Document:

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                                                                   EXHIBIT 10.11

                  BIO-I.T. (BIO INFORMATION TECHNOLOGIES) LTD.

                              EMPLOYMENT AGREEMENT

                                      WITH

                                DR. SILVIA NOIMAN

AGREEMENT dated as of October 31, 2000, between Dr. Silvia Noiman (the
"EMPLOYEE"), whose address is [ADDRESS], and BIO-I.T. (BIO INFORMATION
TECHNOLOGIES) LTD. (the "COMPANY"), a corporation incorporated under the laws of
the State of Israel, having its address at 12A Kibush Ha'voda Street,
Hertzeliya, Israel.

                                   WITNESSETH

WHEREAS the Employee is a Co-Founder of the Company, and the Company desires to
employ the Employee as its Chief Operating Officer ("COO") with duties as set
forth in Section 2 below; and

WHEREAS the Employee represents she has the desired skills and knowledge to
serve in such positions.

NOW THEREFORE, in consideration of the premises and mutual agreements
hereinafter contained, the parties hereto agree as follows:

1. Employment

From the Effective Date (as defined in Section 3), the Company hereby employs
Employee and Employee accepts employment with Company upon the conditions set
forth herein.

2. Duties

      (a) The Company hereby engages Employee to serve as its COO to be
responsible for the following: (i) the Company's operational aspects; (ii)
assist and support the Company's research and development activities; (iii)
assist in the management of the Company's business and development; and (iv) to
perform other tasks, as shall be determined, from time to time by the Company's
board of directors (the "DUTIES"). During the term hereof, Employee shall report
to the Company's CEO.

      (b) In addition to the discharge of her Duties hereunder in the premises
of the Company, Employee shall make her services hereunder available by
telephone during normal business hours, and at such times or at such other
places as may mutually be agreed upon between the Company and the Employee.
Without derogating from the foregoing, at the request and pursuant to the
instructions of the Company, Employee shall discharge her Duties and/or perform
any specific task hereunder outside of Israel.

      (c) Employee shall provide the services hereunder on a full-time basis and
shall devote all necessary time and attention to the furtherance of the business
and interests of the

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Company, and shall perform her Duties diligently and promptly for the benefit of
Company, strictly and faithfully upholding the Company's policies. During her
engagement hereunder, Employee shall not, without prior written consent of the
board of directors, undertake or accept any other paid or unpaid employment,
occupation or services as a consultant or otherwise, or engage in or be
associated with, directly or indirectly, any other businesses, duties or
pursuits, including without limitation, any academic occupation except for
strictly de-minimis non-commercial or non-business activities, which do not
affect the adequate performance of the Employee's obligations hereunder.

3. Term

      (a) The Employee's employment under this Agreement shall commence
immediately after the Closing of the Company's 1st Round of Financing (as
defined in the Founders Agreement to which this Agreement constitutes a
schedule) (the "EFFECTIVE DATE") and shall end on the earliest of (i) the death
or disability (as defined herein) of the Employee, (ii) the termination of
Employee's services by Company for Cause (as defined herein); or (iii) four (4)
years from the Effective Date, unless earlier terminated without cause by either
party on sixty (60) days prior written notice to the other (the "INITIAL TERM").
This Agreement may be extended by the mutual written consent of the parties. Any
period of extension shall be referred to as an "EXTENDED TERM".

      (b) For the purpose of this Section 3, "DISABILITY" shall mean any
physical or mental illness or injury as a result of which the Employee remains
absent from work for a period of two (2) successive months, or an aggregate of
two (2) months in any twelve (12) month period. Disability shall occur upon the
end of such two (2) month period.

      (c) For the purpose of this Section 3, "CAUSE" shall exist if the Employee
(i) breaches any of the material terms or conditions hereof including without
limitation, any of the terms of Sections 7, 8, 9 and 10; (ii) fails to perform a
significant portion of her tasks as determined by the board of directors; or
(iii) engages in willful misconduct or acts in bad faith towards Company or any
of its subsidiaries and/or affiliates with and related to the employment
hereunder; or (iv) commits a felony or perpetrates fraud against the Company
and/or any of its subsidiaries and/or affiliates.

      (d) During the sixty (60) day period following the notice of termination
by any party to this Agreement, Employee shall cooperate with Company and use
her best efforts to assist the integration into Company of the person or persons
who will assume Employee's responsibilities.

4. Compensation

      (a) The Company shall pay Employee a salary payable monthly and in
accordance with Company's normal and reasonable payroll practices, in a yearly
gross amount of NIS 303,000 (the "YEARLY GROSS SALARY"). This Yearly Gross
Salary shall be payable over a period of twelve months, in equal monthly
payments of NIS 25,250 each (the "MONTHLY GROSS SALARY"). The Monthly Gross
Salary is exclusive of amounts payable by Company for the social benefits set
forth in Sections 4(c), 4(d) and 4(e) for the duration of this Agreement. The
Monthly Gross Salary shall be linked to the Israeli Consumer Price Index.

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      (a1) If and subject to the Company completing a second round of financing
in which the investors in such round invest at least USD$4,000,000 (the "2ND
FINANCING ROUND"), then following 2nd Financing Round the Employee's Yearly
Gross Salary shall be increased by ten percent (10%). This newly increased
Yearly Gross Salary shall be payable in accordance with the provisions of
sub-section (a) above and the other sub-sections of this Section 4.

      (a2) Following the 2nd Financing Round, at the end of each year of
employment hereunder, the Company shall conduct a review of Employee's Yearly
Gross Salary. Any changes in Employee's Yearly Gross Salary after such 2nd
Financing Round shall be in the sole discretion of the Company's Board of
Directors. When reviewing the Employee's Yearly Gross Salary, the Board of
Directors shall take into account the following considerations: (i) the
Company's financial situation and profitability; (ii) whether or not the
Employee performed his duties hereunder to the Company's satisfaction and in
accordance with his projections and reports to the Company, and those other
considerations as may be appropriate in the circumstances. For the removal of
doubt, for as long as the Employee is an office holder in the Company (as
defined in the Companies Law 5759-1999, as same may be amended from time to time
[the "COMPANIES LAW"]), any change in the Employee's Yearly Gross Salary as
aforesaid and any other changes to the terms of employment hereunder, shall,
with respect to requirements of approval thereof, be subject to the provisions
of the Companies Law.

      (b) If and subject to the Company completing a second round of financing
in which the investors in such round invest at least USD$4,000,000, then the
Employee's Yearly Gross Salary shall be increased by ten percent (10%).

      (c) (I) The Company and Employee will obtain and maintain Managers
Insurance ("Bituach Menahalim") for the exclusive benefit of Employee and in
customary form, with respect to which the Company shall be the owner. The
Company shall contribute an amount equal to thirteen and one-third percent
(13.333%) of each Monthly Gross Salary payment (out of which 8.33% are
designated for severance payments and 5% are designated for premium payments)
(the "COMPANY CONTRIBUTION") and the Employee shall contribute five percent (5%)
of the Monthly Gross Salary payment (the "EMPLOYEE'S CONTRIBUTION") toward the
premiums payable in respect of such insurance, all amounts in the aggregate not
to exceed the Monthly Gross Salary of Employee (the "INSURANCE POLICY"). The
Employee hereby instructs the Company to make the necessary transfers to the
insurance company of the amount representing the Employee's and the Company's
Contributions on account of the Insurance Policy.

            (II) It is hereby agreed that, should the Employee be or become
entitled to severance pay under any applicable Israeli law, the amounts accrued
in the Insurance Policy on account of that portion of the Company's Contribution
which is designated for severance pay, [i.e. the 8.33%] (the "SEVERANCE
PORTION") shall be in lieu thereof and in full and final substitution therefor.

            Notwithstanding subsection (c)(II) above, if the Severance Portion
accrued in the Insurance Policy is less than the amount of severance pay the
Employee is or will be entitled to under applicable Israeli law, then the
Company shall pay the Employee the difference thereof.

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            (III) It is hereby agreed that upon termination of employment under
this Agreement, the Company shall release to the Employee all amounts accrued in
the Insurance Policy on account of both the Company's and Employee's
Contributions.

            Notwithstanding subsection (c)(III) above, the Company will not be
obligated to release to the Employee the Severance Portion of the Insurance
Policy, or pay the Employee any other form of severance pay, under any one of
the following circumstances:

                  (xx) Termination of employment by the Company for `cause' (as
      defined in Section 3(c) above); and

                  (yy) Termination of employment for reasons which under Israeli
      law would deprive the Employee of rights to severance pay.

      (d) The Company and the Employee shall open and maintain a Keren
Hishtalmut Fund (the "FUND") for the benefit of the Employee. The Company shall
contribute to the Fund an amount equal to 7.5% of each Monthly Gross Salary
payment and the Employee shall contribute to such Fund 2.5% of each Monthly
Gross Salary payment. It is hereby clarified, that any tax liabilities that are
due on account of the Company's contribution to the Fund shall be born solely by
the Employee. The Employee hereby instructs Company to make the necessary
transfers to the Fund the amounts representing both the Employee's and the
Company's contributions.

      (d1) The Company shall obtain Disability Insurance ("OVDAN KOSHER AVODA"),
which may be included within the Insurance Policy, for the exclusive benefit of
the Employee and shall contribute therefor an amount up to two and a half
percent (2.5%) of each Monthly Gross Salary payment.

      (e) Bonus The Company's board of directors shall in its sole discretion,
determine the amount of any bonus, the method of its computation, the periods
for which any such bonus shall be paid and the performance targets required to
be achieved by the Employee prior to receipt of any such bonus. When determining
the amount of bonus to be paid hereunder, the Company's board of directors shall
also consider factors such as the Company's financial condition and the
Employee's achievement of any of the targets set by the board of directors.

5. Vacation

      (a) During the first year of employment hereunder, the Employee shall be
entitled to fifteen (15) working days of paid vacation.

      (b) Thereafter, during each year of employment hereunder, the Employee
shall be entitled to an additional two (2) working days of paid vacation (i.e.,
in the second year of employment - 17 days, in the third year of employment - 19
days and so on), up to a maximum aggregate of twenty-one (21) working days of
paid vacation for any given year of employment hereunder.

      (c) Vacation time may be taken at times subject to the reasonable approval
of the Company and may be accumulated for no more than thirty (30) days for a
period of two (2) years

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after which time Employee shall forfeit any unused vacation remaining at the end
of such two year period.

      (d) Accumulated vacation time shall be paid according to the regular
payroll practice in Company, only upon termination of the employment by Company.

5A. Company Car

The Company shall provide the Employee with an automobile for her exclusive use,
of a make, model and size as determined by the Company in its sole discretion.
The Company shall pay all actual maintenance, tax obligations and insurance
expenses in connection with the automobile. For the removal of doubt, the
Company shall not be liable to pay any tickets in connection with any traffic
violations, whether such tickets were issued by the police or by a municipality.

6. Expenses

The Company shall reimburse the Employee for all ordinary and reasonably
necessary business expenditures incurred directly in connection with or in
furtherance of a specific task or services rendered to the Company by the
Employee at the request of the Company (i.e. performance of activities outside
of Israel), upon presentation of the appropriate invoices, receipts, vouchers or
such other supporting information and documents as may be requested by the
Company from time to time. Notwithstanding the foregoing, expenses exceeding
USD$2,000 shall be subject to the prior written approval of the Company. Except
as provided for in this Section 6 or unless otherwise agreed to in writing by
the Company, the Company shall have no liability to reimburse the Employee for
any expenses incurred by her in connection with this Agreement or the discharge
of her regular or ordinary duties or services as an employee of the Company
hereunder. Employee will be reimbursed as soon as practicable following the
presentation to the Company of appropriate information and documentation
evidencing such expenses, as provided in this Section 6.

7. Undertaking

Simultaneously with the execution of this Agreement, the Employee shall execute
the undertaking attached hereto as EXHIBIT A, including any exhibits attached
thereto, including but not limited to the deeds of transfer of shares and the
escrow agreement.

8. Proprietary Rights and Information

      Employee acknowledges and agrees that:

      (a) any and all patentable and unpatentable inventions, discoveries, ideas
or applications conceived, originated or developed by Employee during the term
of her employment under this Agreement or in connection therewith and directly
relating to Company's business (which on the Effective Date relates to drug
discovery to membrane embedded proteins and De Novo protein design), and as may
be adjusted from time to time (the "COMPANY'S BUSINESS") shall be the sole and
exclusive property of Company in every territory in which Company conducts its
business, whether directly or indirectly. Without derogating from the foregoing,
Employee hereby irrevocably transfers and assigns to the Company for no
consideration any and

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all such present and future patentable and unpatentable inventions, discoveries,
ideas or applications, including but not limited to any intellectual property
related rights to or in the same, which were invented, discovered, thought of,
produced, developed or applied during the term of employment hereunder. In
addition, without derogating from any of the foregoing provisions, the Employee,
at the request and sole expense of Company, shall execute such documents and
perform such acts as the Company or its counsel may deem necessary or advisable
to irrevocably confer upon the Company for no consideration all rights in and
title and interest to such invention, discovery or idea, and all patent
applications, patents and copyrights thereon, and to enable and assist the
Company in procuring, maintaining, enforcing and defending patents, copyrights
and other applicable statutory protection on any such invention, discovery, idea
or application which may be patentable or copyrightable.

      (b) Employee shall promptly disclose to the Company in such form and
manner as the Company may reasonably require all inventions, systems, services
and other information or data directly relating to the Company's Business
conceived, originated, discovered or developed by the Employee hereunder and
during the term hereof. It is understood that such information is proprietary in
nature and shall (as between the Company and the Employee) be for the exclusive
use and benefit of the Company. In addition, the Employee shall keep the Company
informed on a regular basis of the progress of the Employee's research and
development efforts hereunder.

