Document:

Exhibit 10.28

 

Execution
Version

 

SECOND
AMENDED AND RESTATED PLEDGE AGREEMENT

 

made
by

 

Clever
leaves international Inc.

 

in
favour of

 

GLAS
AMERICAS LLC, as collateral agent

 

dated
as of

 

December
18, 2020

 

This
SECOND AMENDED AND RESTATED PLEDGE AGREEMENT, dated as of December 18, 2020 (as
amended, amended and restated, renewed, extended, supplemented, replaced or otherwise modified from time to time in accordance
with the provisions hereof, this “Agreement”), is made by Clever Leaves International Inc. (formerly Northern
Swan Holdings, Inc.), a corporation incorporated pursuant to the laws of the Province of British Columbia (the “Pledgor”),
in favour of GLAS AMERICAS LLC, as collateral agent for the Secured Parties (as defined below) (in such capacity, and together
with any successors in such capacity, the “Agent”).

 

WHEREAS,
the Pledgor, as issuer, has issued certain secured convertible notes in favour of the Noteholders (as defined below) (as each
may be amended, amended and restated, renewed, extended, supplemented, assigned, replaced or otherwise modified from time to time,
a “Note” and collectively, the “Notes”);

 

AND
WHEREAS, the Pledgor entered into an amended and restated pledge agreement dated as of May 10, 2019 in favour of the Agent
(the “Original Pledge Agreement”);

 

AND
WHEREAS, on March 12, 2020 the Pledgor changed its name from Northern Swan Holdings, Inc. to “Clever Leaves International
Inc.”;

 

AND
WHEREAS, in connection with a corporate reorganization being completed by the Pledgor and certain of its affiliates and subsidiaries,
the Pledgor has requested certain amendments to the Original Pledge Agreement and the Agent and the other Secured Parties have
agreed to make such amendments subject to the terms and conditions set out in this Agreement;

 

AND
WHEREAS, the Agent, the Pledgor, the holders of the Notes and GLAS USA LLC (the “Paying Agent”), inter
alios, have entered into an amended and restated intercreditor and collateral agency agreement dated as of May 10, 2019 (as
amended, amended and restated, renewed, extended, supplemented, replaced or otherwise modified from time to time, the “Intercreditor
and Collateral Agency Agreement”) to secure and confirm the relative priority of the obligations owing to present and
future Secured Parties;

 

AND
WHEREAS, the Pledgor is the registered and beneficial owner of the Collateral (as defined below);

 

AND
WHEREAS, in accordance with the terms of the Notes, the Pledgor has agreed to pledge all of its right, title and interest
in the Collateral in favour of the Secured Parties under the terms hereof to secure the payment and performance of all of the
Secured Obligations (as defined below);

 

     

     

    

 

NOW,
THEREFORE, in consideration of the Noteholders agreeing to continue to extend certain credit in favour of the Pledgor under
the terms of the Notes, and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged
by the Pledgor, the Pledgor hereby agrees with the Agent, for the benefit of the Secured Parties, as follows:

 

Article 1

DEFINITIONS AND INTERPRETATION

 

Section
1.01 Definitions.

 

		(a)	Unless
                                         otherwise defined herein or in the Notes, terms used herein that are defined in the PPSA
                                         shall have the meanings assigned to them in the PPSA.

 

		(b)	In
                                         this Agreement, unless otherwise defined herein, terms with an initial capital letter
                                         shall have the meaning given to them in the Notes and the following terms shall have
                                         the following meanings:

 

“Agent”
is defined in the preamble hereof.

 

“Collateral”
is defined in Section 2.01.

 

“Equity
Interests” means, with respect to any Person (as defined below), all of the securities, investment property, units,
trust units, partnership, membership and other equity interests, participations, investment certificates, notes (or other ownership
or profit interests in) in or of such Person (collectively, “ownership interests”), all of the warrants, options
or other rights for the purchase or acquisition from such Person of ownership interests in such Person, all of the securities
convertible into or exchangeable for ownership interests in such Person or warrants, rights or options for the purchase or acquisition
from such Person of ownership interests, and all of the other ownership or profit interests in such Person (including, without
limitation, partnership, member or trust interests therein), whether voting or non-voting, and whether or not such ownership interests
are outstanding on any date of determination.

 

“Event
of Default” has the meaning given to such term in the Notes.

 

“Intercreditor
and Collateral Agency Agreement” has the meaning given to such term in the recitals hereof.

 

“Issuers”
means each of (i) 1255096 B.C. Ltd. and (ii) Clever Leaves US, Inc. (being the entity surviving from the merger of Novel Merger
Sub Inc. and Schultze Special Purpose Acquisition Corp.) and each of their respective successors, and “Issuer”
has a corresponding meaning.

 

“Note”
and “Notes” are defined in the preamble hereof.

 

“Noteholders”
means each of Rimrock High Income Plus (Master) Fund, Ltd, Anson Investments Master Fund LP, Anson Opportunities Master Fund LP,
AC Anson Investments Ltd., Anson East Master Fund LP, Axios Growth Partners, LLC, NS Co-Investment LLC and Cowen Investments II
LLC and each other noteholder that becomes party to the Intercreditor and Collateral Agency Agreement as a “Noteholder”
from time to time, and “Noteholder” means any of them.

 

“Original
Pledge Agreement” is defined in the preamble hereof.

 

“Paying
Agent” is defined in the preamble hereof.

 

“Person”
means any corporation, company, partnership, association, unincorporated association, entity, trust, joint venture, individual,
estate, sole proprietorship, institution, or any governmental entity.

 

“Pledged
Securities” means all of the issued and outstanding Equity Interests of each Issuer now or from time to time hereafter
held by the Pledgor, including, without limitation, the Equity Interests of each Issuer described in Schedule 1 hereto.

 

“Pledgor”
is defined in the Preamble to this Agreement.

 

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“PPSA”
means the Personal Property Security Act (British Columbia) and the regulations made thereunder, each as amended from time to
time and any legislation substituted therefor and any amendments thereto, provided that, if perfection or the effect of perfection
or non-perfection or the priority of any lien created hereunder or in relation to any other Loan Document on the Collateral is
governed by the personal property security legislation or other applicable legislation with respect to personal property security
in effect in a province or jurisdiction other than British Columbia, “PPSA” means The Personal Property Security
Act or such other applicable legislation in effect from time to time in such other jurisdiction for purposes of the provisions
hereof relating to such perfection, effect of perfection or non-perfection or priority.

 

“Proceeds”
means “proceeds” as such term is defined in Section 1(1) of the PPSA and, in any event, shall include, without limitation,
all dividends or other income from the Pledged Securities, collections thereon or distributions with respect thereto.

 

“Rate
of Exchange” means the noon (EST) spot rate of exchange applied in converting a particular currency into United States
Dollars published by Thomson Reuters for the day in question.

 

“Secured
Obligations” is defined in Section 3.01.

 

“Secured
Parties” means the Agent, the Noteholders and each of their respective successors and assigns and “Secured Party”
means any of them.

 

“STA”
means the Securities Transfer Act, SBC 2007, c 10 (British Columbia), as amended from time to time and any legislation substituted
therefor and any amendments thereto.

 

“Taxes”
means any and all present or future income, stamp or other taxes, levies, imposts, duties, deductions, charges, fees or withholdings
imposed, levied, withheld or assessed by any Governmental Authority, together with any interest, additions to tax or penalties
imposed thereon and with respect thereto.

 

Section
1.02 Interpretation.

 

		(a)	Unless
                                         otherwise specified herein, all references to Sections and Schedules herein are to Sections
                                         and Schedules of this Agreement.

 

		(b)	The
                                         Schedules hereto, all descriptions of the Collateral contained in the Schedules and all
                                         amendments and supplements thereto are and shall at all times be considered a part of
                                         this Agreement.

 

Section
1.03 Amendment and Restatement.

 

Upon
execution of this Agreement, the Original Pledge Agreement shall be deemed to have been amended and restated, as of the date hereof,
to the extent necessary to give effect to this Agreement. It is the intent of the parties hereto that this Agreement restates
in its entirety the Original Pledge Agreement as amended hereby.

 

Article 2

PLEDGE

 

Section
2.01 Pledge.

 

As
general and continuing security for the payment and performance of the Secured Obligations, the Pledgor hereby grants, assigns
as security, transfers, pledges, hypothecates, mortgages, sets over and charges to the Agent, for the benefit of the Secured Parties,
and hereby grants a continuing security interest in favour of the Agent, for the benefit of the Secured Parties, in and to, all
of its right, title and interest in and to the following property, wherever located, whether now existing or hereafter from time
to time arising or acquired (collectively, the “Collateral”):

 

		(a)	the
                                         Pledged Securities, all certificates and other instruments and agreements from time to
                                         time representing or evidencing the Pledged Securities, together with all claims, rights,
                                         privileges, authority and powers of the Pledgor relating to such Equity Interests, and
                                         all income, dividends, interest, distributions, cash, instruments and other property
                                         or proceeds from time to time received, receivable or otherwise distributed in respect
                                         of or in exchange for any or all of the Pledged Securities;

 

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		(b)	all
                                         additional Equity Interests of any Issuer from time to time acquired by or issued to
                                         the Pledgor and all options, warrants, rights, agreements and additional Equity Interests
                                         of whatever class or series of any such Issuer from time to time acquired by the Pledgor
                                         in any manner, together with all claims, rights, privileges, authority and powers of
                                         the Pledgor relating to such Equity Interests or under any constating or organizational
                                         document of any such Issuer, and the certificates, instruments and agreements representing
                                         such Equity Interests, from time to time acquired by the Pledgor in any manner;

 

		(c)	all
                                         Equity Interests issued in respect of the Equity Interests referred to in Section 2.01(a)
                                         or Section 2.01(b) upon any consolidation, amalgamation or merger of any issuer of such
                                         Equity Interests; and

 

		(d)	all
                                         proceeds and products of the foregoing, all books and records relating to the foregoing,
                                         all supporting obligations related thereto, and all accessions to, substitutions and
                                         replacements for, and profits and products of, each of the foregoing, and any and all
                                         proceeds of any insurance, indemnity, warranty or guarantee payable to the Pledgor from
                                         time to time with respect to any of the foregoing.

 

Article 3

SECURED OBLIGATIONS

 

Section
3.01 Secured Obligations.

 

The
Collateral secures the payment and performance of all present and future indebtedness, liabilities and obligations of any and
every kind, nature and description of the Pledgor to the Secured Parties under, in connection with or with respect to the Notes,
from time to time, whether primary, secondary, direct or indirect, absolute or contingent, due or to become due, now existing
or hereafter arising, whether the indebtedness is reduced and thereafter increased or entirely extinguished and thereafter incurred
again, whether incurred by the Pledgor alone or with another or others and whether as a principal or surety, including, without
limitation, all present and future obligations of the Pledgor arising under, in connection with or with respect to the other Loan
Documents and, for greater certainty, the payment and discharge of (i) the principal of and premium, if any, and interest on any
amounts outstanding under the Notes and the other Loan Documents, when and as due, whether at maturity, by acceleration, upon
one or more dates set for prepayment or otherwise and (ii) all other present and future obligations and liabilities including
reasonable fees, reasonable costs, reasonable lawyers’ fees and reasonable disbursements, reimbursement obligations, contract
causes of action, expenses and indemnities incurred by, or in favour of, the Secured Parties in connection with or arising pursuant
to the Notes and the other Loan Documents (all such obligations, covenants, duties, debts, liabilities, sums and expenses set
forth in this Section 3.01 being herein collectively called the “Secured Obligations”).

 

Article 4

REPRESENTATIONS AND WARRANTIES

 

Section
4.01 Representations and Warranties.

