Document:

Exhibit 10.1

 

[●], 2022

 

SIGNAL HILL ACQUISITION CORP.

2810 N. Church Street, Suite 94644

Wilmington, DE 19802-4447

 

Re: Initial Public Offering

 

Ladies and Gentlemen:

 

This letter (this “Letter
Agreement”) is being delivered to you in accordance with that certain underwriting agreement (the “Underwriting Agreement”)
entered into or proposed to be entered into by and between Signal Hill Acquisition Corp., a Delaware corporation (the “Company”),
and B. Riley Securities, Inc., as underwriter (the “Underwriter” ), relating to an underwritten initial public
offering (the “Public Offering”), of 11,500,000 of the Company’s units (including up to 1,500,000 units that
may be purchased to cover the Underwriter’s option to purchase additional units, if any) (the “Units”), each
comprised of one share of Class A common stock, par value $0.0001 per share, of the Company (“Class A Common Stock”),
and one-half of one redeemable public warrant (each whole public warrant, a “Public Warrant”). Each Public Warrant
entitles the holder thereof to purchase one share of Class A Common Stock at a price of $11.50 per share, subject to adjustment,
as described in the Prospectus (as defined below). The Units will be sold in the Public Offering pursuant to a registration statement
on Form S-1 and a prospectus (the “Prospectus”) filed by the Company with the U.S. Securities and Exchange
Commission (the “Commission”) and the Company has applied to have the Units listed on The Nasdaq Global Market. Certain
capitalized terms used herein are defined in Section 11.

 

In order to induce the Company
and the Underwriter to enter into the Underwriting Agreement and to proceed with the Public Offering and for other good and valuable consideration,
the receipt and sufficiency of which are hereby acknowledged, Signal Hill Sponsor LLC, a Delaware limited liability company (the “Sponsor”),
and the other undersigned persons (each such other undersigned persons, an “Insider” and, collectively, the “Insiders”),
each hereby agrees, severally but not jointly, with the Company as follows:

 

1. The Sponsor and each Insider
agrees that, if the Company seeks stockholder approval of a proposed Business Combination, then in connection with such proposed Business
Combination, it, he or she shall (i) vote any shares of Capital Stock (as defined below) owned by it, him or her in favor of such
proposed Business Combination (including any proposals recommended by the Company’s board of directors in connection with such proposed
Business Combination), and (ii) not redeem any shares of Capital Stock owned by it, him or her in connection with such stockholder
approval. If the Company seeks to consummate a proposed Business Combination by engaging in a tender offer, the Sponsor and each Insider
agrees that it, he or she will not sell or tender any shares of Capital Stock owned by it, him or her to the Company in connection therewith.

 

2. The Sponsor and each Insider
hereby agrees that, in the event that the Company fails to consummate a Business Combination before the later of (i) eighteen (18) months
from the closing of the Public Offering, (ii) such later date as provided by Section 9.1(c) of the Company’s amended
and restated certificate of incorporation (as further amended, supplemented or otherwise modified from time to time, the “Certificate
of Incorporation”)) and (iii) such later date as may be approved by the Company’s stockholders in accordance with
the Certificate of Incorporation (the “Completion Window”), the Sponsor and each Insider shall take all reasonable
steps to cause the Company to (i) cease all operations except for the purpose of winding up, (ii) as promptly as reasonably
possible but not more than ten (10) business days thereafter, subject to lawfully available funds therefor, redeem one-hundred percent
(100%) of the Class A Common Stock sold as part of the Units in the Public Offering (the “Offering Shares”), at
a per share price, payable in cash, equal to the aggregate amount then on deposit in the Trust Account, including interest (which interest
shall be net of taxes payable (“Permitted Withdrawals”) and less up to $100,000 of interest to pay dissolution expenses),
divided by the number of the then outstanding Offering Shares, which redemption will completely extinguish all of the Public Stockholders’
rights as stockholders (including the right to receive further liquidating distributions, if any), subject to applicable law, and (iii) as
promptly as reasonably possible following such redemption, subject to the approval of the Company’s remaining stockholders and the
Company’s board of directors, dissolve and liquidate, subject in each case to the Company’s obligations under Delaware law
to provide for claims of creditors and any other requirements of applicable law. The Sponsor and each Insider agrees to not propose any
amendment to the Certificate of Incorporation (A) to modify the substance or timing of the Company’s obligation to allow redemptions
in connection with the Company’s initial Business Combination or to redeem one-hundred percent (100%) of the Offering
Shares if the Company does not complete its initial Business Combination within the Completion Window or (B) with respect to any
other material provision relating to stockholders’ rights or pre-initial Business Combination activity, unless the Company
provides the Public Stockholders with the opportunity to redeem their Offering Shares upon approval of any such amendment at a per share
price, payable in cash, equal to the aggregate amount then on deposit in the Trust Account, including interest (which interest shall be
net of Permitted Withdrawals), divided by the number of the then outstanding Offering Shares.

 

     

     

    

 

The Sponsor and each Insider
acknowledges that it, he or she has no right, title, interest or claim of any kind in or to any monies or any other asset held in the
Trust Account as a result of any liquidation of the Company with respect to the Founder Shares held by it, him or her. The Sponsor and
each Insider hereby further waives, with respect to any shares of Capital Stock held by it, him or her, if any, any redemption rights
it, he or she may have in connection with (x) a Business Combination, including, without limitation, any such rights available in
the context of a stockholder vote to approve such Business Combination or in the context of a tender offer made by the Company to purchase
shares of Class A Common Stock and (y) a stockholder vote to approve an amendment to the Certificate of Incorporation (A) to
modify the substance or timing of the Company’s obligation to allow redemptions in connection with the Company’s initial Business
Combination or to redeem one-hundred percent (100%) of the Offering Shares if the Company has not consummated its initial Business
Combination within the Completion Window or (B) with respect to any other material provision relating to stockholders’ rights
or pre-initial Business Combination activity (although the Sponsor and each Insider shall be entitled to redemption and liquidation
rights with respect to any Offering Shares it, he or she holds if the Company fails to consummate a Business Combination within the Completion
Window).

