Document:

Exhibit
10.1

SECURITIES
PURCHASE AGREEMENT

This
Securities Purchase Agreement (this “Agreement”) is dated as of November 26, 2014, between Guided Therapeutics,
Inc., a Delaware corporation (the “Company”), and each purchaser identified on the signature pages hereto (each,
including its successors and assigns, a “Purchaser” and collectively the “Purchasers”).

WHEREAS,
subject to the terms and conditions set forth in this Agreement and pursuant to an effective registration statement under the
Securities Act of 1933, as amended (the “Securities Act”), the Company desires to issue and sell to each Purchaser,
and each Purchaser, severally and not jointly, desires to purchase from the Company, securities of the Company as more fully described
in this Agreement.

NOW,
THEREFORE, IN CONSIDERATION of the mutual covenants contained in this Agreement, and for other good and valuable consideration
the receipt and adequacy of which are hereby acknowledged, the Company and each Purchaser agree as follows:

ARTICLE
I.

DEFINITIONS

1.1             
 Definitions. In addition to the terms defined elsewhere in this Agreement, for all purposes of this Agreement, the following
terms have the meanings set forth in this Section 1.1:

“Acquiring
Person” shall have the meaning ascribed to such term in Section 4.5.

“Action”
shall have the meaning ascribed to such term in Section 3.1(j).

“Affiliate”
means any Person that, directly or indirectly through one or more intermediaries, controls or is controlled by or is under common
control with a Person as such terms are used in and construed under Rule 405 under the Securities Act.

“Board
of Directors” means the board of directors of the Company.

“Business
Day” means any day except any Saturday, any Sunday, any day which is a federal legal holiday in the United States or
any day on which banking institutions in the State of New York are authorized or required by law or other governmental action
to close.

“Closing”
means the closing of the purchase and sale of the Securities pursuant to Section 2.1.

“Closing
Date” means the Trading Day on which all of the Transaction Documents have been executed and delivered by the applicable
parties thereto, and all conditions precedent to (i) the Purchasers’ obligations to pay the Subscription Amount and (ii)
the Company’s obligations to deliver the Securities, in each case, have been satisfied or waived, but in no event later
than the third Trading Day following the date hereof.

“Commission”
means the United States Securities and Exchange Commission.

“Common
Stock” means the common stock of the Company, par value $0.001 per share, and any other class of securities into which
such securities may hereafter be reclassified or changed.

“Common
Stock Equivalents” means any securities of the Company or the Subsidiaries which would entitle the holder thereof to
acquire at any time Common Stock, including, without limitation, any debt, preferred stock, right, option, warrant or other instrument
that is at any time convertible into or exercisable or exchangeable for, or otherwise entitles the holder thereof to receive,
Common Stock.

“Company
Counsel” means Jones Day, 1420 Peachtree Street, N.E. - Suite 800

Atlanta, Georgia 30309-3053 Tel. (404) 521-3939.

“Company
Note” means any simple interest note, senior convertible note, or secured note issued by the Company prior to the date
of this Agreement that is currently outstanding.

“Escrow
Agent” means SunTrust Bank, NA.

“Escrow
Agreement” means the escrow agreement entered into prior to the date hereof, by and among the Company, the Escrow Agent
and the Placement Agent pursuant to which the Purchasers shall deposit Subscription Amounts in a non-interest bearing account
with the Escrow Agent to be applied to the transactions contemplated hereunder.

“Evaluation
Date” shall have the meaning ascribed to such term in Section 3.1(r).

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

 

“Exempt
Issuance” means the issuance of (a) shares of Common Stock or options to employees, officers, directors or consultants
of the Company pursuant to any stock or option plan duly adopted for such purpose, by a majority of the non-employee members of
the Board of Directors or a majority of the members of a committee of non-employee directors established for such purpose, (b)
securities upon the exercise or exchange of or conversion of any Securities issued hereunder and/or other securities exercisable
or exchangeable for or convertible into shares of Common Stock issued and outstanding on the date of this Agreement, provided
that such securities have not been amended since the date of this Agreement to increase the number of such securities or to decrease
the exercise price, exchange price or conversion price of such securities, other than pursuant to their terms as in existence
on the date hereof, (c) securities issued pursuant to acquisitions or strategic transactions approved by a majority of the disinterested
directors of the Company, (d) securities issued pursuant to any equipment loan or leasing arrangement or real property leasing
arrangement approved by a majority of the disinterested directors of the Company, (e) securities issued pursuant to collaboration
agreements, development, distribution, marketing, technology or other similar agreements, licenses or strategic partnerships approved
by a majority of disinterested directors of the Company, (f) securities issued or issuable pursuant to any settlement approved
by a majority of disinterested directors of the Company, or (g) securities issued pursuant to an offering of no more than $2,000,000
that is exempt from registration in accordance with Regulation S under the Securities Act, provided that any issuance referred
to in clauses (c), (d), and (e) shall only be to a Person (or to the equityholders of a Person) which is, itself or through its
subsidiaries, an operating company or an owner of an asset in a business synergistic with the business of the Company and shall
provide to the Company additional benefits in addition to the investment of funds, but shall not include a transaction in which
the Company is issuing securities primarily for the purpose of raising capital or to an entity whose primary business is investing
in securities.

“FCPA”
means the Foreign Corrupt Practices Act of 1977, as amended.

“FDA”
shall have the meaning ascribed to such term in Section 3.1(gg).

“FDCA”
shall have the meaning ascribed to such term in Section 3.1(gg).

“GAAP”
shall have the meaning ascribed to such term in Section 3.1(h).

“Indebtedness”
shall have the meaning ascribed to such term in Section 3.1(z).

“Intellectual
Property Rights” shall have the meaning ascribed to such term in Section 3.1(o).

“Liens”
means a lien, charge, pledge, security interest, encumbrance, right of first refusal, preemptive right or other restriction.

“Material
Adverse Effect” shall have the meaning assigned to such term in Section 3.1(b).

“Material
Permits” shall have the meaning ascribed to such term in Section 3.1(m).

“Participation
Maximum” shall have the meaning ascribed to such term in Section 4.11(a).

“Per
Share Purchase Price” equals $0.225, subject to adjustment for reverse and forward stock splits, stock dividends, stock
combinations and other similar transactions of the Common Stock that occur after the date of this Agreement.

“Person”
means an individual or corporation, partnership, trust, incorporated or unincorporated association, joint venture, limited liability
company, joint stock company, government (or an agency or subdivision thereof) or other entity of any kind.

“Pharmaceutical
Product” shall have the meaning ascribed to such term in Section 3.1(gg).

“Placement
Agent” means Olympus Securities LLC.

“Pre-Notice”
shall have the meaning ascribed to such term in Section 4.11(b).

“Pro
Rata Portion” shall have the meaning ascribed to such term in Section 4.11(e).

“Proceeding”
means an action, claim, lawsuit, investigation or proceeding (including, without limitation, an informal investigation or partial
proceeding, such as a deposition), whether commenced or threatened.

“Prospectus”
means the final prospectus filed for the Registration Statement.

“Prospectus
Supplement” means any supplement to the Prospectus complying with Rule 424(b) of the Securities Act that is filed with
the Commission and delivered by the Company to each Purchaser at the Closing.

“Purchaser
Party” shall have the meaning ascribed to such term in Section 4.8.

“Registration
Statement” means the effective registration statement with Commission file No. 333- which registers the sale of the
Shares, the Warrants and the Warrant Shares to the Purchasers.

“Required
Approvals” shall have the meaning ascribed to such term in Section 3.1(e).

“Rule
144” means Rule 144 promulgated by the Commission pursuant to the Securities Act, as such Rule may be amended or interpreted
from time to time, or any similar rule or regulation hereafter adopted by the Commission having substantially the same purpose
and effect as such Rule.

“Rule
424” means Rule 424 promulgated by the Commission pursuant to the Securities Act, as such Rule may be amended or interpreted
from time to time, or any similar rule or regulation hereafter adopted by the Commission having substantially the same purpose
and effect as such Rule.

“SEC
Reports” shall have the meaning ascribed to such term in Section 3.1(h).

“Securities”
means the Shares, the Warrants and the Warrant Shares.

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

“Shares”
means the shares of Common Stock issued or issuable to each Purchaser pursuant to this Agreement.

“Short
Sales” means all “short sales” as defined in Rule 200 of Regulation SHO under the Exchange Act (but shall
not be deemed to include the location and/or reservation of borrowable shares of Common Stock). 

“SOVR”
means Sanders Ortoli Vaughn-Flam Rosenstadt LLP, with offices located at 501 Madison Avenue, 14th Floor, New York,
NY 10022.

“Subscription
Amount” means, as to each Purchaser, the aggregate amount to be paid for Shares and Warrants purchased hereunder as
specified below such Purchaser’s name on the signature page of this Agreement and next to the heading “Subscription
Amount,” in United States dollars and in immediately available funds.

“Subsequent
Financing” shall have the meaning ascribed to such term in Section 4.11(a).

“Subsequent
Financing Notice” shall have the meaning ascribed to such term in Section 4.11(b).

“Subsidiary”
means any subsidiary of the Company as set forth on Schedule 3.1(a), and shall, where applicable, also include any direct
or indirect subsidiary of the Company formed or acquired after the date hereof.

“Trading
Day” means a day on which the principal Trading Market is open for trading.

“Trading
Market” means any of the following markets or exchanges on which the Common Stock is listed or quoted for trading on
the date in question: the NYSE MKT, the Nasdaq Capital Market, the Nasdaq Global Market, the Nasdaq Global Select Market, the
New York Stock Exchange, the OTC Bulletin Board, or the OTC Marketplace (or any successors to any of the foregoing).

“Transaction
Documents” means this Agreement, the Warrants and any other documents or agreements executed in connection with the
transactions contemplated hereunder.

“Transfer
Agent” means Computershare Trust Company, N.A., the current transfer agent of the Company, with a mailing address of
250 Royall Street, Canton, Massachusetts 02021 and a facsimile number of _______________, and any successor transfer agent of
the Company.

“Variable
Rate Transaction” shall have the meaning ascribed to such term in Section 4.12(b).

“Warrants”
means, collectively, the Common Stock purchase warrants delivered to the Purchasers at the Closing in accordance with Section
2.2(a) hereof in the form of Exhibit A attached hereto.

“Warrant
Shares” means the shares of Common Stock issuable upon exercise of the Warrants.

ARTICLE
II.

PURCHASE AND SALE

2.1             
Closing. On the Closing Date, upon the terms and subject to the conditions set forth herein, substantially concurrent with
the execution and delivery of this Agreement by the parties hereto, the Company agrees to sell, and the Purchasers, severally
and not jointly, agree to purchase, up to an aggregate of $_______ of Shares and Warrants. Each Purchaser shall deliver to either
(i) the Escrow Agent, via wire transfer or a certified check, immediately available funds equal to, and/or (ii) the Company, for
extinguishment or partial extinguishment, one or more Company Notes, accompanied by a duly executed assignment of note as provided
in Section 2.2(b)(ii), in aggregate principal amount of principal and interest no less than, such Purchaser’s Subscription
Amount as set forth on the signature page hereto executed by such Purchaser, and the Company shall deliver to each Purchaser its
respective Shares and a Warrant as determined pursuant to Section 2.2(a), and the Company and each Purchaser shall deliver the
other items set forth in Section 2.2 deliverable at the Closing. Upon satisfaction of the covenants and conditions set forth in
Sections 2.2 and 2.3, the Closing shall occur at the offices of SOVR or such other location as the parties shall mutually agree.

2.2             
Deliveries.

(a)               
On or prior to the Closing Date, the Company shall deliver or cause to be delivered to each Purchaser the following:

(i)                
this Agreement duly executed by the Company;

(ii)              
a reliance letter from Company Counsel, substantially in the form of Exhibit B attached hereto, permitting Purchaser to
rely on the legal opinion of Company Counsel delivered to the Placement Agent in accordance with the sale of the Shares and Warrants;

(iii)            
a copy of the irrevocable instructions to the Transfer Agent instructing the Transfer Agent to deliver on an expedited basis via
The Depository Trust Company Deposit or Withdrawal at Custodian system (“DWAC”) Shares equal to such Purchaser’s
Subscription Amount divided by the Per Share Purchase Price, registered in the name of such Purchaser;

(iv)            
a Warrant registered in the name of such Purchaser to purchase up to a number of shares of Common Stock equal to ______% of such
Purchaser’s Shares, with an exercise price equal to $______, subject to adjustment therein (such Warrant may be delivered
within three Trading Days of the Closing Date); and

(v)              
the Prospectus and Prospectus Supplement (which may be delivered in accordance with Rule 172 under the Securities Act).

(vi)            
UHY comfort letter in a form satisfactory to the Purchasers

(b)              
On or prior to the Closing Date, each Purchaser shall deliver or cause to be delivered to the Company or the Escrow Agent, as
applicable, the following:

(i)                
this Agreement duly executed by such Purchaser; and

(ii)              
as applicable, to Escrow Agent, such Purchaser’s Subscription Amount by wire transfer to the account specified in the Escrow
Agreement, and/or such Purchaser’s Company Notes, accompanied by a duly executed assignment of note with customary representations
as to title, authority and absence of liens, in form provided by or acceptable to the Company.

2.3             
Closing Conditions. 

(a)The
obligations of the Company hereunder in connection with the Closing are subject to the following conditions being met:

(i)                
the accuracy in all material respects on the Closing Date of the representations and warranties of the Purchasers contained herein
(unless as of a specific date therein in which case they shall be accurate as of such date);

(ii)              
all obligations, covenants and agreements of each Purchaser required to be performed at or prior to the Closing Date shall have
been performed; and

(iii)            
the delivery by each Purchaser of the items set forth in Section 2.2(b) of this Agreement.

(b)              
The respective obligations of the Purchasers hereunder in connection with the Closing are subject to the following conditions
being met:

(i)                
the accuracy in all material respects when made and on the Closing Date of the representations and warranties of the Company contained
herein (unless as of a specific date therein);

(ii)              
all obligations, covenants and agreements of the Company required to be performed at or prior to the Closing Date shall have been
performed;

(iii)            
the delivery by the Company of the items set forth in Section 2.2(a) of this Agreement;

(iv)            
there shall have been no Material Adverse Effect with respect to the Company since the date hereof; and

(v)              
from the date hereof to the Closing Date, trading in the Common Stock shall not have been suspended by the Commission or the Company’s
principal Trading Market, and, at any time prior to the Closing Date, trading in securities generally as reported by Bloomberg
L.P. shall not have been suspended or limited, or minimum prices shall not have been established on securities whose trades are
reported by such service, or on any Trading Market, nor shall a banking moratorium have been declared either by the United States
or New York State authorities nor shall there have occurred any material outbreak or escalation of hostilities or other national
or international calamity of such magnitude in its effect on, or any material adverse change in, any financial market which, in
each case, in the reasonable judgment of such Purchaser, makes it impracticable or inadvisable to purchase the Securities at the
Closing.

ARTICLE
III.

REPRESENTATIONS AND WARRANTIES

3.1             
Representations and Warranties of the Company. Except as set forth in the SEC Reports, which shall qualify any representations
or warranties of the Company otherwise made herein, the Company hereby makes the following representations and warranties to each
Purchaser:

(a)               
Subsidiaries. The Company owns, directly or indirectly, all of the capital stock or other equity interests of each Subsidiary
free and clear of any Liens, and all of the issued and outstanding shares of capital stock of each Subsidiary are validly issued
and are fully paid, non-assessable and free of preemptive and similar rights to subscribe for or purchase securities. The Company
has no “significant subsidiaries” (as such term is defined in Rule 1-02 of Regulation S-X promulgated under the Securities
Act).

(b)              
Organization and Qualification. The Company and each of the Subsidiaries is an entity duly incorporated or otherwise organized,
validly existing and in good standing under the laws of the jurisdiction of its incorporation or organization, with the requisite
power and authority to own and use its properties and assets and to carry on its business as currently conducted. Neither the
Company nor any Subsidiary is in violation nor default of any of the provisions of its respective certificate or articles of incorporation,
bylaws or other organizational or charter documents. Each of the Company and the Subsidiaries is duly qualified to conduct business
and is in good standing as a foreign corporation or other entity in each jurisdiction in which the nature of the business conducted
or property owned by it makes such qualification necessary, except where the failure to be so qualified or in good standing, as
the case may be, would not have or reasonably be expected to result in: (i) a material adverse effect on the legality, validity
or enforceability of any Transaction Document, (ii) a material adverse effect on the results of operations, assets, business,
or financial condition of the Company and the Subsidiaries, taken as a whole, or (iii) a material adverse effect on the Company’s
ability to perform in any material respect on a timely basis its obligations under any Transaction Document (any of (i), (ii)
or (iii), a “Material Adverse Effect”) and no Proceeding has been instituted in any such jurisdiction revoking, limiting
or curtailing or seeking to revoke, limit or curtail such power and authority or qualification.

(c)               
Authorization; Enforcement. The Company has the requisite corporate power and authority to enter into and to consummate
the transactions contemplated by this Agreement and each of the other Transaction Documents and otherwise to carry out its obligations
hereunder and thereunder. The execution and delivery of this Agreement and each of the other Transaction Documents by the Company
and the consummation by it of the transactions contemplated hereby and thereby have been duly authorized by all necessary action
on the part of the Company and no further action is required by the Company, the Board of Directors or the Company’s stockholders
in connection herewith or therewith other than in connection with the Required Approvals. This Agreement and each other Transaction
Document to which it is a party has been (or upon delivery will have been) duly executed by the Company and, when delivered in
accordance with the terms hereof and thereof, will constitute the valid and binding obligation of the Company enforceable against
the Company in accordance with its terms, except (i) as limited by general equitable principles and applicable bankruptcy, insolvency,
reorganization, moratorium and other laws of general application affecting enforcement of creditors’ rights generally, (ii)
as limited by laws relating to the availability of specific performance, injunctive relief or other equitable remedies and (iii)
insofar as indemnification and contribution provisions may be limited by applicable law.

(d)              
No Conflicts. The execution, delivery and performance by the Company of this Agreement and the other Transaction Documents
to which it is a party, the issuance and sale of the Securities and the consummation by it of the transactions contemplated hereby
and thereby do not and will not (i) conflict with or violate any provision of the Company’s or any Subsidiary’s certificate
or articles of incorporation, bylaws or other organizational or charter documents, or (ii) conflict with, or constitute a default
(or an event that with notice or lapse of time or both would become a default) under, result in the creation of any Lien upon
any of the properties or assets of the Company or any Subsidiary, or give to others any rights of termination, amendment, acceleration
or cancellation (with or without notice, lapse of time or both) of, any agreement, credit facility, debt or other instrument (evidencing
a Company or Subsidiary debt or otherwise) or other understanding to which the Company or any Subsidiary is a party or by which
any property or asset of the Company or any Subsidiary is bound, or (iii) subject to the Required Approvals, conflict with or
result in a violation of any law, rule, regulation, order, judgment, injunction, decree or other restriction of any court or governmental
authority to which the Company or a Subsidiary is subject (including federal and state securities laws and regulations), or by
which any property or asset of the Company or a Subsidiary is bound; except in the case of each of clauses (ii) and (iii), such
as would not have or reasonably be expected to result in a Material Adverse Effect.

(e)               
Filings, Consents and Approvals. The Company is not required to obtain any consent, waiver, authorization or order of,
give any notice to, or make any filing or registration with, any court or other federal, state, local or other governmental authority
or other Person in connection with the execution, delivery and performance by the Company of the Transaction Documents, other
than: (i) the filings required pursuant to Section 4.4 of this Agreement, (ii) the filing with the Commission of the Prospectus
Supplement, (iii) application(s) to each applicable Trading Market, if any, for the listing of the Shares and Warrant Shares for
trading thereon in the time and manner required thereby and (iv) such filings as may be required to be made under applicable state
securities laws (collectively, the “Required Approvals”).

