Document:

Exhibit 10.2

 

Amendment

to

Securities
Purchase Agreement

 

This Amendment
To Securities Purchase Agreement (this “Amendment”) is entered into as of December 16, 2020, by and
between Medicine Man Technologies, Inc., a Nevada corporation (the “Company”), and Dye Capital Cann Holdings
II, LLC, a Delaware limited liability company (the “Buyer”). Capitalized terms used but not defined herein shall
have the meanings given them in the Purchase Agreement (as defined below).

 

RECITALS

 

WHEREAS, the
Company and the Buyer previously entered into that certain Securities Purchase Agreement, dated as of November 16, 2020 (the “Purchase
Agreement”); and

 

WHEREAS, the
Company and the Buyer wish to amend the Purchase Agreement pursuant to this Amendment.

 

AGREEMENT

 

NOW, THEREFORE,
in consideration of the mutual agreements, covenants and considerations contained herein, the receipt and sufficiency of which
are hereby acknowledged, the parties hereto agree as follows:

 

1.       Amendment
to the Purchase Agreement. The Purchase Agreement is hereby amended to replace all references to “Buyers” therein
to “Buyer” mutatis mutandis.

 

2.       Amendment
to Recital B of the Purchase Agreement. Recital B of the Purchase Agreement is hereby amended and restated in its entirety
as follows:

 

“B.      The Buyer wishes
to purchase, and the Company wishes to sell, upon the terms and conditions stated in this Agreement, an aggregate of up to 13,000
shares (such shares issued at each Closing (as defined below) hereunder are referred to herein as the “Shares”) of
the Company’s Series A preferred stock, par value $0.001 per share (the “Preferred Stock”), having the rights,
preferences and privileges set forth in the Certificate of Designation, the form of which is attached hereto as Exhibit A (the
“Certificate of Designation”), including the conversion of such Preferred Stock into shares of the Company’s
common stock, par value $0.001 per share (“Common Stock”). Such purchase and sale of Preferred Stock shall take place
in one or more closings (each applicable closing, the “Closing”), subject to the terms and conditions of this Agreement,
provided that no Closing shall take place after January 8, 2021 without the mutual written agreement of the Buyer and the Company.”

 

3.       Amendment
to Section 1(a) of the Purchase Agreement. Section 1(a) of the Purchase Agreement is hereby amended and restated in its
entirety as follows:

 

“(a)      Purchase
of Shares. Subject to the satisfaction (or waiver) of the conditions set forth in Sections 5 and 6 below
at each Closing, the Company shall issue and sell to the Buyer and the Buyer agrees to purchase from the Company at the Closing
the number of Shares determined upon mutual written agreement of the Buyer and the Company (up to an aggregate of 13,000 Shares).”

 

 

 

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4.       Amendment
to Section 2(d) of the Purchase Agreement. Section 2(d) of the Purchase Agreement is hereby amended and restated in its
entirety as follows:

 

“(d)      Information.
The Buyer and its advisors, if any, have been furnished with a copy of the Company’s Confidential Private Placement Memorandum,
dated November 6, 2020 (the “Confidential PPM”). The Buyer understands that, among other matters, the terms of the
offering of the Securities, the Company’s business, finances and operations, and the terms of the Proposed Transaction have
had material changes and developments since the date of the Confidential PPM and that the Buyer, including as a result of Justin
Dye’s status as the chief executive officer of the Company and the managing member of the Buyer, the Buyer is aware of certain
changes and developments and has had access to certain materials relating to the business, finances and operations of the Company
and materials relating to the offer and sale of the Securities and the Proposed Transaction, including changes or developments
since the date of the Confidential PPM related thereto, that have been requested by the Buyer and to the satisfaction of the Buyer.
The Buyer and its advisors, if any, have been afforded the opportunity to ask questions of the Company and receive answers from
the Company concerning the terms and conditions of the offering of the Securities, the merits and risks of investing in the Securities
and the business, finances and operations of the Company to the satisfaction of the Buyer. Neither such inquiries nor any other
due diligence investigations conducted by the Buyer or its advisors, if any, or its representatives shall modify, amend or affect
the Buyer’s right to rely on the Company’s representations and warranties contained herein. The Buyer understands that
its investment in the Securities involves a high degree of risk, including the risks outlined in the Confidential PPM. The Buyer
has sought such accounting, legal and tax advice as it has considered necessary to make an informed investment decision with respect
to its acquisition of the Securities.”

