Document:

ex10-21.htm

Exhibit 10.21

 

 

EMPLOYMENT AGREEMENT

 

      THIS AGREEMENT made by and between CAMBREX CORPORATION, a Delaware corporation (the "Company"), and Tom Vadaketh, (the "Employee"), as of the 20th day of January, 2017.

 

      WHEREAS, the Employee presently is a key management employee of the Company, namely its Executive Vice President & Chief Financial Officer; and

 

      WHEREAS, the Board of Directors of the Company (the "Board"), on the advice of its Compensation Committee, has determined that it is in the best interests of the Company and its stockholders to assure that the Company will have the continued dedication of the Employee, notwithstanding the possibility, threat, or occurrence of a Change of Control (as defined below) of the Company. The Board believes it is imperative to diminish the inevitable distraction of the Employee by virtue of the personal uncertainties and risks created by a pending or threatened Change of Control, to encourage the Employee's full attention and dedication to the Company currently and in the event of any threatened or pending Change of Control which provides the Employee with individual financial security and which are competitive with those of other corporations. In order to accomplish these objectives, the Board has caused the Company to enter into this Agreement.

 

      NOW, THEREFORE, IT IS HEREBY AGREED AS FOLLOWS:

 

   1. Certain Definitions.

 

      (a) The "Effective Date" shall be the first date during the "Change of Control Period" (as defined in Section 1(b)) on which a Change of Control occurs. Anything in this Agreement to the contrary notwithstanding, if the Employee's employment with the Company is terminated prior to the date on which a Change of Control occurs, and it is reasonably demonstrated that such termination (1) was at the request of a third party who has taken steps reasonably calculated to effect a Change of Control or (2) otherwise arose in connection with or anticipation of a Change of Control, then for all purposes of this Agreement the "Effective Date" shall mean the date immediately prior to the date of such termination.

 

      (b) The "Change of Control Period" is the period commencing on the date hereof and ending on the second anniversary of such date; provided, however, that commencing on the date one year after the date hereof, and on each successive anniversary thereof (each such anniversary being hereinafter referred to as a "Renewal Date"), the Change of control Period shall be automatically extended so as to end on the third anniversary of such Renewal Date unless at least sixty (60) days prior to such Renewal date the Company shall give notice that the Change of Control Period shall not be so extended, in which event the then current Change of Control Period shall not be extended and shall end on the then applicable ending date.

 

 

 

 

 

   2. Change of Control. For the purpose of this Agreement, a "Change of Control" shall mean:

 

      (a) the acquisition (other than from the Company) by any person, entity or "group" (within the meaning of Section 13 (d)(3) or 14(d)(2) of the Securities Exchange Act of 1934 (the "Exchange Act") but excluding for this purpose the Company or its subsidiaries or any employee benefit plan of the Company or its subsidiaries which acquires beneficial ownership of voting securities of the Company) of "beneficial ownership" (within the meaning of Rule 13d-3 promulgated under the Exchange Act) of fifteen percent (15%) or more of either the then outstanding shares of common stock or the combined voting power of the Company's then outstanding voting securities entitled to vote generally in the election of directors; or

 

      (b) individuals who, as of the date hereof, constitute the Board (as of the date hereof the "Incumbent Board") cease for any reason to constitute at least a majority of the Board; provided that any person becoming a member of the Board subsequent to the date hereof whose election or nomination for election by the Company's stockholders (other than an election or nomination of an individual whose initial assumption of office is in connection with an actual or threatened election contest relating to the election of the directors of the Company, as such terms are used in Rule 14a-11 of Regulation 14A promulgated under the Exchange Act) was approved by a vote of at least a majority of the

directors then comprising the Incumbent Board shall be, for purposes of this Agreement, considered a member of the Incumbent Board; or

 

      (c) approval by the stockholders of the Company of either a reorganization, or merger, or consolidation, with respect to which persons who were the stockholders of the Company immediately prior to such reorganization, merger or consolidation do not, immediately thereafter, own more than fifty percent (50%) of the combined voting power entitled to vote generally in the election of directors of the reorganized, merged or consolidated entity's then outstanding voting securities, or a liquidation or dissolution of the Company, or the sale of all or substantially all of the assets of the Company; or

 

      (d) the sale or disposition by the Company of all or substantially all of the assets of the Company; or

 

      (e) any other event or series of events or which, notwithstanding any of the foregoing provisions of this Section 2 to the contrary, is determined by a majority of the Incumbent Board to constitute a Change of Control for the purposes of this Agreement.

 

   3. Employment Period. The Company hereby agrees to employ the Employee, and the Employee hereby agrees to remain in the employ of the Company, for the period (the "Employment Period") commencing on the Effective Date and ending on the second anniversary of such date; provided, however, that if a Change of Control actually occurs but the Employee's employment is terminated by the Company other than for Cause (as defined in Section 5(b) hereof) prior to the occurrence of such Change of Control but within twelve (12) months after

 

 

 

 

 

 

(a) the commencement of a tender offer for at least 15% of the Company's common stock by any person (other than the Company, one of its subsidiaries or any employee benefit plan sponsored or maintained by the Company or one of its subsidiaries) that has not been withdrawn on or before the date of such termination;

 

(b) the commencement of a proxy contest intended to remove control of the Company's business from the Incumbent Board that has not been abandoned on or before the date of such termination; or

 

(c) the execution of a definitive agreement to merge or otherwise consolidate the Company with or into another corporation or to sell a substantial portion of the Company's assets (in each case, other than a transaction involving only the Company and one or more corporations or other entities directly or indirectly owned and controlled by the Company) that is still binding on the parties thereto at the date of such termination; the Effective Date of this Agreement shall be deemed to be the day immediately prior to the date of such termination and the date of such termination shall be deemed to be the Employee's Date of Termination (as defined in Section 5(e) hereof) for the purposes of this Agreement.

 

      4. Terms of Employment.

 

         (a) Position and Duties.

 

            (i) During the Employment Period, (A) the Employee's position shall be at least commensurate in all substantial respects with the Employee's position with the Company and its subsidiaries during the ninety-day period immediately preceding the Effective Date and (B) the Employee's services shall be performed at the location where the Employee was employed immediately preceding the Effective Date or any office or location less than fifty (50) miles from such location.

 

            (ii) During the Employment Period, the Employee agrees to devote reasonable attention and time during normal business hours to the business and affairs of the Company and, to the extent necessary to discharge the responsibilities assigned to the Employee hereunder, to use the Employee's reasonable best efforts to perform faithfully and efficiently such responsibilities. It is expressly understood and agreed that to the extent that any outside activities have been conducted by the Employee prior to the Effective Date, the continued conduct of such activities subsequent to the Effective Date shall not thereafter be deemed to interfere with the performance of the Employee's responsibilities to the Company.

 

 

 

 

 

         (b) Compensation.

 

            (i) Base Salary. During the Employment Period, the Employee shall receive a base salary ("Base Salary") at a monthly rate at least equal to the highest monthly base salary paid or payable to the Employee by the Company and its subsidiaries during the twelve-month period immediately preceding the month in which the Effective Date occurs. During the Employment Period, the Base Salary shall be reviewed at least annually and shall be increased at any time and from time to time as shall be substantially consistent with increases in base salary awarded in the ordinary course of business to other key employees of the Company and its subsidiaries. Any increase in Base Salary shall not serve to limit or reduce any other obligation to the Employee under this Agreement.

 

            (ii) Annual Bonus. In addition to Base Salary, the Employee shall be eligible (but not entitled) to receive, for each fiscal year during the Employment Period, an annual bonus (an "Annual Bonus") (pursuant to any regular incentive bonus plan maintained by the Company) in cash, restricted stock, restricted stock units or other forms of remuneration on the same basis as with respect to the fiscal year immediately preceding the fiscal year in which the Effective Date occurs.

 

      5. Termination.

 

            (a) Death or Disability. This Agreement shall terminate automatically upon the Employee's death. If the Company determines in good faith that the Disability of the Employee has occurred (pursuant to the definition of "Disability" set forth below), it may give to the Employee written notice of its intention to terminate the Employee's employment. In such event, the Employee's employment with the Company shall terminate effective on the thirtieth (30th) day after receipt of such notice by the Employee (the "Disability Effective Date"), provided that, within the thirty (30) days after such receipt, the Employee shall not have returned to full-time performance of the Employee's duties. For purposes of this Agreement, "Disability" means disability which, at least twenty-six (26) weeks after its commencement, is determined to be total and permanent by a physician selected by the Company or its insurers and acceptable to the Employee or the Employee's legal representative (such agreement as to acceptability not to be withheld unreasonably).

