Document:

Exhibit 10.5

 

AMENDED AND RESTATED

 

LIMITED LIABILITY COMPANY AGREEMENT

 

OF

 

TRIPLE ROYALTY SUB II LLC

 

THIS AMENDED AND RESTATED
LIMITED LIABILITY COMPANY AGREEMENT, dated as of February 28, 2020 (together with the schedules and exhibit attached hereto, as
the same may be amended or otherwise modified from time to time, this “Agreement”), of Triple Royalty Sub II
LLC, a Delaware limited liability company (the “Company”), is entered into by Theravance Biopharma R&D,
Inc. (“Theravance Biopharma R&D”), a Cayman Islands exempted company, as the initial sole equity member
(together with its successors and assigns in such capacity pursuant to Section 22 hereof, the “Member”)
of the Company.

RECITAL

 

WHEREAS, the Company
was duly formed under the Delaware Limited Liability Company Act (6 Del. C. § 18-101 et seq.), as amended from time to time
(the “Act”), pursuant to a Certificate of Formation previously filed with the Office of the Secretary of State
of the State of Delaware on February 12, 2020 (the “Certificate of Formation”) and governed by the Limited Liability
Company Agreement of the Company, dated as of February 12, 2020 (the “Original LLC Agreement”); and

 

WHEREAS, the Member desires
to amend and restate the Original LLC Agreement in its entirety;

 

NOW THEREFORE, the Original
LLC Agreement is hereby amended and restated in its entirety and the Company shall continue its existence pursuant to the following
terms.

 

Capitalized terms used
and not otherwise defined herein shall have the respective meanings set forth or referenced on Schedule A hereto.

 

Section 1.         Formation.

 

The Member has previously
formed the Company as a limited liability company pursuant to and in accordance with the Act. A certificate of formation for the
Company as described in Section 18-201 of the Act has been filed in the Office of the Secretary of State of the State of Delaware
in conformity with the Act under the name “Triple Royalty Sub II LLC” on February 12, 2020 by Deborah M. Reusch as
an “authorized person” within the meaning of the Act. The Member, by execution of this Agreement, hereby ratifies and
approves the execution, delivery and filing of the Certificate of Formation of the Company in such manner. Upon the execution of
this Agreement, Deborah M. Reusch’s authority as an “authorized person” within the meaning of the Act shall cease
and the Member shall be designated as an “authorized person” within the meaning of the Act to execute, deliver and
file, or cause the execution, delivery and filing of, all certificates (and any amendments and/or restatements thereof) required
by the Act. In connection therewith, the Company and, if required, the Member, in its capacity as the “authorized person”
within the meaning of the Act to take such actions, shall execute and deliver or cause to be executed and delivered from time to
time all other instruments, certificates, notices and documents and shall do or cause to be done all such acts and things (including
keeping books and records and making publications or periodic filings) as may now or hereafter be required for the formation, valid
existence and, when appropriate, termination of the Company as a limited liability company under the laws of the State of Delaware.

 

     

     

    

 

Section 2.       
Name.

 

The name of the limited
liability company shall be “Triple Royalty Sub II LLC” and its business shall be carried on in such name with such
variations and changes as the Board shall determine or deem necessary to comply with requirements of the jurisdictions in which
the Company’s operations are conducted.

 

Section 3.       
Principal Business Office.

 

The principal business
office of the Company is c/o Theravance Biopharma US, Inc., 901 Gateway Boulevard, South San Francisco, California 94080, or such
other location as may hereafter be determined by the Board from time to time. The Board may, from time to time, change the Company’s
principal business office and may establish such other place or places of business within or without the State of Delaware as the
Board may deem advisable.

 

Section 4.       
Registered Office.

 

The address of the registered
office of the Company in the State of Delaware is c/o Incorporating Services, Ltd., 3500 South DuPont Highway, Dover, Kent County,
19901. The Board may, from time to time, change the Company’s registered office and shall forthwith amend the Certificate
of Formation to reflect such change.

 

Section 5.       
Registered Agent.

 

The name and address
of the registered agent of the Company for service of process on the Company in the State of Delaware is Incorporating Services,
Ltd., 3500 South DuPont Highway, Dover, Kent County, Delaware 19901. The Board may, from time to time, change the Company’s
registered agent and shall forthwith amend the Certificate of Formation to reflect such change.

 

Section 6.       Member;
Special Members; No Liability.

 

(a)   
  The name and the mailing address of the Member as of the date hereof are set forth on Schedule B attached
hereto.

 

(b)    Subject
to Section 10(j), the Member may act by written consent.

 

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(c)    
From the date each Indenture is entered into by the Company until such date as each such Indenture has been satisfied and
discharged in full in accordance with its terms, upon the resignation or dissolution of the Member or any other event that causes
the Member to cease to be a member of the Company (other than upon the continuation of the Company without dissolution upon the
transfer (in one or more transactions) by the Member of 100% of its membership interest in the Company in accordance with the provisions
of this Agreement or any other circumstance in which there is already another Member of the Company in accordance with the provisions
of this Agreement), each Person acting as an Independent Manager pursuant to Section 11 who (i) shall have been appointed
from time to time in the manner provided in Section 11, (ii) shall have executed the Management Agreement in the form attached
as Schedule C to this Agreement (which, following the date hereof, may be in the form of a counterpart signature page to
the Management Agreement) and (iii) shall initially be Albert J. Fioravanti and Leonard J. Padula, shall, without any action of
any Person and simultaneously with the Member ceasing to be a member of the Company, automatically be admitted to the Company as
a Special Member and shall continue the Company without dissolution. Prior to the occurrence of any such event and admission to
the Company as a Special Member, no Person acting as an Independent Manager shall be a member of the Company nor shall such Person
have any rights or obligations under this Agreement, except (A) his or her duties and obligations as an Independent Manager pursuant
to this Agreement and (B) his or her obligation to become a Special Member and be admitted to the Company upon the occurrence of
the conditions specified in this Section 6(c). No Special Member may resign from the Company or transfer his or her rights
or obligations as Special Member unless (1) a successor Special Member has been admitted to the Company as a Special Member by
executing a counterpart to this Agreement and (2) such successor has also accepted his or her appointment as an Independent Manager
pursuant to Section 11; provided, that each Special Member shall automatically cease to be a member (but not an Independent
Manager) of the Company upon the admission to the Company of a substitute Member pursuant to Section 22(b), appointed by
the personal representative of the Person that had been the last remaining Member. In the event that such personal representative
fails to appoint a substitute Member pursuant to Section 22(b) as promptly as commercially practicable after the admission
of the Special Members as Special Members of the Company, the Special Members shall appoint a Person as a substitute Member as
promptly as commercially practicable. Upon admission to the Company, each Special Member shall be a member of the Company that
has no interest in the profits, losses and capital of the Company and has no right to receive any distributions of the property
or assets of the Company. Pursuant to Section 18-301 of the Act, a Special Member shall not be required to make any capital contributions
to the Company and shall not receive a limited liability company interest in the Company. A Special Member, in his or her capacity
as Special Member, may not bind the Company. Except as required by any mandatory provision of the Act, a Special Member, in his
or her capacity as Special Member, shall have no right to vote on, approve or otherwise consent to any action by, or matter relating
to, the Company, including, without limitation, any Specified Action. In order to implement the admission to the Company of a Special
Member, each Person acting as an Independent Manager pursuant to Section 11 and who is designated to be a Special Member
in accordance with this Section 6(c) shall execute a counterpart signature page to this Agreement upon becoming a Special
Member pursuant to this Section 6(c).

 

(d)    All debts, obligations and liabilities of the Company, whether arising in contract, tort or otherwise, shall be solely the
debts, obligations and liabilities of the Company, and neither the Member nor any Special Member shall be obligated personally
for any such debt, obligation or liability of the Company solely by reason of being the Member or a Special Member.

 

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Section 7.       
Authorized Person; Filings; Term of Existence; Fiscal Year.

 

The Member shall be the
designated “authorized person” within the meaning of the Act. The Member or an Officer shall execute, deliver and file
any certificates (and any amendments and/or restatements thereof) necessary for the Company to qualify to do business in any jurisdiction
in which the Company may wish to conduct business. The existence of the Company as a separate legal entity shall continue until
the cancellation of the Certificate of Formation as provided in the Act. The “Fiscal Year” of the Company shall
be from January 1st to December 31st of each year.

 

Section 8.      
 Purposes.

 

(a)     Subject
to Section 10(j), the purposes of the Company are to engage in the following activities:

 

(i)    
   to purchase or otherwise acquire, hold, own, service, sell, transfer, assign, participate, pledge, collateralize,
securitize and otherwise monetize, in whole or in part, the assets of the Company;

 

(ii)     
  to authorize, issue, sell and deliver the Notes pursuant to the Indenture and to pledge the assets of the Company to the
Indenture Trustee to secure its obligations thereunder;

 

(iii)    
to appoint the Servicer to manage and service its assets and other property pursuant the Servicing Agreement;

 

(iv)    
to enter into and exercise its rights and perform its duties and obligations under the TRC LLC Agreement and the Transaction
Documents to which it is or becomes a party and any other agreement, instrument, order, certificate, notice, financing statement
or other document entered into or delivered in connection therewith or contemplated thereby and to exercise any rights given to
it under the TRC LLC Agreement and any Transaction Document or the other documents, instruments, agreements, certificates or financing
statements contemplated thereby;

 

(v)     
to hire and appoint such employees (in addition to the Managers and Officers) as the Board may determine are necessary and
appropriate in order to permit the Company to engage in its activities; and

 

(vi)    
to engage in all such other activities and to exercise all such other powers permitted to limited liability companies under
the Act that are incidental to or connected with the foregoing business or purposes or necessary or desirable to accomplish the
foregoing.

 

The Company shall not
engage in any activity other than in connection with the foregoing or other than as required or authorized by this Agreement or
the TRC LLC Agreement and any Transaction Documents to which it is a party.

 

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(b)   
The Company, by or through any Manager or any Officer on behalf of the Company, may execute, deliver, enter into and perform
the TRC LLC Agreement, the Transaction Documents and all other agreements, instruments, orders, certificates, notices, financing
statements and other documents contemplated thereby or related thereto, all without any further act, vote or approval of the Member
or any Manager or Officer notwithstanding any other provision of this Agreement, the Act or applicable law, rule or regulation.
The foregoing authorization shall not be deemed a restriction on the powers of any Manager or any Officer to enter into agreements,
instruments, orders, certificates, notices, financing statements and other documents on behalf of the Company.

 

Section 9.        Powers.

 

Subject to Section
10(j), the Company shall have and exercise (a) all powers and rights necessary, convenient or incidental to accomplish its
purposes as set forth in Section 8 and (b) all powers and rights conferred upon limited liability companies formed pursuant
to the Act.

 

Section 10.     
Management.

 

(a)    
Board of Managers. The business and affairs of the Company shall be managed by or under the direction of a Board
of five or more Managers. The Member shall designate, appoint and elect each Manager. Each Manager is hereby designated as a “manager”
of the Company within the meaning of Section 18-101(10) of the Act. Subject to Section 11, the Member may determine at any
time in its sole and absolute discretion the number of Managers to constitute the Board. The authorized number of Managers may
be increased or decreased by the Member at any time in its sole and absolute discretion, upon notice to all Managers, and subject
in all cases to Section 11. The initial number of Managers shall be five, two of which shall be Independent Managers pursuant
to Section 11. Each Manager elected, designated or appointed shall hold office until a successor is elected and qualified
or until such Manager’s earlier death, resignation or removal. Each Manager shall execute and deliver the Management Agreement.
Managers need not be Members. The initial Managers hereby designated by the Member are listed in Schedule B hereto.

 

(b)    
Powers. Subject to Section 10(j), the Board of Managers shall have the power to do any and all acts necessary,
convenient or incidental to or for the furtherance of the purposes described herein, including all powers, statutory or otherwise.
Except as otherwise provided in any other provision of this Agreement, the Board of Managers shall have the authority to bind the
Company pursuant to a resolution expressly authorizing any matter which resolution is duly adopted by an affirmative vote of a
majority of the Board not including the Independent Managers, or as otherwise required by this Agreement. An individual Manager
shall not have the authority to bind the Company to any matter involving a third party without the affirmative vote of a majority
of the Board or as otherwise required pursuant to this Agreement.

 

(c)    
Meeting of the Board of Managers. The Board of Managers may hold meetings, both regular and special, within or outside
the State of Delaware. Regular meetings of the Board may be held without notice at such time and at such place as shall from time
to time be determined by the Board. Special meetings of the Board may be called by the President on not less than one day’s
notice to each Manager that has authority hereunder to participate in the meeting by telephone, facsimile, mail, telegram, email
or any other means of communication, and special meetings shall be called by the President or Secretary in like manner and with
like notice upon the written request of any one or more of the Managers that has authority hereunder to participate in the meeting;
provided, that the provisions of this Section 10(c) shall not apply to Independent Managers unless the action considered
at such Board meeting requires the vote of the Independent Managers, provided, further, that Managers may waive the
right to notice in accordance with this Section 10(c).

 

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(d)   
Quorum; Acts of the Board. At all meetings of the Board in respect of matters expressly requiring the consent or
approval of the Independent Managers, a majority of the Managers (which majority must include a majority of the Managers other
than the Independent Managers) shall constitute a quorum for the transaction of business and, except as otherwise provided in any
other provision of this Agreement, the act of a majority of the Managers present at any meeting at which there is a quorum shall
be the act of the Board (which majority must include a majority of the Managers other than the Independent Managers). At all other
meetings of the Board, a majority of the Managers other than the Independent Managers shall constitute a quorum for the transaction
of business, and, except as otherwise provided in any other provision of this Agreement, the act of a majority of the Managers
present at such meeting excluding the Independent Managers shall be the act of the Board. If a quorum shall not be present at any
meeting of the Board, the Managers present at such meeting may adjourn the meeting from time to time, without notice other than
announcement at the meeting, until a quorum shall be present. Any action required or permitted to be taken at any meeting of the
Board or of any committee thereof may be taken without a meeting if the same number of members of the Board or committee with authority
hereunder to vote on such matter, as the case may be, as would be required to consent to such action at a meeting of the Board,
or of any committee thereof, consent thereto in writing, and the writing or writings are filed with the minutes of proceedings
of the Board or committee. Where the consent or approval of the Independent Managers would be required to approve an action at
a meeting of the Board, the written consent of the Independent Managers shall also be required to approve such action by written
consent, and where the consent or approval of the Independent Managers would not be required to approve an action at a meeting
of the Board, the written consent of the Independent Managers shall not be required to approve such action by written consent.
Notwithstanding anything in the Act or this Agreement to the contrary, the Independent Managers may only act, vote or otherwise
participate in the business of the Company to the extent of the matters expressly requiring the approval of the Independent Managers
pursuant to this Agreement. In all cases where the approval of the Independent Managers is not expressly required pursuant to this
Agreement, the Independent Managers shall not be entitled to notice of the meetings of the Board, shall not be entitled to attend
meetings of the Board and shall not count at meetings of the Board for purposes of constituting a quorum.

 

(e)    
Electronic Communications. Members of the Board, or any committee designated by the Board, may participate in meetings
of the Board, or any committee, by means of telephone conference or similar communications equipment that allows all persons participating
in the meeting to hear each other, and such participation in a meeting shall constitute presence in person at the meeting. If all
the participants are participating by telephone conference or similar communications equipment, the meeting shall be deemed to
be held at the principal place of business of the Company.

 

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(f)     
Committees of Managers.

 

(i)        The Board may, by resolution passed by a majority of the whole Board, designate one or more committees, each committee to
consist of one or more of the Managers of the Company; provided, that the majority of the whole Board shall be required
only if the committee so designated will deliberate matters that require the vote of the Independent Managers, otherwise,
such resolutions may be passed by the majority of the Board other than the Independent Managers. The Board may designate one or
more Managers as alternate members of any committee, who may replace any absent or disqualified member at any meeting of the committee.

 

(ii)       
In the absence or disqualification of a member of a committee, the member or members thereof present at any meeting and
not disqualified from voting, whether or not such members constitute a quorum, may unanimously appoint another member of the Board
to act at the meeting in the place of any such absent or disqualified member; provided, that any non-Independent Manager
that is absent or has been disqualified may be replaced with another non-Independent Manager unless the majority of the non-Independent
Managers agree otherwise.

 

(iii)      
Subject to Section 10(j), any such committee, to the extent provided in the resolution of the Board, shall have and
may exercise all the powers and authority of the Board in the management of the business and affairs of the Company. Such committee
or committees shall have such name or names as may be determined from time to time by resolution adopted by the Board. Each committee
shall keep regular minutes of its meetings and report the same to the Board when required.

 

(g)    
Compensation of Managers; Expenses. The Board shall have the authority to fix the compensation of Managers. The Managers
may be paid their expenses, if any, of attendance at meetings of the Board, which may be a fixed sum for attendance at each meeting
of the Board or a stated salary as Manager. No such payment shall preclude any Manager from serving the Company in any other capacity
and receiving compensation therefor. Members of special or standing committees may be allowed like compensation for attending committee
meetings.

