Document:

Exhibit 4.5

 

DESCRIPTION
OF CAPITAL STOCK

 

The following
description of Diamond Eagle Acquisition Corp.’s (the “Company,” “we” or “us”)
capital stock is a summary and does not purport to be complete. It is subject to and qualified in its entirety by reference
to the Company’s amended and restated certificate of incorporation (the “Charter”) and the Company’s
Bylaws (the “Bylaws”), each of which are incorporated by reference as an exhibit to the Annual Report on Form
10-K of which this Exhibit 4.4 is a part. We encourage you to read the Charter, the Bylaws and the applicable provisions of
the Delaware General Corporation Law, for additional information.

 

General

 

Our Charter authorizes
us to issue up to 400,000,000 shares of common stock, consisting of (i) 380,000,000 shares of Class A Common Stock, $0.0001 par
value per share (“Class A Common Stock”) and (ii) 20,000,000 shares of Class B common stock, $0.0001 par value per
share (“Class B Common Stock”), and 1,000,000 shares of preferred stock, $0.0001 par value per share.

 

Units

 

Each of the units (the
 “Units”) sold in our initial public offering (the “Public Offering”) consists of one share of Class A Common
Stock and one-third of one redeemable warrant. Each whole warrant entitles the holder thereof to purchase one share of Class A
Common Stock at a price of $11.50 per share, subject to adjustment. A warrant holder may exercise its warrants only for
a whole number of the shares of Class A Common Stock. This means only a whole warrant may be exercised at any given time by a warrant
holder. The shares of Class A Common Stock and warrants underlying the Units began to trade separately on July 1, 2019, and unit
holders have the option to continue to hold Units or separate their Units into the component pieces.

 

Common Stock

 

Class A Common Stock

 

Redemptions

 

We will provide our
public stockholders with the opportunity to redeem all or a portion of their public shares upon the completion of our initial business
combination at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the trust account established
in connection with the Public Offering calculated as of two business days prior to the consummation of our initial business combination,
including interest earned on the funds held in the trust account and not previously released to us to fund our working capital
requirements (subject to an annual limit of  $250,000) and/or to pay our taxes, divided by the number of then outstanding
public shares, subject to certain limitations. The amount in the trust account is initially anticipated to be $10.00 per public
share. The per share amount we will distribute to investors who properly redeem their shares will not be reduced by the deferred
underwriting commissions we will pay to the underwriters. Our initial stockholders, officers and directors and Eagle Equity Partners,
LLC (our “sponsor”), have entered into a letter agreement with us, pursuant to which they have agreed to waive their
redemption rights with respect to any founder shares and public shares they hold in connection with the completion of our initial
business combination. Unlike many special purpose acquisition companies that hold stockholder votes and conduct proxy solicitations
in conjunction with their initial business combinations and provide for related redemptions of public shares for cash upon completion
of such initial business combinations even when a vote is not required by law, if a stockholder vote is not required by law and
we do not decide to hold a stockholder vote for business or other legal reasons, we will, pursuant to our Charter, conduct the
redemptions pursuant to the tender offer rules of the U.S. Securities and Exchange Commission (the “SEC”), and file
tender offer documents with the SEC prior to completing our initial business combination. Our Charter requires these tender offer
documents to contain substantially the same financial and other information about our initial business combination and the redemption
rights as is required under the SEC’s proxy rules. If, however, a stockholder approval of the transaction is required by
law, or we decide to obtain stockholder approval for business or other legal reasons, we will, like many special purpose acquisition
companies, offer to redeem shares in conjunction with a proxy solicitation pursuant to the proxy rules and not pursuant to the
tender offer rules. If we seek stockholder approval, we will complete our initial business combination only if a majority of the
shares of common stock voted are voted in favor of our initial business combination. However, the participation of our sponsor,
officers, directors, advisors or their affiliates in privately-negotiated transactions, if any, could result in the approval of
our initial business combination even if a majority of our public stockholders vote, or indicate their intention to vote, against
such initial business combination. For purposes of seeking approval of the majority of our outstanding shares of common stock,
non-votes will have no effect on the approval of our initial business combination once a quorum is obtained.

 

     

     

    

 

If we seek stockholder
approval of our initial business combination and we do not conduct redemptions in connection with our initial business combination
pursuant to the tender offer rules, our Charter provides that a public stockholder, together with any affiliate of such stockholder
or any other person with whom such stockholder is acting in concert or as a “group” (as defined under Section 13 of
the Exchange Act of 1934, as amended (the “Exchange Act”)), will be restricted from redeeming its shares with respect
to more than an aggregate of 20% of the shares of Class A Common Stock (the “Excess Shares”), without our prior consent.
However, we would not be restricting our stockholders’ ability to vote all of their shares (including Excess Shares) for
or against our initial business combination. Our stockholders’ inability to redeem the Excess Shares will reduce their influence
over our ability to complete our initial business combination, and such stockholders could suffer a material loss in their investment
if they sell such Excess Shares on the open market. Additionally, such stockholders will not receive redemption distributions with
respect to the Excess Shares if we complete our initial business combination. And, as a result, such stockholders will continue
to hold that number of shares exceeding 20% and, in order to dispose such shares would be required to sell their shares in open
market transactions, potentially at a loss.

 

If we seek stockholder
approval in connection with our initial business combination, our initial stockholders, sponsor, officers and directors have agreed
to vote any founder shares they hold and any public shares purchased during or after the Public Offering in favor of our initial
business combination. Additionally, each public stockholder may elect to redeem their public shares irrespective of whether they
vote for or against the proposed transaction.

 

Pursuant to our Charter,
if we are unable to complete our initial business combination by May 14, 2021, we will (i) cease all operations except for the
purpose of winding up, (ii) as promptly as reasonably possible but no more than ten business days thereafter, redeem the public
shares, at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the trust account, including interest
earned on the funds held in the trust account and not previously released to us to fund our working capital requirements (subject
to an annual limit of  $250,000) (less taxes payable and up to $100,000 of interest to pay dissolution expenses), divided
by the number of then outstanding public shares, which redemption will completely extinguish public stockholders’ rights
as stockholders (including the right to receive further liquidating distributions, if any), and (iii) as promptly as reasonably
possible following such redemption, subject to the approval of our remaining stockholders and our board of directors, liquidate
and dissolve, subject in each case to our obligations under Delaware law to provide for claims of creditors and the requirements
of other applicable law. Our initial stockholders have entered into agreements with us, pursuant to which they have agreed to waive
their rights to liquidating distributions from the trust account with respect to their founder shares if we fail to complete our
initial business combination by May 14, 2021. However, if our initial stockholders or management team acquire public shares in
or after the Public Offering, they will be entitled to liquidating distributions from the trust account with respect to such public
shares if we fail to complete our initial business combination within the prescribed time period.

 

In the event of a liquidation,
dissolution or winding up of the company after a business combination, our stockholders are entitled to share ratably in all assets
remaining available for distribution to them after payment of liabilities and after provision is made for each class of shares,
if any, having preference over the common stock. Our stockholders have no preemptive or other subscription rights. There are no
sinking fund provisions applicable to the common stock, except that we will provide our public stockholders with the opportunity
to redeem their public shares for cash at a per share price equal to the aggregate amount then on deposit in the trust account,
including interest earned on the funds held in the trust account and not previously released to us to fund our working capital
requirements (subject to an annual limit of $250,000) and/or to pay our taxes, divided by the number of then outstanding public
shares, upon the completion of our initial business combination, subject to certain limitations.

 

     

     

    

 

Founder Shares

 

The founder shares
are designated as Class B Common Stock and, except as described below, are identical to the shares of Class A Common Stock included
in the Units, and holders of founder shares have the same stockholder rights as public stockholders, except that (i) the founder
shares are subject to certain transfer restrictions, as described in more detail below, (ii) our initial stockholders, sponsor,
officers and directors have entered into a letter agreement with us, pursuant to which they have agreed (A) to waive their redemption
rights with respect to any founder shares and public shares they hold in connection with the completion of our initial business
combination, (B) to waive their redemption rights with respect to any founder shares and public shares they hold in connection
with a stockholder vote to approve an amendment to our Charter to modify the substance or timing of our obligation to redeem 100%
of our public shares if we have not consummated an initial business combination by May 14, 2021 or with respect to any other material
provisions relating to stockholders’ rights or pre-initial business combination activity and (C) to waive their rights to
liquidating distributions from the trust account with respect to any founder shares they hold if we fail to complete our initial
business combination by May 14, 2021, although they will be entitled to liquidating distributions from the trust account with respect
to any public shares they hold if we fail to complete our initial business combination within such time period, and (iii) the founder
shares are automatically convertible into Class A Common Stock concurrently with or immediately following the consummation of our
initial business combination on a one-for-one basis, subject to adjustment as described in our Charter. If we submit our initial
business combination to our public stockholders for a vote, our initial stockholders have agreed to vote their founder shares and
any public shares purchased during or after the Public Offering in favor of our initial business combination.

 

The founder shares
will automatically convert into shares of Class A Common Stock concurrently with or immediately following the consummation of our
initial business combination on a one-for-one basis, subject to adjustment for stock splits, stock dividends, reorganizations,
recapitalizations and the like, and subject to further adjustment. In the case that additional shares of Class A Common Stock or
equity-linked securities are issued or deemed issued in connection with our initial business combination, the number of shares
of Class A Common Stock issuable upon conversion of all founder shares will equal, in the aggregate, on an as-converted basis,
20% of the total number of shares of Class A Common Stock outstanding after such conversion (after giving effect to any redemptions
of shares of Class A Common Stock by public stockholders), including the total number of shares of Class A Common Stock issued,
or deemed issued or issuable upon conversion or exercise of any equity-linked securities or rights issued or deemed issued, by
the Company in connection with or in relation to the consummation of the initial business combination, excluding any shares of
Class A Common Stock or equity-linked securities or rights exercisable for or convertible into shares of Class A Common Stock issued,
or to be issued, to any seller in the initial business combination and any private placement warrants issued to our sponsor, officers
or directors upon conversion of working capital loans, provided that such conversion of founder shares will never occur on a less
than one-for-one basis.