 

            (b) Cause. The Company may terminate the Employee's employment for "Cause" or other than for Cause. For purposes of this Agreement, "Cause" shall constitute either (i) personal dishonesty or breach of fiduciary duty involving personal profit; (ii) the commission of a criminal act related to the performance of duties, or the furnishing of proprietary confidential information about the Company to a competitor, or potential competitor or third party whose interests are adverse to those of the Company; (iii) habitual intoxication by alcohol or drugs during work hours; or (iv) conviction of a felony.

 

 

 

 

 

 

            (c) Good Reason. The Employee's employment may be terminated by the Employee for Good Reason or other than for Good Reason. For purposes of this Agreement, "Good Reason" means:

 

                  (i) relocation of the principal place at which the Employee's duties are to be performed to a location more than fifty (50) miles from the principal place where the Employee's duties were performed during the ninety-day period immediately preceding the Effective Date;

 

                  (ii) a substantial reduction in the Base Salary, or in the benefits or perquisites provided the Employee from those which pertained during the 90-day period immediately preceding the Effective Date;

 

                  (iii) a substantial reduction in the Employee's, responsibilities, authorities or functions from those which pertained during the 90-day period immediately preceding the Effective Date;

 

                  (iv) a substantial adverse change in the Employee's work conditions from those which pertained during the 90-day period immediately preceding the Effective Date; and

 

                  (v) any failure by the Company to comply with and satisfy Section II(c) of this Agreement.

 

 

         (d) Notice of Termination. Any termination by the Company for Cause or other than for Cause or by the Employee for Good Reason or other than Good Reason shall be communicated by Notice of Termination to the other party hereto given in accordance with Section 12(b) of this Agreement. For purposes of this Agreement, a "Notice of Termination" means a written notice which (i) indicates the specific termination provision in this Agreement relied upon (ii) sets forth in reasonable detail the facts and circumstances claimed to provide a basis for termination of the Employee's employment under the provision so indicated and (iii) if the Date of Termination (as defined below) is other than the date of receipt of such notice, specifies the termination date (which date shall be not more than fifteen (15) days after the giving of such notice). The failure by the Employee to set forth in the Notice of Termination any fact or circumstance which contributes to a showing of Good Reason shall not waive any right of the Employee hereunder or preclude the Employee from asserting such fact or circumstance in enforcing his rights hereunder.

 

         (e) Date of Termination. "Date of Termination" means the date of receipt of the Notice of Termination or any later date specified therein, as the case may be; provided, however, that (i) if the Employee's employment is terminated by the Company other than Cause or Disability, the Date of Termination shall be the date on which the Company notifies the Employee of such termination and (ii) if the Employee's employment is terminated by reason of death or Disability, the Date of Termination shall be the date of death of the Employee or the Disability Effective Date, as the case may be.

 

 

 

 

 

      6. Obligation of the Company upon Termination.

 

         (a) Death. If the Employee's employment is terminated by reason of the Employee's death, this Agreement shall terminate without further obligations to the Employee's legal representatives under this Agreement, other than those obligations accrued or earned and vested (if applicable) by the Employee as of the Date of Termination, including, for this purpose (i) the Employee's full Base Salary through the Date of Termination at the rate in effect on the Date of Termination or, if higher, at the highest rate in effect at any time from the ninety-day period preceding the Effective Date through the Date of Termination (the "Highest Base Salary"), (ii) the product of the Annual Bonus paid to the Employee for the last full fiscal year and a fraction, the numerator of which is the number of days in the current fiscal year through the Date of Termination, and the denominator of which is three hundred sixty-five (365) and (iii) any compensation previously deferred by the Employee (together with accrued interest thereon, if any) and not yet paid by the Company and any accrued vacation pay not yet paid by the Company (such amounts specified in clauses (i), (ii) and (iii) are hereinafter referred to as "Accrued Obligations"). All such Accrued Obligations shall be paid to the Employee's estate or beneficiary, as applicable, in a lump sum in cash within thirty (30) days of the Date of Termination. Anything in this Agreement to the contrary notwithstanding, the Employee's family shall be entitled to receive benefits at least equal to the most favorable benefits provided by the Company and any of its subsidiaries under such plans, programs, practices and policies relating to family death benefits, if any, in accordance with the most favorable plans, programs, practices and policies of the company and its subsidiaries in effect at any time during the ninety-day period immediately preceding the Effective Date or, if more favorable to the Employee and/or the Employee's family, as in effect on the date of the Employee's death with respect to other key employees of the Company and its subsidiaries and their families.

 

         (b) Disability. If the Employee's employment is terminated by reason of the Employee's Disability, this Agreement shall terminate without further obligations to the Employee; other than those obligations accrued or earned and vested (if applicable) by the Employee as of the Date of Termination, including for this purpose, all Accrued Obligations. All such Accrued Obligations shall be paid to the Employee in a lump sum in cash within thirty (30) days of the Date of Termination. Anything in this Agreement to the contrary notwithstanding, the Employee shall be entitled after the Disability Effective Date to receive disability and other benefits at least equal to the most favorable of those provided by the Company and its subsidiaries to disabled employees and/or their families in accordance with such plans, programs, practices and policies of the Company and its subsidiaries in effect at any time during the ninety-day period immediately preceding the Effective Date or, if more favorable to the Employee and/or the Employee's family, as in effect at any time thereafter with respect to other key employees of the Company and its subsidiaries and their families.

 

 

 

 

 

         (c) Cause; Other than for Good Reason. If the Employee's employment shall be terminated for Cause, this Agreement shall terminate without further obligations to the Employee other than the obligation to pay to the Employee the Highest Base Salary through the Date of Termination plus the amount of any compensation previously deferred by the Employee (together with accrued interest thereon, if any). If the Employee terminates employment other than for Good Reason, this Agreement shall terminate without further obligations to the Employee, other than those obligations accrued or earned and vested (if applicable) by the Employee through the Date of Termination, including for this purpose, all Accrued Obligations. All such Accrued Obligations shall be paid to the Employee in a lump sum in cash within thirty (30) days of the Date of Termination.

 

         (d) Good Reason; Other than for Cause or Disability. If, during the Employment Period, the Company shall terminate the Employee's employment other than for Cause, Disability, or death or if the Employee shall terminate his employment for Good Reason:

 

            (i) the Company shall pay to the Employee in a lump sum in cash within thirty (30) days after the Date of Termination the aggregate of the following amounts:

 

                  A. to the extent not theretofore paid, the Employee's Highest Base Salary through the Date of Termination; and

 

                  B. the product of (x) the highest Annual Bonus earned by the Employee during the two fiscal years immediately preceding the Date of Termination, or, if higher, the Employee's Target Bonus after the date of this Agreement until an Annual Bonus has actually been earned and (y) a fraction, the numerator of which is the number of days in the current fiscal year through the Date of Termination and the denominator of which is three hundred sixty-five (365); and

 

                  C. the product of (x) a fraction, the numerator of which is twenty-four (24) minus the number of whole months the Employee has been employed by the Company following the first anniversary of the Effective Date and the denominator of which is twelve (12) and (y) the annualized Highest Base Salary; and

 

                  D. the product of (x) fraction, the numerator of which is twenty-four (24) minus the number of whole months the Employee has been employed by the Company following the first anniversary of the Effective Date and the denominator of which is twelve (12) and (y) the highest Annual Bonus earned by the Employee during two fiscal years immediately preceding the Date of Termination, provided that Employee's Annual Bonus under this Section after the date of this Agreement shall be his Target Bonus until an Annual Bonus has actually been earned; and

 

                  E. in the case of compensation previously deferred by the Employee, all amounts previously deferred (together with accrued interest thereon, if any) and not yet paid by the Company, and any accrued vacation pay not yet paid by the Company; and

 

 

 

 

 

                  F. for the remainder of the Employment Period, or such longer period as any plan, program, practice or policy may provide, the Company shall continue benefits to the Employee and/or the Employee's family at least equal to those which would have been provided to them as if the Employee's employment had not been terminated, in accordance with the most favorable employee benefit plans of the Company and its subsidiaries (including health insurance and life insurance) during the ninety-day period immediately preceding the Effective Date or, if more favorable to the Employee, as in effect at any time thereafter with respect to other key employees and their families; and

 

            (ii) all outstanding equity awards shall immediately vest and, as applicable, become exercisable.

 

      7. Non-exclusivity of Rights. Nothing in this Agreement shall prevent or limit the Employee's continuing or future participation in any benefit, bonus, incentive or other plans, programs, policies or practices, provided by the Company or any of its subsidiaries and for which the Employee may qualify, nor shall anything herein limit or otherwise affect such rights as the Employee may have under any stock option or other agreements with the Company or any of its subsidiaries. Amounts which are vested benefits or which the Employee is otherwise entitled to receive under any plan, policy, practice or program of the Company or any of its subsidiaries at or subsequent to the Date of Termination shall be payable in accordance with such plan, policy, practice or program provided, however, that in the event the terms of any such plan, policy, practice or program concerning the payment of benefits thereunder shall conflict with any provision of this Agreement, the terms of this Agreement shall take precedence but only if and to the extent the payment would not adversely affect the tax exempt status (if applicable) of any such plan, policy, practice or program and only if the Employee agrees in writing that such payment shall be in lieu of any corresponding payment from such plan, policy, practice or program.

