Document:

Exhibit 10.9

 

 

 

ENZYMOTEC LTD.

 

INVESTORS’ RIGHTS AGREEMENT

 

DATED SEPTEMBER 27, 2011

 

 

 

    	 

    	 

    

 

INVESTORS’ RIGHTS AGREEMENT

 

This INVESTORS’
RIGHTS AGREEMENT (“Agreement”) is made as of the 27th day of September, 2011, by and among
Enzymotec Ltd., an Israeli company (the “Company”) and each of the investors listed on Schedule A
hereto, each of which is referred to in this Agreement as an “Investor” and collectively “Investors”.

 

RECITALS

 

WHEREAS, the
Investors are the holders of all of the issued and outstanding Preferred A Shares of the Company, nominal value NIS 0.01 each (“Preferred
A Shares”), Preferred B Shares of the Company, nominal value NIS 0.01 each (“Preferred B Shares”),
Preferred B1 Shares of the Company, nominal value NIS 0.01 each (“Preferred B1 Shares”) and Preferred B2 Shares
of the Company, nominal value NIS 0.01 each (“Preferred B2 Shares”, and together with the Preferred A Shares,
the Preferred B Shares and the Preferred B1 Shares, the “Preferred Shares”).

 

WHEREAS, the Investors and
the Company desire to set forth certain matters regarding the ownership of the shares of the Company;

 

NOW, THEREFORE,
in consideration of the mutual promises and covenants set forth herein, the parties hereby agree as follows:

 

1.        Definitions.
For purposes of this Agreement:

 

“Affiliate”
means, with respect to any specified Person, any other Person who or which, directly or indirectly, controls, is controlled by,
or is under common control with such Person, including without limitation any general
partner, managing member, officer, director,
or manager of such Person and any venture capital fund now or hereafter existing that is controlled by one or more
general partners or managing members of, or shares the same management company with, such Person.

 

“Articles
of Association” means the articles of association of the Company, as may be amended from time to time.

 

“Damages”
means any loss, damage, or liability (joint or several) to which a party hereto may become subject under the Securities Act, the
Exchange Act, or other federal or state law, insofar as such loss, damage, or liability (or any action in respect thereof) arises
out of or is based upon (i) any untrue statement or alleged untrue statement of a material fact contained in any registration statement
of the Company, including any preliminary prospectus or final prospectus contained therein or any amendments or supplements thereto;
(ii) an omission or alleged omission to state therein a material fact required to be stated therein, or necessary to make
the statements therein, in light of the circumstance in which they are made, not misleading; or (iii) any violation or alleged
violation by the indemnifying
party (or any of its agents or Affiliates)
of the Securities Act, the Exchange Act, any state securities law, or any rule or regulation promulgated under the Securities
Act, the Exchange Act, or any state securities law.

 

“Derivative
Securities” means any securities or rights convertible into, or exercisable or exchangeable for
(in each case, directly or indirectly), Ordinary Shares, including options and warrants.

 

“Deemed Liquidation”
has the meaning assigned to it in the Articles of Association.

 

    	 

    	 

    

 

“Exchange
Act” means the Securities Exchange Act of 1934, as amended, and the rules and regulations promulgated thereunder.

 

“Excluded
Registration” means (i) a registration relating to
the sale of securities to employees of the Company or a subsidiary pursuant to a share option, share purchase, or similar plan;
(ii) a registration relating to a SEC Rule 145 transaction; (iii) a registration on any form that does not include substantially
the same information as would be required to be included in a registration statement covering the sale of the Registrable Securities;
or (iv) a registration in which the only Ordinary Shares being registered are Ordinary Shares issuable upon conversion of debt
securities that are also being registered.

 

“Form
S-1” means such form under the Securities Act as in effect on the date hereof or any
successor registration form under the Securities Act subsequently adopted by the SEC.

 

“Form
F-1” means such form under the Securities Act as in effect on the date hereof or any
successor registration form under the Securities Act subsequently adopted by the SEC.

 

“Form
S-2” means such form under the Securities Act as in effect on the date hereof or any
successor registration form under the Securities Act subsequently adopted by the SEC.

 

“Form
F-2” means such form under the Securities Act as in effect on the date hereof or any
successor registration form under the Securities Act subsequently adopted by the SEC.

 

“Form S-3”
means such form under the Securities Act as in effect on the date hereof or any registration form under the Securities Act subsequently
adopted by the SEC that permits incorporation of substantial information by reference to other documents filed by the Company with
the SEC.

 

“Form F-3”
means such form under the Securities Act as in effect on the date hereof or any registration form under the Securities Act subsequently
adopted by the SEC that permits incorporation of substantial information by reference to other documents filed by the Company with
the SEC.

 

“Holder”
means any holder of Registrable Securities who is a party to this Agreement.

 

“Initiating
Holders” means, collectively, Holders who properly initiate a registration request under this Agreement.

 

“IPO”
means the Company’s first public offering pursuant to a registration statement under the Securities Act or
of other similar securities law of another jurisdiction.

 

“Israeli GAAP”
means generally accepted accounting principles in the State of Israel.

 

“Ordinary
Shares” means the Ordinary Shares of the Company, NIS 0.01 nominal value each.

 

“Major Investor”
means any Investor that, individually or together with such Investor’s Affiliates, holds at least 5% of the issued and outstanding
share capital of the Company.

 

“Permitted
Transferee” shall have the meaning set forth in the Articles of Association.

 

“Person”
means any individual, corporation, partnership, trust, limited liability company, association or
other entity.

 

“Preferred
Registrable Securities” means all Registrable Securities issued or issuable upon conversion of the Preferred Shares.

 

    	 

    	 

    

 

“Qualified
IPO” or “QIPO” has the meaning assigned to it in the
Articles of Association.

 

“Registrable
Securities” means (i) the Ordinary Shares; (ii) the Ordinary Shares issuable or issued upon conversion of the Preferred
Shares; (iii) any Ordinary Shares issued or issuable (directly
or indirectly) upon conversion and/or exercise of any
other securities
of the Company, acquired by the Investors after the date hereof; and (iv) any Ordinary Shares issued as (or issuable upon the conversion
or exercise of any warrant, right, or other security that is issued as) a dividend or other distribution with respect to, or in
exchange for or in replacement of, the shares referenced in clauses (i)-(iii) above; excluding in all cases, however, any Registrable
Securities sold by a Person in a transaction in which the applicable
rights under this Agreement are not assigned pursuant
to Section 4.1,
and excluding for purposes of Section 2 any
shares for which registration rights have terminated pursuant to Section 2.13
of this Agreement.

 

“Registrable
Securities then Outstanding” means the number of shares determined by adding the number
of outstanding Ordinary Shares that are Registrable Securities
and the number of Ordinary Shares issuable (directly
or indirectly) pursuant to then exercisable and/or
convertible securities that are Registrable Securities.

 

“Restricted
Securities” means the securities of the Company required to bear the legend set forth in Section 2.12(b)
hereof.

 

“SEC”
means the Securities and Exchange Commission.

 

“SEC Rule
144” means Rule 144 promulgated by the SEC under the Securities Act.

 

“SEC Rule
144(b)(1)” means Rule 144(b)(1) promulgated by the SEC under the Securities Act.

 

“SEC Rule
145” means Rule 145 promulgated by the SEC under the Securities Act. 

 

“Securities
Act” means the Securities Act of 1933, as amended, and the rules and regulations promulgated thereunder.

