Document:

EX-10.26

 Exhibit 10.26 

POPLAR PROPERTIES LTD., 
 by
its duly authorized agent, Triovest Realty Advisors (B.C.) Inc. 
 (Landlord) 

- and - 
 ZYMEWORKS INC.

 (Tenant) 
 LEASE OF
OFFICE SPACE 
 BUILDING: 1385 WEST 8TH AVENUE, VANCOUVER, BC 

 LEASE OF OFFICE SPACE 

TABLE OF CONTENTS 
  

					
	 ARTICLE 1 – BASIC TERMS, SPECIAL PROVISIONS, DEFINITIONS AND SCHEDULES
	 	 	1	  
		
	 ARTICLE 2 – GRANT OF LEASE
	 	 	4	  
		
	 ARTICLE 3 – TERM AND POSSESSION
	 	 	5	  
		
	 ARTICLE 4 – RENT AND OCCUPANCY COSTS
	 	 	5	  
		
	 ARTICLE 5 – TAXES
	 	 	7	  
		
	 ARTICLE 6 – ADDITIONAL CHARGES
	 	 	7	  
		
	 ARTICLE 7 – USE OF PREMISES
	 	 	8	  
		
	 ARTICLE 8 – SERVICES, MAINTENANCE, REPAIR AND ALTERATIONS BY LANDLORD
	 	 	8	  
		
	 ARTICLE 9 – MAINTENANCE, REPAIR, ALTERATIONS AND IMPROVEMENTS BY TENANT
	 	 	10	  
		
	 ARTICLE 10 – INSURANCE
	 	 	13	  
		
	 ARTICLE 11 - INDEMNITY
	 	 	14	  
		
	 ARTICLE 12 – ASSIGNMENT AND SUBLETTING
	 	 	15	  
		
	 ARTICLE 13 – SURRENDER
	 	 	17	  
		
	 ARTICLE 14 – HOLDING OVER
	 	 	18	  
		
	 ARTICLE 15 – RULES AND REGULATIONS
	 	 	18	  
		
	 ARTICLE 16 – EXPROPRIATION
	 	 	18	  
		
	 ARTICLE 17 – DAMAGE BY FIRE OR OTHER CASUALTY
	 	 	19	  
		
	 ARTICLE 18 – TRANSFERS BY LANDLORD
	 	 	20	  
		
	 ARTICLE 19 – NOTICES, ACKNOWLEDGEMENTS, AUTHORITIES FOR ACTION
	 	 	20	  
		
	 ARTICLE 20 – DEFAULT
	 	 	21	  
		
	 ARTICLE 21 – HAZARDOUS SUBSTANCES
	 	 	24	  
		
	 ARTICLE 22 – MISCELLANEOUS
	 	 	25	  

 SCHEDULE A – FLOOR PLAN 

SCHEDULE B – LEGAL DESCRIPTION 
 SCHEDULE C – OCCUPANCY
COSTS 
 SCHEDULE D – RULES AND REGULATIONS 
 SCHEDULE E
– TENANT IMPROVEMENT GUIDELINES 
 SCHEDULE F – LANDLORD’S WORK AND TENANT’S WORK 

SCHEDULE G – SPECIAL PROVISIONS 

 LEASE OF OFFICE SPACE 

This Lease made as of the 6th day of April, 2015, 

BETWEEN: 
 POPLAR PROPERTIES LTD., 

by its duly authorized agent, Triovest Realty Advisors (B.C.) Inc. 

(the “Landlord”) 
 and
 
 ZYMEWORKS INC.  

(the “Tenant”) 
 IN CONSIDERATION
of the mutual covenants hereinafter contained, the Landlord and the Tenant hereby agree as follows: 
 ARTICLE 1 – BASIC TERMS, SPECIAL
PROVISIONS, DEFINITIONS AND SCHEDULES 
  

	1.1	The basic terms of this Lease are: 

  

					
	(a)	  	Premises:	  	Suites 510/520, 540, 585 (all such suites to be collectively designated as “Suite 540” as of the Commencement Date and hereinafter referred to as “Suite 540”) and Suite 610, all located at 1385 West 8th Avenue, Vancouver, BC
			
	(b)	  	Rentable Area of Premises:	  	15,888 square feet (comprised of 12,557 square feet in Suite 540 and 3,331 square feet in Suite 610, subject to Section 4.2)
			
	(c)	  	Term:	  	Five years commencing on the Commencement Date and ending on the Expiry Date
			
	(d)	  	Commencement Date:	  	September 1, 2015
			
	(e)	  	Expiry Date:	  	August 31, 2020
			
	(f)	  	Base Rent:	  	

 
 

					
	 Period
	  	Per Sq. Ft. Per Annum	 
	 1-2
	  	$	25.00	  
	 3-5
	  	$	27.00	  

 
 

					
	(g)	  	Permitted Use:	  	General office use
			
	(h)	  	Deposits:	  	$Nil (“Prepaid Rent Deposit”); and
			
		  		  	$85,477.24 (“Security Deposit”)
			
	(i)	  	Extended Term:	  	One option to extend for five years [see Schedule G, clause 5]
			
	(j)	  	Parking:	  	Eighteen permits [see Schedule G, clause 3]
			
	(k)	  	Addresses for Notices:	  	

  

							
		  	 Tenant:
	  		  	
		  		  	Address:	  	540 – 1385 West 8th Avenue
		  		  		  	Vancouver, BC V6H 3V9
		  		  	Facsimile Number:	  	604-737-7077
				
		  	 Landlord:
	  		  	
		  		  	Address:	  	c/o Triovest Realty Advisors (B.C.) Inc.
		  		  		  	600 - 789 West Pender Street
		  		  		  	Vancouver, B.C. V6C 1H2
		  		  	Attention:	  	Property Manager and
		  		  		  	VP, Property Management
		  		  	Facsimile number:	  	604-684-9122

  

					
	 (I)
	  	 Special Provisions:
	  	 See Schedule G

  
 -1- 

 The Landlord and the Tenant agree to the foregoing basic terms. Each reference in this Lease to
any of the basic terms shall be construed to include the provisions set forth above as well as all of the additional terms and conditions of the applicable articles and sections of this Lease where such basic terms are more fully set forth. 

DEFINITIONS 
  

	1.2	In this Lease: 

  

	 	(a)	“Administration Fee” means the amount payable by the Tenant to the Landlord as determined in accordance with Section 6.1; 

 

	 	(b)	“Architect” means such firm of professional architects, engineers, surveyors, space planners and interior designers as the Landlord may select from time to time engaged for preparation of construction drawings
for the Building, space planning, or for general supervision of architectural and engineering aspects and operations thereof or for the measurement of the Building or part(s) thereof and includes any consultant(s) from time to time appointed by the
Landlord or Architect whenever such consultant(s) is acting within the scope of their appointment and specialty; 

  

	 	(c)	“Article” means an article of this Lease and “Section” means a section of this Lease; 

  

	 	(d)	“Base Rent” means the amount payable by the Tenant to the Landlord as set forth in Section 1.1(f) in respect of each year of the Term or any portion thereof in accordance with Sections 4.1 and 4.5;

  

	 	(e)	“Building” means the building municipally located at 1385 West 8th Avenue, Vancouver, BC in which the Premises are located and which is
situate on the Lands; 

  

	 	(f)	“Capital Tax” means an amount allocated by the Landlord to the Building in respect of taxes, rates, duties and assessments presently or hereafter levied, rated, charged or assessed from time to time upon the
Landlord and payable by the Landlord (or any corporation acting on behalf of the Landlord) on account of the capital that the Landlord has invested in the Building. Capital Tax shall be allocated: 

 

	 	i)	as if the amount of such tax were that amount due if the Building were the only property of the Landlord; and 

  

	 	ii)	on the basis of the Landlord’s determination of the amount of capital attributable to the Building. 

Capital Tax also means the amount of any capital, sales or place of business tax levied by any government or other applicable taxing authority
against the Landlord with respect to the Building whether known as Capital Tax or by any other name. 
  

	 	(g)	“Commencement Date” means the date set forth in Section 1.1(d); 

  

	 	(h)	“Common Areas” means at any time those portions of the Lands and Building which are not designated or intended by the Landlord to be leased to tenants of the Building and are provided or designated by the
Landlord from time to time to be used in common in such manner as the Landlord may permit, by the Landlord, the Tenant, and other tenants (or by sublessees, agents, employees, customers or licensees) of the Building, whether or not the same are open
to the general public, and shall include any areas used by the Landlord for the maintenance of the Building, electrical and mechanical rooms, building services and facilities, fixtures, chattels, building systems, décor, signs, facilities, or
landscaping contained therein or maintained or used in connection therewith, common parking lots, common entrances, interior malls, common corridors, stairways, passageways, sidewalks, exterior pedestrian walks, roofs, driveways, parking areas,
common loading and service areas, disposal and recycling facilities, truck ways, platforms, ramps, garden and landscaped areas and all other common, public or tenant conveniences or appurtenances thereto located on the Lands not installed for the
exclusive use of any individual tenant and shall be deemed to include any public facility in respect of which the Landlord is from time to time subject to obligations in its capacity as owner of the Lands and/or Building. All expenses incurred by
the Landlord in the maintenance, management and operation of Common Areas shall be included in the definition of “Operating Expenses” set forth in Schedule C attached hereto; 

 

	 	(i)	“Environmental Claim” means all claims, losses, costs, expenses, fines, penalties, payments and/or damages (including, without limitation, all solicitors’ fees on a solicitor and client basis) relating
to, arising out of, resulting from or in any way connected with the presence of any Hazardous Substance at the Premises, the Lands or the Building, including, without limitation, all costs and expenses of any investigation, remediation, restoration
or monitoring of the Premises, the Lands, or the Building and/or any property adjoining or in the vicinity of the said Lands or the Building required or mandated by Environmental Law; 

  
 -2- 

	 	(j)	“Environmental Law” means any law, bylaw, order, ordinance, ruling, regulation, certificate, approval, policy, guideline, consent or directive of any applicable federal, provincial or municipal government,
governmental department, agency or regulatory authority or any Court of competent jurisdiction, as well as any common law obligations or requirements, relating to environmental or health and safety matters and/or regulating the generation, import,
storage, distribution, labelling, sale, use, handling, transport or disposal of any Hazardous Substance which may be in force from time to time; 

  

	 	(k)	“Expiry Date” means the date set forth in Section 1.1(e); 

  

	 	(I)	“Fiscal Year” means a twelve month period (all or part of which falls within the Term) from time to time determined by the Landlord, at the end of which the Landlord’s accounting records in respect of the
Building are balanced for auditing or taxation purposes; 

  

	 	(m)	“Force Majeure” means any Act of God, strike, lockout, or other industrial disturbance, act of the Queen’s enemies, sabotage, terrorism, war, blockade, insurrection, riot, epidemic, lightning, earthquake,
flood, storm, fire, washout, power shortages, nuclear and radiation activity or fallout, arrest and restraint of rules and people, civil disturbance, explosion, breakage of or accident to machinery or stoppage thereof for necessary maintenance or
repairs, inability to obtain labour, materials or equipment, any legislative, administrative or judicial action which has been resisted in good faith by all reasonable legal means, any act, omission or event, whether of the kind herein enumerated or
otherwise not within the control of the affected party, and which, by the exercise of due diligence such party could not have prevented, but lack of funds on the part of such party shall be deemed not to constitute force majeure; 

 

	 	(n)	“Hazardous Substance” means: 

  

	 	i)	any material or substance declared or deemed to be hazardous, deleterious, caustic, dangerous, a dangerous good, toxic, a contaminant, a waste, a source of contaminant, a pollutant or toxic under any Environmental Law;

  

	 	ii)	any solid, liquid, gas or odor or combination of any of them that, if emitted into the air, would create or contribute to the creation of a condition of the air that: 

 

	 	A.	endangers the health, safety or welfare of persons or the health of animal life; 

  

	 	B.	interferes with normal enjoyment of life or property; or 

  

	 	C.	causes damage to plant life or to property; and 

  

	 	iii)	any substance which is hazardous to the environment, including persons or property and includes, without limiting the generality of the foregoing, the following: 

 

	 	A.	radioactive materials; 

  

	 	B.	explosives; 

  

	 	C.	any substance that, if added to any water, would degrade or alter or form part of a process of degradation or alteration of the quality of that water to the extent that it is detrimental to its use by man or by any
animal, fish or plant; 

  

	 	(o)	“Landlord’s Work” means finishing the Premises in a manner and in colours standard to the Building but only to the extent set forth in Schedule F attached hereto; 

 

	 	(p)	“Lands” means the lands described in Schedule B attached hereto and the buildings, improvements, equipment and facilities erected thereon or situate therein from time to time, including without limitation, the
Building; 

  

	 	(q)	“Lease” means this Lease, any schedules and riders attached hereto, and every properly executed instrument which by its terms amends, modifies or supplements this Lease; 

 

	 	(r)	“Lease Year” means successive 12-month periods with the first Lease Year commencing on the Commencement Date and succeeding Lease Years commencing on each anniversary of such date; 

 

	 	(s)	“Leasehold Improvements” means all fixtures, improvements, installations, alterations and additions from time to time made, erected or installed by, for or on behalf of the Tenant or any previous occupant of
the Premises in, on, to, for or which serve, the Premises, including all partitions and hardware however affixed, and whether or not movable, all mechanical, electrical and utility installations and all carpeting and drapes, with the exception only
of furniture and equipment not of the nature of a fixture; 

  

	 	(t)	“Normal Business Hours” means the business hours set forth in the Rules and Regulations in Schedule D attached hereto; 

  

	 	(u)	“Occupancy Costs” means amounts payable by the Tenant to the Landlord under Section 4.3 and defined in Schedule C attached hereto; 

 

	 	(v)	“Permitted Use” means the use described in Section 1.1(g) and in accordance with Section 7.1; 

  
 -3- 

	 	(w)	“Premises” means those premises identified in Section 1.1(a) and shown on the plan attached hereto as Schedule A; 

  

	 	(x)	“Proportionate Share” means a fraction which has as its numerator the Rentable Area of the Premises and which has as its denominator the Rentable Area of the Building; 

 

	 	(y)	“Rent” means the aggregate of all amounts payable by the Tenant to the Landlord under this Lease; 

  

	 	(z)	“Rentable Area” of the Premises, the Building or any portion thereof means the area of the Premises, the Building or any portion thereof, as applicable, measured in accordance with the BOMA standard method of
floor measurement for office buildings currently ANSI/BOMA Z65.1-1996, as revised from time to time; 

  

	 	(aa)	“Tenant’s Work” means all work other than the Landlord’s Work required to be done to complete the Premises for occupancy by the Tenant, as set forth in Schedule F attached hereto, or from time to
time to alter the existing Leasehold Improvements and completed in a first class manner and in accordance with base building standards and the Landlord’s design for the Building; 

 

	 	(bb)	“Term” means the period of time set out in Section 1.1(c) and Section 3.1; 

  

	 	(cc)	“Transfer” means those occurrences as set forth in Section 12.1; and 

  

	 	(dd)	“Utilities” means electricity, oil, gas, power, telephone, water, and all other utilities. 

  

	1.3	Schedules: The following schedules are attached to this Lease and are incorporated as part of this Lease by reference thereto: 

Schedule A – “Floor Plan” 

Schedule B – “Legal Description” 

Schedule C – “Occupancy Costs” 

Schedule D – “Rules and Regulations” 

Schedule E – “Tenant Improvement Guidelines” 

Schedule F – “Landlord’s Work and Tenant’s Work” 

Schedule G – “Special Provisions” 

ARTICLE 2 – GRANT OF LEASE 
  

	2.1	Grant: In consideration of the rents, covenants and agreements hereinafter reserved and contained on the part of the Tenant to be paid, observed and performed, the Landlord hereby demises and leases the Premises
to the Tenant, and the Tenant hereby leases and accepts the Premises from the Landlord, to have and to hold during the Term, subject to the terms and conditions of this Lease. 

 

	2.2	Quiet Enjoyment: The Landlord covenants to provide the Tenant with quiet enjoyment and possession of the Premises during the Term, subject to the terms and conditions of this Lease. 

 

	2.3	Covenants of Landlord and Tenant: The Landlord covenants to observe and perform all of the terms and conditions to be observed and performed by the Landlord under this Lease including the terms and conditions
contained in the Schedules hereto. The Tenant covenants to pay the Rent when due under this Lease, and to observe and perform all of the terms and conditions to be observed and performed by the Tenant under this Lease including the terms and
conditions contained in the Schedules hereto. 

  

	2.4	Use of Common Areas: The Tenant shall have the right (in common with others entitled thereto) to the use of the Common Areas designated from time to time by the Landlord for use by tenants of the Building,
provided that the Landlord shall have the right to make all such changes, improvements, alterations and additions as the Landlord may, from time to time decide in respect of the Common Areas, including, without limitation, the right to change the
location and layout of any parking areas. The use of all Common Areas shall be subject to the provisions of this Lease and to the rules and regulations made by the Landlord with respect thereto from time to time. 

 

	2.5	Net Lease: The Tenant acknowledges and agrees that the Base Rent payable under this Lease is absolutely net to the Landlord and (except as otherwise expressly provided herein) that: 

 

	 	(a)	the Landlord is not responsible for any costs, charges, expenses or outlays of any nature whatsoever arising from or relating to the Premises, or the use or occupancy thereof, or the contents thereof, or the business
carried on therein; 

  

	 	(b)	the Tenant shall pay all costs, charges, expenses and outlays of every nature whatsoever arising from or relating to the Premises or the use or occupancy thereof, or the contents thereof, or the business carried on
therein; and 

  

	 	(c)	the Landlord shall not be called upon, nor shall the Landlord be obligated, to perform any work on or to the Premises or to correct any condition relating to or arising out of the Premises unless otherwise expressly
provided for in this Lease. 

  
 -4- 

 ARTICLE 3 – TERM AND POSSESSION 

 

	3.1	Term: Notwithstanding Sections 3.2 and 3.3, the Term of this Lease shall be as set forth in Section 1.1(c) unless terminated earlier as provided in this Lease. 

 

	3.2	Early Occupancy: [Intentionally deleted]. 

  

	3.3	Delayed Possession for Suite 610: If the Landlord is delayed in delivering joint possession of Suite 610 to the Tenant on or before the commencement of the Fixturing Period (as described in Schedule G
hereto), then unless such delay is principally caused by or attributable to the Tenant, its servants, agents or independent contractors the date on which Suite 610 is to be made available to the Tenant, the obligation of the Tenant to pay Base Rent
and Occupancy Costs, and the Expiry Date, all with respect to Suite 610 only, shall be postponed for a period equal to the duration of the delay. This Lease shall not be void or voidable, nor shall the Landlord be liable to the Tenant for any loss
or damage resulting from any delay in delivering possession of Suite 610 to the Tenant, and the deferment of the obligation of the Tenant to pay Base Rent and Occupancy Costs with respect to Suite 610 only shall be accepted by the Tenant as full
compensation for any such delay. 

 If any delay in the completion of the Landlord’s Work is attributable to the Tenant,
its servants, agents or independent contractors, the obligation of the Tenant to pay Base Rent and Occupancy Costs shall not be deferred. 
  

	3.4	Acceptance of Suite 610: Taking possession of all or any portion of Suite 610 by the Tenant shall be conclusive evidence as against the Tenant that Suite 610 or such portion thereof are in satisfactory
condition on the date of taking possession, subject only to latent defects and to deficiencies (if any) listed in writing in a notice delivered by the Tenant to the Landlord within seven (7) days after the Commencement Date. 

ARTICLE 4 – RENT AND OCCUPANCY COSTS 
  

	4.1	Base Rent: The Tenant shall pay from and after the Commencement Date to the Landlord without any prior demand therefor or notice thereof, and without any set-off, Base Rent for the Premises as set forth in
Section 1.1(f), payable in equal consecutive monthly installments in advance on the first day of each and every month. 

  

	4.2	Adjustment of Base Rent based on Measurement of Rentable Area: Suite 610 shall be measured by the Architect within a reasonable time after occupancy by the Tenant and the Architect’s certificate, as
to the Rentable Area of Suite 610, shall be conclusive. The Landlord shall deliver a copy of the Architect’s certificate to the Tenant forthwith and any calculation which is subject to Rentable Area shall be appropriately adjusted, if
necessary, retroactively to the Commencement Date. If at any time or times during the Term of this Lease either: 

  

	 	(a)	there is a change in the BOMA standard method of floor measurement for office buildings and the Landlord elects to follow the new standard; or 

 

	 	(b)	the Landlord changes, modifies or alters the Building and/or the Common Areas or any part of them, which change, modification or alteration results in a reduction or increase to the Rentable Area of the Premises,

 the Landlord shall, upon remeasurement by the Architect, deliver a copy of the Architect’s certificate to the Tenant as
to the Rentable Area of the Premises, which Architect’s certificate shall be conclusive and those calculations which are subject to Rentable Area of the Premises shall be adjusted accordingly, retroactively to the date of completion of such
change, modification or alteration to the Building and/or the Common Areas or part thereof. 
  

	4.3	Occupancy Costs: The Tenant shall pay to the Landlord, at the times and in the manner provided in Section 4.5, the Occupancy Costs determined under Schedule C attached hereto. 

 

	4.4	Other Charges: The Tenant shall pay to the Landlord, at the times and in the manner provided in this Lease or, if not so provided, as reasonably required by the Landlord, all amounts (other than that
payable under Sections 4.1 and 4.3) which are payable by the Tenant to the Landlord under this Lease. 

  

	4.5	Method of Rent Payment: The Tenant shall deliver to the Landlord on or before the Commencement Date an executed authorization and a voided cheque to enable the Landlord to draw or issue a debit to the
Tenant’s designated bank account at the designated branch of the Tenant’s bank or financial institution. Each monthly debit shall be made on the first day of the month and be in an amount equal to the monthly Base Rent and Occupancy Costs
payment and any ancillary agreement such as, without limitation, parking or storage agreements, as it may be adjusted from time to time in accordance with the terms of this Lease. Should the Tenant change banks or financial institutions or branches
within the same bank or financial institution during the Term of this Lease, then the Tenant shall deliver a new executed authorization and voided cheque to enable the Landlord to draw or issue a debit to the new account of the Tenant for payment of
monthly Base Rent and Occupancy Costs payment. The Tenant further covenants and agrees to pay promptly, when billed, any amounts due under the terms of this Lease that are not specifically collected by the foregoing monthly debits.

 In the event that any debit issued by the Landlord and any cheque issued by the Tenant shall not be honored by the
Tenant’s bank or financial institution for any reason, then, in addition to any other remedies the Landlord may have, the Tenant shall pay to the Landlord, upon request, One Hundred and Twenty-Five Dollars ($125.00) for each occurrence which
amount represents the estimated costs of processing the dishonored debit or cheque and re-debiting the Tenant’s account or processing a replacement cheque. 

  
 -5- 

	4.6	Payment of Rent: All amounts payable by the Tenant to the Landlord under this Lease shall be deemed to be Rent and shall be payable and recoverable as Rent in the manner herein provided, and the Landlord
shall have all rights against the Tenant for default in any such payment as in the case of arrears of Rent. Rent shall be paid to the Landlord in legal tender of the jurisdiction in which the Building is located, at the address of the Landlord as
set forth in Section 1.1(k) or at such other address as the Landlord may from time to time designate in writing. The Tenant’s obligation to pay Rent shall survive the expiration or earlier termination of this Lease. 

 

	4.7	No Deduction or Set-off: The Tenant shall not under any circumstances be entitled to deduct from or set off from the Rent payable hereunder any amounts that the Tenant may claim to be entitled to from the
Landlord. All disputes with respect to amounts the Tenant wishes to claim from the Landlord shall be settled as a matter separate from the Tenant’s obligation to pay Rent. 

 

	4.8	Partial Month’s Rent: If the Commencement Date is a day other than the first day of a calendar month, the installment of Base Rent payable on the Commencement Date shall be that proportion of Base
Rent which the number of days from the Commencement Date to the last day of the month in which the Commencement Date falls bears to 365. If the Term ends on a day other than the last day of a calendar month, the installment of Base Rent payable on
the first day of the last calendar month of the Term shall be that proportion of Base Rent which the number of days from the first day of such last calendar month to the last day of the Term bears to 365. 

 

	4.9	Occupancy Costs Payments: 

  

	 	(a)	Prior to the Commencement Date and at the beginning of each Fiscal Year thereafter, the Landlord shall compute and deliver to the Tenant a bona fide estimate in writing of the Occupancy Costs for the next ensuing Fiscal
Year or portion thereof, if applicable. Without further notice or demand, the Tenant shall pay to the Landlord the amount of the Occupancy Costs in equal monthly installments, in advance, over the Fiscal Year or portion thereof, simultaneously with
the Tenant’s payments on account of Base Rent. 

  

	 	(b)	The Landlord shall keep proper and sufficient records and accounts of all Occupancy Costs and shall deliver to the Tenant within one hundred eighty (180) days following the end of each Fiscal Year, a written statement,
setting out in reasonable detail the amount of Occupancy Costs for such Fiscal Year. If the total monthly installments of Occupancy Costs actually paid by the Tenant to the Landlord during the Fiscal Year is lower than the amount of the Occupancy
Costs payable for the Fiscal Year, the Tenant shall pay to the Landlord the difference, without interest, within thirty (30) days after the date on which such statement is received by the Tenant, and if the total monthly installments of Occupancy
Costs actually paid by the Tenant to the Landlord during the Fiscal Year is greater than the amount of Occupancy Costs payable for the Fiscal Year, the Landlord shall, at the Landlord’s option and without interest, pay to the Tenant the
difference or credit the difference against the Tenant’s rental account. Notwithstanding the foregoing, the Landlord’s rendering of any such statement shall not affect the Landlord’s right subsequently to render an amended or
corrected statement. 

  

	 	(c)	If the Tenant disagrees with the accuracy of Occupancy Costs as set forth in the Landlord’s written statement, the Tenant will nevertheless make payment in accordance with any notice given by the Landlord, but will
notify the Landlord within sixty (60) days of receipt of the written statement of such disagreement. If the Landlord and the Tenant are unable to reach agreement it shall be referred by the Landlord for prompt decision by the Landlord’s
auditor, and the decision will be final and binding on both the Landlord and the Tenant. Any adjustment required to any previous payment made by the Tenant or the Landlord by reason of any such decision will be made within fourteen (14) days
thereof. The Tenant shall pay the cost of the auditor’s review unless an error is determined in the Tenant’s favour in excess of five percent (5%) of the total amount of Occupancy Costs, in which case the Landlord shall pay the cost of the
auditor’s review. 

  

	 	(d)	The Tenant may not claim a re-adjustment in respect of Occupancy Costs for a Fiscal Year if based upon any error of computation or allocation except by notice delivered to the Landlord within sixty (60) days after the
date of delivery of the statement. In no event shall any examination or other dispute permit the Tenant to delay payment of Occupancy Costs as required by this Article. 

 

	4.10	Deposits: 

 (a) Prepaid Rent Deposit: The Landlord acknowledges receipt from the Tenant
of the Prepaid Rent Deposit in the amount set forth in Section 1.1(h) as partial consideration for this Lease and the Prepaid Rent Deposit shall be held by the Landlord without liability for interest and applied towards payment of the Base Rent,
Occupancy Costs and G.S.T. payable by the Tenant to the Landlord in accordance with Section 1.1(h). 
 (b) Security Deposit: The Landlord
acknowledges receipt from the Tenant of the Security Deposit in the amount set forth in Section 1.1(h) and the Security Deposit shall be held by the Landlord without liability for interest and may be applied, in the Landlord’s discretion, to
remedy any default by the Tenant hereunder, whether in respect to the payment of Rent or other payments due to the Landlord under the terms of this Lease. In the event the entire Security Deposit or any portion thereof is applied by the Landlord
towards the payment of overdue Rent prior to the expiration of the Term, then the Tenant shall, on written demand of the Landlord, forthwith remit to the Landlord such sum as is sufficient to restore such Security Deposit to its original amount.
Within thirty (30) days after the expiration of the Term and subject to delivery of exclusive possession of the Premises by the Tenant to the Landlord in the state of repair required by the Tenant pursuant to Section 9.1 hereof, the Landlord,
without limiting any of its rights or remedies under this Lease or at law, shall return the Security Deposit, or so much thereof as has not been applied by the Landlord, as aforesaid, without interest to the Tenant, less all costs and expenses which
the Landlord, at the Landlord’s option, may incur (i) in correcting or satisfying any default, or any Rent owing by the Tenant, under this Lease, (ii) in returning the Premises to the state of repair required by the Tenant pursuant to Section
9.1 hereof, and (iii) in employing security personnel to be on site during the Tenant’s move from the Building at the expiration of the Term. 

The Landlord may deliver the Security Deposit to any purchaser of the Landlord’s interest in the Building and the Landlord shall thereby
be discharged of any further liability with respect to such Security Deposit. The Landlord may commingle the Security Deposit with its own funds and shall not hold the Security Deposit as a trustee. 

 

	4.11	No Deemed Satisfaction: No payment by the Tenant or receipt by the Landlord of a lesser amount than any installment of Rent due shall be deemed to be other than on account of the amount due, and no
endorsement or statement on any cheque or payment of Rent shall be deemed an accord and satisfaction. The Landlord may accept such cheque or payment without prejudice to the Landlord’s right to recover the balance of such installment or payment
of Rent, or pursue any other remedies available to the Landlord. 

  
 -5- 

 ARTICLE 5 – TAXES 
  

	5.1	Landlord’s Taxes: The Landlord shall pay before delinquency (subject to participation of the the Tenant by payment of Occupancy Costs under Section 4.3) every real estate tax, property tax,
assessment, license fee and other charge (except for the Tenant’s taxes under Section 5.2), which is imposed, levied, assessed or charged by any governmental or quasi-governmental authority having jurisdiction and which is payable by the
Landlord in respect of the Term upon or on account of the Lands or the Building. 

  

	5.2	Tenant’s Taxes: The Tenant shall pay or remit before delinquency every tax, assessment, license or privilege fee, excise, gross receipts or sales tax and other charges, however described, which is
imposed, levied, assessed or charged by any governmental or quasi-governmental authority having jurisdiction and which is payable in respect of the Term upon or on account of: 

 

	 	(a)	operations at, occupancy of, or conduct of business from the Premises by or with the permission of the Tenant, including without limitation, personnel, business, sales and income tax; 

 

	 	(b)	fixtures or personal property in the Premises which do not belong to the Landlord, including without limitation, taxes on equipment and machinery of the Tenant; and 

 

	 	(c)	the Rent paid or payable or reserved by the Tenant to the Landlord for the Premises or for the use and occupancy of all or any part thereof. 

 

	5.3	Real Estate Taxes: The Tenant shall pay to the Landlord, as part of the Occupancy Costs as set forth in this Lease, in each and every year during the Term, its Proportionate Share of all Real Estate Taxes as
outlined in Schedule C. 

  

	5.4	Goods and Services Taxes: The Tenant specifically acknowledges and agrees that as part of its Rent payable pursuant to Section 4.1 and Section 4.3 hereof, the Tenant shall pay to the Landlord any
multi-stage sales, sales, use, consumption, value-added or other similar taxes imposed by the Government of Canada, or by any provincial or local government upon the Landlord or the Tenant or in respect of this Lease, the payments made by the Tenant
(whether Base Rent, Occupancy Costs or otherwise) for the goods and services provided by the Landlord hereunder including, without limitation, the rental of the Premises or administrative services provided to the Tenant or to tenants generally. In
addition, the Tenant shall also reimburse and indemnify the Landlord for the Tenant’s Proportionate Share of amounts paid by the Landlord as or on account of such taxes in respect of any goods or services acquired by the Landlord for the
purpose of this Lease. Amounts payable by the Tenant under this Article from time to time shall be paid when Rent under this Lease is payable. 

  

	5.5	Right to Contest: The Landlord has the right to contest in good faith the validity or amount of any tax, assessment, license fee, excise fee and other charge which it is responsible to pay under this Article 5.
The Tenant shall have the right to contest in good faith the validity or amount of any tax, assessment, license fee, excise fee and other charge which it is responsible to pay under Section 5.2 and Section 5.4 hereof, provided that no contest by the
Tenant may involve the possibility of forfeiture, sale or disturbance of the Landlord’s interest in the Premises and that upon the final determination of any contest by the Tenant, the Tenant shall immediately pay and satisfy the amount found
to be due, together with any costs, penalties and interest. 

 ARTICLE 6 – ADDITIONAL CHARGES 

 

	6.1	The Landlord may charge an Administration Fee of 15% to the Tenant for: 

  

	 	(a)	services performed for the exclusive benefit of the Tenant, whether at the Tenant’s request or otherwise, including without limitation, providing supervisory, inspection, security and maintenance services,
reviewing plans and specifications and other services performed in excess of the services provided by the Landlord pursuant to Article 8; 

  

	 	(b)	costs incurred and paid by the Landlord due to the Tenant’s actions or inactions, including payment of penalties incurred as a result of the Tenant’s use of the Premises or the Building, and third party
invoices payable by the Tenant; 

  

	 	(c)	reasonable professional fees paid for environmental or structural engineers, space planners or architects engaged solely in connection with the Tenant’s use and lease of the Premises; and 

 

	 	(d)	legal fees, cost of credit checks, and related costs incurred by the Landlord in enforcing the terms of this Lease. 

  
 -7- 

	6.2	This Administration Fee shall be charged without duplication. Where this Lease specifically provides for an Administration Fee for additional services, no further fee shall be charged hereunder. 

 

	6.3	The Administration Fee shall be paid by the Tenant to the Landlord as Rent on demand. 

 ARTICLE 7 – USE
OF PREMISES 
  

	7.1	Use: The Premises shall be used and occupied only for the Permitted Use, as permitted under the existing zoning regulations which the Tenant has investigated and found compatible with its use, or for such other
purposes as the Landlord may specifically authorize in writing. The Tenant shall operate and use the Premises throughout the Term for such purpose in a reputable and diligent manner in accordance with this Lease and the rules and regulations
designed or established by the Landlord. 

  

	7.2	Compliance with Laws: The Premises shall be used and occupied in a safe, careful and proper manner so as not to contravene any present or future governmental or quasi-governmental laws in force or
regulations or orders. If due solely to the Tenant’s use of the Premises, improvements are necessary to comply with any of the foregoing or with the requirements of insurance carriers, the Tenant shall pay the entire cost thereof.

  

	7.3	Abandonment: The Tenant shall not abandon the Premises at any time during the Term without the Landlord’s written consent. 

 

	7.4	Nuisance: The Tenant shall not cause or maintain any nuisance in or about the Premises, the Building or the Lands, and shall keep the Premises free of debris, rodents, vermin and anything of a dangerous,
noxious or offensive nature or which could create a fire hazard (through undue load on electrical circuits or otherwise) or undue vibration, heat, odour, or noise. 

 

	7.5	Security: The Tenant shall take all reasonable security measures as are necessary to protect and safeguard the Premises and its contents. The Tenant shall repair, at its cost, or the Tenant shall reimburse the
Landlord for the cost of repair of any and all damages caused to the Building or the Premises resulting from burglary or other unlawful entry to the Premises. 

ARTICLE 8 – SERVICES, MAINTENANCE, REPAIR AND ALTERATIONS BY LANDLORD 
  

	8.1	Operation of Building: During the Term the Landlord shall operate and maintain the Building in accordance with standards from time to time prevailing for similar office buildings in the area in which the Building
is located and, subject to participation by the Tenant by payment of Occupancy Costs under Section 4.3 shall provide the services set out in Sections 8.2 and 8.3. 

 

	8.2	Services to Premises: The Landlord shall arrange for the provision of: 

  

	 	(a)	Heating, Ventilation and Air Conditioning: heating, ventilation and air conditioning (but not any special air conditioning or heating as may be required with respect to the operation of computer equipment or any
other equipment to be installed by the Tenant in the Premises) to the Premises of a standard as established by custom and practice for similar office buildings in the city in which the Building is located, during Normal Business Hours. Upon
reasonable prior written notice from the Tenant, not to be less than 72 hours, the Landlord shall furnish air conditioning to the Premises after Normal Business Hours, but only at the expense of the Tenant at the Landlord’s fixed hourly fee as
determined from time to time by the Landlord acting reasonably. 

  

	 	(b)	Cleaning: cleaning and janitorial services, including waste removal and exterior window cleaning to the Premises to standards consistent with the maintenance of similar office buildings. 

 

	 	(c)	Electricity & Other Utilities: subject to the Landlord’s ability to obtain same from its principal suppliers, electricity for normal lighting and small business machines therein, for which electricity
the Tenant shall pay its Proportionate Share. In no event shall the Landlord be liable for, nor shall the Landlord have any obligation with respect to, any interruption or cessation of, or a failure in the supply of, any such Utilities, services or
systems to the Building or to the Premises, whether or not supplied by the Landlord or others. 

 If at any time during the
Term the Landlord should determine, in its sole discretion, that the Tenant’s use of any Utility or service used or consumed in or in respect of the Premises is in any way unusual or of an excessive nature, the Landlord may, at its option but
at the sole cost and expense of the Tenant, install in the Premises a separate meter or submeter with respect to such Utility or service, whereupon the Tenant’s costs in connection with such Utility or service shall be determined in accordance
with such separate meter or submeter 
  

	 	(d)	Lighting: replacement of building standard fluorescent tubes, light bulbs and ballasts as required from time to time as a result of normal usage. 

 

	 	(e)	Maintenance: maintenance, repair, and replacement as set out in Section 8.4. 

  

	 	(f)	Telephone: appropriate ducts in the Building for allowing the Tenant to bring telephone services to the Premises. 

  
 -8- 

	8.3	Building Services: The Landlord shall provide in the Building: 

  

	 	(a)	Access: the Landlord will permit the Tenant and the Tenant’s employees and visitors to have the use during Normal Business Hours in common with others of the main entrance and the stairways, corridors and
elevators leading to the Premises. At times other than Normal Business Hours, the Tenant and the Tenant’s employees and visitors shall have access to the Building and to the Premises and use of the elevators only in accordance with the
Landlord’s Rules and Regulations. The Landlord may from time to time make temporary or long term changes to the Building security and Building access procedures without any compensation to the Tenant for loss of business, lost time or
inconvenience. In times of actual or possible terrorist or other significant threat to property or life safety, the Landlord may cause the Building to be locked, evacuated or closed until such threat or action has reasonably passed. The Tenant shall
ensure that its staff and invitees follow all security procedures and processes as are deemed necessary by the Landlord. 

  

	 	(b)	Basic Services: heat, ventilation, air conditioning, lighting, electricity, running water, and janitor service in the Common Areas. 

 

	 	(c)	Directory: a general directory board on which the Tenant shall be entitled to have its name shown, but the Landlord shall have exclusive control thereof and of the area thereon to be allocated to each tenant.

  

	 	(d)	Elevators: elevator or escalator service (if applicable) for access to and egress from the Premises. 

  

	 	(e)	Fitness Centre: if installed by the Landlord, the Tenant and its employees shall be entitled to use of the fitness centre subject to the Tenant, or the Tenant’s employees, if applicable, executing and
delivering the Landlord’s standard form of license agreement for the fitness centre, their payment of user fees in force from time to time and their compliance with the rules and regulations established from time to time in respect of the
fitness centre. 

  

	 	(f)	Loading Dock: the Tenant shall have the right of reasonable use, in common with other tenants, of the loading dock during Normal Business Hours and, subject to appropriate security arrangements being made and the
Landlord’s approval being obtained, after Normal Business Hours. The Tenant shall not use the elevators in the Building for the purposes of moving chattels except outside Normal Business Hours and with the prior consent of the Landlord, such
consent not to be unreasonably withheld. The Tenant shall be fully responsible for the repair of any damage caused by the moving of chattels into or out of the Building. 

 

	 	(g)	Maintenance: repair and replacement as set out in Section 8.4. 

  

	 	(h)	Security: security typical for a building of this type. 

  

	 	(i)	Washrooms: domestic hot and cold (or temperate) running water and necessary supplies in washrooms located in the Common Areas sufficient for the normal use thereof by occupants in the Building. 

 

	8.4	Maintenance, Repair and Replacement: The Landlord shall operate, maintain, repair and replace the systems, facilities and equipment necessary for the proper operation of the Building and for provision of the
Landlord’s services under Sections 8.2 and 8.3 (except such as may be installed by or for or be the property of the Tenant), and shall be responsible for and shall expeditiously maintain and repair the foundations, structure and roof of
the Building provided that: 

  

	 	(a)	if all or part of such systems, facilities and equipment are destroyed, damaged or impaired, the Landlord shall have a reasonable time in which to complete the necessary repair or replacement, and during that time shall
be required only to maintain such services as are reasonably possible in the circumstances; 

  

	 	(b)	the Landlord may temporarily discontinue such services or any of them at such times as may be necessary due to causes beyond the reasonable control of the Landlord; 

 

	 	(c)	the Landlord shall use reasonable diligence in carrying out its obligations under this section, but except as expressly provided otherwise in this Lease, there shall be no allowance to the Tenant by way of diminution of
Rent, or otherwise, and no liability on the part of the Landlord by reason of inconvenience, annoyance or injury to the business arising from the happening of the event which gives rise to the need for any repairs, alterations, additions or
improvements or from making of any repairs, alterations, additions or improvements in or to any portion of the Building or the Premises, or in and to the fixtures, appurtenances and equipment thereof. The Landlord agrees to use its reasonable
commercial efforts to do any work done by it in such a manner as not to unreasonably interfere with or impair the Tenant’s use of the Premises; 

  

	 	(d)	no reduction or discontinuance of such services under this Section shall be construed as an eviction of the Tenant or (except as specifically provided in this Lease) release the Tenant from any obligation of the Tenant
under this Lease; and 

  

	 	(e)	nothing contained herein shall derogate from the provisions of Article 17. 

  
 -9- 

	8.5	Additional Services: 

  

	 	(a)	If from time to time as requested in writing by the Tenant, and to the extent that it is reasonably able to do so, the Landlord shall provide in the Premises services in addition to those set out in Section 8.2,
provided that the Tenant shall within ten (10) days of receipt of any invoice for any such additional services pay the Landlord therefor at such reasonable rates as the Landlord may from time to time establish plus an Administration Fee.

  

	 	(b)	The Tenant shall not without the Landlord’s written consent install in the Premises equipment that generates sufficient heat to affect the temperature otherwise maintained in the Premises by the heating,
ventilation and air conditioning system as normally operated. The Landlord may install supplementary air conditioning units, facilities or services in the Premises, or modify its air conditioning systems, as may in the Landlord’s reasonable
opinion be required to maintain proper temperature levels and the Tenant shall pay the Landlord within ten (10) days of receipt of any invoice for the cost thereof, including installation, operation and maintenance expense plus an Administration
Fee. 

  

	 	(c)	If the Landlord shall from time to time reasonably determine that the use of electricity or any other utility or service in the Premises is disproportionate to the use thereof by other tenants, the Landlord may
separately charge the Tenant for the excess costs attributable to such disproportionate use. At the Landlord’s request, the Tenant shall install and maintain at the Tenant’s expense, metering devices for checking the use of any such
utility or service in the Premises. 

  

	8.6	Alteration by the Landlord: The Landlord may from time to time: 

  

	 	(a)	make repairs, replacements, changes or additions to the structure, systems, facilities and equipment in the Premises where necessary to serve the Premises or other parts of the Building; 

 

	 	(b)	make changes in or additions to any part of the Building not in or forming part of the Premises; and 

  

	 	(c)	change or alter the Building services or facilities, the location of driveways, sidewalks or other Common Areas, and to extend existing buildings or erect new buildings or extend existing buildings above the Premises or
other rentable premises or Common Areas of the Building, or add new Common Areas to or on the Building; 

 provided that in
doing so the Landlord shall not materially disturb or interfere with the Tenant’s use of the Premises and operation of its business any more than is reasonably necessary in the circumstances and shall repair any damage to the Premises caused
thereby. 
  

	8.7	Access by the Landlord: The Tenant shall permit the Landlord to enter the Premises outside Normal Business Hours, and during Normal Business Hours in case of an emergency or where such entry will not unreasonably
disturb or interfere with the Tenant’s use of the Premises and operation of its business, to examine, inspect, and show the Premises to persons wishing to lease them or to purchase the Building, to provide services or make repairs,
replacements, changes or alterations as set out in this Lease, and to take such steps, as the Landlord may deem necessary for the safety, improvement or preservation of the Premises or the Building. The Landlord shall whenever possible consult with
or give reasonable notice to the Tenant prior to such entry, except in the case of an emergency, but in any event no such entry shall constitute an eviction or entitle the Tenant to any abatement of Rent. 

 

	8.8	Notice of Letting and Inspection by Prospective Tenants: At any time within one hundred eighty (180) days prior to the expiry or sooner termination of this Lease or at any time when the Tenant is in arrears of
Rent equal to an amount greater than one month’s Base Rent for more than thirty (30) days, any prospective tenant or its representative may inspect the Premises and all parts thereof at all reasonable hours if accompanied by the Landlord or its
agent or agents, or unaccompanied on production of a written order signed by the Landlord or its agent or agents. 

  

	8.9	Relocation: [Intentionally deleted]. 

  

	8.10	Energy Conservative and Security Policies: The Landlord shall be deemed to have observed and performed those things required to be observed and performed pursuant to the terms of this Lease, including those
relating to the provision of utilities and services, if in doing so it acts in accordance with a directive, policy or request of a governmental or quasi-governmental authority serving the public interest in the field of energy conservation or
security. 

 ARTICLE 9 – MAINTENANCE, REPAIR, ALTERATIONS AND IMPROVEMENTS BY TENANT 

 

	9.1	Condition of Premises: Except to the extent that the Landlord is specifically responsible thereof under this Lease, the Tenant shall maintain the Premises and all Leasehold Improvements therein in good order and
condition, including: 

  

	 	(a)	repainting and redecorating the Premises and cleaning drapes and carpets at reasonable intervals as needed; 

  

	 	(b)	making repairs, replacements and alterations as needed, including those necessary to comply with the requirements of any governmental or quasi-governmental authority having
jurisdiction, of all fixtures and things which at any time during the Term of this Lease are located or erected in or upon the Premises (including but not limited to signs, the inside and the outside of the ground floor windows, partitions and
doors, lighting, wiring, plumbing, and electrical fixtures), such repair and maintenance to be made by the Tenant when, where and so often as needed excepting only: 

 

	 	i)	reasonable wear and tear; 

  
 -10- 

	 	ii)	repairs required to be made by the Landlord pursuant to Section 8.4; and 

  

	 	iii)	repairs necessitated by damage from hazards against which the Landlord is required to insure hereunder, 

unless such excepted repairs are necessitated by the acts or omissions of the Tenant, its agents, employees, invitees or licensees. The cost
of any repair, decoration, maintenance, amendment or replacement required to be made in or to any portion of the Building directly as a result of any act or omission of the Tenant, its employees, servants, agents or licensees shall be paid in full
by the Tenant. 
  

	9.2	Failure to Maintain Premises: If the Tenant fails to perform any obligation under Section 9.1, then on not less than ten (10) days’ written notice to the Tenant, the Landlord may enter the Premises and
perform such obligation without liability to the Landlord for any loss or damage to the Tenant thereby incurred and the Tenant shall pay the Landlord for the cost thereof, plus an Administration Fee, within ten (10) days of receipt of the
Landlord’s invoice therefor. 

  

	9.3	Alterations by the Tenant: The Tenant may from time to time at its own expense make changes, additions and improvements in the Premises to better adapt the same to its business, provided that any such change,
addition or improvement shall comply with the requirements set forth in Schedule E attached hereto. 

  

	9.4	Increase in Property Taxes or Insurance: Any increase in property taxes or fire or casualty insurance premiums for the Building attributable to the Tenant’s alterations, additions or improvements shall be
solely borne by the Tenant. 

  

	9.5	Work by the Landlord: In the event the Tenant requires any of the following work, it shall be carried out at the Tenant’s sole expense by the Landlord, at the Landlord’s option, or by the Tenant subject
to the prior written approval of the Landlord and on the condition that the Tenant retains the Landlord’s approved base building contractors and consultants: 

 

	 	(a)	work relating to heating, cooling, ventilation, exhaust control, electrical distribution and life safety systems; 

  

	 	(b)	work on the roof of the Building including the installation of telecommunications equipment; 

  

	 	(c)	patching of Building standard fireproofing; 

  

	 	(d)	any drilling, cutting, coring and patching for conduit, pipe sleeves, chases, duct equipment, or openings in the floors, walls, columns or roofs of the Building; and 

 

	 	(e)	installation of approved modifications to the sprinkler system. 

 The Tenant shall pay the
Landlord an Administration Fee for the Landlord’s supervision and/or management of such work. 
  

	9.6	Property of the Landlord: All Leasehold Improvements to the Premises, whether installed or constructed by the Tenant except for trade fixtures, shall become the property of the Landlord when constructed or
installed, and the Tenant will be solely responsible for insuring, repairing, maintaining and, if requested by the Landlord, for removal of the same at the expiry of the Term. 

 

	9.7	Trade Fixtures and Personal Property: The Tenant may install in the Premises its usual first class trade fixtures and personal property appropriate for the Tenant’s business in a proper manner, provided
that: 

  

	 	(a)	no such installation shall interfere with or damage the mechanical or electrical systems or the structure of the Building; 

  

	 	(b)	the charge for the cost of any and all damages to the Building resulting from such installation will be paid by the Tenant; 

  

	 	(c)	such installation does not contravene the provisions of Section 9.3; 

  

	 	(d)	the Tenant will not bring upon the Premises any safe, vault, machinery, equipment, article or thing that by reason of its weight, size or use might, in the opinion of the Landlord, damage the Premises and will not at
any time overload the floors of the Premises. If damage is caused to the Building or any part thereof by any machinery, equipment article or thing by overloading, or by any act, neglect or misuse on the part of the Tenant or any person for whom the
Tenant is in law responsible the Tenant shall forthwith repair the same; and 

  

	 	(e)	no trade fixtures, furniture or equipment shall be removed by the Tenant from the Premises during the Term except that the Tenant may, at the appointed time and subject to availability of elevators (if installed in the
Building) remove its trade fixtures, furniture and equipment where such items have become excess for the Tenant’s purposes or the Tenant is substituting therefor new items. The Tenant shall, in the case of every removal, make good any damage or
injury caused to the Premises or the Building by reason of such removal. 

  

	9.8	 Builder’s Liens: The Tenant shall pay before delinquency all costs for work done or caused to be done
by the Tenant in the Premises which could result in any lien or encumbrance being placed on the Landlord’s interest in the Lands or Building or any part thereof, shall keep the title to the Lands or Building and every part thereof free and
clear of any lien or encumbrance in respect of such work, and shall indemnify and hold harmless the Landlord against any claim, loss, cost, demand and legal or other expense, whether in respect of any lien or otherwise, arising out of the supply of

  
 -11- 

	 	
material, services or labour for such work. The Tenant shall immediately notify the Landlord of any such lien, claim of lien or other action of which it has or reasonably should have had
knowledge of and which affects the title to the Lands or Building or any part thereof, and shall cause the same to be removed within fifteen (15) days, failing which the Landlord may take such action as the Landlord deems necessary to remove the
same and the entire cost thereof shall be immediately due and payable by the Tenant to the Landlord. 

  

	9.9	Signage: The Tenant has the right to have its name displayed on the main lobby directory board for the Building, on the floor lobby directory board, if any, on each floor on which the Premises are located and on
the main door to the Premises, all such signs to be at the Tenant’s expense and to be under the exclusive control of the Landlord and to conform to the uniform pattern of identification signs for tenants of the Building prescribed by the
Landlord. If the Premises constitute one or more full floors of the Building, the Tenant has the right to have a sign displaying the name of the Tenant in the elevator lobby of each such floor, at the Tenant’s expense, provided that the
Landlord has approved the design of the sign. 

 The Tenant shall not paint, display, inscribe, place or affix any sign,
picture, advertisement, notice, lettering or direction on any part of the outside of the Building or visible from the outside of the Building, nor shall the Tenant paint, display, inscribe, place or affix any sign, picture, advertisement, notice,
lettering or direction on the outside of the Premises or inside the Premises but visible from the outside without written consent of the Landlord. The Tenant at the termination of this Lease shall remove any such signs or other advertising material,
and the Tenant shall promptly repair any and all damage caused by its installation or removal. The cost of such signage, installation, operations, insurance and erection thereof shall be borne entirely by the Tenant and shall be payable upon demand.

  

	9.10	Telecommunications: The Tenant acknowledges and agrees that all telephone and telecommunications services desired by the Tenant shall be ordered and utilized at the sole expense of the Tenant and only with the
prior written consent of the Landlord. All the Tenant’s or its providers telecommunications equipment shall be and remain solely in the Premises or, only with the written approval of the Landlord, on the roof of the Building above the Premises,
in accordance with rules and regulations adopted by the Landlord from time to time. The Landlord shall have no responsibility for the maintenance of the Tenant’s or its provider’s equipment, including wiring, nor for any wiring or other
infrastructure to which the Tenant’s telecommunications equipment may be connected. The Tenant agrees that, to the extent any such service is interrupted, curtailed or discontinued, the Landlord shall have no obligation or liability with
respect thereto and it shall be the sole obligation of the Tenant at its expense to obtain substitute service. 

 Without
limitation of the foregoing standard, it shall be reasonable for the Landlord to refuse to give its approval unless all of the following conditions are satisfied: 
  

	 	i)	prior to the installation of any equipment the provider shall provide plans and specifications for the installation of its equipment for the Landlord’s prior approval, however the placement of any of the providers
equipment on the roof of the Building shall be in a location determined by the Landlord in its sole discretion, and the provider shall use existing Building conduits and pipes or use contractors approved by the Landlord, and agrees to remove, at the
Landlord’s request, all cabling at the expiry or earlier termination of the Term of the Lease; 

  

	 	ii)	prior to commencement of any work in or about the Building by the provider, the provider shall execute the Landlord’s standard telecommunications agreement, and shall supply the Landlord with such written
indemnities, insurance, financial statements, and such other items as the Landlord reasonably determines to be necessary; 

  

	 	iii)	the provider agrees to abide by such rules and regulations, building and other codes, job site rules and such other requirements as are reasonably determined by the Landlord to be necessary to protect the interests of
the Building, the tenants in the Building and the Landlord; and 

  

	 	iv)	the Landlord shall receive from the provider such compensation as determined by the Landlord for the fair market value of a provider’s access to the Building, and the costs which may reasonably be expected to be
incurred by the Landlord; and 

  

	 	v)	the Landlord shall incur no expense whatsoever with respect to any aspect of the provider’s provision of its services, including without limitation, the costs of installation, materials and services.

 In the event that telecommunications equipment, wiring and facilities or satellite and antennae equipment of any type
installed by or at the request of the Tenant within the Premises, on the roof, or elsewhere within or in the Building causes interference to equipment used by another party, the Tenant shall assume all liability related to such interference. The
Tenant shall use reasonable efforts, and shall co-operate with the Landlord and other parties, to promptly eliminate such interference. In the event that the Tenant is unable to do so, the Tenant will substitute alternative equipment that remedies
the situation. If such interference persists, the Tenant shall discontinue the use of such equipment, and, at the Landlord’s discretion, remove such equipment according to foregoing specifications. 

 

	9.11	Energy Conservation: The Tenant covenants with the Landlord: 

  

	 	(a)	that the Tenant will co-operate with the Landlord in the conservation of all forms of energy in the Building, including without limitation the Premises; 

 

	 	(b)	that the Tenant will comply with all laws, by-laws, regulations and orders relating to the conservation of energy and affecting the Premises or the Building; 

  
 -12- 

	 	(c)	that the Tenant will at its own cost and expense comply with all reasonable requests and demands of the Landlord made with a view to conserving such energy in accordance with good management practice and as would be
made by a prudent owner of like property of like age; and 

  

	 	(d)	that any and all costs and expenses paid or incurred by the Landlord in complying with such laws, by-laws, regulations and orders, so far as the same shall apply to the Building, shall be included in Occupancy Costs.

 The Landlord shall not be liable to the Tenant in any way for any losses, costs, damages or expenses, whether direct or
consequential paid, suffered or incurred by the Tenant as a result of any reduction in the services provided by the Landlord to the Tenant or to the Building as a result of the Landlord’s compliance with such laws, by-laws, regulations or
orders. 
 ARTICLE 10 – INSURANCE 
  

	10.1	Tenant’s Insurance: The Tenant, at its expense, will maintain, throughout the Term and any period when it is in possession of all or any portion of the Premises, the insurance as described below.

 The Tenant will cause each such insurance policy to: 

 

	 	(i)	be primary, non-contributing with, and not in excess of, any other insurance available to the Landlord or any mortgagee; 

  

	 	(ii)	where the Landlord, its agent and the mortgagee are added as additional insureds, contain a waiver in respect of the interests of the Landlord, its agent and the mortgagee of any provision in any such insurance policies
with respect to any breach or violation of any warranties, representations, declarations or conditions in such policies, and be in a form and with insurers satisfactory to the Landlord and the mortgagee; and 

 

	 	(iii)	upon request from the Landlord or upon the placement, renewal, amendment or extension of all or any part of the insurance, the Tenant will immediately deliver to the Landlord certificates of insurance signed by the
Tenant’s insurers evidencing the required insurance. 

 The Tenant’s insurance shall contain the following: 

 

	 	(a)	Property Insurance: 

  

	 	(i)	broad form contents coverage, including flood, earthquake, subject to a stated amount clause, replacement cost clause, and by-law endorsement clause; and 

 

	 	(ii)	comprehensive boiler and machinery insurance on all objects owned or operated by the Tenant or by others (other than the Landlord) on behalf of the Tenant in the Premises with reasonable deductibles. 

The insurance under this Section 10.1(a) will insure all property owned by the Tenant or for which the Tenant is legally liable, located
within the Building, including, but not limited to, the Tenant’s contents, Tenant’s Work, property of others in the Tenant’s care, custody or control and Leasehold Improvements, in an amount not less than the full replacement cost
thereof and twelve (12) months direct or indirect loss of earnings, including prevention of access to the Premises or the Building. 
  

	 	(b)	Liability Insurance: 

  

	 	(i)	Five Million Dollars ($5,000,000) inclusive limits occurrence from commercial general liability (CGL) insurance. This insurance will include coverage for bodily injury or property damage, owners’ products and
completed operations, intentional acts to protect persons or property, personal injury, advertising liability, employers’ liability, blanket contractual liability coverage, provision of cross liability, severability of interests and non-owned
automobile liability form; and 

  

	 	(ii)	One Million Dollars ($1,000,000) Tenant’s legal liability broad form (TLL) insurance. 

  

	 	(c)	Automobile Insurance: 

 One Million Dollars ($1,000,000) inclusive limits automobile
liability insurance on an owner’s form, covering all licensed vehicles operated by or on behalf of the Tenant. 
  

	 	(d)	Crime Insurance: 

 Insurance for all damage sustained due to burglary of the Premises.

  

	 	(e)	Other Insurance: 

 Any other form of insurance and with whatever higher limits that the
Landlord or the Mortgagee requires from time to time. 
  

	10.2	Cancellation of Tenant’s Insurance and Additional Insureds: Any insurance called for under Section 10.1 of this Lease shall be endorsed to provide to the Landlord, its agent and the mortgagee thirty (30)
days advance written notice of cancellation or material change and shall name the Landlord, its agent and the mortgagee as additional insureds with regard to the operations of the named insured. 

  
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 If any insurance policy upon the Building or any part thereof shall be cancelled or shall be
threatened by the insurer to be cancelled, refused to be renewed or the coverage thereunder reduced in any way by the insurer by reason of the use and occupation of the Premises or any part thereof by the Tenant or by anyone permitted by the Tenant
to be upon the Premises, and if the Tenant fails to remedy the condition giving rise to cancellation, threatened cancellation or reduction of coverage within forty-eight (48) hours after notice thereof by the Landlord, the Landlord may, at its
option, either (a) re-enter and take possession of the Premises forthwith by leaving upon the Premises a notice in writing of its intention so to do and thereupon the Landlord shall have the same rights and
remedies as are contained in Article 20; or (b) enter upon the Premises and remedy the condition giving rise to such cancellation, threatened cancellation or reduction, and the Tenant shall forthwith pay the cost thereof to the Landlord, plus an
Administration Fee and the Landlord shall not be liable for any loss or damage caused to any property of the Tenant or of others located on the Premises as a result of any such entry. 

 

	10.3	Placement of Tenant’s Insurance by Landlord: If the Tenant fails to take out, renew or keep in force any of the policies of insurance required to be taken out and maintained by the Tenant under Section 10.1,
the Landlord may do so as agent of the Tenant and the Tenant shall reimburse the Landlord any amount so paid by the Landlord as agent of the Tenant plus an Administration Fee promptly upon demand by the Landlord. 

 

	10.4	Landlord’s Insurance: Landlord shall, at all times throughout the Term, carry: 

  

	 	(a)	broad form property of every description (POED) insurance on the Building and Comprehensive Boiler and Machinery insurance on the equipment contained therein and owned by the Landlord (specifically excluding any
property with respect to which the Tenant and other tenants are obliged to insure pursuant to Section 10.1 or similar sections of their respective leases), such insurance endorsed to cover the gross rental value of the Building, all in such
reasonable amounts and with such reasonable deductibles as would be carried by a prudent owner of a reasonably similar building, having regard to size, age and location; 

 

	 	(b)	commercial general liability (CGL) insurance with respect to the Landlord’s operations in the Building in such reasonable amounts and with such reasonable deductibles as would be carried by a prudent owner of a
reasonably similar building, having regard to size, age and location; and 

  

	 	(c)	such other form or forms of insurance as the Landlord or the mortgagee reasonably considers advisable. 

