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Exhibit 10.1
Execution Version

			
	CERTAIN INFORMATION, IDENTIFIED BY, AND REPLACED WITH, A MARK OF “[***]” HAS BEEN EXCLUDED FROM THIS EXHIBIT BECAUSE IT IS BOTH NOT MATERIAL AND IS THE TYPE THAT THE REGISTRANT TREATS AS PRIVATE OR CONFIDENTIAL.

Asset Purchase Agreement
by and between
Eli Lilly and Company,
BioMarin Pharmaceutical Inc.,
And

BioMarin International Ltd.

February 8, 2022

    

Asset Purchase Agreement

This Asset Purchase Agreement (this “Agreement”) is made and entered into as of February 8, 2022 (the “Effective Date”) by and among Eli Lilly and Company (“Buyer”), BioMarin Pharmaceutical Inc. (“BPI”), and BioMarin International Ltd. (“Seller”).  Buyer, BPI, and Seller may hereinafter be referred to individually as a “Party” and collectively as the “Parties”.  
Recitals
WHEREAS, Seller is the sole beneficial owner of a Priority Review Voucher (as defined below).
WHEREAS, BPI is the nominal holder of the Priority Review Voucher on behalf of Seller, its wholly-owned Affiliate.
WHEREAS, Seller, BPI, and Buyer each (i) desire that Buyer purchase from Seller, and Seller sell, transfer and assign to Buyer, the Priority Review Voucher and all rights, benefits and entitlements appurtenant thereto, all on the terms set forth herein (such transaction, the “Asset Purchase”) and (ii), in furtherance thereof, have adopted and approved this Agreement and, upon the terms and subject to the conditions set forth in this Agreement, have approved the Asset Purchase and the other transactions contemplated by this Agreement in accordance with all applicable Legal Requirements. 
WHEREAS, Seller, BPI, and Buyer desire to make certain representations, warranties, covenants and other agreements in connection with the Asset Purchase as set forth herein.
NOW, THEREFORE, in consideration of the foregoing and their mutual undertakings hereinafter set forth, and intending to be legally bound, the Parties hereto agree as follows:
ARTICLE I
CERTAIN DEFINITIONS
1.1Certain Definitions.  As used in this Agreement, the following terms shall have the meanings indicated below:
(a)“Affiliate” means any Person which, directly or indirectly through one or more intermediaries, controls, is controlled by or is under common control with a Party to this Agreement, for so long as such control exists, whether such Person is or becomes an Affiliate on or after the Effective Date.  A Person shall be deemed to “control” another Person if it: (i) with respect to such other Person that is a corporation, owns, directly or indirectly, beneficially or legally, at least fifty percent (50%) of the outstanding voting securities or capital stock (or such lesser percentage which is the maximum allowed to be owned by such Person in a particular jurisdiction) of such other Person, or, with respect to such other Person that is not a corporation, has other comparable ownership interest; or (ii) has the power, whether pursuant to contract, ownership of securities or otherwise, to direct the management and policies of such other Person.
(b)“Business Day” means a day (i) other than Saturday or Sunday and (ii) on which commercial banks are open for business in New York, New York.
(c)“Confidential Information” means (i) any and all confidential and proprietary information, including but not limited to, data, results, conclusions, know-how, experience, financial information, plans and forecasts, that may be delivered, made available or communicated by a Party or its Representatives related to the subject matter hereof or otherwise in connection with this Agreement and (ii) the terms, conditions and existence of this Agreement.  “Confidential Information” will not include information that (A) is available to the public other than as a result of a disclosure by a receiving Party or its Representatives in breach of this Agreement, (B) becomes available to the recipient of such information from a third party that is not legally or contractually prohibited by the disclosing Party from disclosing such Confidential Information; or (C) was developed by or for the recipient of such information without the use of or reference to any of the Confidential Information of the disclosing Party or its Affiliates.  Notwithstanding anything herein to the contrary, all Confidential Information included 

within the Purchased Assets shall constitute Confidential Information of the Buyer from and after the Closing Date.
(d)“Contract” means any written or oral legally binding contract, agreement, instrument, commitment or undertaking (including leases, licenses, mortgages, notes, guarantees, sublicenses, subcontracts and purchase orders).
(e)“Encumbrance” means any lien, pledge, charge, mortgage, easement, encroachment, imperfection of title, title exception, title defect, right of possession, right of negotiation or refusal, lease, security interest, encumbrance, adverse claim, interference or restriction on use or transfer.  
(f)“FDA” means the United States Food and Drug Administration.
(g)“FDA Act” means the United States Federal Food, Drug, and Cosmetic Act, as amended.
(h)“FDA Approval Letter” means the letter, dated November 19, 2021, from the FDA to Seller, Reference ID 4905458, regarding the approval of the NDA 214938 for Voxzogo (vosoritide).  
(i)“Governmental Entity” means any (i) supranational, national, state, municipal, local or foreign government, (ii) any court, tribunal, arbitrator, administrative agency, commission or other governmental official, authority or instrumentality, in each case whether domestic or foreign, (iii) any stock exchange or similar self-regulatory organization, or (iv) any quasi-governmental or private body exercising any regulatory, taxing or other governmental or quasi-governmental authority.
(j)“HSR Act” means the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended, and the rules and regulations promulgated thereunder.
(k)“Knowledge” means [***].
(l)“Legal Requirements” means any federal, state, foreign, local, municipal or other law, statute, constitution, principle of common law, resolution, ordinance, code, edict, decree, rule, regulation, ruling or requirement issued, enacted, adopted, promulgated, implemented or otherwise put into effect by or under the authority of any Governmental Entity and any orders, writs, injunctions, awards, judgments and decrees applicable to a Party or to any of its assets, properties or businesses.  Legal Requirements shall include, with respect to BPI and Seller, any responsibilities, requirements, conditions, parameters and obligations relating to the Priority Review Voucher set forth in the FDA Approval Letter or in any other correspondence received by Seller, BPI or their respective Affiliates from the FDA regarding the Priority Review Voucher and Section 529 of the FDA Act (21 U.S.C. 360ff).
(m)“Liabilities” means all debts, liabilities and obligations, whether presently in existence or arising hereafter, accrued or fixed, absolute or contingent, matured or unmatured, determined or determinable, asserted or unasserted, known or unknown, including those arising under any law, action or governmental order and those arising under any Contract.
(n)“NDA” means new drug application.
(o)“Person” means any natural person, company, corporation, limited liability company, general partnership, limited partnership, trust, proprietorship, joint venture, business organization or Governmental Entity.
(p)“Priority Review” means a priority review of and action upon a human drug application by the FDA not later than six (6) months after the filing of such application to the FDA, as defined in the FDA Act (21 U.S.C. 360ff).

(q)“Priority Review Voucher” means the priority review voucher issued by the FDA to BPI, as evidenced by the FDA Approval Letter and with the tracking number PRV NDA 214938, as the sponsor of a rare pediatric disease product application, that entitles the holder of such voucher to Priority Review of a single human drug application submitted under Section 505(b)(1) of the FDA Act or a single biologic application Section 351 of the United States Public Health Service Act, as further defined in the FDA Act.
(r)“Proceeding” means any claim, action, arbitration, audit, hearing, investigation, litigation, proceeding or suit (whether civil, criminal, administrative, judicial or investigative, whether formal or informal, whether public or private) commenced, brought, conducted or heard by or before, or otherwise involving, any Governmental Entity or arbitrator.
(s)“Purchased Assets” means the Priority Review Voucher.  The Purchased Assets shall include any and all rights, benefits and entitlements afforded to the holder thereof. 
(t)“Regulatory Change” means any (i) new Legal Requirement, amendment or supplement to any then-existing Legal Requirement, or (ii) new, amended or supplemented term or condition imposed on the Priority Review Voucher that is not set forth in the FDA Approval Letter, that in either case (i) or (ii) has been enacted, adopted, approved or imposed between the Effective Date and the Closing Date and adversely impacts the manner in which Buyer may use, receive, hold or otherwise exploit the Priority Review Voucher.
(u)“Representative” means, with respect to a particular Person, any director, officer, manager, employee, agent, consultant, advisor, accountant, financial advisor, legal counsel or other representative of that Person.  
Other capitalized terms defined elsewhere in this Agreement and not defined in this Section 1.1 shall have the meanings assigned to such terms in this Agreement.
ARTICLE II
PURCHASE AND SALE

2.1Purchase and Sale. Upon the terms and subject to the conditions of this Agreement, Buyer agrees to purchase (a) from Seller, and Seller agrees to sell, transfer, convey, assign and deliver to Buyer at the Closing, all of Seller’s right, title and interest in, to and under the Purchased Assets, free and clear of all Encumbrances and (b) from BPI, and BPI agrees to sell, transfer, convey, assign and deliver to Buyer at the Closing, BPI’s nominal record interest in the Purchased Assets, which constitutes BPI’s sole interest in the Purchased Assets, free and clear of all Encumbrances.  Seller and BPI shall perform all actions necessary to cause the transfer of all right, title and interest in, to and under the Purchased Assets to Buyer.  For the avoidance of doubt, the sale, transfer, conveyance and assignment of the Purchased Assets by Seller and BPI to Buyer shall not include the sale, transfer, conveyance or assignment of any Liabilities from BPI or Seller to Buyer and Buyer shall not assume or otherwise be liable for any Liabilities of Seller, BPI or their respective Affiliates, including Liabilities related to the Purchased Assets (collectively, the “Excluded Liabilities”).
2.2Closing.  The closing of the purchase and sale of the Purchased Assets contemplated hereby (the “Closing”) shall take place remotely via the exchange of documents and signatures on the fifth (5th) Business Day after all of the conditions set forth in ARTICLE V have been satisfied or waived (other than those conditions which, by their nature are to be satisfied at the Closing, but subject to satisfaction or waiver of such conditions) or at such other time and place as Buyer and Seller agree upon in writing (the “Closing Date”). 
2.3Purchase Price.  The total consideration to be paid by Buyer for all of the Purchased Assets shall be US$110,000,000 (One Hundred and Ten Million U.S. DOLLARS) (the “Purchase Price”).  All payments to Seller shall be made in cash by wire transfer of immediately available funds to the bank account previously specified by Seller in writing to Buyer or such other bank account specified by Seller in writing to Buyer before the Closing Date. For all tax purposes, the entire Purchase Price shall 

