Document:

Exhibit 10.5

 

Non-Binding Term
Sheet dated February 11, 2021

 

CONFIDENTIAL

 

TERM SHEET

FOR CONVERTIBLE DEBT FINANCING OF

LEGACY EDUCATION ALLIANCE, INC.

AND SPIN-OFF OF ITS EXISTING BUSINESS

 

This non-binding term
sheet (this “Term Sheet”) generally summarizes the principal terms and conditions of (i) a potential
convertible debt financing (the “Debt Financing”) of Legacy Education Alliance, Inc., a Nevada corporation
(the “Company” or “LEAI”) that is publicly traded on the OTC QB under the
symbol “LEAI”, by Legacy Tech Partners, LLC, a newly formed Delaware limited liability company (“LTP”)
which has Barry Kostiner as the Chairman of its Board of Managers, and (ii) a potential acquisition of the Company’s existing
business by LTP (the “Spin-Off” and, together with the Debt Financing, the “Transactions”). This Term Sheet does not purport to summarize all of the terms and conditions which would be contained in the definitive
legal documentation for the Transactions. The parties do not have any obligations with respect to any of the potential Transactions
until definitive documents for the Transactions are executed and delivered by the parties.

 

The Debt Financing

 

	Lender:	 	LTP (together with its assignees, which for the avoidance of doubt, is intended to include Legacy Tech Investors I, LLC, a newly formed Delaware limited liabity company (“LTI”) managed by LTP, and the parties acknowledge that they currently expect to have the Credit Facility assigned to LTI after the Initial Closing) (the “Lender”)
	 	 	 
	Borrower:	 	LEAI (the “Borrower”)
	 	 	 
	Guarantor:	 	The borrower’s obligations for the Debt Financing will be guaranteed by each of LEAI’s current and future U.S. subsidiaries (other than the new Legacy EdTech business that will remain with LEAI after the Spin-Off (the “New Business”)) (the “Guarantors” and together with the Borrower, the “Debtors”).
	 	 	 
	Loan Amount:	 	Credit facility (the “Credit Facility”) of at least $1,000,000 in minimum aggregate obligations that the Lender is required to lend to the Borrower (the “Minimum Commitment”). Lender may lend additional amounts at determined by the Lender in its sole discretion, up to an aggregate of $4,000,000 above the Minimum Commitment for a maximum aggregate commitment under the credit facility of$5,000,000 (the “Maximum Commitment”).
	 	 	 
	Initial Draw at Initial Closing:	 	$360,000.
	 	 	 
	Initial Closing Date:	 	The initial closing of the first loan made under the credit facility (the “Initial Closing”) is expected to occur as soon as reasonably practicable hereafter, subject to the execution of definitive documentation for the Debt Financing (the “Credit Documents”) and the Spin-Off.

 

     

     

    

 

	Subsequent Closings:	 	Subsequent
    closings (a “Subsequent Closing”) may occur from time to time at the discretion of the Lender until
    the Maximum Commitment has been loaned; provided, that Lender will loan at least $150,000 per fiscal quarter (in addition to
    the initial draw at the Initial Closing) until the Minimum Commitment has been loaned in the aggregate with the Initial
    Closing loan. Lender has no obligations to make any loans under the Credit Facility beyond the Minimum Commitment. Lender
    will give at least five (5) business days notice of any Subsequent Closing.
	 	 	 
	Use
    of Proceeds by the Debtors:	 	Proceeds
    from the Debt Financing will be used for working capital and general corporate purposes of the Debtors and development of
    administrative functions.
	 	 	 
	 	 	Borrower
    will be responsible for allocation and use of funds from Convertible Debt fundings, subject to the applicable covenants. At
    least $300,000 of proceeds from the Initial Closing will be made available to satisfy existing LEAI liabilities pursuant to a
    schedule of liabilities to be provided to the Lender prior to the Initial Closing.
	 	 	 
	Interest Terms:	 	The Lender will be entitled to receive interest at a rate of 10% per annum on the outstanding obligations, accruing simple interest at the pro-rata rate per month or any part thereof, compounding annually. Interest will accrue and will not be paid by the Debtors prior to the Maturity Date without the prior written consent of the Lender.
	 	 	 
	Maturity:	 	All obligations under the Credit Facility will mature on the fifth anniversary of the Initial Closing (the “Maturity Date”).
	 	 	 
	Payment of Principal:	 	The
    Debtors may not prepay the obligations under the Credit Facility without the prior written consent of the Lender.
	 	 	 
	Mandatory Prepayment Covenants:	 	Borrower
    shall be obligated to repay in full the obligations upon a liquidity event, which shall be defined to mean a liquidation,
    winding up, change of control, merger, casualty event, or sale of all or substantially all of the assets of the Borrower (but
    for the avoidance of doubt, excluding the Spin-Off).
	 	 	 
	Security; Priority:	 	The
    Credit Facility will be secured by a first priority perfected security interest in all existing and after-acquired assets
    (tangible and intangible) of the Debtors, as well as a pledge of the equity interests of each of the Guarantors (collectively,
    the “Collateral”). It will be senior to any existing debt of the Debtors, and existing lenders of
    indebtedness (other than the PPP loan) to the Debtors will be required to sign a customary subordination agreement with the
    Lender if requested by the Lender.
	 	 	 
	Affirmative Covenants:	 	The
    Credit Documents will contain affirmative covenants customary for transactions of this type, including, but not limited to,
    the following: (i) maintenance of existence, books and records, and customary insurance; (ii) information rights; (iii)
    further assurances with respect to the Collateral; (iv) compliance laws and agreements; and (v) newly formed subsidiaries
    of the Debtors to become Guarantors.

 

    2

     

    

 

	Negative Covenants:	 	The
    Credit Documents will contain negative covenants customary for transactions of this type, including, but not limited to, the
    following limitations (subject to the written consent of the Lender): (i) investments and the incurrence of additional
    indebtedness; (ii) distributions, dividends, and redemptions; (iii) the sale of assets and the use of proceeds; (iv) liens
    and security interests; (v) acquisitions; (vi) capital expenditures above mutually agreed levels; (vii) amendments to the
    Borrower’s organizational documents; (viii) issuances of equity securities (subject to customary exceptions); and (ix)
    transactions with affiliates.

 

	D&O Coverage:	 	The Credit Documents will require the Borrower upon the expiration of its current directors and officers liability insurance policy to either purchase a new directors and officers liability insurance policy reasonably acceptable to the Lender or to set aside funds in a reserve in an amount reasonably acceptable to the Lender for self-retention of all obligations to indemnify officers, directors, employees and consultants.
	 	 	 
	Voting Rights:	 	The Lender will not be entitled to any stockholder voting rights in connection with the Credit Facility (subject to the rights of any Conversion Securities that are issued).
	 	 	 
	Borrower Board of Directors:	 	At the Initial Closing:

	 	(i)	Jim May will resign from the Board of Directors of the Borrower (the “Borrower Board”) and its U.S. subsidiaries;
	 	 	 
	 	(ii)	the Borrower Board will appoint Michel Botbol to join the Borrower Board to fill Jim May’s vacancy (and the Borrower’s U.S. subsidiaries will do the same); and
	 	 	 
	 	(iii)	Michel Botbol will be established as the chairman of the Borrower Board (and the Borrower’s U.S. subsidiaries will do the same).

 

	New Employees:	 	At the Initial Closing, the Borrower will enter into:

 

	 	(i)	an employment agreement with Michel Botbol to serve as the Executive Chairman and Chief Executive Officer; and
	 	 	 
	 	(ii)	non-executive employment agreements with Eliahu Sarfaty and Barry Kostiner.

