Powers), irrespective of whether the Chargee has taken possession or appointed a Receiver
of the Charged Property.

 

	10.3	Statutory
    restrictions disapplied

 

No
restriction imposed by any ordinance (including paragraph 11 of the Fourth Schedule to the CPO) or other statutory provision in
relation to the exercise of any power of sale, application of proceeds or any other right or on the consolidation of mortgages
or other security shall apply to the security constituted by this deed which powers may be exercised by the Chargee without notice
to the Chargor on or at any time after the Security under this deed has become enforceable in accordance with clause 8.1 (Exercise
of Enforcement Powers).

 

	11.	Status,
    Powers, Removal and Remuneration of Receiver

 

	11.1	Receiver
    as Agent

 

Each
Receiver shall be the agent of the Chargor which shall be solely responsible for his or her acts or defaults, and for his or her
remuneration and expenses, and be liable on any contracts, engagements, acts, omissions, defaults and losses of a Receiver and
the liabilities incurred by a Receiver. No Secured Party will incur any liability (either to the Chargor or to any other person)
by reason of the appointment of a Receiver or for any other reason, including for any misconduct, negligence or default of a Receiver.

 

	11.2	Relationship
    with Chargee

 

To
the fullest extent allowed by law, any right, power or discretion conferred by this deed (either expressly or impliedly) or by
law on a Receiver may, after the Security created by or pursuant to this deed becomes enforceable under clause 8.1 (Exercise of
Enforcement Powers), be exercised by the Chargee in relation to any Charged Property without first appointing a Receiver and notwithstanding
the appointment of a Receiver.

 

	11.3	Powers
    of Receiver

 

Each
Receiver appointed under this deed shall have all the powers conferred from time to time on receivers by the CPO (which is deemed
incorporated in this deed), so that the powers set out in the Fourth Schedule to the CPO (to the extent not amended and/or varied
under this deed) shall extend to every Receiver. In addition, notwithstanding any winding up, dissolution or liquidation of the
Chargor, each Receiver shall have power to:

 

	 	(a)	take
    immediate possession of, collect and get in the Charged Property (including rents and other income accruing from time to time);

 

    17

     

    

 

	 	(b)	sell,
    transfer, assign, vary the terms of, or otherwise deal with or realise all or any part of the Charged Property in such manner
    and generally on such terms as he thinks fit;

 

	 	(c)	borrow
    or raise money or incur any other liability in connection with the Charged Property on any terms for whatever purpose which
    the Receiver thinks fit, whether secured or unsecured, and whether to rank for payment in priority to this security or not;

 

	 	(d)	enter
    into bonds, covenants, guarantees, indemnities and other commitments in connection with the Charged Property and to make all
    payments needed to effect, maintain or satisfy them;

 

	 	(e)	manage
    and use the Charged Property and to exercise and do (or permit the Chargor or any nominee of it to exercise and do) all such
    powers, authorities, rights and things as the Receiver would be capable of exercising or doing if he were the absolute beneficial
    owner of the Charged Property;

 

	 	(f)	redeem
    any prior Security on or relating to the Charged Property and settle and pass the accounts of the person entitled to that
    prior Security, so that any accounts so settled and passed shall (subject to any manifest error) be conclusive and binding
    on the Chargor and the money so paid shall be deemed to be an expense properly incurred by the Receiver;

 

	 	(g)	appoint,
    hire and employ officers, employees, contractors, agents, advisors and others for any of the purposes of this deed and/or
    to protect or realise the Charged Property upon terms as to remuneration or otherwise as he may think fit and to discharge
    any such persons and any such persons appointed, hired or employed by the Chargor;

 

	 	(h)	bring,
    prosecute, enforce, defend and abandon any action, suit or proceedings in relation to any Charged Property and to submit to
    arbitration, negotiation, compromise which the Receiver thinks fit. A Receiver may also settle any applications, claims, accounts,
    disputes, questions and demands with or by any person who is or claims to be a creditor of the Chargor or relating to any
    of the Charged Property and in addition to take or defend proceeding for the compulsory winding-up of the Chargor;

 

	 	(i)	do
    all other acts and things (including signing and executing all documents and deeds) as the Receiver may consider to be desirable,
    conducive, incidental or conducive to any of the matters or powers in this clause 11.3 (Powers of Receiver) or provided under
    law, or otherwise incidental or conducive to the preservation, improvement or realisation of the Charged Property, and use
    the name of the Chargor for all such purposes;

 

	 	(j)	in
    the exercise of any of its powers, to spend such sums as it thinks fit and the Chargor shall within 3 Business Days on written
    demand repay to the Chargee or Receiver (as the case may be) all sums so spent together with interest on those sums at such
    rates as the Chargee may from time to time determine from the time they are paid or incurred and until repayment, those sums
    (together with such interest) shall be secured by this deed;

 

	 	(k)	give
    a valid receipt for any moneys and execute any assurance or thing which may be proper or desirable for realising any Charged
    Property;

 

	 	(l)	sell,
    exchange, convert into money and realise any Charged Property by public auction or private contract and generally in any manner
    and on any terms which the Receiver thinks fit. The consideration for any such transaction may consist of cash, debentures
    or other obligations, shares, stock or other valuable consideration and any such consideration may be payable in a lump sum
    or by instalments spread over any period which the Receiver thinks fit; and

 

    18

     

    

 

	 	(m)	to
do anything else he may think fit for the realisation of the Charged Property or incidental to the exercise of any of the rights
conferred on the Receiver under or by virtue of any Bond or Transaction Document to which the Chargor is party, the CPO, the Companies
Ordinance and other applicable statutory provisions and common law,

 

and in
each case may use the name of the Chargor and exercise the relevant power in any manner which he may think fit.

 

	11.4	Removal
    of Receiver

 

The
Chargee may by notice remove from time to time any Receiver appointed by it and, whenever it may deem appropriate, appoint a new
Receiver in the place of any Receiver whose appointment has terminated, for whatever reason.

 

	11.5	Remuneration
    of Receiver

 

The
Chargee may from time to time fix the remuneration of any Receiver appointed by it and the maximum rate imposed by any law will
not apply.

 

	11.6	Several
    Receivers

 

If
at any time there is more than one Receiver, each Receiver may separately exercise all of the powers conferred by this deed and
to the exclusion of any other Receiver (unless the document appointing such Receiver states otherwise).

 

	12.	Application
    of Enforcement proceeds

 

	12.1	Application
    of Proceeds

 

	 	(a)	All
    proceeds of enforcement (whether cash or non-cash) received or recovered by the Chargee or any Receiver pursuant to this deed
    shall (subject to any claims having priority under mandatory provisions of the CPO and other claims of any creditors mandatorily
    preferred by law) be applied in the following order:

 

	 	(i)	first,
    in or towards the payment of all costs, losses, liabilities, expenses and remuneration of and incidental to the appointment
    of any Receiver or Delegate and the exercise of any of his rights, including his remuneration and all outgoings paid by him
    under or in connection with this deed; and

 

	 	(ii)	secondly,
    in or towards payment pro rata of any accrued interest, fee or commission due but unpaid under the Bonds or Transaction Documents;

 

	 	(iii)	thirdly,
    in or towards payment pro rata of any principal due but unpaid under the Bonds or Transaction Documents;

 

	 	(iv)	fourthly,
    in or towards payment pro rata of any other Secured Obligations due but unpaid under the Bonds or Transaction Documents, and

 

	 	(v)	fifthly,
    the balance (if any) after payment of the amounts referred to in paragraphs (a)(i) to (iv) of clause 12.1 (Application of
    Proceeds) above, in payment or distribution to the Chargor.

 

The
Chargee may vary the order as set out in paragraphs (a)(i) to (iv) of clause 12.1 (Application of Proceeds) above.

 

    19

     

    

 

	 	(b)	This
    clause 12.1 (Application of Proceeds) is subject to the payment of any claims having priority over this deed. This clause
    12.1 (Application of Proceeds) does not prejudice the right of any Secured Party to recover any shortfall from a Transaction
    Obligor.

 

	12.2	Application
    against Secured Obligations

 

Subject
to clause 12.1 (Application of Proceeds), any moneys or other proceeds (whether cash or non-cash) received or realised by the
Chargee from the Chargor or a Receiver under this deed may be applied by the Chargee to any item of account or liability or transaction
forming part of the Secured Obligations to which they may be applicable in any order or manner which the Chargee may determine.

 

	12.3	Suspense
    Account

 

	 	(a)	At
    any time after the Security under this deed has become enforceable in accordance with clause 8.1 (Exercise of Enforcement
    Powers), until the Secured Obligations are paid in full, each Secured Party may place and keep (to the extent possible and
    for such time as it shall determine) any recoveries or other proceeds of enforcement (whether cash or non-cash) received pursuant
    to this deed or otherwise on account of the Chargor’s liability in respect of the Secured Obligations in a separate suspense
    account (to the credit of either the Chargor or the Chargee as the Chargee shall think fit) and the Receiver may retain the
    same for the period which he and the Chargee consider expedient, without having any obligation to apply all or any part of
    the same in or towards discharge of the Secured Obligations.

 

	 	(b)	If
    the Security created by this deed is enforced at a time when no amount is due under the Bonds or Transaction Documents but
    at the time when amounts may or will become due, a Secured Party may pay any recoveries or other proceeds of enforcement into
    a suspense account.

 

	13.	Protection
    of Security

 

	13.1	Continuing
    Security

 

The
Security created pursuant to this deed is to be a continuing security notwithstanding any intermediate payment or settlement of
all or any part of the Secured Obligations or any other matter or thing.

 

	13.2	Other
    Security

 

	 	(a)	This
    security is to be in addition to, independent of and shall neither be merged in nor in any way exclude or prejudice or be
    affected by any other security or other right which the Chargee or any other Secured Party may now or after the date of this
    deed hold for any of the Secured Obligations or any other obligations, or any rights, powers and remedies provided by law
    and notwithstanding any receipt, release or discharge endorsed on or given in respect of or under any such other security.

 

	 	(b)	The
    Chargor waives any right it may have of first requiring the Chargee (or any trustee or agent on its behalf) to proceed against
    or enforce any other rights or security or claim payment from any person before claiming from the Chargor under this deed.
    This waiver applies irrespective of any law or any provision of a Bond or Transaction Document to the contrary.

 

    20

     

    

 

	13.3	Cumulative
    Powers

 

	 	(a)	The
    powers which this deed confers on the Chargee and the other Secured Parties are cumulative, without prejudice to their respective
    powers under the general law, and may be exercised as often as the relevant person thinks appropriate.

 

	 	(b)	The
    Chargee and the other Secured Parties may, in connection with the exercise of their powers, join or concur with any person
    in any transaction, scheme or arrangement whatsoever.

 

	 	(c)	The
    respective powers of the Chargee and the other Secured Parties will in no circumstances be suspended, waived or otherwise
    prejudiced by anything other than an express consent or amendment.

 

	13.4	Amounts
    Avoided

 

If
any discharge, release or arrangement (whether in respect of the obligations of the Chargor or any security for those obligations
or otherwise) is made in whole or in part on the basis that any amount paid by the Chargor in respect of the Secured Obligations
is capable of being avoided or set aside on insolvency, liquidation or administration of the Chargor or otherwise, without limitation,
then amount shall not be considered to have been paid and the liabilities of the Chargor and the Security created pursuant to
this deed shall continue or be reinstated.

 

	13.5	Discharge
    Conditional

 

If
any discharge or release arrangement (whether in respect of the obligations of the Chargor or any other Transaction Obligor, or
in respect of any security for those obligations or otherwise) is made by a Secured Party in whole or in part on the basis of
any payment, security or other disposition which is avoided or must be restored in insolvency, liquidation, administration or
otherwise, without limitation, then the liability of the Chargor under this deed will continue or be reinstated as if the discharge,
release or arrangement had not occurred.

 

	13.6	Waiver
    of Defences

 

The
obligations assumed by the Chargor under this deed, the Security created under this deed and the rights, powers and remedies of
the Chargee provided by or pursuant to this deed or by law will not be affected by an act, omission, matter or thing which, but
for this provision, would reduce, release or prejudice any of its obligations under this deed (without limitation and whether
or not known to it or any Secured Party) including:

 

	 	(a)	any
    time, waiver or consent granted to, or composition with, any person (including any Transaction Obligor);

 

	 	(b)	the
    release of any person (including any Transaction Obligor) under the terms of any composition or arrangement;

 

	 	(c)	the
    taking, variation, compromise, exchange, renewal or release of, or refusal or neglect to perfect, take up or enforce, any
    rights against, or security over assets of, any person (including any Transaction Obligor);

 

	 	(d)	any
    incapacity or lack of power, authority or legal personality of or dissolution or change in the members or status of any person
    (including any Transaction Obligor);

 

	 	(e)	any
    amendment, novation, supplement, extension, restatement (however fundamental and whether or not more onerous) or replacement
    of a Bond or Transaction Document or any other document or security including without limitation any change in the purpose
    of, any extension of or any increase in any facility or the addition of any new facility under any Bond or Transaction Document
    or other document or security;

 

    21

     

    

 

	 	(f)	any
    unenforceability, illegality or invalidity of any obligation of any person under any Bond or Transaction Document or any other
    document or security;

 

	 	(g)	any
    insolvency, liquidation, winding-up, provisional supervision, supervision, administration, receivership or similar proceedings;

 

	 	(h)	any
    other Security, guarantee or indemnity now or thereafter held by the Chargee or any other person in respect of the Secured
    Obligations or any other liabilities; or

 

	 	(i)	any
    postponement, discharge, reduction, non-provability or other similar circumstance affecting any obligations of the Chargor
    or other person under any Bond or Transaction Document resulting from any insolvency, liquidation or dissolution proceedings
    or from any law, regulation or order.

 

	13.7	Chargor
    intention

 

Without
prejudice to the generality of clause 13.6 (Waiver of defence), the Chargor expressly confirms that it intends that the Security
created pursuant to this deed shall extend from time to time to any (however fundamental) variation, increase, extension or addition
of or to any of the Bonds or Transaction Documents and/or any facility or amount made available under any of the Bonds or Transaction
Documents as agreed by the Chargor, and/or the Guarantor for the purposes of or in connection with any of the following: business
acquisitions of any nature; increasing working capital; enabling investor distributions to be made; carry out restructurings;
refinancing existing facilities; refinancing any other indebtedness; making facilities available to new borrower; any other variation
or extension of the purposes for which any such facility or amount might be made available from time to time; and any fees, costs
and/or expenses associated with any of the foregoing.

 

	13.8	Deferral
    of rights

 

Unless
otherwise permitted under the Bonds or Transaction Documents, until all the Secured Obligations have been irrevocably paid in
full and facilities which might give rise to Secured Obligations have been terminated and unless the Chargee otherwise directs,
the Chargor will not exercise any rights which it may have by reason of performance by it of its obligations under the Bonds or
Transaction Documents or by reason of any amount being payable, or liability arising, under this deed:

 

	 	(a)	to
    be indemnified by any person;

 

	 	(b)	to
    claim any contribution from any other provider of Security for or any other guarantor of the Chargor’s obligations under the
    Bonds or Transaction Documents;

 

	 	(c)	to
    take the benefit (in whole or in part and whether by way of subrogation or otherwise) of any rights of the Secured Parties
    under the Bonds or Transaction Documents or of any guarantee or other security taken pursuant to, or in connection with, the
    Bonds or Transaction Documents by any Secured Party;

 

	 	(d)	to
    bring legal or other proceedings for an order requiring any Secured Party to make any payment, or perform any obligation,
    in respect of which the Chargor has given a guarantee, undertaking or indemnity;

 

	 	(e)	to
    exercise any right of set-off against any person; and/or

 

	 	(f)	to
    claim or prove as a creditor of any person in competition with any Secured Party.

 

If
the Chargor receives any benefit, payment or distribution in relation to such rights it shall hold that benefit, payment or distribution
to the extent necessary to enable all amounts which may be or become payable to the Secured Parties under or in connection with
the Bonds or Transaction Documents to be repaid in full on trust for the Secured Parties and shall promptly pay or transfer the
same to the Chargee or as the Chargee may direct for application in accordance with clause 12.1 (Application of proceeds).

 

    22

     

    

 

	13.9	Subsequent
    Security – Ruling-off Accounts

 

If
the Chargee or any other Secured Party receives notice of any subsequent Security or other interest affecting any of the Charged
Property (except as permitted by the Bonds or Transaction Documents) it may open a new account for the Chargor in its books. If
it does not do so then (unless it gives express notice to the contrary to the Chargor), as from the time it receives that notice,
all payments made by the Chargor to it shall (in the absence of any express appropriation to the contrary) be treated as having
been credited to a new account of the Chargor and not as having been applied in reduction of the Secured Obligations.

 

	13.10	Redemption
    of Prior Charges

 

To
the extent applicable, the Chargee may redeem any prior Security on or relating to any of the Charged Property or procure the
transfer of that Security to itself, and may settle and pass the accounts of any person entitled to that prior Security. Any account
so settled and passed shall (subject to any manifest error) be conclusive and binding on the Chargor. The Chargor will on demand
pay to the Chargee all principal monies and interest and all costs, expenses and losses incidental to any such redemption or transfer.

 

	14.	Protection
    of third parties

 

	14.1	No
    Obligation to Enquire

 

No
purchaser from, or other person dealing with, the Chargee or any Receiver (or Delegate) shall be obliged or concerned to enquire
whether:

 

	 	(a)	the
    right of the Chargee or any Receiver to exercise any of the powers conferred by this deed has arisen or become exercisable
    or as to the propriety or validity of the exercise or purported exercise of any such power; or

 

	 	(b)	any
    of the Secured Obligations remains outstanding or be concerned with notice to the contrary and the title and position of such
    a purchaser or other person shall not be impeachable by reference to any of those matters.

 

	14.2	Receipt
    Conclusive

 

The
receipt of the Chargee or any Receiver shall be an absolute and a conclusive discharge to a purchaser, and shall relieve him of
any obligation to see to the application of any moneys or other consideration paid to or by the direction of the Chargee or any
Receiver.

 

	15.	Protection
    of Secured Parties

 

	15.1	Liabilities
    of the Secured Parties

 

Neither
the Chargee nor any Receiver or Delegate shall be liable in respect of any of the Charged Property or for any loss or damage which
arises out of the exercise or the attempted or purported exercise of, or the failure to exercise any of, their respective powers,
unless caused by its or his or her gross negligence, wilful misconduct or wilful breach of any obligations under the Bonds or
Transaction Documents. The Chargee will not be liable in respect of any gross negligence, wilful misconduct or fraud of a Receiver
or Delegate.

 

    23

     

    

 

	15.2	No
    obligations in relation to Charged Property

 

The
Chargee is not obliged to do any of the following in respect of any Charged Property:

 

	 	(a)	perform
    any obligation of the Chargor;

 

	 	(b)	make
    any payment;

 

	 	(c)	make
    any enquiry as to the nature or sufficiency of any payment received by it or the Chargor;

 

	 	(d)	present
    or file any claim or take any other action to collect or enforce the payment of any amount to which it or the Chargor may
    be entitled; or

 

	 	(e)	exercise
    any rights to which it or the Chargor may be entitled under this deed or at law.

 

	15.3	Possession
    of Charged Property

 

Without
prejudice to clause 15.1 (Liabilities of the Secured Parties), if the Chargee, any Delegate or any Receiver enters into possession
of the Charged Property, it will not be liable:

 

	 	(a)	to
    account as mortgagee in possession or for any loss on realisation or enforcement of rights and may at any time at its discretion
    go out of such possession; or

 

	 	(b)	for
    any default or omission for which a mortgagee in possession might be liable.

 

	15.4	Liability
    of the Chargor

 

The
Chargor shall be deemed to be a principal debtor and the sole, original and independent obligor for the Secured Obligations and
the Charged Property shall be deemed to be a principal security for the Secured Obligations. The liability of the Chargor under
this deed and the charges contained in this deed shall not be impaired by any forbearance, neglect, indulgence, extension of time,
release, surrender or loss of securities, dealing, variation or arrangement by the Chargee, or by any other act, event or matter
whatsoever whereby the liability of the Chargor (as a surety only) or the charges contained in this deed (as secondary or collateral
charges only) would, but for this provision, have been discharged.

 

	15.5	Indemnity

 

	 	(a)	The
    Chargor shall promptly indemnify the Chargee and every Receiver and Delegate against any cost, loss or liability incurred
    (including legal fees) by any of them as a result of:

 

	 	(i)	acting
    or relying on any notice, request or instruction which it reasonably believes to be genuine, correct and appropriately authorised;

 

	 	(ii)	the
    taking, holding, protection or enforcement of the security constituted by this deed;

 

	 	(iii)	the
    exercise of any of the rights, powers, discretions, authorities and remedies vested in the Chargee and each Receiver and Delegate
    by this deed or by law;

 

    24

     

    

 

	 	(iv)	any
    default by the Chargor in the performance of any of the obligations expressed to be assumed by it in this deed;

 

	 	(v)	actual
    or alleged breach by any person of any law or regulation whether relating to the environment or otherwise) incurred in connection
    with this deed by any Secured Party, Receiver, attorney, manager, agent or other person appointed by the Chargee under this
    deed, including any arising from any actual or alleged breach by any person of any law or regulation, whether relating to
    the environment or otherwise;

 

	 	(vi)	having
    the Charged Property (or any part thereof) credited to any account maintained by the Chargee; or

 

	 	(vii)	acting
    as Chargee, Receiver or Delegate (otherwise, in each case, than by reason of the relevant Chargee’s, Receiver’s or Delegate’s
    respective gross negligence, wilful misconduct or fraud).

 

	 	(b)	The
    Chargor expressly acknowledges and agrees that the continuation of its indemnity obligations under this clause 15.5 (Indemnity)
    will not be prejudiced by any release of security or disposal of any Charged Property.