(f)               
Issuance of the Securities; Registration. The Securities are duly authorized and, when issued and paid for in accordance
with the applicable Transaction Documents, will be duly and validly issued, fully paid and nonassessable, free and clear of all
Liens imposed by the Company. The Company has reserved from its duly authorized capital stock the maximum number of shares of
Common Stock issuable pursuant to this Agreement and the Warrants. The Company has prepared and filed the Registration Statement
in conformity with the requirements of the Securities Act, which became effective November 19, 2014 (the “Effective Date”),
including the Prospectus, and such amendments and supplements thereto as may have been required to the date of this Agreement.
The Registration Statement is effective under the Securities Act and no stop order preventing or suspending the effectiveness
of the Registration Statement or suspending or preventing the use of the Prospectus has been issued by the Commission and no proceedings
for that purpose have been instituted or, to the knowledge of the Company, are threatened by the Commission. The Company, if required
by the rules and regulations of the Commission, shall file the Prospectus with the Commission pursuant to Rule 424(b). At the
time the Registration Statement and any amendments thereto became effective, at the date of this Agreement and at the Closing
Date, the Registration Statement and any amendments thereto conformed and will conform in all material respects to the requirements
of the Securities Act and did not and will not contain any untrue statement of a material fact or omit to state any material fact
required to be stated therein or necessary to make the statements therein not misleading; and the Prospectus and any amendments
or supplements thereto, at time the Prospectus or any amendment or supplement thereto was issued and at the Closing Date, conformed
and will conform in all material respects to the requirements of the Securities Act and did not and will not contain an untrue
statement of a material fact or omit to state a material fact necessary in order to make the statements therein, in light of the
circumstances under which they were made, not misleading.

(g)              
Capitalization. The capitalization of the Company is as set forth in the Registration Statement and the Prospectus. The
Company has not issued any capital stock since its most recently filed periodic report under the Exchange Act, other than pursuant
to the exercise of stock options under the Company’s stock option plans and pursuant to the conversion and/or exercise of
Common Stock Equivalents outstanding as of the date of the most recently filed periodic report under the Exchange Act. No Person
has any right of first refusal, preemptive right, right of participation, or any similar right to participate in the transactions
contemplated by the Transaction Documents. Except as a result of the purchase and sale of the Securities, there are no outstanding
options, warrants, scrip rights to subscribe to, calls or commitments of any character whatsoever relating to, or securities,
rights or obligations convertible into or exercisable or exchangeable for, or giving any Person any right to subscribe for or
acquire, any shares of Common Stock, or contracts, commitments, understandings or arrangements by which the Company or any Subsidiary
is or may become bound to issue additional shares of Common Stock or Common Stock Equivalents. The issuance and sale of the Securities
will not obligate the Company to issue shares of Common Stock or other securities to any Person (other than the Purchasers) and
will not result in a right of any holder of Company securities to adjust the exercise, conversion, exchange or reset price under
any of such securities. All of the outstanding shares of capital stock of the Company are duly authorized, validly issued, fully
paid and nonassessable, have been issued in compliance with all federal and state securities laws, and none of such outstanding
shares was issued in violation of any preemptive rights or similar rights to subscribe for or purchase securities. No further
approval or authorization of any stockholder, the Board of Directors or others is required for the issuance and sale of the Securities.
There are no stockholders agreements, voting agreements or other similar agreements with respect to the Company’s capital
stock to which the Company is a party or, to the knowledge of the Company, between or among any of the Company’s stockholders.

(h)              
SEC Reports; Financial Statements. The Company has filed all reports, schedules, forms, statements and other documents
required to be filed by the Company under the Securities Act and the Exchange Act, including pursuant to Section 13(a) or 15(d)
thereof, for the two years preceding the date hereof (or such shorter period as the Company was required by law or regulation
to file such material) (the foregoing materials, including the exhibits thereto and documents incorporated by reference therein,
together with the Prospectus and the Prospectus Supplement, being collectively referred to herein as the “SEC Reports”).
As of their respective dates, the SEC Reports complied in all material respects with the requirements of the Securities Act and
the Exchange Act, as applicable, and none of the SEC Reports, when filed, contained any untrue statement of a material fact or
omitted to state a material fact required to be stated therein or necessary in order to make the statements therein, in the light
of the circumstances under which they were made, not misleading. The Company has never been an issuer subject to Rule 144(i) under
the Securities Act. The financial statements of the Company included in the SEC Reports comply in all material respects with applicable
accounting requirements and the rules and regulations of the Commission with respect thereto as in effect at the time of filing.
Such financial statements have been prepared in accordance with United States generally accepted accounting principles applied
on a consistent basis during the periods involved (“GAAP”), except as may be otherwise specified in such financial
statements or the notes thereto and except that unaudited financial statements may not contain all footnotes required by GAAP,
and fairly present in all material respects the financial position of the Company and its consolidated Subsidiaries as of and
for the dates thereof and the results of operations and cash flows for the periods then ended, subject, in the case of unaudited
statements, to normal, immaterial, year-end audit adjustments.

(i)                
Material Changes; Undisclosed Events, Liabilities or Developments. Since the date of the latest audited financial statements
included within the SEC Reports, except as specifically disclosed in a subsequent SEC Report filed prior to the date hereof, (i)
there has been no event, occurrence or development that has had or that would reasonably be expected to result in a Material Adverse
Effect, (ii) the Company has not incurred any liabilities (contingent or otherwise) other than (A) trade payables and accrued
expenses incurred in the ordinary course of business consistent with past practice and (B) liabilities not required to be reflected
in the Company’s financial statements pursuant to GAAP or disclosed in filings made with the Commission, (iii) the Company
has not altered its method of accounting, (iv) the Company has not declared or made any dividend or distribution of cash or other
property to its stockholders or purchased, redeemed or made any agreements to purchase or redeem any shares of its capital stock
and (v) the Company has not issued any equity securities to any employee, consultant, officer, director or Affiliate, except pursuant
to existing Company stock option plans. The Company does not have pending before the Commission any request for confidential treatment
of information. Except for the issuance of the Securities contemplated by this Agreement, the Registration Statement and the Prospectus,
no event, liability, fact, circumstance, occurrence or development has occurred or exists or is reasonably expected to occur or
exist with respect to the Company or its Subsidiaries or their respective businesses, prospects, properties, operations, assets
or financial condition that would be required to be disclosed by the Company under applicable securities laws at the time this
representation is made or deemed made that has not been publicly disclosed at least 1 Trading Day prior to the date that this
representation is made.

(j)                
Litigation. There is no action, lawsuit, inquiry, notice of violation, proceeding or investigation pending or, to the knowledge
of the Company, threatened against or affecting the Company, any Subsidiary or any of their respective properties before or by
any court, arbitrator, governmental or administrative agency or regulatory authority (federal, state, county, local or foreign)
(collectively, an “Action”) which (i) adversely affects or challenges the legality, validity or enforceability
of any of the Transaction Documents or the Securities or (ii) would, if there were an unfavorable decision, have or reasonably
be expected to result in a Material Adverse Effect. Neither the Company nor any Subsidiary, nor any director or officer in such
capacity thereof, is or has been the subject of any Action involving a claim of violation of or liability under federal or state
securities laws or a claim of breach of fiduciary duty. There has not been, and to the knowledge of the Company, there is not
pending or contemplated, any investigation by the Commission involving the Company or any current or former director or officer
of the Company. The Commission has not issued any stop order or other order suspending the effectiveness of any registration statement
filed by the Company or any Subsidiary under the Exchange Act or the Securities Act.

(k)              
Labor Relations. No labor dispute exists or, to the knowledge of the Company, is imminent with respect to any of the employees
of the Company, which would reasonably be expected to result in a Material Adverse Effect. None of the Company’s or its
Subsidiaries’ employees is a member of a union that relates to such employee’s relationship with the Company or such
Subsidiary, and neither the Company nor any of its Subsidiaries is a party to a collective bargaining agreement, and the Company
and its Subsidiaries believe that their relationships with their employees are good. To the knowledge of the Company, no executive
officer of the Company or any Subsidiary, is, or is now expected to be, in violation of any material term of any employment contract,
confidentiality, disclosure or proprietary information agreement or non-competition agreement, or any other contract or agreement
or any restrictive covenant in favor of any third party, and the continued employment of each such executive officer does not
subject the Company or any of its Subsidiaries to any liability with respect to any of the foregoing matters. The Company and
its Subsidiaries are in compliance with all U.S. federal, state, local and foreign laws and regulations relating to employment
and employment practices, terms and conditions of employment and wages and hours, except where the failure to be in compliance
would not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect.

(l)                
Compliance. Neither the Company nor any Subsidiary: (i) is in default under or in violation of (and no event has occurred
that has not been waived that, with notice or lapse of time or both, would result in a default by the Company or any Subsidiary
under), nor has the Company or any Subsidiary received notice of a claim that it is in default under or that it is in violation
of, any indenture, loan or credit agreement or any other agreement or instrument to which it is a party or by which it or any
of its properties is bound (whether or not such default or violation has been waived), (ii) is in violation of any judgment, decree
or order of any court, arbitrator or other governmental authority or (iii) is or has been in violation of any statute, rule, ordinance
or regulation of any governmental authority, including without limitation all foreign, federal, state and local laws relating
to taxes, environmental protection, occupational health and safety, product quality and safety and employment and labor matters,
except in each case as would not have or reasonably be expected to result in a Material Adverse Effect.

(m)            
Regulatory Permits. The Company and the Subsidiaries possess all certificates, authorizations and permits issued by the
appropriate federal, state, local or foreign regulatory authorities necessary to conduct their respective businesses as described
in the SEC Reports, except where the failure to possess such permits would not reasonably be expected to result in a Material
Adverse Effect (“Material Permits”), and neither the Company nor any Subsidiary has received any notice of
proceedings relating to the revocation or modification of any Material Permit.

(n)              
Title to Assets. The Company and the Subsidiaries have good and marketable title in fee simple to all real property owned
by them and good and marketable title in all personal property owned by them that is material to the business of the Company and
the Subsidiaries, in each case free and clear of all Liens, except for (i) Liens as do not materially affect the value of such
property and do not materially interfere with the use made and proposed to be made of such property by the Company and the Subsidiaries
and (ii) Liens for the payment of federal, state or other taxes, for which appropriate reserves have been made in accordance with
GAAP and, the payment of which is neither delinquent nor subject to penalties. Any real property and facilities held under lease
by the Company and the Subsidiaries are held by them under valid, subsisting and enforceable leases with which the Company and
the Subsidiaries are in material compliance.

(o)              
Intellectual Property. The Company and the Subsidiaries have, or have rights to use, all patents, patent applications,
trademarks, trademark applications, service marks, trade names, trade secrets, inventions, copyrights, licenses and other intellectual
property rights and similar rights necessary or required for use in connection with their respective businesses as described in
the SEC Reports and which the failure to so have would have a Material Adverse Effect (collectively, the “Intellectual
Property Rights”). None of, and neither the Company nor any Subsidiary has received a notice (written or otherwise)
that any of, the Intellectual Property Rights has expired, terminated or been abandoned, or is expected to expire or terminate
or be abandoned, within two (2) years from the date of this Agreement. Neither the Company nor any Subsidiary has received, since
the date of the latest audited financial statements included within the SEC Reports, a written notice of a claim or otherwise
has any knowledge that the Intellectual Property Rights violate or infringe upon the rights of any Person, except as would not
have or reasonably be expected to not have a Material Adverse Effect. To the knowledge of the Company, all such Intellectual Property
Rights are enforceable and there is no existing infringement by another Person of any of the Intellectual Property Rights. The
Company and its Subsidiaries have taken reasonable security measures to protect the secrecy, confidentiality and value of all
of their intellectual properties, except where failure to do so would not, individually or in the aggregate, reasonably be expected
to have a Material Adverse Effect.

(p)              
Insurance. The Company and the Subsidiaries are insured by insurers of recognized financial responsibility against such
losses and risks and in such amounts as are prudent and customary in the businesses in which the Company and the Subsidiaries
are engaged. Neither the Company nor any Subsidiary has any reason to believe that it will not be able to renew its existing insurance
coverage as and when such coverage expires or to obtain similar coverage from similar insurers as may be necessary to continue
its business without a significant increase in cost.

(q)              
Transactions With Affiliates and Employees. None of the officers or directors of the Company or any Subsidiary and, to
the knowledge of the Company, none of the employees of the Company or any Subsidiary is presently a party to any transaction with
the Company or any Subsidiary (other than for services as employees, officers and directors), including any contract, agreement
or other arrangement providing for the furnishing of services to or by, providing for rental of real or personal property to or
from, providing for the borrowing of money from or lending of money to or otherwise requiring payments to or from any officer,
director or such employee or, to the knowledge of the Company, any entity in which any officer, director, or any such employee
has a substantial interest or is an officer, director, trustee, stockholder, member or partner, in each case in excess of $120,000
other than for (i) payment of salary or consulting fees for services rendered, (ii) reimbursement for expenses incurred on behalf
of the Company and (iii) other employee benefits, including but not limited to stock option agreements under any stock option
plan of the Company.

(r)                
Sarbanes-Oxley; Internal Accounting Controls. The Company and the Subsidiaries maintain a system of internal accounting
controls sufficient to provide reasonable assurance that: (i) transactions are executed in accordance with management’s
general or specific authorizations, (ii) transactions are recorded as necessary to permit preparation of financial statements
in conformity with GAAP and to maintain asset accountability, (iii) access to assets is permitted only in accordance with management’s
general or specific authorization, and (iv) the recorded accountability for assets is compared with the existing assets at reasonable
intervals and appropriate action is taken with respect to any differences. The Company and the Subsidiaries have established disclosure
controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) for the Company and the Subsidiaries and designed
such disclosure controls and procedures to ensure that information required to be disclosed by the Company in the reports it files
or submits under the Exchange Act is recorded, processed, summarized and reported, within the time periods specified in the Commission’s
rules and forms. The Company’s certifying officers have evaluated the effectiveness of the disclosure controls and procedures
of the Company and the Subsidiaries as of the end of the period covered by the most recently filed periodic report under the Exchange
Act (such date, the “Evaluation Date”). The Company presented in its most recently filed periodic report under
the Exchange Act the conclusions of the certifying officers about the effectiveness of the disclosure controls and procedures
based on their evaluations as of the Evaluation Date. Since the Evaluation Date, there have been no changes in the internal control
over financial reporting (as such term is defined in the Exchange Act) of the Company and its Subsidiaries that have materially
affected, or is reasonably likely to materially affect, the internal control over financial reporting of the Company and its Subsidiaries.

(s)               
Certain Fees. Except as set forth in the Prospectus Supplement, no brokerage or finder’s fees or commissions are
or will be payable by the Company or any Subsidiary to any broker, financial advisor or consultant, finder, placement agent, investment
banker, bank or other Person with respect to the transactions contemplated by the Transaction Documents. The Purchasers shall
have no obligation with respect to any fees or with respect to any claims made by or on behalf of other Persons for fees of a
type contemplated in this Section that may be due in connection with the transactions contemplated by the Transaction Documents.

(t)                
Investment Company. The Company is not, and is not an Affiliate of, and immediately after receipt of payment for the Securities,
will not be or be an Affiliate of, an “investment company” within the meaning of the Investment Company Act of 1940,
as amended. The Company shall conduct its business in a manner so that it will not become an “investment company”
subject to registration under the Investment Company Act of 1940, as amended.

(u)              
Registration Rights. No Person has any right to cause the Company or any Subsidiary to effect the registration under the
Securities Act of any securities of the Company or any Subsidiary.

(v)              
Listing and Maintenance Requirements. The Common Stock is registered pursuant to Section 12(b) or 12(g) of the Exchange
Act, and the Company has taken no action designed to, or which to its knowledge is likely to have the effect of, terminating the
registration of the Common Stock under the Exchange Act nor has the Company received any notification that the Commission is contemplating
terminating such registration. The Company has not, in the 12 months preceding the date hereof, received notice from any Trading
Market on which the Common Stock is or has been listed or quoted to the effect that the Company is not in compliance with the
listing or maintenance requirements of such Trading Market. The Company is, and has no reason to believe that it will not in the
foreseeable future continue to be, in compliance with all such listing and maintenance requirements. The Common Stock is currently
eligible for electronic transfer through the Depository Trust Company or another established clearing corporation and the Company
is current in payment of the fees to the Depository Trust Company (or such other established clearing corporation) in connection
with such electronic transfer.

(w)            
Application of Takeover Protections. The Company and the Board of Directors have taken all necessary action, if any, in
order to render inapplicable any control share acquisition, business combination, poison pill (including any distribution under
a rights agreement) or other similar anti-takeover provision under the Company’s certificate of incorporation (or similar
charter documents) or the laws of its state of incorporation that is or could become applicable to the Purchasers as a result
of the Purchasers and the Company fulfilling their obligations or exercising their rights under the Transaction Documents, including
without limitation as a result of the Company’s issuance of the Securities and the Purchasers’ ownership of the Securities.

(x)              
Disclosure. Except with respect to the material terms and conditions of the transactions contemplated by the Transaction
Documents, the Company confirms that neither it nor any other Person acting on its behalf has provided any of the Purchasers or
their agents or counsel with any information that it believes constitutes or might constitute material, non-public information
which is not otherwise disclosed in the Prospectus Supplement. The Company understands and confirms that the Purchasers will rely
on the foregoing representation in effecting transactions in securities of the Company. All of the disclosure furnished by or
on behalf of the Company to the Purchasers regarding the Company and its Subsidiaries, their respective businesses and the transactions
contemplated hereby, is true and correct and does not contain any untrue statement of a material fact or omit to state any material
fact necessary in order to make the statements made therein, in light of the circumstances under which they were made, not misleading.
The press releases disseminated by the Company during the twelve months preceding the date of this Agreement taken as a whole
do not contain any untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary
in order to make the statements therein, in light of the circumstances under which they were made and when made, not misleading.
The Company acknowledges and agrees that no Purchaser makes or has made any representations or warranties with respect to the
transactions contemplated hereby other than those specifically set forth in Section 3.2 hereof.

(y)              
No Integrated Offering. Assuming the accuracy of the Purchasers’ representations and warranties set forth in Section
3.2, neither the Company, nor any of its Affiliates, nor any Person acting on its or their behalf has, directly or indirectly,
made any offers or sales of any security or solicited any offers to buy any security, under circumstances that would cause this
offering of the Securities to be integrated with prior offerings by the Company for purposes of any applicable shareholder approval
provisions of any Trading Market on which any of the securities of the Company are listed or designated.

(z)               
Solvency. Based on the consolidated financial condition of the Company as of the Closing Date, after giving effect to the
receipt by the Company of the proceeds from the sale of the Securities hereunder, (i) the fair saleable value of the Company’s
assets exceeds the amount that will be required to be paid on or in respect of the Company’s existing debts and other liabilities
(including known contingent liabilities) as they mature, (ii) the Company’s assets do not constitute unreasonably small
capital to carry on its business as now conducted and as proposed to be conducted including its capital needs taking into account
the particular capital requirements of the business conducted by the Company, consolidated and projected capital requirements
and capital availability thereof, and (iii) the current cash flow of the Company, together with the proceeds the Company would
receive, were it to liquidate all of its assets, after taking into account all anticipated uses of the cash, would be sufficient
to pay all amounts on or in respect of its liabilities when such amounts are required to be paid. The Company does not intend
to incur debts beyond its ability to pay such debts as they mature (taking into account the timing and amounts of cash to be payable
on or in respect of its debt). The Company has no knowledge of any facts or circumstances which lead it to believe that it will
file for reorganization or liquidation under the bankruptcy or reorganization laws of any jurisdiction within one year from the
Closing Date. The SEC Reports set forth as of the date thereof all outstanding secured and unsecured Indebtedness of the Company
or any Subsidiary, or for which the Company or any Subsidiary has commitments. For the purposes of this Agreement, “Indebtedness”
means (x) any liabilities for borrowed money or amounts owed in excess of $250,000 (other than trade accounts payable incurred
in the ordinary course of business), (y) all guaranties, endorsements and other contingent obligations in respect of indebtedness
of others, whether or not the same are or should be reflected in the Company’s consolidated balance sheet (or the notes
thereto), except guaranties by endorsement of negotiable instruments for deposit or collection or similar transactions in the
ordinary course of business; and (z) the present value of any lease payments in excess of $100,000 due under leases required to
be capitalized in accordance with GAAP. Neither the Company nor any Subsidiary is in material default with respect to any Indebtedness.

