Document:

Execution Copy
Confidential
                                          

	Exhibit
    4.14

 

 

 

 

SHARE
PURCHASE AGREEMENT

 

by and among:

 

 

The Sellers
as Listed Herein;

 

 

Cellcom
Israel Ltd. 

an Israeli
Company;

 

 

 

Golan
Telecom Ltd. 

an Israeli
Company;

 

and

 

Michael
Golan

as Sellers’
Representative

 

 

___________________________

 

Dated as
of November 4, 2015

 

___________________________

 

 

 

 

 

 

 

 

 

    1 

     

    

SHARE
PURCHASE AGREEMENT

 

THIS SHARE
PURCHASE AGREEMENT (this “Agreement”) is entered into on and as of this 4 day of November 2015, by and
among Mr. Michael Golan, Israeli ID#327156444; PP Telecom no. 01779128, an entity organized under the laws of Belgium; GP Telecom
no. 01779129, an entity organized under the laws of Belgium; Mr. David Golan, Israeli ID#333797553; and NJJ Invest Tel, French
Company No. 53-530010-7 (together the “Sellers”); Cellcom Israel Ltd., a public company organized under the
laws of the State of Israel (the “Purchaser”); Golan Telecom Ltd., a private company organized under the laws
of the State of Israel (the “Company”); and Mr. Michael Golan, solely in his capacity as Sellers’ Representative
(the “Sellers’ Representative”); (Each of the Sellers, the Purchaser, the Company and the Sellers’
Representative shall each be referred to hereinafter as a “Party” and collectively as the “Parties”).

 

RECITALS:

 

		WHEREAS	the
                                         Sellers hold at the date hereof (and will hold at Closing) twenty thousand (20,000)
                                         shares (the “Shares”) representing 100% of the
                                         share capital and voting rights of the Company, in the proportions set forth in Schedule
                                         A;

 

		WHEREAS	the
                                         Company holds at the date hereof (and will hold at Closing) 100% of the issued and outstanding
                                         share capital and voting rights of each of the Subsidiaries;

 

		WHEREAS	the
                                         Company is a telecom operator in Israel which entered the Israeli market in 2012;

 

		WHEREAS	the
                                         Purchaser has agreed to purchase from the Sellers - and the Sellers have together agreed
                                         to sell and transfer to the Purchaser - the Shares and the Shareholders’ Loans,
                                         subject to and in accordance with the terms and conditions of this Agreement; and

 

		WHEREAS	the
                                         Parties desire to set forth their mutual rights and obligations in relation to the matters
                                         set forth herein;

 

NOW, THEREFORE,
the Parties hereby represent, covenant and agree as follows:

 

		1.	Preamble;
                                         Schedules and Exhibits; Interpretation and Definitions 

 

		1.1.	The
                                         preamble and Schedules to this Agreement and the Exhibits attached hereto constitute
                                         integral parts hereof.

 

		1.2.	Section
                                         headings have been included in this Agreement for convenience of reading only and shall
                                         not be used in the interpretation thereof and in no way alter, modify, amend, limit,
                                         or restrict any contractual obligations of the Parties.

 

		1.3.	For
                                         purposes of this Agreement, whenever the context requires: the singular number shall
                                         include the plural, and vice versa; the masculine gender shall include the feminine and
                                         neuter genders; the feminine gender shall include the masculine and neuter genders; and
                                         the neuter gender shall include the masculine and feminine genders; the words “include”
                                         and “including,” and variations thereof, shall not be deemed to be terms
                                         of limitation, but rather shall be deemed to be followed by the words “without
                                         limitation”; the use of the word “or” shall not be exclusive; and except
                                         as otherwise indicated, all references in this Agreement to “Sections,” “Schedules”
                                         and “Exhibits” are intended to refer to Sections of this Agreement and Schedules
                                         and Exhibits to this Agreement. A document shall be deemed to have been “made available”
                                         or "delivered" by the Company or the Sellers to Purchaser or its Representatives
                                         only if has been posted in the Electronic Dataroom at least three (3) Business Days prior
                                         to the date hereof, unless otherwise agreed in writing by the Parties. 

 

		1.4.	Each
                                         of the Parties acknowledges that it was represented by legal counsel in the negotiation,
                                         execution and delivery of this Agreement. Accordingly, and based on the foregoing facts,
                                         among other factors, each Party acknowledges and agrees that, for purposes of interpreting
                                         this Agreement, no party has had any preference in the design of the provisions of this
                                         Agreement (within the meaning of Section 25(b1) of the Israeli Contracts Law (General
                                         Part), 1973 (as amended).

 

    2 

     

    

		1.5.	Certain
                                         capitalized terms used in this Agreement are defined in Schedule ‎1.5
                                         hereto.

 

		2.	Sale
                                         of Shares and Assignment of Shareholders’ Loans

 

On
and subject to the terms of this Agreement, at the Closing, the Sellers shall sell, and the Purchaser agrees to purchase, the
Shares and the Shareholders’ Loans. The Shares and the Shareholders’
Loans shall be sold free and clear from any Liens. 

 

		3.	Consideration

 

		3.1.	Amount.
                                         The aggregate consideration for the purchase of the Shares and the Shareholders’
                                         Loans under this Agreement shall be an amount equal to the Purchase Price and shall be
                                         payable to and will consist of:
                                         

 

		(a)	The
                                         Purchase Price less (i) the Convertible Note Amount, less (ii) the
                                         Company Debt (excluding (A) the National Roaming Gap, (B) the Shareholders' Loans, and
                                         (C) to the extent included in Company Debt, the amount of the Bank Guarantees), less
                                         (iii) the Transaction Expenses that have not been paid prior to the Closing, plus
                                         the VAT Credit (and subject to the other adjustments set forth herein,
                                         the “Closing Payment”), payable in cash on the Closing Date, for the
                                         benefit of the Sellers which shall be payable in accordance with the provisions of this
                                         Agreement; and

 

		(b)	Four
                                         Hundred Million NIS (NIS 400,000,000), which shall be payable to Sellers in accordance
                                         with the terms of this Agreement and the Convertible Notes; provided however that
                                         Purchaser may elect, at its sole discretion, to reduce the Convertible Note Amount by
                                         providing written notice to the Sellers' Representative no later than three (3) Business
                                         Days prior to the Closing (the NIS 400,000,000 as may be so reduced, the "Convertible
                                         Note Amount").

 

		3.2.	Convertible
                                         Note. As soon as practicable following the date hereof, Purchaser and Sellers
                                         shall agree upon a detailed Subordinated Mandatory Convertible Note in respect of the
                                         Convertible Note Amount, the principal terms of which are attached hereto as Exhibit
                                         3.2 (the “Convertible Note”). It is hereby agreed that Purchaser
                                         will not be required to issue an aggregate amount of Conversion Shares which require
                                         the approval of Purchaser's shareholder meeting, provided, however, that in such a case
                                         Purchaser will increase the Closing Payment accordingly.

 

		3.3.	Registration
                                         Rights Agreement. As soon as practicable following the date hereof, and in
                                         any event, at Closing, Purchaser and the Sellers (as defined in the RRA) shall enter
                                         into a Registration Rights Agreement, the principal terms of which are/in substantially
                                         the form attached hereto as Exhibit 3.3 (the "RRA").

 

		3.4.	Purchase
                                         Price Adjustment. The Purchase Price shall be reduced by a sum equal to (A)
                                         the Adjusted Accounts Payable (if any) plus (B) the Adjusted Purchaser
                                         Payable; plus (C) Adjusted Prepaid Payable (if any) (all of such adjustments,
                                         the "Adjusted Payables").

 

Such
reduction of the Purchase Price shall be effected as follows: the Convertible Note Amount and the Closing Payment shall be reduced
(and the principal amount underlying the Convertible Notes shall be deemed adjusted downwards) by such amount of Adjusted Payables,
pro rata to their initial relative portion of the Purchase Price.

 

The
determination of the Adjusted Payables shall be as follows:

 

		(a)	As
                                         promptly as practicable, but no later than five Business Days prior to the Closing Date,
                                         Company shall prepare and deliver, and the Sellers shall cause to be prepared and delivered
                                         to Purchaser a certificate, duly executed by its CEO and CFO (the "Closing Statement")
                                         setting forth the Company’s good faith, best estimate and reasonable calculation
                                         of (i) each of the Adjusted Payables as of the end of business on the Closing Date, (ii)
                                         the Transaction Expenses that remain outstanding as of the end of business on the Closing
                                         Date, (iii) the Company Debt as of the end of business on the Closing Date, (iv) EBITDA
                                         for the period consisting of the most recently completed fiscal quarter, as well as the
                                         period ending on the last calendar day of the month ending prior to the delivery of the
                                         Closing Statement in accordance with this Section 3.4(a); (“Closing 

 

    3 

     

    

EBITDA”),
(v) Revenues for the three month period ending on the last day of the month immediately preceding the month in which the Closing
Date (“Closing Revenues”) and (vi) number of Active Customers as of the end of last business day of month immediately
preceding on the Closing Date (“Closing Active Customers”). The Closing Statement shall be accompanied by the
calculations made and methodology used by the Company, and such other information, documents and data reasonably necessary or
otherwise reasonably requested by the Purchaser in order to facilitate a review, examination and confirmation of the information
included therein.

 

		(b)	If
                                         Purchaser disagrees with the Sellers’ calculation of the Adjusted Payables or the
                                         other items included therein (including the Transaction Expenses as of the end of business
                                         on the Closing Date, the Company Debt as of the end of business on the Closing Date,
                                         Closing Revenues or the Closing Active Customers) delivered pursuant to Section ‎3.4‎(a)
                                         (but not the Closing EBITDA), Purchaser may, within 60 days after delivery of the Closing
                                         Statement, deliver a notice executed by Purchaser’s CFO or CEO, to the Sellers’
                                         Representative disagreeing with such calculation(s) and setting forth Purchaser’s
                                         calculation of such amount(s). Any such notice of disagreement shall specify those items
                                         or amounts as to which Purchaser disagrees.

 

		(c)	If
                                         a notice of disagreement shall not be timely delivered pursuant to Section ‎3.4‎(b)
                                         above, the Closing Statement and all amounts included therein shall be deemed final.
                                         However, if a notice of disagreement is timely delivered pursuant to Section ‎3.4‎(b)
                                         above, the Sellers’ Representative and Purchaser shall, during the thirty (30)
                                         days following such delivery, use their reasonable efforts to reach agreement on the
                                         disputed items or amounts in order to determine, as may be required, the amount of Adjusted
                                         Accounts Payable or the other items disputed, as the case may be. If during such period,
                                         the Sellers’ Representative and Purchaser are unable to reach such agreement, they
                                         shall promptly thereafter cause a major international accounting firm reasonably acceptable
                                         to Purchaser and Sellers’ Representative (the “Accounting Expert”)
                                         to review this Agreement and the disputed items or amounts for the purpose of calculating
                                         the disputed amounts (it being understood that in making such calculation, the Accounting
                                         Expert shall be functioning as an expert and not as an arbitrator). In making such calculation,
                                         the Accounting Expert shall consider only those items or amounts in the Closing Statement
                                         as to which Purchaser has disagreed. The Accounting Expert shall deliver to the Sellers’
                                         Representative and Purchaser, as promptly as practicable (but in any case no later than
                                         thirty (30) days from the date of engagement of the Accounting Expert), a report setting
                                         forth such calculation. Such report shall be final and binding upon the Sellers and Purchaser,
                                         shall not be appealable and will be enforceable in a court of law. The cost of such review
                                         and report of the Accounting Expert shall be borne equally by the Sellers (50%) and Purchaser
                                         (50%).

 

		(d)	The
                                         Parties shall, and shall cause their respective representatives to, cooperate and assist
                                         the Accounting Expert in the conduct of the review referred to in this Section ‎3.4,
                                         including, but subject to a confidentiality agreement, the making available to the extent
                                         necessary of books, records, work papers and personnel.

 

		(e)	If
                                         the applicable Final Adjusted Payable exceeds the respective Closing Adjusted Payable
                                         as shown in the Closing Statement, Purchaser shall pay to the Sellers, as an adjustment
                                         to the Purchase Price the amount of such excess and, if Closing Adjusted Payable exceeds
                                         the Final Adjusted Payable, the Sellers shall pay to Purchaser, as an adjustment
                                         to the Purchase Price the amount of such excess. “Final Adjusted Payables”
                                         means the applicable Closing Adjusted Payable as shown in the Final Closing Statement;
                                         provided, however, that in no event shall Final Adjusted Payables be more than
                                         the Sellers’ calculation of the Closing Adjusted Payables delivered pursuant to
                                         Section 3.4‎(b).
                                         “Final Closing Statement” means (i) the Closing Statement if no notice
                                         of disagreement with respect thereto is timely delivered pursuant to Section 3.4(b);
                                         or (ii) if a notice of disagreement is delivered, (A) as agreed by the Sellers’
                                         Representative and Purchaser, or (B) in the absence of such agreement, as shown in the
                                         Accounting Expert's calculation.

 

    4 

     

    

		(f)	Notwithstanding
                                         anything contained herein to the contrary in this Section ‎3.4,
                                         in the event that any of the adjustments under this section 3.4 above is determined to
                                         be less than an amount of NIS 500,000 then no adjustment shall be made.

 

		(g)	Any
                                         payment pursuant to Section 3.4‎(e)
                                         shall be made (without derogating from the Purchaser’s right to recover such amount
                                         pursuant to the provisions of Section 10) within five (5) Business Days after Final Adjusted
                                         Payable has been determined, in the case of adjustment to the Closing Payment, by wire
                                         transfer by Purchaser (or the Paying Agent, if any is appointed, on its behalf) or Sellers,
                                         as the case may be, of immediately available funds to the account of such other party
                                         or parties as may be designated in writing by the Sellers’ Representative or the
                                         Purchaser, as the case may be.

 

		(h)	Any
                                         amounts paid pursuant to the provisions of this Section 3.4 shall be deemed to be and
                                         treated, to the extent permitted by Law, as an adjustment to the Purchase Price for all
                                         purposes.

 

		3.5.	MAE
                                         Purchase Price Adjustment. The Purchaser shall be entitled to a further downward
                                         adjustment to the Purchase Price in the events and in accordance with the procedures
                                         set forth in Exhibit 3.5 hereto.

 

		3.6.	Withholding Tax.

 

		(a)	Notwithstanding
                                         anything to the contrary contained in this Agreement or the other Transaction Documents,
                                         Purchaser (including any other Person, such as a paying agent, if any is appointed, required
                                         to withhold with respect to any payment made under this Agreement) shall be entitled
                                         to deduct and withhold from any consideration payable or otherwise deliverable pursuant
                                         to this Agreement or the other Transaction Documents such amounts as are required to
                                         be deducted or withheld therefrom under any provision of applicable Tax Law. To the extent
                                         such amounts are so deducted or withheld, such amounts shall be treated for all purposes
                                         under this Agreement and the other Transaction Documents as having been paid to the Person
                                         to whom such amounts would otherwise have been paid. Notwithstanding the foregoing, for
                                         purposes of Israeli Tax, if the Person entitled to payment has provided to Purchaser
                                         a Valid Certificate at least seven (7) Business
                                         Days prior to making any payment payable pursuant to this Agreement, Purchaser
                                         shall not withhold or shall withhold a reduced Tax amount pursuant to this Section in
                                         accordance with the provisions of the applicable Valid Certificate. A “Valid
                                         Certificate” shall be a certificate or ruling issued by the Israeli Tax Authority
                                         ("ITA") which is sufficient to enable Purchaser to conclude that no
                                         withholding (or reduced withholding) of Israeli Tax is required with respect to the payment
                                         to such Person. For the avoidance of doubt, in the absence of a Valid Certificate that
                                         both (i) applies to the funds payable from the Convertible Note payable and (ii) approves
                                         that the payment by Purchaser to the Sellers by way of the Convertible Note will not
                                         be subject to Israeli withholding tax, the calculation of the applicable amount to be
                                         withheld from the amount to be paid to a Person at Closing will also include the applicable
                                         amount to be withheld from such Person’s portion of the Convertible Note.

 

		(b)	Notwithstanding
                                         the foregoing, if, and only if, a Paying Agent is appointed as contemplated in Section
                                         3.7 below, then with respect to any amount to be deducted or withheld pursuant to Section
                                         3.6(a) above, any consideration payable or otherwise deliverable pursuant to this Agreement
                                         or the other Transaction Documents to any Person, shall be paid to and retained by the
                                         Paying Agent for the benefit of each such Person for a period of one hundred eighty (180)
                                         days after the Closing (the “Withholding Drop Date”), or a shorter
                                         period of time if requested in writing by a Person in respect of such Person’s
                                         consideration, during which time none of Purchaser, the Company or the Paying Agent shall
                                         withhold any Israeli Tax on such consideration, except as provided below, and during
                                         which time each such Person may obtain a Valid Certificate regarding the deduction or
                                         withholding of Tax from any consideration payable to such Person hereunder. In the event
                                         that no later than seven (7) Business Days prior to the Withholding Drop Date, a Person
                                         submits a

 

    5 

     

    

			Valid Certificate, the
Paying Agent shall withhold and transfer to the ITA such amount of withholding due from such Person as specified in such Valid
Certificate, and shall pay to such Person only the balance of the payment due to such Person that is not so withheld. If
any Person (A) does not provide the Paying Agent with such Valid Certificate, no later than seven (7) Business Days prior
to the Withholding Drop Date, or (B) submits a written request to the Paying Agent to release its portion of any consideration
on a date prior to the Withholding Drop Date and fails to submit a Valid Certificate on or before such date, then Israeli Tax
will be withheld from such Person’s portion of the aforementioned consideration as determined by Purchaser and the Paying
Agent in their discretion in accordance with Israeli Tax Laws, which amount shall be delivered to the ITA by the Paying Agent
and the Paying Agent shall pay to such Person the balance of the payment due to such Person that is not so withheld. In such event,
the Paying Agent shall provide to the relevant Person a certificate evidencing such withholding.

 

		(c)	To
                                         the extent Purchaser, the Company or the Paying Agent withholds any amounts pursuant
                                         to this Section 3.6, the withholding shall be increased by interest and Israeli CPI adjustments
                                         for the period between Closing and the time the relevant payment is made. 

 

		3.7.	Payment of Purchase
Price.

 

		(a)	At
                                         the Sellers' Representative reasonable request, prior to the Closing Date, Purchaser
                                         shall appoint an Israeli agent reasonably acceptable to the Sellers' Representative (the
                                         “Paying Agent”) to receive the Closing Payment to which the Sellers
                                         are entitled hereunder, as the Closing Payment may be adjusted hereunder, and Purchaser
                                         shall have entered into a paying agent agreement (the “Paying Agent Agreement”)
                                         with the Paying Agent. At or as promptly as practicable after the Closing Date or, in
                                         the case of payments pursuant to Section 3.4 or 3.5, when ascertained and if applicable,
                                         Purchaser shall deposit, or cause to be deposited, with the Paying Agent, for the benefit
                                         of the Sellers, cash in an amount sufficient to pay the Closing Payment (the “Payment
                                         Fund”). The Paying Agent shall pay, or cause to be paid, the amount of cash
                                         to which each Seller is entitled to receive pursuant to this Agreement by wire transfer
                                         to such accounts and in such amounts in accordance with and set forth in Schedule
                                         A attached hereto promptly after delivery by such Seller to the Paying Agent
                                         of a properly completed letter of transmittal. Any portion of the Payment Fund that remains
                                         undistributed to the Sellers on the date that is one year after the Closing Date shall
                                         be delivered by the Paying Agent to Purchaser, upon demand, and any Seller who has not
                                         theretofore demanded or received its applicable portion of the Closing Payment shall
                                         thereafter look only to Purchaser for payment of such consideration. 

 

		(b)	Schedule A
shows, for each Seller: (A) the name, the address, email address, and residency of such Seller, telephone number, bank information
(the respective bank name and number, the branch name, number and address, swift number and account number), (B) the number and
class of shares of Company capital stock held, (C) a calculation of the portion of the Purchase Price payable to such Seller,
including the Pro Rata Share, relative portion of the Holdback Amount, Shareholder Loans and Convertible Notes, and (D) such additional
details reasonably required by Purchaser (or the Paying Agent, if any is appointed) so as to properly process payments. Other
than the name and those items set forth in subclause (B) above, other details of Schedule A shall be provided within 14 days from
the date hereof.

 

		4.	Closing
                                         

 

		4.1.	Closing
                                         of Transactions. The consummation of the sale of Shares, the assignment of
                                         the Shareholders’ Loans and the other Transactions (the “Closing”)
                                         shall take place at the offices of Gornitzky & Co., 45 Rothschild Blvd., Tel Aviv,
                                         Israel on a date to be specified by Purchaser and the Sellers' Representative, which
                                         date shall be the later of (i) three (3) Business Days following the satisfaction
                                         or waiver (by the applicable Party) of all the conditions set forth in Section ‎9
                                         (other than the conditions which, by their nature, are intended to be satisfied

 

    6 

     

    

at
the Closing, but subject to the satisfaction or waiver by the applicable Party of those conditions at the Closing) has been completed,
or (ii) upon written notification of such from the Purchaser to the Sellers' Representative, up to 30 days following the satisfaction
or waiver of the closing conditions involving the receipt Governmental Approvals; provided, however, that (i) the Closing may
take place by exchange of executed documents by facsimile or email transmission, or at such other time or on such other date or
at such other place as the Sellers’ Representative and Purchaser may mutually agree upon in writing, and in the event that
the Closing Date is determined in accordance with subclause (ii) above, Purchaser may advance the Closing by way of three (3)
Business Days prior written notice to the Sellers' Representative. All deliveries by one Party to any other party at Closing shall
be deemed to have occurred simultaneously and none shall be effective until and unless all have occurred or been waived in accordance
with this Agreement.

