Document:

Equity Distribution Agreement

 Exhibit 10.1 
 ARCA BIOPHARMA, INC. 
 EQUITY DISTRIBUTION
AGREEMENT 
 December 8, 2009 
 Wedbush Morgan Securities, Inc. 
 One Bush Street, Suite 1700 
 San Francisco, California 94104 
 Ladies and
Gentlemen: 
 1. Introductory. ARCA biopharma, Inc., a Delaware corporation (the
“Company”), proposes, subject to the terms and conditions stated herein, to issue and sell through or to Wedbush Morgan Securities, Inc., as sales agent or principal (“Wedbush”), on the terms and subject to the
conditions of this Equity Distribution Agreement (this “Agreement”), shares of its authorized but unissued common stock, par value $0.001 per share, having an aggregate gross sales price of up to $10 million (the
“Shares”). The shares of common stock, par value $0.001 per share, of the Company to be outstanding after giving effect to the sales contemplated hereby are hereinafter referred to as the “Common Stock”. 

The Company and Wedbush hereby confirm their agreement with respect to the issuance and sale of the Shares as follows: 
 2. Registration Statement and Prospectus. The Company has filed with the Securities and Exchange
Commission (the “Commission”) a registration statement on Form S-3 (File No. 333-148288) under the Securities Act of 1933, as amended (the “Act”), and the rules and regulations of the Commission thereunder, and
such amendments thereto (including post-effective amendments) as may be required to the date of this Agreement. Such registration statement, as amended (including any post-effective amendments), has been declared effective by the Commission. The
registration statement as of its most recent effective date, including the information (if any) deemed to be part of the registration statement at the time of effectiveness pursuant to Rule 430A or Rule 430B under the Act, is hereinafter referred to
as the “Registration Statement”, and the related base prospectus dated January 16, 2008 and filed as part of the Registration Statement, together with any amendments or supplements thereto as of the most recent effective date
of the Registration Statement, is hereinafter referred to as the “Basic Prospectus.” “Prospectus Supplement” means the final prospectus supplement, relating to the Shares, filed by the Company with the Commission
pursuant to Rule 424(b) under the Act on or before the second business day after the date hereof, in the form furnished by the Company to Wedbush in connection with the offering of the Shares. Except where the context otherwise requires,
“Prospectus” means the Basic Prospectus, as supplemented by the Prospectus Supplement and the most recent Interim Prospectus Supplement (as defined in Section 7(c) below), if any. For purposes of this Agreement,
(i) “free writing prospectus” has the meaning set forth in Rule 405 under the Act and (ii) “Permitted Free Writing Prospectuses” means the documents listed on Schedule I hereto. As used herein, the
terms “Registration Statement”, “Basic Prospectus”, “Prospectus Supplement”, “Interim Prospectus Supplement” and “Prospectus” shall include the documents, if any,
incorporated by reference therein. The terms “supplement”, “amendment”, and “amend” as used herein with respect to the Registration Statement, the Basic Prospectus, the Prospectus Supplement, any
Interim Prospectus Supplement, the Prospectus or any free writing prospectus shall include all documents subsequently filed by the Company with the Commission pursuant to the Securities Exchange Act of 1934, as amended (the “Exchange
Act”), that are deemed to be incorporated by reference therein (the “Incorporated Documents”). 

 3. Sale of Shares. On the basis of the representations, warranties and
agreements herein contained, but subject to the terms and conditions herein set forth, the Company and Wedbush agree that the Company may from time to time seek to sell Shares through Wedbush, acting as sales agent, or directly to Wedbush, acting as
principal, as follows: 
 (a) The Company may submit its orders to Wedbush by telephone (including any price,
time or size limits or other customary parameters or conditions) to sell Shares on any Trading Day (as defined herein) which order shall be confirmed by Wedbush (and accepted by the Company) by electronic mail using a form substantially similar to
that attached hereto as Exhibit A. As used herein, “Trading Day” shall mean any trading day on the NASDAQ Global Market (the “Exchange”), other than a day on which the Exchange is scheduled to close prior to
its regular weekday closing time. 
 (b) Subject to the terms and conditions hereof, Wedbush shall use its
commercially reasonable efforts to execute any Company order submitted to it hereunder to sell Shares and with respect to which Wedbush has agreed to act as sales agent. The Company acknowledges and agrees that (i) there can be no assurance
that Wedbush will be successful in selling the Shares, (ii) Wedbush will incur no liability or obligation to the Company or any other person or entity if it does not sell Shares for any reason and (iii) Wedbush shall be under no obligation
to purchase Shares on a principal basis pursuant to this Agreement, except as otherwise specifically agreed by Wedbush and the Company. 
 (c) Wedbush hereby covenants and agrees not to make any sales of the Shares on behalf of the Company other than as permitted by the terms of this Agreement. 
 (d) The Company shall not authorize the issuance and sale of, and Wedbush shall not sell as sales agent, any Share at a price
lower than the minimum price therefor designated by the Company and confirmed by Wedbush pursuant to Section 3(a) above. In addition, Wedbush or the Company may, upon notice to the other party hereto by telephone (confirmed promptly by email or
facsimile), suspend an offering of the Shares with respect to which Wedbush is acting as sales agent; provided, however, that such suspension or termination shall not affect or impair the parties’ respective obligations with respect to the
Shares sold hereunder prior to the giving of such notice. 
 (e) If acting as sales agent hereunder, Wedbush
shall provide written confirmation (which may be by facsimile or email) to the Company following the close of trading on the Exchange each day in which Shares are sold under this Agreement setting forth (i) the amount of Shares sold on such
day, (ii) the gross offering proceeds received from such sale and (iii) the commission payable by the Company to Wedbush with respect to such sales. 
 (f) At each Time of Sale, Settlement Date and Representation Date (as defined below), the Company shall be deemed to have
affirmed each representation and warranty contained in this Agreement. Any obligation of Wedbush to use its commercially reasonable efforts to sell the Shares on behalf of the Company as sales agent shall be subject to the continuing accuracy of the
representations and warranties of the Company herein, to the performance by the Company of its obligations hereunder and to the continuing satisfaction of the additional conditions specified in Section 9 of this Agreement. 
 (g) Notwithstanding any other provision of this Agreement, the Company and Wedbush agree that no sales of Shares shall take
place, the Company shall not request the sales of any Shares that would be sold and Wedbush shall not be obligated to sell or offer to sell, during any period in which (i) the Company’s insider trading policy, as it exists on the date of
this Agreement, would prohibit the purchase or sale of Common Stock by persons subject to such policy, (ii) the

  

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Company otherwise is in possession of material non-public information, or (iii) any such sales would cause the Company to violate the restrictions set forth in General Instruction I.B.6. to
Form S-3, to the extent then applicable. 
 4. Fees and Expense Reimbursement. 
 (a) The compensation to Wedbush for sales of the Shares with respect to which Wedbush acts as sales agent hereunder shall be
equal to 4.5% of the gross offering proceeds of the Shares sold pursuant to this Agreement. The Company may sell Shares to Wedbush as principal at a price agreed upon at the relevant Time of Sale. 
 (b) The Company shall from time to time on demand reimburse Wedbush for its reasonable documented out-of-pocket expenses,
including the reasonable fees and disbursements of counsel for Wedbush, incurred by Wedbush in connection with the transactions and other matters contemplated hereunder in an amount not to exceed $125,000 in the aggregate. Additionally, after the
execution and delivery of this Agreement, the Company will reimburse Wedbush on demand for its reasonable documented out-of-pocket expenses, including the reasonable fees and disbursements of counsel for Wedbush, related to ongoing maintenance, due
diligence expenses and other reasonable documented out-of-pocket expenses associated herewith up to $18,000 per calendar quarter; provided, however, that in no event shall the Company be liable for any such expenses in excess of $225,000 in the
aggregate. In no event shall the total compensation payable to Wedbush hereunder (including any reimbursement of reasonable out-of-pocket expenses) exceed 8% of the aggregate gross proceeds expected to be received by the Company from the sale of
Shares hereunder. 
 5. Delivery and Payment. 
 (a) Settlement for sales of the Shares pursuant to this Agreement will occur on the third Trading Day (or such earlier day as
is industry practice for regular-way trading) following the date on which such sales are made (each such day, a “Settlement Date”). On each Settlement Date, the Shares sold through or to Wedbush for settlement on such date shall be
issued and delivered by the Company to Wedbush or as Wedbush may otherwise direct against payment of the net proceeds from the sale of such Shares. Settlement for all such Shares shall be effected by free delivery of the Shares by the Company or its
transfer agent (i) to Wedbush’s or its designee’s account (provided Wedbush shall have given the Company written notice of such designee prior to the Settlement Date) at The Depository Trust Company (“DTC”),
(ii) through credit to the purchaser’s balance account with DTC through its Deposit Withdrawal Agent Commission system (provided Wedbush shall have given the Company written notice of account information prior to the Settlement Date), or
(iii) by such other means of delivery as may be mutually agreed upon by the parties hereto, which in all cases shall be freely tradable, transferable, registered shares in good deliverable form, in return for payment in same day funds delivered
to the account designated by the Company. If the Company, or its transfer agent (if applicable), shall default on its obligation to deliver the Shares on any Settlement Date, the Company shall (i) hold Wedbush harmless against any loss, claim,
damage, or expense (including reasonable legal fees and expenses), as incurred, arising out of or in connection with such default by the Company and (ii) pay Wedbush any commission, discount or other compensation to which it would otherwise be
entitled absent such default. 
 6. Representations and Warranties of the Company. The Company represents and
warrants to, and agrees with, Wedbush that: 
 (a) Effectiveness of Registration
Statement. The Registration Statement has become effective; no stop order suspending the effectiveness of the Registration Statement is in effect, and no proceedings for such purpose are pending before or threatened by the
Commission. 
  

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 (b) Compliance with Act Requirements. (i) (A) At the
respective times the Registration Statement and each amendment thereto became effective, (B) at each deemed effective date with respect to Wedbush pursuant to Rule 430B(f)(2) under the Act (each, a “Deemed Effective Time”),
(C) as of each time Shares are sold pursuant to this Agreement (each, a “Time of Sale”), (D) at each Settlement Date and (E) at all times during which a prospectus is required by the Act to be delivered (whether
physically or through compliance with Rule 172 under the Act or any similar rule) in connection with any sale of Shares (the “Delivery Period”), the Registration Statement complied and will comply in all material respects with the
requirements of the Act and the rules and regulations under the Act; (ii) the Basic Prospectus complied at the time it was filed with the Commission, complies as of the date hereof and, as of each Time of Sale and at all times during the
Delivery Period, will comply in all material respects with the rules and regulations under the Act; (iii) each of the Prospectus Supplement, any Interim Prospectus Supplement and the Prospectus will comply, as of the date that it is filed with
the Commission, as of each Time of Sale, as of each Settlement Date and at all times during the Delivery Period, in all material respects with the rules and regulations under the Act and (iv) the Incorporated Documents, when they were filed
with the Commission, conformed in all material respects to the requirements of the Exchange Act and the rules and regulations of the Commission thereunder, and any further Incorporated Documents so filed and incorporated by reference, when they are
filed with the Commission, will conform in all material respects to the requirements of the Exchange Act and the rules and regulations of the Commission thereunder. 
 (c) Absence of Material Misstatements and Omissions. (i) As of the date hereof, at the respective times
the Registration Statement and each amendment thereto became effective and at each Deemed Effective Time, the Registration Statement did not and will not contain an untrue statement of a material fact or omit to state a material fact required to be
stated therein or necessary to make the statements therein not misleading; (ii) as of each Time of Sale, the Prospectus (as amended and supplemented at such Time of Sale) and any Permitted Free Writing Prospectus, considered together
(collectively, the “General Disclosure Package”), did not contain any untrue statement of a material fact or omit to state any material fact necessary in order to make the statements therein, in the light of the circumstances under
which they were made, not misleading; (iii) as of its date, the Prospectus did not contain an untrue statement of a material fact or omit to state a material fact necessary in order to make the statements therein, in the light of the
circumstances under which they were made, not misleading; and (iv) at any Settlement Date, the Prospectus (as amended and supplemented at such Settlement Date) did not and will not contain an untrue statement of a material fact or omit to state
a material fact necessary in order to make the statements therein, in the light of the circumstances under which they were made, not misleading; provided, however, that this representation and warranty shall not apply to any statements in or
omissions from any such document based upon written information furnished to the Company by Wedbush, if any, specifically for use therein, it being understood and agreed that the only such information is that described as such in Section 9(b)
hereof. 
 (d) Free Writing Prospectuses. Any free writing prospectus that the Company is required
to file pursuant to Rule 433(d) under the Act has been, or will be, filed with the Commission in accordance with the requirements of the Act and the applicable rules and regulations of the Commission thereunder. Each free writing prospectus that the
Company has filed, or is required to file, pursuant to Rule 433(d) under the Act or that was prepared by or on behalf of or used or referred to by the Company complies or will comply in all material respects with the requirements of the Act and the
applicable rules and regulations of the Commission

  

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thereunder. Each free writing prospectus, as of its issue date and at all subsequent times through the completion of the public offer and sale of the Shares or until any earlier date that the
Company notified or notifies Wedbush, did not, does not and will not include any material information that conflicted, conflicts or will conflict with the information contained in the Registration Statement or the Prospectus. Except for the
Permitted Free Writing Prospectuses, if any, each furnished to Wedbush before first use, the Company has not prepared, used or referred to, and will not, without Wedbush’s prior consent, prepare, use or refer to, any free writing prospectus.

 (e) Not an “Ineligible Issuer”. (A) (i) At the time of filing the
Registration Statement and (ii) at the time of the most recent amendment thereto for the purposes of complying with Section 10(a)(3) of the Act (whether such amendment was by post-effective amendment, incorporated report filed pursuant to
Section 13 or 15(d) of the Exchange Act or form of prospectus), the Company was not an “ineligible issuer” as defined in Rule 405 of the Act; and (B) (i) at the time of filing of the Registration Statement, (ii) at the
earliest time thereafter that the Company or another offering participant made a bona fide offer (within the meaning of Rule 164(h)(2) under the Act) of the Shares and (iii) at the date hereof, the Company was not and is not an “ineligible
issuer” as defined in Rule 405 under the Act. 
 (f) Shelf Registration Statement. The date of
this Agreement is not more than three years subsequent to the initial effective date of the Registration Statement. 
 (g) Good Standing of the Company and Its Subsidiaries; Merger. The Company and each subsidiary of the Company listed on Schedule II attached hereto (each, a “Subsidiary” and, collectively, the
“Subsidiaries”) has been duly incorporated and is existing and in good standing under the laws of their respective jurisdictions of organization, with power and authority (corporate and other) to own its respective properties and
conduct its respective business as disclosed in the General Disclosure Package and the Prospectus; and the Company and each Subsidiary is duly qualified to do business as a foreign corporation in good standing in all other jurisdictions in which its
ownership or lease of property or the conduct of its business requires such qualification, except to the extent that the failure to be so qualified or be in good standing would not materially and adversely affect the Company or any Subsidiary or
their respective businesses, properties, business prospects, conditions (financial or other) or results of operations, taken as a whole (such effect is referred to herein as a “Material Adverse Effect”). Except for the Subsidiaries,
the Company does not own any equity interest in any other entity. Except as disclosed in the General Disclosure Package or the Prospectus, the Company has no “variable interests” in “variable interest entities,” as such terms are
defined in Financial Accounting Standards Board Interpretation No. 46. 
 The merger (the
“Merger”) of Dawn Acquisition Sub, Inc. (“Merger Sub”) with and into ARCA biopharma, Inc. (n/k/a ARCA biopharma Colorado, Inc.) (“Old ARCA”) pursuant to the terms and subject to the conditions of
the Agreement and Plan of Merger and Reorganization, dated as of September 24, 2008, as amended (the “Merger Agreement”), by and among the Company, Merger Sub and Old ARCA, was consummated on substantially the terms and
conditions set forth in the Merger Agreement and all obligations and commitments of the parties to the Merger Agreement to be complied with or satisfied on or prior to the date hereof have been complied with or satisfied in all material respects.

 (h) Exchange Act Reports. The Company has filed in a timely manner
all reports required to be filed pursuant to Sections 13(a), 13(e), 14 and 15(d) of the Exchange Act during the preceding 12 months. 
  

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 (i) Capital Stock. The Shares to be issued and sold by the
Company hereunder and all other outstanding shares of capital stock of the Company have been duly authorized; all outstanding shares of capital stock of the Company are, and, when the Shares of Common Stock have been delivered and paid for in
accordance with this Agreement, such Shares will have been, validly issued, fully paid and nonassessable, and such Shares will conform to the information in the General Disclosure Package and to the description of such Shares contained in the
Prospectus; the stockholders of the Company have no statutory or contractual preemptive rights with respect to the Common Stock; none of the outstanding shares of capital stock of the Company are or will have been issued in violation of any
statutory or contractual preemptive rights of any security holder; and the authorized equity capitalization of the Company is as set forth in the General Disclosure Package and the Prospectus. Except as disclosed in the General Disclosure Package or
the Prospectus, the Company owns all of the outstanding capital stock of each Subsidiary. 
 (j) No
Finder’s Fee. There are no contracts, agreements or understandings between the Company and any person other than Wedbush that would give rise to a valid claim against the Company or Wedbush for a brokerage commission,
finder’s fee or other like payment. 
 (k) Financial Statements; Pro Forma Financial
Information. The financial statements and schedules included or incorporated by reference in the Registration Statement, the Prospectus and the General Disclosure Package present fairly the financial condition of the
Company and its consolidated Subsidiaries as of the respective dates thereof and the results of operations and cash flows of the Company and its consolidated Subsidiaries for the respective periods covered thereby, all in conformity with generally
accepted accounting principles applied on a consistent basis throughout the entire period involved. The financial statements and schedules of Old ARCA and its consolidated subsidiaries included or incorporated by reference in the Registration
Statement, the Prospectus and the General Disclosure Package present fairly the financial condition of Old ARCA and its consolidated subsidiaries as of the respective dates thereof and the results of operations and cash flows of Old ARCA and its
consolidated subsidiaries for the respective periods covered thereby, all in conformity with generally accepted accounting principles applied on a consistent basis throughout the entire period involved. No other financial statements or schedules of
the Company or Old ARCA are required by the Act, the Exchange Act, or the rules and regulations thereunder to be included in the Registration Statement, the Prospectus or the General Disclosure Package. KPMG LLP (“KPMG”), who has
reported on the financial statements and schedules of Old ARCA and its consolidated Subsidiaries, is an independent accountant with respect to the Company and Old ARCA as required by the Act and the rules and regulations thereunder and
Rule 3600T of the Public Company Accounting Oversight Board. Prior to March 25, 2009, Ernst & Young LLP (“E&Y” and, together with KPMG, the “Accountants”), who has reported on the financial
statements and schedules of the Company and its consolidated subsidiaries, was an independent accountant with respect to the Company as required by the Act and the rules and regulations thereunder and Rule 3600T of the Public Company Accounting
Oversight Board. The summary and selected consolidated financial and statistical data, if any, included in or incorporated by reference into the Registration Statement, the Prospectus and the General Disclosure Package present fairly the information
shown therein and have been compiled on a basis consistent with the Company’s and Old ARCA’s audited financial statements. The pro forma financial information relating to the Merger incorporated by reference into the Registration Statement
and the Prospectus complies in all material respects with the requirements of Rule 11-02 of Regulation S-X and presents fairly, in all material respects, the information required to be presented therein. The pro forma adjustments specified therein
have been properly applied to the historical amounts in the compilation of such pro forma financial information. 
  

