Document:

Exhibit 10.4

 

The Beneficient Company Group, L.P.

Participating Option to Acquire Common Units

 

This Participating Option Agreement (the
“Participating Option”) sets out the terms and conditions applicable to the option to acquire Common Units
(as defined in the Amended and Restated Limited Partnership Agreement of The Beneficient Company Group, L.P. (the “BEN
LPA”), dated as of September 1, 2017) (the “Options”) granted by The Beneficient Company Group, L.P.
(the “Optionor”), a Delaware limited partnership, to GWG Holdings, Inc., a Delaware corporation (the “Optionee”).
This Participating Option, which includes the attached addendum (the “Addendum”) and Confirmation (the “Confirmation”),
as may be amended from time to time (collectively, the “Agreement”) shall come into effect as of December 27,
2018. The terms defined in the Definitions set forth in the Addendum will have the meanings given there for the purpose of this
Agreement.

 

Section 1. Representations and Undertakings

 

Section 1.1 Each party represents and warrants to the other,
with respect to this Agreement and each Option as follows:

 

(a) it is duly organized
and validly existing under the laws of the jurisdiction of its organization;

 

(b) it has the power
to execute and deliver this Agreement and to perform its obligations under this Agreement and has taken all action necessary to
authorize such execution and delivery and performance;

 

(c) this Agreement
constitutes a legal, valid and binding obligation of it, enforceable against it in accordance with its terms (subject to applicable
insolvency or similar laws affecting creditors’ rights generally and subject, as to enforceability, to equitable principles of
general application);

 

(d) it is entering
into this Agreement for its own account as principal, and no other person has a direct or indirect beneficial interest in any Option
acquired by it hereunder (for the avoidance of doubt, ownership of the equity interests in a person shall not constitute a direct
or indirect beneficial interest in the assets and liabilities of such person for purposes of this representation);

 

(e) the other party
is not acting as a fiduciary, financial or investment advisor for it;

 

(f) it is not relying
upon any representations (whether written or oral) of the other party other than the representations expressly set forth in this
Agreement;

 

(g) it has consulted
with its own legal, regulatory, tax, business, investment, financial, and accounting advisors to the extent it has deemed necessary,
and it has made its own investment, hedging, and trading decisions based upon its own judgment and upon any advice from such advisors
as it has deemed necessary and not upon any view expressed by the other party; and 

 

(h) no event has occurred or circumstance arisen which constitutes an Event of Default in respect of it.

 

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Section 1.2 Optionee understands and agrees
that Optionor is not, and will not be, obligated under any circumstances to repurchase any Option. Optionor may, at its discretion
and with the consent of the Optionee, offer to repurchase the Option at any time before the Expiration Date. Optionor understands
and agrees that Optionee is not, and will not be, obligated under any circumstances to agree to resell the Option pursuant to any
such offer to repurchase.

 

Section 1.3 Private Placement Representations.

 

(a) Optionee understands
that the offer and sale of the Option by the Optionor is intended to be exempt from registration under the Securities Act of 1933,
as amended (the “Securities Act”), by virtue of Section 4(a)(2) of the Securities Act and the provisions of
Regulation D thereunder, and in furtherance thereof, Optionee represents and warrants to and agrees with the Optionor that (i)
it has the financial ability to bear the economic risk of its investment, including the entire loss of its investment, and has
adequate means for providing its current needs and personal or other contingencies, (ii) it qualifies as an “accredited
investor” as that term is defined under Regulation D, (iii) it will purchase the Option for investment and not with a view
to the distribution or resale thereof and (iv) the disposition of the Option is restricted under this Agreement, the Securities
Act and state securities laws.

 

(b) Optionee represents
and warrants that (i) it is fully familiar with the purposes, techniques and uses of options, (ii) it understands and is prepared
to accept the degree of risk involved in their use; and (iii) it has determined that the Option is a suitable investment for it.

 

(c) Optionee has been
given the opportunity to ask questions of, and receive answers from, Optionor concerning the terms and conditions of the Option
and has been given the opportunity to obtain such additional information necessary in order for the Optionee to evaluate the merits
and risks of a purchase of the Option to the extent Optionor possess such information or can acquire it without unreasonable effort
or expense.

 

Section 1.4. Optionor represents and warrants
that as of May 31, 2018, the notional amount of the NPC-A Prime Unit Accounts was $75,127,863 and that as of the Trade Date the
notional amount of the NPC-A Prime Unit Accounts is $57,218,703.43 and that Exhibit A to this Agreement sets forth a true and accurate
summary of all changes to the notional amount from May 31, 2018 through the Trade Date.