 

3. Notwithstanding the provisions
set forth in Sections 7(a) and (b), during the period commencing on the effective date of the Underwriting
Agreement and ending one-hundred-eighty (180) days after such date, the Sponsor and each Insider shall not, without the
prior written consent of the Underwriter, (i) offer, sell, contract to sell, pledge or grant any option to purchase or otherwise
dispose of (or enter into any transaction that is designed to, or might reasonably be expected to, result in the disposition (whether
by actual disposition or effective economic disposition due to cash settlement or otherwise)), directly or indirectly, or establish or
increase a put equivalent position or liquidate or decrease a call equivalent position within the meaning of Section 16 of the Securities
Exchange Act of 1934, as amended, and the rules and regulations of the Commission promulgated thereunder (the “Exchange
Act”), with respect to any Units, shares of Class A Common Stock, Public Warrants or any securities convertible into, or
exercisable or exchangeable for, shares of Class A Common Stock, (ii) enter into any swap or other arrangement that transfers
to another, in whole or in part, any of the economic consequences of ownership of any Units, shares of Class A Common Stock, Public
Warrants or any securities convertible into, or exercisable or exchangeable for, shares of Class A Common Stock owned by it, him
or her, whether any such transaction is to be settled by delivery of such securities, in cash or otherwise, or (iii) or publicly
announce an intention to effect any such transaction specified in clause (i) or (ii); provided, however,
that the foregoing does not apply to the forfeiture of any Founder Shares pursuant to their terms or any transfer of any Founder Shares
to any current or future independent director or advisor of the Company (as long as such current or future independent director or advisor
transferee is subject to this Letter Agreement or executes an agreement substantially identical to the terms of this Letter Agreement,
as applicable to directors, officers and advisors at the time of such transfer and as long as, to the extent any reporting obligation
pursuant to Section 16 of the Exchange Act is triggered as a result of such transfer, any related filing includes a practical explanation
as to the nature of the transfer). The Sponsor and each Insider acknowledge and agree that, prior to the effective date of any release
or waiver of the restrictions set forth in this Section 3 or 7, the Company shall announce the impending
release or waiver by press release through a major news service at least two (2) business days before the effective date of the release
or waiver. Any such release or waiver granted shall only be effective two (2) business days after the publication date of such press
release. The provisions of this Section 3 shall not apply if (i) the release or waiver is effected solely to
permit a transfer of securities that is not for consideration and (ii) the transferee has agreed in writing to be bound by the same
terms described in this Letter Agreement to the extent and for the duration that such terms remain in effect at the time of the transfer.

 

     

     

    

 

4. In the event of the liquidation
of the Trust Account, the Sponsor (which for purposes of clarification shall not extend to any other holder of limited liability company
interests or any member or manager of the Sponsor or any other Insider) agrees to indemnify and hold harmless the Company against any
and all loss, liability, claim, damage and expense whatsoever (including, without limitation, any and all legal or other expenses reasonably
incurred in investigating, preparing or defending against any litigation, whether pending or threatened, or any claim whatsoever) to which
the Company may become subject as a result of any claim by (i) any third party (other than the Company’s independent registered
public accounting firm) for services rendered or products sold to the Company or (ii) a prospective target business with which the
Company has discussed entering into an agreement for a Business Combination (a “Target”); provided, however,
that such indemnification of the Company by the Sponsor shall apply only to the extent necessary to ensure that such claims by a third
party for services rendered (other than the Company’s independent registered public accounting firm) or products sold to the Company
or a Target do not reduce the amount of funds in the Trust Account to below (i) $10.20 per Offering Share or (ii) such lesser
amount per Offering Share held in the Trust Account as of the date of the liquidation of the Trust Account due to reductions in the value
of the trust assets as of the date of the liquidation of the Trust Account, in each case, net of Permitted Withdrawals, except as to any
claims by a third party which executed a waiver of any and all rights to seek access to the Trust Account and except as to any claims
under the Company’s indemnity of the Underwriter against certain liabilities, including liabilities under the Securities Act of
1933, as amended. In the event that any such executed waiver is deemed to be unenforceable against such third party, the Sponsor shall
not be responsible to the extent of any liability for such third party claims. The Sponsor shall have the right to defend against any
such claim with counsel of its choice reasonably satisfactory to the Company if, within fifteen (15) days following written receipt
of notice of the claim to the Sponsor, the Sponsor notifies the Company in writing that it shall undertake such defense. For the avoidance
of doubt, none of the Company’s officers, directors or advisors shall indemnify the Company for claims by third parties, including,
without limitation, claims by vendors or any Target.

 

