Document:

Exhibit
10.1

 

SUBSCRIPTION
AGREEMENT

AND
INVESTMENT LETTER

 

Date:
_____________

 

To
the Board of Directors

J H Darbie & Co., Inc.

40
Wall Street 30th Floor

New
York, New York 10005

Attention: Xavier Vicuna

 

	Re:	Subscription
    to Purchase Units of Mateon Therapeutics, Inc.

 

Ladies
and Gentlemen:

 

This
Subscription Agreement (this “Subscription Agreement”) is being delivered to the purchaser identified on the
signature page to this Agreement (the “Undersigned” or “Subscriber”) in connection with
its investment in the securities of Mateon Therapeutics, Inc., a Delaware corporation (the “Company”). The
Company is conducting a private placement (the “Offering”) of a minimum of 40 and a maximum of 100 Units (the
“Units”), each of which consists of 25,000 shares of the Common Stock of the Company’s wholly owned subsidiary
called EdgePoint AI, Inc., a Delaware corporation (“EdgePoint”), and one note issued by the Company (a “Note”
and collectively, the “Notes”), in the principal amount of $25,000.00, bearing annual interest at the rate
of 16%. Each Note will be convertible into up to 25,000 shares of EdgePoint’s Common Stock (conversion price $1.00 per share)
or up to 138,889 shares of Mateon’s Common Stock (conversion price approximately $0.18 per share), subject to applicable
anti dilution provisions. Each Unit will also consist of 100,000 (the “Warrants”), 50,000 Warrants (the “EdgePoint
Warrants”) each to purchase one share of EdgePoint’s Common Stock at $1.00 per share, and 50,000 Warrants (the “Company
Warrants”) each to purchase one share of Mateon’s Common Stock at $0.20 per share. The the exercise price of each
Warrant will be subject to applicable anti dilution provisions set forth therein and, except as set forth in the next succeeding
sentence, each Warrant will be exercisable for three years after issuance. Each time EdgePoint Warrants are exercised a comparable
number of Company Warrants, or parts thereof, will terminate and each time Company Warrants are exercised a comparable number
of EdgePoint Warrants, or parts thereof, will terminate.

 

This
will acknowledge that the Subscriber hereby agrees to irrevocably purchase from the Company_Unit(s) as set forth in the Subscription
Signature Section below in accordance with the terms of this Subscription Agreement and Investment Letter (the “Subscription
Agreement”) and pursuant to the terms and conditions set forth in the Confidential Offering Memorandum dated ______________________
(Date), including Appendices attached thereto (the “Memorandum”).

 

    	Appendix H, Page 1

     

    

 

 1. Terms of the Offering.

 

The
Offering is being made on a “best efforts, all or none” basis with respect to the first 40 Units, and, thereafter,
on a “best efforts only” basis until the remaining 60 Units are sold, the Company terminates the Offering, which it
can do in its complete discretion at any time, or the Offering Period, as hereinafter defined, expires, whichever occurs first
(the “Termination Date”). Unless at least 40 Units (the “Minimum”) are sold on or before June 30,
2020, or September 30, 2020 if extended by the Company and the Placement Agent (the “Offering Period”) and
paid for with collected funds received in escrow as noted in the next succeeding paragraph within two Business Days thereafter,
the Offering will terminate and all funds collected from subscribers will be promptly returned to them without interest thereon
or deduction therefrom. A “Business Day” means any day except Saturday, Sunday and any day that shall be a federal
legal holiday or a day on which banking institutions in the State of New York are authorized or required by law or other governmental
action to close. Persons affiliated and/or otherwise related to the Company may purchase Units in the Offering and the Units purchased
by them will be included in the number of Units needed to satisfy the Minimum. The Placement Agent and persons affiliated with
it also may purchase Units in the Offering but the Units purchased by them will not be included in the number of Units needed
to satisfy the Minimum.

 

Because
the Minimum of forty Units must be sold in order to make the Offering effective, all funds received will be held in escrow
with Texas Capital Bank, N.A. (the “Escrow Agent”). No funds will be remitted to the Company until at
least forty Units have been sold and paid for. Thereafter, funds will continue to be held in escrow and released to the
Company at each subsequent closing, which shall be at the discretion of the Company and the Placement Agent and which shall
occur on the earlier of June 30, 2020, which date may be extended to September 30, 2020, by agreement between the Company and
the Placement Agent, or when all 100 Units on an accumulative basis have been sold and paid for (each a
“Closing” and, collectively, the “Closings”) against delivery of the appropriate number
of subscribed Units. Each Closing of the purchase and sale of the Units following acceptance by the Company of subscriptions,
as evidenced by the Company’s execution of the applicable Subscription Agreements, shall take place at the Placement
Agent’s offices, or such other place as the Placement Agent and the Company shall determine, on such date as the
Placement Agent and the Company shall determine. The date on which a Closing is consummated is the “Closing
Date.”

 

The
Offering is being made only to “accredited investors” as defined under Regulation D under the Securities Act and up
to 35 non-accredited investors. It is being conducted pursuant to the exemption from the registration provisions of the Securities
Act set forth in Section 4(a)(2) thereof and applicable Rules and Regulations promulgated thereunder, including Rule 506(b) of
Regulation D. Section 4(a)(2) requires, among other things, that each purchaser acquire the Units, and Notes, Common Stock and
Warrants which are a part thereof, and the Common Stock underlying the Notes and the Warrants (collectively, the “Underlying
Securities”) with investment intent and not with a view to distribution. The Units being offered hereby and the Underlying
Securities will be “restricted securities” under the Securities Act and may not be resold publicly except in compliance
with Rule 144 promulgated thereunder or unless subsequently registered.

 

Although
the Common Stock is traded on the OTCQB Marketplace under the symbol “MATN,” there is no public market for the Units,
the Notes, EdgePoint’s Common Stock or the Warrants and, except for EdgePoint’s Common Stock, it is not anticipated
that a public trading market for them will ever develop.

 

    	Appendix H, Page 2

     

    

 

As
set forth above, the Company has agreed to file a registration statement with the Commission covering the Underlying Securities,
but cannot assure that such a filing will be made or, if it is, that it will be declared effective by the Commission. In the event,
however, that the registration statement is declared effective, the Company cannot assure that the Underlying Securities will
be readily tradable.

 

ACCORDINGLY,
THE UNDERSIGNED UNDERSTANDS AND ACKNOWLEDGES THAT, EVEN AFTER THE TERMINATION OF THE RESALE RESTRICTION PERIODS ON THE UNITS AND
THE UNDERLYING SECURITIES, AND/OR THE UNDERLYING SECURITIES ARE REGISTERED, SHE/HE MAY BE UNABLE TO RESELL THESE SECURITIES FOR
A SIGNIFICANT PERIOD OF TIME, IF EVER.

 

Execution
of this Subscription Agreement shall constitute an offer by the Undersigned to purchase the number of Units set forth in the Subscription
Signature Section below on the terms specified herein. If the Undersigned’s offer is accepted, the Company will execute
a copy of the Signature Section and return it to the Undersigned.

 

 2. The Placement Agent.

 

The
Placement Agent, a member firm of the Financial Industry Regulatory Authority (“FINRA”), is acting as the exclusive
placement agent for the Company in placing this Offering. If all of the Units are sold, the Company will receive gross proceeds
of $5,000,000 less the expenses of this Offering. Management estimates that these expenses, including the fee and expense allowance
payable to the Placement Agent described below, will be approximately $10,000.

 

The
Placement Agent will receive a fee equal to 10%, due diligence fee of up to $150,000, and will also reimburse the Placement
Agent for all reasonable out-of-pocket expenses incurred by Agent in performing its services hereunder, including reasonable
attorney’s fees incurred by the Placement Agent in connection with a Placement in an amount not to exceed $10,000. The
Company will also grant to the Placement Agent, for nominal consideration, a warrant, exercisable over a five-year period
commencing on the final Closing Date of the Offering, to purchase such number of Units, including the Notes, the EdgePoint
Common Stock and the Warrants included therein, as shall equal 10% of the number of Units sold in the Offering at an exercise
price equal to 100% of the Unit offering price.

 

The
undersigned understands that, except as may be required by applicable regulations of FINRA, the Placement Agent has not independently
verified the information provided to her/him with respect to the Company. Accordingly, there is no representation by the Placement
Agent as to the completeness or accuracy of such information.

 

    	Appendix H, Page 3

     

    

 

 3. Suitability Requirements; Transferability.

 

An
investment in the Company involves a high degree of risk and is suitable only for those qualified persons who have substantial
financial resources and who, alone or together with their purchaser representatives (see the definition below), have such knowledge
and experience in financial and business matters that they are capable of evaluating the merits and risks of purchasing the Units.
Satisfaction of these suitability standards by a person does not represent a determination by the Company that the Units are a
suitable investment for such person. Each person must consult such person’s own professional advisors in order to determine
the suitability of the investment. The Company may make or cause to be made such further inquiry and obtain such additional information
as it deems appropriate with regard to the suitability of prospective investors.

 

The
Undersigned must complete, sign and return a Purchaser Questionnaire to the Company in order to assist it in determining whether
the Undersigned is an accredited or sophisticated investor and satisfies the minimum suitability requirements. The form of Purchaser
Questionnaire is attached to the Confidential Offering Memorandum as Appendix E.

 

The
term “purchaser representative” means any person who satisfies all of the following conditions or who the Company
reasonably believes satisfies all of the following conditions:

 

(a) she/he
is not an affiliate, director, officer or other employee of the Company or beneficial owner of 10% or more of any class of the
Company’s equity securities, except where the purchaser is:

 

(i) A
relative of the purchaser representative by blood, marriage or adoption and not more remote than a first cousin;

 

(ii) A
trust or estate in which the purchaser representative and any persons related to her/him as specified in Paragraph (h)(1)(i) or
(h)(1)(iii) of Rule 501 under Regulation D, collectively have more than 50 percent of the beneficial interest (excluding contingent
interest) or of which the purchaser representative serves as trustee, executor, or in any similar capacity; or

 

(iii) A
corporation or other organization of which the purchaser representative and any persons related to her/him as specified in Paragraph
(h)(1)(i) or (h)(1)(ii) of Rule 501, collectively are the beneficial owners of more than 50 percent of the equity securities (excluding
directors’ qualifying shares) or equity interests;

 

(b) she/he
has such knowledge and experience in financial and business matters that she/he is capable of evaluating, alone, or together with
other purchaser representatives of the purchaser or together with the purchaser, the merits and risks of the prospective investment;

 

(c) she/he
is acknowledged by the purchaser in writing, during the course of the transaction, to be her/his purchaser representative in connection
with evaluating the merits and risks of the prospective investment; and

 

(d) she/he
discloses to the purchaser in writing prior to the acknowledgment specified in Paragraph (h)(3) of Rule 501, any material relationship
between herself/himself or her/his affiliates and the Company or its affiliates that then exists, that is mutually understood
to be contemplated or that has existed at any time during the previous two years and any compensation received or to be received
as a result of such relationship.

