Document:

Exhibit 4.10

 

DESCRIPTION OF SECURITIES

 

REGISTERED UNDER SECTION 12 OF THE EXCHANGE
ACT

 

Provectus Biopharmaceuticals, Inc. (“Provectus”, “we”
or “our”) has one class of securities registered under Section 12 of the Securities Exchange Act of 1934, as amended
(the “Exchange Act”): our Common Stock.

 

Description of Common Stock

 

The following description of our Common Stock is a summary and does
not purport to be complete. It is subject to and qualified in its entirety by reference to our Certificate of Incorporation, as
amended (the “Certificate of Incorporation”), and our Bylaws, as amended (the “Bylaws”), each of which
is incorporated by reference as an exhibit to the Annual Report on Form 10-K, of which this Exhibit is a part. We encourage you
to read our Certificate of Incorporation, our Bylaws and the applicable provisions of the Delaware General Corporation Law, for
additional information.

 

Authorized Shares of Capital Stock

 

Our authorized capital stock consists of 1,000,000,000 shares of
common stock, $0.001 par value per share (“Common Stock”), and 25,000,000 shares of preferred stock, $0.001 par value
per share (“Preferred Stock”). As of December 31, 2019, 389,889,475 shares of Common Stock were issued and outstanding.
The outstanding shares of our Common Stock are duly authorized, validly issued, fully paid, and nonassessable.

 

Voting Rights

 

Holders of Common Stock are entitled to one vote per share on all
matters voted on by the stockholders, including the election of directors. Our Common Stock does not have cumulative voting rights.

 

Dividend Rights

 

Subject to the rights of holders of outstanding shares of Preferred
Stock, if any, the holders of Common Stock are entitled to receive dividends, if any, as may be declared from time to time by the
Company’s Board of Directors (the “Board”) in its discretion out of funds legally available for the payment of
dividends.

 

Liquidation Rights

 

In the event of our dissolution, liquidation or winding up, holders
of our Common Stock are entitled to share ratably in any assets remaining after the satisfaction in full of the prior rights of
creditors and the aggregate liquidation preference of any Preferred Stock then outstanding.

 

     

     

    

 

Other Rights and Preferences

 

Holders of our Common Stock do not have any conversion, redemption,
sinking fund or preemptive rights.

 

Certain Anti-Takeover Effects

 

Provisions of our Certificate of Incorporation
and Bylaws may delay or discourage transactions involving an actual or potential change of control or change in our management,
including transactions in which stockholders might otherwise receive a premium for their shares, or transactions that our stockholders
might otherwise deem to be in their best interests. Therefore, these provisions could adversely affect the price of our Common
Stock. Among other things, our Certificate of Incorporation and Bylaws will:

 

	 	●	permit our Board to issue up to 25,000,000 shares of Preferred Stock, with any rights, preferences and privileges as they may designate;
	 	 	 
	 	●	provide that all vacancies on our Board, including as a result of newly created directorships, may, except as otherwise required by law, be filled by the affirmative vote of a majority of directors then in office, even if less than a quorum;
	 	 	 
	 	●	require that any action to be taken by our stockholders must be effected at a duly called annual or special meeting of stockholders and not be taken by written consent;
	 	 	 
	 	●	provide that stockholders seeking to present proposals before a meeting of stockholders or to nominate candidates for election as directors at a meeting of stockholders must provide advance notice in writing, and also specify requirements as to the form and content of a stockholder’s notice;
	 	 	 
	 	●	not provide for cumulative voting rights, thereby allowing the holders of a majority of the shares of Common Stock entitled to vote in any election of directors to elect all of the directors standing for election; and
	 	 	 
	 	●	provide that special meetings of our stockholders may be called only by the Board or by such person or persons requested by a majority of the Board to call such meetings.

 

Preferred Stock

 

The rights, preferences and privileges
of the holders of our Common Stock are subject to, and may be adversely affected by, the rights of the holders of shares of any
series of Preferred Stock that we have designated and issued, or may designate and issue in the future. Under our Certificate of
Incorporation, we are authorized to issue up to 25,000,000 shares of Preferred Stock, from time to time in one or more series,
in any manner permitted by law, as determined from time to time by our Board, and stated in the resolution or resolutions providing
for the issuance of such shares adopted by our Board. Without limiting the generality of the foregoing, shares in such series shall
have voting powers, full or limited, or no voting powers, and shall have such designations, preferences and relative, participating,
optional, or other special rights, and qualifications, limitations, or restrictions thereof, permitted by law, as shall be stated
in the resolution or resolutions providing for the issuance of such shares adopted by our Board. The number of shares of any such
series so set forth in the resolution or resolutions may be increased (but not above the total number of authorized shares of Preferred
Stock) or decreased (but not below the number of shares thereof then outstanding) by further resolution or resolutions adopted
by the Board. As of December 31, 2019, 100 shares of Series B Preferred Stock were issued and outstanding.