(aa)           
Tax Status. Except for matters that would not, individually or in the aggregate, have or reasonably be expected to result
in a Material Adverse Effect, the Company and its Subsidiaries each (i) has made or filed all United States federal, state and
local income and all foreign income and franchise tax returns, reports and declarations required by any jurisdiction to which
it is subject, (ii) has paid all taxes and other governmental assessments and charges that are material in amount, shown or determined
to be due on such returns, reports and declarations and (iii) has set aside on its books provision reasonably adequate for the
payment of all material taxes for periods subsequent to the periods to which such returns, reports or declarations apply. There
are no unpaid taxes in any material amount claimed to be past due by the taxing authority of any jurisdiction, and the officers
of the Company or of any Subsidiary know of no basis for any such claim.

(bb)          
Foreign Corrupt Practices. Neither the Company nor any Subsidiary, nor to the knowledge of the Company or any Subsidiary,
any agent or other person acting on behalf of the Company or any Subsidiary, has (i) directly or indirectly, used any funds for
unlawful contributions, gifts, entertainment or other unlawful expenses related to foreign or domestic political activity, (ii)
made any unlawful payment to foreign or domestic government officials or employees or to any foreign or domestic political parties
or campaigns from corporate funds, (iii) failed to disclose fully any contribution made by the Company or any Subsidiary (or made
by any person acting on its behalf of which the Company is aware) which is in violation of law, or (iv) violated in any material
respect any provision of FCPA.

(cc)           
Accountants. The Company’s accounting firm is UHY LLP. To the knowledge and belief of the Company, such accounting
firm (i) is a registered public accounting firm as required by the Exchange Act and (ii) shall express its opinion with respect
to the financial statements to be included in the Company’s Annual Report for the fiscal year ending December 31, 2014.

(dd)         
 Acknowledgment Regarding Purchasers’ Purchase of Securities. The Company acknowledges and agrees that each of the
Purchasers is acting solely in the capacity of an arm’s length purchaser with respect to the Transaction Documents and the
transactions contemplated thereby. The Company further acknowledges that no Purchaser is acting as a financial advisor or fiduciary
of the Company (or in any similar capacity) with respect to the Transaction Documents and the transactions contemplated thereby
and any advice given by any Purchaser or any of their respective representatives or agents in connection with the Transaction
Documents and the transactions contemplated thereby is merely incidental to the Purchasers’ purchase of the Securities.
The Company further represents to each Purchaser that the Company’s decision to enter into this Agreement and the other
Transaction Documents has been based solely on the independent evaluation of the transactions contemplated hereby by the Company
and its representatives.

(ee)           
Acknowledgement Regarding Purchaser’s Trading
Activity. Anything in this Agreement or elsewhere herein to the contrary notwithstanding (except for Sections 3.2(f) and 4.14
hereof), it is understood and acknowledged by the Company that: (i) none of the Purchasers has been asked by the Company to agree,
nor has any Purchaser agreed, to desist from purchasing or selling, long and/or short, securities of the Company, or “derivative”
securities based on securities issued by the Company or to hold the Securities for any specified term; (ii) past or future open
market or other transactions by any Purchaser, specifically including, without limitation, Short Sales or “derivative”
transactions, before or after the closing of this or future private placement transactions, may negatively impact the market price
of the Company’s publicly-traded securities; (iii) any Purchaser, and counter-parties in “derivative” transactions
to which any such Purchaser is a party, directly or indirectly, presently may have a “short” position in the Common
Stock, and (iv) each Purchaser shall not be deemed to have any affiliation with or control over any arm’s length counter-party
in any “derivative” transaction. The Company further understands and acknowledges that (y) one or more Purchasers
may engage in hedging activities at various times during the period that the Securities are outstanding, including, without limitation,
during the periods that the value of the Warrant Shares deliverable with respect to Securities are being determined, and (z) such
hedging activities (if any) could reduce the value of the existing stockholders' equity interests in the Company at and after
the time that the hedging activities are being conducted. The Company acknowledges that such aforementioned hedging activities
do not constitute a breach of any of the Transaction Documents.

(ff)            
Regulation M Compliance. The Company has not, and to its knowledge no one acting on its behalf has, (i) taken, directly
or indirectly, any action designed to cause or to result in the stabilization or manipulation of the price of any security of
the Company to facilitate the sale or resale of any of the Securities, (ii) sold, bid for, purchased, or, paid any compensation
for soliciting purchases of, any of the Securities, or (iii) paid or agreed to pay to any Person any compensation for soliciting
another to purchase any other securities of the Company, other than, in the case of clauses (ii) and (iii), compensation paid
to the Company’s placement agent in connection with the placement of the Securities.

(gg)          
FDA. As to each product subject to the jurisdiction of the U.S. Food and Drug Administration (“FDA”)
under the Federal Food, Drug and Cosmetic Act, as amended, and the regulations thereunder (“FDCA”) that is
manufactured, packaged, labeled, tested, distributed, sold, and/or marketed by the Company or any of its Subsidiaries (each such
product, a “Pharmaceutical Product”), such Pharmaceutical Product is being manufactured, packaged, labeled,
tested, distributed, sold and/or marketed by the Company in compliance with all applicable requirements under FDCA and similar
laws, rules and regulations relating to registration, investigational use, premarket clearance, licensure, or application approval,
good manufacturing practices, good laboratory practices, good clinical practices, product listing, quotas, labeling, advertising,
record keeping and filing of reports, except where the failure to be in compliance would not have a Material Adverse Effect. There
is no pending, completed or, to the Company's knowledge, threatened, action (including any lawsuit, arbitration, or legal or administrative
or regulatory proceeding, charge, complaint, or investigation) against the Company or any of its Subsidiaries, and none of the
Company or any of its Subsidiaries has received any notice, warning letter or other communication from the FDA or any other governmental
entity, which (i) contests the premarket clearance, licensure, registration, or approval of, the uses of, the distribution of,
the manufacturing or packaging of, the testing of, the sale of, or the labeling and promotion of any Pharmaceutical Product, (ii)
withdraws its approval of, requests the recall, suspension, or seizure of, or withdraws or orders the withdrawal of advertising
or sales promotional materials relating to, any Pharmaceutical Product, (iii) imposes a clinical hold on any clinical investigation
by the Company or any of its Subsidiaries, (iv) enjoins production at any facility of the Company or any of its Subsidiaries,
(v) enters or proposes to enter into a consent decree of permanent injunction with the Company or any of its Subsidiaries, or
(vi) otherwise alleges any violation of any laws, rules or regulations by the Company or any of its Subsidiaries, and which, either
individually or in the aggregate, would have a Material Adverse Effect. The properties,
business and operations of the Company have been and are being conducted in all material respects in accordance with all applicable
laws, rules and regulations of the FDA. The Company has not been informed by the FDA that the FDA will prohibit the marketing,
sale, license or use in the United States of any product proposed to be developed, produced or marketed by the Company nor has
the FDA expressed any concern as to approving or clearing for marketing any product being developed or proposed to be developed
by the Company. 

(hh)          
Office of Foreign Assets Control. Neither the Company nor any Subsidiary nor, to
the Company's knowledge, any director, officer, agent, employee or affiliate of the Company or any Subsidiary is currently subject
to any U.S. sanctions administered by the Office of Foreign Assets Control of the U.S. Treasury Department (“OFAC”).

(ii)              
U.S. Real Property Holding Corporation. The Company is not and has never been a U.S.
real property holding corporation within the meaning of Section 897 of the Internal Revenue Code of 1986, as amended.

(jj)              
Bank Holding Company Act. Neither the Company nor any of its Subsidiaries or Affiliates
is subject to the Bank Holding Company Act of 1956, as amended (the “BHCA”) and to regulation by the Board
of Governors of the Federal Reserve System (the “Federal Reserve”). Neither the Company nor any of its Subsidiaries
or Affiliates owns or controls, directly or indirectly, five percent (5%) or more of the outstanding shares of any class of voting
securities or twenty-five percent or more of the total equity of a bank or any entity that is subject to the BHCA and to regulation
by the Federal Reserve. Neither the Company nor any of its Subsidiaries or Affiliates exercises a controlling influence over the
management or policies of a bank or any entity that is subject to the BHCA and to regulation by the Federal Reserve.

(kk)          
Money Laundering. The operations of the Company and its Subsidiaries are and have
been conducted at all times in material compliance with applicable financial record-keeping and reporting requirements of the
Currency and Foreign Transactions Reporting Act of 1970, as amended, applicable money laundering statutes and applicable rules
and regulations thereunder (collectively, the “Money Laundering Laws”), and no action, lawsuit or proceeding
by or before any court or governmental agency, authority or body or any arbitrator involving the Company or any Subsidiary with
respect to the Money Laundering Laws is pending or, to the knowledge of the Company or any Subsidiary, threatened.

3.2             
Representations and Warranties of the Purchasers. Each Purchaser, for itself and for no other Purchaser, hereby represents
and warrants as of the date hereof and as of the Closing Date to the Company as follows (unless as of a specific date therein):

(a)               
Organization; Authority. Such Purchaser is either an individual or an entity duly incorporated or formed, validly existing
and in good standing under the laws of the jurisdiction of its incorporation or formation with full right, corporate, partnership,
limited liability company or similar power and authority to enter into and to consummate the transactions contemplated by this
Agreement and otherwise to carry out its obligations hereunder and thereunder. The execution and delivery of this Agreement and
performance by such Purchaser of the transactions contemplated by this Agreement have been duly authorized by all necessary corporate,
partnership, limited liability company or similar action, as applicable, on the part of such Purchaser. Each Transaction Document
to which it is a party has been duly executed by such Purchaser, and when delivered by such Purchaser in accordance with the terms
hereof, will constitute the valid and legally binding obligation of such Purchaser, enforceable against it in accordance with
its terms, except: (i) as limited by general equitable principles and applicable bankruptcy, insolvency, reorganization, moratorium
and other laws of general application affecting enforcement of creditors’ rights generally, (ii) as limited by laws relating
to the availability of specific performance, injunctive relief or other equitable remedies and (iii) insofar as indemnification
and contribution provisions may be limited by applicable law.

(b)              
Understandings or Arrangements. Such Purchaser is acquiring the Securities as principal for its own account and has no
direct or indirect arrangement or understandings with any other persons to distribute or regarding the distribution of such Securities
(this representation and warranty not limiting such Purchaser’s right to sell the Securities pursuant to the Registration
Statement or otherwise in compliance with applicable federal and state securities laws). Such Purchaser is acquiring the Securities
hereunder in the ordinary course of its business.

(c)               
Purchaser Status. At the time such Purchaser was offered the Securities, it was, and as of the date hereof it is, and on
each date on which it exercises any Warrants, it will be either (i) an “accredited investor” as defined in Rule 501(a)(1),
(a)(2), (a)(3), (a)(7) or (a)(8) under the Securities Act; or (ii) a “qualified institutional buyer” s defined in
Rule 144A(a) under the Securities Act. Such Purchaser is not required to be registered as a broker-dealer under Section 15 of
the Exchange Act.

(d)              
Experience of Such Purchaser. Such Purchaser, either alone or together with its representatives, has such knowledge, sophistication
and experience in business and financial matters so as to be capable of evaluating the merits and risks of the prospective investment
in the Securities, and has so evaluated the merits and risks of such investment. Such Purchaser is able to bear the economic risk
of an investment in the Securities and, at the present time, is able to afford a complete loss of such investment.

(e)               
Access to Information. Such Purchaser acknowledges that it has had the opportunity to review the Transaction Documents
(including all exhibits and schedules thereto) and the SEC Reports and has been afforded (i) the opportunity to ask such questions
as it has deemed necessary of, and to receive answers from, representatives of the Company concerning the terms and conditions
of the offering of the Shares and the merits and risks of investing in the Shares; (ii) access to information about the Company
and its financial condition, results of operations, business, properties, management and prospects sufficient to enable it to
evaluate its investment; and (iii) the opportunity to obtain such additional information that the Company possesses or can acquire
without unreasonable effort or expense that is necessary to make an informed investment decision with respect to the investment.
Such Purchaser acknowledges and agrees that neither the Placement Agent nor any Affiliate of the Placement Agent has provided
such Purchaser with any information or advice with respect to the Securities nor is such information or advice necessary or desired.
Neither the Placement Agent nor any Affiliate has made or makes any representation as to the Company or the quality of the Securities
and the Placement Agent and any Affiliate may have acquired non-public information with respect to the Company which such Purchaser
agrees need not be provided to it. In connection with the issuance of the Securities to such Purchaser, neither the Placement
Agent nor any of its Affiliates has acted as a financial advisor or fiduciary to such Purchaser.

(f)               
Certain Transactions and Confidentiality. Other than consummating the transactions contemplated hereunder, such Purchaser
has not, nor has any Person acting on behalf of or pursuant to any understanding with such Purchaser, directly or indirectly executed
any purchases or sales, including Short Sales, of the securities of the Company during the period commencing as of the time
that such Purchaser first received a term sheet (written or oral) from the Company or any other Person representing the Company
setting forth the material pricing terms of the transactions contemplated hereunder and ending immediately prior to the execution
hereof. Notwithstanding the foregoing, in the case of a Purchaser that is a multi-managed investment vehicle whereby separate
portfolio managers manage separate portions of such Purchaser’s assets and the portfolio managers have no direct knowledge
of the investment decisions made by the portfolio managers managing other portions of such Purchaser’s assets, the representation
set forth above shall only apply with respect to the portion of assets managed by the portfolio manager that made the investment
decision to purchase the Securities covered by this Agreement. Other than to other Persons party to this Agreement, such Purchaser
has maintained the confidentiality of all disclosures made to it in connection with this transaction (including the existence
and terms of this transaction). Notwithstanding the foregoing, for avoidance of doubt, nothing contained herein shall constitute
a representation or warranty, or preclude any actions, with respect to the identification of the availability of, or securing
of, available shares to borrow in order to effect Short Sales or similar transactions in the future.

The
Company acknowledges and agrees that the representations contained in Section 3.2 shall not modify, amend or affect such Purchaser’s
right to rely on the Company’s representations and warranties contained in this Agreement or any representations and warranties
contained in any other Transaction Document or any other document or instrument executed and/or delivered in connection with this
Agreement or the consummation of the transaction contemplated hereby.

ARTICLE
IV.

OTHER AGREEMENTS OF THE PARTIES

4.1             
Warrant Shares. If all or any portion of a Warrant is exercised at a time when there is an effective registration statement
to cover the issuance or resale of the Warrant Shares or if the Warrant is exercised via cashless exercise, the Warrant Shares
issued pursuant to any such exercise shall be issued free of all legends. If at any time following the date hereof the Registration
Statement (or any subsequent registration statement registering the sale or resale of the Warrant Shares) is not effective or
is not otherwise available for the sale or resale of the Warrant Shares, the Company shall notify the holders of the Warrants
in writing within one Business Day of the Registration Statement (or any subsequent registration statement registering the sale
or resale of the Warrant Shares) not being effective or otherwise available for the sale or resale of the Warrant Shares that
such registration statement is not then effective and thereafter shall promptly notify such holders when the registration statement
is effective again and available for the sale or resale of the Warrant Shares (it being understood and agreed that the foregoing
shall not limit the ability of the Company to issue, or any Purchaser to sell, any of the Warrant Shares in compliance with applicable
federal and state securities laws). The Company shall use commercially reasonable efforts to keep a registration statement (such
as the Registration Statement) registering the issuance or resale of the Warrant Shares effective during the term of the Warrants.

4.2             
Furnishing of Information. Until the earliest of the time that (i) no Purchaser owns Securities or (ii) the Warrants have
expired, the Company covenants to timely file (or obtain extensions in respect thereof and file within the applicable grace period)
all reports required to be filed by the Company after the date hereof pursuant to the Exchange Act even if the Company is not
then subject to the reporting requirements of the Exchange Act.

4.3             
Integration. The Company shall not sell, offer for sale or solicit offers to buy or otherwise negotiate in respect of any
security (as defined in Section 2 of the Securities Act) that would be integrated with the offer or sale of the Securities for
purposes of the rules and regulations of any Trading Market such that it would require shareholder approval prior to the closing
of such other transaction unless shareholder approval is obtained before the closing of such subsequent transaction.

4.4             
Securities Laws Disclosure; Publicity. The Company shall (a) by 9:00 a.m. (New York City time) on the Trading Day immediately
following the date hereof, issue a press release disclosing the material terms of the transactions contemplated hereby, and (b)
file a Current Report on Form 8-K, including the Transaction Documents as exhibits thereto, with the Commission within the time
required by the Exchange Act. From and after the issuance of such press release, the Company represents to the Purchasers that
it shall have publicly disclosed all material, non-public information delivered to any of the Purchasers by the Company or any
of its Subsidiaries, or any of their respective officers, directors, employees or agents in connection with the transactions contemplated
by the Transaction Documents. The Company and each Purchaser shall consult with each other in issuing any other press releases
with respect to the transactions contemplated hereby, and neither the Company nor any Purchaser shall issue any such press release
nor otherwise make any such public statement without the prior consent of the Company, with respect to any press release of any
Purchaser, or without the prior consent of each Purchaser, with respect to any press release of the Company, which consent shall
not unreasonably be withheld or delayed, except if such disclosure is required by law, in which case the disclosing party shall
promptly provide the other party with prior notice of such public statement or communication. Notwithstanding the foregoing, the
Company shall not publicly disclose the name of any Purchaser, or include the name of any Purchaser in any filing with the Commission
or any regulatory agency or Trading Market, without the prior written consent of such Purchaser, except (a) as required by federal
securities law in connection with the filing of final Transaction Documents with the Commission and (b) to the extent such disclosure
is required by law or Trading Market regulations, in which case the Company shall provide the Purchasers with prior notice of
such disclosure permitted under this clause (b).

4.5             
Shareholder Rights Plan. No claim will be made or enforced by the Company or, with the consent of the Company, any other
Person, that any Purchaser is an “Acquiring Person” under any control share acquisition, business combination, poison
pill (including any distribution under a rights agreement) or similar anti-takeover plan or arrangement in effect or hereafter
adopted by the Company, or that any Purchaser could be deemed to trigger the provisions of any such plan or arrangement, by virtue
of receiving Securities under the Transaction Documents.

4.6             
Non-Public Information. Except with respect to the material terms and conditions of the transactions contemplated by the
Transaction Documents, the Company covenants and agrees that neither it, nor any other Person acting on its behalf will provide
any Purchaser or its agents or counsel with any information that the Company believes constitutes material non-public information,
unless prior thereto such Purchaser shall have entered into a written agreement with the Company regarding the confidentiality
and use of such information. The Company understands and confirms that each Purchaser shall be relying on the foregoing covenant
in effecting transactions in securities of the Company.

4.7             
Use of Proceeds. The Company shall use the net proceeds from the sale of the Securities hereunder for the purposes described
in the Prospectus and any Prospectus Supplement.

