Document:

Exhibit 10.2

 

REGISTRATION RIGHTS AGREEMENT

 

This Registration Rights Agreement (this “Agreement”) is made as of the 1st day of November, 2018, by and among, OvaScience, Inc. (the “Company”) and the persons listed on the attached Schedule A who are signatories to this Agreement (collectively, the “Investors”).  Unless otherwise defined herein, capitalized terms used in this Agreement have the respective meanings ascribed to them in Section 1.

 

RECITALS

 

WHEREAS, as of the date hereof, Millendo Therapeutics, Inc. (“Millendo”), the Company and the Investors have entered into that certain Stock Purchase Agreement (as may be amended from time to time, the “Stock Purchase Agreement”), pursuant to which the Investors have agreed to purchase the Shares (as defined in the Stock Purchase Agreement) (the “Company Shares”) as of the Closing (as defined in the Stock Purchase Agreement).

 

WHEREAS, pursuant to that certain Agreement and Plan of Merger and Reorganization dated as of August 8, 2018, by and among the Company, Orion Merger Sub, Inc. and Millendo Therapeutics, Inc. (such transaction, the “Merger”, and the agreement, as amended from time to time, the “Merger Agreement”), Orion Merger Sub, Inc. and Millendo Therapeutics, Inc. shall be merged upon the consummation of the Merger, the Shares shall be converted into the right to receive a number of shares of Common Stock of the Company (the “Company Shares”), pursuant to the terms of the Merger Agreement.

 

WHEREAS, the Company and the Investors wish to provide for certain arrangements with respect to the registration of the Registrable Securities (as defined below) by the Company under the Securities Act (as defined below).

 

NOW, THEREFORE, in consideration of the mutual promises and covenants set forth herein, and other consideration, the receipt and adequacy of which are hereby acknowledged, the parties hereto agree as follows:

 

Section 1.
 Definitions

 

1.1.                            Certain Definitions.  In addition to the terms defined elsewhere in this Agreement, as used in this Agreement, the following terms have the respective meanings set forth below:

 

(a)                                 “Board” shall mean the Board of Directors of the Company.

 

(b)                                 “Commission” shall mean the Securities and Exchange Commission or any other federal agency at the time administering the Securities Act.

 

(c)                                  “Common Stock” shall mean the Company’s Common Stock, par value $0.001 per share.

 

 

(d)                                 “Exchange Act” shall mean the Securities Exchange Act of 1934, as amended, or any similar successor federal statute and the rules and regulations thereunder, all as the same shall be in effect from time to time.

 

(e)                                  “Other Securities” shall mean securities of the Company, other than Registrable Securities (as defined below).

 

(f)                                   “Person” shall mean any individual, partnership, corporation, company, association, trust, joint venture, limited liability company, unincorporated organization, entity or division, or any government, governmental department or agency or political subdivision thereof.

 

(g)                                  “Registrable Securities” shall mean the Company Shares.

 

(h)                                 The terms “register,” “registered” and “registration” shall refer to a registration effected by preparing and filing the Resale Registration Shelf in compliance with the Securities Act, and such Resale Registration Shelf becoming effective under the Securities Act.

 

(i)                                     “Rule 144” shall mean Rule 144 as promulgated by the Commission under the Securities Act, as such rule may be amended from time to time, or any similar successor rule that may be promulgated by the Commission.

 

(j)                                    “Securities Act” shall mean the Securities Act of 1933, as amended, or any similar successor federal statute and the rules and regulations thereunder, all as the same shall be in effect from time to time.

 

Section 2.
 Resale Registration Rights

 

2.1.                            Resale Registration Rights.

 

(a)                                 The Company shall file with the Commission as promptly as reasonably practicable following the date hereof a registration statement on Form S-3 (except if the Company is not then eligible to register for resale the Registrable Securities on Form S-3, in which case such registration shall be on another appropriate form in accordance with the Securities Act) covering the resale of the Registrable Securities by the Investors (the “Resale Registration Shelf”).  Such Resale Registration Shelf shall include a “base” prospectus (the “Prospectus”) that meets the requirements set forth or promulgated pursuant to Section 10(b) of the Securities Act, including the information required by Item 507 of Regulation S-K of the Securities Act, as provided by the Investors in accordance with Section 2.5.    The Company’s obligation pursuant to this Section 2.1(a) is conditioned upon the Investors providing the information contemplated in Section 2.5.

 

(b)                                 The Company shall file an acceleration request and use its reasonable best efforts to cause the Resale Registration Shelf to become effective as promptly as practicable following the filing of the Resale Registration Shelf pursuant to Section 2.1(a).  The Company shall use its reasonable best efforts to cause the Resale Registration Shelf to remain effective under the Securities Act until the earlier of the date (i) all Registrable Securities covered by the Resale Registration Shelf have been sold or may be sold freely without limitations or restrictions as to

 

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volume or manner of sale pursuant to Rule 144 or (ii) all Registrable Securities covered by the Resale Registration Shelf otherwise cease to be Registrable Securities pursuant to Section 2.7 hereof.

 

(c)                                  Deferral and Suspension.  If, and only if, the Resale Registration Shelf has become effective, the Company may suspend the use of the Resale Registration Shelf or Prospectus, upon giving written notice of such action to the Investors with a certificate signed by the Chief Executive Officer of the Company stating that (1) as a result of a change in circumstances occurring subsequent to its effective date, the Resale Registration Shelf or Prospectus, after consultation with the Company’s counsel, contains information which is misleading or omits information necessary to make the information contained therein not misleading and (2) in the good faith judgment of the Board, it would be seriously detrimental to the Company or its stockholders to appropriately amend or supplement and file such amendment or supplement to the Resale Registration Shelf or Prospectus.  The Company shall have the right to suspend the use of the Resale Registration Shelf or Prospectus on one or more occasion for a period of not more than forty five (45) days in the aggregate.  In the case of the suspension of use of the Resale Registration Shelf or Prospectus, the Investors, immediately upon receipt of notice thereof from the Company, shall discontinue any offers or sales of Registrable Securities pursuant to the Resale Registration Shelf or Prospectus until advised in writing by the Company that the use of the Resale Registration Shelf or Prospectus may be resumed and/or an updated prospectus, if required, is delivered to the Investors by the Company.  In the case of a suspension of use of the Resale Registration Shelf or Prospectus, the Company shall not, during the pendency of such suspension be required to take any action hereunder (including any action pursuant to Section 2.2 hereof) with respect to the registration or sale of any Registrable Securities pursuant to the Resale Registration Shelf or Prospectus.

