Document:

Exhibit 10.1

 

Pareteum
Corporation

 

Senior Secured Convertible Note due 2025

 

THE ISSUANCE AND SALE OF NEITHER THE SECURITIES
REPRESENTED BY THIS CERTIFICATE NOR THE SECURITIES INTO WHICH THESE SECURITIES ARE CONVERTIBLE HAVE BEEN REGISTERED UNDER THE SECURITIES
ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR APPLICABLE STATE SECURITIES LAWS. THE SECURITIES MAY NOT BE OFFERED
FOR SALE, SOLD, TRANSFERRED OR ASSIGNED EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT OR PURSUANT
TO AN EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION AND PROSPECTUS-DELIVERY REQUIREMENTS OF THE SECURITIES
ACT.

 

     

     

    

 

Pareteum
Corporation

 

Senior Secured Convertible Note due 2025

 

Certificate No.A-1

 

Pareteum Corporation,
a Delaware corporation, for value received, promises to pay to HT Investments SA LLC (the “Initial Holder”),
or its registered assigns, the principal sum of seventeen million five hundred thousand dollars ($17,500,000) (such principal sum,
the “Principal Amount”) on April 1, 2025, and to pay interest thereon, as provided in this Note, in each case
as provided in and subject to the other provisions of this Note, including the earlier redemption, repurchase or conversion of
this Note.

 

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

 

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

 

     

     

    

 

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

 

 

	 	Pareteum
Corporation
	Date:     June 8, 2020	 
	 	By:	/s/ Alexander Korff
	 	 
	 	 	Name: Alexander Korff
	 	 
	 	 	Title:   Secretary

 

[Signature Page to Senior Secured Convertible
Note due 2025, Certificate No. A-1]

 

     

     

    

 

Pareteum
Corporation

Senior Secured Convertible Note due 2025

 

This Note (this “Note”
and, collectively with any Note issued in exchange therefor or in substitution thereof, the “Notes”) is issued
by Pareteum Corporation, a Delaware corporation (the “Company”), and designated as its “Senior Secured
Convertible Notes due 2025.”

 

Section
1.               Definitions.

 

“Additional
Financing Date” means the date the Company has received aggregated net cash proceeds of not less than four million dollars
($4,000,000) from Hoving & Partners SA or its Affiliates, or another Person or Persons acceptable to the Holder in its sole
discretion, pursuant to one or more issuances of Capital Stock or incurrences of Permitted Indebtedness.

 

“Additional Financing Date Conversion
Rate” means a number of shares of Common Stock per $1,000 Principal Amount of Notes equal to a fraction (rounded to the
nearest fourth decimal place) (A) whose numerator is $1,000 and (B) whose denominator is 105% of the Last Reported Sale Price on
the Trading Day prior to the Additional Financing Date.“Adjustment Period” has the meaning set forth in Section
8(F)(ii)(1)(d).

 

“Adjustment
Right” means any right granted with respect to any securities issued in connection with, or with respect to, any issuance
or sale (or deemed issuance or sale in accordance with Section 8(F)(ii)) of shares of Common Stock that could result in
a decrease in the net consideration received by the Company in connection with, or with respect to, such securities (including,
without limitation, any cash settlement rights, cash adjustment or other similar rights).

 

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

 

“Anti-Dilution Date”
has the meaning set forth in Section 8(F)(ii)(1).

 

“Applicable
Price” has the meaning set forth in Section 8(F)(ii)(1).

 

“Approved
Stock Plan” means any employee benefit plan which has been approved by the Board of Directors of the Company prior to
or subsequent to the date hereof pursuant to which shares of Common Stock and standard options to purchase Common Stock may be
issued to any employee, officer, director or consultant for services provided to the Company in their capacity as such.

 

“Attribution
Parties” means, collectively, the following Persons and entities: (i) any investment vehicle, including, any funds, feeder
funds or managed accounts, currently, or from time to time after the Issue Date, directly or indirectly managed or advised by the
Holder's investment manager or any of its Affiliates or principals, (ii) any direct or indirect Affiliates of the Holder or any
of the foregoing, (iii) any Person acting or who could be deemed to be acting as a “group” (within the meaning of Section
13(d)(3) of the Exchange Act) together with the Holder or any of the foregoing and (iv) any other Persons whose beneficial ownership
of the Common Stock would or could be aggregated with the Holder’s and the other Attribution Parties for purposes of Section
13(d) of the Exchange Act. For clarity, the purpose of the foregoing is to subject collectively the Holder and all other Attribution
Parties to the Maximum Percentage.

 

     - 1 -

     

    

 

“Authorized
Denomination” means, with respect to the Notes, a Principal Amount thereof equal to $1,000 or any integral multiple of
$1,000 in excess thereof.

 

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

 

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

 

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

 

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

 

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

 

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

 

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

 

“Cash” means all
cash and liquid funds.

 

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“Cash Equivalents”
means, as of any date of determination, any of the following: (A) marketable securities (i) issued or directly and unconditionally
guaranteed as to interest and principal by the United States Government, or (ii) issued by any agency of the United States the
obligations of which are backed by the full faith and credit of the United States, in each case maturing within one (1) year after
such date; (B) marketable direct obligations issued by any state of the United States of America or any political subdivision of
any such state or any public instrumentality thereof, in each case maturing within one (1) year after such date and having, at
the time of the acquisition thereof, a rating of at least A-1 from Standard & Poor’s Corporation or at least P-1 from
Moody’s Investors Service; (C) commercial paper maturing no more than one (1) year from the date of creation thereof and
having, at the time of the acquisition thereof, a rating of at least A-1 from Standard & Poor’s Corporation or at least
P-1 from Moody’s Investors Service; (D) certificates of deposit or bankers’ acceptances maturing within one (1) year
after such date and issued or accepted by any commercial bank organized under the laws of the United States of America or any State
thereof or the District of Columbia that (i) is at least “adequately capitalized” (as defined in the regulations of
its primary federal banking regulator), and (ii) has Tier 1 capital (as defined in such regulations) of not less than $100,000,000;
and (E) shares of any money market mutual fund that (i) has substantially all of its assets invested continuously in the types
of investments referred to in clauses (A) and (B) above, (ii) has net assets of not less than $500,000,000, and (iii) has the highest
rating obtainable from either Standard & Poor’s Corporation or Moody’s Investors Service.

 

“Close of
Business” means 5:00 p.m., New York City time.

 

“Collateral”
has the meaning set forth in the Security Agreement

 

“Collateral
Agent” means HT Investments SA LLC, in its capacity as collateral agent for the Holder and each Other Holder,
together with any successor thereto in such capacity.

 

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

 

“Common Stock”
means the common stock, $0.001 par value per share, of the Company, subject to Section 8(I).

 

“Common Stock
Change Event” has the meaning set forth in Section 8(I).

 

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

 

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“Conversion
Consideration” has the meaning set forth in Section 8(D)(i).

 

“Conversion
Date” means, with respect to a Note, the first Business Day on which the requirements set forth in Section 8(C)(i)
to convert such Note are satisfied.

 

“Conversion
Price” means, as of any time, an amount equal to (A) one thousand dollars ($1,000) divided by (B) the Conversion
Rate in effect at such time.

 

“Conversion
Rate” initially means 1666.6667 shares of Common Stock per $1,000 Principal Amount of Notes; provided, that on the Additional
Financing Date, if the Additional Financing Date Conversion Rate is lower than the then current Conversion Rate, the Conversion
Rate shall be reduced to equal the Additional Financing Date Conversion Rate; and, provided, further, that on the
Specified Conditions Date, if the Specified Conditions Conversion Rate is lower than the then current Conversion Rate, the Conversion
Rate shall be reduced to equal the Specified Conditions Conversion Rate. Notwithstanding anything to the contrary herein, the
Conversion Rate is subject to adjustment pursuant to Section 8 at all times, and whenever this Note refers to the Conversion
Rate as of a particular date without setting forth a particular time on such date, such reference will be deemed to be to the
Conversion Rate immediately after the Close of Business on such date.

 

“Convertible
Securities” means any stock or other security (other than Options) that is at any time and under any circumstances, directly
or indirectly, convertible into, exercisable or exchangeable for, or which otherwise entitles the holder thereof to acquire, any
shares of Common Stock.

 

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

 

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

 

“Covering
Price” has the meaning set forth in Section 8(D)(v)(1).

 

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

 

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

 

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

 

“Defaulted
Amount” has the meaning set forth in Section 4(B).

 

“Defaulted
Shares” has the meaning set forth in Section 8(D)(v).

 

“Dilutive Issuance” has
the meaning set forth in Section 8(F)(ii)(1).

 

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

 

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

 

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

 

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

 

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

 

“DTC”
means The Depository Trust Company.

 

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

 

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

 

“Equity Conditions”
will be deemed to be satisfied as of any date if all of the following conditions are satisfied as of such date and on each of the
twenty (20) previous Trading Days: (A) the shares issuable upon conversion of this Note are Freely Tradable; (B) the Holder is
not in possession of any material non-public information provided by or on behalf of the Company; (C) the issuance of such shares
will not be limited by Section 8(J); (D) the Company is in compliance with Section 8(E)(i) and such shares will satisfy
Section 8(E)(i); (E) no public announcement of a pending, proposed or intended Fundamental Change has occurred that has
not been abandoned, terminated or consummated; (F) the Daily VWAP per share of Common Stock is not less than $0.50 (subject to
proportionate adjustments for events of the type set forth in Section 8(F)(i)(1)); (G) the daily dollar trading volume (as
reported on Bloomberg) of the Common Stock on the applicable Eligible Exchange on such date and for at least 17 of the prior 20
Trading Days is not less than seven hundred fifty thousand dollars ($750,000); and (H) no Default or Event of Default will have
occurred or be continuing.

 

     - 5 -

     

    

 

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

 

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

 

“Event of
Default Acceleration Amount” means, with respect to the delivery of a notice pursuant to Section 11(B)(ii) declaring
this Note to be due and payable immediately on account of an Event of Default, a cash amount equal to the greater of (A) one hundred
twenty percent (120%) of the then outstanding Principal Amount of this Note plus accrued and unpaid interest on this Note; and
(B) one hundred twenty percent (120%) of the product of (i) the Conversion Rate in effect as of the Trading Day immediately preceding
the date such notice is so delivered; (ii) the total then outstanding principal portion of the Principal Amount (expressed in thousands)
of this Note plus accrued and unpaid interest on this Note; and (iii) the greater of (x) the highest Daily VWAP per share of Common
Stock occurring during the thirty (30) consecutive VWAP Trading Days ending on, and including, the VWAP Trading Day immediately
before the date such notice is so delivered and (y) the highest Daily VWAP per share of Common Stock occurring during the thirty
(30) consecutive VWAP Trading Days ending on, and including, the VWAP Trading Day immediately before the date the applicable Event
of Default occurred.

 

“Event of
Default Additional Shares” means, with respect to the conversion of this Note (or any portion of this Note), an amount
equal to the excess, if any, of (A) the Event of Default Conversion Rate applicable to such conversion over (B) the Conversion
Rate that would otherwise apply to such conversion without giving effect to Section 8(H). For the avoidance of doubt, the
Event of Default Additional Shares cannot be a negative number.

 

“Event of
Default Conversion Period” means, with respect to an Event of Default, the period beginning on, and including, the date
such Event of Default occurs and ending on later of (A) the twentieth (20th) Trading Day after the Holder’s receipt of an
Event of Default Notice and (B) five (5) Trading Days after the date the Holder receives notice from the Company that such Event
of Default has been cured.

 

“Event of
Default Conversion Price” means, with respect to the conversion of this Note (or any portion of this Note), the greater
of (i) the Floor Price and (ii) the lesser of (A) the Conversion Price that would be in effect immediately after the Close of Business
on the Conversion Date for such conversion, without giving effect to Section 8(H); and (B) seventy five percent (75%) of
the lowest Daily VWAP per share of Common Stock during the ten (10) consecutive VWAP Trading Days ending on, and including, such
Conversion Date (or, if such Conversion Date is not a VWAP Trading Day, the immediately preceding VWAP Trading Day).

 

“Event of
Default Conversion Rate” means, with respect to the conversion of this Note (or any portion of this Note), an amount
(rounded to the nearest 1/10,000th of a share of Common Stock (with 5/100,000ths rounded upward)) equal to (A) one thousand dollars
($1,000) divided by (B) the Event of Default Conversion Price applicable to such conversion.

 

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

 

“Ex-Dividend
Date” means, with respect to an issuance, dividend or distribution on the Common Stock, the first date on which shares
of Common Stock trade on the applicable exchange or in the applicable market, regular way, without the right to receive such issuance,
dividend or distribution (including pursuant to due bills or similar arrangements required by the relevant stock exchange). For
the avoidance of doubt, any alternative trading convention on the applicable exchange or market in respect of the Common Stock
under a separate ticker symbol or CUSIP number will not be considered “regular way” for this purpose.

 

“Excess Shares”
has the meaning set forth in Section 8(J)(i).

 

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

 

“Excluded
Securities” means (i) shares of Common Stock or standard options to purchase Common Stock issued to directors, officers,
employees or consultants of the Company for services rendered to the Company in their capacity as such pursuant to an Approved
Stock Plan, provided that (A) all such issuances (taking into account the shares of Common Stock issuable upon exercise of such
options) after the Issue Date pursuant to this clause (i) do not, in the aggregate, exceed more than 10% of the Common Stock issued
and outstanding immediately prior to the Issue Date and (B) the exercise price of any such options is not lowered, none of such
options are amended to increase the number of shares issuable thereunder and none of the terms or conditions of any such options
are otherwise materially changed in any manner that adversely affects the Holder; (ii) shares of Common Stock issued upon the conversion
or exercise of Convertible Securities (other than standard options to purchase Common Stock issued pursuant to an Approved Stock
Plan that are covered by clause (i) above) issued prior to the Issue Date, provided that the conversion price of any such
Convertible Securities (other than standard options to purchase Common Stock issued pursuant to an Approved Stock Plan that are
covered by clause (i) above) is not lowered, none of such Convertible Securities (other than standard options to purchase
Common Stock issued pursuant to an Approved Stock Plan that are covered by clause (i) above) are amended to increase the
number of shares issuable thereunder and none of the terms or conditions of any such Convertible Securities (other than standard
options to purchase Common Stock issued pursuant to an Approved Stock Plan that are covered by clause (i) above) are otherwise
materially changed in any manner that adversely affects the Holder; (iii) the shares of Common Stock issuable upon conversion of
the Notes or otherwise pursuant to the terms of the Notes; provided, that the terms of the Notes are not amended,
modified or changed on or after the Issue Date (other than antidilution adjustments pursuant to the terms thereof in effect as
of the Issue Date) (iv) the shares of Common Stock issuable upon exercise of the Warrants (as defined in the Securities Purchase
Agreement).

 

“Expiration
Date” has the meaning set forth in Section 8(F)(i)(5).

 

“Expiration
Time” has the meaning set forth in Section 8(F)(i)(5).

 

     - 7 -

     

    

 

“Floor Price”
means ten cents ($0.10).

 

“Freely Tradable”
means, with respect to any shares of Common Stock issued or issuable upon conversion of this Note, that (A) such shares would be
eligible to be offered, sold or otherwise transferred by the Holder pursuant to Rule 144, without any requirements as to volume,
manner of sale, availability of current public information (whether or not then satisfied) or notice under the Securities Act and
without any requirement for registration under any state securities or “blue sky” laws; or (B) such shares are (or,
when issued, will be) listed and admitted for trading, without suspension or material limitation on trading, on an Eligible Exchange;
and (C) no delisting or suspension by such Eligible Exchange has been threatened (with a reasonable prospect of delisting occurring
after giving effect to all applicable notice, appeal, compliance and hearing periods) or reasonably likely to occur or pending
as evidenced by (x) a writing by such Eligible Exchange or (y) the Company falling below the minimum listing maintenance requirements
of such Eligible Exchange.

 

“Fundamental
Change” means any of the following events:

 

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

 

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

 

(C)       the
Company’s stockholders approve any plan or proposal for the liquidation or dissolution of the Company; or.

 

(D)       the
Common Stock ceases to be listed on any Eligible Exchange.

 

     - 8 -

     

    

 

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

 

“Fundamental
Change Base Repurchase Price” means, with respect to this Note (or any portion of this Note to be repurchased) upon a
Repurchase Upon Fundamental Change, a cash amount equal to of the greater of (i) one hundred twenty percent (120%) of the then
outstanding Principal Amount of this Note (or portion thereof) and (ii) one hundred twenty percent (120%) of the product of (A)
the Conversion Rate in effect as of the Trading Day immediately preceding the effective date of such Fundamental Change; (B) the
Principal Amount of this Note to be repurchased upon a Repurchase Upon Fundamental Change divided by $1,000; and (C) the
Fundamental Change Stock Price for such Fundamental Change.

 

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

 

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

 

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

 

“Fundamental
Change Stock Price” means, with respect to any Fundamental Change, the highest Daily VWAP per share of Common Stock occurring
during the thirty (30) consecutive VWAP Trading Days ending on, and including, the VWAP Trading Day immediately before the effective
date of such Fundamental Change.

 

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

 

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

 

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

 

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

 

     - 9 -

     

    

 

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

 

“Interest
Cash Payment Notice” has the meaning set forth in Section 5(B).

 

“Interest
Payment Date” means, with respect to a Note, (A) the first calendar day of each month beginning on August 1, 2020; and
(B) if not otherwise included in clause (A), the Maturity Date.

 

“Interest
Stock Payment Date” has the meaning set forth in Section 5(B).

 

“Interest
Stock Payment Period” has the meaning set forth in Section 5(B).

 

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

 

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

 

“Issue Date”
means June 8, 2020.

 

“Last Reported
Sale Price” of the Common Stock for any Trading Day means the closing sale price per share (or, if no closing sale price
is reported, the average of the last bid price and the last ask price per share or, if more than one in either case, the average
of the average last bid prices and the average last ask prices per share) of Common Stock on such Trading Day as reported in composite
transactions for the principal U.S. national or regional securities exchange on which the Common Stock is then listed. If the Common
Stock is not listed on a U.S. national or regional securities exchange on such Trading Day, then the Last Reported Sale Price will
be the last quoted bid price per share of Common Stock on such Trading Day in the over-the-counter market as reported by OTC Markets
Group Inc. or a similar organization. If the Common Stock is not so quoted on such Trading Day, then the Last Reported Sale Price
will be the average of the mid-point of the last bid price and the last ask price per share of Common Stock on such Trading Day
from a nationally recognized independent investment banking firm selected by the Company.

 

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

 

     - 10 -

     

    

 

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

 

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

 

“Market Stock
Payment Price” means, with respect to any Interest Payment Date or Optional Redemption Stock Payment Date, an amount
equal to the greater of (A) the Floor Price and (B) eighty-five percent (85%) of the lowest Daily VWAP during the ten (10) VWAP
Trading Day period ending on the VWAP Trading Day immediately prior to such Interest Payment Date or Optional Redemption Stock
Payment Date, as applicable.

 

“Maturity
Date” means April 1, 2025.

 

“Maximum Percentage”
has the meaning set forth in Section 8(J)(i).

 

“New Issuance Price”
has the meaning set forth in Section 8(F)(ii)(1).

 

“Open of Business”
means 9:00 a.m., New York City time.

 

“Optional
Redemption Cash Payment Notice” has the meaning set forth in Section 5(C).

 

“Optional
Redemption Date” means, with respect to a Note, (A) the earlier of (i) October 1, 2020 and (ii) the first Trading Day
that the Common Stock is Freely Tradable; (B) the first calendar day of each month following the applicable date set forth in clause
(A); and (C) if not otherwise included in clause (B), the Maturity Date.

 

“Optional
Redemption Payment” means, (A) with respect to each Optional Redemption Date, up to three million five hundred thousand
dollars ($3,500,000), as determined by the Holder in its sole discretion; provided, that, the Holder
and the Company may agree to increase the size of any Optional Redemption Payment by mutual written consent; and provided,
further, that in no event shall the amount of any Optional Redemption Payment exceed the then outstanding Principal
Amount of this Note.

 

“Optional
Redemption Stock Payment Date” has the meaning set forth in Section 5(C).

 

“Optional
Redemption Stock Payment Period” has the meaning set forth in Section 5(C).

 

     - 11 -

     

    

 

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

 

“Options”
means any rights, warrants or options to subscribe for or purchase shares of Common Stock or Convertible Securities.

 

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

 

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

 

“Pareteum
Europe” means Pareteum Europe B.V., a private company with limited liability (besloten vennootschap met beperkte aansprakelijkheid),
having its corporate seat at Amsterdam.

 

“Pareteum
Europe Pledge Agreement” means that certain Deed of Pledge over Registered Shares, dated on or about the date hereof,
among the Company, the Collateral Agent and Pareteum Europe.

 

“Pareteum
Europe Security Agreement ” means a security agreement under the laws of the Netherlands acceptable to the Holder in
its sole discretion, pursuant to which Pareteum Europe will grant a security interest in favor of the Collateral Agent in substantially
all of its assets (other than leased real property and rights as to which the grant of a security interest would violate or invalidate
any such contract or other document or give any other party to such contract, instrument, license or other document the right to
terminate its obligations thereunder).

 

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

 

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

 

     - 12 -

     

    

 

“Permitted
Indebtedness” means (A) Indebtedness evidenced by this Note; (B) Indebtedness deemed to be disclosed pursuant to the
Securities Purchase Agreement, as in effect as of the Issue Date, including the existing Disqualified Stock disclosed therein;
(C) Indebtedness to trade creditors, purchase money Indebtedness and Capital Leases incurred in the ordinary course of business,
including Indebtedness incurred in the ordinary course of business with corporate credit cards; (D) Indebtedness that also constitutes
a Permitted Investment; (E) Subordinated Indebtedness of the Company; (F) reimbursement obligations in connection with letters
of credit or similar instruments that are secured by Cash or Cash Equivalents and issued on behalf of the Company or a Subsidiary
thereof in an aggregate amount not to exceed five hundred thousand dollars ($500,000) at any time outstanding; (G) Indebtedness
in respect of (1) advances of payroll amounts in an aggregate principal amount not to exceed at any time $1,000,000 and (2) an
aggregate principal amount of $2,500,000 in indebtedness resulting from certain unsecured loans made or to be made to the Company
under the Paycheck Protection Program established by the Coronavirus Aid, Relief, and Economic Security Act; (H) refinancings of
items of Permitted Indebtedness so long as such refinanced Permitted Indebtedness (i) does not have a final maturity date, amortization
payment, sinking fund, mandatory redemption or other repurchase obligation for cash or put right for cash at the option of the
lender or holder of such Indebtedness prior to the earlier of (1) the final maturity date of the Permitted Indebtedness being refinanced
and (2) one hundred eighty-one (181) days following the Maturity Date, (ii) does not impose materially more burdensome terms upon
the Company or its Subsidiaries, (iii) does not increase the amount thereof other than in respect of amounts accrued thereon to
the date of such refinancing and (iv) is not otherwise materially adverse to the Holder; and (I) Contingent Obligations that are
guarantees of Indebtedness described in clauses (A) through (E) and (H).

 

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

 

“Permitted
Investment” means: (A) Investments deemed to be disclosed pursuant to the Securities Purchase Agreement, as in effect
as of the Issue Date; (B) (i) marketable direct obligations issued or unconditionally guaranteed by the United States of America
or any agency or any State thereof maturing within one year from the date of acquisition thereof, (ii) commercial paper maturing
no more than one year from the date of creation thereof and currently having a rating of at least A-2 or P-2 from either Standard
 & Poor’s Corporation or Moody’s Investors Service, (iii) certificates of deposit issued by any bank headquartered
in the United States with assets of at least five billion dollars $5,000,000,000 maturing no more than one year from the date of
investment therein, and (iv) money market accounts; (C) Investments accepted in connection with Permitted Transfers; (D) Investments
(including debt obligations) received in connection with the bankruptcy or reorganization of customers or suppliers and in settlement
of delinquent obligations of, and other disputes with, customers or suppliers arising in the ordinary course of the Company’s
business; (E) Investments consisting of notes receivable of, or prepaid royalties and other credit extensions, to customers and
suppliers in the ordinary course of business and consistent with past practice, provided that this clause (E) shall not
apply to Investments of the Company in any Subsidiary; (F) Investments consisting of loans not involving the net transfer on a
substantially contemporaneous basis of cash proceeds to employees, officers or directors relating to the purchase of capital stock
of the Company pursuant to an Approved Stock Plan; (G) Investments consisting of travel advances in the ordinary course of business;
(H) Investments in the Subsidiary Grantors and, from and after the execution of the Pareteum Europe Security Agreement, Pareteum
Europe; (I) Permitted Intellectual Property Licenses; and (J) additional Investments that do not exceed twenty-five thousand dollars
($25,000) in the aggregate in any twelve (12) month period.

