Document:

Exhibit 10.4

 

HUMACYTE, INC.

2021 LONG-TERM INCENTIVE PLAN

 

1. Purposes of the Plan. The purposes
of this Plan are to attract, retain, incentivize and reward top talent through stock ownership, to improve operating and financial performance
and strengthen the mutuality of interest between eligible service providers and stockholders of Humacyte, Inc. (the “Company”).
This Plan will replace the Humacyte, Inc. 2015 Omnibus Incentive Plan (the “Prior Plan”) on the Effective Date
(as defined below), except that any awards granted under the Prior Plan shall remain in effect pursuant to their terms (other than with
respect to the adjustment required under the Business Combination Agreement to reflect the Transaction).

 

2. Definitions. The following definitions
shall apply as used herein and, except as defined otherwise in an Award Agreement, in the Award Agreements.

 

“Administrator”
shall have the meaning set forth in Section 4(d).

 

“Award”
means an award described in Section 6.

 

“Award Agreement”
means the written agreement evidencing the grant of an Award, including any amendments thereto.

 

“Board”
means the Board of Directors of the Company.

 

“Code”
means the Internal Revenue Code of 1986, as amended.

 

“Committee”
means any committee that is composed of at least two members of the Board.

 

“Common Stock”
means the Class A Common Stock of the Company.

 

“Company”
means Humacyte, Inc., a Delaware corporation, or any successor entity.

 

“Consultant”
means any person other than an Employee or a Director (solely with respect to rendering services in such person’s capacity as a
Director) who is engaged by the Company or any Subsidiary to render consulting or advisory services; provided, however, that a person
shall be treated as a Consultant under this Plan only if a Form S-8 Registration Statement under the Securities Act is available
to register either the offer or the sale of the Company’s securities to such person.

 

“Corporate Transaction”
means the occurrence, in a single transaction or in a series of related transaction of any of the following events:

 

(i) any “person”
or related “group of persons” (within the meaning of Section 13(d)(3) or 14(d)(2) of the Exchange Act), other
than any person who currently owns more than a majority of the Company’s Common Stock, acquiring beneficial ownership (within the
meaning of Rule 13d-3 and 13d-5 promulgated under the Exchange Act) of more than 50% of the combined voting power of the then outstanding
voting securities of the Company;

 

(ii) a consolidation,
merger or similar transaction involving the Company, unless the stockholders of the Company immediately before such consolidation, merger
or other transaction own, directly or indirectly, a majority of the combined voting power of the outstanding voting securities of the
corporation or other entity resulting from such consolidation or merger;

 

(iii) individuals
who are members of the Board on the date the Plan is adopted by the Board (the “Incumbent Board”) ceasing for any reason
to constitute at least a majority of the members of the Board; provided, however, that if the appointment or election (or nomination for
election) of any new Board member was approved or recommended by a majority vote of the members of the Incumbent Board then still in office,
such new member shall, for purposes of the Plan, be considered as a member of the Incumbent Board;

 

     

     

    

 

(iv) the sale,
lease, exclusive license or other disposition of all or substantially all, as determined by the Board, of the consolidated assets of the
Company, other than to an entity of which the stockholders of the Company immediately before such sale, lease, exclusive license or other
disposition own, directly or indirectly, a majority of the combined voting power of the outstanding voting securities in substantially
the same proportions as their ownership of the outstanding voting securities of the Company immediately prior to such sale, lease, license
or other disposition; or

 

(v) the liquidation,
dissolution or winding up of the Company.

 

For the avoidance of doubt, a transaction will
not constitute a Corporate Transaction if: (i) its sole purpose is to change the jurisdiction of the Company’s incorporation,
or (ii) its sole purpose is to create a holding company that will be owned in substantially the same proportions by the persons who
held the Company’s securities immediately before such transaction.

 

“Director”
means a member of the Board or the board of directors of any Subsidiary.

 

“Effective Date”
means the date of the closing of the Transaction.

 

“Effective Time”
shall have the meaning set forth in Section 12.

 

“Employee”
means an employee of the Company or any Subsidiary (including a Director who is also an employee).

 

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

 

“Fair Market Value”
means, as of any date, the value of Common Stock determined as follows:

 

(i) if the
Common Stock is listed on one or more established stock exchanges or national market systems, including without limitation The Nasdaq
Global Select Market, The Nasdaq Global Market or The Nasdaq Capital Market of The Nasdaq Stock Market LLC, its Fair Market Value shall
be the closing sales price for such stock (or the closing bid, if no sales were reported) as quoted on the principal exchange or system
on which the Common Stock is listed (as determined by the Administrator) on the date of determination (or, if no closing sales price or
closing bid was reported on that date, as applicable, on the last trading date such closing sales price or closing bid was reported),
as reported in The Wall Street Journal or such other source as the Administrator deems reliable;

 

(ii) if the
Common Stock is regularly quoted on an automated quotation system (including the OTC Bulletin Board) or by a recognized securities dealer,
its Fair Market Value shall be the closing sales price for such stock as quoted on such system or by such securities dealer on the date
of determination, but if selling prices are not reported, the Fair Market Value of a share of Common Stock shall be the mean between the
high bid and low asked prices for the Common Stock on the date of determination (or, if no such prices were reported on that date, on
the last date such prices were reported), as reported in The Wall Street Journal or such other source as the Administrator deems reliable;
or

 

(iii) if neither
(i) nor (ii) above applies, the fair market value determined by the Board using any measure of value that the Board determines
to be appropriate (including, as it considers appropriate, relying on appraisals) in a manner consistent with the valuation principles
under Sections 409A and 422 of the Code, except as the Board may expressly determine otherwise.

 

“Grantee”
means an individual who receives an Award.

 

“Incentive Stock
Option” means an Option intended to qualify as an incentive stock option within the meaning of Section 422 of the Code.

 

“Non-Employee Director”
means a member of the Board who is not also an Employee.

 

“Non-Qualified Stock
Option” means an Option not intended to qualify as an Incentive Stock Option.

 

“Option”
means an option to purchase Shares.

 

     

     

    

 

“Parent”
means a “parent corporation,” of the Company whether now or hereafter existing, as defined in Section 424(e) of
the Code.

 

“Performance Award”
means an Award that may vest or be exercised or a cash award that may vest or become earned and paid contingent upon the attainment during
a Performance Period of certain Performance Goals, as determined by the Administrator and set forth in the applicable Award Agreement.
An Award may be both a Performance Award and an Award of Options, SARs, Restricted Stock, or Restricted Units or any other form of Award
permitted by the Plan.

 

“Performance Goals”
means, for a Performance Period, the one or more goals established by the Administrator for the Performance Period. Performance Goals
may be based on a Company-wide basis, with respect to one or more business units, divisions, Subsidiaries, or business segments, and in
either absolute terms or relative to the performance of one or more comparable companies or the performance of one or more relevant indices,
and may be based on financial performance, achievement of strategic objectives, or any other organizational goals, all as determined by
the Administrator. Unless specified otherwise by the Board (i) in the Award Agreement at the time the Award is granted or (ii) in
such other document setting forth the Performance Goals at the time the Performance Goals are established, the Board will appropriately
make adjustments in the method of calculating the attainment of Performance Goals for a Performance Period as follows: (1) to exclude
restructuring and/or other nonrecurring charges; (2) to exclude exchange rate effects; (3) to exclude the effects of changes
to generally accepted accounting principles; (4) to exclude the effects of any statutory adjustments to corporate tax rates; (5) to
exclude the effects of items that are “unusual” in nature or occur “infrequently” as determined under generally
accepted accounting principles; (6) to exclude the dilutive effects of acquisitions or joint ventures; (7) to assume that any
business divested by the Company achieved performance objectives at targeted levels during the balance of a Performance Period following
such divestiture; (8) to exclude the effect of any change in the outstanding shares of common stock of the Company by reason of any
stock dividend or split, stock repurchase, reorganization, recapitalization, merger, consolidation, spin-off, combination or exchange
of shares or other similar corporate change, or any distributions to common stockholders other than regular cash dividends; (9) to
exclude the effects of stock based compensation and the award of bonuses under the Company’s bonus plans; (10) to exclude costs
incurred in connection with potential acquisitions or divestitures that are required to expense under generally accepted accounting principles;
and (11) to exclude the goodwill and intangible asset impairment charges that are required to be recorded under generally accepted accounting
principles. In addition, the Board retains the discretion to reduce or eliminate the compensation or economic benefit due upon attainment
of Performance Goals and to define the manner of calculating the performance criteria it selects to use for such Performance Period. Partial
achievement of the specified criteria may result in the payment or vesting corresponding to the degree of achievement as specified in
the Award Agreement or the written terms of a Performance Award.

