Document:

Exhibit 10.6

 

Execution Version

 

Leisure Acquisition Corp.

250 West 57th Street, Suite 2223

New York, NY 10107

 

September 11, 2017

 

Matthews Lane Capital Partners LLC

250 West 57th Street, Suite 2223

New York, NY 10107

 

RE: Securities Subscription Agreement

 

Ladies and Gentlemen:

 

We are pleased to accept the offer Matthews
Lane Capital Partners LLC (the “Subscriber” or “you”) has made to purchase 464,406 shares
of common stock (the “Shares”), par value $0.0001 per share (the “Common Stock”), which are
subject to complete or partial forfeiture by you if the underwriters of the initial public offering (“IPO”)
of units of Leisure Acquisition Corp., a Delaware corporation (the “Company”), do not fully exercise their over-allotment
option (the “Over-allotment Option”) or otherwise pursuant to Sections 3.2 or 3.3. The terms (this “Agreement”)
on which the Company is willing to sell the Shares to the Subscriber, and the Company and the Subscriber’s agreements regarding
such Shares, are as follows:

 

1.            Purchase
of Common Stock. For the sum of $1,615.33 (the “Purchase Price”), which the Company acknowledges receiving
in cash, the Company hereby sells and issues the Shares to the Subscriber, and the Subscriber hereby purchases the Shares from
the Company, subject to forfeiture, on the terms and subject to the conditions set forth in this Agreement. Concurrently with the
Subscriber’s execution of this Agreement, the Company shall deliver to the Subscriber a certificate registered in the Subscriber’s
name representing the Shares (the “Original Certificate”). The Subscriber hereby acknowledges receipt of the
Original Certificate. Concurrently with the execution and delivery hereof, the Company is entering into agreements similar to this
Agreement with certain other subscribers (the “Other Subscribers”), pursuant to which the Other Subscribers
are subscribing for 6,723,094 shares of Common Stock (the “Other Subscriber Shares”). MLCP GLL Funding LLC,
A. Lorne Weil, Hydra LAC, LLC, Matthews Lane Capital Partners LLC, Eric Carrera and George Peng are referred to herein as the “Specified
Subscribers.” In connection with the IPO, Hydra Management, LLC will transfer 75,000 of the Other Subscriber Shares received
by it to the independent directors of the Company. Such shares are referred to herein as the “Director Shares.”

 

2.            Representations,
Warranties and Agreements.

 

2.1.         Subscriber’s
Representations, Warranties and Agreements. To induce the Company to issue the Shares to the Subscriber, the Subscriber hereby
represents and warrants to the Company and agrees with the Company as follows:

 

     

     

    

 

2.1.1.          No
Government Recommendation or Approval. The Subscriber understands that no federal or state agency has passed upon or made any
recommendation or endorsement of the offering of the Shares.

 

2.1.2.          No
Conflicts. The execution, delivery and performance of this Agreement and the consummation by the Subscriber of the transactions
contemplated hereby do not violate, conflict with or constitute a default under (i) the formation and governing documents of the
Subscriber, (ii) any agreement, indenture or instrument to which the Subscriber is a party or (iii) any law, statute, rule or regulation
to which the Subscriber is subject, or any agreement, order, judgment or decree to which the Subscriber is subject.

 

2.1.3.          Organization
and Authority. The Subscriber is a Delaware limited liability company, validly existing and in good standing under the laws
of Delaware and possesses all requisite power and authority necessary to carry out the transactions contemplated by this Agreement.
Upon execution and delivery by you, this Agreement is a legal, valid and binding agreement of Subscriber, enforceable against Subscriber
in accordance with its terms, except as such enforceability may be limited by applicable bankruptcy, insolvency, fraudulent conveyance
or similar laws affecting the enforcement of creditors’ rights generally and subject to general principles of equity (regardless
of whether enforcement is sought in a proceeding at law or in equity).

 

2.1.4.          Experience,
Financial Capability and Suitability. Subscriber is: (i) sophisticated in financial matters and is able to evaluate the
risks and benefits of the investment in the Shares and (ii) able to bear the economic risk of its investment in the Shares for
an indefinite period of time because the Shares have not been registered under the Securities Act (as defined below). Subscriber
is capable of evaluating the merits and risks of its investment in the Company and has the capacity to protect its own interests.
Subscriber must bear the economic risk of this investment until the Shares are sold pursuant to: (i) an effective registration
statement under the Securities Act or (ii) an exemption from registration available with respect to such sale. Subscriber is able
to bear the economic risks of an investment in the Shares and afford a complete loss of Subscriber’s investment in the Shares.

 

2.1.5.          Access
to Information; Independent Investigation. Prior to the execution of this Agreement, the Subscriber has had the opportunity
to ask questions of, and receive answers from, representatives of the Company concerning an investment in the Company, as well
as the finances, operations, business and prospects of the Company, and the opportunity to obtain additional information to verify
the accuracy of all information so obtained. In determining whether to make this investment, Subscriber has relied solely on Subscriber’s
own knowledge and understanding of the Company and its business based upon Subscriber’s own due diligence investigation and
the information furnished pursuant to this paragraph. Subscriber understands that no person has been authorized to give any information
or to make any representations which were not furnished pursuant to this Section 2 and Subscriber has not relied on any other representations
or information in making its investment decision, whether written or oral, relating to the Company, its operations and/or its prospects.