 

5.       Amendment
to Section 2(g) of the Purchase Agreement. Section 2(g) of the Purchase Agreement is hereby amended by deleting the following
sentences:

 

“The Company shall issue
irrevocable instructions to its transfer agent, and any subsequent transfer agent, in a form mutually acceptable to the Company
and each Buyer (the “Irrevocable Transfer Agent Instructions”). The Company represents and warrants that no (x) instruction
other than the Irrevocable Transfer Agent Instructions referred to in this Section 2(g) and (y) instructions that are contradictory
therewith, in each case, will be given by the Company to its transfer agent in connection with this Agreement, and that the Securities
shall otherwise be freely transferable on the books and records of the Company as and to the extent provided in this Agreement
and the other Transaction Documents and applicable law.”

 

6.       Amendment
to Section 3(b) of the Purchase Agreement. Section 3(b) of the Purchase Agreement is hereby amended by deleting the phrase
“Proposed Transaction” and replacing it with the phrase “transactions contemplated by this Agreement”.

 

 

 

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7.       Amendment
to Section 3(p) of the Purchase Agreement. Section 3(p) of the Purchase Agreement is hereby amended and restated in its
entirety as follows:

 

“(p)       Equity Capitalization. As
of December 15, 2020, the authorized capital stock of the Company consists of (i) 250,000,000 shares of Common Stock, of which
as of the date hereof, 41,933,086 are issued and outstanding, 18,500,00 shares are reserved for issuance pursuant to the Company’s
stock option and purchase plans and 13,487,500 shares are reserved for issuance pursuant to securities (other than the aforementioned
options) exercisable or exchangeable for, or convertible into, Common Stock and (ii) 10,000,000 shares of preferred stock, par
value $0.001 per share, none of which are designated and issued and outstanding. 257,732 shares of Common Stock are held in treasury.
All of such outstanding shares are duly authorized, validly issued and are fully paid and nonassessable. 9,458,440 shares of the
Company’s issued and outstanding Common Stock on the date hereof are as of the date hereof owned by Persons who are “affiliates”
(as defined in Rule 405 of the 1933 Act) of the Company or any of its Subsidiaries. (i) Except as disclosed in Schedule
3(p), none of the Company’s or any Subsidiary’s capital stock is subject to preemptive rights or any other similar
rights or any liens or encumbrances suffered or permitted by the Company or any Subsidiary; (ii) except as disclosed in Schedule
3(p), there are no outstanding options, warrants, scrip, rights to subscribe to, calls or commitments of any character
whatsoever relating to, or securities or rights convertible into, or exercisable or exchangeable for, any capital stock of the
Company or any of its Subsidiaries, or contracts, commitments, understandings or arrangements by which the Company or any of its
Subsidiaries, is or may become bound to issue additional capital stock of the Company or any of its Subsidiaries, or options, warrants,
scrip, rights to subscribe to, calls or commitments of any character whatsoever relating to, or securities or rights convertible
into, or exercisable or exchangeable for, any capital stock of the Company or any of its Subsidiaries; (iii) except as disclosed
in Schedule 3(p), there are no outstanding debt securities, notes, credit agreements, credit facilities or other
agreements, documents or instruments evidencing Indebtedness of the Company or any of its Subsidiaries, or by which the Company
or any of its Subsidiaries, is or may become bound; (iv) except as disclosed in Schedule 3(p), there are no financing
statements securing obligations in any amounts filed in connection with the Company or any of its Subsidiaries; (v) except as disclosed
in Schedule 3(p), there are no agreements or arrangements (other than as set forth herein) under which the Company
or any of its Subsidiaries, is obligated to register the sale of any of their securities under the 1933 Act; (vi) except as
disclosed in Schedule 3(p), there are no outstanding securities or instruments of the Company or any of its Subsidiaries,
which contain any redemption or similar provisions, and there are no contracts, commitments, understandings or arrangements
by which the Company or any of its Subsidiaries is or may become bound to redeem a security of the Company or any of its Subsidiaries;
(vii) except as disclosed in Schedule 3(p), there are no securities or instruments containing anti-dilution or
similar provisions that will be triggered by the issuance of the Shares; (viii) except as disclosed in Schedule 3(p),
neither the Company nor any Subsidiary, if any, has any stock appreciation rights or “phantom stock” plans or agreements
or any similar plan or agreement; and (ix) neither the Company nor any of its Subsidiaries have any material non-public information,
including any material liabilities or obligations, that are required to be disclosed in the SEC Documents which are not so disclosed
in the SEC Documents. True, correct and complete copies of the Company’s articles of incorporation, as amended and as in
effect on the date hereof (the “Articles of Incorporation”), and the Company’s bylaws, as amended and
as in effect on the date hereof (the “Bylaws”), and the terms of all securities convertible into, or exercisable
or exchangeable for, Common Stock and the material rights of the holders thereof in respect thereto have heretofore been filed
as part of the SEC Documents. Except as set forth in Schedule 3(p), each stock option granted by the Company was granted
(x) in accordance with the terms of the applicable stock option plan of the Company and (y) with an exercise price at least equal
to the fair market value of the Common Stock on the date such stock option would be considered granted under GAAP and applicable
law. To the Company’s Knowledge, no stock option granted under the Company’s stock option plan has been backdated.
To the Company’s Knowledge, the Company has not granted, and there is no and has been no policy or practice of the Company
to grant, stock options prior to, or otherwise coordinate the grant of stock options with, the release or other public announcement
of material information regarding the Company or its Subsidiaries or their financial results or prospects.”

