Document:

Development and Manufacturing Agreement

 Exhibit 10.3 
  
 NOTE: Portions of this Exhibit are the subject of a Confidential Treatment Request by the Registrant to the Securities and
Exchange Commission (the “Commission”). Such portions have been redacted and are marked with a “[***]” in place of the redacted language. The redacted information has been filed separately with the Commission. 
  
 THIS DEVELOPMENT AND MANUFACTURING AGREEMENT (the “Agreement”) is
executed as of this 9th day of October, 2001, by and between PRINCETON BIOMEDITECH CORPORATION, a New Jersey corporation (“PBM”), having its principal place of business at 4242 U.S. Route 1, Monmouth Junction, New Jersey 08852, and SYN.X
PHARMA, INC., an Ontario corporation (“SYN.X”), having its principal place of business at 6354 Viscount Road, Mississauga, Ontario L4VIH3 Canada. PBM and SYNX are individually referred to herein as a “Party” and collectively
referred to herein as the “Parties”. 
  
 RECITALS

  
 A. SYN.X has developed, and is in the process of further
developing, certain unique, proprietary biomarkers and protein targets for the diagnosis of congestive heart failure, insulin resistance, Alzheimer’s disease, traumatic brain injury and other various diseases, excluding stroke. 
  
 B. PBM has expertise in further developing biomarkers and protein targets for
their commercial use in rapid assay, point of care, diagnostic test products, and in producing rapid assay, point of care diagnostic test products utilizing such biomarkers and protein targets. 
  
 C. SYN.X and PBM wish to work together to advance their common goal of
developing, producing and distributing point of care rapid assay products produced by PBM utilizing biomarkers and protein targets supplied by SYN.X. 
  
 NOW, THEREFORE, in consideration of the foregoing premises, which are incorporated into and made a part of this Agreement, and of the mutual covenants
which are set forth herein, the Parties hereby agree as follows: 
  
 ARTICLE 1 
 DEFINITIONS 
  

	 	1.1	“Affiliate” means any person or entity which directly or indirectly, through one or more intermediaries, controls, is controlled by, or is under common control
with, a Party. “Control” means the legal or beneficial ownership of 50% or more of the voting or equity interests or the power or right to direct the management and affairs of the entity. 

  

	 	1.2	“Customer” shall mean any purchaser of POC Rapid Assays. 

  

	 	1.3	“cGMP” shall mean current good manufacturing practices related to diagnostic pharmaceutical products under applicable laws, rules and regulations in all relevant
jurisdictions, including without limitation the guidelines of good manufacturing practices determined by the FDA and the equivalent European regulatory body. 

  

	 	1.4	“FDA” means the United States Food and Drug Administration, or any successor entity. 

  

	 	1.5	“FD & C Act” shall mean the United States Federal Food, Drug and Cosmetic Act, as amended. 

  

	 	1.6	“Panel” shall mean a POC Rapid Assay containing one or more analyte(s). 

  

	 	1.7	“PBM” shall mean Princeton BioMeditech Corporation, as identified above, and its Affiliate entities. 

  

	 	1.8	“Quantitative Reader” shall mean a quantitative reader that will be incorporated into all of the POC Rapid Assays, to be developed by a third party under license or
contract from PBM. 

  

	 	1.9	“Reagents” shall mean biomarkers and protein targets developed and produced by SYN.X for the diagnosis of congestive heart failure, insulin resistance, Alzheimer’s
disease, traumatic brain injury and other various diseases, excluding stroke. The term “Reagents” shall also include all other biomarkers and protein targets developed and produced by SYN.X (other than for stroke) for which there shall be
application in the point of care diagnostic products. 

  

	 	1.10	“Regulatory Approval” shall mean, with respect to any country or jurisdiction, all FDA, FDA-counterpart, governmental and regulatory registrations and approvals
(including, but not limited to, approvals of all POC Rapid Assay labeling and POCkaging) required for the marketing, distribution and sale of the POC Rapid Assays in such country or jurisdiction. 

  

	 	1.11	“POC Rapid Assays” shall mean rapid assay diagnostic point of care products, utilizing Reagents; provided, however, that “POC Rapid Assays” shall not include
devices for test procedures performed in a hospital’s central clinical laboratory or in a reference laboratory setting. In addition, “POC Rapid Assays” shall not include any assay that can be used on any instrument with random access
capability and/or any instrument with the ability to analyze multiple samples. 

  

	 	1.12	“POC Rapid Assay Specifications” shall mean the standards and specifications for the manufacture of the POC Rapid Assays, as developed and agreed to by the Parties, as
amended from time to time, and shall be appended to and form part of this Agreement. 

  

	 	1.13	“Reagent Specifications” shall mean the standards and specifications for the manufacture of the Reagents, as developed and agreed to by the Parties, as amended from time
to time, and shall be appended to and form part of this Agreement. 

  

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	 	1.14	“SYN.X” shall mean SYN.X Pharma, Inc., as identified above, and its Affiliate entities. 

  
 ARTICLE 2 
 PRODUCT DEVELOPMENT 
  

	 	2.1	Research and Development of Reagents by SYN.X: Reagent Specifications: Clinical Trials. 

  

	 	a)	SYN.X agrees to continue to conduct research and development with respect to the Reagents and to work and cooperate with PBM in the development of Reagents that the Parties shall
reasonably each agree are suitable for use by PBM in the production of POC Rapid Assays in commercial quantities. The final decision as to which marker Reagents shall be developed into POC Rapid Assays shall be in the sole discretion of SYN.X.

  

	 	b)	SYN.X agrees to take such measures as it deems necessary and appropriate with respect to obtaining and maintaining patent protection for the Reagents in such jurisdictions as SYN.X
in its sole discretion may determine. 

  

	 	c)	SYN.X agrees to take such measures as it believes reasonable to develop scientific interest in the Reagents, through obtaining publication of research and other articles in
scientific journals and publications, giving papers and other similar measures, in its sole discretion. 

  

	 	d)	SYN.X agrees from time to time to supply PBM with such quantities of each Reagent as is reasonably required to enable PBM to produce sample POC Rapid Assays for the clinical trials
and other studies to be conducted by SYN.X. 

  

	 	e)	SYN.X agrees to conduct all such clinical trials and other testing of each Reagent as is reasonably required in order to obtain Regulatory Approval for the marketing and sale of POC
Rapid Assays from the Regulatory Authorities in any jurisdiction in which the Parties desire that POC Rapid Assays shall be marketed and sold. 

  

	 	f)	SYN.X agrees to be primarily responsible, working and cooperating with PBM, for the development of manufacturing and other specifications to be met by each batch of Reagent to be
supplied by SYN.X for commercial use by PBM in the production of POC Rapid Assays (the “Reagent Specifications”). 

  

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	 	g)	SYN.X agrees to fund [***] % of the direct, actual development cost of a Quantitative Reader, up to a maximum of $[***], as provided for by Section 2.2(f) hereof.

  

	 	h)	SYN.X agrees to work and cooperate with PBM (who shall have primary responsibility) in the development of each POC Rapid Assay to be produced by PBM utilizing Reagents supplied by
SYN.X (the “POC Rapid Assay Specifications”). 

  

	 	i)	To the extent not covered by the above, SYN.X agrees to work and cooperate with PBM in taking all steps reasonably necessary to permit the commercial development of POC Rapid Assays
produced by PBM utilizing Reagents supplied by SYN.X. 

  

	 	j)	SYN.X agrees that all of its activities with respect to the research and development of Reagents, obtaining and maintaining patent and other intellectual property protection for the
Reagents, conducting clinical and other trials, and its other activities working and cooperating with PBM as contemplated in this Section 2.1, shall be at the sole cost and expense of SYN.X. 

  

	 	2.2	Further Development by PBM: POC Rapid Assay Specifications: Regulatory Approvals. 

  

	 	a)	PBM agrees to conduct such research and development as is reasonably required in order to produce POC Rapid Assays utilizing Reagents supplied by SYN.X, and in connection therewith,
to further develop and to optimize for its commercial use in producing POC Rapid Assays, in cooperation with SYN.X, the Reagents developed by SYN.X. 

  

	 	b)	PBM agrees to supply SYNX with sufficient quantities of sample POC Rapid Assays as is reasonably necessary for SYN.X to conduct the clinical trials and other studies required in
order to obtain Regulatory Approval for the POC Rapid Assays. 

  

	 	c)	Utilizing clinical trial and other data to be supplied by SYN.X, PBM agrees to use its best efforts to obtain Regulatory Approval for the production of POC Rapid Assays at
PBM’s facility, from such regulatory authorities as the Parties from time to time determine is desirable. 

  

	 	d)	PBM agrees to work and cooperate with SYN.X in the development of the Reagent Specifications. 

  

	 	e)	 PBM agrees to be primarily responsible, working and cooperating with SYN.X, for the development of the POC Rapid Assay Specifications to be 

  

	***	Certain information on this page has been omitted and filed separately with the Commission pursuant to a request for Confidential Treatment. 

  
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met by each POC Rapid Assay produced by PBM utilizing Reagents supplied by SYN.X. 

  

	 	f)	PBM agrees to use commercially reasonable best efforts to complete by March 31, 2002 the development work of a reasonably priced Quantitative Reader for the first POC Rapid Assay to
be developed by the parties, provided that the parties have finalized the POC Rapid Assay Specifications for such product by no later than January 1, 2002. SYN.X agrees to provide [***] % of the actual, direct development costs of such Quantitative
Reader, up to a maximum of $[***] USD. 

  

	 	g)	To the extent not covered by the above, PBM agrees to work and cooperate with SYN.X in taking all steps reasonably necessary to permit the commercial development of POC Rapid Assays
produced by PBM utilizing Reagents supplied by SYN.X. 

  

	 	h)	PBM agrees that all of its activities with respect to the development of POC Rapid Assays, the production of sample POC Rapid Assays for the clinical and other trials to be
conducted by SYN.X, the obtaining of Regulatory Approval for POC Rapid Assays, the development of specifications, and the other activities working and cooperating with SYN.X as contemplated in this Section 2.2, shall be at the sole cost and expense
of PBM. 

  

	 	i)	PBM shall use its commercially reasonable best efforts to secure, within 24 months of the effective date hereof, additional, appropriately qualified manufacturing capability for POC
Rapid Assays. Such additional manufacturing capability shall be adequately qualified to produce the POC Rapid Assays in accordance with all current standards, guidelines and regulations determined by the responsible authorities, including, without
limitation, the FDA and any European Community or European Union directives relating to medical devices and in vitro diagnostic medical devices. Notwithstanding anything herein to the contrary, PBM shall not be required to have such additional
manufacturing capability be operational until such time as the volume of orders to be produced by PBM under this Agreement make it commercially reasonable to add such additional manufacturing capability. 

  
 ARTICLE 3 
 COMMERCIAL PRODUCTION OF REAGENTS AND POC RAPID ASSAYS 
  

	 	3.1	SYN.X to Supply ReaGents Exclusively to PBM. 

  

	 	a)	 SYN.X shall not, directly or indirectly, supply, provide, sell, distribute, or deliver Reagents for use in point of care rapid assay products to any person other
than PBM except to the extent set forth in Section 3.3 hereof. 

  

	***	Certain information on this page has been omitted and filed separately with the Commission pursuant to a request for Confidential Treatment. 