 

2.1.6.          Regulation
D Offering. Subscriber represents that it is an “accredited investor” as such term is defined in Rule 501(a) of
Regulation D under the Securities Act of 1933, as amended (the “Securities Act”) and acknowledges the sale contemplated
hereby is being made in reliance on a private placement exemption to “accredited investors” within the meaning of Section
501(a) of Regulation D under the Securities Act or similar exemptions under state law.

 

    	 	2	 

     

    

 

2.1.7.          Investment
Purposes. The Subscriber is purchasing the Shares solely for investment purposes, for the Subscriber’s own account and
not for the account or benefit of any other person, and not with a view towards the distribution or dissemination thereof. The
Subscriber did not decide to enter into this Agreement as a result of any general solicitation or general advertising within the
meaning of Rule 502 under the Securities Act.

 

2.1.8.          Restrictions
on Transfer; Shell Company. Subscriber understands the Shares are being offered in a transaction not involving a public offering
within the meaning of the Securities Act. Subscriber understands the Shares will be “restricted securities” within
the meaning of Rule 144(a)(3) under the Securities Act and Subscriber understands that the certificates representing the Shares
will contain a legend in respect of such restrictions. If in the future the Subscriber decides to offer, resell, pledge or otherwise
transfer the Shares, such Shares may be offered, resold, pledged or otherwise transferred only pursuant to: (i) registration under
the Securities Act, or (ii) an available exemption from registration. Subscriber agrees that if any transfer of its Shares or any
interest therein is proposed to be made, as a condition precedent to any such transfer, Subscriber may be required to deliver to
the Company an opinion of counsel satisfactory to the Company. Absent registration or an exemption thereof, the Subscriber agrees
not to resell the Shares. Subscriber further acknowledges that because the Company is a shell company, Rule 144 may not be available
to the Subscriber for the resale of the Shares until one year following consummation of the initial business combination of the
Company (or until 12 months following the filing of “Form 10 information” pursuant to Rule 144(i)(2)), despite
the release or waiver of any contractual transfer restrictions.

 

2.1.9.          No
Governmental Consents. No governmental, administrative or other third party consents or approvals are required, necessary or
appropriate on the part of Subscriber in connection with the transactions contemplated by this Agreement.

 

2.2.         Company’s
Representations, Warranties and Agreements. To induce the Subscriber to purchase the Shares, the Company hereby represents
and warrants to the Subscriber and agrees with the Subscriber as follows:

 

2.2.1.          Organization
and Corporate Power. The Company is a Delaware corporation. The Company possesses all requisite corporate power and authority
necessary to carry out the transactions contemplated by this Agreement.

 

2.2.2.          No
Conflicts. The execution, delivery and performance of this Agreement and the consummation by the Company of the transactions
contemplated hereby do not violate, conflict with or constitute a default under (i) the Certificate of Incorporation or Bylaws
of the Company, (ii) any agreement, indenture or instrument to which the Company is a party or (iii) any law, statute, rule or
regulation to which the Company is subject, or any agreement, order, judgment or decree to which the Company is subject.

 

    	 	3	 

     

    

 

2.2.3.          Title
to Securities. Upon issuance in accordance with, and payment pursuant to, the terms hereof, the Shares will be duly and validly
issued, fully paid and nonassessable. Upon issuance in accordance with, and payment pursuant to, the terms hereof the Subscriber
will have or receive good title to the Shares, free and clear of all liens, claims and encumbrances of any kind, other than (a)
transfer restrictions hereunder and other agreements to which the Shares may be subject, (b) transfer restrictions under federal
and state securities laws, and (c) liens, claims or encumbrances imposed due to the actions of the Subscriber.

 

2.2.4.          No
Adverse Actions. There are no actions, suits, investigations or proceedings pending, threatened against or affecting the Company
which: (i) seek to restrain, enjoin, prevent the consummation of or otherwise affect the transactions contemplated by this Agreement
or (ii) question the validity or legality of any transactions or seeks to recover damages or to obtain other relief in connection
with any transactions.

 

2.2.5.          Capital
Stock. Other than the Shares and the Other Subscriber Shares, there are no issued and outstanding shares of capital stock of
the Company.

 

3.            Forfeiture
of Shares.

 

3.1.         Partial
or No Exercise of the Over-allotment Option. In the event the Over-allotment Option granted to the representative of the underwriters
of the Company’s IPO is not exercised in full, the Subscriber acknowledges and agrees that it shall forfeit any and all rights
to such number of Shares (pro rata with the Other Subscribers based upon the percentage of the Over-allotment Option exercised
and excluding the Director Shares from such calculation) such that immediately following such forfeiture, the Shares and the Other
Subscriber Shares will represent, in the aggregate, 20% of the shares of Common Stock (not including shares of Common Stock issuable
(i) upon the exercise of any warrants or (ii) pursuant to any share purchase agreement to be entered into between the Company and
the Other Subscribers) issued and outstanding immediately following the IPO.

 

3.2.         Transfer
Event. In the event that in the unanimous business judgment of each of Hydra Management, LLC, Matthews Lane Capital Partners LLC
and HG Vora Special Opportunities Master Fund, Ltd., in their respective sole discretion, it is deemed advisable for the holders
of the Other Subscriber Shares to transfer Shares in connection with the initial business combination, the Subscriber acknowledges
and agrees that it shall forfeit any and all rights to such number of Shares on a pro rata basis with the Other Subscribers, but
excluding the Director Shares from such calculation.

