Document:

Sublease between the Registrant and Anesiva, Inc.

 Exhibit 10.8 
 SUBLEASE 
 400 Oyster Point Blvd., Ste. 503 

South San Francisco, California 
 THIS SUBLEASE AGREEMENT (“Sublease”) is made and entered into on March 27, 2009 by and between TITAN PHARMACEUTICAL, INC., a Delaware corporation (hereinafter “Sublessor”), and
ANESIVA, INC., a Delaware corporation (hereinafter “Sublessee”). 
 WHEREAS 
  

	A.	Sublessor is “Tenant” under that certain Office Lease dated February 14, 1996, as amended by that certain First Amendment to Lease dated March 25,
1997, Second Amendment to Lease dated May 22, 1998, Third Amendment to Lease dated November 11, 2000, Fourth Amendment to Lease dated April 9, 2001, Fifth Amendment to Lease dated December 5, 2001, Sixth Amendment to Lease dated
August 1, 2002, Seventh Amendment to Lease dated October 1, 2004, Eight Amendment to Lease dated May 22, 2007, and Ninth Amendment to Lease dated February 11, 2009 (collectively, the “Master Lease”) by and between Kashiwa
Fudosan America, Inc., as landlord (the “Master Landlord”), and Sublessor, as tenant, for office space more particularly described therein (“Leased Premises”) and located in an office building located in the City of South San
Francisco, County of San Mateo, State of California, commonly known as 400 Oyster Point Blvd. (“Building”); and 

  

	B.	Sublessor desires to sublease to Sublessee and Sublessee desires to sublease from Sublessor, a portion of the Leased Premises containing exactly sixty-eight hundred
seventy-one square feet (6.871 s.f.) of interior space in a portion of the Leased Premises identified as Suite 505 (the “Subleased Premises”) and as more particularly depicted on Exhibit A annexed hereto and made a part hereof by
reference, which Subleased Premises, once demised from the Leased Premises, will be known and designated as Suite 503. 

 NOW THEREFORE, for and in consideration of the Subleased Premises and mutual covenants herein contained and for other good and valuable consideration the receipt and sufficiency of which is hereby acknowledged, the parties hereby
agree as follows: 
 1. Demise. Sublessor does hereby sublease and demise to Sublessee, and Sublessee does hereby hire
from Sublessor, the Subleased Premises, together with the licenses, rights, privileges and easements appurtenant thereto including, without limitation, the non-exclusive right in and to the use of any and all common or public areas or facilities for
the benefit of occupants of the Building. 
 2. Term. Subject to Paragraph 11 below, the term of this Sublease shall
commence on April 1, 2009 (the “Commencement Date”), and shall expire on June 29, 2010, unless sooner

  

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terminated or further extended pursuant to the provisions hereof (the “Term”). In order to induce Sublessee to execute this Sublease and in consideration thereof. Sublessor covenants,
warrants and represents to Sublessee that the Master Lease is, as of the Effective Date, and will be, as of the Commencement Date, in full force and effect and the then-remaining term thereof will not expire before the expiration of the Term hereof.

 3. Early Entry. Any time between the Effective Date and the Commencement Date, Sublessee shall have the right to enter
the Subleased Premises to (a) inspect the physical condition thereof and conduct its due diligence investigation to determine the suitability of the Subleased Premises for Sublessee’s intended use and operation, (b) inspect
Sublessor’s Work (as hereinafter defined), and/or (c) to do such other and further things as Sublessee may deem appropriate so long as Sublessee complies with all of the terms and conditions hereof; and provided, however,
that such entry does not unreasonably interfere with Sublessor’s performance of Sublessor’s Work. Such early entry shall not be construed as an acceptance of the Subleased Premises by Sublessee under the provisions of this Sublease, as an
attempt to violate, negate or avoid Master Landlord’s rights under Article 17 of the Master Lease, or as evidence of the occurrence of the Commencement Date hereunder. 
 4. Rent. Commencing on the Commencement Date. Sublessee shall pay to Sublessor as full and complete rent for the
Subleased Premises an amount equal to One and  30/100 Dollars ($1.30) per square foot of the Subleased Premises (i.e., 6,871 s.f.) per month, payable in advance, on the first (1st) day of each calendar month of the Term hereof (“Rent”); provided, however, that Rent
shall fully and completely abate from the Commencement Date through May 31, 2009 (the “Free Rent Period”). Notwithstanding the foregoing, Sublessee shall pay to Sublessor on the Commencement Date an amount equal to one month’s
Rent, which Sublessor shall apply to the first payment of Rent that becomes due and payable by Sublessee after the expiration of the Free Rent Period. In the event any portion of the Term shall constitute less a full calendar month, Rent for such
partial calendar month shall be prorated on a day-for-day basis such that Sublessee shall pay Rent only for the portion of each such partial calendar month as falls within the Term. 
 5. Security Deposit. Immediately after the Effective Date hereof (and no later than the Commencement Date), Sublessee shall deposit
with Sublessor an amount equal to one month’s Rent, to be held and retained by Sublessor throughout the Term and returned by Sublessor to Sublessee promptly at the expiration or earlier termination of this Sublease, less any monies reasonably
retained by Sublessor as reimbursement of reasonable expenses actually incurred by Sublessor to repair damage to or facilitate cleaning of the Subleased Premises that Sublessee failed to perform to the standards required by the Master Lease.

  

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 6. Sublessor’s Work. Sublessor, at its sole cost and expense, shall supply the
existing furniture located within the Subleased Premises for Sublessee’s exclusive use (“Sublessor’s Work”). In addition to the foregoing, Sublessor and Sublessee agree to diligently and in good faith coordinate mutual on-going
access to and operation of a common server room located in the Subleased Premises including, without limitation, the phone system(s) therein, such that both Sublessor and Sublessee shall have use of and access to such system(s) throughout the Term.

 7. Use. The Subleased Premises shall be used and occupied for executive and general offices and for no other purposes
without Sublessor’s prior written consent, not to be unreasonable conditioned, withheld or delayed. 
 8. Master
Lease. Sublessee acknowledges and agrees that Sublessor has provided Sublessee with a copy of the Master Lease inclusive of all amendments as more particularly described in the recitals hereof. With knowledge of the content of the Master Lease,
Sublessor and Sublessee hereby agree that: 
 a. This Sublease and all rights of Sublessee hereunder and with
respect to the Subleased Premises are subject and subordinate to the terms, conditions and provisions of the Master Lease subject, however, to the terms and conditions of any Recognition Agreement (as defined in Paragraph 14 below). As to the
Subleased Premises only, Sublessee hereby assumes and agrees, jointly and severally with Sublessor, to perform faithfully and be bound by all of Sublessor’s obligations, covenants, restrictions and agreements under the Master Lease, except that
as between Sublessor and Sublessee, Sublessee shall not be liable or responsible for any monetary obligations under the Master Lease including, without limitation, Rent, Operating Expenses, Real Estate Taxes and Code Costs, which Sublessor hereby
agrees shall be solely the liability and responsibility of Sublessor and with respect to which Sublessor hereby indemnifies Sublessee. 
 b. Without limiting the foregoing: 
 i. Sublessee shall not make
any material changes, alterations or additions in or to the Subleased Premises without first obtaining Sublessor’s prior written consent, which shall not be unreasonably withheld, conditioned or delayed; provided, however.
Sublessee shall not be required to obtain Sublessor’s consent in any circumstance under which Sublessor is not required under Article 9 of the Master Lease to obtain the Master Landlord’s consent therefor. 
  

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 ii. If Sublessee desires to take any other action, which, if such action
were taken by Sublessor would require Master Landlord’s consent under the Master Lease, Sublessee shall not take such action without first obtaining the written consent of Master Landlord; provided, however, if the Master Landlord
refuses to acknowledge Sublessee’s request for consent due to lack of privity or otherwise, Sublessor shall make the request, in form and substance approved by Sublessee, for Master Landlord’s consent pursuant to the Master Lease for and
on behalf of Sublessee. 
 iii. Rights of the Master Landlord, its agents and representatives under the Master
Lease to enter the Leased Premises shall inure to the benefit of Sublessor, its agents and representatives, with respect to the Subleased Premises if and to the extent such entry by Sublessor is reasonably necessary to facilitate the entry by Master
Landlord under the Master Lease and provided that Sublessor shall have given Sublessee comparable notice of such entry under this Sublease as the Master Landlord is required to give Sublessor under the Master Lease. 
 iv. Sublessee shall maintain insurance of the kinds and in the amounts required to be maintained by Sublessor under the
Master Lease, except that all policies of liability insurance shall name as additional insureds both the Master Landlord and the Sublessor. 
 v. Sublessee shall not intentionally or negligently take any action or fail to take any action that is reasonably likely to cause an Event of Default under the Master Lease or that would cause the Master
Lease to be cancelled or terminated. 
 c. Notwithstanding anything contained herein or in the Master Lease to
the contrary, Sublessor and Sublessee hereby agree as follows: 
 i. Except as otherwise expressly set forth
herein, Sublessee shall not assign, mortgage, pledge, hypothecate or otherwise transfer or permit the transfer of Sublessee’s interest in this Sublease, by operation of law or otherwise, or permit the use of the Subleased Premises or any part
thereof by any person other than Sublessee, its officers, directors, partners, employees or agents, or further sublet the Subleased Premises or any part thereof, without the prior written consent of Sublessor, which shall not be unreasonably
withheld, conditioned or delayed, and if and to the extent

  

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required under the Master Lease, the prior written consent of Master Landlord. For the purposes hereof, Sublessor and Sublessee acknowledge and agree that as to Sublessor’s consent right
under this Paragraph 8(c)(i), it shall constitute reasonable grounds to deny consent to an assignment or further sublease if the proposed assignee or sub-subtenant (together with any guarantor) is not, in Sublessor’s reasonable judgment,
financially capable of paying the Rent hereunder. Notwithstanding the foregoing, in the event Sublessee is a publicly traded company, the public trading of Sublessee’s shares (including pink sheets and counter trading) shall not be deemed a
transfer under this Sublease. In addition to and not in limitation of the foregoing, Sublessee shall have the right from time to time, without the consent of Sublessor to assign Sublessee’s interest in this Sublease and/or to sublet or license
all or any portion of the Subleased Premises: (i) to an affiliate (as defined in Section 17.1.1 of the Master Lease) of Sublessee; (ii) to any entity which purchases all or substantially all of the assets of Sublessee; (iii) in
conjunction with any merger, acquisition, consolidation or public offering of stock or other interests involving Sublessee; and/or (v) as may be required by any law. If Sublessor shall give its consent under this Paragraph 8(c)(i), Sublessee
shall, in consideration therefor, pay to Sublessor one hundred percent (100%) of all sums and other consideration actually paid to Sublessee by the assignee or sub-subtenant for or by reason of such assignment or sub-subletting as such sums
exceed any amounts payable by Sublessee to Sublessor hereunder. 
 ii. Rent shall not abate by reason of any
damage to or destruction of the Subleased Premises, the Leased Premises or the Building or any part thereof, unless, and then only with respect to the same period of time that, rental and such other payments are actually abated under the Master
Lease with respect to the Subleased Premises on account of such damage or destruction. 
 iii. Sublessee shall
not have any right to any portion of the proceeds of any award for a condemnation or other taking, or a conveyance in lieu thereof, of all or any portion of the Building, the Leased Premises or the Subleased Premises; provided,
however, that Sublessee shall have the right to file any separate claim available to Sublessee for any taking of Sublessee’s personal property and fixtures belonging to Sublessee and removable by Sublessee on expiration of the Term
(excluding Sublessor’s Work), and for moving expenses and/or

  

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relocation costs, so long as any such claim does not diminish the award available to Sublessor and/or Master Landlord and so long as any such claim is payable separately to Sublessee. 

iv. Sublessee shall not benefit from (i) any rent concessions or abatements, (ii) any construction allowances,
(iii) any right to renew or extend the term of the Master Lease, (iv) any right to terminate the Master Lease, or (v) any right of first refusal or first offer under the Master Lease; provided, however, that the
foregoing shall not diminish any similar right inuring to Sublessee if expressly set forth herein. 
 v. All of
the terms, covenants, conditions and provisions of the Master Lease shall be and hereby are incorporated into the Sublease as if fully set forth herein, except to the extent otherwise expressly provided to the contrary or to the extent of a conflict
between this Sublease and the Master Lease, in which event the terms, covenants, conditions and provisions of the Sublease shall control. 
 vi. Subject to any Recognition Agreement, the Term of this Sublease shall terminate, without liability of Sublessor to Sublessee, if the Master Landlord terminates the Master Lease. 
 9. Default. 
 a. It shall be an Event of Default upon the happening of any of the following: 
 i. Sublessee fails to pay any Rent hereunder and such failure continues for five (5) days after Sublessee’s receipt of written notice thereof from Sublessor to Sublessee; 
 ii. Sublessee fails to pay any other amount due from Sublessee hereunder for which Sublessee has received written notice
from Sublessor that such amount is due, and such failure continues for ten (10) days after Sublessee’s receipt of written notice of such failure to pay from Sublessor to Sublessee; 
 iii. Sublessee fails to perform or observe any other material covenant or agreement set forth in this Sublease and such
failure continues for thirty (30) days after Sublessee’s receipt of written notice thereof from

  

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Sublessor to Sublessee (it being intended in connection with a default not susceptible of being cured with due diligence within said thirty (30) day period that the time allowed Sublessee
within which to cure same shall be extended for such period as may be necessary to complete same with all due diligence); or 
 iv. Any other event occurs that involves Sublessee or is caused by Sublessee within the Subleased Premises and with regard to which (y) Sublessor has received notice from Master Landlord that the
same constitutes a default under the Master Lease, and (z) Sublessor has provided Sublessee with a copy of such written default notice from Master Landlord, and Sublessee fails to cure such default as claimed by Master Landlord before that
default matures into an Event of Default under the Master Lease, but only to the extent that Sublessee is responsible for the event giving rise to Master Landlord’s default notice. 
 b. It shall be an Event of Sublessor Default upon the happening of any of the following: 
 i. Sublessor fails to pay timely any Rent, Operating Expenses, Real Estate Taxes, Code Costs or other amounts due and
payable under the Master Lease and such failure becomes an Event of Default under the Master Lease; 
 ii.
Sublessor fails to perform or observe any other covenant or agreement set forth in the Master Lease and such failure becomes an Event of Default under the Master Lease; or 
 iii. Sublessor fails to perform or observe any covenant or agreement set forth in this Sublease and such failure continues
for thirty (30) days after written notice thereof from Sublessee to Sublessor (it being intended in connection with a default not susceptible of being cured with due diligence within said thirty (30) day period that the time allowed
Sublessor within which to cure same shall be extended for such period as may be necessary to complete same with all due diligence). 
 c. If there shall be an Event of Default by Sublessee or an Event of Sublessor Default by Sublessor (“Defaulting Party”), then Sublessor or Sublessee, respectively, as the case may be
(“Non-Defaulting Party”), may exercise all rights and remedies available to it at law or in equity including, without limitation, all

  