4.8             
Indemnification of Purchasers. Subject to the provisions of this Section 4.8, the Company will indemnify and hold each
Purchaser and its directors, officers, shareholders, members, partners, employees and agents (and any other Persons with a functionally
equivalent role of a Person holding such titles notwithstanding a lack of such title or any other title), each Person who controls
such Purchaser (within the meaning of Section 15 of the Securities Act and Section 20 of the Exchange Act), and the directors,
officers, shareholders, agents, members, partners or employees (and any other Persons with a functionally equivalent role of a
Person holding such titles notwithstanding a lack of such title or any other title) of such controlling persons (each, a “Purchaser
Party”) harmless from any and all losses, liabilities, obligations, claims, contingencies, damages, costs and expenses,
including all judgments, amounts paid in settlements, court costs and reasonable attorneys’ fees and costs of investigation
that any such Purchaser Party may suffer or incur as a result of or relating to (a) any breach of any of the representations,
warranties, covenants or agreements made by the Company in this Agreement or in the other Transaction Documents or (b) any action
instituted against the Purchaser Parties in any capacity, or any of them or their respective Affiliates, by any stockholder of
the Company who is not an Affiliate of such Purchaser Party, with respect to any of the transactions contemplated by the Transaction
Documents (unless such action is based upon a breach of such Purchaser Party’s representations, warranties or covenants
under the Transaction Documents or any agreements or understandings such Purchaser Party may have with any such stockholder or
any violations by such Purchaser Party of state or federal securities laws or any conduct by such Purchaser Party which constitutes
fraud, gross negligence, willful misconduct or malfeasance). If any action shall be brought against any Purchaser Party in respect
of which indemnity may be sought pursuant to this Agreement, such Purchaser Party shall promptly notify the Company in writing,
and the Company shall have the right to assume the defense thereof with counsel of its own choosing reasonably acceptable to the
Purchaser Party. Any Purchaser Party shall have the right to employ separate counsel in any such action and participate in the
defense thereof, but the fees and expenses of such counsel shall be at the expense of such Purchaser Party except to the extent
that (i) the employment thereof has been specifically authorized by the Company in writing, (ii) the Company has failed after
a reasonable period of time to assume such defense and to employ counsel or (iii) in such action there is, in the reasonable opinion
of counsel, a material conflict on any material issue between the position of the Company and the position of such Purchaser Party,
in which case the Company shall be responsible for the reasonable fees and expenses of no more than one such separate counsel.
The Company will not be liable to any Purchaser Party under this Agreement (y) for any settlement by a Purchaser Party effected
without the Company’s prior written consent, which shall not be unreasonably withheld or delayed; or (z) to the extent,
but only to the extent that a loss, claim, damage or liability is attributable to any Purchaser Party’s breach of any of
the representations, warranties, covenants or agreements made by such Purchaser Party in this Agreement or in the other Transaction
Documents or any violations by such Purchaser Party of state or federal securities laws or any conduct by such Purchaser Party
that constitutes fraud, gross negligence, willful misconduct or malfeasance. The indemnification required by this Section 4.8
shall be made by periodic payments of the amount thereof during the course of the investigation or defense, as and when bills
are received or are incurred. The indemnity agreements contained herein shall be in addition to any cause of action or similar
right of any Purchaser Party against the Company or others and any liabilities the Company may be subject to pursuant to law.

4.9             
Reservation of Common Stock. As of the date hereof, the Company has reserved and the Company shall continue to reserve
and keep available at all times, free of preemptive rights, a sufficient number of shares of Common Stock for the purpose of enabling
the Company to issue Shares pursuant to this Agreement and Warrant Shares pursuant to any exercise of the Warrants. 

4.10         
Listing of Common Stock. During the term of the Warrants, the Company hereby agrees to use best efforts to maintain the
listing or quotation of the Common Stock on the Trading Market on which it is currently listed, and concurrently with the Closing,
to the extent required by such Trading Market, the Company shall apply to list or quote all of the Shares and Warrant Shares on
such Trading Market and promptly secure the listing of all of the Shares and Warrant Shares on such Trading Market. The Company
further agrees, if the Company applies during the term of the Warrants to have the Common Stock traded on any other Trading Market,
it will then include in such application all of the Shares and Warrant Shares, and will take such other action as is necessary
to cause all of the Shares and Warrant Shares to be listed or quoted on such other Trading Market as promptly as possible. The
Company will then take all action reasonably necessary to continue the listing or quotation and trading of its Common Stock on
a Trading Market and will comply in all respects with the Company’s reporting, filing and other obligations under the bylaws
or rules of the Trading Market. The Company agrees to maintain the eligibility of the Common Stock for electronic transfer through
the Depository Trust Company or another established clearing corporation, including, without limitation, by timely payment of
fees to the Depository Trust Company or such other established clearing corporation in connection with such electronic transfer.

4.11         
Participation in Future Financing.

(a)               
From the date hereof until the date that is the 12 month anniversary of the Closing Date, upon any issuance by the Company or
any of its Subsidiaries of Common Stock or Common Stock Equivalents for cash consideration, Indebtedness or a combination of units
hereof (a “Subsequent Financing”), each Purchaser that has purchased shares (alone or together with an Affiliate)
for a Subscription Amount (or aggregate Subscription Amounts if combined with the Subscription Amounts of Affiliates) equal to
a minimum of $2,000,000 (a “Qualifying Purchaser”) shall have the right to participate in up to an amount of
the Subsequent Financing equal to 25% of the Subsequent Financing (the “Participation Maximum”) on the same
terms, conditions and price provided for in the Subsequent Financing. 

(b)              
At least five (5) Trading Days prior to the closing of the Subsequent Financing, the Company shall deliver to each Purchaser a
written notice of its intention to effect a Subsequent Financing (“Pre-Notice”), which Pre-Notice shall ask
such Purchaser (i) to confirm that it is a Qualifying Purchaser and (ii) if it wants to review the details of such financing (such
additional notice, a “Subsequent Financing Notice”).  Upon the request of a Qualifying Purchaser, and
only upon a request by such Qualifying Purchaser, for a Subsequent Financing Notice, the Company shall promptly, but no later
than one (1) Trading Day after such request, deliver a Subsequent Financing Notice to such Qualifying Purchaser.  The Subsequent
Financing Notice shall describe in reasonable detail the proposed terms of such Subsequent Financing, the amount of proceeds intended
to be raised thereunder and the Person or Persons through or with whom such Subsequent Financing is proposed to be effected and
shall include a term sheet or similar document relating thereto as an attachment.   

(c)               
Any Qualifying Purchaser desiring to participate in such Subsequent Financing must provide written notice to the Company by not
later than 5:30 p.m. (New York City time) on the fifth (5th) Trading Day after all of the Purchasers have received
the Pre-Notice that such Qualifying Purchaser is willing to participate in the Subsequent Financing, the amount of such Qualifying
Purchaser’s participation, and representing and warranting that such Qualifying Purchaser has such funds ready, willing,
and available for investment on the terms set forth in the Subsequent Financing Notice. If the Company receives no such notice
from a Purchaser as of such fifth (5th) Trading Day, such Purchaser shall be deemed to have notified the Company that
it does not elect to participate. 

(d)              
If by 5:30 p.m. (New York City time) on the fifth (5th) Trading Day after all of the Purchasers have received the Pre-Notice,
notifications by the Qualifying Purchasers of their willingness to participate in the Subsequent Financing (or to cause their
designees to participate) is, in the aggregate, less than the total amount of the Participation Maximum, then the Company may
effect the remaining portion of such Subsequent Financing on the terms and with the Persons set forth in the Subsequent Financing
Notice. 

(e)               
If by 5:30 p.m. (New York City time) on the fifth (5th) Trading Day after all of the Purchasers have received the Pre-Notice,
the Company receives responses to a Subsequent Financing Notice from Qualifying Purchasers seeking to purchase more than the aggregate
amount of the Participation Maximum, each such Qualifying Purchaser shall have the right to purchase its Pro Rata Portion (as
defined below) of the Participation Maximum.  “Pro Rata Portion” means the ratio of (x) the Subscription
Amount of Securities purchased on the Closing Date by a Purchaser participating under this Section 4.11 and (y) the sum of the
aggregate Subscription Amounts of Securities purchased on the Closing Date by all Purchasers participating under this Section
4.11.

(f)               
The Company must provide the Purchasers with a second Subsequent Financing Notice, and the Qualifying Purchasers will again have
the right of participation set forth above in this Section 4.11, if the Subsequent Financing subject to the initial Subsequent
Financing Notice is not consummated for any reason on the terms set forth in such Subsequent Financing Notice within 30 Trading
Days after the date of the initial Subsequent Financing Notice.

(g)              
The Company and each Purchaser agree that if any Qualifying Purchaser elects to participate in the Subsequent Financing, the transaction
documents related to the Subsequent Financing shall not include any term or provision whereby such Qualifying Purchaser shall
be required to agree to any restrictions on trading as to any of the Securities purchased hereunder or be required to consent
to any amendment to or termination of, or grant any waiver, release or the like under or in connection with, this Agreement, without
the prior written consent of such Qualifying Purchaser.

(h)              
Notwithstanding anything to the contrary in this Section 4.11 and unless otherwise agreed to by such Qualifying Purchaser, the
Company shall either confirm in writing to such Qualifying Purchaser that the transaction with respect to the Subsequent Financing
has been abandoned or shall publicly disclose its intention to issue the securities in the Subsequent Financing, in either case
in such a manner such that such Qualifying Purchaser will not be in possession of any material, non-public information, by the
tenth (10th) Business Day following delivery of the Subsequent Financing Notice. If by such tenth (10th)
Business Day, no public disclosure regarding a transaction with respect to the Subsequent Financing has been made, and no notice
regarding the abandonment of such transaction has been received by such Qualifying Purchaser, such transaction shall be deemed
to have been abandoned and such Qualifying Purchaser shall not be deemed to be in possession of any material, non-public information
with respect to the Company or any of its Subsidiaries.

(i)                
Notwithstanding the foregoing, this Section 4.11 shall not apply in respect of an Exempt Issuance.

4.12         
Subsequent Equity Sales.

(a)               
From the date hereof until 90 days after the Closing Date, neither the Company nor any Subsidiary shall issue, enter into any
agreement to issue or announce the issuance or proposed issuance of any shares of Common Stock or Common Stock Equivalents.

(b)              
From the date hereof until the eighteenth (18) month anniversary of the Closing Date, the Company shall be prohibited from effecting
or entering into an agreement to effect any issuance by the Company or any of its Subsidiaries of Common Stock or Common Stock
Equivalents (or a combination of units thereof) involving a Variable Rate Transaction. “Variable Rate Transaction”
means a transaction in which the Company (i) issues or sells any debt or equity securities that are convertible into, exchangeable
or exercisable for, or include the right to receive additional shares of Common Stock either (A) at a conversion price, exercise
price or exchange rate or other price that is based upon and/or varies with the trading prices of or quotations for the shares
of Common Stock at any time after the initial issuance of such debt or equity securities, or (B) with a conversion, exercise or
exchange price that is subject to being reset at some future date after the initial issuance of such debt or equity security or
upon the occurrence of specified or contingent events directly or indirectly related to the business of the Company or the market
for the Common Stock or (ii) enters into any agreement, including, but not limited to, an equity line of credit, whereby the Company
may issue securities at a future determined price. Any Purchaser shall be entitled to obtain injunctive relief against the Company
to preclude any such issuance, which remedy shall be in addition to any right to collect damages.

(c)               
Notwithstanding the foregoing, this Section 4.12 shall not apply in respect of an Exempt Issuance, except that no Variable Rate
Transaction shall be an Exempt Issuance.

4.13         
Equal Treatment of Purchasers. No consideration (including any modification of any Transaction Document) shall be offered
or paid to any Person to amend or consent to a waiver or modification of any provision of this Agreement unless the same consideration
is also offered to all of the parties to this Agreement. For clarification purposes, this provision constitutes a separate right
granted to each Purchaser by the Company and negotiated separately by each Purchaser, and is intended for the Company to treat
the Purchasers as a class and shall not in any way be construed as the Purchasers acting in concert or as a group with respect
to the purchase, disposition or voting of Securities or otherwise.

4.14         
Certain Transactions and Confidentiality. Each Purchaser, severally and not jointly with the other Purchasers, covenants
that neither it nor any Affiliate acting on its behalf or pursuant to any understanding with it will execute any purchases or
sales, including Short Sales of any of the Company’s securities during the period commencing with the execution of this
Agreement and ending at such time that the transactions contemplated by this Agreement are first publicly announced pursuant to
the initial press release as described in Section 4.4. Each Purchaser, severally and not
jointly with the other Purchasers, covenants that until such time as the transactions contemplated by this Agreement are publicly
disclosed by the Company pursuant to the initial press release as described in Section 4.4, such Purchaser will maintain the confidentiality
of the existence and terms of this transaction and the information included in the Disclosure Schedules. Notwithstanding
the foregoing and notwithstanding anything contained in this Agreement to the contrary, the Company expressly acknowledges and
agrees that (i) no Purchaser makes any representation, warranty or covenant hereby that it will not engage in effecting transactions
in any securities of the Company after the time that the transactions contemplated by this Agreement are first publicly announced
pursuant to the initial press release as described in Section 4.4, (ii) no Purchaser shall be restricted or prohibited from effecting
any transactions in any securities of the Company in accordance with applicable securities laws from and after the time that the
transactions contemplated by this Agreement are first publicly announced pursuant to the initial press release as described in
Section 4.4 and (iii) no Purchaser shall have any duty of confidentiality to the Company or its Subsidiaries after the issuance
of the initial press release as described in Section 4.4. Notwithstanding the foregoing, in the case of a Purchaser that
is a multi-managed investment vehicle whereby separate portfolio managers manage separate portions of such Purchaser’s assets
and the portfolio managers have no direct knowledge of the investment decisions made by the portfolio managers managing other
portions of such Purchaser’s assets, the covenant set forth above shall only apply with respect to the portion of assets
managed by the portfolio manager that made the investment decision to purchase the Securities covered by this Agreement.

4.15         
Capital Changes. Until the one year anniversary of the Closing Date, the Company shall not undertake a reverse or forward
stock split or reclassification of the Common Stock without the prior written consent of the Purchasers holding a majority in
interest of the Shares; provided, however, that the Company may undertake a reverse stock split of the Common Stock
at any time following the Closing Date in order to satisfy the minimum market price requirement of a national securities market
or exchange on which it intends to pursue listing of its Common Stock.

ARTICLE
V.

MISCELLANEOUS

5.1             
Termination. This Agreement may be terminated by any Purchaser or by the Company with respect to any Purchaser, as to such
Purchaser’s obligations hereunder only and without any effect whatsoever on the obligations between the Company and the
other Purchasers, by written notice to the other parties, if the Closing has not been consummated on or before December 15, 2014;
provided, however, that no such termination will affect the right of any party to sue for any breach by any other
party (or parties).

5.2             
Fees and Expenses. Except as expressly set forth in the Transaction Documents to the contrary, each party shall pay the
fees and expenses of its advisers, counsel, accountants and other experts, if any, and all other expenses incurred by such party
incident to the negotiation, preparation, execution, delivery and performance of this Agreement. The Company shall pay all Transfer
Agent fees (including, without limitation, any fees required for same-day processing of any instruction letter delivered by the
Company and any exercise notice delivered by a Purchaser), stamp taxes and other taxes and duties levied in connection with the
delivery of any Securities to the Purchasers.

5.3             
Entire Agreement. The Transaction Documents, together with the exhibits and schedules thereto, the Prospectus and the Prospectus
Supplement, contain the entire understanding of the parties with respect to the subject matter hereof and thereof and supersede
all prior agreements and understandings, oral or written, with respect to such matters, which the parties acknowledge have been
merged into such documents, exhibits and schedules.

5.4             
Notices. Any and all notices or other communications or deliveries required or permitted to be provided hereunder shall
be in writing and shall be deemed given and effective on the earliest of: (a) the date of transmission, if such notice or communication
is delivered via facsimile at the facsimile number or email attachment as set forth on the signature pages attached hereto at
or prior to 5:30 p.m. (New York City time) on a Trading Day, (b) the next Trading Day after the date of transmission, if such
notice or communication is delivered via facsimile at the facsimile number or email attachment as set forth on the signature pages
attached hereto on a day that is not a Trading Day or later than 5:30 p.m. (New York City time) on any Trading Day, (c) the second
(2nd) Trading Day following the date of mailing, if sent by U.S. nationally recognized overnight courier service or
(d) upon actual receipt by the party to whom such notice is required to be given. The address for such notices and communications
shall be as set forth on the signature pages attached hereto.

5.5             
Amendments; Waivers. No provision of this Agreement may be waived, modified, supplemented or amended except in a written
instrument signed, in the case of an amendment, by the Company and the Purchasers who purchased at least 67% in interest of the
Shares based on the initial Subscription Amounts hereunder or, in the case of a waiver, by the party against whom enforcement
of any such waived provision is sought. No waiver of any default with respect to any provision, condition or requirement of this
Agreement shall be deemed to be a continuing waiver in the future or a waiver of any subsequent default or a waiver of any other
provision, condition or requirement hereof, nor shall any delay or omission of any party to exercise any right hereunder in any
manner impair the exercise of any such right.

5.6             
Headings. The headings herein are for convenience only, do not constitute a part of this Agreement and shall not be deemed
to limit or affect any of the provisions hereof.

5.7             
Successors and Assigns. This Agreement shall be binding upon and inure to the benefit of the parties and their successors
and permitted assigns. The Company may not assign this Agreement or any rights or obligations hereunder without the prior written
consent of each Purchaser (other than by merger). Any Purchaser may assign any or all of its rights under this Agreement to any
Person to whom such Purchaser assigns or transfers any Securities, provided that such transferee agrees in writing to be bound,
with respect to the transferred Securities, by the provisions of the Transaction Documents that apply to the “Purchasers.”

5.8             
No Third-Party Beneficiaries. The Placement Agent shall be the third party beneficiary of the representations and warranties
of the Company in Section 3.1 and the representations and warranties of the Purchasers in Section 3.2. This Agreement is intended
for the benefit of the parties hereto and their respective successors and permitted assigns and is not for the benefit of, nor
may any provision hereof be enforced by, any other Person, except as otherwise set forth in Section 4.8 and this Section 5.8.

5.9             
Governing Law. All questions concerning the construction, validity, enforcement and interpretation of the Transaction Documents
shall be governed by and construed and enforced in accordance with the internal laws of the State of New York, without regard
to the principles of conflicts of law thereof. Each party agrees that all legal proceedings concerning the interpretations, enforcement
and defense of the transactions contemplated by this Agreement and any other Transaction Documents (whether brought against a
party hereto or its respective affiliates, directors, officers, shareholders, partners, members, employees or agents) shall be
commenced exclusively in the state and federal courts sitting in the City of New York. Each party hereby irrevocably submits to
the exclusive jurisdiction of the state and federal courts sitting in the City of New York, Borough of Manhattan for the adjudication
of any dispute hereunder or in connection herewith or with any transaction contemplated hereby or discussed herein (including
with respect to the enforcement of any of the Transaction Documents), and hereby irrevocably waives, and agrees not to assert
in any lawsuit, action or proceeding, any claim that it is not personally subject to the jurisdiction of any such court, that
such lawsuit, action or proceeding is improper or is an inconvenient venue for such proceeding. Each party hereby irrevocably
waives personal service of process and consents to process being served in any such lawsuit, action or proceeding by mailing a
copy thereof via registered or certified mail or overnight delivery (with evidence of delivery) to such party at the address in
effect for notices to it under this Agreement and agrees that such service shall constitute good and sufficient service of process
and notice thereof. Nothing contained herein shall be deemed to limit in any way any right to serve process in any other manner
permitted by law. If either party shall commence an action, lawsuit or proceeding to enforce any provisions of the Transaction
Documents, then, in addition to the obligations of the Company under Section 4.8, the prevailing party in such action, lawsuit
or proceeding shall be reimbursed by the other party for its reasonable attorneys’ fees and other costs and expenses incurred
with the investigation, preparation and prosecution of such action, lawsuit or proceeding.

