Document:

Comprehensive Credit Line Contract 

 

Reference No. : 2014zhenzhongyinbuexiezi
No.0000162

 

Party A: Shenzhen Highpower Technology
(Shenzhen) Co., Ltd

Business License: 440307503274740

Legal Representative: Dangyu Pan

Address: Building A2, Luoshan Industrial Zone,
Longgang District, Shenzhen

Postal code: 518111

Deposit A/C and financial institutions: Bank
of China, Pinghu Sub-branch, Shenzhen,

Telephone: 8968 6236 ; Facsimile: 8968 6298

 

Party B: Bank of China, Buji Sub-branch.

Legal Representative: LI YANSHAN

Address: 108, Buji Road, Buji Town, Longgang
District, Shenzhen; Postal code: 518112

Telephone: 2827 4825 ; Facsimile: 2827 0847

 

The parties agree as follow.

 

Clause 1 Scope of Business

 

Satisfied by condition precedent defined in
this contract, Party A is allowed to apply for recurring, temporary or one-off credit line from Party B in the form of a short-term
loan, deposit account overdraft, bank acceptance, trade finance, bank guarantee, or other monetary financing or credit authorization
business (“Specific credit line business”).

The trade finance business under this contract
is included and limited to: international letter of credit, domestic letter of credit, import bill advance, shipping guarantee,
packing credit, export bill purchase, export bill discount, import bill advance under LC, negotiation credit and other international
and domestic trade finance business.

The bank guarantee business under this contract
is including bank guarantee, standby letter of credit and all sorts of bank guarantee business.

 

Clause 2 Types and amount of credit line

 

Party B agrees to offer the following:

Currency in: Renminbi

	Amount:	Renmibi Seventy million
	 	RMB  70,000,000.00
	Types:	1. Loans : RMB40,000,000.00
	 	2. Bank Acceptances: RMB30,000,000.00

 

    	 

    	 

    

 

Clause 3 Usage of credit lines

 

		1.	Within the credit line period, under the agreed upper limits on each type of credit line, Party A
can use the credit line recurrently. If Party A needs to apply for the one-off credit line, a written application is required.
And both parties should agree that Party B has the final say on whether and how the one-off credit line will be granted. Party
B will notify Party A in written once the decision is made.

		2.	This contract will override all the credit line contracts previously signed by Party A and Party B.
Upon the effective date of this contract, all the used and unused credit lines prior to this contract will be considered as used
and unused credit lines under this contract

		3.	Unless otherwise agreed, the following business will not occupy the credit line under this contract.

		1)	Export bill purchase business with precisely matched bills, documents and certificates

		2)	Outwards letters of credit, bank guarantee and trade finance business which Party B agreed to act
as confirming bank.

		3)	Any credit line business which guaranteed by Party A by deposits, government bonds, deposit certificates
issued by Party B, bank acceptance, guarantee or standby letters of credit accepted by Party B

		4)	Any other business agreed by both parties.

The above defined businesses, although
they will not occupy the credit limits under this contract, they will still be considered as inseparable part of the contract.

 

Clause 4 Application of specific credit
line business

 

Written applications or separate contracts
are required from Party A to apply for a specific credit line.

 

Clause 5 Period

 

The credit line defined in clause 2 under
this contract will be started from the effective date and end on Mar 10th 2015.

Upon negotiation, both parties can extend
the contract period by signing supplementary contracts. Party B will continue to provide credit lines under supplementary contracts.
All terms and conditions under this contract have the equivalent legal effects and restrictions on the supplementary contracts.

The termination of a specific credit line
will only occur when all the rights and obligations are fulfilled. The above period has no limitation on specific credit line under
this contract.

  

Clause 6 Condition Precedents of specific
credit line business

 

Party A should fulfill the following conditions
precedent before applying for a specific credit line business

		1)	File the necessary documents, stamps and signatures in Party B in relating to this contract and all
the specific credit line contract under this contracts

		2)	Open the necessary bank account

		3)	Make sure the required guarantee contracts are properly in place

		4)	Other conditions precedent required for specific credit line contracts

		5)	Other conditions precedent required by Party B

 

    	 

    	 

    

 

Clause 7 Guaranty

 

For all the liabilities occurred under this
contract and the specific credit line contract affiliated to this contract should be guaranteed by the following:

Maximum Amount Guarantee provided by:

		1)	Springpower Technology Co. Ltd, a guarantee contract is signed separately;

		2)	Dangyu Pan, a guarantee contract is signed separately;

Collateral
on the Maximum Amount

		1)	The collateral is provided by Party A, a collateral contract is signed separately;

 

Under certain circumstances that Party A or
the Guarantor might be unable to fulfill or make Party B believe they are unable to fulfill the contractual capacity, e.g: Guarantee
Contracts are invalid, Party A is or will be under significant business difficulties or risks: deteriorated financials, litigation
issues which might affect its repayment ability, Guarantors were found default in other contracts with Party B, devaluation, dismissal
or damage of collaterals which might cause the value of the collaterals slaked or losses. Party B reserves the right to and Party
A has the obligation to additional or replace the guarantor.

 

Clause 8 Statement and Commitment

 

		1.	Party A’s statement:

		1)	Party A is legally registered and operating, and owning the full civil rights required by this contract.

		2)	Signing and performing the contract is the true will of Party A, Party A has been granted all necessary
authorizations in effect before signing the contract. The contract does not form a default for other contracts signed and performed
by Party A. It is Party A’s responsibility to complete all required approvals, registrations, permits and filings.

		3)	All documents and information provided by Party A to Party B are true, complete, accurate and effective.

		4)	All the transactions mentioned by Party A for apply specific credit line should be real and not for
illegal purposes such as: money laundry.

		5)	No hidden events regarding Party A and guarantor’s financial and repayment abilities

 

		2.	Party A’s commitment:

		1)	Timely delivery of the financial statements and other relevant information, (including but not limited
to annual, quarterly and monthly financial reports.

		2)	Cooperate in Party B’s exam and inspection on the utilization of the loan as well as Party A’s
financials and operations

		3)	Any counter-guarantee agreement between the guarantors and Party A will not affect the Party B’s
underlying rights under this contract

		4)	Under circumstances Party A or Guarantor’s capability of performing the contract might be affected,
Party A should notify Party B in time. Those circumstances include but are not limited to significant organizational changes, e.g.
business splitting, merger and termination, disposal of major assets, restructuring, reorganization, joint venture arrangement
with foreign capitals, changing of controlling shareholders or de facto control of Party A, capital reduction, liquidation, re-pledge
of the encumbered assets, withdrawal, bankruptcy, dissolution and involvement in significant lawsuits.

 

    	 

    	 

    

 

		5)	As for undefined business practice, Party A is committed to follow Party B’s regulation and
normal practice in daily operation.

		6)	Party A committed not to distribute bonus during the credit period

		7)	Agreed by both parties, for the purpose to ensure the Party B’s claims on credit funds and Party
B’s convenience to monitoring the repayment progress, Party A should guarantee the proportion of sales fund received in Party
A’s account opened with Party B over Party A’s total sales should be matching to the proportion of Party A’s
credit line received from Party B over Party A’s total credit line received from financial institution.

 

		8)	At any time credit balance does not exceed 10 million

 

Clause 9 Related party and related party
transaction of Party A

 

Party A is not defined as Group Credit Customer
by Party B in accordance with “Guidance of Risk Management by Commercial Banks for Granting Credit to Customer Groups”

 

Clause 10 Breach of Covenants

 

Any of the following situations would be considered
as breach of contract covenant:

 

		1.	Party A did not perform the repayment obligation under this contract or the affiliated specific credit
line contracts

		2.	Party A has not used the credit funds according to agreed purposes.

		3.	Party A’s statement in this contract or the affiliated specific contracts are untrue or in violation
with Party A’s commitment in this or the affiliated specific contracts.

		4.	Under the circumstance defined in 2.4) in Clause 8, Party A refused to provide additional guarantee
or replacement of new guarantor

		5.	Party B is or will be under significant business difficulties or risks: deteriorated financials, significant
financial losses and loss of assets (including but not limited asset losses for fulfill guarantee obligations) or other financial
crisis.

		6.	Party A is in violation with other rights and obligations agreed in this contract.

		7.	Party A breaches the covenants on other credit line contracts with Party B or other affiliated institutions
of Bank of China.

		8.	Guarantors breach the covenants on other credit line contracts with Party B or other affiliated institutions
of Bank of China.

When any of the above mentioned
situation noticed, Party B will perform the following in separate or all at the same time:

		1)	Request Party A or Guarantor to rectify within a definite time.

		2)	Reduce, temporarily pause or permanently terminate Party A’s Credit limit in part or in all

 

    	 

    	 

    

 

		3)	Temporarily pause or permanently terminate in part or in all of Party A’s application on specific
credit line under this contract.

		4)	Announce the immediate expiration on all the credit lines granted under this contract and affiliated
specific credit line contracts.

		5)	Terminate or release this contract, terminate or release in part or in all of the affiliated specific
credit line contracts as well as the other contracts signed between Party A and Party B.

		6)	Request compensation from Party A on the losses thereafter caused.

		7)	Party A’s deposit account in Party B will be hold in custody for debt pay off for the comprehensive
credit line and specific credit line under this contract. All the undue liabilities were deeming due and entitled the immediate
payoff from Party A’s restricted accounts. If the currency in deposit account is different from the currency of the liabilities,
the exchange rate on the date of the hold in custody will be applied.

		8)	Real rights granted by way of security will be executed.

		9)	Assume the guarantee responsibility on Guarantors.

		10)	Other necessary procedures on Party B’s concern

 

Clause 11 Rights reserved

 

Either party might reserve part of or all
of the rights under this contract and the affiliated specific credit line contracts, this does not imply the party has surrendered
or remitted the unperformed rights and obligations.

 

Either party might sometimes tolerate, extend
or delay the execution of certain rights, this does not deem as the party has surrendered or remitted the rights.

  

Clause 12 Change, Modification, Termination
and Partial invalidity

 

Upon negotiation and agreement by both parties,
this contract can be changed and modified, the written record of the changes and modifications should form the inseparable part
of this contract.

 

Unless ruled by law or both parties formed
a separate agreement, the contract would not be terminated prior to all the rights and obligations defined are fulfilled.

 

Unless ruled by law or both parties formed
a separate agreement, the void of single terms under this contract should no invalid other contract under this contract.

 

Clause 13 Applicable Law and Resolution
for Dispute 

 

		1.	This contract is entered into according with the People’s Republic of China, and applicable
to the law of the People’s Republic of China.

		2.	The resolution of dispute should be appealed in Party B or other Bank of China subsidiaries defined
in this contract or other affiliated contracts

 

    	 

    	 

    

 

Clause 14 Attachments 

 

Below attachments are agreed by both parties,
formed an inseparable part of this contract, thereafter in the same legal position as this contract.

Attachment 1: Appendix terms.

 

Clause 15 Other terms and conditions

 

		1.	Without Party B’s prior written approval, Party A is not allowed to transfer the rights and
obligations under this contract to 3rd Parties.

		2.	Party A should give the consent that, Party B might somehow authorize other affiliated institutions
of Bank of China to perform the obligation. The performing party is entitled to all the rights and obligations under this contract
and the affiliated credit line contracts, the performing party reserves the rights to appeal a resolution of dispute if necessary.

		3.	The contract has equivalent restrictions to the successors or inherits of both parties.

		4.	Unless otherwise agreed, the domicile addresses stated in this contract are for corresponding use;
both parties should notify each other in writing about any changes of its domicile addresses.

		5.	The title and name of business product is for business purposes, will not used for interpretation
of the contract terms and the rights and obligations.

		6.	If required by the governing institutions, Party B might not be able to perform the obligations agreed
in this contract. Party is exempted from punishment under this circumstance.