 

	 	(c)	The
    Chargee and every Receiver and Delegate may, in priority to any payment to the other Secured Parties, indemnify itself out
    of the Charged Property in respect of, and pay and retain, all sums necessary to give effect to the indemnity in this clause
    15.5 (Indemnity).

 

	15.6	Discretion

 

Any
liberty or power which may be exercised by or any determination which may be made under this deed by the Chargee or any Receiver
may, subject to the provisions of the Bonds or Transaction Documents, be exercised or made in its absolute and unfettered discretion
without any obligation to give reasons.

 

	16.	Delegation

 

The
Chargee or any Receiver may delegate by power of attorney or in any other manner all or any of the rights, powers, authorities
and discretions which are for the time being exercisable by it under this deed to any person or persons upon such terms and conditions
(including the power to sub-delegate) as it may think fit. Neither the Chargee nor any Receiver will be in any way responsible
or liable to the Chargor or any other person for any cost, expense, loss or liability arising from any act, default, omission
or misconduct on the part of any Delegate or sub-delegate.

 

	17.	Costs
    and Expenses

 

	17.1	Initial
    Expenses

 

The
provisions of clause 12 (Expenses and Payments) of the Subscription Agreement shall be deemed incorporated into this deed as if
fully set out herein mutatis mutandis as if any reference therein to the Bonds or the Transaction Documents were a reference
to this deed and any reference to the “Issuer” were a reference to the Chargor.

 

	17.2	Enforcement
    and preservation Expenses

 

If
the Security under this deed has become enforceable in accordance with clause 8.1 (Exercise of Enforcement Powers), the Chargor
shall, within 3 Business Days of demand, pay to each of the Secured Party the amount of all costs and expenses (including legal
fees) incurred by it in connection with the enforcement of or the preservation of any rights under any Bond or Transaction Document
and any proceedings instituted by or against that Secured Party as a consequence of it entering into a Bond or Transaction Document,
taking or holding the Security created pursuant to this deed or enforcing these rights.

 

    25

     

    

 

	17.3	Stamp
    Taxes

 

The
Chargor shall:

 

	 	(a)	pay
    all stamp duty, registration and other similar Taxes payable in respect of this deed; and

 

	 	(b)	within
    3 Business Days of written demand by the Chargee, indemnify the Chargee against any cost, loss or liability that the Chargee
    incurs in relation to any stamp duty, registration or other similar Tax paid or payable in respect of this deed.

 

	17.4	Default
    Interest

 

The
provisions of Condition 6(b) (Interest applicable upon Default) of the Conditions shall be deemed incorporated into this deed
as if fully set out herein mutatis mutandis as if any reference therein to “this Condition” or the Bonds were
a reference to this deed and as if any reference therein to the “Bondholder” were a reference to the Chargee.

 

	18.	Set-off

 

	 	(a)	Any
    Secured Party may set off any matured obligation due from the Chargor under the Bonds or Transaction Documents (to the extent
    beneficially owned by that Secured Party) against any balance standing to the credit of the Control Account (notwithstanding
    any specified maturity of any such deposit) and any matured obligation owed by that Secured Party to the Chargor, regardless
    of the place of payment, booking branch or currency of either obligation. If the obligations are in different currencies,
    the Secured Party may convert either obligation at a market rate of exchange in its usual course of business for the purpose
    of the set-off.

 

	 	(b)	If
    the relevant obligation or liability of the Chargor is unliquidated or unascertained, the Secured Party may set-off the amount
    which it estimates (in good faith) will be the final amount of that obligation or liability once it becomes liquidated or
    ascertained.

 

	19.	Notices

 

Clause
15 (Communications) of the Subscription Agreement shall be deemed incorporated into this deed as if fully set out herein mutatis
mutandis.

 

	20.	Changes
    to Parties

 

	20.1	Assignment
    by the Chargee

 

The
Chargee may at any time assign or otherwise transfer all or any part of its rights under this deed to other Bondholders or any
third parties in accordance with the Bonds or Transaction Documents.

 

	20.2	Changes
    to Parties

 

	 	(a)	The
    Chargor authorises and agrees to change the parties under Condition 3(b) (Transfer) of the Conditions and authorises the Chargee
    to execute on its behalf any document required to effect the necessary transfer of rights or obligations contemplated by those
    provisions.

 

	 	(b)	The
    Chargor may not assign, novate, transfer, sub-participate, encumber, declare a trust over or otherwise deal with all or any
    of its rights and/or obligations under this deed.

 

    26

     

    

 

	21.	CURRENCY

 

	21.1	Conversion

 

All
monies received or held by the Chargee or any Receiver under this deed may be converted into any other currency which the Chargee
considers necessary to discharge any obligations and liabilities comprised in the Secured Obligations in that other currency at
a market rate of exchange then prevailing.

 

	21.2	No
    Discharge

 

No
payment to the Chargee (whether under any judgment or court order or otherwise) shall discharge any obligation or liability of
the Chargor in respect of which it was made unless and until the Chargee has received payment in full in the currency in which
the obligation or liability is payable or, if the currency of payment is not specified, was incurred. To the extent that the amount
of any such payment shall on actual conversion into that currency fall short of that obligation or liability expressed in that
currency, the Chargee shall have a further separate cause of action in relation to the shortfall and shall be entitled to enforce
the Security constituted by this deed to recover the amount of the shortfall.

 

	22.	Miscellaneous

 

	22.1	Certificates
    Conclusive

 

Provided
that calculation in reasonable detail has been provided, a certificate or determination of the Chargee as to any amount or rate
under this deed will be conclusive and binding on the Chargor, in the absence of manifest error.

 

	22.2	Invalidity
    of any Provision

 

If
any provision of this deed is or becomes invalid, illegal or unenforceable in any respect under any law, the validity, legality
and enforceability of the remaining provisions shall not be affected or impaired in any way.

 

	22.3	Counterparts

 

This
deed may be executed in any number of counterparts, and this has the same effect as if the signatures on the counterparts were
on a single copy of this deed.

 

	22.4	Failure
    to Execute

 

Failure
by one or more parties (“Non-Signatories”) to execute this deed on the date hereof will not invalidate the provisions
of this deed as between the other parties who do execute this deed. Such Non-Signatories may execute this deed on a subsequent
date and will thereupon become bound by its provisions.

 

	22.5	Covenant
    to Release

 

Once
all the Secured Obligations have been paid in full and none of the Chargee nor any Secured Party has any actual or contingent
liability to advance further monies to the Transaction Obligors under the Bonds or Transaction Documents, or incur liability,
but not otherwise, the Chargee and each other Secured Party shall, at the request and cost of the Chargor, take any action which
may be necessary to release the Charged Property from the Security constituted by this deed and procure the reassignment to the
Chargor of the property and assets assigned to the Chargee pursuant to this deed (in each case subject to clause 13.4 (Amounts
Avoided)) and without recourse to, or any representation or warranty by, the Chargee or any of its nominees.

 

    27

     

    

 

	23.	Governing
    Law

 

This
deed is governed by the laws of Hong Kong.

 

	24.	ENFORCEMENT

 

	 	(a)	The
    courts of Hong Kong are to have exclusive jurisdiction to settle any disputes which may arise out of or in connection with
    this deed and accordingly any legal action or proceedings arising out of or in connection with this deed (“Proceedings”)
    may be brought in such courts. The Chargor irrevocably submits to the jurisdiction of such courts and has waived any objection
    to Proceedings in any such courts whether on the ground of venue or on the ground that the Proceedings have been brought in
    an inconvenient forum.

 

	 	(b)	This
    clause 24 (Enforcement) is for the benefit of the Chargee only. As a result, the Chargee shall not be prevented from taking
    proceedings relating to any Proceedings in any other courts with jurisdiction. To the extent allowed by law, the Chargee may
    take concurrent proceedings in any number of jurisdictions.

 

	25.	Waiver
    of immunities

 

The
Chargor irrevocably waives, to the extent permitted by applicable law, with respect to itself and its revenues and assets (irrespective
of their use or intended use), all immunity on the grounds of sovereignty or other similar grounds from:

 

	 	(a)	suit;

 

	 	(b)	jurisdiction
    of any court;

 

	 	(c)	relief
    by way of injunction or order for specific performance or recovery of property;

 

	 	(d)	attachment
    of its assets (whether before or after judgment); and

 

	 	(e)	execution
    or enforcement of any judgment to which it or its revenues or assets might otherwise be entitled in any proceedings in the
    courts of any jurisdiction (and irrevocably agrees, to the extent permitted by applicable law, that it will not claim any
    immunity in any such proceedings).

 

IN
WITNESS whereof this deed has been duly executed and delivered on the date first above written.

 

    28

     

    

 

schedule
1 

 

Control
Account

 

	Account Bank	 	Name of Control Account	 	Account Number
		 	 	 	

 

     

     

    

 

schedule
2

 

Form
of notice to Account Banks

 

	To:	MUFG
Bank, Ltd., Hong Kong Branch
	 	

 

Date:
____________________ 2018

 

Dear
Sirs,

 

We
hereby give you notice that by an account charge (as amended, supplemented or restated from time to time, the “Account
Charge”) dated __________________________ 2018 between (1) Aptorum Group Limited (the “Company”) and
(2) Peace Range Limited (the “Chargee” which expression shall include its successors, assigns and transferees),
the Company has charged, by way of first fixed charge, to the Chargee all of the Company’s right, title and interest in and to
each of the accounts maintained with you listed below (including any replacement, renewal or re-designation thereof) and all monies
and/or assets standing to the credit of such account(s) from time to time (the “Charged Account(s)”):

 

	NAME OF CONTROL ACCOUNT	 	ACCOUNT NUMBER
	Savings Account opened by Aptorum Group Limited	 	

 

With
effect from the date of your receipt of this notice, the (i) terms and conditions of any or all of the Charged Account(s) (and
the rights of the Company relating thereto); and (ii) the signatories to the Charged Accounts(s), may not be amended, varied or
waived without the Chargee’s consent.

 

With
effect from the time when you receive a notice from the Chargee to the effect that the security created by the Account Charge
has become enforceable (an “Enforcement Notice”):

 

	 	(a)	any
    existing instructions affecting any or all of the Charged Account(s) are to be terminated and all communications in respect
    of any or all of the Charged Account(s) should be made, or sent, to the Chargee or as it shall direct; and

 

	 	(b)	all
    rights, powers, discretions, interests and benefits whatsoever accruing to or for the benefit of the Company arising from
    any or all of the Charged Account(s) (including without limitation monies and/or securities standing to the credit thereof
    from time to time) belong to the Chargee.

 

The
Company hereby irrevocably authorises and instructs you, with effect from your receipt of an Enforcement Notice from the Chargee:

 

	 	(i)	to
    hold all sums and assets from time to time standing to the credit in the Charged Account(s) to the order of the Chargee;

 

	 	(ii)	to
    pay, transfer or release all or any part of the sums and/or assets from time to time standing to the credit of the Charged
    Account(s) in accordance with (and only in accordance with) the written instructions of the Chargee at any time or times (to
    the exclusion of the Company);

 

     

     

    

 

	 	(iii)	to
    comply with the terms of any written notice or instructions in any way relating to, or purporting to relate to, the Account
    Charge, the sums and/or assets standing to the credit of the Charged Account(s) from time to time or the debts represented
    thereby which you receive at any time from the Chargee without any reference to or further authority from the Company and
    without any enquiry by you as to the justification for or validity or such notice or instruction; and

 

	 	(iv)	not
    to comply with the terms of any written notice or instructions in any way relating to, or purporting to relate to, the Account
    Charge, the sums and/or assets standing to the credit of the Charged Account(s) from time to time or the debts represented
    thereby which you receive from any other person (including the Company) other than the Chargee.

 

We
also hereby irrevocably authorise and instruct you to disclose to the Chargee without any reference to or further authority from
us and without any enquiry by you as to the justification of such disclosure, such information relating to any or all of the Charged
Account(s) and the sums and/or assets therein as the Chargee may at any time and from time to time request.

 

We
shall continue to be solely responsible for the performance of our obligations in respect of any or all of the Charged Account(s)
and any documentation which we have entered into with you in relation to any or all of the Charged Account(s).

 

We
shall also remain entitled to exercise all the existing rights, powers and discretions which under the terms of the Charged Account(s)
were vested in us (except for the right to withdraw amounts from the Charged Account(s) which would require joint instructions
provided by the Company and the Chargee) without requiring any prior notice of consent of the Chargee to be provided to you, unless
and until you have received an Enforcement Notice from the Chargee that the security under the Account Charge has become enforceable.

 

Neither
this notice nor any of the instructions herein may be revoked or varied without the prior written consent of the Chargee.

 

Please
confirm your consent to the charge over the Charged Account(s) and acknowledge receipt of this notice and your agreement to
the terms hereof by signing the acknowledgement on a copy of this notice and returning it to the Chargee at
___________________ marked for the attention of Mr. Andy Cheuk / Mr. Philip Wong.

 

This
notice and/or the acknowledgment hereto may be executed in any number of counterparts, and this has the same effect as if signatures
on such counterparts were on a single copy of this letter and the acknowledgement hereto.

 

This
notice is governed by the laws of Hong Kong.

 

Yours
faithfully

 

 

For
and on behalf of

Aptorum
Group Limited

 

     

     

    

 

Acknowledgement

 

		To:	Peace
Range Limited as Chargee
	 	 	 
	 	 	Aptorum
Group Limited (the “Company”)

 

Date:__________________________
2018

 

At
the request of the Company we acknowledge receipt of the notice of charge from the Company dated _____________________________
2018 (the “Notice”) in respect of the Charged Account(s). Unless otherwise defined herein, terms and expressions
herein shall have the meaning ascribed to them in the Notice.

 

We
confirm that:

 

	 	(i)	we
    consent to the charge over the Charged Account(s) and acknowledge the instructions and authorisations contained in the Notice
    and we undertake to act in accordance with the terms of the Notice;

 

	 	(ii)	the
    balance standing to each of the Charged Account(s) at today’s date comprises _________________________;

 

	 	(iii)	no
    fees or periodic charges are payable in respect of any of the Charged Account(s)except for the fees and periodic charges set
    out in our bank’s standard tariff charged or incurred by us in the ordinary course of the account bank services provided
    by us to the Company that are agreed to be payable to us under the terms of the Charged Account(s);

 

	 	(iv)	we
    have not received notice of any previous assignments of, charges over or trusts in respect of, any of the Charged Account(s)
    and we will not, without the Chargee’s prior written consent (a) exercise any right of combinations, consolidation or set-off
    which we may have in respect of any of the Charged Account(s) or (b) amend or vary any rights attaching to any of the Charged
    Account(s) or (c) amend or vary the signatories to the Charged Accounts(s);

 

	 	(v)	with
    effect from our receipt of an Enforcement Notice from the Chargee, we will act only in accordance with the instructions given
    by persons authorised by the Chargee in respect of any or all of the Charged Account(s);

 

	 	(vi)	we
    shall send all statements and other notices given by us relating to the Charged Account(s) to the Chargee as well as to the
    Company; and

 

	 	(vii)	with
    effect from our receipt of an Enforcement Notice from the Chargee, we shall not permit any amount or asset to be withdrawn
    or transferred from any of the Charged Account(s) without the prior written consent of the Chargee.

 

The
Notice and this acknowledgment may be executed in any number of counterparts, and this has the same effect as if signatures on
such counterparts were on a single copy of the Notice and this acknowledgment.

 

This
acknowledgment is governed by the laws of Hong Kong.

 

For
and on behalf of

 

MUFG
Bank, Ltd., Hong Kong Branch

 

 

 

Name:

 

Title:

 

     

     

    

 

SIGNATORIES
TO THE Account Charge

 

Chargor

 

	EXECUTED
        as a DEED and DELIVERED by

         

        APTORUM
        GROUP LIMITED:
	)

        )

        )

        )
	 
	Director/authorised
        signatory signature:

         

         

        Director/authorised
        signatory name:

         

         

        Occupation:
	 	___________________________

 

 

 

 

 

 

 

Project Life - Account Charge

 

     

     

    

 

SIGNATORIES
TO THE Account charge

 

Chargee

 

	Signed
    for and on behalf of 

    PEACE RANGE LIMITED	)

        )

        )
		

                                                                                                  

                                                                                                                                                              

                                                                                                 Name:

 

 

 

 

 

Project
Life - Account ChargeExhibit 10.22

 

BOND
CERTIFICATE

 

Certificate
No.: 1

Amount:
US$15,000,000

 

Aptorum
Group Limited

(Incorporated
in Cayman Islands with limited liability)

 

Aggregate
Principal Amount of US$15,000,000 

8.00
per cent. Convertible Bonds due 2019

 

Aptorum
Group Limited (the “Issuer”) hereby CERTIFIES that Peace Range Limited whose address is situated at [ ]
(the “Bondholder”) is, at the date hereof, entered in the Issuer’s Register of Bondholders as the
holder of the 8.00 per cent. convertible bonds due 2019 (the “Bonds”) in the principal amount of
US$15,000,000. For value received, the Issuer promises to pay the Bondholder who appears at the relevant time on the Register
of Bondholders of the Issuer as the holder of the Bonds in respect of which this Certificate is issued, such amount or
amounts as shall become due in respect of the Bonds and otherwise to comply with the Terms and Conditions of the Bonds
endorsed hereon (the “Conditions”).

 

The
Bonds are issued with the benefit and subject to the Conditions. The Bonds in respect of which this Certificate is issued are
convertible into fully-paid class A ordinary shares of the Issuer in accordance with the Conditions.

 

The
Bonds in respect of which this Certificate is issued are in registered form. This Certificate is evidence of entitlement only.
Title to the Bonds passes only on due registration in the Register of Bondholders and only the duly registered holder is entitled
to payments on the Bonds in respect of which this Certificate is issued.

 

The
Bonds in respect of which this Certificate is issued form part of all the Bonds in the aggregate principal amount of US$15,000,000
issued by the Issuer on 25 April 2018.

 

This
certificate is governed by, and shall be construed in accordance with the laws of Hong Kong.

 

In
witness whereof the Issuer has caused this Certificate to be executed and delivered as a deed on 25 April 2018.

 

Note:
The Bonds cannot be transferred to bearer on delivery and is deliverable only to the extent permitted by the Conditions. The Bonds
must be delivered. to the Issuer for cancellation and the reissue of an appropriate certificate in the event of any such transfer.

 

Dated
25 April 2018

 

EXECUTED
and DELIVERED

as
a DEED by Aptorum Group Limited 

and
SIGNED by Ian Huen

as
CEO & Executive Director

 

/s/ Ian Huen                                                

 

in
the presence of:

 

 

/s/ Lee Manhei Monique                           

Witness
signature 

Witness
name: LEE MANHEI MONIQUE

Occupation:
LAWYER

 

      

     

    

 

Schedule
1

 

TERMS
AND CONDITIONS OF THE BONDS

 

The
issue of US$15,000,000 aggregate principal amount (the “Principal Amount”) of 8.00 per cent. convertible bonds
due 2019 (the “Bonds”, which term shall include, unless the context requires otherwise, any further bonds issued
in accordance with Condition 16 and consolidated and forming a single series therewith) of Aptorum Group Limited (the “Issuer”),
a Cayman Islands exempted company with Hong Kong business registration no. F0023235 and with a registered address of Floor 4,
Willow House, Cricket Square, Grand Cayman KY1-9010, Cayman Islands, and the right of conversion into Shares was authorised by
the board of directors of the Issuer on 27 March 2018.

 

The
Bonds, issued on the Issue Date as defined in the Subscription Agreement (defined below), have the benefit of (i) a deed of
guarantee dated the Issue Date granted by Jurchen Investment Corporation, incorporated in the British Virgin Islands (the
“Guarantor”) in favour of the Bondholders, as “amended or supplemented from time to time (the
“Deed of Guarantee”); (ii) a Share Charge dated the Issue Date between Jurchen Investment Corporation as
chargor and Peace Range Limited, a British Virgin Islands company with a registered address at [ ], as chargee (the
“Share Charge”); and (iii) an Account Charge dated the Issue Date between the Issuer as chargor and Peace
Range Limited as chargee (the “Account Charge”). The giving of the Deed of Guarantee and the Share Charge
was authorised by resolutions of the board of directors of the Guarantor passed on 3 April 2018 and the giving of the Account
Charge was authorised by resolutions of the board of directors of the Issuer passed on 27 March 2018.

 

The
subscription agreement dated 6 April 2018 among the Issuer, the Guarantor and Peace Range Limited as subscriber in relation to
the issue and subscription of the Bonds (the “Subscription Agreement”), the escrow agreement dated the Issue
Date among the Guarantor, Peace Range Limited and The Law Debenture Trust (Asia) Limited as escrow agent in connection with the
Share Charge, the Deed of Guarantee, the Share Charge and the Account Charge are together known as the “Transaction Documents”.

 

The
Bonds are subject to these terms and conditions (the “Conditions”). In these Conditions, “Bondholder”
and (in relation to a Bond) “holder” means the person in whose name a Bond is registered.

 

”Business
Day” means a day other than a Saturday, Sunday or public holiday, on which banks are open for business in Hong Kong,
New York City, the Cayman Islands and the British Virgin Islands.

 

In
these Conditions, unless the context requires otherwise, words importing the singular include the plural and vice versa and
words importing gender or the neuter include both genders and the neuter; references to these Conditions or any document shall
be construed as references to such document as the same may be amended or supplemented from time to time. Condition headings are
inserted for reference only and shall be ignored in construing these Conditions.

 

	1.	Form, Denomination and Title

 

	(a)	Form and Denomination

 

The
Bonds are issued in registered form in the denomination of US$250,000 (an “Authorised Denomination”). A bond
certificate (each a “Bond Certificate”) substantially in the form set out in schedule 1 hereto will be issued
to each Bondholder in respect of its registered holding of Bonds. Each Bond Certificate will be numbered serially with an identifying
number which will be recorded on the relevant Bond Certificate and in the register of Bondholders (the “Register”)
which the Issuer will procure to be kept by the Registrar.