 

	Representations and Warranties:	 	The Credit Documents will contain representations and warranties customary for transactions of this type to confirm the Lender’s understanding of the Debtors’ businesses, operations, properties, and affairs.
	 	 	 
	Events of Default:	 	The Credit Documents will contain events of default customary for transactions of this type, including, but not limited to, the following: (i) failure to make principal or interest payments when due; (ii) failure to satisfy any affirmative or negative covenant in the Credit Documents; (iii) cross-defaults to other material obligations and contracts; (iv) breaches of representations and warranties; (v) the bankruptcy or insolvency of any Debtor; (vi) judgments in excess of specified amounts; and (vii) change of control of Borrower.

 

    3

     

    

 

	Conversion:	 	Obligations under the Credit Facility will be convertible, at the sole election of the Lender at any time and from time to time, in whole or in part, into units of the Borrower, at $0.05 per unit (subject to equitable adjustment for stock splits, stock dividends, recapitalizations and the like) (the “Conversion Price”), where a Unit shall be composed of 1 common share and 1 warrant to acquire common stock with a strike price equal to the Conversion Price and warrant expiration of the Maturity Date. Warrants shall require cash exercise. For the avoidance of doubt, the units will not be separate securities, and the common shares and warrants issued upon conversion (the “Conversion Securities”) will be directly issued to the Lender.

 

	Anti-dilution Provisions:	 	Weighted average anti-dilution protection for the conversion feature, where if the Borrower issues additional securities (subject to customary exceptions) at a purchase price less than then current Conversion Price, the Conversion Price (including the exercise price of the warrants) will be adjusted down to match such purchase price.
	 	 	 
	Registration Rights:	 	The
    Conversion Securities will not be registered upon issuance, but the Lender will have demand and piggyback registration rights pursuant to a registration rights agreement to be entered into in connection with the Credit Facility.

 

	Governing Law; Venue:	 	The Credit Documents will be subject to New York law and venue.
	 	 	 
	Right to Participate Pro Rata in Future Fundings:	 	The Lender will have the right, based on its ownership of the Borrower assuming the conversion of Lender’s debt into the Conversion Securities (but not the exercise of the warrants), but otherwise based on an outstanding capital stock basis, to participate in subsequent equity or debt financings or issuances by the Company (subject to customary exceptions).

 

	New Equity Incentive Plan:	 	Borrower will reserve shares of its Common Stock so that subsequent to Initial Closing, ten percent (10%) of its capital stock (after giving effect to number of Conversion Securities based on the initial amount of debt issued at the Initial Closing) is available for future issuances to key directors, officers, employees, and consultants/advisors pursuant to a new equity incentive plan to be adopted by the Borrower Board that will be in form and substance reasonably acceptable to the Lender (the “New Equity Incentive Plan”). Such shares of Common Stock under the New Equity Incentive Plan shall be subject to vesting on the terms approved by the Borrower Board. At its next meeting of stockholders, Borrower will seek approval of the New Equity Incentive Plan by its stockholders.
	 	 	 
	Expenses:	 	The Borrower shall pay all reasonable costs and expenses associated with the Lender’s (i) due diligence and (ii) review and preparation of the definitive documentation for the Credit Documents, which amounts shall be deducted from the proceeds of the Initial Closing.
	 	 	 
	Assignments:	 	The Lender may, in its sole and absolute discretion, syndicate, assign, transfer, sell, or pledge under its financing agreements all or any portion of the Credit Facility.
	 	 	 
	Documentation:	 	The first draft of the documentation for this transaction will be prepared by the Lender’s counsel. The documentation will contain such terms, conditions, representations and warranties, reporting requirements, and covenants customary for transactions of this type.

 

    4

     

    

 

Spin-Off

 

	Transaction Structure:	 	In advance of the Spinoff, Legacy Education Alliance Holdings, Inc., a Colorado corporation (“Legacy HoldCo”) and wholly owned subsidiary of LEAI, will acquire all assets and liabilities of LEAI (excluding any obligations under the Credit Facility). The New Business will be excluded from Legacy Holdco and the Spin-Off. At the closing of the Spin-Off, LTP will acquire 100% of the outstanding equity of Legacy Holdco.
	 	 	 
	Consideration:	 	Legacy HoldCo will be acquired by LTP for $1 and a license of certain intellectual property in accordance with the License Agreement.
	 	 	 
	License Agreement:	 	LEAI and Legacy Holdco will enter into a new License Agreement (the “License Agreement”) for Legacy Holdco to license to LEAI (on a non-exclusive perpetual royalty-free basis) certain of the intellectual property and assets of the current seminar business solely for use in the New Business.
	 	 	 
	Definitive Agreement:	 	The obligations of the parties will be subject to execution of a definitive written agreement for the Spin-Off (the “Definitive Agreement”) containing terms and conditions satisfactory to LTP and LEAI. The Definitive Agreement will contain representations, warranties, covenants, closing conditions and indemnities customary for M&A transactions of this type.

 

	Closing Conditions:	 	The obligations of either party to consummate the Spin-Off (but for the avoidance of doubt, not the Credit Facility) will be subject to standard closing conditions for a transaction of this nature, including without limitation:

 

	 	●	completion of any required regulatory review, including SEC, and receipt of any required regulatory approvals and necessary third party approvals;
	 	 	 
	 	●	prior to the execution of the Definitive Agreement, approval of the Definitive Agreement and the Acquisition by LEAI’s board of directors, including a special committee of LEAI’s board of directors;

 

	 	●	LEAI’s receipt of a fairness opinion for the Spin-Off;
	 	 	 
	 	●	approval by LEAI’s shareholders of the Spin-Off and related matters;
	 	 	 
	 	●	there
    shall have not been any material adverse changes in the business, customer relationships, operations, financial condition,
    regulatory environment or prospects of Legacy Holdco and its subsidiares;
	 	 	 
	 	●	SBA forgiveness of that portion of LEAI’s PPP loans for which LEAI is eligble for foregiveness with respect to; and
	 	 	 
	 	●	the execution of all related agreements as contemplated by the Definitive Agreement, including the License Agreement.

 

	Governing Law; Venue:	 	The Definitive Agreement will be subject to New York law and venue.

 

    5

     

    

 

	Documentation:	 	The first draft of the Definitive Agreement will be prepared by LTP’s counsel. The documentation will contain such terms, conditions, representations and warranties, reporting requirements, and covenants customary for transactions of this type.

 

Binding Provisions

 

	Confidentiality:	 	This Term Sheet is confidential and neither it nor its substance shall be disclosed to any third party, except those in a confidential relationship to the Debtors, such as directors, officers, employees, accountants, and legal counsel, who reasonably need to know such information in connection with the evaluation, negotiation or implementation of this Term Sheet or the transactions contemplated hereby, or as required by law or by any governmental agency (in which case the Borrower agrees to promptly inform the Lender in advance thereof and, if requested by the Lender, reasonably cooperate with any efforts by the Lender to seek a protective order or other appropriate remedy to prevent such disclosure). Additionally, the Company may disclose this Term Sheet on a confidential basis to potential financing sources approved by LTP in order for the Company to raise funds in furtherance of the transactions contemplated by this Term Sheet.
	 	 	 