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rights and remedies afforded the Master Landlord under the Master Lease. If the Defaulting Party fails or refuses to make any payment or perform any covenant or agreement to be performed
hereunder, the Non-Defaulting Party may make such payment or undertake to perform such covenant or agreement (but shall not have any obligation to do so). In such event, any actual and reasonable amounts so paid or incurred by the Non-Defaulting
Party including, without limitation, all costs, expenses and reasonable attorneys’ fees (collectively “Cure Costs”), shall be immediately due and payable by the Defaulting Party to the Non-Defaulting Party. If Sublessee is the
Defaulting Party, Cure Costs shall be deemed to be Rent, and if Sublessor is the Defaulting Party, Sublessee shall be entitled to offset its Cure Costs against Rent. 
 10. Indemnity. Sublessee covenants to defend and indemnify Sublessor and hold Sublessor harmless from and against any and all claims, actions, damages, liabilities and expenses, including
reasonable attorneys’ fees, (i) in connection with loss of life, personal injury and/or damage to property arising from or out of any occurrence in or upon the Subleased Premises, or any part thereof, except to the extent arising from
Sublessor’s and/or Master Landlord’s access and entry into the Subleased Premises, or (ii) occasioned wholly or in part by any act or omission of Sublessee, its agents, contractors, employees, servants, or licensees, except to the
extent such claims, actions, damages, liability and expense are caused by the acts or omissions of Sublessor, its agents, contractors, licensees, employees, or Master Landlord, or any other tenants and occupants of the Building, or for which any of
said parties may be statutorily liable. Sublessor covenants to defend and indemnify Sublessee and hold Sublessee harmless from and against any and all claims, actions, damages, liabilities and expenses, including reasonable attorneys’ fees,
(y) in connection with loss of life, personal injury and/or damage to property arising from or out of any occurrence in or upon any portion(s) of the Leased Premises (excluding the Subleased Premises, except to the extent arising from
Sublessor’s and/or Master Landlord’s access and entry into the Subleased Premises), or (z) occasioned wholly or in part by any act or omission of Sublessor, its agents, contractors, employees, servants, subtenants (other than
Sublessee), occupants or licensees, except to the extent such claims, actions, damages, liability and expense are caused by the acts or omissions of Sublessee its agents, contractors, licensees or employees, or for which any of said parties may be
statutorily liable. In addition to and not in limitation of the foregoing. Sublessor agrees that Sublessor shall be solely responsible for the fees and commissions of any broker utilized in connection with this Sublease and agrees to indemnify,
defend and hold Sublessee harmless against any and all claims by any person for brokerage commissions or fees arising out of any conversation, negotiations or other dealings with any other broker regarding this Sublease. 
 11. Extension Option. If Sublessor elects under Section 1.7 of the Master Lease to exercise Sublessor’s Extension Option,
then within ten (10) days after Sublessor gives Master

  

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Landlord written notice of Sublessor’s irrevocable election to exercise such option, Sublessor also shall give Sublessee written notice of such exercise by Sublessor, which notice to
Sublessee shall specify the extended date on which the Master Lease will now expire (“Sublessor’s Extension Notice”). Within ninety (90) days after Sublessee’s receipt of Sublessor’s Extension Notice, Sublessee shall
notify Sublessor of its intention to extend the Term hereof for the equal number of days by which the Master Lease was so extended (“Sublessee’s Extension Notice”). If Sublessee fails to give Sublessee’s Extension Notice,
Sublessee shall be deemed to have waived its rights under this Paragraph 11 and this Sublease shall expire as initially set forth in Paragraph 2 above. If Sublessee delivers Sublessee’s Extension Notice, then the Term hereof shall be deemed
extended so as to expire on the calendar day immediately preceding the calendar day on which the Master Lease will expire and all terms, conditions and provisions of this Sublease shall remain in full force and effect throughout such extended Term.

 12. Parking. Sublessee and its employees, invitees, agents, customers, concessionaires and licensees shall have the
nonexclusive right, in common with Sublessor, to use a portion of the fifty-six (56) unassigned parking spaces allocated to Sublessor under the Master Lease, at no cost to Sublessee, together with all means of ingress to and egress from the
aforesaid parking to and from public streets and roads bordering the Building now or hereafter made available or maintained by Master Landlord. The portion of Sublessor’s parking space to which Sublessee shall be entitled to use shall be
calculated on a proportional basis, such that Sublessee shall be entitled to a percentage of such total number of Sublessor’s parking spaces as the Rentable Square Footage of the Subleased Premises bears to the rental square footage of the
entire Leased Premises. 
 13. Master Landlord’s Consent. Sublessor and Sublessee acknowledge and agree that this
Sublease is subject to the consent of Master Landlord under Article 17 of the Master Lease. Sublessor covenants, warrants and represents to Sublessee that the Master Landlord has waived its recapture right under Section 17.3 of the Master Lease
and has otherwise consented to the transaction contemplated by this Sublease, but has not yet approved the form of this Sublease as required by Section 17.4(f) of the Master Lease. In light of the Commencement Date, Sublessor and Sublessee
nevertheless have agreed to execute this Sublease prior to Master Landlord’s approval of the form hereof. As such, Sublessor covenants and agrees that within one (1) business day after the Effective Date hereof, Sublessor shall deliver to
Master Landlord a copy of this fully executed Sublease in order to obtain Master Landlord’s approval thereof. If, in response thereto, Master Landlord requires revision(s) to the Sublease, Sublessor immediately shall give Sublessee written
notice of such required change(s) and Sublessor and Sublessee shall promptly and in good faith enter into a mutually agreeable amendment to this Sublease to incorporate such required change(s) of Master Landlord: provided, however, in
no event shall either party be required to agree to any amendment that is inconsistent or in conflict with the terms of that certain Letter of Intent dated February 26, 2009, the terms of which Master

  

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Landlord has previously given its consent. Sublessor agrees to indemnify, defend and hold Sublessee harmless against any and all claims by Master Landlord arising from or in connection with this
Sublease including, without limitation, Sublessee’s early entry into the Subleased Premises as set forth herein or the failure by Master Landlord to have waived its recapture right or consent to this Sublease. 
 14. Recognition Agreement. Sublessor covenants and agrees that within one (1) business day after the Effective Date hereof,
Sublessor shall deliver to Master Landlord a proposed form of Recognition Agreement, prepared by and delivered to Sublessor by Sublessee, and Sublessor shall thereafter use commercially reasonable efforts to obtain from Master Landlord, and deliver
to Sublessee, such fee owner recognition agreement in a form reasonably satisfactory to Sublessee, which shall include the following provisions: (i) the Master Landlord will not, in the exercise of any of the rights arising or which may arise
out of such Sublease, disturb or deprive Sublessee in or of its possession or its rights to possession of the Subleased Premises or of any right or privilege granted to or inuring to the benefit of Sublessee under this Sublease; and (ii) in the
event of the termination of the Master Lease, Sublessee shall not be made a party in any removal or eviction action or proceeding, nor shall Sublessee be evicted or removed of its possession or its right of possession of the Subleased Premises, and
this Sublease shall continue in full force and effect as a direct lease between the Master Landlord and Sublessee for the remainder of the Term and on the same terms and conditions as contained herein, without the necessity of executing a new lease
(“Recognition Agreement”). 
 15. Notices. Any notice or demand given or required to be given hereunder shall
be made in writing, delivered by certified or registered mail, return receipt requested, or by reliable overnight courier, to the address of the respective parties set forth below and any such notice or demand shall be deemed received as of the date
delivery is confirmed or refused: 
  

			
	 Sublessor:
	 	Titan Pharmaceuticals, Inc.
		 	 400 Oyster Point Blvd., Suite 505
 South San Francisco, California 94080
 Attention: Mr. Robert Farrell

		
	 Sublessee:
	 	Anesiva, Inc.
		 	 400 Oyster Point Blvd., Suite 503
 South San Francisco, California 94080
 Attention: Vice President – Legal

		
	With a copy to:	 	
		 	 Patras Williams & Johnson, LLC
 175 Quincy Court, Unit B
 Hopelawn, New Jersey 08861
 Attention: Amy M. Williams

  

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 Sublessor and Sublessee may from time to time designate any other or additional address(es)
by the giving of written notice thereof pursuant to this provision. 
 16. General. 
 a. Binding Effect. Subject to the terms, conditions and provisions hereof, this Sublease shall be binding on the
parties hereto and their successors and assigns. Notwithstanding the foregoing, the submission of this Sublease for examination and negotiation does not constitute an offer to lease by either party hereto and this Sublease shall only become
effective and binding on the execution and delivery hereof by both Sublessor and Sublessee. Electronic and/or facsimile signatures on this Sublease shall be deemed as effective and enforceable as original signatures; provided, however,
each party shall be obligated, on the request of the other party, to provide such original signature promptly if and when so requested. 
 b. Governing Law. This Sublease shall be governed and construed in accordance with the laws of the State of California, without reference to its principles on conflicts of law. 
 c. Attorneys’ Fees. In any action or proceeding hereunder (whether to enforce the terms and provisions of an
indemnity or otherwise), the prevailing party shall be entitled to recover from the other party the prevailing party’s reasonable costs and expenses in such action or proceeding, including reasonable attorneys’ fees, costs and expenses.
Except as otherwise set forth herein, if either party is sued by a third party as a result of a violation of a covenant, representation or warranty herein contained by the other party hereto, then the party who has violated the covenant,
representation or warranty shall be responsible for the reasonable costs and expenses in such action or proceeding against the non-violating party, including reasonable attorneys’ fees, costs and expenses, except to the extent provided
otherwise in Paragraph 13 above. 
 d. Quiet Enjoyment. So long as there is no Event of Default under this
Sublease, Sublessee shall have quiet enjoyment of the Subleased Premises for the Term, subject to all the terms and conditions of this Sublease. 
  

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 e. Defined Terms. Any terms used, but not otherwise defined herein,
shall have the meanings ascribed to them in the Master Lease. 
 f. Construction. In construing this
Sublease, feminine or neuter pronouns shall be substituted for those masculine in form and vice versa, and plural terms shall be substituted for singular and singular for plural in any place in which the context so requires. This Sublease
shall be construed without regard to: (a) the identity of the party who drafted the various provisions hereof, and (b) the addition or deletion of text made during the negotiation of this Sublease. Moreover, each and every provision of
this Sublease shall be construed as though all parties hereto participated equally in the drafting thereof. As a result of the foregoing, any rule or construction that a document is to be construed against the drafting party shall not be applicable
hereto. 
 g. Paragraph Headings. The paragraph headings in this Sublease are for convenience only and do
not in any way limit or simplify the terms and provisions of this Sublease, nor should they be used to determine the intent of the parties. 
 h. Partial Invalidity. If any term, covenant, condition or provision of this Sublease or the application thereof to any person or circumstance shall, to any extent, be invalid or unenforceable,
then the remainder of this Sublease or the application of such term or provision to persons or circumstances other than those as to which it is held invalid or unenforceable shall not be affected thereby and each term, covenant, condition and
provision of this Sublease shall be valid and be enforced to the fullest extent permitted by law. 
 i.
Waiver. The failure of either party to seek redress for violation, or to insist upon strict performance, of any term, covenant or condition contained in this Sublease shall not prevent a similar subsequent act from constituting a default
under this Sublease. 
 j. Entire Agreement. This instrument contains the entire and only agreement
between the parties and no oral statements or representations or written matter not contained in this instrument shall have any force or effect. This Sublease shall not be amended or modified in any way except by a writing executed by both parties.
All of the exhibits attached to this Sublease are incorporated into this Sublease by reference and for all purposes are a part of this Sublease. 
  

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 k. Relationship of Parties. The relationship between the parties
hereto is solely that of landlord and tenant and nothing in this Sublease shall be construed as creating a partnership or joint venture between the parties hereto, it being the express intent of Sublessor and Sublessee that the business of Sublessee
at the Subleased Premises and elsewhere, and the good will thereof, shall be and remain the sole property of Sublessee. 
 l. Force Majeure. If either party hereto shall be delayed or hindered in, or prevented from, the performance of any act required under this Sublease by reason of strikes, lockouts, labor troubles, failure of power, riots,
insurrection, war, governmental action or other reasons of a like nature beyond the reasonable control of the party delayed in performing works or doing acts required under the terms of this Sublease, then performance of such act shall be excused
for the period of the delay, and the period of the performance of any such act shall be extended for a period equivalent to the period of such delay. 
 m. Limitation of Liability. Sublessor, its successors and assigns, shall look solely to the assets, if any, of Sublessee and its successors and assigns, for the satisfaction of any claim arising
from or under this Sublease and shall not seek to impose personal liability on any shareholder, officer, director, member or employee of Sublessee or any of its affiliates. 
 n. Consents. Except as may be otherwise expressly set forth in this Sublease, whenever under this Sublease provision
is made for either party’s securing the consent or approval of the other party, (a) such consent or approval shall be in writing and shall not be unreasonably withheld, delayed or conditioned, and (b) in all matters contained herein,
both parties shall have an implied obligation of reasonableness. 
 o. Costs. Whenever this Sublease
requires the performance of an act by any party, such party shall perform the act at its own cost and expense, unless otherwise expressly provided to the contrary in this Sublease. 
 p. Survival of Obligations. The obligation to pay any sums due to either party from the other that by the terms herein
would not be payable, or are incapable of calculation, until after the expiration or sooner termination of this Sublease, shall survive and remain a continuing obligation until paid. All indemnity obligations under this Sublease shall survive the
expiration or earlier termination of this Sublease. 
  

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 q. Sublessee’s Trade Name. Sublessor shall not make use of
Sublessee’s trade name. 
 r. Counterparts. This instrument may be executed in several counterparts,
each of which shall be deemed an original. The signatures to this instrument may be executed on separate pages, and when attached to this instrument, shall constitute one complete document. 
 IN WITNESS WHEREOF, the parties have duly executed and delivered this Sublease as of the latest of the dates set forth next to the
parties’ respective signatures below, which latest date is and shall be deemed to the Effective Date hereof and shall be set forth on the first page hereof. 
  

							
		 		 	SUBLESSOR:
			
		 		 	TITAN PHARMACEUTICALS, INC.
				
	Attest:	 		 		 	
				
	  
	 		 	By:	 	 /s/ Robert Farrell

		 		 	Name:	 	 Robert Farrell

		 		 	Title:	 	 President & CEO

				
		 		 	Date:	 	 March 26, 2009

			
		 		 	SUBLESSEE:
			
		 		 	ANESIVA, INC.
				
