Document:

Exhibit 10.19.4

 

 

NON-QUALIFIED
STOCK OPTION AGREEMENT

 

Under
the

HUMACYTE,
INC.

2015
OMNIBUS INCENTIVE PLAN

 

THIS
NON-QUALIFIED STOCK OPTION AGREEMENT (this “Agreement”) is made as of the ___ day of _____, 201_ (the “Grant
Date”), by and between Humacyte, Inc. (the “Company”) and ___________ (the “Participant”).

 

WHEREAS,
the Committee granted Participant an option to purchase shares of the Company’s common stock pursuant to the Humacyte, Inc.
2015 Omnibus Incentive Plan (the “Plan”); and

 

WHEREAS,
this Agreement evidences the grant of such option.

 

NOW,
THEREFORE, in consideration of the foregoing, of the mutual promises set forth below and of other good and valuable consideration,
the receipt and sufficiency of which are hereby acknowledged, the parties hereto, intending to be legally bound, agree as follows:

 

		1.	Grant
                                         of Option. The Committee granted Participant an option to purchase from the Company,
                                         during the period specified in Sections 3 and 4 of this Agreement, a total of _____________
                                         (_____) shares of Common Stock, at the purchase price of $___ per share (the “Purchase
                                         Price”), in accordance with the terms and conditions stated in this Agreement.
                                         The shares of Common Stock subject to the option granted hereby are referred to below
                                         as the “Shares,” and the option to purchase such Shares is referred to below
                                         as the “Option.”

 

		2.	Definitions;
                                         Authority of Committee.

 

		(a)	All
                                         capitalized terms used in this Agreement shall have the meanings set out in the Plan
                                         unless otherwise specified in this Agreement.

 

		(b)	“Cause”
                                         shall mean that Participant’s service, as an employee or otherwise, with the Company
                                         or any surviving entity following a Corporate Transaction shall have terminated principally
                                         because (i) of Participant’s breach of any employment, noncompetition or other
                                         agreement with such entity; (ii) Participant commits any act of dishonesty toward
                                         such entity, theft of corporate property or unethical business conduct, or is convicted
                                         of any misdemeanor or felony involving dishonest, immoral or unethical conduct; or (iii) Participant
                                         commits any act of insubordination, fails to comply with any instructions of such entity’s
                                         president or board of directors, or (iv) participant commits any act or omission which
                                         such entity’s board of directors determines, in good faith, may materially adversely
                                         affect such entity’s business or operations, unless Participant cures such action
                                         or omission within five (5) days after notice from such entity.

 

		(c)	“Committee”
                                         shall mean the Administrator.

 

     

     

    

 

		(d)	“Disability”
                                         shall mean any illness or other physical or mental condition of a Participant that renders
                                         the Participant incapable of performing his customary and usual duties for the Company,
                                         or any medically determinable illness or other physical or mental condition resulting
                                         from a bodily injury, disease or mental disorder that will continue for at least 180
                                         days as stated in the reasonable opinion of a qualified doctor approved by the Participant
                                         and the Committee. If the Participant refuses to submit to the examination by, or participate
                                         in the selection of, a physician, or if the Participant and the Committee are unable
                                         to agree on the selection of a physician, then the determination of whether there is
                                         a Disability will be made by the Committee acting in good faith.

 

		(e)	An
                                         “Involuntary Termination” is any Termination of Service of Participant:

 

		(i)	by
                                         the Company or any surviving entity in a Corporate Transaction for any reason other than
                                         for Cause; or

 

		(ii)	voluntarily
                                         by Participant following the assignment to Participant by the Company or any surviving
                                         entity in a Corporate Transaction of any duties that are significantly incompatible with,
                                         and detract from, Participant’s position, duties, titles, responsibilities or status
                                         with the Company or any surviving entity in a Corporate Transaction.

 

		(f)	A
                                         “Termination of Service” means a separation from service from the Company.

 

		(g)	All
                                         determinations made by the Committee with respect to the interpretation, construction
                                         and application of any provision of this Agreement shall be final, conclusive and binding
                                         on the parties.

 

		3.	Vesting
                                         and Exercise of Option. The Option shall vest and become exercisable as follows from
                                         and after ______:

 

		(i)	On
                                         _______, a total of one-third (1/3) of the Shares shall vest;

 

		(ii)	On
                                         _______, an additional one-third (1/3) of the Shares shall vest; and

 

		(iii)	On
                                         _______, an additional one-third (1/3) of the Shares shall vest, such that full vesting
                                         is achieved as of _______.

 

The
Option may be exercised at any time and from time to time to purchase up to the number of Shares as to which it is then vested
and exercisable.

 

If
the surviving entity in a Corporate Transaction assumes or replaces the Option and if there is an Involuntary Termination of Participant’s
employment within the period that commences thirty (30) days prior to the effective date of such Corporate Transaction and that
ends twelve (12) months following the effective date of such Corporate Transaction, the Option shall vest and become exercisable,
to the extent not already vested and exercisable, on the date of such Involuntary Termination.