 

The
Pledgor represents and warrants to and in favour of the Secured Parties as follows:

 

		(a)	The
                                         Pledged Securities. All information set forth in Schedule 1 relating to the Pledged
                                         Securities is accurate and complete and the Pledged Securities of each Issuer set forth
                                         in Schedule 1 represent 100% of the issued and outstanding Equity Interests of such Issuer
                                         as of the date hereof.

 

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		(b)	Collateral
                                         Free and Clear. The Pledgor is the sole, direct, legal and beneficial owner of, and
                                         has good marketable title to all existing Collateral and shall be the sole, direct, legal
                                         and beneficial owner of, and have good marketable title to each item of after-acquired
                                         Collateral free and clear of any mortgages, charges, hypothecs, pledges, trusts, liens,
                                         security interests, adverse claims and other claims except for the security interests
                                         created by this Agreement.

 

		(c)	Existence,
                                         Power and Capacity. The Pledgor is incorporated and validly exists under the laws
                                         of its jurisdiction of incorporation, has taken all necessary action (corporate or otherwise)
                                         to authorize the entry into and performance of its obligations under this Agreement,
                                         has the corporate power and has the capacity to pledge the Collateral and to incur and
                                         perform its obligations under this Agreement.

 

		(d)	Binding
                                         Obligation. This Agreement has been duly authorized, executed and delivered by the
                                         Pledgor and constitutes a valid and legally binding obligation of the Pledgor enforceable
                                         against the Pledgor in accordance with its terms, subject to applicable bankruptcy, insolvency,
                                         reorganization, arrangement, moratorium or other similar laws affecting creditors’
                                         rights generally and subject to equitable principles (regardless of whether enforcement
                                         is sought in equity or at law).

 

		(e)	No
                                         Governmental or Regulatory Approvals. No authorization, approval, or other action
                                         by, and no notice to or filing with, any governmental authority, regulatory body or any
                                         other entity is required for the pledge by the Pledgor of the Collateral under this Agreement
                                         or for the execution and delivery of this Agreement by the Pledgor or the performance
                                         by the Pledgor of its obligations thereunder.

 

		(f)	No
                                         Violation. The execution and delivery of this Agreement by the Pledgor and the performance
                                         by the Pledgor of its obligations hereunder, will not violate any provision of any applicable
                                         law or regulation or any order, judgment, writ, award or decree of any court, arbitrator
                                         or governmental authority, domestic or foreign, applicable to the Pledgor or any of its
                                         property, or the constating or organizational documents of the Pledgor or any agreement
                                         or instrument to which the Pledgor is party or by which it or its property is bound.

 

		(g)	Pledged
                                         Securities Validly Issued. The Pledged Securities have been duly authorized and validly
                                         issued, and are fully paid and non-assessable and are not subject to any preemptive,
                                         first refusal or other similar rights or options to purchase. No Person (other than the
                                         Pledgor) has any right to acquire or cause to be issued to them any of the Collateral.
                                         All other Pledged Securities constituting Collateral will be duly authorized and validly
                                         issued, fully paid and non-assessable.

 

		(h)	Collateral
                                         Not Publicly Traded. None of the Collateral owned by the Pledgor (i) are or will
                                         be traded on a securities exchange or in securities markets, or (ii) have been or will
                                         be issued or transferred in violation of securities registration, securities disclosure
                                         or similar laws of any jurisdiction to which such issuance or transfer may be subject.

 

		(i)	Delivery
                                         of Certificated Securities. The Collateral does not include any certificated securities
                                         that the Pledgor has not delivered to the Agent. Without limiting the foregoing, all
                                         certificates, agreements or instruments representing or evidencing the Pledged Securities
                                         in existence on the date hereof have been delivered to the Agent in suitable form for
                                         transfer by delivery or accompanied by duly executed instruments of transfer or assignment
                                         in blank.

 

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Section
4.02 Survival of Representations and Warranties.

 

The
foregoing representations and warranties shall be deemed to be continuously made until such time as this Agreement is terminated
and shall survive the execution and delivery of this Agreement.

 

Article 5

COVENANTS

 

Section
5.01 Covenants of the Pledgor.

 

The
Pledgor covenants and agrees in favour of the Secured Parties as follows:

 

		(a)	Title
                                         and Security Interest. The Pledgor shall, at its own cost and expense, defend title
                                         to the Collateral and the security interests of the Secured Parties therein against the
                                         claim of any Person claiming against or through the Pledgor and shall maintain and preserve
                                         such security interests as perfected security interests for so long as this Agreement
                                         shall remain in effect.

 

		(b)	No
                                         Sale or Encumbrances. The Pledgor agrees that it will not sell, offer to sell, dispose
                                         of, convey, assign, pledge, hypothecate, or otherwise transfer, grant any option with
                                         respect to, restrict, or grant, create, permit or suffer to exist any mortgage, pledge,
                                         lien, security interest, option, right of first offer, right of first refusal, encumbrance
                                         or other restriction or limitation of any nature whatsoever on, any of the Collateral
                                         or any interest therein except as expressly provided for herein or with the prior written
                                         consent of the Agent.

 

		(c)	Further
                                         Assurances. The Pledgor agrees that, at any time and from time to time, at the reasonable
                                         expense of the Pledgor, the Pledgor will promptly execute and deliver all further instruments
                                         and documents (including, without limitation, share powers, forms of share transfer,
                                         control agreements, entitlement orders, proxies and instruments), obtain such agreements
                                         from third parties, and take all further action, that may be necessary or desirable,
                                         or that the Agent may reasonably request, to create and maintain the validity, perfection
                                         or priority of and protect any security interest granted or purported to be granted hereby
                                         or to enable the Agent and the Secured Parties to exercise and enforce their rights and
                                         remedies hereunder or under any other agreement with respect to any Collateral.

 

		(d)	Control.

 

		(i)	Concurrently
                                         with the delivery of this Agreement to the Agent and from time to time on its acquisition
                                         of any additional Collateral or upon request of the Agent, the Pledgor shall (A) execute
                                         and deliver powers of attorney in blank in form and substance satisfactory to the Agent
                                         with respect to the Pledged Securities, (B) deliver security certificates representing
                                         the Pledged Securities that are now, or become in future, certificated, and (C) enter
                                         into a securities account control agreement with the Agent and any securities intermediary
                                         with whom Collateral is maintained.

 

		(ii)	Without
                                         limiting the foregoing, the Pledgor shall, upon demand by the Agent, cause all of the
                                         Pledged Securities to be transferred to the Agent, for the benefit of the Secured Parties,
                                         or its nominee, cause all certificates issued in respect of Pledged Securities to be
                                         registered in the name of the Agent, for the benefit of the Secured Parties, or the name
                                         of its nominee and delivered to the Agent and enter the transfer of the Pledged Securities
                                         by the Pledgor to the Agent, or its nominee, in the stock or share records of the applicable
                                         Issuer.

 

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		(e)	Notice
                                         Regarding Change of Name or Place of Business. The Pledgor will not, without providing
                                         at least 30 days’ prior written notice to the Agent, change its legal name, jurisdiction
                                         of incorporation, the location of its chief executive office or its principal place of
                                         business or amend its constating documents to change the Province or territory in which
                                         its registered office is located. The Pledgor will, prior to any change described in
                                         the preceding sentence, take all actions requested by the Agent to maintain the perfection
                                         and priority of the Secured Parties’ security interest in the Collateral.

 

Article 6

DIVIDENDS, VOTING RIGHTS AND ULC INTERESTS

 

Section
6.01 Voting Rights.

 

Unless
an Event of Default shall have occurred and be continuing, the Pledgor may, to the extent the Pledgor has such right as a holder
of the Collateral, vote and give consents, ratifications and waivers with respect thereto, except to the extent that, in the Agent’s
reasonable judgment, any such vote, consent, ratification or waiver could detract from the value thereof as Collateral or which
could be inconsistent with or result in any violation of any provision of this Agreement or the other Loan Documents.

 

Section
6.02 Dividends.

 

The
Pledgor may, unless an Event of Default shall have occurred and be continuing, receive and retain all cash dividends and other
distributions with respect to the Pledged Securities.

 

Section
6.03 Event of Default.

 

Upon
the occurrence and during the continuance of any Event of Default:

 

		(a)	All
                                         rights of the Pledgor to exercise the voting and other consensual rights it would otherwise
                                         be entitled to exercise under Section 6.01 shall immediately cease, and all such rights
                                         shall thereupon become vested in the Agent (for the benefit of the Secured Parties),
                                         which shall have the sole right to exercise such voting and other consensual rights.

 

		(b)	All
                                         rights of the Pledgor to receive distributions which it would otherwise be authorized
                                         to receive and retain under Section 6.02 shall immediately cease and all such rights
                                         shall thereupon become vested in the Agent (for the benefit of the Secured Parties),
                                         which shall have the sole right to receive and hold such distributions as Collateral.

 

		(c)	The
                                         Pledgor shall, at its sole cost and expense, from time to time execute and deliver to
                                         the Agent all such instruments as the Agent may request in order to permit the Agent
                                         to exercise the voting and other rights which it may be entitled to exercise under Section
                                         6.03(a) and to receive all distributions which it may be entitled to receive under Section
                                         6.03(b).

 

Section
6.04 Distributions Held in Trust.

 

All
Distributions which are received by the Pledgor contrary to the provisions of this Article 6 shall be received in trust for
the benefit of the Secured Parties, shall be segregated from other funds of the Pledgor and shall promptly (but in any event within
three (3) Business Days after receipt thereof by the Pledgor) be paid over to the Agent (for the benefit of the Secured Parties)
as Collateral in the same form as so received (with any necessary endorsement).

 

Section
6.05 ULC Interests

 

		(a)	In
                                         this Section 6.05, the following terms shall be defined as follows:

 

		(i)	“ULC”
                                         means an Issuer that is an unlimited company, unlimited liability corporation or unlimited
                                         liability company;

 

		(ii)	“ULC
                                         Shares” means shares or other Equity Interests in a ULC; and

 

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		(iii)	“ULC
                                         Legislation”: means the Companies Act (Nova Scotia), the Business
                                         Corporations Act (Alberta), the Business Corporations Act (British Columbia),
                                         and any other present or future laws governing ULCs.

 

		(b)	The
                                         Pledgor acknowledges that certain of the Collateral may now or in the future consist
                                         of ULC Shares, and that it is the intention of the Secured Parties and the Pledgor that
                                         neither the Agent nor the other Secured Parties shall under any circumstances prior to
                                         realization thereon be deemed to be a “member” or a “shareholder”,
                                         as applicable, of a ULC for the purposes of any ULC Laws.

 

		(c)	Notwithstanding
                                         anything to the contrary in this Agreement, the other Loan Documents or any other document
                                         delivered in connection therewith, where the Pledgor is the registered owner of ULC Shares
                                         which are Collateral, the Pledgor shall remain the sole registered owner of such ULC
                                         Shares until such time as such ULC Shares are effectively transferred into the name of
                                         the Agent, or any other Person on the books and records of the applicable ULC. The Pledgor
                                         shall be entitled to receive and retain for its own account any dividend on or other
                                         distribution, if any, with respect to such ULC Shares (except for any dividend or distribution
                                         comprised of pledged certificated securities, which shall be delivered to the Agent (for
                                         the benefit of the Secured Parties) to hold hereunder) and shall have the right to vote
                                         such ULC Shares and to control the direction, management and policies of the applicable
                                         ULC to the same extent as the Pledgor would if such ULC Shares were not pledged to the
                                         Agent for the benefit of the Secured Parties pursuant hereto.