	Exclusivity:	 	During the period from the date of this Term Sheet until the sixty (60) day anniversary thereof (the “Exclusivity Period”), the Debtors shall not (nor shall they permit their directors, officers, shareholders, agents, representatives or affiliates to), directly or indirectly, (a) solicit, initiate, or encourage any negotiations or discussions with, or provide any information to, any other person or entity (other than the Lender, LTP and their respective affiliates), concerning any transaction (a “Competing Transaction”) for (i) an investment, loan, or other commitment of capital to any of the Debtors that would reasonably be expected to reduce or eliminate or otherwise prohibit or impair the Debt Financing or (ii) the direct or indirect sale, transfer, license or other disposition of the Debtors, or their respective equity interests, business or material assets (outside of the ordinary course of business), whether by purchase, merger, consolidation, recapitalization, exclusive license or otherwise, or any similar transaction that would reasonably be expected to prohibit or impair the Spin-Off, or (b) enter into any agreement in principle, letter of intent or definitive agreement, or make any filing with the SEC (including the filing of any registration statement) or other governmental authority, with respect to any Competing Transaction. During the Exclusivity Period, the Debtors shall receives any solicitation or offer for a Competing Transaction and thereafter keep the Lender and LTP reasonably informed as to the terms and status of such Competing Transaction.

 

Acknowledged and agree as of the date set forth below with respect
ot the Binding Provisions above:

 

	Legacy
    Education Alliance, Inc.	 	Legacy
    Tech Partners, LLC
	 	 	 	 	 
	By:	/s/
    James E. May	 	By:	/s/
    Barry Kostiner
	Name: 	James
E. May	 	Name: 	Barry
    Kostiner
	Title:	CEO	 	Title:	President
	Date:
    	February
    12, 2021	 	Date:	February
    11, 2021

 

 

6Exhibit
10.1

 

SHARE
EXCHANGE AGREEMENT

 

THIS
SHARE EXCHANGE AGREEMENT (this “Agreement”), effective as of March 11, 2021, is entered into among PlayFast
Games, LLC, a North Carolina limited liability company located at 711 Westbury Rd., Charlotte, NC 28211 (“Seller”),
Motorsport Games Inc., a Delaware corporation located at 5972 NE 4th Avenue, Miami, FL 33137 (“Buyer”),
and 704Games Company, a Delaware corporation (the “Company”).

 

WHEREAS,
Seller owns 30,903 shares of common stock, par value $0.001 per share, of the Company; all such shares owned by Seller are referred
to herein as the “Shares;”

 

WHEREAS,
Seller, Buyer and the Company are parties to that certain Stockholders’ Agreement, dated as of August 14, 2018, by and among
the Company and certain of its stockholders (the “Stockholders’ Agreement”);

 

WHEREAS,
certain claims have been made on behalf of minority stockholders of the Company against the Company and Buyer and/or the Company’s
and Buyer’s affiliates in connection with certain prior purchases by Buyer from other minority stockholders of the Company
of certain shares of common stock of the Company and in connection with the initial public offering of Buyer’s securities
(these and any and all claims made, asserted, alleged or demanded, in writing or orally by or on behalf of Seller, as a minority
stockholder of the Company, and its affiliates are collectively referred to as “Claims”); and

 

WHEREAS,
without admitting fault or liability, the Company, Seller and Buyer desire and intend to effect (i) a resolution of all issues
among the parties hereto and full and complete settlement of all Claims and (ii) a business transaction pursuant to which Buyer
will acquire the Shares from Seller in exchange for the consideration consisting of (x) newly issued shares of Class A Common
Stock of Buyer (“MSGM Shares”) in the amount as determined pursuant to Section 1(b) of this Agreement and (y)
cash in the amount as determined pursuant to Section 1(b) of this Agreement (the “Acquisition,” and together
with all of the other transactions contemplated by this Agreement, the “Transactions”), all upon the terms
and subject to the conditions set forth in this Agreement.

 

NOW,
THEREFORE, in consideration of the mutual covenants and agreements hereinafter set forth and for other good and valuable consideration,
the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:

 

1. Settlement;
Exchange; Consideration.

 

(a) Without
admitting fault or liability, the Company, Seller and Buyer agree that all issues, disputes, claims and disagreements among the
parties hereto are hereby resolved and all Claims are fully and completely settled and released, as described more fully in Section
9 below.

 

(b) Subject
to the terms and conditions set forth herein, at the Closing (as defined in Section 3), Seller shall exchange, transfer
and assign to Buyer, and Buyer shall acquire from Seller, all of Seller’s right, title and interest in and to the Shares,
free and clear of all Encumbrances (as defined herein), for the aggregate consideration for all Shares (the “Consideration”)
equal to the product of (i) the number of the Shares (specifically, 30,903 shares of common stock of the Company) and (ii) the
Per Share Consideration (as defined below) (the stock portion of the aggregate consideration shall be rounded up to the nearest
whole number).

 

“Per
Share Consideration” shall mean:

 

		(i)	11.86103
                                         of newly issued MSGM Shares; and

 

    	 

    	 

    

 

		(ii)	cash
                                         equal to the product of (x) 2.09313 and (y) the average of the volume weighted average
                                         price per one MSGM Share traded during normal trading hours on the Nasdaq Capital Market
                                         per day for each of the ten (10) consecutive trading days prior to April 1, 2021, provided
                                         that item (y) shall not be less than $20 per one MSGM Share nor more than $28 per one
                                         MSGM Share.

 

(c) The
parties hereto agree to use their commercially reasonable efforts to structure, if allowed by applicable laws, rules and regulations,
the overall transaction (including the exchange of the Shares and the shares of common stock of the Company held by Ascend FS,
Inc. (f/k/a Gaming Nation Inc.), a minority stockholder of the Company (“Ascend”), as a business combination
or other tax-free reorganization in order for the new MSGM Shares to be issued on a tax-free basis. It is understood and agreed
by the parties that the agreement to use commercially reasonable efforts in the preceding sentence shall not include any obligation
by any party to change in any respect the Per Share Consideration.

 

(d) Promptly
following execution and delivery of this Agreement, Buyer agrees to offer to, and to use its reasonable commercial efforts to
negotiate with, Ascend the settlement of all of Ascend’s claims and litigation against the Company, Buyer and their respective
affiliates in exchange for the acquisition by Buyer of the shares of common stock of the Company owned and held by Ascend for
a consideration per each such share that is equal to the Per Share Consideration pursuant to a binding definitive agreement to
be entered into with Buyer containing terms identical in all material respects with this Agreement (including the identical trading
limitations set forth in Section 1(e) below); Buyer agrees that the consideration to be offered to Ascend will not be changed
without Seller’s prior written consent and that if Seller consents to a change in consideration that is higher than the
Per Share Consideration, then Seller will be entitled to receive such increase in consideration for the sale of its Shares. It
is understood and agreed by the Buyer and Seller that (i) the obligation of Buyer to make an offer to, and use reasonable commercial
efforts to negotiate with, Ascend does not include any obligation by Buyer to increase the consideration to be offered to Ascend
and (ii) Buyer may withdraw the offer to Ascend and terminate negotiations with Ascend or its representatives if a binding definitive
agreement among Ascend, the Company and Buyer (which agreement is acceptable to Buyer in its sole and absolute discretion) is
not executed and delivered by March 17, 2021. Seller, Buyer and the Company agree that a copy of this Agreement and the terms
and conditions thereof may be disclosed by Buyer (or, subject to Buyer’s prior written consent, by Seller and/or the Company)
to Ascend and its representatives. If, due to the applicable laws, rules or regulations or other circumstances, the transaction
(including the exchange of the Shares and the shares of common stock of the Company held by Ascend) cannot be accomplished as
a business combination or other tax-free reorganization in order for the new MSGM Shares to be issued on a tax-free basis and/or
if Ascend fails to enter into a binding definitive agreement among Ascend, the Company and Buyer by March 17, 2021, the parties
hereto shall complete and close the Transaction on the Closing Date (as defined Section 3) as a taxable purchase of the Shares
by Buyer.