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 (l) Absence of Changes. Subsequent to the respective dates as
of which information is given in the Registration Statement, the Prospectus and the General Disclosure Package, except as set forth in or contemplated by the Registration Statement, the Prospectus or the General Disclosure Package, (i) there
has not been any change in the capitalization of the Company (other than in connection with the grant or exercise of awards or options to purchase the Common Stock granted pursuant to the Company’s equity incentive plans from the shares
reserved therefor), (ii) no Material Adverse Effect has occurred for any reason whatsoever, (iii) the Company has not incurred, except in the ordinary course of business as disclosed in the General Disclosure Package or the Prospectus, any
material liabilities or obligations, direct or contingent, (iv) the Company has not entered into, except in the ordinary course of business as disclosed in the General Disclosure Package or the Prospectus, any material transactions other than
pursuant to this Agreement and the transactions referred to herein and (v) the Company has not paid or declared any dividends or other distributions of any kind on any class of its capital stock. 
 (m) Not An Investment Company. The Company is not, will not become as a result of the
transactions contemplated hereby, an “investment company” or an “affiliated person” of, or “promoter” or “principal underwriter” for, an “investment company,” as such terms are defined in the
Investment Company Act of 1940, as amended. 
 (n) Litigation. Except as disclosed in
the General Disclosure Package or the Prospectus, there are no actions, suits or proceedings pending or, to the knowledge of the Company, threatened against or affecting the Company or its Subsidiaries or against any of their respective officers in
their capacity as such, before or by any federal or state court, commission, regulatory body, administrative agency or other governmental body, domestic or foreign, wherein an unfavorable ruling, decision or finding would reasonably be expected to
have a Material Adverse Effect. 
 (o) Absence of Existing Defaults and Conflicts.
Except as disclosed in the General Disclosure Package or the Prospectus, each of the Company and its Subsidiaries is not (i) in violation of any provision of their respective certificates of incorporation or bylaws, (ii) in default in any
respect, and no event has occurred which, with notice or lapse of time or both, would constitute such a default, in the due performance or observance of any indenture, contract, lease, mortgage, deed of trust, note agreement, loan agreement or other
agreement, obligation, condition, covenant or instrument to which it is a party or by which it is bound or to which any of its property or assets is subject, or (iii) in violation in any respect of any statute, law, rule, regulation, ordinance,
judgment, order or decree of any court, regulatory body, administrative agency, governmental body, arbitrator or other authority having jurisdiction over the Company or any Subsidiary or any of their respective properties, as applicable, except,
with respect to clauses (ii) and (iii), any violations or defaults which, individually or in the aggregate, would not reasonably be expected to have a Material Adverse Effect. 
 (p) Absence of Further Requirements. Except as disclosed in the General Disclosure Package or the
Prospectus, no consent, approval, authorization or order of, or any filing or declaration with, any court or governmental agency or body is required for the consummation by the Company of the transactions on its part contemplated herein, including
the offering and sale of the Shares, except such as have been obtained under the Act or the rules and regulations thereunder and such as may be required under state securities or Blue Sky laws. 
 (q) Authorization; Absence of Defaults and Conflicts Resulting from Transaction. The Company has full
corporate power and authority to enter into this Agreement. This Agreement has been duly authorized, executed and delivered by the Company. This Agreement is a valid and binding agreement of the Company, enforceable against the Company in

  

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accordance with its terms, except (i) as limited by applicable bankruptcy, insolvency, reorganization or similar laws relating to or affecting the enforcement of creditors’ rights
generally and (ii) as limited by equitable principles generally. The performance of this Agreement and the consummation of the transactions contemplated hereby, will not (i) result in the creation or imposition of any lien, charge or
encumbrance upon any of the assets of the Company or any Subsidiary pursuant to the terms or provisions of, or result in a breach or violation of any of the terms or provisions of, or conflict with or constitute a default under, or give any party a
right to terminate any of its obligations under, or result in the acceleration of any obligation under, (A) the certificate of incorporation or bylaws of the Company, or (B) any indenture, mortgage, deed of trust, voting trust agreement,
loan agreement, bond, debenture, note agreement or other evidence of indebtedness, lease, contract or other agreement or instrument to which the Company or any Subsidiary is a party or by which the Company, any Subsidiary or any of their respective
properties is bound or affected, except, in the case of clause (i)(B), any lien, breach, violation, conflict, default or acceleration that would not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect, or
(ii) violate or conflict with any judgment, ruling, decree, order, statute, rule or regulation of any court or other governmental agency or body applicable to the business or properties of the Company or any Subsidiary, except any violation or
conflict that would not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect. 
 (r) Title to Property. The Company and each Subsidiary has good and marketable title to all properties and assets described in the General Disclosure Package and the Prospectus as owned by it, free and clear of all
liens, charges, encumbrances or restrictions, except such as are described in the General Disclosure Package or the Prospectus or are not material to the business of the Company. The Company and each Subsidiary has valid, subsisting and enforceable
leases for the properties described in the General Disclosure Package and the Prospectus as leased by it. The Company and each Subsidiary owns or leases all such properties as are necessary to its respective operations as now conducted or as
proposed to be conducted, except where the failure to so own or lease would not reasonably be expected to have a Material Adverse Effect. 
 (s) Off Balance Sheet Interests and Contracts. Except as disclosed in the General Disclosure Package or the Prospectus, there is no document, contract, permit or instrument, affiliate
transaction or off-balance sheet transaction (including, without limitation, any “variable interests” in “variable interest entities,” as such terms are defined in Financial Accounting Standards Board Interpretation No. 46)
of a character required to be described in the Registration Statement, the Prospectus or the General Disclosure Package or to be filed as an Exhibit to the Registration Statement that is not described or filed as required. All such contracts
described in the immediately preceding sentence to which the Company or any Subsidiary is a party have been duly authorized, executed and delivered by the Company or the Subsidiary party thereto, constitute valid and binding agreements of the
Company or the Subsidiary party thereto and are enforceable against and by the Company or the Subsidiary party thereto in accordance with the terms thereof. 
 (t) Accuracy of Statements. No statement, representation, warranty or covenant made by the
Company in this Agreement or made in any certificate or document required by Section 9 of this Agreement to be delivered to Wedbush was or will be, when made, inaccurate, untrue or incorrect in any material respect. 
 (u) Offering Material; Stabilization. The Company has not distributed, and will not distribute,
any offering material in connection with the offering and sale of the Shares other than the General Disclosure Package, any Permitted Free Writing Prospectus, the Prospectus, any

  

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Interim Prospectus Supplement, the Registration Statement and other materials, if any, permitted by the Act. Neither the Company nor any of its directors, officers or controlling persons has
taken, directly or indirectly, any action designed, or that might reasonably be expected, to cause or result, under the Act or otherwise, in, or that has constituted, stabilization or manipulation of the price of any security of the Company to
facilitate the sale or resale of the Shares. 
 (v) Registration Rights. No holder of
securities of the Company has rights to the registration of any securities of the Company because of the filing of the Registration Statement, which rights have not been waived by the holder thereof as of the date hereof. 
 (w) Listing. The Common Stock is registered under Section 12(b) of the Exchange Act and the
Shares have been approved for listing on the NASDAQ Global Market, subject to notice of issuance. 
 (x)
Possession of Intellectual Property. Except as disclosed in the General Disclosure Package or the Prospectus, (i) the Company and each Subsidiary owns or has adequate rights (or believes it can obtain adequate rights
on reasonable terms) to use all trademarks, trademark applications, trade names, domain names, patents, patent applications, patent rights, copyrights, technology, know-how, trade secrets, service marks, trade dress rights, and other intellectual
property and proprietary rights (collectively, “Intellectual Property”) and has such other licenses, approvals, permits, and governmental authorizations with respect to such Intellectual Property, in each case sufficient to conduct
its business as now conducted and as now proposed to be conducted, except for the absence of rights to Intellectual Property that would not reasonably be expected to have a Material Adverse Effect, and, to the Company’s knowledge, none of the
Intellectual Property of the Company or any Subsidiary is invalid or unenforceable, except where such invalidity or unenforceability would not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect, and all
material patent applications of the Company and each Subsidiary have been properly filed and, to the Company’s knowledge, prosecuted in accordance with all applicable laws, (ii) the Company has no knowledge that the conduct of its business
or the business of any Subsidiary, as now conducted, and as now proposed to be conducted, will infringe, misappropriate, conflict, or otherwise interfere with, the Intellectual Property of any third party which, individually or in the aggregate,
would reasonably be expected to have a Material Adverse Effect, (iii) the Company is not aware of any infringement, misappropriation, conflict or violation by Intellectual Property owned or controlled by any third party, of or with the Company
or any Subsidiary’s Intellectual Property, which, individually or in the aggregate, would reasonably be expected to have a Material Adverse Effect, (iv) there is no pending or, to the Company’s knowledge, threatened action, suit,
proceeding, or other claim against the Company or any Subsidiary or, to the Company’s knowledge, any employee of the Company or any Subsidiary, asserting that the Company or any Subsidiary’s Intellectual Property infringes third party
Intellectual Property, which, individually or in the aggregate, would reasonably be expected to have a Material Adverse Effect, and (v) neither the Company nor any Subsidiary has received any written notice of infringement with respect to any
patent or any written notice challenging the validity, scope or enforceability of any Intellectual Property owned by or licensed to the Company or any Subsidiary, which, individually or in the aggregate, would reasonably be expected to have a
Material Adverse Effect. Except as disclosed in the General Disclosure Package or the Prospectus, the Company and each Subsidiary’s Intellectual Property is free and clear of any pledge, lien, security interest, encumbrance, claim or equitable
interest whether imposed by agreement, contract, understanding, law or equity, which, individually or in the aggregate, would reasonably be expected to result in a Material Adverse Effect. 
  

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 (y) Taxes. Except as disclosed in the General
Disclosure Package or the Prospectus, the Company and each Subsidiary has filed all federal, state, local and foreign income tax returns that have been required to be filed and has paid all taxes and assessments received by it to the extent that
such taxes or assessments have become due, except where the Company or a Subsidiary are contesting such matters in good faith and have established appropriate reserves therefore in accordance with generally accepted accounting principles or where
the failure to do so would not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect. Neither the Company nor any Subsidiary has any tax deficiency that has been or, to the knowledge of the Company, might be
asserted or threatened against it that would reasonably be expected to have a Material Adverse Effect. 
 (z)
Permits and Licenses. Except as disclosed in the General Disclosure Package or the Prospectus, the Company and each Subsidiary owns or possesses all authorizations, approvals, orders, licenses, registrations, other certificates
and permits of and from all governmental regulatory officials and bodies, necessary to conduct its businesses as contemplated in the General Disclosure Package and the Prospectus, except where the failure to own or possess all such authorizations,
approvals, orders, licenses, registrations, other certificates and permits would not reasonably be expected to have a Material Adverse Effect. There is no proceeding pending or threatened (or any basis therefor known to the Company) that may cause
any such authorization, approval, order, license, registration, certificate or permit to be revoked, withdrawn, cancelled, suspended or not renewed; and the Company and each Subsidiary is conducting its business in compliance with all laws, rules
and regulations applicable thereto, except where such noncompliance would not reasonably be expected to have a Material Adverse Effect. 
 (aa) FCPA Compliance. Neither the Company nor any Subsidiary has nor have, to the Company’s knowledge, any of its or any Subsidiary’s employees or agents, at any time
during the last five years, (i) made any unlawful contribution to any candidate for foreign office, or failed to disclose fully any contribution in violation of law, or (ii) made any payment to any federal or state governmental officer or
official, or other person charged with similar public or quasi-public duties, other than payments required or permitted by the laws of the United States or any jurisdiction thereof. 
 (bb) Internal Controls and Compliance With Sarbanes-Oxley Act. The Company is in compliance in all
material respects with the provisions of the Sarbanes-Oxley Act of 2002 (“Sarbanes-Oxley”) which are applicable to it. The Company maintains a system of internal control over financial reporting (as defined in Rules 13a-15(f) and
15d-15(f) under the Exchange Act) sufficient to provide reasonable assurances (1) that records are maintained that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company;
(2) that transactions are recorded as necessary to permit preparation of financial statements in accordance with U.S. generally accepted accounting principles, and that receipts and expenditures of the Company are being made only in accordance
with authorizations of management and directors of the Company; and (3) regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the Company’s assets that could have a material effect on the financial
statements. The Company has established and maintains disclosure controls and procedures (as defined in Rule 13a-15(e) and 15d-15(e) under the Exchange Act). Such disclosure controls and procedures are reasonably designed to ensure that information
required to be disclosed by the Company in the reports that it files or submits under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the Commission’s rules and forms and that such
information is accumulated and communicated to the Company’s principal executive officer and its principal financial officer. Such disclosure controls and procedures are sufficient to provide reasonable assurance that the Company’s

  

 10 

 
principal executive officer and principal financial officer are alerted to material information required to be included in the Company’s periodic reports required under the Exchange Act so
as to allow timely decisions regarding required disclosure. For purposes of the preceding sentence, “principal executive officer” and “principal financial officer” shall have the meanings given to such terms in Sarbanes-Oxley.

 (cc) ERISA Compliance. Except as disclosed in the General Disclosure
Package or the Prospectus, the Company and each Subsidiary has fulfilled in all material respects its obligations, if any, under the minimum funding standards of Section 302 of the United States Employee Retirement Income Security Act of 1974
(“ERISA”) and the regulations and published interpretations thereunder with respect to each “plan” (as defined in Section 3(3) of ERISA and such regulations and published interpretations) in which employees of the
Company or any Subsidiary are eligible to participate and each such plan is in compliance in all material respects with the presently applicable provisions of ERISA and such regulations and published interpretations. No “prohibited
transaction” (as defined in Section 406 of ERISA, or Section 4975 of the Internal Revenue Code of 1986, as amended from time to time) has occurred with respect to any employee benefit plan which would reasonably be expected to result
in a Material Adverse Effect. 
 (dd) Labor Issues. No labor problem or dispute with
the employees of the Company or any Subsidiary exists or, to the Company’s knowledge, is threatened or imminent, which would reasonably be expected to result in a Material Adverse Effect. Except as disclosed in the General Disclosure Package or
the Prospectus, the Company is not aware that any key employee or significant group of employees of the Company or any Subsidiary plans to terminate employment with the Company or the Subsidiary. 
 (ee) Statistical and Market-Related Data. Any third-party statistical and market-related data included
or incorporated by reference in the Registration Statement, the Prospectus or the General Disclosure Package are based on or derived from sources that the Company believes to be reliable and accurate. 
 (ff) Forward-Looking Statements. No forward-looking statement (within the meaning of
Section 27A of the Act and Section 21E of the Exchange Act) contained in the Registration Statement, the Prospectus and the General Disclosure Package has been made or reaffirmed without a reasonable basis or has been disclosed other than
in good faith. 
 (gg) Environmental Laws. Except as disclosed in the General Disclosure
Package or the Prospectus, the Company and each Subsidiary (i) is in compliance with any and all applicable federal, state, local and foreign laws, rules, regulations, decisions and orders relating to the protection of human health and safety,
the environment or hazardous or toxic substances or wastes, pollutants or contaminants (collectively, “Environmental Laws”); (ii) has received and is in compliance with all permits, licenses or other approvals required of them
under applicable Environmental Laws to conduct its business; and (iii) has not received notice of any actual or potential liability for the investigation or remediation of any disposal or release of hazardous or toxic substances or wastes,
pollutants or contaminants, except in the case of subsections (i), (ii) and (iii) of this subsection (gg) as would not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect. 
 (hh) Regulatory Authorizations. Except as disclosed in the General Disclosure Package or the Prospectus,
the Company and each Subsidiary possesses all certificates, authorizations and permits issued by the appropriate federal, state or foreign regulatory authorities necessary to conduct its business (including without limitation, applications for

  

 11 

 
marketing approval, manufacture, distribution, promotion, testing, use, or sale of any product candidates) as disclosed in the General Disclosure Package and the Prospectus, except where the
failure to possess such certificates, authorizations and permits would not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect; and the Company has not received and is otherwise not aware of any notices,
correspondence or other communications from any regulatory agency or subdivision thereof, relating to the revocation or modification of, non-compliance with, or failure to obtain, any such certificate, authorization or permit which, if the subject
of an unfavorable decision, ruling or finding, would, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect. 
 (ii) Conduct of Clinical Trials. All preclinical and clinical studies conducted by or on behalf of the Company or any Subsidiary that are material to the Company and its Subsidiaries,
taken as a whole, are described in the General Disclosure Package or the Prospectus. To the Company’s knowledge, after reasonable inquiry, the clinical and preclinical studies conducted by or on behalf of the Company and any Subsidiary that are
described in the General Disclosure Package or the Prospectus or the results of which are referred to in the General Disclosure Package or the Prospectus were and, if still ongoing, are being conducted in material compliance with all laws and
regulations applicable thereto in the jurisdictions in which they are being conducted and with all laws and regulations applicable to preclinical and clinical studies from which data will be submitted to support marketing approval. The descriptions
in the General Disclosure Package and the Prospectus of the results of such studies are accurate and complete in all material respects and fairly present the data derived from such studies, and the Company has no knowledge of any large
well-controlled clinical study the aggregate results of which are inconsistent with or otherwise call into question the results of any clinical study conducted by or on behalf of the Company or any Subsidiary that are described in the General
Disclosure Package or the Prospectus or the results of which are referred to in the General Disclosure Package or the Prospectus. Except as disclosed in the General Disclosure Package or the Prospectus, the Company has not received any written
notices or statements from the United States Food and Drug Administration (the “FDA”), the European Medicines Agency (“EMEA”) or any other governmental agency or authority imposing, requiring, requesting or
suggesting a clinical hold, termination, suspension or material modification for or of any clinical or preclinical studies that are described in the General Disclosure Package or the Prospectus or the results of which are referred to in the General
Disclosure Package or the Prospectus. 
 (jj) Absence of Certain Developments. Except as disclosed
in the General Disclosure Package or the Prospectus, the Company has not received any written notices or statements from the FDA, the EMEA or any other governmental agency, and otherwise has no knowledge or reason to believe, that (i) any new
drug application or marketing authorization application for any product or potential product of the Company or any Subsidiary is or has been rejected or determined to be non-approvable or conditionally approvable; (ii) a delay in time for
review and/or approval of a marketing authorization application or marketing approval application in any other jurisdiction for any product or potential product of the Company or any Subsidiary is or may be required, requested or being implemented;
(iii) one or more clinical studies for any product or potential product of the Company or any Subsidiary shall or may be requested or required in addition to the clinical studies described in the General Disclosure Package and the Prospectus as
a precondition to or condition of issuance or maintenance of a marketing approval for such product or potential product; (iv) any license, approval, permit or authorization to conduct any clinical trial of or market any product or potential
product of the Company or any Subsidiary has been, will be or may be suspended, revoked, modified or limited, except in the cases of clauses (i), (ii), (iii) and (iv) where such rejections, determinations, delays, requests, suspensions,
revocations, modifications or limitations would not reasonably be expected to have, individually or in the aggregate, a Material Adverse Effect. 
  

