Document:

EX-4.9

 Exhibit 4.9 

SAVARA INC., 
 ISSUER

 AND 
 [TRUSTEE],

 TRUSTEE 

INDENTURE 
 DATED AS
OF        , 20 
 SUBORDINATED DEBT SECURITIES 

 TABLE OF CONTENTS 

 

							
	 	 	 	  	Page	 
	 ARTICLE 1 DEFINITIONS
	  	 	1	
			
	             Section 1.1
	 	Definitions of Terms	  	 	1	
		
	 ARTICLE 2 ISSUE, DESCRIPTION, TERMS, EXECUTION, REGISTRATION AND EXCHANGE OF
SECURITIES
	  	 	5	
			
	             Section 2.1
	 	Designation and Terms of Securities	  	 	5	
	             Section 2.2
	 	Form of Securities and Trustee’s Certificate	  	 	7	
	             Section 2.3
	 	Denominations: Provisions for Payment	  	 	8	
	             Section 2.4
	 	Execution and Authentications	  	 	9	
	             Section 2.5
	 	Registration of Transfer and Exchange	  	 	10	
	             Section 2.6
	 	Temporary Securities	  	 	11	
	             Section 2.7
	 	Mutilated, Destroyed, Lost or Stolen Securities	  	 	11	
	             Section 2.8
	 	Cancellation	  	 	12	
	             Section 2.9
	 	Benefits of Indenture	  	 	12	
	             Section 2.10
	 	Authenticating Agent	  	 	13	
	             Section 2.11
	 	Global Securities	  	 	13	
		
	 ARTICLE 3 REDEMPTION OF SECURITIES AND SINKING FUND PROVISIONS
	  	 	14	
			
	             Section 3.1
	 	Redemption	  	 	14	
	             Section 3.2
	 	Notice of Redemption	  	 	14	
	             Section 3.3
	 	Payment Upon Redemption	  	 	16	
	             Section 3.4
	 	Sinking Fund	  	 	16	
	             Section 3.5
	 	Satisfaction of Sinking Fund Payments with Securities	  	 	16	
	             Section 3.6
	 	Redemption of Securities for Sinking Fund	  	 	17	
		
	 ARTICLE 4 COVENANTS
	  	 	17	
			
	             Section 4.1
	 	Payment of Principal, Premium and Interest	  	 	17	
	             Section 4.2
	 	Maintenance of Office or Agency	  	 	18	
	             Section 4.3
	 	Paying Agents	  	 	18	
	             Section 4.4
	 	Appointment to Fill Vacancy in Office of Trustee	  	 	19	
	             Section 4.5
	 	Compliance with Consolidation Provisions	  	 	19	
		
	 ARTICLE 5 SECURITYHOLDERS’ LISTS AND REPORTS BY THE COMPANY AND THE
TRUSTEE
	  	 	19	
			
	             Section 5.1
	 	Company to Furnish Trustee Names and Addresses of Securityholders	  	 	19	
	             Section 5.2
	 	Preservation Of Information; Communications With Securityholders	  	 	20	
	             Section 5.3
	 	Reports by the Company	  	 	20	
	             Section 5.4
	 	Reports by the Trustee	  	 	20	

  
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 TABLE OF CONTENTS 

(Continued) 
  

							
	 	 	 	  	Page	 
	 ARTICLE 6 REMEDIES OF THE TRUSTEE AND SECURITYHOLDERS ON EVENT OF DEFAULT
	  	 	21	
			
	             Section 6.1
	 	Events of Default	  	 	21	
	             Section 6.2
	 	Collection of Indebtedness and Suits for Enforcement by Trustee	  	 	22	
	             Section 6.3
	 	Application of Moneys Collected	  	 	24	
	             Section 6.4
	 	Limitation on Suits	  	 	24	
	             Section 6.5
	 	Rights and Remedies Cumulative; Delay or Omission Not Waiver	  	 	25	
	             Section 6.6
	 	Control by Securityholders	  	 	25	
	             Section 6.7
	 	Undertaking to Pay Costs	  	 	26	
		
	 ARTICLE 7 CONCERNING THE TRUSTEE
	  	 	26	
			
	             Section 7.1
	 	Certain Duties and Responsibilities of Trustee	  	 	26	
	             Section 7.2
	 	Certain Rights of Trustee	  	 	27	
	             Section 7.3
	 	Trustee Not Responsible for Recitals or Issuance or Securities	  	 	29	
	             Section 7.4
	 	May Hold Securities	  	 	29	
	             Section 7.5
	 	Moneys Held in Trust	  	 	29	
	             Section 7.6
	 	Compensation and Reimbursement	  	 	29	
	             Section 7.7
	 	Reliance on Officer’s Certificate	  	 	30	
	             Section 7.8
	 	Disqualification; Conflicting Interests	  	 	30	
	             Section 7.9
	 	Corporate Trustee Required; Eligibility	  	 	30	
	             Section 7.10
	 	Resignation and Removal; Appointment of Successor	  	 	31	
	             Section 7.11
	 	Acceptance of Appointment By Successor	  	 	32	
	             Section 7.12
	 	Merger, Conversion, Consolidation or Succession to Business	  	 	33	
	             Section 7.13
	 	Preferential Collection of Claims Against the Company	  	 	34	
	             Section 7.14
	 	Notice of Default	  	 	34	
		
	 ARTICLE 8 CONCERNING THE SECURITYHOLDERS
	  	 	34	
			
	             Section 8.1
	 	Evidence of Action by Securityholders	  	 	34	
	             Section 8.2
	 	Proof of Execution by Securityholders	  	 	35	
	             Section 8.3
	 	Who May be Deemed Owners	  	 	35	
	             Section 8.4
	 	Certain Securities Owned by Company Disregarded	  	 	35	
	             Section 8.5
	 	Actions Binding on Future Securityholders	  	 	36	
		
	 ARTICLE 9 SUPPLEMENTAL INDENTURES
	  	 	36	
			
	             Section 9.1
	 	Supplemental Indentures Without the Consent of Securityholders	  	 	36	
	             Section 9.2
	 	Supplemental Indentures With Consent of Securityholders	  	 	37	
	             Section 9.3
	 	Effect of Supplemental Indentures	  	 	38	
	             Section 9.4
	 	Securities Affected by Supplemental Indentures	  	 	38	
	             Section 9.5
	 	Execution of Supplemental Indentures	  	 	38	

  
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 TABLE OF CONTENTS 

(Continued) 
  

							
	 	 	 	  	Page	 
	 ARTICLE 10 SUCCESSOR ENTITY
	  	 	39	
			
	             Section 10.1
	 	Company May Consolidate, Etc	  	 	39	
	             Section 10.2
	 	Successor Entity Substituted	  	 	40	
	             Section 10.3
	 	Evidence of Consolidation, Etc	  	 	40	
		
	 ARTICLE 11 SATISFACTION AND DISCHARGE
	  	 	40	
			
	             Section 11.1
	 	Satisfaction and Discharge of Indenture	  	 	40	
	             Section 11.2
	 	Discharge of Obligations	  	 	41	
	             Section 11.3
	 	Deposited Moneys to be Held in Trust	  	 	41	
	             Section 11.4
	 	Payment of Moneys Held by Paying Agents	  	 	41	
	             Section 11.5
	 	Repayment to Company	  	 	42	
		
	 ARTICLE 12 IMMUNITY OF INCORPORATORS, STOCKHOLDERS, OFFICERS AND DIRECTORS
	  	 	42	
			
	             Section 12.1
	 	No Recourse	  	 	42	
		
	 ARTICLE 13 MISCELLANEOUS PROVISIONS
	  	 	43	
			
	             Section 13.1
	 	Effect on Successors and Assigns	  	 	43	
	             Section 13.2
	 	Actions by Successor	  	 	43	
	             Section 13.3
	 	Surrender of Company Powers	  	 	43	
	             Section 13.4
	 	Notices	  	 	43	
	             Section 13.5
	 	Governing Law	  	 	43	
	             Section 13.6
	 	Treatment of Securities as Debt	  	 	43	
	             Section 13.7
	 	Certificates and Opinions as to Conditions Precedent	  	 	43	
	             Section 13.8
	 	Payments on Business Days	  	 	44	
	             Section 13.9
	 	Conflict with Trust Indenture Act	  	 	44	
	
            Section 13.10
	 	Counterparts	  	 	44	
	
            Section 13.11
	 	Separability	  	 	44	
	
            Section 13.12
	 	Compliance Certificates	  	 	45	
		
	 ARTICLE 14 SUBORDINATION OF SECURITIES
	  	 	45	
			
	             Section 14.1
	 	Subordination Terms	  	 	45	

  

	(1)	This Table of Contents does not constitute part of the Indenture and shall not have any bearing on the interpretation of any of its terms or provisions. 

  
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 INDENTURE 

INDENTURE, dated as of [•], 20[•], among SAVARA INC., a Delaware corporation (the “Company”), and [TRUSTEE], as trustee
(the “Trustee”): 
 WHEREAS, for its lawful corporate purposes, the Company has duly authorized the execution and delivery of this
Indenture to provide for the issuance of subordinated debt securities (hereinafter referred to as the “Securities”), in an unlimited aggregate principal amount to be issued from time to time in one or more series as in this Indenture
provided, as registered Securities without coupons, to be authenticated by the certificate of the Trustee; 
 WHEREAS, to provide the terms
and conditions upon which the Securities are to be authenticated, issued and delivered, the Company has duly authorized the execution of this Indenture; and 

WHEREAS, all things necessary to make this Indenture a valid agreement of the Company, in accordance with its terms, have been done. 

NOW, THEREFORE, in consideration of the premises and the purchase of the Securities by the holders thereof, it is mutually covenanted and
agreed as follows for the equal and ratable benefit of the holders of Securities: 
 ARTICLE 1 

DEFINITIONS 

Section 1.1 Definitions of Terms.

The terms defined in this Section (except as in this Indenture or any indenture supplemental hereto otherwise expressly provided or
unless the context otherwise requires) for all purposes of this Indenture and of any indenture supplemental hereto shall have the respective meanings specified in this Section and shall include the plural as well as the singular. All other
terms used in this Indenture that are defined in the Trust Indenture Act of 1939, as amended, or that are by reference in such Act defined in the Securities Act of 1933, as amended (except as herein or any indenture supplemental hereto otherwise
expressly provided or unless the context otherwise requires), shall have the meanings assigned to such terms in said Trust Indenture Act and in said Securities Act as in force at the date of the execution of this instrument. 

“Authenticating Agent” means an authenticating agent with respect to all or any of the series of Securities appointed by the Trustee
pursuant to Section 2.10. 
 “Bankruptcy Law” means Title 11, U.S. Code, or any similar federal or state law for the
relief of debtors. 

 “Board of Directors” means the Board of Directors of the Company or any duly authorized
committee of such Board. 
 “Board Resolution” means a copy of a resolution certified by the Secretary or an Assistant Secretary
of the Company to have been duly adopted by the Board of Directors and to be in full force and effect on the date of such certification. 

“Business Day” means, with respect to any series of Securities, any day other than a day on which federal or state banking
institutions in the Borough of Manhattan, the City of New York, or in the city of the Corporate Trust Office of the Trustee, are authorized or obligated by law, executive order or regulation to close. 

“Certificate” means a certificate signed by any Officer. The Certificate need not comply with the provisions of Section 13.07.

 “Company” means Savara Inc., a corporation duly organized and existing under the laws of the State of Delaware, and, subject to
the provisions of Article Ten, shall also include its successors and assigns. 
 “Corporate Trust Office” means the office of the
Trustee at which, at any particular time, its corporate trust business shall be principally administered, which office at the date hereof is located at 

“Custodian” means any receiver, trustee, assignee, liquidator or similar official under any Bankruptcy Law. 

“Default” means any event, act or condition that with notice or lapse of time, or both, would constitute an Event of Default. 

“Defaulted Interest” has the meaning set forth in Section 2.03. 

“Depositary” means, with respect to Securities of any series for which the Company shall determine that such Securities will be
issued as a Global Security, The Depository Trust Company, another clearing agency, or any successor registered as a clearing agency under the Exchange Act, or other applicable statute or regulation, which, in each case, shall be designated by the
Company pursuant to either Section 2.01 or 2.11. 
 “Event of Default” means, with respect to Securities of a particular
series, any event specified in Section 6.01, continued for the period of time, if any, therein designated. 
 “Exchange Act”
means the Securities and Exchange Act of 1934, as amended. 
 “Global Security” means, with respect to any series of Securities, a
Security executed by the Company and delivered by the Trustee to the Depositary or pursuant to the Depositary’s instruction, all in accordance with the Indenture, which shall be registered in the name of the Depositary or its nominee. 

  
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 “Governmental Obligations” means securities that are (a) direct obligations of the
United States of America for the payment of which its full faith and credit is pledged or (b) obligations of a Person controlled or supervised by and acting as an agency or instrumentality of the United States of America, the payment of which
is unconditionally guaranteed as a full faith and credit obligation by the United States of America that, in either case, are not callable or redeemable at the option of the issuer thereof at any time prior to the stated maturity of the Securities,
and shall also include a depositary receipt issued by a bank or trust company as custodian with respect to any such Governmental Obligation or a specific payment of principal of or interest on any such Governmental Obligation held by such custodian
for the account of the holder of such depositary receipt; provided, however, that (except as required by law) such custodian is not authorized to make any deduction from the amount payable to the holder of such depositary receipt from any amount
received by the custodian in respect of the Governmental Obligation or the specific payment of principal of or interest on the Governmental Obligation evidenced by such depositary receipt. 

“herein”, “hereof” and “hereunder”, and other words of similar import, refer to this Indenture as a whole and
not to any particular Article, Section or other subdivision. 
 “Indenture” means this instrument as originally executed or
as it may from time to time be supplemented or amended by one or more indentures supplemental hereto entered into in accordance with the terms hereof. 

“Interest Payment Date”, when used with respect to any installment of interest on a Security of a particular series, means the date
specified in such Security or in a Board Resolution or in an indenture supplemental hereto with respect to such series as the fixed date on which an installment of interest with respect to Securities of that series is due and payable. 

“Officer” means, with respect to the Company, the chairman of the Board of Directors, a chief executive officer, a president, a
chief financial officer, a chief operating officer, any executive vice president, any senior vice president, any vice president, the treasurer or any assistant treasurer, the controller or any assistant controller or the secretary or any assistant
secretary. 
 “Officer’s Certificate” means a certificate signed by any Officer. Each such certificate shall include the
statements provided for in Section 13.07, if and to the extent required by the provisions thereof. 
 “Opinion of Counsel”
means an opinion in writing subject to customary exceptions of legal counsel, who may be an employee of or counsel for the Company, that is delivered to the Trustee in accordance with the terms hereof. Each such opinion shall include the statements
provided for in Section 13.07, if and to the extent required by the provisions thereof. 
 “Outstanding”, when used with
reference to Securities of any series, means, subject to the provisions of Section 8.04, as of any particular time, all Securities of that series theretofore authenticated and delivered by the Trustee under this Indenture, except
(a) Securities theretofore canceled by the Trustee or any paying agent, or delivered to the Trustee or any paying agent for cancellation or that have previously been canceled; (b) Securities or portions thereof for the payment

  
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or redemption of which moneys or Governmental Obligations in the necessary amount shall have been deposited in trust with the Trustee or with any paying agent (other than the Company) or shall
have been set aside and segregated in trust by the Company (if the Company shall act as its own paying agent); provided, however, that if such Securities or portions of such Securities are to be redeemed prior to the maturity thereof, notice of such
redemption shall have been given as provided in Article Three, or provision satisfactory to the Trustee shall have been made for giving such notice; and (c) Securities in lieu of or in substitution for which other Securities shall have been
authenticated and delivered pursuant to the terms of Section 2.07. 
 “Person” means any individual, corporation,
partnership, joint venture, joint-stock company, limited liability company, association, trust, unincorporated organization, any other entity or organization, including a government or political subdivision or an agency or instrumentality thereof.

 “Predecessor Security” of any particular Security means every previous Security evidencing all or a portion of the same debt as
that evidenced by such particular Security; and, for the purposes of this definition, any Security authenticated and delivered under Section 2.07 in lieu of a lost, destroyed or stolen Security shall be deemed to evidence the same debt as the
lost, destroyed or stolen Security. 
 “Responsible Officer” when used with respect to the Trustee means the chairman of its board
of directors, the chief executive officer, the president, any vice president, the secretary, the treasurer, any trust officer, any corporate trust officer or any other officer or assistant officer of the Trustee customarily performing functions
similar to those performed by the Persons who at the time shall be such officers, respectively, or to whom any corporate trust matter is referred because of his or her knowledge of and familiarity with the particular subject. 

“Securities” means the debt Securities authenticated and delivered under this Indenture. 

“Securityholder”, “holder of Securities”, “registered holder”, or other similar term, means the Person or
Persons in whose name or names a particular Security shall be registered on the books of the Company kept for that purpose in accordance with the terms of this Indenture. 

“Security Register” and “Security Registrar” shall have the meanings as set forth in Section 2.05. 

“Subsidiary” means, with respect to any Person, (i) any corporation at least a majority of whose outstanding Voting Stock shall
at the time be owned, directly or indirectly, by such Person or by one or more of its Subsidiaries or by such Person and one or more of its Subsidiaries, (ii) any general partnership, joint venture or similar entity, at least a majority of
whose outstanding partnership or similar interests shall at the time be owned by such Person, or by one or more of its Subsidiaries, or by such Person and one or more of its Subsidiaries and (iii) any limited partnership of which such Person or
any of its Subsidiaries is a general partner. 

  
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 “Trustee” means            
, and, subject to the provisions of Article Seven, shall also include its successors and assigns, and, if at any time there is more than one Person acting in such capacity hereunder, “Trustee” shall mean each such Person. The term
“Trustee” as used with respect to a particular series of the Securities shall mean the trustee with respect to that series. 

“Trust Indenture Act” means the Trust Indenture Act of 1939, as amended. 

“Voting Stock”, as applied to stock of any Person, means shares, interests, participations or other equivalents in the equity
interest (however designated) in such Person having ordinary voting power for the election of a majority of the directors (or the equivalent) of such Person, other than shares, interests, participations or other equivalents having such power only by
reason of the occurrence of a contingency. 
 ARTICLE 2 

ISSUE, DESCRIPTION, TERMS, EXECUTION, REGISTRATION AND EXCHANGE OF 

SECURITIES 

Section 2.1 Designation and Terms of Securities.

(a) The aggregate principal amount of Securities that may be authenticated and delivered under this Indenture is unlimited. The Securities may
be issued in one or more series up to the aggregate principal amount of Securities of that series from time to time authorized by or pursuant to a Board Resolution or pursuant to one or more indentures supplemental hereto. Prior to the initial
issuance of Securities of any series, there shall be established in or pursuant to a Board Resolution, and set forth in an Officer’s Certificate, or established in one or more indentures supplemental hereto: 

(1) the title of the Securities of the series (which shall distinguish the Securities of that series from all other Securities); 

(2) any limit upon the aggregate principal amount of the Securities of that series that may be authenticated and delivered under this
Indenture (except for Securities authenticated and delivered upon registration of transfer of, or in exchange for, or in lieu of, other Securities of that series); 

(3) the date or dates on which the principal of the Securities of the series is payable, any original issue discount that may apply to the
Securities of that series upon their issuance, the principal amount due at maturity, and the place(s) of payment; 
 (4) the rate or rates
at which the Securities of the series shall bear interest or the manner of calculation of such rate or rates, if any; 

  
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 (5) the date or dates from which such interest shall accrue, the Interest Payment Dates on which
such interest will be payable or the manner of determination of such Interest Payment Dates, the place(s) of payment, and the record date for the determination of holders to whom interest is payable on any such Interest Payment Dates or the manner
of determination of such record dates; 
 (6) the right, if any, to extend the interest payment periods and the duration of such extension;

 (7) the period or periods within which, the price or prices at which and the terms and conditions upon which Securities of the series
may be redeemed, in whole or in part, at the option of the Company; 
 (8) the obligation, if any, of the Company to redeem or purchase
Securities of the series pursuant to any sinking fund, mandatory redemption, or analogous provisions (including payments made in cash in satisfaction of future sinking fund obligations) or at the option of a holder thereof and the period or periods
within which, the price or prices at which, and the terms and conditions upon which, Securities of the series shall be redeemed or purchased, in whole or in part, pursuant to such obligation; 

(9) the form of the Securities of the series including the form of the Certificate of Authentication for such series; 

(10) if other than denominations of one thousand U.S. dollars ($1,000) or any integral multiple thereof, the denominations in which the
Securities of the series shall be issuable; 
 (11) any and all other terms (including terms, to the extent applicable, relating to any
auction or remarketing of the Securities of that series and any security for the obligations of the Company with respect to such Securities) with respect to such series (which terms shall not be inconsistent with the terms of this Indenture, as
amended by any supplemental indenture) including any terms which may be required by or advisable under United States laws or regulations or advisable in connection with the marketing of Securities of that series; 

(12) whether the Securities are issuable as a Global Security and, in such case, the terms and the identity of the Depositary for such
series; 
 (13) whether the Securities will be convertible into or exchangeable for shares of common stock, preferred stock or other
securities of the Company or any other Person and, if so, the terms and conditions upon which such Securities will be so convertible or exchangeable, including the conversion or exchange price, as applicable, or how it will be calculated and may be
adjusted, any mandatory or optional (at the Company’s option or the holders’ option) conversion or exchange features, and the applicable conversion or exchange period; 

(14) if other than the principal amount thereof, the portion of the principal amount of Securities of the series which shall be payable upon
declaration of acceleration of the maturity thereof pursuant to Section 6.01; 

  
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 (15) any additional or different Events of Default or restrictive covenants (which may include,
among other restrictions, restrictions on the Company’s ability or the ability of the Company’s Subsidiaries to: incur additional indebtedness; issue additional securities; create liens; pay dividends or make distributions in respect of
the capital stock of the Company or the Company’s Subsidiaries; redeem capital stock; place restrictions on the Company’s Subsidiaries’ ability to pay dividends, make distributions or transfer assets; make investments or other
restricted payments; sell or otherwise dispose of assets; enter into sale-leaseback transactions; engage in transactions with stockholders or affiliates; issue or sell stock of the Company’s Subsidiaries; or effect a consolidation or merger) or
financial covenants (which may include, among other financial covenants, financial covenants that require the Company and its Subsidiaries to maintain specified interest coverage, fixed charge, cash flow-based, asset-based or other financial ratios)
provided for with respect to the Securities of the series; 
 (16) if other than dollars, the coin or currency in which the Securities of
the series are denominated (including, but not limited to, foreign currency); 
 (17) the terms and conditions, if any, upon which the
Company shall pay amounts in addition to the stated interest, premium, if any and principal amounts of the Securities of the series to any Securityholder that is not a “United States person” for federal tax purposes; 

(18) any restrictions on transfer, sale or assignment of the Securities of the series; and 

(19) the subordination terms of the Securities of the series. 

All Securities of any one series shall be substantially identical except as may otherwise be provided in or pursuant to any such Board
Resolution or in any indentures supplemental hereto. 
 If any of the terms of the series are established by action taken pursuant to a
Board Resolution of the Company, a copy of an appropriate record of such action shall be certified by the secretary or an assistant secretary of the Company and delivered to the Trustee at or prior to the delivery of the Officer’s Certificate
of the Company setting forth the terms of the series. 
 Securities of any particular series may be issued at various times, with different
dates on which the principal or any installment of principal is payable, with different rates of interest, if any, or different methods by which rates of interest may be determined, with different dates on which such interest may be payable and with
different redemption dates. 
 Section 2.2 Form of Securities and Trustee’s Certificate.

The Securities of any series and the Trustee’s certificate of authentication to be borne by such Securities shall be substantially of the
tenor and purport as set forth in one or more indentures supplemental hereto or as provided in a Board Resolution, and set forth in an Officer’s Certificate, and they may have such letters, numbers or other marks of identification or
designation and such legends or endorsements printed, lithographed or engraved thereon as the Company may deem 

  
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appropriate and as are not inconsistent with the provisions of this Indenture, or as may be required to comply with any law or with any rule or regulation made pursuant thereto or with any rule
or regulation of any securities exchange on which Securities of that series may be listed, or to conform to usage. 
 Section 2.3
Denominations: Provisions for Payment.
 The Securities shall be issuable as registered Securities and in the denominations of one
thousand U.S. dollars ($1,000) or any integral multiple thereof, subject to Section 2.01(a)(10). The Securities of a particular series shall bear interest payable on the dates and at the rate specified with respect to that series. Subject to
Section 2.01(a)(16), the principal of and the interest on the Securities of any series, as well as any premium thereon in case of redemption thereof prior to maturity, shall be payable in the coin or currency of the United States of America
that at the time is legal tender for public and private debt, at the office or agency of the Company maintained for that purpose. Each Security shall be dated the date of its authentication. Interest on the Securities shall be computed on the basis
of a 360-day year composed of twelve 30-day months. 
 The
interest installment on any Security that is payable, and is punctually paid or duly provided for, on any Interest Payment Date for Securities of that series shall be paid to the Person in whose name said Security (or one or more Predecessor
Securities) is registered at the close of business on the regular record date for such interest installment. In the event that any Security of a particular series or portion thereof is called for redemption and the redemption date is subsequent to a
regular record date with respect to any Interest Payment Date and prior to such Interest Payment Date, interest on such Security will be paid upon presentation and surrender of such Security as provided in Section 3.03. 

Any interest on any Security that is payable, but is not punctually paid or duly provided for, on any Interest Payment Date for Securities of
the same series (herein called “Defaulted Interest”) shall forthwith cease to be payable to the registered holder on the relevant regular record date by virtue of having been such holder; and such Defaulted Interest shall be paid by the
Company, at its election, as provided in clause (1) or clause (2) below: 
 (1) The Company may make payment of any Defaulted
Interest on Securities to the Persons in whose names such Securities (or their respective Predecessor Securities) are registered at the close of business on a special record date for the payment of such Defaulted Interest, which shall be fixed in
the following manner: the Company shall notify the Trustee in writing of the amount of Defaulted Interest proposed to be paid on each such Security and the date of the proposed payment, and at the same time the Company shall deposit with the Trustee
an amount of money equal to the aggregate amount proposed to be paid in respect of such Defaulted Interest or shall make arrangements satisfactory to the Trustee for such deposit prior to the date of the proposed payment, such money when deposited
to be held in trust for the benefit of the Persons entitled to such Defaulted Interest as in this clause provided. Thereupon the Trustee shall fix a special record date for the payment of such Defaulted Interest which shall not be more than 15 nor
less than 10 days prior to the date of the proposed payment and not less than 10 days after the receipt by the Trustee of the notice of the proposed payment. The Trustee shall promptly notify the Company of 

  
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such special record date and, in the name and at the expense of the Company, shall cause notice of the proposed payment of such Defaulted Interest and the special record date therefor to be
mailed, first class postage prepaid, to each Securityholder at his or her address as it appears in the Security Register (as hereinafter defined), not less than 10 days prior to such special record date. Notice of the proposed payment of such
Defaulted Interest and the special record date therefor having been mailed as aforesaid, such Defaulted Interest shall be paid to the Persons in whose names such Securities (or their respective Predecessor Securities) are registered on such special
record date. 
 (2) The Company may make payment of any Defaulted Interest on any Securities in any other lawful manner not inconsistent
with the requirements of any securities exchange on which such Securities may be listed, and upon such notice as may be required by such exchange, if, after notice given by the Company to the Trustee of the proposed payment pursuant to this clause,
such manner of payment shall be deemed practicable by the Trustee. 
 Unless otherwise set forth in a Board Resolution or one or more
indentures supplemental hereto establishing the terms of any series of Securities pursuant to Section 2.01 hereof, the term “regular record date” as used in this Section with respect to a series of Securities and any Interest
Payment Date for such series shall mean either the fifteenth day of the month immediately preceding the month in which an Interest Payment Date established for such series pursuant to Section 2.01 hereof shall occur, if such Interest Payment
Date is the first day of a month, or the first day of the month in which an Interest Payment Date established for such series pursuant to Section 2.01 hereof shall occur, if such Interest Payment Date is the fifteenth day of a month, whether or
not such date is a Business Day. 
 Subject to the foregoing provisions of this Section, each Security of a series delivered under this
Indenture upon transfer of or in exchange for or in lieu of any other Security of such series shall carry the rights to interest accrued and unpaid, and to accrue, that were carried by such other Security. 

Section 2.4 Execution and Authentications.

The Securities shall be signed on behalf of the Company by one of its Officers. Signatures may be in the form of a manual or facsimile
signature. The Company may use the facsimile signature of any Person who shall have been an Officer, notwithstanding the fact that at the time the Securities shall be authenticated and delivered or disposed of such Person shall have ceased to be
such an officer of the Company. The Securities may contain such notations, legends or endorsements required by law, stock exchange rule or usage. Each Security shall be dated the date of its authentication by the Trustee. 

A Security shall not be valid until authenticated manually by an authorized signatory of the Trustee, or by an Authenticating Agent. Such
signature shall be conclusive evidence that the Security so authenticated has been duly authenticated and delivered hereunder and that the holder is entitled to the benefits of this Indenture. At any time and from time to time after the execution
and delivery of this Indenture, the Company may deliver Securities of any series executed by the Company to the Trustee for authentication, together with a written order of the Company for the authentication and delivery of such Securities, signed
by an Officer, and the Trustee in accordance with such written order shall authenticate and deliver such Securities. 

  
 -9- 

 In authenticating such Securities and accepting the additional responsibilities under this
Indenture in relation to such Securities, the Trustee shall be entitled to receive, if requested, and (subject to Section 7.01) shall be fully protected in relying upon, an Opinion of Counsel stating that the form and terms thereof have been
established in conformity with the provisions of this Indenture. 
 The Trustee shall not be required to authenticate such Securities if the
issue of such Securities pursuant to this Indenture will affect the Trustee’s own rights, duties or immunities under the Securities and this Indenture or otherwise in a manner that is not reasonably acceptable to the Trustee. 

Section 2.5 Registration of Transfer and Exchange.

(a) Securities of any series may be exchanged upon presentation thereof at the office or agency of the Company designated for such purpose,
for other Securities of such series of authorized denominations, and for a like aggregate principal amount, upon payment of a sum sufficient to cover any tax or other governmental charge in relation thereto, all as provided in this Section. In
respect of any Securities so surrendered for exchange, the Company shall execute, the Trustee shall authenticate and such office or agency shall deliver in exchange therefor the Security or Securities of the same series that the Securityholder
making the exchange shall be entitled to receive, bearing numbers not contemporaneously outstanding. 
 (b) The Company shall keep, or cause
to be kept, at its office or agency designated for such purpose a register or registers (herein referred to as the “Security Register”) in which, subject to such reasonable regulations as it may prescribe, the Company shall register the
Securities and the transfers of Securities as in this Article provided and which at all reasonable times shall be open for inspection by the Trustee. The registrar for the purpose of registering Securities and transfer of Securities as herein
provided shall be appointed as authorized by Board Resolution (the “Security Registrar”). 
 Upon surrender for transfer of any
Security at the office or agency of the Company designated for such purpose, the Company shall execute, the Trustee shall authenticate and such office or agency shall deliver in the name of the transferee or transferees a new Security or Securities
of the same series as the Security presented for a like aggregate principal amount. 
 All Securities presented or surrendered for exchange
or registration of transfer, as provided in this Section, shall be accompanied (if so required by the Company or the Security Registrar) by a written instrument or instruments of transfer, in form satisfactory to the Company or the Security
Registrar, duly executed by the registered holder or by such holder’s duly authorized attorney in writing. 

  
 -10- 

 (c) Except as provided pursuant to Section 2.01 pursuant to a Board Resolution, and set
forth in an Officer’s Certificate, or established in one or more indentures supplemental to this Indenture, no service charge shall be made for any exchange or registration of transfer of Securities, or issue of new Securities in case of
partial redemption of any series, but the Company may require payment of a sum sufficient to cover any tax or other governmental charge in relation thereto, other than exchanges pursuant to Section 2.06, Section 3.03(b) and
Section 9.04 not involving any transfer. 
 (d) The Company shall not be required (i) to issue, exchange or register the transfer
of any Securities during a period beginning at the opening of business 15 days before the day of the mailing of a notice of redemption of less than all the Outstanding Securities of the same series and ending at the close of business on the day of
such mailing, nor (ii) to register the transfer of or exchange any Securities of any series or portions thereof called for redemption, other than the unredeemed portion of any such Securities being redeemed in part. The provisions of this
Section 2.05 are, with respect to any Global Security, subject to Section 2.11 hereof. 
 Section 2.6 Temporary
Securities.
 Pending the preparation of definitive Securities of any series, the Company may execute, and the Trustee shall
authenticate and deliver, temporary Securities (printed, lithographed or typewritten) of any authorized denomination. Such temporary Securities shall be substantially in the form of the definitive Securities in lieu of which they are issued, but
with such omissions, insertions and variations as may be appropriate for temporary Securities, all as may be determined by the Company. Every temporary Security of any series shall be executed by the Company and be authenticated by the Trustee upon
the same conditions and in substantially the same manner, and with like effect, as the definitive Securities of such series. Without unnecessary delay the Company will execute and will furnish definitive Securities of such series and thereupon any
or all temporary Securities of such series may be surrendered in exchange therefor (without charge to the holders), at the office or agency of the Company designated for the purpose, and the Trustee shall authenticate and such office or agency shall
deliver in exchange for such temporary Securities an equal aggregate principal amount of definitive Securities of such series, unless the Company advises the Trustee to the effect that definitive Securities need not be executed and furnished until
further notice from the Company. Until so exchanged, the temporary Securities of such series shall be entitled to the same benefits under this Indenture as definitive Securities of such series authenticated and delivered hereunder. 