 

Section 1.5. Optionor represents and warrants
that there have been no amendments to its Amended and Restated Limited Partnership Agreement dated as of September 1, 2017 other
than the Amendment to Amended and Restated Agreement of Limited Partnership dated as of September 1, 2017, a copy of which has
been provided to Optionee.

 

Section 1.6 Each representation and warranty
made by each party under this Section 1 shall for the term hereof be deemed to be a continuing representation and warranty of such
party.

 

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Section 2. Deliveries

 

Section
2.1 All deliveries to be made under this Agreement shall be made on the relevant due date for value in accordance with market
practice (or if none, in immediately available or same day freely convertible funds), to the applicable account set forth in the
Confirmation.

 

Section 2.2 [Reserved]

 

Section 2.3 Each delivery shall be made
subject to any tax deduction or withholding required by law.

 

Section 2.4 Each obligation of a party
in respect of the Option to make a payment or deliver Common Units is subject to the condition precedent that no Event of Default
or event that, with the lapse of time or the giving of notice or both, would become an Event of Default by the other party, has
occurred and is continuing.

 

Section 3. Recapitalization of BCH

 

Section 3.1 By no later than January 31, 2019, Optionor
and BCH will recapitalize the interest that Optionor holds in BCH so that following such recapitalization, Optionor will hold
NPC-A Prime Unit Accounts in BCH that, in the aggregate, constitute seven percent (7%) of the sum of the total NPC-A Unit
Accounts attributable to Beneficient Holdings, Inc. and to Hicks Holdings Operating, LLC, based upon the estimated allocation
of such NPC-A Unit Accounts as of the preliminary third party valuation of Company Holdings ($57,218,703.43 as of the Trade
Date), and subject to adjustment following the issuance of the Final Valuation (as defined in the Third Amendment) on or
prior to December 27, 2018, and made on a pro rata basis with the NPC-A Unit Accounts held by Hicks Holdings Operating, LLC.
The form and substance of the necessary amendment to the BCH limited partnership agreement shall be consistent with this
Agreement and approved by Optionee, such approval not to be unreasonably withheld or delayed.

 

Section 3.2 The NPC-A Prime Unit Accounts
will share equally in all rights and privileges possessed by NPC-A Unit Accounts under the limited partnership agreement for BCH
on a pro rata basis, including Tax Distributions in accordance with Section 7 of the Confirmation, and, in addition, will possess
a priority in the allocation of taxable income to eliminate any book-tax disparity that exists with respect to such NPC-A Unit
Accounts under Section 704(c) of the Internal Revenue Code of 1986, as amended.

 

Section 3.3 The recapitalization will limit
the right of NPC-A Unit Accounts to receive the Quarterly Preferred NPC-A/C Return to the excess of the amount of such return determined
as if the NPC-A Prime Unit Accounts had not been issued over the amount of the Quarterly Preferred NPC-A/C Return provided to the
NPC-A Prime Unit Accounts. For example, assume that if the NPC-A Prime Unit Accounts had not been issued the Quarterly Preferred
NPC-A/C Return would have been $1,000x. Given that the NPC-A Prime Unit Accounts were issued, however, the Quarterly Preferred
NPC-A/C Return is $1,070x. In this case, the Quarterly Preferred NPC-A/C Return allocable to the NPC-A Unit Accounts would be $930x
($1,000x - $70x = $930x) and the Quarterly Preferred NPC-A/C Return. Allocable to the NPC-A Prime Unit Accounts would be $70x ($1,000-$930=$70).

 

Section 3.4 The amortization of any
step-up in the book value of the assets held by BCH as a result of the recapitalization will be specially allocated to the
NPC-A Unit Accounts.

 

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Section 4. Exercise

 

Section 4.1 The Option may be exercised
by the Optionee by giving irrevocable notice of exercise, in the manner and during times specified in the applicable Addendum.
Such notice shall take effect upon the Business Day on which the notice is received by Optionor.

 

Section 4.2 Unless otherwise agreed in
writing, a notice of exercise (or of intention not to exercise) with respect to the Option may be given orally and shall be confirmed
in writing (including by facsimile or electronic mail) by the Optionee, provided that failure to do so shall not render such oral
notice invalid.

 

Section 4.3 An Option may be exercised
in part in such minimum denominations as are specified in the relevant Confirmation.

 

Section 4.4 If the Optionee has not given
notice of exercise (nor notice of intention not to exercise) in respect of the Option by the Expiration Date, the Option shall
be deemed to have been exercised without any action necessary on the part of the Optionee, including the giving of notice as provided
in Section 4.1. Optionor shall notify the Optionee of such automatic exercise as soon as practicable.