 

    	Appendix H, Page 4

     

    

 

If
the Undersigned is using a purchaser representative, the purchaser representative must complete, execute and return a Purchaser
Representative’s Questionnaire to the Company. A form of Purchaser Representative’s Questionnaire is attached to the
Confidential Offering Memorandum as Appendix F.

 

 4. Subscription Procedure and Effect.

 

The
subscription price shall be payable upon execution of this Subscription Agreement in accordance with the terms set forth herein.
In order to subscribe for the Units, a qualified prospective investor must deliver the following to the Placement Agent, at 40
Wall Street, 30th Floor, Suite 3002, New York, New York 10005, Attention: Xavier Vicuna.

 

	 	●	an executed copy
    of the Subscription Signature Section of this Subscription Agreement, with all blanks properly completed, indicating all of
    the Units subscribed for;
	 	 	 
	 	●	an executed copy
    of the Registration Rights Agreement;
	 	 	 
	 	●	an executed copy
    of a Purchaser Questionnaire, with all questions properly completed;
	 	 	 
	 	●	if applicable, an
    executed copy of a Purchaser Representative Questionnaire, with all questions properly completed;

 

A
certified check, in the amount of the purchase price for the Units to be purchased, payable to Texas Capital Bank N.A. for “Mateon
Therapeutics, Inc.” Wired funds are also acceptable. The Company would prefer that the funds be wired. Money Orders are
not an acceptable form of payment. The wiring instructions are:

 

Texas
Capital Bank, N. A.

2000
McKinney Ave. Dallas, Texas 75201 ABA: 111017979

Account
Name: TCB Escrow and Specialized Services as Escrow Agent for Mateon Therapeutics/JH Darbie & Co.

Account
Number: 7700001360

Comment:
FBO [insert purchaser’s name]

 

On
delivery of the executed Subscription Signature Section of this Subscription Agreement, the Subscriber will become bound by its
terms. Unless otherwise required by applicable state securities laws, the Subscriber may not withdraw or revoke her/his executed
Subscription Agreement in whole or in part without the consent of the Company.

 

The
Company may accept this Subscription Agreement at any time on or before the Termination Date. This Subscription Agreement is not
binding on the Company until it is accepted as evidenced by the signature of an officer of the Company. The Company, in its sole
discretion, has the right to accept or reject this Subscription Agreement in whole or in part and accept Subscription Agreements
other than in the order received. In the event of rejection of this Subscription Agreement, or in the event that, for any reason,
none of the Units are sold (in which case this Subscription Agreement will be deemed to be rejected), the Company will thereafter
promptly return or cause to be returned to the Subscriber by mail, a check in the amount paid by the Subscriber in this Offering,
without interest thereon or deduction therefrom for expenses or otherwise, and this Subscription Agreement shall thereafter have
no further force or effect except for the provisions of Section 7.

 

    	Appendix H, Page 5

     

    

 

5. T he Company’s Representations, Warranties and Covenants. The Company represents, warrants and covenants to the Undersigned and the Placement Agent that:

 

(a) Subsidiaries.
The Company has no direct or indirect subsidiaries other than those set forth in the SEC Documents, as defined below in Subsection
5(e), (individually a “Subsidiary” and, collectively, the “Subsidiaries”). Except as
disclosed in the SEC Documents, the Company owns, directly or indirectly, all of the capital stock of each Subsidiary free and
clear of any and all liens, charges, encumbrances, security interests, rights of first refusal or other restrictions of any kind
(each a “Lien” and, collectively, “Liens”), and all the issued and outstanding shares of
capital stock of each Subsidiary are validly issued and are fully paid, non- assessable and free of preemptive and similar rights.

 

(b) Organization
and Qualification. Each of the Company and each Subsidiary is an entity duly incorporated or otherwise organized, validly
existing and in good standing under the laws of the jurisdiction of its incorporation or organization (as applicable), with the
requisite power and authority to own and use its properties and assets and to carry on its business as currently conducted. Neither
the Company nor any Subsidiary is in violation of any of the provisions of its respective certificate or articles of incorporation,
bylaws or other organizational or charter documents. Each of the Company and each Subsidiary is duly qualified to conduct business
and is in good standing as a foreign corporation or other entity in each jurisdiction in which the nature of the business conducted
or property owned by it makes such qualification necessary, except where the failure to be so qualified or in good standing, as
the case may be, could not, individually or in the aggregate, have or reasonably be expected to result in (i) an adverse effect
on the legality, validity or enforceability of any agreement or other document executed by the Company relating to the Offering
(each a “Transaction Document” and, collectively, the “Transaction Documents”), (ii) a material
and adverse effect on the results of operations, assets, prospects, business or condition (financial or otherwise) of the Company
and the Subsidiaries, taken as a whole, or (iii) an adverse impairment to the Company’s ability to perform on a timely basis
its obligations under any Transaction Document (any of (i), (ii) or (iii), a “Material Adverse Effect”).

 

(c) Authorization;
Enforcement. The Company has the requisite corporate power and authority to enter into and to consummate the transactions
contemplated by each of the Transaction Documents and otherwise to carry out its obligations thereunder. The execution and delivery
of each of the Transaction Documents by the Company and the consummation by it of the transactions contemplated thereby have been
duly authorized by all necessary corporate action on the part of the Company and no further corporate action is required by the
Company in connection therewith. Each Transaction Document has been (or upon delivery will have been) duly executed by the Company
and, when delivered in accordance with the terms hereof, will constitute the valid and binding obligation of the Company enforceable
against the Company in accordance with its terms, except as rights to indemnity and contribution may be limited by state or federal
securities laws or the public policy underlying such laws, except as enforceability may be limited by applicable bankruptcy, insolvency,
reorganization, moratorium or similar laws affecting creditors’ and contracting parties’ rights generally and except
as enforceability may be subject to general principles of equity (regardless of whether such enforceability is considered in a
proceeding in equity or at law).

 

    	Appendix H, Page 6

     

    

 

(d) No
Conflicts. The execution, delivery and performance of the Transaction Documents by the Company and the consummation by
the Company of the transactions contemplated thereby do not and will not (i) conflict with or violate any provision of the
Company’s or any Subsidiary’s certificate or articles of incorporation, bylaws or other organizational or charter
documents, or (ii) conflict with, or constitute a default (or an event that with notice or lapse of time or both would become
a default) under, or give to others any rights of termination, amendment, acceleration or cancellation (with or without
notice, lapse of time or both) of, any agreement, credit facility, debt or other instrument (evidencing a Company or
Subsidiary debt or otherwise) or other understanding to which the Company or any Subsidiary is a party or by which any
property or asset of the Company or any Subsidiary is bound or affected, or (iii) result in a violation of any law, rule,
regulation, order, judgment, injunction, decree or other restriction of any court or governmental authority to which the
Company or a Subsidiary is subject (including federal and state securities laws and regulations), or by which any property or
asset of the Company or a Subsidiary is bound or affected; except in the case of each of clauses (ii) and (iii), such as
could not, individually or in the aggregate, have or reasonably be expected to result in a Material Adverse
Effect.

 

(e) Representations
and Warranties relating to the SEC Documents. The Company has filed all reports, schedules, forms, statements and other documents
(collectively, the “SEC Documents”) required to be filed by it with the Commission pursuant to the Securities
Exchange Act of 1934 (the “Exchange Act”), in a timely manner within the past three years. The SEC Documents
have complied in all material respects with the requirements of the Exchange Act and the rules and regulations of the Commission
promulgated thereunder applicable to the SEC Documents, and none of the SEC Documents, at the time they were filed with the Commission,
contained any untrue statement of a material fact or omitted to state a material fact required to be stated therein or necessary
in order to make the statements therein, in light of the circumstances under which they were made, not misleading. As of their
respective dates, to the best of the Company’s knowledge during those respective dates, the Company’s financial statements
included in the SEC Documents complied as to form in all material respects with applicable accounting requirements and the published
rules and regulations of the Commission with respect thereto. Such financial statements have been prepared in accordance with
accounting principles generally accepted in the United States as in effect from time to time, consistently applied (“GAAP”),
during the periods involved (except (a) as may be otherwise indicated in such financial statements or the notes thereto, or (b)
in the case of unaudited interim statements, to the extent they may exclude footnotes or may be condensed or summary statements)
and fairly present in all material respects the Company’s financial condition as of the respective dates thereof and the
results of the Company’s operations and cash flows for the respective periods then ended (subject, in the case of unaudited
statements, to normal year-end audit adjustments). The Company has not received notification from the Commission, and/or any federal
or state securities bureaus that any investigation (informal or formal), inquiry or claim is pending, threatened or in process
against the Company and/or relating to any of its securities.

 

    	Appendix H, Page 7

     

    

 

(f) Material
Changes. Since the date of the latest audited financial statements included within the SEC Documents, except as specifically
disclosed in the SEC Documents, (i) there has been no event, occurrence or development that has had or is reasonably likely to
result in a Material Adverse Effect, (ii) the Company has not incurred any liabilities (contingent or otherwise) other than (A)
trade payables and accrued expenses incurred in the ordinary course of business consistent with past practice, and (B) liabilities
not required to be reflected in the Company’s financial statements pursuant to GAAP or required to be disclosed in filings
made with the Commission, (iii) the Company has not altered its method of accounting or the identity of its auditors, (iv) the
Company has not declared or made any dividend or distribution of cash or other property to its stockholders or purchased, redeemed
or made any agreements to purchase or redeem any shares of its capital stock, and (v) the Company has not issued any equity securities
to any officer, director or affiliate, except pursuant to existing Company stock option or stock purchase plans or disclosed in
SEC Documents. Except as specified in the SEC Documents, the Company does not have pending before the Commission any request for
confidential treatment of information.

 

(g) Litigation.
Except as disclosed in the SEC Documents, (i) there is no action, suit, inquiry, notice of violation, proceeding (including any
partial proceeding such as a deposition) or investigation pending or threatened in writing against or affecting the Company, any
Subsidiary or any of their respective properties before or by any court, arbitrator, governmental or administrative agency, regulatory
authority (federal, state, county, local or foreign), stock market, stock exchange or trading facility (individually an “Action”
and, collectively, “Actions”), which (A) adversely affects or challenges the legality, validity or enforceability
of any of the Transaction Documents or the Units or Underlying Securities or (B) could, if there were an unfavorable decision,
individually or in the aggregate, have or reasonably be expected to result in a Material Adverse Effect, (ii) neither the Company
nor any Subsidiary, nor any director or officer thereof, is or has been the subject of any Action involving a claim of violation
of or liability under federal or state securities laws or a claim of breach of fiduciary duty, and (iii) there has not been, and
to the knowledge of the Company, there is not pending or contemplated, any investigation by the Commission involving the Company
or any current or former director or officer of the Company. The Commission has not issued any stop order or other order suspending
the effectiveness of any registration statement filed by the Company or any Subsidiary under the Exchange Act or the Securities
Act.