	Attest:	 		 		 	
				
	  
	 		 	By:	 	 /s/ Michael Kranda

		 		 	Name:	 	 Michael Kranda

		 		 	Title:	 	 President & CEO

				
		 		 	Date:	 	 March 27, 2009

		
		 	 Robert L. Delsman
 Kashiwa Fudosan America, Inc. as Master
 Landlord by its Secretary hereby consents to

	 /s/ Robert L. Delsman
	 	this sublease agreement.
		 	Berkeley, California
		 	2009.03.27 17:49:58-07’00’

  

 14Loan and Security Agreement between the Registrant and Oxford Finance Corp

 Exhibit 10.12 
 LOAN AND SECURITY AGREEMENT 
 THIS LOAN AND
SECURITY AGREEMENT (this “Agreement”) dated as of December 18, 2009 between OXFORD FINANCE CORPORATION (“Lender”), and TITAN PHARMACEUTICALS, INC., a Delaware corporation
(“Borrower”), provides the terms on which Lender shall lend to Borrower and Borrower shall repay Lender. The parties agree as follows: 
 1 ACCOUNTING AND OTHER TERMS 
 Accounting terms not defined in this
Agreement shall be construed following GAAP. Calculations and determinations must be made following GAAP. Capitalized terms not otherwise defined in this Agreement shall have the meanings set forth in Section 13. All other terms contained in
this Agreement, unless otherwise indicated, shall have the meaning provided by the Code to the extent such terms are defined therein. 
 2 LOAN AND TERMS OF PAYMENT 
 2.1 Promise to Pay. Borrower hereby unconditionally promises to pay
Lender the outstanding principal amount of the Credit Extension and accrued and unpaid interest thereon and any other amounts due hereunder as and when due in accordance with this Agreement. 
 2.1.1 Growth Capital Loan Facility. 
 (a) Availability. Subject to the terms and conditions of this Agreement, on the Closing Date Lender shall make one (1) advance to Borrower in the amount of Three Million Dollars ($3,000,000)
(the “Growth Capital Advance”). 
 (b) Repayment. Borrower shall make monthly payments of interest only, in
arrears, commencing on the first day of the month following the month in which the Funding Date occurs and continuing thereafter on the first day of each successive calendar month during the Interest Only Period. Commencing on the Growth Capital
Amortization Date, Borrower shall make thirty (30) equal monthly payments of principal and interest, in arrears, which would fully amortize the outstanding amount of the Growth Capital Advance. All unpaid principal and accrued and unpaid
interest and all other amounts due on account of the Growth Capital Advance are due and payable in full on the Maturity Date. The Growth Capital Advance may only be prepaid in accordance with Sections 2.1.1(d) or 2.1.1(e). 
 (c) Final Payment. On the Maturity Date, Borrower shall pay, in addition to the unpaid principal and accrued interest and all other
amounts due on such date with respect to the Growth Capital Advance, an amount equal to the Final Payment. 
 (d) Permitted
Prepayment. Borrower shall have the option to prepay all, but not less than all, of the Growth Capital Advance made by Lender under this Agreement, provided Borrower, (i) provides written notice to Lender of its election to prepay the
Growth Capital Advance at least fifteen (15) days prior to such prepayment, and (ii) pays, on the date of such prepayment (A) all outstanding principal plus accrued interest on the Growth Capital Advance, (B) the Final Payment,
plus (C) all other sums that have become due and payable, including Lender Expenses, if any, and interest at the Default Rate with respect to any past due amounts. 
 (e) Mandatory Prepayment Upon an Acceleration. If the Growth Capital Advance is accelerated following the occurrence of an Event of Default, Borrower shall immediately pay to Lender an amount equal
to the sum of: (i) all outstanding principal plus accrued and unpaid interest on the Growth Capital Advance, (ii) the Final Payment, plus (iii) all other sums, if any, that shall have become due and payable, including interest at the
Default Rate with respect to any past due amounts. 

 2.2 Payment of Interest on the Credit Extension.  
 (a) Interest Rate. Subject to Section 2.2(b), the principal amount outstanding under the Growth Capital Advance shall accrue
interest, which interest shall be payable in arrears, at a fixed per annum rate equal to the greater of (i) 13.00% or (ii) the LIBOR Rate, as of the Funding Date, plus the LIBOR Margin, which interest shall be payable monthly, in arrears,
in accordance with Section 2.2(e) below. 
 (b) Default Rate. Immediately upon the occurrence and during the
continuance of an Event of Default, Obligations shall bear interest at a rate per annum which is five percentage points above the rate that is otherwise applicable thereto (the “Default Rate”). Payment or acceptance of the increased
interest rate provided in this Section 2.2(b) is not a permitted alternative to timely payment and shall not constitute a waiver of any Event of Default or otherwise prejudice or limit any rights or remedies of Lender. 
 (c) 360-Day Year. Interest shall be computed on the basis of a 360-day year consisting of twelve (12) months of thirty
(30) days. 
 (d) Debit of Accounts. In the event not received by Lender when due, or as Lender and Borrower may
otherwise agree in writing, Lender may debit any of Borrower’s deposit accounts, including the Designated Deposit Account, through automatic debit of such accounts, Automated Clearinghouse (“ACH”) or other transfers, for principal,
interest and other Obligations owing by Borrower to Lender when due. These debits shall not constitute a set-off. 
 (e)
Payments. Unless otherwise provided, interest is payable monthly, in arrears, on the first calendar day of each month. Payments of principal and/or interest received after 12:00 p.m. Pacific time are considered received at the opening of
business on the next Business Day. When a payment is due on a day that is not a Business Day, the payment is due the next Business Day and additional fees or interest, as applicable, shall continue to accrue. 
 2.3 Fees. Borrower shall pay to Lender: 
 (a) Facility Fee. A fully earned, non-refundable loan fee of Sixty Thousand Dollars ($60,000) (the “Facility Fee”), receipt of Twenty Five Thousand Dollars ($25,000) of which hereby is
acknowledged by Lender; 
 (b) Final Payment. The Final Payment when due on the Maturity Date or pursuant to the terms of
Sections 2.1.1(d) or 2.1.1(e); and 
 (c) Lender Expenses. All Lender Expenses (including reasonable attorneys’ fees
and expenses, plus reasonable expenses for documentation and negotiation of this Agreement; not to exceed $25,000 in the aggregate through the Closing Date, without prior notice to Borrower) incurred through and after the Closing Date, when due.

 3 CONDITIONS OF LOANS 
 3.1 Conditions Precedent to Credit Extension. Lender’s obligation to make the Credit Extension is subject to the condition precedent that Borrower shall consent to or have delivered, in form
and substance satisfactory to Lender, such documents, and completion of such other matters, as Lender may reasonably deem necessary or appropriate, including, without limitation: 
 (a) duly executed original signatures to the Loan Documents to which it is a party; 
 (b) duly executed original signatures to the Control Agreement(s); 
 (c) its Operating Documents and good standing certificates (or equivalents) of Borrower certified by the Secretary of State of the States of
Delaware and California (and such other states and/or jurisdictions in which Borrower is qualified to do and or doing business) as of a date no earlier than thirty (30) days prior to the Closing Date; 
  

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 (d) a duly executed original Secretary’s Certificate certifying the adoption and
ratification of, and completed Borrowing Resolutions for, Borrower; 
 (e) a landlord’s consent executed in favor of Lender
with respect to each of Borrower’s leased locations (other than Borrower’s New Jersey location); 
 (f) certified
copies, dated as of a recent date, of financing statement searches, as Lender shall request, accompanied by written evidence (including any UCC termination statements) that the Liens indicated in any such financing statements either constitute
Permitted Liens or have been or, in connection with the Credit Extension, will be terminated or released; 
 (g) the Perfection
Certificate executed by Borrower; 
 (h) evidence satisfactory to Lender that the insurance policies required by
Section 6.5 hereof are in full force and effect, together with appropriate evidence showing lender loss payable and/or additional insured clauses or endorsements in favor of Lender; and 
 (i) payment of the fees and Lender Expenses then due as specified in Section 2.3 hereof. 
 3.2 Conditions Precedent to the Credit Extension. Lender’s obligation to make the Credit Extension is subject to the following:

 (a) Borrower shall have duly executed and delivered to Lender the Promissory Note in the amount of the Growth Capital
Advance; 
 (b) the representations and warranties in Section 5 shall be true in all material respects on the Funding Date
of the Credit Extension; provided, however, that such materiality qualifier shall not be applicable to any representations and warranties that already are qualified or modified by materiality in the text thereof; and provided, further that those
representations and warranties expressly referring to a specific date shall be true, accurate and complete in all material respects as of such date, and no Event of Default shall have occurred and be continuing or result from the Credit Extension.
The Credit Extension is Borrower’s representation and warranty on that date that the representations and warranties in Section 5 remain true in all material respects; provided, however, that such materiality qualifier shall not be
applicable to any representations and warranties that already are qualified or modified by materiality in the text thereof; and provided, further that those representations and warranties expressly referring to a specific date shall be true,
accurate and complete in all material respects as of such date; and 
 (c) in Lender’s sole discretion, there has not been
a Material Adverse Change. 
 3.3 Covenant to Deliver. Borrower agrees to deliver to Lender each item required to be
delivered to Lender under this Agreement as a condition to the Credit Extension. Borrower expressly agrees that a Credit Extension made prior to the receipt by Lender of any such item shall not constitute a waiver by Lender of Borrower’s
obligation to deliver such item, and the Credit Extension in the absence of a required item shall be made in Lender’s sole discretion. 
 4 CREATION OF SECURITY INTEREST 
 4.1 Grant of Security
Interest. Borrower hereby grants Lender, to secure the payment and performance in full of all of the Obligations, a continuing security interest in, and pledges to Lender, the Collateral, wherever located, whether now owned or hereafter acquired
or arising, and all proceeds and products thereof. Borrower represents, warrants, and covenants that the security interest granted herein is and shall at all times continue to be a first priority perfected security interest in the Collateral
(subject only to Permitted Liens that may have superior priority to Lender’s Lien pursuant to the terms of this Agreement). If Borrower shall acquire a commercial tort claim (as defined in the Code), Borrower shall promptly notify Lender in a
writing signed by Borrower of the general details thereof (and further details as may be required by Lender in the exercise of its reasonable discretion) and grant to Lender in such writing a security interest therein and in the proceeds thereof,
all upon the terms of this Agreement, with such writing to be in form and substance reasonably satisfactory to Lender. 
  

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 If this Agreement is terminated, Lender’s Lien in the Collateral shall continue until
the Obligations (other than inchoate indemnity obligations) are repaid in full in cash. Upon payment in full in cash of the Obligations (other than inchoate indemnity obligations), Lender shall, at Borrower’s sole cost and expense, release its
Liens in the Collateral and all rights therein shall revert to Borrower. 
 4.2 Authorization to File Financing
Statements. Borrower hereby authorizes Lender to file financing statements, without notice to Borrower, with all appropriate jurisdictions to perfect or protect Lender’s interest or rights hereunder, including a notice that any disposition
of the Collateral, by either Borrower or any other Person, shall be deemed to violate the rights of Lender under the Code. Such financing statements may indicate the Collateral as “all assets of the Debtor” or words of similar effect, or
as being of an equal or lesser scope, or with greater detail, all in Lender’s discretion. 
 5 REPRESENTATIONS AND
WARRANTIES 
 Borrower represents and warrants as follows: 
 5.1 Due Organization, Authorization; Power and Authority. Borrower is duly existing and in good standing in its jurisdiction of
formation and is qualified and licensed to do business and is in good standing in any jurisdiction in which the conduct of its business or its ownership of property requires that it be qualified except where the failure to do so could not reasonably
be expected to have a material adverse effect on Borrower’s business. In connection with this Agreement, Borrower has delivered to Lender a completed certificate signed by Borrower, entitled “Perfection Certificate”. Borrower
represents and warrants to Lender that (a) Borrower’s exact legal name is that indicated on the Perfection Certificate and on the signature page hereof; (b) Borrower is an organization of the type and is organized in the jurisdiction
set forth in the Perfection Certificate; (c) the Perfection Certificate accurately sets forth Borrower’s organizational identification number or accurately states that Borrower has none; (d) the Perfection Certificate accurately sets
forth Borrower’s place of business, or, if more than one, Borrower’s chief executive office as well as Borrower’s mailing address (if different than its chief executive office); (e) Borrower (and none of its predecessors) has
not, in the past five (5) years, changed its jurisdiction of formation, organizational structure or type, or any organizational number assigned by its jurisdiction; and (f) all other information set forth on the Perfection Certificate
pertaining to Borrower and its Subsidiaries is accurate and complete (it being understood and agreed that Borrower may from time to time update certain information in the Perfection Certificate after the Closing Date to the extent permitted by one
or more specific provisions in this Agreement). If Borrower is not now a Registered Organization but later becomes one, Borrower shall promptly notify Lender of such occurrence and provide Lender with Borrower’s organizational identification
number. 
 The execution, delivery and performance by Borrower of the Loan Documents to which it is a party have been duly
authorized, and do not (i) conflict with any of Borrower’s organizational documents, (ii) contravene, conflict with, constitute a default under or violate any material Requirement of Law, (iii) contravene, conflict or violate any
applicable order, writ, judgment, injunction, decree, determination or award of any Governmental Authority by which Borrower or any its Subsidiaries or any of their property or assets may be bound or affected, (iv) require any action by,
filing, registration, or qualification with, or Governmental Approval from, any Governmental Authority (except such Governmental Approvals which have already been obtained and are in full force and effect) or (v) constitute an event of default
under any material agreement by which Borrower is bound. Borrower is not in default under any agreement to which it is a party or by which it is bound in which the default could have a material adverse effect on Borrower’s business. 

5.2 Collateral. Borrower has good title to, has rights in, and the power to grant a Lien to Lender in each item of the Collateral
upon which it purports to grant a Lien under the Loan Documents to which it is a party, free and clear of any and all Liens except Permitted Liens. Borrower does not have any deposit accounts other than the deposit accounts with Silicon Valley Bank,
the deposit accounts, if any, described in the Perfection Certificate delivered to Lender in connection herewith, or of which Borrower has given Lender notice and taken such actions as are necessary to give Lender a perfected security interest
therein. 
  

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 The Collateral is not in the possession of any third party bailee (such as a warehouse)
except as otherwise provided in the Perfection Certificate; and the book value of any such Collateral does not exceed $250,000. None of the components of the Collateral shall be maintained at locations other than as provided in the Perfection
Certificate or as permitted pursuant to Section 7.2. In the event that Borrower, after the date hereof, intends to store or otherwise deliver any portion of the Collateral (having an aggregate book value in excess of $250,000) to a bailee, then
Borrower will first receive the written consent of Lender and such bailee must execute and deliver a bailee agreement in form and substance satisfactory to Lender in its sole discretion. None of the Collateral (other than office equipment and
furniture having an aggregate book value not in excess of $10,000) is now, or will at any time during the term hereof, be located at or in Borrower’s leased premises in New Jersey. 
 Borrower is the sole owner of the Intellectual Property which it owns or purports to own except for (a) (i) non-exclusive licenses
of Intellectual Property granted to third parties in the ordinary course of business, and (ii) licenses of Intellectual Property that could not result in a legal transfer of title of the licensed property that may be exclusive in respects other
than territory and that may be exclusive as to territory only as to discreet geographical areas outside of the United States, (b) over-the-counter software that is commercially available to the public, and (c) Intellectual Property
licensed to Borrower and, to the extent constituting material Intellectual Property, as noted on the Perfection Certificate. Each Patent which it owns or purports to own and which is material to Borrower’s business is valid and enforceable, and
no part of the Intellectual Property which Borrower owns or purports to own and which is material to Borrower’s business has been judged invalid or unenforceable, in whole or in part. To the best of Borrower’s knowledge, no claim has been
made that any part of the Intellectual Property violates the rights of any third party except to the extent such claim would not reasonably be expected to have a material adverse effect on Borrower’s business. Except as noted on the Perfection
Certificate, Borrower is not a party to, nor is it bound by, any Restricted License. 
 5.3 Litigation. Except as set
forth in the Perfection Certificate, there are no actions or proceedings pending or, to the knowledge of the Responsible Officers, threatened in writing by or against Borrower or any of its Subsidiaries involving more than $100,000. 
 5.4 No Material Deviation in Financial Statements. All consolidated financial statements for Borrower and its Subsidiaries delivered
to Lender fairly present in all material respects the Borrower’s and such Subsidiaries’ consolidated financial condition and consolidated results of operations. There has not been any material deterioration in the Borrower’s and its
Subsidiaries’ consolidated financial condition since the date of the most recent financial statements submitted to Lender. 
 5.5 Solvency. The fair salable value of Borrower’s assets (including goodwill minus disposition costs) exceeds the fair value of its liabilities; Borrower is not left with unreasonably small capital after the transactions in
this Agreement; and Borrower is able to pay its debts (including trade debts) as they mature. 
 5.6 Regulatory
Compliance. Borrower is not an “investment company” or a company “controlled” by an “investment company” under the Investment Company Act of 1940, as amended. Borrower is not engaged as one of its important
activities in extending credit for margin stock (under Regulations X, T and U of the Federal Reserve Board of Governors). Borrower has complied in all material respects with the Federal Fair Labor Standards Act. Neither Borrower nor any of its
Subsidiaries is a “holding company” or an “affiliate” of a “holding company” or a “subsidiary company” of a “holding company” as each term is defined and used in the Public Utility Holding Company
Act of 2005. Borrower has not violated any laws, ordinances or rules, the violation of which could reasonably be expected to have a material adverse effect on its business. None of Borrower’s or any of its Subsidiaries’ properties or
assets has been used by Borrower or any Subsidiary or, to the best of Borrower’s knowledge, by previous Persons, in disposing, producing, storing, treating, or transporting any hazardous substance other than legally. Borrower and each of its
Subsidiaries have obtained all consents, approvals and authorizations of, made all declarations or filings with, and given all notices to, all Governmental Authorities that are necessary to continue their respective businesses as currently
conducted. 
 5.7 Subsidiaries; Investments. Borrower does not own any stock, partnership interest or other equity
securities except for Permitted Investments. 
  