9. Secrecy and Nondisclosure

The Employee agrees to treat as secret and confidential all the processes,
methods, formulas, procedures, techniques, software, designs, data, drawings and
other information which are not of public knowledge or record pertaining at any
time to the Company's Business of which the Employee becomes aware. The Employee
agrees not to disclose, use, publish, or in any other manner reveal, directly or
indirectly, at any time during or after the term of this Agreement, without the
prior written consent of the Company in each instance, any such process,
methods, formulas, procedures, techniques, software, designs, data, drawings and
other information pertaining at any time to the Company's Business. The Company
undertakes to establish a policy or general guidelines relating to the
publication of scientific contributions by its employees which is intended to
encourage such publication and, at the same time, provide for the Company with
adequate protection of its intellectual property and proprietary rights. For the
removal of doubt, the Employee shall, prior to releasing any scientific or like
publication relating to the Company's proprietary information, present such
proposed publication materials to the Company's Chief Executive Officer or any
other person designated for such purpose by the Company's Chief Executive
Officer for his/her approval for such publication. For the purposes of this
Section 9, the Company's proprietary information shall include but not be
limited to information, in any form, obtained by the Employee for and on behalf
of the Company in the fulfillment of his duties hereunder.

10. Non-Competition

      (a) Employee agrees that, during the term of this Agreement, including any
extensions thereto and for a period of eighteen (18) months thereafter, she will
not directly or indirectly, for her own account or as an employee, officer,
director, partner, joint venturer, shareholder, investor, consultant or
otherwise (except as an investor in a corporation whose stock

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is publicly traded and in which Employee holds less than five (5%) percent of
the outstanding shares):

            (i) in the following territories: Israel, U.S.A., Germany,
Switzerland, the United Kingdom, France and Japan, interest herself in, be
connected with or engage in any projects, which are competitive with the
Company's Business in which the Company is engaged or is actively pursuing
engagement, during the term of this Agreement or following termination, or is
proposed in writing by Company prior to the time of termination of this
Agreement, unless otherwise specifically permitted under this Agreement;

            (ii) hire, engage or employ or solicit, contact or communicate with
for the purposes of hiring, employing or engaging, any person who is then or was
an employee and/or consultant of Company at any time within the twelve-month
period immediately prior thereto.

      (b) The restrictions in subsection 8(a) shall not apply to any activities
that are disclosed by Employee in advance to the Company, and are consented to
in writing by the Company.

      (c) Notwithstanding anything contained in this Section 10 to the contrary,
if the period of time or the geographical area specified under subsection 10(a)
above should be determined to be unreasonable in any judicial proceeding, then
the period of time and area of the restriction shall be reduced so that this
Agreement may be enforced in such area during such period of time as shall be
determined to be reasonable by such judicial proceeding.

11. Representations of Employee

Employee hereby represents and warrants to Company that:

      (a) The execution and delivery of this Agreement and the fulfillment of
the terms hereof (including any duties and obligations of or transactions
executed by Employee hereunder) (i) do not and will not constitute a default
under or conflict with any agreement or other instrument to which she is a party
or by which she is bound, (ii) does not require the consent of any person or
entity, or alternatively, that if it does require the consent of any person or
entity, that such consent has been obtained, in writing, prior to the execution
of this Agreement, and (iii) do not and will not violate, interfere with or
infringe upon, any rights of any other person or entity; and

      (b) This Agreement constitutes the valid and binding obligation of
Employee enforceable against her in accordance with its terms subject to
applicable bankruptcy, insolvency, moratorium and similar laws affecting
creditors' rights generally, and subject, as to enforceability, to general
principles of equity (regardless if enforcement is sought in a proceeding in
equity or at law).

      (c) Employee acknowledges that her Position requires a special measure of
personal trust, as defined in the Law of the Hours of Work and Rest - 1951, and
therefore, Employee shall not be entitled to any additional compensation for
extra hours of work.

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12. Representations of Company

Company hereby represents and warrants to Employee that:

      (a) The execution and delivery of this Agreement and the fulfillment of
the terms hereof (i) will not constitute a default under or conflict with any
agreement or other instrument to which Company is a party or by which it is
bound, and (ii) does not require the consent of any person or entity; and

      (b) This Agreement constitutes the valid and binding obligation of Company
enforceable against it in accordance with its terms subject to applicable
insolvency, moratorium and similar laws affecting creditors' rights generally,
and subject, as to enforceability, to general principles of equity (regardless
if enforcement is sought in a proceeding in equity or at law).

13. Miscellaneous

      13.1 Waiver. Failure by either party to insist upon compliance with any of
the terms, covenants, or conditions hereof shall not be deemed a waiver of such
term, covenant, or condition, nor shall any waiver or relinquishment of any
right or power hereunder at any one time or more times be deemed a waiver or
relinquishment of such right or power at any other time or times.

      13.2 Severability. The invalidity or un-enforceability of any provision
hereof shall in no way affect the validity or enforceability of any other
provision. The parties to this Agreement agree and intend that this Agreement
shall be enforced as fully as it may be enforced consistent with applicable
statutes and rules of law.

      13.3 Benefit. Except as otherwise herein expressly provided, this
Agreement shall inure to the benefit of and be binding upon Company, its
successors and assigns, including, without limitation, any company which may
acquire all or substantially all of Company's assets or business or with or into
which the Company may be consolidated or merged, and to the benefit of, and be
binding upon, Employee, her heirs, executors, administrators and legal
representatives. Notwithstanding the foregoing, the obligations of Employee
hereunder shall not be assignable or delegable.

      13.4 Entire Agreement. This Agreement constitutes the entire understanding
and agreement between the parties hereto, supersedes any and all prior
discussions, agreements and correspondence with regard to the subject matter
hereof, and may not be amended, modified or supplemented in any respect, except
by a subsequent writing executed by both parties hereto. For the removal of
doubt, if a conflict exists between the provisions of this Agreement relating to
confidentiality and non-competition and any other agreement containing similar
undertakings of the Employee, then the provisions of this Agreement shall
prevail and supersede any such conflicting provisions.

      13.5 From all payments made by the Company hereunder, all applicable taxes
will be deducted.

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      13.6 Notices. Any notice or other communication required or permitted
hereunder shall be in writing and shall be delivered personally of sent by
facsimile or sent by certified, registered or express mail, postage prepaid. Any
such notice shall be deemed given when so delivered personally or sent by
facsimile transmission or, if mailed, five days after the date of deposit in the
mail, as follows:

            (i)   if to Dr. Silvia Noiman
                  [ADDRESS]

            (ii)  if to Company:
                  12A Kibush Ha'voda Street
                  Hertzeliya, Israel

Any party may, by notice given in accordance with this Section 13.6 to the other
parties, designate another address or person for receipt of notices hereunder.

      13.7 Applicable Law. This Agreement shall be governed by, construed and
enforced in accordance with the laws of the State of Israel, without giving
effect to principles of conflicts of law.

      13.8 Jurisdiction. The parties agree that the District Courts located in
Tel Aviv shall have jurisdiction to settle any disputes that may arise out of or
in connection with this Agreement and that, accordingly, any suit, action or
proceeding arising out of or in connection with this Agreement may be brought in
such courts.

      13.9 Counterparts. This Agreement may be executed in one or more
counterparts but all such separate counterparts shall constitute but one and the
same instrument; provided that, although executed in counterparts, the executed
signature pages of each such counterparts may be affixed to a single copy of
this Agreement as of the date first above written.

IN WITNESS WHEREOF, the parties have executed this Agreement as of the first
date written above.

            [THE REMAINDER OF THIS PAGE IS INTENTIONALLY LEFT BLANK]

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BIO-I.T. (BIO INFORMATION TECHNLOGIES) LTD.

/s/ HAIM AVIV
-------------
Name:
Title:

/s/ SILVIA NOIMAN
-----------------
DR. SILVIA NOIMAN

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TO: BIO-IT (BIO INFORMATION TECHNOLOGIES) LTD.

FROM: DR. SILVIA NOIMAN

                                                          Date: October 31, 2000

                                   UNDERTAKING

   1. I, the undersigned, hereby agree and undertake to subject the 240,000
      Ordinary Shares (the "SHARES") I hold in Bio-IT (Bio Information
      Technologies) Ltd. (the "COMPANY") to my continued services to the Company
      as an employee, such that if I do not complete four (4) years of service
      (the "TERM OF SERVICE") portions of my Shares will revert back to the
      Company or be transferred to the Repurchaser (as defined below), as
      applicable, according to the following provisions:

      (a) If at any time prior to the second anniversary of the Effective Date
as defined in the Employment Agreement entered into between myself and the
Company on October 31, 2000 (the "EMPLOYMENT AGREEMENT") I am no longer an
employee of the Company, except for termination of my services by the Company
without cause (as such term is defined in the Employment Agreement)
("TERMINATION WITHOUT CAUSE") then 180,000 of my Shares shall be transferred to
the Repurchaser, as defined below, for no consideration; and

      (b) If at any time after the second anniversary but before the third
anniversary of the Effective Date of the Employment Agreement I am no longer an
employee of the Company, except for Termination Without Cause, then 120,000 of
my Shares shall be transferred to the Repurchaser for no consideration; and

      (c) If at any time after the third anniversary but before the fourth
anniversary of the Effective Date of the Employment Agreement I am no longer an
employee of the Company, except for Termination Without Cause, then 60,000 of my
Shares shall be transferred to the Repurchaser for no consideration; and

      (d) If on the fourth anniversary of the Effective Date of the Employment
Agreement I am still an employee of the Company then the Repurchaser shall no
longer be entitled to receive by way of transfer any portion of my Shares and if
the Repurchaser is the Company, then it shall not be entitled to a reversion
back to it of any portion of the Shares.

      The "REPURCHASER" shall mean the Company, if it so desires and to the
      extent it is permitted by law. Otherwise, Repurchaser shall mean such
      entity designated by the Company which shall hold such repurchased shares
      in escrow for future allocation to employees, directors and other service
      providers of the Company and/or any subsidiary thereof, under an approved
      Share Option Plan(s).

   2.

      (a) In order to facilitate the repurchase and/or transfer of the shares as
set forth above in an orderly fashion, I shall, simultaneously with the
execution of this Undertaking, execute three (3) deeds of transfer of shares, in
the form attached hereto as EXHIBIT A (the "DEEDS OF TRANSFER"). With these
Deeds of Transfer I hereby irrevocably authorize the Company or any designee
thereof to fill in the name of the transferee in these Deeds and to complete the
transfer of Shares according thereto.

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                                       2

      (b) The number of Shares in each Deed of Transfer, during the period in
which the Deeds of Transfer are held by KH, shall be subject to automatic
adjustment (the "AUTOMATIC ADJUSTMENT") if the outstanding shares of the Company
shall be changed or exchanged by declaration of a share dividend, share split,
combination or exchange of shares, recapitalization, extraordinary dividend
payable in shares of a corporation other than the Company, or otherwise in cash,
or any other like event by or of the Company, and requiring that the number,
class and kind of the Shares be adjusted (each an "ADJUSTMENT EVENT"). The
mechanics of the Automatic Adjustment shall be as follows: if after the
occurrence of an Adjustment Event any Deed(s) of Transfer shall be released to
the Repurchaser according to the provisions of Section 1 above and the terms of
the Escrow Agreement annexed hereto as EXHIBIT B, then the number of Shares that
shall be transferred pursuant thereto shall be the number appearing in the
Deed(s) of Transfer as adjusted to the Adjustment Event.

      (c) Noiman hereby acknowledges and agrees that upon receipt of notice from
the Company that an Adjustment Event has occurred, the Automatic Adjustment
mechanism will operate, and that if the Repurchaser shall become entitled to any
portion of the Shares following such Adjustment Event, then the Deed(s) of
Transfer shall be deemed to cover the number of Shares stated therein as
adjusted to such Adjustment Event.

      (d) Noiman hereby further acknowledges and confirms that the Repurchaser
shall be entitled to rely upon the Deed(s) of Transfer with the number of Shares
as adjusted to an Adjustment Event. Noiman agrees that the corporate records of
the Company shall be conclusive evidence of an occurrence of any such Adjustment
Event.

   3.

      (a) The Deeds of Transfer shall be held in trust by K.H. Trustees Ltd.,
("KH"). Upon receipt of notice from the Company of the occurrence of an event of
termination of my employment, all in accordance with the provisions of Sections
1(a) through 1(c) above (the "COMPANY'S INSTRUCTIONS NOTICE"), K.H. shall,
within 3 business days of such notice, send me a copy of the Company's
Instructions Notice ("KH'S NOTICE"). Within 4 business days from the date of
KH's Notice, KH shall release to the Company the applicable number of Deeds of
Transfer (as adjusted to an Adjustment Event). The Company's Instructions Notice
shall be final and binding upon KH or any successor thereof, unless I provide KH
with an appropriate injuctive order, preventing such release to the Company,
issued by a court of competent jurisdiction prior to the end of such 4 days'
period.

      (b) Following the second anniversary of the Effective Date of the
Employment Agreement, upon my written request to KH accompanied with a letter of
confirmation from the Company to the effect that until such anniversary I was an
employee of the Company, KH shall release one (1) Deed of Transfer (as adjusted
to an Adjustment Event) to my possession.

      (c) Following the third anniversary of the Effective Date of the
Employment Agreement, upon my written request to KH accompanied with a letter of
confirmation from the Company to the effect that until such anniversary I was an
employee of the Company, KH shall release one (1) Deed of Transfer (as adjusted
to an Adjustment Event) to my possession, or two

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(2) such Deeds of Transfer (as adjusted to an Adjustment Event), provided
however, that I did not previously request a release under sub-section (b)
above.