 

		(d)	Nothing
                                         in this Agreement, the other Loan Documents or any other document delivered in connection
                                         therewith is intended to or shall make the Agent or any other Secured Party, or any other
                                         Person other than the Pledgor, a member or shareholder of a ULC for the purposes of any
                                         ULC Laws (whether listed or unlisted, registered or beneficial), until such time as notice
                                         is given to the Pledgor and further steps are taken pursuant hereto to register the Agent,
                                         a Secured Party, or such other Person specified in such notice, as the holder of the
                                         ULC Shares. To the extent any provision of this Agreement would have the effect of constituting
                                         the Agent or any other Secured Party as a member or a shareholder, as applicable, of
                                         any ULC prior to such time, such provision shall be severed from this Agreement and shall
                                         be ineffective with respect to ULC Shares which are Collateral without otherwise invalidating
                                         or rendering unenforceable this Agreement or invalidating or rendering unenforceable
                                         such provision insofar as it relates to Collateral which is not ULC Shares.

 

		(e)	Except
                                         upon the exercise of rights of the Agent to sell, transfer or otherwise dispose of ULC
                                         Shares in accordance with this Agreement, the Pledgor shall not cause or permit, or enable
                                         a ULC to cause or permit, the Agent or any other Secured Party to: (a) be registered
                                         as a shareholder or member of such ULC; (b) have any notation entered in their favour
                                         in the share register of such ULC; (c) be held out as shareholders or members of such
                                         ULC; (d) receive, directly or indirectly, any dividends, property or other distributions
                                         from such ULC by reason of the Agent or any other Secured Party holding the security
                                         interests over the ULC Shares; or (e) act as a shareholder of such ULC, or exercise any
                                         rights of a shareholder including the right to attend a meeting of shareholders of such
                                         ULC or to vote its ULC Shares.

 

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Article 7

POWER OF ATTORNEY

 

Section
7.01 Power of Attorney.

 

The
Pledgor hereby irrevocably constitutes and appoints the Agent and any officer or employee of the Agent as the Pledgor’s
true and lawful attorney, with full power of substitution and with full authority in the place and stead of the Pledgor and in
the name of the Pledgor or otherwise, from time to time in the Agent’s discretion to take any action and to execute any
instrument which the Agent may deem necessary or advisable to accomplish the purposes of this Agreement, including, without limitation,
to receive, endorse and collect all instruments made payable to the Pledgor representing any dividend, interest payment or other
distribution in respect of the Collateral or any part thereof and to give full discharge for the same, to transfer, endorse, negotiate
and sign on behalf of the Pledgor any of the Pledged Securities, to complete the blanks in any transfers of shares, bonds or debentures,
any power of attorney or other documents delivered to it, to provide instructions or entitlement orders to any securities intermediary
which maintains any securities account in which any Collateral is maintained, and to delegate its powers and for any delegate
to sub-delegate the same (but the Agent and the other Secured Parties shall not be obligated to and shall have no liability to
the Pledgor or any third party for failure to do so or take any action). Such appointment, being coupled with an interest, shall
be irrevocable until the full and final discharge of the security interests created by this Agreement. The Pledgor hereby ratifies
all acts that such attorneys shall lawfully do or cause to be done by virtue hereof.

 

Article 8

REMEDIES UPON DEFAULT

 

Section
8.01 Remedies.

 

		(a)	If
                                         any Event of Default shall have occurred and be continuing, the Agent, for the benefit
                                         of the Secured Parties, may, without any other notice to or demand upon the Pledgor,
                                         assert all rights and remedies of a secured party under the PPSA or other applicable
                                         law, including, without limitation, the right to take possession of, hold, collect, sell,
                                         lease, deliver, grant options to purchase or otherwise retain, liquidate or dispose of
                                         all or any portion of the Collateral or instruct the applicable securities intermediary
                                         to sell or deliver all or any portion of the Collateral. Any notices before disposition
                                         of the Collateral or any portion thereof shall be provided in accordance with applicable
                                         law. So long as the sale of the Collateral is made in a commercially reasonable manner,
                                         the Agent may sell such Collateral on such terms and to such purchaser(s) as the Agent
                                         in its absolute discretion may choose, without assuming any credit risk and without any
                                         obligation to advertise or give notice of any kind other than that necessary under applicable
                                         law. Without precluding any other methods of sale, the sale of the Collateral or any
                                         portion thereof shall have been made in a commercially reasonable manner if conducted
                                         in conformity with reasonable commercial practices of creditors disposing of similar
                                         property, including, without limitation, on any recognized exchange dealing in such Collateral
                                         or by public or private sale. At any sale of the Collateral, if permitted by applicable
                                         law and in accordance with the Intercreditor and Collateral Agency Agreement, the Agent
                                         or any other Secured Party may be the purchaser, licensee, assignee or recipient of the
                                         Collateral or any part thereof and shall be entitled, for the purpose of bidding and
                                         making settlement or payment of the purchase price for all or any portion of the Collateral
                                         sold, assigned or licensed at such sale, to use and apply any of the Secured Obligations
                                         as a credit on account of the purchase price of the Collateral or any part thereof payable
                                         at such sale. To the extent permitted by applicable law, the Pledgor waives all claims,
                                         damages and demands it may acquire against the Agent and the Secured Parties arising
                                         out of the exercise of any rights hereunder by any of them. At any such sale, unless
                                         prohibited by applicable law, the Agent and each Secured Party or any custodian may bid
                                         for and purchase all or any part of the Collateral so sold free from any such right or
                                         equity of redemption. None of the Agent or any other Secured Party nor any custodian
                                         shall be liable for failure to collect or realize upon any or all of the Collateral or
                                         for any delay in so doing, nor shall it be under any obligation to take any action whatsoever
                                         with regard thereto. The Pledgor agrees that it would not be commercially unreasonable
                                         for the Agent or any other Secured Party to dispose of the Collateral or any portion
                                         thereof by utilizing internet sites that provide for the auction of assets of the type
                                         included in the Collateral or that have the reasonable capability of doing so, or that
                                         match buyers and sellers of assets.

 

    - 9 -

     

    

 

		(b)	If
                                         any Event of Default shall have occurred and be continuing, all rights of the Pledgor
                                         to (i) exercise the voting and other consensual rights it would otherwise be entitled
                                         to exercise under Section 6.01, and (ii) receive the dividends and other distributions
                                         which it would otherwise be entitled to receive and retain under Section 6.02, shall
                                         immediately cease, and all such rights shall thereupon become vested in the Agent for
                                         the benefit of the Secured Parties, which shall have the sole right to exercise such
                                         voting and other consensual rights and receive and hold such dividends and other distributions
                                         as Collateral. For greater certainty, if any Event of Default shall have occurred and
                                         be continuing, the Agent or its nominee may exercise (A) all voting, corporate and
                                         other rights pertaining to the Collateral of the Pledgor, as if the Agent was the absolute
                                         owner thereof, including, with respect to the Collateral, the giving or withholding of
                                         written consents of shareholders or members, calling special meetings of shareholders
                                         or members, and voting at any meeting of shareholders, partners or members of the relevant
                                         Issuers, and (B) to the extent not prohibited under applicable law, any and all
                                         rights of conversion, exchange and subscription and any other rights, privileges or options
                                         pertaining to the Collateral as if the Agent was the absolute owner thereof (including,
                                         without limitation, the right to exchange at its discretion any and all of the Collateral
                                         upon the merger, amalgamation, consolidation, reorganization, recapitalization or other
                                         fundamental change in the corporate, partnership or company structure of any Issuer or
                                         upon the exercise by the Pledgor or the Agent of any right, privilege or option pertaining
                                         to such Collateral with any committee, depositary, transfer agent, registrar or other
                                         designated agency upon such terms and conditions as the Agent may determine), all without
                                         liability except to account for property actually received by it; but the Agent shall
                                         have no duty to the Pledgor to exercise any such right, privilege or option and neither
                                         the Agent nor any other Secured Party shall be responsible for any failure to do so or
                                         delay in so doing. In furtherance thereof, the Pledgor hereby authorizes and instructs
                                         each Issuer of Equity Interests and each party to this Agreement hereby agrees to (x) comply
                                         with any instruction received by it from the Agent in writing that states (A) that an
                                         Event of Default has occurred and is continuing and (B) is otherwise in accordance with
                                         the terms of this Agreement, without any other or further instructions from the Pledgor,
                                         and the Pledgor agrees that each Issuer shall be fully protected in so complying, and
                                         (y) at the direction of the Agent, such Issuer shall pay any dividends, distributions
                                         or other payments with respect to any Collateral directly to the Agent for the benefit
                                         of the Secured Parties.

 

		(c)	If
                                         any Event of Default shall have occurred and be continuing, any cash held by the Agent
                                         or any other Secured Party as Collateral and all cash proceeds received by the Agent
                                         or any other Secured Party in respect of any sale of, collection from, or other realization
                                         upon all or any part of the Collateral shall be applied in whole or in part by such party
                                         to the payment of expenses it has incurred in connection with the foregoing or incidental
                                         to the care or safekeeping of any of the Collateral or in any way relating to the Collateral
                                         or the rights of the Agent, the Paying Agent and the Secured Parties hereunder, including
                                         reasonable legal fees, and the balance of such proceeds shall be applied or set off against
                                         all or any part of the Secured Obligations in the manner set forth in the Intercreditor
                                         and Collateral Agency Agreement. Any surplus of such cash or cash Proceeds held by the
                                         Agent or any Secured Party and remaining after payment in full of all the Secured Obligations
                                         shall be paid over to the Pledgor or to whomsoever may be lawfully entitled to receive
                                         such surplus. The Pledgor shall remain liable for any deficiency if such cash and the
                                         cash proceeds of any sale or other realization of the Collateral are insufficient to
                                         pay the Secured Obligations and the fees and other charges of the Agent, the Paying Agent,
                                         any legal counsel or other party employed by the Agent, the Paying Agent or any other
                                         Secured Party to collect such deficiency. Proceeds from any realization shall be in accordance
                                         with the Intercreditor and Collateral Agency Agreement.

 

		(d)	If
                                         the Agent or any other Secured Party shall determine to exercise its rights to sell all
                                         or any of the Collateral under this Section 8.01, the Pledgor agrees that, upon request
                                         of such party, the Pledgor will, at its own expense, do or cause to be done all such
                                         acts and things as may be necessary to make such sale of the Collateral or any part thereof
                                         valid and binding and in compliance with applicable law.

 

    - 10 -

     

    

 

Section
8.02 Reasonable Care.

 

The
Agent shall have no duty with respect to the care and preservation of the Collateral beyond the exercise of reasonable care. The
Agent shall be deemed to have exercised reasonable care in the custody and preservation of the Collateral in its possession if
the Collateral is accorded treatment substantially equal to that which the Agent accords its own property, it being understood
that the Agent shall not have any responsibility for (a) ascertaining or taking action with respect to calls, conversions, exchanges,
maturities, tenders or other matters relative to any Collateral, whether or not the Agent has or is deemed to have knowledge of
such matters, or (b) taking any necessary steps to preserve rights against any parties with respect to any Collateral. Nothing
set forth in this Agreement, nor the exercise by the Agent of any of the rights and remedies hereunder, shall relieve the Pledgor
from the performance of any obligation on the Pledgor’s part to be performed or observed in respect of any of the Collateral.

 

Section
8.03 Expenses and Indemnity.