 

      8. Full Settlement. The Company's obligation to make the payments provided for in this Agreement and otherwise to perform its obligations hereunder shall not be affected by any set-off, counterclaim, recoupment, defense or other claim, right or action which the Company may have against the Employee or others. In no event shall the Employee be obligated to seek other employment or take any other action by way of mitigation of the amounts payable to the Employee under any of the provisions of this Agreement. The Company agrees to pay, to the full extent permitted by law, all legal fees and expenses which the Employee may reasonably incur as a result of any contest (regardless of the outcome thereof) by the Company or others of the validity or enforceability of, or liability under, any provision of this Agreement or any guarantee of performance thereof (including as a result of any contest by the Employee about the amount of any payment pursuant to Section 9 of this Agreement), plus in each case interest at the applicable Federal rate provided for in Section 7872(f)(2) of the Internal Revenue Code of 1986, as amended (the "Code").

 

 

 

 

 

      9. Limitations on Payments to Employee.

 

(a) Notwithstanding any contrary provisions in any plan, program or policy of the Company or in this Agreement, if it is determined that any payment or benefit provided to or for the benefit of Employee whether paid or payable or distributed or distributable pursuant to the terms of this Agreement or otherwise ("Payments") would be subject to the excise tax imposed by the Code section 4999 ("Excise Tax"), the Company shall reduce Employee's Payments to the extent necessary so that no portion thereof shall be subject to the Excise Tax.

 

(b) The Company shall defend, indemnify and hold harmless Employee from any claims or liabilities resulting from or relating to its determinations under Section 9(a). 

 

      10. Non-competition. As a condition to receiving any benefits pursuant to this Agreement, the Employee agrees that during his period of employment and through the first anniversary of his Date of Termination, the Employee shall not engage in or become associated with any Competitive Activity. For purposes of this Section 10, a "Competitive Activity" shall mean any business or other endeavor that engages in any country in which the Company or its Affiliates have business operations in a business that directly or indirectly competes with all or any substantial part of any of the business in which the Company or its Affiliates is engaged at the time of the Employee's Date of Termination. The Employee shall be considered to have become "engaged" or "associated" with a Competitive Activity if he becomes involved as an owner, employee, officer, director, independent contractor, agent, partner, advisor, lender, or in any other capacity calling for the rendition of the Employee's personal services, either alone or with any individual, partnership, corporation or other organization that is engaged in a Competitive Activity and his involvement relates in any respect to the Competitive Activity of such entity; provided, however, that the Employee shall not be prohibited from owning less than two percent of any publicly traded corporation, whether or not such corporation is in competition with the Company. If, at any time, the provisions of this Section 10 shall be determined to be invalid or unenforceable, by reason of being vague or unreasonable as to area, duration or scope of activity, this Section 10 shall be considered divisible and shall become and be immediately amended to only such area, duration and scope of activity as shall be determined to be reasonable and enforceable by the court or other body having jurisdiction over the matter; and the Employee agrees that this Section 10 as so amended shall be valid and binding as though any invalid or unenforceable provision had not been included herein.

 

      11. Confidential Information. The Employee shall hold in a fiduciary capacity for the benefit of the Company all secret or confidential information, knowledge or data relating to the Company or any of its subsidiaries, and their respective businesses, which shall have been obtained by the Employee during the Employee's employment by the Company or any of its subsidiaries and which shall not be or become public knowledge (other than by acts by the Employee or his representatives in violation of this Agreement). After termination of the Employee's employment with the Company, the Employee shall not, without the prior written consent of the Company, communicate or divulge any such information, knowledge or data to anyone other than the Company and those designated by it. In no event shall an asserted violation of the provisions of this Section 10 constitute a basis for deferring or withholding any amounts otherwise payable to the Employee under this Agreement.

 

 

 

 

 

      12. Successors.

 

                  (a) This Agreement is personal to the Employee and without the prior written consent of the Company shall not be assignable by the Employee otherwise than by will or the laws of descent and distribution. This Agreement shall inure to the benefit of and be enforceable by the Employee's legal representatives.

 

                  (b) This Agreement shall inure to the benefit of and be binding upon the Company and its successors and assigns.

 

                  (c) The Company shall require any successor (whether direct or indirect, by purchase, merger, consolidation or otherwise) to all or substantially all of the business and/or assets of the Company to assume expressly and agree to perform this Agreement in the same manner and to the same extent that the Company would be required to perform it if no such succession had taken place. As used in this Agreement, "Company" shall mean the Company as hereinbefore defined and any successor to its business and/or assets as aforesaid which assumes and agrees to perform this Agreement by operation of

law, or otherwise.

 

      13. Miscellaneous.

 

                  (a) This Agreement shall be governed by and construed in accordance with the laws of the State of Delaware, without reference to principles of conflict of laws. The captions of this Agreement are not part of the provisions hereof an shall have no force or effect.

 

                  (b) All notices and other communications hereunder shall be in writing and shall be given by hand delivery to the other party or by registered or certified mail, return receipt requested, postage prepaid, addressed as follows:

 

                  If to the Employee:

 

                      Mr. Tom Vadaketh

           _______________________

           _______________________

 

 

                  If to the Company:

 

                      Cambrex Corporation

                      One Meadowlands Plaza

                      East Rutherford, N.J. 07073

                      Attention: General Counsel

 

 

 

 

 

 

or to such other address as either party shall have furnished to the other in writing in accordance herewith. Notice and communications shall be effective when actually received by the addressee.

 

                  (c) The invalidity or unenforceability of any provision of this Agreement shall not affect the validity or enforceability of any other provision of this Agreement.

 

                  (d) The Company may withhold from any amounts payable under this Agreement such Federal, state or local taxes as shall be required to be withheld pursuant to any applicable law or regulation.

 

                  (e) The Employee's failure to insist upon strict compliance with any provision hereof shall not be deemed to be a waiver of such provision or any other provision thereof.

 

                  (f) This Agreement contains the entire understanding of the Company and the Employee with respect to the subject matter hereof. This agreement may not be amended or modified otherwise than by a written agreement executed by the parties hereto or their respective successors and legal representatives.

 

                  (g) The Employee and the Company acknowledge that the employment of the Employee by the Company or any of its subsidiaries prior to the Effective Date is "at will", and, prior to the Effective Date, may be terminated by either the Employee or the employer at any time. Upon a termination of the Employee's employment or upon the Employee's ceasing to be an officer of the Company, in each case, prior to the Effective Date, there shall be no further rights under this Agreement.

 

       (h)     The Employee acknowledges that any payment made pursuant to this agreement may be subject to the Company’s claw back policy adopted pursuant to the Dodd-Frank Act.

 

 

 

 

 

 

      14. Section 409A. Notwithstanding anything in this Agreement to the contrary, to the extent the Employee would otherwise be entitled to a payment during the six months beginning on the Date of Termination that would be subject to the additional tax imposed under Section 409A of the Code, (i) the payment will not be made to the Employee and instead will be made, at the election of the Company, either to a trust in compliance with Rev. Proc. 92-64 or an escrow account established to fund such payments (provided that such funds shall be at all times subject to the creditors of the Company and its affiliates) and (ii) the payment, together with interest thereon at the rate of "prime" plus 1%, will be paid to the Employee on the earlier of the six-month anniversary of Date of Termination or the Employee's death or disability (within the meaning of Section 409A of the Code). Similarly, to the extent the Employee would otherwise be entitled to any benefit (other than a cash payment) during the six months beginning on the Date of Termination that would be subject to the additional tax under Section 409A of the Code, the benefit will be delayed and will begin being provided (together, if applicable, with an adjustment to compensate the Employee for the delay, with such adjustment to be determined in the Company's reasonable good faith discretion) on the earlier of the six-month anniversary of the Date of Termination or the Employee's death or disability (within the meaning of Section 409A of the Code). The Company will establish the trust or escrow account, as applicable, no later than ten days following the Employee's Date of Termination. It is the intention of the parties that the payments and benefits to which the Employee could become entitled in connection with termination of employment under this Agreement comply with Section 409A of the Code. In the event that the parties determine that any such benefit or right does not so comply, they will negotiate reasonably and in good faith to amend the terms of this Agreement such that it complies (in a manner that attempts to minimize the economic impact of such amendment on the Employee and the Company).