 

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	(b)	Title

 

Title
to the Bonds will pass only by transfer and registration in the Register as described in Condition 3. The holder of any Bond will
(except as otherwise required by law or as ordered by a court of competent jurisdiction) be treated as its absolute owner for
all purposes (whether or not it is overdue and regardless of any notice of ownership, trust or any interest in it or any writing
on, or the theft or loss of, the Bond Certificate issued in respect of it) and no person will be liable for so treating the holder.

 

	2.	Status and Guarantee

 

	(a)	Status

 

The
Bonds constitute direct, unconditional and unsubordinated obligations of the Issuer and shall at all times rank pani passu
and without any preference or priority among themselves. The payment obligations of the Issuer under the Bonds shall, save
for such exceptions as may be provided by mandatory provisions of applicable legislation and subject to Condition 4, at all times
rank at least equally with all of its other present and future unsubordinated obligations (including but not limited to the Executed
Private Placements). The Bonds are secured as set out in Condition 5.

 

	(b)	Guarantee

 

The
Guarantor has unconditionally and irrevocably guaranteed the due payment of all sums expressed to be payable by the Issuer under
the Bonds. The Guarantor’s obligations in respect of the Bonds are contained in the Deed of Guarantee. The obligations of
the Guarantor under the Deed of Guarantee shall, save for such exceptions as may be provided by applicable legislation, at all
times rank at least pani passu with all its other present and future unsecured and unsubordinated obligations.

 

At
any time after the Bonds have become due and repayable, any Bondholder may, at its discretion and without further notice, take
any action against the Issuer or the Guarantor, as the case may be, as it may think fit to enforce repayment of the Bonds and
to enforce the provisions of the Conditions pursuant to the Transaction Documents.

 

	3.	Transfers of Bonds; Issue of Bond Certificates

 

	(a)	Register

 

The
Issuer will cause the Register to be kept at the specified office of the Registrar in the Cayman Islands on which shall be entered
the names and addresses of the holders of the Bonds and the particulars of the Bonds held by them and of all transfers, redemptions
and conversions of the Bonds. Each Bondholder shall be entitled to receive only one Bond Certificate in respect of its entire
holding of Bonds.

 

The
Issuer and the Guarantor shall treat the Bondholder as recorded in the Register as the absolute owner of the Bonds for all purposes
(whether or not it is overdue and regardless of any notice of ownership, trust or any other interest therein, any writing on the
Bond Certificates relating thereto or any notice of any previous loss or theft of such Bond Certificates).

 

	(b)	Transfer

 

		(i)	Subject
to this Condition 3(b), the Bonds are transferrable (in whole or in part)
by any Bondholder to any person provided that:

  

		(A)	such
Bondholder shall notify the Issuer in writing of the intended transfer on or before the date falling 10 Business Days prior to
such transfer, provided that the Issuer shall have the right to exercise its redemption right pursuant to Condition 9(b);

 

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		(B)	prior
                                         to the instruction to transfer under Condition 3(b)(i)(A), if the Bondholder-transferor
                                         reasonably believes that the transferee is conducting any business that is in competition
                                         with the Issuer or any of its Subsidiaries, such Bondholder shall ask the Issuer to confirm
                                         whether the proposed transferee is a competitor of the Issuer or any of the Issuer’s
                                         subsidiaries and, if the transferee is confirmed by the Issuer to be a competitor of
                                         the Issuer or any such subsidiary, such Bondholder shall not purport to make any instructions
                                         to transfer the relevant Bonds under Condition 3(b)(i)(A) and any such proposed transfer
                                         shall be void. Nothing contained in this Condition 3(b)(i)(B) shall require any Bondholder-transferor
                                         to undertake any investigation into any transferee nor shall any Bondholder-transferor
                                         be liable for failing to enquire whether any transferee is a competitor of the Issuer
                                         or any of the Issuer’s subsidiaries, if the Bondholder-transferor reasonably believes
                                         it is not;

 

		(C)	the
                                         transfer of Bonds (or parts thereof in authorised denominations) will be effected without
                                         charge by or on behalf of the Issuer; and

 

		(D)	such
                                         transfer shall comply with any applicable laws, regulations and requirements of the regulatory
                                         authority.

 

		(ii)	No
                                         transfer of a Bond will be valid unless and until entered on the Register.

 

		(iii)	In
                                         relation to any transfer of Bonds permitted under or otherwise pursuant to this Condition
                                         3:

 

		(A)	the
                                         relevant Bond that is the subject of a transfer may only be transferred by execution
                                         of a form of transfer (the “Transfer Form”) which is annexed to these
                                         Conditions as schedule 2 under the hand of the Bondholder-transferor and the transferee
                                         (or their duly authorised representatives) or, where either the Bondholder-transferor
                                         or transferee is a corporation, under its common seal (if any) and under the hand of
                                         one of its officers duly authorised in writing or otherwise executed by a duly authorised
                                         officer thereof. In this Condition “Bondholder-transferor” shall, where the
                                         context permits or requires, include joint transferors and be construed accordingly;

 

		(B)	the
                                         relevant Bond Certificate must be delivered for cancellation to the Issuer accompanied
                                         by (i) a duly executed Transfer Form; (ii) in the case of the execution of the Transfer
                                         Form on behalf of a corporation by its officers, the authority of that person or those
                                         persons to do so; (iii) such other evidence as the Issuer may reasonably require if the
                                         Transfer Form is executed by some other person on behalf of the Bondholders; and (iv)
                                         such other evidence as the Issuer may reasonably require to support that the conditions
                                         and requirements of this Condition 3 are satisfied. The Issuer shall, within five Business
                                         Days of receipt of such documents from the Bondholders, enter the transfer on the Register
                                         and cancel the original Bond Certificate in respect of the existing Bond being transferred
                                         in the name of the Bondholder-transferor and issue a new certificate in respect of the
                                         Bond being transferred under the seal of the Issuer, in favour of the transferee.

 

	(c)	Delivery of New Bond Certificates

 

		(i)	Each
new Bond Certificate to be issued upon a transfer of Bonds will, within five Business Days of receipt by the Issuer of the Transfer
Form, be mailed by registered mail or delivered by hand, to the address specified in the Transfer Form, or made available for
collection by the holder entitled to the Bond at the specified office of the Issuer.

 

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		(ii)	Where
only some of the Bonds (being that of one or more Bonds) in respect of which a Bond Certificate is issued is to be transferred,
converted, redeemed or repurchased, a new Bond Certificate in respect of the Bonds not so transferred, converted, redeemed or
repurchased will, within seven Business Days of delivery of the original Bond Certificate to the Registrar be made available for
collection at the specified office of the Registrar or, if so requested in the form of transfer, be mailed by registered mail
(but free of charge to the holder and at the Issuer’s (failing which, the Guarantor’s) expense) to the address of
such holder appearing on the Register.

 

	(d)	Formalities Free of Charge

 

Registration
of transfer of Bonds (or parts thereof in authorised denominations) will be effected without charge by or on behalf of the Issuer,
but upon payment (or the giving of such indemnity as the Issuer may reasonably require) by the transferee or the Bondholder-transferor
in respect of any taxes, duties or other government charges which may be imposed in relation to such transfer.

 

	4.	Covenants

 

	(a)	Debt Service Reserve Account

 

		(i)	Prior
                                         to the Issue Date, the Issuer (failing whom, the Guarantor) shall have deposited into
                                         the Debt Service Reserve Account the total amount of (i) the 2.0 per cent. of the Principal
                                         Amount (the ’Structuring Fee’), plus (ii) the amount of subscriber’s expenses
                                         (the ’Subscriber’s Expenses’) which shall be agreed in writing between the Issuer
                                         and the Subscriber five Hong Kong business days prior to the Issue Date, plus (iii)
                                         an amount in US dollars equal to the aggregate amount of interest due and payable for
                                         two consecutive Interest Periods commencing from, and including, the Issue Date.

 

		(ii)	Upon
                                         payment of the subscription price of the Bonds (which shall net off the Structuring Fee
                                         and the Subscriber’s Expenses) by the Bondholders on the Issue Date pursuant to the Subscription
                                         Agreement, the Issuer (failing whom, the Guarantor) shall procure that on the Issue Date,
                                         such net proceeds of the issue of the Bonds shall be deposited in the Debt Service Reserve
                                         Account.

 

		(iii)	In
                                         the event that the Maturity Date is extended to the Extended Maturity Date as defined
                                         and subject to Condition 9 below, each of the Issuer and Guarantor undertakes to procure
                                         that the aggregate amount of interest due and payable for the Interest Period commencing
                                         on, and including, the Scheduled Maturity Date and ending on, and including, the Extended
                                         Maturity Date shall be deposited and made immediately available as a condition of such
                                         extension in the Debt Service Reserve Account to the satisfaction of the Bondholders.

 

		(iv)	The
                                         Debt Service Reserve (or the relevant part thereof) will be released from the Debt Service
                                         Reserve Account on satisfaction of any one of the Release Conditions in accordance with
                                         the Account Charge.

 

		(v)	If
                                         any Bond has been converted into Shares on a Conversion Upon QIPO or exercise of a Conversion
                                         Right or redeemed in accordance with the Conditions, the Debt Service Reserve (or the
                                         relevant part thereof) may be released in accordance with the Account Charge from the
                                         Debt Service Reserve Account in an amount pro rata to the principal amount of
                                         the Bond or Bonds being converted or redeemed, as the case may be.

 

		(vi)	On
                                         the date falling two Business Days prior to each Interest Payment Date commencing on,
                                         and including the First Interest Payment Date and ending on, and including the Maturity
                                         Date, the Account Bank shall upon instructions being provided by the Issuer and/or Bondholders
                                         in accordance with the Account Charge release from the Debt Service Reserve Account and
                                         pay to the account of the Bondholders such amount of the proceeds deposited in the Debt
                                         Service Reserve Account as is equal to the aggregate amount of interest due and payable
                                         on the immediately following Interest Payment Date or, as the case may be, the Maturity
                                         Date, in accordance with Condition 6.

 

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		(vii)	Any
                                         operational costs and expenses or bank account service fees to be imposed or charged
                                         by the Account Bank in respect of the Debt Service Reserve Account shall be agreed in
                                         writing with the Account Bank prior to the establishment of such account. If such costs,
                                         expenses and fees are to be borne by the Issuer, the Issuer shall settle such amounts
                                         with funds other than the Debt Service Reserve.

 

		(viii)	So
                                         long as any Bond remains Outstanding, neither the Issuer nor any member of the Group
                                         shall, without the prior written consent of the Bondholders, change (nor instruct the
                                         Account Bank to change) any bank mandate or authorised signatory in respect of the Debt
                                         Service Reserve Account.

 

		(ix)	At
                                         the Maturity Date, the Early Redemption Date, the Relevant Event Put Date or any other
                                         dates on which the principal, interest or premium on the Bonds are payable by the Issuer
                                         pursuant to these Conditions, as the case may be, the Issuer may repay and redeem the
                                         Bonds that remain Outstanding with the Debt Service Reserve pursuant to the Account Charge.

 

	(b)	Limitation on indebtedness

 

So
long as the Bondholders continue to have an Exposure,

 

		(i)	before
                                                                                                                                                                                                                                    the occurrence of the QIPO, none of the Issuer or any other member of the Group, without the prior written consent of
                                                                                                                                                                                                                                    the Bondholders (which shall not be unreasonably withheld or delayed), shall enter into or incur any Financial
                                                                                                                                                                                                                                    Indebtedness.

 

		(ii)	following
                                                                                                                                                                                                                                     the occurrence of the QIPO, none of the Issuer or any other member of the Group shall, without the prior written consent
                                                                                                                                                                                                                                     of the Bondholders (which shall not be unreasonably withheld or delayed), enter into or incur any Financial Indebtedness unless:

 

		(A)	any
                                         such Financial Indebtedness is, in aggregate, less than US$60,000,000; and

 

		(B)	the
                                         Issuer shall at all times maintain a ratio of total consolidated liabilities to total
                                         consolidated assets of the Issuer (as calculated by reference to its most recent audited
                                         financial statements) of not more than 50.0 per cent.

 

In
these Conditions, “Financial Indebtedness” means any indebtedness for monies borrowed or raised, which shall
include any interest or premium to be paid thereunder. Any limitation under Conditions 4(b)(i) and 4(b)(ii) shall not apply to:

 

		(I)	the
                                         issue of the Bonds;

 

		(II)	the
                                         entry into the Share Charge or Account Charge or any other security interests in relation
                                         to the Bonds;

 

		(III)	the
                                         Private Placements;

 

		(IV)	the
                                         Employees’ Share Options;

 

		(V)	the
                                         Other Share Options and Warrants;

 

		(VI)	the
                                         Subsidiary Share Grants and Share Options; or

 

		(VII)	the
                                         QIPO.

 

(items
(I) to (VII) above collectively known as “Permitted Offerings”).

 

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	(c)	Limitation
                                         on equity offerings 

 

Employees’
Share Options

 

So
long as the Bondholders continue to have an Exposure, the Issuer and the Guarantor undertake that:

 

		(i)	the
                                         total number of Ordinary Shares to be issued under any such Employees’ Share Options
                                         shall not exceed 5.0 per cent. of the total aggregate number of Ordinary Shares in issue
                                         immediately following the QIPO on a fully diluted basis taking into account the total
                                         number of Ordinary Shares at issue following the QIPO, any Ordinary Shares falling to
                                         be issued pursuant to the Permitted Offerings; and

 

		(ii)	any
                                         Permitted Offerings, if fully exercised for Ordinary Shares, would not trigger any Change
                                         of Control.

 

Other
Share Options and Warrants

 

So
long as the Bondholders continue to have an Exposure, the Issuer and the Guarantor undertake that:

 

		(iii)	any
                                         Other Share Options and Warrants shall be granted by the Issuer only and not by the Issuer’s
                                         Subsidiaries; and

 

		(iv)	the
                                         total number of Ordinary Shares to be issued under any such Other Share Options and Warrants
                                         shall not exceed 5.0 per cent. of the total aggregate number of Ordinary Shares in issue
                                         immediately following the QIPO on a fully diluted basis taking into account the total
                                         number of Ordinary Shares at issue following the QIPO, any Ordinary Shares falling to
                                         be issued pursuant to the Permitted Offerings; and

 

		(v)	any
                                         Permitted Offerings, if fully exercised for Ordinary Shares, would not trigger any Change
                                         of Control.

 

Subsidiary
Share Grants and Share Options

 

So
long as the Bondholders continue to have an Exposure, the Issuer and the Guarantor undertake that:

 

		(vi)	any
                                         Subsidiary Share Grants and Share Options shall be granted by the Issuer’s Subsidiaries
                                         only and not by the Issuer; and

 

		(vii)	any
                                         Permitted Offerings, if fully exercised for shares, would not trigger any Change of Control.

 

Permitted
Offerings

 

Notwithstanding
the above, the Issuer and the Guarantor undertake and will procure that if any of the Permitted Offerings occurs after the occurrence
of the QIPO, the market capitalisation of the Issuer (translated if necessary into US dollars at the then prevailing relevant
exchange rate) calculated based on the issue price per Share immediately following such Permitted Offering (being the product
of the issue price per Share at the relevant time multiplied by the total number of Ordinary Shares in issue following such Permitted
Offering) shall be equal to or greater than the Issuer’s Market Capitalisation at IPO.

 

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Limitation
before and after QIPO

 

So
long as the Bondholders continue to have an Exposure, and other than in relation to the Permitted Offerings that otherwise comply
with these Conditions,

 

		(viii)	before
                                                                                                                                                                                                                                       the occurrence of the QIPO,

 

		(A)	none
                                         of the Issuer and any other member of the Group (other than the Guarantor) shall, without
                                         the prior written consent of the Bondholders (which shall not be unreasonably withheld
                                         or delayed), offer (publicly or privately), or enter into any transaction which is designed
                                         to, or might reasonably be expected to, result in any public or private offering by any
                                         other member of the Group (other than the Guarantor), or announce any public or private
                                         offering of, any shares or securities convertible into or exchangeable for, or warrants,
                                         rights or options, or agreements to grant warrants, rights or options, to purchase or
                                         to subscribe for, any shares issued by, or shares held by, the Issuer or any other member
                                         of the Group (other than the Guarantor); or issue any additional shares of other class(es)
                                         in its capital (other than the Shares), including without limitation any Class B ordinary
                                         shares of the Issuer; and

 

		(B)	no
                                         shares of the Issuer and any other member of the Group (other than (I) the Guarantor
                                         and (II) the Issuer in respect of the QIPO) shall, without the prior written consent
                                         of the Bondholders (which shall not be unreasonably withheld or delayed), be listed,
                                         quoted, admitted to trading or dealt in on any stock exchange.

 

		(ix)	following
the occurrence of the QIPO, the Issuer may have its Shares listed, quoted, admitted to trading or dealt in on a stock exchange
other than the stock exchange in respect of the Listing by way of secondary listing, or conduct any private placement or public
offering of its Shares (each a “Post-IPO Secondary Offering”), provided that:

 

		(A)	the
                                         offering size for such Post-IPO Secondary Offering (being the product of the issue price
                                         for such offering multiplied by the number of shares to be issued in such Post-IPO Secondary
                                         Offering), as determined by an Independent Investment Bank and/or Independent Firm of
                                         Auditors, shall be less than US$50,000,000; and

 

		(B)	the
                                         offering price per Share at such Post-IPO Secondary Offering shall not be below the IPO
                                         Share Price in the opinion of an Independent Investment Bank and/or Independent Firm
                                         of Auditors; and

 

		(C)	the
                                         market capitalisation of the Issuer (translated if necessary into US dollars at the then
                                         prevailing relevant exchange rate) calculated based on the issue price per Share for
                                         the relevant Post-IPO Secondary Offering following such Post-IPO Secondary Offering (being
                                         the product of the issue price per Share multiplied by the total number of Shares in
                                         issue following such Post-IPO Secondary Offering), as determined by an Independent Investment
                                         Bank and/or Independent Firm of Auditors, shall be greater than the Issuer’s Market Capitalisation
                                         at IPO.

 

		(x)	Subject
to Condition 4(c)(ix) above, other than the Permitted Offerings and Post-IPO Secondary Offerings that otherwise comply with these
Conditions, following the occurrence of the QIPO, none of the Issuer or any other member of the Group (other than the Guarantor)
shall, offer (publicly or privately), or enter into any transaction which is designed to, or might reasonably be expected to,
result in any public or private offering by any other member of the Group (other than the Guarantor), or announce any public or
private offering of, any shares or securities convertible into or exchangeable for, or warrants, rights or options, or agreements
to grant warrants, rights or options, to purchase or to subscribe for, any shares issued by, or shares held by, the Issuer or
any other member of the Group (other than the Guarantor); or issue any additional shares of other class(es) in its capital (other
than the Shares), including without limitation any Class B ordinary shares of the Issuer.

 

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	(d)	Corporate actions

 

So
long as any Bonds remain Outstanding, neither the Issuer nor any member of the Group shall enter into any form of corporate reorganisation,
including but not limited to merging, consolidating or amalgamating any business currently controlled by any member of the Group,
or any part of it, with any other business that is not controlled by any member of the Group, entering into any share swap transaction,
demerger or divestiture with any other business that is not controlled by any member of the Group, unless any such corporate
reorganisation is entered into among the members of the Group.

 

	(e)	Financial statements etc.

 

So
long as any Bond remains Outstanding, the Bondholders shall have the right to request from each of the Issuer and the Guarantor,
in each case in the English language, a copy of:

 

		(i)	the
                                         relevant annual audited consolidated income statement, consolidated balance sheet, consolidated
                                         cash flow statement and consolidated statement of changes in shareholders’ equity of
                                         the Issuer and the Guarantor together with any statements, reports (including any directors’
                                         and auditors’ reports) and notes attached to or intended to be read with any of them
                                         within 120 days after the end of their respective financial years;

 

		(ii)	subject
                                         to the applicable laws, by-laws, regulations and rules of the relevant jurisdiction or
                                         stock exchange binding on the Issuer or the Guarantor, including those with respect to
                                         the disclosure of non-public information,

 

		(A)	the
                                         quarterly (or any other interim reporting period required by applicable law or regulations)
                                         unaudited consolidated income statement, consolidated balance sheet, consolidated cash
                                         flow statement and consolidated statement of changes in shareholders’ equity of the Issuer
                                         together with any statements, reports (including any directors’ and auditors’ review
                                         reports, if any) and notes attached to or intended to be read with any of them within
                                         60 days after the end of their respective financial years; and

 

		(B)	as
                                         soon as practicable upon the request of any Bondholder from time to time, each of the
                                         Issuer and Guarantor shall furnish the Bondholders with any documentation or materials
                                         in relation to the key performance indicators of the Issuer or any other member of the
                                         Group (other than the Guarantor).

 

	(f)	Undertakings relating to the registration of the
Share Charge

 

The
Guarantor has undertaken in the Subscription Agreement that it will as soon as reasonably practicable and, in any event, within
ten Business Days of the date of the Share Charge (i) register or cause to be registered with the Registrar of Corporate Affairs
in the BVI, and to update the register of charges of the Guarantor with details of the security interests created by, the Share
Charge, in accordance with the BVI Business Companies Act, (ii) use its best endeavours to complete such registration and obtain
a registration record from its registered agent in the BVI and a certificate of registration of charge from the Registrar of Corporate
Affairs in the BVI on or before the BVI Registration Deadline (as defined in Condition 9(c) below), (iii) deliver to the Bondholders
copies of such registration record and certificate of registration of charge, and (iv) to comply with all applicable laws of the
British Virgin Islands (“BVI law”) and regulations in relation to the Share Charge. In addition, the Issuer
and the Guarantor will give a notice to the Holders confirming the completion of the BVI Registration Conditions within five Business
Days after completion of such BVI Registration Conditions. The Bondholders shall not have any obligation to monitor or ensure
the registration of the Share Charge with the Registrar of Corporate Affairs in the BVI on or before the BVI Registration Deadline
or to verify the accuracy, validity and/or genuineness of any documents in relation to or in connection with such registration
and/or any relevant registration documents. Upon completion of the BVI Registration Conditions, the Guarantor shall give a notice
to the Holders confirming such completion of the BVI Registration Conditions within five (5) Business Days.