The cost of such insurance shall be included in Operating Expenses. Notwithstanding the Landlord’s covenant contained in this
Section 10.4 and notwithstanding any contribution by the Tenant to the cost of the Landlord’s insurance premiums provided herein, the Tenant acknowledges and agrees that (i) the Tenant is not relieved of any liability arising from or
contributed to by its acts, fault, negligence or omissions; (ii) no insurable interest is conferred on the Tenant under any policies of insurance carried by the Landlord; and (iii) the Tenant has no right to receive any proceeds of any such
insurance policies carried by the Landlord. 
 ARTICLE 11 – INDEMNITY 
  

	11.1	Loss or Damage 

 The Tenant agrees that the Landlord shall not be liable or responsible
in any way to the Tenant or any other person for: 
  

	 	(a)	any injury arising from or out of any occurrence in, upon, at or relating to the Building or Lands or any part thereof or any loss or damage to property (including loss of use thereof) of the Tenant or any other person
located in the Building, or the Lands or any part thereof from any cause whatsoever, whether or not any such injury, loss or damage results from any fault, default, negligence, act or omission of the Landlord, or its agents, servants, employees or
any other person for whom the Landlord is in law responsible; 

  

	 	(b)	(without limiting the generality of the foregoing provisions of this Section 11.1) any injury to the Tenant or any other person or loss or damage to property resulting from: fire; smoke; explosion; falling plaster,
ceiling tiles, fixtures or signs; broken glass; steam; gas; fumes; vapours; odours; dust; dirt; grease; acid; oil; any Hazardous Substance; debris; noise; air or noise pollution; theft; breakage; vermin; electricity; computer, utility, communication
or electronic equipment or systems malfunction, breakdown or stoppage; electromagnetic radiation; electrical injury; water; rain; flood; flooding; freezing; tornado; windstorm; snow; sleet; hail; frost; ice; excessive heat or cold; sewage; sewer
backup; toilet overflow; or leaks or discharges from any part of the Building (including the Premises), or from any pipes, sprinklers, appliances, equipment (including, without limitation, heating, ventilation and air-conditioning equipment)
electrical or other wiring, plumbing fixtures, roof(s), windows, skylights, doors, trapdoors, or subsurface of any floor or ceiling of any part of the Building, or from the street or any other place, or by dampness or climatic conditions, or from
any defect in the Building or any part thereof, or from any other cause whatsoever; 

  

	 	(c)	any injury, loss or damage caused by other tenants or any persons in the Building, or by occupants of adjacent property thereto, or by the public, or by construction or renovation, or by any private, public or
quasi-public work, or by interruption, cessation or failure of public or other utility service, or caused by Force Majeure; 

  

	 	(d)	any injury to the Tenant or any other person or any loss or damage suffered to the Premises or the contents thereof by reason of the Landlord or its representatives entering the Premises to undertake any work therein,
or to exercise any of the Landlord’s rights or remedies hereunder, or to fulfill any of the Landlord’s obligations hereunder, or in the case of emergency; 

  
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	 	(e)	any injury, loss or damage insured against or required to be insured against by the Tenant under Section 10.1; 

  

	 	(f)	any injury, loss or damage caused by an act or omission (including theft, malfeasance or negligence) on the part of the agent, contractor or person from time to time employed by the Tenant to perform janitor services,
security services, supervision or any other work in or about the Premises or the Building; 

  

	 	(g)	any loss or damage, however caused, to merchandise, stock-in-trade, money, securities, negotiable instruments, papers or other valuables of the Tenant; 

 

	 	(h)	any injury, loss or damage resulting from interference with or obstruction of deliveries to or from the Premises; or 

  

	 	(i)	any injury or damages not specified above to the person or property of the Tenant, its agents, servants or employees, or any other person entering upon the Premises under express or implied invitation of the Tenant.

 The Tenant expressly releases the Landlord for any injury or loss or damage to property caused by perils insured against or
required to be insured against by the Tenant pursuant to the provisions of Section 10.1 hereof. Without limiting the generality of the provisions of this Section 11.1, (i) all property of the Tenant kept or stored on the Premises shall be so kept or
stored at the risk of the Tenant only, and (ii) the Tenant shall promptly indemnify and hold harmless the Landlord from and against any and all claims, losses, actions, suits, proceedings, causes of action, demands, damages, fines, duties,
judgments, executions, costs, charges, payments and expenses including any professional consultant and legal fees (on a solicitor and his/her own client basis) (collectively, “Claims”) arising out of or in connection with (A) any loss of
or damage to such property, including loss of use thereof, and including, without limitation, any subrogation claims by the Tenant’s insurers, and (B) any injury referred to in this Section 11.1. The intent of this Section 11.1 is that the
Tenant (and any persons having business with the Tenant) is to look solely to the Tenant’s insurers to satisfy any Claims which may arise on account of injury, loss or damage, irrespective of the cause. 

 

	11.2	Indemnification of Landlord: Notwithstanding any other terms, covenants and conditions contained in this Lease, the Tenant shall promptly indemnify and hold completely free and harmless the Landlord from and
against any and all Claims in connection with any injury or any loss or damage to property: 

  

	 	(a)	arising from or out of this Lease, or any alterations in, to or for the Premises, or any occurrence in, upon or at the Premises, or the occupancy or use by the Tenant of the Premises, or any part thereof, or occasioned
wholly or in part by any fault, default, negligence, act or omission of the Tenant or by any person permitted to be on the Premises by the Tenant; and 

  

	 	(b)	arising from, relating to or occurring in, upon or at any part of the Building (other than the Premises) occasioned in whole or in part by any fault, default, negligence, act or omission by the Tenant or any of the
directors, officers, servants, employees, contractors, agents, invitees and licensees of the Tenant and all other persons over whom the Tenant (i) may reasonably be expected to exercise control, and (ii) is in law responsible. 

If the Landlord shall be made a party to any litigation commenced by or against the Tenant, the Tenant shall promptly indemnify and hold
harmless the Landlord and shall pay the Landlord all costs and expenses, including, without limitation, any professional, consultant and legal fees (on a solicitor and his/her own client basis) that may be incurred or paid by or on behalf of the
Landlord in connection with such litigation, as Rent, on demand. The Landlord may, at its option and at the Tenant’s expense, participate in or assume carriage of any litigation or settlement discussions related to the foregoing or any other
matter for which the Tenant is required to indemnify the Landlord under this Lease. Alternatively, the Landlord may require the Tenant at the Tenant’s expense to assume carriage of and responsibility for all or any part of such litigation or
discussions, subject to the Tenant at all times keeping the Landlord up to date in writing as to the status thereof. 
 The indemnification
of the Landlord contained in this Section 11.2 shall not be prejudiced by, and shall survive the termination of, this Lease. 
 ARTICLE 12 –
ASSIGNMENT AND SUBLETTING 
  

	12.1	Assignment or Subletting: The Tenant will not assign, transfer, sublet, part with or share possession or set over or permit the Premises to be occupied or used by a licensee or concessionaire or otherwise by any
act or deed permit the Premises or any part of them to be assigned, transferred, set over or sublet, whether by operation of law or otherwise, (individually and collectively, a “Transfer”) unto any persons, firm, partnership or corporation
whomsoever except with prior consent of the Landlord, as set out herein. Notwithstanding the foregoing, the Tenant shall not assign or sublet all or part of the Premises to any other tenant in the Building. 

If the Tenant desires to assign this Lease or sublet the Premises or any portion thereof to a named third party (the “Transferee”),
the Tenant shall first provide the Landlord with any information the Landlord may reasonably require, including a true copy of the agreement to assign or sublet (the “Transfer Agreement”); evidence as to the responsibility, reputation,
financial standing and business of the proposed transferee; a completed credit check application in the Landlord’s form; and if any Leasehold Improvements are contemplated to be undertaken, then plans and specifications, including but not
limited to, mechanical, electrical and structural drawings, (collectively the “Transfer Information”). The Tenant shall give at least thirty (30) days’ prior written notice to the Landlord of the proposed Transfer and the effective
date thereof. 

  
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 Any request for a Transfer may be documented by the Landlord or, at the Landlord’s option,
by its solicitors, and the Landlord’s then current standard fee (the “Documentation Fee”), any legal costs and any third party costs including, but not limited to, architects or consultants fees, (collectively, the “Transfer
Fee”) with respect thereto shall be payable by the Tenant on demand. 
  

	12.2	Landlord’s Rights: Upon receipt of the request for consent, the Transfer Information and the Documentation Fee, the Landlord shall have the following rights: 

 

	 	(a)	to sublease from the Tenant the Rentable Area to be sublet or assigned under the Transfer Agreement on the same terms and conditions as set out in the Transfer Agreement (except in respect of rent which shall be the
lesser of the Rent paid therefor by the Tenant under this Lease or the rent specified in the Transfer Agreement) by giving written notice to the Tenant within fourteen (14) days of receipt of a true copy of the request for consent, the Transfer
Information and the Documentation Fee; or 

  

	 	(b)	to terminate this Lease in respect of the Rentable Area to be sublet or assigned under the Transfer Agreement, however if such area is greater than 50% of the Rentable Area of the Premises then the Landlord shall have
the right to terminate this Lease in respect of the total Rentable Area of the Premises, as set out in Section 12.3; or 

  

	 	(c)	to withhold its consent to a Transfer of a portion of the Premises where, in the Landlord’s sole opinion the premises resulting from such a demise would have unreasonable configurations or access exit points;

  

	 	(d)	to withhold its consent to a Transfer where the intended use of the Premises by the proposed Transferee is inconsistent with the terms of this Lease, the proposed Transferee is a governmental agency, or where in the
Landlord’s judgment, the proposed Transferee has an unsatisfactory financial covenant or business history, 

  

	12.3	Termination by the Landlord: The Landlord’s termination rights set out in Section 12.2(b) shall be exercised by giving written notice to the Tenant within fourteen (14) days of receipt by the Landlord of the
request for consent, the Transfer Information and the Documentation Fee, and the termination date shall be the date stipulated in the Landlord’s notice which shall in no event be less than sixty (60) days nor more than ninety (90) days
following the giving of such notice by the Landlord. 

  

	12.4	Termination of Subleased Area: If the Landlord exercises its rights set out in Section 12.2(a), the Landlord shall have an additional right to terminate this Lease in respect of the Rentable Area sublet by the
Tenant to the Landlord and such additional right of termination shall be exercised by giving written notice to the Tenant not less than seven (7) days prior to the end of the term of sublease to the Landlord and the termination date shall be the day
following the end of the term of the sublease. If this Lease is terminated by the Landlord with respect to a part of the Premises, the Rent payable under this Lease shall thereafter abate proportionately and all other appropriate recalculations
shall be made to recognize that the rentable area of the Premises under this Lease has been reduced. 

  

	12.5	Consent to Assignment or Subletting: If the Landlord does not exercise its rights set out in Sections 12.2(a), (b), (c), or (d) above, the Tenant may sublet the Premises or assign this Lease, as applicable,
subject to the consent of the Landlord being first obtained, which consent may be conditional upon the following: 

  

	 	(a)	the Tenant delivering the Transfer Fee to the Landlord; 

  

	 	(b)	if the Base Rent (net of reasonable out of pocket costs for commissions, cash allowances and leasehold improvements required by and made for, or on behalf of, the Transferee by the Tenant, amortized on a straight line
basis over the term of the Transfer) to be paid by the Transferee exceeds the Base Rent payable by the Tenant under this Lease, the amount of such excess shall be paid forthwith by the Tenant to the Landlord; 

 

	 	(c)	the Transferee executing and delivering a consent agreement, on the Landlord’s standard form agreeing to be bound by the terms of the Lease; and 

 

	 	(d)	if the Landlord consents to a Transfer or a consent to transfer is obtained by the Order of Court of competent jurisdiction, the Landlord shall have the right to increase Base Rent payable for the balance of the Term to
fair market value for similar improved premises in similar buildings in the city in which the Building is located. 

  

	12.6	Improvements at the Tenant’s Cost: In the event any partial sublease or partial assignment is made pursuant to this Article 12, the Tenant shall bear the cost of all Leasehold Improvements (including,
without limiting the generality of the foregoing, all demising walls, entrance doors, mechanical and electrical modifications) necessary to separate the area to be sublet or assigned from the remainder of the Premises and the Tenant shall also be
responsible for the removal of all Leasehold Improvements, if requested by the Landlord, at the expiry of all sublease agreements. 

  

	12.7	Tenant’s Obligations Continue: No assignment or disposition by the Tenant of this Lease or of any interest under this Lease shall relieve the Tenant from the performance of its covenants, obligations or
agreements under this Lease. Such assignment or other disposition shall render null and void at the time of such assignment or other disposition any options to renew contained in this Lease and any options or rights to additional area unless the
Landlord shall have otherwise agreed in writing. 

  

	12.8	No Deemed Consent: The Landlord’s consent to any Transfer shall not be effective unless given by the Landlord in writing, and no such consent shall be deemed or presumed by any act or omission of the
Landlord other than consent in writing, nor shall any consent be deemed to be a consent to any future Transfer by the Tenant or by any Transferee. Without limiting the generality of the foregoing, the Landlord may collect Rent and any other amounts
from any Transferee and apply the net amount collected to the Rent and other amounts payable pursuant to this Lease, and the collection or acceptance of such amounts shall not be deemed to be a waiver of the Landlord’s rights under this Article
12 nor an acceptance of or consent to any such Transfer. 

  
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	12.9	Subsequent Assignments: The Landlord’s consent to an assignment, transfer or subletting (or use or occupation of the Premises by any other person) shall not be deemed to be a consent to any subsequent
assignment, transfer, subletting, use or occupation. 

  

	12.10	Change in Corporate Control: If the sale, assignment, transfer or other disposition of any of the issued and outstanding capital stock of the Tenant (or of any successor or assignee of the Tenant which is a
corporation) shall result in changing the control of the Tenant such sale, assignment, transfer or other disposition shall be deemed an assignment of this Lease and shall be subject to all of the provisions of this Lease with respect to assignments
by the Tenant, provided, however, that the Landlord’s consent shall not be required to an assignment or transfer of the issued and outstanding capital stock of the Tenant: 

 

	 	(a)	to a corporation controlled by or subject to the same control as the assignor or transferor; or 

  

	 	(b)	if the Tenant is a public corporation whose shares are traded and listed on any recognized stock exchange in Canada or in the United States; or 

 

	 	(c)	to a member or members of the family of the assignor or transferor; or 

  

	 	(d)	in the case of devolution through death; 

 so long as in either case prior to or as soon as
reasonably possible thereafter, the Landlord has received assurances satisfactory to the Landlord that there will be a continuity of the existing management of the Tenant, and of its business practices and policies notwithstanding any such sale,
transfer or other disposition of controlling shares. 
 For the purpose of this Section 12.10, “control” of any corporation shall
be deemed to be vested in the person or persons owning more than fifty percent (50%) of the voting power for the election of the board of directors of such corporation and a “member or members” of the family of any assignor shall include
his spouse, parents, brother or sisters and issue. 
  

	12.11	Securing Loan: The restrictions on assigning and subletting as aforesaid shall apply, mutatis mutandis, to any assigning, subletting, mortgaging or other transferring of the Premises or this Lease or
Leasehold Improvements by the Tenant for the purpose of securing any loan. 

  

	12.12	Unamended Lease Terms: If the Tenant receives the Landlord’s written consent to a Transfer under the provisions of this Article 12, the Tenant, the Landlord and proposed Transferee specifically agree that
notwithstanding anything to the contrary contained herein, all terms, covenants and conditions of this Lease shall remain as herein specified including, without limitation, the provisions of this Lease relating to the use, business name and
character of the business, unless such sections are specifically amended in writing between the Tenant and the Landlord. 

  

	12.13	No Advertising: The Tenant shall not advertise the whole or any part of the Premises or this Lease for the purpose of a Transfer and shall not print, publish, post, display or broadcast any notice or
advertisement to that effect and shall not permit any broker or other person to do any of the foregoing, unless the complete text and format of any such notice, advertisement or offer is first approved in writing by the Landlord. Without in any way
restricting or limiting the Landlord’s right to refuse any text or format on other grounds, any text or format proposed by the Tenant shall not contain any reference to the rental rate of the Premises. 

ARTICLE 13 – SURRENDER 
  

	13.1	Possession: At the expiration or earlier termination of the Term, the Tenant shall peaceably surrender and yield up to the Landlord the Premises and all Leasehold Improvements made, constructed, erected or
installed in the Premises in good and substantial repair and condition in accordance with its covenants to maintain and repair the Premises. The Tenant shall surrender all keys for the Premises to the Landlord at the place then fixed for payment of
Rent, and shall inform the Landlord of all combinations of locks, safes and vaults, if any, in the Premises. 

  

	13.2	Removal of Improvements, Fixtures and Goods: Upon the expiration or earlier termination of the Term and at the Tenant’s cost, the Tenant shall be responsible to remove all office machines, equipment,
furniture, safes or vaults, data and telecommunications cabling and Leasehold Improvements (as may be required by the Landlord), and shall make good any damage caused by reason of the installation and removal of such items. Notwithstanding the
foregoing, the Tenant shall not remove any trade fixtures, goods or chattels of any kind from the Premises until all rent and other monies due by the Tenant to the Landlord are paid. Any removal of equipment or Leasehold Improvements, which is
undertaken pursuant to this clause, and restoration of the Premises to good order and condition, reasonable wear and tear excepted, shall be completed prior to the expiry of the Term. The Tenant’s obligations to observe or perform this covenant
shall survive the expiration or earlier termination of this Lease. 

  

	13.3	Landlord Property: All Leasehold Improvements made, constructed, erected or installed in the Premises and not required by the Landlord to be removed are the property of the Landlord. 

  

	13.4	Tenant’s Failure to Remove and Repair: Should the Tenant fail to remove any Leasehold Improvements which it has been instructed to remove by the Landlord, or any trade fixtures, goods or chattel of any kind
from the Premises or to repair the Premises prior to the expiry or earlier termination of the Term of this Lease then the Landlord may, at its option, remove such Leasehold Improvements which the Landlord had instructed the Tenant to remove, remove
trade fixtures, goods or chattels of the Tenant of any kind and repair any damage caused to the Premises by their removal at the Tenant’s expense including an Administration Fee and may dispose of same in any manner which the Landlord sees fit
without compensation of any kind whatsoever to the Tenant, all in accordance with Section 20.5. 

  
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	13.5	Termination of Sublease: The expiry or early termination of the Lease shall at the Landlord’s option terminate all or any subleases. 

 

	13.6	Payments After Termination: No payments of money by the Tenant to the Landlord after the expiration or earlier termination of the Term or after giving of any notice (other than a demand for payment of money) by
the Landlord to the Tenant, shall reinstate, continue or extend the Term or make ineffective any notice given to the Tenant prior to the payments of such money. After the service of notice or the commencement of a suit, or after final judgment
granting the Landlord possession of the Premises, the Landlord may receive and collect any sums of Rent due under this Lease, and the payment thereof shall not make ineffective any notice, or in any manner affect any pending suits or any judgment
therefor obtained. 

 ARTICLE 14 – HOLDING OVER 
  

	14.1	Month-to-Month Tenancy: If, with the Landlord’s written consent, the Tenant remains in possession of the Premises after the expiration or other termination of the Term, the Tenant shall be deemed to be
occupying the Premises on a month-to-month tenancy only, at a monthly rental equal to one and one quarter times the Base Rent payable by the Tenant in the last month of the Term or such other rental as is
stated in such written consent, and such month-to-month tenancy may be terminated by the Landlord or the Tenant on the last day of any calendar month by delivery of at least thirty (30) days’ advance written notice of termination to the other,
as the case may be. 

  

	14.2	Tenancy at Sufferance: If, without the Landlord’s written consent, the Tenant remains in possession of the Premises after the expiration or other termination of the Term, the Tenant shall be deemed to be
occupying the Premises upon a tenancy at sufferance only, at a monthly rental equal to two times the current Rent determined in accordance with Article 4. Such tenancy at sufferance may be terminated by the Landlord at any time by notice of
termination to the Tenant on the last day of any calendar month upon thirty (30) days’ advance written notice. 

  

	14.3	General: Any month-to-month tenancy or tenancy at sufferance hereunder shall be subject to all other terms and conditions of the Lease except any right of renewal and nothing contained in this Article 14 shall be
construed to limit or impair any of the Landlord’s rights of re-entry or eviction or constitute a waiver thereof. 

 ARTICLE 15 –
RULES AND REGULATIONS 
  

	15.1	Purpose: The rules and regulations set forth in Schedule D attached hereto have been adopted by the Landlord for the safety, benefit and convenience of all tenants and other persons in the Building. The rules and
regulations may differentiate between different types of businesses in the Building, but the Landlord shall not discriminate against the Tenant in the establishment or enforcement of the rules and regulations. All such rules and regulations shall be
deemed to be incorporated into and form part of this Lease, provided that if there is a conflict between such rules and regulations and the other provisions of this Lease, such other provisions of this Lease shall in all cases prevail.

  

	15.2	Observance: The Tenant shall, at all times, comply with, and shall cause its employees, agents, licensees and invitees to comply with, such rules and regulations attached hereto as Schedule D hereto and such
further and other reasonable rules and regulations and amendments and changes thereto as may be made by the Landlord and notified to the Tenant by mailing a copy thereof to the Tenant or by posting same in a conspicuous place in the Building. All
such rules and regulations now or hereafter in force shall be read as forming part of this Lease. 

  

	15.3	Non-Compliance: The Landlord shall use its reasonable commercial efforts to secure compliance by all tenants and other persons with such rules and regulations from time to time in effect, but shall not be
responsible to the Tenant for failure of any person to comply with such rules and regulations. 

 ARTICLE 16 – EXPROPRIATION 

 

	16.1	Taking of Premises: If during the Term or any renewal thereof all of the Premises shall be taken for any public or quasi-public use under any statute or by right or
expropriation, or purchased under threat of such taking, this Lease shall automatically terminate on the date on which the expropriating authority takes possession of the Premises (the “date of such taking”). 

 

	16.2	Partial Taking of Building: If during the Term only part of the Building is taken or purchased as set out in Section 16.1, then: 

 

	 	(a)	if in the reasonable opinion of the Landlord substantial alteration or reconstruction of the Building is necessary or desirable as a result thereof, whether or not the Premises are or may be affected, the Landlord shall
have the right to terminate this Lease by giving the Tenant at lease thirty (30) days’ written notice of such termination, and 

  

	 	(b)	if more than one-third of the number of square feet in the Premises is included in such taking or purchase, the Landlord and the Tenant shall each have the right to terminate this Lease by giving the other at least
thirty (30) days’ written notice thereof. 

 If either party exercises its right of termination hereunder, this Lease
shall terminate on the date stated in the notice, provided however, that no termination pursuant to notice hereunder may occur later than sixty (60) days after the date of such taking. 

  
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	16.3	Surrender: On any such date of termination under Sections 16.1 or 16.2, the Tenant shall immediately surrender the Premises and all interest therein under this Lease to the Landlord pursuant to Article 13.
The Landlord may re-enter and take possession of the Premises and remove the Tenant therefrom, and the Rent shall abate on such date in respect of the portion taken. After such termination, and on notice from the Landlord stating the Rent then
owing, the Tenant shall forthwith pay the Landlord such Rent. 

  

	16.4	Partial Taking of Premises: If any portion of the Premises (but less than the whole thereof) is so taken, and no rights of termination herein conferred are timely exercised, the Term of the Lease shall expire
with respect to the portion so taken on the date of such taking. In such event the Rent payable hereunder with respect to such portion so taken shall abate on such date, and the rent thereafter payable with respect to the remainder not so taken
shall be adjusted pro rata by the Landlord in order to account for the resulting reduction in the number of square feet in the Premises. 

  

	16.5	Awards: Upon any such taking or purchase, the Landlord shall be entitled to receive and retain the entire award or consideration for the affected lands and improvements, and the Tenant shall not have or advance
any claim against the Landlord for the value of its property or its leasehold estate or the unexpired Term of the Lease, or for costs of removal or relocation, or business interruption expense or any other damages arising out of such taking or
purchase. Nothing herein shall give the Landlord any interest in or preclude the Tenant from seeking and recovering on its own account from the expropriating authority any award or compensation attributable to the taking or purchase of the
Tenant’s improvements, chattels or trade fixtures, or the removal or relocation of its business. If any such award made or compensation paid to either party specifically includes an award or amount for the other, the party first receiving the
same shall promptly account therefor to the other. 

 ARTICLE 17 – DAMAGE BY FIRE OR OTHER CASUALTY 

 

	17.1	Limited Damage to Premises: If all or part of the Premises are rendered untenantable by damage from fire or other casualty which, in the reasonable opinion of the Landlord’s Architect, can be substantially
repaired under applicable laws and government regulations within one hundred and eighty (180) days from the date of such casualty (employing normal construction methods without overtime or other premium), the Landlord and the Tenant, as the
case may be, according to the nature of the damage and their respective obligations to repair, shall repair the damage with all reasonable diligence. 

  

	17.2	Major Damage to Premises: If all or part of Premises are rendered untenantable by damage from fire or other casualty which, in the reasonable opinion of the Landlord’s Architect. cannot be substantially
repaired under applicable laws and governmental regulations within one hundred and eighty (180) days from the date of such casualty (employing normal construction methods without overtime or other premium), then the Landlord may, at its option,
elect to terminate this Lease as of the date of such casualty by written notice to the Tenant not more than ten (10) days after receipt of such Architect’s opinion, failing which the Landlord or the Tenant, as the case may be, according to
the nature of the damage and their respective obligations under this Lease, shall repair such damage with all reasonable diligence. If such notice of termination is given, the Tenant shall deliver up possession of the Premises to the Landlord within
thirty (30) days after delivery of the notice of termination and Rent shall be apportioned and paid to the date on which the Tenant delivers vacant possession of the Premises, subject to any abatement to which the Tenant may be entitled.

  

	17.3	Abatement: If the Landlord is required to repair damage to all or part of the Premises under Sections 17.1 or 17.2 the Rent payable by the Tenant hereunder shall be proportionately reduced to the extent that
the Premises are thereby rendered unusable by the Tenant in its business, from the date of such casualty until five (5) days after completion by the Landlord of the repairs to the Premises (or part thereof rendered untenantable) or until the
Tenant again uses the Premises (or part thereof rendered untenantable) in its business, whichever first occurs. 

  

	17.4	Major Damage to Building: If all or a substantial part (whether or not including the Premises) of the Building is rendered untenantable by damage from fire or other casualty to such a material extent that in the
reasonable opinion of the Landlord the Building must be totally or partially demolished or reconstructed whether or not to be reconstructed in whole or in part, the Landlord may elect to terminate this Lease as of the date of such casualty (or on
the date of notice if the Premises are unaffected by such casualty) by written notice delivered to the Tenant not more than sixty (60) days after the date of such casualty, in which event: 

 

	 	(a)	the Tenant shall deliver up possession of the Premises to the Landlord within thirty (30) days after delivery of the notice of termination; and 

 

	 	(b)	Rent shall be apportioned and paid to the date upon which possession has been delivered up. 

 In
the event the Landlord does not terminate this Lease, the Landlord or the Tenant, as the case may be, according to the nature of the damage and their respective obligations under this Lease, shall repair such damage with all reasonable diligence.

  

	17.5	Limitation on the Landlord’s Liability: Except as specifically provided in this Article 17, there shall be no reduction of Rent and the Landlord shall have no liability to the Tenant by reason of any
injury to or interference with the Tenant’s business or property arising from fire or other casualty, howsoever caused, or from the making of any repairs resulting therefrom in or to any portion of the Building or the Premises. Notwithstanding
anything contained herein, Rent payable by the Tenant hereunder shall not be abated if the damage is caused by any act or omission of the Tenant, its agents, servants, employees or any other person entering upon the Premises under express or implied
invitation of the Tenant. 

  
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 ARTICLE 18 – TRANSFERS BY LANDLORD 

 

	18.1	Sale, Conveyance and Assignment: Nothing in this Lease shall restrict the right of the Landlord to sell, convey, assign or otherwise deal with the Lands or the Building, subject only to the rights of the Tenant
under this Lease. 

  

	18.2	Effect of Sale, Conveyance or Assignment: A sale, conveyance or assignment of the Lands and Building shall operate to release the Landlord of liability, from and after the effective date thereof, upon all of the
covenants, terms and conditions of this Lease, express or implied, except as such may relate to the period prior to such effective date, and the Tenant shall thereafter look solely to the Landlord’s successor in interest in and to this Lease.
This Lease shall not be affected by any such sale, conveyance or assignment, and the Tenant shall attorn to the Landlord’s successor in interest thereunder. 

  

	18.3	Subordination: This Lease is and shall be subject and subordinate in all respects to any and all mortgages and security interests now or hereafter placed on the Building or Lands, and to all renewals,
modifications, consolidations, replacements and extensions thereof. 

  

	18.4	Attornment: If the interest of the Landlord is transferred to any person (herein called the “Purchaser”) by reason of foreclosure or other proceedings for enforcement of any such mortgage, or by
delivery of a deed in lieu of such foreclosure or other proceedings, the Tenant shall immediately and automatically attorn to the Purchaser. 

  

	18.5	Effect of Attornment: Upon attornment this Lease shall continue in full force and effect as a direct lease between the Purchaser and the Tenant, upon all of the same terms, conditions and covenants as are set
forth in the Lease except that, after such attornment, the Purchaser shall not be: 

  

	 	(a)	liable for any act or omission of the Landlord; or 

  

	 	(b)	subject to any offsets or defences which the Tenant might have against the Landlord; or 

  

	 	(c)	bound by a prepayment by the Tenant of more than one month’s installment of Rent, unless such prepayment shall have been approved in writing by Purchaser or any predecessor in interest except the Landlord.

  

	18.6	Execution of Instruments: The subordination and attornment provisions of this Article 18 shall be self-operating and no further instrument shall be required. Nevertheless the Tenant will, within five
(5) days after request, sign and deliver any reasonably requested document confirming the subordination or the attornment. 

 ARTICLE
19 – NOTICES, ACKNOWLEDGEMENTS, AUTHORITIES FOR ACTION 
  

	19.1	Notices: Any notice from one party to the other hereunder shall be in writing and shall be deemed duly served if delivered personally to a responsible employee of the party being served or if delivered by
facsimile to the party being served at the number set forth in Section 1.1(k) or if delivered by courier addressed to the Tenant at the Premises (whether or not the Tenant has departed from, vacated or abandoned the same), or to the Landlord at
the address set forth in Section 1.1(k) or any other place from time to time established for the payment of Rent. Any notice shall be deemed to have been given at the time of personal delivery or time of facsimile provided confirmation can be
confirmed or if by overnight courier the next business day. Either party shall have the right to designate by notice, in the manner above set forth, a different address to which notices are to be delivered. 

The word “notice” in this paragraph shall be deemed to include any request, statement or other writing in this Lease provided or
permitted to be given from the Landlord to the Tenant or by the Tenant to the Landlord. If there is more than one party named as Tenant, notice to one shall be deemed sufficient as notice to all. 

 

	19.2	Acknowledgement: Each of the parties hereto shall at any time and from time to time upon not less than 10 days prior notice from the other execute, acknowledge and deliver a written statement in such form as may
be requested by the Landlord acting reasonably certifying that: 

  

	 	(a)	this Lease is in full force and effect, subject only to such modification (if any) as may be set out therein, 

  

	 	(b)	the Tenant is in possession of the Premises and paying Rent as provided in this Lease, 

  

	 	(c)	the dates (if any) to which Rent is paid in advance, and 

  

	 	(d)	that there are not, to such party’s knowledge any uncured defaults on the part of the other party hereunder, or specifying such defaults in any are claimed. 

Any such statement may be relied upon by any prospective transferee or encumbrancer of all or any portion of the Building, or any assignee of
any such persons. If the Tenant fails to timely deliver such statement, the Tenant shall be deemed to have acknowledged that this Lease is in full force and effect, without modification except as may be represented by the Landlord, and that there
are no uncured defaults in the Landlord’s performance. 
  

	19.3	Authorities for Action: The Landlord may act in any matter provided for herein by its property manager and any other person who shall from time to time be designated by the Landlord by notice to the Tenant. The
Tenant shall designate in writing one or more persons to act on its behalf in any matter provided for herein and may from time to time change, by notice to the Landlord, such designation. In the absence of any such designation, the person or persons
executing this Lease for the Tenant shall be deemed to be authorized to act on behalf of the Tenant in any matter provided for herein. 

  
 -20- 

 ARTICLE 20 – DEFAULT 
  

	20.1	Events of Default: In the event of the happening of any one of the following events: 

  

	 	(a)	the Tenant shall have failed to pay a monthly installment of Rent or any other amount payable hereunder when due; or 

  

	 	(b)	if any policy of insurance upon the Lands or any part thereof from time to time effected by the Landlord shall be cancelled or about to be cancelled by the insurer by reason of the use or occupation of the Premises by
the Tenant or any assignee, subtenant or licensee of the Tenant or anyone permitted by the Tenant to be upon the Premises and the Tenant after receipt of notice in writing from the Landlord shall have failed to take such immediate steps in respect
of such use or occupation as shall enable the Landlord to reinstate or avoid cancellation (as the case may be) of such policy of insurance; or 

  

	 	(c)	the Premises or any portion thereof shall, without the prior written consent of the Landlord, be used or occupied by any other persons than the Tenant or its permitted assigns or subtenants or for any purpose other than
that for which they were leased or occupied or by any persons whose occupancy is prohibited by this Lease; or 

  

	 	(d)	the Premises shall be vacated or abandoned, or remain unoccupied without the prior written consent of the Landlord for fifteen (15) consecutive days or more while capable of being occupied; or 

 

	 	(e)	the Tenant makes a bulk sale of its goods or removes or commences, attempts or threatens to remove its goods, chattels, and equipment out of the Premises (other than in the normal course of its business); or

  

	 	(f)	the balance of the Term of this Lease or any of the goods and chattels of the Tenant located in the Premises, shall at any time be seized in execution or attachment; or 

 

	 	(g)	the Tenant becomes insolvent or commits an act of bankruptcy or becomes bankrupt or takes the benefit of any statute that may be in force for dissolution or bankrupt or insolvent debtors or becomes involved in voluntary
or involuntary winding-up proceedings or if a receiver or a trustee, receiver or receiver manager or agent or other like person shall be appointed for the business, property, affairs or revenues of the Tenant; or 

 

	 	(h)	the remaining Term of this Lease, or any goods, chattels or equipment of the Tenant is taken or exigible in execution or in attachment, seized or if a writ of execution or a repleven order is issued against the Tenant
or its goods or chattels by any creditor of the Tenant; or 

  

	 	(i)	the Tenant fails to observe, perform and keep each and every one of the covenants, agreements, provisions, stipulations and conditions herein contained to be observed, performed and kept by the Tenant (other than
payment of Rent) and persists in such failure after ten (10) days’ notice by the Landlord requiring that the Tenant remedy, correct, desist or comply (or if any such breach would reasonably require more than ten (10) days to rectify,
unless the Tenant commences rectification within ten (10) days’ notice period and thereafter promptly and effectively and continuously proceeds with the rectification of the breach); 

it shall be deemed an “Event of Default” and the Landlord shall have the rights and remedies set forth in this Article 20, all
of which are cumulative and not alternatives and not to the exclusion of any other or additional rights and remedies in law or equity available to the Landlord by statute or otherwise. No such remedy shall be exclusive or dependent upon any other
such remedy, but the Landlord may from time to time exercise any one or more of such remedies independently or in combination. 
  

	20.2	Interest and Costs to Lease Space: The Tenant shall pay to the Landlord interest at a rate equal to five percent (5%) per annum over the prime rate charged by the Landlord’s principal banker to the
Landlord, calculated and compounded monthly, upon all Rent required to be paid hereunder from the due date for payment thereof until the same is fully paid and satisfied. The Tenant shall indemnify the Landlord against all costs and charges lawfully
and reasonably incurred in enforcing payment thereof, and in obtaining possession of the Premises after default of the Tenant or upon expiration or earlier termination of the Term of this Lease, or in enforcing any covenant, provision or agreement
of the Tenant herein contained. 

  

	20.3	Legal Expenses: In case suit shall be brought for recovery of possession of the Premises, for the recovery of Rent or any other amount due under the provisions of this Lease, or because of the breach of any other
covenant herein contained on the part of the Tenant to be kept or performed and a breach shall be established, the Tenant shall pay to the Landlord all expenses incurred therefor, including reasonable solicitors’ and counsel fees on a solicitor
and his/her client basis. 

  

	20.4	General Security Agreement: For value received, the Tenant hereby grants to the Landlord a security interest (the “Security Interest”) in all presently owned and hereafter acquired personal property of
the Tenant of whatsoever nature and kind and wheresoever situate and all proceeds thereof and therefrom, renewals thereof, accessions thereto and substitutions therefor, (all of which are herein collectively called the “Collateral”),
including, without limiting the generality of the foregoing, all the presently owned or held and hereafter acquired right, title and interest of the Tenant in and to all goods (including all accessories, attachments, additions and accessions
thereto), chattel paper, documents of title (whether negotiable or not), instruments, intangibles, licenses, money, securities, and all: 

  

	 	(a)	inventory of whatsoever nature and kind and wheresoever situate; 

  
 -21- 

	 	(b)	equipment (other than inventory) of whatsoever nature and kind and wheresoever situate, including, without limitation, all machinery, tools, apparatus, plant, furniture, fixtures and vehicles of whatsoever nature and
kind; 

  

	 	(c)	book accounts and book debts and generally all accounts, debts, dues, claims, actions and demands of every nature and kind howsoever arising or secured including letters of credit, letters of guarantee and advices of
credit, which are now due, owing or accruing or growing due to or owned by or which may hereafter become due, owing or accruing or growing due to or owned by the Tenant; 

 

	 	(d)	deeds, documents, writings, papers, books of account and other books relating to or being records of debts, chattel paper or documents of title or by which such are or may hereafter be secured, evidenced, acknowledged
or made payable; 

  

	 	(e)	contractual rights and insurance claims and all goodwill; and 

  

	 	(f)	monies other than trust monies lawfully belonging to others; 

 as general and continuing
security for payment, performance and satisfaction of each and every obligation, indebtedness and liability of the Tenant to the Landlord, present or future, direct or indirect, absolute or contingent, matured or not, extended or renewed,
wheresoever and howsoever incurred, and any ultimate unpaid balance thereof, including obligations of the Tenant under this Lease (all of which obligations, indebtedness and liabilities are herein collectively called the “Obligations”).

 The Tenant confirms and agrees that the Security Interest is complete and valid without the necessity of any other or further
documentation in respect thereof and is intended to constitute a security agreement as defined in the Personal Property Security Act of the province in which the Building is located, as may be amended from time to time (the “Act”).
This security agreement is separate from and shall survive the termination, expiry, surrender, repudiation, disaffirmance or disclaimer of this Lease. Upon an Event of Default by the Tenant of any of its obligations pursuant to this Lease, the
Landlord shall be entitled, at its sole option (and without any obligation so to do), to exercise any remedies available to it as a secured party under the Act in respect of the Collateral. The Security Interest is given in addition to, and not as
an alternative to and not in substitution for any other security or securities which the Landlord may now or from time to time hold or take from the Tenant or from any other person whomsoever, and the grant of security hereunder is made without
prejudice to any of the rights and remedies afforded to the Landlord under the Act, hereunder or at law or in equity, any of which may be exercised by the Landlord without prejudice, to the Landlord’s right of distress. The Tenant covenants and
agrees that all Collateral located on the Premises from time to time shall be owned by the Tenant and except in the ordinary course of the Tenant’s business, the Tenant shall not at any time without the prior written consent not to be
unreasonably withheld, dispose of all or any part of the Collateral. 
 Upon any default under this Lease, the security constituted by this
Lease shall immediately become enforceable, and any floating charge will immediately attach the Tenant’s real property and Collateral. To enforce and realize on the security constituted by this Lease, the Landlord may take any action permitted
by law or in equity, as it may deem expedient, and in particular, but without limiting the generality of the foregoing, the Landlord may exercise any of its remedies hereunder, including appointing by instrument a receiver, receiver and manager, or
receiver-manager (the person so appointed is called the “Receiver”) of the Collateral, with or without bond as the Landlord may determine, and from time to time in its absolute discretion remove such Receiver and appoint another in its
stead. 
 A Receiver appointed under this Lease shall be the agent of the Tenant and not of the Landlord, and the Landlord shall not be in
any way responsible for any misconduct, negligence or nonfeasance on the part of any Receiver, its servants, agents, or employees. A Receiver shall, to the extent permitted by law or to such lesser extent permitted by its appointment, have all the
powers of the Landlord under this Lease, and in addition shall have power to carry on the business of the Tenant and for such purpose to enter upon, use, and occupy all premises owned or occupied by the Tenant in which Collateral may be situate,
maintain Collateral upon such premises, use Collateral directly or indirectly in carrying on the Tenant’s business, and from time to time borrow money either unsecured or secured by a security interest in any of the Collateral. 

The Tenant irrevocably appoints the Landlord or the Receiver, as the case may be, with full power of substitution, to be the attorney of the
Tenant for and in the name of the Tenant to sign, endorse, or execute under seal or otherwise any deeds, documents, transfers, cheques, instruments, demands, assignments, assurances, or consents that the Tenant is obliged to sign, endorse, or
execute, and generally to use the name of the Tenant and to do all things as may be necessary or incidental to the exercise of all or any of the powers conferred on the Landlord or the Receiver, as the case may be, under this Agreement. 

 

	20.5	Right of the Landlord to Perform Covenants: All covenants and agreements to be performed by the Tenant under any of the terms of this Lease shall be performed by the Tenant, at the Tenant’s sole cost and
expense, and without abatement of Rent. If the Tenant shall fail to perform any act on its part to be performed hereunder, and such failure shall continue for ten (10) days after notice thereof from the Landlord, the Landlord may (but shall not
be obligated so to do) perform such an act without waiving or releasing the Tenant from any of its obligations relative thereto, and in so doing to make any payments due or alleged to be due by the Tenant to the third parties and to enter upon the
Premises to do any work or other things therein. All sums paid or costs incurred by the Landlord in so performing such acts under this Section 20.5 plus an Administration Fee shall be payable by the Tenant to the Landlord on demand and shall be
recoverable by the Landlord as Rent. 

  

	20.6	Right to Distrain: At the option of the Landlord, the following shall become fully and immediately due and payable by the Tenant and the Landlord may immediately distrain for the same, together with any arrears
then unpaid: 

  

	 	(a)	the full amount of the current month’s and the next ensuing three months’ installments of Base Rent, 

  

	 	(b)	all expenses incurred by the Landlord in performing any of the Tenant’s obligations under this Lease, re-entering and re-letting, collecting sums due or payable by the Tenant, effecting seizure and realizing upon
assets seized (including brokerage, legal fees and disbursements), and the expense of keeping the Premises in good order, repairing the same and preparing them for re-letting. 

The Landlord may seize and sell such goods, chattels and equipment of the Tenant whether within the Premises or removed therefrom and may apply
the proceeds thereof to all Rent and other payments to which the Landlord is then entitled under this Lease. Any such sale may be effected in the discretion of the Landlord by public auction or otherwise, and either in bulk or by individual item, or
partly by one means and partly by another, all as the Landlord in its entire discretion may decide. If any of the Tenant’s property is disposed of as provided in this Section 20.6, ten (10) days’ prior notice to the Tenant of
disposition shall be deemed to be commercially reasonable. 
  

	20.7	Right to Place Lien: If the Tenant shall at any time be in default under any covenant or agreement contained herein the Landlord shall have a lien on all stock in trade and inventory of the Tenant located in the
Premises as security against loss or damage resulting from any such default by the Tenant and such stock in trade and inventory shall not be removed from the Premises by the Tenant until such default is cured unless otherwise directed by the
Landlord. 

  

	20.8	Right to Terminate – General: If the Tenant is in default pursuant to Section 20.1, the Landlord has the right to terminate this Lease forthwith by leaving upon the Premises or by affixing to an
entrance door to the Premises notice terminating the Lease and to immediately thereafter cease to furnish any services hereunder and enter into and upon the Premises or any part thereof in the name of the whole and the same to have again, repossess
and enjoy as of its former estate, anything in this Lease contained to the contrary notwithstanding. 

 Upon the giving by the
Landlord of a notice in writing, terminating this Lease, this Lease and the Term shall terminate, Rent and any other payments for which the Tenant is liable under this Lease shall be computed, apportioned and paid in full to the date of such
termination forthwith, and there shall immediately become due and payable those amounts payable pursuant to Section 20.13. Upon termination of this Lease and the Term, the Tenant shall immediately deliver up possession of the Premises to the
Landlord, and the Landlord may forthwith re-enter and take possession of them. 

  
 -22- 

	20.9	Right to Terminate – Accelerated Rent: The Landlord may terminate this Lease at its sole option if and whenever the Tenant is in default pursuant to Sections 20.1(e) to (h) unless such execution,
attachment or similar process, action or proceeding be set aside, vacated, discharged or abandoned within fifteen (15) days after its commencement. In the event that this Lease is terminated pursuant to this Section 20.9 the Tenant shall, in
addition to meeting all the requirements of Section 20.8 forthwith pay to the Landlord rent for three (3) months next ensuing after the termination of this Lease as accelerated rent. 

 

	20.10	Right to Re-enter: If the Tenant is in default pursuant to Section 20.1, the Landlord has the right to enter the Premises, with or without canceling the Lease, as agent of the Tenant and as such agent to
re-let them and to receive the rent therefor and as agent of the Tenant to take possession of any furniture or other property thereon and upon giving ten (10) days’ written notice to the Tenant to store the same at the expense and risk of
the Tenant or to sell or otherwise dispose of the same at public or private sale without further notice and to apply the proceeds thereof and any rent derived from re-letting the Premises upon account of the Rent due and to become due under this
Lease and the Tenant shall be liable to the Landlord for the deficiency if any. 

  

	20.11	Waiver of Exemption and Redemption: Notwithstanding anything contained in any statute now or hereafter in force limiting or abrogating the right of distress, none of the Tenant’s goods, chattels or trade
fixtures on the Premises at any time during the continuance of the Term shall be exempt from levy by distress for Rent in arrears, and upon any claim being made for such exemption by the Tenant or on distress being made by the Landlord this
agreement may be pleaded as an estoppel against the Tenant in any action brought to test the right to levying upon any such goods as are named as exempted in any such statute, the Tenant hereby waiving all and every benefit that could or might have
accrued to the Tenant under and by virtue of any such statute but for this Lease. The Tenant hereby expressly waives any and all rights of redemption granted by or under any present or future laws in the event of the Tenant being evicted or
dispossessed for any cause, or in the event of the Landlord obtaining possession of the Premises, by reason of the violation by the Tenant of any of the terms or conditions of the Lease or otherwise. 

 

	20.12	Surrender: If and whenever the Landlord is entitled to or does re-enter, the Landlord may terminate this Lease by giving notice thereof, and in such event the Tenant shall forthwith vacate and surrender the
Premises and shall surrender the Premises pursuant to Article 13. 

  

	20.13	Payments: If the Landlord shall re-enter or if this Lease shall be terminated hereunder, the Tenant shall pay to the Landlord on demand: 

 

	 	(a)	Rent up to the time of re-entry or termination, whichever shall be the later, plus accelerated rent as herein provided; 

  

	 	(b)	all expenses incurred by the Landlord in performing any of the Tenant’s obligations under this Lease, re-entering or terminating and re-letting, collecting sums due or payable by the Tenant, realizing upon assets
seized (including brokerage, legal fees and disbursements), and the expense of keeping the Premises in good order, repairing the same and preparing them for re-letting; and 

 

	 	(c)	 as damages for the loss of income of the Landlord expected to be derived from the Premises, the amounts (if any)
by which the Rent which would have been payable under this Lease exceeds the payments (if any) received by the Landlord from other tenants in the Premises, payable on the first day of each month during the period which would

  
 -23- 

	 	
have constituted the unexpired portion of the Term had it not been terminated, or at the election of the Landlord by notice to the Tenant at or after re-entry or termination, a lump sum amount
equal to the Rent which would have been payable under this Lease from the date of such election during the period which would have constituted the unexpired portion of the Term had it not been terminated, reduced by the rental value of the Premises
for the same period, established by reference to the terms and conditions upon which the Landlord re-lets them if such re-letting is accomplished within a reasonable period after termination, and otherwise established by reference to all market and
other relevant circumstances; Rent and rental value being reduced to present worth at an assumed interest rate of ten percent (10%) on the basis of the Landlord’s estimates and assumptions of fact which shall govern unless shown to be
erroneous. 

 ARTICLE 21 – HAZARDOUS SUBSTANCES 
  

	21.1	The Tenant covenants and agrees that it will: 

  

	 	(a)	not bring or allow any Hazardous Substance to be brought onto the Lands or the Building or the Premises except in compliance with Environmental Law; 

 

	 	(b)	comply at all times and require all those for whom the Tenant is in law responsible to comply at all times with Environmental Law as it affects the Premises or the Lands or Building; 

 

	 	(c)	give notice to the Landlord of the presence at any time during the Term of any Hazardous Substance on the Premises (or the Lands or the Building if such substance is in the control of the Tenant) together with such
information concerning such Hazardous Substance and its presence on the Premises or the Lands or the Building as the Landlord may require; 

  

	 	(d)	give notice to the Landlord of any occurrence which might give rise to a duty under Environmental Law by either the Tenant or the Landlord with respect to the presence of any Hazardous Substance on the Premises or the
Lands or the Building including, without limitation, notice of any discharge, release, leak, spill or escape into the environment of any Hazardous Substance at, to or from the Premises or the Lands or the Building; 

 

	 	(e)	at the Landlord’s request provide the Landlord with copies of all of the Tenant’s records with respect to the presence, storage, handling and disposal of Hazardous Substances on the Premises or the Lands or
the Building (including tank measurements, policies and procedures and evidence of compliance therewith); 

  

	 	(f)	in any case where the Tenant has given notice as to the presence of a Hazardous Substance at the Premises or the Lands or the Building, or is required to give such notice, or where the Landlord has reasonable grounds to
believe that any Hazardous Substance is going to be or has been brought to the Premises or the Lands or the Building by the Tenant or any person for whom the Tenant is in law responsible, to commission an environmental audit at the Tenant’s
expense when required by the Landlord to do so; 

  

	 	(g)	comply with any investigative, remedial or precautionary measures required under Environmental Law or as reasonably required by the Landlord, be fully and completely liable to the Landlord for any and all investigation,
clean up, remediation, restoration or monitoring costs or any costs incurred to comply with Environmental Law or any request by the Landlord that such measures be taken; 

 

	 	(h)	protect, indemnify and save each of the Landlord and its directors, officers, employees, agents, successors and assigns completely harmless from and against any Environmental Claim, directly or indirectly incurred,
sustained or suffered by or asserted against the Landlord and/or its directors, officers, employees, agents, successors and assigns caused by or attributable to, either directly or indirectly, any act or omission of the Tenant and/or any person for
whom the Tenant is in law responsible; 

  

	 	(i)	enter into any additional contract of insurance respecting the Premises which the Landlord may reasonably require to protect the Landlord and its directors, officers, employees, agents, successors and assigns from any
Environmental Claim respecting the Premises; 

  

	 	(j)	provide to the Landlord such security as the Landlord may from time to time require, acting reasonably, to ensure compliance by the Tenant of its covenants herein contained; and 

 

	 	(k)	provide access to the Premises for the Landlord or its agents to conduct an environmental audit of the Premises, at the Tenant’s expense, at least two (2) months prior to the expiry of the Term of this Lease.

  

	21.2	Tenant’s Indemnity: The Tenant will indemnify, hold harmless and defend the Landlord, its respective directors, officers, agents, employees, invitees and representatives from and against any and all losses,
damages, expenses, claims, suits, costs and demands of whatsoever nature resulting from damages or injuries, caused by or arising out of any breach by the Tenant of these covenants, warranties and representations, including any default, act,
omission, negligence in whole or in part, by those for whom in law the Tenant is responsible. The indemnification of the Landlord contained in this Section 21.2 shall not be prejudiced by, and shall survive the termination of, this Lease.

  

	21.3	Inquiries by the Landlord: The Tenant hereby authorizes the Landlord to make inquiries from time to time of any government or quasi-governmental agency having jurisdiction with respect to the Tenant’s
compliance with the Environmental Law at the Premises, and the Tenant covenants and agrees that the Tenant will from time to time provide to the Landlord such written authorization as the Landlord may reasonably require in order to facilitate the
obtaining of such information. The Landlord or its agent may inspect the Premises from time to time without notice, in order to verify the Tenant’s compliance with the Environmental Law and the requirements of this Lease respecting Hazardous
Substance. If the Landlord suspects that the Tenant is in breach of any of its covenants herein, the Landlord and its agent shall be entitled to conduct an environmental audit immediately, and the Tenant shall provide access to the Landlord and its
agent for the purpose of conducting an environmental audit. Such environmental audit shall be at the Tenant’s expense, and the Tenant shall forthwith remedy any problems identified by the environmental audit, and shall ensure that it complies
with all of its covenants herein. Upon request by the Landlord from time to time, the Tenant shall provide to the Landlord a certificate executed by a senior officer of the Tenant certifying ongoing compliance by the Tenant with its covenants
contained herein. 

  

	21.4	Ownership of Hazardous Substances: If the Tenant shall bring or create upon the Premises, the Building, or the Lands any Hazardous Substance or if the conduct of the Tenant’s business shall cause there to be
any Hazardous Substance upon the Premises, the Buidling, or the Lands then, notwithstanding any rule of law to the contrary, such Hazardous Substance shall be and remain the sole and exclusive property of the Tenant and shall not become the property
of the Landlord notwithstanding the degree of affixation of the Hazardous Substance or the goods containing the Hazardous Substance to the Premises, the Building, or the Lands and notwithstanding the expiry or earlier termination of this Lease.

  

	21.5	Landlord’s Remedies upon Default: Upon the Tenant’s material default under this Article 21 and in addition to the rights and remedies set forth elsewhere in this Lease, the Landlord shall be entitled to
the following rights and remedies: 

  

	 	(a)	at the Landlord’s option, to terminate this Lease, and/or 

  

	 	(b)	to recover any and all damages associated with the material default, including without limitation, in addition to any rights reserved or available to the Landlord in respect of an early termination of this Lease,
cleanup costs and charges, civil and criminal penalties and fees, loss of business and sales by the Landlord and other tenants of the Lands or the Building, any and all damages and claims asserted by third parties and the Landlord’s
solicitors’ fees and costs. 

  
 -24- 

 ARTICLE 22 – MISCELLANEOUS 
  

	22.1	Relationship of Parties: Nothing contained in this Lease shall create any relationship between the parties hereto other than that of landlord and tenant, and it is acknowledged and agreed that the Landlord does
not in any way or for any purpose become a partner of the Tenant in the conduct of its business, or a joint venturer or a member of a joint or common enterprise with the Tenant. 

 

	22.2	Name of Building: The Landlord shall have the right, after thirty (30) days’ notice to the Tenant, to change the name, number or designation of the Building, during the Term without liability to the Tenant.

  

	22.3	Applicable Law and Construction: This Lease unless otherwise agreed by the parties shall be governed by and construed under the laws of the jurisdiction in which the Building is located and the parties attorn to
the exclusive jurisdiction of the courts of such Province. The provisions of this Lease shall be construed as a whole according to their common meaning and not strictly for or against the Landlord or the Tenant. The words the Landlord and the Tenant
shall include the plural as well as the singular. Time is of the essence of the Lease and each of its provisions. The captions of the Articles are included for convenience only, and shall have no effect upon the construction or interpretation of
this Lease. 

  

	22.4	Entire Agreement: There are no terms and conditions which at the date of execution of this Lease are additional or supplemental to those set out on the pages of this Lease, and in the Schedules which are attached
hereto and which form part of this Lease. This Lease contains the entire agreement between the parties hereto with respect to the subject matter of this Lease. The Tenant acknowledges and agrees that it has not relied upon any statement,
representation, agreement or warranty except such as is set out in this Lease. Delivery of an unsigned copy of this Lease to the Tenant, notwithstanding insertion of all particulars in the Lease and presentation of any cheque or acceptance of any
monies by the Landlord given by the Tenant as a deposit, does not constitute an offer by the Landlord, and no contractual or other legal right shall be created between the parties hereto until this Lease has been fully executed by both parties and
delivery has been made of an executed copy of this Lease to the Tenant. 

  

	22.5	Amendment or Modification: Unless otherwise specifically provided in the Lease, no amendment, modification, or supplement to this Lease shall be valid or binding unless set out in writing and executed by the
parties hereto in the same manner as the execution of this Lease. 

  

	22.6	Construed Covenants and Severability: All of the provisions of the Lease are to be construed as covenants and agreements as though the word importing such covenants and agreements were used in each separate
Article hereof. Should any provision of this Lease be or become invalid, void, illegal or not enforceable, it shall be considered separate and severable from the Lease and the remaining provisions shall remain in force and be binding upon the
parties hereto as though such provision had not been included. 

  

	22.7	No Implied Surrender or Waiver: No provisions of this Lease shall be deemed to have been waived by the Landlord unless such waiver is in writing and signed by the Landlord. The Landlord’s waiver of a
breach of any term or condition of this Lease shall not prevent a subsequent act, which would have originally constituted a breach, from having all the force and effect of any original breach. Failure of the Landlord to insist upon strict
performance of any of the covenants or conditions of this Lease or to exercise any right herein contained shall not be construed as a waiver or relinquishment for the future of any such covenant, condition or right. The Landlord’s receipt of
Rent with knowledge of a breach by the Tenant of any term or condition of the Lease shall not be deemed a waiver of such term or condition. No act or thing done by the Landlord, its agents or employees during the Term shall be deemed an acceptance
of a surrender of the Premises, and no agreement to accept a surrender of the Premises shall be valid, unless in writing and signed by the Landlord. The delivery of keys to any of the Landlord’s agents or employees shall not operate as a
termination of the Lease or a surrender of the Premises. No payment by the Tenant, or receipt by the Landlord, of a lesser amount than the Rent due hereunder shall be deemed to be other than on account of the earliest stipulated Rent, nor shall any
endorsement or statement on any cheque or any letter accompanying any cheque, or payment as Rent, be deemed an accord and satisfaction, and the Landlord may accept such cheque or payment without prejudice to the Landlord’s right to recover the
balance of such Rent or pursue any other remedy available to the Landlord. 

  

	22.8	Liability Joint/Several: In the event there is more than one entity or person which or whom are parties constituting the Tenant under this Lease, the obligation imposed upon the Tenant under this Lease shall be
joint and several. 

  

	22.9	Registrations: The Tenant shall not register this Lease in applicable Land Title Office in any form without written consent of the Landlord, which consent will not be unreasonably withheld. If such consent is
provided such registration shall be in the form of a short form of lease and shall not refer to any financial terms of this Lease but shall only reference the Premises, Term and any option to extend or renew this Lease, if applicable. The Tenant
shall remove and discharge at the Tenant’s expense the registration of such short form of lease at the expiry or the earlier termination of the Term and in the event of the Tenant’s failure to remove or discharge such registration after
ten (10) days’ written notice by the Landlord or the Tenant, the Landlord may in the name and on behalf of the Tenant execute a discharge of such short form of lease in order to remove such registration and the Tenant hereby irrevocably
constitutes and appoints any officer of the Landlord the true and lawful attorney of the Tenant. 

  

	22.10	Unavoidable Delay: Save and except for the obligations of the Tenant as set forth in this Lease to pay Base Rent, Occupancy Costs, increased rent or other monies to the Landlord, if either party shall fail to
meet its obligations hereunder within the time prescribed and such failure shall be caused or materially contributed to by Force Majeure, such failure shall be deemed not to be a breach of the obligations of such party hereunder and neither party
shall be entitled to compensation from the other for any inconvenience, nuisance or discomfort thereby occasioned, provided that the party claiming Force Majeure shall use reasonable diligence to put itself in a position to carry out its obligations
hereunder. 

  

	22.11	Survival of Obligations: If the Tenant is in default of any of its obligations under this Lease at the time this Lease expires or is terminated: 

 

	 	(a)	the Tenant shall remain fully liable for the performance of such obligations; and 

  

	 	(b)	all of the Landlord’s rights and remedies in respect of such failure shall remain in full force and effect, 

all of which shall be deemed to have survived such expiration or termination of this Lease. Every indemnity, exclusion or release of liability
and waiver of subrogation contained in this Lease or in any of the Tenant or the Landlord’s insurance policies shall survive the expiration or termination of this Lease. 

  
 -25- 

	22.12	No Option: The submission of this Lease for examination does not constitute a reservation of or option to lease for the Premises and this Lease becomes effective as a lease only upon execution and delivery
thereof by the Landlord and the Tenant and the execution and delivery to the Landlord by the indemnifier, if any, of an indemnity agreement. 

  

	22.13	References to Statutes: Any reference to a statute in this Lease includes a reference to all regulations made pursuant to such statute, all amendments made to such statute and regulations in force from time to
time and to any statute or regulation which may be passed and which has the effect of supplementing or superseding such statute or regulations. 

