Document:

EX-10.18

 [*] = Certain confidential information contained in this document, marked by brackets, has been omitted and
filed separately with the Securities and Exchange Commission pursuant to Rule 24b-2 of the Securities Act of 1934, as amended. 

Exhibit 10.18 

DEVELOPMENT AND CLINICAL MANUFACTURE AGREEMENT 

This Development and Clinical Manufacture Agreement (the “Agreement”) is made and entered into as of 30 April 2012 (the
“Effective Date”) by and between METABOLEX, Inc., a Delaware corporation with its principal place of business located at 3876 Bay Center Place, Hayward, California 94545 (“METABOLEX”) and SIEGFRIED AG,
a Swiss Company, with its principal address place of business located at Untere Brühlstrasse 4, Zofingen CH4800 Switzerland (“SIEGFRIED”). METABOLEX and SIEGFRIED may be referred to herein individually as a
“Party” or collectively as the “Parties”.  
 RECITALS 

METABOLEX desires SIEGFRIED to perform certain manufacturing process development work on its proprietary drug compound known as “MBX-102” (also
known as “arhalofenate”) in accordance with the terms and conditions set forth in this Agreement. This Agreement also allows SIEGFRIED to manufacture and supply to METABOLEX quantities of this drug compound in accordance with the terms and
conditions set forth in this Agreement. 
 SIEGFRIED is willing to perform such development work and potentially to manufacture MBX-102 for METABOLEX under
the terms and conditions set forth in this Agreement. 
 Now therefore, the Parties agree as follows: 

 

	1.	DEFINITIONS 

  

	 	1.1.	“Affiliate” means, with respect to a particular Party, any person, other corporation or other legal entity that controls, is controlled by or is under common control with such Party. For purposes of
this definition, the term “control” (with correlative meanings for the terms “controlled by” and “under common control with”) means that the applicable entity has the actual ability to control and direct the management
and business of the particular Party, whether through ownership of voting capital shares or similar voting securities of such Party, or by contract or otherwise. 

  

	 	1.2.	“Applicable Law” means all applicable laws, rules, ordinances, and regulations, including any rules, regulations, guidelines or other requirements of relevant government agencies, that may
be in effect from time to time in the applicable country or jurisdiction, including then-current Good Manufacturing Practices applicable to the Services to be provided under this Agreement. 

 

	 	1.3.	“Compound” means the chemical compound known as MBX-102, having the chemical structure as described in Exhibit A of this Agreement. 

 

	 	1.4.	 “Confidential Information” means, with respect to a Party, all Information, including but not limited to data, deliverables,
know-how, chemical structure of the Compound, information contained in a Plan, information contained in or related to Intellectual Property, and technical 

	 	
and non-technical materials, that such Party delivers to the other Party pursuant to, or in connection with, this Agreement, regardless of its source, and whether or not the same is specifically
identified as being “confidential”. This Agreement constitutes Confidential Information of both Parties. In addition, but subject to the limitations set forth in Section 7.3, all Information that: (i) is disclosed by METABOLEX to
SIEGFRIED regarding the Services to be provided under this Agreement; (ii) is set forth in a Plan; (iii) is developed or generated by SIEGFRIED as a result of performing Services under this Agreement, including the Data and Deliverables;
or (iv) comprises the the Compound or otherwise is directly related to the Compound, shall be deemed to be Confidential Information of METABOLEX. Confidential Information also includes information disclosed by the Parties under the
Non-Disclosure Agreement of February 28, 2012 (among METABOLEX, SIEGFRIED and Cilag AG) and under the Non-Disclosure Agreement of January 31, 2012 (between METABOLEX and SIEGFRIED). 

 

	 	1.5.	“Controlled” means, with respect to a specific material, item of Information or Intellectual Property right, that the applicable Party owns or has a license to such material, item or right and has the
ability to grant the other Party access and a license thereto as provided for in this Agreement without violating or conflicting with any agreement with or rights of a Third Party. 

 

	 	1.6.	“Current Good Manufacturing Practice” or “cGMP” means the then-current standards for the manufacture of fine chemicals, active pharmaceutical ingredients, intermediates, bulk products
or finished pharmaceutical products set forth (i) in 21 U.S.C. 351(a)(2)(B), in U.S. FDA regulations at 21 C.F.R. Parts 210 and 211 and in The Rules Governing Medicinal Products in the European Community, Volume IV, Good Manufacturing Practice
for Medicinal Products, each as may be amended from time to time; (ii) in International Conference on Harmonization (ICH) Guidelines relating to the manufacture of active pharmaceutical ingredients and finished pharmaceuticals as may be amended
from time to time; (iii) all other similar Applicable Laws relating to the manufacturing of active pharmaceutical ingredients and promulgated by any other governmental authority having jurisdiction over the manufacture of drug compounds in the
countries in which the Product containing Compound will be used or sold; and (iv) all additional regulatory authority documents or regulations that replace, amend, modify, supplant or complement any of the foregoing. 

 

	 	1.7.	“Deliverable” or “Deliverables” means, respectively, each individual item or collectively all items that SIEGFRIED agrees to provide to METABOLEX pursuant to Section 6.1.

  

	 	1.8.	“FDA” means the United States Food and Drug Administration, or any successor thereto having the administrative authority to regulate the development and marketing of human pharmaceutical products in the
United States. 

  

	 	1.9.	“Information” means any and all information of any kind, including results, data, discoveries, improvements, processes, methods, protocols, formulas, techniques, inventions, know-how and trade secrets,
scientific, chemical, pharmaceutical, toxicological, biochemical, and biological, data, and information relating to the results of tests, assays, methods, processes, and specifications, and/or other documents containing information and related data,
and any assay control, regulatory, and any other test results or information, regulatory, manufacturing, financial and commercial information or data. 

  

[*] = Certain confidential information contained in this document, marked by brackets, has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Act of 1934, as amended. 

  
 2 

	 	1.10.	“Intellectual Property” or “IP” means patents, trademarks, copyrights, trade secret rights, rights in proprietary, confidential Information, and any other similar rights in any intellectual
property as conferred or established by the laws of any jurisdiction, and all applications for any such rights. 

  

	 	1.11.	“Plan” means the Process Development Plan, the Manufacturing Plan and any agreed upon Scope of Work. 

  

	 	1.12.	“Project” shall mean a specific set of Services to be performed by SIEGFRIED for METABOLEX as set forth in a Plan. 

  

	 	1.13.	“Quality Agreement” means the Quality Agreement to be entered into by the Parties as described in Section 2.6. 

 

	 	1.14.	“Raw Material” means the specific starting materials (including purchased intermediates) that are used in the manufacture of the Compound, as provided in this Agreement, including materials that are
consumed during such manufacturing process. “Raw Materials” are listed in Exhibit A of this Agreement. 

  

	 	1.15.	“Services” means the process development, manufacturing and other services performed by SIEGFRIED under a Plan and in accordance with the terms of this Agreement. 

 

	 	1.16.	“Specifications” means the characteristics, processing requirements, standards and other specifications related to the Compound as agreed to by the Parties and set forth in the applicable Plan
(Exhibit B, Exhibit C and/or Exhibit D) of this Agreement, as may be amended or supplemented from time to time by mutual agreement of the Parties. 

 

	 	1.17.	“Third Party” means any entity or individual other than METABOLEX and SIEGFRIED and the Affiliates of either Party. 

 

	2.	PURPOSE; SCOPE; PROCESS DEVELOPMENT AND MANUFACTURE 

  

	 	2.1.	Purpose and Intent. The Parties agree that SIEGFRIED shall, pursuant to the terms of this Agreement, perform: (i) process development Services to improve and scale-up the manufacturing process for bulk
Compound manufacturing, (ii) potentially manufacturing Services to supply to METABOLEX amounts of bulk Compound in accordance with the Specifications, for use in clinical materials, and (iii) potentially other Services relating to Compound
manufacture, as set forth in one or more Scope of Work documents as agreed to by the Parties. SIEGFRIED will use good faith, commercially reasonable diligent efforts to provide all of the agreed Services as requested by METABOLEX and set forth in a
Plan. 

  

	 	2.2.	Process Development. SIEGFRIED shall perform the process development Services and tasks and activities as set forth in the agreed upon process development plan attached hereto as Exhibit B (the
“Process Development Plan”), as such plan may be amended from time to time by the written agreement of the Parties. Such Services shall include the preparation and delivery to METABOLEX of the Deliverables as set forth in the Process
Development Plan. 

  
 [*] = Certain confidential information contained in
this document, marked by brackets, has been omitted and filed separately with the Securities and Exchange Commission pursuant to Rule 24b-2 of the Securities Act of 1934, as amended. 

  
 3 

	 	2.3.	Manufacture. If the Parties agree on a manufacturing plan (“Manufacturing Plan,” Exhibit C) and execute a Quality Agreement (see Section 2.6), SIEGFRIED shall manufacture and
supply to METABOLEX the bulk Compound in such quantities as ordered by METABOLEX in orders submitted to SIEGFRIED from time to time by METABOLEX in accordance with the Manufacturing Plan, which may be amended from time to time by the written
agreement of the Parties. The Manufacturing Plan shall cover all relevant terms for such manufacture and supply, including sales price, applicable Incoterms, any additional Deliverables, whether specific Raw Materials will be supplied by METABOLEX
or by SIEGFRIED from a qualified vendor, the manufacturing process to be used, whether the manufacturing is to be performed under cGMP, [*], an agreed [*], an agreed [*] and any other relevant information associated with the execution of the
manufacturing work. All such bulk Compound manufactured and supplied under the Manufacturing Plan shall be manufactured in compliance with cGMP (except as otherwise specified in the Manufacturing Plan) and all other Applicable Laws and shall comply
with the Specifications. The ordering and delivery of such Compound under the Manufacturing Plan shall be in accordance with the provisions of the Manufacturing Plan. 

 

	 	2.4.	Additional Projects. If METABOLEX desires that SIEGFRIED perform certain additional activities or tasks relating to process development or manufacturing of Compound that are outside the scope of the Process
Development Plan or the Manufacturing Plan, METABOLEX shall submit a written request to SIEGFRIED setting forth in reasonable detail the particular activities or tasks requested for such proposed additional Project. The Parties shall then negotiate
reasonably and in good faith and seek to agree on a written “Scope of Work” setting forth such additional activities and tasks, and the specific terms for such proposed Project (which activities and tasks shall, upon agreement by
the Parties to such Scope of Work, be deemed additional Services to be performed hereunder). Each such Scope of Work shall include a specific description of the particular Services to be performed and the budget, costs and timeline therefore, and
all Deliverables to be prepared and delivered to, and, as necessary, any additional Information and requirements for such Services. Upon the Parties agreeing on such a Scope of Work, it shall be attached to this Agreement as Exhibit D
and shall be deemed incorporated herein, and the Services covered by such Scope of Work shall be deemed to be a new Project hereunder. Each agreed Scope of Work may be modified or amended from time to time upon mutual written agreement of the
Parties, and such agreed-upon modifications or amendments shall be attached as part of Exhibit D and deemed incorporated into the applicable Project. It is contemplated that there may be multiple Scopes of Work that shall be
sequentially numbered, each referencing and covering a different Project. An exemplary “Form of Scope of Work” is attached hereto as Exhibit D. 

 

	 	2.5.	Conflicting Terms. The Parties agree that if there is any conflict between a particular term of a Plan and the terms of this Agreement, the terms of this Agreement shall control and supersede such conflicting
term of the applicable Plan, unless such Plan specifically and expressly provides that such term shall prevail notwithstanding such conflict. 

  

	 	2.6.	Quality Agreement. Prior to SIEGFRIED commencing work for METABOLEX under a Manufacturing Plan, SIEGFRIED and METABOLEX shall enter into a quality agreement governing the quality systems used in connection with
SIEGFRIED’s performance (the “Quality Agreement”). 

  

[*] = Certain confidential information contained in this document, marked by brackets, has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Act of 1934, as amended. 

  
 4 

	 	2.7.	Schedule and Performance. SIEGFRIED will schedule the performance of each of the Projects (including all Services under the Project and delivery of all Deliverables) as specified in the Plan applicable to the
Project and will coordinate with METABOLEX as appropriate to ensure the timely commencement and performance of all such Services. SIEGFRIED shall perform all the Services and other work under a Project in accordance with the terms of the applicable
Plan, Applicable Law, and the terms and conditions of this Agreement. SIEGFRIED shall perform all the Services and other work under this Agreement using good faith, reasonable care and in accordance with industry practice. SIEGFRIED shall [*]
provide the facilities, all supplies and Raw Materials (other than any specific materials to be provided by or on behalf of METABOLEX under the terms of a particular Plan) and staff necessary to complete all the Services and work in accordance with
the terms of this Agreement and the applicable Plan. All such staff shall have all training, education and experience needed to perform the applicable Services in a competent and efficient manner. Notwithstanding anything in this Article, the
Parties acknowledge and agree that the Projects and the Plans may need to be adjusted and adapted depending on the progress and interim results of the activities performed by SIEGFRIED under this Agreement. The Parties further acknowledge that
SIEGFRIED shall be compensated based on the works done under this Agreement, rather than based on achievement of specific results. 

  

	 	2.8.	Raw Materials. In the preparation of Compounds, SIEGFRIED agrees to use only those Raw Materials that are supplied by METABOLEX or obtained by SIEGFRIED from a qualified vendor. SIEGFRIED shall determine the
amounts of Raw Materials that SIEGFRIED will need to make the Compound ordered by METABOLEX. Any Raw Materials supplied by METABOLEX to SIEGFRIED shall only be used for Services associated with METABOLEX Projects, unless otherwise agreed.