 

(d)                                 Other Securities.  Notwithstanding the foregoing, the Resale Registration Shelf or Prospectus may include Other Securities.

 

2.2.                            Registration Procedures.  The Company shall use its reasonable best efforts, within the limits set forth in this Section 2.2, to:

 

(a)                                 prepare and file with the Commission such amendments and supplements to the Resale Registration Shelf and the prospectuses used in connection with the Resale Registration Shelf as may be necessary to keep the Resale Registration Shelf effective and current and comply with the provisions of the Securities Act with respect to the disposition of all securities covered by the Resale Registration Shelf;

 

(b)                                 furnish to the Investors such numbers of copies of a prospectus, including preliminary prospectuses, in conformity with the requirements of the Securities Act, and such other documents as the Investors may reasonably request in order to facilitate the disposition of Registrable Securities;

 

(c)                                  use its reasonable best efforts to register and qualify the Registrable Securities covered by the Resale Registration Shelf under such other securities or blue sky laws of such jurisdictions in the United States as shall be reasonably requested by the Investors, provided that the Company

 

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shall not be required in connection therewith or as a condition thereto to qualify to do business or to file a general consent to service of process in any such states or jurisdictions;

 

(d)                                 notify the Investors at any time when a prospectus relating to the Resale Registration Shelf covering the Registrable Securities is required to be delivered under the Securities Act of the happening of any event as a result of which the prospectus included in the Resale Registration Shelf, as then in effect, includes an untrue statement of a material fact or omits to state a material fact required to be stated therein or necessary to make the statements therein not misleading in the light of the circumstances then existing.  The Company shall use its reasonable best efforts to amend or supplement such prospectus in order to cause such prospectus not to include any untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary to make the statements therein not misleading in the light of the circumstances then existing;

 

(e)                                  provide a transfer agent and registrar for all Registrable Securities registered pursuant to the Resale Registration Shelf and, if required, a CUSIP number for all such Registrable Securities, in each case not later than the effective date of such registration;

 

(f)                                   if requested by an Investor, cause the Company’s transfer agent to remove any restrictive legend from any Registrable Securities being transferred by an Investor pursuant to the Resale Registration Shelf, as soon as reasonably practicable following such request; and

 

(g)                                  cause all such Registrable Securities included in the Resale Registration Shelf pursuant to this Agreement to be listed on each securities exchange or other securities trading markets on which the Common Stock is then listed.

 

2.3.                            The Investors Obligations.

 

(a)                                 Discontinuance of Distribution.  The Investors agree that, upon receipt of any notice from the Company of the occurrence of any event of the kind described in Section 2.2(d) hereof, the Investors shall immediately discontinue disposition of Registrable Securities pursuant to the Resale Registration Shelf covering such Registrable Securities until the Investors’ receipt of the copies of the supplemented or amended prospectus contemplated by Section 2.2(d) hereof or receipt of notice that no supplement or amendment is required and that the Investors’ disposition of the Registrable Securities may be resumed.  The Company may provide appropriate stop orders to enforce the provisions of this Section 2.3(a).

 

(b)                                 Compliance with Prospectus Delivery Requirements.  The Investors covenant and agree that they shall comply with the prospectus delivery requirements of the Securities Act as applicable to them or an exemption therefrom in connection with sales of Registrable Securities pursuant to the Resale Registration Shelf filed by the Company pursuant to this Agreement.

 

2.4.                            Indemnification.

 

(a)                                 To the extent permitted by law, the Company shall indemnify the Investors, and, as applicable, their officers, directors, and constituent partners, legal counsel for each Investor and each Person controlling the Investors, with respect to which registration, related qualification, or

 

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related compliance of Registrable Securities has been effected pursuant to this Agreement against all claims, losses, damages, or liabilities (or actions in respect thereof) to the extent such claims, losses, damages, or liabilities arise out of or are based upon (i) any untrue statement (or alleged untrue statement) of a material fact contained in any prospectus or other document (including the Resale Registration Shelf) incident to any such registration, qualification, or compliance, or (ii) any omission (or alleged omission) to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, or (iii) any violation or alleged violation by the Company of the Securities Act, the Exchange Act, any state securities law, or any rule or regulation promulgated under the Securities Act, the Exchange Act or any state securities law applicable to the Company and relating to action or inaction required of the Company in connection with any such registration, qualification, or compliance (individually or collectively, a “Violation”); and the Company shall pay as incurred to the Investors, any legal and any other expenses reasonably incurred in connection with investigating or defending any such claim, loss, damage, liability, or action; provided, however, that the indemnity contained in this Section 2.4(a) shall not apply to amounts paid in settlement of any such claim, loss, damage, liability, or action if settlement is effected without the consent of the Company (which consent shall not unreasonably be withheld); and provided, further, that the Company shall not be liable in any such case to the extent that any such claim, loss, damage, liability, or expense arises out of or is based upon any violation by such Investor of the obligations set forth in Section 2.3 hereof or any untrue statement or omission contained in such prospectus or other document based upon written information furnished to the Company by the Investors and stated to be for use therein.

 

(b)                                 To the extent permitted by law, each Investor (severally and not jointly) shall, if Registrable Securities held by such Investor are included for sale in the registration and related qualification and compliance effected pursuant to this Agreement, indemnify the Company, each of its directors, each officer of the Company who signs the Resale Registration Shelf, and each legal counsel against all claims, losses, damages, and liabilities (or actions in respect thereof) arising out of or based upon (i) any untrue statement (or alleged untrue statement) of a material fact contained in the Resale Registration Shelf, or related document, or (ii) any omission (or alleged omission) to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, or (iii) any violation or alleged violation by such Investor of Section 2.3 hereof, the Securities Act, the Exchange Act, any state securities law, or any rule or regulation promulgated under the Securities Act, the Exchange Act or any state securities law applicable to such Investor and relating to action or inaction required of such Investor in connection with any such registration and related qualification and compliance, and shall pay as incurred to such persons, any legal and any other expenses reasonably incurred in connection with investigating or defending any such claim, loss, damage, liability, or action, in each case only to the extent that such untrue statement (or alleged untrue statement) or omission (or alleged omission) is made in (and such violation pertains to) such Resale Registration Shelf or related document in reliance upon and in conformity with written information furnished to the Company by such Investor and stated to be specifically for use therein; provided, however, that the indemnity contained in this Section 2.4(b) shall not apply to amounts paid in settlement of any such claim, loss, damage, liability, or action if settlement is effected without the consent of such Investor (which consent shall not unreasonably be withheld); provided, further, that such Investor’s liability under this Section 2.4(b) (when combined with any amounts such Investor is

 

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liable for under Section 2.4(d)) shall not exceed such Investor’s net proceeds from the offering of securities made in connection with such registration.