5.10         
Survival. The representations and warranties contained herein shall survive the Closing and the delivery of the Securities.

5.11         
Execution. This Agreement may be executed in two or more counterparts, all of which when taken together shall be considered
one and the same agreement and shall become effective when counterparts have been signed by each party and delivered to each other
party, it being understood that the parties need not sign the same counterpart. In the event that any signature is delivered by
facsimile transmission or by e-mail delivery of a “.pdf” format data file, such signature shall create a valid and
binding obligation of the party executing (or on whose behalf such signature is executed) with the same force and effect as if
such facsimile or “.pdf” signature page were an original thereof.

5.12         
Severability. If any term, provision, covenant or restriction of this Agreement is held by a court of competent jurisdiction
to be invalid, illegal, void or unenforceable, the remainder of the terms, provisions, covenants and restrictions set forth herein
shall remain in full force and effect and shall in no way be affected, impaired or invalidated, and the parties hereto shall use
their commercially reasonable efforts to find and employ an alternative means to achieve the same or substantially the same result
as that contemplated by such term, provision, covenant or restriction. It is hereby stipulated and declared to be the intention
of the parties that they would have executed the remaining terms, provisions, covenants and restrictions without including any
of such that may be hereafter declared invalid, illegal, void or unenforceable.

5.13         
Rescission and Withdrawal Right. Notwithstanding anything to the contrary contained in (and without limiting any similar
provisions of) any of the other Transaction Documents, whenever any Purchaser exercises a right, election, demand or option under
a Transaction Document and the Company does not timely perform its related obligations within the periods therein provided, then
such Purchaser may rescind or withdraw, in its sole discretion from time to time upon written notice to the Company, any relevant
notice, demand or election in whole or in part without prejudice to its future actions and rights; provided, however,
that in the case of a rescission of an exercise of a Warrant, the applicable Purchaser shall be required to return any shares
of Common Stock subject to any such rescinded exercise notice concurrently with the return to such Purchaser of the aggregate
exercise price paid to the Company for such shares and the restoration of such Purchaser’s right to acquire such shares
pursuant to such Purchaser’s Warrant (including, issuance of a replacement warrant certificate evidencing such restored
right).

5.14         
Replacement of Securities. If any certificate or instrument evidencing any Securities is mutilated, lost, stolen or destroyed,
the Company shall issue or cause to be issued in exchange and substitution for and upon cancellation thereof (in the case of mutilation),
or in lieu of and substitution therefor, a new certificate or instrument, but only upon receipt of evidence reasonably satisfactory
to the Company of such loss, theft or destruction. The applicant for a new certificate or instrument under such circumstances
shall also pay any reasonable third-party costs (including customary indemnity) associated with the issuance of such replacement
Securities.

5.15         
Remedies. In addition to being entitled to exercise all rights provided herein or granted by law, including recovery of
damages, each of the Purchasers and the Company will be entitled to specific performance under the Transaction Documents. The
parties agree that monetary damages may not be adequate compensation for any loss incurred by reason of any breach of obligations
contained in the Transaction Documents and hereby agree to waive and not to assert in any action for specific performance of any
such obligation the defense that a remedy at law would be adequate.

5.16         
Payment Set Aside. To the extent that the Company makes a payment or payments to any Purchaser pursuant to any Transaction
Document or a Purchaser enforces or exercises its rights thereunder, and such payment or payments or the proceeds of such enforcement
or exercise or any part thereof are subsequently invalidated, declared to be fraudulent or preferential, set aside, recovered
from, disgorged by or are required to be refunded, repaid or otherwise restored to the Company, a trustee, receiver or any other
Person under any law (including, without limitation, any bankruptcy law, state or federal law, common law or equitable cause of
action), then to the extent of any such restoration the obligation or part thereof originally intended to be satisfied shall be
revived and continued in full force and effect as if such payment had not been made or such enforcement or setoff had not occurred.

5.17         
Independent Nature of Purchasers’ Obligations and Rights. The obligations of each Purchaser under any Transaction
Document are several and not joint with the obligations of any other Purchaser, and no Purchaser shall be responsible in any way
for the performance or non-performance of the obligations of any other Purchaser under any Transaction Document. Nothing contained
herein or in any other Transaction Document, and no action taken by any Purchaser pursuant hereto or thereto, shall be deemed
to constitute the Purchasers as a partnership, an association, a joint venture or any other kind of entity, or create a presumption
that the Purchasers are in any way acting in concert or as a group with respect to such obligations or the transactions contemplated
by the Transaction Documents. Each Purchaser shall be entitled to independently protect and enforce its rights including, without
limitation, the rights arising out of this Agreement or out of the other Transaction Documents, and it shall not be necessary
for any other Purchaser to be joined as an additional party in any proceeding for such purpose. Each Purchaser has been represented
by its own separate legal counsel in its review and negotiation of the Transaction Documents. For reasons of administrative convenience
only, each Purchaser and its respective counsel have chosen to communicate with the Company through SOVR. SOVR does not represent
any of the Purchasers and only represents the Placement Agent. The Company has elected to provide all Purchasers with the same
terms and Transaction Documents for the convenience of the Company and not because it was required or requested to do so by any
of the Purchasers. It is expressly understood and agreed that each provision contained in this Agreement and in each other Transaction
Document is between the Company and a Purchaser, solely, and not between the Company and the Purchasers collectively and not between
and among the Purchasers.

5.18         
Saturdays, Sundays, Holidays, etc.If the last or appointed day for the taking of any action or the expiration of any
right required or granted herein shall not be a Business Day, then such action may be taken or such right may be exercised on
the next succeeding Business Day.

5.19         
Construction. The parties agree that each of them and/or their respective counsel have reviewed and had an opportunity
to revise the Transaction Documents and, therefore, the normal rule of construction to the effect that any ambiguities are to
be resolved against the drafting party shall not be employed in the interpretation of the Transaction Documents or any amendments
thereto. In addition, each and every reference to share prices and shares of Common Stock in any Transaction Document shall be
subject to adjustment for reverse and forward stock splits, stock dividends, stock combinations and other similar transactions
of the Common Stock that occur after the date of this Agreement.

5.20         
WAIVER OF JURY TRIAL. IN ANY ACTION, LAWSUIT, OR PROCEEDING IN ANY JURISDICTION BROUGHT BY ANY PARTY AGAINST ANY
OTHER PARTY, THE PARTIES EACH KNOWINGLY AND INTENTIONALLY, TO THE GREATEST EXTENT PERMITTED BY APPLICABLE LAW, HEREBY ABSOLUTELY,
UNCONDITIONALLY, IRREVOCABLY AND EXPRESSLY WAIVES FOREVER TRIAL BY JURY. 

 

(Signature
Pages Follow)

 

 

 

    	 

    	 

    

 

IN
WITNESS WHEREOF, the parties hereto have caused this Securities Purchase Agreement to be duly executed by their respective authorized
signatories as of the date first indicated above.

 

	Guided
                                         Therapeutics, Inc.

         

         
	Address
    for Notice:
	By:__________________________________________

        Name:

        Title:

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

         

         

         
	 

 

 

 

[REMAINDER
OF PAGE INTENTIONALLY LEFT BLANK

SIGNATURE
PAGE FOR PURCHASER FOLLOWS]

[PURCHASER
SIGNATURE PAGES TO SECURITIES PURCHASE AGREEMENT]

 

IN
WITNESS WHEREOF, the undersigned have caused this Securities Purchase Agreement to be duly executed by their respective authorized
signatories as of the date first indicated above.

Name
of Purchaser: ________________________________________________________

Signature
of Authorized Signatory of Purchaser: _________________________________

Name
of Authorized Signatory: _______________________________________________

Title
of Authorized Signatory: ________________________________________________

Email
Address of Authorized Signatory:_________________________________________

Facsimile
Number of Authorized Signatory: __________________________________________

Address
for Notice to Purchaser:

 

 

 

Address
for Delivery of Securities to Purchaser (if not same as address for notice):

 

 

 

 

Subscription
Amount: $_________________

 

Shares:
_________________

 

Warrant
Shares: __________________

 

EIN Number:
_______________________

 

o
Notwithstanding anything contained in this Agreement to the contrary, by checking this box (i) the obligations of the above-signed
to purchase the securities set forth in this Agreement to be purchased from the Company by the above-signed, and the obligations
of the Company to sell such securities to the above-signed, shall be unconditional and all conditions to Closing shall be disregarded,
(ii) the Closing shall occur on the third (3rd) Trading Day following the date of this Agreement and (iii) any condition
to Closing contemplated by this Agreement (but prior to being disregarded by clause (i) above) that required delivery by the Company
or the above-signed of any agreement, instrument, certificate or the like or purchase price (as applicable) shall no longer be
a condition and shall instead be an unconditional obligation of the Company or the above-signed (as applicable) to deliver such
agreement, instrument, certificate or the like or purchase price (as applicable) to such other party on the Closing Date.

 

 

[SIGNATURE
PAGES CONTINUE]Exhibit
10.2 

 

GUIDED THERAPEUTICS, INC.

Up to 25,178,123 Shares of Common Stock

25,178,123 Warrants to Purchase up to
8,392,708 Shares of Common Stock

Up to 8,392,708 Shares of Common Stock
Underlying Warrants

PLACEMENT AGENT AGREEMENT

November 26, 2014

Olympus Securities LLC

405 Lexington Avenue

New York, NY 10174

(facsimile) 973-575-0730

Ladies and Gentlemen:

Guided Therapeutics,
Inc., a Delaware corporation (the “Company”), proposes to issue and sell, pursuant to the terms and conditions
of this Placement Agent Agreement (this “Agreement”) and Subscription Agreements in the form of Exhibit
A attached hereto (the “Subscription Agreements”) entered into with the purchasers identified therein
(each a “Purchaser” and, collectively, the “Purchasers”), (i) to the Purchasers, up to an
aggregate of 25,178,123 shares (the “Shares”) of common stock, par value $0.001 per share (the “Common
Stock”), of the Company, accompanied by a warrant (a “Purchaser Warrant”), in the form attached hereto
as Exhibit B, to purchase one-half of a share of Common Stock (a “Purchaser Warrant Share” and,
together with the Shares and the Purchaser Warrant Share, the “Securities”), and (ii) to Olympus Securities
LLC (the “Placement Agent”), up to four and one-half percent (4.5%) of the total number of Shares and Purchaser
Warrants sold to the Purchasers under the Subscription Agreements (which total number shall not include the exercise of any Purchaser
Warrants or the issuance of any Purchaser Warrant Shares). The Company hereby confirms its agreement with the Placement Agent to
act as Placement Agent in accordance with the terms and conditions hereof.

The Company and
the Placement Agent hereby confirm their agreement as follows:

1.                  
Registration Statement and Prospectus. The Company has prepared and filed with the Securities and Exchange Commission
(the “Commission”) a registration statement on Form S-1 (Registration File No. 333-198733) under the Securities
Act of 1933 (the “Securities Act”), which became effective on November 19, 2014, for the registration under
the Securities Act of the Securities. At the time of such filing, the Company met the requirements of Form S-1 under the Securities
Act. The Company will file with the Commission pursuant to Rules 430A, 430B and 424(b), as applicable, under the Securities Act,
and the rules and regulations (the “Rules and Regulations”) of the Commission promulgated thereunder, a Prospectus
included in such registration statement relating to the registration and sale of the Securities. Such registration statement, including
the exhibits thereto, as amended at the date of this Agreement, is hereinafter called the “Registration Statement”;
such prospectus in the form in which it appears in the Registration Statement is hereinafter called the “Preliminary Prospectus”;
and the amended or supplemented form of prospectus, in the form in which it will be filed with the Commission pursuant to Rules
430A, 430B and 424(b), as applicable (including the Preliminary Prospectus as so amended or supplemented) is hereinafter called
the “Prospectus.”

2.                  
Agreement to Act as Placement Agent; Placement of the Securities. On the basis of the representations, warranties and
agreements of the Company herein contained, and subject to all the terms and conditions of this Agreement:

(a)                
The Company hereby authorizes the Placement Agent to act as its exclusive agent to solicit offers for the purchase of all
or part of the Securities from the Company in connection with the proposed offering in the United States of the Securities (the
“Offering”). Until the earlier of Closing Date (as defined in Section 5 below) or 45 days from the date hereof,
or earlier upon termination of this Agreement pursuant to Section 10, the Company shall not, without the prior written consent
of the Placement Agent, solicit or accept offers in the United States (or outside the United States if such solicitation or acceptance
relates to Securities included in the Registration Statement) to purchase any securities otherwise than through the Placement Agent.

(b)                
The Company hereby acknowledges that the Placement Agent has agreed, as agent of the Company, to use its “best efforts”
to solicit offers to purchase the Securities from the Company on the terms and subject to the conditions set forth in the Prospectus.
The Placement Agent shall use reasonable efforts to assist the Company in obtaining performance by each Purchaser whose offer to
purchase Securities has been solicited by the Placement Agent and accepted by the Company, but the Placement Agent shall not, except
as otherwise provided in this Agreement, be obligated to disclose the identity of any potential purchaser or have any liability
to the Company in the event any such purchase is not consummated for any reason. Under no circumstances will the Placement Agent
be obligated to underwrite or purchase any Securities for its own account and, in soliciting purchases of the Securities; the Placement
Agent shall act solely as the Company’s agent and not as principal.

(c)                
Subject to the provisions of this Section 2, offers for the purchase of the Securities may be solicited by the Placement
Agent as agent for the Company at such times and in such amounts as the Placement Agent deems advisable. The Placement Agent shall
communicate to the Company, orally or in writing, each reasonable offer to purchase Securities received by it as agent of the Company.
The Company shall have the sole right to accept offers to purchase Securities and may reject any such offer, in whole or in part.
The Placement Agent shall have the right, in its discretion reasonably exercised, without notice to the Company, to reject any
offer to purchase Securities received by it, in whole or in part, and any such rejection shall not be deemed a breach of this Agreement.

(d)                
Each Share and Purchaser Warrant is being sold to the Purchasers at a combined offering price of $0.225 per Share (the “Offering
Price”). The purchases of the Shares and Warrants by the Purchasers shall be evidenced by the execution of Subscription
Agreements by each of the Purchasers and the Company.

(e)                
As compensation for services rendered, on the Closing Date, the Company shall pay to the Placement Agent by wire transfer
of immediately available funds to an account or accounts designated by the Placement Agent, an aggregate amount equal to the lesser
of (i) $600,000 or (ii) the sum of (a) 8% of the gross proceeds received by the Company from the sale of the Shares and Purchaser
Warrants to parties other than Company-introduced Purchasers plus (b) 4% of the gross proceeds received by the Company from the
sale of the Shares and Purchaser Warrants to Company-introduced Purchasers (whether introduced prior to or at any time during the
term of the engagement of the Placement Agent) on such Closing Date. A list of Company-introduced Purchasers is attached hereto
as Exhibit 2(e). For the purposes of Section 2(e) and 2(f), gross proceeds shall equal the aggregate of the Purchasers’
Subscription Amounts (as defined in the Subscription Agreements) whether paid in cash, the extinguishment of notes issued by the
Company or otherwise for the relevant group of Purchasers.

(f)                 
On the Closing Date and as a condition precedent to the sale of such Securities, the Company hereby agrees to issue and
sell to the Placement Agent or its designees, as determined by the Placement Agent, warrants (the “Placement Agent Warrants”)
to purchase shares of Common Stock equal to 4.5% of the total shares of common stock sold to the Purchasers. The exercise of Purchaser
Warrants or the issuance of Purchaser Warrant Shares will not constitute a sale of Securities for the purposes of this Section
2(f). The Placement Agent’s Warrant agreement, in the form attached hereto as Exhibit C (the “Placement
Agent’s Warrant Agreement”), shall be exercisable, in whole or in part, commencing upon the one-year anniversary
and expiring on the five-year anniversary of the date of the commencement of sales of the Offering at an exercise price per share
of equal to 125% of the lowest price paid for the Securities in the Offering. The Placement Agent’s Warrant and the shares
of Common Stock issuable upon exercise thereof are hereinafter referred to together as the “Placement Agent’s Securities”.
The Placement Agent understands and agrees that there are significant restrictions pursuant to Financial Industry Regulatory Agency
(“FINRA”) Rule 5110 against transferring the Placement Agent’s Warrant and the underlying shares of Common
Stock during the 180 days after the commencement of sales of the Offering and by its acceptance thereof shall agree that it will
not sell, transfer, assign, pledge or hypothecate the Placement Agent’s Warrant, or any portion thereof, or be the subject
of any hedging, short sale, derivative, put or call transaction that would result in the effective economic disposition of such
securities for a period of 360 days following the commencement of sales of the Offering to anyone other than (i) an underwriter
or a selected dealer in connection with the Offering, or (ii) a bona fide officer or partner of the Placement Agent or of any such
underwriter or selected dealer; and only if any such transferee agrees to the foregoing lock-up restrictions. Delivery of the Placement
Agent’s Warrant Agreement shall be made on the Closing Date and shall be issued in the name or names and in such authorized
denominations as the Placement Agent may request. Additionally, the Placement Agent understands and agrees that none of the Placement
Agent’s Securities shall carry with them any “demand registration rights”, “piggyback registration rights”
or any other right which would require the Company to include any or all of the Placement Agent’s Securities to be included
on a registration statement to be filed with the U.S. Securities and Exchange Commission.

(g)                
No Securities that the Company has agreed to sell pursuant to this Agreement and the Subscription Agreements shall be deemed
to have been purchased and paid for, or sold by the Company, until such Securities shall have been delivered to the Purchaser thereof
against payment by such Purchaser. If the Company shall default in its obligations to deliver Securities to a Purchaser whose offer
it has accepted, the Company shall indemnify and hold the Placement Agent harmless against any loss, claim, damage or expense arising
from or as a result of such default by the Company in accordance with the procedures set forth in Section 8(c) herein.

3.                  
Representations and Warranties of the Company Regarding the Offering.

(a)The Company
represents and warrants to, and agrees with, the Placement Agent, as of the date hereof and as of the Closing Date, except as otherwise
indicated, as follows:

(i)                  
The Registration Statement contains or incorporates by reference all exhibits and schedules as required by the Securities
Act. Each of the Registration Statement and any post-effective amendment thereto, at the time it became effective, complied in
all material respects with the Securities Act and the Securities Exchange Act of 1934, as amended (the “Exchange Act”)
and the applicable Rules and Regulations and did not and, as amended or supplemented, if applicable, will not, as of the date thereof,
contain any untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary to
make the statements therein not misleading. The Preliminary Prospectus and the Prospectus, each as of its respective date, comply
in all material respects with the Securities Act and the Exchange Act and the applicable Rules and Regulations. Each of the Preliminary
Prospectus and the Prospectus, as amended or supplemented, did not and will not contain as of the date thereof any untrue statement
of a material fact or omit to state a material fact necessary in order to make the statements therein, in light of the circumstances
under which they were made, not misleading. The Time of Sale Disclosure Package (as defined herein) as of the date hereof, at the
Closing Date, and the Prospectus, as amended or supplemented, as of its date, at the time of filing pursuant to Rule 424(b) under
the Securities Act and at the Closing Date, does not and will not contain any untrue statement of a material fact or omit to state
a material fact required to be stated therein or necessary to make the statements therein, in the light of the circumstances under
which they were made, not misleading. The foregoing representations and warranties in this Section 3(a)(i) shall not apply to information
contained in or omitted from the Registration Statement, the Preliminary Prospectus or the Prospectus in reliance upon, or in conformity
with, written information furnished to the Company by the Placement Agent specifically for use in the preparation thereof, which
written information is described in Section 8(f) hereof. There are no documents required to be filed with the Commission in connection
with the transaction contemplated hereby that (x) have not been filed as required pursuant to the Securities Act or (y) will not
be filed within the requisite time period.