5. (a) To the extent that the
Underwriter does not exercise its over-allotment option to purchase up to an additional 1,500,000 Units within forty-five (45) days
from the date of the Prospectus (and as further described in the Prospectus), the Sponsor agrees that it shall forfeit, at no cost, an
aggregate number of the Founder Shares in the aggregate equal to the product of (a) 375,000 multiplied by a fraction, (i) the
numerator of which is 1,500,000 minus the number of Units purchased by the Underwriter upon the exercise of its option to purchase additional
Units, and (ii) the denominator of which is 1,500,000. All references in this Letter Agreement to any Founder Shares of the Company
being forfeited shall take effect as a contribution of such Founder Shares to the Company’s capital as a matter of Delaware law.
The forfeiture will be adjusted to the extent that the over-allotment option is not exercised in full by the Underwriter so that the number
of the Founder Shares will equal an aggregate of twenty percent (20.0%) of the Company’s issued and outstanding shares of Capital
Stock following the Public Offering. The Sponsor and each Insider further agree that, to the extent that the size of the Public Offering
is increased or decreased, the Company will effect a capitalization, stock repurchase or redemption or stock split, reverse stock split
or other appropriate mechanism, as applicable, immediately prior to the consummation of the Public Offering in such amount as to maintain
the number of the Founder Shares at twenty percent (20.0%) of the Company’s issued and outstanding shares of Capital Stock following
the Public Offering. In connection with such increase or decrease in the size of the Public Offering, then (A) the references to
1,500,000 in the numerator and denominator of the formula set forth in the first sentence of this Section 5 shall
be changed to a number equal to fifteen percent (15.0%) of the number of shares of Class A Common Stock included in the Units issued
in the Public Offering and (B) the reference to 375,000 in the formula set forth in the first sentence of this Section 5 shall
be adjusted to such number of the Founder Shares that the Sponsor would have to return to the Company in order for the number of the Founder
Shares to equal an aggregate of twenty percent (20.0%) of the Company’s issued and outstanding shares of Capital Stock following
the Public Offering.

 

(b)  To the
extent that the Underwriter does exercise its over-allotment option and the Sponsor elects not to purchase the up to 600,000 Private Placement
Warrants (as defined below) for $1.00 per Private Placement Warrant arising such option exercise, the Underwriter has agreed to purchase
such Private Placement Warrants.

 

6. The Sponsor and each Insider
hereby agree and acknowledge that (i) the Underwriter and the Company would be irreparably injured in the event of a breach by the
Sponsor or such Insider of its, his or her obligations under Sections 1, 2, 3, 4, 5, 7(a), 7(b) and 9,
as applicable, of this Letter Agreement, (ii) monetary damages may not be an adequate remedy for such breach and (iii) the non-breaching party
shall be entitled to seek injunctive relief, in addition to any other remedy that such party may have in law or in equity, in the event
of such breach.

 

     

     

    

 

7.     (a) Subject
to the exceptions set forth in this Letter Agreement, the Sponsor and each Insider agree that it, he or she shall not Transfer (as defined
below) any Founder Shares (or shares of Class A Common Stock issuable upon conversion thereof) until the earlier of (A) one
(1) year after the date of the completion of the Company’s initial Business Combination and (B) subsequent to the completion
of the Business Combination, (x) the date on which the last reported sale price of the Class A Common Stock equals or exceeds
$12.00 per share (as adjusted for stock splits, stock dividends, reorganizations, recapitalizations and the like) for any twenty (20) trading
days within any thirty (30)-trading day period commencing at least one-hundred-fifty (150) days after the date of the completion
of the Company’s initial Business Combination or (y) the date on which the Company completes a liquidation, merger, stock exchange,
reorganization or other similar transaction that results in all of the Public Stockholders having the right to exchange their shares of
Class A Common Stock for cash, securities or other property (the “Founder Shares Lock-Up Period”).

 

(b) Subject
to the exceptions set forth in this Letter Agreement, the Sponsor and each Insider agree that it, he or she shall not Transfer any Private
Placement Warrants or Working Capital Warrants (as defined below) (or shares of Class A Common Stock issued or issuable upon the
conversion or exercise of the Private Placement Warrants or Working Capital Warrants, as the case may be) until thirty (30) days
after the date of the completion of the Company’s initial Business Combination (the “Private Placement Warrants Lock-Up Period”
and, together with the Founder Shares Lock-Up Period, the “Lock-Up Periods”).

 

(c) Notwithstanding
the provisions set forth in Sections 3, 7(a) and (b), Transfers of the Founder Shares, Private
Placement Warrants, Working Capital Warrants and shares of Class A Common Stock issued or issuable upon the exercise or conversion
of the Private Placement Warrants, the Working Capital Warrants or the Founder Shares and that are held by the Sponsor or any Insider
or any of their respective permitted transferees (that have complied with this Section 7(c)) are permitted (a) to
the Company’s officers, directors or advisors, any Affiliates or family members of any of the Company’s officers, directors
or advisors, any direct or indirect members, partners or stockholders of the Sponsor or any employee or partner of any such member, partner
or stockholder, or any Affiliates of the Sponsor, (b) in the case of an individual, transfers by gift to a member of the individual’s
immediate family, to a trust, the beneficiaries of which are one or more of the individual’s immediate family or an Affiliate of
such person, or to a charitable organization, (c) in the case of an individual, transfers by virtue of laws of descent and distribution
upon death of such individual, (d) in the case of an individual, transfers pursuant to a qualified domestic relations order, (e) transfers
by virtue of law or the Sponsor’s operating agreement upon dissolution of a person other than an individual, (f) transfers
by private transfers or sales and transfers made in connection with the consummation of the Company’s initial Business Combination
at prices no greater than the price at which the securities were originally purchased, (g) to an entity that is an Affiliate of such
holder, (h) transfers in the event of the Company’s liquidation prior to the completion of the Company’s initial Business
Combination, (i) to the Company for no value for cancellation in connection with the consummation of the Company’s initial
Business Combination, (j) in the event of the Company’s completion of a liquidation, merger, stock exchange, reorganization
or other similar transaction which results in all of the Company’s stockholders having the right to exchange their shares of Class A
Common Stock for cash, securities or other property subsequent to the completion of the Company’s initial Business Combination,
and (k) to a nominee or custodian of a person or entity to whom a disposition or transfer would be permissible under clauses (a) through
(h) above; provided, however, that, in the case of clauses (a) through (f) and (j), these transferees
must enter into a written agreement with the Company agreeing to be bound by the transfer restrictions in this Letter Agreement. “Affiliate”
means, with respect to any holder any other person who, directly or indirectly (including through one or more intermediaries), controls,
is controlled by, or is under common control with, such person. For purposes of this definition, “control,” when used
with respect to any specified person, shall mean the power, direct or indirect, to direct or cause the direction of the management and
policies of such person, whether through ownership of voting securities or partnership or other ownership interests, by contract or otherwise,
and the terms “controlling” and “controlled” shall have correlative meanings.