 

 

 

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8.       Amendment
to Section 3(r) of the Purchase Agreement. Section 3(r) of the Purchase Agreement is hereby amended by replacing the second
sentence therein with the following:

 

““Proposed
Transaction” means the acquisition by the Company or one or more wholly-owned Subsidiaries of the Company of substantially
all the assets of the Star Buds Group stores identified as (i) Pecos (Lucky Ticket), (ii) Longmont (LM MJC), (iii) Commerce City
(Comm. City), (iv) Pueblo-Thatcher (Pueblo), (v) Niwot (Niwot), and (vi) Pueblo-West (Alameda).”

 

9.       Amendment
to Section 4(d) of the Purchase Agreement. Section 4(d) of the Purchase Agreement is hereby amended by deleting the phrase
“in the manner described in Exhibit D” and replacing it with the phrase “to consummate the Proposed Transaction,
pay costs and expenses incurred in connection therewith and thereafter for the acquisition of additional assets of the Star Buds
Group and to pay costs and expenses incurred in connection therewith.”

 

10.       Amendment
to Section 5(a) of the Purchase Agreement. Section 5(a) of the Purchase Agreement is hereby amended by deleting clause
(v).

 

11.       Amendment
to Section 6(a) of the Purchase Agreement. Section 6(a) of the Purchase Agreement is hereby amended by:

 

(a) deleting
the words “the Chief Executive Officer” in clause (iv) and replacing them with the words “an officer”;
and

 

(b) deleting
clause (ix).

 

12.       Amendment
to Section 7 of the Purchase Agreement. Section 7 of the Purchase Agreement is hereby amended by deleting the phrase “In
the event that the Closing shall not have occurred on or before November 30, 2020” and replacing it with the phrase “In
the event that no Closing has occurred on or before December 31, 2020.”

