Document:

EXHIBIT 10.6

 

RIGHT OF FIRST REFUSAL AND

CORPORATE OPPORTUNITIES AGREEMENT

 

THIS RIGHT OF FIRST REFUSAL AND CORPORATE
OPPORTUNITIES AGREEMENT (this “Agreement”) is made as of October 23, 2013 by and among Global Defense &
National Security Systems, Inc., a Delaware corporation (the “Company”), and Global Integrated Security (USA)
Inc., a Delaware corporation (“GIS”), in connection with the Company’s proposed public offering of shares
of common stock, par value $0.0001 per share (the “Shares”), pursuant to a registration statement on Form S-1,
filed by the Company with the Securities and Exchange Commission (as amended, the “Registration Statement”).

 

RECITALS

 

WHEREAS, GIS is an affiliate of the Company’s
sponsor; and

 

WHEREAS, the Company will be attempting to
consummate a merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business combination
with one or more businesses or assets involving the Company (a “Business Transaction”); and

 

WHEREAS, GIS may also be seeking investment
opportunities which may be a part of, in connection with or deemed a Business Transaction; and

 

WHEREAS, the Company and GIS each believes
it is in their best interests to clarify any potential Business Transaction and investment opportunities for which each party shall
have the right of first refusal.

 

NOW, THEREFORE, in consideration of the mutual
covenants and agreements set forth herein, and for other good and valuable consideration, the receipt and sufficiency of which
are hereby acknowledged, the parties hereto agree as follows:

 

1.      Right
of First Refusal.

 

For the term specified in Section 2
of this Agreement and subject to subsections (b), (c) and (d) of this Section 1, GIS hereby grants to the Company a right
of first refusal as follows:

 

(a)         GIS
shall not enter into any agreement to purchase or invest in a business in the U.S. defense and national security sectors with an
acquisition cost of $40 million or greater without first presenting such suitable opportunity to the Company’s directors,
and will not enter into any such agreement until the Company’s directors determine, within the time frame and in the manner
specified below, not to pursue such Business Transaction opportunity.

 

(b)         Notwithstanding
anything to the contrary in this Agreement, the Company agrees that any such business entity in which GIS currently invests or
with respect to which GIS has initiated any contacts or entered into any discussions or negotiations, formal or informal, regarding
their respective acquisition of, or investment in, such business prior to the completion of the Company’s initial public
offering, as set forth in the Registration Statement, will not be a potential acquisition target for the Company, unless GIS declines
to pursue such respective business opportunity and notifies the Company of the same in writing.

 

(c)         After
review of any potential Business Transaction or investment opportunity, the Company may release the right of first refusal set
forth in this Section 1(a) with respect to such Business Transaction or suitable opportunity.  Decisions by the Company
to release GIS to pursue such suitable opportunity will be made by a majority of the Company’s directors.

 

(d)         GIS
shall provide written notice to the Company of any such suitable opportunity brought to its attention by its current directors
and officers within ten (10) business days of its identification of such suitable opportunity. Any right of first refusal granted
shall expire only pursuant to Section 1(c).

 

2.      Term.
This Agreement shall become effective on its execution and shall remain in effect for a period to expire upon the earlier of: (i) the
consummation by the Company of a Business Transaction or (ii) 21 months from the closing of the Company's initial public offering.

 

    	 

    	 

    

 

3.      Notices.
All notices or communications hereunder shall be addressed as follows:

 

To the Company:

 

Global Defense & National Security Systems, Inc.

11921 Freedom Drive, Suite 550

Two Fountain Square

Reston, Virginia 20190

Attn:  Dale R. Davis

 

with copies to (which shall not constitute notice):

 

Skadden, Arps, Slate, Meagher & Flom LLP

525 University Avenue, Suite 1400

Palo Alto, California 94301

Attn: Gregg A. Noel

 

If to GIS:

 

Global Integrated Security (USA), Inc.