 

“Selling Expenses”
means all underwriting discounts, selling commissions, and share transfer taxes applicable to the sale of Registrable Securities,
and fees and disbursements of counsel for any Holder, except for
the fees and disbursements of the Selling Holder Counsel borne and paid by the Company as provided in Section 2.6.

 

2.        Registration
Rights. The Company covenants and agrees as follows:

 

2.1    Demand
Registration.

 

(a)        Form
S-1/F-1 Demand. If at any time after
one hundred eighty (180) days after the effective date of the registration statement for the IPO, the Company receives a request
from Holders of a majority of the Preferred Registrable Securities then Outstanding, that the Company file
a Form S-1 (or any comparable successor form or similar
form available to foreign issuers, such as Form F-1, if available) registration
statement with respect to outstanding Registrable Securities of such Holders having an
anticipated aggregate offering price of at least US$ 5,000,000, then the Company shall (i) within ten (10) business days
after the date such request is given, give notice thereof (the “Demand Notice”) to all Holders other than the
Initiating Holders; and (ii) as soon as practicable, and in any event within sixty (60) days after the date such request is given
by the Initiating Holders, file a Form S-1 (or
any comparable successor form or similar form available to foreign issuers, such as Form F-1, if available) registration
statement under the Securities Act covering all Registrable Securities that the Initiating
Holders requested to be registered
and any additional Registrable Securities requested
to be included in such registration by any other Holders, as specified by notice given by each such Holder to the Company within
twenty (20) days of the date the Demand Notice is given, and in each case, subject to the limitations of Section 2.1(c)
and Section 2.3.

 

    	 

    	 

    

 

(b)        Form
S-3/F-3 Demand. If at any
time when it is eligible to use a Form S-3 (or any comparable successor form or similar form available to foreign issuers,
such as Form F-3, if available) registration statement, the Company receives a request from
Holders of a majority of the Preferred Registrable Securities then Outstanding,
that the Company file a Form S-3 (or any comparable successor form or similar form available to foreign issuers, such as Form F-3,
if available) registration statement with respect to outstanding Registrable Securities of such Holders having an anticipated aggregate
offering price, of at least US $1,000,000, then the Company shall (i) within ten (10) business days after the date such request
is given, give a Demand Notice to all Holders other than the Initiating Holders; and (ii) as soon as practicable, and in any event
within forty-five (45) days after the date such request is given by the Initiating Holders, file a Form S-3 (or any comparable
successor form or similar form available to foreign issuers, such as Form F-3, if available) registration statement under the Securities
Act covering all Registrable Securities requested to be included in such registration by any other Holders, as specified by notice
given by each such Holder to the Company within twenty (20) days of the date the Demand Notice is given, and in each case, subject
to the limitations of Section
2.1(c) and Section 2.3.

 

(c)        Notwithstanding
the foregoing obligations, if the Company furnishes to Holders requesting a registration pursuant to this Section 2.1
a certificate signed by the Company’s Chairman of the Board of Directors stating that in the good faith judgment of the Company’s
Board of Directors it would be materially detrimental to the Company and its shareholders for such registration statement to either
become effective or remain effective for as long as such registration statement otherwise would be required to remain effective,
because such action would (i) materially interfere with a significant acquisition, corporate reorganization, or other similar transaction
involving the Company; (ii) require premature disclosure of material information that the Company has a bona fide business purpose
for preserving as confidential; or (iii) render the Company unable to comply with requirements under the Securities Act or Exchange
Act, then the Company shall have the right to defer taking action with respect to such filing, and any time periods with respect
to filing or effectiveness thereof shall be tolled correspondingly, for a period of not more than ninety (90) days after the request
of the Initiating Holders is given; provided, however, that the
Company may not invoke this right more than once in any twelve (12) month period; and provided further that the Company
shall not register any securities for its own account or that of any other shareholder during such ninety (90) day period other
than pursuant to a registration relating to the sale of securities
to employees of the Company or a subsidiary pursuant to a share option, share purchase, or similar plan; a registration on any
form that does not include substantially the same information as would be required to be included in a registration statement covering
the sale of the Registrable Securities; or a registration in which the only Ordinary Shares being registered is Ordinary Shares
issuable upon conversion of debt securities that are also being registered.

 

    	 

    	 

    

 

(d)        The
Company shall not be obligated to effect, or to take any action to effect, any registration pursuant to Section 2.1(a)
(i) during the period that is sixty (60) days before the Company’s good faith estimate of the date of filing of, and ending
on a date that is one hundred and eighty (180) days after the effective date of, a Company-initiated registration, provided,
that the Company is actively employing in good faith commercially reasonable efforts to cause such registration statement to become
effective; (ii) after the Company has effected two (2) registrations
pursuant to Section
2.1(a); or (iii) if the Initiating Holders propose to dispose of shares
of Registrable Securities that may be immediately registered on Form S-3 (or
any comparable successor form or similar form available to foreign issuers, such as Form F-3, if available) pursuant
to a request made pursuant to Section 2.1(b).
The Company shall not be obligated to effect, or to take any action to effect, any registration pursuant to Section
2.1(b) (i) during the period
that is thirty (30) days before the Company’s good faith estimate of the date of filing of, and ending on a date that is
ninety (90) days after the effective date of, a Company-initiated registration, provided, that the Company is actively employing
in good faith commercially reasonable efforts to cause such registration statement to become effective; or (ii) if the Company
has effected two registrations pursuant to Section
2.1(b) within the twelve
(12) month period immediately preceding the date of such request. A registration
shall not be counted as “effected” for purposes of this Section 2.1(d)
until such time as the applicable registration statement has been declared effective by the SEC, unless the Initiating Holders
(i) withdraw their request for such registration (except, if at the time of such withdrawal, the Holders shall have learned of
a material adverse change in the condition, business or prospects of the Company from that known to the Holders at the time of
their request and have withdrawn the request with reasonable promptness after learning of such information), (ii) elect not to
pay the registration expenses therefor, and (iii) forfeit their right to one demand registration
statement pursuant to Section 2.6, in which case such withdrawn registration statement
shall be counted as “effected” for purposes of this Section 2.1(d). 

 

2.2    Company
Registration. If the Company proposes to register (including, for this purpose, a registration effected by the Company for
shareholders other than the Holders) any of its securities under the Securities Act in connection with the public offering of such
securities solely for cash (other than in an Excluded Registration), the Company shall, at such time, promptly give each Holder
notice of such registration. Upon the request of each Holder given within twenty (20) days after such notice is given by the Company,
the Company shall, subject to the provisions of Section 2.3, cause to be registered all of the Registrable Securities that
each such Holder, respectively, has requested to be included in such registration. The Company shall have the right to terminate
or withdraw any registration initiated by it under this Section 2.2 before the effective date of such registration, whether
or not any Holder has elected to include Registrable Securities in such registration. The expenses (other than Selling Expenses)
of such withdrawn registration shall be borne by the Company in accordance with Section 2.6.

