Document:

Exhibit 4.1

       

        

    

    
      
        CONFIDENTIAL

            

      

      TRUE00DATED 3 JULY 2019

       

      (1) TPG LUX 2018 SC I, S.A.R.L.

       

      (2) ABC TECHNOLOGIES B.V.

       

      (3) ICTS INTERNATIONAL N.V.

       

      	 
	
              SERIES A PREFERRED SHARES 

              SUBSCRIPTION AGREEMENT RELATING TO 

              ABC TECHNOLOGIES B.V.

            
	 

       

      

       

      160 Queen Victoria Street

        London EC4V 4QQ, UK

        Tel:  +44 (0) 20 7184 7000

        Fax:  +44 (0) 20 7184 7001

      
        
          

      

      
       TABLE OF CONTENTS

      
          
          	 	 	Page
	 	 	 
	
                  1.

                	
                  DEFINITIONS

                	
                  1

                
	
                  2.

                	
                  INTERPRETATION

                	
                  11

                
	
                  3.

                	
                  SUBSCRIPTION

                	
                  12

                
	
                  4.

                	
                  COMPLETION

                	
                  13

                
	
                  5.

                	
                  ISSUE OF FURTHER PREFERRED SHARES

                	
                  13

                
	6.	
                  APPLICATION OF SUBSCRIPTION MONIES

                     

                	14 

                
	7.

                   	
                  WARRANTIES

                	 15
	8.

                   	
                  LIMITATIONS ON CLAIMS

                      

                	 18
	9.

                   	
                  CONFIDENTIALITY; SUBSIDIARY COVENANTS

                	 20
	10.	
                  ANNOUNCEMENTS

                	 20
	11.	
                  COSTS AND EXPENSES; PAYMENTS

                	 23
	12.	
                  CUMULATIVE REMEDIES

                      

                	 24
	13.	
                  WAIVER

                	 24
	14.	
                  ENTIRE AGREEMENT

                	 24
	15.	
                  VARIATION

                	 24
	16.	
                  NO PARTNERSHIP

                	 25
	17.	
                  ASSIGNMENT AND TRANSFER

                	 25
	18.	
                  RIGHTS OF THIRD PARTIES

                	 25
	19.	
                  COUNTERPARTS; NO ORIGINALS

                	 26
	20.	
                  NOTICES

                	 26
	21.	
                  SEVERANCE

                	 26
	22.	
                  GOVERNING LAW

                	 28
	23.	
                  JURISDICTION

                	
                   28

                

          

          

          
            ii

            
              

          

           

        

      

      THIS SERIES A PREFERRED SHARES SUBSCRIPTION AGREEMENT (this “Agreement”) is made on 3 July 2019

       

      AMONG:

       

      
        
          	(1)	
                  TPG LUX 2018 SC I, S.A.R.L., whose registered office is 5C, rue Eugene Ruppert, L-2453 Luxembourg R.C.S., Luxembourg B222875 (the “Investor”);

                

        

      

       

      
        
          	(2)	
                  ABC TECHNOLOGIES B.V. (trade register number 72273917 incorporated under the laws of the Netherlands) whose official seat (statutaire zetel) is at
                    Amstelveen, the Netherlands and place of business is at Walaardt Sacrestraat 425-5, 1117 BM Schiphol, the Netherlands (the “Company”); and

                

        

      

       

      
        
          	(3)	
                  ICTS INTERNATIONAL N.V. (trade register number 33279300 incorporated under the laws of the Netherlands) whose official seat (statutaire zetel) is at
                    Amstelveen, the Netherlands and place of business is at Walaardt Sacrestraat 425-5, 1117 BM Schiphol, the Netherlands (the “Warrantor”).

                

        

      

       

      INTRODUCTION

       

      
        
          	(A)	
                  The Company is a private company with limited liability, brief particulars of which are set out in Schedule 2.

                

        

      

       

      
        
          	(B)	
                  Details of the legal and beneficial ownership of the share capital of the Company as at the date of this Agreement and immediately following Completion (as defined below) are set out in Parts 1 and 2 of Schedule 3, respectively.

                

        

      

       

      
        
          	(C)	
                  The Investor wishes to subscribe for and the Company wishes to issue to the Investor new preferred shares in the capital of the Company at Completion on and subject to the terms of this Agreement.

                

        

      

       

      
        
          	(D)	
                  The Company shall amend and restate in its entirety the Company’s articles of association (the “Articles”) pursuant to the Deed of Amendment (as defined below) prior to Completion.

                

        

      

       

      AGREED TERMS

       

      
        
          	1.	
                  DEFINITIONS

                

        

      

       

      In this Agreement, except where a different interpretation is necessary in the context, the words and expressions set out below shall have the following meanings:

       

      	
              “Accounts”

            	
              means (a) the unaudited balance sheet and profit and loss statement of the Company, AU10TIX B.V., Au10tix Limited, and Mitm-Advanced Specialized Technological Systems Ltd. as at the
                Accounts Date and (b) the audited balance sheet as at the Accounts Date and the audited profit and loss account and audited cash flow statements for the twelve (12)-month period ended on the Accounts Date of 10 Tix Advanced Authentication
                and Identification Systems Ltd., copies of which are contained in the Data Room;

               

              

            

      

      

      

      

      

      

      

      

      

      

      
        
          

      

      
      	
              “Accounts Date”

            	
              means 31 December 2018;

               

              

            
	
              “Additional New Shares”

            	
              has the meaning given to it in clause 5.1;

               

              

            
	
              “Affiliate”

            	
              means: (a) with respect to any person, any other person who, directly or indirectly, controls, is controlled by, or is under common control with such first person,
                including, without limitation, any general partner, managing member, officer or director of such person or any venture capital or other fund now or hereafter existing that is controlled by one or more general partners or managing members
                of, or shares the same management or advisory company with, such person; and (b) with respect to Warrantor, each person described in clause (a) of this definition and any other person who, directly or indirectly, controls, is controlled by,
                or is under common control with Warrantor or any family member of the majority shareholder of Warrantor or any of its directors or officers, including, without limitation, any general partner, managing member, officer or director of such
                person or any venture capital or other fund now or hereafter existing that is controlled by one or more general partners or managing members of, or shares the same management or advisory company with, such person;

               

              

            
	
              “Board”

            	
              means the board of directors of the Company as constituted from time to time;

               

              

            
	
              “Business Day”

            	
              means any day other than (a) a Friday, Saturday or a Sunday or (b) a public or bank holiday in Amsterdam, Tel Aviv or London; provided, however, for purposes of
                counting the number of Business Days elapsed, each Business Day shall be deemed to commence at 9.00 am London time and end at 5.30 pm London time on the applicable day;

               

              

            
	
              “CIT Fiscal Unity”

            	
              means the fiscal unity (fiscale eenheid) for Dutch corporate income tax (vennootschapsbelasting)
                purposes between the CIT Fiscal Unity Parent Company and the Company in place immediately prior to Completion;

               

              

            
	
              “CIT Fiscal Unit Parent Company”

            	
              means the Warrantor, in its capacity as parent company (moedermaatschappij) of the CIT Fiscal Unity;

               

              

            
	
              “Claim”

            	
              means any claim(s) against the Warrantor for breach of any Warranty;

               

              

            
	
              “Completion”

            	
              means completion by the parties of their respective obligations in accordance with clause 4 and Schedule 4 in respect of the Investor’s subscription for the New
                Preferred Shares;

               

              

            
	
              “Completion Date”

            	
              means the date upon which Completion occurs;

               

              

            

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      
        2

        
          

      

      

      

      	
              “Confidential Information”

            	
              has the meaning giving to it in clause 10.4;

               

              

            
	
              “Consideration”

            	
              has the meaning given to it in clause 3.1;

               

              

            
	
              “Constitutional Documents”

            	
              has the meaning given to it in paragraph 2.3 of Schedule 5;

               

              

            
	
              “Consultants”

            	
              has the meaning given to it in paragraph 15.1 of Schedule 5;

               

              

            
	
              “Cut-Off Date”

            	
              means 30 June 2019;

               

              

            
	
              “Data Room”

            	
              means the electronic data room continuously made available by the Company to the Investor in connection with the transactions contemplated by this Agreement from 1
                June 2019 through and including the Completion Date and containing those documents, agreements and other matters listed in the Data Room Index and recorded on a DVD or USB memory stick, one copy of which the Company shall retain and another
                copy of which the Company shall deliver to the Investor on the Completion Date;

               

              

            
	
              “Data Room Index”

            	
              means the index (in the form annexed to the Disclosure Letter) of documents, agreements and other matters contained in the Data Room;

               

              

            
	
              “Deed of Amendment”

            	
              means the notarial instrument pursuant to which the Articles are amended and readopted, to be executed before the ND Notary, substantially in the form set out in
                Schedule 1, as amended or superseded in accordance with its terms from time to time;

               

              

            
	
              “Disclosed”

            	
              means fairly disclosed in the Data Room and/or the Disclosure Letter with sufficient detail to enable a reasonable investor to identify the nature and scope of the
                fact, matter, event or circumstance disclosed;

               

              

            
	
              “Disclosure Letter”

            	
              means the letter from the Warrantor to the Investor dated on the date of this Agreement, relating to the Warranties;

               

              

            
	
              “Dutch CITA”

            	
              means the Dutch Corporate Income Tax Act (Wet op de vennootschapsbelasting 1969);

               

              

            
	
              “Dutch Group Company”

            	
              means a Group Company which is resident in the Netherlands for tax purposes;

               

              

            
	
              “Employee”

            	
              means any individual who is currently employed by any Group Company;

               

              

            
	
              “Employment Dispute”

            	
              has the meaning given to it in paragraph 15.16.4 of Schedule 5;

               

              

            
	
              “Encumbrance”

            	
              means any mortgage, charge, security interest, lien, pledge, assignment by way of security, right of pre-emption, or other form of security, encumbrance or third party
                right or interest or restriction over or in respect of use or transfer other than liens arising by operation of law;

               

              

            

      

      

      

      

      

        

          

            

              

              

                

                

                  

                  

                    

                    

                      

                      

                      

                      

                      

                      

                        

                          

                        

                        

                      

                      

                    

                    
                      3

                      
                        

                    

                  

                  

                

              

            

          

        

      

      	
              “Environmental Claims”

            	
              has the meaning given to it in paragraph 11 of Schedule 5;

               

              

            
	
              “Environmental Laws”

            	
              means applicable laws, regulations, codes of practice and other similar controls and advice made or issued by a national or local government or by any other regulatory
                body and having the force of law relating to the protection of the environment and human health and safety (other than worker health and safety, except as applicable to exposure to hazardous or toxic substances), including the prevention of
                pollution of any land, water or air or nuisance due to the release, escape or other emission of any substance;

               

              

            
	
              “Excess New Shares”

            	
              has the meaning given to it in clause 5.4;

               

              

            
	
              “Excess New Shares Letter Agreement”

            	
              has the meaning given to it in clause 5.4;

               

              

            
	
              “Excess New Shares Purchaser”

            	
              has the meaning given to it in clause 5.4;

               

              

            
	
              “Excess New Shares Shortfall Amount Per Share”

            	
              has the meaning given to it in clause 5.4;

                

              

            
	
              “Existing Ordinary Shares”

            	
              has the meaning given to it in clause 5.1;

               

              

            
	
              “Final Resolutions”

            	
              means the written resolutions of the general meeting of Company in the agreed form to resolve to approve (a) the appointment of each of Menachem Atzmon, Ron Atzmon and
                Arun Agarwal as a director of the Company and (b) the Share Premium Distribution to the Warrantor, all in effect as of, and subject to, Completion;

               

              

            
	
              “First Deed of Issuance”

            	
              means the notarial instrument in the agreed form pursuant to which the New Ordinary Shares will be issued to the Warrantor, to be executed before the Notary in the
                Netherlands;

               

              

            
	
              “Former Employee”

            	
              means any person who was previously an employee of any member of the Group and whose employment has terminated in the two (2)-year period ending on the Completion
                Date;

               

              

            
	
              “Fundamental Claim”

            	
              means any claim by the Investor for breach of any of the Fundamental Warranties;

               

              

            
	
              “Fundamental Warranties”

            	
              means the warranties of the Company set out in paragraph 1 of Schedule 5;

               

              

            

      

      

      

      

      

        

        

        

        

        

        

        

        

        

        

        

        

        

        

        

        

        

        

        

        

        

        

        

        

        

        

        

        

        

        
          4

          
            

        

      

      	
              “General Warranties”

            	
              means the Warranties other than the Fundamental Warranties, the Specified Warranties and the Tax Warranties;

               

              

            
	
              “General Warranties Claim”

            	
              means any claim by the Investor for breach of any of the General Warranties;

                

              

            
	
              “Group”

            	
              means together the Company and the Subsidiaries and each a “Group Company”;

               

              

            
	
              “Indebtedness”

            	
              with respect to a person and as of a specific date, means without duplication, the principal, accreted value, accrued and unpaid interest, prepayment and redemption
                premiums or penalties (including breakage costs, penalties and fees), if any, unpaid fees or expenses and other monetary obligations as of such time in respect of (a) all indebtedness of such person for borrowed money, (b) any other
                indebtedness of such person which is evidenced by a note, bond, debenture or similar instrument or commercial paper (including a purchase money obligation), (c) all deferred obligations of such person to reimburse any bank or other person
                in respect of amounts paid or advanced under a letter of credit, surety bond, performance bond or other similar instrument, (d) all indebtedness of others guaranteed, directly or indirectly, by such person or as to which such person has an
                obligation (contingent or otherwise) that is substantially the economic equivalent of a guarantee, (e) all obligations of such person under financing or capital leases, (f) all indebtedness of others secured by (or for which the holder of
                such obligation has an existing right, contingent or otherwise, to be secured by) any Encumbrance on any property or assets of such person (whether or not such obligation is assumed by such person), and (g) the aggregate net liability
                pursuant to any derivative instruments, including any interest rate or currency swaps, caps, collars, options, futures or purchase or repurchase obligations, or other similar derivative instruments;

               

              

            
	
              “Initial Resolutions”

            	
              means the written resolutions of the general meeting of Company in the agreed form to resolve to amend the Articles in accordance with the Deed of Amendment;