 

		4.2.	Closing
                                         Deliveries by the Sellers and the Company. Upon the Closing, the Company
                                         and the Sellers shall, and where required, Sellers shall procure that the Company shall,
                                         deliver to the Purchaser:

 

		(a)	an
                                         updated shareholders’ register of the Company, reflecting the transfer of the Shares
                                         to the Purchaser, effective as of the Closing Date;

 

		(b)	duly
                                         signed resignation letters (containing a customary waiver of claims) with effect as of
                                         the Closing Date, of all directors of the Company and any Subsidiaries, in the form reasonably
                                         to the satisfaction of the Parties;

 

		(c)	any
                                         authorizations, consents, orders and approvals of all third parties set forth on Schedule 7.3, in each case in form and substance reasonably satisfactory to Purchaser;
                                         

 

		(d)	a
                                         certificate, dated as of the Closing Date, signed by the Sellers’ Representative
                                         and by the CEO and CFO of the Company, certifying, among other things, as to the satisfaction
                                         of the conditions specified in Section ‎9.3,
                                         reasonably to the satisfaction of the Purchaser;

 

		(e)	an
                                         additional copy of the Closing Statement as set forth in Section 3.4;

 

		(f)	duly
                                         executed share transfer deeds (together with the original share certificates or appropriate
                                         certificate of loss) with respect to the Shares owned by each Seller for transfer from
                                         the Sellers to Purchaser in a form reasonably satisfactory to the Purchaser;
                                         

 

		(g)	evidence
                                         reasonably satisfactory to Purchaser that each Seller which is not an individual has
                                         duly approved the Transactions;

 

		(h)	a
                                         duly executed copy of each of the Convertible Note and Registration Rights Agreement
                                         by each of the Sellers;

 

		(i)	copies
                                         of duly executed agreements, in a form reasonably satisfactory to Purchaser, from each
                                         holder of Call Options, evidencing such Call Option holder’s acknowledgment that
                                         such Call Options are redeemed or otherwise cancelled not later than the Closing (the
                                         “Optionholder Acknowledgements”);

 

		(j)	a
                                         duly executed copy of a non-compete undertaking, substantially in the form of Exhibit
                                         4.3(j), from each natural Person who is the ultimate beneficial owner of any Seller
                                         who is not an individual (the “Non-Compete Undertaking”);

 

		(k)	a
                                         duly executed copy of an assignment deed of the Shareholders' Loans, in a form reasonably
                                         satisfactory to Purchaser;

 

		(l)	a
                                         copy of resolutions of (i) the Board or Directors of the Company and (ii) the shareholders
                                         of the Company, approving the Transactions, in a form reasonably satisfactory to the
                                         Purchaser; and

 

		(m)	such
                                         other customary documents, instruments or certificates as shall be reasonably requested
                                         by Purchaser and as shall be consistent with the terms of this Agreement.

 

		4.3.	Closing
                                         Deliveries by the Purchaser. Upon the Closing, the Purchaser shall deliver
                                         to the Sellers’ Representative (or to others if otherwise indicated herein):

 

    7 

     

    

		(a)	a
                                         certified copy of resolutions of the Board or Directors of Purchaser, substantially in
                                         the form set forth as Exhibit ‎4.3,
                                         approving the Transactions;

 

		(b)	an
                                         amount equal to the Closing Payment, by wire transfer of immediately available funds
                                         to those bank accounts designated in writing by the Sellers in Schedule A or, if a paying
                                         agent has been appointed, by the Paying Agent, at least two (2) Business Days prior to
                                         the Closing Date;

 

		(c)	the
                                         Convertible Notes and the Registration Rights Agreements, each duly executed by the Purchaser;

 

		(d)	a
                                         certificate, dated as of the Closing Date, signed by a duly authorized officer of the
                                         Purchaser, reasonably to the satisfaction of the Seller.

 

		(e)	such
                                         other customary documents, instruments or certificates as shall be reasonably requested
                                         by the Sellers Representative and as shall be consistent with the terms of this Agreement.

 

		5.	Representations
                                         and Warranties of the Purchaser.

 

Except
(i) as set forth in the Purchaser SEC Documents (excluding any risk factor disclosures contained in the "Risk Factors"
section thereof), but other than with respect to Sections 5.1-5.3 and 5.8, and (ii) as set forth on Schedule 5, the Purchaser
hereby represents and warrants to the Sellers that:

 

		5.1.	Organization
                                         and Good Standing. Purchaser is a company duly organized and validly existing
                                         under the laws of the State of Israel and has all requisite corporate power and authority
                                         to own, lease and operate properties and carry on its business.

 

		5.2.	Authorization
                                         of Agreement. Purchaser has full corporate power and authority to execute
                                         this Agreement and each other agreement, document, or instrument or certificate contemplated
                                         to be executed or delivered by the Purchaser under this Agreement, including the Convertible
                                         Note and the Registration Rights Agreement (together, the “Purchaser Documents”),
                                         and to consummate the Transactions. The execution and performance by Purchaser of this
                                         Agreement and the Purchaser Documents have been duly authorized by all necessary corporate
                                         action on behalf of Purchaser, and no shareholder approval is required by Purchaser for
                                         the execution or performance of any Purchaser Document. This Agreement has been, and
                                         each of the Purchaser Documents will be at or prior to the Closing Date, duly executed
                                         by Purchaser and (assuming the due authorization, execution and delivery by the other
                                         Parties hereto) this Agreement constitutes, and the Company Documents when executed will
                                         constitute, the legal, valid and binding obligation of Purchaser, enforceable against
                                         Purchaser in accordance with their respective terms, subject to applicable bankruptcy,
                                         insolvency, reorganization, moratorium and similar laws affecting creditors’ rights
                                         and remedies generally, and subject, as to enforceability, to general principles of equity,
                                         including principles of commercial reasonableness, good faith and fair dealing (regardless
                                         of whether enforcement is sought in a proceeding at law or in equity).
                                         

 

		5.3.	Conflicts;
                                         Consents. None of the execution by Purchaser of this Agreement, the consummation
                                         of the Transactions, or compliance by Purchaser with any of the provisions hereof will
                                         conflict with, or result in any violation of or default (with or without notice or lapse
                                         of time, or both) under, or give rise to a right of termination, cancellation, modification,
                                         payment or acceleration, or result in the creation of any Lien on any of the properties
                                         or assets of the Purchaser under, any provision of (i) the organizational documents
                                         of Purchaser; (ii) any Contract or Permit to which Purchaser is a party or by which
                                         any of the properties or assets of Purchaser are bound; (iii) any Order of any Governmental
                                         Authority applicable to Purchaser or by which any of the properties or assets of Purchaser
                                         are bound; or (iv) any applicable Law, except in the case of clauses (ii)-(iv), that
                                         would prevent or materially adversely affect the ability of the Purchaser to consummate
                                         the Transactions in accordance with the terms hereof. Other than in connection with the
                                         Antitrust Condition and the MOC Condition, no consent, waiver, approval, Order, Permit
                                         or authorization of, or declaration or filing with, or

 

    8 

     

    

notification
to, any Person or Governmental Authority is required on the part of Purchaser in connection with the execution of this Agreement
or the compliance by Purchaser with any of the provisions hereof, in each case, that would prevent or materially adversely affect
the ability of the Purchaser to consummate the Transactions in accordance with the terms hereof.

 

		5.4.	Litigation.
                                         There are no Legal Proceedings pending or, to the knowledge of Purchaser, threatened
                                         against Purchaser that are reasonably likely to prohibit or restrain the ability of Purchaser
                                         to enter into this Agreement or consummate the Transactions contemplated hereby.

 

		5.5.	Financial
                                         Advisors. No Person has acted, directly or indirectly, as a broker, finder
                                         or financial advisor for Purchaser in connection with the Transactions contemplated by
                                         this Agreement and no Person is entitled to any fee or commission or like payment in
                                         respect thereof.

 

		5.6.	Financing.
                                         Purchaser will have at the Closing sufficient funds to pay the Purchase Price and any
                                         expenses incurred by Purchaser in connection with the Transactions.

 

		5.7.	Solvency.
                                         The Purchaser is not now insolvent, and assuming the accuracy of the representations
                                         set forth in Sections 6 and 7, inasmuch as they affect Purchaser's solvency, it will
                                         not be rendered insolvent immediately following the Transactions.

 

		5.8.	Issuance
                                         of Conversion Shares. The ordinary shares, par value NIS 0.01 per share,
                                         of Purchaser (the "Purchaser Shares"), to be issued to Sellers pursuant
                                         to this Agreement and the Convertible Note (the "Conversion Shares")
                                         have been duly authorized, and when issued in accordance with this Agreement and the
                                         Convertible Note, will be validly issued, fully paid and nonassessable and free and clear
                                         of any Lien (except to the extent that such rights are limited by this Agreement and
                                         the other Transaction Documents, Purchaser's organizational documents, the terms of the
                                         licenses issued by the MOC and applicable Laws). 

 

		5.9.	Public
                                         Filings. Purchaser has timely filed with or otherwise furnished to the SEC
                                         all forms, reports, schedules, statements and other documents required to be filed or
                                         furnished by it under the Securities Exchange Act of 1934, as amended (the "Exchange
                                         Act") since January 1, 2015 together with all certifications required pursuant
                                         to the Sarbanes-Oxley Act (these documents, as supplemented or amended since the time
                                         of filing, and together with all information incorporated by reference therein and schedules
                                         and exhibits thereto, the “Purchaser SEC Documents”). As of their
                                         respective filing dates, the Purchaser SEC Documents (or, if filed after the date hereof
                                         and before the Closing, will) comply in all material respects with the requirements of
                                         the Securities Act and the Exchange Act and the rules and regulations of the SEC thereunder,
                                         as the case may be. Purchaser has delivered or made available to the Company and Sellers
                                         (including through the SEC EDGAR system) accurate copies of the Purchaser SEC Documents.

 

		5.10.	Acknowledgment.
                                         Notwithstanding anything contained in this Agreement to the contrary, Purchaser acknowledges
                                         and agrees that neither the Company nor any Seller is making any representations or warranties
                                         whatsoever, express or implied, beyond those expressly given by the Company and the Sellers,
                                         as the case may be, in Sections ‎6
                                         and ‎7 (as modified
                                         by the Schedules thereto) or any Closing certificate delivered pursuant hereto.

 

		6.	Representations
                                         and Warranties of the Sellers.

 

Except
as set forth on Schedule 6, each Seller represents and warrants, severally and not jointly, to the Purchaser as follows in respect
of itself and not in respect of any other Seller:

 

		6.1.	Organization
                                         and Power. Each Seller which is not an individual is duly organized and validly
                                         existing (and, where such concept is recognized, in good standing) under the laws of
                                         the jurisdiction in which it is organized and has all requisite power and authority to
                                         own, lease and operate its properties and to carry on its business as now conducted.
                                         Each Seller has all requisite power and authority to enter into this Agreement and to
                                         carry out its obligations hereunder.

 

		6.2.	Authorization.
                                         Each Seller has all requisite power, authority and legal capacity to execute this Agreement
                                         and each other agreement, document, or instrument or certificate contemplated to be executed
                                         or delivered by the Seller under this Agreement, including the Convertible Note and the
                                         Registration Rights Agreement (together, the “Seller Documents”),
                                         and to

 

    9 

     

    

consummate
the Transactions. The execution of this Agreement, and the Seller Documents and consummation of the Transactions has been duly
authorized by all required action on the part of such Seller. This Agreement has been, and each of the Seller Documents will be
at or prior to the Closing Date, duly and validly executed by such Seller, and (assuming the due authorization, execution by the
other parties hereto and thereto) this Agreement constitutes, and the Company Documents when executed will constitute, the legal,
valid and binding obligation of such Seller, enforceable against such Seller in accordance with their respective terms, subject
to applicable bankruptcy, insolvency, reorganization, moratorium and similar laws affecting creditors’ rights and remedies
generally, and subject, as to enforceability, to general principles of equity, including principles of commercial reasonableness,
good faith and fair dealing (regardless of whether enforcement is sought in a proceeding at law or in equity).

 

		6.3.	No
                                         Conflict.

 

		(a)	None
                                         of the execution by such Seller of this Agreement, the consummation of the transactions
                                         contemplated hereby or thereby, or compliance by such Seller with any of the provisions
                                         hereof will conflict with, or result in any violation of or default (with or without
                                         notice or lapse of time, or both) under, or give rise to a right of termination, cancellation,
                                         modification, payment or acceleration, or result in the creation of any Lien on any of
                                         the properties or assets of the Seller, under, any provision of (i) organizational
                                         documents of such Seller (if such Seller is not an individual); (ii) any Contract,
                                         or Permit to which such Seller is a party or by which any of the properties or assets
                                         of such Seller is bound; (iii) any Order of any Governmental Authority applicable to
                                         such Seller or by which any of the properties or assets of such Seller are bound; or
                                         (iv) any applicable Law, in each case, that would limit, prevent or adversely affect
                                         the ability of such Seller to consummate the Transactions.

 

		(b)	Other
                                         than the Antitrust Condition and the MOC Condition, no consent, waiver, approval, Order,
                                         Permit or authorization of, or declaration or filing with, or notification to, any
                                         Person or Governmental Authority is required on the part of such Seller in connection
                                         with the execution of this Agreement, the compliance by such Seller with any of the provisions
                                         hereof, or the consummation of the Transactions contemplated hereby, in each case, that
                                         would limit, prevent or adversely affect the ability of such Seller to consummate the
                                         Transaction, and perform its or their obligations thereunder.

 

		6.4.	Ownership
                                         of Shares.

 

		(a)	Such
                                         Seller is the record and beneficial owner of the Shares indicated as being owned by such
                                         Seller on Schedule A, free and clear of any and all Liens. Such Seller
                                         has the power and authority to sell, transfer, assign and deliver such Shares as provided
                                         in this Agreement, and such delivery will convey to Purchaser good and marketable title
                                         to such Shares, free and clear of any and all Liens. Each Seller has the sole right to
                                         vote or direct the voting of the Shares, at each such Seller’s discretion, on any
                                         matter submitted to a vote of the equity holders of the Company having the right to vote
                                         thereon. 

 

		(b)	There
                                         are no (i) voting trusts, voting agreements, or other arrangements relating to the share
                                         capital of the Company that will continue to be in effect following the Closing, and
                                         (ii) no other Contracts between Seller or its Affiliates and any of the Group Companies.
                                         Each such Seller is not an Affiliate of another Seller. Schedule 6.4 sets forth, with
                                         respect to each Seller who is not an individual each natural Person who is the ultimate
                                         controlling shareholder of such Seller.

 

		6.5.	Litigation.
                                         No pending Legal Proceedings has been commenced or threatened against the Seller that
                                         would challenge, or may have the effect of preventing, delaying, making illegal or otherwise
                                         interfering with, the Transactions or any provisions of this Agreement. Such Seller does
                                         not have any claim against the Company, whether present or future, contingent or unconditional,
                                         fixed or variable under any Contract or on any other basis, which shall not have been
                                         waived or fulfilled as of Closing.

 

    10 

     

    

		6.6.	Financial
                                         Advisors. No Person has acted, directly or indirectly, as a broker, finder
                                         or financial advisor for Seller in connection with the Transactions contemplated by this
                                         Agreement and no Person is entitled to any fee or commission or like payment in respect
                                         thereof.

 

		6.7.	Solvency.
                                         None of the Sellers are now insolvent, and none of them will be rendered insolvent
                                         immediately following the Transactions.

 

		6.8.	Ownership
                                         of Purchaser Shares. None of the Sellers or any of its Affiliates, directly
                                         or indirectly, owns, beneficially or otherwise 1% or more of the Purchaser Shares.

 

		6.9.	Securities
                                         Laws Matters.

 

		(a)	Such
                                         Seller is acquiring the Convertible Note and the Conversion Shares (together, the "Securities")
                                         for such Seller’s own account for investment purposes only and not with a view
                                         to, or for the resale in connection with, any “distribution” thereof for
                                         purposes of the Securities Act.

 

		(b)	Such
                                         Seller is either (i) an "accredited investor" (as defined in Regulation D promulgated
                                         under the Securities Act) or (ii) not a U.S. Person (as defined in Regulation S promulgated
                                         under the Securities Act). 

 

		(c)	Such
                                         Seller can afford to bear the economic risk of holding the Securities. 

 

		(d)	Such
                                         Seller, if not a U.S. Person (as defined in Regulation S promulgated under the Securities
                                         Act), then: (1) only to the extent that such Sellers is not an individual, it was not
                                         organized under the laws of any United States jurisdiction, and was not formed for the
                                         purpose of investing in Securities not registered under the Securities Act, (2) received
                                         all communications relating to the issuance of the Securities, and executed all documents
                                         relating thereto, outside the United States and, on the date hereof, is outside the United
                                         States, (3) it is not acquiring the Securities for the account or benefit of any U.S.
                                         Person, and (4) it will not offer or sell any of the Securities in the United States,
                                         to or for the account or benefit of a U.S. Person other than in accordance with Regulation
                                         S or pursuant to an effective registration statement under the Securities Act or any
                                         available exemption therefrom and, in any case, in accordance with applicable state securities
                                         laws. 

 

		(e)	Such
                                         Seller understands that the Securities have not been registered under the Securities
                                         Act and will be issued in reliance upon a specific exemption therefrom, which exemption
                                         depends upon, among other things, the bona fide nature of its investment intent as expressed
                                         herein. Such Seller understands that the Securities are “restricted securities”
                                         under the United States federal securities laws and, absent registration, may be resold
                                         without registration under the Securities Act only in very limited circumstances. Such
                                         Seller acknowledges and agrees that the Securities shall bear a legend, substantially
                                         in the form attached hereto as Schedule 6.9.

 

		(f)	In
                                         order to prevent any transfer from taking place in violation of applicable Law, each
                                         Seller hereby agrees that Purchaser may cause a stop transfer order to be placed with
                                         its transfer agent and that Purchaser will not be required to transfer on its books any
                                         Securities that have been sold or transferred in violation of any provision of this Agreement
                                         or applicable Law.

 

		(g)	If
                                         the Seller is neither a "U.S. Person" nor an Israeli resident, he or it hereby
                                         further represent that he/it has satisfied him/itself as to the full observance of the
                                         laws of his/its jurisdiction in connection with any invitation to subscribe for the Securities,
                                         including the legal requirements within his/its jurisdiction for the purchase of the
                                         Securities, if any.

 

		6.10.	Acknowledgment.
Notwithstanding anything contained in this Agreement to the contrary, each Seller acknowledges and agrees that Purchaser is not
making any representations or warranties whatsoever, express or implied, beyond those expressly given by

 

    11 

     

    

the
Purchaser in Section 5 (as modified by the Schedules thereto, if any) or any Closing certificate delivered pursuant hereto.

 

		7.	Representations
                                         and Warranties of the Company.

 

Except
(i) as set forth in Schedule 7 to this Agreement (which shall be arranged in paragraphs corresponding to the numbered and lettered
paragraphs contained in this Section; it being understood that each such disclosures shall qualify (A) the corresponding
paragraph in this Section and (B) the other paragraphs in this Section to the extent reasonably apparent from a reading of
such disclosure that it also qualifies or applies to such other paragraphs), and (ii) solely with respect to Sections 7.3(b),
7.7, 7.8, 7.10 (a) through (c), 7.12, 7.14 and 7.19), no disclosure shall be required to be made with respect to those matters
to the extent directly arising under any Contracts or legal proceedings between the Company and the Purchaser, the Company hereby
represents and warrants to the Purchaser as follows:

 

		7.1.	Organization
                                         and Qualification. The Company is duly organized and validly existing under
                                         the laws of the State of Israel and has all requisite corporate power and authority to
                                         own, lease and operate its properties and to carry on its business as now conducted.
                                         The Company is duly qualified, licensed or admitted to do business in each jurisdiction
                                         in which the nature of its business or the ownership, leasing, license, use or operation
                                         of its assets and properties makes such qualification, licensing or admission necessary,
                                         except where the failure to be so qualified, licensed or admitted would not constitute
                                         a Material Adverse Effect.

 

		7.2.	Authorization.
                                         The Company has all requisite power and authority to execute this Agreement and each
                                         other agreement, document, or instrument or certificate contemplated to be executed or
                                         delivered by the Company under this Agreement (together, the “Company Documents”),
                                         and to consummate the Transactions contemplated hereby. The execution of this Agreement
                                         and the Company Documents and the consummation of the Transactions have been duly authorized
                                         by all requisite corporate action on the part of the Company. This Agreement has been,
                                         and each of the Company Documents will be at or prior to the Closing Date, duly and validly
                                         executed by the Company and (assuming the due authorization and execution by the other
                                         parties hereto and thereto) this Agreement constitutes, and the Company Documents when
                                         executed will constitute, the legal, valid and binding obligations of the Company, enforceable
                                         against it in accordance with their respective terms, subject to applicable bankruptcy,
                                         insolvency, reorganization, moratorium and similar laws affecting creditors’ rights
                                         and remedies generally, and subject, as to enforceability, to general principles of equity,
                                         including principles of commercial reasonableness, good faith and fair dealing (regardless
                                         of whether enforcement is sought in a proceeding at law or in equity). The copies of
                                         the organizational documents of the Company attached hereto as Schedule 7.2
                                         are true, complete and correct copies of such documents as in effect on the date of this
                                         Agreement, and the Company is not in violation of any provision thereof.

 

		7.3.	Conflicts;
                                         Consents of Third Parties.

 

		(a)	None
                                         of the execution by the Company of this Agreement or the Company Documents, the consummation
                                         of the transactions contemplated hereby or thereby, or compliance by the Company with
                                         any of the provisions hereof will conflict with, or result in any violation of or default
                                         under, or give rise to a right of termination, cancellation, modification, payment or
                                         acceleration, or result in the creation of any Lien on any of the properties or assets
                                         of the Group Companies under, any provision of (i) the organizational documents
                                         of any of the Group Companies; (ii) any Contract, or Permit to which any Group Company
                                         is a party or by which any of the properties or assets of the Group Companies are bound;
                                         (iii) any Order of any Governmental Authority applicable to the Company or any Subsidiary
                                         or by which any of the properties or assets of a Group Company are bound; or (iv) any
                                         applicable Law, other than, in the case of clauses (ii), (iii) and (iv), such conflicts,
                                         violations, defaults, terminations or cancellations, that would not have a Material Adverse
                                         Effect.

 

    12 

     

    

		(b)	No
                                         consent, waiver, approval, Order, Permit or authorization of, or declaration or filing
                                         with, or notification to, any Person or Governmental Authority is required on the
                                         part of the Company or any Subsidiary in connection with the execution of this Agreement
                                         or the Company Documents or the compliance by the Company with any of the provisions
                                         hereof or thereof, or the consummation of the transactions contemplated hereby or thereby,
                                         except (A) in connection with the Antitrust Condition and the MOC Condition; and (B)
                                         for such consents, waivers, approvals, Orders, Permits or authorizations the failure
                                         of which to obtain would not have a Material Adverse Effect.