 

2.3    Underwriting
Requirements.

 

(a)        If, pursuant
to Section 2.1,
the Initiating Holders intend to distribute the Registrable Securities covered by their request by means of an underwriting,
they shall so advise the Company as a part of their request made pursuant to Section 2.1,
and the Company shall include such information in the Demand Notice. The underwriter(s)
will be selected by the Company and shall be reasonably acceptable to a majority in interest of the Initiating Holders, subject
only to the reasonable approval of the Company. In such event, the right of any Holder to include such Holder’s Registrable
Securities in such registration shall be conditioned upon such Holder’s participation in such underwriting and the inclusion
of such Holder’s Registrable Securities in the underwriting to the extent provided herein. All Holders proposing to distribute
their securities through such underwriting shall (together with the Company as provided in Section 2.4(e))
enter into an underwriting agreement in customary form with the underwriter(s) selected for such underwriting. Notwithstanding
any other provision of this Section 2.3,
if the managing underwriter(s) advise(s) the Company in writing that marketing factors require a limitation on the number of shares
to be underwritten, then the amount of Registrable Securities proposed to be registered shall be in the following order of priority:
first, the Holders of Preferred Registrable Securities shall be entitled to register all of the Preferred Registrable Securities
requested to be registered by them (pro rata to the respective number of Registrable Securities requested by such Holders to be
included in the registration); second, the Holders of remaining Registrable Securities shall be entitled to register all
of the Registrable Securities requested to be registered by them (pro rata to the respective number of Registrable Securities requested
by such Holders to be included in the registration), or if insuffient to register all such Registrable Securities, the Registrable
Securities to be registered shall be allocated among such
Holders of Registrable Securities, in proportion (as nearly as practicable) to the number of Registrable Securities owned by each
Holder; third, if remaining, securities which the Company wishes to register on its own behalf; and fourth, if remaining,
any other securities of the Company.

 

    	 

    	 

    

 

(b)        In connection
with any offering involving an underwriting of shares of the Company’s share capital pursuant to Section 2.2, the
Company shall not be required to include any of the Holders’ Registrable Securities in such underwriting unless the Holders
accept the terms of the underwriting as agreed upon between the Company and its underwriters, and then only in such quantity as
the underwriters in their sole discretion determine will not jeopardize the success of the offering by the Company. If the total
number of securities, including Registrable Securities, requested by shareholders to be included in such offering exceeds the number
of securities to be sold (other than by the Company) that the underwriters, in their reasonable discretion, determine is compatible
with the success of the offering, then the Company shall be required to include in the offering only that number of such securities,
including Registrable Securities, which the underwriters and the Company, in their sole discretion, determine will not jeopardize
the success of the offering. If the underwriters determine that less than all of the Registrable Securities requested to be registered
can be included in such offering, then the number of shares of securities that are entitled to be included in the registration
shall be allocated in the following order of priority: first, the Company shall be entitled to register all of the securities
the Company wishes to register for its own account, subject to the provisions of Section 2.2; second, if remaining, the
Holders of Preferred Registrable Securities shall be entitled to register such number of Preferred Registrable Securities requested
to be registered by them (pro rata to the respective number of Registrable Securities requested by such Holders to be included
in the registration); third, if remaining, the Holders of remaining Registrable Securities shall be entitled to register
such number of Registrable Securities requested to be registered by them (pro rata to the respective number of Registrable Securities
requested by such Holders to be included in the registration); and fourth, if remaining, any other securities of the Company
held by other shareholders. Notwithstanding the foregoing, in no event shall (i)
the number of Registrable Securities included in the offering be reduced unless all other securities (other than securities to
be sold by the Company) are first entirely excluded from the offering, and (ii) the number of Registrable Securities
included in the offering be reduced below thirty percent (30%) of the total number of securities included in such offering, unless
such offering is the IPO, in which case the selling Holders may be excluded further if the underwriters make the determination
described above and no other shareholder’s securities are included in such offering. For purposes of the provision in this
Section 2.3(b) concerning apportionment, for any selling Holder, such Holder and the Permitted Transferee of such Holder
shall be deemed to be a single “selling Holder,” and any pro rata reduction with respect to such “selling Holder”
shall be based upon the aggregate number of Registrable Securities owned by all Persons included in such “selling Holder,”
as defined in this sentence.

 

(c)        For purposes
of Section 2.1,
a registration shall not be counted as “effected” if, as a result of an exercise of the underwriter’s cutback
provisions in Section 2.3(a), fewer
than fifty percent (50%) of the total number of Registrable Securities that Holders have requested to be included in such registration
statement are actually included.

 

2.4    Obligations
of the Company. Whenever required under this Section 2 to effect the
registration of any Registrable Securities, the Company shall, as expeditiously as reasonably possible:

 

(a)        prepare and
file with the SEC a registration statement with respect to such Registrable Securities and use its commercially reasonable efforts
to cause such registration statement to become effective and, upon the request of the Holders of a majority of the Registrable
Securities registered thereunder, keep such registration statement effective for a period of up to one hundred twenty (120) days
or, if earlier, until the distribution contemplated in the registration statement has been completed; provided, however,
that such one hundred twenty (120) day period shall be extended for a period of time equal to the period the Holder refrains, at
the request of an underwriter of Ordinary Shares (or other securities) of the Company, from selling any securities included in
such registration;

 

    	 

    	 

    

 

(b)        prepare and
file with the SEC such amendments and supplements to such registration statement, and the prospectus used in connection with such
registration statement, as may be necessary to comply with the Securities Act in order to enable the disposition of all securities
covered by such registration statement;

 

(c)        furnish to the
selling Holders participating in such registration such numbers of copies of a prospectus, including a preliminary prospectus,
as required by the Securities Act, and such other documents as the Holders may reasonably request in order to facilitate their
disposition of their Registrable Securities;

 

(d)        use its commercially
reasonable efforts to register and qualify the securities covered by such registration statement under such other securities or
blue-sky laws of such jurisdictions as shall be reasonably requested by the selling Holders; provided that the Company shall
not be required to qualify to do business or to file a general consent to service of process in any such states or jurisdictions,
unless the Company is already subject to service in such jurisdiction and except as may be required by the Securities Act;

 

(e)        in the event
of any underwritten public offering, enter into and perform its obligations under an underwriting agreement, in usual and customary
form, with the underwriter(s) of such offering;

 

(f)        use its commercially
reasonable efforts to cause all such Registrable Securities covered by such registration statement to be listed on a national securities
exchange or trading system and each securities exchange and trading system (if any) on which similar securities issued by the Company
are then listed;

 

(g)        provide a transfer
agent and registrar for all Registrable Securities registered pursuant to this Agreement and provide a CUSIP number for all such
Registrable Securities, in each case not later than the effective date of such registration;

 

(h)        promptly make
available for inspection by the selling Holders, any underwriter(s)
participating in any disposition pursuant to such registration statement, and any attorney or accountant or other agent retained
by any such underwriter or selected by the selling Holders, all financial and other records, pertinent corporate documents, and
properties of the Company, and cause the Company’s officers, directors, employees, and independent accountants to supply
all information reasonably requested by any such seller, underwriter, attorney, accountant, or agent,
in each case, as necessary or advisable to verify the accuracy of the information in such registration statement and to conduct
appropriate due diligence in connection therewith;

 

(i)        notify each
selling Holder, promptly after the Company receives notice thereof, of the time when such registration statement has been declared
effective or a supplement to any prospectus forming a part of such registration statement has been filed; and

 

(j)        after such registration
statement becomes effective, notify each selling Holder of any request by the SEC that the Company amend or supplement such registration
statement or prospectus.

 

    	 

    	 

    

 

2.5    Furnish
Information. It shall be a condition precedent to the obligations of the Company to take any action pursuant to this Section
2 with respect to the Registrable Securities of any selling Holder that such Holder shall furnish to the Company such information
regarding itself, the Registrable Securities held by it, and the intended method of disposition of such securities as is reasonably
required to effect the registration of such Holder’s Registrable Securities.