be allocated to the Priority Review Voucher, and Buyer and Seller shall make any and all required tax filings consistent therewith.
2.4Closing Deliverables; Title Passage; Delivery of Purchased Assets.
(a)Seller Deliverables.  At the Closing, Seller and BPI shall deliver, or cause to be delivered to Buyer, each of the following:
(i)a Bill of Sale in the form attached hereto as Exhibit A duly executed by Seller and BPI; and
(ii)a letter addressed to Buyer, substantially in the form set forth on Exhibit B hereto and duly executed by BPI, acknowledging the transfer of the Priority Review Voucher from BPI to Buyer, in accordance with applicable Legal Requirements (the “Seller FDA Letter”). 
(b)Buyer Deliverables.  At the Closing, Buyer shall deliver, or cause to be delivered to Seller, each of the following:
(i)the Purchase Price; and
(ii)a letter addressed to BPI, substantially in the form set forth on Exhibit C hereto and duly executed by Buyer, acknowledging the transfer of the Priority Review Voucher from BPI to Buyer, in accordance with applicable Legal Requirements (the “Buyer FDA Letter”).
(c)Title Passage.  Upon the Closing, all of the right, title and interest in and to the Purchased Assets shall pass to Buyer, free and clear of all Encumbrances.
(d)Method of Delivery of Assets.  If reasonably practicable, on the Closing Date, but in any event within three (3) Business Days after the Closing, BPI shall duly submit to the FDA the Seller FDA Letter and Buyer shall duly submit to the FDA the Buyer FDA Letter. 
(e)Filings; Notifications.  Buyer, BPI, and Seller agree to cooperate and assist each other with respect to all filings or notifications to any Governmental Entity related to the transfer and assignment of the Purchased Assets.
2.5Joint and Several Liability.  All obligations and other Liabilities of each of Seller and BPI hereunder are joint and several and are enforceable in full against each such Party.
ARTICLE III
REPRESENTATIONS AND WARRANTIES OF SELLER AND BPI
Seller and BPI, on a joint and several basis, represent and warrant to Buyer, as of the date hereof and as of the Closing Date, as follows:
3.1Organization, Standing and Power.  Seller is a corporation duly organized and validly existing under the laws of Ireland.  Seller has the requisite corporate power and authority to own, operate and lease its properties and to carry on its business as presently conducted and is duly qualified or licensed to do business and is in good standing in each jurisdiction where the character of its properties owned or leased or the nature of its activities make such qualification or licensing necessary, except where the failure to be so qualified or licensed would not, individually or in the aggregate, reasonably be expected to adversely affect any of the Purchased Assets, Seller’s or BPI’s ability to consummate the transactions contemplated by this Agreement or Buyer’s ownership and rights with respect to any of the Purchased Assets after the Closing.  Seller is not in violation of its articles of incorporation or bylaws, in each case as amended to date.  
3.2Due Authority.  Seller has the requisite corporate power and authority to execute, deliver, perform its obligations under, and consummate the transactions contemplated by, this Agreement.  The 

execution, delivery and performance of this Agreement, and the consummation of the Asset Purchase, have been duly and validly approved and authorized by all necessary corporate action on the part of Seller, and this Agreement has been duly executed and delivered by Seller.  This Agreement, upon execution by the Parties, will constitute a valid and binding obligation of Seller enforceable against Seller in accordance with its terms, subject only to the effect, if any, of (a) applicable bankruptcy and other similar laws affecting the rights of creditors generally and (b) rules of law governing specific performance, injunctive relief and other equitable remedies.
3.3Noncontravention.  The execution and delivery by Seller and BPI of this Agreement does not, and the consummation of the transactions contemplated hereby, including the transfer of title to, ownership in, and possession of the Purchased Assets, will not, (a) result in the creation of any Encumbrance on any of the Purchased Assets or (b) conflict with, or result in any violation of or default under (with or without notice or lapse of time, or both), or give rise to a right of termination, revocation, suspension, cancellation or acceleration of any obligation or loss of any benefit under, or require any consent, approval or waiver from any Person pursuant to, (i) any provision of the articles of incorporation or bylaws of Seller or BPI, in each case as amended to date, (ii) the Priority Review Voucher, the FDA Approval Letter or any Contract that involves or affects in any way any of the Purchased Assets or (iii) except as may be required to comply with the HSR Act, any Legal Requirements applicable to Seller, BPI or any of the Purchased Assets.
3.4No Consents.  Except for the submission of the Seller FDA Letter and the filing of a Premerger Notification and Report Form under the HSR Act, no filing, authorization, consent, approval, permit, order, registration or declaration, governmental or otherwise, is required in connection with, or necessary to enable or authorize Seller or BPI to, enter into, perform its obligations under and consummate the transactions contemplated by this Agreement.  
3.5Title to Purchased Assets.  Except for BPI’s record ownership of the Purchased Assets, Seller is the sole and exclusive owner of all right, title and interest in and to the Purchased Assets and owns good and transferable title to the Purchased Assets free and clear of any Encumbrances.  Seller has performed all actions necessary to perfect its ownership of, and its ability to transfer, the Purchased Assets.  Seller has the full right to sell, transfer, convey, assign and deliver the Purchased Assets to Buyer at the Closing, free and clear of all Encumbrances.  The right, title and interest in and to the Purchased Assets that is to be sold, transferred, conveyed, assigned and delivered by Seller and BPI to Buyer at the Closing in accordance with this Agreement collectively constitutes the entire right, title and interest in and to the Purchased Assets and immediately following the Closing, Buyer shall have all right, title and interest in and to the Purchased Assets, free and clear of all Encumbrances.
3.6Contracts.  Except for this Agreement, there is no Contract to which Seller or BPI or any Affiliate of Seller or BPI is a party or is otherwise bound by that involves or affects (or may involve or affect) the issuance of, ownership of, transfer of, licensing of, title to, or use of any of the Purchased Assets. 
3.7Compliance With Legal Requirements.  Seller, BPI and their respective Affiliates are, and at all times have been, in full compliance with each Legal Requirement that is or was applicable to (a) Seller’s, BPI’s and their respective Affiliates conduct, acts, or omissions with respect to any the Purchased Assets or (b) any of the Purchased Assets.  None of Seller, BPI or their respective Affiliates have received any written notice or other communication or, to its Knowledge, any oral notice or other oral communication, from any Person regarding any actual, alleged, possible or potential violation of, or failure to comply with, any such Legal Requirement.  
3.8Legal Proceedings.  There is no pending, or to Seller’s or BPI’s Knowledge, threatened Proceeding nor has there been an Proceeding involving Seller, BPI or any of their respective Affiliates, and neither Seller, BPI nor any of their respective Affiliates are a party or subject to the provisions of any judgment, and to the Knowledge of Seller and BPI, there are no any facts or circumstances that could reasonably be expected to serve as a basis for a Proceeding involving Seller, BPI or any their respective Affiliates, (a) that involves or affects (or may involve or affect) the ownership of, licensing of, title to, validity of, ability to transfer or use of any of the Purchased Assets or (b) challenging the transactions 

contemplated by this Agreement.  None of the Purchased Assets are subject to any order of any Governmental Entity or arbitrator.
3.9Governmental Authorizations.  None of Seller, BPI or any of their respective Affiliates is required to hold any license, registration, or permit issued by any Governmental Entity to own, use or transfer the Purchased Assets, other than such licenses, registrations or permits that have already been obtained.  
3.10Solvency.  Seller and BPI are not entering into this Agreement with the actual intent to hinder, delay, or defraud any creditor of Seller or BPI.  The remaining assets of Seller and BPI after the Closing will not be unreasonably small in relation to the business in which Seller and BPI, respectively, will engage after the Closing.  After the Closing, Seller and BPI will each have the ability to pay their debts as they become due.   
3.11Revocation; Use of Purchased Assets.  The Priority Review Voucher has not been terminated, cancelled or revoked.  None of Seller, BPI or any of their respective Affiliates have taken or refrained from taking any action that, and to Seller’s Knowledge there are no facts or circumstances that, could reasonably be expected to (with or without notice or lapse of time, or both) give rise to a right of FDA to revoke, cancel, suspend or terminate the Priority Review Voucher.  There is nothing that would preclude or interfere with (i) the transfer of the Purchased Assets to Buyer or (ii) Buyer’s ability to use of the Purchased Assets to obtain Priority Review or any other benefit associated with the Purchased Assets following the Closing.  There is no term or condition imposed by the FDA on the Priority Review Voucher that is not set forth in the FDA Approval Letter as of the date hereof.  Seller and BPI have provided to Buyer true and complete copies of the FDA Approval Letter, the rare pediatric disease designation issued by the FDA for Voxzogo (vosoritide) and all other correspondence received by Seller, BPI or any of their respective Affiliates from the FDA regarding the Priority Review Voucher.
3.12Intent to Use. None of Seller, BPI or any of their respective Affiliates has filed or submitted to the FDA a notification of intent to use the Priority Review Voucher.
3.13BPI Organization, Standing and Power; Authority.  BPI is a corporation duly organized and validly existing under the laws of the State of Delaware.  BPI has the requisite corporate power and authority to own, operate and lease its properties and to carry on its business as presently conducted and is duly qualified or licensed to do business and is in good standing in each jurisdiction where the character of its properties owned or leased or the nature of its activities make such qualification or licensing necessary, except where the failure to be so qualified or licensed would not, individually or in the aggregate, reasonably be expected to adversely affect any of the Purchased Assets, Seller’s or BPI’s ability to consummate the transactions contemplated by this Agreement or Buyer’s ownership and rights with respect to any of the Purchased Assets after the Closing.  BPI is not in violation of its certificate of incorporation or bylaws, in each case as amended to date.   
3.14BPI Due Authority.  BPI has the requisite corporate power and authority to execute, deliver, perform its obligations under, and consummate the transactions contemplated by, this Agreement.  The execution, delivery and performance of this Agreement, and the consummation of the Asset Purchase, have been duly and validly approved and authorized by all necessary corporate action on the part of BPI, and this Agreement has been duly executed and delivered by BPI.  This Agreement, upon execution by the Parties, will constitute a valid and binding obligation of BPI, enforceable against BPI in accordance with its terms, subject only to the effect, if any, of (a) applicable bankruptcy and other similar laws affecting the rights of creditors generally and (b) rules of law governing specific performance, injunctive relief and other equitable remedies.
3.15BPI Title to Purchased Assets.  BPI is the record owner of the Purchased Assets as nominee for, and on behalf of, Seller and such record ownership constitutes BPI’s sole right, title and interest in and to the Purchased Assets and does not include any beneficial ownership right thereto.  BPI has performed all actions necessary to perfect Seller’s ownership of, and its ability to transfer, all right, title and interest in the Purchased Assets (other than BPI’s record ownership thereof as nominee for, and on behalf of, Seller).  