 

Section 4.5 Following exercise, the Option
shall be settled in accordance with the terms of the applicable Addendum and Confirmation.

 

Section 5. Default

 

Section 5.1 Each of the following events shall constitute an
event of default (an “Event of Default”), with respect to a party (the “Defaulting Party”):

 

(a) failure to make
delivery of any Common Units or any other securities, assets or cash amounts under this Agreement within two Business Days of the
date on which such delivery is required to be made;

 

(b) failure to comply
with or perform any obligation under this Agreement not falling within paragraph (a) above within fifteen Business Days of a request
from the other party so to comply or perform;

 

(c) repudiation of
any of its obligations hereunder or under the Option;

 

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(d) a party (i)
is dissolved (other than pursuant to a consolidation, amalgamation or merger); (ii) becomes bankrupt, insolvent or fails or
is unable or admits in writing its inability generally to pay its debts as they become due; (iii) makes a general assignment,
arrangement or composition with or for the benefit of its creditors; (iv) institutes or has instituted against it a
proceeding seeking a judgment of insolvency or bankruptcy or any other relief under any bankruptcy or insolvency law or other
similar law affecting creditors’ rights, or a petition is presented for its winding-up or liquidation, and, in the case of
any such proceeding or petition instituted or presented against it, such proceeding or petition (A) results in a judgment of
insolvency or bankruptcy or the entry of an order for relief or the making of an order for its winding-up or liquidation or
(B) is not dismissed, discharged, stayed or restrained in each case within 30 days of the
institution or presentation thereof; (v) has a resolution passed for its winding-up, official management or liquidation
(other than pursuant to a consolidation, amalgamation or merger); (vi) seeks or becomes subject to the appointment of an
administrator, provisional liquidator, conservator, receiver, trustee, custodian or other similar official for It or for all
or substantially all its assets; (vii) has a secured party take possession of all or substantially all of its assets or has a
distress, execution, attachment, sequestration or other legal process levied, enforced or sued on or against all or
substantially all its assets and such secured party maintains possession, or any such process is not dismissed, discharged,
stayed or restrained, in each case within 30 days thereafter; or (viii) causes or is subject to any event with respect to it
which, under the applicable laws of any jurisdiction, has an analogous effect to any of the events specified in clause (i) to
(vii) (inclusive); or

 

(e) any representation made or deemed repeated by
it under Section 1 proves to have been incorrect or misleading in any material respect.

 

Section 5.2 Upon the occurrence of an Event
of Default and with respect to all unexercised but unexpired Options (for which purposes a partially exercised Option is an unexercised
Option but only as to the unexercised portion), the party that is not the Defaulting Party (the “Non-Defaulting Party”)
may, by written notice to the Defaulting Party sent while the Event of Default is continuing and specifying the relevant Event
of Default, elect to terminate and settle all Options (but not some only) in accordance with Section 6 on the date specified in
and no earlier than the date of the notice (the “Early Termination Date”).

 

Section 6. Remedies upon Default

 

Section 6.1 If an Early Termination Date occurs, the
Non-Defaulting Party shall calculate the Early Termination Amount payable by one party to the other and shall as soon as
reasonably practicable give to the Defaulting Party a statement thereof.

 

Section 6.2 The Early Termination Amount
shall equal the Settlement Amount (as defined in the Confirmation) determined as if the Option were exercised in full on the Early
Termination Date. The Early Termination Amount shall be transferable on the Business Day as soon as practical after notice of the
Early Termination Amount is given to the Defaulting Party.

 

Section 6.3 The parties agree that the
amounts recoverable under this Section are a reasonable pre-estimate of loss and not a penalty. Such amounts are payable for the
loss of bargain and the loss of protection against future risks.

 

Section 6.4 The Non-Defaulting Party’s
rights under this Section shall be in addition to, and not in limitation or exclusion of, any other rights which the Non-Defaulting
Party may have (whether by agreement, operation of law or otherwise) against the Defaulting Party under this Agreement.