 

(c)                                  Promptly after receipt by an indemnified party under this Section 2.4 of notice of the commencement of any action, such indemnified party shall, if a claim in respect thereof is to be made against an indemnifying party under this Section 2.4, notify the indemnifying party in writing of the commencement thereof and generally summarize such action.  The indemnifying party shall have the right to participate in and to assume the defense of such claim; provided, however, that the indemnifying party shall be entitled to select counsel for the defense of such claim with the approval of any parties entitled to indemnification, which approval shall not be unreasonably withheld; provided further, however, that if either party reasonably determines that there may be a conflict between the position of the Company and the Investors in conducting the defense of such action, suit, or proceeding by reason of recognized claims for indemnity under this Section 2.4, then counsel for such party shall be entitled to conduct the defense to the extent reasonably determined by such counsel to be necessary to protect the interest of such party.  The failure to notify an indemnifying party promptly of the commencement of any such action, if prejudicial to the ability of the indemnifying party to defend such action, shall relieve such indemnifying party, to the extent so prejudiced, of any liability to the indemnified party under this Section 2.4, but the omission so to notify the indemnifying party shall not relieve such party of any liability that such party may have to any indemnified party otherwise than under this Section 2.4.

 

(d)                                 If the indemnification provided for in this Section 2.4 is held by a court of competent jurisdiction to be unavailable to an indemnified party with respect to any loss, liability, claim, damage, or expense referred to therein, then the indemnifying party, in lieu of indemnifying such indemnified party hereunder, shall contribute to the amount paid or payable by such indemnified party as a result of such loss, liability, claim, damage, or expense in such proportion as is appropriate to reflect the relative fault of the indemnifying party on the one hand and of the indemnified party on the other in connection with the statements or omissions that resulted in such loss, liability, claim, damage, or expense as well as any other relevant equitable considerations.  The relative fault of the indemnifying party and of the indemnified party shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of a material fact or the omission to state a material fact relates to information supplied by the indemnifying party or by the indemnified party and the parties’ relative intent, knowledge, access to information, and opportunity to correct or prevent such statement or omission.  In no event, however, shall (i) any amount due for contribution hereunder be in excess of the amount that would otherwise be due under Section 2.4(a) or Section 2.4(b), as applicable, based on the limitations of such provisions and (ii) a Person guilty of fraudulent misrepresentation (within the meaning of the Securities Act) be entitled to contribution from a Person who was not guilty of such fraudulent misrepresentation.

 

(e)                                  The obligations of the Company and the Investors under this Section 2.4 shall survive the completion of the offering of Registrable Securities in the Resale Registration Shelf under this Agreement.

 

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2.5.                            Information.  The Investors shall furnish to the Company such information regarding the Investors and the distribution proposed by the Investors as the Company may reasonably request and as shall be reasonably required in connection with any registration referred to in this Agreement.  The Investors agree to, as promptly as practicable (and in any event prior to any sales made pursuant to a prospectus), furnish to the Company all information required to be disclosed in order to make the information previously furnished to the Company by the Investors not misleading.  The Investors agree to keep confidential the receipt of any notice received pursuant to Section 2.2(d) and the contents thereof, except as required pursuant to applicable law.  Notwithstanding anything to the contrary herein, the Company shall be under no obligation to name the Investors in the Resale Registration Shelf if the Investors have not provided the information required by this Section 2.5 with respect to the Investors as a selling securityholder in the Resale Registration Shelf or any related prospectus.

 

2.6.                            Rule 144 Requirements.  With a view to making available to the Investors the benefits of Rule 144 promulgated under the Securities Act and any other rule or regulation of the Commission that may at any time permit the Investors to sell Registrable Securities to the public without registration, the Company agrees to use its reasonable best efforts to:

 

(a)                                 make and keep public information available, as those terms are understood and defined in Rule 144 under the Securities Act at all times after the date hereof;

 

(b)                                 file with the Commission in a timely manner all reports and other documents required of the Company under the Securities Act and the Exchange Act;

 

(c)                                  prior to the filing of the Resale Registration Shelf or any amendment thereto (whether pre-effective or post-effective), and prior to the filing of any prospectus or prospectus supplement related thereto, to provide the Investors with copies of all of the pages thereof (if any) that reference the Investors; and

 

(d)                                 furnish to any Investor, so long as the Investor owns any Registrable Securities, forthwith upon request (i) a written statement by the Company that it has complied with the reporting requirements of Rule 144, and (ii) such other information as may be reasonably requested by an Investor in availing itself of any rule or regulation of the Commission which permits an Investor to sell any such securities without registration.

 

2.7                               Withdrawal. Upon the 6 (six) month anniversary of the Closing, the Company shall have the right in its sole discretion to withdraw the Resale Registration Shelf.

 

Section 3.Miscellaneous

 

3.1.                            Amendment.  No amendment, alteration or modification of any of the provisions of this Agreement shall be binding unless made in writing and signed by each of the Company, Millendo Therapeutics, Inc. and the Investors holding a majority of the (i) Company Shares, prior to the Closing, or (ii) Registrable Securities, subsequent to the Closing.

 

3.2.                            Injunctive Relief.  It is hereby agreed and acknowledged that it shall be impossible to measure in money the damages that would be suffered if the parties fail to comply with any of

 

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the obligations herein imposed on them and that in the event of any such failure, an aggrieved Person shall be irreparably damaged and shall not have an adequate remedy at law.  Any such Person shall, therefore, be entitled (in addition to any other remedy to which it may be entitled in law or in equity) to seek injunctive relief, including, without limitation, specific performance, to enforce such obligations, and if any action should be brought in equity to enforce any of the provisions of this Agreement.