 

(e) Seller
understands and agrees that, (i) in accordance with the Securities Act of 1933, as amended (the “Securities Act”),
and the rules and regulations promulgates thereunder, including Rule 144 under the Securities Act (“Rule 144”),
the MSGM Shares have not been and are not being registered under the Securities Act or any state securities laws, and shall bear
the restrictive legend set forth in Exhibit “A,” and shall be issued to Seller in reliance on the applicable
exemption from registration under the Securities Act, and may not be offered for sale, sold, assigned or transferred unless (A)
subsequently registered thereunder or (B) an exemption exists permitting such MSGM Shares to be sold, assigned or transferred
without such registration; (ii) any sale of the MSGM Shares made in reliance on Rule 144 may be made only in accordance with the
terms of Rule 144 (including the requisite holding period prescribed by Rule 144) and further, if Rule 144 is not applicable,
any resale of the MSGM Shares under circumstances in which the seller (or the person through whom the sale is made) may be deemed
to be an underwriter (as that term is defined in the Securities Act) may require compliance with some other exemption under the
Securities Act or the rules and regulations thereunder; (iii) neither Buyer nor any other person is under any obligation to register
the MSGM Shares under the Securities Act or any state securities laws or to comply with the terms and conditions of any exemption
thereunder and (iv) after the expiration of the requisite holding period prescribed by Rule 144 until January 1, 2022, subject
to any continuing restrictions under the Securities Act and the rules and regulations promulgated thereunder, Seller shall not
sell, trade, enter into an option to sell or otherwise dispose of, in any given week, the MSGM Shares exceeding the higher of
(x) eight percent (8%) of the average weekly trading volume of MSGM Class A shares for the previous four weeks, or (ii) 20,000
MSGM Shares.

 

    	2

    	 

    

 

2. Conditions
to Closing.

 

(a) The
obligations of Buyer and/or the Company to consummate the Transactions shall be contingent upon and subject to the satisfaction
or waiver by Buyer (where permissible) of the following conditions:

 

(i) The
representations and warranties of Seller contained in this Agreement shall be true and correct in all material respects as of
the Closing, as though made on and as of the Closing, except to the extent expressly made as of an earlier date, in which case
as of such earlier date (provided, that any representation or warranty that is qualified by materiality or material adverse effect
shall be true and correct in all respects as of the Closing, or as of such particular earlier date, as the case may be).

 

(ii) Seller
shall have performed or complied in all material respects with all agreements and covenants required by this Agreement to be performed
or complied with by it on or prior to the Closing.

 

(iii) All
consents from third parties under any agreement, contract, license, lease or other instrument to which Seller is a party or by
which it is bound required as a result of the Transactions shall have been obtained from such third parties.

 

(iv) Seller
shall have delivered to Buyer a certificate, dated the date of the Closing, signed by the duly authorized officer of Seller, certifying
to Buyer and the Company as to the satisfaction of the conditions specified in Sections 2(a)(i) through 2(a)(iii) hereof (the
“Seller Closing Certificate”).

 

(b) The
obligations of Seller to consummate the Transactions shall be contingent upon and subject to the satisfaction or waiver by Seller
(where permissible) of the following conditions:

 

(i) The
representations and warranties of Buyer contained in this Agreement shall be true and correct in all material respects as of the
Closing, as though made on and as of the Closing, except to the extent expressly made as of an earlier date, in which case as
of such earlier date (provided, that any representation or warranty that is qualified by materiality or material adverse effect
shall be true and correct in all respects as of the Closing, or as of such particular earlier date, as the case may be).

 

(ii) Buyer
shall have performed or complied in all material respects with all agreements and covenants required by this Agreement to be performed
or complied with by it on or prior to the Closing.

 

(iii) All
consents from third parties under any agreement, contract, license, lease or other instrument to which Buyer or the Company is
a party or by which it is bound required as a result of the Transactions shall have been obtained from such third parties.

 

    	3

    	 

    

 

(iv) Buyer
shall have delivered to Seller a certificate, dated the date of the Closing, signed by the duly authorized officer of Buyer, certifying
to Seller as to the satisfaction of the conditions specified in Sections 2(b)(i) through 2(b)(iii) hereof (the “Buyer
Closing Certificate”).

 

3. Closing.

 

(a) Subject
to the terms and conditions contained in this Agreement, the Acquisition and all other Transactions (including the settlement
and release of all Claims, the exchange, transfer and assignment of the Shares to Buyer and the issuance and delivery to Seller
of the Consideration) shall take place at a closing (the “Closing”) to be on April 1, 2021 (or such other later
date agreed to in writing by Buyer and Seller) by the parties hereto (the “Closing Date”).

 

(b) At
the Closing, Seller shall deliver to Buyer the stock certificates evidencing the Shares, free and clear of all Encumbrances (as
defined herein), duly endorsed in blank or accompanied by stock powers or other instruments of transfer duly executed in blank.

 

(c) At
the Closing, Buyer shall (i) pay Seller the cash portion of the Consideration, via wire transfer of immediately available funds,
to the bank account of Seller in the wire instruction set forth on Exhibit “B” attached hereto and (ii) deliver
to Seller the MSGM Share portion of the Consideration by issuing to Seller such number of the MSGM Shares (at the option of Seller,
in either book entry or certificated form, subject to, in either case the restrictive legend set forth in Exhibit “A”)
as determined pursuant to Section 1(b) of this Agreement.

 

(d) At
Closing, Seller shall deliver to Buyer and the Company the duly executed Seller Closing Certificate.

 

(e) At
Closing, Buyer shall deliver to Seller the duly executed Buyer Closing Certificate.

 

(f) At
Closing, Buyer shall deliver to Seller the consent of the representative (acting for the underwriters that participated in Buyer’s
initial public offering) to the issuance by Buyer of the MSGM Shares that are part of the Consideration.

 

(g)
Within fifteen (15) days after Closing, Buyer shall deliver
to Seller a copy of Form D, as filed with the U.S. Securities and Exchange Commission (the “SEC”) and the North
Carolina Securities Division, with respect to the issuance of the MSGM Shares that are part of the Consideration.

 

4. Representations
and Warranties of Seller. Seller hereby represents and warrants to Buyer and the Company as follows:

 

(a) Seller
is a limited liability company duly organized, validly existing and in good standing under the laws of the State of North Carolina.
Seller is a resident of the State of North Carolina.

 

(b) Seller
has all requisite power and authority to execute and deliver this Agreement, to carry out its obligations hereunder, and to consummate
the transactions contemplated hereby. Seller has taken all action necessary to authorize its entry into and performance of its
obligations under this Agreement. Seller has caused this Agreement to be executed and delivered on its behalf by its duly authorized
officer whose signature is set forth on its behalf on the signature page of this Agreement. Assuming due authorization, execution
and delivery by Buyer, this Agreement constitutes a legal, valid and binding obligation of Seller enforceable against Seller in
accordance with its terms, except as enforcement may be limited by applicable bankruptcy, insolvency, reorganization, moratorium
and other similar laws affecting the rights of creditors generally and the availability of equitable remedies.

 

    	4

    	 

    

 

(c) Seller
is the sole direct and beneficial owner of the Shares, free and clear of all liens, pledges, security interests, charges, claims,
encumbrances, agreements, options, voting trusts, proxies and other arrangements or restrictions of any kind (“Encumbrances”),
other than other than (i) restrictions of general applicability imposed by federal state securities laws and (ii) restrictions
on transfer set forth in the Stockholders’ Agreement (each Encumbrances referenced in clause (i), (ii) or (iii), a “Permitted
Encumbrance”). Upon consummation of the Acquisition, Buyer will receive good and marketable title to all such Shares
as a consequence of the transactions contemplated hereby, free and clear of all Encumbrances, other than Permitted Encumbrances.