 

8. The Sponsor and each Insider
represent and warrant with respect to such Insider that it, he or she has never been suspended or expelled from membership in any securities
or commodities exchange or association or had a securities or commodities license or registration denied, suspended or revoked. Each Insider
represents and warrants with respect to such Insider that such Insider’s biographical information furnished to the Company, if any
(including any such information included in the Prospectus), is true and accurate in all respects and does not omit any material information
with respect to such Insider’s background. The Sponsor and each Insider’s questionnaires furnished to the Company, if any,
are true and accurate in all respects. The Sponsor and each Insider represent and warrant with respect to such Insider that it, he or
she (a) is not subject to, or a respondent in, any legal action for, any injunction, cease-and-desist order or order or
stipulation to desist or refrain from any act or practice relating to the offering of securities in any jurisdiction, (b) has never
been convicted of, or pleaded guilty to, any crime (i) involving fraud, (ii) relating to any financial transaction or handling
of funds of another person, or (iii) pertaining to any dealings in any securities and (c) is not currently a defendant in any
such criminal proceeding.

 

     

     

    

 

9.   Except as disclosed in,
or as expressly contemplated by, the Prospectus, neither the Sponsor nor any Insider nor any affiliate of the Sponsor or any Insider,
nor any director, officer or advisor of the Company, shall receive from the Company any finder’s fee, reimbursement, consulting
fee, monies in respect of any repayment of a loan or other compensation prior to, or in connection with any services rendered in order
to effectuate, the consummation of the Company’s initial Business Combination (regardless of the type of transaction that it is),
other than the following, none of which will be made from the proceeds held in the Trust Account prior to the completion of the Company’s
initial Business Combination: (i) repayment of a loan and advances of up to $300,000 made to the Company by the Sponsor to cover
expenses related to the organization of the Company and the Public Offering; (ii) reimbursement for any reasonable out-of-pocket expenses
related to identifying, investigating and consummating an initial Business Combination; and (iii) repayment of loans, if any, and
on such terms as to be determined by the Company from time to time, made by the Sponsor, an affiliate of the Sponsor or certain of the
Company’s officers and directors to finance transaction costs in connection with the Company’s initial Business Combination; provided, however,
that, if the Company does not consummate an initial Business Combination, a portion of the working capital held outside the Trust Account
may be used by the Company to repay such loaned amounts so long as no proceeds from the Trust Account are used for such repayment. Up
to $2,000,000 of such loans may be convertible into warrants (the “Working Capital Warrants”) of the post Business
Combination entity at a price of $1.00 per warrant at the option of the lender. Such warrants would be identical to the Private Placement
Warrants, including as to the exercise price, exercisability and exercise period.

 

10. The Sponsor and each
Insider has full right and power, without violating any agreement by which it is bound (including, without limitation, any non-competition or non-solicitation agreement
with any employer or former employer), to enter into this Letter Agreement and, as applicable, to serve as an officer, a director on the
board of directors and/or an advisor on the board of advisors of the Company and hereby consents to being named in the Prospectus as an
officer, a director and/or an advisor of the Company.

 

11.  As used herein, (i) “Business
Combination” shall mean a merger, consolidation, capital stock exchange, asset acquisition, stock purchase, reorganization or
similar business combination, involving the Company and one or more businesses or entities; (ii) “Capital Stock”
shall mean, collectively, the Class A Common Stock and the Founder Shares; (iii) “Founder Shares” shall mean
the 2,875,000 shares of Class B common stock, par value $0.0001 per share, issued and outstanding immediately prior to the consummation
of the Public Offering; (iv) “Private Placement Warrants” shall mean the 6,000,000 redeemable warrants (or up
to 6,600,000 warrants, depending on the extent to which the underwriters exercise their option to purchase additional units) of the Company
that the Sponsor has agreed to purchase for an aggregate purchase price of $6,000,000 (or up to $6,600,000, depending on the extent to
which the underwriters exercise their option to purchase additional units), or $1.00 per Private Placement Warrant, in a private placement
transaction that shall occur simultaneously with the consummation of the Public Offering; (v) “Public Stockholders”
shall mean the holders of securities issued in the Public Offering; (vi) “Trust Account” shall mean the trust
fund into which a portion of the net proceeds of the Public Offering and the sale of the Private Placement Warrants shall be deposited;
and (vii) “Transfer” shall mean the (a) sale or assignment of, offer to sell, contract or agreement to sell,
hypothecate or pledge, grant of any option to purchase or otherwise dispose of or agreement to dispose of, directly or indirectly, or
establishment or increase of a put equivalent position or liquidation with respect to or decrease of a call equivalent position within
the meaning of the Exchange Act with respect to, any security, (b) entry into any swap or other arrangement that transfers to another,
in whole or in part, any of the economic consequences of ownership of any security, whether any such transaction is to be settled by delivery
of such securities, in cash or otherwise, or (c) public announcement of any intention to effect any transaction specified in clause
(a) or (b) above.

 

12. This Letter Agreement
constitutes the entire agreement and understanding of the parties hereto in respect of the subject matter hereof and supersedes all prior
understandings, agreements or representations by or among the parties hereto, written or oral, to the extent they relate in any way to
the subject matter hereof or the transactions contemplated hereby. This Letter Agreement may not be changed, amended, modified or waived
(other than to correct a typographical error) as to any particular provision, except by a written instrument executed by (1) each
Insider that is the subject of any such change, amendment modification or waiver and (2) the Sponsor.