 

     - 13 -

     

    

 

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

 

“Permitted
Transfers” means (A) dispositions of inventory sold, and Permitted Intellectual Property Licenses entered into, in each
case, in the ordinary course of business, (B) dispositions of worn-out, obsolete or surplus property at fair market value in the
ordinary course of business; (C) dispositions of accounts or payment intangibles (each as defined in the UCC) resulting from the
compromise or settlement thereof in the ordinary course of business for less than the full amount thereof; (D) transfers consisting
of Permitted Investments under clause (H) of Permitted Investments; (E) other transfers of assets to any Person other than
to a joint venture and which have a fair market value of not more than twenty-five thousand dollars ($25,000) in the aggregate
in any twelve (12) month period and (F) a restructuring, recapitalization, sale or other transfer of all or substantially all of
the equity securities or assets of iPass India Private Limited, including following commencement of any proceedings under Bankruptcy
Law or otherwise with respect to any such Subsidiary.

 

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

 

     - 14 -

     

    

 

“Primary Security”
has the meaning set forth in Section 8(F)(ii)(1)(d).

 

“Principal
Amount” has the meaning set forth in the cover page of this Note; provided, however, that
the Principal Amount of this Note will be subject to reduction (A) pursuant to Section 6, Section 7, and Section
8 and (B) by an amount equal to (i) the sum of all Optional Redemption Payments made prior to date of determination of the
Principal Amount of the Note then outstanding.

 

“Reference
Property” has the meaning set forth in Section 8(I)(i).

 

“Reference
Property Unit” has the meaning set forth in Section 8(I)(i).

 

“Related Party”
has the meaning set forth in Section 22(B).

 

“Reported
Outstanding Share Number” has the meaning set forth in Section 8(J)(i).

 

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

 

“Requisite
Stockholder Approval” means the stockholder approval contemplated by Nasdaq Listing Standard Rule 5635(d) with respect
to the issuance of shares of Common Stock upon conversion of this Note and the Warrant (as defined in the Securities Purchase Agreement)
in excess of the limitations imposed by such rule; provided, however, that clause (B) of the
Requisite Stockholder Approval will be deemed to be obtained if, due to any amendment or binding change in the interpretation of
the applicable listing standards of The Nasdaq Capital Market, such stockholder approval is no longer required for the Company
to settle all conversions of this Note by delivering shares of Common Stock without limitation pursuant to Section 8(J)(ii).

 

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

 

“Scheduled
Trading Day” means any day that is scheduled to be a Trading Day on the principal U.S. national or regional securities
exchange on which the Common Stock is then listed or, if the Common Stock is not then listed on a U.S. national or regional securities
exchange, on the principal other market on which the Common Stock is then traded. If the Common Stock is not so listed or traded,
then “Scheduled Trading day” means a Business Day.

 

“Secondary Security”
has the meaning set forth in Section 8(F)(ii)(1)(d).

 

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

 

“Securities
Purchase Agreement” means that certain Securities Purchase Agreement, dated as of June 8, 2020, between the Company and
HT Investments SA LLC providing for the issuance of this Note.

 

“Security
Agreement” means that certain Security Agreement, dated as of June 8, 2020, among the Company, certain of its Subsidiaries
and the Collateral Agent.

 

     - 15 -

     

    

 

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

 

“Series C
Preferred Stock” means an aggregate of 148 shares of the Company’s 8% Series C Redeemable Preferred Stock, with
the rights, powers and preferences described in the Certificate of Designation, Preferences, and Rights of such Series C Preferred
Stock filed by the Company on December 10, 2019, as in effect on the date hereof.

 

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

 

“Specified
Conditions” will be deemed to be satisfied as of any date if all of the following conditions are satisfied (or, if not
satisfied, any such condition is waived by the Holder in its sole discretion) as of such date: (A) all Equity Conditions are met
(including, for the avoidance of doubt, the Company satisfying the requirements of Rule 144(c)(1) under the Securities Act); (B)
the Company has obtained the Requisite Stockholder Approval; (C) the Daily VWAP per share of Common Stock is not less than $0.85
(subject to proportionate adjustments for events of the type set forth in Section 8(F)(i)(1)); (D) the Additional Financing
Date shall have occurred; and (E) no Default or Event of Default shall have occurred hereunder.

 

“Specified
Conditions Conversion Rate” means a number of shares of Common Stock per $1,000 Principal Amount of Notes equal to a
fraction (rounded to the nearest fourth decimal place) (A) whose numerator is $1,000; and (2) whose denominator is 105% of the
Last Reported Sale Price on the VWAP Trading Day immediately before the Specified Conditions Date.

 

“Specified
Conditions Date” means the first date on which all Specified Conditions have been satisfied by the Company (or, if not
satisfied, any such condition is waived by the Holder in its sole discretion). 

 

“Spin-Off”
has the meaning set forth in Section 8(F)(i)(3)(b).

 

“Spin-Off
Valuation Period” has the meaning set forth in Section 8(F)(i)(3)(b).

 

“Stated Interest
Rate” means, as of any date, a rate per annum equal to 8.00%.

 

“Subordinated
Indebtedness” means Indebtedness subordinated to the Notes in amounts and on terms and conditions satisfactory to the
Holder in its sole discretion.

 

     - 16 -

     

    

 

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

 

“Subsidiary
Grantor” means a Grantor (as defined in the Security Agreement) that is a Wholly Owned Subsidiary of the Company and
Pareteum Europe.

 

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

 

“Successor
Person” has the meaning set forth in Section 8(I)(i).

 

“Tender/Exchange
Offer Valuation Period” has the meaning set forth in Section 8(F)(i)(5).

 

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

 

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

 

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

 

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

 

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

 

“Unit”
has the meaning set forth in Section 8(F)(ii)(1)(d).

 

“Valuation Event” has
the meaning set forth in Section 8(F)(ii)(1)(d).

 

“Variable Price
Securities” has the meaning set forth in Section 8(F)(ii)(2).

 

     - 17 -

     

    

 

“Variable Price”
has the meaning set forth in Section 8(F)(ii)(2).

 

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

 

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

 

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

 

“Withheld Shares”
has the meaning set forth in Section 8(J).

 

 

 

Section
2.               Persons
Deemed Owners.

 

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

 

Section
3.               Registered
Form.

 

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

 

 Section 4.               Accrual of Interest; Defaulted Amounts.

 

(A)            
Accrual of Stated Interest. This Note will accrue interest (the “Stated Interest”) at a rate per
annum equal to the Stated Interest Rate. Stated Interest on this Note will (i) accrue on the Principal Amount of this Note; (ii)
accrue from, and including, the most recent date to which Stated Interest has been paid or duly provided for (or, if no Stated
Interest has theretofore been paid or duly provided for, the Issue Date) to, but excluding, the date of payment of such Stated
Interest; (iii) be payable in arrears on each Interest Payment Date, each Optional Redemption Date and each Optional Redemption
Stock Payment Date, as applicable; and (iv) be computed on the basis of a 360-day year comprised of twelve 30-day months.

 

     - 18 -

     

    

 

(B)           Defaulted
Amounts. If (i) the Company fails to pay any amount payable on this Note on or before the due date therefor as provided in
this Note, then, regardless of whether such failure constitutes an Event of Default, or (ii) a Default or Event of Default occurs
(such amount payable or the Principal Amount outstanding as of such failure to pay or Default or Event of Default, (as applicable,
a “Defaulted Amount”)), then in each case, to the extent lawful, interest (“Default Interest”)
will accrue on such Defaulted Amount at a rate per annum equal to eighteen percent (18.0%), from, and including, such due date
or the date of such Default or Event of Default, as applicable, to, but excluding, the date such failure to pay or Default or
Event of Default is cured and all outstanding Default Interest under this Note has been paid, as applicable.

 

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

 

(A)          Method
of Payment. Except as set forth in Section 5(B) or Section 5(C), the Company will pay all cash amounts due under this
Note by wire transfer of immediately available funds to the account or accounts specified by the Holder by written notice in advance
of the date such amount is due, by wire transfer of immediately available funds to such account or address set forth in such written
notice, as applicable.

 

(B)           Company’s
Election to Pay Stated Interest in Cash or Common Stock. At least ten (10) Trading Days (but no more than twenty (20) Trading
Days) prior to an Interest Payment Date, the Company, if it desires to elect to make a payment of Stated Interest with respect
to such Interest Payment Date, entirely or partially, in cash, shall deliver to the Holder a written notice of such election stating
which portion thereof the Company has elected to pay in cash (a “Interest Cash Payment Notice”), and such amount
shall be paid on the applicable Interest Payment Date in cash pursuant to Section 5(A) (and such election shall be irrevocable
as to such payment of Stated Interest (or portion thereof)). Failure to timely deliver such written notice to the Holder shall
be deemed an election by the Company to pay the Stated Interest (or applicable portion thereof) with respect to such Interest
Payment Date in shares of Common Stock, subject to the terms hereof. With respect to any Interest Payment Date for which the Company
has made a deemed election to pay Stated Interest (or any applicable portion thereof) in shares of Common Stock in accordance
with this Section 5(B), (i) the Holder shall have the right to allocate all or any portion of the applicable payment of
Stated Interest (or applicable portion thereof) to one or more Scheduled Trading Days (any such date, an “Interest Stock
Payment Date”) during the period beginning on, and including, the applicable Interest Payment Date and ending on, and
including, the Scheduled Trading Day immediately before the subsequent Interest Payment Date (the “Interest Stock Payment
Period”) or defer such payment of Stated Interest (or applicable portion thereof) to any future Interest Payment Date
selected by the Holder; and (ii) the Company shall issue to the Holder a number of validly issued, fully paid and Freely Tradable
shares of Common Stock equal to the quotient (rounded up to the closest whole number) obtained by dividing such payment of Stated
Interest (or any applicable portion thereof) by the Market Stock Payment Price as of such Interest Stock Payment Date. The Holder
must provide notice to the Company of its election of any Interest Stock Payment Date and the applicable portion of Stated Interest
it is electing to receive on each such Interest Stock Payment Date no later than 4:30 p.m. New York Time on such Interest Stock
Payment Date. In the event that the number of shares of Common Stock issued to the Holder on any Interest Stock Payment Date is
reduced as a result of the Floor Price, the Company shall concurrently with the issuance of such shares also pay to the Holder
an amount, in cash, equal to the product of (i) the number of shares by which the applicable amount of Stated Interest (or portion
thereof) was reduced as a result of the Floor Price, multiplied by the Market Stock Payment Price. Notwithstanding anything herein
to the contrary, the Company will not have the right to, and will not, make any payment of Stated Interest (or any applicable
portion thereof) in shares of Common Stock if the Equity Conditions are not satisfied for each VWAP Trading Day occurring between
the date that is five (5) Trading Days prior to the applicable Interest Payment Date and the applicable Interest Stock Payment
Date, and such payment of Stated Interest (or any applicable portion thereof) shall instead be paid in cash in accordance with
Section 5(A), unless such failure of the Equity Conditions to be so satisfied is waived in writing by the Holder, which
waiver may be granted or withheld by the Holder in its sole discretion. The Company shall not pay any portion of a payment of
Stated Interest in shares of Common Stock unless the Holder has designated an Interest Stock Payment Date for such portion. Any
portion of a payment of Stated Interest not paid in shares of Common Stock because the Holder did not allocate such payment of
Stated Interest (or applicable portion thereof) to a Scheduled Trading Day during the applicable Interest Stock Payment Period
or because the Holder elected to defer the receipt of such payment of Stated Interest (or portion thereof) during the applicable
Interest Stock Payment Period will be automatically deferred to the next Interest Payment Date or such future Interest Payment
Date as was elected by the Holder, as applicable. Any such shares of Common Stock will be delivered by the Company to the Holder
on or before the second (2nd) Business Day following the applicable Interest Stock Payment Date.

 

     - 19 -

     

    

 

(C)          Company’s
Election to Pay Optional Redemption Payments in Cash or Common Stock. At least ten (10) Trading Days (but no more than twenty
(20) Trading Days) prior to an Optional Redemption Date, the Company, if it desires to elect to make an Optional Redemption Payment
with respect to such Optional Redemption Date, entirely or partially, in cash, shall deliver to the Holder a written notice of
such election stating which portion thereof the Company has elected to pay in cash (an “Optional Redemption Cash Payment
Notice”) (and such election shall be irrevocable as to such Optional Redemption Date). Failure to timely deliver such
written notice to the Holder shall be deemed an election by the Company to pay the Optional Redemption Payment (or applicable
portion thereof) with respect to such Optional Redemption Date in shares of Common Stock, subject to the terms hereof. With respect
to any Optional Redemption Date for which the Company has made a deemed election to make an Optional Redemption Payment (or any
applicable portion thereof) in shares of Common Stock in accordance with this Section 5(C), (i) the Holder shall have the
right to allocate all or any portion of the applicable Optional Redemption Payment (or applicable portion thereof) to one or more
Scheduled Trading Days (any such date, an “Optional Redemption Stock Payment Date”) during the period beginning
on, and including, the applicable Optional Redemption Date and ending on, and including, the Scheduled Trading Day immediately
before the subsequent Optional Redemption Date (the “Optional Redemption Stock Payment Period”) or defer such
Optional Redemption Payment (or applicable portion thereof) to any future Optional Redemption Date selected by the Holder; and
(ii) the Company shall issue to the Holder, a number of validly issued, fully paid and Freely Tradable shares of Common Stock
equal to the quotient (rounded up to the closest whole number) obtained by dividing such Optional Redemption Payment (or any applicable
portion thereof) by the Market Stock Payment Price as of such Optional Redemption Stock Payment Date. The Holder must provide
notice to the Company of its election of any Optional Redemption Stock Payment Date and the applicable portion of the Optional
Redemption Payment it is electing to receive on each such Optional Redemption Stock Payment Date no later than 4:30 p.m. New York
Time on such Optional Redemption Stock Payment Date. In the event that the number of shares of Common Stock issued to the Holder
on any Optional Redemption Stock Payment Date is reduced as a result of the Floor Price, the Company shall concurrently with the
issuance of such shares also pay to the Holder an amount, in cash, equal to the product of (i) the number of shares by which the
applicable Optional Redemption Payment (or portion thereof) was reduced as a result of the Floor Price, multiplied by the Market
Stock Payment Price. Notwithstanding anything herein to the contrary, the Company will not have the right to, and will not, make
any Optional Redemption Payment (or any applicable portion thereof) in shares of Common Stock if the Equity Conditions are not
satisfied for each VWAP Trading Day occurring between the date that is five (5) Trading Days prior to the applicable Optional
Redemption Date and the applicable Optional Redemption Stock Payment Date, and such Optional Redemption Payment (or any applicable
portion thereof) shall instead be paid in cash in accordance with Section 5(A), unless such failure of the Equity Conditions
to be so satisfied is waived in writing by the Holder, which waiver may be granted or withheld by the Holder in its sole discretion.
The Company shall not pay any portion of the Optional Redemption Payment in shares of Common Stock unless the Holder has designated
an Optional Redemption Stock Payment Date for such portion. Any portion of the Optional Redemption Payment not paid in shares
of Common Stock because the Holder did not allocate such Optional Redemption Payment (or applicable portion thereof) to a Scheduled
Trading Day during the applicable Optional Redemption Stock Payment Period or because the Holder elected to defer the receipt
of such Optional Redemption Payment (or portion thereof) during the applicable Optional Redemption Stock Payment Period will be
automatically deferred to the next Optional Redemption Date or such future Optional Redemption Date as was elected by the Holder,
as applicable. Any such shares of Common Stock will be delivered by the Company to the Holder on or before the second (2nd) Business
Day following the applicable Optional Redemption Stock Payment Date.

 

     - 20 -

     

    

 

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

 

		Section 6.	Repurchase
                                         of Note upon a Fundamental Change.

 

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

 

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

 

     - 21 -

     

    

 

(C)          Fundamental
Change Notice. No later than the fifth (5th) Business Day before the occurrence of any Fundamental Change, the Company will
send to the Holder a written notice (the “Fundamental Change Notice”) thereof, stating the expected date such
Fundamental Change will occur and, if applicable, the Company’s election to repurchase this Note pursuant to Section
6(A).

 

(D)          Fundamental
Change Repurchase Price. The Fundamental Change Repurchase Price for this Note (or any portion of this Note to be repurchased)
upon a Repurchase Upon Fundamental Change following a Fundamental Change is an amount in cash equal to the Fundamental Change
Base Repurchase Price for such Fundamental Change plus accrued and unpaid interest on this Note (or such portion of this Note)
to, but excluding, the Fundamental Change Repurchase Date for such Fundamental Change. For the avoidance of doubt, if such Fundamental
Change Repurchase Date is on an Interest Payment Date, then the interest otherwise payable on this Note (or such portion of this
Note) on such Interest Payment Date will be paid as part of the Fundamental Change Repurchase Price, in satisfaction of the Company’s
obligation to pay such interest on such Interest Payment Date.

 

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

 

		Section 7.	Optional
                                         Redemption Payments; Holder Optional Redemption.

 

(A)          Optional
Redemption Payments. At the Holder’s election, in its sole discretion, the Company shall be required to redeem a portion
of this Note equal to the applicable Optional Redemption Payment on each Optional Redemption Date; provided, however,
that the Holder may, in its sole discretion, defer any Optional Redemption Payment (or any portion thereof) to any subsequent
Optional Redemption Date. The Holder shall deliver to the Company a written notice of any such election under this Section
7(A) at least fifteen (15) Trading Days prior to the applicable Optional Redemption Date in order to make an effective election;
provided, however, that the Holder may, in its sole discretion, defer any Optional Redemption Payment
(or any portion thereof) to any subsequent Optional Redemption Date in accordance with the immediately preceding sentence at any
time prior to the applicable Optional Redemption Date.

 

(B)          Effect of Optional Redemption Payment. If this Note (or any portion of this Note) is redeemed pursuant to Section
7(A), then, from and after the date the related Optional Redemption Payment is paid in full, this Note (or such portion) will
cease to be outstanding and interest will cease to accrue on this Note (or such portion).

 

		Section 8.	Conversion.

 

(A)          Right
to Convert.

 

(i)                Generally.
Subject to the provisions of this Section 8, the Holder may, at its option, convert this Note, including any portion
constituting an Optional Redemption Payment, as applicable, or any deferred Optional Redemption Payment, into Conversion Consideration.

 

     - 22 -

     

    

 

(ii)                Conversions
in Part. Subject to the terms of this Section 8, this Note may be converted in part, but only in an Authorized Denomination.
Provisions of this Section 8 applying to the conversion of this Note in whole will equally apply to conversions of any
permitted portion of this Note.

 

(B)          When
this Note May Be Converted.

 

(i)                Generally.
The Holder may convert this Note at any time until the Close of Business on the second (2nd) Scheduled Trading Day immediately
before the Maturity Date; provided that, with respect to the conversion of any Optional Redemption Payment, the
Holder must provide notice of such conversion no later than the Close of Business on the second (2nd) Scheduled Trading Day immediately
preceding the date such Optional Redemption Payment is due in accordance with the terms of this Note, and any such conversion
will not reduce the amount of future Optional Redemption Payments. For the avoidance of doubt, the Holder’s right to convert
this Note shall not be impacted by a prior notice or election to defer any Optional Redemption Payment pursuant to Section
7(A) hereof.

 

(ii)               Limitations and Closed Periods. Notwithstanding anything to the contrary in this Section 8, if this Note (or
any portion of this Note) is to be repurchased upon a Repurchase Upon Fundamental Change pursuant to Section 6, then this
Note (or such portion) may not be converted after the Close of Business on the Scheduled Trading Day immediately before the related
Fundamental Change Repurchase Date; provided, that this Section 8(B) shall no longer apply to this Note (or
such applicable portion) if the applicable Fundamental Change Repurchase Price is not delivered on the Fundamental Change Repurchase
Date in accordance with Section 6.

 

(C)          Conversion
Procedures.

 

(i)                Generally.
To convert this Note, the Holder must (1) complete, manually sign and deliver to the Company the conversion notice attached to
this Note or a facsimile or portable document format (.pdf) version of such conversion notice (at which time such conversion will
become irrevocable); and (2) pay any amounts due pursuant to Section 8(C)(iii). For the avoidance of doubt, the conversion
notice may be delivered by e-mail in accordance with Section 14. If the Company fails to deliver, by the related Conversion
Settlement Date, any shares of Common Stock forming part of the Conversion Consideration of the conversion of this Note, the Holder,
by notice to the Company, may rescind all or any portion of the corresponding conversion notice at any time until such Defaulted
Shares are delivered.

 

(ii)               Holder
of Record of Conversion Shares. The person in whose name any shares of Common Stock is issuable upon conversion of this Note
will be deemed to become the holder of record of such shares as of the Close of Business on the Conversion Date for such conversion,
conferring, as of such time, upon such person, without limitation, all voting and other rights appurtenant to such shares.

 

     - 23 -

     

    

 

(iii)              Taxes
and Duties. If the Holder converts a Note, the Company will pay any documentary, stamp or similar issue or transfer tax or
duty due on the issue of any shares of Common Stock upon such conversion; provided, however, that
if any tax or duty is due because such Holder requested such shares to be issued in a name other than that of such Holder, then
such Holder will pay such tax or duty and, until having received a sum sufficient to pay such tax or duty, the Company may refuse
to deliver any such shares to be issued in a name other than that of such Holder.

 

(D)          Settlement
upon Conversion.

 

(i)                Generally.
The consideration (the “Conversion Consideration”) due in respect of each $1,000 Principal Amount of this Note,
including any portion constituting an Optional Redemption Payment or any deferred Optional Redemption Payment, to be converted
will consist of the following:

 

(1)            subject
to Section 8(D)(ii), a number of shares of Common Stock equal to the Conversion Rate in effect on the Conversion Date for
such conversion; and

 

(2)            cash
in an amount equal to the aggregate accrued and unpaid interest on this Note to, but excluding, the Conversion Settlement Date
for such conversion.

 

(ii)                Fractional
Shares. The total number of shares of Common Stock due in respect of any conversion of this Note, including any portion constituting
an Optional Redemption Payment or any deferred Optional Redemption Payment, will be determined on the basis of the total Principal
Amount of this Note to be converted with the same Conversion Date; provided, however, that if such
number of shares of Common Stock is not a whole number, then such number will be rounded up to the nearest whole number.

 

(iii)               Delivery
of the Conversion Consideration. The Company will pay or deliver, as applicable, the Conversion Consideration due upon the
conversion of this Note, including any portion constituting an Optional Redemption Payment required to be paid by the Company
on the next Optional Redemption Date or Optional Redemption Stock Payment Date, as applicable, or any outstanding deferred Optional
Redemption Payment, to the Holder on or before the second (2nd) Business Day (or, if earlier, the standard settlement period for
the primary Eligible Exchange on which the Common Stock is traded) immediately after the Conversion Date for such conversion (the
 “Conversion Settlement Date”).

 

(iv)              Effect
of Conversion. If this Note is converted, then, from and after the date the Conversion Consideration therefor is issued or
delivered in settlement of such conversion, this Note will cease to be outstanding and interest will cease to accrue on this Note.