 

		(a)	The
                                         Pledgor hereby agrees to indemnify and hold harmless the Agent, each other Secured Party,
                                         and each officer, director, employee, contractor and advisor of the Agent and the Secured
                                         Parties (each such Person being called an “Indemnified Party”) from
                                         any losses, damages, liabilities, claims and related expenses (including the fees and
                                         expenses of legal counsel), incurred by the Indemnified Party or asserted against any
                                         Indemnified Party by any Person (including the Pledgor) arising out of, in connection
                                         with or resulting from this Agreement, any other Loan Document or any agreement or instrument
                                         contemplated hereby, including, without limitation, enforcement of this Agreement, or
                                         any failure of any Secured Obligations to be the legal, valid, and binding obligations
                                         of the Pledgor enforceable against the Pledgor in accordance with their terms, whether
                                         brought by a third party, the Pledgor or any other Person, and regardless of whether
                                         any Indemnified Party is a party thereto; provided that such indemnity shall not, as
                                         to any Indemnified Party, be available to the extent that such losses, claims, damages,
                                         liabilities or related expenses (i) are determined by a court of competent jurisdiction
                                         by final and non appealable judgment to have resulted from the gross negligence or wilful
                                         misconduct of such Indemnified Party, or (ii) result from a claim brought by the Pledgor
                                         or any of its affiliates against an Indemnified Party for breach in bad faith of such
                                         Indemnified Party’s obligations hereunder or under any other Loan Document.

 

		(b)	To
                                         the fullest extent permitted by applicable law, the Pledgor hereby agrees not to assert,
                                         and hereby waives, any claim against any Indemnified Party, on any theory of liability,
                                         for special, indirect, consequential, exemplary or punitive damages (as opposed to direct
                                         or actual damages) arising out of, in connection with, or as a result of, this Agreement,
                                         any other Loan Document or any agreement or instrument contemplated hereby, the transactions
                                         contemplated hereby or thereby, any amounts advanced by the Secured Parties to the Pledgor
                                         or the use of proceeds thereof. No Indemnified Party shall be liable for any damages
                                         arising from the use of any information or other materials distributed by it through
                                         telecommunications, electronic or other information transmission systems in connection
                                         with this Agreement or the other Loan Documents or the transactions contemplated hereby
                                         or thereby by unintended recipients.

 

		(c)	The
                                         Pledgor agrees to pay or reimburse the Agent and the other Secured Parties for all reasonable
                                         costs and expenses incurred in collecting the Secured Obligations or otherwise protecting,
                                         enforcing or preserving any rights or remedies under this Agreement and the other Loan
                                         Documents to which the Pledgor is a party, including the reasonable fees and other reasonable
                                         charges of counsel (including the allocated fees and expenses of internal counsel) to
                                         the Agent and the other Secured Parties.

 

    - 11 -

     

    

 

		(d)	All
                                         amounts due under this Section 8.03 shall be payable promptly after demand therefor,
                                         shall constitute Secured Obligations and shall bear interest until paid at a rate per
                                         annum equal to the highest rate per annum at which interest would then be payable on
                                         any of the Secured Obligations.

 

		(e)	Without
                                         prejudice to the survival of any other agreement of the Pledgor under this Agreement
                                         or any other document delivered in connection herewith, the agreements and obligations
                                         of the Pledgor contained in this Section 8.03 shall survive termination of the Loan Documents
                                         and payment in full of the Secured Obligations and all other amounts payable to the Secured
                                         Parties.

 

Article 9

The
Agent

 

GLAS
AMERICAS LLC has been appointed Agent for the Secured Parties pursuant to the Intercreditor and Collateral Agency Agreement. It
is expressly understood and agreed by the parties to this Agreement that any authority conferred upon the Agent hereunder is subject
to the terms of the delegation of authority made to the Agent under the Intercreditor and Collateral Agency Agreement, and that
the Agent has agreed to act (and any successor Agent shall act) as such hereunder only on the express conditions contained in
the Intercreditor and Collateral Agency Agreement. Any successor Agent appointed pursuant to the Intercreditor and Collateral
Agency Agreement shall be entitled to all the rights, interests and benefits of the Agent hereunder, as applicable.

 

Article 10

Conflicts;
Paramountcy

 

Notwithstanding
anything herein to the contrary, the liens and security interests granted to the Agent for the benefit of the Secured Parties
pursuant to this Agreement and the exercise of any right or remedy by the Agent or any Secured Party hereunder are subject to
the provisions of the Intercreditor and Collateral Agency Agreement. In the event of any conflict between the terms of the Intercreditor
and Collateral Agency Agreement and this Agreement with respect to any right or remedy of the Secured Parties relating to the
Collateral, the terms of the Intercreditor and Collateral Agency Agreement shall govern and control. To the extent this Agreement
provides any additional rights or remedies to the Agent that are not contained in the Intercreditor and Collateral Agency Agreement,
it shall be deemed not to be a conflict, and the Agent shall have such additional rights and remedies.

 

Article 11

MISCELLANEOUS

 

Section
11.01 Agent May Perform.

 

If
the Pledgor fails to perform any obligation contained in this Agreement, the Agent may itself perform, or cause performance of,
such obligation, and the expenses of the Agent incurred in connection therewith shall be payable by the Pledgor; provided that
the Agent shall not be required to perform or discharge any obligation of the Pledgor.

 

Section
11.02 Interest Act (Canada).

 

For
purposes of the Interest Act (Canada), the yearly rate of interest applicable to amounts owing under this Agreement will
be calculated on the basis of a 365-day year. Whenever interest is to be calculated on the basis of any period of time that is
less than a calendar year, the yearly rate of interest to which the rate determined by that calculation is equivalent is the rate
so determined multiplied by the actual number of days in that calendar year and divided by that period of time.

 

    - 12 -

     

    

 

Section
11.03 Taxes.

 

Any
and all payments by the Pledgor under or in respect of this Agreement shall be made free and clear of and without deduction or
withholding for any Taxes except as required by applicable law. If the Pledgor is required by applicable law (as determined in
the good faith discretion of the Pledgor) to deduct or withhold any Taxes from such payments, then, (i) the amount payable by
the Pledgor shall be increased so that after all such required deductions or withholdings are made (including deductions or withholdings
applicable to additional amounts payable under this Section), the applicable recipient receives an amount equal to the amount
it would have received had no such deduction or withholding been made, (ii) the Pledgor shall make such deductions or withholdings
and timely pay the full amount deducted or withheld to the relevant Governmental Authority in accordance with applicable law,
and (iii) the Pledgor shall, promptly after any such payment, deliver to the Agent the original or certified copy of a receipt
issued by such Governmental Authority evidencing such payment.

 

Section
11.04 Judgment Currency.

 

		(a)	Conversion.
                                         If, for the purpose of obtaining or enforcing judgment against any party in any court
                                         in any jurisdiction, it becomes necessary to convert into a particular currency an amount
                                         due under this Agreement or the Notes or any other Loan Document, the conversion will
                                         be made at the Rate of Exchange prevailing on the Business Day immediately preceding
                                         the date on which judgment is given.

 

		(b)	Payment
                                         of additional amounts. If, as a result of a change in the Rate of Exchange between
                                         the date of judgment and the date of actual payment, the conversion results in the Secured
                                         Parties receiving less than the amount payable to them, the Pledgor shall pay the Secured
                                         Parties any additional amount as may be necessary to ensure that the amount received
                                         is not less than the amount payable by the Pledgor on the date of judgment.

 

		(c)	Treatment
                                         of additional amounts. Any additional amount due under this section will constitute
                                         Secured Obligations, be due as a separate debt, give rise to a separate cause of action,
                                         and will not be affected by judgment obtained for any other amount due under this Agreement
                                         or the Notes or any other Loan Document.

 

Section
11.05 No Waiver and Cumulative Remedies.

 

The
Agent and the other Secured Parties shall not by any act (except by a written instrument under Section 11.07), delay, indulgence,
omission or otherwise be deemed to have waived any right or remedy hereunder or to have acquiesced in any Event of Default. All
rights and remedies herein provided are cumulative and are not exclusive of any rights or remedies provided by law.

 

Section
11.06 Amendments.

 

None
of the terms or provisions of this Agreement may be amended, modified, supplemented, terminated or waived, and no consent to any
departure by the Pledgor therefrom shall be effective unless the same shall be in writing and signed by the Agent and the Pledgor,
and then such amendment, modification, supplement, waiver or consent shall be effective only in the specific instance and for
the specific purpose for which made or given.

 

Section
11.07 Notices.

 

All
notices and other communications provided for in this Agreement shall be in writing and shall be given in the manner and become
effective as set forth in the Intercreditor and Collateral Agency Agreement.

 

Section
11.08 Continuing Security Interest; Successors and Assigns.

 

This
Agreement shall create a continuing security interest in the Collateral and shall (a) subject to Section 11.10, remain in full
force and effect until payment and performance in full of the Secured Obligations, (b) be binding upon the Pledgor, its successors
and assigns, and (c) enure to the benefit of the Agent and the Secured Parties and each of their respective successors, transferees
and assigns; provided that the Pledgor may not assign or otherwise transfer any of its rights or obligations under this
Agreement without the prior written consent of the Agent. Without limiting the generality of the foregoing clause (c), any assignee
of a Secured Party’s interest in any Loan Document or other agreement or document which includes all or any of the Secured
Obligations shall, upon assignment in accordance with the assignment provisions of the applicable Note, become vested with all
the benefits granted to the applicable Secured Party herein with respect to such Secured Obligations.

 

    - 13 -

     

    

 

Section
11.09 Attachment of Security Interest.

 

The
Pledgor acknowledges that value has been given, that the Pledgor has rights in the Collateral, and that the parties have not agreed
to postpone the time for attachment of any security interest in this Agreement. The Pledgor acknowledges that any security interest
in this Agreement shall attach to existing Collateral upon the execution of this Agreement and to each item of after-acquired
Collateral at the time that the Pledgor acquires rights in such after-acquired Collateral.

 

Section
11.10 Termination; Release.

 

On
the date on which all Secured Obligations and any other amounts owing by the Pledgor to the Secured Parties have been paid and
performed in full, the Agent and the Secured Parties will, at the request and sole expense of the Pledgor, (a) duly assign, transfer
and deliver to or at the direction of the Pledgor (without recourse and without any representation or warranty) such of the Collateral
as may then remain in the possession of the Agent or any other Secured Party, together with any monies at the time held by the
Agent or any other Secured Party hereunder, and (b) execute and deliver to the Pledgor a proper instrument or instruments acknowledging
the satisfaction and termination of this Agreement.

 

Section
11.11 Assignment.

 

The
Agent and each other Secured Party may assign or transfer any of its rights under this Agreement without the consent of the Pledgor.
The Pledgor may not assign its obligations under this Agreement without the prior written consent of the Agent.

 

Section
11.12 Severability.

 

Any
provision hereof which is invalid, illegal or unenforceable in whole or in part in any jurisdiction shall, as to such jurisdiction,
be ineffective to the extent of such invalidity, illegality or unenforceability without invalidating the remaining provisions
hereof or affecting the validity, legality or enforceability of such provision in any other jurisdiction.

 

Section
11.13 Governing Law; Jurisdiction.

 

All
matters arising out of or relating to this Agreement shall be governed by, and construed in accordance with, the laws of the Province
of British Columbia and the laws of Canada applicable therein and the Pledgor irrevocably attorns and agrees to submit to the
non-exclusive jurisdiction of the courts of the Province of British Columbia.

 

Section
11.14 Counterparts; Electronic Delivery.

 

This
Agreement and any amendments, waivers, consents or supplements hereto may be executed in counterparts (and by different parties
hereto in different counterparts), each of which shall constitute an original, but all taken together shall constitute a single
contract. Delivery of an executed counterpart of a signature page to this Agreement by facsimile or in electronic format (such
as “pdf” or “tif”) shall be effective as delivery of a manually executed counterpart of this Agreement.

 

Section
11.15 Copy of Verification Statement.

 

To
the extent permitted by law, the Pledgor hereby waives its right to receive a copy of any financing statement, financing change
statement or verification statement in connection with any registrations or filings made under the PPSA or under any similar or
corresponding legislation in any other jurisdiction.