 

2.6    Expenses
of Registration. All expenses (other than Selling Expenses) incurred in connection with registrations, filings, or qualifications
pursuant to Section 2, including all registration, filing, and qualification fees; printers’ and accounting fees;
fees and disbursements of counsel for the Company; and the reasonable fees and disbursements of one counsel for the selling Holders
(“Selling Holders Counsel”),
shall be borne and paid by the Company; provided, however, that the Company shall not be required to pay for any expenses
of any registration proceeding begun pursuant to Section 2.1 if the registration request is subsequently withdrawn at the
request of the Holders of a majority of the Registrable Securities to be registered (in which case all selling Holders shall bear
such expenses pro rata based upon the number of Registrable Securities that were to be included in the withdrawn registration),
unless the Holders of a majority of the Registrable Securities agree to forfeit their right to one registration pursuant to Section
2.1(a) or Section 2.1(b),
as the case may be; provided further that if, at the time of such withdrawal, the Holders have learned of a material adverse
change in the condition, business or prospects of the Company from that known to the Holders at the time of their request and have
withdrawn the request with reasonable promptness after learning of such information, then the Holders shall not be required to
pay any of such expenses and shall not forfeit their right to one registration pursuant to Section 2.1(a)
or Section 2.1(b). All Selling Expenses relating
to Registrable Securities registered pursuant to this Section 2 shall be borne and paid by the Holders pro rata on the basis
of the number of Registrable Securities registered on their behalf.

 

2.7    Delay
of Registration. No Holder shall have any right to obtain or seek an injunction restraining or otherwise delaying any registration
pursuant to this Agreement as the result of any controversy that might arise with respect to the interpretation or implementation
of this Section 2.

 

2.8    Indemnification.
If any Registrable Securities are included in a registration statement under this Section 2:

 

(a)        To the extent
permitted by law, the Company will indemnify and hold harmless each selling Holder, and the partners, members, officers, directors,
and shareholders of each such Holder; legal counsel and accountants for each such Holder; any underwriter (as defined in the Securities
Act) for each such Holder; and each Person, if any, who controls such Holder or underwriter within the meaning of the Securities
Act or the Exchange Act, against any Damages, and the Company will pay to each such Holder, underwriter, controlling Person, or
other aforementioned Person any legal or other expenses reasonably incurred thereby in connection with investigating or defending
any claim or proceeding from which Damages may
result, as such expenses are incurred; provided, however, that the indemnity agreement contained in this Section 2.8(a)
shall not apply to amounts paid in settlement of any such claim
or proceeding if such settlement is effected without the consent of the Company, which consent shall not be unreasonably withheld,
nor shall the Company be liable for any Damages to the extent that they arise out of or are based upon actions or omissions made
in reliance upon and in conformity with written information furnished by or on behalf of any such Holder, underwriter, controlling
Person, or other aforementioned Person expressly for use in connection with such registration.

 

    	 

    	 

    

 

(b)        To the extent
permitted by law, each selling Holder, severally and not jointly, will indemnify and hold harmless the Company, and each of its
directors, each of its officers who has signed the registration statement, each Person (if any), who controls the Company within
the meaning of the Securities Act, legal counsel and accountants for the Company, any underwriter (as defined in the Securities
Act), any other Holder selling securities in such registration statement, and any controlling Person of any such underwriter or
other Holder, against any Damages, in each case only to the extent that such Damages arise out of or are based upon actions or
omissions made in reliance upon and in conformity with written information furnished by or on behalf of such selling Holder expressly
for use in connection with such registration; and each such selling Holder will pay to the Company and each other aforementioned
Person any legal or other expenses reasonably incurred thereby in connection with investigating or defending any
claim or proceeding from which Damages may result, as such expenses are incurred; provided, however, that the indemnity
agreement contained in this Section 2.8(b)
shall not apply to amounts paid in settlement of any such claim
or proceeding if such settlement is effected without the consent of the Holder, which consent shall not be unreasonably withheld;
and provided further that in no event shall any indemnity under this Section 2.8(b) exceed the proceeds from the offering received
by such Holder (net of any Selling Expenses paid by such Holder), except in the case of fraud or willful misconduct by such Holder.

 

(c)        Promptly after
receipt by an indemnified party under this Section 2.8
of notice of the commencement of any action (including any governmental action) for which a party may be entitled to indemnification
hereunder, such indemnified party will, if a claim in respect thereof is to be made against any indemnifying party under this Section
2.8,
give the indemnifying party notice of the commencement thereof. The indemnifying party shall have the right to participate in such
action and, to the extent the indemnifying party so desires, participate jointly with any other indemnifying party to which notice
has been given, and to assume the defense thereof with counsel mutually satisfactory to the parties; provided, however,
that an indemnified party (together with all other indemnified parties that may be represented without conflict by one counsel)
shall have the right to retain one separate counsel, with the fees and expenses to be paid by the indemnifying party, if representation
of such indemnified party by the counsel retained by the indemnifying party would be inappropriate due to actual or potential differing
interests between such indemnified party and any other party represented by such counsel in such action. The failure to give notice
to the indemnifying party within a reasonable time of the commencement of any such action shall relieve such indemnifying party
of any liability to the indemnified party under this Section 2.8,
to the extent that such failure materially prejudices the indemnifying party’s ability to defend such action. The failure
to give notice to the indemnifying party will not relieve it of any liability that it may have to any indemnified party otherwise
than under this Section 2.8.

 

(d)        Notwithstanding
anything else herein to the contrary, the foregoing indemnity agreements of the Company and the selling Holders are
subject to the condition that, insofar as they relate to any Damages arising from any untrue statement or alleged untrue statement
of a material fact contained in, or omission or alleged omission of a material fact from, a preliminary prospectus (or necessary
to make the statements therein not misleading) that has been corrected in the form of prospectus included in the registration statement
at the time it becomes effective, or any amendment or supplement thereto filed with the SEC pursuant to Rule 424(b) under the Securities
Act (the “Final Prospectus”), such indemnity agreement shall not inure to the benefit of any Person if a copy
of the Final Prospectus was furnished to the indemnified party and such indemnified party failed to deliver, at or before the confirmation
of the sale of the shares registered in such offering, a copy of the Final Prospectus to the Person asserting the loss, liability,
claim, or damage in any case in which such delivery was required by the Securities Act.

 

    	 

    	 

    

 

(e)        To provide for
just and equitable contribution to joint liability under the Securities Act in any case in which either (i) any party otherwise
entitled to indemnification hereunder makes a claim for indemnification pursuant to this Section 2.8
but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration
of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case, notwithstanding
the fact that this Section 2.8 provides
for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of any party hereto
for which indemnification is provided under this Section 2.8,
then, and in each such case, such parties will contribute to the aggregate losses, claims, damages, liabilities, or expenses to
which they may be subject (after contribution from others) in such proportion as is appropriate to reflect the relative fault of
each of the indemnifying party and the indemnified
party in connection with the statements, omissions, or other actions that resulted in such loss, claim, damage, liability, or expense,
as well as to reflect any other relevant equitable considerations. The relative fault of the indemnifying party and of the indemnified
party shall be determined by reference to, among other things, whether the untrue or allegedly untrue statement of a material fact,
or the omission or alleged omission of a material fact, relates to information supplied by the indemnifying party or by the indemnified
party and the parties’ relative intent, knowledge, access to information, and opportunity to correct or prevent such statement
or omission; provided, however, that, in any such case, (x) no Holder will be required to contribute any amount in excess
of the public offering price of all such Registrable Securities offered and sold by such Holder pursuant to such registration statement,
and (y) no Person guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the Securities Act) will be entitled
to contribution from any Person who was not guilty of such fraudulent misrepresentation; and provided further that in no
event shall a Holder’s liability pursuant to this Section 2.8(e),
when combined with the amounts paid or payable by such Holder pursuant to Section 2.8(b),
exceed the proceeds from the offering received by such
Holder (net of any Selling Expenses) paid
by such Holder), except in the case of willful misconduct or fraud by such Holder.