 

(v)               Conversion
Settlement Defaults. If (x) the Company fails to deliver, by the related Conversion Settlement Date, any shares of Common
Stock (the “Defaulted Shares”) forming part of the Conversion Consideration of the conversion of this Note,
including any portion constituting an Optional Redemption Payment or any deferred Optional Redemption Payment; and (y) the Holder
(whether directly or indirectly, including by any broker acting on the Holder’s behalf or acting with respect to such Defaulted
Shares) purchases any shares of Common Stock (whether in the open market or otherwise) to cover any such Defaulted Shares (whether
to satisfy any settlement obligations with respect thereto of the Holder or otherwise), then, without limiting the Holder’s
right to pursue any other remedy available to it (whether hereunder, under applicable law or otherwise), the Holder will have
the right, exercisable by notice to the Company, to cause the Company to either:

 

     - 24 -

     

    

 

(1)            pay, on or before the second (2nd) Business Day after the date such notice is delivered, cash to the Holder in an amount
equal to the aggregate purchase price (including any brokerage commissions and other out-of-pocket costs) incurred to purchase
such shares (such aggregate purchase price, the “Covering Price”); or

 

(2)            promptly
deliver, to the Holder, such Defaulted Shares in accordance with this Note, together with cash in an amount equal to the excess,
if any, of the Covering Price over the product of (x) the number of such Defaulted Shares; and (y) the Daily VWAP per share of
Common Stock on the Conversion Date relating to such conversion.

 

To exercise such right, the Holder
must deliver notice of such exercise to the Company, specifying whether the Holder has elected clause (1) or (2)
above to apply. If the Holder has elected clause (1) to apply, then the Company’s obligation to deliver the Defaulted
Shares in accordance with this Note will be deemed to have been satisfied and discharged to the extent the Company has paid the
Covering Price in accordance with clause (1).

 

(E)           Reserve
and Status of Common Stock Issued upon Conversion.

 

(i)                Stock
Reserve. At all times when this Note is outstanding, the Company will reserve, out of its authorized but unissued and unreserved
shares of Common Stock, a number of shares of Common Stock equal to (1) the then-outstanding Principal Amount of this Note plus
accrued and unpaid interest on this Note; divided by (2) the Floor Price.

 

(ii)               Status
of Conversion Shares; Listing. Each share of Common Stock delivered upon conversion of this Note will be a newly issued or
treasury share and will be duly and validly issued, fully paid, non-assessable, free from preemptive rights and free of any lien
or adverse claim (except to the extent of any lien or adverse claim created by the action or inaction of the Holder or the Person
to whom such share will be delivered). If the Common Stock is then listed on any securities exchange, or quoted on any inter-dealer
quotation system, then the Company will cause each share of Common Stock issued upon conversion of this Note, when delivered upon
such conversion, to be admitted for listing on such exchange or quotation on such system.

 

(iii)              Book-Entry
Shares. Any shares of Common Stock issued upon conversion of this Note will be issued in the form of book-entries at the facilities
of DTC, with or without restrictive legends, as appropriate.

 

     - 25 -

     

    

 

(F)           Adjustments to the Conversion Rate for Certain Events.

 

(i)                Events
Requiring an Adjustment to the Conversion Rate. The Conversion Rate will be adjusted from time to time as follows:

 

(1)            Stock
Dividends, Splits and Combinations. If the Company issues solely shares of Common Stock as a dividend or distribution on all
or substantially all shares of the Common Stock, or if the Company effects a stock split or a stock combination of the Common
Stock (in each case excluding an issuance solely pursuant to a Common Stock Change Event, as to which Section 8(I) will
apply), then the Conversion Rate will be adjusted based on the following formula:

 

 

where:

 

	CR0	=	the
Conversion Rate in effect immediately before the Open of Business on the Ex-Dividend Date for such dividend or distribution, or
immediately before the Open of Business on the effective date of such stock split or stock combination, as applicable;

	 	 	 
	CR1	=	the
Conversion Rate in effect immediately after the Open of Business on such Ex-Dividend Date or the Open of Business on such effective
date, as applicable;

	 	 	 
	OS0	=	the
number of shares of Common Stock outstanding immediately before the Open of Business on such Ex-Dividend Date or effective date,
as applicable, without giving effect to such dividend, distribution, stock split or stock combination; and

	 	 	 
	OS1	=	the
number of shares of Common Stock outstanding immediately after giving effect to such dividend, distribution, stock split or stock
combination.
	 	 	 

If any dividend, distribution,
stock split or stock combination of the type described in this Section 8(F)(i)(1) is declared or announced, but not so paid
or made, then the Conversion Rate will be readjusted, effective as of the date the Board of Directors determines not to pay such
dividend or distribution or to effect such stock split or stock combination, to the Conversion Rate that would then be in effect
had such dividend, distribution, stock split or stock combination not been declared or announced.

 

     - 26 -

     

    

 

(2)            Rights, Options and Warrants. If the Company distributes, to all or substantially all holders of Common Stock, rights,
Options or warrants (other than rights issued or otherwise distributed pursuant to a stockholder rights plan, as to which the provisions
set forth in Sections 8(F)(i)(3)(a) and 8(F)(vii) will apply) entitling such holders, for a period of not more than
sixty (60) calendar days after the record date of such distribution, to subscribe for or purchase shares of Common Stock at a price
per share that is less than the average of the Last Reported Sale Prices per share of Common Stock for the ten (10) consecutive
Trading Days ending on, and including, the Trading Day immediately before the date such distribution is announced, then the Conversion
Rate will be increased based on the following formula:

 

 

where:

 

	CR0	=	the
Conversion Rate in effect immediately before the Open of Business on the Ex-Dividend Date for such distribution;
	 	 	 
	CR1	=	the
Conversion Rate in effect immediately after the Open of Business on such Ex-Dividend Date;
	 	 	 
	OS	=	the number of shares of Common Stock outstanding immediately before the Open of Business on
such Ex-Dividend Date;
	 	 	 
	X	=	the total number of shares of Common Stock issuable pursuant to such rights, Options or warrants;
and
	 	 	 
	Y	=	a number of shares of Common Stock obtained by dividing (x) the aggregate price payable to
exercise such rights, Options or warrants by (y) the average of the Last Reported Sale Prices per share of Common Stock for the
ten (10) consecutive Trading Days ending on, and including, the Trading Day immediately before the date such distribution is announced.

 

To the extent that shares of Common
Stock are not delivered after the expiration of such rights, Options or warrants (including as a result of such rights, Options
or warrants not being exercised), the Conversion Rate will be readjusted to the Conversion Rate that would then be in effect had
the increase to the Conversion Rate for such distribution been made on the basis of delivery of only the number of shares of Common
Stock actually delivered upon exercise of such rights, Option or warrants. To the extent such rights, Options or warrants are
not so distributed, the Conversion Rate will be readjusted to the Conversion Rate that would then be in effect had the Ex-Dividend
Date for the distribution of such rights, Options or warrants not occurred.

 

For purposes of this Section
8(F)(i)(2), in determining whether any rights, Options or warrants entitle holders of Common Stock to subscribe for or purchase
shares of Common Stock at a price per share that is less than the average of the Last Reported Sale Prices per share of Common
Stock for the ten (10) consecutive Trading Days ending on, and including, the Trading Day immediately before the date the distribution
of such rights, Options or warrants is announced, and in determining the aggregate price payable to exercise such rights, Options
or warrants, there will be taken into account any consideration the Company receives for such rights, Options or warrants and any
amount payable on exercise thereof, with the value of such consideration, if not cash, to be determined by the Board of Directors
in good faith.

 

     - 27 -

     

    

 

(3)            Spin-Offs and Other Distributed Property.

 

(a)            Distributions
Other than Spin-Offs. If the Company distributes shares of its Capital Stock, evidences of its indebtedness or other assets
or property of the Company, or rights, Options or warrants to acquire Capital Stock of the Company or other securities, to all
or substantially all holders of the Common Stock, excluding:

 

(v)        dividends,
distributions, rights, Options or warrants for which an adjustment to the Conversion Rate is required pursuant to Section 8(F)(i)(1)
or Section 8(F)(i)(2);

 

(w)       dividends
or distributions paid exclusively in cash for which an adjustment to the Conversion Rate is required pursuant to Section 8(F)(i)(4);

 

(x)         rights
issued or otherwise distributed pursuant to a stockholder rights plan, except to the extent provided in Section 8(F)(vii);

 

(y)       Spin-Offs
for which an adjustment to the Conversion Rate is required pursuant to Section 8(F)(i)(3)(b); and

 

(z)        a
distribution solely pursuant to a Common Stock Change Event, as to which Section 8(I) will apply,

 

then the Conversion Rate will
be increased based on the following formula:

 

 

where:

 

	CR0	=	the
Conversion Rate in effect immediately before the Open of Business on the Ex-Dividend Date for such distribution;
	 	 	 
	CR1	=	the
Conversion Rate in effect immediately after the Open of Business on such Ex-Dividend Date;
	 	 	 
	SP	=	the average of the Last Reported Sale Prices per share of Common Stock for the ten (10) consecutive
Trading Days ending on, and including, the Trading Day immediately before such Ex-Dividend Date; and

 

     - 28 -

     

    

 

	FMV	=	the fair market value (as determined by the Board of Directors in good faith), as of such
Ex-Dividend Date, of the shares of Capital Stock, evidences of indebtedness, assets, property, rights, Options or warrants distributed
per share of Common Stock pursuant to such distribution;

 

provided, however,
that if FMV is equal to or greater than SP, then, in lieu of the foregoing adjustment to the Conversion Rate, the
Holder will receive, for each $1,000 Principal Amount of this Note held by this Holder on the record date for such distribution,
at the same time and on the same terms as holders of Common Stock, the amount and kind of shares of Capital Stock, evidences of
indebtedness, assets, property, rights, Options or warrants that such Holder would have received if such Holder had owned, on such
record date, a number of shares of Common Stock equal to the Conversion Rate in effect on such record date.

 

To the extent such distribution
is not so paid or made, the Conversion Rate will be readjusted to the Conversion Rate that would then be in effect had the adjustment
been made on the basis of only the distribution, if any, actually made or paid.

 

(b)           Spin-Offs.
If the Company distributes or dividends shares of Capital Stock of any class or series, or similar equity interest, of or relating
to an Affiliate, a Subsidiary or other business unit of the Company to all or substantially all holders of the Common Stock (other
than solely pursuant to a Common Stock Change Event, as to which Section 8(I) will apply), and such Capital Stock or equity
interest is listed or quoted (or will be listed or quoted upon the consummation of the transaction) on a U.S. national securities
exchange (a “Spin-Off”), then the Conversion Rate will be increased based on the following formula:

 

 

where:

 

	CR0	=	the Conversion Rate in effect immediately before the Open of Business on the Ex-Dividend Date
                                                                                          for such Spin-Off;

 

	CR1	=	the Conversion Rate in effect immediately after the Open of Business on such Ex-Dividend
                                                                                                    Date;

 

     - 29 -

     

    

 

	FMV	=	the product of (x) the average of the Last Reported Sale Prices per share or unit of the Capital
Stock or equity interests distributed in such Spin-Off over the ten (10) consecutive Trading Day period (the “Spin-Off
Valuation Period”) beginning on, and including, such Ex-Dividend Date (such average to be determined as if references
to Common Stock in the definitions of Last Reported Sale Price, Trading Day and Market Disruption Event were instead references
to such Capital Stock or equity interests); and (y) the number of shares or units of such Capital Stock or equity interests distributed
per share of Common Stock in such Spin-Off; and
	 	 	 

 

	SP	=	the average of the Last Reported Sale Prices per share of Common Stock for each Trading Day
in the Spin-Off Valuation Period.
	 	 	 

 

The adjustment to the Conversion
Rate pursuant to this Section 8(F)(i)(3)(b) will be calculated as of the Close of Business on the last Trading Day of the
Spin-Off Valuation Period but will be given effect immediately after the Open of Business on the Ex-Dividend Date for the Spin-Off,
with retroactive effect. If a Note is converted and the Conversion Date occurs during the Spin-Off Valuation Period, then, notwithstanding
anything to the contrary in this Note, the Company will, if necessary, delay the settlement of such conversion until the second
(2nd) Business Day after the last day of the Spin-Off Valuation Period.

 

To the extent any dividend or
distribution of the type set forth in this Section 8(F)(i)(3)(b) is declared but not made or paid, the Conversion Rate will
be readjusted to the Conversion Rate that would then be in effect had the adjustment been made on the basis of only the dividend
or distribution, if any, actually made or paid.

 

(4)            Cash Dividends or Distributions. If any cash dividend or distribution is made to all or substantially all holders
of Common Stock, then the Conversion Rate will be increased based on the following formula:

 

 

where:

 

	CR0	=	the Conversion Rate in effect immediately before the Open of Business on the Ex-Dividend Date
                                                                                                    for such dividend or distribution;

 

	CR1	=	the Conversion Rate in effect immediately after the Open of Business on such
                                                                                                    Ex-Dividend Date;

 

     - 30 -

     

    

 

	SP	=	the Last Reported Sale Price per share of Common Stock on the Trading Day immediately before
such Ex-Dividend Date; and

 

	D	=	the cash amount distributed per share of Common Stock in such dividend or distribution;

 

provided, however,
that if D is equal to or greater than SP, then, in lieu of the foregoing adjustment to the Conversion Rate, the Holder
will receive, for each $1,000 Principal Amount of this Note held by the Holder on the record date for such dividend or distribution,
at the same time and on the same terms as holders of Common Stock, the amount of cash that such Holder would have received if such
Holder had owned, on such record date, a number of shares of Common Stock equal to the Conversion Rate in effect on such record
date.

 

To the extent such dividend or
distribution is declared but not made or paid, the Conversion Rate will be readjusted to the Conversion Rate that would then be
in effect had the adjustment been made on the basis of only the dividend or distribution, if any, actually made or paid.

 

(5)            Tender Offers or Exchange Offers. If the Company or any of its Subsidiaries makes a payment in respect of a tender
offer or exchange offer for shares of Common Stock (other than solely pursuant to an odd-lot tender offer pursuant to Rule 13e-4(h)(5)
under the Exchange Act), and the value (determined as of the Expiration Time by the Board of Directors in good faith) of the cash
and other consideration paid per share of Common Stock in such tender or exchange offer exceeds the Last Reported Sale Price per
share of Common Stock on the Trading Day immediately after the last date (the “Expiration Date”) on which tenders
or exchanges may be made pursuant to such tender or exchange offer (as it may be amended), then the Conversion Rate will be increased
based on the following formula:

 

 

where:

 

	CR0	=	the Conversion Rate in effect immediately before
the time (the “Expiration Time”) such tender or exchange offer expires;

 

	CR1	=	the Conversion Rate in effect immediately after
the Expiration Time;

 

     - 31 -

     

    

 

	AC	=	the aggregate value (determined as of the Expiration Time by the Board of Directors in good
faith) of all cash and other consideration paid for shares of Common Stock purchased or exchanged in such tender or exchange offer;

 

	OS0	=	the number of shares of Common Stock outstanding
immediately before the Expiration Time (including all shares of Common Stock accepted for purchase or exchange in such tender
or exchange offer);

 

	OS1	=	the number of shares of Common Stock outstanding
immediately after the Expiration Time (excluding all shares of Common Stock accepted for purchase or exchange in such tender or
exchange offer); and

 

	SP	=	the average of the Last Reported Sale Prices per share of Common Stock over the ten (10) consecutive
Trading Day period (the “Tender/Exchange Offer Valuation Period”) beginning on, and including, the Trading Day
immediately after the Expiration Date;

 

provided, however,
that the Conversion Rate will in no event be adjusted down pursuant to this Section 8(F)(i)(5), except to the extent provided
in the immediately following paragraph. The adjustment to the Conversion Rate pursuant to this Section 8(F)(i)(5) will be
calculated as of the Close of Business on the last Trading Day of the Tender/Exchange Offer Valuation Period but will be given
effect immediately after the Expiration Time, with retroactive effect. If a Note is converted and the Conversion Date occurs on
the Expiration Date or during the Tender/Exchange Offer Valuation Period, then, notwithstanding anything to the contrary in this
Note, the Company will, if necessary, delay the settlement of such conversion until the second (2nd) Business Day after the last
day of the Tender/Exchange Offer Valuation Period.

 

To the extent such tender or exchange
offer is announced but not consummated (including as a result of the Company being precluded from consummating such tender or exchange
offer under applicable law), or any purchases or exchanges of shares of Common Stock in such tender or exchange offer are rescinded,
the Conversion Rate will be readjusted to the Conversion Rate that would then be in effect had the adjustment been made on the
basis of only the purchases or exchanges of shares of Common Stock, if any, actually made, and not rescinded, in such tender or
exchange offer.

 

(ii)             
Adjustments to the Conversion Rate in Connection with Certain Equity Issuances.

 

(1)            Adjustment Upon Issuance of Shares of Common Stock. If at any time on or prior to the date that is one year following
the Specified Conditions Date (the “Anti-Dilution Date”), the Company grants issues or sells (or enters into
any agreement to grant, issue or sell), or in accordance with this Section 8(F)(ii) is deemed to have granted, issued or
sold, any shares of Common Stock (including the issuance or sale of shares of Common Stock owned or held by or for the account
of the Company, but excluding any Excluded Securities granted issued or sold or deemed to have been granted issued or sold) for
a consideration per share (the “New Issuance Price”) less than a price equal to the Conversion Price in effect
immediately prior to such granting, issuance or sale or deemed granting issuance or sale (such Conversion Price then in effect
is referred to herein as the “Applicable Price”) (the foregoing a “Dilutive Issuance”), then
immediately after such Dilutive Issuance, the Conversion Rate will be increased to an amount equal to (x) $1,000 divided by (y)
such New Issuance Price. For all purposes of the foregoing (including, without limitation, determining the adjusted Conversion
Rate and the New Issuance Price under this Section 8(F)(ii)), the following shall be applicable:

 

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(a)              
Issuance of Options. If the Company in any manner grants, issues or sells (or enters into any agreement to grant,
issue or sell) any Options and the lowest price per share for which one share of Common Stock is at any time issuable upon the
exercise of any such Option or upon conversion, exercise or exchange of any Convertible Securities issuable upon exercise of any
such Option or otherwise pursuant to the terms thereof is less than the Applicable Price, then such share of Common Stock shall
be deemed to be outstanding and to have been issued and sold by the Company at the time of the granting or sale of such Option
for such price per share. For purposes of this Section 8(F)(ii)(1)(a), the “lowest price per share for which one share
of Common Stock is at any time issuable upon the exercise of any such Options or upon conversion, exercise or exchange of any Convertible
Securities issuable upon exercise of any such Option or otherwise pursuant to the terms thereof” shall be equal to (1) the
lower of (x) the sum of the lowest amounts of consideration (if any) received or receivable by the Company with respect to any
one share of Common Stock upon the granting, issuance or sale of such Option, upon exercise of such Option and upon conversion,
exercise or exchange of any Convertible Security issuable upon exercise of such Option or otherwise pursuant to the terms thereof
and (y) the lowest exercise price set forth in such Option for which one share of Common Stock is issuable (or may become issuable
assuming all possible market conditions) upon the exercise of any such Options or upon conversion, exercise or exchange of any
Convertible Securities issuable upon exercise of any such Option or otherwise pursuant to the terms thereof minus (2) the sum of
all amounts paid or payable to the holder of such Option (or any other Person) upon the granting, issuance or sale of such Option,
upon exercise of such Option and upon conversion, exercise or exchange of any Convertible Security issuable upon exercise of such
Option or otherwise pursuant to the terms thereof plus the value of any other consideration received or receivable by, or benefit
conferred on, the holder of such Option (or any other Person). Except as contemplated below, no further adjustment of the Conversion
Rate shall be made upon the actual issuance of such shares of Common Stock or of such Convertible Securities upon the exercise
of such Options or otherwise pursuant to the terms of or upon the actual issuance of such shares of Common Stock upon conversion,
exercise or exchange of such Convertible Securities.

 

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(b)              
Issuance of Convertible Securities. If the Company in any manner issues or sells (or enters into any agreement to
issue or sell) any Convertible Securities and the lowest price per share for which one share of Common Stock is at any time issuable
upon the conversion, exercise or exchange thereof or otherwise pursuant to the terms thereof is less than the Applicable Price,
then such share of Common Stock shall be deemed to be outstanding and to have been issued and sold by the Company at the time of
the issuance or sale (or the time of execution of such agreement to issue or sell, as applicable) of such Convertible Securities
for such price per share. For the purposes of this Section 8(F)(ii)(1)(b), the “lowest price per share for which one
share of Common Stock is at any time issuable upon the conversion, exercise or exchange thereof or otherwise pursuant to the terms
thereof” shall be equal to (1) the lower of (x) the sum of the lowest amounts of consideration (if any) received or receivable
by the Company with respect to one share of Common Stock upon the issuance or sale (or pursuant to the agreement to issue or sell,
as applicable) of the Convertible Security and upon conversion, exercise or exchange of such Convertible Security or otherwise
pursuant to the terms thereof and (y) the lowest conversion price set forth in such Convertible Security for which one share of
Common Stock is issuable (or may become issuable assuming all possible market conditions) upon conversion, exercise or exchange
thereof or otherwise pursuant to the terms thereof minus (2) the sum of all amounts paid or payable to the holder of such Convertible
Security (or any other Person) upon the issuance or sale (or the agreement to issue or sell, as applicable) of such Convertible
Security plus the value of any other consideration received or receivable by, or benefit conferred on, the holder of such Convertible
Security (or any other Person). Except as contemplated below, no further adjustment of the Conversion Rate shall be made upon the
actual issuance of such shares of Common Stock upon conversion, exercise or exchange of such Convertible Securities or otherwise
pursuant to the terms thereof, and if any such issuance or sale of such Convertible Securities is made upon exercise of any Options
for which an adjustment of the Conversion Rate has been or is to be made pursuant to other provisions of this Section 8(F)(ii),
except as contemplated below, no further adjustment of the Conversion Price shall be made by reason of such issuance or sale.

 

(c)              
Change in Option Price or Rate of Conversion. If the purchase or exercise price provided for in any Options, the
additional consideration, if any, payable upon the issue, conversion, exercise or exchange of any Convertible Securities, or the
rate at which any Convertible Securities are convertible into or exercisable or exchangeable for shares of Common Stock increases
or decreases at any time (other than proportional changes in conversion or exercise prices, as applicable, in connection with an
event referred to in Section 8(F)(ii)(1)(a)), the Conversion Price in effect at the time of such increase or decrease shall
be adjusted to the Conversion Price which would have been in effect at such time had such Options or Convertible Securities provided
for such increased or decreased purchase price, additional consideration or increased or decreased conversion rate, as the case
may be, at the time initially granted, issued or sold. For purposes of this Section 8(F)(ii)(1)(c), if the terms of any
Option or Convertible Security that was outstanding as of the Issue Date are increased or decreased in the manner described in
the immediately preceding sentence, then such Option or Convertible Security and the shares of Common Stock deemed issuable upon
exercise, conversion or exchange thereof shall be deemed to have been issued as of the date of such increase or decrease. No adjustment
pursuant to this Section 8(F)(ii)(1)(c) shall be made if such adjustment would result in an increase of the Conversion Price
then in effect.

