Document:

EX-10.5

 Exhibit 10.5 

LETTER AGREEMENT 
 THIS LETTER
AGREEMENT (the “Agreement”) is made as of October 24, 2022 (the “Execution Date”) between 11065220 Canada Inc. (“11065220”), AFC Gamma, Inc. (“AFC Gamma”), Viridescent Realty
Trust, Inc. (“Viridescent”) and AFC Institutional Fund LLC (“AFCI”, together with AFC Gamma and Viridescent, the “Optionors”). 

WHEREAS on December 16, 2021, High Street Capital Partners, LLC, Acreage Holdings, Inc. (“Acreage”), AFC Agent, LLC, VRT Agent
LLC and certain lenders entered into a credit agreement (the “Original Acreage Credit Agreement”) as amended through October 24, 2022 (the “Amended Acreage Credit Agreement”), a copy of which is attached
as Exhibit “A” hereto; 
 AND WHEREAS 11065220 desires to acquire from the Optionors an option (the “Purchase Option”) in
exchange for an option premium payment of US$28.5 million (the “Option Premium Amount”), exercisable by 11065220 to acquire the Debt (as defined below) for an aggregate purchase price equal to the Net Settlement Amount (as
defined below); 
 NOW THEREFORE THIS AGREEMENT WITNESSES THAT for good and valuable consideration (the receipt and sufficiency of which are hereby
conclusively acknowledged), the Parties hereby agree as follows: 
 ARTICLE 1 

INTERPRETATION 
 1.1 Defined
Terms 
 Capitalized terms used herein and not defined shall have their respective meanings set forth in the Amended Acreage Credit Agreement. In
addition to the terms defined above, the following terms used in this Agreement shall be construed to have the meanings set forth or referenced below. 
  

	(a)	 “11065220” has the meaning ascribed thereto in the recitals to this Agreement.

  

	(b)	 “Acreage” has the meaning ascribed thereto in the recitals to this Agreement.

  

	(c)	 “AFC Gamma” has the meaning ascribed thereto in the preamble to this Agreement.

  

	(d)	 “AFCI” has the meaning ascribed thereto in the preamble to this Agreement.

  

	(e)	 “Agreement” has the meaning ascribed thereto in the preamble to this Agreement.

  

	(f)	 “Amended Acreage Credit Agreement” has the meaning ascribed thereto in the
recitals to this Agreement. 

  

	(g)	 “Canopy Growth” means Canopy Growth Corporation, a corporation existing under the
federal laws of Canada. 

  

	(h)	 “Canopy Exercise Notice” has the meaning ascribed thereto in Section 2.2(a).

  

	(i)	 “Canopy Release Notice” has the meaning ascribed thereto in Section 2.2(e).

  

	(j)	 “Debt” means all monetary Obligations owing under the Amended Acreage Credit Agreement.

  

	(k)	 “Dispute” has the meaning ascribed thereto in Section 4.10. 

 

	(l)	 “Escrow Agent” has the meaning ascribed thereto in Section 3.1(a). 

 

	(m)	 “Escrow Agreement” has the meaning ascribed thereto in Section 3.1(a).

  

	(n)	 “Execution Date” has the meaning ascribed thereto in the preamble to this Agreement.

	(o)	 “Exercise Period” has the meaning ascribed thereto in Section 2.2(a).

  

	(p)	 “Exercise Period Start Date” has the meaning ascribed thereto in Section 2.2(a).

  

	(q)	 “Expiry Date” has the meaning ascribed thereto in Section 2.2(b). 

 

	(r)	 “Minimum Cash Balance Covenant” means the covenant set forth in Section 7.4 of the
Amended Acreage Credit Agreement as in effect on the date hereof. 

  

	(s)	 “Net Settlement Amount” means the total aggregate amount of the Debt on the date the Purchase
Option is exercised less the Option Premium Amount available to the Optionors and any accrued interest thereon that is available to the Optionors. 

  

	(t)	 “Option Agreement” means the definitive option agreement to be entered into by the Parties as
soon as reasonably practicable after the execution of this Agreement providing for 11065220’s acquisition of the Purchase Option in exchange for the Option Premium Amount. 

 

	(u)	 “Option Premium Amount” has the meaning ascribed thereto in the recitals to this Agreement.

  

	(v)	 “Optionors” has the meaning ascribed thereto in the preamble to this Agreement.

  

	(w)	 “Original Acreage Credit Agreement” has the meaning ascribed thereto in the
recitals to this Agreement. 

  

	(x)	 “Parties” means 11065220 and the Optionors. 

 

	(y)	 “Purchase Option” has the meaning ascribed thereto in the recitals to this Agreement.

  

	(z)	 “Trigger Event” means the occurrence of the following events or condition.

  

	 	(i)	 If any Loan Party fails to pay when due and payable, or when declared due and payable, all or any portion of
the Obligations consisting of principal, interest, other fees, or charges due the Lender Group, reimbursement of Lender Group Expenses, or other amounts constituting Obligations (including any portion thereof that accrues after the commencement of
an Insolvency Proceeding, regardless of whether allowed or allowable in whole or in part as a claim in any such Insolvency Proceeding) and such required payment is not made within any period of grace specified in the Amended Acreage Credit
Agreement; 

  

	 	(ii)	 If an Insolvency Proceeding is commenced by a Loan Party or Parent; 

 

	 	(iii)	 If an Insolvency Proceeding is commenced against a Loan Party or any of its Subsidiaries or Parent and any of
the following events occur: (a) such Person consents to the institution of such Insolvency Proceeding against it, (b) the petition commencing the Insolvency Proceeding is not timely controverted, (c) the petition commencing the
Insolvency Proceeding is not dismissed within sixty (60) calendar days of the date of the filing thereof, (d) an interim trustee is appointed to take possession of all or any substantial portion of the properties or assets of, or to
operate all or any substantial portion of the business of, such Person, or (e) an order for relief shall have been issued or entered therein; 

  

	 	(iv)	 If there is a default in one or more agreements to which a Loan Party or any of its Subsidiaries is a party
with one or more third Persons relative to a Loan Party’s or any of its Subsidiaries’ Indebtedness involving an aggregate amount of ten million dollars ($10,000,000) or more, and such default (i) occurs at the final maturity of the
obligations thereunder, or (ii) results in a right by such third Person, irrespective of whether exercised, to accelerate the maturity of such Loan Party’s obligations thereunder; 

  
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	 	(v)	 a breach of the Minimum Cash Balance Covenant; or 

 

	 	(vi)	 if there is a Change of Control but excluding, at all times, any Acquisition of all or a majority of the issued
and outstanding shares of the Parent by Canopy Growth, Canopy USA, LLC or any of their respective affiliates or designees, including the exercise of any rights under that certain Arrangement Agreement with Parent or the transfer of any shares of the
Parent (or any successor in interest to the Parent) by Canopy Growth, directly or indirectly, to Canopy USA, LLC. 

  

	(aa)	 “Trigger Notice” has the meaning ascribed thereto in Section 2.2(a).

  

	(bb)	 “Viridescent” has the meaning ascribed thereto in the preamble to this Agreement.

 1.2 Currency 
 Unless
otherwise indicated, all dollar amounts in this Agreement are expressed in United States dollars. 
 ARTICLE 2 

PURCHASE OPTION 
  

	2.1	 Purchase Option; Issuance 

 

	(a)	 As soon as reasonably practicable after the execution of this Agreement, the Parties shall enter into the
Option Agreement. The Option Agreement shall include the terms summarized in this Agreement and such other representations, warranties, conditions, covenants indemnities and other terms as may be agreed by the parties hereto that are customary for
transactions of this nature and that are not inconsistent with the terms of this Agreement. 

  

	(b)	 Within two business days of the execution of the Option Agreement and subject to Section 2.1(c), 11065220
shall make an initial cash payment to the Escrow Agent in an amount equal to the Option Premium Amount. The Option Premium Amount shall be held in escrow for the benefit of the Optionors pursuant to the terms of the Escrow Agreement and no part of
the Option Premium Amount shall be loaned or otherwise used by any of the Optionors during the Exercise Period. 

  

	(c)	 11065220 shall have a right, but not the obligation, to terminate this Agreement and to not enter into the
Option Agreement in the event that the Optionors notify Acreage on or before November 15, 2022 that legal counsel to the Optionors provided a legal opinion that (i) the Permitted Canopy Transaction impairs the validity, priority or
perfection of the Agents’ security interest in the Collateral or results in or requires the release of any Collateral, or (ii) the Permitted Canopy Transaction creates, grants or causes to exist any new Lien upon the Equity Interests of
Acreage or the Borrower. 

  

	(d)	 11065220 shall deliver to legal counsel to the Optionors executed copies of all Permitted Canopy Transaction
Agreements within one business day of the date hereof. Any amendments, modifications or supplements to any of the Permitted Canopy Transaction Agreements shall be in form and substance satisfactory to the Optionors and drafts of such amendments,
modifications or supplements shall be delivered to the Optionors with sufficient opportunity to review prior to November 15, 2022. 

  
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 2.2 Purchase Option; Exercise 

 

	(a)	 The Purchase Option exercise period (the “Exercise Period”) shall commence (the
“Exercise Period Start Date”) on the earlier of: 

  

	 	(i)	 the date that any of the Optionors (or their permitted assignees) delivers written notice (the “Trigger
Notice”) to 11065220 and Canopy Growth of a Trigger Event, provided that the Trigger Notice is delivered on or before January 1, 2026; and 

  

	 	(ii)	 the date that 11065220 delivers a written notice of exercise (a “Canopy Exercise Notice”) to
the Optionors. 

  

	(b)	 The Exercise Period shall expire (the “Expiry Date”) on the later of: (i)(A) where a Trigger
Notice is delivered, the date that is 60 days following the receipt of the Trigger Notice by 11065220 and Canopy Growth; and (B) where a Canopy Exercise Notice is delivered, the date that is 60 days following the Optionors’ receipt of the
Canopy Exercise Notice, and (ii) January 1, 2026. 

  

	(c)	 11065220 shall have the right in its sole discretion to exercise the Purchase Option at any time during the
Exercise Period and upon exercise, the Net Settlement Amount shall be payable as follows: 

  

	 	(i)	 in the event any of the Optionors (or their permitted assigns) delivers a Trigger Notice to 11065220 and Canopy
Growth, within 60 days of receipt of such Trigger Notice by 11065220 and Canopy Growth; provided that 11065220 exercised the Purchase Option following receipt of such Trigger Notice; or 

 

	 	(ii)	 in the event 11065220 delivers a Canopy Exercise Notice to the Optionors, within 60 days of the receipt of the
Canopy Exercise Notice by the Optionors; 

  

	(d)	 The Option Premium Amount shall be released from escrow and delivered to the Optionors if either:

  

	 	(i)	 11065220 fails to deliver the payment for the Net Settlement Amount in accordance with Section 2.2(c)(i)
or Section 2.2(c)(ii), as applicable; or 

  

	 	(ii)	 a Trigger Event has occurred, and 11065220 fails to exercise the Purchase Option within the Exercise Period.