 

(h)    
Removal of Managers. Subject to Section 11, unless otherwise restricted by law, any Manager or the entire
Board of Managers may be removed, with or without cause, at any time by the Member. Any vacancy caused by any such removal may
be filled by action of the Member. Except as provided in this Agreement, a Manager may not bind the Company.

 

(i)     
Managers as Agents. To the extent of their powers set forth in this Agreement and subject to Section 10(j),
the Managers are agents of the Company for the purpose of the Company’s business, and the actions of the Managers taken in
accordance with such powers set forth in this Agreement shall bind the Company.

 

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(j)     
Limitations on the Company’s Activities.

 

(i)     
This Section 10(j) is being adopted in order to comply with certain provisions required in order to qualify the Company
as a “special purpose entity.”

 

(ii)     
Notwithstanding any other provision of this Agreement or any provision of law that otherwise so empowers the Company, the
Member or the Board, from the date each Indenture is entered into by the Company until such date as each such Indenture has been
satisfied and discharged in full in accordance with its terms, the Member shall not be authorized or empowered to amend, alter,
change or repeal Sections 6(c), 8, 9, 10, 11, 19, 20, 23, 24, 25
or the definition of “Independent Manager” set forth in Schedule A of this Agreement without the unanimous written
consent of the Board (including both Independent Managers). Subject to this Section 10(j), the Member may amend, alter,
change or repeal any provisions contained in this Agreement without the consent of the Board pursuant to Section 30.

 

(iii)   
Notwithstanding any other provision of this Agreement or any provision of law that otherwise so empowers the Company, the
Member or the Board, from the date each Indenture is entered into by the Company until one year and one day after such dates as
each such Indenture entered into by the Company has been satisfied and discharged in full in accordance with its terms, neither
the Member nor the Board shall take any Specified Action without the unanimous written consent of the Board (including both Independent
Managers) and, in the case of the Board, without the prior written consent of the Member.

 

(iv)    
Each Manager agrees, solely in its, his or her capacity as a creditor of the Company on account of any indemnification or
other payment owing to such Manager by the Company, not to acquiesce, petition or otherwise invoke or cause the Company to invoke
the process of any court or governmental authority for the purpose of commencing or sustaining a case against the Company under
any federal or state bankruptcy, insolvency or similar law or appointing a receiver, liquidator, assignee, trustee, custodian,
sequestrator or other similar official of the Company or any substantial part of the property of the Company, or ordering the winding
up or liquidation of the affairs of the Company.

 

(v)    
The Board and the Member shall cause the Company to do or cause to be done all things necessary to preserve and keep in
full force and effect its existence, rights (charter and statutory) and franchises; provided, that the Company shall not
be required to preserve any such right or franchise if the Board shall determine that the preservation thereof is no longer desirable
for the conduct of its business. The Board shall cause the Company to be operated in such a manner as the Board deems reasonable
and necessary or appropriate to preserve the limited liability of the Member, the separateness of the Company from the business
and affairs of the Member or any Affiliate of the Member (other than the Company), and until one year and one day after the last
remaining Notes are paid in full, the special purpose bankruptcy remote status of the Company. Without limitation of the foregoing,
from the date each Indenture is entered into by the Company until such date as each such Indenture entered into by the Company
has been satisfied and discharged in full in accordance with its terms, the Board shall cause the Company to:

 

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(1)            hold
itself out to the public and all other Persons as a legal entity separate from the Member and any other Person and conduct its
own business in its own name and require that all full-time employees of the Company, if any, identify themselves as employees
of the Company;

 

(2)          
maintain the Company’s books, records and bank accounts separate from those of the Member and any other Person and
otherwise in such a manner so that such books and records are readily identifiable as its own assets rather than assets of the
Member or any such Person;

 

(3)           maintain separate financial statements, showing its assets and liabilities separate and apart from those of any other Person
and not have its assets listed on any financial statement of any other Person; provided, however, that the Company’s assets
may be included in a consolidated financial statement of its Affiliates; provided that (A) appropriate notation shall be made on
such consolidated financial statements to indicate the separateness of the Company from any such Affiliate and to indicate that
the Company’s assets and credit are not available to satisfy the debts and other obligations of any such Affiliate or any
other company and (B) such assets shall also be listed on the Company’s own separate balance sheet;

 

(4)           file its own tax returns, if any, as may be required under applicable law, to the extent it is (A) not part of a consolidated
group filing a consolidated return or returns or (B) not treated as a division, for tax purposes, of another taxpayer or otherwise
disregarded for tax purposes, and pay any taxes so required to be paid under applicable law;

 

(5)           allocate
fairly and reasonably any taxes and any overhead expenses that are shared with an Affiliate, including for shared office space
and for services performed by an employee of an Affiliate;

 

(6)          
not commingle its assets with assets of any other Person;

 

(7)          
maintain an arm’s-length relationship with the Member and its other Affiliates;

 

(8)         
pay out of its own funds and assets its indebtedness and other liabilities, including the salaries of its officers and employees,
its operating expenses and the fees and expenses of its agents;

 

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(9)          maintain a sufficient number of employees in light of its contemplated business operations;

 

(10)      
maintain at all times adequate capital in light of its contemplated business operations and liabilities and refrain from
making any distributions or other payments in respect of its membership interests (including any repurchase of membership interests
or return of capital) that would cause it to have inadequate capital;

 

(11)        
not hold out its credit as being available to satisfy the obligations of others;

 

(12)        
not acquire obligations or securities of the Member;

 

(13)        
use separate stationery, invoices, checks, other business forms and telephone and facsimile numbers from those of any other
Person;

 

(14)        
correct any known misunderstanding regarding its separate existence and identity;

 

(15)        
have a Board composed differently from that of the Member and any other Person;

 

(16)       
cause its Board of Managers to meet at least annually or act pursuant to written consent and keep minutes of such meetings
and actions and observe all other Delaware limited liability company formalities;

 

(17)       
direct its officers, Managers (other than its Independent Managers), agents and other representatives to act at all times
in the best interest of the Company and its Member and direct its Independent Managers to act at all times in the best interest
of the Company and its Member and creditors;

 

(18)        
cause its officers and Managers, to the extent permitted by law, until one year and one day after the last remaining Notes
are paid in full, to make decisions with respect to the business and daily operations of the Company pursuant to the direction
of the Board, in adherence to all organizational formalities of the Company and as required for preservation of its status as a
distinct entity; and

 

(19)         
observe all limited liability company formalities required by this Agreement and the Act.

 

(vi)    
The Board shall not cause or permit the Company to:

 

(1)          
guarantee any obligation of any Person, including any Affiliate of the Company; or

 

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(2)          
incur, create or assume any indebtedness other than as permitted by this Agreement, the TRC LLC Agreement and the Transaction
Documents to which the Company is a party.

 

Any failure of the
Company to comply with any of the covenants in this Section 10(j) shall not affect the status of the Company as a separate
legal entity or the limited liability of the Member, the Special Member and Managers.

 

Section 11.    
Independent Managers.

 

(a)   
From the date each Indenture is entered into by the Company until such date as each such Indenture entered into by the Company
has been satisfied and discharged in full in accordance with its terms, the Member shall cause the Company at all times to have
at least two Independent Managers, each of whom shall be appointed by the Member. All right, power and authority of the Independent
Managers shall be limited to the extent necessary to exercise those rights and perform those duties specifically set forth in this
Agreement. The Independent Managers shall not delegate their rights, duties, authorities or responsibilities hereunder. To the
fullest extent permitted by law, including, without limitation, Section 18-1101(c) of the Act, each of the Independent Managers
shall consider only the interests of the Company and its Member and creditors in acting or otherwise voting on matters subject
to the vote of the Board of Managers that require the approval of the Independent Managers. In exercising their rights and performing
their duties under this Agreement, the Independent Managers shall have a fiduciary duty of loyalty and care to the Company and
its Member and creditors similar to that of a director of a business corporation organized under the General Corporation Law of
the State of Delaware. No Independent Manager shall at any time serve as a trustee in bankruptcy for the Company or any of its
Affiliates. Except as provided in this Agreement, an Independent Manager shall not bind the Company. Notwithstanding anything in
the Act or this Agreement to the contrary, the Independent Managers may only act, vote or otherwise participate in the business
of the Company to the extent of the matters expressly requiring the approval of the Independent Managers pursuant to this Agreement.
In all cases where the approval of the Independent Managers is not expressly required pursuant to this Agreement, the Independent
Managers shall not be entitled to notice of the meetings of the Board, shall not be entitled to attend meetings of the Board and
shall not count at meetings of the Board for purposes of constituting a quorum. To the fullest extent permitted by law, including
Section 18-1101(e) of the Act, an Independent Manager shall not be liable to the Company, the Member or any other Person bound
by this Agreement for breach of contract or breach of duties (including fiduciary duties), unless the Independent Manager acted
in bad faith or engaged in willful misconduct.

 

(b)    
From the date each Indenture is entered into by the Company until such date as each such Indenture entered into by the Company
has been satisfied and discharged in full in accordance with its terms, the Independent Managers may be removed by the Member or
the Board with or without cause. From the date each Indenture is entered into by the Company until such date as each such Indenture
entered into by the Company has been satisfied and discharged in full in accordance with its terms, to the fullest extent permitted
by law, no resignation or removal of an Independent Manager, and no appointment of a successor Independent Manager, shall be effective
until the successor Independent Manager shall have accepted its appointment by a written instrument, which may be a counterpart
signature page to the Management Agreement. In the event of any vacancy in the position of Independent Manager from the date each
Indenture is entered into by the Company until such date as each such Indenture entered into by the Company has been satisfied
and discharged in full in accordance with its terms, (x) the Member shall appoint a substitute Independent Manager as promptly
as commercially practicable thereafter, and (y) until there are at least two Independent Managers appointed in the manner provided
herein the Board shall not vote on any matter requiring the approval of the Independent Managers. The Member shall provide not
less than ten (10) calendar days’ prior written notice to the Company of the replacement or appointment of any Manager that
is to serve as an Independent Manager for purposes of this Agreement. As a condition to the effectiveness of any such replacement
or appointment, the Member shall certify to the Company that the designated Person satisfied the criteria set forth in the definition
of “Independent Manager” and the Board shall acknowledge in writing, that in the Board’s reasonable judgment,
the designated Person satisfies the criteria set forth in the definition of “Independent Manager.” From the date each
Indenture is entered into by the Company until such date as each such Indenture entered into by the Company has been satisfied
and discharged in full in accordance with its terms, the failure of the Member to comply with the procedures applicable to any
replacement or appointment of an Independent Manager set forth in this Section 11 shall cause the appointment or replacement
to be null and void for all purposes under this Agreement.

 

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(c)   The provisions of this Section 11 shall only apply and the Company shall be required to maintain Independent Managers
from the date each Indenture is entered into by the Company until such date as each such Indenture entered into by the Company
has been satisfied and discharged in full in accordance with its terms.

 

Section 12.    
Officers.

 

(a)  
Officers. The Officers of the Company shall consist of at least a President, a Secretary and a Treasurer. The Officers
of the Company as of the date hereof are listed in Schedule B hereto. The Board of Managers or the Member may also choose
a Chief Financial Officer and a General Counsel (or an Associate General Counsel) and one or more Vice Presidents, Assistant Secretaries,
Assistant Treasurers and Assistant General Counsel in addition to the initial Officers appointed by the Member. Any number of offices
may be held by the Member or the same person except that the President and the Secretary may not be the same person. The Board
or the Member shall choose a President, a Secretary and a Treasurer following the resignation or removal of the initial Officers
appointed by the Member. The Board or the Member may appoint such other Officers and agents as it shall deem necessary or advisable
who shall hold their offices for such terms and shall exercise such powers and perform such duties as shall be determined from
time to time by the Board. The salaries of all Officers and agents of the Company, if any, shall be fixed by or in the manner prescribed
by the Board. The Officers of the Company shall hold office until their successors are chosen and qualified. Any Officer elected
or appointed by the Member or the Board may be removed at any time, with or without cause, by the affirmative vote of a majority
of the Board. Any vacancy occurring in any office of the Company shall be filled by the Board.

 

(b)   President. The President shall be the chief executive officer of the Company, shall preside at all meetings of the
Company, if any, and the Board, shall be responsible for the general and active management of the business of the Company and shall
see that all orders and resolutions of the Board are carried into effect. The President shall execute all bonds, mortgages and
other contracts, except: (i) where required or permitted by law or this Agreement to be otherwise signed and executed, including
Section 8(b); (ii) where signing and execution thereof shall be expressly delegated by the Board to some other Officer or
agent of the Company; and (iii) as otherwise permitted in Section 12(c).

 

    12 

     

    

 

(c)    Vice President. In the absence of the President or in the event of the President’s inability to act, the Vice
President, if any (or in the event there be more than one Vice President, the Vice Presidents in the order designated by the Managers,
or in the absence of any designation, then in the order of their election), shall perform the duties of the President, and when
so acting, shall have all the powers of and be subject to all the restrictions upon the President. The Vice Presidents, if any,
shall perform such other duties and have such other powers as the Board may from time to time prescribe.

 

(d)   Secretary
and Assistant Secretary. The Secretary shall be responsible for filing legal documents and maintaining records for the Company
except to the extent that such duties are allocated to the Chief Financial Officer, General Counsel, Associate General Counsel
and/or Assistant General Counsel, if any. The Secretary shall attend all meetings of the Board and all meetings of the Company,
if any, and record all the proceedings of the meetings of the Company and of the Board in a book to be kept for that purpose and
shall perform like duties for the standing committees when required. The Secretary shall give, or cause to be given, notice of
all meetings of the Company, if any, and special meetings of the Board, and shall perform such other duties as may be prescribed
by the Board or the President, under whose supervision the Secretary shall serve. The Assistant Secretary, or if there be more
than one, the Assistant Secretaries in the order determined by the Board (or if there be no such determination, then in order
of their election), shall, in the absence of the Secretary or in the event of the Secretary’s inability to act, perform
the duties and exercise the powers of the Secretary and shall perform such other duties and have such other powers as the Board
may from time to time prescribe.

 

(e)    Treasurer and Assistant Treasurer. The Treasurer shall have the custody of the Company funds and securities and shall
keep full and accurate accounts of receipts and disbursements in books belonging to the Company and shall deposit all moneys and
other valuable effects in the name and to the credit of the Company in such depositories as may be designated by the Board. The
Treasurer shall disburse the funds of the Company as may be ordered by the Board, taking proper vouchers for such disbursements,
and shall render to the President and to the Board, at its regular meetings or when the Board so requires, an account of all of
the Treasurer’s transactions and of the financial condition of the Company. The Assistant Treasurer, or if there shall be
more than one, the Assistant Treasurers in the order determined by the Board (or if there be no such determination, then in the
order of their election), shall, in the absence of the Treasurer or in the event of the Treasurer’s inability to act, perform
the duties and exercise the powers of the Treasurer and shall perform such other duties and have such other powers as the Board
may from time to time prescribe. Any of the duties of the Treasurer and Assistant Treasurer described in this clause (e) may also
be performed by the Chief Financial Officer, if any.

 

(f)    Officers as Agents. The Officers, to the extent of their powers set forth in this Agreement or otherwise vested in
them by action of the Board not inconsistent with this Agreement, are agents of the Company for the purpose of the Company’s
business, and, subject to Section 10(j), the actions of the Officers taken in accordance with such powers shall bind the
Company.

 

    13 

     

    

 

(g)   
Duties of Board and Officers. Except to the extent otherwise provided herein, each Manager and Officer shall have
a fiduciary duty of loyalty and care similar to that of directors and officers of business corporations organized under the General
Corporation Law of the State of Delaware.

 

Section 13.     
Limited Liability.

 

Except as otherwise expressly
provided by the Act, the debts, obligations and liabilities of the Company, whether arising in contract, tort or otherwise, shall
be the debts, obligations and liabilities solely of the Company, and none of the Member, the Special Members or any Manager shall
be obligated personally for any such debt, obligation or liability of the Company solely by reason of being the Member, the Special
Member or a Manager of the Company.

 

Section 14.     
Capital Contributions.

 

The Member will be deemed
admitted as the Member of the Company upon the execution and delivery of this Agreement. The Member has made a capital contribution
to the Company listed on Schedule B attached hereto. In accordance with Section 6(c), the Special Members shall not
be required to make any capital contributions to the Company.

 

Section 15.     Additional Contributions.

 

The Member is not required
to make any additional capital contribution to the Company. The Member may make additional capital contributions to the Company
at any time. The Member shall maintain records setting forth in reasonable detail any additional capital contributions made by
the Member to the Company. The provisions of this Agreement, including this Section 15, are intended solely to benefit the
Member and, to the fullest extent permitted by law, shall not be construed as conferring any benefit upon any creditor of the Company
(and no such creditor of the Company shall be a third-party beneficiary of this Agreement) and the Member shall not have any duty
or obligation to any creditor of the Company to make any contribution to the Company or to issue any call for capital pursuant
to this Agreement.

 

Section 16.   
Allocation of Profits and Losses; Tax Treatment.