               

              

            
	
              “Intellectual Property”

            	
              means all intellectual or industrial property rights (whether statutory, common law, or otherwise), including all such rights in: (a) all patents, utility models, and
                patent and utility model applications, together with all reissuances, divisionals, continuations, continuations-in-part, revisions, substitutions, provisionals, renewals, extensions, and re-examinations thereof; (b) all trademarks, service
                marks, logos, trade names, brand names, corporate names, rights in trade dress, trade styles, and other identifiers indicating the business or source of goods or services, and other indicia of commercial source or origin (whether
                registered, arising under common law or statutory law, or otherwise), and all registrations and applications to register, and renewals and extensions of, any of the foregoing, and all goodwill associated with any of the foregoing; (c) all
                trade secrets, confidential information and other non-public or proprietary information (whether or not patentable), including ideas, formulas, technology, algorithms, compositions, inventor's notes, discoveries and improvements, know-how,
                processes, techniques, testing information, research and development information, inventions, invention disclosures, unpatented blueprints, drawings, specifications, designs, plans, proposals and technical data, business and marketing
                plans, market surveys, market know-how and customer lists and information (collectively, “Trade Secrets”); (d) all copyrights and copyrightable works, and all database rights, whether or not
                registered or published, including all data compilations, "moral" rights, and mask works, and all registrations and applications to register, and renewals, extensions and reversions of, any of the foregoing, and corresponding rights in
                works of authorship; (e) all design rights (including industrial designs), and all registrations and applications to register, and renewals and extensions of, any of the foregoing; (f) all Internet domain names, electronic Internet
                addresses, uniform resource locators and alphanumeric designations associated therewith and all registrations for any of the foregoing, and all social media accounts; (g) all other intellectual and industrial property rights arising from
                Software and technology; and (h) any and all similar, corresponding or equivalent intellectual, industrial or proprietary rights anywhere in the world;

               

              

            

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      
        5

        
          

      

      

      

      	
              “Investor Due Diligence Reports”

            	
              means, collectively, (a) the draft Legal Due Diligence Report prepared by Weil, Gotshal & Manges LLP, dated 21 June 2019, (b) the draft Project Identity Red Flag
                Financial Due Diligence Report prepared by Deloitte & Touche LLP, dated 25 June 2019, (c) the draft Project Affluence Due Diligence Findings prepared by Deloitte & Touche LLP, 17 June 2019, and (d) the Project Affluence Due
                Diligence Findings Report, prepared by Ernst & Young LLP, dated 6 June 2019;

               

              

            
	
              “Investor Knowledge Parties”

            	
              has the meaning given to it in clause 7.7;

               

              

            
	
              “Israeli Subsidiaries”

            	
              means, collectively, (a) Mitm-Advanced Specialized Technological Systems Ltd. and (b)
                10 Tix Advanced Authentication and Identification Systems Ltd.;

               

              

            
	
              “IT Systems”

            	
              means all computer systems, information technology (“IT”) networks, hardware, Software, databases, websites, and IT equipment
                used to process, store, maintain and operate data, information and functions used in connection with the business of each Group Company;

               

              

            
	
              “Licensed-In IPR”

            	
              has the meaning given to it in paragraph 12.3 of Schedule 5;

               

              

            
	
              “Licenses-In”

            	
              has the meaning given to it in paragraph 12.3 of Schedule 5;

               

              

            

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      
        6

        
          

      

      

      

      	
              “Licenses-Out”

            	
              has the meaning given to it in paragraph 12.11 of Schedule 5;

               

              

            
	
              “Management Accounts”

            	
              means the unaudited balance sheet accounts and the unaudited profit and loss accounts of the Group (other than the Company) as of 31 March 2019 and for the period
                starting on 1 January 2019 and ending on 31 March 2019 contained in the Data Room;

               

              

            
	“Material Contract”	
              means any agreement or arrangement to which any Group Company is party or is bound and which:

               

              

            
	
              

              

            	(a) 

            	
              involves or is likely to involve expenditure by any Group Company in excess of US$100,000 per annum or aggregate consideration
                  payable by or to any Group Company in excess of US$100,000 per annum;

               

                

            
	 	(b) 

            	
              cannot be performed within its terms within twelve (12) months after the date on which it is entered into or undertaken or cannot
                  be terminated on less than twelve (12) months’ notice;

               

                

            
	 	(c) 

            	
              restricts the ability of any Group Company to carry on its business in the ordinary course in any material respect;

               

              

            
	 	(d) 

            	
              is with a Significant Customer or a Significant Supplier;

               

              

            
	 	(e) 

            	
              relates to any Indebtedness owed by any Group Company;

               

              

            
	 	(f)	
              relates to any grant of equity, equity-linked or convertible securities;

               

              

            
	 	(g) 

            	
              provides for any commission, profit sharing, bonus or incentive arrangements (including on a change of control), severance or redundancy terms and benefits; or

               

              

            
	 	(h)	
              is with any person that is an Affiliate of any Group Company;

               

              

            
	
              “New Ordinary Shares”

            	
              means 9,400,000 Ordinary Shares, to be issued to the Warrantor pursuant to the First Deed of Issuance;

               

              

            
	
              “New Preferred Shares”

            	
              means 3,000,000 Preferred Shares, to be subscribed for by the Investor pursuant to clause 3.1;

               

              

            
	
              “Notary”

            	
              means R. van Bork, civil law notary in Amsterdam, the Netherlands, or any other civil law notary associated with Loyens & Loeff N.V., or his deputy;

               

              

            
	
              “ND Notary”

            	
              means any civil law notary (notaris) of NautaDutilh N.V., or any of its deputies;

               

              

            
	
              “Notice”

            	
              has the meaning given to it in clause 21.1;

               

              

            

      

      

      

      

      

        

        

        

        

        

        

        

        

        

        

        

        

        

        

          

          

          

          

          

          

          

          

          

          

          

          

          

            

            

              

            

            
              7

              
                

            

          

        

        

      

      	
              “Open Source Software”

            	
              means any Software that contains, or is derived in whole or in part from, any Software that is generally available in source code form and that is distributed under a
                license which, by its terms, (a) does not prohibit licensees of such Software from licensing or otherwise distributing such Software in source code form, (b) does not prohibit licensees of such Software from making modifications thereof,
                and (c) does not require a royalty or other payment for the licensing or other distribution, or the modification, of such Software (other than a reasonable charge to compensate the provider for the cost of providing a copy thereof),
                including but not limited to Software distributed under such licenses as the GNU General Public License, the GNU Lesser General Public License, the BSD License, the MIT License, the Mozilla Public License, the Apache License, the Common
                Public License and any other licenses approved as Open Source licenses under the Open Source Definition of the Open Source Initiative (see https://opensource.org/osd and http://opensource.org/licenses/alphabetical);

               

              

            
	
              “Option Plan”

            	
              means the Au10tix Limited 2015 Stock Option Plan;

               

              

            
	
              “Ordinary Shares”

            	
              means ordinary shares with a nominal value of US$0.001 each in the capital of the Company having the rights set out in the Deed of Amendment;

               

              

            
	
              “Owned IPR”

            	
              means all Intellectual Property owned or purported to be Owned by any Group Company;

               

              

            
	
              “Payoff Amount”

            	
              has the meaning given it to in in paragraph 1.9 of part 1 of Schedule 4;

               

              

            
	
              “Payoff Letter”

            	
              has the meaning given it to in in paragraph 1.9 of part 1 of Schedule 4;

               

              

            
	
              “Pension Schemes”

            	
              means the pension schemes operated and/or maintained by any Group Company Disclosed in the Disclosure Letter and/or the Data Room;

               

              

            
	
              “Permits”

            	
              has the meaning given to it in paragraph 2.6 of Schedule 5;

               

              

            
	
              “Personal Information”

            	
              means, in addition to any definition for any similar term (e.g., “personally identifiable information” or “PII”) provided by applicable law, or by the Company in any
                of its privacy policies or notices, contracts or other public-facing statements, all information, in any form, regarding or capable of being associated with or identifying, directly or indirectly, an individual person, including information
                that identifies, could be used to identify or is otherwise identifiable with an individual. Personal Information may relate to any individual, including a current, prospective, or former customer or employee of any person, and includes
                information in any form or media, whether paper, electronic, or otherwise;

               

              

            

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      
        8

        
          

      

      	
              “Policy”

            	
              has the meaning given to it in clause 8.15;

               

              

            
	
              “Privacy Laws”

            	
              means any and all applicable laws (including of any applicable foreign jurisdiction) relating to data privacy, data security and Personal Information, including with
                respect to the receipt, collection, compilation, use, storage, processing, sharing, safeguarding, security, disposal, destruction, disclosure or transfer (including cross-border) of Personal Information, including (to the extent applicable)
                the Federal Trade Commission Act, Payment Card Industry Data Security Standard (PCI-DSS), Controlling the Assault of Non-Solicited Pornography and Marketing (CAN-SPAM) Act, Telephone Consumer Protection Act (TCPA), General Data Protection
                Regulation, Regulation 2016/679/EU on the protection of natural persons with regard to the processing of personal data and on the free movement of such data (GDPR), and any and all applicable laws governing breach notification in connection
                with Personal Information;

               

              

            
	
              “Preferred Shares”

            	
              means the Series A preferred shares with a nominal value of $0.001 each in the capital of the Company having the rights set out in the Deed of Amendment;

               

              

            
	
              “Property”

            	
              has the meaning given to it in paragraph 10.1 of Schedule 5;

               

              

            
	
              “Registered IPR”

            	
              has the meaning given to it in paragraph 12.2 of Schedule 5;

               

              

            
	
              “Registration Rights Agreement”

            	
              means the registration rights agreement to be entered into among the Investor, the Company, the Warrantor and the other parties thereto (if any) at Completion;

               

              

            
	
              “Relief”

            	
              means any loss, depreciation, allowance, amortisation, credit, relief, exemption, deduction or set-off or other relief of a similar nature granted by or available in
                relation to Tax, and any right to a repayment of Tax;

               

              

            
	
              “Remaining Subscription Monies”

            	
              has the meaning given to it in clause 6.2.2;

               

              

            
	
              “Second Deed of Issuance”

            	
              means the notarial instrument in the agreed form pursuant to which the New Preferred Shares will be issued to the Investor, to be executed before the Notary in the
                Netherlands;

               

              

            
	
              “Securities Act”

            	
              has the meaning given to it in clause 7.8.6(b);

               

              

            
	
              “Senior Employee”

            	
              means any employee of a Group Company whose total remuneration in the twelve (12)-month period ending on the Completion Date exceeded US$100,000 (or the local currency
                equivalent);

               

              

            
	
              “Share Premium Distribution”

            	
              the distribution of share premium in the aggregate amount of US$12,289,780 to be made by the Company to the Warrantor, subject to and with effect from Completion (of
                which (a) an aggregate amount equal to US$5,852,774 shall be distributed in cash to the Warrantor and (b) an aggregate amount equal to US$6,437,006 shall be used for accounting purposes (and not distributed in cash) to retire an existing
                debt obligation owed by the Warrantor to the Company);

               

              

            

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

        

        

        

        

        

        

        

        

        

        

        

        

        

        

        
          9

          
            

        

        

        

        

      

      	
              “Shareholders Agreement”

            	
              means the shareholders agreement, dated on or around the Completion Date, among the Warrantor, the Investor and the Company and the other parties thereto, if any, as
                varied or amended in accordance with its terms from time to time;

               

              

            
	
              “Shares”

            	
              means the Ordinary Shares and the Preferred Shares;

               

              

            
	
              “Significant Customer”

            	
              has the meaning given to it in paragraph 9.13 of Schedule 5;

                

              

            
	
              “Significant Supplier”

            	
              has the meaning given to it in paragraph 9.14 of Schedule 5;

                

              

            
	
              “Software”

            	
              means all computer programs, firmware, software and computer code (whether in source code, object code or any other form) and software and computer algorithms;

                

              

            
	
              “Specified Warranties Claim”

            	
              means any claim by the Investor for breach of any of the Specified Warranties;

                

              

            
	
              “Specified Warranties”

            	
              means the warranties of the Company set out in paragraphs 9.6 to 9.7 (inclusive) and 12 of Schedule 5;

               

              

            
	
              “Starting Percentage”

            	
              has the meaning given to it in clause 3.1;

               

              

            
	
              “Subsequent Resolutions”

            	
              means the written resolutions of the Board in the agreed form to resolve to approve the issue of the New Preferred Shares to the Investor pursuant to the Second Deed
                of Issuance and to issue the New Ordinary Shares to the Warrantor pursuant to the First Deed of Issuance, all in effect as of, and subject to, Completion;

               

              

            
	
              “Subsidiaries”

            	
              means all those companies whose details are set out in Part 2 of Schedule 2;

               

              

            
	
              “Tax” or “Taxation”

            	
              means: (a) all forms of taxation and statutory, governmental, state, provincial, local governmental, federal or municipal impositions, duties, withholdings, charges,
                contributions and levies and imposts of any country of jurisdiction, in each case imposed or assessed by and payable to or collected by any Tax Authority, whether direct or indirect and whether chargeable directly or primarily against or
                attributable directly or primarily to the Company or any other person; (b) any liability for repayment of unlawful state aid in relation to the liabilities of the type described under (a) above; or (c) all penalties, charges, surcharges and
                interest relating to any of the liabilities of the type described under (a) and (b) above;

                

              

            

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

      

        

        

        

        

        

        

        

        

        

        

        

        

        

        

        

        

        

        

        

        

        
          10

          
            

        

        

        

        

      

      	
              “Tax Authority”

            	
              means the Dutch Tax office (Belastingdienst) and any other statutory, governmental, state, provincial or local governmental
                authority, body, court or tribunal whatsoever (whether of the Netherlands or elsewhere in the world) competent to impose, administer or collect any Taxation;

               

              

            
	
              “Tax Claim”

            	
              means any claim by the Investor for breach of any of the Tax Warranties;

               

              

            
	
              “Tax Warranties”

            	
              means the Warranties contained in paragraph 8 of Schedule 5;

               

              

            
	
              “Transaction Documents”

            	
              means this Agreement, the Disclosure Letter, the Shareholders Agreement, the Deed of Amendment, the First Deed of Issuance, the Second Deed of Issuance, the
                Registration Rights Agreement and any other documents to be entered into pursuant to this Agreement;

               

              

            
	
              “VAT”

            	
              (a) within the European Union, such Tax as may be levied in accordance with (but subject to derogations from) the European Council Directive 2006/112/EC and (b)
                outside the European Union, any Tax levied by reference to added value, sales and/or consumption;

               

              

            
	
              “VAT Fiscal Unity”

            	
              means the fiscal unity (fiscale eenheid) for Dutch VAT (omzetbelasting) purposes in
                which Au10tix B.V. is included as at Completion; and

               

              

            
	
              “Warranties”

            	
              means the warranties of the Warrantor set out in Schedule 5.