 

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		4.	Termination
                                         of Option. The Option shall remain exercisable as specified in Section 3 above until
                                         the earliest to occur of the dates specified below, upon which date the Option shall
                                         terminate:

 

		(a)	the
                                         date all of the Shares are purchased pursuant to the terms of this Agreement;

 

		(b)	upon
                                         the expiration of three (3) months following Participant’s Termination of Service
                                         for any reason other than Cause, death or Disability;

 

		(c)	immediately
                                         upon the Termination of Service of Participant by the Company for Cause;

 

		(d)	upon
                                         the expiration of one (1) year following Participant’s Termination of Service as
                                         a result of death or Disability;

 

		(e)	upon
                                         the expiration of one (1) year following the date of Participant’s death, if death
                                         shall have occurred following Participant’s Termination of Service and while the
                                         Option was still exercisable;

 

		(f)	at
                                         5:00 P.M., Eastern Time, on the thirtieth (30th) day following the date that the Company
                                         files articles of dissolution with the state in which the Company is incorporated or
                                         is otherwise dissolved under applicable law;

 

		(g)	at
                                         5:00 P.M., Eastern Time, on the date the Option is cancelled in connection with a Corporate
                                         Transaction pursuant to the Plan; or

 

		(h)	the
                                         ten-year anniversary of the Grant Date at 5:00 P.M., Eastern Time.

 

Upon
its termination, the Option shall have no further force or effect and Participant shall have no further rights under the Option
or to any Shares that have not been purchased pursuant to prior exercise of the Option.

 

		5.	Manner
                                         of Exercise of Option.

 

		(a)	The
                                         Option may be exercised only by (i) Participant’s completion, execution and delivery
                                         to the Company of a notice of exercise and, if required by the Company, an “investment
                                         letter” as supplied by the Company confirming Participant’s representations
                                         and warranties in Section 20 of this Agreement, including the representation that Participant
                                         is acquiring the Shares for investment only and not with a view to the resale or other
                                         distribution thereof, and (ii) the payment to the Company, pursuant to the terms of this
                                         Agreement, of an amount equal to the Purchase Price multiplied by the number of Shares
                                         being purchased as specified in Participant’s notice of exercise. Participant’s
                                         right to exercise the Option shall be conditioned upon and subject to satisfaction, in
                                         a manner acceptable to the Company, of any withholding liability under any state or federal
                                         law arising in connection with exercise of the Option. Participant must provide notice
                                         of exercise of the Option with respect to no fewer than 100 Shares (or any lesser number
                                         of Shares with respect to which the Option is then vested and exercisable). Participant’s
                                         notice of exercise shall be given in the manner specified in Section 16 but any exercise
                                         of the Option shall be effective only when the items required by the preceding sentence
                                         are actually received by the Company. The notice of exercise and the “investment
                                         letter” may be in the form set forth in Exhibit A attached to this Agreement. Notwithstanding
                                         anything to the contrary in this Agreement, the Option may be exercised only if compliance
                                         with all applicable federal and state securities laws can be effected.

 

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Payment
of the aggregate Purchase Price may be made by check payable to the order of the Company for an amount in U.S. dollars equal to
the aggregate Purchase Price of such Shares. Payment may also be made by delivery of Shares held by the Participant for the requisite
period necessary to avoid a charge to the Company’s earnings for financial reporting purposes, as determined by the Committee
in its discretion, and having an aggregate Fair Market Value equal to the amount that would otherwise be required to pay the aggregate
Purchase Price. After the Company has consummated an initial public offering, payment may also be made by authorizing a third
party to sell a portion of the Shares acquired upon exercise of the Option and remit to the Company a sufficient portion of the
sales proceeds to pay the aggregate Purchase Price, pursuant to the procedures established by the Committee for this purpose.
Payment may also be made by combining the above methods. To the extent that shares are used in making full or partial payment
of the Purchase Price, each such share will be valued at the Fair Market Value thereof as of the date of exercise. Any overpayment
will be promptly refunded, and any underpayment will be deemed an exercise of such lesser whole number of Shares as the amount
paid is sufficient to purchase.

 

		(b)	Except
                                         as otherwise provided in the Plan, upon any exercise of the Option by Participant or
                                         as soon thereafter as is practicable, the Company shall issue and deliver to Participant
                                         a certificate or certificates evidencing such number of Shares as Participant has then
                                         elected to purchase. Such certificate or certificates shall be registered in the name
                                         of Participant and shall bear such legends as the Company deems appropriate.

 

		6.	Treatment.
                                         The Option is not an incentive stock option under Code section 422.

 

		7.	Restrictions
                                         on Transfer.

 

		(a)	Except
                                         as otherwise provided in subsections (b) and (c) below and in Sections 8, 9, and 13 of
                                         this Agreement, neither the Option nor any Shares may be sold, exchanged, delivered,
                                         assigned, bequeathed or gifted, pledged, mortgaged, hypothecated or otherwise encumbered,
                                         transferred or permitted to be transferred, or otherwise disposed of, whether voluntarily,
                                         involuntarily or by operation of law (including, without limitation, the laws of bankruptcy,
                                         intestacy, descent and distribution or succession) or on an absolute or contingent basis.
                                         For this purpose, any reference to Participant shall (when applicable) be deemed to be
                                         and include references to Participant’s estate, executors or administrators, personal
                                         or legal representatives and transferees (direct or indirect). The restrictions specified
                                         in this subsection (a) with respect to the Shares (but not the Option) shall terminate
                                         upon consummation of an initial public offering.

 

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		(b)	The
                                         Participant shall be entitled to transfer all or any portion of the Shares then held
                                         of record by the Participant, by gift, to his or her immediate family or to a trust which
                                         has as its only beneficiaries those individuals that include Participant and members
                                         of Participant’s immediate family, or to a partnership or similar entity which
                                         has as its only partners or members those individuals that include Participant and members
                                         of Participant’s immediate family. For this purpose, Participant’s “immediate
                                         family” is Participant’s spouse, children and/or grandchildren. In the event
                                         of the Participant’s death, the Option and/or any Shares then held of record by
                                         the Participant may be transferred to any executor, administrator, personal or legal
                                         representative, legatee, heir or distributee of the estate of the Participant. The Participant
                                         shall be entitled to sell, without compliance with Section 8 below, any Shares then held
                                         of record by the Participant as a result of purchase under this Agreement, to any other
                                         holder of Shares. However, any such transfer shall be effective only if, as a condition
                                         precedent to such transfer, each and every prospective transferee shall provide or cause
                                         to be provided to the Company, at its request, sufficient evidence of the legal right
                                         and authority of such prospective transferee to have the Option and/or any of such Shares
                                         so transferred.