1775 Wiehle Avenue, Suite 103

Reston, Virginia 20190

Attn: Mike Roberts

 

All notices, statements or other documents which are required
or contemplated by this Agreement shall be: (i) in writing and delivered personally or sent by first class mail or overnight courier
service to the address designated in writing, (ii) by facsimile to the number most recently provided to such party or such other
address or fax number as may be designated in writing by such party and (iii) by electronic mail, to the electronic mail address
most recently provided to such party or such other electronic mail address as may be designated in writing by such party.  Any
notice or other communication so transmitted shall be deemed to have been given on the day of delivery, if delivered personally,
on the business day following receipt of written confirmation, if sent by facsimile or electronic transmission, one (1) business
day after delivery to an overnight courier service or five (5) days after mailing if sent by mail.

 

4.      Severability.
If any term or provision of this Agreement or the performance thereof shall be invalid or unenforceable to any extent, such invalidity
or unenforceability shall not affect or render invalid or unenforceable any other provision of this Agreement and this Agreement
shall be valid and enforced to the fullest extent permitted by law.

 

5.      Entire
Agreement.  This Agreement, as the same may be amended from time to time in accordance with the terms hereof, contains
the entire agreement among the parties hereto relating to the subject matter hereof and supersedes in all respects any prior or
other agreement or understanding concerning the subject matter hereof between the Company and GIS.

 

6.      Waiver. 
The failure of any of the parties hereto to at any time enforce any of the provisions of this Agreement shall not be deemed or
construed to be a waiver of any such provision, nor to in any way effect the validity of this Agreement or any provision hereof
or the right of any of the parties hereto to thereafter enforce each and every provision of this Agreement.  No waiver of
any breach, non-compliance or non-fulfillment of any of the provisions of this Agreement shall be effective unless set forth in
a written instrument executed by the party or parties against whom or which enforcement of such waiver is sought; and no waiver
of any such breach, non-compliance or non-fulfillment shall be construed or deemed to be a waiver of any other or subsequent breach,
non-compliance or non-fulfillment.

 

7.      Amendment.
This Agreement may only be amended by written agreement of the parties hereto.

 

8.      Survival.
The respective rights and obligations of the parties hereunder shall survive any termination of this Agreement to the extent necessary
to the intended preservation of such rights and obligations. The provisions of this Section 8 are in addition to the
survivorship provisions of any other section of this Agreement.

 

    	 

    	 

    

 

9.      Counterparts.
This Agreement may be executed in any number of counterparts, each of which shall be deemed to be an original, but all such counterparts
shall together constitute one and the same instrument.  Delivery of a signed counterpart of this Agreement by facsimile
or electronic transmission shall constitute valid and sufficient delivery thereof.

 

10.    Headings.  The
headings herein are inserted for convenience of reference only and are not intended to be part of, or to affect the meaning or
interpretation of, this Agreement.

 

11.    Mutual Drafting.  This
Agreement is the joint product of the Company and GIS and each provision hereof has been subject to the consultation, negotiation
and agreement of such parties and shall not be construed for or against any party hereto.

 

12.    Governing Law; Jurisdiction;
Waiver of Jury Trial. This Agreement shall be governed by and construed and enforced in accordance with the laws of New York,
without giving effect to conflicts of law principles that would result in the application of the substantive laws of another jurisdiction.  The
parties hereby (i) agree that any action, proceeding or claim against it arising out of or relating in any way to this Agreement
shall be brought and enforced first in the U.S. District Court for the Southern District of New York, then to such other federal
or state courts located in the State of New York, and irrevocably submits to such jurisdiction in New York, which jurisdiction
shall be exclusive and (ii) waive any objection to such exclusive jurisdiction and that such courts represent an inconvenient forum.  THE
PARTIES HERETO, TO THE FULLEST EXTENT PERMITTED BY LAW, WAIVE ANY RIGHT THEY MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY CLAIM
BASED UPON, ARISING OUT OF, OR IN CONNECTION WITH, THIS AGREEMENT.

 

13.   Trust Waiver. Notwithstanding
anything herein to the contrary, GIS hereby waives any and all right, title, interest or claim of any kind, regardless of whether
such claim arises based on contract, tort, equity or any other theory of legal liability (“Claim”) in or to
any distribution from the trust account in which the proceeds of the Company’s initial public offering will be deposited
and held for the benefit of the public shareholders (the “Trust Account”) and hereby agrees not to seek recourse,
reimbursement, payment or satisfaction for any Claim against the Trust Account for any reason whatsoever.