3.16Marketed Product.  BPI has initiated marketing in the United States of the rare pediatric disease product for which the Priority Review Voucher was awarded within the 365-day period beginning on the date of the FDA approval of such rare pediatric disease product and has continuously marketed such product in the United States since its approval.  
ARTICLE IV
REPRESENTATIONS AND WARRANTIES OF BUYER
Buyer represents and warrants to Seller as of the date hereof and as of the Closing Date as follows:
4.1Organization, Standing and Power.  Buyer is a corporation duly formed, validly existing and in good standing under the laws of Indiana.
4.2Authority.  Buyer has the requisite corporate power and authority to execute and deliver this Agreement and to consummate the transactions contemplated by this Agreement.  The execution and delivery of this Agreement and the consummation of the transactions contemplated by this Agreement have been duly authorized by all necessary corporate action on the part of Buyer.  This Agreement has been duly executed and delivered by Buyer.  This Agreement, upon execution by the Parties, will constitute a valid and binding obligation of Buyer, enforceable against Buyer in accordance with its terms, subject only to the effect, if any, of (a) applicable bankruptcy and other similar laws affecting the rights of creditors generally and (b) rules of law governing specific performance, injunctive relief and other equitable remedies.
4.3Noncontravention.  The execution and delivery by Buyer of this Agreement does not, and the consummation of the transactions contemplated hereby will not, conflict with, or result in any violation of or default under (with or without notice or lapse of time, or both), or give rise to a right of termination, cancellation or acceleration of any obligation or loss of any benefit under, or require any consent, approval or waiver from any Person pursuant to, (a) any provision of the organizational or governing documents of Buyer, in each case as amended to date, (b) any Contract (except as would not reasonably be expected to have a material adverse effect on the Buyer’s ability to consummate the Asset Purchase) or (c) except as may be required to comply with the HSR Act, any Legal Requirements (except as would not reasonably be expected to have a material adverse effect on the Buyer’s ability to consummate the Asset Purchase).
4.4No Consents.  Except for the submission of the Buyer FDA letter and the filing of a Premerger Notification and Report Form under the HSR Act, no filing, authorization, consent, approval, permit order, registration or declaration, governmental or otherwise, is required in connection with, or necessary to enable or authorize Buyer to enter into, perform its obligations under and consummate the transactions contemplated by this Agreement.
ARTICLE V
CONDITIONS TO CLOSING
5.1Conditions Precedent of Buyer, Seller and BPI.  Each Party’s obligations to consummate the transactions contemplated by this Agreement are subject to the satisfaction or waiver, at or prior to the Closing Date, of each of the following conditions precedent:
(a)HSR Act. The applicable waiting period under the HSR Act relating to the transactions contemplated by this Agreement shall have expired or been terminated.
(b)No Injunctions or Restraints.  No temporary restraining order, preliminary or permanent injunction or other legal restraint or prohibition issued or promulgated by a Governmental Entity preventing, prohibiting or restraining the consummation of the transactions contemplated by this Agreement shall be in effect, and there shall not be any applicable Legal Requirement that makes consummation of the transactions contemplated by this Agreement illegal.

(c)No Governmental Litigation.  There shall not be any Proceeding commenced or pending by a Governmental Entity seeking to prohibit, limit, delay, or otherwise restrain the consummation of this Agreement and/or the transactions contemplated hereby.
(d)Deliverables.  The Parties shall have made the deliveries contemplated under Section 2.4(a) and Section 2.4(b).
5.2Buyer’s Conditions Precedent.  The obligations of Buyer to consummate the transactions contemplated by this Agreement are subject to the satisfaction or waiver, at or prior to the Closing Date, of each of the following conditions precedent:
(a)Accuracy of Representations.  Each of the representations and warranties made by Seller and BPI in this Agreement shall be true and correct in all material respects as of the date hereof and at and as of the Closing Date (or, if made as of a specified period or date, as of such period or date), except to the extent that such representations and warranties are qualified by the term “material”, or words of similar import, in which case such representations and warranties (as so written, including the terms “material”, or words of similar import) shall be true and correct in all respects at and as of the Closing Date (or, if made as of a specified period or date, as of such period or date), provided that any such failure of such representations and warranties to be true and correct in all material respects, or, as applicable, true and correct in all respects, shall be disregarded if it would not, individually or in the aggregate, reasonably be expected to delay, restrict, limit, preclude or otherwise negatively impact in a material manner the transfer and/or use of the Purchased Assets to or by Buyer. 
(b)Performance of Covenants.  All of the covenants and obligations that Seller and/or BPI is required to comply with or to perform hereunder at or prior to the Closing Date shall have been complied with and performed in all material respects.
(c)Closing Certificate.  Seller shall have delivered to Buyer a certificate, dated the Closing Date and duly executed by Seller, certifying that the conditions set forth in Sections 5.2(a) and 5.2(b) have been satisfied.
(d)No Regulatory Change.  There shall not have occurred and remain in effect any Regulatory Change.
5.3Seller’s and BPI’s Conditions Precedent.  The obligations of Seller and BPI to consummate the transactions contemplated by this Agreement are subject to the satisfaction or waiver, at or prior to the Closing Date, of each of the following conditions precedent:
(a)Accuracy of Representations.  Each of the representations and warranties made by Buyer in this Agreement shall be true and correct in all material respects at and as of the Closing Date (or, if made as of a specified period or date, as of such period or date), except to the extent that such representations and warranties are qualified by the term “material”, or words of similar import, in which case such representations and warranties (as so written, including the terms “material”, or words of similar import) shall be true and correct in all respects at and as of the Closing Date (or, if made as of a specified period or date, as of such period or date).
(b)Performance of Covenants.  All of the covenants and obligations that Buyer is required to comply with or to perform hereunder at or prior to the Closing Date shall have been complied with and performed in all material respects.
(c)Closing Certificate.  Buyer shall have delivered to Seller and BPI a certificate, dated the Closing Date and duly executed by Buyer, certifying that the conditions set forth in Sections 5.3(a) and 5.3(b) have been satisfied.

ARTICLE VI
INDEMNIFICATION
6.1Indemnification.  
(a)Indemnification by Seller.  Seller and BPI will, jointly and severally, indemnify, defend and hold Buyer and its Affiliates and their respective directors, officers, employees and agents harmless for, from and against any and all Liabilities, losses, damages, costs and expenses (including reasonable attorneys’ fees) (collectively, “Damages”) arising out of any claims (“Claims”) resulting from (i) any breach of Seller’s and/or BPI’s representations, warranties, covenants or obligations under this Agreement, (ii) Seller’s, BPI’s or their respective Affiliates’ grossly negligent, fraudulent and/or wrongful acts, omissions or misrepresentations, regardless of the form of action, in connection with this Agreement and the transactions contemplated hereunder and/or (iii) all Excluded Liabilities.  
(b)Indemnification by Buyer.  Buyer will indemnify, defend and hold Seller, BPI, and their Affiliates, and their respective directors, officers, employees and agents harmless for, from and against any and all Damages arising out of any Claims resulting from (i) any breach, of Buyer’s representations, warranties, covenants or obligations under this Agreement, (ii) Buyer’s grossly negligent, fraudulent and/or wrongful acts, omissions or misrepresentations, regardless of the form of action, in connection with this Agreement and the transactions contemplated hereunder, and (iii) Buyer’s, its Affiliates’, or any subsequent transferee’s use of the Priority Review Voucher.   
6.2Indemnification Procedures.  A Person entitled to indemnification pursuant to Section 6.1 will hereinafter be referred to as an “Indemnitee.”  A Party obligated to indemnify an Indemnitee hereunder will hereinafter be referred to as an “Indemnitor.” Indemnitee shall inform Indemnitor of any Claim as soon as reasonably practicable after the Claim arises, it being understood and agreed that the failure to give such notice will not relieve the Indemnitor of its indemnification obligation under this Agreement except and only to the extent that such Indemnitor is actually and materially prejudiced as a result of such failure to give notice.  The Indemnitee will permit the Indemnitor to assume direction and control of the defense of any Claim instituted or asserted by any third party (“Third Party Claim”), at the Indemnitor’s expense, provided that (i) the Indemnitor has acknowledged its responsibility for defending such Third Party Claim in writing to the Indemnitee, (ii) such Third Party Claim is not a class action, criminal matter, or a claim in which solely non-monetary, equitable or injunctive relief against the Indemnitee is sought and (iii) the Indemnitor conducts such defense in good faith and in a diligent manner.  The Indemnitee, at the Indemnitor’s expense, will cooperate as reasonably requested in the defense of such Third Party Claim.  The Indemnitee will have the right to participate in the defense, and to retain its own counsel at its own expense, of any Third Party Claim the defense of which is controlled by the Indemnitor pursuant hereto.  If the Indemnitee is defending such Third Party Claim, the Indemnitee shall keep the Indemnitor apprised of all material developments with respect to such Third Party Claim and promptly provide the Indemnitor with copies of all correspondence and documents exchanged by the Indemnitee and the opposing party(ies) to such litigation.  The Indemnitor may not settle such Claim, or otherwise consent to an adverse judgment in such Third Party Claim, without the Indemnitee’s prior written consent; provided, that, the Indemnitor shall not require such consent with respect to the settlement of any Third Party Claim (a) under which settlement the sole relief provided is for monetary damages that are paid in full by the Indemnitor, (b) which settlement would not diminish or limit or otherwise adversely affect the rights, activities or financial interests of the Indemnitee, (c) which settlement includes, as an unconditional term thereof, the giving by each claimant or plaintiff to the Indemnitee of a release from all liability in respect of such Claim; and (d) which does not result in any finding or admission of fault by the Indemnitee.
6.3Adjustments.    Any amount paid under this ARTICLE VI shall be treated as an adjustment to the Purchase Price for all tax purposes unless otherwise required by applicable law.