 

(a)   
For financial accounting and tax purposes, the Company’s net profits or net losses shall be determined on an annual
basis in accordance with the manner determined by the Member. Net income of the Company for federal income tax purposes (and each
item of income, gain, loss and deduction entering into the calculation thereof) shall be allocated to the Member. In the event
that one or more additional Members is admitted to the Company, this Agreement shall be amended to provide for the maintenance
of capital accounts and allocations of net income or net loss (and items thereof) and related provisions consistent with the requirements
of Section 704(b) and Section 704(c) of the Code.

 

    14 

     

    

 

(b)   
Unless otherwise determined by the Member, the Company shall be (i) treated as an entity that is disregarded from the Member
if the Member is the sole owner of the Company’s equity interests for U.S. federal income tax purposes and (ii) treated as
a partnership if there is more than one owner of the Company’s equity interests for U.S. federal income tax purposes (as
well as for any analogous state or local tax purposes), and the Member and the Company shall timely make any and all necessary
elections and filings for the Company in connection with treatment as a disregarded entity for U.S. federal income tax purposes
(as well as for any analogous state or local tax purposes). No election shall be made to treat the Company as a corporation for
U.S. federal income tax purposes.

 

(c)    Upon receipt by the Company of a U.S. Internal Revenue Service notice of final partnership adjustment, the Company will
make a valid election under and comply with the requirements of Section 6226(a) of the Code and the regulations thereunder; and
upon receipt by the Company of a statement described in either Section 6226(a)(2) or 6226(b)(4)(A)(ii) of the Code from a partnership
(or any entity classified as a partnership for U.S. federal income tax purposes), the Company will prepare and furnish to its appropriate
members and former members the statements described in Section 6226(b)(4)(A)(ii) of the Code.

 

Section 17.   
Distributions.

 

Distributions on the
Company’s property shall be distributed to the Member at the direction of the Member, which direction may be standing instructions.
In the absence of any direction to the contrary by the Member, distributions shall be made to the Member at the times and in the
aggregate amounts determined by the Board. Notwithstanding any provision to the contrary contained in this Agreement, the Company
shall not be required to make a distribution to the Member on account of its interest in the Company if such distribution would
violate Section 18-607 of the Act or any other applicable law.

 

Section 18.     
Books and Records; Bank Accounts.

 

(a)   
The Board shall keep or cause to be kept complete and accurate books of account and records with respect to the Company’s
business. The books of the Company shall at all times be maintained by the Board. The Member and its duly authorized representatives
shall have the right to examine the Company books, records and documents during normal business hours. The Company’s books
of account shall be kept using the method of accounting determined by the Member. The Company’s independent auditor shall
be an independent public accounting firm selected by the Member.

 

(b)  
The Member may authorize any Manager or Officer to open and maintain one or more bank accounts; rent safety deposit boxes
or vaults; sign checks, written directions, or other instruments to withdraw all or any part of the funds belonging to the Company
and on deposit in any savings account or checking account; negotiate and purchase certificates of deposit, obtain access to the
Company safety deposit box or boxes, and generally sign such forms on behalf of the Company as may be required to conduct the
banking activities of the Company.

  

    15 

     

    

 

Section 19.    
Other Business; Business Transactions of the Member with the Company; Company Property.

 

(a)    
The Member, the Special Members and their respective Affiliates (other than the Company) may engage in or possess an interest
in other business ventures (unconnected with the Company) of every kind and description, independently or with others. The Company
shall not have any rights in or to such independent ventures or the income or profits therefrom by virtue of this Agreement.

 

(b)    
In accordance with Section 18-107 of the Act, the Member or any Affiliate thereof (other than the Company) may lend money
to, borrow money from, act as surety, guarantor or endorser for, guarantee or assume one or more obligations of, provide collateral
for, and transact other business with, the Company and, subject to applicable law, shall have the same rights and obligations with
respect to any such matter as a Person who is not the Member or an Affiliate thereof (other than the Company).

 

(c)    
No real or other property of the Company shall be deemed to be owned by the Member individually, but shall be owned by and
title shall be vested solely in the Company.

 

Section 20.     
Exculpation and Indemnification.

 

(a) 
  The Member shall not, and no Special Member, Officer, Manager, employee or agent of the Company and no employee, representative,
agent or Affiliate of the Member (other than the Company) (collectively, the “Covered Persons”) shall, be liable
to the Company or any other Person who has an interest in or claim against the Company for any loss, damage or claim incurred by
reason of any act or omission performed or omitted by such Covered Person in good faith on behalf of the Company and in a manner
reasonably believed to be within the scope of the authority conferred on such Covered Person by this Agreement, except that a Covered
Person shall be liable for any such loss, damage or claim incurred by reason of such Covered Person’s gross negligence, bad
faith or willful misconduct.

 

(b)   
To the fullest extent permitted by applicable law, a Covered Person shall be entitled to indemnification from the Company
for any loss, damage or claim incurred by such Covered Person by reason of any act or omission performed or omitted by such Covered
Person in good faith on behalf of the Company and in a manner reasonably believed to be within the scope of the authority conferred
on such Covered Person by this Agreement, except that no Covered Person shall be entitled to be indemnified in respect of any loss,
damage or claim incurred by such Covered Person by reason of such Covered Person’s gross negligence, bad faith or willful
misconduct with respect to such acts or omissions; provided, however, that any indemnity under this Section 20 shall be
provided out of and to the extent of Company assets only, and neither the Member nor any of the Special Members have personal liability
on account thereof.

 

(c)     To the fullest extent permitted by applicable law, expenses (including legal fees) incurred by a Covered Person defending
any claim, demand, action, suit or proceeding shall, from time to time, be advanced by the Company prior to the final disposition
of such claim, demand, action, suit or proceeding upon receipt by the Company of an undertaking by or on behalf of the Covered
Person to repay such amount if it shall be determined that the Covered Person is not entitled to be indemnified as authorized in
this Section 20.

 

    16 

     

    

 

(d)   A
Covered Person shall be fully protected in relying in good faith upon the records of the Company and upon such information, opinions,
reports or statements presented to the Company by any Person as to matters the Covered Person reasonably believes are within such
other Person’s professional or expert competence and who has been selected with reasonable care by or on behalf of the Company,
including information, opinions, reports or statements as to the value and amount of the assets, liabilities, or any other facts
pertinent to the existence and amount of assets from which distributions to the Member might properly be paid.

 

(e)    
To the extent that, at law or in equity, a Covered Person has duties (including fiduciary duties) and liabilities relating
thereto to the Company or to any other Covered Person, a Covered Person acting under this Agreement shall not be liable to the
Company or to any other Covered Person for its good faith reliance on the provisions of this Agreement or any approval or authorization
granted by the Company or any other Covered Person. The provisions of this Agreement, to the extent that they restrict the duties
and liabilities of a Covered Person otherwise existing at law or in equity, are agreed by the Member to replace such other duties
and liabilities of such Covered Person.

 

(f)  
The foregoing provisions of this Section 20 shall survive any termination of this Agreement.

 

Section 21.    
Certificates.

 

(a)   
The ownership of a limited liability company interest in the Company (an “Interest”) by the Member shall
be evidenced by a certificate (a “Certificate”) issued by the Company. All limited liability company interests
in the Company shall be securities governed by Article 8 of the UCC as in effect from time to time in the State of Delaware and
Article 8 of the UCC as in effect from time to time in any other applicable jurisdiction. Notwithstanding any provision of this
Agreement to the contrary, to the extent that any provision of this Agreement is inconsistent with any non-waivable provision of
Article 8 of the UCC, such provision of Article 8 of the UCC shall be controlling.

 

(b)    Certificates
evidencing the ownership of Interests in the Company shall be in substantially the form set forth in Exhibit A hereto and
shall state that the Company is a limited liability company formed under the laws of the State of Delaware, the name of the Member
to whom such Certificate is issued and that the Certificate represents a limited liability company interest within the meaning
of § 18-702(c) of the Delaware Limited Liability Company Act. Each Certificate shall bear the following legend:

 

“THIS CERTIFICATE
EVIDENCES A LIMITED LIABILITY COMPANY INTEREST IN TRIPLE ROYALTY SUB II LLC (THE “COMPANY”), WHICH INTEREST SHALL BE
A SECURITY GOVERNED BY ARTICLE 8 OF THE UNIFORM COMMERCIAL CODE. THE INTEREST REPRESENTED BY THIS CERTIFICATE, AND ANY SALE, PLEDGE,
HYPOTHECATION OR TRANSFER THEREOF, ARE SUBJECT TO THE PROVISIONS OF THE AMENDED AND RESTATED LIMITED LIABILITY COMPANY AGREEMENT
OF THE COMPANY DATED AS OF NOVEMBER 30, 2018, WHICH PLACES CERTAIN RESTRICTIONS ON THE SALE, TRANSFER AND/OR PLEDGE OF SUCH INTEREST.
ANY PERSON REQUESTING THE TRANSFER OF THE INTEREST REPRESENTED BY THIS CERTIFICATE TO SUCH PERSON SHALL AGREE TO THE PROVISIONS
OF AND BECOME A PARTY TO SUCH AGREEMENT. A COPY OF SUCH AGREEMENT WILL BE FURNISHED TO THE RECORD HOLDER OF THIS CERTIFICATE WITHOUT
CHARGE UPON WRITTEN REQUEST TO THE COMPANY AT ITS PRINCIPAL PLACE OF BUSINESS.”

 

    17 

     

    

 

(c)   
Each Certificate shall be signed by the President of the Company and by the Secretary of the Company or alternately, by
two Managers of the Company by either manual or facsimile signature.

 

(d)   
The Company shall maintain (or cause to be maintained by an agent on its behalf) books for the purpose of (a) identifying
the number assigned to each Certificate issued by the Company and the name and mailing address of each registered owner of a Certificate
and (b) registering the transfer and/or exchange of any Certificate (the “Register”). Unless otherwise designated,
the Secretary of the Company shall act as registrar, maintain the Register and register the transfer and/or exchange of any Certificate
in accordance with the terms of this Agreement and applicable law and shall have the power and authority to hire an agent, on behalf
of the Company, to maintain the Register.

 

(e)    The Certificates of the Company shall be numbered and registered in the Register of the Company as they are issued.

 

(f)    
When Certificates are presented to the Company with a request to register a transfer, the Company shall register the transfer
or make the exchange on the register or transfer books of the Company if the requirements set forth in Section 22 hereof for such
transactions are met; provided, that any Certificates presented or surrendered for registration of transfer or exchange
shall be duly endorsed or accompanied by a written instrument of transfer in form satisfactory to the Company duly executed by
the holder thereof or his attorney duly authorized in writing.

 

(g)   Before due presentment for registration of transfer of a Certificate in compliance with and in accordance with Section 22
of this Agreement, the Company shall be entitled to treat the individual or entity in whose name any Certificates issued by the
Company stand on the books of the Company as the absolute owner thereof, and shall not be bound to recognize any equitable or other
claim to, or interest in, such Interests on the part of any other individual or entity.

 

(h)  
If any mutilated Certificate is surrendered to the Company, or the Company receives evidence to its satisfaction of the
destruction, loss or theft of any Certificate, the Company shall issue a replacement Certificate if the requirements of Section
8-405 of the UCC are met. If required by the Company, an indemnity and/or the deposit of a bond in such form and in such sum, and
with such surety or sureties as the Company may direct, must be supplied by the holder of such lost, destroyed or stolen Certificate
that is sufficient in the judgment of the Company to protect the Company from any loss that it may suffer if a Certificate is replaced.
The Company may charge for its expenses incurred in connection with replacing a Certificate

 

    18 

     

    

 

Section 22.    Restrictions
on Transfers.

 

(a)   The Member may sell, convey, assign, transfer, pledge, grant a security interest in or otherwise dispose of all or any part
of its membership interest in the Company subject to the execution and delivery by the Member’s assignee of a counterpart
signature page to this Agreement; provided, that so long as the Transaction Documents are in effect, such transfer shall
comply with the applicable transfer restrictions under the Pledge and Security Agreement. To the extent permitted by applicable
law, any purported transfer by the Member of all or any part of its right, title and interest in and to its membership interest
in the Company which is not in compliance with the terms of this Section 22 will be null and void.

 

(b)   
One or more additional Members may be admitted to the Company subject to the prior written consent of the Member and the
execution and delivery by the additional Member of a counterpart signature page to this Agreement.

 

(c)   
The Member shall be entitled to resign subject to the admission of one or more additional Members to the Company pursuant
to Section 22(b).

 

(d)   
Any reference herein to the “Member” shall include any additional Members pursuant to Section 22(a) or
(b).

 

(e)   At
any time when there is more than one Member, any action by the Member hereunder shall be by majority vote of the Members on a
pro rata basis according to their respective membership interests in the Company (which for the avoidance of doubt shall exclude
any Special Member).

 

Section 23.    
Dissolution.

 

(a)     Subject to Section 10(j), the Company shall be dissolved and its affairs shall be wound up upon the first to occur
of the following: (i) the Member votes for dissolution or (ii) the entry of a decree of judicial dissolution under Section 18-802
of the Act.

 

(b)  
No other event, including the retirement, insolvency, liquidation, dissolution, insanity, expulsion, Bankruptcy, death,
incapacity or adjudication of incompetency of the Member, shall cause the existence of the Company to terminate. Upon the retirement
or dissolution of the Member or the occurrence of any other event which terminates the continued membership of the Member in the
Company (other than in connection with the transfer by the Member of 100% of its membership interest in the Company in accordance
with this Agreement or any other circumstance in which there is already another Member of the Company pursuant to the provisions
of this Agreement), each Independent Manager shall become a Special Member of the Company pursuant to Section 6(c) and the
business of the Company shall continue in a manner permitted by the Act.

 

    19 

     

    

 

(c)   
The Bankruptcy of the Member or any Special Member shall not cause the Member or such Special Member to cease to be a member
of the Company and upon the occurrence of such an event, the business of the Company shall continue without dissolution. Notwithstanding
any other provision of this Agreement, each of the Member and the Special Members waives any right that it might have under Section
18-801(b) of the Act to agree in writing to dissolve the Company upon the Bankruptcy of the Member or the Special Member (as applicable)
or the occurrence of any event that causes the Member or the Special Member (as applicable) to cease to be a member of the Company.

 

(d)    In
the event of dissolution, the Company shall conduct only such activities as are necessary to wind up its affairs (including the
sale of the assets of the Company in an orderly manner), and the assets of the Company shall be applied in the manner, and in
the order of priority, set forth in Section 18-804 of the Act and that otherwise would not result in a breach of the TRC LLC Agreement.

 

Section 24.    Waiver
of Partition; Nature of Interest.

 

Except as otherwise expressly
provided in this Agreement and subject to compliance with the requirements of the TRC LLC Agreement, to the fullest extent permitted
by law, each of the Member and the Special Members hereby irrevocably waives any right or power that the Member or the Special
Members might have to cause the Company or any of its assets to be partitioned, to cause the appointment of a receiver for all
or any portion of the assets of the Company, to compel any sale of all or any portion of the assets of the Company pursuant to
any applicable law or to file a complaint or to institute any proceeding at law or in equity to cause the dissolution, liquidation,
winding up or termination of the Company. Each of the Member and the Special Members shall not have any interest in any specific
assets of the Company, and neither the Member nor the Special Members shall have the status of a creditor with respect to any distribution
pursuant to Section 17 hereof. The interest of the Member in the Company is personal property.

 

Section 25.     
Benefits of Agreement; No Third-Party Rights.

 

None of the provisions
of this Agreement shall be for the benefit of or enforceable by any creditor of the Company or by any creditor of the Member or
any Special Member. Nothing in this Agreement shall be deemed to create any right in any Person (other than Covered Persons) not
a party hereto, and this Agreement shall not be construed in any respect to be a contract in whole or in part for the benefit of
any third Person.

 

Section 26.   
Severability of Provisions.

 

Each provision of this
Agreement shall be considered severable and if for any reason any provision or provisions herein are determined to be invalid,
unenforceable or illegal under any existing or future law, such invalidity, unenforceability or illegality shall not impair the
operation of or affect those portions of this Agreement which are valid, enforceable and legal.

 

Section 27.     Entire Agreement.

 

This Agreement constitutes
the entire agreement of the parties with respect to the subject matter hereof.

 

    20 

     

    

 

Section 28.           
Binding Agreement.

 

Notwithstanding any other
provision of this Agreement, the Member agrees that this Agreement constitutes a legal, valid and binding agreement of the Member,
and is enforceable against the Member in accordance with its terms.

 

Section 29.           
Governing Law.

 

THIS AGREEMENT SHALL
BE GOVERNED BY AND CONSTRUED UNDER THE LAWS OF THE STATE OF DELAWARE (WITHOUT REGARD TO CONFLICTS OF LAW PRINCIPLES), ALL RIGHTS
AND REMEDIES BEING GOVERNED BY SUCH LAWS. THE COURT OF CHANCERY OF THE STATE OF DELAWARE SHALL BE THE SOLE AND EXCLUSIVE FORUM
TO HEAR AND DETERMINE ANY SUIT, ACTION OR PROCEEDING, AND TO SETTLE ANY DISPUTES, WHICH MAY ARISE OUT OF OR IN CONNECTION WITH
THIS AGREEMENT.

 

Section 30.           
Amendments.