 

Clause 16 Effectiveness of the contract

 

This contract is established and entered into
effective upon signing or sealing by the legal representatives (or person-in-charge) of Party A and Party B or their duly authorized
agents, together with sealing by the company chop.

 

This contract will be print and signed in
seven copies, Party A and the guarantors hold one copy each, Party B holds three copies, collateral registry authority holds one
copy, each copy has the same legal effect.

 

	/s/ Dangyu Pan	 
	Stamp of Party A	 
	Signature of director or authorized representative	 
	Mar 10, 2013	 
	 	 
	/s/ [COMPANY SEAL]	 
	Stamp of Party B	 
	Signature of legal representative or authorized representative	 
	Mar 10, 2013	 

 

Attachment 1:

If there are discrepancies in contents
in the attachment with this contract, this contract should prevail.

Specific to the 2nd
paragraph of Clause 3:” This contract will override all the credit line contracts previously signed by Party A and
Party B. Upon the effective date of this contract, all the used and unused credit lines prior to this contract will be considered
as used and unused credit lines under this contract”.

“all the credit line contracts
previously signed” here means the contract signed with reference no of “2013zhenzhongyinbuexiezi No. 0000099.

 

    	 

    	 

    

Maximum Amount Guaranty Contract 

 

Reference No. : 2014zhenzhongyinbubaoezi
No.0013

 

Guarantor: Springpower Technology (Shenzhen)
Co., Ltd

Business Licences: 440306503295562

Legal Representative: Dangyu Pan

Address: Factory A, Chaoshun Industrial Zone,
Renmin Road, Fumin Residential Area, Guanlan, BaoAn District,

Postal code: 518000

Deposit A/C and financial institutions: Bank
of China, Pinghu Sub-branch, Shenzhen,

Telephone: 2802 9923 ; Facsimile: 2802 9923

 

Creditor: Bank of China, Buji Sub-branch.

Legal Representative: LI YANSHAN

Address: 108, Buji Road, Buji Town, Longgang
District, Shenzhen; Postal code: 518112

Telephone: 2827 4825 ; Facsimile: 2827 0847

 

To guarantee the performing of the principle
contract stated in Clause 1, both parties agree the following:

 

Clause 1 Principle Contract

 

		1.	The principle contract is “Comprehensive credit contract (2014zhenzhongyinbuexiezi No 0000162)”
and its supplements signed between Creditor and Debtor, Shenzhen Highpower Technology (Shenzhen) Co., Ltd

 

		2.	The principle contract is “Fixed asset loan contract (2012zhenzhongyinbujiezi No 00002)”
and its supplements signed between Creditor and Debtor, Shenzhen Highpower Technology (Shenzhen) Co., Ltd

 

Clause 2 Principle Creditor’s rights
and the period

 

Unless otherwise agreed, the creditor’s
rights under the following contracts and the creditor’s rights occurred before the engagement of this contract constitutes
the principle creditor’s rights of this contract.

 

		1.	The creditor’s right occurred under comprehensive contract starting from the date of effectiveness,
and ends upon the expiration of all the specific creditor’s rights.

 

		2.	The creditor’s right occurred under fixed assets loan contract starting from the date of effectiveness,
and ends upon the repayment date defined on the contract.

  

Clause 3 The maximum amount guaranteed

 

		1.	The maximum amount assumed guaranteed is:
	 	 	Currency:
Renminbi
	 	 	Amount (Capital
letter): One hundred and six million
	 	 	Amount (in
numbers): 106,000,000

 

    	 

    	 

    

 

		2.	The principle creditor’s rights under the principle contract constitute the principle creditor’s
rights under this contract, which includes: loan principle, interest, compound interest, punitive interest, liquidated damage,
the cost for realization of the creditor’s right (includes but not limited to the announcement fee, delivery fees, appraisal
fees, legal fees, travel expenses, assessment fees, auction fees, the property preservation fee, compulsory execution fee and etc),
as well as the Pledgee’s loss due to the breach of covenants.

 

The sum of the above terms constitutes
the maximum amount of guaranteed for this contract.

 

Clause 4 Types of guaranty

 

Joint responsibility guaranty.

 

Clause 5 The guarantee responsibilities

 

Under the circumstance that, the debtor of
principle contract failed to pay off the creditor’s rights when due (on due date or early termination date), the guaranty
is assumed to be responsible in accordance with this contract.

The due date in the previous sentence means
the repayment date agreed in the principle contract. The early termination date is the termination date request by creditor per
law or per agreements under the principle contracts.

Creditor’s rights on other guarantee
contracts or collateral contracts should not have an impact on the performing of this contract. Guarantor should assume responsibility
under this contract rather than plea with the execution in order.

 

Clause 6 The responsible period

 

The responsible period for this contract is
two years after the establishment of the creditor’s rights under Clause 2

During the period, Creditor is entitled to
the right to request the assumption of responsibility from Guarantor in full or in part on one or on all creditor rights.

  

Clause 7 The duration of action

 

During the period that the creditor’s
rights have not been paid off when due, Guarantor is assumed responsible under the joint responsibility guarantee. Creditor is
entitled to claim the rights within the responsible period defined in Clause 6, the duration of action started upon the request.

 

    	 

    	 

    

 

Clause 8 The relationship between this
contract and the principle contract

 

Upon the termination or early termination
of the principle contract, Guarantor assumes guarantee responsibility on occurred debt.

The change of principle contract will not
be informed to the Guarantor unless under the following circumstances, change of currency, interest rate, amount, period, or other
terms which might affect the increase of the amount of the principle creditor’s rights or extend the effective period of
the principle contract. Guarantor remains obligated to assume the guarantee responsibility to the changed principle contract.

Under the previous stated circumstance which
Guarantor‘s consent is required, Pledgor Guarantor is entitled to the right to reject to assume the guarantee responsibility
on the incremental portion.

Under the circumstances that, Creditor provide
the letter of credit, trade financing services to debtor under the principle contract, Guarantor won’t be notified but assumed
guarantee responsibility. It is the Creditor’s responsibility to registry for the incremental business contract.

 

Clause 9 Statements and Commitments

 

Guarantor’s statement: 

1. Guarantor is legally registered
and operating, and owns the full civil rights required by this contract.

2. Signing and performing the
contract is the true will of Guarantor, Guarantor has been granted all necessary authorizations in effect before signing the contract.
The contract does not form a default for other contracts signed and performed by Guarantor. It is Guarantor’s responsibility
to complete all required approvals, registrations, permits and filings.

3. All document and information
provided by Guarantor to Creditor are true, complete, accurate and effective.

4. Guarantor is willing to cooperate
in the check and inspection on its financial conditions performed by Creditor.

5. Guarantor did not conceal any
existing liability upon the signing of the contract

6. Inform the Creditor in time
for any issues might affect Guarantor’s performing capability, which including but not limited to business splitting, merger
and termination, disposal of major assets, restructuring, reorganization, joint venture arrangement with foreign capitals, changing
of controlling shareholders or de facto control of Party A, capital reduction, liquidation, re-pledge the encumbered assets, withdrawal,
bankruptcy, dissolution and involved in significant law suits.

  

Clause 10 Breach of covenants

 

Any of the following situations would be considered
as breach of contract covenant:

1. Guarantor is in violation with the previous
terms of the contract.

2. The statements of the Guarantor is untrue
or in violation with its commitments

3. The occurrence of issues defined under
the point 6 of clause 9 which might affect the Guarantor’s financial position and performing capability.

4. Experiencing the termination of operation
or bankruptcy.

5. In violation with other rights and obligations
agreed in this contract.

6. Guarantor breaches the covenants on other
credit line contracts with Party B or other affiliated institutions of Bank of China.

 

    	 

    	 

    

 

When any of the above mentioned
situations noticed, Creditor will perform the following in separate or all at the same time:

1) Request Guarantor to rectify within a definite
time.

2) Reduce, temporarily pause or permanently
terminate Guarantor’s Credit limit in part or in all

3) Temporarily pause or permanently terminate
in part or in all of Guarantor’s application on specific credit line under this contract.

4) Announce the immediate expiration on all
the credit lines granted under this contract and affiliated specific credit line contracts.

5) Terminate or release this contract, terminate
or release in part or in all of the affiliated specific credit line contracts as well as the other contracts signed between Guarantor
and Creditor

6) Request compensation from Guarantor on
the losses thereafter caused.

7) Assume the guarantee responsibility on
Guarantors.

8) Other necessary procedures on Party B’s
concern

 

Clause 11 Rights reserved

 

Either party might reserve part
of or all of the rights under this contract and the affiliated specific credit line contracts, this does not imply the party has
surrendered or remitted the unperformed rights and obligations.

Either party might sometimes tolerate,
extend or delay the execution of certain rights, this does not deem as the party has surrendered or remitted the rights.

  

Clause 12 Change, Modification, Termination
and Partial invalidity

 

Upon negotiation and agreed by both parties,
this contract can be changed and modified, the written record of the changes and modifications should form the inseparable part
of this contract.

Unless ruled by law or both parties formed
a separate agreement, the contract would not be terminated prior to all the rights and obligations defined are fulfilled.

Unless ruled by law or both parties formed
a separate agreement, the void of single terms under this contract should no invalid other contract under this contract.

 

Clause 13 Applicable Law and Resolution
for Dispute

 

1. This contract is entered into according
with the People’s Republic of China, and applicable to the law of the People’s Republic of China.

2. The resolution of dispute should be appealed
in Party B or other Bank of China subsidiaries defined in this contract or other affiliated contracts

 

Clause 14 Attachments 

 

Not applicable

 

    	 

    	 

    

 

Clause 15 Other terms and conditions

 

1. Without Creditor’s prior written
approval, Guarantor is not allowed to transfer the rights and obligations under this contract to 3rd Parties.

2. Guarantor should give the consent that,
Creditor might somehow authorize other affiliated institution of Bank of China to perform the obligation. The performing party
entitles all the rights and obligations under this contract and the affiliated credit line contracts, the performing party reserves
the rights to appeal a resolution of dispute if necessary.

3. The contract has equivalent restrictions
to the successors or inherits of both parties.

4. Unless otherwise agreed, the domicile addresses
stated in this contract are for corresponding use; both parties should notify each other in writing about any changes of its domicile
addresses.

5. The title and name of business product
is for business purposes, will not used for interpretation of the contract terms and the rights and obligations.

 

Clause 16 Effectiveness of the contract

 

This contract is established and enters into
effective upon signing or sealing by the legal representatives (or person-in-charge) of Guarantor and Creditor or their duly authorized
agents, together with sealing by the company chop.

The pledge is established upon the effectiveness
of this contract.

This contract will be printed and signed in
five copies, Guarantor and the debtor hold one copy each, Creditor holds three copies; each copy has the same legal effect

  

	[COMPANY SEAL]	 
	Stamp of Guarantor (if Guarantor is a corporation)	 
	Signature of Authorized Representative	 
	Mar 10, 2014	 
	 	 
	/s/ [COMPANY SEAL]	 
	Stamp of Creditor (if Creditor is a corporation)	 
	Signature of legal representative or authorized representative	 
	Mar 10, 2014	 

 

    	 

    	 

    

Maximum Amount Guaranty Contract 

(Applicable if guarantor is natural person)

 

Reference No. : 2014zhenzhongyinbubaoezi
No.0014

 

Guarantor: Dangyu Pan

Type of certification: identification card

Certification number:

Address: Building A2, Luoshan Industrial Zone,
Longgang District, Shenzhen

Postal code: 518111

Telephone: 8968 6236 ; Facsimile: 8968 6298

 

Creditor: Bank of China, Buji Sub-branch.