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 5.8 Tax Returns and Payments; Pension Contributions. Borrower has timely filed all
required tax returns and reports, and has timely paid all foreign, federal, state and local taxes, assessments, deposits and contributions owed by Borrower. Borrower may defer payment of any contested taxes, provided that Borrower (a) in good
faith contests its obligation to pay the taxes by appropriate proceedings promptly and diligently instituted and conducted, (b) notifies Lender in writing of the commencement of, and any material development in, the proceedings, (c) posts
bonds or takes any other steps required to prevent the governmental authority levying such contested taxes from obtaining a Lien upon any of the Collateral that is other than a “Permitted Lien”. Borrower is unaware of any claims or
adjustments proposed for any of Borrower’s prior tax years which could result in additional taxes becoming due and payable by Borrower. Borrower has paid all amounts necessary to fund all present pension, profit sharing and deferred
compensation plans in accordance with their terms, as applicable, and Borrower has not withdrawn from participation in, and has not permitted partial or complete termination of, or permitted the occurrence of any other event with respect to, any
such plan which could reasonably be expected to result in any liability of Borrower, including any liability to the Pension Benefit Guaranty Corporation or its successors or any other governmental agency, as applicable. 
 5.9 Use of Proceeds. Borrower shall use the proceeds of the Credit Extension solely as working capital and to fund its general
business requirements and not for personal, family, household or agricultural purposes. 
 5.10 Full Disclosure. No
written representation, warranty or other statement of Borrower in any certificate or written statement given to Lender, as of the date such representation, warranty, or other statement was made, taken together with all such written certificates and
written statements given to Lender, contains any untrue statement of a material fact or omits to state a material fact necessary to make the statements contained in the certificates or statements not misleading (it being recognized by Lender that
the projections and forecasts provided by Borrower in good faith and based upon reasonable assumptions are not viewed as facts and that actual results during the period or periods covered by such projections and forecasts may differ from the
projected or forecasted results). 
 6 AFFIRMATIVE COVENANTS 
 Borrower shall do all of the following: 
 6.1 Government Compliance. 
 (a) Maintain its and all its
Subsidiaries’ legal existence and good standing in their respective jurisdictions of formation and maintain qualification in each jurisdiction in which the failure to so qualify would reasonably be expected to have a Material Adverse Change.
Borrower shall comply, and have each Subsidiary comply, with all laws, ordinances and regulations to which it is subject, noncompliance with which could have a material adverse effect on Borrower’s business. 
 (b) Obtain all of the Governmental Approvals necessary for the performance by Borrower of its obligations under the Loan Documents to which
it is a party and the grant of a security interest to Lender in all of its property. Borrower shall promptly provide copies of any such obtained Governmental Approvals to Lender. 
 6.2 Financial Statements, Reports, Certificates. Deliver to Lender: 
 (a) Monthly Financial Statements. As soon as available, but no later than forty-five (45) days after the last day of each month
before Borrower has a class of securities registered under Section 12 of the Securities Exchange Act, a company prepared consolidated and consolidating balance sheet and income statement covering Borrower’s and each of its
Subsidiary’s operations for such month certified by a Responsible Officer and in a form reasonably acceptable to Lender; 
 (b) Quarterly Financial Statements. As soon as available, but no later than forty-five (45) days after the last day of each of the first three quarters of Borrower’s fiscal year after Borrower has a class of securities
registered under Section 12 of the Securities Exchange Act, a company prepared consolidated financial statements prepared under GAAP, consistently applied, certified by a Responsible Officer and in a form reasonably acceptable to Lender;

  

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 (c) Annual Audited Financial Statements. As soon as available, but no later than one
hundred twenty (120) days after the last day of Borrower’s fiscal year, audited consolidated financial statements prepared under GAAP, consistently applied, together with an unqualified opinion on the financial statements from an
independent certified public accounting firm acceptable to Lender in its reasonable discretion; 
 (d) Compliance
Certificates. Concurrently with the delivery of any financial statements pursuant to clauses (a), (b) and (c), a duly completed Compliance Certificate signed by a Responsible Officer, certifying that as of the end of such period, Borrower
was in full compliance with all of the terms and conditions of this Agreement, and setting forth such other information as Lender shall reasonably request; 
 (e) Other Statements. Within five (5) days of delivery, unless earlier posted on Borrower’s website, copies of all statements, reports and notices made available to Borrower’s
security holders or to any holders of Subordinated Debt; 
 (f) SEC Filings. Within five (5) days of filing, copies
of all periodic and other reports, proxy statements and other materials filed by Borrower with the SEC, any Governmental Authority succeeding to any or all of the functions of the SEC or with any national securities exchange, or distributed to its
shareholders, as the case may be. Notwithstanding the foregoing, documents required to be delivered pursuant to the terms hereof (to the extent any such documents are included in materials otherwise filed with the SEC) shall be deemed to have been
delivered to Lender on the date on which Borrower posts such documents, or provides a link thereto, on Borrower’s website on the internet at Borrower’s website address; 
 As to any information contained in the materials furnished pursuant to this clause (f), Borrower shall not be required separately to furnish
such information under clauses (b), (c) and (e), but the foregoing shall not be in derogation of the obligation of Borrower to furnish the information and materials described in such clauses (b), (c) and (e) at the times specified
therein; provided, that Borrower shall provide paper copies to Lender of the Compliance Certificates required by Section 6.2(d). 
 (g) Annual Financial Projections. Within 45 days after the end of each fiscal year, commencing with the fiscal year ending 2010, annual financial projections for the following fiscal year (on a
quarterly basis) as approved by Borrower’s board of directors, together with any related business forecasts used in the preparation of such annual financial projections; 
 (h) Legal Action Notice. A prompt report of any legal actions pending or threatened in writing against Borrower or any of its
Subsidiaries that could reasonably be expected to result in damages or costs to Borrower or any of its Subsidiaries of, individually or in the aggregate, $250,000 or more; 
 (i) Intellectual Property Notice. Prompt written notice of (i) any material change in the composition of the Intellectual
Property, (ii) the registration of any copyright, including any subsequent ownership right of Borrower in or to any copyright, patent or trademark not shown in the IP Agreement, and (iii) Borrower’s knowledge of an event that could
reasonably be expected to materially and adversely affect the value of the Intellectual Property; and 
 (j) Other Financial
Information. Budgets, sales projections, operating plans and other financial information reasonably requested by Lender. 
 6.3 Inventory; Returns. Keep all Inventory (other than clinical inventory) in good and marketable condition, free from material defects. Returns and allowances between Borrower and its Account Debtors shall follow Borrower’s
customary practices as they exist at the Closing Date. Borrower must promptly notify Lender of all returns, recoveries, disputes and claims that involve more than $100,000. 
  

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 6.4 Taxes; Pensions. Timely file, and require each Subsidiary to timely file, all
required tax returns and reports and timely pay, and require each Subsidiary to timely file, all foreign, federal, state and local taxes, assessments, deposits and contributions owed by Borrower, except for deferred payment of any taxes contested
pursuant to the terms of Section 5.8 hereof, and shall deliver to Lender, on demand, appropriate certificates attesting to such payments, and pay all amounts necessary to fund all present pension, profit sharing and deferred compensation plans
in accordance with their terms. 
 6.5 Insurance. Keep its, and cause each Subsidiary to keep its respective business and
the Collateral insured for risks and in amounts standard for companies in Borrower’s industry and locations and as Lender may reasonably request; provided that Borrower’s Subsidiaries may be covered by Borrower’s insurance policies.
Insurance policies shall be in a form, with companies, and in amounts that are reasonably satisfactory to Lender. All property policies shall have a lender’s loss payable endorsement showing Lender as lender loss payee and waive subrogation
against Lender, and all liability policies shall show, or have endorsements showing, Lender as an additional insured. All policies (or the loss payable and additional insured endorsements) shall provide that the insurer shall give Lender at least
twenty (20) days notice before canceling (other than cancellation based on non-payment of premium, with respect to which the insurer shall provide at least ten (10) days notice before canceling) or declining to renew its policy. At
Lender’s request, Borrower shall deliver certified copies of policies and evidence of all premium payments. If Borrower or any Subsidiary fails to obtain insurance as required under this Section 6.5 or to pay any amount or furnish any
required proof of payment to third persons and Lender, Lender may make all or part of such payment or obtain such insurance policies required in this Section 6.5, and take any action under the policies Lender deems prudent. 
 6.6 Operating Accounts. 
 (a) Maintain all of its and all of its domestic Subsidiaries’ operating and other deposit accounts and securities accounts with Silicon Valley Bank, in each case subject to Control Agreements in
favor of and in form and substance reasonably acceptable to Lender. Notwithstanding the foregoing, Borrower shall be permitted to retain its deposit accounts outside of Silicon Valley Bank provided that (i) all such accounts are closed by no
later than January 31, 2010 and (ii) Borrower maintains no more than $630,000 in the aggregate in any such accounts at any time. 
 (b) Provide Lender five (5) days prior written notice before establishing any Collateral Account at or with any bank or financial institution other than Silicon Valley Bank. For each Collateral
Account that Borrower at any time maintains, Borrower shall cause the applicable bank or financial institution at or with which any Collateral Account is maintained to execute and deliver a Control Agreement or other appropriate instrument with
respect to such Collateral Account to perfect Lender’s Lien in such Collateral Account in accordance with the terms hereunder. The provisions of the previous sentence shall not apply to deposit accounts exclusively used for payroll, payroll
taxes and other employee wage and benefit payments to or for the benefit of Borrower’s employees and identified to Lender by Borrower as such. 
 6.7 Intentionally Omitted. 
 6.8 Protection and Registration of
Intellectual Property Rights. 
 (a) (i) Protect, defend and maintain the validity and enforceability of its Intellectual
Property; (ii) promptly advise Lender in writing of material infringements of its Intellectual Property; and (iii) not allow any Intellectual Property material to Borrower’s business to be abandoned, forfeited or dedicated to the
public without Lender’s written consent. 
 (b) If Borrower (i) obtains any Patent, registered Trademark, registered
Copyright, registered mask work, or any pending application for any of the foregoing, whether as owner, licensee or otherwise, or (ii) applies for any Patent or the registration of any Trademark, then Borrower shall immediately provide written
notice thereof to Lender and shall execute such intellectual property security agreements and other documents and take such other actions as Lender shall request in its good faith business judgment to perfect and maintain a first priority perfected
security interest in favor of Lender in such property. If Borrower decides to register any Copyrights or mask works in the United States Copyright Office, Borrower shall: (x) provide Lender with at least fifteen (15) days

  

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prior written notice of Borrower’s intent to register such Copyrights or mask works together with a copy of the application it intends to file with the United States Copyright Office
(excluding exhibits thereto); and (y) execute an intellectual property security agreement and such other documents and take such other actions as Lender may reasonably request in its good faith business judgment to perfect and maintain a first
priority perfected security interest in favor of Lender in the Copyrights or mask works intended to be registered with the United States Copyright Office, and hereby authorizes Lender to record such intellectual property security agreement with the
United States Copyright Office contemporaneously with filing the Copyright or mask work application(s) with the United States Copyright Office. Borrower shall promptly provide to Lender copies of all applications that it files for Patents or for the
registration of Trademarks, Copyrights or mask works, together with evidence of the recording of the intellectual property security agreement necessary for Lender to perfect and maintain a first priority perfected security interest in such property.

 (c) Provide written notice to Lender within ten (10) days of entering or becoming bound by any Restricted License (other
than over-the-counter software that is commercially available to the public). Borrower shall take such steps as Lender requests to obtain the consent of, or waiver by, any person whose consent or waiver is necessary for (i) any Restricted
License to be deemed “Collateral” and for Lender to have a security interest in it that might otherwise be restricted or prohibited by law or by the terms of any such Restricted License, whether now existing or entered into in the future,
and (ii) Lender to have the ability in the event of a liquidation of any Collateral to dispose of such Collateral in accordance with Lender’s rights and remedies under this Agreement and the other Loan Documents. 
 6.9 Litigation Cooperation. From the date hereof and continuing through the termination of this Agreement, make available to Lender
at reasonable times, without expense to Lender, Borrower and its officers, employees and agents and Borrower’s books and records, to the extent that Lender may deem them reasonably necessary to prosecute or defend any third-party suit or
proceeding instituted by or against Lender with respect to any Collateral or relating to Borrower. 
 6.10 Notices of
Litigation and Default. Borrower will give prompt written notice to Lender of any litigation or governmental proceedings pending or threatened (in writing) against Borrower which would reasonably be expected to have a material adverse effect
with respect to Borrower. Without limiting or contradicting any other more specific provision of this Agreement, promptly (and in any event within three (3) Business Days) upon Borrower (or any officer thereof) becoming aware of the existence
of any Event of Default or event which, with the giving of notice or passage of time, or both, would constitute an Event of Default, Borrower shall give written notice to Lender of such occurrence, which such notice shall include a reasonably
detailed description of such Event of Default or event which, with the giving of notice or passage of time, or both, would constitute an Event of Default. 
 6.11 Formation or Acquisition of Subsidiaries. At the time that Borrower or any Subsidiary forms any direct or indirect Subsidiary or acquires any direct or indirect Subsidiary after the Closing
Date, Borrower and such Subsidiary shall (a) cause such new Subsidiary to provide to Lender a joinder to this Agreement to cause such Subsidiary to become a co-borrower hereunder, together with such appropriate financing statements and/or
Control Agreements, all in form and substance satisfactory to Lender (including being sufficient to grant Lender a first priority Lien (subject to Permitted Liens) in and to the assets of such newly formed or acquired Subsidiary), (b) provide
to Lender appropriate certificates and powers and financing statements, pledging all of the direct or beneficial ownership interest in such new Subsidiary, in form and substance satisfactory to Lender, and (c) provide to Lender all other
documentation in form and substance satisfactory to Lender, including one or more opinions of counsel satisfactory to Lender, which in its opinion is appropriate with respect to the execution and delivery of the applicable documentation referred to
above. Any document, agreement, or instrument executed or issued pursuant to this Section 6.11 shall be a Loan Document. 
 6.12 Dissolution of Ingenex. Borrower shall cause Ingenex to be dissolved, and shall provide evidence of the same to Lender, in form and content reasonably acceptable to Lender, by no later than December 31, 2010. 
 6.13 Further Assurances. Execute any further instruments and take further action as Lender reasonably requests to perfect or continue
Lender’s Lien in the Collateral or to effect the purposes of this Agreement and the other Loan Documents. Deliver to Lender, within five (5) days after the same are sent or received, copies of all correspondence, reports, documents and
other filings with any Governmental Authority regarding compliance with or maintenance of Governmental Approvals or Requirements of Law or that could reasonably be expected to have a material effect on any of the Governmental Approvals or otherwise
on the operations of Borrower. 
  