  
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Nothing herein shall be deemed to preclude SYN.X from supplying, providing, selling or distributing Reagents that are used in rapid assay products utilized
in a hospital’s central clinical laboratory or in a reference laboratory setting or in rapid assay products that can be used in any instrument with random access capability and/or any instrument with the ability to analyze multiple samples.

  

	 	b)	SYN.X shall produce, deliver and supply to PBM, FOB PBM’s production facility, on a timely basis, sufficient quantities of Reagents that shall meet the Reagent Specifications,
so as to enable PBM to produce POC Rapid Assays that meet the POC Rapid Assay Specifications. 

  

	 	c)	Prior to the initial delivery by SYN.X to PBM of Reagents for the production of POC Rapid Assays for commercial sale, the Parties shall discuss and shall mutually agree upon
reasonable procedures applicable to the supplying of Reagents by SYN.X to PBM. The Parties may from time to time supplement, revise, modify and amend such procedures. 

  

	 	d)	SYN.X shall be compensated for its activities hereunder as set forth elsewhere in this Agreement including without limitation Article 5 hereof. 

  

	 	3.2	PBM as Exclusive Producer of POC Rapid Assays. 

  

	 	a)	PBM shall be SYN.X’s sole and exclusive producer of POC Rapid Assays, directly and indirectly, and SYN.X shall not authorize or permit any other person, directly or indirectly,
to produce POC Rapid Assays. 

  

	 	b)	PBM and SYN-X shall not sell, distribute or transfer POC Rapid Assays to any person except in accordance with the terms and conditions of this Agreement. 

 

	 	c)	Neither SYN.X nor PBM shall, directly or indirectly, produce, purchase, procure, supply, sell, distribute, or deliver POC Rapid Assays except under the terms and conditions of this
Agreement. 

  

	 	d)	PBM shall produce, POCkage, deliver and supply to SYN.X or Customers, as the case may be, FOB PBM’s production facility, on a timely basis, POC Rapid Assays for commercial use.
Such POC Rapid Assays shall meet the POC Rapid Assay Specifications, as well as any written specifications agreed to between PBM and SYN.X and/or the Customer. 

  

	 	e)	 Prior to the initial delivery by PBM of POC Rapid Assays for commercial sale, the Parties shall discuss and shall mutually agree upon reasonable procedures
applicable to the production, POCkaging and distribution of POC Rapid Assays. Without limiting the foregoing, PBM shall not be 

  

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required by the terms of this Agreement or otherwise to produce POC Rapid Assays in production runs that are smaller than [***] units.

  

	 	1)	PBM shall be compensated for its activities hereunder as set forth elsewhere in this Agreement including without limitation Article 5 hereof. 

  

	 	g)	In allocating its manufacturing capacity, PBM agrees to give preference to manufacturing the POC Rapid Assays at its Princeton manufacturing site. 

  

	 	3.3	Exceptions to PBM’s Servine as Exclusive Producer of POC Rapid Assays. 

  

	 	a)	POC Rapid Assay Quality Problem. Notwithstanding Sections 3.1 and 3.2, SYNX, subject to the provisions of this Agreement, may produce, or arrange for third parties to produce
P~C Rapid Assays if SYN.X is able to reasonably establish that PBM has failed to produce POC Rapid Assays that meet the POC Rapid Assay Specifications (a “POC Rapid Assay Quality Problem”); provided, however, that SYN.X shall have given
written notice to PBM of same, and that PBM shall have failed to cure same within 60 days after receipt of such written notice; and provided further, that in the event of an uncured POC Rapid Assay Quality Problem, third parties may supply only such
POC Rapid Assays as to which there shall be a POC Rapid Assay Quality Problem, and that as soon as PBM shall not have a POC Rapid Assay Quality Problem, PBM shall resume supplying such POC Rapid Assays. SYN.X’s rights under this Section 3.3(a)
shall not arise to the extent to which PBM is able to reasonably establish that the POC Rapid Assay Quality Problem is attributable, in whole or in part, to defects or deviations in the Reagents supplied by SYN.X or to other act of SYN.X or a
Customer. Nothing in this Section 3.3(a) shall be deemed to grant SYN.X a license in any of PBM’s intellectual property or the intellectual property relied upon by PBM in producing POC Rapid Assays. PBM shall give prompt written notice to SYNX
whenever PBM encounters a POC Rapid Assay Quality Problem that it reasonably expects could affect the timely and satisfactory discharge of its obligations under this Agreement. 

  

	 	b)	 Inability to Supply. PBM shall give SYN.X prompt written notice (in any event, not later than 15 days after PBM’s receipt of a purchase order) in the
event that PBM reasonably anticipates that it will be unable to supply any of the POC Rapid Assays upon the date specified in a purchase order. Notwithstanding Sections 3.1 and 3.2, SYN.X, subject to the provisions of this Agreement, may produce, or
arrange for third parties to produce, such POC Rapid Assays as PBM is unable to supply to SYN.X or Customers, as the case may be, within 60 days of the required delivery date, the quantities of POC Rapid Assays complying with the POC Rapid Assay
Specifications as ordered by SYN.X pursuant to Article IV herein 

  

	***	Certain information on this page has been omitted and filed separately with the Commission pursuant to a request for Confidential Treatment. 

  
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(a “POC Rapid Assay Supply Problem”). SYN.x’s rights under this Section 3.3(b) shall not arise to the extent to which PBM is able to
reasonably establish that the POC Rapid Assay Supply Problem is attributable, in whole or in part, to defects, deviations or delay in the Reagents supplied by SYN.X or to other act of SYN.X or a Customer including without limitation a failure by
SYN.X to comply with the provisions of Section 4.1 or 4.2 hereof. In respect of any particular order as to which there is a POC Rapid Assay Supply Problem, SYN.X may, in its sole discretion, in respect of that particular order, direct PBM to obtain
the POC Rapid Assays complying with the POC Rapid Assay Specifications from an alternate supplier reasonably acceptable to SYN.X, within 90 days. Any additional direct costs that SYN.X may incur due to such inability to supply on the part of PBM
shall be borne by PBM; provided, however, that PBM shall not be liable for any of SYN.X’s lost profits, consequential damages, indirect or special damages, or any other damages other than such direct damages. Nothing in this Section 3.3(b)
shall be deemed to grant SYN.X a license in any of PBM’s intellectual property or the intellectual property relied upon by PBM in producing POC Rapid Assays. 

  

	 	3.4	Exceptions to SYN.X Serving as the Exclusive Supplier of the Reagents. 

  

	 	a)	Reagent Quality Problem. Notwithstanding Sections 3.1 and 3.2, PBM, subject to the provisions of this Agreement, may produce, or arrange for third parties to produce Reagents
in the event that PBM is able to reasonably establish that SYN.X has failed to produce Reagents that meet the Reagent Specifications (a “Reagent Quality Problem”); provided, however, that PBM shall have given written notice to SYN.X of
same, and that SYN.X shall have failed to cure same within 60 days after receipt of such written notice; and provided further, that in the event of an uncured Reagent Quality Problem, third parties may supply only such Reagent as to which there
shall be a Reagent Quality Problem, and that as soon as SYN.X shall not have a Reagent Quality Problem, SYN.X shall resume supplying such Reagent. PBM’s rights under this Section 3.4(a) shall not arise to the extent to which SYN.X is able to
reasonably establish that the Reagent Quality Problem is attributable, in whole or in part, to defects or deviations in the POC Rapid Assay supplied by PBM or to other act of PBM or a Customer. Nothing in this Section 3.4(a) shall be deemed to grant
PBM a license in any of SYN-X’s intellectual property or the intellectual property relied upon by SYN.X in producing Reagents. SYN.X shall give prompt written notice to PBM whenever SYN.X encounters a Reagent Quality Problem that it reasonably
expects could affect the timely and satisfactory discharge of its obligations under this Agreement. 

  

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	 	b)	Inability to Supply. SYN.X shall give PBM prompt written notice in the event that SYN.X reasonably anticipates that it will be unable to supply Reagents upon an agreed date.
Notwithstanding Sections 3.1 and 3.2, PBM, subject to the provisions of this Agreement, may produce, or arrange for third parties to produce Reagents in the event that SYN.X is unable to supply to PBM within 60 days of the agreed delivery date the
quantities of Reagents complying with the Reagent Specifications as is necessary for the production of POC Rapid Assays that PBM is to produce under the provisions of Article 4 hereof (a “Reagent Supply Problem”). PBM’s rights under
this Section 3.4(b) shall not arise to the extent to which SYN.X is able to reasonably establish that the Reagent Supply Problem is attributable, in whole or in part, to defects, deviations or delay in the P~C Rapid Assays produced by PBM or to
other act of PBM or a Customer. In respect of any particular order, PBM may, in its sole discretion, in respect of that particular order, direct SYN.X to obtain the Reagent complying with the Reagent Specifications from an alternate supplier
reasonably acceptable to PBM, within 90 days. Any additional direct costs that PBM may incur due to such inability to supply on the part of SYNX shall be borne by SYN.X; provided, however, that SYN.X shall not be liable for any of PBM’s lost
profits, consequential damages, indirect or special damages, or any other damages other than such direct damages. Nothing in this Section 3.4(b) shall be deemed to grant PBM a license in any of SYN-X’s intellectual property or the intellectual
property relied upon by SYN.X in producing Reagents. 

  
 ARTICLE 4 
 FORECASTING, ORDERING, PACKAGING AND SHIPPING 
  

	 	4.1	Forecasts. 

  

	 	a)	Long Term Forecasts. Once commercial production of POC Rapid Assays is set to commence, SYN.X shall provide to PBM no later than 30 days before the first day of every
calendar quarter during the Term of this Agreement, a rolling quarterly forecast of the quantities of POC Rapid Assays that SYN.X intends to order during the next four calendar quarters. Such forecasts shall represent the most current estimates for
planning purposes, but shall not be purchase commitments. 

  

	 	b)	 Short Term Forecasts. Once commercial production of POC Rapid Assays is set to commence, SYN.X shall provide to PBM no later than 90 days prior to the first
day of each succeeding calendar quarter a rolling forecast of the quantities of POC Rapid Assays that SYN.X intends to order by month, during the next calendar quarter. Such forecasts shall constitute binding commitments of SYN.X to order and PBM to
supply at 

  

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least 80% of the number of POC Rapid Assays designated, pursuant to firm orders issued in accordance with the terms of this Agreement.

  

	 	4.2	Purchase Orders 

  
 SYN.X shall order P~C Rapid Assays by written purchase orders specifying the quantity of POC Rapid Assays and the delivery date on which such quantity is
required. SYN.X shall submit each such written purchase order at least 30 days in advance of the required delivery date. PBM shall use reasonable efforts to meet any request of SYN.X for delivery of POC Rapid Assays in less than 30 days, and
further, PBM will attempt to accommodate any changes requested by SYN.X in delivery schedules for P~C Rapid Assays following PBM’s receipt of purchase orders from SYN.X Upon receipt of each purchase order by PBM, PBM shall supply the quantity
of POC Rapid Assays designated therein within the time for delivery set out therein. Should PBM be unable to supply such quantity of POC Rapid Assays by the designated delivery date of any purchase order, PBM shall so advise SYN.X within 10 days of
receipt of such purchase order, and the provisions of Section 3.3(b) shall apply. The terms and conditions of this Agreement shall be paramount to the terms and conditions of any purchase order, should there be any variance. 
  

	 	4.3	Packaging and Labeling 

  
 POC Rapid Assays shall be packaged and labeled in accordance with all relevant requirements of the jurisdiction into which they are being distributed, as
well as in accordance with SYN.X’s requirements as communicated to PBM from time to time. 
  