            
	 	 

      
        
          	 
                  2.

                	
                  INTERPRETATION

                

        

      

       

      
        
          	2.1	
                  Words and expressions which are defined in the Deed of Amendment shall have the meanings attributed to them therein when used in this Agreement unless otherwise defined or the context otherwise requires.

                

        

      

       

      
        
          	2.2	
                  The clause and paragraph headings and the table of contents used in this Agreement are inserted for ease of reference only and shall not affect construction.

                

        

      

       

      
        
          	2.3	
                  References to “person(s)” shall include any individual, bodies corporate, unincorporated associations, partnerships, limited liability company, firm, joint venture, association, joint-stock
                    company, trust, unincorporated organization, governmental authority or regulatory body or other entity, in each case whether or not having a separate legal personality.

                

        

      

       

      
        
          	2.4	
                  References to those of the parties that are individuals include their respective legal personal representatives.

                

        

      

       

      
        
          	2.5	
                  References to documents in the “agreed form” are documents in the form agreed by the parties and initialled by or on behalf of them for identification.

                

        

      

       

      
        
          	2.6	
                  References to “writing” or “written” includes any other non-transitory form of visible reproduction of words.

                

        

      

       

      
        11

        
          

      

      
        
          	2.7	
                  References to the word “include” or “including” (or any similar term) are not to be construed as implying any limitation and general words introduced by
                    the word “other” (or any similar term) shall not be given a restrictive meaning by reason of the fact that they are preceded or followed by words indicating a particular class of acts, matters or
                    things.

                

        

      

       

      
        
          	2.8	
                  Except where the context specifically requires otherwise, words importing one gender shall be treated as importing any gender, words importing individuals shall be treated as importing corporations and vice versa, words importing the
                    singular shall be treated as importing the plural and vice versa, and words importing the whole shall be treated as including a reference to any part thereof.

                

        

      

       

      
        
          	2.9	
                  Except where a different interpretation is necessary from the context, references to clauses, sub-paragraphs, definitions, Parts and Schedules in this Agreement shall be deemed to be references to clauses, sub-paragraphs,
                    definitions, Parts and Schedules, as applicable, of this Agreement; and references to this Agreement shall include the Schedules to this Agreement.

                

        

      

       

      
        
          	2.10	
                  References to statutory provisions, enactments or EC Directives shall include references to any amendment, modification, extension, consolidation, replacement or re-enactment of any such provision, enactment or EC Directive (whether
                    before or after the date of this Agreement), to any previous enactment which has been replaced or amended and to any regulation, instrument or order or other subordinate legislation made under such provision, enactment or EC Directive
                    unless any such change imposes upon any party any liabilities or obligations which are more onerous than as at the date of this Agreement.

                

        

      

       

      
        
          	2.11	
                  Section 10a paragraph 4 of the Dutch CITA shall apply to determine whether one person is connected with another for the purposes of this Agreement.

                

        

      

       

      
        
          	2.12	
                  References to a particular time of day mean, unless otherwise expressly stated, London time.

                

        

      

       

      
        
          	2.13	
                  If any action is required by this Agreement to taken on a day which is not a Business Day such action shall be deemed to be required to be taken on the next following Business Day.

                

        

      

       

      
         
          	3.	
                  SUBSCRIPTION

                

        

      

       

      
        
          	3.1	
                  Subject to terms and conditions of this Agreement, the Investor hereby subscribes for and agrees to accept on the Completion Date, against payment of the aggregate subscription price of US$60,000,000 (being a price of US$20.00 per
                    New Preferred Share) (the “Consideration”), and the Company hereby agrees to issue to the Investor against payment of the Consideration, the New Preferred Shares on the Completion Date.  The
                    Company and the Warrantor severally confirm that such subscription will result in the Investor owning (a) 24.000% of the issued share capital of the Company immediately following Completion and (b) not less than a 23.077% (rounded to
                    nearest 1/1000th%) fully diluted interest in the Group as reflected in Part 1 of the capitalisation table appended at Schedule 6 (the “Starting Percentage”).

                

        

      

       

      
        
          	3.2	
                  The Warrantor has voted or agrees it will vote in favour of the Initial Resolutions and the Subsequent Resolutions and hereby irrevocably waives or confirms that it has procured the waiver of all or any pre-emption rights it or its
                    nominees may have pursuant to the Articles or otherwise so as to enable the issue of the New Preferred Shares contemplated by this Agreement to proceed free of any such pre-emption rights.

                

        

      

       

      
        
          	3.3	
                  The parties acknowledge and agree with the calculations set out in Parts 1 to 4 of the capitalisation table appended at Schedule 6.

                

        

      

       

      
        12

        
          

      

      
        
          	4.	
                  COMPLETION

                

        

      

       

      
        
          	4.1	
                  Completion shall take place remotely via the exchange of documents and signatures immediately following exchange of this Agreement, at which time the parties shall instruct the Notary and/or the ND Notary (as applicable) to execute
                    the notarial deeds set out in Part 3 of Schedule 4 pursuant to the powers of attorney provided to the Notary and in the order as set out in in Part 3 of Schedule 4.

                

        

      

       

      
        
          	4.2	
                  Notwithstanding clause 4.1, if the Investor has failed to comply with its obligations in paragraph 2 of part 2 of Schedule 4 by five (5) Business Days following the Completion Date, then the Warrantor and the Company shall be
                    entitled (in addition and without prejudice to any other rights or remedies it may have against the Investor under this Agreement or otherwise), by notice to the Investor to terminate this Agreement (other than clauses 1, 9.1 to 9.4
                    (inclusive), 10 to 15 (inclusive) and 18 to 23 (inclusive)), save that such termination shall not affect the rights and liabilities of the parties which have accrued prior to termination.

                

        

      

       

      
        
          	4.3	
                  The Company will procure that, within 21 days following Completion, Au10tix Limited shall issue 3,000,000 ordinary shares with a nominal value of €0.01 each to the Company to result in the Company owning 12,500,000 ordinary shares
                    with a nominal value of €0.01 each in Au10tix Limited and that the authorised share capital of Au10tix Limited shall be increased accordingly to enable Au10tix Limited to issue such shares. The Warrantor and the Investor shall provide
                    such co-operation as is reasonably requested by the Company to facilitate the issue of such new shares by Au10tix Limited as contemplated by this clause 4.3.

                

        

      

       

      
        
          	5.	
                  ISSUE OF FURTHER PREFERRED SHARES

                

        

      

       

      
        
          	5.1	
                  Following Completion and subject to the other provisions of this clause 5 (including, without limitation, clause 5.4), (a) the Company may, upon the resolution of the Board in respect thereof, issue, on substantially the same terms
                    and conditions as those contained in this Agreement and at the same price per Preferred Share as paid by the Investor, Preferred Shares with a maximum aggregate subscription price of US$20,000,000 (the “Additional

                      New Shares”) and/or (b) the Warrantor may transfer Ordinary Shares with a maximum aggregate sale price of the lesser of (i) US$10,000,000 and (ii) (A) US$20,000,000 minus (B) the aggregate subscription price for the Additional
                    New Shares (“Existing Ordinary Shares”).  The Additional New Shares may be sold, and the Existing Ordinary Shares may be transferred, as applicable, to one or more additional investors as the
                    Company (and, in the case of the Existing Ordinary Shares, the Warrantor) shall determine with the Investor’s reasonable consent; provided, however, that (i) such issuance and/or transfer shall be consummated, if at all, prior to the
                    nine (9)-month anniversary of the Completion Date, (ii) each additional investor shall become a party to all applicable Transaction Documents by executing a counterpart signature page of each such document, and (iii) such issuance
                    and/or transfer shall be undertaken, if at all, in accordance with applicable law, the Shareholders Agreement and the Deed of Amendment. The parties agree that such issuance and/or transfer shall be exempt from the application of
                    clauses 8 and 15 of the Shareholders Agreement or the corresponding provisions of the Deed of Amendment. The Investor shall, promptly upon request, execute all documents which are reasonably required by the Warrantor and/or vote in
                    favour of any resolution required by applicable law to facilitate the completion of the transactions contemplated by this clause 5.1.

                

        

      

       

      
        
          	5.2	
                  The Company shall, no later than fifteen (15) days following the date of completion of the issue of the Additional New Shares contemplated by clause 5.1, without any action required on the part of the Investor, issue to the Investor
                    that number of new Preferred Shares representing, together with the Preferred Shares issued to the Investor on the Completion Date, a fully diluted interest in the Group equal to the Starting Percentage immediately following completion
                    of such issuance of new Preferred Shares pursuant to this clause 5.2.  The Preferred Shares to be issued to the Investor pursuant to this clause 5.2 shall be issued at a subscription price per new Preferred Share equal to the nominal
                    value of a Preferred Share and the Investor shall pay for such additional Preferred Shares no later than fifteen (15) days following receipt of written notice from the Company of the completion of the issue of the Additional New Shares
                    contemplated by clause 5.1. The Warrantor and the Company shall promptly execute all documents which are reasonably required by the Investor and/or vote in favour of any resolution required by applicable law to facilitate the completion
                    of the transactions contemplated by this clause 5.2.

                

        

      

       

      
        13

        
          

      

      
        
          	5.3	
                  The parties agree that following completion of the issue of the Additional New Shares the Company shall distribute to the Warrantor an amount in cash equal to the consideration received by the Company for the Additional New Shares
                    (whether by way of a dividend or a return of share premium or otherwise), and the Investor shall promptly execute all documents which are reasonably required by the Warrantor (including any waiver in relation to the return of share
                    premium) and/or vote in favour of any resolution required by applicable law to facilitate the completion of the transactions contemplated by this clause 5.3.

                

        

      

       

      
        
          	5.4	
                  Notwithstanding anything to the contrary herein, if the Company determines to issue Additional New Shares with an aggregate subscription price in excess of US$10,000,000 (as such, the “Excess New
                      Shares”), then, at or prior to the completion of such issuance, the Company, the purchaser of such Excess New Shares (the “Excess New Shares Purchaser”), the Warrantor and the Investor
                    shall enter into an agreement in a form satisfactory to each such party (acting reasonably) (the “Excess New Shares Letter Agreement”).  The Excess New Shares Letter Agreement shall provide that,
                    if and to the extent that (a) there is a shortfall in the per Share portion of the Net Proceeds (as defined in the Shareholders Agreement) or surplus assets (as the case may be) available for distribution in respect of each New
                    Preferred Share, each new Preferred Share issued pursuant to clause 5.2 and each Additional New Share that is not an Excess New Share, upon a Deemed Liquidation Event (as defined in the Shareholders Agreement) (such shortfall, the “Excess New Shares Shortfall Amount Per Share”) and (b) the Excess New Shares Shortfall Amount Per Share arises from the Net Proceeds or surplus assets (as the case may be) that would otherwise be
                    required to be distributed in respect of each Excess New Share, but for the application of the Excess New Shares Letter Agreement, then: (A) first, the Company shall distribute, on a pari passu basis,

                    in respect of each New Preferred Share, each new Preferred Share issued pursuant to clause 5.2 and each Additional New Share that is not an Excess New Share, as applicable, an amount equal to the Excess New Shares Shortfall Amount Per
                    Share; and (B) thereafter, the Company shall distribute, in respect of each Excess New Share, a per Share amount that does not exceed the Excess New Shares Shortfall Amount Per Share.

                

        

      

       

      
        
          	6.	
                  APPLICATION OF SUBSCRIPTION MONIES

                

        

      

       

      
        
          	6.1	
                  The part of the Consideration exceeding the nominal value of the New Preferred Shares shall be treated as share premium (agio) in respect of the Shares (as if the Ordinary Shares and the New
                    Preferred Shares constituted one class of Shares).

                

        

      

       

      
        14

        
          

      

      
        
          	6.2	
                  The Company hereby covenants and agrees with the Investor that the Consideration paid by the Investor to the Company pursuant to clauses 3 and 4 shall be applied by the Company as follows:

                

        

      

       

      
        
          	

                	6.2.1	
                  an aggregate amount equal to US$40,000,000 will be distributed to the Warrantor, as follows: (a) an aggregate amount equal to US$34,147,226 will be used to fund the Payoff Amount (as defined in Schedule 4, Part 1, paragraph 1.9)
                    (constituting the pay-off of all outstanding Indebtedness of the Group), pursuant to and in accordance with the terms and conditions of the Payoff Letter (as defined in Schedule 4, Part 1, paragraph 1.9); and (b) an aggregate amount
                    equal to US$5,852,774 will be paid in cash to the Warrantor by way of return of share premium declared or approved by the Company at or prior to Completion by means of the execution of the Subsequent Resolutions in respect of the Share
                    Premium Distribution (and the Investor shall vote in favour of any resolution required by applicable law and waive any right to share in distribution of any premium to facilitate the above).  The Company will provide the Investor with
                    written evidence (in a form reasonably satisfactory to the Investor) of such pay-off and return of share premium; and

                

        

      

       

      
        
          	

                	6.2.2	
                  an aggregate amount equal to US$20,000,000 (the “Remaining Subscription Monies”) will be used by the Company for general corporate and working capital purposes.