 

[Signature Page Follows]

 

    	 

    	 

    

 

IN WITNESS WHEREOF, the parties hereto have
executed this Right of First Refusal and Corporate Opportunities Agreement as of the date first specified above.

 

	 	GLOBAL DEFENSE & NATIONAL SECURITY SYSTEMS, INC.
	 	 	 
	 	By:	/s/ Frederic Cassis
	 	 	Name: Frederic Cassis
	 	 	Title: Director and Secretary
	 	 	 
	 	GLOBAL INTEGRATED SECURITY (USA) INC.
	 	 	 
	 	By:	/s/ Mike Roberts
	 	 	Name: Mike Roberts
	 	 	Title: PresidentEXHIBIT 10.7

 

October 24, 2013

 

Global Defense & National Security Systems, Inc.

11921 Freedom Drive, Suite 550

Two Fountain Square

Reston, Virginia 20190

 

Re: INITIAL PUBLIC OFFERING

 

Ladies and Gentlemen:

 

This letter (this "Letter Agreement")
is being delivered to you in accordance with the Underwriting Agreement (the "Underwriting Agreement") entered
into among Global Defense & National Security Systems, Inc., a Delaware corporation (the “Company”), Cowen
& Company, LLC, Maxim Group LLC, and I-Bankers Securities, Inc. (together with Cowen & Company, LLC and Maxim Group LLC,
the “Underwriters”), dated October 23, 2013, relating to an underwritten initial public offering (the “IPO”)
of up to 6,900,000 shares of common stock, par value $0.0001 per share (the “Common Stock”) of the Company.
The Common Stock shall be sold in the IPO pursuant to a registration statement on Form S-1 and prospectus (the "Prospectus")
filed by the Company with the Securities and Exchange Commission and the Company shall apply to have the Common Stock listed on
the Nasdaq Capital Market. Certain capitalized terms used herein are defined in Section 13 hereof.

 

In order to induce the Company and the Underwriters
to enter into the Underwriting Agreement and to proceed with the IPO and for other good and valuable consideration, the receipt
and sufficiency of which are hereby acknowledged, the undersigned hereby agrees with the Company as follows:

 

1. If the Company solicits approval of its stockholders of a
proposed Business Combination, the undersigned will vote all Insider Shares and any shares acquired by the undersigned in the IPO
or the secondary public market in favor of any such proposed Business Combination. The undersigned will not convert any of the
shares of Common Stock owned by the undersigned into their pro rata share of the aggregate amount then on deposit in the Trust
Account in connection with a stockholder vote to approve a Business Combination or in connection with any vote to amend the Amended
and Restated Certificate of Incorporation of the Company or sell any of the shares of Common Stock owned by the undersigned pursuant
to a tender offer as described in the Registration Statement.

 

2. In the event that the Company fails to consummate a Business
Combination within twenty one (21) months from the effective date (the “Effective Date”) of the Registration
Statement, the undersigned will take all reasonable actions within the undersigned’s power to (i) cease all operations except
for the purpose of winding up, (ii) as promptly as reasonably possible but not more than ten (10) business days thereafter, redeem
100% of the outstanding IPO Shares at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the
Trust Account, less franchise and income taxes to the extent they may be paid from interest earned on the Trust Account, 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 liquidation distributions, if any), subject to applicable law, and (iii)
as promptly as reasonably possible following such redemption, subject to the approval of the Company’s remaining stockholders
and Board of Directors, dissolve and liquidate, subject (in the case of (ii) and (iii) above) to the Company’s obligations
under Delaware law to provide for claims of creditors and the requirements of other applicable law. The undersigned agrees that
in connection with any cessation of the corporate existence of the Company, it will take all reasonable steps to cause the Company
to adopt a plan of distribution in accordance with Section 281(b) of the General Corporation Law of the State of Delaware or any
successor provision thereto. The undersigned hereby waives any and all right, title, interest or claim of any kind (each a “Claim”)
in or to (x) any distribution of the Trust Account with respect to the undersigned’s Insider Shares in connection with a
liquidation and (y) any remaining net assets of the Company after such liquidation. The undersigned hereby waives any Claim against
the Trust Account the undersigned may have in the future as a result of, or arising out of, any contracts or agreements with the
Company and will not seek recourse against the funds held in or distributed from the Trust Account for any reason, other than expressly
permitted in the Registration Statement, including the redemption or liquidation of any IPO Shares purchased after the date of
the IPO.