	 	4.4	Delivery and Shipping Terms 

  
 Delivery by PBM of the POC Rapid Assays shall be FOB PBM’s manufacturing site, in accordance with the shipping and handling instructions specified by
SYN.X in each purchase order. Title to the POC Rapid Assays shall pass to SYN.X at the time of proper delivery of the POC Rapid Assays to SYN.X’s designated carrier for shipment at the place of shipment. All P~C Rapid Assays shall be shipped to
SYN.X or Customers, as the case may be, in appropriate shipping containers as agreed by the Parties. 
  

	 	4.5	Raw Materials and Components 

  
 PBM shall provide, at its cost and expense all raw materials, components, and other resources required in connection with production of the POC Rapid
Assays in accordance with the POC Rapid Assay Specifications, except that the Reagents shall be supplied by SYN.X at its sole cost and expense. PBM represents and warrants to SYN.X that PBM currently has access to, and during the entire term of this
Agreement will make all commercially reasonable efforts to maintain 

  

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access to, sufficient supplies of raw materials, utilities, container/closure systems, packaging materials, labor, and all other items required to perform
the services and supply the P~C Rapid Assays required of PBM hereunder without interruption, unless otherwise provided for by this Agreement. PBM agrees to conduct audits of its suppliers of raw materials and components of the P~C Rapid Assays on a
regular basis to monitor whether such suppliers are producing the raw materials and components in accordance with all applicable laws, rules and regulations, including but not limited to the requirements of cGMP, and to determine whether such
suppliers will continue to be able to supply a sufficient quantity and quality of such raw materials and components. Upon request, PBM will supply SYN.X will certificates stating that any related supplier complies with all such laws, rules and
regulations. SYN.X represents and warrants to PBM that SYNX currently has access to, and during the entire term of this Agreement will make all commercially reasonable efforts to maintain access to, sufficient supplies of raw materials, utilities,
container/closure systems, packaging materials, labor, and all other items required to perform the services and supplied the Reagents required of SYN.X hereunder without interruption, unless otherwise provided for by this Agreement. 
  
 ARTICLE 5 
 PAYMENT; PRICING; DISTRIBUTION 
  

	 	5.1	Allocation of Net Sales Price and Payment. 

  

	 	a)	For sales of P~C Rapid Assays to Customers within the United States, SYN.X shall receive [***]%, and PBM shall receive [***]%, of the “Net Sales Price” of the P~C Rapid
Assay. “Net Sales Price” shall be the POC Rapid Assay’s selling price to the Customer FOB PBM’s facility, net of taxes, freight, returns, allowances, rebates and such other items as the Parties may from time to time agree. Such
allocation of the Net Sales Price assumes that PBM is to bear the cost of industry-standard packaging. Any deviation from such standard packaging resulting in additional costs will be borne by the distributor or equally by PBM and SYN.X in each
case, and will be reflected in an increase in the price from the standard price. 

  

	 	b)	For sales of P~C Rapid Assays to Customers outside of the United States, SYN.X shall receive [***]%, and PBM shall receive [***]%, of the Net Sales Price (as defined above) of the
P~C Rapid Assays. Such allocation of the Net Sales Price assumes that PBM is to bear the cost of industry-standard packaging. Any deviation from such standard packaging resulting in additional costs will be borne by the distributor or equally by PBM
and SYN.X in each case, and will be reflected in an increase in the price from the standard price. 

  

	***	Certain information on this page has been omitted and filed separately with the Commission pursuant to a request for Confidential Treatment. 

  
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	 	c)	PBM may invoice SYN.X upon shipment for amounts due to PBM under this Agreement, and SYN.X shall make payment to PBM not later than 60 days after shipment. Interest on unpaid
amounts due to PBM shall accrue commencing upon the 61th day after shipment at the rate of 0.75% per month. PBM may refuse to ship further POC Rapid Assays to any Customer in the event that SYN.X shall not make full payment on or prior to such 60th
day, and any such refusal to supply POC Rapid Assays shall not give rise to any right in SYN.X to terminate or modify this Agreement. All payments to PBM shall be USD. Risk of payment by the Customer for sales by SYN.X and its Affiliates shall be
solely with SYN.X and its Affiliates. 

  

	 	d)	SYN.X may invoice PBM upon shipment for amounts due to SYN.X under this Agreement, and PBM shall make payment to SYN.X not later than 60 days after shipment. Interest on unpaid
amounts due to SYN.X shall accrue commencing upon the 61th day after shipment at the rate of 0.75% per month. SYN.X may refuse to ship further Reagents to PBM in the event that PBM shall not make full payment on or prior to such 60th day, and any
such refusal to supply Reagents shall not give rise to any right in PBM to terminate or modify this Agreement. All payments to SYN.X shall be USD. Risk of payment by the Customer for sales by PBM and its Affiliates shall be solely with PBM and its
Affiliates. 

  

	 	5.2	Distribution 

  

	 	a)	The Parties shall from time to time jointly determine and agree in advance upon the terms and conditions for the sale and distribution of POC Rapid Assays, and each Party may from
time to time present for each other’s prior approval proposed agreements for the sale and distribution of POC Rapid Assays to nonaffiliated third parties. Only SYN.X may grant or sell any distribution right for any POC Rapid Assay, subject to
the terms and conditions hereof. 

  
 No Party
shall have the right to veto any such proposed agreement unless the other Party shall present, not later 90 days after having been advised in writing of the material terms of such proposed agreement, a more suitable third party distributor. A more
suitable third party distributor would be one which presents a clearly superior opportunity for the distribution of POC Rapid Assays, on the basis of more than merely equal or more favorable commercial terms, for example, superior marketing and
distribution capability. 
  
 Payments to SYNX for the grant of
exclusive distribution rights shall not be included in determining whether a third party is a more suitable third party distributor, nor shall any loss of distribution revenue or distribution profit by PBM and/or its Affiliates nor the costs of
terminating existing 

  

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resale agreements, resulting from the termination, loss or absence of PBM’s and/or its Affiliates’ distribution rights, be taken into account in
the determination of whether a third party is a more suitable third party distributor. 
  

	 	b)	SYN.X and PBM shall each have the right, directly and through their respective Affiliates, to sell and distribute POC Rapid Assays; provided that PBM shall not have such right to
the extent to which it is excluded by any exclusive distribution agreement entered into by SYN.X; and provided further that neither PBM nor any Affiliate may sell or distribute POC Rapid Assays to any reseller or wholesaler or other third party
distributor; and provided further that PBM shall not have such right to the extent to which SYN.X has presented a non-exclusive third party distributor from whom the Parties as a whole shall obtain a better distribution opportunity as compared to
the distribution opportunity presented by such third party distributor combined with distribution by PBM and its Affiliates. 

  

	 	c)	Where PBM and/or its Affiliates distribute POC Rapid Assays under Section 5.2(b) hereof, PBM and/or its Affiliates shall have the right to purchase POC Rapid Assays at a Net Sales
Price that is the most favorable cost basis agreed to with any Customer of POC Rapid Assays, or at a specifically agreed price between the Parties deemed necessary to promote the POC Rapid Assays or to penetrate into new markets or to compete
against similar competing product(s). Revenues earned through distribution of POC Rapid Assays by PBM and/or its Affiliates, net of the Net Sales Price, taxes, freight, returns, allowances, rebates and other agreed items (“Net Distribution
Revenues”) shall be shared on the following basis: (i) Net Distribution Revenues earned on sales outside of the United States: [***]% to PBM or its Affiliates, as the case may be, and [***] % to SYN.X; and (ii) Net Distribution Revenues earned
on sales within the United States:. [***]% to PBM and its Affiliates, as the case may be, and [***]% to SYN.X. 

  

	 	d)	In the event that SYN.X sells or grants distribution rights or otherwise agrees to sell or distribute POC Rapid Assays on terms that provide for a Net Sales Price of less than
$[***] (US D) per Panel outside of the U.S., or less than $[***] (USD) per Panel within the U.S., PBM shall receive an allocation of such selling price under Section 5.1 hereof as if the Net Sales Price yielded thereby were $[***] (USD) per Panel
outside of the U.S. or $[***] (USD) per Panel within the U.S. Such $[***] and $[***] respective prices may be increased in PBM’s sole discretion at the end of every three year period of this Agreement by the amount of the increase in PBM’s
actual cost of manufacturing multiplied by the rate of inflation as reflected in the Consumer Price Index. 

  

	***	Certain information on this page has been omitted and filed separately with the Commission pursuant to a request for Confidential Treatment. 

  
 13 

 ARTICLE 6 
 OWNERSHIP OF INTELLECTUAL PROPERTY; 
 LICENSES; CONFIDENTIALITY 
  

	 	6.1	Intellectual Property. 

  

	 	a)	Nothing in this Agreement shall be deemed to give PBM any rights in, right to use or license in any of SYN.X’s existing or future intellectual property, including without
limitation patents, confidential information, technology, production methods and procedures, know-how and the like (collectively “Intellectual Property”), except as explicitly provided herein. 

  

	 	b)	Nothing in this Agreement shall be deemed to give SYN.X any rights in, right to use or license in any of PBM’s existing or future Intellectual Property, except as explicitly
provided herein. 

  

	 	c)	Any Intellectual Property exclusively developed after the date hereof by SYN.X shall remain the sole and exclusive property of SYN.X. 

  

	 	d)	Any Intellectual Property exclusively developed after the date hereof by PBM shall remain the sole and exclusive property of PBM. 

  

	 	e)	Any Intellectual Property that is jointly or cooperatively developed by the Parties after the date hereof shall be jointly owned to the extent of the respective contributions
thereto (the “Jointly Owed Intellectual Property”). Each Party hereby grants to the other a fully paid-up, perpetual exclusive license to all licensing and commercialization rights in such Jointly Owed Intellectual Property for the field
pertaining to the other party’s business (the “Field-Exclusive Jointly Owned Intellectual Property License”). Any Party may transfer the Jointly Owned Intellectual Property, as well as the Field-Exclusive Jointly Owned Intellectual
Property License, in connection with the sale of all or substantially all of its assets. The parties shall share equally in the cost of and responsibility for patent filing, maintenance and enforcement, and shall cooperate fully in any such
endeavor. 

  

	 	6.2	Licenses 

  

	 	a)	SYN.X hereby grants to PBM a license to SYN.X’s intellectual property rights in the Reagents and the POC Rapid Assays to manufacture the POC Rapid Assays in accordance with the
POC Rapid Assay Specifications, subject to the terms and conditions of this Agreement, for the sole and exclusive purpose of incorporating the Reagents into P~C Rapid Assays. 

  

	 	b)	 PBM hereby grants to SYN.X a license to PBM’s intellectual property rights, if any, in the POC Rapid Assays, to distribute, use and sell the POC 

  

 14 

	 	 
Rapid Assays throughout the world, subject to the terms and conditions of this Agreement. 

  

	 	6.3	Confidential Information. 

  

	 	a)	During the term of this Agreement and for a period of three (3) years thereafter, the receiving party (the “Receiving Party”) shall maintain in confidence all Confidential
Information, as defined in Section 6.3 (b) below, and shall not use, disclose or grant use of such Confidential Information except as expressly authorized in this Agreement. The Receiving Party may disclose the Confidential Information, as
authorized hereunder, only to those employees or consultants of the Receiving Party who agree to be bound by the terms of this Section 6.3. The Receiving Party shall use the strictest standard of care which is practical to ensure that such employees
do not disclose or make any unauthorized use of the Confidential Information. The Receiving Party shall promptly notify the Disclosing Party upon discovery of any unauthorized use or disclosure of the Confidential Information.