 

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	(g)	Undertakings
                                         relating to the registration of the Account Charge

 

The
Issuer further undertakes that it will, after execution of the Account Charge, register or cause to be registered with the Companies
Registry of Hong Kong the Account Charge within one calendar month of the date of the Account Charge.

 

	(h)	Disposals
by any member in the Group (other than the Guarantor) 

 

Disposals
of Intellectual Property

 

So
long as the Bondholders continue to have an Exposure,

 

		(i)	before
                                                                                                                                                                                                                                        the occurrence of the QIPO, none of the Issuer or any member in the Group (other than the Guarantor) will, without the
                                                                                                                                                                                                                                        prior written consent of the Bondholders (such consent shall not be unreasonably withheld or delayed), enter into a single
                                                                                                                                                                                                                                        transaction or a series of transactions (whether related or not and whether voluntary or involuntary) to sell (through any
                                                                                                                                                                                                                                        kind of trade sale, placement or otherwise), lease, transfer, grant any sub-licence of or dispose of (through any kind of
                                                                                                                                                                                                                                        offering, reverse takeover or otherwise) any Intellectual Property, unless such proposed sale, lease, transfer or
                                                                                                                                                                                                                                        disposal is made by a member of the Group to the Issuer and/or its Subsidiaries.

 

		(ii)	following
                                                                                                                                                                   the occurrence of the QIPO, the Issuer or its Subsidiaries may conduct any such transaction as referred to in Condition
                                                                                                                                                                   4(h)(i) above without the prior written consent of the Bondholders provided that:

  

		(A)	the
                                         consideration to be received for the relevant Intellectual Property under the proposed
                                         transaction, as determined by an Independent Investment Bank and/or Independent Firm
                                         of Auditors, is more than 75.0 per cent. of the Issuer’s Market Capitalisation at IPO;
                                         or

 

		(B)	such
                                         proposed sale, lease, transfer or disposal is made by a member of the Group to the Issuer
                                         and/or its Subsidiaries.

 

Disposals
of assets (other than Intellectual Property) 

 

So long as the Bondholders continue to have an Exposure,

 

		(iii)	Subject
to Conditions 4(b), 4(c), 4(h)(i) and 4(h)(ii), the Issuer will not, and will
ensure that no members of the Group (other than the Guarantor) will, enter into a single transaction or a series of transactions
(whether related or not and whether voluntary or involuntary) to sell, lease, transfer or otherwise dispose of any assets (including
without limitation any investment securities and machinery but excluding any cash), unless such proposed sale, lease, transfer
or disposal:

 

		(A)	is
                                         made in the ordinary course of business of the Group and will not result in, or
                                         be expected to result in:

  

		(I)	the
                                         total consolidated assets of the Issuer being equal to or less than 60.0 per cent. of
                                         the total consolidated assets as shown in its audited consolidated financial statements
                                         of the Group as of and for the year ended 31 December 2017; and

 

		(II)	the
sale price of such asset shall not be equal to or less than 60.0 per cent. of its fair value as shown in the audited consolidated
financial statements of the Group as of and for the year ended 31 December 2017; or

 

    1-9

     

    

 

	 	(B)	is of assets in exchange for or to be replaced by other assets comparable or superior as to type, value and quality; or
	 	 	 
		(C)	is
made by a member of the Group to another member of Group.

 

Disposals
of subsidiaries

 

Subject
to Conditions 4(b), 4(c), 4(h)(i) and 4(h)(ii), so long as the Bondholders continue to have an Exposure,

 

		(iv)	before
                                                                                                                                                                                                                                     the occurrence of the QIPO, other than the Permitted Offerings that otherwise comply with these Conditions, no member of
                                                                                                                                                                                                                                     the Group (other than the Guarantor) shall dispose any of its legal or beneficial interest in any company, partnership, joint
                                                                                                                                                                                                                                     venture, trust, profit-sharing arrangement or other legal entity without the prior written consent of the Bondholders (which
                                                                                                                                                                                                                                     shall not be unreasonably withheld or delayed).

 

		(v)	following
                                                                                                                                                                                                                                    the occurrence of the QIPO, other than the Permitted Offerings and Post-IPO Secondary Offerings that otherwise comply
                                                                                                                                                                                                                                    with these Conditions, the Issuer or its Subsidiaries may conduct any transaction as referred to in Condition 4(h)(iv)
                                                                                                                                                                                                                                    without the prior written consent of the Bondholders provided that the consideration to be received for the relevant
                                                                                                                                                                                                                                    subsidiaries under the proposed transaction, as determined by an Independent Investment Bank and/or Independent Firm of
                                                                                                                                                                                                                                    Auditors, is more than 75.0 per cent. of the Market Capitalisation at IPO.

 

	(i)	Disposals by the Guarantor

 

So
long as the Bondholders continue to have an Exposure, the Guarantor shall not dispose any of its legal or beneficial interest
in the Issuer without the prior written consent of the Bondholders (which shall not be unreasonably withheld or delayed) unless:

 

		(A)	such
disposal occurs after the occurrence of the QIPO; and

 

		(B)	such
disposal shall not trigger a Change of Control.

 

	(j)	Business Activities

 

So
long as any Bond remains outstanding, the Issuer will not, and will ensure that none of its Subsidiaries will, directly or indirectly,
principally engage in any business other than the business currently conducted by it as at the Issue Date or as otherwise approved
by the Bondholders.

 

	(k)	Announcements

 

Unless
required by any law, regulation or listing rules binding on the Issuer or the Guarantor (including any disclosure and/or publication
requirement binding on the Issuer or the Guarantor in respect of the Listing), or otherwise consented in writing by the Bondholders
(which consent shall not be unreasonably withheld or delayed), none of the Issuer or any other members of the Group or any other
parties acting on its or their behalf shall issue any announcement concerning the Bonds. The Issuer or the Guarantor may make
any announcement based on information that has previously come into the public domain.

 

Notwithstanding
the above, the Issuer may disclose the terms and conditions of the Transaction Documents and the background of the initial Bondholders:
(i) in any governmental filing or to other authorities as required by the applicable laws and/or regulation or rules of NASDAQ,
an Alternative Stock Exchange, the Financial Industry Regulatory Authority or the U.S. Securities and Exchange Commission and
(ii) in connection with any action or claim to enforce its rights thereunder. The Issuer may disclose the terms and conditions
of the Transaction Documents to underwriters, investors, lenders and financial advisors in preforming due diligence in any other
transaction otherwise permitted in the Subscription Agreement or these Conditions.

 

    1-10

     

    

 

	5.	Security

 

	(a)	Security

 

The
obligations of the Issuer and the Guarantor to the Bondholders under the Bonds and in connection with the Transaction Documents
and the Security Documents (the “Secured Obligations”) will be secured by:

 

		(i)	the
                                         security interest over 1,393,207 Class B ordinary shares representing 5.0 per cent. of
                                         the total authorised and issued Ordinary Shares of the Issuer as of the Issue Date granted
                                         by the Guarantor pursuant to the Share Charge; and

 

		(ii)	the
                                         security interest granted by the Issuer over the Debt Service Reserve Account pursuant
                                         to the Account Charge.

 

	(b)	Release of Security

 

The
Security Documents contain provisions for the immediate release of all or any security interests created therein or discharge
in full of the Secured Obligations.

 

	(c)	Enforcement of Security

 

		(i)	Subject
                                         to an Event of Default under the Conditions and in accordance with the Security Documents,
                                         the Share Charge and/or the Account Charge, as the case may be, shall become enforceable
                                         upon the Bonds becoming immediately due and repayable following the occurrence of an
                                         Event of Default.

 

		(ii)	Any
                                         Bondholder may, at its discretion and without further notice, take such proceedings against
                                         the Issuer and/or the Guarantor as it may think fit to enforce its rights under the Bonds
                                         and to enforce all or any of the security interests created therein in accordance with
                                         the terms thereof, provided that, to the extent practicable the Bondholders shall enforce
                                         their rights under the Account Charge prior to enforcing their rights under the Share
                                         Charge.

 

	6.	Interest

 

	(a)	Interest

 

The
Bonds bear interest from and including the Issue Date at the rate of 8.00 per cent. per annum (the “Rate of Interest”)
payable semi-annually in arrear in equal instalments of US$10,000 per Calculation Amount (as defined below) (the “Interest
Amount”) on the date falling on the 6th calendar month following the Issue Date (the “First Interest Payment
Date”) and the date falling on the 12th calendar month following the Issue Date, and if the Maturity Date is extended
to the Extended Maturity Date, on the date falling on the 18th calendar month following the Issue Date, and if any such date is
not a Business Day, the next following Business Day (each an “Interest Payment Date”).

 

Each
Bond will cease to bear interest from and including the earlier of (a) where the Conversion Right attached to it shall have been
exercised by a Bondholder, the relevant Conversion Date (as defined below), subject to conversion of the relevant Bonds in accordance
with the provisions of Condition 7(c); or (b) where such Bond is redeemed or repaid pursuant to Condition 9 or Condition 11, the
due date for redemption or repayment thereof unless, upon due presentation thereof, payment of principal is improperly withheld
or refused.

 

If
interest is required to be calculated for a period of less than a complete Interest Period, the relevant day-count fraction will
be determined on the actual number of days elapsed and on the basis of a 360-day year.

 

    1-11

     

    

 

In
these Conditions, the period beginning on and including the Issue Date and ending on but excluding the first Interest Payment
Date (the “First Interest Period”) and each successive period beginning on and including an Interest Payment
Date and ending on but excluding the next succeeding Interest Payment Date is called an “Interest Period”, provided
that any Interest Period (other than a Default Interest Period) shall end on the Maturity Date.

 

Interest
in respect of any Bond shall be calculated per US$250,000 in principal amount of the Bonds (the “Calculation Amount”).
The amount of interest payable per Calculation Amount for any period shall, save as provided above in relation to equal instalments,
be equal to the product of 8.00 per cent. per annum, the Calculation Amount and the day-count fraction (determined in the same
manner as stated above in this Condition 6) for the relevant period, rounding the resulting figure to the nearest cent (US$0.005
being rounded upward).

 

	(b)	Interest applicable upon Default

 

Following
service of a Notice of Event of Default on the Issuer and the Guarantor, the Issuer (failing whom, the Guarantor) shall pay to
the Bondholders:

 

		(i)	if
                                         any such Event of Default occurs on or before the date falling 12 calendar months
                                         after the Issue Date:

 

		(A)	an
                                         amount of premium that would give the Bondholders an internal rate of return equal to
                                         the Exit IRR calculated by reference to the principal amount of the Outstanding Bonds
                                         from (and including) the Issue Date up to (but excluding) the Scheduled Maturity Date;
                                         and

 

		(B)	an
                                         amount of premium that would give the Bondholder an internal rate of return equal to
                                         the 15.0 per cent. per annum calculated by reference to the principal amount of the Outstanding
                                         Bonds from (and including) the earliest of (X) the date of a Notice of Potential Event
                                         of Default (if any), (Y) the date of any such proceedings referred to in Condition 11(v)
                                         is being levied, enforced or sued out on (if applicable), and (Z) an Event of Default
                                         up to (but excluding) the day on which all sums due in respect of the Bonds (which shall
                                         include sums due under this Condition 6(b)) are received by the Holders (the “Default
                                         Interest Period”); or

 

		(ii)	if
any such Event of Default occurs after the date falling 12 calendar months after the Issue Date:

 

		(A)	an
                                         amount of premium that would give the Bondholders an internal rate of return equal to
                                         the Exit IRR calculated by reference to the principal amount of the Outstanding Bonds
                                         from (and including) the Issue Date up to (but excluding) the earliest of (X) the date
                                         of a Notice of Potential Event of Default (if any), (Y) the date of any such proceedings
                                         referred to in Condition 11(v) is being levied, enforced or sued out on (if applicable),
                                         and (Z) an Event of Default; and

 

		(B)	an
                                         amount of premium that would give the Bondholder an internal rate of return equal to
                                         the Default IRR calculated by reference to the principal amount of the Outstanding Bonds
                                         from (and including) the earliest of (X) the date of a Notice of Potential Event of Default
                                         (if any), (Y) the date of any such proceedings referred to in Condition 11(v) is being
                                         levied, enforced or sued out on (if applicable), and (Z) an Event of Default, up to (and
                                         excluding) the end of the Default Interest Period.

 

The
Exit IRR, the Default IRR and the premium provided in Condition 6(b)(i)(B) above shall take into account any principal, interest
(including Interest Amount) and premium accrued on the Outstanding Bonds and paid to the Bondholders, but exclude any Structuring
Fee payable by the Issuer to the initial Bondholders as provided in the Subscription Agreement.

 

No
interest shall accrue on any Bond from and including the Conversion Date in respect of such Bond.

 

    1-12

     

    

 

	7.	Conversion

 

	(a)	Partial Conversion upon a QIPO

 

Provided
that none of the Bonds has been redeemed by the Issuer, upon the occurrence of a QIPO and subject as provided in these Conditions:

 

		(i)	an
                                         aggregate nominal amount representing 10% of the Principal Amount of the Bonds shall
                                         be converted automatically into Shares (the “Conversion Upon QIPO”); and

 

		(ii)	the
                                         Issuer shall deliver a written notice in accordance with Condition 13 to notify the Bondholders,
                                         together with such evidence provided by an Independent Investment Bank to support, that
                                         the QIPO has occurred as provided in the Conditions. Upon the receipt of such notice,
                                         a Bondholder shall as soon as practicable deliver to the Issuer a written notice in accordance
                                         with Condition 13 (the “Certification”) on behalf of itself:

 

		(A)	providing
                                         an address (if different from the corresponding addresses recorded in the Register) to
                                         which the Shares shall be delivered;

 

		(B)	designating
                                         a person or persons (if different from the registered Holder) as holder(s) of the relevant
                                         number of Shares in the Issuer’s share register;

 

		(C)	providing
                                         a certification that such Conversion Upon QIPO is being made outside of the United States
                                         (as such term is defined in Regulation S (“Regulation S”) under the
                                         United States Securities Act of 1933, as amended) and it is not a U.S. person (as such
                                         term is defined in Regulation S) and it is not acting as agent for, or on behalf of,
                                         a U.S. person;

 

		(D)	providing
                                         any certification as may be required under the laws of the jurisdiction of incorporation
                                         of the Issuer; and

 

		(E)	surrendering
                                         the Bond Certificate in respect of such Bond which shall be converted automatically into
                                         Shares as a result of the occurrence of a QIPO.

 

	(b)	Conversion Right

 

		(i)	Conversion
                                         Period: Upon the occurrence of a QIPO and subject as provided in these Conditions,
                                         each Bond shall entitle the holder to convert such Bond into Shares credited as fully
                                         paid at any time during the Conversion Period referred to below (the “Conversion
                                         Right”).

 

Subject
to and upon compliance with these Conditions, the Conversion Right in respect of a Bond may be exercised, at the option of the
holder thereof, on the occurrence of a QIPO at any time (subject to any applicable fiscal or other laws or regulations and as
hereinafter provided) on or after the Issue Date to the earlier of:

 

		(A)	the
                                         date falling 12 calendar months after the Maturity Date or the Extended Maturity Date,
                                         as the case may be (both days inclusive); and

 

		(B)	the
date falling 12 calendar months after the occurrence of the QIPO (both days inclusive),

 

(each
a “Conversion Period”).

 

    1-13

     

    

 

	 	(ii)	A Bondholder may only exercise its Conversion Right during the Conversion Period.
	 	 	 
		(iii)	Conversion
                                         Price: The price at which Shares will be issued upon a Conversion Upon QIPO or exercise
                                         of a Conversion Right (the “Conversion Price”) is subject to any adjustment
                                         in the circumstances described in Condition 7(d) and the discount (if applicable) to
                                         the IPO Share Price as follows:

 

		(A)	if
                                         a QIPO has occurred on or before the date falling 12 calendar months after the Issue
                                         Date, at a discount of 23.0% to the IPO Share Price pursuant to the QIPO; or

 

		(B)	if
                                         a QIPO has occurred after the date falling 12 calendar months after the Issue Date, at
                                         a discount of 28.0% to the IPO Share Price pursuant to the QIPO,

 

in
each case subject to adjustment in the circumstances described in Condition 7(d).

 

In
the event that any Interest Amount has been accrued and/or paid by the Issuer to the Bondholders prior to the occurrence of the
QIPO, in determining the applicable Conversion Price, 50.0 per cent. of such Interest Amount accrued and/or paid will be deducted
from the absolute value of the discount as calculated in accordance with Conditions 7(b)(iii)(A) or 7(b)(iii)(B) above (as applicable).
Schedule 5 sets out certain possible circumstances of the application of the discounts described herein for illustrative purposes
only.

 

		(iv)	The
number of Shares to be issued on Conversion Upon QIPO or exercise of a Conversion Right shall be determined by dividing the principal
amount of the Bonds to be converted by the Conversion Price in effect on the relevant Conversion Date (defined below). Conversion
Upon QIPO may only be effected and a Conversion Right may only be exercised in respect of one or more Bonds. If more than one
Bond held by the same holder is converted at any one time by the same holder, the number of Shares to be issued upon such conversion
will be calculated on the basis of the aggregate principal amount of the Bonds to be converted.

 

		(v)	Fractions
                                         of Shares: Fractions of Shares will not be issued on exercise of Conversion Rights
                                         and no cash payment or other adjustment will be made in lieu thereof. However, if the
                                         Conversion Right in respect of more than one Bond is exercised at any one time such that
                                         Shares to be issued on conversion are to be registered in the same name, the number of
                                         such Shares to be issued in respect thereof shall be calculated on the basis of the aggregate
                                         principal amount of such Bonds being so converted and rounded down to the nearest whole
                                         number of Shares. Notwithstanding the foregoing, in the event of a consolidation or re-classification
                                         of Shares by operation of law or otherwise occurring after the Issue Date which reduces
                                         the number of Shares outstanding, the Issuer will upon conversion of Bonds pay in cash
                                         in U.S. Dollars a sum equal to such portion of the principal amount of the Bond or Bonds
                                         evidenced by the Bond Certificate deposited in connection with the exercise of Conversion
                                         Rights, aggregated as provided in Condition 7(b)(i), as corresponds to any fraction of
                                         a Share not issued as a result of such consolidation or re-classification aforesaid,
                                         provided that such sum exceeds US$1.00. Any such sum shall be paid not later than five
                                         Business Days after the relevant Conversion Date by transfer to a U.S. dollar account
                                         maintained by the payee with, a bank in Hong Kong, in accordance with instructions given
                                         by the relevant Bondholder in the Conversion Notice.

 

		(vi)	Share
                                         Lockup Period: Provided that no Event of Default has occurred and is continuing,
                                         following the exercise of the Conversion Right by a Bondholder, such Bondholder shall
                                         not, directly or indirectly, sell or otherwise transfer any Shares during a period of
                                         up to 90 calendar days following the first Trading Day after the occurrence of a QIPO
                                         (the “Share Lockup Period”).

 

    1-14

     

    

 

Subject
to the Share Lockup Period provided above, the Bondholders may sell or transfer the Shares resulting from conversion of the Bonds.
The Issuer shall register the Shares in the registration statement on the Form F-1 which it will submit to the U.S. Securities
and Exchange Commission for the purpose of the intended QIPO.

 

	(c)	Conversion Procedure

 

		(i)	Conversion
                                         Notice: Subject to Condition 7(a), Conversion Rights may be exercised by a Bondholder
                                         during the Conversion Period, by delivering the relevant Bond Certificate to the Issuer
                                         during its usual business hours (being 9:00 a.m. to 5:00 p.m., Monday to Friday other
                                         than public holidays) at the specified office of the Issuer accompanied by a duly completed
                                         and signed notice of conversion (a “Conversion Notice”) substantially
                                         in the form set out in schedule 4 hereto, together with certification by the Bondholder
                                         that such conversion is being made outside of the United States (as such term is defined
                                         in Regulation S) and it is not a U.S. person (as such term is defined in Regulation S)
                                         and it is not acting as agent for, or on behalf of, a U.S. person, and as may be required
                                         under the laws of the jurisdiction of incorporation of the Issuer. Conversion Rights
                                         shall be exercised subject in each case to any applicable fiscal or other laws or regulations
                                         applicable in the jurisdiction of the Issuer.

 

If
such delivery is made after the end of normal business hours (being 5.00 p.m. in the place of the specified office) or on a day
which is not a Business Day in the place of the Issuer, such delivery shall be deemed for all purposes of these Conditions to
have been made on the next following such Business Day.

 

		(ii)	Conversion
                                         Date: For the purposes of Conversion Upon QIPO and exercise of Conversion Rights,
                                         the conversion date in respect of a Bond (the “Conversion Date”) shall
                                         be deemed to be the Business Day (as defined in Condition 7(h)) immediately following
                                         the date of the surrender of the Bond Certificate in respect of such Bond and delivery
                                         of such Conversion Notice or Certification, as the case may be, and, if applicable, any
                                         such abovementioned certification or any payment to be made or indemnity given under
                                         these Conditions in connection with the Conversion Upon QIPO and the exercise of such
                                         Conversion Right, as the case may be. Conversion Upon QIPO may only be effected and Conversion
                                         Rights may only be exercised in respect of an Authorised Denomination. A Conversion Notice
                                         or Certification, as the case may be, once delivered shall be irrevocable and may not
                                         be withdrawn unless the Issuer consents in writing to such withdrawal.