 

(h) Employment
Matters. The Company and the Subsidiaries are in compliance with all federal, state, local and foreign laws and regulations
respecting employment and employment practices, terms and conditions of employment and wages and hours except where failure to
be in compliance would not have a Material Adverse Effect. Neither the Company nor any Subsidiary is bound by or subject to (and
none of the Company’s or any of its Subsidiaries’ assets or properties are bound by or subject to) any written or
oral, express or implied, contract, commitment or arrangement with any labor union, and no labor union has requested or, to the
Company’s knowledge, has sought to represent any of the employees, representatives or agents of the Company or the Subsidiaries.
There is no strike or other material labor dispute involving the Company or the Subsidiaries pending, or to the Company’s
knowledge, threatened, that could have a Material Adverse Effect nor is the Company aware of any labor organization activity involving
its or its Subsidiaries’ employees. The Company is not aware that any officer or key employee intends to terminate her or
his employment with the Company, nor does the Company have a current intention to terminate the employment of any officer or key
employee.

 

    	Appendix H, Page 8

     

    

 

(i) Compliance.
Neither the Company nor any Subsidiary (i) is in default under or in violation of (and no event has occurred that has not been
waived that, with notice or lapse of time or both, would result in a default by the Company or any Subsidiary under), nor has
the Company or any Subsidiary received notice of a claim that it is in default under or that it is in violation of, any indenture,
loan or credit agreement or any other agreement or instrument to which it is a party or by which it or any of its properties is
bound (whether or not such default or violation has been waived), (ii) is in violation of any order of any court, arbitrator or
governmental body, or (iii) is or has been in violation of any statute, rule or regulation of any governmental authority, including
without limitation all foreign, federal, state and local laws relating to taxes, environmental protection, occupational health
and safety, product quality and safety and employment, labor matters and gaming matters, except in each case as could not, individually
or in the aggregate, have or reasonably be expected to result in a Material Adverse Effect. The Company is in compliance with
the applicable requirements of the Sarbanes-Oxley Act of 2002 and the rules and regulations thereunder promulgated by the Commission,
except where such noncompliance could not have or reasonably be expected to result in a Material Adverse Effect.

 

(j) Regulatory
Permits. The Company and the Subsidiaries possess all certificates, authorizations and permits issued by the appropriate federal,
state, local or foreign regulatory authorities necessary to conduct their respective businesses as described in the SEC Documents,
except where the failure to possess such permits would not, individually or in the aggregate, have or reasonably be expected to
result in a Material Adverse Effect (each a “Material Permit”), and neither the Company nor any Subsidiary
has received any notice of proceedings relating to the revocation or modification of any Material Permit.

 

(k) Title
to Assets. The Company and the Subsidiaries have good and marketable title in all personal property owned by them that is
material to their respective businesses, in each case free and clear of all Liens. Any real property and facilities held under
lease by the Company and the Subsidiaries are held by them under valid, subsisting and, to the Company’s knowledge, enforceable
leases of which the Company and the Subsidiaries are in compliance, except as could not, individually or in the aggregate, have
or reasonably be expected to result in a Material Adverse Effect.

 

(l) Patents
and Trademarks. The Company and the Subsidiaries have, or have rights to use, all patents, patent applications, trademarks,
trademark applications, service marks, trade names, copyrights, licenses and other similar rights that are necessary or material
for use in connection with their respective businesses as described in the SEC Documents and which the failure to so have could,
individually or in the aggregate, have or reasonably be expected to result in a Material Adverse Effect (collectively, the “Intellectual
Property Rights”). Neither the Company nor any Subsidiary has received a written notice that the Intellectual Property
Rights used by the Company or any Subsidiary violates or infringes upon the rights of any individual or corporation, partnership,
trust, incorporated or unincorporated association, joint venture, limited liability company, joint stock company, government (or
an agency or subdivision thereof) or other entity of any kind (a “Person”). To the knowledge of the Company,
all such Intellectual Property Rights are enforceable and there is no existing infringement by another Person of any of the Intellectual
Property Rights.

 

    	Appendix H, Page 9

     

    

 

(m) Insurance.
The Company and the Subsidiaries are insured by insurers of recognized financial responsibility against such losses and risks
and in such amounts as are prudent and customary in the businesses in which the Company and the Subsidiaries are engaged. The
Company does not believe that it will be unable to renew its existing insurance coverage as and when such coverage expires or
to obtain similar coverage from similar insurers as may be necessary to continue its business without a material increase in cost.

 

(n) Transactions
With Affiliates and Employees. Other than set forth in the SEC Documents, none of the officers or directors of the Company
and, to the knowledge of the Company, none of the employees of the Company is currently a party to any transaction with the Company
or any Subsidiary (other than for services as employees, officers and directors), including any contract, agreement or other arrangement
providing for the furnishing of services to or by, providing for rental of real or personal property to or from, or otherwise
requiring payments to or from any officer, director or such employee or, to the knowledge of the Company, any entity in which
any officer, director, or any such employee has a substantial interest or is an officer, director, trustee or partner.

 

(o) Internal
Accounting Controls. The Company and the Subsidiaries maintain a system of internal accounting controls sufficient to
provide reasonable assurance that (i) transactions are executed in accordance with management’s general or specific
authorizations, (ii) transactions are recorded as necessary to permit preparation of financial statements in conformity with
generally accepted accounting principles and to maintain asset accountability, (iii) access to assets is permitted only in
accordance with management’s general or specific authorization, and (iv) the recorded accountability for assets is
compared with the existing assets at reasonable intervals and appropriate action is taken with respect to any
differences.

 

(p) Certain
Fees. Except for transactions with the Placement Agent, no brokerage or finder’s fees or commissions are or will be
payable by the Company to any broker, financial advisor or consultant, finder, placement agent, investment banker, bank or other
Person with respect to the transactions related to the Offering.

 

(q) Investment
Company. The Company is not, and is not an affiliate of, an “investment company” within the meaning of the Investment
Company Act of 1940.

 

(r)
Taxes. The Company and the Subsidiaries have timely made or filed all federal, state and foreign income and all other tax
returns, reports and declarations required by any jurisdiction to which the Company or such Subsidiaries are subject (unless and
only to the extent that the Company or such Subsidiaries have set aside on their books provisions reasonably adequate for the
payment of all unpaid and unreported taxes) and have timely paid all taxes and other governmental assessments and charges that
are material in amount, shown or determined to be due on such returns, reports and declarations, except those being contested
in good faith, and have set aside on their books provisions reasonably adequate for the payment of all taxes for periods subsequent
to the periods to which such returns, reports or declarations apply. To the Company’s knowledge, there are no unpaid taxes
of the Company and the Subsidiaries in any material amount claimed to be due by the taxing authority of any jurisdiction. Neither
the Company nor the Subsidiaries have executed a waiver with respect to the statute of limitations relating to the assessment
or collection of any foreign, federal, state or local tax. None of the Company’s or any of its Subsidiaries’ tax returns
is currently being audited by any taxing authority.

 

    	Appendix H, Page 10

     

    

 

(s) Disclosure.
The Company confirms that neither it, nor to its knowledge, any other Person acting on its behalf has provided any prospective
purchasers of the Securities or their agents or counsel with any information that the Company believes constitutes material, non-public
information. The Company understands and confirms that the prospective purchasers will rely on the foregoing representations and
covenants in effecting transactions in securities of the Company. All disclosure provided to the prospective purchasers regarding
the Company, its business and the transactions contemplated hereby, furnished by or on behalf of the Company (including the Company’s
representations and warranties set forth in this Subscription Agreement) are true and correct in all material respects and do
not contain any untrue statement of a material fact or omit to state any material fact necessary in order to make the statements
made therein, in light of the circumstances under which they were made, not misleading.

 

(t) Foreign
Corrupt Practices. Neither the Company, nor to the knowledge of the Company, any agent or other Person acting on behalf of
the Company, has (i) directly or indirectly, used any funds for unlawful contributions, gifts, entertainment or other unlawful
expenses related to foreign or domestic political activity, (ii) made any unlawful payment to foreign or domestic government officials
or employees or to any foreign or domestic political parties or campaigns from corporate funds, (iii) failed to disclose fully
any contribution made by the Company (or made by any Person acting on its behalf of which the Company is aware) which is in violation
of law, or (iv) violated in any material respect any provision of the Foreign Corrupt Practices Act of 1977, as amended.

 

6. Validity
of Securities. The Company represents and warrants to the Undersigned that the Units, the Notes and the shares of Common Stock
being sold as part of the Units have been duly authorized and, when issued and paid for in accordance with the terms of the Transaction
Documents, will be duly and validly issued, fully paid and nonassessable and free and clear of all liens, other than restrictions
on transfer provided for in the Transaction Documents or imposed by applicable securities laws, and shall not be subject to preemptive
or similar rights of stockholders. The Warrants have been duly authorized, and, when issued and paid for in accordance with the
terms of the Transaction Documents, will be duly and validly issued, free and clear of all Liens, other than restrictions on transfer
provided for in the Transaction Documents or imposed by applicable securities laws, and shall not be subject to preemptive or
similar rights of stockholders. The shares of Common Stock issuable upon conversion of the Notes and exercise of the Warrants
have been duly authorized, and when issued upon conversion of the Notes and paid for in accordance with the terms of the Transaction
Documents and the Warrants, will be duly and validly issued, fully paid and nonassessable, free and clear of all Liens, other
than restrictions on transfer provided for in the Transaction Documents or imposed by applicable securities laws, and shall not
be subject to preemptive or similar rights of stockholders. Assuming the accuracy of the representations and warranties of the
Purchasers in this Agreement, the Securities will be issued in compliance with all applicable federal and state securities laws.

 

7. Indemnity.
The Subscriber agrees to indemnify and hold harmless the Company, EdgePoint, the Placement Agent, and their respective officers,
directors, employees, attorneys and agents, and any other Persons authorized by the Company to participate in the offer and/or
sale of the Units against any and all loss, liability, claim, damage and expenses (including, but not limited to, any and all
expenses reasonably incurred in investigating, preparing or defending against litigation commenced or threatened or any claim
whatsoever) arising out of or based upon any breach of or failure by the Subscriber to comply with any representation, warranty,
covenant or agreement made by the Subscriber herein or in any other document furnished by the Subscriber to any of the foregoing
in connection with this transaction.

 

    	Appendix H, Page 11

     

    

 

8.
Representation and Covenant Relating to Short Sales. The Purchaser represents that she/he has never held a short position
in the Company’s Common Stock and covenants that she/he will never short the Common Stock as long as she/he owns the Common
Stock or securities convertible into shares of the Company’s Common Stock.

 

9.
Modification. Neither this Subscription Agreement nor any provisions hereof shall be modified, changed, discharged or terminated
except by an instrument in writing signed by the party against whom any waiver, change, discharge or termination is sought.

