Document:

Exhibit
10.1

 

September
7, 2017

 

To:
All Holders of the NanoVibronix, Inc. 

Convertible
Promissory Notes

 

Re:
NanoVibronix, Inc. 2017 Convertible Promissory Notes

 

Reference
is made to those certain Convertible Promissory Notes in the aggregate principal amount of $1,230,000 (the “Notes”),
by and between NanoVibronix, Inc. (the “Company”) and the lenders named therein (collectively, the “Lenders”,
and each, a “Lender”). All capitalized terms in this letter (the “Letter Agreement”)
shall have the meanings assigned to them under the Notes, unless otherwise defined herein.

 

By
signature and countersignature below, the Company and the Lenders agree to the following:

 

		1)	Election
                                         to Receive Equity Securities. Notwithstanding anything in the Notes to the contrary,
                                         the Lenders hereby agree that, in the event the Company consummates a Qualified Financing
                                         prior to December 31, 2017 pursuant to a firm commitment underwritten offering that results
                                         in the Common Stock being contemporaneously listed on the NYSE American, the Nasdaq Capital
                                         Market, the Nasdaq Global Market or the Nasdaq Global Select Market, (i) on the closing
                                         date of such Qualified Financing, the entire outstanding principal amount of the Notes,
                                         together with all accrued and unpaid interest thereon, shall automatically convert, without
                                         any action on the part of the Lenders, into shares of the same class and series of Equity
                                         Securities sold on the closing date[, or at the Lender’s option, into the Company’s
                                         Series C Preferred Stock,] in such Qualified Financing at a price per share equal to
                                         the lesser of: (a) 80% (i.e., a 20% discount) of the price per share at which such securities
                                         are sold in such Qualified Financing and (b) $5.90 per share.

 

		2)	“Market
                                         Stand-off” Agreement. Subject to the limitations herein, the Lenders hereby
                                         agree that they will not, without the prior written consent of the managing underwriter,
                                         during the period commencing on the date of the final prospectus relating to the registration
                                         by the Company of shares of its Common Stock or any other equity securities under the
                                         Securities Act on a registration statement on Form S-1, and ending on the date specified
                                         by the Company and the managing underwriter (such period not to exceed one hundred eighty
                                         (180) days, or such other period as may be requested by the Company or an underwriter
                                         to accommodate regulatory restrictions on (1) the publication or other distribution of
                                         research reports, and (2) analyst recommendations and opinions, including, but not limited
                                         to, the restrictions contained in Financial Industry Regulatory Authority Rule 2711(f)(4)
                                         or New York Stock Exchange Rule 472(f)(4), or any successor provisions or amendments
                                         thereto), (i) lend; offer; pledge; sell; contract to sell; sell any option or contract
                                         to purchase; purchase any option or contract to sell; grant any option, right, or warrant
                                         to purchase; or otherwise transfer or dispose of, directly or indirectly, any shares
                                         of Common Stock or any securities convertible into or exercisable or exchangeable (directly
                                         or indirectly) for Common Stock (whether such shares or any such securities are then
                                         owned by the Lender or are thereafter acquired) issued to the Lenders upon a conversion
                                         pursuant to Section 1 of this Letter Agreement, or (ii) enter into any swap or
                                         other arrangement that transfers to another, in whole or in part, any of the economic
                                         consequences of ownership of such securities, whether any such transaction described
                                         in clause (i) or (ii) above is to be settled by delivery of Common Stock or other securities,
                                         in cash, or otherwise. The foregoing provisions of this Section 2 shall not apply
                                         to the sale of any shares to an underwriter pursuant to an underwriting agreement, or
                                         the transfer of any shares to any trust for the direct or indirect benefit of a Lender
                                         or the immediate family of such Lender, provided that the trustee of the trust
                                         agrees to be bound in writing by the restrictions set forth herein, and provided further
                                         that any such transfer shall not involve a disposition for value. Furthermore, the
                                         restrictions in this Section 2 shall be applicable to the Lenders only if all
                                         officers and directors are subject to the same restrictions and the Company uses commercially
                                         reasonable efforts to obtain a similar agreement from all stockholders individually owning
                                         more than five percent (5%) of the Company’s outstanding Common Stock. The underwriters
                                         in connection with such registration are intended third-party beneficiaries of this Section
                                         2 and shall have the right, power and authority to enforce the provisions hereof
                                         as though they were a party hereto. The Lenders further agree to execute such agreements
                                         as may be reasonably requested by the underwriters in connection with such registration
                                         that are consistent with this Section 2 or that are necessary to give further
                                         effect thereto.