 

(d) The
execution, delivery and performance by Seller of this Agreement do not conflict with, violate or result in the breach of, or create
any Encumbrance on the Shares pursuant to, any agreement, instrument, order, judgment, decree, law or governmental regulation
to which Seller is a party or is subject or by which the Shares are bound.

 

(e) No
governmental, administrative or other third-party consents or approvals are required by or with respect to Seller in connection
with the execution and delivery of this Agreement and the consummation of the transactions contemplated hereby.

 

(f) Seller
has not entered into any agreements of any kind or nature binding upon the Company and/or the Shares which have not been disclosed
in writing to Buyer, other than the Stockholders’ Agreement. There are no material liabilities of Seller relating to the
Shares which have not been disclosed in writing to Buyer. There are no actions, suits, claims, investigations or other legal proceedings
pending or, to the actual knowledge of Seller, threatened against or by Seller that challenge or seek to prevent, enjoin or otherwise
delay the transactions contemplated by this Agreement.

 

(g) No
broker, finder or investment banker is entitled to any brokerage, finder’s or other fee or commission in connection with
the transactions contemplated by this Agreement based upon arrangements made by or on behalf of Seller.

 

(h) Seller,
in making its decision to enter into this Agreement and consummate the Transactions, is not relying on any representations or
warranties of any person(s) other than the representations and warranties of Buyer expressly set forth in Section 5 of this Agreement.

 

(i) Seller
acknowledges that the Seller is under no compulsion to exchange, assign or transfer the Shares to Buyer and is completing the
sale of the Shares of the Seller’s own free will. The Seller (i) has sufficient knowledge and experience with and information
about Buyer (including all Buyer’s public filings with the SEC), the Shares (including the Shares fair market value) and
the Company in order to be fully familiar with Buyer, the Company and its current business, operations, assets, finances, financial
results, financial condition and prospects and so as to be able to evaluate the risks and merits of consummating the transactions
contemplated by this Agreement, (ii) has been provided the opportunity to have full access to all books and records of the Company
and all of its contracts, agreements and documents and (iii) has had an opportunity to ask questions of, and receive answers from,
representatives of Buyer and the Company regarding the Shares, Buyer, the Company and Buyer’s and the Company’s business,
operations, assets, financing, operating results, financial condition and prospects in order to make an informed decision to exchange,
assign or transfer the Shares to Buyer.

 

    	5

    	 

    

 

(j) Seller
acknowledges and agrees that (i) Section 3.2(f)(i) of the Stockholders’ Agreement permits the transfer of the Shares from
one stockholder of the Company to another in an arm’s length transaction for fair market value, (ii) Buyer and Seller have
negotiated and are entering into the Transactions at arm’s length, (iii) the Consideration constitutes fair market value
of the Shares as of the date of this Agreement and (iv) the right of first refusal under the Stockholders’ Agreement does
not apply to the Transactions.

 

(k) Seller
acknowledges and agrees that, for the purpose of the issuance of the MSGM Shares, Buyer is relying on Seller’s investor
representations and warranties attached hereto as Exhibit “C.”

 

5. Representation
and Warranties of Buyer and the Company. Each of Buyer and the Company (as applicable) hereby represents and warrants to Seller
as follows:

 

(a) Each
of the Company and Buyer is a corporation duly organized, validly existing and in good standing under the laws of the State of
Delaware.

 

(b) Each
of the Company and Buyer has all requisite power and authority (including, without limitation, the resolutions adopted by the
board of directors (or a committee thereof) of the Company and Buyer, as applicable, authorizing the execution, delivery and performance
of this Agreement and the consummation of the Transactions) to enter into this Agreement, to carry out its obligations hereunder
and to consummate the Transactions. The execution and delivery by each of the Company and Buyer of this Agreement, the performance
by each of the Company and Buyer of their respective obligations hereunder and the consummation by each of the Company and Buyer
of the Transactions have been duly authorized by all requisite corporate action on the part of each of the Company and Buyer.
This Agreement has been duly executed and delivered by each of the Company and Buyer and (assuming due authorization, execution
and delivery by Seller) this Agreement constitutes a legal, valid and binding obligation of each of the Company and Buyer enforceable
against each of the Company and Buyer in accordance with its terms, except as enforcement may be limited by applicable bankruptcy,
insolvency, reorganization, moratorium and other similar laws affecting the rights of creditors generally and the availability
of equitable remedies.

 

(c) Buyer
is acquiring the Shares solely for its own account for investment purposes and not with a view to, or for offer or sale in connection
with, any distribution thereof. Buyer acknowledges that the Shares are not registered under the Securities Act or any state securities
laws, and that the Shares may not be transferred or sold except pursuant to the registration provisions of the Securities Act
of 1933, as amended or pursuant to an applicable exemption therefrom and subject to state securities laws and regulations, as
applicable.

 

(d) Other
than a consent of the representative (acting for the underwriters that participated in Buyer’s initial public offering)
to the issuance by Buyer of the MSGM Shares that are part of the Consideration, notification or filing (if required by law) with any state
securities authorities, and filing by Buyer of the current report on Form 8-K with the SEC, no governmental, administrative or
other third-party consents or approvals are required by or with respect to Buyer in connection with the execution and delivery
of this Agreement and the consummation of the transactions contemplated hereby.

 

    	6

    	 

    

 

(e) No
broker, finder or investment banker is entitled to any brokerage, finder’s or other fee or commission in connection with
the transactions contemplated by this Agreement based upon arrangements made by or on behalf of Buyer.

 

(f) Buyer,
in making its decision to enter into this Agreement and consummate the transactions contemplated herein, is not relying on any
representations or warranties of any person(s) other than the representations and warranties of Seller expressly set forth in
Section 4 of this Agreement.

 

(g) Buyer
is able to evaluate the risks and benefits of acquiring the Shares, is able to bear the economic risk of owning the Shares for
an indefinite period of time, and is able to bear the loss of its entire investment in the Shares. Buyer is an “accredited
investor” within the meaning of Rule 501(a) of Regulation D promulgated under the Securities Act.

 

(h) Buyer
and Company acknowledge and agree that (i) Section 3.2(f)(i) of the Stockholders’ Agreement permits the transfer of the
Shares from one stockholder of the Company to another in an arm’s length transaction for fair market value, (ii) Buyer and
Seller have negotiated and are entering into the Transactions at arm’s length, (iii) the Consideration constitutes fair
market value of the Shares and (iv) the right of first refusal under the Stockholders’ Agreement does not apply to the Transactions.

 

6. Survival.
All representations, warranties and covenants contained herein shall survive the execution and delivery of this Agreement and
the Closing hereunder; provided, however, that no party may bring any claim alleging or based on the breach of any
representation or warranty unless the party alleging breach gives the party alleged to have breached a representation or warranty
written notice in accordance with the provisions of Section 11 below within three (3) years after the Closing.

 

7. Indemnification.
Each of the Company, Buyer, and Seller hereby agrees to indemnify and hold harmless the others, and the others’ Related
Parties from and against any and all losses, costs, damages, liabilities or expenses actually incurred, including, without limitation,
reasonable and documented attorneys’ fees or other legal expenses or expert fees (collectively, “Damages”)
arising out of: (a) any breach in any representation or warranty made by the Indemnifying Party (as defined below) in this Agreement
provided notice of such breach is timely given in accordance with Section 6 above, or (b) any breach or failure of the Indemnifying
Party to perform any covenant or obligation of the Indemnifying Party set out in this Agreement. For purposes of this Agreement,
(x) “Related Party” means with respect to a person, any or its affiliates, or any of its or its affiliate’s
shareholders, directors, officers, employees, managers, members, partners, representatives or trustees; and (y) “Indemnifying
Party” means either the Company, Buyer, or Seller, as applicable, when indemnification is sought from an Indemnified
Party against such Person pursuant to this Section 7, and “Indemnified Party” means Buyer, the Company, Seller
or any Related Party of Buyer, the Company, or Seller, as applicable, when such Person is seeking indemnification from an Indemnifying
Party pursuant to this Section 7. The provisions of this Section 7 provide the exclusive remedy for any breach of any representation,
warranty or covenant set forth in this Agreement.