 

13.       Representations
and Warranties of the Company. The Company has the requisite corporate power and authority to enter into and perform its
obligations under this Amendment, including the Purchase Agreement as amended by this Amendment. The execution and delivery of
this Amendment and the consummation by the Company of the transactions contemplated hereby (including the Purchase Agreement as
amended by this Amendment), including, without limitation, the issuance of the Shares have been duly authorized by the Company’s
Board of Directors and no further filing, consent or authorization is required by the Company, its Board of Directors or its
stockholders. This Amendment has been duly executed and delivered by the Company, and constitutes the legal, valid and binding
obligations of the Company, enforceable against the Company in accordance with its terms, except as such enforceability may be
limited by general principles of equity or applicable bankruptcy, insolvency, reorganization, moratorium, liquidation or similar
laws relating to, or affecting generally, the enforcement of applicable creditors’ rights and remedies

 

14.       Miscellaneous.

 

(a)       This
Amendment shall be automatically effective upon the execution and delivery hereof by the Company and the Buyer.

 

(b)       All
questions concerning the construction, validity, enforcement and interpretation of this Amendment shall be governed by the internal
laws of the State of Nevada, without giving effect to any choice of law or conflict of law provision or rule (whether of the State
of Nevada or any other jurisdictions) that would cause the application of the laws of any jurisdictions other than the State of
Nevada. Each party hereby irrevocably submits to the exclusive jurisdiction of the state and federal courts sitting in The City
of New York, Borough of Manhattan, for the adjudication of any dispute hereunder or in connection herewith or with any transaction
contemplated hereby or discussed herein, and hereby irrevocably waives, and agrees not to assert in any suit, action or proceeding,
any claim that it is not personally subject to the jurisdiction of any such court, that such suit, action or proceeding is brought
in an inconvenient forum or that the venue of such suit, action or proceeding is improper. Each party hereby irrevocably waives
personal service of process and consents to process being served in any such suit, action or proceeding by mailing a copy thereof
to such party at the address for such notices to it under this Agreement and agrees that such service shall constitute good and
sufficient service of process and notice thereof. Nothing contained herein shall be deemed to limit in any way any right to serve
process in any manner permitted by law. EACH PARTY HEREBY IRREVOCABLY WAIVES ANY RIGHT IT MAY HAVE, AND AGREES NOT TO REQUEST,
A JURY TRIAL FOR THE ADJUDICATION OF ANY DISPUTE HEREUNDER OR IN CONNECTION WITH OR ARISING OUT OF THIS AMENDMENT OR ANY TRANSACTION
CONTEMPLATED HEREBY.

 

 

 

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(d)       This
Amendment may be executed in counterparts, each of which shall be deemed an original, but both of which together shall constitute
one and the same instrument. Either or both parties may execute this Amendment by facsimile signature or scanned signature in PDF
format, and any such facsimile signature or scanned signature, if identified, legible and complete, shall be deemed an original
signature and each of the parties is hereby authorized to rely thereon.

 

(e)       In
the event one or more of the provisions of this Amendment should, for any reason, be held to be invalid, illegal or unenforceable
in any respect, such invalidity, illegality or unenforceability shall not affect any other provisions of this Amendment, and this
Amendment shall be construed as if such invalid, illegal or unenforceable provision had never been contained herein. In the event
of any inconsistencies between this Amendment and the Purchase Agreement, the terms of this Amendment shall govern. Except as set
forth above, the Purchase Agreement shall remain in full force and effect in accordance with its terms. References in the Purchase
Agreement to “this Agreement” shall mean the Purchase Agreement as amended by this Amendment, except where the context
otherwise requires.

 

(f)       The
provisions hereof shall inure to the benefit of, and be binding upon, the parties hereto and their respective successors, assigns,
heirs, executors and administrators and other legal representatives.

 

[Signature Pages Follow]

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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In
Witness Whereof, the parties hereto have executed this Amendment as of the date set forth in the first paragraph above.