 

(a)          
This Agreement may be amended, supplemented or otherwise modified by the Member to cure any ambiguity, to correct or supplement
any provisions in this Agreement, to add any provisions to this Agreement, to change this Agreement in any manner or to eliminate
any of the provisions in this Agreement subject in each case to Section 10(j).

 

(b)          
Any amendment, supplement or other modification to this Agreement shall be in writing. Promptly after the execution of any
amendment, supplement or other modification to this Agreement, the Company shall furnish a copy of such amendment, supplement or
other modification to the Member.

 

(c)          
Promptly after the execution of any amendment, supplement or other modification to the Certificate of Formation, the Company
shall cause its filing with the Secretary of State of the State of Delaware.

 

Section 31.           
Counterparts.

 

This Agreement may be
executed in any number of counterparts, including by facsimile or other electronic means of communication, each of which shall
be deemed an original of this Agreement and all of which together shall constitute one and the same instrument.

 

    21 

     

    

 

Section 32.            
Notices.

 

Any notices required
to be delivered hereunder shall be in writing and personally delivered, mailed or sent by electronic mail, telefacsimile or other
similar form of rapid transmission, and shall be deemed to have been duly given upon receipt (a) in the case of the Company, to
the Company at its address in Section 3, (b) in the case of the Member, to the Member at its address as listed on Schedule
B attached hereto, (c) in the case of the Managers, at their respective addresses set forth in Schedule B attached hereto,
and (d) in the case of any of the foregoing, at such other address as may be designated by written notice to the other party.

 

Section 33.           
Acknowledgement of Pledge of Membership Interest.

 

The parties hereto hereby
acknowledge that the Member’s membership interest in the Company has been pledged to the Indenture Trustee for the benefit
of the noteholders under the Indenture, pursuant to the Pledge and Security Agreement.

 

[REMAINDER OF THE PAGE INTENTIONALLY LEFT
BLANK]

 

    22 

     

    

 

IN WITNESS WHEREOF, the
undersigned, intending to be legally bound hereby, has duly executed this Amended and Restated Limited Liability Company Agreement
of Triple Royalty Sub II LLC as of the day and year first written above.

 

 

	 	THERAVANCE BIOPHARMA R&D, INC.,
	 	as Member
	 	 
	 	 
	 	By:	/s/ Brett A. Grimaud
	 	 	Name:	 Brett A. Grimaud
	 	 	Title:	Assistant Secretary, Vice President and
	 	 	 	Assistant General Counsel

 

TRIPLE
ROYALTY SUB II LLC

Amended and Restated LLC Agreement

 

    23 

     

    

 

SCHEDULE A

DEFINITIONS AND RULES OF CONSTRUCTION

 

A.           Definitions

 

When used in this Agreement,
the following terms not otherwise defined herein have the respective meanings set forth or referenced below:

 

“Account Control
Agreement” means the Account Control Agreement, dated as of the Initial Closing Date, entered into by and among the Company,
the Servicer, the Indenture Trustee and the financial institution identified therein as the “securities intermediary”
as defined in Section 8-102 of the UCC and the “bank” as defined in Section 9-102 of the UCC thereunder, and such additional
Account Control Agreements as may be entered into following the Initial Closing Date by and among the Company, the Indenture Trustee
and such other financial institution, including any substitute Account Control Agreements, relating to the accounts to be established
and maintained by the Indenture Trustee pursuant to the Indenture.

 

“Act”
has the meaning set forth in the recital to this Agreement.

 

“Affiliate”
means, with respect to any Person, any other Person directly or indirectly Controlling or Controlled by or under direct or indirect
common Control with such Person.

 

“Agreement”
has the meaning specified in the preamble to this Agreement.

 

“Bankruptcy”
means, with respect to any Person, if (i) such Person makes an assignment for the benefit of creditors, (ii) such Person files
a voluntary petition in bankruptcy, (iii) such Person is adjudged as bankrupt or insolvent, or has entered against it an order
for relief, in any bankruptcy or insolvency proceeding, (iv) such Person files a petition or answer seeking for itself any reorganization,
arrangement, composition, readjustment, liquidation, or similar relief under any statute, law or regulation, (v) such Person files
an answer or other pleading admitting or failing to contest the material allegations of a petition filed against it in any proceeding
of this nature, (vi) such Person seeks, consents to or acquiesces in the appointment of a trustee, receiver or liquidator of the
Person or of all or any substantial part of its properties, or (vii) 120 days after the commencement of any proceeding against
the Person seeking reorganization, arrangement, composition, readjustment, liquidation, dissolution or similar relief under any
statute, law or regulation, the proceeding has not been dismissed, or within 90 days after the appointment without such Person’s
consent or acquiescence of a trustee, receiver or liquidator of such Person or of all or any substantial part of its properties,
the appointment is not vacated or stayed, or within 90 days after the expiration of any such stay, the appointment is not vacated.
With respect to the Member, the foregoing definition of “Bankruptcy” is intended to replace and shall supersede and
replace the definition of “Bankruptcy” set forth in Sections 18-101(1) and 18-304 of the Act.

 

“Board”
or “Board of Managers” means the Board of Managers of the Company excluding the Independent Managers (and a
reference to a majority of the Board or the Board of Managers shall mean a majority of the Board or Board of Managers excluding
the Independent Managers) unless the consent or approval of the Independent Managers is required under this Agreement in which
case the Board means the Board of Managers including the Independent Managers.

 

    Schedule A-1 

     

    

 

“Certificate”
has the meaning set forth in Section 21(a) of this Agreement.

 

“Certificate
of Formation” means the Certificate of Formation of the Company, filed with the Secretary of State of the State of Delaware
on February 12, 2020.

 

“Code”
means the U.S. Internal Revenue Code of 1986, as amended.

 

“Company”
has the meaning set forth in the preamble to this Agreement.

 

“Control”
means the possession, directly or indirectly, or the power to direct or cause the direction of the management or policies of a
Person, whether through the ownership of voting securities or general partnership or managing member interests, by contract or
otherwise. “Controlling” and “Controlled” shall have correlative meanings. Without limiting the generality
of the foregoing, a Person shall be deemed to Control any other Person in which it owns, directly or indirectly, a majority of
the ownership interests.

 

“Covered Persons”
has the meaning set forth in Section 20(a) of this Agreement.

 

“Fiscal Year”
has the meaning set forth in Section 7 of this Agreement.

 

“Indenture”
means the Indenture, dated as of the Initial Closing Date, entered into by and among the Company, the Indenture Trustee, and solely
with respect to Sections 2.11(o) and 2.11(p) thereof, Theravance Biopharma.

 

“Indenture Trustee”
means U.S. Bank National Association, a national banking association, in its capacity as the indenture trustee under the Indenture
to be entered into by the Company on the Initial Closing Date.

 

“Independent
Manager” means a natural person who, (A) (1) has prior experience as an independent director, independent manager or
independent member with at least three years of employment experience with one or more entities that provide, in the ordinary course
of their respective businesses, advisory, management or placement services to issuers of securitization or structured finance instruments,
agreements or securities and (2) is provided by CICS, LLC, CT Corporation, Corporation Service Company, National Registered Agents,
Inc., Wilmington Trust Company SP Services, Inc., Stewart Management Company, TMF Group New York, LLC or, if none of those companies
is then providing professional independent managers, another nationally-recognized company reasonably approved by the Member, in
each case that is not an Affiliate of the Company and that provides professional independent managers and other corporate services
in the ordinary course of its business, (B) is not, and has not been for a period of five years prior to his or her appointment
as an independent manager of the Company: (1) a stockholder (whether direct, indirect or beneficial), counterparty under a contract
for commercial services, advisor or supplier of the Member or any of its Affiliates (the “Parent Group”), (2)
a director, officer, employee, partner, attorney or consultant of the Parent Group, (3) a person related to any person referred
to in clause (B)(1) or (B)(2) above, (4) a person controlling or under common control with any such stockholder, partner, counterparty
under a contract for commercial services, supplier, employee, officer or director or (5) a trustee, conservator or receiver for
any member of the Parent Group and (C) shall not at any time serve as a trustee in bankruptcy for the Company, the Member or any
Affiliate thereof, and shall insure that (v) no resignation or removal of an Independent Manager shall be effective until a successor
Independent Manager is appointed and such successor shall have accepted his or her appointment as an Independent Manager by a written
instrument, (w) at least two members of the Board of Managers shall be Independent Managers, (x) the Board of Managers shall not
approve, or take any other action to cause the filing of, a voluntary bankruptcy petition with respect to the Company or consent
to an involuntary bankruptcy petition with respect to the Company unless a unanimous vote of the Board of Managers (which vote
shall include the affirmative vote of the Independent Managers) shall approve the taking of such action in writing prior to the
taking of such action, (y) the Board of Managers shall not vote on any matter requiring the vote of its Independent Managers under
its limited liability company agreement unless and until each Independent Manager is then serving on the Board of Managers and
(z) the provisions requiring Independent Managers and the provisions described in clauses (x) and (y) of this definition cannot
be amended without the prior written consent of the Member.

 

    Schedule A-2 

     

    

 

“Initial Closing
Date” means February 28, 2020.

 

“Interest”
has the meaning set forth in Section 21(a) of this Agreement.

 

“Management
Agreement” means the agreement of the Managers in the form attached hereto as Schedule C.

 

“Managers”
means the managers elected to the Board of Managers from time to time by the Member, including the Independent Managers.

 

“Member”
has the meaning specified in the preamble to this Agreement for which purpose the term “Member” shall not be deemed
to include any Special Member.

 

“Notes”
means each class of notes issued by the Company from time to time pursuant to the Indenture.

 

“Officer”
means an officer of the Company described in Section 12(a).

 

“Original LLC
Agreement” has the meaning set forth in the recital to this Agreement.

 

“Person”
means any individual, corporation, partnership, joint venture, limited liability company, limited liability partnership, association,
joint-stock company, trust, unincorporated organization, or other organization, whether or not a legal entity, and any governmental
authority.

 

“Pledge and
Security Agreement” means the Pledge and Security Agreement, dated as of the Initial Closing Date, entered into between
the Member and the Indenture Trustee.

 

“Register”
has the meaning set forth in Section 21(d) of this Agreement.

 

    Schedule A-3 

     

    

 

“Sale and Contribution
Agreement” means the Sale and Contribution Agreement, dated as of the Initial Closing Date, entered into among Theravance
Biopharma R&D, the Company, and solely with respect to Articles V and IX and Sections 6.7, 6.9, 8.2, 8.3 and 8.4 thereof, Theravance
Biopharma, Inc.

 

“Servicer”
means Theravance Biopharma US, in its capacity as the servicer under the Servicing Agreements and its permitted successors and
assigns in such capacity.

 

“Servicing Agreement”
means the Servicing Agreement, dated as of the Initial Closing Date, between the Company and the Servicer.

 

“Special Member”
means, upon the admission to the Company as a member of the Company, any such Person acting as an Independent Manager who is designated
pursuant to Section 6(c), such Person, in its capacity as a member of the Company. A Special Member shall only have the
rights and duties expressly set forth in this Agreement.

 

“Specified Action”
means to institute or participate in proceedings to have the Company be adjudicated bankrupt or insolvent, or to consent to the
institution of bankruptcy or insolvency proceedings against the Company or to file a petition seeking, or to consent to, reorganization,
liquidation or relief with respect to the Company under any applicable federal or state law relating to bankruptcy, insolvency,
reorganization or dissolution or to consent to the appointment of a receiver, liquidator, assignee, trustee, or sequestrator (or
other similar official) of the Company or a substantial part of its property, or to make any assignment for the benefit of creditors
of the Company, or to admit in writing the Company’s inability to pay its debts generally as they become due, or, to the
fullest extent permitted by law, take action in furtherance of any such action.

 

“Theravance
Biopharma” means Theravance Biopharma, Inc., a Cayman Islands exempted company.

 

“Theravance
Biopharma R&D” means Theravance Biopharma R&D, Inc., a Cayman Islands exempted company.

 

“Theravance
Biopharma US” means Theravance Biopharma US, Inc., a Delaware corporation.

 

“Transaction
Documents” means this Agreement, the Indenture, the Notes, the Servicing Agreement, the Account Control Agreement, the
Sale and Contribution Agreement, the Pledge and Security Agreement and any other documents that are identified as “Transaction
Documents” in the Indenture for any Notes outstanding and all other agreements, instruments, orders, certificates, notices,
financing statements and other documents entered into or delivered in connection therewith.

 

“TRC LLC” means Theravance
Respiratory Company, LLC, a Delaware limited liability company.

 

“TRC LLC Agreement”
means the limited liability company agreement of TRC LLC, dated as of May 31, 2014.

 

“UCC”
means the Uniform Commercial Code as in effect in the State of Delaware or other relevant jurisdiction, as amended and in effect
from time to time. 

 

    Schedule A-4 

     

    

 

B.           Rules
of Construction

 

Definitions in this
Agreement apply equally to both the singular and plural forms of the defined terms. The words “include” and “including”
shall be deemed to be followed by the phrase “without limitation.” The terms “herein,” “hereof”
and “hereunder” and other words of similar import refer to this Agreement as a whole and not to any particular Section,
paragraph or subdivision. The Section titles appear as a matter of convenience only and shall not affect the interpretation of
this Agreement. All Section, paragraph, clause, Exhibit or Schedule references not attributed to a particular document shall be
references to such parts of this Agreement. Any reference herein to an agreement or other document shall refer to such agreement
or other document as the same may be amended, supplemented or otherwise modified from time to time in accordance with the terms
thereof.

 

    Schedule A-5 

     

    

 

SCHEDULE
B

 

	MEMBER
	Name	Mailing Address
	 	 
	Theravance Biopharma R&D, Inc.	
        Theravance Biopharma R&D, Inc.

        c/o Theravance Biopharma US, Inc.

        901 Gateway Boulevard

        South San Francisco, CA 94080

        Attention: Brett A. Grimaud, Assistant Secretary, Vice President
        & Assistant General Counsel

        Facsimile: (650) 808-6095

        Email: BGrimaud@theravance.com

         

	 	 
	MANAGERS
	Name	Mailing Address
	 	 
	Rick E Winningham	
        901 Gateway Boulevard

        South San Francisco, California 94080

        Facsimile: (650) 808-6095

        Email: rwinningham@theravance.com

	Andrew Hindman	
        901 Gateway Boulevard

        South San Francisco, California 94080

        Facsimile: (650) 808-6095

        Email: ahindman@theravance.com

	Bradford J. Shafer	
        901 Gateway Boulevard

        South San Francisco, California 94080

        Facsimile: (650) 808-6095

        Email: bshafer@theravance.com

	Albert J. Fioravanti	
        TMF Group New York, LLC

        48 Wall Street, 27th floor

        New York, New York 10005

        Facsimile: (212) 346-9012

        Phone: (212) 346-9005

        Email: Al.Fioravanti@tmf-group.com

	Leonard J. Padula	
        TMF Group New York, LLC

        48 Wall Street, 27th floor

        New York, New York 10005

        Facsimile: (212) 346-9015

        Phone: (212) 346-9000

        Email: Len.Padula@tmf-group.com

        

 

    Schedule B-1

    

    

 

	 	 
	OFFICERS
	Name	Title
	 	 
	Rick E Winningham	
        President

         

	Andrew Hindman	Senior Vice President and Chief Financial Officer
	
         

        Bradford J. Shafer
	
         

        Executive Vice President and Secretary

	 	 
	Asif Ali	Vice President and Treasurer
	 	 
	Brett A. Grimaud	Vice President and Assistant Secretary
	 	 
	Initial Capital Contribution of the Member:       	$1,000
	 
	 

 

    Schedule B-2

    

    

 

SCHEDULE
C

 

FORM OF MANAGEMENT AGREEMENT

 

February 28, 2020

 

Triple Royalty Sub II LLC

c/o Theravance Biopharma US, Inc.

901 Gateway Boulevard

South San Francisco, CA 94080

 

	 	Re:	Management Agreement
	 	Triple Royalty Sub II LLC

 

Ladies and Gentlemen:

 

For good and valuable
consideration, each of the undersigned persons, who have been designated as managers of Triple Royalty Sub II LLC, a Delaware limited
liability company (the “Company”), in accordance with the Amended and Restated Limited Liability Company Agreement
of the Company, dated as of February 28, 2020 (as the same may be amended, supplemented or otherwise modified from time to time,
the “LLC Agreement”) attached hereto as Exhibit A, hereby agree as follows:

 

1.       Each
of the undersigned agrees to the terms and conditions of the LLC Agreement.

 

2.       Each
of the undersigned accepts such person’s rights and authority as a Manager under the LLC Agreement and agrees to perform
and discharge such person’s duties and obligations as a Manager under the LLC Agreement, and further agrees that such rights,
authorities, duties and obligations under the LLC Agreement shall continue until such person’s successor as a Manager is
designated, elected and qualified or until such person’s death or resignation or removal as a Manager in accordance with
the LLC Agreement. Each of the undersigned agrees and acknowledges that he or she has been designated as a “manager”
of the Company within the meaning of Section 18-101(10) of the Delaware Limited Liability Company Act, as amended from time to
time. Without limitation of the foregoing, each of the undersigned identified as an “Independent Manager” hereby acknowledges
and agrees that his or her duties as a Manager are strictly limited to those assigned to the Independent Managers pursuant to the
LLC Agreement including, without limitation, to be appointed as a Special Member to exercise the rights and perform the duties
of a Special Member set forth in Section 6(c) of the LLC Agreement in the circumstances set forth in Section 6(c) of the LLC Agreement.