 

With certain limited
exceptions, the founder shares are not transferable, assignable or salable (except to our officers and directors and other persons
or entities affiliated with our sponsor, each of whom are subject to the same transfer restrictions) until the earlier of  
(A) one year after the completion of our initial business combination or earlier if, subsequent to our initial business combination,
the closing price of the Class A Common Stock equals or exceeds $12.00 per share (as adjusted for stock splits, stock capitalizations,
reorganizations, recapitalizations and the like) for any 20 trading days within any 30-trading day period commencing at least 150
days after our initial business combination, and (B) the date following the completion of our initial business combination on which
we complete a liquidation, merger, capital stock exchange or other similar transaction that results in all of our stockholders
having the right to exchange their Class A Common Stock for cash, securities or other property.

 

General Provisions

 

Dividend rights

 

Subject to preferences
that may be applicable to any then outstanding preferred stock, holders of our common stock are entitled to receive such dividends,
if any, as may be declared from time-to-time by our Board of Directors out of legally available funds.

 

     

     

    

  

Voting rights

 

Each holder of common
stock is entitled to one vote for each share on all matters properly submitted to a vote of the stockholders, including the election
of directors. Our stockholders do not have cumulative voting rights in the election of directors. Accordingly, holders of a majority
of the voting shares are able to elect all of the directors.

 

Liquidation

 

Subject to applicable
law, the rights, if any, of the holders of any outstanding series of the preferred stock, in the event of any voluntary or involuntary
liquidation, dissolution or winding up of the Company, after payment or provision for payment of the debts and other liabilities
of the Company, the holders of shares of our common stock will be entitled to receive all the remaining assets of the Company available
for distribution to its stockholders, ratably in proportion to the number of shares of common stock held by them.

 

Rights and preferences

 

Holders of our common
stock have no preemptive, conversion, subscription or other rights, and there are no redemption or sinking fund provisions applicable
to our common 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 our preferred stock that we may designate in the future.

 

Preferred Stock

 

Our Charter authorizes
1,000,000 shares of preferred stock and provides that shares of preferred stock may be issued from time to time in one or more
series. Our board of directors are authorized to fix the voting rights, if any, designations, powers, preferences, the relative,
participating, optional or other special rights and any qualifications, limitations and restrictions thereof, applicable to the
shares of each series. Our board of directors are able to, without stockholder approval, issue shares of preferred stock with voting
and other rights that could adversely affect the voting power and other rights of the holders of the common stock and could have
anti-takeover effects. The ability of our board of directors to issue shares of preferred stock without stockholder approval could
have the effect of delaying, deferring or preventing a change of control of us or the removal of existing management. We have no
preferred shares outstanding at the date hereof. Although we do not currently intend to issue any shares of preferred stock, we
cannot assure you that we will not do so in the future.

 

Public Warrants

 

Each warrant entitles
the registered holder to purchase one whole share of common stock at a price of $11.50 per share, subject to adjustment as discussed
below, at any time commencing at any time commencing on the later of May 14, 2020 and 30 days after the completion of our initial
business combination. The warrants will expire on May 14, 2024, at 5:00 p.m., New York City time, or earlier upon redemption or
liquidation. As of December 31, 2019, there were 13,333,333 public warrants outstanding.

 

We are not obligated
to deliver any shares of Class A Common Stock pursuant to the exercise of a warrant and have no obligation to settle such warrant
exercise unless a registration statement under the Securities Act with respect to the shares of Class A Common Stock underlying
the warrants is then effective and a prospectus relating thereto is current, subject to our satisfying our obligations described
below with respect to registration. No warrant will be exercisable and we will not be obligated to issue a share of Class A Common
Stock upon exercise of a warrant unless the share of Class A Common Stock issuable upon such warrant exercise has been registered,
qualified or deemed to be exempt under the securities laws of the state of residence of the registered holder of the warrants.
In the event that the conditions in the two immediately preceding sentences are not satisfied with respect to a warrant, the holder
of such warrant will not be entitled to exercise such warrant and such warrant may have no value and expire worthless. In no event
will we be required to net cash settle any warrant. In the event that a registration statement is not effective for the exercised
warrants, the purchaser of a unit containing such warrant will have paid the full purchase price for the unit solely for the share
of Class A Common Stock underlying such unit.

 

     

     

    

 

We have agreed that
as soon as practicable, but in no event later than fifteen (15) business days after the closing of our initial business combination,
we will use our best efforts to file with the SEC a registration statement for the registration, under the Securities Act of 1933,
as amended (the “Securities Act”), of the Class A Common Stock issuable upon exercise of the warrants. We will use
our best efforts to cause the same to become effective and to maintain the effectiveness of such registration statement, and a
current prospectus relating thereto, until the expiration of the warrants in accordance with the provisions of the warrant agreement.
If a registration statement covering the shares of Class A Common Stock issuable upon exercise of the warrants is not effective
by the sixtieth (60th) business day after the closing of our initial business combination, warrant holders may, until such time
as there is an effective registration statement and during any period when we will have failed to maintain an effective registration
statement, exercise warrants on a “cashless basis” in accordance with Section 3(a)(9) of the Securities Act or another
exemption. Notwithstanding the above, if our Class A Common Stock are at the time of any exercise of a warrant not listed on a
national securities exchange such that they satisfy the definition of a “covered security” under Section 18(b)(1) of
the Securities Act, we may, at our option, require holders of public warrants who exercise their warrants to do so on a “cashless
basis” in accordance with Section 3(a)(9) of the Securities Act and, in the event we so elect, we will not be required to
file or maintain in effect a registration statement, and in the event we do not so elect, we will use our best efforts to register
or qualify the shares under applicable blue sky laws to the extent an exemption is not available.

 

Redemption of Warrants for Cash

 

Once the public warrants
become exercisable, we may call the public warrants for redemption:

 

		·	in whole and not in part;

 

		·	at a price of $0.01 per warrant;

 

		·	upon not less than 30 days’ prior written notice of redemption (the “30-day redemption
period”) to each warrant holder; and

 

		·	if, and only if, the reported closing price of our common stock equals or exceeds $18.00 per share
for any 20 trading days within a 30-trading day period ending three business days before we send the notice of redemption to the
warrant holders.

 

If and when the public
warrants become redeemable by us, we may exercise our redemption right even if we are unable to register or qualify the underlying
securities for sale under all applicable state securities laws.

 

We have established
the last of the redemption criterion discussed above to prevent a redemption call unless there is at the time of the call a significant
premium to the warrant exercise price. If the foregoing conditions are satisfied and we issue a notice of redemption of the public
warrants, each warrant holder will be entitled to exercise his, her or its public warrant prior to the scheduled redemption date.
However, the price of our common stock may fall below the $18.00 redemption trigger price as well as the $11.50 warrant exercise
price (for whole shares) after the redemption notice is issued.

 

Redemption of Warrants for Shares of
Class A Common Stock

 

Commencing ninety days
after the warrants become exercisable, we may redeem the outstanding warrants for shares of Class A Common Stock:

 

		·	in whole and not in part (including both public warrants and private placement warrants);

 

		·	​at a price equal to a number of shares of Class A Common Stock to be determined by reference
to the table below, based on the redemption date and the “fair market value” of our Class A Common Stock (as defined
below) except as otherwise described below;

 

		·	upon a minimum of 30 days’ prior written notice of redemption;

 

		·	if, and only if, the last reported sale price of our Class A Common Stock equals or exceeds $10.00
per share (as adjusted for stock splits, stock dividends, reorganizations, recapitalizations and the like) on the trading day prior
to the date on which we send the notice of redemption to the warrant holders;

 

		·	if, and only if, the private placement warrants are also concurrently exchanged at the same price
(equal to a number of shares of Class A Common Stock) as the outstanding public warrants, as described above; and

 

		·	if, and only if, there is an effective registration statement covering the shares of Class A Common
Stock issuable upon exercise of the warrants and a current prospectus relating thereto available throughout the 30-day period after
written notice of redemption is given.

 

     

     

    

 

The numbers in the table
below represent the “redemption prices,” or the number of shares of Class A Common Stock that a warrant holder will
receive upon redemption by us pursuant to this redemption feature, based on the “fair market value” of our Class A
Common Stock on the corresponding redemption date, determined based on the average of the last reported sales price for the 10
trading days ending on the third trading day prior to the date on which the notice of redemption is sent to the holders of warrants,
and the number of months that the corresponding redemption date precedes the expiration date of the warrants, each as set
forth in the table below.

 

The share prices set
forth in the column headings of the table below will be adjusted as of any date on which the number of shares issuable upon exercise
of a warrant is adjusted. The adjusted stock prices in the column headings will equal the stock prices immediately prior to such
adjustment, multiplied by a fraction, the numerator of which is the number of shares deliverable upon exercise of a warrant immediately
prior to such adjustment and the denominator of which is the number of shares deliverable upon exercise of a warrant as so adjusted.
The number of shares in the table below shall be adjusted in the same manner and at the same time as the number of shares issuable
upon exercise of a warrant.