  

	 	2.9.	Excess Material. At the conclusion of a Plan or upon expiry or termination of this Agreement, SIEGFRIED shall provide notice to METABOLEX of any excess Raw Material and/or Compound (the “Excess
Material”) requiring disposal. METABOLEX shall instruct SIEGFRIED within [*] calendar days of receipt of such notice, whether SIEGFRIED shall deliver such Excess Material to METABOLEX (or to a METABOLEX designated Affiliate or Third Party)
or otherwise dispose of such Excess Material. In the event that METABOLEX does not instruct SIEGFRIED within the above mentioned [*]-day period, SIEGFRIED may dispose of the Excess Material in its sole and absolute discretion without any further
liability or obligation to METABOLEX. In any event, METABOLEX shall [*] (i) the delivery of Excess Material to METABOLEX (or to a METABOLEX designated Affiliate or Third Party) and/or any other disposal of Excess Material by SIEGFRIED.
METABOLEX shall [*] (i) [*] excess Raw Material, and (ii) [*] excess Compound. 

  

	 	2.10.	Subcontractors. SIEGFRIED may not subcontract any of the Services or other work to be performed by it hereunder without METABOLEX’s prior written consent. In the event that METABOLEX does so consent, then
any agreement entered into by SIEGFRIED with the permitted subcontractor shall, at a minimum, provide for ownership and allocation of Intellectual Property rights and for obligations of confidentiality of Information, record-keeping, access, rights
to data, and performance in accordance with Applicable Law that are consistent with the intent and terms of this Agreement and the Quality Agreement. SIEGFRIED shall remain liable for the performance of any of its obligations hereunder that it
delegates to a subcontractor. 

  
 [*] = Certain confidential information
contained in this document, marked by brackets, has been omitted and filed separately with the Securities and Exchange Commission pursuant to Rule 24b-2 of the Securities Act of 1934, as amended. 

  
 5 

	3.	PAYMENTS 

  

	 	3.1.	Compound Purchase Prices and Services Prices. The Manufacturing Plan shall provide the fixed price for the Compound manufactured and supplied to Metabolex by SIEGFRIED under such Plan. The Process Development
Plan shall provide for the specific prices charged for the Services performed under such Plan, with such prices tied to the specific Services to be performed, it being understood and agreed, however, that SIEGFRIED shall be compensated based on the
Services actually performed under such Process Development Plan in accordance this Agreement, rather than based on achievement of specific results or milestones. In the event that SIEGFRIED expects that it will be unable to perform the Services
under a Process Development Plan or to significantly delay or deviate from the Process Development Plan, then SIEGFRIED shall so inform METABOLEX without undue delay. The Parties then shall discuss such matter and seek to mutually agree on an
amended Process Development Plan. 

  

	 	3.2.	Expenses. METABOLEX shall reimburse SIEGFRIED for any out-of-pocket costs and expenses of SIEGFRIED incurred in connection with conduct of the agreed Services under a Plan, to the extent that such costs and
expenses are set forth in the Plan or otherwise have been mutually agreed to in writing by the Parties (such amounts, the “Expenses”). 

  

	 	3.3.	Payment Terms. SIEGFRIED will invoice METABOLEX for the payment amounts owed for the Services actually performed under the Plans and for the Expenses on a monthly basis. SIEGFRIED will further invoice METABOLEX
for the purchase price for Compound upon delivery of such Compound. Any such invoice shall provide specific details as to the payment obligation and the basis for such obligation. All payments of undisputed amounts on such invoices shall be due
within [*] calendar days following the invoice date. The invoice shall reference this Agreement and the relevant Plan, be accompanied by sufficient back-up documentation, if any, necessary for SIEGFRIED to support the payments being invoiced, and
shall be sent to: 

 METABOLEX, Inc. 

3876 Bay Center Place 
 Hayward,
CA 94545 
 Attention: Accounts Payable 

Fax: [*] 
 Unless otherwise
agreed in writing by the Parties, (i) all amounts payable hereunder and under the Plans shall be invoiced and paid in U.S. Dollars and (ii) any required conversion of amounts in Swiss Francs, Euros or other currencies into U.S. Dollars
shall be made in accordance with SIEGFRIED’s standard accounting policies. 
  

	 	3.4.	Acceptance of Compound and Services. METABOLEX shall have the right to review and test all Compound delivered by SIEGFRIED under the Manufacturing Plan to confirm that such delivered Compound complies with the
obligations of this Agreement. METABOLEX may reject any such Compound shipment (or portion thereof) if the same does not comply with the requirements as set forth in the Manufacturing Plan or the terms of this Agreement by providing to SIEGFRIED a
written rejection within [*] calendar days from receipt thereof, which rejection identifies the basis for such rejection. METABOLEX shall not have the obligation to pay for any Compound properly rejected. Further, METABOLEX shall have the right to
review the Services performed and/or Deliverables delivered to METABOLEX under a Project, or any portion thereof, and METABOLEX shall not have any obligation to make payments for any such 

 
 [*] = Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange Commission pursuant to Rule 24b-2 of the Securities Act of 1934, as amended. 

  
 6 

	 	
Services or Deliverables that do not comply with the terms of the applicable Plan, unless and until SIEGFRIED provides to METABOLEX replacement Services or Deliverables (as applicable) that
conform to the criteria in the Plan. If METABOLEX does not reject in writing within [*] calendar days of receipt, [*]. METABOLEX shall clearly state in writing the reasons for any rejection. If SIEGFRIED disagrees with METABOLEX, it shall notify
METABOLEX to such effect, stating the basis of its disagreement, within the [*] days following METABOLEX’s rejection notice. In such event, either Party may elect to have the disagreement resolved by an independent laboratory, whose decision
will be binding on the Parties and whose expenses will be borne by the Party whose position is not upheld by the laboratory. If SIEGFRIED does not dispute METABOLEX’s rejection notice, it shall,within [*] days of such notice present a
corrective plan of action to METABOLEX. Upon approval by METABOLEX of the corrective plan, SIEGFRIED, at no additional expense to METABOLEX (other than paying the payment amounts owed under the applicable Plan, at such time as SIEGFRIED delivers the
conforming Compound, Services or Deliverable (as applicable)), shall then make the corrections and, where applicable, SIEGFRIED shall resubmit the corrected Service or Deliverable to METABOLEX. 

 

	 	3.5.	Disputed Amounts. For disputed invoices or the disputed portion of an invoice, METABOLEX shall provide to SIEGFRIED, in writing, within [*] calendar days of receipt of the invoice, a description of the disputed
amounts and the basis of the dispute. Without limiting either Party’s rights or remedies under law, METABOLEX and SIEGFRIED shall negotiate in a good faith, reasonable manner to resolve any such billing issue or disputed invoice.

  

	4.	TERM, TERMINATION AND RENEWAL  

  

	 	4.1.	Term. This Agreement shall commence on the Effective Date and shall expire [*] from the Effective Date unless earlier terminated pursuant to this Article 4 or as otherwise provided for in this Agreement.

  

	 	4.2.	Termination Without Cause. METABOLEX may, at its sole discretion, terminate this Agreement or any Plan without cause on [*] calendar days written notice to SIEGFRIED. ). If METABOLEX terminates this Agreement
(but not any ongoing Plan) pursuant to this Section, such termination shall not terminate the ongoing Plan. Notwithstanding any termination of this Agreement and/or a Plan, the accrued rights of METABOLEX and/or SIEGFRIED pursuant to this Agreement
shall survive. 

  

	 	4.3.	Termination for Discontinuance or Divestiture. SIEGFRIED shall have the right to terminate this Agreement on [*] calendar days written notice to METABOLEX in the event that METABOLEX discontinues all of its
business activities relating to development or commercialization of a Compound covered by this Agreement. 

  

	 	4.4.	Termination For Cause. Either Party shall have the right to terminate this Agreement with immediate effect upon written notice if the other Party materially breaches this Agreement and such breaching Party fails
to cure such breach within [*] calendar days following written receipt of such notice from the non-breaching party specifying such breach and the steps the breaching Party must take in order to remedy such breach. 

 
 [*] = Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange Commission pursuant to Rule 24b-2 of the Securities Act of 1934, as amended. 

  
 7 

	 	4.5.	Termination in Event of Insolvency. In the event that either Party: (i) institutes or has instituted against it a petition for bankruptcy or is adjudicated bankrupt; or (ii) executes a bill of sale,
deed of trust, or a general assignment for the benefit of creditors; or (iii) is dissolved or transfers a substantially all of its assets to a third party receiver or creditor in connection with its insolvency; or (iv) a receiver is
appointed for the benefit of its creditors, or a receiver is appointed on account of insolvency; then the bankrupt Party shall immediately notify the other Party of such event and such other Party shall be entitled to: (a) terminate this
Agreement with immediate effect upon written notice to the insolvent Party; or (b) request that the insolvent Party or its successor provide adequate assurances of continued and future performance in form and substance acceptable to such other
Party, which shall be provided by the insolvent Party within [*] calendar days of such request, and the other Party may terminate this Agreement with immediate effect upon written notice to the bankrupt Party in the event that the Party fails to
provide such assurances acceptable to the other Party within such [*] day period. Termination pursuant to this Section 4.6 shall be without prejudice to any rights and claims accrued under this Agreement or any Plan prior to the termination of
this Agreement. 

  

	 	4.6.	Accrued Claims. The termination or expiry of this Agreement for any reason whatsoever shall be without prejudice for any claims accrued under this Agreement prior to the effectiveness of the expiry or
termination. Without limiting the generality of the foregoing, in the event of the termination or expiry of this Agreement for any reason, METABOLEX shall pay to SIEGFRIED within the [*] calendar days following the effective date of termination or
expiry all payment amounts actually accrued under Section 3.1 under the applicable Plan(s) being terminated, and also shall pay SIEGFRIED’s actual Expenses (based on invoices demonstrating the costs and the basis therefore) that are
incurred in performing the terminated Plan(s) through the termination (above and beyond the costs that are covered by payment amounts already accrued) [*]. 

  

	5.	OWNERSHIP 

  

	 	5.1.	Ownership and Disclosure. METABOLEX shall own all rights, title and interest in and to: (i) all the Deliverables and all Intellectual Property rights and know-how comprising, covering or appurtenant to the
Deliverables; (ii) all Data, other Information and other Intellectual Property that is made, discovered or developed based on or as the direct result of SIEGFRIED’s performance of the Services or other activities under this Agreement, and
(iii) the Compound supplied to METABOLEX hereunder, all Certificates of Analysis, all Data, and all reports and biological or chemical specimens generated by SIEGFRIED as a direct result of conducting the Services (collectively, the
“Project IP”). For the avoidance of doubt, Project IP shall not include any Siegfried Background IP (as defined below) or any Intellectual Property rights, know-how, Information, developed by SIEGFRIED independent of this
Agreement[*]. SIEGFRIED shall notify METABOLEX in writing of any and all Project IP as soon as commercially reasonable after each such conception, reduction to practice, making, or development thereof. 

 

	 	5.2.	Assignment. SIEGFRIED hereby assigns and agrees to assign and transfers to METABOLEX all rights, title and interest in and to all the Project IP. SIEGFRIED agrees to take all further acts reasonably required to
evidence and/or effect or perfect such assignments and transfers to METABOLEX, at METABOLEX’s expense. SIEGFRIED shall enter into an agreement with each employee, agent or consultant of SIEGFRIED performing work in connection with the Services,
pursuant to which such person shall grant all rights in Project IP to SIEGFRIED such that 

  

[*] = Certain confidential information contained in this document, marked by brackets, has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Act of 1934, as amended. 

  
 8 

	 	
SIEGFRIED may assign and transfer such rights to METABOLEX in accordance with this Section 5.2. SIEGFRIED hereby appoints METABOLEX as its attorney-in-fact to sign such documents as
METABOLEX deems necessary for METABOLEX to obtain ownership and to apply for, secure, and maintain patent or other proprietary protection of Project IP if METABOLEX is unable, after reasonable inquiry, to obtain SIEGFRIED’s (or its
employee’s , agent’s or consultant’s) signature on such a document(s). METABOLEX shall have the sole right and authority, at its discretion and expense, to prepare, file, prosecute and maintain any patent applications and patents
claiming the Project IP. All Project IP shall be deemed to be and treated as METABOLEX Confidential Information and shall be subject to the confidentiality obligations and provisions of Article 7. 

 

	 	5.3.	METABOLEX Property. Subject to the license set forth in Section 5.6, METABOLEX shall retain exclusively all rights, title and interest in and to (i) all Intellectual Property owned or known by METABOLEX
or its agents prior to the Effective Date or made or acquired by METABOLEX during the term of this Agreement, and (ii) all physical property provided to SIEGFRIED in connection with this Agreement. 

 

	 	5.4.	SIEGFRIED Intellectual Property. Subject to the license set forth in Section 5.5, SIEGFRIED shall retain all right, title and interest in and to (i) all Intellectual Property, know-how, information, and
documents (x) owned or known by SIEGFRIED, its agents and Affiliates prior to the Effective Date or (y) made by SIEGFRIED during the term of this Agreement independently of this Agreement [*]. All such Intellectual Property, and all
Intellectual Property otherwise Controlled by SIEGFRIED as of the Effective Date or independently of this Agreement during the term of this Agreement, shall be the “SIEGFRIED Background IP”. 

 

	 	5.5.	License to METABOLEX. [*] a non-exclusive license under any item(s) of SIEGFRIED Background IP [*] (i) to fully exploit any product or service based on, embodying, incorporating, or derived from the
Deliverables; (ii) to exercise any and all other present or future rights in the Deliverables for any and all purposes, or (iii) to manufacture Compound, to manufacture or have manufactured Compound (or any analog or derivative thereof)
for all purposes, including making commercial products, [*]. 

  

	 	5.6.	License to SIEGFRIED. METABOLEX hereby grants to SIEGFRIED for the term of this Agreement a nonexclusive, royalty-free, revocable, right and license (without any rights to sublicense) under Metabolex’s
Intellectual Property, know-how or Information solely to the extent necessary to enable SIEGFRIED to perform Services. SIEGFRIED shall not acquire any other right, title or interest in or to such Intellectual Property as a result of its performance
hereunder. 

  

	6.	DELIVERABLES AND RECORDS 

  

	 	6.1.	Deliverables. SIEGFRIED agrees to provide to METABOLEX (i) all batches of Compound that SIEGFRIED manufactures under this Agreement; (ii) a detailed description of the process used to make each batch of
Compound (each batch Compound will be identified by an internal SIEGFRIED lot number, with a cross-reference to the identification number for the intermediates in the synthetic process and Raw Materials utilized in the synthesis), including
SIEGFRIED’s “batch record”; and (iii) for each batch shipped, a quality statement certifying whether or not the Compound was processed according to cGMPs (Certificate of Compliance) 

 
 [*] = Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange Commission pursuant to Rule 24b-2 of the Securities Act of 1934, as amended. 