 

3.       Each
of the undersigned agrees, solely in his or her capacity as a creditor of the Company on account of any indemnification or other
payment owing to the undersigned by the Company, not to acquiesce, petition or otherwise invoke or cause the Company to invoke
the process of any court or governmental authority for the purpose of commencing or sustaining a case against the Company under
any federal or state bankruptcy, insolvency or similar law or appointing a receiver, liquidator, assignee, trustee, custodian,
sequestrator or other similar official of the Company or any substantial part of the property of the Company, or ordering the winding
up or liquidation of the affairs of the Company.

 

    Schedule C-1

    

    

 

4.       
THIS MANAGEMENT AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED UNDER THE LAWS OF THE STATE OF DELAWARE (WITHOUT REGARD TO CONFLICTS
OF LAW PRINCIPLES), ALL RIGHTS AND REMEDIES BEING GOVERNED BY SUCH LAWS. THE COURT OF CHANCERY OF THE STATE OF DELAWARE SHALL BE
THE SOLE AND EXCLUSIVE FORUM TO HEAR AND DETERMINE ANY SUIT, ACTION OR PROCEEDING, AND TO SETTLE ANY DISPUTES, WHICH MAY ARISE
OUT OF OR IN CONNECTION WITH THIS MANAGEMENT AGREEMENT.

 

Capitalized terms used
herein that are not otherwise defined shall have the meanings ascribed thereto in the LLC Agreement.

 

[REMAINDER OF THE PAGE INTENTIONALLY LEFT
BLANK]

 

    Schedule C-2

    

    

 

IN WITNESS WHEREOF, the
undersigned have executed this Management Agreement as of the day and year first above written.

 

 

	 	 
	 	Name: Rick E Winningham
	 	Title: Manager
	 	 
	 	 
	 	 
	 	Name: Andrew Hindman
	 	Title: Manager
	 	 
	 	 
	 	 
	 	Name: Bradford J. Shafer
	 	Title: Manager
	 	 
	 	 
	 	 
	 	Name: Albert J. Fioravanti
	 	Title: Independent Manager
	 	 
	 	 
	 	 
	 	Name: Leonard J. Padula
	 	Title: Independent Manager

 

    Schedule C-3

    

    

 

Exhibit A

 

Amended and Restated

Limited Liability Company Agreement

of

Triple Royalty Sub II LLC

 

     

    

    

 

EXHIBIT A

 

FORM
OF Certificate

sEE
ATTACHED

 

     

    

    

 

	Number 1	 	Interests 100%

 

Triple Royalty Sub II LLC,

a limited liability company formed under
the laws of the State of Delaware

Limited Liability Company Interest

(within the meaning of 6 Del. Co. §18-702(c))

 

February 28. 2020

 

This
Certificate evidences a limited liability company Interest in TRIPLE ROYALTY SUB II LLC (the “Company”), which interest
shall be a security governed by Article 8 of the Uniform Commercial Code. The Interest represented by this Certificate, and any
sale, pledge, hypothecation or transfer thereof, are subject to the provisions of the Amended and Restated Limited Liability Company
Agreement of the Company dated as of FEbRUARY 28, 2020, which places certain restrictions on the sale, transfer and/or pledge of
such Interest. Any Person requesting the transfer of the Interest represented by this Certificate to such Person shall agree to
the provisions of and become a party to such Agreement. A copy of such Agreement will be furnished to the record holder of this
Certificate without charge upon written request to the Company at its principal place of business.

 

This certifies that Theravance Biopharma
R&D, Inc., a Cayman Islands exempted company, is the owner of 100% of the fully paid and non-assessable interests of the above-named
Company and is entitled to the full benefits and privileges of such interest, subject to the duties and obligations, as more fully
set forth in the Amended and Restated Limited Liability Company Agreement of the Company. This Certificate is transferable on the
books of the Company by the holder hereof in person or by duly authorized attorney upon surrender of this Certificate properly
endorsed.

 

[SIGNATURE PAGE FOLLOWS]

 

     

     

    

 

IN WITNESS WHEREOF, the said Company has
caused this Certificate, and the interest it represents, to be signed by one of its duly authorized officers on the day and year
first above written.

 

	 	 
	Name:	Brett A. Grimaud	 
	Title:	Vice President and Assistant Secretary	 

 

Exhibit
A

Triple
Royalty Sub II LLC

Certificate of Limited Liability Company
InterestsExhibit 10.6

ANNEX A

RULES OF CONSTRUCTION AND DEFINED TERMS

 

Unless the context otherwise requires,
in this Annex A and each Transaction Document (or other document) to which this Annex A is attached:

 

		(a)	A term has the meaning assigned to it and an accounting term not otherwise defined has the meaning
assigned to it in accordance with GAAP.

 

		(b)	Unless otherwise defined, all terms that are defined in the UCC shall have the meanings stated
in the UCC.

 

		(c)	Words of the masculine, feminine or neuter gender shall mean and include the correlative words
of other genders.

 

		(d)	The definitions of terms shall apply equally to the singular and plural forms of the terms defined.

 

		(e)	The terms “include”, “including” and similar terms shall be construed as
if followed by the phrase “without limitation.”

 

		(f)	Unless otherwise specified, references to an agreement or other document include references to
such agreement or document as from time to time amended, restated, reformed, supplemented or otherwise modified in accordance with
the terms thereof (subject to any restrictions on such amendments, restatements, reformations, supplements or modifications set
forth in this Annex A or any Transaction Document (or other document)) and include any Annexes, Exhibits and Schedules attached
thereto.

 

		(g)	References to any Applicable Law shall include such Applicable Law as from time to time in effect,
including any amendment, modification, codification, replacement or reenactment thereof or any substitution therefor.

 

		(h)	References to any Person shall be construed to include such Person’s successors and permitted
assigns (subject to any restrictions on assignment, transfer or delegation set forth in this Annex A or any Transaction
Document (or other document)), and any reference to a Person in a particular capacity excludes such Person in other capacities.

 

		(i)	The word “will” shall be construed to have the same meaning and effect as the word
 “shall”.

 

    1

     

    

 

		(j)	The words “hereof,” “herein,” “hereunder” and similar terms
when used in this Annex A or any Transaction Document (or other document) shall refer to this Annex A or such Transaction
Document (or other document) as a whole and not to any particular provision hereof or thereof, and Article, Section, Annex, Schedule
and Exhibit references herein and therein are references to Articles and Sections of, and Annexes, Schedules and Exhibits to, the
relevant Transaction Document (or other document) unless otherwise specified.

 

		(k)	In the computation of a period of time from a specified date to a later specified date, the word
 “from” means “from and including” and each of the words “to” and “until” means
 “to but excluding.”

 

		(l)	References to a class of Notes shall be to the Original Notes, to a class of Subordinated Notes
or to a class of Refinancing Notes, as applicable.

 

		(m)	References to any action, remedy or method of judicial proceeding for the enforcement of the rights
of creditors or of security shall be deemed to include, in respect of any jurisdiction other than the State of New York, references
to such action, remedy or method of judicial proceeding for the enforcement of the rights of creditors or of security available
or appropriate in such jurisdiction as shall most nearly approximate such action, remedy or method of judicial proceeding described
or referred to in the relevant Transaction Document (or other document).

 

		(n)	Where any payment is to be made, any funds are to be applied or any calculation is to be made under
any Transaction Document (or other document) on a day that is not a Business Day, unless such Transaction Document (or other document)
otherwise provides, such payment shall be made, such funds shall be applied and such calculation shall be made on the immediately
succeeding Business Day, and payments shall be adjusted accordingly, including interest unless otherwise specified; provided,
however, that no interest shall accrue in respect of any payments made on Fixed Rate Notes on that succeeding Business Day.

 

		(o)	References to any Calculation Date or Relevant Calculation Date, in each case that would be prior
to the first Calculation Date that follows the Closing Date, shall be deemed to refer to the Closing Date.

 

		(p)	Any reference herein to a term that is defined by reference to its meaning in the applicable GSK
Agreement shall refer to such term’s meaning in the applicable GSK Agreement as in existence on the date of the relevant
Transaction Document (or other document) to which this Annex A is attached (and not to any new, substituted or amended version
thereof).

 

“Acceleration
Default” means any Event of Default of the type described in Section 4.1(f) of the Indenture.

 

“Acceleration
Notice” means a written notice given after the occurrence and during the continuation of an Event of Default to the Issuer
by the Senior Trustee (at the direction of the Controlling Party) or the Controlling Party pursuant to Section 4.2 of the Indenture
declaring all Outstanding principal of and accrued and unpaid interest on the Notes to be immediately due and payable.

 

“Account Control
Agreement” or “Control Agreement” means the Account Control Agreement, dated as of the Closing Date,
by and among the Issuer, as Grantor, the Servicer and U.S. Bank National Association, as the Secured Party and as the Financial
Institution.

 

“Accounts”
means the Collection Account and any other account established and maintained pursuant to Section 3.1 of the Indenture.

 

    2

     

    

 

“Act”
has the meaning set forth in Section 1.3(a) of the Indenture.

 

“Additional
Interest” means, with respect to the Notes, interest accrued on the amount of any interest and Premium, if any, in respect
of such Notes that is not paid when due at the Note Interest Rate of such Notes for each Interest Accrual Period until any such
unpaid interest or Premium is paid in full, compounded quarterly on each Payment Date, to the fullest extent permitted by Applicable
Law.

 

“Administrative
Expenses” means fees, expenses (including indemnities) and other amounts due or accrued with respect to any Payment
Date (including, with respect to any Payment Date, any such amounts that were due and not paid on any prior Payment Date) and payable
in the following order by the Issuer: first, to the Trustee pursuant to the Indenture; second, on a pro rata
basis, the following amounts (excluding indemnities) to the following parties, (a)the Service Providers, including counsel
of the Issuer, for fees and expenses not otherwise included under Transaction Expenses, and (b) any other Person in respect of
any other fees or expenses permitted under the Indenture and the documents delivered pursuant to or in connection with the Indenture;
and third, on a pro rata basis, indemnities payable to any Person pursuant to any Transaction Document; provided,
that for the avoidance of doubt, amounts that are expressly payable to any Person under the Priority of Payments in respect of
an amount that is stated to be payable as an amount other than as Administrative Expenses shall not constitute Administrative Expenses;
provided, further, to the extent the payment in full of all Administrative Expenses that were due but not paid on
any prior Payment Date is not possible, (i) any Administrative Expenses due to the Trustee shall be paid in full in the order in
which they were incurred, and then (ii) any remaining previously unpaid Administrative Expenses shall be paid in the priority set
forth above.

 

“Affiliate”
means, with respect to any Person, any other Person that, directly or indirectly, controls, is controlled by or is under common
control with such Person. For purposes of this definition, “control” of a Person means the possession, directly
or indirectly, of the power to direct or cause the direction of the management and policies of such Person, whether through the
ownership of Voting Securities, by contract or otherwise, and the terms “controlled” and “controlling”
have meanings correlative to the foregoing.

 

“Agent Members”
has the meaning set forth in Section 2.10(a) of the Indenture.

 

“AHYDO Redemption
Date” has the meaning set forth in Section 3.8(e) of the Indenture.

 

“ANORO”
means (a) the combination medicine comprising UMEC with VI, with no other therapeutically active component, and explicitly excluding
either component as a monotherapy, and which is proposed, as of the date hereof, to be sold under the brand name “ANOROTM
ELLIPTATM”, and (b) any and all product improvements, additional claims, line extensions, dosage changes and alternate
delivery systems and formulations, in each case, with respect to only such combination medicine set forth in clause (a) comprising
UMEC with VI, with no other therapeutically active component (and explicitly excluding either component as a monotherapy).

 

“Applicable
Law” means, with respect to any Person, all laws, rules, regulations and orders of Governmental Authorities applicable
to such Person or any of its properties or assets.

 

    3

     

    

 

“Applicable
Procedures” means the provisions of the rules and procedures of DTC, the “Operating Procedures of the Euroclear
System” and “Terms and Conditions Governing Use of Euroclear” and the “General Terms and Conditions of
Clearstream Banking” and “Customer Handbook” of Clearstream, as in effect from time to time.

 

“Applicants”
has the meaning set forth in Section 6.13 of the Indenture.

 

“Authorized
Agent” means, with respect to the Notes, any authorized Calculation Agent, Paying Agent, Transfer Agent or Registrar
acting as such for the Notes.

 

“Authorized
Parties” has the meaning set forth in Section 7(a) of the Account Control Agreement.

 

“Available
Collections Amount” means, for any Payment Date, the sum of (a) the amount of Dollars on deposit in the Collection Account
as of the Calculation Date preceding such Payment Date and (b) the amount of any investment income on amounts on deposit in the
Accounts as of such Calculation Date.

 

“Bankruptcy
Code” means Title 11 of the United States Code, as amended.

 

“Bankruptcy
Event” means the occurrence of any of the following in respect of a Person: (a) an admission in writing by such Person
of its inability to pay its debts generally or a general assignment by such Person for the benefit of creditors; (b) the filing
of any petition or answer by such Person seeking to adjudicate itself as bankrupt or insolvent, or seeking for itself any liquidation,
winding-up, reorganization, arrangement, adjustment, protection, relief or composition of such Person or its debts under any Applicable
Law relating to bankruptcy, insolvency, receivership, winding-up, liquidation, reorganization, examination, relief of debtors or
other similar Applicable Law now or hereafter in effect, or seeking, consenting to or acquiescing in the entry of an order for
relief in any case under any such Applicable Law, or the appointment of or taking possession by a receiver, trustee, custodian,
liquidator, examiner, assignee, sequestrator or other similar official for such Person or for any substantial part of its property;
(c) corporate or other entity action taken by such Person to authorize any of the actions set forth in clause (a) or clause (b)
above; or (d) without the consent or acquiescence of such Person, the entering of an order for relief or approving a petition for
relief or reorganization or any other petition seeking any reorganization, arrangement, composition, readjustment, liquidation,
dissolution or other similar relief under any present or future bankruptcy, insolvency or similar Applicable Law, or the filing
of any such petition against such Person, or, without the consent or acquiescence of such Person, the entering of an order appointing
a trustee, custodian, receiver or liquidator of such Person or of all or any substantial part of the property of such Person, in
each case where such petition or order shall remain unstayed or shall not have been stayed or dismissed within 90 days from entry
thereof.

 

“Beneficial
Holder” means any Person that holds a Beneficial Interest in any Global Note through an Agent Member.

 

“Beneficial
Interest” means any beneficial interest in any Global Note, whether held directly by an Agent Member or held indirectly
through an Agent Member’s beneficial interest in such Global Note.

 

    4

     

    

 

“Board of
Managers” means the board of managers of the Issuer as constituted pursuant to the Issuer’s amended and restated
limited liability company agreement.

 

“BREO/RELVAR”
means (a) the combination medicine comprising FF and VI, with no other therapeutically active component, and explicitly excluding
either component as a monotherapy, and which is proposed, as of the date hereof, to be sold under the brand name “BREO®
ELLIPTA®” in the United States and “RELVAR® ELLIPTA®” in the European
Union and Japan, and (b) any and all product improvements, additional claims, line extensions, dosage changes and alternate delivery
systems and formulations, in each case, with respect only to such combination medicine set forth in clause (a) comprising FF and
VI, with no other therapeutically active component (and explicitly excluding either component as a monotherapy).

 

“Business
Day” means any day that is not a Saturday, Sunday or other day on which commercial banks in New York, New York, or Los
Angeles, California or the city in which the Corporate Trust Office of the Trustee is located (which as of the Closing Date will
be Boston, Massachusetts) are authorized or required by Applicable Law to remain closed.

 

“Calculation
Agent” means U.S. Bank National Association, a national banking association, as Calculation Agent under the Indenture,
and any successor appointed pursuant to Section 2.3 or Section 7.2 of the Indenture.

 

“Calculation
Date” means, for any Payment Date, the second Business Day preceding such Payment Date.

 

“Calculation
Date Information” means, with respect to any Calculation Date, the information provided by the Servicer under Section
3.1(f)(iv) of the Servicing Agreement with respect to such Calculation Date.

 

“Calculation
Report” has the meaning set forth in Section 3.4(b) of the Indenture.

 

“Capital Securities”
means, with respect to any Person, all shares, interests, participations or other equivalents (however designated, whether voting
or non-voting) of such Person’s capital, whether now outstanding or issued after the Closing Date, including common shares,
ordinary shares, preferred shares, membership interests or share capital in a limited liability company or other Person, limited
or general partnership interests in a partnership, beneficial interests in trusts or any other equivalent of such ownership interest
or any options, warrants and other rights to acquire such shares or interests, including rights to allocations and distributions,
dividends, redemption payments and liquidation payments.

 

“Cash Purchase
Price” has the meaning set forth in Section 2.2 of the Sale and Contribution Agreement.

 

“Cede”
has the meaning set forth in Section 2.1(b) of the Indenture.