 

“Performance Period”
means the period of time selected by the Administrator over which the attainment of one or more Performance Goals will be measured for
the purpose of determining a Participant’s right to vesting or exercise of an Award. Performance Periods may be of varying and overlapping
duration, at the sole discretion of the Administrator.

 

“Plan”
means this Humacyte, Inc. 2021 Long-Term Incentive Plan, as such may be amended or restated from time to time.

 

“Restricted Stock”
means Shares issued under the Plan subject to restrictions determined by the Administrator and set forth in the applicable Award Agreement.

 

“Restricted Stock
Units” means an Award based on the value of Common Stock that is an unfunded and unsecured promise that may be settled in any
form specified by the Administrator in the applicable Award Agreement, including but not limited to delivery of Shares, cash, or combination
of cash and Shares as deemed appropriate by the Administrator upon the attainment of specified vesting conditions, as determined by the
Administrator and set forth in the applicable Award Agreement.

 

“SAR”
means a stock appreciation right entitling the Grantee to Shares or cash compensation, as determined by the Administrator and set forth
in the applicable Award Agreement, measured by appreciation in the value of Common Stock.

 

     

     

    

 

“Securities Act”
means the Securities Act of 1933, as amended.

 

“Service Provider”
means an Employee, Director, or Consultant.

 

“Share”
means a share of Common Stock.

 

“Subsidiary”
means a “subsidiary corporation,” of the Company whether now or hereafter existing, as defined in Section 424(f) of
the Code.

 

“Transaction”
means the transaction contemplated by the Business Combination Agreement (the “Business Combination Agreement”), dated
as of February 17, 2021, by and among Alpha Healthcare Acquisition Corp., a Delaware corporation (“AHAC”), Hunter
Merger Sub, Inc., a Delaware corporation and wholly owned subsidiary of AHAC, and Humacyte, Inc., a Delaware corporation.

 

“Unrestricted Stock”
means Shares issued under the Plan that are not subject to vesting, forfeiture or similar restrictions pursuant to the applicable Award
Agreement. For the sake of clarity, Shares that are only subject to restrictions on transfer, right of first refusal, market stand-off
and other similar restrictions shall not, by virtue of such restrictions, be deemed to be “Restricted Stock.”

 

3. Stock Subject to the Plan.

 

(a) Reserved Shares.
Subject to the provisions of Sections 11 and 12, below, the maximum aggregate number of Shares which may be issued pursuant to all
Awards (the “Share Reserve”) is 7,725,253 Shares. In addition, subject to the provisions of Sections 11 and 12
below, such Share Reserve will automatically increase on January 1 of each year commencing on January 1, 2022, in an amount
equal to 5% of the total number of shares of the Company’s capital stock outstanding on December 31 of the preceding year;
provided, however that the Board may act prior to January 1st of a given year to provide that the increase for such year will be
a lesser number of shares of Common Stock. Subject to the Share Reserve and the provisions of Sections 11 and 12, below, the maximum
aggregate number of Shares which may be issued pursuant to the exercise of Incentive Stock Options is 700,000,000 Shares (the “ISO
Limit”). The purpose of the ISO Limit is to comply with section 422 of the Code so that the Plan does not reach the ISO Limit
before the Share Reserve by reason of Shares becoming available for issuance pursuant to Section 3(b), but not being available for
issuance pursuant to the exercise of Incentive Stock Options. The Shares may be authorized, but unissued, or reacquired Common Stock.

 

(b) Shares Returned
to Plan. Any Shares covered by an Award (or portion of an Award) which (i) are forfeited, cancelled, or reacquired by the Company
prior to vesting, (ii) expire (whether voluntarily or involuntarily), (iii) are settled other than by the delivery of Shares
(including cash settlement), (iv) are tendered or withheld in payment of the Award exercise or purchase price, (v) are tendered
or withheld in satisfaction of tax withholding obligations with respect to an Award or (vi) are subject to a stock-settled SAR that
are not issued upon the net settlement of such SAR, shall be deemed not to have been issued for purposes of determining the maximum aggregate
number of Shares which may be issued under the Plan and shall again become available for issuance under the Plan; provided, however,
that in no event shall such Shares be added to the then-current number of Shares that may be issued pursuant to Incentive Stock Options.
Shares underlying any award granted under the Prior Plan that remains outstanding after the Effective Date that (i) are forfeited,
cancelled, or reacquired by the Company prior to vesting, (ii) expire (whether voluntarily or involuntarily), or (iii) are settled
other than by the delivery of Shares (including cash settlement) may be returned to this Plan and shall become available for grant and
issuance under this Plan.

 

(c) Share Counting.
For the purpose of calculating the maximum aggregate number of Shares which may be issued under the Plan (including determining the number
of Shares that are added back to the Plan pursuant to Section 3(b)) every one Share underlying an Award shall count as one Share.

 

(d) Substitute Awards.
The Administrator may grant Awards under the Plan in substitution for stock and stock-based awards held by employees, directors, consultants
or advisors of a business or entity that is acquired by, or whose assets are acquired by, the Company. The Administrator may direct that
such substitute award be granted on such terms and conditions as the Administrator considers appropriate in the circumstances, including
provisions that preserve the aggregate option spread as of the closing date of any such transaction in a manner that complies with Section 409A
of the Code. Delivery of Shares subject to such substitute awards shall not count against the maximum aggregate number of Shares which
may be issued under the Plan set forth in Section 3(a).

 

     

     

    

 

(e) Maximum
Awards to Non-Employee Directors. Notwithstanding anything to the contrary in this Plan, the value of all Awards awarded under this
Plan and all other cash compensation paid by the Company to any Non-Employee Director in any calendar year for service as a Non-Employee
Director shall not exceed $750,000, provided, however that such amount shall be $1,000,000 for the calendar year in which the applicable
Non-Employee Director is initially elected or appointed to the Board. For the purpose of this limitation, the value of any Award shall
be its grant date fair value, as determined in accordance with FASB ASC 718 or successor provision but excluding the impact of estimated
forfeitures related to service-based vesting provisions.

 

4. Administration of the Plan.

 

(a) Administration
by the Board. Subject to Sections 4(d) and 4(e), the Plan will be administered by the Board.

 

(b) Powers. Subject
to the terms of the Plan, the Board shall have authority to take any and all actions that it determines to be necessary or advisable in
connection with the administration of the Plan, including, without limitation, to:

 

(i) select
the eligible recipients to whom Awards may be granted from time to time, the type and number of Awards to be granted to such individual,
and the number of Shares or dollar amount to which an Award will relate;

 

(ii) determine
the terms and conditions of any Award, including but not limited to, the exercise price or purchase price, any restrictions or limitations
on the Award, and the vesting or Performance Goals applicable to the Award;

 

(iii) modify,
amend, or adjust the terms and conditions of any Award, at any time or from time to time, based in each case on such considerations as
the Board in its sole discretion determines;

 

(iv) accelerate
the time at which an Award may first be exercised or the time during which an Award or any part thereof will vest, notwithstanding the
provisions in the Award Agreement stating the time at which it may first be exercised or the time during which it will vest;

 

(v) determine
whether, to what extent, and under what circumstances (A) an Award may be settled in, or the exercise price or purchase price of
an Award may be paid in, cash, Stock, other Awards, or other property, or (B) an Award may be canceled, forfeited, or surrendered;

 

(vi) determine
whether conditions and events, including any Performance Goals, described in the Plan or in Award Agreements are satisfied;

 

(vii) determine
the Fair Market Value;

 

(viii) determine
the extent to which adjustments are required pursuant to Section 11;

 

(ix) prescribe
and amend the terms of or form of any document or notice required to be delivered to the Company by Grantees under the Plan;

 

(x) adopt,
amend and repeal such administrative rules, guidelines and practices relating to the Plan as the Board shall deem advisable;

 

(xi) construe
and interpret the terms of the Plan and any Award Agreements entered into under the Plan and define terms not otherwise defined in the
Plan or an Award Agreement;

 

(xii) make
and approve corrections in the documentation or administration of any Award;

 

(xiii) adopt
such modifications, procedures, and sub-plans as may be necessary or desirable to comply with provisions of the laws of jurisdictions
outside of the United States in which the Company or any Subsidiary may operate; and

 

     

     

    

 

(xiv) determine
all facts necessary to administer the Plan and any Award Agreements.