 

3.3.                            Notices.  All notices required or permitted under this Agreement must be in writing and sent to the address or facsimile number identified below.  Notices must be given: (a) by personal delivery, with receipt acknowledged; (b) by facsimile followed by hard copy delivered by the methods under clause (c) or (d); (c) by prepaid certified or registered mail, return receipt requested; or (d) by prepaid reputable overnight delivery service.  Notices shall be effective upon receipt.  Either party may change its notice address by providing the other party written notice of such change.  Notices shall be delivered as follows:

 

	
If to the Investors:
    	
 
    	
At such Investor’s address as set forth on Schedule A   hereto
    
	
 
    	
 
    	
 
    
	
If to the Company prior to the Closing:
    	
 
    	
OvaScience, Inc.
    9 Fourth Avenue
   Waltham, MA 02451
 Attention: Chief Executive Officer
    
	
 
    	
 
    	
 
    
	
with a copy (which copy shall not constitute notice) to:
    	
 
    	
Mintz, Levin, Cohn, Ferris, Glovsky & Popeo, P.C.
    One Financial Center
 Boston, Massachusetts 02111
 Attention: William C. Hicks, Esq.
    
	
 
    	
 
    	
 
    
	
If to the Company following the Closing:
    	
 
    	
Millendo Therapeutics, Inc.
    301 N. Main Street, Suite 100
 Ann Arbor, MI 48104
 Attention: Chief Executive Officer
    
	
 
    	
 
    	
 
    
	
with a copy (which copy shall not constitute notice) to:
    	
 
    	
Cooley LLP
    500 Boylston St.
 Boston, Massachusetts 02116
 Attention: Miguel J. Vega, Esq.
    

 

3.4.                            Governing Law; Jurisdiction; Venue; Jury Trial.

 

(a)                                 This Agreement shall be governed by, and construed in accordance with, the law of the State of Delaware without giving effect to any choice or conflict of law provision or rule (whether of the State of Delaware or any other jurisdiction) that would cause the application of the laws of any jurisdiction other than the State of Delaware.

 

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(b)                                 Each of the Company and the Investors irrevocably and unconditionally submits, for itself and its property, to the nonexclusive jurisdiction of the courts of the State of Delaware and of the Delaware Court of Chancery, and any appellate court from any thereof, in any action or proceeding arising out of or relating to this Agreement and the transactions contemplated herein, or for recognition or enforcement of any judgment, and each of the Company and the Investors irrevocably and unconditionally agrees that all claims in respect of any such action or proceeding may be heard and determined in such Delaware state court or, to the fullest extent permitted by applicable law, in such federal court.  Each of the Company and the Investors hereto agrees that a final judgment in any such action or proceeding shall be conclusive and may be enforced in other jurisdictions by suit on the judgment or in any other manner provided by law.

 

(c)                                  Each of the Company and the Investors irrevocably and unconditionally waives, to the fullest extent permitted by applicable law, any objection that it may now or hereafter have to the laying of venue of any action or proceeding arising out of or relating to this Agreement and the transactions contemplated herein in any court referred to in Section 3.4(b) hereof.  Each of the Company and the Investors hereby irrevocably waives, to the fullest extent permitted by applicable law, the defense of an inconvenient forum to the maintenance of such action or proceeding in any such court.

 

(d)                                 EACH OF THE COMPANY AND THE INVESTORS HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN ANY LEGAL PROCEEDING DIRECTLY OR INDIRECTLY ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY (WHETHER BASED ON CONTRACT, TORT OR ANY OTHER THEORY).  EACH OF THE COMPANY AND THE INVESTORS (A) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PERSON HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PERSON WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER AND (B) ACKNOWLEDGES THAT EACH OF THE COMPANY AND THE INVESTORS HAS BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION.

 

3.5.                            Successors, Assigns and Transferees.  Any and all rights, duties and obligations of the Investors hereunder shall not be assigned, transferred, delegated or sublicensed without the prior written consent of the Company; provided, however, that the Investors shall be entitled to transfer Registrable Securities only to one or more of their affiliates and, solely in connection therewith, may assign their rights hereunder in respect of such transferred Registrable Securities, in each case, so long as such Investor is not relieved of any liability or obligations hereunder, without the prior consent of the Company, and agreed to be bound by the terms hereof.  Any transfer or assignment made other than as provided in the first sentence of this Section 3.5 shall be null and void.  Subject to the foregoing and except as otherwise provided herein, the provisions of this Agreement shall inure to the benefit of, and be binding upon, the successors, permitted assigns, heirs, executors and administrators of the parties hereto.

 

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3.6.                            Entire Agreement.  This Agreement, together with any exhibits hereto, constitute the entire agreement between the parties relating to the subject matter hereof and all previous agreements or arrangements between the parties, written or oral, relating to the subject matter hereof are superseded.

 

3.7.                            Waiver.  No failure on the part of either party hereto to exercise any power, right, privilege or remedy under this Agreement, and no delay on the part of either party hereto in exercising any power, right, privilege or remedy under this Agreement, shall operate as a waiver thereof; and no single or partial exercise of any such power, right, privilege or remedy shall preclude any other or further exercise thereof or of any other power, right, privilege or remedy.

 

3.8.                            Severability.  If any part of this Agreement is declared invalid or unenforceable by any court of competent jurisdiction, such declaration shall not affect the remainder of the Agreement and the invalidated provision shall be revised in a manner that shall render such provision valid while preserving the parties’ original intent to the maximum extent possible.

 

3.9.                            Titles and Subtitles.  The titles and subtitles used in this Agreement are used for convenience only and are not to be considered in construing or interpreting this Agreement.  All references in this Agreement to sections, paragraphs and exhibits shall, unless otherwise provided, refer to sections and paragraphs hereof and exhibits attached hereto.

 

3.10.                     Counterparts.  This Agreement may be executed in any number of counterparts, each of which shall be enforceable against the parties that execute such counterparts (including by facsimile or other electronic means), and all of which together shall constitute one instrument.

 

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

 

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IN WITNESS WHEREOF, the parties hereto have executed this Registration Rights Agreement effective as of the day, month and year first above written.

 

	
 
    	
OVASCIENCE, INC.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Christopher Kroeger
    
	
 
    	
Name:
    	
Christopher Kroeger
    
	
 
    	
Title:
    	
President and Chief   Executive Officer
    

 

[Signature Page to Registration Rights Agreement]

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Registration Rights and Assumption Agreement effective as of the day, month and year first above written.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
[                     ]
    

 

[Signature Page to Registration Rights Agreement]

 

 

Schedule A

 

The InvestorsExhibit 4.4

 

THIS WARRANT
CERTIFICATE, AND THE COMMON SHARES EVIDENCED HEREBY, WILL BE VOID AND OF NO VALUE UNLESS EXERCISED ON OR BEFORE 5:00 P.M. (EASTERN
TIME) ON August 17, 2020.