                

        

      

       

      
        
          	6.3	
                  The parties agree that a portion of the Share Premium Distribution, in the amount of US$6,437,006, shall be set-off against an existing debt obligation owed by the Warrantor to the Company (such that in accordance with Section 6:127
                    of the Dutch Civil Code the receivable held by the Warrantor (representing a portion of the Share Premium Distribution, in the amount of US$6,437,006) and the receivable held by the Company under such existing debt obligation shall
                    cease to exist upon completion of the Share Premium Distribution).

                

        

      

       

      
        
          	6.4	
                  Notwithstanding anything to the contrary in this Agreement, the Company shall not use any portion of the Remaining Subscription Monies to pay any amounts owed to any person who advised any Group Company or the Warrantor in connection
                    with this Agreement, the Transaction Documents or the transactions contemplated hereby or thereby, including legal counsel and accountants, financial advisors, investment bankers and brokers of the Group, and any such fees and expenses
                    incurred or otherwise payable by the Group, the Warrantor, or any manager, director, officer, employee, agent or Affiliate of any such person shall be borne and paid by the Warrantor.

                

        

      

       

      
         
          	7.	
                  WARRANTIES

                

        

      

       

      
        
          	7.1	
                  The Warrantor (subject to the further provisions of this clause 7, including clause 7.2) warrants to the Investor that as at the date of this Agreement each of the Warranties is true and accurate.

                

        

      

       

      
        
          	7.2	
                  The Warrantor shall have no liability in respect of a Claim (other than a Fundamental Claim or a Claim under the Warranties in paragraphs 8.1, 8.8 and/or 8.21 of Schedule 5) to the extent that the facts or circumstances giving rise
                    thereto are Disclosed. The Warrantor shall have no liability in respect of a Fundamental Claim related to a breach of the warranties set forth in paragraphs 1.2, 1.10 or 1.13 to the extent that the facts or circumstances giving rise
                    thereto are fairly disclosed in the Disclosure Letter (but not the Data Room) with sufficient detail to enable a reasonable investor to identify the nature and scope of the fact, matter, event or circumstance disclosed.

                

        

      

       

      
        15

        
          

      

      
        
          	7.3	
                  On the date of this Agreement:

                

        

      

       

      
        
          	

                	7.3.1	
                  the Warrantor shall deliver to the Investor the Disclosure Letter (together with a DVD or USB memory stick recording the contents of the Data Room) duly executed by the Warrantor; and

                

        

      

       

      
        
          	

                	7.3.2	
                  the Investor shall sign an acknowledgement of receipt of the Disclosure Letter and such DVD or USB memory stick.

                

        

      

       

      
        
          	7.4	
                  Each Warranty is a separate and independent warranty, and, save as otherwise expressly provided, no Warranty shall be limited by reference to any other Warranty or by the other terms of this Agreement and the Disclosure Letter.

                

        

      

       

      
        
          	7.5	
                  The rights and remedies of the Investor in respect of any breach of any of the Warranties shall not be affected by Completion.

                

        

      

       

      
        
          	7.6	
                  Any statement in the Warranties qualified by the expression “so far as the Warrantor is aware” or words having similar effect, shall mean the actual knowledge, as at the date of this Agreement,
                    of the following persons: Menachem Atzmon, Ron Atzmon, Sergey Markin, Ilan Meytal, and Sara Shekel, and the actual knowledge any such person would have had after having made reasonable enquiry of his or her direct reports in his or her
                    areas of responsibility (whether or not such enquiry has actually been made).

                

        

      

       

      
        
          	7.7	
                  Without limiting the provisions of this clause 7 or the further provision of clause 8, except for matters that Arun Agarwal and/or Raj Surapaneni (the “Investor Knowledge Parties”) have actual
                    knowledge of (or would have had actual knowledge of if either had read the Investor Due Diligence Reports) at the date of this Agreement, no information relating to the Company which the Investor has knowledge of (other than by reason
                    of such information being Disclosed) shall prejudice or prevent any Claim which the Investor shall otherwise be entitled to bring.

                

        

      

       

      
        
          	7.8	
                  The Investor warrants to the Company and the Warrantor that the statements set out below are true and accurate as at the date of this Agreement:

                

        

      

       

      
        
          	

                	7.8.1	
                  it is entering into this Agreement and the other Transaction Documents on its own behalf and not on behalf of any other person(s) and it has full power and authority and has obtained all corporate authorisations and all applicable
                    governmental, statutory, regulatory and other consents, approvals, licenses, waivers and exemptions required to enter into and perform the obligations expressed to be assumed by it under this Agreement and the other Transaction
                    Documents;

                

        

      

       

      
        
          	

                	7.8.2	
                  the obligations expressed to be assumed by it under this Agreement and the other Transaction Documents, when executed and delivered by it, shall constitute legal, valid, binding and enforceable obligations against it in accordance
                    with their respective terms, subject only to the effect of (a) applicable bankruptcy, insolvency, moratorium or other similar laws affecting rights of creditors generally, (b) general principles of equity, including rules of law
                    governing specific performance, injunctive relief and other equitable remedies and (c) public policy;

                

        

      

       

      
        16

        
          

      

      
        
          	

                	7.8.3	
                  the execution, delivery and performance by it of this Agreement and each other Transaction Document will not:

                

        

      

       

      
        
          	

                	(a)	
                  result in a breach of, or constitute a default under, (i) any material agreement or arrangement to which the Investor is a party or by which the Investor is bound and which breach or default would have a material adverse effect on
                    the Investor or the Investor’s ability to complete the transactions contemplated by this Agreement or (ii) under its constitutional documents;

                

        

      

       

      
        
          	

                	(b)	
                  result in a breach of any law or order, judgement or decree of any court, governmental agency or regulatory body to which it is a party or by which it is bound;

                

        

      

       

      
        
          	

                	(c)	
                  require the Investor to obtain any consent or approval of, or give any notice to or make any registration with, any governmental or other authority which has not been obtained or made at the date hereof both on an unconditional basis
                    and on a basis which cannot be revoked; or

                

        

      

       

      
        
          	

                	(d)	
                  result in any material violation or be in conflict with or constitute, with or without the passage of time and giving of notice, either a material default under any such document, law judgment, order, writ or decree or an event which
                    results in the creation of any Encumbrance upon any assets material to the Investor;

                

        

      

       

      
        
          	

                	7.8.4	
                  no order has been made, or, to the Investor’s actual knowledge, petition presented or resolution passed, for its winding up or for the appointment of a provisional liquidator of it;

                

        

      

       

      
        
          	

                	7.8.5	
                  no insolvency proceedings (faillissement or surséance van betaling) or similar proceedings under applicable laws have been opened over the assets of it, and so far as the Investor Knowledge
                    Parties are aware, there are no circumstances that would reasonably require or justify the opening of or application for such proceedings;

                

        

      

       

      
        
          	

                	7.8.6	
                  the Investor:

                

        

      

       

      
        
          	

                	(a)	
                  is subscribing for the New Preferred Shares for its own account for investment;

                

        

      

       

      
        
          	

                	(b)	
                  is an “accredited investor” as that term is defined in Rule 501(a) of Regulation D under the U.S. Securities Act of 1933, as amended (the “Securities Act”);

                

        

      

       

      
        
          	

                	(c)	
                  has such knowledge and experience in financial and business matters that it is capable of evaluating the merits and risks of its investment in the Company as contemplated by this Agreement, and is able to bear the economic risk of
                    such investment for an indefinite period of time, subject in each case to the terms and conditions of this Agreement and the Transaction Documents; and

                

        

      

       

      
        
          	

                	(d)	
                  understands that the offering and sale of the New Preferred Shares pursuant hereto have not been, and will not be, registered under the Securities Act (or any other securities law), and is intended to be exempt from registration
                    under the Securities Act pursuant to Section 4 thereof.

                

        

      

       

      
        17

        
          

      

      
         
          	8.	
                  LIMITATIONS ON CLAIMS

                

        

      

       

      
        
          	8.1	
                  Notwithstanding anything to the contrary in this Agreement, nothing in this clause 8 or elsewhere in this Agreement or any other Transaction Document shall limit the liability of Warrantor for any Claim arising out of the fraud or
                    fraudulent misrepresentation of the Company, the Warrantor or any of their respective officers, directors or Affiliates.

                

        

      

       

      
        
          	8.2	
                  The maximum aggregate liability of the Warrantor in respect of all General Warranties Claims shall not in any circumstance exceed an amount equal to US$9,000,000.

                

        

      

       

      
        
          	8.3	
                  The maximum aggregate liability of the Warrantor in respect of all General Warranties Claims, Specified Warranties Claims and Tax Claims shall not in any circumstance exceed an amount equal to US$20,000,000.

                

        

      

       

      
        
          	8.4	
                  Subject to clauses 8.2 and 8.3, and except as provided in clause 8.1, the maximum aggregate liability of the Warrantor and the Company under this Agreement for any reason shall not in any circumstance exceed US$60,000,000.

                

        

      

       

      
        
          	8.5	
                  The Warrantor shall have no liability in respect of a Claim, other than a Fundamental Claim or a Tax Claim, unless and until:

                

        

      

       

      
        
          	

                	8.5.1	
                  the losses arising in respect of such Claim or a series of related Claims arising from substantially similar facts, matters or circumstances exceeds US$90,000, in which case the Investor shall be entitled to claim the whole of such
                    sum and not merely the excess; and

                

        

      

       

      
        
          	

                	8.5.2	
                  the losses arising in respect of all Claims (excluding any Claim for which liability is excluded by clause 8.5.1) exceeds US$900,000, in which case the Investor shall be entitled to claim the whole amount of all such Claims and not
                    merely the excess.

                

        

      

       

      
        
          	8.6	
                  Subject to clauses 8.7 and 8.8:

                

        

      

       

      
        
          	

                	8.6.1	
                  the Warrantor shall cease to have any liability for any General Warranties Claim, unless notice is given in accordance with clause 8.8 no later than the first Business Day following the one (1)-year anniversary of the Completion
                    Date;

                

        

      

       

      
        
          	

                	8.6.2	
                  the Warrantor shall cease to have any liability for any Specified Warranties Claim unless notice is given in accordance with clause 8.8 no later than the first Business Day following the date falling thirty (30) months following the
                    Completion Date; and

                

        

      

       

      
        
          	

                	8.6.3	
                  the Warrantor shall cease to have any liability for any Fundamental Claim or Tax Claim unless notice is given in accordance with clause 8.9 no later than the first Business Day following the five (5)-year anniversary of the
                    Completion Date.

                

        

      

       

      The liability of the Warrantor in respect of any Claim shall terminate absolutely (and no new Claim may be made in respect of the same facts) if proceedings in respect of it
        shall not have been commenced by being both issued and served on the relevant parties within the period of nine (9) months from the date on which the Investor gives notice of such Claim to the Warrantor in accordance with clause 8.8.

       

      
        
          	8.7	
                  The Warrantor shall not be liable in respect of any Claim based upon a liability which is contingent unless and until such contingent liability becomes an actual liability; provided that this clause 8.7 shall not operate to avoid a
                    Claim made in respect of a contingent liability within the applicable time limit specified in clause 8.6 if it becomes an actual liability on or before the relevant date specified in clause 8.6.

                

        

      

       

      
        18

        
          

      

      
        
          	8.8	
                  Any notice of a Claim shall specify in reasonable detail (to the extent then available to the Investor) the nature of the potential liability and, so far as is practicable, the Investor’s best estimate of the amount likely to be
                    claimed in respect of it (based on the information then available to the Investor), provided that any failure so to specify such detail or estimate shall not preclude the Investor from bringing a Claim.

                

        

      

       

      
        
          	8.9	
                  No liability of the Warrantor in respect of any Claim shall arise:

                

        

      

       

      
        
          	

                	8.9.1	
                  to the extent that such breach occurs by reason of any matter which would not have arisen but for the coming into force of any legislation not in force at the Completion Date or any change in the interpretation of existing
                    legislation on the basis of case law or by reason of any change to Taxation rates or practice occurring after the Completion Date;

                

        

      

       

      
        
          	

                	8.9.2	
                  to the extent that such breach or Claim arises as a result of any change in the (Tax) accounting bases or policies in accordance with which the Company values its assets or calculates its liabilities or any other change in (Tax)
                    accounting practice from the treatment or application of the same, in each case to the extent such change is required by applicable law or regulation (save to the extent that such changes are required to correct errors or because
                    relevant generally accepted accounting principles have not been complied with); or

                

        

      

       

      
        
          	

                	8.9.3	
                  the breach or Claim or the events giving rise to the breach or Claim were carried out at the written request of the Investor.

                

        

      

       

      
        
          	8.10	
                  The Warrantor shall not be liable for any Claim to the extent that the alleged breach which is the subject of such Claim is capable of remedy and is remedied to the reasonable satisfaction of the Investor by the Company or the
                    Warrantor within forty-five (45) days of the date on which the notice in clause 8.8 is received by the Warrantor without cost or loss to the Investor.

                

        

      

       

      
        
          	8.11	
                  Nothing in this Agreement shall limit or reduce the Investor’s duty under English law to mitigate any loss or liability which arises in connection with any Claim.

                

        

      

       

      
        
          	8.12	
                  The Warrantor shall not be liable for any Claim in respect of indirect or consequential losses; provided, that, a diminution in the value of the Shares held by the Investor arising (i) directly from any Claim and/or (ii) from a loss
                    which may fairly and reasonably be supposed to have been in the contemplation of the Warrantor and the Investor (at the time this Agreement was entered into) as a probable result of the relevant breach shall each not be deemed to be an
                    indirect or consequential loss.

                

        

      

       

      
        
          	8.13	
                  The Warrantor shall have no liability in respect of any Claim if and to the extent that (a) allowance, provision or reserve was fairly disclosed or expressly made in the Accounts (including by way of a note or a statement in any
                    report forming part of the Accounts) in respect of the matter giving rise to the Claim or (b) the loss giving rise to the Claim is recovered by the Investor (or a Group Company) under any policy of insurance.