 

3.3.         Downsize
Event. In the event that there is a reduction in the number of shares offered in the IPO such that the Shares and the Other Subscriber
Shares would represent, in the aggregate, more than 20% of the shares of Common Stock issued and outstanding immediately following
the IPO, the Subscriber acknowledges and agrees that it shall forfeit any and all rights to such number of Shares (pro rata among
the Specified Subscribers) such that immediately following such forfeiture, the Shares and the Other Subscriber Shares (excluding
any Other Subscriber Shares held by HG Vora Special Opportunities Master Fund, Ltd.) will represent, in the aggregate, 12% of the
shares of Common Stock (not including shares of Common Stock issuable (i) upon the exercise of any warrants or (ii) pursuant to
any share purchase agreement to be entered into between the Company and the Other Subscribers) issued and outstanding immediately
following the IPO.

 

    	 	4	 

     

    

 

3.4.         Termination
of Rights as Stockholder. If any of the Shares are forfeited in accordance with this Section 3, then after such time the Subscriber
(or successor in interest), shall no longer have any rights as a holder of such Shares, and the Company shall take such action
as is appropriate to cancel such Shares.

 

3.5.         Share
Certificates; Stop Transfer Order. In the event an adjustment to the Original Certificate is required pursuant to this Section
3, then the Subscriber shall return such Original Certificate to the Company or its designated agent as soon as practicable upon
its receipt of notice from the Company advising Subscriber of such adjustment, following which a new certificate (the “New
Certificate”) shall be issued in such amount representing the adjusted number of Shares held by the Subscriber. The New
Certificate shall be returned to the Subscriber as soon as practicable.

 

4.            Waiver
of Liquidation Distributions; Redemption Rights. In connection with the Shares purchased pursuant to this Agreement, the Subscriber
hereby waives any and all right, title, interest or claim of any kind in or to any distributions by the Company from the trust
account which will be established for the benefit of the Company’s public stockholders and into which substantially all of
the proceeds of the IPO will be deposited (the “Trust Account”), in the event of a liquidation of the Company
upon the Company’s failure to timely complete an initial business combination. For purposes of clarity, in the event the
Subscriber purchases Common Stock in the IPO or in the aftermarket, any additional Common Stock so purchased shall be eligible
to receive liquidating distributions by the Company. However, in no event will the Subscriber have the right to redeem any Shares
in exchange for funds held in the Trust Account upon the successful completion of an initial business combination.

 

5.            Restrictions
on Transfer.

 

5.1.        Securities
Law Restrictions. In addition to any restrictions to be contained in that certain letter agreement (commonly known as an “Insider
Letter”) dated as of the closing of the IPO by and between Subscriber and the Company and subject to the exceptions contained
therein, Subscriber agrees not to sell, transfer, pledge, hypothecate or otherwise dispose of all or any part of the Shares unless,
prior thereto (a) a registration statement on the appropriate form under the Securities Act and applicable state securities laws
with respect to the Shares proposed to be transferred shall then be effective or (b) the Company has received an opinion from counsel
reasonably satisfactory to the Company, that such registration is not required because such transaction is exempt from registration
under the Securities Act and the rules promulgated by the Securities and Exchange Commission thereunder and all applicable state
securities laws.

 

5.2.        Lock-up.
Subscriber acknowledges that the Shares will be subject to lock-up provisions (the “Lock-up”) contained in the
Insider Letter and subject to the exceptions contained therein. Pursuant to the Insider Letter, Subscriber will agree not to sell,
transfer, pledge, hypothecate or otherwise dispose of all or any part of the Shares until the earlier to occur of: (A) one year
after the completion of the Company’s initial business combination or (B) the date on which the Company completes a liquidation,
merger, stock exchange or other similar transaction after its initial business combination that results in all of its stockholders
having the right to exchange their shares of common stock for cash, securities or other property. Notwithstanding the foregoing,
if the last sale price of the Common Stock equals or exceeds $12.00 per share (as adjusted for stock splits, stock dividends, reorganizations,
recapitalizations and the like) for any 20 trading days within any 30-trading day period commencing at least 150 days after
the Company’s initial business combination, or (2) if the Company consummates a transaction after its initial business combination
which results in its stockholders having the right to exchange their shares for cash or property, the Shares will be released from
the Lock-up.

 

    	 	5	 

     

    

 

5.3.        Restrictive
Legends. All certificates representing the Shares shall have endorsed thereon legends substantially as follows:

 

“THE SECURITIES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED
UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR ANY STATE SECURITIES LAWS AND NEITHER THE SECURITIES NOR ANY INTEREST THEREIN
MAY BE OFFERED, SOLD, TRANSFERRED, PLEDGED OR OTHERWISE DISPOSED OF EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER
SUCH ACT OR SUCH LAWS OR AN EXEMPTION FROM REGISTRATION UNDER SUCH ACT AND SUCH LAWS WHICH, IN THE OPINION OF COUNSEL TO THE COMPANY,
IS AVAILABLE.”

 

“THE SECURITIES REPRESENTED BY THIS CERTIFICATE ARE SUBJECT
TO A LOCKUP AND MAY NOT BE OFFERED, SOLD, TRANSFERRED, PLEDGED OR OTHERWISE DISPOSED DURING THE TERM OF THE LOCKUP EXCEPT PURSUANT
TO ITS TERMS.”

 

5.4.        Additional
Shares or Substituted Securities. In the event of the declaration of a share dividend, the declaration of an extraordinary
dividend payable in a form other than Common Stock, a spin-off, a share split, an adjustment in conversion ratio, a recapitalization
or a similar transaction affecting the Company’s outstanding Common Stock without receipt of consideration, any new, substituted
or additional securities or other property which are by reason of such transaction distributed with respect to any Shares or into
which such Shares thereby become convertible shall immediately be subject to this Section 5 and Section 3. Appropriate adjustments
to reflect the distribution of such securities or property shall be made to the number and/or class of Shares subject to this Agreement.