 

UNLESS
PERMITTED UNDER SECURITIES LEGISLATION, THE HOLDER OF THIS SECURITY MUST NOT TRADE THE SECURITY BEFORE DECEMBER 18, 2018.

 

NEXTSOURCE
MATERIALS INC.

a corporation incorporated under the laws
of Canada

and having its registered office at 1001-145 Wellington Street West, Toronto, Ontario, M5J 1H8

 

	CERTIFICATE	2018-08-###
	WARRANTS	XXXX 
	 	Each whole Warrant entitling the holder to acquire one common share of NextSource Materials Inc., subject to adjustment as set forth herein, in accordance with the terms and conditions set forth herein.

 

 

WARRANT
CERTIFICATE

 

THIS IS TO CERTIFY THAT for value
received [INVESTOR NAME] (the “Holder”) is the registered holder of the number of Warrants stated above (each
a “Warrant” and collectively, the “Warrants”) and is entitled for each whole Warrant represented hereby
to purchase one (1) fully paid and non-assessable common share, subject to adjustment as hereinafter provided (each a “Share”
and collectively the “Shares”), in the capital of the NextSource Materials Inc. (the “Corporation”), at
any time and from time to time from the date of issue hereof up to and including 5:00 p.m. (Eastern Time) on August 17, 2020
(the “Expiry Time”), at a price per Share equal to $0.10 per Warrant, subject to adjustment as hereinafter provided
(the “Exercise Price”), upon and subject to the following terms and conditions.

 

 

TERMS AND CONDITIONS

 

		1.	The Warrants represented by this Warrant Certificate may not be exercised in the United States
or by or on behalf of a U.S. Person nor will the Shares be registered or delivered to an address in the United States, unless an
exemption from registration is available under, the U.S. Securities Act of 1933, as amended (the “U.S. Securities Act”),
and the applicable securities laws of any U.S. state is available. The Warrants represented by this Warrant Certificate may not
be transferred to, or for the benefit of, a transferee in the United States or a U.S. Person, unless an exemption from registration
is available under, the U.S. Securities Act. As used herein, the terms “United States” and “U.S. Person”
have the meanings ascribed to them in Regulation S under the U.S. Securities Act.

 

The Warrants
represented by this Warrant Certificate and the Shares issuable upon exercise of these Warrants are subject to certain resale restrictions
under applicable securities legislation. The Holder is advised to seek professional advice as to applicable resale restrictions.

 

The certificates
representing the Shares, if any, issued prior to the date that is 4 months and a day from August 17, 2018 shall bear, in
addition to any other legends required by applicable laws, the following legend:

 

 

    [Warrant Certificate]

    	 	- 2 -	 

    

“UNLESS
PERMITTED UNDER SECURITIES LEGISLATION, THE HOLDER OF THIS SECURITY MUST NOT TRADE THE SECURITY BEFORE DECEMBER 18, 2018.”

 

And if applicable
under the policies of the TSX, the additional legend as follows:

 

“THE
SECURITIES REPRESENTED BY THIS CERTIFICATE ARE LISTED ON THE TORONTO STOCK EXCHANGE (“TSX”); HOWEVER, THE SAID SECURITIES
CANNOT BE TRADED THROUGH THE FACILITIES OF THE TSX SINCE THEY ARE NOT FREELY TRANSFERABLE, AND CONSEQUENTLY ANY CERTIFICATE REPRESENTING
SUCH SECURITIES IS NOT “GOOD DELIVERY” IN SETTLEMENT OF TRANSACTIONS ON TSX”. 

 

At any time
and from time to time at or prior to the Expiry Time (the “Exercise Period”), the Holder may exercise all or any number
of whole Warrants represented hereby, upon delivering to the Corporation at its principal office noted above, this Warrant Certificate,
together with a duly completed and executed subscription notice in the form attached hereto (the “Subscription Notice”)
evidencing the election of the Holder to exercise the number of Warrants set forth in the Subscription Notice (which shall not
be greater than the number of Warrants represented by this Warrant Certificate) and a certified cheque, money order or bank draft
payable to the Corporation for the aggregate Exercise Price of all Warrants being exercised. If the Holder is not exercising all
Warrants represented by this Warrant Certificate, the Holder shall be entitled to receive, without charge, a new Warrant Certificate
representing the number of Warrants which is the difference between the number of Warrants represented by the then original Warrant
Certificate and the number of Warrants being so exercised.

 

		2.	The Holder shall be deemed to have become the holder of record of Shares on the date (the “Exercise
Date”) on which the Corporation has received a duly completed Subscription Notice, delivery of the Warrant Certificate and
payment of the full aggregate Exercise Price in respect of the Warrants being exercised pursuant to such Subscription Notice; provided,
however, that if such date is not a business day in the City of Toronto, Ontario (a “Business Day”) then the Shares
shall be deemed to have been issued and the Holder shall be deemed to have become the holder of record of the Shares on the next
following Business Day. Within five Business Days of the Exercise Date, the Corporation shall issue and deliver (or cause to be
delivered) to the Holder, by registered mail or pre-paid courier to his, her or its address specified in the register of the Corporation,
one or more certificates for the appropriate number of issued and outstanding Shares to which the Holder is entitled pursuant to
the exercise of Warrants.

 

		3.	The Corporation covenants and agrees that, until the Expiry Time, while any of the Warrants represented
by this Warrant Certificate shall be outstanding, it shall reserve and there shall remain unissued out of its authorized capital
a sufficient number of Shares to satisfy the right of purchase herein provided, as such right of purchase may be adjusted pursuant
to Sections 4 and 5 of this Warrant Certificate. The Corporation represents and warrants that all Shares which shall be issued
upon the exercise of the right to purchase herein provided for, upon payment of the aggregate Exercise Price at which Shares may
at that time be purchased pursuant to the provisions hereof, shall be issued as fully paid and non-assessable shares and the holders
thereof shall not be liable to the Corporation or its creditors in respect thereof. The Corporation further represents and warrants
that this Warrant Certificate is a legal, valid and binding obligation of the Corporation, enforceable against the Corporation
in accordance with its terms, provided that enforcement thereof may be limited by laws effecting creditors’ rights generally
and that specific performance and other equitable remedies may only be granted in the discretion of a court of competent jurisdiction.
The Corporation covenants that it will make all requisite filings under applicable laws in connection with the exercise of the
Warrants and issue of Shares.