 

Section
11.16 Copy of Agreement.

 

The
Pledgor acknowledges receipt of a fully executed copy of this Agreement.

 

Section
11.17 Entire Agreement.

 

This
Agreement and the other Loan Documents, and any separate letter agreements with respect to fees payable to the Secured Parties,
constitute the entire contract among the parties with respect to the subject matter hereof and supersede all previous agreements
and understandings, oral or written, with respect thereto including without limitation the Original Pledge Agreement.

 

[Signature
Page Follows]

 

    - 14 -

     

    

 

IN
WITNESS WHEREOF, the Pledgor has executed this Agreement as of the date first above written.

 

	 	CLEVER
    LEAVES INTERNATIONAL Inc., as
    Pledgor
		 
		By:	/s/ Kyle Detwiler
	 	 	Name:	Kyle Detwiler
	 	 	Title:	Director 

 

Acknowledged
and agreed as of the date first above written.

 

	 	1255096
    B.C. Ltd., as Issuer
	 	 	 	 
		By:	/s/ Kyle Detwiler   
	 	 	Name:	Kyle Detwiler
	 	 	Title:	 

 

	 	clever
    leaves us, inc., as Issuer
	 	 	 	 
		By:	/s/ Kyle Detwiler   
	 	 	Name:	Kyle Detwiler
	 	 	Title:	 

  

     

     

    

 

SCHEDULE
1

 

PLEDGED
SECURITIES

 

PLEDGED
SECURITIES

 

	Issuer
	 	Class/Type
    of Security	 	Certificate
    Number (if certificated)	 	Number
    of Securities
	1255096
    B.C. Ltd.	 	Common
    shares	 	1	 	1
	1255096
    B.C. Ltd.	 	Common
    shares	 	2	 	99
	clever
    leaves us, inc.	 	Common
    stock	 	1	 	101Exhibit 10.29

 

Execution Version

 

PLEDGE AGREEMENT

 

made by

 

Clever
leaves Holdings Inc.

 

in favour of

 

GLAS AMERICAS LLC, as collateral agent

 

dated as of

 

December
18, 2020

 

This PLEDGE AGREEMENT, dated as of December
18, 2020 (as amended, amended and restated, renewed, extended, supplemented, replaced or otherwise modified from time to
time in accordance with the provisions hereof, this “Agreement”), is made by Clever Leaves Holdings Inc., a
corporation incorporated pursuant to the laws of the Province of British Columbia (the “Pledgor”), in favour
of GLAS AMERICAS LLC, as collateral agent for the Secured Parties (as defined below) (in such capacity, and together with any successors
in such capacity, the “Agent”).

 

WHEREAS, Clever Leaves International
Inc. (formerly Northern Swan Holdings, Inc.), as issuer (“Clever Leaves”), has issued certain secured convertible
notes in favour of the Noteholders (as defined below) (as each may be amended, amended and restated, renewed, extended, supplemented,
assigned, replaced or otherwise modified from time to time, a “Note” and collectively, the “Notes”);

 

AND WHEREAS, on March 12, 2020 Clever
Leaves changed its name from Northern Swan Holdings, Inc. to “Clever Leaves International Inc.”;

 

AND WHEREAS, the Agent, Clever Leaves,
the Pledgor, the holders of the Notes and GLAS USA LLC (the “Paying Agent”), inter alios, have entered
into an amended and restated intercreditor and collateral agency agreement dated as of May 10, 2019 (as amended, amended and restated,
renewed, extended, supplemented, replaced or otherwise modified from time to time, the “Intercreditor and Collateral Agency
Agreement”) to secure and confirm the relative priority of the obligations owing to present and future Secured Parties;

 

AND WHEREAS, in connection with
a corporate reorganization being completed by Clever Leaves and certain of its affiliates and subsidiaries, the Pledgor has agreed
to execute and deliver the Guarantee (as defined below) and this Agreement in favour of the Agent for the benefit of the Secured
Parties;

 

AND WHEREAS, the Pledgor is the
registered and beneficial owner of the Collateral (as defined below);

 

AND WHEREAS, the Pledgor has agreed
to pledge all of its right, title and interest in the Collateral in favour of the Secured Parties under the terms hereof to secure
the payment and performance of all of the Secured Obligations (as defined below);

 

NOW, THEREFORE, in consideration
of the Noteholders agreeing to continue to extend certain credit in favour of Clever Leaves under the terms of the Notes, and for
other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged by the Pledgor, the Pledgor
hereby agrees with the Agent, for the benefit of the Secured Parties, as follows:

 

Article 1

DEFINITIONS AND INTERPRETATION

 

Section
1.01Definitions.

 

		(a)	Unless otherwise defined herein or in the Notes, terms used herein that are defined in the PPSA
shall have the meanings assigned to them in the PPSA.

 

     

     

    

 

		(b)	In this Agreement, unless otherwise defined herein, terms with an initial capital letter shall
have the meaning given to them in the Notes and the following terms shall have the following meanings:

 

“Agent” is
defined in the preamble hereof.

 

“Clever Leaves”
is defined in the recitals hereof.

 

“Collateral”
is defined in Section 2.01.

 

“Equity Interests”
means, with respect to any Person (as defined below), all of the securities, investment property, units, trust units, partnership,
membership and other equity interests, participations, investment certificates, notes (or other ownership or profit interests in)
in or of such Person (collectively, “ownership interests”), all of the warrants, options or other rights for
the purchase or acquisition from such Person of ownership interests in such Person, all of the securities convertible into or exchangeable
for ownership interests in such Person or warrants, rights or options for the purchase or acquisition from such Person of ownership
interests, and all of the other ownership or profit interests in such Person (including, without limitation, partnership, member
or trust interests therein), whether voting or non-voting, and whether or not such ownership interests are outstanding on any date
of determination.

 

“Event of Default”
has the meaning given to such term in the Notes.

 

“Guarantee”
means the guarantee dated on or about the date hereof granted by the Pledgor in favour of and for the benefit of the Agent, as
collateral agent for the Secured Parties.

 

“Intercreditor and Collateral
Agency Agreement” has the meaning given to such term in the recitals hereof.

 

“Issuers”
means Clever Leaves and each of its successors, and “Issuer” has a corresponding meaning.

 

“Note” and
“Notes” are defined in the recitals hereof.

 

“Noteholders”
means each of Rimrock High Income Plus (Master) Fund, Ltd, Anson Investments Master Fund LP, Anson Opportunities Master Fund LP,
AC Anson Investments Ltd., Anson East Master Fund LP, Axios Growth Partners, LLC, NS Co-Investment LLC and Cowen Investments II
LLC and each other noteholder that becomes party to the Intercreditor and Collateral Agency Agreement as a “Noteholder”
from time to time, and “Noteholder” means any of them.

 

“Paying Agent”
is defined in the preamble hereof.

 

“Person” means
any corporation, company, partnership, association, unincorporated association, entity, trust, joint venture, individual, estate,
sole proprietorship, institution, or any governmental entity.

 

“Pledged Securities”
means all of the issued and outstanding Equity Interests of each Issuer now or from time to time hereafter held by the Pledgor,
including, without limitation, the Equity Interests of each Issuer described in Schedule 1 hereto.

 

“Pledgor”
is defined in the preamble hereof.

 

“PPSA” means
the Personal Property Security Act (British Columbia) and the regulations made thereunder, each as amended from time to time and
any legislation substituted therefor and any amendments thereto, provided that, if perfection or the effect of perfection or non-perfection
or the priority of any lien created hereunder or in relation to any other Loan Document on the Collateral is governed by the personal
property security legislation or other applicable legislation with respect to personal property security in effect in a province
or jurisdiction other than British Columbia, “PPSA” means The Personal Property Security Act or such other applicable
legislation in effect from time to time in such other jurisdiction for purposes of the provisions hereof relating to such perfection,
effect of perfection or non-perfection or priority.

 

    - 2 -

     

    

 

“Proceeds”
means “proceeds” as such term is defined in Section 1(1) of the PPSA and, in any event, shall include, without limitation,
all dividends or other income from the Pledged Securities, collections thereon or distributions with respect thereto.

 

“Rate of Exchange”
means the noon (EST) spot rate of exchange applied in converting a particular currency into United States Dollars published by
Thomson Reuters for the day in question.

 

“Secured Obligations”
is defined in Section 3.01.

 

“Secured Parties”
means the Agent, the Noteholders and each of their respective successors and assigns and “Secured Party” means
any of them.

 

“STA” means
the Securities Transfer Act, SBC 2007, c 10 (British Columbia), as amended from time to time and any legislation substituted therefor
and any amendments thereto.

 

“Taxes” means
any and all present or future income, stamp or other taxes, levies, imposts, duties, deductions, charges, fees or withholdings
imposed, levied, withheld or assessed by any Governmental Authority, together with any interest, additions to tax or penalties
imposed thereon and with respect thereto.

 

Section
1.02Interpretation.

 

		(a)	Unless otherwise specified herein, all references to Sections and Schedules herein are to Sections
and Schedules of this Agreement.

 

		(b)	The Schedules hereto, all descriptions of the Collateral contained in the Schedules and all amendments
and supplements thereto are and shall at all times be considered a part of this Agreement.

 

Article 2

PLEDGE

 

Section
2.01Pledge.

 

As general and continuing security for
the payment and performance of the Secured Obligations, the Pledgor hereby grants, assigns as security, transfers, pledges, hypothecates,
mortgages, sets over and charges to the Agent, for the benefit of the Secured Parties, and hereby grants a continuing security
interest in favour of the Agent, for the benefit of the Secured Parties, in and to, all of its right, title and interest in and
to the following property, wherever located, whether now existing or hereafter from time to time arising or acquired (collectively,
the “Collateral”):

 

		(a)	the Pledged Securities, all certificates and other instruments and agreements from time to time
representing or evidencing the Pledged Securities, together with all claims, rights, privileges, authority and powers of the Pledgor
relating to such Equity Interests, and all income, dividends, interest, distributions, cash, instruments and other property or
proceeds from time to time received, receivable or otherwise distributed in respect of or in exchange for any or all of the Pledged
Securities;

 

		(b)	all additional Equity Interests of any Issuer from time to time acquired by or issued to the Pledgor
and all options, warrants, rights, agreements and additional Equity Interests of whatever class or series of any such Issuer from
time to time acquired by the Pledgor in any manner, together with all claims, rights, privileges, authority and powers of the Pledgor
relating to such Equity Interests or under any constating or organizational document of any such Issuer, and the certificates,
instruments and agreements representing such Equity Interests, from time to time acquired by the Pledgor in any manner;

 

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		(c)	all Equity Interests issued in respect of the Equity Interests referred to in Section 2.01(a) or
Section 2.01(b) upon any consolidation, amalgamation or merger of any issuer of such Equity Interests; and

 

		(d)	all proceeds and products of the foregoing, all books and records relating to the foregoing, all
supporting obligations related thereto, and all accessions to, substitutions and replacements for, and profits and products of,
each of the foregoing, and any and all proceeds of any insurance, indemnity, warranty or guarantee payable to the Pledgor from
time to time with respect to any of the foregoing.

 

Article 3

SECURED OBLIGATIONS

 

Section
3.01Secured Obligations.