  

	(e)	 The Option Premium Amount shall be released from escrow and delivered to the Optionors upon notice (the
“Canopy Release Notice”) to the Escrow Agent from 11065220 that the Net Settlement Amount will be paid to the Optionors; provided that the Canopy Release Notice shall specify the business day that 11065220 shall deliver the
Net Settlement Amount and the Escrow Agent shall release the Option Premium Amount to the Optionors on such specified business day. 

  

	(f)	 The Option Premium Amount shall be released from escrow and delivered to the Optionors upon notice from the
Optionors that either: 

  

	 	(i)	 11065220 failed to deliver the payment for the Net Settlement Amount in accordance with Section 2.2(c)(i)
or Section 2.2(c)(ii), as applicable; or 

  

	 	(ii)	 a Trigger Event has occurred, and 11065220 failed to exercise the Purchase Option within the Exercise Period.

  
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	(g)	 In the event that the Option Premium Amount is delivered, or to be delivered, to the Optionors in accordance
with Section 2.2(d) or Section 2.2(e), all accrued interest on the Option Premium Amount shall also be released to the Optionors. 

  

	(h)	 The Option Premium Amount plus all accrued interest thereon shall be released from escrow and returned to
11065220 in the event that: 

  

	 	(i)	 Acreage or an affiliate of Acreage has repaid the Debt in full on or prior to the Expiry Date; or

  

	 	(ii)	 following the occurrence of an Event of Default that is not a Trigger Event, the Agents and/or the Lenders
exercise any of their rights or remedies provided for under the Amended Acreage Credit Agreement, any other Loan Document or by Applicable Law (as such terms are defined in the Amended Acreage Credit Agreement) or otherwise take any steps pursuant
to Section 9.1 of the Amended Acreage Credit Agreement. 

 2.3 Purchase Option; Covenants  

The Option Agreement shall contain, among other things, the following covenants: 
  

	(a)	 11065220 shall, following the completion of the acquisition of all or a majority of the shares of Acreage, use
commercially reasonable efforts to cause Acreage to comply with the Amended Acreage Credit Agreement; 

  

	(b)	 the Optionors shall provide 11065220 and Canopy Growth written notice of an Event of Default; and

  

	(c)	 the Optionors shall not amend the Amended Acreage Credit Agreement without the prior written consent of
11065220, not to be unreasonably withheld. 

 2.4 Purchase Option; Information Rights 

 

	(a)	 Upon reasonable request from 11065220, the Optionors shall provide 11065220 and its employees, agents and
designees access to Acreage and its subsidiaries’ (i) books and records, including, but not limited to, all tax and financial documentation, contracts and leases provided by Acreage or any of its subsidiaries; and (b) such financial and
operating data or other information with respect to the assets or business of Acreage and its subsidiaries that the Optionors may receive from Acreage from time to time. 

 

	(b)	 Each of the Optionors and 11065220 acknowledges that all information provided to 11065220 under this
Section 2.4 is subject to the confidentiality provisions set out in Section 4.4. 

 ARTICLE 3

 ESCROW ARRANGEMENTS 

3.1 Escrow  
  

	(a)	 The payment of the Option Premium Amount shall be conditional upon 11065220 and the Optionors entering into an
escrow agreement (the “Escrow Agreement”) with an escrow agent (the “Escrow Agent”) acceptable to 11065220 and the Optionors, acting reasonably. The Escrow Agreement shall include the terms summarized in this
Agreement and such other terms that are customary for escrow arrangements of this nature and that are not inconsistent with the terms of this Agreement. 

  
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	(b)	 The Escrow Agreement shall provide for the release of the Option Premium Amount in accordance with the terms of
this Agreement and the Option Agreement. 

  

	(c)	 The Escrow Agent shall invest the Option Premium Amount in accordance with the joint written instructions
provided by 11065220 and the Optionors. If no written instructions or incomplete instructions are provided by 11065220 and the Optionors, the Escrow Agent may invest the Option Premium Amount in a segregated interest-bearing trust account or in
other interest-bearing instruments. The Parties agree that 11065220 will be the beneficial owner of any earnings in respect of the investment and/or holding of the Option Premium Amount, including any earnings thereon, where all such earnings shall
be subject to 2.1(b) and held by the Escrow Agent for distribution in accordance Sections 2.2(g) or 2.2(h), as applicable. 

ARTICLE 4 

GENERAL 
 4.1 Binding

 The provisions of this Agreement are intended to be legally binding on 11065220 and the Optionors. 

4.2 Termination 
 This Agreement may be terminated
only upon the written consent of each of the Parties. Notwithstanding the foregoing, the provisions of this Article 4 will survive the termination of this Agreement, and the termination of this Agreement will not affect any rights any Party has with
respect to Article 4 or with respect to the breach of this Agreement by any other Party prior to such termination. 
 4.3 Notices 

All notices, requests, claims, demands and other communications under this Agreement shall be in writing and shall be given or made (and shall be deemed to
have been duly given or made upon receipt) by delivery in person, by overnight courier service or by registered or certified mail (postage prepaid, return receipt requested) to the respective parties at the following addresses (or at such other
address for a party as shall be specified in a notice given in accordance with this Section 4.3): 
  

	(a)	 if to 11065220: 

11065220 Canada Inc. 
 1 Hershey
Drive 
 Smiths Falls, Ontario K7A 0A8 

Attention:         Legal 

Email:              [PERSONAL INFORMATION REDACTED] 

 

	(b)	 if to the Optionors: 

AFC Gamma, Inc. 
 AFC
Institutional Fund LLC 
 525 Okeechobee Blvd 

Suite 1650 
 West Palm Beach, FL
33401 
 Attn: Agent 
 Email:
[PERSONAL INFORMATION REDACTED] 

  
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 Viridescent Realty Trust, Inc. 

10242 Greenhouse Rd. 
 Bldg. 1201

 Cypress, TX 32055 
 Attn:
Steven Miller 
 Email: [PERSONAL INFORMATION REDACTED] 

with copies to: 

O’Melveny & Myers LLP 

7 Times Square 
 New York, NY
10036 
 Attn: Sung Pak 
 Email:
[PERSONAL INFORMATION REDACTED] 
 4.4 Confidentiality  

The Parties shall treat and hold as confidential all of the terms and conditions of this Agreement and the Option Agreement; provided, however, that
(a) the Optionors may disclose such information to the Optionors’ legal counsel and/or other advisors on an as-needed basis so long as any such person is bound by a confidentiality obligation with
respect thereto and (b) 11065220 and the Optionors may disclose such information as necessary for them or for Canopy Growth to comply with applicable law and the rules and regulations of the stock exchange in which the common shares of Canopy Growth
or any Optionor are listed at the applicable time. 
 4.5 Assignment; No Third-Party Beneficiaries 

This Agreement may not be assigned by any Party without the prior written consent of the other Parties and may be modified only by a written agreement signed
by the Parties, provided that the Optionors acknowledge that an affiliate of 11065220 may be party to the Option Agreement and 11065220 acknowledge that an assignee of an Optionor’s Loans shall be permitted assignees entitled to the benefits of
the Agreement. Nothing in this Agreement, express or implied, is intended to confer upon any Party other than the Parties hereto or their respective successors and assigns any rights, remedies, obligations or liabilities under or by reason of this
Agreement, except as expressly provided in this Agreement. 
 4.6 Amendment; Waiver; Delays of Omissions 

No provision of this Agreement may be amended or modified except by a written instrument signed by all Parties. No waiver by any Party of any provision hereof
shall be effective unless explicitly set forth in writing and executed by the Party so waiving. No delay or omission to exercise any right, power or remedy accruing to any Party under this Agreement, upon any breach or default of any other Party
under this Agreement, shall impair any such right, power or remedy of such non-breaching or non-defaulting Party nor shall it be construed to be a waiver of any such
breach or default, or an acquiescence therein, or of or in any similar breach or default thereafter occurring; nor shall any waiver of any single breach or default be deemed a waiver of any other breach or default theretofore or thereafter
occurring. Any waiver, permit, consent or approval of any kind or character on the part of any Party of any breach or default under this Agreement, or any waiver on the part of any Party of any provisions or conditions of this Agreement, must be in
writing and shall be effective only to the extent specifically set forth in such writing. All remedies, either under this Agreement or by law or otherwise afforded to any Party, shall be cumulative and not alternative 

  
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 4.7 Costs and Expenses 

Each Party will bear its own costs and expenses incurred in connection with this Agreement and the Option Agreement, including without limitation, legal and
accounting fees; provided that 11065220 will reimburse the Optionors for up to $100,000 (inclusive of taxes and disbursements) of reasonable and documented out-of-pocket
expenditures paid to legal counsel for the Optionors (subject to a mutually-agreed increase in such reimbursement amount, provided that 11065220 has provided prior written consent to such increase, if there is excessive negotiation between the
Parties, acting in good faith) in the event that the Option Agreement is executed by the Parties by November 15, 2022. 
 4.8 Further
Assurances 
 Each of the Parties shall from time to time and at all times do all such further acts and execute and deliver all further agreements
and documents as shall be reasonably required in order fully to perform and carry out the terms of this Agreement. 
 4.9 Entire Agreement

 This Agreement constitutes the full and entire understanding and agreement between the Parties with respect to the subject matter hereof, and any
other written or oral agreement relating to the subject matter hereof existing between the Parties are expressly canceled. 
 4.10 Governing
Law; Disputes 
 This Agreement shall be governed by and construed in accordance with the laws of the State of New York, without regard to
conflict of law principles that would result in the application of any law other than the law of the State of New York. Any dispute, controversy, or claim arising out of, relating to, or in connection with, this Agreement or any breach, termination,
or validity thereof (a “Dispute”) shall be finally settled by arbitration. The arbitration shall be conducted in accordance with the Commercial Arbitration Rules of the American Arbitration Association in effect at the time of the
arbitration, except as they may be modified herein or by mutual agreement of the Parties. The seat of the arbitration shall be New York, New York. The arbitration shall be conducted by three arbitrators. Any arbitration award shall be in writing and
shall be final and binding on the Parties. The award may include an award of costs, including reasonable attorneys’ fees and disbursements. Judgement upon award may be entered by any court having jurisdiction thereof or having jurisdiction over
the Parties or their assets. 
 4.11 Severability 

If any term or other provision of this Agreement is invalid, illegal or incapable of being enforced under any applicable law or as a matter of public policy,
all other conditions and provisions of this Agreement shall nevertheless remain in full force and effect. Upon such determination that any term or other provision is invalid, illegal or incapable of being enforced, the Parties shall negotiate in
good faith to modify this Agreement so as to effect the original intent of the Parties as closely as possible in a mutually acceptable manner in order that the matters contemplated by this Agreement be consummated as originally contemplated to the
greatest extent possible. 
 4.12 Counterparts 

This Agreement may be executed in one or more counterparts, and by the Parties in separate counterparts, each of which when executed will be deemed to be an
original, but all of which taken together will constitute one and the same Agreement. Delivery of an executed counterpart of a signature page to this Agreement by electronic transmission will be effective as delivery of a manually executed
counterpart of this Agreement. 
 [SIGNATURE PAGE FOLLOWS] 

  
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 IN WITNESS WHEREOF the Parties hereto have executed this Agreement as of the Execution Date. 