 

		(iii)	Stamp
                                         Duty etc.: the Issuer must pay directly to the relevant authorities any taxes and/or
                                         capital, stamp, issue and registration and transfer taxes and duties arising from a Bondholder
                                         effecting the Conversion Upon QIPO or exercising Conversion Rights (including without
                                         limitation any Duties payable in Cayman Islands, British Virgin Islands, Hong Kong and
                                         the United States and, if relevant, in the place of the Alternative Stock Exchange, in
                                         respect of the allotment and issue of Shares and listing of the Shares on the Relevant
                                         Stock Exchange on conversion)(collectively the “Taxes”). The Issuer
                                         will also pay all other expenses arising on the issue of Shares on conversion of Bonds
                                         and all charges of the share transfer agent for the Shares. The Bondholder (and, if different,
                                         the person to whom the Shares are to be issued) must declare in the relevant Conversion
                                         Notice or Certification that any amounts payable to the relevant tax authorities in settlement
                                         of any Taxes payable pursuant to this Condition 7(c)(iii) have been, or (where permitted
                                         by law) will be, paid.

 

    1-15

     

    

 

If
the Issuer shall fail to pay any Taxes, the relevant holder shall be entitled to tender and pay the same and the Issuer as a separate
and independent stipulation, covenants to reimburse and indemnify each Bondholder in respect of any payment thereof and any penalties
payable in respect thereof.

 

The
Bondholder shall pay all, if any, taxes imposed and arising by reference to any disposal or deemed disposal of a Bond or interest
therein otherwise than in connection with the exercise of Conversion Rights by any Bondholder.

 

		(iv)	Registration:
Upon (A) Conversion Upon QIPO or (B) exercise of Conversion Rights and compliance with Conditions 7(c)(i) and 7(c)(iii) the Issuer
(Y) will, as soon as practicable, and in any event not later than seven Business Days after the Conversion Date, register the
person or persons designated for the purpose in the Conversion Notice or Certification (as the case may be) as holder(s) of the
relevant number of Shares in the Issuer’s share register and (Z) will, within ten Business Days after the Conversion Date,
if the Bondholder has also requested in the Conversion Notice or Certification (as the case may be) and to the extent permitted
under applicable law and the rules and procedures of the Nasdaq Clearing AB (the “NASDAQ Clearing”) or the
equivalent clearing system of an Alternative Stock Exchange effective from time to time, take all necessary action to procure
that Shares are delivered through NASDAQ Clearing or the equivalent clearing system of an Alternative Stock Exchange for so long
as the Shares are listed on the NASDAQ or an Alternate Stock Exchange; or will make such certificate or certificates available
for collection at the office of the Issuer’s share registrar in the United States or, as the case may be, the relevant jurisdiction
of the Alternate Stock Exchange notified to Bondholders in accordance with Condition 13 or, if so requested in the relevant Conversion
Notice or Certification (as the case may be), will cause its share registrar to mail such certificate or certificates to the person
and at the place specified in the Conversion Notice or Certification (as the case may be), together (in either case) with any
other securities, property or cash required to be delivered upon conversion and such assignments and other documents (if any)
as may be required by law to effect the transfer thereof, in which case a single share certificate will be issued in respect of
all Shares issued on conversion of Bonds subject to the same Conversion Notice or Certification (as the case may be) and which
are to be registered in the same name.

 

The
delivery of the Shares to the converting Bondholder (or such person or persons designated in the relevant Conversion Notice or
Certification (as the case may be)) in the manner contemplated above in this Condition 7(c)(iv) will be deemed to satisfy the
Issuer’s obligation to pay the principal, interest and premium (if any) on such converted Bonds.

 

If
the Conversion Date in relation to the conversion of any Bond shall be after the record date for any issue, distribution, grant,
offer or other event as gives rise to the adjustment of the Conversion Price pursuant to Condition 7(d), but before the relevant
adjustment becomes effective (the “Relevant Effective Date”) under the relevant Condition (a “Retroactive
Adjustment”), upon the relevant adjustment becoming effective the Issuer shall procure the issue to the converting Bondholder
(or in accordance with the instructions contained in the Conversion Notice or Certification (as the case may be)(subject to applicable
exchange control or other laws or other regulations)), such additional number of Shares (“Additional Shares”)
as is, together with Shares to be issued on conversion of the Bond(s), equal to the number of Shares which would have been required
to be issued on conversion of such Bond if the relevant adjustment to the Conversion Price had been made and become effective
on or immediately after the relevant record date and in such event and in respect of such Additional Shares references in this
Condition 7(c)(iv) to the Conversion Date shall be deemed to refer to the Relevant Effective Date (notwithstanding that the Relevant
Effective Date falls after the end of the Conversion Period).

 

    1-16

     

    

 

The
person or persons specified for that purpose in the Conversion Notice or Certification (as the case may be) will become the holder
of record of the number of Shares issuable upon conversion with effect from the date he is or they are registered as such in the
Issuer’s register of members (the “Registration Date”).

 

The
Shares issued upon Conversion Upon QIPO or upon exercise of Conversion Rights will be fully paid and will in all respects rank
pari passu with the fully paid Shares in issue on the relevant Registration Date except for any right excluded by mandatory
provisions of applicable law and except that such Shares will not rank for (or, as the case may be, the relevant holder shall
not be entitled to receive) any rights, distributions or payments the record or other due date for the establishment of entitlement
for which falls prior to the relevant Registration Date.

 

If
the record date for the payment of any dividend or other distribution in respect of the Shares is on or after the Conversion Date
in respect of any Bond, but before the Registration Date (disregarding any Retroactive Adjustment of the Conversion Price referred
to in this Condition 7(c)(iv) prior to the time such Retroactive Adjustment shall have become effective), the Issuer will calculate
and pay to the converting Bondholder or such Bondholder’s designee an amount in U.S. dollars (the “Equivalent Amount”)
equal to the Fair Market Value (as defined below) of such dividend or other distribution to which he would have been entitled
had he on that record date been such a shareholder of record and will make the payment at the same time as it makes payment of
the dividend or other distribution, or as soon as practicable thereafter, but, in any event, not later than seven days thereafter.
The Equivalent Amount shall be paid by transfer to a U.S. dollar account maintained by the payee with, a bank in Hong Kong, in
accordance with instructions given by the relevant Bondholder in the Conversion Notice or Certification (as the case may be).

 

	(d)	Adjustments to Conversion Price

 

The
Conversion Price will be subject to adjustment as follows:

 

		(i)	Consolidation,
                                         Subdivision or Re-classification: If and whenever there shall be an alteration to
                                         the nominal value of the Shares as a result of consolidation, subdivision or re-classification,
                                         the Conversion Price shall be adjusted by multiplying the Conversion Price in force immediately
                                         before such alteration by the following fraction:

 

A

B

 

Where:

 

		A	is
the nominal amount of one Share immediately after such alteration; and

 

		B	is
the nominal amount of one Share immediately before such alteration.

 

Such
adjustment shall become effective on the date the alteration takes effect.

 

    1-17

     

    

 

	(e)	Capitalisation of Profits or Reserves:

 

		(i)	If
and whenever the Issuer shall issue any Shares credited as fully paid to the holders of Shares (“Shareholders”)
by way of capitalisation of profits or reserves including, Shares paid up out of distributable profits or reserves and/or share
premium account (except any Scrip Dividend) and which would not have constituted a Capital Distribution, the Conversion Price
shall be adjusted by multiplying the Conversion Price in force immediately before such issue by the following fraction:

 

A

B

 

Where:

 

		A	is
the aggregate nominal amount of the issued Shares immediately before such issue; and

 

		B	is
the aggregate nominal amount of the issued Shares immediately after such issue.

 

Such
adjustment shall become effective on the date of issue of such Shares or if a record date is fixed therefor, immediately after
such record date.

 

		(ii)	In
the case of an issue of Shares by way of a Scrip Dividend where the Current Market Price on the date of announcement of the terms
of such issue of Shares multiplied by the number of Shares issued exceeds the amount of the Relevant Cash Dividend or the relevant
part thereof and which would not have constituted a Capital Distribution, the Conversion Price shall be adjusted by multiplying
the Conversion Price in force immediately before the issue of such Shares by the following fraction:

 

A
+ B

A + C

 

Where:

 

		A	is
the aggregate nominal amount of the issued Shares immediately before such issue;

 

		B	is
the aggregate nominal amount of Shares issued by way of such
Scrip Dividend multiplied by a fraction of which (i) the numerator is the amount of the whole, or the relevant part, of the Relevant
Cash Dividend and (ii) the denominator is such Current Market Price of the Shares issued by way of Scrip Dividend in respect of
each existing Share in lieu of the whole, or the relevant part, of the Relevant Cash Dividend; and

 

		C	is
the aggregate nominal amount of Shares issued by way of such
Scrip Dividend; or by making such other adjustment as an Independent Investment Bank and/or Independent Firm of Auditors deem
fair and reasonable.

  

Such
adjustment shall become effective on the date of issue of such Shares or if a record date is fixed therefor, immediately after
such record date.

 

		(iii)	Capital
                                         Distributions: If and whenever the Issuer shall pay or make any Capital Distribution
                                         to the Shareholders (except to the extent that the Conversion Price falls to be adjusted
                                         under Condition 7(e) above), the Conversion Price shall be adjusted by multiplying the
                                         Conversion Price in force immediately before such Capital Distribution by the following
                                         fraction:

 

A
− B

A

 

Where:

 

		A	is
the Current Market Price of one Share on the date on which the Capital Distribution is publicly announced; and

 

    1-18

     

    

 

	 	B	is the Fair Market Value on the date of such announcement of the portion of the Capital Distribution attributable to one Share.

 

Such
adjustment shall become effective on the date that such Capital Distribution is actually made or if a record date is fixed therefor,
immediately after such record date.

 

In
making any calculation pursuant to this Condition 7(e)(iii), such adjustments (if any) shall be made as an Independent Investment
Bank and/or Independent Firm of Auditors may consider appropriate to reflect (a) any consolidation or subdivision of the Shares,
(b) issues of Shares by way of capitalisation of profits or reserves, or any like or similar event, (c) the modification of any
rights to dividends of Shares or (d) any change in the fiscal year of the Issuer.

 

		(iv)	Rights
Issues of Shares or Options over Shares: If and whenever the Issuer shall issue Shares to all or substantially all Shareholders
as a class by way of rights, or issue or grant to all or substantially all Shareholders as a class by way of rights, options,
warrants or other rights to subscribe for, purchase or otherwise acquire any Shares, in each case at less than 95 per cent. of
the Current Market Price per Share on the date of the announcement of the terms of the issue or grant, the Conversion Price shall
be adjusted by multiplying the Conversion Price in force immediately before such issue or grant by the following fraction:

 

A
+ B

A
+ C

 

Where:

 

		A	is
the number of Shares in issue immediately before such announcement;

 

		B	is
the number of Shares which the aggregate amount (if any) payable for the Shares issued by way of rights or for the options or
warrants or other rights issued or granted by way of rights and for the total number of Shares comprised therein would subscribe
for, purchase or otherwise acquire at such Current Market Price per Share; and

 

		C	is
the aggregate number of Shares issued or, as the case may be, comprised in the issue or grant.

 

Such
adjustment shall become effective on the date of issue of such Shares or issue or grant of such options, warrants or other rights
(as the case may be) or where a record date is set, the first date on which the Shares are traded ex-rights, ex-options or ex-warrants,
as the case may be.

 

		(v)	Rights
Issues of Other Securities: If and whenever the Issuer shall issue any securities (other than Shares or options, warrants
or other rights to subscribe for, purchase or otherwise acquire Shares) to all or substantially all Shareholders as a class by
way of rights, or issue or grant to all or substantially all Shareholders as a class by way of rights, options, warrants or other
rights to subscribe for, purchase or otherwise acquire any securities (other than Shares or options, warrants or other rights
to subscribe for, purchase or otherwise acquire Shares), the Conversion Price shall be adjusted by multiplying the Conversion
Price in force immediately before such issue or grant by the following fraction:

 

A
− B

A

 

Where:

 

		A	is
the Current Market Price of one Share on the date on which such issue or grant is publicly announced; and

 

    1-19

     

    

 

	 	B	is the Fair Market Value on the date of such announcement of the portion of the rights attributable to one Share.

 

Such
adjustment shall become effective on the date of issue of the securities or the issue or grant of such rights, options or warrants
(as the case may be) or where a record date is set, the first date on which the Shares are traded ex-rights, ex-options or ex-warrants,
as the case may be.

 

		(vi)	Issues
at less than Current Market Price: If and whenever the Issuer shall issue (otherwise than as mentioned in Condition 7(e)(iv)
above or in connection with any Post-IPO Secondary Offering or Permitted Offering that otherwise complies with these Conditions)
any Shares (other than Shares issued on the exercise of Conversion Rights or on the exercise of any other rights of conversion
into, or exchange or subscription for, Shares) or issue or grant (otherwise than as mentioned in Condition 7(e)(iv) above) options,
warrants or other rights to subscribe for, purchase or otherwise acquire Shares in each case at a price per Share which is less
than 95 per cent. of the Current Market Price on the date of announcement of the terms of such issue, the Conversion Price shall
be adjusted by multiplying the Conversion Price in force immediately before such issue by the following fraction:

 

A
+ B

C

 

Where:

 

		A	is
the number of Shares in issue immediately before the issue of such additional Shares or the grant of such options, warrants or
other rights to subscribe for, purchase or otherwise acquire any Shares;

		 	 

		B	is
the number of Shares which the aggregate consideration (if any) receivable for the issue of such additional Shares would purchase
at such Current Market Price per Share; and

		 	 

		C	is
the number of Shares in issue immediately after the issue of such additional Shares.

 

References
to additional Shares in the above formula shall, in the case of an issue by the Issuer of options, warrants or other rights to
subscribe or purchase Shares, mean such Shares to be issued assuming that such options, warrants or other rights are exercised
in full at the initial exercise price on the date of issue or grant of such options, warrants or other rights.

 

Such
adjustment shall become effective on the date of issue of such additional Shares or, as the case may be, the issue or grant of
such options, warrants or other rights.

 

		(vii)	Other
                                         Issues at less than Current Market Price: Save in the case of an issue of securities
                                         arising from a conversion or exchange of other securities in accordance with the terms
                                         applicable to such securities themselves falling within this Condition 7(e)(vii), if
                                         and whenever the Issuer or any of its Subsidiaries (otherwise than as mentioned in Condition
                                         7(e)(iv), Condition 7(e)(v) or Condition 7(e)(vi)), or (at the direction or request of
                                         or pursuant to any arrangements with the Issuer or any of its Subsidiaries) any other
                                         company, person or entity shall issue any securities (other than the Bonds, which shall
                                         be deemed to exclude any further bonds issued pursuant to Condition 16) which by their
                                         terms of issue carry rights of conversion into, or exchange or subscription for, Shares
                                         to be issued by the Issuer upon conversion, exchange or subscription at a consideration
                                         per Share which is less than 95 per cent. of the Current Market Price on the date of
                                         announcement of the terms of issue of such securities, the Conversion Price shall be
                                         adjusted by multiplying the Conversion Price in force immediately before such issue by
                                         the following fraction:

 

A
+ B

A
+ C

 

    1-20

     

    

 

Where:

 

		A	is
the number of Shares in issue immediately before such issue;

		 	 

		B	is
the number of Shares which the aggregate consideration receivable by the Issuer for the Shares to be issued on conversion or exchange
or on exercise of the right of subscription attached to such securities would purchase at such Current Market Price per Share;
and

		 	 

		C	is
the maximum number of Shares to be issued on conversion or exchange of such securities or on the exercise of such rights of subscription
attached thereto at the initial conversion, exchange or subscription price or rate.

 

Such
adjustment shall become effective on the date of issue of such securities.

 

		(viii)	Modification
of Rights of Conversion etc.: If and whenever there shall be any modification of the rights of conversion, exchange or subscription
attaching to any such securities as are mentioned in Condition 7(e)(vii) (other than in accordance with the terms of such securities)
so that the consideration per Share (for the number of Shares available on conversion, exchange or subscription following the
modification) is reduced and is less than 95 per cent. of the Current Market Price on the date of announcement of the proposals
for such modification, the Conversion Price shall be adjusted by multiplying the Conversion Price in force immediately before
such modification by the following fraction:

 

A
+ B

A
+ C

 

Where:

 

		A	is
the number of Shares in issue immediately before such modification;

		 	 

		B	is
the number of Shares which the aggregate consideration receivable by the Issuer for the Shares to be issued on conversion or exchange
or on exercise of the right of subscription attached to the securities so modified would purchase at such Current Market Price
per Share or, if lower, the existing conversion, exchange or subscription price of such securities; and

		 	 

		C	is
the maximum number of Shares to be issued on conversion or exchange of such securities or on the exercise of such rights of subscription
attached thereto at the modified conversion, exchange or subscription price or rate but giving credit in such manner as an Independent
Investment Bank and/or Independent Firm of Auditors considers appropriate (if at all) for any previous adjustment under this Condition
7(e)(viii) or Condition 7(e)(vii).

 

Such
adjustment shall become effective on the date of modification of the rights of conversion, exchange or subscription attaching
to such securities.

 

    1-21

     

    

 

		(ix)	Other
Offers to Shareholders: Other than the Permitted Offerings and Post-IPO Secondary Offerings that otherwise comply with these
Conditions, if and whenever the Issuer or any of its Subsidiaries or (at the direction or request of or pursuant to any arrangements
with the Issuer or any of its Subsidiaries) any other company, person or entity issues, sells or distributes any securities in
connection with an offer pursuant to which the Shareholders generally are entitled to participate in arrangements whereby such
securities may be acquired by them (except where the Conversion Price falls to be adjusted under Condition 7(e)(iv), Condition
7(e)(v), Condition 7(e)(vi) or Condition 7(e)(vii)), the Conversion Price shall be adjusted by multiplying the Conversion Price
in force immediately before such issue by the following fraction:

 

A
                                                                                                         -
                                                                                                         B

A

 

Where:

 

		A	is
the Current Market Price of one Share on the date on which such issue is publicly announced; and

 

		B	is
the Fair Market Value on the date of such announcement of the portion of the rights attributable to one Share.

 

Such
adjustment shall become effective on the date of issue, sale or delivery of the securities.

 

		(x)	Cash
                                         Dividends: If and whenever the Issuer shall pay or make any Cash Dividend to the
                                         Shareholders, the Conversion Price shall be adjusted by multiplying the Conversion Price
                                         in force immediately before such Cash Dividend by the following fraction:

 

A
                                         - B

A

 

Where:

 

		A	is
the Current Market Price of one Share on the date for the determination of Shareholders entitled to receive such Cash Dividend;
and

		 	 

		B	is
the portion of the Fair Market Value of the aggregate dividend attributable to one Share, which such portion being determined
by dividing the Fair Market Value of the aggregate Cash Dividend by the number of the Shares entitled to receive the relevant
Cash Dividend.

 

Such
adjustment shall become effective on the date on which such Cash Dividend is actually made or if a record date is fixed therefore,
immediately after such record date.

 

		(xi)	Other
                                         Events: If the Issuer determines that an adjustment should be made to the Conversion
                                         Price as a result of one or more events or circumstances not referred to in this Condition
                                         7, the Issuer shall, at its own expense, consult an Independent Investment Bank and/or
                                         Independent Firm of Auditors to determine as soon as practicable what adjustment (if
                                         any) to the Conversion Price is fair and reasonable to take account thereof, if the adjustment
                                         would result in a reduction in the Conversion Price, and the date on which such adjustment
                                         should take effect and upon such determination by the Independent Investment Bank and/or
                                         Independent Firm of Auditors such adjustment (if any) shall be made and shall take effect
                                         in accordance with such determination, provided that where the events or circumstances
                                         giving rise to any adjustment pursuant to this Condition 7 have already resulted or will
                                         result in an adjustment to the Conversion Price or where the events or circumstances
                                         giving rise to any adjustment arise by virtue of events or circumstances which have already
                                         given rise or will give rise to an adjustment to the Conversion Price, such modification
                                         (if any) shall be made to the operation of the provisions of this Condition 7 as may
                                         be advised by the Independent Investment Bank and/or Independent Firm of Auditors to
                                         be in its opinion appropriate to give the intended result. Notwithstanding the foregoing,
                                         the per Share value of any such adjustment shall not exceed the per Share value of the
                                         dilution in the Shareholders’ interest in the Issuer’s equity caused by such
                                         events or circumstances.

 

    1-22

     

    

 

		(xii)	Exceptions
                                         for Post-IPO Secondary Offerings and Permitted Offerings: Condition 7(e) shall
                                         not apply in respect of any Post-IPO Secondary Offering and Permitted Offering that otherwise
                                         complies with these Conditions.