  

	 	b)	As used in this Agreement, the term “Confidential Information” shall mean any information, either enabling or disabling, including the terms of this Agreement, any batch
record, any order or other commercial relationship between the Parties, know-how, trade secret, research, inventions, patented or patentable subject matter, patent applications, data, process, technique, algorithm, program, design, drawing, future
development, scientific, manufacturing, marketing, business plan, financial or personnel matter relating to the disclosing party (the “Disclosing Party”), its present or future products, sales, suppliers, employees, investors or business,
whether in oral, written, graphic, or electronic form and whether received from the Disclosing Party or a third party. The term “Confidential Information” shall include, without limitation (i) any cost information related to the
manufacture of the Reagents and/or POC Rapid Assays, and (ii) the Reagent Specifications and/or POC Rapid Assay Specifications. 

  

	 	c)	 The term “Confidential Information” shall not be deemed to include information which the Receiving Party can demonstrate by competent written proof: (i)
is now, or hereafter becomes, through no act or failure to act on the part of the Receiving Party, generally known or available; (ii) is known by Receiving Party at the time of receiving such information as evidenced by its records; (iii) is
hereafter furnished to the Receiving Party by a third party, as a matter of right and without restriction or disclosure; or (iv) is the subject of written permission to disclose provided by the Disclosing Party. Further, the obligations of
confidentiality under this Article shall not apply to the extent that the Receiving Party is required to disclose information in support of a product approval application or by an 

  

 15 

	 	 
order or regulation of a governmental agency or in the course of litigation, provided that in all cases the Receiving Party shall give the other party prompt
notice of the pending disclosure and shall seek an order maintaining the confidentiality of the information. 

  
 ARTICLE 7 
 REPRESENTATIONS AND
WARRANTIES 
  

	 	7.1	Existence and Power. 

  
 Each Party hereby represents and warrants to the other Party that such party (a) is duly organized, validly existing and in good standing under the laws
of the state and country in which it is organized; (b) has the power and authority and the legal right to own and operate its property and assets, to lease the property and assets it operates under lease, and to carryon its business as it is now
being conducted; and (c) is in compliance with all requirements of applicable law, except to the extent that any noncompliance would not materially adversely affect such party’s ability to perform its obligations under the Agreement.

  

	 	7.2	Authorization and Enforcement of Obligations. 

  
 Each Party hereby represents and warrants to the other Party that such party (a) has the power and authority and the legal right to enter into the
Agreement and to perform its obligations hereunder and thereunder and (b) has taken all necessary action on its part to authorize the execution and delivery of the Agreement and the performance of its obligations hereunder. The Agreement has been
duly executed and delivered on behalf of such party, and constitutes a legal, valid, binding obligation, enforceable against such party in accordance with its terms. 
  

	 	7.3	No Consents. 

  
 Each Party hereby represents and warrants to the other Party that all necessary consents, approvals and authorizations of all governmental authorities and
other persons required to be obtained by such party in connection with the Agreement have been obtained. 
  

	 	7.4	No Conflict. 

  
 Each Party hereby represents and warrants to the other Party that the execution and delivery of the Agreement and the performance of such party’s
obligations hereunder and thereunder (a) do not conflict with or violate any requirement of applicable laws or regulations or any material contractual obligations of such party and (b) do not materially conflict with, or constitute a material
default or require any consent under, any material contractual obligation of such party. The Parties shall not in any event enter into any agreement or arrangement with any 

  

 16 

 
other party that would prevent or in any way interfere with their obligations pursuant to this Agreement. 
  

	 	7.5	Compliance with Laws. 

  
 Each Party shall comply with regulations, requirements and laws of any and all applicable state, provincial and local authorities and agencies, including
without limitation all laws and regulations which are applicable to the transportation, storage, use, handling and disposal of hazardous materials. The Parties shall maintain during the term of this Agreement all governmental permits, including
without limitation health, safety and environmental permits, necessary for the conduct of the actions and procedures that they undertake pursuant to this Agreement. 
  

	 	7.6	Documentation. 

  
 The Parties shall keep complete, accurate and authentic accounts, notes, data and records of the work performed under this Agreement. Each party shall
maintain complete and adequate records pertaining to the methods and facilities used for the manufacture, processing, testing, packing, labeling, holding and distribution of the POC Rapid Assays in accordance with the applicable laws and
regulations. 
  

	 	7.7	Limited Warranty. 

  

	 	a)	SYN.X warrants that the Reagents to be delivered hereunder will (i) be manufactured by SYN.X in accordance with the agreed-upon manufacturing procedures and (ii) conform to the
Reagent Specifications agreed to at the time of delivery. PBM’s remedies and SYN.X’s liability with respect to this warranty are set forth below. 

  

	 	b)	PBM represents and warrants that the POC Rapid Assays to be delivered hereunder will (i) be manufactured by PBM in accordance with all applicable rules and regulations and cGMP,
(ii) be manufactured in accordance with the agreed-upon manufacturing procedures (iii) conform to the POC Rapid Assay Specifications agreed to at the time of delivery, and will not be (iv) adulterated or misbranded within the meaning of the FD &
C Act, (v) an article that may not be introduced into interstate commerce under the provisions of Sections 404 or 505 of the FD & C Act, (vi) manufactured, sold or shipped in violation of any agreement, judgment, order or decree to which PBM is
a party or otherwise (vii) manufactured, sold or shipped in violation of any applicable federal, provincial, state or local law, rule, regulation or ordinance in any material respect. SYN.X’s remedies and PBM’s liability with respect to
this warranty are set forth below. 

  

 17 

	 	c)	PBM represents and warrants that there is no claim, suit, proceeding, or other investigation pending, or to the actual knowledge of PBM, overtly threatened against PBM which is
likely to prevent or materially interfere with PBM’s performance under this Agreement or materially adversely affect the rights of SYN.X hereunder. 

  

	 	d)	PBM represents and warrants that neither it nor any member of its staff has been disqualified or debarred by the FDA for any purpose. If during the term of this Agreement, PBM
becomes aware that any member of its staff is or is about to become disqualified or debarred, PBM will provide immediate written notice of same to SYN.X . 

  

	 	e)	PBM represents and warrants to SYN.X that it owns the rights to the intellectual property and any technology required to manufacture the POC Rapid Assays, except for the Reagents.

  

	 	7.8	Remedies. 

  

	 	a)	Reagents supplied by SYNX to PBM which do not conform to the Reagent Specifications shall be replaced by SYN.X at SYN.X’s sole cost and expense. This remedy is available only
if such nonconformance was not caused by PBM’s misuse, unauthorized modifications, neglect, improper testing or improper storage, transportation, use beyond any dating provided, accident, fire or other hazard. 

  

	 	b)	POC Rapid Assays which do not conform to the POC Rapid Assay Specifications shall be replaced by PBM at PBM’s sole cost and expense, not to be deducted from the Net Sales
Price. This remedy is available only if such nonconformance was not caused by the Customer’s misuse, unauthorized modifications, neglect, improper testing or improper storage, transportation, use beyond any dating provided, accident, fire or
other hazard. 

  
 ARTICLE 8 
 SPECIFICATIONS 
  

	 	8.1	Certificate of Analysis 

  
 PBM shall furnish to SYN.X with each shipment of POC Rapid Assays a certificate of analysis reflecting that such POC Rapid Assays meet the POC Rapid Assay
Specifications. 
  

 18 

	 	8.2	Notice of Failure to Meet Specifications 

  
 PBM shall promptly notify SYN.X, at least within 72 hours, of the discovery of any batch or lot of POC Rapid Assays, which has previously been approved in
accordance with the procedures set forth herein, which does not meet the POC Rapid Assay Specifications. PBM shall provide in such notice details concerning the nature of any such failure to meet the POC Rapid Assay Specifications. PBM shall make,
at its sole expense, such further internal investigations of any failure to meet the POC Rapid Assay Specifications as is appropriate under the circumstances and otherwise consistent with its obligations hereunder. The liability for costs associated
with any such batch or lot of POC Rapid Assays shall be determined in accordance with Section 9.1 below (Claims), with the exception of the requirement that SYN.X provide written notice of rejection within 30 days. 
  

	 	8.3	Specification Changes: PBM 

  
 In the event that PBM is required to change the POC Rapid Assay Specifications pursuant to applicable law, rule, or regulation or in response to the order
or request of a governmental authority or regulatory body, PBM shall promptly advise SYN.X in writing of any such change. 
  

	 	8.4	Specification Changes: SYN.X 

  
 In the event that SYN.X is required to change the Reagent Specifications pursuant to applicable law, rule, or regulation or in response to the order or
request of a governmental authority or regulatory body, SYN.X shall promptly advise PBM in writing of any such change. 
  
 ARTICLE 9 
 CLAIMS 
  

	 	9.1	Claims 

  
 In the event that any of the POC Rapid Assays delivered to SYN.X or Customers, as the case may be, pursuant to this Agreement by PBM fails to conform with
any warranty set forth herein relating to quality and/or the POC Rapid Assay Specifications, SYN.X may reject such POC Rapid Assays by giving written notice to PBM within 30 days after SYN.X’s receipt of such POC Rapid Assays, either from PBM
or on return from Customer. Any notice given under this provision must specify the manner in which the POC Rapid Assay fails to conform with the POC Rapid Assay Specifications. If there is a disagreement between the Parties as to whether any POC
Rapid Assay meets the POC Rapid Assay Specifications, then samples and/or batch records, as appropriate, from the batch that is in dispute will be submitted promptly for testing and evaluation to an independent third party (including a third party
testing laboratory) as shall be agreed to in writing by both Parties. Should the Parties be unable to agree on an independent third party testing laboratory, an arbitrator shall be appointed under the arbitration provisions of this Agreement for the
sole purpose of choosing such 

  

 19 

 
an independent third party testing laboratory. The determination of such third party as to whether such POC Rapid Assay meets the POC Rapid Assay
Specifications will be final and binding. If it is determined that the nonconformity is due to damage to the POC Rapid Assay caused solely by SYN.X or its agents, or which occurs subsequent to the proper delivery of such POC Rapid Assay to the
carrier for shipment, PBM shall have no liability to SYN.X with respect to such nonconformity and the cost of any testing and evaluation by a third party shall be borne by SYN.X If the nonconformity is caused by a defect in manufacturing, the cost
of any testing or evaluation by a third party shall be borne by PBM and, at SYN.X’s election, PBM shall at its option replace or repair such nonconforming POC Rapid Assay within 60 days of such determination at no additional cost to SYN.X, or
in lieu of replacement, credit SYN.X’s account or reimburse SYN.X for the price invoiced or paid for such nonconforming POC Rapid Assay. 
  

	 	9.2	Disposition of Nonconforming POC Rapid Assay 

  
 In any case in which SYN.X expects to make a claim against PBM with respect to damaged or otherwise non-conforming POC Rapid Assays, SYN.X shall not
dispose of such POC Rapid Assays for 6 months after notifying PBM in writing of such damage or nonconformance without written authorization and instructions from PBM to either dispose of such POC Rapid Assays or to return them to PBM. 
  