 

     

    	 	- 3 -	 

    

		4.	The Exercise Price (and the number of Shares purchasable upon exercise) shall be subject to adjustment
from time to time in the events and in the manner provided as follows:

 

		(a)	Share Reorganization. If during the Exercise Period, the Corporation shall:

 

		(i)	issue common shares or securities exchangeable for or convertible into common shares to holders
of all or substantially all of its then outstanding common shares by way of stock dividend or other distribution, or

 

		(ii)	subdivide, re-divide or change its outstanding common shares into a greater number of common shares,
or

 

		(iii)	consolidate, reduce or combine its outstanding Shares into a lesser number of common shares,

 

(any of such events in these paragraphs
(i), (ii) and (iii) being a “Share Reorganization”), then the Exercise Price shall be adjusted as of the effective
date or record date, as the case may be, at which the holders of common shares are determined for the purpose of the Share Reorganization
by multiplying the Exercise Price in effect immediately prior to such effective date or record date by a fraction, the numerator
of which shall be the number of common shares outstanding on such effective date or record date before giving effect to such Share
Reorganization and the denominator of which shall be the number of common shares outstanding as of the effective date or record
date after giving effect to such Share Reorganization (including, in the case where securities exchangeable for or convertible
into common shares are distributed, the number of common shares that would have been outstanding had such securities been fully
exchanged for or converted into common shares on such record date or effective date). From and after any adjustment of the Exercise
Price pursuant to this Section 4(a), the number of Shares purchasable pursuant to this Warrant Certificate shall be adjusted contemporaneously
with the adjustment of the Exercise Price by multiplying the number of Shares then otherwise purchasable on the exercise thereof
by a fraction, the numerator of which shall be the Exercise Price in effect immediately prior to the adjustment and the denominator
of which shall be the Exercise Price resulting from such adjustment.

 

		(b)	Rights Offering. If and whenever during the Exercise Period the Corporation shall fix a
record date for the issue or distribution of rights, options or warrants to all or substantially all of the holders of common shares
under which such holders are entitled, during a period expiring not more than 45 days after the record date for such issue to subscribe
for or purchase common shares or securities exchangeable for or convertible into common shares at a price per share to the holder
(or having a conversion price or exchange price per common share) of less than 95% of the Current Market Price (as defined in Section
5 hereof) for the common shares on such record date (any of such events being called a “Rights Offering”), then the
Exercise Price shall be adjusted effective immediately after the record date for the Rights Offering to a price determined by multiplying
the Exercise Price in effect on such record date by a fraction:

 

		(i)	the numerator of which shall be the aggregate of:

 

     

    	 	- 4 -	 

    

		(A)	the number of common shares outstanding as of the record date for the Rights Offering, and

 

		(B)	a number determined by dividing either

 

		I.	the product of the number of common shares offered under the Rights Offering and the price at which
such common shares are offered,

 

or, as the
case may be,

 

		II.	the product of the exchange or conversion price per share of such securities offered and the maximum
number of common shares for or into which the securities so offered pursuant to the Rights Offering may be exchanged or converted,

 

by the Current Market Price of
the common shares as of the record date for the Rights Offering; and

 

		(ii)	the denominator of which shall be the aggregate of the number of common shares outstanding on such
record date after giving effect to the Rights Offering and including the number of common shares offered pursuant to the Rights
Offering (including shares issuable upon exercise of the rights, warrants or options under the Rights Offering or upon the exercise
of the exchange or conversion rights contained in such exchangeable or convertible securities under the Rights Offering).

 

Any common shares owned by or held
for the account of the Corporation shall be deemed not to be outstanding for the purpose of any such calculation. To the extent
that such Rights Offering is not so made or any such rights, options or warrants are not exercised prior to the expiration thereof,
the Exercise Price shall then be readjusted to the Exercise Price which would then be in effect if such record date had not been
fixed or if such expired rights, options or warrants had not been issued. From and after any adjustment of the Exercise Price pursuant
to this Section 4(b), the number of Shares purchasable pursuant to this Warrant Certificate shall be adjusted contemporaneously
with the adjustment of the Exercise Price by multiplying the number of Shares then otherwise purchasable on the exercise thereof
by a fraction, the numerator of which shall be the Exercise Price in effect immediately prior to the adjustment and the denominator
of which shall be the Exercise Price resulting from such adjustment.

 

		(c)	Special Distribution. If and whenever during the Exercise Period the Corporation shall issue
or distribute to all or to substantially all the holders of the common shares:

 

		(i)	securities of the Corporation including shares, rights, options or warrants to acquire shares of
any class or securities exchangeable for or convertible into or exchangeable into any such shares, or

 

		(ii)	any cash, property or other assets or evidences of its indebtedness,

 

and if such issuance or distribution
does not constitute a Share Reorganization or a Rights Offering (any of such non-excluded events being herein called a “Special
Distribution”), the Exercise Price shall be adjusted immediately after the record date for the Special Distribution so that
it shall equal the price determined by multiplying the Exercise Price in effect on such record date by a fraction:

 

     

    	 	- 5 -	 

    

(i)       the
numerator of which shall be the difference between:

 

		(A)	the amount obtained by multiplying the number of common shares outstanding on such record date
by the Current Market Price of the common shares on such record date, and

 

		(B)	the fair value (as determined by the directors of the Corporation) to the holders of such common
shares of such Special Distribution; and

 

		(ii)	the denominator of which shall be the total number of common shares outstanding on such record
date multiplied by such Current Market Price of the common shares on such record date.

 

Any common shares owned by or held
for the account of the Corporation shall be deemed not to be outstanding for the purpose of any such computation. To the extent
that such Special Distribution is not so made or any such rights, options or warrants are not exercised prior to the expiration
thereof, the Exercise Price shall then be readjusted to the Exercise Price which would then be in effect if such record date had
not been fixed or if such expired rights, options or warrants had not been issued. From and after any adjustment of the Exercise
Price pursuant to this Section 4(c), the number of Shares purchasable pursuant to this Warrant Certificate shall be adjusted contemporaneously
with the adjustment of the Exercise Price by multiplying the number of Shares then otherwise purchasable on the exercise thereof
by a fraction, the numerator of which shall be the Exercise Price in effect immediately prior to the adjustment and the denominator
of which shall be the Exercise Price resulting from such adjustment.