  

	22.14	Counterparts and Execution by Fax: This Lease may be executed by the parties in separate counterparts each of which when so executed and delivered to all of the parties shall be deemed to be and shall be read as
a single Lease among the parties. In addition, execution of this Lease by any of the parties may be evidenced by way of a faxed transmission of such party’s signature (which signature may be by separate counterpart), or a photocopy of such
faxed transmission, and such faxed signature, or photocopy of such faxed signature, shall be deemed to constitute the original signature of such party to this Lease. 

 

	22.15	No Contra Proferentem: This Agreement has been negotiated and approved by the parties and, notwithstanding any rule or maxim of law or construction to the contrary, any ambiguity or uncertainty will not be
construed against either of the parties by reason of the authorship of any of the provisions of this Agreement. 

  

	22.16	Binding Effect: All rights and liabilities herein given to, or imposed upon, the respective parties hereto shall extend to and bind the several respective heirs, executors, administrators, successors and
permitted assigns of the said parties. No rights, however, shall enure to the benefit of any Transferee of the Tenant unless the Transfer to such Transferee has been affected in accordance with the provisions of Article 12 of this Lease.

  

	22.17	Privacy Statement: The parties to this Lease who are individuals consent to the Landlord or an agent on behalf of the Landlord (the “Agent”), collecting, using, and disclosing of the personal
information in this Lease or otherwise collected by or on behalf of the Landlord, the Agent or either of their agents, affiliates, or service providers, for the purposes: 

 

	 	(a)	of considering the Tenant’s offer to lease the Premises and determining the suitability of the Tenant, both for the initial lease term and for the renewal periods (if any); and 

 

	 	(b)	of taking action for collection of Rent in the event of a default of this Lease by the Tenant. 

The consent herein granted includes the disclosure of such information to credit agencies, collection agencies and existing or potential
lenders, investors and purchasers. The parties also consent to, and confirm their authority to consent to, the Landlord’s and the Agent’s collection, use and disclosure, for such purposes, of personal information about employees of such
parties and other individuals whose personal information is provided to or collected by the Agent in connection with this Lease. 

  
 -26- 

 IN WITNESS WHEREOF the Landlord and the Tenant have executed this Lease as of the day and year first above
written. 
  

			
	POPLAR PROPERTIES LTD.,
	by its duly authorized agent, Triovest Realty Advisors (B.C.) Inc.
	(LANDLORD)	 	
		
	Per:	 	/s/ Sandy Cruickshank
		 	  

		
	Name & Title:	 	Sandy Cruickshank, Executive Vice President
		 	  

		
	Per:	 	/s/ Edith Hewitt
		 	  

		
	Name & Title:	 	Edith Hewitt, Vice President, Asset Management
		 	  

	
	We have the authority to bind the corporation.
	
	ZYMEWORKS INC.
	(TENANT)
		
	Per:	 	/s/ David Tucker
		 	  

		
	Name & Title:	 	DAVID TUCKER, COO.
		 	  

	
	I have the authority to bind the corporation.

  
 -27- 

 SCHEDULE A – FLOOR PLAN – FIFTH FLOOR 

 
 

 

  
 Schedule A - 1 

 SCHEDULE A – FLOOR PLAN – SIXTH FLOOR 

 
 

 

  
 Schedule A - 2 

 SCHEDULE B – LEGAL DESCRIPTION 

Parcel Identifier: 007-180-314 
 Lot A, Block 312, District Lot
526, Plan 18387 
 City of Vancouver, Province of British Columbia 

  
 Schedule B - 1 

 SCHEDULE C – OCCUPANCY COSTS 

ARTICLE 1 – DEFINITIONS 
 In this Lease
“Occupancy Costs” means the amount equal to the Tenant’s Proportionate Share of Real Estate Taxes and Operating Expenses calculated in accordance with generally accepted accounting principles, on a per square foot basis, in each
Fiscal Year without duplication. 
  

	 	(a)	“Real Estate Taxes” means: 

  

	 	i)	any form of assessment (including any “special” assessment), property tax, license fee, license tax, business license fee, business license tax, business improvements association assessment, including those
areas designated for parking including parking facilities, local improvement assessment, commercial rental tax, levy, charge, penalty or tax, including an environmental or carbon tax, imposed by any authority having the direct power to tax,
including any city, county, provincial or federal government, or any, school, agricultural, lighting, water drainage or other improvement or special district thereof, against the Premises or the Building or the Lands or any legal or equitable
interest of the Landlord therein; 

  

	 	ii)	any tax on the Landlord’s right to rent the Premises or against the Landlord’s business of leasing the Premises; 

  

	 	iii)	any assessment, tax, fee, levy or charge in substitution, partially or totally, of or in addition to any assessment, tax, fee, levy or charge previously included within the definition of Real Estate Taxes which may be
imposed by governmental agencies for such services as fire protection, street, sidewalk and road maintenance, refuse removal and for other governmental services provided to property owners or occupants; 

 

	 	iv)	all business taxes and other taxes, if any, from time to time payable by the Landlord with respect to the Common Areas; 

  

	 	v)	Capital Tax as it relates to or is attributable by the Landlord to the Building. The Landlord confirms to the Tenant that the Landlord is presently exempt from the payment of Capital Tax, and accordingly Capital Taxes
are not currently a recoverable expense under this Lease; 

  

	 	vi)	all taxes or business taxes, if any, not recovered, or which in the Landlord’s opinion are not recoverable, from tenants of the Building; and 

 

	 	vii)	all costs incurred by the Landlord contesting or appealing the Real Estate Taxes (including, without limitation, legal, appraisal and other professional fees and costs and administration and overhead costs).

 Real Estate Taxes shall not include the Landlord’s income, franchise, inheritance or estate taxes. 

It is the intention of the Landlord and the Tenant that all new assessments, taxes, fees, levies and charges be included within the definition
of Real Estate Taxes for purposes of this Lease. The following shall also be included within the definition of Real Estate Taxes for purposes of this Lease; provided, however, that the Tenant shall pay the Landlord the entire amount thereof: 

 

	 	viii)	any tax allocable to or measured by the area of the Premises or the Rent payable hereunder, including without limitation, any gross income, privilege, goods and services, sales or excise tax levied by any municipal or
provincial or federal government, with respect to the receipt of such Rent, or upon or with respect to the possession, leasing, operating, management, maintenance, alteration, repair, use or occupancy by the Tenant of the Premises or any portion
thereof; and 

  

	 	ix)	any tax upon this transaction or any document to which the Tenant is a party, creating or transferring an interest or an estate in the Premises. 

 

	 	(b)	“Operating Expenses” shall mean the total of all costs which shall be incurred by the Landlord for the complete maintenance, repair, replacement, operation, supervision, management, ownership and
administration of the Building, Lands and Common Areas, calculated as if the Building was fully occupied and fully operational, such costs as are in keeping with maintaining the standard of a similar office building in the market in which it is
located so as to give it high character and distinction, including without limitation: 

  

	 	i)	cost of providing heating, ventilating and air conditioning; 

  

	 	ii)	cost of providing hot and cold water; 

  

	 	iii)	cost of sewer charges; 

  

	 	iv)	cost of fire, casualty, liability, rental and other insurance which the Landlord carries and the costs of any deductible amount paid by the Landlord in connection with a claim made by the Landlord under such insurance;

  

	 	v)	the reasonable rental value attributable to space used by the Landlord in connection with the maintenance, repair, operation or management of the Building, based on current rental rates in the Building from time to
time, and the cost of Building office expenses, including telephones, stationery and supplies; 

  

	 	vi)	cost of fuel for the Building; 

  

	 	vii)	cost of providing electricity and other utilities; 

  

	 	viii)	cost of all elevator and escalator (if installed in the Building) maintenance and operation; 

  

	 	ix)	cost of porters, reception staff, maintenance, on-site and off-site management and support staff and other non-administrative personnel, including salaries, wages and fringe benefits; 

 

	 	x)	cost of providing security; 

  

	 	xi)	cost of providing janitorial services, window cleaning and garbage removal; 

  

	 	xii)	cost of supplies and material; 

  

	 	xiii)	cost of landscaping, gardening and snow and ice removal; 

  

	 	xiv)	cost of decoration and maintenance of Common Areas; 

  

	 	xv)	if applicable, costs of operating, equipping, insuring, cleaning, managing, administering, servicing, repairing, restoring, renovating and maintaining the fitness facility, including the cost of personnel employed in
connection therewith; 

  

	 	xvi)	cost of providing visitor parking stalls available for the use of all tenants in the Building (if such stalls are provided by the Landlord) based on the market rates for the stalls provided; 

 

	 	xvii)	the reasonable rental value attributable to space designated or to be designated by the Landlord as Common Areas for use by the Tenant and other tenants as a common amenity, including but not limited to a fitness
facility, conference room and shower facilities, based on current rental rates in the Building from time to time; 

  

	 	xviii)	cost of consulting engineering fees; 

  

	 	xix)	cost of repairs and replacements, unless otherwise included under Operating Expenses, whether or not on capital account; 

  
 Schedule C - 1 

	 	xx)	costs of all service contracts; 

  

	 	xxi)	costs of bank charges and audit fees pursuant to amounts payable under leases; 

  

	 	xxii)	costs of each “major expenditure” (as hereinafter defined) which may be expensed in the year incurred, or at the Landlord’s option, amortized over a period of time as determined by the Landlord acting
reasonably, where “major expenditure” shall mean any single expenditure incurred for the replacement of machinery, equipment, building elements, repairs, systems or facilities in connection with the Lands or the Building, including the
replacement of the roof system (excluding the roof structure), or any capital improvement or modification or addition to the Building or Lands if one of the principal purposes of such modification or addition is to reduce energy consumption or
Operating Expenses or is required by any governmental regulation in the year incurred, or at the Landlord’s option, any such amortization will be in accordance with generally accepted accounting principles at an interest rate calculated at
three percent (3%) per annum in excess of the prime rate at the inception of the amortization, interest compounded semi-annually, upon the unamortized portion of the total costs of the foregoing; 

 

	 	xxiii)	the cost of any management fees paid to managing agents or, in lieu thereof, if the Landlord manages the Building, an amount comparable to that which would be charged by an independent professional property management
firm for management of a similar development in the city in which the Building is located; and 

  

	 	xxiv)	all other direct and indirect costs and expenses of every kind, to the extent incurred in or allocable to the maintenance, repair, operation, supervision, management, ownership and administration of all or any part of
the Building or any of its appurtenances. 

 For greater certainty, there shall be excluded from Operating Expenses the
following: 
  

	 	i)	income tax of the Landlord; 

  

	 	ii)	any amounts directly charged by and reimbursed to the Landlord for any service, goods and benefits provided by the Landlord to any particular tenant or occupant of the Building on an individual basis where such charges
do not form part of the Occupancy Costs; 

  
 Schedule C - 2 

	 	iii)	employment costs of the Landlord’s employees who perform leasing or other administrative functions not related to the management and/or operation of the Building; 

 

	 	iv)	marketing costs and leasing fees, costs associated with renovating or improving tenant spaces, costs or expenses for which the Landlord is entitled to be reimbursed from another party including insurers, contractors,
suppliers or other tenants of the Building; 

  

	 	v)	cost of major structural repairs and replacement of the Building (including foundation, concrete floors, structural frame and structural components of the roof, but shall not include the roof membrane);

  

	 	vi)	amortization and interest or any capital retirement of debt affecting the Lands; 

  

	 	vii)	costs or expense for which the primary purpose is to expand or enlarge the Building; 

  

	 	viii)	all fines, suits, claims, demands, costs, charges and expenses for which the Landlord is liable by reason of the negligent or willful act or omission of the Landlord for whom it is in law responsible; 

 

	 	ix)	all work to the Building or the Lands made necessary by the Landlord’s non-compliance with governing codes relating to the original construction of the Building; and 

 

	 	x)	costs of repairing latent defects in the Building, including parking areas. 

  
 Schedule C - 3 

 SCHEDULE D – RULES AND REGULATIONS 

1. Bicycles, Animals: The Tenant shall not bring any animals or birds into the Building, and shall not permit bicycles or other vehicles (except
those required by disabled persons) inside or on the sidewalks outside the Building except in areas designated from time to time by the Landlord for such purposes. 

2. Carpet Pads: In those portions of the Premises where carpet has been provided directly or indirectly by the Landlord, the Tenant shall at its own
expense install and maintain pads to protect the carpet under all furniture having casters other than carpet casters. 
 3. Construction Noise: The
Tenant shall ensure that minimal noise (including without limitation noise caused by drilling, hammering or sawing) relating to the Tenant’s alterations, including the Tenant’s Work escapes the Premises during Normal Business Hours. Should
the Landlord receive complaints from other tenants in the Building the Tenant shall use its best efforts to eliminate the noise. 
 4. Dangerous or
Immoral Activities: The Tenant shall not make any use of the Premises that involves the danger of injury to any person, nor shall the same be used for any immoral purpose. 

5. Deliveries: The Tenant shall ensure that deliveries of materials and supplies to the Premises including deliveries by courier are made through such
entrances, elevators and corridors and at such times as may from time to time be designated by the Landlord, and shall promptly pay or cause to be paid to the Landlord the cost of repairing any damage in the Building caused by any person making such
deliveries. 
 6. Employees, Agents and Invitees: In these Rules and Regulations, the Tenant includes the employees, agents, invitees and licensees
of the Tenant and others permitted by the Tenant to use or occupy the Premises. 
 7. Fire Drills: The Tenant shall participate in fire drills and
evacuations of the Building as directed by the Landlord. In the event of an emergency, the Tenant shall vacate the Building if the Landlord or any public authority so directs in the manner prescribed by the Landlord or such public authority. 

8. Heavy Articles: The Tenant shall not place in or move about the Premises without the Landlord’s prior written consent any safe or other heavy
article which in the Landlord’s reasonable opinion may damage the Building, and the Landlord may designate the location of any heavy articles in the Premises. 

9. Loading: All loading and unloading of merchandise, supplies, fixtures, equipment and furniture shall be made at such hours and in accordance with
such further rules as the Landlord may prescribe. If the Building has a loading dock or a common truck receiving area, all loading and unloading of merchandise, supplies, fixtures, equipment and furniture shall only be made through that area. The
Tenant shall pay promptly, or cause to be paid to the Landlord promptly, the cost of repairing any damage in the Building caused by any person during the making of any such delivery to the Premises. 

10. Locks: the Landlord may from time to time install and change locking mechanisms on entrances to the Building, Common Areas thereof, and the
Premises, and (unless 24 hour security is provided by the Building) shall provide to the Tenant a reasonable number of keys and replacements therefor to meet the bona fide requirements of the Tenant. In these rules “keys” include any
device serving the same purpose. The Tenant shall not add to or change the existing locking mechanisms on any door in or to the Premises without the Landlord’s prior written consent. If with the Landlord’s consent, the Tenant installs
lock(s) incompatible with the Building master locking system: 
  

	 	(a)	if such keys are damaged, lost, misplaced or otherwise require replacement, the Tenant may be granted access to the Premises and be provided with a new key upon presentation of acceptable identification and payment of
an Administration Fee at the rate then in effect as determined by the Landlord, acting reasonably; 

  

	 	(b)	the Landlord, without abatement of Rent, shall be relieved of any obligation under this Lease to provide any service to the affected areas which requires access thereto; 

 

	 	(c)	the Tenant shall indemnify the Landlord against any expenses as a result of a forced entry thereto which may be required in an emergency; and 

 

	 	(d)	the Tenant shall at the end of the Term and at the Landlord’s request remove such lock(s) at the Tenant’s expense. 

11. Moving: The Tenant shall comply with all Building procedures relating to moving into or vacating the Building. Specifically, the Tenant shall
provide a minimum of forty-eight (48) hours written notice to the Landlord of the scheduled moving date and time (which must be outside the Building’s Normal Business Hours) and the name of the moving company. The Tenant shall, at the request
of the Landlord, provide a copy of the moving company’s insurance certificate to the Landlord. The Landlord may arrange for building security personnel to be on site during the entire move and the expense for such security shall be borne by the
Tenant who shall pay the same to the Landlord forthwith as additional rent. 
 12. Normal Business Hours: means, except as otherwise specifically
provided in this Lease, from = a.m. to = p.m. Monday through Friday, excluding weekends and days which are legal or statutory holidays in the jurisdiction in which the Building is located (the “Normal Business Hours”). 

13. Nuisance: The Tenant shall not use or permit the use of the Premises in such a manner as to create any objectionable noise, odor or other nuisance
or hazard, or breach any applicable provision or municipal by-law or other lawful requirement applicable thereto or any requirement of the Landlord’s insurers, shall not permit the Premises to be used for cooking (except with the
Landlord’s prior written consent), and shall leave the Premises at the end of each business day in a condition such as to facilitate the performance of the Landlord’s janitorial services in the Premises. 

14. Obstructions: The Tenant shall not obstruct or place anything in or on the sidewalks or driveways outside the Building or in the lobbies,
corridors, stairwells or other Common Areas of the Building, or use such locations for any purpose except access to and exit from the Premises without the Landlord’s prior written consent. The Landlord may remove at the Tenant’s expense
any such obstruction or thing (unauthorized by the Landlord) without notice or obligation to the Tenant. 
 15. Personal Use of Premises: The
Premises shall not be used or permitted to be used for residential, lodging or sleeping purposes or for the storage of personal effects or property not required for business purposes. 

16. Proper Conduct: The Tenant shall not conduct itself in any manner which is inconsistent with the character of the Building as a first quality
Building or which will impair the comfort and convenience of other tenants in the Building. 
 17. Refuse: The Tenant shall place all refuse in
proper receptacles provided by the Tenant at its expense in the Premises or in receptacles (if any) provided by the Landlord for the Building, and shall keep sidewalks and driveways outside the Building, and lobbies, corridors, stairwells, ducts and
shafts of the Building free of all refuse. The Tenant shall comply at its sole expense with all recycling requirements imposed by regulation or by the Landlord for the Building. 

18. Repair, Maintenance, Alterations and Improvements: The Tenant shall carry out the Tenant’s repair, maintenance, alterations and improvements
in the Premises only during such time as agreed to in advance by the Landlord and in a manner which will not interfere with the rights of other tenants in the Building. 

  
 Schedule D - 1 

 19. Return of Keys: At the end of the Term, the Tenant shall promptly return to the Landlord all keys for
the Building and the Premises, which are in possession of the Tenant. If the Tenant fails to return all such keys, the Landlord may charge and recover as rent a fee at the rate then in effect as determined by the Landlord, acting reasonably. 

20. Security: the Landlord may from time to time adopt appropriate systems and procedures for the security or safety of the Building, any persons
occupying, using or entering the same, or any equipment, finishings or contents thereof, and the Tenant shall comply with the Landlord’s reasonable requirements relative thereto. 

21. Signs: The Tenant shall not paint, display, inscribe, place or affix any sign, picture, advertisement, notice, lettering or direction on any part
of the exterior of the Premises or so as to be visible from the exterior of the Premises without the Landlord’s written consent. The Tenant shall adhere to the building standard identification signs for tenants to be placed on the outside of
the doors leading into the premises of tenants of multiple tenancy floors. 
 22. Smoking: This Building comprises a non-smoking site and the Tenant
shall not smoke cigarettes, cigars or any other items in the Building or within three (3) meters of any entrance to the Building. 
 23. Solicitations:
The Landlord reserves the right to restrict or prohibit canvassing, soliciting or peddling in the Building. 
 24. Water Fixtures: The Tenant
shall not use water fixtures for any purpose for which they are not intended, nor shall water be wasted by tampering with such fixtures. The Tenant shall pay for any cost or damage resulting from such misuse by the Tenant. 

25. Windows: The Tenant shall observe the Landlord’s rules with respect to maintaining uniform drapes and venetian blinds at all windows in the
Premises so that the Building presents a uniform exterior appearance, and shall not install any window shades, screen, drapes, covers or other materials on or at any window in the Premises without the Landlord’s written consent. The Tenant
shall ensure that all drapes and venetian blinds are closed on all windows in the Premises while they are exposed to direct rays of the sun. 
 The
foregoing Rules and Regulations, as from time to time amended, are not necessarily of uniform application, but may be waived in whole or in part in respect of other tenants without affecting their enforceability with respect to the Tenant and the
Premises, and may be waived in whole or in part with respect to the Premises without waiving them as to future application to the Premises, and the imposition of such Rules and Regulations shall not create or imply any obligation of the Landlord to
enforce them or create any liability of the Landlord for their enforcement. 

  
 Schedule D - 2 

 SCHEDULE E – TENANT IMPROVEMENT GUIDELINES 

 

	1.	The Tenant’s Work shall not be undertaken or commenced by the Tenant until: 

  

	 	i)	all permits necessary for the installation of the Tenant’s Work and approval have been obtained by the Tenant from applicable municipal and any other government departments or quasi-governmental department having
jurisdiction, prior to the commencement of the Tenant’s Work, and copies of such permits and approvals provided to the Landlord; 

  

	 	ii)	a certificate of insurance has been provided to the Landlord showing that a valid insurance policy from the Tenant is in place naming the Landlord and its agent as an additional insured for commercial general liability
of not less than five million dollars ($5,000,000) per occurrence; and 

  

	 	iii)	certificates of insurance have been provided to the Landlord showing that a valid insurance policy is in place for minimum general liability of no less than five million dollars ($5,000,000) from the Tenant’s
contractor and the contractor’s sub-trades; and 

  

	 	iv)	the Tenant has received written approval from the Landlord of the Tenant’s plans and specifications. 

  

	2.	The Tenant agrees to comply with the following requirements in respect of any Tenant’s Work: 

  

	 	(a)	the Tenant shall furnish the Landlord with two complete sets of professionally prepared working drawings (which shall include any architectural, structural, electrical mechanical, computer system wiring and
telecommunications plans) of the proposed Tenant’s Work. The Tenant shall retain the Landlord’s base building mechanical, electrical and structural engineering consultants to ensure compatibility of the building systems and Tenant’s
Work. If the Tenant uses other consultants for the preparation of the Tenant’s working drawings, then the Landlord may elect to retain an Architect to review such working drawings for the purpose of approving the proposed Tenant’s Work (it
being understood that notwithstanding such approval, the Landlord shall have no responsibility with respect to the adequacy of such working drawings). The Tenant shall pay to the Landlord, on demand, the costs of the examination of such drawings by
either the Landlord or an outside consultant. Upon completion of the Tenant’s Work, the Tenant shall provide 2 printed copies and one CD of digital as built drawings in AutoCAD format; 

 

	 	(b)	the Tenant’s Work shall be subject to the reasonable regulations, supervision, control and inspection by the Landlord and, in addition to any other payment contained herein, the Tenant shall pay to the Landlord, on
demand, the Landlord’s then current fee for coordination services provided by the Landlord during the Tenant’s construction of the Tenant’s Work; 

  

	 	(c)	if the Tenant’s Work could affect the structure, the exterior walls or the building systems, the Landlord may require that any such Tenant’s Work be preformed by either the Landlord or its contractors in which
case the Tenant shall pay the Landlord’s cost plus an Administration Fee; 

  

	 	(d)	the preparation of all design and working drawings and specifications relating to completion of the Tenant’s Work and the calling of tenders and letting of contracts relating to the Tenant’s Work and the
supervision and completion of the Tenant’s Work and payment therefor shall be the responsibility of the Tenant; 

  

	 	(e)	approvals must be obtained for the Tenant’s Work from the municipal building department and all authorities having jurisdiction and the Tenant must submit evidence of these approvals to the Landlord before
commencing the Tenant’s Work. The Tenant shall also be responsible for obtaining an occupancy permit prior to taking occupancy. The Tenant shall be responsible for payment of all fees and charges incurred in obtaining said approvals and
permits; 

  

	 	(f)	the Tenant covenants to complete all Tenant’s Work required by the Tenant to complete the Premises for occupancy or as otherwise approved by the Landlord throughout the Term of this Lease and such Tenant’s
Work shall be carried out with good workmanship and shall not be in contravention of the codes or regulations of the municipality or any other authority having jurisdiction; 

 

	 	(g)	before commencing any work, the Tenant shall furnish the Landlord with written proof of all contractors’ commercial general liability insurance for limits not less than those to be maintained by the Tenant under
the Lease and the Landlord and its agent shall be named as additional insureds in such contractors’ insurance policies; 

  

	 	(h)	before commencing any work, the Tenant shall furnish the Landlord with written proof of all contractors’ Workers’ Compensation Board Clearance; 

 

	 	(i)	the Tenant shall at all times keep the Premises and all other areas clear of waste materials and refuse caused by itself, its suppliers, contractors or by their work; 

 

	 	(j)	the Landlord may require the Tenant to clean up on a daily basis and be entitled to clean up at the Tenant’s expense if the Tenant shall not comply with the Landlord’s reasonable requirements;

  

	 	(k)	all Tenant’s Work including the delivery, storage and removal of materials shall be subject to the reasonable supervision of the Landlord and shall be performed in accordance with any reasonable conditions or
regulations imposed by the Landlord; 

  
 Schedule E - 3 

	 	(l)	the Landlord may require that the Landlord’s contractors and sub-contractors be engaged for any mechanical or electrical work, work conducted on the roof or the fire and sprinkler systems, or other work which may
be under warranty; 

  

	 	(m)	the Landlord shall not in any way be responsible for or liable with regard to any work carried out or any materials left or installed in the Premises and shall be reimbursed for any additional cost and expense caused
which may be occasioned to it by reason thereof and for any delays which may be directly or indirectly caused by the Tenant or its contractor; 

  

	 	(n)	any damages caused by the Tenant, the contractors or subtrades employed on the Tenant’s Work to any of the structures or the systems employed in the Building or to any property of the Landlord or of other tenants,
shall be repaired by the Landlord’s contractor to the satisfaction of the Landlord and the Landlord may recover the costs incurred from the Tenant; 

  

	 	(o)	if the Tenant’s contractor neglects to carry out the work properly or fails to perform any work required by or in accordance with the approved plans and specifications, the Landlord, after thirty (30) days’
written notice to the Tenant and the Tenant’s contractor may, without prejudice to any right or remedy, complete the work, remedy the default or make good any deficiencies and recover the costs incurred from the Tenant; 

 

	 	(p)	the Tenant shall maintain and keep on the Premises at all times during construction and the Term of the Lease, a suitable portable fire extinguisher for Class A, B and C fires; 

 

	 	(q)	the Tenant shall perform its work expeditiously and efficiently and shall complete the same prior to the Commencement Date subject only to circumstances over which the Tenant has no control and which by the exercise of
due diligence could not have been avoided; 

  

	 	(r)	on completion of the Tenant’s Work, the Tenant shall forthwith furnish to the Landlord a statutory declaration stating that there are no builders’ liens outstanding against the Premises or the Building on
account of the Tenant’s Work and that all accounts for work, service and materials have been paid in full with respect to all of the Tenant’s Work, together with evidence in writing satisfactory to the Landlord that all assessments under
the Workers Compensation Act have been paid; 

  

	 	(s)	the Tenant shall not suffer or permit any Builders’ or other lien for work, labour, services or materials to be filed against or attached to the Lands, the Building or the Premises and shall have such lien removed
pursuant to Section 9.8 of the Lease. This includes, but shall not be limited to, payment of monies into court and/or any other remedy which would result in the lien being removed from title to the Lands forthwith; 

 

	 	(t)	if the Tenant does not comply with the provisions of the Lease or any other agreement relative to the construction or occupation of the Premises, including this Schedule, the Landlord, in addition to and not in lieu or
by other rights or remedies, shall have any or all of the following rights in its discretion: 

  

	 	i)	to declare all fees, charges and other sums payable by the Tenant to the Landlord pursuant to this Schedule to be Rent and to be collectable as Rent under the provisions of this Lease; or 

 

	 	ii)	to declare and treat the Tenant’s non-compliance as an Event of Default under the Lease and exercise any rights available under the provisions of the Lease, including the right of termination. 

  
 Schedule E - 3 

 SCHEDULE F – LANDLORD’S WORK AND TENANT’S WORK 

LANDLORD’S WORK: 
 The Landlord shall not be required
to provide any materials or do any work to or in respect of the Premises and it is hereby agreed that the Premises are leased on an “as is, where is” basis and there are no representations or warranties concerning the Premises except as
contained herein. 
 Only those items enumerated below will be provided and installed by the Landlord in Suite 610 on a “once only” basis at the
Landlord’s expense and in accordance with the Landlord’s choice of materials and will be known as Landlord’s Work. 
  

	 	•	 	demise Suite 610 in accordance with Schedule A for the sixth floor, and shall ensure that all lighting, electrical and mechanical systems have been split from the remaining area. Demising wall will be provided by the
Landlord in taped and sanded condition, ready to receive the Tenant’s wallcovering; 

  

	 	•	 	remove flooring throughout; 

  

	 	•	 	remove all portioning and install new or like new ceiling tiles, to be matching throughout. 

 TENANT’S
WORK: 
 All Tenant’s Work shall be completed in a good and workmanlike manner in accordance with Schedule E attached hereto and with plans and
specifications that have been submitted to the Landlord for its prior written approval by not less than ten (10) business days prior to: (i) the submission of any such plans and specifications to the municipal authority for a building permit; or
(ii) if no building permit is required, the commencement of the Tenant’s Work. 

  
 Schedule F - 1 

 SCHEDULE G - SPECIAL PROVISIONS 

The following provisions (the “Special Provisions”) have been agreed upon by the Tenant and the Landlord to add to or modify the standard provisions
of the Lease which are those contained in SECTIONS 1.2 and 1.3 and ARTICLES 2 to 22 of this Lease (the “Standard Provisions”). In case of discrepancy, the Special Provisions will prevail over the Standard Provisions. 

 

	1.	Fixturing Period for Suite 610. 

 Provided this Lease has been executed by the Tenant and the
Tenant has provided proof of insurance to the Landlord, the Tenant shall have a fixturing period (the “Fixturing Period”), commencing on May 1, 2015 and ending on August 31, 2015, to complete the Tenant’s Work in
Suite 610. During the Fixturing Period, the Tenant may occupy Suite 610 jointly with the Landlord and the Landlord’s contractor and agents. During the Fixturing Period, the Tenant shall be bound by and shall observe and perform all of the
Tenant’s covenants and obligations under the Lease, excluding the covenant to pay Base Rent and Occupancy Costs. Should the Tenant commence business operations during the Fixturing Period, the Tenant shall be required to pay Occupancy Costs.

  

	2.	Tenant Improvement Allowance. 

 For the purposes of assisting the Tenant to complete the leasehold
improvements upon the Premises, all in accordance with the Tenant’s final drawings and specifications which have the Landlord’s prior written approval (the “Leasehold Improvements”), the Landlord agrees to
advance to or on behalf of the Tenant a sum equal to Fifteen Dollars ($15.00) per square foot of the Rentable Area of Suite 540 and Twenty Dollars ($20.00) per square foot of the Rentable Area of Suite 610 (which combined sum is
hereinafter referred to as the “Allowance”) upon the following terms and conditions: 
  

	 	(i)	the Tenant shall furnish to the Landlord the Tenant’s final architectural drawings and specifications prior to commencement of work; 

 

	 	(ii)	the Tenant shall furnish to the Landlord an invoice for the total amount of the Allowance requested by the Tenant, accompanied by copies of paid invoices evidencing payment, by not later than December 31, 2016;

  

	 	(iii)	the Tenant shall cause all of the Leasehold Improvements to be constructed and installed in accordance with the terms of the Lease; 

  

	 	(iv)	the Allowance shall not be used to fund the Tenant’s purchase of equipment, furniture, trade fixtures, and communications installations. 

The Allowance shall be advanced by the Landlord upon the later of: 
  

	 	(v)	completion of the Leasehold Improvements, to the satisfaction of the Landlord; 

  

	 	(vi)	the Tenant having commenced to carry on its business in the Premises or any part thereof; 

  

	 	(vii)	the Tenant having provided the Landlord with a statutory declaration from the Tenant’s general contractor stating all of the Leasehold Improvements have been completed and that all contractors have been paid in
full; 

  

	 	(viii)	the expiry of any lien holdback period provided for by any applicable Builders or Mechanics Lien Legislation; and 

  

	 	(ix)	execution of this Lease by all parties. 

 It is further understood and agreed that if the Tenant either: 

 

	 	(a)	vacates the Premises; or 

  

	 	(b)	discontinues the regular and punctual payment of Rent; 

 at any time prior to the end of the Term, then all
amounts advanced or credited to the Tenant under this provision shall immediately be repayable to the Landlord and may be collected as Rent due and owing. 

If any amounts are owed to the Landlord at the time the Allowance becomes payable, such amount shall be deducted from the Allowance and credited to the
Tenant’s account and the balance paid to the Tenant. Should the cost of the Leasehold Improvements be less than the Allowance then the lesser amount shall be paid to the Tenant. Should the cost of the Leasehold Improvements be more than the
Allowance then the Tenant shall be solely responsible for the payment of any excess amount. 
 
  

	3.	Parking. 

 The Landlord shall, throughout the Term of the Lease, provide the Tenant with eighteen
(18) permits for parking in the parking facility of the Building and/or the parking facility of the Landlord’s adjacent building at 1333 West Broadway (together, the “Parking Facility”), all permits to be at the
prevailing rental rate for parking from time to time (current monthly rental rate for random and reserved parking spaces are $115.00 and $150.00 respectively per month per permit plus applicable taxes). Such rental rate is subject to increase to
current market rent from time-to-time upon the Landlord providing the Tenant with a minimum of thirty (30) days’ prior written notice. The Tenant must accept from the Landlord all the permits to which it is entitled on the Commencement Date or
forfeit the number it has elected not to take. The Tenant acknowledges and agrees that this is a contractual right only and does not form part of the Premises demised to the Tenant and no landlord or tenant relationship exists with respect to this
parking right, but the obligations shall be binding upon successors and assigns of Landlord’s interest in the Building. 
 The Tenant agrees to sign,
on Landlord’s request, the Landlord’s standard form of parking license agreement for the Parking Facility. The Tenant shall not be entitled to park in the Parking Facility until the license agreement has been executed and returned to the
Landlord, and its right thereafter to park in the Parking Facility shall be governed solely by the terms of the license agreement. 
  

	4.	Occupancy Costs. 

 The Landlord confirms that the estimated Occupancy Costs for 2015 are $17.77
per square foot of the Rentable Area of the Premises and that such estimate is subject to change in 2015 and in each subsequent Fiscal Year. 

  
 Schedule G - 1 

	5.	Option to Extend. 

 The Tenant may extend the Term for an additional period of five (5) years
(such extended period being called the “Extended Term”), provided that the Tenant: 
  

	(i)	has duly and punctually observed and performed all of the Tenant’s covenants and obligations under this Lease throughout the Term in accordance with the terms of this Lease; 

 

	(ii)	is not in default of, and has not previously been in default of, any of the Tenant’s covenants and obligations under this Lease; 

 

	(iii)	is in possession of and is conducting its business in the whole of the Premises; 

  

	(iv)	advises the Landlord in writing that it wishes to extend the Term not more than 12 months and not less than 6 months prior to the expiration of the original Term, failing which this right to extend shall be rendered
null and void. 

 If the Tenant exercises its right to extend the Term in accordance with the foregoing, the Lease shall be read as if the
original Term was for a period of ten (10) years commencing on the Commencement Date and: 
  

	(v)	the Base Rent during the Extended Term shall be the then current fair market rental value of the Premises based on prevailing market rates for similar improved premises in similar buildings in the area of the Building,
as established by the mutual agreement of the Landlord and the Tenant, but in no event shall the Base Rent payable during the Extended Term be less than the Base Rent payable during the last year of the original Term. If the Base Rent for the
Extended Term has not been mutually agreed upon by the Landlord and the Tenant at least 3 months prior to the expiry of the original Term, the Base Rent for the Extended Term shall be determined by arbitration by a single arbitrator chosen by the
Landlord and the Tenant, and if they cannot agree upon the arbitrator within 5 days after the written request for arbitration by either party to the other, either party may apply to a judge for the appointment of an arbitrator in accordance with the
provisions of the Arbitration Act (British Columbia), as amended from time to time. The provisions of the Arbitration Act shall govern the arbitration and the decision of the arbitrator shall be final and binding upon the parties. Each party shall
pay one-half of the fees and expenses of the arbitrator. The arbitrator shall be instructed to render its decision no later than 15 days prior to the expiry of the original Term, but if the arbitrator fails to do so: 

 

	 	A.	the Tenant shall pay the same Base Rent it was paying during the last 12 months of the original Term; and 

  

	 	B.	upon the arbitrator rendering its decision, any adjustments in Base Rent shall be made effective the commencement of the Extended Term and shall be paid by the relevant party within 15 days of the arbitrator rendering
its decision. 

 All documents and proceedings with respect to the arbitration are to be kept confidential by each of the
parties; and 
  

	(vi)	the Landlord may require the Tenant to amend the Lease to bring it into conformity with the Landlord’s then-standard form of lease. 

For greater certainty, the parties acknowledge and agree that upon the Tenant exercising its within right to extend the Term: 

 

	(vii)	the Tenant will not be entitled to further extend the Term; 

  

	(viii)	the Landlord will not be required to perform the Landlord’s Work, if any, and the Tenant will not be required to perform the Tenant’s Work; and 

 

	(ix)	the Tenant will not be entitled to any leasehold improvement allowance, tenant inducement or rent free period. 

The exercise of the within right to extend is solely within the control of the Tenant and nothing contained in the Lease obligates or requires the Landlord to
remind the Tenant to exercise the within right to extend. 
  

	6.	Restoration. 

 Notwithstanding anything to the contrary contained in this Lease and provided the
Tenant is “Zymeworks Inc.” and is itself in occupancy of the entire Premises, the Tenant shall not be responsible for any costs associated with removing typical standard office Leasehold Improvements or in restoring or bringing the
Premises back to a base Building standard at the expiry of the Term. However, the Tenant will be responsible for the removal of its trade fixtures, cabling and any specialized improvements, such as raised floor systems and items which the Landlord
may deem, acting reasonably, to be specialized improvements in the course of approving the Tenant’s Work. 

  
 Schedule G - 2 

 AMENDMENT OF LEASE 

This AMENDMENT OF LEASE made the 28th day of August, 2015, 

BETWEEN: 
 POPLAR PROPERTIES
LTD., 
 by its duly authorized agent, Triovest Realty Advisors (B.C.) Inc. 

(the “Landlord”) 

OF THE FIRST PART 
 AND: 

ZYMEWORKS INC. 
 (the
“Tenant”) 
 OF THE SECOND PART 

WHEREAS: 
 A. By a lease dated April 6, 2015 (the
“Lease”), and made between the Landlord and the Tenant, the Landlord leased to the Tenant, for and during a term (the “Term”) of five (5) years, commencing on September 1, 2015 and expiring on August 31, 2020,
certain premises (the “Premises”) designated as Suites 540 and 610 as shown on the plans attached to the Lease as Schedule A and municipally located at 1385 West 8th Avenue,
Vancouver, BC; 
 B. Pursuant to Section 4.2 of the Lease, the Expert has measured Suite 610 and has determined that the Rentable Area is 3,321
square feet as shown on the plan attached as Schedule A to this Amendment of Lease; 
 C. The Landlord and the Tenant wish to amend the terms and
conditions of the Lease. 
 NOW THEREFORE, pursuant to the premises and in consideration of the covenants and agreements herein contained and the sum
of $10.00 and other good and valuable consideration (the receipt and sufficiency of which is hereby acknowledged), the Landlord and Tenant covenant and agree to modify the Lease as follows: 

 

	1.	The parties acknowledge that the foregoing recitals are true in substance and in fact. 

  

	2.	Capitalized terms that are used in this Amendment of Lease and not otherwise defined, shall have the meanings ascribed thereto in the Lease. 

 

	3.	Effective as of September 1, 2015, the Lease is hereby modified and amended as follows: 

  

	 	(a)	Section 1.1(b) of the Lease is hereby deleted and replaced with the following: 

  

			
	“1.1(b) Rentable Area of Premises:	  	15,878 square feet (comprised of 12,557 square feet in Suite 540 and 3,321 square feet in Suite 610)”;

  

	 	(b)	Schedule A to the Lease is hereby amended by deleting the second floor plan entitled “SCHEDULE A – FLOOR PLAN – SIXTH FLOOR” and replacing it with the floor plan entitled “SCHEDULE A
– FLOOR PLAN – SIXTH FLOOR” attached as Schedule A to this Amendment of Lease. 

  
 Page 1 

	4.	This Amendment of Lease is supplemental to the Lease, and all covenants, agreements, provisos, stipulations and conditions whatsoever therein contained shall continue in full force and effect during the Term except as
to the amended terms and conditions set forth herein. 

  

	5.	This Amendment of Lease will enure to the benefit of and be binding upon the Landlord and the Tenant and their respective successors and assigns. 

IN WITNESS WHEREOF the parties hereto have duly executed this Amendment of Lease as of the day and year first above written. 

 

			
	POPLAR PROPERTIES LTD., by its duly authorized agent,
	Triovest Realty Advisors (B.C.) Inc.
	(LANDLORD)	 	
		
	Per:	 	/s/ Sandy Cruickshank
		 	  

		
	Name & Title:	 	 Sandy Cruickshank, Executive Vice President

		
	Per:	 	/s/ Greg Last
		 	  

		
	Name & Title:	 	 Greg Last, Vice President, Property Management

	
	We have the authority to bind the corporation.
	
	ZYMEWORKS INC.
	(TENANT)
		
	Per:	 	/s/ David Tucker
		 	  

		
	Name & Title:	 	 D. TUCKER, COO

	
	I have the authority to bind the corporation.

  
 Page 2 

 SCHEDULE A – FLOOR PLAN – SIXTH FLOOR 

 
 

 

  
 Page 3EX-10.27

 Exhibit 10.27 

Execution Version 
  

 
  

CREDIT AGREEMENT AND GUARANTY 

Dated as of 
 June 2, 2016 

among 
 ZYMEWORKS
INC., 
 as Borrower, 

THE GUARANTORS FROM TIME TO TIME PARTY
HERETO 
 and 

PERCEPTIVE CREDIT OPPORTUNITIES FUND, L.P. 

and PCOF PHOENIX II FUND, L.P., 

as Lenders 
 U.S. $15,000,000 

 
  

 

 TABLE OF CONTENTS 
  

							
	Section	 	Heading	  	Page	 
		
	 ARTICLE 1. DEFINITIONS
	  	 	1	  
			
	 Section 1.01.
	 	 Certain Defined Terms
	  	 	1	  
	 Section 1.02.
	 	 Accounting Terms and Principles
	  	 	26	  
	 Section 1.03.
	 	 Interpretation
	  	 	26	  
	 Section 1.04.
	 	 Changes to GAAP
	  	 	26	  
		
	 ARTICLE 2. THE COMMITMENTS
	  	 	27	  
			
	 Section 2.01.
	 	 Loans
	  	 	27	  
	 Section 2.02.
	 	 Proportionate Shares
	  	 	28	  
	 Section 2.03.
	 	 Fees
	  	 	28	  
	 Section 2.04.
	 	 Notes
	  	 	28	  
	 Section 2.05.
	 	 Use of Proceeds
	  	 	29	  
		
	 ARTICLE 3. PAYMENTS OF PRINCIPAL AND INTEREST
	  	 	29	  
			
	 Section 3.01.
	 	 Repayment
	  	 	29	  
	 Section 3.02.
	 	 Interest
	  	 	29	  
	 Section 3.03.
	 	 Prepayments
	  	 	30	  
		
	 ARTICLE 4. PAYMENTS, ETC
	  	 	32	  
			
	 Section 4.01.
	 	 Payments
	  	 	32	  
	 Section 4.02.
	 	 Computations
	  	 	33	  
	 Section 4.03.
	 	 Notices
	  	 	34	  
	 Section 4.04.
	 	 Set-Off
	  	 	34	  
		
	 ARTICLE 5. YIELD PROTECTION, ETC
	  	 	34	  
			
	 Section 5.01.
	 	 Additional Costs
	  	 	34	  
	 Section 5.02.
	 	 Illegality
	  	 	35	  
	 Section 5.03.
	 	 Taxes
	  	 	36	  
		
	 ARTICLE 6. CONDITIONS PRECEDENT
	  	 	39	  
			
	 Section 6.01.
	 	 Conditions to Tranche A Term Loan; Closing Date
	  	 	39	  
	 Section 6.02.
	 	 Conditions to Tranche B Term Loan; Borrowing Date
	  	 	42	  
	 Section 6.03.
	 	 Conditions to All Borrowings
	  	 	43	  
		
	 ARTICLE 7. REPRESENTATIONS AND WARRANTIES
	  	 	43	  
			
	 Section 7.01.
	 	 Power and Authority
	  	 	43	  
	 Section 7.02.
	 	 Authorization; Enforceability
	  	 	44	  
	 Section 7.03.
	 	 Governmental and Other Approvals; No Conflicts
	  	 	44	  

  
 -i- 

							
	 Section 7.04.
	 	 Financial Statements; Projections; Material Adverse Change
	  	 	44	  
	 Section 7.05.
	 	 Properties
	  	 	45	  
	 Section 7.06.
	 	 No Actions or Proceedings
	  	 	47	  
	 Section 7.07.
	 	 Compliance with Laws and Agreements
	  	 	48	  
	 Section 7.08.
	 	 Taxes
	  	 	48	  
	 Section 7.09.
	 	 Full Disclosure
	  	 	48	  
	 Section 7.10.
	 	 Regulation
	  	 	48	  
	 Section 7.11.
	 	 Solvency
	  	 	49	  
	 Section 7.12.
	 	 Subsidiaries
	  	 	49	  
	 Section 7.13.
	 	 Indebtedness and Liens
	  	 	49	  
	 Section 7.14.
	 	 Material Agreements
	  	 	49	  
	 Section 7.15.
	 	 Restrictive Agreements
	  	 	49	  
	 Section 7.16.
	 	 Real Property
	  	 	49	  
	 Section 7.17.
	 	 Pension and Other Plans
	  	 	49	  
	 Section 7.18.
	 	 Collateral; Security Interest
	  	 	51	  
	 Section 7.19.
	 	 Regulatory Approvals
	  	 	51	  
	 Section 7.20.
	 	 Capitalization
	  	 	53	  
	 Section 7.21.
	 	 Insurance
	  	 	53	  
	 Section 7.22.
	 	 Certain Fees
	  	 	53	  
	 Section 7.23.
	 	 Sanctions Laws
	  	 	53	  
	 Section 7.24.
	 	 Anti-Corruption Laws
	  	 	54	  
	 Section 7.25.
	 	 Anti-Terrorism Laws
	  	 	54	  
		
	 ARTICLE 8. AFFIRMATIVE COVENANTS
	  	 	54	  
			
	 Section 8.01.
	 	 Financial Statements and Other Information
	  	 	54	  
	 Section 8.02.
	 	 Notices of Material Events
	  	 	56	  
	 Section 8.03.
	 	 Existence; Maintenance of Properties, Etc
	  	 	59	  
	 Section 8.04.
	 	 Payment of Obligations
	  	 	60	  
	 Section 8.05.
	 	 Insurance
	  	 	60	  
	 Section 8.06.
	 	 Books and Records; Inspection Rights
	  	 	61	  
	 Section 8.07.
	 	 Compliance with Laws and Other Obligations
	  	 	61	  
	 Section 8.08.
	 	 Licenses
	  	 	61	  
	 Section 8.09.
	 	 Action under Environmental Laws
	  	 	61	  
	 Section 8.10.
	 	 Use of Proceeds
	  	 	62	  
	 Section 8.11.
	 	 Certain Obligations Respecting Subsidiaries; Further Assurances
	  	 	62	  
	 Section 8.12.
	 	 Termination of Non-Permitted Liens
	  	 	63	  
	 Section 8.13.
	 	 Employee Plans
	  	 	63	  
	 Section 8.14.
	 	 Non-Consolidation
	  	 	63	  
	 Section 8.15.
	 	 Anti-Terrorism and Anti-Corruption Laws
	  	 	63	  
	 Section 8.16.
	 	 Required Milestones
	  	 	63	  
	 Section 8.17.
	 	 Qualified IPO
	  	 	64	  
	 Section 8.18.
	 	 Minimum Liquidity
	  	 	64	  
	 Section 8.19.
	 	 Post-Closing Covenant
	  	 	64	  
	 Section 8.20.
	 	 Certain Payments
	  	 	64	  

  
 -ii- 

							
	 ARTICLE 9. NEGATIVE COVENANTS
	  	 	64	  
			
	 Section 9.01.
	 	 Indebtedness
	  	 	64	  
	 Section 9.02.
	 	 Liens
	  	 	66	  
	 Section 9.03.
	 	 Fundamental Changes and Acquisitions
	  	 	68	  
	 Section 9.04.
	 	 Lines of Business
	  	 	69	  
	 Section 9.05.
	 	 Investments
	  	 	69	  
	 Section 9.06.
	 	 Restricted Payments
	  	 	70	  
	 Section 9.07.
	 	 Payments of Indebtedness
	  	 	70	  
	 Section 9.08.
	 	 Change in Fiscal Year
	  	 	70	  
	 Section 9.09.
	 	 Sales of Assets, Etc
	  	 	70	  
	 Section 9.10.
	 	 Transactions with Affiliates
	  	 	71	  
	 Section 9.11.
	 	 Restrictive Agreements
	  	 	72	  
	 Section 9.12.
	 	 Organizational Documents, Material Agreements
	  	 	72	  
	 Section 9.13.
	 	 Province of Quebec
	  	 	73	  
	 Section 9.14.
	 	 Sales and Leasebacks
	  	 	73	  
	 Section 9.15.
	 	 Hazardous Material
	  	 	73	  
	 Section 9.16.
	 	 Accounting Changes
	  	 	73	  
	 Section 9.17.
	 	 Compliance with ERISA
	  	 	73	  
	 Section 9.18.
	 	 [Intentionally Omitted.]
	  	 	73	  
	 Section 9.19.
	 	 Deposit Accounts
	  	 	73	  
	 Section 9.20.
	 	 Pensions and Other Plans
	  	 	73	  
	 Section 9.21.
	 	 Outbound Licenses
	  	 	74	  
	 Section 9.22.
	 	 Inbound Licenses
	  	 	74	  
		
	 ARTICLE 10. EVENTS OF DEFAULT
	  	 	74	  
			
	 Section 10.01.
	 	 Events of Default
	  	 	74	  
	 Section 10.02.
	 	 Remedies
	  	 	78	  
	 Section 10.03.
	 	 Prepayment Premium and Redemption Price
	  	 	78	  
		
	 ARTICLE 11. GUARANTEE
	  	 	79	  
			
	 Section 11.01.
	 	 The Guarantee
	  	 	79	  
	 Section 11.02.
	 	 Obligations Unconditional
	  	 	79	  
	 Section 11.03.
	 	 Reinstatement
	  	 	80	  
	 Section 11.04.
	 	 Subrogation
	  	 	80	  
	 Section 11.05.
	 	 Remedies
	  	 	80	  
	 Section 11.06.
	 	 Instrument for the Payment of Money
	  	 	81	  
	 Section 11.07.
	 	 Continuing Guarantee
	  	 	81	  
	 Section 11.08.
	 	 Rights of Contribution
	  	 	81	  
	 Section 11.09.
	 	 General Limitation on Guarantee Obligations
	  	 	81	  
		
	 ARTICLE 12. ADDITIONAL AGREEMENTS
	  	 	82	  
			
	 Section 12.01.
	 	 Board Observer Rights
	  	 	82	  

  
 -iii- 

							
		
	 ARTICLE 13. MISCELLANEOUS
	  	 	82	  
			
	 Section 13.01.
	 	 No Waiver
	  	 	82	  
	 Section 13.02.
	 	 Notices
	  	 	83	  
	 Section 13.03.
	 	 Expenses, Indemnification, Etc
	  	 	83	  
	 Section 13.04.
	 	 Amendments, Etc
	  	 	84	  
	 Section 13.05.
	 	 Successors and Assigns
	  	 	85	  
	 Section 13.06.
	 	 Survival
	  	 	86	  
	 Section 13.07.
	 	 Captions
	  	 	86	  
	 Section 13.08.
	 	 Counterparts
	  	 	87	  
	 Section 13.09.
	 	 Governing Law
	  	 	87	  
	 Section 13.10.
	 	 Jurisdiction, Service of Process and Venue
	  	 	87	  
	 Section 13.11.
	 	 Waiver of Jury Trial
	  	 	87	  
	 Section 13.12.
	 	 Waiver of Immunity
	  	 	87	  
	 Section 13.13.
	 	 Entire Agreement
	  	 	88	  
	 Section 13.14.
	 	 Severability
	  	 	88	  
	 Section 13.15.
	 	 No Fiduciary Relationship
	  	 	88	  
	 Section 13.16.
	 	 USA PATRIOT Act
	  	 	88	  
	 Section 13.17.
	 	 Conversion of Currencies
	  	 	88	  
	 Section 13.18.
	 	 Treatment of Certain Information; Confidentiality
	  	 	89	  
	 Section 13.19.
	 	 Releases of Guarantees and Liens
	  	 	89	  

  

					
	 SCHEDULES: 
	 		  	
			
	 SCHEDULE 1
	 	—  	  	 Commitments and Warrant Shares

	 SCHEDULE 6.02
	 	—  	  	 Milestone Collaboration Agreement

	 SCHEDULE 7.05(b)
	 	—  	  	 Obligor Intellectual Property

	 SCHEDULE 7.06
	 	—  	  	 Certain Litigation

	 SCHEDULE 7.08
	 	—  	  	 Taxes

	 SCHEDULE 7.13A
	 	—  	  	 Existing Indebtedness

	 SCHEDULE 7.13B
	 	—  	  	 Existing Liens

	 SCHEDULE 7.14
	 	—  	  	 Material Agreements

	 SCHEDULE 7.15
	 	—  	  	 Restrictive Agreements

	 SCHEDULE 7.16
	 	—  	  	 Real Property

	 SCHEDULE 7.17
	 	—  	  	 Pension Matters

	 SCHEDULE 7.19(b)
	 	—  	  	 Regulatory Approvals

	 SCHEDULE 7.19(e)
	 	—  	  	 483 Notice

	 SCHEDULE 7.20
	 	—  	  	 Capitalization

	 SCHEDULE 8.19
	 	—  	  	 Post-Closing Obligations

	 SCHEDULE 9.03
	 	—  	  	 Permitted Transactions

	 SCHEDULE 9.05
	 	—  	  	 Existing Investments

	 SCHEDULE 9.10
	 	—  	  	 Transactions with Affiliates

	 SCHEDULE 9.12(c)(1)—
	  	Collaboration Agreements
	 SCHEDULE 9.12(c)(2)—
	  	Specified Collaboration Agreements

  
 -iv- 

							
	 EXHIBITS:
	 				  	
			
	 EXHIBIT A
	 	 	—  	  	  	 Form of Guarantee Assumption Agreement

	 EXHIBIT B
	 	 	—  	  	  	 Form of Notice of Borrowing

	 EXHIBIT C
	 	 	—  	  	  	 Form of Note

	 EXHIBIT D
	 	 	—  	  	  	 Form of U.S. Tax Compliance Certificate

	 EXHIBIT E
	 	 	—  	  	  	 Form of Compliance Certificate

	 EXHIBIT F
	 	 	—  	  	  	 Intentionally Omitted

	 EXHIBIT G
	 	 	—  	  	  	 Form of Sources and Uses Certificate

	 EXHIBIT H
	 	 	—  	  	  	 Form of Warrant Certificate

	 EXHIBIT I
	 	 	—  	  	  	 Form of U.S. Security Agreement

	 EXHIBIT J
	 	 	—  	  	  	 Form of Canadian Security Agreement

	 EXHIBIT K-1
	 	 	—  	  	  	 Form of Patent & Trademark Security Agreement

	 EXHIBIT K-2
	 	 	—  	  	  	 Form of Copyright Security Agreement

	 EXHIBIT L
	 	 	—  	  	  	 Form of Collateral Questionnaire

  
 -v- 

 CREDIT AGREEMENT AND GUARANTY, dated
as of June 2, 2016 (this “Agreement”), among ZYMEWORKS INC., a corporation organized under the laws of Canada (“Borrower”), certain Guarantors from time to time parties hereto,
PERCEPTIVE CREDIT OPPORTUNITIES FUND, L.P., a Delaware limited partnership (“Perceptive”), as a lender, and PCOF PHOENIX II FUND, LP, a
Delaware limited partnership (“PCOF”), as a lender (together with Perceptive and each of their respective successors and assigns party hereto pursuant to Section 13.05, the “Lenders” and each a
“Lender”). 
 W I T N E S S
E T H: 
 Borrower has requested the Lenders to make term loans to Borrower, and the
Lenders are prepared to make such loans on and subject to the terms and conditions hereof. Accordingly, the parties agree as follows: 

ARTICLE 1. 
 DEFINITIONS

 Section 1.01. Certain Defined Terms. As used herein, the following terms have the following respective meanings: 

“Accounting Change Notice” has the meaning set forth in Section 1.04(a). 

“Acquisition” means any transaction, or any series of related transactions, by which any Person directly or indirectly, by
means of a take-over bid, tender offer, amalgamation, merger, purchase of assets, or similar transaction having the same effect as any of the foregoing, (a) acquires any business or all or substantially all of the assets of any Person engaged in any
business, (b) acquires control of securities of a Person engaged in a business representing more than 50% of the ordinary voting power for the election of directors or other governing body if the business affairs of such Person are managed by a
board of directors or other governing body, or (c) acquires control of more than 50% of the ownership interest in any Person engaged in any business that is not managed by a board of directors or other governing body. 

“Act” has the meaning set forth in Section 13.16. 

“Affiliate” means, with respect to a specified Person, another Person that directly, or indirectly through one or more
intermediaries, Controls or is Controlled by or is under common Control with the Person specified. 
 “Agreement” has the
meaning set forth in the introduction hereto. 
 “Agreement Currency” has the meaning set forth in Section 13.17. 

 “Anti-Corruption Laws” means all laws, rules, regulations and requirements of
any jurisdiction applicable to the Obligors and their Affiliates concerning or relating to bribery or corruption, including, without limitation, the Foreign Corrupt Practices Act of 1977, as amended, and the Corruption of Foreign Public Officials
Act (Canada), as amended. 
 “Anti-Terrorism Laws” means any laws or regulations relating to terrorism or money
laundering, including, without limitation, the Criminal Code (Canada), the Proceeds of Crime (Money Laundering) and Terrorist Financing Act (Canada), the Official Secrets Act (Canada), the Bank Secrecy Act (31
U.S.C. §§ 5311 et seq.), the Money Laundering Control Act of 1986 (18 U.S.C. §§ 1956 et seq.), the USA Patriot Act and any similar law enacted in the United States after the date of this Agreement. 

“Applicable Creditor” has the meaning set forth in Section 13.17.  

“Applicable Margin” means a rate of 10.00% per annum.  

“Asset Sale” has the meaning set forth in Section 9.09. 

“Asset Sale Net Proceeds” means the aggregate amount of cash proceeds received from any Asset Sale (including any cash
received by way of deferred payment pursuant to a note receivable, other non-cash consideration or otherwise, but only as and when such cash is so received), net of any bona fide costs incurred in connection with such Asset Sale. 

“Assignment and Acceptance” means an assignment and acceptance entered into by a Lender and an assignee of such Lender. 

“Bankruptcy Code” means Title II of the United States Code entitled “Bankruptcy”. 

“Bankruptcy Law” means the Bankruptcy Code and Canadian Bankruptcy Law, as applicable. 

“Benefit Plan” means any employee benefit plan as defined in Section 3(3) of ERISA (whether governed by the laws of the
United States, the laws of Canada or otherwise) to which any Obligor or Subsidiary thereof incurs or otherwise has any obligation or liability, contingent or otherwise. 

“Board” has the meaning set forth in Section 12.01. 

“Borrower” has the meaning set forth in the introduction hereto. 

“Borrower Lease” means that certain Lease of Office Space between Poplar Properties Ltd. and Borrower dated as of
April 6, 2015, as amended from time to time. 
 “Borrower Party” has the meaning set forth in Section 13.03(b). 

  
 -2- 

 “Borrowing” means a borrowing consisting of Loans made on the same day by the
Lenders according to their respective Commitments. 
 “Borrowing Date” means with respect to the Tranche B Term Loan, the
Business Day on which all conditions set forth in Section 6.02 have been satisfied or waived by the Lenders and the Tranche B Term Loan is made hereunder. 

“Borrowing Notice Date” means, the date that is at least three (3) Business Days prior to the Borrowing Date. 

“Business Day” means a day (other than a Saturday or Sunday) on which commercial banks are not authorized or required to
close in New York City and, when determined in connection with notices and determinations in respect of LIBOR or any Loan or any funding, Interest Period or any payments in respect of the Loans, that is also a day on which dealings in dollar
deposits are carried on in the London interbank market. 
 “Canadian Bankruptcy Law” means the Bankruptcy and Insolvency
Act (Canada), the Companies’ Creditors Arrangement Act (Canada), the Winding-Up and Restructuring Act (Canada) or any other present or future federal bankruptcy or insolvency laws of Canada. 

“Canadian Deposit Account” means any deposit account and/or securities account located and/or maintained in Canada.

“Canadian Dollars” means lawful money of Canada. 

“Canadian Security Agreement” means the security agreement, dated as of the date hereof, in substantially the form of Exhibit
J, among the Obligors, the Lenders and the Control Agent, granting a security interest in the personal Property constituting Collateral thereunder in favor of the Lenders. 