                

        

      

       

      
        
          	8.14	
                  The Investor shall not be entitled to recover more than once in respect of any Claim or loss.

                

        

      

       

      
        19

        
          

      

      
        
          	8.15	
                  Until the date that is sixty (60) days following the Completion Date, the Investor shall use commercially reasonable endeavours to facilitate the Warrantor obtaining, as soon as reasonably practicable, a “sell-side” warranty
                    insurance policy in relation to the Warranties on customary terms for transactions of this type (the “Policy”); provided, however, and notwithstanding anything to the contrary in this Agreement,
                    the Investor shall not: (a) be required to make available to any person the Investor Due Diligence Reports or any other information, documents or materials in the Investor’s control or possession; or (b) incur any liability hereunder,
                    regardless of whether the Policy is issued, for any reason or no reason, so long as the Investor complies with the first sentence of this clause 8.15. Except as otherwise provided in this clause 8.15, the Investor and the Company shall
                    provide such co-operation as is reasonably requested by the Warrantor in connection with obtaining the Policy. The Warrantor shall be responsible for paying the premium for the Policy but shall not be responsible for paying any costs or
                    fees incurred by the Investor in connection with obtaining the Policy. Notwithstanding anything to the contrary in this Agreement or in the Policy (if issued), as applicable, (i) if the Policy is issued, the Warrantor shall continue to
                    be liable for any Claim that is not timely covered by the Policy, for any reason or no reason, subject only to the terms and conditions of this Agreement, in each such case to the same extent as it would be liable if this clause 8.15
                    was not contained in this Agreement and the Policy was issued, and (ii) if the Policy is not issued, for any reason or no reason, this clause 8.15 shall be disregarded for all purposes hereunder and the remaining provisions of this
                    clause 8 shall remain in full force and effect in accordance with their respective terms.

                

        

      

       

      
        
          	9.	
                  VAT FISCAL UNITY

                

        

      

       

      The Warrantor and the Investor agree that, as soon as reasonably practicable after Completion, the VAT Fiscal Unity will be terminated in respect of Au10tix B.V. The Warrantor,
        in consultation with the Investor, shall take, and procure that each relevant Group Company takes, all measures and actions necessary to effectuate the termination of the VAT Fiscal Unity in respect of Au10tix B.V.

       

      
        
          	10.	
                  CONFIDENTIALITY; SUBSIDIARY COVENANTS

                

        

      

       

      
        
          	10.1	
                  Subject to clause 10.2, each of the parties agrees to keep secret and confidential and not to use disclose or divulge to any third party or to enable or cause any person to become aware of (except for the purposes of the Company’s
                    business) any Confidential Information.

                

        

      

       

      
        
          	10.2	
                  The Investor shall be at liberty from time to time to make such disclosure:

                

        

      

       

      
        
          	

                	10.2.1	
                  to its investment manager, management company, partners, trustees, shareholders, unitholders and other participants in the Investor;

                

        

      

       

      
        
          	

                	10.2.2	
                  as shall be required by applicable law or by any regulatory authority to which the Investor is subject or by the rules of any stock exchange or market upon which the Investor’s securities are listed or traded;

                

        

      

       

      
        
          	

                	10.2.3	
                  to the Company’s auditors and/or any other professional advisers of the Company;

                

        

      

       

      
        
          	

                	10.2.4	
                  to the Investor’s professional advisers and to the professional advisers of any person to whom the Investor is entitled to disclose information pursuant to this clause 10.2; and/or

                

        

      

       

      
        20

        
          

      

      
        
          	

                	10.2.5	
                  to any person who is considering making an investment in the Company or purchasing Shares for the purposes of evaluating any such investment or purchase, provided that such prospective purchaser is not a competitor of any Group
                    Company,

                

        

      

       

      in each case in relation to the business affairs and financial position of the Company as it may in its reasonable discretion think fit, provided that the recipient is subject
        to an obligation to keep the disclosure confidential on the same basis as is required by the Investor.

       

      
        
          	10.3	
                  The Company and the Warrantor shall be at liberty from time to time to make such disclosure:

                

        

      

       

      
        
          	

                	10.3.1	
                  to any member of the Group;

                

        

      

       

      
        
          	

                	10.3.2	
                  to any shareholder of the Company;

                

        

      

       

      
        
          	

                	10.3.3	
                  as shall be required by applicable law or by any regulatory authority to which the Company or the Warrantor is subject or by the rules of any stock exchange or market upon which the securities of the Warrantor are listed or traded,
                    it being expressly acknowledged that the Warrantor is quoted on the OTC Market in the United States and is subject to periodic reporting requirements and regulatory oversight; provided, however, the disclosing party shall give the
                    Investor, if such disclosure relates specifically to the Investor, the right to review such disclosure prior to making such disclosure, to the extent commercially practicable and to the extent permitted by law;

                

        

      

       

      
        
          	

                	10.3.4	
                  to the Company’s auditors and/or any other professional advisers of the Company;

                

        

      

       

      
        
          	

                	10.3.5	
                  to the party’s professional advisers and to the professional advisers of any person to whom the party is entitled to disclose information pursuant to this clause 10.3; and/or

                

        

      

       

      
        
          	

                	10.3.6	
                  to any person who is considering making an investment in the Company or purchasing Shares for the purposes of evaluating any such investment or purchase.

                

        

      

       

      in each case in relation to the business affairs and financial position of the Company as it may in its reasonable discretion think fit, provided that the recipient is subject
        to an obligation to keep the disclosure confidential on the same basis as is required by the party.

       

      
        
          	10.4	
                  For the purposes of this clause 10, “Confidential Information” means any information or know-how of a secret or confidential nature relating to the Company or the Investor, including (without
                    limitation):

                

        

      

       

      
        
          	

                	10.4.1	
                  any information regarding this Agreement and the investment by the Investor in the Company pursuant to this Agreement;

                

        

      

       

      
        
          	

                	10.4.2	
                  any financial information or trading information relating to the Company or the Investor which a party may receive or obtain as a result of entering into this Agreement;

                

        

      

       

      
        
          	

                	10.4.3	
                  in the case of the Company, information concerning:

                

        

      

       

      
        21

        
          

      

      
        
          	

                	(a)	
                  its finances and financial data, business transactions, dealings and affairs and prospective business transactions;

                

        

      

       

      
        
          	

                	(b)	
                  any operational model, its business plans and sales and marketing information, plans and strategies;

                

        

      

       

      
        
          	

                	(c)	
                  its customers, including, without limitation, customer lists, customer identities and contact details and customer requirements;

                

        

      

       

      
        
          	

                	(d)	
                  any existing and planned product lines, services, price lists and pricing structures (including, without limitation, discounts, special prices or special contract terms offered to or agreed with customers);

                

        

      

       

      
        
          	

                	(e)	
                  its technology or methodology associated with concepts, products and services including research activities and the techniques and processes used for development of concepts, products and services;

                

        

      

       

      
        
          	

                	(f)	
                  its computer systems, source codes and software, including, without limitation, software and technical information necessary for the development, maintenance or operation of websites;

                

        

      

       

      
        
          	

                	(g)	
                  its current and prospective Intellectual Property;

                

        

      

       

      
        
          	

                	(h)	
                  its directors, officers, employees and shareholders (including, without limitation, salaries, bonuses, commissions and the terms on which such individuals are employed or engaged and decisions or contents of board meetings);

                

        

      

       

      
        
          	

                	(i)	
                  its suppliers, licensors, licensees, agents, distributors or contractors including the identity of such parties and the terms on which they do business, or participate in any form of commercial co-operation with the Company;

                

        

      

       

      
        
          	

                	(j)	
                  information concerning or provided to third parties, in respect of which the Company owes a duty of confidence (in particular but without limitation, the content of discussions or communications with any prospective customers or
                    prospective business partner); and

                

        

      

       

      
        
          	

                	(k)	
                  any other information which it may reasonably be expected would be regarded by a company in a similar business as confidential or commercially sensitive;

                

        

      

       

      but shall not include any information which:

       

      
        
          	

                	(i)	
                  is, or which becomes (other than through a breach of this Agreement), available in the public domain or otherwise available to the public generally without requiring a significant expenditure of labour, skill or money;

                

        

      

       

      
        
          	

                	(ii)	
                  is, at the time of disclosure, already known to the receiving party without restriction on disclosure;

                

        

      

       

      
        
          	

                	(iii)	
                  is, or subsequently comes, into the possession of the receiving party without violation of any obligation of confidentiality;

                

        

      

       

      
        22

        
          

      

      
        
          	

                	(iv)	
                  is independently developed by the receiving party without use or reference to Confidential Information disclosed under this Agreement and without breach of this Agreement;

                

        

      

       

      
        
          	

                	(v)	
                  is explicitly approved for release by the written consent of an authorised representative of the Company or the Investor to which the information relates, as applicable; or

                

        

      

       

      
        
          	

                	(vi)	
                  a party is required to disclose by applicable law, by any securities exchange or market on which such party’s securities are listed or traded, by any regulatory or governmental or other authority with relevant powers to which such
                    party is subject or submits, whether or not the requirement has the force of law, or by any court order.

                

        

      

       

      
        
          	10.5	
                  The Company shall exercise actions and rights available to it under applicable law in order to procure that the Israeli Subsidiaries ensure that appropriate physical, technical, organizational and administrative security measures and
                    policies are put in place to protect all Personal Information of any individuals, including, without limitation, any customers, prospective customers, employees and/or other third parties that is collected by it or on its behalf from
                    and against unauthorized access, use and/or disclosure, all in accordance with applicable laws in the relevant jurisdictions, no later than the six (6)-month anniversary of the Completion Date.

                

        

      

       

      
        
          	10.6	
                  The Company shall exercise actions and rights available to it under applicable law to (a) cause the Israeli Subsidiaries to be compliant with all applicable Privacy Laws, including without limitation registration of databases as
                    required under applicable law, and (b) ensure that, to the extent required under applicable laws in the relevant jurisdictions, all databases with respect to information it retains regarding customers of the Israeli Subsidiaries are
                    properly registered in accordance with applicable laws and regulations in the relevant jurisdictions, no later than the six (6)-month anniversary of the Completion Date.

                

        

      

       

      
        
          	11.	
                  ANNOUNCEMENTS

                

        

      

       

      
        
          	11.1	
                  Except in accordance with clause 11.2, the parties shall not make any public announcement or issue a press release or respond to any enquiry from the press or other media concerning or relating to this Agreement or its subject matter
                    (including but not limited to the Investor’s investment in the Company) or any ancillary matter.

                

        

      

       

      
        
          	11.2	
                  Notwithstanding clause 11.1:

                

        

      

       

      
        
          	

                	11.2.1	
                  the Investor and the Company shall mutually agree upon the form and substance of any press release confirming (among items that may be agreed upon) the fact that Investor has made an investment in the Company and/or that it is a
                    shareholder in the Company;

                

        

      

       

      
        
          	

                	11.2.2	
                  any party may make or permit to be made an announcement concerning or relating to this Agreement or its subject matter or any ancillary matter with the prior written approval of the Investor and the Company; and

                

        

      

       

      
        23

        
          

      

      
        
          	

                	11.2.3	
                  any party may make or permit to be made an announcement concerning or relating to this Agreement or its subject matter or any ancillary matter if and to the extent required by:

                

        

      

       

      
        
          	

                	(a)	
                  applicable law;

                

        

      

       

      
        
          	

                	(b)	
                  the rules, regulations or any order of any securities exchange or market on which either party’s securities are listed or traded, it being expressly acknowledged that the Warrantor is quoted on the OTC Market in the United States and
                    is subject to periodic reporting requirements and regulatory oversight; provided, however, the disclosing party shall give the Investor, if such disclosure relates specifically to the Investor, the right to review such disclosure prior
                    to making such disclosure, to the extent commercially practicable and to the extent permitted by law;

                

        

      

       

      
        
          	

                	(c)	
                  any court order;

                

        

      

       

      
        
          	

                	(d)	
                  any Tax Authority in connection with the Tax affairs of either party (or as otherwise required to be disclosed by any Tax law); or

                

        

      

       

      
        
          	

                	(e)	
                  any regulatory or governmental or other authority with relevant powers to which either party is subject or submits, whether or not the requirement has the force of law.

                

        

      

       

      
        
          	12.	
                  COSTS AND EXPENSES; PAYMENTS

                

        

      

       

      
        
          	12.1	
                  Each party shall pay the costs and expenses incurred by it in connection with entering into and completing this Agreement and the other Transaction Documents, save that the costs and expenses of the Notary shall be split equally
                    between the Warrantor and the Investor.

                

        

      

       

      
        
          	12.2	
                  All sums payable by the Company or the Warrantor to the Investor pursuant to this Agreement shall be paid free and clear of any deductions or withholdings whatsoever save only as may be required by applicable law. Where any deduction
                    or withholding is required by applicable law, the Company or the Warrantor, as the case may be, shall be obliged to pay to the Investor such greater sum as will, after making such deduction or withholding, leave the Investor with the
                    same amount as it would have been entitled to receive in the absence of such deduction or withholding.

                

        

      

       

      
        
          	13.	
                  CUMULATIVE REMEDIES

                

        

      

       

      The rights, powers, privileges and remedies conferred upon the parties to this Agreement are cumulative and are not exclusive of any other rights, powers, privileges or
        remedies provided by applicable law.

       

      
        
          	14.	
                  WAIVER

                

        

      

       

      The express or implied waiver by any party to this Agreement of any of its rights or remedies arising under this Agreement or by applicable law shall not constitute a
        continuing waiver of the right or remedy waived or a waiver of any other right or remedy.

       

      
        
          	15.	
                  ENTIRE AGREEMENT

                

        

      

       

      
        
          	15.1	
                  The Transaction Documents constitute the entire agreement among the parties relating to the subject matter of this Agreement and supersede and extinguish any prior drafts, agreements, undertakings, representations, warranties and
                    arrangements of any nature whatsoever, whether or not in writing, among the parties in relation to the subject matter of this Agreement. Except as required by applicable law, no terms shall be implied (whether by custom, usage or
                    otherwise) in the Transaction Documents.

                

        

      

       

      
        24

        
          

      

      
        
          	15.2	
                  Each of the parties acknowledges and agrees that it has not entered into this Agreement in reliance on any statement or representation of any person (whether a party to this Agreement or not) other than as expressly incorporated into
                    this Agreement and/or the documents referred to or incorporated into this Agreement.

                

        

      

       

      
        
          	15.3	
                  Each of the parties acknowledges and agrees that the only cause of action available to it under the terms of this Agreement shall be for breach of contract and equitable remedies for the breach of any covenant or agreement set forth
                    in this Agreement.