 

10.
Notices. All notices, consents, requests, demands, offers, reports and other communications required or permitted to be
given pursuant to this Subscription Agreement shall be in writing and shall be considered properly given or made when personally
delivered to the party entitled thereto, or when sent by a nationally recognized overnight delivery service, confirmed electronic
or facsimile transmission, or by United States mail in a sealed envelope, with postage prepaid, addressed, if to the Company,
to the address given above, and if to the Subscriber, to the address set forth opposite the Subscriber’s signature on the
counterpart of this Subscription Agreement that the Subscriber originally executes and delivers to the Company. The Company may
change its address by giving notice thereof to all Unit purchasers.

 

11.
Counterparts. This Subscription Agreement may be executed in multiple counterpart copies, each of which shall be considered
an original and all of which shall constitute one and the same instrument binding on all the parties, notwithstanding that all
parties are not signatures to the same counterpart.

 

12.
Successors and Assigns. This Subscription Agreement and all of the terms and provisions hereof shall be binding upon and
inure to the benefit of the parties and their respective heirs, executors, administrators, successors, trustees, legal representatives
and assigns. If the Subscriber is more than one person, the obligation of the Subscriber shall be joint and several and the agreements,
representations, warranties and acknowledgments herein contained shall be deemed to be made by and be binding upon each such person
and her/his heirs, executors, administrators, successors, trustees, legal representatives and assigns.

 

13.
Transferability. The Undersigned may not transfer or assign this Subscription Agreement or any interest of the Undersigned’s
herein and any attempt to effect such a transfer shall be void. The assignment and transferability of the Units and Underlying
Securities acquired by the Undersigned pursuant hereto shall be made only in accordance with the provisions of this Subscription
Agreement, the Securities Act and the Rules and Regulations promulgated thereunder and applicable state securities laws.

 

14.
Applicable Law and Venue. This Subscription Agreement shall be governed by and construed in accordance with the laws of
the State of California applicable to contracts made and to be performed entirely within such State and the venue for all legal
action that may be instituted relating to this Agreement and the Offering will be the county of Los Angeles in the State of California.

 

    	Appendix H, Page 12

     

    

 

15.
Gender. The use herein of the masculine pronouns or similar terms shall be deemed to include the feminine and neuter genders
as well and vice versa and the use of the singular pronouns shall be deemed to include the plural as well and vice versa.

 

16.
Severability. If one or more of the provisions or portions of this Subscription Agreement shall be deemed by any court
or quasi-judicial authority to be invalid, illegal or unenforceable in any respect, the invalidity, illegality or unenforceability
of the remaining provisions, or portions of provisions contained herein shall not in any way be affected or impaired thereby.

 

(Subscription
Signature Section to follow)

 

    	Appendix H, Page 13

     

    

 

SUBSCRIPTION
SIGNATURE SECTION MATEON THERAPEUTICS, INC.

 

_______________ (Date)

SUBSCRIPTION
AGREEMENT AND INVESTMENT LETTER

 

The
undersigned (the “Undersigned” or “Subscriber”) hereby purchases Units from Mateon Therapeutics,
Inc. (the “Company”) pursuant to the terms of the Subscription Agreement dated ______________________ (Date)
(the “Subscription Agreement”) of which this Subscription Signature Section is a part. All terms in this
Subscription Signature Section have the meanings defined elsewhere in this Subscription Agreement.

 

Subscriber
Representations.

 

The
Subscriber hereby acknowledges, represents and warrants to, and agrees with the Company as follows:

 

(a)
The Subscriber is acquiring the Units and Underlying Securities for the Subscriber’s own account as principal for investment
and not with a view to resale, distribution or fractionalization in whole or in part, and has no current agreement, understanding
or arrangement to subdivide, sell, assign or otherwise dispose of all or any part of the Units and/or Underlying Securities and
understands that there is no public market for the Units, the Notes, EdgePoint’s Common Stock, or the Warrants, and, except
for EdgePoint’s Common Stock, none is expected to develop in the foreseeable future, if ever. She/he does not have any contract,
undertaking, agreement or arrangement with any Person to sell, transfer or grant participations to such Person or to any third
Person, with respect to the Units and/or Underlying Securities for which she/he is subscribing.

 

(b)
The Units and Underlying Securities that the Subscriber is purchasing and the Underlying Securities into which the Notes may be
converted and the Warrants may be exercised have not been registered under the Securities Act or qualified under applicable state
securities laws and the registration provisions of the Securities Act as well as the qualification provisions of such state laws
thereof restrict their transferability. Based upon the representations and agreements being made by her/him herein, the Subscriber
acknowledges that the offering and sale of the Units are intended to be exempt from registration under the Securities Act by virtue
of Section 4(a)(2) thereof and applicable Rules and Regulations adopted thereunder, and that:

 

1.
the Undersigned’s Units and Underlying Securities cannot be sold, pledged, assigned or otherwise disposed of unless they
are subsequently registered under the Securities Act and/or qualified under applicable state securities laws or, in the reasonable
opinion of the Company’s counsel, an exemption from such registration and/or qualification is available;

 

2.
Sales or transfers of the Undersigned’s Units and Underlying Securities are further restricted by the provisions of state
securities laws;

 

3.
the Company is under no obligation to assist the Undersigned in complying with any exemption from registration under the Securities
Act or qualification under any state securities law, or, except
as may be provided in the Registration Rights Agreement, to register the Units or Underlying Securities on the Undersigned’s
behalf;

 

    	Appendix H, Page 14

     

    

 

4.
the certificates or other documentation representing the Undersigned’s Underlying Securities will bear, in substance, the
following legend:

 

These
securities have not been registered under the Securities Act of 1933. They may not be sold or transferred in the absence of an
effective Registration Statement under that Act without an opinion of counsel satisfactory to the Company that such Registration
is not required.;

 

5.
the Company will place stop-transfer instructions on its books and with the transfer agent of its securities with respect to the
Units and Underlying Securities registered in the name of the Undersigned or beneficially owned by her/him.

 

The
Undersigned further acknowledges that the basis for these exemptions may not be available if, notwithstanding such representations,
she/he only intends to hold these securities for a fixed or determinable period in the future, or until the market price rises
or falls and she/he hereby represents and warrants that she/he does not have any such intention.

 

(c)
The Subscriber: (A) by herself/himself or together with her/his Purchaser Representative, if any, has such knowledge and experience
in financial, business and tax matters that she/he is capable of evaluating the merits of the prospective purchase of the Units
and making an investment decision with respect to the Company and EdgePoint; (B) has had substantial experience in previous private
and public purchases of speculative securities and is not relying on the Company, the Placement Agent, or any of their respective
affiliates or attorneys with respect to economic, tax or other considerations involved in this investment; and (C) is able to
bear the economic risk of this investment (i.e., she/he can afford a complete loss of her/his investment). In this
regard, her/his overall commitment to investments, which are not readily marketable, is not disproportionate to her/his net worth,
and her/his purchase of the Units will not cause such overall commitment to become excessive.

 

(d)
The Subscriber understands and acknowledges that an investment in the Company and EdgePoint is speculative and subject to many
risks. In this regard, the Company cannot assure her/him that all of the Units will be sold. Accordingly, the Company’s
operations and financial condition will be adversely affected to the extent that less than all of the Units are sold, especially
because it currently has no commitment for any financing.

 

(e)
_________ (insert name of Purchaser Representative: if none, leave blank) has acted as the Undersigned’s Purchaser
Representative for purposes of the private placement exemption under the Securities Act. If the Undersigned has appointed a
Purchaser Representative (which term is used herein with the same meaning as given in Rule 501(h) of Regulation D), she/he
has been advised by her/his Purchaser Representative as to the merits and risks of an investment in the Company in general
and the suitability of the Units as an investment for the Undersigned in particular, and is aware that the Purchaser
Representative may be receiving compensation from the Company in connection with the services being performed by such
Purchaser Representative for the Undersigned relating to her/his purchase of the Units.

 

    	Appendix H, Page 15

     

    

 

(f)
If applicable, the Subscriber has reviewed carefully the definition of “accredited investor” as set forth below, and
the particular subparagraph or subparagraphs by which the Undersigned qualifies as such is (are) checked by her/him below.

 

(g)
The Subscriber has carefully reviewed the Confidential Offering Memorandum dated ______________________ (Date) including
the Risk Factors section set forth therein and in the SEC Documents

 

THE
UNDERSIGNED UNDERSTANDS THAT, BECAUSE OF THE SIGNIFICANT RISK FACTORS SET FORTH IN THE CONFIDENTIAL OFFERING MEMORANDUM AND IN
THE SEC DOCUMENTS, INCLUDING BUT NOT LIMITED TO THE RISK FACTORS SET FORTH IN THE DESCRIPTION OF RISK FACTORS DISCLOSED IN THE
CONFIDENTIAL OFFERING MEMORANDUM AND THE SEC DOCUMENTS, IF THE OFFERING IS CONSUMMATED, SHE/HE COULD LOSE HER/HIS ENTIRE INVESTMENT.

 

(balance
of this page left blank intentionally)

 

    	Appendix H, Page 16

     

    

 

Definition
of Accredited Investor

 

The
Undersigned represents that she/he is an “accredited investor” as that term is defined in Rule 501 (a) of Regulation
D promulgated under the Securities Act as follows (CHECK APPLICABLE BOXES):

 

(A)
Certain banks, savings and loan institutions, broker-dealers, investment companies and other entities including an employee benefit
plan within the meaning of Title I of the Employee Retirement Income Security Act of 1974 with total assets in excess of $5,000,000;
any private business development company as defined in Section 202 (a) (22) of the Investment Advisers Act of 1940; any organization
described in Section 501 (c) (3) of the Internal Revenue Code, corporation, Massachusetts or similar business trust, or partnership,
not formed for the specific purpose of acquiring the Units, with total assets in excess of $5,000,000; or any trust with total
assets in excess of $5,000,000 not formed for the specific purpose of acquiring the securities offered, whose purchase is directed
by a sophisticated person as described in Section 230.506(b) (2) (ii) of Regulation D;

 

(B)
Any natural person whose individual net worth, or joint net worth with that person’s spouse, at the time of her/his purchase
exceeds $1,000,000 excluding the value of that person’s personal residence;

 

(C)
Any natural person who had an individual income in excess of $200,000 or, with that person’s spouse a joint income in excess
of $300,000 in each of the two most recent years and who reasonably expects an income in excess of $200,000, or $300,000 with
that person’s spouse, in the current year;

 

(D)
Any Individual Retirement Account and the individual who established the IRA is an accredited investor on the basis of (B) or
(C) above;

 

(E)
Any director, executive officer or general partner of the issuer of the securities being offered or sold, or any director, executive
officer or general partner of a general partner of that issuer; or

 

(F)
Any entity in which all of the equity owners are accredited investors under any of the paragraphs above.