  
 9 

	 	
and a Certificate of Analysis that confirms the Compound meets the Compound Specifications. SIEGFRIED shall also conduct all quality testing provided for in the Plan and the Quality Agreement and
provide to METABOLEX all documentation of such quality testing required by the Quality Agreement and/or the applicable Plan. METABOLEX has responsibility for Compound release (see Section 8.2.2.1). 

SIEGFRIED shall deliver to METABOLEX various samples of Compound according to any schedule set forth in a Plan or as otherwise mutually agreed
upon in writing by the Parties. 
  

	 	6.2.	Books and Records. SIEGFRIED shall keep complete and accurate books and records related to all Services performed under the Agreement, including covering the manufacture, processing and supply of the Compound.
SIEGFRIED shall also maintain complete, accurate, and authentic documentation, notes, data, test results, records, master batch records, and working batch records for each batch of Compound, for all Services, and for all other work relating to
Compound and/or any of the Services generated by SIEGFRIED during the performance of, and in connection with, the Plan(s) (collectively, the “Data”). SIEGFRIED shall retain such records for a period of [*] following the date of
manufacture or for such longer period as may be required by the Quality Agreement, the applicable Plan or Applicable Law. Such records shall be made available to METABOLEX for inspection, copying and/or audit verification by METABOLEX or its
designee at any reasonable time during SIEGFRIED regular business hours. Upon METABOLEX’s request, SIEGFRIED shall make copies of such records available to METABOLEX, at METABOLEX’ expense. 

 

	7.	USE OF CONFIDENTIAL INFORMATION 

  

	 	7.1.	Each Party agrees to maintain in strict trust and confidence and shall not disclose to any Third Party any Confidential Information of the other Party, and shall not use any such Confidential Information of the
other Party for any purpose, either for itself or for a Third Party, other than as provided for in this Agreement. 

  

	 	7.2.	Each Party agrees that it will disclose the Confidential Information of the other Party only to such of its officers, employees and approved subcontractors (“Representatives”) who are directly
concerned with performance of the work or exercise of rights granted hereunder, and only after such Representatives have been advised of the confidential nature of such information and are bound by obligations of confidentiality with respect to such
Confidential Information that are substantially similar to the terms of this Agreement. The Party having such obligations (the “Receiving Party”) as to the Confidential Information of the other Party shall be liable for any failure
of any of its Representatives to (i) maintain the confidentiality of such Confidential Information, or (ii) otherwise comply with the terms of this Agreement to the same extent as the Receiving Party is obligated to do so.

  

	 	7.3.	The preceding obligations on a Party to maintain the Confidential Information of the other Party in confidence and the limitation upon the right to use such Confidential Information shall not apply to specific
Confidential Information to the extent such Party can demonstrate with competent evidence that: (i) such Confidential Information disclosed by the other Party (the “Disclosing Party”) to such Party pursuant to this Agreement
was already in Receiving Party’s possession at the time of disclosure by the Disclosing Party; or (ii) such Confidential Information 

  

[*] = Certain confidential information contained in this document, marked by brackets, has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Act of 1934, as amended. 

  
 10 

	 	
is or becomes in the future public knowledge through no fault or omission by the Receiving Party; (iii) such Confidential Information is obtained by Receiving Party from a Third Party with a
legal right to disclose and not under a confidentiality obligation to the Disclosing Party; or (iv) is independently developed by the Receiving Party without use of any Confidential Information of the Disclosing Party, as demonstrated by the
Receiving Party’s independent written records contemporaneous with such development. 

  

	 	7.4.	The preceding obligations to maintain in confidence and the limitations upon the right to use the Confidential Information received pursuant hereto, shall terminate [*] years from termination or expiry of this
Agreement. 

  

	 	7.5.	SIEGFRIED agrees to use Raw Materials and Compound only for the performance of Services and under the terms and conditions of this Agreement. 

 

	 	7.6.	Notwithstanding any other provision of this Agreement, the Receiving Party may disclose specific Confidential Information of the other Party to the extent that such disclosure: (i) is in response to a valid
order of a court or other governmental body having jurisdiction or (ii) is otherwise required by applicable law or regulation, provided in either case that Receiving Party uses best efforts to limit the scope of the disclosure to that which is
required, provides Disclosing Party with prior written notice of such requirement as soon as reasonably possible, and cooperates with Disclosing Party in seeking a protective order, confidential treatment, or similar remedy limiting the use and
disclosure of any Information required to be disclosed. 

  

	 	7.7.	Neither Party shall disclose to the other Party any confidential or proprietary information that belongs to any Third Party unless the Disclosing Party first obtains the consent of such Third Party to such
disclosure. 

  

	 	7.8.	Notwithstanding the foregoing, either Party may disclose the text and terms of this Agreement in filings with the United States Securities and Exchange Commission or any other governmental body (U.S. and
otherwise) to the extent such disclosure is required by Applicable Law, as well as in disclosures in confidence to its auditors and attorneys. In addition, METABOLEX may disclose the text and terms of this Agreement in confidence in disclosures to
its investors, and strategic partners, and to potential investors, acquirors, and strategic partners. SIEGFRIED may disclose the text and terms of this Agreement (but not Plans) in confidence in disclosures to its investors, and strategic partners,
and to potential investors, acquirors, and strategic partners. 

  

	8.	FACILITY AND COMPOUND REQUIREMENTS 

  

	 	8.1.	Facility 

  

	 	8.1.1.	In performing the Services, SIEGFRIED shall comply with all Applicable Laws for a drug establishment and obtain and maintain all necessary registrations, licenses and permits. METABOLEX shall have the right to
review, from time to time as it requests, during normal business hours, and upon written notice of no less than [*], each registrations, licenses and permits of SIEGFRIED that is directly related to SIEGFRIED’s obligations under this Agreement,
including but not limited to those required by the FDA or any other regulatory agency having jurisdiction over SIEGFRIED. 

  

[*] = Certain confidential information contained in this document, marked by brackets, has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Act of 1934, as amended. 

  
 11 

	 	8.1.2.	For Services under a Manufacturing Plan, SIEGFRIED shall ensure that the facility meets all the requirements of a drug establishment promulgated by the FDA at all times during the manufacture of the Compound, and
SIEGFRIED shall comply with all aspects required by the Quality Agreement. 

  

	 	8.1.3.	SIEGFRIED shall promptly notify METABOLEX of any FDA or other regulatory audit or inspection that is directly relevant to the Services or facilities used in performing the Services. SIEGFRIED shall promptly
provide to METABOLEX a copy of all correspondence and reports that it receives from a governmental agency or regulatory authority in connection with the Services or its manufacture of Compound. SIEGFRIED shall take all reasonable actions requested
by FDA or another governmental agency or regulatory authority to cure deficiencies as noted during any such inspection. METABOLEX shall [*] notify SIEGFRIED of any activities or communications by METABOLEX that may reasonably be expected to result
in an inspection of SIEGFRIED. METABOLEX’S involvement in such audit or inspection shall [*]. 

  

	 	8.2.	Authority and Compound Requirements 

  

	 	8.2.1.	Each Party represents and warrants to the other that, to its current knowledge, (i) it has the full right and authority to enter into and to perform its obligations under this Agreement, (ii) this
Agreement has been duly authorized and (iii) this Agreement is binding upon it. 

  

	 	8.2.2.	METABOLEX and SIEGFRIED hereby agree that with respect to the Services and the Compound, and in addition to the other rights and obligations of this Agreement they each have the following responsibilities and
liabilities: 

  

	 	8.2.2.1.	METABOLEX shall ensure that [*] relating to Compound manufactured hereunder will [*] under this Agreement as required by Applicable Law and will comply with all regulation for governmental applications,
submissions, and approvals. METABOLEX further represents, warrants and covenants that no Compound will be released for human public use or consumption until all requisite governmental approvals thereof have been obtained for such use and
consumption. 

  

	 	8.2.2.2.	SIEGFRIED will make its own identification tests on the Raw Materials delivered to SIEGFRIED before commencing manufacture of the Compound (and shall not commence manufacture if such tests indicate the Raw
Materials do not comply with the applicable specifications). 

  

	 	8.2.2.3.	SIEGFRIED shall be responsible for manufacturing, storing, handling, and shipping the Compound in accordance with the specifications provided to SIEGFRIED and the agreed upon terms in the relevant Plan.

  

	 	8.2.2.4.	METABOLEX and SIEGFRIED (except where METABOLEX has the responsibility under Section 8.2) shall comply with all Applicable Law, rules, regulations, codes, and standards of all federal, state, local and
municipal government agencies that affect their respective performance and activities under this Agreement. Each Party shall provide upon request such information as the other Party reasonably 

 
 [*] = Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange Commission pursuant to Rule 24b-2 of the Securities Act of 1934, as amended. 

  
 12 

	 	
requires for compliance with all Applicable Law, rules, regulations, codes, and standards of all federal, state, local and municipal government agencies that affect their respective performance
and activities under this Agreement. 

  

	 	8.2.2.5.	During all periods when any Raw Materials, Compound or other property of METABOLEX, is stored on the premises of SIEGFRIED, SIEGFRIED shall be responsible for all insurable risks of loss or damage to such stored
Raw Materials, Compound, or property. SIEGFRIED shall not be responsible for risk of loss of any Raw Material or Compound not stored on the premises of SIEGFRIED. 

 

	 	8.2.2.6.	Except as provided below, SIEGFRIED and METABOLEX shall maintain, throughout the term of this Agreement (and, with respect to any policies made on a “claims made” basis, after the term hereof for at
least [*] years following the performance of the Services such liability insurance as is reasonably requested by SIEGFRIED and METABOLEX, respectively, from time to time and in the amounts of not less than USD [*] in the aggregate, and will cause
the other Party to be named as an additional insured thereunder, and to be covered with respect to the contractual indemnities hereunder, without liability for premiums. Each Party shall submit certificates of insurance, evidencing such insurance
coverage, when requested by the other Party. SIEGFRIED further agrees to maintain workers’ compensation insurance in the amount required by the laws of the state in which SIEGFRIED’s employees performing the Services are located.

  

	 	8.2.3.	No Debarred Person. SIEGFRIED represents and warrants that it shall not employ, contract with, or retain any person directly or indirectly to perform the Services under this Agreement [*] under investigation by
the FDA for debarment or being presently debarred by the FDA pursuant to the Generic Drug Enforcement Act of 1992, as amended (21 U.S.C. § 301, et seq.). In addition, SIEGFRIED represents and warrants that, to its best knowledge, it has
not engaged in any conduct or activity that could lead to any such debarment actions. If during the term of this Agreement, SIEGFRIED [*] (i) coming under investigation by the FDA for a debarment action, (ii) being debarred, or
(iii) engaging in any conduct or activity that could lead to debarment, SIEGFRIED shall immediately notify METABOLEX of same, subject to limitations and disclosure prohibitions pursuant to Applicable Laws, including but not limited to data
protection laws. 

  

	 	8.2.4.	No Pending Regulatory Actions. SIEGFRIED represents and warrants that, as of the Effective Date, it has not received any citations with respect to its manufacturing facilities, including without limitation FDA
Form 483 warning letters, and is not currently subject to an FDA consent decree or other regulatory action impacting SIEGFRIED’s manufacture of Compound under this Agreement. 

 

	 	8.2.5.	No Pending Litigation. SIEGFRIED represents and warrants that, as of the Effective Date, it is not currently involved in any litigation, and is unaware of any pending litigation proceedings, relating to
SIEGFRIED’s performance of services for any Third Party that could materially affect SIEGFRIED’s performance of its obligations under this Agreement. 

  

[*] = Certain confidential information contained in this document, marked by brackets, has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Act of 1934, as amended. 

  
 13 

	 	8.2.6.	Shipping. SIEGFRIED will package, insure and ship the Compound in accordance with the instructions stated in the applicable Plan. METABOLEX will be responsible for providing instructions for and payment of
freight, insurance, customs duties and related charges for delivery of packaged Compounds to METABOLEX incurred after title passes to METABOLEX, unless otherwise specified in the applicable Plan, and SIEGFRIED shall comply with METABOLEX’s
instructions. 

  

	 	8.2.7.	No Infringement. SIEGFRIED represents and warrants that no Siegfried Background IP, when used as contemplated in this Agreement, will infringe or misappropriate, any intellectual property right of any Third
Party. METABOLEX represents and warrants that no METABOLEX Intellectual Property, know-how or Information that is licensed to SIEGFRIED pursuant to Section 5.6 will infringe or misappropriate any intellectual property right of any Third Party
when used as permitted in this Agreement. 

  

	 	8.2.8.	SIEGFRIED Indemnification. METABOLEX shall indemnify, defend, and hold harmless SIEGFRIED and SIEGFRIED’s directors, officers, employees, Affiliates and agents (the “SIEGFRIED Indemnitees”)
from and against any and all liabilities, losses, judgments, costs and expenses (including reasonable attorneys’ fees and legal expenses) (collectively, “Losses”) that are based on or caused by any allegations, claims, suits,
or action by a Third Party (collectively “Claims”) against any SIEGFRIED Indemnitee to the extent such Claims result from or arise out of: (i) gross negligence, recklessness or intentional misconduct on the part of METABOLEX or
its directors, officers, employees or agents; or (ii) a breach of METABOLEX’s obligations, covenants, representations, or warranties under this Agreement (each, a “METABOLEX Assumed Liability”). Such indemnity shall not
apply to the extent that a Claim arises out of or results from a SIEGFRIED Assumed Liability (as defined in Section 8.2.9). 