 

		(d)	Capital Reorganization. If and whenever during the Exercise Period there shall be a reclassification
or redesignation of common shares at any time outstanding or a change of the common shares into other shares or into other securities
or any other capital reorganization (other than a Share Reorganization), or a consolidation, amalgamation, arrangement or merger
of the Corporation with or into any other corporation or other entity (other than a consolidation, amalgamation, arrangement or
merger which does not result in any reclassification or redesignation of the outstanding common shares or a change of the common
shares into other securities), or a transfer of the undertaking or assets of the Corporation as an entirety or substantially as
an entirety to another corporation or other entity (any of such events being herein called a “Capital Reorganization”),
the Holder, where he, she or it has not exercised the right of subscription and purchase under this Warrant Certificate prior to
the effective date or record date, as the case may be, of such Capital Reorganization, shall be entitled to receive, and shall
accept upon the exercise of such right for the same aggregate consideration, in lieu of the number of Shares to which such Holder
was theretofore entitled upon such exercise, the kind and aggregate number of shares, other securities or other property which
such holder would have been entitled to receive as a result of such Capital Reorganization if, on the effective date thereof, he
had been the registered holder of the number of Shares to which such holder was theretofore entitled to subscribe for and purchase;
provided however, that no such Capital Reorganization shall be carried into effect unless all necessary steps shall have been taken
by the Corporation to so entitle the Holder. If determined appropriate by the board of directors of the Corporation, acting reasonably
and in good faith, and subject to the prior written approval of the principal Canadian stock exchange or over-the-counter market
on which the common shares are then listed or quoted for trading if required by such stock exchange or over-the-counter market,
appropriate adjustments shall be made as a result of any such Capital Reorganization in the application of the provisions set forth
in this Section 4 with respect to the rights and interests thereafter of the Holder to the end that the provisions set forth in
this Section 4 shall thereafter correspondingly be made applicable as nearly as may reasonably be possible in relation to any shares,
other securities or other property thereafter deliverable upon the exercise of any Warrant. Any such adjustments shall be made
by and set forth in terms and conditions supplemental hereto approved by the board of directors of the Corporation, acting reasonably
and in good faith.

 

     

    	 	- 6 -	 

    

		(e)	If and whenever at any time after the date hereof and prior to the Expiry Time, the Corporation
takes any action affecting its common shares to which the foregoing provisions of this Section 4, in the opinion of the board of
directors of the Corporation, acting reasonably and in good faith, are not strictly applicable, or if strictly applicable would
not fairly adjust the rights of the Holder against dilution in accordance with the intent and purposes thereof, or would otherwise
materially affect the rights of the Holder hereunder, then the Corporation shall execute and deliver to the Holder an amendment
hereto providing for an adjustment in the application of such provisions so as to adjust such rights as aforesaid in such a manner
as the board of directors of the Corporation may determine to be equitable in the circumstances, acting reasonably and in good
faith. The failure of the taking of action by the board of directors of the Corporation to so provide for any adjustment on or
prior to the effective date of any action or occurrence giving rise to such state of facts will be conclusive evidence, absent
manifest error, that the board of directors has determined that it is equitable to make no adjustment in the circumstances.

 

		5.	The following rules and procedures shall be applicable to the adjustments made pursuant to Section
4:

 

		(a)	The adjustments provided for in Section 4 are cumulative and shall be made successively whenever
an event referred to therein shall occur, and shall, in the case of adjustments to the Exercise Price be computed to the nearest
one-tenth of one cent subject to the following paragraphs of this Section 5.

 

		(b)	No adjustment in the Exercise Price shall be required unless such adjustment would result in a
change of at least 1% in the prevailing Exercise Price and no adjustment shall be made in the number of Shares purchasable upon
exercise of this Warrant Certificate unless it would result in a change of at least one one-hundredth of a Share; provided, however,
that any adjustments which, except for the provisions of this Section 5(b) would otherwise have been required to be made, shall
be carried forward and taken into account in any subsequent adjustment.

 

		(c)	No adjustment in the Exercise Price or in the number of Shares purchasable upon exercise of Warrants
shall be made in respect of any event described in Section 4, other than the events referred to in Sections 4(a)(ii) and (iii),
if the Holder is entitled to participate in such event on the same terms, mutatis mutandis, as if it had exercised its Warrants
prior to or on the effective date or record date, as the case may be, of such event. The terms of the participation of the Holder
in such event shall be subject to the prior written approval, if applicable, of the principal Canadian stock exchange or over-the-counter
market on which the Shares are then listed or quoted for trading.

 

     

    	 	- 7 -	 

    

		(d)	No adjustment in the Exercise Price shall be made pursuant to Section 4 in respect of the issue
from time to time:

 

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

 

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

 

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

 

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

 

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

 

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

 

		(g)	For the purposes of this Warrant Certificate, “Current Market Price” of a common share
at any date shall be calculated as the price per share equal to the weighted average price at which the common shares have traded
in the principal Canadian stock exchange or, if the common shares are not listed, the over-the-counter market, on which the common
shares are then listed or posted for trading during the 20 consecutive trading days ending not more than five trading days immediately
prior to such date as reported by such exchange or market in which the common shares are then trading or quoted. If the common
shares are not then traded in the over-the-counter market or on a recognized Canadian stock exchange, the Current Market Price
of the common shares shall be the fair market value of the common shares as determined in good faith by a nationally or internationally
recognized and independent investment dealer, investment banker or firm of chartered accountants.

 

     

    	 	- 8 -	 

    

		(h)	In the absence of a resolution of the board of directors of the Corporation fixing a record date
for any dividend or distribution referred to in Section 4(a)(i) or any Rights Offering or Special Distribution, the Corporation
shall be deemed to have fixed as the record date therefore the date on which such dividend or distribution, Rights Offering or
Special Distribution is effected.

 

		(i)	Any question that at any time or from time to time arises with respect to the amount of any adjustment
to the Exercise Price or other adjustments pursuant to Section 4 shall be conclusively determined by a firm of independent chartered
accountants and shall be binding upon the Corporation and the Holder, absent manifest error. Notwithstanding the foregoing, such
determination shall be subject to the prior written approval of the principal Canadian stock exchange or over-the-counter market
on which the common shares are then listed or quoted for trading if required by such stock exchange or over-the-counter market.

 

		6.	On the happening of each and every such event set out in Section 4, the applicable provisions of
this Warrant Certificate, including the Exercise Price, shall, ipso facto, be deemed to be amended accordingly and the Corporation
shall take all necessary action so as to comply with such provisions as so amended.