 

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(d)              
Calculation of Consideration Received. If any Option and/or Convertible Security and/or Adjustment Right is issued
in connection with the issuance or sale or deemed issuance or sale of any other securities of the Company (as determined by the
Holder, the “Primary Security”, and such Option and/or Convertible Security and/or Adjustment Right, the “Secondary
Securities” and together with the Primary Security, each a “Unit”), together comprising one integrated
transaction, the aggregate consideration per share of Common Stock with respect to such Primary Security shall be deemed to be
the lower of (x) the purchase price of such Unit, (y) if such Primary Security is an Option and/or Convertible Security, the lowest
price per share for which one share of Common Stock is at any time issuable upon the exercise or conversion of the Primary Security
in accordance with Section 8(F)(ii)(1)(A) or Section 8(F)(ii)(1)(B) above and (z) the lowest Daily VWAP of the shares
of Common Stock on any Trading Day during the four (4) Trading Day period (the “Adjustment Period”) immediately
following the public announcement of such Dilutive Issuance (for the avoidance of doubt, if such public announcement is released
prior to the opening of the Principal Market on a Trading Day, such Trading Day shall be the first Trading Day in such four (4)
Trading Day period and if this Note is converted, on any given Conversion Date during any such Adjustment Period, solely with respect
to such portion of this Note converted on such applicable Conversion Date, such applicable Adjustment Period shall be deemed to
have ended on, and included, the Trading Day immediately prior to such Conversion Date). If any shares of Common Stock, Options
or Convertible Securities are issued or sold or deemed to have been issued or sold for cash, the consideration received therefor
will be deemed to be the net amount of consideration received by the Company therefor. If any shares of Common Stock, Options or
Convertible Securities are issued or sold for a consideration other than cash, the amount of such consideration received by the
Company will be the fair value of such consideration, except where such consideration consists of publicly traded securities, in
which case the amount of consideration received by the Company for such securities will be the arithmetic average of the Daily
VWAPs of such security for each of the five (5) Trading Days immediately preceding the date of receipt. If such parties are unable
to reach agreement within ten (10) days after the occurrence of an event requiring valuation (the “Valuation Event”),
the fair value of such consideration will be determined within five (5) Trading Days after the tenth (10th) day following such
Valuation Event by an independent, reputable appraiser jointly selected by the Company and the Holder. The determination of such
appraiser shall be final and binding upon all parties absent manifest error and the fees and expenses of such appraiser shall be
borne by the Company.

 

(2)            Holder’s Right of Alternative Conversion Price Following Issuance of Certain Options or Convertible Securities.
In addition to and not in limitation of the other provisions of this Section 8(F)(ii), if the Company in any manner issues
or sells or enters into any agreement to issue or sell, any Common Stock, Options or Convertible Securities (any such securities,
 “Variable Price Securities”) prior to the Anti-Dilution Date that are issuable pursuant to such agreement or
convertible into or exchangeable or exercisable for shares of Common Stock at a price which varies or may vary with the market
price of the shares of Common Stock, including by way of one or more reset(s) to a fixed price, but exclusive of such formulations
reflecting customary anti-dilution provisions (such as share splits, share combinations, share dividends and similar transactions)
(each of the formulations for such variable price being herein referred to as, the “Variable Price”), the Company
shall provide written notice thereof via email and overnight courier to the Holder on the date of such agreement and the issuance
of such Convertible Securities or Options. From and after the date the Company enters into such agreement or issues any such Variable
Price Securities, the Holder shall have the right, but not the obligation, in its sole discretion to substitute $1,000 divided
by the applicable Variable Price for the Conversion Rate upon conversion of this Note by designating in the Conversion Notice delivered
upon any conversion of this Note that solely for purposes of such conversion the Holder is relying on the Variable Price rather
than the Conversion Rate then in effect. The Holder’s election to rely on a Variable Price for a particular conversion of
this Note shall not obligate the Holder to rely on a Variable Price for any future conversion of this Note.

 

(3)              
Other Events. In the event that the Company (or any Subsidiary) shall take any action to which the provisions hereof
are not strictly applicable, or, if applicable, would not operate to protect the Holder from dilution or if any event occurs of
the type contemplated by the provisions of this Section 8(F)(ii) but not expressly provided for by such provisions (including,
without limitation, the granting of stock appreciation rights, phantom stock rights or other rights with equity features), then
the Company’s Board of Directors shall in good faith determine and implement an appropriate adjustment in the Conversion
Rate so as to protect the rights of the Holder; provided that no such adjustment pursuant to this Section 8(F)(ii)(3)
will decrease the Conversion Rate as otherwise determined pursuant to this Note; provided, further
that if the Holder does not accept such adjustments as appropriately protecting its interests hereunder against such dilution,
then the Company’s Board of Directors and the Holder shall agree, in good faith, upon an independent investment bank of nationally
recognized standing to make such appropriate adjustments, whose determination shall be final and binding absent manifest error
and whose fees and expenses shall be borne by the Company.

 

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(iii)           
Holder’s Right of Alternative Conversion Price Pursuant to Section 8(F)(i) or 8(F)(ii). In the event of any
conflict between the terms of Section 8(F)(i) and Section 8(F)(ii) with regard to any adjustment to the Conversion
Price hereunder, the Holder may, in its sole discretion, determine whether Section 8(F)(i) or Section 8(F)(ii) controls.

 

(iv)            
No Adjustments in Certain Cases.

 

(1)            Where the Holder Participates in the Transaction or Event Without Conversion. Notwithstanding anything to the contrary
in Section 8(F)(i) or Section 8(F)(ii), the Company will not be obligated to adjust the Conversion Rate on account
of a transaction or other event otherwise requiring an adjustment pursuant to Section 8(F)(i) or Section 8(F)(ii)
(other than a stock split or combination of the type set forth in Section 8(F)(i)(1) or a tender or exchange offer of the
type set forth in Section 8(F)(i)(5) or a Dilutive Issuance) if the Holder participates, at the same time and on the same
terms as holders of Common Stock, and solely by virtue of being the Holder of this Note, in such transaction or event without having
to convert this Note and as if the Holder held a number of shares of Common Stock equal to the product of (i) the Conversion Rate
in effect on the related record date; and (ii) the aggregate Principal Amount (expressed in thousands) of this Note held by this
Holder on such date.

 

(2)            Certain Events. The Company will not be required to adjust the Conversion Rate except as provided in Section 8(F),
Section 8(G) or Section 8(H). Without limiting the foregoing, the Company will not be obligated to adjust the Conversion
Rate on account of:

 

(a)              
except as otherwise provided in Section 8(F), the sale of shares of Common Stock for a purchase price that is less
than the market price per share of Common Stock or less than the Conversion Price;

 

(b)              
solely a change in the par value of the Common Stock; or

 

(c)              
accrued and unpaid interest on this Note.

 

(v)              
Adjustments Not Yet Effective. Notwithstanding anything to the contrary in this Note, if:

 

(1)            this Note is to be converted;

 

(2)            the record date, effective date or Expiration Time for any event that requires an adjustment to the Conversion Rate pursuant
to Section 8(F)(i) or Section 8(F)(ii) has occurred on or before the Conversion Date for such conversion, but an
adjustment to the Conversion Rate for such event has not yet become effective as of such Conversion Date;

 

(3)            the Conversion Consideration due upon such conversion includes any whole shares of Common Stock; and

 

(4)            such shares are not entitled to participate in such event (because they were not held on the related record date or otherwise),

 

     - 36 -

     

    

 

then, solely for purposes of
such conversion, the Company will, without duplication, give effect to such adjustment on such Conversion Date. In such case, if
the date on which the Company is otherwise required to deliver the consideration due upon such conversion is before the first date
on which the amount of such adjustment can be determined, then the Company will delay the settlement of such conversion until the
second (2nd) Business Day after such first date.

 

(vi)            
Conversion Rate Adjustments where the Converting Holder Participates in the Relevant Transaction or Event. Notwithstanding
anything to the contrary in this Note, if:

 

(1)            a Conversion Rate adjustment for any dividend or distribution becomes effective on any Ex-Dividend Date pursuant to Section
8(F)(i);

 

(2)            a Note is to be converted;

 

(3)            the Conversion Date for such conversion occurs on or after such Ex-Dividend Date and on or before the related record date;

 

(4)            the Conversion Consideration due upon such conversion includes any whole shares of Common Stock based on a Conversion Rate
that is adjusted for such dividend or distribution; and

 

(5)            such shares would be entitled to participate in such dividend or distribution (including pursuant to Section 8(C)(ii)),

 

then (x) such Conversion Rate
adjustment will not be given effect for such conversion; (y) the shares of Common Stock issuable upon such conversion based on
such unadjusted Conversion Rate will not be entitled to participate in such dividend or distribution; and (z) there will be added,
to the Conversion Consideration otherwise due upon such conversion, the same kind and amount of consideration that would have been
delivered in such dividend or distribution with respect to such shares of Common Stock had such shares been entitled to participate
in such dividend or distribution.

 

(vii)         
Stockholder Rights Plans. If any shares of Common Stock are to be issued upon conversion of any Note and, at the
time of such conversion, the Company has in effect any stockholder rights plan, then the Holder of such Note will be entitled to
receive, in addition to, and concurrently with the delivery of, the Conversion Consideration otherwise payable under this Note
upon such conversion, the rights set forth in such stockholder rights plan, unless such rights have separated from the Common Stock
at such time, in which case, and only in such case, the Conversion Rate will be adjusted pursuant to Section 8(F)(i)(3)(a)
on account of such separation as if, at the time of such separation, the Company had made a distribution of the type referred to
in such Section to all holders of the Common Stock, subject to readjustment in accordance with such Section if such rights expire,
terminate or are redeemed.

 

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(viii)           Limitation on Effecting Transactions Resulting in Certain Adjustments. The Company will not engage in or be a party
to any transaction or event that would require the Conversion Rate to be adjusted pursuant to Section 8(F)(i), Section
8(F)(ii), Section 8(G) or Section 8(H) to an amount that would result in the Conversion Price per share of Common Stock
being less than the par value per share of Common Stock.

 

(ix)             Equitable Adjustments to Prices. Whenever any provision of this Note requires the Company to calculate the average
of the Last Reported Sale Prices, or any function thereof, over a period of multiple days (including to calculate an adjustment
to the Conversion Rate), the Company will make proportionate adjustments, if any, to such calculations to account for any adjustment
to the Conversion Rate pursuant to Section 8(F)(i) or Section 8(F)(ii) that becomes effective, or any event requiring
such an adjustment to the Conversion Rate where the Ex-Dividend Date or effective date, as applicable, of such event occurs, at
any time during such period.

 

(x)              Calculation of Number of Outstanding Shares of Common Stock. For purposes of this Section 8(F), the number
of shares of Common Stock outstanding at any time will (i) include shares issuable in respect of scrip certificates issued in lieu
of fractions of shares of Common Stock; and (ii) exclude shares of Common Stock held in the Company’s treasury (unless the
Company pays any dividend or makes any distribution on shares of Common Stock held in its treasury).

 

(xi)             Calculations. All calculations with respect to the Conversion Rate and adjustments thereto will be made to the nearest
1/10,000th of a share of Common Stock (with 5/100,000ths rounded upward).

 

(xii)            Notice of Conversion Rate Adjustments. Upon the effectiveness of any adjustment to the Conversion Rate pursuant to
Section 8(F)(i) or Section 8(F)(ii), the Company will promptly send notice to the Holder containing (i) a brief description
of the transaction or other event on account of which such adjustment was made; (ii) the Conversion Rate in effect immediately
after such adjustment; and (iii) the effective time of such adjustment.

 

(G)           Voluntary Adjustments.

 

(i)               Generally. To the extent permitted by law and applicable stock exchange rules, the Company, from time to time, may
(but is not required to) increase the Conversion Rate by any amount if (i) the Board of Directors determines in good faith that
such increase is either (x) in the best interest of the Company; or (y) advisable to avoid or diminish any income tax imposed on
holders of Common Stock or rights to purchase Common Stock as a result of any dividend or distribution of shares (or rights to
acquire shares) of Common Stock or any similar event; and (ii) such increase is irrevocable. The Company and the Holder agree that
any such voluntary adjustment to the Conversion Rate and any conversion of any portion of the Note based upon any such voluntary
adjustment shall not constitute material non-public information with respect to the Company.

 

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(ii)              Notice of Voluntary Increases. If the Board of Directors determines to increase the Conversion Rate pursuant to Section
8(G)(i), then, no later than the first Business Day following such determination, the Company will send notice to the Holder
of such increase, the amount thereof and the period during which such increase will be in effect.

 

(H)           Adjustments to the Conversion Rate in Connection with an Event of Default. If an Event of Default occurs and the
Conversion Date for the conversion of a Note occurs during the related Event of Default Conversion Period, then, subject to Section
8(J), the Conversion Rate applicable to such conversion will be increased by a number of shares equal to the Event of Default
Additional Shares. In the event the issuance of any Event of Default Additional Shares is reduced as a result of the Floor Price,
then concurrently with the issuance of such shares, the Company shall also pay to the Holder an amount, in cash, equal to the product
of (i) the number of shares by which such amount was reduced as a result of the Floor Price, multiplied by (ii) the Event of Default
Conversion Price.

 

(I)           Effect of Certain Recapitalizations, Reclassifications, Consolidations, Mergers and Sales.

 

(i)               Generally. If there occurs:

 

(1)              recapitalization, reclassification or change of the Common Stock (other than (x) changes solely resulting from a subdivision
or combination of the Common Stock, (y) a change only in par value or from par value to no par value or no par value to par value
and (z) stock splits and stock combinations that do not involve the issuance of any other series or class of securities);

 

(2)              consolidation, merger, combination or binding or statutory share exchange involving the Company;

 

(3)              sale, lease or other transfer of all or substantially all of the assets of the Company and its Subsidiaries, taken as a
whole, to any Person; or

 

(4)              other similar event,

 

and, in each case, as a result
of such occurrence, the Common Stock is converted into, or is exchanged for, or represents solely the right to receive, other securities
or other property (including cash or any combination of the foregoing) (such an event, a “Common Stock Change Event,”
and such other securities or other property, the “Reference Property,” and the amount and kind of Reference
Property that a holder of one (1) share of Common Stock would be entitled to receive on account of such Common Stock Change Event
(without giving effect to any arrangement not to issue fractional shares of securities or other property), a “Reference
Property Unit”), then, notwithstanding anything to the contrary in this Note, at the effective time of such Common Stock
Change Event, (x) the Conversion Consideration due upon conversion of any Note will be determined in the same manner as if each
reference to any number of shares of Common Stock in this Section 8 (or in any related definitions) were instead a reference
to the same number of Reference Property Units; (y) for purposes of Section 8(A), each reference to any number of shares
of Common Stock in such Section (or in any related definitions) will instead be deemed to be a reference to the same number of
Reference Property Units; and (z) for purposes of the definition of “Fundamental Change,” the term “Common Stock”
and “common equity” will be deemed to mean the common equity, if any, forming part of such Reference Property. For
these purposes, (I) the Daily VWAP of any Reference Property Unit or portion thereof that consists of a class of common equity
securities will be determined by reference to the definition of “Daily VWAP,” substituting, if applicable, the Bloomberg
page for such class of securities in such definition; and (II) the Daily VWAP of any Reference Property Unit or portion thereof
that does not consist of a class of common equity securities, and the Last Reported Sale Price of any Reference Property Unit or
portion thereof that does not consist of a class of securities, will be the fair value of such Reference Property Unit or portion
thereof, as applicable, determined in good faith by the Company (or, in the case of cash denominated in U.S. dollars, the face
amount thereof).

 

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If the Reference Property consists
of more than a single type of consideration to be determined based in part upon any form of stockholder election, then the composition
of the Reference Property Unit will be deemed to be the weighted average of the types and amounts of consideration actually received,
per share of Common Stock, by the holders of Common Stock. The Company will notify the Holder of such weighted average as soon
as practicable after such determination is made.

 

At or before the effective date
of such Common Stock Change Event, the Company and the resulting, surviving or transferee Person (if not the Company) of such Common
Stock Change Event (the “Successor Person”) will execute and deliver such instruments or agreements that (x)
provides for subsequent conversions of this Note in the manner set forth in this Section 8(I); (y) provides for subsequent
adjustments to the Conversion Rate pursuant to Section 8(F), Section 8(G) and Section 8(H) in a manner consistent
with this Section 8(I); and (z) contains such other provisions as the Company reasonably determines are appropriate to preserve
the economic interests of the Holder and to give effect to the provisions of this Section 8(I). If the Reference Property
includes shares of stock or other securities or assets of a Person other than the Successor Person, then such other Person will
also execute such instruments or agreements and such instruments or agreements will contain such additional provisions the Company
reasonably determines are appropriate to preserve the economic interests of the Holder.

 

(ii)              Notice of Common Stock Change Events. As soon as practicable after learning the anticipated or actual effective date
of any Common Stock Change Event, the Company will provide written notice to the Holder of such Common Stock Change Event, including
a brief description of such Common Stock Change Event, its anticipated effective date and a brief description of the anticipated
change in the conversion right of this Note.

 

(iii)             Compliance Covenant. The Company will not become a party to any Common Stock Change Event unless its terms are consistent
with this Section 8(I).

 

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(J)            Limitations on Conversions.

 

(i)               Beneficial Ownership Limitation. Notwithstanding anything to the contrary contained herein, the Company shall not
effect the conversion of any portion of this Note, and the Holder shall not have the right to convert any portion of this Note,
pursuant to the terms and conditions of this Note and any such conversion shall be null and void and treated as if never made,
to the extent that after giving effect to such conversion, the Holder together with the other Attribution Parties collectively
would beneficially own in excess of 4.99% (the “Maximum Percentage”) of the number of shares of Common Stock
outstanding immediately after giving effect to such conversion. For purposes of the foregoing sentence, the aggregate number of
shares of Common Stock beneficially owned by the Holder and the other Attribution Parties shall include the number of shares of
Common Stock held by the Holder and all other Attribution Parties plus the number of shares of Common Stock issuable upon conversion
of this Note with respect to which the determination of such sentence is being made, but shall exclude the number of shares of
Common Stock which would be issuable upon (A) conversion of the remaining, unconverted portion of this Note beneficially owned
by the Holder or any of the other Attribution Parties and (B) exercise or conversion of the unexercised or unconverted portion
of any other securities of the Company (including, without limitation, any convertible notes or convertible preferred stock or
warrants) beneficially owned by the Holder or any other Attribution Party subject to a limitation on conversion or exercise analogous
to the limitation contained in this Section 8(J)(i). For purposes of this Section 8(J)(i), beneficial ownership shall
be calculated in accordance with Section 13(d) of the Exchange Act. For purposes of this Note, in determining the number of outstanding
shares of Common Stock the Holder may acquire upon the conversion of this Note without exceeding the Maximum Percentage, the Holder
may rely on the number of outstanding shares of Common Stock as reflected in (x) the Company's most recent Annual Report on Form
10-K, Quarterly Report on Form 10-Q, Current Report on Form 8-K or other public filing with the Commission, as the case may be,
(y) a more recent public announcement by the Company or (3) any other written notice by the Company or the Transfer Agent (as defined
in the Securities Purchase Agreement) setting forth the number of shares of Common Stock outstanding (the “Reported Outstanding
Share Number”). If the Company receives a conversion notice from the Holder at a time when the actual number of outstanding
shares of Common Stock is less than the Reported Outstanding Share Number, the Company shall (i) promptly notify the Holder in
writing of the number of shares of Common Stock then outstanding and, to the extent that such conversion notice would otherwise
cause the Holder's beneficial ownership, as determined pursuant to this Section 8(J)(i), to exceed the Maximum Percentage,
the Holder must notify the Company of a reduced number of conversion shares to be issued pursuant to such conversion notice. For
any reason at any time, upon the written or oral request of the Holder, the Company shall within one (1) Trading Day confirm in
writing or by electronic mail to the Holder the number of shares of Common Stock then outstanding. In any case, the number of outstanding
shares of Common Stock shall be determined after giving effect to the conversion or exercise of securities of the Company, including
this Note, by the Holder and any other Attribution Party since the date as of which the Reported Outstanding Share Number was reported.
In the event that the issuance of shares of Common Stock to the Holder upon conversion of this Note results in the Holder and the
other Attribution Parties being deemed to beneficially own, in the aggregate, more than the Maximum Percentage of the number of
outstanding shares of Common Stock (as determined under Section 13(d) of the Exchange Act), the number of shares so issued by which
the Holder's and the other Attribution Parties' aggregate beneficial ownership exceeds the Maximum Percentage (the “Excess
Shares”) shall be deemed null and void and shall be cancelled ab initio, and the Holder shall not have the power
to vote or to transfer the Excess Shares. Upon delivery of a written notice to the Company, the Holder may from time to time increase
or decrease the Maximum Percentage to any other percentage not in excess of 9.99% as specified in such notice; provided
that (i) any such increase in the Maximum Percentage will not be effective until the sixty-first (61st) day after such
notice is delivered to the Company and (ii) any such increase or decrease will apply only to the Holder and the other Attribution
Parties and not to any other holder of Notes that is not an Attribution Party of the Holder. For purposes of clarity, the shares
of Common Stock issuable pursuant to the terms of this Note in excess of the Maximum Percentage shall not be deemed to be beneficially
owned by the Holder for any purpose including for purposes of Section 13(d) or Rule 16a-1(a)(1) of the Exchange Act. No prior inability
to convert this Note pursuant to this paragraph shall have any effect on the applicability of the provisions of this paragraph
with respect to any subsequent determination of convertibility. The provisions of this paragraph shall be construed and implemented
in a manner otherwise than in strict conformity with the terms of this Section 8(J)(i) to the extent necessary to correct
this paragraph or any portion of this paragraph which may be defective or inconsistent with the intended beneficial ownership limitation
contained in this Section 8(J)(i) or to make changes or supplements necessary or desirable to properly give effect to such
limitation. The limitation contained in this paragraph may not be waived and shall apply to a successor holder of this Note.

 

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(ii)              Stock Exchange Limitations. Notwithstanding anything to the contrary in this Note, until the Requisite Stockholder
Approval is obtained, in no event will the number of shares of Common Stock issuable upon conversion of this Note or otherwise
pursuant to this Note, including pursuant to Section 8(H), together with any shares of Common Stock issuable pursuant to
the Warrant and all other shares, if any, theretofore issued upon conversion of this Note or exercise of the Warrant, including
any portion constituting an Optional Redemption Payment, exceed 27,764,100 shares in the aggregate. If any one or more shares of
Common Stock are not delivered upon conversion of this Note as a result of the operation of the preceding sentence (such shares,
the “Withheld Shares”), then (1) on the Conversion Settlement Date for such conversion, the Company will pay
to the Holder, in addition to the Conversion Consideration otherwise due upon such conversion, cash in an amount equal to the product
of (x) the number of such Withheld Shares; and (y) the Daily VWAP per share of Common Stock on the Conversion Date for such conversion;
and (2) to the extent the Holder purchases (in an open market transaction or otherwise) shares of Common Stock to deliver in settlement
of a sale by the Holder of such Withheld Shares, the Company will reimburse the Holder for (x) any brokerage commissions and other
out-of-pocket expenses, if any, of the Holder incurred in connection with such purchases and (y) the excess, if any, of (A) the
aggregate purchase price of such purchases over (B) the product of (I) the number of such Withheld Shares purchased by the Holder;
and (II) the Daily VWAP per share of Common Stock on the Conversion Date for such conversion.

 

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Section
9.           Affirmative
and Negative Covenants.

 

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

 

(B)           Corporate Existence. Subject to Section 9(A), Permitted Investments and Permitted Transfers, the Company will
cause to preserve and keep in full force and effect:

 

(i)               its corporate existence in accordance with the organizational documents of the Company; and

 

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

 

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

 

(C)           Ranking. All payments due under this Note shall rank pari passu with all Other Notes and shall rank senior
to all other indebtedness of the Company to the extent of the value of the Collateral and any Subordinated Indebtedness.

 

(D)           Indebtedness; Amendments to Indebtedness. The Company shall not and shall not permit any Subsidiary to: (a) create,
incur, assume, guarantee or be or remain liable with respect to any Indebtedness, other than Permitted Indebtedness; (b) prepay
any Indebtedness except by the conversion or exchange of Indebtedness into equity securities (other than Disqualified Stock) and
the payment of cash in lieu of fractional shares in connection with such conversion; or (c) amend or modify any documents or notes
evidencing any Indebtedness in any manner which shortens the maturity date or any amortization, redemption or interest payment
date thereof or otherwise imposes materially more burdensome terms upon the Company or its Subsidiaries than exist in such Indebtedness
prior to such amendment or modification without the prior written consent of Holder.

 

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

 

(F)            Investments. The Company shall not directly or indirectly acquire or own, or make any Investment in or to any
Person, or permit any of its Subsidiaries so to do, other than Permitted Investments.