 

Section 7. Reserved

 

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Section 8. Illegality and Impossibility

 

Section 8.1 Subject to the provisions of the applicable
Addendum and Sections 8.2 and 9.8, if a party is prevented or frustrated from performing its obligations for reasons beyond
its control by reason of a force majeure or an act of state occurring with respect to an Option
(an “Affected Option”), then such party (the “Affected Party”) shall promptly give notice
thereof to the other party (the “Non-Affected Party”) and either party may, by notice to the other, and
after 30 calendar days (or such lesser time period as shall be agreed to by the Non-Affected Party) and good faith efforts by
the Affect Party to remove the cause, condition, event or circumstance of such force majeure or act of state, require the
liquidation and close-out of each Affected Option and for this purpose the provisions of Section 6 shall apply with the
following modifications:

 

(a) references therein
to the Non-Defaulting Party shall be taken to be references to the Non-Affected Party;

 

(b) the provisions
shall apply to Affected Options only;

 

(c) in calculating
the Early Termination Amount, the Non-Affected Party shall not be entitled to take into account other expenses; and

 

(d) the Early Termination
Date for an Option shall be the date of the notice given under Section 8.1 provided that if such date is not a Business Day, the
Early Termination Date shall be the next following Business Day.

 

Section 8.2 If notice is given by the Affected
Party under Section 8.1 as a result of the occurrence of an event which renders it illegal for the Affected Party to perform an
obligation to deliver Securities or to pay an amount in respect of an Option, the parties shall in good faith endeavor to agree
to an alternative method of performance of the obligation affected by such illegality, failing which the parties may require the
liquidation and close-out of each Affected Option in accordance with Section 8.1.

 

Section 9. General Provisions

 

Section 9.1 This Agreement constitutes
the entire agreement and understanding between the parties relating to the subject matter hereof, and supersedes all other prior
agreements and understandings between them with respect hereto. Any amendment to this Agreement shall be in writing and signed
by the parties.

 

Section 9.2 Neither this Agreement nor
any Option may be assigned or transferred, including by operation of law, by either party hereto without the consent of the other
party, except for an assignment and delegation of all of Optionor’s rights and obligations hereunder to a partnership, corporation,
trust or other organization in whatever form that succeeds to all or substantially all of Optionor’s assets, including the NPC-A
Prime Unit Accounts, and business and that assumes such obligations by contract, operation of law or otherwise. Upon any such delegation
and assumption of obligations, Optionor shall be relieved of and fully discharged from all obligations hereunder, whether such
obligations arose before or after such delegation and assumption.

 

Section 9.3 Optionor shall be
entitled to rely upon any notice or instruction given to it orally or in writing under this Agreement which it reasonably
believes is given to it by or on behalf of the Optionee.

 

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Section 9.4 No failure or delay by
either party in exercising any right or remedy under this Agreement will operate as a waiver
thereof and no single or partial exercise of rights shall preclude a further or subsequent exercise. The rights and remedies
provided in this Agreement are cumulative and not exclusive of any rights or remedies provided by law.

 

Section 9.5 Subject to any contrary
agreement in relation to notice of exercise, any notice or communication in respect of this Agreement will be sufficiently
given by one party to the other party if in writing and delivered by hand, sent by certified or registered mail (airmail, if
overseas) or the equivalent (with return receipt requested) or by overnight courier or given by electronic mail
(“email”) at the email address specified below. Such a notice or communication will be effective:

 

(a) if delivered by
hand or sent by overnight courier, on the day it is delivered (or if that day is not a Business Day or, if delivered after 4:00
p.m. (local time of the recipient) on a Business Day, on the first following day that is a Business Day);

 

(b) if sent by email,
on the day it is sent by a device capable of recording time, date sent, number of recipient and apparent good transmission (or
if that day is not a Business Day or if after 4:00 p.m. (local time of the recipient) on a Business Day, on the first following
day that is a Business Day); or

 

(c) if sent by certified
or registered mail (airmail, if overseas) or the equivalent (with return receipt requested), three Business Days after dispatch
if the recipient’s address for notice is in the same country as the place of dispatch and otherwise seven Business Days after dispatch.

 

Any notice given hereunder shall be addressed
to the relevant party in accordance with the details given below, either party may by written notice to the other party change
the address or other details for notices or communications to it.

 

Section 9.6 This Agreement may be executed
in counterparts, each of which shall be deemed to be an original.

 

Section 9.7 Optionor shall not have any
liability for good faith errors or omissions in its respective calculations and determinations.

 

Section 9.8 In the event of any conflict
between the provisions of this Agreement and the Addendum relevant to an Option, the terms of the Addendum shall prevail. In the
event of a conflict between (a) the provisions of this Agreement and/or any relevant Addendum and (b) any Confirmation, the Confirmation
shall prevail.

 

Section 10. Governing Law, Etc.