 

8. Further
Assurances. Following the Closing, each of the parties hereto shall execute and deliver such additional documents, instruments,
conveyances and assurances, and take such further actions as may be reasonably required to carry out the provisions hereof and
give effect to the transactions contemplated by this Agreement.

 

    	7

    	 

    

 

9. Releases.

 

(a) Seller,
for itself and on behalf of Seller’s affiliates, successors and assigns, shareholders, officers, directors, employees, contractors,
affiliates, agents and their successors and assigns (collectively, the “Seller Releasors”) hereby releases
and forever discharges the Company, Buyer, Buyer’s and the Company’s respective members, shareholders, managers, officers,
directors, contractors, affiliates, heirs, successors, predecessors, assigns, agents, the Company’s post-Closing shareholders,
and all persons acting by, through or under each of them (collectively, the “Buyer Releasees”), of and from
any and all Claims and any and all other claims, debts, obligations and liabilities, whether known or unknown, contingent or non-contingent,
at law or in equity, whether direct or derivative, in each case directly or indirectly arising from or in connection with, or
relating to, the Company, the Company’s business, the Shares or any agreements or obligations of the Company and/or Seller’s
ownership of the Company or resulting from Seller or any of its Related Parties having been a director, officer or employee of
the Company, which the Seller Releasors or any of them now have or had or may hereafter have against either the Company or the
Buyer Releasees, or any them; provided, however, that nothing in this Section 9(a) shall terminate or release Buyer’s
obligations to Seller under this Agreement. Seller shall not and shall cause the Seller Releasors to not disparage the Buyer Releasees
to third parties or in public or otherwise take any action or make any comment that would harm in any way the goodwill, business
or reputation of the Buyer Releasees. Seller, for itself and on behalf of Seller Releasors agrees not, directly or indirectly,
to bring, or assist or cooperate in bringing, any claims released hereunder, and further agrees that this release is, will constitute,
and may be pleaded as, a bar to any such released claims. Neither the execution nor delivery of this Agreement nor the payment
of any consideration by any person incident to this release is an admission of any wrongdoing whatsoever on the part of any party,
including, but not limited to, with respect to the Claims. Seller, for itself and on behalf of Seller Releasors acknowledges that
no remedy of law may be adequate to compensate the injured party for a violation of this Section and each of them hereby agrees
that, in addition to any legal or other rights that may be available in the event of a breach hereunder, the injured party may
seek equitable relief to enforce this Section in any court of competent jurisdiction. In any such action brought by any Seller
Releasor, such party shall be entitled to recover reasonable attorneys’ fees, court costs and expenses through and including
all appeals.

 

(b) Each
of Buyer and the Company, for itself and on behalf of its respective affiliates, successors and assigns, shareholders, officers,
directors, employees, contractors, affiliates, agents and their successors and assigns (collectively, the “Buyer Releasors”)
hereby releases and forever discharges Seller, Seller’s members, managers, officers, contractors, affiliates, heirs, successors,
predecessors, assigns, agents, and all persons acting by, through or under each of them (collectively, the “Seller Releasees”),
of and from any and all claims, debts, obligations and liabilities, whether known or unknown, contingent or non-contingent, at
law or in equity, in each case directly or indirectly arising from or in connection with, or relating to, the Company, the Company’s
business, the Shares or any agreements or obligations of the Company and/or Seller’s ownership of the Company or Buyer’s
ownership of the Company or resulting from any of Seller or Buyer or any of their respective Related Parties having been a director,
officer or employee of the Company, which the Buyer Releasors or any of them now have or had or may hereafter have against the
Seller Releasees, or any them; provided, however, that nothing in this Section 9(b) shall terminate or release Seller’s
obligations to Buyer under this Agreement. Buyer shall not and shall cause the Buyer Releasors to not disparage the Seller Releasees
to third parties or in public or otherwise take any action or make any comment that would harm in any way the goodwill, business
or reputation of the Seller Releasees. Buyer, for itself and on behalf of Buyer Releasors agrees not, directly or indirectly,
to bring, or assist or cooperate in bringing, any claims released hereunder, and further agrees that this release is, will constitute,
and may be pleaded as, a bar to any such released claims. Neither the execution nor delivery of this Agreement nor the payment
of any consideration by any person incident to this release is an admission of any wrongdoing whatsoever on the part of any party.
Buyer, for itself and on behalf of Buyer Releasors acknowledges that no remedy of law may be adequate to compensate the injured
party for a violation of this Section and each of them hereby agrees that, in addition to any legal or other rights that may be
available in the event of a breach hereunder, the injured party may seek equitable relief to enforce this Section in any court
of competent jurisdiction. In any such action brought by any Buyer Releasor, such party shall be entitled to recover reasonable
attorneys’ fees, court costs and expenses through and including all appeals.

 

    	8

    	 

    

 

10. Expenses.
All costs and expenses incurred in connection with this Agreement and the transactions contemplated hereby shall be paid by the
party incurring such costs and expenses.

 

11. Notices.
All notices, requests, consents, claims, demands, waivers and other communications hereunder (each, a “Notice”)
shall be in writing and addressed to the parties at the addresses set forth on the first page of this Agreement (or to such other
address that may be designated by the receiving party from time to time in accordance with this section). All Notices shall be
delivered by personal delivery, nationally recognized overnight courier (with all fees pre-paid), facsimile or e-mail of a PDF
document (with confirmation of transmission) or certified or registered mail (in each case, return receipt requested, postage
prepaid). Except as otherwise provided in this Agreement, a Notice is effective and shall be deemed to have been given or made
(a) when sent by facsimile with delivery receipt or by electronic mail, (b) one business day after being deposited with such overnight
courier service or (c) three business days after being deposited in the mail, in each case addressed to the party at its address
specified herein. Notices may also be given in any other manner permitted by law, effective upon actual receipt.

 

12. Entire
Agreement. This Agreement constitutes the sole and entire agreement of the parties to this Agreement with respect to the subject
matter contained herein, and supersedes all prior and contemporaneous understandings, agreements, representations and warranties,
both written and oral, with respect to such subject matter. There are no agreements, warranties, covenants or undertakings regarding
the subject matter of this Agreement other than those expressly set forth herein.

 

13. Successor
and Assigns. This Agreement shall be binding upon and shall inure to the benefit of the parties hereto and their respective
successors and permitted assigns. No party may assign any of its rights or obligations hereunder without the prior written consent
of the other parties hereto.

 

14. Headings.
The headings in this Agreement are for reference only and shall not affect the interpretation of this Agreement.

 

15. Amendment
and Modification; Waiver. This Agreement may only be amended, modified or supplemented by an agreement in writing signed by
each party hereto. No waiver by any party of any of the provisions hereof shall be effective unless explicitly set forth in writing
and signed by the party so waiving. Except as otherwise set forth in this Agreement, no failure to exercise, or delay in exercising,
any rights, remedy, power or privilege arising from this Agreement shall operate or be construed as a waiver thereof; nor shall
any single or partial exercise of any right, remedy, power or privilege hereunder preclude any other or further exercise thereof
or the exercise of any other right, remedy, power or privilege.