 

      IN WITNESS WHEREOF, pursuant to the authorization from its Board of Directors, the Company has caused these presents to be executed in its name on its behalf, and the Employee has hereunto set his hand, all as of the day and year first above written.

 

	
 
	
CAMBREX CORPORATION

	
 
	
 

	
 
	
By: /s/ Samantha Hanley                                 

 

 

 

 

    /s/ Tom Vadaketh                                           

Tom VadakethEXHIBIT 10.1

 

REGISTRATION
RIGHTS AGREEMENT

 

This Registration
Rights Agreement (this “Agreement”) is made and entered into as of February 3, 2017, by and among Oncobiologics,
Inc., a Delaware corporation (the “Company”), and the Investors (as defined below) party hereto. Capitalized
terms used but not otherwise defined herein have the respective meanings ascribed thereto in that certain Note and Warrant Purchase
Agreement, dated as of December 22, 2016, by and among the Company and the Purchasers named therein (the “Purchase Agreement”).

 

WHEREAS, pursuant to the Purchase
Agreement, the Company has issued to each Investor named as a Purchaser therein the respective number of Warrants specified therein;
and

 

WHEREAS, the Company has agreed to
provide the Investors with certain registration rights relating to the shares of the Company’s common stock issuable or issued
pursuant to the terms of the Warrants;

 

NOW, THEREFORE, the parties hereby
agree as follows:

 

1.          Certain
Definitions.

 

As used in this Agreement, the following
terms shall have the following meanings:

 

“Damages” means any loss,
damage, claim, liability (joint or several) or expense (including reasonable attorney’s fees) to which a party hereto may
become subject under the 1933 Act, the 1934 Act, or other applicable law, insofar as such loss, damage, claim, liability or expense
(or any action in respect thereof) arises out of or is based upon: (i) any untrue statement or alleged untrue statement of a material
fact contained in any Registration Statement (including any preliminary Prospectus or final Prospectus contained therein or any
amendments or supplements thereto); (ii) any omission or alleged omission to state in any Registration Statement (including any
preliminary Prospectus or final Prospectus contained therein or any amendments or supplements thereto) a material fact required
to be stated therein, or necessary to make the statements therein not misleading; or (iii) any violation or alleged violation by
the indemnifying party (or any of its agents or Affiliates) of the 1933 Act, the 1934 Act, any state securities law, or any rule
or regulation promulgated under the 1933 Act, the 1934 Act, or any state securities law.

 

“Investors” means the
Purchasers listed on Schedule I to the Purchase Agreement and any Affiliate or permitted transferee of any Investor who
is a subsequent holder of Registrable Securities.

 

“Prospectus” means the
prospectus included in any Registration Statement, as amended or supplemented by any prospectus supplement, with respect to the
terms of the offering of any portion of the Registrable Securities covered by such Registration Statement and by all other amendments
and supplements to the prospectus, including post-effective amendments and all material incorporated by reference in such prospectus.

 

“Register,” “registered”
and “registration” refer to a registration made by preparing and filing a Registration Statement or similar
document in compliance with the 1933 Act, and the declaration or ordering of effectiveness of such Registration Statement or document.

 

     

     

    

 

“Registrable Securities”
means (i) the shares of Common Stock of the Company issued or issuable pursuant to the Investors’ Warrants (the “Warrant
Shares”) and (ii) any other securities issued or issuable with respect to or in exchange for Registrable Securities,
whether by merger, charter amendment or otherwise; provided, however, that with respect to any particular Registrable
Securities, they shall cease to be Registrable Securities upon (A) their sale pursuant to a Registration Statement or Rule 144,
or (B) all such Registrable Securities becoming eligible for sale by such Investor in a single transaction without limitations
pursuant to Rule 144.

 

“Registration Statement”
means any registration statement of the Company under the 1933 Act that covers the offer and resale of any of the Registrable Securities
pursuant to the provisions of this Agreement, amendments and supplements to such Registration Statement, including post-effective
amendments, all exhibits and all material incorporated by reference in such Registration Statement.

 

“Required Investors”
means the Investors holding a majority of the Registrable Securities outstanding from time to time; provided, however,
that for so long as any affiliate(s) of PointState Capital LP shall hold any Registrable Securities, the term Required Investors
shall include the affiliate(s) of such entity; and provided, further, that for so long as any affiliate(s) of Sabby
Healthcare Master Fund, Ltd. shall hold any Registrable Securities, the term Required Investors shall include the affiliate(s)
of such entity.

 

“Rule 144” means Rule
144 promulgated by the SEC under the 1933 Act.

 

2.           Registration.

 

(a)          Registration
Statements.

 

(i)          No
later than February 15, 2017 (the “Filing Deadline”), the Company shall prepare and file with the Securities
and Exchange Commission (the “SEC”) one Registration Statement covering the offer and resale from time to time
of all of the Registrable Securities. Subject to any SEC comments, such Registration Statement shall include the plan of distribution
attached hereto as Exhibit A; provided, however, that no Investor shall be named as an “underwriter”
in such Registration Statement without such Investor’s prior written consent. Such Registration Statement also shall cover,
to the extent allowable under the 1933 Act and the rules promulgated thereunder (including Rule 416), such indeterminate number
of additional shares of Common Stock resulting from stock splits, stock dividends or similar transactions with respect to the Registrable
Securities. Such Registration Statement (and each amendment or supplement thereto, and each request for acceleration of effectiveness
thereof) shall be provided in accordance with Section 3(c) to the Investors prior to its filing or other submission. If
a Registration Statement covering the Registrable Securities is not filed with the SEC on or prior to the Filing Deadline, the
Company will make pro rata cash payments to each Investor, as liquidated damages and not as a penalty, in an amount equal
to one percent (1%) of the aggregate amount invested by such Investor under the Purchase Agreement for each thirty (30)-day period
or any portion thereof following the Filing Deadline for which no Registration Statement is filed with respect to the Registrable
Securities. Such payments shall constitute each Investor’s exclusive monetary remedy for such events, but shall not affect
the right of any Investor to seek injunctive relief. Such payments shall be made to the Investors in cash no later than three (3)

 

    2 

     

    

 

business days after the end of each thirty
(30)-day period (the “Payment Date”). Interest shall accrue at the rate of one percent (1%) per month on any
such liquidated damages payments that shall not be paid by the Payment Date until such amount is paid in full. The parties agree
that the maximum aggregate liquidated damages payable to any Investor under this Agreement shall be six percent (6%) of the aggregate
Purchase Price paid by such Investor pursuant to the Purchase Agreement, and that such maximum applies regardless of whether one
or multiple obligations to pay liquidated damages to such Investor under this Agreement exist.

 

(ii)         Promptly
following the date (the “Qualification Date”) upon which the Company becomes eligible to use a registration
statement on Form S-3 to register the Registrable Securities for resale, but in no event more than forty five (45) days after
the Qualification Date (the “Qualification Deadline”), the Company shall file a registration statement on Form
S-3 covering the offer and resale from time to time of all the Registrable Securities (or a post-effective amendment on Form S-3
to a registration statement on Form S-1) (a “Shelf Registration Statement”). If a Shelf Registration Statement
covering the Registrable Securities is not filed with the SEC on or prior to the Qualification Deadline, the Company will make
pro rata cash payments to each Investor, as liquidated damages and not as a penalty, in an amount equal to one percent (1%)
of the aggregate amount invested by the Investor under the Purchase Agreement for each thirty (30)-day period or for any portion
thereof following the Qualification Deadline for which no Registration Statement is filed with respect to the Registrable Securities.
Such payments shall constitute each Investor’s exclusive monetary remedy for such events, but shall not affect the right
of any Investor to seek injunctive relief. Such payments shall be made to the Investors in cash no later than three (3) business
days after the end of each thirty (30)-day period. Interest shall accrue at the rate of one percent (1%) per month on any such
liquidated damages payments that shall not be paid by the end of each thirty (30)-day period until such amount is paid in full.
The parties agree that the maximum aggregate liquidated damages payable to any Investor under this Agreement shall be six percent
(6%) of the aggregate Purchase Price paid by such Investor pursuant to the Purchase Agreement, and that such cap applies regardless
of whether one or multiple obligations to pay liquidated damages to such Investor under this Agreement exist.

 

(b)          Expenses.
The Company will pay all expenses associated with any Registration Statement and the performance by the Company of its obligations
under this Agreement, including: all registration, filing and qualification fees; printing fees; accounting fees and expenses;
fees and disbursements of the Company’s counsel; costs associated with clearing the Registrable Securities for sale under
applicable state securities laws; stock exchange listing fees; and fees and expenses of one counsel to the Investors and the Investors’
other reasonable expenses in connection with any registration in an aggregate amount not to exceed $10,000; provided, that
the Investors will bear any discounts, commissions and fees of underwriters, selling brokers, dealer managers or similar securities
industry professionals with respect to the Registrable Securities being sold.