 

	(f)	Undertakings

 

The
Issuer has undertaken that so long as any Bond remains Outstanding, save with the approval of the Bondholders:

 

		(i)	following
                                         the occurrence of a QIPO, it will (a) maintain a listing for all the issued Shares on
                                         the NASDAQ or, if applicable, an Alternative Stock Exchange (as defined in Condition
                                         7(h)), and (b) obtain and maintain a listing for all the Shares issued on the exercise
                                         of the Conversion Rights on the NASDAQ or, if applicable, an Alternative Stock Exchange,
                                         and (c) if the Issuer is unable to obtain or maintain such listing or such listing is
                                         unduly onerous, obtain and maintain a listing for all the issued Shares on an Alternative
                                         Stock Exchange as the Issuer may from time to time determine and will forthwith give
                                         notice to the Bondholders in accordance with Condition 13 of the listing or delisting
                                         of the Shares (as a class) by any of such stock exchange;

 

		(ii)	it
                                         will pay the expenses of the issue of, and all expenses of obtaining listing for, Shares
                                         arising on conversion of the Bonds;

 

		(iii)	it
                                         will not make any voluntary reduction of its ordinary share capital or any uncalled liability
                                         in respect thereof or of any share premium account except, in each case, where the reduction
                                         is permitted by applicable law and results in (or would, but for the provision of these
                                         Conditions relating to rounding or the carry forward of adjustments, result in) an adjustment
                                         to the Conversion Price or is otherwise taken into account for the purposes of determining
                                         whether such an adjustment should be made provided always that the Issuer shall not be
                                         prohibited from purchasing its Shares to the extent permitted by law;

 

		(iv)	it
                                         will reserve, free from any other pre-emptive or other similar rights (unless otherwise
                                         provided herein), out of its authorised but unissued ordinary share capital the full
                                         number of Shares liable to be issued on conversion of the Bonds from time to time remaining
                                         Outstanding and shall ensure that all Shares delivered on conversion of the Bonds will
                                         be duly and validly issued as fully-paid and non-assessable; and

 

		(v)	it
                                         will not make any offer, issue, grant or distribute or take any action the effect of
                                         which would be to reduce the Conversion Price below the par value of the Shares of the
                                         Issuer, provided always that the Issuer shall not be prohibited from purchasing its Shares
                                         to the extent permitted by law.

 

The
Issuer has also given certain other undertakings in the Subscription Agreement for the protection of the Conversion Rights.

 

	(g)	Provisions Relating to Changes in Conversion Price

 

		(i)	Minor
                                         adjustments: On any adjustment, the resultant Conversion Price, if not an integral
                                         multiple of one U.S. Dollars cent, shall be rounded down to the nearest U.S. Dollars
                                         cent. No adjustment shall be made to the Conversion Price if such adjustment (rounded
                                         down if applicable) would be less than one per cent. of the Conversion Price then in
                                         effect. Any adjustment not required to be made, and/or any amount by which the Conversion
                                         Price has been rounded down, shall be carried forward and taken into account in any subsequent
                                         adjustment, and such subsequent adjustment shall be made on the basis that the adjustment
                                         not required to be made had been made at the relevant time and/or, as the case may be,
                                         that the relevant rounding down had not been made. Notice of any adjustment shall be
                                         given by the Issuer to the Bondholders in accordance with Condition 13 after the determination
                                         thereof.

 

    1-23

     

    

 

		(ii)	Decision
                                         of an Independent Investment Bank and/or Independent Firm of Auditors: If any doubt
                                         shall arise as to whether an adjustment falls to be made to the Conversion Price or as
                                         to how an adjustment to the Conversion Price under Condition 7(d) should be made, following
                                         consultation between the Issuer and an Independent Investment Bank and/or Independent
                                         Firm of Auditors, a written opinion of such Independent Investment Bank and/or Independent
                                         Firm of Auditors in respect thereof shall be conclusive and binding on the Issuer, the
                                         Guarantor and the Bondholders, save in the case of manifest error. Notwithstanding the
                                         foregoing, the per Share value of any such adjustment shall not exceed the per Share
                                         value of the dilution in the Shareholders’ interest in the Issuer’s equity
                                         caused by such events or circumstances.

 

		(iii)	Minimum
                                         Conversion Price: Notwithstanding the provisions of this Condition 7, the Issuer
                                         undertakes that: (a) the Conversion Price shall not in any event be reduced to below
                                         the nominal or par value of the Shares as a result of any adjustment hereunder unless
                                         under applicable law then in effect the Bonds may be converted at such reduced Conversion
                                         Price into legally issued, fully paid and non-assessable Shares; and (b) it shall not
                                         take any action, and shall procure that no action is taken, that would otherwise result
                                         in an adjustment to the Conversion Price to below such nominal or par value or any minimum
                                         level permitted by applicable laws or regulations.

 

		(iv)	Reference
                                         to “fixed”: Any references herein to the date on which a consideration
                                         is “fixed” shall, where the consideration is originally expressed by reference
                                         to a formula which cannot be expressed as an actual cash amount until a later date, be
                                         construed as a reference to the first day on which such actual cash amount can be ascertained.

 

		(v)	Multiple
                                         events: Where more than one event which gives or may give rise to an adjustment to
                                         the Conversion Price occurs within such a short period of time that in the opinion of
                                         an Independent Investment Bank and/or Independent Firm of Auditors, the foregoing provisions
                                         would need to be operated subject to some modification in order to give the intended
                                         result, such modification shall be made to the operation of the foregoing provisions
                                         as may be advised by such Independent Investment Bank and/or Independent Firm of Auditors
                                         to be in its opinion appropriate in order to give such intended result.

 

		(i)	Upward/downward
                                         adjustment: No adjustment involving an increase in the Conversion Price will be made,
                                         except in the case of a consolidation or reclassification of the Shares as referred to
                                         in Condition 7(d)(i) above. The Issuer may at any time and for a specified period of
                                         time only, following notice being given to the Bondholders in accordance with Condition
                                         13, reduce the Conversion Price, subject to Condition 7(g)(iii).

 

		(ii)	Bondholders
                                         not obliged to monitor or make calculations: The Bondholders shall not be under any
                                         duty to monitor whether any event or circumstance has happened or exists which may require
                                         an adjustment to be made to the Conversion Price or to make any calculation or determination
                                         (or verification thereof) in connection with the Conversion Price.

 

		(iii)	Notice
                                         of change in Conversion Price: The Issuer shall give notice to the Bondholders in
                                         accordance with Condition 13 of any change in the Conversion Price. Any such notice relating
                                         to a change in the Conversion Price shall set forth the event giving rise to the adjustment,
                                         the Conversion Price prior to such adjustment, the adjusted Conversion Price and the
                                         effective date of such adjustment.

 

    1-24

     

    

 

	(h)	Definitions

 

For
the purposes of these Conditions:

 

“Account
Bank” means the financial institution acting as such in accordance with the terms of the Account Charge;

 

“Capital
Distribution” means any distribution of assets in specie by the Issuer for any financial period whenever paid or made
and however described (and for these purposes a distribution of assets in specie includes without limitation an issue of Shares
or other securities credited as fully or partly paid (other than Shares credited as fully paid) by way of capitalisation of reserves);

 

“Cash
Dividend” means any cash dividend or distribution of any kind made or declared by the Issuer for any financial period
(whenever paid and however described);

 

“Closing
Price” means, in respect of a Share for any Trading Day, the closing market price published in the daily quotation sheet
published by the NASDAQ or, as the case may be, the equivalent quotation sheet of the Alternative Stock Exchange for such Trading
Day;

 

“Current
Market Price” means, in respect of a Share on a particular date, the average of the daily Closing Price on each of the
20 consecutive Trading Days ending on and including the Trading Day immediately preceding such date; provided that if at any time
during such 20 Trading Day period the Closing Price shall have been based on a price ex-dividend (or ex-any other entitlement)
and during some other part of that period the Closing Price shall have been based on a price cum-dividend (or cum-any other entitlement)
then:

 

		(I)	if
                                         the Shares to be issued or transferred and delivered do not rank for the dividend
(or entitlement) in question, the Closing Price on the dates on which the Shares shall have been based on a price cum-dividend
(or cum-any other entitlement) shall for the purpose of this definition be deemed to be the amount thereof reduced by an amount
equal to the Fair Market Value of any such dividend or entitlement per Share; or

 

		(II)	if
                                         the Shares to be issued or transferred and delivered rank for the dividend or entitlement
                                         in question, the Closing Price on the dates on which the Shares shall have been based
                                         on a price ex-dividend (or ex-any other entitlement) shall for the purpose of this definition
                                         be deemed to be the amount thereof increased by the Fair Market Value of any such dividend
                                         or entitlement per Share;

 

and
provided that if on each of the said 20 Trading Days the Closing Price shall have been based on a price cum-dividend (or cum-any
other entitlement) in respect of a dividend (or other entitlement) which has been declared or announced but the Shares to be issued
or transferred and delivered do not rank for that dividend (or other entitlement), the Closing Price on each of such dates shall
for the purposes of this definition be deemed to be the amount thereof reduced by an amount equal to the Fair Market Value of
any such dividend or entitlement per Share;

 

“Debt
Service Reserve Account” means an account established and maintained by the Issuer or any of its subsidiaries denominated
in US dollars and held with the Account Bank subject to the terms of the Account Charge;

 

“Debt
Service Reserve” means any amount standing to the credit of the Debt Service Reserve Account including any income or
interest earned thereon from time to time;

 

“Default
IRR” means an internal rate of return equal to 23.0 per cent. per annum. For the avoidance of doubt, the Default IRR
to which the Bondholders are entitled to shall be independent from any other recourse that such Bondholders may have pursuant
to the Transaction Documents or the Bonds;

 

    1-25

     

    

 

“Employees’
Share Options” means, in respect of the Issuer, any options granted or to be granted to the Issuer’s eligible directors
or employees including, but not limited to, principal investigators, research collaborators, research consultants and relevant
external academic institutions to acquire at the discretion of the Issuer the Ordinary Shares pursuant to the relevant option
agreements to be granted under the Issuer’s share option plan;

 

“Executed
Private Placements” means all of the private placements of unsecured convertible notes convertible into the Shares that
has been entered into by the Issuer and other investors prior to the Signing Date;

 

“Exit
IRR” means an internal rate of return equal to 8.0 per cent. per annum. For the avoidance of doubt, the Exit IRR to which
the Bondholders are entitled shall be independent from any other recourse that such Bondholders may have pursuant to the Transaction
Documents or the Bonds;

 

“Exposure”
means,

 

		(a)	at
                                         any time before the occurrence of the QIPO, the aggregate principal amount of the Bonds
                                         held by the Bondholders is more or equal to US$7,500,000; or

 

		(b)	at
                                         any time after the occurrence of the QIPO, the aggregate economic interest of the Bondholders
                                         calculated in accordance with the following formula:

 

A
+ B ≥ C*50% 

 

where:

 

		(A)	means
                                         the aggregate number of Shares actually held by the Bondholders at the relevant time
                                         following the conversion of the Bonds; and

 

		(B)	means
                                         the aggregate number of Shares falling to be issued on conversion of the aggregate principal
                                         amount of Outstanding Bonds held by the Bondholders at the relevant time; and

 

		(C)	means
                                         the aggregate number of Shares falling to be issued on conversion of the Principal Amount
                                         of the Bonds divided by the Conversion Price applicable at the relevant time.

 

“Fair
Market Value” means, with respect to any asset, security, option, warrant or other right on any date, the fair market
value of that asset, security, option, warrant or other right as determined by an Independent Investment Bank and/or Independent
Firm of Auditors, provided that (i) the fair market value of a cash dividend paid or to be paid per Share shall be the amount
of such cash dividend per Share determined as at the date of announcement of such dividend; (ii) where options, warrants or other
rights are publicly traded in a market of adequate liquidity (as determined by such Independent Investment Bank and/or Independent
Firm of Auditors) the fair market value of such options, warrants or other rights shall equal the arithmetic mean of the daily
closing prices of such options, warrants or other rights during the period of five trading days on the relevant market commencing
on the first such trading day such options, warrants or other rights are publicly traded;

 

“Group”
means the Issuer, the Guarantor and any of the Issuer’s Subsidiaries, taken as a whole;

 

“Independent
Firm of Auditors” means an independent firm of auditors of international repute selected by the Issuer and accepted in
writing by the Bondholders;

 

    1-26

     

    

 

“Independent
Investment Bank” means an independent investment bank of international repute selected by the Issuer and accepted in
writing by the Bondholders;

 

“Intellectual
Property” means any and all intellectual property including all patents, patent rights, licences, inventions, copyrights,
know-how (including trade secrets and other unpatented and/or unpatentable proprietary or confidential information, systems or
procedures), trademarks, service marks, business names, trade names, domain names, brands, copyright, know how and other intellectual
property owned by the Issuer or any other member of the Group (other than the Guarantor) as of the Signing Date;

 

“IPO
Share Price” means the price per Share at which such Shares are offered at the Listing;

 

“Market
Capitalisation at IPO” means the product of the IPO Share Price multiplied by the number of Ordinary Shares at issue
at the QIPO;

 

“NASDAQ“
means Nasdaq Stock Market;

 

“Notice
of Potential Event of Default” means a written notice of default given to the Issuer or the Guarantor by the Bondholders
in respect of the occurrence of an event or circumstance which could with the giving of notice, lapse of time, and/or fulfilment
of any other requirement provided for in Conditions 11(iii), 11(iv) and 11(xiv) become an Event of Default;

 

“Ordinary
Shares” means the Shares and class B ordinary shares in the capital of the Issuer in issue at the relevant time;

 

“Other
Share Options” means any options granted or to be granted by the Issuer to its employees, principal investigators, advisors,
industry and collaboration partners and research institutes to acquire the shares of the Issuer’s Subsidiaries from time-to-time;

 

“Outstanding”
means, in relation to the Bonds, all the Bonds issued except:

 

		(i)	those
                                         which have been redeemed in accordance with the Conditions; or

 

		(ii)	those
                                         in respect of which the date for redemption has occurred and the redemption moneys (including
                                         the premium if any), all interest accrued on such Bonds to the date for such redemption
                                         and any interest payable under the Conditions after such date have been duly paid to
                                         the Bondholders as provided this Agreement and remain available for payment in accordance
                                         with the Conditions; or

 

		(iii)	those
                                         which have become void or in respect of which claims have become prescribed; or

 

		(iv)	those
                                         which have been converted into Shares, purchased and cancelled as provided in the Conditions;

 

“Permitted
Use of Proceeds” means, within China, general research and development expenses, working capital, deposits, repayment
or settlement of outstanding liabilities of the Issuer or its Subsidiaries;

 

“Private
Placements” means the private placements of unsecured convertible notes in an aggregate principal amount of up to US$10,000,000
convertible into the Shares that has been (and/or will be) entered into by the Issuer and the other investors, which includes
all of the Executed Private Placements;

 

    1-27

     

    

 

“QIPO”
(qualifying initial public offering) means the occurrence of the last of all of the conditions below being satisfied in the sole
opinion of an Independent Investment Bank (which may include Boustead Securities)(as supported by any such evidence provided by
such Independent Investment Bank), subject to Condition 12:

 

		(i)	all
                                         the Shares of the Issuer being listed, quoted, admitted to trading or dealt in on NASDAQ
                                         or any principal stock exchange or securities market satisfactory to the Bondholders
                                         (an “Alternative Stock Exchange”) (the “Listing”);

 

		(ii)	the
                                         Market Capitalisation at IPO being not less than US$380,000,000; and

 

		(iii)	the
                                         total number of issued Shares of the Issuer that are held by the public having satisfied
                                         the applicable public float requirements of NASDAQ or the Alternative Stock Exchange.

 

“Registrar”
means the Issuer or such other person, firm or company as for the time being maintains the register of the holders of the Bonds;

 

“Release
Conditions” means each of the following:

 

		(i)	the
                                         relevant requirements relating to the Issuer’s obligation to pay the principal, interest
                                         and premium to the Bondholders in accordance with the applicable Conditions, including
                                         but not limited to Conditions 6 and 9, to enable the release of the Debt Service Reserve
                                         in an amount equal to such principal, interest and/or premium payable; and/or

 

		(ii)	following
                                         the occurrence of a QIPO and any Bond being converted into Shares, the relevant requirements
                                         relating to a Conversion Upon QIPO or exercise of a Conversion Right in accordance with
                                         Condition 7, to enable the release of the Debt Service Reserve in an amount pro rata
                                         to the principal amount of the Bond or Bonds being converted,

 

in
each case, subject to the Issuer delivering to the Bondholders a written notice in accordance with the Account Charge detailing
satisfaction of the relevant condition specified in paragraph (i) or (ii) above (as the case may be), duly signed by any two directors
or duly authorised officers of the Issuer, setting out the exact amounts of Debt Service Reserve to be released from the Debt
Service Reserve Account and, as the case may be, certifying that such amounts are designated for all or any of the Permitted Use
of Proceeds. No such Release Conditions will be deemed satisfied unless and until the Bondholders confirm the same in writing
(and such confirmation shall not be unreasonably withheld or delayed) in accordance with the Account Charge.

 

“Relevant
Cash Dividend” means the aggregate cash dividend or distribution declared by the Issuer, including any cash dividend
in respect of which there is any Scrip Dividend;

 

“Relevant
Stock Exchange” means, at any time, in respect of the Shares, the NASDAQ or an Alternative Stock Exchange;

 

“Shareholders”
means the registered holders from time to time of Shares;

 

“Shares”
means the Class A ordinary shares of the Issuer or shares of any class or classes resulting from any subdivision, consolidation
or re-classification of those Shares, which as between themselves have no preference in respect of dividends or of amounts payable
in the event of any voluntary or involuntary liquidation or dissolution of the Issuer;

 

“Scrip
Dividend” means any Shares issued in lieu of the whole or any part of any Relevant Cash Dividend, being a dividend which
the Shareholders concerned would or could otherwise have received (and for the avoidance of doubt, to the extent that an adjustment
is made under Condition 7(e)(iii) in respect of the Relevant Cash Dividend, no adjustment is to be made for the amount by which
the Current Market Price of the Shares exceeds the Relevant Cash Dividend or part thereof for which an adjustment is already made
under Condition 7(e)(ii));

 

“Security
Documents” means the (i) Share Charge and (ii) Account Charge;

 

    1-28

     

    

 

“Subsidiary”
of any person means (a) any company or other business entity of which that person owns or controls (either directly or through
one or more other Subsidiaries) more than 50 per cent. of the issued share capital or other ownership interest having ordinary
voting power to elect directors, managers or trustees of such company or other business entity, or (b) any company or other business
entity which at any time has its accounts consolidated with those of that person or which, under the law, regulations or generally
accepted accounting principles of the jurisdiction of incorporation of such person from time to time, should have its accounts
consolidated with those of that person;

 

“Subsidiary
Share Grants and Share Options” means, in respect of the Issuer’s Subsidiaries, any shares or options granted or to be
granted to their respective employees including, but not limited to, principal investigators, research collaborators, research
consultants and relevant external academic institutions to acquire the shares of the relevant Subsidiary as an acknowledgement
in their participation in relevant research projects with the Issuer;

 

“Trading
Day” means a day when the NASDAQ or, as the case may be an Alternative Stock Exchange (or in respect of any other security,
the relevant stock exchange or securities market), is open for dealing business, provided that if no closing price is reported
for one or more consecutive dealing days such day or days will be disregarded in any relevant calculation and shall be deemed
not to have been dealing days when ascertaining any period of dealing days;

 

“U.S.
Dollars” and “US$” mean the lawful currency of the United States of America;

 

“Warrants”
means any warrants granted or to be granted by the Issuer to sponsors, investment banks, placement agents, brokers or related
parties in connection with the Issuer’s offerings at the closing of the Private Placement, this Bond offering, and the QIPO
respectively pursuant to engagement agreements between such parties and the Issuer.

 

References
to any issue or offer or grant to Shareholders “as a class” or “by way of rights” shall be taken to be references
to an issue or offer or grant to all or substantially all Shareholders, other than Shareholders by reason of the laws of any territory
or requirements of any recognised regulatory body or any other stock exchange or securities market in any territory or in connection
with fractional entitlements, it is determined not to make such issue or offer or grant.

 

	8.	Payments

 

	(a)	Method of Payment

 

Payment
of principal, premium (if any) and interest due other than on an Interest Payment Date will be made by transfer to the registered
account of the Bondholder. Such payment will only be made after surrender of the relevant Bond Certificate at the specified office
of Issuer.

 

Interest
on Bonds due on an Interest Payment Date will be paid on the due date for the payment of interest to the holder shown on the Register
at the close of business on the fifteenth day before the due date for the payment of interest (the “Interest Record Date”).
Payments of interest on each Bond will be made by transfer to the registered account of the Bondholder.

 

If
an amount which is due on the Bonds is not paid in full, the Registrar will annotate the Register with a record of the amount
(if any) in fact paid.

 

	(b)	Registered Accounts

 

For
the purposes of this Condition 8, a Bondholder’s registered account means the U.S. dollar account maintained by or on behalf of
it with a bank in Hong Kong, details of which appear on the Register at the close of business on the second Payment Business Day
(as defined in Condition 8(f)) before the due date for payment, and a Bondholder’s registered address means its address appearing
on the Register at that time.

 

    1-29

     

    

 

	(c)	Fiscal Laws

 

All
payments are subject in all cases to (i) any applicable fiscal or other laws and regulations in the place of payment, but without
prejudice to the provisions of Condition 10 and (ii) any tax, assessment, withholding or deduction required by section 1471 through
1474 of the U.S. Internal Revenue Code of 1986, as amended (“FATCA”), any current or future U.S. Treasury Regulations
or rulings promulgated thereunder, any intergovernmental agreement between the United States and any other jurisdiction to implement
FATCA, any law, regulation or other official guidance enacted or published in any jurisdiction implementing FATCA or an intergovernmental
agreement with respect thereto, or any agreement with the U.S. Internal Revenue Service under FATCA.

 

	(d)	No Commissions

 

No
commissions or expenses shall be charged to the Bondholders in respect of such payments.

 

	(e)	Payment Initiation

 

Where
payment is to be made by transfer to a registered account, payment instructions (for value on the due date or, if that is not
a Payment Business Day (as defined below in Condition 8(g)), for value on the first following day which is a Payment Business
Day) will be initiated on the due date for payment (or, if it is not a Payment Business Day, the immediately following Payment
Business Day) or, in the case of a payment of principal, premium (if any) and interest due other than on an Interest Payment Date,
if later, on the Payment Business Day on which the relevant Bond Certificate is surrendered at the specified office of the Issuer.