 

16. Severability.
If any term or provision of this Agreement is invalid, illegal or unenforceable in any jurisdiction, such invalidity, illegality
or unenforceability shall not affect any other term or provision of this Agreement or invalidate or render unenforceable such
term or provision in any other jurisdiction. Upon such determination that any term or other provision is invalid, illegal or unenforceable,
the parties hereto shall negotiate in good faith to modify this Agreement so as to effect the original intent of the parties as
closely as possible in a mutually acceptable manner in order that the transactions contemplated hereby be consummated as originally
contemplated to the greatest extent possible.

 

    	9

    	 

    

 

17. Governing
Law; Submission to Jurisdiction. This Agreement shall be governed by and construed in accordance with the internal laws of
the State of Delaware without giving effect to any choice or conflict of law provision or rule (whether of the State of Delaware
or any other jurisdiction). Any legal suit, action or proceeding arising out of or based upon this Agreement or the transactions
contemplated hereby may be instituted in the federal courts of the United States or the courts of the State of Delaware in each
case located in the State of Delaware, and each party irrevocably submits to the exclusive jurisdiction of such courts in any
such suit, action or proceeding. Service of process, summons, notice or other document by mail to such party’s address set
forth herein shall be effective service of process for any suit, action or other proceeding brought in any such court. The parties
irrevocably and unconditionally waive any objection to the laying of venue of any suit, action or any proceeding in such courts
and irrevocably waive and agree not to plead or claim in any such court that any such suit, action or proceeding brought in any
such court has been brought in an inconvenient forum.

 

18. Jury
Trial Waiver. TO THE FULLEST EXTENT NOT PROHIBITED BY APPLICABLE LAW, WHICH CANNOT BE WAIVED, EACH OF THE PARTIES HEREBY KNOWINGLY,
VOLUNTARILY, INTENTIONALLY AND IRREVOCABLY WAIVES ANY AND ALL RIGHT TO A TRIAL BY JURY IN ANY ACTION OR PROCEEDING TO ENFORCE
OR DEFEND ANY RIGHT, POWER, REMEDY OR DEFENSE ARISING OUT OF OR RELATED TO THIS AGREEMENT, WHETHER SOUNDING IN TORT OR CONTRACT
OR OTHERWISE, OR WITH RESPECT TO ANY COURSE OR CONDUCT, COURSE OF DEALING, STATEMENTS (WHETHER VERBAL OR WRITTEN) OR ACTIONS OF
ANY PARTY RELATING TO THIS AGREEMENT; AND AGREES THAT ANY SUCH ACTION OR PROCEEDING SHALL BE TRIED BEFORE A JUDGE AND NOT BEFORE
A JURY. EACH OF THE PARTIES HERETO FURTHER WAIVES ANY RIGHT TO SEEK TO CONSOLIDATE ANY SUCH LITIGATION IN WHICH A JURY TRIAL HAS
BEEN WAIVED WITH ANY OTHER LITIGATION IN WHICH A JURY TRIAL CANNOT OR HAS NOT BEEN WAIVED. FURTHER, EACH OF THE PARTIES HERETO
HEREBY CERTIFIES THAT NONE OF ITS REPRESENTATIVES, AGENTS OR ATTORNEYS HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT IT WOULD
NOT, IN THE EVENT OF SUCH LITIGATION, SEEK TO ENFORCE THIS WAIVER OF RIGHT TO JURY TRIAL PROVISION. EACH OF THE PARTIES HERETO
ACKNOWLEDGES THAT THE PROVISIONS OF THIS SECTION ARE A MATERIAL INDUCEMENT TO THE ACCEPTANCE OF THIS AGREEMENT BY THE OTHER PARTIES
HERETO.

 

19. Incorporation
of Recitals. The recitals on page 1 of this Agreement are incorporated herein and made a part of this Agreement. The parties
to this Agreement represent to each other that such recitals are true and correct.

 

20. Representation;
Independent Counsel. The parties hereto participated jointly in the negotiation and drafting of this Agreement. If an ambiguity
or question of intent or interpretation arises, then this Agreement will be construed as if drafted jointly by the parties to
this Agreement, and no presumption or burden of proof will arise favoring or disfavoring any party to this Agreement by virtue
of the authorship of any of the provisions of this Agreement. The parties hereto acknowledge and represent to each other that
they have been given adequate opportunity to consult with their own independent legal counsel before entering into the Transactions
(including the settlement of all Claims) and executing this Agreement. The language of this Agreement shall be construed as representing
the parties’ mutual understanding and as having been drafted and approved by the parties and separate and independent counsel
for each party. Each party hereto (i) acknowledges and agrees that Snell & Wilmer LLP (“S&W”) has represented
and represents only Buyer in connection with the preparation, negotiation and/or execution of this Agreement and (ii) hereby waives
any and all claims such party might have against S&W by reason of S&W’s representation of Buyer or its parent entity
and/or their respective affiliates. S&W is hereby expressly made a third party beneficiary of this Agreement for purposes
of this Section 20.

 

    	10

    	 

    

 

21. No
Admission of Liability. The parties hereto understand that this Agreement, the Transaction and the settlement is the compromise
of disputed claims, and that the Consideration delivered and accepted in accordance herewith is not to be construed as any admission
of liability on the part of the persons and entities hereby released, by whom liability is expressly denied.

 

22. Public
Announcements. In compliance with applicable law, stock exchange or SEC disclosure requirements, Buyer shall make all necessary
disclosures of the terms of this Agreement and the Transactions, including filing a copy of this Agreement in any appropriate
SEC filing. Any public announcements by Seller will be made only with the written consent and approval of Buyer.

 

23. Counterparts.
This Agreement may be executed in counterparts, each of which shall be deemed an original, but all of which together shall be
deemed to be one and the same agreement. A signed copy of this Agreement delivered by facsimile, e-mail or other means of electronic
transmission shall be deemed to have the same legal effect as delivery of an original signed copy of this Agreement.

 

24. Termination.
The closing obligations of the parties hereto under this Agreement may be terminated at any time prior to the Closing:

 

(a) by
mutual written consent of Seller and Buyer; or

 

(b) by
either Seller, on the one hand, or Buyer, on the other hand, (i) if the Closing has not occurred on or before April 19, 2021 (the
“End Date”) and (ii) the terminating party shall not have breached in any material respect any of its obligations
under this Agreement in any manner that shall have proximately caused (directly or indirectly) the failure of the Closing to occur
on or before the End Date.

 

If
this Agreement is terminated by the parties in accordance with this Section 24, this Agreement shall become void and of no further
effect; provided that (A) the provisions of Section 10 (Expenses), Section 17 (Governing Law; Submission to Jurisdiction), Section
18 (Jury Trial Waiver), Section 20 (Representation; Independent Counsel), Section 21 (No Admission of Liability) and this Section
24 (Termination) shall survive any such termination and (B) no party shall be relieved of any liability for any willful and deliberate
breach of the provisions of this Agreement prior to the termination of this Agreement.

 

[SIGNATURE
PAGE FOLLOWS.]

 

    	11

    	 

    

 

IN
WITNESS WHEREOF, the parties hereto have executed this Agreement on the date first written above.

 

	 	PLAYFAST
    GAMES, LLC
	 	 	 
	 	By	/s/ Paul Brooks
	 	Name:
    	Paul
    Brooks
	 	Title:	Managing
    Member
	 	 	 
	 	MOTORSPORT
    GAMES INC.
	 	 	 