 

	Redemption
    Date	 	Fair
    Market Value of Class A Common Stock
	(period
    to expiration of warrants)	 	$10.00 	 	$11.00 	 	$12.00 	 	$13.00 	 	$14.00 	 	$15.00	 	$16.00	 	$17.00 	 	$18.00 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	57 months	 	0.257	 	0.277	 	0.294	 	0.310	 	0.324	 	0.337	 	0.348	 	0.358	 	0.365
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	54 months	 	0.252	 	0.272	 	0.291	 	0.307	 	0.322	 	0.335	 	0.347	 	0.357	 	0.365
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	51 months	 	0.246	 	0.268	 	0.287	 	0.304	 	0.320	 	0.333	 	0.346	 	0.357	 	0.365
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	48 months	 	0.241	 	0.263	 	0.283	 	0.301	 	0.317	 	0.332	 	0.344	 	0.356	 	0.365
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	45 months	 	0.235	 	0.258	 	0.279	 	0.298	 	0.315	 	0.330	 	0.343	 	0.356	 	0.365
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	42 months	 	0.228	 	0.252	 	0.274	 	0.294	 	0.312	 	0.328	 	0.342	 	0.355	 	0.364
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	39 months	 	0.221	 	0.246	 	0.269	 	0.290	 	0.309	 	0.325	 	0.340	 	0.354	 	0.364
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	36 months	 	0.213	 	0.239	 	0.263	 	0.285	 	0.305	 	0.323	 	0.339	 	0.353	 	0.364
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	33 months	 	0.205	 	0.232	 	0.257	 	0.280	 	0.301	 	0.320	 	0.337	 	0.352	 	0.364
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	30 months	 	0.196	 	0.224	 	0.250	 	0.274	 	0.297	 	0.316	 	0.335	 	0.351	 	0.364
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	27 months	 	0.185	 	0.214	 	0.242	 	0.268	 	0.291	 	0.313	 	0.332	 	0.350	 	0.364
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	24 months	 	0.173	 	0.204	 	0.233	 	0.260	 	0.285	 	0.308	 	0.329	 	0.348	 	0.364
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	21 months	 	0.161	 	0.193	 	0.223	 	0.252	 	0.279	 	0.304	 	0.326	 	0.347	 	0.364
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	18 months	 	0.146	 	0.179	 	0.211	 	0.242	 	0.271	 	0.298	 	0.322	 	0.345	 	0.363
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	15 months	 	0.130	 	0.164	 	0.197	 	0.230	 	0.262	 	0.291	 	0.317	 	0.342	 	0.363
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	12 months	 	0.111	 	0.146	 	0.181	 	0.216	 	0.250	 	0.282	 	0.312	 	0.339	 	0.363
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	9 months	 	0.090	 	0.125	 	0.162	 	0.199	 	0.237	 	0.272	 	0.305	 	0.336	 	0.362
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	6 months	 	0.065	 	0.099	 	0.137	 	0.178	 	0.219	 	0.259	 	0.296	 	0.331	 	0.362
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	3 months	 	0.034	 	0.065	 	0.104	 	0.150	 	0.197	 	0.243	 	0.286	 	0.326	 	0.361
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	0 months	 	—	 	—	 	0.042	 	0.115	 	0.179	 	0.233	 	0.281	 	0.323	 	0.361

 

     

     

    

 

The “fair market
value” of our Class A Common Stock shall mean the average last reported sale price of our Class A Common Stock for the 10
trading days ending on the third trading day prior to the date on which the notice of redemption is sent to the holders of warrants.

 

The exact fair market
value and redemption date may not be set forth in the table above, in which case, if the fair market value is between two values
in the table or the redemption date is between two redemption dates in the table, the number of shares of Class A Common Stock
to be issued for each warrant redeemed will be determined by a straight-line interpolation between the number of shares set forth
for the higher and lower fair market values and the earlier and later redemption dates, as applicable, based on a 365- or 366-day
year, as applicable. For example, if the average last reported sale price of our Class A Common Stock for the 10 trading days ending
on the third trading date prior to the date on which the notice of redemption is sent to the holders of the warrants is $11.00
per share, and at such time there are 57 months until the expiration of the warrants, we may choose to, pursuant to this redemption
feature, redeem the warrants at a “redemption price” of 0.277 shares of Class A Common Stock for each whole warrant.
For an example where the exact fair market value and redemption date are not as set forth in the table above, if the average last
reported sale price of our Class A Common Stock for the 10 trading days ending on the third trading date prior to the date on which
the notice of redemption is sent to the holders of the warrants is $13.50 per share, and at such time there are 38 months until
the expiration of the warrants, we may choose to, pursuant to this redemption feature, redeem the warrants at a “redemption
price” of 0.298 shares of Class A Common Stock for each whole warrant. Finally, as reflected in the table above, we can redeem
the warrants for no consideration in the event that the warrants are “out of the money” (i.e., the trading price of
our Class A Common Stock is below the exercise price of the warrants) and about to expire.

 

Any public warrants
held by our officers or directors are subject to this redemption feature, except that such officers and directors shall only receive
 “fair market value” for such public warrants so redeemed (“fair market value” for such public warrants
held by our officers or directors being defined as the last reported sale price of the public warrants on such redemption date).

 

This redemption feature
differs from the typical warrant redemption features used in other blank check offerings, which typically only provide for a redemption
of warrants for cash (other than the private placement warrants) when the trading price for the Class A Common Stock exceeds $18.00
per share for a specified period of time. This redemption feature is structured to allow for all of the outstanding warrants to
be redeemed when the shares of Class A Common Stock are trading at or above $10.00 per share, which may be at a time when the trading
price of our Class A Common Stock is below the exercise price of the warrants. We have established this redemption feature to provide
the warrants with an additional liquidity feature, which provides us with the flexibility to redeem the warrants for shares of
Class A Common Stock, instead of cash, for “fair value” without the warrants having to reach the $18.00 per share threshold.
Holders of the warrants will, in effect, receive a number of shares representing fair value for their warrants based on an option
pricing model with a fixed volatility input as of the date of the Public Offering. This redemption right provides us not only with
an additional mechanism by which to redeem all of the outstanding warrants, in this case, for Class A Common Stock, and therefore
have certainty as to (i) our capital structure as the warrants would no longer be outstanding and would have been exercised or
redeemed and (ii) to the amount of cash provided by the exercise of the warrants and available to us, and also provides a ceiling
to the theoretical value of the warrants as it locks in the “redemption prices” we would pay to warrant holders if
we chose to redeem warrants in this manner. We will effectively be required to pay fair value to warrant holders if we choose to
exercise this redemption right and it will allow us to quickly proceed with a redemption of the warrants for shares of Class A
Common Stock if we determine it is in our best interest to do so. As such, we would redeem the warrants in this manner when we
believe it is in our best interest to update our capital structure to remove the warrants and pay fair value to the warrant holders.
In particular, it would allow us to quickly redeem the warrants for shares of Class A Common Stock, without having to negotiate
a redemption price with the warrant holders, which in some situations, may allow us to more quickly and easily close a business
combination. In addition, the warrant holders will have the ability to exercise the warrants prior to redemption if they should
choose to do so.

 

     

     

    

 

As stated above, we
can redeem the warrants when the shares of Class A Common Stock are trading at a price starting at $10.00, which is below the exercise
price of $11.50, because it will provide certainty with respect to our capital structure and cash position while providing
warrant holders with fair value (in the form of shares of Class A Common Stock). If we choose to redeem the warrants when the Class
A Common Stock are trading at a price below the exercise price of the warrants, this could result in the warrant holders receiving
fewer shares of Class A Common Stock than they would have received if they had chosen to wait to exercise their warrants for shares
of Class A Common Stock if and when such shares of Class A Common Stock were trading at a price higher than the exercise price
of $11.50.

 

No fractional shares
of Class A Common Stock will be issued upon redemption. If, upon redemption, a holder would be entitled to receive a fractional
interest in a share, we will round down to the nearest whole number of the number of shares of Class A Common Stock to be issued
to the holder.

 

Redemption Procedures and Cashless Exercise

 

If we call the warrants
for redemption as described above, our management will have the option to require any holder that wishes to exercise his, her or
its warrant to do so on a “cashless basis.” In determining whether to require all holders to exercise their warrants
on a “cashless basis,” our management will consider, among other factors, our cash position, the number of warrants
that are outstanding and the dilutive effect on our stockholders of issuing the maximum number of shares of Class A Common Stock
issuable upon the exercise of our warrants. If our management takes advantage of this option, all holders of warrants would pay
the exercise price by surrendering their warrants for that number of shares of Class A Common Stock equal to the quotient obtained
by dividing (x) the product of the number of Class A Common Stock underlying the warrants, multiplied by the excess of the
 “fair market value” of our Class A Common Stock (defined below) over the exercise price of the warrants by (y) the
fair market value. The “fair market value” will mean the average closing price of the Class A Common Stock for the
10 trading days ending on the third trading day prior to the date on which the notice of redemption is sent to the holders of warrants.
If our management takes advantage of this option, the notice of redemption will contain the information necessary to calculate
the number of shares of Class A Common Stock to be received upon exercise of the warrants, including the “fair market value”
in such case. Requiring a cashless exercise in this manner will reduce the number of shares to be issued and thereby lessen the
dilutive effect of a warrant redemption. We believe this feature is an attractive option to us if we do not need the cash from
the exercise of the warrants after our initial business combination. If we call our warrants for redemption and our management
does not take advantage of this option, the holders of the private placement warrants and their permitted transferees would still
be entitled to exercise their private placement warrants for cash or on a cashless basis using the same formula described above
that other warrant holders would have been required to use had all warrant holders been required to exercise their warrants on
a cashless basis, as described in more detail below.