  

	 	8.2.9.	METABOLEX Indemnification. SIEGFRIED shall indemnify, defend, and hold harmless METABOLEX and METABOLEX’s directors, officers, employees, Affiliates and agents (the “METABOLEX Indemnitees”)
from and against any and all Losses that are based on or caused by any Claims against any METABOLEX Indemnitee to the extent such Claims result from or arise out of: (i) gross negligence, recklessness or intentional misconduct on the part of
any one of the SIEGFRIED Indemnitees, (ii) a failure of any one of the SIEGFRIED Indemnitees to comply with any Applicable Law in the performance of the work under this Agreement, or (iii) a breach of SIEGFRIED’s obligations,
covenants, representations, or warranties under this Agreement or Compound (each, a “SIEGFRIED Assumed Liability”). Such indemnity shall not apply to the extent that a Claim arises out of or results from any METABOLEX Assumed
Liability. 

  

	 	8.2.10.	Indemnification Procedure. In the event that any Claim is asserted or imposed against any Party hereto, then such Party (an “Indemnified Party”) shall promptly give written notice to the other
Party (the “Indemnifying Party”) of such Claim. The Indemnified Party shall take all reasonable measures to limit or mitigate any Losses and shall inform the Indemnifying Party of all such measures. The Indemnifying Party shall
assume, at its cost and expense, the defense of such Claim. The Indemnifying Party shall have control over the Claim, including the right to settle; provided, however, that the Indemnifying Party shall not, absent the prior written consent of the
Indemnified Party, consent to 

  
 [*] = Certain confidential information
contained in this document, marked by brackets, has been omitted and filed separately with the Securities and Exchange Commission pursuant to Rule 24b-2 of the Securities Act of 1934, as amended. 

  
 14 

	 	
the entry of any judgment or enter into any settlement that (i) provides for any relief other than the payment of monetary damages for which the Indemnifying Party shall be solely liable and
(ii) where the claimant or plaintiff does not release the Indemnified Party, its Affiliates and its respective directors, officers, employees, agents and representatives, as the case may be, from all liability in respect thereof. In no event
shall the Indemnified Party be liable for any claims that are compromised or settled in violation of this Section. 

  

	 	8.2.11.	Except for Losses resulting from SIEGFRIED’s gross negligence, fraud or willful misconduct, in no event shall SIEGFRIED’s total liability to METABOLEX arising under this Agreement exceed the total amount paid
by METABOLEX to SIEGFRIED for the Services. Except for Losses resulting from METABOLEX’s gross negligence, fraud or willful misconduct, in no event shall METABOLEX’s total liability to SIEGFRIED arising under this Agreement exceed the
total amount paid (or owed hereunder) by METABOLEX to SIEGFRIED for the Services. The above terms of this Section 8.2.11 shall not be deemed to limit a Party’s obligations under section 8.2.8 or 8.2.9, or a Party’s liability for a
breach of its obligations under Article 7. 

  

	9.	SURVIVAL 

 The termination of this Agreement shall not affect the provisions of Sections 1, 5, 7, 8.2.8,
8.2.9, 8.2.10, 8.2.11, 9, 10, 13.1, 13.2, 13.3, 13.4, and 13.14, which shall expressly survive any termination. 
  

	10.	PRESS RELEASE 

 No Party shall (i) issue a press release or make any other public statement that
references this Agreement, or (ii) use the other Party’s or its Affiliates’ name or trademarks for publicity or advertising purposes, except, in each case, with the prior written consent of the other Party. For the avoidance of doubt,
SIEGFRIED shall not disclose, present, disseminate or produce any publication that contains information regarding the Services, Deliverables or any Confidential Information of METABOLEX without METABOLEX’s prior written consent. Notwithstanding
the foregoing sentences, either Party may use the name of the other Party in regulatory filings, including filings with the FDA and the United States Securities and Exchange Commission, or in disclosures to investors, partners, potential investors,
and potential partners. For the avoidance of doubt, each Party shall fully comply with Section 7 when issuing a press release or making any other public statement. 
  

	11.	EFFECT OF OTHER AGREEMENTS 

 This Agreement, together with validly approved Plans, sets forth the entire
agreement between SIEGFRIED and METABOLEX as to their subject matter and supersedes all other agreements and understandings between the Parties with respect to the same. 
  

	12.	ACCESS TO SITE 

  

	 	12.1.	METABOLEX personnel will be afforded reasonable access to the SIEGFRIED site on advance written notice of not less than two weeks and during regular working hours or any other time during which work under any
Plan is being performed. SIEGFRIED will use its best efforts to accommodate any requests for visitations during such periods. 

  

	 	12.2.	While on site, METABOLEX personnel will use best care in the conduct of their activities. METABOLEX will indemnify and otherwise hold SIEGFRIED harmless from any damages resulting from violation of this due care
standard by METABOLEX personnel. 

  
 [*] = Certain confidential
information contained in this document, marked by brackets, has been omitted and filed separately with the Securities and Exchange Commission pursuant to Rule 24b-2 of the Securities Act of 1934, as amended. 

  
 15 

	13.	MISCELLANEOUS 

  

	 	13.1.	Notices. All notices, consents and approvals required or permitted hereunder shall be given in writing to the other Party by personal delivery, by certified or registered mail, return receipt requested, by
overnight courier, or by facsimile transmission with electronic confirmation of transmission, at the address specified below or to such other addresses as may be designated in writing from time to time in accordance with this Section 13.1:

  

			
	If to METABOLEX:	  	METABOLEX, Inc.
		  	3876 Bay Center Place
		  	Hayward, CA 94545
		  	Attention: Legal Department
		  	Fax [*]
		
	For SIEGFRIED:	  	SIEGFRIED AG
		  	Untere Brühlstrasse 4
		  	Zofingen CH4800
		  	Switzerland
		  	Attention: Legal Department
		  	Fax [*]

  

	 	13.2.	LIMITATION OF DAMAGES. NOTWITHSTANDING ANY OTHER PROVISION OF THIS AGREEMENT TO THE CONTRARY, IN NO EVENT SHALL SIEGFRIED OR METABOLEX BE LIABLE TO THE OTHER FOR ANY SPECIAL, INDIRECT, INCIDENTAL, PUNITIVE,
MULTIPLE-BASED OR CONSEQUENTIAL DAMAGES (INCLUDING LOSS OF REVENUES OR PROFIT TO A PARTY OR A THIRD PARTY) ARISING FROM OR RELATING TO ANY BREACH OF THIS AGREEMENT, OR OTHERWISE, REGARDLESS OF ANY NOTICE OF THE POSSIBILITY OF SUCH DAMAGES, EXCEPT
THAT THE FOREGOING SHALL NOT LIMIT DAMAGES FOR BREACH OF THE OBLIGATIONS IN ARTICLE 7. FURTHER, THE ABOVE TERMS OF THIS SECTION 13.2 SHALL NOT BE DEEMED TO LIMIT A PARTY’S OBLIGATIONS UNDER SECTION 8.2.8 OR 8.2.9. 

 

	 	13.3.	Governing Law. Any claim, dispute, or controversy of whatever nature arising out of or relating to this Agreement shall be governed by and construed in accordance with the laws of the State of New York, without
giving effect to any choice of law principles that would require the application of the laws of a different state. 

  

	 	13.4.	Binding Effect. This Agreement shall be binding upon and inure to the benefit of the Parties and their respective legal representatives, successors and permitted assigns. 

 
 [*] = Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange Commission pursuant to Rule 24b-2 of the Securities Act of 1934, as amended. 

  
 16 

	 	13.5.	Counterparts. This Agreement may be executed simultaneously in two or more counterparts, each of which shall be deemed an original. Copies of original signature pages sent by facsimile and/or PDF shall have the
same effect as signature pages containing original signatures. 

  

	 	13.6.	Amendment, Waiver. This Agreement may be amended, modified, superseded or canceled, and any of the terms may be waived, only by a written instrument executed by each Party or, in the case of waiver, by the Party
or Parties waiving compliance. The delay or failure of any Party at any time or times to require performance of any provisions shall in no manner affect the rights at a later time to enforce the same. No waiver by any Party of any condition or of
the breach of any term contained in this agreement, whether by conduct, or otherwise, in any one or more instances, shall be deemed to be, or considered as, a further or continuing waiver of any such condition or of the breach of such term or any
other term of this Agreement. 

  

	 	13.7.	No Third Party Beneficiaries. No Third Party, including any employee of any Party to this Agreement, shall have or acquire any rights by reason of this Agreement. 

 

	 	13.8.	Assignment and Successors. This Agreement may not be assigned by either Party, except that each Party may assign this Agreement and the rights and interests of such Party, in whole or in part, to any of its
Affiliates, any purchaser of all or substantially all of its assets or to any successor corporation resulting from any merger or consolidation of such Party with or into such corporation. 

 

	 	13.9.	Force Majeure. Neither METABOLEX nor SIEGFRIED shall be liable for failure of or delay in performing obligations set forth in this Agreement, and neither shall be deemed in breach of its obligations, if such
failure or delay is due to natural disasters or any causes reasonably beyond the control of METABOLEX or SIEGFRIED, as applicable. The affected Party shall notify the other Party of such force majeure circumstances as soon as reasonably practical
and shall take reasonable, diligent efforts to remove the condition constituting force majeure or to avoid its affects so as to resume performance as soon as practicable. 

 

	 	13.10.	Severability. If any provision of this Agreement is or becomes invalid or is ruled invalid by any court of competent jurisdiction or is deemed unenforceable, it is the intention of the Parties that the remainder
of the Agreement shall not be affected. The Parties shall make a good faith effort to replace any such provision with a valid and enforceable one such that the objectives contemplated by the parties when entering this Agreement may be realized.

  

	 	13.11.	Employees. Each Party shall be responsible for claims made by its own employees, and each Party shall defend, indemnify and hold harmless the other Party, the other Party’s employees, directors, trustees and
officers, from and against any and all liability, claims, damages, losses, actions or suits, which the other Party may incur by reason of any claim made by an employee of the Party, except for injuries resulting from the gross negligence or willful
misconduct of the other Party. 

  

	 	13.12.	Relationship of Parties. The relationship between the Parties is that of independent contractors. Neither Party, nor any employee or agent of such Party, shall have the authority to bind or act on behalf of the
other Party without its prior written consent. No employee or agent of SIEGFRIED shall be considered to be an employee or agent of METABOLEX, and no 

  

[*] = Certain confidential information contained in this document, marked by brackets, has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Act of 1934, as amended. 

  
 17 

	 	
employee or agent of METABOLEX shall be considered to be an employee or agent of SIEGFRIED. Each Party shall be solely and entirely responsible for its acts and for the acts of its employees and
agents during performance of this Agreement. This Agreement shall not constitute, create, or in any way be interpreted as a joint venture, partnership or business organization of any kind. 

 

	 	13.13.	Construction. Section headings are included in this Agreement merely for convenience of reference; they are not to be considered part of this Agreement or used in the interpretation of this Agreement. No rule of
strict construction will be applied in the interpretation or construction of this Agreement. 

  

	 	13.14.	Time Is of the Essence. Time is of the essence in the performance of the Services and SIEGFRIED’s other obligations under this Agreement. 

[Remainder of page intentionally left blank] 
  

[*] = Certain confidential information contained in this document, marked by brackets, has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Act of 1934, as amended. 

  
 18 

 In witness whereof, the parties hereto have duly executed this Agreement as of the Effective Date. 

 

									
	METABOLEX, INC.	 		 	SIEGFRIED AG
					
	By:	 	 /s/ Charles A. McWherter
	 		 	By:	 	 /s/ Marianne Spaene

			
	 Charles A. McWherter
	 		 	 Marianne Spaene

	Print Name	 		 	Print Name
			
	 SVP, Research and Preclinical Dev’t
	 		 	 EVP Business Dev

	Title	 		 	Title
					
		 		 		 	By:	 	 /s/ Sandra Cernick

				
		 		 		 	 Sandra Cernick

		 		 		 	Print Name
				
		 		 		 	Senior Director
		 		 		 	 Business Development & Sales USA

		 		 		 	Title

  
 [*] = Certain confidential information contained in this
document, marked by brackets, has been omitted and filed separately with the Securities and Exchange Commission pursuant to Rule 24b-2 of the Securities Act of 1934, as amended. 

  
 19 

 Exhibit A 

Compound & Raw Materials 
  

[*] = Certain confidential information contained in this document, marked by brackets, has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Act of 1934, as amended. 

  
 20 

 Exhibit B 

Process Development Plan 
  

[*] = Certain confidential information contained in this document, marked by brackets, has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Act of 1934, as amended. 

  
 21 

 Exhibit C 

Manufacturing Plan 
  

[*] = Certain confidential information contained in this document, marked by brackets, has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Act of 1934, as amended. 

  
 22 

 Exhibit D 

Form of Scope of Work 

Scope of Work No.      

THIS SCOPE OF WORK NO.      (a “Scope of
Work”) is made and entered into as of                  , 20    , by and between METABOLEX, INC. a Delaware corporation with a
business address of 3876 Bay Center Place, Hayward, California 94545 (“METABOLEX”) SIEGFRIED AG, a Swiss Company, with its principal address place of business located at Untere Brühlstrasse 4, Zofingen CH4800 Switzerland
(“SIEGFRIED”). 
 Pursuant to the terms and conditions of the Development and Clinical Manufacture Agreement of
         (the “Master Agreement”), SIEGFRIED has agreed to perform certain services in accordance with written Scopes of Work, such as this one, entered into from time-to-time. 

The parties hereby agree as follows: 
 1.
Scope of Work. This document constitutes a “Scope of Work” under the Master Agreement, and this Scope of Work and the work contemplated herein are subject to the terms and provisions of the Master Agreement. 

2. Services and Payment of Fees and Expenses. The specific work contemplated by this Scope of Work and the related payment terms and
obligations are set forth on the following attachments, which are incorporated herein by reference: 
  

			
	DESCRIPTION OF WORK	  	ATTACHMENT 1
	PROJECT BUDGET	  	ATTACHMENT 1
	TIMELINE	  	ATTACHMENT 1
	PAYMENT SCHEDULE	  	ATTACHMENT 1

 3. Term. The term of this Scope of Work shall commence on
                 , 20     and shall continue until the services described in Attachment 1 are completed, unless this Scope of Work is
terminated in accordance with the Master Agreement, and except as otherwise provided for in this Agreement. 
 4. Amendments. No
modification, amendment, or waiver of this Scope of Work shall be effective unless in writing and duly executed and delivered by each Party to the other. 
  

