Document:

Exhibit 4.38

 

EXECUTION COPY

 

THIS DEED OF SETTLEMENT is made on the
28th day of July of 2017

 

		BETWEEN:	

 

		(1)	Acorn International, Inc., a company incorporated in the Cayman Islands with registration number
159255 (the "Company");

 

		(2)	Roche Enterprises Ltd, (formerly known as Acorn Composite Corporation) a company incorporated in
Nevada, United States of America, with entity registration number [C12134-1997] ("ACC");

 

		(3)	SB Asia Investment Fund II L.P., an exempted limited partnership registered in the Cayman Islands
with registration number 15287 ("SAIF");

 

		(4)	Mr Andrew Y. Yan of Suites 2516-2520, Two Pacific Place, 88 Queensway, Hong Kong ("Mr Yan");

 

		(5)	Mr Gordon Xiaogang Wang of No 1. Qingqing Road, Purple Garden, Flat F2-1A, Nanshan District, Shenzhen
City, Guangdong Province, People's Republic of China ("Mr Wang"); and

 

		(6)	Mr Jing Wang of Suite 5C, Building D3, #28 Xiangjun Village, Beijing, People's Republic of China
("Mr Jing Wang").

 

(each a "Party",
together the "Parties" and (4) to (6), the "Former Directors").

 

IT IS HEREBY
AGREED as follows:-

 

		1.	Definitions and interpretation.

 

Defined terms:

 

In this Deed of
Settlement, the following terms shall have the meanings set out below unless the contrary intention appears:

 

	"ACC Costs Order" 	
        means the Order of the Court dated 27 May
        2015 pursuant to which, inter alios, SAIF was ordered to pay the costs incurred by ACC in the Petition Proceedings, subject
        to taxation and/or agreement between the parties.

         

	
        "ADS" 
	means American Depositary Shares.

 

     

     

    

 

	
        “Agreement” or “Deed” 

         
	means this Deed of Settlement.
	
        "Articles" 

         
	means the Memorandum of Association and Articles of Association of the Company adopted by way of a special resolution passed on 6 July 2006 as amended.

                                                      

	
        "Claim" and "Counterclaim" 
        

         
	means the proceedings in the Court with Cause Number FSD No. 201 of 2016 (RMJ) issued by the Company against Mr Yan, Mr Wang and Mr Jing Wang and includes the counterclaim filed therein.
	 	 
	"Company's Attorneys"	
        means their Cayman Islands attorneys as
        follows:

         

        FAO: Fraser Hern / Alexia Adda

        Walkers (Singapore) Limited Liability

        Partnership, 3 Church Street,
        #16-01/02/03

        Samsung Hub, Singapore 049483 

         

	"Costs Orders" 	
        means the ACC Costs Order and SAIF Costs Order, together.

         

	
        "Court" 

         
	means the Grand Court of the Cayman Islands.
	"Effective Date"	
        means the date on which all of the obligations and/or
conditions contained in clause 3 have been satisfied by the Parties, and each of the respective Parties has confirmed the same
in writing to the other Parties (whether directly or via their attorneys). 

	 	 
	"Group" 	
        means the Company and each of its direct and indirect subsidiaries
        and affiliates.

         

	"Petition Proceedings" 	
        means the proceedings in the Court with Cause Number FSD No.
        109 of 2014 (AJJ).

         

	"Related Parties" and/or "Related Party"	
        means with respect to each Party specified, each of
its officers, employees, directors, parents, subsidiaries, alter egos, affiliates, agents, heirs, executors, administrators, conservators,
successors, and assigns. 

 

    	 	 2	 

     

    

 

	
        "Repurchase Consideration"

         
	
        means the total sum of USD 4,169,873.93.

         

	"SAIF Costs Order" 	
        means the costs incurred by, inter alios, SAIF in defending
        the Company's indemnity costs application in the Petition Proceedings, which the Company was ordered to pay, subject to taxation
        and/or agreement between the parties to those proceedings, pursuant to the Order of the Court dated 21 December 2015.

         

	
        "Security Interests"

         
	
        means any security interest, pledge, mortgage, lien, charge,
        adverse claim of ownership or other encumbrance of any kind whatsoever.