 ARTICLE 10 
 AUDITS, COMPLAINTS, REGULATORY MATTERS 
  

	 	10.1	Performance of Audits. 

  
 SYN.X and PBM shall each have the right, at their sole respective expense, to conduct an Audit, upon thirty (30) calendar days’ written notice to the
other Party, during such Party’s normal business hours, of all records, documents, processes, procedures, and facilities directly associated with the manufacture, processing, packaging, sales and distribution of Reagents or the POC Rapid
Assays, as the case may be, as well as with the receipt, storage, and issuance of raw materials, labeling and packaging components, and ingredients thereof. Notwithstanding the immediately preceding sentence, in the event of a rejection of by one
Party of the product supplied by the other Party because of a failure to meet specifications, then the rejecting party shall have an additional right to conduct an Audit under the provisions of this Article. In no event shall an Audit exceed two (2)
days in duration unless mutually agreed in writing by the parties. Each Party warrants that all inspections and Audits hereunder shall be carried out in a manner that does not unreasonably interfere with the other Party’s normal and ordinary
conduct of business and that insures the continued confidentiality of such other Party’s other business and technical information. Audits may be conducted by no more than two (2) representatives of a Party. Any such representatives shall be
qualified in 

  

 20 

 
terms of auditing skill to conduct Audits, shall execute a written agreement to maintain in confidence all information obtained during the course of any such
Audit except for disclosure to the senior representatives of such Party, and shall comply with the normal security at the manufacturing site. 
  

	 	10.2	Audit Feedback. 

  
 Within thirty (30) days of completing any Audit hereunder, the auditing Party shall submit to the audited Party a written report outlining its findings
and/or observations from any such Audit. If deficiencies are discovered during an Audit that could, in the auditing Party’s reasonable opinion, prevent the audited Party from satisfying the requirements of cGMP obligations hereunder, and the
audited Party in good faith disputes the observations or conclusions of the auditing Party, then the Parties shall promptly enter into good faith discussions to resolve their differences. If the Parties fail to resolve their differences within
thirty (30) days, then the disputed points shall be resolved by submitting same to a mutually agreeable Third Party consultant in the same manner and under parameters similar to those contemplated under Article 9 for disputes related to
nonconforming POC Rapid Assays. That is, the Parties shall be bound by the decision of the Third Party consultant and the Party in error shall bear the costs and expenses of the Third Party consultant. If both Parties are in error, they shall share
the costs equally. If the audited Party does not, in good faith, dispute the observations made during any Audit it shall promptly correct those deficiencies at its own cost, and shall notify the auditing Party in writing when those deficiencies are
corrected. 
  

	 	10.3	Regulatory Matters. 

  

	 	a)	General Compliance. The parties shall jointly determine and conduct all regulatory strategies, proceedings and communications. SYN.X shall have primary responsibility
for creating all regulatory documents other than those pertaining to manufacturing. PBM shall have primary responsibility for creating all regulatory documents pertaining to manufacturing. Where possible, the parties shall endeavor to have a
distributor pay registration and regulatory costs pertaining to the jurisdiction of such distributor. Where this is not possible, the parties shall split such costs equally. PBM shall, at its sole expense, comply with all federal, state, and local
laws, regulations, and standards and specifications applicable to production of the POC Rapid Assays and its performance of PBM’s obligations hereunder. 

  

	 	b)	Marking. All POC Rapid Assays produced hereunder shall comply with all requirements relating to marking, packaging and labeling for the relevant jurisdictions into
which they shall be sold. Without limiting the foregoing, all POC Rapid Assays shall be marked as a SYN.X product, manufactured by PBM, except for private label sales. 

  

 21 

	 	c)	Validations and Qualifications. PBM shall concurrently perform process and cleaning validation, analytical methods validation, and installation/operating
qualification, and calibration of all equipment and facilities utilized in the manufacture, packaging, testing, storing, and release of POC Rapid Assays. Such validations, qualifications, and calibrations are to be in accordance with all current
regulations determined by the responsible authorities (in particular, without limitation, the regulations of the FDA and any European Community or European Union directives relating to medical devices and in vitro medical devices), and PBM shall,
through effective control procedures, ensure all such validations, qualifications, and calibrations will be current. In general, PBM shall, at all times in the performance of its obligations hereunder, comply with its standard operating procedures
for the POC Rapid Assays 

  

	 	d)	Batch Records. PBM shall develop and manufacture POC Rapid Assays in compliance with all cGMP including preparation and maintaining of all Batch History Records. SYN.X
shall develop and manufacture Reagents in compliance with all cGMP including preparation and maintaining of all Batch History Records. Both PBM and SYN.X shall make these Records available to the other party during their Audits.

  

	 	e)	Notice of Warnings. Etc. PBM will notify SYN.X promptly of any warning (including any FDA Form 483), citation, indictment, claim,. lawsuit, or proceeding issued or
instituted by any federal, state, or local governmental entity or agency against PBM if, and only to the extent that, the manufacture of POC Rapid Assays hereunder is affected, or of any revocation of any license or permit issued to PBM, but only to
the extent that such license or permit relates to PBM’s performance of its obligations hereunder. 

  

	 	f)	 POC Rapid Assays Reviews. Reports. PBM will conduct annual product reviews for the POC Rapid Assays, which shall include trend analysis of critical
process parameters when reasonably available as well as a review of stability, reserve samples, complaints, in-process variances, rejections, investigations and process changes. Further, PBM agrees to timely compile, for the POC Rapid Assays, all
data reasonably necessary for SYNX to file Annual Reports and other periodic reports with the FDA, in accordance with applicable laws, rules, and regulations, relative to the POC Rapid Assays. SYN.X will conduct annual product reviews for the
Reagents, which shall include trend analysis of critical process parameters when reasonably available as well as a review of stability, reserve samples, complaints, and adverse drug reports, in-process variances, rejections, investigations and
process changes. Further, SYN.X agrees to timely compile, for the Reagents, all data reasonably necessary for PBM to file Annual Reports and other periodic reports with the FDA, 

  

 22 

	 	 
in accordance with applicable laws, rules, and regulations, relative to the Reagents. 

  

	 	g)	Stability. PBM will be responsible for taking and maintaining any necessary quality control stability samples for the POC Rapid Assays, testing stability samples on a
timely basis, and providing SYN.X on an annual basis, and as otherwise reasonably requested by SYN.X, with stability data. PBM will initiate a stability failure investigation on any stability test failure promptly (but at least within seventy-two
[72] hours) of learning of any such deviation. PBM will notify SYN.X promptly (but at least within seventy-two [72] hours) upon its actual discovery of objective evidence of a stability failure with regard to the POC Rapid Assays. SYN.X will be
responsible for taking and maintaining any necessary quality control stability samples for the Reagents, testing stability samples on a timely basis, and providing PBM on an annual basis, and as otherwise reasonably requested by SYN.X, with
stability data. SYNX will initiate a stability failure investigation on any stability test failure promptly (but at least within seventy-two [72] hours) of learning of any such deviation. PBM will notify SYN.X promptly (but at least within
seventy-two [72] hours) upon its actual discovery of objective evidence of a stability failure with regard to the POC Rapid Assays. 

  

	 	10.4	Inspections. 

  
 In the event the manufacturing facility producing POC Rapid Assays hereunder is inspected by representatives of any federal, state, or local regulatory
agency in connection with the manufacture of the POC Rapid Assays, PBM shall notify SYN.X promptly (but at least within seventy-two [72] hours) upon learning of such inspection, and shall supply SYN.X with copies of any correspondence or portions of
correspondence which relate to the POC Rapid Assays. In the event the manufacturing facility producing Reagents hereunder is inspected by representatives of any federal, state, or local regulatory agency in connection with the manufacture of the
Reagents, SYN.X shall notify PBM promptly (but at least within seventy-two [72] hours) upon learning of such inspection, and shall supply PBM with copies of any correspondence or portions of correspondence which relate to the Reagents. 

 

	 	10.5	Correspondence. 

  

	 	a)	 Correspondence Received by PBM. PBM shall promptly (and in any event, within three (3) business days of the date of receipt of notice) notify
SYN.X in writing of, and shall provide SYN.X with copies of, any correspondence and other documentation received or prepared by PBM in connection with any of the following events: (i) receipt of a regulatory letter, warning, or similar item, from
the FDA or any other regulatory authority in connection with the manufacture, packaging, and storage of 

  

 23 

	 	 
the POC Rapid Assays and; (ii) any regulatory comments relating to the manufacture of the POC Rapid Assays requiring a response or action by PBM.

  

	 	b)	Correspondence received by SYN.X. SYN.X shall promptly (and in any event, within three (3) business days of the date of receipt of notice) notify PBM in writing
of, and shall provide PBM with copies of, any correspondence and other documentation received or prepared by SYN.X in connection with any of the following events: (i) receipt of a regulatory letter, warning, or similar item, from the FDA or any
other regulatory authority in connection with the manufacture, packaging, and storage of the Reagents and; (ii) any regulatory comments relating to the manufacture of the Reagents requiring a response or action by SYN.X; (iii) customer complaints.

  
 ARTICLE 11 
 RECALLS 
  
 PBM or SYN.X shall notify other party promptly if any batch of POC Rapid Assays supplied by PBM pursuant to this Agreement is alleged or proven to be the cause of a recall, market withdrawal, or correction, and the
Parties shall cooperate in the handling and disposition of such recall, market withdrawal, or correction. PBM and SYN.X shall jointly bear the cost of all recalls, market withdrawals, or corrections of POC Rapid Assays supplied by PBM pursuant to
this Agreement. SYN.X and PBM shall maintain records of all sales of POC Rapid Assays and Customers sufficient to adequately administer a recall, market withdrawal or correction for the longer of five (5) years after termination or expiration of
this Agreement or the period required by applicable law. 
  
 ARTICLE 12 
 INDEMNIFICATION 
  

	 	12.1	Indemnity 

  

	 	a)	Each Party shall indemnify, defend and hold harmless the other Party from and against any and all damages incurred by or asserted against the Party of whatever kind or nature,
because of a third party claim that the manufacture, use or sale of intellectual property, to the extent arising from any patent right or know-how of the Party, infringes any patent or other intellectual property rights of any third parties.

  

	 	b)	 Except in the event that such claims, suits, losses, damages, costs, fees or expenses arise or result from any negligent or wrongful act or omission of PBM or the
failure of the POC Rapid Assays to meet the POC Rapid Assay Specifications, SYN.X agrees to indemnify, hold harmless and defend PBM and PBM’s directors, officers, employees and agents, and the directors, officers, employees and agents of any
PBM parent, subsidiary or 

  

 24 

	 	 
related company (the “PBM Indemnities”) from and against any and all claims, suits, losses, damages, costs, fees and expenses resulting from or
arising out of SYN.X’s use, handling, distribution, marketing or sale of the P~C Rapid Assays by any person other than a PBM Indemnity, including without limiting the generality of the foregoing any damages, losses or liabilities whatsoever
with respect to death or injury to the person or damage to property, provided that PBM provides SYN.X with prompt notice of any such claim and the exclusive ability to defend (with the reasonable cooperation of PBM) or settle any such claim.