Section 2.7 Mutilated, Destroyed, Lost or Stolen Securities.

In case any temporary or definitive Security shall become mutilated or be destroyed, lost or stolen, the Company (subject to the next
succeeding sentence) shall execute, and upon the Company’s request the Trustee (subject as aforesaid) shall authenticate and deliver, a new Security of the same series, bearing a number not contemporaneously outstanding, in exchange and
substitution for the mutilated Security, or in lieu of and in substitution for the Security so destroyed, lost or stolen. In every case the applicant for a substituted Security shall furnish to the Company and the Trustee such security or indemnity
as may be required by them to save each of them harmless, and, in every case of destruction, loss or theft, the applicant shall also furnish to the Company and the Trustee evidence to their satisfaction of the destruction, loss or theft of the
applicant’s Security 

  
 -11- 

 
and of the ownership thereof. The Trustee may authenticate any such substituted Security and deliver the same upon the written request or authorization of any officer of the Company. Upon the
issuance of any substituted Security, the Company may require the payment of a sum sufficient to cover any tax or other governmental charge that may be imposed in relation thereto and any other expenses (including the fees and expenses of the
Trustee) connected therewith. 
 In case any Security that has matured or is about to mature shall become mutilated or be destroyed, lost or
stolen, the Company may, instead of issuing a substitute Security, pay or authorize the payment of the same (without surrender thereof except in the case of a mutilated Security) if the applicant for such payment shall furnish to the Company and the
Trustee such security or indemnity as they may require to save them harmless, and, in case of destruction, loss or theft, evidence to the satisfaction of the Company and the Trustee of the destruction, loss or theft of such Security and of the
ownership thereof. 
 Every replacement Security issued pursuant to the provisions of this Section shall constitute an additional
contractual obligation of the Company whether or not the mutilated, destroyed, lost or stolen Security shall be found at any time, or be enforceable by anyone, and shall be entitled to all the benefits of this Indenture equally and proportionately
with any and all other Securities of the same series duly issued hereunder. All Securities shall be held and owned upon the express condition that the foregoing provisions are exclusive with respect to the replacement or payment of mutilated,
destroyed, lost or stolen Securities, and shall preclude (to the extent lawful) any and all other rights or remedies, notwithstanding any law or statute existing or hereafter enacted to the contrary with respect to the replacement or payment of
negotiable instruments or other securities without their surrender. 
 Section 2.8 Cancellation.

All Securities surrendered for the purpose of payment, redemption, exchange or registration of transfer shall, if surrendered to the Company
or any paying agent, be delivered to the Trustee for cancellation, or, if surrendered to the Trustee, shall be cancelled by it, and no Securities shall be issued in lieu thereof except as expressly required or permitted by any of the provisions of
this Indenture. On request of the Company at the time of such surrender, the Trustee shall deliver to the Company canceled Securities held by the Trustee. In the absence of such request the Trustee may dispose of canceled Securities in accordance
with its standard procedures and deliver a certificate of disposition to the Company. If the Company shall otherwise acquire any of the Securities, however, such acquisition shall not operate as a redemption or satisfaction of the indebtedness
represented by such Securities unless and until the same are delivered to the Trustee for cancellation. 
 Section 2.9 Benefits of
Indenture.
 Nothing in this Indenture or in the Securities, express or implied, shall give or be construed to give to any Person, other
than the parties hereto and the holders of the Securities (and, with respect to the provisions of Article Fourteen, the holders of any indebtedness of the Company to which the Securities of any series are subordinated) any legal or equitable right,
remedy or claim under or in respect of this Indenture, or under any covenant, condition or provision herein contained; all such covenants, conditions and provisions being for the sole benefit of the parties hereto and of the holders of the
Securities (and, with respect to the provisions of Article Fourteen, the holders of any indebtedness of the Company to which the Securities of any series are subordinated). 

  
 -12- 

 Section 2.10 Authenticating Agent.

So long as any of the Securities of any series remain Outstanding there may be an Authenticating Agent for any or all such series of
Securities which the Trustee shall have the right to appoint. Said Authenticating Agent shall be authorized to act on behalf of the Trustee to authenticate Securities of such series issued upon exchange, transfer or partial redemption thereof, and
Securities so authenticated shall be entitled to the benefits of this Indenture and shall be valid and obligatory for all purposes as if authenticated by the Trustee hereunder. All references in this Indenture to the authentication of Securities by
the Trustee shall be deemed to include authentication by an Authenticating Agent for such series. Each Authenticating Agent shall be acceptable to the Company and shall be a corporation that has a combined capital and surplus, as most recently
reported or determined by it, sufficient under the laws of any jurisdiction under which it is organized or in which it is doing business to conduct a trust business, and that is otherwise authorized under such laws to conduct such business and is
subject to supervision or examination by federal or state authorities. If at any time any Authenticating Agent shall cease to be eligible in accordance with these provisions, it shall resign immediately. 

Any Authenticating Agent may at any time resign by giving written notice of resignation to the Trustee and to the Company. The Trustee may at
any time (and upon request by the Company shall) terminate the agency of any Authenticating Agent by giving written notice of termination to such Authenticating Agent and to the Company. Upon resignation, termination or cessation of eligibility of
any Authenticating Agent, the Trustee may appoint an eligible successor Authenticating Agent acceptable to the Company. Any successor Authenticating Agent, upon acceptance of its appointment hereunder, shall become vested with all the rights, powers
and duties of its predecessor hereunder as if originally named as an Authenticating Agent pursuant hereto. 
 Section 2.11 Global
Securities.
 (a) If the Company shall establish pursuant to Section 2.01 that the Securities of a particular series are to be
issued as a Global Security, then the Company shall execute and the Trustee shall, in accordance with Section 2.04, authenticate and deliver, a Global Security that (i) shall represent, and shall be denominated in an amount equal to the
aggregate principal amount of, all of the Outstanding Securities of such series, (ii) shall be registered in the name of the Depositary or its nominee, (iii) shall be delivered by the Trustee to the Depositary or pursuant to the
Depositary’s instruction and (iv) shall bear a legend substantially to the following effect: “Except as otherwise provided in Section 2.11 of the Indenture, this Security may be transferred, in whole but not in part, only to
another nominee of the Depositary or to a successor Depositary or to a nominee of such successor Depositary.” 
 (b) Notwithstanding
the provisions of Section 2.05, the Global Security of a series may be transferred, in whole but not in part and in the manner provided in Section 2.05, only to another nominee of the Depositary for such series, or to a successor
Depositary for such series selected or approved by the Company or to a nominee of such successor Depositary. 

  
 -13- 

 (c) If at any time the Depositary for a series of the Securities notifies the Company that it is
unwilling or unable to continue as Depositary for such series or if at any time the Depositary for such series shall no longer be registered or in good standing under the Exchange Act, or other applicable statute or regulation, and a successor
Depositary for such series is not appointed by the Company within 90 days after the Company receives such notice or becomes aware of such condition, as the case may be, or if an Event of Default has occurred and is continuing and the Company has
received a request from the Depositary or from the Trustee, this Section 2.11 shall no longer be applicable to the Securities of such series and the Company will execute, and subject to Section 2.04, the Trustee will authenticate and
deliver the Securities of such series in definitive registered form without coupons, in authorized denominations, and in an aggregate principal amount equal to the principal amount of the Global Security of such series in exchange for such Global
Security. In addition, the Company may at any time determine that the Securities of any series shall no longer be represented by a Global Security and that the provisions of this Section 2.11 shall no longer apply to the Securities of such
series. In such event the Company will execute and, subject to Section 2.04, the Trustee, upon receipt of an Officer’s Certificate evidencing such determination by the Company, will authenticate and deliver the Securities of such series in
definitive registered form without coupons, in authorized denominations, and in an aggregate principal amount equal to the principal amount of the Global Security of such series in exchange for such Global Security. Upon the exchange of the Global
Security for such Securities in definitive registered form without coupons, in authorized denominations, the Global Security shall be canceled by the Trustee. Such Securities in definitive registered form issued in exchange for the Global Security
pursuant to this Section 2.11(c) shall be registered in such names and in such authorized denominations as the Depositary, pursuant to instructions from its direct or indirect participants or otherwise, shall instruct the Trustee. The Trustee
shall deliver such Securities to the Depositary for delivery to the Persons in whose names such Securities are so registered. 
 ARTICLE 3

 REDEMPTION OF SECURITIES AND SINKING FUND PROVISIONS 

Section 3.1 Redemption.

The Company may redeem the Securities of any series issued hereunder on and after the dates and in accordance with the terms established for
such series pursuant to Section 2.01 hereof. 
 Section 3.2 Notice of Redemption.

(a) In case the Company shall desire to exercise such right to redeem all or, as the case may be, a portion of the Securities of any series in
accordance with any right the Company reserved for itself to do so pursuant to Section 2.01 hereof, the Company shall, or shall cause the Trustee to, give notice of such redemption to holders of the Securities of such series to be redeemed by
mailing, first class postage prepaid, a notice of such redemption not less than 30 days and not 

  
 -14- 

 
more than 90 days before the date fixed for redemption of that series to such holders at their last addresses as they shall appear upon the Security Register, unless a shorter period is specified
in the Securities to be redeemed. Any notice that is mailed in the manner herein provided shall be conclusively presumed to have been duly given, whether or not the registered holder receives the notice. In any case, failure duly to give such notice
to the holder of any Security of any series designated for redemption in whole or in part, or any defect in the notice, shall not affect the validity of the proceedings for the redemption of any other Securities of such series or any other series.
In the case of any redemption of Securities prior to the expiration of any restriction on such redemption provided in the terms of such Securities or elsewhere in this Indenture, the Company shall furnish the Trustee with an Officer’s
Certificate evidencing compliance with any such restriction. 
 Each such notice of redemption shall specify the date fixed for redemption
and the redemption price at which Securities of that series are to be redeemed, and shall state that payment of the redemption price of such Securities to be redeemed will be made at the office or agency of the Company, upon presentation and
surrender of such Securities, that interest accrued to the date fixed for redemption will be paid as specified in said notice, that from and after said date interest will cease to accrue and that the redemption is from a sinking fund, if such is the
case. If less than all the Securities of a series are to be redeemed, the notice to the holders of Securities of that series to be redeemed in part shall specify the particular Securities to be so redeemed. 

In case any Security is to be redeemed in part only, the notice that relates to such Security shall state the portion of the principal amount
thereof to be redeemed, and shall state that on and after the redemption date, upon surrender of such Security, a new Security or Securities of such series in principal amount equal to the unredeemed portion thereof will be issued. 

(b) If less than all the Securities of a series are to be redeemed, the Company shall give the Trustee at least 45 days’ notice (unless a
shorter notice shall be satisfactory to the Trustee) in advance of the date fixed for redemption as to the aggregate principal amount of Securities of the series to be redeemed, and thereupon the Trustee shall select, by lot or in such other manner
as it shall deem appropriate and fair in its discretion and that may provide for the selection of a portion or portions (equal to one thousand U.S. dollars ($1,000) or any integral multiple thereof) of the principal amount of such Securities of a
denomination larger than $1,000, the Securities to be redeemed and shall thereafter promptly notify the Company in writing of the numbers of the Securities to be redeemed, in whole or in part. The Company may, if and whenever it shall so elect, by
delivery of instructions signed on its behalf by an Officer, instruct the Trustee or any paying agent to call all or any part of the Securities of a particular series for redemption and to give notice of redemption in the manner set forth in this
Section, such notice to be in the name of the Company or its own name as the Trustee or such paying agent may deem advisable. In any case in which notice of redemption is to be given by the Trustee or any such paying agent, the Company shall deliver
or cause to be delivered to, or permit to remain with, the Trustee or such paying agent, as the case may be, such Security Register, transfer books or other records, or suitable copies or extracts therefrom, sufficient to enable the Trustee or such
paying agent to give any notice by mail that may be required under the provisions of this Section. 

  
 -15- 

 Section 3.3 Payment Upon Redemption.

(a) If the giving of notice of redemption shall have been completed as above provided, the Securities or portions of Securities of the series
to be redeemed specified in such notice shall become due and payable on the date and at the place stated in such notice at the applicable redemption price, together with interest accrued to the date fixed for redemption and interest on such
Securities or portions of Securities shall cease to accrue on and after the date fixed for redemption, unless the Company shall default in the payment of such redemption price and accrued interest with respect to any such Security or portion
thereof. On presentation and surrender of such Securities on or after the date fixed for redemption at the place of payment specified in the notice, said Securities shall be paid and redeemed at the applicable redemption price for such series,
together with interest accrued thereon to the date fixed for redemption (but if the date fixed for redemption is an interest payment date, the interest installment payable on such date shall be payable to the registered holder at the close of
business on the applicable record date pursuant to Section 2.03). 
 (b) Upon presentation of any Security of such series that is to be
redeemed in part only, the Company shall execute and the Trustee shall authenticate and the office or agency where the Security is presented shall deliver to the holder thereof, at the expense of the Company, a new Security of the same series of
authorized denominations in principal amount equal to the unredeemed portion of the Security so presented. 
 Section 3.4 Sinking
Fund.
 The provisions of Sections 3.04, 3.05 and 3.06 shall be applicable to any sinking fund for the retirement of Securities of
a series, except as otherwise specified as contemplated by Section 2.01 for Securities of such series. 
 The minimum amount of any
sinking fund payment provided for by the terms of Securities of any series is herein referred to as a “mandatory sinking fund payment,” and any payment in excess of such minimum amount provided for by the terms of Securities of any series
is herein referred to as an “optional sinking fund payment”. If provided for by the terms of Securities of any series, the cash amount of any sinking fund payment may be subject to reduction as provided in Section 3.05. Each sinking
fund payment shall be applied to the redemption of Securities of any series as provided for by the terms of Securities of such series. 

Section 3.5 Satisfaction of Sinking Fund Payments with Securities.

The Company (i) may deliver Outstanding Securities of a series and (ii) may apply as a credit Securities of a series that have been
redeemed either at the election of the Company pursuant to the terms of such Securities or through the application of permitted optional sinking fund payments pursuant to the terms of such Securities, in each case in satisfaction of all or any part
of any sinking fund payment with respect to the Securities of such series required to be made pursuant to the terms of such Securities as provided for by the terms of such series, provided that such Securities have not been previously so credited.
Such Securities shall be received and credited for such purpose by the Trustee at the redemption price specified in such Securities for redemption through operation of the sinking fund and the amount of such sinking fund payment shall be reduced
accordingly. 

  
 -16- 

 Section 3.6 Redemption of Securities for Sinking Fund. 

Not less than 45 days prior to each sinking fund payment date for any series of Securities (unless a shorter period shall be satisfactory to
the Trustee), the Company will deliver to the Trustee an Officer’s Certificate specifying the amount of the next ensuing sinking fund payment for that series pursuant to the terms of the series, the portion thereof, if any, that is to be
satisfied by delivering and crediting Securities of that series pursuant to Section 3.05 and the basis for such credit and will, together with such Officer’s Certificate, deliver to the Trustee any Securities to be so delivered. Not less
than 30 days before each such sinking fund payment date the Trustee shall select the Securities to be redeemed upon such sinking fund payment date in the manner specified in Section 3.02 and cause notice of the redemption thereof to be given in
the name of and at the expense of the Company in the manner provided in Section 3.02. Such notice having been duly given, the redemption of such Securities shall be made upon the terms and in the manner stated in Section 3.03. 

ARTICLE 4 
 COVENANTS

 Section 4.1 Payment of Principal, Premium and Interest.

The Company will duly and punctually pay or cause to be paid the principal of (and premium, if any) and interest on the Securities of that
series at the time and place and in the manner provided herein and established with respect to such Securities. Payments of principal on the Securities may be made at the time provided herein and established with respect to such Securities by U.S.
dollar check drawn on and mailed to the address of the Securityholder entitled thereto as such address shall appear in the Security Register, or U.S. dollar wire transfer to, a U.S. dollar account (such wire transfer to be made only to a
Securityholder of an aggregate principal amount of Securities of the applicable series in excess of U.S. $2,000,000 and only if such Securityholder shall have furnished wire instructions to the Trustee no later than 15 days prior to the relevant
payment date). Payments of interest on the Securities may be made at the time provided herein and established with respect to such Securities by U.S. dollar check mailed to the address of the Securityholder entitled thereto as such address shall
appear in the Security Register, or U.S. dollar wire transfer to, a U.S. dollar account (such a wire transfer to be made only to a Securityholder of an aggregate principal amount of Securities of the applicable series in excess of U.S. $2,000,000
and only if such Securityholder shall have furnished wire instructions in writing to the Security Registrar and the Trustee no later than 15 days prior to the relevant payment date. 

  
 -17- 

 Section 4.2 Maintenance of Office or Agency.

So long as any series of the Securities remain Outstanding, the Company agrees to maintain an office or agency with respect to each such
series and at such other location or locations as may be designated as provided in this Section 4.02, where (i) Securities of that series may be presented for payment, (ii) Securities of that series may be presented as herein above
authorized for registration of transfer and exchange, and (iii) notices and demands to or upon the Company in respect of the Securities of that series and this Indenture may be given or served, such designation to continue with respect to such
office or agency until the Company shall, by written notice signed by any officer authorized to sign an Officer’s Certificate and delivered to the Trustee, designate some other office or agency for such purposes or any of them. If at any time
the Company shall fail to maintain any such required office or agency or shall fail to furnish the Trustee with the address thereof, such presentations, notices and demands may be made or served at the Corporate Trust Office of the Trustee, and the
Company hereby appoints the Trustee as its agent to receive all such presentations, notices and demands. The Company initially appoints the Corporate Trust Office of the Trustee as its paying agent with respect to the Securities. 

Section 4.3 Paying Agents.

(a) If the Company shall appoint one or more paying agents for all or any series of the Securities, other than the Trustee, the Company will
cause each such paying agent to execute and deliver to the Trustee an instrument in which such agent shall agree with the Trustee, subject to the provisions of this Section: 

(1) that it will hold all sums held by it as such agent for the payment of the principal of (and premium, if any) or interest on the
Securities of that series (whether such sums have been paid to it by the Company or by any other obligor of such Securities) in trust for the benefit of the Persons entitled thereto; 

(2) that it will give the Trustee notice of any failure by the Company (or by any other obligor of such Securities) to make any payment of
the principal of (and premium, if any) or interest on the Securities of that series when the same shall be due and payable; 
 (3) that it
will, at any time during the continuance of any failure referred to in the preceding paragraph (a)(2) above, upon the written request of the Trustee, forthwith pay to the Trustee all sums so held in trust by such paying agent; and 

(4) that it will perform all other duties of paying agent as set forth in this Indenture. 

(b) If the Company shall act as its own paying agent with respect to any series of the Securities, it will on or before each due date of the
principal of (and premium, if any) or interest on Securities of that series, set aside, segregate and hold in trust for the benefit of the Persons entitled thereto a sum sufficient to pay such principal (and premium, if any) or interest so becoming
due on Securities of that series until such sums shall be paid to such Persons or otherwise disposed of as herein provided and will promptly notify the Trustee of such action, or any failure (by it or any other obligor on such Securities) to take
such action. Whenever the Company shall have one or more paying agents for any series of Securities, it will, prior to each due date of the principal of (and premium, if any) or interest on any Securities of that series, deposit with the paying
agent a sum 

  
 -18- 

 
sufficient to pay the principal (and premium, if any) or interest so becoming due, such sum to be held in trust for the benefit of the Persons entitled to such principal, premium or interest, and
(unless such paying agent is the Trustee) the Company will promptly notify the Trustee of this action or failure so to act. 
 (c)
Notwithstanding anything in this Section to the contrary, (i) the agreement to hold sums in trust as provided in this Section is subject to the provisions of Section 11.05, and (ii) the Company may at any time, for the
purpose of obtaining the satisfaction and discharge of this Indenture or for any other purpose, pay, or direct any paying agent to pay, to the Trustee all sums held in trust by the Company or such paying agent, such sums to be held by the Trustee
upon the same terms and conditions as those upon which such sums were held by the Company or such paying agent; and, upon such payment by the Company or any paying agent to the Trustee, the Company or such paying agent shall be released from all
further liability with respect to such money. 
 Section 4.4 Appointment to Fill Vacancy in Office of Trustee.

The Company, whenever necessary to avoid or fill a vacancy in the office of Trustee, will appoint, in the manner provided in
Section 7.10, a Trustee, so that there shall at all times be a Trustee hereunder. 
 Section 4.5 Compliance with Consolidation
Provisions.
 The Company will not, while any of the Securities remain Outstanding, consolidate with or merge into any other Person, in
either case where the Company is not the survivor of such transaction, or sell or convey all or substantially all of its property to any other Person unless the provisions of Article Ten hereof are complied with. 

ARTICLE 5 

SECURITYHOLDERS’ LISTS AND REPORTS BY THE COMPANY AND THE TRUSTEE 

Section 5.1 Company to Furnish Trustee Names and Addresses of Securityholders.

The Company will furnish or cause to be furnished to the Trustee (a) within 15 days after each regular record date (as defined in
Section 2.03) a list, in such form as the Trustee may reasonably require, of the names and addresses of the holders of each series of Securities as of such regular record date, provided that the Company shall not be obligated to furnish or
cause to furnish such list at any time that the list shall not differ in any respect from the most recent list furnished to the Trustee by the Company and (b) at such other times as the Trustee may request in writing within 30 days after the
receipt by the Company of any such request, a list of similar form and content as of a date not more than 15 days prior to the time such list is furnished; provided, however, that, in either case, no such list need be furnished for any series for
which the Trustee shall be the Security Registrar. 

  
 -19- 

 Section 5.2 Preservation Of Information; Communications With Securityholders.

(a) The Trustee shall preserve, in as current a form as is reasonably practicable, all information as to the names and addresses of the
holders of Securities contained in the most recent list furnished to it as provided in Section 5.01 and as to the names and addresses of holders of Securities received by the Trustee in its capacity as Security Registrar (if acting in such
capacity). 
 (b) The Trustee may destroy any list furnished to it as provided in Section 5.01 upon receipt of a new list so furnished.

 (c) Securityholders may communicate as provided in Section 312(b) of the Trust Indenture Act with other Securityholders with respect
to their rights under this Indenture or under the Securities, and, in connection with any such communications, the Trustee shall satisfy its obligations under Section 312(b) of the Trust Indenture Act in accordance with the provisions of
Section 312(b) of the Trust Indenture Act. 
 Section 5.3 Reports by the Company.

The Company covenants and agrees to provide (which delivery may be via electronic mail) to the Trustee, after the Company files the same with
the Securities and Exchange Commission, copies of the annual reports and of the information, documents and other reports (or copies of such portions of any of the foregoing as the Securities and Exchange Commission may from time to time by rules and
regulations prescribe) that the Company files with the Securities and Exchange Commission pursuant to Section 13 or Section 15(d) of the Exchange Act; provided, however, the Company shall not be required to deliver to the Trustee any
materials for which the Company has sought and received confidential treatment by the Securities and Exchange Commission; and provided further, so long as such filings by the Company are available on the Securities and Exchange Commission’s
Electronic Data Gathering, Analysis and Retrieval System (EDGAR), such filings shall be deemed to have been filed with the Trustee for purposes of this Section 5.03 without any further action required by the Company. 

Section 5.4 Reports by the Trustee.

(a) If required by Section 313(a) of the Trust Indenture Act, the Trustee, within sixty (60) days after each May 1, shall
transmit by mail, first class postage prepaid, to the Securityholders, as their names and addresses appear upon the Security Register, a brief report dated as of such May 1, which complies with Section 313(a) of the Trust Indenture Act.

 (b) The Trustee shall comply with Section 313(b) and 313(c) of the Trust Indenture Act. 

(c) A copy of each such report shall, at the time of such transmission to Securityholders, be filed by the Trustee with the Company, with each
securities exchange upon which any Securities are listed (if so listed) and also with the Securities and Exchange Commission. 
 The Company agrees to
notify the Trustee when any Securities become listed on any securities exchange. 

  
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 ARTICLE 6 

REMEDIES OF THE TRUSTEE AND SECURITYHOLDERS ON EVENT OF DEFAULT 

Section 6.1 Events of Default.

(a) Whenever used herein with respect to Securities of a particular series, “Event of Default” means any one or more of the
following events that has occurred and is continuing: 
 (1) the Company defaults in the payment of any installment of interest upon any of
the Securities of that series, as and when the same shall become due and payable, and such default continues for a period of 90 days; provided, however, that a valid extension of an interest payment period by the Company in accordance with the terms
of any indenture supplemental hereto shall not constitute a default in the payment of interest for this purpose; 
 (2) the Company
defaults in the payment of the principal of (or premium, if any, on) any of the Securities of that series as and when the same shall become due and payable whether at maturity, upon redemption, by declaration or otherwise, or in any payment required
by any sinking or analogous fund established with respect to that series; provided, however, that a valid extension of the maturity of such Securities in accordance with the terms of any indenture supplemental hereto shall not constitute a default
in the payment of principal or premium, if any; 
 (3) the Company fails to observe or perform any other of its covenants or agreements
with respect to that series contained in this Indenture or otherwise established with respect to that series of Securities pursuant to Section 2.01 hereof (other than a covenant or agreement that has been expressly included in this Indenture
solely for the benefit of one or more series of Securities other than such series) for a period of 90 days after the date on which written notice of such failure, requiring the same to be remedied and stating that such notice is a “Notice of
Default” hereunder, shall have been given to the Company by the Trustee, by registered or certified mail, or to the Company and the Trustee by the holders of at least 25% in principal amount of the Securities of that series at the time
Outstanding; 
 (4) the Company pursuant to or within the meaning of any Bankruptcy Law (i) commences a voluntary case,
(ii) consents to the entry of an order for relief against it in an involuntary case, (iii) consents to the appointment of a Custodian of it or for all or substantially all of its property or (iv) makes a general assignment for the
benefit of its creditors; or 
 (5) a court of competent jurisdiction enters an order under any Bankruptcy Law that (i) is for relief
against the Company in an involuntary case, (ii) appoints a Custodian of the Company for all or substantially all of its property or (iii) orders the liquidation of the Company, and the order or decree remains unstayed and in effect for 90
days. 

  
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 (b) In each and every such case (other than an Event of Default specified in clause (4) or
clause (5) above), unless the principal of all the Securities of that series shall have already become due and payable, either the Trustee or the holders of not less than 25% in aggregate principal amount of the Securities of that series then
Outstanding hereunder, by notice in writing to the Company (and to the Trustee if given by such Securityholders), may declare the principal of (and premium, if any, on) and accrued and unpaid interest on all the Securities of that series to be due
and payable immediately, and upon any such declaration the same shall become and shall be immediately due and payable. If an Event of Default specified in clause (4) or clause (5) above occurs, the principal of and accrued and unpaid
interest on all the Securities of that series shall automatically be immediately due and payable without any declaration or other act on the part of the Trustee or the holders of the Securities. 

(c) At any time after the principal of (and premium, if any, on) and accrued and unpaid interest on the Securities of that series shall have
been so declared due and payable, and before any judgment or decree for the payment of the moneys due shall have been obtained or entered as hereinafter provided, the holders of a majority in aggregate principal amount of the Securities of that
series then Outstanding hereunder, by written notice to the Company and the Trustee, may rescind and annul such declaration and its consequences if: (i) the Company has paid or deposited with the Trustee a sum sufficient to pay all matured
installments of interest upon all the Securities of that series and the principal of (and premium, if any, on) any and all Securities of that series that shall have become due otherwise than by acceleration (with interest upon such principal and
premium, if any, and, to the extent that such payment is enforceable under applicable law, upon overdue installments of interest, at the rate per annum expressed in the Securities of that series to the date of such payment or deposit) and the amount
payable to the Trustee under Section 7.06, and (ii) any and all Events of Default under the Indenture with respect to such series, other than the nonpayment of principal on (and premium, if any, on) and accrued and unpaid interest on
Securities of that series that shall not have become due by their terms, shall have been remedied or waived as provided in Section 6.06. 

No such rescission and annulment shall extend to or shall affect any subsequent default or impair any right consequent thereon. 

(d) In case the Trustee shall have proceeded to enforce any right with respect to Securities of that series under this Indenture and such
proceedings shall have been discontinued or abandoned because of such rescission or annulment or for any other reason or shall have been determined adversely to the Trustee, then and in every such case, subject to any determination in such
proceedings, the Company and the Trustee shall be restored respectively to their former positions and rights hereunder, and all rights, remedies and powers of the Company and the Trustee shall continue as though no such proceedings had been taken.

 Section 6.2 Collection of Indebtedness and Suits for Enforcement by Trustee.

(a) The Company covenants that (i) in case it shall default in the payment of any installment of interest on any of the Securities of a
series, or in any payment required by any sinking or analogous fund established with respect to that series as and when the same shall have become 

  
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due and payable, and such default shall have continued for a period of 90 days, or (ii) in case it shall default in the payment of the principal of (or premium, if any, on) any of the
Securities of a series when the same shall have become due and payable, whether upon maturity of the Securities of a series or upon redemption or upon declaration or otherwise then, upon demand of the Trustee, the Company will pay to the Trustee,
for the benefit of the holders of the Securities of that series, the whole amount that then shall have been become due and payable on all such Securities for principal (and premium, if any) or interest, or both, as the case may be, with interest
upon the overdue principal (and premium, if any) and (to the extent that payment of such interest is enforceable under applicable law) upon overdue installments of interest at the rate per annum expressed in the Securities of that series; and, in
addition thereto, such further amount as shall be sufficient to cover the costs and expenses of collection, and the amount payable to the Trustee under Section 7.06. 

(b) If the Company shall fail to pay such amounts forthwith upon such demand, the Trustee, in its own name and as trustee of an express trust,
shall be entitled and empowered to institute any action or proceedings at law or in equity for the collection of the sums so due and unpaid, and may prosecute any such action or proceeding to judgment or final decree, and may enforce any such
judgment or final decree against the Company or other obligor upon the Securities of that series and collect the moneys adjudged or decreed to be payable in the manner provided by law or equity out of the property of the Company or other obligor
upon the Securities of that series, wherever situated. 
 (c) In case of any receivership, insolvency, liquidation, bankruptcy,
reorganization, readjustment, arrangement, composition or judicial proceedings affecting the Company, or its creditors or property, the Trustee shall have power to intervene in such proceedings and take any action therein that may be permitted by
the court and shall (except as may be otherwise provided by law) be entitled to file such proofs of claim and other papers and documents as may be necessary or advisable in order to have the claims of the Trustee and of the holders of Securities of
such series allowed for the entire amount due and payable by the Company under the Indenture at the date of institution of such proceedings and for any additional amount that may become due and payable by the Company after such date, and to collect
and receive any moneys or other property payable or deliverable on any such claim, and to distribute the same after the deduction of the amount payable to the Trustee under Section 7.06; and any receiver, assignee or trustee in bankruptcy or
reorganization is hereby authorized by each of the holders of Securities of such series to make such payments to the Trustee, and, in the event that the Trustee shall consent to the making of such payments directly to such Securityholders, to pay to
the Trustee any amount due it under Section 7.06. 
 (d) All rights of action and of asserting claims under this Indenture, or under
any of the terms established with respect to Securities of that series, may be enforced by the Trustee without the possession of any of such Securities, or the production thereof at any trial or other proceeding relative thereto, and any such suit
or proceeding instituted by the Trustee shall be brought in its own name as trustee of an express trust, and any recovery of judgment shall, after provision for payment to the Trustee of any amounts due under Section 7.06, be for the ratable
benefit of the holders of the Securities of such series. 

  
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 In case of an Event of Default hereunder, the Trustee may in its discretion proceed to protect
and enforce the rights vested in it by this Indenture by such appropriate judicial proceedings as the Trustee shall deem most effectual to protect and enforce any of such rights, either at law or in equity or in bankruptcy or otherwise, whether for
the specific enforcement of any covenant or agreement contained in the Indenture or in aid of the exercise of any power granted in this Indenture, or to enforce any other legal or equitable right vested in the Trustee by this Indenture or by law.