 

The Collateral secures the payment and
performance of all present and future indebtedness, liabilities and obligations of any and every kind, nature and description of
the Pledgor to the Secured Parties under, in connection with or with respect to the Notes and Guarantee, from time to time, whether
primary, secondary, direct or indirect, absolute or contingent, due or to become due, now existing or hereafter arising, whether
the indebtedness is reduced and thereafter increased or entirely extinguished and thereafter incurred again, whether incurred by
the Pledgor alone or with another or others and whether as a principal or surety, including, without limitation, all present and
future obligations of the Pledgor arising under, in connection with or with respect to the other Loan Documents and, for greater
certainty, the payment and discharge of (i) the principal of and premium, if any, and interest on any amounts outstanding under
the Notes, the Guarantee and the other Loan Documents, when and as due, whether at maturity, by acceleration, upon one or more
dates set for prepayment or otherwise and (ii) all other present and future obligations and liabilities including reasonable fees,
reasonable costs, reasonable lawyers’ fees and reasonable disbursements, reimbursement obligations, contract causes of action,
expenses and indemnities incurred by, or in favour of, the Secured Parties in connection with or arising pursuant to the Notes,
the Guarantee, and the other Loan Documents (all such obligations, covenants, duties, debts, liabilities, sums and expenses set
forth in this Section 3.01 being herein collectively called the “Secured Obligations”).

 

Article 4

REPRESENTATIONS AND WARRANTIES

 

Section
4.01Representations and Warranties.

 

The Pledgor represents and warrants to
and in favour of the Secured Parties as follows:

 

		(a)	The Pledged Securities. All information set forth in Schedule 1 relating to the Pledged
Securities is accurate and complete and the Pledged Securities of each Issuer set forth in Schedule 1 represent 100% of the issued
and outstanding Equity Interests of such Issuer as of the date hereof.

 

		(b)	Collateral Free and Clear. The Pledgor is the sole, direct, legal and beneficial owner of,
and has good marketable title to all existing Collateral and shall be the sole, direct, legal and beneficial owner of, and have
good marketable title to each item of after-acquired Collateral free and clear of any mortgages, charges, hypothecs, pledges, trusts,
liens, security interests, adverse claims and other claims except for the security interests created by this Agreement.

 

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		(c)	Existence, Power and Capacity. The Pledgor is incorporated and validly exists under the
laws of its jurisdiction of incorporation, has taken all necessary action (corporate or otherwise) to authorize the entry into
and performance of its obligations under this Agreement, has the corporate power and has the capacity to pledge the Collateral
and to incur and perform its obligations under this Agreement.

 

		(d)	Binding Obligation. This Agreement has been duly authorized, executed and delivered by the
Pledgor and constitutes a valid and legally binding obligation of the Pledgor enforceable against the Pledgor in accordance with
its terms, subject to applicable bankruptcy, insolvency, reorganization, arrangement, moratorium or other similar laws affecting
creditors’ rights generally and subject to equitable principles (regardless of whether enforcement is sought in equity or
at law).

 

		(e)	No Governmental or Regulatory Approvals. No authorization, approval, or other action by,
and no notice to or filing with, any governmental authority, regulatory body or any other entity is required for the pledge by
the Pledgor of the Collateral under this Agreement or for the execution and delivery of this Agreement by the Pledgor or the performance
by the Pledgor of its obligations thereunder.

 

		(f)	No Violation. The execution and delivery of this Agreement by the Pledgor and the performance
by the Pledgor of its obligations hereunder, will not violate any provision of any applicable law or regulation or any order, judgment,
writ, award or decree of any court, arbitrator or governmental authority, domestic or foreign, applicable to the Pledgor or any
of its property, or the constating or organizational documents of the Pledgor or any agreement or instrument to which the Pledgor
is party or by which it or its property is bound.

 

		(g)	Pledged Securities Validly Issued. The Pledged Securities have been duly authorized and
validly issued, and are fully paid and non-assessable and are not subject to any preemptive, first refusal or other similar rights
or options to purchase. No Person (other than the Pledgor) has any right to acquire or cause to be issued to them any of the Collateral.
All other Pledged Securities constituting Collateral will be duly authorized and validly issued, fully paid and non-assessable.

 

		(h)	Collateral Not Publicly Traded. None of the Collateral owned by the Pledgor (i) are or will
be traded on a securities exchange or in securities markets, or (ii) have been or will be issued or transferred in violation of
securities registration, securities disclosure or similar laws of any jurisdiction to which such issuance or transfer may be subject.

 

		(i)	Delivery of Certificated Securities. The Collateral does not include any certificated securities
that the Pledgor has not delivered to the Agent. Without limiting the foregoing, all certificates, agreements or instruments representing
or evidencing the Pledged Securities in existence on the date hereof have been delivered to the Agent in suitable form for transfer
by delivery or accompanied by duly executed instruments of transfer or assignment in blank.

 

Section
4.02Survival of Representations and Warranties.

 

The foregoing representations and warranties
shall be deemed to be continuously made until such time as this Agreement is terminated and shall survive the execution and delivery
of this Agreement.

 

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Article 5

COVENANTS

 

Section
5.01Covenants of the Pledgor.

 

The Pledgor covenants and agrees in favour
of the Secured Parties as follows:

 

		(a)	Title and Security Interest. The Pledgor shall, at its own cost and expense, defend title
to the Collateral and the security interests of the Secured Parties therein against the claim of any Person claiming against or
through the Pledgor and shall maintain and preserve such security interests as perfected security interests for so long as this
Agreement shall remain in effect.

 

		(b)	No Sale or Encumbrances. The Pledgor agrees that it will not sell, offer to sell, dispose
of, convey, assign, pledge, hypothecate, or otherwise transfer, grant any option with respect to, restrict, or grant, create, permit
or suffer to exist any mortgage, pledge, lien, security interest, option, right of first offer, right of first refusal, encumbrance
or other restriction or limitation of any nature whatsoever on, any of the Collateral or any interest therein except as expressly
provided for herein or with the prior written consent of the Agent.

 

		(c)	Further Assurances. The Pledgor agrees that, at any time and from time to time, at the reasonable
expense of the Pledgor, the Pledgor will promptly execute and deliver all further instruments and documents (including, without
limitation, share powers, forms of share transfer, control agreements, entitlement orders, proxies and instruments), obtain such
agreements from third parties, and take all further action, that may be necessary or desirable, or that the Agent may reasonably
request, to create and maintain the validity, perfection or priority of and protect any security interest granted or purported
to be granted hereby or to enable the Agent and the Secured Parties to exercise and enforce their rights and remedies hereunder
or under any other agreement with respect to any Collateral.

 

		(d)	Control.

 

		(i)	Concurrently with the delivery of this Agreement to the Agent and from time to time on its acquisition
of any additional Collateral or upon request of the Agent, the Pledgor shall (A) execute and deliver powers of attorney in blank
in form and substance satisfactory to the Agent with respect to the Pledged Securities, (B) deliver security certificates representing
the Pledged Securities that are now, or become in future, certificated, and (C) enter into a securities account control agreement
with the Agent and any securities intermediary with whom Collateral is maintained.

 

		(ii)	Without limiting the foregoing, the Pledgor shall, upon demand by the Agent, cause all of the Pledged
Securities to be transferred to the Agent, for the benefit of the Secured Parties, or its nominee, cause all certificates issued
in respect of Pledged Securities to be registered in the name of the Agent, for the benefit of the Secured Parties, or the name
of its nominee and delivered to the Agent and enter the transfer of the Pledged Securities by the Pledgor to the Agent, or its
nominee, in the stock or share records of the applicable Issuer.

 

		(e)	Notice Regarding Change of Name or Place of Business. The Pledgor will not, without providing
at least 30 days’ prior written notice to the Agent, change its legal name, jurisdiction of incorporation, the location of
its chief executive office or its principal place of business or amend its constating documents to change the Province or territory
in which its registered office is located. The Pledgor will, prior to any change described in the preceding sentence, take all
actions requested by the Agent to maintain the perfection and priority of the Secured Parties’ security interest in the Collateral.

 

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Article 6

DIVIDENDS, VOTING RIGHTS AND ULC INTERESTS

 

Section
6.01Voting Rights.

 

Unless an Event of Default shall have occurred
and be continuing, the Pledgor may, to the extent the Pledgor has such right as a holder of the Collateral, vote and give consents,
ratifications and waivers with respect thereto, except to the extent that, in the Agent’s reasonable judgment, any such vote,
consent, ratification or waiver could detract from the value thereof as Collateral or which could be inconsistent with or result
in any violation of any provision of this Agreement or the other Loan Documents.

 

Section
6.02Dividends.

 

The Pledgor may, unless an Event of Default
shall have occurred and be continuing, receive and retain all cash dividends and other distributions with respect to the Pledged
Securities.

 

Section
6.03Event of Default.

 

Upon the occurrence and during the continuance
of any Event of Default:

 

		(a)	All rights of the Pledgor to exercise the voting and other consensual rights it would otherwise
be entitled to exercise under Section 6.01 shall immediately cease, and all such rights shall thereupon become vested in the Agent
(for the benefit of the Secured Parties), which shall have the sole right to exercise such voting and other consensual rights.

 

		(b)	All rights of the Pledgor to receive distributions which it would otherwise be authorized to receive
and retain under Section 6.02 shall immediately cease and all such rights shall thereupon become vested in the Agent (for the benefit
of the Secured Parties), which shall have the sole right to receive and hold such distributions as Collateral.

 

		(c)	The Pledgor shall, at its sole cost and expense, from time to time execute and deliver to the Agent
all such instruments as the Agent may request in order to permit the Agent to exercise the voting and other rights which it may
be entitled to exercise under Section 6.03(a) and to receive all distributions which it may be entitled to receive under Section
6.03(b).

 

Section
6.04Distributions Held in Trust.

 

All distributions which are received by
the Pledgor contrary to the provisions of this Article 6 shall be received in trust for the benefit of the Secured Parties,
shall be segregated from other funds of the Pledgor and shall promptly (but in any event within three (3) Business Days after receipt
thereof by the Pledgor) be paid over to the Agent (for the benefit of the Secured Parties) as Collateral in the same form as so
received (with any necessary endorsement).

 

Section
6.05ULC Interests

 

		(a)	In this Section 6.05, the following terms shall be defined as follows:

 

		(i)	“ULC” means an Issuer that is an unlimited company, unlimited liability corporation
or unlimited liability company;

 

		(ii)	“ULC Shares” means shares or other Equity Interests in a ULC; and

 

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		(iii)	“ULC Legislation”: means the Companies Act (Nova Scotia), the Business
Corporations Act (Alberta), the Business Corporations Act (British Columbia), and any other present or future laws governing
ULCs.

 

		(b)	The Pledgor acknowledges that certain of the Collateral may now or in the future consist of ULC
Shares, and that it is the intention of the Secured Parties and the Pledgor that neither the Agent nor the other Secured Parties
shall under any circumstances prior to realization thereon be deemed to be a “member” or a “shareholder”,
as applicable, of a ULC for the purposes of any ULC Laws.

 

		(c)	Notwithstanding anything to the contrary in this Agreement, the other Loan Documents or any other
document delivered in connection therewith, where the Pledgor is the registered owner of ULC Shares which are Collateral, the Pledgor
shall remain the sole registered owner of such ULC Shares until such time as such ULC Shares are effectively transferred into the
name of the Agent, or any other Person on the books and records of the applicable ULC. The Pledgor shall be entitled to receive
and retain for its own account any dividend on or other distribution, if any, with respect to such ULC Shares (except for any dividend
or distribution comprised of pledged certificated securities, which shall be delivered to the Agent (for the benefit of the Secured
Parties) to hold hereunder) and shall have the right to vote such ULC Shares and to control the direction, management and policies
of the applicable ULC to the same extent as the Pledgor would if such ULC Shares were not pledged to the Agent for the benefit
of the Secured Parties pursuant hereto.