 

(c) Action by the
Board. All decisions by the Board shall be made in the Board’s sole discretion and shall be final and binding on all persons
having or claiming any interest in the Plan or in any Award. The Board shall consider such factors as it deems relevant, in its sole and
absolute discretion, to making decisions, determinations and interpretations with respect to the Plan and any Award granted thereunder,
including, without limitation, the recommendations or advice of any officer or other employee of the Company and such attorneys, consultants
and accountants as the Board may select. No director or person acting pursuant to the authority delegated by the Board shall be liable
for any action or determination relating to or under the Plan that is made in good faith.

 

(d) Appointment of
Committees. To the extent permitted by applicable law, the Board may delegate any or all of its powers under the Plan to one or more
Committees. All references in the Plan to the “Administrator” shall mean the Board or a Committee of the Board or the
officers referred to in subsection (e) to the extent that the Board’s powers or authority under the Plan have been delegated
to such Committee or officers. The Board may retain the authority to concurrently administer the Plan with any Committee and may, at any
time, revest in the Board some or all of the powers previously delegated.

 

(e) Delegation to
Officers. To the extent permitted by applicable law, the Board may delegate to one or more officers of the Company the power to grant
Awards, subject to any limitations under the Plan, to employees or officers of the Company or any of its present or future subsidiary
corporations, and to exercise such other powers under the Plan as the Board may determine, provided, that the Board may fix the
terms of the Awards to be granted by such officers and shall fix the maximum number of Shares (as defined below) subject to Awards that
the officers may grant; provided further, however, that no officer shall be authorized to grant Awards to himself or herself.

 

(f) Section 16
of the Exchange Act. Notwithstanding Section 4(d) and 4(e), no delegation may be made by the Board that would cause Awards
or other transactions under the Plan to cease to be exempt from Section 16(b) of the Exchange Act.

 

(g) Indemnification.
In addition to such other rights of indemnification as they may have, members of the Board and any Committee (and any individuals to whom
authority to act for the Board is delegated) shall be defended and indemnified by the Company to the extent permitted by law against all
reasonable expenses, including attorneys’ fees, actually and necessarily incurred in connection with the defense of any claim, investigation,
action, suit or proceeding, or in connection with any appeal therein, to which they or any of them may be a party by reason of any action
taken or failure to act under or in connection with the Plan, or any Award granted hereunder, and against all amounts paid by them in
settlement thereof (provided such settlement is approved by the Company) or paid by them in satisfaction of a judgment in any such
claim, investigation, action, suit or proceeding, except in relation to matters as to which it shall be adjudged in such claim, investigation,
action, suit or proceeding that such person is liable for gross negligence, bad faith or intentional misconduct. Upon the institution
of any such action, suit, or proceeding, any such indemnified person against whom a claim is made shall notify the Company in writing
and give the Company the opportunity, within thirty (30) days after such notice and at its own expense, to handle and defend the same
before such indemnified person undertakes to handle it on his or her own behalf.

 

5. Eligibility for Awards. Awards
other than Incentive Stock Options may be granted to Employees, Directors and Consultants. Incentive Stock Options may be granted only
to Employees.

 

6. Types and Terms of Awards.

 

(a) General.
Awards may be made under the Plan in the form of (i) Options, (ii) SARs, (iii) Restricted Stock, (iv) Restricted Stock
Units, (v) Unrestricted Stock; (vi) Performance Awards; and (vii) other Awards.

 

(b) Conditions of
Awards. Subject to the terms of the Plan, the Administrator shall determine the provisions, terms, and conditions of each Award including,
but not limited to, the vesting schedule, restrictions and restriction periods, repurchase provisions, rights of first refusal, forfeiture
provisions, form of payment (cash, Shares, or other consideration) upon settlement of the Award, payment contingencies, and satisfaction
of any Performance Goals. The Administrator may determine the effect on an Award of the disability, death, termination or other cessation
of employment or service, authorized leave of absence or other change in the employment or service relationship of the Grantee. All of
the terms and conditions of an Award shall be set forth in the applicable Award Agreement.

 

     

     

    

 

(c) Discretion of
Administrator. Except as otherwise provided by the Plan, each Award may be made alone or in addition or in relation to any other Award.
The terms of each Award need not be identical, and the Administrator need not treat Grantees uniformly.

 

(d) Rights of a Stockholder.
A Grantee shall have no rights as a shareholder with respect to the Shares covered by an Award until the date the Grantee becomes the
holder of record of such Shares. No adjustment shall be made for dividends or other rights for which the record date is prior to such
date, except as provided by the Administrator.

 

7. Options and SARs.

 

(a) General.
The Administrator may grant Options and SARs under the Plan and determine the number of Shares to be covered by each Option and/or SAR,
the exercise price and such other terms, conditions and limitations applicable to the exercise of each Option and/or SAR, as it deems
necessary or advisable. Subject to Section 7(g), Options granted under the Plan may be either Incentive Stock Options or Non-Qualified
Stock Options. To the extent that any Option does not qualify as an Incentive Stock Option, it shall be deemed a Non-Qualified Stock Option.

 

(b) Exercise Price.
The exercise price per Share subject to an Option or SAR shall be determined by the Administrator at the time of grant but shall not be
less than 100% of the Fair Market Value on the date of grant. If an Employee owns or is deemed to own (by reason of the attribution rules of
Section 424(d) of the Code) more than 10% of the combined voting power of all classes of stock of the Company or any Subsidiary
or Parent of the Company, and an Incentive Stock Option is granted to such Employee, the exercise price of such Incentive Stock Option
shall not be less than 110% of the Fair Market Value on the grant date. Notwithstanding the foregoing, Options may be granted with a per
Share exercise price other than as required above as a substitution for a stock option or stock appreciation right in accordance with
and pursuant to Section 424 of the Code, in the case of an Incentive Stock Option, and pursuant to Section 409A of the Code,
in the case of a Non-Qualified Stock Option.

 

(c) Term of Options
and SARs. The term of each Option and SAR shall be fixed by the Administrator and set forth in the Award Agreement; provided, however,
that no Option or SAR shall be exercisable more than ten (10) years after the date of grant. If an Employee owns or is deemed to
own (by reason of the attribution rules of Section 424(d) of the Code) more than 10% of the combined voting power of all
classes of stock of the Company or any Subsidiary or Parent of the Company, and an Incentive Stock Option is granted to such Employee,
the term of such Incentive Stock Option shall be no more than five (5) years from the date of grant.

 

(d) Exercisability.
Options and SARs shall become exercisable at such time or times, whether or not in installments, as shall be determined by the Administrator
and set forth in the Award Agreement; provided, however, that the Administrator may at any time accelerate the exercisability of
all or any portion of any Option or SAR.

 

(e) Exercise of Options
and SARs. Options and SARs may be exercised by delivery to the Company of a written notice of exercise in such form of notice (including
electronic notice) and manner of delivery as is specified by the Administrator, together with payment in full as specified in subsection
(f) for the number of Shares for which the Option or SAR is exercised. Shares subject to the Option or SAR will be delivered by the
Company as soon as practicable following exercise. Neither an Option nor SAR may be exercised for a fraction of a Share.

 

(f) Payment Upon
Exercise. No Shares shall be delivered pursuant to any exercise of an Option or SAR until payment in full of all required tax withholding,
and in the case of an Option, the aggregate exercise price. Payment may be made either by certified or bank check, or such other means
as the Administrator may accept. As determined by the Administrator, in its sole discretion, at or after grant, payment in full or in
part may be made in the form of previously acquired Shares based on the Fair Market Value on the date of exercise. Subject to the approval
of the Administrator, Options may be exercised pursuant to such cashless exercise procedures as may be approved and implemented by the
Administrator from time to time, including without limitation pursuant to broker-assisted exercise transactions and/or net exercise procedures.