 

Section 10.1
Jurisdiction

 

(a) Any dispute, claim, difference
or controversy arising out of, relating to or having any connection with this Agreement, including any dispute as to its
existence, validity, interpretation, performance, breach or termination or the consequences of its nullity and any dispute
relating to any non-contractual obligations arising out of or in connection with it, shall be resolved consistent with the
Master Exchange Agreement, as amended and restated on January 18, 2018 with effect as of January 12, 2018, and further
amended by the First Amendment thereto, dated April 30, 2018, and the Second Amendment thereto, dated June 29, 2018, and the
Third Amendment, dated August 10, 2018 (the “Third Amendment”), by and among Optionee, Optionor and the other
parties thereto.

 

Section 10.2 This Agreement
and Option transactions hereunder and all claims or causes of action based upon, arising out of, or related to this Agreement or
the transactions contemplated hereby, shall be governed by, and construed in accordance with, the Laws of the State of Delaware,
without giving effect to principles or rules of conflict of laws to the extent such principles or rules would require or permit
the application of Laws of another jurisdiction.

 

[Signature Page Follows]

 

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ADDENDUM
FOR OPTIONS ON COMMON UNITS

 

This Addendum applies to Options on Common
Units which are shares, stock or units and forms part of the Participating Option Agreement. The Confirmation in respect of any
such Option shall specify the Common Unit or securities that are the subject of the Option.

 

Section 1. Definitions

 

“Business
Day” shall be a day on which commercial banks are regularly scheduled to be open for general business in the United States.

 

“Common Unit” has the meaning given
to it in the Participating Option Agreement.

 

“Exercise Price” means the amount
specified in the Confirmation.

 

“Expiration Date” has the meaning
given to it in the Confirmation.

 

“Settlement Amount” has the meaning
given to it in the Confirmation.

 

“Settlement Date” means the date
that is seven (7) Business Days after the Expiration Date.

 

“Special Cash
Distribution” means any proceeds distributed to the holder of Common Units arising from (A) any financing, refinancing,
re-leveraging or similar transaction by the Optionor or any subsidiary of the Optionor or (B) any sale, transfer or other disposition
of a material amount the assets of the Optionor or any subsidiary of the Optionor. For the avoidance of doubt, a Special Cash Distribution
shall in no event be a negative amount.

 

“Tax Distribution”
means a Tax Distribution as defined in the Amended and Restated Limited Partnership Agreement of Beneficient Company Holdings,
L.P. (“BCH”), as the same may be amended from time to time.

 

Section 2. Exercise

 

Notice of exercise of any Option should
be conveyed to the address and contact person specified in the applicable Confirmation and may occur only at the end of any calendar
quarter.

 

Special Conditions and Adjustments

 

Section 2.1 At any time after the
date on which an Option is entered into, and before the expiration or exercise as to all or any part thereof, if (A) (i)
there is declared a Common Unit dividend, Common Unit distribution, Common Unit split or reverse split, rights offering,
reorganization, recapitalization or other similar event (for example, an event of the type where adjustments would typically
be made in respect of exchange traded options) in respect of some or all of the Common Units or (ii) the partnership
agreement of BCH or the BEN LPA is amended, and (B) the adjustments in respect of such event is not provided for in the
Confirmation, then the number of Common Units and/or any other term of such Option shall be adjusted by the Optionor, with
effect from a date (or dates) selected by the Optionor, as it determines in good faith is necessary to preserve the economic
equivalent of the obligations the parties would have had under that Option had the relevant event not occurred.

 

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Section 2.2 Unless the Parties otherwise
agree in writing, no adjustment shall be made for cash dividends or distributions except for Special Cash Distributions. In the
event there has been a Special Cash Distribution, the number of Common Units and/or any other term of such Option shall be adjusted
by the Optionor on the Expiration Date, and with effect from a date (or dates) selected by the Optionor, as it determines in good
faith and in consultation with Optionee is necessary to preserve the economic equivalent of the rights and obligations the parties
would have had under that Option had no Special Cash Distribution occurred.

 

Section 2.3 Upon written notice from Optionee
or mutual agreement of Optionee and Optionor that any calculations or determinations of Optionor are in error or do not conform
to the standards set out in this Addendum of the Confirmation, Optionee and Optionor shall cooperate in good faith to revise such
calculations or determinations within ten Business Days. Any failure to agree upon revised calculations or determinations within
such time period shall not prejudice either of Optionee’s or Optionor’s rights to enforce the provisions of the Participating
Option in accordance with its terms

 

Section 3. Settlement

 

Section 3.1 An Option on Common Units shall,
on the exercise or deemed exercise of the Option (or any part thereof, if applicable) in accordance with the terms of the Agreement,
be settled in the manner prescribed in the relevant Confirmation.