 

Series B Convertible Preferred Stock

 

The following summary of certain terms
and provisions of the Series B Preferred Stock is subject to, and qualified in its entirety by reference to, the terms and provisions
set forth in our certificate of designation of preferences, rights and limitations of the Series B Preferred Stock, which is incorporated
by reference as an exhibit to the Annual Report on Form 10-K, of which this Exhibit is a part (the “Certificate of Designation”).

 

Our Series B Preferred Stock is convertible
into shares of our Common Stock (subject to the beneficial ownership limitations as provided in the related Certificate of Designation),
at the Adjusted Conversion Price equal to $0.0533 per share of Common Stock, subject to adjustment as provided in the Certificate
of Designation, at any time at the option of the holder prior to the fifth anniversary of the date of issuance, at which time all
shares of outstanding Series B Preferred Stock shall automatically and without any further action by the holder be converted into
shares of our Common Stock at the then effective conversion price, provided that the holder will be prohibited from converting
Series B Preferred Stock into shares of our Common Stock if, as a result of such conversion, the holder, together with its affiliates,
would own more than 4.99% of the total number of shares of our Common Stock then issued and outstanding. However, any holder may
increase or decrease such percentage to any other percentage not in excess of 9.99%, provided that any increase in such percentage
shall not be effective until 61 days after such notice to us.

 

     

     

    

 

The holders of Series B Preferred Stock
will be entitled to receive cumulative dividends at the rate per share of 8% per annum of the stated value per share, until
the fifth anniversary of the date of issuance of the Series B Preferred Stock. The dividends become payable, at our option, in
either cash, out of any funds legally available for such purpose, or in shares of Common Stock, (i) upon any conversion of
the Series B Preferred Stock, (ii) on each such other date as our Board may determine, subject to written consent of the holders
of Series B Preferred Stock holding a majority of the then issued and outstanding Series B Preferred Stock, (iii) upon
our liquidation, dissolution or winding up, and (iv) upon occurrence of a fundamental transaction, including any merger or
consolidation, sale of all or substantially all of our assets, exchange or conversion of all of our Common Stock by tender offer,
exchange offer or reclassification; provided, however, that if Series B Preferred Stock is converted into shares of Common Stock
at any time prior to the fifth anniversary of the date of issuance of the Series B Preferred Stock, the holder will receive a make-whole
payment in an amount equal to all of the dividends that, but for the early conversion, would have otherwise accrued on the applicable
shares of Series B Preferred Stock being converted for the period commencing on the conversion date and ending on the fifth anniversary
of the date of issuance, less the amount of all prior dividends paid on such converted Series B Preferred Stock before the date
of conversion. Make-whole payments are payable at our option in either cash, out of any funds legally available for such purpose,
or in shares of Common Stock.

 

With respect to any dividend payments and
make-whole payments paid in shares of Common Stock, the number of shares of Common Stock to be issued to a holder of Series B Preferred
Stock will be an amount equal to the quotient of (i) the amount of the dividend payable to such holder divided by (ii) the
conversion price then in effect. Because the conversion price in effect on the Price Reset Date exceeded 85% of the average of
the 45 lowest volume weighted average trading prices of the Common Stock during the period commencing on the date of issuance of
the Series B Preferred Stock and ending on the Price Reset Date, the conversion price was reset to the Adjusted Conversion Price
and shall be further subject to adjustment as provided in the Certificate of Designation. In either case, if a holder of Series
B Preferred Stock converted its shares of Series B Preferred Stock prior to any such price reset event, then such holder was entitled
to receive shares of Common Stock equal to the difference between the conversion price and the Adjusted Conversion Price.