 

     

     

    

 

(g) Annual Limit
on Incentive Stock Options. Each Option shall be designated in the Award Agreement as either an Incentive Stock Option or a Non-Qualified
Stock Option. However, notwithstanding such designation, to the extent that the aggregate Fair Market Value of the Shares with respect
to which Incentive Stock Options are exercisable for the first time by the Grantee during any calendar year (under all plans of the Company
and any Subsidiary or Parent) exceeds $100,000, the portion of the Incentive Stock Options in excess of such threshold shall be treated
as Non-Qualified Stock Options. For purposes of this Section 7(g), Incentive Stock Options shall be taken into account in the
order in which they were granted. The Fair Market Value of the Shares shall be determined as of the time the Option with respect to such
Shares is granted.

 

(h) Early Exercise.
The Award Agreement for an Option or SAR may, but need not, include a provision whereby the Grantee may elect at any time while an Employee,
Director or Consultant to exercise any part or all of the Option prior to full vesting. Any unvested Shares received pursuant to such
exercise may be subject to a repurchase right in favor of the Company or any Subsidiary or Parent or to any other restriction the Administrator
determines to be appropriate.

 

(i) No Repricing;
No Reload Grants. Except for adjustments pursuant to Section 11, at any time when the exercise price of an Option or SAR exceeds
the Fair Market Value of a Share, the Company shall not, without shareholder approval, reduce the exercise price of such Option or SAR
or exchange such Option or SAR for a new Award with a lower (or no) exercise price or for cash. Options shall not be granted under the
Plan in consideration for and shall not be conditioned upon the delivery of Shares to the Company in payment of the exercise price and/or
tax withholding obligation under any other employee stock option.

 

(j) Non-Exempt Employees.
No Option or SAR, whether or not vested, granted to an Employee who is a nonexempt employee for purposes of the Fair Labor Standards Act
of 1938, as amended, will be first exercisable for any Shares until at least six months following the date of grant of such Award. Notwithstanding
the foregoing, in accordance with the provisions of the Worker Economic Opportunity Act, any vested portion of such Award may be exercised
earlier than six months following the date of grant of such Award in the event of (i) such Grantee’s death or disability, (ii) a
Corporate Transaction in which such Award is not assumed, continued or substituted, or (iii) such Participant’s retirement
(as such term may be defined in the Award Agreement or another applicable agreement or, in the absence of any such definition, in accordance
with the Company’s then current employment policies and guidelines). This Section 7(j) is intended to operate so that
any income derived by a non-exempt employee in connection with the exercise or vesting of an Option or SAR will be exempt from his or
her regular rate or pay.

 

8. Restricted Stock, Restricted Stock Units,
Unrestricted Stock, Performance Awards and Other Awards.

 

(a) General.
The Administrator shall determine the terms and conditions of each Award Agreement for Restricted Stock, Restricted Stock Units and Unrestricted
Stock. Subject to the terms of the Plan, Award Agreements for Restricted Stock and Restricted Stock Units shall include such restrictions
as the Administrator may impose, which restrictions may lapse separately or in combination at such time or times, in such installments
or otherwise, as the Administrator may deem appropriate.

 

(b) Stock Certificates.
The Company may require that any stock certificates issued in respect of Shares of Restricted Stock shall be deposited in escrow by the
Grantee, together with a stock power endorsed in blank, with the Company (or its designee). Following the expiration of the applicable
restriction periods, the Company (or such designee) shall deliver the certificates no longer subject to such restrictions to the Grantee
or if the Grantee has died, to the beneficiary designated by such Grantee in a manner determined by the Administrator. In the absence
of an effective designation by a Grantee, the designated beneficiary shall be the Grantee’s estate.

 

(c) Forfeiture and
the Option to Purchase. Except as otherwise determined by the Administrator, upon a Grantee’s termination of employment or service
(as determined under criteria established by the Administrator) for any reason during the applicable restriction period, the Company (or
its designee) shall have the right, but shall not be obligated, to repurchase all or part of Shares of Restricted Stock still subject
to restriction at their issue price or other stated or formula price (or to require forfeiture of such Shares if issued at no cost) from
the Grantee.

 

     

     

    

 

(d) Dividends; Dividend
Equivalents. Grantees who hold Restricted Stock shall be entitled to receive all dividends and other distributions paid with respect
to those shares of Restricted Stock, unless determined otherwise by the Administrator. The Administrator will determine whether any such
dividends or distributions will be automatically reinvested in additional shares of Restricted Stock and/or subject to the same restrictions
on transferability as the Restricted Stock with respect to which they were distributed or whether such dividends or distributions will
be paid in cash. The Administrator may, but need not, provide in the Award Agreement for Restricted Stock Units that the Company will
pay or accrue dividend equivalents with respect to such Restricted Stock Units on each date dividends on Common Stock are paid prior to
the settlement of the Restricted Stock Units, subject to such conditions as the Administrator may deem appropriate. The time and form
of any such payment of dividend equivalents shall be specified in the Award Agreement.

 

(e) Settlement of
Restricted Stock Units. Restricted Stock Units may be settled in any form specified by the Administrator in the Award Agreement, including
but not limited to the delivery of Shares, cash, or a combination of cash and Shares as deemed appropriate by the Administrator. At the
time of grant, the Administrator may determine to impose such restrictions or conditions that delay such delivery to a date following
the vesting of the Restricted Stock Units.

 

(f) Performance Awards.
With respect to any Performance Award, the length of any Performance Period, the Performance Goals to be achieved during the Performance
Period, the other terms and conditions of such Award, and the measure of whether and to what degree such Performance Goals have been attained
will be determined by the Board.

 

(g) Other Awards.
The Board may grant other forms of Awards, which may, but are not required to be, valued in whole or in part by reference to, or otherwise
based on, Common Stock, including the appreciation in value thereof (e.g., options or stock rights with an exercise price or strike price
less than 100% of the Fair Market Value at the time of grant) either alone or in addition to Awards provided for under Section 7
and the preceding provisions of this Section 8. Subject to the provisions of the Plan, the Board will have sole and complete discretion
to determine the persons to whom and the time or times at which such other Awards will be granted, the number of Shares (or the cash equivalent
thereof) to be granted pursuant to such other Awards and all other terms and conditions of such other Awards.

 

9. General Provisions Applicable to Awards.

 

(a) Transferability
of Awards. Except as the Administrator may otherwise determine or provide in an Award Agreement, Awards shall not be sold, assigned,
transferred, pledged or otherwise encumbered by the person to whom they are granted, either voluntarily or by operation of law, except
by will or the laws of descent and distribution, or to the extent required by law. References to a Grantee, to the extent relevant in
the context, shall include references to authorized transferees.

 

(b) Withholding.
The Grantee must satisfy all applicable federal, state, and local or other income and employment tax withholding obligations before the
Company will deliver stock certificates (or such other consideration payable pursuant to the Award) or otherwise recognize ownership of
Shares under an Award. The Company may decide to satisfy the withholding obligations through additional withholding on salary, wages or
other compensation, subject to applicable law. If the Company elects not to or cannot withhold from other compensation, the Grantee must
pay the Company the full amount, if any, required for withholding or, if permitted by the Administrator in its discretion, have a broker
tender to the Company cash equal to the withholding obligations. If provided for in an Award or approved by the Administrator in its sole
discretion, a Grantee may satisfy such tax obligations in whole or in part by delivery of Shares, including Shares retained from the Award
creating the tax obligation, valued at their Fair Market Value. Shares surrendered to satisfy tax withholding requirements cannot be subject
to any repurchase, forfeiture, unfulfilled vesting or other similar requirements.

 

(c) Amendment of
Awards. The Administrator may amend, modify or terminate any outstanding Award or Award Agreement at any time and for any reason.
The Grantee’s consent to such action shall be required unless (A) the Administrator determines that the action, taking into
account any related action, would not materially adversely affect the Grantee’s rights under the Plan, (B) the action is permitted
under Section 11 or 12 hereof or (C) the Administrator determines that the action is required or advisable in order for the
Company, the Plan or the Award to satisfy any law or regulation or to meet the requirements of or avoid adverse financial accounting consequences
under any accounting standard.