 

“Change of
Control” means, with respect to the Equityholder (or any parent entity of the Equityholder), any merger, consolidation
or amalgamation (or any transaction substantially similar to any of the foregoing) with, or, in the case of clause (a) below, a
sale of all or substantially all of the assets of the Equityholder (or such parent entity) to, any other Person if the Equityholder
(or such parent entity) (a) is not the continuing or surviving entity but the continuing or surviving entity shall have assumed
all of the obligations of the Equityholder under the Transaction Documents to which the Equityholder is a party immediately prior
to such transaction (including the Equityholder’s obligations under the Pledge and Security Agreement in accordance with
Sections 6.1 and 17.1 of the Pledge and Security Agreement), or (b) is the continuing or surviving entity.

 

    5

     

    

 

“Class B Units”
means the Class B units issued by TRC LLC pursuant to the TRC LLC Agreement.

 

“Class C Distributions”
means any and all payments, distributions or other amounts that are payable to the Issuer, as a holder of the Issuer Class C Units,
pursuant to the TRC LLC Agreement.

 

“Class C Units”
means the Class C units issued by TRC LLC pursuant to the TRC LLC Agreement.

 

“Clearing
Agency” means an organization registered as a “clearing agency” pursuant to Section 17A of the Exchange Act
or any successor provision thereto or Euroclear or Clearstream.

 

“Clearing
Agency Participant” means a broker, dealer, bank, other financial institution or other Person for whom from time to time
a Clearing Agency effects book-entry transfers and pledges of securities deposited with the Clearing Agency.

 

“Clearstream”
means Clearstream Banking, a French société anonyme.

 

“Closing”
has the meaning set forth in Section 7.1 of the Sale and Contribution Agreement.

 

“Closing Date”
means February 28, 2020.

 

“Code”
means the U.S. Internal Revenue Code of 1986, as amended, and the regulations thereunder.

 

“Collaboration
Agreement” means that certain Collaboration Agreement, dated as of November 14, 2002, by and between Innoviva and GSK,
as amended from time to time.

 

“Collateral”
has the meaning set forth in the Granting Clauses of the Indenture.

 

“Collateral
Account” has the meaning set forth in Section 1(a) of the Account Control Agreement.

 

“Collection
Account” has the meaning set forth in Section 3.1(a) of the Indenture.

 

“Confidential
Information” means, as it relates to the Transferor and its Affiliates, the Products, all information, data and know-how
(whether written or oral, or in electronic or other form) involving or relating in any way, directly or indirectly, to the Products,
the GSK Agreements, the TRC LLC Agreement and the Transferred Assets, including (a) any license, sublicense, assignment, product
development, royalty, sale, supply or other agreements involving or relating in any way, directly or indirectly, to the Products
and the Transferred Assets or the intellectual property, compounds or products giving rise to any royalty payments that may be
generated from the Products, and including all terms and conditions thereof and the identities of the parties thereto, (b) any
reports, data, materials or other documents of any kind concerning or relating in any way, directly or indirectly, to the Transferor,
the Products, the GSK Agreements, the TRC LLC Agreement and the Transferred Assets or the intellectual property, compounds or products
giving rise to any royalty payments that may be generated from the Products, and including reports, data, materials or other documents
of any kind delivered pursuant to or under any of the agreements referred to in clause (a) above, and (c) any inventions, devices,
improvements, formulations, discoveries, compositions, ingredients, patents, patent applications, know-how, processes, trial results,
research, developments or any other intellectual property, trade secrets or information involving or relating in any way, directly
or indirectly, to the Transferred Assets or the compounds or products giving rise to the Transferred Assets; provided, however,
that Confidential Information shall not include information that is (i) already in the public domain at the time information, data
and know-how are disclosed other than as a result of disclosure in violation of the confidentiality undertakings in the Sale and
Contribution Agreement or (ii) lawfully obtained from other sources on a non-confidential basis.

 

    6

     

    

 

“Confidentiality
Agreement” means, with respect to Noteholders or Beneficial Holders at the Closing Date with respect to the Original
Notes (or, with respect to Noteholders or Beneficial Holders with respect to any Subordinated Notes or any Refinancing Notes),
a confidentiality agreement for the benefit of the Issuer provided in each case to the Registrar on or prior to the Closing Date
(or on or prior to the date of issuance of any such Subordinated Notes or Refinancing Notes), and otherwise means a confidentiality
agreement for the benefit of the Issuer substantially in the form of Exhibit B to the Indenture or substantially in the
form of any confidentiality agreement referenced in Schedule 1 to each Note Purchase Agreement; provided, that such
Confidentiality Agreement shall include a certification from each prospective purchaser of the Notes or a beneficial interest therein
that is a signatory thereto that it is not a Restricted Party.

 

“Controlling
Party” means Noteholders holding more than 50% of the aggregate Outstanding Principal Balance of the Senior Class of
Notes, which, for the avoidance of doubt, shall exclude the Senior Class of Notes held by (i) any Person that has not delivered
to the Trustee a Confidentiality Agreement or a written certification in the form attached as Exhibit H to the Indenture
in which such Person certifies it is not a Restricted Party or (ii) any Person that has delivered the written certification in
clause (i) above, but is nonetheless determined by the Issuer, or the Servicer on its behalf, to be a Restricted Party;
provided, that for purposes of calculating whether the definition of “Controlling Party” has been satisfied,
the Notes beneficially owned by Theravance Biopharma R&D and any of its Affiliates shall be excluded from this calculation.
For the avoidance of doubt, the transfer of an interest in the Notes to a Non-Permitted Holder shall be deemed null and void for
all purposes under the Indenture including from this calculation.

 

“Corporate
Trust Office” means the office of the Trustee in the city at which at any particular time the Trustee’s duties
under the Transaction Documents shall be principally administered and, on the Closing Date, shall be U.S. Bank National Association,
One Federal Street, 3rd Floor, Boston, Massachusetts 02110, Attention: Corporate Trust Services (Triple Royalty Sub II LLC).

 

    7

     

    

 

“Default”
means a condition, event or act that, with the giving of notice or the lapse of time or both, would constitute an Event of Default.

 

“Definitive
Notes” has the meaning set forth in Section 2.11(n) of the Indenture.

 

“Direction”
means any direction, consent, request, demand, authorization, notice, waiver or other Act.

 

“Distribution
Report” has the meaning set forth in Section 2.13(a) of the Indenture.

 

“Dollar”
or the sign “$” means United States dollars.

 

“DTC”
means The Depository Trust Company, its nominees and their respective successors.

 

“Eligibility
Requirements” has the meaning set forth in Section 2.3(c) of the Indenture.

 

“Eligible
Account” means a trust account maintained on the books and records of an Eligible Institution in the name of the Issuer.

 

“Eligible
Institution” means any bank organized under the laws of the U.S. or any state thereof or the District of Columbia (or
any U.S. branch of a non-U.S. bank), which at all times has either (a) a long-term unsecured debt rating of at least A2 by Moody’s
and A by S&P or (b) a certificate of deposit rating of at least P-1 by Moody’s and A-1 by S&P.

 

“Eligible
Investments” means, in each case, book-entry securities, negotiable instruments or securities represented by instruments
in bearer or registered form that evidence:

 

(a)            direct
obligations of, and obligations fully Guaranteed as to timely payment of principal and interest by, the U.S. or any agency or
instrumentality thereof the obligations of which are backed by the full faith and credit of the U.S. (having original maturities
of no more than 365 days or such lesser time as is required for the distribution of funds); or

 

(b)           demand deposits, time deposits or certificates of deposit of the Trustee or of depositary institutions or trust companies
organized under the laws of the U.S. or any state thereof or the District of Columbia (or any U.S. branch of a non-U.S. bank) with
capital and surplus of not less than $500,000,000 (i) having original maturities of no more than 365 days or such lesser time as
is required for the distribution of funds; provided, that, at the time of investment or contractual commitment to invest
therein, the short-term debt rating of such depositary institution or trust company shall be at least P-1 by Moody’s and
A-1 by S&P or (ii) having maturities of more than 365 days and, at the time of the investment or contractual commitment to
invest therein, a rating of at least A2 by Moody’s and A by S&P;

 

provided, however, that no
investment shall be made in any obligations of any depositary institution or trust company that is identified in a written notice
to the Trustee from the Issuer or the Servicer as having a contractual right to set off and apply any deposits held, or other indebtedness
owing, by the Issuer to or for the credit or the account of such depositary institution or trust company, unless such contractual
right by its terms expressly excludes all Eligible Investments.

 

    8

     

    

 

“Equityholder”
means, as of any date of determination, the holder or holders of the Capital Securities of the Issuer as of such date (which as
of the Closing Date shall be Theravance Biopharma R&D).

 

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

 

“ERISA Affiliate”
means any entity (whether or not incorporated) that is treated as a single employer together with the Issuer or Theravance Biopharma
R&D under Section 414 of the Code.

 

“Euroclear”
means Euroclear Bank S.A./N.V., as operator of the Euroclear system.

 

“Event of
Default” has the meaning set forth in Section 4.1 of the Indenture.

 

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

 

“Extension
Agreement” means that certain Extension Agreement, dated as of March 3, 2014, between Theravance Biopharma and GSK.

 

“FDA”
means the U.S. Food and Drug Administration and any successor agency thereto.

 

“FF”
means the inhaled corticosteroid fluticasone furoate or an ester, salt or other noncovalent derivative thereof.

 

“Final Legal
Maturity Date” means, with respect to (a) the Original Notes, June 5, 2035, and (b) with respect to any Subordinated
Notes or Refinancing Notes, the date specified in the indenture supplemental to the Indenture providing for their issuance; provided,
that the Final Legal Maturity Date with respect to any Subordinated Notes where the proceeds thereof are not used to redeem or
refinance all of the Outstanding Original Notes (or any Refinancing Notes in respect thereof) shall be no earlier than June 5,
2035.

 

“Financial
Institution” has the meaning set forth in the preamble to the Account Control Agreement.

 

“Fixed Rate
Notes” means (a) the Original Notes and (b) any Subordinated Notes or Refinancing Notes issued with a fixed rate of interest.

 

“Floating
Rate Notes” means any Subordinated Notes or Refinancing Notes issued with a floating or variable rate of interest.

 

“GAAP”
means generally accepted accounting principles in effect in the United States from time to time.

 

    9

     

    

 

“Global Notes”
means any Rule 144A Global Note, IAI Global Note and Regulation S Global Note.

 

“Governmental
Authority” means the government of the United States, any other nation or any political subdivision thereof, whether
state or local, and any agency, authority (including supranational authority), commission, instrumentality, regulatory body, court,
central bank or other Person exercising executive, legislative, judicial, taxing, regulatory or administrative powers or functions
of or pertaining to government, including each patent office, the FDA and any other government authority in any jurisdiction.

 

“Grant”
means to grant, bargain, sell, warrant, alienate, remise, demise, release, convey, assign, transfer, mortgage, pledge, create and
grant a security interest in, deposit, set over and confirm. A Grant of any item of the Collateral shall include all rights, powers
and options (but none of the obligations) of the granting party thereunder, including the immediate and continuing right to claim
for, collect, receive and give receipt for principal and interest payments in respect of such item of the Collateral, and all other
monies payable thereunder, to give and receive notices and other communications, to make waivers or other agreements, to exercise
all rights and options, to bring any suit in equity, action at law or other judicial or administrative proceeding in the name of
the granting party or otherwise, and generally to do and receive anything that the granting party may be entitled to do or receive
thereunder or with respect thereto.

 

“Grantor”
has the meaning set forth in the preamble to the Account Control Agreement.

 

“GSK”
means Glaxo Group Limited, a private company limited by shares registered under the laws of England and Wales.

 

“GSK Agreements”
has the meaning set forth in the recitals to the Sale and Contribution Agreement.

 

“Guarantee”
means any obligation, contingent or otherwise, of any Person directly or indirectly guaranteeing any indebtedness or other obligation
of any other Person and, without limiting the generality of the foregoing, any obligation, direct or indirect, contingent or otherwise,
of such Person (a) to purchase or pay (or advance or supply funds for the purchase or payment of) such indebtedness or other obligation
of such other Person or (b) entered into for purposes of assuring in any other manner the obligee of such indebtedness or other
obligation of the payment thereof or to protect such obligee against loss in respect thereof (in whole or in part); provided,
that the term “Guarantee” shall not include endorsements for collection or deposit in the ordinary course of
business. The term “Guarantee” when used as a verb has a corresponding meaning.

 

“H.15”
means the weekly statistical release designated as such, or any successor publication, published by the Board of Governors of the
Federal Reserve System, and the most recent H.15 is the H.15 published prior to the close of business on the fourth Business Day
prior to the applicable Redemption Date.

 

“HMRC”
mean the non-ministerial department of the government of the United Kingdom responsible for the collection of taxes named Her Majesty’s
Revenue and Customs.

 

    10

     

    

 

“Holder”
or “Noteholder” means any Person in whose name a Note is registered from time to time in the Register for such
Note.

 

“IAI”
or “Institutional Accredited Investor” means a Person that is an accredited investor as that term is defined in
Rule 501(a)(1), (2), (3) or (7) of Regulation D under the Securities Act.

 

“IAI Global
Note” has the meaning set forth in Section 2.1(b) of the Indenture.

 

“IAI/QP”
has the meaning set forth in Section 2.1(b) of the Indenture.

 

“Important
Section 3(c)(7) Notice” has the meaning specified in Section 2.17(a) of the Indenture.

 

“Indemnitee”
and “Indemnitees” each has the meaning set forth in Section 19.1 of the Pledge and Security Agreement.

 

“Indenture”
means that certain indenture, dated as of the Closing Date, by and between the Issuer and U.S. Bank National Association, as the
initial trustee, transfer agent, paying agent, registrar and calculation agent.

 

“Independent
Consultant” has the meaning set forth in Section 4.4(g) of each Note Purchase Agreement.

 

“Independent
Consultant’s Report” has the meaning set forth in Section 4.4(g) of each Note Purchase Agreement.

 

“Independent
Manager” means a natural person who, (A) (1) has prior experience as an independent director, independent manager or
independent member with at least three years of employment experience with one or more entities that provide, in the ordinary course
of their respective businesses, advisory, management or placement services to issuers of securitization or structured finance instruments,
agreements or securities and (2) is provided by CICS, LLC, CT Corporation, Corporation Service Company, National Registered Agents,
Inc., Wilmington Trust Company SP Services, Inc., Stewart Management Company, TMF Group New York LLC or, if none of those companies
is then providing professional independent managers, another nationally-recognized company reasonably approved by the Equityholder,
in each case that is not an Affiliate of the Issuer and that provides professional independent managers and other corporate services
in the ordinary course of its business, (B) is not, and has not been for a period of five years prior to his or her appointment
as an independent manager of the Issuer: (1) a stockholder (whether direct, indirect or beneficial), counterparty under a contract
for commercial services, advisor or supplier of the Equityholder or any of its Affiliates (the “Parent Group”),
(2) a director, officer, employee, partner, attorney or consultant of the Parent Group, (3) a person related to any person referred
to in clause (B)(1) or (B)(2) above, (4) a person controlling or under common control with any such stockholder, partner, counterparty
under a contract for commercial services, supplier, employee, officer or director or (5) a trustee, conservator or receiver for
any member of the Parent Group and (C) shall not at any time serve as a trustee in bankruptcy for the Issuer, the Equityholder
or any Affiliate thereof, and shall insure that (v) no resignation or removal of an Independent Manager shall be effective until
a successor Independent Manager is appointed and such successor shall have accepted his or her appointment as an Independent Manager
by a written instrument, (w) at least two members of the Issuer’s Board of Managers shall be Independent Managers, (x) the
Issuer’s Board of Managers shall not approve, or take any other action to cause the filing of, a voluntary bankruptcy petition
with respect to the Issuer or consent to an involuntary bankruptcy petition with respect to the Issuer unless a unanimous vote
of the Issuer’s Board of Managers (which vote shall include the affirmative vote of the Independent Managers) shall approve
the taking of such action in writing prior to the taking of such action, (y) the Issuer’s Board of Managers shall not vote
on any matter requiring the vote of its Independent Managers under its limited liability company agreement unless and until each
Independent Manager is then serving on the Issuer’s Board of Managers and (z) the provisions requiring Independent Managers
and the provisions described in clauses (x) and (y) of this definition cannot be amended without the prior written consent of the
Equityholder.

 

    11

     

    

 

“Information
Package” has the meaning set forth in Section 4.4(a) of each Note Purchase Agreement.

 

“INHAM”
has the meaning set forth in Section 4.3(f) of each Note Purchase Agreement.

 

“INHAM Exemption”
has the meaning set forth in Section 4.3(f) of each Note Purchase Agreement.

 

“Initial Notice”
has the meaning set forth in Section 4.17(a) of the Indenture.

 

“Innoviva”
means Innoviva, Inc. (formerly known as Theravance, Inc.), a Delaware corporation.

 

“Innoviva
Instruction” means the irrevocable direction to Innoviva in the form set forth in Exhibit A to the Sale and Contribution
Agreement.