 

													
	11065220 CANADA INC.	 		 	AFC GAMMA, INC.
					
	By:	 	 /s/ Donald Henderson
	 	        	 	By:	 	 /s/ Gabriel Katz

		 	Name:	 	Donald Henderson	 		 		 	Name:	 	Gabriel Katz
		 	Title:	 	Authorized Signatory	 		 		 	Title:	 	Authorized Signatory
			
	VIRIDESCENT REALTY TRUST, INC.	 		 	 AFC INSTITUTIONAL FUND LLC

					
	By:	 	 /s/ Steven Miller
	 		 	By:	 	 /s/ Gabriel Katz

		 	Name:	 	Steven Miller	 		 		 	Name:	 	Gabriel Katz
		 	Title:	 	Chief Investment Officer	 		 		 	Title:	 	Authorized Signatory

 [Signature Page – Letter Agreement] 

 EXHIBIT A 

AMENDED ACREAGE CREDIT AGREEMENT 
 See
attached. 

 Execution Version 

FIRST AMENDMENT TO CREDIT AGREEMENT AND INCREMENTAL INCREASE ACTIVATION NOTICE 

This FIRST AMENDMENT TO CREDIT AGREEMENT AND INCREMENTAL INCREASE ACTIVATION NOTICE (this “Amendment”) is dated as of
October 24, 2022 and entered into by and among HIGH STREET CAPITAL PARTNERS, LLC, a Delaware limited liability company (“Borrower”), ACREAGE HOLDINGS, INC., a corporation existing under the laws of the Province of
British Columbia (“Parent”), each lender identified on the signature pages hereof (each such lender, together with its respective successors and permitted assigns, is referred to hereinafter, individually as a
“Lender” and collectively, as the “Lenders”), AFC AGENT LLC, a Delaware limited liability company, as co-agent for the Lenders (in such capacity, together with its
successors and assigns in such capacity, “Administrative Agent”), and VRT AGENT LLC, a Delaware limited liability company, as co-agent for the Lenders (in such capacity, together with
its successors and assigns in such capacity, “Co Agent”). Capitalized terms used herein without definition shall have the same meanings herein as set forth in the Existing Credit Agreement (as defined below). 

PRELIMINARY STATEMENTS: 

WHEREAS, Borrower, Parent, the Lenders and Agents are parties to that certain Credit Agreement, dated as of December 16, 2021 (as amended,
restated or otherwise modified from time to time prior to the date hereof, the “Existing Credit Agreement”). 
 WHEREAS,
pursuant to Section 2.2(c) of the Existing Credit Agreement, Borrower has requested the Incremental Increase in the aggregate principal amount of $50,000,000; 

WHEREAS, Parent, Borrower, Agents and the Incremental Lenders (as defined below) have agreed, upon the terms and subject to the conditions set
forth herein, that the Incremental Lenders will provide the Incremental Increase and that, as permitted by Section 2.2(c)(v) of the Existing Credit Agreement, the Existing Credit Agreement will be amended as set forth herein without additional
consent or approval of the other Lenders; 
 WHEREAS, each party to this Amendment designated as a “Incremental Lender” on
its signature page hereto (each, an “Incremental Lender” and collectively, the “Incremental Lenders”) wishes to provide the Incremental Increase in an aggregate amount equal to the amount set forth opposite such
Incremental Lender’s name on Exhibit A hereto on the terms set forth herein; and 
 WHEREAS, Parent, Borrower, Agents, the
Lenders and the Incremental Lenders are willing to agree to this Amendment and the Amended Credit Agreement (as defined below) on the terms set forth herein. 

NOW, THEREFORE, in consideration of the premises and the agreements, provisions and covenants herein contained, the parties hereto agree as
follows: 
 Section 1. INCREMENTAL INCREASE; INCREMENTAL INCREASE ACTIVATION NOTICE. 

 

	 	1.1	 Borrower and each Incremental Lender hereby notify Agents that: 

A. Subject to the terms and conditions set forth herein, each of the Incremental Increase Lenders agrees to provide the Incremental
Increase in an aggregate amount equal to the amount set forth under the heading “Incremental Increase Commitment” opposite such Incremental Lender’s name on Annex I hereto on the Effective Date (as defined below). 

 B. The Incremental Increase Effective Date for the Incremental Increase shall be
deemed to be the date on which all the conditions precedent in Section 4 are satisfied. 
 C. For the avoidance of doubt, the
loans made pursuant to the Incremental Increase of the Incremental Lenders shall constitute Term Loans for all purposes under the Amended Credit Agreement and under the other Loan Documents. 

D. Any requirement for Borrower to provide notice with respect to the Incremental Increase of the Incremental Lenders pursuant to
Section 2.2(c) of the Existing Credit Agreement is hereby waived. 
 Section 2. AMENDMENT TO EXISTING CREDIT AGREEMENT. 

2.1 Rules of Construction. The rules of construction specified in Section 1.4 of the Existing Credit Agreement shall apply
to this Amendment, including the terms defined in the preamble and recitals hereto. 
 2.2 Amendments To Existing Credit
Agreement. Subject to the satisfaction of the conditions set forth in Section 4 and in accordance with Section 2.2(c) and Section 15.1 of the Existing Credit Agreement, the Existing Credit Agreement is hereby amended as follows:

 A. The Existing Credit Agreement is hereby amended to delete the bold, stricken text (indicated textually in the same manner as the
following example: stricken text) and to add the bold, double-underlined text (indicated textually in the same manner as the following example: double-underlined
text) as set forth in the pages of the Amended Credit Agreement and certain of the Exhibits thereto attached as Exhibit B hereto. 

B. Exhibit B to the Existing Credit Agreement is hereby amended and restated in its entirety in the form attached hereto as Exhibit
C. 
 C. Schedule C-1 to the Existing Credit Agreement is hereby amended and restated in
its entirety in the form attached hereto as Exhibit D. 
 Section 3. REPRESENTATIONS AND WARRANTIES 

In order to induce Lenders and the Incremental Increase Lenders to enter into this Amendment and to amend the Existing Credit Agreement in the
manner provided herein, Borrower represents and warrants to Agents, the Lenders and the Incremental Increase Lenders that the following statements are true, correct and complete: 

A. Corporate Power and Authority. Borrower has all requisite corporate power and authority to enter into this Amendment and to
carry out the transactions contemplated by, and perform its obligations under the Existing Credit Agreement, as amended by this Amendment (the “Amended Credit Agreement”). 

B. Authorization of Agreements. The execution and delivery of this Amendment has been duly authorized by all necessary corporate
action on the part of Borrower, as the case may be. 

  
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 C. No Conflict. The execution and delivery of this Amendment will not
(i) violate any Laws, the organization documents of Borrower or any order, judgment or decree of any court or other agency of government binding on the Loan Parties, (ii) conflict with, result in a breach of or constitute (with due notice
or lapse of time or both) a default under any contractual obligation of Borrower, (iii) result in or require the creation or imposition of any Lien upon any of the properties or assets of Borrower (other than the Liens created under the
Security Agreement, any Mortgage or any other Loan Document), or (iv) require any approval or consent of any Person under any contractual obligations of the Loan Parties. 

D. No Material Adverse Effect. No requirements of law or contractual obligations applicable to any Loan Party could reasonably be
expected, either individually or in the aggregate, to have a Material Adverse Effect. 
 E. Governmental Consents. The
execution and delivery by Borrower of this Amendment does not and will not require any registration with, consent or approval of, or notice to, or other action to, with or by, any federal, state or other governmental authority or regulatory body.

 F. Binding Obligation. This Amendment has been duly executed and delivered by the Loan Parties and this Amendment and the
Amended Credit Agreement are the legally valid and binding obligations of Borrower, enforceable against Borrower in accordance with their respective terms. 

G. Incorporation of Representations and Warranties From Existing Credit Agreement. The representations and warranties contained
in Section 4 of the Existing Credit Agreement are and will be true, correct and complete in all material respects on and as of the date hereof to the same extent as though made on and as of that date, except to the extent such representations
and warranties specifically relate to an earlier date, in which case they were true, correct and complete in all material respects on and as of such earlier date. 

Section 4. CONDITIONS TO EFFECTIVENESS 

A. The effectiveness of this Amendment is conditioned upon Agents’ receipt, in form and substance satisfactory to Agents, of the
following (such date of satisfaction, the “Effective Date”): 
 (i) this Amendment, duly executed by Borrower, Parent and
the Guarantors; 
 (ii) the payment by Borrower of a nonrefundable amendment fee in the amount of $1,250,000 payable to Agents for the
ratable benefit of the Lenders and Incremental Lenders; 
 (iii) the payment by Borrower of (i) the Agent Fee attributable to the
Incremental Increase in the amount of $54,452.05 and (ii) the Original Issue Discount attributable to the Incremental Increase in the amount of $2,000,000, payable as follows: (1) $1,500,000 upon disbursement by Administrative Agent to Borrower
of the Second Term Loan; and (2) $500,000 upon disbursement of the Third Term Loans by Administrative Agent to Borrower during the Draw Period; 

(iv) any customary resolutions duly adopted by the board of directors (or equivalent governing body) of Borrower authorizing the Incremental
Increase reasonably requested by Agents in connection with the Incremental Increase; 
 (v) evidence that all taxes shown on such tax returns
to be due and payable and all assessments, fees and other similar governmental charges imposed by a tax authority upon a Loan Party set forth on Schedule 4.17 have been paid; 

  
 3 

 (vi) satisfaction of the conditions precedent set forth in Section 3.2 of the Amended
Credit Agreement; 
 (vii) payment of (a) all reasonable fees, costs and expenses incurred in connection with the negotiation,
preparation, execution and delivery of this Amendment and any related documents, and (b) all reasonable and documented fees and expenses of Agents’ outside legal counsel in connection with the foregoing; 

(viii) No Default or Event of Default shall have occurred and be continuing; and 

(ix) such other documents, and completion of such other matters, as Agent may reasonably deem necessary or appropriate in connection with the
foregoing. 
 Section 5. ACKNOWLEDGEMENT AND CONSENT 

Each Guarantor listed on the signature pages hereof (each, a “Guarantor”) hereby acknowledges and agrees that any of the Loan
Documents to which it is a party or otherwise bound shall continue in full force and effect and that all of its obligations thereunder shall be valid and enforceable and shall not be impaired or limited by the execution or effectiveness of this
Amendment. Each Guarantor represents and warrants that all representations and warranties contained in the Amended Credit Agreement and the Transaction Documents to which it is a party or otherwise bound are true, correct and complete in all
material respects on and as of the date hereof to the same extent as though made on and as of that date, except to the extent such representations and warranties specifically relate to an earlier date, in which case they were true, correct and
complete in all material respects on and as of such earlier date. 
 Each Guarantor acknowledges and agrees that (i) notwithstanding
the conditions to effectiveness set forth in this Amendment, such Guarantor is not required by the terms of the Existing Credit Agreement or any other Loan Document to consent to the amendments to the Amended Credit Agreement effected pursuant to
this Amendment and (ii) nothing in the Amended Credit Agreement, this Amendment or any other Loan Document shall be deemed to require the consent of such Guarantor to any future amendments to the Amended Credit Agreement. 