 

     

     

    

 

10. Conditions Upon Issuance of Shares.

 

(a) Compliance with
Laws. The Plan, the Awards thereunder, and the obligation of the Company to deliver Shares (or other consideration) under such Awards,
shall be subject to all applicable foreign, federal, state and local laws, rules and regulations, stock exchange rules and regulations,
and to such approvals by any governmental or regulatory agency as may be required. The Company shall not be required to register in a
Grantee’s name or deliver Shares prior to the completion of any registration or qualification of such Shares under any foreign,
federal, state or local law or any ruling or regulation of any government body which the Administrator shall determine to be necessary
or advisable. To the extent the Company is unable to or the Administrator deems it infeasible to obtain authority from any regulatory
body having jurisdiction, which authority is deemed by the Company’s counsel to be necessary to the lawful issuance and sale of
any Shares hereunder, the Company shall be relieved of any liability with respect to the failure to issue or sell such Shares as to which
such requisite authority shall not have been obtained. No Option or SAR shall be exercisable and no Shares shall be issued and/or transferable
under any other Award unless a registration statement with respect to the Common Stock underlying such Award is effective and current
or the Company has determined that such registration is unnecessary. The Company shall have no obligation to effect any registration or
qualification of the Shares under foreign, federal, state or local laws, rules or regulations.

 

(b) Non-U.S. Grantees.
In the event an Award is granted to or held by a Grantee who is employed or providing services outside the United States, the Administrator
may, in its sole discretion, modify the provisions of the Plan or of such Award as they pertain to such individual to comply with applicable
foreign law or to recognize differences in local law, currency or tax policy. The Administrator may also impose conditions on the grant,
issuance, exercise, vesting, settlement or retention of Awards in order to comply with such foreign law and/or to minimize the Company’s
obligations with respect to tax equalization for Grantees employed outside their home country.

 

11. Adjustments. In the event of
any stock split, reverse stock split, stock dividend, recapitalization, combination or exchange of shares, reclassification of shares,
spin-off or other similar change in capitalization or event, or any dividend or distribution to holders of Shares other than an ordinary
cash dividend, (i) the number and class of securities available under this Plan, (ii) the number and class of securities and
exercise price per Share of each outstanding Option and SAR, (iii) the number of Shares subject to and the repurchase price per Share
subject to each outstanding Restricted Stock Award and Restricted Stock Unit Award, and (iv) the terms of each other outstanding
Award shall be equitably adjusted by the Company (or substituted Awards may be made, if applicable) in the manner determined by the Administrator;
provided, however, that each adjustment to Non-Qualified Stock Options shall satisfy the requirements of Treas. Reg. § 1.409A-1(b)(5)(v)(D) (or
any successor regulation) and each adjustment to Incentive Stock Options shall satisfy the requirements of Treas. Reg. § 1.424-1
(or any successor regulation).

 

12. Corporate Transactions.

 

(a) The Administrator
may provide, in its discretion, with respect to the treatment of each outstanding Award (either separately for each Award or uniformly
for all Awards), upon the consummation of a Corporate Transaction (such time to be referred to as the “Effective Time”),
for any of the following:

 

(i) any or
all outstanding Options and SARs shall become vested and immediately exercisable, in whole or in part;

 

(ii) any or
all outstanding Restricted Stock or Restricted Stock Units shall become non-forfeitable, in whole or in part;

 

(iii) any
or all outstanding Options and SARs shall be cancelled in exchange for substitute stock options in a manner consistent with the requirements
of Treas. Reg. § 1.409A-1(b)(5)(v)(D) (or any successor regulation), in the case of a Non-Qualified Stock Option, and Treas.
Reg. §1.424-1(a) (or any successor regulations), in the case of an Incentive Stock Option;

 

     

     

    

 

(iv) any Option
or SAR shall be cancelled in exchange for cash and/or other substitute consideration with a value equal to (A) the number of Shares
subject to that Option or SAR, multiplied by (B) the difference, if any, between the Fair Market Value per Share on the date of the
Corporate Transaction and the exercise price of that Option or SAR; provided, that if the Fair Market Value per Share on the date of the
Corporate Transaction does not exceed the exercise price of any such Option or SAR, the Administrator may cancel that Option or SAR without
any payment of consideration therefor;

 

(v) any Restricted
Stock or Restricted Stock Units shall be cancelled in exchange for restricted stock of or restricted stock units in respect of the capital
stock of any successor corporation;

 

(vi) any Restricted
Stock shall be redeemed for cash and/or other substitute consideration with a value equal to the Fair Market Value per Share on the date
of the Corporate Transaction; or

 

(vii) any
Restricted Stock Unit shall, subject to Section 16, be cancelled in exchange for cash and/or other substitute consideration with
a value equal to the Fair Market Value per Share on the date of the Corporate Transaction.

 

Subject to Section 409A of the Code, in the
event that an Award is treated as provided for in clause (iv), (vi) or (vii), such payment may be made in installments and may be
deferred until the date or dates the Award would have become exercisable or vested. Such payment may be subject to vesting based on the
Grantee’s continued service, provided that the vesting schedule shall not be less favorable to the Grantee than the schedule under
which the Award would have become vested or exercisable. For this purpose, the Fair Market Value of any security shall be determined without
regard to any vesting conditions that may apply to such security.

 

In the event a successor or acquiring corporation
(if any) refuses to assume, convert, replace or substitute Awards, as provided above, pursuant to a Corporate Transaction, then notwithstanding
any other provision in this Plan to the contrary, such Awards shall have their vesting accelerate as to all shares subject to such Awards
(and any applicable right of repurchase fully lapse) immediately prior to the Corporate Transaction. In addition, in the event such successor
or acquiring corporation (if any) refuses to assume, convert, replace or substitute Awards, as provided above, pursuant to a Corporate
Transaction, the Administrator will notify the Grantee in writing or electronically that such Award will be exercisable for a period of
time determined by the Committee in its sole discretion, and such Award will terminate upon the expiration of such period.

 

(b) As a condition to
the receipt of an Award under this Plan, a Grantee will be deemed to have agreed that the Award will be subject to the terms of any agreement
governing a Corporate Transaction involving the Company, including, without limitation, a provision for the appointment of a stockholder
representative that is authorized to act on the Grantee’s behalf with respect to any escrow, indemnities and any contingent consideration.

 

(c) Notwithstanding
anything to the contrary herein, no action taken by the Administrator pursuant to this Section 12 shall cause an Award that is subject
to Section 409A of the Code to violate the requirements of Section 409A of the Code.

 

13. Effective Date and Term of Plan; Stockholder
Approval.

 

(a) Effective Date
and Term of Plan. The Plan shall become effective as of, and contingent upon, the occurrence of the Effective Date and shall continue
in effect until the tenth (10th) anniversary of the earlier of (i) the date the Board adopts the Plan and (ii) the date the
Company’s stockholders approve the Plan unless sooner terminated.

 

(b) Stockholder Approval.
No Option or SAR granted under the Plan may be exercised, no Shares (or other consideration) shall be issued under the Plan, and no Restricted
Stock Unit shall be settled, until the Plan is approved by the Company’s stockholders. If such stockholder approval is not obtained
within twelve (12) months after the date of the Board’s adoption of the Plan, then all Awards previously granted under the Plan
shall automatically terminate and cease to be outstanding, and no further Awards shall be granted under the Plan.

 

     

     

    

 

14. Amendment, Suspension or Termination
of the Plan.

 

(a) General.
Subject to the terms of the Plan, the Board may at any time and from time to time, alter, amend, suspend or terminate the Plan, in whole
or in part; provided that the Board shall obtain stockholder approval of any Plan amendment to the extent necessary to comply with applicable
law, rule or regulation. In addition, in no event shall an amendment increase the maximum number of shares of Common Stock with respect
to which Awards may be granted under the Plan without stockholder approval.

 

(b) Limitation on
Grants of Awards. No Award may be granted during any suspension of the Plan or after termination or expiration of the Plan, but Awards
previously granted may extend beyond that date.

 

(c) No Effect on
Outstanding Awards. Except as set forth in Section 13(b), no suspension or termination of the Plan shall materially adversely
affect any rights under Awards outstanding at the time of such suspension or termination.