 

(c)          Effectiveness.

 

(i)          The
Company shall use commercially reasonable efforts to have each Registration Statement declared effective by the SEC as soon as
practicable. The Company shall notify the Investors simultaneously by facsimile or e-mail as promptly as practicable, and in

 

    3 

     

    

 

any event, within twenty-four (24) hours,
after any Registration Statement is declared effective and shall simultaneously provide the Investors with copies of or access
to any related Prospectus to be used in connection with the sale or other disposition of the securities covered thereby. If (A)(x)
a Registration Statement covering the Registrable Securities is not declared effective by the SEC prior to the earlier of (i) five
(5) business days after the SEC informs the Company that no review of such Registration Statement will be made or that the SEC
has no further comments on such Registration Statement or (ii) March 31, 2017 (or April 30, 2017 if the SEC reviews such Registration
Statement), or (y) a Shelf Registration Statement is not declared effective by the SEC prior to the earlier of (i) five (5) business
days after the SEC informs the Company that no review of such Shelf Registration Statement will be made or that the SEC has no
further comments on such Shelf Registration Statement or (ii) the sixtieth (60th) day after the Qualification Deadline (or the
one hundred and twentieth (120th) day if the SEC reviews such Shelf Registration Statement), or (B) after a Registration Statement
has been declared effective by the SEC, sales cannot be made pursuant to such Registration Statement for any reason (including,
without limitation, by reason of a stop order, or the Company’s failure to update such Registration Statement or the Prospectus
contained therein or any amendments or supplements thereto), but excluding any Allowed Delay (as defined below), then the Company
will make pro rata cash payments to the Investors then holding Registrable Securities, as liquidated damages and not as
a penalty, in an amount equal to one percent (1%) of the aggregate amount invested by the Investor under the Purchase Agreement
for each thirty (30)-day period or for any portion thereof following the date by which such Registration Statement should have
been effective (the “Blackout Period”). Such payments shall constitute each Investor’s exclusive monetary
remedy for such events, but shall not affect the right of any Investor to seek injunctive relief. The amounts payable as liquidated
damages pursuant to this paragraph shall be paid monthly within three (3) business days of the last day of each month following
the commencement of the Blackout Period until the termination of the Blackout Period (the “Blackout Period Payment Date”).
Interest shall accrue at the rate of one percent (1%) per month on any such liquidated damages payments that shall not be paid
by the Blackout Payment Date until such amount is paid in full. The parties agree that the maximum aggregate liquidated damages
payable to any Investor under this Agreement shall be six percent (6%) of the aggregate Purchase Price paid by such Investor pursuant
to the Purchase Agreement, and that such cap applies regardless of whether one or multiple obligations to pay liquidated damages
to such Investor under this Agreement exist.

 

(ii)         For
not more than ten (10) consecutive days or for a total of not more than thirty (30) days in any twelve (12)-month period,
the Company may suspend the use of any Prospectus included in any Registration Statement contemplated by this Section in the event
that the Company determines in good faith that such suspension is necessary to (A) delay the disclosure of material non-public
information concerning the Company, the disclosure of which at the time is not, in the good faith opinion of the Company, in the
best interests of the Company, or (B) amend or supplement the affected Registration Statement or the related Prospectus so
that such Registration Statement or Prospectus shall not include an untrue statement of a material fact or omit to state a material
fact required to be stated therein or necessary to make the statements therein, in the case of the Prospectus in light of the circumstances
under which they were made, not misleading (an “Allowed Delay”); provided, however, that the Company
shall promptly (a) notify the Investors in writing of the commencement of an Allowed Delay, but shall not (without the prior written
consent of an

 

    4 

     

    

 

Investor) disclose to any Investor any material
non-public information giving rise to an Allowed Delay, (b) advise the Investors in writing to cease all sales under such
Registration Statement until the end of the Allowed Delay and (c) use commercially reasonable efforts to terminate an Allowed
Delay as promptly as practicable.

 

(d)          Rule 415;
Cutback. If at any time the SEC takes the position that the offering of some or all of the Registrable Securities in a Registration
Statement is not eligible to be made on a delayed or continuous basis under the provisions of Rule 415 under the 1933 Act
or requires any Investor to be named as an “underwriter,” the Company shall use commercially reasonable efforts to
persuade the SEC that the offering contemplated by such Registration Statement is a valid secondary offering and not an offering
“by or on behalf of the issuer” as defined in Rule 415 and that none of the Investors is an “underwriter.”
The Investors shall have the right to one (1) legal counsel designated by the Required Investors to review and oversee any registration
or matters pursuant to this Section 2(d), including participation in any meetings or discussions with the SEC regarding
the SEC’s position and to comment on any written submission made to the SEC with respect thereto. No such written submission
with respect to this matter shall be made to the SEC to which the Investors’ counsel reasonably objects. In the event that,
despite the Company’s commercially reasonable efforts and compliance with the terms of this Section 2(d), the
SEC refuses to alter its position, the Company shall (i) remove from such Registration Statement such portion of the Registrable
Securities (the “Cut Back Shares”) and/or (ii) agree to such restrictions and limitations on the registration
and resale of the Registrable Securities as the SEC may require to assure the Company’s compliance with the requirements
of Rule 415 (collectively, the “SEC Restrictions”); provided, however, that the Company shall
not agree to name any Investor as an “underwriter” in such Registration Statement without the prior written consent
of such Investor. Any cut-back imposed on the Investors pursuant to this Section 2(d) shall be allocated among the Investors
on a pro rata basis and shall be applied first to any of the Registrable Securities of an Investor as such Investor shall
designate, unless the SEC Restrictions otherwise require or provide or such Investor otherwise agrees. No liquidated damages shall
accrue as to any Cut Back Shares until such date as the Company is able to effect the registration of such Cut Back Shares in accordance
with any SEC Restrictions applicable to such Cut Back Shares (such date, the “Restriction Termination Date”).
In furtherance of the foregoing, if requested by the Company, each Investor shall provide the Company with notice of its sale of
substantially all of the Registrable Securities under such Registration Statement such that the Company will be able to file one
or more additional Registration Statements covering the Cut Back Shares. From and after the Restriction Termination Date applicable
to any Cut Back Shares, all of the provisions of this Section 2 (including the Company’s obligations with respect
to the filing of a Registration Statement and its obligations to use commercially reasonable efforts to have such Registration
Statement declared effective within the time periods set forth herein and the liquidated damages provisions relating thereto) shall
again be applicable to such Cut Back Shares; provided, however, that (i) the Filing Deadline and/or the Qualification
Deadline, as applicable, for such Registration Statement including such Cut Back Shares shall be fifteen (15) business days after
such Restriction Termination Date, and (ii) the date by which the Company is required to obtain effectiveness with respect
to such Cut Back Shares shall be the sixtieth (60th) day immediately after the Restriction Termination Date (or the one hundred
and twentieth (120th) day if the SEC reviews such Registration Statement).

 

    5 

     

    

 

3.           Company
Obligations. The Company will use commercially reasonable efforts to effect the registration of the Registrable Securities
in accordance with the terms hereof, and pursuant thereto the Company will, as expeditiously as possible:

 

(a)          use
commercially reasonable efforts to cause each Registration Statement to become effective and to remain continuously effective for
a period that will terminate upon the earlier of (i) the date on which all Registrable Securities covered by such Registration
Statement, as amended from time to time, have been sold, and (ii) the date on which all Registrable Securities covered by
such Registration Statement may be sold without restriction pursuant to Rule 144 and without the requirement to be in compliance
with Rule 144(c)(1) (or any successor thereto) promulgated under the 1933 Act (the “Effectiveness Period”) and
advise the Investor promptly in writing when the Effectiveness Period has expired;

 

(b)          prepare
and file with the SEC such amendments and post-effective amendments to such Registration Statement and the related Prospectus as
may be necessary to keep such Registration Statement effective for the Effectiveness Period and to comply with the provisions of
the 1933 Act and the 1934 Act with respect to the distribution of all of the Registrable Securities covered thereby;

 

(c)          provide
copies to and permit any counsel designated by the Investor to review each Registration Statement and all amendments and supplements
thereto no fewer than two (2) days prior to their filing with the SEC and not file any document to which such counsel reasonably
objects;

 

(d)          furnish
or make available to each Investor who has Registrable Securities included in the Registration Statement (i) promptly after
the same is prepared and filed with the SEC, if requested by such Investor, one (1) copy of any Registration Statement that includes
such Investor’s Registrable Securities and any amendment thereto, each preliminary Prospectus and final Prospectus and each
amendment or supplement thereto, and each letter written by or on behalf of the Company to the SEC or the staff of the SEC, and
each item of correspondence from the SEC or the staff of the SEC, in each case relating to such Registration Statement (other than
any portion of any thereof which contains information for which the Company has sought confidential treatment), and (ii) such
number of copies of a Prospectus that includes such Investor’s Registrable Securities, including a preliminary Prospectus,
and all amendments and supplements thereto and such other documents as such Investor may reasonably request in order to facilitate
the disposition of the Registrable Securities;