 

		(c)	Shares
                                         acquired pursuant to exercise of the Option may be transferred pursuant to a Corporate
                                         Transaction.

 

		(d)	The
                                         Company may impose stop-transfer instructions with respect to any shares (or other securities)
                                         subject to any restriction set forth in this Agreement until the restriction has been
                                         satisfied or terminates.

 

		(e)	The
                                         Participant agrees that the Participant will not distribute or resell any Shares (or
                                         other securities) issuable upon exercise of the Option granted hereby in violation of
                                         the Securities Act of 1933, as amended, that the Participant will indemnify and hold
                                         the Company harmless against all liability for any such violation, and that upon request
                                         the Participant (i) will furnish a letter agreement in connection with any exercise of
                                         this Option containing any representations and/or undertakings which the Company shall
                                         request and (ii) will accept a certificate representing Shares bearing any legend restricting
                                         transferability as the Company shall request to ensure compliance with securities laws.
                                         The Shares shall not be transferable except in compliance with the conditions indicated
                                         in the legend.

 

		8.	Right
                                         of First Refusal.

 

		(a)	In
                                         the event that the Participant shall receive a Bona Fide Offer (as defined in Section
                                         8(b) hereof) to purchase some or all of the Shares then held of record by the Participant,
                                         and in the further event that the Participant desires to accept such Bona Fide Offer,
                                         the Participant shall give written notice to the Company containing the information required
                                         by Section 8(d) and offering to sell such Shares to the Company upon the same terms and
                                         conditions as are contained in the Bona Fide Offer or upon such other terms to which
                                         the Participant consents. The Company shall then have such rights and privileges, for
                                         the prescribed time periods, as are set forth in Section 8(d) hereof.

 

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		(b)	The
                                         term “Bona Fide Offer” as used in this Agreement means an offer in writing,
                                         signed by an offeror or offerors (who must be a person or persons financially capable
                                         of carrying out the terms of such Bona Fide Offer) not affiliated in any manner with,
                                         or related to, the Participant, in a form legally enforceable, upon its acceptance, against
                                         such nonaffiliated and unrelated offeror or offerors.

 

		(c)	The
                                         notice from the Participant to the Company with respect to a Bona Fide Offer under Section
                                         8(a) shall contain a true and complete copy of the Bona Fide Offer, setting forth the
                                         price and all of the terms and conditions, with the name(s), address(es) and business(es)
                                         or other occupation(s) of the nonaffiliated and unrelated offeror or offerors. Any notice
                                         that does not contain all such information shall not be considered effective under Section
                                         8(a).

 

		(d)	For
                                         a period of sixty (60) days from its receipt of the Participant’s notice under
                                         Section 8(a) the Company shall have the right, at its sole option, to purchase the Shares
                                         so offered. The Company may exercise such right of the Company by giving written notice
                                         of such exercise to the Participant within such sixty (60) day period. Such notice from
                                         the Company shall specify the time and date on which settlement in connection with the
                                         exercise of such right is to be made. The date specified shall not be later than ninety
                                         (90) days from the date such notice is given by the Company. Settlement shall be held
                                         on the purchase of Shares under this Section 8 at the principal executive offices of
                                         the Company or at such other place as the Company shall notify the Participant. At settlement,
                                         the Participant shall deliver to the Company the materials required pursuant to Section
                                         9 hereof and, simultaneously therewith, the Company shall deliver to the Participant
                                         the purchase price for such Shares in the amount, manner and form provided for in the
                                         Bona Fide Offer.

 

		(e)	If
                                         the Company shall not elect, within such sixty (60) day period, to purchase all of the
                                         Shares covered by the Bona Fide Offer, the Participant shall have the right to accept
                                         the Bona Fide Offer in whole (but not in part) and to sell such Shares, subject to the
                                         provisions and restrictions of this Agreement, but only in strict accordance with all
                                         of the provisions of the Bona Fide Offer and only if the sale is fully consummated within
                                         ninety (90) days after the date the Participant gives the notice required by Section
                                         8(a). In the event that such sale is not fully consummated within such ninety (90) day
                                         period, the Participant must again comply with the provisions of this Section 8 before
                                         the Participant may sell Shares pursuant to this Section 8.

 

		(f)	The
                                         right of first refusal specified in this Section 8 shall terminate when the Company has
                                         consummated an initial public offering.

 

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		(g)	The
                                         right of first refusal specified in this Section 8 shall be freely assignable by the
                                         Company. The right of first refusal specified in this Section 8 is a separate and independent
                                         obligation of the Participant and shall survive any termination of the Participant’s
                                         service with the Company as an employee, director or otherwise. Furthermore, such right
                                         shall not be construed as an absolute obligation on the part of the Company to repurchase
                                         any portion of the Shares that is tendered.