 

In
connection with the foregoing representations the Undersigned has appended hereto as Appendix F, a Purchaser Questionnaire that
she/he has completed and executed. She/he represents and warrants that the information set forth therein as well as all other
information which she/he is furnishing to the Company with respect to her/his financial condition and business and investment
experience is accurate and complete as of the date hereof and she/he covenants that, in the event a material change should occur
in such information, she/he will immediately provide the Company with such revised or corrected information.

 

(h)
The Subscriber has adequate means of providing for her/his current needs and possible personal contingencies, has no need for
liquidity of this investment and has no reason to anticipate any change in personal circumstances, financial or otherwise, which
might cause or require any sale or distribution of the Units and/or Underlying Securities.

 

    	Appendix H, Page 17

     

    

 

(i)
The Subscriber is familiar with the nature of the risks attending investments in securities and has determined that the purchase
of the Units is consistent with her/his investment objectives and income prospects.

 

(j)
The Subscriber’s purchase of the Units has not been solicited by means of general solicitation or general advertisement,
and the Subscriber has not been furnished with any oral representation or oral information in connection with the Offering which
is not set forth in the Confidential Offering Memorandum or herein or in the Exhibits thereto or hereto or in the SEC Documents.

 

(k)
The Subscriber has received, reviewed and understands the Confidential Offering Memorandum and this Subscription Agreement, including
all of the Exhibits attached thereto and hereto, has reviewed the SEC Documents, and has been granted a reasonable time prior
to the date hereof during which she/he has had the opportunity to obtain such additional information as she/he deemed necessary
to permit her/him to make an informed decision with respect to the purchase of her/his Units. She/he also represents and warrants
that she/he (A) has reviewed such other documents and obtained such other information from the Company as she/he deems necessary
in order for her/him to make an informed investment decision; (B) has had access to all relevant documents, instruments, books,
and other records of or pertaining to the Company and has had the opportunity to ask questions of and receive answers from management
and other representatives of the Company and requires no additional information or documentation; and (C) is fully aware of the
current business prospects, financial condition, and operating history as set forth herein and in the Exhibits to the Confidential
Offering Memorandum and hereto and in the SEC Documents relating to the Company.

 

(l)
Other than information given to the Subscriber as described in Paragraph (k) above, no representations or warranties have
been made to the Undersigned by the Company, the Placement Agent or any other Person in connection with this Offering, or any
officer, employee, agent or affiliate of the Company or the Placement Agent, other than the representations made by the Company
set forth in the Confidential Offering Memorandum or herein and she/he is not relying upon any representations other than those
described in Paragraph (k) above.

 

(m)
The Subscriber is not relying on the Company, the Placement Agent or this Subscription Agreement with respect to individual tax
and other economic considerations involved in this investment and acknowledges that her/his investment in the Company is not a
tax shelter.

 

(n)
If for any reason this Offering does not close or the Company does not accept the Undersigned’s subscription, the Undersigned
shall have no claims against the Company, the Placement Agent, or their respective officers, directors, employees, attorneys or
affiliates, and shall have no interest in the Units, the Underlying Securities or the Company.

 

(o)
If the Subscriber is a corporation, limited liability company, partnership, trust or other entity: (A) it is authorized and qualified
to become a stockholder in, and authorized to make its investment in, the Company as provided herein; (B) it was not formed for
the purpose of purchasing the Units; (C) the person signing this Subscription Agreement on behalf of such entity has been duly
authorized by such entity to do so and by her/his execution of the Subscription Agreement, the Subscription Agreement constitutes
a valid and legally binding obligation by the Subscriber; and (D) the Undersigned is duly organized and validly existing under
the laws of its state of organization.

 

    	Appendix H, Page 18

     

    

 

(p)
If the Subscriber is an individual, she/he is over 21 years of age; or, if the Subscriber is a partnership, trust or other entity,
each equity owner of such entity is over 21 years of age.

 

(q)
The Undersigned has full power and authority to enter into this Subscription Agreement and, upon execution by the Undersigned,
the Subscription Agreement will constitute the Undersigned’s valid and legally binding obligation.

 

(r)
This Subscription Agreement, together with the Exhibits hereto, constitutes the entire agreement of the parties hereto, and supersedes
all prior understandings with respect to the subject matter hereof.

 

(s)
The address set forth below is the Undersigned’s (if an individual) true and correct residence, and the Undersigned has
no current intention of becoming a resident of any other state or jurisdiction prior to the date on which payment in full for
her/his Units will be made. If the Undersigned is a partnership, corporation or other entity, such address is such entity’s
principal place of business.

 

(t)
All information which the Subscriber has heretofore furnished to the Company in this Subscription Agreement or any Exhibits thereto,
is correct and complete as of the date of this Subscription Agreement and if there should be any material change in such information
prior to her/his purchase of the Units she/he will immediately furnish such revised or corrected information to the Company.

 

(u)
The foregoing representations, warranties and agreements shall survive the date of this Subscription Agreement and the final Closing
of the Offering.

 

THE
UNDERSIGNED ACKNOWLEDGES THAT THIS SUBSCRIPTION AGREEMENT CONSISTS OF 27 PAGES AND ALSO INCLUDES APPENDICES A THROUGH H WHICH
ARE PART OF THE MEMORANDUM ATTACHED AS EXHIBIT A.

 

(Subscription
Page to follow)

 

    	Appendix H, Page 19

     

    

 

Subscription
Page

 

A.
SUBSCRIPTION:

 

Number
of Units purchased ________________________ Aggregate Purchase Price ___________________

 

B.
MANNER IN WHICH TITLE IS TO BE HELD (Please check One):

 

	1.	□	Individual
	2.	□	Joint
    Tenants with Right of Survivorship
	3.	□	Community
    Property
	4.	□	Tenants
    in Common
	5.	□	Corporation/Partnership/
    Limited Liability Company
	6.	□	IRA
	7.	□	Trust/Estate/Pension
    or Profit Sharing Plan, and date opened: ___________
	8.	□	As
    a Custodian for__________________UGMA____________(State)
	9.	□	Married
    with Separate Property
	10.	□	Keogh
	11.	□	Tenants
    by Entirety
	12.	□	Other:
    ______________________________________________

 

C.
TITLE:

 

PLEASE
GIVE THE EXACT AND COMPLETE NAME IN WHICH TITLE TO THE UNITS ARE TO BE HELD:___________

 _____________________________________________________________________________________________

______________________________________________________________________________________________

 

(signature
page to follow)

 

    	Appendix H, Page 20

     

    

 

Signature
Page

 

IN
WITNESS WHEREOF, the Purchaser has executed this Subscription Agreement on the day______
of _____, 2020.

 

Name
(of Entity if applicable):

 

	 	 Signature:
	 	 
	 	 Signature:
	 	 
	 	 Name:
	 	 
	 	 Name:
	 	 
	 	 Title (if applicable):
	 	 
	 	 

 

Address:

 

	Street or City State Zip	 	 

 

Address for Notices:

 

	Street or City State Zip

                           P.O. Box No.
	 	 

 

	Facsimile Number: ___________________________	Email	_______________________________________

 

	Address: Social Security or Federal Tax ID
    Number:	 ______________________________________________

 

	ACCEPTED
    ON BEHALF OF THE COMPANY: MATEON THERAPEUTICS, INC.	 
	 	 	 
	BY:	 	 
	Name:	Vuong
    Trieu Title: President and CEO	 

 

    	Appendix H, Page 21Exhibit
10.3

 

Warrant
– No.: [•]

 

THIS
WARRANT AND ANY SHARES ACQUIRED UPON THE EXERCISE OF THIS WARRANT HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933 AND
MAY NOT BE TRANSFERRED, SOLD OR OTHERWISE DISPOSED OF EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER SUCH ACT OR
AN OPINION OF COUNSEL REASONABLY SATISFACTORY TO THE COMPANY THAT REGISTRATION IS NOT REQUIRED UNDER SUCH ACT.

 

EDGEPOINT
AI, INC.

 

COMMON
STOCK PURCHASE WARRANT

 

______________ (Date)

 

THIS
COMMON STOCK PURCHASE WARRANT (this “Warrant”) to purchase the common stock (the “EdgePoint Common
Stock”) of EdgePoint AI, Inc. (“EdgePoint”), a corporation duly organized and validly existing under the
laws of Delaware (the “Company”), is issued to the Holder (as defined below). The Company is a wholly-owned
subsidiary of Mateon Therapeutics, Inc. “Mateon”). This Warrant is issued to the Holder as part of a unit purchased
by the Holder from Mateon pursuant to which the Holder is also purchasing notes from Mateon convertible into shares of Mateon
common stock (the “Mateon Common Stock”) and shares of EdgePoint Common Stock, and warrants, including this
Warrant, to purchase shares of Edgemont Common Stock (the “Company Warrants”) and warrants to purchase shares
of Mateon Common Stock, (the “Offering”).

 

FOR
VALUE RECEIVED, the Company hereby certifies that the registered holder hereof, [●], with an address at [●], and the
Holder’s successors and assigns (the “Holder”), is entitled to purchase from the Company [●] duly
authorized, validly issued, fully paid and nonassessable shares of EdgePoint Common Stock, at a purchase price equal to $1.00
per share, as may be adjusted pursuant to the anti-dilution provisions set forth herein (the “Warrant Price”).
The Holder is registered on the records of the Company regarding registration and transfer of the Warrant (the “Warrant
Register”) and is the owner and Holder thereof for all purposes, except as described in Section 13 hereof.

 

1.
Warrant Exercise. This Warrant shall be immediately exercisable on the date

hereof.

 

2.
Expiration or Partial Expiration of Warrant. This Warrant shall expire on the earlier of the date that is three years after
the initial closing date of the Offering or as set forth in the balance of this Section (the “Expiration Date”).
Each time warrants to purchase Mateon common stock included in the Offering are exercised a comparable number of Company Warrants,
or parts thereof, will terminate. Accordingly, this Warrant will terminate or partially terminate so that the number of Warrant
Shares issuable upon exercise of this Warrant may be reduced in conformance with that requirement as determined by Mateon. Mateon
will notify the Holder in the event that this Warrant terminates or is partially terminated based thereon.

 

    	Appendix C-1

     

    

 

Common
Stock Purchase Warrant

Issued by EdgePoint AI, Inc.

 

3.
Exercise of Warrant. This Warrant shall be exercisable pursuant to the terms of Section 1 and this Section 3
hereof.

 

3.1
Manner of Exercise. This Warrant may only be exercised by the Holder hereof, in accordance with the terms and conditions
hereof, in whole or in part with respect to any portion of this Warrant, into shares of Common Stock (the “Warrant Shares”),
during normal business hours on any day other than a Saturday or a Sunday or a day on which commercial banking institutions in
New York, New York are authorized by law to be closed (a “Business Day”) on or prior to the Expiration Date
with respect to such portion of this Warrant, by surrender of this Warrant to Mateon at its office maintained pursuant to Section
12.2(a) hereof, accompanied by an exercise notice (the “Exercise Notice”) in substantially the form attached
to this Warrant as Exhibit A (or a reasonable facsimile thereof) duly executed by the Holder, together with the payment
of the Warrant Price.