 

5.5.         Registration
Rights. Subscriber acknowledges that the Shares are being purchased pursuant to an exemption from the registration requirements
of the Securities Act and will become freely tradable only after certain conditions are met or they are registered in accordance
with the terms of the Registration Rights Agreement to be entered into between the Subscriber and the Company prior to the closing
of the IPO.

 

6.            Other
Agreements.

 

6.1.         Further
Assurances. Subscriber agrees to execute such further instruments and to take such further action as may reasonably be necessary
to carry out the intent of this Agreement.

 

    	 	6	 

     

    

 

6.2.        Notices.
All notices, statements or other documents which are required or contemplated by this Agreement shall be made in writing and delivered
(i) personally or sent by first class registered or certified mail, or overnight courier service, to the address most recently
provided to such party or such other address as may be designated in writing by such party, (ii) by facsimile to the number
most recently provided to such party or such other fax number as may be designated in writing by such party or (iii) by electronic
mail, to the electronic mail address most recently provided to such party or such other electronic mail address as may be designated
in writing by such party. Any notice or other communication so transmitted shall be deemed to have been given on the day of delivery,
if delivered personally, on the business day following receipt of written confirmation, if sent by facsimile or electronic transmission,
one (1) business day after delivery to an overnight courier service or five (5) days after mailing if sent by mail.

 

6.3.        Entire
Agreement. This Agreement, together with that certain Insider Letter and that certain Registration Rights Agreement, each to
be entered into between Subscriber and the Company, substantially in the form to be filed as an exhibit to the Registration Statement
filed with the Securities and Exchange Commission in connection with the Company’s IPO, embodies the entire agreement and
understanding between the Subscriber and the Company with respect to the subject matter hereof and supersedes all prior oral or
written agreements and understandings relating to the subject matter hereof. No statement, representation, warranty, covenant or
agreement of any kind not expressly set forth in this Agreement shall affect, or be used to interpret, change or restrict, the
express terms and provisions of this Agreement.

 

6.4.        Modifications
and Amendments. The terms and provisions of this Agreement may be modified or amended only by written agreement executed by
all parties hereto.

 

6.5.        Waivers
and Consents. The terms and provisions of this Agreement may be waived, or consent for the departure therefrom granted, only
by a written document executed by the party entitled to the benefits of such terms or provisions. No such waiver or consent shall
be deemed to be or shall constitute a waiver or consent with respect to any other terms or provisions of this Agreement, whether
or not similar. Each such waiver or consent shall be effective only in the specific instance and for the purpose for which it was
given, and shall not constitute a continuing waiver or consent.

 

6.6.        Assignment.
The rights and obligations under this Agreement may not be assigned by either party hereto without the prior written consent of
the other party, except to an affiliate of the Subscriber who agrees to be bound to the terms of this Agreement.

 

6.7.        Benefit.
All statements, representations, warranties, covenants and agreements in this Agreement shall be binding on the parties hereto
and shall inure to the benefit of the respective successors and permitted assigns of each party hereto. Nothing in this Agreement
shall be construed to create any rights or obligations except among the parties hereto, and no person or entity shall be regarded
as a third-party beneficiary of this Agreement.

 

    	 	7	 

     

    

 

6.8.        Governing
Law. This Agreement and the rights and obligations of the parties hereunder shall be construed in accordance with and governed
by the laws of New York applicable to contracts wholly performed within the borders of such state, without giving effect to the
conflict of law principles thereof.

 

6.9.        Severability.
In the event that any court of competent jurisdiction shall determine that any provision, or any portion thereof, contained in
this Agreement shall be unreasonable or unenforceable in any respect, then such provision shall be deemed limited to the extent
that such court deems it reasonable and enforceable, and as so limited shall remain in full force and effect. In the event that
such court shall deem any such provision, or portion thereof, wholly unenforceable, the remaining provisions of this Agreement
shall nevertheless remain in full force and effect.

 

6.10.       No
Waiver of Rights, Powers and Remedies. No failure or delay by a party hereto in exercising any right, power or remedy under
this Agreement, and no course of dealing between the parties hereto, shall operate as a waiver of any such right, power or remedy
of such party. No single or partial exercise of any right, power or remedy under this Agreement by a party hereto, nor any abandonment
or discontinuance of steps to enforce any such right, power or remedy, shall preclude such party from any other or further exercise
thereof or the exercise of any other right, power or remedy hereunder. The election of any remedy by a party hereto shall not constitute
a waiver of the right of such party to pursue other available remedies. No notice to, or demand on, a party not expressly required
under this Agreement shall entitle the party receiving such notice or demand to receive any other or further notice or demand in
similar or other circumstances or constitute a waiver of the rights of the party giving such notice or demand to any other or further
action in any circumstances without such notice or demand.

 

6.11.       Survival
of Representations and Warranties. All representations and warranties made by the parties hereto in this Agreement or in any
other agreement, certificate or instrument provided for or contemplated hereby, shall survive the execution and delivery hereof
and any investigations made by or on behalf of the parties.