	 	By	/s/
    Dmitry Kozko
	 	Name:
    	Dmitry
    Kozko
	 	Title:	CEO
	 	 	 
	 	704GAMES
    COMPANY
	 	 	 
	 	By	/s/
    Dmitry Kozko
	 	Name:	Dmitry
    Kozko
	 	Title:	CEO

 

    	12

    	 

    

 

Exhibit
“A”

 

RESTRICTIVE
LEGEND

 

THE
SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR APPLICABLE
STATE SECURITIES LAWS. THE SECURITIES MAY NOT BE OFFERED FOR SALE, SOLD, TRANSFERRED OR ASSIGNED (I) IN THE ABSENCE OF (A) AN
EFFECTIVE REGISTRATION STATEMENT FOR THE SECURITIES UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR APPLICABLE STATE SECURITIES
LAWS, OR (B) AN OPINION OF COUNSEL, IN A REASONABLY ACCEPTABLE FORM, THAT REGISTRATION IS NOT REQUIRED UNDER SAID ACT OR APPLICABLE
STATE SECURITIES LAWS, OR (II) UNLESS SOLD PURSUANT TO RULE 144 UNDER SAID ACT.

 

    	13

    	 

    

 

Exhibit
“B”

Wire Instruction

 

Playfast
Games LLC

Bank
of America

Routing
Number:

Account
Number:

 

    	14

    	 

    

 

Exhibit
“C”

INVESTMENT
REPRESENTATIONS AND WARRANTIES

 

As
a condition precedent to the issuance and/or delivery of the MSGM Shares to Seller, Seller hereby represents and warrants to Buyer
as follows:

 

Seller
acknowledges that the issuance and transfer to it of the MSGM Shares has not been reviewed by the SEC or any state securities
regulatory authority because such transaction is intended to be exempt from the registration requirements of the Securities Act
of 1933, as amended (the “Securities Act”), and applicable state securities laws. Seller understands that Buyer
is relying upon the truth and accuracy of, and Seller’s compliance with, the representations, warranties, acknowledgments
and understandings of Seller set forth in this Agreement in order to determine the availability of such exemptions and the eligibility
of Seller to acquire the MSGM Shares.

 

Seller
represents that the MSGM Shares are being acquired by Seller for its own account, for investment purposes only and not with a
view to or for distribution or resale to others in contravention of the registration requirements of the Securities Act or applicable
state securities laws. Seller agrees that it will not sell or otherwise transfer any of the MSGM Shares unless such transfer or
resale is registered under the Securities Act and applicable state securities laws or unless exemptions from such registration
requirements are available.

 

Seller
has such knowledge and experience in financial and business matters that it is capable of evaluating the merits and risks of Seller’s
investment in Buyer through Seller’s acquisition of the MSGM Shares. Seller is able to bear the economic risk of its investment
in Buyer through Seller’s acquisition of the MSGM Shares for an indefinite period of time. At the present time, Seller can
afford a complete loss of such investment and has no need for liquidity in such investment.

 

Seller
recognizes that its acquisition of the MSGM Shares involves a high degree of risk in that: (a) an investment in Buyer is highly
speculative and only Seller who can afford the loss of their entire investment should consider investing in Buyer and securities
of Buyer; (b) transferability of the MSGM Shares is limited; (c) Buyer has experienced recurring losses and it must raise substantial
additional capital in order to continue operating its business; (d) subsequent equity financings will dilute the ownership and
voting interests of Seller and equity securities issued by Buyer to other persons or entities may have rights, preferences or
privileges senior to the rights of Seller; (e) any debt financing that may be obtained by Buyer must be repaid regardless of whether
Buyer generates revenues or cash flows from operations and may be secured by substantially all of Buyer’s assets; (f) there
is absolutely no assurance that any type of financing on terms acceptable to Buyer will be available to Buyer or otherwise obtained
by Buyer; and (g) if Buyer is unable to obtain additional financing or is unable to obtain additional financing on terms acceptable
to it, then Buyer may be unable to implement its business plans or take advantage of business opportunities, which could have
a material adverse effect on Buyer’s business prospects, financial condition and results of operations and may ultimately
require Buyer to suspend or cease operations.

 

Seller
acknowledges that it has prior investment experience and that it recognizes and fully understands the highly speculative nature
of Seller’s investment in Buyer pursuant to its acquisition of the MSGM Shares. Seller acknowledges that it, either alone
or together with its professional advisors, has the capacity to protect its own interests in connection with this transaction.

 

Seller
is an “accredited investor” as such term is defined in Rule 501(a) under the Securities Act of 1933, as amended.

 

    	15

    	 

    

 

Seller
acknowledges that it has carefully reviewed this Agreement and Buyer’s business, operational and financial data, all of
which Seller acknowledges have been made available to it. Seller has been given the opportunity to ask questions of, and receive
answers from, Buyer concerning this Agreement, the issuance to it of the MSGM Shares, and Buyer’s business, operations,
financial condition and prospects, and Seller has been given the opportunity to obtain such additional information, to the extent
Buyer possesses such information or can acquire it without unreasonable effort or expense, necessary to verify the accuracy of
same as Seller reasonably desires in order to evaluate its investment in Buyer pursuant its acquisition of the MSGM Shares. Seller
fully understands all of such documents and has had the opportunity to discuss any questions regarding any of such documents or
filings with its legal counsel and tax, investment and other advisors. Notwithstanding the foregoing, Seller acknowledges and
agrees that the only information upon which it has relied upon in executing this Agreement is the information set forth in this
Agreement. Seller acknowledges that it has received no representations or warranties from Buyer, its employees, agents or attorneys
in making this investment decision. Seller acknowledges that it does not desire to receive any further information from Buyer
or any other person or entity in order to make a fully informed decision of whether or not to execute this Agreement and accept
the MSGM Shares.

 

Seller
acknowledges that the issuance to it of the MSGM Shares may involve tax consequences to Seller. Seller acknowledges and understands
that Seller must retain its own professional advisors to evaluate the tax and other consequences of Seller’s receipt of
the MSGM Shares.

 

Seller
understands and acknowledges that Buyer is under no obligation to register the resale of the MSGM Shares under the Securities
Act or any state securities laws. Seller agrees that Buyer may, if it desires, permit the transfer of the MSGM Shares out of Seller’s
name only when Seller’s request for transfer is accompanied by an opinion of counsel reasonably satisfactory to Buyer that
the proposed transfer satisfies an applicable exemption from registration requirements under the Securities Act and applicable
state securities laws.

 

Seller
understands that the certificate(s) or book entries representing the MSGM Shares shall bear a restrictive legend in substantially
the form the set forth on Exhibit “A” to this Agreement, and a stop-transfer order may be placed against transfer
of the MSGM Shares. The legend set forth above will be removed, and Buyer will issue a certificate or a book entry without such
legend to the holder of the MSGM Shares upon which it is stamped or entered, only if (a) such MSGM Shares are being sold pursuant
to an effective registration statement under the Securities Act, (b) such holder delivers to Buyer an opinion of counsel, in a
reasonably acceptable form to Buyer, that the disposition of the MSGM Shares is being made pursuant to an exemption from federal
and state registration requirements, or (c) such holder provides Buyer with reasonable assurance that a disposition of the MSGM
Shares may be made pursuant to Rule 144 under the Securities Act without any restriction as to the number of shares acquired as
of a particular date that can then be immediately sold.

 

Seller
acknowledges that it has a preexisting personal or business relationship with Buyer or one or more of its officers, directors
or controlling persons.

 

Seller
represents and warrants that it was not induced to invest in Buyer (pursuant to the issuance to it of the MSGM Shares) by any
form of general solicitation or general advertising, including, but not limited to, the following: (a) any advertisement, article,
notice or other communication published in any newspaper, magazine or similar media (including via the Internet) or broadcast
over the news or radio; and (b) any seminar or meeting whose attendees were invited by any general solicitation or advertising.

 

Seller’s
current address is as set forth in the introductory paragraph to the Agreement.

 

    	16

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