 

(e)          use
commercially reasonable efforts to (i) prevent the issuance of any stop order or other suspension of effectiveness and (ii) if
such order is issued, obtain the withdrawal of any such order at the earliest possible moment;

 

(f)          prior
to any public offering of Registrable Securities, use commercially reasonable efforts to register or qualify or cooperate with
the Investors and their counsel in connection with the registration or qualification of such Registrable Securities for the offer
and sale under the securities or blue sky laws of such jurisdictions requested by the Investor and do any and all other commercially
reasonable acts or things necessary or advisable to enable the distribution in such jurisdictions of the Registrable Securities
covered by the Registration

 

    6 

     

    

 

Statement; provided, however,
that the Company shall not be required in connection therewith or as a condition thereto to (i) qualify to do business in
any jurisdiction where it would not otherwise be required to qualify but for this Section 3(f), (ii) subject itself
to general taxation in any jurisdiction where it would not otherwise be so subject but for this Section 3(f), or (iii) file
a general consent to service of process in any such jurisdiction;

 

(g)          use
commercially reasonable efforts to cause all Registrable Securities covered by a Registration Statement to be listed on each securities
exchange, interdealer quotation system or other market on which similar securities issued by the Company are then listed; and provide
a transfer agent and registrar and CUSIP number for all Registrable Securities;

 

(h)          promptly
notify the Investors, at any time prior to the end of the Effectiveness Period, upon discovery that, or upon the happening of any
event as a result of which, the Prospectus includes an untrue statement of a material fact or omits to state any material fact
required to be stated therein or necessary to make the statements therein not misleading in light of the circumstances then existing,
and promptly prepare, file with the SEC and furnish to the Investors a supplement to or an amendment of such Prospectus as may
be necessary so that such Prospectus shall not include an untrue statement of a material fact or omit to state a material fact
required to be stated therein or necessary to make the statements therein not misleading in light of the circumstances then existing;

 

(i)          otherwise
use commercially reasonable efforts to comply with all applicable rules and regulations of the SEC under the 1933 Act and the 1934
Act, including, without limitation, Rule 172 under the 1933 Act, file any final Prospectus, including any supplement or amendment
thereof, with the SEC pursuant to Rule 424 under the 1933 Act, promptly inform the Investors in writing if, at any time during
the Effectiveness Period, the Company does not satisfy the conditions specified in Rule 172 and, as a result thereof, the
Investors are required to deliver a Prospectus in connection with any disposition of Registrable Securities and take such other
actions as may be reasonably necessary to facilitate the registration of the Registrable Securities hereunder, and make available
to its security holders, as soon as reasonably practicable, but not later than the Availability Date (as defined below), an earnings
statement covering a period of at least twelve (12) months, beginning after the effective date of each Registration Statement,
which earnings statement shall satisfy the provisions of Section 11(a) of the 1933 Act, including Rule 158 promulgated thereunder
(for the purpose of this subsection 3(i), “Availability Date” means the forty-fifth (45th) day following
the end of the fourth fiscal quarter that includes the effective date of such Registration Statement, except that, if such fourth
fiscal quarter is the last quarter of the Company’s fiscal year, “Availability Date” means the ninetieth
(90th) day after the end of such fourth fiscal quarter); and

 

(j)          with
a view to making available to the Investors the benefits of Rule 144 (or its successor rule) and any other rule or regulation
of the SEC that may at any time permit the Investors to sell shares of Common Stock to the public without registration, the Company
covenants and agrees to: (i) make and keep public information available, as those terms are understood and defined in Rule 144,
until the earlier of (A) twelve (12) months after the date of this Agreement or (B) such date as all of the Registrable
Securities shall have been resold; (ii) file with the SEC in a timely manner all reports and other documents required of the

 

    7 

     

    

 

Company under the 1934 Act; and (iii) furnish
or make available to any Investor upon request, as long as such Investor owns any Registrable Securities, (A) a written statement
by the Company that it has complied with the reporting requirements of the 1934 Act, (B) a copy of the Company’s most
recent Annual Report on Form 10-K or Quarterly Report on Form 10-Q, and (C) such other information as may be reasonably requested
in order to avail such Investor of any rule or regulation of the SEC that permits the selling of any such Registrable Securities
without registration.

 

4.           Due
Diligence Review; Information. The Company shall, upon reasonable prior notice, make available, during normal business hours,
for inspection and review by the Investors, advisors to and representatives of the Investors (who may or may not be affiliated
with the Investors and who are reasonably acceptable to the Company) (collectively, the “Inspectors”), all pertinent
financial and other records, and all other corporate documents and properties of the Company (collectively, the “Records”)
as may be reasonably necessary for the purpose of such review, and cause the Company’s officers, directors and employees,
within a reasonable time period, to supply all such information reasonably requested by the Inspectors (including, without limitation,
in response to all questions and other inquiries reasonably made or submitted by any of them), prior to and from time to time after
the filing and effectiveness of such Registration Statement for the sole purpose of enabling the Investors and their accountants
and attorneys to conduct initial and ongoing due diligence with respect to the Company and the accuracy of such Registration Statement;
provided, however, that each Inspector shall agree to hold in strict confidence and shall not make any disclosure
(except to the Investors) or use of any Record or other information which the Company determines in good faith to be confidential,
and of which determination the Inspectors are so notified, unless (a) the disclosure of such Records is necessary to avoid or correct
a misstatement or omission in any Registration Statement or is otherwise required under the 1933 Act, (b) the release of such Records
is ordered pursuant to a final, non-appealable subpoena or order from a court or government body of competent jurisdiction, or
(c) the information in such Records has been made generally available to the public other than by disclosure in violation of this
or any other Transaction Document.

 

Notwithstanding the foregoing, the Company
shall not disclose material nonpublic information to any Investor, or to its advisors to or representatives, unless prior to disclosure
of such information the Company identifies such information as being material nonpublic information and provides such Investor,
its advisors and representatives with the opportunity to accept or refuse to accept such material nonpublic information for review
and such Investor enters into an appropriate confidentiality agreement with the Company with respect thereto.

 

5.           Obligations
of the Investors.

 

(a)          Each
Investor shall furnish in writing to the Company such information regarding itself, the Registrable Securities held by it and the
intended method of disposition of the Registrable Securities held by it, as shall be reasonably required to effect the registration
of such Registrable Securities and shall execute such documents in connection with such registration as the Company may reasonably
request. At least five (5) business days prior to the first anticipated filing date of any Registration Statement, the Company
shall notify the Investors of the information the Company requires from the Investors if such Investor elects to have any of the
Registrable Securities included in such Registration Statement. Each Investor shall provide

 

    8 

     

    

 

such information to the Company at least two
(2) business days prior to the first anticipated filing date of such Registration Statement if such Investor elects to have
any of the Registrable Securities included in such Registration Statement.

 

(b)          Each
Investor, by its acceptance of the Registrable Securities, agrees to cooperate with the Company as reasonably requested by the
Company in connection with the preparation and filing of a Registration Statement hereunder, unless such Investor has notified
the Company in writing of its election to exclude all of its Registrable Securities from such Registration Statement.

 

(c)          Each
Investor agrees that, upon receipt of any notice from the Company of either (i) the commencement of an Allowed Delay pursuant
to Section 2(c)(ii) or (ii) the happening of an event pursuant to Section 3(h) hereof, such Investor will
immediately discontinue disposition of Registrable Securities pursuant to any Registration Statement covering such Registrable
Securities, until such Investor is advised by the Company that such dispositions may again be made.

 

(d)          Each
Investor covenants and agrees that it will comply with the prospectus
delivery requirements of the 1933 Act as applicable to it or an exemption therefrom in connection with sales of Registrable Securities
pursuant to any Registration Statement.

 

6.           Indemnification.

 

(a)          Indemnification
by the Company. The Company will indemnify and hold harmless, to the fullest extent permitted by law, each Investor and its
officers, directors, members, employees, representatives and advisers, and any and all Affiliates of such Investor, and each Person,
if any, who controls such Investor within the meaning of Section 15 of the 1933 Act (each such Investor and other foregoing Person,
an “Investor Indemnified Party”), against any Damages, and the Company will pay to each such Investor Indemnified
Party any legal or other expenses reasonably incurred by such Investor Indemnified Party in connection with investigating or defending
any claim or proceeding from which Damages may result, as such expenses are incurred; provided, however, that the
Company will not be liable for any Damages to the extent they arise out of or are based upon (i) an untrue statement or alleged
untrue statement or omission or alleged omission so made in conformity with information furnished by such Investor or any such
controlling person to the Company in writing specifically for use in the relevant Registration Statement or Prospectus, (ii) the
use by such Investor of an outdated or defective Prospectus after the Company has notified such Investor in writing that such Prospectus
is outdated or defective or (iii) such Investor’s failure to send or give a copy of the Prospectus or supplement (as then
amended or supplemented), if required (and not exempted) to the Persons asserting an untrue statement or omission or alleged untrue
statement or omission at or prior to the written confirmation of the sale of Registrable Securities.