 

(f)        Unless otherwise
superseded by an underwriting agreement entered into in connection with the underwritten public offering, the obligations of the
Company and Holders under this Section 2.8
shall survive the completion of any offering of Registrable Securities in a registration under this Section 2, and otherwise
shall survive the termination of this Agreement.

 

2.9    Reports
Under Exchange Act. With a view to making available to the Holders the benefits of SEC Rule 144 and any other rule or regulation
of the SEC that may at any time permit a Holder to sell securities of the Company to the public without registration or pursuant
to a registration on Form S-3 (or any comparable successor form or
similar form available to foreign issuers, such as Form F-3, if available), the Company shall:

 

(a)        make and keep
available adequate current public information,
as those terms are understood and defined in SEC Rule 144, at all times after the effective date of the registration statement
filed by the Company for the IPO;

 

(b)        use commercially
reasonable efforts to file with the SEC in a timely manner all reports and other documents required of the Company under the Securities
Act and the Exchange Act (at any time after the Company has become subject to such reporting requirements); and

 

(c)        furnish to any
Holder, so long as the Holder owns any Registrable Securities, forthwith upon request (i) to
the extent accurate, a written statement by the Company that it has complied with the reporting requirements of SEC Rule
144 (at any time after ninety (90) days after the effective date of the registration statement filed by the Company for the IPO),
the Securities Act, and the Exchange Act (at any time after the Company has become subject to such reporting requirements), or
that it qualifies as a registrant whose securities may be resold pursuant to Form S-3 (or any comparable successor form or similar
form available to foreign issuers, such as Form F-3, if available) (at any time after the Company so qualifies); (ii) a copy of
the most recent annual or quarterly report of the Company and such other reports and documents so filed by the Company; and (iii)
such other information as may be reasonably requested in availing any Holder of any rule or regulation of the SEC that permits
the selling of any such securities without registration (at any time after the Company has become subject to the reporting requirements
under the Exchange Act) or pursuant to Form S-3 (or any comparable successor form or similar form available to foreign issuers,
such as Form F-3, if available) (at any time after the Company so qualifies to use such form).

 

    	 

    	 

    

 

2.10   Limitations
on Subsequent Registration Rights. From and after the date of this Agreement, the Company shall not, without the prior written
consent of the Holders of a majority of the Registrable Securities then Outstanding, enter into any agreement with any holder or
prospective holder of any securities of the Company that would allow such holder or prospective holder: (i) to include such securities
in any registration unless, under the terms of such agreement, such holder or prospective holder may include such securities in
any such registration only to the extent that the inclusion of such securities will not reduce the number of the Registrable Securities
of the Holders that are included, or (ii) to demand registration of any securities held by such holder or prospective holder; provided
that this limitation shall not apply to any additional Investor who becomes a party to this Agreement in accordance with Section
4.9.

 

2.11   “Market
Stand-Off” Agreement. Each Holder agrees that it will not, without the
prior written consent of the managing underwriter, during the period commencing on the date of the final prospectus relating to
the IPO or other registration by the Company for its own behalf of
its Ordinary Shares or any other equity securities under the
Securities Act on a registration statement on Form
S-1, Form F-1, Form S-2, Form F-2, Form S-3 or Form F-3, and
ending on the date specified by the Company and the managing underwriter (such period not to exceed (x) one hundred eighty (180)
days in the case of the IPO, or (y) ninety (90) days in the case of any registration other than the IPO, which period may be extended
upon the request of the managing underwriter, to the extent required by any NASD rules, for an additional period of up to fifteen
(15) days if the Company issues or proposes to issue an earnings or other public release within fifteen (15) days of the expiration
of the 90 or 180-day (as applicable) lockup period), (i) lend; offer; pledge; sell; contract to sell; sell any option or
contract to purchase; purchase any option or contract to sell; grant any option, right, or warrant to purchase; or otherwise transfer
or dispose of, directly or indirectly, any Ordinary Shares or any securities convertible into or exercisable or exchangeable (directly
or indirectly) for Ordinary Shares held immediately before the effective date of the registration statement for such
offering or (ii) enter into any swap or other arrangement that transfers to another, in whole or in part, any of the economic
consequences of ownership of such securities, whether any
such transaction described in clause (i) or (ii) above is to be settled by delivery of Ordinary Shares or other securities, in
cash, or otherwise. The foregoing provisions of this Section 2.11
shall not apply to the sale of any shares to an underwriter pursuant to an underwriting agreement, and shall be applicable
to the Holders only if all officers, directors, and shareholders individually owning more than one percent (1%) of the Company’s
outstanding Ordinary Shares (after giving effect to conversion into
Ordinary Shares of all outstanding Preferred Shares) are subject to the same restrictions. The underwriters in connection
with such registration
are intended third-party beneficiaries of this Section 2.11
and shall have the right, power, and authority to enforce the provisions hereof as though they were a party hereto. Each Holder
further agrees to execute such agreements as may be reasonably requested by the underwriters in connection
with such registration that are consistent with this Section 2.11
or that are necessary to give further effect thereto.

 

2.12   Restrictions
on Transfer.

 

(a)        The Preferred
Shares and the Registrable Securities shall not be sold, pledged, or otherwise transferred, and the Company shall not recognize
and shall issue stop-transfer instructions to its transfer agent with respect to any such sale, pledge, or transfer, except upon
the conditions specified in this Agreement, which conditions are intended to ensure compliance with the provisions of the Securities
Act. A transferring Holder will cause any proposed purchaser, pledgee, or transferee of the Preferred Shares and the Registrable
Securities held by such Holder to agree to take and hold such securities subject to the provisions and upon the conditions specified
in this Agreement.

 

    	 

    	 

    

 

(b)        Each
certificate or instrument representing
(i) the Preferred Shares, (ii) the Registrable Securities, and (iii) any other securities issued in respect of the
securities referenced in clauses (i) and (ii), upon any share split, share dividend, recapitalization, merger, consolidation,
or similar event, shall (unless otherwise permitted by the provisions of Section 2.12(c))
be stamped or otherwise imprinted with a legend substantially in
the following form:

 

THE SECURITIES
REPRESENTED HEREBY HAVE BEEN ACQUIRED FOR INVESTMENT AND HAVE
NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933. SUCH SHARES MAY NOT BE SOLD, PLEDGED, OR TRANSFERRED IN THE ABSENCE OF SUCH
REGISTRATION OR A VALID EXEMPTION FROM THE REGISTRATION AND PROSPECTUS DELIVERY REQUIREMENTS OF SAID ACT.

 

THE SECURITIES
REPRESENTED HEREBY MAY BE TRANSFERRED ONLY IN ACCORDANCE WITH
THE TERMS OF AN AGREEMENT BETWEEN THE COMPANY AND THE SHAREHOLDER, A COPY OF WHICH IS ON FILE AT THE OFFICES OF THE COMPANY.

 

The Holders consent to the Company making
a notation in its records and giving instructions to any transfer agent of the Restricted Securities in order to implement the
restrictions on transfer set forth in this Section 2.12.