 Nothing contained herein shall be deemed to authorize the Trustee to authorize or consent to or accept or adopt on behalf of any
Securityholder any plan of reorganization, arrangement, adjustment or composition affecting the Securities of that series or the rights of any holder thereof or to authorize the Trustee to vote in respect of the claim of any Securityholder in any
such proceeding. 
 Section 6.3 Application of Moneys Collected.

Any moneys collected by the Trustee pursuant to this Article with respect to a particular series of Securities shall be applied in the
following order, at the date or dates fixed by the Trustee and, in case of the distribution of such moneys on account of principal (or premium, if any) or interest, upon presentation of the Securities of that series, and notation thereon of the
payment, if only partially paid, and upon surrender thereof if fully paid: 
 FIRST: To the payment of all indebtedness of the Company to
which such series of Securities is subordinated to the extent required by Section 7.06 and Article Fourteen; 
 SECOND: To the payment
of the amounts then due and unpaid upon Securities of such series for principal (and premium, if any) and interest, in respect of which or for the benefit of which such money has been collected, ratably, without preference or priority of any kind,
according to the amounts due and payable on such Securities for principal (and premium, if any) and interest, respectively; and 
 THIRD: To
the payment of the remainder, if any, to the Company or any other Person lawfully entitled thereto. 
 Section 6.4 Limitation on
Suits.
 No holder of any Security of any series shall have any right by virtue or by availing of any provision of this Indenture to
institute any suit, action or proceeding in equity or at law upon or under or with respect to this Indenture or for the appointment of a receiver or trustee, or for any other remedy hereunder, unless (i) such holder previously shall have given
to the Trustee written notice of an Event of Default and of the continuance thereof with respect to the Securities of such series specifying such Event of Default, as hereinbefore provided; (ii) the holders of not less than 25% in aggregate
principal amount of the Securities of such series then Outstanding shall have made written request upon the Trustee to institute such action, suit or proceeding in its own name as Trustee hereunder; (iii) such holder or holders shall have
offered to the Trustee such reasonable indemnity as it may require against the costs, expenses and liabilities to be incurred therein or thereby; (iv) the Trustee for 90 days after its receipt of such notice, request and offer of indemnity,
shall have failed to institute any such action, suit or proceeding and (v) during such 90 day period, the holders of a majority in principal amount of the Securities of that series do not give the Trustee a direction inconsistent with the
request. 

  
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 Notwithstanding anything contained herein to the contrary or any other provisions of this
Indenture, the right of any holder of any Security to receive payment of the principal of (and premium, if any) and interest on such Security, as therein provided, on or after the respective due dates expressed in such Security (or in the case of
redemption, on the redemption date), or to institute suit for the enforcement of any such payment on or after such respective dates or redemption date, shall not be impaired or affected without the consent of such holder and by accepting a Security
hereunder it is expressly understood, intended and covenanted by the taker and holder of every Security of such series with every other such taker and holder and the Trustee, that no one or more holders of Securities of such series shall have any
right in any manner whatsoever by virtue or by availing of any provision of this Indenture to affect, disturb or prejudice the rights of the holders of any other of such Securities, or to obtain or seek to obtain priority over or preference to any
other such holder, or to enforce any right under this Indenture, except in the manner herein provided and for the equal, ratable and common benefit of all holders of Securities of such series. For the protection and enforcement of the provisions of
this Section, each and every Securityholder and the Trustee shall be entitled to such relief as can be given either at law or in equity. 

Section 6.5 Rights and Remedies Cumulative; Delay or Omission Not Waiver.

(a) Except as otherwise provided in Section 2.07, all powers and remedies given by this Article to the Trustee or to the Securityholders
shall, to the extent permitted by law, be deemed cumulative and not exclusive of any other powers and remedies available to the Trustee or the holders of the Securities, by judicial proceedings or otherwise, to enforce the performance or observance
of the covenants and agreements contained in this Indenture or otherwise established with respect to such Securities. 
 (b) No delay or
omission of the Trustee or of any holder of any of the Securities to exercise any right or power accruing upon any Event of Default occurring and continuing as aforesaid shall impair any such right or power, or shall be construed to be a waiver of
any such default or an acquiescence therein; and, subject to the provisions of Section 6.04, every power and remedy given by this Article or by law to the Trustee or the Securityholders may be exercised from time to time, and as often as shall
be deemed expedient, by the Trustee or by the Securityholders. 
 Section 6.6 Control by Securityholders.

The holders of a majority in aggregate principal amount of the Securities of any series at the time Outstanding, determined in accordance with
Section 8.04, shall have the right to direct the time, method and place of conducting any proceeding for any remedy available to the Trustee, or exercising any trust or power conferred on the Trustee with respect to such series; provided,
however, that such direction shall not be in conflict with any rule of law or with this Indenture. Subject to the provisions of Section 7.01, the Trustee shall have the right to decline to follow any such direction if the Trustee in good faith
shall, by a Responsible Officer or officers of the Trustee, 

  
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determine that the proceeding so directed, subject to the Trustee’s duties under the Trust Indenture Act, would involve the Trustee in personal liability or might be unduly prejudicial to
the Securityholders not involved in the proceeding. The holders of a majority in aggregate principal amount of the Securities of any series at the time Outstanding affected thereby, determined in accordance with Section 8.04, may on behalf of
the holders of all of the Securities of such series waive any past default in the performance of any of the covenants contained herein or established pursuant to Section 2.01 with respect to such series and its consequences, except a default in
the payment of the principal of, or premium, if any, or interest on, any of the Securities of that series as and when the same shall become due by the terms of such Securities otherwise than by acceleration (unless such default has been cured and a
sum sufficient to pay all matured installments of interest and principal and any premium has been deposited with the Trustee (in accordance with Section 6.01(c)). Upon any such waiver, the default covered thereby shall be deemed to be cured for
all purposes of this Indenture and the Company, the Trustee and the holders of the Securities of such series shall be restored to their former positions and rights hereunder, respectively; but no such waiver shall extend to any subsequent or other
default or impair any right consequent thereon. 
 Section 6.7 Undertaking to Pay Costs.

All parties to this Indenture agree, and each holder of any Securities by such holder’s acceptance thereof shall be deemed to have
agreed, that any court may in its discretion require, in any suit for the enforcement of any right or remedy under this Indenture, or in any suit against the Trustee for any action taken or omitted by it as Trustee, the filing by any party litigant
in such suit of an undertaking to pay the costs of such suit, and that such court may in its discretion assess reasonable costs, including reasonable attorneys’ fees, against any party litigant in such suit, having due regard to the merits and
good faith of the claims or defenses made by such party litigant; but the provisions of this Section shall not apply to any suit instituted by the Trustee, to any suit instituted by any Securityholder, or group of Securityholders, holding more
than 10% in aggregate principal amount of the Outstanding Securities of any series, or to any suit instituted by any Securityholder for the enforcement of the payment of the principal of (or premium, if any) or interest on any Security of such
series, on or after the respective due dates expressed in such Security or established pursuant to this Indenture. 
 ARTICLE 7 

CONCERNING THE TRUSTEE 

Section 7.1 Certain Duties and Responsibilities of Trustee.

(a) The Trustee, prior to the occurrence of an Event of Default with respect to the Securities of a series and after the curing of all Events
of Default with respect to the Securities of that series that may have occurred, shall undertake to perform with respect to the Securities of such series such duties and only such duties as are specifically set forth in this Indenture, and no
implied covenants shall be read into this Indenture against the Trustee. In case an Event of Default with respect to the Securities of a series has occurred (that has not been cured or waived), the Trustee shall exercise with respect to Securities
of that series such of the rights and powers vested in it by this Indenture, and use the same degree of care and skill in their exercise, as a prudent man would exercise or use under the circumstances in the conduct of his own affairs. 

  
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 (b) No provision of this Indenture shall be construed to relieve the Trustee from liability for
its own negligent action, its own negligent failure to act, or its own willful misconduct, except that: 
 (i) prior to the occurrence of
an Event of Default with respect to the Securities of a series and after the curing or waiving of all such Events of Default with respect to that series that may have occurred: (A) the duties and obligations of the Trustee shall with respect to
the Securities of such series be determined solely by the express provisions of this Indenture, and the Trustee shall not be liable with respect to the Securities of such series except for the performance of such duties and obligations as are
specifically set forth in this Indenture, and no implied covenants or obligations shall be read into this Indenture against the Trustee; and (B) in the absence of bad faith on the part of the Trustee, the Trustee may with respect to the
Securities of such series conclusively rely, as to the truth of the statements and the correctness of the opinions expressed therein, upon any certificates or opinions furnished to the Trustee and conforming to the requirements of this Indenture;
but in the case of any such certificates or opinions that by any provision hereof are specifically required to be furnished to the Trustee, the Trustee shall be under a duty to examine the same to determine whether or not they conform to the
requirements of this Indenture; 
 (ii) the Trustee shall not be liable for any error of judgment made in good faith by a Responsible
Officer or Responsible Officers of the Trustee, unless it shall be proved that the Trustee was negligent in ascertaining the pertinent facts; 

(iii) the Trustee shall not be liable with respect to any action taken or omitted to be taken by it in good faith in accordance with the
direction of the holders of not less than a majority in principal amount of the Securities of any series at the time Outstanding relating to the time, method and place of conducting any proceeding for any remedy available to the Trustee, or
exercising any trust or power conferred upon the Trustee under this Indenture with respect to the Securities of that series; and 
 (iv)
None of the provisions contained in this Indenture shall require the Trustee to expend or risk its own funds or otherwise incur personal financial liability in the performance of any of its duties or in the exercise of any of its rights or powers if
there is reasonable ground for believing that the repayment of such funds or liability is not reasonably assured to it under the terms of this Indenture or adequate indemnity against such risk is not reasonably assured to it. 

Section 7.2 Certain Rights of Trustee.

Except as otherwise provided in Section 7.01: 

(a) The Trustee may rely and shall be protected in acting or refraining from acting upon any resolution, certificate, statement, instrument,
opinion, report, notice, request, consent, order, approval, bond, security or other paper or document believed by it to be genuine and to have been signed or presented by the proper party or parties; 

  
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 (b) Any request, direction, order or demand of the Company mentioned herein shall be sufficiently
evidenced by a Board Resolution or an instrument signed in the name of the Company by any authorized officer of the Company (unless other evidence in respect thereof is specifically prescribed herein); 

(c) The Trustee may consult with counsel and the written advice of such counsel or, if requested, any Opinion of Counsel shall be full and
complete authorization and protection in respect of any action taken or suffered or omitted hereunder in good faith and in reliance thereon; 

(d) The Trustee shall be under no obligation to exercise any of the rights or powers vested in it by this Indenture at the request, order or
direction of any of the Securityholders pursuant to the provisions of this Indenture, unless such Securityholders shall have offered to the Trustee reasonable security or indemnity against the costs, expenses and liabilities that may be incurred
therein or thereby; nothing contained herein shall, however, relieve the Trustee of the obligation, upon the occurrence of an Event of Default with respect to a series of the Securities (that has not been cured or waived), to exercise with respect
to Securities of that series such of the rights and powers vested in it by this Indenture, and to use the same degree of care and skill in their exercise, as a prudent man would exercise or use under the circumstances in the conduct of his own
affairs; 
 (e) The Trustee shall not be liable for any action taken or omitted to be taken by it in good faith and believed by it to be
authorized or within the discretion or rights or powers conferred upon it by this Indenture; 
 (f) The Trustee shall not be bound to make
any investigation into the facts or matters stated in any resolution, certificate, statement, instrument, opinion, report, notice, request, consent, order, approval, bond, security, or other papers or documents, unless requested in writing so to do
by the holders of not less than a majority in principal amount of the Outstanding Securities of the particular series affected thereby (determined as provided in Section 8.04); provided, however, that if the payment within a reasonable time to
the Trustee of the costs, expenses or liabilities likely to be incurred by it in the making of such investigation is, in the opinion of the Trustee, not reasonably assured to the Trustee by the security afforded to it by the terms of this Indenture,
the Trustee may require reasonable indemnity against such costs, expenses or liabilities as a condition to so proceeding. The reasonable expense of every such examination shall be paid by the Company or, if paid by the Trustee, shall be repaid by
the Company upon demand; and 
 (g) The Trustee may execute any of the trusts or powers hereunder or perform any duties hereunder either
directly or by or through agents or attorneys and the Trustee shall not be responsible for any misconduct or negligence on the part of any agent or attorney appointed with due care by it hereunder. 

  
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 In addition, the Trustee shall not be deemed to have knowledge of any Default or Event of Default
except (1) any Event of Default occurring pursuant to Sections 6.01(a)(1) and 6.01(a)(2) or (2) any Default or Event of Default of which the Trustee shall have received written notification in the manner set forth in this Indenture or
a Responsible Officer of the Trustee shall have obtained actual knowledge. Delivery of reports, information and documents to the Trustee under Section 5.03 is for informational purposes only and the information and the Trustee’s receipt of
the foregoing shall not constitute constructive notice of any information contained therein, or determinable from information contained therein including the Company’s compliance with any of their covenants thereunder (as to which the Trustee
is entitled to rely exclusively on an Officer’s Certificate). 
 Section 7.3 Trustee Not Responsible for Recitals or Issuance
or Securities.
 (a) The recitals contained herein and in the Securities shall be taken as the statements of the Company, and the
Trustee assumes no responsibility for the correctness of the same. 
 (b) The Trustee makes no representations as to the validity or
sufficiency of this Indenture or of the Securities. 
 (c) The Trustee shall not be accountable for the use or application by the Company of
any of the Securities or of the proceeds of such Securities, or for the use or application of any moneys paid over by the Trustee in accordance with any provision of this Indenture or established pursuant to Section 2.01, or for the use or
application of any moneys received by any paying agent other than the Trustee. 
 Section 7.4 May Hold Securities.

The Trustee or any paying agent or Security Registrar, in its individual or any other capacity, may become the owner or pledgee of Securities
with the same rights it would have if it were not Trustee, paying agent or Security Registrar. 
 Section 7.5 Moneys Held in
Trust.
 Subject to the provisions of Section 11.05, all moneys received by the Trustee shall, until used or applied as herein
provided, be held in trust for the purposes for which they were received, but need not be segregated from other funds except to the extent required by law. The Trustee shall be under no liability for interest on any moneys received by it hereunder
except such as it may agree with the Company to pay thereon. 
 Section 7.6 Compensation and Reimbursement.

(a) The Company covenants and agrees to pay to the Trustee, and the Trustee shall be entitled to, such reasonable compensation (which shall
not be limited by any provision of law in regard to the compensation of a trustee of an express trust) as the Company and the Trustee may from time to time agree in writing, for all services rendered by it in the execution of the trusts

  
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hereby created and in the exercise and performance of any of the powers and duties hereunder of the Trustee, and, except as otherwise expressly provided herein, the Company will pay or reimburse
the Trustee upon its request for all reasonable expenses, disbursements and advances incurred or made by the Trustee in accordance with any of the provisions of this Indenture (including the reasonable compensation and the expenses and disbursements
of its counsel and of all Persons not regularly in its employ), except any such expense, disbursement or advance as may arise from its negligence or bad faith and except as the Company and Trustee may from time to time agree in writing. The Company
also covenants to indemnify the Trustee (and its officers, agents, directors and employees) for, and to hold it harmless against, any loss, liability or expense incurred without negligence or bad faith on the part of the Trustee and arising out of
or in connection with the acceptance or administration of this trust, including the reasonable costs and expenses of defending itself against any claim of liability in the premises. 

(b) The obligations of the Company under this Section to compensate and indemnify the Trustee and to pay or reimburse the Trustee for
reasonable expenses, disbursements and advances shall constitute indebtedness of the Company to which the Securities are subordinated. Such additional indebtedness shall be secured by a lien prior to that of the Securities upon all property and
funds held or collected by the Trustee as such, except funds held in trust for the benefit of the holders of particular Securities. 

Section 7.7 Reliance on Officer’s Certificate.

Except as otherwise provided in Section 7.01, whenever in the administration of the provisions of this Indenture the Trustee shall deem
it reasonably necessary or desirable that a matter be proved or established prior to taking or suffering or omitting to take any action hereunder, such matter (unless other evidence in respect thereof be herein specifically prescribed) may, in the
absence of negligence or bad faith on the part of the Trustee, be deemed to be conclusively proved and established by an Officer’s Certificate delivered to the Trustee and such certificate, in the absence of negligence or bad faith on the part
of the Trustee, shall be full warrant to the Trustee for any action taken, suffered or omitted to be taken by it under the provisions of this Indenture upon the faith thereof. 

Section 7.8 Disqualification; Conflicting Interests.

If the Trustee has or shall acquire any “conflicting interest” within the meaning of Section 310(b) of the Trust Indenture Act,
the Trustee and the Company shall in all respects comply with the provisions of Section 310(b) of the Trust Indenture Act. 

Section 7.9 Corporate Trustee Required; Eligibility.

There shall at all times be a Trustee with respect to the Securities issued hereunder which shall at all times be a corporation organized and
doing business under the laws of the United States of America or any state or territory thereof or of the District of Columbia, or a corporation or other Person permitted to act as trustee by the Securities and Exchange Commission, authorized under
such laws to exercise corporate trust powers, having a combined capital and surplus of at least fifty million U.S. dollars ($50,000,000), and subject to supervision or examination by federal, state, territorial, or District of Columbia authority.

  
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 If such corporation or other Person publishes reports of condition at least annually, pursuant to
law or to the requirements of the aforesaid supervising or examining authority, then for the purposes of this Section, the combined capital and surplus of such corporation or other Person shall be deemed to be its combined capital and surplus as set
forth in its most recent report of condition so published. The Company may not, nor may any Person directly or indirectly controlling, controlled by, or under common control with the Company, serve as Trustee. In case at any time the Trustee shall
cease to be eligible in accordance with the provisions of this Section, the Trustee shall resign immediately in the manner and with the effect specified in Section 7.10. 

Section 7.10 Resignation and Removal; Appointment of Successor.

(a) The Trustee or any successor hereafter appointed may at any time resign with respect to the Securities of one or more series by giving
written notice thereof to the Company and by transmitting notice of resignation by mail, first class postage prepaid, to the Securityholders of such series, as their names and addresses appear upon the Security Register. Upon receiving such notice
of resignation, the Company shall promptly appoint a successor trustee with respect to Securities of such series by written instrument, in duplicate, executed by order of the Board of Directors, one copy of which instrument shall be delivered to the
resigning Trustee and one copy to the successor trustee. If no successor trustee shall have been so appointed and have accepted appointment within 30 days after the mailing of such notice of resignation, the resigning Trustee may petition any court
of competent jurisdiction for the appointment of a successor trustee with respect to Securities of such series, or any Securityholder of that series who has been a bona fide holder of a Security or Securities for at least six months may on behalf of
himself and all others similarly situated, petition any such court for the appointment of a successor trustee. Such court may thereupon after such notice, if any, as it may deem proper and prescribe, appoint a successor trustee. 

(b) In case at any time any one of the following shall occur: 

(i) the Trustee shall fail to comply with the provisions of Section 7.08 after written request therefor by the Company or by any
Securityholder who has been a bona fide holder of a Security or Securities for at least six months; or 
 (ii) the Trustee shall cease to
be eligible in accordance with the provisions of Section 7.09 and shall fail to resign after written request therefor by the Company or by any such Securityholder; or 

(iii) the Trustee shall become incapable of acting, or shall be adjudged a bankrupt or insolvent, or commence a voluntary bankruptcy
proceeding, or a receiver of the Trustee or of its property shall be appointed or consented to, or any public officer shall take charge or control of the Trustee or of its property or affairs for the purpose of rehabilitation, conservation or
liquidation; 

  
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 then, in any such case, the Company may remove the Trustee with respect to all Securities and
appoint a successor trustee by written instrument, in duplicate, executed by order of the Board of Directors, one copy of which instrument shall be delivered to the Trustee so removed and one copy to the successor trustee, or any Securityholder who
has been a bona fide holder of a Security or Securities for at least six months may, on behalf of that holder and all others similarly situated, petition any court of competent jurisdiction for the removal of the Trustee and the appointment of a
successor trustee. Such court may thereupon after such notice, if any, as it may deem proper and prescribe, remove the Trustee and appoint a successor trustee. 

(c) The holders of a majority in aggregate principal amount of the Securities of any series at the time Outstanding may at any time remove the
Trustee with respect to such series by so notifying the Trustee and the Company and may appoint a successor Trustee for such series with the consent of the Company. 

(d) Any resignation or removal of the Trustee and appointment of a successor trustee with respect to the Securities of a series pursuant to
any of the provisions of this Section shall become effective upon acceptance of appointment by the successor trustee as provided in Section 7.11. 

(e) Any successor trustee appointed pursuant to this Section may be appointed with respect to the Securities of one or more series or all
of such series, and at any time there shall be only one Trustee with respect to the Securities of any particular series. 

Section 7.11 Acceptance of Appointment By Successor.

(a) In case of the appointment hereunder of a successor trustee with respect to all Securities, every such successor trustee so appointed
shall execute, acknowledge and deliver to the Company and to the retiring Trustee an instrument accepting such appointment, and thereupon the resignation or removal of the retiring Trustee shall become effective and such successor trustee, without
any further act, deed or conveyance, shall become vested with all the rights, powers, trusts and duties of the retiring Trustee; but, on the request of the Company or the successor trustee, such retiring Trustee shall, upon payment of its charges,
execute and deliver an instrument transferring to such successor trustee all the rights, powers, and trusts of the retiring Trustee and shall duly assign, transfer and deliver to such successor trustee all property and money held by such retiring
Trustee hereunder. 
 (b) In case of the appointment hereunder of a successor trustee with respect to the Securities of one or more (but not
all) series, the Company, the retiring Trustee and each successor trustee with respect to the Securities of one or more series shall execute and deliver an indenture supplemental hereto wherein each successor trustee shall accept such appointment
and which (i) shall contain such provisions as shall be necessary or desirable to transfer and confirm to, and to vest in, each successor trustee all the rights, powers, trusts and duties of the retiring Trustee with respect to the Securities
of that or those series to which the appointment of such successor trustee relates, (ii) shall contain such provisions as shall be deemed necessary or desirable to confirm that all the rights, powers, trusts and duties of the retiring Trustee
with respect to the Securities of that or 

  
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those series as to which the retiring Trustee is not retiring shall continue to be vested in the retiring Trustee, and (iii) shall add to or change any of the provisions of this Indenture as
shall be necessary to provide for or facilitate the administration of the trusts hereunder by more than one Trustee, it being understood that nothing herein or in such supplemental indenture shall constitute such Trustees co-trustees of the same trust, that each such Trustee shall be trustee of a trust or trusts hereunder separate and apart from any trust or trusts hereunder administered by any other such Trustee and that no Trustee
shall be responsible for any act or failure to act on the part of any other Trustee hereunder; and upon the execution and delivery of such supplemental indenture the resignation or removal of the retiring Trustee shall become effective to the extent
provided therein, such retiring Trustee shall with respect to the Securities of that or those series to which the appointment of such successor trustee relates have no further responsibility for the exercise of rights and powers or for the
performance of the duties and obligations vested in the Trustee under this Indenture, and each such successor trustee, without any further act, deed or conveyance, shall become vested with all the rights, powers, trusts and duties of the retiring
Trustee with respect to the Securities of that or those series to which the appointment of such successor trustee relates; but, on request of the Company or any successor trustee, such retiring Trustee shall duly assign, transfer and deliver to such
successor trustee, to the extent contemplated by such supplemental indenture, the property and money held by such retiring Trustee hereunder with respect to the Securities of that or those series to which the appointment of such successor trustee
relates. 
 (c) Upon request of any such successor trustee, the Company shall execute any and all instruments for more fully and certainly
vesting in and confirming to such successor trustee all such rights, powers and trusts referred to in paragraph (a) or (b) of this Section, as the case may be. 

(d) No successor trustee shall accept its appointment unless at the time of such acceptance such successor trustee shall be qualified and
eligible under this Article. 
 (e) Upon acceptance of appointment by a successor trustee as provided in this Section, the Company shall
transmit notice of the succession of such trustee hereunder by mail, first class postage prepaid, to the Securityholders, as their names and addresses appear upon the Security Register. If the Company fails to transmit such notice within ten days
after acceptance of appointment by the successor trustee, the successor trustee shall cause such notice to be transmitted at the expense of the Company. 

Section 7.12 Merger, Conversion, Consolidation or Succession to Business.

Any corporation into which the Trustee may be merged or converted or with which it may be consolidated, or any corporation resulting from any
merger, conversion or consolidation to which the Trustee shall be a party, or any corporation succeeding to the corporate trust business of the Trustee, including the administration of the trust created by this Indenture, shall be the successor of
the Trustee hereunder, provided that such corporation shall be qualified under the provisions of Section 7.08 and eligible under the provisions of Section 7.09, without the execution or filing of any paper or any further act on the part of
any of the parties hereto, anything herein to the contrary notwithstanding. In case any Securities shall have been authenticated, but not delivered, by the Trustee then in office, any successor by merger, conversion or consolidation to such
authenticating Trustee may adopt such authentication and deliver the Securities so authenticated with the same effect as if such successor Trustee had itself authenticated such Securities. 

  
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 Section 7.13 Preferential Collection of Claims Against the Company.

The Trustee shall comply with Section 311(a) of the Trust Indenture Act, excluding any creditor relationship described in
Section 311(b) of the Trust Indenture Act. A Trustee who has resigned or been removed shall be subject to Section 311(a) of the Trust Indenture Act to the extent included therein. 

Section 7.14 Notice of Default 

If any Default or any Event of Default occurs and is continuing and if such Default or Event of Default is known to a Responsible Officer of
the Trustee, the Trustee shall mail to each Securityholder in the manner and to the extent provided in Section 313(c) of the Trust Indenture Act notice of the Default or Event of Default within the earlier of 90 days after it occurs and 30 days
after it is known to a Responsible Officer of the Trustee or written notice of it is received by the Trustee, unless such Default or Event of Default has been cured; provided, however, that, except in the case of a default in the payment of the
principal of (or premium, if any) or interest on any Security, the Trustee shall be protected in withholding such notice if and so long as the board of directors, the executive committee or a trust committee of directors and/or Responsible Officers
of the Trustee in good faith determine that the withholding of such notice is in the interest of the Securityholders. 
 ARTICLE 8

 CONCERNING THE SECURITYHOLDERS 

Section 8.1 Evidence of Action by Securityholders.

Whenever in this Indenture it is provided that the holders of a majority or specified percentage in aggregate principal amount of the
Securities of a particular series may take any action (including the making of any demand or request, the giving of any notice, consent or waiver or the taking of any other action), the fact that at the time of taking any such action the holders of
such majority or specified percentage of that series have joined therein may be evidenced by any instrument or any number of instruments of similar tenor executed by such holders of Securities of that series in person or by agent or proxy appointed
in writing. 
 If the Company shall solicit from the Securityholders of any series any request, demand, authorization, direction, notice,
consent, waiver or other action, the Company may, at its option, as evidenced by an Officer’s Certificate, fix in advance a record date for such series for the determination of Securityholders entitled to give such request, demand,
authorization, direction, notice, consent, waiver or other action, but the Company shall have no obligation to do so. If such a record date is fixed, such request, demand, authorization, direction, notice, consent, waiver or other

  
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action may be given before or after the record date, but only the Securityholders of record at the close of business on the record date shall be deemed to be Securityholders for the purposes of
determining whether Securityholders of the requisite proportion of Outstanding Securities of that series have authorized or agreed or consented to such request, demand, authorization, direction, notice, consent, waiver or other action, and for that
purpose the Outstanding Securities of that series shall be computed as of the record date; provided, however, that no such authorization, agreement or consent by such Securityholders on the record date shall be deemed effective unless it shall
become effective pursuant to the provisions of this Indenture not later than six months after the record date. 
 Section 8.2 Proof
of Execution by Securityholders.
 Subject to the provisions of Section 7.01, proof of the execution of any instrument by a
Securityholder (such proof will not require notarization) or his agent or proxy and proof of the holding by any Person of any of the Securities shall be sufficient if made in the following manner: 

(a) The fact and date of the execution by any such Person of any instrument may be proved in any reasonable manner acceptable to the Trustee.

 (b) The ownership of Securities shall be proved by the Security Register of such Securities or by a certificate of the Security Registrar
thereof. 
 The Trustee may require such additional proof of any matter referred to in this Section as it shall deem necessary. 

Section 8.3 Who May be Deemed Owners.

Prior to the due presentment for registration of transfer of any Security, the Company, the Trustee, any paying agent and any Security
Registrar may deem and treat the Person in whose name such Security shall be registered upon the books of the Company as the absolute owner of such Security (whether or not such Security shall be overdue and notwithstanding any notice of ownership
or writing thereon made by anyone other than the Security Registrar) for the purpose of receiving payment of or on account of the principal of, premium, if any, and (subject to Section 2.03) interest on such Security and for all other purposes;
and neither the Company nor the Trustee nor any paying agent nor any Security Registrar shall be affected by any notice to the contrary. 

Section 8.4 Certain Securities Owned by Company Disregarded.

In determining whether the holders of the requisite aggregate principal amount of Securities of a particular series have concurred in any
direction, consent or waiver under this Indenture, the Securities of that series that are owned by the Company or any other obligor on the Securities of that series or by any Person directly or indirectly controlling or controlled by or under common
control with the Company or any other obligor on the Securities of that series shall be disregarded and deemed not to be Outstanding for the purpose of any such determination, except that for the purpose of determining whether the Trustee shall be
protected in relying on any such direction, consent or waiver, only Securities of such series that the Trustee actually knows are so owned shall be so 

  
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disregarded. The Securities so owned that have been pledged in good faith may be regarded as Outstanding for the purposes of this Section, if the pledgee shall establish to the satisfaction of
the Trustee the pledgee’s right so to act with respect to such Securities and that the pledgee is not a Person directly or indirectly controlling or controlled by or under direct or indirect common control with the Company or any such other
obligor. In case of a dispute as to such right, any decision by the Trustee taken upon the advice of counsel shall be full protection to the Trustee. 

Section 8.5 Actions Binding on Future Securityholders.

At any time prior to (but not after) the evidencing to the Trustee, as provided in Section 8.01, of the taking of any action by the
holders of the majority or percentage in aggregate principal amount of the Securities of a particular series specified in this Indenture in connection with such action, any holder of a Security of that series that is shown by the evidence to be
included in the Securities the holders of which have consented to such action may, by filing written notice with the Trustee, and upon proof of holding as provided in Section 8.02, revoke such action so far as concerns such Security. Except as
aforesaid any such action taken by the holder of any Security shall be conclusive and binding upon such holder and upon all future holders and owners of such Security, and of any Security issued in exchange therefor, on registration of transfer
thereof or in place thereof, irrespective of whether or not any notation in regard thereto is made upon such Security. Any action taken by the holders of the majority or percentage in aggregate principal amount of the Securities of a particular
series specified in this Indenture in connection with such action shall be conclusively binding upon the Company, the Trustee and the holders of all the Securities of that series. 

ARTICLE 9 
 SUPPLEMENTAL
INDENTURES 
 Section 9.1 Supplemental Indentures Without the Consent of Securityholders.

In addition to any supplemental indenture otherwise authorized by this Indenture, the Company and the Trustee may from time to time and at any
time enter into an indenture or indentures supplemental hereto (which shall conform to the provisions of the Trust Indenture Act as then in effect), without the consent of the Securityholders, for one or more of the following purposes: 

(a) to cure any ambiguity, defect, or inconsistency herein or in the Securities of any series; 

(b) to comply with Article Ten; 

(c) to provide for uncertificated Securities in addition to or in place of certificated Securities; 

  
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 (d) to add to the covenants, restrictions, conditions or provisions relating to the Company for
the benefit of the holders of all or any series of Securities (and if such covenants, restrictions, conditions or provisions are to be for the benefit of less than all series of Securities, stating that such covenants, restrictions, conditions or
provisions are expressly being included solely for the benefit of such series), to make the occurrence, or the occurrence and the continuance, of a default in any such additional covenants, restrictions, conditions or provisions an Event of Default,
or to surrender any right or power herein conferred upon the Company; 
 (e) to add to, delete from, or revise the conditions, limitations,
and restrictions on the authorized amount, terms, or purposes of issue, authentication, and delivery of Securities, as herein set forth; 

(f) to make any change that does not adversely affect the rights of any Securityholder in any material respect; 

(g) to provide for the issuance of and establish the form and terms and conditions of the Securities of any series as provided in
Section 2.01, to establish the form of any certifications required to be furnished pursuant to the terms of this Indenture or any series of Securities, or to add to the rights of the holders of any series of Securities; 

(h) to evidence and provide for the acceptance of appointment hereunder by a successor trustee; or 

(i) to comply with any requirements of the Securities and Exchange Commission or any successor in connection with the qualification of this
Indenture under the Trust Indenture Act. 
 The Trustee is hereby authorized to join with the Company in the execution of any such
supplemental indenture, and to make any further appropriate agreements and stipulations that may be therein contained, but the Trustee shall not be obligated to enter into any such supplemental indenture that affects the Trustee’s own rights,
duties or immunities under this Indenture or otherwise. 
 Any supplemental indenture authorized by the provisions of this Section may
be executed by the Company and the Trustee without the consent of the holders of any of the Securities at the time Outstanding, notwithstanding any of the provisions of Section 9.02. 