  

	 	c)	Except in the event that such claims, suits, losses, damages, costs, fees or expenses arise or result from any negligent or wrongful act or omission of SYN.X or the failure of the
Reagents supplied by SYN.X to meet the Reagent Specifications, then PBM agrees to indemnify, hold harmless and defend SYN.X and SYN.X’s directors, officers, employees and agents, and the directors, officers employees and agents of any SYN.X
parent, subsidiary or related company (the “SYNX Indemnities”) from and against any and all claims, suits, losses, damages, costs, fees and expense resulting from or arising out of its manufacture of the P~C Rapid Assays, its
transportation, storage, use, handling and disposal of hazardous materials related to such manufacture, or the possession or use of the P~C Rapid Assays by any person other than a SYN.X Indemnity, including, without limiting the generality of the
foregoing, any damages, losses or liabilities whatsoever with respect to death or injury to person or damage to property, provided that SYN.X provides PBM with prompt notice of any such claim and the exclusive ability to defend (with the reasonable
cooperation of SYN.X) or settle any such claim. 

  

	 	d)	In the event that the parties cannot in good faith agree as to the application of subsections (a), (b) or (c) above to any particular loss or claim, the parties may (i) after the
Executives’ Meetings provided for by Section 14.2 hereof, proceed to arbitration, or, alternatively, in each party’s sole discretion, (ii) conduct separate defenses of such claim and each party shall be relieved of its obligation to tender
to the indemnifying party the exclusive ability to defend such claim or suit as a condition of indemnification. 

  

	 	12.2	Expenses. 

  
 No party shall be required to pay over to another amounts called for under this Article until the final resolution of the claim, action, suit or
proceeding from which the right to such payment arose. 
  

 25 

	 	12.3	Payments 

  
 All amounts payable under this Article 12 shall be paid promptly after receipt by the indemnifying Party of written notice from the indemnified Party
stating that such Indemnified Amounts have been incurred, the amount thereof and of the related indemnity payment and substantiation of such amount and such indemnity payment; provided, however, any disputed amounts shall be due and payable promptly
after such amounts are finally determined to be owing by the indemnifying Party to the indemnified Party. 
  

	 	12.4	Conduct of Litigation. 

  

	 	a)	Each Party indemnified under the provisions of this Agreement, upon receipt of written notice of any claim, or the service of a summons or other initial legal process upon it in any
action instituted against it, in respect of the agreements contained in this Agreement, shall promptly give written notice of such claim, or the commencement of such action, or threat thereof to the Party from whom indemnity shall be sought
hereunder; provided, however, the failure to provide such notice within a reasonable period of time shall not relieve the indemnifying Party of any of its obligations hereunder except to the extent the indemnifying Party is prejudiced by such
failure; 

  

	 	b)	The indemnifying Party shall be entitled at its own expense to participate in the defense of such claim or action, or, if it shall elect, to assume such defense, in which event such
defense shall be conducted by counsel chosen by such indemnifying Party, which counsel may be any counsel reasonably satisfactory to the indemnified Party against whom such claim is asserted, or who shall be the defendant in such action, and such
indemnified Party shall bear all fees and expenses of any additional counsel retained by it; 

  

	 	c)	Notwithstanding the immediately preceding paragraph, if the named parties in such action (including impleaded parties) include the indemnified and the indemnifying Parties, and the
indemnified Party has been advised by counsel that there may be a conflict between the positions of the indemnifying Party and the indemnified Party in conducting the defense of such action, or that there are legal defenses available to such
indemnified Party different from or in addition to those available to the indemnifying Party, then the indemnified Party shall be entitled, at its election, to conduct such separate defense as is necessary to protect its own interests, at its own
expense, if it is determined by agreement of the indemnifying Party and the indemnified Party or by a court of competent jurisdiction that the indemnified Party is entitled to indemnification hereunder for the Indemnified Amounts giving rise to such
action; 

  

 26 

	 	d)	If the indemnifying Party shall elect not to assume the defense of such claim or action, such indemnifying Party shall reimburse such indemnified Party for the reasonable fees and
expenses of any counsel retained by it, and shall be bound by the results obtained by the indemnified Party in respect of such claim or action if it is determined by agreement of the indemnifying Party and the indemnified Party or by a court of
competent jurisdiction that the indemnified Party is entitled to indemnification hereunder for the Indemnified Amounts giving rise to such action; provided, however, that no such claim or action shall be settled without the written consent of the
indemnifying Party. 

  

	 	12.5	Survival of Indemnification Obligations. 

  
 The provisions of this Article shall survive the expiry or termination of this Agreement. 
  

	 	12.6	Disclaimer of Consequential Damages. 

  
 In no event shall either Party be liable to the other for incidental, special, or consequential damages, including, but not limited to, any claims for
damages based upon lost profits. 
  
 ARTICLE 13 

TERM; TERMINATION 
  

	 	13.1	Term. 

  
 This Agreement shall be effective for a period of twenty (20) years from and after the date of the execution of this Agreement, and shall thereafter
automatically renew for successive terms of five (5) years unless terminated by either Party unless no less than one year’s notice of non-renewal shall be given prior to such 20th year anniversary or any 5th year anniversary thereafter.

  

	 	13.2	Surviving Obligations. 

  
 Expiration of this Agreement shall not (a) affect any other rights of any Party which may have accrued up to the date of such expiration or (b) relieve
the Parties from their obligation to pay sums due in respect of POC Rapid Assays delivered prior to expiration of this Agreement. In addition, without limiting the foregoing, the provisions of Article 1, Sections 3.1 (d), 3.2(f), 5.1, 5.2(c) and
Articles 6, 7, 9, 11, 12, 13, 14 and 15 shall survive the termination or expiration of this Agreement. 
  

 27 

	 	13.3	Events of Default. 

  
 The following events shall entitle a Party to terminate this Agreement, upon 30 days written notice to the other: 
  

	 	a)	In the event either of the Parties commits a material breach of its respective obligations under this Agreement, and said breach is not cured within ninety (90) days after receipt
of a written notice specifying said breach, then the non-breaching Party may terminate this Agreement upon delivery to the breaching Party of a written notice of termination prior to the breach being cured; provided, however, that the Parties shall
conduct no less than two Executives’ Meetings during such ninety (90) day period; 

  

	 	b)	if the other Party ceases for any reason to carryon business (but not as the result of a merger, acquisition or reorganization with one or more entities whether in a single
transaction or a series of transactions) or convenes a meeting of its creditors or has a receiver or manager appointed in respect of substantially all of its assets or is the subject of an application for an administration order or of any proposal
for a voluntary arrangement or enters into liquidation (whether compulsorily or voluntarily) or undergoes any analogous act or proceedings under the laws of any relevant jurisdiction; or 

  

	 	c)	the enactment of any law, order or regulation by a governmental unit that would render it impossible for the other Party to perform its obligations hereunder.

  

	 	13.4	Expiry: Termination: Consequences. 

  

	 	a)	Upon expiry or termination of this Agreement, whichever is sooner (but in the case of termination, only if directed by the terminating Party in the notice of termination), PBM shall
manufacture and ship, and SYN.X shall purchase in accordance with the provisions hereof, any and all quantities of POC Rapid Assays ordered by SYN.X pursuant to this Agreement prior to the date on which such notice is given. All amounts owed by
SYN.X to PBM up to and including the effective date of termination, shall become immediately due and payable. 

  

	 	b)	Expiry or termination of this Agreement shall not relieve the Parties of any obligation accruing prior to the effective date of such expiration or termination.

  

 28 

 ARTICLE 14 
 ARBITRATION 
  

	 	14.1	Binding Arbitration. 

  
 Except for issues relating to indemnification, confidentiality, competition and intellectual property rights, or disputes relating to whether the POC
Rapid Assays meet the POC Rapid Assay Specifications or the Reagents meet the Reagent Specifications, any and all disputes, controversies, differences, claims or the like between the parties under, arising out of or related to this Agreement, or the
performance, enforcement, breach, termination or validity of this Agreement (collectively, “Disputes”) which cannot be resolved by mutual agreement among the executives of the Parties shall be submitted to final and binding arbitration in
accordance with the terms of this Agreement. Any situation not expressly covered by this Agreement shall be decided in accordance with the UNCITRAL Model Rules of conciliation and arbitration then prevailing. The arbitration shall be commenced when
one party serves the other with a written demand to arbitrate. The number of arbitrators shall be 3, one of whom is selected by each of the Parties, and the third to be selected by the other 2 arbitrators. 
  

	 	14.2	Executives’ Meetings. 

  
 Prior to making any demand for arbitration, the Parties agree that there shall be at least two face to face meetings (each such meeting an
“Executives’ Meeting”) attended by the senior representatives of the Parties. Whenever there shall be a requirement under this Agreement for two Executives’ Meetings, at least one of such meeting shall be held being in Toronto or
such other place in Canada or the United States as may be designated by SYN.X, and at least one such meetings shall be held in Princeton, or such other place in the United States or Canada as may be designated by PBM. 
  

	 	14.3	Arbitration Location. 

  
 Any arbitration initiated by a written demand of PBM shall be conducted in Toronto, Ontario, Canada, or such other place in Canada as shall be agreeable
to SYN.X in its sole discretion. Any arbitration initiated by the written demand of SYN.X shall be conducted in Mercer County, New Jersey USA, or such other place in the United States as shall be agreeable to PBM in its sole discretion. The Parties
consent to the personal jurisdiction of the courts in each such location for any cause arising out of or otherwise related to this arbitration, its conduct and its enforcement. 
  

	 	14.4	Language of Arbitration. 

  
 Any arbitration shall be conducted in the English language and documents and submissions shall be in the English language. 
  

	 	14.5	Choice of Law. 

  
 This Agreement will be governed and interpreted in accordance with the laws of the State of New Jersey and the federal laws of the United States
applicable 

  

 29 

 
therein, without regard to the conflict of laws principles thereof. To the extent to which any judicial proceeding is commenced under this Agreement in
accordance with the provisions of Section 14.1 hereof, it shall be brought in the courts of the Province of Ontario, and the Parties attorn to such exclusive jurisdiction of the courts of the Province of Ontario. 
  

	 	14.6	Award Enforcement. 

  
 Each Party agrees to abide by the award rendered in any arbitration conducted pursuant to this Article 14 and agrees that the courts may award full faith
and credit to such judgment in order to enforce such award. 
  

	 	14.7	Costs. 

  
 Each Party shall bear its own legal fees, including costs and expenses. 
  
 ARTICLE 15 
 MISCELLANEOUS 
  

	 	15.1	Use of Name. 

  
 No right, express or implied, is granted by this Agreement to any Party to use in any manner the name of the other or any other trade name or trademark of
the other in connection with the performance of this Agreement. 
  

	 	15.2	Independent Parties. 

  
 The Parties are not employees or legal representatives of the other Parties for any purpose. No Party shall have the authority to enter into any contracts
in the name of or on behalf of any other Party. 
  

	 	15.3	English Language. 

  
 This Agreement has been prepared in the English language and the English language shall control its interpretation. 
  

	 	15.4	Notice. 

  
 All notices required or permitted to be given under this Agreement shall be in writing and deemed to have been received upon the earlier of confirmation
of actual receipt and may be sent by (a) hand delivery; (b) overnight courier, or (c) confirmed telecopy, in each case addressed to the address first set forth above. 
  

 30 

	 	15.5	Severability. 

  
 In the event any provision of this Agreement is held to be invalid or unenforceable, the valid or enforceable portion thereof and the remaining provisions
of this Agreement will remain in full force and effect. 
  

	 	15.6	Waiver. 

  
 Any waiver (express or implied) by any Party of any breach of this Agreement shall not constitute a waiver of any other or subsequent breach. 