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 7 NEGATIVE COVENANTS 
 Borrower shall not do any of the following without Lender’s prior written consent, which consent may be granted or withheld in
Lender’s sole discretion exercised in good faith in a commercially reasonable manner: 
 7.1 Dispositions. Convey,
sell, lease, transfer or otherwise dispose of (collectively, “Transfer”), or permit any Subsidiary to Transfer, all or any part of its business or property, except for Transfers (a) of Inventory in the ordinary course of
business; (b) of worn-out or obsolete Equipment; and (c) in connection with Permitted Liens and Permitted Investments; and (d) of non-exclusive licenses for the use of the property of Borrower or its Subsidiaries (other than Ingenex)
in the ordinary course of business and licenses that could not result in a legal transfer of title of the licensed property but that may be exclusive in respects other than territory and that may be exclusive as to territory only as to discreet
geographical areas outside of the United States. Without limiting the foregoing, Borrower shall not Transfer any property or asset to Ingenex. 
 7.2 Changes in Business, Management, Control, or Business Locations. (a) Engage in or permit any Subsidiary to engage in any business other than the businesses currently engaged in by Borrower
or such Subsidiary, as applicable, or reasonably related thereto; (b) liquidate or dissolve; or (c) (i) have a change in any Key Person, unless replaced by a Person reasonably acceptable to Lender within thirty (30) days of such
change, or (ii) permit or suffer any Change in Control. Borrower shall not, without at least fifteen (15) days prior written notice to Lender: (1) add any new offices or business locations, including warehouses (unless such new
offices or business locations contain less than Ten Thousand Dollars ($10,000) in Borrower’s assets or property), (2) change its jurisdiction of organization, (3) change its organizational structure or type, (4) change its legal
name, or (5) change any organizational number (if any) assigned by its jurisdiction of organization. 
 7.3 Mergers or
Acquisitions. Merge or consolidate, or permit any Subsidiary to merge or consolidate, with any other Person, or acquire, or permit any Subsidiary to acquire, all or substantially all of the capital stock or property of another Person. A
Subsidiary may merge or consolidate into Borrower or another Subsidiary. 
 7.4 Indebtedness. Create, incur, assume, or
be liable for any Indebtedness, or permit Borrower to do so, other than Permitted Indebtedness. 
 7.5 Encumbrance.
Create, incur, allow, or suffer any Lien on any of the Collateral, or assign or convey any right to receive income, including the sale of any Accounts, or permit any of its Subsidiaries to do so, except for Permitted Liens, permit any Collateral not
to be subject to the first priority security interest granted herein, or enter into any agreement, document, instrument or other arrangement (except with or in favor of Lender) with any Person which directly or indirectly prohibits or has the effect
of prohibiting Borrower or any Subsidiary from assigning, mortgaging, pledging, granting a security interest in or upon, or encumbering any of Borrower’s or any Subsidiary’s Intellectual Property, except as is otherwise permitted in
Section 7.1 hereof and the definition of “Permitted Liens” herein. 
 7.6 Maintenance of Collateral
Accounts. Maintain any Collateral Account except pursuant to the terms of Section 6.6 hereof. 
 7.7 Distributions;
Investments. (a) Pay any dividends or make any distribution or payment in respect of any of its capital stock, or redeem, retire or purchase any of its capital stock other than in connection with Permitted Distributions; or
(b) directly or indirectly acquire or own any Person, or make any Investment in any Person, other than Permitted Investments, or permit any of its Subsidiaries to do so. 
 7.8 Transactions with Affiliates. Directly or indirectly enter into or permit to exist any material transaction with any Affiliate of
Borrower, except for (a) transactions that are in the ordinary course of Borrower’s business, upon fair and reasonable terms (when viewed in the context of any series of transactions of which it may

  

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be a part, if applicable) that are no less favorable to Borrower than would be obtained in an arm’s length transaction with a non-affiliated Person; or (b) transactions among Borrower
and its Subsidiaries and among Borrower’s Subsidiaries so long as no Event of Default exists or could result therefrom. 
 7.9 Subordinated Debt. (a) Make or permit any payment on any Subordinated Debt, except under the terms of the subordination, intercreditor, or other similar agreement to which such Subordinated Debt is subject, or (b) amend
any provision in any document relating to the Subordinated Debt which would increase the amount thereof or adversely affect the subordination thereof to Obligations owed to Lender. 
 7.10 Compliance. Become an “investment company” or a company controlled by an “investment company”, under the
Investment Company Act of 1940, as amended, or undertake as one of its important activities extending credit to purchase or carry margin stock (as defined in Regulation U of the Board of Governors of the Federal Reserve System), or use the proceeds
of the Credit Extension for that purpose; fail to meet the minimum funding requirements of ERISA, permit a Reportable Event or Prohibited Transaction, as defined in ERISA, to occur; fail to comply with the Federal Fair Labor Standards Act or violate
any other law or regulation, if the violation could reasonably be expected to have a material adverse effect on Borrower’s business, or permit any of its Subsidiaries to do so; withdraw or permit any Subsidiary to withdraw from participation
in, permit partial or complete termination of, or permit the occurrence of any other event with respect to, any present pension, profit sharing and deferred compensation plan which could reasonably be expected to result in any liability of Borrower,
including any liability to the Pension Benefit Guaranty Corporation or its successors or any other governmental agency. 
 7.11 Indebtedness Payments. (i) Prepay, redeem, purchase, defease or otherwise satisfy in any manner prior to the scheduled repayment thereof any Indebtedness for borrowed money (other than amounts due under this Agreement or
due any Lender) or lease obligations, (ii) amend, modify or otherwise change the terms of any Indebtedness for borrowed money or lease obligations so as to accelerate the scheduled repayment thereof or (iii) repay any notes to officers,
directors or shareholders; provided that Borrower may pay compensation to employees, deferred as of the Closing Date, not to exceed $250,000 in the aggregate. 
 8 EVENTS OF DEFAULT 
 Any one of the following shall constitute an
event of default (an “Event of Default”) under this Agreement: 
 8.1 Payment Default. Borrower fails to
(a) make any payment of principal or interest on the Credit Extension on its due date, or (b) pay any other Obligations within three (3) Business Days after such Obligations are due and payable (which three (3) day grace period
shall not apply to payments due on the Maturity Date). During the cure period, the failure to cure the payment default is not an Event of Default; 
 8.2 Covenant Default. 
 (a) Borrower fails or neglects to perform any
obligation in Section 6.2, 6.4, 6.5, 6.6, 6.8, 6.11 or 6.12, or violates any covenant in Section 7; or 
 (b) Borrower
fails or neglects to perform, keep, or observe any other term, provision, condition, covenant or agreement contained in this Agreement or any Loan Document to which it is a party, and as to any default (other than those specified in this
Section 8) under such other term, provision, condition, covenant or agreement that can be cured, has failed to cure the default within ten (10) days after the occurrence thereof; provided, however, that if the default cannot by its nature
be cured within the ten (10) day period or cannot after diligent attempts by Borrower be cured within such ten (10) day period, and such default is likely to be cured within a reasonable time, then Borrower shall have an additional period
(which shall not in any case exceed thirty (30) days) to attempt to cure such default, and within such reasonable time period the failure to cure the default shall not be deemed an Event of Default. Grace periods provided under this section
shall not apply, among other things, to financial covenants or any other covenants set forth in subsection (a) above; 
  

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 8.3 Material Adverse Change. A Material Adverse Change occurs; 
 8.4 Attachment; Levy; Restraint on Business. (a) (i) The service of process seeking to attach, by trustee or similar
process, any funds of Borrower or of any entity under control of Borrower (including a Subsidiary) on deposit or otherwise maintained with Silicon Valley Bank, or (ii) a notice of lien, levy, or assessment is filed against any of
Borrower’s assets by any government agency, and the same under subclauses (i) and (ii) hereof are not, within ten (10) days after the occurrence thereof, discharged or stayed (whether through the posting of a bond or otherwise);
or (b) (i) any material portion of Borrower’s assets is attached, seized, levied on, or comes into possession of a trustee or receiver, or (ii) any court order enjoins, restrains, or prevents Borrower from conducting any part of
its business; 
 8.5 Insolvency. (a) Borrower is unable to pay its debts (including trade debts) as they become due
or otherwise becomes insolvent; (b) Borrower begins an Insolvency Proceeding; or (c) an Insolvency Proceeding is begun against Borrower and not dismissed or stayed within thirty (30) days; 
 8.6 Other Agreements. There is a default in any agreement to which Borrower is a party with a third party or parties resulting in a
right by such third party or parties, whether or not exercised, to accelerate the maturity of any Indebtedness in an amount in excess of $100,000 or that could reasonably be expected to have a Material Adverse Change; 
 8.7 Judgments. One or more final judgments, orders, or decrees for the payment of money in an amount, individually or in the
aggregate, of at least $100,000 (not covered by independent third-party insurance as to which liability has been accepted by such insurance carrier) shall be rendered against Borrower and shall remain unsatisfied, unvacated, or unstayed for a period
of ten (10) days after the entry thereof; 
 8.8 Misrepresentations. Borrower or any Person acting for Borrower
makes any representation, warranty, or other statement now or later in this Agreement, any Loan Document or in any writing delivered to Lender or to induce Lender to enter this Agreement or any Loan Document, and such representation, warranty, or
other statement is incorrect in any material respect when made; 
 8.9 Subordinated Debt. A default or breach occurs
under any agreement between Borrower and any creditor of Borrower that signed a subordination, intercreditor, or other similar agreement with Lender, or any creditor that has signed such an agreement with Lender breaches any material terms of such
agreement; 
 8.10 Governmental Approvals. Any Governmental Approval shall have been (a) revoked, rescinded,
suspended, modified in an adverse manner or not renewed in the ordinary course for a full term or (b) subject to any decision by a Governmental Authority that designates a hearing with respect to any applications for renewal of any of such
Governmental Approval or that could result in the Governmental Authority taking any of the actions described in clause (a) above, and such decision or such revocation, rescission, suspension, modification or non-renewal (i) has, or could
reasonably be expected to have, a Material Adverse Change, or (ii) adversely affects the legal qualifications of Borrower to hold such Governmental Approval in any applicable jurisdiction and such revocation, rescission, suspension,
modification or non-renewal could reasonably be expected to affect the status of or legal qualifications of Borrower to hold any Governmental Approval in any other jurisdiction. 
 9 LENDER’S RIGHTS AND REMEDIES 
 9.1 Rights and Remedies. While an Event of Default occurs and continues Lender may, without notice or demand, do any or all of the following: 
 (a) declare in writing all Obligations immediately due and payable (but if an Event of Default described in Section 8.5 occurs all
Obligations are immediately due and payable without any action by Lender); 
 (b) stop advancing money or extending credit for
Borrower’s benefit under this Agreement or under any other agreement between Borrower and Lender; 
  

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 (c) settle or adjust disputes and claims directly with Account Debtors for amounts on terms
and in any order that Lender considers advisable in the exercise of its commercially reasonable discretion, notify any Person owing Borrower money of Lender’s security interest in such funds, and verify the amount of such account; 

(d) make any payments and do any acts it considers necessary or reasonable to protect the Collateral and/or its security interest in the
Collateral. Borrower shall assemble the Collateral if Lender requests and make it available as Lender reasonably designates. Lender may enter premises where the Collateral is located, take and maintain possession of any part of the Collateral, and
pay, purchase, contest, or compromise any Lien which appears to be prior or superior to its security interest and pay all expenses incurred. Borrower grants Lender a license to enter and occupy any of its premises, without charge, to exercise any of
Lender’s rights or remedies; 
 (e) apply to the Obligations any (i) balances and deposits of Borrower it holds, or
(ii) any amount held by Lender owing to or for the credit or the account of Borrower; 
 (f) ship, reclaim, recover, store,
finish, maintain, repair, prepare for sale, advertise for sale, and sell the Collateral. Lender is hereby granted a non-exclusive, royalty-free license or other right to use, without charge, Borrower’s labels, Patents, Copyrights, mask works,
rights of use of any name, trade secrets, trade names, Trademarks, service marks, and advertising matter, or any similar property as it pertains to the Collateral, in completing production of, advertising for sale, and selling any Collateral and, in
connection with Lender’s exercise of its rights under this Section, Borrower’s rights under all licenses and all franchise agreements inure to Lender’s benefit as collateral assignee; 
 (g) place a “hold” on any account maintained with Lender and/or deliver a notice of exclusive control, any entitlement order, or
other directions or instructions pursuant to any Control Agreement or similar agreements providing control of any Collateral; 
 (h) demand and receive possession of Borrower’s Books; and 
 (i) exercise all rights and remedies available to
Lender under the Loan Documents or at law or equity, including all remedies provided under the Code (including disposal of the Collateral pursuant to the terms thereof). 
 9.2 Power of Attorney. Borrower hereby irrevocably appoints Lender as its lawful attorney-in-fact, exercisable upon the occurrence and during the continuance of an Event of Default, to:
(a) endorse Borrower’s name on any checks or other forms of payment or security; (b) sign Borrower’s name on any invoice or bill of lading for any Account or drafts against Account Debtors; (c) settle and adjust disputes and
claims about the Accounts directly with Account Debtors, for amounts and on terms Lender determines reasonable; (d) make, settle, and adjust all claims under Borrower’s insurance policies; (e) pay, contest or settle any Lien, charge,
encumbrance, security interest, and adverse claim in or to the Collateral, or any judgment based thereon, or otherwise take any action to terminate or discharge the same; and (f) transfer the Collateral into the name of Lender or a third party
as the Code permits. Borrower hereby appoints Lender as its lawful attorney-in-fact to sign Borrower’s name on any documents necessary to perfect or continue the perfection of Lender’s security interest in the Collateral regardless of
whether an Event of Default has occurred until all Obligations have been satisfied in full. Lender’s foregoing appointment as Borrower’s attorney in fact, and all of Lender’s rights and powers, coupled with an interest, are
irrevocable until all Obligations have been fully repaid and performed. 
 9.3 Protective Payments. If Borrower fails to
obtain the insurance called for by Section 6.5 or fails to pay any premium thereon or fails to pay any other amount which Borrower is obligated to pay under this Agreement or any other Loan Document, Lender may obtain such insurance or make
such payment, and all amounts so paid by Lender are Lender Expenses and immediately due and payable, bearing interest at the Default Rate, and secured by the Collateral. Lender will make reasonable efforts to provide Borrower with notice of Lender
obtaining such insurance at the time it is obtained or within a reasonable time thereafter. No payments by Lender are deemed an agreement to make similar payments in the future or Lender’s waiver of any Event of Default. 
  