 

Section 3.2 The Settlement Amount (as calculated
as of the Expiration Date by the Optionor) will be transferred by Optionor to Optionee on the Settlement Date.

 

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Exhibit
A

 

Confirmation for Option Over Common Units

 

		To:	GWG Holdings, Inc. (Optionee)

 

		From:	The Beneficient Company Group, L.P. (Optionor)

 

Trade Date: December 27, 2018

 

This “Confirmation” evidences
the terms of the binding agreement reached between Optionor and Optionee as of the Trade Date specified above. This Confirmation,
the Participating Option Agreement and the Addendum dated as of the date hereof between Optionor and Optionee which is incorporated
herein (together, the “Agreement”), together constitute the entire agreement of Optionor and Optionee as to the transaction
contemplated hereunder and supersede all prior communications between the parties. Capitalized terms used herein and not defined
herein shall have the meaning given to such terms in the Agreement.

 

		1.	Grantor of Option: Optionor

 

		2.	Holder of Option: Optionee

 

		3.	Type of Option: Call

 

		4.	Premium: NA

 

		5.	Consideration: The consideration for the Options is the
consummation of the transactions contemplated by the Master Exchange Agreement, as amended and restated on January 18, 2018 with
effect as of January 12, 2018, and further amended by the First Amendment thereto, dated April 30, 2018, and the Second Amendment
thereto, dated June 29, 2018, and the Third Amendment, dated August 10, 2018 (the “Third Amendment”), by and among
Optionee, Optionor and the other parties thereto.

 

		6.	Settlement Amount: The number of Common Units, interests
or other property of any kind whatsoever that would be received by a holder of the NPC-A Prime Unit Accounts in BCH, a Delaware
limited partnership and subsidiary of Optionor, if such holder were converting such NPC-A Prime Unit Accounts into Common Units
as of the Settlement Date.

 

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		7.	NPC-A Prime Unit Accounts: NPC-A Prime Unit Accounts equivalent
to seven percent (7%) of the sum of the total NPC-A Unit Accounts attributable to Beneficient Holdings, Inc. and to Hicks Holdings
Operating, LLC, based upon the estimated allocation of such Unit Accounts as of the preliminary third party valuation of Company
Holdings ($57,218,703.43 as of the Trade Date), and subject to adjustment following the issuance of the Final Valuation (as defined
in the Third Amendment) or prior to December 27, 2018, and made on a pro rata basis with the NPC-A
Unit Accounts held by Hicks Holdings Operating, LLC (the “notional amount”), and increased thereafter through the
date preceding the date of exercise of the Option by the sum of (i) allocations of gains or losses that the holder of an NPC-A
Unit Account with a capital account balance equal to the notional amount of this Option would have been allocated after the Trade
Date, (ii) Tax Distributions that the holder of an NPC-A Unit Account with a capital account balance equal to the notional amount
of this Option would have received after the Trade Date and (iii) the amount that would have been allocated to such NPC-A Unit
Account by BCH, if a holder of such NPC-A Unit Account elected to directly or through consecutive transactions exchange such NPC-A
Unit Accounts into Common Units, in both cases as determined pursuant to the terms of BCH’s Amended and Restated Limited
Partnership Agreement, as the same may be amended from time to time, and assuming compliance with the provisions therein and any
and all related agreements, for the exchange of NPC-A Unit Accounts into Common Units.

 

		8.	Settlement: Physical only into Common Units, interests
or other property of any kind whatsoever which are issuable upon exercise of NPC-A Prime Unit Accounts.

 

		9.	Exercise Price: Zero.

 

		10.	Expiration Date: The tenth anniversary of the date of the
Trade Date or the date on which the Option is exercised, as applicable.

 

		11.	Partial Exercise: An Option may be exercised for a notional
amount of a minimum of $100,000 or any increment of $1,000 in excess thereof.

 

		12.	Option Style: American

 

		13.	Distributions: In the event that any cash distributions
(other than Tax Distributions) are made by BCH to holders of NPC-A Unit Accounts during the term of this Confirmation, the Optionee
shall be entitled to a cash distribution from the Optionor in an amount equal to the amount that a holder of an NPC-A Unit Account
with a dollar value equal to the amount referenced in this Confirmation would have received, determined based on the amount distributed
to actual holders of NPC-A Unit Accounts and consistent with Section 3.3 of the Participating Option.

 

		14.	A Tax Event shall be a Valuation Event.

 

		15.	A Change in Law Event shall be a Valuation Event.

 

		16.	Definitions

 

“American”
option style means an Option pursuant to which the rights granted are exercisable on demand by the Optionee.