 

“Interest
Accrual Period” means the period beginning on (and including) the Closing Date (or, with respect to any Subordinated
Notes or any Refinancing Notes, the date of issuance of such Subordinated Notes or Refinancing Notes) and ending on (but excluding)
the June 5, 2020 Payment Date and each successive period beginning on (and including) a Payment Date and ending on (but excluding)
the succeeding Payment Date; provided, however, that the final Interest Accrual Period shall end on but exclude the
final Payment Date (or, if earlier, with respect to any class of Notes repaid in full, the date such class of Notes is repaid in
full).

 

“Interest
Amount” means, with respect to the Outstanding Principal Balance of any class of Notes, on any Payment Date, the amount
of accrued and unpaid interest at the Note Interest Rate with respect to the Outstanding Principal Balance of such class of Notes
on such Payment Date (including any Additional Interest, if any), determined in accordance with the terms thereof (including interest
accruing after the commencement of a proceeding in bankruptcy, insolvency or similar Applicable Law, whether or not permitted as
a claim under such Applicable Law).

 

“Interest
Deferral Period” has the meaning set forth in Section 3.7(a) of the Indenture.

 

“Interest
Shortfall” has the meaning set forth in Section 3.4(a)(ix) of the Indenture.

 

    12

     

    

 

“Investment
Company Act” means the U.S. Investment Company Act of 1940, as amended, and the regulations thereunder.

 

“Involuntary
Bankruptcy” means, without the consent or acquiescence of the Issuer, the entering of an order for relief or approving
a petition for relief or reorganization or any other petition seeking any reorganization, arrangement, composition, readjustment,
liquidation, dissolution or other similar relief under any present or future bankruptcy, insolvency or similar Applicable Law,
or the filing of any such petition against the Issuer, or, without the consent or acquiescence of the Issuer, the entering of an
order appointing a trustee, custodian, receiver or liquidator of the Issuer or of all or any substantial part of the property of
the Issuer, in each case where such petition or order shall remain unstayed or shall not have been stayed or dismissed within 90
days from entry thereof.

 

“IRS”
means the U.S. Internal Revenue Service.

 

“Issuer”
means Triple Royalty Sub II LLC, a Delaware limited liability company, as issuer of the Notes pursuant to the Indenture.

 

“Issuer Class
C Units” means the 6,375 Class C Units in TRC LLC that were sold, contributed, assigned, transferred, conveyed and granted
to the Issuer pursuant to the Sale and Contribution Agreement.

 

“Issuer Organizational
Documents” means the certificate of formation of the Issuer dated as of October 24, 2018, and the amended and restated
limited liability company agreement of the Issuer dated as of the Closing Date.

 

“Issuer Pledged
Collateral” has the meaning set forth in Section 2.1 of the Pledge and Security Agreement.

 

“Issuer Pledged
Equity” has the meaning set forth in Section 2.1(a) of the Pledge and Security Agreement.

 

“Item”
or “Items” has the meaning set forth in Section 4 of the Account Control Agreement.

 

“Judgment
Currency” has the meaning set forth in Section 12.9(e) of the Indenture.

 

“Legend”
has the meaning set forth in Section 2.2(d) of the Indenture.

 

“Lien”
means any security interest, mortgage, pledge, hypothecation, assignment, deposit arrangement, encumbrance, lien (statutory or
otherwise), charge against or interest in property or other priority or preferential arrangement of any kind or nature whatsoever,
in each case to secure payment of a debt or performance of an obligation, including any conditional sale or any sale with recourse.

 

“Loss”
means any loss, assessment, award, cause of action, claim, charge, cost, expense (including expenses of investigation, enforcement
and attorneys’ fees), fine, judgment, liability, obligation, penalty, or Set-off.

 

    13

     

    

 

“MABA”
means inhaled Bifunctional Muscarinic Antagonist-Beta2 Agonist, as monotherapy and in combination with other therapeutically active
components, such as an inhaled corticosteroid.

 

“Manager”
means a manager of the Issuer.

 

“Mandatory
Tax Redemption” has the meaning set forth in Section 3.8(e) of the Indenture.

 

“Master Agreement”
means the Master Agreement, dated as of March 3, 2014, among Innoviva, Theravance Biopharma and GSK, as amended from time to time.

 

“Material
Adverse Change” means any event, circumstance or change that would reasonably be expected to result, individually or
in the aggregate, in a material adverse effect on (i) the legality, validity or enforceability of any of the Transaction Documents,
the GSK Agreements or the back-up security interest granted pursuant to the Sale and Contribution Agreement, (ii) the right or
ability of the Transferor (or any of its permitted assignees under the Sale and Contribution Agreement), the Issuer, Theravance
Biopharma or the Servicer to perform any of its obligations under any of the Transaction Documents to which it is a party, or to
consummate the transactions contemplated under any of the Transaction Documents, (iii) the rights or remedies of the Issuer under
the Transaction Documents or the TRC LLC Agreement in respect of the Class C Units, (iv) the timing, amount or duration of any
payment or distribution that may be made with respect to the Notes, (v) the ability of the Trustee to realize the practical benefit
of the Collateral or (vi) the right of the Trustee to realize the practical benefit of the Pledge and Security Agreement (including
any failure to have a perfected Lien on any of the Issuer Pledged Collateral as required by the Indenture); provided, that
any Material Adverse Change that results from any action or inaction taken by the Transferor and its permitted transferees, successors
and permitted assigns (as applicable), with respect to the Strategic Alliance Agreement or any other agreement or drug program,
including but not limited to the MABA program (other than the Collaboration Agreement and drug programs under the Collaboration
Agreement), including a transfer, sale, mortgage, pledge, assignment or disposal of, either directly or indirectly, in whole or
in part, by operation of law or otherwise, its interest in any such agreement or drug program, shall not be deemed to be a Material
Adverse Change under the Transaction Documents.

 

“Material
Adverse Effect” means any one or more of: (a) a material adverse effect on the ability of the Transferor to consummate
the transactions contemplated under the Transaction Documents to which it is a party and perform its obligations thereunder or
(b) a material adverse effect on the validity or enforceability of the Transaction Documents or the rights of the Transferee thereunder
or under the TRC LLC Agreement in respect of the Issuer Class C Units; provided, that any Material Adverse Effect that results
from any action or inaction taken by the Transferor and its permitted transferees, successors and permitted assigns (as applicable),
with respect to any agreement or drug program (other than the Collaboration Agreement and drug programs under the Collaboration
Agreement), including the Strategic Alliance Agreement and/or any drug programs (including the MABA program) that are covered under
the Strategic Alliance Agreement, including a transfer, sale, mortgage, pledge, assignment or disposal of, either directly or indirectly,
in whole or in part, by operation of law or otherwise, its interest in the MABA program, shall not be deemed to be a Material Adverse
Effect under the Transaction Documents.

 

    14

     

    

 

“Moody’s”
means Moody’s Investors Service, Inc. and any successor to its rating agency business or, if such corporation or its successor
shall for any reason no longer perform the functions of a rating agency, “Moody’s” shall be deemed to
refer to any other nationally recognized statistical rating organization (within the meaning ascribed thereto by the Exchange Act)
designated by the Issuer.

 

“NAIC Annual
Statement” has the meaning set forth in Section 4.3(b) of each Note Purchase Agreement.

 

“Nomination
Period” has the meaning set forth in Section 4.17(a) of the Indenture.

 

“Nominee”
has the meaning set forth in Section 4.17(a) of the Indenture.

 

“Non-Permitted
Holder” has the meaning set forth in Section 2.19(a) of the Indenture.

 

“Non-U.S.
Person” means a person who is not a U.S. person within the meaning of Regulation S.

 

“Non-U.S.
Person/QP” has the meaning set forth in Section 2.1(b) of the Indenture.

 

“Non-U.S.
Plan” means any plan, fund or other similar program that (a) is established or maintained outside the United States by
the Issuer, Theravance Biopharma R&D or any of their respective Subsidiaries primarily for the benefit of employees of the
Issuer, Theravance Biopharma R&D or one or more their respective Subsidiaries residing outside the United States, which plan,
fund or other similar program provides, or results in, retirement income, a deferral of income in contemplation of retirement or
payments to be made upon termination of employment, and (b) is not subject to ERISA or the Code.

 

“Note Interest
Rate” means, with respect to any class of the Notes for any Interest Accrual Period, the interest rate set forth in such
class of Notes for such Interest Accrual Period.

 

“Note Purchase
Agreement” or “Note Purchase Agreements” means those certain note purchase agreements dated the Closing
Date among the Issuer, Theravance Biopharma R&D and the Note Purchasers named therein; provided, that each such Note
Purchase Agreement shall include a certification from each Note Purchaser party thereto that it is not a Restricted Party.

 

“Note Purchase
Price” has the meaning set forth in Section 3.1 of each Note Purchase Agreement.

 

“Note Purchasers”
has the meaning set forth in Section 1.1 of each Note Purchase Agreement.

 

“Notes”
means the Original Notes, any Subordinated Notes and any Refinancing Notes.

 

“Notice of
Exclusive Control” has the meaning set forth in Section 7(a) of the Account Control Agreement.

 

    15

     

    

 

“Notices”
means notices, demands, certificates, requests, directions, instructions and communications.

 

“Observer”
has the meaning set forth in Section 4.17(a) of the Indenture.

 

“Officer’s
Certificate” means a certificate signed by, with respect to the Issuer, a Responsible Officer of the Issuer and, with
respect to any other Person, any officer, director, manager, partner, trustee or equivalent representative of such Person.

 

“Opinion of
Counsel” means a written opinion signed by legal counsel, who may be an employee of or counsel to the Issuer or the Transferor,
that meets the requirements of Section 1.2 of the Indenture.

 

“Optional
Redemption” has the meaning set forth in Section 3.8(b) of the Indenture.

 

“Original
Notes” means the Triple II 9.5% Fixed Rate Term Notes due June 5, 2035 of the Issuer in the initial Outstanding Principal
Balance of $400,000,000, substantially in the form of Exhibit A-1, Exhibit A-2, Exhibit A-3, Exhibit A-4 or Exhibit A-5 to the
Indenture.

 

“Other Agreements”
has the meaning set forth in Section 3.1 of each Note Purchase Agreement.

 

“Other Note
Purchasers” has the meaning set forth in Section 3.1 of each Note Purchase Agreement.

 

“Other Prices”
has the meaning set forth in Section 3.1 of each Note Purchase Agreement.

 

“Outstanding”
means (a) with respect to the Notes of any class at any time, all Notes of such class theretofore authenticated and delivered by
the Trustee except (i) any such Notes cancelled by, or delivered for cancellation to, the Trustee, (ii) any such Notes, or portions
thereof, for the payment of principal of and accrued and unpaid interest on which moneys have been distributed to Noteholders by
the Trustee and any such Notes, or portions thereof, for the payment or redemption of which moneys in the necessary amount have
been deposited in the Collection Account for such Notes; provided, that, if such Notes are to be redeemed prior to the maturity
thereof in accordance with the requirements of Section 3.8 of the Indenture, written notice of such Redemption shall have been
given and not rescinded as provided in Section 3.9 of the Indenture, or provision satisfactory to the Trustee shall have been made
for giving such written notice, and, if Redemption does not occur, then this clause (ii) ceases to apply as of the date that was
supposed to be the date of Redemption, (iii) any such Notes in exchange or substitution for which other Notes, as the case may
be, have been authenticated and delivered, or which have been paid pursuant to the terms of the Indenture (unless proof satisfactory
to the Trustee is presented that any of such Notes is held by a Person in whose hands such Note is a legal, valid and binding obligation
of the Issuer), or (iv) any such Notes held by (1) any Holder or Beneficial Holder that has not delivered to the Trustee a Confidentiality
Agreement or a written certification to the Trustee in the form attached as Exhibit H to the Indenture in which it has certified
that it is not a Restricted Party, (2) any Noteholder or Beneficial Holder that has delivered the written certification in subclause
(1) above, but is nonetheless determined by the Issuer, or the Servicer on its behalf, to be a Restricted Party or (3) any
other Non-Permitted Holder, the Issuer, the Equityholder, Theravance Biopharma or any Affiliate of any such Person; and (b) when
used with respect to any other evidence of indebtedness, at any time, any principal amount thereof then unpaid and outstanding
(whether or not due or payable).

 

    16

     

    

 

“Outstanding
Principal Balance” means, with respect to any Note or other evidence of indebtedness Outstanding, at any time of determination,
the total principal amount of such Note or other evidence of indebtedness unpaid and Outstanding at such time, as determined in
the case of the Notes in the Calculation Report to be provided to the Issuer (or the Servicer) and the Trustee by the Calculation
Agent pursuant to Section 3.4 of the Indenture.

 

“Paying Agent”
has the meaning set forth in Section 2.3(a) of the Indenture.

 

“Payment Date”
means March 5, June 5, September 5 and December 5 of each year, commencing with June 5, 2020 and including the Final Legal Maturity
Date, or, if any such date is not a Business Day, the immediately following Business Day.

 

“Permanent
Regulation S Global Note” has the meaning set forth in Section 2.1(b) of the Indenture.

 

“Permitted
Holder” means (a) the Transferor, (b) Theravance Biopharma, (c) the Issuer and (d) any Person (including the Noteholders)
that has executed a Confidentiality Agreement and delivered such Confidentiality Agreement to the Registrar in accordance with
the terms of the Indenture; provided, that a Restricted Party may not be a Permitted Holder.

 

“Permitted
Lien” means (a) any lien for Taxes, assessments and governmental charges or levies not yet due and payable or that are
being diligently contested in good faith by appropriate proceedings and for which adequate reserves in accordance with GAAP have
been set aside on the books of the relevant Person, (b) any Lien created in favor of the Trustee and (c) any other Lien created
under or expressly permitted under the Transaction Documents (including any security interest created or required to be created
under the Indenture, including in connection with the issuance of any Subordinated Notes and any Refinancing Notes).

 

“Person”
means any natural person, firm, corporation, limited liability company, partnership, joint venture, association, joint-stock company,
trust, unincorporated organization, Governmental Authority or any other legal entity, including public bodies, whether acting in
an individual, fiduciary or other capacity.

 

“Placement
Agent” means Cowen and Company, LLC.

 

“Plan”
means (i) an employee benefit plan (within the meaning of Section 3(3) of ERISA) subject to Title I of ERISA, (ii) a plan (within
the meaning of Section 4975(e)(1) of the Code) subject to Section 4975 of the Code (including an individual retirement account
or annuity) or (iii) an employee benefit plan subject to any Similar Laws.

 

“Plan Assets”
has the meaning given to such term by Section 3(42) of ERISA and regulations issued by the U.S. Department of Labor, but also includes
assets of an employee benefit plan (within the meaning of Section 3(3) of ERISA) subject to Similar Laws.

 

    17

     

    

 

“Pledge and
Security Agreement” means that certain pledge and security agreement, dated as of the Closing Date, made by Theravance
Biopharma R&D in favor of the Trustee.

 

“Premium”
means, with respect to any Note on any Redemption Date, any Redemption Premium, if applicable, or, with respect to any Redemption
Date, the portion of the Redemption Price of the Notes being redeemed in excess of the Outstanding Principal Balance of the Notes
being redeemed.

 

“Price”
has the meaning set forth in Section 3.1 of each Note Purchase Agreement.

 

“Priority
of Payments” has the meaning set forth in Section 3.6(a) of the Indenture.

 

“Products”
means Trelegy Ellipta, MABA, and any other product or combination of products that may be discovered and developed in the future
under the portion of the GSK Agreements assigned to TRC LLC.

 

“PTE”
has the meaning set forth in Section 4.3(b) of each Note Purchase Agreement.

 

“Purchase
Price” has the meaning set forth in Section 2.2 of the Sale and Contribution Agreement.

 

“Purchaser”
has the meaning set forth in Section 1.1 of each Note Purchase Agreement.

 

“QIB”
or “Qualified Institutional Buyer” means a “qualified institutional buyer” within the meaning of Rule
144A.

 

“QIB/QP”
has the meaning set forth in Section 2.1(b) of the Indenture.

 

“QPAM”
has the meaning set forth in Section 4.3(e) of each Note Purchase Agreement.

 

“QPAM Exemption”
has the meaning set forth in Section 4.3(e) of each Note Purchase Agreement.

 

“Qualified
Purchaser” means a “qualified purchaser” under Section 2(a)(51)(A) of the Investment Company Act.

 

“Receiver”
means any Person or Persons appointed as (and any additional Person or Persons appointed or substituted as) administrative receiver,
receiver, manager or receiver and manager.

 

“Recharacterization
Event” has the meaning set forth in Section 2.1(d) of the Sale and Contribution Agreement.

 

“Record Date”
means, with respect to each Payment Date, the close of business on the fifteenth day preceding such Payment Date (without regard
to whether such date is a Business Day) or, with respect to the date on which any Direction is to be given by the Noteholders,
the close of business on the last Business Day prior to the solicitation of the Direction.

 

    18

     

    

 

“Redemption”
means any Optional Redemption and any other redemption of Notes described in Section 3.8(c) of the Indenture.

 

“Redemption
Date” means the date, which may be any Business Day with respect to any Redemption in whole, or any Payment Date with
respect to any Redemption in part, on which Notes are redeemed pursuant to a Redemption in each case on and after February 28,
2022.

 

“Redemption
Percentage” means the percentage value set forth in the table in the definition of Redemption Price.