 

		7.4.	Capitalization.
                                         The authorized capital of the Company consists of 1,000,000 ordinary shares, NIS 0.01
                                         par value per share (the “Ordinary Shares”). As of the date hereof,
                                         there are 20,000 Ordinary Shares issued and outstanding, all of which are, and shall
                                         be at Closing, owned beneficially and of record by Sellers as set forth in Schedule
                                         A. All of the issued and outstanding Ordinary Shares were duly authorized for issuance
                                         and are validly issued, fully paid and non-assessable. There is no existing option, warrant,
                                         call, right, or Contract of any character to which the Company, or to its knowledge,
                                         any other Person, is a party requiring, and there are no securities of the Company outstanding
                                         which upon conversion or exchange would require, the issuance, of any shares of capital
                                         stock of the Company or other securities convertible into, exchangeable for or evidencing
                                         the right to subscribe for or purchase shares of capital stock of the Company. The Company
                                         is not a party to any voting trust or other Contract with respect to the voting, redemption,
                                         sale, transfer or other disposition of the Common Stock of the Company. There are no
                                         declared or accrued but unpaid dividends with respect to any Company capital stock. The
                                         Company does not own any share capital of the Company.

 

		7.5.	Subsidiaries.

 

		(a)	Schedule
                                         ‎7.5‎(a) sets forth the name of each Subsidiary, and, with respect
                                         to each Subsidiary, the jurisdiction in which it is incorporated, the number of shares
                                         of its authorized capital stock, the number and class of shares thereof issued and outstanding,
                                         the names of all stockholders or other equity owners and the number of shares of stock
                                         owned by each stockholder or the amount of equity owned by each equity owner. Each Subsidiary
                                         is duly organized and validly existing (and, where such concept is recognized, is in
                                         good standing) under the laws of the jurisdiction of its incorporation or organization.
                                         Each Subsidiary is duly qualified, licensed or admitted to do business in each jurisdiction
                                         in which the nature of its business or the ownership, leasing, license, use or operation
                                         of its assets and properties makes such qualification, licensing or admission necessary,
                                         except where the failure to be so qualified, licensed, or admitted would not have a Material
                                         Adverse Effect. Each Subsidiary has all requisite power and authority to own, lease and
                                         operate its properties and carry on its business as now conducted.

 

		(b)	The
                                         outstanding shares of each Subsidiary are validly issued, fully paid and non-assessable,
                                         and all such shares or other equity interests are owned by the Company free and clear
                                         of any and all Liens. There is no existing option, warrant, call, right or Contract to
                                         which any Subsidiary or the Company is a party requiring, and there are no convertible
                                         securities of any Subsidiary outstanding which upon conversion would require, the issuance
                                         of any shares of capital stock or other equity interests of any Subsidiary or other securities
                                         convertible into shares or other equity interests of any Subsidiary. Other than the Subsidiaries,
                                         the Company (directly or through its Subsidiaries) does not own or control and has never
                                         owned or controlled, directly or indirectly, any equity or similar interest in, or have
                                         any commitment or obligation to invest in, any corporation, partnership, joint venture
                                         or other business association or entity.

 

		7.6.	Financial Statements.

 

		(a)	Attached as Schedule
7.6(a)(1) hereto, and except as stated in Schedule 7.6(a)(2), are true, correct and complete copies of (i)
the audited non consolidated balance sheets, including the related audited statements of income, and stockholders’ equity,
of each

 

    13 

     

    

			of the Company and its
Subsidiaries as at, and for the periods ended, December 31, 2013 and 2014, together with the audit opinion thereon of Raviv Lavi
(the “CPA”), and (ii) the unaudited balance sheets of each of the Company and its Subsidiaries
as at September 30, 2015 (such audited and unaudited statements, including the related notes and schedules thereto, are referred
to herein as the “Financial Statements”). Each of the Financial Statements has been prepared in accordance
with GAAP consistently applied and presents fairly in all material respects the financial positions, results of operations and
cash flows of the Company and its Subsidiaries as at the dates and for the periods indicated therein (except, in the case of interim
Financial Statements, the absence of notes thereto).

 

		(b)	The
                                         Company (i) makes and keeps accurate books and records that fairly reflect in all material
                                         respects the transactions and dispositions of assets of the Group Companies, and (ii)
                                         maintains internal accounting controls which provide reasonable assurance that transactions
                                         are recorded as necessary to permit preparation of its financial statements in conformity
                                         with GAAP. In the past three years, there has been no disagreement with the CPA in connection
                                         with any matter of accounting principles or practices, financial statement disclosure
                                         or auditing scope or procedure and no dismissal of independent auditors in connection
                                         therewith. There are no off balance sheet arrangements that have or are reasonably likely
                                         to have a current or future effect on the financial condition, including results of operations
                                         and liquidity, of the Group Companies.

 

		(c)	Schedule
                                         7.6(c) sets forth a true, complete and correct list of all Company Debt as of
                                         October 31, 2015.  

 

		(d)	Schedule
                                         7.6(d) shows a true and correct calculation of the Company Indebtedness, EBITDA,
                                         Revenues and number of Active Customers, all prepared in accordance the same procedures
                                         of Section 3.4, but as if the Closing was conducted (i) as of September 30, 2015 (the
                                         EBITDA and Revenues for the three-month period ending on such date being referred to
                                         herein as the "Q3 EBITDA" and “Q3 Revenues”, respectively)
                                         and (ii) with respect to Active Customers (such Active Customers being referred to herein
                                         as the "Signing Active Customers"), as of October 31, 2015. The Closing
                                         EBITDA properly reflects the required calculation of EBITDA as set forth in Section 3.4(a)
                                         above, based upon the Company's management accounts as of the relevant date.

 

		(e)	All
                                         accounts receivable that are reflected on the Financial Statements or the Closing Statement
                                         represent valid and bona fide obligations arising from sales actually made or services
                                         actually performed by the Group Companies.  Except to the extent paid prior to the
                                         Closing Date, such accounts receivable are as of the Closing Date current (in all but
                                         de minimis respects) and collectible net of the reserves shown on the Financial
                                         Statements or the Closing Statement (which reserves are adequate and calculated in accordance
                                         with GAAP) and, to the Knowledge of the Company, all such accounts receivable either
                                         have been or are able to be collected using reasonable commercial efforts, within a reasonable
                                         period of time not to exceed 90 days after the Closing.

 

		(f)	For
                                         the purposes hereof, the unaudited (and unreviewed by the CPA) balance sheets of the
                                         Company and its Subsidiaries as at September 30, 2015 is referred to as the “Balance
                                         Sheets” and September 30, 2015 is referred to as the “Balance Sheet
                                         Date”.

 

		7.7.	No
                                         Undisclosed Liabilities. As of the date hereof, neither the Company nor any
                                         Subsidiary has any Liabilities of any kind that would have been required to be reflected
                                         in, reserved against or otherwise described on the Balance Sheet or in the notes thereto
                                         in accordance with GAAP and were not so reflected, reserved against or described, other
                                         than (i) Liabilities incurred in the ordinary course of business after the Balance Sheets
                                         Date, (ii) Liabilities incurred in connection with the Transactions contemplated hereby
                                         that constitute part of the Transaction Expenses, or (iii) Liabilities that would not
                                         be reasonably expected to exceed, in the aggregate, more than NIS 1,000,000.

 

    14 

     

    

		7.8.	Absence
                                         of Certain Developments. Since the Balance Sheets Date (a) except
                                         as contemplated by this Agreement, the Company and its Subsidiaries have conducted their
                                         respective businesses only in the ordinary course of business; (b) there has not been
                                         any event, change, occurrence or circumstance that has had a Material Adverse Effect;
                                         and (c) and there has not been any (i) damage, destruction or other casualty loss with
                                         respect to any material asset or material property owned, leased or otherwise used by
                                         the Group Companies; (ii) declaration, setting aside or payment of any dividend or other
                                         distribution in respect of the capital stock of the Company or any other payment to the
                                         Sellers or their Affiliates; (iii) incurrence, assumption or guarantee by the Company
                                         of any Company Indebtedness more than NIS 1,000,000 in the aggregate; (iv) creation or
                                         assumption by the Group Companies of any Lien (other than Permitted Liens); (v) change
                                         by the Company in its accounting principles, practices or methods, except as required
                                         by concurrent changes in GAAP; (vi) any increase of, or an undertaking for, any increase
                                         in the compensation payable or that could become payable by the Group Companies to any
                                         of its employees, officers or directors, other than increases that do not exceed, in
                                         the aggregate, NIS 1,000,000 per annum; (vii) any capital expenditures or commitments
                                         therefor that exceed, in the aggregate, NIS 1,000,000; (viii) termination or creation
                                         of any Material Contract, or any material amendments thereto or defaults thereunder;
                                         or (ix) (A) acceleration of the payment of customer accounts receivables (including shortening
                                         payment terms, providing incentives for early payment or otherwise) or (B) delaying of
                                         the payment on accounts payable to suppliers, vendors or others beyond due dates; or
                                         (C) varying any inventory purchasing practices, in each case, in any material respect
                                         from past practices. .

 

		7.9.	Taxes.
                                         Each of the Company and its Subsidiaries has timely filed all Tax Returns and reports
                                         required to be filed by it, and all Taxes required to be paid by it have either been
                                         paid or are reflected in accordance with GAAP as a reserve for Taxes on the most recent
                                         Financial Statements, and all such returns and reports are correct and complete, or valid
                                         requests for extensions to file such returns or reports have been timely filed, granted
                                         and have not expired, except to the extent that such failures to file, to pay or to have
                                         extensions granted that remain in effect individually or in the aggregate have not had
                                         and would not reasonably be expected to materially and adversely affect the Group Companies
                                         as a whole, and the Financial Statements reflect an adequate reserve for all Taxes payable
                                         by the Company and its Subsidiaries for all taxable periods and portions thereof through
                                         the date of such Financial Statements. No deficiencies for any Taxes have been proposed,
                                         asserted or assessed in writing against the Company or any of its Subsidiaries that are
                                         still pending. No requests for waivers of the time to assess any such Taxes have been
                                         made in writing that are still pending. All assessments for Taxes due with respect to
                                         any concluded litigation have been fully paid or have been adequately reserved on the
                                         Financial Statements in accordance with GAAP. Neither the Company nor any of its Subsidiaries
                                         is liable for the Taxes of any other person as a result of any indemnification provision,
                                         Tax sharing or other contractual obligation (“Tax Sharing Agreements”).
                                         There are no Liens with respect to material Taxes upon any of the assets or properties
                                         of the Group Companies, other than with respect to Taxes not yet due and payable or being
                                         contested in good faith by appropriate proceedings and listed on Schedule 7.9.
                                         Neither the Company nor any of its Subsidiaries is subject to any restrictions or limitations
                                         pursuant to Part E2 of the Israeli Tax Ordinance or pursuant to any Tax ruling made with
                                         reference to the provisions of such Part E2. The Group Companies have duly collected
                                         all amounts on account of any VAT required by applicable Tax Laws to be collected by
                                         it, and has duly and timely remitted to the appropriate Taxing Authority any such amounts
                                         required by applicable Tax Law. The Group Companies are not subject to any restrictions
                                         or limitations pursuant to any Tax ruling issued by a Taxing Authority. All Taxes that
                                         the Group Companies were required by Law to withhold or collect have been duly withheld
                                         or collected and, to the extent required, have been properly paid to the appropriate
                                         Taxing Authority. This Section 7.9 represents the sole and exclusive representation and
                                         warranty of the Company regarding tax matters.

 

		7.10.	Real
                                         Property; Title to Assets.

 

    15 

     

    

		(a)	The
                                         Company does not own any real property. Schedule ‎7.10 sets
                                         forth a complete list of all leases of real property by the Company or a Subsidiary
                                         (the “Real Property Leases”). Neither the Company nor any Subsidiary
                                         has received any written notice of any default or event that with notice or lapse of
                                         time, or both, would constitute a material default by the Company or any Subsidiary under
                                         any of the Real Property Leases.

 

		(b)	The
                                         Group Companies have good and valid title or, in the case of leased assets (other than
                                         real property), a valid leasehold interest, free and clear of all Liens, except for immaterial
                                         Liens, to all of its tangible property and assets, and such property and equipment is
                                         in good operating condition and repair, subject to normal wear and tear, in all material
                                         respects and are adequate for the uses to which they are being put and have been maintained
                                         and serviced in accordance with prudent practice and in material compliance with all
                                         applicable Laws.

 

		(c)	With
                                         respect to the assets and property that are leased, the Group Companies are in compliance
                                         with all provisions of such leases in all material respects,

 

		(d)	The
                                         property and assets (tangible or not) owned or leased by the Group Companies are (and
                                         immediately following the Closing will be) sufficient for the operation of the business
                                         of the Group Companies as currently conducted.

 

		7.11.	Intellectual
Property. The Company and its Subsidiaries own or have valid licenses to use all Intellectual Property used by them
in, or necessary for, the conduct of their businesses (the "Company Intellectual Property") in all material respects.
To the Knowledge of the Company, (i) the material Company Intellectual Property does not infringe, misappropriate or otherwise
violate the Intellectual Property Rights of a third party and (ii) neither the Company nor any Subsidiary has received any written
notice of any default or any event that with notice or lapse of time, or both, would constitute a default under any material Company
Intellectual Property license to which the Company or any Subsidiary is a party or by which it is bound.

 

		7.12.	Material
                                         Contracts. 

 

		(a)	Schedule
                                         ‎7.12‎(a)
                                         sets forth all of the following Contracts to which the Company or any of its Subsidiaries
                                         is a party or by which it is bound (all such Contracts required to be set forth therein,
                                         collectively, the “Material Contracts”):

 

		(i)	Contracts
                                         with any Seller or any current (or former, if obligations under such Contract are still
                                         outstanding) officer or director of the Company or any of its Subsidiaries;

 

		(ii)	Contracts
                                         for the sale of any of the assets of the Company or any of its Subsidiaries (other than
                                         the sale of products or services in the ordinary course of business), for consideration
                                         in excess of NIS 1,000,000 in the aggregate;

 

		(iii)	Contracts
                                         relating to the acquisition by the Company or any of its Subsidiaries of any operating
                                         business or the share equity of any other Person, in each case for consideration in excess
                                         of NIS 1,000,000 in the aggregate;

 

		(iv)	Contracts
                                         relating to the incurrence of Indebtedness, or the making of any loans, in each case
                                         involving amounts in excess of NIS 1,000,000 in the aggregate;

 

		(v)	Contracts
                                         which involve the expenditure of more than NIS 2,000,000 in the aggregate or require
                                         performance by any party more than one year from the date hereof that, in either case,
                                         are not terminable by the Company or a Subsidiary without penalty on notice of 120 days’
                                         or less;

 

		(vi)	Contracts
                                         granting or evidencing a Lien (other than Permitted Liens) on any of the material properties
                                         or assets of the Group Companies; and

 

		(vii)	Contracts
                                         (A) limiting or purporting to limit the ability of the Company to engage in any line
                                         of business or to compete with any Person or in any geographical area, (B) granting or
                                         purporting to grant any exclusive rights to any Person, (C) containing any future royalty
                                         payments, or (D) containing any “most

 

    16 

     

    

favored
nation” or “most favored customer” terms or similar “best pricing” provisions.

 

		(b)	Neither
                                         the Company nor any Subsidiary has received any written notice of any default or event
                                         that with notice or lapse of time, or both, would constitute a default by the Company
                                         and its Subsidiaries under any Material Contract, except for immaterial defaults. Each
                                         Material Contract is in full force and effect and is not subject to any material default
                                         on the part of Group Companies, and to the knowledge of the Seller, no other party to
                                         such contracts is in material default with respect thereto.

 

		7.13.	Employees.

 

		(a)	Neither
                                         the Company nor any of its Subsidiaries is, or, to the Company's Knowledge, is in the
                                         process of becoming, a party to any labor or collective bargaining agreement, nor party
                                         to any Contract relating to the membership of, or participation by the Company or any
                                         of its Subsidiaries in, or the affiliation of it with, any industry standards group or
                                         association.

 

		(b)	There
                                         are no, and to the Company's actual knowledge, there will not be as a result of the Transactions,
                                         (i) strikes, work stoppages, work slowdowns or lockouts pending or threatened against
                                         or involving the Company or any of its Subsidiaries, or (ii) unfair labor practice charges,
                                         grievances or complaints pending or, to the Knowledge of the Company, threatened by or
                                         on behalf of any employee or group of employees of the Company or any of its Subsidiaries.

 

		(c)	The
                                         Group Companies are in compliance in all material respects with applicable Laws (including
                                         any Orders) and Contracts relating to (i) the employment of their employees and (ii)
                                         to the proper withholding and remission to the proper tax authorities or to the proper
                                         withholding or contribution and remission to the proper pension or provident, life insurance,
                                         disability insurance, continuing education or other similar funds of all sums required
                                         to be withheld, contributed or remitted, legally or contractually.

 

		(d)	Schedule
                                         7.13(d) is a true and accurate summary of the compensation terms of each of the
                                         Key Employees (without specifying the identities thereof), including position/title,
                                         location, salary, commissions (if any), company car, entitlement of vacation days and
                                         accrual, notice of termination period, and any outstanding loans. To the Company's Knowledge,
                                         as of the date of this Agreement, no Key Employee intends to terminate his employment
                                         within the next 12 months.

 

		(e)	The
                                         employment of each Employee is subject to termination upon up to thirty (30) days’
                                         prior written notice under the termination notice provisions included in the applicable
                                         engagement Contract with such Employee or applicable Law.

 

		(f)	A
                                         list of all Benefit Plans maintained by the Group Companies is attached as Schedule
                                         7.13(f) hereto. Each Benefit Plan is in material compliance with all applicable
                                         Laws and has been administered and operated in all material respects in accordance with
                                         its terms. 

 

		7.14.	Litigation.
                                         There are no Legal Proceedings pending or, to the Knowledge of the Company, threatened
                                         against the Company, its Subsidiaries or its directors or officers (in their capacities
                                         as such) before any Governmental Authority, which, if adversely determined, would have
                                         a Material Adverse Effect or would result in a monetary remedy in excess of NIS 1,000,000
                                         (nor does the Company have knowledge of any basis therefore). Neither the Company nor
                                         any of its Subsidiaries is subject to any Order that has a Material Adverse Effect.

 

		7.15.	Compliance
                                         with Laws; Permits.

 

		(a)	The
                                         Company and its Subsidiaries are in compliance with all Laws applicable to their respective
                                         businesses or operations, except where the failure to be in compliance would

 

    17 

     

    

not
have a Material Adverse Effect. Neither the Company nor any Subsidiary has received any written notice of or been charged with
the violation of any Laws, except where such violation would not have a Material Adverse Effect.

 

		(b)	The
                                         Company and its Subsidiaries currently have all Permits which are required for the operation
                                         of their respective businesses as presently conducted, except where the absence of which
                                         would not have a Material Adverse Effect. Neither the Company nor any of its Subsidiaries
                                         is in material default or violation (and no event has occurred which, with notice or
                                         the lapse of time or both, would constitute a default or violation) of any term, condition
                                         or provision of any Permit to which it is a party, except where such default or violation
                                         would not have a Material Adverse Effect

 

		7.16.	Environmental
                                         Matters.

 

		(a)	the
                                         operations of the Company and each of its Subsidiaries are in compliance, in all material
                                         respects, with all applicable Environmental Laws and all Permits issued pursuant to Environmental
                                         Laws or otherwise;

 

		(b)	the
                                         Company and each of its Subsidiaries has obtained all material Permits required under
                                         all applicable Environmental Laws necessary to operate its business;

 

		(c)	neither
                                         the Company nor any of its Subsidiaries is the subject of any outstanding material Order
                                         or Contract with any Governmental Authority respecting Environmental Laws;

 

		(d)	neither
                                         the Company nor any of its Subsidiaries has received any written communication alleging
                                         that the Company or any of its Subsidiaries may be in material violation of any Environmental
                                         Law or any Permit issued pursuant to Environmental Law, or may have any material liability
                                         under any Environmental Law; and

 

		(e)	to
                                         the Knowledge of the Company, there are no investigations of the businesses of the Company
                                         or any of its Subsidiaries, or currently or previously owned, operated or leased property
                                         of the Company or any of its Subsidiaries pending or threatened which would reasonably
                                         be expected to result in the imposition of any material liability pursuant to any Environmental
                                         Law, nor is there any basis therefor.

 

		7.17.	Interested
                                         Party Transactions. No shareholder holding at least 4% of the Company or
                                         anyone controlling such shareholder, officer or director of the Company (i) owns or holds,
                                         directly or indirectly, any interest in (except holdings solely for passive investment
                                         purposes of securities of publicly held and traded entities constituting less than five
                                         percent (5%) of the equity of any such entity or of portfolio companies for which the
                                         officers and directors are not officers and directors of the Company), or (ii) is an
                                         officer, director, Employee or consultant of any Person that is, a competitor, lessor,
                                         or supplier of the Company. No officer, director or stockholder of the Company (and in
                                         the case of clause (ii), any Employee) (i) has any interest in any property, real or
                                         personal, tangible or intangible, used in or pertaining to the business of the Company
                                         or (ii) is indebted to the Company, nor is the Company indebted other than the Shareholders
                                         Loans (or committed to make loans or extend or guarantee credit) to any of them.

 

		7.18.	Insurance.
                                         The Group Companies have insurance against the types of risks and losses usually
                                         insured against by companies carrying on the same or a similar business, and in amounts
                                         and with such coverage limits as are generally appropriate to such businesses. Without
                                         prejudice to the generality of the foregoing, the insurance policies of the Group Companies
                                         (i) are all provided by a well-established and reputable insurer(s) and insure the Company
                                         against the risk of accident, damage, injury, third party loss (including product liability),
                                         subject to the terms of the policies (ii) are in full force and effect, all premiums
                                         due and payable to date thereunder have been paid and the applicable Group Company is
                                         otherwise in compliance in all material respects with the terms thereof, and (iii) are
                                         fully compliant with the terms of insurance required to be maintained under the MOC License.
                                         

 

    18 

     

    

		7.19.	Major
                                         Suppliers and Customers. Schedule 7.19 sets forth an accurate
                                         and complete list of (i) the ten (10) largest customers of the Company, taken as a whole
                                         (without specifying the identities thereof), by aggregate means of payment (the “Key
                                         Customers”) for each of 2014 and 2015, and (ii) the ten (10) largest suppliers
                                         by expenditures (the “Key Suppliers”) for each of 2014 and 2015. None
                                         of the Key Suppliers or Key Customers has, to the Company's knowledge, indicated to the
                                         Company any intent to discontinue or alter in any manner adverse to the Company the terms
                                         of such Key Supplier’s or Key Customer’s relationship with the Company. The
                                         Company is in compliance with its obligations under each Contract with its Key Customers
                                         and Key Suppliers and in the event such Contract is no longer in effect, the Group Company
                                         was in compliance in all material respects with its obligations thereunder.