Legal Representative: LI YANSHAN

Address: 108, Buji Road, Buji Town, Longgang
District, Shenzhen; Postal code: 518112

Telephone: 2827 4825 ; Facsimile: 2827 0847

 

To guarantee the performing of the principle
contract stated in Clause 1, both parties agree the following:

 

Clause 1 Principle Contract

 

1. The principle contract is “Comprehensive
credit contract (2014zhenzhongyinbuexiezi No 0000162)” and its supplements signed between Creditor and Debtor, Shenzhen Highpower
Technology (Shenzhen) Co., Ltd

2. The principle contract is “Fixed
asset loan contract (2012zhenzhongyinbujiezi No 00002)” and its supplements signed between Creditor and Debtor, Shenzhen
Highpower Technology (Shenzhen) Co., Ltd

 

Clause 2 Principle Creditor’s rights
and the period

 

Unless otherwise agreed, the creditor’s
rights under the following contracts and the creditor’s rights occurred before the engagement of this contract constitutes
the principle creditor’s rights of this contract.

1. The creditor’s right occurred under
comprehensive contract starting from the date of effectiveness, and ends upon the expiration of all the specific creditor’s
rights.

2. The creditor’s right occurred under
fixed assets loan contract starting from the date of effectiveness, and ends upon the repayment date defined on the contract. 

 

Clause 3 The maximum amount guaranteed

 

		1.	The
maximum amount assumed guaranteed is:

Currency: Renminbi

Amount (Capital letter): One
hundred and six million only

Amount (in numbers): 106,000,000

 

    	 

    	 

    

 

		2.	The principle creditor’s rights under the principle contract constitute the principle creditor’s
rights under this contract, which includes: loan principle, interest, compound interest, punitive interest, liquidated damage,
the cost for realization of the creditor’s right (includes but not limited to the announcement fee, delivery fees, appraisal
fees, legal fees, travel expenses, assessment fees, auction fees, the property preservation fee, compulsory execution fee and etc),
as well as the Pledgee’s loss due to the breach of covenants.

 

The sum of the above terms constitutes
the maximum amount of guaranteed for this contract.

 

Clause 4 Types of guaranty

 

Joint responsibility guaranty.

 

Clause 5 The guarantee responsibilities

 

Under the circumstance that, the debtor of
principle contract failed to pay off the creditor’s rights when due (on due date or early termination date), the guaranty
is assumed to be responsible in accordance with this contract.

The due date in the previous sentence means
the repayment date agreed in the principle contract. The early termination date is the termination date request by creditor per
law or per agreements under the principle contracts.

Creditor’s rights on other guarantee
contracts or collateral contracts should not have an impact on the performing of this contract. Guarantor should assume responsibility
under this contract rather than plea with the execution in order.

 

Clause 6 The responsible period

 

The responsible period for this contract
is two years after the establishment of the creditor’s rights under Clause 2

During the period, Creditor is entitled
to the right to request the assumption of responsibility from Guarantor in full or in part on one or on all creditor rights.

 

Clause 7 The duration of action

 

During the period that the creditor’s
rights have not been paid off when due, Guarantor is assumed responsible under the joint responsibility guarantee. Creditor is
entitled to claim the rights within the responsible period defined in Clause 6, the duration of action started upon the request.

 

    	 

    	 

    

 

Clause 8 The relationship between this
contract and the principle contract

 

Upon the termination or early termination
of the principle contract, Guarantor assumes guarantee responsibility on occurred debt.

The change of principle contract will not
be informed to the Guarantor unless under the following circumstances, change of currency, interest rate, amount, period, or other
terms which might affect the increase of the amount of the principle creditor’s rights or extend the effective period of
the principle contract. Guarantor remains obligated to assume the guarantee responsibility to the changed principle contract.

Under the previous stated circumstance which
Guarantor‘s consent is required, Pledgor Guarantor is entitled to the right to reject to assume the guarantee responsibility
on the incremental portion.

Under the circumstances that, Creditor provide
the letter of credit, trade financing services to debtor under the principle contract, Guarantor won’t be notified but assumed
guarantee responsibility. It is the Creditor’s responsibility to registry for the incremental business contract.

 

Clause 9 Statements and Commitments

 

Guarantor’s statement: 

		a)	Guarantor is a natural person who possesses the capacity for civil rights and civil conducts in People’s
Republic of China to perform this contract. Party A can perform the civil conduct independently, no bad credit records such as
debt overdue, overdue interest, malicious overdraft on credit card, no criminal records, qualified to be a legal guarantor.

		b)	Guarantor has full understanding about the terms and conditions set forth in the contract. It is Guarantor’s
true will to provide guarantee to debtor.

		c)	The establishment of this contract will not constitute a breach of covenant of any other previous
contract Guarantor engaged in.

		d)	All documents and information provided by Guarantor to Creditor are true, complete, accurate and effective.

		e)	Guarantor is willing to cooperate in the checking and inspection of its financial conditions performed
by Creditor.

		f)	Guarantor did not conceal any existing liability upon the signing of the contract

		g)	Inform the Creditor in time for any issues might affect Guarantor’s performing capability, which
including but not limited to losses of assets, transfer, donation, assume responsibility on liabilities, involved in significant
law suits or disputes.

		h)	If the Guarantor is married, make sure the sponsor’s consent is obtained.

 

Clause 10 Authorization of access to personal
information

 

Guarantor authorizes the access of personal
information in the personal credit information database in the People’s Bank of China to Creditor under the following circumstances.

 

		1.	Reference check on the Guarantor’s credit status.

		2.	Reference check on the Guarantor’s guarantee status.

		3.	After-loan management on the personal credit and guarantee status

 

    	 

    	 

    

 

		4.	Accept the credit line application of which the Guarantor guaranteed or to be legal representative
or one of the funders.

 

Clause 11 Breach of covenants

 

Any of the following situations would be considered
as breach of contract covenant:

1. Guarantor is in violation with the previous
terms of the contract.

2. The statements of the Guarantor is untrue
or in violation with its commitments

3. The occurrence of issues defined under
the point 7 of clause 9 which might affect the Guarantor’s financial position and performing capability.

4. In violation with other rights and obligations
agreed in this contract.

5. Guarantor breaches the covenants on other
credit line contracts with Party B or other affiliated institutions of Bank of China.

 

When any of the above mentioned
situations noticed, Creditor will perform the following in separate or all at the same time:

1) Request Guarantor to rectify within a definite
time.

2) Reduce, temporarily pause or permanently
terminate Guarantor’s Credit limit in part or in all

3) Temporarily pause or permanently terminate
in part or in all of Guarantor’s application on specific credit line under this contract.

4) Announce the immediate expiration on all
the credit lines granted under this contract and affiliated specific credit line contracts.

5) Terminate or release this contract, terminate
or release in part or in all of the affiliated specific credit line contracts as well as the other contracts signed between Guarantor
and Creditor

6) Request compensation from Guarantor on
the losses thereafter caused.

7) Assume the guarantee responsibility on
Guarantors.

8) Other necessary procedures on Party B’s
concern

 

Clause 12 Rights reserved

 

Either party might reserve part
of or all of the rights under this contract and the affiliated specific credit line contracts, this does not imply the party has
surrendered or remitted the unperformed rights and obligations.

Either party might sometimes tolerate,
extend or delay the execution of certain rights, this does not deem as the party has surrendered or remitted the rights.

 

Clause 13 Change, Modification, Termination
and Partial invalidity

 

Upon negotiation and agreement by both parties,
this contract can be changed and modified, the written record of the changes and modifications should form the inseparable part
of this contract.

Unless ruled by law or both parties formed
a separate agreement, the contract would not be terminated prior to all the rights and obligations defined are fulfilled.

Unless ruled by law or both parties formed
a separate agreement, the void of single terms under this contract should no invalid other contract under this contract.

  

    	 

    	 

    

 

Clause 14 Applicable Law and Resolution
for Dispute

 

1. This contract is entered into according
with the People’s Republic of China, and applicable to the law of the People’s Republic of China.

2. The resolution of dispute should be appealed
in Party B or other Bank of China subsidiaries defined in this contract or other affiliated contracts

 

Clause 15 Attachments 

 

Sponsor’s consent.

 

Clause 16 Other terms and conditions

 

		1.	Without Creditor’s prior written approval, Guarantor is not allowed to transfer the rights and
obligations under this contract to 3rd Parties.

		2.	Guarantor should give the consent that, Creditor might somehow authorize other affiliated institutions
of Bank of China to perform the obligation. The performing party is entitled to all the rights and obligations under this contract
and the affiliated credit line contracts, the performing party reserves the rights to appeal a resolution of dispute if necessary.

		3.	The contract has equivalent restrictions to the successors or inherits of both parties.

		4.	Unless otherwise agreed, the domicile addresses stated in this contract are for corresponding use;
both parties should notify each other in writing about any changes of its domicile addresses.

		5.	The title and name of business product is for business purposes, will not used for interpretation
of the contract terms and the rights and obligations.

 

Clause 17 Effectiveness of the contract

 

This contract is established and entered into
effective upon signing or sealing by the legal representatives (or person-in-charge) of Pledgor and Pledgee or their duly authorized
agents, together with sealing by the company chop.

The pledge is established upon the effectiveness
of this contract.

This contract will be printed and signed in
five copies, Guarantor and the debtor hold one copy each, Creditor holds three copies; each copy has the same legal effect

 

	/s/ Dangyu Pan	 
	Signature of Guarantor and Sponsor	 
	Mar 10, 2014	 
	 	 
	/s/ [COMPANY SEAL]	 
	Stamp of Creditor (if Pledgee is a corporation)	 
	Signature of legal representative or authorized representative	 
	Mar 10, 2014	 

 

    	 

    	 

    

Collateral Contract 

 

Reference No. : 2014zhenzhongyinbudiezi No.0015

 

Pledgor: Shenzhen Highpower Technology
(Shenzhen) Co., Ltd

Business License: 440307503274740

Legal Representative: Dangyu Pan

Address: Building A2, Luoshan Industrial Zone,
Longgang District, Shenzhen

Postal code: 518111

Deposit A/C and financial institutions: Bank
of China, Pinghu Sub-branch, Shenzhen,

Telephone: 8968 6236 ; Facsimile: 8968 6298

 

Pledgee: Bank of China, Buji Sub-branch.

Legal Representative: LI YANSHAN

Address: 108, Buji Road, Buji Town, Longgang
District, Shenzhen; Postal code: 518112

Telephone: 2827 4825 ; Facsimile: 2827 0847

 

To guarantee the performing of the principle
contract stated in Clause 1, both party agrees the following:

 

Clause 1 Principle Contract

 

		1.	The principle contract is “Comprehensive credit contract (2014 zhenzhongyinbuexiezi No 0000162)”
and its supplements signed between Creditor and Debtor, Shenzhen Highpower Technology (Shenzhen) Co., Ltd

		2.	The principle contract is “Fixed asset loan contract (2012zhenzhongyinbujiezi No 00002)”
and its supplements signed between Creditor and Debtor, Shenzhen Highpower Technology (Shenzhen) Co., Ltd

 

Clause 2 Principle Creditor’s rights
and the period

 

Unless otherwise agreed, the creditor’s
rights under the following contracts and the creditor’s rights occurred before the engagement of this contract constitute
the principle creditor’s rights of this contract.

		1.	The creditor’s right occurred under comprehensive contract starting from the date of effectiveness,
and end upon the expiration of all the specific creditor’s rights.

		2.	The creditor’s right occurred under fixed assets loan contract starting from the date of effectiveness,
and end upon the repayment date defined on the contract.

 

    	 

    	 

    

 

Clause 3 The maximum amount guaranteed

 

		1.	The maximum amount assumed guaranteed is:

Currency: Renminbi

Amount (Capital letter): thirty
five million three hundred and twenty five thousand nine hundred and seventy eight only

Amount (in numbers): 35,325,978

 

		2.	The principle creditor’s rights under the principle contract constitute the principle creditor’s
rights under this contract, which includes: loan principle, interest, compound interest, punitive interest, liquidated damage,
the cost for realization of the creditor’s right (includes but not limited to the announcement fee, delivery fees, appraisal
fees, legal fees, travel expenses, assessment fees, auction fees, the property preservation fee, compulsory execution fee and etc),
as well as the Pledgee’s loss due to the breach of covenants.