         

	"Settlement Sum"	
        means the total sum of USD 2,250,000.

         

	"Shares" 	
        means the 20,591,970 ordinary shares in the capital of the Company
        held by SAIF.

         

	
        "Share Repurchase"

         
	
        means the repurchase of the Shares by the Company pursuant to,
        and on the terms set out in, clauses 3 and 4 of this Agreement.

         

	"Trust Account"  	
        means the following bank account of the
        Company's Attorneys:

         

        Account Name: Walkers (Singapore)

        Limited
        Liability Partnership

        Bank: The Hongkong and Shanghai

        Banking
        Corporation Limited, 21 Collyer

        Quay, #06-01 HSBC Building Singapore

        049320

        Client Account #:  260-671078-179

        SWIFT address: HSBCSGSG

        Reference: FH/AA/S06563

 

		2.	Good Faith.

 

The Parties explicitly
agree to act in good faith and to do what is in their control as officers, directors and shareholders to ensure performance of
their respective obligations under this Agreement.

 

    	 	 3	 

     

    

 

		3.	Undertakings.

 

		3.1	As soon as reasonably practicable following the execution of this Deed, and in any event within
five (5) business days following the date of this Deed:

 

		(a)	the Company undertakes to pay the Repurchase Consideration by electronic funds transfer to the
Trust Account, such funds to be held on trust pending release to SAIF upon the Effective Date;

 

		(b)	SAIF undertakes to pay the Settlement Sum by electronic funds transfer to the Trust Account, such
funds to be held on trust pending release to ACC upon the Effective Date;

 

		(c)	SAIF shall (and Mr. Yan will cause SAIF to) deliver up to the Company's Attorneys (in respect of
(i), by Courier) for them to hold pending release upon the Effective Date:

 

		(i)	to the Company, any and all certificate(s) held in respect of the Shares, which shall be free and
clear of all Security Interests, and together with all rights attaching to them, for cancellation of the Shares;

 

		(ii)	to the Parties, a copy of executed board and shareholder resolutions for and on behalf of SAIF
approving the Share Repurchase, and the entry into this Agreement by SAIF, and all of the steps contemplated hereunder; and

 

		(iii)	to the Parties, all such executed ancillary documentation as may be requested by the Company in
order to effect the Share Repurchase in accordance with the Articles and/or any applicable law or regulations.

 

		(d)	the Company shall deliver up to the Company's Attorneys for them to hold pending release to the
other Parties upon the Effective Date a copy of the executed board resolutions and audit committee resolutions approving the Share
Repurchase and the entry into this Agreement by the Company, and all of the steps contemplated hereunder; and

 

		(e)	ACC shall deliver up to the Company's Attorneys for them to hold pending release to the other Parties
upon the Effective Date a copy of the executed board resolutions approving entry into this Agreement by ACC and all of the steps
contemplated hereunder.

 

		4.	The Effective Date.

 

		4.1	Upon the Effective Date, and in consideration for the waiver and releases provided for under Clause
5 hereof:

 

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		(i)	the Company hereby undertakes to repurchase the Shares, and SAIF hereby consents to such repurchase
of the Shares by the Company, and undertakes to take all necessary steps to facilitate and effect such repurchase of the Shares
in return for the Repurchase Consideration;

 

		(ii)	the Repurchase Consideration referred to in clause 3.1(a) shall be released and paid to SAIF; and

 

		(iii)	the Settlement Sum referred to in clause 3.1(b) shall be released and paid to ACC.

 

		4.2	Upon the Effective Date, or as soon as reasonably practicable thereafter and in any event within
five (5) business days thereafter:

 

		(i)	the Company shall arrange for its share register to be updated to take account of the Share Repurchase;

 

		(ii)	the Company shall take all necessary steps to discontinue and/or withdraw the Claim with no order
as to costs;

 

		(iii)	the Former Directors shall take all necessary steps to discontinue and/or withdraw the Counterclaim
with no order as to costs;

 

		(iv)	ACC shall take all necessary steps to discontinue and/or withdraw the taxation proceedings in respect
of the ACC Costs Order in the Petition Proceedings; and

 

		(v)	SAIF shall take all necessary steps to discontinue and/or withdraw the taxation proceedings in
respect of the SAIF Costs Order in the Petition Proceedings.