 

		7.20.	Financial
                                         Advisors. No Person has acted, directly or indirectly, as a broker, finder
                                         or financial advisor for any Group Company in connection with the Transactions contemplated
                                         by this Agreement and no Person is entitled to any fee or commission or like payment
                                         in respect thereof.

 

		7.21.	Acknowledgment.
                                         Notwithstanding anything contained in this Agreement to the contrary, the Company acknowledges
                                         and agrees that Purchaser is not making any representations or warranties whatsoever,
                                         express or implied, beyond those expressly given by the Purchaser in Section 5 (as modified
                                         by the Schedules thereto, if any) or any Closing certificate delivered pursuant hereto.

 

		8.	Affirmative
                                         Covenants 

 

		8.1.	Conduct
                                         of Business. During the period commencing on the date hereof
                                         and ending on the earlier of the date of valid termination of this Agreement or the Closing
                                         (such earlier date, the “Expiration Date”):

 

		(a)	Except
                                         as otherwise contemplated by this Agreement or with the prior written consent of Purchaser
                                         (which consent may not be unreasonably withheld, delayed or conditioned), the Company
                                         shall, and shall cause its Subsidiaries to (i) conduct their respective businesses in
                                         the ordinary course of business and consistent with past practice; and (ii) use its commercially
                                         reasonable efforts to (A) preserve the present business operations, organization and
                                         goodwill of the Company and its Subsidiaries, and (B) preserve the present relationships
                                         with customers and suppliers of the Company and its Subsidiaries.

 

		(b)	In
                                         furtherance and not in limitation of Section 8.1(a), but subject at all times to applicable
                                         antitrust Laws, except as otherwise expressly contemplated by this Agreement or with
                                         the prior written consent of Purchaser (which consent may not be unreasonably withheld,
                                         delayed or conditioned), the Company shall not, and shall cause its Subsidiaries not
                                         to:

 

		(i)	split,
                                         combine or otherwise modify their share capital, issue or authorize the issuance of new
                                         securities (including Company Options) or transfer of existing securities;

 

		(ii)	amend
                                         the articles of association of any Group Company, except if required following the date
                                         hereof by a Governmental Authority;

 

		(iii)	declare,
                                         set aside, make or pay any dividend or other distribution, including redemption, reclassification
                                         or repurchase, in respect of the share capital of any Group Company;

 

		(iv)	make
                                         any loan or advance to, incur or pay any management, consulting, advisory or other fees
                                         or incur or make any other payments to any Seller, other than payments of management,
                                         consulting, advisory or other fees in accordance with existing Contracts;

 

		(v)	merge
                                         or consolidate with any other Person, enter into any recapitalization, reorganization,
                                         corporate restructuring, liquidation or dissolution or acquire or dispose of any shares,
                                         business or division of a business (including pursuant to an acquisition or disposition
                                         of assets);

 

    19 

     

    

		(vi)	(i)
                                         increase the annual level of compensation of any director or executive officer of any
                                         Group Company, (ii) increase the annual level of compensation payable or to become payable
                                         by a Group Company to any of their respective directors or executive officers, (iii)
                                         grant any unusual or extraordinary bonus, benefit or other direct or indirect compensation
                                         to any director or executive officer, or (iv) increase the annual level of compensation
                                         of any employees of any Group Company, in each case, other than in the ordinary course
                                         of business and consistent with past practices, or, in the event the Company enters into
                                         a collective agreement or similar arrangement with its employees, not in excess of 10%
                                         per year in the aggregate;

 

		(vii)	enter
                                         into, materially amend, become subject to, violate, terminate or otherwise modify or
                                         waive any of the material terms of, any Material Contract (including, for the sake of
                                         clarity, any Contract that would constitute a Material Contract) except in the ordinary
                                         course of business, consistent with past practice;

 

		(viii)	mortgage,
                                         pledge or encumber any of its material assets;

 

		(ix)	enter
                                         into any Contract which sets forth that the consummation of the Transactions shall give
                                         rise to, or trigger the application of, any rights of any third party or any obligations
                                         of the Company or its Subsidiaries that would come into effect upon the Closing;

 

		(x)	(A)
                                         take any action reasonably likely to (i) accelerate the payment of customer accounts
                                         receivables (including shortening payment terms, providing incentives for early payment
                                         or otherwise) or (ii) delay the payment on accounts payable to suppliers, vendors or
                                         others beyond due dates; or (B) vary any inventory purchasing practices in any material
                                         respect from past practices;

 

		(xi)	make
                                         any capital expenditure, other than in the ordinary course of business and consistent
                                         with past practices; 

 

		(xii)	make
                                         any material change to the business of the Company; or

 

		(xiii)	agree
                                         or commit to do anything prohibited by this Section ‎8.1
                                         or take any other action that would reasonably be expected to prevent the Company from
                                         performing, or cause the Company not to perform, any of its covenants and agreements
                                         under this Agreement.

 

		(c)	Nothing
                                         in this Section 8.1 is intended to inhibit or otherwise restrict the Company from conducting
                                         its business in the ordinary course of business. Nothing contained in this Agreement
                                         is intended to give Purchaser, directly or indirectly, the right to control or direct
                                         the Company’s operations prior to the Closing Date or vice versa. Prior to the
                                         Closing, each of the Parties shall exercise, consistent with the terms and conditions
                                         of this Agreement, complete control and supervision over its and its subsidiaries respective
                                         operations. 

 

		8.2.	Access
                                         to Information. Until the Expiration Date, Purchaser shall be entitled,
                                         through its officers, employees and other representatives (including for purposes of
                                         this Agreement, consultants, agents, legal advisors and accountants), to make such investigation
                                         of the properties, businesses, operations, books and records of the Group Companies as
                                         it reasonably requests, and to make extracts and copies of such books and records; provided
                                         that any such investigation and examination shall be conducted during regular business
                                         hours and under reasonable circumstances and shall be subject to restrictions under applicable
                                         Laws (which restrictions may include limitations under applicable antitrust Law). The
                                         Company shall cause the officers, employees, and other representatives of the Group Companies
                                         to cooperate with Purchaser and Purchaser’s representatives in connection with
                                         such investigation and examination, and Purchaser and its representatives shall cooperate
                                         with the Company and its representatives and shall use their reasonable efforts to minimize
                                         any disruption to the business. Notwithstanding anything herein to the contrary, no such
                                         investigation or examination shall (i) be permitted to the extent that it would require
                                         the

 

    20 

     

    

			Company or any of its
Subsidiaries to disclose information relating to matters between the Company and Purchaser which are subject to attorney-client
privilege or conflict with any confidentiality obligations to which any Group Company is bound, and (ii) affect or be deemed to
modify any representation or warranty made by the Company or the Sellers. Subject to applicable Laws, and notwithstanding anything
to the contrary contained herein and without derogating from any provision of the Confidentiality Agreement, prior to the Closing,
without the prior written consent of the Company, (i) Purchaser shall not utilize any Confidential Information provided by or
on behalf of the Company or any Seller to contact any suppliers or customers of, the Company, and (ii) Purchaser shall have no
right to perform invasive or subsurface investigations of the properties or facilities of the Company or any of its Subsidiaries.

 

		8.3.	NRA
                                         etc. By way
                                         of execution of this Agreement, the Parties hereby further agree as follows:

 

		(a)	The
                                         Company shall continue to purchase from the Purchaser national roaming services under
                                         the NRA and, commencing as of October 1, 2015, shall be liable and pay an agreed monthly
                                         fixed consideration of NIS 10.6 million (NIS 10,600,000), plus VAT (the "NRA
                                         Monthly Consideration"), without regard to the traffic used. Purchaser shall
                                         issue monthly invoices for the NRA Monthly Consideration and the Company shall pay the
                                         NRA Monthly Consideration in accordance with the payments terms for the NRA Monthly Consideration
                                         detailed in the NRA.

 

		(b)	As
                                         of January 1, 2016 through the Expiration Date, the Company shall be liable for and pay
                                         monthly sum of NIS 21.0 million (NIS 21,000,000) (referred to as the "Monthly
                                         Consideration") without regard to the traffic used. Purchaser shall issue monthly
                                         invoices for the Monthly Consideration and the Company shall pay the Monthly Consideration
                                         in accordance with the payments terms for the NRA Monthly Consideration detailed in the
                                         NRA.

 

		(c)	If
                                         this Agreement is validly terminated by either of the Parties, then the Purchaser and
                                         the Company shall negotiate in good faith, for a period of 90 days after such termination,
                                         a new network sharing agreement between them ("New NSA") and submit
                                         the same to the approval of the MOC and the Antitrust Authorities; it being understood
                                         that until the MOC and the Antitrust Authorities issue the approvals therefor, the Company
                                         shall to be liable for, and pay, the Monthly Consideration as per the above, independently
                                         of the traffic.

 

		(d)	Notwithstanding
                                         the foregoing, if either (i) the New NSA is not entered into within 90 days after termination
                                         of this Agreement, or (ii) approvals of the MOC and the Antitrust Authorities are not
                                         obtained within six (6) months after the New NSA is signed, then the Company shall revert
                                         to making the payments to Purchaser as agreed under the NRA (which, other than with respect
                                         to payment terms, shall be without giving effect to the letters of May 25, 2014 and September
                                         21, 2014).

 

		(e)	Notwithstanding
                                         anything to the contrary hereunder, within 30 days following the earlier of (i) valid
                                         termination of this Agreement by either of the Parties, for whatever reason, or (ii)
                                         the Cut-Off Date (the earlier of such dates, the "Required Repayment Date"),
                                         the Company shall pay the Purchaser the full amount of Six Hundred Million NIS (NIS 600,000,000)
                                         plus VAT, being the Company's agreed outstanding debt for national roaming services rendered
                                         and to be rendered until December 31, 2015 (the "National Roaming Gap")
                                         (which outstanding gap will not accrue any interest from the date hereof until the Required
                                         Repayment Date), against a valid Tax invoice provided to the Company by the Purchaser.

 

		(f)	Prior
                                         to December 15, 2015, Purchaser shall issue the Company credit for the portion of the
                                         outstanding National Roaming Gap accrued until September 30, 2015. The Company shall
                                         pay all the resulting VAT to the ITA no later than the 15th of the calendar
                                         month following such issuance.

 

		(g)	For
                                         the sake of clarity, the Parties acknowledge that the NSAs are null and void 'ab initio'
                                         and are in no force or effect.

 

    21 

     

    

		8.4.	Antitrust
                                         and MOC Conditions and other Regulatory Approvals.

 

		(a)	Each
                                         Party shall use reasonable commercial efforts to ensure that the Antitrust Condition
                                         and the MOC Condition are fulfilled as soon as possible. The Parties shall co-operate
                                         and, in the case of the Sellers, use reasonable commercial efforts to cause the relevant
                                         Group Companies to co-operate, in order to do so. Without derogating from the generality
                                         of the above, the Parties shall, within fifteen (15) Business Days from the date of this
                                         Agreement, make full and accurate filing with the Antitrust Authorities and the Israeli
                                         Ministry of Communications with respect to the Transactions for the purpose of fulfilling
                                         the Antitrust and MOC Conditions, and supply promptly any additional information and
                                         documentary material requested by the Antitrust Authorities and the Israeli Ministry
                                         of Communications.

 

		(b)	Each
                                         Party shall keep the other Parties regularly informed of the processing of the filings
                                         with the Antitrust Authorities and the Israeli Ministry of Communications, and promptly
                                         inform the other Parties if such Party becomes aware of any matter that may reasonably
                                         result in the fulfillment of the Antitrust or MOC Condition being delayed or denied.

 

		(c)	Without
                                         derogating from the above, each Party will use reasonable commercial efforts to obtain
                                         and comply with all other approvals, actions, waivers, consents and authorizations of
                                         Governmental Authorities necessary for the consummation of the Transactions.
                                         

 

		(d)	Notwithstanding
                                         anything in this Agreement to the contrary, it is expressly understood and agreed that:
                                         (i) each Party shall have the obligation to litigate and contest any adverse administrative
                                         or judicial action or proceeding or any decree, judgment, injunction or other order,
                                         whether temporary, preliminary or permanent in connection with the Governmental Approvals
                                         required for the consummation of the Transactions; and (ii) Purchaser shall not be under
                                         any obligation to make proposals, execute or carry out agreements, enter into consent
                                         decrees or submit to orders of any Governmental Authorities (including the Antitrust
                                         Authorities and the Israeli Ministry of Communications) providing for or imposing any
                                         burdensome conditions or limitations (including divestiture, license or other disposition)
                                         that would lead a reasonable person to conclude that they, individually or in the aggregate,
                                         materially undermine the benefits of the Transactions to Purchaser or materially limits
                                         Purchaser’s rights and ability to conduct its business, including the business
                                         of the Group Companies (any of the foregoing, a “Material Regulatory Restraint”).
                                         The parties agree that if any Governmental Authority does not approve the Transaction,
                                         or a Material Regulatory Restraint (or other restriction or condition that does not constitute
                                         a Material Regulatory Restraint) is imposed as part of any Governmental Approval (as
                                         defined below), they shall consult (subject to applicable Law) each other with respect
                                         to the matter and, to the extent any Party (or both) determines to litigate, appeal and/or
                                         contest the matter, shall cooperate with each other in litigating, appealing and/or contesting
                                         the matter. The Parties acknowledge that the following matters (individually or in the
                                         aggregate) shall not constitute nor will be taken into account when determining] whether
                                         a Material Regulatory Restraint exists: (i) a requirement to maintain the Company as
                                         a separate entity for a period of up to three (3) years following the Closing, (ii) obligation
                                         to return to a Governmental Authority or otherwise lose the rights to frequencies allocated
                                         or granted to the Company, and (iii) limitations or prohibitions imposed upon the usage
                                         of new 058 numbers (excluding limitations or prohibitions in connection with 058 numbers
                                         existing as of the Closing Date).

 

		8.5.	Further
                                         Assurances. Each of Sellers, the Purchaser and the Company shall use
                                         (and the Sellers shall cause the Company to use and the Company shall cause each of its
                                         Subsidiaries to use) its reasonable commercial efforts to (i) take all actions necessary
                                         or appropriate to consummate the Transactions contemplated by this Agreement and (ii)
                                         cause the fulfillment at the earliest practicable date of all of the conditions to their
                                         respective obligations to

 

    22 

     

    

			consummate the Transactions
contemplated by this Agreement, and (iii) notwithstanding the provisions of Section 4.1(ii) above, to consummate the Transactions
contemplated by this Agreement at the earliest reasonable practicable date following fulfillment of such conditions. Without derogating
from the generality of the foregoing, the Company shall use its best efforts to cause the Key Employees to remain with the Company
through Closing and for a period of not less than six (6) months thereafter, provided, however, that with respect to Michael Golan:
he will retained by the Company on a part time basis (in addition to working with other Sellers during such period) for 2 months,
and will reasonably assist the Purchaser and the Company during such transition period.

 

		8.6.	Notification
                                         of Certain Matters. Until the Expiration Date, Sellers and the Company shall
                                         promptly notify Purchaser, and Purchaser shall promptly notify the Company and the Sellers'
                                         Representative, in writing of the discovery of any of the following: (i) any event, condition,
                                         fact or circumstance that occurred or existed on or prior to the date of this Agreement
                                         and that caused or constitutes a material inaccuracy in or breach of any representation
                                         or warranty made by the relevant party in this Agreement; (ii) any event, condition,
                                         fact or circumstance that occurs, arises or exists after the date of this Agreement and
                                         that causes or constitutes, or could reasonably be seen as likely to cause or constitute,
                                         a material inaccuracy in or breach of any representation or warranty made by the relevant
                                         party in this Agreement; (iii) any breach of any material covenant or obligation of the
                                         relevant party; and (iv) any event, condition, fact or circumstance that would make the
                                         timely satisfaction of any of the conditions set forth in Section 9 impossible, unlikely
                                         or postponed. The Sellers shall also have the right to update Schedule 7 in connection
                                         with events occurring between the date hereof and the Closing Date. No such notice or
                                         update (whether the updates to Schedule 7 or pursuant to subsections (i) through (iv)
                                         above) shall have any effect on the satisfaction of or otherwise deem to modify the conditions
                                         to Closing set forth in Section ‎9
                                         nor on the rights of any Party hereunder to any remedy or indemnification (including,
                                         in the case of representations and warranties, not having any effects for the purpose
                                         of determining the accuracy thereof and any indemnification obligation hereunder). Notwithstanding
                                         anything to the contrary, any public filing with the SEC by the Purchaser, shall be deemed
                                         to satisfy the update or notice requirement of the Purchaser under this Section 8.6.
                                         .

 

		8.7.	Non-compete.

 

		(a)	Each
                                         Seller acknowledges that it has and may further become familiar with confidential or
                                         proprietary information concerning the Company and its business. Therefore, in further
                                         consideration for the Purchase Price and the other obligations of Purchaser hereunder,
                                         the Sellers commit that they (including their Affiliates) shall not, directly or indirectly,
                                         either for Seller or for any other Person, either alone or together or in cooperation
                                         with any other Person, Engage (as defined below) in any of the following: TV, broadband
                                         internet, and/or telephony (mobile or fixed, including international long distance and
                                         roaming abroad), all for the Israeli market and/or roaming in Israel for foreign roamers,
                                         such commitment being effective as from the Closing and remaining valid until the expiry
                                         of a three (3) year period following the Closing Date. The term “Engage”
                                         (as well as "Engaging" or "Engagement") means develop, produce, distribute,
                                         market, promote, sell, own, manage, control, provide a license or any other right for,
                                         "Participate” in, consult to, render services for, permit its name to be used,
                                         or in any other manner engage in; and the term “Participate” means
                                         serving as an officer, director, shareholder (except as a shareholder solely for passive
                                         investment purposes of securities of publicly held and traded entities constituting less
                                         than five percent (5%) of the equity of any such entity), manager, employee, partner,
                                         proprietor, agent, representative, franchisor, franchisee, licensor, licensee, creditor
                                         (other than for trade payables in the ordinary course of business) or owner.

 

		(b)	For
                                         a period starting at the Closing and ending two (2) years thereafter, Seller and its
                                         Affiliates (and any representative on their behalf) shall not, directly or indirectly,
                                         (i) encourage, induce or solicit any officer, director, manager, or Key Employee of the
                                         Group Companies or of the Purchaser's Group to leave the employ of the Group

 

    23 

     

    

			Companies or the Purchaser's
Group, as the case may be; (ii) otherwise hire or employ any Person who was an officer, director, manager, or Key Employee of
the Group Companies or the Purchaser's Group at any time during the three (3) month period immediately prior to the date of this
Agreement; or (iii) make any disparaging statements in order to cause any harm to the Company’s or the Purchaser’s
reputation in the market; provided, however, that Sellers shall not be precluded from hiring any such officer, director, manager,
or Key Employee (i) where the Company has terminated such Person's employment following the Closing other than for 'cause', (ii)
in connection with a response by such Person to a general solicitation not targeted at any of the Group Companies' employees,
(including through general searches by use of advertisements or the media which are not directly targeted at such Persons), and
(iii) without derogating from the non-compete undertaking of any Seller, key employee which is a Seller.

 

		(c)	Each
                                         Seller acknowledges and represents that: (i) sufficient consideration has been given
                                         by each party to this Agreement to the other as it relates hereto; (ii) Seller has consulted
                                         with independent legal counsel regarding its rights and obligations under this Section;
                                         (iii) Seller fully understands the terms and conditions contained herein; (iv) the
                                         restrictions and agreements herein are reasonable in all respects and necessary for the
                                         protection of the Company and the other members of the Group Companies and the Purchaser
                                         and its confidential information and goodwill and that, without such protection, the
                                         Group Companies and the Purchaser respective customer and client relationship and competitive
                                         advantage would be materially adversely affected; (v) the agreements herein are
                                         an essential inducement to the Purchaser to enter into this Agreement and they are in
                                         addition to, rather than in lieu of, any similar or related covenants to which Sellers
                                         are party or by which it is bound; and (vi) notwithstanding anything to the contrary
                                         under any Contract or Applicable Law, it is the parties’ intention that the agreements
                                         in this Section be applied and binding upon the Sellers.

 

		(d)	The
                                         parties hereto agree that any breach of the provisions contained in this Section will
                                         result in serious and irreparable injury and therefore money damages would not be an
                                         adequate remedy for any such breach. Therefore, in the event of a breach or threatened
                                         breach of any provisions of this Section that is continuing, the Purchaser and the Company,
                                         their respective successors and assigns and any third-party beneficiary to this Agreement,
                                         in addition to other rights and remedies existing in their favor, shall be entitled to
                                         specific performance or injunctive or other relief in order to enforce, or prevent any
                                         violations of, the provisions hereof.

 

		(e)	Notwithstanding
                                         any other provision of this Agreement, no Seller shall be obligated to make any payment
                                         to any Person due to a breach of this Section ‎8.7
                                         by another Seller.

 

		8.8.	Publicity.

 

		(a)	None
                                         of the Sellers, the Company or Purchaser shall issue any press release or public announcement
                                         concerning this Agreement or the Transactions without obtaining the prior written approval
                                         of the other Parties hereto (with Sellers' approval to be provided by Seller's Representative
                                         on their behalf), which approval will not be unreasonably withheld or delayed, unless,
                                         in the judgment of the Sellers, the Company or Purchaser, as applicable, disclosure is
                                         otherwise required by the disclosing Party or its Affiliates (whether as a result of
                                         ongoing reports or otherwise) by applicable Law (including the applicable rules of any
                                         stock exchange on which such Party lists its securities); provided that, to the extent
                                         permitted by applicable Law, the Party intending to make such release shall use its commercially
                                         reasonable efforts consistent with applicable Law to advise the other Party of such intended
                                         disclosure and the proposed text thereof.

 

		(b)	The
                                         terms of this Agreement shall not be disclosed or otherwise made available to the public
                                         and copies of this Agreement shall not be publicly filed or otherwise made available
                                         to the public, except (1) where such disclosure, availability or filing by the

 

    24 

     

    

disclosing
Party or its Affiliates is required (whether as a result of ongoing reports or otherwise) by applicable Law (including the applicable
rules of any stock exchange on which such Party lists its securities) and only to the extent required by such Law, or to the extent
necessary to fulfill the provisions hereof and (2) with the prior written approval of the other Parties (with Sellers' approval
to be provided by Seller's Representative on their behalf).