Section 9.2 Supplemental Indentures With Consent of Securityholders.

With the consent (evidenced as provided in Section 8.01) of the holders of not less than a majority in aggregate principal amount of the
Securities of each series affected by such supplemental indenture or indentures at the time Outstanding, the Company, when authorized by a Board Resolution, and the Trustee may from time to time and at any time enter into an indenture or indentures
supplemental hereto (which shall conform to the provisions of the Trust Indenture Act as then in effect) for the purpose of adding any provisions to or changing in any manner or eliminating any of the provisions of this Indenture or of any
supplemental indenture or of modifying in any 

  
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manner not covered by Section 9.01 the rights of the holders of the Securities of such series under this Indenture; provided, however, that no such supplemental indenture shall, without the
consent of the holders of each Security then Outstanding and affected thereby, (a) extend the fixed maturity of any Securities of any series, or reduce the principal amount thereof, or reduce the rate or extend the time of payment of interest
thereon, or reduce any premium payable upon the redemption thereof or (b) reduce the aforesaid percentage of Securities, the holders of which are required to consent to any such supplemental indenture. 

It shall not be necessary for the consent of the Securityholders of any series affected thereby under this Section to approve the
particular form of any proposed supplemental indenture, but it shall be sufficient if such consent shall approve the substance thereof. 

Section 9.3 Effect of Supplemental Indentures.

Upon the execution of any supplemental indenture pursuant to the provisions of this Article or of Section 10.01, this Indenture shall,
with respect to such series, be and be deemed to be modified and amended in accordance therewith and the respective rights, limitations of rights, obligations, duties and immunities under this Indenture of the Trustee, the Company and the holders of
Securities of the series affected thereby shall thereafter be determined, exercised and enforced hereunder subject in all respects to such modifications and amendments, and all the terms and conditions of any such supplemental indenture shall be and
be deemed to be part of the terms and conditions of this Indenture for any and all purposes. 
 Section 9.4 Securities Affected by
Supplemental Indentures.
 Securities of any series affected by a supplemental indenture, authenticated and delivered after the
execution of such supplemental indenture pursuant to the provisions of this Article or of Section 10.01, may bear a notation in form approved by the Company, provided such form meets the requirements of any securities exchange upon which such
series may be listed, as to any matter provided for in such supplemental indenture. If the Company shall so determine, new Securities of that series so modified as to conform, in the opinion of the Board of Directors, to any modification of this
Indenture contained in any such supplemental indenture may be prepared by the Company, authenticated by the Trustee and delivered in exchange for the Securities of that series then Outstanding. 

Section 9.5 Execution of Supplemental Indentures.

Upon the request of the Company, accompanied by its Board Resolutions authorizing the execution of any such supplemental indenture, and upon
the filing with the Trustee of evidence of the consent of Securityholders required to consent thereto as aforesaid, the Trustee shall join with the Company in the execution of such supplemental indenture unless such supplemental indenture affects
the Trustee’s own rights, duties or immunities under this Indenture or otherwise, in which case the Trustee may in its discretion but shall not be obligated to enter into such supplemental indenture. The Trustee, subject to the provisions of
Section 7.01, may receive an Officer’s Certificate or, if requested, an Opinion of Counsel as conclusive evidence that any supplemental 

  
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indenture executed pursuant to this Article is authorized or permitted by, and conforms to, the terms of this Article and that it is proper for the Trustee under the provisions of this Article to
join in the execution thereof; provided, however, that such Officer’s Certificate or Opinion of Counsel need not be provided in connection with the execution of a supplemental indenture that establishes the terms of a series of Securities
pursuant to Section 2.01 hereof. 
 Promptly after the execution by the Company and the Trustee of any supplemental indenture pursuant
to the provisions of this Section, the Trustee shall transmit by mail, first class postage prepaid, a notice, setting forth in general terms the substance of such supplemental indenture, to the Securityholders of all series affected thereby as their
names and addresses appear upon the Security Register. Any failure of the Trustee to mail such notice, or any defect therein, shall not, however, in any way impair or affect the validity of any such supplemental indenture. 

ARTICLE 10 
 SUCCESSOR
ENTITY 
 Section 10.1 Company May Consolidate, Etc.

Except as provided pursuant to Section 2.01 pursuant to a Board Resolution, and set forth in an Officer’s Certificate, or
established in one or more indentures supplemental to this Indenture, nothing contained in this Indenture shall prevent any consolidation or merger of the Company with or into any other Person (whether or not affiliated with the Company) or
successive consolidations or mergers in which the Company or its successor or successors shall be a party or parties, or shall prevent any sale, conveyance, transfer or other disposition of the property of the Company or its successor or successors
as an entirety, or substantially as an entirety, to any other corporation (whether or not affiliated with the Company or its successor or successors) authorized to acquire and operate the same; provided, however, (a) the Company hereby
covenants and agrees that, upon any such consolidation or merger (in each case, if the Company is not the survivor of such transaction), sale, conveyance, transfer or other disposition, the due and punctual payment of the principal of (premium, if
any) and interest on all of the Securities of all series in accordance with the terms of each series, according to their tenor, and the due and punctual performance and observance of all the covenants and conditions of this Indenture with respect to
each series or established with respect to such series pursuant to Section 2.01 to be kept or performed by the Company shall be expressly assumed, by supplemental indenture (which shall conform to the provisions of the Trust Indenture Act, as
then in effect) reasonably satisfactory in form to the Trustee executed and delivered to the Trustee by the entity formed by such consolidation, or into which the Company shall have been merged, or by the entity which shall have acquired such
property and (b) in the event that the Securities of any series then Outstanding are convertible into or exchangeable for shares of common stock or other securities of the Company, such entity shall, by such supplemental indenture, make
provision so that the Securityholders of Securities of that series shall thereafter be entitled to receive upon conversion or exchange of such Securities the number of securities or property to which a holder of the number of shares of common stock
or other securities of the Company deliverable upon conversion or exchange of those Securities would have been entitled had such conversion or exchange occurred immediately prior to such consolidation, merger, sale, conveyance, transfer or other
disposition. 

  
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 Section 10.2 Successor Entity Substituted.

(a) In case of any such consolidation, merger, sale, conveyance, transfer or other disposition and upon the assumption by the successor entity
by supplemental indenture, executed and delivered to the Trustee and satisfactory in form to the Trustee, of the obligations set forth under Section 10.01 on all of the Securities of all series Outstanding, such successor entity shall succeed
to and be substituted for the Company with the same effect as if it had been named as the Company herein, and thereupon the predecessor corporation shall be relieved of all obligations and covenants under this Indenture and the Securities. 

(b) In case of any such consolidation, merger, sale, conveyance, transfer or other disposition, such changes in phraseology and form (but not
in substance) may be made in the Securities thereafter to be issued as may be appropriate. 
 (c) Nothing contained in this Article shall
require any action by the Company in the case of a consolidation or merger of any Person into the Company where the Company is the survivor of such transaction, or the acquisition by the Company, by purchase or otherwise, of all or any part of the
property of any other Person (whether or not affiliated with the Company). 
 Section 10.3 Evidence of Consolidation,
Etc. to Trustee. 
 The Trustee, subject to the provisions of Section 7.01, may receive an Officer’s Certificate
and, if requested, an Opinion of Counsel as conclusive evidence that any such consolidation, merger, sale, conveyance, transfer or other disposition, and any such assumption, comply with the provisions of this Article. 

ARTICLE 11 
 SATISFACTION
AND DISCHARGE 
 Section 11.1 Satisfaction and Discharge of Indenture.

If at any time: (a) the Company shall have delivered to the Trustee for cancellation all Securities of a series theretofore authenticated
and not delivered to the Trustee for cancellation (other than any Securities that shall have been destroyed, lost or stolen and that shall have been replaced or paid as provided in Section 2.07 and Securities for whose payment money or
Governmental Obligations have theretofore been deposited in trust or segregated and held in trust by the Company and thereupon repaid to the Company or discharged from such trust, as provided in Section 11.05); or (b) all such Securities
of a particular series not theretofore delivered to the Trustee for cancellation shall have become due and payable, or are by their terms to become due and payable within one year or are to be called for redemption within one year under arrangements
satisfactory to the Trustee for the giving of notice of redemption, and the Company shall deposit or cause to be 

  
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deposited with the Trustee as trust funds the entire amount in moneys or Governmental Obligations or a combination thereof, sufficient in the opinion of a nationally recognized firm of
independent public accountants expressed in a written certification thereof delivered to the Trustee, to pay at maturity or upon redemption all Securities of that series not theretofore delivered to the Trustee for cancellation, including principal
(and premium, if any) and interest due or to become due to such date of maturity or date fixed for redemption, as the case may be, and if the Company shall also pay or cause to be paid all other sums payable hereunder with respect to such series by
the Company then this Indenture shall thereupon cease to be of further effect with respect to such series except for the provisions of Sections 2.03, 2.05, 2.07, 4.01, 4.02, 4.03 and 7.10, that shall survive until the date of maturity or
redemption date, as the case may be, and Sections 7.06 and 11.05, that shall survive to such date and thereafter, and the Trustee, on demand of the Company and at the cost and expense of the Company shall execute proper instruments
acknowledging satisfaction of and discharging this Indenture with respect to such series. 
 Section 11.2 Discharge of
Obligations.
 If at any time all such Securities of a particular series not heretofore delivered to the Trustee for cancellation or
that have not become due and payable as described in Section 11.01 shall have been paid by the Company by depositing irrevocably with the Trustee as trust funds moneys or an amount of Governmental Obligations sufficient to pay at maturity or
upon redemption all such Securities of that series not theretofore delivered to the Trustee for cancellation, including principal (and premium, if any) and interest due or to become due to such date of maturity or date fixed for redemption, as the
case may be, and if the Company shall also pay or cause to be paid all other sums payable hereunder by the Company with respect to such series, then after the date such moneys or Governmental Obligations, as the case may be, are deposited with the
Trustee the obligations of the Company under this Indenture with respect to such series shall cease to be of further effect except for the provisions of Sections 2.03, 2.05, 2.07, 4,01, 4.02, 4,03, 7.06, 7.10 and 11.05 hereof that shall survive
until such Securities shall mature and be paid. 
 Thereafter, Sections 7.06 and 11.05 shall survive. 

Section 11.3 Deposited Moneys to be Held in Trust.

All moneys or Governmental Obligations deposited with the Trustee pursuant to Sections 11.01 or 11.02 shall be held in trust and shall be
available for payment as due, either directly or through any paying agent (including the Company acting as its own paying agent), to the holders of the particular series of Securities for the payment or redemption of which such moneys or
Governmental Obligations have been deposited with the Trustee. 
 Section 11.4 Payment of Moneys Held by Paying Agents.

In connection with the satisfaction and discharge of this Indenture all moneys or Governmental Obligations then held by any paying agent under
the provisions of this Indenture shall, upon demand of the Company, be paid to the Trustee and thereupon such paying agent shall be released from all further liability with respect to such moneys or Governmental Obligations. 

  
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 Section 11.5 Repayment to Company.

Any moneys or Governmental Obligations deposited with any paying agent or the Trustee, or then held by the Company, in trust for payment of
principal of or premium, if any, or interest on the Securities of a particular series that are not applied but remain unclaimed by the holders of such Securities for at least two years after the date upon which the principal of (and premium, if any)
or interest on such Securities shall have respectively become due and payable, or such other shorter period set forth in applicable escheat or abandoned or unclaimed property law, shall be repaid to the Company on May 31 of each year or upon
the Company’s request or (if then held by the Company) shall be discharged from such trust; and thereupon the paying agent and the Trustee shall be released from all further liability with respect to such moneys or Governmental Obligations, and
the holder of any of the Securities entitled to receive such payment shall thereafter, as a general creditor, look only to the Company for the payment thereof. 

ARTICLE 12 
 IMMUNITY OF
INCORPORATORS, STOCKHOLDERS, OFFICERS AND DIRECTORS 
 Section 12.1 No Recourse.

No recourse under or upon any obligation, covenant or agreement of this Indenture, or of any Security, or for any claim based thereon or
otherwise in respect thereof, shall be had against any incorporator, stockholder, officer or director, past, present or future as such, of the Company or of any predecessor or successor corporation, either directly or through the Company or any such
predecessor or successor corporation, whether by virtue of any constitution, statute or rule of law, or by the enforcement of any assessment or penalty or otherwise; it being expressly understood that this Indenture and the obligations issued
hereunder are solely corporate obligations, and that no such personal liability whatever shall attach to, or is or shall be incurred by, the incorporators, stockholders, officers or directors as such, of the Company or of any predecessor or
successor corporation, or any of them, because of the creation of the indebtedness hereby authorized, or under or by reason of the obligations, covenants or agreements contained in this Indenture or in any of the Securities or implied therefrom; and
that any and all such personal liability of every name and nature, either at common law or in equity or by constitution or statute, of, and any and all such rights and claims against, every such incorporator, stockholder, officer or director as
such, because of the creation of the indebtedness hereby authorized, or under or by reason of the obligations, covenants or agreements contained in this Indenture or in any of the Securities or implied therefrom, are hereby expressly waived and
released as a condition of, and as a consideration for, the execution of this Indenture and the issuance of such Securities. 

  
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 ARTICLE 13 

MISCELLANEOUS PROVISIONS 

Section 13.1 Effect on Successors and Assigns.

All the covenants, stipulations, promises and agreements in this Indenture made by or on behalf of the Company shall bind its successors and
assigns, whether so expressed or not. 
 Section 13.2 Actions by Successor.

Any act or proceeding by any provision of this Indenture authorized or required to be done or performed by any board, committee or officer of
the Company shall and may be done and performed with like force and effect by the corresponding board, committee or officer of any corporation that shall at the time be the lawful successor of the Company. 

Section 13.3 Surrender of Company Powers.

The Company by instrument in writing executed by authority of its Board of Directors and delivered to the Trustee may surrender any of the
powers reserved to the Company, and thereupon such power so surrendered shall terminate both as to the Company and as to any successor corporation. 

Section 13.4 Notices.

Except as otherwise expressly provided herein, any notice, request or demand that by any provision of this Indenture is required or permitted
to be given, made or served by the Trustee or by the holders of Securities or by any other Person pursuant to this Indenture to or on the Company may be given or served by being deposited in first class mail, postage prepaid, addressed (until
another address is filed in writing by the Company with the Trustee), as follows:. Any notice, election, request or demand by the Company or any Securityholder or by any other Person pursuant to this Indenture to or upon the Trustee shall be deemed
to have been sufficiently given or made, for all purposes, if given or made in writing at the Corporate Trust Office of the Trustee. 

Section 13.5 Governing Law.

This Indenture and each Security shall be deemed to be a contract made under the internal laws of the State of New York, and for all purposes
shall be construed in accordance with the laws of said State, except to the extent that the Trust Indenture Act is applicable. 

Section 13.6 Treatment of Securities as Debt.

It is intended that the Securities will be treated as indebtedness and not as equity for federal income tax purposes. The provisions of this
Indenture shall be interpreted to further this intention. 
 Section 13.7 Certificates and Opinions as to Conditions
Precedent.
 (a) Upon any application or demand by the Company to the Trustee to take any action under any of the provisions of this
Indenture, the Company shall furnish to the Trustee an Officer’s Certificate stating that all conditions precedent provided for in this Indenture (other than the certificate to be delivered pursuant to Section 13.12) relating to the
proposed action have been 

  
 -43- 

 
complied with and, if requested, an Opinion of Counsel stating that in the opinion of such counsel all such conditions precedent have been complied with, except that in the case of any such
application or demand as to which the furnishing of such documents is specifically required by any provision of this Indenture relating to such particular application or demand, no additional certificate or opinion need be furnished. 

(b) Each certificate or opinion provided for in this Indenture and delivered to the Trustee with respect to compliance with a condition or
covenant in this Indenture shall include (i) a statement that the Person making such certificate or opinion has read such covenant or condition; (ii) a brief statement as to the nature and scope of the examination or investigation upon
which the statements or opinions contained in such certificate or opinion are based; (iii) a statement that, in the opinion of such Person, he has made such examination or investigation as is reasonably necessary to enable him to express an
informed opinion as to whether or not such covenant or condition has been complied with; and (iv) a statement as to whether or not, in the opinion of such Person, such condition or covenant has been complied with. 

Section 13.8 Payments on Business Days.

Except as provided pursuant to Section 2.01 pursuant to a Board Resolution, and set forth in an Officer’s Certificate, or
established in one or more indentures supplemental to this Indenture, in any case where the date of maturity of interest or principal of any Security or the date of redemption of any Security shall not be a Business Day, then payment of interest or
principal (and premium, if any) may be made on the next succeeding Business Day with the same force and effect as if made on the nominal date of maturity or redemption, and no interest shall accrue for the period after such nominal date. 

Section 13.9 Conflict with Trust Indenture Act.

If and to the extent that any provision of this Indenture limits, qualifies or conflicts with the duties imposed by Sections 310 to 317,
inclusive, of the Trust Indenture Act, such imposed duties shall control. 
 Section 13.10 Counterparts.

This Indenture may be executed in any number of counterparts, each of which shall be an original, but such counterparts shall together
constitute but one and the same instrument. 
 Section 13.11 Separability.

In case any one or more of the provisions contained in this Indenture or in the Securities of any series shall for any reason be held to be
invalid, illegal or unenforceable in any respect, such invalidity, illegality or unenforceability shall not affect any other provisions of this Indenture or of such Securities, but this Indenture and such Securities shall be construed as if such
invalid or illegal or unenforceable provision had never been contained herein or therein. 

  
 -44- 

 Section 13.12 Compliance Certificates.

The Company shall deliver to the Trustee, within 120 days after the end of each fiscal year during which any Securities of any series were
outstanding, an officer’s certificate stating whether or not the signers know of any Default or Event of Default that occurred during such fiscal year. Such certificate shall contain a certification from the principal executive officer,
principal financial officer or principal accounting officer of the Company that a review has been conducted of the activities of the Company and the Company’s performance under this Indenture and that the Company has complied with all
conditions and covenants under this Indenture. For purposes of this Section 13.12, such compliance shall be determined without regard to any period of grace or requirement of notice provided under this Indenture. If the officer of the Company
signing such certificate has knowledge of such a Default or Event of Default, the certificate shall describe any such Default or Event of Default and its status. 

ARTICLE 14 

SUBORDINATION OF SECURITIES 

Section 14.1 Subordination Terms.

The payment by the Company of the principal of, premium, if any, and interest on any series of Securities issued hereunder shall be
subordinated to the extent set forth in an indenture supplemental hereto relating to such series. 

  
 -45- 

 IN WITNESS WHEREOF, the parties hereto have caused this Indenture to be duly executed all as of
the day and year first above written. 
  

			
	SAVARA INC.

 
			
		
	By:	 	 

 
			
		
	Name:	 	 

 
			
		
	Title:	 	 

 
			
	
	[TRUSTEE], as Trustee

 
			
		
	By:	 	 

 
			
		
	Name:	 	 

 
			
		
	Title:Exhibit 4.4

 

EXECUTION VERSION

 

PRIVILEGED & CONFIDENTIAL

ATTORNEY WORK PRODUCT

 

Dated March 5, 2018

 

SEVENTH AMENDED AND RESTATED SHAREHOLDERS

AGREEMENT

 

between

 

Walnut Street Group Holding Limited

as Company

 

HongKong Walnut Street Limited

as HK Company

 

Hangzhou Weimi Network Technology Co., Ltd.

as WFOE

 

Hangzhou Aimi Network Technology Co., Ltd.

as Domestic Company

 

Parties Listed on Schedule 1

as Other Domestic Operational Companies

 

Parties Listed on Schedule 2

as Founders

 

Parties Listed on Schedule 3

as Founder Holding Companies

 

and

 

Parties Listed on Schedule 4

as Investors

 

 

Table of Contents

 

	
 
    	
 
    	
Page
    
	
 
    	
 
    	
 
    
	
1.
    	
INFORMATION RIGHTS;   BOARD REPRESENTATION
    	
2
    
	
1.1.
    	
Information and   Inspection Rights
    	
2
    
	
1.2.
    	
Board of Directors
    	
2
    
	
1.3.
    	
Quorum
    	
3
    
	
1.4.
    	
Board Committee
    	
3
    
	
1.5.
    	
The Board of the other   Group Companies
    	
3
    
	
1.6.
    	
Term
    	
3
    
	
 
    	
 
    	
 
    
	
2.
    	
REGISTRATION RIGHTS
    	
3
    
	
2.1.
    	
Applicability of Rights
    	
3
    
	
2.2.
    	
Definitions
    	
4
    
	
2.3.
    	
Demand Registration
    	
5
    
	
2.4.
    	
Piggyback Registrations
    	
6
    
	
2.5.
    	
Form F-3
    	
7
    
	
2.6.
    	
Expenses
    	
8
    
	
2.7.
    	
Obligations of the   Company
    	
8
    
	
2.8.
    	
Furnish Information
    	
9
    
	
2.9.
    	
Indemnification
    	
10
    
	
2.10.
    	
No Registration Rights   to Third Parties
    	
12
    
	
2.11.
    	
Rule 144 Reporting
    	
12
    
	
2.12.
    	
Market Stand-Off
    	
12
    
	
2.13.
    	
Termination of the   Company’s Obligations
    	
13
    
	
2.14.
    	
Investors’ Right in   Public Offering
    	
13
    
	
 
    	
 
    	
 
    
	
3.
    	
RIGHT OF PARTICIPATION
    	
13
    
	
3.1.
    	
General
    	
13
    
	
3.2.
    	
Pro Rata Share
    	
13
    
	
3.3.
    	
New Securities
    	
13
    
	
3.4.
    	
General Participation   Procedures
    	
14
    
	
3.5.
    	
Failure to Exercise
    	
15
    
	
3.6.
    	
Tencent Priority   Participation Right
    	
15
    
	
3.7.
    	
Special Consent Right
    	
16
    
	
3.8.
    	
Termination
    	
16
    
	
 
    	
 
    	
 
    
	
4.
    	
TRANSFER AND INVESTMENT   RESTRICTIONS
    	
16
    
	
4.1.
    	
Right of First Refusal   for the Company
    	
16
    
	
4.2.
    	
Right of First Refusal   for the Investors
    	
16
    
	
4.3.
    	
Purchase Price and   Payment
    	
17
    
	
4.4.
    	
Special Right of First   Refusal
    	
17
    
	
4.5.
    	
Investors’ Co-Sale   Right
    	
18
    
	
4.6.
    	
Permitted Transfers
    	
19
    
	
4.7.
    	
Prohibited Transfers
    	
19
    
	
4.8.
    	
Restriction on Transfer   to a Company Restricted Person
    	
20
    
	
4.9.
    	
Permitted Transfers by   Investors
    	
20
    
	
4.10.
    	
Legend
    	
20
    
	
4.11.
    	
Term
    	
21
    
	
 
    	
 
    	
 
    
	
5.
    	
LIQUIDATION
    	
21
    
	
5.1.
    	
Liquidation Preference
    	
21
    
	
5.2.
    	
Share Repurchase
    	
26
    

 

i

 

Table of Contents

 

	
 
    	
 
    	
Page
    
	
 
    	
 
    	
 
    
	
5.3.
    	
Valuation of Non-Cash   Asset
    	
26
    
	
5.4.
    	
Term
    	
26
    
	
 
    	
 
    	
 
    
	
6.
    	
ASSIGNMENT AND   AMENDMENT
    	
26
    
	
6.1.
    	
Assignment and   Amendment
    	
26
    
	
6.2.
    	
Amendment of Rights
    	
27
    
	
 
    	
 
    	
 
    
	
7.
    	
CONFIDENTIALITY AND   NON-DISCLOSURE
    	
27
    
	
7.1.
    	
Confidentiality
    	
27
    
	
7.2.
    	
Disclosure of Financing   Terms
    	
28
    
	
7.3.
    	
Press Releases, Etc.
    	
28
    
	
7.4.
    	
Permitted Disclosures
    	
28
    
	
7.5.
    	
Legally Compelled   Disclosure
    	
28
    
	
7.6.
    	
Other Information
    	
29
    
	
7.7.
    	
Notices
    	
29
    
	
 
    	
 
    	
 
    
	
8.
    	
PROTECTIVE PROVISIONS
    	
29
    
	
8.1.
    	
Shareholders Protective   Provisions
    	
29
    
	
8.2.
    	
Board Protective   Provisions
    	
30
    
	
8.3.
    	
Interested Parties
    	
31
    
	
8.4.
    	
Term
    	
31
    
	
 
    	
 
    	
 
    
	
9.
    	
DRAG-ALONG RIGHTS
    	
31
    
	
9.1.
    	
Drag-Along Sale
    	
31
    
	
9.2.
    	
Exceptions
    	
33
    
	
9.3.
    	
Termination
    	
34
    
	
 
    	
 
    	
 
    
	
10.
    	
CERTAIN COVENANTS
    	
34
    
	
10.1.
    	
Qualified Financing
    	
34
    
	
10.2.
    	
Restriction on   Investment in Company Competitors
    	
34
    
	
10.3.
    	
Transfer of Equity   Interest in Group Companies
    	
35
    
	
 
    	
 
    	
 
    
	
11.
    	
GENERAL PROVISIONS
    	
35
    
	
11.1.
    	
Notices
    	
35
    
	
11.2.
    	
Entire Agreement
    	
35
    
	
11.3.
    	
Governing Law
    	
36
    
	
11.4.
    	
Severability
    	
36
    
	
11.5.
    	
Third Parties
    	
36
    
	
11.6.
    	
Successors and Assigns
    	
36
    
	
11.7.
    	
Certain Definitions;   Interpretation; Titles
    	
36
    
	
11.8.
    	
Counterparts
    	
37
    
	
11.9.
    	
Adjustments for Share   Splits, Etc.
    	
37
    
	
11.10.
    	
Aggregation of Shares
    	
37
    
	
11.11.
    	
Shareholders Agreement   to Control
    	
37
    
	
11.12.
    	
US Tax Matter
    	
37
    
	
11.13.
    	
Dispute Resolution
    	
38
    
	
11.14.
    	
Further Actions
    	
38
    
	
11.15.
    	
Specific Performance
    	
38
    
	
11.16.
    	
Effective Date
    	
38
    

 

ii

 

Table of Contents

 

	
 
    	
 
    	
 
    	
Page
    
	
EXHIBITS:
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
Exhibit A
    	
—
    	
List of Contact Person   of each Party
    	
 
    
	
Exhibit B
    	
—
    	
Deed of Adherence
    	
 
    

 

iii

 

SEVENTH AMENDED AND RESTATED SHAREHOLDERS AGREEMENT

 

This Seventh Amended and Restated Shareholders Agreement (this “Agreement”) is made and entered into as of March 5, 2018 by and among:

 

1.                              Walnut Street Group Holding Limited, an exempted company with limited liability organized and existing under the laws of the Cayman Islands (the “Company”);

 

2.                              HongKong Walnut Street Limited (香港胡桃街有限公司), a company organized and existing under the laws of Hong Kong (the “HK Company”);

 

3.                              Hangzhou Weimi Network Technology Co., Ltd. (杭州微米网络科技有限公司), a limited liability company organized and existing under the laws of the PRC, as the wholly-owned subsidiary of the HK Company (the “WFOE”);

 

4.                              Hangzhou Aimi Network Technology Co., Ltd. (杭州埃米网络科技有限公司), a limited liability company organized and existing under the laws of the PRC (the “Domestic Company”);

 

5.                              Each of the Persons as set forth in Schedule 1 attached hereto (the “Other Domestic Operational Companies”);

 

6.                              Each of the Persons as set forth in Schedule 2 attached hereto (the “Founders” and each a “Founder”);

 

7.                              Each of the Persons as set forth in Schedule 3 attached hereto (the “Founder Holding Companies” and each a “Founder Holding Company”);

 

8                                 Each of the Persons as set forth in Schedule 4 attached hereto (other than Walnut Street Investment, Ltd., the “Investors” and each an “Investor”, together with Founder Holding Companies, collectively the “Shareholders”, and each a “Shareholder”).

 

The above parties shall collectively be referred to as the “Parties”, and each, a “Party”.

 

RECITALS

 

A.                            The Group Companies engage in the business of research, development, operation of internet E-commerce (including domestic and cross-border E-commerce) and other business approved by the Ordinary Majority and the Preferred Majority (the “Principal Business”).

 

B.                            The Company, certain Investors, the Founder Holding Companies and other parties entered the Sixth Amended and Restated Shareholders Agreement on June 28, 2017 (the “Prior Shareholders Agreement”).

 

C.                            Pursuant to the Series D Share Purchase Agreement, dated February 14, 2018 by and among the Company, the Investors named therein and other parties thereto, the Company has agreed to issue and sell to such Investors, and such Investors have agreed to subscribe for, an aggregate of 551,174,340 Series D Preferred Shares at the Closing (as defined therein) on the terms and subject to the conditions therein.

 

D.                            In connection with and as a condition to the consummation of the transactions contemplated by the Series D Share Purchase Agreement, the Parties desire to enter into this Agreement and the other transaction documents for the governance, management and operations of the Group Companies, and for the rights and obligations among the Shareholders and between the Shareholders and the Company.

 

1

 

WITNESSETH

 

NOW, THEREFORE, in consideration of the foregoing recitals, the mutual promises hereinafter set forth, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties hereby agree as follows:

 

1.                                      INFORMATION RIGHTS; BOARD REPRESENTATION.

 

1.1.                            Information and Inspection Rights.

 

(a)                                 Information Rights. Subject to Section 10.2, each of the Group Companies covenants and agrees that, commencing on the date of this Agreement, for so long as an Investor holds an aggregate number of Shares representing no less than two percent (2%) of the Company’s total share capital (on a fully diluted and as-converted basis), each Group Company shall deliver to such Investor:

 

(i)                                     audited annual consolidated financial statements, within one hundred and twenty (120) days after the end of each fiscal year, prepared in conformance with IFRS or U.S. GAAP throughout the period and audited by one of Big-Four Accounting Firms or another international reputable firm of independent certified public accountants acceptable to the Board;

 

(ii)                                  unaudited annual consolidated financial statements, within ninety (90) days after the end of each fiscal year, prepared in conformance with IFRS or U.S. GAAP throughout the period;

 

(iii)                               unaudited quarterly consolidated financial statements, within forty-five (45) days after the end of each quarter prepared in conformance with the IFRS or U.S. GAAP and certified by the chief financial officer of the Company; and

 

(iv)                              any other information reasonably requested by such Investor.

 

All above rights are collectively referred as the “Information Rights”. In addition, all financial statements to be provided to such Investor pursuant to this Section 1.1(a) shall include an income statement, a balance sheet and a cash flow statement for the relevant period as well as for the fiscal year to-date, which shall be prepared in conformance with the IFRS or U.S. GAAP.

 

(b)                                 Inspection Rights. Subject to Section 10.2, each of the Group Companies further covenants and agrees that, commencing on the date of this Agreement, for so long as an Investor holds an aggregate number of Shares representing no less than two percent (2%) of the Company’s total share capital (on a fully diluted and as-converted basis), such Investor shall, following reasonable advance notice to the Company and during normal business hours without material interruption to the business operations of the Group Companies, have the right to (i) inspect facilities, financial records, books and bank accounts of the Group Companies, and (ii) discuss the business, operations and conditions of the Group Companies with their respective directors, officers, employees, accountants, legal counsel and investment bankers (the “Inspection Rights”), provided, however, that the Group Companies shall not be obligated to provide access to any information that the Board reasonably and in good faith determines to be a trade secret or confidential information, or the disclosure of which would adversely affect the attorney-client privilege between any Group Company and its counsel or otherwise materially detrimental to the Group Companies.