 

6.12.         No
Broker or Finder. Each of the parties hereto represents and warrants to the other that no broker, finder or other financial
consultant has acted on its behalf in connection with this Agreement or the transactions contemplated hereby in such a way as to
create any liability on the other. Each of the parties hereto agrees to indemnify and save the other harmless from any claim or
demand for commission or other compensation by any broker, finder, financial consultant or similar agent claiming to have been
employed by or on behalf of such party and to bear the cost of legal expenses incurred in defending against any such claim.

 

6.13.       Headings
and Captions. The headings and captions of the various subdivisions of this Agreement are for convenience of reference only
and shall in no way modify or affect the meaning or construction of any of the terms or provisions hereof.

 

6.14.       Counterparts.
This Agreement may be executed in one 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 the other party, it being
understood that both parties need not sign the same counterpart. In the event that any signature is delivered by facsimile transmission
or any other form of electronic delivery, 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 signature page were an original thereof.

 

    	 	8	 

     

    

 

6.15.       Construction.
The words “include,” “includes,” and “including” will be deemed to be
followed by “without limitation.” Pronouns in masculine, feminine, and neuter genders will be construed to include
any other gender, and words in the singular form will be construed to include the plural and vice versa, unless the context otherwise
requires. The words “this Agreement,” “herein,” “hereof,” “hereby,”
“hereunder,” and words of similar import refer to this Agreement as a whole and not to any particular subdivision
unless expressly so limited. The parties hereto intend that each representation, warranty, and covenant contained herein will have
independent significance. If any party hereto has breached any representation, warranty, or covenant contained herein in any respect,
the fact that there exists another representation, warranty or covenant relating to the same subject matter (regardless of the
relative levels of specificity) which such party hereto has not breached will not detract from or mitigate the fact that such party
hereto is in breach of the first representation, warranty, or covenant.

 

6.16.       Mutual
Drafting. This Agreement is the joint product of the Subscriber and the Company and each provision hereof has been subject
to the mutual consultation, negotiation and agreement of such parties and shall not be construed for or against any party hereto.

 

7.            Voting
and Tender of Shares. Subscriber agrees to vote the Shares in favor of an initial business combination that the Company negotiates
and submits for approval to the Company’s stockholders and shall not seek redemption with respect to such Shares. Additionally,
the Subscriber agrees not to tender any Shares in connection with a tender offer presented to the Company’s stockholders
in connection with an initial business combination negotiated by the Company.

 

8.            Indemnification.
Each party shall indemnify the other against any loss, cost or damages (including reasonable attorney’s fees and expenses)
incurred as a result of such party’s breach of any representation, warranty, covenant or agreement in this Agreement.

 

[Signature Page Follows]

 

    	 	9	 

     

    

 

If the foregoing accurately sets forth our
understanding and agreement, please sign the enclosed copy of this Agreement and return it to us.

 

	 	Very truly yours,
	 	 
	 	LEISURE ACQUISITION CORP.
	 	 
	 	By:	/s/ George Peng
	 	 	Name: George Peng
	 	 	Title: Chief Financial Officer, Treasurer and Secretary

 

	MATTHEWS LANE CAPITAL PARTNERS LLC	 
	 	 
	By:	/s/ Daniel B. Silvers	 
	 	Name: Daniel B. Silvers	 
	 	Title:  Authorized Signatory	 

 

[Signature page to Subscription Agreement]Exhibit 10.7

 

FORM OF WARRANT
PURCHASE AGREEMENT

 

THIS WARRANT PURCHASE AGREEMENT, dated as
of [_______], 2017 (as it may from time to time be amended and including all schedules referenced herein, this “Agreement”),
is entered into by and between Leisure Acquisition Corp., a Delaware corporation (the “Company”), and each of
the purchasers that are signatories hereto (each, a “Purchaser” and collectively, (the “Purchasers”).

 

The Company intends to consummate a public
offering of the Company’s units (the “Public Offering”), each unit consisting of one share of the
Company’s common stock, par value $0.0001 per share (a “Share”), and one-half of one warrant. Each whole
warrant entitles the holder to purchase one Share at an exercise price of $11.50 per Share, and only whole warrants are exercisable.
The Purchasers have agreed to purchase an aggregate of 7,825,000 warrants (or up to 8,575,000 warrants if the over-allotment option
in connection with the Public Offering is exercised in full) (the “Placement Warrants”), allocated among
the Purchasers as set forth in Schedule A hereto, each Placement Warrant entitling the holder to purchase one Share at an
exercise price of $11.50 per Share.

 

NOW THEREFORE, in consideration of the mutual
promises contained in this Agreement and other good and valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, the parties to this Agreement hereby, intending legally to be bound, agree as follows:

 

AGREEMENT

 

Section
1.             Authorization, Purchase and Sale; Terms of the
Placement Warrants.

 

A.           Authorization
of the Placement Warrants. The Company has duly authorized the issuance and sale of the Placement Warrants to the Purchasers.

 

B.           Purchase
and Sale of the Placement Warrants.

 

(i)          On
the date of the consummation of the Public Offering or on such earlier time and date as may be mutually agreed by the Purchasers
and the Company (the “Closing Date”), the Company shall issue and sell to the Purchasers, and the Purchasers
shall purchase from the Company, the Placement Warrants at a price of $1.00 per warrant for an aggregate purchase price of $7,825,000
(the “Purchase Price”), allocated among the Purchasers as set forth in Schedule A hereto, which
shall be paid by wire transfer of immediately available funds to the Company in accordance with the Company’s wiring instructions.
On the Closing Date, upon the payment by the Purchasers of the Purchase Price by wire transfer of immediately available funds to
the Company, the Company shall, at its option, deliver certificates evidencing the Placement Warrants duly registered in the Purchasers’
names to the Purchasers, or effect such delivery in book-entry form.