Section 6. MISCELLANEOUS 
 A.
Reference to and Effect on the Credit Agreement and the Other Loan Documents. 
 (i) On and after the date hereof, each reference in the
Existing Credit Agreement to “this Agreement”, “hereunder”, “hereof”, “herein” or words of like import referring to the Existing Credit Agreement, and each reference in the other Loan Documents to the
“Credit Agreement”, “thereunder”, “thereof” or words of like import referring to the Existing Credit Agreement shall mean and be a reference to the Amended Credit Agreement. 

(ii) Except as specifically amended by this Amendment, the Existing Credit Agreement and the other Loan Documents shall remain in full force
and effect and are hereby ratified and confirmed. 
 (iii) The execution, delivery and performance of this Amendment shall not, except as
expressly provided herein, constitute a waiver of any provision of, or operate as a waiver of any right, power or remedy of Agents or any Lender under, the Existing Credit Agreement or any of the other Loan Documents. 

  
 4 

 (iv) This Amendment is a Loan Document. 

B. Fees and Expenses. Borrower acknowledges that all costs, fees and expenses incurred with respect to this Amendment and the
documents and transactions contemplated hereby shall be provided for as described in the Existing Credit Agreement. 
 C.
Headings. Section and subsection headings in this Amendment are included herein for convenience of reference only and shall not constitute a part of this Amendment for any other purpose or be given any substantive effect. 

D. Applicable Law. THIS AMENDMENT AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES HEREUNDER SHALL BE GOVERNED BY, AND CONSTRUED AND ENFORCED
IN ACCORDANCE WITH, THE INTERNAL LAWS OF THE STATE OF NEW YORK, WITHOUT REGARD TO CONFLICTS OF LAWS PRINCIPLES. 
 E.
Counterparts; Effectiveness. This Amendment may be executed in any number of counterparts and by different parties hereto in separate counterparts, each of which when so executed and delivered shall be deemed an original, but all such
counterparts together shall constitute but one and the same instrument; signature pages may be detached from multiple separate counterparts and attached to a single counterpart so that all signature pages are physically attached to the same
document. This Amendment shall become effective upon the execution of a counterpart hereof by Borrower, the Lenders, Guarantors and Agent and receipt by the Borrower and Agents of written notification of such execution and authorization of delivery
thereof. 
 [Remainder of page intentionally left blank] 

  
 5 

 IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be duly executed
and delivered by their respective officers thereunto duly authorized as of the date first written above. 
  

									
	 BORROWER: 
	 		 	 PARENT: 

			
	HIGH STREET CAPITAL PARTNERS, LLC	 		 	ACREAGE HOLDINGS, INC.
					
	By:	 	 /s/ Steve Goertz
	 		 	By:	 	 /s/ Steve Goertz

		 	Name: Steve Goertz	 		 		 	Name: Steve Goertz
		 	Title: Authorized Signatory	 		 		 	Title: Authorized Signatory

 GUARANTORS: 
 ACREAGE
CCF NEW JERSEY, LLC; ACREAGE CHICAGO 1, LLC; ACREAGE CONNECTICUT, LLC; ACREAGE HOLDINGS OF NJ, LLC; ACREAGE IP HOLDINGS LLC; ACREAGE NEW YORK, LLC; ACREAGE TRANSPORTATION, LLC; GREENLEAF APOTHECARIES, LLC; GREENLEAF GARDENS, LLC; GREENLEAF
THERAPEUTICS, LLC; HSC SOLUTIONS, LLC; IMPIRE STATE HOLDINGS LLC; IN GROWN FARMS, LLC; IN GROWN FARMS, LLC 2; NCC LLC; NPG, LLC; PRIME WELLNESS OF CONNECTICUT, LLC; PRIME WELLNESS OF PENNSYLVANIA, LLC; THE BOTANIST, INC.; ACREAGE CALIFORNIA HOLDING
COMPANY, LLC; CWG BOTANICALS INC.; HSRC NORCAL, LLC; ACREAGE DESERT HOT SPRINGS, LLC; ACREAGE FINANCE DELAWARE, LLC; ACREAGE MASSACHUSETTS, LLC; HSCP SERVICE COMPANY HOLDINGS, INC.; HSCP SERVICE COMPANY, LLC; SOUTH SHORE BIO PHARMA, LLC; ACREAGE
COMPASS, LLC; ACREAGE GEORGIA LLC; ACREAGE MARYLAND, LLC; NY MEDICINAL RESEARCH & CARING, LLC; MA RMD SVCS, LLC; PRIME CONSULTING GROUP, LLC; ACREAGE IP MICHIGAN, LLC; ACREAGE MICHIGAN 1, LLC; ACREAGE MICHIGAN 2, LLC; ACREAGE MICHIGAN 3,
LLC; ACREAGE MICHIGAN 4, LLC; ACREAGE MISSOURI, LLC; HSCP MISSOURI, LLC; PRIME ALTERNATIVE TREATMENT CENTER CONSULTING, LLC; ACREAGE OKLAHOMA, LLC; ACREAGE RELIEF HOLDINGS OK, LLC; 22ND AND BURN INC.; HSCP OREGON, LLC; THE FIRESTATION 23, INC.; and
ACREAGE IOWA, LLC 
  

			
	By:	 	High Street Capital Partners, LLC,
		 	a Delaware limited liability company
		
		 	their: Sole Member
		
	By:	 	 /s/ Steve Goertz

		 	Name: Steve Goertz
		 	Title: Authorized Signatory

  
 [SIGNATURE PAGE TO FIRST
AMENDMENT TO CREDIT AGREEMENT] 

 IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be duly executed
and delivered by their respective officers thereunto duly authorized as of the date first written above. 
  

									
	 GUARANTORS:
	 		 	
			
	HIGH STREET CAPITAL PARTNERS, LLC	 		 	ACREAGE HOLDINGS, INC.
					
	 By:
	 	 /s/ Steve Goertz
	 		 	By:	 	 /s/ Steve Goertz

		 	Name: Steve Goertz	 		 		 	Name: Steve Goertz
		 	Title: Authorized Signatory	 		 		 	Title: Authorized Signatory
			
	 ACREAGE IP CONNECTICUT, LLC
	 		 	 D&B WELLNESS, LLC

					
	By:	 	 /s/ Steve Goertz
	 		 	By:	 	 /s/ Steve Goertz

		 	Name: Steve Goertz	 		 		 	Name: Steve Goertz
		 	Title: Authorized Signatory	 		 		 	Title: Authorized Signatory
			
	 THAMES VALLEY APOTHECARY, LLC
	 		 	 HSCP HOLDING CORPORATION

					
	By:	 	 /s/ Steve Goertz
	 		 	By:	 	 /s/ Steve Goertz

		 	Name: Steve Goertz	 		 		 	Name: Steve Goertz
		 	Title: Authorized Signatory	 		 		 	Title: Authorized Signatory
			
	 NYCANNA, LLC
	 		 	 THE WELLNESS & PAIN MANAGEMENT CONNECTION, LLC

					
	By:	 	 /s/ Steve Goertz
	 		 	By:	 	 /s/ Steve Goertz

		 	Name: Steve Goertz	 		 		 	Name: Steve Goertz
		 	Title: Authorized Signatory	 		 		 	Title: Authorized Signatory

  
 [SIGNATURE PAGE TO FIRST
AMENDMENT TO CREDIT AGREEMENT] 

 IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be duly executed
and delivered by their respective officers thereunto duly authorized as of the date first written above. 
  

									
	 GUARANTORS:
	 		 	
			
	NCC REAL ESTATE, LLC	 		 	ACREAGE ILLINOIS 1, LLC
					
	By:	 	 /s/ Steve Goertz
	 		 	By:	 	 /s/ Steve Goertz

		 	Name: Steve Goertz	 		 		 	Name: Steve Goertz
		 	Title: Authorized Signatory	 		 		 	Title: Authorized Signatory
			
	 ACREAGE ILLINOIS 2, LLC
	 		 	 ACREAGE ILLINOIS 3, LLC

					
	By:	 	 /s/ Steve Goertz
	 		 	By:	 	 /s/ Steve Goertz

		 	Name: Steve Goertz	 		 		 	Name: Steve Goertz
		 	Title: Authorized Signatory	 		 		 	Title: Authorized Signatory
			
	 ACREAGE ILLINOIS 4, LLC
	 		 	 ACREAGE ILLINOIS 5, LLC

					
	By:	 	 /s/ Steve Goertz
	 		 	By:	 	 /s/ Steve Goertz

		 	Name: Steve Goertz	 		 		 	Name: Steve Goertz
		 	Title: Authorized Signatory	 		 		 	Title: Authorized Signatory
			
	 ACREAGE ILLINOIS 6, LLC
	 		 	 ACREAGE IP NEW YORK, LLC

					
	By:	 	 /s/ Steve Goertz
	 		 	By:	 	 /s/ Steve Goertz

		 	Name: Steve Goertz	 		 		 	Name: Steve Goertz
		 	Title: Authorized Signatory	 		 		 	Title: Authorized Signatory

  
 [SIGNATURE PAGE TO FIRST
AMENDMENT TO CREDIT AGREEMENT] 

 IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be duly executed
and delivered by their respective officers thereunto duly authorized as of the date first written above. 
  

													
	GUARANTORS:	  		  	 ACREAGE IP PENNSYLVANIA, LLC 

			
	ACREAGE IP OHIO, LLC	  		  	
					
	By:	 	 /s/ Steve Goertz
	  		  	By:	 	 /s/ Steve Goertz

		 	Name:	 	 Steve Goertz
	  	        	  		 	Name:	 	Steve Goertz
		 	Title:	 	Authorized Signatory	  		  		 	Title:	 	Authorized Signatory
			
	 ACREAGE HOLDINGS AMERICA, INC. 
	  		  	 ACREAGE HOLDINGS WC, INC. 

					
	By:	 	 /s/ Steve Goertz
	  		  	By:	 	 /s/ Steve Goertz

		 	Name:	 	Steve Goertz	  		  		 	Name:	 	Steve Goertz
		 	Title:	 	Authorized Signatory	  		  		 	Title:	 	Authorized Signatory
			
	 ACREAGE CONN. CBD, LLC 
	  		  	 ACREAGE IP CALIFORNIA, LLC 

					
	By:	 	 /s/ Steve Goertz
	  		  	By:	 	 /s/ Steve Goertz

		 	Name:	 	Steve Goertz	  		  		 	Name:	 	 Steve Goertz

		 	Title:	 	Authorized Signatory	  		  		 	Title:	 	 Authorized Signatory

			
	BRAEBURN, LLC	  		  	GRAVENSTEIN FOODS, LLC
					
	By:	 	 /s/ Steve Goertz
	  		  	By:	 	 /s/ Steve Goertz

		 	Name:	 	Steve Goertz	  		  		 	Name:	 	Steve Goertz
		 	Title:	 	Authorized Signatory	  		  		 	Title:	 	Authorized Signatory

  
 [SIGNATURE PAGE TO FIRST
AMENDMENT TO CREDIT AGREEMENT] 

 IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be duly executed
and delivered by their respective officers thereunto duly authorized as of the date first written above. 
  