 

	 	15.7	Entire Agreement. 

  
 This Agreement and the exhibits attached hereto, constitute the entire, final, complete and exclusive agreement between the Parties and supersede all
previous agreements or representations, written or oral, with respect to the subject matter of this Agreement. All information to be kept confidential under any earlier agreements between any Party shall be maintained by the receiving party under
the obligations set forth in Article 5 of this Agreement. This Agreement may not be modified or amended except upon mutual agreement of the Parties in writing signed by a duly authorized representative of SYNX and PBM. 
  
 The terms and conditions set forth herein constitute the final, complete,
exclusive and entire agreement between SYN.X and PBM with respect to the subject matter hereof. Any term or condition in any order, confirmation or other document furnished by SYN.X or PBM which is in any way inconsistent with the terms set forth
herein is hereby expressly rejected. 
  

	 	15.8	Assignability: Binding on Successors. 

  
 Neither this Agreement nor any of the rights hereunder may be assigned by either Party except upon the prior written consent of the other Party, except in
the event of a merger, corporate reorganization, or a sale of all or substantially all of the assets of the business of a party relating to the subject matter hereof. This Agreement shall be binding upon, and inure to the benefit of, the successors,
executors, heirs, representatives, administrators and assigns of the Parties hereto. 
  

	 	15.9	Force Majeure. 

  
 No Party shall be liable to the other for its failure to perform any of its obligations under this Agreement, except for payment obligations, during any
period in which such performance is delayed or does not occur because such performance is rendered impracticable or impossible due to circumstances beyond its reasonable control, including without limitation earthquakes, governmental or regional
regulation, fire, flood, labor difficulties, strikes, interruption of supply of key raw materials, civil disorder, and acts of God, provided that the Party experiencing the delay promptly notifies the other Party of the delay; the nature
thereof and the extent to which the affected party will be unable to fulfill its obligations 

  

 31 

 
hereunder. Each Party further agrees to use reasonable efforts to mitigate the affects of the Force Majeure event as quickly as possible and to give the
other prompt written notice when it is again able to fully perform such obligations. Notwithstanding the foregoing, nothing herein shall be deemed to modify the provisions of Articles 2 or 3 hereof. 
  

	 	15.10 	Termination as a Result of a Force Majeure Event. 

  
 If as a result of a Force Majeure event, a Party is unable to fully perform its obligations hereunder for any consecutive period of 180 days, the other
Party shall have the right to terminate this Agreement in its entirety, upon providing written notice to the nonperforming Party, such termination to be effective 30 days from the date hereof. 
  

	 	15.11 	Publicity. 

  
 No Party will make any announcement or other public announcement concerning the existence and terms of this Agreement without the consent of the other
Party, excepting only for such disclosures as may be required by applicable law or regulation. 
  

	 	15.12 	Captions. 

  
 The Parties agree that the headings in this Agreement are used for the convenience of the Parties only and are not intended to be used in the
interpretation of the Agreement. 
  

	 	15.13 	Counterparts. 

  
 This Agreement may be executed in counterparts with the same force and effect as if each of the signatories had executed the same Instrument. Signatures
may be transmitted by facsimile. 
  
 IN WITNESS WHEREOF, the
Parties have executed this Agreement effective the date first set forth above. 
  

					
	 	 	PRINCETON BIOMEDITECH CORPORATION
			
	 	 	 By:
	 	 /s/    JEMO KANG

	 	 	 Name:
	 	 Jemo Kang

		
	 	 	 SYNXPHARMA, INC.

			
	 	 	 By:
	 	 /s/    AARON DAVIDSON

	 	 	 Name:
	 	 Aaron Davidson

  

 32EXHIBIT 4.1

THIS  OPTION  HAS BEEN  ISSUED  PURSUANT  TO  EXEMPTIONS  FROM THE  REGISTRATION
REQUIREMENTS  OF THE  SECURITIES  ACT OF 1933,  AS AMENDED (THE "ACT"),  AND THE
QUALIFICATION  REQUIREMENTS OF APPLICABLE STATE SECURITIES LAWS (THE "LAWS"). IT
IS UNLAWFUL TO EXERCISE,  SELL,  PLEDGE OR OTHERWISE  DISPOSE OF THIS OPTION, OR
ANY INTEREST THEREIN, OR RECEIVE ANY CONSIDERATION  THEREFOR,  IN THE ABSENCE OF
AN EFFECTIVE  REGISTRATION  STATEMENT UNDER THE ACT AND QUALIFICATION  UNDER THE
LAWS, UNLESS  EXEMPTIONS FROM SUCH  REGISTRATION AND QUALIFICATION  REQUIREMENTS
ARE AVAILABLE.

THIS OPTION MAY BE  EXERCISED  ONLY IN  ACCORDANCE  WITH THE TERMS OF THIS STOCK
OPTION AGREEMENT.              ----

                                THE RICEX COMPANY

               BOARD MEMBER - NONSTATUTORY STOCK OPTION AGREEMENT
               --------------------------------------------------

         The RiceX  Company,  a Delaware  corporation  (the  "Company"),  hereby
grants to JAMES C.  LINTZENICH  (the  "Optionee"),  an option (the  "Option") to
purchase  a total of 50,000  shares of common  stock,  par value  $.001,  of the
Company (the "Common  Stock") at an exercise price (the "Exercise  Price") equal
to $0.25 per share,  which is equal to the fair  market  value of the  Company's
Common  Stock on the date of the grant,  in all  respects  subject to the terms,
definitions  and  provisions of this  Nonstatutory  Stock Option  Agreement (the
"Agreement").

              1.   NATURE  OF  THE  OPTION.  The  Option  is  intended  to  be a
nonstatutory  option and not an  incentive  stock  option  within the meaning of
Section 422 of the Internal Revenue Code of 1986, as amended (the "Code").

              2.   PAYMENT OF EXERCISE PRICE.

                   (a)  METHOD OF  PAYMENT.  Payment of the  Exercise  Price for
shares  purchased  upon  exercise of the Option shall be made (i) by delivery to
the Company of cash or a check to the order of the Company in an amount equal to
the purchase  price of such shares;  (ii) subject to the consent of the Company,
by delivery to the Company of shares of Common  Stock of the Company  then owned
by the Optionee having a fair market value equal in amount to the purchase price
of such shares in  accordance  with Section  2(b);  or, (iii) by any other means
approved by the Board of Directors and which is consistent  with applicable laws
and regulations  (including,  without  limitation,  the provisions of Rule 16b-3
under the  Securities  Exchange Act of 1934 and  Regulation T promulgated by the
Federal Reserve Board); or (iv) by any combination of such methods of payment.

<PAGE>
                   (b)  METHOD OF PAYMENT - PUBLIC  MARKET.  In the event  there
exists a public market for the  Company's  Common Stock on the date of exercise,
payment  of the  exercise  price  may be  made by  surrender  of  shares  of the
Company's Common Stock. In this case payment shall be made as follows:

                        (i)  Optionee  shall  deliver  to the  Secretary  of the
Company a written notice which shall set forth the portion of the purchase price
the Optionee  wishes to pay with Common Stock,  and the number of shares of such
Common Stock the Optionee intends to surrender  pursuant to the exercise of this
Option, which shall be determined by dividing the aforementioned  portion of the
purchase  price by the  average of the last  reported  bid and asked  prices per
share of Common  Stock of the  Company,  as reported in The Wall Street  Journal
(or, if not so reported,  as otherwise  reported by the National  Association of
Securities  Dealers  Automated  Quotation  (NASDAQ)  System or, in the event the
Common  Stock is listed on a  national  securities  exchange,  or on the  NASDAQ
Small-Cap Market of any successor  national market system,  the closing price of
Common  Stock of the  Company on such  exchange  as  reported in The Wall Street
Journal) for the day on which the notice of exercise is sent or delivered;

                        (ii) Fractional  shares  shall  be  disregarded  and the
Optionee  shall pay in cash an amount equal to such  fraction  multiplied by the
price determined under subparagraph (i);

                        (iii)The written  notice shall be  accompanied by a duly
endorsed blank stock power with respect to the number of Shares set forth in the
notice,  and the  certificate(s)  representing said Shares shall be delivered to
the Company at its principal offices within three (3) working days from the date
of the notice of exercise;

                        (iv) The  Optionee  hereby  authorizes  and  directs the
Secretary of the Company to transfer so many of the Shares  represented  by such
certificate(s) as are necessary to pay the purchase price in accordance with the
provisions herein;

                        (v)  If any such transfer of Shares requires the consent
of the California Commissioner of Corporations or of some other agency under the
securities  laws of any other state, or an opinion of counsel for the Company or
Optionee that such transfer may be effected under  applicable  federal and state
securities  laws, the time periods  specified  herein shall be extended for such
periods as the necessary  request for consent to transfer is pending before said
commissioner or other agency,  or until counsel renders such an opinion,  as the
case may be. All parties agree to cooperate in making such request for transfer,
or in  obtaining  such  opinion of counsel,  and no  transfer  shall be effected
without such consent or opinion if required by law; and

                        (vi) Notwithstanding  any other provisions  herein,  the
Optionee  shall only be permitted  to pay the purchase  price with shares of the
Company's  Common Stock owned by him as of the  exercise  date in the manner and
within  the  time  periods  allowed  under  Rule  16b-3  promulgated  under  the
Securities Exchange Act of 1934 as such regulation is presently constituted,  as
it is amended from time to time,  and as it is  interpreted  now or hereafter

<PAGE>
by the Securities and Exchange  Commission and any such shares have been held by
the Optionee for not less than six (6) months.

              3.   EXERCISE  OF  OPTION.   The  Option  shall  vest  and  become
exercisable  during its term,  subject to the provisions of Section 5 below,  as
follows:

                   (a)  VESTING AND RIGHT TO EXERCISE.

                        (i)  The  Option  hereby  granted  shall vest and become
exercisable on a prorated basis over a  twelve-month  period  beginning June 28,
2004. The option will be fully vested on June 27, 2005.

         Subject to the  provisions of  subparagraph  (ii) and (iii) below,  the
Optionee  can  exercise  any portion of the Option,  which has vested  until the
expiration of the Option term.

         If a "change of control" of the Company should occur, as defined below,
then the Option  shall  immediately  vest and become  exercisable  in full.  For
purposes of the foregoing provision,  a "change in control" means the occurrence
of any of the following:

                             (A)  any "person," as such term is used in Sections
13(d)  and  14(d) of the  Securities  Exchange  Act of  1934,  as  emended  (the
"Exchange  Act")  (other than the Company or its  existing  shareholders)  is or
becomes the  "beneficial  owner" (as  defined in Rule 13d-3  under the  Exchange
Act),  directly or  indirectly,  of securities of the Company (or a successor to
the Company)  representing  50% or more of the combined voting power of the then
outstanding securities of the Company or such successor;

                             (B)  the  dissolution of the Company or liquidation
of more  than 50% or more in value of the  assets  of the  Company,  (ii) or any
merger or  reorganization  of the Company  whether or not another  entity is the
survivor,  (iii) a transaction  (other than the initial  public  offering of the
Company's shares) pursuant to which holders, as a group, of all of the shares of
the Company outstanding before the transaction,  hold, as a group, less than 50%
of the combined voting power of the Company or any successor company outstanding
after the  transaction,  or (iv) any other  event or series of events  which the
Optionee determines, in his discretion,  would materially alter the structure of
the Company or its ownership.

                        (ii) In the event of the Optionee's  death,  disability,
other  termination  of employment or ceases to be a member of the Board prior to
exercise, the exercisability of the Option shall be governed by Section 5 below.