 

15. No Employment or Services Rights.
The Plan shall not confer upon any Grantee any right to employment or service with the Company or any Subsidiary or Parent, nor shall
it interfere in any way with the right of the Company or any Subsidiary or Parent to terminate the Grantee’s employment or service
at any time.

 

16. Compliance with Code Section 409A.
It is intended that the provisions of the Plan and any Award granted thereunder comply with or be exempt from Section 409A of the
Code and the Treasury regulations thereunder (together, “Section 409A”), and all provisions of the Plan and any
Award shall be construed and interpreted in a manner consistent with the requirements for avoiding taxes or penalties under Section 409A.
If an Award that is subject to Section 409A is payable upon a Corporate Transaction which is not a permissible payment event or time
(as described in Treas. Reg. § 1.409A-3) then, for purposes of payment of such Award, no Corporate Transaction shall be
deemed to have occurred with respect to that Award unless and until there occurs a change in the ownership or effective control of the
Company, or in the ownership of a substantial portion of the assets of the Company (within the meaning in accordance with Treas. Reg.
 § 1.409A-3(i)(5)). To the extent required or advisable to avoid a violation of Section 409A, no discretion to require payment
of an Award that is subject to Section 409A upon a Corporate Transaction shall be exercised if not set forth in writing by the time
required under Section 409A. If an Award is subject to Section 409A and payment is due upon a termination of employment or service,
payment shall only be made if such termination constitutes a “separation from service” within the meaning of Section 409A.
If an Award is subject to Section 409A and payment is due upon a Grantee’s disability, payment shall be made upon a determination
by the Administrator that the Grantee is disabled within the meaning of Treas. Reg. § 1.409A-3(i)(4). If an Award is subject to Section 409A,
any payment made to a Grantee who is a “specified employee” (within the meaning of Section 409A) of the Company or any
Subsidiary shall not be made before the date that is six months after the Grantee’s “separation from service” (within
the meaning of Section 409A) to the extent required to avoid the adverse consequences of Section 409A. Nothing in this Plan
or in an Award Agreement shall be interpreted or construed to transfer any liability for any tax (including a tax or penalty due as a
result of a failure to comply with Section 409A) to the Company or to any other individual or entity, and the Company shall have
no liability to a Grantee, or any other party, if an Award that is intended to be exempt from, or compliant with, Section 409A is
not so exempt or compliant.

 

17. Effect on Other Employee Benefit Plans.
Nothing contained in the Plan shall prevent the Company or any Subsidiary or Parent from adopting other or additional compensation arrangements
for its employees or other service providers. The value of any Award granted under the Plan, as determined upon grant, vesting or settlement,
shall not be included as compensation, earnings, salaries, or other similar terms used when calculating any Participant’s benefits
under any employee benefit plan sponsored by the Company or any Subsidiary, except as such plan otherwise expressly provides. The Company
expressly reserves its rights to amend, modify, or terminate any of the Company’s or any Subsidiary’s employee benefit plans.

 

18. Unfunded Status of Plan. The
Plan is intended to constitute an “unfunded” plan for incentive and deferred compensation. With respect to any payments as
to which a Grantee has a fixed and vested interest but which are not yet made to a Grantee by the Company, nothing contained herein shall
give any such Grantee any rights that are greater than those of a general unsecured creditor of the Company.

 

     

     

    

 

19. Electronic Signatures. For purposes
of the Plan, a document shall be considered to be executed if signed electronically pursuant to procedures approved by the Company.

 

20. Recoupment; Clawback. Subject
to the terms and conditions of the Plan, the Administrator may provide that any Grantee and/or any Award, including any Shares subject
to an Award, is subject to any recovery, recoupment, clawback and/or other forfeiture policy maintained by the Company from time to time.

 

21. Construction. Captions and titles
contained herein are for convenience only and shall not affect the meaning or interpretation of any provision of the Plan. Except when
otherwise indicated by the context, the singular shall include the plural and the plural shall include the singular. Use of the term “or”
is not intended to be exclusive, unless the context clearly requires otherwise.

 

22. Severability. If any provision
of the Plan or any Award is, becomes, or is deemed to be invalid, illegal, or unenforceable in any jurisdiction or as to any Grantee,
such provision shall be construed or deemed amended to conform with applicable laws, or if the provision cannot be so construed or deemed
amended without, in the sole discretion of the Administrator, materially altering the intent of the Plan or the Award, such provision
shall be severed as to the jurisdiction or Grantee and the remainder of the Plan and any such Award shall remain in full force and effect.

 

23. Governing Law. The validity and construction of the
Plan and any Award Agreements thereunder shall be governed by the laws of the State of Delaware, excluding any conflicts or choice of
law rules or principles that might otherwise refer construction or interpretation of any provision of the Plan or an Award Agreement
to the substantive law of another jurisdiction.Exhibit 10.4.1

 

STOCK OPTION GRANT NOTICE

 

UNDER THE HUMACYTE, INC.

2021 LONG-TERM INCENTIVE PLAN

 

Humacyte, Inc. (the “Company”)
hereby grants to Grantee, as of the Grant Date, an option (this “Option”) to purchase shares of the Company’s
Common Stock pursuant to the Humacyte, Inc. 2021 Long-Term Incentive Plan (as amended from time to time, the “Plan”).
Capitalized terms not otherwise defined herein will have the meanings set forth in the Plan or the attached Stock Option Agreement (the
 “Award Agreement”).

 

	Grantee:	[Full Name]
	 	 
	Grant Date:	[Month Day, Year]
	 	 
	Maximum Number of

 Shares Subject to Option:	[Number]
	 	 
	Exercise Price Per Share:	USD [Exercise Price]
	 	 
	Type of Option:	[Nonqualified Stock Option][Incentive Stock Option]
	 	 
	Vesting Commencement Date:	[Month Day, Year]
	 	 
	Expiration Date:	The date [ten (10)] years after the Grant Date set
    forth above, subject to earlier expiration as provided in Section 4 of the Award Agreement.
	 	 
	Vesting Schedule:	The Option shall vest as
    follows, subject to Grantee’s continued employment or services through such date: [(i) 25%
    of the Shares subject to the Option on the Grant Date shall vest on the one-year anniversary of the Vesting Commencement Date, and
    (ii) 1/48th of the Shares subject to the Option on the Grant Date shall vest each month after the one-year anniversary of the
    Vesting Commencement Date on the same day of the month as the Vesting Commencement Date (or if there is no corresponding day, on
    the last day of such month) over a period of 36 months, such that all of the Shares subject to the Option on Grant Date shall be
    fully vested on the four-year anniversary of the Vesting Commencement Date].

 

     

     

    

 

	Additional Terms & 

Acknowledgement:	
    Grantee and the Company agree that the Option is granted under and
    governed by this Grant Notice and by the provisions of the Plan and the Award Agreement. The Plan and the Award Agreement are incorporated
    herein by reference. Grantee acknowledges receipt of a copy of this Grant Notice, the Plan and the Award Agreement, represents that Grantee
    has carefully read and is familiar with their provisions, and hereby accepts the Option subject to all of their respective terms and conditions.
    Notwithstanding anything in the prior sentence, if Grantee has not actively accepted the Option within three (3) months of the Grant
    Date, Grantee is deemed to have accepted the Option, subject to all of the terms and conditions in this Grant Notice, the Plan and the
    Award Agreement, unless otherwise determined by the Administrator.

     

    This Grant Notice may be executed and delivered electronically whether
    via the Company’s intranet or the Internet site of a third party or via email or any other means of electronic delivery specified
    by the Company. By Grantee’s acceptance hereof (whether written, electronic or otherwise), Grantee agrees, to the fullest extent
    permitted by law, that in lieu of receiving documents in paper format, Grantee accepts the electronic delivery of any documents that the
    Company (or any third party the Company may designate), may deliver in connection with this grant (including the Plan, this Grant Notice,
    the Award Agreement, account statements, or other communications or information) whether via the Company’s intranet or the Internet
    site of such third party or via email or such other means of electronic delivery specified by the Company.