 

		8.9.	Confidentiality.

 

		(a)	The
                                         Purchaser shall, and shall procure that, other than as required by applicable Law:

 

		(i)	each
                                         member of the Purchaser’s Group shall keep confidential all Confidential Information
                                         provided to it by or on behalf of any Seller or otherwise obtained by or in connection
                                         with (a) the Agreement, which information relates to a Seller, and (b) until the Closing,
                                         any of the Group Companies;

 

		(ii)	if,
                                         following Closing, any of the Group Companies holds Confidential Information relating
                                         to any of the Sellers, it shall procure that such information shall be confidential and,
                                         to the extent reasonably practicable, shall procure to return that information to the
                                         relevant Seller or destroy it, in each case without retaining copies other than as may
                                         be required by applicable Law or as record retention copies held with the Purchaser's
                                         representatives.

 

		(b)	The
                                         Purchaser and the Company acknowledge that they shall continue to be bound by the Confidentiality
                                         Agreement through the Closing Date and the Sellers acknowledge that they have, and shall
                                         continue to, comply therewith.

 

		(c)	Each
                                         Seller shall:

 

		(i)	keep
                                         confidential all Confidential Information provided to it by or on behalf of any member
                                         of the Purchaser’s Group or otherwise obtained by or in connection with this Agreement,
                                         which information relates to any member of the Purchaser’s Group; and

 

		(ii)	if,
                                         following Closing, any Seller holds Confidential Information relating to any member of
                                         the Purchaser’s Group or any of the Group Companies, it shall keep that information
                                         confidential and, to the extent reasonably practicable, shall return that information
                                         to the Purchaser or the Group Companies or destroy it, in each case without retaining
                                         copies.

 

		(d)	Nothing
                                         in this Section prevents disclosure of Confidential Information by any party (i) to that
                                         Party’s representatives who are made aware of the terms of this clause and such
                                         Party shall use all reasonable endeavors to procure that such representative adheres
                                         to those terms as if he were bound by the provisions of this Section, or (ii) to the
                                         extent required by any court of competent jurisdiction or any competent Governmental
                                         Authority, but a Party required to disclose any such information shall promptly notify
                                         the other relevant party where practicable and to the extent lawful to do so.

 

		8.10.	D&O
                                         Indemnification.

 

		(a)	From
                                         and after the Closing until seven (7) years thereafter, (i) Purchaser will cause the
                                         Company to fulfill and honor the obligations of the Company pursuant to (A) the indemnification
                                         provisions of its Articles of Association as to be amended (only to the extent required
                                         by this Section 8.10(a)) within 14 days from the date hereof, and (B) the D&O indemnification
                                         agreements to be entered into within 14 days from the date hereof with the present officers
                                         and directors of the Company (the “Indemnity Agreements”) listed in
                                         Schedule 8.10 hereto (the “ D&O Indemnitees”) in respect
                                         of acts or omissions in the capacity of such persons as officers and directors, in each
                                         case, with respect to claims arising out of acts or omissions occurring at or prior to,
                                         and including the Closing, which Indemnity Agreements must be reasonably

 

    25 

     

    

			acceptable to Purchaser,
and in any event may not cover claims in the aggregate that exceed the amount of the Run Off Policy, and (ii) unless and to the
extent required by applicable Law, Purchaser will not amend, repeal or modify (and will procure that no successor of Purchaser
will amend repeal or modify) such provisions in any manner that would adversely affect the rights thereunder of such persons.

 

		(b)	In
                                         addition, until the Closing, the Company shall, subject to applicable Law, purchase a
                                         “tail” directors' and officers' liability insurance coverage (the “Run
                                         Off Policy”) from a reputable insurer and on terms and amounts no less favorable
                                         than those of such policy in effect on the date of this Agreement, which policy (i) has
                                         an effective insurance period of seven (7) years from the Closing Date, (ii) covers
                                         each of the natural persons who served as directors and/or officers and who were covered
                                         by the Company’s directors’ and officers’ liability insurance policy
                                         as of the date of this Agreement in respect of acts and/or omissions arising prior to
                                         the Closing Date and (iii) the cost of purchasing such Run Off Policy is no more
                                         than $300,000 (the amount actually used by the Company for this purpose being referred
                                         to herein as the “D&O Insurance Expenses”).

 

		(c)	The
                                         provisions of this Section ‎8.10 shall survive the Closing and are (a) expressly
                                         intended to benefit each of the D&O Indemnitees, and (b) in addition to, and not
                                         in substitution for, any other rights to indemnification or contribution that any such
                                         Person may have by contract or otherwise.

 

		8.11.	No-Shop.

 

		(a)	The
                                         Sellers and the Company acknowledge that Purchaser has spent and will continue to spend
                                         considerable time, and have incurred and will continue to incur substantial costs and
                                         expenses, in connection with the Transactions. Accordingly, and without derogating from
                                         their other obligations hereunder, the Sellers and the Company agree, severally and jointly,
                                         that, during the period commencing on the date hereof and continuing until the Expiration
                                         Date, they shall not, and shall cause their respective Affiliates, stockholders, directors,
                                         officers, employees, and other Representatives not to, directly or indirectly, (i) enter
                                         into or continue any discussions or negotiations with respect to, agree to, approve,
                                         recommend, or enter into any agreement or any understanding with respect to, or solicit,
                                         initiate, knowingly encourage, or facilitate the submission of any inquiries, proposals,
                                         or offers for, the acquisition (including, without limitation, by stock purchase, asset
                                         sale, merger, consolidation, or other business combination) by any person or entity (other
                                         than as contemplated by this Agreement), directly or indirectly, of any shares of capital
                                         stock or other equity interests in the Company or all or any portion of the assets or
                                         Company Indebtedness (other than its repayment), other than sales of products and services
                                         in the ordinary course of business (each, an “Alternative
                                         Transaction”), or (ii) furnish, or cause to be
                                         furnished, any information concerning the Company, its Affiliates, or their respective
                                         assets or liabilities, or allow access to the books, records, properties, or management
                                         of the Company or any of its Affiliates, to any person or entity with a view to, or in
                                         furtherance of, an Alternative Transaction. If the Sellers, Company or any of its Representatives,
                                         shall receive an indication of interest, term sheet, letter of intent, proposal, request
                                         for information, or any similar submission (whether written or oral), in each case in
                                         respect of an Alternative Transaction, the Sellers and the Company shall, immediately
                                         upon receipt thereof, subject to relevant Law as deliver written notice thereof (including
                                         a summary of terms and identity thereof) to Purchaser. Without derogating from the Sellers'
                                         liability for the above, the Company shall be liable for any and all breaches by Sellers
                                         (including its Affiliates, stockholders, directors, officers, employees, and other Representatives)
                                         of the terms set forth in this Section.

 

		(b)	The
                                         Sellers and the Company acknowledge that this Section was a significant inducement for
                                         Purchaser to enter into this Agreement.

 

    26 

     

    

		8.12.	Waiver
                                         and Release. Each Seller (on behalf of itself and on behalf of each of its
                                         (i) agents, trustees, beneficiaries, directors, officers (each in their capacity as such),
                                         and (ii) affiliates, subsidiaries, estate, successors and assigns) hereby waives and
                                         releases, effective as of and contingent upon the Closing, any and all rights, claims
                                         and causes of action assertable, in each case whether known or unknown, against any of
                                         the Group Companies and each of such Group Companies' respective directors, officers,
                                         employees, Representatives (each in their capacity as such) (each, a “Released
                                         Party”), including claims in respect of its ownership of any securities of
                                         the Company and any rights it may have under the Shareholders' Loans hereto but excluding
                                         claims (a) arising from any employment agreement, if such employment agreement was disclosed
                                         in Schedule 8.12(A) hereto; or (b) specified in Schedule 8.12(B)
                                         hereto. Any and all agreements between the Seller or its Affiliates, on the one
                                         hand, and the Company or its Affiliates, on the other hand, and any and all rights which
                                         Seller or its Affiliates may have under such agreements shall automatically terminate
                                         as of the Closing, except for (i) the matters specified in Schedule 8.12(B) hereto,
                                         (ii) employment agreements disclosed in Schedule 8.12(A) hereto, and (iii)
                                         the Shareholders' Loans, it being clarified that any and all rights of Sellers under
                                         the Shareholders' Loans shall, effective as of the Closing, be assigned to Purchaser
                                         pursuant to this Agreement.

 

		8.13.	Tax
                                         Matters. 

 

		(a)	Purchaser
                                         shall cause the Group Companies to timely prepare and file all Tax Returns that are required
                                         to be filed (taking into account extensions) following the Closing Date, including
                                         taxable periods ending on or before the Closing Date (the “Pre-Closing
                                         Date Tax Returns”). Purchaser or the Group Companies
                                         shall duly and timely file such Pre-Closing Date Tax Return to the appropriate taxing
                                         authority and the Sellers shall reimburse Purchaser that amount equal to such Taxes of
                                         the Group Companies with respect to such Pre-Closing Tax Period. 

 

		(b)	The
                                         Sellers shall be responsible for and shall promptly pay when due all Taxes levied with
                                         respect to the Group Companies attributable to any Pre-Closing Tax Period. All Taxes
                                         levied with respect to the Group Companies in the case of any Straddle Period, shall
                                         be apportioned between Sellers and Purchaser as follows: (i) in the case of a Tax based
                                         upon or related to income or receipts, the amount of such Tax allocable to the Pre-Closing
                                         Tax Period shall be based on an “interim closing of the books” as of the
                                         close of business on the Closing Date (as though the Straddle Period had ended upon such
                                         interim closing for purposes of the Tax being imposed); and (ii) in the case of a Tax
                                         other than a Tax described in clause (i), including property taxes, the amount of such
                                         Tax allocable to the Pre-Closing Tax Period shall be on a per diem basis whereby the
                                         product of (x) the amount of such Tax for the entire Straddle Period, and (y) a fraction
                                         the numerator of which is the number of calendar days in the period ending on (and including)
                                         the Closing Date and the denominator of which is the number of calendar days in the entire
                                         Straddle Period. 

 

		(c)	Purchaser
                                         and the Sellers shall retain or cause to be retained all Tax Returns and all books and
                                         records relating to Taxes of the Group Companies for all taxable periods beginning on
                                         or before the Closing Date until thirty (30) days after the expiration of the applicable
                                         statute of limitations for the Tax in question (and, to the extent notified by Purchaser
                                         or the Sellers, any waiver or extension thereof), and abide by all record retention agreements
                                         entered into with any Governmental Authority. 

 

		(d)	All
                                         Tax Sharing Agreements (if any) entered into by any of the Group Companies with any third
                                         party shall be terminated on or before the Closing Date. After the Closing Date, no third
                                         party shall have any right or obligations under any such Tax Sharing Agreement.

 

		8.14.	SEC
                                         Compliant Financial Statements.

 

    27 

     

    

		(a)	Commencing
                                         on the date hereof, the Company shall prepare and, to the extent permitted by Law, provide
                                         to Purchaser, as soon as practicable and in any event within 90 days prior to Closing,
                                         such financial or other information (including audited consolidated financial statements,
                                         interim financial statements and pro forma financial statements, all prepared in accordance
                                         with IFRS), as required by Purchaser to comply with applicable securities Laws (whether
                                         for ongoing reports or otherwise), including the delivery of such representations, comfort
                                         letters and consents from the Company’s independent accountants (who shall be PCAOB
                                         certified and which identity will be approved by Purchaser, which approval shall not
                                         be unreasonably withheld), in each case, as may be requested by Purchaser or its accountants
                                         (collectively, the “SEC Compliant Financial Statements”). The out-of-pocket
                                         expenses incurred by the Company in the preparation of such SEC Compliant Financial Statements,
                                         shall be borne by the Purchaser and shall not be considered Transaction Expenses. The
                                         provisions of the preceding sentence shall survive the termination of this Agreement.

 

		(b)	The
                                         Company undertakes that the SEC Compliant Financial Statements shall be true and correct
                                         in all material respects.

 

		8.15.	Asset
                                         Purchase Agreement. At Purchaser's request, the Parties shall
                                         work together in good faith to explore, and Sellers and the Company shall use best efforts
                                         to investigate, the possibility of converting this Agreement into an agreement under
                                         which the Purchaser would purchase all or substantially all of the assets of the Group
                                         Companies, under commercial terms that would leave the Parties in substantially the same
                                         economic condition as they will be at the Closing pursuant to the terms of this Agreement,
                                         in each case on such terms as shall be agreed to by the Parties.

 

		8.16.	Litigation
                                         Support. Until the Expiration Date, in the event that, and for so long as,
                                         any party hereto is actively contesting or defending against any Legal Proceeding (other
                                         than Legal Proceeding between the parties hereof or their respective Affiliates or in
                                         connection with a dispute arising under this Agreement or the other Transaction Documents)
                                         in connection with any Transaction contemplated by this Agreement or the other Transaction
                                         Documents, the other Parties will cooperate, at their own expense, with such contesting
                                         or defending Party and its counsel in the contest or defense; provided, however, that,
                                         for the avoidance of doubt, the foregoing shall not require any party to take any such
                                         action(s) if (i) it may result in a waiver or breach of any attorney-client privilege
                                         or (ii) doing so would violate Law.

 

		9.	Conditions
                                         to Closing

 

		9.1.	Conditions
                                         to Obligations of Each Party. The obligation of each Party to complete the
                                         Transactions contemplated hereby is subject to the fulfillment or written waiver (at
                                         the sole discretion of each Party, which Party in the case of the Sellers and the Company
                                         shall be the Sellers' Representative), upon or prior to the Closing, of each of the following
                                         conditions:

 

		(a)	No
                                         Injunction. No Governmental Authority shall have enacted, issued, promulgated, enforced
                                         or entered any statute, rule, regulation, judgment, decree, injunction or other order
                                         (whether temporary, preliminary or permanent) which is in effect and prohibits the sale
                                         of the Shares by the Sellers or the assignment of the Shareholders’ Loans or the
                                         other Transactions.

 

		(b)	Governmental
                                         Approvals. The Purchaser, the Company and the Sellers, as applicable, shall have
                                         received the authorizations, consents, orders and approvals of the Antitrust Authorities
                                         and the Israeli Ministry of Communications and other material Governmental Authorization,
                                         if any, necessary to effect the Transactions (together, the "Governmental Approvals").

 

		9.2.	Conditions
                                         to Obligations of the Company and Sellers. The obligation of the Company
                                         and each Seller to complete the Transactions contemplated hereby is subject to the fulfillment
                                         or written waiver (at the sole discretion of the Sellers' Representative), upon or prior
                                         to the Closing, of each of the following conditions:

 

    28 

     

    

		(a)	Representations
                                         and Warranties. The representations and warranties of the Purchaser contained in
                                         this Agreement shall have been true and correct in all respects when made and in all
                                         material respects (except for those (i) made as of a specified date, which shall be true
                                         and correct in all respects as of such specified date), or (ii) heretofore qualified
                                         by any materiality standard, in which case, no duplicate standard of materiality shall
                                         be applied) as of the Closing.

 

		(b)	Compliance
                                         with Agreements. The Purchaser shall have performed or complied with all covenants
                                         and agreements required by this Agreement to be performed or complied with by the Purchaser
                                         on or prior to the Closing, including delivery of all items set forth in Section ‎4.3.
                                         

 

		(c)	Replacement
                                         of Bank Guarantees. At Closing, if and to the extent the Bank Guarantees are still
                                         required by the MOC as of Closing, the Purchaser shall have provided or cause to be provided
                                         bank guarantees to the benefit of the Israeli Ministry of Communication or otherwise
                                         obtain the release of the Bank Guarantees, in each case which terms and conditions shall
                                         be acceptable to the Israeli Ministry of Communication.

 

		9.3.	Conditions
                                         to Obligations of Purchaser. The obligation of the Purchaser to complete
                                         the Transactions contemplated hereby is subject to the fulfillment or written waiver
                                         (at the sole discretion of the Purchaser), upon or prior to the Closing, of each of the
                                         following conditions:

 

		(a)	Representations
                                         and Warranties of Sellers. The representations and warranties of the Sellers and
                                         the Company contained in (i) Sections 6.1, 6.2, 6.4(a), 7.1, 7.2, and 7.4 of this Agreement
                                         shall have been true and correct in all respects when made and as of the Closing and
                                         (ii) all other Sections of this Agreement shall have been true and correct in all respects,
                                         both when made and as of Closing (except for those made as of a specified date, which
                                         shall be true and correct in all respects as of such specified date), except to the extent
                                         that the failure of such representation and warranty to be so true and correct would
                                         not constitute a Material Adverse Effect.

 

		(b)	Compliance
                                         with Agreements. The Sellers and the Company shall have performed or complied with
                                         all covenants and agreements required by this Agreement to be performed or complied with
                                         by the Sellers and the Company on or prior to Closing, including delivery of all items
                                         set forth in Section ‎4.2.

 

		(c)	MAC
                                         Factor Event. Each of the MAC Factors is less than 50%.

 

		(d)	Consents
                                         and Approvals. The Governmental Approvals shall have been obtained and do not contain
                                         or impose any Material Regulatory Restraint.

 

		(e)	No
                                         Convertible Securities. Immediately prior to the Closing, all Company Stock Options
                                         (if any) and Call Options (and any other securities other than the Shares held by the
                                         Sellers) shall have been duly terminated or canceled.

 

		(f)	Mizrahi
                                         Debt. Upon or prior to the Closing, the Company's debt to Bank Mizrahi LTD was repaid
                                         or the consent of Bank Mizrahi LTD to the change of control in the Company as per this
                                         Agreement was obtained.

 

		9.4.	No
                                         Party may rely on the failure of any condition set forth in this Section ‎9,
                                         if such failure was caused by such Party’s failure to comply with any provision
                                         of this Agreement.

 

		10.	Indemnification

 

		10.1.	General.
                                         The representations and warranties of each of the Parties contained in this
                                         Agreement shall survive Closing and, effective as of the Closing, claims may be asserted
                                         with respect to the representations and warranties made by the Parties only to the extent
                                         permitted by this Section ‎10.

 

		10.2.	Indemnification.

 

		(a)	Subject
                                         to the limitations set forth in this Section ‎10, the Sellers (which, together with
                                         their respective successors and assigns, are sometimes referred to in this Section 10
                                         as the indemnifying party/ies) shall, severally and jointly, indemnify, defend and hold

 

    29 

     

    

Purchaser
and its directors, officers, employees, Affiliates (including, following the Closing, the Group Companies), agents, attorneys,
representatives, successors and assigns (collectively, the “Purchaser Indemnified Parties”) harmless from and
against any and all losses, liabilities, obligations, damages (including diminution in value), notices, actions, suits, proceedings,
claims of any kind (including threats of legal proceedings), demands, assessments, judgments, costs, interest, penalties and expenses,
including reasonable attorneys’ and other professionals’ fees and disbursements and all other reasonable fees or expenses
paid in investigation, defense or settlement of any of the foregoing, whether arising out of claims by or on behalf of any party
to this Agreement or any third party claims (individually, a “Loss” and, collectively, “Losses”)
to the extent arising, suffered or incurred by any of the Purchaser Indemnified Parties or to which any of them may otherwise
become subject (regardless of whether or not such Losses relate to any third-party claim) and which arise from or as a result
of, or are directly or indirectly connected with the following matters (including any Legal Proceeding relating to the below clauses
for the purpose of enforcing any of Purchaser Indemnified Parties rights under this Section 10):

 

		(i)	any
                                         breach or inaccuracy of any of the representations and warranties made by the Sellers
                                         or the Company in this Agreement, in any certificate delivered pursuant hereto (including
                                         any Closing certificate) or in the other Transaction Documents (other than the Specified
                                         Representations);

 

		(ii)	any
                                         breach or inaccuracy of any of the Specified Representations as well as any inaccuracy
                                         contained in the Closing Statement (excluding the Closing EBITDA);

 

		(iii)	any
                                         breach of any of the Company’s or the Sellers' Representative or Sellers’
                                         covenants or agreements in this Agreement or in any certificate delivered pursuant to
                                         this Agreement or in any of the Transaction Documents;

 

		(iv)	any
                                         claim by (A) a current or former holder of share capital of the Company or any rights
                                         or options therein, or (B) any other Person or entity, seeking to assert, or based upon,
                                         ownership or rights to ownership of any shares of the Company capital stock or of any
                                         of its Subsidiaries or that he, she or it is entitled to any consideration pursuant to
                                         this Agreement and/or any Transactions, including any portion of the Purchase Price that
                                         is not listed in Schedule A or any appraisal claim;

 

		(v)	any
                                         and all Taxes attributable to any Pre-Closing Tax Period;

 

		(vi)	The
                                         matters set forth on Schedule 10.2(a)(vi) hereto (collectively, "Basic
                                         Indemnity Matters");

 

		(vii)	The
                                         matters set forth on Schedule 10.2(a)(vii) hereto ("Special Indemnity
                                         Matters"); and

 

		(viii)	any
                                         amounts paid by the Group Companies following Closing on account of the Current Accounts
                                         Payable, within 24 months from the Closing.

 

		(b)	The
                                         representations, warranties, covenants and obligations of the Company and Sellers, and
                                         the rights and remedies that may be exercised by the Purchaser Indemnified Parties, shall
                                         not be limited or otherwise affected by or as a result of either (i) any waiver
                                         of Closing conditions by Purchaser or any of its Representatives, or (ii) any information
                                         furnished to, or any investigation made by or knowledge of, any of the Purchaser Indemnified
                                         Parties.

 

		(c)	Sellers
                                         and the Company acknowledge and agree that, if the Group Companies suffers, incurs or
                                         otherwise become subject to any Losses as a result of or in connection with any incompleteness
                                         of, inaccuracy in or breach of any representation, warranty, covenant or obligation,
                                         then (without limiting any of its rights as an Purchaser Indemnified Parties) Purchaser
                                         shall also be deemed, by virtue of its direct or indirect ownership of the shares of
                                         the Company, to have incurred Losses as a result of and in connection with such incompleteness,
                                         inaccuracy or breach.

 

    30 

     

    

		10.3.	Indemnification
                                         Procedures – Direct Claims.

 

		(a)	Any
                                         Purchaser Indemnified Party who believes it is entitled to indemnification pursuant to
                                         Section 10.2 may make an indemnification claim by delivering a claim certificate
                                         to the Sellers’ Representative (in each case, a “Claim Certificate”),
                                         which Claim Certificate shall: (i) to the extent reasonably capable of estimation, a
                                         good faith estimate of the amount of Losses such Purchaser Indemnified Party claims to
                                         have so incurred or suffered or reasonably believes in good faith it may incur or suffer
                                         and the Purchaser Indemnified Party may update such estimate from time to time by written
                                         notice; and (ii) specify in reasonable detail (based upon the information then possessed
                                         by the Purchaser Indemnified Party) the nature of the claim for which indemnification
                                         is being sought. The sole and exclusive remedy for any defective Claim Certificate shall
                                         be a demand for cure of such defect and delivery of a conforming certificate.