 

The sum of the above terms constitutes
the maximum amount of guaranteed for this contract.

 

Clause 4 The Collateral

 

For details of the collateral please refer
to the appendix” Details of the underlying assets”.

During the period of collateral, if the Collateral
is broken or damaged, Pledgee is entitled to the primary rights for compensation from insurance, compensation or subsidy, Pledgee
can withdraw the compensation amount even thought the collateral period is undue

If the Collateral is buildings, Pledgor should
notify the Pledgee immediately after the Pledgor acknowledged the removal of the building. If the compensation of the removal is
through change of property, Pledgor should coordinate the paid off of the principle of creditor’s rights with debtor and
Pledgee per Pledgee’s request, or replace the Collateral with the new building or new collateral per Pledgee’s request.
After the original Collateral is lost and the new Collateral is not yet registered, Pledgor should provide additional guarantee
by qualified guarantor. For the compensation that is in the form of cash, Pledgee is entitled to the primary rights from compensation,
and entitled to the right to request the Pledgor to deposit the cash into the appointed custody accounts, and subsequent security
by deposit contract should be signed and effected.

 

Clause 5 The registration

 

With 30 days after the sign-off of this contract,
Pledgor and Pledgee should finish the registry in the authorities.

Pledgor and Pledgee should file a change in
registry with the authorities within 30 days after the change. 

 

    	 

    	 

    

 

Clause 6 The possession and management
of the Collateral

 

The possession and management of the Collateral
will be on the Pledgor, however, the certifications of rights should be under the custody of the Pledgee. Pledgor should accept
the inspection and check from time to time.

Pledgor should properly maintain the Collateral
to ensure the safety and well-being of the Collaterals, Pledgor should take responsibility on daily maintenance and repairs.

Without the written consent of the Pledgee,
Pledgor is not allowed to transfer, lend, invest, or restructure the Collateral. With Pledgee’s written consent, the proceedings
of disposal should be deposited in the appointed accounts.

 

Clause 7 The circumstances that the value
of the Collaterals is diminished

 

Before the creditor’s rights has been
fully paid off, Pledgee is entitled to the right to stop Pledgor’s behavior, if such behavior is diminishing the value of
the underlying assets. Pledgee is entitled to the right to request Pledgor to recover the value of the asset or provide additional
guarantee to secure the proportion of lost.

If the Pledgor failed to recover the value
of the asset nor can it provide addition guarantee, Pledgee might request early pay-off of the creditor’s rights. Pledgee
might execute the rights to assume guarantee responsibility if the Pledgor refused the above.

If the diminished value is due to the irresistible
reason, Pledgor should take action to avoid further deteriorate and notify the Pledgee in writing immediately

 

Clause 8 Interest generated from the account
receivables

 

The interest generated from the pledged account
receivables should be assumed responsible to the creditor’s rights after the deduction of the cost of collecting those interests.

 

Clause 9 Insurance of the underlying assets
(Optional)

 

Not applicable

 

Clause 10 The guarantee responsibilities

 

Under the circumstance that, the debtor of
principle contract failed to pay off the creditor’s rights when due (on due date or early termination date), the pledge is
assumed to be responsible in accordance with this contract.

The due date in the previous sentence means
the repayment date agreed in the principle contract. The early termination date is the termination date request by creditor per
law or per agreements under the principle contracts.

  

Clause 11 The realization of the pledgee’s
rights

 

Once guarantee responsibility established,
Pledgee is entitled to the right to request the execution of the assumption of the guarantee ‘s responsibility in accordance
to law and regulation.

Pledgee should execute the rights within the
duration of action.

 

    	 

    	 

    

 

Clause 12 The realization of the pledgee’s
rights

 

Once guarantee responsibility is assumed,
Pledgee is entitled to the right to request the execution immediately. The execution action includes but is not limited to compromise
for discount, sale the assets through auction, etc. Pledgor should cooperate on the above mentioned actions. The proceeds received
after the cost of execution, should be use to pay off the principle creditor’s rights under the principle contracts.

Under the circumstance that, the expiration
of account receivables is earlier than the expiration of the principle creditor’s rights, the amount collected from the pledged
account receivables by Pledgor should be deposited in the appointed account. And the deposit should still assume the guarantee
responsibility for the undue principle creditor’s rights.

Pledgor’s rights on other guarantee
contracts or collateral contracts should not have an impact on the performing of this contract. Pledgor should assume responsibility
under this contract rather than plea with the execution in order.

 

Clause 13 The relationship between this
contract and the principle contract

 

Upon the termination or early termination
of the principle contract, Pledgor assumed guarantee responsibility on occurred debt.

The change of principle contract will not
be informed to the Pledgor unless under the following circumstances, change of currency, interest rate, amount, period, or other
terms which might affect the increase of the amount of the principle creditor’s rights or extend the effective period of
the principle contract. Pledgor remains to assume the guarantee responsibility to the changed principle contract.

Under the previous stated circumstance which
Pledgor’s consent is required, Pledgor is entitled to the right to reject the assumption of the guarantee responsibility
on the incremental portion.

Under the circumstances that, Pledgee provide
the letter of credit, trade financing services to debtor under the principle contract, Pledgor won’t be notified but assumed
guarantee responsibility. It is the Pledgee’s responsibility to register for the incremental business contract.

 

Clause 14 Statements and Commitments

 

Pledgor’s statement: 

		1.	Pledgor is legally registry and operating, and owning the full civil rights required by this contract.

 

		2.	Pledgor committed that no joint owner attached on the Collateral, or if any, written consents has
been obtained. Pledgor agreed to hand over the written consent to Pledgee for custody.

		3.	Signing and performing the contract is the true will of Pledgor, Pledgor has been granted all necessary
authorizations in effect before signing the contract. The contract does not form a default for other contracts signed and performed
by Pledgor. It is Pledgor’s responsibility to complete all required approvals, registrations, permits and filings.

		4.	All documents and information provided by Pledgor to Pledgee are true, complete, accurate and effective.

		5.	Pledgor did not conceal all the other creditor’s rights, factoring and financing attached to
the underlying assets.

		6.	Under the circumstances that new creditor’s rights are attached on the underlying assets or
significant argue and dispute on the underlying contracts, Pledgor should notify Pledgee immediately.

 

    	 

    	 

    

 

	

	7.	If the Collateral is construction in process, Pledgor committed that no other creditor’s rights
is attached, if any, a written consent of abortion is obtained. Pledgor agreed to hand over the written consent to Pledgee for
custody.

 

Clause 15 Default of the contract

 

Pledgor’s absent or delay in the registration
procedure will be considered the event of default. Pledgee’s loss from the default should be compensated by Pledgor.

 

Clause 16 Breach of covenants

 

Any of the following situations would be considered
as breach of contract covenant:

		1.	Pledgor is in violation with the previous terms of the contract, transferred or disposed all or part
of the assets.

		2.	Pledgor impeded in any form Pledgee’s execution the rights.

		3.	Under the clause 7 of this contract that diminished of the value of the accounts receivables, and
Pledgor cannot provide additional guarantee.

		4.	The statements of the Pledgor are untrue or in violation with its commitments

		5.	Pledgor is in violation with other rights and obligations agreed in this contract.

		6.	Pledgor is or will be under significant business changes such as termination of operation, dismissal
or bankruptcy.

		7.	Pledgor breaches the covenants on other credit line contracts with Party B or other affiliated institutions
of Bank of China.

 

When any of the above mentioned
situations noticed, Pledgee will perform the following in separate or all at the same time:

		1)	Request Pledgor to rectify within a definite time.

		2)	Reduce, temporarily pause or permanently terminate Pledgor’s Credit limit in part or in all

		3)	Temporarily pause or permanently terminate in part or in all of Pledgor’s application on specific
credit line under this contract.

		4)	Announce the immediate expiration on all the credit lines granted under this contract and affiliated
specific credit line contracts.

		5)	Terminate or release this contract, terminate or release in part or in all of the affiliated specific
credit line contracts as well as the other contracts signed between Pledgor and Pledgee

		6)	Request compensation from Pledgor on the losses thereafter caused.

		7)	Assume the guarantee responsibility on Guarantors.

		8)	Other necessary procedures on Party B’s concern

 

    	 

    	 

    

 

Clause 17 Rights reserved

 

Either party might reserve part
of or all of the rights under this contract and the affiliated specific credit line contracts, this does not imply the party has
surrendered or remitted the unperformed rights and obligations.

Either party might sometimes tolerate,
extend or delay the execution of certain rights, this does not deem as the party has surrendered or remitted the rights.

 

Clause 18 Change, Modification, Termination
and Partial invalid

 

Upon negotiation and agreed by both parties,
this contract can be changed and modified, the written record of the changes and modifications should form the inseparable part
of this contract.

Unless ruled by law or both parties formed
a separate agreement, the contract would not be terminated prior to all the rights and obligations defined are fulfilled.

Unless ruled by law or both parties formed
a separate agreement, the void of single terms under this contract should no invalid other contract under this contract.

 

Clause 19 Applicable Law and Resolution
for Dispute 

 

1. This contract entered into according with
the People’s Republic of China, and applicable to the law of the People’s Republic of China.

2. The resolution of dispute should be appealed
in Party B or other Bank of China subsidiaries defined in this contract or other affiliated contracts

 

Clause 20 Attachments

 

Details of underlying assets.

  

Clause 21 Other terms and conditions

 

1. Without Pledgee’s prior written approval,
Pledgor is not allowed to transfer the rights and obligations under this contract to 3rd Parties.

2. Pledgor should give the consent that, Pledgee
might somehow authorize other affiliated institutions of Bank of China to perform the obligation. The performing party is entitled
to all the rights and obligations under this contract and the affiliated credit line contracts, the performing party reserves the
rights to appeal a resolution of dispute if necessary.

3. The contract has equivalent restrictions
to the successors or inherits of both parties.

4. Unless otherwise agreed, the domicile addresses
stated in this contract are for corresponding use; both parties should notify each other in writing about any changes of its domicile
addresses.

5. The title and name of business product
is for business purposes, will not used for interpretation of the contract terms and the rights and obligations.

6. Special agreements between Pledgor and
Pledgee, If the realization value of the underlying assets excesses the maximum amount of guarantee specified in Clause 3, Pledgor
agree that the primary compensation to Pledgee will not restricted to the amount defined in Clause 3 and Clause 10.Pledgee entitled
the compensation from the full proceeds from disposal.

 

    	 

    	 

    

 

Clause 22 Effectiveness of the contract

 

This contract is established and enters into
effective upon signing or sealing by the legal representatives (or person-in-charge) of Pledgor and Pledgee or their duly authorized
agents, together with sealing by the company chop.

The pledge is established upon the effectiveness
of this contract.

This contract will be printed and signed in
six copies, Pledgor and the debtor hold one copy each, Pledgee holds three copies, the registration authority holds one copy, each
copy has the same legal effect

 

	Stamp of Pledgor	 
	Signature of director or authorized representative	 
	Mar 10, 2014	 
	 	 
	/s/ [COMPANY SEAL]	 
	Stamp of Pledgee (if Pledgee is a corporation)	 
	Signature of legal representative or authorized representative	 
	Mar 10, 2014	 

 

Attachment:

Details of the underlying assets (Ref No:
2014zhenzhongyinbudiezi No.0015)

Underlying asset: Land use right of industrial
land

 

Amount

Valuation amount: 35,325,978

Certification of rights: “Certification
of land use right of state-owned land” huifuguoyong(2007) No.13021920300

Location: Shangliao County Ma’an
Town Huizhou city

 

    	 

    	 

    

Collateral Contract 

 

Reference No. : 2014zhenzhongyinbudiezi No.0016

 

Pledgor: Shenzhen Highpower Technology
(Shenzhen) Co., Ltd

Business License: 440307503274740

Legal Representative: Dangyu Pan

Address: Building A2, Luoshan Industrial Zone,
Longgang District, Shenzhen

Postal code: 518111

Deposit A/C and financial institutions: Bank
of China, Pinghu Sub-branch, Shenzhen,

Telephone: 8968 6236 ; Facsimile: 8968 6298

 

Pledgee: Bank of China, Buji Sub-branch.