 12 

 (kk) Compliance with Certain Laws, Rules, Procedures, Etc.
Except as disclosed in the General Disclosure Package or the Prospectus, to the Company’s knowledge, the preclinical and clinical testing, application for marketing approval of, manufacture, distribution, promotion and sale of the products and
potential products of the Company or any Subsidiary is in compliance, in all material respects, with all laws, rules and regulations applicable to such activities, including without limitation applicable good laboratory practices, good clinical
practices and good manufacturing practices, except for such non-compliance as would not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect. The descriptions of the results of such tests and trials contained
in the General Disclosure Package and the Prospectus are accurate in all material respects. Except to the extent disclosed in the General Disclosure Package or the Prospectus, the Company has not received notice of adverse finding, warning letter or
clinical hold notice from the FDA or any non-U.S. counterpart of any of the foregoing, or any untitled letter or other correspondence or notice from the FDA or any other governmental authority or agency or any institutional or ethical review board
alleging or asserting noncompliance with any law, rule or regulation applicable in any jurisdiction, except notices, letters, and correspondences and non-U.S. counterparts thereof alleging or asserting such noncompliance as would not, individually
or in the aggregate, reasonably be expected to have a Material Adverse Effect. Except as disclosed in the General Disclosure Package or the Prospectus, neither the Company nor any Subsidiary has, either voluntarily or involuntarily, initiated,
conducted or issued, or caused to be initiated, conducted or issued, any recall, field correction, market withdrawal or replacement, safety alert, warning, “dear doctor” letter, investigator notice, or other notice or action relating to an
alleged or potential lack of safety or efficacy of any product or potential product of the Company or any Subsidiary, any alleged product defect of any product or potential product of the Company or any Subsidiary, or any violation of any material
applicable law, rule, regulation or any clinical trial or marketing license, approval, permit or authorization for any product or potential product of the Company or any Subsidiary, and the Company is not aware of any facts or information that would
cause it to initiate any such notice or action and has no knowledge or reason to believe that the FDA, the EMEA or any other governmental agency or authority or any institutional or ethical review board or other non-governmental authority intends to
impose, require, request or suggest such notice or action. The pre-clinical or clinical studies, tests, investigations, and trials conducted by or on behalf of the Company or any Subsidiary that are described in the General Disclosure Package or the
Prospectus were and, if still in progress, are being, conducted in compliance with all applicable U.S. and foreign statutes, rules, regulations, orders, or other laws, and, for any data to be submitted to the FDA pursuant to such studies, all
applicable Good Laboratory Practices and Good Clinical Practices in all material respects. The descriptions of the pre-clinical or clinical studies, tests, investigations, and trials, including the related results and regulatory status thereof,
contained in the General Disclosure Package or the Prospectus are accurate in all material respects. The Company has not received and is otherwise not aware of any notices, correspondence or other communication from the FDA or other governmental
regulatory agency or subdivision thereof, or any institutional or ethical review boards, asserting non-compliance with any applicable statutes, rules, regulations, orders, or other laws, or requiring or requesting the termination, suspension or
modification of any preclinical or clinical studies, tests, investigations, or trials conducted by, or on behalf of, the Company or any Subsidiary or in which the Company or any Subsidiary has participated. 
 (ll) Money Laundering Laws. The operations of the Company and each Subsidiary are and have been conducted at
all times in compliance in all material respects with applicable financial recordkeeping and reporting requirements of the Currency and Foreign Transactions Reporting Act of 1970, as amended, the money laundering statutes of all applicable
jurisdictions, the rules and regulations thereunder and any related or similar rules, regulations or guidelines issued, administered or enforced by any governmental agency (collectively, the “Money 

  

 13 

 
Laundering Laws”) and no action, suit or proceeding by or before any court or governmental agency, authority or body or any arbitrator involving the Company or any Subsidiary with
respect to the Money Laundering Laws is pending or, to the best knowledge of the Company, threatened. 
 (mm)
Foreign Assets. Neither the Company nor any Subsidiary nor, to the knowledge of the Company, any director, officer, agent, employee or affiliate of the Company or any Subsidiary is currently subject to any U.S. sanctions administered
by the Office of Foreign Assets Control of the U.S. Treasury Department (“OFAC”); and the Company will not directly or indirectly use the proceeds of the offering, or lend, contribute or otherwise make available such proceeds, to
any Subsidiary, joint venture partner or other person or entity, for the purpose of financing the activities of any person currently subject to any U.S. sanctions administered by OFAC. 
 7. Certain Agreements of the Company. The Company agrees with Wedbush as follows: 
 (a) Copies of Registration Statement and Prospectuses. To furnish to Wedbush copies of the Registration
Statement (excluding exhibits) and copies of the Prospectus (or the Prospectus as amended or supplemented) in such quantities as Wedbush may from time to time reasonably request. In case Wedbush is required to deliver, under the Act (whether
physically or through compliance with Rule 172 under the Act or any similar rule), a prospectus relating to the Shares after the nine-month period referred to in Section 10(a)(3) of the Act, or after the time a post-effective amendment to the
Registration Statement is required pursuant to Item 512(a) of Regulation S-K under the Act, upon the request of Wedbush, and at its own expense, the Company shall prepare and deliver to Wedbush as many copies as Wedbush may request of an
amended Registration Statement or amended or supplemented prospectus complying with Item 512(a) of Regulation S-K or Section 10(a)(3) of the Act, as the case may be. 
 (b) No Amendments, Supplements, Free Writing Prospectuses Without Consent. Before amending or
supplementing the Registration Statement or the Prospectus, to furnish to Wedbush a copy of each such proposed amendment or supplement and not to file any such proposed amendment or supplement to which Wedbush reasonably objects (other than any
prospectus supplement relating to the offering of securities other than the Common Stock). To furnish to Wedbush a copy of each proposed free writing prospectus to be prepared by or on behalf of, used by, or referred to by the Company and not to use
or refer to any proposed free writing prospectus to which Wedbush reasonably objects. Not to take any action that would result in Wedbush or the Company being required to file with the Commission pursuant to Rule 433(d) under the Act a free writing
prospectus prepared by or on behalf of Wedbush that Wedbush otherwise would not have been required to file thereunder. 
 (c) Continued Reporting; Interim Prospectus Supplement. To file, subject to Section 7(b) above, promptly all reports and any definitive proxy or information statements required to be filed by the Company with the
Commission pursuant to Section 13(a), 13(c), 14 or 15(d) of the Exchange Act subsequent to the date of the Prospectus Supplement and for the duration of the Delivery Period. For the duration of the Delivery Period, to include in its quarterly
reports on Form 10-Q, and in its annual reports on Form 10-K, a summary detailing, for the relevant reporting period, (i) the number of Shares sold through Wedbush pursuant to this Agreement, (ii) the net proceeds received by the Company
from such sales and (iii) the compensation paid by the Company to Wedbush with respect to such sales (or alternatively, prepare a prospectus supplement (each, an “Interim Prospectus Supplement”) with such summary information
and, at least once a quarter and subject to Section 7(b) above, file such Interim Prospectus Supplement pursuant to Rule 424(b) under the Act (and within the time periods required by Rule 424(b) and Rules 430A, 430B or 430C under the Act)).

  

 14 

 (d) Disclosure of Sales. To file any Permitted Free Writing
Prospectus to the extent required by Rule 433 under the Act; to provide copies of the Prospectus and such Prospectus Supplement and each Permitted Free Writing Prospectus (to the extent not previously delivered or filed on the Commission’s
Electronic Data Gathering, Analysis and Retrieval system or any successor system thereto (collectively, “EDGAR”)) to Wedbush via e-mail in “.pdf” format on such filing date to an e-mail account designated by Wedbush; and,
at Wedbush’s request, to also furnish copies of the Prospectus and such Prospectus Supplement to the Exchange and each other exchange or market on which sales were effected, in each case, as may be required by the rules or regulations of the
Exchange or such other exchange or market. 
 (e) Notice of Stop Orders, Etc. During the Delivery
Period to advise Wedbush, promptly after it receives notice thereof, of the issuance of any stop order by the Commission suspending the effectiveness of the Registration Statement, of the suspension of the qualification of the Shares for offering or
sale in any jurisdiction, of the initiation or threatening of any proceeding for any such purpose, or of any request by the Commission for the amending or supplementing of the Registration Statement, the Prospectus Supplement, the Prospectus or any
Permitted Free Writing Prospectus or for additional information; and, in the event of the issuance of any such stop order or of any order preventing or suspending the use of any prospectus relating to the Shares or suspending any such qualification,
to use promptly its commercially reasonable efforts to obtain its withdrawal. 
 (f) Prompt Amendment or
Supplement. If, after the date hereof and during the Delivery Period, either (i) any event shall occur or condition exist as a result of which the Prospectus would include any untrue statement of a material fact or omit to state any
material fact necessary in order to make the statements therein, in the light of the circumstances under which they were made, not misleading, or (ii) for any other reason it shall be necessary during such same period to amend or supplement the
Prospectus or to file any document in order to comply with the Act or the Exchange Act, to promptly advise Wedbush by telephone (with confirmation in writing or electronic mail) and to promptly prepare and file, subject to Section 7(b) above,
with the Commission an amendment or supplement to the Registration Statement or the Prospectus which will correct such statement or omission or effect such compliance and to furnish to Wedbush as many copies as Wedbush may reasonably request of such
amendment or supplement. 
 (g) Blue Sky Compliance. To endeavor to qualify the Shares for offer
and sale under the securities or Blue Sky laws of such U.S. jurisdictions as Wedbush shall reasonably request and to continue such qualifications in effect so long as necessary under such laws for the distribution of the Shares; provided, however,
that the Company shall not be required to qualify to do business in any U.S. jurisdiction where it is not now qualified or to take any action which would subject it to general or unlimited service of process in any U.S. jurisdiction where it is not
now subject. 
 (h) Earnings Statement. As soon as practicable, but not later than 16 months,
after the date of this Agreement, the Company will make generally available to its securityholders an earnings statement covering a period of at least 12 months beginning after the date of this Agreement and satisfying the provisions of
Section 11(a) of the Act and Rule 158. 
 (i) Payment of Expenses. The Company,
whether or not the transactions contemplated hereunder are consummated or this Agreement is terminated, will pay or cause to be paid all fees and expenses incident to the performance of its obligations under this Agreement, including but not limited
to (i) any filing fees and other expenses (including reasonable fees and disbursements of counsel to Wedbush) incurred in connection with qualification of the Shares for sale under the laws of such jurisdictions as Wedbush may designate and the
preparation and

  

 15 

 
printing of memoranda relating thereto, (ii) any costs and expenses related to the review by the Financial Industry Regulatory Authority (“FINRA”) of the terms of the sale
of the Shares (including filing fees and the reasonable fees and disbursements of counsel for Wedbush relating to such review), (iii) any travel expenses of the Company’s officers and employees and any other expenses of the Company in
connection with attending or hosting meetings with prospective purchasers of the Shares, (iv) fees and expenses incident to listing the Shares on the NASDAQ Global Market and other national and foreign exchanges, (v) fees and expenses in
connection with the registration of the Shares under the Exchange Act, (vi) fees and expenses incurred in distributing the General Disclosure Package, the Prospectus (including any amendments and supplements thereto), any Interim Prospectus
Supplement or any Permitted Free Writing Prospectuses and for expenses incurred for preparing, printing and distributing the General Disclosure Package, the Prospectus (including any amendments and supplements thereto), any Interim Prospectus
Supplement or any Permitted Free Writing Prospectuses to investors or prospective investors and (vii) all other costs and expenses incurred by the Company incident to the performance of the obligations of the Company hereunder for which
provision is not otherwise made in this Section. In addition, the Company, whether or not the transactions contemplated hereunder are consummated or this Agreement is terminated, shall upon demand from time to time reimburse Wedbush for its
reasonable out-of-pocket expenses as provided in, and subject to the limitations contained in, Section 4(b) hereof. 
 (j) Shelf Registration Statement. The date of this Agreement is not more than three years subsequent to the initial effective date of the Registration Statement. If, immediately prior to the
third anniversary of the initial effective date of the Registration Statement, any of the Shares remain unsold, the Company will, at its option, prior to that third anniversary file, if it has not already done so, a new shelf registration statement
relating to the Shares, in a form satisfactory to Wedbush, and use its commercially reasonable efforts to cause such new registration statement to be declared effective within 180 days after that third anniversary so as to enable the continued
public offering and sale of the Shares after such third anniversary, and otherwise will take all other action necessary or appropriate to permit the public offering and sale of the Shares to continue as contemplated hereby. References herein to the
Registration Statement shall include any new shelf registration statement relating to the offering of the Shares. 
 (k) Maintenance of Exchange Listing. To use its commercially reasonable efforts to cause the Shares to be listed for trading on the Exchange and to maintain such listing. 
 (l) Officer’s Certificate. Upon commencement of the offering of the Shares under this Agreement (and upon
the recommencement of the offering of the Shares under this Agreement following the termination of a suspension of sales hereunder), and each time that (i) the Registration Statement or the Prospectus shall be amended or supplemented (other
than a prospectus supplement relating solely to the offering of securities other than the Shares), (ii) there is filed with the Commission any document incorporated by reference into the Prospectus (other than a Current Report on Form 8-K,
unless Wedbush shall otherwise reasonably request), or (iii) the Shares are delivered to Wedbush as principal on a Settlement Date (such commencement date and each such date referred to in (i), (ii) and (iii) above, a
“Representation Date”), to furnish or cause to be furnished to Wedbush forthwith a certificate dated and delivered the date of effectiveness of such amendment, the date of filing with the Commission of such supplement or other
document, or the relevant Settlement Date, as the case may be, in form reasonably satisfactory to Wedbush to the effect that the statements contained in the certificate referred to in Section 9(d) of this Agreement are true and correct at the
time of such amendment, supplement, filing, or delivery, as the case may be, as though made at and as of such time modified as necessary to relate to the Registration Statement and the Prospectus as amended and supplemented to the time of delivery
of such certificate. 
  

 16 

 (m) Opinions of Counsel. Upon commencement of the offering of
the Shares under this Agreement (and upon the recommencement of the offering of the Shares under this Agreement following the termination of a suspension of sales hereunder) and at each other date specified in Section 9(e), the Company shall
cause to be furnished to Wedbush, dated as of such date, in form and substance reasonably satisfactory to Wedbush, the written opinions of (i) Cooley Godward Kronish LLP, the Company’s counsel, or other counsel to the Company reasonably
acceptable to Wedbush, and (ii) the opinion of general counsel for the Company, each as described in Section 9(e), each modified as necessary to relate to the Registration Statement and the Prospectus as amended and supplemented to the
time of delivery of such opinions. Upon commencement of the offering of the Shares under this Agreement and upon any Representation Date resulting from the filing of the Company’s Annual Report on Form 10-K, the Company shall cause to be
furnished to Wedbush, dated as of such date, in form and substance reasonably satisfactory to Wedbush, the written negative assurance letter of Cooley Godward Kronish LLP, the Company’s counsel, or other counsel to the Company reasonably
acceptable to Wedbush, as described in Section 9(e), modified as necessary to relate to the Registration Statement and the Prospectus as amended and supplemented to the time of delivery of such opinion. 
 (n) Reliance Letters. With respect to Section 7(m) above, in lieu of delivering such opinions or letters
for Representation Dates subsequent to the commencement of the offering of the Shares under this Agreement such counsel may furnish Wedbush with a letter (a “Reliance Letter”) to the effect that Wedbush may rely on a prior opinion
or letter delivered under Section 7(m) to the same extent as if it were dated the date of such letter (except that statements in such prior opinion or letter shall be deemed to relate to the Registration Statement and the Prospectus as amended
or supplemented as of such Representation Date). 
 (o) Comfort Letters. At each date specified in
Section 9(f), KPMG and, if required, E&Y shall deliver to Wedbush the comfort letters described in Section 9(f). 
 (p) Due Diligence Requests. To comply with any due diligence review or call and any other due diligence requests reasonably requested by Wedbush. 
 (q) Share Reservation. To reserve and keep available at all times, free of preemptive rights, Shares for the
purpose of enabling the Company to satisfy its obligations hereunder. 
 (r) Trading. That, subject
to compliance with any applicable requirements of Regulation M under the Exchange Act, it consents to Wedbush trading in the Common Stock for Wedbush’s own account and for the accounts of its clients at the same time as sales of the Shares
occur pursuant to this Agreement. 
 (s) Affirmation of Representations and Warranties. That each
acceptance by the Company of an offer to purchase the Shares hereunder shall be deemed to be an affirmation to Wedbush that the representations and warranties of the Company contained in or made pursuant to this Agreement are true and correct as of
the date of such acceptance as though made at and as of such date, and an undertaking that such representations and warranties will be true and correct as of the Settlement Date for the Shares relating to such acceptance as though made at and as of
such date (except that such representations and warranties shall be deemed to relate to the Registration Statement and the Prospectus as amended and supplemented relating to such Shares). 
 (t) No Sales of Common Stock. Not to sell, offer to sell, contract or agree to sell, hypothecate, pledge, grant
any option to sell or otherwise dispose of or agree to dispose of, directly or indirectly, any shares of the Common Stock or securities convertible into or