 

		7.	In any case in which Section 4 shall require that an adjustment shall be effective immediately
after a record date for an event referred to herein, the Corporation may defer, until the occurrence of such an event:

 

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

 

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

 

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

 

		8.	At least 21 days prior to the effective date or record date, as the case may be, of any event which
requires or might require adjustment in any of the subscription rights pursuant to this Warrant Certificate, including the Exercise
Price and the number of Shares which are purchasable upon the exercise thereof, or such longer period of notice as the Corporation
shall be required to provide holders of Shares in respect of any such event, the Corporation shall notify the Holder of the particulars
of such event and, if determinable, the required adjustment and the computation of such adjustment. In case any adjustment for
which such notice has been given is not then determinable, the Corporation shall promptly after such adjustment is determinable
notify the Holder of the adjustment and the computation of such adjustment.

 

     

    	 	- 9 -	 

    

		9.	The Corporation shall maintain or cause to be maintained a register of holders in which shall be
entered the names and addresses of the holders of the Warrants and of the number of Warrants held by them.

 

		10.	Where the Holder is entitled to receive on the exercise or partial exercise of its Warrants a fraction
of a Share, such right may only be exercised in respect of such fraction in combination with another Warrant or Warrants which
in the aggregate entitle the Holder to receive a whole number of Shares. If a Holder is not able to, or elects not to, combine
Warrants so as to be entitled to acquire a whole number of Shares, the Holder may not exercise the right to acquire a fractional
Share, and, does not have the right to receive a cash equivalent in lieu thereof.

 

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

 

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

 

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

 

		14.	Nothing contained herein shall confer any right upon the Holder hereof or any other person to subscribe
for or purchase any Shares of the Corporation at any time subsequent to the Expiry Time. After the Expiry Time this Warrant Certificate
and all rights hereunder shall be void and of no value.

 

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

 

		16.	Unless herein otherwise expressly provided, any notice to be given hereunder to the Holder shall
be deemed to be validly given if such notice is given by personal delivery or registered mail to the attention of the Holder at
its registered address recorded in the registers maintained by the Corporation. Any notice so given shall be deemed to be validly
given, if delivered personally, on the day of delivery and if sent by post or other means, on the fifth Business Day next following
the sending thereof. In determining under any provision hereof the date when notice of any event must be given, the date of giving
notice shall be included and the date of the event shall be excluded.

 

		17.	This Warrant Certificate and the Warrants represented hereby are not transferable and are not assignable
until the date that is 4 months and a day from August 17, 2018.

 

		18.	Time is of the essence hereof.

 

		19.	This Warrant Certificate is binding upon the Corporation and its successors and assigns.

 

		20.	The laws of the Province of Ontario and the federal laws of Canada applicable shall govern this
Warrant Certificate and the Warrants represented hereby therein. References to “$” is a reference to Canadian dollars.

 

     

    	 	- 10 -	 

    

IN WITNESS WHEREOF this Warrant
Certificate has been executed on behalf of NextSource Materials Inc. as of August 17, 2018

 

	 	NEXTSOURCE MATERIALS INC.
	 	 	 
	 	Per:	 
	 	 	Authorized Signing Officer

 

 

 

 

 

 

     

     

    

subscription
notice

 

 

	TO:	 	NextSource Materials Inc.,
	 	 	1001-145 Wellington Street West,
	 	 	Toronto, Ontario, M5J 1H8

 

Terms used herein but not otherwise defined
have the meanings ascribed thereto in the attached Warrant Certificate.

 

The undersigned registered Holder of the
attached Warrant Certificate, hereby:

 

		(a)	subscribes for ___________________________ Shares at a price per of $0.10 per Share (or such adjusted
price which may be in effect under the provisions of the Warrant Certificate) and in payment of the exercise price encloses a certified
cheque, bank draft or money order in lawful money of Canada payable to the order of NextSource Materials Inc. or its successor
corporation; and

 

		(b)	delivers herewith the above-mentioned Warrant Certificate entitling the undersigned to subscribe
for the above-mentioned number of Shares;

 

in each case in accordance
with the terms and conditions set out in the attached Warrant Certificate.

 

The Holder hereby certifies
that the undersigned is not a U.S. Person or a person in the United States and is not acquiring any of the Shares hereby subscribed
for the account or benefit of a U.S. Person or a person in the United States, and none of the persons listed in paragraph (b) above
is a U.S. Person or a person in the United States. For purposes hereof the terms “United States” and “U.S. Person”
shall have the meanings ascribed to them in Regulation S under the U.S. Securities Act of 1933, as amended (the “U.S. Securities
Act”).

 

Share certificates will not be registered
or delivered to an address in the United States without an opinion of counsel to the effect that the Shares have been registered
under the U.S. Securities Act or an exemption from registration is available.

 

The Shares purchased hereunder will either
settle in definitive certificates or will be deposited electronically with CDS Clearing and Depository Services Inc. (“CDS”)
through the book-based system administered by CDS. If the Shares are deposited electronically with CDS, the Subscriber will not
be entitled to receive definitive certificates or other instruments from the Issuer or CDS representing their interest in the securities
purchased hereunder. The Subscriber will receive only a customer confirmation from the registered dealer who is a CDS participant
and from or through whom the securities hereunder are purchased against payment of the Subscription Amount.

 

The Subscriber hereby provides the registration
and delivery instructions below in connection with the definitive certificates or electronic settlement of the Shares being purchased
hereunder:

 

    [Subscription Notice]

     

    

 

	Share
    Certificate Registration Instructions:	 	Share
    Certificate Delivery Instructions:
	 	 	 	 	 
	(Registration Name)	 	(Delivery Name)
	 	 	 	 	 
	(Account Reference / Number, if applicable)	 	(Account Reference / Number, if applicable)
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	 	 
	(Registration Mailing Address, including Postal Code)	 	(Delivery Mailing Address, including Postal Code)
	 	 	 	 	 
	(Contact Name)	 	(Contact Name)
	 	 	 	 	 
	(Contact Telephone Number)	 (Contact Fax Number)	 	(Contact Telephone Number)	 (Contact Fax Number)
	 	 	 	  	 
	(Please print full name in which share certificates and warrant certificates are to be issued. If any of the Shares are to be issued to a person or persons other than the Holder, the Holder must pay to the Corporation all requisite taxes or other governmental charges.)	 	 	 

 

 

	DATED this _________ day of _____________________, 20__ .
	 	 
	 	 
	 	(Signature of Holder)
	 	 
	 	 
	 	(Print Name of Holder)
	 	 
	 	 
	 	(Holder Address)
	 	 
	 	 
	 	(Holder City, Province, Country)
	 	 
	 	 
	 	(Holder Phone Number)
	 	 
	 	 
	 	(Holder Email Address)
	 	 

 

[Subscription
Notice]

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