“Capital Lease Obligations” means, as to any Person, the obligations of such Person to pay rent or other amounts under a
lease of (or other agreement conveying the right to use) real and/or personal Property which obligations are required to be classified and accounted for as a capital lease on a balance sheet of such Person under GAAP and, for purposes of this
Agreement, the amount of such obligations shall be the capitalized amount thereof, determined substantially in accordance with GAAP. 

“Casualty Event” means any actual or constructive loss, condemnation, destruction, confiscation, requisition, seizure or
forfeiture of all or any material portion of the assets of Borrower, excluding only those assets, individually or in the aggregate, subject to any such event during any calendar year with a fair market value as of the date thereof equal to or less
than $500,000. 
 “Change of Control” means and shall be deemed to have occurred if: 

(a) (i) prior to the occurrence of a Qualified IPO, the acquisition of ownership, directly or indirectly, beneficially or of record, by any
Person or group of Persons acting jointly or otherwise in concert of capital stock representing more than 40% of the aggregate ordinary voting power represented by the issued and outstanding capital stock of Borrower, or (ii) following the
occurrence of a Qualified IPO, the acquisition of ownership, directly or indirectly, beneficially or of record, by any Person or group of Persons acting jointly or otherwise in concert of capital stock representing more than 50% of the aggregate
ordinary voting power represented by the issued and outstanding capital stock of Borrower; 

  
 -3- 

 (b) prior to the occurrence of a Qualified IPO, during any period of twelve (12) consecutive
calendar months, the occupation of a majority of the seats (other than vacant seats) on the board of directors of Borrower by Persons who were neither (i) nominated by the board of directors of Borrower, nor (ii) appointed by directors on the board
of directors on the date hereof or so nominated; 
 (c) other than in connection with a transaction permitted by this Agreement, Borrower
shall cease to own directly, beneficially and of record, determined on a fully diluted basis, 100% of the issued and outstanding capital stock of its Subsidiaries; or 

(d) prior to the occurrence of a Qualified IPO, a Key Person Event shall have occurred. 

“Claims” includes claims, demands, complaints, grievances, actions, applications, suits, causes of action, orders, charges,
indictments, prosecutions, information (brought by a public prosecutor without grand jury indictment) or other similar processes, assessments or reassessments. 

“Closing Date” means the Business Day on which all of the conditions set forth in Section 6.01 have been satisfied or waived
by the Lenders and the Tranche A Term Loan is made. 
 “Code” means the Internal Revenue Code of 1986, as amended from time
to time, and the rules and regulations promulgated thereunder from time to time. 
 “Collaboration Agreements” means those
collaboration agreements identified on Schedule 9.12(c)(1) and similar agreements entered into by Borrower from time to time in the Ordinary Course of Business. 

“Collateral” means any Property in which a Lien is purported to be granted under any of the Security Documents (or all such
Property, as the context may require). 
 “Collateral Questionnaire” means that certain Collateral Questionnaire and
Certification by Officer of Zymeworks Inc. substantially in the form of attached hereto as Exhibit L. 
 “Commission” means
the Securities and Exchange Commission. 

  
 -4- 

 “Commitment” means, with respect to each Lender, such Lender’s Tranche A
Term Loan Commitment and Tranche B Term Loan Commitment, and “Commitments” means all such commitments of all Lenders. The aggregate Commitments of all Lenders as of the Closing Date is $15,000,000. 

“Committee” has the meaning set forth in Section 12.01. 

“Commodity Account” has the meaning set forth in the U.S. Security Agreement (including any equivalent meaning in Canada or
under any applicable Canadian provincial personal property legislation). 
 “Compliance Certificate” has the meaning set
forth in Section 8.01(c). 
 “Contracts” means contracts, licenses, leases, agreements, obligations, promises,
undertakings, understandings, arrangements, documents, commitments, entitlements or engagements under which a Person has, or will have, any liability or contingent liability (in each case, whether written or oral, express or implied). 

“Control” means, in respect of a particular Person, the possession, directly or indirectly, of the power to direct or cause
the direction of the management or policies of such Person, whether through the ability to exercise voting power, by contract or otherwise. “Controlling” and “Controlled” have meanings correlative thereto. 

“Control Agent” means the Lender acting as “Control Agent” under the U.S. Security Agreement and the Canadian
Security Agreement, as applicable. 
 “Copyright” has the meaning set forth in the Security Documents. 

“Default” means any Event of Default and any event that, upon the giving of notice, the lapse of time or both, would
constitute an Event of Default. 
 “Default Rate” has the meaning set forth in Section 3.02(b). 

“Deposit Account” means a U.S. Deposit Account and a Canadian Deposit Account.

“Designated Account” has the meaning set forth in Section 4.01(a). 

“Designated Person” means a person or entity: 

(a) listed in the annex to, or otherwise targeted by the provisions of, the Executive Order (as disclosed by World-Check or another reputable
commercially available database); 
 (b) named as a “Specially Designated National and Blocked Person” on the most current list
published by OFAC at its official website or any replacement website or other replacement official publication of such list (as disclosed by World-Check or another reputable commercially available database); 

  
 -5- 

 (c) named or listed in the regulations made under the Special Economic Measures Act (Canada)
(S,C. 1992, c. 17) as a person or entity with whom trading or dealing is prohibited, in accordance with the most recent of such lists published by the Department of Foreign Affairs and International Trade on its web site; or 

(d) with which the Lenders are prohibited from dealing or otherwise engaging in any transaction by any Economic Sanctions Laws. 

“Dollars” and “$” means lawful money of the United States of America. 

“Economic Sanctions Laws” means: 

(a) the Executive Order, the International Emergency Economic Powers Act (50 U.S.C. §§ 1701 et seq.), the Trading
with the Enemy Act (50 U.S.C. App. §§ 1 et seq.), any other law or regulation promulgated thereunder from time to time and administered by OFAC and any similar law enacted in the United States after the date of this Agreement;

 (b) the Special Economic Measures Act (Canada) (S,C. 1992, c. 17) and the regulations made thereunder, the United Nations
Act (Canada) (R.S.C. 1985, c. U-2), and the regulations made thereunder, any other law or regulation promulgated from time to time and administered by the Canadian Department of Foreign Affairs and International Trade and any similar laws
enacted in Canada after the date of this Agreement; and 
 (c) any other similar applicable law now or hereafter enacted in any other
applicable jurisdiction. 
 “Employee Plan” means a Pension Plan, a Welfare Plan or both. 

“Environmental Law” means any federal, state, provincial or local governmental law, rule, regulation, order, writ, judgment,
injunction or decree relating to pollution or protection of the environment or the treatment, storage, disposal, release, threatened release or handling of hazardous materials, and all local laws and regulations related to environmental matters and
any specific agreements entered into with any competent authorities which include commitments related to environmental matters. 

“Equity Interest” means, with respect to any Person, any and all shares, interests, participations or other equivalents,
including membership interests (however designated, whether voting or nonvoting), of equity of such Person, including, if such Person is a partnership, partnership interests (whether general or limited) and any other interest or participation that
confers on a Person the right to receive a share of the profits and losses of, or distributions of property of, such partnership, but excluding debt securities convertible or exchangeable into such equity. 

“Equivalent Amount” means, with respect to an amount denominated in one currency, the amount in another currency that could
be purchased by the amount in the first currency determined by reference to the Exchange Rate at the time of determination. 

  
 -6- 

 “ERISA” means the United States Employee Retirement Income Security Act of 1974,
as amended. 
 “ERISA Affiliate” means, collectively, any Obligor, Subsidiary thereof, and any Person under common control,
or treated as a single employer, with any Obligor or Subsidiary thereof, within the meaning of Section 414(b), (c), (m) or (o) of the Code. 

“ERISA Event” means (i) a reportable event as defined in Section 4043 of ERISA with respect to a Title IV Plan, excluding,
however, such events as to which the PBGC by regulation has waived the requirement of Section 4043(a) of ERISA that it be notified within 30 days of the occurrence of such event; (ii) the applicability of the requirements of Section 4043(b) of ERISA
with respect to a contributing sponsor, as defined in Section 4001(a)(13) of ERISA, to any Title IV Plan where an event described in paragraph (9), (10), (11), (12) or (13) of Section 4043(c) of ERISA is reasonably expected to occur with respect to
such plan within the following 30 days; (iii) a withdrawal by any Obligor or any ERISA Affiliate thereof from a Title IV Plan or the termination of any Title IV Plan resulting in liability under Sections 4063 or 4064 of ERISA; (iv) the withdrawal of
any Obligor or any ERISA Affiliate thereof in a complete or partial withdrawal (within the meaning of Section 4203 and 4205 of ERISA) from any Multiemployer Plan if there is any potential liability therefore, or the receipt by any Obligor or any
ERISA Affiliate thereof of notice from any Multiemployer Plan that it is in reorganization or insolvency pursuant to Section 4241 or 4245 of ERISA; (v) the filing of a notice of intent to terminate, the treatment of a plan amendment as a termination
under Section 4041 or 4041A of ERISA, or the commencement of proceedings by the PBGC to terminate a Title IV Plan or Multiemployer Plan; (vi) the imposition of liability on any Obligor or any ERISA Affiliate thereof pursuant to Sections 4062(e) or
4069 of ERISA or by reason of the application of Section 4212(c) of ERISA; (vii) the failure by any Obligor or any ERISA Affiliate thereof to make any required contribution to a Plan, or the failure to meet the minimum funding standard of Section
412 of the Code with respect to any Title IV Plan (whether or not waived in accordance with Section 412(c) of the Code) or the failure to make by its due date a required installment under Section 430 of the Code with respect to any Title IV Plan or
the failure to make any required contribution to a Multiemployer Plan; (viii) the determination that any Title IV Plan is considered an at-risk plan or a plan in endangered to critical status within the meaning of Sections 430, 431 and 432 of the
Code or Sections 303, 304 and 305 of ERISA; (ix) an event or condition which might reasonably be expected to constitute grounds under Section 4042 of ERISA for the termination of, or the appointment of a trustee to administer, any Title IV Plan or
Multiemployer Plan; (x) the imposition of any liability under Title I or Title IV of ERISA, other than PBGC premiums due but not delinquent under Section 4007 of ERISA, upon any Obligor or any ERISA Affiliate thereof; (xi) an application for a
funding waiver under Section 303 of ERISA or an extension of any amortization period pursuant to Section 412 of the Code with respect to any Title IV Plan; (xii) the occurrence of a non-exempt prohibited transaction under Sections 406 or 407 of
ERISA for which any Obligor or any Subsidiary thereof may be directly or indirectly liable; (xiii) a violation of the applicable requirements of Section 404 or 405 of ERISA or the exclusive benefit rule under Section 401(a) of the Code by any
fiduciary or disqualified person for which any Obligor or any ERISA Affiliate thereof may be directly or indirectly liable; (xiv) the occurrence of an act or omission which could give rise to the imposition on any

  
 -7- 

 
Obligor or any ERISA Affiliate thereof of fines, penalties, Taxes or related charges under Chapter 43 of the Code or under Sections 409, 502(c), (i) or (1) or 4071 of ERISA; (xv) the assertion of
a material claim (other than routine claims for benefits) against any Plan or the assets thereof, or against any Obligor or any Subsidiary thereof in connection with any such plan; (xvi) receipt from the IRS of notice of the failure of any Qualified
Plan to qualify under Section 401(a) of the Code, or the failure of any trust forming part of any Qualified Plan to fail to qualify for exemption from taxation under Section 501(a) of the Code; (xvii) the imposition of any lien (or the fulfillment
of the conditions for the imposition of any lien) on any of the rights, properties or assets of any Obligor or any ERISA Affiliate thereof, in either case pursuant to Title I or IV, including Section 302(f) or 303(k) of ERISA or to Section
401(a)(29) or 430(k) of the Code; or (xviii) the establishment or amendment by any Obligor or any Subsidiary thereof of any “welfare plan,” as such term is defined in Section 3(1) of ERISA, that provides post-employment welfare benefits in
a manner that would increase the liability of any Obligor, other than those benefits required under the Consolidated Omnibus Budget Reconciliation Act. 

“ERISA Funding Rules” means the rules regarding minimum required contributions (including any installment payment thereof) to
Title IV Plans, as set forth in Sections 412, 430, 431, 432 and 436 of the Code and Sections 302, 303, 304 and 305 of ERISA. 

“Event of Default” has the meaning set forth in Section 10.01. 

“Excess Funding Guarantor” has the meaning set forth in Section 11.08. 

“Excess Payment” has the meaning set forth in Section 11.08. 

“Exchange Act” means the Securities Exchange Act of 1934, as amended. 

“Exchange Rate” means on any day with respect to Canadian Dollars, the rate at which Canadian Dollars may be exchanged into
Dollars, as set forth on the applicable Bloomberg currency page with respect to such currency; in the event that such rate does not appear on the applicable Bloomberg currency page, the “Exchange Rate” shall be determined by reference to
such other publicly available service for displaying exchange rates as may be agreed upon by Borrower and the Majority Lenders or, in the absence of such agreement, such Exchange Rate shall instead be determined by the Majority Lenders by any
reasonable method as they deem applicable to determine such rate, and such determination shall be conclusive absent manifest error. 

“Excluded Taxes” means any of the following Taxes imposed on or with respect to a Recipient or required to be withheld or
deducted from a payment to a Recipient: (a) Taxes imposed on or measured by net income (however denominated), franchise Taxes and branch profits Taxes in each case (i) imposed as a result of such Recipient being organized under the laws of, or
having its principal office or, in the case of a Lender, its applicable lending office located in, the jurisdiction imposing such Tax or (ii) that are Other Connection Taxes, (b) any U.S. federal withholding Taxes that are imposed on amounts payable
to Lender to the extent that the obligation to withhold amounts existed on the date that (i) Lender became a “Lender” 

  
 -8- 

 
under this Agreement or (ii) Lender changes its lending office, except in each case to the extent Lender is a direct or indirect assignee of any other Lender that was entitled, at the time the
assignment of such other Lender became effective, to receive additional amounts under Section 5.03 or Lender was entitled to receive additional amounts under Section 5.03 immediately before it changed its lending office, (c) any Taxes imposed in
connection with FATCA, and (d) Taxes attributable to such Recipient’s failure to comply with Section 5.03(e). 
 “Executive
Order” means the US Executive Order No. 13224 on Blocking Property and Prohibiting Transactions with Persons who commit, Threaten to Commit, or Support Terrorism. 

“Expense Deposit” means a cash deposit in the amount of $25,000 made by Borrower to an Affiliate of Perceptive Advisors LLC
pursuant to the Proposal Letter for the prepayment of the Lenders’ costs and expenses (payable pursuant to Section 13.03(a) and/or the Proposal Letter) incurred prior to the Closing Date. 

“FATCA” means Sections 1471 through 1474 of the Code, as of the date of this Agreement (or any amended or successor version
that is substantively comparable and not materially more onerous to comply with), any current or future regulations or official interpretations thereof and any agreements entered into pursuant to Section 1471(b)(1) of the Code. 

“FD&C Act” means the U.S. Food, Drug and Cosmetic Act of 1938 (or any successor thereto), as amended from time to time,
and the rules and regulations promulgated thereunder. 
 “FDA” means the U.S. Food and Drug Administration and any
successor entity. 
 “Foreign Lender” means a Lender that is not a U.S. Person. 

“GAAP” means generally accepted accounting principles in the United States of America, as in effect from time to time, set
forth in the opinions and pronouncements of the Accounting Principles Board and the American Institute of Certified Public Accountants, in the statements and pronouncements of the Financial Accounting Standards Board and in such other statements by
such other entity as may be in general use by significant segments of the accounting profession that are applicable to the circumstances as of the date of determination; provided, that for the sole purpose of complying with Canadian reporting
obligations, GAAP in respect of the financial statements and accounting determinations for Borrower individually or on a consolidated basis (which for the avoidance of doubt shall not include any statements or determinations relating only to
Borrower individually or on a consolidated basis) means generally accepted accounting principles that are from time to time approved by the Canadian Institute of Chartered Accountants, or any successor institute (which, for greater clarity, includes
the International Financial Reporting Standards (IRFS) and Accounting Standards for Private Enterprises (ASPE) as applicable approved by same from time to time). Subject to Section 1.02, all references to “GAAP” shall be to GAAP
applied consistently with the principles used in the preparation of the financial statements described in Section 7.04(a). 

  
 -9- 

 “Governmental Approval” means any consent, authorization, approval, order,
license, franchise, permit, certificate, accreditation, registration, filing or notice, of, issued by, from or to, or other act by or in respect of, any Governmental Authority. 

“Governmental Authority” means any nation, government, branch of power (whether executive, legislative or judicial), state,
province or municipality or other political subdivision thereof and any entity exercising executive, legislative, judicial, monetary, regulatory or administrative functions of or pertaining to government, including without limitation Regulatory
Authorities, governmental departments, agencies, commissions, bureaus, officials, ministers, courts, bodies, boards, tribunals and dispute settlement panels, and other law-, rule- or regulation-making organizations or entities of any State,
province, territory, county, city or other political subdivision of the United States or Canada. 
 “Guarantee” of or by
any Person (the “guarantor”) means any obligation, contingent or otherwise, of the guarantor guaranteeing or having the economic effect of guaranteeing any Indebtedness or other obligation of any other Person (the “primary
obligor”) in any manner, whether directly or indirectly, and including any obligation of the guarantor, direct or indirect, (a) to purchase or pay (or advance or supply funds for the purchase or payment of) such Indebtedness or other
obligation or to purchase (or to advance or supply funds for the purchase of) any security for the payment thereof, (b) to purchase or lease property, securities or services for the purpose of assuring the owner of such Indebtedness or other
obligation of the payment thereof, (c) to maintain working capital, equity capital or any other financial statement condition or liquidity of the primary obligor so as to enable the primary obligor to pay such Indebtedness or other obligation or (d)
as an account party in respect of any letter of credit or letter of guaranty issued to support such Indebtedness or obligation; provided, that the term Guarantee shall not include endorsements for collection or deposit in the Ordinary Course
of Business. 
 “Guarantee Assumption Agreement” means a Guarantee Assumption Agreement substantially in the form of
Exhibit A by an entity that, pursuant to Section 8.11(a), is required to become a “Guarantor”. 
 “Guaranteed
Obligations” has the meaning set forth in Section 11.01. 
 “Guarantor” means each Subsidiary of Borrower. 

“Hazardous Material” means any substance, element, chemical, compound, product, solid, gas, liquid, waste, by-product,
pollutant, contaminant or material which is hazardous or toxic, and includes, without limitation, (a) asbestos, polychlorinated biphenyls and petroleum (including crude oil or any fraction thereof) and (b) any material classified or regulated as
“hazardous” or “toxic” or words of like import pursuant to an Environmental Law. 
 “Hedging Agreement”
means any interest rate exchange agreement, foreign currency exchange agreement, commodity price protection agreement or other interest or currency exchange rate or commodity price hedging arrangement. 

  
 -10- 

 “IND” means (i)(x) an investigational new drug application (as defined in the
FD&C Act) that is required to be filed with the FDA before beginning clinical testing in human subjects, or any successor application or procedure and (y) any similar application or functional equivalent relating to any investigational new drug
application applicable to or required by any country, jurisdiction or Governmental Authority other than the U.S. and (ii) all supplements and amendments that may be filed with respect to the foregoing. 

“Indebtedness” of any Person means, without duplication, (a) all obligations of such Person for borrowed money, (b) all
obligations of such Person evidenced by bonds, debentures, notes or similar instruments, (c) all obligations of such Person upon which interest charges are customarily paid, (d) all obligations of such Person under conditional sale or other title
retention agreements relating to Property acquired by such Person, (e) all obligations of such Person in respect of the deferred purchase price of Property or services (excluding current accounts payable which are incurred in the Ordinary Course of
Business), (f) all Indebtedness of others secured by (or for which the holder of such Indebtedness has an existing right, contingent or otherwise, to be secured by) any Lien on Property owned or acquired by such Person, whether or not the
Indebtedness secured thereby has been assumed, (g) all Guarantees by such Person of Indebtedness of others, (h) all Capital Lease Obligations of such Person, (i) all obligations, contingent or otherwise, of such Person as an account party in respect
of letters of credit and letters of guaranty, (j) obligations under any Hedging Agreement, currency swaps, forwards, futures or derivatives transactions, (k) all obligations, contingent or otherwise, of such Person in respect of bankers’
acceptances, (l) all obligations of such Person under license or other agreements containing a guaranteed minimum payment or purchase by such Person, (m) all obligations, contingent or otherwise, of such Person arising under indemnity agreements or
other agreements that contain an obligation to indemnify any third party, and (n) all other obligations required to be classified as indebtedness of such Person under GAAP. The Indebtedness of any Person shall include the Indebtedness of any
other entity (including any partnership in which such Person is a general partner) to the extent such Person is liable therefor as a result of such Person’s ownership interest in or other relationship with such entity, except to the extent the
terms of such Indebtedness provide that such Person is not liable therefor. 
 “Indemnified Party” has the meaning set
forth in Section 13.03(b). 
 “Indemnified Taxes” means (a) Taxes, other than Excluded Taxes, imposed on or with respect to
any payment made by or on account of any Obligation and (b) to the extent not otherwise described in clause (a), Other Taxes. 

“Industrial Designs” has the meaning set forth in the Security Documents. 

“Information” has the meaning set forth in Section 13.18. 

“Insolvency Proceeding” means (i) any case, action or proceeding before any court or other Governmental Authority relating to
bankruptcy, reorganization, insolvency, liquidation, receivership, dissolution, winding-up or relief of debtors, or (ii) any general assignment for the benefit of creditors, composition, marshaling of assets for creditors, or other, similar

  
 -11- 

 
arrangement in respect of any Person’s creditors generally or any substantial portion of such Person’s creditors, in each case undertaken under U.S. Federal, state or foreign law,
including the Bankruptcy Law. 
 “Intellectual Property” means all Patents, Trademarks, Copyright, Industrial Designs,
Technical Information and other intellectual property, whether registered or not, domestic and foreign. Intellectual Property shall include all: 

(a) applications or registrations relating to such Intellectual Property; 

(b) rights and privileges arising under applicable Laws with respect to such Intellectual Property; 

(c) rights to sue for past, present or future infringements of such Intellectual Property, in accordance with applicable Laws; 

(d) Product Authorizations; 

(e) Product Agreements; and 

(f) rights of the same or similar effect or nature in any jurisdiction corresponding to such Intellectual Property throughout the world. 

“Interest Period” means, (i) initially, the period beginning on (and including) the Closing Date and ending on (and
including) the last day of the calendar month in which the Closing Date occurs, and (ii) thereafter, the period beginning on (and including) the first day of each succeeding calendar month and ending on the earlier of (and including) (x) the last
day of such calendar month and (y) the Maturity Date. 
 “Invention” means any novel, inventive and useful art, apparatus,
method, process, machine (including article or device), manufacture or composition of matter, or any novel, inventive and useful improvement in any art, method, process, machine (including article or device), manufacture or composition of matter.

 “Investment” means, for any Person: (a) the acquisition (whether for cash, Property, services or securities or
otherwise) of capital stock, bonds, notes, debentures, partnership or other ownership interests or other securities of any other Person or any agreement to make any such acquisition (including any “short sale” or any sale of any securities
at a time when such securities are not owned by the Person entering into such sale); (b) the making of any advance, loan or other extension of credit to, any other Person (including the purchase of Property from another Person subject to an
understanding or agreement, contingent or otherwise, to resell such Property to such Person), but excluding any such advance, loan or extension of credit in the nature of an ordinary course trade receivable having a term not exceeding 90 days
arising in connection with the sale of inventory or supplies by such Person in the Ordinary Course of Business; (c) the entering into of any Guarantee of, or other contingent obligation with respect to, Indebtedness or other liability of any other
Person and (without duplication) any amount 

  
 -12- 

 
committed to be advanced, lent or extended to such Person; or (d) the entering into of any Hedging Agreement. The amount of an Investment will be determined at the time the Investment is
made without giving effect to any subsequent changes in value. 
 “IRS” means the U.S. Internal Revenue Service or any
successor agency, and to the extent relevant, the U.S. Department of the Treasury. 
 “Judgment Currency” has the meaning
set forth in Section 13.17. 
 “Key Person” means Dr. Ali Tehrani or such other person as may be acceptable by the Lenders
as Dr. Tehrani’s replacement pursuant to the definition of “Key Person Event.” 
 “Key Person Event” means
the Key Person (a) ceases to hold the office of chief executive officer (or equivalent) of Borrower or fails to be directly and actively involved in the day to day management and direction of Borrower and its Subsidiaries and a successor reasonably
acceptable to the Lenders shall not have been appointed within 60 days of such cessation, or (b) becomes or is an employee, manager or officer of any entity other than Borrower and its Subsidiaries and such affiliation materially affects the amount
of time the Key Person devotes to the business of Borrower and its Subsidiaries. 
 “Laws” means, collectively, all
international, foreign, federal, state, provincial, territorial, municipal and local statutes, treaties, rules, guidelines, regulations, ordinances, codes and administrative or judicial precedents or authorities, including the interpretation or
administration thereof by any Governmental Authority charged with the enforcement, interpretation or administration thereof, and all applicable administrative orders, directed duties, requests, licenses, authorizations and permits of, and agreements
with, any Governmental Authority, in each case whether or not having the force of law. 
 “Lenders” has the meaning set
forth in the introduction hereto. 
 “LIBOR” means the greater of: 

(i) the rate per annum (rounded upward, if necessary, to the nearest whole 1/8 of 1%) and determined pursuant to
the following formula: 
 LIBOR =            Base LIBOR 

100% - LIBOR Reserve Percentage 

and 
 (ii) 1.00%
per annum, 
 where “Base LIBOR” means, with respect to any Interest Period, the rate determined by the Majority
Lenders to be the offered rate for deposits in Dollars for the applicable Interest Period appearing on the Dow Jones Markets Telerate Page 3750 as of 11:00 a.m. (London 

  
 -13- 

 
time) on the second full Business Day next preceding the first day of such Interest Period. In the event that such rate does not appear on the Dow Jones Markets Telerate Page 3750 (or
otherwise on the Dow Jones Markets screen) at such time, the “Base LIBOR” shall be determined by reference to such other comparable publicly available service for displaying the offered rate for deposit in Dollars in the London interbank
market as may be selected by the Majority Lenders and, in the absence of availability, such other method to determine such offered rate as may be selected by the Majority Lenders in their sole discretion. 

“LIBOR Reserve Percentage” means the reserve percentage prescribed by the Board of Governors of the Federal Reserve System
(or any successor) for “Eurocurrency Liabilities” (as defined in Regulation D of the Federal Reserve Board, as amended), adjusted by the Majority Lenders for expected changes in such reserve percentage during the term of the Loans. 

“Lien” means any mortgage, lien, pledge, charge or other security interest, or any lease, title retention agreement,
mortgage, restriction, easement, right-of-way, option or adverse claim (of ownership or possession) or other encumbrance of any kind or character whatsoever or any preferential arrangement that has the practical effect of creating a security
interest.
 “Liquidity” means the balance of unencumbered cash (other than cash encumbered by the Liens granted to the
Lenders pursuant to the Loan Documents) and Permitted Cash Equivalent Investments (which for greater certainty shall not include any undrawn credit lines), in each case, to the extent held in Deposit Accounts over which the Lenders have a first
priority perfected security interest and which are subject to control agreements in favor of the Lenders (except as otherwise set forth in Section 8.19). 

“Loan Documents” means, collectively, this Agreement, the Notes, the Security Documents, any Guarantee Assumption Agreement,
each Warrant Certificate, and any subordination agreement, intercreditor agreement or other present or future document, instrument, agreement or certificate delivered to any Lender in connection with this Agreement or any of the other Loan
Documents, in each case, as amended, restated, supplemented or otherwise modified. 
 “Loan Exposure” means, with respect
to any Lender, as of any date of determination, the outstanding principal amount of the Loans of such Lender; provided, at any time prior to the making of the Loans, the Loan Exposure of any Lender shall be equal to such Lender’s
Commitment. 
 “Loans” means the Tranche A Term Loan and the Tranche B Term Loan. 

“Loss” means judgments, debts, liabilities, expenses, costs, damages or losses, contingent or otherwise, whether liquidated
or unliquidated, matured or unmatured, disputed or undisputed, contractual, legal or equitable, including loss of value, professional fees, including fees and disbursements of legal counsel on a full indemnity basis, and all costs incurred in
investigating or pursuing any Claim or any proceeding relating to any Claim. 

  
 -14- 

 “Majority Lenders” means, at any time, one or more Lenders having or holding
Loan Exposure and representing more than 50% of the aggregate Loan Exposure of all Lenders. 
 “Margin Stock” means
“margin stock” within the meaning of Regulations U and X. 
 “Material Adverse Change” and “Material
Adverse Effect” mean a material adverse change in or effect on (i) the business, financial condition, operations, performance, or Property of Borrower and its Subsidiaries taken as a whole, (ii) the ability of any Obligor to perform its
obligations under any Loan Document, (iii) the value of the Property comprising Collateral (taken as a whole), or (iv) the legality, validity, binding effect or enforceability of the Loan Documents or the rights and remedies of any Lender under any
of the Loan Documents. For the avoidance of doubt, a “going concern” or like qualification or “emphasis of matter” paragraph in an auditor’s opinion shall not, in and of itself, constitute a Material Adverse Change or a
Material Adverse Effect. 
 “Material Agreements” means (A) the agreements which are listed in Schedule 7.14, and (B) all
other agreements to which any Obligor or any of its Properties are bound, from time to time, the absence or termination of any of which would reasonably be expected to result in a Material Adverse Effect (which include agreements for the contracted
manufacturing of Products and the distribution and payment of royalties); provided, that “Material Agreements” excludes all: (i) licenses implied by the sale of a product; and (ii) paid-up licenses for commonly available software
programs under which an Obligor is the licensee; provided further, that for purposes of Sections 8.03(d), 9.12(b) and 10.01(g) “Material Agreements” shall exclude the Collaboration Agreements and the Specified Collaboration
Agreements. 
 “Material Indebtedness” means, at any time, any Indebtedness of any Obligor, the outstanding principal
amount of which, individually or in the aggregate, exceeds $500,000 (or the Equivalent Amount in other currencies). 
 “Material
Intellectual Property” means, the Obligor Intellectual Property described in Schedule 7.05(b) and any other Obligor Intellectual Property the loss of which would reasonably be expected to have or result in a Material Adverse Effect. 

“Maturity Date” means the earlier to occur of (i) the Stated Maturity Date, and (ii) the date on which the Loans are
accelerated pursuant to Section 10.02. 
 “Multiemployer Plan” means any multiemployer plan, as defined in Section
400l(a)(3) of ERISA, to which any ERISA Affiliate incurs or otherwise has any obligation or liability, contingent or otherwise. 

“NDA” means (i)(x) a new drug application (as defined in the FD&C Act) and (y) any similar application or functional
equivalent relating to any new drug application applicable to or required by any country, jurisdiction or Governmental Authority other than the U.S. and (ii) all supplements and amendments that may be filed with respect to the foregoing. 

  
 -15- 

 “Note” means a promissory note executed and delivered by Borrower to any Lender
in accordance with Section 2.04. 
 “Notice of Borrowing” has the meaning set forth in Section 2.01. 

“Obligations” means, with respect to any Obligor, all amounts, obligations (including, without limitation, Warrant
Obligations), liabilities, covenants and duties of every type and description owing by such Obligor to any Lender, any other indemnitee hereunder or any participant, arising out of, under, or in connection with, any Loan Document, whether direct or
indirect (regardless of whether acquired by assignment), absolute or contingent, due or to become due, whether liquidated or not, now existing or hereafter arising and however acquired, and whether or not evidenced by any instrument or for the
payment of money, including, without duplication, (i) all Loans, (ii) all interest, whether or not accruing after the filing of any petition in bankruptcy or after the commencement of any insolvency, reorganization or similar proceeding, and whether
or not a claim for post-filing or post-petition interest is allowed in any such proceeding, and (iii) the Prepayment Premium and all other fees, expenses (including fees, charges and disbursement of counsel), interest, commissions, charges, costs,
disbursements, indemnities and reimbursement of amounts paid and other sums chargeable to such Obligor under any Loan Document. 

“Obligor Intellectual Property” means Intellectual Property owned by or licensed to any of the Obligors. 

“Obligors” means, collectively, Borrower, each Guarantor and each of their respective successors and permitted assigns. 

“Observer” has the meaning set forth in Section 12.01. 

“OFAC” means the Office of Foreign Assets Control of the U.S. Department of the Treasury (or any successor thereto). 

“Ordinary Course of Business” means, with respect to the Obligors, the ordinary course of business consistent with past
custom and practice (including with respect to nature, scope, magnitude, quantity and frequency) that does not require any board of director or shareholder approval or any other separate or special authorization of any nature and similar in nature,
scope and magnitude to actions customarily taken in the ordinary course of the normal day-to-day operations of other Persons that are in the same line of business. 

“Organizational Documents” means (i) with respect to any corporation, its certificate or articles of incorporation or
organization, as amended, and its by-laws, as amended, (ii) with respect to any limited partnership, its certificate of limited partnership, as amended, and its partnership agreement, as amended, (iii) with respect to any general partnership, its
partnership agreement, as amended, and (iv) with respect to any limited liability company, its articles of organization, as amended, and its operating agreement, as amended. In the event any term of condition of this Agreement or any other Loan
Document requires any Organizational Document to be certified by a secretary of state or similar government official, the reference to any such “Organizational Document” shall only be to a document of a type customarily certified by such
government official. 

  
 -16- 

 “Other Connection Taxes” means, with respect to any Recipient, Taxes imposed as
a result of a present or former connection between such Recipient and the jurisdiction imposing such Tax (other than connections arising from such Recipient having executed, delivered, become a party to, performed its obligations under, received
payments under, received or perfected a security interest under, engaged in any other transaction pursuant to or enforced any Loan Document, or sold or assigned an interest in any Loan or Loan Document). 

“Other Taxes” means all present or future stamp, court or documentary, intangible, recording, filing or similar Taxes that
arise from any payment made under, from the execution, delivery, performance, enforcement or registration of, from the receipt or perfection of a security interest under, or otherwise with respect to, any Loan Document, except any such Taxes that
are Other Connection Taxes imposed with respect to an assignment (other than an assignment made pursuant to Section 5.03(g)). 

“Participant” has the meaning set forth in Section 13.05(d). 

“Patents” has the meaning set forth in the Security Documents. 

“Payment Date” means the last day of each Interest Period; provided that if such last day of such Interest Period is
not a Business Day, then the Payment Date for such Interest Period will be the next preceding Business Day. 
 “PBGC” means
the United States Pension Benefit Guaranty Corporation referred to and defined in ERISA and any successor entity performing similar functions. 

“PDMA” means the Prescription Drug Marketing Act. 

“Pension Plan” means a “pension plan” or “plan” within the meaning of the applicable pension benefits
legislation in any jurisdiction of Canada, that is organized and administered to provide pensions, pension benefits or retirement benefits for employees and former employees of any Obligor. 

“Permits” means all permits, licenses, registrations, certificates, orders, approvals, authorizations, consents, waivers,
franchises, variances and similar rights issued by or obtained from any Governmental Authority or any other Person, including, without limitation, those relating to Environmental Laws. 

“Permitted Acquisition” means any acquisition by Borrower or any of its wholly-owned Subsidiaries, by (i) purchase, merger,
license or otherwise, of all or substantially all of the assets of, all of the Equity Interests of, or a business line or unit or a division of, any Person or (ii) license arrangement for the rights to use, develop, market or otherwise commercialize
any Patents, Trademarks, Copyrights or other Intellectual Property (other than ordinary course, over the counter software license arrangements); provided that: 

(a) immediately prior to, and immediately after giving effect thereto, no Default or Event of Default shall have occurred and be continuing or
would result therefrom; 

  
 -17- 

 (b) all transactions in connection therewith shall be consummated, in all material respects, in
accordance with all applicable Laws and in conformity in all material respects with all applicable Governmental Approvals; 
 (c) in the
case of the acquisition of all of the Equity Interests of such Person, all of the Equity Interests (except for any such securities in the nature of directors’ qualifying shares required pursuant to applicable Law) acquired, or otherwise issued
by such Person or any newly formed Subsidiary of Borrower in connection with such acquisition, shall be owned 100% by an Obligor or any other Subsidiary, and Borrower shall have taken, or caused to be taken, as of the date such Person becomes a
Subsidiary of Borrower, each of the actions set forth in Section 8.11, if applicable; 
 (d) such Person (in the case of an acquisition of
Equity Interests) or assets (in the case of an acquisition of assets or a division) (i) shall be engaged or used, as the case may be, in the same business or lines of business in which Borrower and/or its Subsidiaries are engaged or a business
reasonably and substantially related thereto or (ii) shall have a similar customer base as Borrower and/or its Subsidiaries; and 
 (e) on a
pro forma basis after giving effect to such acquisition, Borrower and its Subsidiaries shall be in compliance with the financial covenants set forth in Section 8.18. 

“Permitted Cash Equivalent Investments” means (i) marketable direct obligations issued or unconditionally guaranteed by the
United States or any agency or any State thereof having maturities of not more than two (2) years from the date of acquisition, (ii) commercial paper with an average maturity of no more than one (1) year and having the highest rating from either
Standard & Poor’s Ratings Group or Moody’s Investors Service, Inc., (iii) any money market funds or other investment vehicles whose principal investments are in investments described in clauses (i) or (ii) above, and (iv) investments
permitted by the investment policy approved by the board of directors of Borrower, so long as Borrower provides written notice to the Lenders of any changes to the investment policy delivered to the Lenders on the Closing Date and such changes will
not adversely affect the Lenders in any material respect (including, without limitation, any impact on the calculation of the covenant set forth in Section 8.18) in the determination of the Lenders in their reasonable discretion. 

“Permitted Commercialization Arrangement” means such commercialization, research and development, co-marketing and other
collaborative arrangements, including joint ventures, in each case where (i) such arrangements provide for Permitted Licenses and (ii) all upfront payments, royalties, milestone payments or other proceeds arising from such licensing agreements that
are payable to Borrower or any Guarantor are paid only to Deposit Accounts over which the Lenders have a first priority perfected security interest.

“Permitted Indebtedness” means any Indebtedness permitted under Section 9.01. 

  
 -18- 

 “Permitted Licenses” are (i) licenses of over-the-counter software that is
commercially available to the public and (ii) non-exclusive and exclusive licenses for the use of the Intellectual Property of Borrower or any of its Subsidiaries, in each case entered into in the Ordinary Course of Business or as otherwise may be
approved by Borrower’s board of directors so long as (A) no Event of Default has occurred and is continuing at the time of such license and (B) such license does not materially impair the Lenders from exercising their rights under any of the
Loan Documents. 
 “Permitted Liens” means any Liens permitted under Section 9.02. 

“Permitted Priority Liens” means (i) Liens permitted under Section 9.02(d), (e), (f), (g) or (j), and (ii) Liens permitted
under Section 9.02(b) provided that such Liens are also of the type described in Section 9.02(d), (e), (f), (g) or (j). 

“Permitted Refinancing” means, with respect to any Indebtedness, any refinancing, extensions, renewals and replacements of
such Indebtedness; provided, that such refinancing, extension, renewal or replacement (i) shall not increase the outstanding principal amount of such Indebtedness, (ii) contains terms relating to outstanding principal amount, amortization,
maturity, collateral (if any) and subordination (if any), and other material terms taken as a whole no less favorable in any material respect to Borrower and its Subsidiaries or any Lender than the terms of any agreement or instrument governing such
existing Indebtedness, (iii) shall have an applicable interest rate which does not exceed the rate of interest of the Indebtedness being replaced, and (iv) shall not contain any new requirement to grant any lien or security or to give any guarantee
that was not an existing requirement of such Indebtedness. 
 “Person” means any individual, corporation, company,
voluntary association, partnership, limited liability company, joint venture, trust, unincorporated organization or Governmental Authority or other entity of whatever nature. 

“PFIC” has the meaning set forth in Section 8.01(i).

“Plan” means any employee pension benefit plan (other than a Multiemployer Plan) subject to the provisions of Title IV of
ERISA or Section 412 of the Code or Section 302 of ERISA, and in respect of which Borrower or any ERISA Affiliate is (or, if such plan were terminated, would under Section 4069 of ERISA be deemed to be) an “employer” as defined in Section
3(5) of ERISA. 
 “Prepayment Premium” has the meaning set forth in Section 3.03(a). 

“Product” means any future product developed, manufactured, licensed, marketed, sold or otherwise commercialized by any
Obligor, including any such product in development or which may be developed, in each case related to Material Intellectual Property. 

“Product Agreement” means each agreement, license, document, instrument, interest (equity or otherwise) or the like under
which one or more Persons grants or receives any right, title or interest with respect to any Product Development and Commercialization Activities in 

  
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respect of one or more Products specified therein, or receives or is granted the right to exclude any third parties from engaging in any Product Development and Commercialization Activities with
respect thereto, including each contract or agreement with suppliers, manufacturers, distributors, clinical research organizations, wholesalers, pharmacies or with any other Person related to any such entity. 

“Product Authorizations” means any and all approvals (including applicable supplements, amendments, pre and post approvals,
drug master files, governmental price and reimbursement approvals and approvals of applications for regulatory exclusivity), licenses, registrations or authorizations of any Governmental Authority necessary for the manufacture, development,
distribution, use, storage, import, export, transport, promotion, marketing, sale or other commercialization of a Product in any country or jurisdiction, including without limitation INDs, NDAs or similar applications. 

“Product Development and Commercialization Activities” means, with respect to any Product, any combination of research,
development, manufacture, importation, use, sale, storage, design, labeling, marketing, promotion, supply, distribution, testing, packaging, purchasing or other commercialization activities, receipt of payment in respect of any of the foregoing, or
like activities the purpose of which is to commercially exploit such Product. 
 “Projections” has the meaning set forth in
Section 7.04(b). 
 “Property” of any Person means any property or assets, or interest therein, of such Person. 

“Proportionate Share” means, with respect to any Lender, the percentage obtained by dividing (i) the Loan Exposure of such
Lender then in effect by (ii) the aggregate Loan Exposure of all Lenders then in effect. 
 “Proposal Letter” means the
letter agreement, dated November 16, 2015, among Borrower and Perceptive Advisors LLC, regarding the transactions contemplated hereby and the outline of proposed terms and conditions attached thereto and as such Proposal Letter may be amended,
restated or otherwise modified from time to time. 
 “Pro Rata Share” has the meaning set forth in Section 11.08. 

“Publicly Reporting Company” means an issuer generally subject to the public reporting requirements of the Securities and
Exchange Act of 1934. 
 “Qualified IPO” means an initial public offering of the equity securities of Borrower (or any
entity that directly or indirectly owns and Controls Borrower) pursuant to a registration statement on Form S-1, Form F-1, or equivalent in accordance with the Securities Act, raising at least $50,000,000. 

“Qualified Plan” means an employee benefit plan (as defined in Section 3(3) of ERISA) other than a Multiemployer Plan (i)
that is or was at any time maintained or sponsored 

  
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by any Obligor or any ERISA Affiliate thereof or to which any Obligor or any ERISA Affiliate thereof has ever made, or was ever obligated to make, contributions, and (ii) that is intended to be
tax qualified under Section 401(a) of the Code. 
 “Recipient” means any Lender or any other recipient of any payment to be
made by or on account of any Obligation. 
 “Redemption Date” has the meaning set forth in Section 3.03(a).  

“Redemption Price” has the meaning set forth in Section 3.03(a).  

“Register” has the meaning set forth in Section 13.05(c). 

“Regulation T” means Regulation T of the Board of Governors of the Federal Reserve System, as amended. 

“Regulation U” means Regulation U of the Board of Governors of the Federal Reserve System, as amended. 

“Regulation X” means Regulation X of the Board of Governors of the Federal Reserve System, as amended. 

“Regulatory Approvals” means (i) any registrations, licenses, authorizations, permits or approvals issued by any Governmental
Authority and applications or submissions related to any of the foregoing and (ii) with respect to any Product, all approvals, clearances, authorizations, orders, exemptions, registrations, certifications, licenses and Permits granted by any
Regulatory Authorities, including all NDAs and Product Authorizations held by any Obligor or any of their respective licensors, as applicable, or that are pending before the FDA or equivalent non-United States Governmental Entity with respect to the
Products. 
 “Regulatory Authority” means any Governmental Authority that is concerned with or has regulatory oversight
with respect to the use, control, safety, efficacy, reliability, manufacturing, marketing, distribution, sale or other Product Development and Commercialization Activities relating to any Product of an Obligor, including the FDA and all equivalent
of such agencies in other jurisdictions, and includes Standard Bodies. 
 “Representatives” has the meaning set forth in
Section 13.18. 
 “Required Equity Financing” has the meaning set forth in Section 6.01(g). 

“Requirements of Canadian Health Care Law” means all provincial legislation and regulations applicable to accountability
and/or accessibility to health care, federal and provincial legislation and regulations applicable to drugs and pharmacies, provincial legislation and regulations which regulate and control health professions, provincial legislation and regulations
affecting health insurance, the Canada Health Care Act and the regulations thereunder, the Personal Information Protection and Electronic Documents Act (Canada) and 

  
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regulations thereunder, provincial legislation and regulations applicable to the privacy of health information, and any other federal or provincial legislation or regulations applicable to health
care. 
 “Requirement of Law” means, as to any Person, any statute, law, treaty, rule or regulation or determination,
order, injunction or judgment of an arbitrator or a court or other Governmental Authority, in each case applicable to or binding upon such Person or any of its Properties or revenues. 

“Responsible Officer” of any Person means each of the president, chief executive officer, chief financial officer, vice
president and similar officer of such Person. 
 “Restricted Payment” means any dividend or other distribution (whether in
cash, securities or other Property) with respect to any Equity Interest of Borrower or any of its Subsidiaries, or any payment (whether in cash, securities or other Property), including any sinking fund or similar deposit, on account of the
purchase, redemption, retirement, acquisition, cancellation or termination of any such shares of capital stock of Borrower or any of its Subsidiaries or any option, warrant or other right to acquire any such shares of capital stock of Borrower or
any of its Subsidiaries. 
 “Restrictive Agreement” means any indenture, agreement, instrument or other arrangement that
prohibits, restricts or imposes any condition upon (a) the ability of Borrower or any Subsidiary to create, incur or permit to exist any Lien upon any of its Property (other than (i) customary provisions in contracts (including without limitation
leases and licenses of Intellectual Property) restricting the assignment thereof, (ii) restrictions or conditions imposed by any agreement governing secured Permitted Indebtedness permitted under Section 9.01(g), to the extent that such restrictions
or conditions apply only to the Property securing such Indebtedness and (iii) software and other Intellectual Property licenses pursuant to which Borrower or a Subsidiary thereof is the licensee of the relevant software or Intellectual Property, as
the case may be (in which case, any prohibition or limitation shall relate only to the assets or rights subject to the applicable license and/or the license itself)), or (b) the ability of any Subsidiary to pay dividends or other distributions with
respect to any shares of its capital stock or to make or repay loans or advances to Borrower or any other Subsidiary or to Guarantee Indebtedness of Borrower or any other Subsidiary. 

“Revenue” of a Person means all revenue properly recognized under GAAP, consistently applied, less all rebates, discounts and
other price allowances. 
 “Sanctions” means economic or financial sanctions, requirements or trade embargoes imposed,
administered or enforced from time to time by U.S. Governmental Authorities (including, but not limited to, OFAC, the U.S. Department of State and the U.S. Department of Commerce). 

“Sanctions Laws” means all laws, rules, regulations and requirements of any jurisdiction applicable to the Obligors or any
party to the Credit Documents concerning or relating to Sanctions, terrorism or money laundering. 

  
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 “SEC” means United States Securities and Exchange Commission. 

“Securities Act” means the Securities Act of 1933, as amended, and the rules and regulations promulgated thereunder. 

“Security Documents” means, collectively, the U.S. Security Agreement, the Canadian Security Agreement, each Short-Form IP
Security Agreement, and each other security document, control agreement or financing statement executed to perfect Liens in favor of the Lenders. 

“Securities Account” has the meaning set forth in the U.S. Security Agreement (including any equivalent meaning in Canada or
under any applicable Canadian provincial personal property legislation). 
 “Short-Form IP Security Agreements” means
short-form copyright, patent or trademark (as the case may be) security agreements, dated as of the date hereof, in substantially the form of Exhibits K-1 and K-2, entered into by one or more Obligors in favor of the Lenders, each in form and
substance satisfactory to the Majority Lenders. 
 “Solvent” means, with respect to any Person at any time, that (a) the
present fair saleable value of the Property of such Person is greater than the total amount of liabilities (including contingent liabilities) of such Person, (b) the present fair saleable value of the Property of such Person is not less than the
amount that will be required to pay the probable liability of such Person on its debts as they become absolute and matured, and (c) such Person has not incurred and does not intend to, and does not believe that it will, incur debts or liabilities
beyond such Person’s ability to pay as such debts and liabilities mature. 
 “Sources and Uses Certificate” means a
certificate, required to be delivered pursuant to Section 6.01(f)(xii), duly executed and completed by a Responsible Officer of Borrower setting forth the sources and uses of the cash and equity proceeds to be used in connection with the
Transactions. 
 “Specified Collaboration Agreement” means those collaboration agreements identified on Schedule
9.12(c)(2). 
 “Stated Maturity Date” means the fourth (4th) anniversary of the Closing Date; provided that if any
such date shall occur on a day that is not a Business Day, then the Stated Maturity Date shall be the next preceding Business Day. 

“Statutory Plan” means the Canada Pension Plan, Quebec Pension Plan and any equivalent plan maintained in any other
jurisdiction to which any Obligor is required to remit contributions on its behalf and/or on behalf of any employees. 

“Subordinated Debt” means indebtedness incurred by Borrower or any of its Subsidiaries that is subordinated to all
Indebtedness of Borrower and/or its Subsidiaries owed to the Lenders (pursuant to a subordination, intercreditor, or other similar agreement in form 

  
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and substance satisfactory to the Lenders, entered into among the Lenders, Borrower, and/or any of its Subsidiaries, and the other creditor), on terms reasonably acceptable to the Lenders in
their sole discretion. 
 “Subsidiary” means, with respect to any Person (the “parent”) at any time of
determination, any other Person of which more than 50% of the outstanding capital stock of such other Person having ordinary voting powers, determined on a fully diluted basis, is at the time directly or indirectly owned or controlled by the
parent. Unless the context otherwise specifically requires, the term “Subsidiary” shall be a reference to a Subsidiary of Borrower. 

“Taxes” means all present or future taxes, levies, imposts, duties, deductions, withholdings (including backup withholding),
assessments, fees or other charges imposed by any Governmental Authority, including any interest, additions to tax or penalties applicable thereto. 

“Technical Information” means all trade secrets and other proprietary or confidential information, which may include any
information of a scientific, technical, or business nature in any form or medium, standards and specifications, conceptions, ideas, innovations, discoveries, Invention disclosures, all documented research, developmental, demonstration or engineering
work, data, plans, specifications, reports, summaries, experimental data, manuals, models, samples, know-how, technical information, systems, methodologies, computer programs or information technology. 

“Title IV Plan” means an employee benefit plan (as defined in Section 3(3) of ERISA) other than a Multiemployer Plan (i) that
is or was at any time maintained or sponsored by any Obligor or any ERISA Affiliate thereof or to which any Obligor or any ERISA Affiliate thereof has ever made, or was obligated to make, contributions, and (ii) that is or was subject to Section 412
of the Code, Section 302 of ERISA or Title IV of ERISA. 
 “Trademarks” has the meaning set forth in the Security
Documents. 
 “Tranche A Term Loan” means each loan advanced by a Lender pursuant to Section 2.01(a). For purposes of
clarification, any calculation of the aggregate outstanding principal amount of the Tranche A Term Loan on any date of determination shall mean the aggregate principal amount of the Tranche A Term Loan made pursuant to Section 2.01(a) that has not
yet been repaid as of such date. 
 “Tranche A Term Loan Commitment” means the commitment of a Lender to make or otherwise
fund a Tranche A Term Loan and “Tranche A Term Loan Commitments” means such commitments of all Lenders in the aggregate. The amount of each Lender’s Tranche A Term Loan Commitment, if any, is set forth on Schedule
1. The aggregate amount of the Tranche A Term Loan Commitments as of the Closing Date is $7,500,000. 
 “Tranche B Term
Loan” means each loan advanced by a Lender pursuant to Section 2.01(b). For purposes of clarification, any calculation of the aggregate outstanding principal amount of the Tranche B Term Loan on any date of determination shall mean the
aggregate principal amount of the Tranche B Term Loan made pursuant to Section 2.01(b) that has not yet been repaid as of such date. 

  
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 “Tranche B Term Loan Commitment” means the commitment of a Lender to make or
otherwise fund a Tranche B Term Loan and “Tranche B Term Loan Commitments” means such commitments of all Lenders in the aggregate. The amount of each Lender’s Tranche B Term Loan Commitment, if any, is set forth on
Schedule 1. The aggregate amount of the Tranche B Term Loan Commitments as of the Closing Date is $7,500,000. 
 “Tranche B
Term Loan Commitment Termination Date” means the fourteen (14) month anniversary of the Closing Date; provided that if any such date shall occur on a day that is not a Business Day, then the Tranche B Term Loan Commitment Termination
Date shall be the next preceding Business Day. 
 “Transactions” means the execution, delivery and performance by each
Obligor of this Agreement and the other Loan Documents to which such Obligor is a party, the other transactions contemplated hereby and thereby, including disbursement and application of the proceeds of the Loans. 

“U.S. Deposit Account” has the meaning set forth in the U.S. Security Agreement and relates to such accounts located and/or
maintained in the United States of America. 
 “U.S. Person” means a “United States Person” within the meaning of
Section 7701(a)(30) of the Code. 
 “U.S. Security Agreement” means the security agreement, dated as of the date hereof, in
substantially the form of Exhibit I, among the Obligors, the Lenders and the Control Agent, granting a security interest in the personal Property constituting Collateral thereunder in favor of the Lenders. 

“U.S. Tax Compliance Certificate” has the meaning set forth in Section 5.03(e)(ii)(B)(3). 

“Warrant Certificate” means each Warrant Certificate in substantially the form of Exhibit H, pursuant to which Borrower has
granted to each Lender the right to purchase Equity Interests of Borrower, per the Warrant Shares table on Schedule 1. 
 “Warrant
Obligations” means, with respect to Borrower, all of its Obligations arising out of, under or in connection with, any Warrant Certificate. 

“Welfare Plan” means any deferred compensation, bonus, share option or purchase, savings, retirement savings, retirement
benefit, profit sharing, medical, health, hospitalization, insurance or any other benefit, program, agreement or arrangement, funded or unfunded, formal or informal, written or unwritten, that is applicable to any current or former employee,
director, officer, shareholder, consultant or independent contractor of any Obligor, or any dependent of any of them, except a Pension Plan or a Statutory Plan. 

  
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 “Withdrawal Liability” means, at any time, any liability incurred (whether or
not assessed) by any ERISA Affiliate and not yet satisfied or paid in full at such time with respect to any Multiemployer Plan pursuant to Section 4201 of ERISA. 

Section 1.02. Accounting Terms and Principles. All accounting determinations required to be made pursuant hereto shall, unless
expressly otherwise provided herein, be made substantially in accordance with GAAP. All components of financial calculations made to determine compliance with this Agreement shall be adjusted to include or exclude, as the case may be, without
duplication, such components of such calculations attributable to any Acquisition consummated after the first day of the applicable period of determination and prior to the end of such period, as determined in good faith by Borrower based on
assumptions expressed therein and that were reasonable based on the information available to Borrower at the time of preparation of the Compliance Certificate setting forth such calculations. 

Section 1.03. Interpretation. For all purposes of this Agreement, except as otherwise expressly provided herein or unless the
context otherwise requires, (a) the terms defined in this Agreement include the plural as well as the singular and vice versa; (b) words importing gender include all genders; (c) any reference to a Section, Annex, Schedule or Exhibit refers to a
Section of, or Annex, Schedule or Exhibit to, this Agreement; (d) any reference to “this Agreement” refers to this Agreement, including all Annexes, Schedules and Exhibits hereto, and the words herein, hereof, hereto and hereunder and
words of similar import refer to this Agreement and its Annexes, Schedules and Exhibits as a whole and not to any particular Section, Annex, Schedule, Exhibit or any other subdivision; (e) references to days, months and years refer to calendar days,
months and years, respectively; (f) all references herein to “include” or “including” shall be deemed to be followed by the words “without limitation”; (g) the word “from” when used in connection with a period
of time means “from and including” and the word “until” means “to but not including”; and (h) accounting terms not specifically defined herein shall be construed substantially in accordance with GAAP (except for the
term “property,” which shall be interpreted as broadly as possible, including, in any case, cash, securities, other assets, rights under contractual obligations and permits and any right or interest in any property, except where otherwise
noted). Unless otherwise expressly provided herein, references to organizational documents, agreements (including the Loan Documents) and other contractual instruments shall be deemed to include all subsequent amendments, restatements,
extensions, supplements and other modifications thereto permitted by the Loan Documents. 
 Section 1.04. Changes to GAAP. If,
after the date hereof, any change occurs in GAAP or in the application thereof and such change would cause any amount required to be determined for the purposes of the covenants to be maintained or calculated pursuant to Section 8 or 9 to be
materially different than the amount that would be determined prior to such change, then: 
 (a) Borrower will provide a detailed notice of
such change (an “Accounting Change Notice”) to the Lenders in conjunction with the next required delivery of financial statements pursuant to Section 8.01; 

  
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 (b) either Borrower or the Majority Lenders may indicate within 90 days following the date of the
Accounting Change Notice that they wish to revise the method of calculating such financial covenants or amend any such amount, in which case the parties will in good faith attempt to agree upon a revised method for calculating the financial
covenants; 
 (c) until Borrower and the Majority Lenders have reached agreement on such revisions, (i) such financial covenants or amounts
will be determined without giving effect to such change and (ii) all financial statements, Compliance Certificates and similar documents provided hereunder shall be provided together with a reconciliation between the calculations and amounts set
forth therein before and after giving effect to such change in GAAP; 
 (d) if no party elects to revise the method of calculating the
financial covenants or amounts, then the financial covenants or amounts will not be revised and will be determined substantially in accordance with GAAP without giving effect to such change; and 

(e) any Event of Default arising as a result of such change which is cured by operation of this Section 1.04 shall be deemed to be of no
effect ab initio. 
 ARTICLE 2. 

THE COMMITMENTS 

Section 2.01. Loans. 

(a) Tranche A Term Loan.  

(i) Subject to the terms and conditions of this Agreement and relying on the representations and warranties set forth herein,
each Lender, severally and not jointly, agrees to provide its share of the Tranche A Term Loan to Borrower on the Closing Date in Dollars in a principal amount equal to such Lender’s Tranche A Term Loan Commitment. No Lender shall have an
obligation to make a Tranche A Term Loan in excess of such Lender’s Tranche A Term Loan Commitment. 
 (ii) Borrower may
make one borrowing under the Tranche A Term Loan Commitment which shall be on the Closing Date. Subject to Section 3.03, all amounts owed hereunder with respect to the Tranche A Term Loan shall be paid in full no later than the Maturity
Date. Each Lender’s Tranche A Term Loan Commitment shall terminate immediately and without further action on the Closing Date after giving effect to the funding of such Lender’s Tranche A Term Loan Commitment on such date. 

(iii) Upon satisfaction or waiver of the conditions precedent set forth in this Agreement, the Lenders shall make the proceeds
of the Tranche A Term Loan available to Borrower on the Closing Date. 

  
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 (b) Tranche B Term Loan.  

(i) Prior to the Tranche B Term Loan Commitment Termination Date, subject to the terms and conditions of this Agreement and
relying on the representations and warranties set forth herein, each Lender, severally and not jointly, agrees, at the request of Borrower, to provide its share of the Tranche B Term Loan to Borrower on the Borrowing Date in Dollars in a principal
amount equal to such Lender’s Tranche B Term Loan Commitment. No Lender shall have an obligation to make a Tranche B Term Loan in excess of such Lender’s Tranche B Term Loan Commitment. 

(ii) Subject to the terms and conditions of this Agreement (including Section 6.02), Borrower shall deliver to the Lenders a
written notice in the form of Exhibit B not later than 11:00 a.m. (Eastern time) on the Borrowing Notice Date (the “Notice of Borrowing”) requesting that the Lenders provide the Tranche B Term Loan. 

(iii) Borrower may make one borrowing under the Tranche B Term Loan Commitment which shall be on the Borrowing
Date. Subject to Section 3.03, all amounts owed hereunder with respect to the Tranche B Term Loan shall be paid in full no later than the Maturity Date. Each Lender’s Tranche B Term Loan Commitment shall terminate immediately and
without further action on the Borrowing Date after giving effect to the funding of such Lender’s Tranche B Term Loan Commitment on such date. 