 

     

     

    

 

		3)	Integration.
                                         Except as otherwise modified pursuant to the paragraphs above, no other changes or modifications
                                         to the Notes are intended or implied and in all other respects the Notes are specifically
                                         deemed ratified, restated and confirmed by the parties hereto, effective as of the date
                                         hereof. To the extent that there exists any conflict between the terms of this Letter
                                         Agreement and the Notes, the terms of this Letter Agreement shall control. This Letter
                                         Agreement together with the Notes shall be read and construed as one agreement.

 

		4)	Prior
                                         Agreements. This Letter Agreement supersedes all prior written or contemporaneous
                                         oral agreements, understandings and negotiations with respect to the subject matter hereof.

 

		5)	Counterparts.
                                         This Letter Agreement may be signed in counterparts (which may include counterparts delivered
                                         by any standard form of telecommunication), each of which shall be an original and all
                                         of which together shall constitute one and the same instrument.

 

Please
return an executed, counter-signed copy of this Letter Agreement to the Company.

 

[Signature
Page Follows]

 

     

     

    

 

[Company
Signature Page to Side Letter]

 

	 	Very
    truly yours,
	 	 	 	 
	 	COMPANY
	 	 	 	 
	 	NanoVibronix,
    Inc.
	 	 	 	 
	 	By:	 	 
	 	Name:
	 	Title:

 

     

     

    

 

[Lender
Signature Page to Side Letter]

  

	Acknowledged
    and Agreed:	 	 
	 	 	 	 
	LENDER
    (if an individual)	 	 
	 	 	 	 
	 	 	 	 
	 	 	 	 
	 	 	 	 
	LENDER
    (if an entity)	 	 
	 	 
	(please
    print entity name above)	 
	 	 	 	 
	 	 	 	 
	By:	 	 	 
	Name:	 	 
	Title:Page
| 1

 

Intellectual
Property Purchase Agreement

 

for
the SMARTICLES Asset

 

This
Intellectual Property Purchase Agreement (the “Agreement”) is entered as of September 8th, 2017
(the “Effective Date”) by and between Marina Biotech Inc., 17870 Castleton Street, Suite 250, City of Industry,
CA 91748, hereinafter “Marina” and Novosom Verwaltungsgesellschaft mbH, Weinbergweg 23, D-06120 Halle, Germany,
registered under HRB 14769 at the trade court of Stendal; hereinafter “Novosom”, each referred to as a “Party”
and collectively as the “Parties”.

 

	WHEREAS,	Marina
    and Novosom ( in form of its predecessor Novosom AG) have entered into an Asset Purchase Agreement on July 27th 2010, wherein
    Marina acquired an intellectual property estate. A current list of that intellectual property is attached in Exhibit
    0.1 hereto and is the “Intellectual Property” of this Agreement.
	 	 
	WHEREAS,	Marina
    has, in a period between July 27th, 2010 and the Effective Date or the instant Agreement, licensed the Smarticles
    Technology, to licensees and having a scope as listed in Exhibit 0.2 hereto (hereinafter the “Marina
    Licenses”).
	 	 
	WHEREAS,	Marina
    has an ongoing payment obligation towards Novosom resulting from said Asset Purchase Agreement (the “Marina Obligation”).
    The Marina Obligation is payable in cash or stock at the sole discretion of Marina at a rate of 30% from any licensing income
    based on the Smarticles Technology or payable in full upon any sale of the Smarticles Technology.
	 	 
	WHEREAS,	Marina
    has changed its business focus away from delivery technologies and Novosom is interested in acquiring the Intellectual Property.

 

NOW,
THEREFORE, the Parties hereby enter into this Agreement to sell the Intellectual Property from Marina back to Novosom,
to terminate the Asset Purchase Agreement and to regulate existing and future payment obligations.

 

	1.	Status
    of Intellectual Property
	 	 
	1.1.	Marina
    confirms that Exhibit 0.1 is a correct and complete list of the Intellectual Property to be sold and that Exhibit 0.1 reflects
    the correct status of all national or regional applications.
	 	 