 

		5.	Waiver and Release.

 

		5.1	Subject to the completion and satisfaction of all the terms, obligations and/or conditions contained
herein including, for the avoidance of doubt and without limitation, the completion of the Share Repurchase and the completion
of such other steps as are contemplated under clause 4 hereof (excluding those contained in this clause 5.1),

 

		(i)	each of SAIF and the Former Directors on the one side and ACC and the Company on the other, each
on behalf of itself and each of its Related Parties irrevocably waives, releases and forever discharges the other of and from any
and all claims, demands, liens, actions, suits, causes of action, obligations, controversies, debts, costs, attorneys' fees, expenses,
damages, judgments, orders, and liabilities of whatever kind or nature in law, equity or otherwise, whether now known or unknown,
suspected or unsuspected, and whether or not concealed or hidden, which have existed or may have existed, or which do exist or
which hereafter can, shall or may exist, based on any facts, events, or omissions occurring from the beginning of time to the date
of this Agreement, including in relation to, arising out of or in connection with, the Petition Proceedings, the Claim, and/or
the Counterclaim, the Former Directors' role as directors of the Company, and/or SAIF's role as a shareholder of the Company and/or
the Shares; provided, however, that nothing contained herein shall release or discharge any claim by or against any of the Parties
hereto based on (a) conduct occurring after the date of this Agreement, or (b) any claim for breach of this Agreement. The Parties
may use this Agreement, including as an absolute bar, against any court or other proceedings brought by each other (or anyone who
claims through them or a Related Party); and

 

    	 	 5	 

     

    

 

		(ii)	without prejudice to the generality of clause 5.1(i) the Parties acknowledge that the steps required
to be taken pursuant to this Agreement are in full and final settlement of the Claim, the Counterclaim, the Petition Proceedings
and the Costs Orders, and:

 

		(a)	SAIF hereby waives any and all rights it has or may have arising under or in connection with the
SAIF Costs Order or to claim any costs arising pursuant thereto;

 

		(b)	ACC hereby waives any and all rights it has or may have arising under or in connection with the
ACC Costs Order or to claim any costs arising pursuant thereto;

 

		(c)	the Company hereby waives any and all rights it has or may have to pursue the Claim or any matters
arising out of or in relation thereto;

 

		(d)	the Former Directors (and to the extent applicable, SAIF, and any other Related Parties to the
Former Directors) hereby waive any and all rights they have or may have to pursue the Counterclaim or any matters arising out of
or in relation thereto; and

 

		(e)	with respect to all of (a) to (d) above, the Parties hereby expressly agree that no Party shall
take any steps to reinstate or attempt to reinstate the Claim, Counterclaim, Petition Proceedings and/or Costs Orders, or to commence
proceedings that arise out of the facts that are the subject of such proceedings.

 

		6.	No Admission.

 

Nothing in
the Agreement or any related document shall be construed, or admissible in any proceeding, as evidence of liability or wrongdoing
by any party granting a release.

 

		7.	Representations and Warranties.

 

		7.1	Each of the Former Directors and SAIF, represents and warrants to the Company and ACC that (i)
it has all requisite power and authority to enter into and perform its obligations under the Agreement, and (ii) its execution,
delivery and performance of the Agreement will not result in a breach of any provision of its constitutional documents (in the
case of SAIF), any agreement to which it is or may become a party, or any order, judgment or decree of any court or governmental
authority binding on it.