 

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(G)           Distributions. The Company shall not, and shall not allow any Subsidiary to, (a) repurchase or redeem any class
of stock or other equity interest other than repurchases or redemptions of the Series C Preferred Stock on the mandatory redemption
date for such Series C Preferred Stock or pursuant to employee, director or consultant repurchase plans or other similar agreements
approved by the Board of Directors, provided, however, in each case the repurchase or redemption price does not exceed the original
consideration paid for such stock or equity interest, except that the Company may exchange shares of Disqualified Stock for shares
of Common Stock, or (b) declare or pay any cash dividend or make a cash distribution on any class of stock or other equity interest
other than mandatory dividends or distributions on the Series C Preferred Stock, except that a Subsidiary may pay dividends or
make distributions to the Company or a parent company that is a Subsidiary of the Company), or (c) lend money to any employees,
officers or directors (except as permitted under clauses (F) or (G) of the definition of Permitted Investment), or guarantee the
payment of any such loans granted by a third party or (d) waive, release or forgive any Indebtedness owed by any employees, officers
or directors. Notwithstanding anything to the contrary herein, the Company shall not, and shall not allow any Subsidiary to, repurchase
or redeem any class of stock or other equity interest (including the Series C Preferred Stock) or (b) declare or pay any cash dividend
or make a cash distribution on any class of stock or other equity interest (including the Series C Preferred Stock) if any Event
of Default has occurred hereunder.

 

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

 

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

 

(J)            Minimum Liquidity. The Company shall have at all times liquidity calculated as unrestricted, unencumbered Cash and
Cash Equivalents in one or more deposit accounts located in the United States and subject to a Control Agreement (as defined in
the Security Agreement) in favor of the Collateral Agent in a minimum amount equal to ten million dollars ($10,000,000); provided
that, unless a Default or Event of Default has occurred hereunder, such amount will be reduced to seven million dollars ($7,000,000)
as of the Additional Financing Date; provided, further, that, if the Specified Conditions Date has
occurred on or prior to October 31, 2020, such amount will be further reduced to zero dollars ($0) on the Specified Conditions
Date; provided, further, that solely with respect to this Section 9(J), clause (B) of the definition
of Specified Conditions shall be deemed to be satisfied upon such date that the Company has held a stockholder vote to obtain the
Requisite Stockholder Approval (regardless of the outcome of such vote) if the Company shall have used commercially reasonable
efforts to obtain the Requisite Stockholder Approval in connection with such stockholder vote. Notwithstanding the foregoing, if
any of the Specified Conditions are no longer satisfied (or, if not satisfied, waived by the Holder in its sole discretion) following
the Specified Conditions Date, the amount referred to in the immediately preceding sentence shall be set at seven million dollars
($7,000,000).

 

     - 44 -

     

    

 

(K)           Minimum
Revenue. As of the last day of each fiscal quarter concluding on and after Issue Date, the Company and the Subsidiary Grantors
shall have revenue (determined in accordance with GAAP) of not less than sixty million dollars ($60,000,000) for the preceding
twelve (12) months.

 

(L)           Change in Nature of Business. The Company shall not, and the Company shall cause each of its Subsidiaries to not,
directly or indirectly, engage in any material line of business substantially different from those lines of business conducted
by or publicly contemplated to be conducted by the Company and each of its Subsidiaries on the Issue Date or any business substantially
related or incidental thereto. The Company shall not, and the Company shall cause each of its Subsidiaries to not, directly or
indirectly, modify its or their corporate structure or purpose.

 

(M)          Maintenance of Properties, Etc. The Company shall maintain and preserve, and the Company shall cause each of its
Subsidiaries to maintain and preserve, all of its material properties which are necessary or useful (as determined by the Company
in good faith) in the proper conduct of its business in good working order and condition, ordinary wear and tear excepted, and
comply at all times with the provisions of all material leases to which it is a party as lessee or under which it occupies property,
so as to prevent any loss or forfeiture thereof or thereunder.

 

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

 

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

 

(P)            Transactions with Affiliates. Neither the Company nor any of its Subsidiaries shall enter into, renew, extend or
be a party to, any transaction or series of related transactions (including, without limitation, the purchase, sale, lease, transfer
or exchange of property or assets of any kind or the rendering of services of any kind) with any affiliate (other than any wholly
owned Subsidiary), except transactions for fair consideration and on terms no less favorable to it than would be obtainable in
a comparable arm’s length transaction with a Person that is not an affiliate thereof.

 

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

 

     - 45 -

     

    

 

(R)           Series C Preferred Stock. On or prior to October 1, 2020, the Company shall either (i) convert or exchange the entire
outstanding amount of all Series C Preferred Stock into Common Stock of the Company or (ii) extend any mandatory redemption date,
final maturity date or other applicable repurchase obligation with respect to any Series C Preferred Stock by at least twelve (12)
months.

 

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

 

(T)           The Company acknowledges and agrees that the Holder is not a fiduciary or agent of the Company and that the Holder shall
have no obligation to (a) maintain the confidentiality of any information provided by the Company or (b) refrain from trading any
securities while in possession of such information in the absence of a written non-disclosure agreement signed by an officer of
the Holder that explicitly provides for such confidentiality and trading restrictions, unless such trading is otherwise prohibited
by law. In the absence of such an executed, written non-disclosure agreement, the Company acknowledges that the Holder may freely
trade in any securities issued by the Company, may possess and use any information provided by the Company in connection with such
trading activity, and may disclose any such information to any third party.

 

(U)           On and after the date that is six (6) months following the Issue Date, this Note and any shares of Common Stock issuable
upon conversion of this Note shall be eligible to be offered, sold or otherwise transferred by the Holder pursuant to Rule 144,
without any requirements as to volume, manner of sale, availability of current public information (whether or not then satisfied)
or notice under the Securities Act and without any requirement for registration under any state securities or “blue sky”
law.

 

(V)           On or before the date that is one month following the Issue Date, the Company shall cause Pareteum Europe to enter into
the Pareteum Europe Security Agreement and to join the Security Agreement, Subsidiary Guaranty (as defined in the Security Agreement)
and each other applicable Security Document.

 

     - 46 -

     

    

 

(W)          On or before the date that is forty-five (45) days following the Issue Date, the Company shall cause each domestic subsidiary
of iPass Inc. (other than iPass IP LLC) to join the Security Agreement, Subsidiary Guaranty (as defined in the Security Agreement)
and each other applicable Security Document, except to the extent that such subsidiary has been dissolved or otherwise liquidated
prior to such date.

 

(X)           If the Pareteum Europe Pledge Agreement is not entered into by or on behalf of the Company and Pareteum Europe on the Issue
Date, then within one (1) Business Day after the Issue Date, the Company shall enter into, and shall cause Pareteum Europe to enter
into, the Pareteum Europe Pledge Agreement.

 

		Section 10.	Successors.

 

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

 

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

 

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

 

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

 

		Section 11.	Defaults
                                         and Remedies

 

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

 

(i)               a default in the payment when due of the Principal Amount, Fundamental Change Repurchase Price or Optional Redemption Payment
of this Note;

 

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

 

     - 47 -

     

    

 

(iii)             a default in the Company’s obligation to convert this Note in accordance with Section 8 upon the exercise of
the conversion right with respect thereto;

 

(iv)             a default in the Company’s obligation to deliver a Fundamental Change Notice pursuant to Section 6(C), and
such default continues for two (2) Business Days;

 

(v)              a materially false or inaccurate certification (including a false or inaccurate deemed certification) by the Company (A)
that the Equity Conditions are satisfied, (B) that there has been no failure of the Equity Conditions, or (C) as to whether any
Event of Default has occurred;

 

(vi)             a default in any of the Company’s obligations or agreements under this Note or the Transaction Documents (in each
case, other than a default set forth in clause (i), (ii) or (iii) of this Section 11(A)), or a breach
of any representation or warranty in any material respect (other than representations or warranties subject to material adverse
effect or materiality, which may not be breached in any respect) of any Transaction Document; provided, however,
that if such default or breach can be cured, then such default or breach will not be an Event of Default unless the Company has
failed to cure such default within five (5) days after its occurrence;

 

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

 

(viii)           any breach or default by the Company under Section 4(r) of the Securities Purchase Agreement;

 

(ix)             the Company fails to use commercially reasonable efforts to obtain the Requisite Stockholder Approval on or prior to October
31, 2020;

 

(x)              the Company fails to comply with Section 9(J), Section 9(R) Section 9(V), Section 9(W), or Section 9(X)
of this Note;

 

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

 

(xii)            a default by the Company or any of its Subsidiaries with respect to any Indebtedness of at least one hundred thousand dollars
($100,000) (or its foreign currency equivalent) in the aggregate of the Company or any of its Subsidiaries, whether such Indebtedness
exists as of the Issue Date or is thereafter created, and whether such default has been waived for any period of time or is subsequently
cured;

 

(xiii)           one or more final judgments, orders or awards (or any settlement of any litigation or other proceeding that, if breached,
could result in a judgment, order or award) for the payment of at least two hundred fifty thousand dollars ($250,000) (or its foreign
currency equivalent) in the aggregate (excluding any amounts covered by insurance pursuant to which the insurer has been notified
and has not denied coverage), is rendered against the Company or any of its Subsidiaries and remains unsatisfied and (i) enforcement
proceedings shall have been commenced by any creditor upon any such judgment, order, award or settlement or (ii) there shall be
a period of ten (10) consecutive Trading Days after entry thereof during which (A) a stay of enforcement thereof is not in effect
or (B) the same is not vacated, discharged, stayed or bonded pending appeal;

 

     - 48 -

     

    

 

(xiv)           after October 31, 2020 (A) the Company fails to timely file its quarterly reports on Form 10-Q or its annual reports on
Form 10-K with the Commission in the manner and within the time periods required by the Exchange Act, or (B) the Company withdraws
or restates any such quarterly report or annual report previously filed with the Commission (except as contemplated by Section
11(A)(xv) below);

 

(xv)            the Company fails to file restated financial statements with the Commission for (A) the fiscal year ended December 31, 2018,
(B) the quarter ended March 31, 2019 and (C) the quarter ended June 30, 2019, in each case on or prior to October 31, 2020 and
in compliance with all requirements under the Exchange Act.

 

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

 

(xvii)          any
material damage to, or loss, theft or destruction of, any Collateral, whether or not insured, or any strike, lockout, labor dispute,
embargo, condemnation, act of God or public enemy, or other casualty which causes, for more than fifteen (15) consecutive days,
the cessation or substantial curtailment of revenue producing activities at any facility of the Company or any Subsidiary, if
any such event or circumstance could have a Material Adverse Effect (as defined in the Securities Purchase Agreement);

 

(xviii)         the Company fails to cause the transfer to a transferee without restriction, unless otherwise then prohibited by applicable
federal securities laws, of any certificate or any shares of Common Stock issued to the Holder upon conversion or exercise (as
the case may be) of any Securities (as defined in the Securities Purchase Agreement) acquired by the Holder under the Securities
Purchase Agreement (including this Note) as and when required by such Securities or the Securities Purchase Agreement under circumstances
where such transferee is entitled to receive such shares without restriction, and any such failure remains uncured for at least
five (5) Trading Days;

 

(xix)            the Additional Financing Date has not occurred on or prior to June 30, 2020;

 

     - 49 -

     

    

 

(xx)             the Company or any of its Significant Subsidiaries (other than, for the avoidance of doubt, iPass India Private Limited,
pursuant to or within the meaning of any Bankruptcy Law, either:

 

(1)             commences a voluntary case or proceeding;

 

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

 

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

 

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

 

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

 

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

 

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

 

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

 

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

 

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

 

(4)             grants
any similar relief under any foreign Bankruptcy Law,(in each case, other than with respect to iPass India Private Limited) and,
in each case under this Section 11(A)(xxi), such order or decree remains unstayed and in effect for at least thirty
(30) days.

 

(B)           Acceleration.

 

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

 

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

 

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(C)           Notice of Events of Default. Promptly, but in no event later than two (2) Business Days after an Event of Default,
the Company will provide written notice of such Event of Default (an “Event of Default Notice”) to the Holder,
which Event of Default Notice shall include (i) a reasonable description of the applicable Event of Default, (ii) a certification
as to whether, in the opinion of the Company, such Event of Default is capable of being cured and, if applicable, a reasonable
description of any existing plans of the Company to cure such Event of Default and (iii) a certification as to the date the Event
of Default occurred and, if cured on or prior to the date of such Event of Default Notice, the date of such cure.

 

		Section 12.	Ranking.

 

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

 

		Section 13.	Replacement
                                         Notes.

 

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

 

		Section 14.	Notices.

 

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

 

Pareteum Corporation

1185 Avenue of the Americas,
37th Floor

New York, NY 10036

Attention: Laura Thomas, Interim
Chief Financial Officer

Email address: laura.thomas@pareteum.com

 

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

 

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

 

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

 

		Section 15.	Successors.

 

All agreements of the
Company in this Note will bind its successors.

 

		Section 16.	Severability.

 

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

 

		Section 17.	Headings,
                                         Etc.

 

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

 

		Section 18.	Amendments

 

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

 

		Section 19.	Governing
                                         Law; Waiver of Jury Trial.

 

THE INTERNAL LAW OF
THE STATE OF NEW YORK WILL GOVERN AND BE USED TO CONSTRUE THIS NOTE. THE COMPANY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED
BY APPLICABLE LAW, ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING ARISING OUT OF OR RELATING TO THIS NOTE.

 

		Section 20.	Submission
                                         to Jurisdiction.

 

The Company (A) agrees
that any suit, action or proceeding against it arising out of or relating to this Note may be instituted in any U.S. federal court
with applicable subject matter jurisdiction or New York State court sitting in The City of New York; (B) waives, to the fullest
extent permitted by applicable law, (i) any objection that it may now or hereafter have to the laying of venue of any such suit,
action or proceeding; and (ii) any claim that it may now or hereafter have that any such suit, action or proceeding in such a court
has been brought in an inconvenient forum; and (C) submits to the nonexclusive jurisdiction of such courts in any such suit, action
or proceeding.

 

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		Section 21.	Enforcement
                                         Fees.

 

The prevailing party
shall have the right to collect from the other all costs and expenses incurred by such prevailing party as a result of enforcement
of this Note and the collection of any amounts owed to such prevailing party hereunder (whether in cash, Common Stock or otherwise),
including, without limitation, reasonable attorneys’ fees and expenses.

 

		Section 22.	Collateral
                                         Agent.

 

(A)           Appointment;
Authorization.  The Holder hereby irrevocably appoints, designates and authorizes HT Investments SA LLC as collateral
agent to take such action on its behalf under the provisions of this Note and each Security Document and to exercise such powers
and perform such duties as are expressly delegated to it by the terms of each Security Document, together with such powers as
are reasonably incidental thereto. The provisions of this Section 22 are solely for the benefit of the Collateral Agent,
and the Company shall not have rights as a third-party beneficiary of any of such provisions. It is understood and agreed that
the use of the term “agent” herein or in any Security Document (or any other similar term) with reference to the Collateral
Agent is not intended to connote any fiduciary or other implied (or express) obligations arising under agency doctrine of any
applicable law. Instead such term is used as a matter of market custom, and is intended to create or reflect only an administrative
relationship between contracting parties. Notwithstanding any provision to the contrary contained elsewhere in this Note, any
Security Document or any other agreement, instrument or document related hereto or thereto, the Collateral Agent shall not have
any duty or responsibility except those expressly set forth herein, and no implied covenants, functions, responsibilities, duties,
obligations or liabilities shall be read into this Note, any Security Document or any other agreement, instrument or document
related hereto or thereto or otherwise exist against the Collateral Agent.

 

(E)           Delegation of Duties. The Collateral Agent may perform any and all of its duties and exercise its rights and powers
hereunder or under any Security Document by or through any one or more sub-agents appointed by the Collateral Agent. The Collateral
Agent and any such sub-agent may perform any and all of its duties and exercise its rights and powers by or through its Affiliates,
partners, directors, officers, employees, agents, trustees, administrators, managers, advisors and representatives, or the partners,
directors, officers, employees, agents, trustees, administrators, managers, advisors and representatives of any of its Affiliates
(collectively, the “Related Parties”). The exculpatory provisions of this Section 22 shall apply to any
such sub-agent and to the Related Parties of the Collateral Agent and any such sub-agent. The Collateral Agent shall not be responsible
for the negligence or misconduct of any sub-agents except to the extent that a court of competent jurisdiction determines in a
final and nonappealable judgment that the Collateral Agent acted with gross negligence or willful misconduct in the selection of
such sub-agents.

 

     - 53 -

     

    

 

(F)           Exculpatory Provisions. 

 

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

 

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

 

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

 

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

 

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(H)           Successor
Agent. The Collateral Agent may resign as the Collateral Agent at any time upon ten (10) days’ prior notice to the Holder
and each Other Holder and the Company. If the Collateral Agent resigns under this Note, the Holder and each Other Holder shall
appoint a successor agent. If no successor agent is appointed prior to the effective date of the resignation of the Collateral
Agent, the Collateral Agent may appoint a successor Collateral Agent on behalf of the Holder and each Other Holder after consulting
with the Holder and each other Holder. Upon the acceptance of its appointment as successor agent hereunder, such successor agent
shall succeed to all the rights, powers and duties of the retiring Collateral Agent and the term “the Collateral Agent”
shall mean such successor agent, and the retiring Agent’s appointment, powers and duties as the Collateral Agent shall be
terminated. After the Collateral Agent’s resignation hereunder as the Collateral Agent, the provisions of this Section
22 shall continue to inure to its benefit as to any actions taken or omitted to be taken by it while it was the Collateral
Agent. If no successor agent has accepted appointment as the Collateral Agent by the date which is thirty (30) days following
a retiring Collateral Agent’s notice of resignation, a retiring Collateral Agent’s resignation shall nevertheless
thereupon become effective and the Holder, together with each Other Holder, shall perform all of the duties of the Collateral
Agent hereunder until such time as the Holder and each Other Holder shall appoint a successor agent as provided for above.

 

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

 

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

 

(K)           Reimbursement by Holder and Other Holders.  To the extent that the Company for any reason fails to indefeasibly pay
any amount required under  Sections 4(e) or 9(k) of the Securities Purchase Agreement to be paid by it to the Collateral Agent
(or any sub-agent thereof) or any Related Party of the Collateral Agent (or any sub-agent thereof), the Holder hereby agrees, jointly
and severally with each Other Holder, to pay to the Collateral Agent (or any such sub-agent) or such Related Party of the Collateral
Agent (or any sub-agent thereof), as the case may be, such unpaid amount.

 

     - 55 -

     

    

 

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

 

* * *

 

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CONVERSION NOTICE

 

Pareteum
Corporation

 

Senior Secured Convertible Note due 2025

 

Subject to the terms of this Note, by
executing and delivering this Conversion Notice, the undersigned Holder of this Note directs the Company to convert the following
Principal Amount of this Note: $_________________,000 in accordance with the following details.

 

	 ̈	Check if the Conversion Date occurs during an Event of Default Conversion Period.

 

Shares of Common Stock to be delivered: 

	 	 	 

 

Accrued interest amount:

	 	 	 

 

DTC Participant Number:

	 	 	 

 

DTC Participant Name: 

	 	 	 

 

	Date:	 	 	 
	 	 	 	(Legal Name of Holder)

 

	 	By:	 
	 	 	Name:	 
	 	 	 	Title:	 

 

    

     

    

 

	 ̈	Check if the Conversion Rate is at a rate other than is otherwise currently applicable (counter
signature by the Company is not required unless a Conversion Rate other than the currently applicable Conversion Rate is requested).

 

	Requested Conversion Rate:	 
	 	 
	 	 
	Date:	 	 	 
	 	 
	 	Pareteum Corporation
	 	 
	 	By:	 
	 	 	 	 	Name:
	 	 	 	 	Title:Exhibit 10.2

 

SECURITIES PURCHASE AGREEMENT

 

This SECURITIES PURCHASE AGREEMENT
(the “Agreement”), dated as of June 8, 2020, is by and among Pareteum Corporation, a Delaware corporation with
offices located at 1185 Avenue of the Americas, 2nd Floor, New York, NY 10036 (the “Company”), and each of the
investors listed on the Schedule of Buyers attached hereto (individually, a “Buyer” and collectively, the “Buyers”).

 

RECITALS

 

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

 

B.             The Company has authorized a new series of 8.00% Senior Secured Convertible Notes in the form attached hereto as Exhibit
A (the “Convertible Notes”), which Convertible Notes (i) shall be convertible into shares of the Company’s
common stock, par value $0.00001 per share (together with any capital stock into which such common stock shall have been changed
or any share capital resulting from a reclassification of such common stock, the “Common Stock”) (such underlying
shares of Common Stock issuable pursuant to the terms of the Convertible Notes, the “Conversion Shares”).

 

C.             The
Company has authorized the issuance of Warrants to purchase Common Stock in the form attached hereto as Exhibit B
(the “Warrants”), which Warrants shall be exercisable for shares of Common Stock in accordance with the terms
thereof (such underlying shares of Common Stock issuable upon exercise of a Warrant, collectively, the “Warrant Shares”
and, together with the Conversion Shares, the “Underlying Shares”).

 

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

 

E.              Each Buyer wishes to purchase, and the Company wishes to sell, upon the terms and conditions stated in this Agreement, the
aggregate number of Warrants set forth opposite such Buyer’s name in column (5) on the Schedule of Buyers.

 

F.             At
the Closing (as defined below), the parties hereto shall execute and deliver a Security Agreement, in the form attached hereto
as Exhibit C (the “Security Agreement”), pursuant to which the Company has agreed to grant a
first priority security interest to the holders of the Convertible Notes in substantially all of its assets.

 

G.             At
or before the Closing, the parties set forth on Exhibit D hereto shall execute and deliver a Voting Agreement, in
the form attached hereto as Exhibit E (the “Voting Agreement”), pursuant to which such parties
shall agree to vote their shares of the Company’s Common Stock in favour of providing the Requisite Stockholder Approval
(as defined in the Convertible Notes).

 

    1

     

    

 

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

 

AGREEMENT

 

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

 

		1.	PURCHASE AND SALE OF PURCHASED SECURITIES.

 

(a)           Purchase
of Purchased Securities.  The Company shall issue and sell to each Buyer, and each Buyer severally, but not jointly,
agrees to purchase from the Company on the Closing Date (as defined below) the following Securities (collectively, the “Purchased
Securities”):

 

(i)            the
aggregate principal amount of Convertible Notes as is set forth opposite such Buyer’s name in column (3) on the Schedule
of Buyers; and

 

(ii)            a
Warrant exercisable for the aggregate number of Warrant Shares as is set forth opposite such Buyer’s name in column (5) on
the Schedule of Buyers, at a purchase price equal to $0.13119 per Warrant Share.

 

(b)           Closing.  The closing (the “Closing”) of the purchase of the Purchased Securities by the
Buyers shall occur at the offices of Latham & Watkins LLP, 885 Third Avenue, New York, NY 10022. The date and time of the Closing
(the “Closing Date”) shall be 9:00 a.m., New York time on the date hereof.

 

(c)           Securities
Purchase Price.  The aggregate purchase price for the Purchased Securities to be purchased by each Buyer (the “Purchase
Price”) shall be the amount set forth opposite such Buyer’s name in column (7) on the Schedule of Buyers.

 

(d)           Form of
Initial Payment for Purchased Securities.  On the Closing Date, (i) each Buyer shall pay its respective Purchase
Price to the Company for the Purchased Securities to be issued and sold to such Buyer at the Closing set forth opposite such Buyer’s
name on the Schedule of Buyers on the Closing Date, by wire transfer of immediately available funds in accordance with a letter
on the letterhead of the Company, duly executed by a duly authorized officer of the Company, setting forth the wire amounts of
each Buyer and the wire transfer instructions of the Company (the “Flow of Funds Letter”) and (ii) the
Company shall:

 

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

 

(B)             
deliver to each Buyer a Warrant exercisable for the aggregate number of Warrant Shares as is set forth opposite such Buyer’s
name in column (5) on the Schedule of Buyers, at a purchase price equal to $0.13119 per Warrant Share,
duly executed on behalf of the Company and registered in the name of such Buyer or its designee.