	1.2.	Marina
    confirms that the Intellectual Property listed in Exhibit 0.1 is in good standing, that no other fees than those listed in
    Exhibit 0.3 are due on or before Dec 31st, 2017.

 

    	 

    	Page | 2

    

 

 

	2.	Licenses
    issued by Marina and historic payments
	 	 
	2.1.	Marina
    confirms that the Marina Licenses listed in Exhibit 0.2 represent a complete list of all licenses that relate to the Smarticles
    Technology and were issued by Marina; that no such license has been cancelled or withdrawn and that the scope of said licenses
    is properly described.
	 	 
	2.2.	Novosom
    confirms that certain payments under section 2.04(b) of the Asset Purchase Agreement have been received. However, Novosom
    claims outstanding payments for use of the Intellectual Property by Marina before the Effective Date at least as listed in
    Exhibit 0.4.
	 	 
	2.3.	Marina
    confirms that the list of outstanding payments in Exhibit 0.4 is correct and complete and that any outstanding payments will
    be made within 30 days, but no later than October 30th, 2017.
	 	 
	3.	 Purchase
    Price and Other Conditions
	 	 
	3.1.	As
    consideration for the acquired Intellectual Property, Novosom shall pay to Marina 1$ (One US Dollar).
	 	 
	3.2.	Entering
    into this Agreement terminates the Asset Purchase Agreement between the Parties.
	 	 
	3.3.	Entering
    into this Agreement shall cease the payment obligations of Marina under section 2.04 (b) of the Asset Purchase Agreement arising
    after the Effective Date. For clarity, the payment obligations according to section 2.3 of the instant Agreement will remain.
	 	 
	4.	Consummation
    of the Purchase and Further Assistance
	 	 
	4.1.	Novosom,
    by entering into this Agreement will have all rights on the Intellectual Property as an owner would have.
	 	 
	4.2.	Marina
    confirms that the sale of the Intellectual Property to Novosom is complete and exclusive. Marina does not retain any rights
    or ownership of the Intellectual Property or of parts thereof. Marina as of the Effective Date, will neither use, have used,
    maintain, have maintained or license the Intellectual Property or parts thereof and Marina confirms that no further licenses
    have been issued between August 1st, 2017 and the Effective Date.
	 	 
	4.3.	This
    Agreement is entered under the condition precedent that both Parties sign a separate patent assignment essentially in the
    form as shown in Exhibit 1.0.
	 	 
	5.	Confidentiality
	 	 
	5.1.	The
    terms and conditions described in this Agreement (“Confidential Information”) shall be confidential and
    shall not be disclosed to any third party. Either Party may disclose any Confidential Information to such employees, professional
    advisers, banks, funding bodies, shareholders, consultants, and/or officers of itself and its affiliates as are reasonably
    necessary to advise on this agreement, or to facilitate the transactions provided for in this agreement, provided the disclosing
    party procures that the people to whom the information is disclosed keep it confidential as if they were that party.

 

    	 

    	Page | 3

    

 

	6.	Miscellaneous
	 	 
	6.1.	If
    individual binding sections of this Agreement are wholly or in part invalid, the other binding sections shall retain their
    validity. The ineffective sections shall be deemed replaced by the provision the Parties would have agreed had they been aware
    of the invalidity of the section concerned.
	 	 
	6.2.	Insofar
    as permissible, exclusive jurisdiction for all disputes arising from and in connection with this Agreement shall be the Court
    of Jurisdiction in Halle/S., Germany. The laws of Germany shall apply exclusively, ousting its provisions concerning private
    international law.
	 	 
	 	IN
    WITNESS WHEREOF, the Parties hereto have caused this Agreement to be executed as of the date first written above by their
    duly authorized representatives.

 

[Reminder
of this page is intentionally left in blank]

 

    	 

    	Page | 4

    

 

	Marina
    Biotech Inc	Date:	September
    8, 2017
	 	 	 
	/s/
    Joseph W. Ramelli	 	 
	Authorized
    Representative	 	 
	 	 	 
	Novosom
    Verwaltungsgesellschaft mbH	Date:	September
    8, 2017
	 	 	 
	/s/
    Steffen Panzner	 	 
	Authorized
    Representative

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