 

     

     

    

 

(ii)         On
the date of the consummation of the closing of the over-allotment option in connection with the Public Offering or on such earlier
time and date as may be mutually agreed by the Purchasers and the Company (the “Over-allotment Closing Date”
and together with the Closing Date, the “Closing Dates”), the Company shall issue and sell to the Purchasers,
and the Purchasers shall purchase from the Company, in an amount proportionate to the percentage exercised of the over-allotment
option, the Placement Warrants at a price of $1.00 per warrant for an aggregate purchase price of up to $750,000 (if the over-allotment
option in connection with the Public Offering is exercised in full) (the “Over-allotment Purchase Price”), allocated
among the Purchasers as set forth in Schedule A hereto, which shall be paid by wire transfer of immediately available funds
to the Company in accordance with the Company’s wiring instructions. On the Over-allotment Closing Date, upon the payment
by the Purchasers of the Over-allotment Purchase Price by wire transfer of immediately available funds to the Company, the Company
shall, at its option, deliver certificates evidencing the Placement Warrants duly registered in the Purchasers’ names to
the Purchasers, or effect such delivery in book-entry form.

 

C.           Terms
of the Placement Warrants.

 

(i)          Each
Placement Warrant shall have the terms set forth in a Warrant Agreement to be entered into by the Company and a warrant agent,
in connection with the Public Offering (a “Warrant Agreement”).

 

(ii)         At
the time of the closing of the Public Offering, the Company and the Purchasers shall enter into a registration rights agreement
(the “Registration Rights Agreement”) pursuant to which the Company will grant certain registration rights to
the Purchasers relating to the Placement Warrants and the Shares underlying the Placement Warrants.

 

Section
2.             Representations and Warranties of the Company.
As a material inducement to the Purchasers to enter into this Agreement and purchase the Placement Warrants, the Company hereby
represents and warrants to the Purchasers (which representations and warranties shall survive the Closing Dates) that:

 

A.           Organization
and Corporate Power. The Company is a corporation duly organized, validly existing and in good standing under the laws of the
State of Delaware and is qualified to do business in every jurisdiction in which the failure to so qualify would reasonably be
expected to have a material adverse effect on the financial condition, operating results or assets of the Company. The Company
possesses all requisite corporate power and authority necessary to carry out the transactions contemplated by this Agreement and
the Warrant Agreement.

 

B.           Authorization;
No Breach.

 

(i)          The
execution, delivery and performance of this Agreement and the Placement Warrants have been duly authorized by the Company as of
the Closing Date. This Agreement constitutes the valid and binding obligation of the Company, enforceable in accordance with its
terms, subject to bankruptcy, insolvency, fraudulent conveyance, reorganization, moratorium and other laws of general applicability
relating to or affecting creditors’ rights and to general equitable principles (whether considered in a proceeding in equity
or law). Upon issuance in accordance with, and payment pursuant to, the terms of the Warrant Agreement and this Agreement, the
Placement Warrants will constitute valid and binding obligations of the Company, enforceable in accordance with their terms as
of the Closing Dates.

 

    	 	2	 

     

    

 

(ii)         The
execution and delivery by the Company of this Agreement and the Placement Warrants, the issuance and sale of the Placement Warrants,
the issuance of the Shares upon exercise of the Placement Warrants and the fulfillment, of and compliance with, the respective
terms hereof and thereof by the Company, do not and will not as of the Closing Dates (a) conflict with or result in a breach of
the terms, conditions or provisions of, (b) constitute a default under, (c) result in the creation of any lien, security interest,
charge or encumbrance upon the Company’s capital stock or assets under, (d) result in a violation of, or (e) require any
authorization, consent, approval, exemption or other action by or notice or declaration to, or filing with, any court or administrative
or governmental body or agency pursuant to the certificate of incorporation of the Company or the By Laws of the Company (in effect
on the date hereof or as may be amended prior to completion of the contemplated Public Offering), or any material law, statute,
rule or regulation to which the Company is subject, or any agreement, order, judgment or decree to which the Company is subject,
except for any filings required after the date hereof under federal or state securities laws.

 

C.           Title
to Securities. Upon issuance in accordance with, and payment pursuant to, the terms hereof and the Warrant Agreement, the Shares
issuable upon exercise of the Placement Warrants will be duly and validly issued, fully paid and nonassessable. Upon issuance in
accordance with, and payment pursuant to, the terms hereof and the Warrant Agreement, the Purchasers will have good title to the
Placement Warrants and the Shares issuable upon exercise of such Placement Warrants, free and clear of all liens, claims and encumbrances
of any kind, other than (i) transfer restrictions hereunder and under the other agreements contemplated hereby, (ii) transfer restrictions
under federal and state securities laws, and (iii) liens, claims or encumbrances imposed due to the actions of the Purchasers.

 

D.           Governmental
Consents. No permit, consent, approval or authorization of, or declaration to or filing with, any governmental authority is
required in connection with the execution, delivery and performance by the Company of this Agreement or the consummation by the
Company of any other transactions contemplated hereby.

 

Section
3.             Representations and Warranties of the Purchasers.
As a material inducement to the Company to enter into this Agreement and issue and sell the Placement Warrants to the Purchasers,
each of the Purchasers hereby represents and warrants to the Company (which representations and warranties shall survive the Closing
Dates) that:

 

A.           Organization
and Requisite Authority. The Purchaser possesses all requisite power and authority necessary to carry out the transactions
contemplated by this Agreement.