Legal Representative: LI YANSHAN

Address: 108, Buji Road, Buji Town, Longgang
District, Shenzhen; Postal code: 518112

Telephone: 2827 4825 ; Facsimile: 2827 0847

 

To guarantee the performing of the principle
contract stated in Clause 1, both party agrees the following:

 

Clause 1 Principle Contract

 

		1.	The principle contract is “Comprehensive credit contract (2014 zhenzhongyinbuexiezi No 0000162)”
and its supplements signed between Creditor and Debtor, Shenzhen Highpower Technology (Shenzhen) Co., Ltd

  

Clause 2 Principle Creditor’s rights
and the period

 

		1.	The principle creditor’s rights under the principle contract constitute the principle creditor’s
rights under this contract, which includes: loan principle, interest, compound interest, punitive interest, liquidated damage,
the cost for realization of the creditor’s right (includes but not limited to the announcement fee, delivery fees, appraisal
fees, legal fees, travel expenses, assessment fees, auction fees, the property preservation fee, compulsory execution fee and etc),
as well as the Pledgee’s loss due to the breach of covenants.

2. The period
is from Jan 13 2012 to Jan 21 2017.

 

Clause 3 The Collateral

 

For details of the collateral please refer
to the appendix” Details of the underlying assets”.

During the period of collateral, if the Collateral
is broken or damaged, Pledgee is entitled to the primary rights for compensation from insurance, compensation or subsidy, Pledgee
can withdraw the compensation amount even thought the collateral period is undue

 

    	 

    	 

    

 

If the Collateral is buildings, Pledgor should
notify the Pledgee immediately after the Pledgor acknowledged the removal of the building. If the compensation of the removal is
through change of property, Pledgor should coordinate the paid off of the principle of creditor’s rights with debtor and
Pledgee per Pledgee’s request, or replace the Collateral with the new building or new collateral per Pledgee’s request.
After the original Collateral is lost and the new Collateral is not yet registered, Pledgor should provide additional guarantee
by qualified guarantor. For the compensation that is in the form of cash, Pledgee is entitled to the primary rights from compensation,
and entitled to the right to request the Pledgor to deposit the cash into the appointed custody accounts, and subsequent security
by deposit contract should be signed and effected.

 

Clause 4 The registration

 

With 30 days after the sign-off of this contract,
Pledgor and Pledgee should finish the registry in the authorities.

Pledgor and Pledgee should file a change in
registry with the authorities within 30 days after the change. 

 

Clause 5 The possession and management
of the Collateral

 

The possession and management of the Collateral
will be on the Pledgor, however, the certifications of rights should be under the custody of the Pledgee. Pledgor should accept
the inspection and check from time to time.

Pledgor should properly maintain the Collateral
to ensure the safety and well-being of the Collaterals, Pledgor should take responsibility on daily maintenance and repairs.

Without the written consent of the Pledgee,
Pledgor is not allowed to transfer, lend, invest, or restructure the Collateral. With Pledgee’s written consent, the proceedings
of disposal should be deposited in the appointed accounts.

 

Clause 6 The circumstances that the value
of the Collaterals is diminished

 

Before the creditor’s rights has been
fully paid off, Pledgee is entitled to the right to stop Pledgor’s behavior, if such behavior is diminishing the value of
the underlying assets. Pledgee is entitled to the right to request Pledgor to recover the value of the asset or provide additional
guarantee to secure the proportion of lost.

If the Pledgor failed to recover the value
of the asset nor can it provide addition guarantee, Pledgee might request early pay-off of the creditor’s rights. Pledgee
might execute the rights to assume guarantee responsibility if the Pledgor refused the above.

If the diminished value is due to the irresistible
reason, Pledgor should take action to avoid further deteriorate and notify the Pledgee in writing immediately

 

Clause 7 Interest generated from the account
receivables

 

The interest generated from the pledged account
receivables should be assumed responsible to the creditor’s rights after the deduction of the cost of collecting those interests.

 

    	 

    	 

    

 

Clause 8 Insurance of the underlying assets
(Optional)

 

Not applicable

 

Clause 9 The guarantee responsibilities

 

Under the circumstance that, the debtor of
principle contract failed to pay off the creditor’s rights when due (on due date or early termination date), the pledge is
assumed to be responsible in accordance with this contract.

The due date in the previous sentence means
the repayment date agreed in the principle contract. The early termination date is the termination date request by creditor per
law or per agreements under the principle contracts.

  

Clause 10 The realization of the pledgee’s
rights

 

Once guarantee responsibility established,
Pledgee is entitled to the right to request the execution of the assumption of the guarantee ‘s responsibility in accordance
to law and regulation.

Pledgee should execute the rights within the
duration of action.

 

Clause 11 The realization of the pledgee’s
rights

 

Once guarantee responsibility is assumed,
Pledgee is entitled to the right to request the execution immediately. The execution action includes but is not limited to compromise
for discount, sale the assets through auction, etc. Pledgor should cooperate on the above mentioned actions. The proceeds received
after the cost of execution, should be use to pay off the principle creditor’s rights under the principle contracts.

Under the circumstance that, the expiration
of account receivables is earlier than the expiration of the principle creditor’s rights, the amount collected from the pledged
account receivables by Pledgor should be deposited in the appointed account. And the deposit should still assume the guarantee
responsibility for the undue principle creditor’s rights.

Pledgor’s rights on other guarantee
contracts or collateral contracts should not have an impact on the performing of this contract. Pledgor should assume responsibility
under this contract rather than plea with the execution in order.

 

Clause 12 The relationship between this
contract and the principle contract

 

Upon the termination or early termination
of the principle contract, Pledgor assumed guarantee responsibility on occurred debt.

The change of principle contract will not
be informed to the Pledgor unless under the following circumstances, change of currency, interest rate, amount, period, or other
terms which might affect the increase of the amount of the principle creditor’s rights or extend the effective period of
the principle contract. Pledgor remains to assume the guarantee responsibility to the changed principle contract.

Under the previous stated circumstance which
Pledgor’s consent is required, Pledgor is entitled to the right to reject the assumption of the guarantee responsibility
on the incremental portion.

Under the circumstances that, Pledgee provide
the letter of credit, trade financing services to debtor under the principle contract, Pledgor won’t be notified but assumed
guarantee responsibility. It is the Pledgee’s responsibility to register for the incremental business contract.

 

    	 

    	 

    

 

Clause 13 Statements and Commitments

 

Pledgor’s statement: 

		1.	Pledgor is legally registry and operating, and owning the full civil rights required by this contract.

		2.	Pledgor committed that no joint owner attached on the Collateral, or if any, written consents has
been obtained. Pledgor agreed to hand over the written consent to Pledgee for custody.

		3.	Signing and performing the contract is the true will of Pledgor, Pledgor has been granted all necessary
authorizations in effect before signing the contract. The contract does not form a default for other contracts signed and performed
by Pledgor. It is Pledgor’s responsibility to complete all required approvals, registrations, permits and filings.

		4.	All documents and information provided by Pledgor to Pledgee are true, complete, accurate and effective.

		5.	Pledgor did not conceal all the other creditor’s rights, factoring and financing attached to
the underlying assets.

		6.	Under the circumstances that new creditor’s rights are attached on the underlying assets or
significant argue and dispute on the underlying contracts, Pledgor should notify Pledgee immediately.

		7.	If the Collateral is construction in process, Pledgor committed that no other creditor’s rights
is attached, if any, a written consent of abortion is obtained. Pledgor agreed to hand over the written consent to Pledgee for
custody.

 

Clause 14 Default of the contract

 

Pledgor’s absent or delay in the registration
procedure will be considered the event of default. Pledgee’s loss from the default should be compensated by Pledgor.

 

Clause 15 Breach of covenants

 

Any of the following situations would be considered
as breach of contract covenant:

		1.	Pledgor is in violation with the previous terms of the contract, transferred or disposed all or part
of the assets.

		2.	Pledgor impeded in any form Pledgee’s execution the rights.

		3.	Under the clause 7 of this contract that diminished of the value of the accounts receivables, and
Pledgor cannot provide additional guarantee.

		4.	The statements of the Pledgor are untrue or in violation with its commitments

		5.	Pledgor is in violation with other rights and obligations agreed in this contract.

		6.	Pledgor is or will be under significant business changes such as termination of operation, dismissal
or bankruptcy.

		7.	Pledgor breaches the covenants on other credit line contracts with Party B or other affiliated institutions
of Bank of China.

 

    	 

    	 

    

 

When any of the above mentioned
situations noticed, Pledgee will perform the following in separate or all at the same time:

		1)	Request Pledgor to rectify within a definite time.

		2)	Reduce, temporarily pause or permanently terminate Pledgor’s Credit limit in part or in all

		3)	Temporarily pause or permanently terminate in part or in all of Pledgor’s application on specific
credit line under this contract.

		4)	Announce the immediate expiration on all the credit lines granted under this contract and affiliated
specific credit line contracts.

		5)	Terminate or release this contract, terminate or release in part or in all of the affiliated specific
credit line contracts as well as the other contracts signed between Pledgor and Pledgee

		6)	Request compensation from Pledgor on the losses thereafter caused.

		7)	Assume the guarantee responsibility on Guarantors.

		8)	Other necessary procedures on Party B’s concern

 

Clause 16 Rights reserved

 

Either party might reserve part
of or all of the rights under this contract and the affiliated specific credit line contracts, this does not imply the party has
surrendered or remitted the unperformed rights and obligations.

Either party might sometimes tolerate,
extend or delay the execution of certain rights, this does not deem as the party has surrendered or remitted the rights.

 

Clause 17 Change, Modification, Termination
and Partial invalid

 

Upon negotiation and agreed by both parties,
this contract can be changed and modified, the written record of the changes and modifications should form the inseparable part
of this contract.

Unless ruled by law or both parties formed
a separate agreement, the contract would not be terminated prior to all the rights and obligations defined are fulfilled.

Unless ruled by law or both parties formed
a separate agreement, the void of single terms under this contract should no invalid other contract under this contract.

 

Clause 18 Applicable Law and Resolution
for Dispute 

 

1. This contract entered into according with
the People’s Republic of China, and applicable to the law of the People’s Republic of China.

2. The resolution of dispute should be appealed
in Party B or other Bank of China subsidiaries defined in this contract or other affiliated contracts

 

Clause 19 Attachments

 

Details of underlying assets.

  

    	 

    	 

    

 

Clause 20 Other terms and conditions

 

1. Without Pledgee’s prior written approval,
Pledgor is not allowed to transfer the rights and obligations under this contract to 3rd Parties.

2. Pledgor should give the consent that, Pledgee
might somehow authorize other affiliated institutions of Bank of China to perform the obligation. The performing party is entitled
to all the rights and obligations under this contract and the affiliated credit line contracts, the performing party reserves the
rights to appeal a resolution of dispute if necessary.

3. The contract has equivalent restrictions
to the successors or inherits of both parties.

4. Unless otherwise agreed, the domicile addresses
stated in this contract are for corresponding use; both parties should notify each other in writing about any changes of its domicile
addresses.

5. The title and name of business product
is for business purposes, will not used for interpretation of the contract terms and the rights and obligations.