 

(b)          Indemnification
by the Investors. Each Investor agrees, severally but not jointly, to indemnify and hold harmless, to the fullest extent permitted
by law, the Company, its directors, officers, employees, consultants, representatives and advisers, and each Person, if any, who
controls the Company (within the meaning of Section 15 of the 1933 Act) against any Damages, in each case only to the extent that
such Damages arise out of or are based upon

 

    9 

     

    

 

information relating to such Investor that
was included in or omitted from the relevant Registration Statement, Prospectus or preliminary Prospectus, or amendment or supplement
thereto, in reliance upon and in conformity with written information furnished in writing by such Investor to the Company specifically
for inclusion therein; provided, however, that the indemnity agreement contained in this Section 6(b) shall
not apply to amounts paid in settlement of any such claim or proceeding if such settlement is effected without the consent of the
relevant Investor (which consent shall not be unreasonably withheld); and provided, further, that in no event shall
the aggregate amounts paid or payable by an Investor by way of indemnification under this Section 6(b) or contribution under
Section 6(d) exceed the proceeds (net of all expenses paid by such Investor in connection with any claim relating to this
Section 6 and the amount of any Damages such Investor has otherwise been required to pay by reason of such untrue or
alleged statement or omission or alleged omission) received by such Investor upon the sale of the Registrable Securities included
in the Registration Statement giving rise to such indemnification obligation.

 

(c)          Conduct
of Indemnification Proceedings. Any Person entitled to indemnification hereunder shall (i) give prompt notice to the indemnifying
party of any claim with respect to which it seeks indemnification and (ii) permit such indemnifying party to assume the defense
of such claim with counsel reasonably satisfactory to the indemnified party; provided, however, that any Person entitled
to indemnification hereunder shall have the right to employ separate counsel and to participate in the defense of such claim, but
the fees and expenses of such counsel shall be at the expense of such Person unless (a) the indemnifying party has agreed
to pay such fees or expenses, (b) the indemnifying party shall have failed to assume the defense of such claim and employ
counsel reasonably satisfactory to such Person or (c) in the reasonable judgment of any such Person, based upon written advice
of its counsel, a conflict of interest exists between such Person and the indemnifying party with respect to such claims (in which
case, if the Person notifies the indemnifying party in writing that such Person elects to employ separate counsel at the expense
of the indemnifying party, the indemnifying party shall not have the right to assume the defense of such claim on behalf of such
Person); and provided, further, that the failure of any indemnified party to give notice as provided herein shall
not relieve the indemnifying party of its obligations hereunder, except to the extent that such failure to give notice shall materially
and adversely affect the indemnifying party in the defense of any such claim or litigation. It is understood that the indemnifying
party shall not, in connection with any proceeding in the same jurisdiction, be liable for fees or expenses of more than one separate
firm of attorneys at any time for all such indemnified parties. No indemnifying party will, except with the consent of the indemnified
party, which shall not be unreasonably withheld or conditioned, consent to entry of any judgment or enter into any settlement that
does not include as an unconditional term thereof the giving by the claimant or plaintiff to such indemnified party of a release
from all liability in respect of such claim or litigation.

 

(d)          Contribution.
If for any reason the indemnification provided for in the preceding paragraphs (a) and (b) is unavailable to an indemnified
party or insufficient to hold it harmless, other than as expressly specified therein, then the indemnifying party shall contribute
to the amount paid or payable by the indemnified party as a result of such Damages in such proportion as is appropriate to reflect
the relative fault of the indemnified party and the indemnifying party, as well as any other relevant equitable considerations.
The relative fault of the indemnifying party and of the indemnified party shall be determined by reference to, among

 

    10 

     

    

 

other things, whether the untrue or allegedly
untrue statement of a material fact, or the omission or alleged omission of a material fact, relates to information supplied by
the indemnifying party or by the indemnified party and the parties’ relative intent, knowledge, access to information, and
opportunity to correct or prevent such statement or omission; provided, however, that no Person guilty of fraudulent
misrepresentation within the meaning of Section 11(f) of the 1933 Act shall be entitled to contribution from any Person not guilty
of such fraudulent misrepresentation; and further provided, that in no event shall the contribution obligation of an Investor
pursuant to this Section 6(d), when combined with the amounts paid or payable by such Investor pursuant to Section 6(b),
exceed the proceeds (net of all expenses paid by such Investor in connection with any claim relating to this Section 6
and the amount of any Damages such Investor has otherwise been required to pay by reason of such untrue or alleged untrue statement
or omission or alleged omission) received by such Investor upon the sale of the Registrable Securities included in the Registration
Statement giving rise to such contribution obligation.

 

7.           Miscellaneous.

 

(a)          Amendments
and Waivers. This Agreement may be amended only by a writing signed by the Company and the Required Investors. The Company
may take any action herein prohibited, or omit to perform any act herein required to be performed by it, only if the Company shall
have obtained the written consent to such amendment, action or omission to act, of the Required Investors.

 

(b)          Notices.
All notices and other communications provided for or permitted hereunder shall be made as set forth in Section 7(h) of the
Purchase Agreement.

 

(c)          Assignments
and Transfers by Investors. The provisions of this Agreement shall be binding upon and inure to the benefit of each Investor
and its successors and assigns. Each Investor may transfer or assign, in whole or from time to time in part, to one or more Persons
its rights hereunder in connection with the transfer of Warrants or Registrable Securities by such Investor to such Person, provided
that such Investor complies with all laws applicable thereto, and the provisions of the Purchase Agreement, and provides written
notice of assignment to the Company promptly after such assignment is effected, and such Person agrees in writing to be bound by
all of the provisions contained herein.

 

(d)          Assignments
and Transfers by the Company. This Agreement may not be assigned by the Company (whether by operation of law or otherwise)
without the prior written consent of the Required Investors; provided, however, that in the event that the Company
is a party to a merger, consolidation, share exchange or similar business combination transaction in which the Company’s
Common Stock is converted into the equity securities of another Person, from and after the effective time of such transaction,
such Person shall, by virtue of such transaction, be deemed to have assumed the obligations of the Company hereunder, the term
“Company” shall be deemed to refer to such Person and the term “Registrable Securities” shall be deemed
to include the securities received by the Investor in connection with such transaction unless such securities are otherwise freely
tradable by the Investor after giving effect to such transaction.

 

    11 

     

    

 

(e)          Benefits
of the Agreement. The terms and conditions of this Agreement shall inure to the benefit of and be binding upon the respective
permitted successors and assigns of the parties. Nothing in this Agreement, express or implied, is intended to confer upon any
party other than the parties hereto or their respective successors and assigns any rights, remedies, obligations, or liabilities
under or by reason of this Agreement, except as expressly provided (including pursuant to Section 6 hereof) in this Agreement.

 

(f)          Counterparts;
Electronic Signatures. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original,
but all of which together shall constitute one and the same instrument. This Agreement may also be executed via facsimile or electronic
signature (including .PDF), which shall be deemed an original.

 

(g)          Titles
and Subtitles. The titles and subtitles used in this Agreement are used for convenience only and are not to be considered in
construing or interpreting this Agreement.

 

(h)          Severability.
Any provision of this Agreement that is prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective
to the extent of such prohibition or unenforceability without invalidating the remaining provisions hereof but shall be interpreted
as if it were written so as to be enforceable to the maximum extent permitted by applicable law, and any such prohibition or unenforceability
in any jurisdiction shall not invalidate or render unenforceable such provision in any other jurisdiction. To the extent permitted
by applicable law, the parties hereby waive any provision of law which renders any provisions hereof prohibited or unenforceable
in any respect.

 

(i)          Further
Assurances. The parties shall execute and deliver all such further instruments and documents and take all such other actions
as may reasonably be required to carry out the transactions contemplated hereby and to evidence the fulfillment of the agreements
herein contained.

 

(j)          Other
Agreements.

 

(i)          From
and after the date of this Agreement, the Company shall not, without the prior written consent of the Required Investors, enter
into any agreement with any holder or prospective holder of any securities of the Company that would provide to such holder the
right to include securities in any registration on other than either a pro rata basis with respect to the Registrable Securities
or on a subordinate basis after all Investors have had the opportunity to include in the registration and offering all shares of
Registrable Securities that they wish to so include.