 

Anything
to the contrary notwithstanding, in no event shall the Holder be entitled to exercise any portion of this Warrant in excess of
that portion of this Warrant upon exercise of which the sum of (1) the number of shares of Common Stock beneficially owned by
the Holder and the Holder’s affiliates (other than shares of Common Stock which may be deemed beneficially owned through
the ownership of the unexercised portion of the Warrant or the unexercised or unconverted portion of any other of the Company’s
securities subject to a limitation on conversion or exercise analogous to the limitations contained herein) and (2) the number
of shares of Common Stock issuable upon the exercise of the portion of this Warrant with respect to which the determination of
this proviso is being made, would result in beneficial ownership by the Holder and its affiliates of more than 9.99% of the outstanding
shares of Common Stock (the “Ownership Limitation”). Beneficial ownership shall be determined in accordance
with Section 13(d) of the Securities Exchange Act of 1934 (the “Exchange Act”), and Regulations 13D - G thereunder;
provided, further, that the limitations on exercised may be waived by the Holder upon, at the election of the Holder,
not less than 61 days’ prior notice to the Company, and the provisions of the exercise limitation shall continue to apply
until such 61st day (or such later date, as determined by the Holder, as may be specified in such notice of waiver).

 

3.2
When Exercise Effective. Each exercise of this Warrant shall be deemed to have been effected immediately prior to the close
of business on the Business Day on which this Warrant shall have been surrendered to the Company as provided in Section 3.1
hereof, and, at such time, the corporation, association, partnership, organization, business, individual, government or political
subdivision thereof or a governmental agency (a “Person” or the “Persons”) in whose name
or names any certificate or certificates for shares of Common Stock shall be issuable upon exercise as provided in Section
3.3 hereof shall be deemed to have become the holder or holders of record thereof.

 

    	Appendix C-2

     

    

 

Common
Stock Purchase Warrant

Issued by EdgePoint AI, Inc.

 

3.3
Delivery of Certificates Upon Exercise. Certificates for shares purchased hereunder shall be transmitted by the Company’s
transfer agent (the “Transfer Agent”) to the Holder by crediting the account of the Holder’s prime broker
with the Depository Trust Company through its Deposit Withdrawal Agent Commission (“DWAC”) system if the Company
is then a participant in such system and there is an effective Registration Statement permitting the issuance of the Warrant Shares
to or resale of the Warrant Shares by the Holder, and otherwise by physical delivery to the address specified by the Holder in
the Exercise Notice by the date that is three Business Days after the latest of (A) the delivery to the Company of the Exercise
Notice, (B) surrender of this Warrant and (C) payment of the aggregate Exercise Price as set forth above (such date, the “Warrant
Share Delivery Date”). If the Company fails for any reason to deliver to the Holder certificates evidencing the Warrant
Shares via the DWAC system or a certificate, or certificates, subject to an Exercise Notice by the Warrant Share Delivery Date,
the Company shall pay to the Holder, in cash, as liquidated damages and not as a penalty, for each $1,000 of Warrant Shares subject
to such exercise (based on the closing price of the Common Stock on the date of the applicable Exercise Notice), $10 per Business
Day (increasing to $20 per Business Day on the fifth Business Day after such liquidated damages begin to accrue) for each Business
Day after such Warrant Share Delivery Date until such certificates are delivered or the Holder rescinds such exercise.

 

3.4
Rescission Rights. If the Company fails to cause the Transfer Agent to transmit the Warrant Shares to the Holder via the
DWAC system or a certificate or certificates representing the Warrant Shares pursuant to Section 3.3 by the Warrant Share
Delivery Date, then the Holder will have the right to rescind such exercise.

 

3.5
Compensation for Buy-In on Failure to Timely Deliver Certificates Upon Exercise. In addition to any other rights available
to the Holder, if the Company fails to cause the Transfer Agent to transmit the Warrant Shares to the Holder via the DWAC system
or a certificate or certificates representing the Warrant Shares pursuant to an exercise on or before the Warrant Share Delivery
Date as provided in Section 3.3 above, and if after such date the Holder is required by its broker to purchase (in an open
market transaction or otherwise) or the Holder’s brokerage firm otherwise purchases, shares of Common Stock to deliver in
satisfaction of a sale by the Holder of the Warrant Shares that the Holder anticipated receiving upon such exercise (a “Buy-In”),
then the Company shall (A) pay in cash to the Holder the amount, if any, by which (x) the Holder’s total purchase price
(including brokerage commissions, if any) for the shares of Common Stock so purchased exceeds (y) the amount obtained by multiplying
(1) the number of Warrant Shares that the Company was required to deliver to the Holder in connection with the exercise at issue
times (2) the price at which the sell order giving rise to such purchase obligation was executed, and (B) at the option of the
Holder, either reinstate the portion of the Warrant and equivalent number of Warrant Shares for which such exercise was not honored
(in which case such exercise shall be deemed rescinded) or deliver to the Holder the number of shares of Common Stock that would
have been issued had the Company timely complied with its exercise and delivery obligations hereunder. For example, if the Holder
purchases Common Stock having a total purchase price of $11,000 to cover a Buy-In with respect to an attempted exercise of shares
of Common Stock with an aggregate sale price giving rise to such purchase obligation of $10,000, under clause (A) of the immediately
preceding sentence, the Company shall be required to pay the Holder $1,000. The Holder shall provide the Company written notice
indicating the amounts payable to the Holder in respect of the Buy-In and, upon request of the Company, reasonable evidence of
the amount of such loss. Nothing herein shall limit a Holder’s right to pursue any other remedies available to it hereunder,
at law or in equity including, without limitation, a decree of specific performance and/or injunctive relief with respect to the
Company’s failure to timely deliver certificates representing shares of Common Stock upon exercise of the Warrant as required
pursuant to the terms hereof.

 

    	Appendix C-3

     

    

 

Common
Stock Purchase Warrant

Issued by EdgePoint AI, Inc.

 

3.6
Partial Exercise. In case exercise is in part only, a new Warrant of like tenor, dated the date hereof and calling in the
aggregate on the face thereof for the number of Warrant Shares equal to the number of Warrant Shares called for on the face of
this Warrant minus the number of Warrant Shares designated by the Holder upon exercise as provided in Section 3.1 hereof
(without giving effect to any adjustment thereof).

 

3.7
Company to Reaffirm Obligations. The Company will, at the time of each exercise of this Warrant and upon the written request
of the Holder hereof, acknowledge in writing its continuing obligation to afford to the Holder all rights (including without limitation
any rights to registration of the Warrant Shares issued upon exercise) to which the Holder shall continue to be entitled after
exercise in accordance with the terms of this Warrant; provided, however, that if the Holder shall fail to make
a request, the failure shall not affect the continuing obligation of the Company to afford the rights to such Holder.

 

4.
Warrant Adjustments.

 

The
Warrant Price and the number of shares purchasable upon exercise of this Warrant shall be subject to adjustment with respect to
events after the date hereof as follows:

 

(a)
Adjustment for Change in Capital Stock. Except as provided in Subsection 4(b) below, if the Company shall (i) declare
a dividend on its outstanding Common Stock in shares of its capital stock, (ii) subdivide its outstanding Common Stock, or (iii)
issue any shares of its capital stock by reclassification of its Common Stock (including any such reclassification in connection
with a consolidation or merger in which the Company is the continuing corporation), then in each such case the Warrant Price in
effect immediately prior to such action shall be adjusted so that if this Warrant is thereafter exercised, the Holder may receive
the number and kind of shares which it would have owned immediately following such action if it had exercised this Warrant immediately
prior to such action. Such adjustment shall be made successively whenever such an event shall occur. The adjustment shall become
effective immediately after the record date in the case of a dividend or distribution and immediately after the effective date
in the case of a subdivision or reclassification. If after an adjustment the Holder upon exercise of this Warrant may receive
shares of two or more classes of capital stock of the Company, the Company’s Board of Directors, in good faith, shall determine
the allocation of the adjusted Warrant Price between the classes of capital stock. After such allocation, the Warrant Price of
each class of capital stock shall thereafter be subject to adjustment on terms comparable to those applicable to Common Stock
in this Section 4.

 

(b)
Number of Shares. Upon each adjustment of the Warrant Price as a result of the calculations made in Subsection 4(a)
above, this Warrant shall thereafter evidence the right to purchase, at the adjusted Warrant Price, that number of shares
(calculated to the nearest one- hundredth) obtained by dividing (i) the product obtained by multiplying the number of shares issuable
upon exercise of this Warrant prior to adjustment of the number of shares by Warrant Price in effect prior to adjustment of the
Warrant Price by (ii) the Warrant Price in effect after such adjustment of the Warrant Price.

 

    	Appendix C-4

     

    

 

Common
Stock Purchase Warrant

Issued by EdgePoint AI, Inc.

 

(c)
Transactions Not Requiring Adjustments. No adjustment need be made for a transaction referred to in Subsection 4(a)
if the Holder is permitted to participate in the transaction on a basis no less favorable than any other party and at a level,
which would preserve the Holder’s percentage equity participation in the Common Stock upon exercise of this Warrant.

 

(d)
Action to Permit Valid Issuance of Common Stock. Before taking any action which would cause an adjustment reducing the
Warrant Price below the then par value, if any, of the shares of Common Stock issuable upon exercise of this Warrant, the Company
will take all corporate action which may, in the opinion of its counsel, be necessary in order that the Company may validly and
legally issue shares of such Common Stock at such adjusted Warrant Price.

 

(e)
Minimum Adjustment. No adjustment in the Warrant Price shall be required if such adjustment is less than $0.05; provided,
however, that any adjustments, which by reason of this Subsection 4 (e) are not required to be made, shall be carried forward
and taken into account in any subsequent adjustment. All calculations under this Section 4 shall be made to the nearest
cent or to the nearest one-hundredth of a share, as the case may be. Anything to the contrary notwithstanding, the Company shall
be entitled to make such reductions in the Warrant Price, in addition to those required by this Subsection 4(e), as it
in its discretion shall determine to be advisable in order that any stock dividends, subdivision of shares, distribution of rights
to purchase stock or securities, or distribution of securities convertible into or exchangeable for stock hereafter made by the
Company to its stockholders shall not be taxable.

 

(f)
Referral of Adjustment. In any case in which this Section 4 shall require that an adjustment in the Warrant Price
be made effective as of a record date for a specified event (the “Exercise Event”), if this Warrant shall have been
exercised after such record date, the Company may elect to defer until the occurrence of the Exercise Event issuing to the Holder
the shares, if any, issuable upon the Exercise Event over and above the shares, if any, issuable upon such exercise on the basis
of the Warrant Price in effect prior to such adjustment; provided, however, that the Company shall deliver to the
Holder a due bill or other appropriate instrument evidencing the Holder’ right to receive such additional shares upon the
occurrence of the Exercise Event.