 

    2

     

    

 

(e)           Purchase Price Allocation. Each Buyer and the Company agree that the Convertible Notes and the Warrants constitute
an “investment unit” for purposes of Section 1273(c)(2) of the Internal Revenue Code of 1986, as amended (the “Code”).
The Buyers and the Company mutually agree that the allocation of the issue price of each such investment unit between the Convertible
Notes and the Warrants in accordance with Section 1273(c)(2) of the Code and Treasury Regulation Section 1.1273-2(h) shall be as
set forth on the Schedule of Buyers, and neither the Buyers nor the Company shall take any position inconsistent with such allocation
on any tax return or in any judicial or administrative proceeding in respect of taxes, except as otherwise required by applicable
law following a “determination” within the meaning of Section 1313(a) of the Code or similar provision of other applicable
law.

 

(f)           Withholding
Rights. Notwithstanding any other provision of the Transaction Documents to the contrary, the Company shall be entitled to
deduct and withhold from any amount otherwise payable with respect to the Purchased Securities or Underlying Shares such amounts
as the Company is required to deduct and withhold under any provision of the Code or any applicable law related to Taxes. Any
such withheld amounts shall be treated for all purposes of this Agreement and the Transaction Documents as having been paid to
the Person in respect of whom such deduction and withholding was made.

 

		2.	BUYER’S REPRESENTATIONS AND WARRANTIES.

 

Each Buyer, severally and not jointly, represents
and warrants to the Company with respect to only itself that, as of the date hereof:

 

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

 

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

 

    3

     

    

 

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

 

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

 

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

 

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

 

    4

     

    

 

(g)          Transfer
or Resale. Such Buyer understands that: (i) the Securities have not been and are not being registered under the 1933 Act or
any state securities laws, and may not be offered for sale, sold, assigned or transferred unless (A) subsequently registered thereunder,
(B) such Buyer shall have delivered to the Company (if requested by the Company) an opinion of counsel with expertise in U.S.
federal securities laws, in a form reasonably acceptable to the Company, to the effect that such Securities to be sold, assigned
or transferred may be sold, assigned or transferred pursuant to an exemption from such registration, or (C) such Buyer provides
the Company with reasonable assurance that such Securities can be sold, assigned or transferred pursuant to Rule 144 or Rule 144A
promulgated under the 1933 Act (or a successor rule thereto) (collectively, “Rule 144”); (ii) any sale of the
Securities made in reliance on Rule 144 may be made only in accordance with the terms of Rule 144, and further, if Rule 144 is
not applicable, any resale of the Securities under circumstances in which the seller (or the Person through whom the sale is made)
may be deemed to be an underwriter (as that term is defined in the 1933 Act) may require compliance with some other exemption
under the 1933 Act or the rules and regulations of the SEC promulgated thereunder; provided, that, from and after the date that
is six (6) months following the date hereof, at the request of any Buyer, the Company shall, if the Company is then in compliance
with Section 4(c) hereof, deliver to such Buyer or the Company’s transfer agent, as applicable, an opinion of counsel to
the Company, at the Company’s expense and in a form reasonably acceptable to such Buyer, that (i) adequate public information
with respect to the Company is then available (within the meaning of Rule 144(c)) and (ii) that a sale of the Securities may otherwise
be made in accordance with the terms of Rule 144; and (iii) neither the Company nor any other Person is under any obligation to
register the Securities under the 1933 Act or any state securities laws or to comply with the terms and conditions of any exemption
thereunder. Notwithstanding the foregoing, the Securities may be pledged in connection with a bona fide margin account or other
loan or financing arrangement secured by the Securities and such pledge of Securities shall not be deemed to be a transfer, sale
or assignment of the Securities hereunder, and no Buyer effecting a pledge of Securities shall be required to provide the Company
with any notice thereof or otherwise make any delivery to the Company pursuant to this Agreement or any other Transaction Document
(as defined in Section 3(b)), including, without limitation, this Section 2(g).

 

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

 

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

 

    5

     

    

 

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

 

		3.	REPRESENTATIONS AND WARRANTIES OF THE COMPANY.

 

The Company represents and warrants to each
of the Buyers that, as of the date hereof:

 

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

 

    6

     

    

 

(b)          Authorization;
Enforcement; Validity.  The Company has the requisite power and authority to enter into and perform its obligations under
this Agreement and the other Transaction Documents and to issue the Securities in accordance with the terms hereof and thereof. 
Each Subsidiary has the requisite power and authority to enter into and perform its obligations under the Transaction Documents
to which it is a party.  The execution and delivery of this Agreement and the other Transaction Documents by the Company,
and the consummation by the Company and its Subsidiaries of the transactions contemplated hereby and thereby (including, without
limitation, the issuance of the Convertible Notes and Warrants, the reservation for issuance and issuance of the Underlying Shares
issuable upon conversion, redemption or exercise of the Convertible Notes and Warrants, as applicable) have been duly authorized
by the Company’s board of directors (the “Board of Directors”), and (other than (i)  any filings
as may be required by any state securities agencies and (ii) a Listing of Additional Shares Notification with the Principal
Market (as defined below) (collectively, the “Required Filings”)) no further filing, consent or authorization
is required by the Company, its Subsidiaries, their respective boards of directors or their stockholders or other governing body. 
This Agreement and the other Transaction Documents have been duly executed and delivered by the Company, and each constitutes
the legal, valid and binding obligations of the Company, enforceable against the Company in accordance with its respective terms,
except as such enforceability may be limited by general principles of equity or applicable bankruptcy, insolvency, reorganization,
moratorium, liquidation or similar laws relating to, or affecting generally, the enforcement of applicable creditors’ rights
and remedies and except as rights to indemnification and to contribution may be limited by federal or state securities law. 
 “Transaction Documents” means, collectively, this Agreement, the Convertible Notes, the Warrants, the Security
Agreement, the Security Documents, the Voting Agreement, the Irrevocable Transfer Agent Instructions (as defined below) and each
of the other agreements and instruments entered into or delivered by any of the parties hereto in connection with the transactions
contemplated hereby and thereby, as may be amended from time to time.

 

(c)           Issuance of Securities.  The issuance of the Securities is duly authorized and when issued and delivered in
accordance with the terms of the Transaction Documents the Securities shall be validly issued, fully paid and non-assessable and
free from all preemptive or similar rights, mortgages, defects, claims, liens, pledges, charges, taxes, rights of first refusal,
encumbrances, security interests and other encumbrances (collectively “Liens”) with respect to the issuance
thereof.  As of the Closing, the Company shall have reserved from its duly authorized capital stock not less than (i) a number
of shares of Common Stock equal to (1) the then outstanding principal amount of the Notes plus accrued and unpaid interest on the
Notes divided by (2) the Floor Price (as defined in the Notes), and (ii) fifteen million (15,000,000) shares of Common Stock
to satisfy the Company’s obligation to issue shares of Common Stock under the Warrants.  Upon issuance in accordance
with the Convertible Notes or Warrants, as applicable, the Underlying Shares when issued, will be validly issued, fully paid and
nonassessable and free from all preemptive or similar rights or Liens with respect to the issuance thereof, with the holders being
entitled to all rights accorded to a holder of Common Stock. Subject to the accuracy of the representations and warranties of the
Buyers in the Transaction Documents, the offer and issuance by the Company of the Securities is exempt from registration under
the 1933 Act.

 

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

 

    7

     

    

 

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

 

    8

     

    

 

(f)           Acknowledgment
Regarding Buyer’s Purchase of Securities.  The Company acknowledges and agrees that each Buyer is acting solely
in the capacity of an arm’s length purchaser with respect to the Transaction Documents and the transactions contemplated
hereby and thereby and that no Buyer is (i) an officer or director of the Company or any of its Subsidiaries, (ii) to
the Company's knowledge an “affiliate” (as defined in Rule 144) of the Company or any of its Subsidiaries or
(iii) to the Company's knowledge, a “beneficial owner” of more than 10% of the shares of Common Stock (as defined
for purposes of Rule 13d-3 of Securities Exchange Act of 1934, as amended (the “1934 Act”)).  The
Company further acknowledges that no Buyer is acting as a financial advisor or fiduciary of the Company or any of its Subsidiaries
(or in any similar capacity) with respect to the Transaction Documents and the transactions contemplated hereby and thereby, and
any advice given by a Buyer or any of its representatives or agents in connection with the Transaction Documents and the transactions
contemplated hereby and thereby is merely incidental to such Buyer’s purchase of the Securities.  The Company further
represents to each Buyer that the Company’s and each Subsidiary’s decision to enter into the Transaction Documents
to which it is a party has been based solely on the independent evaluation by the Company, each Subsidiary and their respective
representatives.

 

(g)          No
General Solicitation; No Placement Agent.  Neither the Company, nor any of its Subsidiaries or affiliates, nor any Person
acting on its or their behalf, has engaged in any form of general solicitation or general advertising (within the meaning of Regulation
D) in connection with the offer or sale of the Securities. Neither the Company nor any of its Subsidiaries has engaged any placement
agent or other agent in connection with the offer or sale of the Securities. The Company shall pay, and hold each Buyer harmless
against, any liability, loss or expense (including, without limitation, attorney’s fees and reasonable and documented out-of-pocket
expenses) arising in connection with any claim for the payment of any placement agent’s fees, financial advisory fees, or
brokers’ commissions (other than for Persons engaged by any Buyer) relating to or arising out of the transactions contemplated
hereby. Schedule 3(g) sets forth all placement agent’s fees, financial advisory fees, brokers’ commissions
and any other payments that will become owed, due and/or payable upon the closing of, or relating to or arising out of, the transactions
contemplated hereby (other than for Persons engaged by any Buyer) that are payable by the Company or any of its Subsidiaries.

 

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

 

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

 

    9

     

    

 

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

 

(k)           Financial
Statements.  Except as set forth on Schedule 3(k):

 

(i)            during the one (1) year prior to the date hereof, the Company has timely filed all reports, schedules, forms, proxy
statements, statements and other documents required to be filed by it with the SEC (other than Section 16 ownership filings)
pursuant to the reporting requirements of the 1934 Act (reports filed in compliance with the time period specified in Rule 12b-25
promulgated under the 1934 Act shall be considered timely for this purpose) (all of the foregoing filed prior to the date hereof
and all exhibits and appendices included therein and financial statements, notes and schedules thereto and documents incorporated
by reference therein being hereinafter referred to as the “SEC Documents”);

 

(ii)           the
Company has delivered or has made available to the Buyers or their respective representatives true, correct and complete copies
of each of the SEC Documents not available on the EDGAR system; 

 

(iii)          as
of their respective dates, the SEC Documents complied in all material respects with the requirements of the 1934 Act and the rules and
regulations of the SEC promulgated thereunder applicable to the SEC Documents, and none of the SEC Documents, at the time they
were filed with the SEC, contained any untrue statement of a material fact or omitted to state a material fact required to be
stated therein or necessary in order to make the statements therein, in the light of the circumstances under which they were made,
not misleading; 

 

(iv)          as
of their respective dates, the financial statements of the Company included in the SEC Documents (including, without limitation,
any notes or any letter of the independent accountants of the Company with respect thereto) included in the SEC Documents (the
 “Financial Statements”) complied in all material respects with applicable accounting requirements and the published
rules and regulations of the SEC with respect thereto as in effect as of the time of filing, and such financial statements
have been prepared in accordance with generally accepted accounting principles (“GAAP”), consistently applied,
during the periods involved (except (x) as may be otherwise indicated in such financial statements or the notes thereto,
or (y) in the case of unaudited interim statements, to the extent they may exclude footnotes or may be condensed or summary
statements) and fairly present in all material respects the financial position of the Company as of the dates thereof and the
results of its operations and cash flows for the periods then ended (subject, in the case of unaudited statements, to normal year-end
audit adjustments which will not be material, either individually or in the aggregate). 

 

    10

     

    

 

(v)           the Company is not currently contemplating to amend or restate any of the Financial Statements, nor is the Company currently
aware of facts or circumstances which would require the Company to amend or restate any of the Financial Statements, in each case,
in order for any of the Financials Statements to be in material compliance with GAAP and the rules and regulations of the
SEC; and

 

(vi)          the Company has not been informed by its independent accountants that they recommend that the Company amend or restate any
of the Financial Statements or that there is any need for the Company to amend or restate any of the Financial Statements.

 

(l)           Absence
of Certain Changes.  Since the date of the Company’s most recent audited financial statements contained in a Form 10-K,
except as specifically set forth on Schedule 3(l) or in a subsequent SEC Document filed prior to the date hereof:

 

(i)            there
has been no material adverse change and no material adverse development in the business, assets, liabilities, properties, operations
(including results thereof) or condition (financial or otherwise) of the Company and its Subsidiaries, taken as a whole;

 

(ii)           neither
the Company nor any of its Subsidiaries has (a) declared or paid any dividends to any Person other than the Company or a
Subsidiary, (b) sold any assets, individually or in the aggregate, in excess of $250,000, or (c) made any capital expenditures,
individually or in the aggregate, in excess of $250,000; and

 

(iii)          neither
the Company nor any of its Subsidiaries has taken any steps to seek protection pursuant to any law or statute relating to bankruptcy,
insolvency, reorganization, receivership, liquidation or winding up, nor, to the Company’s knowledge, do any of their respective
creditors intend to initiate involuntary bankruptcy proceedings nor, to the Company's actual knowledge is there any fact which
would reasonably lead a creditor to do so. 

 

(iv)          neither
the Company nor any of its Subsidiaries has made any revaluation of any of their respective assets, including, without limitation,
writing down the value of capitalized inventory or writing off notes or accounts receivable or any sale of assets other than in
the ordinary course of business. 

 

(m)          Insolvency.
The Company and its Subsidiaries, on a consolidated basis, are not as of the date hereof, and after giving effect to the transactions
contemplated hereby to occur at the Closing, will not be Insolvent (as defined below).  For purposes of this Section 3(m),
 “Insolvent” means, (i) with respect to the Company and its Subsidiaries, on a consolidated basis, (A) the
present fair saleable value of the Company’s and its Subsidiaries’ assets is less than the amount required to pay
the Company’s and its Subsidiaries’ total Indebtedness (as defined below), (B) the Company and its Subsidiaries
are unable to pay their debts and liabilities, subordinated, contingent or otherwise, as such debts and liabilities become absolute
and matured or (C) the Company and its Subsidiaries intend to incur or believe that they will incur debts that would be beyond
their ability to pay as such debts mature, and (ii) except as disclosed on Schedule 3(m), with respect to the Company and
each Subsidiary, individually, (A) the present fair saleable value of the Company’s or each such Subsidiary’s (as
the case may be) assets is less than the amount required to pay its respective total Indebtedness, (B) the Company or each such
Subsidiary (as the case may be) is unable to pay its respective debts and liabilities, subordinated, contingent or otherwise,
as such debts and liabilities become absolute and matured or (C) the Company or each such Subsidiary (as the case may be) intends
to incur or believes that it will incur debts that would be beyond its respective ability to pay as such debts mature.

 

    11

     

    

 

(n)           Regulatory Permits.  Except as disclosed on Schedule 3(n), during the two years prior to the date hereof,
(i) the Common Stock has been listed or designated for quotation on the Principal Market, (ii) trading in the Common
Stock has not been suspended by the SEC or the Principal Market and (iii) the Company has received no communication, written or
oral, from the SEC or the Principal Market regarding the suspension or delisting of the Common Stock from the Principal Market. 
The Company and each of its Subsidiaries possess all certificates, authorizations and permits issued by the appropriate regulatory
authorities necessary to conduct their respective businesses, except where the failure to possess such certificates, authorizations
or permits would not reasonably be likely to have, individually or in the aggregate, a Material Adverse Effect (the “Material
Permits”), and neither the Company nor any such Subsidiary has received any notice of proceedings relating to the revocation
or modification of any Material Permit.

 

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

 

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

 

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

 

    12

     

    

 

(p)           Sarbanes-Oxley
Act.  Except as set forth on Schedule 3(p), the Company and each Subsidiary is in material compliance with
any and all applicable requirements of the Sarbanes-Oxley Act of 2002, as amended, and any and all applicable rules and regulations
promulgated by the SEC thereunder.

 

(q)          Transactions
With Affiliates.  Except as set forth on Schedule 3(q) or as disclosed on SEC Documents, no current or former
employee, partner, director, officer or shareholder (direct or indirect) of the Company or its Subsidiaries (other than the Company
or any Subsidiaries), or, to the Company's knowledge, no associate or affiliate of any thereof (other than the Company or any
Subsidiaries), or any relative with a relationship no more remote than first cousin of any of the foregoing, is presently, or
has been, since January 1, 2017, (i) a party to any transaction with the Company or its Subsidiaries (including any contract,
agreement or other arrangement providing for the furnishing of services by, or rental of real or personal property from, or otherwise
requiring payments to, any such director, officer or shareholder or such associate or affiliate or relative Subsidiaries (other
than for ordinary course services as employees, officers or directors of the Company or any of its Subsidiaries)) or (ii) the
direct or indirect owner of an interest in any corporation, firm, association or business organization which is a competitor,
supplier or customer of the Company or its Subsidiaries (except for a passive investment (direct or indirect) in less than 5%
of the common stock or ordinary shares, as applicable, of a company whose securities are traded on or quoted through the Principal
Market), nor does any such Person receive income from any source other than the Company or its Subsidiaries which relates to the
business of the Company or its Subsidiaries or should properly accrue to the Company or its Subsidiaries. No such employee, officer,
shareholder or director of the Company or any of its Subsidiaries or member of his or her immediate family is indebted to the
Company or its Subsidiaries, as the case may be, nor is the Company or any of its Subsidiaries indebted (or committed to make
loans or extend or guarantee credit) to any of them, other than (i) for payment of salary for services rendered, (ii) reimbursement
for reasonable expenses incurred on behalf of the Company, and (iii) for other standard employee benefits made generally available
to all employees or executives (including share option agreements outstanding under any share option plan approved by the Board
of Directors of the Company).

 

(r)            Equity Capitalization.

 

(i)           Authorized
and Outstanding Capital Stock.  As of the date hereof, the authorized capital stock of the Company consists of (A) 500,000,000
shares of Common Stock, of which, 138,820,058 are issued and outstanding and 7,440,959 shares are reserved for issuance pursuant
to Convertible Securities (as defined in the Convertible Notes) (other than the Convertible Notes and Warrants) exercisable or
exchangeable for, or convertible into, shares of Common Stock and (B)  50,000,000 shares of Preferred Stock, 142.8295125
of which are issued and outstanding.  No shares of Common Stock are held in the treasury of the Company.

 

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

 

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

 

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

 

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(s)           Indebtedness and Other Contracts.  Except as set forth on Schedule 3(s), neither the Company nor any
of its Subsidiaries (i) has any material outstanding debt securities, notes, credit agreements, credit facilities or other
agreements, documents or instruments evidencing Indebtedness of the Company or any of its Subsidiaries or by which the Company
or any of its Subsidiaries is or may become bound, (ii) has any financing statements securing obligations in any amounts filed
in connection with the Company or any of its Subsidiaries; (iii) is in violation of any term of, or in default under, any
contract, agreement or instrument relating to any Indebtedness, except where such violations and defaults would not result, individually
or in the aggregate, in a Material Adverse Effect, or (iv) is a party to any contract, agreement or instrument relating to
any Indebtedness, the performance of which, in the judgment of the Company’s officers, has or is expected to have a Material
Adverse Effect.  Neither the Company nor any of its Subsidiaries have any liabilities or obligations required to be disclosed
in the SEC Documents which are not so disclosed in the SEC Documents, other than those incurred in the ordinary course of the Company’s
or its Subsidiaries’ respective businesses consistent with past practices and which, individually or in the aggregate, do
not or could not have a Material Adverse Effect.  For purposes of this Agreement:  (x) “Indebtedness”
has the meaning set forth in the Convertible Notes; and (y) “Contingent Obligation” means, as to any Person,
any direct or indirect liability, contingent or otherwise, of that Person with respect to any Indebtedness, lease, dividend or
other obligation of another Person if the primary purpose or intent of the Person incurring such liability, or the primary effect
thereof, is to provide assurance to the obligee of such liability that such liability will be paid or discharged, or that any agreements
relating thereto will be complied with, or that the holders of such liability will be protected (in whole or in part) against loss
with respect thereto.

 

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

 

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

 

(v)           Employee Relations.  Except as set forth on Schedule 3(v), neither the Company nor any of its U.S. Subsidiaries
is a party to any collective bargaining agreement or employs any member of a union.  The Company and its Subsidiaries believe
that their relations with their employees are good.  No executive officer (as defined in Rule 501(f) promulgated
under the 1933 Act) or other key employee of the Company or any of its Subsidiaries has notified the Company or any such Subsidiary
that such officer intends to leave the Company or any such Subsidiary or otherwise terminate such officer’s employment with
the Company or any such Subsidiary.  To the knowledge of the Company, no executive officer or other key employee of the Company
or any of its Subsidiaries is, or is now expected to be, in violation of any material term of any employment contract, confidentiality,
disclosure or proprietary information agreement, non-competition agreement, or any other contract or agreement or any restrictive
covenant, and the continued employment of each such executive officer or other key employee (as the case may be) does not subject
the Company or any of its Subsidiaries to any liability with respect to any of the foregoing matters.  The Company and its
Subsidiaries are in material compliance with all applicable federal, state, local and foreign laws and regulations respecting labor,
employment and employment practices and benefits, terms and conditions of employment and wages and hours, except where failure
to be in compliance would not, either individually or in the aggregate, reasonably be expected to result in a Material Adverse
Effect.

 

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

 

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

 

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(y)           Intellectual Property Rights.  Except as set forth on Schedule 3(y), the Company and its Subsidiaries
own or possess adequate rights or licenses to use all trademarks, trade names, service marks, service mark registrations, service
names, original works of authorship, patents, patent rights, copyrights, inventions, licenses, approvals, governmental authorizations,
trade secrets and other intellectual property rights and all applications and registrations therefor (“Intellectual Property
Rights”) necessary to conduct their respective businesses as now conducted.  The Company does not have any knowledge
of any infringement by the Company or its Subsidiaries of Intellectual Property Rights of others.  There is no claim, action
or proceeding being made or brought, or to the knowledge of the Company or any of its Subsidiaries, being threatened, against the
Company or any of its Subsidiaries regarding its Intellectual Property Rights, except where such claim, action or proceeding is
not reasonably likely to result in a Material Adverse Effect.  Neither the Company nor any of its Subsidiaries has received
any notice alleging any such infringement or claim, action or proceeding.

 

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

 

(i)            No Hazardous Materials:

 

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

 

    17

     

    

 

(B)             
to the Company’s knowledge, are present on, over, beneath, in or upon any Real Property or any portion thereof in
quantities that would constitute a violation of any Environmental Laws.  No prior use by the Company or any of its Subsidiaries
of any Real Property has occurred that violates any Environmental Laws, which violation would have a material adverse effect on
the business of the Company or any of its Subsidiaries.

 

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

 

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

 

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

 

(bb)        Internal
Accounting and Disclosure Controls.  Except as disclosed in Schedule 3(bb), the Company and each of its Subsidiaries
maintains internal control over financial reporting (as such term is defined in Rule 13a-15(f) under the 1934 Act) that
is effective to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial
statements for external purposes in accordance with GAAP, including that (i) transactions are executed in accordance with
management’s general or specific authorizations, (ii) transactions are recorded as necessary to permit preparation
of financial statements in conformity with GAAP and to maintain asset and liability accountability, (iii) access to assets
or incurrence of liabilities is permitted only in accordance with management’s general or specific authorization and (iv) the
recorded accountability for assets and liabilities is compared with the existing assets and liabilities at reasonable intervals
and appropriate action is taken with respect to any difference.  Except as disclosed in Schedule 3(bb), the Company
maintains disclosure controls and procedures (as such term is defined in Rule 13a-15(e) under the 1934 Act) that are
effective in ensuring that information required to be disclosed by the Company in the reports that it files or submits under the
1934 Act is recorded, processed, summarized and reported, within the time periods specified in the rules and forms of the
SEC, including, without limitation, controls and procedures designed to ensure that information required to be disclosed by the
Company in the reports that it files or submits under the 1934 Act is accumulated and communicated to the Company’s management,
including its principal executive officer or officers and its principal financial officer or officers, as appropriate, to allow
timely decisions regarding required disclosure.  Except as disclosed in Schedule 3(bb) or in the SEC Documents, since
the filing of the Annual Report on Form 10-K for the year ended December 31, 2018, neither the Company nor any of its Subsidiaries
has received any notice or correspondence from any accountant, Governmental Entity or other Person relating to any potential material
weakness or significant deficiency in any part of the internal controls over financial reporting of the Company or any of its
Subsidiaries.