 

1.2.                            Board of Directors. Subject to Section 10.2, the Board shall consist of no more than eight (8) members, among which, (a) for so long as Tencent holds any Share, Tencent shall be entitled to appoint one (1) director to the Board, (b) for so long as Sequoia holds any Share, Sequoia shall be entitled to appoint one (1) director to the Board (together with the Director appointed by Tencent, the

 

2

 

“Series C Directors”, and each a “Series C Director”), (c) for so long as Banyan holds any Share, Banyan shall be entitled to appoint one (1) director to the Board, (d) for so long as Sun Vantage holds any Share, Sun Vantage shall be entitled to appoint one (1) director to the Board (together with the Director appointed by Banyan, the “Series B Directors”, and each a “Series B Director”), and (e) the Ordinary Majority shall be entitled to appoint four (4) director to the Board (collectively, the “Management Directors”), one of which shall be HUANG Zheng (the “Founder Director”). When the number of Management Directors is less than four (4), the Founder Director is entitled to exercise the voting right of the vacant Management Director(s) that should otherwise be appointed by the Ordinary Majority in accordance with this Section 1.2, and the board of directors of the Company’s Subsidiaries, as applicable, shall apply to such mechanism mutatis mutandis. Any vacancy on the Board occurring because of the death, resignation or removal of a Director shall be filled by the vote or written consent of the same shareholder or shareholders who nominated and elected such Director. Each Director (other than the Founder Director) is entitled to one (1) vote, while the Founder Director shall be entitled to two (2) votes at each meeting of the Board. Tencent shall be entitled to appoint one (1) representative to attend all meetings of the Board in the non-voting observer capacity. The holders of the remaining Preferred Shares shall be entitled to appoint two (2) representatives to attend all meetings of the Board in the non-voting observer capacity by a simple majority of votes (voting as a single class and on an as-converted basis).

 

1.3.                            Quorum. The quorum necessary for the transaction of the business of the Board is a majority of Directors, including (a) at least four (4) of the Investor Directors (including the Tencent Director) or (b) at least one-half (1/2) of the Investor Directors once the number of the Investor Directors reaches five or more; provided, however, if such quorum cannot be obtained in two (2) consecutive duly called Board meetings due to the failure of any Investor Director to attend such meetings after receiving proper notice, then the attendance of at least half of the directors at the second duly called Board meeting shall constitute a quorum.

 

1.4.                            Board Committee. The Board may set up any committee necessary (collectively, the “Committees”) at the time determined by the Board. Tencent Director shall be entitled to participate each Committee as a member of it. Once the number of Investor Directors reaches five or more, at least one-half (1/2) of Investor Directors shall be entitled to participate each Committee as members of it.

 

1.5.                            The Board of the other Group Companies. Upon the request of a majority of the Investor Directors and to the extent permitted by applicable laws, the board of directors of each of the Group Companies shall have the same number of directors in its respective board of directors as the Board, and the parties hereto shall be entitled to appoint the same number of directors to each of such Group Companies as they are entitled to appoint to the Board and the quorum of meetings of the board of directors of each of the Group Companies shall be the same as that of the Board. Each director (other than HUANG Zheng) of a Group Company shall be entitled to one (1) vote at each meeting of the board of directors of such Group Company, and HUANG Zheng in his capacity of a director of a Group Company shall be entitled to two (2) votes at each meeting of the board of directors of such Group Company.

 

1.6.                            Term. The provisions under this Section 1 shall terminate and be of no further force or effect upon consummation of a Qualified Initial Public Offering, provided that, to the extent permitted by the applicable laws and listing rules, provisions under this Section 1 shall not terminate and shall be of full force and effect with respect to Tencent and the Tencent Director after consummation of a Qualified Initial Public Offering.

 

2.                                      REGISTRATION RIGHTS.

 

2.1.                            Applicability of Rights. The Holders (as defined below) shall be entitled to the following rights with respect to any proposed public offering of the Company’s Ordinary Shares in the

 

3

 

United States and shall be entitled to reasonably equivalent or analogous rights with respect to any other offering of the Company’s securities in Hong Kong or any other jurisdiction in which the Company undertakes to publicly offer or list such securities for trading on a recognized securities exchange.

 

2.2.                            Definitions. For purposes of this Section 2:

 

(a)                                 Registration. The terms “register”, “registered”, and “registration” refer to a registration effected by filing a registration statement which is in a form which complies with, and is declared effective by the SEC (as defined below) in accordance with, the Securities Act.

 

(b)                                 Registrable Securities. The term “Registrable Securities” means: (1) any Ordinary Shares issued or issuable pursuant to conversion of any shares of Preferred Shares issued (A) under the Share Purchase Agreements, or (B) pursuant to an exercise of the Right of Participation (as defined in Section 3.1) in accordance with Section 3, (2) any Ordinary Shares issued (or issuable upon the conversion or exercise of any warrant, right or other security which is issued) as a dividend or other distribution with respect to, or in exchange for or in replacement of, any Preferred Shares described in clause (1) of this subsection (b), and (3) any other Ordinary Shares of the Company owned or hereafter acquired by the Preferred Shareholders (for the avoidance of doubt, such Ordinary Shares in this Section 2.2(b) shall not include the Ordinary Shares held by the Series A-1 Purchasers). Notwithstanding the foregoing, Registrable Securities shall exclude any Registrable Securities sold by a Person in a transaction in which rights under this Section 2 are not validly assigned in accordance with this Agreement, and any Registrable Securities which are sold in a registered public offering under the Securities Act or analogous statute of another jurisdiction, or sold pursuant to Rule 144 promulgated under the Securities Act or analogous rule of another jurisdiction.

 

(c)                                  Registrable Securities Then Outstanding. The number of shares of “Registrable Securities then Outstanding” shall mean the number of Ordinary Shares of the Company that are Registrable Securities and are then issued and outstanding, issuable upon conversion of Preferred Shares then issued and outstanding, or issuable upon conversion or exercise of any warrant, right or other security then outstanding.

 

(d)                                 Holder. For purposes of this Section 2, the term “Holder” or “Holders” means any Person owning or having the rights to acquire Registrable Securities or any permitted assignee of record of such Registrable Securities to whom rights under this Section 2 have been duly assigned in accordance with this Agreement.

 

(e)                                  Form F-3. The term “Form F-3” means such respective form under the Securities Act or any successor registration form under the Securities Act subsequently adopted by the SEC which permits inclusion or incorporation of substantial information by reference to other documents filed by the Company with the SEC.

 

(f)                                   SEC. The term “SEC” or “Commission” means the U.S. Securities and Exchange Commission.

 

(g)                                  Registration Expenses. The term “Registration Expenses” shall mean all expenses incurred by the Company in complying with Section 2.3, Section 2.4 and Section 2.5 hereof, including all registration and filing fees, printing expenses, fees, and disbursements of counsel for the Company, reasonable fees and disbursements of one counsel for all the Holders, “blue sky” fees and expenses and the expense of any special audits incident to or required by any such registration (but excluding the compensation of regular employees of the Company which shall be paid in any event by the Company).

 

4

 

(h)                                 Selling Expenses. The term “Selling Expenses” shall mean all underwriting discounts and selling commissions applicable to the sale of Registrable Securities pursuant to Section 2.3, Section 2.4 and Section 2.5 hereof.

 

(i)                                     Exchange Act. The term “Exchange Act” shall mean the Securities Exchange Act of 1934, as amended, and any successor statute.

 

2.3.                            Demand Registration.

 

(a)                                 Request by Holders. If the Company shall, at any time after the date of the initial public offering of the Company, receive a written request from the Holders of at least thirty percent (30%) of the Registrable Securities then Outstanding that the Company file a registration statement under the Securities Act covering the registration of at least twenty-five percent (25%) of the Registrable Securities pursuant to this Section 2.3, then the Company shall, within ten (10) business days of the receipt of such written request, give written notice of such request (“Request Notice”) to all Holders, and use its best efforts to effect, as soon as practicable, the registration under the Securities Act of all Registrable Securities that the Holders request to be registered and included in such registration by written notice given by such Holders to the Company within twenty (20) days after receipt of the Request Notice, subject only to the limitations of this Section 2.3; provided that the Company shall not be obligated to effect any such registration if the Company has, within the six (6) month period preceding the date of such request, already effected a registration under the Securities Act pursuant to this Section 2.3 or Section 2.5 or in which the Holders had an opportunity to participate pursuant to the provisions of Section 2.4, other than a registration from which the Registrable Securities of the Holders have been excluded (with respect to all or any portion of the Registrable Securities the Holders requested be included in such registration) pursuant to the provisions of Section 2.4(a). The Company shall be obligated to effect no more than two (2) Registrations pursuant to this Section 2.3. For purposes of this Agreement, reference to registration of securities under the Securities Act and the Exchange Act shall be deemed to mean the equivalent registration in a jurisdiction other than the United States as designated by such Holders, it being understood and agreed that in each such case all references in this Agreement to the Securities Act, the Exchange Act and rules, forms of registration statements and registration of securities thereunder, U.S. law and the SEC, shall be deemed to refer, to the equivalent statutes, rules, forms of registration statements, registration of securities and laws of and equivalent government authority in the applicable non-U.S. jurisdiction. In addition, “Form F-3” shall be deemed to refer to Form S-3 or any comparable form under the U.S. securities laws in the condition that the Company is not at that time eligible to use Form F-3.

 

(b)                                 Underwriting. If the Holders initiating the registration request under this Section 2.3 (the “Initiating Holders”) intend to distribute the Registrable Securities covered by their request by means of an underwriting, then they shall so advise the Company as a part of their request made pursuant to this Section 2.3 and the Company shall include such information in the Request Notice. In such event, the right of any Holder to include its Registrable Securities in such registration shall be conditioned upon such Holder’s participation in such underwriting and the inclusion of such Holder’s Registrable Securities in the underwriting (unless otherwise mutually agreed by a majority in interest of the Initiating Holders and such Holder) to the extent provided herein. All Holders proposing to distribute their securities through such underwriting shall enter into an underwriting agreement in customary form with the managing underwriter or underwriters selected for such underwriting by the Holders of a majority of the Registrable Securities being registered and reasonably acceptable to the Company. Notwithstanding any other provision of this Section 2.3, if the underwriter(s) advise(s) the Company in writing that marketing factors require a limitation of the number of securities to be underwritten, then the Company shall so advise all Holders of Registrable Securities which would otherwise be registered and underwritten pursuant hereto, and the number of Registrable Securities that may be included in the underwriting shall be reduced as required by the underwriter(s) and allocated among the Holders of

 

5

 

Registrable Securities on a pro rata basis according to the number of Registrable Securities requested by each Holder requesting registration (including the Initiating Holders) to be included; provided, however, that the number of shares of Registrable Securities to be included in such underwriting and registration shall not be reduced unless all other securities are first entirely excluded from the underwriting and registration including all shares that are not Registrable Securities and are held by any other person, including any person who is an employee, officer or director of the Company or any subsidiary of the Company; provided  further, that at least twenty-five percent (25%) of shares of Registrable Securities requested by the Holders to be included in such underwriting and registration shall be so included. If any Holder disapproves of the terms of any such underwriting, such Holder may elect to withdraw therefrom by written notice to the Company and the underwriter(s), delivered at least ten (10) business days prior to the effective date of the registration statement. Any Registrable Securities excluded or withdrawn from such underwriting shall be excluded and withdrawn from the registration.

 

(c)                                  Deferral. Notwithstanding the foregoing, if the Company shall furnish to Holders requesting registration pursuant to this Section 2.3, a certificate signed by the President or Chief Executive Officer of the Company stating that in the good faith judgment of the Board, it would be materially detrimental to the Company and its shareholders for such registration statement to be filed at such time, then the Company shall have the right to defer such filing for a period of not more than ninety (90) days after receipt of the request of the Initiating Holders; provided, however, that the Company may not utilize this right more than once in any twelve (12) month period; provided further, that the Company shall not register any other of its shares during such ninety (90) day period. A demand right shall not be deemed to have been exercised until such deferred registration shall have been effected.

 

2.4.                            Piggyback Registrations.

 

(a)                                 The Company shall notify all Holders of Registrable Securities in writing at least thirty (30) days prior to filing any registration statement under the Securities Act for purposes of effecting a public offering of securities of the Company (including registration statements relating to secondary offerings of securities of the Company, but excluding registration statements relating to any employee benefit plan or a corporate reorganization), and shall afford each such Holder an opportunity to include in such registration statement all or any part of the Registrable Securities then held by such Holder. Each Holder desiring to include in any such registration statement all or any part of the Registrable Securities held by it shall within twenty (20) days after receipt of the above-described notice from the Company, so notify the Company in writing, and in such notice shall inform the Company of the number of Registrable Securities such Holder wishes to include in such registration statement. If a Holder decides not to include all of its Registrable Securities in any registration statement thereafter filed by the Company, such Holder shall nevertheless continue to have the right to include any Registrable Securities in any subsequent registration statement or registration statements as may be filed by the Company with respect to offerings of its securities, all upon the terms and conditions set forth herein. No Holder of Registrable Securities shall be granted piggyback registration rights superior or equal to those of the Holders of the Series A Preferred Shares without the consent in writing of the Holders of at least fifty percent (50%) of the Series A Preferred Shares or Ordinary Shares issued upon conversion of the Series A Preferred Shares or a combination of such Series A Preferred Shares and Ordinary Shares.

 

(b)                                 Underwriting. If a registration statement under which the Company gives notice under this Section 2.4 is for an underwritten offering, then the Company shall so advise the Holders of Registrable Securities. In such event, the right of any such Holder’s Registrable Securities to be included in a registration pursuant to this Section 2.4 shall be conditioned upon such Holder’s participation in such underwriting and the inclusion of such Holder’s Registrable Securities in the underwriting to the extent provided herein. All Holders proposing to distribute their Registrable Securities through such underwriting shall enter into an underwriting agreement in customary form with the managing underwriter or underwriters selected for such underwriting. Notwithstanding any other

 

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provision of this Agreement but subject to Section 2.12, if the managing underwriter(s) determine(s) in good faith that marketing factors require a limitation of the number of shares to be underwritten, then the managing underwriter(s) may exclude shares from the registration and the underwriting, and the number of shares that may be included in the registration and the underwriting shall be allocated, first, to the Company, second, to each of the Holders requesting inclusion of their Registrable Securities in such registration statement on a pro rata basis based on the total amount of Registrable Securities requested by each such Holder to be included, and third, to holders of other securities of the Company; provided, however, that the right of the underwriter(s) to exclude shares (including Registrable Securities) from the registration and underwriting as described above shall be restricted so that (i) the number of Registrable Securities included in any such registration is not reduced below twenty-five percent (25%) of the aggregate number of shares of Registrable Securities for which inclusion has been requested; and (ii) all shares that are not Registrable Securities and are held by any other person, including any person who is an employee, officer or director of the Company (or any subsidiary of the Company) shall first be excluded from such registration and underwriting before any Registrable Securities are so excluded. If any Holder disapproves of the terms of any such underwriting, such Holder may elect to withdraw therefrom by written notice to the Company and the underwriter(s), delivered at least ten (10) business days prior to the effective date of the registration statement. Any Registrable Securities excluded or withdrawn from such underwriting shall be excluded and withdrawn from the registration.

 

(c)                                  Not Demand Registration. Registration pursuant to this Section 2.4 shall not be deemed to be a demand registration as described in Section 2.3 above. There shall be no limit on the number of times the Holders may request registration of Registrable Securities under this Section 2.4.

 

2.5.                            Form F-3. In case the Company shall receive from any Holder a written request or requests that the Company effect a registration on Form F-3 and any related qualification or compliance with respect to all or a part of the Registrable Securities owned by such Holder or Holders, then the Company will:

 

(a)                                 Notice. Promptly give written notice of the proposed registration and the Holder’s or Holders’ request therefor, and any related qualification or compliance, to all other Holders of Registrable Securities; and

 

(b)                                 Registration. As soon as practicable, effect such registration and all such qualifications and compliances as may be so requested and as would permit or facilitate the sale and distribution of all or such portion of such Holders or Holders’ Registrable Securities as are specified in such request, together with all or such portion of the Registrable Securities of any other Holder or Holders joining in such request as are specified in a written request given within twenty (20) days after the Company provides the notice contemplated by Section 2.5(a); provided, however, that the Company shall not be obligated to effect any such registration, qualification or compliance pursuant to this Section 2.5:

 

(i)                                     if Form F-3 is not available for such offering by the Holders;

 

(ii)                                  if the Holders, together with the holders of any other securities of the Company entitled to inclusion in such registration, propose to sell Registrable Securities and such other securities (if any) at an aggregate price to the public of less than US$500,000;

 

(iii)                               if the Company shall furnish to the Holders a certificate signed by the President or Chief Executive Officer of the Company stating that in the good faith judgment of the Board, it would be materially detrimental to the Company and its shareholders for such Form F-3 registration to be effected at such time, in which event the Company shall have the right to defer the filing of the Form F-3 registration statement no more than once during any twelve (12) month period for a period of not more than sixty (60) days after receipt of the request of the Holder or Holders under this

 

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Section 2.5; provided that the Company shall not register any of its other shares during such sixty (60) day period;

 

(iv)                              if the Company has, within the twelve (12) month period preceding the date of such request, already effected two (2) registrations under the Securities Act other than a registration from which the Registrable Securities of Holders have been excluded (with respect to all or any portion of the Registrable Securities the Holders requested be included in such registration) pursuant to the provisions of Section 2.3(b) and Section 2.4(a); or

 

(v)                                 in any particular jurisdiction in which the Company would be required to qualify to do business or to execute a general consent to service of process in effecting such registration, qualification or compliance.

 

Subject to the foregoing, the Company shall file a Form F-3 registration statement covering the Registrable Securities and other securities so requested to be registered as soon as practicable after receipt of the request or requests of the Holders.

 

(c)                                  Not Demand Registration. Form F-3 registrations shall not be deemed to be demand registrations as described in Section 2.3 above. Except as otherwise provided herein, there shall be no limit on the number of times the Holders may request registration of Registrable Securities under this Section 2.5.

 

2.6.                            Expenses. All Registration Expenses incurred in connection with any registration pursuant to Sections 2.3, 2.4 or 2.5 (but excluding Selling Expenses, underwriting discounts and commissions, and fees for special counsel of the Holders participating in such registration) shall be borne by the Company; provided, however, the expenses in excess of US$25,000 of any special audit required in connection with a Demand Registration shall be borne pro rata by the Holders participating in such registration. Each Holder participating in a registration pursuant to Section 2.3, Section 2.4 and Section 2.5 shall bear such Holder’s proportionate share (based on the total number of shares sold in such registration other than for the account of the Company) of all Selling Expenses or other amounts payable to underwriter(s) or brokers, in connection with such offering by the Holders. Notwithstanding the foregoing, the Company shall not be required to pay for any expenses of any registration proceeding begun pursuant to Section 2.3 if the registration request is subsequently withdrawn at the request of the Holders of a majority of the Registrable Securities to be registered, unless the Holders of a majority of the Registrable Securities then Outstanding agree that such registration constitutes the use by the Holders of one (1) demand registration pursuant to Section 2.3; provided  further, however, that if at the time of such withdrawal, the Holders have learned of a material adverse change in the condition, business, or prospects of the Company not known to the Holders at the time of their request for such registration and have withdrawn their request for registration with reasonable promptness after learning of such material adverse change, then the Holders shall not be required to pay any of such expenses and such registration shall not constitute the use of a demand registration pursuant to Section 2.3.

 

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

 

(a)                                 Registration Statement. Prepare and file with the SEC a registration statement with respect to such Registrable Securities and use its best efforts to cause such registration statement to become effective, and, upon the request of the Holders of a majority of the Registrable Securities registered thereunder, keep such registration statement effective for a period of up to ninety (90) days or, in the case of Registrable Securities registered under Form F-3 in accordance with Rule 415 under the Securities Act or a successor rule, until the distribution contemplated in the registration statement has been completed; provided, however, that (i) such ninety (90) day period shall be extended for a period of time equal to the period any Holder refrains from selling any securities included in such

 

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registration at the request of the underwriter(s), and (ii) in the case of any registration of Registrable Securities on Form F-3 which are intended to be offered on a continuous or delayed basis, such ninety (90) day period shall be extended, if necessary, to keep the registration statement effective until all such Registrable Securities are sold.

 

(b)                                 Amendments and Supplements. Prepare and file with the SEC such amendments and supplements to such registration statement and the prospectus used in connection with such registration statement as may be necessary to comply with the provisions of the Securities Act with respect to the disposition of all securities covered by such registration statement.

 

(c)                                  Prospectuses. Furnish to the Holders such number of copies of a prospectus, including a preliminary prospectus, in conformity with the requirements of the Securities Act, and such other documents as they may reasonably request in order to facilitate the disposition of the Registrable Securities owned by them that are included in such registration.

 

(d)                                 Blue Sky. Use its best efforts to register and qualify the securities covered by such registration statement under such other securities or “blue sky” laws of such jurisdictions as shall be reasonably requested by the Holders, provided that the Company shall not be required in connection therewith or as a condition thereto to qualify to do business or to file a general consent to service of process in any such states or jurisdictions, unless the Company is already subject to service in such jurisdiction and except as may be required by the Securities Act.

 

(e)                                  Underwriting. In the event of any underwritten public offering, enter into and perform its obligations under an underwriting agreement in usual and customary form, with the managing underwriter(s) of such offering. Each Holder participating in such underwriting shall also enter into and perform its obligations under such an agreement.

 

(f)                                   Notification. Notify each Holder of Registrable Securities covered by such registration statement at any time when a prospectus relating thereto is required to be delivered under the Securities Act of (i) the issuance of any stop order by the SEC in respect of such registration statement, or (ii) the happening of any event as a result of which the prospectus included in such registration statement, as then in effect, includes an untrue statement of a material fact or omits to state a material fact required to be stated therein or necessary to make the statements therein not misleading in the light of the circumstances then existing.

 

(g)                                  Opinion and Comfort Letter. Furnish, at the request of any Holder requesting registration of Registrable Securities, on the date that such Registrable Securities are delivered to the underwriter(s) for sale, if such securities are being sold through underwriters, or, if such securities are not being sold through underwriters, on the date that the registration statement with respect to such securities becomes effective, (i) an opinion, dated as of such date, of the counsel representing the Company for the purposes of such registration, in form and substance as is customarily given to underwriters in an underwritten public offering and reasonably satisfactory to a majority in interest of the Holders requesting registration, addressed to the underwriters, if any, and to the Holders requesting registration of Registrable Securities and (ii) letters dated as of (x) the effective date of the registration statement covering such Registrable Securities and (y) the closing date of the offering, from the independent certified public accountants of the Company, in form and substance as is customarily given by independent certified public accountants to underwriters in an underwritten public offering and reasonably satisfactory to a majority in interest of the Holders requesting registration, addressed to the underwriters, if any, and to the Holders requesting registration of Registrable Securities.

 

2.8.                            Furnish Information. It shall be a condition precedent to the obligations of the Company to take any action pursuant to Section 2.3, Section 2.4 and Section 2.5 that the selling Holders shall furnish to the Company such information regarding themselves, the Registrable Securities held by

 

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them and the intended method of disposition of such securities as shall be required to timely effect the Registration of their Registrable Securities.

 

2.9.                            Indemnification. In the event any Registrable Securities are included in a registration statement under Section 2.3, Section 2.4 and Section 2.5:

 

(a)                                 By the Company. To the extent permitted by applicable laws, the Company will indemnify and hold harmless each Holder, its partners, officers, directors, legal counsel, any underwriter (as defined in the Securities Act) for such Holder and each person, if any, who controls such Holder or underwriter within the meaning of the Securities Act or the Exchange Act, against any losses, claims, damages, or liabilities (joint or several) to which they may become subject under the Securities Act, the Exchange Act, or other United States federal or state law, insofar as such losses, claims, damages, or liabilities (or actions in respect thereof) arise out of or are based upon any of the following statements, omissions or violations (collectively a “Violation”):

 

(i)                                     any untrue statement or alleged untrue statement of a material fact contained in such registration statement, including any preliminary prospectus or final prospectus contained therein or any amendments or supplements thereto;

 

(ii)                                  the omission or alleged omission to state therein a material fact required to be stated therein, or necessary to make the statements therein not misleading; or

 

(iii)                               any violation or alleged violation by the Company of the Securities Act, the Exchange Act, any United States federal or state securities law, or any rule or regulation promulgated under the Securities Act, the Exchange Act, or any United States federal or state securities law in connection with the offering covered by such registration statement.

 

The Company will reimburse each such Holder, its partner, officer, director, legal counsel, underwriter or controlling person for any legal or other expenses reasonably incurred by them, as such expenses are incurred, in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the indemnity agreement contained in this subsection 2.9(a) shall not apply to amounts paid in settlement of any such loss, claim, damage, liability or action if such settlement is effected without the consent of the Company (which consent shall not be unreasonably withheld), nor shall the Company be liable in any such case for any such loss, claim, damage, liability or action to the extent that it arises out of or is based upon a Violation which occurs in reliance upon and in conformity with written information furnished expressly for use in connection with such registration by such Holder, partner, officer, director, legal counsel, underwriter or controlling person of such Holder.

 

(b)                                 By Selling Holders. To the extent permitted by applicable laws, each selling Holder will, if Registrable Securities held by Holder are included in the securities as to which such registration qualifications or compliance is being effected, indemnify and hold harmless the Company, each of its directors, each of its officers who has signed the registration statement, each person, if any, who controls the Company within the meaning of the Securities Act, any underwriter and any other Holder selling securities under such registration statement or any of such other Holder’s partners, directors, officers, legal counsel or any person who controls such Holder within the meaning of the Securities Act or the Exchange Act, against any losses, claims, damages or liabilities (joint or several) to which the Company or any such director, officer, legal counsel, controlling person, underwriter or other such Holder, partner or director, officer or controlling person of such other Holder may become subject under the Securities Act, the Exchange Act or other United States federal or state law, insofar as such losses, claims, damages or liabilities (or actions in respect thereto) arise out of or are based upon any Violation, in each case to the extent (and only to the extent) that such Violation occurs in reliance upon and in conformity with written information furnished by such Holder expressly for use in connection with such registration; and each such Holder will reimburse any legal or other expenses reasonably incurred by

 

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the Company or any such director, officer, controlling person, underwriter or other Holder, partner, officer, director or controlling person of such other Holder in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the indemnity agreement contained in this subsection 2.9(b) shall not apply to amounts paid in settlement of any such loss, claim, damage, liability or action if such settlement is effected without the consent of the Holder, which consent shall not be unreasonably withheld; and provided, further, that in no event shall any indemnity under this Section 2.9(b) exceed the net proceeds received by such Holder in the registered offering out of which the applicable Violation arises.

 

(c)                                  Notice. Promptly after receipt by an indemnified party under this Section 2.9 of notice of the commencement of any action (including any governmental action), such indemnified party will, if a claim in respect thereof is to be made against any indemnifying party under this Section 2.9, deliver to the indemnifying party a written notice of the commencement thereof and the indemnifying party shall have the right to participate in, and, to the extent the indemnifying party so desires, jointly with any other indemnifying party similarly noticed, to assume the defense thereof with counsel mutually satisfactory to the parties; provided, however, that an indemnified party shall have the right to retain its own counsel, with the fees and expenses to be paid by the indemnifying party, if representation of such indemnified party by the counsel retained by the indemnifying party would be inappropriate due to actual or potential conflict of interests between such indemnified party and any other party represented by such counsel in such proceeding. The failure to deliver written notice to the indemnifying party within a reasonable time of the commencement of any such action shall relieve such indemnifying party of liability to the indemnified party under this Section 2.9 to the extent the indemnifying party is prejudiced as a result thereof, but the omission to so deliver written notice to the indemnifying party will not relieve it of any liability that it may have to any indemnified party otherwise than under this Section 2.9.

 

(d)                                 Contribution. In order to provide for just and equitable contribution to joint liability under the Securities Act in any case in which either (i) any indemnified party makes a claim for indemnification pursuant to this Section 2.9 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal) that such indemnification may not be enforced in such case notwithstanding the fact that this Section 2.9 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of any indemnified party in circumstances for which indemnification is provided under this Section 2.9; then, and in each such case, the indemnified party and the indemnifying party will contribute to the aggregate losses, claims, damages or liabilities to which they may be subject (after contribution from others) in such proportion as is appropriate to reflect the relative fault of the indemnifying party, on the one hand, and of the indemnified party, on the other hand, in connection with the statements or omissions that resulted in such loss, liability, claim, damage or expense, as well as any other relevant equitable considerations. The relative fault of the indemnifying party and of the indemnified party shall be determined by a court of law by reference to, among other things, whether the untrue or alleged untrue statement of a material fact or the omission to state a material fact relates to information supplied by the indemnifying party or by the indemnified party and the parties’ relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission; provided, however, that, in any such case: (A) no Holder will be required to contribute any amount in excess of the net proceeds to such Holder from the sale of all such Registrable Securities offered and sold by such Holder pursuant to such registration statement; and (B) no person or entity guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the Securities Act) will be entitled to contribution from any person or entity who was not guilty of such fraudulent misrepresentation.

 

(e)                                  Survival; Consents to Judgments and Settlements. The obligations of the Company and Holders under this Section 2.9 shall survive the completion of any offering of Registrable Securities in a registration statement, regardless of the expiration of any statutes of limitation or

 

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extensions of such statutes. No indemnifying party, in the defense of any such claim or litigation, shall, except with the consent of each indemnified party, consent to entry of any judgment or enter into any settlement which does not include as an unconditional term thereof the giving by the claimant or plaintiff to such indemnified party of a release from all liability in respect to such claim or litigation.

 

2.10.                     No Registration Rights to Third Parties. Without the prior written consents of the holder(s) of at least a majority of the Series A Preferred Shares, the holder(s) of at least a majority of the Series B Preferred Shares, the holder(s) of at least a majority of the Series C-1/C-2 Preferred Shares and the holder(s) of at least of a majority of the Series C-3 Preferred Shares (each voting together as a single class and on an as-converted basis), the Company covenants and agrees that it shall not grant, or cause or permit to be created, for the benefit of any person or entity any registration rights of any kind (whether similar to the demand, “piggyback” or Form F-3 registration rights described in this Section 2, or otherwise) relating to any securities of the Company which are senior to, or on a parity with, those granted to the Holders of Registrable Securities.

 

2.11.                     Rule 144 Reporting. With a view to making available to the Holders the benefits of certain rules and regulations of the SEC which may at any time permit the sale of the Registrable Securities to the public without registration or pursuant to a registration on Form F-3, after such time as a public market exists for the Ordinary Shares, the Company agrees to:

 

(a)                                 Make and keep public information available, as those terms are understood and defined in Rule 144 under the Securities Act, at all times after the effective date of the first registration under the Securities Act filed by the Company for an offering of its securities to the general public;

 

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

 

(c)                                  So long as a Holder owns any Registrable Securities, to furnish to such Holder forthwith upon request (i) a written statement by the Company as to its compliance with the reporting requirements of Rule 144 (at any time after ninety (90) days after the effective date of the Company’s initial public offering), the Securities Act and the Exchange Act (at any time after it has become subject to such reporting requirements), or its qualification as a registrant whose securities may be resold pursuant to Form F-3 (at any time after it so qualifies), (ii) a copy of the most recent annual or quarterly report of the Company, and (iii) such other reports and documents of the Company as a Holder may reasonably request in availing itself of any rule or regulation of the SEC that permits the selling of any such securities without registration or pursuant to Form F-3.

 

2.12.                     Market Stand-Off. Each party agrees that, so long as it holds any voting securities of the Company, upon request by the Company or the underwriters managing the initial public offering of the Company’s securities, it will not sell or otherwise transfer or dispose of any securities of the Company (other than those permitted to be included in the registration and other transfers to affiliates permitted by applicable laws) without the prior written consent of the Company or such underwriters, as the case may be, for a period of time specified by the representative of the underwriters which shall not exceed 180 days from the effective date of the registration statement covering such initial public offering or the pricing date of such offering as may be requested by the underwriters. The Company shall use commercially reasonable efforts to take all steps to shorten such lock-up period. The foregoing provision of this Section 2.12 shall not apply to the sale of any securities of the Company to an underwriter pursuant to any underwriting agreement, and shall only be applicable to the Holders if all other Shareholders enter into similar agreements, and if the Company or any underwriter releases any other shareholder from his, her or its sale restrictions so undertaken, then each Holder shall be notified prior to

 

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such release and shall itself be simultaneously released to the same proportional extent. The Company shall require all future acquirers of the Company’s securities to execute prior to a Qualified Initial Public Offering a market stand-off agreement containing substantially similar provisions as those contained in this Section 2.12.

 

2.13.                     Termination of the Company’s Obligations. The Company’s obligations under Section 2.3, Section 2.4 and Section 2.5 with respect to any Registrable Securities proposed to be sold by a Holder in a registration pursuant to Section 2.3, Section 2.4 and Section 2.5 shall terminate (i) on the fifth (5th) anniversary of the Qualified Initial Public Offering, (ii) upon the termination, liquidation, dissolution of the Company or a Liquidation Event or (iii) if and when in the opinion of counsel to the Company, all such Registrable Securities proposed to be sold by a Holder may then be sold without registration in any ninety (90) day period pursuant to Rule 144 promulgated under the Securities Act.