[*] = Certain confidential information contained in this document, marked by brackets, has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Act of 1934, as amended. 

  
 23 

 Exhibit D, continued 

ACKNOWLEDGED, ACCEPTED AND AGREED TO: 

EXAMPLE ONLY – NOT FOR SIGNATURE 
  

									
	METABOLEX, INC.	 		 	SIEGFRIED AG
					
	By:	 	  
	 		 	By:	 	  

			
	  
	 		 	  

	Print Name	 		 	Print Name
			
	  
	 		 	  

	Title	 		 	Title
					
		 		 		 	By:	 	  

				
		 		 		 	  

		 		 		 	Print Name
				
		 		 		 	  

		 		 		 	Title

  
 [*] = Certain confidential information contained in this
document, marked by brackets, has been omitted and filed separately with the Securities and Exchange Commission pursuant to Rule 24b-2 of the Securities Act of 1934, as amended. 

  
 24EX-10.21

 Exhibit 10.21 

 
 

 
 June 5, 2007 
 Charles A. McWherter 
 Dear Chuck: 
 Metabolex, Inc. (the “Company”) is pleased to offer you employment as Senior Vice President, Research and Preclinical Development on the following terms: 

1. Position, Duties and Responsibilities. Subject to the terms set forth herein, the Company agrees to employ you in the position
of Senior Vice President, Research and Preclinical Development and you hereby accept such employment effective as of a mutually acceptable start date. As Senior Vice President, Research and Preclinical Development, you will report to the
Company’s Chief Executive Officer (“CEO”), and will perform the duties customarily associated with this position and such other duties as are assigned to you by the CEO. You shall devote your full business time and attention to the
business affairs of the Company, except for reasonable vacations and periods of illness or incapacity permitted by the Company’s general employment policies. The employment relationship between you and the Company shall also be governed by the
general employment policies and practices of the Company, including those relating to protection of confidential information and assignment of inventions, except that when the terms of this letter agreement differ from or are in conflict with the
Company’s general employment policies or practices, this letter agreement shall control. 
 2. Compensation and Employee
Benefits. 
 2.1 Base Salary. Your base salary will be two hundred ninety thousand dollars ($290,000) on an
annualized basis, less payroll deductions and required withholdings, paid according to the Company’s regular payroll schedule and procedures. Your base salary may be modified by the Company in its sole discretion. For your initial year of
employment, any merit increase you receive will not be pro rated for the time period for which you were employed by the Company during the year. 
 2.2 Hiring Bonus. On the first regular pay date after the date upon which you commence your employment (your “Employment Commencement Date”) the Company will pay to you a hiring bonus
(the “Hiring Bonus”) in the amount of fifty thousand dollars ($50,000), less payroll deductions and required withholdings. The Hiring Bonus shall be repaid to the Company, in full, if within one (1) year of your Employment
Commencement Date your employment with the Company (and its successors) is terminated either (i) by you or (ii) by the Company for Cause (as defined in Section 7.2(b)). 

 
  
 Metabolex, Inc.     3876 Bay Center Place, Hayward, CA 94545     Phone: (510) 293-8800     www.metabolex.com 

 

 
  
 2.3 Relocation Bonus.
On the first regular pay date after your Employment Commencement Date the Company will pay to you a relocation bonus (the “Relocation Bonus”) in the amount of forty thousand five hundred dollars ($40,500), less payroll deductions and
required withholdings. The Relocation Bonus shall be repaid to the Company, in full, if within one (1) year of your Employment Commencement Date your employment with the Company (and its successors) is terminated either (i) by you or
(ii) by the Company for Cause (as defined in Section 7.2(b)). Attached as Exhibit A is a copy of the Company’s relocation expense policy. 
 2.4 Discretionary Bonus. You will be eligible to participate in the Company’s annual bonus program in recognition of your performance and achievement of agreed upon goals. Your target annual
bonus will be equal to twenty-five percent (25%) of your annual base salary. Your actual bonus, if any, will be determined by the Company’s Board of Directors (“Board”), or a subcommittee thereof, in its sole discretion, based
upon its evaluation of your performance, the Company’s performance, and any other considerations it deems relevant. For your initial year of employment, your bonus will be pro rated for the number of months elapsed in the bonus period
for which you were employed by the Company. You must be employed through the bonus payment date in order to be eligible for any such bonus. Any bonus payment shall be subject to payroll deductions and required withholdings. 

2.5 Employee Benefits. You shall be entitled to all employee benefits, including vacation accrual of twenty (20) days per
year and health and disability benefits, for which you are eligible under the terms and conditions of the standard Company benefit plans, which may be in effect from time to time and provided by the Company to its senior executive-level employees
generally. Currently, such benefits include eight paid holidays and four floating holidays per year, as well as paid sick leave of up to ten days per year. Notwithstanding the foregoing, the Company reserves the right to adopt, amend or discontinue
any employee benefit plan or policy, including changes required by applicable law. 
 2.6 Stock Options. Subject to the
approval of the Board you will be granted a stock option to purchase four hundred fifty thousand (450,000) shares of Company common stock, at a per share exercise price equal to the per share fair market value of the common stock on the date of
grant, as determined by the Board, pursuant to the Company’s equity incentive plan. Option grants are made at regular Board meetings held approximately once each calendar quarter. Your option grant will be considered at the first regular Board
meeting following your employment commencement date. The term of such stock option will be ten (10) years, subject to earlier expiration in the event of the termination of your service with the Company. Such stock option will be immediately
exercisable, if you elect to do so, but the purchased shares shall be subject to repurchase by the Company in the event that your service with the Company terminates before you become vested in the shares, at the lower of (1) the original
exercise price or (2) the then-fair market value of the Company’s common stock. You will be vested in, and the Company’s repurchase right, if applicable, shall not apply as to, twenty-five percent (25%) of the shares covered by
the option on the first year anniversary of your Employment 

  

	
	Metabolex, Inc.     3876 Bay Center Place, Hayward, CA 94545     Phone: (510)
293-8800     www.metabolex.com
	
	2

 

 
  
 
Commencement Date and the remaining seventy-five percent (75%) of the shares covered by the option will vest in thirty-six (36) equal monthly installments with the first monthly
installment vesting one month following the first year anniversary of your Employment Commencement Date, as long as you remain in continuous service with the Company. Notwithstanding the foregoing, a portion of the shares subject to your outstanding
stock options may vest on an accelerated basis pursuant to Sections 7 or 8. Except as provided herein, such stock options will be subject to the provisions of the equity incentive plan of the Company under which the options are granted and the
applicable form of stock option agreement thereunder (the “Plan Documents”). 
 3. Other Activities During
Employment. 
 3.1 Activities. Except with the prior written consent of the CEO, you will not, during your employment
with the Company, undertake or engage in any other employment, occupation or business enterprise, other than ones in which you are a passive investor. You may engage in civic and not-for-profit activities so long as such activities do not interfere
with the performance of your job duties. 
 3.2 Investments and Interests. Except as permitted by the first sentence of
Section 3.1 and by Section 3.3, during your employment you agree not to acquire, assume or participate in, directly or indirectly, any position, investment or interest known by you to be adverse or antagonistic to the Company, or its
business or prospects, financial or otherwise. 
 3.3 Noncompetition. During the term of your employment by the Company,
except on behalf of the Company, you will not directly or indirectly, whether as an officer, director, stockholder, partner, proprietor, associate, representative, consultant, or in any capacity whatsoever engage in, become financially interested
in, be employed by or have any business connection with any other person, corporation, firm, partnership or other entity whatsoever that competes with the Company anywhere in the world, in any line of business engaged in (or planned to be engaged
in) by the Company; provided, however, that anything above to the contrary notwithstanding, you may own, as a passive investor, securities of any entity, so long as your direct holdings in any one such corporation do not in the aggregate
constitute more than one percent (1%) of the voting stock of such corporation. 
 4. Company Policies; Confidential
Information and Inventions Agreement. You acknowledge your obligations under the Company’s Employee Agreement on Confidential Information and Inventions, a copy of which is attached as Exhibit B. You further acknowledge your obligation to
abide by the Company’s rules, policies and procedures. 
 5. Immigration. The Immigration Reform and Control Act of
1986 requires that every person present proof to the Company of their identity and eligibility and/or authorization to accept employment with the Company. In order to comply with this law, and before you can

  

	
	Metabolex, Inc.     3876 Bay Center Place, Hayward, CA 94545     Phone: (510)
293-8800     www.metabolex.com
	
	3

 

 
  
 
become a Company employee, you must provide appropriate documentation to prove both your identity and legal eligibility to be employed at the Company. Please be sure to bring this
documentation with you to your employee orientation. If you are working in this country on a VISA, you will need to provide copies of this documentation at your employee orientation. Failure to do so may result in over withholding of taxes.

 6. Your Representations and Warranties. 
 6.1 No Breach of Contract. You represent and warrant that the execution and delivery of this letter agreement by you and the performance of your obligations hereunder will not conflict with or
breach any agreement, order or decree to which you are a party or by which you are bound. You warrant that you are subject to no employment agreement or restrictive covenant preventing full performance of your duties under this letter agreement.

 6.2 No Conflict of Interest. You warrant that you are not, to the best of your knowledge and belief, involved in any
situation that might create, or appear to create, a conflict of interest with your loyalty to or duties for the Company. 

6.3 Notification of Materials or Documents from Other Employers. You further warrant that you have not brought and will not bring
to the Company or use in the performance of your responsibilities at the Company any materials or documents of a former employer that are not generally available to the public, unless you have obtained express written authorization from the former
employer for their possession and use. 
 6.4 Notification of Other Post-Employment Obligations. You also understand
that, as part of your employment with the Company, you are not to breach any obligation of confidentiality that you have to former employers, and you agree to honor all such obligations to former employers during your employment with the Company.

 7. Termination of Employment. 
 7.1 At-Will Employment Relationship. Your employment with the Company shall be at-will. Either you or the Company may terminate the employment relationship at any time, with or without Cause and
with or without advance notice. 
 7.2 Termination for Cause. 

(a) If the Company terminates your employment at any time for Cause (as defined below), your salary shall cease on the date of
termination and you shall not be entitled to severance pay, COBRA premium payments, pay in lieu of notice or any other such compensation other than payment of accrued salary and vacation and such other benefits as expressly required in such event by
applicable law or the terms of applicable benefit plans. The continued vesting of any stock options held by you shall cease on your employment termination date, and your right to exercise vested option shares shall be governed by the Plan Documents.

  

	
	Metabolex, Inc.     3876 Bay Center Place, Hayward, CA 94545     Phone: (510)
293-8800     www.metabolex.com
	
	4

 

 
  
 (b) Definition of
Cause. For purposes of this agreement, “Cause” means the occurrence of any one or more of the following: (i) your conviction of, or plea of no contest with respect to, any felony or any crime involving fraud, dishonesty or moral
turpitude; (ii) your participation in a fraud or act of dishonesty that results in material harm to the Company; (iii) your intentional material violation of any contract or agreement between you and the Company, including but not limited
to this letter agreement or your Employee Agreement on Confidential Information and Inventions, or your violation of any statutory duty that you owe to the Company, but only if you do not correct such violation within thirty (30) days after
written notice thereof has been provided to you; or (iv) your gross negligence or willful neglect of your job duties, as determined by the Board in good faith, but only if you do not correct such violation within thirty (30) days after
written notice thereof has been provided to you. 
 7.3 Severance Benefits For Termination Without Cause or Resignation for
Good Reason. 
 (a) If the Company terminates your employment without Cause or you resign your employment for Good
Reason (defined below), you will be eligible to receive the severance benefits described in this Section 7.3. You will be eligible to receive, subject to payroll deductions and required withholdings and net of any amounts earned by you pursuant
to any employment or consulting arrangements obtained by you following such termination (other than the activities described in Section 3.1), continuation for twelve (12) months of the greater of (i) your base salary in effect as of
such termination date or (ii) your base salary as set forth in Section 2.1. In addition you will be eligible to receive your potential annual discretionary bonus amount set forth in Section 2.4, determined as if all performance
targets established by the Board have been satisfied, pro-rated for the number of months elapsed in the year in which your employment terminates. This base salary and bonus severance will be paid according to the Company’s payroll procedures
during the twelve (12) month period following the termination date. You agree to notify the Company promptly of any amount earned by you from other employment or a consulting engagement while you are receiving severance payments under this
letter agreement. Moreover, if you timely elect and remain eligible for continued coverage of your group health insurance under COBRA, the Company will pay your premiums for COBRA coverage for up to twelve (12) months following the termination
date, provided that such payments shall cease if you obtain full-time employment within such period. You agree to notify the Company promptly if you become eligible for health care benefits while the Company is paying your COBRA premiums under this
letter agreement. Upon termination without Cause or for Good Reason, the vesting of all stock options held by you shall be accelerated such that the options are fully vested and exercisable as of the termination date. Your receipt of any severance
benefits under this Section 7.3 is contingent upon your signing and making effective a full, general release of all claims against the Company in a form acceptable to the Company containing the language set forth in the Release Agreement
attached as Exhibit C on or after the termination date. 