 

A holder of a warrant
may notify us in writing in the event it elects to be subject to a requirement that such holder will not have the right to exercise
such warrant, to the extent that after giving effect to such exercise, such person (together with such person’s affiliates),
to the warrant agent’s actual knowledge, would beneficially own in excess of 4.9% or 9.8% (as specified by the holder) of
the Class A Common Stock outstanding immediately after giving effect to such exercise.

 

     

     

    

 

If the number of outstanding
shares of Class A Common Stock is increased by a share capitalization payable in shares of Class A Common Stock, or by a split-up
of common stock or other similar event, then, on the effective date of such share capitalization, split-up or similar event, the
number of shares of Class A Common Stock issuable on exercise of each warrant will be increased in proportion to such increase
in the outstanding shares of common stock. A rights offering to holders of common stock entitling holders to purchase Class A Common
Stock at a price less than the fair market value will be deemed a share capitalization of a number of shares of Class A Common
Stock equal to the product of   (i) the number of shares of Class A Common Stock actually sold in such rights
offering (or issuable under any other equity securities sold in such rights offering that are convertible into or exercisable for
Class A Common Stock) and (ii) the quotient of   (x) the price per share of Class A Common Stock paid in such
rights offering and (y) the fair market value. For these purposes (i) if the rights offering is for securities convertible
into or exercisable for shares of Class A Common Stock, in determining the price payable for Class A Common Stock, there will be
taken into account any consideration received for such rights, as well as any additional amount payable upon exercise or conversion
and (ii) fair market value means the volume weighted average price of shares of Class A Common Stock as reported during the ten
(10) trading day period ending on the trading day prior to the first date on which the Class A Common Stock trades on the applicable
exchange or in the applicable market, regular way, without the right to receive such rights.

 

In addition, if we,
at any time while the warrants are outstanding and unexpired, pay a dividend or make a distribution in cash, securities or other
assets to the holders of Class A Common Stock on account of such Class A Common Stock (or other securities into which the warrants
are convertible), other than (a) as described above, (b) certain ordinary cash dividends, (c) to satisfy the redemption
rights of the holders of Class A Common Stock in connection with a proposed initial business combination, or (d) in connection
with the redemption of our public shares upon our failure to complete our initial business combination, then the warrant exercise
price will be decreased, effective immediately after the effective date of such event, by the amount of cash and/or the fair market
value of any securities or other assets paid on each share of Class A Common Stock in respect of such event.

 

If the number of outstanding
shares of Class A Common Stock is decreased by a consolidation, combination, reverse share split or reclassification of Class A
Common Stock or other similar event, then, on the effective date of such consolidation, combination, reverse share split, reclassification
or similar event, the number of shares of Class A Common Stock issuable on exercise of each warrant will be decreased in proportion
to such decrease in outstanding share of Class A Common Stock.

 

Whenever the number
of shares of Class A Common Stock purchasable upon the exercise of the warrants is adjusted, as described above, the warrant exercise
price will be adjusted by multiplying the warrant exercise price immediately prior to such adjustment by a fraction (x) the
numerator of which will be the number of shares of Class A Common Stock purchasable upon the exercise of the warrants immediately
prior to such adjustment, and (y) the denominator of which will be the number of shares of Class A Common Stock so purchasable
immediately thereafter.

 

In addition, if 
(x) we issue additional shares of Class A Common Stock or equity-linked securities for capital raising purposes in connection
with the closing of our initial business combination at an issue price or effective issue price of less than $9.20 per share of
Class A Common Stock (with such issue price or effective issue price to be determined in good faith by our board of directors and,
in the case of any such issuance to our initial stockholders or their affiliates, without taking into account any founder shares
held by our initial stockholders or such affiliates, as applicable, prior to such issuance), (y) the aggregate gross proceeds from
such issuances represent more than 50% of the total equity proceeds, and interest thereon, available for the funding of our initial
business combination, and (z) the volume weighted average trading price of our Class A Common Stock during the 10 trading day period
starting on the trading day after the day on which we consummate our initial business combination (such price, the “Market
Value”) is below $9.20 per share, the exercise price of the warrants will be adjusted (to the nearest cent) to be equal to
115% of the Market Value, and the $18.00 per share redemption trigger price will be adjusted (to the nearest cent) to be equal
to 180% of the Market Value.

 

     

     

    

 

In case of any reclassification
or reorganization of the outstanding Class A Common Stock (other than those described above or that solely affects the par value
of such Class A Common Stock), or in the case of any merger or consolidation of us with or into another corporation (other than
a consolidation or merger in which we are the continuing corporation and that does not result in any reclassification or reorganization
of our outstanding Class A Common Stock), or in the case of any sale or conveyance to another corporation or entity of the assets
or other property of us as an entirety or substantially as an entirety in connection with which we are dissolved, the holders of
the warrants will thereafter have the right to purchase and receive, upon the basis and upon the terms and conditions specified
in the warrants and in lieu of the Class A Common Stock immediately theretofore purchasable and receivable upon the exercise of
the rights represented thereby, the kind and amount of shares of Class A Common Stock or other securities or property (including
cash) receivable upon such reclassification, reorganization, merger or consolidation, or upon a dissolution following any such
sale or transfer, that the holder of the warrants would have received if such holder had exercised their warrants immediately prior
to such event. If less than 70% of the consideration receivable by the holders of Class A Common Stock in such a transaction is
payable in the form of Class A Common Stock in the successor entity that is listed for trading on a national securities exchange
or is quoted in an established over-the-counter market, or is to be so listed for trading or quoted immediately following such
event, and if the registered holder of the warrant properly exercises the warrant within thirty days following public disclosure
of such transaction, the warrant exercise price will be reduced as specified in the warrant agreement based on the Black-Scholes
Warrant Value (as defined in the warrant agreement) of the warrant. The purpose of such exercise price reduction is to provide
additional value to holders of the warrants when an extraordinary transaction occurs during the exercise period of the warrants
pursuant to which the holders of the warrants otherwise do not receive the full potential value of the warrants.

 

The warrants are issued
in registered form under a warrant agreement between Continental Stock Transfer & Trust Company, as warrant agent, and us.
The warrant agreement provides that the terms of the warrants may be amended without the consent of any holder to cure any ambiguity
or correct any defective provision, and that all other modifications or amendments will require the vote or written consent of
the holders of at least 50% of the then outstanding public warrants, and, solely with respect to any amendment to the terms of
the private placement warrants, a majority of the then outstanding private placement warrants.

 

The warrants may be
exercised upon surrender of the warrant certificate on or prior to the expiration date at the offices of the warrant agent, with
the exercise form on the reverse side of the warrant certificate completed and executed as indicated, accompanied by full payment
of the exercise price (or on a cashless basis, if applicable), by certified or official bank check payable to us, for the number
of warrants being exercised. The warrant holders do not have the rights or privileges of holders of common stock and any voting
rights until they exercise their warrants and receive shares of Class A Common Stock. After the issuance of shares of Class A Common
Stock upon exercise of the warrants, each holder will be entitled to one vote for each share held of record on all matters to be
voted on by stockholders.

 

No fractional shares
will be issued upon exercise of the warrants. If, upon exercise of the warrants, a holder would be entitled to receive a fractional
interest in a share, we will, upon exercise, round down to the nearest whole number the number of shares of Class A Common Stock
to be issued to the warrant holder.

 

Private Placement Warrants

 

The private placement
warrants (including the Class A common stock issuable upon exercise of the private placement warrants) will not be transferable,
assignable or salable until 30 days after the completion of our initial business combination (except, among other limited
exceptions, to our officers and directors and other persons or entities affiliated with the initial purchasers of the private placement
warrants) and they will not be redeemable by us for cash so long as they are held by the initial stockholders or their permitted
transferees. The initial purchasers, or their permitted transferees, have the option to exercise the private placement warrants
on a cashless basis. Except as described herein, the private placement warrants have terms and provisions that are identical to
those of the warrants being sold as part of the Units, including that they may be redeemed for shares of Class A common stock.
If the private placement warrants are held by holders other than the initial purchasers or their permitted transferees, the private
placement warrants will be redeemable by us and exercisable by the holders on the same basis as the warrants included in the Units.

 

     

     

    

 

If holders of the private
placement warrants elect to exercise them on a cashless basis, they would pay the exercise price by surrendering his, her or its
warrants for that number of shares of Class A common stock equal to the quotient obtained by dividing (x) the product
of the number of shares of Class A common stock underlying the warrants, multiplied by the excess of the “fair market
value” of our Class A common stock (defined below) over the exercise price of the warrants by (y) the fair market value.
The “fair market value” will mean the average closing price of the Class A common stock for the 10 trading days
ending on the third trading day prior to the date on which the notice of warrant exercise is sent to the warrant agent. The reason
that we have agreed that these warrants will be exercisable on a cashless basis so long as they are held by the initial purchasers
or their permitted transferees is because it is not known at this time whether they will be affiliated with us following a business
combination. If they remain affiliated with us, their ability to sell our securities in the open market will be significantly limited.
We expect to have policies in place that prohibit insiders from selling our securities except during specific periods of time.
Even during such periods of time when insiders will be permitted to sell our securities, an insider cannot trade in our securities
if he or she is in possession of material non-public information. Accordingly, unlike public stockholders who could exercise their
warrants and sell the shares of Class A common stock received upon such exercise freely in the open market in order to recoup
the cost of such exercise, the insiders could be significantly restricted from selling such securities. As a result, we believe
that allowing the holders to exercise such warrants on a cashless basis is appropriate.