 

		9.	Delivery
                                         of Stock and Documents. Upon the closing of any purchase by the Company of any Shares
                                         pursuant to Section 8 of this Agreement, the Participant, his or her executor, administrator
                                         or beneficiaries shall deliver to the Company the certificate or certificates representing
                                         the Shares being sold, free and clear of all options, contracts, commitments, liens,
                                         pledges, security interests and other encumbrances, duly endorsed for transfer, and such
                                         assignments and other documents and instruments evidencing the title of the Participant
                                         and of the Participant’s compliance with this Agreement as may be reasonably required
                                         by the Company or by counsel for the Company, together with appropriate duly signed stock
                                         powers transferring such Shares to the Company, and the Company shall deliver to the
                                         Participant, his or her executor, administrator or beneficiaries the Company’s
                                         check in the amount of the purchase price for the Shares being sold. Upon the closing
                                         of such repurchase, the Participant shall be deemed to have represented and warranted
                                         to the Company (and, if requested by the Company, shall then represent and warrant in
                                         writing) that the Participant owns the Shares being purchased, free and clear of all
                                         options, contracts, commitments, liens, pledges, security interests and other encumbrances.
                                         The Participant agrees to indemnify the Company against any and all losses, damages,
                                         liabilities, claims, actions, proceedings, judgments, costs and expenses (including reasonable
                                         attorneys’ fees) arising out of any breach of such representation and warranty.

 

		10.	Binding
                                         Upon Transferees. In the event that, at any time or from time to time, the Option
                                         and/or any Shares are transferred to any party (other than the Company) pursuant to the
                                         provisions hereof, the transferee shall take the Option and/or such Shares pursuant to
                                         all of the provisions, conditions and obligations of the Plan and this Agreement (including,
                                         without limitation, the obligations to sell and transfer, and to offer to sell and transfer,
                                         such Shares pursuant to the provisions of Section 8), and, as a condition precedent to
                                         the transfer of the Option and/or such Shares, the transferee shall agree in writing,
                                         for and on behalf of such transferee and such transferee’s successors and assigns,
                                         to be bound by all provisions of the Plan and this Agreement.

 

		11.	Shareholders
                                         Agreement. As a condition to receipt of any Shares upon exercise of the Option, upon
                                         request by the Company, Participant (and any transferees, the successors and assigns
                                         of the Participant or any transferee) shall become a party to any agreement between the
                                         Company and any of its shareholders existing at the time of exercise of the Option and
                                         shall sign a copy of such agreement.

 

		12.	Rights
                                         Prior to Exercise. Participant will have no rights as a shareholder with respect
                                         to the Shares except to the extent that Participant has exercised the Option.

 

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		13.	Sale
                                         or Other Disposition by Majority Interest. Participant hereby irrevocably appoints
                                         the Company and its President, or either of them, as Participant’s agents and attorneys-in-fact,
                                         with full power of substitution for and in Participant’s name, to sell, exchange,
                                         transfer or otherwise dispose of all or a portion of Participant’s Shares and to
                                         do any and all things and to execute any and all documents and instruments (including,
                                         without limitation, any stock transfer powers) in connection therewith, such powers of
                                         attorney to become operable only in connection with a Corporate Transaction. Any sale,
                                         exchange, transfer or other disposition of all or a portion of Participant’s Shares
                                         pursuant to the foregoing powers of attorney shall be made upon substantially the same
                                         terms and conditions (including sale price per share) applicable to a sale, exchange,
                                         transfer or other disposition of Shares owned by the holder or holders of a majority
                                         of the issued and outstanding Shares. For purposes of determining the sale price per
                                         share of the Shares under this Section 13, there shall be excluded the consideration
                                         (if any) paid or payable to the holder or holders of a majority of the issued and outstanding
                                         Shares in connection with any employment, consulting, noncompetition or similar agreements
                                         which such holder or holders may enter into in connection with or subsequent to such
                                         sale, transfer, exchange or other disposition. The foregoing power of attorney shall
                                         not impose or be deemed to impose any fiduciary duty or any other duty (except as set
                                         forth in this Section 13) or obligation on either the Company or its President, shall
                                         be irrevocable and coupled with an interest and shall not terminate by operation of law,
                                         whether by the death, bankruptcy or adjudication of incompetency or insanity of Participant
                                         or the occurrence of any other event.

 

		14.	Engagement
                                         of Participant. Nothing in this Agreement shall be construed as constituting a commitment,
                                         guarantee, agreement or understanding of any kind or nature that the Company shall continue
                                         to retain the services of Participant, nor shall this Agreement affect in any way the
                                         right of the Company to terminate the services of Participant as an employee or otherwise
                                         at any time and for any reason. By Participant’s execution of this Agreement, Participant
                                         acknowledges and agrees that Participant’s service relationship with the Company
                                         is “at will.” No change of Participant’s duties to the Company shall
                                         result in, or be deemed to be, a modification of any of the terms of this Agreement.

 

		15.	Burden
                                         and Benefit; Company. This Agreement shall be binding upon, and shall inure to the
                                         benefit of, the Company and Participant, and their respective heirs, personal and legal
                                         representatives, successors and assigns. As used in this Section 15, the term the “Company”
                                         shall also include any corporation which is the parent or a subsidiary of the Company
                                         or any corporation or entity which is an affiliate of the Company by virtue of common
                                         (although not identical) ownership, and for which Participant is providing services in
                                         any form for the Company or any such other corporation or entity. Participant hereby
                                         consents to the enforcement of any and all of the provisions of this Agreement by or
                                         for the benefit of the Company and any such other corporation or entity.

 

		16.	Notices.
                                         Any and all notices under this Agreement shall be in writing, and sent by hand delivery
                                         or by certified or registered mail (return receipt requested and first-class postage
                                         prepaid), in the case of the Company, to its principal executive offices to the attention
                                         of the President, and, in the case of Participant, to Participant’s address as
                                         shown on the Company’s records.