 

(g)
Number of Shares. Upon each adjustment of the Warrant Price as a result of the calculations made in Subsection 4(a),
this Warrant shall thereafter evidence the right to purchase, at the adjusted Warrant Price, that number of shares (calculated
to the nearest thousandth) obtained by dividing (i) the product obtained by multiplying the number of shares purchasable upon
exercise of this Warrant prior to adjustment of the number of shares by the Warrant Price in effect prior to adjustment of the
Warrant Price by (ii) the Warrant Price in effect after such adjustment of the Warrant Price.

 

(h)
Notice of Adjustments. Whenever the Warrant Price is adjusted, the Company shall promptly mail to the Holder a notice of
the adjustment together with a certificate from the Company’s Chief Financial Officer or Treasurer briefly stating (i) the
facts requiring the adjustment, (ii) the adjusted Warrant Price and the manner of computing it, and (iii) the date on which such
adjustment becomes effective. The certificate shall be prima facia evidence that the adjustment is correct, absent manifest error.

 

    	Appendix C-5

     

    

 

Common
Stock Purchase Warrant

Issued by EdgePoint AI, Inc.

 

(i)
Reorganization of Company. If the Company is a party to a merger, consolidation or a transaction in which (i) the Company
transfers or leases substantially all of its assets; (ii) the Company reclassifies or changes its outstanding Common Stock; or
(iii) the Common Stock is exchanged for securities, cash or other assets, the Person who is the transferee or lessee of such assets
or is obligated to deliver such securities, cash or other assets shall assume the terms of this Warrant. If the issuer of securities
deliverable upon exercise of this Warrant is an affiliate of the surviving, transferee or lessee corporation, that issuer shall
join in such assumption. The assumption agreement shall provide that the Holder may exercise this Warrant into the kind and amount
of securities, cash or other assets which it would have owned immediately after the consolidation, merger, transfer, lease or
exchange if it had exercised this Warrant immediately before the effective date of the transaction. The assumption agreement shall
provide for adjustments that shall be as nearly equivalent as may be practical to the adjustments provided for in this Section
4. The successor company shall mail to the Holder a notice briefly describing the assumption agreement. If this Subsection
4(i) applies, Subsection 4(a) above does not apply. Notwithstanding the forgoing, in the event of a reorganization
of the Company, the Company shall have the right to purchase this Warrant equal to the difference between the exercise price,
as adjusted, if any, and the equivalent value of share of Common Stock determined in the Reorganization by the Company’s
Board of Directors.

 

(j)
Dissolution, Liquidation. In the event of the dissolution or total liquidation of the Company, then after the effective
date thereof, this Warrant and all rights thereunder shall expire.

 

(k)
Notices. If (i) the Company takes any action that would require an adjustment in the Warrant Price pursuant to this Section
4; or (ii) there is a liquidation or dissolution of the Company, the Company shall mail to the Holder a notice stating the
proposed record date for a distribution or effective date of a reclassification, consolidation, merger, transfer, lease, liquidation
or dissolution. The Company shall mail the notice at least 15 days before such date. Failure to mail the notice or any defect
in it shall not affect the validity of the transaction.

 

5.
Fractional Shares. If the number of Warrant Shares purchasable upon the exercise of this Warrant is adjusted pursuant to
Section 4 hereof, the Company shall nevertheless not be required to issue fractions of shares upon exercise of this Warrant
or otherwise, or to distribute certificates that evidence fractional shares. Instead the Company will issue cash in the amount
equal to the fractional share times the Current Market Price calculated to the nearest penny.

 

6.
Right to Registration. The Holder has the right to require the Company to register the Warrant Shares under the Securities
Act of 1933 (the “Act”) in accordance with the terms of an agreement (the “Registration Rights Agreement”)
dated as of the date hereof between the Company and the Holders. The date on which the first Registration Statement filed pursuant
to the Registration Rights Agreement is declared effective by the Commission is herein referred to as the “Effective Date.”

 

    	Appendix C-6

     

    

 

Common
Stock Purchase Warrant

Issued by EdgePoint AI, Inc.

 

7.
No Dilution or Impairment.

 

7.1
Actions to Permit Issuance of Warrant Shares. The Company will not, by amendment of its certificate of incorporation or
through any consolidation, merger, reorganization, transfer of assets, dissolution, issue or sale of securities or any other voluntary
action, avoid or seek to avoid the observance or performance of any of the terms of the Warrants, but will at all times in good
faith assist in the carrying out of all of the terms and in the taking of all actions necessary or appropriate in order to protect
the rights of the Holder. Without limiting the generality of the foregoing, the Company (a) will not permit the par value of any
shares of Common Stock receivable upon the exercise of the Warrants to exceed the amount payable therefor upon exercise, (b) will
take all actions necessary or appropriate in order that the Company may validly and legally issue fully paid and nonassessable
shares of Common Stock on the exercise of the Warrants, and (c) will not take any action which results in any adjustment of the
Warrant Price if the total number of shares of Common Stock issuable after the action upon the exercise of the Warrant would exceed
the total number of shares of Common Stock then authorized by the Company’s certificate of incorporation and available for
the purpose of issuance upon exercise.

 

7.2
Acknowledgement of Company’s Obligations. The Company acknowledges that its obligation to issue shares of Common
Stock issuable upon exercise of the Warrants is binding upon it and enforceable regardless of the dilution that such issuance
may have on the ownership interests of other stockholders.

 

8.
Chief Financial Officer’s Report as to Adjustments. In the case of any adjustment or re-adjustment in the shares
of Common Stock issuable upon the exercise of the Warrants, the Company at its expense will promptly compute the adjustment or
re-adjustment in accordance with the terms of the Warrants and cause its Chief Financial Officer or Treasurer to certify the computation
(other than any computation of the fair value of property as determined in good faith by the Board of Directors of the Company)
and prepare a report setting forth the adjustment or re-adjustment and showing in reasonable detail the method of calculation
thereof and the facts upon which the adjustment or re-adjustment is based, including a statement of (a) the number of shares of
Common Stock outstanding or deemed to be outstanding and (b) the Warrant Price in effect immediately prior to the deemed issuance
or sale and as adjusted and re-adjusted (if required by Section 4 hereof) on account thereof. The Company will forthwith
mail a copy of each report to the Holder and will, upon the written request at any time of the Holder, furnish to the Holder a
like report setting forth the Warrant Price at the time in effect and showing in reasonable detail how it was calculated. The
Company will also keep copies of all reports at its office maintained pursuant to Section 12.2(a) hereof and will cause
them to be available for inspection at the office during normal business hours upon reasonable notice by the Holder or any prospective
purchaser of the Warrants designated by the Holder.

 

    	Appendix C-7

     

    

 

Common
Stock Purchase Warrant

Issued by EdgePoint AI, Inc.

 

9.
Reservation of Shares. The Company shall at all times reserve and keep available out of its authorized but unissued shares
of Common Stock, free from all taxes, liens and charges with respect to the issue thereof and not be subject to preemptive rights
or other similar rights of stockholders of the Company, solely for the purpose of effecting the exercise of the Warrants, such
number of its shares of Common Stock as shall from time to time be sufficient to effect the exercise thereof, and if at any time
the number of authorized but unissued shares of Common Stock shall not be sufficient to effect the exercise of the Warrants, in
addition to such other remedies as shall be available to the Holder, the Company will take such corporate action as may, in the
opinion of its counsel, be necessary to increase the number of authorized but unissued shares of Common Stock to such number of
shares as shall be sufficient for such purposes, including without limitation, using its best efforts to obtain the requisite
stockholder approval necessary to increase the number of authorized shares of the Company’s Common Stock. All shares of
Common Stock issuable upon exercise of the Warrants shall be duly authorized and, when issued upon exercise, shall be validly
issued and, in the case of shares, fully paid and nonassessable and free from all preemptive or similar rights, taxes, liens and
charges with respect to the issue thereof, and that upon issuance such shares shall be listed on each securities exchange, if
any, on which the other shares of outstanding Common Stock of the Company are then listed.

 

10.
Listing. The Holder is aware that the Company’s Common Stock is not currently traded publically and, accordingly
is not listed on any national securities exchange or inter-dealer quotation system and no assurance can be given that it ever
will be. In the event that it ever should should list its Common Stock on a national securities exchange or inter-dealer quotation
system it shall at all times thereafter comply in all respects with the Company’s reporting, filing and other obligations
under the by-laws or rules of each national securities exchange or inter- dealer quotation system, if any, upon which shares of
Common Stock are then listed and shall list the shares issuable upon the exercise of the Warrants on such national securities
exchange or inter-dealer quotation system, if any, it being understood that the Company has no current plans to list its securities
on any securities exchange or inter-dealer quotation system.

 

11.
Investment Representations: Restrictions on Transfer.

 

11.1
Investment Representations. The Holder acknowledge that the Warrants and the Warrant Shares have not been and, except as
otherwise provided herein, will not be registered under the Act or qualified under applicable state securities laws and that the
transferability thereof is restricted by the registration provisions of the Act as well as such state laws. The Holder represents
that it is acquiring this Warrant and will acquire the Warrant Shares for its own account, for investment purposes only and not
with a view to resale or other distribution thereof, nor with the intention of selling, transferring or otherwise disposing of
all or any part of such securities for any particular event or circumstance, except selling, transferring or disposing of them
upon full compliance with all applicable provisions of the Act, the Exchange Act, the Rules and Regulations promulgated by the
Commission thereunder, and any applicable state securities laws. The Holder further understands and agrees that (i) neither the
Warrants nor the Warrant Shares may be sold or otherwise transferred unless they are subsequently registered under the Act and
qualified under any applicable state securities laws or, in the opinion of counsel reasonably satisfactory to the Company, an
exemption from such registration and qualification is available; (ii) any routine sales of the Company’s securities made
in reliance upon Rule 144 promulgated by the Commission under the Act, can be effected only pursuant to the terms and conditions
of that Rule, including applicable holding periods and timely filing requirements with the Commission for the Company; and (iii)
except as otherwise set forth herein, the Company is under no obligation to register the Warrants or the Warrant Shares on its
behalf or to assist it in complying with any exemption from registration under the Act. The Holder agrees that each certificate
representing any Warrant Shares for which the Warrants may be exercised will bear on its face a legend in substantially the following
form:

 

These
securities have not been registered under the Securities Act of 1933 or qualified under any state securities laws. They may not
be sold, hypothecated or otherwise transferred in the absence of an effective registration statement under that Act or qualification
under applicable state securities laws without an opinion counsel reasonably acceptable to the Company that such registration
and qualification are not required.

 

    	Appendix C-8

     

    

Common
Stock Purchase Warrant

Issued by EdgePoint AI, Inc.