  

 17 

 
exchangeable or exercisable for the Common Stock or warrants or other rights to purchase the Common Stock or any other securities of the Company that are substantially similar to the Common Stock
or permit the registration under the Act of any shares of the Common Stock, except for (i) the registration of the Shares and the sales through Wedbush pursuant to this Agreement, (ii) any shares of Common Stock issued by the Company upon
the exercise of an option or warrant or the conversion of a security outstanding on the date hereof and referred to in the Prospectus, (iii) any shares of Common Stock issued or options to purchase Common Stock granted pursuant to existing
employee benefit plans of the Company or (iv) any shares of Common Stock issued pursuant to any non-employee director stock plan, dividend reinvestment plan or stock purchase plan of the Company, during the Delivery Period, without
(A) giving Wedbush at least three business days’ prior written notice specifying the nature of the proposed sale and the date of such proposed sale and (B) Wedbush suspending activity under this program for such period of time as
requested by the Company. 
 (u) Reporting Requirements. During the period of three years
after the date of this Agreement, the Company will furnish to Wedbush as soon as practicable after the end of each fiscal year, a copy of its annual report to stockholders for such year; and the Company will furnish to Wedbush (i) as soon as
available, a copy of each report and any definitive proxy statement of the Company filed with the Commission under the Exchange Act or mailed to stockholders, and (ii) from time to time, such other information concerning the Company as Wedbush
may reasonably request in writing. However, so long as the Company is subject to the reporting requirements of either Section 13 or Section 15(d) of the Exchange Act and is timely filing reports with the Commission on EDGAR, it is not
required to furnish such filed reports or statements to Wedbush required pursuant to subsection (i) above. 
 (v) Use of Proceeds. The Company will use the net proceeds received in connection with any offering of the Shares in the manner described in the “Use of Proceeds” section of the General Disclosure Package and
the Prospectus. 
 8. Covenants of Wedbush. Wedbush covenants with the Company not to take any action that would
result in the Company being required to file with the Commission under Rule 433(d) a free writing prospectus prepared by or on behalf of Wedbush that otherwise would not be required to be filed by the Company thereunder, but for the action of
Wedbush. 
 9. Conditions of the Obligations of Wedbush. The obligations of Wedbush are subject to the
following conditions: 
 (a) Filings; No Stop Orders; Etc. If filing of the Prospectus, or any
amendment or supplement thereto, or any Permitted Free Writing Prospectus, is required under the Act or the rules and regulations thereunder, the Company shall have filed the Prospectus (or such amendment or supplement) or such Permitted Free
Writing Prospectus with the Commission in the manner and within the time period so required (without reliance on Rule 424(b)(8) or Rule 164(b)); the Registration Statement shall remain effective; no stop order suspending the effectiveness of the
Registration Statement or any part thereof, or any amendment thereof, nor suspending or preventing the use of any portion of the General Disclosure Package or the Prospectus shall have been issued; no proceedings for the issuance of such an order
shall have been initiated or threatened; and any request of the Commission for additional information (to be included in the Registration Statement, the Prospectus or the General Disclosure Package or otherwise) shall have been complied with to
Wedbush’s reasonable satisfaction. 
 (b) No Material Misstatements or Omissions. Wedbush
shall not have reasonably determined, and advised the Company, that the Registration Statement, the General Disclosure

  

 18 

 
Package, the Prospectus, or any amendment thereof or supplement thereto, or any Permitted Free Writing Prospectus, contains an untrue statement of fact which, in Wedbush’s reasonable
opinion, is material, or omits to state a fact which, in Wedbush’s reasonable opinion, is material and is required to be stated therein or necessary to make the statements therein not misleading. 
 (c) No Material Adverse Changes. Subsequent to the execution and delivery of this Agreement, there shall not
have occurred (i) any change, or any development or event involving a prospective change, in the condition (financial or otherwise), results of operations, business, properties or prospects of the Company and its Subsidiaries taken as a whole
which, in the reasonable judgment of Wedbush, is material and adverse and makes it impractical or inadvisable to market the Shares; (ii) any downgrading in the rating of any debt securities of the Company by any “nationally recognized
statistical rating organization” (as defined for purposes of Rule 436(g)), or any public announcement that any such organization has under surveillance or review its rating of any debt securities of the Company (other than an announcement with
positive implications of a possible upgrading, and no implication of a possible downgrading, of such rating) or any announcement that the Company has been placed on negative outlook; (iii) any change in U.S. or international financial,
political or economic conditions or currency exchange rates or exchange controls, the effect of which is such as to make it, in the reasonable judgment of Wedbush, impractical to market or to enforce contracts for the sale of the Shares, whether in
the primary market or in respect of dealings in the secondary market; (iv) any suspension or material limitation of trading in securities generally on the New York Stock Exchange, or any setting of minimum or maximum prices for trading on such
exchange; (v) any suspension of trading of any securities of the Company on the Exchange, any other exchange or in the over-the-counter market; (vi) any banking moratorium declared by any U.S. federal or New York authorities;
(vii) any major disruption of settlements of securities, payment, or clearance services in the United States or any other country where such securities are listed or (viii) any attack on, outbreak or escalation of hostilities or act of
terrorism involving the United States, any declaration of war by Congress or any other national or international calamity or emergency if, in the reasonable judgment of Wedbush, the effect of any such attack, outbreak, escalation, act, declaration,
calamity or emergency is such as to make it impractical or inadvisable to market the Shares or to enforce contracts for the sale of the Shares. 
 (d) Officer’s Certificate. Wedbush shall have received on each Representation Date, and on such other dates as may be reasonably requested by Wedbush, a certificate, dated such
Representation Date and signed by an executive officer of the Company, to the effect set forth in Section 9(c)(ii) above and to the effect that (i) the representations and warranties of the Company contained in this Agreement are true and
correct as of such Representation Date; (ii) the Company has complied with all of the agreements and satisfied all of the conditions on its part to be performed or satisfied hereunder on or before such Representation Date; (iii) no stop
order suspending the effectiveness of the Registration Statement has been issued and no proceeding for that purpose has been initiated or, to the knowledge of the Company, threatened by the Commission; (iv) the Prospectus Supplement, any
Interim Prospectus Supplement and each Permitted Free Writing Prospectus have been timely filed with the Commission under the Act (in the case of a Permitted Free Writing Prospectus, to the extent required by Rule 433 under the Act), and all
requests for additional information on the part of the Commission have been complied with or otherwise satisfied; (v) if delivered on a Representation Date that is not also a Settlement Date, as of such Representation Date, or if delivered on a
Settlement Date, at the Time of Sale applicable relating to the Shares, the Registration Statement did not contain any untrue statement of a material fact or omit to state any material fact required to be stated therein or necessary to make the
statements therein not misleading; (vi) if delivered on a Representation Date that is not also a Settlement Date, as of such Representation Date, or if delivered on a Settlement Date, at the Time of Sale relating to the applicable Shares and at
the Settlement Date,

  

 19 

 
the General Disclosure Package did not contain any untrue statement of a material fact or omit to state any material fact required to be stated therein or necessary to make the statements
therein, in the light of the circumstances under which they were made, not misleading; provided, however, that no such certificate shall apply to any statements or omissions made in reliance upon and in conformity with information furnished in
writing to the Company by Wedbush expressly for use in the General Disclosure Package; and (vii) the Shares to be sold on that date, if any, have been duly and validly authorized by the Company and that all corporate action required to be taken
for the authorization, issuance and sale of the Shares on that date, if any, has been validly and sufficiently taken. 
 (e) Opinions of Counsel. Wedbush shall have received upon commencement of the offering of the Shares under this Agreement (and upon the recommencement of the offering of the Shares under this Agreement following the
termination of a suspension of sales hereunder), on each Representation Date, and on such other dates as may be reasonably requested by Wedbush, (i) the written opinion of Cooley Godward Kronish LLP, the Company’s counsel, or other counsel
to the Company reasonably acceptable to Wedbush, in form and substance reasonably satisfactory to Wedbush; and (ii) the written opinion of the general counsel for the Company in form and substance reasonably satisfactory to Wedbush. Wedbush
shall have received upon commencement of the offering of the Shares under this Agreement and upon any Representation Date resulting from the filing of the Company’s Annual Report on Form 10-K, (i) the written negative assurance letter of
Cooley Godward Kronish LLP, the Company’s counsel, or other counsel to the Company reasonably acceptable to Wedbush, and (ii) the written negative assurance letter of Lowenstein Sandler, PC, counsel to Wedbush, each in form and substance
reasonably acceptable to Wedbush. 
 (f) Accountants’ Comfort Letters. Wedbush shall have
received, upon commencement of the offering of the Shares under this Agreement (and upon the recommencement of the offering of the Shares under this Agreement following the termination of a suspension of sales hereunder) and each time that
(i) the Registration Statement or the Prospectus shall be amended or supplemented to include additional financial information, (ii) any Shares are delivered to Wedbush as principal on a Settlement Date, (iii) the Company shall file an
annual report on Form 10-K or quarterly report on Form 10-Q, (iv) there is filed with the Commission any document (other than an annual report on Form 10-K or quarterly report on Form 10-Q) incorporated by reference into the Prospectus which
contains additional amended financial information or (v) on such other dates as may be reasonably requested by Wedbush, from the Accountants, (A) letters, dated such date in form and substance reasonably satisfactory to Wedbush (the first
such letters, the “Initial Comfort Letters”) and (B) letters (“Bringdown Comfort Letters”) updating the Initial Comfort Letters with any information that would have been included in the Initial Comfort Letters
had they been given on such date and modified as necessary to relate to the Registration Statement, the Prospectus Supplement, the Prospectus or any issuer free writing prospectus, as amended and supplemented to the date of such letters; provided,
however, that from and after the time that pre-Merger financial statements or other financial information relating to the Company and its consolidated subsidiaries are no longer included in or deemed to be incorporated by reference into the
Registration Statement, the Prospectus or the General Disclosure Package as a result of the filing with the Commission of (i) any amendment to the Registration Statement, (ii) any amendment or supplement the Prospectus, or (iii) any
subsequent reports under the Exchange Act, E&Y shall no longer be required to provide a Bringdown Comfort Letter. 
 (g) Listing of Shares. The Shares shall have been duly authorized for listing on the Exchange upon official notice of issuance at or prior to the Settlement Date. 
  

 20 

 (h) FINRA Matters. Unless exemption is available pursuant to
FINRA Rule 5110(b)(7)(c)(i), FINRA shall have confirmed that it has not raised any objection with respect to the fairness and reasonableness of the placement agency terms and arrangements. 
 (i) Additional Certificates. The Company shall have furnished to Wedbush such certificates, in addition to
those specifically mentioned herein, as Wedbush may have reasonably requested as to the accuracy and completeness of any statement in the Registration Statement, the Prospectus or the General Disclosure Package, as to the accuracy of the
representations and warranties of the Company herein, as to the performance by the Company of its obligations hereunder, or as to the fulfillment of the conditions concurrent and precedent to Wedbush’s obligations hereunder. 
 (j) Copies. The Company will furnish Wedbush with such conformed copies of such opinions, certificates, letters
and documents as Wedbush may reasonably request. Wedbush may in its sole discretion waive compliance with any conditions to its obligations hereunder. 
 10. Indemnification and Contribution. 
 (a)
Indemnification of Wedbush. The Company will indemnify and hold harmless Wedbush, its partners, members, directors, officers, employees, agents, affiliates and each person, if any, who controls Wedbush within the meaning of
Section 15 of the Act or Section 20 of the Exchange Act (each, an “Indemnified Party”), against any and all losses, claims, damages or liabilities, joint or several, to which such Indemnified Party may become subject,
under the Act, the Exchange Act, other Federal or state statutory law or regulation or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or alleged
untrue statement of any material fact contained in any part of the Registration Statement or any amendment thereof, the General Disclosure Package, any issuer free writing prospectus as defined in Rule 433(h) under the Act, any Company information
that the Company has filed, or is required to file, pursuant to Rule 433(d) under the Act, or the Prospectus or any amendment or supplement thereto, or arise out of or are based upon the omission or alleged omission of a material fact required to be
stated therein or necessary to make the statements therein not misleading, and will reimburse each Indemnified Party for any legal or other expenses reasonably incurred by such Indemnified Party in connection with investigating or defending against
any such loss, claim, damage, liability, action, litigation, investigation or proceeding whatsoever (whether or not such Indemnified Party is a party thereto), whether threatened or commenced, and in connection with the enforcement of this provision
with respect to any of the above as such expenses are incurred; provided, however, that the Company will not be liable in any such case to the extent that any such loss, claim, damage or liability arises out of or is based upon an untrue
statement or alleged untrue statement in or omission or alleged omission from any of such documents in reliance upon and in conformity with written information furnished to the Company by Wedbush specifically for use therein, it being understood and
agreed that the only such information furnished by Wedbush consists of the information described as such in subsection (b) below. 
 (b) Indemnification of Company. Wedbush will indemnify and hold harmless the Company, each of its directors and each of its officers who signs the Registration Statement and each
person, if any, who controls the Company within the meaning of Section 15 of the Act or Section 20 of the Exchange Act (each, an “Agent Indemnified Party”), against any losses, claims, damages or liabilities to which such
Agent Indemnified Party may become subject, under the Act, the Exchange Act, other Federal or state statutory law or regulation or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are
based upon any untrue statement or alleged untrue statement of any material fact contained in any part of the

  

 21 

 
Registration Statement or any amendment thereof, the General Disclosure Package, any issuer free writing prospectus, any Company information that the Company has filed, or is required to file,
pursuant to Rule 433(d) under the Act, or the Prospectus or any amendment or supplement thereto, or arise out of or are based upon the omission or the alleged omission of a material fact required to be stated therein or necessary to make the
statements therein not misleading, in each case to the extent, but only to the extent, that such untrue statement or alleged untrue statement or omission or alleged omission was made in reliance upon and in conformity with written information
furnished to the Company by Wedbush specifically for use therein, and will reimburse any legal or other expenses reasonably incurred by such Agent Indemnified Party in connection with investigating or defending against any such loss, claim, damage,
liability, action, litigation, investigation or proceeding whatsoever (whether or not such Agent Indemnified Party is a party thereto), whether threatened or commenced, based upon any such untrue statement or omission, or any such alleged untrue
statement or omission as such expenses are incurred, it being understood and agreed that the only information furnished by Wedbush specifically for inclusion in the Registration Statement, the General Disclosure Package, the Prospectus or any issuer
free writing prospectus consists of the name, “Wedbush PacGrow Life Sciences” on the cover page of the Prospectus Supplement and the 4.5% commission set forth on the cover of the Prospectus and in the “Plan of Distribution”
section of the Prospectus. 
 (c) Actions against Parties; Notification. Promptly after
receipt by an indemnified party under this Section of notice of the commencement of any action, such indemnified party will, if a claim in respect thereof is to be made against the indemnifying party under subsection (a) or (b) above,
notify the indemnifying party of the commencement thereof; but the failure to notify the indemnifying party shall not relieve it from any liability that it may have under subsection (a) or (b) above except to the extent that it has been
materially prejudiced (through the forfeiture of substantive rights or defenses) by such failure; and provided further that the failure to notify the indemnifying party shall not relieve it from any liability that it may have to an indemnified party
otherwise than under subsection (a) or (b) above. In case any such action is brought against any indemnified party and it notifies the indemnifying party of the commencement thereof, the indemnifying party will be entitled to participate
therein and, to the extent that it may wish, jointly with any other indemnifying party similarly notified, to assume the defense thereof, with counsel satisfactory to such indemnified party (who shall not, except with the consent of the indemnified
party, be counsel to the indemnifying party), and after notice from the indemnifying party to such indemnified party of its election so to assume the defense thereof, the indemnifying party will not be liable to such indemnified party under this
Section for any legal or other expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation. The indemnified party will have the right to employ its own counsel in any
such action, but the fees, expenses and other charges of such counsel will be at the expense of such indemnified party unless (i) the employment of counsel by the indemnified party has been authorized in writing by the indemnifying party,
(ii) the indemnified party has concluded (based on advice of counsel) that there may be legal defenses available to it or other indemnified parties that are different from or in addition to those available to the indemnifying party,
(iii) a conflict or potential conflict exists (based on advice of counsel to the indemnified party) between the indemnified party and the indemnifying party (in which case the indemnifying party will not have the right to direct the defense of
such action on behalf of the indemnified party), or (iv) the indemnifying party has not in fact employed counsel reasonably satisfactory to the indemnified party to assume the defense of such action within a reasonable time after receiving
notice of the commencement of the action, in each of which cases the reasonable fees, disbursements and other charges of counsel will be at the expense of the indemnifying party or parties. No indemnifying party shall, without the prior written
consent of the indemnified party, effect any settlement of any pending or threatened action in respect of which any indemnified party is or could have been a party and indemnity could have been sought

  

 22 

 
hereunder by such indemnified party unless such settlement (i) includes an unconditional release of such indemnified party from all liability on any claims that are the subject matter of
such action and (ii) does not include a statement as to, or an admission of, fault, culpability or a failure to act by or on behalf of an indemnified party. 
 (d) Contribution. If the indemnification provided for in this Section is unavailable or insufficient to
hold harmless an indemnified party under subsection (a) or (b) above, then each indemnifying party shall contribute to the amount paid or payable by such indemnified party as a result of the losses, claims, damages or liabilities referred
to in subsection (a) or (b) above (i) in such proportion as is appropriate to reflect the relative benefits received by the Company on the one hand and Wedbush on the other from the offering of the Shares or (ii) if the
allocation provided by clause (i) above is not permitted by applicable law, in such proportion as is appropriate to reflect not only the relative benefits referred to in clause (i) above but also the relative fault of the Company on the
one hand and Wedbush on the other in connection with the statements or omissions which resulted in such losses, claims, damages or liabilities as well as any other relevant equitable considerations. The relative benefits received by the Company on
the one hand and Wedbush on the other shall be deemed to be in the same proportion as the total net proceeds from the offering (before deducting expenses) received by the Company bear to the total commissions received by Wedbush. The relative fault
shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of a material fact or the omission or alleged omission to state a material fact relates to information supplied by the Company or Wedbush and the
parties’ relative intent, knowledge, access to information and opportunity to correct or prevent such untrue statement or omission. The amount paid by an indemnified party as a result of the losses, claims, damages or liabilities referred to in
the first sentence of this subsection (d) shall be deemed to include any legal or other expenses reasonably incurred by such indemnified party in connection with investigating or defending any action or claim that is the subject of this
subsection (d). Notwithstanding the provisions of this subsection (d), Wedbush shall not be required to contribute any amount in excess of the amount by which total compensation received by Wedbush hereunder exceeds the amount of any damages which
Wedbush has otherwise been required to pay by reason of such untrue or alleged untrue statement or omission or alleged omission. No person guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the Act) shall be entitled
to contribution from any person who was not guilty of such fraudulent misrepresentation. The Company and Wedbush agree that it would not be just and equitable if contribution pursuant to this Section 10(d) were determined by pro rata allocation
or by any other method of allocation that does not take account of the equitable considerations referred to in this Section 10(d). 
 (e) Control Persons. The obligations of the Company under this Section shall be in addition to any liability which the Company may otherwise have and shall extend, upon the same terms
and conditions, to each person, if any, who controls Wedbush within the meaning of the Act; and the obligations of Wedbush under this Section shall be in addition to any liability that Wedbush may otherwise have and shall extend, upon the same terms
and conditions, to each director of the Company, to each officer of the Company who has signed the Registration Statement and to each person, if any, who controls the Company within the meaning of the Act. 
 11. Survival of Certain Representations and Obligations. The respective indemnities, agreements, representations, warranties
and other statements of the Company or its officers and of Wedbush set forth in or made pursuant to this Agreement will remain in full force and effect, regardless of any investigation, or statement as to the results thereof, made by or on behalf of
Wedbush, the Company or any of their respective representatives, officers or directors or any controlling person, and will survive delivery of and payment for the Shares. 
  