 

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“Automatic
Exercise” means the Option shall be deemed to be automatically exercised as of the close of business on the Expiration
Date or the Valuation Event.

 

“Change in
Law Event” means the occurrence of any of the following which in the reasonable opinion of a party has or is likely to
have a material adverse impact on that party: (a) any change in any applicable law, rule or regulation in the United States of
America, or any political subdivision thereof, excluding a Change in Tax Law, (b) any change in or, in the interpretation or application
of, generally accepted accounting principles in the United States, or (c) any change in, or notification or instruction given in
relation to, the capital adequacy or other prudential requirements, standards or guidelines imposed, applied or administered by
any regulatory authority with competent jurisdiction in the United States affecting the Optionor.

 

“Change in
Tax Law” means the enactment, promulgation, execution or ratification of, or any change in or amendment to, any law (or
in the application or official interpretation of any law) that occurs on or after the Trade Date.

 

“Tax Event”
means (x) any action taken by a taxing authority, or brought in a court of competent jurisdiction, on or after the Trade Date (regardless
of whether such action is taken or brought with respect to a party to this Agreement) or (y) a Change in Tax Law, in each case
due to which there is a material adverse change in the taxation of the Option to either party.

 

“Valuation
Event” means (i) the completion of any consolidation, amalgamation or merger of the Optionor with or into another entity
(other than the merger, consolidation or amalgamation in which the Optionor is the continuing company and which does not result
in a reclassification or change of the Common Units), (ii) any disposition of all or substantially all of the outstanding equity
interests in the Optionor, (iii) any reclassification or change of the Common Units (other than a change in par value, if any,
as a result of a subdivision or combination), (iv) any transaction determined jointly by the Optionor and Optionee to be a transaction
that results in a monetization of the interest of Optionor of the Common Units, (v) any Tax Event or (vi) any Change in Law Event.

 

17. Automatic Exercise shall apply.

 

18. Account Information: Payments
to Optionee and Optionor, respectively, shall be made to the following accounts:

 

Optionee:

 

GWG Holdings, Inc.

220 South Sixth Street, Suite 1200

Minneapolis, Minnesota 55402

Attn: Jon R. Sabes

 

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	The Beneficient Company Group, L.P.	 
	 	 	 
	 	/s/ Brad K. Heppner	 
	By: 	Brad K. Heppner	 
	Title: 	Chief Executive Officer	 
	 	 	 
	GWG Holdings, Inc.	 
	 	 
	 	/s/ William B. Acheson	 
	By: 	William B. Acheson	 
	Title:	CFO	 

 

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EXHIBIT A

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    14

     

    

 

Schedule for GWG Dilution

 

	NPC-A Balance of BHI and HHO at 5/31/18	 	$	1,073,255,191.00	 	 	 	 	 
	GWG Initial Percentage Share of BHI / HHO	 	 	7	%	 	 	 	 
	GWG Initial Allocation of NPC-A Prime	 	$	75,127,863.37	 	 	 	 	 
	Less: GWG share of 10% dilution (see below chart)	 	$	17,909,159.94	 	 	 	 	 
	Adjusted Allocation of NPC- Prime	 	$	57,218,703.43	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	Final Total Units for Sellers and Co-Participants	 	$	733,783,880	 	 	 	 	 
	Final Total Units after 10% Premium	 	$	807,162,268	 	 	 	 	 
	Less: Units Initially Placed in Trusts	 	$	734,208,389	 	 	 	 	 
	Additional Units required for 10%	 	$	72,953,879	 	 	 	 	 
	Less: 10% dilution from MHT	 	$	(2,266,857	)	 	 	 	 
	Total Dilution to be Shared with GWG	 	$	70,687,022	 	 	 	 	 
	GWG pro rata percentage	 	 	25.34	%	 	 	 	 
	GWG share of 10% dilution	 	$	17,909,159.94	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	NPC-A Balance - Hicks Holdings	 	$	221,400,000	 	 	 	74.66	%
	NPC-A Prime Balance - GWG	 	$	75,127,863	 	 	 	25.34	%
	Total NPC-A Balance	 	$	296,527,863Exhibit 10.5

 

AMENDMENT
NO. 1 TO

 

COMMERCIAL
LOAN AGREEMENT

 

This
Amendment No. 1, dated as of December 27, 2018 (the “Amendment”), to that certain Commercial Loan Agreement,
dated as of August 10, 2018 (the “Loan Agreement”), is by and between GWG Holdings, Inc., a Delaware corporation
(the “Lender”), and The Beneficient Company Group, L.P., a Delaware limited partnership (the “Borrower”).
Defined terms used but not defined in this Agreement shall have the meaning ascribed to such terms in the Loan Agreement.