 

2.14.                     Investors’ Right in Public Offering. If any shares or securities of the Company are offered in an underwritten public offering (whether or not a Qualified Initial Public Offering) for the account of any Shareholder, each Preferred Shareholder shall have the right to include a pro rata number of shares in the offering on terms and conditions no less favorable to such Preferred Shareholder than to any other selling shareholder(s) to the extent as permitted by applicable laws.

 

3.                                      RIGHT OF PARTICIPATION.

 

3.1.                            General. Subject to Section 3.6, each Investor shall have the pre-emptive right to purchase all or any portion of its pro rata share of any New Securities (as defined below) that the Company may from time to time issue after the date of this Agreement (the “Right of Participation”).

 

3.2.                            Pro Rata Share. Subject to Section 3.6, for the purpose of this Section 3, an Investor’s pro rata share, for the purpose of the Right of Participation, is equal to the product obtained by multiplying (x) the aggregate number of the New Securities to be issued by the Company that are not Tencent Priority Securities by (y) a fraction, the numerator of which is the number of Ordinary Shares (calculated on an as-converted and fully-diluted basis and excluding the Excluded Ordinary Shares) held by such Investor as at the date of the First Participation Notice and the denominator of which is the total number of Ordinary Shares (calculated on an as-converted and fully-diluted basis) then outstanding as at the date of the First Participation Notice.

 

3.3.                            New Securities. “New Securities” shall mean any class or series of preferred shares, Ordinary Shares or other voting shares of the Company, rights, options or warrants to purchase such preferred shares, Ordinary Shares or other voting shares, and securities of any type whatsoever that are, or may become, convertible or exchangeable into such preferred shares, Ordinary Shares or other voting shares, provided, however, that the term “New Securities” shall not include:

 

(a)                                 any Ordinary Shares (and/or options or warrants therefor) issued to employees, officers, directors, contractors, advisors or consultants of any Group Company pursuant to the ESOP;

 

(b)                                 any Shares, and rights, options or warrants to purchase such Shares and securities of any type whatsoever that are, or may become, convertible or exchangeable into such Shares (collectively, “Securities”), in each case issued pursuant to any share split, subdivision, combination, recapitalization, share dividend or other similar event in which all Investors are entitled to participate on a pro rata basis;

 

(c)                                  any Securities issued pursuant to a Qualified Initial Public Offering;

 

(d)                                 any Securities issued pursuant to the acquisition of another corporation or entity by the Company by consolidation, merger, purchase of assets, reorganization or other transaction

 

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in similar nature in which the Company acquires, in a single transaction or series of related transactions, all or substantially all assets of such other corporation or entity, or fifty percent (50%) or more of the equity ownership or voting power of such other corporation or entity approved in accordance with this Agreement and the Restated Articles;

 

(e)                                  any Securities issued or issuable to commercial banks or equipment leasers pursuant to a commercial lending or commercial leasing transaction approved by the Board in accordance with Section 8.2; or

 

(f)                                   any Securities issued in connection with any exercise of conversion rights by a Preferred Shareholder pursuant to the Restated Articles.

 

3.4.                            General Participation Procedures.

 

(a)                                 First Participation Notice. In the event that the Company proposes to undertake an issuance of New Securities (in a single transaction or a series of related transactions) (the “New Issuance”), it shall give to each Investor written notice of its intention to issue New Securities (the “First Participation Notice”), describing the amount and type of New Securities, the price and the general terms upon which the Company proposes to issue such New Securities. Each Investor (for the avoidance of doubt, including Tencent) shall have ten (10) Business Days (the “First Participation Period”) from the date of receipt of the First Participation Notice to agree in writing to purchase up to its pro rata share of such New Securities (subject to adjustment pursuant to Section 3.6) for the price and upon the terms and conditions specified in the First Participation Notice by giving written notice to the Company and stating therein the number of New Securities to be purchased. If any Investor fails or declines to exercise its Right of Participation in accordance with this subsection to subscribe for its pro rata share of the New Securities in full, then such Investor shall be deemed to have forfeited its Right of Participation with respect to such New Securities that it did not elect to purchase.

 

(b)                                 Second Participation Notice; Oversubscription. To the extent that (x) the New Issuance is not a Qualified Financing and (y) not all of the New Securities have been accepted for subscription by Tencent according to Section 3.6, if any Investor fails or declines to exercise in full or forfeits its Right of Participation in accordance with subsection (a) above, the Company shall promptly give notice (the “Second Participation Notice”) to each Investor who exercised in full its Right of Participation (the “Oversubscription Participants”) in accordance with subsection (a) above. Each Oversubscription Participant shall have five (5) Business Days from the date of the Second Participation Notice (the “Second Participation Period”) to notify the Company of its desire to purchase more than its pro rata share of the New Securities (subject to adjustment pursuant to Section 3.6), stating the number of the additional New Securities it proposes to buy (the “Additional Number”). Such notice may be made by telephone if subsequently confirmed in writing within two (2) days. If, as a result thereof, such oversubscription exceeds the total number of the remaining New Securities available for subscription, each Oversubscription Participant will be cut back by the Company with respect to its oversubscription to that number of remaining New Securities equal to the lesser of (x) the Additional Number and (y) the product obtained by multiplying (i) the number of the remaining New Securities available for subscription (subject to adjustment pursuant to Section 3.6) by (ii) a fraction, the numerator of which is the number of Ordinary Shares (calculated on an as-converted and fully-diluted basis and excluding the Excluded Ordinary Shares) held by such Oversubscription Participant as at the date of the First Participation Notice and the number of New Securities such Oversubscription Participant agreed to purchase pursuant to Section 3.4(a) or Section 3.6 (as applicable), and the denominator of which is the total number of Ordinary Shares (calculated on an as-converted and fully-diluted basis and excluding the Excluded Ordinary Shares) held by all the Oversubscription Participants and the total number of New Securities the Oversubscription Participants agreed to purchase pursuant to Section 3.4(a) and Section 3.6. Each Investor that exercised its Right of Participation and, to the extent applicable, its right under this Section

 

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3.4(b) shall be obligated to buy, and the Company shall be obligated to sell, such number of New Securities as determined by the Company pursuant to this Section 3.4 with its own funds or funds from its Controlling shareholders without requiring the prior consent, approval or other discretionary action of any third party, to make the payments required hereunder and the Company shall so notify such Investors within fifteen (15) days following the date of the First Participation Notice and, to the extent applicable, Second Participation Notice. Each of such Investors shall have thirty (30) days thereafter to conclude a Transfer of such number of the New Securities as determined by the Company pursuant to this Section 3.4 at the same price and subject to the same terms and conditions as described in the First Participation Notice.

 

3.5.                            Failure to Exercise. Upon the expiration of the Second Participation Period, or in the event that (i) the New Issuance is a Qualified Financing or (ii) no Investor exercises in full the Right of Participation within the First Participation Period, upon the expiration of the First Participation Period, the Company shall have ninety (90) days thereafter to sell the New Securities described in the First Participation Notice with respect to which the Right of Participation hereunder was not exercised at the same or higher price and upon non-price terms not more favorable to the purchasers thereof than specified in the First Participation Notice, provided that the prospective purchaser of such New Securities shall comply with this Agreement and the Restated Articles, as maybe amended from time to time, to the fullest extent. In the event that the Company has not issued and sold such New Securities within such ninety (90) day period, then the Company shall not thereafter issue or sell any New Securities without again first offering such New Securities to Investors pursuant to this Section 3.

 

3.6.                            Tencent Priority Participation Right. In the event that the Company proposes to undertake a New Issuance to any Person that is not a strategic investor mutually agreed in writing by the Company and Tencent in good faith, it shall first give Tencent written notice of its intention to issue New Securities (the “Tencent Participation Notice”), describing the amount and type of New Securities, the price and the general terms upon which the Company proposes to issue such New Securities. Tencent shall have ten (10) Business Days from the date of receipt of any such Tencent Participation Notice to agree in writing to, in priority to the other Investors, purchase up to the Priority Portion for the price and upon the terms and conditions specified in the Tencent Participation Notice (the “Tencent Priority Participation Right”) by giving written notice to the Company (the “Tencent Acceptance Notice”) and stating therein the quantity of New Securities to be purchased (not to exceed its Priority Portion) (such New Securities, the “Tencent Priority Securities”). If Tencent fails or declines to exercise the Tencent Priority Participation Right in accordance with this Section 3.6 to subscribe for the Priority Portion in full, then Tencent shall be deemed to have forfeited the Tencent Priority Participation Right with respect to such New Securities that it did not agree to purchase. Tencent shall be obligated to buy, and the Company shall be obligated to sell, the Tencent Priority Securities with its own funds or funds from its Controlling shareholders without requiring the prior consent, approval or other discretionary action of any third party, to make the payments required hereunder. Tencent shall have thirty (30) days thereafter to conclude a Transfer of the Tencent Priority Securities at the same price and subject to the same terms and conditions as described in the Tencent Participation Notice. The provisions of this Section 3.6 shall terminate and cease to have any effect upon the first time when the aggregate ownership of Tencent and its Affiliates in the Company (on an as-converted and fully-diluted basis) is equal to or more than 20% of the then outstanding share capital of the Company (after taking into account the issuance of such number of New Securities included in a First Participation Notice). For the purpose of this Section 3.6, the “Priority Portion” means such number of New Securities which, together with the number of Ordinary Shares (calculated on a fully-diluted and as-converted basis) held by Tencent and its Affiliates, will result in the aggregate ownership of Tencent and its Affiliates in the Company (on an as-converted and fully-diluted basis) being equal to 20% of the total outstanding share capital of the Company immediately after the issuance of the New Securities under such New Issuance. Notwithstanding the foregoing, prior to exercising the Tencent Priority Participation Right with respect to a New Issuance according to this

 

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Section 3.6, Tencent should consider refraining from its exercise if the compliance with this Section 3.6 will materially impede or delay the strategic growth of the Group Companies.

 

3.7.                            Special Consent Right. As long as Tencent (together with its Affiliates) holds 5% or more of the Company’s total outstanding Shares (on an as-converted and fully-diluted basis), the Company shall not issue any New Securities to any Restricted Person without prior written consent of Tencent.

 

3.8.                            Termination. The Right of Participation for each Investor shall terminate and be of no further force or effect upon the earlier to occur of (a) the consummation of a Qualified Initial Public Offering, or (b) the consummation of a Liquidation Event.

 

4.                                      TRANSFER AND INVESTMENT RESTRICTIONS.

 

4.1.            Right of First Refusal for the Company.

 

(a)                                 Sale of Shares to the Company; Notice of Sale. Subject to Section 4.7 and Section 4.8, if a Shareholder (other than HUANG Zheng or the Founder Holding Companies Controlled by him (collectively, “Huang Parties”) proposes to Transfer any Equity Securities of the Company held by it (the “Selling Shareholder”), then it shall promptly give written notice (the “Transfer Notice”) to the Company prior to such Transfer offering to first sell the Shares to be Transferred (the “Offered Shares”) to the Company.

 

(b)                                 Company Right of First Refusal. The Company shall have fifteen (15) Business Days from receipt of the Transfer Notice (the “Company Option Period”) to elect, by written notice (the “Company ROFR Notice”), to purchase all or any portion of the Offered Shares at the same per share purchase price and subject to the same terms and conditions as described in the Transfer Notice, by notifying the Selling Shareholder before expiration of the Company Option Period.

 

(c)                                  Company Closing. If the Company elects to purchase all or any portion of the Offered Shares pursuant to Section 4.1(b), such election shall constitute a binding contract between the Selling Shareholder and the Company, and the Company and the Selling Shareholder shall, no later than sixty (60) days following delivery to the Selling Shareholder of the Company ROFR Notice, conclude a Transfer of such Offered Shares at the same price and subject to the same terms and conditions as described in the Transfer Notice.

 

4.2.            Right of First Refusal for the Investors.

 

(a)                                 Sale of Ordinary Shares; Notice of Sale. Subject to Section 4.1, Section 4.5, Section 4.6, Section 4.7 and Section 4.8, if (i) any Huang Party proposes to Transfer any Equity Securities in the Company or any Equity Securities in the Founder Holding Company held by him or it or (ii) if any other Founder or Founder Holding Company (other than Huang Parties) (together with Huang Parties, the “Founder Selling Shareholders”) proposes to Transfer any Equity Securities in the Company or Equity Securities in the Founder Holding Company held by her or it and the Company has not elected to purchase all of such Equity Securities (the “Founder Offered Shares”) pursuant to Section 4.1, then the Founder Selling Shareholder shall promptly give written notice (the “Founder Transfer Notice”) to the Company and the Investors, (A) in the case of a proposed Transfer by a Huang Party, prior to such Transfer and (B) in the case of a proposed Transfer by a Founder or a Founder Holding Company that is not a Huang Party, promptly after the earlier of (i) the receipt of the Company ROFR Notice, and (ii) the expiration of the Company Option Period, offering to sell the Founder Offered Shares available for sale to the Investors.

 

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(b)                                 Right of First Refusal. Each Investor shall have ten (10) Business Days from receipt of the Founder Transfer Notice (the “Investor’s First Refusal Period”) to elect to purchase all or any portion of its pro rata share at the same per share purchase price and subject to the same terms and conditions as described in the Founder Transfer Notice, by delivering before expiration of the Investor’s First Refusal Period a written notice to the Founder Selling Shareholder, the Company and each of the other Investors setting out the number of Founder Offered Shares that it wishes to purchase. For the purpose of this Section 4.2, an Investor’s pro rata share shall be equal to (i) the total number of Founder Offered Shares multiplied by (ii) a fraction, the numerator of which is the number of Ordinary Shares (calculated on an as-converted and fully-diluted basis and excluding the Excluded Ordinary Shares) held by such Investor as at the date of the Founder Transfer Notice and the denominator of which is the total number of Ordinary Shares (calculated on an as-converted and fully-diluted basis and excluding the Excluded Ordinary Shares) owned by all Investors as at the date of the Founder Transfer Notice. To the extent that any Investor does not exercise its right of first refusal to the full extent of its pro rata share resulting in a remaining balance of un-acquired Founder Offered Shares, the Investors that have exercised in full their rights of first refusal (the “Exercising Investors”) shall have the option to elect, within five (5) Business Days after the end of the Investor’s First Refusal Period, to purchase all or any portion of such remaining balance of un-acquired Founder Offered Shares, which will be allocated to the extent necessary among the Exercising Investors in accordance with their relative pro rata share.

 

(c)                                  Expiration Notice. Within ten (10) Business Days after the expiration of the Investor’s First Refusal Period, the Company will give written notice (the “Investor First Refusal Expiration Notice”) to the Founder Selling Shareholder and the Investors specifying whether the Investors have exercised their rights of first refusal in accordance with this Section 4.2 with respect to all of the Founder Offered Shares.

 

4.3.                            Purchase Price and Payment. If an Investor elects to purchase any Founder Offered Shares pursuant to Section 4.2(b), such Investor shall, not later than ten (10) Business Days following the date of the Investor First Refusal Expiration Notice, pay the purchase price for the Founder Offered Shares purchased by it by wire transfer of immediately available funds or through other payment methods as otherwise directed by the Founder Selling Shareholder and the Founder Selling Shareholder shall sell to such Investor the relevant Founder Offered Shares.

 

4.4.                            Special Right of First Refusal. Subject to Section 4.1, as long as Tencent (together with its Affiliates) holds 5% or more of the Company’s outstanding Shares (on an as-converted basis), in the event that any Preferred Shareholder (the “Restricted Person Prospective Transferor”) proposes to Transfer any of its Equity Securities in the Company (the “Restricted Person Target Securities”) to one or more Restricted Persons, the Restricted Person Prospective Transferor shall promptly deliver to Tencent, copying the Company, a written notice (the “Restricted Person Disposition Notice”) describing the terms and conditions of the Transfer, including the amount and type of Restricted Person Target Securities, the purchase price and the identities of the Restricted Person Prospective Transferors and of the prospective transferees that are Restricted Persons. Tencent or any of its Affiliates (the “Special ROFR Holder”) has the right (the “Special Right of First Refusal”), after the Company Option Period and to the extent the Company has not elected to purchase all of the Offered Shares proposed to be Transferred to a Restricted Person, to purchase all or any portion of the Restricted Person Target Securities at the same price and subject to the same terms and conditions, or terms as similar as reasonably possible, as described in the Restricted Person Disposition Notice, by notifying the Restricted Person Prospective Transferor in writing within thirty (30) days after the expiration of the Company Option Period as to the number of such Restricted Person Target Securities that it wishes to purchase. If any such Restricted Person has offered to pay for any Restricted Person Target Securities with property, services or any other non-cash consideration, the Special ROFR Holder shall nevertheless have the right to pay for such Restricted Person Target Securities with cash in an amount equal to the fair market value of the non-cash consideration offered by the Restricted Person in question, where the fair market value of

 

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such non-cash consideration shall be conclusively determined in good faith by the Board. If the Special ROFR Holder fails to exercise its Special Right of First Refusal within such 30-day period with respect to all or a portion of the Restricted Person Target Securities, for any remaining portion of the Restricted Person Target Securities (“Available for Sale Restricted Person Target Securities”), the Restricted Person Prospective Transferor has a 60-day period to complete the Transfer of the Available for Sale Restricted Person Target Securities on the same terms and conditions as those set out in the Restricted Person Disposition Notice. If the Restricted Person Prospective Transferor has not completed the Transfer of the Available for Sale Restricted Person Target Securities within the 60-day period pursuant to this Section 4.4, the Special ROFR Holder’s Special Right of First Refusal hereunder shall once again apply to any Transfer of the Available for Sale Restricted Person Target Securities. For the avoidance of doubt, the Special ROFR Holder holds the Special Right of First Refusal to acquire all of the Restricted Person Target Securities, not just a pro rata share thereof; provided that the failure to exercise the Special Right of First Refusal wholly or in part shall not prejudice the Right of First Refusal that the Special ROFR Holder holds under Section 4.2.

 

4.5.                            Investors’ Co-Sale Right. To the extent the Company and the Investors have not fully exercised their right of first refusal with respect to all of the Shares proposed to be Transferred by a Founder Holding Company pursuant to Section 4.1 and Section 4.2, then each Investor who has not exercised any of its right of first refusal pursuant to Section 4.1 and Section 4.2 shall have the right (the “Co-Sale Right”), exercisable upon written notice to the Founder Selling Shareholder, the Company and each of the other Investors within fifteen (15) days after receipt of Investor First Refusal Expiration Notice, to participate in such sale of the remaining Founder Offered Shares (the “Co-Sale Shares”) on the same terms and conditions as set forth in the Founder Transfer Notice. Such notice shall set forth the number of Ordinary Shares (calculated on an as-converted and fully-diluted basis and excluding the Excluded Ordinary Shares) that such Investor wishes to include in such Transfer, which amount shall not exceed such Investor’s pro rata share as determined under Section 4.5(a). To the extent one or more of the Investors exercise their Co-Sale Rights, the number of Ordinary Shares that the Founder Selling Shareholder may sell in the transaction shall be correspondingly reduced such that the aggregate number of Shares Transferred shall not exceed the total number of Co-Sale Shares. Each Investor’s Co-Sale Right shall be subject to the following terms and conditions:

 

(a)                                 Pro Rata Share. Each Investor’s pro rata share, for the purpose of this Section 4.5, is equal to the product obtained by multiplying (x) the aggregate number of the Founder Offered Shares subject to the Co-Sale Right by (y) a fraction, the numerator of which is the number of Ordinary Shares (calculated on an as-converted and fully-diluted basis and excluding the Excluded Ordinary Shares) held by such Investor as at the date of the Investor First Refusal Expiration Notice and the denominator of which is the aggregate number of Ordinary Shares (calculated on an as-converted and fully-diluted basis and excluding the Excluded Ordinary Shares) held by all Investors who elect to exercise their Co-Sale Rights and the Founder Selling Shareholder as at the date of the Investor First Refusal Expiration Notice.

 

(b)                                 Transferred Shares. Each Investor that exercised its Co-Sale Right shall promptly deliver to the Founder Selling Shareholder for Transfer to the prospective purchaser one or more certificates, properly endorsed for Transfer, together with an executed instrument of transfer, which represent:

 

(i)                                     the number of Ordinary Shares which such Investor elects to sell;

 

(ii)                                  that number of Preferred Shares which is at such time convertible into the number of Ordinary Shares that such Investor elects to sell; provided in such case that, if the prospective purchaser objects to the delivery of Preferred Shares in lieu of Ordinary Shares, such Investor shall convert such Preferred Shares into Ordinary Shares and deliver Ordinary Shares as

 

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provided in Subsection 4.5(b)(i) above. The Company agrees to make any such conversion concurrent with the actual Transfer of such Shares to the prospective purchaser; or

 

(iii)                               a combination of the above.

 

(c)                                  Payment to Investors. The share certificate or certificates that the Investor delivers to the Founder Selling Shareholder pursuant to Section 4.5(b) shall be delivered to the prospective purchaser in consummation of the sale of the Founder Offered Shares pursuant to the terms and conditions specified in the Founder Transfer Notice, and the Founder Selling Shareholder shall concurrently therewith remit to such Investor that portion of the sale proceeds to which such Investor is entitled by reason of its participation in such sale. To the extent that any prospective purchaser prohibits such assignment or otherwise refuses to purchase any Shares from an Investor exercising its Co-Sale Right, the Founder Selling Shareholder shall not sell to such prospective purchaser any Ordinary Shares unless and until, simultaneously with such sale, the Founder Selling Shareholder shall purchase from such Investor the Shares that it would otherwise sell to the prospective purchaser pursuant to this Section 4.5.

 

(d)                                 Right to Transfer. To the extent the Company and the Investors do not elect to purchase, or the Investors do not participate in the sale of, any Founder Offered Shares, the Founder Selling Shareholder may, not later than ninety (90) days following delivery to the Company and each of the Investors of the Founder Transfer Notice, conclude a Transfer of such Founder Offered Shares on terms and conditions that are no less favorable to the Founder Selling Shareholder than those set out in the Founder Transfer Notice. Any proposed Transfer on terms and conditions which are more favorable to the prospective purchaser than those set out in the Founder Transfer Notice, as well as any subsequent proposed transfer of any Shares by the Founder Selling Shareholder, shall again be subject to the right of first refusal of the Company and the Investors and the Co-Sale Right and shall require compliance by the Founder Selling Shareholder with the procedures described in Section 4.1, Section 4.2 and Section 4.5 of this Agreement.

 

(e)                                  Subsequent Purchases. The exercise or non-exercise of the rights of the Investors under this Section 4 to purchase Offered Shares or participate in the sale of Offered Shares by a Founder Selling Shareholder shall not adversely affect their rights to make subsequent purchases of Offered Shares or subsequently participate in sales of Offered Shares by a Founder Selling Shareholder hereunder.

 

4.6.                            Permitted Transfers. Notwithstanding anything to the contrary contained herein, the right of first refusal and Co-Sale Rights as set forth in Section 4.1, Sections 4.2 and Section 4.5 shall not apply to (a) any Transfer of Shares to the Company pursuant to a repurchase right or right of first refusal held by the Company in the event of a termination of employment or consulting relationship or (b) any Transfer of Shares to another entity wholly legally and beneficially owned by the relevant Founder, or to the parents, children, spouse, or to trusts for the benefit of such persons, of any Founders for bona fide estate planning purposes or bona fide tax planning purposes (each transferee pursuant to the foregoing subsections (a) to (b) is hereafter referred as a “Permitted Transferee”) so long as (i) such Transfer is effected in compliance with all applicable laws, and (ii) in the case of (b) above, the Permitted Transferee, prior to the completion of such Transfer, shall have executed a Deed of Adherence (as defined below) as a Founder Holding Company, with respect to the Transferred Shares.

 

4.7.                            Prohibited Transfers. Unless disclosed in the Transaction Documents, each Founder hereby represents to each Investor that he or she is the 100% percent legal and beneficial owner of his or her respective Founder Holding Company(ies). Notwithstanding anything to the contrary herein, (a) as long as Tencent (together with its Affiliates) holds 5% or more of the Company’s total outstanding Shares (on an as-converted and fully diluted basis), none of the Founder Holding Companies shall, and each Founder shall procure its Founder Holding Companies not to, Transfer any Shares to a Restricted

 

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Person without the prior written consent of Tencent, (b) except for Transfers by a Founder Holding Company to its Permitted Transferees as provided in Section 4.6, none of the Founder Holding Companies or their respective Permitted Transferees shall, and each Founder shall procure its Founder Holding Companies or its Permitted Transferees not to, Transfer more than 15% of all Shares (on a fully diluted and as-converted basis) as at the date hereof held by it, her or him to any Person without the prior written consent of the Preferred Majority on or prior to a Qualified Initial Public Offering. Any Transfer or attempted Transfer by a Founder Holding Company or any of its Permitted Transferees in violation of this Section 4 shall be void and the Company hereby agrees it will not effect such Transfer. For the avoidance of doubt, subject to Section 4.1, Sections 4.2 and Section 4.5 above, a Founder Holding Company or its Permitted Transferees shall be entitled to, without any prior written consents of the Preferred Majority, Transfer up to 15% of all Shares (on a fully diluted and as-converted basis) as at the date hereof held by such Founder Holding Company, to any Person (other than a Restricted Person) at any time following the date of this Agreement.

 

4.8.                            Restriction on Transfer to a Company Restricted Person. Notwithstanding anything to the contrary in this Section 4 but without prejudice to the Company’s right of first refusal pursuant to Section 4.1, each Shareholder agrees that, without the prior written consent of the Company, it shall not Transfer any Share to any of the Company Restricted Persons. The “Company Restricted Persons” shall initially be the Persons listed in Schedule 6, and may from time to time be updated or amended (but no more than twice a calendar year) by the Board acting reasonably.

 

4.9.                            Permitted Transfers by Investors. Notwithstanding anything to the contrary, the provisions of Section 4.1 shall not apply to any Transfer of Shares (a) by any Investor to any of its Affiliates, provided further that, if any transferee ceases to be an Affiliate of such Investor pursuant to this Section 4.9, such transferee shall immediately Transfer the Shares held by it to such Investor or any other Affiliate of such Investor pursuant to this Section 4.9 and (b) by Tencent (or its permitted transferee pursuant the terms of this Agreement) to (i) any direct or indirect wholly-owned Subsidiary(ies) of Tencent Holdings Limited (“Tencent HoldCo”) or (ii) any Person that is Controlled by Tencent HoldCo, whether directly or indirectly, through the ownership of 100% of voting securities or the possession of 100% of voting power, itself or with any wholly-owned direct or indirect subsidiary as trustee or executor, general partner, by contract or credit arrangement or otherwise or (iii) any other Affiliate of Tencent whose primary business is making investments and is not directly competing with the Principal Business of the Company, provided that a direct or indirect investment in any Person that directly competes with the Principal Business of the Company shall not be deemed, individually or in the aggregate with other such investments, to be directly competing with the Principal Business; provided further that, if any transferee ceases to be a permitted transferee pursuant to this Section 4.9, such transferee shall immediately Transfer the Shares held by it to Tencent or any of its permitted transferees pursuant to this Section 4.9.

 

4.10.                     Legend.

 

(a)                                 Each certificate representing the Ordinary Shares or the Preferred Shares, as well as the register of member of the Company, shall be endorsed with the following legend:

 

“THE SALE, PLEDGE, HYPOTHECATION OR TRANSFER OF THE SECURITIES REPRESENTED BY THIS CERTIFICATE IS SUBJECT TO CERTAIN RESTRICTIONS ON TRANSFER SET FORTH IN A SHAREHOLDERS AGREEMENT, A COPY OF WHICH MAY BE OBTAINED UPON WRITTEN REQUEST TO THE SECRETARY OF THE COMPANY.”

 

(b)                                 Each Party agrees that the Company may instruct its transfer agent to impose transfer restrictions on the shares represented by certificates bearing the legend referred to in

 

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Section 4.10(a) above to enforce the provisions of this Agreement and the Company agrees to promptly do so. The legend shall be removed upon termination of the provisions of this Section 4.

 

4.11.                     Term. The provisions under this Section 4 shall terminate and be of no further force or effect upon the earlier to occur of (a) the consummation of a Qualified Initial Public Offering, or (b) the consummation of a Liquidation Event.