 23 

 12. Termination. 
 (a) By the Company. The Company shall have the right, by giving written notice as hereinafter specified, to
terminate this Agreement in its sole discretion at any time. Any such termination shall be without liability of any party to any other party, except that (i) with respect to any pending sale through Wedbush for the Company, the obligations of
the Company, including, but not limited to, its obligations under Section 5 above, shall remain in full force and effect notwithstanding such termination; and (ii) the provisions of Section 4(b), Section 6 and Section 10 of
this Agreement shall remain in full force and effect notwithstanding such termination. 
 (b) By
Wedbush. Wedbush shall have the right, by giving written notice as hereinafter specified, to terminate this Agreement in its sole discretion at any time. Any such termination shall be without liability of any party to any other party except
that (i) with respect to any pending sale through Wedbush for the Company, the obligations of the Company, including, but not limited to, its obligations under Section 5 above, shall remain in full force and effect notwithstanding such
termination; and (ii) the provisions of Section 4(b), Section 6 and Section 10 of this Agreement shall remain in full force and effect notwithstanding such termination. 
 (c) Effect of Termination. This Agreement shall remain in full force and effect until and unless terminated
hereunder pursuant to Section 12(a) or (b) above or otherwise by mutual agreement of the parties; provided that any such termination by mutual agreement or pursuant to this clause (c) shall in all cases be deemed to provide that
Section 4(b), Section 6 and Section 10 of this Agreement shall remain in full force and effect. 
 (d) Effective Date of Termination. Any termination of this Agreement shall be effective on the date specified in such notice of termination; provided that such termination shall not be effective until the close of business on
the date of receipt of such notice by Wedbush or the Company, as the case may be. If such termination shall occur prior to the Settlement Date for any sale of Shares, such sale shall settle in accordance with the provisions of Section 5.

 13. Notices. All communications hereunder will be in writing and, if sent to Wedbush, will be mailed,
delivered or telegraphed and confirmed to Wedbush Morgan Securities, Inc., One Bush Street, Suite 1700, San Francisco, California 94104, or, if sent to the Company, will be mailed, delivered or telegraphed and confirmed to it at 8001 Arista Place,
Suite 200, Broomfield, Colorado 80021; Attention: Chief Executive Officer. 
 14. Successors. This
Agreement will inure to the benefit of and be binding upon parties hereto and their respective successors and the officers and directors and controlling persons referred to in Section 10, and no other person will have any right or obligation
hereunder. 
 15. Counterparts. This Agreement may be executed in any number of counterparts, each of which
shall be deemed to be an original, but all such counterparts shall together constitute one and the same Agreement. 
 16.
Absence of Fiduciary Relationship. The Company acknowledges and agrees that: 
 (a) No
Other Relationship. Wedbush has been retained solely to act as agent in connection with the sale of the Shares and that no fiduciary, advisory or agency relationship between the Company and Wedbush has been created in respect of any
of the transactions contemplated by this Agreement, irrespective of whether Wedbush has advised or is advising the Company on other matters; 
  

 24 

 (b) Absence of Obligation to Disclose. The Company has
been advised that Wedbush and its affiliates are engaged in a broad range of transactions that may involve interests that differ from those of the Company and that Wedbush has no obligation to disclose such interests and transactions to the Company
by virtue of any fiduciary, advisory or agency relationship; and 
 (c) Waiver. The Company
waives, to the fullest extent permitted by law, any claims it may have against Wedbush for breach of fiduciary duty or alleged breach of fiduciary duty and agrees that Wedbush shall have no liability (whether direct or indirect) to the Company in
respect of such a fiduciary duty claim or to any person asserting a fiduciary duty claim on behalf of or in right of the Company, including stockholders, employees or creditors of the Company. 
 17. Applicable Law. This Agreement shall be governed by, and construed in accordance with, the laws of the State of New
York. The Company hereby submits to the non-exclusive jurisdiction of any court of the State of New York located in New York County or the United States District Court for the Southern District of New York in any suit or proceeding arising out of or
relating to this Agreement or the transactions contemplated thereby. The Company irrevocably and unconditionally waives any objection to the laying of venue of any suit or proceeding arising out of or relating to this Agreement or the transactions
contemplated thereby in any court of the State of New York located in New York County or the United States District Court for the Southern District of New York and irrevocably and unconditionally waives and agrees not to plead or claim in any such
court that any such suit or proceeding in any such court has been brought in an inconvenient forum. 
 [The remainder of this
page is intentionally left blank] 
  

 25 

 If the foregoing is in accordance with your understanding of our agreement, kindly sign and return to the
Company one of the counterparts hereof, whereupon it will become a binding agreement between the Company and you in accordance with its terms. 
  

			
	Very truly yours,
	
	ARCA BIOPHARMA, INC.
		
	By:	 	 /s/ Michael R. Bristow

	Name:	 	Michael R. Bristow, Ph.D., M.D.
	Title:	 	President and Chief Executive Officer

 Signature Page to Equity Distribution Agreement 

 The foregoing Equity Distribution Agreement is hereby confirmed and accepted as of the date first above
written. 
  

			
	WEDBUSH MORGAN SECURITIES, INC.
		
	By:	 	 /s/ Thomas J. Dietz

	Name:	 	 Thomas J. Dietz

	Title:	 	 Head of Investment Banking

 SCHEDULE I 
 Permitted Free Writing Prospectuses 
 NONE

 SCHEDULE II 
 List of Subsidiaries 
 Hyseq Diagnostics, Inc. 
 ARCA biopharma Colorado, Inc. 

 EXHIBIT A 
 Form of Transaction Confirmation 
 [Wedbush Morgan
Securities, Inc. Letterhead] 
 VIA ELECTRONIC MAIL 
 —, 20— 
 ARCA biopharma, Inc. 
 8001 Arista Place, Suite 200 
 Broomfield, Colorado 80021 
 Attention: — 
 TRANSACTION CONFIRMATION 
 Dear —: 
 This Confirmation sets forth the terms of the agreement of Wedbush Morgan Securities, Inc. (“Wedbush”) with ARCA biopharma, Inc. (the “Company”) relating to the sale of shares of the Company’s common
stock, par value $0.001 per share, having an aggregate gross sales price of up to $10,000,000 pursuant to the Equity Distribution Agreement between the Company and Wedbush, dated December 8, 2009 (the “Agreement”). Unless
otherwise defined below, capitalized terms defined in the Agreement shall have the same meanings when used herein. 
 By countersigning or
otherwise indicating in writing the Company’s acceptance of this Confirmation (an “Acceptance”), the Company shall have agreed with Wedbush to engage in the following transaction: 
 [Number of Shares to be sold][Aggregate Gross Price of Shares to be sold]: — 
 Minimum price at which Shares may be sold: $— 
 Date(s) on which Shares may be sold: — 
 Compensation to Wedbush (if different than the Agreement): — 
 Manner in which Shares are to be sold: — 

 The transaction set forth in this Confirmation will not be binding on the Company or Wedbush unless and
until the Company delivers its Acceptance; provided, however, that neither the Company nor Wedbush will be bound by the terms of this Confirmation unless the Company delivers its Acceptance by —
am/pm (New York time) on [the date hereof/ —, 200—]. 
 By delivering its Acceptance, the Company shall have agreed with Wedbush that the Prospectus (as defined in the Agreement), including the Incorporated Documents, as of the date of the Acceptance, does not
contain an untrue statement of a material fact or omit to state a material fact necessary in order to make the statements therein, in light of the circumstances under which they were made, not misleading. 
 The transaction, if it becomes binding on the parties, shall be subject to all of the representations, warranties, covenants and other terms and conditions
of the Agreement, except to the extent amended or modified hereby, all of which are expressly incorporated herein by reference. Each of the representations and warranties set forth in the Agreement shall be deemed to have been made at and as of the
date of the Company’s Acceptance, and at every Time of Sale and any Settlement Date. 
 If the foregoing conforms to your understanding of
our agreement, please so indicate your Acceptance by signing below. 
 Very truly yours, 
  

			
	WEDBUSH MORGAN SECURITIES, INC.
		
	By:	 	  

	Name:	 	
	Title:	 	

 ACCEPTED as of the date first above written 
  

			
	ARCA BIOPHARMA, INC.
		
	By:	 	  

	Name:	 	
	Title:	 	

 [Note: The Company’s Acceptance may also be evidenced by a separate written
acceptance referencing 
 this Confirmation and delivered in accordance with the Agreement]Shanghai Real Estate Lease Agreement

 Exhibit 10.12 
 Shanghai Housing Lease Contract 
 (Contract
Number:                    ) 

 Parties to the Contract: 
 Landlord (Party A): Shanghai Dongfang Weijing Cultural Development Co., Ltd. 
 Tenant
(Party B): TeleNav Information Technology (Shanghai) Co., Ltd. 
 In accordance with the Contract Law of the People’s Republic of China
and the Regulations on Leasing of Shanghai Municipality (hereinafter “the Regulations”), Party A and Party B, after consultations and on the principles of equality, voluntariness, fairness and good faith, have the following agreement with
regard to Party B’s lease of Party A’s Premises: 
 1. Basic Information of the Premises 
 1-1 The Housing to be leased by Party A to Party B is located on floors 9, 10 and 11 of No. 333, Xian Xia Road, Changning District, Shanghai
(hereinafter “the Premises”). With a lease area of 4,494 square meters, the Premises are reinforced concrete, and shall be used as office. The floor plan of the Premises is specified in Appendix 1 to this Contract. 
 1-2 As the owner of the Premises, Party A establishes a lease relationship with Party B. Party A owns the relevant rights to the Premises (See Appendix 4 to
this Contract), and has the rights to lease the Premises to Party B and has completed all relevant formalities and filings. Prior to the signature of this Contract, Party A has notified Party B that the Premises have been mortgaged. Party A warrants
that the Premises conform to the State’s relevant standards and requirements in terms of their architectural structure and quality. 
 1-3
The use scope, conditions and requirements of the common area or jointly used area of the Premises, the existing decorations, ancillary facilities and equipment thereupon, and the decorations and ancillary facilities to be made thereupon by Party B
with Party A’s consent and the standards thereof, and other relevant matters shall be specified in Appendices 2 and 3 to this Contract. Party A and Party B agree that the Appendices shall be the acceptance basis for Party A’s making the
Premises available to Party B and Party B’s returning the Premises to Party A upon the termination of this Contract. 

 2. Use of Premises 
 2-1 Party B covenants to Party A that the Premises shall be used for office purposes; and Party B shall comply the State’s and municipal regulations concerning the use and lease of housing and
property management. 
 2-2 Party B warrants that, during the lease term, it will not modify the above agreed purposes without the written
consent of Party A and prior approval required by the relevant authorities in accordance with the related regulations. 
 3. Delivery Date
and Lease Term 
 3-1 Party A and Party B agree that Party A shall deliver the Premises to Party B prior to (See Supplementary
Provisions). The lease term of the Premises shall be (See Supplementary Provisions). 
 3-2 Upon expiration of the lease term, Party
A has right to take back the Premises, and Party B shall return the Premises as scheduled. In the event that Party B needs to renew the lease, it shall submit a written request for an extension of two years to Party B six months prior to the
expiration of the lease term. With the approval of Party A, a new lease contract shall be signed, and the two parties shall consult and agree on the renewal rent based on the prevalent market price at that time. 
 4. Rental, and Method and Time of Payment 
 4-1 Party A and Party B agree that the daily rental for the Premises is RMB      Yuan/Day/Sq.M (See Supplementary Provisions). The monthly rental shall be RMB      Yuan (See
Supplementary Provisions) (In Words). 
 The rental shall remain unchanged for      (year(s)/month(s)) (See
Supplementary Provisions). Starting from      (Year/Month) (See Supplementary Provisions), the two parties may negotiate and adjust the rental. Matters relating to the adjustment shall be set forth in the Supplemental
Provisions. 
 4-2 Party B shall pay Party A the rental prior to      each month (See Supplemental Provisions). If
payment is delayed, Party B shall pay the liquidated damages equal to      of the daily rental for each day delayed. 
 4-3 Party B shall pay the rental as follows: (See Supplemental Provisions). 
 5. Deposit and Other Fees 
 5-1 Party A and Party B agree that, when Party A delivers the Premises, Party B shall deposit with Party A the sum of     
months’ rental (See Supplemental Provisions), ie. RMB      Yuan (See Supplemental Provisions) as the security deposit. 

 Upon receiving the security deposit, Party A shall issue a receipt to Party B. 
 Upon expiration of the lease term, the security deposit remaining after the relevant fees payable by Party B are deducted shall be returned to Party B
without interest. 
 5-2 During the lease term, any electricity, communications, equipment, property management expenses and parking fees that
arise in connection with the use of the Premises shall be paid by Party B. 
 5-3 The calculation or allocation, and time and method of payment,
of the above expenses payable by Party B are specified in      (See Supplemental Provisions). 
 6. Use and
Repairs Responsibilities 
 6-1 If during the lease term, Party B finds that the Premises and the ancillary facilities are damaged or that
they are not working properly, it shall promptly notify Party A; and Party A shall make repairs within      day(s) (See Supplemental Provisions) after receiving Party B’s notice. If repairs are not made within the
specified time, Party B shall make repairs on Party A’s behalf, and the relevant expenses shall be paid by Party A. 
 6-2 During the lease
term, Party B shall use the Premises in a reasonable manner and protect the Premises and the ancillary facilities. If the Premises and the ancillary facilities are damaged or break down due to Party B’s improper or unreasonable use, Party B
shall make the repairs. If Party B declines to repair, Party A may make repairs on Party B’s behalf, and the relevant expenses shall be paid by Party B. 
 6-3 During the lease term, Party A warrants that the Premises and the ancillary facilities are in normally usable and secure condition. Before inspecting and maintaining the Premises, Party A shall notify
Party B      day(s) (See Supplemental Provisions) in advance. Party B shall cooperate in the inspection and maintenance. Party A shall make every effort to reduce the effect of the inspection and maintenance on the use of
the Premises by Party B. 
 6-4 Except as provided in Appendix 3 to the Contract, if Party B needs to make separate decorations or add any
ancillary facility and equipment, it shall obtain the written consent of Party A in advance; if the approval of the relevant authorities is required, it may start making decorations or adding the facility and equipment upon the approval by the
authorities. The added facilities and equipment and the responsibility for maintenance thereof shall be separately agreed upon by Party A and Party B. 
 7. Condition of the Premises When Returned 
 7-1 Unless Party A agrees to extend the lease term, Party B shall return the
Premises upon expiration of the lease term of the Contract. If Party B delays in returning the Premises, for each day of delay, Party B shall pay Party A an occupancy fee equal to      (See Supplementary Provisions)
Yuan/Sq. M (RMB). 