ARTICLE VII
ADDITIONAL COVENANTS
7.1Further Assurances.  Subject to Section 7.8, the Parties shall use commercially reasonable efforts to cause the conditions set forth in ARTICLE V to be satisfied and to consummate the transactions contemplated herein as promptly as reasonably practical.  The Parties shall cooperate reasonably with each other in connection with any steps required to be taken as part of their respective obligations under this Agreement, including without limitation any notifications or filings required to be made to the FDA in connection with the transfer of the Purchased Assets, and shall (a) furnish upon request to each other such further information, (b) execute and deliver to each other such other documents, and (c) do such other acts and things, all as the other Parties may reasonably request for the purpose of carrying out the intent of this Agreement and the transactions contemplated by this Agreement, including the use of the Purchased Assets to obtain Priority Review.
7.2[***]
7.3Compliance with Legal Requirements.  Seller and BPI shall, and shall cause their respective Affiliates and successors-in-interest to Voxzogo (vosoritde) to, comply with all Legal Requirements relating to the Priority Review Voucher. Without limiting the generality of the foregoing, to the extent required, now or in the future, under applicable Legal Requirements or otherwise by the FDA for the use or transfer of the Priority Review Voucher, or to avoid revocation of the Priority Review Voucher, Seller and BPI shall, and shall cause their Affiliates and each of their respective successors in interest to the rare pediatric disease product for which the Priority Review Voucher was awarded, to submit a post-approval production report to the United States Secretary of Health and Human Services not later than five (5) years after the approval of such rare pediatric disease product in accordance with section 529(e)(2) of the FDA Act..  Each of Seller and BPI shall, and shall cause and their respective Affiliates and successors-in-interest to Voxzogo (vosoritde) to, forward to Buyer any communications it receives from any Governmental Entity in respect of the Priority Review Voucher.
7.4Nondisclosure. 
(a)With respect to Confidential Information received, the Parties will (i) keep the Confidential Information confidential, (ii) not use any Confidential Information for any reason, and (iii) not disclose any Confidential Information to any Person, except in each case as otherwise expressly permitted by this Agreement or with the prior written consent of the disclosing Party.
(b)A Party may disclose Confidential Information only to its Representatives on a need-to-know basis.  
(c)A Party will (i) instruct its Representatives to comply with the terms and conditions of this Section 7.3, and (ii) be responsible and liable for any breach of this Section 7.3 by it or its Representatives.
(d)If a Party becomes compelled by a court or is requested by a Governmental Entity to make any disclosure that is prohibited or otherwise constrained by this Section 7.3, such Party shall provide the disclosing Party with prompt notice of such compulsion or request (to the extent legally permitted) so that it may seek an appropriate protective order or other appropriate remedy or waive compliance with the provisions of this Section 7.3. In the absence of a protective order or other remedy, the Party subject to the requirement to disclose may disclose that portion (and only that portion) of the Confidential Information that, based upon advice of its counsel, it is legally compelled to disclose or that has been requested by such Governmental Entity, provided, however, that such Party shall use reasonable efforts to obtain reliable assurance that confidential treatment will be accorded by any Person to whom any Confidential Information is so disclosed.
(e)Nothing herein shall prohibit or otherwise restrict the disclosure of Confidential Information by or on behalf of Buyer or its Affiliates to the FDA or other Governmental Entity as required in connection with any filing, application or request for regulatory approval in which Priority Review is sought.

7.5Publicity.  
(a)Notwithstanding Section 7.3, following the Closing, Seller, BPI, and Buyer (and their Affiliates) shall have the right to issue a press release containing a description of the Asset Purchase and the Purchase Price in the form attached hereto as Exhibit D.  The Parties agree not to (and to ensure that their respective Affiliates do not) issue any other press releases or public announcements concerning this Agreement without the prior written consent of the other Parties (which shall not be unreasonably withheld or delayed), except as required by a Governmental Entity or applicable Legal Requirement (including the rules and regulations of the U.S. Securities and Exchange Commission (the “SEC”) and any stock exchange or trading market on which a Party’s securities are traded); provided that the Party intending to disclose such information shall use reasonable efforts to provide the other Parties with advance notice of such required disclosure, and an opportunity to review and comment on such proposed disclosure (which comments shall be considered in good faith by the disclosing Party).  Notwithstanding the foregoing, without prior submission to or approval of the other Parties, any Party may issue press releases or public announcements which incorporate information concerning this Agreement which information was included in a press release or public disclosure which was previously disclosed under the terms of this Agreement.  Notwithstanding Section 7.3, and the foregoing, a Party may, without the prior consent or review by the other Parties, make filings or disclosures with any applicable tax Governmental Entity that are necessary or desirable to such Party and its Affiliates.
(b)Without limiting the foregoing, the Parties acknowledge that BPI will be required to file this Agreement as an exhibit to its Annual Report on Form 10-K or its Quarterly Report on Form 10-Q as filed with the SEC.  BPI shall file a redacted version of the Agreement with its Annual Report on Form 10-K or its Quarterly Report on Form 10-Q with such redactions as BPI deems appropriate pursuant to SEC Regulation S-K Item 601(b)(iv), provided that the Buyer’s name shall be redacted and BPI shall provide Lilly with a reasonable opportunity to review and comment on BPI’s other proposed redactions in advance of such filing (which timely comments shall be considered in good faith by BPI).  Notwithstanding the foregoing, the Parties acknowledge that there is no assurance that the SEC will not subsequently require BPI file a less redacted version of the Agreement or the Agreement in full.
7.6Use of Name.  Except as expressly provided herein, no Party shall mention or otherwise use the name, logo, or trademark of the other Parties or any of their Affiliates (or any abbreviation or adaptation thereof) in any publication, press release, marketing and promotional material, or other form of publicity without the prior written approval of such other Party in each instance.  The restrictions imposed by this Section 7.6 shall not prohibit any Party from making any disclosure identifying the other Parties that, in the opinion of the disclosing Party’s counsel, is required by applicable Law or the rules of a stock exchange on which the securities of the disclosing Party are listed; provided, that such Party shall submit the proposed disclosure identifying another Party in writing to the such other Party as far in advance as reasonably practicable (to the extent legally permitted) so as to provide a reasonable opportunity to comment thereon.  Notwithstanding the foregoing, without prior submission to or approval of the other Parties, any Party may mention or otherwise use the name, logo, or trademark of another Party or any of its Affiliates in connection with referencing or describing the Asset Purchase if such use was previously approved under the terms of this Agreement.
7.7Other Covenants.  Until the earlier of the Closing or the termination of this Agreement, (a) Seller and BPI shall, and shall cause their respective Affiliates to, provide Buyer with prompt written notification of the occurrence of any Regulatory Change and maintain the Priority Review Voucher in full force and effect and (b) Seller and BPI shall not, and shall cause their respective Affiliates not to (i) enter into any Contract with respect to the Purchased Assets or (ii) take or permit, or omit to take any action that could reasonably be expected to (a) prevent the satisfaction of the conditions set forth in ARTICLE V or (b) adversely affect any of the Purchased Assets or Seller’s or BPI’s ability to consummate the transactions contemplated by this Agreement or Buyer’s ownership and rights with respect to any of the Purchased Assets after the Closing.
7.8Antitrust Notification.
(a)Unless this Agreement shall have been validly terminated in accordance with Section 8.1, Buyer, Seller and BPI shall, as promptly as practicable (but no later than ten (10) Business 

Days) after the Effective Date, file with the Federal Trade Commission and the Department of Justice the premerger notification and report form required as a result of the contemplated purchase and sale of the Purchased Assets and the other transactions contemplated hereby, and shall include any supplemental information requested in connection therewith, pursuant to the HSR Act. Any such filing, notification and report form and supplemental information shall be in compliance with the requirements of the HSR Act.  The Parties shall work together and shall furnish to one another such necessary information and reasonable assistance as the other may request in connection with its preparation of any filing or submission which is necessary under the HSR Act.  The Parties shall (A) cooperate with one another and keep one another apprised of the status of any communications with, and any inquiries or requests for additional information from, the Federal Trade Commission, the Department of Justice or any other applicable Governmental Entity, (B) comply promptly with any such reasonable inquiry or request, (C) subject to applicable Legal Requirements, consult and cooperate with each other in connection with any analyses, appearances, presentations, memoranda, briefs, arguments, and proposals made or submitted to any Governmental Entity regarding the transactions contemplated by this Agreement by or on behalf of any Party, (D) not participate, or permit its Affiliates to participate, in any substantive meeting or discussion with any Governmental Entity in respect of any filings, investigation or inquiry concerning this Agreement unless, to the extent reasonably practicable, it consults with the other Parties in advance and, to the extent permitted by such Governmental Entity, gives the other Parties the opportunity to attend and participate thereat, and (E) furnish the other Parties (or, in respect of competitively sensitive materials, solely to the other Parties’ outside counsel) with copies of all correspondence, filings, and communications (and memoranda setting forth the substance thereof) between a Party or its Affiliates, on the one hand, and any Governmental Entity, on the other hand, with respect to the transactions contemplated hereunder or any investigation with respect to the transactions contemplated hereunder.  Buyer shall be responsible for all filing fees under the HSR Act; the Parties will individually bear all other costs and expenses required for compliance under the HSR Act.  Nothing contained in this Agreement shall require any Party to disclose to the other Parties or their outside counsel (1) documents filed pursuant to Item 4(c) and 4(d) of the Notification and Report Form under the HSR Act or communications regarding the same documents, (2) information submitted in response to any request for additional information, documents which reveal such Party’s negotiating objectives or strategies regarding the transactions contemplated hereunder (3) information relating to businesses and investments of Buyer or its Affiliates, (4) any information for which disclosure is prohibited by any Governmental Entity or (5) any information for which disclosure would waive applicable legal privilege.
(b)From and after the date on which the filings are made pursuant to Section 7.8(a), the Parties shall use their respective reasonable efforts to obtain any clearance required under the HSR Act for the purchase and sale of the Purchased Assets and the other transactions contemplated hereby, including replying at the earliest practicable date to any requests for information received from the Federal Trade Commission or the Department of Justice pursuant to the HSR Act and making any permitted request for early expiration or termination of the applicable waiting periods under the HSR Act as soon as possible. 
(c)Notwithstanding the foregoing, nothing in this Agreement shall require, or be construed to require, the Parties or any of their respective Affiliates to offer or agree to (a) (i) sell, hold, hold separate, divest, license, discontinue or limit, before or after the Closing Date, any assets, businesses, equity holdings, intellectual property, or other interests or (ii) any conditions relating to, or changes or restrictions in, the operations of any such assets, businesses, equity holdings, intellectual property or interests (including but not limited to any requirements to enter into new contracts or modify or terminate existing contracts) or (b) any material modification or waiver of the terms and conditions of this Agreement. 
ARTICLE VIII
TERMINATION
8.1Termination Prior to Closing.  Notwithstanding any contrary provisions of this Agreement, the respective obligations of the Parties hereto to consummate the transactions contemplated by this Agreement may be terminated and abandoned at any time before the Closing only as follows:
(a)Upon the mutual written consent of Buyer and Seller; or