 

In order to finance
transaction costs in connection with an intended initial business combination, our sponsor or an affiliate of our sponsor or certain
of our officers and directors may, but are not obligated to, loan us funds as may be required. Up to $1,500,000 of such loans may
be convertible into warrants of the post business combination entity at a price of $1.50 per warrant at the option of the
lender. Such warrants would be identical to the private placement warrants.

 

Our initial stockholders
have agreed not to transfer, assign or sell any of the private placement warrants (including the Class A common stock issuable
upon exercise of any of these warrants) until the date that is 30 days after the date we complete our initial business combination,
except that, among other limited exceptions, transfers can be made to our officers and directors and other persons or entities
affiliated with the sponsor.

 

Certain Anti-Takeover Provisions of
Delaware Law, Our Charter and Our Bylaws

 

We are currently subject
to the provisions of Section 203 (“Section 203”) of the Delaware General Corporation Law (the “DGCL”)
regulating corporate takeovers. Section 203 prevents certain Delaware corporations, under certain circumstances, from engaging
in a “business combination” with:

 

		·	a stockholder who owns fifteen percent (15%) or more of our outstanding
voting stock (otherwise known as an “interested stockholder”);

 

		·	an affiliate of an interested stockholder; or

 

		·	an associate of an interested stockholder, for three years following the date that the stockholder
became an interested stockholder.

 

A “business combination”
includes a merger or sale of more than ten percent (10%) of the Company’s assets. However, the above provisions of Section 203
do not apply if:

 

		·	our Board of Directors approves the transaction that made the stockholder an “interested
stockholder,” prior to the date of the transaction;

 

		·	after the completion of the transaction that resulted in the stockholder becoming an interested
stockholder, that stockholder owned at least eighty-five percent (85%) of our voting stock outstanding at the time the transaction
commenced, other than statutorily excluded shares of common stock; or

 

		·	on or subsequent to the date of the transaction, the business combination is approved by our Board
of Directors and authorized at a meeting of our stockholders, and not by written consent, by an affirmative vote of at least two-thirds
of the outstanding voting stock not owned by the interested stockholder.

 

     

     

    

 

Our Charter provides
that our Board is classified into three classes of directors. As a result, in most circumstances, a person can gain control of
our Board only by successfully engaging in a proxy contest at two or more annual meetings.

 

In addition, our Charter
does not provide for cumulative voting in the election of directors. Our Board of Directors is empowered to elect a director to
fill a vacancy created by the expansion of our Board or the resignation, death, or removal of a director in certain circumstances;
and our advance notice provisions require that stockholders must comply with certain procedures in order to nominate candidates
to our Board or to propose matters to be acted upon at a stockholders’ meeting.

 

Authorized but unissued
common stock and preferred stock are available for future issuances without stockholder approval and could be utilized for a variety
of corporate purposes, including future offerings to raise additional capital, acquisitions and employee benefit plans. The existence
of authorized but unissued and unreserved common stock and preferred stock could render more difficult or discourage an attempt
to obtain control of us by means of a proxy contest, tender offer, merger or otherwise.

 

Exclusive Forum for Certain Lawsuits

 

Our Charter provides,
unless we consent in writing to the selection of an alternative forum, that (i) any derivative action or proceeding brought
on our behalf, (ii) any action asserting a claim of breach of a fiduciary duty owed by any director, officer or other employee
to us or our stockholders, (iii) any action asserting a claim against us, our directors, officers or employees arising pursuant
to any provision of the DGCL or our Charter or Bylaws, or (iv) any action asserting a claim against us, our directors, officers
or employees governed by the internal affairs doctrine may be brought only in the Court of Chancery in the State of Delaware, except
any claim (A) as to which the Court of Chancery of the State of Delaware determines that there is an indispensable party not
subject to the jurisdiction of the Court of Chancery (and the indispensable party does not consent to the personal jurisdiction
of the Court of Chancery within ten days following such determination), (B) which is vested in the exclusive jurisdiction
of a court or forum other than the Court of Chancery, (C) for which the Court of Chancery does not have subject matter jurisdiction,
or (D) any action arising under the Securities Act, as to which the Court of Chancery and the federal district court for the
District of Delaware shall have concurrent jurisdiction. If an action is brought outside of Delaware, the stockholder bringing
the suit will be deemed to have consented to service of process on such stockholder’s counsel. Although we believe this provision
benefits us by providing increased consistency in the application of Delaware law in the types of lawsuits to which it applies,
a court may determine that this provision is unenforceable, and to the extent it is enforceable, the provision may have the effect
of discouraging lawsuits against our directors and officers, although our stockholders will not be deemed to have waived our compliance
with federal securities laws and the rules and regulations thereunder.

 

Notwithstanding the
foregoing, our Charter provides that the exclusive forum provision will not apply to suits brought to enforce a duty or liability
created by the Exchange Act or any other claim for which the federal courts have exclusive jurisdiction. Section 27 of the Exchange
Act creates exclusive federal jurisdiction over all suits brought to enforce any duty or liability created by the Exchange Act
or the rules and regulations thereunder.

 

Special Meeting of Stockholders

 

Our Bylaws provide that
special meetings of our stockholders may be called only by a majority vote of our board of directors, by our Chief Executive Officer
or by our Chairman.

 

Advance Notice Requirements for Stockholder
Proposals and Director Nominations

 

Our Bylaws provide that
stockholders seeking to bring business before our annual meeting of stockholders, or to nominate candidates for election as directors
at our annual meeting of stockholders, must provide timely notice of their intent in writing. To be timely, a stockholder’s
notice will need to be received by the company secretary at our principal executive offices not later than the close of business
on the 90th day nor earlier than the opening of business on the 120th day prior to the anniversary date of the immediately preceding
annual meeting of stockholders. Pursuant to Rule 14a-8 of the Exchange Act, proposals seeking inclusion in our annual proxy statement
must comply with the notice periods contained therein. Our Bylaws also specify certain requirements as to the form and content
of a stockholders’ meeting. These provisions may preclude our stockholders from bringing matters before our annual meeting
of stockholders or from making nominations for directors at our annual meeting of stockholders.

 

     

     

    

 

Action by Written Consent

 

Subsequent to the consummation
of the offering, any action required or permitted to be taken by our common stockholders must be effected by a duly called annual
or special meeting of such stockholders and may not be effected by written consent of the stockholders other than with respect
to our Class B common stock.

 

Classified Board of Directors

 

Our board of directors
will initially be divided into three classes, Class I, Class II and Class III, with members of each class serving staggered three-year
terms. Our Charter provides that the authorized number of directors may be changed only by resolution of the board of directors.
Subject to the terms of any preferred stock, any or all of the directors may be removed from office at any time, but only for cause
and only by the affirmative vote of holders of a majority of the voting power of all then outstanding shares of our capital stock
entitled to vote generally in the election of directors, voting together as a single class. Any vacancy on our board of directors,
including a vacancy resulting from an enlargement of our board of directors, may be filled only by vote of a majority of our directors
then in office.

 

Class B Common Stock Consent Right

 

For so long as any shares of Class B Common
Stock remain outstanding, we may not, without the prior vote or written consent of the holders of a majority of the shares of Class
B Common Stock then outstanding, voting separately as a single class, amend, alter or repeal any provision of our certificate incorporation,
whether by merger, consolidation or otherwise, if such amendment, alteration or repeal would alter or change the powers, preferences
or relative, participating, optional or other or special rights of the Class B Common Stock. Any action required or permitted to
be taken at any meeting of the holders of Class B Common Stock may be taken without a meeting, without prior notice and without
a vote, if a consent or consents in writing, setting forth the action so taken, shall be signed by the holders of the outstanding
Class B Common Stock having not less than the minimum number of votes that would be necessary to authorize or take such action
at a meeting at which all shares of Class B Common Stock were present and voted.

 

Dividends

 

We have not paid any
cash dividends on our common stock to date. The payment of cash dividends in the future will be dependent upon our revenues and
earnings, if any, capital requirements and general financial condition. The payment of any cash dividends will be within the discretion
of our Board at such time. Our Board is not currently contemplating and does not anticipate declaring any stock dividends in the
foreseeable future. Further, if we incur any indebtedness, our ability to declare dividends may be limited by restrictive covenants
we may agree to in connection therewith.

 

Limitations of Liability and Indemnification

 

Our Charter and our
Bylaws provide that we will indemnify our directors and officers, and may indemnify our employees and other agents, to the fullest
extent permitted by the DGCL, which prohibits our Charter from limiting the liability of its directors for the following:

 

		·	any breach of the director’s duty of loyalty to the Company or to its stockholders;

 

		·	acts or omissions not in good faith or that involve intentional misconduct or a knowing violation
of law;

 

		·	unlawful payment of dividends or unlawful stock repurchases or redemptions; and

 

		·	any transaction from which the director derived an improper personal benefit.

 

     

     

    

 

If Delaware law is
amended to authorize corporate action further eliminating or limiting the personal liability of a director, then the liability
of our directors will be eliminated or limited to the fullest extent permitted by Delaware law, as so amended. Our Charter does
not eliminate a director’s duty of care and, in appropriate circumstances, equitable remedies, such as injunctive or other
forms of non-monetary relief, remain available under Delaware law. This provision also does not affect a director’s responsibilities
under any other laws, such as the federal securities laws or other state or federal laws. Under our Bylaws, we are empowered to
purchase insurance on behalf of any person whom it is required or permitted to indemnify.