6. Special agreements between Pledgor and
Pledgee, If the realization value of the underlying assets excesses the maximum amount of guarantee specified in Clause 3, Pledgor
agree that the primary compensation to Pledgee will not restricted to the amount defined in Clause 3 and Clause 10.Pledgee entitled
the compensation from the full proceeds from disposal.

 

Clause 21 Effectiveness of the contract

 

This contract is established and enters into
effective upon signing or sealing by the legal representatives (or person-in-charge) of Pledgor and Pledgee or their duly authorized
agents, together with sealing by the company chop.

The pledge is established upon the effectiveness
of this contract.

This contract will be printed and signed in
six copies, Pledgor and the debtor hold one copy each, Pledgee holds three copies, the registration authority holds one copy, each
copy has the same legal effect

 

	Stamp of Pledgor	 
	Signature of director or authorized representative	 
	Mar 10, 2014	 
	 	 
	/s/ [COMPANY SEAL]	 
	Stamp of Pledgee (if Pledgee is a corporation)	 
	Signature of legal representative or authorized representative	 
	Mar 10, 2014	 

 

Attachment:

Details of the underlying assets (Ref No:
2014zhenzhongyinbudiezi No.0016)

 

    	 

    	 

    

Collateral Contract 

 

Reference No. : 2014zhenzhongyinbudiezi No.0016B

 

Pledgor: Shenzhen Highpower Technology
(Shenzhen) Co., Ltd

Business License: 440307503274740

Legal Representative: Dangyu Pan

Address: Building A2, Luoshan Industrial Zone,
Longgang District, Shenzhen

Postal code: 518111

Deposit A/C and financial institutions: Bank
of China, Pinghu Sub-branch, Shenzhen,

Telephone: 8968 6236 ; Facsimile: 8968 6298

 

Pledgee: Bank of China, Buji Sub-branch.

Legal Representative: LI YANSHAN

Address: 108, Buji Road, Buji Town, Longgang
District, Shenzhen; Postal code: 518112

Telephone: 2827 4825 ; Facsimile: 2827 0847

 

To guarantee the performing of the principle
contract stated in Clause 1, both party agrees the following:

 

Clause 1 Principle Contract

 

		1.	The principle contract is “Comprehensive credit contract (2014 zhenzhongyinbuexiezi No 0000162)”
and its supplements signed between Creditor and Debtor, Shenzhen Highpower Technology (Shenzhen) Co., Ltd

 

Clause 2 Principle Creditor’s rights
and the period

 

Unless otherwise agreed, the creditor’s
rights under the following contracts and the creditor’s rights occurred before the engagement of this contract constitute
the principle creditor’s rights of this contract.

		1.	The creditor’s right occurred under comprehensive contract starting from the date of effectiveness,
and end upon the expiration of all the specific creditor’s rights.

 

Clause 3 The maximum amount guaranteed

 

		1.	The maximum amount assumed guaranteed is:

Currency: Renminbi

Amount (Capital letter): thirty
million six hundred twenty nine thousand four hundred and forty three only

Amount (in numbers): 30,629,443

 

    	 

    	 

    

 

		2.	The principle creditor’s rights under the principle contract constitute the principle creditor’s
rights under this contract, which includes: loan principle, interest, compound interest, punitive interest, liquidated damage,
the cost for realization of the creditor’s right (includes but not limited to the announcement fee, delivery fees, appraisal
fees, legal fees, travel expenses, assessment fees, auction fees, the property preservation fee, compulsory execution fee and etc),
as well as the Pledgee’s loss due to the breach of covenants.

 

The sum of the above terms constitutes
the maximum amount of guaranteed for this contract.

 

Clause 4 The Collateral

 

For details of the collateral please refer
to the appendix” Details of the underlying assets”.

During the period of collateral, if the Collateral
is broken or damaged, Pledgee is entitled to the primary rights for compensation from insurance, compensation or subsidy, Pledgee
can withdraw the compensation amount even thought the collateral period is undue

If the Collateral is buildings, Pledgor should
notify the Pledgee immediately after the Pledgor acknowledged the removal of the building. If the compensation of the removal is
through change of property, Pledgor should coordinate the paid off of the principle of creditor’s rights with debtor and
Pledgee per Pledgee’s request, or replace the Collateral with the new building or new collateral per Pledgee’s request.
After the original Collateral is lost and the new Collateral is not yet registered, Pledgor should provide additional guarantee
by qualified guarantor. For the compensation that is in the form of cash, Pledgee is entitled to the primary rights from compensation,
and entitled to the right to request the Pledgor to deposit the cash into the appointed custody accounts, and subsequent security
by deposit contract should be signed and effected.

 

Clause 5 The registration

 

With 30 days after the sign-off of this contract,
Pledgor and Pledgee should finish the registry in the authorities.

Pledgor and Pledgee should file a change in
registry with the authorities within 30 days after the change. 

 

Clause 6 The possession and management
of the Collateral

 

The possession and management of the Collateral
will be on the Pledgor, however, the certifications of rights should be under the custody of the Pledgee. Pledgor should accept
the inspection and check from time to time.

Pledgor should properly maintain the Collateral
to ensure the safety and well-being of the Collaterals, Pledgor should take responsibility on daily maintenance and repairs.

Without the written consent of the Pledgee,
Pledgor is not allowed to transfer, lend, invest, or restructure the Collateral. With Pledgee’s written consent, the proceedings
of disposal should be deposited in the appointed accounts.

 

    	 

    	 

    

 

Clause 7 The circumstances that the value
of the Collaterals is diminished

 

Before the creditor’s rights has been
fully paid off, Pledgee is entitled to the right to stop Pledgor’s behavior, if such behavior is diminishing the value of
the underlying assets. Pledgee is entitled to the right to request Pledgor to recover the value of the asset or provide additional
guarantee to secure the proportion of lost.

If the Pledgor failed to recover the value
of the asset nor can it provide addition guarantee, Pledgee might request early pay-off of the creditor’s rights. Pledgee
might execute the rights to assume guarantee responsibility if the Pledgor refused the above.

If the diminished value is due to the irresistible
reason, Pledgor should take action to avoid further deteriorate and notify the Pledgee in writing immediately

 

Clause 8 Interest generated from the account
receivables

 

The interest generated from the pledged account
receivables should be assumed responsible to the creditor’s rights after the deduction of the cost of collecting those interests.

 

Clause 9 Insurance of the underlying assets
(Optional)

 

Not applicable

 

Clause 10 The guarantee responsibilities

 

Under the circumstance that, the debtor of
principle contract failed to pay off the creditor’s rights when due (on due date or early termination date), the pledge is
assumed to be responsible in accordance with this contract.

The due date in the previous sentence means
the repayment date agreed in the principle contract. The early termination date is the termination date request by creditor per
law or per agreements under the principle contracts.

  

Clause 11 The realization of the pledgee’s
rights

 

Once guarantee responsibility established,
Pledgee is entitled to the right to request the execution of the assumption of the guarantee ‘s responsibility in accordance
to law and regulation.

Pledgee should execute the rights within the
duration of action.

 

Clause 12 The realization of the pledgee’s
rights

 

Once guarantee responsibility is assumed,
Pledgee is entitled to the right to request the execution immediately. The execution action includes but is not limited to compromise
for discount, sale the assets through auction, etc. Pledgor should cooperate on the above mentioned actions. The proceeds received
after the cost of execution, should be use to pay off the principle creditor’s rights under the principle contracts.

Under the circumstance that, the expiration
of account receivables is earlier than the expiration of the principle creditor’s rights, the amount collected from the pledged
account receivables by Pledgor should be deposited in the appointed account. And the deposit should still assume the guarantee
responsibility for the undue principle creditor’s rights.

 

    	 

    	 

    

 

Pledgor’s rights on other guarantee
contracts or collateral contracts should not have an impact on the performing of this contract. Pledgor should assume responsibility
under this contract rather than plea with the execution in order.

  

Clause 13 The relationship between this
contract and the principle contract

 

Upon the termination or early termination
of the principle contract, Pledgor assumed guarantee responsibility on occurred debt.

The change of principle contract will not
be informed to the Pledgor unless under the following circumstances, change of currency, interest rate, amount, period, or other
terms which might affect the increase of the amount of the principle creditor’s rights or extend the effective period of
the principle contract. Pledgor remains to assume the guarantee responsibility to the changed principle contract.

Under the previous stated circumstance which
Pledgor’s consent is required, Pledgor is entitled to the right to reject the assumption of the guarantee responsibility
on the incremental portion.

Under the circumstances that, Pledgee provide
the letter of credit, trade financing services to debtor under the principle contract, Pledgor won’t be notified but assumed
guarantee responsibility. It is the Pledgee’s responsibility to register for the incremental business contract.

 

Clause 14 Statements and Commitments

 

Pledgor’s statement: 

		1.	Pledgor is legally registry and operating, and owning the full civil rights required by this contract.

		2.	Pledgor committed that no joint owner attached on the Collateral, or if any, written consents has
been obtained. Pledgor agreed to hand over the written consent to Pledgee for custody.

		3.	Signing and performing the contract is the true will of Pledgor, Pledgor has been granted all necessary
authorizations in effect before signing the contract. The contract does not form a default for other contracts signed and performed
by Pledgor. It is Pledgor’s responsibility to complete all required approvals, registrations, permits and filings.

		4.	All documents and information provided by Pledgor to Pledgee are true, complete, accurate and effective.

		5.	Pledgor did not conceal all the other creditor’s rights, factoring and financing attached to
the underlying assets.

		6.	Under the circumstances that new creditor’s rights are attached on the underlying assets or
significant argue and dispute on the underlying contracts, Pledgor should notify Pledgee immediately.

		7.	If the Collateral is construction in process, Pledgor committed that no other creditor’s rights
is attached, if any, a written consent of abortion is obtained. Pledgor agreed to hand over the written consent to Pledgee for
custody.

 

    	 

    	 

    

 

Clause 15 Default of the contract

 

Pledgor’s absent or delay in the registration
procedure will be considered the event of default. Pledgee’s loss from the default should be compensated by Pledgor.

 

Clause 16 Breach of covenants

 

Any of the following situations would be considered
as breach of contract covenant:

		1.	Pledgor is in violation with the previous terms of the contract, transferred or disposed all or part
of the assets.

		2.	Pledgor impeded in any form Pledgee’s execution the rights.

		3.	Under the clause 7 of this contract that diminished of the value of the accounts receivables, and
Pledgor cannot provide additional guarantee.

		4.	The statements of the Pledgor are untrue or in violation with its commitments

		5.	Pledgor is in violation with other rights and obligations agreed in this contract.

		6.	Pledgor is or will be under significant business changes such as termination of operation, dismissal
or bankruptcy.

		7.	Pledgor breaches the covenants on other credit line contracts with Party B or other affiliated institutions
of Bank of China.

 

When any of the above mentioned
situations noticed, Pledgee will perform the following in separate or all at the same time:

		1)	Request Pledgor to rectify within a definite time.

		2)	Reduce, temporarily pause or permanently terminate Pledgor’s Credit limit in part or in all

		3)	Temporarily pause or permanently terminate in part or in all of Pledgor’s application on specific
credit line under this contract.

		4)	Announce the immediate expiration on all the credit lines granted under this contract and affiliated
specific credit line contracts.

		5)	Terminate or release this contract, terminate or release in part or in all of the affiliated specific
credit line contracts as well as the other contracts signed between Pledgor and Pledgee

		6)	Request compensation from Pledgor on the losses thereafter caused.

		7)	Assume the guarantee responsibility on Guarantors.

		8)	Other necessary procedures on Party B’s concern

 

Clause 17 Rights reserved

 

Either party might reserve part
of or all of the rights under this contract and the affiliated specific credit line contracts, this does not imply the party has
surrendered or remitted the unperformed rights and obligations.