(b)By either Buyer or Seller, by written notice to the other Party if the Closing has not occurred on or before the expiration of six (6) months from the date hereof; provided, however, that the right to terminate this Agreement under this Section 8.1(b) shall not be available to any Party whose material breach of any provision set forth in this Agreement has resulted in the failure of the Closing to occur on or before such date.
8.2Effect of Termination.  In the event of the termination of this Agreement as provided in Section 8.1, written notice thereof shall forthwith be given to the other Parties hereto specifying the provision hereof pursuant to which such termination is made, and this Agreement shall forthwith become null and void (except for the provisions of this Section 8.2, Section 1.1, Section 7.3, and Sections 9.2 - 9.14, which shall survive any such termination) and there shall be no liability on the part of Buyer or Seller except for damages resulting from any breach of this Agreement prior to termination of this Agreement by Buyer or Seller.
ARTICLE IX
GENERAL PROVISIONS
9.1Survival.  Articles I, II, III, IV, VI, VII and IX shall each survive the Closing. 
9.2Taxes and Fees. Notwithstanding any other provision in this Agreement to the contrary, each respective Party shall bear and pay any and all sales taxes, income taxes, value added taxes, stamp taxes, use taxes, transfer taxes, documentary charges, recording fees or similar taxes, charges, or fees (including any penalties, interest and additions thereto) that may become payable by it or its Affiliates in connection with the Asset Purchase.  [***] 
9.3No Broker.  Other than advisory services provided by [***], the fees and expenses of whom shall be paid by Seller, Seller has not engaged, retained or entered into an agreement with any investment banker, broker, finder or other intermediary who has been authorized to act on behalf of Seller who may be entitled to any fee or commission in connection with the Asset Purchase contemplated by this Agreement.
9.4Notices.  Any notice or other communication required or permitted to be delivered to any Party shall be in writing and shall be deemed properly delivered, given and received: (a) when delivered by hand; or (b) upon such Party’s receipt after sent by registered mail, by courier or express delivery service, in any case to the address set forth beneath the name of such Party below (or to such other address as such Party shall have specified in a written notice given to the other parties hereto):

			
	(i) if to Buyer, to:

	Eli Lilly and Company
Lilly Corporate Center
Indianapolis, Indiana  46285
Attention:  General Counsel 

	

    
(ii) if to Seller, to:

	

(ii) if to Seller, to: 

	BioMarin International Ltd.
William Fry Solicitors
6th Floor
2 Grand Canal Square
Dublin 2,
Ireland

with a copy (which shall not constitute notice) to:

	BioMarin Pharmaceutical Inc.
105 Digital Drive
Novato, CA 94949
Attn: General Counsel
Tel: (415) 506-6700

(iii) if to BPI, to:

BioMarin Pharmaceutical Inc.
105 Digital Drive
Novato, CA 94949
Attn: General Counsel
Tel: (415) 506-6700

9.5Construction.  
(a)The Parties agree that any rule of construction to the effect that ambiguities are to be resolved against the drafting Party shall not be applied in the construction or interpretation of this Agreement.  
(b)As used in this Agreement, the words “include” and “including,” and variations thereof, shall not be deemed to be terms of limitation, but rather shall be deemed to be followed by the words “without limitation.”  
(c)Except as otherwise indicated, all references in this Agreement to “Articles” and “Sections” are intended to refer to Articles and Sections of this Agreement.  
9.6Counterparts.  This Agreement may be executed in two or more counterparts, all of which shall be considered one and the same instrument, and shall become effective when one or more counterparts have been signed by each of the Parties hereto and delivered to the other Parties hereto, it being understood that all Parties hereto need not sign the same counterpart.  The exchange of a fully executed Agreement (in counterparts or otherwise) by electronic transmission or facsimile shall be sufficient to bind the Parties hereto to the terms and conditions of this Agreement.
9.7Entire Agreement.  This Agreement, including all exhibits and schedules attached hereto, sets forth the entire understanding of the Parties relating to the subject matter hereof and supersedes all 

prior agreements and understandings among or between any of the Parties relating to the subject matter hereof.
9.8Assignment.  No Party will have the right to assign this Agreement, in whole or in part, by operation of law or otherwise, without the other Parties’ express prior written consent.  Any attempt to assign this Agreement, without such consent, will be null and void and of no effect.  Notwithstanding the foregoing, any Party may assign this Agreement without the consent of the other Parties: (a) to a third party that succeeds to all or substantially all of its assets or related business (whether by sale, merger, operation of law or otherwise); or (b) to an Affiliate of such Party.  Subject to the foregoing, this Agreement will bind and inure to the benefit of each Party’s successors and permitted assigns.
9.9Severability.  If any provision of this Agreement, or the application thereof, becomes or is declared by a court of competent jurisdiction to be illegal, void or unenforceable, the remainder of this Agreement shall continue in full force and effect and shall be interpreted so as reasonably to effect the intent of the parties hereto.  The Parties hereto shall use commercially reasonable efforts to replace such void or unenforceable provision of this Agreement with a valid and enforceable provision that shall achieve, to the extent possible, the economic, business and other purposes of such void or unenforceable provision.
9.10Remedies Cumulative.  Except as otherwise provided herein, any and all remedies herein expressly conferred upon a Party hereto shall be deemed cumulative with and not exclusive of any other remedy conferred hereby or by law or equity upon such Party, and the exercise by a Party hereto of any one remedy shall not preclude the exercise of any other remedy and nothing in this Agreement shall be deemed a waiver by any Party of any right to specific performance or injunctive relief.  
9.11Governing Law.  This Agreement, and all claims or causes of action (whether in contract, tort or statute) that may be based upon, arise out of or relate to this Agreement, or the negotiation, execution or performance of this Agreement (including any claim or cause of action based upon, arising out of or related to any representation or warranty made in or in connection with this Agreement or as an inducement to enter into this Agreement) shall be governed by, enforced, and construed in accordance with, the laws of the State of New York, including its statutes of limitations, regardless of the laws that might otherwise govern under applicable principles of conflicts of law.  The Parties irrevocably and unconditionally submit to the exclusive jurisdiction of the United States District Court in New York County, New York (or if such court does not have subject matter jurisdiction, a State Court of the State of New York located in New York County, New York) solely and specifically for the purposes of any action or proceeding arising out of or in connection with this Agreement.
9.12WAIVER OF JURY TRIAL.  EACH PARTY, TO THE EXTENT PERMITTED BY LAW, KNOWINGLY, VOLUNTARILY, AND INTENTIONALLY WAIVES ITS RIGHT TO A TRIAL BY JURY IN ANY PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT AND THE TRANSACTIONS IT CONTEMPLATES.  THIS WAIVER APPLIES TO ANY PROCEEDING, WHETHER SOUNDING IN CONTRACT, TORT, OR OTHERWISE.
9.13Amendment; Extension; Waiver.  Subject to the provisions of applicable law, the Parties hereto may amend this Agreement at any time pursuant to an instrument in writing signed on behalf of each of the Parties hereto.  At any time, any Party hereto may, to the extent legally allowed, (a) extend the time for the performance of any of the obligations or other acts of the other Parties hereto, (b) waive any inaccuracies in the representations and warranties made to such Party contained herein or (c) waive compliance with any of the agreements or conditions for the benefit of such Party contained herein.  Any agreement on the part of a Party hereto to any such extension or waiver shall be valid only if set forth in an instrument in writing signed on behalf of such Party.  Without limiting the generality or effect of the preceding sentence, no delay in exercising any right under this Agreement shall constitute a waiver of such right, and no waiver of any breach or default shall be deemed a waiver of any other breach or default of the same or any other provision in this Agreement.  
9.14No Benefit to Third Parties.  Covenants and agreements set forth in this Agreement are for the sole benefit of the Parties hereto and their successors and permitted assigns, and they shall not be construed as conferring any rights on any other Persons.