                

        

      

       

      
        
          	15.4	
                  Nothing contained in this Agreement, any other Transaction Document, or in any other document referred to or incorporated herein or therein shall exclude or limit, or shall be read or construed as excluding or limiting, any liability
                    or remedy as a result of fraud or fraudulent misrepresentation.  Subject to applicable law, in the event of any ambiguity or conflict between this clause 15.4 and any other provision of this Agreement, any other Transaction Document, or
                    any other document referred to or incorporated herein or therein, the terms of this clause 15.4 shall prevail and each of the parties shall procure such modification to such other provision as shall be necessary.

                

        

      

       

      
        
          	16.	
                  VARIATION

                

        

      

       

      No variation of this Agreement shall be effective unless it is in writing and signed by each of the parties (or their authorised representatives).

       

      
        
          	17.	
                  NO PARTNERSHIP

                

        

      

       

      Nothing in this Agreement is intended to or shall be construed as establishing or implying any partnership of any kind between the parties.

       

      
        
          	18.	
                  ASSIGNMENT AND TRANSFER

                

        

      

       

      
        
          	18.1	
                  Subject to clause 18.3, this Agreement is personal to the parties and no party shall:

                

        

      

       

      
        
          	

                	18.1.1	
                  assign any of its rights under this Agreement;

                

        

      

       

      
        
          	

                	18.1.2	
                  transfer any of its obligations under this Agreement;

                

        

      

       

      
        
          	

                	18.1.3	
                  sub-contract or delegate any of its obligations under this Agreement; or

                

        

      

       

      
        
          	

                	18.1.4	
                  charge or deal in any other manner with this Agreement or any of its rights or obligations.

                

        

      

       

      
        
          	18.2	
                  Any purported assignment, transfer, sub-contracting, delegation, charging or dealing in contravention of clause 18.1 shall be ineffective.

                

        

      

       

      
        
          	18.3	
                  The Investor may assign the whole or part of any of its rights under this Agreement to any of its Affiliates provided that if such assignee ceases to be an Affiliate of the Investor then all benefits relating to this Agreement which
                    shall have been assigned to such assignee shall be deemed automatically to be re-assigned to the Investor immediately before such cessation.

                

        

      

       

      
        25

        
          

      

      
        
          	19.	
                  RIGHTS OF THIRD PARTIES

                

        

      

       

      This Agreement does not confer any rights on any person or party (other than the parties to this Agreement) pursuant to the Contracts (Rights of Third Parties) Act 1999.

       

      
        
          	20.	
                  COUNTERPARTS; NO ORIGINALS

                

        

      

       

      This Agreement may be executed in any number of counterparts, each of which shall constitute an original, and all the counterparts shall together constitute one and the same
        Agreement. The exchange of a fully executed version of this Agreement (in counterparts or otherwise) by electronic transmission in PDF format or by facsimile shall be sufficient to bind the parties to the terms and conditions of this Agreement and
        no exchange of originals is necessary.

       

      
        
          	21.	
                  NOTICES

                

        

      

       

      
        
          	21.1	
                  Any notice or other communication to be given under or in connection with this Agreement (a “Notice”) shall be:

                

        

      

       

      
        
          	

                	21.1.1	
                  in writing (which includes email) in the English language;

                

        

      

       

      
        
          	

                	21.1.2	
                  signed by or on behalf of the party giving it; and

                

        

      

       

      
        
          	

                	21.1.3	
                  delivered by hand, pre-paid first class post (or by airmail if overseas), courier using an internationally recognised commercial courier company or by email to the party to which it is being given.

                

        

      

       

      
        
          	21.2	
                  Each Notice to the Warrantor shall be sent to the following address, or such other person or address as the Warrantor may notify to the other parties from time to time:

                

        

      

       

      ICTS INTERNATIONAL N.V.

        Walaardt Sacrestraat 425‐5

        1117 BM Schiphol

        The Netherlands

      Attn: Menachem Atzmon and Alon Raich

        Mjatzmon@netvision.net.il and alon@ictsintl.com

      

      

      With a copy to (which shall not constitute notice):

       

      Dechert LLP

        160 Queen Victoria Street

        London EC4V 4QQ UK

        Attn: Douglas L. Getter

        douglas.getter@dechert.com

       

      
        
          	21.3	
                  Each Notice to the Company shall be sent to the following address, or such other person or address as the Company may notify to the other parties from time to time:

                

        

      

       

      ABC TECHNOLOGIES B.V.

        Walaardt Sacrestraat 425‐5

        1117 BM Schiphol

        The Netherlands

      Attn: Ron Atzmon

        Ron.Atzmon@au10tix.com

      With a copy to (which shall not constitute notice):

       

      
        26

        
          

      

      Dechert LLP

        160 Queen Victoria Street

        London EC4V 4QQ UK

        Attn: Douglas L. Getter

        douglas.getter@dechert.com

       

      
        
          	21.4	
                  Each Notice to the Investor shall be sent to the following address, or such other person or address as the Investor may notify to the other parties from time to time:

                

        

      

       

      TPG LUX 2018 SC I, S.A.R.L.

        c/o TPG Global, LLC

      345 California Street, Suite 3300

      San Francisco, California 94104

      United States of America

      Attn: Adam Fliss

      Email: afliss@tpg.com

        

      

      With a copy to (which shall not constitute notice):

       

      Weil Gotshal & Manges LLP

        201 Redwood Shores Parkway

        Redwood Shores, California, USA 94065-1134

      Attn: Matt Stewart; Jonathan Wood

      Email: matt.stewart@weil.com; jonathan.wood@weil.com

       

      
        
          	21.5	
                  In the absence of evidence of earlier receipt, any Notice served in accordance with clause 21.1 shall be deemed given:

                

        

      

       

      
        
          	

                	(a)	
                  in the case of personal delivery by hand, at the time of delivery;

                

        

      

       

      
        
          	

                	(b)	
                  in the case of delivery by a commercial courier, on the date and at the time of signature of the courier’s delivery receipt;

                

        

      

       

      
        
          	

                	(c)	
                  in the case of first class post (other than airmail) or recorded delivery, at 10:00 am on the second (2nd) Business Day after posting;

                

        

      

       

      
        
          	

                	(d)	
                  in the case of airmail, at 10:00 am on the fifth (5th) Business Day after posting; and

                

        

      

       

      
        
          	

                	(e)	
                  in the case of email, on the Business Day on which it was sent (or if not sent on a Business Day at the open of business on the next Business Day).

                

        

      

       

      
        
          	21.6	
                  For the purposes of this clause 21:

                

        

      

       

      
        
          	

                	(a)	
                  all times are to be read as local time in the place of deemed receipt; and

                

        

      

       

      
        
          	

                	(b)	
                  if deemed receipt under this clause is not within business hours (meaning 9.00 am to 5.30 pm on Monday to Friday in the place of receipt on a day that is a Business Day), the Notice is deemed to have been received at the open of
                    business on the next Business Day.

                

        

      

       

      
        27

        
          

      

      
      
        
          	21.7	
                  To prove delivery, it is sufficient to prove that, if sent by pre-paid first class post, the envelope containing the Notice or other communication was properly addressed and posted.

                

        

      

       

      
        
          	22.	
                  SEVERANCE

                

        

      

       

      
        
          	22.1	
                  If any provision of this Agreement is held to be invalid or unenforceable by any judicial or other competent authority, all other provisions of this Agreement will remain in full force and effect and will not in any way be impaired.

                

        

      

       

      
        
          	22.2	
                  If any provision of this Agreement is held to be invalid or unenforceable but would be valid or enforceable if some part of the provision were deleted, the provision in question will apply with the minimum modifications necessary to
                    make it valid and enforceable.

                

        

      

       

      
        
          	23.	
                  GOVERNING LAW

                

        

      

       

      This Agreement (and any dispute or claim relating to it or its subject matter (including non-contractual claims)) is governed by and is to be construed in accordance with
        English law.

       

      
        
          	24.	
                  JURISDICTION

                

        

      

       

      The parties irrevocably agree that the English courts shall have exclusive jurisdiction to settle any claim, dispute or issue which may arise out of or in connection with this
        Agreement and, for these purposes, each party irrevocably submits to the exclusive jurisdiction of the courts of England. Each party waives (and agrees not to raise) any objection, whether on the ground of inconvenient forum or venue or on any
        other ground, which it might have to the bringing of proceedings in such courts.

       

      This Agreement has been agreed on the date first stated above.

       

      
        28

        
          

      

      

        THE INVESTOR:

         

        TPG LUX 2018 SC I, S.A.R.L.

          

        

        
          
            
              	
                       By: 

                      

                    	/s/ Alexandra Cabete Matias

                    	 

            

          

        

        
          	
                   

                	
                  Name: Alexandra Cabete Matias

                
	
                   

                	
                  Title: Manager

                  

                

        

          

        

        THE COMPANY:

         

        ABC TECHNOLOGIES B.V.

        
           

          
            
              	
                       By: 

                      

                    	/s/ Ran Langer

                    	 

            

          

        

        
          
            	
                     

                  	
                    Name: ICTS International N.V.

                  
	 	Title: Director

                  
	 	Name: R. Langer
	 	Title: Director

          

            

        

        THE WARRANTOR:

         

        ICTS INTERNATIONAL N.V.

         

        
          
            	
                     By: 

                    

                  	/s/ Ran Langer	 

            	
                     

                  	
                    Name: R. Langer

                  
	
                     

                  	
                    Title:  Director

                  

          

            

          

          29Exhibit 4.2 

    

    

    NOTE: THIS IS A TRANSLATION INTO ENGLISH OF THE OFFICIAL DUTCH VERSION OF THE ARTICLES OF ASSOCIATION (STATUTEN) OF A PRIVATE COMPANY WITH LIMITED LIABILITY (BESLOTEN VENNOOTSCHAP MET BEPERKTE AANSPRAKELIJKHEID) UNDER DUTCH LAW. DEFINITIONS INCLUDED IN ARTICLE 1 BELOW APPEAR IN THE ENGLISH ALPHABETICAL ORDER, BUT WILL APPEAR IN THE DUTCH ALPHABETICAL ORDER IN THE
      OFFICIAL DUTCH VERSION. IN THE EVENT OF A CONFLICT BETWEEN THE ENGLISH AND DUTCH TEXTS, THE DUTCH TEXT SHALL PREVAIL.

    

    

    DEED AMENDING ARTICLES OF ASSOCIATION

    ABC TECHNOLOGIES B.V.

    

    

    On this, the third day of July two thousand and nineteen, appeared before me, Jeroen Herman Joseph Preller, civil law notary at Rotterdam: Jane Celine Houwen, employed at the offices of me, civil law
      notary, located at 3014 DA Rotterdam, the Netherlands, Weena 800, born in Hardenberg, the Netherlands, on the twenty-fifth day of August nineteen hundred ninety-three.

     

    

    The person appearing before me declared that the general meeting of ABC Technologies B.V., a private company with limited liability (besloten vennootschap met beperkte aansprakelijkheid) having its corporate seat at Amstelveen, the Netherlands (address: 1117 BM Schiphol-Oost, the Netherlands, Walaardt Sacrestraat 425-5, trade register number 72273917 (the “Company”), by a written resolution dated the third day of July two thousand and nineteen (the “Written Resolution”) as referred to in Article 26 of the Company’s articles of
      association, decided, among other things, to amend the Company’s articles of association in their entirety.

     

    

    A copy of the Written Resolution will be attached to this Deed as Annex.

     

    

    The Company’s articles of association were laid down upon the Company’s incorporation, by a deed executed on the first day of August two thousand and eighteen, before Sabine van Suijdam, civil law
      notary at Amsterdam. In order to carry out the abovementioned decision to amend the articles of association, the person appearing declared that she was hereby amending the Company’s articles of association in their entirety, as set out below:

     

    

    ARTICLES OF ASSOCIATION

     

    

    DEFINITIONS AND INTERPRETATION

     

    

    Article 1

    

    	 1.1	
              In these articles of association the following definitions shall apply:

             

            

          
	 	
            Article

          	
            an article of these articles of association.

             

            

          
	 	
            Business Day

          	
            means any day other than (a) a Friday, a Saturday or a Sunday or (b) a public or bank holiday in Amsterdam, the Netherlands, Tel Aviv, Israel or London, England; provided, however, for
              purposes of counting the number of Business Days elapsed, each Business Day shall be deemed to commence at nine ante meridiem (9.00 am) London time and end at five thirty post meridiem (5.30 pm) London, England time on the applicable day.

             

            

          
	 	
            Company

          	
            ABC Technologies B.V.

             

            

          
	 	
            Conditions

          	
            has the meaning ascribed thereto in Article 5.2.

             

            

          
	 	
            Conversion Date

          	
            has the meaning ascribed thereto in Article 5.2.

             

            

          
	 	
            DCC

          	
            the Dutch Civil Code (Burgerlijk Wetboek).

             

            

          
	 	
            General Meeting

          	
            the body formed by Persons with Meeting Rights, or a meeting of Persons with Meeting Rights.

             

            

          
	 	
            Group Company

          	
            a legal entity or partnership with which the Company forms an economic and organisational unit.

          

    

    

    
      
        

    

    	 	
            Indemnified Officers

          	
            a current or former managing director of the Company.

             

            

          
	 	
            Management Board

          	
            the management board of the Company.

             

            

          
	 	
            Meeting Rights

          	
            the right to attend and address a General Meeting, whether in person or represented by the holder of a written proxy.

             

            

          
	 	
            Ordinary Shares

          	
            the ordinary shares in the capital of the Company, having a nominal value of one thousandth United States dollar (USD 0.001) and having attached thereto the rights and privileges and being subject to the
              limitations and restrictions set out in these articles of association.

             

            

          
	 	
            Person

          	
            any natural person, incorporated or unincorporated body, including an association and a partnership.

             

            

          
	 	
            Person with Meeting Rights

             

            

          	
            a Shareholder, a usufructuary (vruchtgebruiker) with voting rights and/or Meeting Rights, or a pledgee with voting rights and/or Meeting Rights.