 

		(d)	Nothing in this Agreement, the other Loan Documents or any other document delivered in connection
therewith is intended to or shall make the Agent or any other Secured Party, or any other Person other than the Pledgor, a member
or shareholder of a ULC for the purposes of any ULC Laws (whether listed or unlisted, registered or beneficial), until such time
as notice is given to the Pledgor and further steps are taken pursuant hereto to register the Agent, a Secured Party, or such other
Person specified in such notice, as the holder of the ULC Shares. To the extent any provision of this Agreement would have the
effect of constituting the Agent or any other Secured Party as a member or a shareholder, as applicable, of any ULC prior to such
time, such provision shall be severed from this Agreement and shall be ineffective with respect to ULC Shares which are Collateral
without otherwise invalidating or rendering unenforceable this Agreement or invalidating or rendering unenforceable such provision
insofar as it relates to Collateral which is not ULC Shares.

 

		(e)	Except upon the exercise of rights of the Agent to sell, transfer or otherwise dispose of ULC Shares
in accordance with this Agreement, the Pledgor shall not cause or permit, or enable a ULC to cause or permit, the Agent or any
other Secured Party to: (a) be registered as a shareholder or member of such ULC; (b) have any notation entered in their favour
in the share register of such ULC; (c) be held out as shareholders or members of such ULC; (d) receive, directly or indirectly,
any dividends, property or other distributions from such ULC by reason of the Agent or any other Secured Party holding the security
interests over the ULC Shares; or (e) act as a shareholder of such ULC, or exercise any rights of a shareholder including the right
to attend a meeting of shareholders of such ULC or to vote its ULC Shares.

 

Article 7

POWER OF ATTORNEY

 

Section
7.01Power of Attorney.

 

The Pledgor hereby irrevocably constitutes
and appoints the Agent and any officer or employee of the Agent as the Pledgor’s true and lawful attorney, with full power
of substitution and with full authority in the place and stead of the Pledgor and in the name of the Pledgor or otherwise, from
time to time in the Agent’s discretion to take any action and to execute any instrument which the Agent may deem necessary
or advisable to accomplish the purposes of this Agreement, including, without limitation, to receive, endorse and collect all instruments
made payable to the Pledgor representing any dividend, interest payment or other distribution in respect of the Collateral or any
part thereof and to give full discharge for the same, to transfer, endorse, negotiate and sign on behalf of the Pledgor any of
the Pledged Securities, to complete the blanks in any transfers of shares, bonds or debentures, any power of attorney or other
documents delivered to it, to provide instructions or entitlement orders to any securities intermediary which maintains any securities
account in which any Collateral is maintained, and to delegate its powers and for any delegate to sub-delegate the same (but the
Agent and the other Secured Parties shall not be obligated to and shall have no liability to the Pledgor or any third party for
failure to do so or take any action). Such appointment, being coupled with an interest, shall be irrevocable until the full and
final discharge of the security interests created by this Agreement. The Pledgor hereby ratifies all acts that such attorneys shall
lawfully do or cause to be done by virtue hereof.

 

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Article 8

REMEDIES UPON DEFAULT

 

Section
8.01Remedies.

 

		(a)	If any Event of Default shall have occurred and be continuing, the Agent, for the benefit of the
Secured Parties, may, without any other notice to or demand upon the Pledgor, assert all rights and remedies of a secured party
under the PPSA or other applicable law, including, without limitation, the right to take possession of, hold, collect, sell, lease,
deliver, grant options to purchase or otherwise retain, liquidate or dispose of all or any portion of the Collateral or instruct
the applicable securities intermediary to sell or deliver all or any portion of the Collateral. Any notices before disposition
of the Collateral or any portion thereof shall be provided in accordance with applicable law. So long as the sale of the Collateral
is made in a commercially reasonable manner, the Agent may sell such Collateral on such terms and to such purchaser(s) as the Agent
in its absolute discretion may choose, without assuming any credit risk and without any obligation to advertise or give notice
of any kind other than that necessary under applicable law. Without precluding any other methods of sale, the sale of the Collateral
or any portion thereof shall have been made in a commercially reasonable manner if conducted in conformity with reasonable commercial
practices of creditors disposing of similar property, including, without limitation, on any recognized exchange dealing in such
Collateral or by public or private sale. At any sale of the Collateral, if permitted by applicable law and in accordance with the
Intercreditor and Collateral Agency Agreement, the Agent or any other Secured Party may be the purchaser, licensee, assignee or
recipient of the Collateral or any part thereof and shall be entitled, for the purpose of bidding and making settlement or payment
of the purchase price for all or any portion of the Collateral sold, assigned or licensed at such sale, to use and apply any of
the Secured Obligations as a credit on account of the purchase price of the Collateral or any part thereof payable at such sale.
To the extent permitted by applicable law, the Pledgor waives all claims, damages and demands it may acquire against the Agent
and the Secured Parties arising out of the exercise of any rights hereunder by any of them. At any such sale, unless prohibited
by applicable law, the Agent and each Secured Party or any custodian may bid for and purchase all or any part of the Collateral
so sold free from any such right or equity of redemption. None of the Agent or any other Secured Party nor any custodian shall
be liable for failure to collect or realize upon any or all of the Collateral or for any delay in so doing, nor shall it be under
any obligation to take any action whatsoever with regard thereto. The Pledgor agrees that it would not be commercially unreasonable
for the Agent or any other Secured Party to dispose of the Collateral or any portion thereof by utilizing internet sites that provide
for the auction of assets of the type included in the Collateral or that have the reasonable capability of doing so, or that match
buyers and sellers of assets.

 

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		(b)	If any Event of Default shall have occurred and be continuing, all rights of the Pledgor to (i)
exercise the voting and other consensual rights it would otherwise be entitled to exercise under Section 6.01, and (ii) receive
the dividends and other distributions which it would otherwise be entitled to receive and retain under Section 6.02, shall immediately
cease, and all such rights shall thereupon become vested in the Agent for the benefit of the Secured Parties, which shall have
the sole right to exercise such voting and other consensual rights and receive and hold such dividends and other distributions
as Collateral. For greater certainty, if any Event of Default shall have occurred and be continuing, the Agent or its nominee may
exercise (A) all voting, corporate and other rights pertaining to the Collateral of the Pledgor, as if the Agent was the absolute
owner thereof, including, with respect to the Collateral, the giving or withholding of written consents of shareholders or members,
calling special meetings of shareholders or members, and voting at any meeting of shareholders, partners or members of the relevant
Issuers, and (B) to the extent not prohibited under applicable law, any and all rights of conversion, exchange and subscription
and any other rights, privileges or options pertaining to the Collateral as if the Agent was the absolute owner thereof (including,
without limitation, the right to exchange at its discretion any and all of the Collateral upon the merger, amalgamation, consolidation,
reorganization, recapitalization or other fundamental change in the corporate, partnership or company structure of any Issuer or
upon the exercise by the Pledgor or the Agent of any right, privilege or option pertaining to such Collateral with any committee,
depositary, transfer agent, registrar or other designated agency upon such terms and conditions as the Agent may determine), all
without liability except to account for property actually received by it; but the Agent shall have no duty to the Pledgor to exercise
any such right, privilege or option and neither the Agent nor any other Secured Party shall be responsible for any failure to do
so or delay in so doing. In furtherance thereof, the Pledgor hereby authorizes and instructs each Issuer of Equity Interests and
each party to this Agreement hereby agrees to (x) comply with any instruction received by it from the Agent in writing that
states (A) that an Event of Default has occurred and is continuing and (B) is otherwise in accordance with the terms of this Agreement,
without any other or further instructions from the Pledgor, and the Pledgor agrees that each Issuer shall be fully protected in
so complying, and (y) at the direction of the Agent, such Issuer shall pay any dividends, distributions or other payments with
respect to any Collateral directly to the Agent for the benefit of the Secured Parties.

 

		(c)	If any Event of Default shall have occurred and be continuing, any cash held by the Agent or any
other Secured Party as Collateral and all cash proceeds received by the Agent or any other Secured Party in respect of any sale
of, collection from, or other realization upon all or any part of the Collateral shall be applied in whole or in part by such party
to the payment of expenses it has incurred in connection with the foregoing or incidental to the care or safekeeping of any of
the Collateral or in any way relating to the Collateral or the rights of the Agent, the Paying Agent and the Secured Parties hereunder,
including reasonable legal fees, and the balance of such proceeds shall be applied or set off against all or any part of the Secured
Obligations in the manner set forth in the Intercreditor and Collateral Agency Agreement. Any surplus of such cash or cash Proceeds
held by the Agent or any Secured Party and remaining after payment in full of all the Secured Obligations shall be paid over to
the Pledgor or to whomsoever may be lawfully entitled to receive such surplus. The Pledgor shall remain liable for any deficiency
if such cash and the cash proceeds of any sale or other realization of the Collateral are insufficient to pay the Secured Obligations
and the fees and other charges of the Agent, the Paying Agent, any legal counsel or other party employed by the Agent, the Paying
Agent or any other Secured Party to collect such deficiency. Proceeds from any realization shall be in accordance with the Intercreditor
and Collateral Agency Agreement.

 

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		(d)	If the Agent or any other Secured Party shall determine to exercise its rights to sell all or any
of the Collateral under this Section 8.01, the Pledgor agrees that, upon request of such party, the Pledgor will, at its own expense,
do or cause to be done all such acts and things as may be necessary to make such sale of the Collateral or any part thereof valid
and binding and in compliance with applicable law.

 

Section
8.02Reasonable Care.

 

The Agent shall have no duty with respect
to the care and preservation of the Collateral beyond the exercise of reasonable care. The Agent shall be deemed to have exercised
reasonable care in the custody and preservation of the Collateral in its possession if the Collateral is accorded treatment substantially
equal to that which the Agent accords its own property, it being understood that the Agent shall not have any responsibility for
(a) ascertaining or taking action with respect to calls, conversions, exchanges, maturities, tenders or other matters relative
to any Collateral, whether or not the Agent has or is deemed to have knowledge of such matters, or (b) taking any necessary steps
to preserve rights against any parties with respect to any Collateral. Nothing set forth in this Agreement, nor the exercise by
the Agent of any of the rights and remedies hereunder, shall relieve the Pledgor from the performance of any obligation on the
Pledgor’s part to be performed or observed in respect of any of the Collateral.

 

Section
8.03Expenses and Indemnity.

 

		(a)	The Pledgor hereby agrees to indemnify and hold harmless the Agent, each other Secured Party, and
each officer, director, employee, contractor and advisor of the Agent and the Secured Parties (each such Person being called an
“Indemnified Party”) from any losses, damages, liabilities, claims and related expenses (including the fees
and expenses of legal counsel), incurred by the Indemnified Party or asserted against any Indemnified Party by any Person (including
the Pledgor) arising out of, in connection with or resulting from this Agreement, any other Loan Document or any agreement or instrument
contemplated hereby, including, without limitation, enforcement of this Agreement, or any failure of any Secured Obligations to
be the legal, valid, and binding obligations of the Pledgor enforceable against the Pledgor in accordance with their terms, whether
brought by a third party, the Pledgor or any other Person, and regardless of whether any Indemnified Party is a party thereto;
provided that such indemnity shall not, as to any Indemnified Party, be available to the extent that such losses, claims, damages,
liabilities or related expenses (i) are determined by a court of competent jurisdiction by final and non appealable judgment to
have resulted from the gross negligence or wilful misconduct of such Indemnified Party, or (ii) result from a claim brought by
the Pledgor or any of its affiliates against an Indemnified Party for breach in bad faith of such Indemnified Party’s obligations
hereunder or under any other Loan Document.

 

		(b)	To the fullest extent permitted by applicable law, the Pledgor hereby agrees not to assert, and
hereby waives, any claim against any Indemnified Party, on any theory of liability, for special, indirect, consequential, exemplary
or punitive damages (as opposed to direct or actual damages) arising out of, in connection with, or as a result of, this Agreement,
any other Loan Document or any agreement or instrument contemplated hereby, the transactions contemplated hereby or thereby, any
amounts advanced by the Secured Parties to the Pledgor or the use of proceeds thereof. No Indemnified Party shall be liable for
any damages arising from the use of any information or other materials distributed by it through telecommunications, electronic
or other information transmission systems in connection with this Agreement or the other Loan Documents or the transactions contemplated
hereby or thereby by unintended recipients.