 

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		7.2	Each of SAIF and Mr Yan represents and warrants that (i) SAIF is the sole and exclusive legal and
record owner of the Shares, free and clear of all Security Interests, (ii) the delivery by SAIF to the Company of the Shares certificates
at the Effective Date in the manner provided for at clause 3 above will transfer to the Company (or its nominee, as appropriate)
good and valid title to the Shares, free and clear of all Security Interests and restrictions on transfer and (iii) the Shares
represent the entirety of the interest (whether such interest be in the form of shares, ADSs or any other security) that either
SAIF, any (direct) subsidiary or parent of SAIF and/or any successors or assigns thereof, or Mr Yan and/or any heirs, executors,
administrators, conservators, successors and assigns of Mr Yan, , hold (whether directly or indirectly) in the Company. Without
prejudice to the rights and remedies that may otherwise be available for any breach of representation or warranty in this clause
7.2, in the event that the representation and warranty contained in clause 7.2(iii) above is shown to be incorrect in that it is
shown that Mr Yan, SAIF and/or any (direct) subsidiary or parent of SAIF and/or any successors or assigns thereof, and/or any heirs,
executors, administrators, conservators, successors and assigns to Mr Yan do own additional shares (or ADSs or any other security)
in the Company other than the Shares ("Additional Securities") as at the date of this Agreement, Mr Yan and SAIF
undertake and agree to take all necessary steps to cause the surrender of such Additional Securities to the Company in as expeditious
a manner as possible, and agree that such surrender shall be effected for no additional consideration over and above the Repurchase
Consideration.

 

		7.3	Each of the Company and ACC represents and warrants to the Former Directors and SAIF that (i) it
has all requisite power and authority to enter into and perform its obligations under the Agreement, (ii) it has taken all necessary
actions required by law to authorise and approve its entry into the Share Repurchase and this Agreement and the execution of same
and (iii) its execution, delivery and performance of the Agreement will not result in the breach of any provision of its constitutional
documents, any agreement to which it is or may become a party, any order judgment or decree of any court or governmental authority
binding on him.

 

		8.	Interpretation; Advice of Attorneys.

 

Each party
has cooperated in the drafting and preparation of the Agreement. In any construction to be made of the Agreement, the same shall
not be construed against any party on the basis that such party was the drafter. In entering into the Agreement, the Parties represent
that they have relied upon the advice of their attorneys, who are attorneys of their own choice, and that the terms of the Agreement
have been completely read and explained to them by their attorneys, and that those terms are fully understood and voluntarily accepted
by them.

 

    	 	 7	 

     

    

 

		9.	Parties in Interest.

 

This Agreement
shall be binding upon and inure solely to the benefit of the Parties hereto, and nothing in this Agreement, express or implied,
is intended to or shall confer upon any other person any right, benefit or remedy of any nature whatsoever under or by reason of
this Agreement, other than clause 5 (which are intended to be for the benefit of the persons covered thereby and may be enforced
by such persons pursuant to the Contracts (Rights of Third Parties) Law).

 

		10.	Governing Law; Dispute Resolution.

 

		10.1	This Deed will be governed by and interpreted in accordance with the laws of the Cayman Islands.

 

		10.2	Any dispute, controversy, difference or claim arising out of or relating to the Agreement, including
the existence, validity, interpretation, performance, breach or termination thereof or any dispute regarding non-contractual obligations
arising out of or relating to it shall be determined by the courts of the Cayman Islands.

 

		11.	Costs.

 

The Parties shall each be responsible
for their own costs, charges and other expenses incurred in connection with this Deed and the carrying into effect of this Agreement.

 

		12.	Counterparts.

 

This Deed may
be signed in any number of counterparts, each of which, when signed, shall be an original and all of which together evidence the
same Deed. For the purposes of completion, electronic signatures by the Parties’ legal advisers shall be binding. Any party
who provides an electronic, signed counterpart to the other party on completion agrees to provide original, signed counterparts
to the other party within seven days of the Effective Date.

 

		13.	Further Assurance.

 

Each Party shall
do, or cause to be done, all such further acts, and shall execute, acknowledge and deliver, or cause to be delivered, executed,
and/or acknowledged, any and all such further documentation as the other Party or Parties may reasonably require in order to carry
out and/or give effect to the purposes of this Agreement.

 

{Signatures on next page}

 

    	 	 8Exhibit 4.39

 

EXECUTION COPY

 

Strategic Cooperation Framework Agreement

 

This Strategic Cooperation Framework Agreement
(this “Agreement”) is entered into on Nov 20, 2017 by and between Acorn International, Inc. (“Acorn”) and
Cachet Hotel Group Limited Cayman L.P. (“Cachet”). Each of Acorn and Cachet may be individually referred to herein
as a “Party” and collectively as the “Parties”.