              

            

          
	 	
            Series A Shares

          	
            the series A shares in the capital of the Company, having a nominal value of one thousandth United States dollar (USD 0.001) and having attached thereto the rights and privileges and being subject to the
              limitations and restrictions set out in these articles of association.

             

            

          
	 	
            Shareholder

          	
            a holder of shares in the capital of the Company.

             

            

          
	 	
            Shareholders Agreement

          	
            the shareholders agreement dated the third day of July two thousand and nineteen among the Shareholders party thereto, ICTS International N.V. and the Company, as amended and/or supplemented from time to time.

             

            

          
	 	
            Simple Majority

          	
            more than fifty percent (50%) of the votes cast.

             

            

          
	 	
            Subsidiary

          	
            a legal entity in whose general meeting the Company or one or more of its subsidiaries can, whether by virtue of an agreement with other persons with voting rights or otherwise and whether acting alone or
              together, exercise more than fifty percent (50%) of the voting rights, and any other legal entities and partnerships that are designated as such by the DCC.

          

     
    
      
        	1.2	
                Terms that are defined in the singular shall have the corresponding meaning in the plural and vice versa.

              

      

    

     

    
      
        	1.3	
                The term “written” or “in writing” shall also include the use of electronic means of communication.

              

      

    

     

    NAME AND SEAT

     

    Article 2

     

    
      
        	2.1	
                The name of the Company is ABC Technologies B.V.

              

      

    

     

    
      
        	2.2	
                It has its corporate seat at Amstelveen.

              

      

    

     

    OBJECTS

     

    Article 3

     

    The objects of the Company are:

     

    
      
        	a.	
                to participate in, finance or hold any other interest in, or to conduct the management of, other legal entities, partnerships or enterprises;

              

      

    

     

    
      
        	b.	
                to furnish guarantees, provide security, warrant performance or in any other way assume liability, whether jointly and severally or otherwise, for or in respect of obligations of Group Companies or other parties; and

              

      

    

     

    
      
        	c.	
                to do anything which, in the widest sense of the words, is connected with or may be conducive to the attainment of these objects.

              

      

    

     

    
      
        

    

     

    SHARES - CAPITAL

     

    Article 4

     

    
      
        	4.1	
                The share capital of the Company is divided into two separate classes of shares, consisting of Ordinary Shares and Series A Shares.

              

      

    

     

    
      
        	4.2	
                References in these articles of association to shares or shareholders without further specification shall be understood to mean both Ordinary Shares and Series A Shares or the holders thereof, respectively.

              

      

    

     

    
      
        	4.3	
                The shares shall be registered shares and shall be numbered consecutively, the Ordinary Shares starting from 1 and the Series A Shares starting from A1.

              

      

    

     

    
      
        	4.4	
                At least one share must be held by a party other than, and not on behalf of, the Company or any of its Subsidiaries.

              

      

    

     

    
      
        	4.5	
                The Company shall maintain one general share premium reserve for all classes of shares.

              

      

    

     

    
      
        	4.6	
                The Company shall maintain one general dividend reserve for all classes of shares; provided, however, the Company shall not declare and/or pay any distribution or dividend in respect of any of its shares unless such distribution or
                  dividend is declared and/or paid, as applicable, in accordance with the terms and conditions of the Shareholders Agreement.

              

      

    

     

    SHARES - CONVERSION

     

    Article 5

     

    
      
        	5.1	
                Series A Shares can be converted into Ordinary Shares.

              

      

    

     

    
      
        	5.2	
                Notwithstanding any rights to convert Series A Shares to Ordinary Shares as set forth in the Shareholders Agreement, any holder of Series A Shares shall be entitled, by notice in writing to the Company, to require conversion into
                  Ordinary Shares of all or any of the fully paid Series A Shares held by such holder at any time and such Series A Shares shall convert automatically on the date of such notice (the “Conversion Date”);

                  provided, however, such holder may in such notice state that conversion of its Series A Shares into Ordinary Shares is conditional upon the occurrence of one or more events (the “Conditions”) and,
                  in such case, such Series A Shares shall convert automatically on the satisfaction of all such Conditions.

              

      

    

     

    
      
        	5.3	
                In the event of conversion, one (1) Series A Share shall be converted into one (1) Ordinary Share, unless (a) otherwise required by the Shareholders Agreement or (b) the General Meeting, with approval of the meeting of holders of
                  Series A Shares, decides upon a different conversion rate.

              

      

    

     

    
      
        	5.4	
                Following a resolution of the meeting of holders of Series A Shares, such meeting can also send a notice in writing to the Company, to require conversion into Ordinary Shares of all of the fully paid Series A Shares. Such Series A
                  Shares shall convert automatically on the date of such notice (such date also being the Conversion Date); provided, however, the meeting may in such notice state that conversion of the Series A Shares into Ordinary Shares is conditional
                  upon the occurrence of one or more Conditions, and in such case, the Series A Shares shall convert automatically on the satisfaction of all such Conditions.

              

      

    

     

    
      
        	5.5	
                The Management Board shall immediately upon receipt of the notice as referred to in Article 5.2 or 5.4, confirm that the conversion has taken place and stating the effective date, by means of a resolution of which a copy shall be sent
                  to all Shareholders, and subsequently update the shareholders register of the Company as referred to in Article 7.

              

      

    

     

    SHARES, QUALITY REQUIREMENTS AND SANCTIONS UNDER THE ARTICLES

     

    Article 6

     

    
      
        	6.1	
                Holders of shares may only be Persons which are a party to the Shareholders Agreement, if and for so long as the Shareholders Agreement is in force. A transfer or issue of shares without taking into account the quality requirement as
                  described in this paragraph is invalid.

              

      

    

     

    
      
        	6.2	
                If and as soon as a Shareholder loses the quality as prescribed in Article 6.1 its voting rights, rights to receive distributions and its Meeting Rights shall be suspended in accordance with article 2:192(4) DCC. However, if all shares
                  are being held by Persons who do not meet the requirement set out in Article 6.1, those Persons can, nevertheless, exercise their voting rights and Meeting Rights to amend these articles of association, to wind up the Company or to
                  liquidate the affairs of the Company.

              

      

    

     

    
      
        	6.3	
                If a Shareholder cannot exercise its rights stated in Article 6.2 or such rights are suspended and the Management Board has not, within three (3) months after the request thereto has been made, appointed any interested parties to whom
                  the Shareholder can transfer his shares, such Shareholder shall in accordance with article 2:192(4) DCC be irrevocably released from the quality requirements as stated in Article 6.1.

              

      

    

     

    
      
        

    

    SHARES - REGISTER

     

    Article 7

     

    
      
        	7.1	
                The Management Board shall keep a register setting out the names and addresses of all Shareholders, usufructuaries and pledgees.

              

      

    

     

    
      
        	7.2	
                Shareholders and others whose particulars must be set out in the register shall provide the Management Board with the necessary particulars in a timely manner.

              

      

    

     

    
      
        	7.3	
                All notifications and notices convening meetings shall be sent to Persons with Meeting Rights at the addresses set out in the register.

              

      

    

     

    SHARES - ISSUE

     

    Article 8

     

    
      
        	8.1	
                Except as otherwise provided in the Shareholders Agreement, Shares may only be issued by the Company pursuant to a resolution of the Management Board and then only in accordance with, and subject to the terms and conditions of, the
                  Shareholders Agreement. The authority to issue Shares may not be transferred to another body.

              

      

    

     

    
      
        	8.2	
                Article 8.1 shall apply mutatis mutandis where rights to subscribe for shares are granted, but shall not apply where shares are issued to a person exercising an existing right to subscribe for shares.

              

      

    

     

    SHARES - PRE-EMPTION RIGHTS

     

    Article 9

     

    
      
        	9.1	
                In the event of an issue of shares, each Shareholder that holds more than three per cent (3%) of the issued and outstanding shares, shall have a pre-emption right in proportion to the aggregate nominal value of such shares.
                  Shareholders shall not have pre-emption rights in respect of shares issued to employees of the Company or of a Group Company.

              

      

    

     

    
      
        	9.2	
                Pre-emption rights may, in relation to any particular issue, be limited or excluded by the Management Board or as set forth in the Shareholders Agreement.

              

      

    

     

    
      
        	9.3	
                The Company shall announce an issue with pre-emption rights and the period in which such rights can be exercised by sending a written notice to all Shareholders at the addresses given by them.

              

      

    

     

    
      
        	9.4	
                The pre-emption rights may be exercised for a period of not less than twenty-eight (28) days after the date on which the notice was sent.

              

      

    

     

    
      
        	9.5	
                The preceding provisions of Article 9 shall apply mutatis mutandis where rights to subscribe for shares are granted, but shall not apply where shares are issued to a person exercising an
                  existing right to subscribe for shares.

              

      

    

     

    SHARES - PAYMENT

     

    Article 10

     

    
      
        	10.1	
                The full nominal value of each share shall be paid up upon subscription for that share. It may be stipulated that all or part of the nominal value need not be paid up until after a certain period of time or until the Company has called
                  for payment.

              

      

    

     

    
      
        	10.2	
                The Management Board may perform juristic acts (rechtshandelingen) in respect of non-cash contributions for shares without the prior approval of the General Meeting.

              

      

    

     

    SHARES - OWN SHARES

     

    Article 11

     

    
      
        	11.1	
                The acquisition by the Company of shares in its own capital shall be decided on by the Management Board, subject to any consent rights or other terms and conditions set forth in the Shareholders Agreement. The acquisition by the
                  Company of shares in its own capital which have not been fully paid up shall be null and void.

              

      

    

     

    
      
        	11.2	
                Except where it acquires such shares for no consideration, the Company may not acquire fully paid-up shares in its own capital if the shareholders’ equity less the acquisition price is less than the reserves which must be maintained by
                  law, or if the Management Board knows or should reasonably foresee that, following the acquisition, the Company will be unable to continue paying its due and payable debts.

              

      

    

     

    
      
        	11.3	
                The preceding provisions of Article 11 shall not be applicable to shares acquired by the Company by universal succession (onder algemene titel).

              

      

    

     

    
      
        

    

    SHARES - TRANSFER

     

    Article 12

     

    
      
        	12.1	
                The issue or transfer of a share or the creation of a limited right (beperkt recht) in respect of a share shall require a deed to that effect executed before a civil law notary practising in the
                  Netherlands and to which the persons involved are parties.

              

      

    

     

    
      
        	12.2	
                The transfer of a share or the creation of a limited right in respect thereof in accordance with Article 12.1 shall also, by operation of law, have effect vis-à-vis the Company. Unless the Company itself is a party to the transaction,
                  the rights attached to the relevant share may not be exercised until the Company has acknowledged the transaction or been served with the deed.

              

      

    

     

    SHARES - TRANSFERABILITY

     

    Article 13

     

    
      
        	13.1	
                No restrictions within the meaning of Section 2:195 DCC shall apply to a transfer of shares.

              

      

    

     

    
      
        	13.2	
                The Shareholders undertake vis-à-vis each other and vis-à-vis the Company, for as long as the Shareholders Agreement is in place, to comply with the contractual transfer restrictions as provided for in the Shareholders Agreement.

              

      

    

     

    
      
        	13.3	
                As per the first request of the relevant civil law notary as referred to in Article 12.1 addressed to the Management Board in writing, the Management Board shall provide such civil law notary with such confirmations as will be
                  reasonably required for the civil law notary to assess whether the relevant provisions with respect to a transfer of shares as laid down in the Shareholders Agreement have been complied with, and the relevant civil law notary may rely on
                  the confirmations given by the Management Board without any further research being required.

              

      

    

     

    SHARES - USUFRUCT, PLEDGE AND DEPOSITARY RECEIPTS

     

    Article 14

     

    
      
        	14.1	
                The voting rights attached to shares which are subject to a usufruct or pledge shall be vested in the relevant Shareholder.

              

      

    

     

    
      
        	14.2	
                Notwithstanding Article 14.1 and subject to what is provided in, respectively, Section 2:197 DCC and Section 2:198 DCC, a usufructuary or pledgee shall have voting rights if this has been stipulated when the relevant limited right was
                  created or if this has been agreed at a subsequent time.

              

      

    

     

    
      
        	14.3	
                Usufructuaries and pledgees without voting rights shall not have Meeting Rights, unless the contrary is stipulated upon the creation or transfer of the relevant usufruct or, respectively, the creation or transmission (overgang) of the relevant pledge and this is approved by the General Meeting.

              

      

    

     

    
      
        	14.4	
                No Meeting Rights shall be attached to depositary receipts for shares.

              

      

    

     

    MANAGEMENT BOARD - APPOINTMENT, SUSPENSION AND REMOVAL

     

    Article 15

     

    
      
        	15.1	
                The Company shall have a Management Board consisting up to (4) managing directors. Both natural persons and legal entities may be managing directors.

              

      

    

     

    
      
        	15.2	
                The meeting of holders of Ordinary Shares may appoint up to three (3) managing director(s), which managing directors may at any time be suspended or removed by the meeting of holders of Ordinary Shares.

              

      

    

     

    
      
        	15.3	
                For so long as the holders of Series A Shares are entitled to appoint a managing director (or similar) pursuant to the Shareholders Agreement, at a meeting of holders of Series A Shares, such holders may appoint one (1) managing
                  director, which managing director may at any time be suspended or removed by the meeting of holders of Series A Shares.

              

      

    

     

    
      
        	15.4	
                Where one or more managing directors are no longer in office or are unable to act, the remaining managing director(s) shall be provisionally charged with the entire management of the Company. Where all managing directors or the only
                  managing director are/is no longer in office or are/is unable to act, the management shall be provisionally conducted by the person designated for that purpose by the General Meeting.  For the avoidance of doubt, no managing director will
                  be deemed “unable to act” for purposes of this Article 15.4 solely because such managing director is not present at the applicable meeting.

              

      

    

     

    
      
        

    

    MANAGEMENT BOARD - DUTIES, ORGANISATION AND DECISION MAKING

     

    Article 16

     

    
      
        	16.1	
                The Management Board is charged with the management of the Company, subject to the restrictions contained in these articles of association. In performing their duties, managing directors shall be guided by the interests of the Company
                  and of the enterprise connected with it and shall act in a manner consistent with such interests and not inconsistent with the Shareholders Agreement.