 

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		17.	Specific
                                         Performance. Strict compliance by Participant shall be required with each and every
                                         provision of this Agreement. The parties hereto agree that the Shares are unique, that
                                         Participant’s failure to perform the obligations provided by this Agreement will
                                         result in irreparable damage to the Company and that specific performance of Participant’s
                                         obligations may be obtained by suit in equity.

 

		18.	Amendment.
                                         The Committee shall have the exclusive authority to amend this Agreement, provided that
                                         no amendment of this Agreement shall, without the written consent of the Participant,
                                         adversely affect, as shall be determined by the Committee, the rights of the Participant
                                         hereunder.

 

		19.	Terms
                                         and Conditions of Plan. The terms and conditions included in the Plan, the receipt
                                         of a copy of which Participant hereby acknowledges by execution of this Agreement, are
                                         incorporated by reference herein, and to the extent that any conflict may exist between
                                         any term or provision of this Agreement and any term or provision of the Plan, such term
                                         or provision of the Plan shall control.

 

		20.	Covenants
                                         and Representations of Participant. Participant represents, warrants, covenants and
                                         agrees with the Company as follows:

 

		(a)	The
                                         Option is being received for Participant’s own account without the participation
                                         of any other person, with the intent of holding the Option and the Shares issuable pursuant
                                         thereto for investment and without the intent of participating, directly or indirectly,
                                         in a distribution of the Shares and not with a view to, or for resale in connection with,
                                         any distribution of the Shares or any portion thereof.

 

		(b)	Participant
                                         is not acquiring the Option or any Shares based upon any representation, oral or written,
                                         by any person with respect to the future value of, or income from, the Shares, but rather
                                         upon an independent examination and judgment as to the prospects of the Company.

 

		(c)	Participant
                                         has had the opportunity to ask questions of and receive answers from the Company and
                                         its executive officers and to obtain all information necessary for Participant to make
                                         an informed decision with respect to the investment in the Company represented by the
                                         Option and any Shares issued upon its exercise.

 

		(d)	Participant
                                         is able to bear the economic risk of any investment in the Shares, including the risk
                                         of a complete loss of the investment, and Participant acknowledges that Participant must
                                         continue to bear the economic risk of any investment in Shares received upon exercise
                                         of the Option for an indefinite period.

 

		(e)	Participant
                                         understands and agrees that the Shares subject to the Option may be issued and sold to
                                         Participant without registration under any state or federal laws relating to the registration
                                         of securities and in that event will be issued and sold in reliance on exemptions from
                                         registration under appropriate state and federal laws and, as a result, the Participant
                                         may not resell or otherwise dispose of all or any portion of the Shares unless such resale
                                         or other disposition is registered under federal and applicable state securities laws
                                         or an exemption from such registration is available.

 

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		(f)	Shares
                                         issued to Participant upon exercise of the Option will not be offered for sale, sold
                                         or transferred by Participant other than pursuant to: (i) an effective registration under
                                         applicable state securities laws or in a transaction which is otherwise in compliance
                                         with those laws; (ii) an effective registration under the Securities Act of 1933, or
                                         a transaction otherwise in compliance with such Act; and (iii) evidence satisfactory
                                         to the Company of compliance with all applicable state and federal securities laws. The
                                         Company shall be entitled to rely upon an opinion of counsel satisfactory to it with
                                         respect to compliance with the foregoing laws.

 

		(g)	The
                                         Company will be under no obligation to register the Shares issuable pursuant to the Option
                                         or to comply with any exemption available for sale of the Shares by Participant without
                                         registration, and the Company is under no obligation to act in any manner so as to make
                                         Rule 144 promulgated under the Securities Act of 1933 available with respect to any sale
                                         of the Shares by Participant.

 

		(h)	Participant
                                         shall, during the entire period of service or employment with the Company and for a period
                                         of ninety (90) days following Termination of Service, observe the Company’s securities
                                         trading policies in effect from time to time during such period of service or employment
                                         and/or during such post-service period.

 

		(i)	Participant
                                         has not relied upon the Company with respect to any tax consequences related to the grant
                                         or exercise of this Option, or the disposition of Shares purchased pursuant to its exercise.
                                         Participant acknowledges that, as a result of the grant and/or exercise of the Option,
                                         Participant may incur a substantial tax liability. Participant assumes full responsibility
                                         for all such consequences and the filing of all tax returns and elections Participant
                                         may be required or find desirable to file in connection therewith. In the event any valuation
                                         of the Option or Shares purchased pursuant to its exercise must be made under federal
                                         or state tax laws and such valuation affects any return or election of the Company, Participant
                                         agrees that the Company may determine such value and that Participant will observe any
                                         determination so made by the Company in all returns and elections filed by Participant.
                                         In the event the Company is required by applicable law to collect any withholding, payroll
                                         or similar taxes by reason of the grant or any exercise of the Option, Participant agrees
                                         that the Company may withhold such taxes from any monetary amounts otherwise payable
                                         by the Company to Participant and that, if such amounts are insufficient to cover the
                                         taxes required to be collected by the Company, Participant will pay to the Company such
                                         additional amounts as are required.

 

		(j)	The
                                         agreements, representations, warranties and covenants made by Participant herein with
                                         respect to the Option shall also extend to and apply to all of the Shares issued to Participant
                                         from time to time pursuant to exercise of the Option. Acceptance by Participant of any
                                         certificate representing Shares shall constitute a confirmation by Participant that all
                                         such agreements, representations, warranties and covenants made herein shall be true
                                         and correct at that time.