 

     

     

    

 

13. Except as otherwise provided
in this Letter Agreement, no party hereto may assign either this Letter Agreement or any of its rights, interests or obligations hereunder
without the prior written consent of the other parties. Any purported assignment in violation of this Section 13 shall
be void and ineffectual and shall not operate to transfer or assign any interest or title to the purported assignee. This Letter Agreement
shall be binding on the Sponsor and each Insider and their respective successors, heirs and assigns and permitted transferees.

 

14. Nothing in this Letter
Agreement shall be construed to confer upon, or give to, any person or entity other than the parties hereto any right, remedy or claim
under or by reason of this Letter Agreement or of any covenant, condition, stipulation, promise or agreement hereof. All covenants, conditions,
stipulations, promises and agreements contained in this Letter Agreement shall be for the sole and exclusive benefit of the parties hereto
and their successors, heirs, personal representatives and assigns and permitted transferees.

 

15. This Letter Agreement
may be executed in any number of original or facsimile counterparts and each of such counterparts shall for all purposes be deemed to
be an original, and all such counterparts shall together constitute but one and the same instrument.

 

16. This Letter Agreement
shall be deemed severable, and the invalidity or unenforceability of any term or provision hereof shall not affect the validity or enforceability
of this Letter Agreement or of any other term or provision hereof. Furthermore, in lieu of any such invalid or unenforceable term or provision,
the parties hereto intend that there shall be added as a part of this Letter Agreement a provision as similar in terms to such invalid
or unenforceable provision as may be possible and be valid and enforceable.

 

17. For ease of administration,
this Letter Agreement is being executed so as to enable each Insider identified on the signature pages to enter into this Letter
Agreement, severally, but not jointly. The Company and each Insider agree with each other that (i) this Letter Agreement shall be
treated as if it were a separate agreement with respect to each Insider listed on the signature page, as if each Insider had executed
a separate registration rights agreement naming only itself as an Insider, and (ii) no Insider listed on the signature page shall
have any liability under this Letter Agreement for the obligations of any other Insider so listed. The decision of each Insider to enter
into this Letter Agreement has been made by such Insider independently of any other Insider. Nothing contained herein, and no action taken
by an Insider pursuant hereto or thereto, shall be deemed to constitute any Insider acting with any other Insider or Insiders as a partnership,
an association, a joint venture or any other kind of entity, or create a presumption that any Insider and any other Insider or Insiders
are in any way acting in concert or as a group with respect to such obligations or the transactions contemplated by this Letter Agreement.

 

18. This Letter Agreement
shall be governed by and construed and enforced in accordance with the laws of the State of New York, without giving effect to conflicts
of law principles that would result in the application of the substantive laws of another jurisdiction. The parties hereto (i) all
agree that any action, proceeding, claim or dispute arising out of, or relating in any way to, this Letter Agreement shall be brought
and enforced in the courts of New York City, in the State of New York, and irrevocably submit to such jurisdiction and venue, which jurisdiction
and venue shall be exclusive and (ii) waive any objection to such exclusive jurisdiction and venue or that such courts represent
an inconvenient forum.

 

19. Any notice, consent or
request to be given in connection with any of the terms or provisions of this Letter Agreement shall be in writing and shall be sent by
express mail or similar private courier service, by certified mail (return receipt requested), by hand delivery or facsimile or other
electronic transmission.

 

20. Each party hereto shall
not be liable for any breaches or misrepresentations contained in this Letter Agreement by any other party to this Letter Agreement (including,
for the avoidance of doubt, any Insider with respect to any other Insider), and no party shall be liable or responsible for the obligations
of another party, including, without limitation, indemnification obligations and notice obligations.

 

21.  This Letter
Agreement shall terminate on the earlier of (i) the expiration of the Lock-Up Periods and (ii) the liquidation
of the Company; provided, however, that this Letter Agreement shall terminate earlier in the event that the
Public Offering is not consummated and closed by [___________]; provided, further,
that Section 4 shall survive such liquidation.

 

[Signature Pages Follow]

 

     

     

    

 

	 	 	Sincerely,
	 	 	 
	 	 	SIGNAL HILL ACQUISITION SPONSOR LLC
	 	 	 	 
	 	 	By:	 
	 	 	 	Name:
	 	 	 	Title:
	 	 	 	 
	 	 	By:	 
	 	 	 	Name: [Insider]

 

	Acknowledged and Agreed:	 
	 	 
	SIGNAL HILL ACQUISITION CORP.	 
	 	 	 
	By:	 	 
	 	Name:	 
	 	Title:	 

 

[Signature Page to Letter Agreement—Signal
Hill Acquisition Corp.]Exhibit 10.2

 

B. Riley Securities, Inc.

299 Park Avenue, 21st Floor

New York, New York 10171

 

[●], 2022

 

Signal Hill Acquisition Corp.

2810 N. Church Street, Suite 94644

Wilmington, DE 19802-4447

Attn: Jonathan Bond, Chief Executive Officer

 

Ladies and Gentlemen:

 

This is to confirm our agreement
whereby Signal Hill Acquisition Corp., a Delaware corporation (“Company”), has requested B. Riley Securities, Inc.
(“B. Riley” or the “Advisor”) to serve as the Company’s advisor in connection with the Company
effecting a merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business combination (in each
case, a “Business Combination”) with one or more businesses (each a “Target”) as described in the
Company’s Registration Statement on Form S-1 (File No. ___________) filed with the U.S. Securities and Exchange Commission
(“Registration Statement”) in connection with its initial public offering (“IPO”).