													
	GUARANTORS:	  		  	 FORM FACTORY HOLDINGS, LLC 

			
	 MADE BY SCIENCE LLC 
	  		  	
					
	By:	 	 /s/ Steve Goertz
	  		  	By:	 	 /s/ Steve Goertz

		 	Name:	 	 Steve Goertz
	  	        	  		 	Name:	 	Steve Goertz
		 	Title:	 	Authorized Signatory	  		  		 	Title:	 	Authorized Signatory
			
	 ACREAGE ILLINOIS HOLDING COMPANY, LLC 
	  		  	 ACREAGE FLORIDA 1, LLC 

					
	By:	 	 /s/ Steve Goertz
	  		  	By:	 	 /s/ Steve Goertz

		 	Name:	 	Steve Goertz	  		  		 	Name:	 	Steve Goertz
		 	Title:	 	Authorized Signatory	  		  		 	Title:	 	Authorized Signatory
			
	 IOWA RELIEF, LLC 
	  		  	 ACREAGE IP MAINE, LLC 

					
	By:	 	 /s/ Steve Goertz
	  		  	By:	 	 /s/ Steve Goertz

		 	Name:	 	Steve Goertz	  		  		 	Name:	 	 Steve Goertz

		 	Title:	 	Authorized Signatory	  		  		 	Title:	 	 Authorized Signatory

					
	 ACREAGE IP MARYLAND, LLC 
	  		  		 		 	
						
	By:	 	 /s/ Steve Goertz
	  		  		 		 	
		 	Name:	 	Steve Goertz	  		  		 		 	
		 	Title:	 	Authorized Signatory	  		  		 		 	

  
 [SIGNATURE PAGE TO FIRST
AMENDMENT TO CREDIT AGREEMENT] 

 IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be duly executed
and delivered by their respective officers thereunto duly authorized as of the date first written above. 
  

													
	GUARANTORS:	 		 		 		 	
			
	ACREAGE MISSOURI, LLC	 		 	ACREAGE IP NEVADA, LLC
					
	 By:
	 	 /s/ Steve Goertz
	 		 	By:	 	 /s/ Steve Goertz

		 	 Name:
	 	Steve Goertz	 		 		 	 Name:
	 	Steve Goertz
		 	 Title:
	 	Authorized Signatory	 		 		 	 Title:
	 	Authorized Signatory
			
	ACREAGE OK HOLDINGS, LLC	 		 	ACREAGE IP OREGON, LLC
					
	By:	 	 /s/ Steve Goertz
	 		 	 By:
	 	 /s/ Steve Goertz

		 	Name:	 	Steve Goertz	 		 		 	Name:	 	Steve Goertz
		 	Title:	 	Authorized Signatory	 		 		 	Title:	 	Authorized Signatory
			
	EAST 11TH, INCORPORATED	 		 	GESUNDHEIT FOODS, LLC
					
	By:	 	 /s/ Steve Goertz
	 		 	By:	 	 /s/ Steve Goertz

		 	Name:	 	Steve Goertz	 		 		 	Name:	 	Steve Goertz
		 	Title:	 	Authorized Signatory	 		 		 	Title:	 	Authorized Signatory
			
	GRUNER APFEL LLC	 		 	GRANNY SMITH CO., LLC
					
	By:	 	 /s/ Steve Goertz
	 		 	By:	 	 /s/ Steve Goertz

		 	Name:	 	Steve Goertz	 		 		 	Name:	 	Steve Goertz
		 	Title:	 	Authorized Signatory	 		 		 	Title:	 	Authorized Signatory

  
 [SIGNATURE PAGE TO FIRST
AMENDMENT TO CREDIT AGREEMENT] 

 IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be duly executed
and delivered by their respective officers thereunto duly authorized as of the date first written above. 
 GUARANTORS: 

 

													
		 		 		  		  	ACREAGE NORTH DAKOTA, LLC
						
		 		 		  		  	By:	 	 /s/ Steve Goertz

		 		 		  	        	  		 	Name:	 	Steve Goertz
		 		 		  		  		 	Title:	 	Authorized Signatory
			
	ACREAGE IP MASSACHUSETTS, LLC	  		  	ACREAGE IP NEW JERSEY, LLC
					
	By:	 	 /s/ Steve Goertz
	  		  	By:	 	 /s/ Steve Goertz

		 	Name:	 	Steve Goertz	  		  		 	Name:	 	Steve Goertz
		 	Title:	 	Authorized Signatory	  		  		 	Title:	 	Authorized Signatory
			
	ACREAGE IP NEW JERSEY, LLC	  		  	HIGH STREET CAPITAL PARTNERS MANAGEMENT, LLC
					
	By:	 	 /s/ Steve Goertz
	  		  	By:	 	 /s/ Kevin Murphy

		 	Name:	 	Steve Goertz	  		  		 	Name:	 	Kevin Murphy
		 	Title:	 	Authorized Signatory	  		  		 	Title:	 	Majority Member

  
 [SIGNATURE PAGE TO FIRST
AMENDMENT TO CREDIT AGREEMENT] 

 IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be duly executed
and delivered by their respective officers thereunto duly authorized as of the date first written above. 
  

			
	AGENTS:
	
	AFC AGENT LLC, a Delaware limited liability company, as Administrative Agent
		
	By:	 	 /s/ Gabriel Katz

	Name: Gabriel Katz
	Title: Authorized Signatory
	
	VRT AGENT LLC, a Delaware limited liability company, as Co-Agent
		
	By:	 	 /s/ Steven Miller

	Name: Steven Miller
	Title: Chief Investment Officer
	
	LENDERS:
	
	AFC GAMMA, INC., a Maryland corporation, as a Lender
		
	By:	 	 /s/ Gabriel Katz

	Name: Gabriel Katz
	Title: Authorized Signatory
	
	AFC INSTITUTIONAL FUND LLC, a Delaware limited liability company, as a Lender
		
	By:	 	 /s/ Gabriel Katz

	Name: Gabriel Katz
	Title: Authorized Signatory
	
	VIRIDESCENT REALTY TRUST, INC., a Delaware corporation, as a Lender
		
	By:	 	 /s/ Steven Miller

	Name: Steven Miller
	Title: Chief Investment Officer

  
 [SIGNATURE PAGE TO FIRST
AMENDMENT TO CREDIT AGREEMENT] 

 Exhibit A 

 

					
	 Incremental Lender
	  	Incremental Increase Amount	 
	 AFC Gamma, Inc.
	  	$	30,000,000	 
	 AFC Institutional Fund LLC
	  	$	5,000,000	 
	 Viridescent Realty Trust, Inc.
	  	$	15,000,000	 
	 Total
	  	$	50,000,000	 

  
 Exhibit A-1 

 Exhibit B 

Conformed Credit Agreement 

  
 Exhibit B-1EX-4.1

 Exhibit 4.1 

VAXCYTE, INC. 
 [FORM
OF] WARRANT TO PURCHASE SHARES OF COMMON STOCK 
 Number of Shares: [ ] (subject to adjustment) 

 

			
	Warrant No. CS - [ ]	  	Original Issue Date: October [ ], 2022

 Vaxcyte, Inc., a Delaware corporation (the “Company”), hereby certifies that, for good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged, [ ] or its registered assigns (the “Holder”), is entitled, subject to the terms set forth below, to purchase from the Company up to a total of [ ] shares
of common stock, $0.001 par value per share (“Common Stock”), of the Company (each such share, a “Warrant Share” and all such shares, the “Warrant Shares”) at an exercise price per share equal to
$0.001 per share (as adjusted from time to time as provided in Section 9 herein, the “Exercise Price”) upon surrender of this Warrant to Purchase Shares of Common Stock (including any Warrants to Purchase Shares of Common Stock
issued in exchange, transfer or replacement hereof, the “Warrant”) at any time and from time to time on or after the date hereof (the “Original Issue Date”) and, subject to the following terms and conditions: 

1. Definitions. For purposes of this Warrant, the following terms shall have the following meanings: 

(a) “Affiliate” means any Person directly or indirectly controlled by, controlling or under common control with, a Holder, as such terms are
used in and construed under Rule 405 under the Securities Act, but only for so long as such control shall continue. For purposes of this definition, “control” (including, with correlative meanings, “controlled by,”
“controlling” and “under common control with”) means, with respect to a Person, possession, direct or indirect, of (a) the power to direct or cause direction of the management and policies of such Person (whether through
ownership of securities or partnership or other ownership interests, by contract or otherwise), or (b) at least 50% of the voting securities (whether directly or pursuant to any option, warrant, or other similar arrangement) or other comparable
equity interests. 
 (b) “Commission” means the United States Securities and Exchange Commission. 

(c) “Marketable Securities” means securities meeting all of the following requirements: (i) the issuer thereof is then subject to the
reporting requirements of Section 13 or Section 15(d) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and is then current in its filing of all required reports and other information under the
Securities Act and the Exchange Act; (ii) the class and series of shares or other security of the issuer that would be received by Holder in connection with the Fundamental Transaction (as defined below) were Holder to exercise this Warrant on
or prior to the closing thereof is then traded or quoted on a nationally recognized securities exchange, inter-dealer quotation system or over-the-counter market, and
(iii) following the closing of such Fundamental Transaction, the Holder would not be restricted from publicly re-selling all of the issuer’s shares and/or other securities that would be received by
the Holder in such Fundamental Transaction were the Holder to exercise or convert this Warrant in full on or prior to the closing of such Fundamental Transaction, except to the extent that any such restriction (x) arises solely under federal or
state securities laws, rules or regulations, and (y) does not extend beyond six (6) months from the closing of such Fundamental Transaction. 

(d) “Principal Trading Market” means the national securities exchange or other trading market on which the shares of Common Stock are
primarily listed on and quoted for trading, which, as of the Original Issue Date, shall be the Nasdaq Global Select Market. 
 (e) “Registration
Statement” means the Company’s Registration Statement on Form S-3 (File No. 333-257622), that automatically became effective on July 2, 2021.

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

  
 1 

 (g) “Trading Day” means any weekday on which the Principal Trading Market is open for
trading. If the shares of Common Stock are not listed or admitted for trading, “Trading Day” means any day except any Saturday, any Sunday, any day which is a federal legal holiday in the United States or any day on which banking
institutions in New York City are authorized or required by law or other governmental action to close. 
 (h) “Transfer Agent” means
American Stock Transfer & Trust Company, LLC, the Company’s transfer agent and registrar for the Common Stock, and any successor appointed in such capacity. 