 

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		21.	Limitation
                                         of Liability. The liability of the Company, the Board, and their officers, employees
                                         and agents, under this Agreement and in the award of the Shares hereunder is limited
                                         to the obligations set forth with respect to such award, and nothing herein contained
                                         shall be interpreted as imposing any liability in favor of the Participant with respect
                                         to any loss, cost or expense which such recipient may incur in connection with or arising
                                         out of any transaction involving the Shares that is subject to the provisions of this
                                         Agreement.

 

		22.	Unsecured
                                         and Unfunded Agreement. Any rights of the Participant hereunder shall be no greater
                                         than the right of an unsecured general creditor of the Company. Any payments to be made
                                         hereunder shall be paid from the general funds of the Company, and no special or separate
                                         fund shall be established and no segregation of assets shall be made to assure payment
                                         of such amounts.

 

		23.	Entire
                                         Agreement. The parties hereto agree that this Agreement sets forth all of the promises,
                                         agreements, conditions, understandings, warranties, and representations between the parties
                                         with respect to the Option and Shares and that there are no promises, agreements, conditions,
                                         understandings, warranties, or representations, oral or written, express or implied between
                                         the parties with respect to the Option and Shares other than as set forth in this Agreement.
                                         Participant accepts the Option in full satisfaction of any and all obligations of the
                                         Company with respect to options granted or to be granted to Participant, pursuant to
                                         the Plan or otherwise. Any modifications or any waiver of any provision contained in
                                         this Agreement shall not be valid unless made in writing and signed by the person or
                                         persons sought to be bound by such waiver or modifications.

 

		24.	Severability.
                                         The provisions of the Agreement are severable and if any one or more provisions are determined
                                         to be illegal or otherwise unenforceable, in whole or in part, the remaining provisions,
                                         and any partially unenforceable provision to the extent enforceable in any jurisdiction,
                                         shall nevertheless be binding and enforceable.

 

		25.	Waiver.
                                         The waiver by the Company of a breach of any provision of this Agreement by the Participant
                                         shall not operate or be construed as a waiver of any subsequent breach by the Participant.

 

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		26.	Code
                                         Section 409A. At all times during the term of this Agreement, it shall be operated
                                         in accordance with the requirements of Code section 409A (together with applicable regulations,
                                         proposed or otherwise, and other guidance of general applicability that is issued thereunder,
                                         “409A”). Any action that may be taken (and, to the extent possible, any action
                                         actually taken) by the Committee or the Company shall not be taken (or shall be void
                                         and without effect), if such action violates the requirements of 409A. If the failure
                                         to take an action under this Agreement would violate 409A, then to the extent it is possible
                                         thereby to avoid a violation of 409A, the rights and effects under this Agreement shall
                                         be altered to avoid such violation. Any provision in this Agreement that is determined
                                         to violate the requirements of 409A shall be void and without effect. In addition, any
                                         provision that is required to appear in this Agreement to satisfy the requirements of
                                         409A, but that is not expressly set forth, shall be deemed to be set forth herein, and
                                         the Agreement shall be administered in all respects as if such provision were expressly
                                         set forth. In all cases, the provisions of this Section shall apply notwithstanding any
                                         contrary provision of the Agreement that is not contained in this Section.

 

{Remainder
of page intentionally left blank. The signature page follows.}

 

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IN
WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed as of the day and year first above written.

 

	 	COMPANY:
	 	 	 
	 	HUMACYTE, INC.
	 	 	 
	 	By:	 
	 	 	Paul
Boyer
	 	 	Chief
Financial Officer
	 	 	 
	 	PARTICIPANT:
	 	 	 
	 	 
	 	[name]

 

    13Exhibit 10.20

 

HUMACYTE, INC.

ANNUAL BONUS PLAN

 

1. Purposes
of the Plan. The purposes of the Plan are to attract and retain the best available personnel, to provide additional incentives
to employees, and to promote the success of the business of Humacyte, Inc.

 

2. Definitions.

 

(a) “Actual
Award” means the actual bonus payout (if any) made to a Participant for the applicable Performance Period, subject to
the Committee’s authority under Section 3(c) to modify the amount of the payout.

 

(b) “Affiliate”
means any corporation or other entity (including, but not limited to, partnerships and joint ventures) controlled by the Company.

 

(c) “Board”
means the Board of Directors of the Company.

 

(d)
“Code” means the Internal Revenue Code of 1986, as amended. Reference to a specific section of the Code or regulation
thereunder will include such section, any valid regulation promulgated thereunder, and any comparable provision of any future legislation
or regulation amending, supplementing or superseding such section or regulation.

 

(e) “Committee”
means the committee appointed by the Board (pursuant to Section 5) to administer the Plan. Unless and until the Board otherwise
determines, the Board’s Compensation Committee will administer the Plan.

 

(f) “Company”
means Humacyte, Inc., a Delaware corporation, or any successor entity.

 

(g) “Effective
Date” means the date of the closing of the Transaction.

 

(h) “Employee”
means any full-time employee of the Company or of an Affiliate.

 

(i) “Participant”
means as to any Performance Period, an Employee who has been selected by the Committee for participation in the Plan for that Performance
Period.

 

(j) “Performance
Period” means the period of time for the measurement of the performance criteria applicable to a Target Award, as determined
by the Committee in its sole discretion.

 

(k) “Plan”
means this Humacyte, Inc. Annual Bonus Plan, as such may be amended or restated from time to time.

 

(l) “Target
Award” means the target award, at 100% of target level performance achievement, payable under the Plan to a Participant
for the Performance Period, as determined by the Committee in accordance with Section 3(b).