 

1. Services and Fees.

 

(a) The Advisor will, from
time to time, upon the Company’s request and in consultation with the Company:

 

(i) Assist the Company
in preparing presentations for each potential Business Combination;

 

(ii) Assist the Company
in arranging meetings with Company stockholders, including making calls directly to stockholders, to discuss each potential Business Combination
and each potential Target’s attributes and providing regular market feedback, including written status reports, from these meetings
and participate in direct interaction with stockholders, in all cases to the extent legally permissible;

 

(iii) Introduce the Company
to potential investors to purchase the Company’s securities in connection with each potential Business Combination; and

 

(iv) Assist the Company
with the preparation of any press releases and filings related to each potential Business Combination or Target (the activities described
in the foregoing clauses (i)-(iv), the “Services”).

 

(b) As compensation for
the Services, the Company will pay the Advisor a cash fee equal to 3.5% of the gross proceeds received by the Company in the IPO (the
 “Fee”).

 

(c) The Fee shall be payable
in cash and is due and payable to the Advisor by wire transfer at the closing of the Business Combination (“Closing”).
If a proposed Business Combination is not consummated for any reason, no Fee shall be due or payable from funds held in the Trust Account
(defined below); provided that the Fee shall not be paid prior to the date that is 60 days from the effective date of the Registration
Statement, unless FINRA determines that such payment would not be deemed underwriters’ compensation in connection with the IPO.
The Fee shall be exclusive of any fees which may become payable to the Advisor pursuant to any other agreement between B. Riley and the
Company or the Target.

 

     

     

    

 

2. Expenses.

 

At the Closing, the Company
shall reimburse the Advisor for its reasonable costs and expenses incurred by the Advisor (including its fees and disbursements of counsel)
in connection with the performance of the Services; provided, however, any costs and/or expenses in excess of $5,000 in the aggregate
shall be subject to the Company’s prior written approval, which approval will not be unreasonably withheld. Reimbursable expenses
shall be due and payable to the Advisor by wire transfer at the Closing from the Trust Account.

 

3. Company Cooperation;
Information.

 

(a) The Company will provide
full cooperation to the Advisor as may be necessary for the efficient performance by the Advisor of its obligations hereunder, including,
but not limited to, providing to the Advisor and its counsel, on a timely basis, all documents and information regarding the Company and
Target that the Advisor may reasonably request or that are otherwise relevant to the Advisor’s performance of its obligations hereunder
(collectively, the “Information”); making the Company’s management, auditors, consultants and advisors available
to the Advisor; and, using commercially reasonable efforts to provide the Advisor with reasonable access to the management, auditors,
suppliers, customers, consultants and advisors of Target. The Company will promptly notify the Advisor of any change in facts or circumstances
or new developments affecting the Company or Target or that might reasonably be considered material to the Advisor’s engagement
hereunder.

 

(b) The Advisor agrees
to keep strictly confidential all information conveyed by the Company or the Company’s Representatives (as defined below) to the
Advisor in connection with this Agreement including, for the avoidance of doubt, the identities of any Targets and any Business Combination,
in whatever form, whether written, electronic or oral, and to execute a non-disclosure agreement in customary form reasonably acceptable
to the Advisor if requested to do so by the Company.

 

4. Representations,
Warranties, and Covenants.

 

(a) The Company represents,
warrants and covenants to the Advisor that all Information it makes available to the Advisor by or on behalf of the Company in connection
with the performance of its obligations hereunder will not contain any untrue statement of a material fact or omit to state a material
fact necessary in order to make statements made, in light of the circumstances under which they were made, not misleading as of the date
thereof and as of the consummation of the Business Combination. The Company acknowledges and agrees that the Advisor will use and rely
on the accuracy and completeness of the Information supplied to the Advisor without having the obligation to independently verify the
same.

 

(b) The Advisor represents,
warrants and covenants to the Company that it is not prohibited from entering into this Agreement by any other contract, agreement, law
or order.

 

5. Indemnity.

 

The Company shall indemnify
the Advisor and its affiliates and their respective directors, officers, employees, shareholders, representatives and agents in accordance
with the indemnification provisions set forth in Annex I hereto, all of which are incorporated herein by reference.

 

Notwithstanding the foregoing
and Annex I, the Advisor agrees, if there is no Closing, (i) that it does not have any right, title, interest or claim of any kind
in or to any monies in the Company’s trust account established in connection with the IPO (“Trust Account”) with
respect to this Agreement (each, a “Claim”); (ii) to waive any Claim it may have against the Trust account in
the future as a result of, or arising out of, any services provided to the Company hereunder; and (iii) to not seek recourse against
the Trust Account with respect to the Fee.

 

6. Use of Name and
Reports.

 

Without the Advisor’s
prior written consent, neither the Company nor any of its affiliates (nor any director, officer, manager, partner, member, employee, or
agent thereof) shall quote or refer to (i) the Advisor’s name or (ii) any advice rendered by the Advisor to the Company
or any communication from the Advisor in connection with performance of the Services, except as required by applicable federal or state
law, regulation or securities exchange rule.

 

     

     

    

 

7. Status as Independent
Contractor.

 

The Advisor shall perform
the Services as an independent contractor and not as an employee of the Company or affiliate thereof. It is expressly understood and agreed
to by the parties that the Advisor shall have no authority to act for, represent or bind the Company or any affiliate thereof in any manner,
except as may be expressly agreed to by the Company in writing. In rendering the Services, the Advisor will be acting solely pursuant
to a contractual relationship on an arm’s-length basis. This Agreement is not intended to create a fiduciary relationship between
the parties and neither the Advisor nor any of the Advisor’s officers, directors or personnel will owe any fiduciary duty to the
Company or any other person in connection with any of the matters contemplated by this Agreement.

 

8. Potential Conflicts.

 

The Company acknowledges that
the Advisor is a full-service securities firm engaged in securities trading and brokerage activities and providing investment banking
and advisory services from which conflicting interests may arise. Subject to applicable law, in the ordinary course of business, the Advisor
and its affiliates may at any time hold long or short positions, and may trade or otherwise effect transactions, for their own account
or the accounts of customers, in debt or equity securities of the Company, its affiliates or other entities that may be involved in the
transactions contemplated hereby. Additionally, the Advisor regularly enters into agreements similar to this Agreement with other companies.
Nothing in this Agreement shall be construed to limit or restrict the Advisor or any of its affiliates in conducting such business to
the extent permitted by applicable law.