 

		(b)	In
                                         the event that the Sellers’ Representative shall object to the indemnification
                                         of a Purchaser Indemnified Party in respect of any claim or claims specified in any Claim
                                         Certificate, it shall, within twenty (20) calendar days after receipt of such Claim Certificate,
                                         deliver a notice to such effect, specifying in reasonable detail the basis for such objection,
                                         and shall, within the twenty (20) day period beginning on the date of receipt by the
                                         Purchaser Indemnified Party of such objection, attempt in good faith to agree upon the
                                         rights of the respective parties with respect to each of such claims. If they shall succeed
                                         in reaching agreement on their respective rights with respect to any of such claims,
                                         Purchaser and the Sellers’ Representative shall promptly prepare and sign a memorandum
                                         setting forth such agreement. Should they be unable to agree as to any particular item
                                         or items or amount or amounts within such time period, then the Purchaser Indemnified
                                         Party shall be permitted to submit such dispute to the courts as set forth in Section
                                         12.4. Claims for Losses specified in any Claim Certificate to which there is no objection
                                         in writing by the applicable Party within twenty (20) days of receipt of such Claim Certificate
                                         shall be deemed final and binding.

 

		10.4.	Indemnification
                                         Procedures – Third Party Claims.

 

		(a)	In
                                         the event that any Legal Proceedings shall be instituted by a third party against any
                                         Purchaser Indemnified Party (an “Indemnification Claim”), and if such
                                         Purchaser Indemnified Party (sometimes referred to herein as the "indemnified party")
                                         intends to seek indemnity with respect thereto under Section ‎10.2
                                         above, the indemnified party shall promptly cause written notice of the assertion of
                                         such Indemnification Claim of which it has knowledge which is covered by this indemnity
                                         to be forwarded to the Sellers’ Representative (the “Third Party Claim
                                         Notice”); provided, that the failure to so notify shall not relieve the Sellers
                                         of their indemnity obligations hereunder, except, and solely to the extent, that such
                                         failure actually and materially prejudiced the defense of such Legal Proceedings. The
                                         sole and exclusive remedy for any defective Third Party Claim Notice shall be a demand
                                         for cure of such defect and delivery of a conforming certificate.

 

		(b)	The
                                         Sellers' Representative (acting on behalf of the indemnifying parties) shall have the
                                         right, at its sole option and expense, to (i) be represented in the defense of such Indemnification
                                         Claim by counsel of its choice, which must be reasonably satisfactory to the Purchaser
                                         Indemnified Party, and (ii) to assume the defense of any Indemnification Claim which
                                         relates to any Losses indemnified against hereunder; provided, in the case of (ii) herein,
                                         that it shall, within 14 days following receipt of the Third Party Claim Notice, notify
                                         the Purchaser Indemnified Party of its intent to assume the defense and that it irrevocably
                                         agrees that any and all indemnifiable Losses incurred in connection with such Indemnification
                                         Claim shall be recoverable.
                                         

 

		(c)	Notwithstanding
                                         the foregoing, the Sellers’ Representative shall not be entitled to assume the
                                         defense of any Indemnification Claim which involves a claim (i) that, in the reasonable
                                         judgment of Purchaser, would result in Losses in excess of the then

 

    31 

     

    

available,
if any, Holdback Amount (if such claim is subject to the Holdback Amount) or any other claim that seeks monetary damages the amount
of which would reasonably be expected to exceed any limitation on the amount of Losses that may be recovered under this Section
10 (after satisfaction of other pending indemnity claims), (ii) involving criminal liability, a claim by Governmental Authority,
or in which injunction or other equitable relief is sought against any Purchaser Indemnified Party, (iii) that has been brought
by or on behalf of any customer or supplier of any Purchaser Indemnified Party with respect to such customer or supplier relationship,
or (iv) that, in the reasonable judgment of Purchaser, would create a conflict of interest by the indemnifying parties. 

 

		(d)	If
                                         the Sellers’ Representative elects not to assume the defense of any Indemnification
                                         Claim (or is not entitled to do so because it failed to timely notify the indemnified
                                         party of such assumption, because Purchaser invoked its right to assume the defense under
                                         clause (c) above, or because it failed to diligently pursue such defense), the indemnified
                                         party may assume and control the defense against, negotiate, settle or otherwise deal
                                         with such Indemnification Claim (subject to subsection (h) below).

 

		(e)	If
                                         the Sellers’ Representative shall assume the defense of any Indemnification Claim,
                                         the indemnified party may participate, at his or its own expense, in the defense of such
                                         Indemnification Claim; provided, however, that (A) with the expenses of such separate
                                         counsel to the indemnified party shall be borne by the indemnifying party if, (i) the
                                         indemnified party was requested by the indemnifying party to participate or (ii) in the
                                         reasonable opinion of counsel to the indemnified party, a conflict or potential conflict
                                         exists between the indemnified party and the indemnifying party that would make such
                                         separate representation advisable; and provided, further, that the indemnifying
                                         party shall not be required to pay for more than one such counsel for all indemnified
                                         parties in connection with any Indemnification Claim, and (B) the Sellers’ Representative
                                         shall be required to consult regularly with the indemnified party and its counsel regarding
                                         the direction of the defense of such Indemnity Claim.
                                         

 

		(f)	The
                                         Parties agree to cooperate fully with (and keep reasonably informed) each other in connection
                                         with the defense, negotiation or settlement of any Indemnification Claim. 
                                         

 

		(g)	Notwithstanding
                                         anything in this Section 10.4 to the contrary, the Sellers’ Representative shall
                                         not, without the written consent of the Purchaser Indemnified Parties (which consent
                                         shall not be unreasonably withheld, conditioned or delayed), settle or compromise any
                                         Indemnification Claim or permit a default or consent to entry of any judgment or otherwise
                                         act as agent or make statements or commitments on behalf of the Company or any Purchaser
                                         Indemnified Parties, provided, however, that solely with respect to monetary settlements
                                         (i.e. where the sole remedy is the payment of funds by the Sellers) with full and irrevocable
                                         release of the Purchaser Indemnified Parties proposed by the Sellers Representative to
                                         the Purchaser, if the relevant Purchaser Indemnified Parties withholds its consent to
                                         such settlement, then indemnified Losses in excess of such proposed settlement, will
                                         be borne by the Purchaser Indemnified Parties, and any payments incurred up to the amount
                                         of the proposed settlement, shall be borne by the Sellers.

 

		(h)	Assumption
                                         by the Purchaser Indemnified Parties of control of any defense, compromise, or settlement
                                         of an Indemnity Claim shall not be deemed a waiver by it of its right to indemnification
                                         hereunder nor shall the settlement or compromise of any such claim without the prior
                                         written consent of the Sellers’ Representative to such settlement or compromise
                                         (as long as consent shall not be unreasonably withheld, conditioned or delayed) serve
                                         as evidence of either (A) that the Indemnity Claim is indemnifiable hereunder or (B)
                                         the amount of indemnifiable Losses incurred by the Purchaser Indemnified Parties in connection
                                         with such claim; provided however that if the Sellers' Representative shall have
                                         (i) notified (on behalf of Sellers) the Purchaser Indemnified Party that it irrevocably
                                         agrees that any and all indemnifiable Losses incurred in connection with such Indemnification
                                         Claim shall be recoverable from

 

    32 

     

    

Sellers,
and (ii) provided such indemnified party reasonable assurance of the ongoing payment of all expenses (including attorney fees)
incurred by Purchaser, then the indemnified party shall not settle or compromise any such claim without the prior written consent
of the Sellers’ Representative (not be unreasonably withheld, conditioned or delayed).

 

		(i)	After
                                         any final decision, judgment or award shall have been rendered by a Governmental Authority
                                         of competent jurisdiction and the expiration of the time in which to appeal therefrom,
                                         or a settlement shall have been consummated, or the indemnified party and the indemnifying
                                         party shall have arrived at a mutually binding agreement with respect to an Indemnification
                                         Claim hereunder, the indemnified party shall forward to the Sellers’ Representative
                                         notice of any sums due and owing by the indemnifying party pursuant to this Agreement
                                         with respect to such matter (it being clarified that nothing in the foregoing shall be
                                         deemed to derogate from Sellers' undertaking to pay (by wire transfer of immediately
                                         available funds) promptly, and in any event no later than seven (7) Business Days, following
                                         receipt from a Purchaser Indemnified Party of a bill, together with all accompanying
                                         reasonably detailed back-up documentation, all, for an indemnifable Loss pursuant to
                                         this Section 10.

 

		10.5.	Limitations
                                         on Indemnification.

 

		(a)	Notwithstanding
                                         anything herein to the contrary, Purchaser must deliver a Claim Certificate or Third
                                         Party Claim Notice, as applicable, to the Sellers’ Representative of any claim
                                         for indemnification under (i) Section 10.2(a)(i) - prior to the expiration of the twenty
                                         four (24) month anniversary of the Closing Date and (ii) Section 10.2(a)(ii) - prior
                                         to the expiration of 60 days following the expiration of the applicable statute of limitation.
                                         Except in the case of fraud or willful misrepresentation, any such indemnity claims not
                                         made by Purchaser on or prior to such dates will be irrevocably and unconditionally released
                                         and waived.

 

		(b)	Notwithstanding
                                         anything herein to the contrary, except in the case of fraud or willful misrepresentation
                                         or, the Sellers shall not have any indemnification obligations for Losses under Section
                                         ‎10.2(a)(i), unless
                                         and until the aggregate amount of all Losses indemnifable hereunder is equal to or exceeds
                                         NIS Six Million (NIS 6,000,000) (the “Basket”), in which case the
                                         Purchaser Indemnified Parties shall be entitled to the entire amount of such Losses (from
                                         the first dollar of Losses) and not just the amount of Losses that exceed the Basket.

 

		(c)	Except
                                         in the case of fraud, willful misrepresentation, the Special Indemnity Matters, Section
                                         10.02(a)(v) or an intentional breach of Section 8.7(a), in no event shall the aggregate
                                         indemnification to be paid by the Sellers under: (i) Sections 10.2(a)(i), 10.2(a)(viii)
                                         and the Basic Indemnity Matters exceed the Holdback Amount (the "Basic Indemnity
                                         Cap"), (ii) Sections 10.2(a)(ii) and 10.2(a)(iv) exceed 100% of the Purchase
                                         Price (the "Purchase Price Indemnity Cap"), (iii) Section 10.02(a)(iii)
                                         exceed 150% of the Purchase Price (the "Increased Indemnity Cap"; and
                                         each of the aforesaid Indemnity Caps being referred to as an "Indemnity Cap").

 

		(d)	Notwithstanding
                                         anything herein to the contrary, no Seller shall be liable for any amount in excess of
                                         such Seller's Pro Rata Share of the applicable Indemnity Cap other than, with respect
                                         to each Seller, any fraud or intentional breach by such Seller.

 

		(e)	Notwithstanding
                                         anything herein to the contrary, no Seller shall be liable for a Loss suffered by a Purchaser
                                         Indemnified Party resulting from a breach of a covenant or representation and warranty
                                         of another Seller, other than (in the aggregate), up to the Holdback Amount.

 

		(f)	Notwithstanding
                                         anything herein to the contrary, all Losses indemnifiable hereunder shall be reduced
                                         by any insurance proceeds (net of deductibles and increase in premiums) actually received
                                         by the Purchaser Indemnified Parties from any insurance policy of the Group Companies
                                         existing and in effect as of and through the Closing (excluding any renewal of any such
                                         insurance policy by after the Closing) in connection

 

    33 

     

    

with
the Loss which forms the basis of the claim for indemnification hereunder by such indemnified parties; provided, however, that
no Purchaser Indemnified Party shall have any obligation to make or submit any claim to any insurance provider.

 

		(g)	For
                                         purposes of this Section 10, in determining (i) the amount of Losses suffered as a result
                                         of a breach of any representation or warranty or covenant of the Company or Sellers,
                                         any qualifications in the representations, warranties and covenants with respect to a
                                         “Material Adverse Effect,” “materiality,” “material,”
                                         “in all material respects” or similar terms shall be disregarded and (ii)
                                         whether a breach of any representation or warranty or covenants of the Company or Sellers
                                         exists, any qualifications in the representations, warranties and covenants with respect
                                         to a “Material Adverse Effect” shall be replaced with "material"
                                         or “in all material respects”, as the context requires.

 

		(h)	Purchaser
                                         acknowledges that in case that a breach of Section 6.7 is due to a breach by Purchaser
                                         of its representations under Section 5, then the Losses resulting therefrom, shall not
                                         be indemnifiable hereunder.

 

		10.6.	Tax
                                         Treatment. The Parties agree to treat for income Tax purposes any indemnity
                                         payment made pursuant to this Agreement as an adjustment to the Purchase Price for Tax
                                         purposes.

 

		10.7.	No
                                         Special Losses. Notwithstanding anything herein to the contrary, no Party
                                         shall, in any event, be liable to any other Person for any indirect and speculative,
                                         special or punitive damages of such other Person (except that, in respect of any of the
                                         foregoing, damages awarded by a final non-appealable decision of a competent court/arbitrator
                                         or other authority having jurisdiction to a third party as part of an Indemnity Claim
                                         pursuant to Section 10.4 shall be indemnifiable hereunder).
                                         

 

		10.8.	Nature
                                         of Loss. Any indemnification due by the Sellers shall be calculated taking
                                         into account the effect of any Tax benefit actually realized by relevant Purchaser Indemnified
                                         Party after Closing and resulting from the Tax deductibility of the relevant Loss. For
                                         purposes hereof, a Tax benefit will only exist to the extent that it results in, or with
                                         commercially reasonable steps capable of being taken (but without any obligation to do
                                         so) by the Purchaser Indemnified Party, as to result in, a refund of or actual reduction
                                         in Tax with respect to the taxable period in which indemnification claim is paid, or
                                         on any Tax Return with respect thereto.

 

		10.9.	Off-Set;
                                         Source of Payment. Subject to the limitations set forth in Section 10.5,
                                         and only up to the Holdback Amount, to the extent that the Purchaser or any other Purchaser
                                         Indemnified Party is entitled to any payment from the Sellers under this Section 10,
                                         while a claim for indemnification is pending and not yet finally resolved, then the Purchaser
                                         shall be entitled to withhold such amount from any payment due or payable to the Sellers
                                         in accordance with this Agreement or the other Transaction Documents until such time
                                         that the applicable indemnity claim is finally resolved; provided, however, that
                                         the Purchaser shall first send Indemnity claim to the Seller Representative, and if such
                                         claim is not paid in cash within 5 Business Days then the Purchaser Indemnified Party
                                         shall proceed first by withholding an amount in Conversion Shares the value of which
                                         shall be (based on the market price at the time of claim) the amount of the claim; provided
                                         further that if at any time the amount of the claim is higher than the value of the said
                                         shares then Purchaser may withhold such additional amount but subject at all times to
                                         the Holdback Amount and to the right of the Seller Indemnified Parties, at any time,
                                         to pay such claim in cash (or if the indemnity claim is not yet resolved, deposit in
                                         escrow until resolved in accordance with this Agreement) against the release of the relevant
                                         Conversion Shares (or the rights thereto), and Seller will be entitled to require the
                                         release of shares should the value exceed the sum of the claim.

 

		10.10.	No
                                         Double Counting. In the event that a particular matter entitles an indemnified
                                         party to indemnification pursuant to more than one clause of this Section 10, such indemnified
                                         party shall be entitled to recover a particular dollar amount of Losses associated with
                                         such matter only once and in no event shall an indemnified party be entitled to recover
                                         an aggregate amount exceeding the amount of such Losses. For the avoidance of doubt,
                                         in such event that

 

    34 

     

    

a
particular matter entitles an indemnified party to indemnification pursuant to more than one clause of this Section 10, such indemnified
party may institute a claim for indemnification hereunder based on any or all such provisions.

 

		10.11.	Exclusive
                                         Remedy. From and after the Closing, except in the case of fraud or willful
                                         misrepresentation, the sole and exclusive remedy to the Purchaser under any theory of
                                         liability or claim (whether in contract, equity, strict liability, tort or otherwise)
                                         for any breach or inaccuracy, or alleged breach or inaccuracy, of any representation
                                         or warranty by the Sellers or the Company in this Agreement or any covenant or agreement
                                         to be performed on or prior to the Closing Date, shall be indemnification in accordance
                                         with this Section ‎10.
                                         Notwithstanding the above, each Purchaser Indemnified Party shall be (a) entitled to
                                         seek injunctive relief to enjoin the breach, or threatened breach, of any provision of
                                         this Agreement, and (b) entitled to seek the equitable remedy of specific performance
                                         in connection with this Agreement.

 

		10.12.	Purchaser
                                         Indemnity. 

 

		(a)	From
                                         and after the Closing, the Purchaser shall, indemnify, defend and hold Sellers and their
                                         directors, officers, employees, Affiliates, agents, attorneys, representatives, successors
                                         and assigns (collectively, the “Seller Indemnified Parties”) harmless
                                         from and against any and all Losses (as defined in Section 10.2(a)) to the extent, suffered
                                         or incurred by any of the Seller Indemnified Parties or to which any of them may otherwise
                                         become subject (regardless of whether or not such Losses relate to any third-party claim)
                                         and which arise from or as a result of, or are directly or indirectly connected with
                                         the following matters (including any Legal Proceeding relating to the below clauses for
                                         the purpose of enforcing any of Seller Indemnified Parties rights under this Section
                                         10):

 

		(i)	any
                                         breach or inaccuracy of any of the representations and warranties made by the Purchaser
                                         in this Agreement, in any certificate delivered pursuant hereto or in the other Transaction
                                         Documents; and

 

		(ii)	any
                                         breach of any of the Purchaser's covenants or agreements in this Agreement or in any
                                         certificate delivered pursuant to this Agreement or in any of the Transaction Documents;

 

		(b)	The
                                         provisions and procedures regarding the indemnification by the Sellers set out in Sections
                                         10.1-10.11 above shall apply to the indemnity undertaking of Purchaser in this Section
                                         10.12, mutatis mutandis, except as follows:

 

		(i)	Sections
                                         10.2(a), 10.4(c), 10.4(h) and 10.9 shall not apply; and

 

		(ii)	Any
                                         claim for indemnification under Section 10.12(a)(i), except for breaches of Sections
                                         5.2 and 5.8 (for which the indemnification period shall expire 60 days following the
                                         expiration of the applicable statute of limitation) must be made prior to the expiration
                                         of the twenty four (24) month anniversary of the Closing Date.
                                         

 

		11.	Termination

 

		11.1.	Termination
                                         of Agreement. This Agreement may be terminated prior to the Closing as follows:

 

		(a)	At
                                         the election of the Sellers’ Representative or Purchaser on or after November 3,
                                         2016 (the "Cut-Off Date"), if the Closing shall not have occurred by
                                         the close of business on such date; provided that the terminating party may not terminate
                                         this Agreement pursuant to this clause if such Party’s action or failure to act
                                         has been a principal cause of or resulted in the failure of the Closing to occur on or
                                         before such date and such action or failure to act constitutes breach of this Agreement;

 

		(b)	by
                                         the Purchaser if the Company or the Sellers or the Sellers’ Representative shall
                                         have (i) breached any representation, warranty, covenant or agreement contained in this
                                         Agreement], such that the closing conditions set forth in Section 9.1 or 9.3 would

 

    35 

     

    

			not be satisfied as of
the time of such breach or as of the time such representation or warranty shall have become untrue, and such breach shall not
have been cured, or by its nature cannot be cured, within 10 Business Days following receipt by such Party of written notice of
such breach; or (ii) breach of any provision of Section 8.3 by the Company and such breach shall not have been cured within 10
Business Days following receipt by Company of written notice of such breach;

 

		(c)	by
                                         the Sellers’ Representatives if the Purchaser shall have breached any representation,
                                         warranty, covenant or agreement contained in this Agreement, such that the closing conditions
                                         set forth in Section 9.1 or 9.2 would not be satisfied as of the time of such breach
                                         or as of the time such representation or warranty shall have become untrue, and such
                                         breach shall not have been cured, or by its nature cannot be cured, within 10 Business
                                         Days following receipt by such Party of written notice of such breach;

 

		(d)	by
                                         mutual written consent of the Sellers’ Representative and Purchaser; or

 

		(e)	by
                                         the Sellers’ Representative or Purchaser if there shall be in effect a final nonappealable
                                         Order of a Governmental Body of competent jurisdiction restraining, enjoining or otherwise
                                         prohibiting the consummation of the Transactions contemplated hereby.

 

		11.2.	Procedure
                                         upon Termination. In the event of termination by Purchaser or Sellers’
                                         Representative, or both, pursuant to Section ‎11.1
                                         above, written notice thereof shall be given to the other Parties, and this Agreement
                                         shall terminate, and other than as set forth in Section Error! Reference source not
                                         found. above, the Transactions shall be abandoned, without further action by Purchaser
                                         or Sellers.

 

		11.3.	Effect
                                         of Termination. In the event that this Agreement is validly terminated in
                                         accordance with Section ‎11.1,
                                         then each of the Parties shall be relieved of their duties and obligations arising under
                                         this Agreement after the date of such termination and such termination shall be without
                                         liability to Purchaser, the Company or any Seller; provided, that no such termination
                                         shall relieve any Party hereto from liability for any material breach of this Agreement
                                         and, provided, further, that the rights and obligations of the parties set forth
                                         in Sections 8.3, 8.8, ‎8.9,
                                         11 and ‎12 hereof
                                         shall survive any such termination and shall be enforceable hereunder.

 

		12.	Miscellaneous.
                                         

 

		12.1.	Taxes.
                                         All transfer Taxes of any nature, including VAT, applicable to, or resulting from, the
                                         Transactions contemplated by this Agreement shall be borne by Purchaser. Notwithstanding
                                         the above, in connection with the VAT (if any) to be paid on the fixed deferred amount
                                         payable to the Sellers in connection with the Convertible Shares, if and to the extent
                                         the Purchaser is not credited by the ITA for such VAT, the Sellers shall pay an amount
                                         equal to 50% of such non-credited VAT amount. 

 

		12.2.	Expenses.
                                         Except as otherwise provided in this Agreement, the expenses incurred by any Party in
                                         connection with the negotiation and execution of this Agreement and each other agreement,
                                         document and instrument contemplated by this Agreement and the consummation of the transactions
                                         contemplated hereby and thereby, including fees for legal and investment banking services
                                         shall be paid by the party incurring such costs and expenses, except that, prior to Closing,
                                         the Company may bear all such expenses incurred by Sellers, if and to the extent included
                                         as Transaction Expenses. 