[Signature Page Follows]

IN WITNESS WHEREOF, each of Buyer, BPI, and Seller has caused this Asset Purchase Agreement to be executed and delivered by their respective officers thereunto duly authorized, all as of the date first written above.
ELI LILLY AND COMPANY
By:    /s/ David A. Ricks    
Name:  David A. Ricks    
Title:  Chair and Chief Executive Officer    

BIOMARIN INTERNATIONAL LTD.
By:    /s/ Michael O’Donnell    
Name: Michael O’Donnell
Title: Director

BIOMARIN PHARMACEUTICAL INC.
By:    /s/ Brinda Balakrishnan    
Name: Brinda Balakrishnan    
Title: Group Vice President

Exhibit A
FORM OF BILL OF SALE
This Bill of Sale (this “Bill of Sale”) is entered into as of February [  ], 2022, by and among Eli Lilly and Company (“Buyer”), BioMarin Pharmaceutical Inc. (“BPI”), and BioMarin International Ltd. (“Seller”).
Upon the terms and subject to the conditions of the Asset Purchase Agreement, dated as of February 8, 2022 (the “Asset Purchase Agreement”), by and among Buyer, Seller and BPI, Seller has agreed to sell, and Buyer has agreed to purchase, all right, title and interest in, to and under the Purchased Assets, including the Priority Review Voucher, in each case free and clear of all Encumbrances.
For good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, Buyer and Seller, intending to be legally bound, hereby agree as follows:
1.Defined Terms; Interpretation.  Except as otherwise set forth herein, capitalized terms used in this Bill of Sale shall have the meanings assigned to them in the Asset Purchase Agreement.  This Bill of Sale shall be interpreted in accordance with the rules of construction set forth in Section 9.5 of the Asset Purchase Agreement.
2.Transfer of Purchased Assets.  Pursuant to the terms and subject to the conditions of the Asset Purchase Agreement, (a) Seller hereby sells, assigns, transfers, and conveys to Buyer and its successors and its assigns, and Buyer hereby does purchase from Seller, all of Seller’s right, title and interest in, to and under the Purchased Assets (including the Priority Review Voucher), in each case free and clear of all Encumbrances and (b) BPI hereby sells, assigns, transfers, and conveys to Buyer and its successors and its assigns, and Buyer hereby does purchase from BPI, BPI’s record ownership of the Purchased Assets, which constitutes BPI’s sole interest in the Purchased Assets, free and clear of all Encumbrances.  The right, title and interest in and to the Purchased Assets that is sold, transferred, conveyed, assigned and delivered by Seller and BPI to Buyer hereunder collectively constitutes the entire right, title and interest in and to the Purchased Assets and upon the Closing, Buyer shall have all right, title and interest in and to the Purchased Assets, free and clear of all Encumbrances.
3.Effective Time. This Bill of Sale shall be effective as of the Closing.
4.Binding Effect; Amendments.  This Bill of Sale shall be binding upon, inure to the benefit of, and be enforceable by, the parties hereto and their respective legal representatives, successors and permitted assigns.  Neither this Bill of Sale, nor any term or provision hereof, may be amended, modified, superseded or cancelled except by an instrument in writing signed by each party hereto. 
5.Governing Law. This Bill of Sale and any disputes arising under or related hereto shall be governed by the rules set forth in Section 9.11 of the Asset Purchase Agreement.
6.Counterparts.  This Bill of Sale may be executed in one or more counterparts, each of which shall be deemed an original but all of which together will constitute one and the same instrument.
 
[Signature Page Follows] 
 

IN WITNESS WHEREOF, the parties hereto have caused this Bill of Sale to be executed and delivered as of the date first written above.

ELI LILLY AND COMPANY
By:        
Name:      
Title:      

BIOMARIN INTERNATIONAL LTD.
By:        
Name: 
Title: 

BIOMARIN PHARMACEUTICAL INC.
By:        
Name: 
Title: 

 
 

 
Exhibit B
BPI’s Transfer Acknowledgment Letter
[BPI’s Letterhead]
[Date]
Eli Lilly and Company
[Address]
RE: NDA 214938 for Voxzogo (vosoritide) - Transfer of Rare Pediatric Disease Priority Review Voucher PRV NDA 214938 (the “Voucher”)
Dear [Buyer Contact]:
Reference is made to the subject NDA 214938 and all related correspondence.
Please be advised that as of [Date], Eli Lilly and Company (“Buyer”) has legally accepted complete ownership of the Voucher from BioMarin Pharmaceutical Inc. (“BioMarin”).  BioMarin hereby authorizes transfer of ownership of the Voucher to Buyer.
BioMarin has provided Buyer with an unredacted copy of the Voxzogo (vosoritide) (NDA 214938) approval letter from the U.S. Food and Drug Administration to BioMarin (Reference ID 4905458), which includes the Voucher (the “Approval Letter”).  Buyer agrees to use the Voucher in accordance with the terms of the Approval Letter. 
Please do not hesitate to contact me should you have any questions or comments.

Sincerely,
BioMarin Pharmaceutical Inc. 
By:        
Name: 
Title: 
 

 
Exhibit C
Buyer’s Transfer Acknowledgment Letter
[Eli Lilly and Company Letterhead]
[Date]
BioMarin Pharmaceutical Inc.
105 Digital Drive
Novato, CA 94949

RE: NDA 214938 for Voxzogo (vosoritide) - Transfer of Rare Pediatric Disease Priority Review Voucher PRV NDA 214938 (the “Voucher”)
Dear [Seller Contact]:
Reference is made to the subject NDA 214938 and all related correspondence 
Please be advised that as of [Date], Eli Lilly and Company (“Buyer”) has legally accepted complete ownership of the Voucher from BioMarin Pharmaceutical Inc. (“BioMarin”).
BioMarin has provided Buyer with an unredacted copy of the Voxzogo (vosoritide) (NDA 214938) approval letter from the U.S. Food and Drug Administration (“FDA”) to BioMarin (Reference ID 4905458), which includes the Voucher (the “Approval Letter”).  Buyer will advise the FDA of the legal transfer of the Voucher from BioMarin to Buyer by providing a copy of this letter to the FDA, and agrees to use the Voucher in accordance with the terms of the Approval Letter. 
The regulatory contact information for the Voucher is as follows:
[Buyer Contact]
Please do not hesitate to contact us should you have any questions or comments.
Sincerely,

Eli Lilly and Company
By:        
Name: 
Title: 
 

Exhibit D
Press Release
(attached)

Contact:
             Investors:         Media:
             Traci McCarty         Debra Charlesworth
             BioMarin Pharmaceutical Inc.         BioMarin Pharmaceutical Inc.
             (415) 455-7558        (415) 455-7451
                        
DRAFT NOT For Immediate Release 

BioMarin Sells Priority Review Voucher for $110 Million

SAN RAFAEL, Calif., Feb. XX, 2022—SAN RAFAEL, Calif.,—BioMarin Pharmaceutical Inc. (Nasdaq:BMRN) today announced that it has entered into a definitive agreement with an undisclosed purchaser to sell the Rare Pediatric Disease Priority Review Voucher (PRV) it obtained in November 2021 for a lump sum payment of $110,000,000. The Company received the voucher under an FDA program intended to encourage the development of treatments for rare pediatric diseases. BioMarin was awarded the voucher when it received approval of VOXZOGOTM (vosoritide) for Injection, indicated to increase linear growth in pediatric patients with achondroplasia five years of age and older with open epiphyses (growth plates). The transaction remains subject to customary closing conditions, including anti-trust review. 
"We are pleased to announce the sale of the PRV and plan to direct the proceeds from this voucher sale towards additional investment in an already robust pipeline of investigational therapies for people with genetic diseases,” said Jean-Jacques Bienaimé, Chief Executive Officer of BioMarin. "We are proud to be able to participate in this program and that this voucher will be accelerating the availability of a therapy for patients.”
This is the third Priority Review Voucher that BioMarin has received.  The FDA also awarded PRVs to the company when Brineura® (cerliponase alfa) and Vimizim® (elosulfase alfa) were approved.  Company Management expects that the net gain on the sale of the PRV, after income taxes, will be incremental to the Company’s previously communicated expectation to earn positive GAAP net income in 2022.
About the Rare Pediatric Disease Priority Review Voucher Program
The program is intended to encourage development of new drug and biological products for the prevention and treatment of certain rare pediatric diseases. A PRV is issued to the sponsor of a rare pediatric disease product application and entitles the holder to priority review of a single New Drug Application or Biologics License Application. The sponsor receives the voucher upon approval of the rare pediatric disease product application.  PRVs may be sold or transferred, and there is no limit on the number of times a PRV can be transferred.  
About Food and Drug Administration Standard Review and Priority Review Designations
Prior to approval, each drug marketed in the United States must go through a detailed FDA review process.  In 1992, under the Prescription Drug User Act (PDUFA), FDA agreed to specific goals for improving the drug review time and created a two-tiered system of review times - Standard Review and Priority Review.  A Priority Review designation is given to drugs that provide a significant improvement in the safety or effectiveness of the treatment, prevention, or diagnosis of a serious condition. The FDA goal for reviewing a drug with Priority Review status is six months from the time the application is filed by the FDA, compared to 10 months under standard review.

About BioMarin
BioMarin is a global biotechnology company that develops and commercializes innovative therapies for people with serious and life-threatening rare disorders. The company's portfolio consists of seven commercialized products and multiple clinical and pre-clinical product candidates.   
For additional information, please visit www.BMRN.com. Information on BioMarin's website is not incorporated by reference into this press release.