(i) “VWAP” means, for any date, the price determined by the first of the following clauses that applies: (i) if the Common Stock is then
listed or quoted on a national securities exchange or other trading market, the daily volume weighted average price of the Common Stock for such date (or the nearest preceding date) on the Principal Trading Market as reported by Bloomberg L.P.
(based on a Trading Day from 9:30 a.m. (New York City time) to 4:02 p.m. (New York City time)), (ii) if the Common Stock is then listed or quoted for trading and neither OTCQB nor OTCQX is the Principal Trading Market, the volume weighted average
price of the Common Stock for such date (or the nearest preceding date) on OTCQB or OTCQX, as applicable, (iii) if the Common Stock is not then listed or quoted for trading on OTCQB or OTCQX and if prices for the Common Stock are then reported
in the “Pink Sheets” published by OTC Markets Group, Inc. (or a similar organization or agency succeeding to its functions of reporting prices), the most recent bid price per share of the Common Stock so reported, or (iv) in all other
cases, the fair market value of a share of Common Stock as determined by an independent appraiser selected in good faith by the Holder and reasonably acceptable to the Company, the fees and expenses of which shall be paid by the Company 

2. Issuance of Securities; Registration of Warrants. The Warrant, as initially issued by the Company, is offered and sold pursuant to the Registration
Statement. As of the Original Issue Date, the Warrant Shares are issuable under the Registration Statement. Accordingly, the Warrant and, assuming issuance pursuant to the Registration Statement or an exchange meeting the requirements of
Section 3(a)(9) of the Exchange Act as in effect on the Original Issue Date, the Warrant Shares, are not “restricted securities” under Rule 144 promulgated under the Securities Act. The Company shall register ownership of this
Warrant, upon records to be maintained by the Company for that purpose (the “Warrant Register”), in the name of the record Holder (which shall include the initial Holder or, as the case may be, any assignee to which this Warrant is
assigned hereunder) from time to time. The Company may deem and treat the registered Holder of this Warrant as the absolute owner hereof for the purpose of any exercise hereof or any distribution to the Holder, and for all other purposes, absent
actual notice to the contrary. 
 3. Registration of Transfers. Subject to compliance with all applicable securities laws, the Company shall, or will
cause its Transfer Agent to, register the transfer of all or any portion of this Warrant in the Warrant Register, upon surrender of this Warrant, and payment for all applicable transfer taxes (if any). Upon any such registration or transfer, a new
warrant to purchase shares of Common Stock in substantially the form of this Warrant (any such new warrant, a “New Warrant”) evidencing the portion of this Warrant so transferred shall be issued to the transferee, and a New Warrant
evidencing the remaining portion of this Warrant not so transferred, if any, shall be issued to the transferring Holder. The acceptance of the New Warrant by the transferee thereof shall be deemed the acceptance by such transferee of all of the
rights and obligations in respect of the New Warrant that the Holder has in respect of this Warrant. The Company shall, or will cause its Transfer Agent to, prepare, issue and deliver at the Company’s own expense any New Warrant under this
Section 3. Until due presentment for registration of transfer, the Company may treat the registered Holder hereof as the owner and holder for all purposes, and the Company shall not be affected by any notice to the contrary. 

4. Exercise and Duration of Warrants. 
 (a) All or any
part of this Warrant shall be exercisable by the registered Holder in the manner set forth in Section 10 at any time and from time to time on or after the Original Issue Date. 

  
 2 

 (b) The Holder may exercise this Warrant by delivering to the Company (i) an exercise notice, in the
form attached as Schedule 1 hereto (the “Exercise Notice”), completed and duly signed, and (ii) payment of the Exercise Price for the number of Warrant Shares as to which this Warrant is being exercised (which may take the form
of a “cashless exercise” if so indicated in the Exercise Notice pursuant to Section 10 below), and the date on which the last of such items is delivered to the Company (as determined in accordance with the notice provisions hereof) is
an “Exercise Date.” The Holder shall not be required to deliver the original Warrant in order to effect an exercise hereunder. Execution and delivery of the Exercise Notice shall have the same effect as cancellation of the original
Warrant and issuance of a New Warrant evidencing the right to purchase the remaining number of Warrant Shares, if any. The Holder and any assignee, by acceptance of this Warrant, acknowledge and agree that, by reason of the provisions of this
paragraph, following the purchase of a portion of the Warrant Shares hereunder, the number of Warrant Shares available for purchase hereunder at any given time may be less than the amount stated on the face hereof. 

5. Delivery of Warrant Shares. 
 (a) Upon exercise of
this Warrant, the Company shall promptly (but in no event later than three (3) Trading Days after the Exercise Date), upon the request of the Holder, credit such aggregate number of shares of Common Stock to which the Holder is entitled
pursuant to such exercise to the Holder’s or its designee’s balance account with The Depository Trust Company (“DTC”) through its Deposit Withdrawal Agent Commission system, or if the Transfer Agent is not participating in
the Fast Automated Securities Transfer Program (the “FAST Program”), issue and dispatch by overnight courier to the address as specified in the Exercise Notice, a certificate, registered in the Company’s share register in the
name of the Holder or its designee, for the number of shares of Common Stock to which the Holder is entitled pursuant to such exercise. The Holder, or any natural person or legal entity (each, a “Person”) so designated by the Holder
to receive Warrant Shares, shall be deemed to have become the holder of record of such Warrant Shares as of the Exercise Date, irrespective of the date such Warrant Shares are credited to the Holder’s DTC account or the date of delivery of the
certificates evidencing such Warrant Shares, as the case may be. 
 (b) If by the close of the third (3rd) Trading Day after the Exercise Date, the Company
fails to deliver to the Holder a certificate representing the required number of Warrant Shares in the manner required pursuant to Section 5(a) or fails to credit the Holder’s DTC account for such number of Warrant
Shares to which the Holder is entitled, and if after such third (3rd) Trading Day and prior to the receipt of such Warrant Shares, the Holder purchases (in an open market transaction, provided such purchases shall be made in a commercially
reasonable manner at prevailing market prices) shares of Common Stock to deliver in satisfaction of a sale by the Holder of the Warrant Shares which the Holder anticipated receiving upon such exercise (a
“Buy-In”), then the Company shall, within two (2) Trading Days after the Holder’s request, in the Holder’s sole discretion, either (i) pay cash to the Holder in an amount
equal to the Holder’s total purchase price (including commercially reasonable brokerage commissions, if any) for the shares of Common Stock so purchased, at which point the Company’s obligation to deliver such Warrant Shares shall
terminate, or (ii) (A) pay in cash to the Holder the amount, if any, by which (1) the Holder’s total purchase price (including commercially reasonable brokerage commissions, if any) for the shares of Common Stock purchased in the Buy-In exceeds (2) the product of (x) the number of Warrant Shares that the Company was required to deliver to the Holder in connection with the exercise at issue, times (y) the price at which the
sell order giving rise to such purchase obligation was executed (assuming such sale was executed on commercially reasonable terms at prevailing market prices and, if the sale was executed in multiple transactions, the volume weighted average price),
and (B) at the option of the Holder, either (1) reinstate the portion of the Warrant and equivalent number of Warrant Shares for which such exercise was not honored (in which case such exercise shall be deemed rescinded) or
(2) deliver to the Holder the number of shares of Common Stock that would have been issued had the Company timely complied with its exercise and delivery obligations hereunder. The provisions of this Section 5(b) shall be the only remedy
available to the Holder in the event the Company fails to deliver to the Holder the required number of Warrant Shares in the manner required pursuant to Section 5(a) and a Buy-In occurs. Irrespective of
whether there is a Buy-In, no remedy shall be available, notwithstanding the requirements of Section 5(a), unless and until the Company fails to deliver to the Holder the required number of Warrant Shares
by the close of the third Trading Day after the Exercise Date. 

  
 3 

 (c) To the extent permitted by law and subject to Section 5(b), the Company’s obligations to issue
and deliver Warrant Shares in accordance with and subject to the terms hereof (including the limitations set forth in Section 11 below) are absolute and unconditional, irrespective of any action or inaction by the Holder to enforce the same,
any waiver or consent with respect to any provision hereof, the recovery of any judgment against any Person or any action to enforce the same, or any setoff, counterclaim, recoupment, limitation or termination, or any breach or alleged breach by the
Holder or any other Person of any obligation to the Company or any violation or alleged violation of law by the Holder or any other Person, and irrespective of any other circumstance that might otherwise limit such obligation of the Company to the
Holder in connection with the issuance of Warrant Shares. Subject to Section 5(b), nothing herein shall limit the Holder’s right to pursue any other remedies available to it hereunder, at law or in equity including, without limitation, a
decree of specific performance and/or injunctive relief with respect to the Company’s failure to timely deliver certificates representing shares of Common Stock upon exercise of the Warrant as required pursuant to the terms hereof. 

6. Charges, Taxes and Expenses. Issuance and delivery of certificates for shares of Common Stock upon exercise of this Warrant shall be made without
charge to the Holder for any issue or transfer tax, transfer agent fee or other incidental tax or expense (excluding any applicable stamp duties) in respect of the issuance of such certificates, all of which taxes and expenses shall be paid by the
Company; provided, however, that the Company shall not be required to pay any tax that may be payable in respect of any transfer involved in the registration of any certificates for Warrant Shares or the Warrants in a name other than
that of the Holder or an Affiliate thereof. The Holder shall be responsible for all other tax liability that may arise as a result of holding or transferring this Warrant or receiving Warrant Shares upon exercise hereof. 

7. Replacement of Warrant. If this Warrant is mutilated, lost, stolen or destroyed, the Company shall issue or cause to be issued in exchange and
substitution for and upon cancellation hereof, or in lieu of and substitution for this Warrant, a New Warrant, but only upon receipt of evidence reasonably satisfactory to the Company of such loss, theft or destruction (in such case) and, in each
case, a customary and reasonable indemnity and surety bond, if requested by the Company. Applicants for a New Warrant under such circumstances shall also comply with such other reasonable regulations and procedures and pay such other reasonable
third-party costs as the Company may prescribe. If a New Warrant is requested as a result of a mutilation of this Warrant, then the Holder shall deliver such mutilated Warrant to the Company as a condition precedent to the Company’s obligation
to issue the New Warrant. 
 8. Reservation of Warrant Shares. The Company covenants that it will, at all times while this Warrant is issued and
outstanding, reserve and keep available out of the aggregate of its authorized but unissued and otherwise unreserved shares of Common Stock, solely for the purpose of enabling it to issue Warrant Shares upon exercise of this Warrant as herein
provided, the number of Warrant Shares that are initially issuable and deliverable upon the exercise of this entire Warrant, free from preemptive rights or any other contingent purchase rights of persons other than the Holder (taking into account
the adjustments and restrictions of Section 9). The Company covenants that all Warrant Shares so issuable and deliverable shall, upon issuance and the payment of the applicable Exercise Price in accordance with the terms hereof, be duly and
validly authorized, issued and fully paid and non-assessable. The Company will take all such action as may be reasonably necessary to assure that such shares of Common Stock may be issued as provided herein
without violation of any applicable law or regulation, or of any requirements of any securities exchange or automated quotation system upon which the shares of Common Stock may be listed. The Company further covenants that it will not, without the
prior written consent of the Holder, take any actions to increase the par value of the shares of Common Stock at any time while this Warrant is issued and outstanding. 

9. Certain Adjustments. The Exercise Price and number of Warrant Shares issuable upon exercise of this Warrant are subject to adjustment from time to
time as set forth in this Section 9. 
 (a) Stock Dividends and Splits. If the Company, at any time while this Warrant is issued and
outstanding, (i) pays a stock dividend on its shares of Common Stock or otherwise makes a distribution on any class of capital shares issued and outstanding on the Original Issue Date and in accordance with the terms of such stock on the
Original Issue Date or as amended, as described in the Registration Statement, that is payable in shares of Common Stock, 

  
 4 

 
(ii) subdivides its issued and outstanding shares of Common Stock into a larger number of shares of Common Stock, (iii) combines its issued and outstanding shares of Common Stock into a
smaller number of shares of Common Stock or (iv) issues by reclassification of capital shares any additional shares of Common Stock of the Company, then in each such case the Exercise Price shall be multiplied by a fraction, the numerator of
which shall be the number of shares of Common Stock issued and outstanding immediately before such event and the denominator of which shall be the number of shares of Common Stock issued and outstanding immediately after such event. Any adjustment
made pursuant to clause (i) of this paragraph shall become effective immediately after the record date for the determination of stockholders entitled to receive such dividend or distribution, provided, however, that if such record date shall
have been fixed and such dividend is not fully paid on the date fixed therefor, the Exercise Price shall be recomputed accordingly as of the close of business on such record date and thereafter the Exercise Price shall be adjusted pursuant to this
paragraph as of the time of actual payment of such dividends. Any adjustment pursuant to clause (ii) or (iii) of this paragraph shall become effective immediately after the effective date of such subdivision or combination. 