  

	
	Metabolex, Inc.     3876 Bay Center Place, Hayward, CA 94545     Phone: (510)
293-8800     www.metabolex.com
	
	5

 

 
  
 (b) Definition of Good
Reason. For purposes of this letter agreement, “Good Reason” shall mean any one of the following events that occurs without your consent: (i) the material reduction in your responsibilities, authorities or functions as an employee
of the Company (but not merely a change in reporting relationships); (ii) a reduction in your level of compensation (including base salary and target bonuses under any corporate-performance based bonus or incentive programs), or in fringe
benefits, other than changes applicable to all employees of the Company; (iii) a relocation of your place of employment by more than twenty (20) miles; or (iv) the Company’s material breach of this letter agreement.
Notwithstanding the foregoing, within thirty (30) days after the occurrence of an event or conduct giving rise to Good Reason, you must provide the Company with thirty (30) days’ advance written notice of termination, detailing the
Company’s conduct giving rise to Good Reason (the “Cure Period”) and during the Cure Period, the Company may attempt to rescind or correct the matter giving rise to Good Reason. If the Company does not rescind or correct the conduct
giving rise to Good Reason to your reasonable satisfaction by the expiration of the Cure Period, your employment will then terminate with Good Reason. 
 7.4 Voluntary or Mutual Termination. 
 (a) You may voluntarily
terminate your employment with the Company at any time without Good Reason. If you terminate without Good Reason, your salary shall cease on the date of termination and you shall not be entitled to severance pay, COBRA premium payments, pay in lieu
of notice or any other such compensation other than payment of accrued salary and vacation and such other benefits as expressly required in such event by applicable law or the terms of applicable benefit plans. The continued vesting of any stock
options held by you shall cease on the termination date, and your right to exercise vested option shares shall be governed by the Plan Documents. 
 (b) If at any time during the course of this letter agreement the parties by mutual consent decide to terminate this letter agreement, you and the Company shall do so by separate agreement setting
forth the terms and conditions of such termination. 
 7.5 Application of Section 409A. In the event that any
benefit provided herein shall fail to satisfy the distribution requirement of Section 409A(a)(2)(A) of the United States Internal Revenue Code (the “Code”) as a result of the application of Section 409A(a)(2)(B)(i) of the Code,
the payment of such benefit shall be delayed to the minimum extent necessary so that such benefits are not subject to the provisions of Section 409A(a)(l) of the Code. The Board may attach conditions to or adjust the amounts paid pursuant to
this Section 7.5 to preserve, as closely as possible, the economic consequences that would have applied in the absence of this Section 7.5; provided, however, that no such condition or adjustment shall result in the payments being
subject to Section 409A(a)(l) of the Code. 

  

	
	Metabolex, Inc.     3876 Bay Center Place, Hayward, CA 94545     Phone: (510)
293-8800     www.metabolex.com
	
	6

 

 
  
 8. Change in
Control. 
 8.1 Definitions. 
 (a) “Change in Control” shall mean an Ownership Change Event (as defined below) or a series of related Ownership Change Events (collectively, a “Transaction”) wherein the
stockholders of the Company immediately before the Transaction do not retain direct or indirect beneficial ownership of more than fifty percent (50%) of the total combined voting power of the outstanding securities of the Company or, in the
case of a Transaction described in Section 8.1(b)(iii), the corporation or other business entity to which the assets of the Company were transferred (the “Transferee”), as the case may be. For purposes of the preceding sentence,
indirect beneficial ownership shall include, without limitation, an interest resulting from ownership of the voting securities of one or more corporations or other business entities that own the Company or the Transferee, as the case may be, either
directly or through one or more subsidiary corporations or other business entities. 
 (b) An “Ownership Change
Event” shall be deemed to have occurred if any of the following occurs with respect to the Company: (i) the direct or indirect sale or exchange in a single or series of related transactions by the stockholders of the Company of more than
fifty percent (50%) of the voting stock of the Company; (ii) a merger or consolidation in which the Company is a party; or (iii) the sale, exchange or transfer of all or substantially all of the assets of the Company. 

8.2 Stock Options. At the closing of a Change in Control, your outstanding stock options shall become vested and
exercisable with respect to fifty percent (50%) of your then-unvested shares of the Company’s common stock subject thereto. In addition, in the event that within twelve (12) months following a Change in Control, the Company terminates
your employment without Cause or you resign for Good Reason (a “Change in Control Termination”), any remaining unvested portion of all stock options held by you shall have the vesting accelerated such that all options are fully vested and
exercisable as of the date of the Change in Control Termination (the “Acceleration”). As a precondition of receiving the Acceleration, you must first sign and make effective on or after the termination date a full, general release of
claims against the Company in a form acceptable to the Company containing the language set forth in the Release Agreement attached as Exhibit C. 

  

	
	Metabolex, Inc.     3876 Bay Center Place, Hayward, CA 94545     Phone: (510)
293-8800     www.metabolex.com
	
	7

 

 
  
 8.3 Parachute Payments
After the Listing Date. 
 (a) After the Listing Date (as defined below), if any payment or distribution in the
nature of compensation (within the meaning of Section 280G(b)(2) of the Code) to or for your benefit, whether under this letter agreement or otherwise (a “Payment”), would be subject to the excise tax imposed by Section 4999 of
the Internal Revenue Code of 1986, as amended (the “Code”) (together with any interest or penalties imposed with respect to such excise tax, the “Excise Tax”), then you will be entitled to receive from the Company an additional
payment (the “Gross-Up Payment”) in an amount equal to (i) all Excise Taxes (including any interest or penalties imposed with respect to such taxes) on the Payment (the “First Reimbursement Payment”); (ii) all federal,
state and local income taxes and employment taxes on the First Reimbursement Payment; and (iii) all Excise Taxes (including any interest or penalties imposed with respect to such taxes) on the First Reimbursement Payment. For purposes of this
provision, the term “Listing Date” means the date of the sale of the Company’s securities to the general public pursuant to an initial public offering under a Registration Statement filed with and declared effective by the U.S.
Securities and Exchange Commission under the Securities Act of 1933, as amended. 
 (b) All determinations required to
be made under this Section 8.3 including whether and when a Gross-Up Payment is required and the amount of such Gross-Up Payment and the assumptions to be utilized in arriving at such determination, shall be made by the nationally recognized
certified public accounting firm used by the Company immediately prior to the effective date of the Change in Control or, if such firm declines to serve, such other nationally recognized certified public accounting firm as you may designate (the
“Accounting Firm”). Any determination by the Accounting Firm shall be binding upon the Company and you. The Accounting Firm may make reasonable assumptions and approximations concerning applicable taxes and may rely on reasonable,
good-faith interpretations concerning the application of Sections 280G and 4999 of the Code. 
 9. General Provisions.

 9.1 Severability. Whenever possible, each provision of this letter agreement will be interpreted in such manner as to
be effective and valid under applicable law, but if any provision of this letter agreement is held to be invalid, illegal or unenforceable in any respect under any applicable law or rule in any jurisdiction, such invalidity, illegality or
unenforceability will not affect any other provision or any other jurisdiction, but such invalid, illegal or unenforceable provision will be reformed, construed and enforced in such jurisdiction so as to render it valid, legal, and enforceable
consistent with the intent of the parties insofar as possible. 
 9.2 Notices. Any notices provided hereunder must be in
writing and shall be deemed effective upon the earlier of personal delivery (including personal delivery by fax) or the next day after sending by overnight courier, to the Company at its primary office location and to you at your address as listed
on the Company payroll. 

  

	
	Metabolex, Inc.     3876 Bay Center Place, Hayward, CA 94545     Phone: (510)
293-8800     www.metabolex.com
	
	8

 

 
  
 9.3 Waiver. If
either party should waive any breach of any provisions of this letter agreement, you or the Company shall not thereby be deemed to have waived any preceding or succeeding breach of the same or any other provision of this letter agreement.

 9.4 Entire Agreement. This letter agreement, together with its exhibits, constitutes the entire and exclusive
agreement between you and the Company, and it supersedes any prior agreement, promise, representation, or statement, written or otherwise, between you and the Company with regard to this subject matter. It is entered into without reliance on any
promise, representation, statement or agreement other than those expressly contained or incorporated herein, and it cannot be modified or amended except in a writing signed by you and a duly authorized officer of the Company. 

9.5 Counterparts. This letter agreement may be executed in separate counterparts, any one of which need not contain signatures of
more than one party, but all of which taken together will constitute one and the same letter agreement. 
 9.6 Headings.
The headings of the sections hereof are inserted for convenience only and shall not be deemed to constitute a part hereof nor to affect the meaning thereof. 
 9.7 Successors and Assigns. This letter agreement is intended to bind and inure to the benefit of and be enforceable by you, the Company and your and its respective successors, assigns, heirs,
executors and administrators, except that you may not assign any of your duties hereunder and you may not assign any of your rights hereunder without the written consent of the Company. 

9.8 Governing Law. All questions concerning the construction, validity and interpretation of this letter agreement will be
governed by the law of the State of California as applied to contracts made and to be performed entirely within California. 

9.9 Attorneys’ Fees. If either party hereto brings any action to enforce your or its rights hereunder, the prevailing party
in such action shall be entitled to be paid by the other party such prevailing party’s reasonable attorneys’ fees and costs incurred in such action. 
 Enclosed is your Employee Agreement on Confidential Information and Inventions, which you should read carefully. 

  

	
	Metabolex, Inc.     3876 Bay Center Place, Hayward, CA 94545     Phone: (510)
293-8800     www.metabolex.com
	
	9

 

 
  
 To indicate your acceptance of the
Company’s offer, please sign this letter agreement in the space provided below and return it to me along with the signed Employee Agreement on Confidential Information and Inventions, in the stamped self-addressed envelope, which is enclosed.
This offer shall expire on June 15, 2007 if not accepted prior to such date. If you have any questions regarding this letter agreement, feel free to contact me. 
  

			
	Sincerely,
	
	METABOLEX, INC.
		
	By:	 	/s/ Diana M. Petty
		 	Diana M. Petty
		 	VP of HR & Administration

  

					
	Accepted and agreed:	 		 	
			
	 /s/ Charles A. McWherter
	 		 	June 14, 2007
	Charles A. McWherter	 		 	

 EXHIBIT A – Relocation Expense Policy for New and Transferred Employees 

EXHIBIT B – Employee Agreement on Confidential Information and Inventions 

EXHIBIT C – Release Agreement 

  

	
	Metabolex, Inc.     3876 Bay Center Place, Hayward, CA 94545     Phone: (510)
293-8800     www.metabolex.com
	
	10

 

 
  
 October 10, 2007 

Charles A. McWherter 
 c/o Metabolex, Inc.

 3876 Bay Center Place 
 Hayward, CA
94545 
 Dear Chuck: 
 This letter
agreement (the “Amendment”) amends the terms of your employment agreement dated June 5, 2007 (the “Original Agreement”) with Metabolex, Inc. (the “Company”) in order to address the requirements of Section 409A
of the Internal Revenue Code, as amended (the “Code”). The Original Agreement is hereby amended only as expressly set forth herein. All other terms and conditions of the Original Agreement continue in full force and effect. 

Section 7.3 is amended and restated as follows: 
 7.3 Severance Benefits For Termination Without Cause or Resignation for Good Reason. 
 (a) If the Company terminates your employment without Cause and other than as a result of your death or disability, or if you resign your employment for Good Reason (defined below), you will be
eligible to receive the severance benefits described in this Section 7.3. You will be eligible to receive, subject to payroll deductions and required withholdings and net of any amounts earned by you pursuant to any employment or consulting
arrangements obtained by you following such termination (other than the activities described in the last sentence of Section 3.1), continuation for twelve (12) months of the greater of (i) your base salary in effect as of such
termination date or (ii) your base salary as set forth in Section 2.1. In addition you will be eligible to receive your potential annual discretionary bonus amount set forth in Section 2.4, determined as if all performance targets
established by the Board have been satisfied, pro-rated for the number of months elapsed in the year in which your employment terminates. You agree to notify the Company promptly of any amount earned by you from other employment or a consulting
engagement while you are receiving severance payments under this letter agreement. Moreover, if you timely elect and remain eligible for continued coverage of your group health insurance under COBRA, the Company will pay your premiums for COBRA
coverage for up to twelve (12) months following the termination date, provided that such payments shall cease if you obtain full-time employment, or cease to be eligible for COBRA, within such period. You agree to notify the Company promptly if
you obtain full-time employment while the Company is paying your COBRA premiums under this letter agreement. Upon such termination, the vesting of all compensatory equity awards held by you shall be accelerated such that the awards are fully vested
and exercisable upon the termination date. Upon approval by the Board of this letter agreement, any currently outstanding compensatory equity awards shall be amended to the extent necessary to provide for the foregoing accelerated vesting. Your
receipt of any severance benefits under this Section 7.3 is contingent upon your signing and making effective within forty-five (45) days after the termination date, a full, general release of all claims against the Company in a form
acceptable to the Company containing the 

  

	
	Metabolex, Inc.     3876 Bay Center Place, Hayward, CA 94545     Phone: (510)
293-8800     www.metabolex.com
	
	11

 Charles A. McWherter 
 Page 2 
  

 
language set forth in the Release Agreement attached as Exhibit C on or after the termination date. This base salary and bonus severance will be paid in substantially equal installments over the
twelve (12) month period following the termination date according to the Company’s payroll procedures; provided, however, that no payments will be made to you prior to the effective date of the Release Agreement. On the first payroll pay
day following the effective date of the Release Agreement, the Company will pay you the cash severance amounts you would have received on or prior to such date in a lump sum, with the balance of the cash payments being made as originally scheduled.

 (b) Definition of Good Reason. For purposes of this letter agreement, “Good Reason” shall mean any one of
the following events that occurs without your consent: (i) the material reduction in your responsibilities, authorities or functions as an employee of the Company (but not merely a change in reporting relationships); (ii) a material
reduction in your level of compensation (including base salary, fringe benefits and target bonuses under any corporate-performance based bonus or incentive programs); (iii) a relocation of your place of employment that results in an increase to
your round trip commute of more than twenty (20) miles; or (iv) the Company’s material breach of this letter agreement. Notwithstanding the foregoing, you must provide written notice to the General Counsel of the Company within thirty
(30) days after the date on which such event first occurs, and allow the Company thirty (30) days thereafter (the “Cure Period”) during which the Company may attempt to rescind or correct the matter giving rise to Good Reason. If
the Company does not rescind or correct the conduct giving rise to Good Reason to your reasonable satisfaction by the expiration of the Cure Period, your employment will then terminate with Good Reason as of such thirtieth day. 