      (d) Upon the fulfillment of the condition set forth in Section 1(d) above
and upon my written request accompanied by a written confirmation by the Company
to the effect that on the fourth anniversary of the Effective Date of the
Employment Agreement I was an employee of the Company, KH shall return all three
(3) Deeds of Transfer (as adjusted to an Adjustment Event) to my possession,
provided however, that I did not previously request a release under sub-sections
(b) and/or (c) above.

      (e) Upon my written request accompanied with a written confirmation from
the Company to the effect that: (i) one of the events described in Sections 9.1
through 9.6 has occurred; and (ii) that until the occurrence of such event I was
an employee of the Company, KH shall release to my possession any remaining
Deeds of Transfer (as adjusted to an Adjustment Event) and that portion of my
Shares shall no longer be subject to the repurchase or reversion right of the
Repurchaser.

      (f) Upon the written request of the executor of my estate accompanied
with: (i) a notarized copy of a death certificate issued upon my death; and (ii)
a written confirmation from the Company to the effect that until my death I was
an employee of the Company, KH shall release to the possession of such executor
any remaining Deeds of Transfer (as adjusted to an Adjustment Event).

   4. The Ordinary Shares that may be repurchased according to the provisions of
      this Undertaking shall confer upon their holder those rights attached to
      the Ordinary Shares of the Company, as set forth in the Company's Articles
      of Association as may be in effect from time to time.

   5. In order to comply with the provisions of this Undertaking, with the
      exception of transfer of the Shares that are no longer subject to
      repurchase, I further undertake the following in addition to any other
      restrictions on the my Shares in any other agreements and/or documents:

      (a) Until the lapse of one (1) year following the Effective Date of the
Employment Agreement, I shall not transfer, undertake to transfer, otherwise
dispose of, pledge, charge or otherwise encumber (hereinafter a "DISPOSITION")
180,000 of my Shares (as adjusted an Adjustment Event); and

      (b) After the period set forth in sub-section (a) above and until the
lapse of two (2) years following the Effective Date of the Employment Agreement,
I shall not cause a Disposition of 120,000 of my Shares (as adjusted to an
Adjustment Event); and

      (c) After the period set forth in sub-section (b) above and until the
lapse of three (3) years following the Effective Date of the Employment
Agreement, I shall not cause a Disposition of 60,000 of my Shares (as adjusted
to an Adjustment Event).

      (d) I hereby further acknowledge and expressly agree that the share
certificate(s) corresponding to the Shares (including any share certificate to
be issued instead of or in addition to such shares as detailed in Section 3
above) may bear a legend indicating that such shares are subject to the
restrictions provided for hereunder (the "RESTRICTIVE LEGEND"). Following the
actual release to my possession of the Deeds of Transfer or any one of them, as
applicable, upon delivery to the Company of my written request, I shall be
entitled to have the Restrictive Legend removed from the share certificate
issued to me by the Company, with respect to those Shares no longer subject to
the repurchase right

<PAGE>
                                       4

herein. In order to accomplish this I shall surrender my share certificate to
the Company for its replacement with a new share certificate(s), not bearing the
Restrictive Legend. Notwithstanding the foregoing, the new share certificate(s)
will continue to bear the following legend:

      "The Shares represented by this certificate, have not been registered
      under the Securities Act of 1933 or under the securities laws of any
      state. These shares have been acquired for investment and not with a view
      to distribution or resale, and may not be sold, transferred, pledged or
      hypothecated in the absence of an effective registration statement for
      such shares under the Securities Act of 1933 and such state securities
      laws as maybe applicable or the delivery to BIO-IT (BIO INFORMATION
      TECHNOLOGIES) LTD. of an opinion of counsel, reasonably acceptable to it,
      to the effect that registration is not required under such Act or such
      state securities laws.

      The foregoing restrictions terminate when the shares may be freely
      transferred without restriction under Rule 144, under the Securities Act
      of 1933, or any successor thereto, and may be disregarded thereafter.

      The sale or transfer of the securities represented by this certificate is
      subject to the terms and conditions of a certain Shareholders Agreement
      dated _____________ and certain schedules thereto, by and among the holder
      hereof and other shareholders of the Company. Copies of such agreement and
      schedules may be obtained upon written request to the Company's
      Secretary".

   6. I hereby represent and warrant to the Repurchaser that the portion of the
      Shares subject to repurchase in accordance with this Undertaking, when
      transferred to the Repurchaser shall be free of any lien, encumbrance
      and/or any right or obligation which may limit the right of the
      Repurchaser in such Shares.

   7. Notwithstanding the above, I reserve the right to transfer any portion of
      my Shares to a Permitted Transferee (as such term is defined in the
      Company's Articles of Association, as same may be amended from time to
      time), provided that any such transferee shall undertake, in writing, to
      fully comply with the provisions of this Undertaking, and shall, upon such
      transfer to such transferee and as a condition precedent to its validity,
      execute appropriate Deed(s) of Transfer, mutatis mutandis.

   8. I hereby agree that I shall have no rights of a shareholder or otherwise
      have any rights with respect to those Shares that have been repurchased,
      or if the Repurchaser is the Company, then with respect to the Shares that
      have reverted back to the Company, all in accordance with the provisions
      set forth above. Subject to the restrictions appearing in this
      undertaking, the Company's Articles of Association, or any other agreement
      to which I am a party, I reserve all rights of a shareholder of the
      Company with respect to those Shares that have not been repurchased or
      have not reverted back to the Company, as applicable.

   9. Notwithstanding anything to the contrary herein, upon the occurrence of
      any one of the following events prior to the end of the Term of Service
      and provided that until the occurrence of any such event I am an employee
      of the Company, the Shares shall no longer be subject to the
      repurchase/reversion provisions set forth above and the Repurchaser or the
      Company, as applicable, shall thereafter have no right to have such Shares
      revert back or transferred to it:

      9.1 upon the consummation of a merger of the Company into another entity
where the Company is not the surviving entity of the merger transaction;

<PAGE>
                                       5

      9.2 upon the consummation of an acquisition of all or substantially all of
the Company's assets;

      9.3 upon the consummation of an acquisition of all or substantially all of
the Company's securities, except where the acquirer is at the time of such
acquisition a 25% or more shareholder in the Company;

      9.4 upon my disability as such term is defined in the Employment
Agreement;

      9.5 upon the consummation of the Company's initial public offering of its
securities to the public; and

      9.6 upon Termination Without Cause; and

      9.7 upon my death.

   10. In connection with the deposit of the Deeds of Transfer with KH, both the
      Company and myself will execute a form of escrow agreement with KH, in the
      form attached hereto as EXHIBIT B (the "ESCROW AGREEMENT"). The Escrow
      Agreement shall be executed simultaneously with the execution of this
      Undertaking.

IN WITNESS WHEREOF, I have executed this undertaking as of October 31, 2000.

DR. SILVIA NOIMAN

/s/ Silvia Noiman
---------------------

Witness to Signature

Name: ______________________

Date: ______________________

Signature: _________________

We the undersigned, accept and acknowledge the terms of this Undertaking.

BIO-IT (BIO INFORMATION TECHNOLOGIES) LTD.

/s/ Haim Aviv
-------------
By:
Title:

<PAGE>
                                       6

                                    EXHIBIT A

                           Deed of Transfer of Shares

I, Dr. Silvia Noiman, holder of Israeli identity card number
_________________________ (the "TRANSFEROR") does hereby transfer to
_________________, holder of _______________ (the "TRANSFEREE"), 60,000 Ordinary
Shares of nominal value NIS 0.01 each and as adjusted to an Adjustment Event (as
such term is defined in the Undertaking to which this deed constitutes an
exhibit), of BIO-IT (BIO INFORMATION TECHNOLOGIES) LTD. (the "COMPANY"), to be
held by the Transferee, its executors, administrators, and assigns, subject to
the conditions on which the Transferor held the shares at the time this document
was signed, and the Transferee agrees to accept the shares on these terms.

IN WITNESS WHEREOF we hereby sign on __________ of _________, __________.

/s/ SILVIA NOIMAN
-----------------                              ______________________________
Dr. Silvia Noiman                              [Transferee]

Witness to signature:                          Witness to signature:

_______________________                        ______________________________
Name: _________________                        Name: ________________________

<PAGE>
                                       7

                                    EXHIBIT B

                                ESCROW AGREEMENT

Entered into this 31st day of October, 2000 by and between K.H. TRUSTEES LTD.,
an Israeli company whose address is 30 Kalisher Street, Tel-Aviv, Israel (the
"TRUSTEE"), BIO-IT (BIO INFORMATION TECHNOLOGIES) LTD. a company whose address
is 12A Kibush Ha'voda Street, Hertzeliya, Israel (the "COMPANY") and DR. SILVIA
NOIMAN, whose address is [ADDRESS] ("NOIMAN").

                                   WITNESSETH

WHEREAS Noiman and the Company intend that the Trustee hold certain deeds of
transfer of shares in trust in accordance with the terms and conditions set
forth herein;

NOW THEREFORE, in consideration of the undertakings and premises herein, the
parties hereto hereby agree as follows:

1. GENERAL

All terms not defined herein shall have the meanings ascribed to them in the
Undertaking to which this Agreement constitutes an exhibit (the "UNDERTAKING")
or the Employment Agreement between Noiman and the Company dated as of October
31, 2000 (the "EMPLOYMENT AGREEMENT").

2. ESCROW AND RELEASE FROM ESCROW

      2.1 By execution of this Escrow Agreement, the Company and Noiman, and
their respective successors and assigns, hereby irrevocably appoint the Trustee
to act in accordance with the provisions of this Agreement.

      2.2 Simultaneously with the execution of this Agreement, Noiman shall
execute three Deeds of Transfer of shares in accordance with the provisions of
the Undertaking. Immediately following their execution, Noiman shall deposit
these Deeds of Transfer with the Trustee to be held in escrow until their
release in accordance with the provisions of the Undertaking and this Agreement.

      2.3

      (a) Upon the receipt of written notice from the Company of occurrence of
any one of the events described in Sections 1(a) through 1(c) of the Undertaking
(the "COMPANY'S INSTRUCTIONS NOTICE") the Trustee shall, within three (3)
business days of such notice, send Noiman a copy of the Company's Instructions
Notice (the "TRUSTEE'S NOTICE"). Within four (4) business days from the date of
the Trustee's Notice, Noiman hereby irrevocably instructs the Trustee to release
to Company Deed(s) of Transfer as follows, unless prior to end of such 4 days'
perioed Noiman provides the Trustee (with a copy to the Company) of an
appropriate injuctive order preventing such release, issued by a court of
competent jurisdiction:

      (i) If said notice is issued in connection with Section 1(a) of the
Undertaking then the Trustee is hereby instructed to release to the Company all
three (3) Deeds of Transfer, for an aggregate of 180, 000 Ordinary Shares of the
Company (as adjusted to an Adjustment Event).

<PAGE>
                                       8

      (ii) If said notice is issued in connection with Section 1(b) of the
Undertaking then the Trustee is hereby instructed to release to the Company two
(2) Deeds of Transfer, for an aggregate of 120,000 Ordinary Shares of the
Company (as adjusted to an Adjustment Event).

      (iii) If said notice is issued in connection with Section 1(c) of the
Undertaking then the Trustee is hereby instructed to release to the Company one
(1) Deed of Transfer, for an aggregate of 60,000 Ordinary Shares of the Company
(as adjusted to an Adjustment Event).

      (b) Unless the Deed(s) of Transfer have been released to the Company in
accordance with the provisions of the Undertaking or sub-section (a) above, the
Trustee may release the Deed(s) of Transfer to Noiman's possession in accordance
with the following provisions:

      (i) Following the second anniversary of the Effective Date of the
Employment Agreement, upon receipt of Noiman's written request accompanied by a
letter of confirmation from the Company to the effect that Noiman was employed
by the Company on such anniversary, the Trustee shall release to Noiman one (1)
Deed of Transfer.

      (ii) Following the third anniversary of the Effective Date of the
Employment Agreement, upon receipt of Noiman's written request accompanied by a
letter of confirmation from the Company to the effect that Noiman was employed
by the Company on such anniversary, the Trustee shall release to Noiman one (1)
Deed of Transfer, or two (2) Deeds of Transfer, provided however, that Noiman
did not previously request a release under sub-section (b)(i) above.

      (c) Upon receipt of a written request from Noiman accompanied by a written
confirmation from the Company to the effect that on the fourth anniversary of
the Effective Date of the Employment Agreement Noiman was an employee of the
Company, the Trustee shall release all three (3) Deeds of Transfer to Noiman's
possession, provided however, that Noiman did not previously request a release
under sub-sections (b)(i) and/or (b)(ii) above.

      (d) Upon receipt from Noiman of a written request accompanied by a written
confirmation from the Company to the effect that: (i) one of the events
described in Sections 9.1 through 9.6 of the Undertaking has occurred; and (ii)
that until the occurrence of any such event Noiman was an Employee of the
Company, the Trustee shall release to Noiman's possession any remaining Deeds of
Transfer not previously released.

      (e) Upon the written request of the executor of Noiman's estate
accompanied with: (i) a notarized copy of a death certificate issued upon
Noiman's death; and (ii) written confirmation from the Company to the effect
that until Noiman's death she was an employee of the Company, the Trustee shall
release to the possession of such executor any remaining Deeds of Transfer.

      (f) Noiman hereby acknowledges, upon receipt of notice from the Company
that an Adjustment Event has occurred during the term of this Escrow Agreement,
the Trustee shall be entitled to rely on such notice and that the Automatic
Adjustment mechanism shall become effective as to the number of Shares covered
by the Deed(s) of Transfer.