 

5.                                      LIQUIDATION.

 

5.1.                            Liquidation Preference. In the event of a Liquidation Event, the Preferred Shareholders shall be entitled to receive, prior to any distribution to the Ordinary Shareholders or any other class or series of shares then outstanding, an amount equal to:

 

(1)                                 for each holder of the Series D Preferred Shares, subject to the provisions of Section 5.1(11), an amount equal to the greater of:

 

(a)                                 an amount that equals to (A) the number of Series D Preferred Shares then held by such holder multiplied by (B) (i) one hundred percent (100%) of the Series D Preferred Share Issue Price (as defined in the Restated Articles) plus (ii) an amount accruing thereon at a compound annual rate of eight percent (8%) of the Series D Preferred Share Issue Price, beginning on the date of Closing, plus (iii) all declared but unpaid dividends on such Series D Preferred Share; and

 

(b)                                 the amount that such holder of Series D Preferred Share(s) would have received had no Preference Amount were payable after a Liquidation Event and the entire assets and funds of the Company legally available for distribution to the Preferred Shares and Ordinary Shares were to be distributed on a pro rata, pari passu basis among the holders of the Preferred Shares (on an as-converted basis) and the holders of the Ordinary Shares,

 

(collectively, the “Series D Preferred Share Preference Amount”);

 

(2)                                 for each holder of the Series C-3 Preferred Shares, subject to the provisions of Section 5.1(12), an amount equal to the greater of:

 

(a)                                 an amount that equals to (A) the number of Series C-3 Preferred Shares then held by such holder multiplied by (B) (i) one hundred percent (100%) of the Series C-3 Preferred Share Issue Price (as defined in the Restated Articles), plus (ii) an amount accruing thereon at a compound annual rate of eight percent (8%) of the Series C-3 Preferred Share Issue Price, beginning on the closing date under the Series C-3 Share Purchase Agreement, plus (iii) all declared but unpaid dividends on such Series C-3 Preferred Share; and

 

(b)                                 the amount that such holder of Series C-3 Preferred Share(s) would have received had no Preference Amount were payable after a Liquidation Event and the entire assets and funds of the Company legally available for distribution to the Preferred Shares and Ordinary Shares were to be distributed on a pro rata, pari passu basis among the holders of the Preferred Shares (on an as-converted basis) and the holders of the Ordinary Shares,

 

(collectively, the “Series C-3 Preferred Share Preference Amount”);

 

(3)                                 for the holders of the Series C-2 Preferred Shares, subject to the provisions of Section 5.1(12), an amount equal to the greater of:

 

(a)                                 an amount that equals to (A) the number of Series C-2 Preferred Shares then held by such holder multiplied by (B) (i) one hundred percent (100%) of the Series C-2 Preferred Share Issue Price (as defined in the Restated Articles), plus (ii) an amount accruing thereon at a

 

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compound annual rate of eight percent (8%) of the Series C-2 Preferred Share Issue Price, beginning on the closing date under the Series C-1/C-2 Share Purchase Agreement (the “Series C Closing Date”), plus (iii) all declared but unpaid dividends on such Series C-3 Preferred Share; and

 

(b)                                 the amount that such holder of Series C-2 Preferred Share(s) would have received had no Preference Amount were payable after a Liquidation Event and the entire assets and funds of the Company legally available for distribution to the Preferred Shares and Ordinary Shares were to be distributed on a pro rata, pari passu basis among the holders of the Preferred Shares (on an as-converted basis) and the holders of the Ordinary Shares,

 

(collectively, the “Series C-2 Preferred Share Preference Amount”);

 

(4)                                 for each holder of the Series C-1 Preferred Shares, subject to the provisions of Section 5.1(13), an amount equal to the greater of:

 

(a)                                 an amount that equals to (A) the number of Series C-1 Preferred Shares then held by such holder multiplied by (B) (i) one hundred percent (100%) of the Series C-1 Preferred Share Issue Price (as defined in the Restated Articles), plus (ii) an amount accruing thereon at a compound annual rate of eight percent (8%) of the Series C-1 Preferred Share Issue Price, beginning on the Series C Closing Date, plus (iii) all declared but unpaid dividends on such Series C-1 Preferred Share; and

 

(b)                                 the amount that such holder of Series C-1 Preferred Share(s) would have received had no Preference Amount were payable after a Liquidation Event and the entire assets and funds of the Company legally available for distribution to the Preferred Shares and Ordinary Shares were to be distributed on a pro rata, pari passu basis among the holders of the Preferred Shares (on an as-converted basis) and the holders of the Ordinary Shares,

 

(collectively, the “Series C-1 Preferred Share Preference Amount”);

 

(5)                                 for each holder of the Series B-4 Preferred Shares, subject to the provisions of Section 5.1(13), an amount equal to the greater of:

 

(a)                                 an amount that equals to (A) the number of Series B-4 Preferred Shares then held by such holder multiplied by (B) (i) one hundred percent (100%) of the Series B-4 Preferred Share Issue Price (as defined in the Restated Articles), plus (ii) an amount accruing thereon at a compound annual rate of eight percent (8%) of the Series B-4 Preferred Share Issue Price, beginning on the closing date under the Series B-4 Share Purchase Agreement, plus (iii) all declared but unpaid dividends on such Series B-4 Preferred Share; and

 

(b)                                 the amount that such holder of Series B-4 Preferred Share(s) would have received had no Preference Amount were payable after a Liquidation Event and the entire assets and funds of the Company legally available for distribution to the Preferred Shares and Ordinary Shares were to be distributed on a pro rata, pari passu basis among the holders of the Preferred Shares (on an as-converted basis) and the holders of the Ordinary Shares,

 

(collectively, the “Series B-4 Preferred Share Preference Amount”);

 

(6)                                 for each holder of the Series B-3 Preferred Shares, subject to the provisions of Section 5.1(13), an amount equal to the greater of:

 

(a)                                 an amount that equals to (A) the number of Series B-3 Preferred Shares then held by such holder multiplied by (B) (i) one hundred percent (100%) of the Series B-3 Preferred Share Issue Price (as defined in the Restated Articles), plus (ii) an amount accruing thereon at a

 

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compound annual rate of eight percent (8%) of the Series B-3 Preferred Share Issue Price, beginning on the closing date under the Series B-3 Share Purchase Agreement, plus (iii) all declared but unpaid dividends on such Series B-3 Preferred Share; and

 

(b)                                 the amount that such holder of Series B-3 Preferred Share(s) would have received had no Preference Amount were payable after a Liquidation Event and the entire assets and funds of the Company legally available for distribution to the Preferred Shares and Ordinary Shares were to be distributed on a pro rata, pari passu basis among the holders of the Preferred Shares (on an as-converted basis) and the holders of the Ordinary Shares,

 

(collectively, the “Series B-3 Preferred Share Preference Amount”);

 

(7)                                 for each holder of the Series B-2 Preferred Shares, subject to the provisions of Section 5.1(13), an amount equal to the greater of:

 

(a)                                 an amount that equals to (A) the number of Series B-2 Preferred Shares then held by such holder multiplied by (B) (i) one hundred percent (100%) of the Series B-2 Preferred Share Issue Price (as defined in the Restated Articles), plus (ii) an amount accruing thereon at a compound annual rate of eight percent (8%) of the Series B-2 Preferred Share Issue Price, beginning on the closing date under the Series B-2 Share Purchase Agreement, plus (iii) all declared but unpaid dividends on such Series B-2 Preferred Share; and

 

(b)                                 the amount that such holder of Series B-2 Preferred Share(s) would have received had no Preference Amount were payable after a Liquidation Event and the entire assets and funds of the Company legally available for distribution to the Preferred Shares and Ordinary Shares were to be distributed on a pro rata, pari passu basis among the holders of the Preferred Shares (on an as-converted basis) and the holders of the Ordinary Shares,

 

(collectively, the “Series B-2 Preferred Share Preference Amount”);

 

(8)                                 for each holder of the Series B-1 Preferred Shares, subject to the provisions of Section 5.1(13), an amount equal to the greater of:

 

(a)                                 an amount that equals to (A) the number of Series B-1 Preferred Shares then held by such holder multiplied by (B) (i) one hundred percent (100%) of the Series B-1 Preferred Share Issue Price (as defined in the Restated Articles), plus (ii) an amount accruing thereon at a compound annual rate of eight percent (8%) of the Series B-1 Preferred Share Issue Price, beginning on the closing date under the Series B-1 Share Purchase Agreement, plus (iii) all declared but unpaid dividends on such Series B-1 Preferred Share; and

 

(b)                                 the amount that such holder of Series B-1 Preferred Share(s) would have received had no Preference Amount were payable after a Liquidation Event and the entire assets and funds of the Company legally available for distribution to the Preferred Shares and Ordinary Shares were to be distributed on a pro rata, pari passu basis among the holders of the Preferred Shares (on an as-converted basis) and the holders of the Ordinary Shares,

 

(together with the Series B-4 Preferred Share Preference Amount, the Series B-3 Preferred Share Preference Amount and the Series B-2 Preferred Share Preference Amount, collectively the “Series B Preference Amount”);

 

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(9)                                 for each holder of the Series A-2 Preferred Shares, subject to the provisions of Section 5.1(14), an amount equal to the greater of:

 

(a)                                 an amount that equals to (A) the number of Series A-2 Preferred Shares then held by such holder multiplied by (B) (i) one hundred percent (100%) of the Series A-2 Preferred Share Issue Price (as defined in the Restated Articles), plus (ii) an amount accruing thereon at a compound annual rate of eight percent (8%) of the Series A-2 Preferred Share Issue Price, beginning on the closing date under the Series A Share Purchase Agreement (the “Series A Closing Date”), plus (iii) all declared but unpaid dividends on such Series A-2 Preferred Share; and

 

(b)                                 the amount that each holder of Series A-2 Preferred Share(s) would have received had no Preference Amount were payable after a Liquidation Event and the entire assets and funds of the Company legally available for distribution to the Preferred Shares and Ordinary Shares were to be distributed on a pro rata, pari passu basis among the holders of the Preferred Shares (on an as-converted basis) and the holders of the Ordinary Shares,

 

(collectively, the “Series A-2 Preferred Share Preference Amount”);

 

(10)                          for each holders of the Series A-1 Preferred Shares, subject to the provisions of Section 5.1(14), an amount equal to the greater of:

 

(a)                                 an amount that equals to (A) the number of Series A-1 Preferred Shares then held by such holder multiplied by (B) (i) one hundred percent (100%) of the Series A-1 Preferred Share Issue Price (as defined in the Restated Articles), plus (ii) an amount accruing thereon at a compound annual rate of eight percent (8%) of the Series A-1 Preferred Share Issue Price, beginning on the Series A Closing Date, plus (iii) all declared but unpaid dividends on such Series A-1 Preferred Share; and

 

(b)                                 the amount that each holder of Series A-1 Preferred Share(s) would have received had no Preference Amount were payable after a Liquidation Event and the entire assets and funds of the Company legally available for distribution to the Preferred Shares and Ordinary Shares were to be distributed on a pro rata, pari passu basis among the holders of the Preferred Shares (on an as-converted basis) and the holders of the Ordinary Shares,

 

(together with the Series A-2 Preferred Share Preference Amount, collectively the “Series A Preference Amount”, together with the Series D Preferred Share Preference Amount, the Series C-3 Preferred Share Preference Amount, the Series C-2 Preferred Share Preference Amount, the Series C-1 Preferred Share Preference Amount and the Series B Preference Amount, the “Preference Amount”);

 

(11)                          if the Company has insufficient assets to permit payment of the Series D Preferred Share Preference Amount in full to all holders of the then issued and outstanding Series D Preferred Shares, then the assets of the Company shall be distributed ratably to the holders of the then issued and outstanding Series D Preferred Shares in proportion to the full Series D Preferred Share Preference Amount that each such holder of the then issued and outstanding Series D Preferred Shares would otherwise be entitled to receive hereunder;

 

(12)                          after the full Series D Preferred Share Preference Amount has been paid, any remaining funds or assets of the Company legally available for distribution to shareholders shall then be distributed to holders of Series C-3 Preferred Shares and Series C-2 Preferred Shares according to the sum of the Series C-3 Preferred Share Preference Amount and Series C-2 Preferred Share Preference Amount. If the Company has insufficient assets to permit payment of the Series C-3 Preferred Share Preference Amount and the Series C-2 Preferred Share Preference Amount in full to all holders of the then issued and

 

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outstanding Series C-3 Preferred Shares and Series C-2 Preferred Shares, then the assets of the Company shall be distributed ratably to the holders of the then issued and outstanding Series C-3 Preferred Shares and Series C-2 Preferred Shares in proportion to the full Series C-3 Preferred Share Preference Amount and Series C-2 Preferred Share Preference Amount that each such holder of the then issued and outstanding Series C-3 Preferred Shares and Series C-2 Preferred Shares would otherwise be entitled to receive hereunder;

 

(13)                          after the full Series D Preferred Share Preference Amount, the full Series C-3 Preferred Share Preference Amount and the full Series C-2 Preferred Share Preference Amount have been paid, any remaining funds or assets of the Company legally available for distribution to shareholders shall then be distributed to holders of Series C-1 Preferred Shares and Series B Preferred Shares according to the sum of the Series C-1 Preferred Share Preference Amount and Series B Preferred Share Preference Amount. If the Company has insufficient assets to permit payment of the Series C-1 Preferred Share Preference Amount and Series B Preferred Share Preference Amount in full to all holders of the then issued and outstanding Series C-1 Preferred Shares and Series B Preferred Shares, then the assets of the Company shall be distributed ratably to the holders of the then issued and outstanding Series C-1 Preferred Shares and Series B Preferred Shares in proportion to the full Series C-1 Preferred Share Preference Amount and Series B Preferred Share Preference Amount that each such holder of the then issued and outstanding Series C-1 Preferred Shares and Series B Preferred Shares would otherwise be entitled to receive hereunder;

 

(14)                          after the full Series D Preferred Share Preference Amount, the full Series C-3 Preferred Share Preference Amount and the full Series C-2 Preferred Share Preference Amount, the full Series C-1 Preferred Share Preference Amount and the full Series B Preference Amount have been paid, any remaining funds or assets of the Company legally available for distribution to shareholders shall then be distributed to holders of Series A Preferred Shares according to the Series A Preference Amount. If the Company has insufficient assets to permit payment of the Series A Preference Amount in full to all holders of the then issued and outstanding Series A Preferred Shares, then the assets of the Company shall be distributed ratably to the holders of the then issued and outstanding Series A Preferred Shares in proportion to the full Series A Preference Amount that each such holder of the then issued and outstanding Series A Preferred Shares would otherwise be entitled to receive hereunder; and

 

(15)                          after the full Preference Amount on all outstanding Preferred Shares have been paid, any remaining funds or assets of the Company legally available for distribution to shareholders shall be distributed on a pro rata, pari passu basis among the holders of the Ordinary Shares.

 

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5.2.                            Share Repurchase. Notwithstanding any other provision of this Section 5, the Company may at any time, out of funds legally available therefor and subject to compliance with the provisions of the applicable laws of the Cayman Islands, repurchase Ordinary Shares of the Company issued to or held by employees, officers or consultants of the Company or its Subsidiaries upon termination of their employment or services, pursuant to any bona fide agreement providing for such right of repurchase, whether or not dividends on the Preferred Shares shall have been declared.

 

5.3.                            Valuation of Non-Cash Asset. In the event the Company proposes to distribute assets other than cash in connection with any liquidation, dissolution or winding up of the Company or any Liquidation Event, the value of the assets to be distributed to the Shareholders shall be that as determined in good faith by the liquidator or, in the case of any proposed distribution in connection with a transaction which is a deemed liquidation hereunder, by the shareholders’ meeting, which decision shall include the approval from the Preferred Majority. Any securities not subject to investment letter or similar restrictions on free marketability shall be valued as follows:

 

(a)                                 If traded on a securities exchange, the value shall be deemed to be the average of the security’s closing prices on such exchange over the thirty (30) day period ending one (1) day prior to the distribution;

 

(b)                                 If actively traded over-the-counter, the value shall be deemed to be the average of the closing bid prices over the thirty (30) day period ending three (3) days prior to the distribution; and

 

(c)                                  If there is no active public market, the value shall be the fair market value thereof as determined in good faith by the liquidator or, in the case of any proposed distribution in connection with a transaction which is a deemed liquidation hereunder, by the Board (with at least one affirmative vote from any Series C Director).

 

The method of valuation of securities subject to restrictions on free marketability shall be adjusted to make an appropriate discount from the market value determined as above in clauses (a), (b), or (c) to reflect the fair market value thereof as determined in good faith by the liquidator or, in the case of any proposed distribution in connection with a transaction which is a deemed liquidation hereunder, by the shareholders’ meeting. The Preferred Majority shall have the right to challenge any determination by the liquidator or the shareholders’ meeting, as the case may be, of fair market value pursuant to Section 5, in which case the determination of fair market value shall be made by an independent appraiser selected jointly by the liquidator or the shareholders’ meeting, as the case may be, and the challenging parties, the cost of such appraisal to be borne equally by the Company and the challenging party.

 

5.4.                    Term. The provisions under this Section 5 shall terminate and be of no further force or effect upon the earlier to occur of (a) the consummation of a Qualified Initial Public Offering, or (b) the consummation of a Liquidation Event.

 

6.                                      ASSIGNMENT AND AMENDMENT.

 

6.1.                            Assignment and Amendment. Notwithstanding anything herein to the contrary:

 

(a)                                 Information Rights; Registration Rights. The Information and Inspection Rights under Section 1.1 may be assigned to any holder of Preferred Shares representing no less than two percent (2%) of the Company’s total share capital (on a fully diluted and as-converted basis); and the registration rights of the Holders under Section 2 may be assigned to any Holder or to any person acquiring Registrable Securities, provided, however, that in either case no party may be assigned any of the foregoing rights unless the Company is given written notice by the assigning party stating the name

 

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and address of the assignee and identifying the securities of the Company as to which the rights in question are being assigned; provided  further, that any such assignee shall receive such assigned rights subject to all the terms and conditions of this Agreement, including without limitation the provisions of this Section 6.

 

(b)                                 Right of Participation; Right of First Refusal; Co-Sale Right. The rights of any Investor under Section 3, Section 4 are fully assignable in connection with a Transfer of Shares by such Investor in accordance with the terms of this Agreement; provided, however, that no party may be assigned any of the foregoing rights unless the Company is given written notice by such Investor stating the name and address of the assignee and identifying the securities of the Company as to which the rights in question are being assigned; and provided  further, that any such assignee shall receive such assigned rights subject to all the terms and conditions of this Agreementt.

 

(c)                                  Deed of Adherence. For any Transfer or subscription (except any subscription upon exercising any options granted under the ESOP) of Shares to be deemed effective, the transferee (in the case of a Transfer) shall assume the obligations of the transferor under this Agreement and the subscriber (in the case of a subscription) shall assume the obligations of a holder of Ordinary Shares or Preferred Shares (as the case may be) under this Agreement by executing and delivering to the Company a Deed of Adherence substantially in the form attached hereto as Exhibit B (the “Deed of Adherence”) unless such transferee or subscriber entered into a shareholders agreement to amend and restate this Agreement with the Parties or an amendment to this Agreement duly executed according to this Agreement. Upon the execution and delivery of a Deed of Adherence by a transferee or subscriber, such transferee or subscriber shall be deemed to be an Ordinary Shareholder, a Preferred Shareholder, an Investor, Holder and/or Party hereunder, as appropriate.

 

6.2.                            Amendment of Rights. Any provision in this Agreement may be amended and the observance thereof may be waived (either generally or in a particular instance and either retroactively or prospectively) by the written consent of the Preferred Majority and Ordinary Majority. Any amendment or waiver effected in accordance with this Section 6.2 shall be binding upon the Parties. To the extent legally permissible and subject to the satisfaction of the foregoing requirement for an amendment or waiver of this Agreement:

 

(a)                                 each Shareholder hereby irrevocably appoint the Company as its agent and attorney to execute all necessary sold acts, documents, notes and instruments on its behalf in order to effect such amendment or waiver (as applicable); and

 

(b)                                 each Shareholder shall: (i) refrain from exercising any rights of appraisal, derivative action rights or other minority oppression rights under applicable law at any time with respect to such amendment or waiver; and (ii) execute and deliver all related documentation and take all other action necessary to consummate such amendment or waiver, including exercising its vote as a Shareholder to approve such amendment or waiver and the transactions contemplated thereunder.

 

7.                                      CONFIDENTIALITY AND NON-DISCLOSURE.

 

7.1.                            Confidentiality. Each Shareholder agrees that Confidential Information furnished and to be furnished to it has been and may in the future be made available in connection with such Shareholder’s investment in the Company. Each Shareholder agrees that it shall use, and that it shall cause any Person to whom Confidential Information is disclosed pursuant to clause (a) below to use, the Confidential Information only in connection with its investment in the Company and not for any other purpose (including to disadvantage competitively the Company or any of its Affiliates). Each Shareholder further acknowledges and agrees that it shall not disclose any Confidential Information to any Person except that Confidential Information may be disclosed pursuant to Section 7.4 and Section 7.5. For the purpose of this Section 7, “Confidential Information” means any non-public information

 

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concerning the Company or any Persons that are or become its Subsidiaries or the financial condition, business, operations or prospects of the Company or any such Persons in the possession of or furnished to any Shareholder (including by virtue of its present or former right to designate a director of the Company); provided that the term “Confidential Information” does not include information that (a) is or becomes generally available to the public other than as a result of a disclosure by a Shareholder or its or its Subsidiaries’ respective current or bona fide prospective investors, directors, officers, employees, stockholders, members, partners, counsel, advisers, bankers, agents and consultants or other representatives (all such Persons being collectively referred to as “Representatives”) in violation of this Agreement or other Transaction Documents, (b) was available to such Shareholder on a non-confidential basis prior to its disclosure to such Shareholder or its Representatives by the Company, (c) becomes available to such Shareholder on a non-confidential basis from a source other than the Company after the disclosure of such information to such Shareholder or its Representatives by the Company, which source is (at the time of receipt of the relevant information) not, to the best of such Shareholder’s knowledge, bound by a confidentiality agreement with (or other confidentiality obligation to) the Company or another Person, or (d) is independently developed by such Shareholder without violating any confidentiality agreement with, or other obligation of secrecy to, the Company.

 

7.2.                            Disclosure of Financing Terms. The terms and conditions of this Agreement and the other Transaction Documents, and their accompanying annexes, schedules, exhibits or attachments, including their existence, any document referred to therein and any claim or potential claim thereunder, shall be considered Confidential Information (collectively, the “Financing Terms”) and shall not be disclosed by any Party to any third party except in accordance with the provisions set forth below; provided that such Financing Terms shall not include any information that is in the public domain other than caused by the breach of the confidentiality obligations hereunder.

 

7.3.                            Press Releases, Etc. No Investor shall issue any press release, communication, circular or other public announcement (an “Announcement”) with respect to any of the Transaction Documents or any of the transactions contemplated hereby or thereby without the Company’s prior written consent. Any Announcement issued by the Company or any Party shall not disclose any of the Financing Terms without the prior written consent of the Company and the Investors. No other Announcement regarding any of the Financing Terms in a press release, conference, advertisement, announcement, professional or trade publication, mass marketing materials or otherwise to the general public may be made without the Investors’ prior written consent.

 

7.4.                            Permitted Disclosures. Notwithstanding the foregoing, any Party may disclose any of the Confidential Information to its Representatives or Affiliates, in each case only where such Representatives or Affiliates (other than the Company Competitors) have the need to know such information and are subject to appropriate nondisclosure obligations substantially similar to those set out in this Section 7. Without limiting the generality of the foregoing, the Investors shall be entitled to disclose the Financing Terms for the purposes of fund reporting or inter-fund reporting or to their fund manager, other funds managed by their fund manager and their respective auditors, counsel, directors, officers, employees, shareholders or investors who have the need to know such information and are subject to appropriate nondisclosure obligations substantially similar to those set out in this Section 7.

 

7.5.                            Legally Compelled Disclosure.

 

(a)                                 In the event that any Party is requested or is required (including without limitation, pursuant to securities laws and regulations, the rules of any stock exchange on which the shares of a Party or any of its parent companies are listed or by applicable laws or governmental regulations or judicial or regulatory process) to disclose any Confidential Information, such Party (the “Disclosing Party”) shall provide the other Parties (the “Non-Disclosing Parties”) with prompt written notice of that fact and use all reasonable efforts to seek (with the cooperation and reasonable efforts of the

 

28

 

other Parties) a protective order, confidential treatment or other appropriate remedy. In such event, the Disclosing Party shall furnish only that portion of the information which is legally required to be disclosed and shall exercise reasonable efforts to keep confidential such information to the extent reasonably requested by any Non-Disclosing Party.

 

(b)                                 Notwithstanding the foregoing, any Party may disclose any of the Confidential Information in connection with any judicial process regarding any legal action, suit or proceeding arising out of or relating to this Agreement.

 

7.6.                            Other Information. The provisions of this Section 7 shall be in addition to, and not in substitution for, the provisions of any separate nondisclosure agreement executed by any of the Parties with respect to the transactions contemplated in this Agreement.

 

7.7.                            Notices. All notices required under this section shall be made pursuant to Section 11.1 of this Agreement.

 

8.                                      PROTECTIVE PROVISIONS.

 

8.1.                            Shareholders Protective Provisions. In addition to such other limitations as may be provided in the Restated Articles, for so long as any of the Preferred Shares are outstanding, the following acts of any Group Companies (whether in a single transaction or a series of related transactions, and whether directly or indirectly) shall require the prior written consent of the Ordinary Majority and the Preferred Majority; provided that, in the event that any action in Section 8.1(h) relates in any way to a Restricted Person, it shall also require the prior written approval of Tencent as long as Tencent (together with its Affiliates) holds 5% or more of the Company’s outstanding Shares (on an as-converted basis):

 

(a)                                 any amendment or change of the rights, preferences, privileges or powers of, or the restrictions provided for the benefit of any Share;

 

(b)                                 any action that shall result in any equity security of the Company, outstanding or to be issued, having any preference or priority that shall be senior to or on a parity with the Preferred Shares;

 

(c)                                  any action that creates, authorizes or issues, any equity securities (including any options or warrants for, or any other securities exchangeable for or convertible into, such equity interest of such Group Company) which may dilute the direct or indirect shareholding of any holder of Preferred Shares in any Group Company or any action that reclassifies, repurchases or redeems any equity securities, excluding (i) any issuance of Ordinary Shares upon conversion of the Preferred Shares, (ii) any action pursuant to the terms of the ESOP including the issuance or repurchase of any employee equity incentive stocks (or options or warrants therefor) and (iii) any repurchase of the equity securities by the Company pursuant to Section 4.1 of this Agreement;

 

(d)                                 any change to the Restated Articles or other charter documents of any Group Company that would directly or indirectly adversely affect the rights of the Preferred Shares;

 

(e)                                  sell, transfer, charge, encumber or other disposition of all or substantially all of the assets of the Group Companies (taken as a whole);

 

(f)                                   sell, transfer, charge, encumber or other disposition of any equity interest in a Group Company (other than the Company) except pursuant to Section 10.3;

 

(g)                                  any declaration, set aside or payment of a dividend or other distribution by the any Group Company to the Shareholders;

 

29

 

(h)                                 any action that results in any merger, consolidation, or other corporate reorganization, or any transaction or series of transactions in which in excess of 50% of the Company’s voting power is transferred or in which all or substantially all of the assets of the Group Companies (taken as a whole) are sold, or all or substantially all of the intellectual properties of the Group Companies (taken as a whole) are licensed;

 

(i)                                     the liquidation, dissolution or winding up of any Group Company;

 

(j)                                    the approval of the initial public offering of the Company (excluding the Qualified Initial Public Offering);

 

(k)                                 cease to conduct or carry on the Principal Business by the Company, change of any material part of its Principal Business or enter into business that is not included in the Principal Business, and other material change to the Principal Business;

 

(l)                                     any change of the size or composition of the Board, or the manner in which the Directors are appointed (except for the removal of any director appointed by the Investors pursuant to Section 10.2);

 

(m)                             any amendment to or termination or waiver of any provision of any Control Documents or any change in the equity ownership of the Domestic Company or Other Domestic Operational Companies except pursuant to Section 10.3; or

 

(n)                                 any agreement or commitment to do any of the foregoing.

 

8.2.                            Board Protective Provisions. In addition to such other limitations as may be provided in the Restated Articles, for so long as any of the Preferred Shares are outstanding, the following acts of Group Company (whether in a single transaction or a series of related transactions, and whether directly or indirectly) shall require the prior written approval of the Board (including at least two affirmative votes from the Investor Directors; provided, however, that if the number of the Investor Directors is five or more, including affirmative votes of at least one-half (1/2) of the Investor Directors, which must include Tencent Director); provided that, in the event that any action herein relates in any way to a Restricted Person, it shall also require the prior written approval of Tencent; provided, further, that, for any action listed in sub-clause (b) below, Tencent Director’s prior written consent is required:

 

(a)                                 the adoption, amendment or review of the annual budget or business plan of the Company;

 

(b)                                 any creation, adoption or amendment of the ESOP, including new issuance, grant, price, repurchase and cancellation of any shares under the ESOP;

 

(c)                                  the appointment and removal of the chief executive officer, the chief financial officer, the chief technical officer, the chief operating officer and general manager of any Group Company;

 

(d)                                 employ or alter the auditor of the Company, settle, alter or manage the financial and/or audit policy of the Group Companies;

 

(e)                                  make any borrowing in excess of US$50,000,000 (or its equivalent in other currencies) individually or in the aggregate during any fiscal year;

 

(f)                                   make any loan or advance or give any credit in excess of US$500,000 (or its equivalent in other currencies) to any Person individually or in the aggregate during any fiscal year;

 

30

 

(g)                                  enter into any contract or binding commitment or any agreement with exclusive relationship by any of the Group Companies having a value or likely to involve expenditure in excess of US$10,000,000 at any time in respect of any one transaction or in excess of US$10,000,000 at any time in related transactions in any fiscal year, except for in the ordinary course of business and on an arm’s length basis and terms;

 

(h)                                 give any guarantee, indemnity or security to secure the liabilities or obligations of any Person;

 

(i)                                     any transaction or series of transactions between any Group Company on the one hand and any of direct or indirect shareholders, director, officer or employee of any Group Company, or any affiliate of such shareholder of any Group Company or any of its officers, directors or shareholders in excess of certain amount decided by the Board, except any transaction or series of transactions (i) between two or more Group Companies that are wholly owned by the Company or (ii) between the Group Companies and their employees in the ordinary course of business including the payment and adjustment of compensation and benefits, and execution of employment agreements and other related instruments and documents;

 

(j)                                    initiate or settle any material litigation or arbitration;

 

(k)                                 adopt or amend the list of the Company Competitors or the Company Restricted Persons;

 

(l)                                     reach a joint venture agreement or arrangement with a third party; or

 

(m)                             any agreement or commitment to do any of the foregoing.

 

8.3.                            Interested Parties. Notwithstanding anything to the contrary in this Agreement, (i) a director who is in any way, whether directly or indirectly, interested in a contract or arrangement or a proposed contract or arrangement that is subject to the prior written consent or approval as required under Section 8.2, (the “Interested Director”) shall declare the nature of his or her interest in such contract or arrangement to the Company as soon as practicable after the Interested Director receives a request from the Company seeking consent or approval with respect to such contract or arrangement; (ii) the Interested Director shall refrain from attending any meeting of the Board, discussing such contract or arrangement with any other director, and/or voting in connection with such contract or arrangement; and (iii) the attendance of the Interested Director shall not be required for constituting quorum of the meeting of the Board at which such contract or arrangement shall come before the meeting for consideration.

 

8.4.                            Term. The provisions under this Section 8 shall terminate and be of no further force or effect upon the earlier to occur of (a) the consummation of a Qualified Initial Public Offering, or (b) the consummation of a Liquidation Event.

 

9.                                      DRAG-ALONG RIGHTS.

 

9.1.                            Drag-Along Sale.

 

(a)                                 If, at any time prior to an Qualified Initial Public Offering and starting from the fifth (5th) anniversary of the date hereof, the holder(s) of at least two-thirds (2/3) of the outstanding Preferred Shares voting together as a single class and the Ordinary Majority (collectively the “Accepting Shareholders”) approve (i) a merger, consolidation or other business combination of the Company with or into any other business entity in which the Shareholders immediately before such merger, consolidation or business combination hold shares representing less than a majority of the voting power of the outstanding share capital of the surviving business entity, or (ii) the sale, lease, transfer or other disposition of all or substantially all of the assets of the Group Companies (taken as a whole), to a

 

31

 

third party (each such transaction duly approved by the Accepting Shareholders in accordance with the terms hereof, a “Drag-Along Sale”), provided that the pre-money valuation of the Company immediately prior to the Drag Along Sale is in excess of US$15,000,000,000, then the other Shareholders and their respective assignees shall agree to, and shall vote in favor of, such Drag-Along Sale and shall Transfer their shares or ownership interest in the Group Companies involved in such Drag-Along Sale as required to effect the Drag-Along Sale. The Parties shall also procure all other shareholders of the relevant Group Companies to vote in favor of such Drag-Along Sale and to Transfer their shares or ownership interest in the Group Companies involved in such Drag-Along Sale as required to effect the Drag-Along Sale.

 

(b)                                 The restrictions on Transfers of shares or ownership interest in the Group Companies set forth in Section 3 and Section 4 shall not apply in connection with a Drag-Along Sale. Notwithstanding anything to the contrary contained herein, (x) as long as Tencent (together with its Affiliates) holds 10% or more of the Company’s total outstanding Shares (on an as-converted basis), neither the Group Companies nor the Shareholders shall enter into a Drag-Along Sale with any Restricted Persons without prior written consent of Tencent and (y) as long as Tencent (together with its Affiliates) holds 5% or more (but not more than 10%) of the Company’s total outstanding Shares (on an as-converted basis), any proposed Drag-Along Sale by the then Shareholders of the Company (except Tencent) is not subject to any approval by Tencent but shall be subject to Tencent’s Special Right of First Refusal pursuant to and in accordance with Section 4.4 of this Agreement, provided that Section 4.4 shall be applicable to the Transfer of Ordinary Shares to one or more Restricted Persons mutatis mutandis.

 

(c)                                  Each Shareholder agrees to make representations and warranties in connection with such proposed Drag Along Sale regarding (a) ownership and authorization to sell the shares or ownership interest in the Group Companies to be sold by itself (except that each Investors shall not be obligated to make such representations and warranties regarding any equity interest held by it or its nominee in the Domestic Company) and (b) no existence of any material violation as a result of such sale under any material agreement to which such Shareholder is a party, and which would materially affect such Drag Along Sale.

 

(d)                                 Each Shareholder agrees to obtain any consents or approvals in order to facilitate the Transfer of its shares or ownership interest in the Group Companies pursuant to Section 9.1 without significant expenses and to pay its pro rata share of expenses incurred in connection with the transaction contemplated pursuant to this Section 9.1.

 

(e)                                  In the event that the Accepting Shareholders approve a Drag-Along Sale, then each Shareholder hereby agrees with respect to all shares or ownership interest in the Group Companies that it beneficially owns:

 

(i)                                     in the event such transaction requires the approval of the Shareholders, (A) if the matter is to be brought to a vote at a general meeting, after receiving proper notice of any meeting of Shareholders of the Company to vote on the approval of a Drag-Along Sale, to be present, in person or by proxy, as a holder of Shares, at all such meetings and be counted for the purposes of determining the presence of a quorum at such meetings; and (B) to vote (in person, by proxy or by written consent, as applicable) all Shares in favor of such Drag-Along Sale and in opposition of any and all other proposals that could reasonably be expected to delay or impair the ability of any Group Company to consummate such Drag-Along Sale;

 

(ii)                                  to refrain from exercising any dissenters’ rights or rights of appraisal under applicable law at any time with respect to such Drag-Along Sale;

 

(iii)                               to execute and deliver all related documentation and take such other action necessary to consummate the proposed Drag-Along Sale, including without limitation

 

32

 

amending the Restated Articles and the then existing charter documents of the Group Companies involved in the proposed Drag-Along Sale; and

 

(iv)                              not to deposit, and to cause their Affiliates not to deposit, except as provided in the Restated Articles or this Agreement, any voting securities owned by such Shareholder or its Affiliate in a voting trust or subject any such voting securities to any arrangement or agreement with respect to the voting of such securities, unless specifically requested to do so by the acquiring party in connection with a Drag-Along Sale.

 

(f)                                   In furtherance of the foregoing, each Shareholder irrevocably appoints the Company to take, and the Company is hereby expressly authorized by each Shareholder to take on such Shareholder’s behalf (without receipt of any further consent by such Shareholder), any or all of the following actions: (i) vote all of the voting shares or ownership interest in the Group Companies beneficially owned by such Shareholder in favor of any such proposed Drag Along Sale; (ii) otherwise consent on such Shareholder’s behalf to such proposed Drag Along Sale; (iii) sell all of such Shareholder’s shares or ownership interest in the Group Companies in such proposed Drag Along Sale, in accordance with the terms and conditions of this Section 9.1; and/or (iv) act as such Shareholder’s attorney-in-fact in relation to any such proposed Drag Along Sale and have the full authority to sign and deliver, on behalf such Shareholder, share transfer certificates, share sale or exchange agreements and certificates of indemnity relating to any Shares in the event that such Shareholder has lost or misplaced the relevant share certificate. Each Shareholder furthermore agrees to take all necessary actions in connection with the consummation of such Drag Along Sale as reasonably requested by the Accepting Shareholders, including without limitation entering into all customary agreements and other documents as may be requested by the Accepting Shareholders to close the Drag Along Sale.