 

B.           Authorization;
No Breach.

 

(i)          This
Agreement constitutes a valid and binding obligation of the Purchaser, enforceable in accordance with its terms, subject to bankruptcy,
insolvency, fraudulent conveyance, reorganization, moratorium and other laws of general applicability relating to or affecting
creditors’ rights and to general equitable principles (whether considered in a proceeding in equity or law).

 

(ii)         The
execution and delivery by the Purchaser of this Agreement and the fulfillment of and compliance with the terms hereof by the Purchaser
does not and shall not as of the Closing Dates conflict with or result in a breach by the Purchaser of the terms, conditions or
provisions of any agreement, instrument, order, judgment or decree to which the Purchaser is subject.

 

C.           Investment
Representations.

 

    	 	3	 

     

    

 

(i)          The
Purchaser is acquiring the Placement Warrants and, upon exercise of the Placement Warrants, the Shares issuable upon such exercise
(collectively, the “Securities”), for the Purchaser’s own account, for investment purposes only and not
with a view towards, or for resale in connection with, any public sale or distribution thereof.

 

(ii)         The
Purchaser is an “accredited investor” as such term is defined in Rule 501(a)(3) of Regulation D under the Securities
Act of 1933, as amended (the “Securities Act”).

 

(iii)        The
Purchaser understands that the Securities are being offered and will be sold to it in reliance on specific exemptions from the
registration requirements of the United States federal and state securities laws and that the Company is relying upon the truth
and accuracy of, and the Purchaser’s compliance with, the representations and warranties of the Purchaser set forth herein
in order to determine the availability of such exemptions and the eligibility of the Purchaser to acquire such Securities.

 

(iv)        The
Purchaser did not decide to enter into this Agreement as a result of any general solicitation or general advertising within the
meaning of Rule 502(c) under the Securities Act.

 

(v)         The
Purchaser has been furnished with all materials relating to the business, finances and operations of the Company and materials
relating to the offer and sale of the Securities which have been requested by the Purchaser. The Purchaser has been afforded the
opportunity to ask questions of the executive officers and directors of the Company. The Purchaser understands that its investment
in the Securities involves a high degree of risk and it has sought such accounting, legal and tax advice as it has considered necessary
to make an informed investment decision with respect to the acquisition of the Securities.

 

(vi)        The
Purchaser understands that no United States federal or state agency or any other government or governmental agency has passed on
or made any recommendation or endorsement of the Securities or the fairness or suitability of the investment in the Securities
by the Purchaser nor have such authorities passed upon or endorsed the merits of the offering of the Securities.

 

(vii)       The
Purchaser understands that: (a) the Securities have not been and are not being registered under the Securities Act or any state
securities laws, and may not be offered for sale, sold, assigned or transferred unless (1) subsequently registered thereunder or
(2) sold in reliance on an exemption therefrom; and (b) except as specifically set forth in the Registration Rights Agreement,
neither the Company nor any other person is under any obligation to register the Securities under the Securities Act or any state
securities laws or to comply with the terms and conditions of any exemption thereunder. In this regard, the Purchaser understands
that the Securities and Exchange Commission has taken the position that promoters or affiliates of a blank check company and their
transferees, both before and after a Business Combination, are deemed to be “underwriters” under the Securities Act
when reselling the securities of a blank check company. Based on that position, Rule 144 adopted pursuant to the Securities Act
would not be available for resale transactions of the Securities despite technical compliance with the requirements of such Rule,
and the Securities can be resold only through a registered offering or in reliance upon another exemption from the registration
requirements of the Securities Act.

 

    	 	4	 

     

    

 

(viii)      The
Purchaser has such knowledge and experience in financial and business matters, knowledge of the high degree of risk associated
with investments in the securities of companies in the development stage such as the Company, is capable of evaluating the merits
and risks of an investment in the Securities and is able to bear the economic risk of an investment in the Securities in the amount
contemplated hereunder for an indefinite period of time. The Purchaser has adequate means of providing for its current financial
needs and contingencies and will have no current or anticipated future needs for liquidity which would be jeopardized by the investment
in the Securities. The Purchaser can afford a complete loss of its investments in the Securities.

 

Section
4.             Conditions of the Purchasers’ Obligations.
The obligations of the Purchasers to purchase and pay for the Placement Warrants are subject to the fulfillment, on or before the
Closing Dates, of each of the following conditions:

 

A.           Representations
and Warranties. The representations and warranties of the Company contained in Section 2 shall be true and correct at and as
of the Closing Dates as though then made.

 

B.           Performance.
The Company shall have performed and complied with all agreements, obligations and conditions contained in this Agreement that
are required to be performed or complied with by it on or before the Closing Dates.

 

C.           No
Injunction. No litigation, statute, rule, regulation, executive order, decree, ruling or injunction shall have been enacted,
entered, promulgated or endorsed by or in any court or governmental authority of competent jurisdiction or any self-regulatory
organization having authority over the matters contemplated hereby, which prohibits the consummation of any of the transactions
contemplated by this Agreement or the Warrant Agreement.

 

D.           Warrant
Agreement. The Company shall have entered into a Warrant Agreement with a warrant agent on terms satisfactory to the Purchasers.

 

E.           Public
Offering.

 

(i)          With
respect to the Closing Date, the Company shall have consummated the Public Offering.