 

*          *          *          *          *

 

	 	HUMACYTE, INC.
	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:
	 	 
	 	GRANTEE
	 	 
	 	 
	 	 
	 	[Name]

 

    2 

     

    

 

STOCK OPTION AGREEMENT

 

UNDER THE HUMACYTE, INC.

2021 LONG-TERM INCENTIVE PLAN

 

THIS STOCK OPTION AGREEMENT
(this “Agreement”) is made by and between the Company and Grantee. Capitalized terms used but not defined herein shall
have the meaning ascribed to them in the Plan or in the Stock Option Grant Notice attached as the facing page(s) to this Agreement
(the “Grant Notice”), as applicable. References to this Agreement shall also be deemed to include a reference to the
Grant Notice, unless the context provides otherwise.

 

		1.	Grant of Option. Grantee has been granted an option to purchase from the Company the number of
shares of Common Stock as set forth in the Grant Notice, at the Exercise Price set forth in the Grant Notice, in accordance with the terms
and conditions stated in this Agreement and in the Plan. The shares of Common Stock subject to the Option granted hereby are referred
to below as the “Shares”.

 

		2.	Definitions.

 

		(a)	“Cause” shall mean (x) the definition ascribed to such term in an employment or
other service agreement between Grantee and the Company, a Subsidiary or any surviving entity following a Corporate Transaction, or (y) in
absence of any such definition, that Grantee’s service, as an employee or otherwise, with the Company or any surviving entity following
a Corporate Transaction shall have terminated principally because (i) of Grantee’s breach of any employment, noncompetition
or other agreement with such entity; (ii) Grantee commits any act of dishonesty toward such entity, theft of corporate property or
unethical business conduct, or is convicted of any misdemeanor or felony involving dishonest, immoral or unethical conduct; (iii) Grantee
commits any act of insubordination, fails to comply with any instructions of such entity’s president or board of directors, or materially
violates any material policy of such entity (including any policy of non-discrimination or non-harassment), or (iv) Grantee commits
any act or omission which such entity determines, in good faith, may materially adversely affect such entity’s business or operations,
unless Grantee cures such action or omission within five (5) days after notice from such entity. The determination that a termination
of Grantee’s employment or other service is either for Cause or without Cause will be made by the Administrator, and any determination
by the Administrator that the employment or other service of Grantee was terminated with or without Cause for the purposes of this Agreement
will have no effect upon any determination of the rights or obligations of the Company or Grantee for any other purpose.

 

		(b)	“Disability” shall mean any illness or other physical or mental condition of Grantee
that renders Grantee incapable of performing his customary and usual duties for the Company, or any medically determinable illness or
other physical or mental condition resulting from a bodily injury, disease or mental disorder that will continue for at least 180 days
as stated in the reasonable opinion of a qualified doctor approved by Grantee and the Administrator. If Grantee refuses to submit to the
examination by, or participate in the selection of, a physician, or if Grantee and the Administrator are unable to agree on the selection
of a physician, then the determination of whether there is a Disability will be made by the Administrator acting in good faith. Notwithstanding
the above, with respect to an Incentive Stock Option, Disability shall mean Permanent and Total Disability as defined in Section 22(e)(3) of
the Code.

 

    3 

     

    

 

		(c)	An “Involuntary Termination” is any Termination of Service of Grantee by the Company
or any surviving entity in a Corporate Transaction for any reason other than for Cause.

 

		(d)	A “Termination of Service” means a separation from service from the Company or any
Subsidiary thereof.

 

		3.	Vesting of Option.

 

		(a)	Subject to Section 3(b) below, the Option shall vest and become exercisable in accordance with
the Vesting Schedule set forth in the Grant Notice.

 

		(b)	If the surviving entity in a Corporate Transaction assumes or replaces the Option and if there is an Involuntary
Termination of Grantee’s employment within the period that commences thirty (30) days prior to the effective date of such Corporate
Transaction and that ends twelve (12) months following the effective date of such Corporate Transaction, the Option shall vest and become
exercisable, to the extent not already vested and exercisable, on the date of such Involuntary Termination.

 

		4.	Termination of Option.

 

		(a)	The Option shall remain exercisable with respect to any then vested portion thereof until the earliest
to occur of the dates specified below, upon which date the Option shall terminate:

 

		(i)	the date all of the Shares are purchased by Grantee pursuant to the terms of this Agreement;

 

		(ii)	upon the expiration of three (3) months following Grantee’s Termination of Service for any
reason other than Cause, death or Disability;

 

		(iii)	immediately upon the Termination of Service of Grantee by the Company for Cause;

 

		(iv)	upon the expiration of one (1) year following Grantee’s Termination of Service as a result
of death or Disability;

 

		(v)	upon the expiration of one (1) year following the date of Grantee’s death, if death shall have
occurred following Grantee’s Termination of Service and while the Option was still exercisable;

 

    4 

     

    

		(vi)	on the thirtieth (30th) day following the date that the Company files articles of dissolution with the
state in which the Company is incorporated or is otherwise dissolved under applicable law (the “Dissolution Date”);

 

		(vii)	on the date the Option is cancelled in connection with a Corporate Transaction pursuant to the Plan (the
 “Cancellation Date”); or

 

		(viii)	the Expiration Date set forth in the Grant Notice.

 

		(b)	The Option shall be immediately cancelled and forfeited with respect to any then unvested portion thereof
upon the earliest to occur of the following dates: the date of Grantee’s Termination of Service, the Dissolution Date, the Cancellation
Date and the Expiration Date.

 

		(c)	Upon its termination, the Option shall have no further force or effect and Grantee shall have no further
rights under the Option or to any Shares that have not been purchased pursuant to prior exercise of the Option.

 

		5.	Exercise of Option.

 

		(a)	Subject to Section 4, the Option may be exercised at any time and from time to time to purchase up
to the number of Shares as to which it is then vested and exercisable in accordance with Section 3.

 

		(b)	The Option may be exercised only by (i) Grantee’s completion, execution and delivery to the
Company of a notice of exercise in the form supplied by the Company (which may be electronic), (ii) the payment to the Company, pursuant
to the terms of this Agreement, of an amount equal to the Exercise Price multiplied by the number of Shares being purchased as specified
in Grantee’s notice of exercise, and (iii) the satisfaction by Grantee, in a manner acceptable to the Company, of any withholding
liability under any state, federal or other law arising in connection with exercise of the Option. Grantee must provide notice of exercise
of the Option with respect to no fewer than 100 Shares (or if the Option is vested and exercisable with respect to fewer than 100 Shares,
such lesser number). Grantee’s notice of exercise shall be given in the manner specified in Section 11 (or such other manner
as may be specified by the Administrator) but any exercise of the Option shall be effective only when the items required by this paragraph
are actually received by the Company. Notwithstanding anything to the contrary in this Agreement, the Option may be exercised only if
compliance with all applicable federal, state and other securities laws can be effected.

 

    5 

     

    

 

		(c)	Payment of the aggregate Exercise Price may be made in cash or by check payable to the order of the Company
for an amount in U.S. dollars equal to the aggregate Exercise Price of such Shares. Payment may also be made by delivery of Shares held
by Grantee for the requisite period necessary to avoid a charge to the Company’s earnings for financial reporting purposes, as determined
by the Administrator in its discretion, and having an aggregate Fair Market Value equal to the amount of cash that would otherwise be
required to pay the aggregate Exercise Price. Upon approval by the Administrator, payment may also be made by (i) authorizing a third
party to sell a portion of the Shares acquired upon exercise of the Option and remit to the Company a sufficient portion of the sales
proceeds to pay the aggregate Exercise Price, or (ii) cashless exercise, in each case pursuant to the procedures established by the
Administrator for this purpose. Payment may also be made by combining the above methods, to the extent permitted by the Administrator.
To the extent that Shares are used in making full or partial payment of the Exercise Price, each such Share will be valued at the Fair
Market Value thereof as of the date of exercise. Any overpayment will be promptly refunded, and any underpayment will be deemed an exercise
of such lesser whole number of Shares as the amount paid is sufficient to purchase.

 

		(d)	Except as otherwise provided in the Plan, upon any exercise of the Option by Grantee or as soon thereafter
as is practicable, the Company shall issue and deliver to Grantee a certificate or certificates evidencing such number of Shares as Grantee
has then elected to purchase. Such certificate or certificates shall be registered in the name of Grantee and shall bear such legends
as the Company deems appropriate.