(c) Any principal amount of any Loans borrowed under Section 2.01(a) or Section 2.01(b) hereof and subsequently repaid or prepaid may not be
reborrowed. 
 Section 2.02. Proportionate Shares. All Loans shall be made, and all participations purchased, by the Lenders
simultaneously and proportionately to their respective Proportionate Shares, it being understood that no Lender shall be responsible for any default by any other Lender in such other Lender’s obligation to make a Loan hereunder or purchase a
participation required hereby nor shall the Commitment of any Lender be increased or decreased as a result of a default by any other Lender in such other Lender’s obligation to make a Loan requested hereunder or purchase a participation
required hereby. 
 Section 2.03. Fees. On the Closing Date, Borrower shall pay out of the proceeds of the Tranche A Term Loan
advanced by the Lenders on the Closing Date such fees as set forth in the Proposal Letter, which fees shall be non-refundable. Such payment shall be in addition to such fees, costs and expenses due and payable pursuant to Section 13.03. 

Section 2.04. Notes. The Loans of each Lender shall be evidenced by one or more promissory notes (each, a
“Note”). Borrower shall prepare, execute and deliver to each Lender such promissory note(s) payable to it (or if requested by it, to it and its registered assigns) and in the form attached hereto as Exhibit C. Thereafter,
the Loans and interest thereon shall at all times (including after assignment pursuant to Section 13.05) be represented by one or more promissory notes in such form payable to the payee named therein (or, if such promissory note is a registered
note, to such payee and its registered assigns). 

  
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 Section 2.05. Use of Proceeds. Borrower shall use the proceeds of the Loans for (i)
general working capital purposes and corporate purposes and (ii) to pay, in accordance with the Sources and Uses Certificate, fees, costs and expenses incurred in connection with the Transactions. 

ARTICLE 3. 
 PAYMENTS OF
PRINCIPAL AND INTEREST 
 Section 3.01. Repayment. 

(a) Repayment of Principal. The entire outstanding principal amount of the Loans will be due and payable on the Maturity
Date. Prior thereto, commencing with the Payment Date occurring immediately after the second anniversary of the Closing Date, Borrower shall on each Payment Date make a repayment of the Loans in the amount of $225,000. 

(b) Application. Any optional or mandatory prepayment of the Loans shall be applied to the installments thereof under Section
3.01(a) in the inverse order of maturity. To the extent not previously paid, the principal amount of the Loans, together with all other outstanding Obligations (other than Warrant Obligations), shall be due and payable on the Maturity Date.

 Section 3.02. Interest. 

(a) Interest Generally. Borrower agrees to pay to the Lenders interest in cash on the unpaid principal amount of the Loans and the
amount of all other outstanding Obligations (other than the Warrant Obligations), in the case of the Loans, for the period from the Closing Date, and in the case of any other Obligation (other than the Warrant Obligations), from the date such other
Obligation is due and payable, in each case, until paid in full, at a rate per annum equal to the sum of (i) LIBOR plus (ii) the Applicable Margin. 

(b) Default Interest. Notwithstanding the foregoing, upon the occurrence and during the continuance of any Event of Default, the
Applicable Margin shall increase automatically by 4.00% per annum (such aggregate increased rate, the “Default Rate”). Notwithstanding any other provision herein, if interest is required to be paid at the Default Rate, it shall
also be paid entirely in cash. If any Obligation (other than the Warrant Obligation) is not paid when due (giving effect to any applicable grace period) under the applicable Loan Document, the amount thereof shall accrue interest at a rate
equal to 4.00% per annum (without duplication of interest payable at the Default Rate). 
 (c) Payment Dates. Accrued interest
on the Loans shall be payable in arrears on each Payment Date with respect to the most recently completed Interest Period in cash, and upon the payment or prepayment of the Loans (on the principal amount being so paid or prepaid); provided
that interest payable at the Default Rate shall be payable from time to time on demand by the Lender. 

  
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 (d) Maximum Rate. Notwithstanding any other provision of this Agreement, in no event
will any interest or rates referred to herein exceed the maximum interest rate permitted by applicable law. If such maximum interest rate would be exceeded by the terms hereof, the rates of interest payable hereunder will be reduced to the
extent necessary so that such rates (together with any fees or other amounts which are construed by a court of competent jurisdiction to be interest or in the nature of interest) equal the maximum interest rate permitted by applicable law, and any
overpayment of interest received by the Lenders before such rates are so construed will be applied, forthwith after determination of such overpayment, to pay all then outstanding interest, and thereafter to pay outstanding principal. 

(e) Canadian Criminal Rate of Interest.  

(i) Any provision of this Agreement that would oblige Borrower to pay any fine, penalty or rate of interest on any arrears of
principal or interest secured by a mortgage on real property or hypothec on immovables that has the effect of increasing the charge on arrears beyond the rate of interest payable on principal money not in arrears shall not apply to Borrower, which
shall be required to pay interest on money in arrears at the same rate of interest payable on principal money not in arrears. 

(ii) If any provision of this Agreement would oblige Borrower to make any payment of interest or other amount payable to a
Lender in an amount or calculated at a rate which would be prohibited by law or would result in a receipt by a Lender of “interest” at a “criminal rate” (as such terms are construed under the Criminal Code (Canada)), then,
notwithstanding such provision, such amount or rate shall be deemed to have been adjusted with retroactive effect to the maximum amount or rate of interest, as the case may be, as would not be so prohibited by applicable law or so result in a
receipt by such Lender of “interest” at a “criminal rate,” such adjustment to be effected, to the extent necessary (but only to the extent necessary), as follows: (i) first, by reducing the amount or rate of interest; and (ii)
thereafter, by reducing any fees, commissions, costs, expenses, premiums and other amounts required to be paid which would constitute interest for purposes of section 347 of the Criminal Code (Canada). 

(f) Interest Calculation. For the purposes of the Interest Act (Canada) and disclosure under such statute, whenever
interest to be paid under this Agreement is to be calculated on the basis of any period of time that is less than a calendar year, the yearly rate of interest to which the rate determined pursuant to such calculation is equivalent is the rate so
determined multiplied by the actual number of days in the calendar year in which the same is to be ascertained and divided by such other period of time. The rates of interest under this Agreement are nominal rates, and not effective rates or
yields. The principle of deemed reinvestment of interest does not apply to any interest calculation under this Agreement. 
 Section
3.03. Prepayments. 
 (a) Optional Prepayments. Borrower shall have the right to optionally prepay in whole or in part (in a
minimum amount of $500,000 and integral multiples of $100,000 in excess of that amount for each partial prepayment) the outstanding principal amount of the 

  
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Loans on any Business Day (a “Redemption Date”) for an amount equal to the Prepayment Premium plus any accrued but unpaid interest on the aggregate principal amount of the Loans
being prepaid (such aggregate amount, the “Redemption Price”). The applicable “Prepayment Premium” shall be an amount calculated pursuant to Section 3.03(a)(i). 

(i) If the Redemption Date occurs: 

(A) on or prior to the first anniversary of the Closing Date, the Prepayment Premium shall be an amount equal to one hundred
five percent (105%) of the aggregate outstanding principal amount of the Loans being prepaid on such Redemption Date; 
 (B)
after the first anniversary of the Closing Date and on or prior to the second anniversary of the Closing Date, the Prepayment Premium shall be an amount equal to one hundred and four percent (104%) of the aggregate outstanding principal amount of
the Loans being prepaid on such Redemption Date; 
 (C) after the second anniversary of the Closing Date and on or prior to
the third anniversary of the Closing Date, the Prepayment Premium shall be an amount equal to one hundred and two percent (102%) of the aggregate outstanding principal amount of the Loans being prepaid on such Redemption Date; and 

(D) after the third anniversary of the Closing Date and at any time thereafter, the Prepayment Premium shall be an amount
equal to one hundred and one percent (101%) of the aggregate outstanding principal amount of the Loans being prepaid on such Redemption Date. 

(ii) No partial prepayment shall be made under this Section 3.03(a) in connection with any event described in
Section 3.03(b). 
 (b) Mandatory Prepayments Upon Any Asset Sale. In the event of any contemplated Asset Sale or series of
Asset Sales that are in excess of $500,000 in the aggregate in any Fiscal Year (other than any Asset Sale permitted under Section 9.09 (other than Section 9.09(j)), Borrower shall provide five (5) Business Days’ prior written notice of such
Asset Sale to the Lenders and, if within such notice period the Majority Lenders advise Borrower that a prepayment is required pursuant to this Section 3.03(b), Borrower shall prepay the Loans in an amount equal to the entire amount of the Asset
Sale Net Proceeds of such Asset Sale, plus the Prepayment Premium on the principal amount of the Loans being prepaid (calculated in accordance with Section 3.03(a)(i), it being agreed that the relevant payment date shall be deemed to be the
“Redemption Date” for purposes of such calculation), plus any accrued but unpaid interest and any fees then due and owing, credited in the order set forth in Section 4.01(b)(ii); provided, however, that notwithstanding the
foregoing to the contrary, in the event of an Asset Sale or a series of Asset Sales in excess of $500,000 in the aggregate in any Fiscal Year or made pursuant to Section 9.09(j), Borrower may within 180 days of such Asset Sale

  
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apply the Asset Sale Net Proceeds to the purchase price of any replacement property. For the avoidance of doubt any prepayment made pursuant to this Section 3.03(b) shall not be deemed to be
a consent to any such Asset Sale or a cure or waiver of any Event of Default which occurs in connection with such Asset Sale, it being understood that such Event of Default may only be waived with the express consent of Majority Lenders. 

(c) Other Mandatory Prepayments. In addition to the mandatory prepayment required pursuant to Section 3.03(b) above, Borrower
shall prepay the Loans in amounts as provided below, plus in respect of any event specified in clause (c)(ii) below, the Prepayment Premium on the principal amount of the Loans being prepaid (calculated in accordance with Section 3.03(a)(i), it
being agreed that the relevant payment date shall be deemed to be the “Redemption Date” for purposes of such calculation), plus any accrued but unpaid interest and fees then due and owing, as follows: 

(i) In the event of any Casualty Event, an amount equal to 100% of the net insurance or other proceeds received by Borrower
with respect thereto; provided, however, so long as no Default or Event of Default has occurred and is continuing, within 180 days after receipt of such proceeds, Borrower may apply the net proceeds of any casualty policy up to $250,000 with
respect to any loss, but not exceeding $500,000 in the aggregate for all losses under all casualty policies during the term of this Agreement, toward the replacement or repair of destroyed or damaged property; provided, further, that any such
replaced or repaired property (i) shall be of equal or like value as the replaced or repaired Collateral and (ii) shall be deemed Collateral in which Lenders have been granted a first priority security interest and Borrower shall take all such
actions required to provide the Lenders with a first priority security interest on such property. 
 (ii) In the event
Borrower incurs Indebtedness other than Indebtedness that is permitted by Section 9.01 hereof, 100% of the net proceeds thereof received by Borrower. For the avoidance of doubt, any prepayment made pursuant to this Section 3.03(c)(ii)
shall not be deemed to be a consent to any such incurrence of Indebtedness or a cure or waiver of any Event of Default which occurs in connection therewith, it being understood that any such Event of Default may only be waived with the express
consent of the Majority Lenders. 
 All prepayments made pursuant to this Section 3.03(c) shall be applied pursuant to Section 4.01(b)(ii).

 ARTICLE 4. 

PAYMENTS, ETC. 

Section 4.01. Payments. 

(a) Payments Generally. Each payment of principal, interest and other amounts to be made by the Obligors under this Agreement or
any other Loan Document shall be made in Dollars, in immediately available funds, without deduction, set off or counterclaim, to the 

  
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deposit account of such Lender designated by such Lender by written notice to Borrower (each, a “Designated Account”), not later than 2:00 p.m. (Eastern time) on the date on
which such payment shall become due (each such payment made after such time on such due date to be deemed to have been made on the next succeeding Business Day). 

(b) Application of Payments. (i) So long as no Event of Default has occurred and is continuing, each Obligor shall, at the time of
making each payment under this Agreement or any other Loan Document (other than any prepayment made pursuant to Section 3.01 and Section 3.03(b) and (c)), specify to the Lenders the amounts payable by such Obligor hereunder to which such
payment is to be applied (and in the event that Obligors fail to so specify, the Lenders may apply such payment in the manner they determine to be appropriate), and (ii) following the occurrence and continuance of an Event of Default, all
prepayments (including any prepayment made pursuant to Section 3.03(b) and (c)) shall be applied as follows: 
 (A)
first, in reduction of Borrower’s obligation to pay any unpaid interest and any fees then due and owing including, without limitation, (x) interest payable pursuant to Section 3.02(b) and (y) the Prepayment Premium; 

(B) second, in reduction of Borrower’s obligation to pay any Claims or Losses referred to in Section 13.03(b) then
due and owing; 
 (C) third, in reduction of Borrower’s obligation to pay any amounts due and owing on account of the
unpaid principal amount of the Loans; 
 (D) fourth, in reduction of any other Obligation then due and owing; and 

(E) fifth, to Borrower or such other Persons as may lawfully be entitled to or directed by Borrower to receive the remainder.

 Unless otherwise directed by the Majority Lenders, all payments of principal, interest and fees under this Agreement and the other Loan Documents shall
be made by the Obligors to the Lenders pro rata in accordance with the Lenders’ respective Proportionate Shares of such payments. 

(c) Non-Business Days. If the due date of any payment under this Agreement (other than of principal of or interest on the Loans) would
otherwise fall on a day that is not a Business Day, such date shall be extended to the next succeeding Business Day, and, in the case of any payment accruing interest, interest thereon shall be payable for the period of such extension. 

Section 4.02. Computations. All computations of interest and fees hereunder shall be computed on the basis of a year of 360 days and
actual days elapsed during the period for which payable. 

  
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 Section 4.03. Notices. Each notice of optional prepayment shall be effective only if
received by the Lenders not later than 2:00 p.m. (Eastern time) on the date three (3) Business Days prior to the date of prepayment. Each notice of optional prepayment shall specify the amount to be prepaid and the date of prepayment. 

Section 4.04. Set-Off. 

(a) Set-Off Generally. Upon the occurrence and during the continuance of any Event of Default, the Lenders and each of their respective
Affiliates are hereby authorized at any time and from time to time, to the fullest extent permitted by law, to set off and apply any and all deposits (general or special, time or demand, provisional or final) at any time held and other indebtedness
at any time owing by the Lenders or such Affiliates to or for the credit or the account of any Obligor against any and all of the Obligations, whether or not the Lenders shall have made any demand and although such Obligations may be unmatured. The
Lenders agree promptly to notify Borrower after any such set-off and application, provided that the failure to give such notice shall not affect the validity of such set-off and application. The rights of the Lenders and their respective
Affiliates under this Section 4.04 are in addition to other rights and remedies (including other rights of set-off) that the Lenders and their respective Affiliates may have. 

(b) Exercise of Rights Not Required. Nothing contained herein shall require the Lenders to exercise any such right or shall affect the
right of such Persons to exercise, and retain the benefits of exercising, any such right with respect to any other indebtedness or obligation of any Obligor. 

ARTICLE 5. 
 YIELD
PROTECTION, ETC. 
 Section 5.01. Additional Costs. 

(a) Change in Requirements of Law Generally. If, on or after the date hereof, the adoption of any Requirement of Law, or any change in
any Requirement of Law, or any change in the interpretation or administration thereof by any court or other Governmental Authority charged with the interpretation or administration thereof, or compliance by any Lender (or its lending office) with
any request or directive (whether or not having the force of law) of any such Governmental Authority, shall impose, modify or deem applicable any reserve (including any such requirement imposed by the Board of Governors of the Federal Reserve
System), special deposit, contribution, insurance assessment or similar requirement, in each case that becomes effective after the date hereof, against assets of, deposits with or for the account of, or credit extended by, a Lender (or its lending
office) or shall impose on a Lender (or its lending office) any other condition affecting the Loans or the Commitment, not as a result of any action or inaction on the part of such Lender, and the result of any of the foregoing is to increase the
cost to any Lender of making or maintaining its Loan, or to reduce the amount of any sum received or receivable by any Lender under this Agreement or any other Loan Document, by an amount reasonably deemed by such Lender in good faith to be

  
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material (other than (i) Indemnified Taxes and (ii) Taxes described in clauses (b) through (d) of the definition of “Excluded Taxes”)), then Borrower shall promptly pay to such
Lender on demand such additional amount or amounts as will compensate such Lender for such increased cost or reduction. Notwithstanding anything herein to the contrary, (x) the Dodd-Frank Wall Street Reform
and Consumer Protection Act and all requests, rules, guidelines or directives thereunder or issued in connection therewith and (y) all requests, rules, guidelines or directives promulgated by the Bank for International Settlements, the Basel
Committee on Banking Supervision (or any successor or similar authority) or the United States or foreign regulatory authorities, in each case pursuant to Basel III, shall in each case be deemed to constitute a change in Requirements of Law for all
purposes of this Section 5.01, regardless of the date enacted, adopted or issued. 
 (b) Change in Capital Requirements. If a Lender
shall have determined that, on or after the date hereof, the adoption of any Requirement of Law regarding capital adequacy, or any change therein, or any change in the interpretation or administration thereof by any Governmental Authority charged
with the interpretation or administration thereof, or any request or directive regarding capital adequacy (whether or not having the force of law) of any such Governmental Authority, in each case that becomes effective after the date hereof, has or
would have the effect of reducing the rate of return on capital of a Lender (or its parent) as a consequence of a Lender’s obligations hereunder or the Loans to a level below that which a Lender (or its parent) could have achieved but for such
adoption, change, request or directive by an amount reasonably deemed by it to be material, then Borrower shall pay to such Lender on demand such additional amount or amounts as will compensate such Lender (or its parent) for such reduction. 

(c) Notification by Lender. The Lenders will promptly notify Borrower of any event of which it has knowledge, occurring after the date
hereof, which will entitle a Lender to compensation pursuant to this Section 5.01. Before giving any such notice pursuant to this Section 5.01(c) such Lender shall designate a different lending office if such designation (x) will, in the
reasonable judgment of such Lender, avoid the need for, or reduce the amount of, such compensation and (y) will not, in the reasonable judgment of such Lender, be materially disadvantageous to such Lender. A certificate of the Lender claiming
compensation under this Section 5.01, setting forth the amount or amounts to be paid to it hereunder, shall be conclusive and binding on Borrower in the absence of manifest error. 

Section 5.02. Illegality. Notwithstanding any other provision of this Agreement, in the event that on or after the date hereof the
adoption of or any change in any Requirement of Law or in the interpretation or application thereof by any competent Governmental Authority shall make it unlawful for a Lender or its lending office to make or maintain the Loans (and, in the opinion
of such Lender, the designation of a different lending office would either not avoid such unlawfulness or would be disadvantageous to such Lender), then such Lender shall promptly notify Borrower thereof following which (a) the Lender’s
Commitment shall be suspended until such time as such Lender may again make and maintain the Loans hereunder and (b) if such Requirement of Law shall so mandate, the Loans shall be prepaid by Borrower on or before such date as shall be mandated by
such Requirement of Law in an amount equal to the Redemption Price applicable on the date of such prepayment in accordance with Section 3.03(a). 

  
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 Section 5.03. Taxes. 

(a) Payments Free of Taxes. Any and all payments on account of any Obligation shall be made without deduction or withholding for any
Taxes, except as required by applicable law. If any applicable law requires the deduction or withholding of any Tax from any such payment by an Obligor, then such Obligor shall be entitled to make such deduction or withholding and shall timely pay
the full amount deducted or withheld to the relevant Governmental Authority in accordance with applicable law and, if such Tax is an Indemnified Tax, then the sum payable by such Obligor shall be increased as necessary so that after such deduction
or withholding has been made (including such deductions and withholdings applicable to additional sums payable under Section 5.01) the applicable Recipient receives an amount equal to the sum it would have received had no such deduction or
withholding been made. 
 (b) Payment of Other Taxes by Borrower. Borrower shall timely pay to the relevant Governmental Authority in
accordance with applicable law, or at the option of each Lender, timely reimburse it for, Other Taxes. 
 (c) Evidence of Payments.
As soon as practicable after any payment of Taxes by Borrower to a Governmental Authority, as a withholding Tax pursuant to this Section 5.03, Borrower shall deliver to each Lender the original or a certified copy of a receipt issued by such
Governmental Authority evidencing such payment, or a copy of the return reporting such payment or other evidence of such payment reasonably satisfactory to the Lenders. 

(d) Indemnification. Borrower shall reimburse and indemnify each Recipient, within 10 days after demand therefor, for the full amount
of any Indemnified Taxes (including Indemnified Taxes imposed or asserted on or attributable to amounts payable under Section 5.01) payable or paid by such Recipient or required to be withheld or deducted from a payment to such Recipient and any
reasonable expenses arising therefrom or with respect thereto, whether or not such Indemnified Taxes were correctly or legally imposed or asserted by the relevant Governmental Authority; provided that Borrower shall not be required to
indemnify a Recipient pursuant to this Section 5.03(d) to the extent that such Recipient fails to notify Borrower of its intent to make a claim for indemnification under this Section within one 180 days of the later of (i) the date on which the
Indemnified Taxes are due to be paid by Recipient, or (ii) the date on which the relevant Governmental Authority asserts a claim for such Indemnified Taxes against Recipient. A certificate as to the amount of such payment or liability delivered to
Borrower by a Lender shall be conclusive absent manifest error. 
 (e) Status of Lenders.  

(i) Any Lender that is entitled to an exemption from, or reduction of withholding Tax with respect to payments made under any
Loan Document shall deliver to Borrower at the time or times reasonably requested by Borrower such properly 

  
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completed and executed documentation reasonably requested by Borrower as will permit such payments to be made without withholding or at a reduced rate of withholding; provided that, other
than in the case of U.S. Federal withholding Taxes, such Lender has received written notice from Borrower advising it of the availability of such exemption or reduction and containing all applicable documentation. In addition, any Lender, if
reasonably requested by Borrower, shall deliver such other documentation prescribed by applicable law or as reasonably requested by Borrower as will enable Borrower to determine whether or not such Lender is subject to backup withholding or
information reporting requirements. Notwithstanding anything to the contrary in the preceding two sentences, the completion, execution and submission of such documentation (other than such documentation set forth in Section 5.03(e)(ii)(A), (B)
or (D)) shall not be required if in the Lender’s reasonable judgment such completion, execution or submission would subject such Lender to any material unreimbursed cost or expense or would materially prejudice the legal or commercial position
of such Lender. 
 (ii) Without limiting the generality of the foregoing: 

(A) any Lender that is a U.S. Person shall deliver to Borrower on or prior to the date on which such Lender becomes a Lender
under this Agreement (and from time to time thereafter upon the reasonable request of Borrower), duly completed, valid, executed copies of IRS Form W-9 (or successor form) certifying that such Lender is exempt from U.S. Federal backup withholding
Tax; 
 (B) any Foreign Lender shall, to the extent it is legally entitled to do so, deliver to Borrower (in such number of
copies as shall be requested by the recipient) on or prior to the date on which such Foreign Lender becomes a Lender under this Agreement (and from time to time thereafter upon the reasonable request of Borrower), whichever of the following is
applicable: 
 (1) in the case of a Foreign Lender claiming the benefits of an income Tax treaty to which the United States
is a party (x) with respect to payments of interest under any Loan Document, duly completed, valid executed copies of IRS Form W-8BEN (or successor form) establishing an exemption from, or reduction of,
U.S. Federal withholding Tax pursuant to the “interest” article of such Tax treaty and (y) with respect to any other applicable payments under any Loan Document, duly completed, valid, executed originals of IRS Form W-8BEN (or
successor form) establishing an exemption from, or reduction of, U.S. Federal withholding Tax pursuant to the “business profits” or “other income” article of such Tax treaty; 

(2) duly completed, valid, executed copies of IRS Form W-8ECI (or successor form); 

(3) in the case of a Foreign Lender claiming the benefits of the exemption for portfolio interest under Section 881(c) of
the Code, (x) a 

  
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certificate substantially in the form of Exhibit D to the effect that such Foreign Lender is not a “bank” within the meaning of Section 881(c)(3)(A) of the Code, a “10 percent
shareholder” of the applicable Borrower within the meaning of Section 881(c)(3)(B) of the Code, or a “controlled foreign corporation” described in Section 881(c)(3)(C) of the Code (a “U.S. Tax Compliance
Certificate”) and (y) executed copies of IRS Form W-8BEN (or successor form); or 

(4) to the extent a Foreign Lender is not the beneficial owner, duly completed, valid, executed copies of IRS Form W-8IMY (or
successor form), accompanied by IRS Form W-8ECI (or successor form), IRS Form W-8BEN (or successor form), a U.S. Tax Compliance Certificate,
IRS Form W-9 (or successor form), and/or other certification documents from each beneficial owner, as applicable; provided that if the Foreign Lender is a partnership and one or more direct or indirect partners of such Foreign
Lender are claiming the portfolio interest exemption, such Foreign Lender may provide a U.S. Tax Compliance Certificate on behalf of each such direct and indirect partner; 

(C) any Foreign Lender shall, to the extent it is legally entitled to do so, deliver to Borrower (in such number of copies as
shall be requested by the recipient) on or prior to the date on which such Foreign Lender becomes a Lender under this Agreement (and from time to time thereafter upon the reasonable request of Borrower), executed copies of any other form prescribed
by applicable law as a basis for claiming exemption from or a reduction in U.S. Federal withholding Tax, duly completed, together with such supplementary documentation as may be prescribed by applicable law to permit Borrower to determine the
withholding or deduction required to be made; and 
 (D) any Recipient shall deliver to Borrower any forms and information
necessary to establish that such Recipient is not subject to withholding Tax under FATCA or the amount required to be withheld under FATCA. 
 Each
Recipient agrees that if any form or certification it previously delivered expires or becomes obsolete or inaccurate in any respect, it shall promptly update such form or certification or promptly notify Borrower in writing of its legal inability to
do so. 
 (f) Treatment of Certain Refunds. If any party determines, in its sole discretion exercised in good faith, that it has
received a refund of any Taxes as to which it has been indemnified pursuant to this Section 5.03 (including by the payment of additional amounts pursuant to Section 5.01), it shall pay to the indemnifying party an amount equal to such refund
(but only to the extent of indemnity payments made under this Section 5 with respect to the Taxes giving rise to such refund), net of all out-of-pocket expenses
(including Taxes) of such indemnified party and without interest (other than any interest paid by the relevant Governmental Authority with respect to such refund). Such indemnifying party, upon the written request of such indemnified party, shall
repay to such indemnified party the amount 

  
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paid over pursuant to this paragraph (plus any penalties, interest or other charges imposed by the relevant Governmental Authority) in the event that such indemnified party is required to repay
such refund to such Governmental Authority. Notwithstanding anything to the contrary in this Section 5.03(f), in no event will the indemnified party be required to pay any amount to an indemnifying party pursuant to this Section 5.03(f)
the payment of which would place the indemnified party in a less favorable net after-Tax position than the indemnified party would have been in if the Tax subject to indemnification and giving rise to such
refund had not been deducted, withheld or otherwise imposed and the indemnification payments or additional amounts giving rise to such refund had never been paid. This Section 5.03(f) shall not be construed to require any indemnified party to
make available its Tax returns (or any other information relating to its Taxes that it deems confidential) to the indemnifying party or any other Person. 

(g) Mitigation Obligations. If Borrower is required to pay any Indemnified Taxes or additional amounts to any Lender or to any
Governmental Authority for the account of any Lender pursuant to Section 5.01 or this Section 5.03, then such Lender shall (at the request of Borrower) use commercially reasonable efforts to designate a different lending office for funding or
booking its Loans hereunder or to assign and delegate its rights and obligations hereunder to another of its offices, branches or Affiliates if, in the sole reasonable judgment of such Lender, such designation or assignment and delegation would (i)
eliminate or reduce amounts payable pursuant to Section 5.01 or this Section 5.03, as the case may be, in the future, (ii) not subject such Lender to any unreimbursed cost or expense and (iii) not otherwise be disadvantageous to such Lender.
Borrower hereby agrees to pay all reasonable costs and expenses incurred by any Lender in connection with any such designation or assignment and delegation. 

ARTICLE 6. 
 CONDITIONS
PRECEDENT 
 Section 6.01. Conditions to Tranche A Term Loan; Closing Date. The obligation of each Lender to make the Tranche A
Term Loan shall not become effective until the following conditions precedent shall have been reasonably satisfied or waived in writing by the Lenders (which satisfaction or waiver may be made simultaneously with the making of the Tranche A Term
Loan hereunder): 
 (a) Closing Date. The Closing Date shall occur on or before June 2, 2016. 

(b) Terms of Material Agreements, Etc. The Lenders shall be reasonably satisfied with the terms and conditions of all of the
Obligors’ Material Agreements. 
 (c) No Law Restraining Transactions. No applicable law or regulation shall restrain, prevent
or, in the reasonable judgment of the Lenders, impose materially adverse conditions upon the Transactions. 

  
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 (d) Payment of Upfront Fee. The Lenders shall have received payment of the upfront fee
payable pursuant to Section 2.03. 
 (e) Lien Searches. The Lenders shall be satisfied with Lien searches regarding Borrower and
its Subsidiaries made prior to the Closing Date. 
 (f) Documentary Deliveries. The Lenders shall have received the following
documents, each of which shall be in form and substance satisfactory to the Lenders: 
 (i) Agreement. This Agreement
duly executed and delivered by Borrower and each of the other parties hereto. 
 (ii) [Intentionally Omitted.] 

(iii) Security Documents.  

(A) The Security Documents, duly executed and delivered by each of the Obligors. 

(B) Each of the Short-Form IP Security Agreements, duly executed and delivered by the applicable Obligor. 

(C) The Collateral Questionnaire, duly executed and delivered by a Responsible Officer of Borrower, substantially in the form
of Exhibit L hereto and otherwise in form and substance satisfactory to the Lenders. 
 (D) Original share certificates or
other documents or other evidence of title with regard to all Equity Interests owned by the Obligors (to the extent that such Equity Interests are certificated), together with share transfer documents, undated and executed in blank. 

(E) Evidence of filing of UCC-1 and financing statements under the applicable provincial personal property security
legislation in Canada against each applicable Obligor in its jurisdiction of formation or incorporation, as the case may be. 

(F) Evidence of filing of each of the Short-Form IP Security Agreements in the United States Patent and Trademark Office or
the United States Copyright office or the Canadian Intellectual Property Office, as applicable. 
 (G) Without limitation,
all other documents and instruments reasonably required to perfect the Lenders’ Lien on, and security interest in, the Collateral required to be delivered on or prior to the Closing Date shall have been duly executed and delivered and be in
proper form for filing, and shall create in favor of the Lenders, a perfected Lien on, and security interest in, the Collateral, subject to no Liens other than Permitted Liens. 

  
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 (iv) Note. Any Notes requested in accordance with Section 2.04. 

(v) Approvals. Borrower shall certify that all Regulatory Approvals have been made or obtained, and all material
licenses, consents, authorizations and approvals of, and notices to and filings and registrations with, any Governmental Authority (including all foreign exchange approvals) in connection with the Transactions have been made or obtained, and all
material third-party consents and approvals, necessary in connection with the execution, delivery and performance by the Obligors of the Loan Documents and the Transactions have been obtained. 

(vi) Organizational Documents. (a) Certified copies of the Organizational Documents of each Obligor and of resolutions
of the Board of Directors (or similar governing body) of each Obligor approving and authorizing the execution, delivery and performance of this Agreement and each of the other Loan Documents to which it is a party, certified as of the Closing Date
by its secretary or assistant secretary as being in full force and effect without modification or amendment; (b) a good standing certificate and/or compliance certificate from the applicable Governmental Body of each Obligor’s jurisdiction of
incorporation and in each jurisdiction in which it is qualified as a foreign corporation or other entity to do business, each dated a recent date prior to the Closing Date; and (c) such other documents as the Lenders may reasonably request. 

(vii) Incumbency Certificate. A certificate of each Obligor as to the authority, incumbency and specimen signatures of
the persons who have executed the Loan Documents and any other documents in connection herewith on behalf of the Obligors. 

(viii) Officer’s Certificate. A certificate, dated as of the Closing Date and signed by the President, a Vice
President or a financial officer of Borrower, confirming compliance with the conditions set forth in this Section 6.01. 

(ix) Opinions of Counsel. A favorable opinion, dated as of the Closing Date, of (A) New York counsel to each Obligor in
form reasonably acceptable to the Lenders and their counsel, and (B) Canadian counsel to each Obligor in customary form reasonably acceptable to the Lenders and their counsel as to matters of Canadian law. 

(x) Evidence of Insurance. Certificates from Borrower’s insurance broker or other evidence satisfactory to the
Lenders that all insurance required to be maintained pursuant to Section 8.05 is in full force and effect, together with endorsements naming the Lenders as additional insureds and loss payees, as applicable, under Borrower’s liability and
casualty insurance policies. 
 (xi) Other Liens. Duly executed and delivered copies of such acknowledgement letters
as are reasonably requested by the Lenders with respect to existing Liens. 
 (xii) Sources and Uses Certificate. The
Lenders shall have received the Sources and Uses Certificate duly executed and delivered by a Responsible Officer of Borrower, substantially in the form of Exhibit G hereto and otherwise in form and substance satisfactory to the Lenders. 

  
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 (xiii) Pro Forma Balance Sheet. The Lenders shall have received a pro
forma consolidated balance sheet of Borrower and its Subsidiaries, dated as of the Closing Date, prepared substantially in accordance with GAAP, subject to quarterly or year-end adjustments and except for the
absence of footnotes, and giving effect to the consummation of the Transactions and the making of the Loans, which balance sheet shall be duly certified by the chief financial or accounting Responsible Officer of Borrower. 

(xiv) Investment Policy. The Lenders shall have a received a copy of the investment policy approved by the board of
directors of Borrower and in effect on the Closing Date. 
 (g) [Intentionally Omitted.]  

(h) Due Diligence. The Lenders shall have received and be satisfied with all due diligence (including without limitation historical
financial statements, Projections, technical, operational, legal, intellectual property, commercial market forecasts, clinical and regulatory assessments, supply chain, securities, labor, Tax, litigation, environmental, reimbursement and regulatory
authority matters) in their sole discretion. 
 (i) Closing Fees, Expenses, Etc. The Lenders and their Affiliates shall have received
for their own account, all fees, costs and expenses due and payable pursuant to Section 13.03, after deducting therefrom the Expense Deposit (to the extent such amount was not refunded pursuant to the Proposal Letter) as applicable. 

(j) Minimum Liquidity. Borrower and its Subsidiaries shall have aggregate Liquidity in excess of $3,000,000 on the Closing Date. 

Section 6.02. Conditions to Tranche B Term Loan; Borrowing Date. The obligation of each Lender to make the Tranche B Term Loan shall
not become effective until the following conditions precedent shall have been satisfied or waived in writing by the Lenders (which satisfaction or waiver may be made simultaneously with the making of the Tranche B Term Loan hereunder): 

(a) Milestones. Borrower shall: 

(i) no later than the first (1st) anniversary of the Closing Date, have at least one patient enrolled in a Phase I
clinical trial developing ZW25 for an indication targeting HER2 expressing tumors; 
 (ii) no later than the Tranche B Term
Loan Commitment Termination Date, have at least one patient enrolled in a Phase I clinical trial developing ZW33 for an indication targeting HER2 expressing tumors; and 

  
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 (iii) enter into a Collaboration Agreement with a publicly traded pharmaceutical
or biotechnology company with a market capitalization greater than $10,000,000,000 that is reasonably expected to result in aggregate payments (including upfront fees, deferred payments and milestone payments) in excess of $100,000,000;
provided that the Lenders hereby acknowledge that the Collaboration Agreement referred to in Schedule 6.02(a) satisfies this milestone. 

(b) Notice of Borrowing. The Lenders shall have received the Notice of Borrowing as and when required pursuant to Section 2.01(b).

 Section 6.03. Conditions to All Borrowings. The obligation of each Lender to make the Loans shall not become effective until the
following conditions precedent shall have been satisfied or waived in writing by the Lenders (which satisfaction or waiver may be made simultaneously with the making of the Loans hereunder): 

(a) No Default; Representations and Warranties. Both immediately prior to the making of a Borrowing, after giving effect to the making
of the Loans and the intended use thereof: 
 (i) no Default shall have occurred and be continuing; and 

(ii) the representations and warranties made by each Obligor in Section 7 shall be true and correct in all material
respects (except that such materiality qualifier shall not be applicable to any representation or warranty that already is qualified or modified as to “materiality” or “Material Adverse Effect” in the text thereof, which
representation or warranty shall be true and correct in all respects subject to such qualification) on and as of the Closing Date and the Borrowing Date, as applicable, and immediately after giving effect to the application of the proceeds of the
Borrowing, with the same force and effect as if made on and as of such date except that to the extent that any such representation or warranty refers to a specific earlier date (in which case such representation or warranty shall be true and correct
on and as of such earlier date).
 The borrowing of the Loans shall constitute a certification by Borrower to the effect that the conditions
set forth in Section 6.01, Section 6.02 and Section 6.03, as applicable, have been fulfilled as of the Closing Date or the Borrowing Date, as applicable.

ARTICLE 7. 

REPRESENTATIONS AND WARRANTIES 

In order to induce the Lenders to enter into this Agreement and to extend the Loans hereunder, each Obligor represents and warrants to the
Lenders, on the Closing Date and on the Borrowing Date, that the following statements are true and correct: 
 Section 7.01. Power and
Authority. Each of Borrower and its Subsidiaries (a) is duly organized, validly existing and in good standing under the laws of its jurisdiction of 

  
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organization, (b) has all requisite corporate or other power, and has all material governmental licenses, authorizations, consents and approvals necessary to own its assets and carry on its
business as now being or as proposed to be conducted except to the extent that failure to have the same would not reasonably be expected to have a Material Adverse Effect, (c) is qualified to do business and is in good standing in all jurisdictions
in which the nature of the business conducted by it makes such qualification necessary except where failure to so qualify would not (either individually or in the aggregate) reasonably be expected to have a Material Adverse Effect, and (d) has full
power, authority and legal right to make and perform each of the Loan Documents and, in the case of Borrower, to borrow the Loans hereunder. 

Section 7.02. Authorization; Enforceability. The Transactions are within each Obligor’s corporate or other organizational powers
and have been duly authorized by all necessary corporate or other organizational action and, if required, by all necessary shareholder or other equity holder action. The Loan Documents have been duly executed and delivered by each Obligor and
constitutes, and each of the other Loan Documents to which it is a party when executed and delivered by such Obligor will constitute, a legal, valid and binding obligation of such Obligor, enforceable against each Obligor in accordance with its
terms, except as such enforceability may be limited by (a) bankruptcy, insolvency, reorganization, moratorium or similar laws of general applicability affecting the enforcement of creditors’ rights and (b) the application of general principles
of equity (regardless of whether such enforceability is considered in a proceeding in equity or at law). 
 Section 7.03. Governmental
and Other Approvals; No Conflicts. The Transactions (a) do not require any consent or approval of, registration or filing with, or any other action by, any Governmental Authority or any third party, except for (i) such as have been obtained
or made and are in full force and effect and (ii) filings and recordings in respect of the Liens created pursuant to the Security Documents, (b) will not violate any applicable law or regulation or the Organizational Documents of Borrower or its
Subsidiaries or any order of any Governmental Authority, other than any such violations that, individually or in the aggregate, would not reasonably be expected to have a Material Adverse Effect, (c) will not violate or result in a default under any
material indenture, agreement or other instrument binding upon Borrower or its Subsidiaries or assets (including any Material Agreement or agreement creating or evidencing any Material Indebtedness), or give rise to a right thereunder to require any
payment to be made by any such Person, and (d) will not result in the creation or imposition of any Lien (other than Permitted Liens) on any asset of Borrower or its Subsidiaries. 

Section 7.04. Financial Statements; Projections; Material Adverse Change. 

(a) Financial Statements. Borrower has heretofore furnished to the Lenders certain financial statements as provided for in Section
8.01. Such financial statements present fairly, in all material respects, the financial position and results of operations and cash flows of the Obligors as of such dates and for such periods substantially in accordance with GAAP, subject to
quarterly or year-end adjustments and the absence of footnotes. No Obligor has any material contingent liabilities or liabilities for taxes, long-term lease or unusual
forward or long-term commitments not disclosed in the aforementioned financial statements. 

  
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 (b) Projections. On and as of the Closing Date, the projections of Borrower and its
Subsidiaries (collectively, the “Projections”) are based on good faith estimates and assumptions made by the management of Borrower; provided, the Projections are not to be viewed as facts and that actual results during the
period or periods covered by the Projections may differ from such Projections and that the differences may be material; provided, further, as of the Closing Date, the management of Borrower believes that the Projections are reasonable and
attainable. 
 (c) No Material Adverse Change. Since December 31, 2015, no event, circumstance or change has occurred that has
caused or evidences, either in individually or in the aggregate, a Material Adverse Change. 
 Section 7.05. Properties. 

(a) Property Generally. Each Obligor has good and marketable fee simple title to, or valid leasehold interests in, all its real and
personal Property material to its business, subject only to Permitted Liens and except as would not reasonably be expected to interfere with its ability to conduct its business as currently conducted or to utilize such properties for their intended
purposes. 
 (b) Intellectual Property.  

(i) Schedule 7.05(b) lists all United States and foreign registrations of and applications for Patents, Trademarks, Copyrights,
and Industrial Designs, Technical Information, Product Authorization and Product Agreements that are Obligor Intellectual Property, including the applicable jurisdiction, registration or application number and date, as applicable thereto, and a
designation as to whether it is licensed or owned by Obligor. 
 (ii) Obligors own or possess all legal and beneficial
rights, title and interest in and to Obligor Intellectual Property designated on Schedule 7.05(b) as being owned by that Obligor and has the right to use the Obligor Intellectual Property licensed to that Obligor, in each case with good and
marketable title, free and clear of any Liens or Claims of any kind whatsoever other than Permitted Liens. 
 (iii)
[Intentionally Omitted.] 
 (iv) To Obligors’ knowledge, Borrower’s current use of its Material Intellectual
Property does not violate any license or infringe any valid and enforceable Intellectual Property right of another. 
 (v)
Other than with respect to the Material Agreements, or as permitted by Section 9.09, the Obligors have not transferred ownership of Material Intellectual Property, in whole or in part, to any Person who is not an Obligor. 

  
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 (vi) Other than as set forth on Schedule 7.05(b) and to Obligors’
knowledge, Obligors have not received any written communications, nor is there any pending or threatened action in writing, suit, proceeding or claim in writing by another, alleging that any of the Obligors has violated, infringed, diluted or
misappropriated or, by conducting its business as currently conducted or as proposed to be conducted does or would violate, infringe, dilute or misappropriate any Intellectual Property of another, and to Obligors’ knowledge, there is no basis
for such an allegation. 
 (vii) There is no pending or threatened action in writing, suit, proceeding or claim in writing by
another (a) challenging Obligors’ rights in or to any Intellectual Property owned by, or licensed to, Obligors, and Obligors have no knowledge of any facts which could form a reasonable basis for any such action, suit, proceeding or claim; or
(b) challenging the validity, enforceability or scope of any Intellectual Property owned by, or licensed to, Obligors, and Obligors have no knowledge of any facts which could form a reasonable basis for any such action, suit, proceeding or claim.

 (viii) Obligors have taken reasonable precautions to protect the secrecy, confidentiality and value of the Obligor
Intellectual Property, including without limitation, by requiring that all relevant current and former employees, contractors and consultants of Obligors execute written confidentiality agreements. 

(ix) Obligors have complied with the material terms of each Material Agreement pursuant to which Intellectual Property has been
licensed to Obligors (which material terms shall include, but not be limited to, pricing and duration of the agreement), and all such Material Agreements are in full force and effect, and Obligors have no knowledge of any facts which could form a
reasonable basis for any claims of breach or default under such Material Agreements. 
 (x) Other than those permitted by
Section 9.09, Permitted Licenses or as set forth on Schedule 7.05(b), (a) there are no outstanding options, licenses, agreements, claims, encumbrances or shared ownership interests of any kind relating to the Intellectual Property owned by, or
licensed to, Obligors and (b) nor are Obligors bound by, or a party to, any options, licenses or agreements of any kind with respect to any Intellectual Property of another. 

(xi) Obligors have no knowledge of any prior art that would reasonably be expected to render any claim of any United States
Patent within the Material Intellectual Property invalid that has not been disclosed to the United States Patent and Trademark Office. 

(xii) All maintenance fees, annuities, and the like due or payable on the Patents have been timely paid or the failure to so
pay was the result of an intentional decision by the applicable Obligor, which would not reasonably be expected to result in a Material Adverse Change. 

  
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 (xiii) To Obligors’ knowledge, there are no material defects in any of the
Patents that constitute the Material Intellectual Property and no such Patents have ever been finally adjudicated to be invalid, unpatentable or unenforceable for any reason in any administrative, arbitration, judicial or other proceeding. 

(xiv) Obligors have not received any notice asserting that the Patents constituting Material Intellectual Property are invalid,
unpatentable or unenforceable and, to Obligors’ knowledge, neither they nor any current or prior owner of such Patents or their respective agents or representatives, have engaged in any conduct, or omitted to perform any necessary act, the
result of which would invalidate or render unpatentable or unenforceable any such Patent. 
 (xv) To Obligors’
knowledge, other than as set forth in Schedule 7.05(b), Obligors are not obligated to make any payment by way of royalties, fees or otherwise to any owner or licensee of, or other claimant to, any Obligor Intellectual Property, with respect to the
use thereof or in connection with the conduct of its business or otherwise. 
 (xvi) To Obligors’ knowledge, no employee
of Obligors is or has been in violation of any term of any employment contract, patent disclosure agreement, invention assignment agreement, non-competition agreement, non-solicitation agreement, nondisclosure
agreement or any restrictive covenant to or with a former employer where the basis of such violation relates to such employee’s employment with Obligors. 

(xvii) Each employee and consultant has waived all moral rights and assigned to Obligors all intellectual property rights he or
she owns that are related to Obligors’ business as now conducted and as presently proposed to be conducted. 
 Section 7.06. No
Actions or Proceedings. 
 (a) Litigation. There is no litigation, investigation or proceeding pending or threatened in writing
with respect to any Obligor by or before any Governmental Authority or arbitrator (i) that either individually or in the aggregate would reasonably be expected to have a Material Adverse Effect, except as specified in Schedule 7.06 or (ii) that
involves this Agreement or the Transactions. 
 (b) Environmental Matters. The operations and the real Property of the Obligors
comply with all applicable Environmental Laws, except to the extent the failure to so comply, either individually or in the aggregate, would not reasonably be expected to have a Material Adverse Effect. There have been no conditions, occurrences or
release of Hazardous Materials which would reasonably be expected to form the basis of any environmental liability claim under applicable Environmental Laws with respect to Borrower’s and its Subsidiaries’ businesses, operations or
properties. 
 (c) Labor Matters. No Obligor has engaged in unfair labor practices and there are no pending or threatened in writing
labor actions, disputes, grievance or arbitration proceeding involving the employees of any Obligor, in each case that would reasonably be expected to 

  
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have a Material Adverse Effect. There is no strike or work stoppage in existence or threatened in writing against any Obligor and to the knowledge of Borrower, no union organization activity is
taking place. No person or entity has claimed that any person employed by or affiliated with any Obligor has: (i) violated or may be violating any of the terms or conditions of his or her employment,
non-competition or non-disclosure agreement with such other person or entity; (ii) disclosed or may be disclosing, or utilized or may be utilizing, any trade secret or
proprietary information or documentation of such third party; or (iii) interfered or may be interfering in the employment relationship between such third party and any of its present or former employees. 

Section 7.07. Compliance with Laws and Agreements. Each of the Obligors is in compliance with all laws, regulations and orders of any
Governmental Authority applicable to it or its Property and all indentures, agreements and other instruments binding upon it or its Property, except where the failure to do so, individually or in the aggregate, would not reasonably be expected to
result in a Material Adverse Effect. To the extent applicable, Obligors and their Subsidiaries are in compliance with 21 CFR §§ 210-211 and 21 CFR §§ 600-610. 

Section 7.08. Taxes. Except as set forth on Schedule 7.08, each of the Obligors has timely filed or caused to be filed all
material Tax returns and reports required to have been filed and has paid or caused to be paid all material Taxes required to have been paid by it, except Taxes that are being contested in good faith by appropriate proceedings and for which such
Obligor has set aside on its books adequate reserves with respect thereto substantially in accordance with GAAP. 
 Section 7.09. Full
Disclosure. Borrower has disclosed to the Lenders all Material Agreements to which any Obligor is subject, and all other matters to its knowledge, that, individually or in the aggregate, would reasonably be expected to result in a Material
Adverse Effect. None of the reports, financial statements, certificates or other information furnished by or on behalf of the Obligors to the Lenders in connection with the negotiation of this Agreement and the other Loan Documents or delivered
hereunder or thereunder (as modified or supplemented by other information so furnished) contains any material misstatement of material fact or omits to state any material fact necessary to make the statements therein, in the light of the
circumstances under which they were made, not misleading; provided that, with respect to projected financial information, Borrower represents only that such information was prepared in good faith based upon assumptions believed to be
reasonable at the time. 
 Section 7.10. Regulation. 

(a) Investment Company Act. Neither Borrower nor any of its Subsidiaries is an “investment company” as defined in, or subject
to regulation under, the Investment Company Act of 1940. 
 (b) Margin Stock. Neither Borrower nor any of its Subsidiaries is engaged
principally, or as one of its important activities, in the business of extending credit for the purpose, whether immediate, incidental or ultimate, of buying or carrying Margin Stock, and no part of the proceeds of the Loans will be used to buy or
carry any Margin Stock in violation of Regulation T, U or X. 

  
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 Section 7.11. Solvency. Borrower and its Subsidiaries, on a consolidated basis, are and,
immediately after giving effect to the Borrowings, the use of proceeds thereof, and the consummation of the Transactions, will be, Solvent. 

Section 7.12. Subsidiaries. As of the Closing Date, Zymeworks Biopharmaceuticals Inc. and Zymeworks Biochemistry Inc. are the only
Subsidiaries of Borrower. 
 Section 7.13. Indebtedness and Liens. Set forth on Schedule 7.13A is a complete and correct list of all
Indebtedness of each Obligor outstanding as of the date hereof. Set forth on Schedule 7.13B is a complete and correct list of all Liens granted by Borrower and other Obligors with respect to their respective Property and outstanding as of the date
hereof. 
 Section 7.14. Material Agreements. Set forth on Schedule 7.14 is a complete and correct list as of the Closing Date of (i)
each Material Agreement and (ii) each agreement creating or evidencing any Material Indebtedness. No Obligor is in material default under any such Material Agreement or agreement creating or evidencing any Material Indebtedness. Except as otherwise
disclosed on Schedule 7.14, all material vendor purchase agreements and supplier contracts of the Obligors existing on the Closing Date are in full force and effect without material modification from the form in which the same were disclosed to the
Lenders, except for such modifications as would not reasonably be expected to be adverse to the interests of the Lenders. 
 Section
7.15. Restrictive Agreements. None of the Obligors is subject to any Restrictive Agreement, except (i) those listed on Schedule 7.15 or otherwise permitted under Section 9.11, (ii) restrictions and conditions imposed by law or by this
Agreement, (iii) customary restrictions and conditions contained in agreements relating to the sale of a Subsidiary or assets pending such sale, provided such restrictions and conditions apply only to the Subsidiary or assets that are to be
sold and such sale is permitted hereunder, (iv) any stockholder agreement, charter, by laws or other organizational documents of Borrower or any Subsidiary as in effect on the date hereof, and (v) limitations associated with Permitted Liens. 

Section 7.16. Real Property. Neither Borrower nor any of its Subsidiaries owns or leases (as tenant thereof) any real Property on the
date hereof, except as described on Schedule 7.16. 
 Section 7.17. Pension and Other Plans. 

(a) U.S. Pension Matters. Schedule 7.17 sets forth, as of the date hereof, a complete and correct list of, and that separately
identifies, (a) all Title IV Plans, (b) all Multiemployer Plans and (c) all material Benefit Plans. Each Benefit Plan, and each trust thereunder, intended to qualify for Tax exempt status under Section 401 or 501 of the Code or other Requirements of
Law so qualifies. Except for those that would not, in the aggregate, have a Material Adverse Effect, (x) each Benefit Plan is in compliance with applicable 

  
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provisions of ERISA, the Code and other Requirements of Law, (y) there are no existing or pending (or to the knowledge of any Obligor or Subsidiary thereof, threatened) claims (other than routine
claims for benefits in the normal course), sanctions, actions, lawsuits or other proceedings or investigation involving any Benefit Plan to which any Obligor or Subsidiary thereof incurs or otherwise has or would have an obligation or any liability
or Claim and (z) no ERISA Event is reasonably expected to occur. Borrower and each of its ERISA Affiliates has met all applicable requirements under the ERISA Funding Rules with respect to each Title IV Plan, and no waiver of the minimum funding
standards under the ERISA Funding Rules has been applied for or obtained. As of the most recent valuation date for any Title IV Plan, the funding target attainment percentage (as defined in Section 430(d)(2) of the Code) is at least 60%, and neither
Borrower nor any of its ERISA Affiliates knows of any facts or circumstances that would reasonably be expected to cause the funding target attainment percentage to fall below 60% as of the most recent valuation date. As of the date hereof, no ERISA
Event has occurred in connection with which obligations and liabilities (contingent or otherwise) remain outstanding. No ERISA Affiliate would have any Withdrawal Liability as a result of a complete withdrawal from any Multiemployer Plan on the date
this representation is made. 
 (b) Canadian Pensions and Other Plans.  

(i) Employee Plans. Schedule 7.17 sets forth, as of the date hereof, a complete and correct list of, and that separately
identifies all Statutory Plans, Pension Plans and Welfare Plans. (A) No Employee Plan offers any defined benefit pension benefit, and each Employee Plan is, and has been, established, registered, qualified, administered and invested in compliance in
all respects with its terms and all applicable law, (B) all employer and employee payments, contributions and premiums required to be remitted or paid to or in respect of any Employee Plan or Statutory Plan have been remitted or paid in a timely
fashion to or in respect of the Employee Plan or the Statutory Plan in accordance with their respective terms and all applicable law, (C) all of its obligations that are due under each applicable Employee Plan and Statutory Plan have been satisfied,
(D) all contributions have been segregated appropriately between employer and employee contributions, (E) there is no claim by any Governmental Authority or by any Person pending or, to its knowledge, threatened in respect of any Employee Plan
(except routine claims for payment of benefits), (F) no event has occurred that has given rise to or would reasonably be expected to give rise to any liability on its part under any Employee Plan except those disclosed in the Employee Plans
themselves or in the financial statements required to be provided pursuant to this Agreement, (G) with respect to any Employee Plan that is registered under any applicable law, no event has occurred and no condition exists that has resulted or would
reasonably be expected to result in that Employee Plan having its registration revoked, or entitle any Person (except the Obligor) to terminate or wind up that Employee Plan (in whole or in part), or result in that Employee Plan being placed under
the administration of any Governmental Authority, or result in it being required to pay any Taxes or penalties under any applicable law, (H) with respect to each Pension Plan that is fully funded, on a going concern basis and a solvency basis, in
accordance with the terms of the Pension Plan and the requirements of applicable law, and (I) during the last twelve consecutive 

  
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months, (x) no steps have been taken by any of the Obligors or by a Governmental Authority to terminate or wind up an Employee Plan (wholly or in part) that could result in it being required to
make additional contributions to the Employee Plan, and (y) no condition exists and no event has occurred with respect to any Employee Plan or Statutory Plan that would result in an increase in the amount of its liability over, or the incurrence by
it of any liability in addition to, its liability before the existence of the condition or the occurrence of the event, or that would result in it incurring any fine or penalty. 

(ii) Welfare Plans. None of the Obligors has any liability or contingent liability under a Welfare Plan to provide for
benefits after termination or retirement. 
 Section 7.18. Collateral; Security Interest. Each Security Document is effective to
create in favor of the Lenders a legal, valid and enforceable security interest in the Collateral subject thereto and each such security interest is perfected to the extent required by (and has the priority required by) the applicable Security
Document. The Security Documents collectively are effective to create in favor of the Lenders a legal, valid and enforceable security interest in the Collateral, which upon the filing of financing statements and other similar statements filed in the
appropriate offices, such security interests are first-priority security interests (subject only to Permitted Priority Liens). 
 Section
7.19. Regulatory Approvals.
 (a) Each Obligor and each of its Subsidiaries holds either directly or through licensees and agents, all
Regulatory Approvals, licenses, permits and similar governmental authorizations of a Governmental Authority necessary or required for each Obligor and its Subsidiaries to conduct their operations and business substantially in the manner currently
conducted. 
 (b) Set forth on Schedule 7.19(b) is a complete and accurate list as of the date hereof of all material Regulatory Approvals
relating to the Obligors, the conduct of their business and the Products (on a per Product basis). All such material Regulatory Approvals are (i) legally and beneficially owned exclusively by the Obligors, free and clear of all Liens other than
Permitted Liens, (ii) validly registered and on file with the applicable Governmental Authority, in material compliance with all registration, filing and maintenance requirements (including any fee requirements) thereof, and (iii) in good standing,
valid and enforceable with the applicable Governmental Authority in all material respects. All required and material notices, registrations and listings, supplemental applications or notifications, reports (including field alerts or other reports of
adverse experiences) and other required and material filings with respect to the Products have been filed with the FDA and all other applicable Governmental Authorities. 

(c) (i) All material regulatory filings required by any Regulatory Authority or in respect of any Regulatory Approval or Product Authorization
with respect to any Product or any Product Development and Commercialization Activities have been made, and all such filings are complete and correct in all material respects and have complied in all material

  
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respects with all applicable laws and regulations, (ii) all clinical and pre-clinical trials, if any, of investigational Products have been and are being conducted by each Obligor according to
all applicable laws and regulations in all material respects along with appropriate monitoring of clinical investigator trial sites for their compliance, and (iii) each Obligor has disclosed to the Lenders all such material regulatory filings and
all material communications between representatives of each Obligor and any Regulatory Authority. 
 (d) Each Obligor and each of its agents
are in compliance in all material respects with all applicable statutes, rules and regulations (including all Regulatory Approvals and Product Authorizations) of all applicable Governmental Authorities, including the FDA and all other Regulatory
Authorities, with respect to each Product and all Product Development and Commercialization Activities related thereto. Each Obligor has and maintains in full force and effect all the necessary and requisite Regulatory Approvals and Product
Authorizations. Each Obligor is in compliance in all material respects with all applicable registration and listing requirements set forth in the FD&C Act or equivalent regulation of each other Governmental Authority having jurisdiction over
such Person. Each Obligor adheres in all material respects to all applicable regulations of all Regulatory Authorities with respect to the Products and all Product Development and Commercialization Activities related thereto. 

(e) Except as set forth on Schedule 7.19(e), no Obligor has received from any Regulatory Authority any notice of adverse findings with respect
to any Product or any Product Development and Commercialization Activities related thereto, including any FDA Form 483 inspectional observations, notices of violations, Warning Letters, criminal proceeding notices under Section 305 of the FD&C
Act, or any other similar communication from any Regulatory Authority. There have been no seizures conducted or, to Borrower’s knowledge, threatened by any Regulatory Authority with respect to any Product, and no recalls, market
withdrawals, field notifications, notifications of misbranding or adulteration or safety alerts conducted, requested or, to Borrower’s knowledge, threatened by any Regulatory Authority with respect to any Product, and no recalls, market
withdrawals, field notifications, notifications of misbranding or adulteration or safety alerts have been conducted, requested or, to Borrower’s knowledge, threatened by any Regulatory Authority relating to any Products. No Obligor has received
any written notification that remains unresolved from the FDA or any other Regulatory Authority indicating any breach or violation of any applicable Product Authorization or Regulatory Approval, including that any of the Products is misbranded or
adulterated as defined in the FD&C Act or the rules and regulations promulgated thereunder. 
 (f) Neither any Obligor nor any officer,
employee or agent thereof, has made an untrue statement of a material fact or fraudulent statements to the FDA or any other Regulatory Authority, failed to disclose a material fact required to be disclosed to the FDA or any other Regulatory
Authority, or committed an act, made a statement, or failed to make a statement that, at the time such disclosure was made (or was not made), would reasonably be expected to provide a basis for the FDA or any other Regulatory Authority to invoke its
policy respecting Fraud, Untrue Statements of Material Facts, Bribery and Illegal Gratuities, set forth in 56 Fed. Reg. 46191 (September 10, 1991) or any similar policy. 

  
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 (g) No Obligor has received any written notice that the FDA or any other applicable Regulatory
Authority has commenced or initiated, or, to the knowledge of Borrower or any such Obligor, threatened to commence or initiate, any action to withdraw any Regulatory Approval or Product Authorization or requested the recall of any Products or
commenced or initiated or, to the knowledge of Borrower or any such Obligor, threatened to commence or initiate, any action to enjoin any Product Development and Commercialization Activities of Borrower or any such Obligor. 