 

(ii)         The
Company hereby represents and warrants to the Investors that the Company’s execution and delivery of this Agreement and the
performance by the Company of its obligations hereunder do not and will not conflict with, violate the terms of, or require the
consent of any Person under any other contract or agreement to which the Company is a party.

 

(k)          Entire
Agreement. This Agreement is intended by the parties as a final expression of their agreement and intended to be a complete
and exclusive statement of the agreement and understanding of the parties hereto in respect of the subject matter contained

 

    12 

     

    

 

herein. This Agreement supersedes all prior
agreements and understandings between the parties with respect to such subject matter.

 

(l)          Governing
Law; Consent to Jurisdiction; Waiver of Jury Trial. This Agreement shall be governed by, and construed in accordance with,
the internal laws of the State of New York without regard to the choice of law principles thereof. Each of the parties hereto irrevocably
submits to the exclusive jurisdiction of the courts of the State of New York located in New York County and the United States District
Court for the Southern District of New York for the purpose of any suit, action, proceeding or judgment relating to or arising
out of this Agreement and the transactions contemplated hereby. Service of process in connection with any such suit, action or
proceeding may be served on each party hereto anywhere in the world by the same methods as are specified for the giving of notices
under this Agreement. Each of the parties hereto irrevocably consents to the jurisdiction of any such court in any such suit, action
or proceeding and to the laying of venue in such court. Each party hereto irrevocably waives any objection to the laying of venue
of any such suit, action or proceeding brought in such courts and irrevocably waives any claim that any such suit, action or proceeding
brought in any such court has been brought in an inconvenient forum. EACH OF THE PARTIES HERETO WAIVES ANY RIGHT TO REQUEST A TRIAL
BY JURY IN ANY LITIGATION WITH RESPECT TO THIS AGREEMENT AND REPRESENTS THAT COUNSEL HAS BEEN CONSULTED SPECIFICALLY AS TO THIS
WAIVER.

 

[Signature pages
follow]

 

    13 

     

    

 

IN WITNESS WHEREOF, the parties have executed
this Agreement or caused their duly authorized officers to execute this Agreement as of the date first above written.

 

	 	COMPANY:
	 	 
	 	ONCOBIOLOGICS, INC.
	 	 
	 	By:	/s/ Pankaj Mohan
	 	 	Name: Pankaj Mohan
	 	 	Title:  Chairman, President and CEO

 

[Signature page to Registration Rights
Agreement] 

 

     

     

    

 

IN WITNESS WHEREOF, the parties have executed
this Agreement or caused their duly authorized officers to execute this Agreement as of the date first above written.

 

	 	INVESTOR:
	 	 
	 	By:	 
	 	 	Name: 
	 	 	Title: 

 

[Signature page to Registration Rights
Agreement] 

 

     

     

    

 

Exhibit A

 

Plan of Distribution

 

We are registering the offer and resale of the shares of common
stock underlying the warrants, to which we refer as the warrant shares, to permit the sale of warrant shares, after issuance by
us pursuant to the terms of the warrants, by the selling stockholders from time to time after the date of this prospectus. We will
not receive any of the proceeds from the sale of the warrant shares by the selling stockholders. We will bear all fees and expenses
incident to our obligation to register the warrant shares, except that, if the warrant shares are sold through underwriters or
broker-dealers, the selling stockholders will be responsible for any underwriting discounts or commissions or agent’s commissions.

 

The selling stockholders may sell all or a portion of the warrant
shares beneficially owned by them and offered hereby from time to time directly or through one or more underwriters, broker-dealers
or agents. The warrant shares may be sold in one or more transactions at fixed prices, at prevailing market prices at the time
of the sale, at varying prices determined at the time of sale, or at negotiated prices. These sales may be effected in transactions,
which may involve crosses or block transactions:

 

		•	on any national securities exchange or quotation service
on which the securities may be listed or quoted at the time of sale;

 

		•	in the over-the-counter market;

 

		•	in transactions otherwise than on these exchanges or systems or in the over-the-counter market;

 

		•	through the writing of options, whether such options are listed on an options exchange or otherwise;

 

		•	ordinary brokerage transactions and transactions in which the broker-dealer solicits purchasers;

 

		•	block trades in which the broker-dealer will attempt to sell the shares as agent but may position and resell a portion of the
block as principal to facilitate the transaction;

 

		•	purchases by a broker-dealer as principal and resale by the broker-dealer for its account;

 

		•	an exchange distribution in accordance with the rules of the applicable exchange;

 

		•	privately negotiated transactions;

 

		•	short sales;

 

		•	sales pursuant to Rule 144 of the Securities Act;

 

     

     

    

 

		•	broker-dealers may agree with the selling stockholder to sell a specified number of such shares at a stipulated price per share;

 

		•	a combination of any such methods of sale; and

 

		•	any other method permitted pursuant to applicable law.

 

If the selling stockholders effect such transactions by selling
warrant shares to or through underwriters, broker-dealers or agents, such underwriters, broker-dealers or agents may receive commissions
in the form of discounts, concessions or commissions from the selling stockholders or commissions from purchasers of the warrant
shares for whom they may act as agent or to whom they may sell as principal (which discounts, concessions or commissions as to
particular underwriters, broker-dealers or agents may be in excess of those customary in the types of transactions involved). In
connection with sales of the warrant shares or otherwise, the selling stockholders may enter into hedging transactions with broker-dealers,
which may in turn engage in short sales of our common stock in the course of hedging in positions they assume. The selling stockholders
may also sell shares of our common stock short and deliver shares of our common stock covered by this prospectus to close out short
positions and to return borrowed shares in connection with such short sales. The selling stockholders may also loan or pledge shares
of our common stock to broker-dealers that in turn may sell such shares.

 

The selling stockholders may pledge or grant a security interest
in some or all of the shares of our common stock owned by them and, if they default in the performance of their secured obligations,
the pledgees or secured parties may offer and sell the shares of common stock from time to time pursuant to this prospectus or
other applicable provisions of the Securities Act, amending, if necessary, the list of selling stockholders to include the pledgee,
transferee or other successors in interest as selling stockholders under this prospectus. The selling stockholders also may transfer
and donate the shares of our common stock in other circumstances in which case the transferees, donees, pledgees or other successors
in interest will be the selling beneficial owners for purposes of this prospectus.

 

The selling stockholders and any broker-dealer participating
in the distribution of the shares of our common stock may be deemed to be “underwriters” within the meaning of the
Securities Act, and any commission paid, or any discounts or concessions allowed to, any such broker-dealer may be deemed to be
underwriting commissions or discounts under the Securities Act. At the time a particular offering of the shares of our common stock
is made, a prospectus supplement, if required, will be distributed which will set forth the aggregate amount of shares of our common
stock being offered and the terms of the offering, including the name or names of any broker-dealers or agents, any discounts,
commissions and other terms constituting compensation from the selling stockholders and any discounts, commissions or concessions
allowed or reallowed or paid to broker-dealers.

 

Under the securities laws of some states, the shares of our
common stock may be sold in such states only through registered or licensed brokers or dealers. In addition, in some states the
shares of our common stock may not be sold unless such shares have been registered or qualified

 

     

     

    

 

for sale in such state or an exemption from registration or
qualification is available and is complied with.

 

There can be no assurance that the selling stockholders will
sell any or all of the shares of our common stock registered pursuant to the registration statement of which this prospectus forms
a part.

 

The selling stockholders and any other person participating
in such distribution will be subject to applicable provisions of the Exchange Act, and the rules and regulations thereunder, including,
without limitation, Regulation M of the Exchange Act, which may limit the timing of purchases and sales of any of the shares of
our common stock by the selling stockholders and any other participating person. Regulation M may also restrict the ability of
any person engaged in the distribution of the shares of our common stock to engage in market-making activities with respect to
the shares of our common stock. All of the foregoing may affect the marketability of the shares of our common stock and the ability
of any person or entity to engage in market-making activities with respect to the shares of our common stock.

 

We will pay all expenses of the registration of the shares of
our common stock pursuant to the registration statement of which this prospectus forms a part, including, without limitation, SEC
filing fees and expenses of compliance with state securities or “blue sky” laws; provided, however, that the
selling stockholders will pay all underwriting discounts and selling commissions, if any. We will indemnify the selling stockholders
against liabilities, including some liabilities under the Securities Act, or the selling stockholders will be entitled to contribution.
We may be indemnified by the selling stockholders against civil liabilities, including liabilities under the Securities Act, that
may arise from any written information furnished to us by the selling stockholders specifically for use in this prospectus or we
may be entitled to contribution.

 

Once sold under the registration statement of which this prospectus
forms a part, the shares of our common stock will be freely tradable in the hands of persons other than our affiliates.

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