 

11.2
Notice of Proposed Transfer; Opinion of Counsel. Prior to any transfer of any securities that are not registered under
an effective registration statement under the Act (“Restricted Securities”), the Holder will give written notice
to the Company of the Holder’s intention to affect a transfer and to comply in all other respects with this Section 11.2.
Each notice (a) shall describe the manner and circumstances of the proposed transfer, and (b) shall designate counsel for the
Holder giving the notice (who may be in-house counsel for the Holder). The Holder giving notice will submit a copy thereof to
the counsel designated in the notice. The following provisions shall then apply:

 

(i)
If in the opinion of counsel for the Holder reasonably satisfactory to the Company the proposed transfer (i.e. private
sale of Restricted Securities) may be effected without registration of Restricted Securities under the Act (which opinion shall
state the bases for the legal conclusions reached therein), the Holder shall thereupon be entitled to transfer the Restricted
Securities in accordance with the terms of the notice delivered by the Holder to the Company. Each certificate representing the
Restricted Securities issued upon or in connection with any transfer shall bear the restrictive legends required by Section
11.1 hereof.

 

(ii)
If the opinion called for in (i) above is not delivered, the Holder shall not be entitled to transfer the Restricted Securities
until either (x) receipt by the Company of a further notice from such Holder pursuant to the foregoing provisions of this Section
11.2 and fulfillment of the provisions of clause (i) above, or (y) such Restricted Securities have been effectively registered
under the Act.

 

11.3 Termination
of Restrictions. The restrictions imposed by this Section 11 upon the transferability of Restricted Securities
shall cease and terminate as to any particular Restricted Securities: (a) which Restricted Securities shall have been
effectively registered under the Act, or (b) when, in the opinions of both counsel for the holder thereof and counsel for the
Company, which opinion shall not be unreasonably withheld, such restrictions are no longer required in order to insure
compliance with the Act or Section 11 hereof. Whenever such restrictions shall cease and terminate as to any
Restricted Securities, the holder thereof shall be entitled to receive from the Company, without expense (other than
applicable transfer taxes, if any), new securities of like tenor not bearing the applicable legends required by Section
11.1 hereof.

 

    	Appendix C-9

     

    

 

Common
Stock Purchase Warrant

Issued by EdgePoint AI, Inc.

 

12.
Ownership, Transfer and Substitution of Warrant.

 

12.1
Ownership of Warrant. The Company may treat the Holder, in whose name this Warrant is registered to in the Warrant Register
maintained pursuant to Subsection 12.2(b) hereof, as the owner and holder thereof for all purposes, notwithstanding any
notice to the contrary, except that, if and when any Warrant is properly assigned by a notice in substantially the form attached
to this Warrant as Exhibit B (or a reasonable facsimile thereof) duly executed by the holder thereof in blank, the Company
shall treat the bearer thereof as the owner of such Warrant for all purposes, notwithstanding any notice to the contrary. Subject
to Section 11 hereof, this Warrant, if properly assigned, may be exercised by a new holder without a new Warrant first
having been issued.

 

12.2
Office; Transfer and Exchange of Warrant.

 

(a)
Mateon will maintain an office (which may be an agency maintained at a bank) at 29397 Agoura Road, Suite 107, Agoura Hills, California
91301 (until the Company notifies the Holder of any change of location of the office) where notices, presentations and demands
in respect of the may be made upon it.

 

(b)
The Company shall cause to be kept at its office maintained pursuant to Subsection 12.2(a) hereof a Warrant Register for
the registration and transfer of the Warrants. The names and addresses of holders of the Warrants, the transfers thereof and the
names and addresses of transferees of the Warrants shall be registered in such Warrant Register. The Person in whose name any
Warrant shall be so registered shall be deemed and treated as the owner and holder thereof for all purposes of such Warrant, and
the Company shall not be affected by any notice or knowledge to the contrary.

 

(c)
Upon the surrender of a Warrant, properly endorsed, for registration of transfer or for exchange at the office of the Company
maintained pursuant to Subsection 12.2(a) hereof, the Company at its expense will (subject to compliance with Section
11 hereof, if applicable) execute and deliver to or upon the order of the Holder thereof a new Warrant of like tenor, in the
name of such holder or as such holder (upon payment by such holder of any applicable transfer taxes) may direct, calling in the
aggregate on the face thereof for the number of shares of Common Stock called for on the face of the Warrant so surrendered.

 

12.3
Replacement of Warrant. Upon receipt of evidence reasonably satisfactory to the Company of the loss, theft, destruction
or mutilation of a Warrant and, in the case of any such loss, theft or destruction of a Warrant, upon delivery of indemnity reasonably
satisfactory to the Company in form and amount or, in the case of any mutilation, upon surrender of a Warrant for cancellation
at the office of the Company maintained pursuant to Subsection 12.2(a) hereof, the Company at its expense will execute
and deliver, in lieu thereof, a new Warrant of like tenor and dated the date hereof.

 

    	Appendix C-10

     

    

 

Common
Stock Purchase Warrant

Issued by EdgePoint AI, Inc.

 

13.
No Rights or Liabilities as Stockholder. Except as may otherwise be provided herein, no Holder shall be entitled to vote
or receive dividends or be deemed the holder of any shares of Common Stock or any other securities of the Company which may at
any time be issuable on the exercise hereof for any purpose, nor shall anything contained herein be construed to confer upon the
Holder, as such, any of the rights of a stockholder of the Company or any right to vote for the election of directors or upon
any matter submitted to stockholders at any meeting thereof, or to give or withhold consent to any corporate action (whether upon
any recapitalization, issuance of stock, reclassification of stock, change of par value, consolidation, merger, conveyance, or
otherwise) or to receive notice of meetings, or to receive dividends or subscription rights or otherwise until such Holder’s
Warrant shall have been exercised and the shares of Common Stock purchasable upon the exercise hereof shall have become deliverable,
as provided herein. The Holder will not be entitled to share in the assets of the Company in the event of liquidation, dissolution
or the winding up of the Company.

 

14.
Notices. Any notice or other communication in connection with this Warrant shall be deemed to be given if in writing addressed
as hereinafter provided and actually delivered at such address: (a) if to any Holder, at the registered address of such holder
as set forth in the Warrant Register kept at the office of the Company maintained pursuant to Subsection 12.2(a) hereof,
or (b) if to the Company, to the attention of its Chief Financial Officer at its office maintained pursuant to Subsection 12.2(a)
hereof; provided, however, that the exercise of any Warrant shall be effective in the manner provided in Section
3 hereof.

 

15.
Payment of Taxes. The Company will pay all documentary stamp taxes attributable to the issuance of shares of Common Stock
underlying this Warrant upon exercise of this Warrant; provided, however, that the Company shall not be required
to pay any tax which may be payable in respect of any transfer involved in the registration of any certificate for shares of Common
Stock underlying this Warrant in a name other that of the Holder. The Holder is responsible for all other tax liability that may
arise as a result of holding or transferring this Warrant or receiving shares of Common Stock underlying this Warrant upon exercise
hereof.

 

16.
Warrant Agent. The Company shall serve as warrant agent for the Warrants. Upon 30 days’ notice to the Holder, the
Company may appoint a new warrant agent. Any corporation into which the Company or any new warrant agent may be merged or any
corporation resulting from any consolidation to which the Company or any new warrant agent shall be a party or any corporation
to which the Company or any new warrant agent transfers substantially all of its corporate trust or stockholders services business
shall be successor warrant agent under this Warrant without any further act. Any such successor warrant agent shall promptly cause
notice of its succession as warrant agent to be mailed (by first class mail, postage prepaid) to the Holder at the Holder’s
last address as shown on the Warrant Register.

 

17.
Miscellaneous. This Warrant and any term hereof may be changed, waived, discharged or terminated only by an instrument
in writing signed by the party against which enforcement of the change, waiver, discharge or termination is sought. This Warrant
shall be construed and enforced in accordance with and governed by the laws of the State of California applicable to contracts
made and to be performed entirely within such State. Any action, suit or proceeding in connection with this Warrant maybe brought
in a federal or state court of record located in Orange County in the State of California, and the Holder and the Company each
agrees to submit to the personal jurisdiction of such court and waives any objection which either may have, based on improper
venue or forum non conveniens, to the conduct of any proceeding in any such court and waives personal service of any and
all process upon it, and consents that all such service of process be made by mail or messenger directed to it at the address
referred to in Section 15 above and that service so made shall be deemed to be completed upon the earlier of actual receipt
or five days after the same shall have been posted to its address. The section headings in this Warrant are for purposes of convenience
only and shall not constitute a part hereof. The use herein of the masculine pronouns or similar terms shall be deemed to include
the feminine and neuter genders as well and vice versa and the use of the singular pronouns shall be deemed to include the plural
as well and vice versa.

 

(signature
page to follow)

 

    	Appendix C-11

     

    

 

IN
WITNESS WHEREOF, the Company has caused this Common Stock Purchase Warrant to be duly executed as of the date first above written.

 

	EDGEPOINT
    AI, Inc.	 
	 	 	 
	By:	 	 
	Name:	 	 
	Title:	President
    and Chief Executive Officer 	 

 

	Agreed
    and Accepted:	 
	 	 
	 	 
	 	 
	Name:	 

 

    	Appendix C-12

     

    

 

EXHIBIT
A

 

EXERCISE
NOTICE

 

To
Be Executed by the Holder In Order to Exercise Warrants

 

TO:
EdgePoint AI, Inc.

 

(1)
The undersigned hereby elects to purchase Warrant Shares of the Company pursuant to the terms of the attached Warrant, and tenders
herewith payment of the exercise price in full, together with all applicable transfer taxes, if any.

 

(2)
Payment shall take the form of (check applicable box):

 

[  ] in
lawful money of the United States; or

 

(3)
Please issue a certificate or certificates representing the Warrant Shares in the name of the undersigned or in such other name
as is specified below:

 

 

 

The
Warrant Shares shall be delivered to the following DWAC Account Number or by physical delivery of a certificate to:

 

 

 

 

 

 

	Dated: _________________	 
	 	 
	 	 
	 	 
	 	 
	 	Address
	 	 
	 	 
	 	Taxpayer
    Identification Number
	 	 
	 	 
	 	Signature

 

    	Appendix C-13

     

    

 

EXHIBIT
B

 

[FORM
OF ASSIGNMENT]

 

To
be executed by the registered holder if such holder desires to transfer the Warrant Certificate.

 

FOR
VALUE RECEIVED ________________________________ hereby sells, assigns and transfers unto

 

 

(Please
print name and address of transferee)

 

this
Warrant Certificate, together with all right, title and interest therein, and does hereby irrevocably constitute and appoint
____________ Attorney, to transfer the within Warrant Certificate on the books of the within-named Company, with full power
of substitution.

 

Dated: ______________

 

	 	Signature ________________________________________
	 	(Signature
    must conform in all respects to name of holder as specified on the face of the Warrant Certificate.)
	

         
	 
	 	 
	 	(Insert
    Social Security or Other Identifying Number of Holder)
	 	 
	 	 
	 
	Signature
    Guaranteed

 

    	Appendix C-14

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00325-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00325-of-00352.parquet"}]]