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 9.4 Application of Payments and Proceeds. Borrower shall not have any right to
specify the order or the accounts to which Lender shall allocate or apply any payments required to be made by Borrower to Lender or otherwise received by Lender under this Agreement when any such allocation or application is not specified elsewhere
in this Agreement. If an Event of Default has occurred and is continuing, Lender may apply any funds in its possession, whether from Borrower account balances, payments, proceeds realized as the result of any collection of Accounts or other
disposition of the Collateral, or otherwise, to the Obligations in such order as Lender shall determine in its sole discretion. Any surplus shall be paid to Borrower or other Persons legally entitled thereto; Borrower shall remain liable to Lender
for any deficiency. If Lender, in its good faith business judgment, directly or indirectly enters into a deferred payment or other credit transaction with any purchaser at any sale of Collateral, Lender shall have the option, exercisable at any
time, of either reducing the Obligations by the principal amount of the purchase price or deferring the reduction of the Obligations until the actual receipt by Lender of cash therefor. 
 9.5 Lender’s Liability for Collateral. So long as Lender complies with reasonable practices regarding the safekeeping of the
Collateral in the possession or under the control of Lender, Lender shall not be liable or responsible for: (a) the safekeeping of the Collateral; (b) any loss or damage to the Collateral; (c) any diminution in the value of the
Collateral; or (d) any act or default of any carrier, warehouseman, bailee, or other Person. The Credit Parties bear all risk of loss, damage or destruction of the Collateral. 
 9.6 No Waiver; Remedies Cumulative. Lender’s failure, at any time or times, to require strict performance by Borrower of any
provision of this Agreement or any other Loan Document shall not waive, affect, or diminish any right of Lender thereafter to demand strict performance and compliance herewith or therewith. No waiver hereunder shall be effective unless signed by
Lender and then is only effective for the specific instance and purpose for which it is given. Lender’s rights and remedies under this Agreement and the other Loan Documents are cumulative. Lender has all rights and remedies provided under the
Code, by law, or in equity. Lender’s exercise of one right or remedy is not an election, and shall not preclude Lender from exercising any other remedy under this Agreement or other remedy available at law or in equity, and Lender’s waiver
of any Event of Default is not a continuing waiver. Lender’s delay in exercising any remedy is not a waiver, election, or acquiescence. 
 9.7 Demand Waiver. Borrower, for itself an on behalf of each Subsidiary, waives demand, notice of default or dishonor, notice of payment and nonpayment, notice of any default, nonpayment at
maturity, release, compromise, settlement, extension, or renewal of accounts, documents, instruments, chattel paper, and guarantees held by Lender on which Borrower is liable. 
 10 NOTICES 
 All notices, consents, requests, approvals, demands, or other communication by any party to this Agreement or any other Loan Document must be in writing and shall be deemed to have been validly served, given, or delivered: (a) upon the
earlier of actual receipt and three (3) Business Days after deposit in the U.S. mail, first class, registered or certified mail return receipt requested, with proper postage prepaid; (b) upon transmission, when sent by electronic mail or
facsimile transmission; (c) one (1) Business Day after deposit with a reputable overnight courier with all charges prepaid; or (d) when delivered, if hand-delivered by messenger, all of which shall be addressed to the party to be
notified and sent to the address, facsimile number, or email address indicated below. Lender or Borrower may change its mailing or electronic mail address or facsimile number by giving the other party written notice thereof in accordance with the
terms of this Section 10. 
  

			
	If to Borrower:	 	TITAN PHARMACEUTICALS, INC.
		 	400 Oyster Point Blvd., Suite 505
		 	South San Francisco, CA 94080
		 	Attn: Chief Financial Officer
		 	Fax: (650) 244-4956
		 	Email: Sbhonsle@titanpharm.com

  

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	If to Lender:	 	OXFORD FINANCE CORPORATION
		 	133 N. Fairfax Street
		 	Alexandria, VA 22314
		 	Attn: Tim A. Lex, Chief Operating Officer
		 	Fax: (703) 519-5225
		 	Email: tlex@oxfordfinance.com

 11 CHOICE OF LAW, VENUE, JURY TRIAL WAIVER AND JUDICIAL REFERENCE

 California law governs the Loan Documents without regard to principles of conflicts of law. Borrower and Lender each
submit to the exclusive jurisdiction of the State and Federal courts in San Diego County, California; provided, however, that nothing in this Agreement shall be deemed to operate to preclude Lender from bringing suit or taking other legal action in
any other jurisdiction to realize on the Collateral or any other security for the Obligations, or to enforce a judgment or other court order in favor of Lender. Borrower expressly submits and consents in advance to such jurisdiction in any action or
suit commenced in any such court, and Borrower hereby waives any objection that it may have based upon lack of personal jurisdiction, improper venue, or forum non conveniens and hereby consents to the granting of such legal or equitable relief as is
deemed appropriate by such court. Borrower hereby waives personal service of the summons, complaints, and other process issued in such action or suit and agrees that service of such summons, complaints, and other process may be made by registered or
certified mail addressed to Borrower at the address set forth in Section 10 of this Agreement and that service so made shall be deemed completed upon the earlier to occur of Borrower’s actual receipt thereof or three (3) days after
deposit in the U.S. mails, proper postage prepaid. 
 TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, BORROWER AND LENDER
EACH WAIVE THEIR RIGHT TO A JURY TRIAL OF ANY CLAIM OR CAUSE OF ACTION ARISING OUT OF OR BASED UPON THIS AGREEMENT, THE LOAN DOCUMENTS OR ANY CONTEMPLATED TRANSACTION, INCLUDING CONTRACT, TORT, BREACH OF DUTY AND ALL OTHER CLAIMS. THIS WAIVER IS A
MATERIAL INDUCEMENT FOR BOTH PARTIES TO ENTER INTO THIS AGREEMENT. EACH PARTY HAS REVIEWED THIS WAIVER WITH ITS COUNSEL. 
 WITHOUT INTENDING IN ANY WAY TO LIMIT THE PARTIES’ AGREEMENT TO WAIVE THEIR RESPECTIVE RIGHT TO A TRIAL BY JURY, if the above waiver of the right to a trial by jury is not enforceable, the parties hereto agree that any and all disputes
or controversies of any nature between them arising at any time shall be decided by a reference to a private judge, mutually selected by the parties (or, if they cannot agree, by the Presiding Judge of the San Diego County, California Superior
Court) appointed in accordance with California Code of Civil Procedure Section 638 (or pursuant to comparable provisions of federal law if the dispute falls within the exclusive jurisdiction of the federal courts), sitting without a jury, in
San Diego County, California; and the parties hereby submit to the jurisdiction of such court. The reference proceedings shall be conducted pursuant to and in accordance with the provisions of California Code of Civil Procedure §§ 638
through 645.1, inclusive. The private judge shall have the power, among others, to grant provisional relief, including without limitation, entering temporary restraining orders, issuing preliminary and permanent injunctions and appointing receivers.
All such proceedings shall be closed to the public and confidential and all records relating thereto shall be permanently sealed. If during the course of any dispute, a party desires to seek provisional relief, but a judge has not been appointed at
that point pursuant to the judicial reference procedures, then such party may apply to the San Diego County, California Superior Court for such relief. The proceeding before the private judge shall be conducted in the same manner as it would be
before a court under the rules of evidence applicable to judicial proceedings. The parties shall be entitled to discovery which shall be conducted in the same manner as it would be before a court under the rules of discovery applicable to judicial
proceedings. The private judge shall oversee discovery and may enforce all discovery rules and order applicable to judicial proceedings in the same manner as a trial court judge. The parties agree that the selected or appointed private judge shall
have the power to decide all issues in the action or proceeding, whether of fact or of law, and shall report a statement of decision thereon pursuant to the California Code of Civil Procedure § 644(a). Nothing in this paragraph shall limit the
right of any party at any time to exercise self-help remedies, foreclose against collateral, or obtain provisional remedies. The private judge shall also determine all issues relating to the applicability, interpretation, and enforceability of this
paragraph. 
  

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 12 GENERAL PROVISIONS 
 12.1 Successors and Assigns. This Agreement binds and is for the benefit of the successors and permitted assigns of each party.
Borrower may not assign this Agreement or any rights or obligations under it without Lender’s prior written consent (which may be granted or withheld in Lender’s discretion). Lender has the right, without the consent of or notice to
Borrower, to sell, transfer, negotiate, or grant participation in all or any part of, or any interest in, Lender’s obligations, rights, and benefits under this Agreement and the other Loan Documents. 
 12.2 Indemnification. Borrower agrees to indemnify, defend and hold Lender and its directors, officers, employees, agents, attorneys,
or any other Person affiliated with or representing Lender (each, an “Indemnified Person”) harmless against: (a) all obligations, demands, claims, and liabilities (collectively, “Claims”) claimed or asserted by
any other party in connection with the transactions contemplated by the Loan Documents; and (b) all losses or expenses (including Lender Expenses) in any way suffered, incurred, or paid by such Indemnified Person as a result of, following from,
consequential to, or arising from transactions between Lender and Borrower (including reasonable attorneys’ fees and expenses), except for Claims and/or losses directly caused by such Indemnified Person’s gross negligence or willful
misconduct. 
 12.3 Time of Essence. Time is of the essence for the performance of all Obligations in this Agreement.

 12.4 Severability of Provisions. Each provision of this Agreement is severable from every other provision in
determining the enforceability of any provision. 
 12.5 Correction of Loan Documents. Upon prior written notice to
Borrower, Lender may correct patent errors and fill in any blanks in this Agreement and the other Loan Documents consistent with the agreement of the parties. 
 12.6 Amendments in Writing; Integration. All amendments to this Agreement must be in writing and signed by both Lender and Borrower. This Agreement and the Loan Documents represent the entire
agreement about this subject matter and supersede prior negotiations or agreements. All prior agreements, understandings, representations, warranties, and negotiations between the parties about the subject matter of this Agreement and the Loan
Documents merge into this Agreement and the Loan Documents. 
 12.7 Counterparts. This Agreement may be executed in any
number of counterparts and by different parties on separate counterparts, each of which, when executed and delivered, are an original, and all taken together, constitute one Agreement. 
 12.8 Survival. All covenants, representations and warranties made in this Agreement continue in full force until this Agreement has
terminated pursuant to its terms and all Obligations (other than inchoate indemnity obligations and any other obligations which, by their terms, are to survive the termination of this Agreement) have been satisfied. The obligation of Borrower in
Section 12.2 to indemnify Lender shall survive until the statute of limitations with respect to such claim or cause of action shall have run. 
 12.9 Confidentiality. In handling any confidential information, Lender shall exercise the same degree of care that it exercises for its own proprietary information, but disclosure of information
may be made: (a) to Lender’s Subsidiaries or Affiliates; (b) to prospective transferees or purchasers of any interest in the Credit Extension (provided, however, Lender shall use commercially reasonable efforts to obtain such
prospective transferee’s or purchaser’s agreement to the terms of this provision); (c) as required by law, regulation, subpoena, or other order; (d) to Lender’s regulators or as otherwise required in connection with
Lender’s examination or audit; (e) as Lender considers appropriate in exercising remedies under the Loan Documents; and (f) to third-party service providers of Lender so long as such service providers have executed a confidentiality
agreement with Lender with terms no less restrictive than those contained herein. Confidential information does not include information that either: (i) is in the public domain or in Lender’s possession when disclosed to Lender, or becomes
part of the public domain after disclosure to Lender; or (ii) is disclosed to Lender by a third party, if Lender does not know that the third party is prohibited from disclosing the information. 
  

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 Lender may use confidential information for any purpose, including, without limitation, for
the development of client databases, reporting purposes, and market analysis, so long as Lender does not disclose Borrower’s identity or the identity of any person associated with Borrower unless otherwise expressly permitted by this Agreement.
The provisions of the immediately preceding sentence shall survive the termination of this Agreement. 
 12.10
Attorneys’ Fees, Costs and Expenses. In any action or proceeding between Borrower and Lender arising out of or relating to the Loan Documents, the prevailing party shall be entitled to recover its reasonable attorneys’ fees and other
costs and expenses incurred, in addition to any other relief to which it may be entitled. 
 12.11 Electronic Execution of
Documents. The words “execution,” “signed,” “signature” and words of like import in any Loan Document shall be deemed to include electronic signatures or the keeping of records in electronic form, each of which
shall be of the same legal effect, validity and enforceability as a manually executed signature or the use of a paper-based recordkeeping systems, as the case may be, to the extent and as provided for in any applicable law, including, without
limitation, any state law based on the Uniform Electronic Transactions Act. 
 12.12 Captions. The headings used in this
Agreement are for convenience only and shall not affect the interpretation of this Agreement. 
 12.13 Construction of
Agreement. The parties mutually acknowledge that they and their attorneys have participated in the preparation and negotiation of this Agreement. In cases of uncertainty this Agreement shall be construed without regard to which of the parties
caused the uncertainty to exist. 
 12.14 Relationship. The relationship of the parties to this Agreement is determined
solely by the provisions of this Agreement. The parties do not intend to create any agency, partnership, joint venture, trust, fiduciary or other relationship with duties or incidents different from those of parties to an arm’s-length contract.

 12.15 Third Parties. Nothing in this Agreement, whether express or implied, is intended to: (a) confer any
benefits, rights or remedies under or by reason of this Agreement on any persons other than the express parties to it and their respective permitted successors and assigns; (b) relieve or discharge the obligation or liability of any person not
an express party to this Agreement; or (c) give any person not an express party to this Agreement any right of subrogation or action against any party to this Agreement. 
 13 DEFINITIONS 
 13.1 Definitions. As used in the Loan Documents, the word “shall” is mandatory, the word “may” is permissive, the word “or” is not exclusive, the words
“includes” and “including” are not limiting, the singular includes the plural, and numbers denoting amounts that are set off in brackets are negative. As used in this Agreement, the following capitalized terms have the following
meaning: 
 “Account” is any “account” as defined in the Code with such additions to such term as may
hereafter be made, and includes, without limitation, all accounts receivable and other sums owing to Borrower. 
 “Account Debtor” is any “account debtor” as defined in the Code with such additions to such term as may hereafter be made. 
 “Affiliate” is, with respect to any Person, each other Person that owns or controls directly or indirectly the Person, any Person that controls or is controlled by or is under common
control with the Person, and each of that Person’s senior executive officers, directors, partners and, for any Person that is a limited liability company, that Person’s managers and members. 
 “Agreement” is defined in the preamble hereof. 
 “Borrower” is defined in the preamble hereof. 
  

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 “Borrower’s Books” are all Borrower’s books and records including
ledgers, federal and state tax returns, records regarding Borrower’s assets or liabilities, the Collateral, business operations or financial condition, and all computer programs or storage or any equipment containing such information.