 

		(c)	The Pledgor agrees to pay or reimburse the Agent and the other Secured Parties for all reasonable
costs and expenses incurred in collecting the Secured Obligations or otherwise protecting, enforcing or preserving any rights or
remedies under this Agreement and the other Loan Documents to which the Pledgor is a party, including the reasonable fees and other
reasonable charges of counsel (including the allocated fees and expenses of internal counsel) to the Agent and the other Secured
Parties.

 

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		(d)	All amounts due under this Section 8.03 shall be payable promptly after demand therefor, shall
constitute Secured Obligations and shall bear interest until paid at a rate per annum equal to the highest rate per annum at which
interest would then be payable on any of the Secured Obligations.

 

		(e)	Without prejudice to the survival of any other agreement of the Pledgor under this Agreement or
any other document delivered in connection herewith, the agreements and obligations of the Pledgor contained in this Section 8.03
shall survive termination of the Loan Documents and payment in full of the Secured Obligations and all other amounts payable to
the Secured Parties.

 

Article 9

The
Agent

 

GLAS
AMERICAS LLC has been appointed Agent for the Secured Parties pursuant to the Intercreditor and Collateral Agency Agreement. It
is expressly understood and agreed by the parties to this Agreement that any authority conferred upon the Agent hereunder is subject
to the terms of the delegation of authority made to the Agent under the Intercreditor and Collateral Agency Agreement, and that
the Agent has agreed to act (and any successor Agent shall act) as such hereunder only on the express conditions contained in the
Intercreditor and Collateral Agency Agreement. Any successor Agent appointed pursuant to the Intercreditor and Collateral Agency
Agreement shall be entitled to all the rights, interests and benefits of the Agent hereunder, as applicable.

 

Article 10

Conflicts;
Paramountcy

 

Notwithstanding
anything herein to the contrary, the liens and security interests granted to the Agent for the benefit of the Secured Parties pursuant
to this Agreement and the exercise of any right or remedy by the Agent or any Secured Party hereunder are subject to the provisions
of the Intercreditor and Collateral Agency Agreement. In the event of any conflict between the terms of the Intercreditor and Collateral
Agency Agreement and this Agreement with respect to any right or remedy of the Secured Parties relating to the Collateral, the
terms of the Intercreditor and Collateral Agency Agreement shall govern and control. To the extent this Agreement provides any
additional rights or remedies to the Agent that are not contained in the Intercreditor and Collateral Agency Agreement, it shall
be deemed not to be a conflict, and the Agent shall have such additional rights and remedies.

 

Article 11

MISCELLANEOUS

 

Section
11.01Agent May Perform.

 

If the Pledgor fails to perform any obligation
contained in this Agreement, the Agent may itself perform, or cause performance of, such obligation, and the expenses of the Agent
incurred in connection therewith shall be payable by the Pledgor; provided that the Agent shall not be required to perform or discharge
any obligation of the Pledgor.

 

Section
11.02Interest Act (Canada).

 

For purposes of the Interest Act (Canada),
the yearly rate of interest applicable to amounts owing under this Agreement will be calculated on the basis of a 365-day year.
Whenever interest is to be calculated on the basis of any period of time that is less than a calendar year, the yearly rate of
interest to which the rate determined by that calculation is equivalent is the rate so determined multiplied by the actual number
of days in that calendar year and divided by that period of time.

 

    - 12 -

     

    

 

Section
11.03Taxes.

 

Any and all payments by the Pledgor under
or in respect of this Agreement shall be made free and clear of and without deduction or withholding for any Taxes except as required
by applicable law. If the Pledgor is required by applicable law (as determined in the good faith discretion of the Pledgor) to
deduct or withhold any Taxes from such payments, then, (i) the amount payable by the Pledgor shall be increased so that after all
such required deductions or withholdings are made (including deductions or withholdings applicable to additional amounts payable
under this Section), the applicable recipient receives an amount equal to the amount it would have received had no such deduction
or withholding been made, (ii) the Pledgor shall make such deductions or withholdings and timely pay the full amount deducted or
withheld to the relevant Governmental Authority in accordance with applicable law, and (iii) the Pledgor shall, promptly after
any such payment, deliver to the Agent the original or certified copy of a receipt issued by such Governmental Authority evidencing
such payment.

 

Section
11.04Judgment Currency.

 

		(a)	Conversion. If, for the purpose of obtaining or enforcing judgment against any party
in any court in any jurisdiction, it becomes necessary to convert into a particular currency an amount due under this Agreement
or the Notes or any other Loan Document, the conversion will be made at the Rate of Exchange prevailing on the Business Day immediately
preceding the date on which judgment is given.

 

		(b)	Payment of additional amounts. If, as a result of a change in the Rate of Exchange
between the date of judgment and the date of actual payment, the conversion results in the Secured Parties receiving less than
the amount payable to them, the Pledgor shall pay the Secured Parties any additional amount as may be necessary to ensure that
the amount received is not less than the amount payable by the Pledgor on the date of judgment.

 

		(c)	Treatment of additional amounts. Any additional amount due under this section will
constitute Secured Obligations, be due as a separate debt, give rise to a separate cause of action, and will not be affected by
judgment obtained for any other amount due under this Agreement or the Notes or any other Loan Document.

 

Section
11.05No Waiver and Cumulative Remedies.

 

The Agent and the other Secured Parties
shall not by any act (except by a written instrument under Section 11.07), delay, indulgence, omission or otherwise be deemed to
have waived any right or remedy hereunder or to have acquiesced in any Event of Default. All rights and remedies herein provided
are cumulative and are not exclusive of any rights or remedies provided by law.

 

Section
11.06Amendments.

 

None of the terms or provisions of this
Agreement may be amended, modified, supplemented, terminated or waived, and no consent to any departure by the Pledgor therefrom
shall be effective unless the same shall be in writing and signed by the Agent and the Pledgor, and then such amendment, modification,
supplement, waiver or consent shall be effective only in the specific instance and for the specific purpose for which made or given.

 

Section
11.07Notices.

 

All notices and other communications provided
for in this Agreement shall be in writing and shall be given in the manner and become effective as set forth in the Intercreditor
and Collateral Agency Agreement.

 

Section
11.08Continuing Security Interest; Successors and Assigns.

 

This Agreement shall create a continuing
security interest in the Collateral and shall (a) subject to Section 11.10, remain in full force and effect until payment and performance
in full of the Secured Obligations, (b) be binding upon the Pledgor, its successors and assigns, and (c) enure to the benefit of
the Agent and the Secured Parties and each of their respective successors, transferees and assigns; provided that the Pledgor
may not assign or otherwise transfer any of its rights or obligations under this Agreement without the prior written consent of
the Agent. Without limiting the generality of the foregoing clause (c), any assignee of a Secured Party’s interest in any
Loan Document or other agreement or document which includes all or any of the Secured Obligations shall, upon assignment in accordance
with the assignment provisions of the applicable Note, become vested with all the benefits granted to the applicable Secured Party
herein with respect to such Secured Obligations.

 

    - 13 -

     

    

 

Section
11.09Attachment of Security Interest.

 

The Pledgor acknowledges that value has
been given, that the Pledgor has rights in the Collateral, and that the parties have not agreed to postpone the time for attachment
of any security interest in this Agreement. The Pledgor acknowledges that any security interest in this Agreement shall attach
to existing Collateral upon the execution of this Agreement and to each item of after-acquired Collateral at the time that the
Pledgor acquires rights in such after-acquired Collateral.

 

Section
11.10Termination; Release.

 

On the date on which all Secured Obligations
and any other amounts owing by the Pledgor to the Secured Parties have been paid and performed in full, the Agent and the Secured
Parties will, at the request and sole expense of the Pledgor, (a) duly assign, transfer and deliver to or at the direction of the
Pledgor (without recourse and without any representation or warranty) such of the Collateral as may then remain in the possession
of the Agent or any other Secured Party, together with any monies at the time held by the Agent or any other Secured Party hereunder,
and (b) execute and deliver to the Pledgor a proper instrument or instruments acknowledging the satisfaction and termination of
this Agreement.

 

Section
11.11Assignment.

 

The Agent and each other Secured Party
may assign or transfer any of its rights under this Agreement without the consent of the Pledgor. The Pledgor may not assign its
obligations under this Agreement without the prior written consent of the Agent.

 

Section
11.12Severability.

 

Any provision hereof which is invalid,
illegal or unenforceable in whole or in part in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of
such invalidity, illegality or unenforceability without invalidating the remaining provisions hereof or affecting the validity,
legality or enforceability of such provision in any other jurisdiction.

 

Section
11.13Governing Law; Jurisdiction.

 

All matters arising out of or relating
to this Agreement shall be governed by, and construed in accordance with, the laws of the Province of British Columbia and the
laws of Canada applicable therein and the Pledgor irrevocably attorns and agrees to submit to the non-exclusive jurisdiction of
the courts of the Province of British Columbia.

 

Section
11.14Counterparts; Electronic Delivery.

 

This Agreement and any amendments, waivers,
consents or supplements hereto may be executed in counterparts (and by different parties hereto in different counterparts), each
of which shall constitute an original, but all taken together shall constitute a single contract. Delivery of an executed counterpart
of a signature page to this Agreement by facsimile or in electronic format (such as “pdf” or “tif”) shall
be effective as delivery of a manually executed counterpart of this Agreement.

 

Section
11.15Copy of Verification Statement.

 

To the extent permitted by law, the Pledgor
hereby waives its right to receive a copy of any financing statement, financing change statement or verification statement in connection
with any registrations or filings made under the PPSA or under any similar or corresponding legislation in any other jurisdiction.

 

    - 14 -

     

    

 

Section
11.16Copy of Agreement; Loan Document; Security.

 

The Pledgor acknowledges receipt of a fully
executed copy of this Agreement. The Pledgor hereby acknowledges and confirms that this Agreement shall constitute a “Loan
Document” and shall form part of the “Security” under the Notes.

 

Section
11.17Entire Agreement.

 

This Agreement and the other Loan Documents,
and any separate letter agreements with respect to fees payable to the Secured Parties, constitute the entire contract among the
parties with respect to the subject matter hereof and supersede all previous agreements and understandings, oral or written, with
respect thereto.

 

[Signature Page Follows]

 

     

     

    

 

IN WITNESS WHEREOF, the Pledgor has executed
this Agreement as of the date first above written.

 

	 	CLEVER LEAVES Holdings Inc., as Pledgor
	 	 
	 	By:	/s/ Kyle Detwiler
	 	 	Name: 	Kyle Detwiler
	 	 	Title:	Director        

  

Acknowledged and agreed as of the date
first above written.

 

	 	CLEVER LEAVES INTERNATIONAL Inc., as Issuer
	 	 
	 	By:	/s/ Kyle Detwiler
	 	 	Name: 	Kyle Detwiler
	 	 	Title:	                 

  

     

     

    

 

SCHEDULE 1

 

PLEDGED SECURITIES

 

PLEDGED SECURITIES

 

	
         

        Issuer
	 	Class/Type of Security	 	Certificate Number

                                                                                (if certificated)
	 	Number of Securities
	Clever Leaves International Inc.	 	Class A Voting Common Shares	 	17AC	 	929,518
	Clever Leaves International Inc.	 	Class A Voting Common Shares	 	18AC	 	43,467,134
	Clever Leaves International Inc.	 	Class A Voting Common Shares	 	19AC	 	32,926,012

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