 

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(m) “Transaction”
means the transaction contemplated by the Business Combination Agreement, dated as of February 17, 2021, by and among Alpha Healthcare
Acquisition Corp., a Delaware corporation (“AHAC”), Hunter Merger Sub, Inc., a Delaware corporation and wholly
owned subsidiary of AHAC, and Humacyte, Inc., a Delaware corporation.

 

3. Selection
of Participants and Determination of Awards.

 

(a) Selection
of Participants. The Committee, in its sole discretion, will select the Employees who will be Participants for any Performance
Period. Participation in the Plan is in the sole discretion of the Committee, on a Performance Period by Performance Period basis.
Accordingly, an Employee who is a Participant for a given Performance Period in no way is guaranteed or assured of being selected
for participation in any subsequent Performance Period or Performance Periods.

 

(b) Determination
of Target Awards. The Committee, in its sole discretion, may establish a Target Award for each Participant (which may be expressed
as a percentage of a Participant’s base salary for the Performance Period or a fixed dollar amount or such other amount or
based on such other formula as the Committee determines). The grant of a Target Award to a Participant does not guarantee any payment
to Participant under the Plan, and shall not be construed as such.

 

(c) Determination
of Actual Award; Discretion to Modify Awards. The Committee shall have the sole discretion to determine the extent to which
the performance criteria applicable to a Target Award has been satisfied and the amount of the Actual Award payable to the Participant
(if any) based on the satisfaction of such performance criteria. Notwithstanding any contrary provision of the Plan, the Committee
may, in its sole discretion and at any time, increase, reduce or eliminate a Participant’s Actual Award. The Actual Award
may be below, at or above the Target Award, in the Committee’s discretion. The Committee may determine the amount of any
increase, reduction or elimination on the basis of such factors as it deems relevant, and will not be required to establish any
allocation or weighting with respect to the factors it considers.

 

(d) Discretion
to Determine Performance Criteria. Notwithstanding any contrary provision of the Plan, the Committee, in its sole discretion,
will determine the performance goals (if any) applicable to any Target Award (or portion thereof). The goals may be on the basis
of any factors the Committee determines relevant, and may be on an individual, divisional, business unit, segment or Company-wide
basis. Any performance criteria used may be measured on such basis as the Committee determines. The performance goals may differ
from Participant to Participant and from award to award. The Committee also may determine that a Target Award (or portion thereof)
will not have a performance goal associated with it but instead will be granted (if at all) in the sole discretion of the Committee.

 

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4. Payment
of Awards.

 

(a) Right
to Receive Payment. Each Actual Award will be paid solely from the general assets of the Company. Nothing in the Plan will
be construed to create a trust or to establish or evidence any Participant’s claim of any right other than as an unsecured
general creditor with respect to any payment to which he or she may be entitled.

 

(b) Timing
of Payment. Payment of each Actual Award shall be made as soon as practicable after the end of the Performance Period to which
the Actual Award relates and after the Actual Award is approved by the Committee, but in no event later than March 15 of the calendar
year immediately following the calendar year in which the Performance Period ends. Unless otherwise determined by the Committee,
to earn an Actual Award a Participant must be employed by the Company or any Affiliate on the date the Actual Award is paid. For
purposes of the Plan, transfer of employment of a Participant between the Company and any one of its Affiliates (or between Affiliates)
will not be deemed a termination of employment.

 

(c) Form
of Payment. Each Actual Award will be paid in cash (or its equivalent) in a single lump sum.

 

5. Plan
Administration.

 

(a) Committee
is the Administrator. The Plan will be administered by the Committee. The Committee will consist of not less than two members
of the Board. The members of the Committee will be appointed from time to time by, and serve at the pleasure of, the Board.

 

(b) Committee
Authority. Subject to the terms of the Plan, the Committee shall have authority to take any and all actions that it determines
to be necessary or advisable in connection with the administration of the Plan, including but not limited to the power to (i) determine
which Employees will be granted awards, (ii) prescribe the terms and conditions of awards, (iii) interpret the Plan and any awards
granted thereunder, (iv) adopt such procedures and sub-plans as are necessary or appropriate to permit participation in the Plan
by Employees who are foreign nationals or employed outside of the United States, (v) adopt rules for the administration, interpretation
and application of the Plan as are consistent therewith, (vi) interpret, amend or revoke any such rules, (vii) determine all facts
necessary to administer the Plan and any award granted thereunder, (viii) make and approve corrections in the documentation or
administration of any award, (ix) determine the extent to which the performance criteria have been met and (x) determine the extent
to which an award will be modified, if at all, in accordance with Section 3(c).

 

(c) Decisions
Binding. All determinations and decisions made by the Committee, the Board, and/or any delegate of the Committee pursuant to
the provisions of the Plan will be final, conclusive, and binding on all persons, and will be given the maximum deference permitted
by law.

 

(d) Delegation
by Committee. The Committee, in its sole discretion and on such terms and conditions as it may provide, but subject to any
limitations under applicable law or the rules of any stock exchange on which the Company’s shares are listed, may delegate
all or part of its authority and powers under the Plan to one or more directors and/or officers of the Company; provided that
any such officer shall not be authorized to grant an award under the Plan to himself or herself.