(ii)                
The Company has not distributed any prospectus or other offering material in connection with the offering and sale of the
Securities other than the Time of Sale Disclosure Package.

(iii)                               
(A) The Company has provided a copy to the Placement Agent of each Issuer Free Writing Prospectus (as defined below) used
in the sale of the Securities.  The Company has filed all Issuer Free Writing Prospectuses required to be so filed with the
Commission, and no order preventing or suspending the effectiveness or use of any Issuer Free Writing Prospectus is in effect and
no proceedings for such purpose have been instituted or are pending, or, to the knowledge of the Company, are contemplated or threatened
by the Commission.  When taken together with the rest of the Time of Sale Disclosure Package or the Prospectus, since
its first use and at all relevant times since then, no Issuer Free Writing Prospectus has, does or will include (1) any
untrue statement of a material fact or omission to state any material fact necessary in order to make the statements therein,
in the light of the circumstances under which they were made, not misleading, or (2) information that conflicted, conflicts
or will conflict with the information contained in the Registration Statement or the Prospectus. The representations and warranties
set forth in the immediately preceding sentence shall not apply to statements in or omissions from the Time of Sale Disclosure
Package, the Prospectus or any Issuer Free Writing Prospectus in reliance upon, and in conformity with, written information furnished
to the Company by the Placement Agent specifically for use in the preparation thereof.  As used in this paragraph and
elsewhere in this Agreement:

 

(1)         “Time
of Sale Disclosure Package” means the Prospectus most recently filed with the Commission before the time of this Agreement,
including any preliminary prospectus supplement deemed to be a part thereof, and each Issuer Free Writing Prospectus.

 

(2)         “Issuer
Free Writing Prospectus” means any “issuer free writing prospectus,” as defined in Rule 433 under the Securities
Act, relating to the Securities that (A) is required to be filed with the Commission by the Company, or (B) is exempt from filing
pursuant to Rule 433(d)(5)(i) or (d)(8) under the Securities Act, in each case in the form filed or required to be filed with the
Commission or, if not required to be filed, in the form retained in the Company’s records pursuant to Rule 433(g) under the
Securities Act.

 

(B)         At
the time of filing of the Registration Statement and at the date hereof, the Company was not and is not an “excluded issuer”
as defined in Rule 164 under the Securities Act.

 

(C)         Each
Issuer Free Writing Prospectus satisfied, as of its issue date and at all subsequent times through the Prospectus Delivery Period
(as defined below in Section 4(a)(i)), all other conditions as may be applicable to its use as set forth in Rules 164 and 433 under
the Securities Act, including any legend, record-keeping or other requirements..

(iv)              
The financial statements of the Company, together with the related notes, included in the Registration Statement, the Time
of Sale Disclosure Package and the Prospectus comply in all material respects with the applicable requirements of the Securities
Act and fairly present in all material respects the financial condition of the Company as of the dates indicated and the results
of operations and changes in cash flows for the periods therein specified in conformity with U.S. generally accepted accounting
principles consistently applied throughout the periods involved, except as otherwise specified in such financial statements or
the notes thereto and except that unaudited financial statements may not contain all footnotes required by United States generally
accepted accounting principles; and the supporting schedules included in the Registration Statement and the Time of Sale Disclosure
Package present fairly in all material respects the information required to be stated therein. No other financial statements, pro
forma financial information or schedules are required under the Securities Act to be included in the Registration Statement, the
Time of Sale Disclosure Package or the Prospectus.

(v)                
To the Company’s knowledge, UHY LLP, which has expressed its opinion with respect to the financial statements and
schedules included in the Registration Statement, is an independent public accounting firm with respect to the Company within the
meaning of the Securities Act and the Rules and Regulations.

(vi)              
The Company had a reasonable basis for, and made in good faith, each “forward-looking statement” (within the
meaning of Section 27A of the Securities Act or Section 21E of the Exchange Act) contained in the Registration Statement, the Time
of Sale Disclosure Package and the Prospectus, in each case at the time such “forward-looking statement” was made.

(vii)             
All statistical or market-related data included in the Registration Statement, the Time of Sale Disclosure Package or the
Prospectus, are based on or derived from sources that the Company reasonably believes to be reliable and accurate, and the Company
has obtained the written consent to the use of such data from such sources, to the extent required, other than such consents the
failure of which to obtain is not reasonably likely to result in a Material Adverse Effect (as defined below in Section 4(a)(i)).

(viii)           
The Common Stock is registered pursuant to Section 12(g) of the Exchange Act and is traded on the OTC Marketplace (OTCQB)
and OTC Bulletin Board. Except as set forth in the Registration Statement, the Time of Sale Disclosure Package and the Prospectus,
there is no action pending by the Company or, to the Company’s knowledge, to delist the Common Stock, nor has the Company
received any notification that the FINRA is contemplating terminating, halting or suspending trading.

(ix)              
The Company has not taken, directly or indirectly, any action that is designed to or that has constituted or that would
reasonably be expected to cause or result in the stabilization or manipulation of the price of any security of the Company to facilitate
the sale of the Shares and Purchaser Warrants.

(x)                
The Company is not and, after giving effect to the offering and sale of the Shares and Purchaser Warrants and the application
of the net proceeds thereof, will not be an “investment company,” as such term is defined in the Investment Company
Act of 1940, as amended.

(b)                
Any certificate signed by any officer of the Company and delivered to the Placement Agent or to the Placement Agent’s
counsel shall be deemed a representation and warranty by the Company to the Placement Agent as to the matters covered thereby.

4.                  
Representations and Warranties Regarding the Company.

(a)                
The Company represents and warrants to and agrees with, the Placement Agent, as of the date hereof and as of the Closing
Date, except as set forth in the Registration Statement, the Time of Sale Disclosure Package or the Prospectus, as follows:

(i)                  
Each of the Company and its subsidiaries has been duly organized and is validly existing as a corporation or other entity
in good standing under the laws of its jurisdiction of organization. Each of the Company and its subsidiaries has the power and
authority (corporate or otherwise) to own its properties and conduct its business as currently being carried on and as described
in the Registration Statement, the Time of Sale Disclosure Package and the Prospectus, and is duly qualified to do business as
a foreign corporation or other entity in good standing in each jurisdiction in which it owns or leases real property or in which
the conduct of its business makes such qualification necessary and in which the failure to so qualify would have or is reasonably
likely to result in a material adverse effect upon the business, properties, operations, financial condition or results of operations
of the Company and its subsidiaries, taken as a whole, or in its ability to perform its obligations under this Agreement (“Material
Adverse Effect”). The Company has no “significant subsidiary” (as such term is defined in Rule 1-02 of Regulation
S-X promulgated under the Securities Act).

(ii)                
The Company has the power and authority to enter into this Agreement and each of the Subscription Agreements and to perform
and to discharge its obligations hereunder and thereunder. This Agreement and each of the Subscription Agreements have been duly
authorized, executed and delivered by the Company, and constitute a valid, legal and binding obligation of the Company, enforceable
against the Company in accordance with its terms, except as rights to indemnity hereunder may be limited by federal or state securities
laws and except as such enforceability may be limited by bankruptcy, insolvency, reorganization or similar laws affecting the rights
of creditors generally and subject to general principles of equity.

(iii)               
The execution, delivery and performance of this Agreement and the Subscription Agreements and the consummation of the transactions
herein contemplated will not (A) result in a breach or violation of any of the terms and provisions of, or constitute a default
under, any law, order, rule or regulation to which the Company or any subsidiary is subject, or by which any property or asset
of the Company or any subsidiary is bound, except to the extent such breach, violation or default is not reasonably likely to have
a Material Adverse Effect, (B) conflict with, result in any violation or breach of, or constitute a default (or an event that with
notice or lapse of time or both would become a default) under, or give to others any right of termination, amendment, acceleration
or cancellation (with or without notice, lapse of time or both) (a “Default Acceleration Event”) of, any agreement,
lease, credit facility, debt, note, bond, mortgage, indenture or other instrument (the “Contracts”) or obligation
or other understanding to which the Company or any subsidiary is a party or by which any property or asset of the Company or any
subsidiary is bound, except to the extent that such conflict, default or Default Acceleration Event is not reasonably likely to
result in a Material Adverse Effect, or (C) result in a breach or violation of any of the terms and provisions of, or constitute
a default under, the Company’s Restated Certificate of Incorporation, as amended or the Company’s Amended and Restated
Bylaws.

(iv)              
Neither the Company nor any of its subsidiaries is in violation, breach or default under its articles of incorporation,
as amended, by-laws, as amended, or other equivalent organizational or governing documents, except where the violation, breach
or default in the case of a subsidiary of the Company is not reasonably likely to result in a Material Adverse Effect.

(v)                
No consents, approvals, orders, authorizations or filings are required on the part of the Company and its subsidiaries in
connection with the execution, delivery or performance of this Agreement, the Subscription Agreements and the issuance and sale
of any of the Securities, except (A) the registration under the Securities Act of the Securities, (B) such consents, approvals,
authorizations, registrations or qualifications as may be required under the Exchange Act, state or foreign securities or Blue
Sky laws and the rules of FINRA in connection with the placement and distribution of the Securities by the Placement Agent and
(C) such consents, approvals, orders, authorizations and filings, in each case, the failure of which to make or obtain is not reasonably
likely to result in a Material Adverse Effect.

(vi)              
The Company has an authorized capitalization as set forth in the Registration Statement, the Time of Sale Disclosure Package
and the Prospectus. All of the issued and outstanding shares of capital stock of the Company are duly authorized and validly issued,
fully paid and non-assessable, and have been issued in compliance with all applicable federal and state securities laws, and conform
in all material respects to the description thereof in the Registration Statement, the Time of Sale Disclosure Package and the
Prospectus. All of the issued shares of capital stock of each subsidiary of the Company have been duly and validly authorized and
issued, are fully paid and non-assessable and are owned directly or indirectly by the Company, free and clear of all liens, encumbrances,
equities or claims. Except for the issuances of options or restricted stock in the ordinary course of business, since the respective
dates as of which information is provided in the Registration Statement, the Time of Sale Disclosure Package or the Prospectus,
the Company has not entered into or granted any convertible or exchangeable securities, options, warrants, agreements, contracts
or other rights in existence to purchase or acquire from the Company any shares of the capital stock of the Company. The Securities
to be issued and sold by the Company to the Purchasers hereunder and under the Subscription Agreements have been duly authorized
and, when issued, will be validly issued, fully paid and non-assessable, will be issued in compliance with all applicable federal
and state securities laws, and, except as otherwise set forth in the Registration Statement, the Time of Sale Disclosure Package
and the Prospectus, will be free of preemptive, registration or similar rights and will conform to the description of the capital
stock of the Company contained in the Registration Statement, the Time of Sale Disclosure Package and the Prospectus. The Shares
and Purchaser Warrants, when issued, will conform in all material respects to the descriptions thereof set forth in the Registration
Statement, the Time of Sale Disclosure Package and the Prospectus. The Placement Agent’s Securities to be issued have been
duly authorized and, when issued, will be validly issued, fully paid and non-assessable, will be issued in compliance with all
applicable federal and state securities laws and, except as otherwise set forth in the Registration Statement, the Time of Sale
Disclosure Package and the Prospectus, will be free of preemptive, registration or similar rights.

(vii)             
Each of the Company and its subsidiaries has (A) filed all returns (as hereinafter defined) required to be filed with taxing
authorities prior to the date hereof or has duly obtained extensions of time for the filing thereof and (B) paid all taxes (as
hereinafter defined) shown as due on such returns that were filed and has paid all taxes imposed on or assessed against the Company
or such respective subsidiary, except, in all cases, for any such amounts that the Company or any subsidiary is contesting in good
faith and except in any case in which the failure to so file or pay would not reasonably be expected to have a Material Adverse
Effect. The provisions for taxes payable, if any, shown on the financial statements filed with or as part of the Registration Statement
are sufficient for all accrued and unpaid taxes, whether or not disputed, and for all periods to and including the dates of such
consolidated financial statements. No issues have been raised and are currently pending by any taxing authority in connection with
any of the returns or taxes asserted as due from the Company or its subsidiaries, and no waivers of statutes of limitation with
respect to the returns or collection of taxes have been given by or requested from the Company or its subsidiaries. The term “taxes”
mean all federal, state, local, foreign, and other net income, gross income, gross receipts, sales, use, ad valorem, transfer,
franchise, profits, license, lease, service, service use, withholding, payroll, employment, excise, severance, stamp, occupation,
premium, property, windfall profits, customs, duties or other taxes, fees, assessments, or charges of any kind whatever, together
with any interest and any penalties, additions to tax, or additional amounts with respect thereto. The term “returns”
means all returns, declarations, reports, statements, and other documents required to be filed in respect to taxes.

(viii)           
Since the respective dates as of which information is given (including incorporated by reference) in the Registration Statement,
the Time of Sale Disclosure Package or the Prospectus, (a) neither the Company nor any of its subsidiaries has incurred any material
liabilities or obligations, direct or contingent, or entered into any material transactions other than in the ordinary course of
business, (b) the Company has not declared or paid any dividends or made any distribution of any kind with respect to its capital
stock, (c) there has not been any change in the capital stock of the Company or any of its subsidiaries (other than a change in
the number of outstanding shares of Common Stock due to the issuance of shares upon the exercise of outstanding options, warrants,
convertible preferred stock or convertible notes or the issuance of restricted stock awards or restricted stock units under the
Company’s existing stock awards plan, or any new grants thereof in the ordinary course of business), (d) there has not been
any material change in the Company’s long-term or short-term debt, and (e) there has not been a Material Adverse Effect.

(ix)              
Except as a set forth in the Registration Statement, the Time of Sale Disclosure Package and the Prospectus, there is not
pending or, to the knowledge of the Company, threatened, any action, lawsuit or proceeding to which the Company or any of its subsidiaries
is a party or of which any property or assets of the Company or its subsidiaries is the subject before or by any court or governmental
agency, authority or body, or any arbitrator or mediator, that is reasonably likely to result in a Material Adverse Effect or adversely
affect the consummation of the transactions contemplated by this Agreement.

(x)                
The Company and each of its subsidiaries holds, and is in compliance with, all franchises, grants, authorizations, licenses,
permits, easements, consents, certificates and orders (“Permits”) of any governmental or self-regulatory agency,
authority or body required for the conduct of its business, and all such Permits are in full force and effect, in each case, except
where the failure to hold, or comply with, any such Permits is not reasonably likely to result in a Material Adverse Effect.

(xi)              
The Company and its subsidiaries have good and marketable title to all property (whether real or personal) described in
the Registration Statement, the Time of Sale Disclosure Package and the Prospectus as being owned by them that is material to the
business of the Company, in each case free and clear of all liens, claims, security interests, other encumbrances or defects, except
those that are described in the Registration Statement, the Time of Sale Disclosure Package and the Prospectus or those that are
not reasonably likely to result in a Material Adverse Effect. The property held under lease by the Company and its subsidiaries
is held by them under valid, subsisting and enforceable leases with only such exceptions with respect to any particular lease as
do not interfere in any material respect with the conduct of the business of the Company and its subsidiaries.

(xii)             
The Company and each of its subsidiaries owns or possesses or has valid right to use all patents, patent applications, trademarks,
service marks, trade names, trademark registrations, service mark registrations, copyrights, licenses, inventions, trade secrets
and similar rights (“Intellectual Property”) necessary for the conduct of the business of the Company and its
subsidiaries as currently carried on and as described in the Registration Statement, the Time of Sale Disclosure Package and the
Prospectus. To the knowledge of the Company, no action or use by the Company or any of its subsidiaries will involve or give rise
to any infringement of, or license or similar fees for, any Intellectual Property of others, except where such action, use, license
or fee is not reasonably likely to result in a Material Adverse Effect. Neither the Company nor any of its subsidiaries has received
any notice alleging any such infringement or fee.

(xiii)           
The Company and each of its subsidiaries has complied with, is not in violation of, and has not received any notice of violation
relating to any law, rule or regulation relating to the conduct of its business, or the ownership or operation of its property
and assets, including, without limitation, (A) the Currency and Foreign Transactions Reporting Act of 1970, as amended, or any
money laundering laws, rules or regulations, (B) any laws, rules or regulations related to health, safety or the environment, including
those relating to the regulation of hazardous substances, (C) the Sarbanes-Oxley Act and the rules and regulations of the Commission
thereunder, (D) the Foreign Corrupt Practices Act of 1977 and the rules and regulations thereunder, and (E) the Employment Retirement
Income Security Act of 1974 and the rules and regulations thereunder, in each case, except where the failure to be in compliance
is not reasonably likely to result in a Material Adverse Effect.

(xiv)           
Neither the Company nor any of its subsidiaries nor, to the knowledge of the Company, any director, officer, employee, representative,
agent or affiliate of the Company or any of its subsidiaries is currently subject to any U.S. sanctions administered by the Office
of Foreign Assets Control of the U.S. Treasury Department (“OFAC”); and the Company will not directly or indirectly
use the proceeds of the offering of the Shares contemplated hereby, or lend, contribute or otherwise make available such proceeds
to any person or entity, for the purpose of financing the activities of any person currently subject to any U.S. sanctions administered
by OFAC.

(xv)            
The Company and each of its subsidiaries carries, or is covered by, insurance in such amounts and covering such risks as,
in the Company’s reasonable judgment, is adequate for the conduct of its business and the value of its properties and as
is customary for similarly sized companies engaged in similar businesses in similar industries.

(xvi)           
No labor dispute with the employees of the Company or any of its subsidiaries exists or, to the knowledge of the Company,
is imminent, that is reasonably likely to result in a Material Adverse Effect

(xvii)         
Except as set forth in the Registration Statement, the Time of Sale Disclosure Package and the Prospectus, neither the Company,
its subsidiaries nor, to its knowledge, any other party is in violation, breach or default of any Contract that is reasonably
likely to result in a Material Adverse Effect

(xviii)        
No supplier, customer, distributor or sales agent of the Company has notified the Company that it intends to discontinue
or decrease the rate of business done with the Company, except where such decrease is not reasonably likely to result
in a Material Adverse Effect.

(xix)           
There are no claims, payments, issuances, arrangements or understandings for services in the nature of a finder’s,
consulting or origination fee with respect to the introduction of the Company to the Placement Agent or the sale of the Securities
and the Placement Agent’s Securities hereunder or any other arrangements, agreements, understandings, payments or issuances
with respect to the Company that may affect the Placement Agent’s compensation, as determined by FINRA.

(xx)            
Except as set forth in the Registration Statement, the Time of Sale Disclosure Package and the Prospectus, the Company has
not made any direct or indirect payments (in cash, securities or otherwise) to (i) any person, as a finder’s fee, investing
fee or otherwise, in consideration of such person raising capital for the Company or introducing to the Company persons who provided
capital to the Company, (ii) any FINRA member, or (iii) any person or entity that has any direct or indirect affiliation or association
with any FINRA member within the 12-month period prior to the date on which the Registration Statement was filed with the Commission
(“Filing Date”) or thereafter.

(xxi)           
None of the net proceeds of the offering will be paid by the Company to any participating FINRA member or any affiliate
or associate of any participating FINRA member, except as specifically authorized herein.

(xxii)         
Except as set forth in the Registration Statement, the Time of Sale Disclosure Package and the Prospectus, to the Company’s
knowledge, no (i) officer or director of the Company or its subsidiaries, (ii) owner of 5% or more of the Company’s unregistered
securities or that of its subsidiaries or (iii) owner of any amount of the Company’s unregistered securities acquired within
the 180-day period prior to the Filing Date, has any direct or indirect affiliation or association with any FINRA member. The Company
will advise the Placement Agent and its counsel if it becomes aware that any officer, director or stockholder of the Company or
its subsidiaries is or becomes an affiliate or associated person of a FINRA member participating in the Offering.