 

	(f)	Delay in Payment

 

Bondholders
will not be entitled to any interest or other payment for any delay after the due date in receiving the amount due if the due
date is not a Payment Business Day, if the Bondholder is late in surrendering its Bond Certificate (if required to do so).

 

	(g)	Payment Business Day

 

In
this Condition 8, “Payment Business Day” means a day other than a Saturday or Sunday on which commercial banks
are open for business in New York City, the Cayman Islands, the British Virgin Islands and Hong Kong and, in the case of the surrender
of a Bond Certificate, in the place where the Bond Certificate is surrendered.

 

	9.	Redemption, Purchase and Cancellation

 

	(a)	Maturity

 

Unless
previously redeemed, converted or purchased and cancelled as provided in the Conditions, the Issuer will redeem each Outstanding
Bond at its principal amount plus any interest accrued but unpaid up to the maturity date on the date falling on the 12th calendar
month following the Issue Date (the “Scheduled Maturity Date”), or, with prior written consent of the Bondholders
(which shall not be unreasonably withheld or delayed), the Business Day falling six calendar months thereafter (the “Extended
Maturity Date”, and together with the Scheduled Maturity Date, a “Maturity Date”). Upon the Bondholders’
receipt of the payment as provided in these Conditions on the Maturity Date, any Outstanding Bonds shall be fully redeemed on
the Maturity Date.

 

    1-30

     

    

 

The
Issuer shall give not less than 90 Business Days’ notice to the Bondholders in accordance with Condition 13 specifying its
intention to extend the maturity date, and provide evidence to the satisfaction of the Bondholders that the Debt Service Reserve
Account has been funded with (i) the principal amount on the Outstanding Bonds and (ii) the aggregate amount of interest due and
payable for the Interest Period commencing on, and including, the Scheduled Maturity Date and ending on, and including, the Extended
Maturity Date in accordance with Condition 4(a)(iii). Any such notice shall be irrevocable.

 

Upon
the receipt of such notice and having been satisfied that the Debt Service Reserve Account has been prefunded as provided above,
the Bondholders may give written consent for the extension of the maturity date.

 

At
the time of the Issuer exercising its option to extend the maturity date specified in this Condition 9(a), in the event that any
aggregate principal amount of the Bonds have been converted (in part and not in whole) as a result of any Bondholder exercising
its Conversion Right, the Issuer may apply the sum of monies up to such portion of the aggregate principal amount of the Outstanding
Bond or Bonds being converted to settle the Issuer’s Redemption Price.

 

	(b)	Optional Redemption

 

Subject
to this Condition 9, so long as any Bond remains Outstanding, such Outstanding Bonds may be redeemed at the option of the Issuer
in whole, but not in part, at the Issuer’s Redemption Price (defined below) if the Issuer gives not less than 15 days’ notice
substantially in the form set out in schedule 3 hereto (the “Optional Redemption Notice”) to the Bondholders
in accordance with Condition 13 specifying the date for redemption. Any such notice shall be irrevocable. The Issuer shall be
entitled to exercise this option in accordance with this Condition 9(b) notwithstanding that it has received any Notice of Potential
Event of Default from the Bondholders, provided that an Optional Redemption Notice may not be served, and any Optional Redemption
Notice that has been previously served by the Issuer shall become null and void, if an Event of Default has occurred and is continuing.

 

For
the purpose of Condition 9, “Issuer’s Redemption Price” means the total sum of:

 

		(I)	100.0
                                         per cent. of the principal amount of the Outstanding Bonds as at the date fixed for redemption
                                         (the “Early Redemption Date”);

 

		(II)	any
                                         unpaid interest on the aggregate principal amount of the Outstanding Bonds accrued at
                                         the Rate of Interest, together with the amount of premium payable (if any) on the aggregate
                                         principal amount of the Outstanding Bonds in accordance with Condition 6(b), from (and
                                         including) the Issue Date up to (but excluding) such date fixed for redemption; and

 

		(III)	the
                                         aggregate amount of all scheduled interest payments on the principal amount of the Outstanding
                                         Bonds, together with the amount of premium payable (if any) on the aggregate principal
                                         amount of the Outstanding Bonds in accordance with Condition 6(b), from (and including)
                                         the date fixed for redemption up to (but excluding) the Maturity Date.

 

The
amount of premium payable in provided in Conditions 9(b)(II) and 9(b)(III) above (if any) shall take into account any principal,
interest (including Interest Amount) and premium accrued on the Outstanding Bonds and paid to the Bondholders, but exclude any
Structuring Fee payable by the Issuer to the initial Bondholders as provided in the Subscription Agreement.

 

At
the time of the Issuer exercising its option specified in this Condition 9(b), in the event that any aggregate principal amount
of the Bonds have been converted (in part and not in whole) as a result of any Bondholder exercising its Conversion Right, the
Issuer may apply the sum of monies up to such portion of the aggregate principal amount of the Outstanding Bond or Bonds being
converted to settle the Issuer’s Redemption Price.

 

    1-31

     

    

 

 

		(c)	Redemption for Relevant Event

 

Following the occurrence of a Relevant
Event, the holder of each Bond will have the right at such holder’s option, to require the Issuer to redeem all but not some only
of such holder’s Bonds on the Relevant Event Put Date (defined below) at 100.0 per cent. of the Outstanding Bonds as at such date
together with the interest and premium as follows (together, the “Early Redemption Amount”):

 

		(i)	if any such Relevant Event occurs on or before
the date falling 12 calendar months after the Issue Date:

 

		(A)	an
amount of premium that would give the Bondholders an internal rate of return equal to the Exit IRR calculated by reference to
the principal amount of the Outstanding Bonds from (and including) the Issue Date up to (but excluding) the Scheduled Maturity
Date (if any); and

 

		(B)	an
amount of premium that would give the Bondholder an internal rate of return equal to the 15.0 per cent. per annum calculated by
reference to the principal amount of the Outstanding Bonds from (and including) the date of the occurrence of any such Relevant
Event up to (and excluding) the Relevant Event Put Date (as defined below).

 

		(ii)	if any such Relevant Event occurs after the date
falling 12 calendar months after the Issue Date:

 

		(A)	an
amount of premium that would give the Bondholders an internal rate of return equal to the Exit IRR calculated by reference to
the principal amount of the Outstanding Bonds from (and including) the Issue Date up to (but excluding) the Scheduled Maturity
Date; and

 

		(B)	an
amount of premium that would give the Bondholder an internal rate of return equal to the Default IRR calculated by reference to
the principal amount of the Outstanding Bonds from (and including) the date of the occurrence of any such Relevant Event up to
(and excluding) the Relevant Event Put Date (as defined below).

 

The Exit IRR, the Default IRR and the premium
provided in this Condition 9(c) shall take into account any principal, interest (including Interest Amount) and premium accrued
on the Outstanding Bonds and paid to the Bondholders, but exclude any Structuring Fee payable by the Issuer to the initial Bondholders
as provided in the Subscription Agreement.

 

No interest shall accrue on any Bond from
and including the Conversion Date in respect of such Bond.

 

To exercise such right, the Bondholder
must deposit during normal business hours at the specified office of the Issuer a duly completed and signed notice of redemption,
in the form for the time being current, obtainable during normal business hours from the specified office of the Issuer (a “Relevant
Event Put Exercise Notice”), together with the Bond Certificate evidencing the Bonds to be redeemed by not later than
60 days following a Relevant Event, or, if later, 60 days following the date upon which notice thereof is given to Bondholders
by the Issuer in accordance with Condition 13. The “Relevant Event Put Date” shall be the fourteenth day (other
than a No Registration Event) or the fifth day (in the case of a redemption for a No Registration Event) after the expiry of such
period of 60 days as referred to above.

 

A Relevant Event Put Exercise Notice, once
delivered, shall be irrevocable and may not be withdrawn without the Issuer’s written consent. The Issuer shall redeem the Bonds
the subject of the Relevant Event Put Exercise Notice (subject to delivery of the relevant Bond Certificate as aforesaid) on the
Relevant Event Put Date.

 

    1-32

     

    

 

 Within 14 days of the
occurrence of a Relevant Event (in the case of a redemption other than a No Registration Event) or five days (in the case of a
redemption for a No Registration Event), the Issuer shall give notice thereof in writing to the Bondholders in accordance with
Condition 13. The notice regarding the Relevant Event shall contain a statement informing Bondholders of their entitlement to exercise
their Conversion Rights as provided in these Conditions and their entitlement to exercise their rights to require redemption of
their Bonds pursuant to this Condition. Such notice shall also specify: (A) the date of such Relevant Event and, all information
material to Bondholders concerning the Relevant Event; (B) the Relevant Event Put Date; (C) the last date by which a Relevant Event
Put Exercise Notice must be given; (D) the procedures that Bondholders must follow and the requirements that Bondholders must satisfy
in order to exercise the Relevant Event put right or Conversion Right; and (E) the information required by Condition 9(f).

 

The Bondholders shall not be required to
monitor or to take any steps to ascertain or verify the accuracy, validity and/or genuineness of any documents in relation to whether
a Relevant Event, No Registration Event or any event which could lead to a Relevant Event or No Registration Event has occurred
or may occur, and none of them shall be liable to any other Bondholder, the Issuer, the Guarantor or any other person for not doing
so.

 

For the purposes of this Condition 9(c):

 

a “Change of Control” occurs when:

 

		(I)	Mr.
Ian Huen, Mr. Darren Lui and/or their respective Related Persons together with any Voting Rights controlled directly or indirectly
by that person or persons, including through any voting consent agreement, cease(s) to hold more than 63.0% of the Voting Rights
in the Issuer; or

 

		(II)	The
Issuer or its Related Persons together with any Voting Rights controlled directly or indirectly by that person or persons, including
through any voting consent agreement, cease(s) to hold more than 70.0% of the Voting Rights in every Subsidiary of the Issuer.

 

“BVI” means the British Virgin
Islands;

 

“BVI Registration Conditions” means the receipt
by the Bondholders of:

 

		(I)	a
certificate signed by any one member of the board of directors of Jurchen Investment Corporation from time to time, or one of
its duly authorised officer, confirming the completion of the registration of the Share Charge with the Registrar of Corporate
Affairs in the BVI and the updating of the register of charges of Jurchen Investment Corporation with details of the security
interests created by the Share Charge together with a copy of the relevant certificate of registration of charge and the updated
register of charges; and

 

		(II)	a
legal opinion as to BVI law issued by a reputable BVI law firm in connection with the issue of the Bonds, addressed to the Bondholders
and otherwise in form and substance satisfactory to the Bondholders, that the Share Charge (x) constitutes legal, valid and binding
obligations of Jurchen Investment Corporation and (y) is enforceable against Jurchen Investment Corporation;

 

“BVI Registration Deadline”
means the date falling 20 Business Days after the date of the Share Charge;

 

“Hong Kong” means Hong
Kong Special Administrative Region of the People’s Republic of China;

 

    1-33

     

    

 

“HK Registration Conditions”
means the receipt by the Bondholders of:

 

		(I)	a certificate signed by any one member of the board
of directors of Aptorum Group Limited from time to time, or one of its duly authorised officer, confirming the completion of the
registration of the Account Charge with the Companies Registry of Hong Kong within one calendar month of the date of the Account
Charge; and

 

		(I)	a legal opinion as to Hong Kong law issued by a reputable
Hong Kong law firm in connection with the issue of the Bonds, addressed to the Bondholders and otherwise in form and substance
satisfactory to the Bondholders, that the Account Charge (x) constitutes legal, valid and binding obligations of Aptorum Group
Limited and (y) is enforceable against Aptorum Group Limited;

 

“HK Registration Deadline”
means the date falling one calendar month of the date of the Account Charge;

 

a “No Registration Event”
occurs when either the HK Registration Conditions or the BVI Registration Conditions are not complied with on or before the HK
Registration Deadline or BVI Registration Deadline, as the case may be;

 

a “person” includes any
individual, company, corporation, firm, partnership, joint venture, undertaking, association, organisation, trust, state or agency
of a state (in each case whether or not being a separate legal entity) but does not include the Issuer’s board of directors or
any other governing board and does not include the Issuer’s direct or indirect Subsidiaries;

 

a “Related Person”
means with respect to any shareholder (i) any trusts established for the benefit of such shareholders and/or their immediate family
members and/or siblings, (ii) any of their executors and/or beneficiaries of their estate, (iii) any companies in which they control,
directly or indirectly, a majority of the Voting Rights and have the ability to appoint and/or remove all the members of the board
of directors or other governing body or (iv) their extended family members including spouses, children, parents and siblings;

 

a
“Relevant Event” means:

 

		(I)	following
the occurrence of a QIPO, when the Shares cease to be listed or admitted to trading or are suspended for a period equal to or
exceeding 30 consecutive Trading Days on the Relevant Stock Exchange; or

 

		(II)	the
occurrence of a No Registration Event; or

 

		(III)	the
occurrence of a Change of Control,

 

and
none of the above Relevant Events shall constitute an Event of Default.

 

“Voting Rights” means
the right generally to vote at a general meeting of shareholders of a specified person.

 

		(d)	Purchase

 

The Issuer or any of its Subsidiaries may,
subject to applicable laws and regulations, at any time and from time to time purchase Bonds at any price in the open market or
otherwise.

 

		(e)	Cancellation

 

All Bonds which are redeemed, converted
or purchased by the Issuer or any of its Subsidiaries will forthwith be cancelled. Bond Certificates in respect of all Bonds cancelled
will be forwarded to or to the order of the Registrar and such Bonds may not be reissued or resold.

 

    1-34

     

    

 

		(f)	Redemption Notices

 

All notices to Bondholders
given by or on behalf of the Issuer pursuant to this Condition 9 will be irrevocable and will be given in accordance with Condition
13 specifying: (a) the Conversion Price as at the date of the relevant notice (if applicable); (b) the last day on which Conversion
Rights may be exercised (if applicable); (c) the Closing Price and Current Market Price of the Shares on the latest practicable
date prior to the publication of the notice (if applicable); (d) the Early Redemption Amount or Issuer’s Redemption Price or any
redemption price as agreed between the Issuer and the Bondholders, as the case may be, and accrued interest payable (if any); (e)
the date for redemption; (f) the manner in which redemption will be effected; (g) the aggregate principal amount of the Bonds Outstanding
as at the latest practicable date prior to the publication of the notice; and (h) such other information as the Bondholders may
require. If more than one notice of redemption is given (being a notice given by either the Issuer or a Bondholder pursuant to
this Condition 9), the first in time shall prevail.

 

		10.	Taxation

 

		(a)	Payment without Withholding

 

All payments of principal, premium (if
any) and interest made by or on behalf of the Issuer or the Guarantor in respect of the Bonds or under the Deed of Guarantee or
Transaction Documents shall be made free from any restriction or condition and be made without deduction or withholding for or
on account of any present or future taxes, duties, assessments or governmental charges of whatever nature imposed, levied collected,
withheld or assessed by or on behalf of Hong Kong, the British Virgin Islands, the United States or the Cayman Islands or any jurisdiction
in which the Issuer is tax resident, in each case including any political subdivision thereof or any authority thereof or therein
having power to tax (each, a “Relevant Taxing Jurisdiction”) or any jurisdiction through which payments by or
on behalf of the Issuer are made including any political subdivision thereof or any authority thereof on therein having the power
to tax (together with a Relevant Taxing Jurisdiction, a “Relevant Jurisdiction”) unless deduction or withholding
of such taxes, duties, assessments or governmental charges is compelled by the law. In such event, the Issuer or the Guarantor
shall pay such additional amounts (“Additional Tax Amounts”) as will result in the receipt by the Bondholders
of such amounts as would have been received by them had no such deduction or withholding been required, except that no Additional
Tax Amounts shall be payable in respect of any Bond:

 

		(i)	to
a holder (or to a third party on behalf of a holder) who is liable to such taxes, duties, assessments or governmental charges
in respect of such Bond by reason of such holder having some connection with a Relevant Jurisdiction other than the mere holding
of the Bond or by the receipt of amounts in respect of the Bond; or

 

		(ii)	(in
the case of a payment of principal or premium) if the Bond Certificate in respect of such Bond is surrendered more than 30 days
after the Relevant Date except to the extent that the holder of it would have been entitled to such additional amounts on surrendering
the relevant Bond Certificate for payment on the last day of such period of 30 days; or

 

		(iii)	for
or on account of any tax, assessment, withholding or deduction required by FATCA, any current or future U.S. Treasury Regulations
or rulings promulgated thereunder, any intergovernmental agreement between the United States and any other jurisdiction to implement
FATCA, any law, regulation or other official guidance enacted or published in any jurisdiction implementing FATCA or an intergovernmental
agreement with respect thereto, or any agreement with the U.S. Internal Revenue Service under FATCA; or

 

“Relevant Date” means
whichever is the later of (a) the date on which such payment first becomes due and (b) if the full amount payable has not been
received by the Bondholders on or prior to such due date, the date on which, the full amount having
been so received, notice to that effect shall have been given to the Bondholders and cheques despatched or payment made.

  

    1-35

     

    

 

References in these Conditions
to principal, premium and interest shall be deemed also to refer to any additional amounts which may be payable under this Condition
10(a) or any undertaking or covenant given in addition thereto or in substitution therefor pursuant to the Transaction Documents.

 

		(b)	No liability of Bondholders

 

The Bondholders shall not be responsible
for paying any tax, duty, charges, withholding or other payment referred to in this Condition 10(b) or for determining whether
such amounts are payable or the amount thereof, and none of them shall be responsible or liable for any failure by the Issuer,
the Guarantor, or any third party to pay such tax, duty, charges, withholding or other payment in any jurisdiction or to provide
any notice or information to the Issuer that would permit, enable or facilitate the payment of any principal, premium (if any),
interest or other amount under or in respect of the Bonds without deduction or withholding for or on account of any tax, duty,
charge, withholding or other payment imposed by or in any jurisdiction.

 

		(c)	Tax obligations of Bondholders

 

The Subscriber shall be solely responsible
for any income, corporate, capital gains and indirect taxes applicable to and payable by the Bondholders in their respective jurisdictions.
Under no circumstances shall the Issuer be responsible to pay for or indemnify the Bondholders on such taxes.

 

		11.	Events of Default

 

Subject to the provisions of these Conditions
(including Condition 9(b)), if any of the following events (each an “Event of Default”) occurs, a Bondholder may
(subject in any such case to being indemnified and/or secured and/or prefunded to its satisfaction) give notice to the Issuer and
the Guarantor (a “Notice of Event of Default”) that the Bonds are, and they shall immediately become, due and
repayable at their principal amount together with the amounts set out in Condition 6(b) (subject as provided below and without
prejudice to the right of Bondholders to exercise the Conversion Right in respect of their Bonds in accordance with Condition 7)
if:

 

		(i)	Non-Payment:
there has been a failure to pay the principal, premium or any interest on any of the Bonds when due and the default continues,
in the case of principal and premium, for a period of five Payment Business Days from the date on which such amount is due and
payable, and in the case of interest only, for a period of five Payment Business Days from the date on which such amount is due
and payable; or

 

		(ii)	Failure
to deliver Shares: any failure by the Issuer to deliver any Shares as and when the Shares are required to be delivered following
Conversion of Bonds (unless such failure to deliver is caused by the Bondholders or any agents acting on their behalf); or

 

		(iii)	Breach
of Other Obligations: any of the Issuer, its Subsidiaries or the Guarantor does not perform or comply with any one or more
of its other obligations, undertakings, covenants, representation, warranties or other terms in these Conditions (other than those
referred to in Conditions 11(i) and 11(ii)), the Transaction Documents and/or the Security Documents, and which breach of obligations
or failure to perform is not remedied within 30 days after a Notice of Potential Event of Default shall have been given to the
Issuer or the Guarantor by the Bondholders. If on the occurrence of any such breach, the Issuer believes in good faith that the
occurrence of such event is the result of any unsubstantiated or inaccurate third party claims, the Issuer may notify the Bondholders
thereof, with a review to initiating a discussion of the relevant events. Nothing herein shall be taken as a waiver of the Bondholder’s
right to declare an Event of Default following such discussion, unless the Issuer has received a legal opinion from a reputable
law firm (which is mutually accepted by the Issuer and the Bondholders and such cost to be borne by the Issuer) opining that such
claim is unsubstantiated or inaccurate; or

 

    1-36

     

    

 

		(iv)	Cross-Default:
                                         (a) any other present or future indebtedness of any of the Issuer, its Subsidiaries or
                                         the Guarantor, for or in respect of moneys borrowed or raised becomes (or becomes capable
                                         of being declared) due and payable prior to its stated maturity by reason of any default,
                                         event of default or the like (howsoever described but always taking into account any
                                         applicable grace period), or (b) any such indebtedness is not paid when due or, as the
                                         case may be, within any applicable grace period, or (c) the Issuer, any of its Subsidiaries
                                         or the Guarantor fails to pay when due or, as the case may be, within any applicable
                                         grace period, any amount having an aggregate value of at least US$400,000 payable by
                                         it under any present or future guarantee for, or indemnity in respect of, any moneys
                                         borrowed or raised, and which such indebtedness is not repaid or failure to pay is not
                                         remedied within 30 days after a Notice of Potential Event of Default shall have been
                                         given to the Issuer or the Guarantor by the Bondholders; or

 

		(v)	Enforcement
Proceedings: a distress, attachment, execution or other legal decision is levied, enforced or sued out on or against substantially
all of the property, assets or revenues (as applicable) of any of the Issuer, its Subsidiaries or the Guarantor having an aggregate
value of at least US$400,000 and is not discharged or stayed within 30 days of having been so levied, enforced or sued out on;
or

 