 

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

 

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

 

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

 

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

 

(gg)         U.S.
Real Property Holding Corporation.  Neither the Company nor any of its Subsidiaries is or has ever been, and so long
as any of the Securities are held by any of the Buyers, shall become, a U.S. real property holding corporation within the meaning
of Section 897(c)(2) of the Code, and the Company and each Subsidiary shall so certify upon any Buyer’s request.

 

(hh)        Transfer
Taxes.  All present or future transfer, stamp, registration, court or documentary, recording, filing or other similar
taxes (other than taxes imposed on or measured by net income (however denominated)) which are required to be paid by the Company
in connection with the issuance, registration, sale or transfer of the Securities to be sold to each Buyer hereunder will be,
or will have been, fully paid or provided for by the Company, and all laws imposing such taxes will be or will have been complied
with in all material respects.

 

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

 

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

 

    20

     

    

 

(kk)         Money
Laundering.  The operations of the Company and its Subsidiaries are and have been conducted at all times in material
compliance with the USA Patriot Act of 2001 and all other applicable U.S. and non-U.S. anti-money laundering laws and regulations,
including, without limitation, the laws, regulations and Executive Orders and sanctions programs administered by the U.S. Office
of Foreign Assets Control, including, but not limited, to (i) Executive Order 13224 of September 23, 2001 entitled,
 “Blocking Property and Prohibiting Transactions With Persons Who Commit, Threaten to Commit, or Support Terrorism”
(66 Fed. Reg. 49079 (2001)); and (ii) any regulations contained in 31 CFR, Subtitle B, Chapter V.

 

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

 

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

 

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

 

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

 

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

 

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

 

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

 

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

 

    21

     

    

 

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

 

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

 

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

 

(nn)          
Cybersecurity.  The Company and its Subsidiaries’ information technology assets and equipment, computers,
systems, networks, hardware, software, websites, applications, and databases (collectively, “IT Systems”) are
adequate for, and operate and perform in all material respects as required in connection with the operation of the business of
the Company and its subsidiaries as currently conducted, free and clear of all material bugs, errors, defects, Trojan horses, time
bombs, malware and other corruptants. The Company and its Subsidiaries have implemented and maintained commercially reasonable
physical, technical and administrative controls, policies, procedures, and safeguards to maintain and protect their material confidential
information and the integrity, continuous operation, redundancy and security of all IT Systems and data, including “Personal
Data,” used in connection with their businesses. “Personal Data” means (i) a natural person’s name,
street address, telephone number, e-mail address, photograph, social security number or tax identification number, driver’s
license number, passport number, credit card number, bank information, or customer or account number; (ii) any information which
would qualify as “personally identifying information” under the Federal Trade Commission Act, as amended; (iii) “personal
data” as defined by the European Union General Data Protection Regulation (“GDPR”) (EU 2016/679); (iv)
any information which would qualify as “protected health information” under the Health Insurance Portability and Accountability
Act of 1996, as amended by the Health Information Technology for Economic and Clinical Health Act (collectively, “HIPAA”);
and (v) any other piece of information that allows the identification of such natural person, or his or her family, or permits
the collection or analysis of any data related to an identified person’s health or sexual orientation. There have been no
material breaches, violations, outages or unauthorized uses of or accesses to same, except for those that have been remedied without
material cost or liability or the duty to notify any other person, nor any incidents under internal review or investigations relating
to the same. The Company and its Subsidiaries are presently in material compliance with all applicable laws or statutes and all
judgments, orders, rules and regulations of any court or arbitrator or governmental or regulatory authority, internal policies
and contractual obligations relating to the privacy and security of IT Systems and Personal Data and to the protection of such
IT Systems and Personal Data from unauthorized use, access, misappropriation or modification.

 

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(oo)          
Compliance with Data Privacy Laws.  The Company and its Subsidiaries are, and at all prior times were, in material
compliance with all applicable state and federal data privacy and security laws and regulations, including without limitation HIPAA,
and the Company and its Subsidiaries have taken commercially reasonable actions to prepare to comply with, and since May 25, 2018,
have been and currently are in compliance with, the GDPR (EU 2016/679) (collectively, the “Privacy Laws”). To
ensure compliance with the Privacy Laws, the Company and its Subsidiaries have in place, comply with, and take appropriate steps
reasonably designed to ensure compliance in all material respects with their policies and procedures relating to data privacy and
security and the collection, storage, use, disclosure, handling, and analysis of Personal Data (the “Policies”).
The Company and its Subsidiaries have at all times made all disclosures to users or customers required by applicable laws and regulatory
rules or requirements, and none of such disclosures made or contained in any Policy have, to the knowledge of the Company, been
inaccurate or in violation of any applicable laws and regulatory rules or requirements in any material respect. To the Company's
knowledge, neither the Company nor any Subsidiary: (i) has received notice of any actual or potential liability under or relating
to, or actual or potential violation of, any of the Privacy Laws, and has no knowledge of any event or condition that would reasonably
be expected to result in any such notice; (ii) is currently conducting or paying for, in whole or in part, any investigation, remediation,
or other corrective action pursuant to any Privacy Law; or (iii) is a party to any order, decree, or agreement that imposes any
obligation or liability under any Privacy Law.

 

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

 

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

 

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

 

    23

     

    

 

(ss)           
Disclosure.  The Company confirms that neither it nor any other Person acting on its behalf has provided any
of the Buyers or their agents or counsel with any information that constitutes or could reasonably be expected to constitute material,
non-public information concerning the Company or any of its Subsidiaries, other than the existence of the transactions contemplated
by this Agreement and the other Transaction Documents.  The Company understands and confirms that each of the Buyers will
rely on the foregoing representations in effecting transactions in securities of the Company.  The Company acknowledges and
agrees that no Buyer makes or has made any representations or warranties with respect to the transactions contemplated hereby other
than those specifically set forth in Section 2. Except for the representations and warranties contained in this Section 3
(including the related portions of the disclosure schedules), neither the Company nor any other Person has made or makes any other
express or implied representation or warranty, either written or oral, on behalf of the Company.

 

		4.	COVENANTS.

 

(a)             
Blue Sky.  Without limiting any other obligation of the Company under this Agreement, the Company shall timely
make all filings and reports relating to the offer and sale of the Securities required under all applicable securities laws (including,
without limitation, all applicable federal securities laws and all applicable “Blue Sky” laws), and the Company shall
comply with all applicable foreign, federal, state and local laws, statutes, rules, regulations and the like relating to the offering
and sale of the Securities to the Buyers.

 

(b)            
Reporting Status.  Commencing on October 31, 2020 and continuing until the earlier of (i) the date upon which
the Buyers shall have sold all of the Securities and (ii) the one-year anniversary of the later of (x) the full conversion or redemption
of the Convertible Note and (y) exercise or other termination of the Warrants (the “Reporting Period”), the
Company shall timely file all reports required to be filed with the SEC pursuant to the 1934 Act (reports filed in compliance with
the time period specified in Rule 12b-25 promulgated under the 1934 Act shall be considered timely for this purpose), and the Company
shall not terminate its status as an issuer required to file reports under the 1934 Act even if the 1934 Act or the rules and regulations
thereunder would no longer require or otherwise permit such termination.

 

(c)             
Use of Proceeds.  The Company will use the net proceeds from the sale of the Securities for general corporate
purposes, but not, directly or indirectly, for (i) the redemption or repurchase of any securities of the Company or any of its
Subsidiaries or repayment of any Indebtedness or (ii) the settlement of any outstanding litigation in an aggregate amount above
$250,000.

 

    24

     

    

 

(d)            
Financial Information.  The Company agrees to send the following to each Buyer during the Reporting Period (i)
unless the following are filed with the SEC through EDGAR and are available to the public through the EDGAR system, within one
(1) Business Day after the filing thereof with the SEC, a copy of its Annual Reports on Form 10-K and Quarterly Reports on Form
10-Q, any interim reports or any consolidated balance sheets, income statements, stockholders’ equity statements and/or cash
flow statements for any period other than annual, any Current Reports on Form 8-K and any registration statements (other than on
Form S-8 or Form S-4) or amendments filed pursuant to the 1933 Act, (ii) unless the following are either filed with the SEC through
EDGAR or are otherwise widely disseminated via a recognized news release service (such as PR Newswire), on the same day as the
release thereof, facsimile copies of all press releases issued by the Company or any of its Subsidiaries and (iii) unless the following
are filed with the SEC through EDGAR, copies of any notices and other information made available or given to the stockholders of
the Company generally, contemporaneously with the making available or giving thereof to the stockholders. As used herein “Business
Day” means any day other than a Saturday, a Sunday or any day on which commercial banks in The City of New York are authorized
or required by law or executive order to close or be closed; provided, however, for clarification, commercial banks in The City
of New York shall not be deemed to be authorized or required by law or executive order to close or be closed due to “stay
at home”, “shelter-in-place”, “non-essential employee” or any other similar orders or restrictions
or the closure of any physical branch locations at the direction of any governmental authority so long as the electronic funds
transfer systems (including for wire transfers) of commercial banks in The City of New York are open for use by customers on such
day.

 

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

 

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

 

    25

     

    

 

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

 

(h)            
Disclosure of Transactions and Other Material Information.

 

(i)              
Disclosure of Transaction.  The Company shall, on or before 9:15 a.m., New York time, on the date of this
Agreement, issue a press release (the “Press Release”) reasonably acceptable to the lead Buyer disclosing all
the material terms of the transactions contemplated by the Transaction Documents.  No later than 5:30 p.m., New York time,
on the fourth (4th) Business Day after the date of this Agreement, the Company shall file
a Current Report on Form 8-K describing all the material terms of the transactions contemplated by the Transaction Documents
in the form required by the 1934 Act and attaching all the material Transaction Documents (the “8-K Filing”). 
From and after the issuance of the Press Release, the Company shall have disclosed all material, non-public information (if any)
provided to any of the Buyers by the Company or any of its Subsidiaries or any of their respective officers, directors, employees
or agents in connection with the transactions contemplated by the Transaction Documents.  In addition, effective upon the
issuance of the Press Release, the Company acknowledges and agrees that any and all confidentiality or similar obligations under
any agreement, whether written or oral, between the Company, any of its Subsidiaries or any of their respective officers, directors,
affiliates, employees or agents, on the one hand, and any of the Buyers or any of their affiliates, on the other hand, shall terminate.

 

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

 

    26

     

    

 

(i)              
Additional Issuance of Securities. 

 

(i)             
So long as any Convertible Notes or Warrants remain outstanding, the Company will not, without the prior written consent
of the Required Holders (as defined below), issue any Convertible Notes or Warrants (other than to the Buyers as contemplated hereby)
and the Company shall not issue any other securities that would cause a breach or default under the Convertible Notes or Warrants.
The Company agrees that for the period commencing on the date hereof and ending on the date immediately following the date upon
which the Company has for the prior 90 calendar day period filed the financial statement restatements set forth on Schedule
3(k) and all reports, schedules, forms, proxy statements, statements and other documents required to be filed by it with the
SEC (other than Section 16 ownership filings) pursuant to the reporting requirements of the 1934 Act (reports filed in compliance
with the time period specified in Rule 12b-25 promulgated under the 1934 Act shall be considered timely for this purpose) (the
 “Restricted Period”), neither the Company nor any of its Subsidiaries shall directly or indirectly (i) issue,
offer, sell, grant any option or right to purchase, or otherwise dispose of (or announce any issuance, offer, sale, grant of any
option or right to purchase or other disposition of) any equity security or any equity-linked or related security (including, without
limitation, any “equity security” (as that term is defined under Rule 405 promulgated under the 1933 Act), any
Convertible Securities, any preferred stock or any purchase rights) (any such issuance, offer, sale, grant, disposition or announcement
(whether occurring during the Restricted Period or at any time thereafter) is referred to as a “Subsequent Placement”)
or (ii) submit or file any registration statement under the 1933 Act in respect of any of the foregoing.  Notwithstanding
the foregoing, this Section 4(i)(i) shall not apply during the Restricted Period in respect of the issuance of Excluded
Securities (as defined in the Convertible Notes). 

 

(ii)             
In addition, so long as any Convertible Notes or Warrants remain outstanding, the Company and each Subsidiary shall be prohibited
from effecting, or entering into an agreement to effect, any Subsequent Placement involving a Variable Rate Transaction or any
Convertible Notes issued hereunder. “Variable Rate Transaction” means a transaction in which the Company or
any Subsidiary (i) issues or sells any Convertible Securities either (A) at a conversion, exercise or exchange rate or other price
that is based upon and/or varies with the trading prices of or quotations for the shares of Common Stock at any time after the
initial issuance of such Convertible Securities, or (B) with a conversion, exercise or exchange price that is subject to being
reset at some future date after the initial issuance of such Convertible Securities or upon the occurrence of specified or contingent
events directly or indirectly related to the business of the Company or the market for the Common Stock, other than pursuant to
a customary “weighted average” anti-dilution provision or customary adjustments for stock splits, stock dividends,
stock combinations, recapitalizations and similar events or (ii) enters into any agreement (including, without limitation, an equity
line of credit or an “at-the-market” offering) whereby the Company or any Subsidiary may sell securities at a future
determined price (other than standard and customary “preemptive” or “participation” rights).

 

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

 

(j)              
Reservation of Shares.  So long as any of the Convertible Notes or Warrants remain outstanding, the Company
shall take all action necessary to at all times have authorized, and reserved for the purpose of issuance upon conversion or redemption
of the Convertible Notes and exercise of the Warrants, no less than (i) a number of shares of Common Stock equal to (1) the then
outstanding principal amount of the Notes plus accrued and unpaid interest on the Notes divided by (2) the Floor Price,
and (ii) fifteen million (15,000,000) shares of Common Stock to satisfy the Company’s obligation to issue shares of Common
Stock under the Warrants (collectively, the “Required Reserve Amount”); provided that at no time shall the number
of shares of Common Stock reserved pursuant to this Section 4(j) be reduced other than in connection with any stock combination,
reverse stock split or other similar transaction or proportionally in connection with any conversion and/or redemption, as applicable,
of the Convertible Notes, or the exercise of the Warrants.  If at any time the number of shares of Common Stock authorized
and reserved for issuance is not sufficient to meet the Required Reserve Amount, the Company will promptly take all corporate action
necessary to authorize and reserve a sufficient number of shares, including, without limitation, calling a special meeting of stockholders
to authorize additional shares to meet the Company’s obligations pursuant to the Transaction Documents, in the case of an
insufficient number of authorized shares, obtain stockholder approval (if required) of an increase in such authorized number of
shares, and voting the management shares of the Company in favor of an increase in the authorized shares of the Company to ensure
that the number of authorized shares is sufficient to meet the Required Reserve Amount.

 

    27

     

    

 

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

 

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

 

(m)           
Conversion / Exercise Procedures.  The form of conversion notice included in the Convertible Notes and form
of exercise notice included in the Warrants, as applicable, set forth the totality of the procedures required of the Buyers in
order to convert the Convertible Notes or exercise the Warrants, respectively.  Except as set forth in Section 5(c), no additional
legal opinion, other information or instructions shall be required of the Buyers to convert or redeem their Convertible Notes or
exercise their Warrants, as applicable.  The Company shall honor conversions or redemptions of the Convertible Notes and exercises
of the Warrants, and shall deliver the Underlying Shares in accordance with the terms, conditions and time periods set forth in
the Convertible Notes and Warrants, as applicable.

 

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

 

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

 

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

 

(q)            
Closing Documents.  On or prior to fourteen (14) calendar days after the Closing Date, the Company agrees to
deliver, or cause to be delivered, to each Buyer and Latham & Watkins LLP a complete closing set of the executed Transaction
Documents, Securities and any other document required to be delivered to any party pursuant to this Agreement or otherwise (which
may be in photocopies or pdf versions of executed copies).

 

    28

     

    

 

(r)             
Stockholder Approval. Following the Closing, the Company agrees to obtain, at a special or annual meeting of the
stockholders of the Company (at which a quorum is present) as soon as practicable, but in no event later than October 31, 2020
(the “Stockholder Meeting”), the Requisite Stockholder Approval. The Company will prepare and file with the
SEC a proxy statement to be sent to the Company’s stockholders in connection with the Stockholder Meeting (the “Proxy
Statement”). The Proxy Statement shall include the Board of Directors’ recommendation that the holders of shares
of the Company’s Common Stock vote in favor of the Requisite Stockholder Approval. If the Requisite Stockholder Approval
is not obtained at or prior to the Stockholder Meeting, the Company will hold a special meeting of the stockholders of the Company
for the purposes of obtaining such Requisite Stockholder Approval no less often than every forty five (45) days following the date
of the Stockholder Meeting until the Requisite Stockholder Approval is obtained, and the Board of Directors will recommend that
the holders of shares of the Company’s Common Stock vote in favor of the Requisite Stockholder Approval at each such meeting.

 

(s)             
Right to Participate.

 

(i)              
For purposes of this Section 4(s), the following definitions shall apply:

 

(A)            
“Approved Stock Plan” means any employee benefit plan which has been approved by the Board of Directors
of the Company, pursuant to which the Company's securities may be issued to any employee, officer or director for services provided
to the Company.

 

(B)             
“Options” means any rights, warrants or options to subscribe for or purchase shares of Common Stock or
Convertible Securities.

 

(ii)             
From the date hereof until the first (1st) anniversary of the date on which the Company becomes current on all
of its reporting requirements under the 1934 Act, the Company will not, directly or indirectly, sell, grant any option to purchase,
or otherwise dispose of (or announce any offer, sale, grant or any option to purchase or other disposition of) any of its or any
Subsidiaries’ securities, (any such sale, grant, disposition or announcement being referred to as a “Placement”),
unless the Company shall have first complied with this Section 4(s).

 

    29

     

    

 

(A)            
At least five (5) Trading Days prior to any proposed or intended Placement, the Company shall deliver to each Buyer a written
notice (each such notice, a “Pre-Notice”), which Pre-Notice shall not contain any information (including, without
limitation, material, non-public information) other than: (A) if the proposed Offer Notice (as defined below) constitutes or contains
material, non-public information, a statement asking whether the Investor is willing to accept material non-public information
or (B) if the proposed Offer Notice does not constitute or contain material, non-public information, (x) a statement that the Company
proposes or intends to effect a Placement, (y) a statement that the statement in clause (x) above does not constitute material,
non-public information and (z) a statement informing such Buyer that it is entitled to receive an Offer Notice with respect to
such Placement upon its written request. Upon the written request of a Buyer within three (3) Trading Days after the Company’s
delivery to such Buyer of such Pre-Notice, and only upon a written request by such Buyer, the Company shall promptly, but no later
than one (1) Trading Day after such request, deliver to such Buyer an irrevocable written notice (the “Offer Notice”)
of any proposed or intended issuance or sale or exchange (the "Offer") of the securities being offered (the
 “Offered Securities”) in a Placement, which Offer Notice shall (A) identify and describe the Offered Securities,
(B) describe the price and other terms upon which they are to be issued, sold or exchanged, and the number or amount of the
Offered Securities to be issued, sold or exchanged, (C) identify the Persons (if known) to which or with which the Offered
Securities are to be offered, issued, sold or exchanged and (D) offer to issue and sell to or exchange with such Buyer in accordance
with the terms of the Offer such Buyer’s pro rata portion of 50% of the Offered Securities, provided that the number of Offered
Securities which such Buyer shall have the right to subscribe for under this Section 4(s) shall be (x) based on such Buyer's pro
rata portion of the aggregate original principal amount of the Notes purchased hereunder by all Buyers (the “Basic Amount”),
and (y) with respect to each Buyer that elects to purchase its Basic Amount, any additional portion of the Offered Securities attributable
to the Basic Amounts of other Buyers as such Buyer shall indicate it will purchase or acquire should the other Buyers subscribe
for less than their Basic Amounts (the “Undersubscription Amount”), which process shall be repeated until each
Buyer shall have an opportunity to subscribe for any remaining Undersubscription Amount.

 

(B)             
To accept an Offer, in whole or in part, such Buyer must deliver a written notice to the Company prior to the end of the
fifth (5th) Trading Day after such Buyer’s receipt of the Offer Notice (the “Offer Period”),
setting forth the portion of such Buyer’s Basic Amount that such Buyer, or an affiliate of such Buyer that it designates,
elects to purchase and, if such Buyer or its designee shall elect to purchase all of its Basic Amount, the Undersubscription Amount,
if any, that such Buyer or its designee elects to purchase (in either case, the “Notice of Acceptance”). If
the Basic Amounts subscribed for by all Buyers are less than the total of all of the Basic Amounts, then each Buyer who has set
forth an Undersubscription Amount in its Notice of Acceptance shall be entitled to purchase, in addition to the Basic Amounts subscribed
for, the Undersubscription Amount it has subscribed for; provided, however, if the Undersubscription Amounts subscribed for exceed
the difference between the total of all the Basic Amounts and the Basic Amounts subscribed for (the “Available Undersubscription
Amount”), each Buyer who has subscribed for any Undersubscription Amount shall be entitled to purchase only that portion
of the Available Undersubscription Amount as the Basic Amount of such Buyer bears to the total Basic Amounts of all Buyers that
have subscribed for Undersubscription Amounts, subject to rounding by the Company to the extent it deems reasonably necessary.
Notwithstanding the foregoing, if the Company desires to modify or amend the terms and conditions of the Offer prior to the expiration
of the Offer Period, the Company may deliver to each Buyer a new Offer Notice and the Offer Period shall expire on the fifth (5th)
Trading Day after such Buyer's receipt of such new Offer Notice.

 

(C)             
The Company shall have ten (10) Trading Days from the expiration of the Offer Period above (A) to offer, issue, sell or
exchange all or any part of such Offered Securities as to which a Notice of Acceptance has not been given by a Buyer (the “Refused
Securities”) pursuant to a definitive agreement(s) (the “Placement Agreement”), but only to the offerees
described in the Offer Notice (if so described therein) and only upon terms and conditions (including, without limitation, unit
prices and interest rates) that are not more favorable to the acquiring Person or Persons or less favorable to the Company than
those set forth in the Offer Notice and (B) to publicly announce (x) the execution of such Placement Agreement, and (y) either
(I) the consummation of the transactions contemplated by such Placement Agreement or (II) the termination of such Placement Agreement,
which shall be filed with the SEC on a Current Report on Form 8-K with such Placement Agreement and any documents contemplated
therein filed as exhibits thereto.

 

    30

     

    

 

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

 

(E)             
Upon the closing of the issuance, sale or exchange of all or less than all of the Refused Securities, such Buyer or its
designee shall acquire from the Company, and the Company shall issue to such Buyer, the number or amount of Offered Securities
specified in its Notice of Acceptance, as reduced pursuant to Section 4(s)(ii)(D) above if such Buyers has so elected, upon the
terms and conditions specified in the Offer. The purchase by such Buyer of any Offered Securities is subject in all cases to the
preparation, execution and delivery by the Company and such Buyer of a separate purchase agreement relating to such Offered Securities
reasonably satisfactory in form and substance to such Buyer and its counsel.

 

(F)             
Any Offered Securities not acquired by a Buyer or other Persons in accordance with this Section 4(s) may not be issued,
sold or exchanged until they are again offered to such Buyer under the procedures specified in this Agreement.