3. LIMITATIONS AS TO TRUSTEE

<PAGE>
                                       9

      3.1 This Escrow Agreement sets forth all the duties of the Trustee with
respect to any and all matters relevant to the Deeds of Transfer. The Trustee
shall have no duty to make independent inquiries of the truth of the contents of
any notice issued by the parties. The Trustee shall be entitled to rely, without
further investigation, on any such notice and the identity and authority of the
person signing such notice.

      3.2 Both the Company and Noiman hereby waive any and all claims and/or
causes of action against the Trustee arising out of or related to this Escrow
Agreement, including but not limited to the Trustee's right to rely on the
Company's notice that an Adjustment Event has occurred, except such as are
arising out of the Trustee's gross negligence or willful misconduct. In
addition, the Company and Noiman agree to indemnify and hold the Trustee
harmless from and against any and all liabilities and costs of any kind caused
by the Company and/or Noiman and arising out of or in connection with this
Escrow Agreement except for the Trustee's gross negligence or willful
misconduct. The provisions of this Article 3.2 shall survive termination of this
Agreement.

4. MISCELLANEOUS

      4.1 All notices hereunder shall be sent to the parties at the respective
addresses set forth above by facsimile with written confirmation by mail or by
hard copy original sent by registered mail, return receipt requested, or such
other address as is notified to the parties in writing. In any event all notices
received by the Trustee from Noiman shall be delivered to the Company and all
notices received by the Trustee from the Company shall be delivered to Noiman.

      4.2 This Escrow Agreement shall be construed in accordance with the laws
of the State of Israel and the courts of Tel-Aviv shall have full and exclusive
subject matter jurisdiction and full and exclusive personal jurisdiction over
the parties in connection with any claim, dispute or controversy arising out of
this Agreement.

      4.3 This Escrow Agreement may only be modified by a written instrument
signed by all of the parties hereto. No waiver hereunder shall be effective
unless in writing signed by the party to be charged.

      4.4 This Escrow Agreement shall terminate under upon the release of all
three (3) Deeds of Transfer to the Company or Noiman, as applicable, in
accordance with the provisions hereof.

IN WITNESS WHEREOF, the parties have executed this Escrow Agreement as of the
date first above written.

K.H. TRUSTEES LTD.                  BIO-IT (BIO INFORMATION TECHNOLOGIES) LTD.

/s/ ILLEGIBLE                       /s/ HAIM AVIV
-------------                       -------------
By:                                 By:
Title:                              Title:

DR. SILVIA NOIMAN

/S/ SILVIA NOIMAN
------------------

<PAGE>

                  BIO-I.T. (BIO INFORMATION TECHNOLOGIES) LTD.
                          AMENDED EMPLOYMENT AGREEMENT

                                      WITH

                                DR. SILVIA NOIMAN

AMENDMENT dated as of April 3, 2001, between Dr. Silvia Noiman (the "EMPLOYEE"),
whose address is [ADDRESS], and BIO-I.T. ( BIO INFORMATION TECHNOLOGIES) LTD.
(the "COMPANY"), a corporation incorporated under the laws of the State of
Israel, having its address at Beit Shap, 3 Hayetzirah Street, Ramat Gan, Israel.

                                   WITNESSETH

WHEREAS the parties entered into an employment agreement dated as of October 31,
2000 (the "Original Employment Agreement"); and

WHEREAS the parties desire to amend certain provisions of the Original
Employment Agreement and/or the exhibits attached thereto and the undertaking in
connection therewith, all in accordance with the terms of this Amendment.

NOW THEREFORE, in consideration of the premises and mutual agreements
hereinafter contained, the parties hereto agree as follows:

1. Effect of Employment Agreement

Except as expressly set forth herein the Original Employment Agreement remains
in full force and effect and is not amended, altered or modified.

2. Section 13.6 Notices. is modified to provide as follows:

            "Notices. Any notice or other communication required or permitted
            hereunder shall be in writing and shall be delivered personally of
            sent by facsimile or sent by certified, registered or express mail,
            postage prepaid. Any such notice shall be deemed given when so
            delivered personally or sent by facsimile transmission or, if
            mailed, five days after the date of deposit in the mail, as follows:

                        (i) if to Dr. Silvia Noiman
                            [ADDRESS]

                        (ii) if to Company:
                             3 Hayetzirah Street
                             Ramat Gan, Israel

            Any party may, by notice given in accordance with this Section 13.6
      to the other parties, designate another address or person for receipt of
      notices hereunder."

3. Counterparts. This Amendment may be executed in one or more counterparts but
all such separate counterparts shall constitute but one and the same instrument;
provided that, although

<PAGE>
                                       2

executed in counterparts, the executed signature pages or each such counterparts
may be affixed to a single copy of this Amendment as of the date first above
written.

4. The Undertaking referenced in Section 7 to the Original Employment Agreement
and attached thereto as EXHIBIT A is modified in the entirety to be in the form
attached hereto as ANNEX 4 (the "Amended Undertaking").

5. The Escrow Agreement referenced in Section 7 to the Original Employment
Agreement is modified to be in the form attached hereto as ANNEX 5 (the "Amended
Escrow Agreement").

IN WITNESS WHEREOF, the parties have executed this Amendment as of the first
date written above.

            [THE REMAINDER OF THIS PAGE IS INTENTIONALLY LEFT BLANK]

<PAGE>
                                       3

IN WITNESS WHEREOF, the parties have executed this Amended Employment Agreement
as of the date written above.

BIO-I.T. (BIO INFORMATION TECHNLOGIES) LTD.

     /s/ CHEN SCHOR
-------------------------
Name:
Title:

    /s/ SILVIA NOIMAN
-------------------------
DR. SILVIA NOIMAN
<PAGE>

                                       4

                                                                         ANNEX 4

TO: BIO-IT (BIO INFORMATION TECHNOLOGIES) LTD.

FROM: DR. SILVIA NOIMAN

                                                             Date: April 3, 2001

                               AMENDED UNDERTAKING

1.    I, the undersigned, hereby agree and undertake to subject the 240,000
      Ordinary Shares (the "SHARES") I hold in Bio-IT (Bio Information
      Technologies) Ltd. (the "COMPANY") to my continued services to the Company
      as an employee, such that if I do not complete four (4) years of service
      (the "TERM OF SERVICE") portions of my Shares will revert back to the
      Company or be transferred to the Repurchaser (as defined below), as
      applicable, according to the following provisions:

      (a)   If at any time prior to the second anniversary of the Effective Date
            as defined in the Employment Agreement entered into between myself
            and the Company on October 31, 2000 (the "ORIGINAL EMPLOYMENT
            AGREEMENT"), as amended on April 3, 2001 (the "AMENDMENT" and
            together with the Original Employment Agreement, the "EMPLOYMENT
            AGREEMENT") I am no longer an employee of the Company, except for
            termination of my services by the Company without cause (as such
            term is defined in the Employment Agreement) ("TERMINATION WITHOUT
            CAUSE") then 180,000 of my shares shall be transferred to the
            Repurchaser, as defined below, for no consideration; and

      (b)   If at any time after the second anniversary but before the fourth
            anniversary of the Effective Date of the Employment Agreement I am
            no longer an employee of the Company, except for Termination Without
            Cause, then for each three month period remaining between the date
            on which I cease to be an employee of the Company and the fourth
            anniversary of the Effective Date of the Employment Agreement 15,000
            of my Shares shall be transferred to the Repurchaser for no
            consideration; and

      (c)   [intentionally deleted]; and

      (d)   If on the fourth anniversary of the Effective Date of the Employment
            Agreement I am still an employee of the Company then the Repurchaser
            shall no longer be entitled to receive by way of transfer any
            portion of my Shares and if the Repurchaser is the Company, then it
            shall not be entitled to a reversion back to it of any portion of
            the Shares.

      The "REPURCHASER" shall mean the Company, if it so desires and to the
extent it is permitted by law. Otherwise, Repurchaser shall mean such entity
designated by the Company which shall hold such repurchased shares in escrow for
future allocation to employees, directors and other service providers of the
Company and/or any subsidiary thereof, under an approved Share Option Plan(s).

<PAGE>
                                       5

2.    (a)   In order to facilitate the repurchase and/or transfer of the Shares
            as set forth above in an orderly fashion, I shall, simultaneously
            with the execution of this Amended Undertaking, confirm that two (2)
            deeds of transfer of shares, in the form attached hereto as EXHIBIT
            A (the "DEEDS OF TRANSFER") executed by me in connection with
            Sections 1(b) (for 120,000 Shares) and 1(c) (for 60,000 Shares) of
            the original Undertaking were returned to me marked cancelled; and
            that I executed eight (8) new Deeds of Transfer (each for 15,000
            Shares) in connection with Section 1(b) of this Amended Undertaking.
            With these Deeds of Transfer I hereby irrevocably authorize the
            Company or any designee thereof to fill in the name of the
            transferee in these Deeds and to complete the transfer of Shares
            according thereto.

      (b)   The number of Shares in each Deed of Transfer, during the period in
            which the Deeds of Transfer are held by KH, shall be subject to
            automatic adjustment (the "AUTOMATIC ADJUSTMENT") if the outstanding
            shares of the Company shall be changed or exchanged by declaration
            of a share divided, share split, combination or exchange of shares,
            recapitalization, extraordinary dividend payable in shares of a
            corporation other than the Company, or otherwise in cash, or any
            other like event by or of the Company, and requiring that the
            number, class and kind of the Shares be adjusted (each an
            "ADJUSTMENT EVENT"). The mechanics of the Automatic Adjustment shall
            be as follows: if after the occurrence of an Adjustment Event any
            Deed(s) of Transfer shall be released to the Repurchaser according
            to the provisions of Section 1 above and the terms of the Amended
            Escrow Agreement annexed to the Amendment as ANNEX 5, then the
            number of Shares that shall be transferred pursuant thereto shall be
            the number appearing in the Deed(s) of Transfer as adjusted to the
            Adjustment Event.

      (c)   Noiman hereby further acknowledges and agrees that upon receipt of
            notice from the Company that an Adjustment Event has occurred, the
            Automatic Adjustment mechanism will operate, and that if the
            Repurchaser shall become entitled to any portion of the Shares
            following such Adjustment Event, then the Deed(s) of Transfer shall
            be deemed to cover the number of shares stated therein as adjusted
            to such Adjustment Event.

      (d)   Noiman hereby further acknowledges and confirms that the Repurchaser
            shall be entitled to rely upon the Deed(s) of Transfer with the
            number of Shares as adjusted to an Adjustment Event. Noiman agrees
            that the corporate records of the Company shall be conclusive
            evidence of an occurrence of any such Adjustment Event.

3.    (a)   The Deeds of Transfer shall be held in trust by K.H. Trustees Ltd.,
            ("KH"). Upon receipt of notice from the Company of the occurrence of
            an event of termination of my employment, all in accordance with the
            provisions of Sections 1(a) through 1(c) above (the "COMPANY'S
            INSTRUCTIONS NOTICE"), K.H. shall, within 3 business days of such
            notice, send me a copy of the Company's Instructions Notice ("KH's
            NOTICE"). Within 4 business days from the date of KH's Notice, KH
            shall release to the Company the applicable number of Deeds of
            Transfer (as adjusted to an Adjustment Event). The Company's
            Instructions Notice shall be final and binding upon KH or any
            successor thereof, unless I provide KH with an appropriate
            injunctive order, preventing such release to the Company, issued by
            a court of competent jurisdiction prior to the end of such 4 days'
            period.

<PAGE>
                                       6

      (b)   Following the second anniversary of the Effective Date of the
            Employment Agreement, upon my written request to KH accompanied with
            a letter of confirmation from the Company to the effect that until
            such anniversary I was an employee of the Company, KH shall release
            the first Deed of Transfer (for 180,000 Shares as adjusted to an
            Adjustment Event) to my possession.

      (c)   Following the second anniversary of the Effective Date of the
            Employment Agreement, upon my written request to KH accompanied with
            a letter of confirmation from the Company to the effect that
            following such anniversary I was an employee of the Company for a
            successive period of three (3) months or any successive three (3)
            month period thereafter (i.e., three (3), six (6), nine (9), twelve
            (12), fifteen (15), eighteen (18), twenty-one (21) and/or
            twenty-four (24) months after the second anniversary of the
            Effective Date of the Employment Agreement), KH shall release one
            (1) Deed of Transfer (for 15,000 Shares as adjusted to an Adjustment
            Event) for each such three month period to my possession, as well as
            the first Deed of Transfer (for 180,000 Shares as adjusted to an
            Adjustment Event), provided however, that I did not previously
            request a release under sub-section (b) above.

      (d)   Upon the fulfillment of the condition set forth in Section 1(d)
            above and upon my written request accompanied by a written
            confirmation by the Company to the effect that on the fourth
            anniversary of the Effective Date of the Employment Agreement I was
            an employee of the Company, KH shall return all nine (9) Deeds of
            Transfer (as adjusted to an Adjustment Event) to my possession,
            provided however, that I did not previously request a release under
            sub-sections (b) and/or (c) above.

      (e)   Upon my written request accompanied with a written confirmation from
            the Company to the effect that: (i) one of the events described in
            Sections 9.1 through 9.6 has occurred; and (ii) that until the
            occurrence of such event I was an employee of the Company, KH shall
            release to my possession any remaining Deeds of Transfer (as
            adjusted to an Adjustment Event) and that portion of my Shares shall
            no longer be subject to the repurchase or reversion right of the
            Repurchaser.