(xxiii)        
Other than the Placement Agent, no person has the right to act as a placement agent, an underwriter or as a financial advisor
to the Company in connection with the transactions contemplated hereby.

(xxiv)       
The statements set forth in the Registration Statement, the Time of Sale Disclosure Package and the Prospectus under the
caption “Description of Securities,” insofar as they purport to constitute a summary of the terms of each of the Securities
and documents referred to therein, are accurate, complete and fair descriptions of such Securities and documents.

(xxv)         
Except as set forth or incorporated by reference in the Registration Statement, the Time of Sale Disclosure Package and
the Prospectus, there are no contracts, agreements or understandings between the Company and any person granting such person the
right (other than rights which have been waived in writing or otherwise satisfied) to require the Company to file a registration
statement under the Securities Act with respect to any securities of the Company owned or to be owned by such person or to require
the Company to include such securities in the securities registered pursuant to the Registration Statement or in any securities
being registered pursuant to any other registration statement filed by the Company under the Securities Act.

(xxvi)       
Except as set forth or incorporated by reference in the Registration Statement, the Time of Sale Disclosure Package and
the Prospectus, the Company has not sold or issued any shares of Common Stock during the six-month period preceding the date of
the Prospectus, including any sales pursuant to Rule 144A under, or Regulations D or S of, the Securities Act, other than shares
issued pursuant to employee benefit plans, stock option plans or other employee compensation plans or pursuant to outstanding options,
rights or warrants.

(xxvii)      
The Company and each of its subsidiaries (i) are in compliance with all, and have not violated any, laws, regulations,
ordinances, rules, orders, judgments, decrees, permits or other legal requirements of any governmental authority, including without
limitation any international, national, state, provincial, regional, or local authority, relating to the protection of human health
or safety, the environment, or natural resources, or to hazardous or toxic substances or wastes, pollutants or contaminants (including,
without limitation, all health and safety laws) (“Environmental Laws”) applicable to such entity, which compliance
includes, without limitation, obtaining, maintaining and complying with all permits and authorizations and approvals required by
Environmental Laws to conduct their respective businesses as described in the Registration Statement, the Time of Sale Disclosure
Package and the Prospectus, except where the failure to comply would not, singularly or in the aggregate, have a Material Adverse
Effect, and (ii) have not received notice of any actual or alleged violation of Environmental Laws, or of any potential liability
for or other obligation concerning the presence, disposal or release of hazardous or toxic substances or wastes, pollutants or
contaminants.

(A)     There
are no proceedings that are pending, or known to be contemplated, against the Company or any of its subsidiaries under Environmental
Laws in which a governmental authority is also a party.

(B)     The
Company and its subsidiaries are not aware of any existing liabilities concerning hazardous or toxic substances or wastes, pollutants
or contaminants that could reasonably be expected to have a Material Adverse Effect on the capital expenditures, earnings or competitive
position of the Company and its subsidiaries.

(C)     To
the knowledge of the Company, no property which is or has been owned, leased, used, operated or occupied by the Company or its
subsidiaries has been designated as a Superfund site pursuant to the Comprehensive Environmental Response, Compensation of Liability
Act of 1980, as amended (42 U.S.C. Section 9601, et. seq.), or otherwise designated as a contaminated site under applicable state
or local law.

(xxviii)    
Except as disclosed in the Company’s most recent annual report on Form 10-K and quarterly report on Form 10-Q, the
Company maintains a system of internal control over financial reporting (as such term is defined in Rule 13a-15(f) under the Exchange
Act) that complies in all material respects with the requirements of the Exchange Act and has been designed by the Company’s
principal executive officer and principal financial officer, or under their supervision, to provide reasonable assurance regarding
the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with U.S.
generally accepted accounting principles.

(xxix)       
Since the date of the latest audited financial statements included in the Registration Statement, the Time of Sale Disclosure
Package and the Prospectus, there has been no change in the Company’s internal control over financial reporting that has
materially affected, or is reasonably likely to materially affect, the Company’s internal control over financial reporting.

(xxx)         
Except as disclosed in the Company’s most recent annual report on Form 10-K and quarterly report on Form 10-Q, the
Company maintains disclosure controls and procedures (as such term is defined in Rule 13a-15(e) under the Exchange Act) that comply
with the requirements of the Exchange Act; such disclosure controls and procedures have been designed to ensure that material information
relating to the Company and its subsidiaries is made known to the Company’s principal executive officer and principal financial
officer by others within those entities.

(xxxi)       
The operations of the Company and its subsidiaries are being conducted in material compliance with applicable employment
laws, the rules and regulations thereunder and any related or similar rules, regulations or guidelines, issued, administered or
enforced by any governmental agency (collectively, the “Employee Benefit Laws”) and no action, lawsuit or proceeding
by or before any court or governmental agency, authority or body or any arbitrator involving the Company or any of its subsidiaries
with respect to the Employee Benefit Laws is pending or, to the knowledge of the Company, threatened that is reasonable likely
to result in a Material Adverse Effect.

(xxxii)      
Neither the Company nor any of its subsidiaries or affiliates, nor any director, officer, or employee, nor, to the Company’s
knowledge, any agent or representative of the Company or of any of its subsidiaries or affiliates, has taken any action in furtherance
of an offer, payment, promise to pay, or authorization or approval of the payment or giving of money, property, gifts or anything
else of value, directly or indirectly, to any “government official” (including any officer or employee of a government
or government-owned or controlled entity or of a public international organization, or any person acting in an official capacity
for or on behalf of any of the foregoing, or any political party or party official or candidate for political office) to influence
official action or secure an improper advantage; and the Company and its subsidiaries and affiliates conduct their businesses in
compliance in all material respects with applicable anti-corruption laws and have instituted and maintain and will continue to
maintain policies and procedures designed to promote and achieve compliance in all material respects with such laws and with the
representation and warranty contained herein.

5.                  
The Closing. The time and date of closing and delivery of the documents required to be delivered to the Placement Agent
pursuant to Sections 6 and 7 hereof shall be at 10:00 A.M., Eastern Daylight Time, on December 15, 2014, or at such time as the
parties may mutually agree (the “Closing Date”) at the office of Sanders Ortoli Vaughn-Flam Rosenstadt LLP,
501 Madison Avenue, New York NY 10022.

6.                  
Covenants.

(a)                
The Company covenants and agrees with the Placement Agent as follows:

(i)                  
To prepare the Prospectus in a form approved by the Placement Agent and to file such Prospectus pursuant to Rule 424(b)
under the Securities Act not later than the Commission’s close of business on the second business day following the execution
and delivery of this Agreement, or, if applicable, such earlier time as may be required by Rule 430A(a)(3) under the Securities
Act.

(ii)                
During the period beginning on the date hereof and ending on the date that the Prospectus is no longer required by law to
be delivered in connection with sales by an underwriter or dealer (the “Prospectus Delivery Period”), prior
to amending or supplementing the Registration Statement, the Time of Sale Disclosure Package or the Prospectus, the Company shall
furnish to the Placement Agent for review and comment a copy of each such proposed amendment or supplement, and the Company shall
not file any such proposed amendment or supplement to which the Placement Agent reasonably objects.

(iii)               
From the date of this Agreement until the end of the Prospectus Delivery Period, the Company shall promptly advise the Placement
Agent in writing (A) of the receipt of any comments of, or requests for additional or supplemental information from, the Commission,
(B) of the time and date of any filing of any post-effective amendment to the Registration Statement or any amendment or supplement
to the Prospectus, the Time of Sale Disclosure Package or any Issuer Free Writing Prospectus, (C) of the time and date that any
post-effective amendment to the Registration Statement becomes effective and (D) of the issuance by the Commission of any stop
order suspending the effectiveness of the Registration Statement or of any order preventing or suspending its use or the use of
the Time of Sale Disclosure Package or any Issuer Free Writing Prospectus, or of any proceedings to remove, suspend or terminate
from listing or quotation the Common Stock from any securities exchange upon which it is listed for trading or included or designated
for quotation, or of the threatening or initiation of any proceedings for any of such purposes. If the Commission shall enter any
such stop order at any time during the Prospectus Delivery Period, the Company will use its reasonable efforts to obtain the lifting
of such order as soon as practicable. Additionally, the Company agrees that it shall comply with the provisions of Rules 424(b),
430A and 430B, as applicable, under the Securities Act and will use its reasonable efforts to confirm that any filings made by
the Company under Rule 424(b) were received in a timely manner by the Commission.

(iv)              
(A) During the Prospectus Delivery Period, the Company will comply with all requirements imposed upon it by the Securities
Act, the Rules and Regulations and the Exchange Act so far as necessary to permit the continuance of sales of or dealings in the
Securities as contemplated by the provisions hereof, the Registration Statement, the Time of Sale Disclosure Package and the Prospectus.
If during such period any event occurs as the result of which the Prospectus (or if the Prospectus is not yet available to prospective
purchasers, the Time of Sale Disclosure Package) would include an untrue statement of a material fact or omit to state a material
fact necessary to make the statements therein, in the light of the circumstances under which such statement was made, not misleading,
or if during such period it is necessary or appropriate in the opinion of the Company or its counsel or the Placement Agent or
its counsel to amend the Registration Statement or supplement the Prospectus (or if the Prospectus is not yet available to prospective
purchasers, the Time of Sale Disclosure Package) to comply with the Securities Act, the Company will promptly notify the Placement
Agent and will amend the Registration Statement or supplement the Prospectus (or if the Prospectus is not yet available to prospective
purchasers, the Time of Sale Disclosure Package) so as to correct such statement or omission or effect such compliance.

(B)         If
during the Prospectus Delivery Period there occurred or occurs an event or development the result of which is that such Issuer
Free Writing Prospectus conflicted or would conflict with the information contained in the Registration Statement or any Prospectus
or would include an untrue statement of a material fact or omitted or would omit to state a material fact necessary in order to
make the statements therein, in the light of the circumstances under which they were made, not misleading, the Company has promptly
notified or promptly will notify the Placement Agent and has promptly amended or will promptly amend or supplement, at its own
expense, such Issuer Free Writing Prospectus to eliminate or correct such conflict, untrue statement or omission.

(v)                
The Company shall take or cause to be taken all necessary action to qualify the Securities and the Placement Agent’s
Securities for sale under the securities laws of such jurisdictions as the Placement Agent reasonably designates and to continue
such qualifications in effect so long as required for the distribution of the Securities and the Placement Agent’s Securities,
except that the Company shall not be required in connection therewith to qualify as a foreign corporation or as a dealer in securities
in any jurisdiction in which it is not so qualified, to execute a general consent to service of process in any state or to subject
itself to taxation in respect of doing business in any jurisdiction in which it is not otherwise subject.

(vi)              
The Company will furnish to the Placement Agent and counsel for the Placement Agent copies of the Registration Statement,
the Prospectus, any Issuer Free Writing Prospectus and all amendments and supplements to such documents, in each case as soon as
available and in such quantities as the Placement Agent may from time to time reasonably request.

(vii)             
The Company will make generally available to its security holders as soon as practicable, but in any event not later than
15 months after the end of the Company’s current fiscal quarter, an earnings statement (which need not be audited) covering
a 12-month period that shall satisfy the provisions of Section 11(a) of the Securities Act and Rule 158 of the Rules and Regulations.

(viii)           
Subject to the immediately following sentence, the Company, whether or not the transactions contemplated hereunder are consummated
or this Agreement is terminated, will pay or cause to be paid (A) all expenses (including transfer taxes allocated to the respective
transferees) incurred in connection with the delivery of the Securities and the Placement Agent’s Securities, (B) all expenses
and fees (including, without limitation, fees and expenses of the Company’s counsel subject to the limitations set forth
herein) in connection with the preparation, printing, filing, delivery, and shipping of the Registration Statement (including the
financial statements therein and all amendments, schedules, and exhibits thereto), the Securities and the Placement Agent’s
Securities, the Time of Sale Disclosure Package, the Prospectus, any Issuer Free Writing Prospectus, and any amendment thereof
or supplement thereto, (C) all reasonable and documented filing fees and fees and disbursements of the Placement Agent’s
counsel incurred in connection with the qualification of the Securities for offering and sale by the Placement Agent or by dealers
under the securities or blue sky laws of the states and other jurisdictions that the Placement Agent shall designate, (D) the fees
and expenses of any transfer agent or registrar, (E) the filing fees and fees and any disbursements of the Placement Agent’s
counsel incident to any required review and approval by FINRA of the terms of the sale of the Securities and the Placement Agent’s
Securities and (F) blue-sky fees and all other costs and expenses incident to the performance of its obligations hereunder that
are not otherwise specifically provided for herein. The Company will reimburse the Placement Agent for the fees incurred by Placement
Agent’s counsel pursuant to clauses (C) and (E) above (provided that $15,000 of such legal fees have already been paid by
the Company) in an amount equal to 2% of the gross proceeds of such Offering; however, in no event shall such aggregate amount
exceed $75,000. If this Agreement is terminated by the Placement Agent in accordance with the provisions of Section 7 or Section
10, the Company will reimburse the Placement Agent for all reasonable and documented out-of-pocket disbursements (including, but
not limited to, fees and disbursements of counsel (subject to the limitations set forth herein), travel expenses, postage, facsimile
and telephone charges) fees and disbursements incurred by the Placement Agent in connection with its investigation, preparing to
market and marketing the Securities or in contemplation of performing its obligations hereunder.

(ix)              
The Company intends to apply the net proceeds from the sale of the Securities to be sold by it hereunder for the purposes
set forth in the Time of Sale Disclosure Package or the Prospectus.

(x)                
The Company has not taken and will not take, directly or indirectly, during the Prospectus Delivery Period, any action designed
to or which might reasonably be expected to cause or result in, or that has constituted, the stabilization or manipulation of the
price of any security of the Company to facilitate the sale or resale of any of the Securities.

(xi)              
The Company represents and agrees that, unless it obtains the prior written consent of the Placement Agent, and the Placement
Agent represents and agrees that, unless it obtains, the prior written consent of the Company, it has not made and will not make
any offer relating to the Securities that would constitute an Issuer Free Writing Prospectus .

(xii)             
The Company represents and agrees that, unless it obtains the prior written consent of the Placement Agent, and the Placement
Agent represents and agrees that, unless it obtains, the prior written consent of the Company, it has not made and will not make
any offer relating to the Securities that would constitute an Issuer Free Writing Prospectus. Any such free writing prospectus
consented to by the Company and the Placement Agent is hereinafter referred to as a “Permitted Free Writing Prospectus”.
The Company represents that it has treated or agrees that it will treat each Permitted Free Writing Prospectus as an “issuer
free writing prospectus,” as defined in Rule 433, and has complied or will comply with the requirements of Rule 433 applicable
to any Permitted Free Writing Prospectus, including timely Commission filing where required, legending and record-keeping.

(xiii)           
The Company hereby agrees that, without the prior written consent of the Placement Agent, it will not, during the period
ending 90 days after the date hereof (“Lock-Up Period”), (i) offer, pledge, issue, sell, contract to sell, purchase,
contract to purchase, lend, or otherwise transfer or dispose of, directly or indirectly, any shares of Common Stock or any securities
convertible into or exercisable or exchangeable for Common Stock; 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 the Common Stock, whether any such transaction
described in clause (i) or (ii) above is to be settled by delivery of Common Stock or such other securities, in cash or otherwise;
or (iii) file any registration statement with the Commission relating to the offering of any shares of Common Stock or any securities
convertible into or exercisable or exchangeable for Common Stock (other than (A) a registration statement on Form S-4 and Form
S-8 or (B) a post-effective amendment on Form S-1 to a previously filed and effective registration statement on Form S-1
solely for purposes of keeping such prior effective registration statement current). The restrictions contained in the preceding
sentence shall not apply to (1) the Securities and the Placement Agent’s Securities to be sold hereunder, (2) the issuance
of Common Stock upon the exercise of options, warrants, convertible preferred stock, convertible notes or other exchange rights
as disclosed as outstanding in the Registration Statement or the Prospectus, or (3) the issuance of employee stock options not
exercisable during the Lock-Up Period and the grant of restricted stock awards or restricted stock units pursuant to equity incentive
plans described in the Registration Statement and the Prospectus. Notwithstanding the foregoing, to the extent that the Placement
Agent is at such time providing research coverage to the Company or intends to commence research coverage to the Company and is
subject to restrictions set forth by FINRA Rule 2711, if (x) the Company issues an earnings release or material news, or a material
event relating to the Company occurs, during the last 17 days of the Lock-Up Period, or (y) prior to the expiration of the Lock-Up
Period, the Company announces that it will release earnings results during the 16-day period beginning on the last day of the Lock-Up
Period, the restrictions imposed by this clause shall continue to apply until the expiration of the 18-day period beginning on
the issuance of the earnings release or the occurrence of the material news or material event, unless the Placement Agent waives
such extension in writing; provided, however, that this sentence shall not apply if the research published or distributed on the
Company is compliant with Rule 139 of the Securities Act and the Company’s securities are “actively traded” as
defined in Rule 101(c)(1) of Regulation M of the Exchange Act.

(xiv)           
To engage and maintain, at its expense, a registrar and transfer agent for the Common Stock.

(xv)            
To use its best efforts to maintain its listing on the OTC Marketplace (OTCQB) or the OTC Bulletin Board or become listed
on a recognized national exchange.

(xvi)           
To not take, directly or indirectly, any action designed to cause or result in, or that has constituted or might reasonably
be expected to constitute, under the Exchange Act or otherwise, the stabilization or manipulation of the price of any securities
of the Company to facilitate the sale or resale of the Securities.

7.                  
Conditions of the Placement Agent’s Obligations. The obligations of the Placement Agent hereunder, and the Closing
of the sale of the Shares and Purchaser Warrants, are subject to the accuracy, as of the date hereof and at the Closing Date, of
and compliance in all material respects with all representations, warranties and agreements of the Company contained herein, the
performance by the Company of its obligations hereunder and the following additional conditions:

The Prospectus (in accordance
with Rules 430A, 430B and 424(b), as applicable) shall have been duly filed with the Commission, as appropriate; no stop order
suspending the effectiveness of the Registration Statement or any part thereof nor suspending or preventing the use of the Time
of Sale Disclosure Package, the Prospectus or any Issuer Free Writing Prospectus shall have been issued and no proceeding for that
purpose shall have been initiated or threatened by the Commission; no order preventing or suspending the use of the Prospectus
shall have been issued and no proceeding for that purpose shall have been initiated or threatened by the Commission; all requests
for additional information (to be included in the Registration Statement, the Time of Sale Disclosure Package, the Prospectus,
any Issuer Free Writing Prospectus or otherwise) on the part of the Commission shall have been complied with to the Placement Agent’s
reasonable satisfaction.

 

(a)                
The Shares shall continue to be listed on the OTC Marketplace (OTCQB) or the OTC Bulletin Board.

(b)                
The Company shall have entered into Subscription Agreements with each of the Purchasers and such agreements shall be in
full force and effect.

(c)                
FINRA shall have raised no objection to the fairness and reasonableness of the terms of this Agreement or the transactions
contemplated thereby.

(d)                
The Placement Agent shall not have reasonably determined, and advised the Company, that the Registration Statement, the
Time of Sale Disclosure Package or the Prospectus, or any amendment thereof or supplement thereto, or any Issuer Free Writing Prospectus
contains an untrue statement of fact which, in the Placement Agent’s reasonable opinion, is material, or omits to state a
fact which, in the Placement Agent’s reasonable opinion, is material and is required to be stated therein or necessary to
make the statements therein not misleading.

(e)                
On the Closing Date, there shall have been furnished to the Placement Agent the opinion and negative assurance letter of
Jones Day, counsel for the Company dated the Closing Date, and addressed to the Placement Agent, in form and substance reasonably
satisfactory to the Placement Agent.