 

(c)        The holder of
each certificate representing Restricted Securities, by acceptance thereof, agrees to comply in all respects with the provisions
of this Section 2. Before any proposed sale, pledge, or transfer of any Restricted Securities, unless there is in effect
a registration statement under the Securities Act covering the proposed transaction, the Holder thereof shall give notice to the
Company of such Holder’s intention to effect such sale, pledge, or transfer. Each such notice shall describe the manner and
circumstances of the proposed sale, pledge, or transfer in sufficient detail and, if reasonably requested by the Company, shall
be accompanied at such Holder’s expense by either (i) a written opinion of legal counsel who shall, and whose legal
opinion shall, be reasonably satisfactory to the Company, addressed to the Company, to the effect that the proposed transaction
may be effected without registration under the Securities Act; (ii) a “no action” letter from the SEC to the effect
that the proposed sale, pledge, or transfer of such Restricted Securities without registration will not result in a recommendation
by the staff of the SEC that action be taken with respect thereto; or (iii) any other evidence reasonably satisfactory to
counsel to the Company to the effect that the proposed sale, pledge, or transfer of the Restricted Securities may be effected without
registration under the Securities Act, whereupon the Holder of such Restricted Securities shall be entitled to sell, pledge, or
transfer such Restricted Securities in accordance with the terms of the notice given by the Holder to the Company. The Company
will not require such a legal opinion or “no action” letter (x) in any transaction in compliance with SEC
Rule 144 or (y) in any transaction in which such Holder distributes Restricted Securities to an Affiliate of such Holder
for no consideration; provided that each transferee agrees in writing to be subject to the terms of this Section 2.12.
Each certificate or instrument evidencing the
Restricted Securities transferred as above provided shall bear, except if such transfer is made pursuant to SEC
Rule 144, the appropriate restrictive legend set forth in Section 2.12(b),
except that such certificate shall not bear such restrictive legend if, in the opinion of counsel for such Holder and the Company,
such legend is not required in order to establish compliance with any provisions of the Securities Act.

 

    	 

    	 

    

 

2.13   Termination
of Registration Rights. The right of any Holder to request registration or
inclusion of Registrable Securities in any registration pursuant to Section 2.1
or Section 2.2 shall terminate upon the earliest
to occur of:

 

(a)        the closing
of a Deemed Liquidation;

 

(b)        when all of
such Holder’s Registrable Securities could be sold without restriction under SEC Rule 144(b)(1).

 

3.        Information
and Observer Rights.

 

3.1    Delivery
of Financial Statements. The Company shall deliver to each Major Investor, provided that the Board of Directors has
not reasonably determined that such Major Investor is a competitor of the Company:

 

(a)        as
soon as practicable, but in any event within ninety (90) days (or within sixty (60) days, in case one of the Major Investors so
request in writing pursuant to a regulatory requirement imposed on such investor) after the end of each fiscal year of the Company,
(i) a balance sheet as of the end of such year; (ii) statements of income and of cash flows for such year setting
forth in comparative form the figure for the previous fiscal year, all in reasonable detail; and (iii) a statement of shareholders’
equity as of the end of such year, all such
financial statements audited and certified by independent public accountants of nationally
recognized standing, who are among the “Big-4” accounting firms, selected by the Company and approved by the Company’s
Board of Directors; 

 

(b)        as
soon as practicable, but in any event within sixty (60) days (or within forty-five (45) days, in case one of the Major Investors
so request in writing pursuant to a regulatory requirement imposed on such investor) after the end of
each of the first three (3) quarters of each fiscal year of the Company, unaudited statements of income and of cash flows for such
fiscal quarter, and an unaudited balance sheet and a statement of shareholders’ equity as of the end of such fiscal quarter,
all prepared in accordance with Israeli GAAP (except that such financial statements may (i) be subject to normal year-end audit
adjustments and (ii) not contain all notes thereto that may be required in accordance with Israeli GAAP);

 

(c)        as soon as practicable,
but in any event fifteen (15) days before the end of each fiscal year, a budget and operating plan for the next fiscal year (collectively,
the “Budget”), approved by the Board
of Directors and prepared on a quarterly basis, including balance sheets, income statements, and statements of cash flow
for such quarters and, promptly after prepared, any other budgets or revised budgets prepared by the Company;

 

(d)        a monthly cash
flow report in such format as shall be determined by the Company, Galam Ltd., Ofer Hi-Tech Investments Ltd. and Millennium II Materials
Technology Fund L.P.;

 

(e)        with respect
to the financial statements called for in Section 3.1(b) above, and only to the extent that one of the Major Investors so request
in writing pursuant to a regulatory requirement imposed on such investor, an instrument executed by the chief financial officer
or chief executive officer of the Company certifying that such financial statements were prepared in accordance with GAAP consistently
applied with prior practice for earlier periods (except as otherwise set forth in Section 3.1(b)) and fairly present the financial
condition of the Company and its results of operation for the periods specified therein; and

 

(f)        such other information
relating to the financial condition, business, prospects, or corporate affairs of the Company as any Major Investor may from time
to time reasonably request.

 

    	 

    	 

    

 

If, for any period, the Company has any
subsidiary whose accounts are consolidated with those of the Company, then in respect of such period the financial statements delivered
pursuant to the foregoing sections shall be the consolidated and consolidating financial statements of the Company and all such
consolidated subsidiaries.

 

Notwithstanding anything else in this Section
3.1 to the contrary, the Company may cease providing the information set forth in this Section 3.1 during the period
starting with the date sixty (60) days before
the Company’s good-faith estimate of the date of filing
of a registration statement if it reasonably concludes it must do so to comply with the SEC rules applicable to such registration
statement and related offering; provided that the Company’s covenants under this Section 3.1 shall be reinstated
at such time as the Company is no longer actively employing its commercially reasonable efforts to cause such registration statement
to become effective.

 

3.2    Inspection.
The Company shall permit each Major Investor, at such Major Investor’s expense, to visit and inspect the Company’s
properties; examine its books of account and records; and discuss the Company’s affairs, finances, and accounts with its
officers, during normal business hours of the Company and after providing a reasonable prior written notice to the Company, as
may be reasonably requested by the Major Investor; provided, however, that the Company shall not be obligated pursuant to
this Section 3.2 to provide access to any information that it reasonably and in good faith considers to be a trade secret
or confidential information (unless covered by an enforceable confidentiality agreement, in form acceptable to the Company) or
the disclosure of which would adversely affect the attorney-client privilege between the Company and its counsel.

 

3.3    Termination
of Information. The covenants set forth in Section 3.1 and Section
3.2 shall terminate and be of no further force or effect (i) immediately before the consummation of a Qualified IPO, or
(ii) when the Company first becomes subject to the periodic reporting requirements of Section 12(g) or 15(d) of the Exchange
Act.

 

3.4    Confidentiality.
Each Investor agrees that such Investor will keep confidential and will not disclose, divulge, or use for any purpose (other than
to monitor its investment in the Company) any confidential information obtained from the Company pursuant to the terms of this
Agreement (including, without limitation, notice of the Company’s intention to file a registration statement), unless such
confidential information: (a) is known or becomes known to the public in general (other than as a result of a breach of this Section
3.4 by such Investor), (b) is or has been independently developed or conceived by the Investor without use of the Company’s
confidential information, or (c) is or has been made known or disclosed to the Investor by a third party without a breach of any
obligation of confidentiality such third party may have to the Company; provided, however, that an Investor may disclose
confidential information (i) to its attorneys, accountants, consultants, and other professionals to the extent necessary to obtain
their services in connection with monitoring its investment in the Company; (ii) to any prospective purchaser of any Registrable
Securities from such Investor, if such prospective purchaser agrees in writing to be bound by the provisions of this Section
3.4; (iii) in connection with periodic reports to its shareholders, partners, affiliates, or members, each Investor may provide
summary information regarding the Company's financial information in such reports, as long as such shareholders and partners are
advised that such information is confidential but may not annex to
such reports the full financial information to be provided hereunder by the Company; or (iv) as may otherwise be required
by law, provided that the Investor promptly notifies the Company of such disclosure and takes reasonable steps to minimize
the extent of any such required disclosure. 