 

 

 

	 	

COMPANY:

	 	 
	 	Medicine
Man Technologies, Inc.
	 	 
	 	 
	 	By: /s/ Nancy Huber                                    
	 	Name: Nancy Huber
	 	Title: Chief Financial Officer

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

[Amendment to Securities Purchase Agreement]

 

 

 

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In
Witness Whereof, the parties hereto have executed this Amendment as of the date set forth in the first paragraph above.

 

 

 

	 	BUYER:
	 	 
	 	Dye
Capital Cann Holdings II, LLC
	 	 
	 	By: Dye Capital & Company,
LLC,
	 	its Managing Member
	 	 
	 	 
	 	By: Justin Dye                                    
	 	Name: Justin Dye
	 	Title: Authorized Person

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

[Amendment to Securities Purchase Agreement]

 

 

 

    	 	7Exhibit 10.3

 

MEDICINE MAN TECHNOLOGIES, INC.

 

December 16, 2020

 

 

Dye Capital Cann Holdings II, LLC

 

 

Ladies and Gentlemen:

 

 

This letter agreement
(this “Agreement”) will confirm our agreement that as a condition to your entering into the Purchase Agreement
(defined below) and pursuant to and effective upon the closing of your purchase (the “Purchase”) of up to 13,000
shares of Series A Preferred Stock of Medicine Man Technologies, Inc. (the “Company”), Dye Capital Cann Holdings
II, LLC (the “Investor”) shall be entitled to the contractual rights set forth below, in addition to the rights
specifically set forth in the Securities Purchase Agreement dated November 16, 2020 by and among the Company and the investors
that are party thereto, as amended by the Amendment to the Securities Purchase Agreement dated the date hereof (the “Purchase
Agreement”) and the Certificate of Designation of the Company that is attached as Exhibit A to the Purchase Agreement
(the “Certificate of Designation”). Capitalized terms that are used but not defined herein shall have the meaning
given to them in the Purchase Agreement or, if applicable, the Certificate of Designation.

 

		1.	Board Nomination Rights.

 

(a)           
The Company shall take all actions to ensure that from and after the Closing Date and for so long as the Investor meets the Ownership
Threshold (as defined below), one individual designated by the Investor shall be appointed to the board of directors of the Company
(the “Board”) if the Board consists of five or fewer members and two individuals designated by the Investor
shall be appointed to the Board if the Board consists of more than five members (each an “Investor Designee”).
For purposes hereof, “Ownership Threshold” means that the Investor owns, in the aggregate, at least $10,000,000
of Preferred Stock, on an as-converted to Common Stock basis, as of any date of determination, based on the 30-Day Trailing VWAP
(as defined below); provided, however, that the Ownership Threshold shall automatically be deemed to be satisfied at any time the
Buyer holds at least 10,000 (as such amount may be adjusted for stock splits, subdivisions, combinations and the like) shares of
Common Stock. For purposes hereof, “30-Day Trailing VWAP” means, as of any date of determination, the volume-weighted
average price per share of Common Stock on the exchange on which the Common Stock is then traded during the regular trading session
(and excluding pre-market and after-hours trading) over the thirty (30) consecutive trading days prior to and including such determination
date. The Investor’s initial Investor Designee shall be Pratap Muharji (the “Initial Designee”). On or
prior to the Closing Date, the Company shall take all actions necessary to cause the appointment to the Board of the Initial Designee
effective as of the Closing Date, and thereafter, for so long as the Investor’s Board nomination right under this Section
1 continues, the Company will use its best efforts to ensure that each Investor Designee is elected to the Board (including recommending
that the Company’s stockholders vote in favor of the election of such designees, soliciting proxies and contesting any proxy
contest and otherwise supporting such designees for election in a manner no less rigorous and favorable than the manner in which
the Company supports its other nominees); provided that if the Investor determines to designate a different individual (“Replacement
Designee”) as an Investor Designee, such obligation shall instead apply to such Replacement Designee. If an Investor
Designee ceases to be a director of the Company, the Company shall take all actions necessary to cause the appointment to the Board
of a Replacement Designee nominated by the Investor to fill the vacancy and thereafter the Company will use its best efforts to
cause the election of such an individual to the Board, subject to the same conditions and limitations as set forth in the foregoing
sentence. Each Investor Designee shall be entitled to the level of compensation, directors’ and officers’ indemnity
insurance coverage and indemnity and exculpation protection (including under any indemnification agreement) as the other members
of the Board in their capacities as directors. Each Investor Designee shall be entitled to the same level of directors’ and
officers’ indemnity insurance coverage and indemnity and exculpation protection (including under any indemnification agreement)
as the other members of the Board. As promptly as practicable, and for so long as an Investor Designee serves on the Company’s
board of directors, the Company shall maintain in place directors’ and officers’ indemnity insurance coverage in an
amount and on terms deemed reasonably acceptable to the Investor Designees, but no less than $2 million of coverage per director.