 7-2 The Premises returned by Party B shall be in a normal condition after proper use. The return of the
Premises shall be accepted and acknowledged by Party A, and the parties shall settle the relevant expenses to be paid by them respectively. 
 8. Sublease, Assignment and Exchange 
 8-1 Unless Party A has agreed to Party B’s sublet as set forth in the Supplementary
Provisions to the Contract, Party B must, during the lease term, first obtain the written consent of Party A before Party B sublets the Premises in whole or in part to a third party. 
 8-2 In the event that Party B sublets the Premises, it shall enter into a sublet contract with the subtenant and go through the recording and filing formalities at the real estate trading center of the
district or county or farm system where the Premises are located. 
 8-3 During the lease term, if Party B subleases the Premises to a third
party or exchanges the Premises for a house rented by a third party, it must first obtain the written consent of Party A. Upon sublease or exchange, the sub-lessee or exchanger shall enter into an amendment to change the parties hereto and continue
to perform the Contract. 
 8-4 If Party A desires to sell the Premises during the lease term, it shall notify Party B in writing three months
in advance. Party B shall have the right of first refusal under equal conditions. 
 9. Termination 
 9-1 Party A and Party B agree that, during the lease term, the Contract shall be terminated if any of the following circumstances occurs, and neither party
shall be liable: 
 (1) the use right of the land where the Premises stand is revoked prior to the prescribed time; 
 (2) the Premises are legally expropriated for societal public interests; 
 (3) the Premises are to be demolished according to law by virtue of urban construction; 
 (4) the
Premises are damaged, destroyed or are considered dangerous due to force majeure; 
 (5) Party A has informed Party B that a mortgage has been
created on the Premises prior to the lease and that the Premises now have been disposed. 
 9-2 Party A and Party B agree that either party may
notify the other party in writing to terminate the Contract if any of the following circumstances occurs. The breaching party shall pay the non-breaching party liquidated damages equal to      time(s) of the monthly rental
(See Supplemental Provisions); if the non-breaching party sustained any losses and the liquidated damages are not sufficient to cover them, the breaching party shall pay the discrepancy: 
 (1) Party A defaults in the delivery of the Premises as scheduled and fails to deliver them within thirty days after Party B requests Party A to make delivery; 

 (2) the Premises delivered by Party A do not conform to the Contract so that the lease purpose cannot be
achieved; or the Premises delivered by Party A are defective or pose a safety threat to Party B; 
 (3) Party B uses the Premises for any other
purposes without the written consent of Party A and thus causes damage to the Premises; 
 (4) the main structure of the Premises is damaged due
to Party B’s reason; 
 (5) Party B sublets, subleases the Premises or exchanges the Premises for a house rented by a third party without
Party A’s authorization; 
 (6) Party B defaults in the payment of the rental for more than one month; 
 10. Default liability 
 10-1 If the Premises
are defective when delivered, Party A shall make repairs within thirty days after delivery; if repairs are not made within the specified time, Party A agrees to reduce the rental and amend the relevant provisions concerning the rental. If Party B
suffers any losses as a result of the defect, Party A agrees to compensate Party B for the losses. 
 10-2 If Party A fails to inform Party B
that the Premises have been mortgaged or that the right to transfer the title to the Premises is restricted and thus causes losses to Party B, Party A shall be liable for compensation. 
 10-3 If during the lease term, Party A fails to perform his repair and maintenance obligations specified in the Contract and thus damages the Premises and causes property losses or personal injuries to
Party B, Party A shall be liable for compensation. 
 10-4 If during the lease term, Party A terminates the Contract without Party B’s
authorization and takes back the Premises prior to the expiration of the lease term, Party A shall pay Party B liquidated damages in the amount of twice the rental for the days to the expiration of the lease term. If the liquidated damages paid by
Party A are not sufficient to cover Party B’s losses, Party A shall be liable for the difference. 
 10-5 If Party B makes decorations or
adds ancillary facilities without the written consent of Party A or exceeding the scope and requirements consented by Party A, Party A may request Party B to restore the Premises to the original condition and compensate for the losses. 

10-6 If during the lease term, Party B terminates the lease in violation of the Contract, Party B shall pay Party A liquidated damages in the amount of
twice the rental for the days to the expiration of the lease term. If the liquidated damages paid by Party A are not sufficient to cover Party A’s losses, Party B shall be liable for the compensation. Party A may deduct the difference from the
security deposit. If the security deposit is not sufficient, the deficiency shall be paid by Party B. 

 11. Miscellaneous 
 11-1 If during the lease term, Party A intends to mortgage the Premises, it shall notify Party B in writing. In addition, Party A warrants to Party B that,      days (See
Supplemental Provisions) before the Premises are disposed of by the relevant parties by conversion of the property into money or sale, Party B’s opinion shall be sought as to whether he desires to purchase the Premises. 
 11-2 The Contract shall come into force as the date when the two parties sign and seal it. Within sixty days after the Contract becomes effective, Party A
shall undertake the recording and filing formalities at the real estate trading center of the district, county or farm system where the Premises are located, and receive a certificate of housing lease recording and filing. If after the filing of the
Contract, the Contract is amended or terminated, Party B shall go through the recording change or termination formalities at the original recording authorities within fifteen days after the Contract is amended or terminated. If a legal dispute
arises as a result of Party A’s failure to undertake the housing lease recording and filing formalities or recording change or termination formalities, Party A shall be liable for all consequences. If Party B suffers any losses as a result
therefrom, Party A agrees to compensate for the losses thus incurred to Party B. 
 11-3 Matters not covered herein shall be set forth in
Supplemental Provisions agreed by Party A and Party B. The Supplemental Provisions and Appendices hereto shall constitute an integral part of the Contract, the Contract together with the Supplemental Provisions shall have the equal efficacy with the
words and stamped characters in the blanks in Appendices. 
 11-4 Party A and Party B clearly understand their respective rights, obligations
and responsibilities at the time of signing the Contract and are willing to strictly comply with the Contract. If a party breaches the Contract, the other party may seek compensation in accordance with the Contract. 
 11-5 If any dispute arises between Party A and Party B during the performance of the Contract, they shall settle it through consultations; if the agreement
cannot be reached, the two parties agree that either party may file a lawsuit at the people’s court. 
 11-6 The Contract, along with the
Appendices, is made in four copies, of which, Party A and Party B shall each retain two copies, and each copy is equally authentic. 

 Supplemental Provisions 
 These Supplemental Provisions are a supplement to Shanghai Housing Lease Contract entered into by and between Party A and Party B (hereinafter “the Main Contract”), and the Main Contract, its
various Schedules and Appendices are collectively referred to as “the Contract”. If there is any conflict among the Main Contract, the Supplemental Provisions, the Schedules, and the Appendices, the Supplemental Provisions, the Schedules,
and the Appendices shall prevail. 
  

	12.1	Article 1-1 hereof is supplemented as follows: 

 (1) The Premises to be leased by Party A to Party B under the Contract are located on floors 9, 10 and 11, the entire floors, (the nominal floors correspond with the actual floors), No. 333, Xian Xia Road, Changning District, Shanghai
(referred to as “Floor 9”, “Floor 10” and “Floor 11” in the Schedules). 
 (2) The floors and spaces where the
Premises as described herein are located are not the same as the actual floors and spaces. The building has two underground floors of commercial stores and parking garage, and the number of the actual floors above the ground is twenty-five. The
comparison table of the actual floors and the nominal floors is as follows: 
  

			
	 Actual Floors
	  	 Nominal Floors

	22-25	  	25-28
	13-21	  	25-23
	5-12	  	5-12
	3-4	  	2-3
	2	  	M
	B2-1	  	B2-1

 Party B agrees that they will not raise any claims against Party A by the reason of the difference
between the nominal floors and spaces and the actual floors and spaces. 
 (3) The floor plan of the Premises (See Appendix 1) is only for
clarification purposes. 
 (4) Party A and Party B hereby agree and confirm that the lease area specified herein is a temporarily measured area
and that if the actually measured area of the Premises provided by the Center of Real Estate Surveying and Mapping of Changning District, Shanghai is different from the temporarily measured area, the actually measured area shall control, and the
total expenses including rental, the property management fees and other various charges calculated based on the lease area shall be correspondingly adjusted. But neither Party A nor Party B may terminate the Contract on account of the difference
between the actually measured lease area and the temporarily measured lease area. Except for the above adjustments, neither Party A nor Party B may adjust the rental, property management fees and any other charges hereunder based on the lease area
of the Premises as measured by any other persons, organizations or entities. 

 (5) Prior to the signing of the Contract, Party A has shown Party B the certificate of land-use right, the
planning permit of building construction and other relevant acceptance certificates necessary for the lease of the Premises. Party B agrees that it will not raise any claims for the reason of the fact that Party A has not temporarily obtained the
certificate of right to the Premises. Prior to the signing of the Contract, Party A has informed Party B that the Premises have been mortgaged, but Party A warrants to Party B that Party B’s lease and use of the Premises will not be affected
thereby during the lease term. If during the lease term (and the extension period thereof), the mortgagee exercises his mortgage right and thus affects Party B’s use of the Premises, Party A shall compensate for any losses sustained by Party B
thereby. 
 12.2 Articles 1-2, 10-2 and 11-1 hereof are amended and supplemented as follows: 
 Party B understands that the Premises have been mortgaged and that it will not ask for any compensation or raise other claim against Party A. If at any time
during the lease term, the mortgagee intends to exercise his right or Party A needs to re-mortgage the Premises, Party A may dispose of the Premises without Party B’s consent, but Party A shall notify Party B in writing in advance; if
necessary, Party B shall cooperate with Party A in going through the relevant formalities. 
 12.3 Article 1-3 hereof is supplemented as
follows: 
 Party B acknowledges that it has conducted an on-site inspection of the Premises and model rooms prior to the signing the Contract,
has a good understanding of the existing decorations and facilities in the Premises listed in Appendix 3 hereto, and agrees that Party A has complied with the delivery standards specified in Appendix 3. 
 12.4 Article 3-1 hereof is supplemented as follows: 
 (1) Party B shall go to Party A or the property management company designated by Party A (hereinafter “the Property Management Company”) on the date of delivery specified in Part 1 of Schedule 1 to go through the Premises handover
formalities Party A warrants that the property management company designated by Party A meets the relevant requirements and has the business qualifications. Prior to the handover, Party B shall make full payment of the amounts due at the time of the
handover, otherwise Party A will not have the obligation to deliver the Premises to Party B. Upon receiving the payment in full, Party A shall promptly deliver the Premises to Party B, and the two parties shall sign the House Delivery Document,
which means that Party A has performed its

 
obligation to deliver the Premises to Party B as required by the Contract. In the event that Party B declines to sign the House Delivery Document without due cause, Party B shall be deemed to
have failed to undertake the Premises handover formalities on the date of delivery, and Party A may act in accordance with this Article 12.4(2). 
 (2) If Party B fails to undertake the Premises handover formalities due to its own fault (except for force majeure), Party A may collect the rental, the property management fees and other relevant charges
in accordance with the Contract. If the period after the date of delivery is the decoration period or rental-free period, the decoration period or rental-free period shall commence on the date of delivery. If Party B fails to undertake the Premises
handover formalities on the 30th day commencing from the
date of delivery, Party A may terminate the Contract in advance, confiscate the security deposit, and seek compensation for any losses sustained by Party A as a result therefrom, including but not limited to the rental and the property management
fee to be paid by Party B to Party A for the period from the date of delivery to the date Party A terminates the Contract, unless the Premises delivered by Party A do not conform to the Contract. 
 (3) If Party A unreasonably refuses to sign the House Delivery Document or fails to deliver the Premises to Party B after signing the House Delivery
Document, Party B may demand that Party A shall refund to Party B twice the amount of the deposit money and the security deposit, and may seek compensation for any losses thus sustained as a result of Party A’s failure. 
 (4) Party A agrees that if it fails to deliver the Premises according to the standard, the lease commencement date shall be correspondingly extended for
each day of delay, and that it shall include the corresponding number of days of delay in the calculation of the decoration period as a compensation to Party B. If the Premises have not been delivered sixty days after the date of delivery, Party B
may terminate the Contract, and Party A shall refund to Party B twice the amount of the deposit money and the security deposit paid by Party B (three months’ rental and property management fees in total). In addition, Party B may hold Party A
liable for any other losses thus caused to Party B. 
 12.5 Articles 4-1, 4-2, 4-3, 5-2 and 5-3 hereof are supplemented as follows: 

(1) During the lease term, Party B shall pay to Party A or the property management company in full the rental, the property management fee, electricity
charges, parking fees and other relevant charges in connection with the Premises in a timely manner. During the lease term (and the extension period thereof), the property management fee shall remain unchanged. 

 (2) Except as provided in the Contract, on the rental payment commencement day, Party B must pay Party A the
rental and property management fee for the number of remaining days in the calendar month and for the following month, and the amount shall be calculated based on the current month’s rental and property management fee multiplied by the number
of remaining days in the current month and the actual number of days in the current month. Thereafter, Party B shall pay to Party A in advance the following month’s rental and property management fee prior to the expiration of each calendar
month. The amount of the last rental and property management fee payable by Party B shall be the sum of the current month’s rental and property management fee respectively multiplied by the actual number of days in the last month equal to the
lease term divided by the actual number of days in the month. 
 (3) Upon receiving the readings indicated on the meters
installed in the Premises or the bills provided to Party B by Party A, the property management company or the utilities companies, Party B shall pay for all electricity, communication, equipment and parking services in a manner agreed to by Party A
or the relevant entities prior to the 30th day of the
current month based on the readings or the bills. 
 (4) If Party B fails to pay to Party A any amount due hereunder, including but not limited
to the rental and electricity charges, Party B shall Party A liquidated damages in an amount equal to 0.1% of the overdue amount per day. 
 12.6 Article 5-1 hereof is amended and supplemented as follows: 
 (1) Party A and Party B agree that within three working days after
the signing of the Contract, Party B shall pay Party A the security deposit in an amount equal to the sum of three months’ rental and three months’ property management fee. 
 The lease deposit paid by Party B in accordance with the letter of intent previously signed by the two parties shall be counted in the calculation of the security deposit. 
 (2) During the lease term, the security deposit shall be kept in the custody of Party A, and Party A shall not pay Party B any interest on the deposit.

 (3) If Party B breaches the Contract, Party A may set off the deposit paid by Party B against the liquidated damages or Party A’s losses
for which Party B is liable, and the deduction shall not affect any other right or remedies which Party A may have against Party B for its breach or non-performance. In such a case, Party B must make up the deficiency in the security deposit within
seven days after Party A gives written notice to Party B. If Party B fails to make up the deficiency within the above specified time, Party A may take back the Premises, unilaterally terminate the Contract and confiscate the security deposit. If the
security deposit is not sufficient to cover Party A’s losses, Party A may demand that Party B shall compensate for all of Party A’s losses. 

 (4) Upon expiration of the lease term or early termination of the Contract, Party A shall refund to Party B
the security deposit in a lump sum without interest within seven working days after Party B has returned the Premises to Party A and paid all amounts due hereunder. 
 12.7 Articles 6-1 and 6-3 are supplemented as follows: 
 (1) Party A’s responsibility for
maintenance and repairs shall be limited to the structure of the Premises and the facilities and equipment provided by Party A as specified in Appendix 3 hereto, but excluding any damage or destruction arising out of Party B’s fault.

 (2) Before making repairs, Party A shall give twenty-four hours’ written notice to Party B, and Party B shall provide cooperation.

 (3) In the event the structure of the Premises and the facilities and equipment provided by Party A need to be repaired, Party A shall make
repairs promptly at the request of or upon notice by Party B. During the repairing process, Party A agrees to make every effort to reduce the effect of the repairing work on Party B’s normal business operations, unless necessary under special
circumstances. Party A shall be liable for any losses, including but not limited to property damage and personal injury, which arise out of Party A’s fault during the repairing process. In addition, Party B may hold Party A liable for any
property loss and other losses suffered by Party B as a result of the improper acts of Party A or its employees or agents during the repairing process. 
 (4) In emergency situations (including but not limited to fires, floods, hijacks, deaths and injuries, etc), Party A or its authorized representatives may enter the Premises without advance notice. If the
emergency situations are not caused by Party A, and if Party A enters the Premises for the purpose of removing any dangers and within the reasonable scope, Party A shall not liable for any damage caused thereby; provided, however, that Party A
explains the details to Party B in writing. 
 12.8 Article 6-2 hereof is supplemented as follows: 
 (1) During the lease term, Party B must keep the Premises and the facilities and equipment provided by Party A in good working order and condition. During
the lease term, Party B must, at its expense, maintain and clean the Premises and the facilities and equipment provided by Party A as required by Party A so as to make them clean and neat. 
 (2) If Party B discovers that the Premises or the facilities or equipment provided by Party A suffers any damage or malfunctions, Party A shall promptly
notify Party A or the property management company to make repairs, and Party B may not make repairs by itself without authorization. But in emergency situations, Party B may make temporary repairs for the sole purpose of reducing any

 
damage or risk that may occur to Party B’s property or employees. If any damage or malfunction is caused by Party A, Party B’s repair expenses shall be paid by Party A or the property
management company. If any damage, personal injury or property loss occurs while Party B or its employees, contractors or agents are repairing the Premises and/or the facilities or equipment provided by Party A, Party B shall be liable for the
compensation. 
 (3) Party B shall be fully liable for any personal injury or property loss or damage directly or indirectly caused to Party A
and/or the property management company or any other people by one of the following accidents resulting from Party B’s fault: 
 a) any
electrical fixtures, electrical appliances or wires in the Premises malfunction or are in disrepair; 
 b) any water pipes or toilets in the
Premises are clogged or damaged; 
 c) fire or smoke spreads in the Premises; 
 d) water coming from any source is leaking or flooding in the Premises or any other parts of it; 
 e) damage is caused to any common areas of the Building. Party B’s responsibility hereunder includes, without limitation, any repair expenses, any amount paid by Party A as a result of any claim made by any other people against Party
A, or any necessary expenses and costs incurred by Party A and/or the property management company in claiming compensation against Party B. 
 (4) Party A may, without notification, clear and dispose of any boxes, cartons, rubbish or any other obstacles of similar kind or nature outside the Premises (except in a designated garbage dump) left or not yet disposed of by Party B in a
manner deemed appropriate by Party A. Party A shall not be liable to Party B or any other people as a result thereof. Party B shall pay any expenses or costs incurred by Party A in connection with its execution of this Article. 
 (5) If Party B does not comply with the repair or engineering responsibilities specified herein, and still fails to make repairs after being notified or
reminded by Party A, Party A or its employees or agent may enter the Premises to make such repairs or do the engineering work. Party B shall be responsible for all of the cost of the repairs or engineering work. 
 (6) If the windows or glass of the Premises are damaged or broken, Party B shall pay or reimburse Party A for any expenses incurred by Party A in replacing
the broken windows or glass, or Party B shall, at its own cost, repair the windows or glass and restore them to the original condition, except due to Party A’s fault. 

 12.9 Article 6-4 hereof is supplemented as follows: 
 (1) Upon approval by the governmental authorities in charge and upon written confirmation by Party A or the property management company, Party B may make
decorations, additions or modifications in or to the Premises and/or the facilities or equipment provided by Party A. Upon prior written approval and filing by Party A, Party B may engage a qualified construction contractor to make the decorations,
additions or modifications. Party B and the construction contractor engaged by it must comply with the relevant decoration rules and standards formulated by Party A and the property management company, as amended from time to time. Party B agrees
that it shall be liable for any consequences caused by it or the construction contractor engaged by it during the decoration, addition or modification work. 
 (2) Party B shall pay any expenses in connection with the project work specified in the preceding paragraph, including but not limited to decorations, additions or modifications, raw materials, charges,
taxes and governmental fees. Party B shall maintain and repair the decorations, additions or modifications made by it in accordance with this section 12.9(1), and Party A shall not be responsible for the repair and maintenance thereof. 