      (f)   Upon the written request of the executor of my estate accompanied
            with: (i) a notarized copy of a death certificate issued upon my
            death; and (ii) a written confirmation from the Company to the
            effect that until my death I was an employee of the Company, KH
            shall release to the possession of such executor any remaining Deeds
            of Transfer (as adjusted to an Adjustment Event).

4.    The Ordinary Shares that may be repurchased according to the provisions of
      this Undertaking shall confer upon their holder those rights attached to
      the Ordinary Shares of the Company, as set forth in the Company's Articles
      of Association as may be in effect from time to time.

5.    In order to comply with the provisions of this Undertaking, with the
      exception of transfer of the Shares that are no longer subject to
      repurchase, I further undertake the following in addition to any other
      restrictions on the my Shares in any other agreements and/or documents.

      (a)   Until the lapse of one (1) year following the Effective Date of the
            Employment Agreement, I shall not transfer, undertake to transfer,
            otherwise dispose of, pledge,

<PAGE>
                                       7

            charge or otherwise encumber (hereinafter a "DISPOSITION") 180,000
            of my Shares (as adjusted to an Adjustment Event); and

      (b)   After the period set forth in sub-section (a) above and until the
            lapse of two (2) years following the Effective Date of the
            Employment Agreement, I shall not cause a Disposition of 120,000 of
            my Shares (as adjusted to an Adjustment Event); and

      (c)   After the period set forth in sub-section (b) above and until the
            lapse of three (3) years following the Effective Date of the
            Employment Agreement, I shall not cause a Disposition of 60,000 of
            my Shares (as adjusted to an Adjustment Event).

      (d)   I hereby further acknowledge and expressly agree that the share
            certificate(s) corresponding to the Shares (including any share
            certificate to be issued instead of or in addition to such shares as
            detailed in Section 3 above) may bear a legend indicating that such
            shares are subject to the restrictions provided for hereunder (the
            "RESTRICTIVE LEGEND"). Following the actual release to my possession
            of the Deeds of Transfer or any one of them, as applicable, upon
            delivery to the Company of my written request, I shall be entitled
            to have the Restrictive Legend removed from the share certificate
            issued to me by the Company, with respect to those Shares no longer
            subject to the repurchase right herein. In order to accomplish this
            I shall surrender my share certificate to the Company for its
            replacement with a new share certificate(s), not bearing the
            Restrictive Legend. Notwithstanding the foregoing, the new share
            certificate(s) will continue to bear the following legend:

                  "The Share represented by this certificate, have not been
                  registered under the Securities Act of 1933 or under the
                  securities laws of any state. These shares have been acquired
                  for investment and not with a view to distribution or resale,
                  and may not be sold, transferred, pledged or hypothecated in
                  the absence of an effective registration statement for such
                  shares under the Securities Act of 1933 and such state
                  securities laws as maybe applicable or the delivery to BIO-IT
                  (BIO INFORMATION TECHNOLOGIES) LTD. of an opinion of counsel,
                  reasonably acceptable to it, to the effect that registration
                  is not required under such Act or such state securities laws.

                  The foregoing restrictions terminate when the shares may be
                  freely transferred without restriction under Rule 144, under
                  the Securities Act of 1933, or any successor thereto, and may
                  be disregarded thereafter.

                  The sale or transfer of the securities represented by this
                  certificate is subject to the terms and conditions of a
                  certain Shareholders Agreement dated ___________ and certain
                  schedules thereto, by and among the holder hereof and other
                  shareholders of the Company. Copies of such agreement and
                  schedules may be obtained upon written request to the
                  Company's Secretary".

6.    I hereby represent and warrant to the Repurchaser that the portion of the
      Shares subject to repurchase in accordance with this Undertaking, when
      transferred to the Repurchaser shall be

<PAGE>
                                       8

      free of any lien, encumbrance and/or any right or obligation which may
      limit the right of the Repurchaser in such Shares.

7.    Notwithstanding the above, I reserve the right to transfer any portion of
      my Shares to a Permitted Transferee (as such term is defined in the
      Company's Articles of Association, as same may be amended from time to
      time), provided that any such transferee shall undertake, in writing, to
      fully comply with the provisions of this Undertaking, and shall, upon such
      transfer to such transferee and as a condition precedent to its validity,
      execute appropriate Deed(s) of Transfer, mutatis mutandis.

8.    I hereby agree that I shall have no rights of a shareholder or otherwise
      have any rights with respect to those Shares that have been repurchased,
      or if the Repurchaser is the Company, then with respect to the Shares that
      have reverted back to the Company, all in accordance with the provisions
      set forth above. Subject to the restrictions appearing in this
      undertaking, the Company's Articles of Association, or any other agreement
      to which I am a party, I reserve all rights of a shareholder of the
      Company with respect to those Shares that have not been repurchased or
      have not reverted back to the Company, as applicable.

9.    Notwithstanding anything to the contrary herein, upon the occurrence of
      any one of the following events prior to the end of the Term of Service
      and provided that until the occurrence of any such event I am an employee
      of the Company, the Shares shall no longer be subject to the
      repurchase/reversion provisions set forth above and the Repurchaser or the
      Company, as applicable, shall thereafter have no right to have such Shares
      revert back or transferred to it:

      9.1   upon the consummation of a merger of the Company into another entity
            where the Company is not the surviving entity of the merger
            transaction;

      9.2   upon the consummation of an acquisition of all or substantially all
            of the Company's assets;

      9.3   upon the consummation of an acquisition of all or substantially all
            of the Company's securities, except where the acquirer is at the
            time of such acquisition a 25% or more shareholder in the Company;

      9.4   upon my disability as such term is defined in the Employment
            Agreement;

      9.5   upon the consummation of the Company's initial public offering of
            its securities to the public; and

      9.6   upon Termination Without Cause; and

      9.7   upon my death.

10.   In connection with the deposit of the Deeds of Transfer with KH, both the
      Company and myself will execute a form of amended escrow agreement with
      KH, in the form attached to the Amendment as ANNEX 5 (the "AMENDED ESCROW
      AGREEMENT"). The Amended Escrow Agreement shall be executed simultaneously
      with the execution of this Amended Undertaking.

<PAGE>
                                       9

IN WITNESS WHEREOF, I have executed this amended undertaking as of the date
written above.

DR. SILVIA NOIMAN

   /s/ SILVIA NOIMAN
----------------------

Witness to Signature

Name: Liora Ben-Ari
      ----------------

Date: ____________________________

Signature: /s/ LIORA BEN-ARI
           -----------------------

We the undersigned, accept and acknowledge the terms of this Amended
Undertaking.

BIO-IT (BIO INFORMATION TECHNOLOGIES) LTD.

       /s/ CHEN SCHOR
---------------------------
By: Chen Schor
Title:

<PAGE>
                                       10

                                    EXHIBIT A

                           Deed of Transfer of Shares

I, Dr. Silvia Noiman, holder of Israeli identity card number
____________________ (the "TRANSFEROR") does hereby transfer to ___________,
holder of __________ (the "TRANSFEREE"), 15,000 Ordinary Shares of nominal value
NIS 0.01 each and as adjusted to an Adjustment Event (as such term is defined in
the Undertaking to which this deed constitutes an exhibit), of BIO-IT (BIO
INFORMATION TECHNOLOGIES) LTD. (the "COMPANY"), to be held by the Transferee,
its executors, administrators, and assigns, subject to the conditions on which
the Transferor held the shares at the time this document was signed, and the
Transferee agrees to accept the shares on these terms.

IN WITNESS WHEREOF we hereby sign on _____ of _______________, _______.

____________________________                    ____________________________
Dr. Silvia Noiman                               [Transferee]

Witness to signature:                           Witness to signature:

____________________________                    _____________________________
Name: ______________________                    Name: _______________________

<PAGE>
                                       11

                                                                         ANNEX 5

                            AMENDED ESCROW AGREEMENT

Entered into this 3 day of April, 2001 by and between K.H. TRUSTEES LTD., an
Israeli company whose address is 30 Kalisher Street, Tel-Aviv, Israel (the
"TRUSTEE"), BIO-IT (BIO INFORMATION TECHNOLOGIES) LTD., a company whose address
is Beit Shap, 3 Hayetzirah Street, Ramat Gan, Israel (the "COMPANY") and DR.
SILVIA NOIMAN, whose address is [ADDRESS] ("NOIMAN").

                                   WITNESSETH

WHEREAS the parties entered into an Escrow Agreement on October 31, 2000 (the
"ORIGINAL ESCROW AGREEMENT") in connection with an Employment Agreement of the
same date between Noiman and the Company (the "ORIGINAL EMPLOYMENT AGREEMENT");
and

WHEREAS Noiman and the Company entered into an Amendment to the Employment
Agreement (the "AMENDED EMPLOYMENT AGREEMENT") as the date of this Amended
Escrow Agreement and in connection with such Amendment, Noiman and the Company
intend that the Trustee hold certain deeds of transfer of shares in trust in
accordance with the terms and conditions set forth herein;

NOW THEREFORE, in consideration of the undertakings and premises herein, the
parties hereto hereby agree as follows:

1. GENERAL

The Original Escrow Agreement together with this Amended Escrow Agreement may be
referred to as the "ESCROW AGREEMENT". The Original Employment Agreement
together with the Amended Employment Agreement may be referred to as the
Employment Agreement. All terms not defined herein shall have the meanings
ascribed to them in the Amended Undertaking which constitutes an annex to the
Amended Employment Agreement (the "AMENDED UNDERTAKING") or the Employment
Agreement. Except as expressly set forth herein the Original Escrow Agreement
remains in full force and effect and is not amended, altered or modified.

SECTION 2 OF THE ORIGINAL ESCROW AGREEMENT SHALL BE REPLACED BY THE FOLLOWING:

2. ESCROW AND RELEASE FROM ESCROW

2.1 By execution of this Amended Escrow Agreement, the Company and Noiman, and
their respective successors and assigns, hereby irrevocably appoint the Trustee
to act in accordance with the provisions of the Escrow Agreement.

2.2 Simultaneously with the execution of this Amended Escrow Agreement, Trustee
shall deliver to Noiman two (2) Deeds of Transfer executed by Noiman in
connection with Sections 1(b) (for 120,000 Shares) and 1(c) (for 60,000 Shares)
of the original Undertaking (which was an exhibit to the Original Employment
Agreement) marked cancelled. Furthermore, simultaneously with the execution of
this Amended Escrow Agreement, Noiman shall execute eight (8) Deeds of Transfer
of shares (each for 15,000 Shares) in connection with Section 1(b) of the
Amended Undertaking. Immediately following their execution, Noiman shall deposit
these Deeds of Transfer with the

<PAGE>
                                       12

Trustee to be held in escrow until their release in accordance with the
provisions of the Amended Undertaking and this Amended Escrow Agreement.

2.3 (a) Upon the receipt of written notice from the Company of occurrence of any
one of the events described in Sections 1(a) through 1(c) of the Amended
Undertaking (the "COMPANY'S INSTRUCTIONS NOTICE") the Trustee shall, within
three (3) business days of such notice, send Noiman a copy of the Company's
Instructions Notice (the "TRUSTEE'S NOTICE"). Within four (4) business days from
the date of the Trustee's Notice, Noiman hereby irrevocably instructs the
Trustee to release to Company Deed(s) of Transfer as follows, unless prior to
the end of such 4 days' period Noiman provides the Trustee (with a copy to the
Company) of an appropriate injunctive order preventing such release, issued by a
court of competent jurisdiction:

                  (i) If said notice is issued in connection with Section 1(a)
            of the Amended Undertaking then the Trustee is hereby instructed to
            release to the Company all nine (9) Deeds of Transfer, for an
            aggregate of 180,000 Ordinary Shares of the Company (as adjusted to
            an Adjustment Event).

                  (ii) If said notice is issued in connection with Section 1(b)
            of the Amended Undertaking then the Trustee is hereby instructed to
            release to the Company such number of Deeds of Transfer,
            representing the number of three month periods remaining between the
            date of termination of employment and the fourth anniversary of the
            Effective Date of the Employment Agreement (each such Deed of
            Transfer for an aggregate of 15,000 Ordinary Shares of the Company
            (as adjusted to an Adjustment Event).

      (b) Unless the Deed(s) of Transfer have been released to the Company in
accordance with the provisions of the Undertaking or sub-section (a) above, the
Trustee may release the Deed(s) of Transfer to Noiman's possession in accordance
with the following provisions:

                  (i) Following the second anniversary of the Effective Date of
            the Employment Agreement, upon receipt of Noiman's written request
            accompanied by a letter of confirmation from the Company to the
            effect that Noiman was employed by the Company on such anniversary,
            the Trustee shall release to Noiman the first Deed of Transfer (for
            180,000 Shares as adjusted to an Adjustment Event).

                  (ii) Following the second anniversary of the Effective Date of
            the Employment Agreement, upon receipt of Noiman's written request
            accompanied by a letter of confirmation from the Company to the
            effect that Noiman was employed by the Company on such anniversary
            for a successive period of three (3) months or any successive three
            (3) month period thereafter (i.e., three (3), six (6), nine (9),
            twelve (12), fifteen (15), eighteen (18), twenty-one (21) and/or
            twenty-four (24) months after the second anniversary of the
            Effective Date of the Employment Agreement), KH shall release one
            (1) Deed of Transfer (for 15,000 Shares as adjusted to an Adjustment
            Event) for each such three month period to Noiman, as well as the
            such first Deed of Transfer (for 180,000 Shares as adjusted to an
            Adjustment Event), provided however, that Noiman did not previously
            request a release under sub-section (b)(i) above.