 

    	 

    	 

    

 

3. Except as disclosed in the Registration Statement, neither
the undersigned nor any Affiliate of the undersigned will be entitled to receive and will not accept any compensation for services
rendered to the Company prior to or in connection with the consummation of the Business Combination; provided, that the undersigned
shall be entitled to reimbursement from the Company upon approval by the Company’s Audit Committee for the undersigned’s
reasonable out-of-pocket expenses incurred in connection with seeking and consummating a Business Combination.

 

4. Neither the undersigned nor any Affiliate of the undersigned
will be entitled to receive or accept from the Company a finder’s fee, broker commission or any other compensation in the
event the undersigned or any Affiliate of the undersigned originates a Business Combination.

 

5. The undersigned shall place the undersigned’s Insider
Shares in escrow, in accordance with the terms of a Securities Escrow Agreement which the Company will enter into with the undersigned
and American Stock Transfer & Trust Company, as escrow agent, in form and substance acceptable to the Company.

 

6. Of the total Insider Shares, 50% of such shares will be released
from escrow six months after the closing of a Business Combination. The remaining 50% of the Insider Shares will be released from
escrow one year after the closing of a Business Combination. Up to 261,290 of the Insider Shares will be released from escrow and
mandatorily redeemed if the over-allotment option is not exercised in full by the Underwriters. Prior to the conclusion of such
escrow periods, the Insider Shares will not be transferred, assigned sold or released from escrow, subject to certain limited exceptions,
including transfers (1) to the Company’s officers, directors and employees, to the undersigned’s affiliates or its
members upon its liquidation, (2) to relatives and trusts for estate planning purposes, (3) by virtue of the laws of descent and
distribution upon death, (4) pursuant to a qualified domestic relations order, (5) by certain pledges to secure obligations incurred
in connection with purchases of the Company’s securities or (6) by private sales made in connection with the consummation
of a Business Combination at prices no greater than the price at which the shares were originally purchased, in each case where
the transferee agrees to the terms of the escrow agreement and mandatory redemption, as the case may be.

  

7. The undersigned shall not transfer, assign or sell any of
the Private Placement Shares (except to certain permitted transferees) until thirty (30) days after the completion of a Business
Combination.

 

8. With respect to the undersigned, the information in the Registration
Statement is true and accurate in all respects and does not omit any material information with respect to the undersigned. The
undersigned represents and warrants that:

 

8.1 the undersigned is not subject to, or
a respondent in, any legal action for any injunction, cease-and-desist order or order or stipulation to desist or refrain from
any act or practice relating to the offering of securities in any jurisdiction;

 

8.2 the undersigned has never been convicted
of or pleaded guilty to any crime (i) involving any fraud; (ii) relating to any financial transaction or handling of funds of another
person; (iii) pertaining to any dealings in any securities; or (iv) moral turpitude, and the undersigned is not currently a defendant
in any such criminal proceeding;

 

8.3 the undersigned has never been suspended
or expelled from membership in any securities or commodities exchange or association or had a securities or commodities license
or registration denied, suspended or revoked;

 

8.4 a petition under any federal bankruptcy
laws or any state insolvency law was not filed by or against, nor was a receiver, fiscal agent or similar officer appointed by
a court for the business or property of the undersigned, or for any partnership in which the undersigned was a general partner
within the past ten years;

 

8.5 the undersigned has not been subject
to any order prohibiting and is not subject to any legal proceeding seeking to prohibit the undersigned from engaging in any type
of business practice;

 

    	 

    	 

    

 