Forward-Looking Statements
This press release contains forward-looking statements about the business prospects of BioMarin Pharmaceutical Inc., including, without limitation, statements about: the Company’s plans to use the PRV sale proceeds towards additional investment in BioMarin’s development programs and expectations that the net gain on the sale of the PRV, after income taxes, will be incremental to the Company’s previously communicated expectation to earn positive GAAP net income in 2022. These forward-looking statements are predictions and involve risks and uncertainties such that actual results may differ materially from these statements. Additional important factors to be considered in connection with forward-looking statements are detailed from time to time under the caption "Risk Factors" and elsewhere in BioMarin's Securities and Exchange Commission (SEC) filings, including BioMarin's Quarterly Report on Form 10-Q for the quarter ended September 30, 2021, and future filings and reports by BioMarin. BioMarin undertakes no duty or obligation to update any forward-looking statements contained in this press release as a result of new information, future events or changes in its expectations.
BioMarin®, Brineura®, VIMIZIM® and VOXZOGOTM are registered trademarks of BioMarin Pharmaceutical Inc. or its affiliates.Exhibit 10.3

 

THIS WARRANT AND THE SHARES ISSUABLE UPON THE EXERCISE OF THIS
WARRANT HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED. EXCEPT AS OTHERWISE SET FORTH HEREIN OR IN A SECURITIES
PURCHASE AGREEMENT DATED AS OF MARCH __, 2022, NEITHER THIS WARRANT NOR ANY OF SUCH SHARES MAY BE SOLD, TRANSFERRED OR ASSIGNED IN THE
ABSENCE OF AN EFFECTIVE REGISTRATION STATEMENT FOR SUCH SECURITIES UNDER SAID ACT OR, AN OPINION OF COUNSEL, IN FORM, SUBSTANCE AND SCOPE,
CUSTOMARY FOR OPINIONS OF COUNSEL IN COMPARABLE TRANSACTIONS, THAT REGISTRATION IS NOT REQUIRED UNDER SUCH ACT OR UNLESS SOLD PURSUANT
TO RULE 144 OR REGULATION S UNDER SUCH ACT.

 

Right to Purchase ________ Shares of Common Stock, par value
$.0001 per share

 

STOCK PURCHASE WARRANT

 

THIS CERTIFIES THAT, for value received,
_________ or its registered assigns, is entitled to purchase from Avalon GloboCare Corp., a Delaware corporation (the “Company”),
at any time or from time to time during the period specified in Paragraph 2 hereof, ____________ fully paid and nonassessable shares
of the Company’s Common Stock, par value $.0001 per share (the “Common Stock”), at an exercise price per share equal
to $1.25 (the “Exercise Price”). The term “Warrant Shares,” as used herein, refers to the shares of Common Stock
purchasable hereunder. The Warrant Shares and the Exercise Price are subject to adjustment as provided in Paragraph 4 hereof. The term
“Warrants” means this Warrant and the other warrants issued pursuant to that certain Securities Purchase Agreement, dated
March __, 2022, by and among the Company and the Buyers listed on the execution page thereof (the “Securities Purchase Agreement”).

 

This Warrant is subject to the following terms,
provisions, and conditions:

 

1.                 
Manner of Exercise; Issuance of Certificates; Payment for Shares.

 

Subject to the provisions hereof, this Warrant may
be exercised by the holder hereof, in whole or in part, by the surrender of this Warrant, together with a completed exercise agreement
in the form attached hereto (the “Exercise Agreement”), to the Company during normal business hours on any business day at
the Company’s principal executive offices (or such other office or agency of the Company as it may designate by notice to the holder
hereof), and upon payment to the Company in cash, by certified or official bank check or by wire transfer for the account of the Company
of the Exercise Price for the Warrant Shares specified in the Exercise Agreement. The Warrant Shares so purchased shall be deemed to
be issued to the holder hereof or such holder’s designee, as the record owner of such shares, as of the close of business on the
date on which this Warrant shall have been surrendered, the completed Exercise Agreement shall have been delivered, and payment shall
have been made for such shares as set forth above. Certificates for the Warrant Shares so purchased, representing the aggregate number
of shares specified in the Exercise Agreement, shall be delivered to the holder hereof within a reasonable time, not exceeding three
(3) business days, after this Warrant shall have been so exercised. If this Warrant shall have been exercised only in part, then, unless
this Warrant has expired, the Company shall, at its expense, at the time of delivery of such certificates, deliver to the holder a new
Warrant representing the number of shares with respect to which this Warrant shall not then have been exercised.

 

Notwithstanding anything in this Warrant to the
contrary, in no event shall the holder of this Warrant be entitled to exercise a number of Warrants (or portions thereof) in excess of
the number of Warrants (or portions thereof) upon exercise of which the sum of (i) the number of shares of Common Stock beneficially owned
by the holder and its affiliates (other than shares of Common Stock which may be deemed beneficially owned through the ownership of the
unexercised Warrants and the unexercised or unconverted portion of any other securities of the Company (including the Notes (as defined
in the Securities Purchase Agreement)) subject to a limitation on conversion or exercise analogous to the limitation contained herein)
and (ii) the number of shares of Common Stock issuable upon exercise of the Warrants (or portions thereof) with respect to which the determination
described herein is being made, would result in beneficial ownership by the holder and its affiliates of more than 4.9% of the outstanding
shares of Common Stock. For purposes of the immediately preceding sentence, beneficial ownership shall be determined in accordance with
Section 13(d) of the Securities Exchange Act of 1934, as amended, and Regulation 13D-G thereunder, except as otherwise provided in clause
(i) of the preceding sentence. Notwithstanding anything to the contrary contained herein, the limitation on exercise of this Warrant set
forth herein may not be amended without (i) the written consent of the holder hereof and the Company and (ii) the approval of a majority
of shareholders of the Company.

 

Unless permitted by the applicable rules and regulations
of the principal securities market on which the Common Stock is then listed or traded, in no event shall the Company issue upon exercise
of or otherwise pursuant to this Warrant and the other Warrants issued pursuant to the Purchase Agreement more than the maximum number
of shares of Common Stock that the Company can issue pursuant to any rule of the principal United States securities market on which the
Common Stock is then traded (the “Maximum Share Amount”), which shall be 19.99% of the total shares outstanding on
the Closing Date (as defined in the Purchase Agreement), subject to equitable adjustment from time to time for stock splits, stock dividends,
combinations, capital reorganizations and similar events relating to the Common Stock occurring after the date hereof. Once the Maximum
Share Amount has been issued, the Company will use its reasonable efforts to seek and obtain shareholder approval as soon as practicable.

 

     

     

    

 

2.                 
Period of Exercise. This Warrant is exercisable
at any time or from time to time on or after the date on which this Warrant is issued and delivered pursuant to the terms of the Securities
Purchase Agreement and before 6:00 p.m., New York, New York time on the fifth (5th) anniversary of the date of issuance (the “Exercise
Period”). 

 

3.                 
Certain Agreements of the Company. The Company hereby covenants and agrees as follows:

 

(a)              
Shares to be Fully Paid. All Warrant Shares will, upon issuance in accordance with the terms of this Warrant, be validly
issued, fully paid, and nonassessable and free from all taxes, liens, and charges with respect to the issue thereof.

 

(b)             
Reservation of Shares. During the Exercise Period, the Company shall at all times have authorized, and reserved for
the purpose of issuance upon exercise of this Warrant, a sufficient number of shares of Common Stock to provide for the exercise of this
Warrant.

 

(c)              
Successors and Assigns. This Warrant will be binding upon any entity succeeding to the Company by merger, consolidation,
or acquisition of all or substantially all the Company’s assets.

 

4.                 
Antidilution Provisions. During the Exercise Period, the Exercise Price and the number of Warrant Shares shall be subject
to adjustment from time to time as provided in this Paragraph 4.

 

In the event that any adjustment of the Exercise
Price as required herein results in a fraction of a cent, such Exercise Price shall be rounded up to the nearest cent.

 

(a)              
Subdivision or Combination of Common Stock. If the Company at any time subdivides (by any stock split, stock dividend,
recapitalization, reorganization, reclassification or otherwise) the shares of Common Stock acquirable hereunder into a greater number
of shares, then, after the date of record for effecting such subdivision, the Exercise Price in effect immediately prior to such subdivision
will be proportionately reduced. If the Company at any time combines (by reverse stock split, recapitalization, reorganization, reclassification
or otherwise) the shares of Common Stock acquirable hereunder into a smaller number of shares, then, after the date of record for effecting
such combination, the Exercise Price in effect immediately prior to such combination will be proportionately increased.

 

(b)             
Adjustment in Number of Shares. Upon each adjustment of the Exercise Price pursuant to the provisions of this Paragraph
4, the number of shares of Common Stock issuable upon exercise of this Warrant shall be adjusted by multiplying a number equal to the
Exercise Price in effect immediately prior to such adjustment by the number of shares of Common Stock issuable upon exercise of this Warrant
immediately prior to such adjustment and dividing the product so obtained by the adjusted Exercise Price.

 

(c)              
Consolidation, Merger or Sale. In case of any consolidation of the Company with, or merger of the Company into any other
corporation, or in case of any sale or conveyance of all or substantially all of the assets of the Company other than in connection with
a plan of complete liquidation of the Company, then as a condition of such consolidation, merger or sale or conveyance, adequate provision
will be made whereby the holder of this Warrant will have the right to acquire and receive upon exercise of this Warrant in lieu of the
shares of Common Stock immediately theretofore acquirable upon the exercise of this Warrant, such shares of stock, securities or assets
as may be issued or payable with respect to or in exchange for the number of shares of Common Stock immediately theretofore acquirable
and receivable upon exercise of this Warrant had such consolidation, merger or sale or conveyance not taken place. In any such case, the
Company will make appropriate provision to insure that the provisions of this Paragraph 4 hereof will thereafter be applicable as nearly
as may be in relation to any shares of stock or securities thereafter deliverable upon the exercise of this Warrant. The Company will
not effect any consolidation, merger or sale or conveyance unless prior to the consummation thereof, the successor corporation (if other
than the Company) assumes by written instrument the obligations under this Paragraph 4 and the obligations to deliver to the holder of
this Warrant such shares of stock, securities or assets as, in accordance with the foregoing provisions, the holder may be entitled to
acquire.

 

5.                 
Issue Tax. The issuance of certificates for Warrant Shares upon the exercise of this Warrant shall be made without charge
to the holder of this Warrant or such shares for any issuance tax or other costs in respect thereof, provided that the Company shall not
be required to pay any tax which may be payable in respect of any transfer involved in the issuance and delivery of any certificate in
a name other than the holder of this Warrant.

 

6.                 
No Rights or Liabilities as a Shareholder. This Warrant shall not entitle the holder hereof to any voting rights or
other rights as a shareholder of the Company. No provision of this Warrant, in the absence of affirmative action by the holder hereof
to purchase Warrant Shares, and no mere enumeration herein of the rights or privileges of the holder hereof, shall give rise to any liability
of such holder for the Exercise Price or as a shareholder of the Company, whether such liability is asserted by the Company or by creditors
of the Company.