 

In the event of our liquidation, dissolution,
or winding up, holders of our Series B Preferred Stock will be entitled to receive the amount of cash, securities or other property
to which such holder would be entitled to receive with respect to such shares of Series B Preferred Stock if such shares had been
converted to Common Stock immediately prior to such event (without giving effect for such purposes to the 4.99% or 9.99% beneficial
ownership limitation, as applicable) subject to the preferential rights of holders of any class or series of our capital stock
specifically ranking by its terms senior to the Series B Preferred Stock as to distributions of assets upon such event, whether
voluntarily or involuntarily.

 

The holders of the Series B Preferred Stock
have no voting rights, except as required by law. Any amendment to our Certificate of Incorporation, Bylaws or Certificate of Designation
that adversely affects the powers, preferences and rights of the Series B Preferred Stock requires the approval of the holders
of a majority of the shares of Series B Preferred Stock then outstanding.

 

Series D Preferred Stock

 

In connection with the 2017 financing and 2020
financing, the Company has issued convertible notes that are convertible into shares of a yet-to-be designated Series D Preferred
Stock. The Series D Preferred Stock will have a first priority right to receive proceeds from the sale, liquidation or dissolution
of the Company or any of the Company’s assets (each, a “Company Event”).

 

     

     

    

 

If a Company Event occurs within two (2) years
of the date of issuance of the Series D Preferred Stock (the “Date of Issuance”), the holders of Series D Preferred
Stock will receive a preference of four times (4x) their respective investment amount. If a Company Event occurs after the second
(2nd) anniversary of the Date of Issuance, the holders of the Series D Preferred Stock will receive a preference of six times (6x)
their respective investment amount.

 

The Series D Preferred Stock will be convertible
at the option of the holders thereof into shares of Common Stock based on a formula to achieve a one-for-ten conversion ratio.
The Series D Preferred Stock will automatically convert into shares of Common Stock upon the fifth (5th) anniversary
of the Date of Issuance.

 

On an as-converted basis, the Series D Preferred
Stock will carry the right to ten (10) votes per share. The Series D Preferred Stock will not have any dividend preference but
will be entitled to receive, on a pari passu basis, dividends, if any, that are declared and paid on any other class of
the Company’s capital stock. The holders of Series D Preferred Stock will not have anti-dilution protection.

 

As
of December 31, 2019, and through the date of filing of the Company’s Annual Report on Form 10-K for the year ended December
31, 2019, the Series D Preferred Stock had not been designated by the Board.

 

Transfer Agent and Registrar

 

Broadridge Financial Solutions, Inc. is the transfer agent and registrar
for our Common Stock.

 

Listing

 

Our Common Stock is traded on the OTCQB Marketplace under the trading
symbol “PVCT.”Exhibit
10.39

 

2020
FINANCING TERM SHEET

 

The
following is a summary of the terms and conditions of the financing plan (the “Plan”) developed by Provectus Biopharmaceuticals,
Inc. (the “Company”). The Plan was approved by the Board of Directors of the Company (the “Board”) on
December 31, 2019. The 2020 Term Sheet is similar to the Definitive Financing Commitment Term Sheet entered into between the Company
and a group of the Company’s stockholders (the “PRH Group”), which was amended and restated effective as of
March 19, 2017 (the “2017 Term Sheet”), previously disclosed by the Company in a Current Report on Form 8-K filed
with the U.S. Securities and Exchange Commission (the “SEC”) on March 23, 2017, and completed on December 20, 2019
when the PRH Group concluded its best efforts activity to arrange for financing of $20,000,000 (the “2017 Financing”).
The PRH Group specifically disclaimed, and continues to disclaim, that it is a “Group” as defined in the Federal securities
laws.

 

Total
Financing Commitment

 

This
Financing Term Sheet (the “2020 Term Sheet”) envisions that the Company will use its best efforts to arrange for financing
of a maximum of $20 million (the “2020 Financing”), which amounts will be provided in several tranches.

 

Structure
of the Financing

 

The
structure of the Financing will be in the form of a secured convertible loan (the “Loan”) from investors (which may
include, but not be limited to, institutional investors, family offices and accredited investors; individually, an “Investor,”
and collectively, the “Investors”). The Loan will be evidenced by one or more secured convertible promissory notes
(the “2020 Notes”) from the Company to each Investor.