                        (iii)The Option may be exercised in whole or in part but
may not be exercised as to fractional shares.

                   (b)  METHOD OF EXERCISE.  In order to exercise any portion of
the Option,  the  Optionee  shall  execute  and  deliver to the Chief  Financial
Officer  of the  Company  the  Notice of  Exercise  of Stock  Option in the form
attached hereto as Exhibit "A," together with the Consent of Spouse.  The Notice
of Exercise must be  accompanied  by payment in full of the

<PAGE>
aggregate  purchase  price  for  the  Shares  to be  purchased  in the  type  of
consideration set forth in Section 2. The Notice of Exercise may be delivered to
the  Company  at any time.  The  certificate(s)  for the  Shares as to which the
Option has been  exercised  shall be  registered  in the name of Optionee or his
designee.

                   (c)  RESTRICTIONS  ON  EXERCISE.   This  Option  may  not  be
exercised  if the  issuance  of the shares  upon such  exercise or the method of
payment of  consideration  for such shares  would  constitute a violation of any
applicable federal or state securities law or any other law or regulation.  As a
condition to the exercise of the Option, the Company may require the Optionee to
make any  representation  or  warranty to the Company at the time of exercise of
the Option as in the opinion of legal counsel for the Company may be required by
any  applicable  law or  regulation,  including the execution and delivery of an
appropriate  representation  statement.  The stock certificate(s) for the Shares
issued upon  exercise  of the Option may bear  appropriate  legends  restricting
transfer.

                   (d)  DELIVERY OF CERTIFICATES.  The Company shall deliver the
certificate(s) for the Shares issued upon exercise of the Option to the Optionee
as soon as is  practicable;  provided,  however,  that if any law or  regulation
requires  the  Company to take action  with  respect to such  shares  before the
issuance  thereof,  including,  without  limitation,  actions taken  pursuant to
Section 6 below,  then the date of delivery of such Shares shall be extended for
a period necessary to take such action.

              4.   NON-TRANSFERABILITY  OF OPTION.  This Option may be exercised
during  the  lifetime  of the  Optionee  only  by the  Optionee  and  may not be
transferred  in any  manner  other  than by will or by the laws of  descent  and
distribution.  The terms of this  Option  shall be binding  upon the  executors,
administrators, heirs and successors of the Optionee.

              5.   TERM OF THE  OPTION.  Except as  otherwise  provided  in this
Agreement,  to the extent not  previously  exercised,  the right to exercise the
Option shall  terminate on the tenth  (10th)  anniversary  of the date of grant.
Notwithstanding the foregoing, if an Optionee ceases to be a Board Member of the
Company for any reason,  except  death and  disability,  he or she may, but only
within  ninety (90) days after the date he or she ceases to be a Board Member of
the  Company,  exercise  his or her  Option  to the  extent  that  he or she was
entitled to exercise it at the date of such termination,  and in the case of the
Optionee's death or disability,  the Optionee (or the  Administrator or Executor
or other  Representative of the Optionee's  estate) may, but only within one (1)
year after the date he or she ceases to be a Board  Member of the Company due to
death or disability, exercise his or her Option to the extent that he or she was
entitled to exercise it at the date of such termination;  provided, however that
in no event  may the  Option  be  exercised  after  the ten (10)  year  term has
expired.  To the extent that the Optionee was not entitled to exercise an Option
at the date of such  termination,  or if he or she does not exercise such Option
(which he or she was entitled to exercise) within the time specified herein, the
Option shall terminate.

              6.   ADJUSTMENTS   UPON   /CHANGES   IN   CAPITALIZATION;    OTHER
ADJUSTMENTS.  Subject to any required action by the shareholders of the Company,
the number of Shares and the Exercise  Price shall be  proportionately  adjusted
for any  increase  or decrease  in the number of issued  shares of Common  Stock
resulting   from   a   stock   split,   reverse   stock   split,    combination,

<PAGE>
reclassification,  the payment of a stock  dividend  on the Common  Stock or any
other  increase  or  decrease  in the  number of  shares of Common  Stock of the
Company  effected  without receipt of  consideration  by the Company;  provided,
however, that conversion of any convertible  securities of the Company shall not
be  deemed  to have been  "effected  without  receipt  of  consideration."  Such
adjustment shall be made by the Board, whose determination in that respect shall
be final, binding and conclusive.  Except as expressly provided herein, no issue
by the Company of shares of stock of any class, or securities  convertible  into
shares of stock of any class,  shall affect and no adjustment by reason  thereof
shall be made with respect to, the number of shares  subject to, or the Exercise
Price of, this Option.

              The Board may,  if it so  determines  in the  exercise of its sole
discretion,  also make provision for adjusting the number of shares,  as well as
the  Exercise  Price,  in the  event  that  the  Company  effects  one  or  more
reorganizations,  recapitalizations,  rights  offerings,  or other  increases or
reductions of shares of its  outstanding  common stock,  and in the event of the
Company being consolidated with or merged into any other corporation;  provided,
however,  that in no event  shall the  Optionee  be  adversely  affected by such
adjustment.

              The Board may,  if it so  determines  in the  exercise of its sole
discretion, also make provision for changing,  modifying,  amending or adjusting
any of the terms of this  Option  solely in order for the  Company  to perfect a
significant financing; provided, however, that in no event shall the Optionee be
adversely affected by such adjustment.

              7.   RIGHTS OF  SHAREHOLDER.  Optionee  shall  have no rights as a
shareholder  with  respect to the shares  until the date of the  issuance or the
transfer to the  Optionee of the  certificate(s)  for such shares and only after
the Exercise Price for such shares has been paid in full.

              8.   AMENDMENT.  Except as set forth in Section 6, this  Agreement
may not be amended without the written consent of the Optionee.

              9.   INCOME TAX WITHHOLDING.  The Optionee  authorizes the Company
to withhold,  in accordance with applicable law from any compensation payable to
him or her, any taxes required to be withheld by federal, state or local laws as
a result  of the  exercise  of this  Option.  Furthermore,  in the  event of any
determination  that the Company has failed to withhold a sum  sufficient  to pay
all withholding  taxes due in connection  with the exercise of this Option,  the
Optionee  agrees to pay the Company the amount of such deficiency in cash within
five (5) days  after  receiving  a written  demand  from the  Company  to do so,
whether or not Optionee is an employee or director of the Company at that time.

              10.  INVESTMENT REPRESENTATIONS; LEGENDS.

                   (a)  REPRESENTATIONS.  The Optionee represents,  warrants and
covenants that:

                        (i)  Any shares  purchased  upon exercise of this Option
shall be acquired for the Optionee's account for investment only, and not with a
view to, or for sale in  connection  with,  any  distribution  of the  shares in
violation of the Securities Act of 1933 (the  "Securities  Act"), or any rule or
regulation under the Securities Act.

<PAGE>
                        (ii) The Optionee has had such  opportunity as he or she
has  deemed  adequate  to  obtain  from  representatives  of  the  Company  such
information  as is  necessary  to permit the Optionee to evaluate the merits and
risks of his or her investment in the Company.

                        (iii)The Optionee is able to bear the  economic  risk of
the holding of such shares acquired  pursuant to the exercise of this Option for
an indefinite period.

                        (iv) The Optionee  understands  that the Shares acquired
pursuant to the exercise of this Option are not registered  under the Securities
Act and are  "restricted  securities"  within the  meaning of Rule 144 under the
Securities Act and may not be transferred,  sold or otherwise disposed of in the
absence of an effective  registration statement with respect to the Shares filed
and made  effective  under the  Securities Act of 1933, or an opinion of counsel
satisfactory  to the Company to the effect that  registration  under such Act is
not required.

By making payment upon exercise of this Option,  the Optionee shall be deemed to
have reaffirmed,  as of the date of such payment,  the  representations  made in
this Section 10.

                   (b)  Legends  of Stock  Certificate.  All stock  certificates
representing  share of Common Stock issued to the Optionee upon exercise of this
Option shall have  affixed  thereto  legend(s)  substantially  in the  following
forms, in addition to any other legends required by applicable state law:

         "THE  SHARES OF STOCK  REPRESENTED  BY THIS  CERTIFICATE  HAVE NOT BEEN
         REGISTERED UNDER THE SECURITIES ACT OF 1933 AND MAY NOT BE TRANSFERRED,
         SOLD  OR  OTHERWISE   DISPOSED  OF  IN  THE  ABSENCE  OF  AN  EFFECTIVE
         REGISTRATION  STATEMENT  WITH  RESPECT TO THE SHARES  EVIDENCED BY THIS
         CERTIFICATE, FILED AND MADE EFFECTIVE UNDER THE SECURITIES ACT OF 1933,
         OR AN OPINION OF COUNSEL SATISFACTORY TO THE COMPANY TO THE EFFECT THAT
         REGISTRATION UNDER SUCH ACT IS NOT REQUIRED."

DATE OF GRANT: June 28, 2004

The RiceX Company

                                  By: _______________________________________

                                      Terrence Barber, Chief Executive Officer

                                  By: _______________________________________

                                      Todd C. Crow, Chief Financial Officer

<PAGE>
         The Optionee acknowledges receipt of a copy of the Plan, and represents
that he or she is familiar  with the terms and  provisions  thereof,  and hereby
accepts  this Option  subject to all of the terms and  provisions  thereof.  The
Optionee hereby agrees to accept as binding,  conclusive and final all decisions
or  interpretations  of the Board of  Directors  of The RiceX  Company  upon any
questions arising under such Agreement.

Dated:   ________________________

                                    ________________________________________
                                    JAMES C. LINTZENICH
                                    ("Optionee")

CONSENT OF SPOUSE

         I,  ________________________,  spouse of the  Optionee who executed the
foregoing  Agreement attached hereto,  hereby agree that my spouse's interest in
the shares of Common Stock of The RiceX Company  subject to said Agreement shall
be  irrevocably  bound by the  Agreement's  terms. I agree to accept as binding,
conclusive and final all decisions or  interpretations of the Board of Directors
of The RiceX Company upon any questions arising under such Agreement.  I further
agree  that my  community  property  interest  in  such  Shares,  if any,  shall
similarly  be bound by said  Agreement  and that such consent is binding upon my
executors,  administrators,  heirs and  assigns.  I agree to execute and deliver
such documents as may be necessary to carry out the intent of said Agreement and
this consent.

Dated:   ________________________

                                        ________________________________________
                                        Signature

                                        ________________________________________
                                        Print Name

<PAGE>
                                    EXHIBIT A

TO:      The RiceX Company
         1241 Hawks Flight Court, Suite 103
         El Dorado Hills, CA  95762

SUBJECT: NOTICE OF EXERCISE OF STOCK OPTIONS

With  respect  to the  stock  option  granted  to the  undersigned  by The RiceX
Company, (the "Company") on (grant date) _______________________, to purchase an
aggregate of ________________________ shares of the Company's Common Stock, this
is official notice that the undersigned hereby elects to exercise such option to
purchase shares as follows:

         Number of Shares  ________________________

         Date of Purchase: ________________________

         Mode of Payment:  ________________________  (certified check or cash)

The shares should be issued as follows:

         Name:             _____________________________________________

         Address:          _____________________________________________

                           _____________________________________________

         Signed by (print name):   _____________________________________________

         Signature:                _____________________________________________

         Dated:                    _____________________________________________

Please send this notice of exercise to:

         The RiceX Company
         1241 Hawks Flight Court, Suite 103
         El Dorado Hills, CA  95762

         Phone:  916-933-3000

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