 

		6.	Provisions Applicable to Incentive Stock Options. The provisions of this Section 6 apply only
to the extent the Option is designated as an Incentive Stock Option in Section 1:

 

		(a)	The Option shall be construed so that it is in compliance with the requirements of Code Section 422.
If for any reason the Option does not meet the requirements of Code Section 422, then the Option or any portion of the Option, as
necessary, shall be deemed a Non-Qualified Stock Option.

 

		(b)	If the aggregate Fair Market Value, determined on the date of grant, of the Shares to which the Option
and any other incentive stock options are exercisable for the first time by Grantee during any calendar year under the Plan or any other
stock option plan of the Company exceeds $100,000, the Option shall be deemed a Non-Qualified Stock Option to the extent of such excess.

 

		7.	Restrictions on Transfer. The Option may not be sold, transferred for value, pledged, assigned,
or otherwise alienated or hypothecated by Grantee other than by will or the laws of descent and distribution. The Option shall be exercisable
only by Grantee during his or her lifetime. For this purpose, any reference to Grantee shall (when applicable) be deemed to be and include
references to Grantee’s estate, executors or administrators, personal or legal representatives and transferees (direct or indirect).
Any person to whom the Option is transferred in accordance with this Agreement shall be bound by all provisions of the Plan and this Agreement.

 

		8.	Rights Prior to Exercise. Grantee will have no rights as a shareholder with respect to the Shares
unless and until such Shares are issued to Grantee pursuant to the exercise of the Option.

 

    6 

     

    

 

		9.	No Right to Continued Service. Nothing in this Agreement shall be construed as constituting a commitment,
guarantee, agreement or understanding of any kind or nature that the Company shall continue to retain the services of Grantee, nor shall
this Agreement affect in any way the right of the Company to terminate the services of Grantee as an employee or otherwise at any time
and for any reason. By Grantee’s execution of this Agreement, Grantee acknowledges and agrees that Grantee’s service relationship
with the Company is “at will.” No change of Grantee’s duties to the Company shall result in, or be deemed to be, a modification
of any of the terms of this Agreement.

 

		10.	Binding Effect. This Agreement shall be
binding upon, and shall inure to the benefit of, the Company and Grantee, and their respective heirs, personal and legal representatives,
successors and assigns. Each of the Company’s affiliates shall be deemed to be a third-party beneficiary under this Agreement.
The provisions of this Agreement extend to these third-party beneficiaries.

 

		11.	Notices. Any and all notices under this Agreement shall be in writing, and sent by hand delivery
or by certified or registered mail (return receipt requested and first-class postage prepaid), in the case of the Company, to its principal
executive offices to the attention of the President, and, in the case of Grantee, to Grantee’s address as shown on the Company’s
records.

 

		12.	Terms and Conditions of Plan. The terms and conditions included in the Plan, the receipt of a copy
of which Grantee hereby acknowledges by execution of this Agreement, are incorporated by reference herein, and to the extent that any
conflict may exist between any term or provision of this Agreement and any term or provision of the Plan, the term or provision of the
Plan shall control.

 

		13.	Unsecured and Unfunded Agreement. Any rights of Grantee hereunder shall be no greater than the
right of an unsecured general creditor of the Company. Any payments to be made hereunder shall be paid from the general funds of the Company,
and no special or separate fund shall be established and no segregation of assets shall be made to assure payment of such amounts.

 

		14.	Governing Law. The Option and this Agreement shall be governed by and construed in accordance with
the laws of the State of Delaware, without reference to principles of choice or conflict of laws that would otherwise refer to the laws
of another jurisdiction.

 

		15.	Entire Agreement. The parties hereto agree that this Agreement sets forth all of the promises,
agreements, conditions, understandings, warranties, and representations between the parties with respect to the Option and Shares and
that there are no promises, agreements, conditions, understandings, warranties, or representations, oral or written, express or implied
between the parties with respect to the Option and Shares other than as set forth in this Agreement. Grantee accepts the Option in full
satisfaction of any and all obligations of the Company with respect to options granted or to be granted to Grantee, pursuant to the Plan
or otherwise.

 

		16.	Waiver. Any waiver of any provision contained in this Agreement shall not be valid unless made
in writing and signed by the person or persons sought to be bound by such waiver. The waiver by the Company of a breach of any provision
of this Agreement by Grantee shall not operate or be construed as a waiver of any subsequent breach by Grantee.

 

    7 

     

    

 

		17.	Amendment. Any amendment of this Agreement shall be effective only when signed by the Company and
Grantee, except that the Administrator may amend this Agreement in its sole discretion and without the consent of Grantee in accordance
with the provisions of Section 9(c) of the Plan (Amendment of Awards).

 

		18.	Severability. The provisions of the Agreement are severable and if any one or more provisions are
determined to be illegal or otherwise unenforceable, in whole or in part, the remaining provisions, and any partially unenforceable provision
to the extent enforceable in any jurisdiction, shall nevertheless be binding and enforceable.

 

		19.	Action by Administrator. All determinations made by the Administrator with respect to the interpretation,
construction and application of any provision of this Agreement shall be final, conclusive and binding on the parties and any other persons
having or claiming any interest in the Option or this Agreement.

 

		20.	Code Section 409A. The Option and
this Agreement shall be interpreted to be exempt from the requirements of Section 409A pursuant to Section 1.409A-1(b)(5)(i) of
the Treasury regulations promulgated under Section 409A. Any action that may be taken (and, to the extent possible, any action actually
taken) by the Administrator or the Company shall not be taken (or shall be void and without effect), if such action violates the requirements
of Section 409A. If the failure to take an action under this Agreement would violate Section 409A, then to the extent it is
possible thereby to avoid a violation of Section 409A, the rights and effects under this Agreement shall be altered to avoid such
violation. Any provision in this Agreement that is determined to violate the requirements of Section 409A shall be void and without
effect. In addition, any provision that is required to appear in this Agreement to satisfy the requirements of Section 409A, but
that is not expressly set forth, shall be deemed to be set forth herein, and the Agreement shall be administered in all respects as if
such provision were expressly set forth. Nothing in this Agreement shall be interpreted or construed to transfer any liability for any
tax (including a tax or penalty due as a result of a failure to comply with Section 409A) to the Company or to any other individual
or entity, and the Company shall have no liability to Grantee, or any other party, if this Award is not exempt or compliant with Section 409A.
In all cases, the provisions of this paragraph shall apply notwithstanding any contrary provision of the Agreement.

 

		21.	Data Privacy. Grantee acknowledges and agrees that the Company and its affiliates will process
and retain certain personal data for the purposes of (1) calculating Awards, (2) monitoring Award terms and conditions, and
(3) otherwise administering the Plan and Awards made under it. Such personal data may include, among other things, Grantee’s
name, address, email address, social security number, pay data, job title, and employment dates. By executing this Agreement, Grantee
consents to such processing, and to the sharing of such personal data with the Company, its affiliates, its agents, its advisers, its
regulators, and tax authorities, wherever appropriate.

 

    8 

     

    

 

		22.	No Advice Regarding the Grant. The Company is not providing any tax, legal or financial advice,
nor is the Company making any recommendations regarding Grantee’s participation in the Plan, or Grantee’s acquisition or sale
of the underlying Shares. Grantee is hereby advised to consult with Grantee’s own personal tax, legal and financial advisors regarding
Grantee’s participation in the Plan before taking any action related to the Option or the Plan.

 

		23.	Electronic Delivery and Acceptance. The Company may, in its sole discretion, decide to deliver
any documents related to current or future participation in the Plan by electronic means. Grantee hereby consents to receive such documents
by electronic delivery and agrees to participate in the Plan through an online or electronic system established and maintained by the
Company or a third party designated by the Company. Grantee also agrees that all online acknowledgements shall have the same force and
effect as a written signature.

 

		24.	Imposition of Other Requirements. The Company reserves the right to impose other requirements on
Grantee’s participation in the Plan, on the Option, and on any Shares acquired under the Plan, to the extent the Company determines
it is necessary or advisable for legal or administrative reasons, and to require Grantee (or any permitted transferee) to sign any additional
agreements or undertakings that may be necessary to accomplish the foregoing.

 

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