 

In
addition to the customary provisions, the Note shall contain the following provisions:

 

(i)
the 2020 Notes will be subordinate to the notes of the 2017 Financing (the “2017 Notes”) in right of payment and to
the security interests granted to holders of the 2017 Notes;

 

(ii)
that the Loan will be secured by a second lien security interest in the Company’s intellectual property and such second
lien shall be evidenced in writing and recorded in the county where the Company’s principal offices are located;

 

(iii)
that the Loan will bear interest at the rate of 8% per annum on the outstanding principal amount of the Loan that has been funded
to the Company;

 

(iv)
that in the event there is a change of control of the Company’s Board of Directors as proposed by any person or group other
than the PRH Group, the term of the 2020 Note will be accelerated and all amounts due under the 2020 Note will be immediately
due and payable and that any proceeds received by the Company from any financing source will be used to first repay the outstanding
principal amount of the 2017 Notes that have been funded to the Company plus interest at the rate of 8% per annum, plus a penalty
in the amount equal to ten times (10x) the outstanding principal amount of the Loan that has been funded to the Company, and to
second first repay the outstanding principal amount of the 2020 Notes that have been funded to the Company plus interest at the
rate of 8% per annum, plus a penalty in the amount equal to ten times (10x) the outstanding principal amount of the Loan that
has been funded to the Company;

 

(v)
that the principal amount of the Loan and the interest payable under the Loan will be convertible at the sole discretion of the
PRH Group in to shares of the Company’s Series D Preferred Stock (with the rights and preferences set forth in this Financing
Term Sheet, see “Rights and Preferences of the Series D Convertible Preferred Stock” below) at a price per
share of $2.862;

 

(vi)
notwithstanding above, the principal amount of the Note and the interest payable under the Loan will automatically convert into
shares of the Company’s Series D Preferred Stock (with the rights and preferences set forth in this Financing Term Sheet,
see “Rights and Preferences of the Series D Convertible Preferred Stock” below) at a price per share of $2.862
on June 20, 2021, subject to certain exceptions; and

 

(vii)
upon conversion of the Loan into the Series D Preferred Stock, Investors agree to release their second lien on the Intellectual
Property.

 

The
PRH Group

 

The
PRH Group includes Edward Pershing, Dominic Rodrigues and Bruce Horowitz.

 

The
Rights and Preferences of the Series D Convertible Preferred Stock

 

In
addition to the following rights and preferences, the Series D Preferred Stock shall also include Sections (i) – (vii) set
forth under “Structure of the Financing” above.

 

No
subsequently issued Senior Equity Securities: No series or class of Capital Stock shall be issued by the Company after the date
of the acceptance of this Financing Term Sheet that is senior to the rights and preferences of the Series D Preferred Stock (including
but not limited to voting rights, conversion, dividends, anti-dilution, etc.).

 

    	 	 	 

     

    

 

Preference
on Proceeds from the Sale, Liquidation or Dissolution of the Company: The Series D Preferred stock shall have a first priority
right to receive proceeds/distribution from the sale, liquidation or dissolution of the Company or any of the Company’s
assets before proceeds from such an event are distributed to holders of other class of the Company’s Capital Stock.

 

If
the event occurs within 2 years of the date of issuance of the Series D Preferred Stock, the Series D Preferred Stock shall receive
a preference of 4 times the investment amount; if the event occurs longer than 2 years of the Closing, the Series D Preferred
Stock shall receive a preference of 6 times the investment amount.

 

Conversion
to Common Stock: The Series D Preferred Stock shall be convertible at the option of the holders into shares of the Company’s
Common Stock based on a formula to achieve a 1-for-10 conversion, provided the Company has sufficient number of authorized
but unissued shares of Series D Preferred Stock (otherwise the pricing of the Series D Preferred Stock and the conversion formula
into common stock will be revised accordingly). Any fractional shares issuable pursuant to the formula will be rounded up to the
next whole share of Common Stock. The Series D Preferred Stock shall automatically convert into shares of Common Stock upon the
fifth anniversary of the date of issuance of the Series D Preferred Stock.

 

Voting
Rights: Customary, and on an as-converted basis (i.e., 10 votes per share of Series D Preferred Stock assuming a 1-for-10
conversion).

 

No
Dividend Preference: No Dividend Preference. However, the Series D Preferred Stock shall be entitled to receive dividends when
any dividends are declared and paid on the Common Stock or other series or class of Preferred Stock and on a pari passu
basis.

 

Anti-dilution
Protection: None

 

Use
of Proceeds

 

The
proceeds from the 2020 Financing will be used to fund the Company’s clinical development program, as currently constituted
and envisioned, and to fund the Company’s general and administrative expenses.

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