(b) Pro Rata Distributions. If the Company, at any time while this Warrant is issued and outstanding, distributes to all holders of shares of Common
Stock for no consideration (i) evidences of its indebtedness, (ii) any security (other than a distribution of shares of Common Stock covered by the preceding paragraph), (iii) rights or warrants to subscribe for or purchase any security,
or (iv) cash or any other asset (in each case, “Distributed Property”), then, upon any exercise of this Warrant that occurs after the record date fixed for determination of stockholders entitled to receive such distribution,
the Holder shall be entitled to receive, in addition to the Warrant Shares otherwise issuable upon such exercise (if applicable), the Distributed Property that such Holder would have been entitled to receive in respect of such number of Warrant
Shares had the Holder been the record holder of such Warrant Shares immediately prior to such record date without regard to any limitation on exercise contained therein. 

(c) Fundamental Transactions. If, at any time while this Warrant is issued and outstanding (i) the Company effects any merger or consolidation of
the Company with or into another Person, in which the Company is not the surviving entity and in which the stockholders of the Company immediately prior to such merger or consolidation do not own, directly or indirectly, at least 50% of the voting
power of the surviving entity immediately after such merger or consolidation, (ii) the Company effects any sale to another Person of all or substantially all of its assets in one transaction or a series of related transactions,
(iii) pursuant to any tender offer or exchange offer (whether by the Company or another Person), holders of capital stock tender shares representing more than 50% of the voting power of the capital stock of the Company and the Company or such
other Person, as applicable, accepts such tender for payment, (iv) the Company consummates a share purchase agreement or other business combination (including, without limitation, a reorganization, recapitalization, spin-off or scheme of arrangement) with another Person whereby such other Person acquires more than the 50% of the voting power of the capital stock of the Company (except for any such transaction in which the
stockholders of the Company immediately prior to such transaction maintain, in substantially the same proportions, the voting power of such Person immediately after the transaction) or (v) the Company effects any reclassification of the shares
of Common Stock or any compulsory share exchange pursuant to which the shares of Common Stock are effectively converted into or exchanged for other securities, cash or property (other than as a result of a subdivision or combination of shares of
Common Stock covered by Section 9(a) above) (in any such case, a “Fundamental Transaction”), then following such Fundamental Transaction the Holder shall have the right to receive, upon exercise of this Warrant, the same amount
and kind of securities, cash or property as it would have been entitled to receive upon the occurrence of such Fundamental Transaction if it had been, immediately prior to such Fundamental Transaction, the holder of the number of Warrant Shares then
issuable upon exercise in full of this Warrant without regard to any limitations on exercise contained herein (the “Alternate Consideration”). The Company shall not effect any Fundamental Transaction in which the Company is not the
surviving entity or the Alternate Consideration includes securities of another Person unless (i) the Alternate Consideration is solely cash and the Company provides for the simultaneous “cashless exercise” of this Warrant pursuant to
Section 10 below or (ii) prior to, simultaneously with or promptly following the consummation thereof, any successor to the Company, surviving entity or other Person (including any purchaser of assets of the Company) shall assume the
obligation to deliver to the Holder such Alternate Consideration as, in accordance with the foregoing provisions, the Holder may be 

  
 5 

 
entitled to receive, and the other obligations under this Warrant. The provisions of this paragraph (c) shall similarly apply to subsequent transactions analogous of a Fundamental
Transaction type. Notwithstanding the foregoing, in the event of a Fundamental Transaction where the consideration payable to holders of shares of Common Stock consists solely of cash, solely of Marketable Securities or a combination of cash and
Marketable Securities, then this Warrant shall automatically be deemed to be exercised in full in a “cashless exercise” pursuant to Section 10 below effective immediately prior to and contingent upon the consummation of such
Fundamental Transaction. 
 (d) Number of Warrant Shares. Simultaneously with any adjustment to the Exercise Price pursuant to Section 9
(including any adjustment to the Exercise Price that would have been effected but for the final sentence in this paragraph (d)), the number of Warrant Shares that may be purchased upon exercise of this Warrant shall be increased or decreased
proportionately, so that after such adjustment the aggregate Exercise Price payable hereunder for the increased or decreased number of Warrant Shares shall be the same as the aggregate Exercise Price in effect immediately prior to such adjustment.
Notwithstanding the foregoing, in no event may the Exercise Price be adjusted below the par value of the shares of Common Stock then in effect. 
 (e)
Calculations. All calculations under this Section 9 shall be made to the nearest one-millionth of one cent or the nearest share, as applicable. 

(f) Notice of Adjustments. Upon the occurrence of each adjustment pursuant to this Section 9, the Company at its expense will, at the written
request of the Holder, promptly compute such adjustment, in good faith, in accordance with the terms of this Warrant and prepare a certificate setting forth such adjustment, including a statement of the adjusted Exercise Price and adjusted number or
type of Warrant Shares or other securities issuable upon exercise of this Warrant (as applicable), describing the transactions giving rise to such adjustments and showing in detail the facts upon which such adjustment is based. Upon written request,
the Company will promptly deliver a copy of each such certificate to the Holder and to the Company’s transfer agent. 
 (g) Notice of Corporate
Events. If, while this Warrant is issued and outstanding, the Company (i) declares a dividend or any other distribution of cash, securities or other property in respect of its shares of Common Stock, including, without limitation, any
granting of rights or warrants to subscribe for or purchase any capital stock of the Company or any subsidiary, (ii) authorizes or approves, enters into any agreement contemplating or solicits stockholder approval for any Fundamental
Transaction or (iii) authorizes the voluntary dissolution, liquidation or winding up of the affairs of the Company, then, except if such notice and the contents thereof shall be deemed to constitute material
non-public information, the Company shall deliver to the Holder a notice of such transaction at least ten (10) days prior to the applicable record or effective date on which a Person would need to hold
shares of Common Stock in order to participate in or vote with respect to such transaction; provided, however, that the failure to deliver such notice or any defect therein shall not affect the validity of the corporate action required to be
described in such notice. In addition, if while this Warrant is issued and outstanding, the Company authorizes or approves, enters into any agreement contemplating or solicits stockholder approval for any Fundamental Transaction contemplated by
Section 9(c), other than a Fundamental Transaction under clause (iii) of Section 9(c), then, except if such notice and the contents thereof shall be deemed to constitute material non-public
information, the Company shall deliver to the Holder a notice of such Fundamental Transaction at least ten (10) days prior to the date such Fundamental Transaction is consummated. 

10. Payment of Cashless Exercise Price. Notwithstanding anything contained herein to the contrary, the Holder may, in its sole discretion,
satisfy its obligation to pay the Exercise Price through a “ cashless exercise”, in which event the Company shall issue to the Holder the number of Warrant Shares in an exchange of securities effected pursuant to Section 3(a)(9) of
the Securities Act as determined as follows: 
 X = Y [(A-B)/A] 

where: 
 “X” equals the number of Warrant Shares to be
issued to the Holder; 

  
 6 

 “Y” equals the total number of Warrant Shares with respect to which this Warrant is then being
exercised; 
 “A” equals the last VWAP immediately preceding the time of delivery of the Exercise Notice giving rise to the applicable
“cashless exercise”, as set forth in the applicable Exercise Notice (to clarify, the “last VWAP” will be the last VWAP as calculated over an entire Trading Day such that, in the event that this Warrant is exercised at a time that
the Trading Market is open, the prior Trading Day’s VWAP shall be used in this calculation); and 
 “B” equals the Exercise Price per Warrant
Share then in effect on the Exercise Date. 
 For purposes of Rule 144 promulgated under the Securities Act, it is intended, understood and acknowledged
that the Warrant Shares issued in such a “cashless exercise” transaction shall be deemed to have been acquired by the Holder, and the holding period for the Warrant Shares shall be deemed to have commenced, on the date this Warrant was
originally issued (provided that the Commission continues to take the position that such treatment is proper at the time of such exercise). 
 Except as set
forth in Section 12 (payment of cash in lieu of fractional shares), in no event will the exercise of this Warrant be settled in cash. 
 11.
Limitations on Exercise. 
 (a) Notwithstanding anything to the contrary contained herein, the Company shall not effect any exercise of this Warrant,
and the Holder shall not be entitled to exercise this Warrant for a number of Warrant Shares in excess of that number of Warrant Shares which, upon giving effect or immediately prior to such exercise, would cause (i) the aggregate number of
shares of Common Stock beneficially owned by the Holder, its Affiliates and any other Persons whose beneficial ownership of shares of Common Stock would be aggregated with the Holder’s for purposes of Section 13(d) of the Exchange Act
(such as any other members of a Section 13(d) “group”) to exceed [4.99][9.99]% (the “Maximum Percentage”) of the total number of issued and outstanding shares of Common Stock of the Company following such exercise, or
(ii) the combined voting power of the securities of the Company beneficially owned by the Holder and its Affiliates and any other Persons whose beneficial ownership of shares of Common Stock would be aggregated with the Holder’s for
purposes of Section 13(d) of the Exchange Act (such as any other members of a Section 13(d) “group”) to exceed [4.99][9.99]% of the combined voting power of all of the securities of the Company then outstanding following such
exercise. For purposes of this Warrant, in determining the number of outstanding shares of Common Stock, the Holder may rely on the number of outstanding shares of Common Stock as reflected in (x) the Company’s most recent Form 10-Q or Form 10-K, as the case may be, filed with the Commission prior to the date hereof, (y) a more recent public announcement by the Company or (z) any other
notice by the Company or its transfer agent setting forth the number of shares of Common Stock outstanding. Upon the written request of the Holder, the Company shall within three (3) Trading Days confirm in writing or by electronic mail to the
Holder the number of shares of Common Stock then outstanding. In any case, the number of outstanding shares of Common Stock shall be determined after giving effect to the conversion or exercise of securities of the Company, including this Warrant,
by the Holder since the date as of which such number of outstanding shares of Common Stock was reported. By written notice to the Company, the Holder may from time to time increase or decrease the Maximum Percentage to any other percentage specified
not in excess of 19.99% specified in such notice; provided that any such increase will not be effective until the sixty-first (61st) day after such notice is delivered to the Company. For purposes
of this Section 11(a), the aggregate number of shares of Common Stock or voting securities beneficially owned by the Holder and its Affiliates and any other Persons whose beneficial ownership of shares of Common Stock would be aggregated with
the Holder’s for purposes of Section 13(d) of the Exchange Act (such as any other members of a Section 13(d) “group”) shall include the shares of Common Stock issuable upon the exercise of this Warrant with respect to which
such determination is being made, but shall exclude the number of shares of Common Stock which would be issuable upon (x) exercise of the remaining unexercised and non-cancelled portion of this Warrant by
the Holder and (y) exercise or conversion of the unexercised, non-converted or non-cancelled portion of any other securities of the Company that do not have voting
power (including without limitation any securities of the Company which would entitle the holder thereof to acquire at any time shares of Common Stock, including 

  
 7 

 
without limitation any debt, preferred stock, right, option, warrant or other instrument that is at any time convertible into or exercisable or exchangeable for, or otherwise entitles the holder
thereof to receive, shares of Common Stock), is subject to a limitation on conversion or exercise analogous to the limitation contained herein and is beneficially owned by the Holder or any of its Affiliates and other Persons whose beneficial
ownership of shares of Common Stock would be aggregated with the Holder’s for purposes of Section 13(d) of the Exchange Act (such as any other members of a Section 13(d) “group”). 