(f)                 
The Placement Agent shall have received a letter of UHY LLP on the date hereof and on the Closing Date, addressed to the
Placement Agent, confirming that they are independent public accountants within the meaning of the Securities Act and are in compliance
with the applicable requirements relating to the qualifications of accountants under Rule 2-01 of Regulation S-X of the Commission,
and confirming, as of the date of each such letter (or, with respect to matters involving changes or developments since the respective
dates as of which specified financial information is given in the Time of Sale Disclosure Package, as of a date not prior to the
date hereof or more than five days prior to the date of such letter), the conclusions and findings of said firm with respect to
the financial information and other matters required by the Placement Agent.

(g)                
On the Closing Date, there shall have been furnished to the Placement Agent a certificate, dated the Closing Date, and addressed
to the Placement Agent, signed by the chief executive officer and the chief financial officer of the Company, in their capacity
as officers of the Company, to the effect that:

(i)                  
The representations and warranties of the Company in this Agreement that are qualified by materiality or by reference to
any Material Adverse Effect are true and correct in all respects, and all other representations and warranties of the Company in
this Agreement are true and correct, in all material respects, as if made at and as of the Closing Date, and the Company has complied
in all material respects with all the agreements and satisfied all the conditions on its part to be performed or satisfied at or
prior to the Closing Date;

(ii)                
No stop order or other order (A) suspending the effectiveness of the Registration Statement or any part thereof or any amendment
thereof, (B) suspending the qualification of the Securities for offering or sale, or (C) suspending or preventing the use of the
Time of Sale Disclosure Package, the Prospectus or any Issuer Free Writing Prospectus has been issued, and no proceeding for that
purpose has been instituted or, to their knowledge, is contemplated by the Commission or any state or regulatory body; and

(iii)               
There has been no occurrence of any event resulting or reasonably likely to result in a Material Adverse Effect during the
period from and after the date of this Agreement and prior to the Closing Date.

(h)                
On or before the date hereof, the Placement Agent shall have received duly executed “lock-up” agreements, in
a form set forth on Schedule IV, among the Placement Agent and each of the individuals specified in Schedule V.

(i)                  
The Company shall have furnished to the Placement Agent and its counsel such additional documents, certificates and evidence
as the Placement Agent or its counsel may have reasonably requested.

If any condition
specified in this Section 7 shall not have been fulfilled when and as required to be fulfilled, this Agreement may be terminated
by the Placement Agent by notice to the Company at any time at or prior to the Closing Date, and such termination shall be without
liability of any party to any other party, except that Section 6(a)(viii), Section 8 and Section 9 shall survive any such
termination and remain in full force and effect.

8.                  
Indemnification and Contribution.

(a)                
The Company agrees to indemnify, defend and hold harmless the Placement Agent, its affiliates, directors and officers and
employees, and each person, if any, who controls the Placement Agent within the meaning of Section 15 of the Securities Act or
Section 20 of the Exchange Act, from and against any losses, claims, damages or liabilities to which the Placement Agent or such
person may become subject, under the Securities Act or otherwise (including in settlement of any litigation if such settlement
is effected with the written consent of the Company), insofar as such losses, claims, damages or liabilities (or actions in respect
thereof) arise out of or are based upon (i) an untrue statement or alleged untrue statement of a material fact contained in the
Registration Statement, including the information deemed to be a part of the Registration Statement at the time of effectiveness
and at any subsequent time pursuant to Rules 430A and 430B of the Rules and Regulations, or arise out of or are based upon the
omission from the Registration Statement, or alleged omission to state therein, a material fact required to be stated therein or
necessary to make the statements therein not misleading, (ii) an untrue statement or alleged untrue statement of a material fact
contained in the Time of Sale Disclosure Package, the Prospectus, or any amendment or supplement thereto, any Issuer Free Writing
Prospectus or in any other materials used in connection with the offering of the Securities, or arise out of or are based upon
the 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 circumstances under which they were made, not misleading, (iii) an untrue statement or alleged untrue
statement of a material fact contained in any materials or information provided to investors by, or with the approval of, the Company
in connection with the marketing of the offering of the Securities, including any roadshow or investor presentations made to investors
by the Company (whether in person or electronically), or arise out of or are based upon the 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 circumstances
under which they were made, not misleading, or (iv) in whole or in part, any material breach in the representations and warranties
of the Company contained herein or in the Subscription Agreements and will reimburse the Placement Agent for any legal or other
expenses reasonably incurred by it in connection with evaluating, investigating or defending against such loss, claim, damage,
liability or action; provided, however, that the Company shall not be liable in any such case to the extent that
any such loss, claim, damage, liability or action arises out of or is based upon (A) an untrue statement or alleged untrue statement
or omission or alleged omission made in the Registration Statement, the Time of Sale Disclosure Package, the Prospectus, or any
amendment or supplement thereto or any Issuer Free Writing Prospectus, or any amendment or supplement thereto, in reliance upon,
or in conformity with, written information furnished to the Company by the Placement Agent specifically for use in the preparation
thereof, which written information is described in Section 8(f) or (B) the Placement Agent’s bad faith, willful misconduct
or gross negligence in performing the services described in this Agreement.

(b)                
The Placement Agent will indemnify, defend and hold harmless the Company, its affiliates, directors, officers and employees,
and each person, if any, who controls the Company within the meaning of Section 15 of the Securities Act or Section 20 of the Exchange
Act, from and against any losses, claims, damages or liabilities to which the Company may become subject, under the Securities
Act or otherwise (including in settlement of any litigation, if such settlement is effected with the written consent of the Placement
Agent), insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon (i)
an untrue statement or alleged untrue statement of a material fact contained in the Registration Statement, the Time of Sale Disclosure
Package, the Prospectus, or any amendment or supplement thereto or any Issuer Free Writing Prospectus, or any amendment or supplement
thereto, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated
therein or necessary to make the statements therein not misleading, in each case to the extent, but only to the extent, that such
untrue statement or alleged untrue statement or omission or alleged omission was made in the Registration Statement, the Time of
Sale Disclosure Package, the Prospectus, or any amendment or supplement thereto or any Issuer Free Writing Prospectus, or any amendment
or supplement thereto in reliance upon, or in conformity with, written information furnished to the Company by the Placement Agent
specifically for use in the preparation thereof, which written information is described in Section 8(f), or (ii) the Placement
Agent’s bad faith, willful misconduct or gross negligence in performing the services described in this Agreement, and will
reimburse the Company for any legal or other expenses reasonably incurred by the Company in connection with defending against any
such loss, claim, damage, liability or action.

(c)                
Promptly after receipt by an indemnified party under subsection (a) or (b) above of notice of the commencement of any action,
such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party under such subsection,
notify the indemnifying party in writing of the commencement thereof; but the failure to notify the indemnifying party shall not
relieve the indemnifying party from any liability that it may have to any indemnified party except to the extent such indemnifying
party has been materially prejudiced by such failure. In case any such action shall be brought against any indemnified party, and
it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in,
and, to the extent that it shall wish, jointly with any other indemnifying party similarly notified, to assume the defense thereof,
with counsel satisfactory to such indemnified party, and after notice from the indemnifying party to such indemnified party of
the indemnifying party’s election so to assume the defense thereof, the indemnifying party shall not be liable to such indemnified
party under such subsection for any legal or other expenses subsequently incurred by such indemnified party in connection with
the defense thereof; provided, however, that if (i) the indemnified party has reasonably concluded (based on advice
of counsel) that there may be legal defenses available to it or other indemnified parties that are different from or in addition
to those available to the indemnifying party, (ii) a conflict or potential conflict exists (based on advice of counsel to the indemnified
party) between the indemnified party and the indemnifying party (in which case the indemnifying party will not have the right to
direct the defense of such action on behalf of the indemnified party), or (iii) the indemnifying party has not in fact employed
counsel reasonably satisfactory to the indemnified party to assume the defense of such action within a reasonable time after receiving
notice of the commencement of the action or the indemnifying party does not diligently defend the action after the assumption of
the defense, the indemnified party shall have the right to employ a single counsel to represent it in any claim in respect of which
indemnity may be sought under subsection (a) or (b) of this Section 8, in which event the reasonable fees and expenses of such
separate counsel shall be borne by the indemnifying party or parties and reimbursed to the indemnified party as incurred.

The indemnifying
party under this Section 8 shall not be liable for any settlement of any proceeding effected without its written consent, but if
settled with such consent or if there be a final judgment for the plaintiff, the indemnifying party agrees to indemnify the indemnified
party against any loss, claim, damage, liability or expense by reason of such settlement or judgment. No indemnifying party shall,
without the prior written consent of the indemnified party, effect any settlement, compromise or consent to the entry of judgment
in any pending or threatened action, lawsuit or proceeding in respect of which any indemnified party is a party or could be named
and indemnity was or would be sought hereunder by such indemnified party, unless such settlement, compromise or consent (a) includes
an unconditional release of such indemnified party from all liability for claims that are the subject matter of such action, lawsuit
or proceeding and (b) does not include a statement as to or an admission of fault, culpability or a failure to act by or on behalf
of any indemnified party.

(d)                
If the indemnification provided for in this Section 8 is unavailable or insufficient to hold harmless an indemnified party
under subsection (a) or (b) above, then each indemnifying party shall contribute to the amount paid or payable by such indemnified
party as a result of the losses, claims, damages or liabilities referred to in subsection (a) or (b) above, (i) in such proportion
as is appropriate to reflect the relative benefits received by the Company on the one hand and the Placement Agent on the other
from the offering and sale of the Securities or (ii) if the allocation provided by clause (i) above is not permitted by applicable
law, in such proportion as is appropriate to reflect not only the relative benefits referred to in clause (i) above but also the
relative fault of the Company on the one hand and the Placement Agent on the other in connection with the statements or omissions
that resulted in such losses, claims, damages or liabilities, as well as any other relevant equitable considerations. The relative
benefits received by the Company on the one hand and the Placement Agent on the other shall be deemed to be in the same proportion
as the total net proceeds from the offering received by the Company bear to the total fees and commissions received by the Placement
Agent, in each case as set forth in the table on the cover page of the Prospectus. The relative fault shall be determined by reference
to, among other things, whether the untrue or alleged untrue statement of a material fact or the omission or alleged omission to
state a material fact relates to information supplied by the Company or the Placement Agent and the parties’ relevant intent,
knowledge, access to information and opportunity to correct or prevent such untrue statement or omission. The Company and the Placement
Agent agree that it would not be just and equitable if contributions pursuant to this subsection (d) were to be determined by pro
rata allocation or by any other method of allocation that does not take account of the equitable considerations referred to in
the first sentence of this subsection (d). The amount paid by an indemnified party as a result of the losses, claims, damages or
liabilities referred to in the first sentence of this subsection (d) shall be deemed to include any legal or other expenses reasonably
incurred by such indemnified party in connection with investigating or defending against any action or claim that is the subject
of this subsection (d). Notwithstanding the provisions of this subsection (d), the Placement Agent shall be required to contribute
any amount in excess of the amount of the Placement Agent’s commissions referenced in Section 2 actually received by the
Placement Agent pursuant to this Agreement. No person guilty of fraudulent misrepresentation (within the meaning of Section 11(f)
of the Securities Act) shall be entitled to contribution from any person who was not guilty of such fraudulent misrepresentation.

(e)                
The obligations of the Company under this Section 8 shall be in addition to any liability that the Company may otherwise
have and the benefits of such obligations shall extend, upon the same terms and conditions, to each person, if any, who controls
the Placement Agent within the meaning of Section 15 of the Securities Act or Section 20 of the Exchange Act; and the several obligations
of the Placement Agent under this Section 8 shall be in addition to any liability that the Placement Agent may otherwise have and
the benefits of such obligations shall extend, upon the same terms and conditions, to the Company, and its officers, directors
and each person who controls the Company within the meaning of Section 15 of the Securities Act or Section 20 of the Exchange Act.

(f)                 
For purposes of this Agreement, the Placement Agent confirms, and the Company acknowledges, that there is no information
concerning the Placement Agent furnished in writing to the Company by the Placement Agent specifically for preparation of or inclusion
in the Registration Statement, the Time of Sale Disclosure Package, the Prospectus, or any amendment or supplement thereto or any
Issuer Free Writing Prospectus other than the statements set forth in the third paragraph on the cover page of the Prospectus,
and the third, fourth, fifth and sixth paragraphs under the heading “Plan of Distribution” in the Registration Statement
and the Prospectus.

9.                  
Representations and Agreements to Survive Delivery. All representations, warranties, and agreements of the Company herein
or in certificates delivered pursuant hereto, including, but not limited to, the agreements of the Placement Agent and the Company
contained in Section 6(a)(viii) and Section 8 hereof, shall remain operative and in full force and effect regardless of any investigation
made by or on behalf of the Placement Agent or any controlling person thereof, or the Company or any of its officers, directors,
or controlling persons, and shall survive delivery of, and payment for, the Securities and the Placement Agent’s Securities
to and by the Placement Agent hereunder.

10.               
Termination of this Agreement.

(a)                
The Placement Agent shall have the right to terminate this Agreement by giving notice to the Company as hereinafter specified
at any time at or prior to the Closing Date, if in the discretion of the Placement Agent, (i) there has occurred any material adverse
change in the securities markets or any event, act or occurrence that has materially disrupted, or in the reasonable opinion of
the Placement Agent, will in the future materially disrupt, the securities markets or there shall be such a material adverse change
in general financial, political or economic conditions or the effect of international conditions on the financial markets in the
United States is such as to make it, in the reasonable judgment of the Placement Agent, inadvisable or impracticable to market
the Shares or Purchaser Warrants or enforce contracts for the sale of thereof, (ii) trading in the Company’s common stock
shall have been suspended by the Commission, or trading in securities generally on the OTC Bulletin Board, NASDAQ Global Market,
New York Stock Exchange or NYSE MKT shall have been suspended, (iii) minimum or maximum prices for trading shall have been fixed,
or maximum ranges for prices for securities shall have been required, on the OTC Bulletin Board, NASDAQ Global Market, New York
Stock Exchange, or NYSE MKT, by such exchange or by order of the Commission or any other governmental authority having jurisdiction,
(iv) a banking moratorium shall have been declared by federal or New York or Washington state authorities, (v) there shall have
occurred any attack on, outbreak or escalation of hostilities or act of terrorism involving the United States, any declaration
by the United States of a national emergency or war, any substantial change or development involving a prospective substantial
change in United States or international political, financial or economic conditions or any other calamity or crisis, (vi) in the
judgment of the Placement Agent, there has been, since the time of execution of this Agreement or since the respective dates as
of which information is given in the Prospectus, any Material Adverse Effect, or (vii) the Purchasers shall decline to purchase
the Shares or Purchaser Warrants for any reason permitted under this Agreement or the Subscription Agreements. Any such termination
shall be without liability of any party to any other party except that the provisions of Section 6(a)(viii) and Section 7 hereof
shall at all times be effective and shall survive such termination.

(b)                
If the Placement Agent elects to terminate this Agreement as provided in this Section, the Company shall be notified promptly
by the Placement Agent by telephone, confirmed by letter.

11.               
Notices. Except as otherwise provided herein, all communications hereunder shall be in writing and, (i) if to the Placement
Agent, shall be mailed, delivered or telecopied to Olympus Securities LLC, telecopy number: __________, Attention: Jeffrey Berman,
Director, and (ii) if to the Company, shall be mailed, delivered or faxed to it at Guided Therapeutics, Inc., 5835 Peachtree Corners
East, Suite D, Norcross, GA 30092, fax number: 770-242-8639, Attention: Chief Executive Officer; or in each case to such other
address as the person to be notified may have requested in writing. Any party to this Agreement may change such address for notices
by sending to the parties to this Agreement written notice of a new address for such purpose.

12.               
Persons Entitled to Benefit of Agreement. This Agreement shall inure to the benefit of and be binding upon the parties
hereto and their respective successors and assigns and the controlling persons, officers and directors referred to in Section 8.
Except as expressly provided in the Subscription Agreements, nothing in this Agreement is intended or shall be construed to give
to any other person, firm or corporation any legal or equitable remedy or claim under or in respect of this Agreement or any provision
herein contained.

13.               
Absence of Fiduciary Relationship. The Company acknowledges and agrees that: (a) the Placement Agent has been retained
solely to act as placement agent in connection with the Offering and no fiduciary, advisory or agency relationship between the
Company and the Placement Agent has been created in respect of any of the transactions contemplated by this Agreement, irrespective
of whether the Placement Agent has advised or is advising the Company on other matters; (b) the price and other terms of the Shares
and Purchaser Warrants set forth in this Agreement were established by the Company following discussions and arms-length negotiations
with the Placement Agent and the Company is capable of evaluating and understanding and understands and accepts the terms, risks
and conditions of the transactions contemplated by this Agreement; (c) it has been advised that the Placement Agent and its affiliates
are engaged in a broad range of transactions that may involve interests that differ from those of the Company and that the Placement
Agent does not have any obligation to disclose such interest and transactions to the Company by virtue of any fiduciary, advisory
or agency relationship; (d) it has been advised that the Placement Agent is acting, in respect of the transactions contemplated
by this Agreement, solely for the benefit of the Placement Agent, and not on behalf of the Company.

14.               
Amendments and Waivers. No supplement, modification or waiver of this Agreement shall be binding unless executed in
writing by the party to be bound thereby. The failure of a party to exercise any right or remedy shall not be deemed or constitute
a waiver of such right or remedy in the future. No waiver of any of the provisions of this Agreement shall be deemed or shall constitute
a waiver of any other provision hereof (regardless of whether similar), nor shall any such waiver be deemed or constitute a continuing
waiver unless otherwise expressly provided.

15.               
Partial Unenforceability. The invalidity or unenforceability of any section, paragraph, clause or provision of this
Agreement shall not affect the validity or enforceability of any other section, paragraph, clause or provision.

16.               
Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of New York.

17.               
Submission to Jurisdiction. The Company irrevocably (a) submits to the jurisdiction of any court of the State of New
York for the purpose of any lawsuit, action, or other proceeding arising out of this Agreement, or any of the agreements or transactions
contemplated by this Agreement, the Registration Statement and the Prospectus (each a “Proceeding”), (b) agrees
that all claims in respect of any Proceeding may be heard and determined in any such court, (c) waives, to the fullest extent permitted
by law, any immunity from jurisdiction of any such court or from any legal process therein, (d) agrees not to commence any Proceeding
other than in such courts, and (e) waives, to the fullest extent permitted by law, any claim that such Proceeding is brought in
an inconvenient forum. THE COMPANY (ON BEHALF OF ITSELF AND, TO THE FULLEST EXTENT PERMITTED BY LAW, ON BEHALF OF ITS RESPECTIVE
EQUITY HOLDERS AND CREDITORS) HEREBY WAIVES ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY CLAIM BASED UPON, ARISING
OUT OF OR IN CONNECTION WITH THIS AGREEMENT AND THE TRANSACTIONS CONTEMPLATED BY THIS AGREEMENT, THE REGISTRATION STATEMENT, THE
TIME OF SALE DISCLOSURE PACKAGE AND THE PROSPECTUS.

18.               
Counterparts. This Agreement may be executed in one or more counterparts and, if executed in more than one counterpart,
the executed counterparts shall each be deemed to be an original and all such counterparts shall together constitute one and the
same instrument.

[Signature Page Follows]

 

 

    	 

    	 

    

 

 

Please sign and
return to the Company the enclosed duplicates of this letter whereupon this letter will become a binding agreement between the
Company and the Placement Agent in accordance with its terms.

	 	
        Very truly yours,

        GUIDED THERAPEUTICS, INC.
	 
	 	By:	
        /s/ Gene S. Cartwright
	 
	 	 	Name:	Gene S. Cartwright	 
	 	 	Title:	President and CEO	 

 

	Confirmed as of the date first above mentioned by the Placement Agent	 
	OLYMPUS SECURITIES LLC	 
	By:	
        /s/ Jeffrey Berman
	 
	 	Name:	Jeffrey Berman	 
	 	Title:	Director

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