Section 7.4 is amended and restated as follows: 
 7.4 Voluntary or Mutual Termination; Death; Disability. 
 (a) You
may voluntarily terminate your employment with the Company at any time without Good Reason. If you terminate without Good Reason or if your employment terminates as a result of your death or disability, your salary shall cease on the date of
termination and you shall not be entitled to severance, pay in lieu of notice or any other such compensation other than payment of accrued salary and vacation and such other benefits as expressly required in such event by applicable law or the terms
of applicable benefit plans. The continued vesting of any compensatory equity awards held by you shall cease on the termination date, and your right to exercise vested awards (or be issued shares under such vested awards) shall be governed by the
terms of the Company’s applicable compensatory equity plans and the corresponding award agreements. 
 (b) If at
any time during the course of this letter agreement the parties by mutual consent decide to terminate this letter agreement, you and the Company shall do so by separate agreement setting forth the terms and conditions of such termination.

  
  

www.metabolex.com 

 Charles A. McWherter 
 Page 3 
  

 Section 7.5 is amended and restated as follows: 

7.5 Application of Section 409A. If the Company (or, if applicable, the successor entity thereto) determines that the
severance payments and benefits provided for in this letter agreement (the “Agreement Payments”) constitute “deferred compensation” under Section 409A of the Internal Revenue Code (together, with any state law of similar
effect, “Section 409A”) and you are a “specified employee” of the Company or any successor entity thereto, as such term is defined in Section 409A(a)(2)(B)(i) (a “Specified Employee”), then, solely to the extent
necessary to avoid the incurrence of the adverse personal tax consequences under Section 409A, the timing of the Agreement Payments shall be delayed as follows: on the earliest to occur of (i) the date that is six months and one day after
the termination date or (ii) the date of your death (such earliest date, the “Delayed Initial Payment Date”), the Company (or the successor entity thereto, as applicable) shall (A) pay to you a lump sum amount equal to the sum of
the Agreement Payments that you would otherwise have received through the Delayed Initial Payment Date if the commencement of the payment of the Agreement Payments had not been delayed pursuant to this Section 7.5 and (B) commence paying
the balance of the Agreement Payments in accordance with the applicable payment schedules set forth in this letter agreement. For the avoidance of doubt, it is intended that (1) each installment of the Agreement Payments provided in this letter
agreement is a separate “payment” for purposes of Section 409A, (2) all Agreement Payments satisfy, to the greatest extent possible, the exemptions from the application of Section 409A provided under of Treasury Regulation
1.409A-1(b)(4) and 1.409A-l(b)(9)(iii), and (3) the Agreement Payments consisting of COBRA premiums also satisfy, to the greatest extent possible, the exemptions from the application of Section 409A provided under Treasury Regulation
1.409A-l(b)(9)(v). 
 Section 8.2 is amended and restated as follows: 

8.2 Stock Awards. At the closing of a Change in Control, your outstanding compensatory equity awards shall become vested and
exercisable with respect to fifty percent (50%) of your then-unvested shares of the Company’s common stock subject thereto. In addition, in the event that within twelve (12) months following a Change in Control, the Company terminates
your employment without Cause (as defined above) and other than as a result of your death or disability, or you resign for Good Reason (as defined above) (a “Change in Control Termination”), any remaining unvested portion of all
compensatory equity awards held by you shall have the vesting accelerated such that all awards are fully vested and exercisable as of the date of the Change in Control Termination (the “Acceleration”). As a precondition of receiving the
Acceleration, you must first sign and make effective on or after the termination date a full, general release of claims in favor of the Company within forty-five (45) days after the termination date in a form acceptable to the Company
containing the language set forth in the Release Agreement attached hereto as Exhibit C. 
 Section 8.3 is amended and restated as
follows: 
 8.3 Parachute Payments After the Listing Date. 

(a) After the Listing Date (as defined below), if any payment or distribution in the nature of compensation (within the meaning
of Section 280G(b)(2) of the Code) to you or for your benefit, whether under this letter agreement or otherwise (a “Payment”), would be subject to the excise tax imposed by Section 4999 of the Internal Revenue Code of 1986, as
amended (the “Code”) (together with any interest or penalties imposed with respect to such excise tax, the “Excise Tax”), then you will be entitled to receive from the Company an

  
  

www.metabolex.com 

 Charles A. McWherter 
 Page 4 
  

 
additional payment (the “Gross-Up Payment”) in an amount equal to (i) all Excise Taxes (including any interest or penalties imposed with respect to such taxes) on the Payment (the
“First Reimbursement Payment”), (ii) all federal, state and local income taxes and employment taxes on the First Reimbursement Payment, and (iii) all Excise Taxes (including any interest or penalties imposed with respect to such
taxes) on the First Reimbursement Payment. For purposes of this provision, the term “Listing Date” means the date of the sale of the Company’s securities to the general public pursuant to an initial public offering under a
Registration Statement filed with and declared effective by the U.S. Securities and Exchange Commission under the Securities Act of 1933, as amended. 
 (b) All determinations required to be made under this Section 8.3 including whether and when a Gross-Up Payment is required and the amount of such Gross-Up Payment and the assumptions to be
utilized in arriving at such determination, shall be made by the nationally recognized certified public tax accounting firm used by the Company or, if such firm declines to serve, such other nationally recognized certified public tax accounting firm
as you may designate (the “Accounting Firm”). The Accounting Firm may make reasonable assumptions and approximations concerning applicable taxes and may rely on reasonable, good-faith interpretations concerning the application of Sections
280G and 4999 of the Code. The Accounting Firm shall provide its calculations, together with detailed supporting documentation, to the Company and you within thirty (30) calendar days after the date on which your right to a Payment is triggered
(if requested at that time by the Company or you) and/or at such other times as requested by the Company or you. If the Accounting Firm determines that no Excise Tax is payable with respect to a Payment, it shall furnish the Company and you with an
opinion reasonably acceptable to you that no Excise Tax will be imposed with respect to such Payment. If the Accounting Firm determines that an Excise Tax is payable with respect to a Payment, it shall furnish to the Company and you an opinion
reasonably acceptable to you of the amount of Excise Tax payable with respect to the Payments and the amount of Gross-Up Payment due to you. The Company will pay the Gross-Up Payment to you within thirty (30) days of the date the Company
receives the Accounting Firm’s opinion, but in no event later than the end of your tax year following your tax year in which you pay the Excise Tax. The Company shall bear all reasonable expenses with respect to the determinations by the
Accounting Firm required to be made hereunder. Any determination by the Accounting Firm shall be binding upon the Company and you. 

  
  

www.metabolex.com 

 Charles A. McWherter 
 Page 5 
  

 To indicate your agreement to this Amendment, please sign and date this Amendment in the space provided
below and return it to me. 
  

			
	Sincerely,
	
	Metabolex, Inc.
		
	By:	 	 /s/ Harold Van Wart

		 	Harold Van Wart
		 	 Chief Executive Officer

  

					
	Accepted and agreed:	 		 	
			
	 /s/ Charles A. McWherter
	 		 	October 15, 2007
	CHARLES A. MCWHERTER	 		 	DATE

  
  

www.metabolex.com 

 Exhibit A 
 RELOCATION EXPENSE POLICY FOR NEW AND TRANSFERRED EMPLOYEES 
 Objective: 

To provide reimbursement of the ordinary standard and routine costs as a result of relocation at the Company’s request. 

Most reasonable expenses qualify for reimbursement. However, the policy is not intended to provide full reimbursement for each and every item of expense
that may be incurred. Because of certain expenses that may arise out of personal preference or due to unusual circumstances, the employee should not assume that this policy would cover all expenses resulting from the relocation. Only the expenses
outlined in this policy are reimbursable or subject to financial assistance. Substitution of expenses will not be reimbursed unless specifically outlined and agreed to in advance. 
 Periodically, the Company will review this policy to determine adequate levels of expense allowance for fair and equitable treatment of employees who are required to move. 

Administration of the relocation expense policy is the responsibility of Human Resources. 
 Eligibility: 
 The policy provisions apply to: 

 

	 	A.	Salaried employees who are being transferred permanently at the Company’s request 

 

	 	B.	New salaried hires 

 To qualify for assistance,
the employee must exercise the provisions of the policy within six months of the effective date of the transfer or date of employment. 

Employees to be relocated should be informed of this policy immediately upon notification of their employment offer or their transfer to prevent any
misunderstanding of its contents. 
 Employees choosing to move themselves and not utilize the services of the Company sponsored mover, will
be reimbursed for 50% of the mover’s estimate and will receive reimbursement for motel accommodations not to exceed 5 days. Reasonable meal and gasoline expenses will also be reimbursed for 5 days. 

To receive reimbursement expenses, the employee’s move must meet the IRS 35-mile distance test. To meet this test, the distance between the
employee’s new job location and the employee’s former home is at least 35 miles more than the distance between the employee’s old job location and the employee’s former home. 

Covered Expenses: 
  

	 	A.	House hunting 

 The
Company will reimburse the expenses for the employee and the employee’s spouse for a maximum of 2 trips not to exceed a total of 7 days per trip for the purpose of selecting a new residence. Reimbursement will include reasonable expenses for
travel (coach air fare), lodging, meals and rental car including fuel. Additional house hunting trips are subject to company approval. 

	 	B.	Moving of Household Goods 

Employees are required to utilize the services of moving companies as designated by the Company. Currently, Metabolex has a special
arrangement with NorCal Van Lines. NorCal Van Lines, after a visual inspection of the employee’s belongings, will provide Human Resources with a written estimate of expenses. A letter of authorization will be sent by the Human Resources
Department to the mover authorizing their services and the payment of their expenses directly by the Company. After this authorization, the employee is responsible for contacting the moving company to set a moving date. 

Costs paid by the Company include: 
  

	 	a)	Packing 

  

	 	b)	Transportation 

  

	 	c)	Insurance of up to $75,000 on items being shipped 

  

	 	d)	Transporting a maximum of one employee car. 

 The Company will not pay to move unusual or large items such as large boats, children’s outdoor play sets, firewood, animals other than household pets, perishable plants, and items of extraordinary
value requiring special handling, crating, etc. The Company also will not reimburse for tips given to the movers. 
 The Company
will pay storage charges on the employee’s household effects for limited periods, generally not to exceed three months. Extensions beyond this limit require the prior written approval of the Vice President of Human Resources. 

 

	 	C.	The Company will pay for temporary living expenses for the employee only at the new location generally for a period not to exceed three months. Extensions beyond this
limit require the prior written approval of the VP of Human Resources. Covered expenses include the cost of lodging, meals, laundry, phone calls and transportation. Human Resources will make temporary living arrangements and reservations.

 In most cases, it is expected that the move of the employee to the new location will coincide with the
availability of permanent living quarters upon arrival. 
  

	 	D.	Real Estate—Disposal of Accommodations: 

 1. Rental Costs—If an employee is renting at the time of his/her transfer, the reasonable net cost of canceling the lease will be borne by the Company, normally not to exceed two months rent.
Reimbursable costs include security or deposits forfeited under the lease terms; additional rental payments to effect cancellation, necessary legal fees and agency costs to locate sublease tenants. Written release should be obtained from leave
obligations. 
 2. Sale of home at Old Location—The Company will not pay expenses attributable to the sale of the
employee’s residence. 
  

	 	E.	Home Purchase—Old Residence: 

 At this time, the Company does not assist in purchasing the employee’s old residence. 

  
 2 

	 	F.	Real Estate—Requiring New Accommodations: 

 1. Rental Accommodations—Reasonable fees and other related direct costs (excluding security deposit) in arranging to rent a residence at the new location would be reimbursed by the Company. The
employee is urged to incorporate relocation or sublease clauses in the lease. 
 2. Purchase of Home at New Location—If the
employee owned a home at the old location and purchases a home at the new location upon being transferred, or within six months thereafter, the Company will pay the following reasonable expenses: 

 

	 	a.	Appraisal fees (if required) 

  

	 	b.	Abstracts 

  

	 	c.	Escrow fees 

  

	 	d.	Recording fees 

  

	 	e.	Notary fees 

  

	 	f.	Title insurance 

  

	 	g.	Engineering inspection to determine the physical condition of home 

 Documentation for these items must be submitted with a Relocation Expense Report. 

Closing costs can be requested in advance by submitting a Relocation Expense Report with attached documentation outlining the estimated
costs for closing. After closing, the employee must submit a settlement statement to Human Resources to reconcile final closing costs differences. 
  

	 	G.	Resettlement Allowance: 

An allowance of $3,000 (subject to all applicable taxes) is provided to assist with miscellaneous household move expenses not specifically
covered by this policy. This allowance will be initiated within the employee’s first pay period. 
  

	 	H.	Tax Relief: 

 Tax laws
require moving expenses reimbursed to or paid on behalf of employees to be included in the employee’s income as compensation and reported on the employee’s form W-2. The reimbursement will increase the employee’s tax liability to the
extent moving expenses are nondeductible. 
 To compensate for this, the Company will gross-up the reimbursement of the
nondeductible portion of covered expenses to cover Federal income tax, state income tax and FICA tax (when appropriate). The gross-up calculation will be made using the employee’s annualized wage income and assuming average itemized deductions,
as provided by the IRS. Because of possible wide variations in the tax situation of individual employees, the tax determined by Metabolex may or may not closely approximate the employee’s actual taxes resulting from the reimbursement.

 Tax gross-up will be included in the employee’s income as compensation and reported on the employee’s form W-2. The
tax gross-up will also be shown as tax withheld on the form W-2 and paid to the appropriate taxing jurisdictions. 

  
 3 

 The Accounting Department will determine the amount of relocation reimbursement provided
each employee annually and will use this information to compute the appropriate gross-up. A copy of the gross-up calculation form is attached. 

This policy represents the normal reimbursable expenses connected with relocation. The Company reserves the right to make any exceptions or modifications
to the policy that it deems necessary or appropriate for the management of the business. 