(h) The clinical, preclinical, safety and other studies and tests conducted by or on behalf of or sponsored by each Obligor, or in respect of
which any Products or Product candidates under development have participated, were (and if still pending, are) being conducted materially in accordance with standard medical and scientific research procedures and all applicable Product
Authorizations. Each Obligor has operated within, and currently is in compliance in all material respects with, all applicable laws, Product Authorizations and Regulatory Approvals, as well as the rules and regulations of the FDA and each other
Regulatory Authority. No Obligor has received any notices or other correspondence from the FDA or any other Regulatory Authority requiring the termination or suspension of any clinical, preclinical, safety or other studies or tests used to
support regulatory clearance of, or any Product Authorization or Regulatory Approval for, any Product. 
 Notwithstanding the foregoing, no
representations and warranties set forth in Sections 7.19(b)-(h) above shall be made prior to the Borrowing Date. 
 Section 7.20.
Capitalization. All of the issued and outstanding securities of each Obligor have been duly authorized, are validly issued, fully paid, and non-assessable. As of the Closing Date and except as set forth on Schedule 7.20, there are no outstanding
or authorized options, warrants, purchase rights, subscription rights, conversion rights, exchange rights, or other contracts or commitments that could require the Obligors to issue, sell, or otherwise cause to become outstanding any of their
ownership interests. There are no outstanding or authorized stock appreciation, phantom stock, profit participation, or similar rights with respect to the Obligors. There are no voting trusts, proxies, or other agreements or understandings with
respect to the voting of the ownership interests of the Obligors. None of the Equity Interests in the Obligors has been mortgaged, assigned or pledged in favor of any Person. 

Section 7.21. Insurance. Each Obligor has obtained (and is maintaining), insurance for its assets (including the Collateral) and
business as required under the Loan Documents. 
 Section 7.22. Certain Fees. No broker’s or finder’s fee or commission
will be payable in connection with this Agreement or any of the Transactions contemplated hereby. 
 Section 7.23. Sanctions Laws.
Obligors and, to the knowledge of the Obligors, any director, officer, agent, employee or other Person acting on behalf of the Obligors are in compliance with the Sanctions Laws. 

  
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 Section 7.24. Anti-Corruption Laws. None of the Obligors nor, to the knowledge of the
Obligors, any director, officer, agent, employee or other Person acting on behalf of the Obligors has taken any action, directly or indirectly, that would result in a violation by such Persons of the Anti-Corruption Laws. 

Section 7.25. Anti-Terrorism Laws. The Obligors have taken reasonable measures to ensure compliance with applicable Economic Sanctions
Laws and Anti-Terrorism Laws; are not Designated Persons; and have not used any part of the proceeds from any advance on behalf of any Designated Person or has not used, directly by it or indirectly through any Subsidiary, such proceeds in
connection with any investment in, or any transactions or dealings with, any Designated Person. 
 ARTICLE 8. 

AFFIRMATIVE COVENANTS 

Each Obligor covenants and agrees with the Lenders that, until the Commitments have expired or been terminated and all Obligations (other than
Warrant Obligations and inchoate indemnity obligations) have been paid in full indefeasibly in cash: 
 Section 8.01. Financial
Statements and Other Information. Borrower will furnish to the Lenders: 
 (a) 

(i) so long as Borrower is not a Publicly Reporting Company, as soon as available and in any event within 30 days after the end
of each of the first two fiscal months of each fiscal quarter, the consolidated balance sheets of Borrower and its Subsidiaries as of the end of each such month, and the related consolidated statements of income, shareholders’ equity and cash
flows of Borrower and its Subsidiaries for such month, all in reasonable detail and setting forth in comparative form the figures for the corresponding period in the preceding fiscal year, together with a certificate of a Responsible Officer of
Borrower stating that such financial statements fairly present in all material respects the financial condition of Borrower and its Subsidiaries as at such date and the results of operations of Borrower and its Subsidiaries for the period ended on
such date and have been prepared substantially in accordance with GAAP consistently applied, subject to changes resulting from normal, quarterly or year-end adjustments and except for the absence of notes; provided, however, that Borrower
shall not be required to deliver any financial statements pursuant to this Section 8.01(a)(i) for so long as Borrower is not delivering such financial statements to Borrower’s Board and/or shareholders; and 

(ii) (x) so long as Borrower is not a Publicly Reporting Company, commencing with the fiscal quarter ended June 30, 2016,
as soon as available and in any event within 45 days after the end of the first three quarters of each fiscal year (or 60 days, in the case of the fourth fiscal quarter), and (y) after Borrower becomes a Publicly

  
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Reporting Company, as soon as available and in any event within five (5) days following the date Borrower files the Quarterly Report on Form 10-Q with the SEC, the consolidated balance sheets of
Borrower and its Subsidiaries as of the end of such quarter, and the related consolidated statements of income, shareholders’ equity and cash flows of Borrower and its Subsidiaries for such quarter and the portion of the fiscal year through the
end of such quarter, all in reasonable detail and setting forth in comparative form the figures for the corresponding period in the preceding fiscal year, together with a certificate of a Responsible Officer of Borrower stating that such financial
statements fairly present in all material respects the financial condition of Borrower and its Subsidiaries as at such date and the results of operations of Borrower and its Subsidiaries for the period ended on such date and have been prepared
substantially in accordance with GAAP consistently applied, subject to changes resulting from normal quarterly or year-end adjustments and except for the absence of notes; 

(b) (x) so long as Borrower is not a Publicly Reporting Company, as soon as available and in any event within 120 days after the end of each
fiscal year, and (y) after Borrower becomes a Publicly Reporting Company, as soon as available and in any event within five (5) days following the date Borrower files the Annual Report on Form 10-K with the SEC, the consolidated balance sheets of
Borrower and its Subsidiaries as of the end of such fiscal year, and the related consolidated statements of income, shareholders’ equity and cash flows of Borrower and its Subsidiaries for such fiscal year, prepared substantially in accordance
with GAAP consistently applied, all in reasonable detail and setting forth in comparative form the figures for the previous fiscal year, accompanied by a report and opinion thereon of KPMG LLP or another firm of independent certified public
accountants of recognized national standing, which report and opinion shall be prepared in accordance with generally accepted auditing standards and shall not be subject to any “going concern” or like qualification or exception or any
qualification or exception as to the scope of such audit; 
 (c) within 30 days after the end of each month, a compliance certificate of a
Responsible Officer as of the end of the applicable accounting period (which delivery may, unless a Lender requests executed originals, be by electronic communication including fax or email and shall be deemed to be an original authentic counterpart
thereof for all purposes) in the form of Exhibit E (a “Compliance Certificate,” which, for purposes of clarification, shall (i) demonstrate Borrower’s compliance with Section 8.18 in respect of such month and (ii) state whether
the representations and warranties made by Borrower in Section 7.04 are true on and as of the date thereof) including details of any issues that are material that are raised by auditors; 

(d) promptly, and in any event within five (5) Business Days after receipt thereof by an Obligor thereof, copies of each notice or other
correspondence received from any securities regulator or exchange to the authority of which Borrower may become subject from time to time concerning any investigation or possible investigation or other inquiry by such agency regarding financial or
other operational results of such Obligor; 
 (e) the information regarding insurance maintained by Borrower and its Subsidiaries as
required under Section 8.05; 

  
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 (f) promptly following the Lenders’ written request at any time, proof of Borrower’s
compliance with Section 8.18; 
 (g) within five (5) days of delivery, copies of all statements, reports and notices (including board kits)
made available to holders of Borrower’s Equity Interests; provided that (i) any such material may be redacted by Borrower to exclude information relating to the Lenders (including Borrower’s strategy regarding the Loans) and (ii)
the Lenders shall not be entitled to receive statements, reports and notices relating to topics that (x) are subject to attorney-client privilege or (y) present a conflict of interest for the Lenders; 

(h) so long as Borrower is not a Publicly Reporting Company, a financial forecast for Borrower and its Subsidiaries for each fiscal year,
including forecasted balance sheets, statements of income and cash flows of Borrower and its Subsidiaries, all of which shall be prepared on a consolidated basis and delivered not later than February 28 of such fiscal year; 

(i) promptly following any Lender’s written request, certify that such Obligor is not a passive foreign investment company
(“PFIC”) within the meaning of Sections 1291 through 1297 of the Code, or, if such Obligor determines that it is a PFIC, provide such information as would allow the Lender to make a qualified electing fund election with respect to
the stock of the Obligor; 
 (j) after Borrower becomes a Publicly Reporting Company, within five (5) days of filing, provide access (via
posting and/or links on Borrower’s web site) to all reports on Form 10-K and Form 10-Q filed with the SEC, any Governmental Authority succeeding to any or all of the functions of the SEC or with any national securities exchange; and within five
(5) days of filing, provide notice and access (via posting and/or links on Borrower’s web site) to all reports on Form 8-K filed with the SEC, and copies of (or access to, via posting and/or links on Borrower’s web site) all other reports,
proxy statements and other materials filed by Borrower with the SEC, any Governmental Authority succeeding to any of the functions of the SEC or with any national securities exchange; and 

(k) such other information respecting the operations, properties, business or condition (financial or otherwise) of the Obligors (including
with respect to the Collateral) as the Lenders may from time to time reasonably request; 
 provided, that upon and following the occurrence of a
Qualified IPO of Borrower or any of its Subsidiaries, Borrower covenants and agrees that neither Borrower, nor any other Person acting on its behalf, will provide any Lender or its Representatives with any information that Borrower believes
constitutes material non-public information, unless prior thereto such Lender shall have confirmed to Borrower in writing that it consents to receive such information. Borrower understands and confirms that each Lender shall be relying on the
foregoing covenant in effecting transactions in securities of Borrower. 
 Section 8.02. Notices of Material Events. Borrower will
furnish to the Lenders written notice of the following promptly after a Responsible Officer first learns of the existence of: 
 (a) the
occurrence of any Default; 

  
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 (b) the occurrence of any event with respect to any Obligor’s Property resulting in a Loss,
to the extent not covered by insurance, aggregating $500,000 (or the Equivalent Amount in other currencies) or more; 
 (c) (i) any proposed
Acquisition by any Obligor that would reasonably be expected to result in environmental liability under Environmental Laws, and (ii)(A) spillage, leakage, discharge, disposal, leaching, migration or release of any Hazardous Material required to be
reported to any Governmental Authority under applicable Environmental Laws, and (B) all actions, suits, claims, notices of violation, hearings, investigations or proceedings pending, or threatened in writing against or affecting Borrower or any of
its Subsidiaries or with respect to the ownership, use, maintenance and operation of their respective businesses, operations or properties, relating to Environmental Laws or Hazardous Material; 

(d) the assertion of any environmental matter by any Person against, or with respect to the activities of, Borrower or any of its Subsidiaries
and any alleged violation of or non-compliance with any Environmental Laws or any permits, licenses or authorizations which would reasonably be expected to involve damages in excess of $500,000 other than any environmental matter or alleged
violation that, if adversely determined, would not (either individually or in the aggregate) have a Material Adverse Effect; 
 (e) the
filing or commencement of any action, suit or proceeding by or before any arbitrator or Governmental Authority against or directly affecting Borrower or any of its Subsidiaries that, would reasonably be expected to result in a Material Adverse
Effect; 
 (f) (i) on or prior to any filing by any ERISA Affiliate of any notice of intent to terminate any Title IV Plan, a copy of such
notice and (ii) promptly, and in any event within 10 days, after any Responsible Officer of any ERISA Affiliate knows or has reason to know that a request for a minimum funding waiver under Section 412 of the Code has been filed with respect to any
Title IV Plan or Multiemployer Plan, a notice (which may be made by telephone if promptly confirmed in writing) describing such waiver request and any action that any ERISA Affiliate proposes to take with respect thereto, together with a copy of any
notice filed with the PBGC or the IRS pertaining thereto; 
 (g) (i) the termination of any Material Agreement; (ii) the receipt by Borrower
or any of its Subsidiaries of a notice under any Material Agreement (and a copy thereof) asserting a default by Borrower or any of its Subsidiaries where such alleged default would permit such counterparty to terminate such Material Agreement; (iii)
the entering into any new Material Agreement by an Obligor (and a copy thereof); or (iv) any material amendment to a Material Agreement that would be adverse in any material respect to the Lenders (and a copy thereof) (which includes, but is not
limited to, any amendments to provisions relating to pricing and term), provided that notices required under this subsection (g) may be delivered with Borrower’s monthly Compliance Certificate unless any of the foregoing events would
reasonably be expected to have a Material Adverse Effect; 

  
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 (h) any product recalls, safety alerts, corrections, withdrawals, marketing suspensions, removals
or the like conducted, to be undertaken or issued by Borrower or any of its Subsidiaries or its suppliers, whether or not at the request, demand or order of any Governmental Authority or otherwise with respect to any Product, or any basis for
undertaking or issuing any such action or item; 
 (i) any infringement or other violation by any Person of any Obligor Intellectual
Property that would reasonably be expected to result in a Material Adverse Effect; 
 (j) a licensing agreement or arrangement entered into
by Borrower or any of its Subsidiaries in connection with any infringement or alleged infringement of the Intellectual Property of another Person; 

(k) any claim by any Person that the conduct of any Obligor’s (or any Subsidiary thereof) business, including the development,
manufacture, use, sale or other commercialization of any Product, infringes any Intellectual Property of such Person, except to the extent any such claim would not reasonably be expected to result in a Material Adverse Effect; 

(l) any event, circumstance, act or omission that would cause any representation or warranty contained in Section 7.19 to be incorrect in any
material respect if such representation or warranty were to be made at the time the applicable Obligor or Subsidiary thereof learned of such event, circumstance, act or omission; 

(m) the reports and notices as required by the Security Documents; 

(n) within 30 days of the date thereof, or, if earlier, on the date of delivery of any financial statements pursuant to Section 8.01,
notice of any material change in accounting policies or financial reporting practices by the Obligors; 
 (o) promptly after the occurrence
thereof, notice of any labor controversy resulting in or threatening to result in any strike, work stoppage, boycott, shutdown or other material labor disruption against or involving an Obligor; 

(p) any other development that results in, or would reasonably be expected to result in, a Material Adverse Effect; 

(q) concurrently with the delivery of financial statements under Section 8.01(a)(ii), the creation or other acquisition of any Intellectual
Property by Borrower or any Subsidiary after the date hereof and during such prior fiscal year which is registered or becomes registered or the subject of an application for registration with the United States Copyright Office or the United States
Patent and Trademark Office, as applicable, or with any other equivalent foreign Governmental Authority; 
 (r) (i) the taking of any steps
by an Obligor or any Governmental Authority to terminate any Employee Plan (wholly or in part) that would result in any Obligor being 

  
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required to make an additional contribution to the Employee Plan, or (ii) the taking of any action by any Person or the occurrence of any event with respect to any Employee Plan or Statutory Plan
that would reasonably be expected to (A) give rise to a Lien under any applicable law, (B) result in an increase in the liability of an Obligor over, or the incurrence by an Obligor of any liability in addition to, the liability of the Obligor
before the action was taken or the event occurred, (C) result in a fine, a penalty or any increase in the contingent liability of any Obligor under any Welfare Plan with respect to any benefit after termination of employment or retirement, in any
case, or (D) have a Material Adverse Effect; and 
 (s) any change to any Obligor’s ownership of Deposit Accounts, Securities Accounts
and Commodity Accounts, by delivering to the Lenders an updated Schedule 7 to the Security Documents setting forth a complete and correct list of all such accounts as of the date of such change. 

Each notice delivered under this Section 8.02 shall be accompanied by a statement of a financial officer or other executive officer of
Borrower setting forth in reasonable detail the event or development requiring such notice and any action taken or proposed to be taken with respect thereto. 

Section 8.03. Existence; Maintenance of Properties, Etc. 

(a) It will, and will cause each of its Subsidiaries to, do or cause to be done all things necessary to preserve, renew and keep in full force
and effect its legal existence; provided that the foregoing shall not prohibit any merger, amalgamation, consolidation, liquidation or dissolution permitted under Section 9.03. 

(b) If Borrower shall be in default under the Borrower Lease, Borrower shall permit the Lenders to cause the default or defaults under the
Borrower Lease to be remedied. 
 (c) It shall, and shall cause each of its Subsidiaries to, maintain and preserve all rights, licenses,
permits, privileges and franchises material to the conduct of its business, and maintain and preserve all of its properties necessary to the conduct of its business in good working order and condition, ordinary wear and tear and damage from casualty
or condemnation excepted. 
 (d) It shall, and shall cause each of its Subsidiaries to, (i) maintain in full force and effect, and pay all
costs and expenses relating to, all Material Intellectual Property owned or controlled by it or such Subsidiary and all Material Agreements, (ii) aggressively pursue any infringement or other violation by any Person of its Material Intellectual
Property, except in any specific circumstances where both (x) it or such Subsidiary is able to demonstrate that it is not commercially reasonable to do so and (y) where not doing so does not materially adversely affect any Product, and (iii) use
commercially reasonable efforts to pursue and maintain in full force and effect legal protection for all new Material Intellectual Property developed or controlled by it. 

  
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 (e) It shall, and shall cause each of its Subsidiaries to, take all actions reasonably necessary
to obtain, maintain in full force and effect and preserve, and take all necessary action to timely renew, (i) all material Regulatory Authorizations for each Product and (ii) all other all Permits and accreditations that are necessary in the proper
conduct of its business. 
 (f) It shall, and shall cause each of its Subsidiaries to, use commercially reasonable efforts to cause each new
employee and contractor to execute and deliver a customary confidentiality, non-disclosure and Intellectual Property assignment agreement that includes a waiver of moral rights. 

Section 8.04. Payment of Obligations. It will, and will cause each of its Subsidiaries to, pay and discharge (i) all federal income and
other material Taxes, fees, assessments and governmental charges or levies imposed upon it or upon its properties or assets prior to the date on which penalties attach thereto, and all lawful claims for labor, materials and supplies which, if
unpaid, might become a Lien (other than a Permitted Lien) upon any properties or assets of Borrower or any Subsidiary, except to the extent such Taxes, fees, assessments or governmental charges or levies, or such claims are being contested in good
faith by appropriate proceedings and are adequately reserved against substantially in accordance with GAAP, (ii) all lawful claims which, if unpaid, would by Law become a Lien upon its Property not constituting a Permitted Lien and (iii) all other
obligations if the failure to discharge such obligation would reasonably be expected to result in a Material Adverse Effect. 
 Section
8.05. Insurance. At its own cost and expense, Borrower shall obtain and maintain insurance of the kinds, and in the amounts, set forth below, it being understood and agreed that the insurance held by Borrower on the Closing Date is deemed to
fulfill this requirement on the date hereof: 
 (a) All Risks of Physical Loss Insurance. Borrower will maintain insurance
against loss, destruction or damage to its properties and assets (including the Collateral) as determined by Borrower in its good faith business judgment to be customary for companies similar to Borrower. 

(b) Commercial General Liability Insurance. Borrower will maintain commercial general liability insurance covering bodily injury,
death, property damage, products liability in such amounts as are generally required by institutional lenders for businesses and assets comparable to the business and assets of Borrower, but in any event for a combined single limit of at least
$1,000,000 per occurrence and $2,000,000 in the aggregate. 
 (c) Workers Compensation Insurance. Borrower will maintain statutory
workers’ compensation insurance with respect to any work performed on or about the property or assets of Borrower. 
 (d) General
Requirements. All of the insurance policies required pursuant to this Section 8.05 will (i) be issued by financially sound and reputable insurers with a rating of at least “A” or better by both Standard & Poor’s Ratings
Service and Moody’s Investors Service (or such other credit rating agencies as may be designated by the Agent) or a general policy 

  
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rating of “A-” or better and a financial class of VIII or better by A.M. Best Company, Inc., (ii) name the Lenders as a “loss payee,” “additional insured” or
“mortgagee,” as applicable, and (iii) provide for 30 days’ prior written notice (10 days’ prior written notice from Borrower for nonpayment of premium) to the Lenders before such policy is canceled or terminated. Receipt of
notice of termination or cancellation of any such insurance policies or reduction of coverages or amounts thereunder shall entitle the Lenders to renew any such policies, cause the coverages and amounts thereof to be maintained at levels required
pursuant to this Section 8.05 or otherwise to obtain similar insurance in place of such policies, in each case at the expense of Borrower (payable on demand). The amount of any such expenses shall accrue interest at the Default Rate if not paid on
demand, and shall constitute “Obligations.” All of the insurance policies required hereby will be evidenced by one or more certificates of insurance delivered to the Lenders on or before the Closing Date and at such other times as the
Lenders may request from time to time. 
 Section 8.06. Books and Records; Inspection Rights. It will, and will cause each of its
Subsidiaries to, keep proper books of record and account in which full, true and correct entries are made of all dealings and transactions in relation to its business and activities. It will, and will cause each of its Subsidiaries to, permit any
representatives designated by the Lenders, upon reasonable prior notice and at reasonable times, to visit and inspect its properties, to examine and make extracts from its books and records, and to discuss its affairs, finances and condition with
its officers and independent accountants, all at such reasonable times during normal business hours and with reasonable advance notice (but not more often than once a year unless an Event of Default has occurred and is continuing) as the Lenders may
request. It will, and will cause each of its Subsidiaries to, pay all costs of all such inspections. 
 Section 8.07. Compliance with
Laws and Other Obligations. It will, and will cause each of its Subsidiaries to, (i) comply in all material respects with all laws, rules, regulations and orders of any Governmental Authority applicable to it or its Property (including
Environmental Laws) and (ii) comply in all material respects with all terms of Indebtedness and all other Material Agreements, except where the failure to do so, individually or in the aggregate, would not reasonably be expected to result in a
Material Adverse Effect. 
 Section 8.08. Licenses. It shall, and shall cause each of its Subsidiaries to, obtain and maintain all
licenses, authorizations, consents, filings, exemptions, registrations and other Governmental Approvals necessary in connection with the execution, delivery and performance of the Loan Documents, the consummation of the Transactions or the operation
and conduct of its business and ownership of its properties, except where failure to do so would not reasonably be expected to have a Material Adverse Effect. 

Section 8.09. Action under Environmental Laws. It shall, and shall cause each of its Subsidiaries to, upon becoming aware of the
release of any Hazardous Materials or the existence of any environmental liability under applicable Environmental Laws with respect to their respective businesses, operations or properties, take all actions, at their cost and expense, as shall be
necessary or advisable to investigate and clean up the condition of their respective businesses, operations or properties, including all required removal, containment and remedial actions, and restore their respective businesses, operations or
properties to a condition, in each case in material compliance with applicable Environmental Laws. 

  
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 Section 8.10. Use of Proceeds. The proceeds of the Loans will be used only as provided in
Section 2.05. No part of the proceeds of the Loans will be used, whether directly or indirectly, for any purpose that entails a violation of any of the Regulations of the Board of Governors of the Federal Reserve System, including Regulations T, U
and X. 
 Section 8.11. Certain Obligations Respecting Subsidiaries; Further Assurances. 

(a) Subsidiaries. It will take such action, and will cause each of its Subsidiaries to take such action, from time to time as shall be
necessary to ensure that all Subsidiaries are “Guarantors” hereunder. Without limiting the generality of the foregoing, in the event that Borrower or any of its Subsidiaries shall form or acquire any new Subsidiary, it and its Subsidiaries
will promptly and in any event within 15 days (or such longer time as consented to by the Majority Lenders in writing) of the formation or acquisition of such Subsidiary: 

(i) cause such new Subsidiary to become a “Guarantor” hereunder, and a “Grantor” under the Security
Documents, pursuant to a Guarantee Assumption Agreement; 
 (ii) take such action or cause such Subsidiary to take such
action (including delivering such shares of stock together with undated transfer powers executed in blank) as shall be necessary to create and perfect valid and enforceable first priority (subject to Permitted Priority Liens) Liens on substantially
all of the personal Property of such new Subsidiary as collateral security for the obligations of such new Subsidiary hereunder; 

(iii) to the extent that the parent of such Subsidiary is not a party to the Security Documents or has not otherwise pledged
Equity Interests in its Subsidiaries in accordance with the terms of the Security Documents and this Agreement, cause the parent of such Subsidiary to execute and deliver a pledge agreement in favor of the Lenders, in respect of all outstanding
issued shares of such Subsidiary; and 
 (iv) deliver such proof of corporate action, incumbency of officers, opinions of
counsel and other documents as is consistent with those delivered by each Obligor pursuant to Section 6.01 or as the Majority Lenders shall have requested. 

(b) Further Assurances. It will, and will cause each of its Subsidiaries to, take such action from time to time as shall reasonably be
requested in writing by the Majority Lenders to effectuate the purposes and objectives of this Agreement. 
 Without limiting the generality
of the foregoing, it will, and will cause each Person that is required to be a Guarantor to, take such action from time to time (including executing and delivering such assignments, security agreements, control agreements and other instruments) as
shall be reasonably requested in writing by the Majority Lenders to create, in favor of the Lenders, perfected security interests and Liens in substantially all of the personal Property, 

  
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including any Intellectual Property, of such Obligor as collateral security for the Obligations; provided that any such security interest or Lien shall be subject to the relevant
requirements of the Security Documents. 
 Section 8.12. Termination of Non-Permitted Liens. In the event that Borrower or any of its
Subsidiaries shall become aware or be notified by the Lenders of the existence of any outstanding Lien against any Property of Borrower or any of its Subsidiaries, which Lien is not a Permitted Lien, Borrower shall use its best efforts to promptly
terminate or cause the termination of such Lien. 
 Section 8.13. Employee Plans. It shall perform all of its obligations under and
in respect of each Employee Plan and Statutory Plan and shall remit or pay all payments, contributions and premiums that it is required to remit or pay to or in respect of each Employee Plan and Statutory Plan, all in a timely way in accordance with
the terms of the terms of the applicable plan and all applicable law. 
 Section 8.14. Non-Consolidation. Borrower will and will
cause each of its Subsidiaries to (i) maintain entity records and books of account separate from those of any other entity which is an Affiliate of such entity; (ii) not commingle its funds or assets with those of any other entity which is an
Affiliate of such entity; and (iii) provide that its board of directors or other analogous governing body will hold all appropriate meetings to authorize and approve such entity’s actions, which meetings will be separate from those of other
entities. 
 Section 8.15. Anti-Terrorism and Anti-Corruption Laws. No Obligor shall engage in any transaction that violates any of
the applicable prohibitions set forth in any Economic Sanctions Law, Anti-Terrorism Law, the US Foreign Corrupt Practices Act of 1977 (15 USC. §§ 78dd-1 et seq.), the Corruption of Foreign Public Officials Act (Canada)
(S,C. 1998, c. 34), or any other Applicable Laws applicable to such Obligor. None of the funds or assets of such Obligor or any Subsidiary that are used to repay the Loans shall constitute property of, or shall be beneficially owned by, any
Designated Person or be the direct proceeds derived from any transactions that violate the prohibitions set forth in any applicable Economic Sanctions Law, and no Designated Person shall have any direct or indirect interest in such Obligor insofar
as such interest would violate any Economic Sanctions Laws applicable to such Obligor. 
 Section 8.16. Required Milestones. On or
before September 30, 2017, Borrower will have achieved at least two of the following milestones: 
 (a) at least one patient shall have been
enrolled in a Phase I clinical trial developing ZW25 for an indication targeting HER2 expressing tumors; and/or 
 (b) at least one patient
shall have been enrolled in a Phase I clinical trial developing ZW33 for an indication targeting HER2 expressing tumors; and/or 
 (c) enter
into a Collaboration Agreement with a publicly traded pharmaceutical or biotechnology company with a market capitalization greater than $10,000,000,000 that is reasonably expected to result in aggregate payments (including upfront fees, deferred
payments 

  
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and milestone payments) in excess of $100,000,000; provided that the Lenders hereby acknowledge that the Collaboration Agreement referred to in Schedule 6.02(a) satisfies this milestone.

 Section 8.17. Qualified IPO. Borrower shall complete a Qualified IPO on or before December 31, 2017.

Section 8.18. Minimum Liquidity. Borrower shall ensure that Borrower and its Subsidiaries shall have aggregate Liquidity in excess of
$3,000,000 as of the last day of each calendar month. Each measurement of Liquidity hereunder shall be in Dollars and shall be determined based on the Exchange Rate in effect on the last day of each calendar month to the extent Liquidity shall
include any amounts denominated in Canadian Dollars.
 Section 8.19. Post-Closing Covenant. Borrower shall comply with the
obligations set forth on Schedule 8.19 within the periods set forth therein.
 Section 8.20. Certain Payments. Upon the occurrence of
an Event of Default and at all times thereafter until the Obligations (other than the Warrant Obligations and contingent indemnification obligations for which no claim has been made) have been paid in full in cash, Borrower shall instruct each
counterparty to a Collaboration Agreement to direct all payments made pursuant to such Collaboration Agreement to a bank account which is subject to a control agreement in favor of the Lenders.

ARTICLE 9. 
 NEGATIVE
COVENANTS 
 Each Obligor covenants and agrees with the Lenders that, until the Commitments have expired or been terminated and all
Obligations (other than Warrant Obligations and inchoate indemnity obligations) have been paid in full indefeasibly in cash: 
 Section
9.01. Indebtedness. It will not, and will not permit any of its Subsidiaries to, create, incur, assume or permit to exist any Indebtedness, whether directly or indirectly, except: 

(a) the Obligations; 
 (b)
Indebtedness existing on the date hereof and set forth in Schedule 7.13A and Permitted Refinancings thereof; 
 (c) accounts payable to
trade creditors for goods and services and current operating liabilities (not the result of the borrowing of money) incurred in the Ordinary Course of Business in accordance with customary terms and paid within the specified time, unless contested
in good faith by appropriate proceedings and reserved for substantially in accordance with GAAP; 

  
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 (d) Indebtedness consisting of guarantees resulting from endorsement of negotiable instruments
for collection by it or any of its Subsidiaries in the Ordinary Course of Business; 
 (e) Indebtedness of an Obligor to the extent the same
is permitted as an Investment pursuant to Section 9.05; 
 (f) Guarantees by any Obligor of Indebtedness of any other Obligor; 

(g) Purchase money and capital lease financing; provided that (i) if secured, the collateral therefor consists solely of the assets
being financed, the products and proceeds thereof and books and records related thereto, and (ii) the aggregate outstanding principal amount of such Indebtedness does not exceed $1,000,000 (or the Equivalent Amount in other currencies) at any time;

 (h) Indebtedness in respect of any agreement providing for treasury, depositary, or cash management services, including in connection
with any automated clearing house transfers of funds or any similar transactions, securities settlements, foreign exchange contracts, assumed settlement, netting services, overdraft protections and other cash management, intercompany cash pooling
and similar arrangements, in each case in the Ordinary Course of Business; 
 (i) Indebtedness of the type permitted by Section 9.01(g) or
consisting of letters of credit, in each case assumed or otherwise acquired in connection with a Permitted Acquisition, so long as the aggregate principal amount of all such acquired Indebtedness does not exceed $2,500,000;

(j) unsecured obligations under bona fide time-based licenses of Borrower or any Subsidiary in the Ordinary Course of Business; 

(k) advance or deposits from customers or vendors received in the Ordinary Course of Business and held with a deposit bank insured by the
Federal Deposit Insurance Corporation; 
 (l) unsecured Indebtedness (other than for borrowed money) that may be deemed to exist pursuant to
any bona fide warranty or contractual service obligations or performance in the Ordinary Course of Business; 
 (m) unsecured Indebtedness
consisting of (i) the bona fide financing of insurance premiums or self-insurance obligations (which must be commercially reasonable and consistent with insurance practices generally) or (ii) take-or-pay obligations contained in supply or similar
agreements, in each case, in the Ordinary Course of Business; 
 (n) any indemnification, purchase price adjustment, earn-outs, milestones,
royalties, or similar obligations incurred in connection with Investments permitted by Section 9.03(d) (but subject to the same monetary limits as described in Section 9.03(d)); 

  
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 (o) other unsecured Indebtedness in an aggregate principal amount not to exceed $250,000 at any
time outstanding; 
 (p) unsecured workers’ compensation claims, payment obligations in connection with health, disability or other
types of social security benefits, unemployment or other insurance obligations, reclamation and statutory obligations, in each case incurred in the Ordinary Course of Business; 

(q) Subordinated Debt;
 (r)
Indebtedness under any credit cards in an aggregate amount not to exceed $250,000;
 (s) Indebtedness under any letters of credit in an
aggregate amount not to exceed $250,000, issued for the account of Borrower in connection with a real property lease of Borrower;
 (t)
Indebtedness under (l) or (m) of the definition of “Indebtedness” arising out of any Permitted License, Collaboration Agreement or Permitted Commercialization Agreement; or 

(u) Indebtedness approved in advance in writing by the Majority Lenders. 

Section 9.02. Liens. It will not, and will not permit any of its Subsidiaries to, create, incur, assume or permit to exist any Lien on
any Property now owned by it, except: 
 (a) Liens securing the Obligations; 

(b) any Lien on any Property of Borrower or any of its Subsidiaries existing on the date hereof and set forth in Schedule 7.13B;
provided that (i) no such Lien shall extend to any other Property of Borrower or any of its Subsidiaries and (ii) any such Lien shall secure only those obligations which it secures on the date hereof and extensions, renewals and replacements
thereof that do not increase the outstanding principal amount thereof; 
 (c) Liens securing Indebtedness permitted under Section 9.01(g);
provided that such Liens are restricted solely to the collateral described in Section 9.01(g); 
 (d) Liens imposed by law which were
incurred in the Ordinary Course of Business, including (but not limited to) carriers’, warehousemen’s, landlords’ and mechanics’ liens, liens relating to leasehold improvements and other similar liens arising in the Ordinary
Course of Business and which (i) do not in the aggregate materially detract from the value of the Property subject thereto or materially impair the use thereof in the operations of the business of such Person or (ii) are being contested in good
faith by appropriate proceedings, which proceedings have the effect of preventing the forfeiture or sale of the Property subject to such liens and for which adequate reserves have been made if required substantially in accordance with GAAP; 

  
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 (e) Liens, pledges or deposits made in the Ordinary Course of Business in connection with bids,
contracts, leases, appeal bonds, workers’ compensation, unemployment insurance or other similar social security legislation; 
 (f)
Liens securing Taxes, assessments and other governmental charges, the payment of which is not yet due or is being contested in good faith by appropriate proceedings promptly initiated and diligently conducted and for which such reserve or other
appropriate provisions, if any, as shall be required by GAAP shall have been made; 
 (g) servitudes, easements, rights of way, restrictions
and other similar encumbrances on real Property imposed by applicable Laws and encumbrances consisting of zoning or building restrictions, easements, licenses, restrictions on the use of Property or minor imperfections in title thereto which, in the
aggregate, are not material, and which do not in any case materially detract from the value of the Property subject thereto or interfere with the ordinary conduct of the business of any of the Obligors; 

(h) with respect to any real Property, (i) such defects or encroachments as might be revealed by an up-to-date survey of such real Property;
(ii) the reservations, limitations, provisos and conditions expressed in the original grant, deed or patent of such Property by the original owner of such real Property pursuant to applicable Laws; (iii) rights of expropriation, access or user or
any similar right conferred or reserved by or in applicable Laws, which, in the aggregate for (i), (ii) and (iii), are not material, and which do not in any case materially detract from the value of the Property subject thereto or interfere with the
Ordinary Course of Business of any of the Obligors; and (iv) leases or subleases granted in the Ordinary Course of Business; 
 (i) bankers
liens, rights of setoff and similar Liens incurred on deposits made in the Ordinary Course of Business; 
 (j) Liens consisting of deposits
of cash or treasury securities collateralizing and/or securing the obligations of Borrower under letters of credit issued for the account of Borrower in connection with a real Property lease; provided, that any such deposit shall not exceed
110% of the face amount of the applicable letter of credit; provided, further, that the aggregate face amount of such letters of credit shall not exceed $250,000 at any time; 

(k) non-exclusive licenses or sublicenses, leases or subleases of property (other than real Property or Intellectual Property) granted in the
Ordinary Course of Business or as approved by Borrower’s board of directors, if the leases, subleases, licenses and sublicenses do not prohibit an Obligor from granting Control Agent or any Lender a security interest in such property; 

(l) Liens in connection with transfers permitted under Section 9.09; 

(m) Liens the creation of which did not involve Borrower’s or its Subsidiaries’ consensual participation or involvement encumbering
assets not to exceed $50,000 in the aggregate in any fiscal year;

  
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 (n) cash collateral accounts serving as collateral in connection with Indebtedness permitted
under Section 9.01(i);
 (o) any judgment lien or lien arising from decrees or attachments not constituting an Event of Default; and 

(p) Permitted Licenses (including those granted in connection with Collaboration Agreements or Permitted Commercialization Agreements) solely
to the extent that such Permitted License would constitute a Lien; 
 provided that no Lien otherwise permitted under any of the foregoing Sections
9.02(b) through (o) shall apply to any Material Intellectual Property. 
 Section 9.03. Fundamental Changes and Acquisitions. It
will not, and will not permit any of its Subsidiaries to, (i) enter into any transaction of merger, amalgamation or consolidation, including without limitation, a reverse-triangular merger, or other similar transaction or series of related
transactions, (ii) liquidate, wind up or dissolve itself (or suffer any liquidation or dissolution), or (iii) make any Acquisition, except: 

(a) Investments permitted under Section 9.05(e); 

(b) the sale, lease, transfer or other disposition by any Guarantor of any or all of its Property (upon voluntary liquidation or otherwise) to
Borrower or any other Obligor; 
 (c) the sale, transfer or other disposition of the capital stock of any Guarantor to Borrower or any other
Obligor; 
 (d) Permitted Acquisitions for an aggregate consideration not to exceed: 

(i) prior to the occurrence of a Qualified IPO, the sum of (x) $5,000,000 in cash in any fiscal year plus (y) any consideration
in the form of equity contributions and/or equity issuances with a fair market value not to exceed $20,000,000 in the aggregate; and

(ii) following the occurrence of a Qualified IPO, the sum of (x) $5,000,000 in cash in any fiscal year plus (y) any
consideration in the form of equity contributions and/or equity issuances;
 (e) the merger, amalgamation or consolidation of any Obligor
with or into any other Obligor, provided that if Borrower is a party to such merger, amalgamation or consolidation, Borrower shall be the surviving entity;

(f) the Obligors may enter into Permitted Commercialization Arrangements;

(g) transactions set forth on Schedule 9.03, which shall include any earn-outs, milestones, royalties, purchase price adjustments and other
similar payments; and
 (h) Borrower may liquidate, wind up or dissolve Zymeworks Biochemistry Inc. (or Zymeworks Biochemistry Inc. may
suffer a liquidation or dissolution) so long as such liquidation, winding up or dissolution does not result in a Material Adverse Effect and the assets of Zymeworks Biochemistry Inc. are conveyed or transferred to Borrower or a Guarantor. 

  
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 Section 9.04. Lines of Business. It will not, and will not permit any of its Subsidiaries
to, engage to any material extent in any business other than the business engaged in on the date hereof by Borrower or any Subsidiary thereof, or a business reasonably related, incidental or complimentary thereto or reasonable extensions thereof.

 Section 9.05. Investments. It will not, and will not permit any of its Subsidiaries to, make, directly or indirectly, or permit to
remain outstanding any Investments except: 
 (a) Investments outstanding on the date hereof and identified in Schedule 9.05; 

(b) operating deposit accounts with banks; 

(c) extensions of credit in the nature of accounts receivable or notes receivable arising from the sales of goods or services in the Ordinary
Course of Business; 
 (d) Permitted Cash Equivalent Investments; 

(e) Investments by Borrower or a Subsidiary in any Subsidiary Guarantor or any Subsidiary acquired in a Permitted Acquisition; 

(f) Hedging Agreements entered into in the ordinary course of Borrower’s financial planning solely to hedge interest rate risks (and not
for speculative purposes) in respect of Permitted Indebtedness; 
 (g) Investments consisting of prepaid expenses, negotiable instruments
held for collection or deposit, security deposits with utilities, landlords and other like Persons, and deposits in connection with workers compensation and similar deposits, in each case made in the Ordinary Course of Business; 

(h) forgivable and non-forgivable employee loans, travel advances and guarantees in accordance with Borrower’s usual and customary
practices with respect thereto (if permitted by applicable law) which in the aggregate shall not exceed $250,000 outstanding at any time (or the Equivalent Amount in other currencies); 

(i) Investments received in connection with any Insolvency Proceedings in respect of any customers, suppliers or clients and in settlement of
delinquent obligations of, and other disputes with, customers, suppliers or clients; 
 (j) Investments as part of a Permitted
Commercialization Arrangement, provided that the value of the cash and tangible property components of such Investment shall not 

  
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exceed $2,500,000 in the aggregate at any time outstanding (or such higher threshold as consented to by Majority Lenders, such consent not to be unreasonably withheld) for all such Permitted
Commercialization Arrangements taken together;
 (k) other Investments in an aggregate principal amount not to exceed $250,000 at any time
outstanding; and
 (l) Investments permitted under Section 9.03. 

Section 9.06. Restricted Payments. It will not, and will not permit any of its Subsidiaries to, declare or make, or agree to pay or
make, directly or indirectly, any Restricted Payment, other than: 
 (a) dividends with respect to any capital stock of Borrower or any of
its Subsidiaries payable solely in additional shares of its common stock; 
 (b) any purchase, redemption, retirement, or other acquisition
by Borrower or any of its Subsidiaries of shares of its capital stock or other Equity Interests with the proceeds received from a substantially concurrent issue of new shares of its capital stock or other Equity Interests; 

(c) for payments pursuant to employee stock plans in an aggregate amount not to exceed the sum of $250,000 per fiscal year; 

(d) dividends paid by any Subsidiary Guarantor to any other Obligor; and 

(e) cashless exercises of options and warrants. 

Section 9.07. Payments of Indebtedness. It will not, and will not permit any of its Subsidiaries to, make any payments in respect of
any Material Indebtedness other than (i) payments of the Obligations, (ii) scheduled payments of other Indebtedness (other than Subordinated Debt except as provided for in any subordination agreement governing such Subordinated Debt) and (iii)
repayment of intercompany Indebtedness permitted in reliance upon Section 9.01(e). 
 Section 9.08. Change in Fiscal Year. Without at
least 30 days’ prior written notice, it will not, and will not permit any of its Subsidiaries to, change the last day of its fiscal year from that in effect on the date hereof, except to change the fiscal year of a Subsidiary acquired in
connection with an Acquisition to conform its fiscal year to that of Borrower. 
 Section 9.09. Sales of Assets, Etc. It will not,
and will not permit any of its Subsidiaries to, sell, lease, exclusively license (in terms of geography or field of use), as a licensor, transfer or otherwise dispose of any of its Property (including accounts receivable and capital stock of
Subsidiaries), or forgive, release or compromise any amount owed to Borrower or any of its Subsidiaries, in each case, in one transaction or series of transactions (any thereof, an “Asset Sale”), except: 

(a) transfers of cash in the Ordinary Course of Business for equivalent value; 

  
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 (b) sales or leases of inventory in the Ordinary Course of Business on ordinary business terms;

 (c) the forgiveness, release or compromise of any amount owed to Borrower or any of its Subsidiaries in the Ordinary Course of Business;

 (d) entering into, or becoming bound by, a Permitted License (including those granted in connection with Collaboration Agreements or
Permitted Commercialization Agreements) to the extent not otherwise prohibited by this Agreement; 
 (e) transfers of Property between
Obligors; 
 (f) a sale, lease, exclusive license, transfer or other disposition (including by way of abandonment or cancellation) of any
Property that is obsolete or worn out or no longer used or useful in connection with the business of Borrower and its Subsidiaries; 
 (g)
dispositions consisting of the sale, transfer, assignment or other disposition of unpaid and overdue accounts receivable in connection with the collection, compromise or settlement thereof in the Ordinary Course of Business and not as part of a
financing transaction; 
 (h) dispositions of property to the extent that such property is exchanged for credit against the purchase price
of similar replacement property; 
 (i) dispositions resulting from Casualty Events;

(j) the disposition of other property in the aggregate amount not to exceed $750,000 in any Fiscal Year; and 

(k) any transaction permitted under Section 9.02, 9.03, 9.05 and 9.21. 

Section 9.10. Transactions with Affiliates. It will not, and will not permit any of its Subsidiaries to, sell, lease, license or
otherwise transfer any assets to, or purchase, lease, license or otherwise acquire any assets from, or otherwise engage in any other transactions with, any of its Affiliates, except: 

(a) transactions between or among Borrower or any of its Subsidiaries; 

(b) any transaction permitted under Section 9.01, 9.05, 9.06 or 9.09; 

(c) customary compensation and indemnification of, and other employment arrangements with, directors, officers and employees of Borrower or
any Subsidiary in the Ordinary Course of Business; 

  
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 (d) transactions upon fair and reasonable terms that are no less favorable to Borrower or such
Subsidiary than would be obtained in a comparable arm’s-length transaction with a Person not an Affiliate; and 
 (e) the transactions
set forth on Schedule 9.10. 
 Section 9.11. Restrictive Agreements. It will not, and will not permit any of its Subsidiaries
to, directly or indirectly, enter into, incur or permit to exist any Restrictive Agreement other than (i) restrictions and conditions imposed by law or by the Loan Documents, (ii) Restrictive Agreements listed on Schedule 7.15; (iii)
customary restrictions and conditions contained in agreements relating to the sale of a Subsidiary or assets pending such sale, provided such restrictions and conditions apply only to the Subsidiary or assets that are to be sold and such sale
is permitted hereunder, (iv) any stockholder agreement, charter, by laws or other organizational documents of Borrower or any Subsidiary as in effect on the date hereof, or (v) limitations associated with Permitted Liens. 

Section 9.12. Organizational Documents, Material Agreements.

(a) It will not, and will not permit any of its Subsidiaries to, enter into any amendment to or modification of any Organizational Document
that would be reasonably expected to adversely affect the Lenders in any material respect without the prior written consent of the Lenders, which consent shall not be unreasonably withheld, conditioned or delayed. 

(b) It (i) will not, and will not permit any of its Subsidiaries to, enter into any material waiver, amendment or modification of any
Material Agreement (including, but not limited to, any amendments to provisions relating to pricing and term) that would be reasonably expected to adversely affect the Lenders in any material respect, (ii) will not, and will not permit any of
its Subsidiaries to, terminate any Material Agreement and (iii) will use commercially reasonable efforts, and will ensure that each of its Subsidiaries will use commercially reasonable efforts, to ensure that no Material Agreement is terminated
by any counterparty thereto prior to its stated date of expiration (unless such terminated Material Agreement is replaced with another agreement(s) that, viewed as a whole, is on the same or better terms for Borrower or such Subsidiary) without, in
each case, the prior written consent of the Majority Lenders, which consent shall not be unreasonably withheld, conditioned or delayed. 

(c) It will not, and will not permit any of its Subsidiaries to enter into any material waiver, amendment or modification of any Collaboration
Agreement (including, but not limited to, any amendments to provisions relating to pricing and term) except, the Collaboration Agreements may be waived, amended, modified or terminated, so long as (i) no Default or Event of Default shall have
occurred and is continuing, (ii) the result of such waiver amendment, modification or termination would not be reasonably expected to result in a Material Adverse Effect and (iii) the Borrower shall provide the Lenders with 30 days’
prior written notice of any such waiver, amendment, modification or termination; provided that only one of the Specified Collaboration Agreement may be terminated during the term of this Agreement unless otherwise consented to by the Majority
Lenders, which consent shall not be unreasonably withheld, conditioned or delayed. 

  
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 Section 9.13. Province of Quebec. No Obligor shall acquire or maintain any property
in the Province of Quebec that is valued in an aggregate amount in excess of $1,000,000 unless such Obligor provides the Lenders with a first priority perfected security interest pursuant to the laws thereunder. 

Section 9.14. Sales and Leasebacks. Except as permitted by Section 9.01(g), it will not, and will not permit any of its
Subsidiaries to, become liable, directly or indirectly, with respect to any lease, whether an operating lease or a Capital Lease Obligation, of any Property (whether real, personal, or mixed), whether now owned or hereafter acquired, (i) which
Borrower or such Subsidiary has sold or transferred or is to sell or transfer to any other Person and (ii) which Borrower or such Subsidiary intends to use for substantially the same purposes as Property which has been or is to be sold or
transferred. 
 Section 9.15. Hazardous Material. It will not, and will not permit any of its Subsidiaries to, use, generate,
manufacture, install, treat, release, store or dispose of any Hazardous Material, except in compliance with all applicable Environmental Laws or where the failure to comply would not reasonably be expected to result in a Material Adverse Change.

 Section 9.16. Accounting Changes. Without at least 30 days’ prior written notice to the Lenders, it will not, and will
not permit any of its Subsidiaries to, make any significant change in accounting treatment or reporting practices, except as required or permitted by GAAP. 

Section 9.17. Compliance with ERISA. No ERISA Affiliate shall cause or suffer to exist (a) any event that would result in the
imposition of a Lien with respect to any Title IV Plan or Multiemployer Plan or (b) any other ERISA Event that would, in the aggregate, have a Material Adverse Effect. Neither Borrower nor any Subsidiary thereof shall cause or suffer to
exist any event that could result in the imposition of a Lien with respect to any Benefit Plan that would have a Material Adverse Effect. 

Section 9.18. [Intentionally Omitted.] 

Section 9.19. Deposit Accounts. It will not, and will not permit any of its Subsidiaries to, establish or maintain any bank
account that is not a Deposit Account over which the Lenders have a first priority perfected security interest and will not, and will not permit any of its Subsidiaries to, deposit proceeds in a bank account that is not a Deposit Account over which
the Lenders have a first priority perfected security interest.
 Section 9.20. Pensions and Other Plans. It shall not, without
the prior written consent of the Lenders (which consent shall not be unreasonably withheld): 
 (a) establish or contribute to or otherwise
participate in any Employee Plan which would be a defined benefit plan or multi-employer plan once created; 

  
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 (b) acquire an interest in any Person if such Person sponsors, administers, participates in or
has any liability in excess of $500,000 in respect of any defined-benefit pension plan or multiemployer plan; or 
 (c) terminate or cause
to be terminated any defined-benefit pension plan if such defined-benefit plan would have a windup deficiency on termination. 
 Section
9.21. Outbound Licenses. It will not, and will ensure that its Subsidiaries will not, enter into or become bound by any outbound license or agreement unless such outbound license or agreement is a Permitted License. 

Section 9.22. Inbound Licenses. It will not, and will ensure that its Subsidiaries will not, enter into or become bound by any
inbound license or agreement (other than Permitted Licenses) unless (i) no Default or Event of Default has occurred and is continuing, (ii) such Obligor has provided written notice to the Lenders of the material terms of such license or
agreement with a description of its anticipated and projected impact on such Obligor’s business or financial condition, and (iii) such Obligor has taken such commercially reasonable actions as the Lenders may reasonably request to obtain
the consent of, or waiver by, any Person whose consent or waiver is necessary for the Lenders to be granted a valid and perfected security interest in such license or agreement allowing the Lenders to fully exercise their rights under any of the
Loan Documents in the event of a disposition or liquidation of the rights, assets or property that is the subject of such license or agreement; provided that prior to the occurrence of a Qualified IPO, the aggregate consideration paid for all
such inbound licenses pursuant to this Section 9.22 shall not exceed an amount equal to $7,500,000 per fiscal year. 
 ARTICLE 10.

 EVENTS OF DEFAULT 

Section 10.01. Events of Default. Each of the following events shall constitute an “Event of Default”: 

(a) Borrower shall fail to pay any principal of any Loan when and as the same shall become due and payable, whether at the due date thereof or
at a date fixed for prepayment thereof or otherwise; or 
 (b) any Obligor shall fail to pay any Obligation (other than an amount referred
to in Section 10.01(a)) when and as the same shall become due and payable, and such failure shall continue unremedied for a period of three (3) Business Days; or 

(c) any representation or warranty made by or on behalf of Borrower or any of its Subsidiaries in or in connection with this Agreement or any
other Loan Document or any amendment or modification hereof or thereof, or in any report, certificate, financial statement or other document furnished pursuant to or in connection with this Agreement or any other Loan Document or any amendment or
modification hereof or thereof, shall: (i) prove to have been incorrect when made or deemed made to the extent that such representation or warranty 

  
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contains any materiality or Material Adverse Effect qualifier; or (ii) prove to have been incorrect in any material respect when made or deemed made to the extent that such representation or
warranty does not otherwise contain any materiality or Material Adverse Effect qualifier; or 
 (d) any Obligor shall fail to observe or
perform any covenant, condition or agreement contained in Section 8.02, 8.03(a) (with respect to Borrower’s existence), 8.10, 8.11, 8.13, 8.14, 8.15, 8.18, 8.19 or 9; or 

(e) any Obligor shall fail to observe or perform any covenant, condition or agreement contained in this Agreement (other than those specified
in Section 10.01(a), (b) or (d)) or any other Loan Document, and, in the case of any failure that is capable of cure, if such failure shall continue unremedied for a period of 30 or more days; or 

(f) any Obligor shall fail to make any payment (whether of principal or interest and regardless of amount) in respect of any Material
Indebtedness, when and as the same shall become due and payable after giving effect to any applicable grace or cure period as originally provided by the terms of such Indebtedness; or 

(g) any material breach of, or “event of default” or similar event by any Obligor under, any Material Agreement shall occur, which
would give the counterparty to such Material Agreement the right to terminate such Material Agreement pursuant to the terms thereof (after giving effect to any applicable grace or cure period and provided that such material breach, “event of
default” or similar event is not being contested in good faith with reasonable basis by such Obligor), to the extent that the counterparty to such Material Agreement has not waived such material breach, “event of default” or similar
event; or 
 (h) (i) any material breach of, or “event of default” or similar event under, the documentation governing any
Material Indebtedness shall occur and such breach or “event of default” or similar event shall continue unremedied, uncured or unwaived after a period of five (5) Business Days after the expiration of any cure period thereunder, or
(ii) any event or condition occurs (A) that results in any Material Indebtedness becoming due prior to its scheduled maturity or (B) that enables or permits (with or without the giving of notice, the lapse of time or both) the holder
or holders of such Material Indebtedness or any trustee or agent on its or their behalf to cause such Material Indebtedness to become due, or to require the prepayment, repurchase, redemption or defeasance thereof, prior to its scheduled maturity;
provided that this Section 10.01(h) shall not apply to secured Indebtedness that becomes due as a result of the voluntary sale or transfer of the Property securing such Material Indebtedness; or 

(i) any Obligor: 

(i) becomes insolvent, or generally does not or becomes unable to pay its debts or meet its liabilities as the same become due,
or admits in writing its inability to pay its debts generally, or declares any general moratorium on its indebtedness, or proposes a compromise or arrangement or deed of company arrangement between it and any class of its creditors; 

  
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 (ii) commits an act of bankruptcy or makes an assignment of its Property for the
general benefit of its creditors or makes a proposal (or files a notice of its intention to do so); 
 (iii) institutes any
proceeding seeking to adjudicate it an insolvent, or seeking liquidation, dissolution, winding-up, reorganization, compromise, arrangement, adjustment, protection, moratorium, relief, stay of proceedings of creditors generally (or any class of
creditors), or composition of it or its debts or any other relief, under any federal, provincial or foreign Law now or hereafter in effect relating to bankruptcy, winding-up, insolvency, reorganization, receivership, plans of arrangement or relief
or protection of debtors or at common law or in equity, or files an answer admitting the material allegations of a petition filed against it in any such proceeding; 

(iv) applies for the appointment of, or the taking of possession by, a receiver, interim receiver, receiver/manager,
sequestrator, conservator, custodian, administrator, trustee, liquidator, voluntary administrator, receiver and manager or other similar official for it or any substantial part of its Property; or 

(v) takes any action, corporate or otherwise, to approve, effect, consent to or authorize any of the actions described in this
Section 10.01(i) or Section 10.01(j), or otherwise acts in furtherance thereof or fails to act in a timely and appropriate manner in defense thereof; or 

(j) any petition is filed, application made or other proceeding instituted against or in respect of Borrower or any Subsidiary: 

(i) seeking to adjudicate it as insolvent; 

(ii) seeking a receiving order against it; 

(iii) seeking liquidation, dissolution, winding-up, reorganization, compromise, arrangement, adjustment, protection,
moratorium, relief, stay of proceedings of creditors generally (or any class of creditors), deed of company arrangement or composition of it or its debts or any other relief under any federal, provincial or foreign law now or hereafter in effect
relating to bankruptcy, winding-up, insolvency, reorganization, receivership, plans of arrangement or relief or protection of debtors or at common law or in equity; or 

(iv) seeking the entry of an order for relief or the appointment of, or the taking of possession by, a receiver, interim
receiver, receiver/manager, sequestrator, conservator, custodian, administrator, trustee, liquidator, voluntary administrator, receiver and manager or other similar official for it or any substantial part of its Property, and such petition,
application or proceeding continues undismissed, or unstayed and in effect, for a period of 45 days after the institution thereof; 

  
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 provided that if an order, decree or judgment is granted or entered (whether or not entered or subject to
appeal) against Borrower or such Subsidiary thereunder in the interim, such grace period will cease to apply; provided, further, that if Borrower or such Subsidiary files an answer admitting the material allegations of a petition filed
against it in any such proceeding, such grace period will cease to apply; or 
 (k) any other event occurs which, under the laws of any
applicable jurisdiction, has an effect equivalent to any of the events referred to in either of Section 10.01(i) or (j); or 
 (l) one
or more judgments for the payment of money in an aggregate amount in excess of $250,000 (or the Equivalent Amount in other currencies) (excluding any amounts covered by insurance as to which the applicable carrier has accepted coverage) shall be
rendered against any Obligor or any combination thereof and the same shall remain undischarged for a period of 45 consecutive days during which execution shall not be effectively stayed, or any action shall be legally taken by a judgment
creditor to attach or levy upon any assets of any Obligor to enforce any such judgment; or 
 (m) an ERISA Event shall have occurred that,
in the opinion of the Lenders, when taken together with all other ERISA Events that have occurred, would reasonably be expected to result in liability of Borrower and its Subsidiaries in an aggregate amount exceeding (i) $250,000 in any year or
(ii) $750,000 for all periods until repayment of all Obligations (other than Warrant Obligations); or 
 (n) a Change of Control shall
have occurred; or 
 (o) any event or circumstance occurs that results in a Material Adverse Change; or 

(p) (i) any Lien created by any of the Security Documents shall at any time not constitute a valid and perfected Lien on the applicable
Collateral in favor of the Lenders, free and clear of all other Liens (other than Permitted Liens) except due to the action or inaction of the Lenders, (ii) except for expiration in accordance with its terms, the Security Documents or any
Guarantee of any of the Obligations shall for whatever reason cease to be in full force and effect, or (iii) any of the Security Documents or any Guarantee of any of the Obligations, or the enforceability thereof, shall be repudiated or
contested by any Obligor; or 
 (q) any injunction, whether temporary or permanent, shall be rendered against any Obligor that prevents the
Obligors from selling or manufacturing the Product or its commercially available successors, or any of their other material and commercially available products in the United States for more than 45 consecutive calendar days; or 

(r) (i) the FDA or any other Governmental Authority (A) issues a letter or other communication asserting that any Product lacks a
required Product Authorization, including in respect of CE marks or 510(k)s, or (B) initiates enforcement action against, or issues a warning letter with respect to, any Obligor, or any of their Products or the manufacturing facilities
therefor, that causes any Obligor or Subsidiary thereof to discontinue marketing or withdraw any of its material Products, or causes a delay in the manufacture of any of its material 

  
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Products, which discontinuance, withdrawal or delay would reasonably be expected to last for more than 60 days, (ii) there is a recall of any Product that has generated or is expected
to generate an aggregate amount of revenue equal to at least $500,000 over any consecutive twelve (12) month period, or (iii) any Obligor or Subsidiary thereof enters into a settlement agreement with the FDA or any other Governmental
Authority that results in aggregate liability as to any single or related series of transactions, incidents or conditions, in excess of $500,000; or 

(s) Any material Permit relating to any Product (including all Product Authorizations), or any of the Obligors’ or their
Subsidiaries’ material rights or interests thereunder, is terminated, adversely amended or otherwise determined to be ineffective in any manner adverse to any of the Products or Obligors or Subsidiaries. 

Section 10.02. Remedies. 

(a) Upon the occurrence of any Event of Default, then, and in every such event (other than an Event of Default described in
Section 10.01(i), (j) or (k)), and at any time thereafter during the continuance of such event, the Majority Lenders may, by notice to Borrower, take either or both of the following actions, at the same or different times: (i) terminate
the Commitments, and thereupon the Commitments shall terminate immediately, and (ii) declare the Loans then outstanding to be due and payable in whole (or in part, in which case any principal not so declared to be due and payable may thereafter
be declared to be due and payable), and thereupon the principal of the Loans so declared to be due and payable, together with accrued interest thereon and all fees and other Obligations, shall become due and payable immediately (in the case of the
Loans, at the Redemption Price therefor), without presentment, demand, protest or other notice of any kind, all of which are hereby waived by each Obligor. 

(b) Upon the occurrence of any Event of Default described in Section 10.01(i), (j) or (k), the Commitments shall automatically terminate
and the principal amount of the Loans then outstanding, together with accrued interest thereon and all fees and other Obligations, shall automatically become due and payable immediately (in the case of the Loans, at the Redemption Price therefor),
without presentment, demand, protest or other notice of any kind, all of which are hereby waived by each Obligor. 
 (c) If any Lender
collects any money or property pursuant to this Article 10, they shall pay out the money or property in the order set forth in Section 4.01(b)(ii). 