 

    	 

    	 

    

 

4.        Miscellaneous.

 

4.1    Successors
and Assigns. The rights under this Agreement may be
assigned (but only with all related obligations) by
a Holder to a transferee of Registrable Securities that (i)
is a Permitted Transferee of the Holder; or (ii) after such transfer, holds at least ten percent (10%) of the Registrable Securities;
and (iv) to any Permitted Transferee; provided,
however,
that (x) the Company is, within a reasonable time after such transfer, furnished with written notice of the name and address of
such transferee and the Registrable Securities with respect to which
such rights are being transferred; and (y) such transferee
agrees in a written instrument delivered to the Company
to be bound by and subject to the terms and
conditions of this Agreement, including the provisions of
Section 2.11.
For the purposes of determining the number of shares of Registrable Securities held by a transferee, the holdings of a transferee
that is a permitted Transferee shall be aggregated together and with those of the transferring Holder; provided further that all
transferees who would not qualify individually for assignment of rights shall have a single attorney-in-fact for the purpose of
exercising any rights, receiving notices, or taking any action under this Agreement. The terms and conditions of this Agreement
inure to the benefit of and are binding upon the respective successors and permitted assignees of the parties. Nothing in this
Agreement, express or implied, is intended to confer upon any party other than the parties hereto or their respective successors
and permitted assignees any rights, remedies, obligations or liabilities under or by reason of this Agreement, except as expressly
provided herein.

 

4.2    Governing
Law. This Agreement shall be governed by and construed according to the laws of the State of Israel, without regard to the
conflict of laws provisions thereof. Any dispute arising under or in relation to this Agreement shall be resolved exclusively in
the competent court for Tel Aviv-Jaffa district, and each of the parties hereby irrevocably submits to the exclusive jurisdiction
of such court.

 

4.3    Counterparts;
Facsimile.
This Agreement may be executed in two or more counterparts, each of which shall be deemed an original, but all of which together
shall constitute one and the same instrument. This Agreement may also be executed and delivered by facsimile signature and in two
or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument.

 

4.4    Titles
and Subtitles. The titles and subtitles used in this Agreement are for convenience only and are not to be considered in construing
or interpreting this Agreement.

 

4.5    Notices.
All notices, requests, and other communications given or made pursuant to this Agreement shall be in writing and shall be deemed
effectively given, delivered and received (i) upon personal
delivery to the party to be notified; (ii) when sent by electronic mail or facsimile if sent during normal business hours of the
recipient, and if not so confirmed, then on the next business day; (iii) five (5) days after having been sent by registered or
certified mail, return receipt requested, postage prepaid; or (iv) one (1) business
day after the business day of deposit with a nationally
recognized overnight courier, freight prepaid, specifying next-day delivery, with written verification of receipt. All communications
shall be sent to the respective parties at their addresses as set forth on Schedule A, or to the
principal office of the Company and to the attention of the Chief Executive Officer, in the case of the Company, or to such
email address, facsimile number, or address as subsequently modified by written notice given in accordance with this Section 4.5.

 

    	 

    	 

    

 

4.6    Amendments
and Waivers. Any term of this Agreement may be amended and the observance of any term of this Agreement may be waived (either
generally or in a particular instance, and either retroactively or prospectively) only with the written consent of the Company
and the holders of at least 66.67% of the Registrable Securities; provided that the Company may in its sole discretion waive
compliance with Section 2.12(c) (and the Company’s
failure to object promptly in writing after notification of
a proposed assignment allegedly in violation of Section 2.12(c)
shall be deemed to be a waiver); and provided
further that any provision hereof may be waived by any
waiving party on such party’s own behalf, without the consent of any other party. Notwithstanding the foregoing, this
Agreement may not be amended or terminated and the observance of any term hereof may not be waived with respect to any Investor
without the written consent of such Investor, unless such amendment, termination, or waiver applies to all Investors in the same
fashion. The Company shall give prompt notice of any amendment or termination hereof or waiver hereunder to any party hereto that
did not consent in writing to such amendment, termination, or waiver. Any amendment, termination, or waiver effected in accordance
with this Section 4.6 shall be binding on all parties
hereto, regardless of whether any such party has consented thereto. No waivers of or exceptions to any term, condition, or provision
of this Agreement, in any one or more instances, shall be deemed to be or construed as a further or continuing waiver of any such
term, condition, or provision.

 

4.7    Severability.
In case any one or more of the provisions contained in this Agreement is for any reason held to be invalid, illegal or unenforceable
in any respect, such invalidity, illegality, or unenforceability shall not affect any other provision of this Agreement, and such
invalid, illegal, or unenforceable provision shall be reformed and construed so that it will be valid, legal, and enforceable to
the maximum extent permitted by law.

 

4.8    Aggregation
of Shares. All shares of Registrable Securities held or acquired by Permitted Transferees shall be aggregated together for
the purpose of determining the availability of any rights under this Agreement and such Permitted Transferees may apportion such
rights as among themselves in any manner they deem appropriate.

 

4.9    Additional
Investors. Notwithstanding anything to the contrary contained herein, if the Company issues additional preferred shares of
the Company after the date hereof, any purchaser of such preferred shares may become a party to this Agreement by executing and
delivering an additional counterpart signature page to this Agreement, and thereafter shall be deemed an “Investor”
for all purposes hereunder. No action or consent by the Investors shall be required for such joinder to this Agreement by such
additional Investor, so long as such additional Investor has agreed in writing to be bound by all of the obligations as an “Investor”
hereunder.

 

4.10  Entire
Agreement. This Agreement (including any Schedules and Exhibits hereto) constitutes the full and entire understanding and agreement
among the parties with respect to the subject matter hereof,
and any other written or oral agreement relating to the subject matter hereof existing between the parties is expressly canceled.

 

4.11  Delays
or Omissions. No delay or omission to exercise any right, power, or remedy accruing to any party under this Agreement, upon
any breach or default of any other party under this Agreement, shall impair any such right, power, or remedy of such non-breaching
or non-defaulting party, nor shall it be construed to be a waiver of or acquiescence to any such breach or default, or to any similar
breach or default thereafter occurring, nor shall any waiver of any single breach or default be deemed a waiver of any other breach
or default theretofore or thereafter occurring. All remedies, whether under this Agreement or by law or otherwise afforded to any
party, shall be cumulative and not alternative.

 

4.12  Acknowledgment.
The Company acknowledges that the Investors review the business plans and related proprietary information of many enterprises,
including enterprises which may have products or services which compete directly or indirectly with those of the Company. Subject
to Section 3.4 (Confidentiality), nothing in this Agreement shall preclude or in any way restrict the Investors from investing
or participating in any particular enterprise whether or not such enterprise has products or services which compete with those
of the Company and such investments shall not cause the Investors to be deemed competitors for the purpose of this Agreement.

 

    	 

    	 

    

 

4.13  Application
in Other Jurisdictions. The Parties hereby acknowledge and Agree that the provisions of this Agreement shall be in force and
effect and apply to any registration of the Company’s securities (including, without limitation, the Registrable Securities)
in any other jurisdiction and undertake to take reasonable actions to cause this Agreement to become effective and apply to such
other jurisdiction, mutatis mutandis.