Either party might sometimes tolerate,
extend or delay the execution of certain rights, this does not deem as the party has surrendered or remitted the rights.

 

    	 

    	 

    

 

Clause 18 Change, Modification, Termination
and Partial invalid

 

Upon negotiation and agreed by both parties,
this contract can be changed and modified, the written record of the changes and modifications should form the inseparable part
of this contract.

Unless ruled by law or both parties formed
a separate agreement, the contract would not be terminated prior to all the rights and obligations defined are fulfilled.

Unless ruled by law or both parties formed
a separate agreement, the void of single terms under this contract should no invalid other contract under this contract.

 

Clause 19 Applicable Law and Resolution
for Dispute 

 

1. This contract entered into according with
the People’s Republic of China, and applicable to the law of the People’s Republic of China.

2. The resolution of dispute should be appealed
in Party B or other Bank of China subsidiaries defined in this contract or other affiliated contracts

 

Clause 20 Attachments

 

Details of underlying assets.

  

Clause 21 Other terms and conditions

 

1. Without Pledgee’s prior written approval,
Pledgor is not allowed to transfer the rights and obligations under this contract to 3rd Parties.

2. Pledgor should give the consent that, Pledgee
might somehow authorize other affiliated institutions of Bank of China to perform the obligation. The performing party is entitled
to all the rights and obligations under this contract and the affiliated credit line contracts, the performing party reserves the
rights to appeal a resolution of dispute if necessary.

3. The contract has equivalent restrictions
to the successors or inherits of both parties.

4. Unless otherwise agreed, the domicile addresses
stated in this contract are for corresponding use; both parties should notify each other in writing about any changes of its domicile
addresses.

5. The title and name of business product
is for business purposes, will not used for interpretation of the contract terms and the rights and obligations.

6. Special agreements between Pledgor and
Pledgee, If the realization value of the underlying assets excesses the maximum amount of guarantee specified in Clause 3, Pledgor
agree that the primary compensation to Pledgee will not restricted to the amount defined in Clause 3 and Clause 10.Pledgee entitled
the compensation from the full proceeds from disposal.

 

Clause 22 Effectiveness of the contract

 

This contract is established and enters into
effective upon signing or sealing by the legal representatives (or person-in-charge) of Pledgor and Pledgee or their duly authorized
agents, together with sealing by the company chop.

The pledge is established upon the effectiveness
of this contract.

 

    	 

    	 

    

 

This contract will be printed and signed in
six copies, Pledgor and the debtor hold one copy each, Pledgee holds three copies, the registration authority holds one copy, each
copy has the same legal effect

 

	Stamp of Pledgor	 
	Signature of director or authorized representative	 
	Mar 10, 2014	 
	 	 
	/s/ [COMPANY SEAL]	 
	Stamp of Pledgee (if Pledgee is a corporation)	 
	Signature of legal representative or authorized representative	 
	Mar 10, 2014	 

 

Attachment:

Details of the underlying assets (Ref No:
2014zhenzhongyinbudiezi No.0016B)Exhibit 10.1

 

 

 

Amended and Restated
Employment Agreement

 

This Amended and Restated Employment Agreement
(this “Agreement”), dated as of May 11, 2014, is entered into between China Biologic Products, Inc., a company
established in the United States with its principal office located at 18th Floor, Jialong Int’l Tower, 19 Chaoyang Park Road,
Beijing 100125, PRC (“Company”), and David (Xiaoying) Gao (the “Executive”).

 

WHEREAS, the Company and the Executive
entered into an employment agreement dated as of May 11, 2012 (the “Original Agreement”), pursuant to which
the Company engaged the Executive as, and the Executive agreed to serve as, Chief Executive Officer of the Company, upon the terms
and conditions contained therein;

 

WHEREAS, the term of the Original Agreement
will expire on May 11, 2014; and

 

WHEREAS, the Company and the Executive
desire to extend the term of the Original Agreement upon the terms and conditions contained herein.

 

NOW THEREFORE, for good and valuable consideration,
the sufficiency of which is hereby acknowledged by the parties, the parties hereby agree as follows:

 

	1. 	EFFECTIVENESS OF AGREEMENT AND EFFECTIVE DATE

This Agreement will become effective as
of the date hereof. For the purpose of this Agreement, the term “Effective Date” means May 11, 2014.

 

	2. 	EMPLOYMENT AND DUTIES

2.1 General. The Executive will
perform such duties and services for the Company as may be designated from time to time by the Board of Directors of the Company
(the “Board”). The Executive agrees to serve the Company faithfully and to the best of his ability under the
direction of the Board and to carry out the functions typically performed by a Chief Executive Officer. He further agrees to perform
such duties in accordance with the general fiduciary duties of officers and directors arising under the Delaware General Corporation
Law. The Executive is expected and required to devote substantially all of his time and attention during normal business hours
to the affairs of the Company and/or its subsidiaries.

 

2.2 Term of Employment. The Executive’s
employment under this Agreement will commence as of the date hereof and will terminate on the first year of the Effective Date;
provided, however, that the term of the Executive’s employment will be automatically extended without further action of either
party for additional one (1) year periods unless written notice of either party’s intention not to extend has been given
to the other party hereto at least thirty (30) days prior to the expiration of the then effective term (the initial term and any
extensions thereof, the “Term of Employment”). Notwithstanding the foregoing, the Executive’s employment
may be terminated during the Term of Employment as provided in Section 5 below.

 

2.3 Reimbursement of Expenses. Unless
otherwise agreed to by the Executive and the Company, the Company will reimburse the Executive for reasonable travel and other
business expenses incurred by him to fulfill his duties hereunder upon presentation by the Executive of an itemized account of
such expenditures, in accordance with Company practices consistently applied.

 

	3. 	COMPENSATION

3.1 Base Salary. From the Effective
Date, the Executive will be entitled to receive a base salary (“Base Salary”) at a rate of US$500,000 per annum,
payable in accordance with the Company’s payroll practices and applicable law. If the rate of Base Salary per annum paid
to Executive is increased during the Term of Employment, such increased rate will thereafter constitute the Base Salary for all
purposes of this Agreement. Base Salary will not be decreased during the Term of Employment without the mutual consent of Executive
and the Company.

 

    	 

    	 

    

 

3.2 Annual Review. The Executive’s
Base Salary will be reviewed by the Board, based upon the Executive’s performance not less than annually.

 

3.3 Bonus Compensation. In addition
to his Base Salary, the Executive would be eligible to receive additional bonus compensation as may be awarded to the Executive
from time to time by the Board in the sole and absolute discretion of the Board.

 

3.4 Additional Compensation.

 

3.4.1 Initial Stock Option. Pursuant
to the approval by the Board (or an appropriate Committee appointed by the Board), the Executive has been granted an option (the
“Initial Option”) to purchase 300,000 shares of the Company’s common stock (the “Shares”)
under the Company’s 2008 Equity Incentive Plan (the “Plan”). The exercise price of the Initial Option
was $9.23 per share. The Initial Option will vest in twelve (12) equal portions on a quarterly basis over a 3-year period, with
the first portion vesting on August 11, 2012, subject to Executive’s continued employment through each vesting date. The
Initial Option has been evidenced by a Stock Option Agreement as contemplated by the Plan, both of which will govern the Initial
Option, notwithstanding any other provision of this Agreement.

 

3.4.2 The Company may, in its sole discretion,
award the Executive additional equity-based compensation. The Executive further will be eligible to participate in any employment
compensation plan established by the Company under the same terms as other Company executives and approved by the Board.

 

	4. 	EMPLOYEE BENEFITS

4.1 Leave. The Executive will be
entitled to accrue 15 working days paid annual leave each calendar year (which will not be carried over in the event that they
are not used by the Executive). All annual leave days will be taken at times mutually agreed by the Executive and the Company and
will be subject to the business needs of the Company. If, however, in any calendar year during the Term of Employment, the Executive
is unable to take any annual leave due to the business needs of the Company, the Company, in its discretion, shall either pay the
Executive the equivalent of 15 working days, or permit the Executive to carry such leave over into the following calendar year.

 

4.2 Other Programs. The Executive
will, during his employment under this Agreement, be included to the extent eligible thereunder in all employee benefit plans,
programs or arrangements (including, without limitation, any plans, programs or arrangements providing for retirement benefits,
incentive compensation, profit sharing, bonuses, disability benefits, health and life insurance, or vacation and paid holiday)
which may be established by the Company for, or made available to, its executives generally.

 

	5.	TERMINATION OF EMPLOYMENT

5.1 Termination Events.

 

5.1.1 By the Company. The Company
may terminate the Executive’s employment

 

immediately with Cause, without Cause upon
ninety (90) days notice to the Executive, or upon the Executive’s death or Permanent Disability (as hereinafter defined).

 

5.1.2 By the Executive. The Executive
may terminate his employment at any time for any reason upon ninety (90) days written notice to the Company.

 

5.2 Termination by Company With Cause.
If the Executive’s employment is terminated by the Company with Cause, the Company shall pay to the Executive all compensation
to which the Executive is entitled through the date of termination, and thereafter, all of the Company’s obligations under
this Agreement shall cease.

 

    	-2-

    	 

    

 

5.3 Termination by Company Without Cause.
Except in situations where the Executive’s employment is terminated under Section 5.2 or Section 5.4, by death or by Permanent
Disability, in the event that the Company terminates Executive’s employment at any time without Cause, the Executive shall
be entitled to receive an amount equal to twelve (12) months of the Executive’s then current Base Salary paid in twelve (12)
equal monthly installments, subject to Sections 5.7 and 5.8.

 

5.4 Change of Control. In the event
of a Change of Control, the Company shall (i) assign this Agreement and all rights and obligations under it to any business entity
that succeeds to all or substantially all of the Company’s business through that merger or combination or sale of assets,
or (ii) on at least thirty (30) days’ prior written notice to the Executive, terminate this Agreement upon the effective
date of such Change of Control. In the event that the Company terminates Executive’s employment pursuant to this Section
5.4, the Executive shall be entitled to receive, upon termination an amount equal to eighteen (18) months of the Executive’s
then current Base Salary paid in eighteen (18) equal monthly installments, subject to Sections 5.7 and 5.8.

 

For the purpose of this Agreement, “Change
of Control” means the occurrence of any of the following events:

 

(a) The consummation of the sale or disposition
by the Company of all or substantially all of the Company's assets;

 

(b) The consummation of a merger or consolidation
of the Company with any other entity, unless the voting securities of the Company immediately prior to the merger or consolidation
remain outstanding or are converted into voting securities of the surviving entity or parent so that they continue to represent
at least fifty percent (50%) of the total voting power represented by the voting securities of the surviving entity (or parent)
outstanding immediately after such merger or consolidation; or

 

(c) A change in the composition of the
Board, which results in fewer than a majority of the directors being “Incumbent Directors.” For purpose of this provision,
“Incumbent Directors” shall mean directors who either (i) are directors as of the Effective Date, or (ii) are
elected, or nominated for election, to the Board with the affirmative votes of at least a majority of those directors whose election
or nomination was not in connection with any transactions described above or in connection with an actual or threatened proxy contest
relating to election.

 

5.5 Voluntary Resignation. If the
Executive terminates his employment voluntarily, then the Executive shall not be entitled to receive payment of any severance benefits.
The Company further shall have the option, in its sole discretion, to make the Executive’s termination effective at any time
prior to the end of notice period required under Section 5.1.2 as long as the Company provides Executive with all compensation
to which he would be entitled for continuing employment through the last day of the notice period. Thereafter, all obligations
of the Company under this Agreement shall cease.