Section 10.03. Prepayment Premium and Redemption Price. For the avoidance of doubt, the Prepayment Premium (as a component of the
Redemption Price) shall be due and payable at any time the Loans become due and payable prior to the Stated Maturity Date for any reason, whether due to acceleration pursuant to the terms of this Agreement (in which case it shall be due immediately,
upon the giving of notice to Borrower in accordance with Section 10.02(a), or automatically, in accordance with Section 10.02(b)), by operation of law or otherwise (including, without limitation, on account of any bankruptcy
filing). In view of the impracticability and extreme difficulty of ascertaining the actual amount of damages to the 

  
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Lenders or profits lost by the Lenders as a result of such acceleration, and by mutual agreement of the parties as to a reasonable estimation and calculation of the lost profits or damages of the
Lenders, the Prepayment Premium shall be due and payable upon such date. Each Obligor hereby waives any defense to payment, whether such defense may be based in public policy, ambiguity, or otherwise. The Obligors and the Lenders acknowledge and
agree that any Prepayment Premium due and payable in accordance with this Agreement shall not constitute unmatured interest, whether under Section 5.02(b)(3) of the Bankruptcy Code or otherwise. Each Obligor further acknowledges and
agrees, and waives any argument to the contrary, that payment of such amount does not constitute a penalty or an otherwise unenforceable or invalid obligation. 

ARTICLE 11. 
 GUARANTEE

 Section 11.01. The Guarantee. The Guarantors hereby jointly and severally guarantee to each Lender, and its successors
and assigns, the prompt payment in full when due (whether at stated maturity, by acceleration or otherwise) of the principal of and interest on the Loans, all fees and other amounts and Obligations from time to time owing to any Lender by Borrower
under this Agreement or under any other Loan Document and by any other Obligor under any of the Loan Documents, in each case strictly in accordance with the terms thereof (such obligations being herein collectively called the “Guaranteed
Obligations”). The Guarantors hereby further jointly and severally agree that if Borrower shall fail to pay in full when due (whether at stated maturity, by acceleration or otherwise) any of the Guaranteed Obligations, the Guarantors
will promptly pay the same, without any demand or notice whatsoever, and that in the case of any extension of time of payment or renewal of any of the Guaranteed Obligations, the same will be promptly paid in full when due (whether at extended
maturity, by acceleration or otherwise) in accordance with the terms of such extension or renewal. 
 Section 11.02. Obligations
Unconditional. The obligations of the Guarantors under Section 11.01 are absolute and unconditional, joint and several, irrespective of the value, genuineness, validity, regularity or enforceability of the obligations of Borrower under
this Agreement or any other agreement or instrument referred to herein, or any substitution, release or exchange of any other guarantee of or security for any of the Guaranteed Obligations, and, to the fullest extent permitted by applicable law,
irrespective of any other circumstance whatsoever that might otherwise constitute a legal or equitable discharge or defense of a surety or Guarantor, it being the intent of this Section 11.02 that the obligations of the Guarantors hereunder
shall be absolute and unconditional, joint and several, under any and all circumstances. Without limiting the generality of the foregoing, it is agreed that the occurrence of any one or more of the following shall not alter or impair the liability
of the Guarantors hereunder, which shall remain absolute and unconditional as described above: 
 (a) at any time or from time to time,
without notice to the Guarantors, the time for any performance of or compliance with any of the Guaranteed Obligations shall be extended, or such performance or compliance shall be waived; 

  
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 (b) any of the acts mentioned in any of the provisions of this Agreement or any other agreement
or instrument referred to herein shall be done or omitted; 
 (c) the maturity of any of the Guaranteed Obligations shall be accelerated, or
any of the Guaranteed Obligations shall be modified, supplemented or amended in any respect, or any right under this Agreement or any other agreement or instrument referred to herein shall be waived or any other guarantee of any of the Guaranteed
Obligations or any security therefor shall be released or exchanged in whole or in part or otherwise dealt with; or 
 (d) any lien or
security interest granted to, or in favor of, any Lender as security for any of the Guaranteed Obligations shall fail to be perfected. 

The Guarantors hereby expressly waive diligence, presentment, demand of payment, protest and all notices whatsoever, and any requirement that
any Lender exhaust any right, power or remedy or proceed against Borrower under this Agreement or any other agreement or instrument referred to herein, or against any other Person under any other guarantee of, or security for, any of the Guaranteed
Obligations. 
 Section 11.03. Reinstatement. The obligations of the Guarantors under this Section 11 shall be
automatically reinstated if and to the extent that for any reason any payment by or on behalf of Borrower in respect of the Guaranteed Obligations is rescinded or must be otherwise restored by any holder of any of the Guaranteed Obligations, whether
as a result of any proceedings in bankruptcy or reorganization or otherwise, and the Guarantors jointly and severally agree that they will indemnify each Lender on demand for all reasonable costs and expenses (including fees of counsel) incurred by
such Persons in connection with such rescission or restoration, including any such costs and expenses incurred in defending against any claim alleging that such payment constituted a preference, fraudulent transfer or similar payment under any
bankruptcy, insolvency or similar law. 
 Section 11.04. Subrogation. The Guarantors hereby jointly and severally agree that,
until the payment and satisfaction in full of all Guaranteed Obligations (other than Warrant Obligations) and the expiration and termination of the Commitments, they shall not exercise any right or remedy arising by reason of any performance by them
of their guarantee in Section 11.01, whether by subrogation or otherwise, against Borrower or any other guarantor of any of the Guaranteed Obligations or any security for any of the Guaranteed Obligations. 

Section 11.05. Remedies. The Guarantors jointly and severally agree that, as between the Guarantors, on one hand, and the Lenders,
on the other hand, the obligations of Borrower under this Agreement and under the other Loan Documents may be declared to be forthwith due and payable as provided in Section 10 (and shall be deemed to have become automatically due and payable
in the circumstances provided in Section 10) for purposes of Section 11.01 notwithstanding any stay, injunction or other prohibition preventing such declaration (or such obligations from becoming automatically due and payable) as against
Borrower and that, in the event of such declaration (or such obligations being deemed to have become automatically due and payable), such obligations (whether or not due and payable by Borrower) shall forthwith become due and payable by the
Guarantors for purposes of Section 11.01. 

  
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 Section 11.06. Instrument for the Payment of Money. Each Guarantor hereby
acknowledges that the guarantee in this Section 11 constitutes an instrument for the payment of money, and consents and agrees that each Lender, at its sole option, in the event of a dispute by such Guarantor in the payment of any moneys due
hereunder, shall have the right to proceed by motion for summary judgment in lieu of complaint pursuant to N.Y. Civ. Prac. L&R § 3213. 

Section 11.07. Continuing Guarantee. The guarantee in this Section 11 is a continuing guarantee, and shall apply to all
Guaranteed Obligations (other than Warrant Obligations) whenever arising. 
 Section 11.08. Rights of Contribution. The
Guarantors hereby agree, as between themselves, that if any Guarantor shall become an Excess Funding Guarantor (as defined below) by reason of the payment by such Guarantor of any Guaranteed Obligations, each other Guarantor shall, on demand of such
Excess Funding Guarantor (but subject to the next sentence), pay to such Excess Funding Guarantor an amount equal to such Guarantor’s Pro Rata Share (as defined below and determined, for this purpose, without reference to the properties, debts
and liabilities of such Excess Funding Guarantor) of the Excess Payment (as defined below) in respect of such Guaranteed Obligations. The payment obligation of a Guarantor to any Excess Funding Guarantor under this Section 11.08 shall be
subordinate and subject in right of payment to the prior payment in full of the obligations of such Guarantor under the other provisions of this Section 11 and such Excess Funding Guarantor shall not exercise any right or remedy with respect to
such excess until payment and satisfaction in full of all of such obligations. 
 For purposes of this Section 11.08,
(i) “Excess Funding Guarantor” means, in respect of any Guaranteed Obligations, a Guarantor that has paid an amount in excess of its Pro Rata Share of such Guaranteed Obligations, (ii) “Excess Payment”
means, in respect of any Guaranteed Obligations, the amount paid by an Excess Funding Guarantor in excess of its Pro Rata Share of such Guaranteed Obligations and (iii) “Pro Rata Share” means, for any Guarantor, the ratio
(expressed as a percentage) of (x) the amount by which the aggregate present fair saleable value of all properties of such Guarantor (excluding any shares of stock of any other Guarantor) exceeds the amount of all the debts and liabilities of
such Guarantor (including contingent, subordinated, unmatured and unliquidated liabilities, but excluding the obligations of such Guarantor hereunder and any obligations of any other Guarantor that have been Guaranteed by such Guarantor) to
(y) the amount by which the aggregate fair saleable value of all properties of all of the Guarantors exceeds the amount of all the debts and liabilities (including contingent, subordinated, unmatured and unliquidated liabilities, but excluding
the obligations of Borrower and the Guarantors hereunder and under the other Loan Documents) of all of the Guarantors, determined (A) with respect to any Guarantor that is a party hereto on the Closing Date, as of such date, and (B) with
respect to any other Guarantor, as of the date such Guarantor becomes a Guarantor hereunder. 
 Section 11.09. General Limitation on
Guarantee Obligations. In any action or proceeding involving any provincial, territorial or state corporate law, or any state or federal bankruptcy, insolvency, reorganization or other law affecting the rights of creditors generally, if the
obligations of any Guarantor under Section 11.01 would otherwise, taking into account 

  
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the provisions of Section 11.08, be held or determined to be void, invalid or unenforceable, or subordinated to the claims of any other creditors, on account of the amount of its liability under
Section 11.01, then, notwithstanding any other provision hereof to the contrary, the amount of such liability shall, without any further action by such Guarantor, the Lenders or any other Person, be automatically limited and reduced to the
highest amount that is valid and enforceable and not subordinated to the claims of other creditors as determined in such action or proceeding. 

ARTICLE 12. 
 ADDITIONAL
AGREEMENTS 
 Section 12.01. Board Observer Rights. Upon the occurrence of an Event of Default and at all times thereafter
until the Obligations (other than the Warrant Obligations and contingent indemnification obligations for which no claim has been made) have been paid in full in cash, Borrower and its Subsidiaries shall permit one individual selected by the Lenders
to represent all of the Lenders (the “Observer”) to attend and observe (but not vote) at all meetings of Borrower’s (or any Subsidiary’s, as applicable) board of directors or similar governing body (the
“Board”) or any committee thereof (each a “Committee”), whether in person, by telephone or otherwise as requested by the Observer. Borrower and such Subsidiaries shall notify the Observer in writing at the same time
as furnished to members of the applicable Board or Committee of (i) the date and time for each general or special meeting of any such Board or Committee and (ii) the adoption of any resolutions or actions by any such Board or any such
Committee by written consent (describing, in reasonable detail, the nature and substance of such action). Borrower and each of its Subsidiaries shall concurrently deliver to the Observer all notices and any materials delivered to the official
members of such Board or Committee in connection with a meeting or action to be taken by written consent, including a draft of any material resolutions or actions proposed to be adopted by written consent. The Observer shall be free prior to such
meeting or adoption by written consent to contact members of any applicable Board or Committee and discuss the pending actions to be taken. Notwithstanding the foregoing, the Observer shall not be entitled to receive materials relating to, or be in
attendance for any discussions relating to topics which (x) are subject to attorney client privilege, or (y) present a conflict of interest for the Observer. With respect to the Observer’s attendance at any such board meeting, or
obtaining any materials of such meetings, the Observer shall execute a confidentiality agreement, in form and substance reasonably satisfactory to Borrower, and agree to be bound by the same duties of confidentiality as if the Observer were a member
of the Board or Committee of Borrower or the applicable Guarantor. 
 ARTICLE 13. 

MISCELLANEOUS 
 Section
13.01. No Waiver. No failure on the part of the Lenders to exercise and no delay in exercising, and no course of dealing with respect to, any right, power or privilege under any Loan Document shall operate as a waiver thereof, nor shall any
single or partial exercise of any 

  
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right, power or privilege under any Loan Document preclude any other or further exercise thereof or the exercise of any other right, power or privilege. The remedies provided herein are
cumulative and not exclusive of any remedies provided by law. 
 Section 13.02. Notices. All notices, requests, instructions,
directions and other communications provided for herein (including any modifications of, or waivers, requests or consents under, this Agreement) shall be given or made in writing (including by telecopy or electronic mail) delivered, if to Borrower,
another Obligor or the Lenders, to its address specified on the signature pages hereto or its Guarantee Assumption Agreement, as the case may be, or at such other address as shall be designated by such party in a notice to the other parties. Except
as otherwise provided in this Agreement, all such communications shall be deemed to have been duly given upon receipt of a legible copy thereof, in each case given or addressed as aforesaid. All such communications provided for herein by telecopy or
electronic mail shall be confirmed in writing promptly after the delivery of such communication (it being understood that non-receipt of written confirmation of such communication shall not invalidate such communication). 

Section 13.03. Expenses, Indemnification, Etc. 

(a) Expenses. Borrower agrees to pay or reimburse (i) the Lenders for all of their reasonable and documented out of pocket costs
and expenses (including the reasonable fees and expenses of Chapman and Cutler LLP and Miller Thomson LLP, special counsel to the Lenders, and any sales, goods and services or other similar Taxes applicable thereto, and printing, reproduction,
document delivery, communication and travel costs) in connection with (x) the negotiation, preparation, execution and delivery of this Agreement and the other Loan Documents and the making of the Loans (exclusive of post-closing costs),
(y) post-closing costs and (z) the negotiation or preparation of any modification, supplement or waiver of any of the terms of this Agreement or any of the other Loan Documents (whether or not consummated) and (ii) the Lenders for all
of their documented out of pocket costs and expenses (including the fees and expenses of legal counsel) in connection with any enforcement or collection proceedings resulting from the occurrence of an Event of Default; provided, however,
that, so long as the first Borrowing is made, then such fees shall be credited from the fees paid by Borrower pursuant to the Proposal Letter.

(b) Indemnification. Borrower hereby indemnifies the Lenders, their Affiliates, and their respective directors, officers,
employees, attorneys, agents, advisors and controlling parties (each, an “Indemnified Party”) from and against, and agrees to hold them harmless against, any and all Claims and Losses of any kind (including reasonable fees and
disbursements of counsel), joint or several, that may be incurred by or asserted or awarded against any Indemnified Party, in each case arising out of or in connection with or relating to any investigation, litigation or proceeding or the
preparation of any defense with respect thereto arising out of or in connection with or relating to this Agreement or any of the other Loan Documents or the transactions contemplated hereby or thereby or any use made or proposed to be made with the
proceeds of the Loans, whether or not such investigation, litigation or proceeding is brought by Borrower, any of its shareholders or creditors, an Indemnified Party or any other Person, or an Indemnified Party is otherwise a party thereto,

  
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and whether or not any of the conditions precedent set forth in Section 6 are satisfied or the other transactions contemplated by this Agreement are consummated, except to the extent such
Claim or Loss is found in a final, non-appealable judgment by a court of competent jurisdiction to have resulted from such Indemnified Party’s gross negligence or willful misconduct. No Obligor shall assert any claim against any
Indemnified Party, on any theory of liability, for consequential, indirect, special or punitive damages arising out of or otherwise relating to this Agreement or any of the other Loan Documents or any of the transactions contemplated hereby or
thereby or the actual or proposed use of the proceeds of the Loans. Borrower, Borrower’s Subsidiaries and all Affiliates of the foregoing and their respective directors, officers, employees, attorneys, agents, advisors and controlling
parties are each sometimes referred to in this Agreement as a “Borrower Party.” No Lender shall assert any claim against any Borrower Party, on any theory of liability, for consequential, indirect, special or punitive damages
arising out of or otherwise relating to this Agreement or any of the other Loan Documents or any of the transactions contemplated hereby or thereby or the actual or proposed use of the proceeds of the Loans. This Section shall not apply to Taxes
other than Taxes relating to a non-Tax Claim or Loss governed by this Section 13.03(b). 
 Section 13.04. Amendments,
Etc. Except as otherwise expressly provided in this Agreement, any provision of this Agreement or any other Loan Document (except for the Warrant Certificates, which may be amended, modified, waived or supplemented in accordance with the
terms of thereof) may be amended, modified, waived or supplemented only by an instrument in writing signed by Borrower and the Majority Lenders; provided that any such amendment, modification, waiver or supplement that is disproportionally
adverse to any Lender as compared to the other Lenders or subjects any Lender to any additional obligation, shall not be effective without the consent of such affected Lender; provided, further, that the consent of all the Lenders shall be
required to: 
 (a) amend, modify, discharge, terminate or waive any of the terms of this Agreement if such amendment, modification,
discharge, termination or waiver would increase the amount of the Loans, reduce the fees payable hereunder, reduce interest rates or other amounts payable with respect to the Loans, extend any date fixed for payment of principal, interest or other
amounts payable relating to the Loans or extend the repayment dates of the Loans; 
 (b) increase or extend the term of the Commitments;

 (c) amend the provisions of Section 6; 

(d) amend, modify, discharge, terminate or waive any Security Document if the effect is to release a material part of the Collateral subject
thereto otherwise than pursuant to the terms hereof or thereof; 
 (e) release any Guarantor under this Agreement; or 

(f) amend the definition of “Majority Lender” or modify in any other manner the number or percentage of the Lenders required to make
any determinations or waive any rights hereunder or to modify any provision of this Section 13.04. 

  
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 Section 13.05. Successors and Assigns. 

(a) General. This Agreement shall be binding upon and shall inure to the benefit of the parties hereto and their respective
successors and assigns; provided that no Obligor may assign or transfer its rights or obligations hereunder or under any other Loan Document to which it is a party without the consent of the Lenders. So long as no Event of Default has
occurred and is continuing, no Lender may assign, in whole or in part, its rights or obligations hereunder to any direct competitor of Borrower. 

(b) Amendments to Loan Documents; Majority Lender Vote. Each of the Lenders and the Obligors agrees to enter into such amendments
to the Loan Documents, and such additional Security Documents and other instruments and agreements, in each case in form and substance reasonably acceptable to the Lenders and the Obligors, as shall reasonably be necessary to implement and give
effect to any assignment made by any Lender (or any direct or indirect assignee thereof) from time to time under this Section 13.05. 

(c) Register. In the event of any assignment pursuant to this Section 13.05, each Lender, acting solely for this purpose as
an agent of Borrower, shall maintain at one of its offices a register for the recordation of the name and address of any assignee of any Lender and the Commitment and outstanding principal amount (and stated interest) of the Loans owing thereto (the
“Register”). The entries in the Register shall be conclusive, absent manifest error, and Borrower shall treat each Person whose name is recorded in the Register pursuant to the terms hereof as the “Lender” hereunder
for all purposes of this Agreement, notwithstanding notice to the contrary. The Register shall be available for inspection by Borrower, at any reasonable time and from time to time upon reasonable prior notice. Notwithstanding anything herein to the
contrary, any assignment of the Loans shall be effective only upon appropriate entries with respect thereto being made in the Register. 

(d) Participations and Other Exposure Transfers. Any of Lenders may at any time, without the consent of, or notice to, Borrower,
sell participations or to otherwise transfer its Loan Exposure to any Person (other than a natural person or Borrower or any of Borrower’s Affiliates or Subsidiaries) (each, a “Participant”) in all or a portion of such
Lender’s rights and/or obligations under this Agreement (including all or a portion of the Commitment and/or the Loans owing to it); provided that (i) such Lender’s obligations under this Agreement shall remain unchanged, (ii)
such Lender shall remain solely responsible to the other parties hereto for the performance of such obligations and (iii) Borrower shall continue to deal solely and directly with Lenders in connection therewith. 

(e) Any agreement or instrument pursuant to which a Lender sells such a participation shall provide that such Lender shall retain the sole
right to enforce this Agreement and to approve any amendment, modification or waiver of any provision of this Agreement; provided that such agreement or instrument may provide that such Lender will not, without the

  
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consent of the Participant, agree to any amendment, modification or waiver that would (i) increase or extend the term of such Lender’s Commitment, (ii) extend the date fixed for
the payment of principal of or interest on the Loans or any portion of any fee hereunder payable to the Participant, (iii) reduce the amount of any such payment of principal, or (iv) reduce the rate at which interest is payable thereon to
a level below the rate at which the Participant is entitled to receive such interest. Borrower agrees that each Participant shall be entitled to the benefits of Section 5.03 (subject to the requirements and limitations therein, including the
requirements under Section 5.03(e) (it being understood that the documentation required under Section 5.03(e) shall be delivered to Borrower and the participating Lender)) to the same extent as if it were a Lender and had acquired its
interest by assignment pursuant to Section 13.05(a), provided that such Participant (A) agrees to be subject to the provisions of Section 5.03(g) as if it were an assignee under Section 13.05(a); and (B) shall not be
entitled to receive any greater payment under Section 5.03, with respect to any participation, than its participating Lender would have been entitled to receive, unless the sale of the participation to such Participant is made with
Borrower’s prior written consent. To the extent permitted by law, each Participant also shall be entitled to the benefits of Section 4.04(a) as though it were a Lender. 

(f) Limitations on Rights of Participants. A Participant shall not be entitled to receive any greater payment under
Section 5.01 or 5.03 than a Lender would have been entitled to receive with respect to the participation sold to such Participant, unless the sale of the participation to such Participant is made with Borrower’s prior written consent. 

(g) Certain Pledges. Subject to Section 13.05(d), the Lenders may at any time pledge or assign a security interest in all or
any portion of its rights under this Agreement and any other Loan Document to secure obligations of the Lenders, including any pledge or assignment to secure obligations to a Federal Reserve Bank or another central bank; provided that no such
pledge or assignment shall release the Lenders from any of their obligations hereunder or substitute any such pledgee or assignee for the Lenders as a party hereto. 

Section 13.06. Survival. The obligations of Borrower under Sections 5.01, 5.02, 5.03, 13.03, 13.05, 13.09, 13.10, 13.11,
13.12, 13.13, 13.14 and Section 11 (solely to the extent guaranteeing any of the obligations under the foregoing Sections) shall survive the repayment of the Obligations and the termination of the Commitment and, in the case of any
Lender’s assignment of any interest in the Commitment or the Loans hereunder, shall survive, in the case of any event or circumstance that occurred prior to the effective date of such assignment, the making of such assignment, notwithstanding
that such Lenders may cease to be a “Lender” hereunder. In addition, each representation and warranty made, or deemed to be made by a notice of the Loans, herein or pursuant hereto shall survive the making of such representation and
warranty. 
 Section 13.07. Captions. The table of contents and captions and section headings appearing herein are included
solely for convenience of reference and are not intended to affect the interpretation of any provision of this Agreement. 

  
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 Section 13.08. Counterparts. This Agreement may be executed in any number of
counterparts, all of which taken together shall constitute one and the same instrument and any of the parties hereto may execute this Agreement by signing any such counterpart. 

Section 13.09. Governing Law. This Agreement and the other Loan Documents, the rights and obligations of the parties hereunder and
thereunder, and all claims, disputes and matters arising hereunder or thereunder or related hereto or thereto, shall be governed by, and construed in accordance with, the laws of the State of New York applicable to contracts executed in and to be
performed entirely within that state, without reference to conflicts of laws provisions. 
 Section 13.10. Jurisdiction, Service of
Process and Venue. 
 (a) Submission to Jurisdiction. Each Obligor agrees that any suit, action or proceeding with respect
to this Agreement or any other Loan Document to which it is a party or any judgment entered by any court in respect thereof may be brought in the Supreme Court of the State of New York sitting in New York County or in the United States District
Court for the Southern District of New York and irrevocably submits to the non-exclusive jurisdiction of each such court for the purpose of any such suit, action, proceeding or judgment. 

(b) Alternative Process. Nothing herein shall in any way be deemed to limit the ability of the Lenders to serve any such process
or summonses in any other manner permitted by applicable law. 
 (c) Waiver of Venue, Etc. Each Obligor irrevocably waives to
the fullest extent permitted by law any objection that it may now or hereafter have to the laying of the venue of any suit, action or proceeding arising out of or relating to this Agreement or any other Loan Document and hereby further irrevocably
waives to the fullest extent permitted by law any claim that any such suit, action or proceeding brought in any such court has been brought in an inconvenient forum. A final judgment (in respect of which time for all appeals has elapsed) in any
such suit, action or proceeding shall be conclusive and may be enforced in any court to the jurisdiction of which such Obligor is or may be subject, by suit upon judgment. 

Section 13.11. Waiver of Jury Trial. Each Obligor and each Lender hereby irrevocably waives, to the fullest extent permitted by
applicable law, any and all right to trial by jury in any suit, action or proceeding arising out of or relating to this Agreement, the other Loan Documents or the transactions contemplated hereby or thereby. 

Section 13.12. Waiver of Immunity. To the extent that any Obligor may be or become entitled to claim for itself or its Property or
revenues any immunity on the ground of sovereignty or the like from suit, court jurisdiction, attachment prior to judgment, attachment in aid of execution of a judgment or execution of a judgment, and to the extent that in any such jurisdiction
there may be attributed such an immunity (whether or not claimed), such Obligor hereby irrevocably agrees not to claim and hereby irrevocably waives such immunity with respect to its obligations under this Agreement and the other Loan Documents.

  
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 Section 13.13. Entire Agreement. This Agreement and the other Loan Documents
constitute the entire agreement among the parties with respect to the subject matter hereof and thereof and supersede any and all previous agreements and understandings, oral or written, relating to the subject matter hereof. Each Obligor
acknowledges, represents and warrants that in deciding to enter into this Agreement and the other Loan Documents or in taking or not taking any action hereunder or thereunder, it has not relied, and will not rely, on any statement, representation,
warranty, covenant, Agreement or understanding, whether written or oral, of or with the Lenders other than those expressly set forth in this Agreement and the other Loan Documents. 

Section 13.14. Severability. If any provision hereof is found by a court to be invalid or unenforceable, to the fullest extent
permitted by applicable law the parties agree that such invalidity or unenforceability shall not impair the validity or enforceability of any other provision hereof. 

Section 13.15. No Fiduciary Relationship. Borrower acknowledges that the Lenders have no fiduciary relationship with, or fiduciary
duty to, Borrower arising out of or in connection with this Agreement or the other Loan Documents, and the relationship between the Lenders and Borrower is solely that of creditor and debtor. This Agreement and the other Loan Documents do not create
a joint venture among the parties. 
 Section 13.16. USA PATRIOT Act. The Lenders hereby notify Borrower that pursuant to the
requirements of the USA PATRIOT Act (Title III of Pub. L. 107-56 (signed into law October 26, 2001)) (the “Act”), they are required to obtain, verify and record information that identifies Borrower, which information includes
the name and address of Borrower and other information that will allow such Lender to identify Borrower in accordance with the Act. 

Section 13.17. Conversion of Currencies. If, for the purpose of obtaining a judgment in any court, it is necessary to convert a
sum owing hereunder or under any other Loan Document in one currency into another currency, each party hereto agrees, to the fullest extent that it may effectively do so, that the rate of exchange used shall be the Exchange Rate on the Business Day
immediately preceding the day on which final judgment is given. The obligations of each Obligor in respect of any sum due to any party hereto or any holder of any Obligation owing hereunder or any other Loan Document (such party or holder being
the “Applicable Creditor”) shall, notwithstanding any judgment in a currency (the “Judgment Currency”) other than the currency in which such sum is stated to be due hereunder (the “Agreement
Currency”), be discharged only to the extent that, on the Business Day following receipt by the Applicable Creditor of any sum adjudged to be so due in the Judgment Currency, the Applicable Creditor may in accordance with normal banking
procedures in New York, NY purchase the Agreement Currency with the Judgment Currency; provided that, if the amount of the Agreement Currency so purchased is less than the sum originally due to the Applicable Creditor in the Agreement
Currency, the applicable Borrower agrees, as a separate obligation and notwithstanding any such judgment, to indemnify the Applicable Creditor against such loss. The obligations of each Obligor under this Section shall survive the termination
of this Agreement, the other Loan Documents and the payment of all other amounts owing hereunder or thereunder, as applicable. 

  
 -88- 

 Section 13.18. Treatment of Certain Information; Confidentiality. The Lenders agree
to maintain the confidentiality of the Information (as defined below), except that Information may be disclosed to (a) its Affiliates and to its and its Affiliates’ respective partners, directors, officers, employees, agents, trustees,
advisors and representatives (collectively, “Representatives”) (it being understood that the Persons to whom such disclosure is made will be informed of the confidential nature of such information and instructed to keep such
Information confidential), (b) to the extent requested by any regulatory authority purporting to have jurisdiction over it (including any self-regulatory authority, such as FINRA or the National Association of Insurance Commissioners) or any
exchange, (c) to the extent required by the applicable Laws or by any subpoena or similar legal process, (d) to any other party hereto, (e) in connection with the exercise of any remedies hereunder or under any other Loan Document or
any action or proceeding relating to this Agreement or any other Loan Document or the enforcement of rights hereunder or thereunder, (f) subject to an agreement containing provisions substantially the same as those in this Section, to
(i) any assignee of or Participant in, or any prospective assignee of or Participant in, any of its rights or obligations under this Agreement or (ii) any actual or prospective counterparty (or its advisors) to any swap or derivative
transaction relating to Borrower or any Guarantor and its obligation, (g) with the consent of Borrower or (h) to the extent such Information (x) becomes publicly available other than as a result of a breach of this Section or
(y) becomes available to the Lender, or any of its respective Representatives on a nonconfidential basis from a source other than Borrower. For purposes of this Section, “Information” means all information received from
Borrower or its Subsidiary relating to Borrower or its Subsidiary or any of their respective businesses, except that the term “Information” shall not include, and the Lenders shall not be subject to any confidentiality obligation with
respect to any information that (i) is or becomes available to the Lender or any of its Representatives on a nonconfidential basis prior to disclosure by Borrower or its Subsidiary, (ii) becomes available to a Lender or any of its
Representatives after disclosure by Borrower from a source that, to the knowledge of such Lender, is not subject to a confidentiality obligation to Borrower (iii) is or becomes publicly available other than as a result of a breach by such
Lender, or (iv) is developed by a Lender or any of its Representatives. Any Person required to maintain the confidentiality of Information as provided in this Section shall be considered to have complied with its obligation to do so if such
Person has exercised the same degree of care to maintain the confidentiality of such Information as such Person would accord to its own confidential information. 

In the case of any Lender that has elected to receive material non-public information pursuant to Section 8.01, such Lender acknowledges
that (a) the Information may include material non-public information concerning Borrower or its Subsidiary, as the case may be, (b) it has developed compliance procedures regarding the use of material non-public information and (c) it
will handle such material non-public information in accordance with applicable Law, including United States federal and state securities Laws. 

Section 13.19. Releases of Guarantees and Liens. 

(a) Notwithstanding anything to the contrary contained herein or in any other Loan Document, each Lender agrees, and the Control Agent is
hereby irrevocably authorized by each Lender and given a limited power of attorney by each lender to perform the actions 

  
 -89- 

 
described hereafter in this Section 13.19 (without requirement of notice to or consent of any Lender except as expressly required by Section 13.04) to take any action reasonably requested by
Borrower having the effect of releasing any Collateral or Obligations (i) to the extent necessary to permit consummation of any transaction not prohibited by any Loan Document or that has been consented to by the Lenders or (ii) under the
circumstances described in paragraph (b) below. 
 (b) At such time as the Loans and the other Obligations (other than the inchoate
indemnity obligations) under the Loan Documents shall have been indefeasibly paid in full and the Commitments have been terminated, the Collateral shall be released from the Liens created by the Security Documents, and the Security Documents and all
obligations (other than those expressly stated to survive such termination) of the Control Agent and each Obligor under the Security Documents shall terminate, all without delivery of any instrument or performance of any act by any Person. 

[Signature Pages Follow] 

  
 -90- 

 IN WITNESS WHEREOF, the parties hereto have caused
this Agreement to be duly executed and delivered as of the day and year first above written. 
  

					
	BORROWER:
	
	ZYMEWORKS INC.
		
	By:	 	/s/ Neil Klompas
		 	  

		 	Name:	 	Neil Klompas, CPA, CA
		 	Title:	 	Chief Financial Officer
		
	By:	 	/s/ Ali Tehrani
		 	  

		 	Name:	 	Dr. Ali Tehrani, PhD
		 	Title:	 	President and Chief Executive Officer
	
	Address for Notices:
	Zymeworks Inc.
	1385 West 8th Avenue, Suite 540
	Vancouver, BC, Canada V6H3V9
	Attn: Neil Klompas
	Tel.: 604-678-1388 ext. 122
	Email: nklompas@zymeworks.com

  
 [Signature Page to
Credit Agreement and Guaranty] 

 
					
	SUBSIDIARY GUARANTORS:
	
	ZYMEWORKS BIOPHARMACEUTICALS INC.
		
	By:	 	/s/ Neil Klompas
		 	  

		 	Name:	 	Neil Klompas, CPA, CA
		 	Title:	 	Secretary and Vice President of Finance
		
	By:	 	/s/ Ali Tehrani
		 	  

		 	Name:	 	Dr. Ali Tehrani, PhD
		 	Title:	 	President and Chief Executive Officer
	
	Address for Notices:
	Zymeworks Biopharmaceuticals Inc.
	18 W. Mercer Street, Suite 370
	Seattle, WA 98119
	Attn: Neil Klompas
	Tel.: 604-678-1388 ext. 122
	Email: nklompas@zymeworks.com
	
	ZYMEWORKS BIOCHEMISTRY INC.
		
	By:	 	/s/ Neil Klompas
		 	  

		 	Name:	 	Neil Klompas, CPA, CA
		 	Title:	 	Chief Financial Officer
		
	By:	 	/s/ Ali Tehrani
		 	  

		 	Name:	 	Dr. Ali Tehrani, PhD
		 	Title:	 	President
	
	Address for Notices:
	Zymeworks Biochemistry Inc.
	Pharmaceutical Sciences Building
	2405 Wesbrook Mall, Fourth Floor
	Vancouver, BC, V6T 1Z3
	Attn: Neil Klompas
	Tel.: 604-678-1388 ext. 122
	Email: nklompas@zymeworks.com

  
 [Signature Page to
Credit Agreement and Guaranty] 

 LENDERS: 
  

			
	PERCEPTIVE CREDIT OPPORTUNITIES FUNDS, L.P.
	by PERCEPTIVE CREDIT OPPORTUNITIES GP, LLC, its general partner
		
	By	 	/s/ Sandeep Dixit
		 	  

		
	By	 	/s/ James Mannix
		 	  

	
	Address for Notices:
	
	Perceptive Credit Opportunities Fund, L.P.
	c/o Perceptive Advisors LLC
	51 Astor Place
	10th Floor
	 New York, New York 10003
 Attention:
Sandeep Dixit

	E-mail: Sandeep@perceptivelife.com
	
	with a copy to:
	
	Chapman and Cutler LLP
	1270 Avenue of the Americas
	30th Floor
	New York, New York 10020-1708
	Attention: Nicholas Whitney
	E-mail: Whitney@chapman.com

  
 [Signature Page to
Credit Agreement and Guaranty] 

			
	PCOF PHOENIX II FUND, LP
		
	By	 	/s/ Sandeep Dixit
		 	  

		
	By	 	/s/ James Mannix
		 	  

	
	Address for Notices:
	
	Perceptive Credit Opportunities Fund, L.P.
	c/o Perceptive Advisors LLC
	51 Astor Place
	10th Floor
	New York, New York 10003
	Attention: Sandeep Dixit
	E-mail: Sandeep@perceptivelife.com
	
	with a copy to:
	
	Chapman and Cutler LLP
	1270 Avenue of the Americas
	30th Floor
	New York, New York 10020-1708
	Attention: Nicholas Whitney
	E-mail: Whitney@chapman.com

  
 [Signature Page to
Credit Agreement and Guaranty] 

 SCHEDULE 1 

TO 
 CREDIT AGREEMENT

 TRANCHE A TERM LOAN COMMITMENTS 
  

					
	LENDER	  	COMMITMENT	 
		
	 PERCEPTIVE CREDIT OPPORTUNITIES FUND,
L.P.
	  	$	5,558,433	  
	 PCOF PHOENIX II FUND, L.P.
	  	$	1,941,567	  
	 TOTAL
	  	$	7,500,000	  

 TRANCHE B TERM LOAN COMMITMENTS 

 

					
	LENDER	  	COMMITMENT	 
		
	 PERCEPTIVE CREDIT OPPORTUNITIES FUND,
L.P.
	  	 	[TBD	] 
	 PCOF PHOENIX II FUND, L.P.
	  	 	[TBD	] 
	 TOTAL
	  	$	7,500,000	  

 WARRANT SHARES 
  

					
	LENDER	  	NUMBER OF WARRANT SHARES	 
		
	 Perceptive Credit Opportunities Fund, L.P.
	  	 	704,000	  
	 TOTAL
	  	 	704,000	  

 SCHEDULE 6.02(A) 

TO 

CREDIT AGREEMENT 

Platform Technology Transfer and License Agreement between GlaxoSmithKline Intellectual Property Development Limited and Borrower, effective April 21,
2016. 

 SCHEDULE 7.05(b) 

TO 

CREDIT AGREEMENT 

MATERIAL INTELLECTUAL PROPERTY 

Patent families ZYME002-AZYMETRIC, ZYME013-T350, ZYME017-BIP HER2 and
ZYME039-BIP HER2 MMT in the Zymeworks Patent List below cover the ZW25 and/or ZW33 products. 

OBLIGOR INTELLECTUAL PROPERTY 

7.05(b)(i) With the following exceptions in the Zymeworks Patent List below, the Borrower is the owner of all of the Obligor Intellectual Property listed:
patent families ZYME012-LCCA and ZYME025-OAA-trojan listed below are co-owned by the Borrower and the National Research Council
Canada; patent families KAIR005-VAR2CSA DC and KAIR006-VAR ANTIBODIES are co-owned by the Borrower and VAR2 Pharmaceuticals ApS.) 

7.05(b)(vi) The Borrower received a letter dated July 31st, 2014 from LFB Biotechnologies
(“LFB”) offering to license a group of patents US 7,931,895; US 8,357,370; US 8,409,572 and US 8,685,725 relating to afucosylated antibodies. The Borrower has a sublicense to these patents under the Cell Line Development Services
and License Agreement between ProBioGen Ag and Borrower, effective as of July 6, 2015. The Borrower is not currently using the patented technology in any development program, including ZW25 and ZW33. 

Zymeworks Domain List 
 Zymeworks.ca 

Zymeworks.com 
 Zymeworks Inc. Trademark List 

As at May 26, 2016 
  

							
	 Country
	  	 Filing Date

(dd/mm/yyyy)
	  	 Priority Date

(dd/mm/yyyy)
	  	 IP Right Status

	Brand: ZYMECAD
	CA	  	02/03/2005	  	—  	  	In Force
	Brand: ZYMEWORKS
	CA	  	29/04/2009	  	—  	  	In Force
	CH	  	25/11/2013	  	24/09/2009	  	Pending
	CN	  	03/12/2013	  	24/09/2009	  	In Force
	DE	  	26/11/2013	  	24/09/2009	  	In Force
	EP	  	25/11/2013	  	24/09/2009	  	In Force

							
	 Country
	  	 Filing Date

(dd/mm/yyyy)
	  	 Priority Date

(dd/mm/yyyy)
	  	 IP Right Status

	GB	  	28/11/2013	  	24/09/2009	  	In Force
	IN	  	03/12/2013	  	24/09/2009	  	Pending
	JP	  	04/12/2013	  	24/09/2009	  	In Force
	US	  	08/10/2009	  	—  	  	In Force
	Brand: BUILDING BETTER BIOLOGICS
	CA	  	01/05/2009	  	—  	  	In Force
	Brand: RESIDUENETWORKS
	CA	  	29/04/2009	  	—  	  	In Force
	Brand: AZYMAB
	CA	  	11/06/2013	  	—  	  	Pending
	US	  	12/07/2013	  	11/06/2013	  	Pending
	Brand: AZYMETRIC
	CA	  	12/06/2013	  	—  	  	Pending
	CH	  	22/11/2013	  	12/06/2013	  	In Force
	CN-C42	  	09/12/2013	  	12/06/2013	  	In Force
	CN-C44	  	09/12/2013	  	12/06/2013	  	In Force
	CN-C45	  	09/12/2013	  	12/06/2013	  	In Force
	CN-C5	  	09/12/2013	  	12/06/2013	  	In Force
	DE	  	26/11/2013	  	12/06/2013	  	In Force
	EP	  	22/11/2013	  	12/06/2013	  	In Force
	GB	  	28/11/2013	  	12/06/2013	  	In Force
	IN	  	05/12/2013	  	12/06/2013	  	In Force
	JP	  	10/12/2013	  	12/06/2013	  	In Force
	US	  	12/07/2013	  	12/06/2013	  	Pending
	Brand: ALBUCORE
	CA	  	11/06/2013	  	—  	  	Pending
	US	  	21/07/2013	  	11/06/2013	  	Pending
	Brand: EFECT
	CA	  	11/06/2013	  	—  	  	Pending
	US	  	12/07/2013	  	11/06/2013	  	Pending
	Brand: ZYMEPACK
	CA	  	11/06/2013	  	—  	  	Pending
	US	  	12/07/2013	  	11/06/2013	  	Pending
	Brand: ZYMEFLOW
	CA	  	11/06/2013	  	—  	  	Pending
	US	  	12/07/2013	  	11/06/2013	  	Pending
	Brand: ZYMEPY
	CA	  	11/06/2013	  	—  	  	Pending
	US	  	12/07/2013	  	11/06/2013	  	Pending

							
	 Country
	  	 Filing Date

(dd/mm/yyyy)
	  	 Priority Date

(dd/mm/yyyy)
	  	 IP Right Status

	Brand: ZYMEVIEW
	CA	  	11/06/2013	  	—  	  	Pending
	US	  	12/07/2013	  	11/06/2013	  	Pending
	Brand: ZYMEVAULT
	CA	  	11/06/2013	  	—  	  	Pending
	US	  	12/07/2013	  	11/06/2013	  	Pending
	Brand: A CATALYST IN DESIGN
	CA	  	02/03/2005	  	—  	  	In Force

 Zymeworks Inc. Patent List 

Platform Patent Portfolio 
 As at May 26, 2016 

 

													
	 	  	 Application

Stage
	  	 Filing Date

(DD/MM/YYYY)
	  	 Priority

Application No.

(DD/MM/YYYY)
	  	 Country
	  	 Application/

Patent

Number
	  	 IP Right

Status

	 Invention ID: ZYME001-FCGR3X

	Title: Antibodies with enhanced or suppressed effector function
	 PCT/CA2011/00321
(WO 2011/120134)
	  	National	  	28/03/2011	  	29/03/2010 (61/318,583)	  	AU	  	2011235569	  	Pending
	  		  		  	06/01/2011 (61/436,584)	  	BR	  	1120120244892	  	Pending
		  		  		  		  	CA	  	2794708	  	Pending
		  		  		  		  	CN	  	2011800266654	  	Pending
		  		  		  		  	EP	  	11761857	  	Pending
		  		  		  		  	HK	  	13103660.8	  	Pending
		  		  		  		  	IN	  	9182/DELNP/2012	  	Pending
		  		  		  		  	JP	  	2013501570	  	Pending
		  		  		  		  	MX	  	MX/a/2012/011256	  	Pending
		  		  		  		  	RU	  	2012145183	  	Pending
		  		  		  		  	US	  	20130089541	  	In Force
		  		  		  		  	US	  	15/046,379	  	Pending

													
	
	Invention ID: ZYME002-AZYMETRIC
	Title: STABLE HETERODIMERIC ANTIBODY DESIGN WITH MUTATIONS IN THE FC DOMAIN
	 PCT/CA2011/001238
(WO 2012/058768)
	  	National	  	04/11/2011	  	05/11/2010 (61/410,746)	  	AU	  	2011325833	  	Pending
	  		  		  	21/12/2010 (61/426,375)	  	BR	  	1120130118113	  	Pending
		  		  		  	 03/02/2011 (61/439,341)

14/04/2011 (61/475,614)

31/05/2011 (61/491,846)

16/06/2011 (61/497,861)
	  	CA	  	2815266	  	Pending
		  		  		  	  	CN	  	201180064119.X	  	Pending
		  		  		  	  	EP	  	11837370.3	  	Pending
		  		  		  	  	HK	  	13113463.6	  	Pending
		  		  		  	  	IN	  	4953/DELNP/2013	  	Pending
		  		  		  	  	JP	  	2013536966	  	Pending
		  		  		  	  	KR	  	10-2013-7014071	  	Pending
		  		  		  		  	MX	  	MX/a/2013/004997	  	Pending
		  		  		  		  	RU	  	2013124423	  	Pending
		  		  		  		  	US	  	13/289,934	  	Pending
	
	Invention ID: ZYME003-FCGR2X
	Title: ANTIBODIES WITH ENHANCED OR SUPPRESSED EFFECTOR FUNCTION (FCGR2X)
	 PCT/CA2011/00322
(WO 2011/120135)
	  	National	  	28/03/2011	  	29/03/2010 (61/318,583)	  	CA	  	2794745	  	Pending
	  		  		  	26/01/2011 (61/436,584)	  	US	  	13/638,558	  	Pending
	Invention ID: ZYME004-ALBUCORE1
	Title: MULTIVALENT HETEROMULTIMER SCAFFOLD DESIGN AND CONSTRUCTS
	 PCT/CA2012/050131
(WO 2012/116453)
	  	National	  	02/03/2012	  	03/03/2011 (61/449,016)	  	AU	  	2012222833	  	Pending
	  		  		  		  	CA	  	2828811	  	Pending
		  		  		  		  	CN	  	201280021368.5	  	Pending
		  		  		  		  	EP	  	12751893.4	  	Pending
		  		  		  		  	IN	  	7823/DELNP/2013	  	Pending
		  		  		  		  	JP	  	2013555717	  	Pending
		  		  		  		  	US	  	13/411,353	  	Pending
	
	Invention ID: ZYME005-CAMELID
	Title: HETEROMULTIMER CONSTRUCTS OF IMMUNOGLOBULIN HEAVY CHAINS WITH MUTATIONS IN THE FC DOMAIN
	 PCT/CA2013/00471
(WO 2013/166594)
	  	National	  	10/05/2013	  	10/05/2012 (61/645,555)	  	AU	  	2013258834	  	Pending
	  		  		  		  	CA	  	2872540	  	Pending
		  		  		  		  	EP	  	13788302.1	  	Pending
		  		  		  		  	JP	  	2015510588	  	Pending
		  		  		  		  	US	  	13/892,198	  	Pending
		  		  		  		  	US	  	14/989,648	  	Pending
	
	Invention ID: ZYME006-COEXPRESS
	Title: METHODS OF PRODUCING ASYMMETRIC ANTIBODIES IN A STABLE MAMMALIAN CELL LINE
		  	National	  	25/06/2013	  	25/06/2012 (61/664,102)	  	US	  	13/927,065	  	Pending

													
	Invention ID: ZYME008-LCINSERT 
	Title: IMMUNOGLOBULIN CONSTRUCTS COMPRISING SELECTIVE PAIRING OF LIGHT AND HEAVY CHAINS
	 PCT/US2013/051747
(WO 2014/018572)
	  	National	  	23/07/2013	  	23/07/2012 (61/674,820)	  	AU	  	2013293092	  	Pending
	  		  		  	23/07/2013 (61/857,652)	  	CA	  	2878587	  	Pending
		  		  		  		  	CN	  	201380036538.1	  	Pending
		  		  		  		  	EP	  	13822129.6	  	Pending
		  		  		  		  	IN	  	1299/DELNP/2015	  	Pending
		  		  		  		  	JP	  	2015524403	  	Pending
		  		  		  		  	US	  	13/949,166	  	Pending
	
	Invention ID: ZYME009-ALBUCORE2
	Title: MULTIVALENT HETEROMULTIMER SCAFFOLD DESIGN AND CONSTRUCTS
	 PCT/US2013/050408
(WO 2014/012082)
	  	National	  	12/07/2013	  	13/07/2012 (61/671,640)	  	AU	  	2013289881	  	Pending
	  		  		  	05/09/2012 (61/697,245)	  	CA	  	2878640	  	Pending
		  		  		  	 30/01/2013 (61/758,701)

12/07/2013 (61/845,945)
	  	CN	  	201380036536.2	  	Pending
		  		  		  	  	EP	  	13816831.5	  	Pending
		  		  		  	  	IN	  	1115/DELNP/2015	  	Pending
		  		  		  		  	JP	  	2015521875	  	Pending
		  	National	  	13/07/2013	  	13/07/2012 (61/671,640)	  	US	  	13/941,450	  	Pending
		  		  		  	05/09/2012 (61/697,245)	  	US	  	15/001,078	  	Pending
		  		  		  	30/01/2013 (61/758,701)	  		  		  	
		  		  		  	12/07/2013 (61/845,945)	  		  		  	
	
	Invention ID: ZYME010-EFECTKOASYM
	Title: HETEROMULTIMERS WITH REDUCED OR SILENCED EFFECTOR FUNCTION
	 PCT/CA2014/050507
(WO 2014/190441)
	  	National	  	30/05/2014	  	13/05/2013 (61/829,973)	  	AU	  	2014273817	  	Pending
	  		  		  		  	BR	  	1120150297854	  	Pending
		  		  		  		  	CA	  	2913370	  	Pending
		  		  		  		  	CN	  	201480039387.X	  	Pending
		  		  		  		  	EP	  	14803370.7	  	Pending
		  		  		  		  	IN	  	Not yet available	  	Pending
		  		  		  		  	JP	  	2016515582	  	Pending
		  		  		  		  	KR	  	10-2015-7036704	  	Pending
		  		  		  		  	RU	  	2015152084	  	Pending
		  		  		  		  	US	  	14/893,503	  	Pending

													
	Invention ID: ZYME011-HETFAB
	 Title: ENGINEERED IMMUNOGLOBULIN HEAVY CHAIN-LIGHT CHAIN PAIRS AND USES
THEREOF

	 PCT/CA2013/050914
(WO 2014/082179)
	  	National	  	28/11/2013	  	28/11/2012 (61/730,906)	  	AU	  	2013341888	  	Pending
	  		  		  	 06/02/2013 (61/761,641)

02/05/2013 (61/818,874)

23/08/2013 (61/869,200)
	  	BR	  	1120150123856	  	Pending
		  		  		  	  	CA	  	2893562	  	Pending
		  		  		  	  	CN	  	2013800620065	  	Pending
		  		  		  	  	EP	  	13858496.6	  	Pending
		  		  		  		  	HK	  	161032235	  	Pending
		  		  		  		  	HK	  	Not yet available	  	Pending
		  		  		  		  	IN	  	3768/CHENP/2015	  	Pending
		  		  		  		  	JP	  	2015544282	  	Pending
		  		  		  		  	KR	  	10-2015-7017124	  	Pending
		  		  		  		  	MX	  	MX/a/2015/006758	  	Pending
		  		  		  		  	RU	  	2015125486	  	Pending
		  		  		  		  	US	  	14/648,222	  	Pending
		  	National	  	27/11/2013	  	28/11/2012 (61/730,906)	  	US	  	14/092,804	  	Pending
		  		  		  	06/02/2013 (61/761,641)	  		  		  	
	
	 Invention ID: ZYME012-LCCA

	 Title: METHOD OF DETERMINING ANTIBODY HETERODIMER FORMATION

	 PCT/US2013/063306
(WO 2014/055784)
	  	National	  	03/10/2013	  	03/10/2012 (61/744,911)	  	AU	  	2013326974	  	Pending
	  		  		  		  	CA	  	2886422	  	Pending
		  		  		  		  	CN	  	2013800630813	  	Pending
		  		  		  		  	EP	  	13843363.3	  	Pending
		  		  		  		  	JP	  	2015535788	  	Pending
		  		  		  		  	US	  	14/432,153	  	Pending
	
	 Invention ID: ZYME013-T350

	 Title: STABLE HETERODIMERIC ANTIBODY DESIGN WITH MUTATIONS IN THE Fc
DOMAIN

	 PCT/CA2012/050780
(WO 2013/063702)
	  	National	  	02/11/2012	  	 04/11/2011 (61/556,090)

08/11/2011 (61/557,262)

10/05/2013 (61/645,547)
	  	AU	  	2012332021	  	Pending
	  		  		  	  	BR	  	1120140105804	  	Pending
		  		  		  	  	CA	  	2854233	  	Pending
		  		  		  	  	CN	  	201280057691.8	  	Pending
		  		  		  	  	EP	  	12845801.5	  	Pending
		  		  		  	  	HK	  	15100717.5	  	Pending
		  		  		  	  	IN	  	4385/DELNP/2014	  	Pending
		  		  		  	  	JP	  	2014539198	  	Pending
		  		  		  	  	KR	  	10-2014-7014531	  	Pending
		  		  		  	  	MX	  	MX/a/2014/005348	  	Pending
		  		  		  	  	RU	  	2014121832	  	Pending
		  		  		  	  	US	  	13/668,098	  	Pending

													
	Invention ID: ZYME023-HET FAB II
	Title: MODIFIED ANTIGEN BINDING POLYPEPTIDE CONSTRUCTS AND USES THEREOF
		  	PCT	  	29/05/2015	  	 28/05/2014 (62/003,663)

28/04/2015 (62/154,055)
	  	WO	  	PCT/IB2015/0541047 (WO 2015/181805)	  	Pending
	
	Invention ID: ZYME038 HET FAB K-L
	Title: ANTIGEN-BINDING POLYPEPTIDE CONSTRUCTS SOMPRISING KAPPA AND LAMBDA CHAINS AND USES THEREOF
		  	Provisional	  	08/10/2015	  	—  	  	US	  	62/239,206	  	Pending
		  	Provisional	  	01/12/2015	  	—  	  	US	  	62/261,769	  	Pending
	
	Invention ID: 5012-Het Fc Xtal
	Title: CRYSTAL STRUCTURES OF HETERODIMERIC FC DOMAINS
	 PCT/CA2013/050832
(WO 2014/067011)
	  	National	  	31/10/2013	  	02/11/2012 (13/668,098)	  	AU	  	2013337578	  	Pending
	  		  		  	17/04/2013 (61/813,084)	  	CA	  	2889951	  	Pending
		  		  		  		  	EP	  	13851307.2	  	Pending
		  		  		  		  	US	  	14/439,532	  	Pending
	
	Invention ID: 5014-PDCSCAF
	Title: MODULAR PROTEIN DRUG CONJUGATE THERAPEUTIC
	 PCT/CA2014/050486
(WO 2014/186905)
	  	National	  	23/05/2014	  	24/05/2013 (61/824,463)	  	CA	  	2913363	  	Pending
	  		  		  		  	US	  	14/893,706	  	Pending
	
	Invention ID: KAIR007 Extended LC-ADC
	Title: ANTIBODIES COMPRISING C-TERMINAL LIGHT CHAIN PLOYPEPTIDE EXTENSIONS AND CONJUGATES AND METHODS OF USE THEREOF
		  	PCT	  	23/12/2014	  	23/12/2013 (61/920,425)	  	WO	  	PCT/CA2014/051263 (WO 2015/095972)	  	Pending

 Therapeutics Patent Portfolio 

As at May 26, 2016 
  

													
	 	  	 Application
Stage
	  	 Filing Date
(DD/MM/YYYY)
	  	 Priority

Application No.

(DD/MM/YYYY)
	  	 Country
	  	 Application

Number
	  	 IP Right

Status

	 Invention ID: ZYME007-AZYMCD3

	 Title: BISPECIFIC ASYMMETRIC HETERODIMERS COMPRISING ANTI-CD3 CONSTRUCTS

	 PCT/US2013/050411
(WO 2014/012085)
	  	National	  	13/07/2013	  	13/07/2012 (61/671,640)	  	AU	  	2013289883	  	Pending
	  		  		  	12/07/2013 (61/845,948)	  	BR	  	1120150007988	  	Pending
		  		  		  		  	CA	  	2878843	  	Pending
		  		  		  		  	CN	  	2013200373693	  	Pending
		  		  		  		  	EP	  	13816697	  	Pending
		  		  		  		  	HK	  	15108247.7	  	Pending
		  		  		  		  	IN	  	808/CHENP/2015	  	Pending
		  		  		  		  	JP	  	2015521877	  	Pending
		  		  		  		  	KR	  	10-2015-7003872	  	Pending
		  		  		  		  	RU	  	2015102193	  	Pending
		  		  		  		  	US	  	13/941,449	  	Pending
	
	 Invention ID: ZYME014-OAAHER2

	 Title: SINGLE-ARM MONOVALENT ANTIBODY
CONSTRUCTS AND USES THEREOF

	 PCT/CA2013/050358
(WO 2013/166604)
	  	National	  	08/05/2013	  	 10/05/2012 (61/645,547)

13/07/2012 (61/671,640)

02/11/2012 (61/722,070)

08/02/2013 61/762,812)
	  	AU	  	2013258844	  	Pending
	  		  		  	  	BR	  	120140281068	  	Pending
		  		  		  	  	CA	  	2873720	  	Pending
		  		  		  	  	CN	  	2013800367692	  	Pending
		  		  		  	  	EP	  	13788508.3	  	Pending
		  		  		  	  	IN	  	8772/CHENP/2014	  	Pending
		  		  		  	  	JP	  	2015510590	  	Pending
		  		  		  	  	KR	  	10-2014-7034415	  	Pending
		  		  		  	  	RU	  	2014148704	  	Pending
		  		  		  	  	US	  	14/399,789	  	Pending
	 Invention ID: ZYME015-BSPOA

	 Title: BISPECIFIC ANTIBODY CONSTRUCTS WITH SUPERIOR EFFICACY AND USES
THEREOF

	 PCT/US2014/037401
(WO 2014/182970)
	  	National	  	08/05/2014	  	08/05/2013 (61/821,197)	  	AU	  	2014262566	  	Pending
	  		  		  		  	CA	  	2910945	  	Pending
		  		  		  		  	EP	  	14794897.0	  	Pending
		  		  		  		  	JP	  	2016513093	  	Pending
		  		  		  		  	US	  	14/888,580	  	Pending

													
	
	 Invention ID: ZYME017-BIP
HER2

	 Title: BISPECIFIC ANTIGEN BINDING CONSTRUCTS TARGETING HER2

		  	PCT	  	27/11/2014	  	 27/11/2013 (61/910,026)

20/05/2014 (62/000,908)

06/06/2014 (62/009,125)
	  	WO	  	PCT/CA2014/051140 (WO 2015/077891)	  	Pending
	
	 Invention ID: ZYME018
OA-EGFR

	 Title: MONOVALENT ANTIGEN BINDING CONSTRUCTS TARGETING EGFR AND/OR HER2 AND
USES THEREOF

		  	PCT	  	13/11/2014	  	13/11/2013 (61/903,825)	  	WO	  	PCT/2014/065546 (WO 2015/073721)	  	Pending
	
	 Invention ID: ZYME020 OAA COMBO

	 Title: METHODS USING MONOVALENT ANTIGEN BINDING CONSTRUCTS TARGETING
HER2

		  	PCT	  	13/11/2014	  	13/11/2013 (61/903,839)	  	WO	  	PCT/US2014/066571 (WO 2015/073743)	  	Pending
	
	 Invention ID: ZYME021
CD3-HYBRID

	 Title: BISPECIFIC CD3 AND CD19 ANTIGEN BINDING CONSTRUCTS

	 PCT/US2014/046436
(WO 2015/006749)
	  	National	  	11/07/2014	  	 12/07/2013 (61/845,948)

15/01/2014 (61/927,877)

11/04/2014 (61/978,719)
	  	AU	  	2014287011	  	Pending
	  		  		  	  	BR	  	1120160006666	  	Pending
		  		  		  	  	CA	  	2917886	  	Pending
		  		  		  	  	CN	  	201480044366.7	  	Pending
		  		  		  	  	EP	  	14822418.1	  	Pending
		  		  		  	  	IN	  	Not yet available	  	Pending
		  		  		  	  	JP	  	Not yet available	  	Pending
		  		  		  	  	KR	  	10-2016-7003567	  	Pending
		  		  		  	  	MX	  	MX/a/2016/000272	  	Pending
		  		  		  	  	RU	  	2016104130	  	Pending
		  		  		  	  	US	  	14/903,184	  	Pending
	
	 Invention ID: ZYME025 OASA Trojan

	 Title: ANTIGEN-BINDING CONSTRUCTS CAPABLE OF CROSSING THE BLOOD BRAIN
BARRIER

		  	Provisional	  	02/09/2015	  	—  	  	US	  	62/213,615	  	Pending
		  	Provisional	  	02/09/2015	  	—  	  	US	  	62/213,614	  	Pending
		  	Provisional	  	09/09/2015	  	—  	  	US	  	62/216,237	  	Pending
		  	Provisional	  	09/09/2015	  	—  	  	US	  	62/216,240	  	Pending

													
	Invention ID: ZYME027 DIABODY
	Title: BI-SPECIFIC CD3 AND CD19 ANTIGEN BINDING CONSTRUCTS
		  	PCT	  	15/01/2015	  	 15/01/2014 (61/927,877)

11/04/2014 (61/978,719)

11/06/2014
	  	WO	  	PCT/US2015/011664 (WO 2015/109131)	  	Pending
		  		  		  	(PCT/US2014/046436)	  		  		  	
		  		  		  	17/07/2014 (62/025,932)	  		  		  	
	
	Invention ID: ZYME030 HI AFF PTZ
	Title: ANTIGEN-BINDING CONSTRUCTS TARGETING HER2
		  	Provisional	  	14/12/2015	  	—  	  	US	  	62/267,247	  	Pending
		  	PCT	  	13/05/2016	  	13/025/2015 (62/161,114)	  	WO	  	Not yet available	  	Pending
		  		  		  	14/12/2016	  		  		  	
		  		  		  	(62/267,247)	  		  		  	
	
	Invention ID: ZYME039 BiP HER2 MMT
	Title: METHODS OF USING BISPECIFIC ANTIGEN-BINDING CONSTRUCTS TARGETING HER2
		  	Provisional	  	27/05/2015	  	—  	  	US	  	62/166,844	  	Pending
		  	PCT	  	26/11/2015	  	 27/11/2014

(PCT/CA2014/051140)

27/05/2015 (62/166,844)
	  	WO	  	PCT/CA2015/051238	  	Pending
	
	Invention ID: ZYME040 CD3
	Title: DRUG CONJUGATED BI-SPECIFIC ANTIGEN-BINDING CONSTRUCTS
		  	Provisional	  	15/07/2015	  	—  	  	US	  	62/193,056	  	Pending
		  	Provisional	  	17/07/2015	  	—  	  	US	  	62/193,569	  	Pending
	
	Invention ID: ZYME042 CAR Engager
	Title: ULTISPECIFIC ANTIGEN-BINDING CONSTRUCTS TARGETING IMMUNOTHERAPEUTICS
		  	Provisional	  	15/04/2016	  	—  	  	US	  	62/323,432	  	Pending
	
	Invention ID: ZYME043 BiP HER2 MMT2
	Title: METHODS OF USING BISPECIFIC ANTIGEN-BINDING CONSTRUCTS TARGETING HER2
		  	Provisional	  	25/04/2016	  	—  	  	US	  	62/327,304	  	Pending
	
	Invention ID: KAIR005 VAR2-DC
	Title: VAR2CSA-DRUG CONJUGATES
		  	PCT	  	29/12/2014	  	 27/12/2013 (61/921,242)

17/09/2014 (62/051,899)

17/09/2014 (62/051,886)
	  	WO	  	PCT/CA2014/000919 (WO 2015/095952)	  	Pending
	
	Invention ID: KAIR006 VAR Antibodies
	Title: ANTI-CSA ANTIBODIES AND METHODS OF USING THE SAME
		  	Provisional	  	09/10/2015	  	—  	  	US	  	62/239,748	  	Pending

 ADC Platform Patent Portfolio 

As at May 26, 2016 
  

													
	 	  	 Application
Stage
	  	 Filing Date

(DD/MM/YYYY)
	  	 Priority

Application No.