 

“Redemption
Premium” means, in the case of any Subordinated Notes or Refinancing Notes, the amount, if any, specified in the Resolution
and set forth in any indenture supplemental to the Indenture to be paid in the event of a Redemption of such Subordinated Notes
or Refinancing Notes separately from the Redemption Price.

 

“Redemption
Price” means (a) in respect of an Optional Redemption of the Original Notes, on any Redemption Date, an amount equal
to (i) the product of (x) the applicable Redemption Percentage as set forth below and (y) the Outstanding Principal Balance of
the Original Notes that are being redeemed on such Redemption Date, plus (ii) the accrued and unpaid interest to the Redemption
Date on the Original Notes that are being redeemed:

 

	Redemption Date	 	Redemption Percentage	 
	From and including February 28, 2022 to and including February 27, 2023	 	 	105.000	%
	From and including February 28, 2023 to and including February 27, 2024	 	 	103.000	%
	From and including February 28, 2024 to and including February 27, 2025	 	 	101.000	%
	From and including February 28, 2025 and thereafter	 	 	100.000	%

 

and (b) in respect
of any Subordinated Notes or Refinancing Notes, the redemption price, if any, plus the accrued and unpaid interest to the Redemption
Date on the Subordinated Notes or Refinancing Notes, as the case may be, established by or pursuant to a Resolution and set forth
in any indenture supplemental to the Indenture providing for the issuance of such Notes or designated as such in the form of such
Notes (any such Redemption Price in respect of any Subordinated Notes or Refinancing Notes may include a Redemption Premium, and
such Resolution and indenture supplemental to the Indenture may specify a separate Redemption Premium).

 

“Reference
Date” means, with respect to each Interest Accrual Period for any Floating Rate Notes, the day that is two Business Days
prior to the Payment Date on which such Interest Accrual Period commences; provided, however, that the Reference
Date with respect to the initial Interest Accrual Period means the date that is two Business Days prior to the date of issuance
of such Subordinated Notes or Refinancing Notes.

 

“Refinancing”
has the meaning set forth in Section 2.15(a) of the Indenture.

 

    19

     

    

 

“Refinancing
Expenses” means all Transaction Expenses incurred in connection with an offering and issuance of Refinancing Notes.

 

“Refinancing
Notes” means any class (or sub-class) of Notes issued by the Issuer under the Indenture at any time and from time to
time after the Closing Date pursuant to Section 2.15 of the Indenture, the proceeds of which are used to refinance all, but not
part, of the Outstanding Principal Balance of a class of Notes.

 

“Register”
has the meaning set forth in Section 2.3(a) of the Indenture.

 

“Registrar”
has the meaning set forth in Section 2.3(a) of the Indenture.

 

“Regulation
S” means Regulation S under the Securities Act.

 

“Regulation
S Global Note” has the meaning set forth in Section 2.1(b) of the Indenture.

 

“Relevant
Calculation Date” has the meaning set forth in Section 3.4(a) of the Indenture.

 

“Relevant
Information” means any information provided to the Trustee, the Calculation Agent or the Paying Agent in writing by any
Service Provider retained from time to time by the Issuer pursuant to the Transaction Documents.

 

“Representatives”
has the meaning set forth in Section 17.3 of each Note Purchase Agreement.

 

“Resolution”
means a copy of a resolution certified by a Responsible Officer of the Issuer as having been duly adopted by the Issuer and being
in full force and effect on the date of such certification.

 

“Responsible
Officer” means (a) with respect to the Trustee, any officer within the Corporate Trust Office having direct responsibility
for the administration of the Indenture and also, with respect to a particular matter, any other officer to whom such matter is
referred because of such officer’s knowledge and familiarity with the particular subject, (b) with respect to the Transferor,
any officer of the Transferor, and (c) with respect to the Issuer, any officer of the Issuer, any Manager or person designated
by the governing body of a Manager as a Responsible Officer for purposes of the Transaction Documents.

 

“Restricted
Party” means any of Almirall, AstraZeneca, Boehringer Ingelheim, Chiesi, Forest Laboratories, Innoviva, Merck, Mylan,
Sarissa, Novartis, Sandoz, Teva and any other pharmaceutical or biotechnology company with a product either being developed or
commercialized for the treatment of respiratory disease, and their respective Restricted Party Affiliates; provided, that
Theravance Biopharma or any of its Affiliates shall not be deemed as a Restricted Party.

 

“Restricted
Party Affiliate” means, with respect to any Person, any other Person, whether de jure or de facto, which directly or
indirectly controls, is controlled by, or is under common control with, such Person, for so long as such control exists, where
 “control” means the decision-making authority as to such other Person, or with respect to the investment in the Notes
by such other Person and, further, where such control will be presumed to exist where such other Person owns more than fifty percent
(50%) of the equity (or such lesser percentage which is the maximum allowed to be owned by a foreign corporation in a particular
jurisdiction) having the power to vote on or direct the affairs of the Person.

 

    20

     

    

 

“Restricted
Period” means the Category 3 40-day distribution compliance period applicable to debt offerings of U.S. issuers not subject
to the reporting requirements of the Exchange Act set forth in Regulation S.

 

“Restructuring”
means a restructuring pursuant to which Theravance Biopharma R&D will transfer certain assets, including the equity interest
in the Issuer and the Class B Units, directly or indirectly, to TBUS or US Sub without requiring consent of the Trustee or any
Noteholder; provided, that any such restructuring will not materially and adversely impair the rights of the Noteholders
under the Indenture.

 

“Retained
Notes” means the Definitive Notes initially registered in the name of the Transferor that represent the Original Notes
sold pursuant to Section 2.2 of the Sale and Contribution Agreement in reliance on an exemption from the registration requirements
of the Securities Act and any other applicable securities laws, substantially in the form of Exhibit A-5 to the Indenture.

 

“Risk Retention
Period” has the meaning set forth in Section 6.9 of the Sale and Contribution Agreement.

 

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

 

“Rule 144A
Global Note” has the meaning set forth in Section 2.1(b) of the Indenture.

 

“Sale and
Contribution Agreement” means that certain sale and contribution agreement, dated as of the Closing Date, by and among
Theravance Biopharma R&D, in its capacity as the Transferor thereunder, the Issuer, in its capacity as the Transferee thereunder,
and Theravance Biopharma, solely with respect to Articles V and IX and Sections 6.7, 8.2, 8.3 and 8.4.

 

“S&P”
means Standard & Poor’s Ratings Services, a Standard & Poor’s Financial Services LLC business, and any successor
thereto or, if such division or its successor shall for any reason no longer perform the functions of a rating agency, “S&P”
shall be deemed to refer to any other nationally recognized statistical rating organization (within the meaning ascribed thereto
by the Exchange Act) designated by the Issuer.

 

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

 

“Secured Obligations”
has the meaning set forth in the Granting Clauses of the Indenture.

 

“Secured Parties”
means each of the Noteholders and the Trustee.

 

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

 

    21

     

    

 

“Security
Interest” means the security interest granted or expressed to be granted in the Collateral pursuant to the Granting Clauses
of the Indenture and in the Issuer Pledged Collateral pursuant to the Pledge and Security Agreement.

 

“Senior Claim”
has the meaning set forth in Section 10.1(a) of the Indenture.

 

“Senior Class
of Notes” means (a) so long as any Original Notes (or any Refinancing Notes in respect of the Original Notes) are Outstanding,
the Original Notes (or Refinancing Notes in respect of the Original Notes), or (b) if no Original Notes (or any Refinancing Notes
in respect of the Original Notes) are Outstanding, the class or classes (or sub-class or sub-classes) of Subordinated Notes defined
as such pursuant to the Resolution(s) and/or indenture(s) supplemental to the Indenture providing for the issuance of such Subordinated
Notes.

 

“Senior Trustee”
means the Trustee, acting in its capacity as the trustee of the Senior Class of Notes.

 

“Service Providers”
means the Servicer, the Trustee, the Independent Managers, the Calculation Agent, the Transfer Agent, the Paying Agent, the Registrar,
and any outside law firm, accounting firm or other consultant providing services to the Issuer.

 

“Servicer”
means Theravance Biopharma US, in its capacity as the servicer pursuant to the Servicing Agreement and its permitted successors
and assigns in such capacity.

 

“Servicer
Termination Event” has the meaning set forth in Section 3.1(c) of the Servicing Agreement.

 

“Servicing
Agreement” means that certain servicing agreement dated as of the Closing Date between the Issuer and the Servicer.

 

“Servicing
Fee” has the meaning set forth in Section 2.1 of the Servicing Agreement.

 

“Set-off”
means any set-off, off-set, rescission, counterclaim, reduction, deduction or defense.

 

“Similar Laws”
means any federal, state, local or non-U.S. laws or regulations that are substantially similar to Title I of ERISA or Section 4975
of the Code that govern governmental, church or foreign plans.

 

“Solicitation
Notice” has the meaning set forth in Section 4.17(c) of the Indenture.

 

“Solicitation
Period” has the meaning set forth in Section 4.17(c) of the Indenture.

 

“Source”
has the meaning set forth in Section 4.3 of each Note Purchase Agreement.

 

“Spin-Off”
means the spin-off of Theravance Biopharma from Theravance, Inc. as a separate and independent, publicly traded company through
a pro rata dividend of Theravance Biopharma ordinary shares to Theravance, Inc.’s stockholders.

 

    22

     

    

 

“Strategic
Alliance Agreement” means the Strategic Alliance Agreement, dated March 30, 2004, by and between Innoviva and GSK, as
amended from time to time.

 

“Subordinated
Claim” has the meaning set forth in Section 10.1(a) of the Indenture.

 

“Subordinated
Note Issuance” has the meaning set forth in Section 2.16(a) of the Indenture.

 

“Subordinated
Notes” means any class (or sub-class) of Notes issued under the Indenture in such form as shall be authorized by a Resolution
and set forth in any indenture supplemental to the Indenture in respect thereof pursuant to Section 2.16 of the Indenture and any
Refinancing Notes issued to refinance the foregoing.

 

“Subsidiary”
means, with respect to any Person, any other Person of which more than 50% of the outstanding Voting Securities of such other Person
(irrespective of whether at the time Capital Securities of any other class or classes of such other Person shall or might have
voting power upon the occurrence of any contingency) is at the time directly or indirectly owned or controlled by such Person,
by such Person and one or more other Subsidiaries of such Person or by one or more other Subsidiaries of such Person.

 

“Taxes”
means (a) any and all taxes, fees, levies, duties, tariffs, imposts and other charges of any kind (together with any and all interest,
penalties, loss, damage, liability, expense, additions to tax and additional amounts or costs incurred or imposed with respect
thereto) now or hereafter imposed, levied, collected, withheld or otherwise assessed by the U.S. or by any state, local, foreign
or other Governmental Authority (or any subdivision or agency thereof) or other taxing authority, including taxes or other charges
on or with respect to income, franchise, windfall or other profits, gross receipts, property, sales, use, capital stock, payroll,
employment, social security, workers’ compensation, unemployment compensation or net worth and similar charges and taxes
or other charges in the nature of excise, deduction, withholding, ad valorem, stamp, transfer, value added, taxes on goods and
services, escheat, gains taxes, license, registration and documentation fees, customs duties, tariffs and similar charges, (b)
liability for such a tax that is imposed by reason of United States Treasury Regulation Section 1.1502-6 or similar provision of
Applicable Law and (c) liability for the payment of any amounts as a result of any express or implied obligation to indemnify any
other Person with respect to the payment of any amounts described in clause (a) or clause (b).

 

“TBUS”
means Theravance Biopharma US, Inc, a Delaware corporation.

 

“Temporary
Regulation S Global Note” has the meaning set forth in Section 2.1(b) of the Indenture.

 

“Theravance
Biopharma” has the meaning set forth in the preamble to the Sale and Contribution Agreement.

 

“Theravance
Biopharma R&D” means Theravance Biopharma R&D, Inc., a Cayman Islands exempted company.

 

“Theravance
Biopharma US” means Theravance Biopharma US, Inc., a Delaware corporation.

 

    23

     

    

 

“Transaction
Documents” means the Indenture, the Notes, the Servicing Agreement, the Account Control Agreement, the Sale and Contribution
Agreement, the Pledge and Security Agreement, the Note Purchase Agreements and each other agreement pursuant to which the Trustee
(or its agent) is granted a Lien to secure the obligations under the Indenture or the Notes.

 

“Transaction
Expenses” means the out-of-pocket expenses payable by the Issuer in connection with (a) the offering and sale of the
Original Notes, including placement fees, any initial fees payable to Service Providers and the reasonable fees and expenses of
each of the noteholders and their respective counsel in connection with the offering and issuance of the Original Notes, and (b)
the offering and sale of any Subordinated Notes or any Refinancing Notes, including the reasonable fees and expenses of counsel
in connection therewith, to the extent specified in the Resolution authorizing such offering and sale.

 

“Transfer
Agent” has the meaning set forth in Section 2.3(a) of the Indenture.

 

“Transferee”
has the meaning set forth in the preamble to the Sale and Contribution Agreement.

 

“Transferee
Indemnified Party” has the meaning set forth in Section 8.1 of the Sale and Contribution Agreement.

 

“Transferor”
has the meaning set forth in the preamble to the Sale and Contribution Agreement.

 

“Transferor
Account” has the meaning set forth in Section 6.4(c) of the Sale and Contribution Agreement.

 

“Transferor
Secured Amount” has the meaning set forth in Section 2.1(d) of the Sale and Contribution Agreement.

 

“Transferred
Assets” has the meaning set forth in Section 2.1(a) of the Sale and Contribution Agreement.

 

“TRC LLC”
means Theravance Respiratory Company, LLC, a Delaware limited liability company.

 

“TRC LLC Agreement”
means the limited liability company agreement of TRC LLC, dated as of May 31, 2014, that governs the operations of TRC LLC.

 

“Trelegy Ellipta”
means the combination of fluticasone furoate, umeclidinium, and vilanterol in a single ELLIPTA® inhaler.

 

“Trust Indenture
Act” means the U.S. Trust Indenture Act of 1939, as amended.

 

“Trustee”
means U.S. Bank National Association, a national banking association, as the initial trustee of the Notes under the Indenture,
and any successor appointed in accordance with the terms of the Indenture.

 

    24

     

    

 

“Trustee Closing
Account” means the account of the Issuer maintained with the Trustee at U.S. Bank National Association, ABA No. 091000022,
Account No. 173103321092, Reference: Triple Royalty Notes Collection Acct

 

“UCC”
means the Uniform Commercial Code as in effect from time to time in the State of New York; provided, that, if, with respect
to any financing statement or by reason of any provisions of Applicable Law, the perfection or the effect of perfection or non-perfection
of the Liens granted to the Trustee pursuant to the applicable Transaction Document is governed by the Uniform Commercial Code
as in effect in a jurisdiction of the United States other than the State of New York, then “UCC” means the Uniform
Commercial Code as in effect from time to time in such other jurisdiction for purposes of the provisions of each Transaction Document
and any financing statement relating to such perfection or effect of perfection or non-perfection.

 

“UMEC”
means the long-acting muscarinic antagonist umeclidinium bromide or an ester, salt or other noncovalent derivative thereof.

 

“United States
Treasury” means the U.S. Department of the Treasury.

 

“US Sub”
means a Delaware corporation wholly owned by TBUS.

 

“U.S.”
or “United States” means the United States of America, its 50 states, each territory thereof and the District
of Columbia.

 

“U.S. Credit
Risk Retention Rules” has the meaning set forth in Section 1.1 of the Sale and Contribution Agreement.

 

“U.S. Person”
means a U.S. person within the meaning of Regulation S.

 

“VI”
means the long-acting beta2 agonist vilanterol or an ester, salt or other noncovalent derivative thereof.

 

“VI Monotherapy”
means (a) VI, solely as a monotherapy (i.e., excluding VI in combination with any one or more other therapeutically active component(s)),
and (b) any and all product improvements, additional claims, line extensions, dosage changes and alternate delivery systems, in
each case, with respect to only VI solely as a monotherapy (i.e., excluding VI in combination with any one or more other therapeutically
active component(s)).

 

“Voluntary
Bankruptcy” means (a) an admission in writing by the Issuer of its inability to pay its debts generally or a general
assignment by the Issuer for the benefit of creditors, (b) the filing of any petition or answer by the Issuer seeking to adjudicate
itself as bankrupt or insolvent, or seeking for itself any liquidation, winding-up, reorganization, arrangement, adjustment, protection,
relief or composition of the Issuer or its debts under any Applicable Law relating to bankruptcy, insolvency, receivership, winding-up,
liquidation, reorganization, examination, relief of debtors or other similar Applicable Law now or hereafter in effect, or seeking,
consenting to or acquiescing in the entry of an order for relief in any case under any such Applicable Law, or the appointment
of or taking possession by a receiver, trustee, custodian, liquidator, examiner, assignee, sequestrator or other similar official
for the Issuer or for any substantial part of its property, or (c) limited liability company action taken by the Issuer to authorize
any of the actions set forth in clause (a) or clause (b) above.

 

“Voting Securities”
means, with respect to any Person, Capital Securities of any class or kind ordinarily having the power to vote for the election
of directors, managers or other voting members of the governing body of such Person.

 

    25

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