      (c) Upon receipt of a written request from Noiman accompanied by a written
confirmation from the Company to the effect that on the fourth anniversary of
the Effective Date of

<PAGE>
                                       13

the Employment Agreement Noiman was an employee of the Company, the Trustee
shall release all nine (9) Deeds of Transfer to Noiman's possession, provided
however, that Noiman did not previously request a release under sub-sections
(b)(i) and/or (b)(ii) above.

      (d) Upon receipt from Noiman of a written request accompanied by a written
confirmation from the Company to the effect that: (i) one of the events
described in Sections 9.1 through 9.6 of the Undertaking has occurred; and (ii)
that until the occurrence of any such event Noiman was an Employee of the
Company, the Trustee shall release to Noiman's possession any remaining Deeds of
Transfer not previously released.

      (e) Upon the written request of the executor of Noiman's estate
accompanied with: (i) a notarized copy of a death certificate issued upon
Noiman's death; and (ii) written confirmation from the Company to the effect
that until Noiman's death she was an employee of the Company, the Trustee shall
release to the possession of such executor any remaining Deeds of Transfer.

      (f) Noiman hereby acknowledges, upon receipt of notice from the Company
that an Adjustment Event has occurred during the term of this Escrow Agreement,
the Trustee shall be entitled to rely on such notice and that the Automatic
Adjustment mechanism shall become effective as to the number of Shares covered
by the Deed(s) of Transfer.

4. AMENDMENT OF SECTION 4.4 IN THE MISCELLANEOUS SECTION

Section 4.4 of the Original Escrow Agreement shall be amended as follows:

"4.4 This Escrow Agreement shall terminate under upon the release of all nine
(9) Deeds of Transfer to the Company or Noiman, as applicable, in accordance
with the provisions hereof.

5. COUNTERPARTS

This Amendment may be executed in one or more counterparts but all such separate
counterparts shall constitute but one and the same instrument; provided that,
although executed in counterparts, the executed signature pages of each such
counterparts may be affixed to a single copy of this Amendment as of the date
first above written.

IN WITNESS WHEREOF, the parties have executed this Amended Escrow Agreement as
of the date first above written.

K.H. TRUSTEES LTD.                    BIO-IT (BIO INFORMATION TECHNOLOGIES) LTD.

_______________________________       __________________________________________
By:                                   By:
Title:                                Title:

DR. SILVIA NOIMAN

___________________________

<PAGE>

                  BIO-I.T. (BIO INFORMATION TECHNOLOGIES) LTD.
                    SECOND AMENDMENT TO EMPLOYMENT AGREEMENT
                                      WITH
                                DR. SILVIA NOIMAN

SECOND AMENDMENT dated as of August 29, 2001, between Dr. SILVIA NOIMAN (the
"EMPLOYEE"), whose address is [ADDRESS], and BIO-I.T. (BIO INFORMATION
TECHNOLOGIES) LTD. (the "COMPANY"), a corporation incorporated under the laws of
the State of Israel, having its address at Beit Shap, 3 Hayetzirah Street, Ramat
Gan, Israel.

WITNESSETH

WHEREAS the parties entered into an employment agreement dated as of October 31,
2000 as amended by the Amended Employment Agreement dated April 3, 2001, a copy
of which is attached hereto as Annex A (the "Employment Agreement"); and

WHEREAS following the closing of the transactions contemplated in a Share
Purchase Agreement dated August 29, 2001 (the "2001 SHARE PURCHASE AGREEMENT")
by and between the Company, Orbimed, Yozma, Frank (as such terms are defined
thereunder) and the other shareholders of the Company, the parties desire to
amend certain provisions of the Employment Agreement, all in accordance with the
terms of this Second Amendment.

NOW THEREFORE, in consideration of the premises and mutual agreements
hereinafter contained, the parties hereto agree as follows:

1. Effect of Employment Agreement

Except as expressly set forth herein the Employment Agreement remains in full
force and effect and is not amended, altered or modified.

2. Section 4 is modified to provide as follows:

      "4(a) The Company shall pay Employee a salary payable monthly and in
accordance with Company's normal and reasonable payroll practices, in a yearly
gross amount of NIS 303,000 which, upon consummation of the closing of the 2001
Share Purchase Agreement, shall be increased and shall equal NIS 378,750 (the
"YEARLY GROSS SALARY"). This Yearly Gross Salary shall be payable over a period
of twelve months as of the month following the date of closing of the 2001 Share
Purchase Agreement, in equal monthly payments of NIS 31,562.5 each (the "MONTHLY
GROSS SALARY"). The Monthly Gross Salary is executive of amounts payable by
Company for the social benefits set forth in Sections 4(b), 4(c), 4(d) and 4(e)
and exclusive of the benefit in Section 5A below, for the duration of this
Agreement. The Monthly Gross Salary shall be linked to the Israeli Consumer
Price Index."

3. Section 4(e) is modified to provide as follows:

      3.1 After the words "determine the amount" and before the words "of any
      bonus", the words "and type" will be added.

<PAGE>

      3.2 After the words "when determining the amount" and before the words "of
      bonus to be paid hereunder", the words "and type" will be added.

4. Section 4(f) shall be added as follows:

      "4.(f) In the event that the Company effects a future financing round by
third party investors (i.e. by investors who are not shareholders of the Company
and/or Affiliates thereof) of at least USD$4,000,000 (net of expenses) in one
transaction, at a per share price of at least US $5.789, then Employee will be
granted options to purchase 11,240 Ordinary Shares of the Company immediately
prior to the closing of such next financing round at an exercise price of US
$3.859. Such options shall vest during a four years period (25% each year). The
number of shares into which such option is exercisable and/or the exercise price
of such option are subject to adjustments in the event of any debt financing
which involves the issuance and/or undertaking to issue any securities
convertible into shares of the Company, other than an Exempted Issuance, as
defined under the Company's Articles of Association, share split and/or reverse
split, issuance of bonus shares, reclassification and/or any similar events,
effected after consummation of the closing of the 2001 Share Purchase
Agreement."

5. Section 4(g) shall be added as follows:

      "4.(g) In the event that at any time during the Initial Term or the
Extended Term, as defined in the Employment Agreement, the Company consummates a
merger, consolidation or acquisition, sale, lease or other disposal of all or
substantially all of the Company's assets ("Sale"), the Company undertakes to
extend the Employee's employment with the Company (or any successor to the
Company or its assets) under the terms set forth in the Employment Agreement and
any amendments thereto, for a minimum of six months following such Sale or to
pay the Employee the equivalent of six (6) months compensation as provided for
in Sections 4(a) through 4(f) of the Employment Agreement as amended."

IN WITNESS WHEREOF, the parties have executed this Amendment as of the first
date written above.

            [THE REMAINDER OF THIS PAGE IS INTENTIONALLY LEFT BLANK]

<PAGE>

IN WITNESS WHEREOF, the parties have executed this Second Amendment to
Employment Agreement as of the date written above.

   /s/ HAIM AVIV
--------------------------------
Name:
Title:

   /s/ SILVIA NOIMAN
--------------------------------
DR. SILVIA NOIMAN

<PAGE>

                           PREDIX PHARMACEUTICALS LTD.
                     THIRD AMENDMENT TO EMPLOYMENT AGREEMENT
                                      WITH
                                DR. SILVIA NOIMAN

THIRD AMENDMENT dated as of May 12, 2003, between Dr. Silvia Noiman (the
"EMPLOYEE"), whose address is [ADDRESS], and Predix Pharmaceuticals Ltd. (the
"COMPANY"), a corporation incorporated under the laws of the State of Israel,
having its address at Beit Shap, 3 Hayetzirah Street, Ramat Gan, Israel.

                                   WITNESSETH

WHEREAS     the parties entered into an employment agreement dated as of October
            31, 2000, (the "EMPLOYMENT AGREEMENT") as amended by the Amended
            Employment Agreement dated April 3, 2001, (the "FIRST AMENDMENT")
            and by the Second Amendment to the Employment Agreement dated August
            29, 2001 (the "SECOND AMENDMENT"); and

WHEREAS     the Company is in need of additional funding and is contemplating
            receiving a bridge loan from certain of its shareholders (the
            "BRIDGE LOAN");

WHEREAS     the Lenders had conditioned the Bridge Loan by certain conditions,
            among which, the execution of this Third Amendment, NOW, THEREFORE,
            in consideration of the promises and mutual agreements hereinafter
            contained, the parties hereto agree as follows:

1.    The Employee hereby agrees to waive her rights under Section 4(f) which
      was added in the Second Amendment, and hence, said section is hereby
      canceled and of no further force and effect.

2.    Except as expressly set forth herein, the Employment Agreement, The
      Amended Employment Agreement and the Second Amendment remain in full force
      and effect.

IN WITNESS WHEREOF, the parties have executed this Third Amendment as of the
date written above.

    /s/ HAIM AVIV
-------------------------------------
PREDIX PHARMACEUTICALS LTD.
Name: Haim Aviv
Title:

    /s/ SILVIA NOIMAN
--------------------------------------
DR. SILVIA NOIMAN

<PAGE>

                           PREDIX PHARMACEUTICALS LTD.
                    FOURTH AMENDMENT TO EMPLOYMENT AGREEMENT
                                      WITH
                                DR. SILVIA NOIMAN

FOURTH AMENDMENT dated as of August 8, 2003, between Dr. Silvia Noiman (the
"EMPLOYEE"), whose address is [ADDRESS] and Predix Pharmaceuticals Ltd. (the
"COMPANY"), a corporation incorporated under the laws of the State of Israel,
having its address at Beit Shap, 3 Hayetzirah Street, Ramat Gan, Israel.

                                   WITNESSETH

WHEREAS     the parties entered into an employment agreement dated as of October
            31, 2000, (the "EMPLOYMENT AGREEMENT"), as amended by the Amended
            Employment Agreement, the Second Amendment to the Employment
            Agreement and by the Third Amendment to the Employment Agreement
            (jointly, the "AMENDMENTS"); and

WHEREAS     the Company's shareholders have entered into an agreement with
            Physiome Sciences Inc. ("PHYSIOME") whereby the Company is to become
            a fully owned subsidiary of Physiome, whose name will be changed to
            Predix Pharmaceuticals Holdings, Inc. (the "Parent") (the "M&A
            TRANSACTION"); and

WHEREAS     it has been agreed between the Company and the Employee that,
            subject to and contingent upon the closing of the M&A Transaction
            (the "CLOSING") and as of such Closing and until resolved otherwise
            by the Company's Board of Directors, certain terms and conditions of
            the Employee's employment with the Company shall be amended as set
            forth herein;

NOW, THEREFORE, in consideration of the promises and mutual agreements
hereinafter contained, the parties hereto agree as follows:

1.    Except as expressly set forth herein, the Employment Agreement and all
      Amendments thereto remain in full force and effect and is not amended,
      altered or modified.

2.    This Fourth Amendment will enter into full force and effect only subject
      to and upon the closing of the M&A Transaction (the "CLOSING"). In the
      event that the Closing does not occur by September 30th, 2003, then this
      Fourth Amendment shall automatically expire and shall have no further
      force and effect.

3.    Subject to and contingent upon the Closing and as of such Closing and
      until resolved otherwise by the Company's Board of Directors, the Employee
      shall serve as the General Manager of the Company, and Senior Vice
      President, Pipeline Management, reporting to the CEO of the Parent.

4.    As of the Closing and subject thereto, Section 3(a) of the Employment
      Agreement shall be modified, so that the prior written notice given by
      either in case of termination without cause

<PAGE>

      shall be extended to three (3) months. The same period will apply to
      Section 3(d) of the Employment Agreement.

5.    As of the Closing and subject thereto, Section 4(a) of the Employment
      Agreement shall be modified and replaced to provide as follows:

            "The Company shall pay Employee a salary payable monthly and in
            accordance with the Company's normal and reasonable payroll
            practices. At the Closing (and subject thereto), the July salary
            shall be increased from the amount of NIS 43,582 (the July salary)
            by an amount in NIS equal to $1,667 converted into NIS at the
            representative rate of exchange of the date of the Closing (the
            "MONTHLY GROSS SALARY"). The Monthly Gross Salary shall henceforward
            be in NIS and fully linked to the Israeli Consumer Price Index. The
            Monthly Gross Salary is exclusive of amounts payable by the Company
            for the social benefits set forth in Sections 4(b), 4(c) and 4(d)
            and 4(e) and exclusive of the benefit in Section 5A below, for the
            duration of this Agreement."

6.    Upon the Closing, the Employee will be entitled to receive $10,000 (ten
      thousand US Dollars) as a special one time bonus.

7.    The Employee will be eligible for a performance-based bonus on July 31,
      2004 (the "PERFORMANCE BONUS"). The base target amount for the performance
      Bonus is $25,000 (twenty five thousand US Dollars), assuming that all
      performance targets set by the Board and/or by the CEO are achieved
      however, any payment of bonus shall be entirely under the discretion of
      the Board, and subject to the recommendation of the CEO.

8.    In addition to the above, following the Closing, the Employee shall be
      entitled to receive shares and options under Appendix A of the Parent's
      2003 Stock Incentive Plan, adjusted for Israeli residents (the "PLAN")
      under all terms of the Plan and provided that the Employee executes the
      applicable Option Agreements and further complies with all the terms of
      the Plan, as follows:

      8.1 65,553 shares of Class A Common Stock of the Parent. These shares will
      be unrestricted.

      8.2 Option to purchase 339,114 shares of Class A Common Stock of the
      Parent, granted as follows:

            8.2.1 Option to purchase 109,884 shares of Class A Common Stock of
      the Parent, with a term of ten (10) years, at an exercise price of $0.10
      per share, fully vested at the Closing.