(3) Party B covenants that the above decoration, addition or modification work shall not affect the normal business operations of other tenants in the
Building. 
 (4) If at any time during the lease term, any governmental authority in charge requests Party B to rectify and improve the
decorations, additions or modifications made by Party B (including but not limited to fire-proof facilities), Party B must comply with the request of the governmental authority. If Party B’s decorations, additions or modifications affect any
other tenants of the adjacent units, Party B shall, at its own cost, repair any damage caused to the adjacent units and pay any expenses incurred in connection therewith, including but not limited to reasonable compensation to the tenants of the
adjacent units. Party A shall not be liable in any way, but if Party A has any damages thereby, Party B shall be liable for all of Party A’s losses. 
 (5) If at any time during the lease term, any governmental authority in charge requests the decorations made in the adjacent units to rectified and improved (including but not limited to fire-proof
facilities), Party B must provide all necessary assistance and cooperation in accordance with the request of Party A and/or the property management company. If Party B suffers any economic losses as a result therefrom, Party B shall consult with the
tenants of the adjacent units, and may not refuse to provide the above assistance or cooperation under the pretence that it has not reached agreement with the tenants of the adjacent units. Party B shall deal with any losses sustained by it, and
Party A shall not be liable. 

 12.10 Articles 7-1 and 7-2 are supplemented as follows: 
 (1) Upon expiration of the lease term or early termination of the Contract, Party A may take back the Premises, and Party B shall return the Premises to
Party A in their existing condition. In addition, Party B must return the glass partitions and glass doors in good condition, and may not damage the existing decorations in the common areas. 
 (2) If at the time that Party B returns the Premises, Party A discovers any damage or loss to the Premises and/or the facilities or equipment provided by
Party A (excluding normal wear and tear), Party A may hold Party B liable for the loss and make deductions from the security deposit. If the security deposit is not sufficient to cover Party A’s loss, Party A may seek additional compensation
from Party B. 
 (3) If Party B fails to return the Premises to Party A at the time specified in the Contract, Party A may take back the
Premises upon three days’ written notice to Party B, including but not limited to entering the Premises without Party B being present, occupying the Premises, and removing any items left by Party B in the Premises, and shall not be liable for
any loss or damage suffered by Party B therefrom If any decorations, furniture, devices, articles, materials, equipment or other items are left by Party B in the Premises, they shall be deemed to have been abandoned by Party B. Party A may dispose
of them in any manner, and Party B may not dispute the disposal, nor may it lodge any claims against Party A or hold Party A liable for compensation. Meanwhile, Party A may seek compensation from Party B for any expenses incurred in connection with
the sorting out and keeping of the above articles. 
 (4) After the initial lease term or the extension thereof expires, Party B shall have a
grace period of up to six months to return the Premises, and the rental and the property management fee for the grace period shall correspond with the rental and property management fee for the immediately previous month. But Party B must send
written notice to Party A six months prior to the expiration of the lease. If Party B fails to return the Premises after the six months’ grace period, Party B shall pay Party A an occupancy fee equal to 130% of the daily rental specified in the
Contract for each day of delay, and in addition, Party B shall compensate Party A for any losses thus sustained. 
 12.11 Articles 8-1, 8-2 and
8-3 are supplemented as follows: 
 (1) During the lease term, upon written consent by Party A, Party B may sublet any part or the whole of the
Premises to any of Party B’s affiliated companies or a new company that emerging from consolidation, acquisition or reorganization, but Party B may not transfer, sublet or sublease the Premises or any interests therein to a non-affiliated
company. 
 (2) During the lease term, without the written consent of Party A, Party B may not transfer any rights or obligations under the
Contract to other party, nor may Party B exchange the Premises for a premises rented by another party. 

 12.12 Article 8-4 hereof is amended and supplemented as follows: 
 (1) At any time during the lease term, Party A may sell the Premises without the consent of Party B, but Party B shall send advance written notice to Party
B. In such a case, Party B may choose to continue the lease or terminate the Contract without bearing any liability for breach of contract. Party B hereby states that it shall waive any right of first refusal provided by any law and the Contract. If
necessary, Party B shall cooperate with Party A in going through the relevant formalities. 
 (2) If there is any change in the title to the
Premises during the lease term and Party B desires to continue to lease the Premises, Party A shall ensure that the transferee of the Premises continue to perform the Contract If the transferee of the Premises fails to continue to perform the
Contract as a result of Party A’s fault, Party B may claim compensation from Party A for any losses incurred thereby. If Party B chooses to terminate the Contract, Party A shall give Party B necessary time to vacate the Premises prior to
delivering the Premises to the transferee. 
  

	12.13	Article 9-2 hereof is supplemented as follows: 

 In addition to any other rights which Party A may have in accordance with the law and regulations and the Contract, Party A may unilaterally terminate the Contract, take back the Premises or any part thereof, and hold Party B liable for
paying liquidated damages in an amount equal to three months’ rental for the Premises if any of the following circumstances occurs; if the liquidated damages are not sufficient to cover the losses suffered by Party A, Party B shall be liable
for the difference. 
 a) Party B fails to pay the rental, the property management fee or any other amount due under the Contract one month
behind the due dates in violation of the Contract; 
 b) Party B uses the Premises for any illegal purposes; 
 c) Party B materially breaches the provisions of the Contract which it must comply with or perform, and fails to remedy or correct the breach within a
reasonable period of time after receiving Party A’s written notice; 
 d) Party B sublets or subleases the Premises or exchange the
Premises for a premise rented by another party without the written consent of Party A; 
 e) Party B engages in illegal business activities so
that its business license or relevant permit is revoked by the relevant governmental authorities; 
 f) the main structure of the Premises is
damaged due to Party B’s cause or Party B changes the purpose for which the Premises are used without the written consent of Party A. 

 12.14 Party A and Party B agree as follows with regard to the insurance of the Premises during the lease
term: Party B shall not do anything that may make the fire insurance or other insurances (including public liability insurance) invalid for the Building or any part of it. Party B shall not do anything that may increase the premium of such
insurance, nor shall it allow other people to do so. In the event that the premium of such insurance is increased as a result of Party B’s fault, Party A may hold Party B liable for the increased premium, in addition to any other rights and
remedies which Party A may have. 
 12.15 Party B hereby acknowledges that Party A shall not be liable to Party B or any other persons and Party
B shall directly deal with the party directly responsible for causing the damage if any of the following circumstances occurs, unless caused due to Party A’s fault: 
 (1) Party B or any other people suffers any personal injury or property damage as a result of any defect or malfunction of the elevators, fire-proof and security equipments, air-conditioning or other
equipment, the failure, interruption or malfunction of the electricity, water, telephone services, or the leakage of the water, smoke, fire or any other materials, the breeding of rats, termites, cockroaches or other insects, or explosions, thefts,
hijack or other harm which may happen in the Building or any part of the Premises. 
 (2) If at any time the supply of water, electricity or air
conditioning is interrupted or any public utilities stop operating not for Party A’s fault, Party A shall not be liable to Party B for any compensation, and the rental, the property management fee or other charges payable by Party B shall not
be reduced. 
 12.16 Party A and Party B agree that: 
 (1) Party A shall appoint a qualified property management company to be responsible for the daily management and security of the Building; 
 (2) Party A shall not be responsible for the security and custody of any property in the Premises; 
 (3) Party A’s dispatching of security personnel, management personnel, any mechanical or electrical alarm system does not mean that Party A shall be responsible for the security and custody of the Premises or any property therein.
Party B shall be responsible for the Premises or any property therein at any time; 
 (4) Party B shall not reduce or stop payment of the rental
or other fees payable under the Contract on the grounds of any security issues. 

 12.17 Party A’s Rights and Obligations: 
 (1) Party A’s claiming or collecting liquidated damages from Party B in accordance with the Contract doest not prejudice or affect any other rights or remedies which Party A may have under the
Contract, including but not limited to the right to take back the Premises. 
 (2) Party A’s acceptance of the rental, the property
management fee and other charges paid by Party B shall not be deemed a waiver of the right to hold Party B liable for breach of any provisions of the Contract. 
 (3) Party A’s waiver of one or more of Party B’s violations of the Contract shall not be deemed a waiver of any continuing or subsequent violation, nor shall it operate as a bar or limitation to
Party A’s right or remedy to hold Party B liable for any continuing or subsequent violation, unless Party A specifically acknowledges in writing that this constitutes a waiver. 
 (4) Upon reasonable notice, Party A may take any future tenant of the Premises or other relevant people to inspect the Premises at any reasonable time three months after the expiration or early
termination of the lease term; provided, however, that Party A informs Party B in writing about such inspection three working days in advance. Upon consent by Party B, Party B shall accompany such inspection. 
 (5) Party A reserves the right to name the Building. Upon at least one month’s written notice to Party B, Party A may change the name of the Building
without having to making compensation to Party B or any other people. 
 (6) Party A reserves the right to modify, refurbish and temporarily
close the common areas or other parts of the Building, including passageways, doors, windows, electrical devices, cables and wires, water pipes, gas pipes, elevators, automatic stairs, fire-proof and security equipment and air-conditioning
equipment, and the right to modify the overall structure, layout and arrangement of the common areas of the Building at any time during the lease term. Before such modification or refurbishment, Party A shall notify Party B and make appropriate
arrangements to ensure Party B’s use of the Premises. 
 (7) Party A reserves the right to formulate, introduce or modify, implement or
annul any management rules and regulations deemed by it necessary to operate and maintain the Building as a first-rate office building. However, Party A shall inform Party B in writing about any major modifications made by it. 
 (8) During the lease term, Party A shall pay all relevant taxes which must be paid by Party A in connection with the lease of the Premises in accordance
with the laws and regulations. 
 (9) During the lease term, Party A shall maintain the common areas and public facilities of the Building
(including the roofs, main structure, walls, main water pipes, main cables and wires, elevators, automatic stairs, fire-proof and security equipment, air conditioning equipment) in good working condition. 

 (10) Without the consent of Party B, Party A shall not engage in any profit-seeking activities by using
Party B’s name or logos. 
 (11) If Party A breaches any provision of the Contract or fails to properly perform the various obligations
under this Article and thus causes loss to Party B’s normal business operations, Party A shall be liable. 
 12.18 Party B’s Rights
and Obligations 
 (1) Party B shall strictly comply with all rules and regulations concerning the Building, including but not limited to the
User’s Manual of Oriental Virgin Building and Decoration Guide of Oriental Virgin Building formulated by Party A and the property management company. 
 (2) During the lease term, Party B shall not authorize other people to use or occupy the Premises or any part thereof. 
 (3) Party B shall urge its employees, contractors and agents (collectively “the Persons”) to comply with and perform all provisions of the Contract which Party B should comply with or perform.
Party B shall be liable for any losses sustained by Party A or any third party as a result of any violation of the Contract by the Persons 
 (4) Before conducting its business activities in the Premises, Party B shall obtain all business licenses, approvals or permits (if any) necessary for the conduct of its business activities. Party B must ensure that such licenses, approvals
or permits remain fully valid during the lease term and that the requirements of such licenses, approvals or permits are complied with in all respects. Moreover, Party B must ensure that the business activities conducted in the Premises do not
violate any relevant laws and regulations. Otherwise, Party B shall be liable for all consequences arising out of its improper business activities. During the lease term, Party B shall file its license or permit which has passed the annual
inspection (examination) with Party A once each year. 
 (5) During the lease term, Party B shall not set off or refuse to pay the rental, the
property management fee or other charges under the Contract for any reason, except for any losses caused to Party B by Party A or the property management company. 
 (6) With the approval of Party A or the property management company, Party B may display its name on the signs on the Premises (if any) in the uniform font and manner specified by Party A. The uniform
font shall be determined through consultations, and Party A shall have full authority to arrange for their production and placement, and the relevant expense shall be borne by Party B 

 (7) Party B may, at its expense, install at the entries to, or on the doors, to the Premises the fonts and
signs approved by Party A or the property management company, and no signs shall be installed without the approval of Party A or the property management company. 
 (8) Without the written consent of Party A, Party B shall not use any pictures, statements or images containing the name and logo of the Building, except that Party B may use the name, picture or image of
the Building for commercial purposes within the scope of business specified Party B’s business license (including but not limited to using Party B’s address containing such name, picture or image for publicity purposes or printing such
name, picture or image in Party B’s brochures and employees’ business cards). 
 (9) Party B shall not sell its wares or solicit
customers at any place outside the Premises and within the Building. 
 (10) If it is necessary to load or unload goods, Party B must use the
loading and unloading area, entrance/exit and freight elevators designated by Party A or the property management company, and may load or unload goods only at the time specified by Party A and the property management company. Party B shall not use
guest elevators or automatic stairs to transport goods at any time or under any condition 
 (11) Party B’s waiver of one or more of Party
A’s violations of the Contract shall not be deemed a waiver of any continuing or subsequent violation, nor shall it operate as a bar or limitation to Party B’s right or remedy to hold Party A liable for any continuing or subsequent
violation, unless Party B specifically acknowledges in writing that this constitutes a waiver. 
 12.19 Party B’s Liability for Breach of
Contract 
 Without prejudice to any other rights which Party A may have under the Contract (including the right to take back the Premises and
terminate the Contract prior to the expiration of the lease term), if during the lease term, Party B breaches any provision of the Contract, upon the advance notice Party A and/the property management company may cut off the water or electricity
supply or other services to the Premises or take other legal measures and actions until the breach is corrected. Party B must still pay the rental and the property management fee in accordance with the Contract during the cut-off, and shall be
liable for all consequences and expenses arising therefrom (including the expenses in connection with reconnecting the water and electricity supply). 

 12.20 Article 11-2 is amended and supplemented as follows: 
 (1) Party A and Party B agree that during the period from the signing of the Contract to the time that Party A has obtained the property right certificate
for the Premises, Party A shall go through the formalities for recording and filing the Contract at the relevant real estate authorities within a reasonable period of time. Party B agrees that it shall not seek compensation from Party A or make any
other claim against Party A for Party A’s failure to undertake the recording and filing formalities within the specified time period. 
 (2) Party A and Party B agree that within a reasonable period of time the two parties shall go to the Real Estate Trading Center of Changning District to record and file the Contract and obtain the relevant recording and filing certificate
or document from the Center. If the Contract is amended or terminated thereafter, the two parties shall go to the original recording authorities to undertake the recording change or revocation formalities within fifteen days after the amendment or
termination of the Contract. 
 12.21 Any document or notice given to any party hereto shall be deemed given on the date three working days
after dispatch by registered mail if mailed to the party’s address set forth in Schedule 3 hereto or such other address as a party notifies the other party by registered mail, or on the date of delivery if delivered by courier service; Before
the other party receives notice of the changed address, the original address shall be used. 
 12.22 Confidential information of the two parties
hereto shall include data and information with respect to relevant business operations, financial data, major decisions, and all or part of the terms and provisions set forth in any document signed by the two parties hereto on the lease of the
Premises. No party shall, without the written consent of the other party, disclose such confidential information to any other people, except to the employees and agents of the two parties for the purposes of discussing, drafting, signing, performing
and implementing the Contract and except that such confidential information has been made public or is required to be disclosed according to law; otherwise the disclosing party shall be liable for any economic losses sustained by the other party
therefrom. 
 12.23 During the lease term, Party A shall be liable for any losses caused to Party B by any of the following circumstances:

 a) force majeure, such as natural disasters; 
 b) thefts, hijacks or other crimes committed not due to Party A’s fault; 
 c) Party B or any
of its employees suffers any losses not as a result of Party A’s fault; 

 d) Party B modifies, reinforces or decorates the Premises; 
 e) Party B or any of its employees suffers losses as a result of the fault of other tenants. 
 12.24 The formation, validity, interpretation, performance and dispute settlement of the Contract shall be governed by the laws of the People’s Republic of China. 
 12.25 The Schedules and Appendices to the Contract are supplementation and revision of the relevant provisions of the Contract made by the two parties
hereto, and if there is any conflict between the Contract and the Schedules and Appendices, the Schedules and Appendices shall control. 
 12.26
Article 11-6 is supplemented as follows: 
 The Contract, including the Main Contract, the Supplemental Provisions, all Appendices and Schedules,
is made in four copies. The two parties shall each retain two copies, and all copies are equally authentic. 
 12.27 Other Supplemental
Provisions: 
 1) The air conditioning system provided by Party A shall be Toshiba Variable Refrigerant Volume Frequency Conversion Air
Conditioner, which can be controlled by Party B, and can operate round-the-clock and maintain the same temperature, but does not provide condensed water. Electricity meters have been installed at the time of delivery of the Premises, and electricity
charges shall be based on the meter readings. Party A agrees that Party B may install independent air conditioners if there is available space in the equipment room on the floors. 
 2) During the lease term or the extension period thereof, Party B shall have the pre-emptive right to lease the vacant units on Floors 8 and 12 under equal conditions. The lease price shall be determined
by the two parties through friendly consultations based on the then prevailing market rate, and the maximum increase shall not exceed 15% of the rental for the current lease period. 
 3) Starting from the lease commencement date, Party A shall provide free shuttle bus service from the Building to Lou Shan Guan Station, Line 2 Subway during the rush hour, but the service is not for the
exclusive use of Party B’s employees. The start time of the bus shall commence at the time Party B occupies the Premises, and the exact service hours are temporarily 8:10 to 9:00. 
 4) Party A can provide 80KVA for office area on each floor (excluding power for air conditioning), and Party A agrees that Party B may additionally install up to five 5 HP air-conditioning outdoor
machines; Party A can provide 380VA three-phase power supply to the server room. 

 5) Party B may enter and exit the Building 24x7 all year round; provided, however, that it complies with the
relevant property management rules. 
 6) Party A warrants that it owns the title to the Premises and has the right to lease the Premises to
Party B. Moreover, Party A has completed all necessary legal formalities and has the right to collect the rental and other charges under the Contract. Party A warrants that the construction quality of the Premises and the facilities and equipment
provided by Party A conform to the State’s regulatory standards concerning construction and environmental protection. 
 7) The Premises
shall be delivered as scheduled or ahead of the schedule after Party B has signed the formal Contract and paid the security deposit in an amount equal to three months’ rental and the property management fee. 

 Schedule 1 
 Part 1 
 1) The delivery date for floors 9 and 10 is May 4, 2009; Party A agrees
that Party B may deliver the Premises in advance after Party B obtains the approval from the competent authorities, and the delivery status of the Premises provision shall meet the national standard concerned and the property management fee and
other relevant expenses shall be charged from the actual delivery date of the Premises; 
 2) The delivery date for floor 11 shall not be later
than November 4, 2009. Party B shall notify Party A in writing of the actual delivery date of floor 11 one month in advance. 
 Starting
date of payment of rental: 
 1) September 4, 2009 for floors 9 & 10; 
 2) The first day following the rent-free period for floor 11. 
 Decoration period: 4 months in total. 
 1) Floors 9 &10: from May 4, 2009 to
September 3, 2009. 
 2) Floor 11: 4 months from the actual delivery date in total. 
 During the decoration period, Party B does not need to pay the rental, but it needs to pay the property management fee, the water, electricity and other
charges that arise directly in the other leased units. 
 Lease term: 5 years in total. 
 1) Floors 9 &10: from May 4, 2009 to September 3, 2014. 
 2) Floor 11: depending on the actual lease commencement date, but the termination date is September 3, 2014. 