(DD/MM/YYYY)
	  	 Country
	  	 Application/

Number
	  	 IP Right

Status

	 Invention ID: KAIR001 HEMIASTERLINS

	 Title: CYTOTOXIC AND ANTI-MITOTIC COMPOUNDS, AND METHODS OF USING THE
SAME

	 PCT/US2014/029463
(WO 2014/144871)
	  	National	  	14/03/2014	  	15/03/2013 (61/792,066)	  	AU	  	2014228489	  	Pending
	  		  		  	15/03/2013 (61/792,020)	  	BR	  	1120150234151	  	Pending
		  		  		  		  	CA	  	2906784	  	Pending
		  		  		  		  	CN	  	201480027374	  	Pending
		  		  		  		  	EA	  	201591632	  	Pending
		  		  		  		  	EP	  	14763699.7	  	Pending
		  		  		  		  	IL	  	241524	  	Pending
		  		  		  		  	IN	  	8633/DELNP/2015	  	Pending
		  		  		  		  	JP	  	2016503104	  	Pending
		  		  		  		  	KR	  	10-2015-7029402	  	Pending
		  		  		  		  	MX	  	MX/a/2015/012868	  	Pending
		  		  		  		  	MY	  	PI 2015002339	  	Pending
		  		  		  		  	NZ	  	711982	  	Pending
		  		  		  		  	SG	  	11201507619P	  	Pending
		  		  		  		  	US	  	14/213,504	  	Pending
		  		  		  		  	US	  	14/776,654	  	Pending
		  		  		  		  	ZA	  	2015/06918	  	Pending
	
	Invention ID: KAIR002 LINKER-TOXINS
	Title: SULFONAMIDE-CONTAINING LINKAGE SYSTEMS FOR DRUG CONJUGATES
		  	PCT	  	29/12/2014	  	 27/12/2013 (61/921,242)

17/09/2014 (62/051,899)
	  	WO	  	PCT/CA2014/000920 (WO 2015/095953)	  	Pending
	
	Invention ID: KAIR003 TUBULYSINS
	Title: CYTOTOXIC AND ANTI-MITOTIC COMPOUNDS, AND METHODS OF USING SAME
		  	Provisional	  	29/09/2015	  	—	  	US	  	62/234,452	  	Pending

													
	Invention ID: KAIR004 AURISTATINS
	Title: CYTOTOXIC AND ANTI-MITOTIC COMPOUNDS, AND METHODS OF USING SAME
		  	PCT	  	17/09/2015	  	17/09/2014 (62/051,883)	  	WO	  	PCT/CA2015/050910 (WO 2016/041082)	  	Pending
		  	National	  	17/09/2014	  	17/09/2014 (62/051,883)	  	US	  	14/857,733	  	Pending

 Computational Chemistry Portfolio 

As at May 26, 2016 
  

													
	 	  	 Application
Stage
	  	 Filing Date

(DD/MM/YYYY)
	  	 Priority

Application No.

(DD/MM/YYYY)
	  	 Country
	  	 Application/

Patent

Number
	  	 IP Right
Status

	 Invention ID: 5001-RESNET

	Title: METHODS FOR DETERMINING CORRELATED RESIDUES IN A PROTEIN OR OTHER BIOPOLYMER USING MOLECULAR DYNAMICS
	 PCT/IB2009/005040
(WO 2009/098596)
	  	National	  	05/02/2009	  	05/02/2008 (61/026,435)	  	AU	  	2009211148	  	In Force
	  		  		  	19/11/2008 (61/116,267)	  	CA	  	2715043	  	Pending
		  		  		  		  	EP	  	9708274	  	Pending
		  		  		  		  	JP	  	5530367	  	In Force
		  		  		  		  	US	  	12/866,437	  	Pending
	
	 Invention ID: 5003-BINNING

	Title: SYSTEM AND METHOD FOR MODELING INTERACTIONS
	 PCT/US2007/068707
(WO 2007/140099)
	  	National	  	10/05/2007	  	26/05/2006 (11/441,526)	  	AU	  	2007267715	  	In Force
	  		  		  		  	CA	  	2653349	  	Pending
		  		  		  		  	EP	  	07783614	  	Pending
		  	National	  	26/05/2006	  	26/05/2006 (11/441,526)	  	US	  	7769573	  	In Force
	
	 Invention ID: 5004-CONFORM

	Title: SYSTEM AND METHODS FOR SAMPLING AND ANALYSIS OF POLYMER CONFORMATIONAL DYNAMICS
	 PCT/CA2013/050637
(WO 2014/026296)
	  	National	  	16/08/2013	  	17/08/2012 (61/684,236)	  	AU	  	2013302283	  	In Force
	  		  		  		  	CA	  	2881934	  	Pending
		  		  		  		  	EP	  	13829560.5	  	Pending
		  		  		  		  	US	  	14/421,490	  	Pending
	
	 Invention ID: 5005-DENSITY

	Title: DENSITY BASED CLUSTERING FOR MULTIDIMENSIONAL DATA
	 PCT/CA2010/001873
(WO 2011/063518)
	  	National	  	23/11/2010	  	24/11/2009 (61/264,196)	  	AU	  	2010324501	  	Pending
	  		  		  		  	CA	  	2781650	  	Pending
		  		  		  		  	EP	  	10832469	  	Pending
		  		  		  		  	JP	  	5642190	  	In Force
		  		  		  		  	US	  	9165052	  	In Force

													
	 Invention ID: 5006-LATTICE

	Title: COMBINED ON-LATTICE/OFF-LATTICE OPTIMIZATION METHOD FOR RIGID BODY DOCKING
	 PCT/CA2010/001923
(WO 2011/066655)
	  	National	  	02/12/2010	  	02/12/2009 (61/266,059)	  	AU	  	2010327292	  	Pending
	  		  		  		  	CA	  	2782465	  	Pending
		  		  		  		  	EP	  	10834129	  	Pending
		  		  		  		  	JP	  	5788897	  	In Force
		  		  		  		  	US	  	13/513,494	  	Pending
	
	 Invention ID: 5007-FASTPAIR

	Title: SIMPLIFYING RESIDUE RELATIONSHIPS IN PROTEIN DESIGN
	 PCT/CA2011/001103
(WO 2012/040833)
	  	National	  	29/09/2011	  	30/09/2010 (61/388,208)	  	AU	  	2011308042	  	In Force
	  		  		  		  	CA	  	2812721	  	Pending
		  		  		  		  	EP	  	11827860.5	  	Pending
		  		  		  		  	US	  	13/822,231	  	Pending
	
	 Invention ID: 5008-CCSD

	Title: SYSTEM FOR MOLECULAR PACKING CALCULATIONS
	 PCT/CA2011/001061
(WO 2012/037659)
	  	National	  	22/09/2011	  	24/09/2010 (61/386,406)	  	AU	  	2011305018	  	In Force
	  		  		  		  	CA	  	2811323	  	Pending
		  		  		  		  	EP	  	11826255.9	  	Pending
		  		  		  		  	JP	  	2013529517	  	Pending
		  		  		  		  	US	  	13/822,258	  	Pending
	
	 Invention ID: 5009-SAMMON

	Title: SYSTEMS AND METHODS FOR MAKING TWO DIMENSIONAL GRAPHS OF COMPLEX MOLECULES
	 PCT/CA2013/050183
(WO 2013/138923)
	  	National	  	12/03/2013	  	21/03/2012 (61/613,711)	  	AU	  	2013234788	  	In Force
	  		  		  		  	CA	  	2866774	  	Pending
		  		  		  		  	EP	  	13763804.5	  	Pending
		  		  		  		  	US	  	14/386,711	  	Pending
	
	 Invention ID: 5010-ALTCONF

	Title: SYSTEMS AND METHODS FOR IDENTIFYING THERMODYNAMICALLY RELEVANT POLYMER CONFORMATIONS
	 PCT/CA2013/050489
(WO 2013/188984)
	  	National	  	21/06/2013	  	21/06/2012 (61/662,549)	  	CA	  	2887256	  	Pending
	  		  		  		  	EP	  	13807096.6	  	Pending
		  		  		  		  	US	  	14/409,419	  	Pending
	
	 Invention ID: 5011-ENTROPY

	Title: SYSTEMS AND METHODS FOR IDENTIFYING THERMODYNAMIC EFFECTS OF ATOMIC CHANGES TO POLYMERS
	 PCT/CA2014/050240
(WO 2014/138994)
	  	National	  	13/03/2014	  	15/03/2013 (61/793,203)	  	CA	  	2906233	  	Pending
	  		  		  	13/06/2013 (61/834,754)	  	EP	  	14762610.5	  	Pending
		  		  		  		  	US	  	14/775,956	  	Pending

													
	Invention ID: 5013-WORKFLOW
	Title: SYSTEMS AND METHODS FOR IN SILICO EVALUATION OF POLYMERS
	 PCT/CA2014/050664
(WO 2015/021540)
	  	National	  	14/07/2014	  	15/08/2013 (61/866,466)	  	CA	  	2921231	  	Pending
	  		  		  		  	US	  	14/911,505	  	Pending
	
	Invention ID: 5015-THRESHOLD
	Title: SYSTEMS AND METHODS FOR PHYSICAL PARAMETER FITTING ON THE BASIS OF MANUAL REVIEW
	 PCTCA2014/050577
(WO 2014/201566)
	  	National	  	19/06/2014	  	21/06/2013 (61/838,225)	  	CA	  	2915953	  	Pending
	  		  		  	01/08/2013 (61/861,207)	  	US	  	14/898,930	  	Pending
	
	Invention ID: 5016-SAMMON2
	Title: SYSTEMS AND METHODS FOR IN SILICO EVALUATION OF POLYMERS
	 PCT/CA2014/050855
(WO 2015/042699)
	  	National	  	17/09/2014	  	25/09/2013 (61/882,531)	  	CA	  	Not yet	  	Pending
	  		  		  		  		  	available	  	
		  		  		  		  	US	  	15/023,532	  	Pending

 7.05(b)(x)(a) Borrower has entered into the following agreements pursuant to which certain limited rights in Obligor
Intellectual Property have been granted: 
  

	1.	Out-licensing & Collaboration Agreement between Borrower and Merck & Co., effective August 22, 2011 and amended and restated December 3, 2014.

  

	2.	First Out-Licensing & Collaboration Agreement between Borrower and Eli Lilly & Co., effective December 17, 2013 and amended May 30, 2014.

  

	3.	Second Out-licensing & Collaboration Agreement between Borrower and Eli Lilly & Co., effective October 22, 2014 and amended June 4, 2015.

  

	4.	Out-licensing and Collaboration Agreement between Borrower and Celgene Corp., effective December 23, 2014. 

 

	5.	Collaboration and Licensing Agreement between Borrower and GlaxoSmithKline Intellectual Property Development Limited, effective December 1, 2015. 

 

	6.	Platform Technology Transfer and License Agreement between GlaxoSmithKline Intellectual Property Development Limited and Borrower, effective April 21, 2016. 

7.05(b)(x)(b) Borrower is a party to agreements with the National Research Council Canada (Master License Agreement by and between National Research Council
Canada and Borrower effective as of September 1, 2012), and Selexis SA (Commercial License Agreement by and between Selexis SA and Borrower effective as of February 4, 2015) under which certain Intellectual Property of those entities is
licensed to Borrower. 

 SCHEDULE 7.06 

TO 

CREDIT AGREEMENT 

CERTAIN LITIGATION 

None. 

 SCHEDULE 7.08 

TO 

CREDIT AGREEMENT 

TAXES 
 Zymeworks Inc.
currently has a Scientific Research and Experimental Development (“SRED) claim outstanding from the province of Quebec in the amount of $617,388. There is uncertainty over the collectability of this amount. 

Tax Returns and Payments 
 Borrower may have been
required to file Federal and State tax returns in the United States in connection with research and collaboration agreements entered into with United States domiciled partners. Borrower has not quantified any potential tax and/or related liabilities
that may be applicable, but is of the view that such amounts, if any, are immaterial. 
 Borrower has identified potential withholding tax liabilities
relating to periodic visits of US based scientific advisory members who may have performed services in Canada in conjunction with visits to the Borrower. Borrower has not quantified the balance but believes the liabilities to be immaterial. 

 SCHEDULE 7.13A 

TO 

CREDIT AGREEMENT 

EXISTING INDEBTEDNESS 

Zymeworks Inc. 
  

													
	 Credit Card Holder
	  	Credit Card Number	 	  	Currency	 	  	Amount
Outstanding as of
May 24, 2016	 
	 Ali Tehrani
	  	 	4516-0760-0100-7367	  	  	 	CAD	  	  	$	325.62	  
	 Neil Klompas -travel
	  	 	4516-0700-0872-7952	  	  	 	CAD	  	  	$	4,778.47	  
	 Neil Klompas – operating
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	 Surjit Dixit
	  	 	4516-0700-0872-7986	  	  	 	CAD	  	  	$	1,629.37	  
	 Gordon Ng
	  	 	4516-0700-0872-8109	  	  	 	CAD	  	  	$	6,512.99	  
	 David Poon
	  	 	4516-0760-0230-4763	  	  	 	CAD	  	  	$	981.10	  
	 John Babcook
	  	 	4516-0700-1109-8094	  	  	 	CAD	  	  	$	3,049.82	  
	 Wajida Leclerc
	  	 	4516-0700-1121-5456	  	  	 	CAD	  	  	$	370.59	  
		  				  				  	  
	  
	 
	 Total credit card debt outstanding, May 24, 2016
	   
	  				  	$	17,647.96	  
		  				  				  	  
	  
	 

 Zymeworks Biopharmaceuticals, Inc. 
  

											
	 Credit Card Holder
	  	Credit Card Number	 	  	Currency	  	Amount
Outstanding as of
May 24, 2016	 
	 Neil Klompas
	  	 	5478-5400-1050-5227	  	  	USD	  	$	675.29	  
	 David Tucker
	  	 	5478-5400-1083-1433	  	  	USD	  	$	5,190.85	* 
		  				  		  	  
	  
	 
	 Total credit card debt outstanding, May 24, 2016
	  	$	5,866.14	  
		  				  		  	  
	  
	 

  

	*	Credit card has been cancelled and amount will be paid off June 25, 2016. 

 Zymeworks Biochemistry
Inc. 
 None. 

 SCHEDULE 7.13B 

TO 

CREDIT AGREEMENT 

EXISTING LIENS 

None. 

 SCHEDULE 7.14 

TO 

CREDIT AGREEMENT 

MATERIAL AGREEMENTS 
  

	•	 	Master License Agreement by and between National Research Council Canada and Borrower effective as of September 1, 2012 

  

	•	 	Services Agreement by and between Selexis SA and Borrower effective as of May 12, 2014 

  

	•	 	Commercial License Agreement by and between Selexis SA and Borrower effective as of February 4, 2015 

  

	•	 	First Amendment to Commercial License Agreement by and between Selexis SA and Borrower effective as of February 19, 2015 

  

	•	 	Developing and Manufacturing Services Agreement by and between CMC Icos Biologics, Inc. effective as of August 28, 2014 

  

	•	 	Master Services Agreement by and between MPI Research, Inc. and Borrower effective as of November 22, 2014 

  

	•	 	Master Services Agreement by and between Charles River Laboratories, Inc. and Borrower effective as of March 22, 2012 

  

	•	 	Master Services Agreement by and between Coldstream Laboratories Inc. and Borrower effective as of March 5, 2015 

  

	•	 	Master Services Agreement by and between WuXi Biologics (Hong Kong) Limited and Borrower effective as of May 22, 2015 

  

	•	 	Master Services Agreement by and between Eurofins Pharma Bioanalytics Services US Inc. and Borrower effective as of December 11, 2014 

 

	•	 	Master Services Agreement by and between Imaging Endpoints II, LLC. and Borrower effective as of March 30, 2016 

  

	•	 	Master Services Agreement by and between e-Clinical Solutions LLC and Borrower effective as of April 1, 2016 

 

	•	 	Master Service Agreement by and between Almac Group Limited and Borrower effective as of May 10, 2016 

  

	•	 	Initial Service Agreement by and between INC Research, LLC, together with INC Research UK Limited, and Borrower effective as of May 2, 2016 

 

	•	 	The Collaboration Agreements listed on Schedule 9.12(c)(1). 

 SCHEDULE 7.15 

TO 

CREDIT AGREEMENT 

RESTRICTIVE AGREEMENTS 
  

	•	 	The Collaboration Agreements listed on Schedule 9.12(c)(1). 

 SCHEDULE 7.16 

TO 

CREDIT AGREEMENT 

REAL PROPERTY 
  

					
	 Leased/Owned
	  	 Address
	  	 Loan Party

	Leased Property	  	Poplar Properties Ltd.	  	Zymeworks Inc.
			
		  	 1385 West 8th Avenue

Suite 540
 Vancouver, BC,

Canada
	  	
		  	V6H 3V9	  	
			
	Leased Property	  	Low Tide Properties Inc.	  	Zymeworks Inc.
			
		  	 1770 West 7th Avenue

Vancouver, BC
 V6J 4Y6
	  	
			
	Leased Property	  	Selig Real Estate Holdings Eighteen LLC	  	Zymeworks Biopharmaceuticals Inc.
			
		  	 18 E. Mercer Street,
 Ste. 370

Seattle, WA
 98119 4035
	  	

 SCHEDULE 7.17 

TO 

CREDIT AGREEMENT 

PENSION MATTERS 

Pursuant to the Borrower’s group Retirement Savings Plan and Non-Registered Savings Plan (administered by Great
West Life) (the “Plan”), the Borrower matches employees’ Plan contributions up to 3% of their gross salary, on a matching basis. Contributions beyond 3% of an employee’s salary are not matched by the Borrower. The Borrower
has placed certain restrictions on the withdrawal of Plan contributions by employees. Borrower has no ongoing funding liabilities beyond matching the employee contributions. 

The Borrower provides all employees with an extended medical benefits program which provides various benefits coverage, including; dental, extended medical,
prescription drug, allied medical (chiropractic, massage therapy, etc.), eyewear, and other related items. Employees are provided extended medical benefits, provided by Equitable Life of Canada, upon hire. Spousal and family benefits may be
provided, if employees elect and cover 50% of the applicable plan costs. 
 The Borrower provides employees additional medical benefits through paying for
50% of the British Columbia Medical Services Plan premiums. Premiums are paid to the provincial government directly through payroll deductions and direct remittance. 

Pursuant to Zymeworks Biopharmaceuticals Inc.’s group Retirement Plan (administered by Empower) (the “401K Plan”). Zymeworks
Biopharmaceuticals Inc. matches employees’ 401K Plan contributions up to 3% of their gross salary, on a matching basis. 
 Employees of Zymeworks
Biopharmaceuticals Inc. are eligible to be enrolled in Zymeworks Biopharmaceuticals Inc.’s extended benefits plan, provided through the Washington Biotechnology and Biomedical Health Trust. The plan provides employees with medical insurance
underwritten by Premera Blue Cross, dental insurance underwritten by Delta Dental of Washington, vision insurance underwritten by Vision Service Plan, basic life and AD&D, disability, and voluntary life insurance underwritten by Unum, and
enrolment in the employee assistance program administered by Wellspring Family Services. Employees are eligible for enrolment in the benefits program starting the first day of the month following employment. Zymeworks Biopharmaceuticals Inc. pays
100% of this coverage. 

 SCHEDULE 7.19(b) 

TO 

CREDIT AGREEMENT 

REGULATORY APPROVALS 

None. 

 SCHEDULE 7.19(e) 

TO 

CREDIT AGREEMENT 

483 NOTICE 
 None. 

 SCHEDULE 7.20 

TO 

CREDIT AGREEMENT 

CAPITALIZATION 
  

					
	 Number Outstanding at May 31, 2016:
	  	Number of Shares	 
	 Common Shares
	  	 	30,606,116	  
	 Class A Preferred Shares
	  	 	12,554,665	  
	 Stock Options
	  	 	4,492,322	  
	 Warrants to Purchase Common Shares
	  	 	280,000	  
	 Warrants to Purchase Class A Preferred Shares
	  	 	704,000	  

 SCHEDULE 8.19 

TO 

CREDIT AGREEMENT 

POST-CLOSING OBLIGATIONS 

Within 45 days after the Closing Date, Borrower shall obtain insurance endorsements naming the Lenders as additional insureds and loss payees,
as applicable, in accordance with the requirements of Section 8.05. 

 SCHEDULE 9.03 

TO 

CREDIT AGREEMENT 

PERMITTED TRANSACTIONS 

None. 

 SCHEDULE 9.05 

TO 

CREDIT AGREEMENT 

EXISTING INVESTMENTS 

Zymeworks Inc. 
  

											
	 Investment Type
	  	Amount	 	  	Currency	  	Maturity	 
	 RBC GIC
	  	$	4,999,999.99	  	  	CAD	  	 	January 21, 2017	  
	 BMO GIC
	  	$	5,000,000	  	  	USD	  	 	June 28, 2016	  
	 BMO GIC
	  	$	15,000,000	  	  	USD	  	 	July 28, 2016	  

 Zymeworks Biopharmaceuticals Inc. 

None. 
 Zymeworks Biochemistry Inc. 

None. 

 SCHEDULE 9.10 

TO 

CREDIT AGREEMENT 

TRANSACTION WITH AFFILIATES 

1. Zymeworks Inc. has entered into a Services Agreement with Zymeworks Biopharmaceuticals Inc. effective January 1, 2015. 

2. Zymeworks Biochemistry Inc. assigned its interest in two patent families [KAIR005 VAR2-DC and KAIR006 VAR12
Antibodies, both noted on the Patent List in SCHEDULE 7.05(b)], to Zymeworks Inc. on May 26, 2016. 

 SCHEDULE 9.12(c)(1) 

TO 
 CREDIT AGREEMENT

 COLLABORATION AGREEMENTS 
  

	1.	Out-licensing & Collaboration Agreement between Borrower and Merck & Co., effective August 22, 2011 and amended and restated December 3, 2014.

  

	2.	Collaboration and Licensing Agreement between Borrower and GlaxoSmithKline Intellectual Property Development Limited, effective December 1, 2015. 

 

	3.	Platform Technology Transfer and License Agreement between GlaxoSmithKline Intellectual Property Development Limited and Borrower, effective April 21, 2016. 

 

	4.	First Out-Licensing & Collaboration Agreement between Borrower and Eli Lilly & Co., effective December 17, 2013 and amended May 30, 2014.

  

	5.	The Specified Collaboration Agreements listed on Schedule 9.12(c)(2). 

 SCHEDULE 9.12(C)(2) 

TO 
 CREDIT AGREEMENT

 SPECIFIED COLLABORATION AGREEMENTS 
  

	1.	Second Out-licensing & Collaboration Agreement between Borrower and Eli Lilly & Co., effective October 22, 2014 and amended June 4, 2015.

  

	2.	Out-licensing and Collaboration Agreement between Borrower and Celgene Corp., effective December 23, 2014. 

 Exhibit A 

to Credit Agreement 
 FORM OF
GUARANTEE ASSUMPTION AGREEMENT 
 GUARANTEE ASSUMPTION AGREEMENT dated as of
[DATE] (this “Agreement”) by [NAME OF ADDITIONAL GUARANTOR], a
                     [corporation] (the “Additional Guarantor”), under that certain Credit Agreement and Guaranty, dated as
of June 2, 2016 (as from time to time amended, restated, supplemented or otherwise modified, the “Credit Agreement”), among ZYMEWORKS INC., a corporation organized under the laws of Canada
(“Borrower”), certain Guarantors from time to time parties hereto, PERCEPTIVE CREDIT OPPORTUNITIES FUND, L.P., a Delaware limited partnership
(“Perceptive”), as a lender, and PCOF PHOENIX II FUND, LP, a Delaware limited partnership (“PCOF”), as a lender (together with Perceptive and
each of their respective successors and assigns party thereto, the “Lenders” and each a “Lender”). 

Pursuant to Section 8.11(a) of the Credit Agreement, the Additional Guarantor hereby agrees to become a “Guarantor” for all
purposes of the Credit Agreement, and a “Grantor” for all purposes of the Security Agreement. Without limiting the foregoing, the Additional Guarantor hereby, jointly and severally with the other Guarantors, guarantees to each Lender and
its successors and assigns the prompt payment in full when due (whether at stated maturity, by acceleration or otherwise) of all Guaranteed Obligations (as defined in Section 11.01 of the Credit Agreement) in the same
manner and to the same extent as is provided in Section 11 of the Credit Agreement. In addition, as of the date hereof, the Additional Guarantor hereby makes the representations and warranties set forth in
Section 7 of the Credit Agreement, and in Section 2 of the Security Agreement, with respect to itself and its obligations under this Agreement and the other Loan Documents, as if each reference in
such Sections to the Loan Documents included reference to this Agreement, such representations and warranties to be made as of the date hereof. 

The Additional Guarantor hereby instructs its counsel to deliver the opinions referred to in Section 8.11(a) of the Credit Agreement to
the Lenders. 
 THIS GUARANTEE AND ASSUMPTION AGREEMENT AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES HEREUNDER SHALL BE GOVERNED BY AND
CONSTRUED IN ACCORDANCE WITH THE LAW OF THE STATE OF NEW YORK, WITHOUT REGARD TO PRINCIPLES OF CONFLICTS OF LAWS THAT WOULD RESULT IN THE APPLICATION OF THE LAWS OF ANY OTHER JURISDICTION; PROVIDED, THAT SECTION
5-1401 OF THE NEW YORK GENERAL OBLIGATIONS LAW SHALL APPLY. 

  
 Exhibit A-1 

 IN WITNESS WHEREOF, the Additional Guarantor has caused this Guarantee Assumption Agreement to be
duly executed and delivered as of the day and year first above written. 
  

			
	[ADDITIONAL GUARANTOR]
		
	By	 	  

		 	Name:
		 	Title:

  
 Exhibit A-2 

 Exhibit B 

to Credit Agreement 
 FORM OF
NOTICE OF BORROWING 
  

			
	 Date:
	  	
[                   
 ]

		
	 To:
	  	 [INSERT NAME OF LENDER], as Lender

		  	
[                   
 ]

		  	 Attn:
[                    ]

		  	 Fax:
[                    ]

		  	 Email:
[                    ]

  

	 	Re:	Borrowing under Credit Agreement 

 Ladies and Gentlemen: 

The undersigned, ZYMEWORKS INC., a corporation organized under the laws of Canada
(“Borrower”), refers to the Credit Agreement and Guaranty, dated as of June 2, 2016 (as from time to time amended, restated, supplemented or otherwise modified, the “Credit Agreement”), among
ZYMEWORKS INC., a corporation organized under the laws of Canada (“Borrower”), certain Guarantors from time to time parties hereto, PERCEPTIVE CREDIT
OPPORTUNITIES FUND, L.P., a Delaware limited partnership (“Perceptive”), as a lender, and PCOF PHOENIX II FUND, LP, a Delaware limited partnership
(“PCOF”), as a lender (together with Perceptive and each of their respective successors and assigns party thereto, the “Lenders” and each a
“Lender”). The terms defined in the Credit Agreement are herein used as therein defined. 
 Borrower
hereby gives you notice irrevocably, pursuant to Section 2.01(b) of the Credit Agreement, of the borrowing of the Loans specified herein: 

1. The proposed Borrowing Date is
[                    ]. 
 2. The amount
of the proposed Borrowing is $[        ]. 
 3. The payment instructions with respect to the funds
to be made available to Borrower are as follows: 
  

	
	 Bank name:
[                    ]

	 Bank Address:
[                    ]

	 Routing Number:
[                    ]

	 Account Number:
[                    ]

	 Swift Code:
[                    ]

  
 Exhibit B-1 

 Borrower hereby certifies that the following statements are true on the date hereof, and will be
true on the date of the proposed borrowing of the Loans, before and after giving effect thereto and to the application of the proceeds therefrom: 

a) the representations and warranties made by Borrower in Section 7 of the Credit Agreement shall be true and
correct in all material respects (except that such materiality qualifier shall not be applicable to any representation or warranty that already is qualified or modified as to “materiality” or “Material Adverse Effect” in the text
thereof, which representation or warranty shall be true and correct in all respects subject to such qualification) on and as of the Borrowing Date and immediately after giving effect to the application of the proceeds of the Borrowing, with the same
force and effect as if made on and as of such date except that to the extent that any such representation or warranty refers to a specific earlier date in which case such representation or warranty shall be true and correct on and as of such earlier
date; 
 b) on and as of the Borrowing Date, there shall have occurred no Material Adverse Change since [INSERT DATE OF LAST AUDITED
FINANCIAL STATEMENTS]; and 
 c) no Default exists or would result from such proposed borrowing. 

  
 Exhibit B-2 

 IN WITNESS WHEREOF, Borrower has caused this Notice of Borrowing to be duly executed and
delivered as of the day and year first above written. 
  

			
	 BORROWER:

	
	 ZYMEWORKS INC.

		
	 By
	 	  

	 Name:
	 	 Neil Klompas, CPA, CA

	 Title:
	 	 Chief Financial Officer

		
	 By
	 	  

	 Name:
	 	 Dr. Ali Tehrani, PhD

	 Title:
	 	 President and Chief Executive Officer

  
 Exhibit B-3 

 Exhibit C 

to Credit Agreement 
 FORM OF
NOTE 
  

			
	U.S. $[            ]	  	[DATE]

 FOR VALUE RECEIVED, the undersigned, ZYMEWORKS INC., a corporation organized
under the laws of Canada (“Borrower”), hereby promises to pay to [INSERT NAME OF LENDER] or its assigns (the “Lender”) at Lender’s principal office in
[                    ], in immediately available funds, the aggregate principal sum set forth above, or, if less, the aggregate unpaid principal
amount of the Loans made by Lender pursuant to Section 2.01 of the Credit Agreement and Guaranty, dated as of June 2, 2016 (as from time to time amended, restated, supplemented or otherwise modified, the
“Credit Agreement”), among ZYMEWORKS INC., a corporation organized under the laws of Canada (“Borrower”), certain Guarantors from time to time parties
hereto, PERCEPTIVE CREDIT OPPORTUNITIES FUND, L.P., a Delaware limited partnership (“Perceptive”), as a lender, and PCOF PHOENIX II
FUND, LP, a Delaware limited partnership (“PCOF”), as a lender (together with Perceptive and each of their respective successors and assigns party thereto, the
“Lenders” and each a “Lender”), on the date or dates specified in the Credit Agreement, together with interest on the principal amount of the Loans from time to time
outstanding thereunder at the rates, and payable in the manner and on the dates, specified in the Credit Agreement. 
 This Note is a Note
issued pursuant to the terms of Section 2.04 of the Credit Agreement, and this Note and the holder hereof are entitled to all the benefits and security provided for thereby or referred to therein, to which Credit Agreement
reference is hereby made for a statement thereof. All defined terms used in this Note, except terms otherwise defined herein, shall have the same meaning as in the Credit Agreement. 

THIS NOTE AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES HEREUNDER SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAW OF THE STATE
OF NEW YORK, WITHOUT REGARD TO PRINCIPLES OF CONFLICTS OF LAWS THAT WOULD RESULT IN THE APPLICATION OF THE LAWS OF ANY OTHER JURISDICTION; PROVIDED THAT SECTION 5-1401 OF THE NEW YORK GENERAL
OBLIGATIONS LAW SHALL APPLY. 
 Borrower hereby waives demand, presentment, protest or notice of any kind hereunder, other than notices
provided for in the Loan Documents. The non-exercise by the holder hereof of any of its rights hereunder in any particular instance shall not constitute a waiver thereof in such particular or any subsequent
instance. 

  
 Exhibit C-1 

 THIS NOTE MAY NOT BE TRANSFERRED EXCEPT IN COMPLIANCE WITH THE TERMS OF THE CREDIT AGREEMENT.

  

					
	 ZYMEWORKS INC.

		
	By	 	  

		 	Name:	 	Neil Klompas, CPA, CA
		 	Title:	 	Chief Financial Officer
		
	By	 	  

		 	Name:	 	Dr. Ali Tehrani, PhD
		 	Title:	 	President and Chief Executive Officer

  
 Exhibit C-2 

 Exhibit D 

to Credit Agreement 
 FORM OF
U.S. TAX COMPLIANCE CERTIFICATE 
 Reference is made to the Credit Agreement and Guaranty, dated as of June 2, 2016 (as from time to
time amended, restated, supplemented or otherwise modified, the “Credit Agreement”), among ZYMEWORKS INC., a corporation organized under the laws of Canada
(“Borrower”), certain Guarantors from time to time parties hereto, PERCEPTIVE CREDIT OPPORTUNITIES FUND, L.P., a Delaware limited partnership
(“Perceptive”), as a lender, and PCOF PHOENIX II FUND, LP, a Delaware limited partnership (“PCOF”), as a lender (together with Perceptive and
each of their respective successors and assigns party thereto, the “Lenders” and each a “Lender”). 

[                       
                 ] (the “Foreign Lender”) is providing this certificate pursuant to Section 5.03(e)(ii)(B) of the Credit Agreement.
The Foreign Lender hereby represents and warrants that: 
 1. The Foreign Lender is the sole record owner of the Loans as well as any
obligations evidenced by any Note(s) in respect of which it is providing this certificate; 
 2. The Foreign Lender’s direct or
indirect partners/members are the sole beneficial owners of the Loans as well as any obligations evidenced by any Note(s) in respect of which it is providing this certificate; 

3. Neither the Foreign Lender nor its direct or indirect partners/members is a “bank” for purposes of Section 881(c)(3)(A) of the
Internal Revenue Code of 1986, as amended (the “Code”). In this regard, the Foreign Lender further represents and warrants that: 

(a) neither the Foreign Lender nor its direct or indirect partners/members is subject to regulatory or other legal requirements as a bank in
any jurisdiction; and 
 (b) neither the Foreign Lender nor its direct or indirect partners/members has been treated as a bank for purposes
of any Tax, securities law or other filing or submission made to any Governmental Authority, any application made to a rating agency or qualification for any exemption from Tax, securities law or other legal requirements; 

3. Neither the Foreign Lender nor its direct or indirect partners/members is a 10-percent shareholder
of Borrower within the meaning of Section 881(c)(3)(B) of the Code; and 
 4. Neither the Foreign Lender nor its direct or indirect
partners/members is a controlled foreign corporation receiving interest from a related person within the meaning of Section 881(c)(3)(C) of the Code. 

[Signature follows] 

  
 Exhibit D-1 

 IN WITNESS WHEREOF, the undersigned has caused this certificate to be duly executed and delivered
as of the date indicated below. 
  

					
	 [NAME OF NON-U.S. LENDER]

		
	By	 	  

		 	Name:	 	
		 	Title:	 	
		
	Date:	 	  

  
 Exhibit D-2 

 Exhibit E 

to Credit Agreement 
 FORM OF
COMPLIANCE CERTIFICATE 
 [DATE] 

This certificate is delivered pursuant to Section 8.01(c) of, and in connection with the consummation of the transactions contemplated
in, the Credit Agreement and Guaranty, dated as of June 2, 2016 (as from time to time amended, restated, supplemented or otherwise modified, the “Credit Agreement”), among ZYMEWORKS INC., a
corporation organized under the laws of Canada (“Borrower”), certain Guarantors from time to time parties hereto, PERCEPTIVE CREDIT OPPORTUNITIES FUND,
L.P., a Delaware limited partnership (“Perceptive”), as a lender, and PCOF PHOENIX II FUND, LP, a Delaware limited partnership (“PCOF”), as a
lender (together with Perceptive and each of their respective successors and assigns party thereto, the “Lenders” and each a “Lender”). Capitalized terms used herein and not
otherwise defined herein are used herein as defined in the Credit Agreement. 
 The undersigned, a duly authorized Responsible Officer of
Borrower having the name and title set forth below under his signature, hereby certifies solely in his capacity as an officer of Borrower and not in any individual capacity, on behalf of Borrower for the benefit of the Lenders and pursuant to
Section 8.01(c) of the Credit Agreement that such Responsible Officer of Borrower is familiar with the Credit Agreement and that, in accordance with each of the following sections of the Credit Agreement, each of the following is true on the
date hereof, both before and after giving effect to the Loans to be made on or before the date hereof: 
 [In accordance with Section
8.01[(a)/(b)] of the Credit Agreement, attached hereto as Annex A are the financial statements for the [fiscal quarter/fiscal year] ended
[                    ] required to be delivered pursuant to Section 8.01[(a)/(b)] of the Credit Agreement. Such financial statements
fairly present in all material respects the consolidated financial position, results of operations and cash flow of Borrower and its Subsidiaries as at the dates indicated therein and for the periods indicated therein substantially in accordance
with GAAP [(subject to the absence of footnote disclosure and normal quarterly or year-end audit
adjustments)]1]2 
 Attached
hereto as Annex B are the calculations used to determine compliance with each financial covenant contained in Section 8 of the Credit Agreement. 

No Default or Event of Default is continuing as of the date hereof and no event or circumstance has occurred that resulted in a Material
Adverse Change[, except as provided for on Annex C attached hereto, with respect to each of which Borrower proposes to take the actions set forth on Annex C]. 

 

	1 	Insert applicable language in brackets. 

	2 	Insert language in brackets only for certificates delivered under Section 8.01(a). 

  
 Exhibit E-1 

 IN WITNESS WHEREOF, the undersigned has executed this certificate on the date first written
above. 
  

					
	 ZYMEWORKS INC.

		
	By	 	  

		 	Name:	 	Neil Klompas, CPA, CA
		 	Title:	 	Chief Financial Officer
		
	By	 	  

		 	Name:	 	Dr. Ali Tehrani, PhD
		 	Title:	 	President and Chief Executive Officer

  
 Exhibit E-2 

 Annex A to Compliance Certificate 

FINANCIAL STATEMENTS 
 [see
attached] 

  
 Exhibit E-3 

 Annex B to Compliance Certificate 

CALCULATIONS OF FINANCIAL COVENANT COMPLIANCE 
  

					
	I.	  	Section 8.18: Minimum Liquidity	  	 
	 A.
	  	Amount of unencumbered cash (other than cash encumbered by the Liens granted to the Lenders pursuant to the Loan Documents) and Permitted Cash Equivalent Investments (which for greater certainty shall not include any undrawn
credit lines), in each case, to the extent held in an account over which the Lenders have a first priority perfected security interest:	  	$            3 
		  	Is Line IA greater than $3,000,000?:	  	Yes: In compliance;
		  		  	No: Not in compliance

  

	3 	Each measurement of Liquidity under Section 8.18 of the Credit Agreement shall be in Dollars and shall be determined based on the Exchange Rate in effect on the last day of each calendar month to the extent
Liquidity shall include any amounts denominated in Canadian Dollars. 

  
 Exhibit E-4 

 Exhibit G 

to Credit Agreement 
 FORM OF
SOURCES AND USES CERTIFICATE 
 [see attached] 

  
 Exhibit G-1 

 SOURCES AND USES CERTIFICATE 

June 2, 2016 
 Reference is made to that certain Credit
Agreement and Guaranty, dated as of June 2, 2016 (as from time to time amended, restated, supplemented or otherwise modified, the “Credit Agreement”), among ZYMEWORKS INC., a corporation
organized under the laws of Canada (“Borrower”), certain Guarantors from time to time parties hereto, PERCEPTIVE CREDIT OPPORTUNITIES FUND, L.P., a
Delaware limited partnership (“Perceptive”), as a lender, and PCOF PHOENIX II FUND, LP, a Delaware limited partnership (“PCOF”), as a lender
(together with Perceptive and each of their respective successors and assigns party thereto, the “Lenders” and each a “Lender”). Capitalized terms used herein without being
herein defined have the meanings ascribed to them in the Credit Agreement. 
 Borrower hereby instructs and authorizes the Lenders to deliver and distribute
funds pursuant to the attached Annex A, in immediately available same-day funds on the date hereof upon the satisfaction or waiver in writing by the Lenders of the conditions precedent set forth in
Section 6.01 of the Credit Agreement (which satisfaction or waiver may be made simultaneously with the making of the Loans hereunder). Borrower acknowledges that such funds represent full payment and consideration for the Tranche A Term Loan
under the Credit Agreement. 
 [signature page follows] 

 IN WITNESS WHEREOF, the undersigned has executed this certificate on the date first written
above. 
  

					
	ZYMEWORKS INC.
		
	By	 	/s/ Neil Klompas
		 	  

		 	Name:	 	Neil Klompas, CPA, CA
		 	Title:	 	Chief Financial Officer
		
	By	 	/s/ Ali Tehrani
		 	  

		 	Name:	 	Dr. Ali Tehrani, PhD
		 	Title:	 	President and Chief Executive Officer

  
 2 

 Annex A 

FUNDS FLOW 
 The following transfers and
allocations shall be made simultaneously on June 2, 2016: 
 (a) Funding of the Loans. Loans shall be advanced by the Lenders in the
following amounts to total $7,500,000: 
  

	 	(i)	Perceptive Credit Opportunities Fund, L.P. - $5,558,433.39 

  

	 	(ii)	PCOF Phoenix II Fund, L.P. - $1,941,566.61 

 (b) Funding of Upfront Fee. The $337,500
financing fee payable to and distributed ratably amongst the Lenders pursuant to Section 2.03 of the Credit Agreement shall be paid by Borrower in the following amounts, by netting the amount of such upfront fee out of the proceeds of the
Loan advanced by such Lender pursuant to clause (a) above: 
  

	 	(i)	Perceptive Credit Opportunities Fund, L.P. - $250,129.50 

  

	 	(ii)	PCOF Phoenix II Fund, L.P. - $87,370.50 

 (c) Funding of Closing Fees and Expenses. The
following fees, costs and expenses due and payable pursuant to Section 13.03 of the Credit Agreement on the Closing Date shall be paid by Borrower in the following amounts, by netting the amount of such fees, costs and expenses out of
the proceeds of the Loan advanced by Perceptive Credit Opportunities Fund, L.P. pursuant to clause (a) above: 
  

	 	(i)	Perceptive Credit Opportunities Fund, L.P. - $155,221.26 

  

	 	(ii)	PCOF Phoenix II Fund, L.P. - $54,218.94 

 NET FUNDING OF LOANS: 

 

	(i)	Perceptive Credit Opportunities Fund, L.P. - $5,153,082.63 

  

	(ii)	PCOF Phoenix II Fund, L.P. - $1,799,977.17 

  
 Annex A-1 

 Exhibit H 

to Credit Agreement 
 FORM OF
WARRANT CERTIFICATE 
 [see attached] 

 Exhibit I 

to Credit Agreement 
 FORM OF
U.S. SECURITY AGREEMENT 
 [see attached] 

 Exhibit J 

to Credit Agreement 
 FORM OF
CANADIAN SECURITY AGREEMENT 
 [see attached] 

 Exhibit K-1 

to Credit Agreement 
 FORM OF
PATENT & TRADEMARK SECURITY AGREEMENT 
 [see attached] 

 Exhibit K-1 to the Credit Agreement 

BORROWER PATENT AND TRADEMARK SECURITY AGREEMENT 

            , 2016 

WHEREAS, ZYMEWORKS INC., a corporation organized under the laws of Canada (“Grantor”),
is party to that certain Security Agreement, dated as of June 2, 2016 (as amended, restated, supplemented or otherwise modified from time to time, the “Security Agreement”; capitalized terms used herein without definition
shall have the meanings set forth in the Security Agreement), among certain Grantors party thereto from time to time, PERCEPTIVE CREDIT OPPORTUNITIES FUND, L.P., a Delaware limited
partnership (“Perceptive”), as a lender, and PCOF PHOENIX II FUND, LP, a Delaware limited partnership (“PCOF”), as a lender (together with
Perceptive and each of their respective successors and assigns party thereto, the “Lenders” and each a “Lender”), and Perceptive, as control agent for the Secured Parties
(in such capacity, the “Control Agent” and, together with the Lenders, the “Secured Parties” and each, a “Secured Party”), pursuant to which Grantor has granted in favor of
Secured Parties a lien on all of its personal property, including without limitation the patents and patent applications listed on Schedule A hereto, and the trademarks and trademark applications listed on the Schedule B hereto; and

 WHEREAS, it is a condition to the advance of the loans and other obligations secured by the Security Agreement, that Grantor execute and
deliver, and cause to be filed in the U.S. Patent and Trademark Office, this Borrower Patent and Trademark Security Agreement; 
 NOW,
THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged: 
 As collateral security for
the prompt and complete payment in full and performance when due (whether at stated maturity, by acceleration or otherwise) of the Secured Obligations, Grantor hereby pledges and grants to the Secured Parties a security interest in all of
Grantor’s right, title and interest in, to and under all of the following: 
 (i) all patents and patent applications, in each case
whether now owned by Grantor or hereafter acquired and whether now existing or hereafter coming into existence, including without limitation those listed on Schedule A hereto, and all related patents and applications thereto, including all
reissuances, continuations, continuations-in-part, revisions, extensions, re-examinations thereof, any patents and patent applications claiming priority to said patents and patent applications or from which said patents and patent applications claim
priority, and pending applications associated therewith; and 
 (ii) all of the trademarks, whether now owned or at any time hereafter
acquired, of Grantor that are registered with, or for which applications for registration have been filed with, the United States Patent and Trademark Office, including the trademarks listed on Schedule B hereto, and all registrations and
pending applications associated therewith (excluding any application for registration of a trademark filed on an intent-to-use basis solely to the extent that the grant of a security interest in any such trademark application would materially
adversely affect the validity or enforceability of the resulting trademark registration or result in cancellation of such trademark application). 

 Notwithstanding the foregoing, in the event of any conflict between this Borrower Patent and
Trademark Security Agreement and the Security Agreement, the Security Agreement shall control. 
 This Borrower Patent and Trademark
Security Agreement and the rights and obligations of the parties hereunder shall be governed by, and construed in accordance with, the law of the State of New York, without regard to principles of conflicts of laws that would result in the
application of the laws of any other jurisdiction; provided, that Section 5-1401 of the New York General Obligations Law shall apply. 

[signature to follow] 

  
 2 

 Exhibit K-1 to the Credit Agreement 

IN WITNESS WHEREOF, Grantor has caused this Borrower Patent and Trademark Security Agreement to be duly executed and delivered as of the day
and year first above written. 
  

					
	 ZYMEWORKS INC.,

	 as Grantor

		
	 By
	 	  

		 	 Name:
	 	 Neil Klompas, CPA, CA

		 	 Title:
	 	 Chief Financial Officer

		
	 By
	 	  

		 	 Name:
	 	 Dr. Ali Tehrani, PhD

		 	 Title:
	 	 President and Chief Executive Officer

  
 SCHEDULE B TO BORROWER
PATENT AND TRADEMARK SECURITY AGREEMENT 

 Schedule A 

to Borrower Patent and Trademark Security Agreement 

PATENTS AND PATENT APPLICATIONS 
  

					
	 Patent Description/Title
	  	 Patent Number (if

registered) or Serial Number

(if applied for only)
	  	 Issuance Date (if

Registered) or Filing

Date (if applied for only)

		  		  	
		  		  	
		  		  	

  
 SCHEDULE A TO BORROWER
PATENT AND TRADEMARK SECURITY AGREEMENT 

 Schedule B 

to Borrower Patent and Trademark Security Agreement 

TRADEMARKS AND TRADEMARK APPLICATIONS 
  

					
	 Trademark
	  	 Registration Number (if

registered) or Serial

Number (if applied for

only)
	  	 Registration Date (if

Registered) or Filing

Date (if applied for only)

	  	  
	  	  
	  	  
	 	  	 	  	 
	 	  	 	  	 
	 	  	 	  	 

  
 SCHEDULE B TO BORROWER
PATENT AND TRADEMARK SECURITY AGREEMENT 

 Exhibit K-1 to the Credit Agreement 

GUARANTOR PATENT AND TRADEMARK SECURITY AGREEMENT 

            , 2016 

WHEREAS, [                    ], a
[corporation] organized under the laws of [                    ] (“Grantor”), is party to that certain Security Agreement,
dated as of June 2, 2016 (as amended, restated, supplemented or otherwise modified from time to time, the “Security Agreement”; capitalized terms used herein without definition shall have the meanings set forth in the
Security Agreement), among certain Grantors party thereto from time to time, PERCEPTIVE CREDIT OPPORTUNITIES FUND, L.P., a Delaware limited partnership
(“Perceptive”), as a lender, and PCOF PHOENIX II FUND, LP, a Delaware limited partnership (“PCOF”), as a lender (together with Perceptive and
each of their respective successors and assigns party thereto, the “Lenders” and each a “Lender”), and Perceptive, as control agent for the Secured Parties (in such
capacity, the “Control Agent” and, together with the Lenders, the “Secured Parties” and each, a “Secured Party”), pursuant to which Grantor has granted in favor of Secured
Parties a lien on all of its personal property, including without limitation the patents and patent applications listed on Schedule A hereto, and the trademarks and trademark applications listed on the Schedule B hereto; and 

WHEREAS, it is a condition to the advance of the loans and other obligations secured by the Security Agreement, that Grantor execute and
deliver, and cause to be filed in the U.S. Patent and Trademark Office, this Guarantor Patent and Trademark Security Agreement; 
 NOW,
THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged: 
 As collateral security for
the prompt and complete payment in full and performance when due (whether at stated maturity, by acceleration or otherwise) of the Secured Obligations, Grantor hereby pledges and grants to the Secured Parties a security interest in all of
Grantor’s right, title and interest in, to and under all of the following: 
 (i) all patents and patent applications, in each case
whether now owned by Grantor or hereafter acquired and whether now existing or hereafter coming into existence, including without limitation those listed on Schedule A hereto, and all related patents and applications thereto, including all
reissuances, continuations, continuations-in-part, revisions, extensions, re-examinations thereof, any patents and patent applications claiming priority to said patents and patent applications or from which said patents and patent applications claim
priority, and pending applications associated therewith; and 
 (ii) all of the trademarks, whether now owned or at any time hereafter
acquired, of Grantor that are registered with, or for which applications for registration have been filed with, the United States Patent and Trademark Office, including the trademarks listed on Schedule B hereto, and all registrations and
pending applications associated therewith (excluding any application for registration of a trademark filed on an intent-to-use basis solely to the extent that the grant of a security interest in any such trademark application would materially
adversely affect the validity or enforceability of the resulting trademark registration or result in cancellation of such trademark application). 

 Notwithstanding the foregoing, in the event of any conflict between this Guarantor Patent and
Trademark Security Agreement and the Security Agreement, the Security Agreement shall control. 
 This Guarantor Patent and Trademark
Security Agreement and the rights and obligations of the parties hereunder shall be governed by, and construed in accordance with, the law of the State of New York, without regard to principles of conflicts of laws that would result in the
application of the laws of any other jurisdiction; provided, that Section 5-1401 of the New York General Obligations Law shall apply. 

[signature to follow] 

  
 2 

 IN WITNESS WHEREOF, Grantor has caused this Guarantor Patent and Trademark Security Agreement to
be duly executed and delivered as of the day and year first above written. 
  

			
	
[                  
                                      ],

	 as Grantor

		
	 By
	 	  

		 	 Name:

		 	 Title:

  
 SIGNATURE PAGE TO
GUARANTOR PATENT AND TRADEMARK SECURITY AGREEMENT 

 Schedule A 

to Guarantor Patent and Trademark Security Agreement 

PATENTS AND PATENT APPLICATIONS 
  

					
	 Patent
Description/Title
	  	 Patent Number (if

registered) or Serial Number

(if applied for only)
	  	 Issuance Date (if

Registered) or Filing

Date (if applied for only)

	  	  
	  	  
	 	  	 	  	 
	 	  	 	  	 
	 	  	 	  	 

  
 SCHEDULE A TO GUARANTOR
PATENT AND TRADEMARK SECURITY AGREEMENT 

 Schedule B 

to Guarantor Patent and Trademark Security Agreement 

TRADEMARKS AND TRADEMARK APPLICATIONS 
  

					
	 Trademark
	  	 Registration Number (if

registered) or Serial

Number (if applied for

only)
	  	 Registration Date (if

Registered) or Filing

Date (if applied for only)

	  	  
	  	  
	  	  
	 	  	 	  	 
	 	  	 	  	 
	 	  	 	  	 

  
 SCHEDULE B TO GUARANTOR
PATENT AND TRADEMARK SECURITY AGREEMENT 

 Exhibit K-2 

to Credit Agreement 
 FORM OF
COPYRIGHT SECURITY AGREEMENT 
 [see attached] 

 Exhibit K-2 to the Credit Agreement 

BORROWER COPYRIGHT SECURITY AGREEMENT 

            , 2016 

WHEREAS, ZYMEWORKS INC., a corporation organized under the laws of Canada (“Grantor”),
is party to that certain Security Agreement, dated as of June 2, 2016 (as amended, restated, supplemented or otherwise modified from time to time, the “Security Agreement”; capitalized terms used herein without definition
shall have the meanings set forth in the Security Agreement), among certain Grantors party thereto from time to time, PERCEPTIVE CREDIT OPPORTUNITIES FUND, L.P., a Delaware limited
partnership (“Perceptive”), as a lender, and PCOF PHOENIX II FUND, LP, a Delaware limited partnership (“PCOF”), as a lender (together with
Perceptive and each of their respective successors and assigns party thereto, the “Lenders” and each a “Lender”), and Perceptive, as control agent for the Secured Parties
(in such capacity, the “Control Agent” and, together with the Lenders, the “Secured Parties” and each, a “Secured Party”), pursuant to which Grantor has granted in favor of
Secured Parties a lien on all of its personal property, including without limitation the copyrights listed on Schedule A hereto; and 

WHEREAS, it is a condition to the advance of the loans and other obligations secured by the Security Agreement, that Grantor execute and
deliver, and cause to be filed in the U.S. Copyright Office, this Borrower Copyright Security Agreement; 
 NOW, THEREFORE, for good and
valuable consideration, the receipt and sufficiency of which are hereby acknowledged: 
 As collateral security for the prompt and complete
payment in full and performance when due (whether at stated maturity, by acceleration or otherwise) of the Secured Obligations, Grantor hereby pledges and grants to the Secured Parties a security interest in all of Grantor’s right, title and
interest in, to and under all of the following: 
 (i) all copyrights, whether now owned or at any time hereafter acquired, of the Grantor
that are registered with, or for which applications for registration have been filed with, the United States Copyright Office, including the copyrights listed on Schedule A hereto, and all registrations and pending applications associated
therewith (excluding any application for registration of a copyright filed on an intent-to-use basis solely to the extent that the grant of a security interest in any such copyright application would materially adversely affect the validity or
enforceability of the resulting copyright registration or result in cancellation of such copyright application). 
 Notwithstanding the
foregoing, in the event of any conflict between this Borrower Copyright Security Agreement and the Security Agreement, the Security Agreement shall control. 

This Borrower Copyright Security Agreement and the rights and obligations of the parties hereunder shall be governed by, and construed in
accordance with, the law of the State of New York, without regard to principles of conflicts of laws that would result in the application of the laws of any other jurisdiction; provided, that Section 5-1401 of the New York General Obligations Law
shall apply. 
 [signature to follow] 

 IN WITNESS WHEREOF, Grantor has caused this Borrower Copyright Security Agreement to be duly
executed and delivered as of the day and year first above written. 
  

			
	ZYMEWORKS INC.,
	 as Grantor

		
	By	 	  

		 	Name:
		 	Title:
		 	Date:

  
 SIGNATURE PAGE TO
BORROWER COPYRIGHT SECURITY AGREEMENT 

 Schedule A 

to Borrower Copyright Security Agreement 

COPYRIGHTS AND APPLICATIONS 
  

					
	 Title of Work
	  	 Registration Number (if

registered)
	  	 Date of Issuance (if

Registered) or Application

Date (if applied for only)

		  		  	
		  		  	
		  		  	

  
 SCHEDULE A TO BORROWER
COPYRIGHT SECURITY AGREEMENT 

 Exhibit K-2 to the Credit Agreement 

GUARANTOR COPYRIGHT SECURITY AGREEMENT 

            , 2016 

WHEREAS,
[                                        ], a
[corporation] organized under the laws of [                    ] (“Grantor”), is party to that certain Security Agreement,
dated as of June 2, 2016 (as amended, restated, supplemented or otherwise modified from time to time, the “Security Agreement”; capitalized terms used herein without definition shall have the meanings set forth in the
Security Agreement), among certain Grantors party thereto from time to time, PERCEPTIVE CREDIT OPPORTUNITIES FUND, L.P., a Delaware limited partnership
(“Perceptive”), as a lender, and PCOF PHOENIX II FUND, LP, a Delaware limited partnership (“PCOF”), as a lender (together with Perceptive and
each of their respective successors and assigns party thereto, the “Lenders” and each a “Lender”), and Perceptive, as control agent for the Secured Parties (in such
capacity, the “Control Agent” and, together with the Lenders, the “Secured Parties” and each, a “Secured Party”), pursuant to which Grantor has granted in favor of Secured
Parties a lien on all of its personal property, including without limitation the copyrights listed on Schedule A hereto; and 

WHEREAS, it is a condition to the advance of the loans and other obligations secured by the Security Agreement, that Grantor execute and
deliver, and cause to be filed in the U.S. Copyright Office, this Guarantor Copyright Security Agreement; 
 NOW, THEREFORE, for good and
valuable consideration, the receipt and sufficiency of which are hereby acknowledged: 
 As collateral security for the prompt and complete
payment in full and performance when due (whether at stated maturity, by acceleration or otherwise) of the Secured Obligations, Grantor hereby pledges and grants to the Secured Parties a security interest in all of Grantor’s right, title and
interest in, to and under all of the following: 
 (i) all copyrights, whether now owned or at any time hereafter acquired, of the Grantor
that are registered with, or for which applications for registration have been filed with, the United States Copyright Office, including the copyrights listed on Schedule A hereto, and all registrations and pending applications associated
therewith (excluding any application for registration of a copyright filed on an intent-to-use basis solely to the extent that the grant of a security interest in any such copyright application would materially adversely affect the validity or
enforceability of the resulting copyright registration or result in cancellation of such copyright application). 
 Notwithstanding the
foregoing, in the event of any conflict between this Guarantor Copyright Security Agreement and the Security Agreement, the Security Agreement shall control. 

This Guarantor Copyright Security Agreement and the rights and obligations of the parties hereunder shall be governed by, and construed in
accordance with, the law of the State of New York, without regard to principles of conflicts of laws that would result in the application of the laws of any other jurisdiction; provided, that Section 5-1401 of the New York General Obligations Law
shall apply. 
 [signature to follow] 

 IN WITNESS WHEREOF, Grantor has caused this Guarantor Copyright Security Agreement to be duly
executed and delivered as of the day and year first above written. 
  

			
	[                                    
                        ],
	 as Grantor

		
	By	 	  

		 	Name:
		 	Title:
		 	Date:

  
 SIGNATURE PAGE TO
GUARANTOR COPYRIGHT SECURITY AGREEMENT 

 Schedule A 

to Guarantor Copyright Security Agreement 

COPYRIGHTS AND APPLICATIONS 
  

					
	 Title of Work
	  	 Registration Number (if

registered)
	  	 Date of Issuance (if

Registered) or Application

Date (if applied for only)

		  		  	
		  		  	
		  		  	

  
 SCHEDULE A TO GUARANTOR
COPYRIGHT SECURITY AGREEMENT 

 Exhibit L 

to Credit Agreement 
 FORM OF
COLLATERAL QUESTIONNAIRE 
 [see attached]

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