            8.2.2 Option to purchase 229,230 shares of Class A Common Stock of
      the Parent, with a term of ten (10) years, at an exercise price of $0.10
      per share, having the following vesting schedule:

                  -     57,307 shares vesting on July 31, 2004

                  -     57,307 shares vesting on July 31, 2005

                  -     57,307 shares vesting on July 31, 2006

                  -     57,309 shares vesting on July 31, 2007

<PAGE>

9.    Except as expressly set forth herein, the Employment Agreement and all
      Amendments thereto remain in full force and effect and is not amended,
      altered or modified.

IN WITNESS WHEREOF, the parties have executed this Fourth Amendment as of the
date written above.

     /s/ MICHAEL G. KAUFFMAN
-----------------------------------
PREDIX PHARMACEUTICALS LTD.
Name: Dr. Michael Kauffman
Title: President and CEO

     /s/ SILVIA NOIMAN
------------------------------------
DR. SILVIA NOIMAN

<PAGE>

Predix                                                 Michael Kauffman, MD, PhD
Pharmaceuticals                                                President and CEO

Silvia Noiman, PhD, MBA
General Manager, Israel
Senior Vice President
Pipeline Management

                                                                    18 June 2004

Dear Dr. Noiman,

This has been a truly transforming year for Predix. Despite much skepticism, we
successfully filed an IND, entered the clinic, and are near completion of our
second clinical trial. Although we had some delays in our second and third
programs - relative to our highly aggressive timelines - we are on track with at
least two more programs.

As a Founder of this Company, I am certain that you are very proud that the
technology that you, Oren and the team have created is demonstrating incredible
potential. And as the site leader in Israel, as well as in your role of "chief
biologist" in the Company, you have done a fantastic job guiding the
computational team and contributing to the success of the programs.

Below, you will find my review of your performance this year. Given your
continued excellent performance, generally exceeding expectations, on behalf of
the Board of Directors and the Compensation Committee, I am very pleased to
present you with a salary increase to $160,000 US annually, beginning on 1 July
2004. In addition, you will receive a one-time bonus of $25,000 US (100% of
target), payable to you once our Series C financing has closed. At that time,
additional stock options are likely to become available.

Many thanks for your superb contributions to the Company. I very much look
forward to the coming year and bringing additional drug candidates into clinical
trials, and to advancing our promising 5-HT1A candidate in depression and/or
anxiety.

Best Regards,

/s/ MICHAEL G. KAUFFMAN

Michael G. Kauffman

<PAGE>

Predix
Pharmaceuticals

                                                                    June 9, 2005

Silvia Noiman, PhD, MBA
[ADDRESS]

      RE:   Extension of Employment Agreement dated as of October 31, 2000, as
            amended in early 2001, August 29, 2001, May 12, 2003, August 11,
            2003 and June 18, 2004, between Silvia Noiman, PhD, MBA and Predix
            Pharmaceuticals Ltd. (collectively, the "Employment Agreement")

Dear Dr. Noiman:

      As you may be aware, the Initial Term of the Employment Agreement has
expired and we would like to memorialize our understanding as to your continued
employment with us. Therefore, it is our desire to extend the term of the
Employment Agreement until December 31, 2005 and for one or more additional
one-year periods until otherwise terminated by either party in accordance with
Section 3 of the Employment Agreement, including by either party without cause
on three (3) months prior written notice to the other party.

      To the extent that there are any conflicts between the terms of this
letter and the Employment Agreement, this letter will be deemed to have
superseded those of the Employment Agreement and shall govern the matter in
question.

      I would appreciate it if you would provide me with your approval of the
extension of the Employment Agreement as set forth above by signing and dating
this letter as indicated below at the earliest opportunity.

                                          Best regards,

                                          /s/ MICHAEL G. KAUFFMAN

                                          Michael G. Kaufman

The undersigned hereby acknowledges and agrees to the terms and conditions
above.

/s/ SILVIA NOIMAN                                     June 9, 2005
-------------------------------                       ------------
Silvia Noiman, PhD, MBA                               Date<PAGE>

                                                                   EXHIBIT 10.12

Confidential Information

[PREDIX PHARMACEUTICALS LOGO]    PREDIX PHARMACEUTICAL HOLDINGS, INC.
                                            10 K Gill Street
                                            Woburn, MA 01801
                                            Telephone: 781-376-0821

                                                                February 3, 2005

Kim Drapkin
[ADDRESS]

Telephone: [TELEPHONE]

Re: Employment Agreement

Dear Kim:

      This letter is to confirm our understanding with respect to your future
employment by Predix Pharmaceutical Holdings Inc. or its parent, subsidiaries or
affiliates (the "Company").

      1. Employment.

      The terms and conditions agreed to in this letter shall hereinafter be
referred to as the "Agreement." In consideration of the mutual promises and
covenants contained in this Agreement, and for other good and valuable
consideration, the receipt and sufficiency of which are hereby mutually
acknowledged, we have agreed as follows:

      2. Commencement Date. This offer stands open until February 11, 2005 for
the position of Vice President Finance, Chief Financial Officer reporting to me,
Michael Kauffman, CEO and President. Predix would like you to start no later
than February 22, 2005. Employee will be expected to work Monday through
Thursday at the Company Headquarters (in Woburn or other corporate designated
location). Employee will be expected to work on Fridays from a location which
she deems appropriate.

      3. Employment at Will. Your employment hereunder is terminable by either
party "at will." It is entirely voluntary for both parties and either you or the
Company may terminate the employment relationship at any time for any reason. No
provision of this Agreement shall be deemed to alter the "at will" nature of
this relationship.

      4. Compensation. Subject to your acceptance of the position offered to you
upon the terms and conditions herein, the Company will provide you with the
following compensation:

      (a) Salary. You shall be paid from the Company's payroll. For your
services hereunder you shall be paid a base salary of $165,000.00 per year,
which shall be paid in accordance with the Company's payroll practices as in
effect from time to time, less any amounts required to be withheld under
applicable law.

      (b) Sign-On Bonus. Signing Bonus - The Employee shall be entitled to a one
time gross signing bonus of thirty five thousand dollars ($35,000.00) payable in
the first paycheck after the Employment Start Date.

<PAGE>

Confidential Information

      (c) Bonus. You will be eligible to participate in the Company's bonus
program which is based on successful achievement of stated corporate goals. Your
targeted annual 2004-2005 bonus will be $40,000 prorated for time worked during
the corporate year.

      Notwithstanding anything contained herein to the contrary, all bonus
payments remain unearned until they become payable in accordance with the
Company's standard policies, practices and procedures. All bonus plans may be
amended, modified or terminated by the Company at any time.

      (e) Stock Options. Subject to the terms and conditions of the Predix
Pharmaceutical Holdings, Inc. Share Option Plan and the execution of an option
agreement executed pursuant thereto with the Employee, the Employee shall be
granted options to purchase 1,772,020 shares of the Company's stocks which will
be vested over four years. All stock option grants are contingent upon approval
by the Compensation Committee of the Company's Board of Directors. The exercise
price will be the fair market value of the stock. Notwithstanding the foregoing,
options shall not be exercisable for any Shares until the date that the Employee
has been employed by the Company for a period of one year.

      Additional option grants to purchase company stock may be considered
annually based upon your satisfaction of performance criteria to be mutually
agreed upon by you and the Company

      5. Employee Benefit Plans. Commencing on your Employment Date, the Company
shall provide the Employee with hospitalization, medical and dental insurance
options pursuant to terms determined by the Company and its insurer.

      6. Time Off. The Employee shall be entitled to twenty days of paid time
off for reasons determined by the employee during each calendar year. Five (5)
days of unused "when you need it" (WYN) time may be accrued and carried over
into the next year for an annual total not to exceed 25 days. The Employee shall
also be entitled to paid vacation on holidays recognized by the Company.

      7. No Conflicting Agreements. You hereby represent and warrant that you
have no commitments or obligations inconsistent with this Agreement and you
hereby agree to indemnify and hold the Company harmless against loss, damage,
liability or expense arising from any claim based upon circumstances alleged to
be inconsistent with such representation and warranty.

      8. Protected Information. As used in this Agreement, the term "Inventions"
means all ideas, discoveries, creations, manuscripts and properties,
innovations, improvements, know-how, inventions, designs, developments,
apparatus, techniques, methods, biological processes, cell lines, laboratory
notebooks and formulae, whether or not patentable or copyrightable, including
all rights to obtain, register, perfect and enforce these proprietary interests.
You shall at all times, both during and after any termination of this Agreement
by either you or the Company, maintain in confidence and shall not, without the
prior written consent of the Company, use, except in the course of performance
of your duties for the Company, disclose or give to others any fact or
information which was disclosed to or developed by you during the course of
performing services for, or receiving training from, the Company, and which is
not generally available to the public, including but not limited to information
and facts concerning business plans, customers, future customers, suppliers,
licensors, licensees, partners, investors, affiliates or others, training
methods and materials, financial information, sales prospects, client lists,
Inventions, or any other scientific, technical, trade or business secret or
confidential or proprietary information of the Company or of any third party
provided to you during the Term. In the event you are questioned by anyone not
employed by the Company or by an employee of or a consultant to the Company not
authorized to receive such information, in regard to any such information or any
other secret or confidential work of the Company, or concerning any fact or
circumstance relating thereto, you will promptly notify the president of the
Company.

<PAGE>

Confidential Information

      9. Prohibited Competition.

      (a) Certain Acknowledgments and Agreements.

            (i) You recognize and acknowledge the competitive and proprietary
nature of the Company's business operations. You acknowledge and agree that a
business will be deemed competitive with the Company if it engages in a line of
business in which it performs any of the services, conducts research, or
develops, manufactures or sells any products provided or offered by the Company
or under development by the Company, or any similar products or products
fulfilling the same function, whether or not similar, in the Field of Interest
(such business to be referred to as a "competitive business"). The term "Field
of Interest" currently means the field of diagnosis, prevention or treatment of
diseases or conditions in humans relating to central nervous system and
inflammation disorders. You further understand that the Company may expand the
definition of its Field of Interest at any time by action of its Board of
Directors, which new definition will be binding upon you ten (10) days after
written notice to you of such change.

            (ii) You further acknowledge and agree that during the course of
performing services for the Company, the Company will furnish, disclose or make
available to you confidential and proprietary information related to the
Company's business. You also acknowledge that such confidential information to
be provided by the Company has been developed and will be developed by the
Company through the expenditure by the Company of substantial time, effort and
money and that all such confidential information could be used by you or a
competitive business to compete with the Company.

      (b) Covenants Not to Compete. During the period in which you are employed
by the Company (the "Term") and for a period of two (2) years following the
expiration or termination of the Term, whether such termination is voluntary or
involuntary, you shall not, without the prior written consent of the Company:

            (i) for yourself or on behalf of any other person or entity,
directly or indirectly, either as principal, agent, stockholder, employee,
consultant, representative or in any other capacity, own, manage, operate or
control, or be concerned, connected or employed by, or otherwise associate in
any manner with, engage in or have a financial interest in any competitive
business anywhere in the world (the "Restricted Territory"), except that nothing
contained herein shall preclude you from purchasing or owning securities of any
such business if such securities are publicly traded, and provided that your
holdings do not exceed one (1 %) percent of the issued and outstanding
securities of any class of securities of such business; or

            (ii) either individually or on behalf of or through any third party,
solicit, divert or appropriate or attempt to solicit, divert or appropriate, for
the purpose of competing with the Company or any present or future parent,
subsidiary or other affiliate of the Company which is engaged in a similar
business as the Company, any customers or patrons of the Company, or any
prospective customers or patrons with respect to which the Company has developed
or made a sales presentation (or similar offering of services), located within
the Restricted Territory; or

            (iii) either individually or on behalf of or through any third
party, directly or indirectly, solicit, entice or persuade or attempt to
solicit, entice or persuade any other employees of or consultants to the Company
or any present or future parent, subsidiary or affiliate of the Company to leave
the services of the Company or any such parent, subsidiary or affiliate for any
reason.

      (c) Reasonableness of Restrictions. You further recognize and acknowledge
that (i) the types of employment which are prohibited by this Section 8 are
reasonable in relation to the skills which represent your principal salable
asset both to the Company and to your other prospective employers, and (ii) the
geographical scope of the provisions of this Section 8 is reasonable, legitimate
and fair to you in light of

<PAGE>

Confidential Information

the Company's need to market its services and sell its products worldwide in
order to have a sufficient customer base to make the Company's business
profitable and in light of the limited restrictions on the type of employment
prohibited herein compared to the types of employment for which you are
qualified to earn your livelihood.

      (d) Survival of Acknowledgments and Agreements. Your acknowledgments and
agreements set forth in this Section 8 shall survive the expiration or
termination of this Agreement and the termination of your employment with the
Company for any reason.

10. Ownership of Ideas, Copyrights and Patents.

      (a) Property of the Company. You agree that all inventions which you may
conceive, reduce to practice or develop during the Term (or, if based on or
related to any confidential or proprietary information of the Company, within
one (1) year after the termination of such employment), alone or in conjunction
with another, or others, whether during or out of regular business hours, and
whether at the request or upon the suggestion of the Company, or otherwise,
shall be the sole and exclusive property of the Company (the "Company
inventions"), that you will promptly disclose all such inventions to the
Company, and that you shall not publish any of the Company inventions without
the prior written consent of the Company. You hereby assign to the Company all
of your right, title and interest in and to all of the foregoing. You further
agree to use your best efforts to ensure that none of the Company Inventions
will violate or infringe upon any right, patent, copyright, trademark or right
of privacy, or constitute libel or slander against or violate any other rights
of any person, firm or corporation.