 

(ii)         With
respect to the Over-allotment Closing Date, the Company shall have consummated the over-allotment option in connection with the
Public Offering, without regard to the extent to which the over-allotment option is exercised.

 

Section
5.             Conditions of the Company’s Obligations.
The obligations of the Company to the Purchasers under this Agreement are subject to the fulfillment, on or before the Closing
Dates, of each of the following conditions:

 

A.           Representations
and Warranties. The representations and warranties of each of the Purchasers contained in Section 3 shall be true and correct
at and as of the Closing Dates as though then made.

 

B.           Performance.
Each of the Purchasers shall have performed and complied with all agreements, obligations and conditions contained in this Agreement
that are required to be performed or complied with by such Purchaser on or before the Closing Dates.

 

    	 	5	 

     

    

 

C.           No
Injunction. No litigation, statute, rule, regulation, executive order, decree, ruling or injunction shall have been enacted,
entered, promulgated or endorsed by or in any court or governmental authority of competent jurisdiction or any self-regulatory
organization having authority over the matters contemplated hereby, which prohibits the consummation of any of the transactions
contemplated by this Agreement or the Warrant Agreement.

 

D.           Warrant
Agreement. The Company shall have entered into a Warrant Agreement with a warrant agent on terms satisfactory to the Company.

 

Section
6.             Termination. This Agreement may be terminated at
any time after June 30, 2018 upon the election by either the Company or any Purchasers entitled to purchase at least a majority
of the Placement Warrants upon written notice to the other parties if the closing of the Public Offering does not occur prior to
such date.

 

Section
7.             Survival of Representations and Warranties. All
of the representations and warranties contained herein shall survive the Closing Dates.

 

Section
8.             Definitions. Terms used but not otherwise defined
in this Agreement shall have the meaning assigned to such terms in the registration statement on Form S-1 the Company plans to
file with the Securities and Exchange Commission, under the Securities Act.

 

Section
9.             Miscellaneous.

 

A.           Successors
and Assigns. Except as otherwise expressly provided herein, all covenants and agreements contained in this Agreement by or
on behalf of any of the parties hereto shall bind and inure to the benefit of the respective successors of the parties hereto whether
so expressed or not. Notwithstanding the foregoing or anything to the contrary herein, the parties may not assign this Agreement,
other than assignments by the Purchasers to affiliates thereof.

 

B.           Severability.
Whenever possible, each provision of this Agreement shall be interpreted in such manner as to be effective and valid under applicable
law, but if any provision of this Agreement is held to be prohibited by or invalid under applicable law, such provision shall be
ineffective only to the extent of such prohibition or invalidity, without invalidating the remainder of this Agreement.

 

C.           Counterparts.
This Agreement may be executed simultaneously in two or more counterparts, none of which need contain the signatures of more than
one party, but all such counterparts taken together shall constitute one and the same agreement.

 

D.           Descriptive
Headings; Interpretation. The descriptive headings of this Agreement are inserted for convenience only and do not constitute
a substantive part of this Agreement. The use of the word “including” in this Agreement shall be by way of example
rather than by limitation.

 

E.           Governing
Law. This Agreement shall be deemed to be a contract made under the laws of the State of New York and for all purposes shall
be construed in accordance with the internal laws of the State of New York.

 

 

F.           Amendments.
This letter agreement may not be amended, modified or waived as to any particular provision, except by a written instrument executed
by all parties hereto.

 

[Signature page follows]

 

    	 	6	 

     

    

 

IN WITNESS WHEREOF, the parties hereto
have executed this Agreement to be effective as of the date first set forth above.

 

	 	COMPANY:
	 	 
	 	LEISURE ACQUISITION CORP.
	 	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:
	 	 	 
	 	PURCHASERS:
	 	 
	 	 
	 	A. Lorne Weil
	 	 
	 	 
	 	George Peng
	 	 
	 	 
	 	Eric Carrera

 

    	 	7	 

     

    

 

	 	MLCP GLL FUNDING LLC
	 	 
	 	By: Matthews Lane Capital Partners LLC, its Manager
	 	 	 
	 	By:	 
	 	 	Name:
	 	 
	 	HYDRA LAC, LLC
	 	 	 
	 	By:	 
	 	 	Name:
	 	 	 
	 	HG VORA SPECIAL OPPORTUNITIES MASTER FUND, LTD.
	 	 
	 	By: HG Vora Capital Management, LLC, as investment adviser
	 	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:

 

    	 	8	 

     

    

 

SCHEDULE
A

 

	Purchaser	 	Closing Date
 Purchase Price	 	 	Closing Date
 Placement
 Warrants	 	 	Over-allotment
 Closing Date
 Purchase Price	 	 	Over-allotment
 Closing Date
 Placement
 Warrants	 
	A. Lorne Weil	 	$	 	 	 	 	 	 	 	$	 	 	 	 	 	 
	George Peng	 	$	 	 	 	 	 	 	 	$	 	 	 	 	 	 
	Eric Carrera	 	$	 	 	 	 	 	 	 	$	 	 	 	 	 	 
	MLCP GLL Funding LLC	 	$	 	 	 	 	 	 	 	$	 	 	 	 	 	 
	Hydra LAC, LLC	 	$	 	 	 	 	 	 	 	$	 	 	 	 	 	 
	HG Vora Special Opportunities Master Fund, Ltd.	 	$	 	 	 	 	 	 	 	$	 	 	 	 	 	 
	Total	 	$	7,825,000.00	 	 	 	7,825,000	 	 	$	8,575,000.00	 	 	 	8,575,000

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