 

    3

     

    

 

(e) Indemnification.
In addition to such other rights of indemnification as they may have, members of the Board and any Committee (and any individuals
to whom authority is delegated pursuant to Section 5(d)) shall be defended and indemnified by the Company to the extent permitted
by law against all reasonable expenses, including attorneys’ fees, actually and necessarily incurred in connection with the
defense of any claim, investigation, action, suit or proceeding, or in connection with any appeal therein, to which they or any
of them may be a party by reason of any action taken or failure to act under or in connection with the Plan, or any award granted
hereunder, and against all amounts paid by them in settlement thereof (provided such settlement is approved by the Company)
or paid by them in satisfaction of a judgment in any such claim, investigation, action, suit or proceeding, except in relation
to matters as to which it shall be adjudged in such claim, investigation, action, suit or proceeding that such person is liable
for gross negligence, bad faith or intentional misconduct. Upon the institution of any such action, suit, or proceeding, any such
indemnified person against whom a claim is made shall notify the Company in writing and give the Company the opportunity, within
thirty (30) days after such notice and at its own expense, to handle and defend the same before such indemnified person undertakes
to handle it on his or her own behalf.

 

6. Amendment,
Termination, and Duration.

 

(a) Amendment,
Suspension, or Termination of Plan. The Board, in its sole discretion, may amend, suspend or terminate the Plan, or any part
thereof, at any time and for any reason. The amendment, suspension or termination of the Plan will not, without the consent of
the Participant, materially and adversely affect such Participant’s rights under any Actual Award theretofore earned and
paid. No award may be granted during any period of suspension or after termination of the Plan.

 

(b) Amendment
of Awards. The Board or the Committee, in its sole discretion and without the Participant’s consent, may amend or terminate
any Target Award granted under the Plan at any time and for any reason.

 

(c) Duration
of Plan. The Plan will commence on the Effective Date and will remain in effect thereafter until terminated by the Board.

 

7. General
Provisions.

 

(a) Governing
Law. The validity and construction of the Plan and all awards thereunder shall be governed by the laws of the State of Delaware,
excluding any conflicts or choice of law rules or principles that might otherwise refer construction or interpretation of any provision
of the Plan or an award to the substantive law of another jurisdiction.

 

(b) Tax
Withholding. The Company (or the Affiliate employing the applicable Employee) will withhold all applicable taxes from any Actual
Award, including any federal, state, local or foreign income and employment taxes.

 

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(c) Section
409A. The Plan is intended to be exempt from the requirements of Section 409A of the Code (“Section 409A”),
and shall be interpreted in accordance with such intent. Each payment under the Plan is intended to constitute a separate payment
for purposes of Treasury Regulation Section 1.409A-2(b)(2). If an award granted under the Plan is subject to Section 409A, any
payment to a Participant who is a “specified employee” (within the meaning of Section 409A) of the Company or any Affiliate
and that is payable upon such Participant’s “separation from service” (within the meaning of Section 409A), shall
not be made before the date that is six months after the Participant’s separation from service, to the extent required to
avoid the adverse consequences of Section 409A. Nothing in the Plan shall be interpreted or construed to transfer any liability
for any tax (including a tax or penalty due as a result of a failure to comply with Section 409A) to the Company or to any other
individual or entity, and the Company shall have no liability to a Participant, or any other party, if an award granted under the
Plan that is intended to be exempt from, or compliant with, Section 409A is not so exempt or compliant.

 

(d) No
Employment or Service Rights. The Plan shall not confer upon any Participant any right to employment or service with the Company
or any Affiliate, nor shall it interfere in any way with the right of the Company or any Affiliate to terminate the Participant’s
employment or service at any time.

 

(e) Participation.
No Employee will have the right to be selected to receive an award under the Plan, or, having been so selected, to be selected
to receive a future award.

 

(f) Successors.
All obligations of the Company under the Plan, with respect to awards granted hereunder, will be binding on any successor to the
Company, whether the existence of such successor is the result of a direct or indirect purchase, merger, consolidation, or otherwise,
of all or substantially all of the business or assets of the Company.

 

(g) Nontransferability
of Awards. No award granted under the Plan may be sold, transferred, pledged, assigned, or otherwise alienated or hypothecated,
other than by will or by the laws of descent and distribution. All rights with respect to an award granted to a Participant will
be available during his or her lifetime only to the Participant.

 

(h) Construction.
Captions and titles contained herein are for convenience only and shall not affect the meaning or interpretation of any provision
of the Plan. Except when otherwise indicated by the context, the singular shall include the plural and the plural shall include
the singular. Use of the term “or” is not intended to be exclusive, unless the context clearly requires otherwise.

 

(i) Severability.
In the event any provision of the Plan will be held illegal or invalid for any reason, the illegality or invalidity will not affect
the remaining parts of the Plan, and the Plan will be construed and enforced as if the illegal or invalid provision had not been
included.

 

(j) Requirements
of Law. The granting of awards under the Plan will be subject to all applicable laws, rules and regulations, and to such approvals
by any governmental agencies or national securities exchanges as may be required.

 

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(k) Recoupment;
Clawback. Subject to the terms and conditions of the Plan, the Committee may provide that any Participant and/or any award
granted under the Plan is subject to any recovery, recoupment, clawback and/or other forfeiture policy maintained by the Company
from time to time.

 

(l) Effect
on Other Employee Benefit Plans. Nothing contained in the Plan shall prevent the Company or any Affiliate from adopting other
or additional compensation arrangements for its employees or other service providers. The value of any award under the Plan shall
not be included as compensation, earnings, salaries, or other similar terms used when calculating any Participant’s benefits
under any employee benefit plan sponsored by the Company or any Affiliate, except as such plan otherwise expressly provides. The
Company expressly reserves its rights to amend, modify, or terminate any of the Company’s or any Affiliate’s employee
benefit plans.

 

 

6

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