              

      

    

     

    
      
        	16.2	
                Each managing director may cast one vote at a meeting of the Management Board.

              

      

    

     

    
      
        	16.3	
                Only a managing director can represent another managing director for the purpose of decision making by the Management Board.

              

      

    

     

    
      
        	16.4	
                Subject to the terms and conditions of the Shareholders Agreement, valid resolutions of the Management Board can only be passed – irrespective of whether this occurs at a meeting or otherwise – if the managing director that has been
                  appointed by the meeting of holders of Series A Shares pursuant to Article 15.3 is present or represented

              

      

    

     

    
      
        	16.5	
                Where the Management Board consists of more than one managing director, resolutions shall be passed – irrespective of whether this occurs at a meeting or otherwise – by a Simple Majority. Invalid votes and blank votes shall not be
                  counted as votes cast.

              

      

    

     

    
      
        	16.6	
                In the event of a tie at a meeting of the Management Board, the General Meeting shall decide; provided, however, such decision shall be made subject to the terms and conditions of the Articles and the Shareholders Agreement.

              

      

    

     

    
      
        	16.7	
                A managing director may not participate in the deliberations and decision making of the Management Board on a matter in relation to which he has a direct or indirect personal interest which conflicts with the interests of the Company
                  and of the enterprise connected with it. Where all managing directors or the only managing director have/has such a conflict of interest, the relevant decision shall nevertheless be taken by the Management Board.

              

      

    

     

    
      
        	16.8	
                Meetings of the Management Board can be held through audio or audiovisual communication facilities.

              

      

    

     

    
      
        	16.9	
                Resolutions of the Management Board may, instead of at a meeting, be passed in writing, provided that all managing directors are familiar with the resolution to be passed and all managing directors execute such resolution.

              

      

    

     

    
      
        	16.10	
                The Management Board may draw up rules concerning its internal matters. The managing directors may also allocate their duties among themselves, whether by drawing up rules or otherwise.

              

      

    

     

    
      
        	16.11	
                The Management Board shall require the approval of the General Meeting for such Management Board resolutions as the General Meeting shall have specified in a resolution to that effect and notified to the Management Board.

              

      

    

     

    
      
        	16.12	
                Failure to obtain the approval required under Article 16.11 shall not affect the powers of representation of the Management Board or managing directors.

              

      

    

     

    
      
        	16.13	
                The Management Board must follow the instructions of the General Meeting, unless these instructions are contrary (a) to the interests of the Company and the enterprise connected with it or (b) the express terms and conditions of the
                  Shareholders Agreement.

              

      

    

     

    MANAGEMENT BOARD - REPRESENTATION

     

    Article 17

     

    
      
        	17.1	
                The Management Board is entitled to represent the Company, as are two managing directors acting jointly.

              

      

    

     

    
      
        	17.2	
                The Management Board may grant one or more persons a power of attorney to represent the Company and determine the scope of authority of such persons in this regard. The Management Board may give a person holding a power of attorney
                  such title as it deems appropriate.

              

      

    

     

    
      
        

    

    INDEMNITY

     

    Article 18

     

    
      
        	18.1	
                The Company shall indemnify each of its Indemnified Officers against:

              

      

    

     

    
      
        	

              	a.	
                any financial losses or damages incurred by such Indemnified Officer; and

              

      

    

     

    
      
        	

              	b.	
                any expense reasonably paid or incurred by such Indemnified Officer in connection with any threatened, pending or completed suit, claim, action or legal proceedings, whether civil, criminal, administrative or investigative and whether
                  formal or informal, in which he/she becomes involved,

              

      

    

     

    to the extent this relates to his/her position or former position with the Company, in each case to the fullest extent permitted by applicable law.

     

    
      
        	18.2	
                No indemnification shall be given to an Indemnified Officer:

              

      

    

     

    
      
        	

              	a.	
                if a Dutch court has established, without possibility for appeal, that the acts or omissions of such Indemnified Officer that led to the financial losses, damages, suit, claim, action or legal proceedings as described in Article 18.1
                  result from either an improper performance of his/her duties as an officer of the Company or an unlawful or illegal act; and

              

      

    

     

    
      
        	

              	b.	
                to the extent that his/her financial losses, damages and expenses are covered by an insurance and the insurer has settled these financial losses, damages and expenses (or has indicated that it would do so).

              

      

    

     

    GENERAL MEETINGS – CONVOCATION AND AGENDA

     

    Article 19

     

    
      
        	19.1	
                During each financial year at least one General Meeting must be held or at least one resolution passed in accordance with Article 22.1.

              

      

    

     

    
      
        	19.2	
                General Meetings shall also be held whenever such a meeting is convened by the Management Board or one or more managing directors.

              

      

    

     

    
      
        	19.3	
                General Meetings must be held in the place where the Company has its corporate seat as set out in these articles of association, and/or in Amsterdam, Rotterdam or Schiphol (Haarlemmermeer). Directors may participate in any meeting
                  through the use of any means of conference telephones or similar communications equipment as long as all directors participating can hear one another.  A director so participating is deemed to be present in person at the meeting and such
                  director’s telephonic attendance constitutes waiver of notice subject to the other terms of clause 9 of the Shareholders Agreement.

              

      

    

     

    
      
        	19.4	
                A General Meeting must be convened by letters sent to Persons with Meeting Rights no later than on the eighth day prior to the day of the meeting.

              

      

    

     

    
      
        	19.5	
                Where the rules laid down by law or by these articles of association in relation to the place where meetings should be held, the convening of meetings or the drawing up of agendas have not been complied with, legally valid resolutions
                  may still be passed provided that all Persons with Meeting Rights have consented to the place of the meeting or to a decision being made on the relevant matters, respectively, and provided that the managing directors have been afforded
                  the opportunity to give their advice prior to the decision-making.

              

      

    

     

    GENERAL MEETING - PROCEDURAL RULES

     

    Article 20

     

    
      
        	20.1	
                The General Meeting shall appoint its own chairman.

              

      

    

     

    
      
        	20.2	
                Managing directors shall, in that capacity, have an advisory vote at General Meetings.

              

      

    

     

    
      
        	20.3	
                The Management Board may decide that each Person with Meeting Rights is entitled, whether in person or represented by a person holding a written proxy, to participate in, address and (where applicable) exercise his voting rights at the
                  General Meeting by electronic means of communication.

              

      

    

     

    
      
        	20.4	
                The Management Board may impose conditions on the use of electronic means of communication.

              

      

    

     

    
      
        

    

    GENERAL MEETING - DECISION-MAKING

     

    Article 21

     

    
      
        	21.1	
                Each share shall give the right to cast one vote at General Meetings.

              

      

    

     

    
      
        	21.2	
                The Management Board may decide that votes cast before the General Meeting, but not earlier than on the thirtieth day before that of the meeting, by electronic means of communication shall be equated with those cast at the time of the
                  meeting.

              

      

    

     

    
      
        	21.3	
                Unless a greater majority is required by law or as otherwise set forth in the Shareholders Agreement, all resolutions shall be passed by a Simple Majority. Invalid and blank votes shall not be counted as votes cast.

              

      

    

     

    
      
        	21.4	
                Resolutions to amend Article 18 of these articles of association may only be passed by a unanimous vote at a meeting at which the entire issued capital is represented.

              

      

    

     

    GENERAL MEETING - RESOLUTIONS WITHOUT HOLDING A MEETING

     

    Article 22

     

    
      
        	22.1	
                Shareholders may pass resolutions without holding a meeting provided that all Persons with Meeting Rights have consented to this manner of decision-making, which consent may be given electronically. The votes on such a resolution must
                  be cast in writing.

              

      

    

     

    
      
        	22.2	
                The managing directors must have been afforded the opportunity to give their advice prior to the decision-making referred to in Article 22.1.

              

      

    

     

    MEETINGS OF HOLDERS OF SHARES OF A SPECIFIC CLASS

     

    Article 23

     

    
      
        	23.1	
                Meetings of holders of shares of a specific class shall be held in all cases in which a resolution of the meeting of holders of shares of that class is required pursuant to these articles of association and whenever the Management
                  Board so requires or if one or more persons with voting rights in respect of the shares of that class deems it necessary.

              

      

    

     

    
      
        	23.2	
                Without prejudice to Article 23.1, the provisions in these articles association relating to the General Meeting shall as far as possible apply mutatis mutandis to meetings of holders of shares of a specific class, provided that (i) the
                  provisions of Article 19.1 and Article 20.2 shall not be applicable to meetings of holders of shares of a specific class, (ii) meetings of holders of shares of a specific class can adopt resolutions by a Simple Majority, without any
                  quorum requirements, (iii) each meeting of holders of shares of a specific class shall appoint its own chairman, (iv) a meeting of holders of shares of a specific class can also be convened by a Shareholder who is entitled to vote in such
                  meeting, and (v) each share of a class shall give the right to cast one vote at the meeting of holders of shares of that class.

              

      

    

     

    FINANCIAL YEAR, ANNUAL ACCOUNTS

     

    Article 24

     

    
      
        	24.1	
                The financial year of the Company shall coincide with the calendar year.

              

      

    

     

    
      
        	24.2	
                Each year, within five months after the end of the Company’s financial year, unless this period is extended by a maximum of five months by the General Meeting on account of special circumstances, the Management Board shall prepare
                  annual accounts and deposit them at the Company’s office for inspection by the Shareholders. If the Company is required by law to prepare a management report, the Management Board shall, within the same period, also deposit the management
                  report for inspection by the Shareholders. The annual accounts shall be signed by all managing directors. If one or more of their signatures is missing, this fact and the reason therefor shall be stated.

              

      

    

     

    
      
        	24.3	
                The annual accounts shall be adopted by the General Meeting. The signing of the annual accounts as provided for in the first sentence of Section 2:210(5) DCC shall not serve as adoption of those accounts.

              

      

    

     

    
      
        	24.4	
                The Company shall publish the annual accounts, together with all other relevant documents and information if and to the extent and in the manner required by law.

              

      

    

     

    
      
        

    

    DISTRIBUTIONS ON SHARES

     

    Article 25

     

    
      
        	25.1	
                The profits as determined through the adoption of the annual accounts shall be at the disposal of the General Meeting, subject in all cases to the terms and conditions of the Shareholders Agreement. Subject to the terms and conditions
                  of the Shareholders Agreement, the General Meeting may decide to make a distribution, to the extent that the shareholders’ equity exceeds the reserves that must be maintained by law. As long as there are holders of Series A Shares (not
                  being the Company) that hold such Series A Shares that represent at least one-third of the Series A Shares outstanding on the third day of July two thousand and nineteen, a distribution requires the approval of the meeting of holders of
                  Series A Shares.

              

      

    

     

    
      
        	25.2	
                A resolution to make a distribution shall not take effect as long as the Management Board has not given its approval. The Management Board may only withhold such approval if it knows or should reasonably foresee that, following the
                  distribution, the Company will be unable to continue paying its due and payable debts.

              

      

    

     

    
      
        	25.3	
                For the purposes of calculating any distribution, shares held by the Company in its own capital shall not be included.

              

      

    

     

    
      
        	25.4	
                For the purposes of calculating the amount to be distributed on each share, only the amount of the mandatory payments towards the nominal value of the shares shall be taken into account. The preceding sentence may be derogated from
                  with the consent of all Shareholders or as provided in the Shareholders Agreement.

              

      

    

     

    
      
        	25.5	
                If the Company declares and/or pays any distribution or dividend in respect of any of its shares, such distribution or dividend shall be declared and/or paid, as applicable, in respect of all of its shares on an as-converted basis;
                  provided, that no distribution or dividend shall be paid in respect of the Company’s shares unless such distribution or dividend is made in compliance with the Shareholders Agreement.

              

      

    

     

    DISSOLUTION AND LIQUIDATION

     

    Article 26

     

    
      
        	26.1	
                In the event of the Company being dissolved, the liquidation shall be effected by the Management Board unless the General Meeting decides otherwise.

              

      

    

     

    
      
        	26.2	
                After the liquidation has been completed, the books, records and other information carriers of the Company shall be kept for the period prescribed by law by the person designated for that purpose in the resolution of the General
                  Meeting to dissolve the Company. Where the General Meeting has not designated such a person, the liquidators shall do so.

              

      

    

     

    FINAL STATEMENTS

     

    Finally, the person appearing declared:

     

    
      
        	A.	
                that by means of this Deed one hundred (100) ordinary shares in the capital of the Company, with a nominal value of one euro (EUR 1.00) each, numbered 1 up to and including 100, will be split into one hundred thousand (100,000) shares
                  in the capital of the Company, with a nominal value of one thousandth euro (EUR 0.001) each, numbered 1 up to and including 100,000 and subsequently the nominal value of such shares in the capital of the Company will be converted into one
                  thousandth United States dollar (USD 0.001) each;

              

      

    

     

    
      
        	B.	
                that immediately after the execution of this Deed the Company’s issued capital will therefore amount to one hundred United States dollar (USD 100), divided into one hundred thousand (100,000) Ordinary Shares, with a nominal value of
                  one thousandth United States dollar (USD 0.001) each, numbered 1 up to and including 100,000;

              

      

    

     

    
      
        	C.	
                that the balance of the euro - United States dollar exchange rate at the date of the subject amendment to the articles of association taking effect, with respect to the Company’s issued capital immediately before the execution of this
                  Deed and the Company’s issued capital immediately after the execution of this Deed shall constitute share premium (agio) and shall be added to the Company’s general share premium reserve; and

              

      

    

     

    
      
        	D.	
                that as evidenced by the Written Resolution, the person appearing has been authorised to execute this Deed.

              

      

    

     

    The person appearing is known to me, civil law notary.

     

    This Deed was executed in Rotterdam on the date mentioned in its heading.

     

    After I, civil law notary, had conveyed and explained the contents of the Deed in substance to the person appearing, she declared that she had taken note of the contents of the Deed, was in agreement with the contents
      and did not wish them to be read out in full. Following a partial reading, the Deed was signed by the person appearing and by me, civil law notary.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00297-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00297-of-00352.parquet"}]]