 

9. Entire Agreement.

 

This Agreement constitutes
the entire understanding between the Company and Advisor with respect to the subject matter hereof and supersedes all prior agreements
and understandings, oral or written, with respect thereto. This Agreement may not be modified or terminated orally or in any manner other
than by an agreement in writing signed by the Company and the Advisor.

 

10. Notices.

 

Any notices required or permitted
to be given hereunder shall be in writing and shall be deemed given when mailed by certified mail or private courier service, return receipt
requested, addressed to each party at its respective addresses set forth above, or such other address as may be given by a party in a
notice given pursuant to this Section.

 

11. Successors and
Assigns.

 

This Agreement may not be
assigned by any party without the written consent of the other parties. This Agreement shall be binding upon and shall inure to the benefit
of the parties hereto and, except where prohibited, to their successors and assigns.

 

12. Non-Exclusivity.

 

Nothing herein shall be deemed
to restrict or prohibit the engagement by the Company of other consultants providing the same or similar services or the payment by the
Company of fees to such other consultants. The Company’s engagement of any other consultant(s) shall not affect the Advisor’s
right to receive the Fee and reimbursement of expenses pursuant to this Agreement.

 

     

     

    

 

13. Applicable Law;
Venue.

 

This Agreement shall be construed
and enforced in accordance with the laws of the State of New York without giving effect to conflict of laws. In the event of any dispute
under this Agreement, then and in such event, each party hereto agrees that the dispute shall be brought and enforced in the courts of
the State of New York, County of New York under the accelerated adjudication procedures of the Commercial Division, or the United States
District Court for the Southern District of New York, in each event at the discretion of the party initiating the dispute. Each party
irrevocably submits to such jurisdiction, which jurisdiction shall be exclusive. Each party hereby waives any objection to such exclusive
jurisdiction and that such courts represent an inconvenient forum. Any such process or summons to be served upon a party may be served
by transmitting a copy thereof by registered or certified mail, postage prepaid, addressed to such party at the address set forth at the
beginning of this Agreement. Such mailing shall be deemed personal service and shall be legal and binding upon the party being served
in any action, proceeding or claim. The parties agree that the prevailing party(ies) in any such action shall be entitled to recover from
the other party(ies) all of its reasonable attorneys’ fees and expenses relating to such action or proceeding and/or incurred in
connection with the preparation therefor.

 

14. Counterparts.

 

This
Agreement may be executed in several original or facsimile counterparts, each one of which shall constitute an original, and together
shall constitute but one instrument.

 

[Signature Page Follows]

 

     

     

    

 

If
the foregoing correctly sets forth the understanding between the Advisor and the Company with respect to the foregoing, please so
indicate your agreement by signing in the place provided below, at which time this letter shall become a binding contract.

 

	 	B. RILEY SECURITIES, INC.

 

	 	By:	 
	 	Name:	 
	 	Title:	 

 

AGREED AND ACCEPTED BY:

 

SIGNAL HILL ACQUISITION CORP.

 

	By:	 	 
	Name:	 	 
	Title:	 	 

 

[Signature Page to Business Combination Marketing
Agreement]

 

     

     

    

 

ANNEX I

 

Indemnification

 

Subject to Section 5
of this Agreement, the Company agrees to indemnify and hold harmless B. Riley and its affiliates (as defined in Rule 405 under the
Securities Act of 1933, as amended) and their respective directors, officers, members, managers, employees, agents and controlling persons
(B. Riley and each such person being an “Indemnified Party”) from and against all losses, claims, damages and liabilities
(or actions, including shareholder actions, in respect thereof), joint or several, to which such Indemnified Party may become subject
under any applicable federal or state law, or otherwise, which are related to or result from the performance by B. Riley of the services
contemplated by or the engagement of B. Riley pursuant to, this Agreement and will promptly reimburse any Indemnified Party for all reasonable
expenses (including reasonable counsel fees and expenses) in connection with the investigation of, preparation for or defense arising
from any threatened or pending claim, whether or not such Indemnified Party is a party and whether or not such claim, action or proceeding
is initiated or brought by the Company. The Company will not be liable to any Indemnified Party under the foregoing indemnification and
reimbursement provisions, (i) for any settlement by an Indemnified Party effected without its prior written consent (not to be unreasonably
withheld); or (ii) to the extent that any loss, claim, damage or liability is found in a final, non-appealable judgment by a court
of competent jurisdiction to have resulted primarily from B. Riley’s bad faith, willful misconduct or gross negligence. The Company
also agrees that no Indemnified Party shall have any liability (whether direct or indirect, in contract or tort or otherwise) to Company
or its security holders or creditors related to or arising out of the engagement of B. Riley pursuant to, or the performance by B. Riley
of the services contemplated by, this Agreement except to the extent that any loss, claim, damage or liability is found in a final, non-appealable
judgment by a court of competent jurisdiction to have resulted primarily from B. Riley’s bad faith, willful misconduct or gross
negligence.