 

In addition to the
indemnification required in our Charter and our Bylaws, we have entered into indemnification agreements with each of our directors,
officers, and some employees, effective upon consummation of the Business Combination. These agreements provide for the indemnification
of such directors, officers, and employees for certain expenses and liabilities incurred in connection with any action, suit, proceeding,
or alternative dispute resolution mechanism, or hearing, inquiry, or investigation that may lead to the foregoing, to which they
are a party, or are threatened to be made a party, by reason of the fact that they are or were a director, officer, employee, agent,
or fiduciary of the Company, or any of its subsidiaries, by reason of any action or inaction by them while serving as an officer,
director, employee, agent, or fiduciary, or by reason of the fact that they were serving at the Company request as a director,
officer, employee, agent, or fiduciary of another entity. In the case of an action or proceeding by or in the right of the Company
or any of its subsidiaries, no indemnification will be provided for any claim where a court determines that the indemnified party
is prohibited from receiving indemnification. We believe that the provisions of our Charter and Bylaws described above and these
indemnification agreements are necessary to attract and retain qualified persons as directors and officers. We also maintain directors’
and officers’ liability insurance.

 

The limitation of liability
and indemnification provisions in our Charter and our Bylaws may discourage stockholders from bringing a lawsuit against directors
for breach of their fiduciary duties. They may also reduce the likelihood of derivative litigation against directors and officers,
even though an action, if successful, might benefit the Company and its stockholders. A stockholder’s investment may be harmed
to the extent that we pay the costs of settlement and damage awards against directors and officers pursuant to these indemnification
provisions.

 

Insofar as indemnification
for liabilities arising under the Securities Act may be permitted to our directors, officers, and controlling persons pursuant
to the foregoing provisions, or otherwise, we have been advised that, in the opinion of the SEC, such indemnification is against
public policy as expressed in the Securities Act, and is, therefore, unenforceable.

 

There is no pending
litigation or proceeding naming any of our directors or officers as to which indemnification is being sought, nor are we aware
of any pending or threatened litigation that may result in claims for indemnification by any director or officer.

 

Registration Rights

 

The holders of the founder
shares and warrants that may be issued upon conversion of working capital loans (and any Class A Common Stock issuable upon the
exercise of the private placement warrants and warrants that may be issued upon conversion of working capital loans and upon conversion
of the founder shares) are entitled to registration rights pursuant to a registration rights agreement, requiring us to register
such securities for resale. The holders of these securities are entitled to make up to three demands, excluding short form demands,
that we register such securities. In addition, the holders have certain “piggy-back” registration rights with respect
to registration statements filed subsequent to our completion of our initial business combination. We will bear the expenses incurred
in connection with the filing of any such registration statements.

 

 Listing of Securities

 

Our Units, Class A
Common Stock and warrants are currently listed on Nasdaq under the symbols “DEACU”, “DEAC” and “DEACW”,
respectively.

 

Transfer Agent and Registrar

 

The transfer agent
and registrar for our common stock is Continental Stock Transfer & Trust Company.Exhibit
10.1

 

ASSET
PURCHASE AGREEMENT

 

This Asset Purchase
Agreement (this “Agreement”), dated as of March __, 2020, is entered into by and among HMNRTH, LLC, a Delaware
Limited Liability Company (“Seller”) and TCBM Holdings, LLC, a Delaware Limited Liability Company, for purposes
of Article III, (“Seller’s Owner”) (together Seller and Owner “Selling Parties”) and
Scalematix, LLC, a Nevada Limited Liability Company (“Buyer”) and Edison Nation, Inc., a Nevada corporation,
for the purposes of Article I, Section 1.03 ( “Buyer’s Owner” or “Edison Nation”).

 

RECITALS

 

A. Selling Parties operate
a consumer products company which develops, contract manufactures and sells a line of products in the health wellness industry
and related consumer products industry.

 

B.
Selling Parties desire to sell, assign, transfer and deliver to Buyer, and Buyer desires to purchase from Seller, certain of the
assets and lines of business of Seller (“Purchased Assets”) upon the terms and subject to the conditions set forth
in this Agreement. 

NOW,
THEREFORE, in consideration of the Explanatory Statement, which shall be deemed a substantive part of this Agreement, and the
mutual covenants, promises, agreements, representations and warranties contained in this Agreement, the parties hereto do hereby
covenant, promise and agree as follows:

 

Article
I

Purchase
and Sale

 

Section
1.01 Purchase and Sale of Assets. Subject to the terms and conditions set forth herein, Seller shall sell, assign, transfer,
convey and deliver to Buyer, and Buyer shall purchase from Seller, all of Seller’s right, title and interest in the assets
set forth on Schedule 1.01, hereto (the “Purchased Assets”), free and clear of any mortgage, pledge,
lien, charge, security interest, claim or other encumbrance (“Encumbrance”).

 

Section
1.02 Excluded Assets set forth in Schedule 1.02.

 

Section
1.03 Purchase Price. The aggregate purchase price for the Purchased Assets shall be as follows:

 

(a)
At Closing, Buyer shall pay via wire transfer a cash amount of $70,580 Dollars ($) to Seller’s Representative. Buyer
shall issue to Seller’s Representative on the Closing Date, the number of Two Hundred Thirty-Eight Thousand Seven Hundred
and Fifty (238,750) shares of Buyer common stock (the “Common Stock”) for ongoing management of the business.

 

    	 	1	 

    	 

    

 

(b)
Assumption of Certain Liabilities: The assumption of the liabilities as set forth in Schedule 1.03(c) (the “Assumed
Liabilities”), (collectively, Section 1.03, the “Purchase Price”).

 

(c)
Earn out consideration shall include the following milestones:

 

(i)
At such time as the Purchased Assets achieve cumulative revenue of $2,500,000, Seller shall earn One Hundred Twenty-Five Thousand
Shares (125,000) of Common Stock.

 

(ii)
At such time as the Purchased Assets achieve cumulative revenue of $5,000,000, Seller shall earn One Hundred Twenty-Five Thousand
Shares (125,000) of Common Stock.

 

Other
than the Assumed Liabilities as set forth in Schedule 1.03(b), Buyer shall not assume any liabilities or obligations of Seller
of any kind, whether known or unknown, contingent, matured or otherwise, whether currently existing or hereinafter created.

 

Section
1.04 Review Period: Termination

 

(a)
Examination. After full execution of this Agreement, Buyer shall have up to five (5) business days (the “Review
Period”) to review the relevant financial statements, books and records of Seller, which Seller shall provide, certify
and warrant as full, complete and accurate.

 

(b)
Termination. On or prior to the last day of the Review Period, Buyer shall have the right to terminate this Agreement for
any reason or no reason it its sole and complete discretion. (the “Termination “). In the event of a Termination,
this Agreement shall be deemed null and void. In the event that Buyer does not terminate this agreement during the Review Period,
with such changes as may have been previously agreed in writing by Buyer and Seller, this Agreement, shall be final and binding.

 

Article
II

Closing

 

Section
2.01 Closing. The closing of the transactions contemplated by this Agreement (the “Closing”) shall take
place within 5 days after the expiration of the Review Period in the event that this Agreement was not terminated by Buyer (the
“Closing Date”). The consummation of the transactions contemplated by this Agreement shall be deemed to occur
at 12:01 a.m. on the Closing Date.

 

    	 	2	 

    	 

    

 

Section
2.02 Closing Deliverables.

 

(a)
At the Closing, Seller shall deliver to Buyer the following:

 

(i)
a bill of sale in form and substance satisfactory to Buyer (the “Bill of Sale”) and duly executed by Seller,
transferring the Purchased Assets to Buyer;

 

(ii)
copies of all consents, approvals, waivers and authorizations
referred to the Seller’s disclosure schedules (the “Disclosure Schedules”); and,

 

(iii)
such other customary instruments of transfer, assumption, filings
or documents, in form and substance reasonably satisfactory to Buyer, as may be required to give effect to this Agreement.

 

(b)
At the Closing, Buyer shall deliver to Seller the following:

 

(i)
the Purchase Price as set forth in Section 1.03, herein; and

 

(ii)
the Assignment and Assumption Agreement duly executed by Buyer.

 

Article
III

Representations
and warranties of seller

 

Except
as set forth in the correspondingly numbered Seller’s Disclosure Schedules, Selling Parties represent and warrant to Buyer
that the statements contained in this Article III are true and correct and any similar phrases shall mean the actual or
constructive knowledge of any director or officer of Seller, after due inquiry.

 

Section
3.01 Organization and Authority of Seller; Enforceability. Seller is a limited liability company duly organized, validly existing
and in good standing under the laws of the state of Delaware. Seller has full corporate power and authority to enter into this
Agreement and the documents to be delivered hereunder, to carry out its obligations hereunder and to consummate the transactions
contemplated hereby. The execution, delivery and performance by Seller of this Agreement and the documents to be delivered hereunder
and the consummation of the transactions contemplated hereby have been duly authorized by all requisite corporate action on the
part of Seller. This Agreement and the documents to be delivered hereunder have been duly executed and delivered by Seller, and
(assuming due authorization, execution and delivery by Seller) this Agreement and the documents to be delivered hereunder constitute
legal, valid and binding obligations of Seller, enforceable against Seller in accordance with their respective terms.

 

    	 	3	 

    	 

    

 

Section
3.02 No Conflicts; Consents. The execution, delivery and performance by Seller of this Agreement and the documents to be delivered
hereunder, and the consummation of the transactions contemplated hereby, do not and will not: (a) violate or conflict with the
certificate of incorporation, by-laws or other organizational documents of Seller; (b) violate or conflict with any judgment,
order, decree, statute, law, ordinance, rule or regulation applicable to Seller or the Purchased Assets; (c) conflict with, or
result in (with or without notice or lapse of time or both) any violation of, or default under, or give rise to a right of termination,
acceleration or modification of any obligation or loss of any benefit under any contract or other instrument to which Seller is
a party or to which any of the Purchased Assets are subject; or (d) result in the creation or imposition of any Encumbrance on
the Purchased Assets. No consent, approval, waiver or authorization is required to be obtained by Seller from any person or entity
(including any governmental authority) in connection with the execution, delivery and performance by Seller of this Agreement
and the consummation of the transactions contemplated hereby.