 “Borrowing Resolutions” are, with respect to any Person, those resolutions adopted by such
Person’s Board of Directors and delivered by such Person to Lender approving the Loan Documents to which such Person is a party and the transactions contemplated thereby, together with a certificate executed by its secretary on behalf of such
Person certifying that (a) such Person has the authority to execute, deliver, and perform its obligations under each of the Loan Documents to which it is a party, (b) that attached as Exhibit A to such certificate is a true, correct, and
complete copy of the resolutions then in full force and effect authorizing and ratifying the execution, delivery, and performance by such Person of the Loan Documents to which it is a party, (c) the name(s) of the Person(s) authorized to
execute the Loan Documents on behalf of such Person, together with a sample of the true signature(s) of such Person(s), and (d) that Lender may conclusively rely on such certificate unless and until such Person shall have delivered to Lender a
further certificate canceling or amending such prior certificate. 
 “Business Day” is any day that is
not a Saturday, Sunday or a day on which Lender is closed. 
 “Cash Equivalents” means (a) marketable
direct obligations issued or unconditionally guaranteed by the United States or any agency or any State thereof having maturities of not more than one (1) year from the date of acquisition; (b) commercial paper maturing no more than one
(1) year after its creation and having the highest rating from either Standard & Poor’s Ratings Group or Moody’s Investors Service, Inc.; (c) Lender’s certificates of deposit issued maturing no more than one
(1) year after issue; and (d) money market funds at least ninety-five percent (95%) of the assets of which constitute Cash Equivalents of the kinds described in clauses (a) through (c) of this definition. 
 “Change in Control” is a transaction in which any “person” or “group” (within the meaning
of Section 13(d) and 14(d)(2) of the Securities Exchange Act of 1934, as amended) becomes the “beneficial owner” (as defined in Rule 13d-3 under the Securities Exchange Act of 1934, as amended), directly or indirectly, of
greater than 49% of the shares of all classes of stock then outstanding of Borrower ordinarily entitled to vote in the election of directors. 
 “Closing Date” is the date on which all of the conditions of Section 3 of this Agreement have been satisfied or waived by Lender. 
 “Code” is the Uniform Commercial Code, as the same may, from time to time, be enacted and in effect in the State of
California; provided, that, to the extent that the Code is used to define any term herein or in any Loan Document and such term is defined differently in different Articles or Divisions of the Code, the definition of such term contained in Article
or Division 9 shall govern; provided further, that in the event that, by reason of mandatory provisions of law, any or all of the attachment, perfection, or priority of, or remedies with respect to, Lender’s Lien on any Collateral is governed
by the Uniform Commercial Code in effect in a jurisdiction other than the State of California, the term “Code” shall mean the Uniform Commercial Code as enacted and in effect in such other jurisdiction solely for purposes on the
provisions thereof relating to such attachment, perfection, priority, or remedies and for purposes of definitions relating to such provisions. 
 “Collateral” is any and all properties, rights and assets of Borrower described on Exhibit A. 
 “Collateral Account” is any Deposit Account, Securities Account, or Commodity Account. 
 “Commodity Account” is any “commodity account” as defined in the Code with such additions to such term as may hereafter be made. 
 “Compliance Certificate” is that certain certificate in the form attached hereto as Exhibit B. 
 “Contingent Obligation” is, for any Person, any direct or indirect liability, contingent or not, of that Person for
(a) any indebtedness, lease, dividend, letter of credit or other obligation of another such as an obligation directly or indirectly guaranteed, endorsed, co-made, discounted or sold with recourse by that Person, or for which

  

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that Person is directly or indirectly liable; (b) any obligations for undrawn letters of credit for the account of that Person; and (c) all obligations from any interest rate, currency
or commodity swap agreement, interest rate cap or collar agreement, or other agreement or arrangement designated to protect a Person against fluctuation in interest rates, currency exchange rates or commodity prices; but “Contingent
Obligation” does not include endorsements in the ordinary course of business. The amount of a Contingent Obligation is the stated or determined amount of the primary obligation for which the Contingent Obligation is made or, if not
determinable, the maximum reasonably anticipated liability for it determined by the Person in good faith; but the amount may not exceed the maximum of the obligations under any guarantee or other support arrangement. 
 “Control Agreement” is any control agreement entered into among the depository institution at which Borrower maintains a
Deposit Account or the securities intermediary or commodity intermediary at which Borrower maintains a Securities Account or a Commodity Account, Borrower, and Lender pursuant to which Lender obtains control (within the meaning of the Code) over
such Deposit Account, Securities Account, or Commodity Account; provided that, Lender shall not exercise control under any such Control Agreement unless an Event of Default occurs. 
 “Copyrights” are any and all copyright rights, copyright applications, copyright registrations and like protections in each
work or authorship and derivative work thereof, whether published or unpublished and whether or not the same also constitutes a trade secret. 
 “Credit Extension” is the Growth Capital Advance. 
 “Default Rate” is defined in Section 2.2(b). 
 “Deposit Account” is any
“deposit account” as defined in the Code with such additions to such term as may hereafter be made. 
 “Designated Deposit Account” is any of Borrower’s deposit accounts, including account numbers 3300680880 and 3300680895, maintained with Silicon Valley Bank. 
 “Dollars,” “dollars” and “$” each mean lawful money of the United States.

 “Equipment” is all “equipment” as defined in the Code with such additions to such term as may
hereafter be made, and includes without limitation all machinery, fixtures, goods, vehicles (including motor vehicles and trailers), and any interest in any of the foregoing. 
 “ERISA” is the Employee Retirement Income Security Act of 1974, and its regulations. 
 “Event of Default” is defined in Section 8. 
 “Final Payment” means a fee (in addition to and not a substitution for any other payment due hereunder) in the amount of
One Hundred Eighty Thousand Dollars ($180,000). 
 “Funding Date” is the date on which the Growth Capital
Advance is made to or on account of Borrower. 
 “GAAP” is generally accepted accounting principles set forth
in the opinions and pronouncements of the Accounting Principles Board of the American Institute of Certified Public Accountants and statements and pronouncements of the Financial Accounting Standards Board or in such other statements by such other
Person as may be approved by a significant segment of the accounting profession, which are applicable to the circumstances as of the date of determination. 
 “General Intangibles” is all “general intangibles” as defined in the Code in effect on the date hereof with such additions to such term as may hereafter be made, and includes
without limitation, all Intellectual Property, claims, income and other tax refunds, security and other deposits, payment intangibles, contract rights, options to purchase or sell real or personal property, rights in all litigation presently or
hereafter pending (whether in contract, tort or otherwise), insurance policies (including without limitation key man, property damage, and business interruption insurance), payments of insurance and rights to payment of any kind. 
  

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 “Governmental Approval” is 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” is any nation or government, any state or other political subdivision thereof, any agency,
authority, instrumentality, regulatory body, court, central bank or other entity exercising executive, legislative, judicial, taxing, regulatory or administrative functions of or pertaining to government, any securities exchange and any
self-regulatory organization. 
 “Growth Capital Advance” is defined in Section 2.1.1(a). 
 “Growth Capital Amortization Date” means August 1, 2010. 
 “Indebtedness” is (a) indebtedness for borrowed money or the deferred price of property or services, such as
reimbursement and other obligations for surety bonds and letters of credit, (b) obligations evidenced by notes, bonds, debentures or similar instruments, (c) capital lease obligations, and (d) Contingent Obligations. 
 “Indemnified Person” is defined in Section 12.2. 
 “Ingenex” is Ingenex, Inc., a majority-owned Subsidiary of Borrower. 
 “Insolvency Proceeding” is any proceeding by or against any Person under the United States Bankruptcy Code, or any other
bankruptcy or insolvency law, including assignments for the benefit of creditors, compositions, extensions generally with its creditors, or proceedings seeking reorganization, arrangement, or other relief. 
 “Intellectual Property” means all of Borrower’s right, title, and interest in and to the following: 
 (a) its Copyrights, Trademarks and Patents; 
 (b) any and all trade secrets and trade secret rights, including, without limitation, any rights to unpatented inventions, know-how, operating manuals; 
 (c) any and all source code; 
 (d) any and all design rights which may be available to Borrower; 
 (e) any and
all claims for damages by way of past, present and future infringement of any of the foregoing, with the right, but not the obligation, to sue for and collect such damages for said use or infringement of the Intellectual Property rights identified
above; and 
 (f) all amendments, renewals and extensions of any of the Copyrights, Trademarks or Patents. 
 “Interest Only Period” means the period of time commencing on the Funding Date through the day before the Growth Capital
Amortization Date. 
 “Inventory” is all “inventory” as defined in the Code in effect on the date
hereof with such additions to such term as may hereafter be made, and includes without limitation all merchandise, raw materials, parts, supplies, packing and shipping materials, work in process and finished products, including without limitation
such inventory as is temporarily out of Borrower’s custody or possession or in transit and including any returned goods and any documents of title representing any of the above. 
  

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 “Investment” is any beneficial ownership interest in any Person (including
stock, partnership interest or other securities), and any loan, advance or capital contribution to any Person. 
 “IP
Agreement” is that certain Intellectual Property Security Agreement executed and delivered by Borrower to Lender dated as of the Closing Date. 
 “Key Person” is any of the President or Executive Chairman of the Board of Borrower. 
 “Lender” is defined in the preamble hereof. 
 “Lender
Expenses” are all audit fees (provided that Borrower shall not be responsible to reimburse Lender for audit fees incurred by Lender for more than one (1) audit per fiscal year unless such additional audit is conducted following the
occurrence of an Event of Default) and reasonable expenses, costs, and expenses (including reasonable attorneys’ fees and expenses) for preparing, amending, negotiating, administering, defending and enforcing the Loan Documents (including,
without limitation, those incurred in connection with appeals or Insolvency Proceedings) or otherwise incurred with respect to Borrower in connection with the transactions contemplated hereby. 
 “LIBOR Rate” means, an interest rate per annum (rounded upward, if necessary, to the nearest 1/10,000th of one
percent (0.0001%)) equal to LIBOR on the applicable Funding Date. 
 “LIBOR Margin” is 12.72%. 
 “LIBOR” means the rate of interest per annum determined by Lender to be the per annum rate of interest at which deposits in
United States Dollars are offered to Lender in the London interbank market (rounded upward, if necessary, to the nearest 1/10,000th of one percent (0.0001%)) in which Lender customarily participates at 11:00 a.m. (local time in such interbank
market) for a 3-month period and published in The Wall Street Journal two (2) Business Days prior to the making of the Growth Capital Advance and in an amount approximately equal to the amount of the Growth Capital Advance. 
 “Lien” is a claim, mortgage, deed of trust, levy, charge, pledge, security interest or other encumbrance of any kind,
whether voluntarily incurred or arising by operation of law or otherwise against any property. 
 “Loan
Documents” are, collectively, this Agreement, the IP Agreement, the Perfection Certificate, the Promissory Note, any other note, or notes or guaranties executed by Borrower or any Subsidiary, and any other present or future agreement
between Borrower and/or any Subsidiary and/or for the benefit of Lender in connection with this Agreement, all as amended, restated, or otherwise modified. 
 “Material Adverse Change” is (a) a material impairment in the perfection or priority of Lender’s Lien in the Collateral or in the value of such Collateral; (b) a material
adverse change in the business, operations, or condition (financial or otherwise) of Borrower; or (c) a material impairment of the prospect of repayment of any portion of the Obligations. 
 “Maturity Date” is January 1, 2013, or such earlier date as the Growth Capital Advance or any portion of the
Obligations is accelerated, whether by prepayment or otherwise. 
 “Obligations” are Borrower’s obligation
to pay when due any debts, principal, interest, Lender Expenses and other amounts Borrower owes Lender now or later, whether under this Agreement, the Loan Documents, or otherwise, including, without limitation, all obligations relating to letters
of credit (including reimbursement obligations for drawn and undrawn letters of credit), cash management services, and foreign exchange contracts, if any, and including interest accruing after Insolvency Proceedings begin and debts, liabilities, or
obligations of Borrower assigned to Lender, and the performance of Borrower’s duties under the Loan Documents. 
 “Operating Documents” are, for any Person, such Person’s formation documents, as certified with the Secretary of State of such Person’s state of formation on a date that is no earlier than 30 days prior to the
Closing Date, and, (a) if such Person is a corporation, its bylaws in current form, (b) if such Person is a limited liability

  

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company, its limited liability company agreement (or similar agreement), and (c) if such Person is a partnership, its partnership agreement (or similar agreement), each of the foregoing with
all current amendments or modifications thereto. 
 “Patents” means all patents, patent applications and like
protections including without limitation improvements, divisions, continuations, renewals, reissues, extensions and continuations-in-part of the same. 
 “Perfection Certificate” is defined in Section 5.1. 
 “Permitted Distributions” means: 
 (a) purchases of capital stock from former employees, consultants
and directors pursuant to repurchase agreements or other similar agreements in an aggregate amount not to exceed $100,000 in any fiscal year, provided that at the time of such purchase no Event of Default has occurred and is continuing; 

(b) distributions or dividends consisting solely of Borrower’s capital stock; 
 (c) purchases for value of any rights distributed in connection with any stockholder rights plan; 
 (d) purchases of capital stock or options to acquire such capital stock with the proceeds received from a substantially concurrent issuance
of capital stock or convertible securities; 
 (e) purchases of capital stock pledged as collateral for loans to employees; and

 (f) purchases of capital stock in connection with the exercise of stock options or stock appreciation rights by way of
cashless exercise or in connection with the satisfaction of withholding tax obligations. 
 “Permitted
Indebtedness” is: 
 (a) Borrower’s Indebtedness to Lender under this Agreement and any other Loan Document;

 (b) (i) any Indebtedness that does not exceed $100,000 in principal amount existing on the Closing Date, and (ii) any
Indebtedness in excess of $100,000 in principal amount existing on the Closing Date and shown on the Perfection Certificate; 
 (c) Subordinated Debt; 
 (d) unsecured Indebtedness to trade creditors incurred in the ordinary course of business;

 (e) capitalized leases and purchase money Indebtedness not to exceed $100,000 in the aggregate in any fiscal year secured by
Permitted Liens; 
 (f) Indebtedness for deferred compensation in accordance with, and subject to the terms and conditions of,
Section 7.11(iii); and 
 (g) refinanced Permitted Indebtedness, provided that the amount of such Indebtedness is not
increased except by an amount equal to a reasonable premium or other reasonable amount paid in connection with such refinancing and by an amount equal to any existing, but unutilized, commitment thereunder. 
 “Permitted Investments” are: 
 (a) Investments shown on the Perfection Certificate and existing on the Closing Date; 
  

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 (b) Investments permitted by Borrower’s investment policy, as amended from time to
time, provided that such investment policy (and any amendment thereto) has been approved by Lender; 
 (c) Investments
(i) by Borrower in Subsidiaries not to exceed $100,000 in the aggregate in any fiscal year and (ii) by Subsidiaries in other Subsidiaries not to exceed $100,000 in the aggregate in any fiscal year or in Borrower; provided that neither
Borrower nor any Subsidiary shall make any investment in Ingenex, provided that Borrower may make investments in or for the benefit of Ingenex not to exceed $60,000 per year on account of the license arrangement between Ingenex and Pfizer;