 

Both Parties desire to establish a long-term
relationship in the sourcing and procurement of hospitality supplies. Acorn and Cachet, after negotiations based on the principles
of friendly cooperation, mutual benefit and development, hereby agree to the following binding principles:

 

		1.	Supply Sourcing

 

During the term of this Agreement, Cachet
agrees to use best efforts to purchase from Acorn all of Cachet’s requirements for amenities, textiles, other hotel goods,
and various furniture, fixtures and equipment (“Supplied Products”) for the hotels, restaurants, clubs and other properties
(“Properties”) owned and/or managed by Cachet, subject only to Acorn’s ability to source and procure relevant
Supplied Products satisfying Cachet’s requirements on commercially reasonable terms. For Properties not owned but managed
by Cachet under relevant hotel management agreements, Cachet shall use best its efforts to ensure that such Properties enter into
sourcing contracts with Acorn under which Acorn will be the preferred supplier of Supplied Products for those Properties.

 

		2.	Loan Facility

 

Subject to relevant definitive agreements
to be entered into by and between the Parties, Acorn agrees to extend a secured term loan facility to Cachet up to US$10,000,000.00
or its then RMB equivalent at Acorn’s discretion (the “Loan”), with each drawdown subject to Acorn’s consent,
to be repaid by Cachet in the same currency as borrowed. The term of the loan will be three (3) years, with two (2) conditional
one-year extension options. The interest rate will be the lesser of (i) eight percent (8.0%) per annum and (ii) the maximum rate
permitted by applicable law. Robert W. Roche, the controlling shareholder and the chairman of Cachet, shall guarantee the repayment
of the Loan.

 

		3.	Confidentiality

 

Any non-public information received by
one Party from the other Party during the strategic cooperation shall be deemed as Confidential Information and must not be disclosed
to any third party; provided however that Confidential Information shall not include any information which (a) was already in the
public domain or which becomes so through no fault of the recipient of Confidential Information; (b) was already known or lawfully
disclosed to the recipient without similar restriction prior to receipt hereof; (c) is received from a third party without similar
restriction and without breach of this Agreement; (d) is independently developed by the recipient without reference to any Confidential
Information and without breach of this Agreement; (e) is expressly approved from release by written authorization of the disclosing
party prior to such disclosure; (f) is disclosed pursuant to any legal, judicial or government request, requirement or order of
any regulatory authority provided, however, to the extent legally permitted and reasonably practicable, the recipient takes reasonable
steps to provide prompt notice to the disclosing party and uses its reasonable efforts to limit the scope of the use or disclosure
of such Confidential Information. The receiving Party shall only use Confidential Information for the purpose of strategic cooperation
with the other Party and not use it for any other purpose. Either Party is prohibited from publicly disclosing or leaking out the
Confidential Information without the prior written consent from the other Party. This clause shall survive the termination and
or expiry of this Agreement.

 

    	 	 1	 

     

    

 

		4.	Term of the Agreement

 

This Agreement shall take effect on the
date first above written and is valid for [three (3) years] (the “Term”). After the initial three-year period, the
Term of the Agreement will automatically renew for successive additional one year periods, unless Acorn or Cachet provides written
notice its intention not to renew not less than thirty (30) days’ prior to the end of current Term. The modification or premature
termination of this Agreement can only be made in writing after a consensus is reached between both Parties.

 

		5.	Governing Law

 

This Agreement shall be governed and construed
under the laws of the State of New York, without regard to its conflict of laws principles.

 

    	 	 2	 

     

    

 

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

 

Acorn International, Inc.

 

	By:  	/s/ Geoffrey Weiji Gao	 
	Name:	Geoffrey Weiji Gao	 
	Title:	CFO	 

 

Cachet Hotel Group Limited Cayman L.P.

 

By: Cachet Hotel Group Limited Cayman G.P.

 

	By:	/s/ Martin Key	 
	Name: 	Martin Key	 
	Title: 	CFO	 

 

    	 	 3

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