 

Section
3.03 Title to Purchased Assets. Seller owns and has good title to the Purchased Assets, free and clear of Encumbrances, except
as set forth in Section 3.03 of Seller’s Disclosure Schedules.

 

Section
3.04 Condition of Assets. The tangible personal property included in the Purchased Assets is in good condition and adequate
for the uses to which they are being put, and none of such /tangible personal property is in need of maintenance or repairs except
for ordinary, routine maintenance and repairs that are not material in nature or cost.

 

Section
3.05 Non-foreign Status. Seller is not a “foreign person” as that term is used in Treasury Regulations Section
1.1445-2.

 

Section
3.06 Compliance With Laws Seller has complied, and is now complying, with all applicable federal, state and local laws and
regulations applicable to ownership and use of the Purchased Assets.

 

Section
3.07 Legal Proceedings. There is no claim, action, suit, proceeding or governmental investigation (“Action”)
of any nature pending or, to Seller’s knowledge, expected or threatened against or by Seller (a) relating to or affecting
the Purchased Assets or the Assumed Liabilities; or (b) that challenges or seeks to prevent, enjoin or otherwise delay the transactions
contemplated by this Agreement. No event has occurred or circumstances exist that may give rise to, or serve as a basis for, any
such Action, except as set forth in Section 3.10 of the Disclosure Schedules.

 

    	 	4	 

    	 

    

 

Section
3.08 Brokers. No broker, finder or investment banker is entitled to any brokerage, finder’s or other fee or commission
in connection with the transactions contemplated by this Agreement based upon arrangements made by or on behalf of Seller.

 

Section
3.09 Undisclosed Liabilities. Seller has no Liabilities with respect to the Business, except those which have been incurred
in the ordinary course of business consistent with past practice and which are not, individually or in the aggregate, material
in amount.

 

Section
3.10 Fair Market Value. To the best of Seller’s knowledge, the Purchase Price constitutes fair market value for the
Purchased Assets.

 

Section
3.11 Governmental Orders. Except as set forth in the Disclosure Schedules, there are no outstanding Governmental Orders (as
the term is defined herein) and no unsatisfied judgments, penalties or awards against, relating to or affecting the Business.
Seller is in compliance with the terms of each Governmental Order set forth in the Disclosure Schedules. No event has occurred
or circumstances exist that may constitute or result in (with or without notice or lapse of time) a violation of any such Governmental
Order. “Governmental Order” means any order, writ, judgment, injunction, decree, stipulation, determination
or award entered by or with any federal, state, local or foreign government or political subdivision thereof, or any agency or
instrumentality of such government or political subdivision, or any self-regulated organization or other non-governmental regulatory
authority or quasi-governmental authority (to the extent that the rules, regulations or orders of such organization or authority
have the force of law), or any arbitrator, court or tribunal of competent jurisdiction.

 

Section
3.12 Full Disclosure. No representation or warranty by Seller in this Agreement and no statement contained in the Schedules,
the Disclosure Schedules to this Agreement or any certificate or other document furnished or to be furnished to Buyer pursuant
to this Agreement contains any untrue statement of a material fact, or omits to state a material fact necessary to make the statements
contained therein, in light of the circumstances in which they are made, not misleading.

 

    	 	5	 

    	 

    

 

Article
IV

Representations
and warranties of buyer

 

Buyer
represents and warrants to Seller that the statements contained in this Article IV are true and correct as of the date
hereof. For purposes of this Article IV, “Buyer’s knowledge,” “knowledge of Buyer” and any
similar phrases shall mean the actual or constructive knowledge of any director or officer of Buyer, after due inquiry.

 

Section
4.01 Organization and Authority of Buyer; Enforceability. Buyer is a corporation duly organized, validly existing and in good
standing under the laws of the state of Nevada. Buyer has full corporate power and authority to enter into this Agreement and
the documents to be delivered hereunder, to carry out its obligations hereunder and to consummate the transactions contemplated
hereby. The execution, delivery and performance by Buyer of this Agreement and the documents to be delivered hereunder and the
consummation of the transactions contemplated hereby have been duly authorized by all requisite corporate action on the part of
Buyer. This Agreement and the documents to be delivered hereunder have been duly executed and delivered by Buyer, and (assuming
due authorization, execution and delivery by Seller) this Agreement and the documents to be delivered hereunder constitute legal,
valid and binding obligations of Buyer enforceable against Buyer in accordance with their respective terms.

 

Section
4.02 No Conflicts; Consents. The execution, delivery and performance by Buyer of this Agreement and the documents to be delivered
hereunder, and the consummation of the transactions contemplated hereby, do not and will not: (a) violate or conflict with the
certificate of incorporation, by-laws or other organizational documents of Buyer; or (b) violate or conflict with any judgment,
order, decree, statute, law, ordinance, rule or regulation applicable to Buyer. No consent, approval, waiver or authorization
is required to be obtained by Buyer from any person or entity (including any governmental authority) in connection with the execution,
delivery and performance by Buyer of this Agreement and the consummation of the transactions contemplated hereby.

 

Section
4.03 Legal Proceedings. There is no Action of any nature pending or, to Buyer’s knowledge, threatened against or by
Buyer that challenges or seeks to prevent, enjoin or otherwise delay the transactions contemplated by this Agreement. No event
has occurred or circumstances exist that may give rise to, or serve as a basis for, any such Action.

 

    	 	6	 

    	 

    

 

Section
4.04 Brokers. no broker, finder or investment banker is entitled to any brokerage, finder’s or other fee or commission
in connection with the transactions contemplated by this Agreement based upon arrangements made by or on behalf of Buyer.

 

Article
V

Covenants

 

Section
5.01 Public Announcements. Unless otherwise required by applicable law, neither party shall make any public announcements
regarding this Agreement or the transactions contemplated hereby without the prior written consent of the other party (which consent
shall not be unreasonably withheld or delayed).

 

Section
5.02 Further Assurances. Following the Closing, each of the parties hereto shall execute and deliver such additional documents,
instruments, conveyances and assurances and take such further actions as may be reasonably required to carry out the provisions
hereof and give effect to the transactions contemplated by this Agreement and the documents to be delivered hereunder.

 

Section
5.03 Conduct of Business Prior to the Closing. From the date hereof until the Closing, except as otherwise provided in this
Agreement or consented to in writing by Buyer (which consent shall not be unreasonably withheld or delayed), Seller shall (x)
conduct the Business in the ordinary course of business consistent with past practice; and (y) use reasonable best efforts to
maintain and preserve intact its current Business organization, operations and franchise and to preserve the rights, franchises,
goodwill and relationships of its employees, customers, lenders, suppliers, regulators and others having relationships with the
Business. Without limiting the foregoing, from the date hereof until the Closing Date, Seller shall:

 

(a)
preserve and maintain all Permits required for the conduct of the Business as currently conducted or the ownership and use of
the Purchased Assets;

 

(b)
pay the debts, Taxes and other obligations of the Business when due;

 

(c)
continue to collect accounts receivable in a manner consistent with past practice, without discounting such Accounts Receivable;

 

(d)
maintain the properties and assets included in the Purchased Assets in the same condition as they were on the date of this Agreement,
subject to reasonable wear and tear;

 

(e)
continue in full force and effect without modification all insurance policies, except as required by applicable Law;

 

(f)
defend and protect the properties and assets included in the Purchased Assets from infringement or usurpation;

 

(g)
perform all of its obligations under all Assigned Contracts;

 

(h)
maintain the Books and Records in accordance with past practice;

 

    	 	7	 

    	 

    

 

(i)
comply in all material respects with all Laws applicable to the conduct of the Business or the ownership and use of the Purchased
Assets; and

 

(j)
not take or permit any action that would cause material adverse changes, events or conditions in the Purchased Assets.

 

Section
5.04 Access to Information. From the date hereof until the Closing, Seller shall (a) afford Buyer and its Representatives
full and free access to and the right to inspect all of the Real Property, properties, assets, premises, books and records, Contracts
and other documents and data related to the Business; (b) furnish Buyer and its Representatives with such financial, operating
and other data and information related to the Business as Buyer or any of its Representatives may reasonably request; and (c)
instruct the Representatives of Seller to cooperate with Buyer in its investigation of the Business. Any investigation pursuant
to this Section 5.04 shall be conducted in such manner as not to interfere unreasonably with the conduct of the Business
or any other businesses of Seller. No investigation by Buyer or other information received by Buyer shall operate as a waiver
or otherwise affect any representation, warranty or agreement given or made by Seller in this Agreement.

 

Section
5.05 Employees and Employee Benefits.

 

(a)
Buyer, at Buyer’s sole discretion, may offer employment, on an “at will” basis, to any or all of Seller’s
employees. However, Buyer shall have no obligation to offer employment to any of Seller’s employees. Seller shall bear any
and all obligations and liability under the WARN Act resulting from employment losses pursuant to this Section 5.05.

 

(b)
Except as otherwise set forth herein, Seller shall be solely responsible, and Buyer shall have no obligation whatsoever for, any
employment agreement or Contract with any employee of Seller or compensation or other amounts payable to any current or former
employee, officer, director, independent contractor or consultant of the Business, including, without limitation, hourly pay,
commission, bonus, salary, accrued vacation, fringe, pension or profit sharing benefits or severance pay for any period relating
to the service with Seller at any time on or prior to the Closing Date and Seller shall pay all such amounts to all entitled persons
on or prior to the Closing Date.