 

[Signature Page to Follow]

 

    	 

    	 

    

 

[Investors’ Rights Agreement –
Company’s Signature Page]

 

IN WITNESS WHEREOF, the
parties have executed this Agreement as of the date first written above.

 

	COMPANY:	 
	 	 
	Enzymotec Ltd.	 
	 	 	 
	By :	/s/ Oren Bryan	 
	Name: 	Oren Bryan	 
	Title: 	CFO	 

 

    	 

    	 

    

 

[Investors’ Rights Agreement –
Investors’ Signature Page]

 

IN WITNESS WHEREOF, the
parties have executed this Agreement as of the date first written above.

 

	INVESTORS:	 
	 	/s/
    Yossi Peled	/s/
    Samuel Eshed
	 	GALAM LTD.
	 	 	 	 
	 	Name: 	Yossi
    Peled	Samuel
    Eshed
	 	Title: 	MD	Treasurer

 

	 	/s/ Yoav Doppelt
	 	OFER HI-TECH INVESTMENTS LTD.
	 	 	 
	 	Name: 	Yoav Doppelt
	 	Title: 	CEO

 

	 	/s/
    Zwi Vromen	/s/
    Nir Belzer
	 	MILLENNIUM II MATERIALS
    TECHNOLOGY FUND L.P.
	 	 
	 	Name: 	Zwi
    Vromen	Nir
    Belzer
	 	Title: 	 

 

	 	/s/ Ignacio Aranguren-Trellez
	 	ARANCIA INTERNATIONL, INC.
	 	 	 
	 	Name: 	Ignacio Aranguren-Trellez
	 	Title: 	President

 

	 	/s/ Leon Recanati
	 	GLENROCK ISRAEL LTD.
	 	 	 
	 	Name: 	Leon Recanati
	 	Title: 	Chairman and CEO

 

	 	/s/
    Natalia Sutugina	/s/
    Jean Medernach
	 	BIP VENTURE PARTNERS
    SA, SICAR
	 	 	 	 
	 	Name: 	Natalia
    Sutugina 	Jean
    Medernach
	 	Title: 	Investment
    Manager	Investment
    Director

 

    	 

    	 

    

 

	 	 	 
	 	/s/ Nir Belzer
	 	M-4 MANAGEMENT LIMITED PARTNERSHIP
	 	 	 
	 	Name: 	Nir Belzer
	 	Title: 	 

 

	 	/s/ Alan Feld
	 	VINTAGE VENTURE PARTNERS, L.P.
	 	 	 
	 	By: 	its general partner Vintage Ventures LP
	 	By: 	its general partner Vintage Venture Fund I Ltd.
	 	 	 
	 	Name: 	Alan Feld
	 	Title: 	Managing Partner

 

	 	/s/ Alan Feld
	 	VINTAGE VENTURE PARTNERS (ISRAEL),
    L.P.
	 	 	 
	 	By: 	its general partner Vintage Ventures LP
	 	By: 	its general partner Vintage Venture Fund I Ltd.
	 	 	 
	 	Name: 	Alan Feld
	 	Title: 	Managing Partner

 

	 	/s/ Alan Feld
	 	VINTAGE VENTURE PARTNERS (PARALLEL), L.P.
	 	 	 
	 	By: 	its general partner Vintage Ventures LP
	 	By: 	its general partner Vintage Venture Fund I Ltd.
	 	 	 
	 	Name: 	Alan Feld
	 	Title: 	Managing Partner

 

    	 

    	 

    

 

	 	/s/ Alan Feld                  /s/ Amit Frenkel
	 	VINTAGE VENTURE PARTNERS III (CAYMAN), L.P.
	 	 	 
	 	By: 	its general partner Vintage Ventures III LP
	 	By: 	its general partner Vintage Venture Fund 3 Ltd.
	 	 	 
	 	Name:	Alan Feld                 Amit Frenkel
	 	Title:	Managing Partner     General Partner

 

	 	/s/ Alan Feld                     /s/ Amit Frenkel
	 	VINTAGE VENTURE PARTNERS III (ISRAEL), L.P.
	 	 
	 	By: 	its general partner Vintage Ventures III LP
	 	By: 	its general partner Vintage Venture Fund 3 Ltd.
	 	 	 
	 	Name:	Alan Feld                   Amit Frenkel
	 	Title:	Managing Partner       General Partner

	 	 
	 	/s/ Tova Posner Henkin              /s/ Ofer Borovsky
	 	PLASON LTD.
	 	 	 
	 	Name: 	Tova Posner Henkin         Ofer Borovsky
	 	Title: 	CEO                                  Joint CFO

 

    	 

    	 

    

 

SCHEDULE A

 

INVESTORS

 

	
        Name
	Address
	GALAM LTD.	 
	OFER HI-TECH INVESTMENTS LTD.	 
	
        MILLENNIUM II MATERIALS TECHNOLOGY
FUND L.P.
	 
	ARANCIA INTERNATIONL, INC.	 
	GLENROCK ISRAEL LTD.	 
	BIP VENTURE PARTNERS SA, SICAR	 
	
        M-4 MANAGEMENT LIMITED
        PARTNERSHIP
	 
	VINTAGE VENTURE PARTNERS, L.P.	 
	
        VINTAGE VENTURE PARTNERS (ISRAEL),
L.P.
	 
	
        VINTAGE VENTURE PARTNERS (PARALLEL),
L.P.
	 
	
        VINTAGE VENTURE PARTNERS III
        (CAYMAN), L.P.
	 
	
        VINTAGE VENTURE PARTNERS III
        (ISRAEL), L.P.
	 
	PLASON LTD.	 

 

* * * * *Exhibit 10.10

 

Joinder to Investors' Rights Agreement

 

This Joinder Agreement
(this “Joinder Agreement”) is made as of the date written below by Israel Secondary Fund (ISR) L.P. and Israel
Secondary Investments (BVI) L.P. (together, the “Joining Parties”) pursuant to the investment made by the Joining
Parties in accordance with Section 4.3 of that certain the Share Purchase Agreement dated September 27, 2011 by and among Enzymotec
Ltd. and investors named therein, as the same may be amended from time to time.

 

Each of the Joining
Parties hereby acknowledges, agrees and confirms that, by its execution of this Joinder Agreement, such Joining Party shall be
deemed to be a party to that certain Investors' Rights Agreement dated September 27, 2011 (the "IRA"), pursuant
to Section 4.9 of the IRA, and shall have all of the rights and obligations of an “Investor” and “Holder”
there under as if it had executed the IRA. Each of the Joining Parties hereby ratifies, as of the date hereof, and agrees to be
bound by all of the terms, provisions and conditions contained in the IRA.

 

IN WITNESS WHEREOF,
the undersigned have executed this Joinder Agreement as of the date written below.

 

Date: December 29, 2011

 

	/s/ Shmuel Shilo        /s/ Dror Glass	 	/s/ Shmuel Shilo        /s/ Dror Glass
	Israel Secondary Fund (ISR)L.P.	 	Israel Secondary Investments (BVI) L.P.
	 	 	 
	By: 	Shmuel Shilo      Dror Glass	 	By:	 Shmuel Shilo      Dror Glass

	Title:	Managing Partners	 	Title: 	Managing Partners 

	Address: 	14 Shenkar, Herzliya, Israel	 	Address: 	14 Shenkar, Herzliya, Israel 

 

Acknowledged and Agreed:

 

	/s/ Oren Bryan	 
	Enzymotec Ltd.	 
	 	 
	By: Oren Bryan	 
	 	 
	Title: CFO	 
	 	 
	Date: December 29, 2011

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00220-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00220-of-00352.parquet"}]]