  
 4 

 MOVING EXPENSE REIMBURSEMENT 

TAX GROSS-UP CALCULATION 
  

													
	Employee Name: 	 	  
	 	SS#: 	 	  
	 		  	
			
	Homeowner:                         
     Renter:                     	 	Marital Status (S-M):                     	  	

  

									
	 	  	 	  	Tax Liability Calculation
Taxable Relocation	  	Expense	  	Gross-up
	 	  	 	  	$	  	$	  	$
	 1.
	  	 Annualized Earnings
 (Base
Monthly Salary X 12 plus Bonus-only if paid)
	  		  		  	
		  		  	  
	  	  
	  	
	 2.
	  	Taxable Annual Earnings	  		  		  	
		  		  	  
	  	  
	  	
	 3.
	  	 Taxable Relocation Reimbursement
 (Total relocation reimbursement less deductible relocation expenses
	  		  		  	
		  		  	  
	  	  
	  	
	 4.
	  	 Income Subject to Tax
 (Line
2 + Line 3)
	  		  		  	
		  		  	  
	  	  
	  	
	 5.
	  	State & Local Tax Due	  		  		  	
		  		  	  
	  	  
	  	
	 6.
	  	 Federal Income Tax Due

((Line 4-Line 5) X tax table)
	  		  		  	
		  		  	  
	  	  
	  	
	 7.
	  	 Total Tax Due
 (Line 5 +
Line 6)
	  		  		  	
		  		  	  
	  	  
	  	
	 8.
	  	 Gross-up Required
 (Line 7,
Col. 2—Col. 1)
	  		  		  	
		  		  		  		  	  

  
 5 

 Exhibit B 
 Metabolex, Inc. 
 3876 Bay Center Place 

Hayward, CA 94545-3619 
 Phone 510 293-8800        Fax 510 293-9090 

AGREEMENT REGARDING CONFIDENTIAL 
 INFORMATION AND INVENTIONS 
 THIS AGREEMENT is between Metabolex, Inc. a Delaware
Corporation (“the Company”), and Charles McWherter, Ph.D. (the “Employee”). 
 PURPOSE OF AGREEMENT

 I want to be employed by the Company, and the Company wants to employ me pursuant to the terms set forth in the (i.e., offer
letter or Employment Agreement or whatever) provided that, in so doing, it can protect its trade secrets and inventions, ideas, information, business, and good will. 
 In consideration of this purpose, and the mutual promises in this Agreement, I agree with the Company as follows: 
 1. Term 
 (a) My employment with the Company is an at-will relationship that
may be terminated by either the Company or me with or without cause for any reason whatsoever at any time upon notice to the other party. 
 (b) If my employment is terminated for any reason, I will be entitled only to the compensation earned by me as of the date of termination, (including accrued vacation pay). If I have received any stock
options from the Company, I am entitled to retain only those options which have actually vested by the date of my termination. 

2. Confidential Information. I will hold in confidence and use only for the benefit of the Company during the term of my employment
and for five years after the termination of my employment all Confidential Information of the Company, its Affiliates, and all Confidential Information of companies or persons other than the Company given to the Company under an agreement
prohibiting its disclosure. “Confidential Information” refers to valuable technical or business information that is not known by the public. By way of example, Confidential Information may include, but is not limited to information
relating to: inventions or products, including unannounced products; research and development activities; the identities of suppliers; costs, formulas, budgets, requirements and specifications of specific customers and potential customers; nonpublic
financial information; and quotations or proposals given to customers. 
  
 

 
 September 3, 1999 

  
 1 

 These restrictions on disclosure do not apply if the information is or becomes publicly
known through no wrongful act on my part or the information is explicitly approved for release under such circumstances by an officer of the Company. 
 3. Disclosure and Assignment of Inventions. I will promptly disclose and assign to the Company my entire right, title and interest in all inventions. “Inventions” refer to (a) all
technical or business innovations, whether or not patentable or copyrightable, made by me during the term in my employment; and (b) all technical or business innovations, whether or not patentable, based upon the Company’s Confidential
Information and made by me after leaving the Company’s employ. I will keep adequate written records of all inventions made by me, such as notebooks, sketches, program listings and the like, which are the property of the Company. Notwithstanding
the foregoing, I understand that pursuant to California Labor Code Section 2870, I am not required to assign to the Company, although I must disclose, any inventions: (a) for which no equipment, supplies, facilities or Confidential
Information of the Company were used and which was developed entirely on my own time; (b) which at the time of conception or reduction to practice did not relate directly to the business of the Company or the Company’s actual or
demonstrable anticipated research or development; (c) which do not result from any work I performed for the Company. The disclosure of such inventions must be made so that the parties can make a determination whether such inventions do in fact
quality for exclusion from assignment to the Company. The Company will keep confidential any such information I disclose. I will take all steps necessary to assist the Company in securing any patents, copyrights or other protection for inventions
which I am required to assign to the Company as provided above. If I am unable or unwilling, whether during my employment or after termination, to sign any papers needed to apply for or pursue any patent or copyright registrations for inventions, I
agree that the Company is my attorney-in-fact for that purpose and can sign such papers as my agent and take any other actions necessary to pursue these registrations. 
 4. List of Inventions I Own. I have attached as Exhibit A a list of inventions I own, which is a complete list of all technical or business innovations I own either alone or jointly with others on
the date of this Agreement. I agree that I will not incorporate any of these prior inventions into products being developed for the Company without the prior knowledge and written consent of the Company. Should the Company wish to use any of
inventions in its business, the Company will negotiate with me for a purchase of license to use such invention on mutually agreeable terms. If no such list is attached, or if no such inventions are listed thereon, I represent that I do not own any
inventions at the time of signing this Agreement. 
 5. Tangible Materials. All tangible materials that incorporate
Confidential Information are the Company’s property, and I will return to the Company all of these materials and any other documents and materials which are the property of the Company, including but not limited all notes of any research or
other work which I have performed for the Company and all biological materials created, used or held by me in the course of my work for the Company, at the termination of my employment or earlier upon the Company’s request. 

6. Solicitation of Employees. I understand that information about the Company’s employees, such as their skills, performance
ratings, and salary histories, constitutes Confidential Information owned by the Company. I agree that during and for a period of twelve (12) months 

  
 

 
 September 3, 1999 
 2 

 
after termination of my employment for any reason, I will not, either directly or indirectly, solicit, induce, recruit or encourage any of the Company’s employees to leave their employment,
or take away such employees, or attempt to do any of these things, whether on my own behalf or on behalf of any other person, since to do so would necessarily involve using Confidential Information. 

7. Termination. In the event of termination of my employment for any reason, I agree that, as requested by the Company, I will sign
and deliver a “Termination Certification” in the form attached to this Agreement as Exhibit B. I also agree that the Company may give notice to my new employer of my duties under this Agreement. 

8. Duty of Loyalty. During my employment with the Company, I will not engage in any business activity (either for my own profit or
for anyone else) that competes with the Company’s business. 
 9. Duties to Third Parties. I represent that, to the
best of my knowledge, compliance with the terms of this Agreement will not violate any duty that I may have to anyone other than the Company (such as a former employer) to keep such person’s proprietary information in confidence or to refrain
from using the person’s patents or copyrights. If at any time during my employment with the Company, I am asked by the Company to perform work which I believe may cause me to violate a duty I have to someone other than the Company, I will
immediately inform an officer of the Company so that an assessment of the situation may be made. I also agree that I will not, during my employment with the Company, bring onto the Company’s premises, use or disclose to the Company any
proprietary information or trade secrets of any former employer or any other person without that person’s consent. 
 10.
Miscellaneous. This is the only agreement between the Company and myself about confidential information and the ownership of inventions, and may not be modified, amended or terminated, in whole or in part, except in a writing signed by me and
by an officer of the Company. Any later change in my title, compensation or duties will not affect this Agreement. This Agreement will survive termination of my employment for any reason, and will continue for the benefit of and will be binding upon
the successors, assigns, heirs and legal representatives of the Company and myself. Any waiver by the Company of a breach by me of any of the obligations of this Agreement will not operate or be construed as a waiver of any other or subsequent
breach by me. In the event any provision of this Agreement is held to be invalid, void or unenforceable, the remaining provisions will nevertheless continue in full force and effect without being impaired or invalidated in any way. The prevailing
party in any legal action brought by one party against the other and arising out of this Agreement shall be entitled, in addition to any other rights and remedies it may have, to reimbursement for its expenses, including court costs and reasonable
attorney’s fees. This Agreement will be governed by the laws of the State of California governing contracts between residents to be performed in the State of California. 

  
 

 
 September 3, 1999 
 3 

									
	Metabolex, Inc.	 		 	Employee
					
	By:	 	 /s/ Harold Van Wart     
	 		 	By:	 	 /s/ Charles A. McWherter

		 	Harold Van Wart	 		 		 	Signature
		 	Chief Executive Officer	 		 		 	
					
		 	6/14/2007	 		 		 	Charles A. McWherter
		 	Date	 		 		 	Employee Name
					
		 		 		 		 	 6/14/2007

		 		 		 		 	Date

  
 

 
 September 3, 1999 
 4 

 EXHIBIT B 
 Termination Certificate 
 This is to certify that I do not have in my possession,
nor have I failed to return, any devices, records, data, notes, reports, proposals, lists, equipment, computer programs or listings, other documents or property or any reproductions of any of these materials belonging to Metabolex, Inc., a Delaware
corporation, its subsidiaries, successors or assigns (collectively, the “Company”). 
 I further certify that I have
complied with all the terms of the Company’s Agreement regarding Confidential Information and Inventions signed by me, including the reporting of any inventions and original works of authorship (as defined in that Agreement) conceived or made
by me (solely or jointly with others) covered by that agreement. 
 I further agree that, in compliance with the Agreement
regarding Confidential Information and Inventions, I will preserve as confidential all trade secrets, confidential knowledge, data or other proprietary information relating to inventions or products, including but not limited to unannounced
products, research and development activities, requirements and specifications of specific customers and potential customers, the identities of suppliers, costs, formulas, budgets, nonpublic financial information, and quotations or proposals given
to customers, including any information disclosed to the Company in confidence by any third party. 
 I further agree that for
twelve (12) months from this date, I will not directly or indirectly solicit, induce, recruit or encourage any of the Company’s employees to leave their employment. 

 

	
	 
	Signature
	
	 
	Printed Name
	
	 
	Date

  
 

 
 September 3, 1999 
 5 

 EXHIBIT A 
 List of Inventions I Own (see para. 4.) 

  
 

 
 September 3, 1999 
 6 

 EXHIBIT C 

RELEASE AGREEMENT 
 (To be signed on or after the Separation Date) 
 I understand that my
employment with Metabolex, Inc. (the “Company”) terminated effective
                            ,          (the
“Separation Date”). The Company has agreed that if I choose to sign this Release Agreement (“Release”), the Company will provide certain severance benefits (minus the required withholdings and deductions) pursuant to the terms of
the employment agreement dated                          (as amended, the “letter agreement”). I understand that
I am not entitled to such severance benefits unless I sign this Release, and it becomes fully effective. 
 I understand that
this Release, together with the letter agreement, constitutes the complete, final and exclusive embodiment of the entire agreement between the Company and me with regard to the subject matter hereof. I am not relying on any promise or representation
by the Company that is not expressly stated therein. 
 I hereby confirm my obligations under my Employee Agreement on
Confidential Information and Inventions with the Company. 
 I hereby represent that I have been paid all compensation owed and
for all hours worked, have received all the leave and leave benefits and protections for which I am eligible, pursuant to the Family and Medical Leave Act or otherwise, and have not suffered any on-the-job injury for which I have not already filed a
claim. 
 In exchange for the consideration provided to me by this Release that I am not otherwise entitled to receive, I hereby
generally and completely release Company and its current and former directors, officers, employees, shareholders, partners, agents, attorneys, predecessors, successors, parent and subsidiary entities, insurers, affiliates, and assigns from any and
all claims, liabilities and obligations, both known and unknown, that arise out of or are in any way related to events, acts, conduct, or omissions occurring prior to my signing this Release. This general release includes, but is not limited to:
(a) all claims arising out of or in any way related to my employment with the Company or the termination of that employment; (b) all claims related to my compensation or benefits from the Company, including salary, bonuses, commissions,
vacation pay, expense reimbursements, severance pay, fringe benefits, stock, stock options, or any other ownership interests in the Company; (c) all claims for breach of contract, wrongful termination, and breach of the implied covenant of good
faith and fair dealing; (d) all tort claims, including claims for fraud, defamation, emotional distress, and discharge in violation of public policy; and (e) all federal, state, and local statutory claims, including claims for
discrimination, harassment, retaliation, attorneys’ fees, or other claims arising under the federal Civil Rights Act of 1964 (as amended), the federal Americans with Disabilities Act of 1990, the federal Age Discrimination in Employment Act of
1967 (as amended) (“ADEA”), and the California Fair Employment and Housing Act (as amended). Nothing in this Release shall prevent me from challenging this Release by filing, cooperating with, or participating in any
proceeding before the 

  
  

www.metabolex.com 

 
Equal Employment Opportunity Commission, the Department of Labor, or the California Department of Fair Employment and Housing, except that I hereby acknowledge and agree that I shall not recover
any monetary benefits in connection with any challenge to my Release. 
 I acknowledge that I am knowingly and voluntarily
waiving and releasing any rights I may have under the ADEA (“ADEA Waiver”). I also acknowledge that the consideration given for the ADEA Waiver is in addition to anything of value to which I was already entitled. I further
acknowledge that I have been advised by this writing, as required by the ADEA, that: (a) my ADEA Waiver does not apply to any rights or claims that arise after the date I sign this Release; (b) I should consult with an attorney prior to
signing this Release; (c) I have twenty-one (21) days to consider this Release (although I may choose to voluntarily sign it sooner); (d) I have seven (7) days following the date I sign this Release to revoke the ADEA Waiver; and
(e) the ADEA Waiver will not be effective until the date upon which the revocation period has expired unexercised, which will be the eighth day after I sign this Release. 
 I acknowledge that I have read and understand Section 1542 of the California Civil Code which reads as follows: “A general release does not extend to claims which the creditor does not know
or suspect to exist in his or her favor at the time of executing the release, which if known by him or her must have materially affected his or her settlement with the debtor.” I hereby expressly waive and relinquish all rights and benefits
under that section and any law of any jurisdiction of similar effect with respect to my release of any claims hereunder. 
 I
acknowledge that to become effective, I must sign and return this Release to the Company so that it is received not later than twenty-one (21) days following the date it is provided to me. 

I accept and agree to the terms and conditions stated above: 
  

					
	 	 		 	  

	Date	 		 	Charles A. McWherter

  
  

www.metabolex.com

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