 

(c)
Seller shall remain solely responsible for the satisfaction of all claims for medical, dental, life insurance, health accident
or disability benefits brought by or in respect of current or former employees, officers, directors, independent contractors or
consultants of the Business or the spouses, dependents or beneficiaries thereof, which claims relate to events occurring on or
prior to the Closing Date. Seller also shall remain solely responsible for all workers’ compensation claims of any current
or former employees, officers, directors, independent contractors or consultants of the Business which relate to events occurring
on or prior to the Closing Date. Seller shall pay, or cause to be paid, all such amounts to the appropriate persons as and when
due.

 

    	 	8	 

    	 

    

 

Article
VI

Indemnification

 

Section
6.01 Survival. Unless otherwise provided in this Agreement, all representations, warranties, covenants and agreements contained
herein and all related rights to indemnification shall survive the Closing for a period of twenty-four (24) months following the
Closing Date.

 

Section
6.02 Indemnification by Seller. Seller shall defend, indemnify and hold harmless Buyer, and its affiliates and their respective
stockholders, directors, officers and employees (“Seller Indemnitees”) from and against all Losses arising from or
relating to:

 

(a)
any inaccuracy in or breach of any of the representations or warranties of Seller contained in this Agreement or any document
to be delivered hereunder;

 

(b)
any breach or non-fulfillment of any covenant, agreement or obligation to be performed by Seller pursuant to this Agreement or
any document to be delivered hereunder; or

 

(c)
any Excluded Asset.

 

Section
6.03 Indemnification by Buyer. Buyer shall defend, indemnify and hold harmless Owner and Seller, its affiliates and their
respective stockholders, directors, officers and employees (“Seller Indemnitees”) from and against all Losses arising
from or relating to:

 

(a)
any inaccuracy in or breach of any of the representations or warranties of Buyer contained in this Agreement or any document to
be delivered hereunder;

 

(b)
any breach or non-fulfillment of any covenant, agreement or obligation to be performed by Buyer pursuant to this Agreement or
any document to be delivered hereunder; or

 

(c)
any Assumed Liability (Except as otherwise provided and subject to Section 6.03).

 

Section
6.04 Cumulative Remedies. The rights and remedies provided in this Article VI are cumulative and are in addition to
and not in substitution for any other rights and remedies available at law or in equity or otherwise.

 

    	 	9	 

    	 

    

 

Article
VII

Miscellaneous

 

Section
7.01 Expenses. All costs and expenses incurred in connection with this Agreement and the transactions contemplated hereby
shall be paid by the party incurring such costs and expenses.

 

Section
7.02 Notices. All notices, requests, consents, claims, demands, waivers and other communications hereunder shall be in writing
and shall be deemed to have been given (a) when delivered by hand (with written confirmation of receipt); (b) when received by
the addressee if sent by a nationally recognized overnight courier (receipt requested); (c) on the date sent by facsimile or e-mail
of a PDF document (with confirmation of transmission) if sent during normal business hours of the recipient, and on the next business
day if sent after normal business hours of the recipient; or (d) on the [third] day after the date mailed, by certified or registered
mail, return receipt requested, postage prepaid. Such communications must be sent to the respective parties at the following addresses
(or at such other address for a party as shall be specified in a notice given in accordance with this Section 7.02):

 

If
to Selling Parties:

 

HMNRTH,
LLC

801
West Bay Drive

Suite
476

Largo,
FL 33770

 

TCBM
Holdings LLC

801
West Bay Drive

Suite
476

Largo,
FL 33770

 

If
to Buyer:

Edison
Nation, LLC

1
West Broad Street

Suite
1004

Bethlehem,
PA 18018

 

Scalematix,
LLC

1 West Broad
Street

Suite 1004

Bethlehem, PA 18018

 

    	 	10	 

    	 

    

 

Section
7.03 Headings. The headings in this Agreement are for reference only and shall not affect the interpretation of this Agreement.

 

Section
7.04 Severability. If any term or provision of this Agreement is invalid, illegal or unenforceable in any jurisdiction, such
invalidity, illegality or unenforceability shall not affect any other term or provision of this Agreement or invalidate or render
unenforceable such term or provision in any other jurisdiction.

 

Section
7.05 Entire Agreement. This Agreement including all attachments and schedules and the documents to be delivered hereunder
constitute the sole and entire agreement of the parties to this Agreement with respect to the subject matter contained herein,
and supersede all prior and contemporaneous understandings and agreements, both written and oral, with respect to such subject
matter. In the event of any inconsistency between the statements in the body of this Agreement and the documents to be delivered
hereunder, the Exhibits and Disclosure Schedules (other than an exception expressly set forth as such in the Disclosure Schedules),
the statements in the body of this Agreement will control.

 

Section
7.06 Successors and Assigns. This Agreement shall be binding upon and shall inure to the benefit of the parties hereto and
their respective successors and permitted assigns. Neither party may assign its rights or obligations hereunder without the prior
written consent of the other party, which consent shall not be unreasonably withheld or delayed. No assignment shall relieve the
assigning party of any of its obligations hereunder.

 

Section
7.07 No Third-party Beneficiaries. Except as provided in Article VI, this Agreement is for the sole benefit of the
parties hereto and their respective successors and permitted assigns and nothing herein, express or implied, is intended to or
shall confer upon any other person or entity any legal or equitable right, benefit or remedy of any nature whatsoever under or
by reason of this Agreement.

 

Section
7.08 Amendment and Modification. This Agreement may only be amended, modified or supplemented by an agreement in writing signed
by each party hereto.

 

    	 	11	 

    	 

    

 

Section
7.09 Waiver. No waiver by any party of any of the provisions hereof shall be effective unless explicitly set forth in writing
and signed by the party so waiving. No waiver by any party shall operate or be construed as a waiver in respect of any failure,
breach or default not expressly identified by such written waiver, whether of a similar or different character, and whether occurring
before or after that waiver. No failure to exercise, or delay in exercising, any right, remedy, power or privilege arising from
this Agreement shall operate or be construed as a waiver thereof; nor shall any single or partial exercise of any right, remedy,
power or privilege hereunder preclude any other or further exercise thereof or the exercise of any other right, remedy, power
or privilege.

 

Section
7.10 Governing Law. This Agreement shall be governed by and construed in accordance with the internal laws of the Commonwealth
of Pennsylvania without giving effect to any choice or conflict of law provision or rule (whether of the Commonwealth of Pennsylvania
or any other jurisdiction).

 

Section
7.11 Submission to Jurisdiction. Any legal suit, action or proceeding arising out of or based upon this Agreement or the transactions
contemplated hereby may be instituted in the federal courts of the United States of America or the courts of the Commonwealth
of Pennsylvania, and each party irrevocably submits to the exclusive jurisdiction of such courts in any such suit, action or proceeding.

 

Section
7.12 Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an original, but all of which
together shall be deemed to be one and the same agreement. A signed copy of this Agreement delivered by facsimile, e-mail or other
means of electronic transmission shall be deemed to have the same legal effect as delivery of an original signed copy of this
Agreement.

 

[SIGNATURE
PAGE FOLLOWS]

 

    	 	12	 

    	 

    

 

IN
WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed as of the date first written above by their respective
officers thereunto duly authorized.

 

	 	HMNRTH,
    LLC/TCBM HOLDINGS, LLC
	 	 	 
	 	 
	 	By: 	Brian
    McFadden, Member/Authorized Signatory
	 	 	 
	 	 
	 	By:	Timothy
    Cabrera, Member, Authorized Signatory
	 	 	 
	 	Scalematix,
    LLC
	 	 
	 	By: Edison Nation its owner
	 	 	 
	 	 
	 	By:	Christopher
    Ferguson, CEO 
	 	 	 
	 	Edison
    Nation, LLC
	 	 	 
	 	 
	 	By:	Christopher
    Ferguson, CEO

 

    	 	13	 

    	 

    

 

Schedule
1.01

PURCHASED
ASSETS

 

The
following assets of Selling Parties:

 

	 	1.	Inventory
    identified below:

 

 

	 	2.	Product
    Line known as “HMNRTH” as set forth in Schedule 1.03(b).
	 	3.	Trademark
    – Pending Class 005 – Dietary and nutritional supplements
	 	4.	Website
    – www.HMNRTH.com
	 	5.	Product
    Formulas
	 	 	a.
    Health and Wellness tincture
	 	 	b.
    Muscle and Joint Balm
	 	 	c.
    Daytime Energize Tincture
	 	 	d.
    Nighttime Rest Tincture
	 	6.	Marketing
    Collateral
	 	 	a.
    Celebrity Endorsement Videos
	 	 	b.
    Product Handouts
	 	 	c.
    General Marketing Assets
	 	7.	Assigned
                                         Contracts – all supplier, fulfillment and sales agreements / contracts

 

    	 	14	 

    	 

    

 

Schedule
1.02

 

EXCLUDED
ASSETS

 

All
assets not set forth in in Schedule 1.01

 

    	 	15	 

    	 

    

 

Schedule
1.03 (b)

 

PRODUCT
LINE

 

CBD
Dietary Products and Supplements.

 

Additional
Health And Wellness Product Lines

 

Additional
Consumable Product Lines

 

Schedule
1.03 (d)

 

ASSIGNED
LIABILITIES

 

BUYER
DOES NOT ASSUME ANY OTHER CURRENT OR LONG-TERM

LIABILITIES OR OBLIGATIONS OF THE SELLERS OR OWNERS

INCLUDING, BUT NOT LIMITED
TO, ANY AND ALL FEDERAL, STATE OR

LOCAL PAYROLL TAXES, IRS LIENS, PENALTIES, AND INTEREST.

 

    	 	16

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