 Rental-fee period: 2 months in total. 
 1) Date of rent-free period for floors 9 and 10: from September 4, 2009 to November 3, 2009. 
 2) Date of the rent-free period for floor 11: 2 months in total following the decoration period. 
 During the rent-free period, Party
B does not need to pay the rental. but it needs to pay the property management fee, the water, electricity and other charges that arise directly in the other leased units. 
 Part 2 
 Area of the leased Premises: The floor area of the
Premises is about 4,494 m2 (the specific area in the final
surveying and mapping report shall be referenced; please refer to Appendix 1 to this Contract.). 

 Schedule 2 
 Part 1 
 Rental: Party B, during the lease term, shall pay to Party A the monthly
rental of the Premises, but the rental for the first month shall be paid to Party A prior to the last day the rent-free period. 
 Rental for
floors 9 and 10:, the daily rental is RMB 4.00/Sq,M (excluding the property management fee) from November 4, 2009 to September 3, 2012. 4, the rental from September 4, 2012 to August 3, 2014 shall be determined by the two parties
through friendly consultations based on the then prevailing market rate, and the maximum increase shall not exceed 15% of the rental for the current lease period. 
 Rental for floor 11: the rental is RMB 4.00/Sq,M (excluding the property management fee) from the first day following the rent-free period to September 3, 2012, the rental from September 4, 2012
to September 3, 2014 shall be determined by the two parties through friendly consultations based on the then prevailing market rate, and the maximum increase shall not exceed 15% of the rental for the current lease period. 
 Part 2 
 Property management fee: the
monthly property management fee of the Premises is RMB20.00/Sq.M (excluding electricity for air conditioning). 
 Parking fees: Party A shall,
during the lease period, provide 10 parking spaces free of charge (including 1 reserved ground parking space, 4 ground vehicle parking spaces and 5 underground mechanical parking spaces). The monthly rental for each underground reserved parking
space is RMB1,500, the monthly rental for each underground mechanical space is RMB1,000. Temporary parking is charged by RMB10/hour/vehicle. Parking within 24 hours shall be charged by no more than RMB 80 (The specific parking spaces shall be
arranged by the property management company). 
 Other expenses: None 
 Part 3 
 Security deposit: equivalent to the sum of 3 months’ rental and 3
months’ property management fee of the Premises, i.e., RMB 1,909,950 (ONE MILLION AND NINE HUNDRED AND NINE THOUSAND AND NINE HUNDRED AND FIFTY). In accordance with the Letter of Intent of signed by and between Party A and Party B, the
lease deposit money of RMB 636,650 paid by Party B shall be automatically transferred as part of the security deposit. Party B shall pay the remaining part of the security deposit, i.e., RMB1,273,300 to Party A within three working days after
signing of the Contract. 

 Part 4 
 Method of payment: All payment which Party B makes to Party A under this Contract shall be paid in RMB into Party A’s bank account listed below, or be paid in another method which Party A notifies in
separate written notice. All bank handling fees that incur to Party B’s payments shall be covered by Party B. 
 Name of account: Shanghai
Dongfang Weijing Cultural Development Co., Ltd 
 Bank of deposit: Nanjing East Road No. 1 Branch, Industrial and Commercial Bank of China

 A/C account number: 1001234629 072132344 

 Schedule 3 
 Detailed information of Party A and Party B 
 Party A: Shanghai Dongfang Weijing
Cultural Development Co., Ltd. 
 Registered address: Building 10, No. 335 Xianxia Road, Changning District, Shanghai 
 Address for correspondence: Floor M, V-Capital Building, 333 Xianxia Road, Changning District, Shanghai 
 Legal representative: Zhu Junbo 
 TEL: 61671268

 FAX: 62287798 
 Party B: TeleNav
Information Technology (Shanghai) Co., Ltd. 
 Registered address: (Please provide) 
 Address for correspondence: (Please provide) 
 Legal representative: (Please provide) 

TEL: (Please provide) 
 FAX: (Please provide)

 Appendix 1 
 The floor plan of the Premises 
 

 

 Appendix 2 
 Scope of use, conditions and requirements for shared parts of the Premises 
  
  
 Both parties agree to delete this Appendix.

 Appendix 3 
 Status of current decoration, accessory facilities and equipment, and provisions for decorations and accessory facilities and equipment which Party B may undertake or add as agreed by Party A 

 
  
 Status of current decoration, attached facilities and equipment: 
 Party A shall provide Party B
with the following standard Premises items in accordance with the originally segmented standard units: 
 1. Ceiling: Mineral fiber suspended
ceiling, Panasonic light plate and energy-saving lighting; 
 2. Heating and ventilation equipment: Toshiba VRV air conditioning system and
independent fresh air system; 
 3. Fire control system: Smoke sensor and sprayer of standard configurations; 
 4. Floor: Raised floor board (50mm); 
 5. Wall
surface: Emulsion-painted walls (corridors and compartment separation walls); 
 6. Glass door; 
 7. Manual shutter. 

 Appendix 4 
 Property Ownership Certificate 
 Shanghai Fire Control Bureau

 Position Paper on Fire Control Acceptance Inspection of Construction Project 
 [2008] Hu Gong Xiao (Jian Yan) Zi Di No. 0308 
 Opinion on the Passing of Fire Control Acceptance Inspection of the V-Capital Building 
 Construction Project 
 Shanghai Dongfang Weijing Cultural Development Co., Ltd: 

This Bureau has received your fire control acceptance inspection application and relevant materials for the Oriental Virgin business
and office building which your unit has built at No. 333 Xianxia Road, Changning District, which has 25 floors above ground and 2 floors underground, with a height of 99.4m and a floor space of 48,265m2). This Bureau has examined the materials which you have submitted,
and dispatched personnel to make on-site sampling inspections on October 22, 2008. The construction project is found to basically meet the national specifications for fire control and the examination and verification requirements of this
Bureau. The specific status is as follows: 
  

	 	1.	The overall floor space layout, safety evacuation, fire control separation and interior decorations of the building are found to basically meet the requirements.

  

	 	2.	Sampling inspection of the automatic fire alarm system shows that the alarms and their ringing bell, the emergency broadcasting system and the anti-smoke and smoke
exhaust system basically function normally in a combined way. 

  

	 	3.	Test of the indoor and outdoor hydrant systems and automatic water spray and extinguishing systems shows that water supply is normal. 

  

	 	4.	Sampling inspection of the anti-smoke and smoke exhaust system shows that the system basically functions normally. 

  

	 	5.	The setup of fire safety evacuation signs basically meets the requirements of the relevant specifications. 

 Given the above situation, this Bureau concludes that your building has passed fire control acceptance inspection. However, to ensure safe use, your unit
shall adopt the following measures: 
  

	 	1.	The fire control room should be attended around the o’clock. The on-duty personnel shall be familiar with the operation of the relevant fire control facilities.
Fire control facilities shall be regularly maintained to ensure that they are always in good condition and ready for use. 

	 	2.	The current acceptance inspection of interior decorations only involves the public parts. In case that you change the use of the building which has undergone acceptance
inspection, you should handle the relevant fire control procedures with the Public Security and Fire Control Brigade of Changning District for the interior decoration part. 

  

	 	3.	You should connect your automatic fire alarm system with the Shanghai Automatic Urban Fire Alarm Information Center. 

 For daily fire control supervision work, please contact the Public Security and Fire Control Brigade of Changning District. 
 Shanghai Fire Control Bureau 
 November 5, 2008 
 CC: Public Security and Fire Control Brigade of Changning
District 

 Housing mortgage and land use rights mortgage have been set up. For detailed information,
refer to 
 the receipt numbered 200625405869. 
 May 25, 2006 
 The People’s Republic of China 
 Planning Permit for Construction Project 
 Serial Number: Hu Jian ( ) No. 
 Hu Chang Jian (2006) 05060410F01027 

In accordance with the provisions of Article 32 of the Urban Planning Law of the People’s Republic of China, it has been examined that the
current construction project meets the urban planning requirements and construction permission is hereby granted to it. 
 Certificate is hereby issued. 
 Urban Planning Administrative Bureau of Changning District 
 Issuing department: 
 Date: April 10, 2006 

 Planning permit for construction project: Hu Chang Jian (2006) 05060410F01027 Attachment
1 
 Construction Project List 
 Construction unit: Shanghai Oriental Virgin Cultural Development Co., Ltd 
 Address
of construction: No. 335 Xianxia Road, Changning District 
 Construction project: V-Capital Building 
  

													
	Name of Building	  	Structure  	  	Number of
Floors	  	Height	  	Number of
Buildings	  	Area (m2)	 	 Remarks

	Business and office building  	  	Frame
tube	  	25; 1 floor in  
 certain parts
	  	99.3m;
 6.75m in certain  
 parts
	  	1	  	48,265.42  	 	1. Include an underground floor space of 12,289.62 m2, and the underground floor space includes a public parking lot area of 2,164 m2.
	 	 	 		 	 	
	 	  	 	  	 	  	 	  	 	  	 	 	 2. Where sanitation requirements are involved, the relevant examination and verification requirements shall be strictly
followed.
  

	Enclosing wall	  	Length	  	 	  	Height	  	 	 
	 	 		 	 	
	Removed structures	  	Area	  	 	  	Structure  	  	 	 	3. Where the public parking lot is involved, please stay in touch with the district traffic department to strengthen administration and do not change its use.

 Items for compliance: 
 1. Construction must follow the drawing as verified and approved in the planning permit for construction project. In case of change of nature of use, floor space, height, structure or overall plan layout,
the construction unit must get permission the original permit-issuing department. 
 2. When coming across cultural relics, measurement signs or
pipelines are encountered in the foundation excavation process, the construction unit shall immediately report to the competent authorities for handling. 
 3. Within six months of collection of the current permit, the construction unit must start construction in accordance with the provisions. In case of late construction, an application for extension should
be lodged to the original issuing department. Where the extension application is not approved or construction fails to start by the set time, this permit shall automatically lost effect. 
 Issuing department: Urban Planning Administrative Bureau of Changning District (seal) 
 Date of
issuance: April 10, 2006 

 NO: 0155216 
  

			
	Construction unit	  	Shanghai Dongfang Weijing Cultural Development Co., Ltd
		
	Name of construction project	  	V-Capital Building
		
	Location of construction	  	No. 335 Xianxia Road, Changning District
		
	Construction size	  	Total floor space: 48,265.42M2 (including 12,289.62M2 underground)
	
	 Name of attached drawings and attachments
  
 1. Construction project list, 1 copy.
  
 2. Topographic map of construction project site, 1 copy.
  
 3. Overall layout plan of construction project, 1 copy.
  
 4. Construction drawings of construction project, 1 set.

 Items for compliance: 
 1. This permit is a legal voucher which is examined and verified by the administrative department for urban planning and permits the construction of various projects in the concerned urban planning area.

 2. Construction without this permit or not in compliance with the provisions of this permit shall be unlawful construction. 
 3. Without permission from the issuing department, all the provisions of this permit shall not be changed. 
 4. During the construction period of the construction project, the construction unit shall be under obligation to submit this permit for inspection in
accordance with the requirements of the administrative department for urban planning. 
 5. The issuing department shall specify, in accordance
with the law, the attached drawings and attachments needed for the permit, all of which shall carry the same legal effect as this permit. 

 Construction Project Completion Acceptance Inspection Filing Certificate 

Project number: 0501CN0005     
 Filing code: 2009SH0030            
 Shanghai Dongfang Weijing Cultural Development Co., Ltd: 
 Your application materials for project completion acceptance
inspection filing of V-Capital Building have been received. This department has examined your materials and found that they meet the filing requirements. Permission is hereby given to its filing. 
 Certificate is hereby issued. 
 Remarks: Areas
shall take the project completion acceptance inspection area as prevailing. 
 Filing department: Construction Industry Administrative Office of
Shanghai Municipality 
 Seal 
 Date:
February 3, 2009 
 Enclosure: Construction Project Completion Acceptance Inspection Filing Project Details List 

							
	Right holder	  	Shanghai Dongfang Weijing Cultural Development Co., Ltd
		
	Location of premises	  	Parcel 25/10, Neighborhood 152, Xianxia Xincun Street
			
	Status of land	  	Source of use right	  	Transfer
	  	Use	  	Office
	  	Land parcel number	  	Parcel 25/10, Neighborhood 152, Xianxia Xincun Street
	  	Area o land parcel	  	9043
	  	Term of use	  	June 15, 2004-June 14, 2005
	  	Total area	  	9,043.0
	  	Wherein:	  	Excusive used area	  	9,043.0
	  	  	Shared area	  	

					
			
	Status of premises	  	Building number	  	THE SPACE BELOW IS EMPTY.
	  	Room number or position	  	
	  	Floor space	  	
	  	Type	  	
	  	Use	  	
	  	Number of floors	  	
	  	Date of completion	  	
	
	Certificate-filling unit: Real Estate Registration Office of Changning District, Shanghai

 Unit of area: m2 

 Land parcel map 
 District (County): Changning District 
 Street: Xianxia Xincun Street 
 Neighborhood: Neighborhood 152 
 Land parcel
number: 25/10 
 Shanghai Housing and Land Resources Administration Bureau 

 I. Legal provisions for conditions for leasing of premises: 
 1. Relevant provisions of Regulations of Shanghai Municipality for the Leasing of Premises: 
 Article 6 The premises leasor shall be a natural person, a legal person or other organizations which owns the premises. However, the person who is appointed
to manage the premises in an entrusted capacity according to law or other right holders specified in law may also be a premises leasor. 
 Article 8 Premises which have any of the following instances shall not be leased: 
 (1) Premises which have not been registered
according to law to obtain an ownership right certificate, or which have no other proof of lawful ownership right; 
 (2) Premises are jointly
owned, and no written permission has been obtained from all the owners; 
 (3) Premises whose use has been changed, but such change must be
approved by the concerned department according to law, while no such approval has been obtained; 
 (4) Premises which have been appraised to be
dangerous premises; or 
 (5) Other situations where no leasing is allowed as specified in the laws or regulations. 
 Article 47 Where a leasor leases his/her premises which cannot be leased in breach of the provisions of Items (1), (3), (4) (or) (5) of Article 8
of the current Regulations, or the lessee sublets the premises which cannot be sublet in breach of the provisions of Article 30 of the current Regulations, the district/county department for real estate administration shall order him/her to make
rectification by the set time limit, confiscate his/her unlawful gains, and impose a fine of not greater than 1 time the lawful gains. 
 2.
Relevant provisions of The Opinions on the Implementation of the Regulations of Shanghai Municipality for the Leasing of Premises (I): 
 Article 4 The ownership right of the leased premises shall have been register according to law, and the owner has obtained the real estate property right certificate (including premises ownership right
certificate, the same shall apply below). Premises which have been completed but have not obtained the real estate property right certificate can still be leased if they have the following certifying documents of ownership right: 

 

	 	(1)	For non-residential premises: Rural House Site Use Certificate of Shanghai Municipality for residential premises on collectively-owned land; and land use
approval document and premises construction document; 

	 	(2)	For commodity houses purchased by units or individuals: commodity house presales contact, pre-sale commodity house handover document or commodity house sales contract,
and receipt of payment; 

  

	 	(3)	For premises built by units (except for commodity houses built by real estate development enterprises): Real estate property right certificate (land use right
certificate) registered according to law along with the land use right or construction land use approval document, planning permit to construction project and proof of passing of project completion acceptance inspection. For residential premise,
there must be a Delivery and User Permit of Shanghai Municipality for Newly-Built Commodity Residential Houses; 

  

	 	(4)	For structures and underground structures built by units: planning permit for construction project, construction permit for construction project, and certificate of
pass of project completion acceptance inspection; 

  

	 	(5)	For temporary construction projects: Temporary land use approval document, planning permit for temporary construction project, construction permit

 II. Conditions for leasing of premises when no real estate property right certificate has not been issued: 

1. Generally speaking, in accordance with the provisions of Articles 6, 8 and 47 of the Regulations of Shanghai Municipality for the Leasing of
Premises, premises can only be leased when the premises leasor is a natural person, a legal person or another organization which owns the premises and after the said premises has been registered according to law and a real estate property right
certificate has been obtained for it. Because V-Capital Building which is built by Shanghai Oriental Virgin Cultural Development Co., Ltd itself has not been completed at present, Shanghai Oriental Virgin Cultural Development Co., Ltd. has not gone
to the real estate registration department to handle the premise ownership right registration for it. Consequently, no real estate property right certificate has yet been obtained for the building. 
 2. However, in accordance with the provisions of Article 4 of The Opinions on the Implementation of the Regulations of Shanghai Municipality for the
Leasing of Premises (I), premises for which no real estate property right certificate has been obtained can still be leased provided that it has the following proof documents of ownership right: (1) Real estate right certificate (land use
right certificate) lawfully registered with the land use right, or construction land approval document; (2) planning permit for construction project; and (3) proof of pass of project completion acceptance inspection. The aforementioned
three certificates are all indispensable. Otherwise, the concerned premises cannot be leased. In accordance with the provisions of the aforementioned regulations, the district/county administrative department for real estate shall order those who
breach the rules w to make rectification by the set time limit, confiscate their unlawful gains, and impose a fine of not greater than 1 time the lawful gains. 

			
	 Leasor (Party A):
  
 Shanghai Dongfang Weijing Cultural Development Co., Ltd
	 	 Leasee (Party B):
  
 TeleNav Information Technology (Shanghai) Co., Ltd.

		
	 Nationality: China
 Legal
representative:
 Registration certificate/ID :
 Address:
 No. 333 Xianxia Road, Shanghai
	 	 Nationality:
 Legal
representative:
 Registration certificate/ID:
 Address:

		
	 Postal code: 200336
 Tel:
 Authorized agent:
 Signature & seal:
 Date of signing: 2009-04-28
 Place of signing: Shanghai
	 	 Postal code:
 Tel:

Authorized agent:
 Signature & seal:
/s/Illegible
 Date of signing: 2009-04-28
 Place of signing: Shanghai

  
  
 Name of brokerage agency: 
 Name of broker:

 Broker’s qualification certificate number:

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00166-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00166-of-00352.parquet"}]]