 

		12.3.	Sellers’
                                         Representative.

 

		(a)	Each
                                         Seller hereby irrevocably appoints Mr. Michael Golan (the “Sellers’ Representative”)
                                         (and by the execution of this Agreement as the Sellers’ Representative, Mr. Michael
                                         Golan hereby accept of his appointment) as such Seller’s representative, attorney-in-fact
                                         and agent, with full power of substitution to act in the name, place and stead of such
                                         Seller with respect to the transfer of such Seller’s Shares and Shareholders’
                                         Loans in accordance with the terms and provisions of this Agreement and the other Transaction
                                         Documents, and to act on behalf of such Seller in any

 

    36 

     

    

amendment
of or litigation or arbitration involving this Agreement and the other Transaction Documents and to do or refrain from doing all
such further acts and things, and to execute all such documents, as such Sellers’ Representative shall deem necessary or
appropriate in conjunction with any of the Transactions contemplated by this Agreement and the other Transaction Documents, including
the power:

 

		(i)	to
                                         take all action necessary or desirable in connection with the waiver of any condition
                                         to the obligations of the Sellers to consummate the Transactions contemplated by this
                                         Agreement and the other Transaction Documents;

 

		(ii)	to
                                         negotiate and execute all ancillary agreements, statements, certificates, statements,
                                         notices, approvals, extensions, waivers, undertakings, amendments and other documents
                                         required or permitted to given in connection with the consummation of the Transactions
                                         (it being understood that such Seller shall execute any such documents which the Sellers’
                                         Representative agrees to execute);

 

		(iii)	to
                                         terminate this Agreement if the Sellers are entitled to do so;

 

		(iv)	to
                                         give and receive all notices and communications to be given or received under this Agreement
                                         and the other Transaction Documents and to receive service of process in connection with
                                         the any claims under this Agreement and the other Transaction Documents, including service
                                         of process in connection with any Legal Proceedings relating hereto or thereto;

 

		(v)	to
                                         take all actions which under this Agreement and the other Transaction Documents may be
                                         taken by the Sellers and to do or refrain from doing any further act or deed on behalf
                                         of the Seller which the Sellers’ Representative deems necessary or appropriate
                                         in his sole discretion relating to the subject matter of this Agreement and the other
                                         Transaction Documents as fully and completely as such Seller could do if personally present;

 

		(vi)	authorize
                                         delivery to Purchaser Indemnified Parties of the applicable portion of the Purchase Price,
                                         Holdback Amount or supplemental indemnification amounts, if any, in satisfaction of claims
                                         by them, object to such deliveries, and agree to, negotiate, defend, resolve, enter into
                                         settlements and compromises of, any suit, proceeding, claim or dispute under this Agreement
                                         or the other Transaction Documents on behalf of the Sellers and comply with orders of
                                         courts and awards of arbitrators with respect to such claims; and

 

		(vii)	to
                                         take all actions necessary or appropriate in the judgment of the Sellerrs’ Representative
                                         for the accomplishment of any or all of the foregoing.

 

		(b)	If
                                         Mr. Michael Golan becomes unable to serve as Sellers’ Representative, including
                                         if he is no longer a resident of Israel, such other Person or Persons with an Israeli
                                         address as may be designated by the holders of a majority of the Pro Rata Share (the
                                         “Majority Holders”) and notified to the Purchaser in writing upon
                                         not less than fifteen (15) days’ prior written notice, shall succeed as the Sellers’
                                         Representative.

 

		(c)	The
                                         Sellers’ Representative shall not be liable to any Seller for any error of judgment,
                                         or any action taken, suffered or omitted to be taken, under this Agreement, except in
                                         the case of its willful misconduct (which shall be deemed not to exist if the Sellers’
                                         Representative acted in good faith). The Sellers’ Representative may consult with
                                         legal counsel, independent public accountants and other experts and shall not be liable
                                         for any action taken or omitted to be taken in good faith in accordance with the advice
                                         of such counsel, accountants or experts. The Sellers’ Representative shall not
                                         have any duty to ascertain or to inquire as to the performance or observance of any of
                                         the terms, covenants or conditions of this Agreement. The Sellers shall, severally and
                                         not jointly, indemnify, defend and hold the Sellers’ Representative harmless against
                                         any Losses that may be incurred as such Losses are incurred by the Sellers’ Representative
                                         and arising out of or in connection with the acceptance or administration of the Sellers’
                                         Representatives duties hereunder. The Sellers shall be responsible for, and shall

 

    37 

     

    

reimburse
the Sellers’ Representative, upon demand, for, all reasonable expenses, disbursements and advances incurred or made by the
Sellers’ Representative in accordance with any of the provisions of this Agreement.

 

		(d)	Any
                                         and all decisions, acts, consents or instructions made or given by the Sellerrs’
                                         Representative in connection with this Agreement or the Transaction Documents shall constitute
                                         a decision of all the Sellers and shall be final, binding and conclusive upon each and
                                         every Seller, and the Purchaser shall be entitled to rely upon any such decision, act,
                                         consent or instruction of the Sellers’ Representative.

 

		(e)	Without
                                         duplicating or adding to the undertakings of any Seller hereunder, the Sellers’
                                         Representative, in his capacity as Sellers' Representative, shall treat confidentially
                                         and, subject to any applicable Law, not disclose any nonpublic information from or about
                                         the Group Companies or Purchaser to anyone (except on a need to know basis to individuals
                                         (identified to the Company and Purchaser in writing in advance) who agree in writing
                                         to, or are bound by, confidentially.
                                         

 

		12.4.	Governing
                                         Law; Jurisdiction. This Agreement and any dispute arising herefrom shall
                                         be governed exclusively by and construed solely according to the internal laws of the
                                         State of Israel, without regard or giving effect to the conflict of laws or choice of
                                         law provisions thereof or of any other jurisdiction. Each of the Parties hereby expressly
                                         and irrevocably submits to the exclusive jurisdiction of the appropriate court in Tel-Aviv,
                                         Israel. SUCH COURTS SHALL HAVE EXCLUSIVE JURISDICTION OVER ANY AND ALL DISPUTES BETWEEN
                                         THE PARTIES HERETO, WHETHER IN LAW OR EQUITY, ARISING OUT OF OR RELATING TO THIS AGREEMENT
                                         AND THE TRANSACTIONS AND THE PARTIES CONSENT TO AND AGREE TO SUBMIT TO THE EXCLUSIVE
                                         JURISDICTION OF SUCH COURTS. EACH OF THE PARTIES HEREBY WAIVES AND AGREES NOT TO ASSERT
                                         IN ANY SUCH DISPUTE, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY CLAIM THAT
                                         (A) SUCH PARTY IS NOT PERSONALLY SUBJECT TO THE JURISDICTION OF SUCH COURTS, (B) SUCH
                                         PARTY AND SUCH PARTY’S PROPERTY IS IMMUNE FROM ANY LEGAL PROCESS ISSUED BY SUCH
                                         COURTS OR (C) ANY LITIGATION OR OTHER PROCEEDING COMMENCED IN SUCH COURTS IS BROUGHT
                                         IN AN INCONVENIENT FORUM. EACH PARTY TO THIS AGREEMENT IRREVOCABLY CONSENTS TO SERVICE
                                         OF PROCESS IN THE MANNER PROVIDED FOR NOTICES IN SECTION 12.8 BELOW. NOTHING IN THIS
                                         AGREEMENT SHALL AFFECT THE RIGHT OF ANY PARTY TO THIS AGREEMENT TO SERVE PROCESS IN ANY
                                         OTHER MANNER PERMITTED BY LAW. It is hereby clarified that Purchaser may commence any
                                         legal proceeding in any other court, solely for the purpose of enforcing an order or
                                         judgment issued by the Israeli courts.

 

		12.5.	Successors
                                         and Assigns; Assignment. Except as otherwise expressly limited herein, the
                                         provisions hereof shall inure to the benefit of, and be binding upon, the successors,
                                         assigns, heirs, executors, and administrators of the Parties. No Party may sell, assign,
                                         transfer or otherwise convey any of its rights or duties under this Agreement. Notwithstanding
                                         the foregoing, Purchaser may assign its rights, interests and obligations hereunder to
                                         any of its Affiliates; provided that it remains jointly and severally liable, together
                                         with such assignee for all obligations hereunder and in connection with any Transaction
                                         Document.

 

		12.6.	Third
                                         Party Beneficiaries. Except as expressly set forth herein, this Agreement
                                         is for the sole benefit of the Parties hereto and their successors and permitted assigns
                                         and nothing herein expressed or implied shall give or be construed to give to any Person,
                                         other than the Parties and such successors and permitted assigns, any legal or equitable
                                         rights hereunder.

 

		12.7.	Entire
                                         Agreement. This Agreement and the Schedules and Exhibits hereto constitute
                                         the full and entire understanding and agreement between the Parties with regard to the
                                         subject matters hereof and thereof, and supersede and preempt all prior understandings,
                                         agreements, undertakings and representations by or between the Parties, written or oral,
                                         with respect to the subject matter hereof and thereof.
                                         

 

    38 

     

    

		12.8.	Notices.
                                         All notices, requests and other communications required or permitted hereunder to be
                                         given to a Party shall be in writing and shall be delivered by courier or other means
                                         of personal service, or sent by email or mailed first class, postage prepaid, by certified
                                         mail, return receipt requested, in all cases, addressed to such Party’s address
                                         as set forth below or at such other address as a Party shall have furnished to the other
                                         Party in writing in accordance with this provision:

 

	if
        to the Company prior to Closing:

         
	Golan
Telecom Ltd 

        98
Igal Alon 

        Tel
Aviv 

        Attn:
Michael Golan 

        E-Mail:
        mgolan@golantelecom.co.il 

	with
a copy to 

        (which
        shall not constitute notice):

         
	 
	 	 
	If to any Seller or the Sellers' Representative,
    to the Sellers' Representative:	Michael
Golan 

        Golan
Telecom Ltd 

        98
Igal Alon 

        Tel
Aviv 

        E-mail:
boukomichael@gmail.com 

	 	 
	 	 
	With a copy to (which shall not constitute
    notice):	Gornitzky & Co. 

        45
Rothschild Blvd. 

        Tel
Aviv, Israel 

        Fax:
        03-5606555

        Attn:
Chaim Friedland, Adv. 

	 	 
	If to the Purchaser (and, after Closing, the
    Company):	Cellcom
        Israel Ltd

        

        10
        Hagavish st., Netania

        

        Attn:
Liat Menahemi 

        Fax:
09-8607986 

	 	 
	with
        a copy to

         

        (which
        shall not constitute notice):

         
	Goldfrarb,
        Seligman & Co.

        

        Ampa
        Tower

        

        98
        Igal Alon St.

        

        Tel
        Aviv

        

        Attn:
        Nechama Brin, Adv, Ido Zemach, Adv.

        

        Fax:
03-6089909 

	 	 

Any
notice sent in accordance with this Section shall be effective: (i) if mailed, seven days after mailing, (ii) if sent by messenger,
upon delivery, and (iii) if sent via email, upon delivery. However, if any communication would otherwise become effective on a
non-Business Day or after 6 p.m. on a Business Day, it shall instead become effective at 9 a.m. on the next Business Day.

 

		12.9.	Amendment
                                         and Waiver. Any term of this Agreement may be amended only with the written
                                         consent of the Purchaser and the Sellers’ Representative.

 

		12.10.	Severability.
                                         If any provision of this Agreement is held by a court of competent jurisdiction to be
                                         invalid, illegal or unenforceable under applicable law, then such provision shall be
                                         excluded from this Agreement and the validity, legality and enforceability of the remainder
                                         of this Agreement and the remaining provisions shall not in any way be affected or impaired
                                         thereby (unless the exclusion of such provision materially undermines the purpose and
                                         intent of the Parties, in which case this Agreement shall be null and void); provided,
                                         however, that in such event, this Agreement shall be interpreted so as to give effect,
                                         to the greatest extent

 

    39 

     

    

consistent
with and permitted by applicable law, to the meaning and intention of the excluded provision as determined by such court of competent
jurisdiction.

 

		12.11.	Execution
                                         in Counterparts. This Agreement may be executed in one or more counterparts,
                                         each of which shall be deemed an original and enforceable against the Parties actually
                                         executing such counterpart, and all of which together shall constitute one and the same
                                         instrument. The exchange of a fully executed Agreement (in counterparts or otherwise)
                                         by electronic transmission in .PDF format or by facsimile shall be sufficient to bind
                                         the Parties to the terms and conditions of this Agreement.

 

		12.12.	Existing
                                         Purchaser-Company Contracts. Except as set forth in Section 8.3 hereof, nothing
                                         in this Agreement (including the Schedules hereof) shall be construed as a modification
                                         of any existing Contracts between the Purchaser Group and the Group Companies nor be
                                         deemed as any representation or warranty by them regarding such Contracts or any disputes
                                         arising therefrom.

 

** Remainder
of page intentionally left blank **

 

    40 

     

    

IN WITNESS
WHEREOF the Parties have signed this Agreement as of the date first hereinabove set forth.

 

    41 

     

    

Schedule
1.5

 

Definitions

 

	Active Subscribers	 	means,
with respect to a specified date, the average between: (a) the number of Sim cards that were active in the VLR during the preceding
90 days, and (b) the number of subscribers who were billed by the Company during the preceding 90 days. 

	Adjusted Accounts Payable	 	means, on the Closing Date, accounts payable by the Group Companies
    to suppliers (other than Purchaser), that are due for more than 90 days from the end of the month in which the relevant invoice
    was issued (current + 90), excluding accounts payable by the Group Companies to (i) Powerwave; (ii) all Israeli ILDs
    ("Current Account Payables").
	Adjusted Prepaid Payable	 	means, in case the Closing Date occurs before the date of the
    operational change in the Company relating to Company's obligation to charge the package flat rate postpaid rather than prepaid,
    the amount before VAT to be collected for the calendar month in which the Closing Date falls regarding monthly package flat
    rate, net of (a) promotions,(b) out-of-package, above-package, (c) SIM revenues, and (d) other items, which are not impacted
    by the operational change in the above Company obligation. 
	Adjusted Purchaser Payable	 	means all sums (excluding the National Roaming Gap) that, as
    of the Closing Date, are due to the Purchaser from the Group Companies but are scheduled to be payable following the Closing.
	Affiliate	 	means, with respect to any Person, any other Person that, directly
    or indirectly through one or more intermediaries, controls, or is controlled by, or is under common control with, such Person,
    and the term “control” (including the terms “controlled by” and “under common control with”)
    means the possession, directly or indirectly, of the power to direct or cause the direction of the management and policies
    of such Person, whether through ownership of voting securities, by contract or otherwise.
	Antitrust Condition	 	means the valid approval, consent, waiver, license, order, permit,
    ruling, authorization or clearance in relation to the sale of the Shares and, to the extent required, the other Transactions,
    from the Israel Antitrust Authority (the “Antitrust Authorities”). 
	Bank Guarantees	 	means those bank guarantees delivered by the Company for the
    benefit of the Israeli Ministry of Communication, in the aggregate principle amount of NIS 95,000,000, as set forth in Schedule
    7.3  
	Benefit Plans	 	means each employee benefit plan and each equity based compensation,
    incentive, bonus, profit sharing, savings, deferred compensation, health, medical, dental, life insurance, disability, accident,
    supplemental unemployment or retirement or fringe benefit plan or program maintained by the Group Companies or to which they
    contribute (or have any obligation to contribute) or have or could have any liability or are a party.
	Business Day	 	means any day other than a Friday, Saturday or a day on which
    the banking institutions in Israel are required to be closed due to applicable Law or a Governmental Authority Order.

   

 

    42 

     

    

	Call Options	 	means as set forth in Schedule 6.4.
	Cash and Cash Equivalents	 	means cash and cash equivalents in accordance with GAAP, including
    the restricted deposit collateral securing Bank Guarantees and loans from Bank Mizrahi-Tefahot, in the Company's account there,
    Branch 61, the balance of which stands at NIS 36,000,000 as of the date hereof.
	Closing Date	 	means the date on which Closing shall occur.
	Company Debt	 	means, without duplication, the Indebtedness of the Company
    and the Subsidiaries as of the specified date, including the MOC Payment, minus the Cash and Cash Equivalents as of the relevant
    date.
	Confidentiality Agreement	 	means that Confidentiality Agreement, dated [   ].
    
	Confidential Information	 	means, with respect to any Person, such Person's proprietary
    or personal information except to the extent that such information can be shown to have been (i) known prior to disclosure
    by such Person on a non-confidential basis by the recipient, or (ii) in the public domain other than by breach of this Agreement
    by the recipient or (iii) later acquired by such recipient from sources, other than the disclosing Person, not bound by any
    confidentiality obligation to the disclosing Person with respect to such information.
	Contract	 	means any (written or oral) contract, indenture, note, bond,
    lease, commitment or other agreement.
	EBITDA	 	means the earnings before interest, tax, depreciation and amortization
    of the Company, on a consolidated basis, for the specified period, determined in accordance with GAAP as consistently applied
    by the Company. 
	Electronic Dataroom	 	means the data room maintained by Purchaser at Intralinks.com.
    
	Environmental Law	 	means any foreign, federal, state or local statute, regulation,
    ordinance, rule of common law or other legal requirement relating to the protection of human health and safety, the environment
    (including ambient air, soil, surface water or groundwater, or subsurface strata) or natural resources. 
	GAAP	 	means generally accepted accounting principles in the State
    of Israel as of the date hereof.
	Governmental Authority	 	means any government or governmental or regulatory body thereof,
    or political subdivision thereof, whether federal, state, local or foreign, or any agency, instrumentality or authority thereof,
    or any court or arbitrator (public or private).
	Group Companies	 	means the Company and the Subsidiaries.
	Holdback Amount	 	means NIS 117 Million
	Indebtedness	 	of any Person means, as of any specified date, the amount equal
    to the sum (without duplication), of the following obligations (whether or not then due and payable or with recourse or not):
    (i) the principal of and premium (if any) in respect of (A) indebtedness of such Person for money borrowed and (B) indebtedness
    evidenced by notes, debentures, bonds or other similar instruments for the payment of which such Person is responsible or
    liable; (ii) all obligations of such Person for the reimbursement of any obligor on any letter of credit, banker’s
    acceptance or similar credit transaction; (iii) all obligations of the type referred to in clauses (i) and (ii)
    of other Persons for the payment of 

   

 

    43 

     

    

	 	 	which such Person is responsible or liable, directly
    or indirectly, as obligor, guarantor, surety or otherwise, including guarantees of such obligations; (iv) obligations under
    capital leases; (v) interest (including default interest), premiums, penalties, breakage fees and other amounts owing in respect
    of the items described in the foregoing clauses (i) through (iv); and (vi) all obligations of the type referred
    to in clauses (i) through (iv) of other Persons secured by any Lien on any property or asset of such Person (whether
    or not such obligation is assumed by such Person)].
	Intellectual Property	 	means all intellectual property rights [used by the Company
    and the Subsidiaries arising from or in respect of the following: (i) all patents and applications therefor, (ii) all
    trademarks, service marks, trade names, service names, brand names, trade dress rights, logos, internet domain names and corporate
    names, together with the goodwill associated with any of the foregoing, and all applications, registrations and renewals thereof,
    and (iii) copyrights and registrations and applications therefor, works of authorship and mask work rights]. 
	Key Employees	 	means as set forth (without specifying the identities thereof)
    in Schedule 7.13.
	Knowledge 	 	means (a) with respect to a Seller, the actual knowledge and
    the knowledge after reasonable inquiry of such Seller, (b) with respect to Purchaser, the actual knowledge and the knowledge
    after reasonable inquiry of the CEO, CFO and General Counsel of Purchaser, and (c) with respect to the Company, the actual
    knowledge and the knowledge after reasonable inquiry of those Persons identified on Schedule B.
	Law(s)	 	means any domestic or foreign
    law, statute, code, ordinance, rule or regulation, including any principle of common law, Order, ruling or requirement issued,
    enacted, adopted, promulgated, implemented or otherwise put into effect by or under the authority of any Governmental Authority.
	Legal Proceedings	 	means any judicial, administrative or arbitral actions, suits
    or proceedings (public or private) by or before a Governmental Authority.
	Liability	 	means any debt, liability or obligation, and including all costs
    and expenses relating thereto, whether accrued or fixed, known or unknown, absolute or contingent, matured or unmatured or
    determined or determinable and whether or not the same would be required by GAAP to be reflected in financial statements or
    disclosed in the notes thereto.
	Lien	 	means any lien, encumbrance, pledge, mortgage, deed of trust,
    security interest, claim, lease, charge, option, right of first refusal, preemptive or similar rights, easement, servitude
    or similar restrictions, including any restriction on voting, transfer, receipt of income or exercise of any other attribute
    of ownership.
	Permitted Liens	 	mean (i) statutory liens for Taxes that are not yet due and
    payable or are being contested in good faith by appropriate proceedings and are disclosed, if any, in Schedule [7.9],
    (ii) statutory or common law liens to secure obligations to landlords, lessors or renters under leases or rental agreements
    confined to the premises rented and are disclosed in Schedule [  ], (iii) statutory or common law liens in
    favor of warehousemen, mechanics and materialmen to secure claims for labor, materials or supplies, and [(iv) immaterial liens
    incurred in the ordinary course of business which do not impair use of the related asset as 

   

 

    44 

     

    

   

 

	 	 	presently used in the business of the Company and
    its Subsidiaries].
	material	 	means to include material, on individual or aggregate basis
    (such as a series of immaterial recurring or related events that, in the aggregate, are material).    
	Material Adverse Effect	 	means any event, circumstance, development, condition, state
    of facts, occurrence, change or effect (each, an "Effect") that, individually or together with any other
    Effect (a) is or would reasonably be expected to, either individually or in the aggregate, to have a material adverse effect
    on the business, assets, properties, results of operations or financial condition of the Company and its Subsidiaries (taken
    as a whole) or (b) is or would reasonably be expected to, either individually or in the aggregate, to prevent, materially
    alter or materially delay the ability of the Company or the Sellers to consummate the Transactions contemplated by this Agreement,
    other than, with respect to clause (a), an effect resulting from any one or more of the following (except, in each case, to
    the extent any such effect disproportionately affects the Company or its business as compared to similarly situated companies
    or businesses): (i) the effect of any change in the Israel or foreign economies or securities, financial, or communication
    (including telephony (mobile or fixed), TV, and internet) markets in general; (ii) the effect of any change that generally
    affects the industry in which the Company or any of its Subsidiaries operates; (iii) the effect of any change arising as a
    result of earthquakes, hostilities, acts of war, sabotage or terrorism or military actions or any escalation or material worsening
    of any such hostilities, acts of war, sabotage or terrorism or military actions existing or underway as of the date hereof
    (but not the actual damage or loss resulting therefrom) (iv) the effect of any changes in applicable Laws or accounting rules;
    or (v) the effect of any action taken by the Company at the express written request of Purchaser.   
	MOC Condition	 	means the valid approval, consent, waiver, license, order, permit,
    ruling, authorization or clearance in relation to the sale of the Shares and, to the extent required, the other Transactions
    (including with respect to the Convertible Note), from the Israeli Ministry of Communication.
	MOC License	 	[means the General License for the provision of Cellular Services
    ('Rishion Ratan') issued by the Israeli Ministry of Communication to the Company.]
	MOC Payment	 	means the sum payable to the Israeli Ministry of Communication
    in the event of a change of control pursuant to Section 21.2 of the MOC License. Such sum shall be reduced if and to the extent
    that Purchaser has received, prior to Closing, a valid written approval from the Israeli Ministry of Communication, in form
    and substance reasonably satisfactory to Purchaser, to the effect that the Israeli Ministry of Communication had reduced the
    MOC Payment. 
	NRA	 	means the National Roaming Agreement, dated October 6, 2011,
    as amended from time to time, including by the May 25, 2014 and September 21, 2014 letters. 
	NSAs	 	mean (i) the IRU Agreement, dated December  __, 2013,
    and (ii) the Network Sharing Agreement, dated May 25, 2014, both as amended and updated from time to time.
	Order	 	means any order, injunction, judgment, decree, ruling, writ,
    assessment or arbitration award of a Governmental Authority.