 

WHEREAS,
pursuant to the Master Exchange Agreement, the Lender and the Borrower determined the final consideration payable under the Master
Exchange Agreement not less than five (5) business days prior to the Final Closing and, in connection therewith, agreed that the
principal amount outstanding under the Loan Agreement as of the Final Closing Date shall be reduced from the principal amount
specified therein; and

 

WHEREAS,
the Borrower has elected to have all accrued but unpaid interest on that certain Exchangeable Promissory Note, dated August 10,
2018, by the Borrower in favor of the Lender (the “Exchangeable Note”) added to the principal balance under
the Loan Agreement.

 

NOW
THEREFORE, in consideration of the recitals and covenants herein set forth in this Agreement, and other good and valuable consideration,
the receipt and sufficiency of which are hereby acknowledged by the Lender and the Borrower, the parties hereto agree as follows:

 

1. Effective
as of August 10, 2018, the principal amount outstanding under the Loan Agreement shall be reduced to $181,974,314. On the Final
Closing Date, all interest accrued from August 10, 2018 to the Final Closing Date under both the Loan Agreement and the Exchangeable
Note (being an amount equal to $3,487,841.02 and $7,045,791.47, respectively) shall be added to the principal amount outstanding
under the Loan Agreement and the principal amount outstanding under the Loan Agreement as of the Final Closing Date shall be $192,507,946.49.

 

2. In
addition, Schedule 5.10(i) of the Loan Agreement shall be deleted in full and replaced with the Schedule 5.10(i) attached hereto.

 

3. This
Amendment shall be binding upon and inure solely to the benefit of the parties hereto and their permitted assigns and nothing
herein, express or implied, is intended to or shall confer upon any other Person, any legal or equitable right, benefit or remedy
of any nature whatsoever.

 

4. This
Amendment constitutes the entire agreement of the parties hereto with respect to the subject matter hereof and supersedes all
prior agreements and undertakings, both written and oral, among the parties with respect to the subject matter hereof. Except
as amended by this Amendment, the Loan Agreement shall continue in full force and effect.

 

    1

     

    

 

5. This
Amendment may be executed in counterparts (and delivered by facsimile or electronic transmission), each of which shall be deemed
an original, but all of which together shall constitute one and the same instrument.

 

6. This
Amendment, and all claims or causes of action based upon, arising out of, or related to this Amendment or the transactions contemplated
hereby, shall be governed by, and construed in accordance with, the Laws of the State of New York, without giving effect to principles
or rules of conflict of laws to the extent such principles or rules would require or permit the application of Laws of another
jurisdiction.

 

[Intentionally
left blank]

 

    2

     

    

 

IN
WITNESS WHEREOF, the parties have caused this Amendment No. 1 to Commercial Loan Agreement to be executed and delivered as of
the date first set forth above.

 

	 	GWG HOLDINGS, INC.
	 	 	 
	 	By:	/s/
    Jon R. Sabes
	 	Name:	Jon R. Sabes
	 	Title:	Chief Executive Officer

 

	 	 	 
	 	THE BENEFICIENT COMPANY GROUP,
    L.P.
	 	 	 
	 	By:	/s/
    Brad K. Heppner 
	 	Name:	Brad K. Heppner
	 	Title:	Chief Executive Officer

 

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SCHEDULE
5.10(i)

 

EXISTING
LIENS ON BORROWER’S PROPERTY OR ASSETS

 

As
set forth in each of the Amended and Restated Partnership Agreement of Beneficient Company Holdings, L.P. (“Holdings”),
dated as of September 1, 2017 (the “Holdings LPA”), and the Amended and Restated Partnership Agreement of the
Borrower, dated as of September 1, 2017 (the “Borrower LPA”), each of the Class A Units (as defined in, and
issued pursuant to, the Holdings LPA) tracks, on a one-to-one basis, the Common Units (as defined in, and issued pursuant to,
the Borrower LPA). Section 5.6(d) of the Borrower LPA and Section 7.01(c) of the Holdings LPA provide that in the event that a
Common Unit is redeemed or cancelled, a corresponding Class A Unit must be redeemed or cancelled to reflect the redemption or
cancellation of such Common Unit. The Class A Unit may not be redeemed or cancelled until such Common Unit to which it tracks
is first redeemed or cancelled, because the existence of such Class A Unit tracks the existence of the corresponding Common Unit.
Thus, the Class A Units track to the Common Units of Borrower and therefore are encumbered by the Common Units.

 

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