(b) This Section 11 shall not restrict the number of shares of Common Stock which a Holder may receive or beneficially own in order to determine the
amount of securities or other consideration that such Holder may receive in the event of a Fundamental Transaction as contemplated in Section 9(c) of this Warrant. 

12. No Fractional Shares. No fractional Warrant Shares will be issued in connection with any exercise of this Warrant. In lieu of any fractional shares
that would otherwise be issuable, the number of Warrant Shares to be issued shall be rounded down to the next whole number and the Company shall pay the Holder in cash the fair market value (based on the last VWAP immediately preceding the time of
delivery of the applicable Exercise Notice) for any such fractional shares. 
 13. Notices. Any and all notices or other communications or deliveries
hereunder (including, without limitation, any Exercise Notice) shall be in writing and shall be deemed given and effective on the earliest of (i) the date of transmission, if such notice or communication is delivered via confirmed e-mail prior to 5:30 P.M., New York City time, on a Trading Day, (ii) the next Trading Day after the date of transmission, if such notice or communication is delivered via confirmed e-mail on a day that is not a Trading Day or later than 5:30 P.M., New York City time, on any Trading Day, (iii) the Trading Day following the date of mailing, if sent by nationally recognized overnight courier
service specifying next business day delivery, or (iv) upon actual receipt by the Person to whom such notice is required to be given, if by hand delivery. The addresses and e-mail addresses for such
communications shall be: 
 If to the Company: 
 Vaxcyte, Inc.

 825 Industrial Road 
 Suite 300 

San Carlos, California 94070 
 with copies to: 

Cooley LLP 
 3175 Hanover Street 

Palo Alto, California 94304 
 Facsimile: (650) 849-7400 
 Attention: Mark B. Weeks 

John T. McKenna 
 If to the
Holder, to its address or e-mail address set forth herein or on the books and records of the Company. 
 Or, in each
of the above instances, to such other address or e-mail address as the recipient party has specified by written notice given to each other party at least five (5) days prior to the effectiveness of such
change. 
 14. Warrant Agent. The Company shall initially serve as warrant agent under this Warrant. Upon ten (10) days’ notice to the
Holder, the Company may appoint a new warrant agent. Any corporation into which the Company or any new warrant agent may be merged or any corporation resulting from any consolidation to which the Company or any new warrant agent shall be a party or
any corporation to which the Company or any new warrant agent transfers substantially all of its corporate trust or stockholders services business shall be a successor warrant agent under this Warrant without any further act. Any such successor
warrant agent shall promptly cause notice of its succession as warrant agent to be mailed (by first class mail, postage prepaid) to the Holder at the Holder’s last address as shown on the Warrant Register. 

  
 8 

 15. Miscellaneous. 

(a) No Rights as a Stockholder. The Holder, solely in such Person’s capacity as a holder of this Warrant, shall not be entitled to vote or receive
dividends or be deemed the holder of capital stock of the Company for any purpose, nor shall anything contained in this Warrant be construed to confer upon the Holder, solely in such Person’s capacity as the Holder of this Warrant, any of the
rights of a stockholder of the Company or any right to vote, give or withhold consent to any corporate action (whether any reorganization, issue of stock, reclassification of stock, consolidation, merger, amalgamation, conveyance or otherwise),
receive notice of meetings, receive dividends or subscription rights, or otherwise, prior to the issuance to the Holder of the Warrant Shares which such Person is then entitled to receive upon the due exercise of this Warrant. In addition, nothing
contained in this Warrant shall be construed as imposing any liabilities on the Holder to purchase any securities (upon exercise of this Warrant or otherwise) or as a stockholder of the Company, whether such liabilities are asserted by the Company
or by creditors of the Company. 
 (b) Authorized Shares. Except and to the extent as waived or consented to by the Holder, the Company shall not by
any action, including, without limitation, amending its certificate or articles of incorporation or through any reorganization, transfer of assets, consolidation, merger, amalgamation, dissolution, issue or sale of securities or any other voluntary
action, avoid or seek to avoid the observance or performance of any of the terms of this Warrant, but will at all times in good faith assist in the carrying out of all such terms and in the taking of all such actions as may be necessary or
appropriate to protect the rights of Holder as set forth in this Warrant against impairment. Without limiting the generality of the foregoing, the Company will (i) not increase the par value of any Warrant Shares above the amount payable
therefor upon such exercise immediately prior to such increase in par value, (ii) take all such action as may be necessary or appropriate in order that the Company may validly and legally issue fully paid and
non-assessable Warrant Shares upon the exercise of this Warrant, and (iii) use commercially reasonable efforts to obtain all such authorizations, exemptions or consents from any public regulatory body
having jurisdiction thereof as may be necessary to enable the Company to perform its obligations under this Warrant. 
 (c) Successors and Assigns.
Subject to compliance with applicable securities laws, this Warrant may be assigned by the Holder. This Warrant may not be assigned by the Company without the written consent of the Holder, except to a successor in the event of a Fundamental
Transaction in which this Warrant is not automatically “cashless exercised”. This Warrant shall be binding on and inure to the benefit of the Company and the Holder and their respective successors and assigns. Subject to the preceding
sentence, nothing in this Warrant shall be construed to give to any Person other than the Company and the Holder any legal or equitable right, remedy or cause of action under this Warrant. This Warrant may be amended only in writing signed by the
Company and the Holder, or their successors and assigns. 
 (d) Amendment and Waiver. Except as otherwise provided herein, this Warrant may be
modified or amended or the provisions hereof waived with the written consent of the Company and the Holder. 
 (e) Acceptance. Receipt of this
Warrant by the Holder shall constitute acceptance of and agreement to all of the terms and conditions contained herein. 
 (f) Governing Law;
Jurisdiction. ALL QUESTIONS CONCERNING THE CONSTRUCTION, VALIDITY, ENFORCEMENT AND INTERPRETATION OF THIS WARRANT SHALL BE GOVERNED BY AND CONSTRUED AND ENFORCED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK WITHOUT REGARD TO THE
PRINCIPLES OF CONFLICTS OF LAW THEREOF. EACH OF THE COMPANY AND THE HOLDER HEREBY IRREVOCABLY SUBMITS TO THE EXCLUSIVE JURISDICTION OF THE STATE AND FEDERAL COURTS SITTING IN THE CITY OF NEW YORK, 

  
 9 

 
BOROUGH OF MANHATTAN, FOR THE ADJUDICATION OF ANY DISPUTE HEREUNDER OR IN CONNECTION HEREWITH OR WITH ANY TRANSACTION CONTEMPLATED HEREBY OR DISCUSSED HEREIN (INCLUDING WITH RESPECT TO THE
ENFORCEMENT OF ANY OF THE TRANSACTION DOCUMENTS), AND HEREBY IRREVOCABLY WAIVES, AND AGREES NOT TO ASSERT IN ANY SUIT, ACTION OR PROCEEDING, ANY CLAIM THAT IT IS NOT PERSONALLY SUBJECT TO THE JURISDICTION OF ANY SUCH COURT. EACH OF THE COMPANY AND
THE HOLDER HEREBY IRREVOCABLY WAIVES PERSONAL SERVICE OF PROCESS AND CONSENTS TO PROCESS BEING SERVED IN ANY SUCH SUIT, ACTION OR PROCEEDING BY MAILING A COPY THEREOF VIA REGISTERED OR CERTIFIED MAIL OR OVERNIGHT DELIVERY (WITH EVIDENCE OF DELIVERY)
TO SUCH PERSON AT THE ADDRESS IN EFFECT FOR NOTICES TO IT AND AGREES THAT SUCH SERVICE SHALL CONSTITUTE GOOD AND SUFFICIENT SERVICE OF PROCESS AND NOTICE THEREOF. NOTHING CONTAINED HEREIN SHALL BE DEEMED TO LIMIT IN ANY WAY ANY RIGHT TO SERVE
PROCESS IN ANY MANNER PERMITTED BY LAW. EACH OF THE COMPANY AND THE HOLDER HEREBY WAIVES ALL RIGHTS TO A TRIAL BY JURY. 
 (g) Headings. The headings
herein are for convenience only, do not constitute a part of this Warrant and shall not be deemed to limit or affect any of the provisions hereof. 
 (h)
Severability. In case any one or more of the provisions of this Warrant shall be invalid or unenforceable in any respect, the validity and enforceability of the remaining terms and provisions of this Warrant shall not in any way be affected
or impaired thereby, and the Company and the Holder will attempt in good faith to agree upon a valid and enforceable provision which shall be a commercially reasonable substitute therefor, and upon so agreeing, shall incorporate such substitute
provision in this Warrant. 
 [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 

  
 10 

 IN WITNESS WHEREOF, the Company has caused this Warrant to be duly executed by its authorized officer as of
the date first indicated above. 
  

					
	VAXCYTE, INC.
		
	By:	 	  

		 	Name:	 	Andrew Guggenhime
		 	Title:	 	President and Chief Financial Officer

  
 11 

 SCHEDULE 1 

FORM OF EXERCISE NOTICE 

[To be executed by the Holder to purchase shares of Common Stock under the Warrant] 

Ladies and Gentlemen: 
 (1) The undersigned is the Holder of
Warrant No. ___ (the “Warrant”) issued by Vaxcyte, Inc., a Delaware corporation (the “Company”). Capitalized terms used herein and not otherwise defined herein have the respective meanings set forth in the Warrant. 

(2) The undersigned hereby exercises its right to purchase ___________ Warrant Shares pursuant to the Warrant. 

(3) The Holder intends that payment of the Exercise Price shall be made as (check one): 

 

	 	☐	 Cash Exercise 

  

	 	☐	 “Cashless Exercise” under Section 10 of the Warrant 

(4) Pursuant to this Exercise Notice, the Company shall deliver to the Holder Warrant Shares determined in accordance with the terms of the Warrant. The
Warrant Shares shall be delivered to the following DWAC Account Number: 
 (5) By its delivery of this Exercise Notice, the undersigned represents and
warrants to the Company that in giving effect to the exercise evidenced hereby the Holder will not beneficially own in excess of the number of shares of Common Stock (as determined in accordance with Section 13(d) of the Securities Exchange Act
of 1934, as amended) permitted to be owned under Section 11(a) of the Warrant to which this notice relates. 
  

			
	Dated:	 	  

		
	Name of Holder:	 	  

		
	By:	 	  

		
	Name:	 	  

		
	Title:	 	  

 (Signature must conform in all respects to name of Holder as specified on the face of the Warrant) 

  
 12

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