 

Promptly after receipt by
an Indemnified Party of notice of any intention or threat to commence an action, suit or proceeding or notice of the commencement of any
action, suit or proceeding, such Indemnified Party will, if a claim in respect thereof is to be made against the Company pursuant hereto,
promptly notify the Company in writing of the same. In case any such action is brought against any Indemnified Party and such Indemnified
Party notifies the Company of the commencement thereof, the Company may elect to assume the defense thereof, with counsel reasonably satisfactory
to such Indemnified Party, and an Indemnified Party may employ counsel to participate in the defense of any such action provided, that
the employment of such counsel shall be at the Indemnified Party’s own expense, unless (i) the employment of such counsel has
been authorized in writing by the Company, (ii) the Indemnified Party has reasonably concluded (based upon advice of counsel to the
Indemnified Party) that there may be legal defenses available to it or other Indemnified Parties that are different from or in addition
to those available to the Company, or that a conflict or potential conflict exists (based upon advice of counsel to the Indemnified Party)
between the Indemnified Party and the Company that makes it impossible or inadvisable for counsel to the Company to conduct the defense
of both the Company and the Indemnified Party (in which case the Company will not have the right to direct the defense of such action
on behalf of the Indemnified Party), or (iii) the Company has not in fact employed counsel reasonably satisfactory to the Indemnified
Party to assume the defense of such action within a reasonable time after receiving notice of the action, suit or proceeding, in each
of which cases the reasonable fees, disbursements and other charges of such counsel will be at the expense of the Company; provided, further,
that in no event shall the Company be required to pay fees and expenses for more than one firm of attorneys (in addition to local counsel)
representing Indemnified Parties. Any failure or delay by an Indemnified Party to give the notice referred to in this paragraph shall
not affect such Indemnified Party’s right to be indemnified hereunder, except to the extent that such failure or delay causes actual
harm to the Company, or prejudices its ability to defend such action, suit or proceeding on behalf of such Indemnified Party.

 

If the indemnification provided
for in this Agreement is for any reason held unenforceable by or unavailable to an Indemnified Party, the Company agrees to contribute
to the losses, claims, damages and liabilities for which such indemnification is held unenforceable or unavailable (i) in such proportion
as is appropriate to reflect the relative benefits to the Company, on the one hand, and B. Riley on the other hand, of the services provided
in this Agreement or, (ii) if (but only if) the allocation provided for in clause (i) is for any reason unenforceable or unavailable,
in such proportion as is appropriate to reflect not only the relative benefits referred to in clause (i) but also the relative fault
of the Company, on the one hand, and B. Riley, on the other hand, as well as any other relevant equitable considerations. The Company
agrees, that for the purposes of this paragraph the relative benefits to the Company and B. Riley of the services provided in this Agreement
shall be deemed to be in the same proportion that the total value received or contemplated to be received by the Company or its shareholders,
as the case may be, as a result of or in connection with the services provided in this Agreement bear to the fees paid or to be paid to
B. Riley under this Agreement.

 

     

     

    

 

Notwithstanding the foregoing,
the Company expressly agrees that B. Riley shall not be required to contribute any amount in excess of the amount by which fees paid B.
Riley hereunder (excluding reimbursable expenses) exceeds the amount of any damages which B. Riley has otherwise been required to pay.
The Company’s recourse with respect to any liability or obligation of B. Riley hereunder shall be limited to the assets of B. Riley,
and the Company shall have no recourse against, and expressly waives its right to bring any claim against, any other Indemnified Party
or any of their assets. The Company will not settle, compromise or consent to the entry of any judgment in any pending or threatened claim,
action or proceeding in respect of which indemnification or contribution could be sought under the provisions of this Agreement, whether
or not any Indemnified Party is an actual or potential party to such claim, action or proceeding, without B. Riley’s prior written
consent, which consent shall not be unreasonably withheld in the case of any claim, action or proceeding involving only the payment of
money damages), unless such settlement, compromise or consent (i) includes an unconditional release of each Indemnified Party from
all liability in any way related to or arising out of such claim, action or proceeding and (ii) does not impose any actual or potential
liability upon any Indemnified Party and does not contain any factual or legal admission by or with respect to any Indemnified Party or
any adverse statement with respect to the character, professionalism, due care, loyalty, expertise or reputation of any Indemnified Party
or any action or inaction by any Indemnified Party.

 

In the event that an Indemnified
Party is requested, authorized by the Company, or required to appear as a witness in any action brought by or on behalf of or against
the Company in which such Indemnified Party is not named as a defendant, the Company agrees, jointly and severally, to promptly reimburse
B. Riley on a monthly basis for all expenses incurred by it in connection with such Indemnified Party’s appearing and preparing
to appear as such a witness, including, without limitation, the reasonable fees and disbursements of its legal counsel. In addition to
any reimbursed fees, expenses or costs outlined hereunder, B. Riley shall also receive from the Company cash compensation of $2,000.00
per person, per day, plus reasonable out-of-pocket expenses and costs should B. Riley be required to provide testimony in any formal or
informal proceeding regarding the Company.

 

If multiple claims are brought,
at least one for which indemnification is permitted under applicable law and provided for under this Agreement, the Company agrees that
any judgment or arbitration award shall be conclusively deemed to be based on claims as to which indemnification is permitted and provided
for, except to the extent the judgment or arbitration award expressly states that it, or any portion thereof, is based solely on a claim
as to which indemnification is not available.

 

Prior to entering into any
agreement or arrangement with respect to, or effecting, any merger, statutory exchange or other business combination or proposed sale
or exchange, dividend or other distribution or liquidation of all or a significant portion of its assets in one or a series of transactions
or any significant recapitalization or reclassification of its outstanding securities that does not directly or indirectly provide for
the assumption of the obligations of the Company set forth herein, the Company will promptly notify B. Riley in writing thereof and, if
requested by B. Riley, shall arrange in connection therewith alternative means of providing for the obligations of the Company set forth
herein on terms and conditions satisfactory to B. Riley.

 

The foregoing provisions of
this Annex I are in addition to rights B. Riley may have at common law or otherwise, shall inure to the benefit of the Indemnified Parties
and their respective successors and assigns and shall be binding on any successor or assign of the Company and successors or assigns to
the Company’s business or assets.

 

The provisions of this Annex
I shall remain in full force and effect notwithstanding any termination or expiration of this Agreement

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