8.6 the undersigned has not been found by
a court of competent jurisdiction in a civil action by the Securities and Exchange Commission or by any other federal or state
administrative or regulatory authority to have violated any federal or state securities law;

 

8.7 the undersigned has not been found by
a court of competent jurisdiction in a civil action by the Commodity Futures Trading Commission or by any other federal or state
administrative or regulatory authority to have violated any federal or state commodities law; and

 

8.8 The Company will not consummate any Business Combination
that involves a target acquisition which is affiliated with Global Defense & National Security Holdings LLC, a Delaware limited
liability company (the "Sponsor"), or any of the officers or directors of the Company, including (i) an entity that is
affiliated with any of the foregoing, (ii) an entity in which any of the foregoing or their affiliates are currently officers or
directors, or (iii) an entity in which any of the foregoing or their affiliates are currently invested through an investment vehicle
controlled by them (except an entity in which any of the foregoing or their affiliates are currently passive investors and had
in the aggregate greater than 1% of the outstanding stock), unless the Company has obtained an opinion from an independent investment
banking firm which is a member of the Financial Industry Regulatory Authority and the approval of a majority of the Company’s
disinterested and independent directors (if it has any at that time) that the Business Combination is fair to its unaffiliated
stockholders from a financial point of view.

 

9. In the event of the distribution of the Trust Account upon
the Company’s failure to complete a Business Combination within twenty-one (21) months from the Effective Date, the undersigned
agrees (for purposes of this paragraph 9, the undersigned shall be referred to as the “Indemnitor”) to indemnify and
hold harmless the Company against any and all loss, liability, claim, damage and expense whatsoever (including, but not limited
to, any and all legal or other expenses reasonably incurred in investigating, preparing or defending against any litigation, whether
pending or threatened, or any claim whatsoever) to which the Company may become subject as a result of any claim by (i) any third
party for services rendered or contracted for or products sold to the Company or (ii) a prospective target business with which
the Company has entered into an acquisition agreement (a “Target”); provided, however, that such indemnification of
the Company by the Indemnitor shall apply only to the extent necessary to ensure that such claims by a Target or by a third party
for services rendered or products sold to the Company do not reduce the amount of funds in the Trust Account to below $10.55 per
IPO Share and provided, further, that such indemnification of the Company by the Indemnitor shall apply only if such third party
or Target has not executed an agreement waiving claims against and all rights to seek access to the Trust Account. Notwithstanding
any of the foregoing, such indemnification of the Company by the Indemnitor shall not apply as to any claims against the Company
by the underwriters of the IPO. The Indemnitor shall have the right to defend against any such claim with counsel of its choice
reasonably satisfactory to the Company if, within 15 days following written receipt of notice of the claim to the Indemnitor, the
Indemnitor notifies the Company in writing that the Indemnitor shall undertake such defense. The Indemnitor agrees not to seek
repayment of such expenses from the Company or the holders of the IPO Shares. Notwithstanding the foregoing, this paragraph 9 shall
cease to be applicable upon consummation of a Business Combination. 

 

10. This Letter Agreement shall be binding on the Company and
the undersigned and the undersigned’s respective successors, heirs, personal representatives and assigns. This letter agreement
shall terminate on the earlier of (i) the date upon which the Business Combination is consummated and (ii) the date upon which
the liquidation and distribution of the Trust Account is completed, provided that the following Sections shall survive such termination:
3, 4, 5, 11, 12, and 13.

 

11. This Letter Agreement shall be governed by, and construed
in accordance with, the laws of the State of New York applicable to contracts executed in and to be performed in that State, including,
without limitation, Sections 5-1401 and 5-1402 of the New York General Obligations Law and the New York Civil Practice Laws and
Rules 327(b). Each of the Company and the undersigned hereby (i) agrees that any action, proceeding or claim against him or it
arising out of or relating in any way to this letter agreement shall be brought and enforced in the courts of the State of New
York or the United States District Court for the Southern District of New York, and irrevocably submits to such jurisdiction, which
jurisdiction shall be exclusive and (ii) waives any objection to such exclusive jurisdiction and that such courts represent an
inconvenient forum.