 (d) Investments consisting of Collateral Accounts in the name of Borrower or any Subsidiary so long as Lender has a first
priority, perfected security interest in such Collateral Accounts; 
 (e) Investments (including debt obligations) received in
connection with the bankruptcy or reorganization of customers or suppliers and in settlement of delinquent obligations of, and other disputes with, customers or suppliers arising in the ordinary course of business; 
 (f) Investments permitted by Section 7.3; and 
 (g) joint ventures or strategic alliances in the ordinary course of Borrower’s business consisting of (A) (i) non-exclusive licenses of Intellectual Property granted to third parties in the
ordinary course of business, and (ii) licenses of Intellectual Property that could not result in a legal transfer of title of the licensed property that may be exclusive in respects other than territory and that may be exclusive as to territory
only as to discreet geographical areas outside of the United States; (B) the development of such Intellectual Property; or (C) the providing of technical support; provided that any cash investments by Borrower do not exceed $100,000 in the
aggregate in any fiscal year; provided further that that the foregoing dollar limitation shall not be applicable in connection with any joint venture or strategic alliance entered into for the development of Probuphine, provided that
(x) Borrower at all times maintains all ownership and title to the Probuphine product line and the underlying Intellectual Property related thereto, and (y) Borrower does not transfer any cash or other Collateral to any joint venture
counterparty or strategic alliance counterparty in connection with any such joint venture or strategic alliance. 
 Notwithstanding the foregoing, Permitted Investments shall not include, and Borrower and each Subsidiary is prohibited from purchasing, purchasing participations in, entering into any type of swap or other equivalent derivative transaction,
or otherwise holding or engaging in any ownership interest in any type of debt instrument, including, without limitation, any corporate or municipal bonds with a long-term nominal maturity for which the interest rate is reset through a dutch auction
and more commonly referred to as an “auction rate security.” 
 “Permitted Liens” are: 
 (a) (i) Liens securing Permitted Indebtedness described under clause (b) of the definition of “Permitted Indebtedness” or
(ii) Liens arising under this Agreement or other Loan Documents; 
 (b) Liens for taxes, fees, assessments or other
government charges or levies, either not delinquent or being contested in good faith and for which Borrower maintains adequate reserves on its Books, provided that no notice of any such Lien has been filed or recorded under the Internal
Revenue Code of 1986, as amended, and the Treasury Regulations adopted thereunder, if such Lien would be superior to any of Lender’s Liens securing the Obligations; 
 (c) Liens (including with respect to capital leases) (i) on property (including accessions, additions, parts, replacements, fixtures, improvements and attachments thereto, and the proceeds thereof)
acquired or held by Borrower or its Subsidiaries (other than Ingenex) incurred for financing such property (including accessions, additions, parts, replacements, fixtures, improvements and attachments thereto, and the proceeds thereof) other than
Accounts, or (ii) existing on property (and accessions, additions, parts, replacements, fixtures, improvements and attachments thereto, and the proceeds thereof) when acquired other than Accounts, if the Lien is confined to such property
(including accessions, additions, parts, replacements, fixtures, improvements and attachments thereto, and the proceeds thereof); 
  

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 (d) Liens incurred in the extension, renewal or refinancing of the indebtedness secured by
Liens described in (a) through (c), but any extension, renewal or replacement Lien must be limited to the property encumbered by the existing Lien and the principal amount of the indebtedness it secures may not increase; 
 (e) leases or subleases of real property granted in the ordinary course of Borrower’s business, and leases, subleases, non-exclusive
licenses or sublicenses of personal property (other than Intellectual Property) granted in the ordinary course of Borrower’s business, if the leases, subleases, licenses and sublicenses do not prohibit granting Lender a security interest
therein; 
 (f) (i) non-exclusive licenses of Intellectual Property granted to third parties in the ordinary course of business,
and (ii) licenses of Intellectual Property that could not result in a legal transfer of title of the licensed property that may be exclusive in respects other than territory and that may be exclusive as to territory only as to discreet
geographical areas outside of the United States; 
 (g) leases or subleases granted in the ordinary course of Borrower’s
business, including in connection with Borrower’s leased premises or leased property; 
 (h) Liens in favor of other
financial institutions arising in connection with Borrower’s deposit or securities accounts held at such institutions; 
 (i) Liens of carriers, warehousemen, suppliers, or other Persons that are possessory in nature arising in the ordinary course of business so long as such Liens attach only to Inventory, securing liabilities in the aggregate amount not to
exceed $100,000 and which are not delinquent or remain payable without penalty or which are being contested in good faith and by appropriate proceedings which proceedings have the effect of preventing the forfeiture or sale of the property subject
thereto; 
 (j) Liens to secure payment of workers’ compensation, employment insurance, old-age pensions, social security
and other like obligations incurred in the ordinary course of business (other than Liens imposed by ERISA); and 
 (k) Liens
other than those described above which do not at any time exceed $25,000 in the aggregate. 
 “Person” is any
individual, sole proprietorship, partnership, limited liability company, joint venture, company, trust, unincorporated organization, association, corporation, institution, public benefit corporation, firm, joint stock company, estate, entity or
government agency. 
 “Promissory Note” means the Secured Promissory Note in substantially the form attached
hereto as Exhibit C. 
 “Registered Organization” is any “registered organization” as defined
in the Code with such additions to such term as may hereafter be made 
 “Requirement of Law” is as to any
Person, the organizational or governing documents of such Person, and any law (statutory or common), treaty, rule or regulation or determination of an arbitrator or a court or other Governmental Authority, in each case applicable to or binding upon
such Person or any of its property or to which such Person or any of its property is subject. 
 “Responsible
Officer” is any of the Executive Chairman, President, Chief Financial Officer and Controller of Borrower. 
  

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 “Restricted License” is any material license or other material agreement
with respect to which Borrower is the licensee (a) that prohibits or otherwise restricts Borrower from granting a security interest in Borrower’s interest in such license or agreement or any other property, or (b) for which a default
under or termination of could interfere with the Lender’s right to sell any Collateral. 
 “Securities
Account” is any “securities account” as defined in the Code with such additions to such term as may hereafter be made. 
 “Subordinated Debt” is (a) Indebtedness incurred by Borrower subordinated to Borrower’s Indebtedness owed to Lender and which is reflected in a written agreement in a manner and
form reasonably acceptable to Lender and approved by Lender in writing, and (b) to the extent the terms of subordination do not change adversely to Lender, refinancings, refundings, renewals, amendments or extensions of any of the foregoing.

 “Subsidiary” is, as to any Person, a corporation, partnership, limited liability company or other entity of
which shares of stock or other ownership interests having ordinary voting power (other than stock or such other ownership interests having such power only by reason of the happening of a contingency) to elect a majority of the board of directors or
other managers of such corporation, partnership or other entity are at the time owned, or the management of which is otherwise controlled, directly or indirectly through one or more intermediaries, or both, by such Person. Unless the context
otherwise requires, each reference to a Subsidiary herein shall be a reference to a Subsidiary of Borrower. 
 “Trademarks” means any trademark and servicemark rights, whether registered or not, applications to register and registrations of the same and like protections, and the entire goodwill of the business of Borrower connected
with and symbolized by such trademarks. 
 “Transfer” is defined in Section 7.1. 
 “Warrant” is that certain Warrant to Purchase Stock dated as of the Closing Date executed by Borrower in favor of
Lender. 
 [Balance of Page Intentionally Left Blank] 
  

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 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed as
of the Closing Date. 
 BORROWER: 
  

			
	TITAN PHARMACEUTICALS, INC.
		
	By	 	  

		
	Name:	 	  

		
	Title:	 	  

 LENDER: 
  

			
	OXFORD FINANCE CORPORATION
		
	By	 	  

		
	Name:	 	  

		
	Title:	 	  

 [Signature Page to Loan and Security Agreement] 

 EXHIBIT A – COLLATERAL DESCRIPTION 
 The Collateral consists of all of Borrower’s right, title and interest in and to the following personal property: 
 All goods, Accounts (including health-care receivables), Equipment, Inventory, contract rights or rights to payment of money (including but
not limited to any royalty or similar rights to payment arising under or related to that certain Sublicense Agreement among Borrower and Novartis Pharma A.G. (and is successors and assigns, “Novartis”) dated as of November 20, 1997
and that certain Sublicense Agreement among Novartis and Vanda Pharmaceuticals, Inc. (and its successors and assigns) dated as of June 4, 2004; each as amended from time to time), leases, license agreements, franchise agreements, General
Intangibles, commercial tort claims, documents, instruments (including any promissory notes), chattel paper (whether tangible or electronic), cash, deposit accounts, fixtures, letters of credit rights (whether or not the letter of credit is
evidenced by a writing), securities, and all other investment property, supporting obligations, and financial assets, whether now owned or hereafter acquired, wherever located; and 
 All Borrower’s Books relating to the foregoing, and any and all claims, rights and interests in any of the above and all substitutions
for, additions, attachments, accessories, accessions and improvements to and replacements, products, proceeds and insurance proceeds of any or all of the foregoing. 
  

 1 

 EXHIBIT B - COMPLIANCE CERTIFICATE 
  

							
	TO:	 	 OXFORD FINANCE CORPORATION
	  	Date:	 	  

	FROM:	 	 TITAN PHARMACEUTICALS, INC.
	  		 	

 The undersigned authorized officer of TITAN PHARMACEUTICALS, INC.
(“Borrower”) certifies that under the terms and conditions of the Loan and Security Agreement between Borrower and Oxford Finance Corporation (the “Agreement”): 
 (1) Borrower is in complete compliance for the period ending
                    with all required covenants except as noted below; (2) there are no Events of Default; (3) all representations and
warranties in the Agreement are true and correct in all material respects on this date except as noted below; provided, however, that such materiality qualifier shall not be applicable to any representations and warranties that already are qualified
or modified by materiality in the text thereof; and provided, further that those representations and warranties expressly referring to a specific date shall be true, accurate and complete in all material respects as of such date; (4) Borrower,
and each of its Subsidiaries, has timely filed all required tax returns and reports, and Borrower has timely paid all foreign, federal, state and local taxes, assessments, deposits and contributions owed by Borrower except as otherwise permitted
pursuant to the terms of Section 5.8 of the Agreement; and (5) no Liens have been levied or claims made against Borrower (or any of its Subsidiaries) relating to unpaid employee payroll or benefits of which Borrower has not previously
provided written notification to Lender. 
 Attached are the required documents supporting the certification. The undersigned
certifies that these are prepared in accordance with GAAP consistently applied from one period to the next except as explained in an accompanying letter or footnotes. The undersigned acknowledges that no borrowings may be requested at any time or
date of determination that Borrower is not in compliance with any of the terms of the Agreement, and that compliance is determined not just at the date this certificate is delivered. Capitalized terms used but not otherwise defined herein shall have
the meanings given them in the Agreement. 
 Please indicate compliance status by circling Yes/No under “Complies” column. 

  

					
	 Reporting Covenant
	  	 Required
	  	 Complies

	Monthly financial statements with Compliance Certificate	  	Monthly within 45 days (prior to Section 12 registered securities)	  	Yes    No
	Quarterly financial statements with Compliance Certificate	  	Quarterly within 45 days (Section 12 registered securities)	  	Yes    No
	Annual financial statement (CPA Audited) + CC	  	FYE within 120 days	  	Yes    No
	10-Q, 10-K and 8-K	  	Within 5 days after filing with SEC*	  	Yes    No
	  
 *  deemed delivered when posted on Borrower’s website

	
	The following Intellectual Property was registered (or a registration application submitted) after the Closing Date (if no registrations, state
“None”)
	  

	  

  

							
	 Financial Covenant
	  	 Required
	  	 Actual
	  	 Complies

	 None
	  		  		  	

 The following are the exceptions with respect to the certification above: (If no exceptions
exist, state “No exceptions to note.”) 
  
  
  
  
  
  
  

									
	TITAN PHARMACEUTICALS, INC.	 		 	LENDER USE ONLY
					
	By:	  	  
	 		 		 	
					
	Name:	  	  
	 		 	Received by:	 	  

				
	Title:	  	  
	 		 	AUTHORIZED SIGNER
					
		  		 		 	Date:	 	  

					
		  		 		 	Verified:	 	  

				
		  		 		 	AUTHORIZED SIGNER
					
		  		 		 	Date:	 	  

				
		  		 		 	Compliance Status:
                        Yes    No

  

 2 

 EXHIBIT C 
 FORM OF SECURED PROMISSORY NOTE 
  

			
	$3,000,000	  	Dated: December 23, 2009

 FOR VALUE RECEIVED, the undersigned, TITAN PHARMACEUTICALS, INC., a Delaware
corporation (“Borrower”), HEREBY PROMISES TO PAY to the order of OXFORD FINANCE CORPORATION (“Lender”) the principal amount of Three Million Dollars ($3,000,000) or such lesser amount as shall equal the outstanding principal
balance of the Growth Capital Advance made to Borrower by Lender pursuant to the Loan Agreement (defined below), and to pay all other amounts due with respect to the Growth Capital Advance on the dates and in the amounts set forth in the Loan
Agreement. Capitalized terms, unless defined in this Secured Promissory Note (this “Note”), shall have the meaning given such capitalized term in the Loan Agreement. 
 Interest on the principal amount of this Note from the date of this Note shall accrue at 13% per annum based on a 360-day year of
twelve 30-day months or, if applicable, the Default Rate. Commencing on August 1, 2010, and continuing on the first day of each successive calendar month thereafter, Borrower shall make to Lender thirty (30) equal payments of principal and
accrued interest on the then outstanding principal amount. Any and all remaining principal and interest shall be due and payable on the Maturity Date. In addition to the foregoing payments, on the Maturity Date (or upon earlier repayment, whether as
a result of acceleration or otherwise) the Final Payment in the amount of One Hundred Eighty Thousand Dollars ($180,000) shall be due and payable by Borrower to Lender. 
 Principal, interest and all other amounts due with respect to the Growth Capital Advance, are payable in lawful money of the United States of America to Lender as set forth in the Loan Agreement. The
principal amount of this Note and the interest rate applicable thereto, and all payments made with respect thereto, shall be recorded by Lender and, prior to any transfer hereof, endorsed on the grid attached hereto which is part of this Note.

 This Note is the Note referred to in, and is entitled to the benefits of, the Loan and Security Agreement, dated as of the
Closing Date (as defined therein), to which Borrower and Lender are parties (as amended from time to time, the “Loan Agreement”). The Loan Agreement, among other things, (a) provides for the making of this secured Growth Capital
Advance to Borrower, and (b) contains provisions for acceleration of the maturity hereof upon the happening of certain stated events. 
 This Note may not be prepaid except as provided in the Loan Agreement. This Note and the obligation of Borrower to repay the unpaid principal amount of the Growth Capital Advance, interest on the Growth
Capital Advance and all other amounts due Lender under the Loan Agreement is secured under the Loan Agreement. 
 Presentment
for payment, demand, notice of protest and all other demands and notices of any kind in connection with the execution, delivery, performance and enforcement of this Note are hereby waived. 
 Borrower shall pay all reasonable fees and expenses, including, without limitation, reasonable attorneys’ fees and costs, incurred by
Lender in the enforcement or attempt to enforce any of Borrower’s obligations hereunder not performed when due. This Note shall be governed by, and construed and interpreted in accordance with, the laws of the State of California. 

[Balance of Page Intentionally Left Blank] 

 IN WITNESS WHEREOF, the parties hereto have caused this Note to be executed as of the
Closing Date. 
  

			
	TITAN PHARMACEUTICALS, INC.
		
	By:	 	  

		
	Name:	 	  

		
	Title	 	  

 [Signature Page to Secured Promissory Note] 
  

 2

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