 

 

 

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(b)           
For so long as the Investor is entitled to designate Investor Designees for election to the Board under this letter agreement,
each committee of the Board shall include at least one Investor Designee as a member or, if the Investor so elects, as an observer;
provided, however, that if such Investor Designee is not eligible for membership on any given committee of the Board under then
applicable listing and corporate governance standards of a trading exchange or any Applicable Law, then such committee shall include
such Investor Designee as an observer only; provided, further, that the Company shall exercise all authority under Applicable
Law to permit the inclusion of such Investor Designee on such committee, including, without limitation, by causing an increase
in the number of directors on such committee.

 

(c)           
Any Investor Designee shall take all action reasonably requested by the Company, at the Company’s cost and expense, to comply
with applicable state cannabis laws and regulations, including, without limitation, making all requisite filings under such laws
and regulations as and when requested by the Company and the Investor Designee shall, at the Company’s cost and expense,
reasonably cooperate with the Company with respect to any report, filing, notification or other communication with or to any state
governmental authority related to the Company’s licenses, approvals, consents or obligations under state cannabis laws and
regulations related to such Investor Designee’s capacity as director of the Company, including, without limitation, any investigation
or inquiry by a state governmental authority related to any of the foregoing. If an Investor Designee is determined to be unsuitable
or disqualified to serve on the Board by a state governmental authority, including, without limitation, the Colorado Marijuana
Enforcement Division, such Investor Designee shall immediately resign from the Board and the Investor shall be entitled to appoint
a Replacement Designee in accordance with the provisions of Section 1(a) above.

 

2.             
This Agreement and the rights, privileges and obligations herein are personal to the Investor and may not be assigned, transferred,
subcontracted or delegated (in whole or in part) by the Investor, including by operation of law, without the prior written consent
of the Company.

 

3.             
Unless earlier terminated pursuant to the terms hereof, this Agreement and the rights described herein, other than the last three
sentences of Section 1(a) above and Sections 2 through 4, shall terminate and be of no further force or effect upon the earlier
of: (a) a Listing Event; or (b) a Change of Control Transaction.

 

4.             
The parties acknowledge and agree that this Agreement is a Transaction Document as such term is defined under the Purchase Agreement.

 

[Signature Page Follows]

 

 

 

 

 

 

 

 

 

 

 

 

 

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Very truly yours,

 

MEDICINE MAN TECHNOLOGIES,
INC.

 

By: /s/ Nancy Huber                                    

 

Name: Nancy Huber

 

Title: Chief Financial Officer

 

 

 

 

 

 

	 	Accepted and agreed:
	 	 
	 	 
	 	DYE CAPITAL CANN HOLDINGS II, LLC
	 	 
	 	By: Dye Capital & Company,
        LLC,
	 	its Managing Member
	 	 
	 	 
	 	 
	 	By:   Justin Dye                                    
	 	Name: Justin Dye
	 	Title: Authorized Person

 

 

 

 

 

 

 

 

 

 

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