 

    	 

    	 

    

 

12. Each party hereto hereby irrevocably and unconditionally
waives the right to a trial by jury in any action, suit, counterclaim or other proceeding (whether based on contract, tort or otherwise)
arising out of, connected with or relating to this Letter Agreement.

 

13. As used herein:

 

13.1 “Affiliate” shall
have the meaning ascribed to it in Rule 12b-2 of the General Rules and Regulations under the Securities Exchange Act of 1934, as
amended.

 

13.2. “Business Combination”
shall have the meaning set forth in the Registration Statement.

 

13.3 “Insiders” shall
mean each of the following:

 

	 	Damian Perl
	 	Dale R. Davis
	 	Craig Dawson
	 	Frederic Cassis
	 	Gavin Long
	 	Dean G. Popps
	 	Hon. David C. Gompert
	 	Dr. John Gannon
	 	Global Defense & National Security Holdings LLC

 

13.4 “Insider Shares”
shall mean all of the shares of Common Stock of the Company issued prior to the IPO and prior to the Private Placement Shares.

 

13.5 “IPO Shares” shall
mean the shares of Common Stock issued in the Company’s IPO.

 

13.6 “Registration Statement”
shall mean the registration statement filed by the Company on Form S-1 (No. 333-191195) with the Securities and Exchange Commission
on September 16, 2013, and any amendment or supplement thereto, in connection with the IPO.

 

13.7 “Private Placement Shares”
shall mean the shares of Common Stock to be purchased by the Sponsor simultaneously with and subject to the consummation of the
Company’s IPO, as set forth in that certain Private Placement Agreement, dated as of or prior to the consummation of the
Company’s IPO, by and between the Company and the Sponsor.

 

13.8 “Trust Account”
shall mean the trust account established pursuant to the Investment Management Trust Agreement to be entered into by and between
the Company and American Stock Transfer & Trust Company, as Trustee (the “Trust Agreement”), the amounts
therein to be released only in the event of the consummation of a Business Combination, a liquidation of the Company or as otherwise
permitted by the Trust Agreement.

 

14. No term or provision of this letter agreement may be amended,
changed, waived, altered or modified except by written instrument executed and delivered by the undersigned and the Company.

 

15. The undersigned’s biographical information, in the
case of an individual, furnished to the Company is true and accurate in all respects and does not omit any material information
with respect to the undersigned’s background. In the case of an individual, the undersigned’s questionnaire furnished
to the Company is true and accurate in all respects. The undersigned represents and warrants that: the undersigned is not subject
to or a respondent in any legal action for, any injunction, cease-and-desist order or order or stipulation to desist or refrain
from any act or practice relating to the offering of securities in any jurisdiction; the undersigned has never been convicted of,
or pleaded guilty to, any crime (i) involving fraud, (ii) relating to any financial transaction or handling of funds of another
person, or (iii) pertaining to any dealings in any securities and the undersigned is not currently a defendant in any such criminal
proceeding; and the undersigned has never been suspended or expelled from membership in any securities or commodities exchange
or association or had a securities or commodities license or registration denied, suspended or revoked.

 

    	 

    	 

    

 

16. The undersigned, in the case of an individual, has full
right and power, without violating any agreement to which he or she is bound (including, without limitation, any non-competition
or non-solicitation agreement with any employer or former employer), to enter into this Letter Agreement and to serve as an officer
of the Company or as a director on the board of directors of the Company, as applicable, and hereby consents to being named in
the Registration Statement as an officer and/or director of the Company, as applicable.

 

[Signature Page Follows]

 

    	 

    	 

    

 

	 	Sincerely,	 
	 	Global Defense and National Security Holdings LLC	 
	 	 	 
	 	  /s/ Dale R. Davis	 
	 	 Name: Dale R. Davis	 
	 	Title: Manager	 

 

	Accepted and agreed:
	 
	GLOBAL DEFENSE & NATIONAL SECURITY
	SYSTEMS, INC.

 

	By:	 /s/ Frederic Cassis	 
	Name:  	Frederic Cassis	 
	Title:   	Director and Secretary	 

 

[Signature Page to Insider Letter]

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