   

 

    45 

     

    

	Ordinary course or ordinary course of business	 	means a course of action that (a) is consistent
    in nature, scope and magnitude with the past practices of a Person and is taken in the ordinary course of the normal, day-to-day
    operations of such Person, (b) does not require authorization by the board of directors or shareholders of such Person (or
    by any Person or group of Persons exercising similar authority), and (c) is substantially similar in nature, scope and magnitude
    to actions customarily taken, without any separate or special authorization, in the ordinary course of the normal, day-to-day
    operations of other Persons that are in the same line of similarly situated business as such Person.
	Permit	 	means any approvals, authorizations, consents, licenses, permits
    or certificates.
	Person	 	means any individual, corporation, partnership, firm, joint
    venture, association, joint-stock company, trust, unincorporated organization, Governmental Authority or other entity.
	Pro Rata Share	 	the percentage that reflects the portion out of the Purchase
    Price payable to the applicable Seller pursuant to their share
	Purchase Price	 	means NIS 1,170,000,000 (NIS one billion, one hundred and seventy
    million), consisting of: (i) NIS 316,679,990 for the Shareholder Loans; (ii) and the balance for the Shares. 
	Purchaser’s Group	 	means the Purchaser and its Subsidiaries.
	Revenues	 	means the revenues of the Company for the specified period,
    determined in accordance with GAAP as consistently applied by the Company. 
	Shareholders’ Loans	 	means [the amount (in principal and interest) owed by the Company
    to the Sellers pursuant to the shareholders’ loans held by the Sellers in the books of the Company as of the Closing
    Date. As of the date hereof and as of the Closing, the total amount of Shareholders' Loans and its allocation between the
    Sellers are set forth in Schedule A. 
	Specified Representations	 	means Sections 6.1, 6.2, 6.4, 6.7, 7.1, 7.2, 7.4,  and
    7.9.
	Straddle Period	 	means any taxable period that begins prior to and ends after
    the Closing Date.
	Subsidiaries	 	means all of the Company's direct and indirect Subsidiaries,
    including those Persons set forth on Schedule ‎7.5(a).
	Tax(es)	 	means (i) all domestic or foreign taxes, charges, fees, imposts,
    levies or other assessments, including all net income, gross receipts, capital, sales, use, ad valorem, value added, transfer,
    franchise, profits, inventory, capital stock, license, withholding, payroll, employment, social security, unemployment, excise,
    severance, stamp, occupation, property and estimated taxes, customs duties, fees, assessments and charges of any kind, (ii)
    all interest, penalties, fines, additions to tax or additional amounts imposed by any taxing authority in connection with
    any item described in clause (i), and (iii) any transferee liability in respect of any items described in clauses (i) and
    (ii).
	Tax Return	 	means all returns, declarations, reports, estimates, information
    returns and statements required to be filed in respect of any Taxes.

   

 

    46 

     

    

	Transactions	 	means the transactions contemplated by this Agreement
    and by the Transaction Documents, including the sale of the Shares and the assignment of the Shareholders’ Loans in
    accordance with the terms hereof.
	Transaction Documents	 	means this Agreement, the Registration Rights Agreement, the
    Convertible Note, and all agreements ancillary to this Agreement.
	Transaction Expenses	 	means
(a) all out-of-pocket costs, fees and expenses payable to third parties (including all fees and disbursements of counsel,
investment banks, financial advisors and accountants) incurred by the Company or its Subsidiaries (or any Seller to the extent
a Liability or obligation of the Company or its Subsidiaries) on or prior to the Closing in connection with the negotiation and
preparation of this Agreement, the other Transaction Documents, and the other documents required to effectuate the Closing, and
the performance of this Agreement and the other Transaction Documents and the Transactions, whether or not invoiced or billed
prior to the Closing and (b) all transaction bonus, change-of-control payment, retention, severance or other payments or
other forms of compensation that are created, accelerated or become payable by the Company or its Subsidiaries as a result of
the Closing or the Transactions and any payroll taxes incurred or to be incurred by them in connection therewith, except to the
extent the right to receive such payment or other form of compensation is waived by the applicable recipient, together, in the
case of each of clauses (a) and (b) above, with all Taxes (including VAT) and other amounts required to be paid by or on behalf
of the Company or its Subsidiaries in connection with any of the foregoing. For the sake of clarity, the D&O Insurance Expenses
payable pursuant to Section 8.10 are deemed to be Transaction Expenses. 

	VAT Credit	 	means any VAT amount relating to Invoices not yet filed in VAT
    report of the company, or VAT amount for invoices that are included in VAT report of the company for which the company has
    not received  from VAT authorities (VAT return) as of the Closing Date. Invoices regarding considerations will be
    issued up to the 8th of the month following the activity period. .

 

 

    47EX-10.1

 Exhibit 10.1 

EXECUTION VERSION 

This AMENDMENT NO. 5, dated as of March 17, 2016 (this “Amendment”), among OCI BEAUMONT LLC, a Texas limited
liability company (the “Borrower”), OCI PARTNERS LP, a Delaware limited partnership (the “MLP”), BANK OF AMERICA, N.A., as administrative agent (in such capacity, together with its successors, the
“Administrative Agent”), and BANK OF AMERICA, N.A., as a Lender, amends that certain Revolving Credit Agreement dated as of April 4, 2014 (as amended by Amendment No. 1 dated as of June 13, 2014, Amendment
No. 2 dated as of March 12, 2015, Amendment No. 3 and Waiver dated as of October 16, 2015 and Amendment No. 4 dated as of March 11, 2016 and as further amended, supplemented or otherwise modified from time to time, the
“Credit Agreement”), entered into among the Borrower, the MLP, the institutions from time to time party thereto as Lenders (the “Lenders”), the Administrative Agent and the other agents and arrangers named therein.
Capitalized terms used herein and not otherwise defined herein shall have the meanings ascribed to them in the Credit Agreement. 
 W I T
N E S S E T H: 
 WHEREAS, pursuant to Section 13.12(a) of the Credit Agreement, the Credit Agreement and any other Credit Document
may be amended, supplemented or modified with the consent of the Credit Parties and the Required Lenders; 
 WHEREAS, the Credit Parties,
the Administrative Agent and Bank of America, N.A., as Lender (the “Consenting Lender”) desire to the amend the Credit Agreement on the terms set forth herein; 

NOW, THEREFORE, in consideration of the premises and for other good and valuable consideration, the sufficiency and receipt of all of which is
hereby acknowledged, the parties hereto hereby agree as follows: 
 SECTION 1. Amendments to the Credit Agreement. Effective as of
the Amendment No. 5 Effective Date (as defined below), the Credit Agreement is hereby amended as follows: 
 (a) The
following definition is added in alphabetical order to Section 1.01 thereof: 
 ““Minimum Liquidity
Amount” shall mean, at any date of determination, the sum of (i) the amount of unrestricted cash and Cash Equivalents (in each case, free and clear of all Liens, other than nonconsensual Liens permitted by Section 10.01 of the
Credit Agreement and Liens created under any Credit Document or the Existing Term Loan Credit Agreement) included on the consolidated balance sheet of the Borrower and its Subsidiaries as of such date and (ii) the aggregate undrawn amount of
the Revolving Commitments that is available for borrowing on such date. 
 (b) The definition of “Applicable Commitment
Fee Percentage” in Section 1.01 of the Credit Agreement is hereby amended and restated as follows: 

““Applicable Commitment Fee Percentage” shall mean a percentage per annum equal to 1.40%.” 

(c) The definition of “Applicable Margin” in Section 1.01 of the Credit Agreement is hereby amended and restated
as follows: 
 ““Applicable Margin” shall mean a percentage per annum equal to, in the case of Loans
maintained as (a) Base Rate Loans, 2.50% and (b) LIBO Rate Loans, 3.50%.” 

 (d) The definition of “Clean-up Date” in Section 1.01 of the
Credit Agreement is hereby amended and restated in its entirety as follows: 
 ““Clean-up Date” shall
mean the last Business Day of each fiscal quarter in each fiscal year of the Borrower, commencing September 30, 2016.” 

(e) The definition of “Revolving Loan Maturity Date” in Section 1.01 of the Credit Agreement is hereby amended
and restated in its entirety as follows: 
 ““Revolving Loan Maturity Date” shall mean March 31,
2017.” 
 (f) Section 5.02(b) of the Credit Agreement is hereby amended and restated in its entirety as follows:

 “On each Clean-up Date, the Borrower shall prepay in full all Revolving Loans outstanding on such date;
provided that with respect to the Clean-up Date occurring on September 30, 2016, the Borrower shall only be required to prepay an amount of Revolving Loans such that no more than $20,000,000 in aggregate principal amount of Revolving
Loans remain outstanding on such Clean-up Date after giving effect to such prepayment.” 
 (g) Section 11.01 is
hereby amended to delete “or” and insert “,” immediately before clause (ii), and insert the following immediately following clause (ii): 

“or (iii) shall fail to prepay the Revolving Loans in such amount required by Section 5.02(b) on any Clean-up
Date” 
 (h) Section 10.11(a) is hereby amended and restated in its entirety as follows: 

(a) The Borrower will not permit the Consolidated Senior Secured Net Leverage Ratio on the last day of any fiscal quarter in
the table below to exceed the ratio set forth opposite such period in the table below: 
  

					
	 Fiscal Quarter
	  	Maximum Consolidated Senior
Secured Net Leverage Ratio	 
	 June 30, 2016
	  	 	4.25:1.00	  
	 September 30, 2016
	  	 	4.75:1.00	  
	 December 31, 2016
	  	 	5.00:1.00	  

 (i) Section 10.11(b) is hereby amended and restated in its entirety as follows: 

(b) The Borrower will not permit the Consolidated Interest Coverage Ratio on the last day of any fiscal quarter in the table
below to be less than the ratio set forth opposite such period in the table below: 
  

					
	 Fiscal Quarter
	  	Minimum Consolidated Interest
Coverage Ratio	 
	 June 30, 2016
	  	 	3.00:1.00	  
	 September 30, 2016
	  	 	2.50:1.00	  
	 December 31, 2016
	  	 	2.50:1.00	  

  
 -2- 

 (j) The following is added as Section 10.11(c) of the Credit Agreement: 

The Borrower will not permit the Minimum Liquidity Amount on the last day of any fiscal quarter in the table below to be less
than the amount set forth opposite such period in the table below: 
  

					
	 Fiscal Quarter
	  	Minimum Liquidity Amount	 
	 June 30, 2016
	  	$	15,000,000	  
	 September 30, 2016
	  	$	20,000,000	  
	 December 31, 2016
	  	$	40,000,000	  

 SECTION 2. Conditions of Effectiveness. This Amendment shall become effective as of the first date
(such date being referred to as the “Amendment No. 5 Effective Date”, which date is March 17, 2016) when each of the following conditions shall have been satisfied: 

(a) The Administrative Agent shall have received counterparts of this Amendment duly executed and delivered by (A) the
Borrower, (B) the MLP, (C) the Consenting Lender and (D) the Administrative Agent. 
 (b) The Administrative
Agent shall have received, on behalf of itself and the Lenders, an opinion from Latham & Watkins LLP, special New York counsel to the Credit Parties, dated as of the Amendment No. 5 Effective Date and addressed to the Administrative
Agent and the Consenting Lender, in form and substance reasonably satisfactory to the Administrative Agent. 
 (c) The
Administrative Agent shall have received (i) certificates of good standing (to the extent such concept exists) from the applicable secretary of state of the state of organization of each Credit Party, certificates of resolutions or other
action, incumbency certificates and/or other certificates of Responsible Officers of each Credit Party as the Administrative Agent may reasonably require evidencing the identity, authority and capacity of each Responsible Officer thereof authorized
to act as a Responsible Officer in connection with this Amendment and (ii) a certificate, dated as of the Amendment No. 5 Effective Date, signed by a Responsible Officer of the Borrower, confirming satisfaction of the conditions set forth
in Sections 2(e) and (f) of this Amendment. 
 (d) Payment by the Borrower of all reasonable fees and expenses due to
the Administrative Agent and Merrill Lynch, Pierce, Fenner & Smith Incorporated (the “Arranger”), including, to the extent invoiced, reimbursement or payment of all out-of-pocket expenses (including the legal fees and
expenses of Cahill Gordon & Reindel LLP, counsel to the Administrative Agent). 
 (e) The
representations and warranties of the Borrower and each other Credit Party contained in Section 8 of the Credit Agreement (as amended hereby) or any other Credit Document shall be true and correct in all material respects (and in all respects
if any such representation or warranty is already qualified by materiality) on and as of the Amendment No. 5 Effective Date, except to the 

  
 -3- 

 
extent that such representations and warranties specifically refer to an earlier date, in which case they shall be true and correct in all material respects (and in all respects if any such
representation or warranty is already qualified by materiality) as of such earlier date. 
 (f) After giving effect to this
Amendment, no Default or Event of Default exists, or would result from the effectiveness of this Amendment. 
 (g) With
respect to any parcel of improved Mortgaged Property, a completed “Life-of-Loan” Federal Emergency Management Agency standard flood hazard determination (together with a notice about special flood hazard area status and flood disaster
assistance duly executed by the Borrower and each applicable Credit Party) together with a copy of, or certificate as to coverage under, and a declaration page relating to, the insurance policies required by Section 9.03 of the Credit Agreement
(including, without limitation, flood insurance policies) and the applicable provisions of the Security Documents, each of which (i) shall be endorsed or otherwise amended to include a “standard” or “New York” lender’s
loss payee or mortgagee endorsement (as applicable), (ii) shall name the Collateral Agent, on behalf of the Guaranteed Creditors, as additional insured, (iii) in the case of flood insurance, shall (a) identify the address of each
property located in a special flood hazard zone, (b) indicate the applicable flood zone designation, the flood insurance coverage for buildings and contents and the deductible relating thereto and (c) provide that the insurer will give the
Collateral Agent 45 days’ written notice of cancellation or non-renewal if permitted by applicable law and (iv) shall be otherwise in form and substance satisfactory to the Administrative Agent. 

SECTION 3. Post-Closing Actions. Within 30 days after the Amendment No. 5 Effective Date (or such later date as the Administrative
Agent may agree in its sole discretion), the Borrower will take, or shall cause the applicable Credit Party to take any actions deemed reasonably advisable by the Administrative Agent or Collateral Agent due to this Amendment to preserve or continue
the perfection and priority of liens and security interests granted under the Mortgage to the Collateral Agent for the benefit of the Guaranteed Creditors securing the Obligations, including without limitation mortgage amendments, opinions of
counsel and title endorsements, to the extent available. 
 SECTION 4. Representations and Warranties: On and as of the Amendment
No. 5 Effective Date, after giving effect to this Amendment, each Credit Party represents and warrants as follows: 

(a) Each Credit Party (i) is a duly organized and validly existing corporation, partnership, or limited liability company,
as the case may be, in good standing under the laws of the jurisdiction of its organization, (ii) has the corporate or limited liability company power and authority, as the case may be, to own its property and assets and to transact the
business in which it is engaged and presently proposes to engage and (iii) is, to the extent such concepts are applicable under the laws of the relevant jurisdiction, duly qualified and is authorized to do business and is in good standing in
each jurisdiction where the ownership, leasing or operation of its property or the conduct of its business requires such qualifications except for failures to be so qualified which, individually and in the aggregate, have not had, and would not
reasonably be expected to have, a Material Adverse Effect. 
 (b) Each Credit Party has the corporate, partnership or limited
liability company power and authority, as the case may be, to execute, deliver and perform the terms and provisions of this Amendment and has taken all necessary corporate, partnership or limited liability company action, as the case may be, to
authorize the execution, delivery and performance by it of this Amendment. Each Credit Party has duly executed and delivered this Amendment, and this Amendment constitutes its legal, valid and binding obligation enforceable in accordance with its

  
 -4- 

 
terms, except to the extent that the enforceability thereof may be limited by applicable bankruptcy, insolvency, reorganization, moratorium or other similar laws generally affecting
creditors’ rights and by equitable principles (regardless of whether enforcement is sought in equity or at law). 
 (c)
Neither the execution, delivery or performance by any Credit Party of this Amendment, nor compliance by it with the terms and provisions thereof, (i) will contravene any provision of any law, statute, rule or regulation or any order, writ,
injunction or decree of any court or governmental instrumentality, (ii) will conflict with or result in any breach of any of the terms, covenants, conditions or provisions of, or constitute a default under, or result in the creation or
imposition of (or the obligation to create or impose) any Lien (except pursuant to the Security Documents) upon any of the property or assets of any Credit Party pursuant to the terms of, any indenture, mortgage, deed of trust, credit agreement or
loan agreement, or any other material agreement, contract or instrument, in each case to which any Credit Party is a party or by which it or any of its property or assets is bound or to which it may be subject (except, in the case of preceding
clauses (i) and (ii), other than in the case of any contravention, breach, default and/or conflict, that would not reasonably be expected, either individually or in the aggregate, to have a Material Adverse Effect) or (iii) will violate
any provision of the certificate or articles of incorporation, certificate of formation, limited liability company agreement or by-laws (or equivalent organizational documents), as applicable, of any Credit Party or any of its respective
Subsidiaries. 
 (d) The execution, delivery, performance or effectiveness of this Amendment will not (i) impair the
validity, effectiveness or priority of the Liens granted pursuant to any Credit Document, and such Liens continue unimpaired with the same priority to secure repayment of all of the applicable Obligations, whether heretofore or hereafter incurred,
or (ii) require that any new filings be made or other action taken to perfect or to maintain the perfection of such Liens. 
 SECTION
5. Effect of Amendment. Except as expressly set forth herein, this Amendment shall not alter, modify, amend or in any way affect any of the terms, conditions, obligations, covenants or agreements contained in the Credit Agreement or any other
provision of the Credit Agreement or any other Credit Document, all of which are ratified and affirmed in all respects and shall continue in full force and effect. As of the Amendment No. 5 Effective Date, each reference in the Credit Agreement
to “this Agreement,” “hereunder,” “hereof,” “herein,” or words of like import, and each reference in the other Credit Documents to the Credit Agreement (including, without
limitation, by means of words like “thereunder,” “thereof” and words of like import), shall mean and be a reference to the Credit Agreement as amended hereby, and this Amendment and the Credit Agreement shall be
read together and construed as a single instrument. This Amendment shall constitute a Credit Document. 
 SECTION 6. Counterparts.
This Amendment may be executed in any number of counterparts and by different parties hereto on separate counterparts, each of which when so executed and delivered shall be an original, but all of which shall together constitute one and the same
instrument. A set of counterparts executed by all the parties hereto shall be lodged with the Borrower and the Administrative Agent. 

SECTION 7. Acknowledgement and Affirmation. Each Credit Party party hereto hereby expressly acknowledges, (i) all of its
obligations under the MLP Guaranty, the Subsidiaries Guaranty, the Security Agreement and the other Security Documents to which it is a party are reaffirmed and remain in full force and effect on a continuous basis, (ii) its grant of security
interests pursuant to the Security Agreement and the other Security Documents are reaffirmed and remain in full force and effect after giving effect to this Amendment, (iii) the Obligations include, among other things and without limitation,

  
 -5- 

 
the due and punctual payment of the principal of, interest on, and premium (if any) on, the Loans and (iv) except as expressly set forth herein, the execution of this Amendment shall not
operate as a waiver of any right, power or remedy of the Administrative Agent or Lenders, constitute a waiver of any provision of any of the Credit Documents or serve to effect a novation of the Obligations. 

SECTION 8. Applicable Law. THIS AMENDMENT AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES HEREUNDER AND THEREUNDER SHALL, EXCEPT AS
OTHERWISE PROVIDED IN THE CREDIT AGREEMENT OR THE SECURITY DOCUMENTS, BE CONSTRUED IN ACCORDANCE WITH AND BE GOVERNED BY THE LAW OF THE STATE OF NEW YORK. 

SECTION 9. Headings Descriptive. The headings of the several Sections and subsections of this Amendment are inserted for convenience
only and shall not in any way affect the meaning or construction of any provision of this Amendment. 
 [SIGNATURE PAGES FOLLOW] 

  
 -6- 

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

					
	OCI BEAUMONT LLC
		
	By:	 	 /s/ Frank Bakker

		 	Name:	 	Frank Bakker
		 	Title:	 	President
	
	OCI PARTNERS LP
		
	By:	 	OCI GP LLC, as its General Partner
		
	By:	 	 /s/ Frank Bakker

		 	Name:	 	Frank Bakker
		 	Title:	 	President and Chief Executive Officer

  
 [OCI – Revolving
Credit Facility Amendment No. 5] 

					
	BANK OF AMERICA, N.A.,
	 as Administrative Agent

		
	By:	 	 /s/ Patrick Devitt

		 	Name:	 	Patrick Devitt
		 	Title:	 	Vice President

  
 [OCI – Revolving
Credit Facility Amendment No. 5] 

					
	 BANK OF AMERICA, N.A.,

as Lender

		
	By:	 	 /s/ Lindsay Kim

		 	Name:	 	Lindsay Kim
		 	Title:	 	Vice President

  
 [OCI – Revolving
Credit Facility Amendment No. 5]

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00256-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00256-of-00352.parquet"}]]