 

5.6 Cause. Termination for “Cause”
means termination of the Executive’s employment by the Company because of:

 

(i) any act or omission that constitutes
a breach by the Executive of any of his obligations under this Agreement or any Company policy or procedure and failure to cure
such breach after notice of, and a reasonable opportunity to cure, such breach;

 

(ii) the continued willful failure or refusal
of the Executive to substantially perform the duties reasonably required of him as an employee of the Company;

 

(iii) an alleged act (with credible substantiated
evidence) of moral turpitude, dishonesty, fraud or violation of law (whether or not connected to the Company or its Affiliates
(as defined in Section 8.1)) by, or criminal conviction of, the Executive which in the determination of the Board (in its
sole discretion) would render his continued employment by the Company damaging or detrimental to the Company or its Affiliates
in any way; or

 

(iv) any misappropriation of Company property
by the Executive.

 

    	-3-

    	 

    

 

5.7 Release of Claims. The receipt
of any severance payments pursuant to Sections 5.3 or 5.4 of this Agreement is subject to the Executive signing and not revoking
a separation agreement and release of claims in a form reasonably acceptable to the Company (the “Release”),
which must become effective and irrevocable no later than the 60th day following the date of Executive’s termination
of employment (the “Release Deadline”), and if not, the Executive will forfeit any right to severance payments
or benefits under this Agreement. In addition, no severance payments or benefits will be paid or provided until the Release actually
becomes effective. To the extent that any severance payments or benefits constitute Deferred Payments (as defined below), severance
payments shall commence on the 61st day following Executive’s termination of employment, subject to Section 5.8.

 

5.8 Section 409A. The Company intends
that all severance payments made under this Agreement comply with, or be exempt from, the requirements of Section 409A of the Internal
Revenue Code of 1986, as amended, and any guidance promulgated thereunder (“Section 409A”) so that none of the
payments or benefits will be subject to the additional tax imposed under Section 409A, and any ambiguities or ambiguous terms herein
will be interpreted to so comply or be exempt. Specifically, the severance benefits are intended to be exempt from the requirements
of Section 409A under the separation pay plan exception set forth under Section 409A. If, at the time of the Executive’s
separation from service, the Executive is a “specified employee” within the meaning of Section 409A and the severance
benefits payable under this Agreement, when considered together with any other severance payments or separation benefits, are considered
deferred compensation under Section 409A (together, the “Deferred Payments”), payment of such Deferred Payments
will be delayed to the extent necessary to avoid the imposition of the additional tax imposed under Section 409A, which generally
means that Executive will begin to receive payments on the date 6 months and 1 day following the Executive’s separation from
service. The Company and the Executive agree to work together in good faith to consider amendments to this Agreement and to take
such reasonable actions which are necessary, appropriate or desirable to avoid imposition of any additional tax or income recognition
prior to actual payment to you under Section 409A. In no event will the Company reimburse the Executive for any taxes that may
be imposed on Executive as a result of Section 409A.

 

	6. 	DEATH OR DISABILITY

In the event of termination of employment
by reason of non-work-related death or Permanent Disability, the Executive (or his estate, as applicable) will be entitled to the
Base Salary and benefits determined under Sections 3 and 4 through the date of termination. In the event of termination
of employment by reason of work related death or Permanent Disability, the Executive (or his estate, as applicable) will be entitled
to the greater of (i) Base Salary and benefits determined under Sections 3 and 4 through the date of termination, or (ii) the minimum
compensation permitted by applicable law. Other benefits will be determined in accordance with the benefit plans maintained by
the Company, and the Company will have no further obligation hereunder. For purposes of this Agreement, “Permanent Disability”
means a physical or mental disability or infirmity of the Executive that prevents the normal performance of substantially all his
duties as an employee of the Company, which disability or infirmity exists for any continuous period of 180 days.

 

	7. 	CONFIDENTIALITY

7.1 Confidentiality. The Executive
covenants and agrees with the Company that he will not at any time during the Term of Employment and thereafter, except in performance
of his obligations to the Company hereunder or with the prior written consent of the Company, directly or indirectly, disclose
any secret or confidential information that he may learn or has learned by reason of his association with the Company or any of
its subsidiaries and Affiliates. The term “confidential information” includes information not previously made generally
available to the public or to the trade by the Company’s management, with respect to the Company’s or any of its subsidiaries’
or Affiliates’ products, facilities, applications and methods, trade secrets and other intellectual property, systems, procedures,
manuals, confidential reports, product price lists, customer lists, technical information, financial information (including the
revenues, costs or profits associated with any of the Company’s products), business plans, prospects or opportunities, but
will exclude any information which is or becomes generally available to the public or is generally known in the industry or industries
in which the Company operates other than as a result of disclosure by the Executive in violation of his agreements under Section
7.1. The Executive will be released of his obligations under this Section 7.1 to the extent the Executive is required
to disclose under any applicable laws, regulations or directives of any government agency, tribunal or authority having jurisdiction
in the matter or under subpoena or other process of law provided that the Executive provides the Company with prompt written notice
of such requirement. For the purposes of this Agreement, “Affiliate” means, with respect to any person or entity,
any other person or entity that is directly or indirectly through one or more intermediaries, controlled by, controlling or under
common control with such person or entity.

 

    	-4-

    	 

    

 

7.2 Acknowledgment of Company Assets.
The Executive acknowledges that the Company, at the Company’s expense, has acquired, created and maintains, and will continue
to acquire, create and maintain, significant goodwill with its current and prospective customers, vendors and employees, and that
such goodwill is valuable property of the Company. The Executive further acknowledges that to the extent such goodwill will be
generated through the Executive’s efforts, such efforts will be funded by the Company and the Executive will be fairly compensated
for such efforts. The Executive acknowledges that all goodwill developed by the Executive relative to the Company’s customers,
vendors and employees will be the sole and exclusive property of the Company and will not be personal to the Executive.

 

7.3 Exclusive Property. The Executive
confirms that all confidential information is and will remain the exclusive property of the Company. All business records, papers
and documents kept or made by Executive relating to the business of the Company will be and remain the property of the Company,
except for such papers customarily deemed to be the personal copies of the Executive. Upon termination of the Executive’s
employment with the Company for any reason, the Executive will promptly deliver to the Company all of the following that are in
the Executive’s possession or under his control: (i) all computers, telecommunication devices and other tangible property
of the Company and its Affiliates, and (ii) all documents and other materials, in whatever form, which include confidential information
or which otherwise relate in whole or in part to the present or prospective business of the Company or its Affiliates, including
but not limited to, drawings, graphs, charts, specifications, notes, reports, memoranda, and computer disks and tapes, and all
copies thereof.

 

7.4 Communication to Third Parties.
The Executive agrees that Company will have the right to communicate the terms of this Section 7 to any third parties, including
but not limited to, any prospective employer of the Executive. The Company waives any right to assert any claim for damages against
Company or any officer, employee or agent of Company arising from such disclosure of the terms of this Section 7.

 

7.5 Independent Obligations. The
provisions of this Section 7 will be independent of any other provision of this Agreement. The existence of any claim or
cause of action by the Executive against the Company, whether predicated on this Agreement or otherwise, will not constitute a
defense of the enforcement of this Section 7 by the Company.

 

7.6 Non-Exclusivity. The Company’s
rights and the Executive’s obligations set forth in this Section 7 are in addition to, and not in lieu of, all rights
and obligations provided by applicable statutory or common law.

 

	8. 	INDEMNIFICATION

8.1 Indemnification of the Executive.
The Company agrees to indemnify Executive (and his heirs, executors, and administrators), and to advance expenses related to this
indemnification, to the fullest extent permitted under applicable law and regulations, against any and all expenses and liabilities
that Executive reasonably incurs in connection with or arising out of any action, suit, or proceeding in which he may be involved
by reason of his service as an Executive of the Company or any of its subsidiaries or Affiliates (whether or not he continues to
be an Executive at the time of incurring any such expenses or liabilities). Covered expenses and liabilities include, but are not
limited to, judgments, court costs, and attorneys’ fees and the costs of reasonable settlements, subject to Board approval,
if the action is brought against Executive in his capacity as an Executive of the Company or any of its subsidiaries or Affiliates.
Indemnification for expenses will not extend to matters related to Executive’s termination for Cause. Notwithstanding anything
in this Section 8.1 to the contrary, the Company will not be required to provide indemnification prohibited by applicable
law or regulation. The obligations of this Section 8.1 will survive the term of this Agreement by a period of six (6) years.

 

    	-5-

    	 

    

 

8.2 Indemnification of the Company.

 

The Executive will indemnify and keep the
Company fully indemnified at all times from and against all claims, suits, proceedings, fines, punishment, loss, damage, costs
and liabilities whatsoever incurred or sustained by the Company in connection with or arising out of or as a consequence of any
breach by the Executive of the confidentiality obligations set forth above.

 

	9.	FOREIGN CORRUPT PRACTICES ACT 

The Company and the Executive each represent
and warrant that it is aware of and familiar with the provisions of the Foreign Corrupt Practices Act of 1977, as amended by the
Omnibus Trade and Competitiveness Act of 1988 (“FCPA”), and the rules and regulations thereunder, and its purpose.
Each party agrees that it will take no action and make no payment in violation of, or which might cause the Company or the Executive
to be in violation of, the FCPA, including, but not limited to, the making of unlawful payments to foreign or domestic government
officials or employees or to any foreign or domestic political parties or campaigns from corporate funds.

 

	10. 	MISCELLANEOUS 

10.1 Severability. The parties intend
this Agreement to be enforced as written. However, (i) if any portion or provision of this Agreement is to any extent be declared
illegal or unenforceable by a duly authorized court having jurisdiction, then the remainder of this Agreement, or the application
of such portion or provision in circumstances other than those as to which it is so declared illegal or unenforceable, will not
be affected thereby, and each portion and provision of this Agreement will be valid and enforceable to the fullest extent permitted
by law and (ii) if any provision, or part thereof, is held to be unenforceable because of the duration of such provision, the geographic
area covered thereby, or other aspect of the scope of such provision, the court making such determination will have the power to
reduce the duration, geographic area of such provision, or other aspect of the scope of such provision, and/or to delete specific
words and phrases (“blue-penciling”), and in its reduced or blue-penciled form, such provision will then be
enforceable and will be enforced.

 

10.2 Assignment. The rights and
obligations of this Agreement will bind and inure to the benefit of any successor of the Company by reorganization, merger or consolidation,
or any assignee of all or substantially all of the Company’s business and properties. Neither this Agreement nor any rights
hereunder will be assignable or otherwise subject to hypothecation by the Executive.

 

10.3 Entire Agreement. This Agreement
represents the entire agreement of the Company and the Executive and will supersede any and all previous contracts, arrangements
or understandings.

 

10.4 Governing Law. This Agreement
will be construed and interpreted in accordance with and governed by the law of the State of Delaware, USA, without regard to the
choice-of-law provisions thereof that might direct the application of the law of another jurisdiction.

 

10.5 Dispute Resolution. Any legal
action or proceeding with respect to this Agreement shall be brought in the courts of Delaware, or the United States District Court
for the District of Delaware. By execution and delivery of this Agreement, each of the parties hereto accepts for itself and in
respect of its property, generally and unconditionally, the exclusive jurisdiction of the aforesaid courts.

 

 

 

[SIGNATURE PAGE FOLLOWS]

 

    	-6-

    	 

    

 

IN WITNESS WHEREOF, the Executive and the
authorized representative of China Biologic Products, Inc., execute and enter into this Agreement as of the date first written
above.

 

 

	 	 	 	EXECUTIVE	 
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	/s/ David (Xiaoying) Gao	 
	 	 	 	Mr. David (Xiaoying) Gao	 
	 	 	 	Passport No. ______________	 

  

	 	 	 	CHINA BIOLOGIC PRODUCTS, INC.	 
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	By:	/s/ Ming Yang	 
	 	 	 	Name:   Ming Yang	 
	 	 	 	Title:     Chief Financial Officer	 
	 	 	 	Date:	 
	 	 	 	 	 

 

 

 

    	-7-

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