You have attached hereto as Schedule A (i) a list of all inventions in which you
have any right, title, or interest as of the date of your execution of this
Agreement ("Other inventions"), and (ii) a list of all Other inventions made,
conceived, or developed, in whole or in part, by you prior to the date of your
execution of this Agreement, and you represent that Schedule A is a complete and
accurate list of all Other inventions.

      (b) Cooperation. You agree that you will fully cooperate with the Company,
its attorneys and agents in the preparation and filing of all papers and other
documents as may be required to perfect the Company's rights in and to any of
such Company Inventions, including, but not limited to, performing all acts
deemed necessary or desirable by the Company (both during and after your
employment with the Company) and joining in any proceeding to obtain letters
patent, copyrights, trademarks or other legal rights of the United States and of
any and all other countries on such Company Inventions; provided, that, the
Company will bear the expense of all such proceedings. You hereby agree that any
patent or other legal right covering any Company Invention issued to you
personally, shall be assigned by you to the Company without charge by you.

      (c) Works Made For Hire. Without limiting the foregoing, you further
acknowledge that all original works of authorship made by you, whether alone or
jointly with others within the scope of your employment with the Company and
which are protectable by copyright are "works made for hire" within the meaning
of the United States Copyright Act, 17 U.S.C. Section 101, as amended, the
copyright of which shall be owned solely, completely and exclusively by the
Company. If any Company invention is considered to be work not included in the
categories of work covered by the United States Copyright Act, 17 U.S.C. Section
101, as amended, such work shall be owned solely by, or hereby assigned or
transferred completely and exclusively to, the Company.

<PAGE>

Confidential Information

      11. Disclosure to Future Employers. You agree that you will provide, and
that the Company may similarly provide in its discretion, a copy of the
covenants contained in Sections 8, 9 and 10 of this Agreement to any business or
enterprise which you may directly, or indirectly, own, manage, operate, finance,
join, control or in which you participate through the ownership, management,
operation, financing, or control, or with which you may be connected as an
officer, director, employee, partner, principal, agent, representative,
consultant or otherwise.

      12. Representations Regarding Prior Work and Legal Obligations.

      (a) You represent that you have no agreement or other legal obligation
with any prior employer or any other person or entity that restricts your
ability to engage in employment discussions with, employment with, or to perform
any function for the Company.

      (b) You represent that you have been advised by the Company that at no
time should you divulge to or use for the benefit of the Company any trade
secret or confidential or proprietary information of any previous employer. You
acknowledge that you have not divulged or used any such information for the
benefit of the Company.

      (c) You represent that you have not and will not misappropriate any Other
Invention that you played any part in creating while working for any former
employer.

      (d) You acknowledge that the Company is basing important business
decisions on these representations, and affirm that all of the statements
included herein are true.

      13. Records. Upon termination of your relationship with the Company, you
shall deliver to the Company any property of the Company which may be in your
possession including products, materials, memoranda, notes, records, reports,
writings, drawings, diskettes, models and other materials or other documents or
photocopies of the same in any tangible form whatsoever constituting
confidential or proprietary information of the Company, and any of the foregoing
in intangible form.

      14. General.

      (a) Notices. All notices, requests, consents and other communications
hereunder shall be in writing, shall be addressed to the receiving party's
address set forth below or to such other address as a party may designate by
notice hereunder, and shall be either (i) delivered by hand, (ii) made by telex,
telecopy or facsimile transmission, (iii) sent by overnight courier, or (iv)
sent by registered mail, return receipt requested, postage prepaid.

      If to the Company:    Predix Pharmaceutical Holdings, Inc.
                            10 K Gill Street
                            Woburn, MA 01801
                            Attention: President & CEO
                            Telephone: 781.376.0821
                            Facsimile: 781.376.0822

      If to you:            To the address set forth on the signature page
                            of this Agreement.

<PAGE>

Confidential Information

      All notices, requests, consents and other communications hereunder shall
be deemed to have been given either (i) if by hand, at the time of the delivery
thereof to the receiving party at the address of such party set forth above,
(ii) if made by telex, te1ecopy or facsimile transmission, at the time that
receipt thereof has been acknowledged by electronic confirmation or otherwise,
(iii) if sent by overnight courier, on the next business day following the day
such notice is delivered to the courier service, or (iv) if sent by registered
mail, on the fifth business day following the day such mailing is made.

      (b) Entire Agreement. This Agreement embodies the entire agreement and
understanding between the parties hereto with respect to the subject matter
hereof and supersedes all prior oral or written agreements and understandings
relating to the subject matter hereof. No statement, representation, warranty,
covenant or agreement of any kind not expressly set forth in this Agreement
shall affect, or be used to interpret, change or restrict, the express terms and
provisions of this Agreement.

      (c) Modifications and Amendments. The terms and provisions of this
Agreement may be modified or amended only by written agreement executed by the
parties hereto.

      (d) Waivers and Consents. The terms and provisions of this Agreement may
be waived, or consent for the departure there for granted, only by written
document executed by the party entitled to the benefits of such terms or
provisions. No such waiver or consent shall be deemed to be or shall constitute
a waiver or consent with respect to any other terms or provisions of this
Agreement, whether or not similar. Each such waiver or consent shall be
effective only in the specific instance and for the purpose for which it was
given, and shall not constitute a continuing waiver or consent.

      (e) Assignment. The Company may assign its rights and obligations
hereunder to any person or entity that succeeds to all or substantially all of
the Company's business or that aspect of the Company's business in which you are
principally involved. Your rights and obligations under this Agreement may not
be assigned by you without the prior written consent of the Company.

      (f) Benefit. All statements, representations, warranties, covenants and
agreements of this Agreement shall be binding on the parties hereto and shall
inure to the benefit of the respective successors and permitted assigns of each
party hereto. Nothing in this Agreement shall be construed to create any rights
or obligations except between the parties hereto, and no person or entity shall
be regarded as a third-party beneficiary of this Agreement, other than any
future parent, subsidiary or affiliate of the Company.

      (g) Governing Law. This Agreement and the rights and obligations of the
parties hereunder shall be construed in accordance with and governed by the law
of the Commonwealth of Massachusetts, without giving effect to the conflict of
law principles thereof.

      (h) Jurisdiction and Service of Process. Any legal action or proceeding
with respect to this Agreement may be brought solely in the courts of the
Commonwealth of Massachusetts or of the United States of America for the
District of Massachusetts. By execution and delivery of this Agreement, each of
the parties hereto accepts for itself and in respect of its property, generally
and unconditionally, the jurisdiction of the aforesaid courts. Each of the
parties hereto irrevocably consents to the service of process of any of the
aforementioned courts in any such action or proceeding by the mailing of copies
thereof by certified mail, postage prepaid, to the party at its address set
forth in Section 13(a) hereof.

<PAGE>

Confidential Information

      (i) Severability. The parties intend this Agreement to be enforced as
written. However, (i) if any portion or provision of this Agreement shall to any
extent be declared illegal or unenforceable by a duly authorized court having
jurisdiction, then the remainder of this Agreement, or the application of such
portion or provision in circumstances other than those as to which it is so
declared illegal or unenforceable, shall not be affected thereby, and each
portion and provision of this Agreement shall be valid and enforceable to the
fullest extent permitted by law; and (ii) if any provision, or part thereof, is
held to be unenforceable because of the duration of such provision or the
geographic area covered thereby, the Company and you agree that the court making
such determination shall have the power to reduce the duration and/or geographic
area of such provision, and/or to delete specific words and phrases
("blue-penciling"), and in its reduced or blue-penciled form such provision
shall then be enforceable and shall be enforced.

      (j) Headings and Captions. The headings and captions of the various
subdivisions of this Agreement are for convenience of reference only and shall
in no way modify, or affect the meaning or construction of any of the terms or
provisions hereof.

      (k) Injunctive Relief. You hereby expressly acknowledge that any breach or
threatened breach of any of the terms and/or conditions set forth in this
Agreement will result in substantial, continuing and irreparable injury to the
Company. Therefore, you hereby agree that, in addition to any other remedy that
may be available to the Company, the Company shall be entitled to injunctive or
other equitable relief by a court of appropriate jurisdiction in the event of
any breach or threatened breach of the terms or conditions of this Agreement.
The seeking of such injunction or order shall not affect the Company's right to
seek and obtain damages or other equitable relief on account of any such actual
or threatened breach. Nothing in this paragraph shall be construed to limit the
remedies for any actual or threatened breach that would otherwise be available
to the Company.

      (l) No Waiver of Rights, Powers and Remedies. No failure or delay by a
party hereto in exercising any right, power or remedy under this Agreement, and
no course of dealing between the parties hereto, shall operate as a waiver of
any such right, power or remedy of the party. No single or partial exercise of
any right, power or remedy under this Agreement by a party hereto, nor any
abandonment or discontinuance of steps to enforce any such right, power or
remedy, shall preclude such party from any other or further exercise thereof or
the exercise of any other right, power or remedy hereunder. The election of any
remedy by a party hereto shall not constitute a waiver of the right of such
party to pursue other available remedies. No notice to or demand on a party not
expressly required under this Agreement shall entitle the party receiving such
notice or demand to any other or further notice or demand in similar or other
circumstances or constitute a waiver of the rights of the party giving such
notice or demand to any other or further action in any circumstances without
such notice or demand.

      (m) Counterparts. This Agreement may be executed in one or more
counterparts, and by different parties hereto on separate counterparts, each of
which shall be deemed an original, but all of which together shall constitute
one and the same instrument.

<PAGE>

Confidential Information

Yours very truly,

PREDIX PHARMACEUTICAL HOLDINGS, INC.

/s/ MICHAEL G. KAUFFMAN
----------------------------
Michael G. Kauffman, M.D., Ph.D.
President and CEO

February 8, 2005
----------------
Date

ACCEPTED:

/s/ KIM DRAPKIN
----------------------------
Kim Drapkin

February 5, 2005
----------------
Date

ADDRESS:
[ADDRESS]
Telephone: [TELEPHONE]

- Please sign both originals, keep one copy for your files and return a copy to
       Chris Wang at Predix Pharmaceuticals along with completed form, F-CHR002.

- Employment Eligibility Documentation (I-9) must be presented to Chris Wang on
       the first day of employment

Enclosure: Form F-CHR002
<PAGE>

                                   SCHEDULE A

                                   INVENTIONS
<PAGE>

                               FIRST AMENDMENT TO

                EMPLOYMENT AGREEMENT DATED AS OF FEBRUARY 3, 2005

                                 BY AND BETWEEN

                      PREDIX PHARMACEUTICALS HOLDINGS, INC.

                                       AND

                                   KIM DRAPKIN

This first amendment to the Employment Agreement is executed on the 18th day of
May, 2005, by and between Predix Pharmaceuticals Holdings, Inc. (the Company),
having principal place of business at 10K Gill Street, Woburn, MA 01801 and Kim
Drapkin (Employee), [ADDRESS].

The Employment Agreement shall be amended to replace "Section 3. Employment at
Will" in its entirety with the following:

3. Employment at Will. Your employment with the Company is "at-will", which
means either you or the Company may terminate the employment relationship at any
time, for any or no reason, with or without advance notice. No individual or
representative of the Company can change this at-will relationship absent a
specific, written contract signed by the Company's President. In addition, no
provision of this Agreement shall be deemed to alter the "at will" nature of
this relationship.

      (a) Severance Benefits. In the event, however, that your employment is
terminated by the Company without "Cause", the Company will provide you with the
following:

            (i) six (6) months' salary continuation (the "Salary Continuation
Period") at your then current base salary, which shall be paid in accordance
with the Company's normal payroll practices then in effect and shall be subject
to all applicable federal, state and local withholding, payroll and other taxes;

            (ii) continued participation in the Company's hospitalization,
medical and dental insurance programs for the duration of the Salary
Continuation Period;

            (iii) any earned bonuses that become due and payable during the
Salary Continuation Period, pursuant to the Company's standard policies,
practices and procedures governing to the payment of such bonuses; and

<PAGE>

      (c) Definition of "Cause". For purposes of this Agreement, termination by
the Company shall constitute a termination for "Cause," if such termination is
made for any one of the following reasons:

            (i) the failure or refusal by you to render services to the Company
in accordance with your obligations under this Agreement or a determination by
the Company that you have inadequately performed the duties of your employment;

            (ii) disloyalty, gross negligence, dishonesty, breach of fiduciary
duty or breach of the terms of this Agreement or other agreements executed in
connection herewith;

            (iii) the commission by you of an act of fraud, embezzlement or
deliberate disregard of the rules or policies of the Company or the commission
by you of any other action which materially injures the Company;

            (iv) acts which would tend to generate adverse publicity toward the
Company;

            (v) the conviction, or plea of nolo contendre, by you of a felony;
or

            (vi) the commission of an act which constitutes unfair competition
with the Company or which induces any customer or client of the Company to
breach a contract with the Company.

In the event of a termination for "Cause" pursuant to the provisions of clauses
(i) through (vi) above, inclusive, you shall be entitled to no payments, salary
continuation, benefits continuation, severance or other benefits, except for
earned but unpaid base salary to the extent such base salary has accrued through
your termination date.

All other terms and conditions of the Employment Agreement remains the same.

<PAGE>

IN WITNESS WHEREOF, the Company and Employee have each caused this Amendment to
be duly executed in their respective names.

The Company:                           Employee:

PREDIX PHARMACEUTICALS HOLDINGS, INC.      KIM DRAPKIN

By: /s/ MICHAEL G. KAUFFMAN                By: /s/ KIM DRAPKIN
    ---------------------------------          -----------------------------

Title: Chief Executive Officer             Title: Chief Financial Officer

Date: June 1, 2005                         Date: May 25, 2005

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