		(vi)	Security
Enforced: any mortgage, charge, pledge, lien or other encumbrance, present or future, created or assumed by any of the Issuer,
its Subsidiaries or the Guarantor becomes enforceable and any step is taken to enforce it (including the taking of possession
or the appointment of a receiver, manager or other similar person) against substantially all of the property, assets or revenues
of the Issuer, any of its Subsidiaries or the Guarantor, unless the aggregate amount of any such enforced security is less than
US$400,000; or

 

		(vii)	Winding-up:
an order is made or an effective resolution passed for the winding-up or dissolution, judicial management or administration of
any of the Issuer, its Subsidiaries or the Guarantor (except for a members’ voluntary solvent winding up of a Subsidiary), or
any of the Issuer, its Subsidiaries or the Guarantor ceases or threatens to cease to carry on all or substantially all of its
Ordinary Business or operations, except for the purpose of and followed by a reconstruction, amalgamation, reorganisation, merger
or consolidation (a) on terms approved by the Bondholders, or (b) in the case of a Subsidiary, whereby the undertaking and assets
of such Subsidiary are transferred to or otherwise vested in any of the Issuer, its Subsidiaries or the Guarantor; or

 

		(viii)	Insolvency:
any of the Issuer, its Subsidiaries or the Guarantor is (or is, or could be, deemed by law or a court to be) insolvent or bankrupt
or unable to pay its debts, stops, suspends or threatens to stop or suspend payment of all or substantially all of its debts,
proposes or makes any agreement for the deferral, rescheduling or other readjustment of all of its debts, proposes or makes a
general assignment or an arrangement or composition with or for the benefit of the relevant creditors in respect of any substantial
part of such debts or a moratorium is agreed or declared in respect of or affecting all or any substantial part of (or of a particular
type of) the debts of any of the Issuer, its Subsidiaries or the Guarantor except for the purpose of and followed by a reconstruction,
amalgamation, reorganisation, merger or consolidation (a) on terms approved by the Bondholders, or (b) in the case of a Subsidiary,
whereby the undertaking and assets of such Subsidiary are transferred to or otherwise vested in any of the Issuer, its Subsidiaries
or the Guarantor; an administrator or liquidator of any of the Issuer, its Subsidiaries or the Guarantor or all or substantially
all of the assets and turnover of any of the Issuer, its Subsidiaries or the Guarantor is appointed; or

 

    1-37

     

    

 

		(ix)	Nationalisation:
(a) any step is lawfully taken by any competent governmental authority with a view to the seizure, compulsory acquisition, expropriation
or nationalisation of all or substantially all of the assets of any of the Issuer, its Subsidiaries or the Guarantor or (b) any
of the Issuer, its Subsidiaries or the Guarantor is prevented by any competent governmental authority from exercising normal control
over all or substantially all of its property, assets and turnover; or

 

		(x)	Authorisation
and Consents: any action, condition or thing (including the obtaining or effecting of any necessary consent, approval, authorisation,
exemption, filing, licence, order, recording or registration) at any time required to be taken, fulfilled or done in order (a)
to enable the Issuer, its Subsidiaries and/or the Guarantor lawfully to enter into, exercise its rights and perform and comply
with its obligations under the Bonds and/or the Security Documents, or (b) to ensure that those obligations are legally binding
and enforceable against the Issuer, its Subsidiaries and the Guarantor, or (c) to make the Bonds, the Transaction Documents and/or
the Security Documents admissible in evidence in the courts of Cayman Islands and Hong Kong is not taken, fulfilled or done; or

 

		(xi)	Illegality:
it is or will become unlawful for any of the Issuer, its Subsidiaries and/or the Guarantor to perform or comply with any one or
more of its obligations under any of the Bonds, the Transaction Documents and/or the Security Documents;

 

		(xii)	Analogous
Events: any event occurs which under the laws of any relevant jurisdiction has an analogous effect to any of the events referred
to in any of Conditions 11(v) to 11(xi) (both inclusive);

 

		(xiii)	Key
Man: Either of Mr. Ian Huen or Mr. Darren Lui ceases to hold the position of chief executive director or president respectively,
or to be actively involved in the management or operation, of the Issuer; or any change in the composition of the board of directors
of the Issuer or the Guarantor occurs without any prior written consent of the Bondholders;

 

		(xiv)	Material
Adverse Change: there shall have occurred any change (nor any development or event involving a prospective change) in the
condition (financial or other), assets, liabilities, business, management, prospects, shareholders’ equity, results of operations
or performance of the Group as a whole or general affairs of the Issuer or the Group which, in the reasonable opinion of the Bondholders,
is material and adverse in the context of the issue and offering of the Bonds, which default is not remedied within 30 days after
a Notice of Potential Event of Default shall have been given to the Issuer or the Guarantor by the Bondholders;

 

		(xv)	Debt
Service Reserve Account: the Bondholders determine that they cease to have adequate control as a secured creditor over the
Debt Service Reserve Account (including without limitation any unilateral change of any authorised signatory or bank mandate in
respect of the Debt Service Reserve Account by any other member of the Group without any prior written consent of the Bondholders),
unless such event or default is caused by the wilful misconduct, gross negligence or fraud on the part of the Bondholders;

 

		(xvi)	Security
                                                                                                                                                                           Documents not in force: the validity of any of the Security Document is contested by the Issuer or the Guarantor through
                                                                                                                                                                           an official action, or any of the Issuer or the Guarantor through an official action denies any of its obligations pursuant
                                                                                                                                                                           to any Security Document or it is or will become unlawful for the Issuer or the Guarantor to perform or comply with any of
                                                                                                                                                                           its obligations pursuant to any Security Documents or any of such obligations are or become unenforceable or invalid, or any
                                                                                                                                                                           Security Documents is not (or
is claimed by the Guarantor not to be) in full force and effect; and

 

    1-38

     

    

 

		(xvii)	Guarantee not in force: the validity of the Deed
of Guarantee is contested by the Guarantor through an official action, or the Guarantor through an official action denies any
of its obligations pursuant to the Deed of Guarantee or it is or will become unlawful for the Guarantor to perform or comply with
any of its obligations pursuant to the Deed of Guarantee or any of such obligations are or become unenforceable or invalid, or
the Deed of Guarantee is not (or is claimed by the Guarantor not to be) in full force and effect.

 

Each of the Issuer and the Guarantor undertakes
to notify in writing the Bondholders upon the occurrence of any of the events specified in Conditions 11(i) to 11(xvii) if either
the Issuer or the Guarantor is aware of or has determined that such event has occurred. Nothing herein constitutes or shall be
deemed to constitute a waiver of any rights or remedies available to the Issuer or the Guarantor resulting from or based upon any
wrongful acceleration to call an Event of Default.

 

		12.	QIPO

 

For the purposes of a QIPO, if the Issuer
designates any entity other than itself (the “Listing Entity”) to be listed, and the ordinary shares of such Listing
Entity become listed, quoted, admitted to trading or dealt in, on NASDAQ or an Alternative Stock Exchange and such listing would
constitute a QIPO if the shares listed had been Shares of the Issuer, the Issuer agrees to make such modification to these Conditions,
the Bonds and/or the Transaction Documents as the Bondholders deem necessary to maintain the same commercial effect as if the Listing
Entity had been the Issuer. Any such modification shall not be prejudicial to the interests of the Bondholders. The Issuer shall,
upon a modification pursuant to this Condition 12, give notice to the Bondholders in accordance with Condition 13.

 

		13.	Notices

 

All notices to Bondholders shall be validly
given if mailed to them at their respective addresses in the Register via reputable courier services. Any such notice shall be
deemed to have been given at the time of delivery to the Bondholder after being so mailed via reputable courier services.

 

Notices to be given by any Bondholder
shall be in writing and given by lodging the same, together with the relative Certificate, with the Registrar or the Issuer.

 

		14.	Prescription

 

Claims in respect of amounts due in respect
of the Bonds shall be prescribed and become void unless made as required by Condition 8 within 10 years (in the case of principal
and premium) and 5 years (in the case of interest) from the appropriate Relevant Date.

 

		15.	Replacement of Bond Certificates

 

If any Bond Certificate is lost, stolen,
mutilated, defaced or destroyed, it may be replaced at the specified office of the Registrar, subject to all applicable laws, upon
payment by the claimant of the expenses incurred in connection with such replacement and on such terms as to evidence and indemnity
as the Issuer, the Guarantor and such Registrar may require. Mutilated or defaced Bond Certificates must be surrendered before
replacements will be issued.

 

		16.	Further Issues

 

The Issuer may from time to time without
the consent of the Bondholders to create and issue further securities either having the same terms and conditions as the Bonds
in all respects (or in all respects except for the first payment of interest on them) and so that such
further issue shall be consolidated and form a single series with the outstanding securities of any series (including the Bonds)
or upon such terms as the Issuer may determine at the time of their issue. References in these Conditions to the Bonds include
(unless the context requires otherwise) any other securities issued pursuant to this Condition 16 and forming a single series with
the Bonds.

 

    1-39

     

    

 

		17.	Governing Law and Submission to Jurisdiction

 

		(a)	Governing Law

 

The Bonds and the Transaction Documents
and any non-contractual obligations arising out of or in connection with them are governed by, and shall be construed in accordance
with, Hong Kong law.

 

		(b)	Arbitration

 

		(i)	Any
dispute, controversy, difference or claim arising out of or relating to this Agreement, including the existence, validity, interpretation,
performance, breach or termination thereof or any dispute regarding non-contractual obligations arising out of or relating to
it shall be referred to and finally resolved by arbitration administered by the Hong Kong International Arbitration Centre (“HKIAC”)
under the HKIAC Administered Arbitration Rules in force when the Notice of Arbitration is submitted.

 

		(ii)	The
law of this arbitration clause shall be Hong Kong law.

 

		(iii)	The
seat of arbitration shall be Hong Kong.

 

		(iv)	The
number of arbitrators shall be three. The arbitration proceedings shall be conducted in English.

 

		(v)	For
the avoidance of doubt, any dispute, controversy, difference or claim arising out of or relating to the Account Charge or Share
Charge shall be referred to and finally resolved by the courts of Hong Kong pursuant to the provisions of the Account Charge or
Share Charge, as the case may be.

 

		18.	Rights of Third Parties

 

No person shall have any right to enforce
any term or Condition of the Bonds or any provision of the Transaction Documents under the Contracts (Rights of Third Parties)
Ordinance (Cap. 623 of the Laws of Hong Kong) save where expressly provided for.

 

		19.	Termination

 

These Conditions shall be of no further
effect when none of the Bonds remains Outstanding.

 

    1-40

     

    

 

SCHEDULE 1

 

FORM OF BOND CERTIFICATES

 

Certificate No.:                                  

Amount:                                        

 

Aptorum Group Limited

(Incorporated in Cayman Islands with limited
liability)

 

Aggregate Principal Amount of US$15,000,000

8.00 per cent. Convertible Bonds due 2019

 

Aptorum Group Limited (the
“Issuer”) hereby CERTIFIES that Peace Range Limited whose address is situated at [ ] (the
“Bondholder”) is, at the date hereof, entered in the Issuer’s Register of Bondholders as the holder
of the 8.00 per cent. convertible bonds due 2019 (the “Bonds”) in the principal amount of US$15,000,000.
For value received, the Issuer promises to pay the Bondholder who appears at the relevant time on the Register of Bondholders
of the Issuer as the holder of the Bonds in respect of which this Certificate is issued, such amount or amounts as shall
become due in respect of the Bonds and otherwise to comply with the Terms and Conditions of the Bonds endorsed hereon (the
“Conditions”).

 

The Bonds are issued with the benefit and
subject to the Conditions. The Bonds in respect of which this Certificate is issued are convertible into fully-paid class A ordinary
shares of the Issuer in accordance with the Conditions.

 

The Bonds in respect of which this Certificate
is issued are in registered form. This Certificate is evidence of entitlement only. Title to the Bonds passes only on due registration
in the Register of Bondholders and only the duly registered holder is entitled to payments on the Bonds in respect of which this
Certificate is issued.

 

The Bonds in respect of
which this Certificate is issued form part of all the Bonds in the aggregate principal amount of US$15,000,000 issued by the Issuer
on                                                                 2018.

 

This certificate is governed by, and shall
be construed in accordance with the laws of Hong Kong.

 

In witness whereof the Issuer has
caused this Certificate to be executed and delivered as a deed
on                                              
2018.

 

Note: The Bonds cannot be transferred to
bearer on delivery and is deliverable only to the extent permitted by the Conditions. The Bonds must be delivered to the Issuer
for cancellation and the re-issue of an appropriate certificate in the event of any such transfer.

 

Dated the________day of________________2018

 

    1-41

     

    

 

EXECUTED and DELIVERED 

as a DEED by Aptorum Group Limited 

and SIGNED by __________________

as __________________

 

in the presence of:

 

                                                                           

Witness signature

Witness name:

Occupation:

 

    1-42

     

    

 

SCHEDULE 2

 

FORM OF TRANSFER

 

Aptorum Group Limited

(Incorporated in Cayman Islands with limited
liability)

 

Aggregate Principal Amount of US$15,000,000

8.00 per cent. Convertible Bonds due 2019

 

FOR VALUE RECEIVED the undersigned hereby transfers to:

 

                                                                                                       

 

                                                                                                      

 

(Please print or typewrite name and registered address of transferee)

 

US$                                  principal
amount of the Bonds in respect of which this Certificate is issued, and all rights in respect thereof.

 

All payments in respect of the Bonds hereby transferred are
to be made (unless otherwise instructed by the transferee) to the following account, which shall (until further notice) be the
registered account of the transferee for the purposes of Condition 3(b):

 

Name of bank:

 

U.S. dollar account number:

 

For the account of:

 

The registered address of the transferee for the purposes of
Condition 3 is stated above.

 

Date:                                                         

 

Bondholder-Transferor’s name :                                                                                     

 

Bondholder-Transferor’s signature:                                                                                     

 

Bondholder-Transferor’s witness:                                                                                     

 

Transferee’s name:                                                                                     

 

Transferee’s signature :                                                                                     

 

Transferee’s witness:                                                                                     

 

Notes:

 

(i)      A representative of the Bondholder
should state the capacity in which he signs, e.g. director.

 

(ii)     The signature of the person effecting
a transfer shall conform to any list of authorised specimen signatures supplied by the registered holder or be certified by a recognised
bank, notary public or in such other manner as the Registrar requires.

 

(iii)   Any transfer of the Bonds shall be in accordance
with Condition 3 of the Terms and Conditions attached to the Bonds.

 

    1-43

     

    

 

SCHEDULE 3

 

FORM OF REDEMPTION NOTICE

 

Aptorum Group Limited

(Incorporated in Cayman Islands with limited
liability)

 

Aggregate Principal Amount of US$15,000,000

8.00 per cent. Convertible Bonds due 2019

 

To the Bondholder:

 

[●]

 

Aptorum Group Limited (the “Issuer”)
hereby notifies the holders of the 8.00 per cent. Convertible Bonds due 2019 (the “Bonds”) (pursuant to the Subscription
Agreement and the Conditions in relation to the Bonds as follows:

 

		1.	Effective
[●], 20[●] (the “Redemption Date”), the Issuer shall redeem US$15,000,000 aggregate principal
amount of the Bonds pursuant to Clause 9(b) of the Conditions at [insert redemption amount calculated in accordance with the Conditions]
per cent of their outstanding principal amount (the “Issuer’s Redemption Price”).

 

		2.	The
aggregate principal amount of the Bonds, as of [●] 20[●], being the latest practicable date prior to the date hereof,
is US$[ ● ], and the Bond Certificate representing such Bonds bears the certificate number of [●].

 

		3.	On
the Redemption Date, the Issuer’s Redemption Price will become due and payable by the Issuer.

 

		4.	The
relevant Bond Certificate should be surrendered for payment of the Redemption Amount to the following addresses:

 

[●]

 

Capitalized terms used but not otherwise
defined herein have the meanings given to them in the Subscription Agreement and the Conditions.

 

Very truly yours,

 

[●]

 

By:                                                                     

Name:

Title:

 

    1-44

     

    

 

SCHEDULE 4

 

FORM OF CONVERSION
NOTICE

 

Aptorum Group Limited

 (Incorporated in Cayman Islands with
limited liability)

 

Aggregate Principal Amount of US$15,000,000

8.00 per cent. Convertible Bonds due 2019

 

(Please read the notes overleaf before completing this Notice.)

 

Name: ____________________________

 

Date: ___________________________

 

Address: ___________________________

 

Tel No: __________________________

 

Fax No: __________________________

 

Signature1:

 

                                                 

 

To: Aptorum Group Limited

 

I/We, being the holders of the Bonds specified
below, hereby irrevocably elect to convert such Bonds into fully-paid class A ordinary shares of the Issuer (the “Shares”)
with no par value in accordance with the terms and conditions of the Bonds.

 

		1.	Total principal amount, number and identifying numbers of
Bonds to be converted:

 

Total principal amount:                                              

 

Total number of Bonds:                                              

 

Identifying numbers of Bonds
(if relevant)*:                                              

 

Identifying numbers of Bond
Certificates deposited in respect of Bonds to be converted 

(if relevant): ______________

 

N.B. If necessary, the identifying
numbers of Bonds and Certificates can be attached separately. 

 

 

		1	A corporation should sign under hand by an authorised official
who must state his/her capacity and print the name of the relevant corporation.

 

    1-45

     

    

 

		2.	Name(s) and address(es) of person(s) in whose name(s) the
Shares required to be delivered on conversion are to be registered:

 

	 	Name:	 	 
	 	Address: 	 	 
	 	 	 	 
	 	Telephone Number: 	 	 
	 	Fax Number: 	 	 

 

		3.	I/We certify that the amount of (if any) stamp, issue, registration
or other similar taxes and duties (“Duties”):

 

		(a)	arising
upon exercise of the Conversion Right in the country in which such Conversion Rights are exercised is:

 

Amount:                                  

 

Country in which Conversion Rights are exercised:
                                 

 

and/or

 

	 	(b)	payable
    in any jurisdiction consequent upon the issue or transfer of Shares to or to the order of a person other than the exercising
    Bondholder is:

 

Amount:                                  

 

Country in which Duties are payable:                                 

 

		4.	The Issuer shall pay all stamp, issue, registration, excise
and similar taxes and duties (if any) (“Duties”) arising on conversion of the Bonds or payable consequent upon
the issue, delivery or transfer of Shares or any other property or cash upon conversion and the expenses arising on the issue
of Shares on conversion of the Bonds.

 

 

 

		2	The Issuer’s register of shareholders will be closed
on the following dates: [ ● ]

 

		3	Payment Instructions

 

Please make payment in respect of the above Bonds as follows:

 

*(a) by transfer to the registered account of the holder appearing
in the Register.

 

*(b) by transfer to the following U.S. dollar account in [ ● ]:

 

Bank: [ ● ]

 

Branch Address: [ ● ]

 

Branch Code: [ ● ]

 

Account Number: [ ● ]

 

Account Name: [ ● ]

 

*Delete as appropriate Signature of holder

 

    1-46

     

    

 

N.B.

 

		(i)	This
Conversion Notice will be void unless the introductory details and Sections 1 to 3 are completed.

 

		(ii)	Your
attention is drawn to Condition 7(c) of the Bonds with respect to the conditions precedent which must be fulfilled before the
Bonds specified above will be treated as effectively eligible for conversion.

 

		(iii)	The
converting Bondholder will be required to submit any necessary documents required in order to effect despatch in the manner specified.

 

		(iv)	If
a retroactive adjustment contemplated by the terms and conditions of the Bonds is required in respect of a conversion of Bonds,
certificates for the additional Shares deliverable pursuant to such retroactive adjustment (together with any other securities,
property or cash) will be delivered or despatched in the same manner as the Shares, other securities, property and cash or, as
the case may be, Equivalent Amount previously issued pursuant to the relevant Conversion Notice.

 

For Issuer’s use only:

 

	1	(A)	Bond
conversion identification reference: [ ● ] Aptorum Group Limited US$15,000,000 8.00 per cent. Convertible
Bonds due 2019
	 	 	 
	 	(B)	Deposit Date:                                        
	 	 	 
	 	(C)	Conversion Date:                                        
	 	 	 
	2	(A)	Aggregate principal amount of Bonds in respect
of which Certificates have been deposited for conversion:
	 	 	 
	 	(B)	Conversion Price on Conversion Date:
	 	 	 
	 	(C)	Number of Shares issuable:
	 	 	 
	 	(D)	Interest payable:
	 	 	 
	3	(if applicable) amount of cash payment due to converting Bondholder under
          Condition 7(b)(iv) in respect of fractions of Shares: 
	 	 
	 	                             

 

The Issuer must complete items 1, 2 and (if applicable) 3

 

    1-47

     

    

 

SCHEDULE 5

 

Applicable discounts provided in Conditions
7(b)(iii)(A) and 7(b)(iii)(B)

 

The table below sets out the applicable
discounts provided in Conditions 7(b)(iii)(A) and 7(b)(iii)(B) and is for illustrative purposes only. The following scenarios only
describe certain possible circumstances and are not exhaustive.

 

	The date on which
    a QIPO has occurred	 	Onthe  
date falling 6 calendar months afterthe

    Issue Date	 	 	Onthe date falling12 calendar months afterthe

    Issue Date	 	 	Onthe date falling 18 calendar months afterthe

    Issue Date	 
	TheprorataRate
    of Interest accrued and/or paid as of such date (W)	 	 	4	%	 	 	8	%	 	 	12	%
	Originaldiscountbeforeany
    offset (X)	 	 	23	%	 	 	23	%	 	 	28	%
	Offset
    amount (Y = W*50%)	 	 	2	%	 	 	4	%	 	 	6	%
	Discount
    to the IPO Share Price after offset (Z = X - Y) to be applied to the IPO Share Price	 	 	21	%	 	 	19	%	 	 	22	%

 

 

 

1-48

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