 

     

     

    

 

7.                 
Transfer, Exchange, and Replacement of Warrant.

 

(a)              
Restriction on Transfer. This Warrant and the rights granted to the holder hereof are transferable, in whole or in part,
upon surrender of this Warrant, together with a properly executed assignment in the form attached hereto, at the office or agency of the
Company, provided, however, that any transfer or assignment shall be subject to the conditions set forth in Paragraph 7(f) hereof and
to the applicable provisions of the Securities Purchase Agreement. Until due presentment for registration of transfer on the books of
the Company, the Company may treat the registered holder hereof as the owner and holder hereof for all purposes, and the Company shall
not be affected by any notice to the contrary.

 

(b)             
Warrant Exchangeable for Different Denominations. This Warrant is exchangeable, upon the surrender hereof by the holder
hereof at the office or agency of the Company, for new Warrants of like tenor representing in the aggregate the right to purchase the
number of shares of Common Stock which may be purchased hereunder, each of such new Warrants to represent the right to purchase such number
of shares as shall be designated by the holder hereof at the time of such surrender.

 

(c)              
Replacement of Warrant. Upon receipt of evidence reasonably satisfactory to the Company of the loss, theft, destruction,
or mutilation of this Warrant and, in the case of any such loss, theft, or destruction, upon delivery of an indemnity agreement reasonably
satisfactory in form and amount to the Company, or, in the case of any such mutilation, upon surrender and cancellation of this Warrant,
the Company, at its expense, will execute and deliver, in lieu thereof, a new Warrant of like tenor.

 

(d)             
Cancellation; Payment of Expenses. Upon the surrender of this Warrant in connection with any transfer, exchange, or
replacement as provided in this Paragraph 7, this Warrant shall be promptly canceled by the Company. The Company shall pay all taxes (other
than securities transfer taxes) and all other expenses (other than legal expenses, if any, incurred by the holder or transferees) and
charges payable in connection with the preparation, execution, and delivery of Warrants pursuant to this Paragraph 7.

 

(e)              
Register. The Company shall maintain, at its principal executive offices (or such other office or agency of the Company
as it may designate by notice to the holder hereof), a register for this Warrant, in which the Company shall record the name and address
of the person in whose name this Warrant has been issued, as well as the name and address of each transferee and each prior owner of this
Warrant.

 

(f)               
Exercise or Transfer Without Registration. If, at the time of the surrender of this Warrant in connection with any exercise,
transfer, or exchange of this Warrant, this Warrant (or, in the case of any exercise, the Warrant Shares issuable hereunder), shall not
be registered under the Securities Act of 1933, as amended (the “Securities Act”) and under applicable state securities or
blue sky laws, the Company may require, as a condition of allowing such exercise, transfer, or exchange, (i) that the holder or transferee
of this Warrant, as the case may be, furnish to the Company a written opinion of counsel, which opinion and counsel are acceptable to
the Company, to the effect that such exercise, transfer, or exchange may be made without registration under said Act and under applicable
state securities or blue sky laws, (ii) that the holder or transferee execute and deliver to the Company an investment letter in form
and substance acceptable to the Company and (iii) that the transferee be an “accredited investor” as defined in Rule 501(a)
promulgated under the Securities Act; provided that no such opinion, letter or status as an “accredited investor” shall be
required in connection with a transfer pursuant to Rule 144 under the Securities Act. The first holder of this Warrant, by taking and
holding the same, represents to the Company that such holder is acquiring this Warrant for investment and not with a view to the distribution
thereof. In no event shall the Holder be permitted to assign the Warrant unless provided with express written consent by the Company.

 

8.                 
[Intentionally Omitted]

 

9.                 
Notices. All notices, requests, and other communications required or permitted to be given or delivered hereunder to
the holder of this Warrant shall be in writing, and shall be personally delivered, or shall be sent by certified or registered mail or
by recognized overnight mail courier, postage prepaid and addressed, to such holder at the address shown for such holder on the books
of the Company, or at such other address as shall have been furnished to the Company by notice from such holder. All notices, requests,
and other communications required or permitted to be given or delivered hereunder to the Company shall be in writing, and shall be personally
delivered, or shall be sent by certified or registered mail or by recognized overnight mail courier, postage prepaid and addressed, to
the office of the Company at the address set forth in the Purchase Agreement, or at such other address as shall have been furnished to
the holder of this Warrant by notice from the Company. Any such notice, request, or other communication may be sent by facsimile, but
shall in such case be subsequently confirmed by a writing personally delivered or sent by certified or registered mail or by recognized
overnight mail courier as provided above. All notices, requests, and other communications shall be deemed to have been given either at
the time of the receipt thereof by the person entitled to receive such notice at the address of such person for purposes of this Paragraph
9, or, if mailed by registered or certified mail or with a recognized overnight mail courier upon deposit with the United States Post
Office or such overnight mail courier, if postage is prepaid and the mailing is properly addressed, as the case may be.

 

     

     

    

 

10.             
Governing Law. THIS WARRANT SHALL BE ENFORCED, GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF
NEW YORK APPLICABLE TO AGREEMENTS MADE AND TO BE PERFORMED ENTIRELY WITHIN SUCH STATE, WITHOUT REGARD TO THE PRINCIPLES OF CONFLICT OF
LAWS. THE PARTIES HERETO HEREBY SUBMIT TO THE EXCLUSIVE JURISDICTION OF THE UNITED STATES FEDERAL COURTS LOCATED IN NEW YORK, NEW YORK
WITH RESPECT TO ANY DISPUTE ARISING UNDER THIS WARRANT, THE AGREEMENTS ENTERED INTO IN CONNECTION HEREWITH OR THE TRANSACTIONS CONTEMPLATED
HEREBY OR THEREBY. BOTH PARTIES IRREVOCABLY WAIVE THE DEFENSE OF AN INCONVENIENT FORUM TO THE MAINTENANCE OF SUCH SUIT OR PROCEEDING.
BOTH PARTIES FURTHER AGREE THAT SERVICE OF PROCESS UPON A PARTY MAILED BY FIRST CLASS MAIL SHALL BE DEEMED IN EVERY RESPECT EFFECTIVE
SERVICE OF PROCESS UPON THE PARTY IN ANY SUCH SUIT OR PROCEEDING. NOTHING HEREIN SHALL AFFECT EITHER PARTY’S RIGHT TO SERVE PROCESS
IN ANY OTHER MANNER PERMITTED BY LAW. BOTH PARTIES AGREE THAT A FINAL NON-APPEALABLE JUDGMENT IN ANY SUCH SUIT OR PROCEEDING SHALL BE
CONCLUSIVE AND MAY BE ENFORCED IN OTHER JURISDICTIONS BY SUIT ON SUCH JUDGMENT OR IN ANY OTHER LAWFUL MANNER. THE PARTY WHICH DOES NOT
PREVAIL IN ANY DISPUTE ARISING UNDER THIS WARRANT SHALL BE RESPONSIBLE FOR ALL FEES AND EXPENSES, INCLUDING ATTORNEYS’ FEES, INCURRED
BY THE PREVAILING PARTY IN CONNECTION WITH SUCH DISPUTE.

 

11.             
Miscellaneous.

 

(a)              
Amendments. This Warrant and any provision hereof may only be amended by an instrument in writing signed by the Company
and the holder hereof.

 

(b)             
Descriptive Headings. The descriptive headings of the several paragraphs of this Warrant are inserted for purposes of
reference only, and shall not affect the meaning or construction of any of the provisions hereof.

 

(c)              
Remedies. The Company acknowledges that a breach by it of its obligations hereunder will cause irreparable harm to the
holder, by vitiating the intent and purpose of the transaction contemplated hereby. Accordingly, the Company acknowledges that the remedy
at law for a breach of its obligations under this Warrant will be inadequate and agrees, in the event of a breach or threatened breach
by the Company of the provisions of this Warrant, that the holder shall be entitled, in addition to all other available remedies at law
or in equity, and in addition to the penalties assessable herein, to an injunction or injunctions restraining, preventing or curing any
breach of this Warrant and to enforce specifically the terms and provisions thereof, without the necessity of showing economic loss and
without any bond or other security being required.

 

[REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]

 

     

     

    

 

IN WITNESS WHEREOF, the Company has caused
this Warrant to be signed by its duly authorized officer.

 

	 	AVALON GLOBOCARE CORP.
	 	 	 
	 	By:	 
	 	 	David K. Jin, MD, PhD
	 	 	Chief Executive Officer
	 	 	 
	Dated as of March __, 2022	 	 

 

     

     

    

 

FORM OF EXERCISE AGREEMENT

 

Dated: ________ __, 20__

 

To:______________________

 

The undersigned, pursuant to the provisions
set forth in the within Warrant, hereby agrees to purchase ________ shares of Common Stock covered by such Warrant, and makes payment
herewith in full therefor at the price per share provided by such Warrant in cash or by certified or official bank check in the amount
of equal to $_________. Please issue a certificate or certificates for such shares of Common Stock in the name of and pay any cash for
any fractional share to:

 

	 	Name:	 
	 	 	 
	 	Signature:	 
	 	Address:	 
	 	 	 

 

		Note:	The above signature should correspond exactly with the name on the face of the within Warrant, if applicable.

 

     

     

    

 

FORM OF ASSIGNMENT

 

 

FOR VALUE RECEIVED, the
undersigned hereby sells, assigns, and transfers all the rights of the undersigned under the within Warrant, with respect to the number
of shares of Common Stock covered thereby set forth hereinbelow, to:

 

	Name of Assignee	Address	No of Shares
	 	 	 

 

, and hereby irrevocably constitutes and appoints ___________________________________
as agent and attorney-in-fact to transfer said Warrant on the books of the within-named corporation, with full power of substitution in
the premises.

 

Dated:________ __, 20__

 

	In the presence of:	 	 
	 	Name:	 

 

	 	Signature:	 
	 	Title of Signing Officer or Agent (if any):
	 	 	 
	 	Address:	 
	 	 	 

 

 

		Note:	The above signature should correspond exactly with the name on the face of the within Warrant, if applicable.

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