 

(G)            
The Company and each Buyer agree that if any Buyer elects to participate in the Offer, (x) neither the Placement Agreement
with respect to such Offer nor any other transaction documents related thereto (collectively, the “Placement Documents”)
shall include any term or provision whereby such Buyer shall be required to agree to any restrictions on trading as to any securities
of the Company or be required to consent to any amendment to or termination of, or grant any waiver, release or the like under
or in connection with, any agreement previously entered into with the Company or any instrument received from the Company, and
(y) representations and warranties of an investor in the Placement Documents shall not be more restrictive than those of the Buyers
in this Agreement (other than such changes as necessary to comply with applicable law, rules and regulations, the manner of sale
of such security in such Placement and/or the type of such security to be sold in such Placement).

 

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(H)            
Notwithstanding anything to the contrary in this Section 4(s) and unless otherwise agreed to in writing by such Buyer, the
Company shall either confirm in writing to such Buyer that the transaction with respect to the Placement has been abandoned or
shall publicly disclose its intention to issue the Offered Securities, in either case, in such a manner such that such Buyer will
not be in possession of any material, non-public information, by the fifth (5th) Trading Day following delivery of the Offer Notice.
If by such fifth (5th) Trading Day, no public disclosure regarding a transaction with respect to the Offered Securities has been
made, and no notice regarding the abandonment of such transaction has been received by such Buyer, such transaction shall be deemed
to have been abandoned and such Buyer shall not be in possession of any material, non-public information with respect to the Company
or any of its Subsidiaries. Should the Company decide to pursue a transaction with respect to the Offered Securities which had
been deemed to have been abandoned pursuant to the preceding sentence, the Company shall provide such Buyer with another Offer
Notice and such Buyer will again have the right of participation set forth in this Section 4(s). The Company shall not be permitted
to deliver more than one such Offer Notice to such Buyer in any thirty (30) day period, except as expressly contemplated by the
last sentence of Section 4(s)(ii)(B) unless during such thirty (30) day period the Company failed to fully complete a Placement
described in an Offer accepted by such Buyer as a result of such Buyer determining that the purchase agreement relating to such
Offered Securities was not reasonably satisfactory in form and substance to such Buyer and its counsel.

 

(I)              
The restrictions contained in this Section 4(s) shall not apply in connection with (x) Options issued under any Approved
Stock Plan or (y) upon conversion, exercise or exchange of any Options or Convertible Securities which are outstanding on the Closing
Date; provided, that such issuance of Common Stock upon exercise of such Options or Convertible Securities is made pursuant
to the terms of such Options or Convertible Securities in effect on the Closing Date and such Options or Convertible Securities
are not amended, modified or changed on or after the Closing Date in any manner that adversely affects any of the Buyers. The Company
shall not circumvent the provisions of this Section 4(s) by providing terms or conditions to one Buyer that are not provided to
all.

 

(t)             
Voting Agreements.  The Company may not amend, modify or waive the terms of the Voting Agreements in any respect
without the prior written consent of the Required Holders.

 

(u)       Tax
Certification. 

 

(i)                
Any Buyer, assignee or transferee (as the case may be) that is entitled to an exemption from or reduction of withholding
Tax with respect to payments made pursuant to the Securities or Underlying Shares shall deliver to the Company, at the time or
times reasonably requested by the Company, such properly completed and executed documentation reasonably requested by the Company
as will permit such payments to be made without withholding or at a reduced rate of withholding. In addition, any Buyer, assignee
or transferee (as the case may be) or, if reasonably requested by the Company, shall deliver such other documentation prescribed
by applicable law or reasonably requested by the Company as will enable the Company to determine whether or not such Buyer, assignee
or transferee (as the case may be) is subject to backup withholding. Notwithstanding anything to the contrary in the preceding
two sentences, the completion, execution and submission of such documentation (other than such documentation set forth in Section
4(u)(ii)) shall not be required if in the reasonable judgement of the Buyer, assignee or transferee (as the case may be) such completion,
execution or submission would subject such Borrower, assignee or transferee (as the case may be) to any material unreimbursed cost
or expense or would materially prejudice the legal or commercial position of such Buyer, assignee or transferee (as the case may
be). 

 

    32

     

    

 

(ii)             
Without limiting the generality of the foregoing, (i) any Buyer, assignee or transferee (as the case may be) that is a United
States person (within the meaning of Section 7701(a)(30) of the Code) shall deliver to the Company (upon the reasonable request
of the Company), executed originals of IRS Form W-9 certifying that such Buyer, assignee or transferee (as the case may be) is
exempt from U.S. federal backup withholding tax; (ii) any Buyer, assignee or transferee (as the case may be) that is not a United
States person (within the meaning of Section 7701(a)(30) of the Code) shall deliver to the Company (upon the reasonable request
of the Company) whichever of the following is applicable: (x) executed originals of IRS Form W-8BEN or IRS Form W-8BENE, as applicable,
establishing an exemption from, or reduction of, U.S. federal withholding Tax, (y) executed originals of IRS Form W-8ECI, and (z)
to the extent such Buyer, assignee or transferee (as the case may be) is not the beneficial owner, executed originals of IRS Form
W-8IMY, accompanied by IRS Form W-8ECI, IRS Form W-8BEN, IRS Form W-9 and/or other certification documents from each beneficial
owner, as applicable, and (iii) if a payment made to a Buyer, assignee or transferee (as the case may be) would be subject to U.S.
federal withholding Tax imposed by FATCA if such Buyer, assignee or transferee were to fail to comply with the applicable reporting
requirements of FATCA (including those contained in Section 1471(b) or 1472(b) of the Code, as applicable), such Borrower, assignee
or transferee (as the case may be) shall deliver to the Company at the time or times prescribed by law and at such time or times
reasonably requested by the Company such documentation prescribed by applicable law (including as prescribed by Section 1471(b)(3)(C)(i)
of the Code) and such additional documentation reasonably requested by the Company as may be necessary for the Company to comply
with its obligations under FATCA and to determine that such Buyer, assignee or transferee has complied with the obligations of
such Buyer, assignee or transferee (as the case may be) under FATCA or to determine the amount to deduct and withholding from such
payment. 

 

(iii)           
For purposes of this Agreement, “FATCA” means Sections 1471 through
1474 of the Code, as amended from time to time, any current or future regulations or official interpretations thereof and any agreements
entered into pursuant to Section 1471(b)(1) of the Code.

 

(iv)            
Each Buyer, assignee or transferee (as the case may be) agrees that if any form or certification it previously delivered
expires or becomes obsolete or inaccurate in any respect, it shall update such form or certification or promptly notify the Company
in writing of its legal inability to do so.

  

		5.	REGISTER; TRANSFER AGENT INSTRUCTIONS.

 

(a)              
Register.  The Company shall maintain at its principal executive offices (or such other office or agency of
the Company as it may designate by notice to each holder of Securities), a register for the Securities in which the Company shall
record the name and address of the Person in whose name the Purchased Securities have been issued (including the name and address
of each transferee), the aggregate number of the Convertible Notes and Warrants held by such Person, the number of Conversion Shares
issuable pursuant to the terms of the Convertible Notes held by such Person and the number of Warrant Shares issuable pursuant
to the exercise of Warrants held by such Person.  The Company shall keep the register open and available at all times during
business hours for inspection of any Buyer or its legal representatives.

 

    33

     

    

 

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

 

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

 

    34

     

    

 

Convertible Note Legend

 

THE ISSUANCE AND SALE OF NEITHER THE SECURITIES REPRESENTED
BY THIS CERTIFICATE NOR THE SECURITIES INTO WHICH THESE SECURITIES ARE CONVERTIBLE HAVE BEEN REGISTERED UNDER THE SECURITIES ACT
OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR APPLICABLE STATE SECURITIES LAWS. THE SECURITIES MAY NOT BE OFFERED
FOR SALE, SOLD, TRANSFERRED OR ASSIGNED EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT OR PURSUANT
TO AN EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION AND PROSPECTUS-DELIVERY REQUIREMENTS OF THE SECURITIES
ACT.

 

Warrant Legend

 

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

 

Underlying Shares Legend

 

THE SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE
NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR APPLICABLE STATE SECURITIES LAWS.  THE SECURITIES MAY NOT
BE OFFERED FOR SALE, SOLD, TRANSFERRED OR ASSIGNED (I) IN THE ABSENCE OF (A) AN EFFECTIVE REGISTRATION STATEMENT FOR
THE SECURITIES UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR (B) AN OPINION OF COUNSEL TO THE HOLDER (IF REQUESTED BY THE
COMPANY), IN A FORM REASONABLY ACCEPTABLE TO THE COMPANY, THAT REGISTRATION IS NOT REQUIRED UNDER SAID ACT OR (II) UNLESS
SOLD OR ELIGIBLE TO BE SOLD PURSUANT TO RULE 144 OR RULE 144A UNDER SAID ACT.  NOTWITHSTANDING THE FOREGOING, THE SECURITIES
MAY BE PLEDGED IN CONNECTION WITH A BONA FIDE MARGIN ACCOUNT OR OTHER LOAN OR FINANCING ARRANGEMENT SECURED BY THE SECURITIES
IN ACCORDANCE WITH THAT CERTAIN SECURITIES PURCHASE AGREEMENT DATED AS OF JUNE 8, 2020 BY AND AMONG THE COMPANY AND THE BUYERS
THAT ARE PARTY THERETO.

 

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(d)            
Removal of Legends.

 

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

 

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(ii)             
If the Company is obligated to remove the restrictive legends pursuant to Section 5(d) but fails to deliver shares to Buyer
or an applicable assignee or transferee (as the case may be) without any restrictive legend in accordance with Section 5(b) or
Section 5(d) (such shares the “Legend Removal Failure Shares”), then (1) the Company will pay to the applicable
Buyer, cash in an amount equal to the product of (x) the number of Legend Removal Failure Shares; and (y) the Daily VWAP (as defined
in the Note) per share of Common Stock on the date such Buyer delivered notice or, if applicable, a legended certificate to the
Company or the Transfer Agent (with notice to the Company) in accordance with Section 5(b) or Section 5(d), as applicable; minus
(z) the Aggregate Exercise Price applicable to such Legend Removal Failure Shares, if not previously paid or unless there is a
cashless exercise; (2) the number of Warrant Shares issuable upon exercise of the Warrant shall be reduced by an amount of shares
equal to such number Legend Removal Failure Shares; and (3) to the extent a Buyer purchases (in an open market transaction or otherwise)
shares of Common Stock to deliver in settlement of a sale by the Buyer of such Legend Removal Failure Shares, the Company will
reimburse such Buyer for (x) any reasonable brokerage commissions and other out-of-pocket expenses, if any, of such Buyer incurred
in connection with such purchases and (y) the excess, if any, of (A) the aggregate purchase price of such purchases over (B) the
product of (I) the number of such Legend Removal Failure Shares purchased by such Buyer; and (II) the Daily VWAP per share of Common
Stock on the date such Buyer delivered notice or, if applicable, a legended certificate to the Company or the Transfer Agent (with
notice to the Company) in accordance with Section 5(b) or Section 5(d), as applicable.

 

(e)             
FAST Compliance.  While any Convertible Notes or Warrants remain outstanding, the Company shall maintain a transfer
agent that participates in the DTC Fast Automated Securities Transfer Program.

 

		6.	MISCELLANEOUS.

 

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

 

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(b)            
Counterparts.  This Agreement may be executed in two or more identical counterparts, all of which shall be considered
one and the same agreement and shall become effective when counterparts have been signed by each party and delivered to the other
party.  In the event that any signature is delivered by facsimile transmission or by an e-mail which contains a portable document
format (.pdf) file of an executed signature page, such signature page shall create a valid and binding obligation of the party
executing (or on whose behalf such signature is executed) with the same force and effect as if such signature page were an
original thereof.

 

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

 

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

 

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(e)            
Entire Agreement; Amendments.  This Agreement, the other Transaction Documents and the schedules and exhibits
attached hereto and thereto and the instruments referenced herein and therein supersede all other prior oral or written agreements
between the Buyers, the Company, its Subsidiaries, their affiliates and Persons acting on their behalf, including, without limitation,
any transactions by any Buyer with respect to Common Stock or the Securities, and the other matters contained herein and therein,
and this Agreement, the other Transaction Documents, the schedules and exhibits attached hereto and thereto and the instruments
referenced herein and therein contain the entire understanding of the parties solely with respect to the matters covered herein
and therein; provided, however, nothing contained in this Agreement or any other Transaction Document shall (or shall be deemed
to) (i) have any effect on any agreements any Buyer has entered into with, or any instruments any Buyer has received from,
the Company or any of its Subsidiaries prior to the date hereof with respect to any prior investment made by such Buyer in the
Company or (ii) waive, alter, modify or amend in any respect any obligations of the Company or any of its Subsidiaries, or
any rights of or benefits to any Buyer or any other Person, in any agreement entered into prior to the date hereof between or among
the Company and/or any of its Subsidiaries and any Buyer, or any instruments any Buyer received from the Company and/or any of
its Subsidiaries prior to the date hereof, and all such agreements and instruments shall continue in full force and effect. 
Except as specifically set forth herein or therein, neither the Company nor any Buyer makes any representation, warranty, covenant
or undertaking with respect to such matters.  For clarification purposes, the Recitals are part of this Agreement.  No
provision of this Agreement may be amended other than by an instrument in writing signed by the Company and the Required Holders,
and any amendment to any provision of this Agreement made in conformity with the provisions of this Section 6(e) shall
be binding on all Buyers and holders of Securities, as applicable; provided that no such amendment shall be effective to the extent
that it (A) applies to less than all of the holders of the Securities then outstanding or (B) imposes any obligation
or liability on any Buyer without such Buyer’s prior written consent (which may be granted or withheld in such Buyer’s
sole discretion).  No waiver shall be effective unless it is in writing and signed by an authorized representative of the
waiving party, provided that the Required Holders may waive any provision of this Agreement, and any waiver of any provision of
this Agreement made in conformity with the provisions of this Section 6(e) shall be binding on all Buyers and holders
of Securities, as applicable, provided that no such waiver shall be effective to the extent that it (1) applies to less than
all of the holders of the Securities then outstanding (unless a party gives a waiver as to itself only) or (2) imposes any
obligation or liability on any Buyer without such Buyer’s prior written consent (which may be granted or withheld in such
Buyer’s sole discretion).  No consideration (other than reimbursement of legal fees) shall be offered or paid to any
Person to amend or consent to a waiver or modification of any provision of any of the Transaction Documents unless the same consideration
also is offered to all of the parties to the Transaction Documents and all holders of the Purchased Securities.  From the
date hereof and while any Purchased Securities are outstanding, the Company shall not be permitted to receive any consideration
from a Buyer or a holder of Purchased Securities that is not otherwise contemplated by the Transaction Documents in order to, directly
or indirectly, induce the Company or any Subsidiary (i) to treat such Buyer or holder of Purchased Securities in a manner
that is more favorable than to other similarly situated Buyers or holders of Purchased Securities, or (ii) to treat any Buyer(s) or
holder(s) of Purchased Securities in a manner that is less favorable than the Buyer or holder of Purchased Securities that
is paying such consideration; provided, however, that the determination of whether a Buyer has been treated more or less favorably
than another Buyer shall disregard any securities of the Company purchased or sold by any Buyer.  The Company has not, directly
or indirectly, made any agreements with any Buyers relating to the terms or conditions of the transactions contemplated by the
Transaction Documents except as set forth in the Transaction Documents.  Without limiting the foregoing, the Company confirms
that, except as set forth in this Agreement, no Buyer has made any commitment or promise or has any other obligation to provide
any financing to the Company, any Subsidiary or otherwise.  As a material inducement for each Buyer to enter into this Agreement,
the Company expressly acknowledges and agrees that (x) no due diligence or other investigation or inquiry conducted by a Buyer,
any of its advisors or any of its representatives shall affect such Buyer’s right to rely on, or shall modify or qualify
in any manner or be an exception to any of, the Company’s representations and warranties contained in this Agreement or any
other Transaction Document and (y)  nothing contained in any of the SEC Documents shall affect such Buyer’s right to
rely on, or shall modify or qualify in any manner or be an exception to any of, the Company’s representations and warranties
contained in this Agreement or any other Transaction Document.  “Required Holders” means holders of a majority
of the Underlying Shares as of such time issued or issuable hereunder or pursuant to the Convertible Notes or Warrants, as applicable.

 

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

 

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		If to the Company:	 
	 	 	 
	 	 	Pareteum Corporation,
	 	 	1185 Avenue of the Americas, 2nd Floor
	 	 	New York, NY 10036
	 	 	 
	 	 	Telephone:  	(212) 984-1096
	 	 	Facsimile:  	N/A
	 	 	Attention:  	Laura Thomas, Interim Chief Financial Officer
	 	 	E-Mail:  	laura.thomas@pareteum.com; legal@pareteum.com
	 	 	 	 
	 	With a copy (for informational purposes only) to:
	 	 	 
	 	 	McGuireWoods LLP
	 	 	1251 Avenue of the Americas, 20th Floor
	 	 	New York, NY 10020-1104
	 	 	 
	 	 	Telephone:	 (212) 548-2122
	 	 	Facsimile:	(212) 715-2307
	 	 	Attention:	Stephen E. Older, Esq.
	 	 	E-mail:	solder@mcguirewoods.com
	 	 	 	 
	 	If to the Transfer Agent:
	 	 	 	 
	 	 	Continental Stock Transfer & Trust Company
	 	 	1 State Street, Floor 30
	 	 	New York, NY 10004
	 	 	 
	 	 	Telephone:  	(212) 845-3217
	 	 	Facsimile:  	(212) 616-7616
	 	 	Attention:  	Michael Mullings
	 	 	E-Mail:  	oplink@continentalstock.com 

 

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

 

		with a copy (for informational purposes only) to:
	 	 	 
	 	 	Latham & Watkins LLP
	 	 	12670 High Bluff Drive
	 	 	San Diego, CA 92130
	 	 	Telephone:	  (858) 523-5400
	 	 	Facsimile:	  (858) 523-5460
	 	 	Attention:	  Michael E. Sullivan, Esq.
	 	 	E-mail: 	 michael.sullivan@lw.com

 

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

 

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

 

(h)          No Third Party Beneficiaries.  This Agreement is intended for the benefit of the parties hereto and their respective
permitted successors and assigns, and is not for the benefit of, nor may any provision hereof be enforced by, any other Person,
other than the Indemnitees referred to in Section 6(k). 

 

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

 

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

 

(k)          Indemnification. 

 

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

 

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(ii)               Promptly after receipt by an Indemnitee under this Section 6(k) of notice of the commencement of any action or proceeding
(including, without limitation, any governmental action or proceeding) involving an Indemnified Liability, such Indemnitee shall,
if a claim in respect thereof is to be made against any indemnifying party under this Section 6(k), deliver to the indemnifying
party a written notice of the commencement thereof, and the indemnifying party shall have the right to participate in, and, to
the extent the indemnifying party so desires, jointly with any other indemnifying party similarly noticed, to assume control of
the defense thereof with counsel mutually satisfactory to the indemnifying party and the Indemnitee; provided, however, that an
Indemnitee shall have the right to retain its own counsel with the fees and expenses of such counsel to be paid by the indemnifying
party if: (i) the indemnifying party has agreed in writing to pay such fees and expenses; (ii) the indemnifying party shall have
failed promptly to assume the defense of such Indemnified Liability and to employ counsel reasonably satisfactory to such Indemnitee
in any such Indemnified Liability; or (iii) the named parties to any such Indemnified Liability (including, without limitation,
any impleaded parties) include both such Indemnitee and the indemnifying party, and such Indemnitee shall have been advised by
counsel that a conflict of interest is likely to exist if the same counsel were to represent such Indemnitee and the indemnifying
party (in which case, if such Indemnitee notifies the indemnifying party in writing that it elects to employ separate counsel at
the expense of the indemnifying party, then the indemnifying party shall not have the right to assume the defense thereof and such
counsel shall be at the expense of the indemnifying party), provided further that in the case of clause (iii) above the indemnifying
party shall not be responsible for the reasonable fees and expenses of more than one (1) separate legal counsel for such Indemnitee.
The Indemnitee shall reasonably cooperate with the indemnifying party in connection with any negotiation or defense of any such
action or claim by the indemnifying party and shall furnish to the indemnifying party all information reasonably available to the
Indemnitee which relates to such Indemnified Liability. The indemnifying party shall keep the Indemnitee reasonably apprised at
all times as to the status of the defense or any settlement negotiations with respect thereto. No indemnifying party shall be liable
for any settlement of any action, claim or proceeding effected without its prior written consent; provided, however, the indemnifying
party shall not unreasonably withhold, delay or condition its consent. No indemnifying party shall, without the prior written consent
of the Indemnitee, consent to entry of any judgment or enter into any settlement or other compromise which does not include as
an unconditional term thereof the giving by the claimant or plaintiff to such Indemnitee of a release from all liability in respect
to such Indemnified Liability , and such settlement shall not include any admission as to fault on the part of the Indemnitee.
Following indemnification as provided for hereunder, the indemnifying party shall be subrogated to all rights of the Indemnitee
with respect to all third parties, firms or corporations relating to the matter for which indemnification has been made. The failure
to deliver written notice to the indemnifying party within a reasonable time of the commencement of any such action shall not relieve
such indemnifying party of any liability to the Indemnitee under this Section 6(k), except to the extent that the indemnifying
party is materially and adversely prejudiced in its ability to defend such action. The indemnification required by this Section
6(k) shall be made by periodic payments of the amount thereof during the course of the investigation or defense, as and when bills
are received or Indemnified Liabilities are incurred. The indemnity and contribution agreements contained herein shall be in addition
to (i) any cause of action or similar right of the Indemnitees against the indemnifying party or others, and (ii) any liabilities
the indemnifying party may be subject to pursuant to the law. 

 

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

 

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

 

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

 

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

 

(p)          Judgment Currency.

 

(i)                If
for the purpose of obtaining or enforcing judgment against the Company in connection with this Agreement or any other Transaction
Document in any court in any jurisdiction it becomes necessary to convert into any other currency (such other currency being hereinafter
in this Section 6(p) referred to as the “Judgment Currency”) an amount due in U.S. Dollars under
this Agreement, the conversion shall be made at the Exchange Rate prevailing on the Business Day immediately preceding:

 

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

 

(2)              the
date on which the foreign court determines, in the case of any proceeding in the courts of any other jurisdiction (the date as
of which such conversion is made pursuant to this Section 6(p)(i)(2) being hereinafter referred to as the “Judgment
Conversion Date”).

 

(ii)               If in the case of any proceeding in the court of any jurisdiction referred to in Section 6(p)(i)(2)  above, there
is a change in the Exchange Rate prevailing between the Judgment Conversion Date and the date of actual payment of the amount due,
the applicable party shall pay such adjusted amount as may be necessary to ensure that the amount paid in the Judgment Currency,
when converted at the Exchange Rate prevailing on the date of payment, will produce the amount of U.S. Dollars which could have
been purchased with the amount of Judgment Currency stipulated in the judgment or judicial order at the Exchange Rate prevailing
on the Judgment Conversion Date.

 

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

 

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

 

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

 

(s)          Enforcement
Fees. The prevailing party shall have the right to collect from the other all costs and expenses incurred by such prevailing
party as a result of enforcement of this Agreement and the collection of any amounts owed to such prevailing party hereunder (whether
in cash, equity or otherwise), including, without limitation, reasonable attorneys’ fees and expenses.

 

[signature pages follow]

 

    47

     

    

 

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

 

 

	 	COMPANY:
	 	 
	 	PARETEUM CORPORATION
	 	 
	 	 
	 	By:	/s/ Alexander Korff
	 	 	Name:	Alexander Korff
	 	 	Title:	Secretary

 

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

 

	 	BUYER:
	 	 
	 	HT INVESTMENTS SA, LLC
	 	 
	 	 	 
	 	By:	/s/ Eric Helenek
	 	 	 	Eric Helenek
	 	 	 	Authorized Signatory

 

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SCHEDULE OF BUYERS

 

  

    50

     

    

 

Exhibit
A 

 

Form of Senior Secured Convertible
Note

 

     

     

    

 

Exhibit
B 

 

Form of Warrant

 

     

     

    

 

Exhibit
C 

 

Form of Security Agreement

 

     

     

    

 

Exhibit
D 

 

Voting Agreement Parties

 

     

     

    

 

Exhibit
E 

 

Form of Voting Agreement

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