 

(g)                                  Notwithstanding any provision in this Agreement (including without limitation Section 8) and the Restated Articles to the contrary, to the extent permitted by applicable laws, any Transfer or transaction contemplated under this Section 9.1 shall not be subject to any prior written consent or approval of any Shareholder or Director except those specifically set forth in this Section 9.1.

 

9.2.                            Exceptions. Notwithstanding the foregoing, an Investor will not be required to comply with Section 9.1 hereof in connection with any Drag Along Sale unless:

 

(a)                                 it shall not be liable for the inaccuracy of any representation or warranty made by any other Person in connection with the Drag Along Sale;

 

(b)                                 its liability for indemnification in the Drag Along Sale, if any, is several and not joint with any other Person, and is proportionate to the amount of consideration paid to it in connection with the Drag Along Sale;

 

(c)                                  liability shall be limited to its applicable share (determined based on the respective proceeds payable to each Shareholder in connection with the Drag Along Sale) of an amount that applies equally to all Shareholders, but in no event in excess of the amount of consideration payable to such Investor in connection with the Drag-Along Sale, except with respect to claims related to fraud by such Investor, the liability for which shall not be limited as to such Investor;

 

(d)                                 it shall not be required to assume any obligations in connection with the Drag Along Sale other than customary obligations (which, for the avoidance of doubt, shall not include any non-compete provisions, non-solicitation provisions, exclusivity provisions, or other restrictions on the business of such Investor or its Affiliates);

 

(e)                                  holders of the same sub-class or sub-series of Shares will receive the same form and amount of consideration per Share in the Drag Along Sale; and

 

33

 

(f)                                   all Preferred Shareholders are allowed to participate in such transaction and the consideration received pursuant to such transaction is allocated among the parties thereto in the manner specified in Section 5.1 of this Agreement as if such transaction was a Liquidation Event.

 

9.3.                            Termination. The rights and covenants set forth in this Section 9 shall terminate and be of no further force or effect upon the earlier to occur of (a) immediately before the consummation of a Qualified Initial Public Offering, or (b) the consummation of a Liquidation Event.

 

10.                               CERTAIN COVENANTS.

 

10.1.                     Qualified Financing. Notwithstanding anything to the contrary contained in this Agreement and the Restated Articles, but without prejudice to Section 3.1, Section 3.2, Section 3.3, Section 3.4(a), Section 3.6 and Section 3.7, if the Company proposes to consummate a Qualified Financing with any potential investor at any time after the date hereof, each Shareholder shall, at their own cost, take all actions, execute all documents and do all things required by law or as may be necessary or customarily desirable to consummate such Qualified Financing, including but not limited to (if applicable):

 

(a)                                 voting all of its Shares or executing proxies or written consents, and procures the Director(s) appointed by such holder to vote or executing proxies or written consents (subject always to such Director’s fiduciary duties), as the case may be, in favor of or approving the Qualified Financing, to effect the reclassification, authorization and issuance of new class of preferred shares (as applicable) to the investors, amendment to or restatement of this Agreement and the Restated Articles to include relevant rights and privileges for the new class of preferred shares issued and for the new investors with respect to such Qualified Financing (the “Qualified Financing Amendments”); and

 

(b)                                 executing, delivering and performing the Qualified Financing Amendments and any other ancillary documents necessary for the consummation of such Qualified Financing.

 

10.2.                     Restriction on Investment in Company Competitors. If any Investor or any of its Affiliates (other than any strategic investor as reasonably determined by the Board, such strategic investor including Tencent and its Affiliates) enters into any definitive agreement in connection with any direct or indirect purchase of or investment in, participates in the management of, or enters into any partnership or cooperation with any of the Persons that engage in the business competing with the Group Companies (including their respective Affiliates) (the “Company Competitors”) as reasonably determined by the Board in accordance with Section 8.2 (provided that the list of the Company Competitors may be updated from time to time (but no more than twice a year, provided that no Person that has a bona fide valuation of less than US$500,000,000 shall be added to the list of Company Competitors) by the Board in accordance with Section 8.2), such Investor shall promptly after closing of the transaction contemplated by relevant agreement or within twenty (20) Business days upon entering into relevant agreement (whichever is earlier), deliver a written notice to the Company stating that such Investor has entered into an agreement or consummated a transaction (as the case may be) with a Company Competitor (without disclosing name of the competitor or terms of the agreement/transaction). Upon delivery of the written notice by such Investor to the Company, the Company shall have the right to amend, restrict, suspend, remove and/or terminate such Investor’s rights, preference or privileges of the Shares held by it under this Agreement and the Restated Articles (including but not limited to the Information Right and Inspection Right under Section 1.1 (if any), any directorship under Section 1.2 and Article 81 of the Restated Articles (if any), consent right under Section 8.1 and Article 59(A) of the Restated Articles, and the voting right under Article 58 of the Restated Articles), except for (a) the registration rights under Section 2 of this Agreement, (b) the pre-emptive rights under Section 3 of this Agreement, (c) the right of first refusal and co-sale right under Section 4 of this Agreement, (d) the liquidation preference under Section

 

34

 

5.1 of this Agreement and Articles 145A to 145E of the Restated Articles, (e) the conversion right under Articles 53 to 57 of the Restated Articles and (f) the dividend rights under Articles 120 to 129 of the Restated Articles, provided that (i) the Company shall act reasonably and discuss in good faith with such Investor when taking any measures with respect to such Investor’s rights, preference or privileges and (ii) the measures taken by the Company with respect to such Investor’s rights, preference or privileges shall commensurate with the circumstances of such Investor’s investment in, participation in the management of, or partnership or cooperation with the Company Competitor. For the avoidance of doubt, to the extent that the Company restricts, suspends, removes or terminates such Investor’s consent rights under Section 8.1, the Shares held by such Investor shall not be counted for the purpose of calculating the Preferred Majority for the purpose of this Agreement and the Restated Articles. Notwithstanding the foregoing, this Section 10.2 shall not apply to the ownership of any shares already owned by an Investor or any of its Affiliates in a Company Competitor prior to the date on which the Board determines such Person to be a Company Competitor, any follow-on investments in such Company Competitor (no matter whether the investments occur before, on or after the date on which the Board determines such Person to be a Company Competitor, and no matter the investments are made on a pro rata basis or result in a higher shareholding percentage in a Company Competitor), and any action for maintenance of the shareholding, directorship and any other preferential rights in such Company Competitor (including exercise of pre-emptive right, right of first refusal, anti-dilution or performance ratchets or other similar or customary rights according to the relevant agreements) shall not constitute a breach of this Section 10.2.

 

10.3.                     Transfer of Equity Interest in Group Companies. The consummation of a Transfer of Shares by an Investor according to Section 4 shall be subject to and conditional upon a Transfer to the Founders of the corresponding portion of shares, securities, equity interests or other voting rights in any Group Company (other than the Company) beneficially owned by such Investor or its Affiliates (if any) at nominal consideration or at a minimum price permitted by the applicable laws. Each Party shall take all actions, execute all documents and do all things required by law or as may be necessary or desirable to consummate such Transfer.

 

11.                               GENERAL PROVISIONS.

 

11.1.                     Notices. Except as may be otherwise provided herein, all notices, requests, waivers and other communications made pursuant to this Agreement shall be in writing and shall be conclusively deemed to have been duly given to a Party (a) when hand delivered to such Party, upon delivery; (b) when sent by facsimile at the number of such Party set forth in Exhibit A hereto, upon receipt of confirmation of error-free transmission; (c) seven (7) business days after deposit in the mail as air mail or certified mail, receipt requested, postage prepaid and addressed to such Party as set forth in Exhibit A; (d) three (3) business days after deposit with an international overnight delivery service, postage prepaid, addressed to such Party as set forth in Exhibit A with next business day delivery guaranteed, provided that the sending party receives a confirmation of delivery from the delivery service provider, or (e) when sent by email to the email address of such Party set forth in Exhibit A hereto, upon the delivery of such email. Each Person making a communication hereunder by facsimile shall promptly confirm by telephone to the Person to whom such communication was addressed each communication made by it by facsimile pursuant hereto but the absence of such confirmation shall not affect the validity of any such communication. A Party may change or supplement the addresses given above, or designate additional addresses, for purposes of this Section 11.1 by giving the other Parties written notice of the new address in the manner set forth above.

 

11.2.                     Entire Agreement. This Agreement and the other Transaction Documents, together with all the schedules, exhibits and annexes hereto and thereto, constitute the entire agreement and understanding of the parties with respect to the subject matter hereof and supersedes any and all prior negotiations, correspondence, agreements, understandings, duties or obligations between the parties in respect of the subject matter hereof.

 

35

 

11.3.                     Governing Law. This Agreement shall be governed by and construed exclusively in accordance with the Hong Kong laws, without giving effect to any choice of law rule that would cause the application of the laws of any jurisdiction other than the Hong Kong laws to the rights and duties of the parties hereunder.

 

11.4.                     Severability. If any provision of this Agreement is found to be invalid or unenforceable, then such provision shall be construed, to the extent feasible, so as to render the provision enforceable and to provide for the consummation of the transactions contemplated hereby on substantially the same terms as originally set forth herein, and if no feasible interpretation would save such provision, it shall be severed from the remainder of this Agreement, which shall remain in full force and effect unless the severed provision is essential to the rights or benefits intended by the parties. In such event, the parties shall use best efforts to negotiate, in good faith, a substitute, valid and enforceable provision or agreement which most nearly effects the parties’ intent in entering into this Agreement.

 

11.5.                     Third Parties. Nothing in this Agreement, express or implied, is intended to confer upon any Person, other than the parties hereto and their permitted successors and assigns any rights or remedies under or by reason of this Agreement.

 

11.6.                     Successors and Assigns. Subject to the provisions of Section 6.1, the provisions of this Agreement shall inure to the benefit of, and shall be binding upon, the successors and permitted assigns of the Parties hereto.

 

11.7.                     Certain Definitions; Interpretation; Titles. Capitalized terms used herein without definition have the meanings assigned to them in Annex A attached to this Agreement. The use of any term defined in Annex A in its uncapitalized form indicates that the words have their normal and general meaning. This Agreement shall be construed according to its fair language. The rule of construction to the effect that ambiguities are to be resolved against the drafting party shall not be employed in interpreting this Agreement. The titles of the sections and subsections of this Agreement are for convenience of reference only and shall not be used to construe or interpret this Agreement. Unless otherwise expressly provided herein, all references to Sections, Schedules, Annexes and Exhibits herein are to sections of, and schedules, annexes, and exhibits to this Agreement, respectively. For purposes of this Agreement, whenever the context requires: the singular number shall include the plural, and vice versa; the masculine gender shall include the feminine and neuter genders; the feminine gender shall include the masculine and neuter genders; and the neuter gender shall include masculine and feminine genders. References to “law” shall include all applicable laws, regulations, rules and orders of any governmental authority, any common or customary law, constitution, code, ordinance, statute or other legislative measure and any regulation, rule, treaty, order, decree or judgment, and “lawful” shall be construed accordingly. The words “hereof,” “hereunder” and “hereto,” and words of like import, unless the context requires otherwise, refer to this Agreement as a whole and not to any particular Section hereof or Schedule, Annex or Exhibit hereto. A reference to any document (including this Agreement) is, unless otherwise specified, to that document as amended, consolidated, supplemented, novated or replaced from time to time. As used in this Agreement, the words “include” and “including”, and variations thereof, shall not be deemed to be terms of limitation, but rather shall be deemed to be followed by the words “without limitation.” As used in this Agreement, “fully-diluted” shall mean, with respect to the capitalization of the Company, all warrants, options and convertible securities of the Company are taken into account and assumed to be exercised. The bold-faced headings contained in this Agreement are for convenience of reference only, shall not be deemed to be a part of this Agreement and shall not be referred to in connection with the construction or interpretation of this Agreement. A reference in this Agreement to a date or time shall mean a corresponding date or time (as applicable) in Hong Kong.

 

36

 

11.8.       Counterparts. This Agreement may be executed (including facsimile signature) in counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument.

 

11.9.       Adjustments for Share Splits, Etc. Wherever in this Agreement there is a reference to a specific number of Preferred Shares or Ordinary Shares of the Company, then, upon the occurrence of any subdivision, combination or share dividend of the Preferred Shares or Ordinary Shares, the specific number of shares so referenced in this Agreement shall automatically be proportionally adjusted to reflect the effect on the outstanding shares of such class or series of shares by such subdivision, combination or share dividend.

 

11.10.     Aggregation of Shares. All Preferred Shares or Ordinary Shares held or acquired by any Party and the Affiliates of such Party shall be aggregated together for the purpose of determining the availability of any rights under this Agreement.

 

11.11.     Shareholders Agreement to Control. If and to the extent that there are inconsistencies between the provisions of this Agreement and those of the Restated Articles, the terms of this Agreement shall prevail. The Parties agree to take all actions necessary or advisable, as promptly as practicable after the discovery of such inconsistency, to amend the Restated Articles so as to eliminate such inconsistency.

 

11.12.     US Tax Matter.

 

(a)           The Company will use, and will cause each of the other Group Companies to use, commercially reasonable best efforts to avoid classification as a passive foreign investment company (“PFIC”) as defined in the Internal Revenue Code of 1986, as amended (the “Code”) for the current year or any subsequent year.

 

(b)           The Company shall promptly provide the Investors with written notice if it (or any of the other Group Companies) becomes a PFIC. Such notice shall include a reasonably detailed analysis of the determination that the Company (or any of the other Group Companies) has become a PFIC.

 

(c)           The Company shall make due inquiry with its tax advisors on at least an annual basis regarding its status as a PFIC, and if Company is informed by its tax advisors that any such entity has become a PFIC, or that there is a likelihood of any such entity being classified as a PFIC for any taxable year, the Company shall promptly notify the Investors of such status or risk, as the case may be. The Company agrees to make available to the Investors upon request, the books and records of the Company and the other Group Companies, and to provide information to the Investor pertinent to the Company’s status or potential status as a PFIC. Upon a determination by the Company, the Investors or any taxing authority that the Company has been or is likely to become a PFIC, the Company will provide the following information to the Investors and each of their direct or indirect beneficial owners (a “PFIC Shareholder”): (i) all information reasonably available to the Company to permit such PFIC Shareholder to (a) accurately prepare its US tax returns and comply with any other reporting requirements, if any, arising from its investment in the Company and relating to the Company or any of its Subsidiaries’ classification as a PFIC and (b) make any election (including, without limitation, a “qualified electing fund” election under Section 1295 of the Code), with respect to the Company (or any of its Subsidiaries); and (ii) a completed “PFIC Annual Information Statement” as described under Treasury Regulation Section 1.1295-1(g).

 

37

 

11.13.     Dispute Resolution.

 

(a)           Negotiation Between Parties; Mediation. The Parties agree to negotiate in good faith to resolve any dispute, controversy, difference or claim arising out of or relating to or regarding this 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 (the “Dispute”). If the negotiations do not resolve the Dispute to the reasonable satisfaction of all such Parties within thirty (30) days after one of the Parties has raised the Dispute for negotiation, Section 11.13(b) shall apply.

 

(b)           Arbitration. In the event the Parties are unable to settle a Dispute between them regarding this Agreement in accordance with subsection (a) above, such Dispute shall be referred to and finally settled by arbitration at Hong Kong International Arbitration Centre (the “HKIAC”) in accordance with the HKIAC Arbitration Rules in effect, which rules are deemed to be incorporated by reference into this subsection (b). The seat of arbitration shall be Hong Kong. The number of arbitrators shall be three. The arbitration proceedings shall be conducted in English.

 

11.14.     Further Actions. Each Shareholder agrees that it shall use its best effort to enhance and increase the value and Principal Business of the Company.

 

11.15.     Specific Performance. Each Party acknowledges that if any provision, statement, warranty, covenant or other agreement of this Agreement fails to be performed in accordance with the specific terms hereof, the relevant Parties may suffer irreparable damages and, in recognition of this fact, any Party to this Agreement, in addition to all other remedies that may be available, shall also be entitled to obtain a temporary, preliminary or permanent injunction at equity to prevent any breach of this Agreement, or to require specific performance of any provision of this Agreement through any court.

 

11.16.     Effective Date. This Agreement should take effect and become binding on and enforceable against the Parties as of the date hereof.

 

— REMAINDER OF THIS PAGE LEFT INTENTIONALLY BLANK—

 

38

 

THIS AGREEMENT has been signed and executed as a DEED by the parties and is delivered by them on the date specified above.

 

Executed as a DEED by

 

	
for and on   behalf of
    	
)
    
	
Walnut Street   Group Holding Limited
    	
)
    
	
by
    	
 
    	
)
    
	
)
    	
/s/ Authorized Signatory
    
	
Name: 
    
	
Title: Director
    

 

Witness

in the presence of

 

	
/s/ Huang Zheng
    	
 
    	
Signature of witness
    
	
 
    	
 
    	
 
    
	
HUANG Zheng
    	
 
    	
Name of witness
    

 

[Signature Page to Shareholders Agreement]

 

 

THIS AGREEMENT has been signed and executed as a DEED by the parties and is delivered by them on the date specified above.

 

Executed as a DEED by

 

	
for and on behalf of
    	
)
    
	
Hong Kong Walnut Street Limited
    	
)
    
	

    	
)
    
	
by
    	
 
    	
 
    	
)
    	
/s/ Authorized   Signatory
    
	
Name: 
    
	
Title: Director
    

 

	
Witness
    	
 
    
	
in the presence of
    	
 
    
	
 
    	
 
    
	
/s/ Huang Zheng
    	
 
    	
Signature of witness
    
	
 
    	
 
    	
 
    
	
HUANG Zheng
    	
 
    	
Name of witness
    

 

[Signature Page to Shareholders Agreement]

 

 

THIS AGREEMENT has been signed and executed as a DEED by the parties and is delivered by them on the date specified above.

 

Executed as a DEED by

 

	
for and on behalf of
    	
 
    	
)
    
	
Hangzhou Weimi   Network Technology Co., Ltd.
    	
 
    	
)
    
	
by
    	
 
    	
)
    
	
 
    	
 
    	
)
    	
/s/ Authorized   Signatory
    
	
 
    	
 
    	
Name: 
    
	
 
    	
 
    	
Title: Legal Representative
    
	
 
    	
 
    	
 
    
	
Witness
    	
 
    	
 
    
	
in the presence of
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
/s/ Huang Zheng
    	
 
    	
Signature of witness
    
	
 
    	
 
    	
 
    
	
HUANG Zheng
    	
 
    	
Name of witness
    

 

[Signature Page to Shareholders Agreement]

 

 

THIS AGREEMENT has been signed and executed as a DEED by the parties and is delivered by them on the date specified above.

 

Executed as a DEED by

 

	
for and on behalf of
    	
 
    	
)
    
	
Hangzhou Aimi   Network Technology Co., Ltd.
    	
 
    	
)
    
	
by
    	
 
    	
)
    
	
 
    	
 
    	
)
    	
/s/ Authorized   Signatory
    
	
 
    	
 
    	
Name: 
    
	
 
    	
 
    	
Title: Legal Representative
    
	
 
    	
 
    	
 
    
	
Witness
    	
 
    	
 
    
	
in the presence of
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
/s/ Huang Zheng
    	
 
    	
Signature of witness
    
	
 
    	
 
    	
 
    
	
HUANG Zheng
    	
 
    	
Name of witness
    

 

[Signature Page to Shareholders Agreement]

 

 

THIS AGREEMENT has been signed and executed as a DEED by the parties and is delivered by them on the date specified above.

 

Executed as a DEED by

 

	
for and on behalf of
    	
 
    	
)
    
	
Hangzhou   Pinhaohuo Network Technology Co., Ltd.
    	
 
    	
)
    
	
by
    	
 
    	
)
    
	
 
    	
 
    	
)
    	
/s/ Authorized   Signatory
    
	
 
    	
 
    	
Name: 
    
	
 
    	
 
    	
Title: Legal Representative
    
	
 
    	
 
    	
 
    
	
Witness
    	
 
    	
 
    
	
in the presence of
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
/s/ Huang Zheng
    	
 
    	
Signature of witness
    
	
 
    	
 
    	
 
    
	
HUANG Zheng
    	
 
    	
Name of witness
    

 

[Signature Page to Shareholders Agreement]

 

 

THIS AGREEMENT has been signed and executed as a DEED by the parties and is delivered by them on the date specified above.

 

Executed as a DEED by

 

	
for and on behalf of 
    	
 
    	
)
    
	
Pinduoduo (Shanghai)   Network Technology Co., Ltd.
    	
 
    	
)
    
	
 
    	
 
    	
)
    
	
by
    	
 
    	
)
    	
/s/ Authorized Signatory
    
	
 
    	
 
    	
Name: 
    
	
 
    	
 
    	
Title: Legal Representative
    
	
 
    	
 
    	
 
    
	
Witness
    	
 
    	
 
    
	
in the presence of
    	
 
    	
 
    

 

	
/s/ Huang Zheng
    	
 
    	
Signature of witness
    
	
 
    	
 
    	
 
    
	
HUANG Zheng
    	
 
    	
Name of witness
    

 

[Signature Page to Shareholders Agreement]

 

 

THIS AGREEMENT has been signed and executed as a DEED by the parties and is delivered by them on the date specified above.

 

Executed as a DEED by

 

	
for and on behalf of 
    	
 
    	
)
    
	
Shanghai Xunmeng   Information Technology Co., Ltd.
    	
 
    	
)
    
	
 
    	
 
    	
)
    
	
by
    	
 
    	
)
    	
/s/ Authorized Signatory
    
	
 
    	
 
    	
Name: 
    
	
 
    	
 
    	
Title: Legal Representative
    
	
 
    	
 
    	
 
    
	
Witness
    	
 
    	
 
    
	
in the presence of
    	
 
    	
 
    

 

	
/s/ Huang Zheng
    	
 
    	
Signature of witness
    
	
 
    	
 
    	
 
    
	
HUANG Zheng
    	
 
    	
Name of witness
    

 

[Signature Page to Shareholders Agreement]

 

 

THIS AGREEMENT has been signed and executed as a DEED by the parties and is delivered by them on the date specified above.

 

Executed as a DEED by

 

	
 
    	
 
    	
)
    
	
)
    
	
 
    	
)
    
	
 
    	
)
    	
/s/ Sun Qin
    

 

Witness

in the presence of

 

	
/s/ Huang Zheng
    	
 
    	
Signature of witness
    
	
 
    	
 
    	
 
    
	
HUANG Zheng
    	
 
    	
Name of witness
    

 

[Signature Page to Shareholders Agreement]

 

 

THIS AGREEMENT has been signed and executed as a DEED by the parties and is delivered by them on the date specified above.

 

Executed as a DEED by

 

	
for and on behalf of
    	
)
    
	
Walnut Street   Management, Ltd.
    	
)
    
	
by
    	
 
    	
)
    
	
)
    	
/s/ Authorized   Signatory
    
	
 
    	
Name: 
    
	
 
    	
Title: Director
    

 

Witness

in the presence of

 

	
/s/ Huang Zheng
    	
 
    	
Signature of witness
    
	
 
    	
 
    	
 
    
	
HUANG Zheng
    	
 
    	
Name of witness
    

 

[Signature Page to Shareholders Agreement]

 

 

THIS AGREEMENT has been signed and executed as a DEED by the parties and is delivered by them on the date specified above.

 

Executed as a DEED by

 

	
 
    	
)
    
	
 
    	
)
    
	
)
    
	
)
    	
/s/ Huang   Zheng
    

 

Witness

in the presence of

 

	
/s/ Sun Qin
    	
 
    	
Signature of witness
    
	
 
    	
 
    	
 
    
	
SUN Qin
    	
 
    	
Name of witness
    

 

[Signature Page to Shareholders Agreement]

 

 

THIS AGREEMENT has been signed and executed as a DEED by the parties and is delivered by them on the date specified above.

 

Executed as a DEED by

 

	
for and on behalf of
    	
)
    
	
Walnut Street   Investment, Ltd.
    	
)
    
	
 
    	
)
    
	
by
    	
)
    	
/s/ Huang   Zheng
    
	
 
    	
Name: HUANG Zheng
    
	
Title: Director
    

 

Witness

in the presence of

 

	
/s/ Sun Qin
    	
Signature of witness
    
	
 
    	
 
    
	
SUN Qin
    	
Name of witness
    

 

[Signature Page to Shareholders Agreement]

 

 

THIS AGREEMENT has been signed and executed as a DEED by the parties and is delivered by them on the date specified above.

 

	
Executed   as a DEED by
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
for and on behalf of
    	
 
    	
)
    
	
PURE TREASURE LIMITED
    	
 
    	
)
    
	
by
    	
 
    	
 
    	
)
    
	
 
    	
)
    	
/s/ Authorized Signatory
    
	
 
    	
Name:
    
	
 
    	
Title: Director
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
Witness
    	
 
    	
 
    
	
in the presence of
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
/s/ Li Hu
    	
 
    	
 
    
	
 
    	
Signature of witness
    
	
Li Hu
    	
 
    	
Name of witness
    

 

[Signature Page to Shareholders Agreement]

 

 

THIS AGREEMENT has been signed and executed as a DEED by the parties and is delivered by them on the date specified above.

 

	
Executed   as a DEED by
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
for and on behalf of
    	
 
    	
)
    
	
Tencent Mobility Limited
    	
 
    	
)
    
	
by
    	
 
    	
)
    
	
 
    	
 
    	
)
    	
/s/ MA Huateng
    
	
 
    	
 
    	
Name: MA Huateng
    
	
 
    	
 
    	
Title: Authorized   Signatory
    
	
 
    	
 
    	
 
    
	
Witness
    	
 
    	
 
    
	
in the presence of
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
/s/ Yan Qian Wen
    	
 
    	
Signature of witness
    
	
 
    	
 
    	
 
    
	
Yan Qian Wen
    	
 
    	
Name of witness
    

 

[Signature Page to Shareholders Agreement]

 

 

THIS AGREEMENT has been signed and executed as a DEED by the parties and is delivered by them on the date specified above.

 

	
Executed   as a DEED by
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
for and on behalf of
    	
 
    	
)
    
	
Chinese Rose Investment   Limited
    	
 
    	
)
    
	
by
    	
 
    	
)
    
	
 
    	
 
    	
)
    	
/s/ MA Huateng
    
	
 
    	
 
    	
Name: MA Huateng
    
	
 
    	
 
    	
Title: Authorized   Signatory
    
	
 
    	
 
    	
 
    
	
Witness
    	
 
    	
 
    
	
in the presence of
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
/s/ Yan Qian Wen
    	
 
    	
Signature of witness
    
	
 
    	
 
    	
 
    
	
Yan Qian Wen
    	
 
    	
Name of witness
    

 

[Signature Page to Shareholders Agreement]

 

 

THIS AGREEMENT has been signed and executed as a DEED by the parties and is delivered by them on the date specified above.

 

	
Executed   as a DEED by
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
for and on behalf of
    	
 
    	
)
    
	
Image Frame Investment   (HK) Limited
    	
 
    	
)
    
	
by
    	
 
    	
)
    
	
 
    	
 
    	
)
    	
/s/ MA Huateng
    
	
 
    	
 
    	
Name: MA Huateng
    
	
 
    	
 
    	
Title: Authorized   Signatory
    
	
 
    	
 
    	
 
    
	
Witness
    	
 
    	
 
    
	
in the presence of
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
/s/ Yan Qian Wen
    	
 
    	
Signature of witness
    
	
 
    	
 
    	
 
    
	
Yan Qian Wen
    	
 
    	
Name of witness
    

 

[Signature Page to Shareholders Agreement]

 

 

THIS AGREEMENT has been signed and executed as a DEED by the parties and is delivered by them on the date specified above.

 

	
Executed   as a DEED by
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
for and on behalf of
    	
 
    	
)
    
	
SC GGFII   Holdco, Ltd.
    	
 
    	
)
    	
 
    
	
by
    	
 
    	
)
    	
 
    
	
 
    	
 
    	
)
    	
/s/ Michael Abramson
    
	
 
    	
 
    	
Name: Michael Abramson
    
	
 
    	
 
    	
Title: Authorized   Signatory
    
	
 
    	
 
    	
 
    
	
Witness
    	
 
    	
 
    
	
in the presence of
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
/s/ Jacquie Kush
    	
 
    	
Signature of witness
    
	
 
    	
 
    	
 
    
	
Jacquie Kush
    	
 
    	
Name of witness
    

 

[Signature Page to Shareholders Agreement]

 

 

THIS AGREEMENT has been signed and executed as a DEED by the parties and is delivered by them on the date specified above.

 

	
Executed   as a DEED by
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
for and on behalf of
    	
 
    	
)
    
	
SCC Growth IV Holdco   A, Ltd.
    	
 
    	
)
    
	
by
    	
 
    	
)
    
	
 
    	
 
    	
)
    	
/s/ Ip Siu Wai Eva
    
	
 
    	
 
    	
Name: Ip Siu Wai Eva
    
	
 
    	
 
    	
Title: Authorized   Signatory
    
	
 
    	
 
    	
 
    
	
Witness
    	
 
    	
 
    
	
in the presence of
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
/s/ Wingki Tsui
    	
 
    	
Signature of witness
    
	
 
    	
 
    	
 
    
	
Wingki Tsui
    	
 
    	
Name of witness
    

 

[Signature Page to Shareholders Agreement]

 

 

THIS AGREEMENT has been signed and executed as a DEED by the parties and is delivered by them on the date specified above.

 

	
Executed   as a DEED by
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
Banyan Partners Fund III,   L.P.
    	
 
    	
)
    
	
By: Banyan Partners III   Ltd., its general partner
    	
 
    	
)
    
	
by
    	
 
    	
)
    
	
 
    	
 
    	
)
    	
/s/ Anthony Wu
    
	
 
    	
 
    	
Name: Anthony Wu
    
	
 
    	
 
    	
Title: Authorized   Signatory
    
	
 
    	
 
    	
 
    
	
Witness
    	
 
    	
 
    
	
in the presence of
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
/s/ Wendy Chan
    	
 
    	
Signature   of witness
    
	
 
    	
 
    	
 
    
	
Wendy Chan
    	
 
    	
Name   of witness
    

 

[Signature Page to Shareholders Agreement]

 

 

THIS AGREEMENT has been signed and executed as a DEED by the parties and is delivered by them on the date specified above.

 

	
Executed   as a DEED by
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
for and on behalf of
    	
 
    	
)
    
	
Banyan Partners Fund   III-A, L.P.
    	
 
    	
)
    
	
by: Banyan Partners III   Ltd., its general partner
    	
 
    	
)
    
	
 
    	
 
    	
)
    	
/s/ Anthony Wu
    
	
 
    	
 
    	
Name: Anthony Wu
    
	
 
    	
 
    	
Title: Authorized   Signatory
    
	
 
    	
 
    	
 
    
	
Witness
    	
 
    	
 
    
	
in the presence of
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
/s/ Wendy Chan
    	
 
    	
Signature of witness
    
	
 
    	
 
    	
 
    
	
Wendy Chan
    	
 
    	
Name of witness
    

 

[Signature Page to Shareholders Agreement]

 

                

 

THIS AGREEMENT has been signed and executed as a DEED by the parties and is delivered by them on the date specified above.

 

	
Executed   as a DEED by
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
for and on behalf of
    	
 
    	
)
    
	
Banyan Partners Fund II,   L.P.
    	
 
    	
)
    
	
by
    	
 
    	
)
    
	
 
    	
 
    	
)
    	
/s/ Anthony Wu
    
	
 
    	
 
    	
Name: Anthony Wu
    
	
 
    	
 
    	
Title: Authorized   Signatory
    
	
 
    	
 
    	
 
    
	
Witness
    	
 
    	
 
    
	
in the presence of
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
/s/ Wendy Chan
    	
 
    	
Signature of witness
    
	
 
    	
 
    	
 
    
	
Wendy Chan
    	
 
    	
Name of witness
    

 

[Signature Page to Shareholders Agreement]

 

 

THIS AGREEMENT has been signed and executed as a DEED by the parties and is delivered by them on the date specified above.

 

	
Executed   as a DEED by
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
for and on behalf of
    	
 
    	
)
    
	
Sun Vantage Investment   Limited
    	
 
    	
)
    
	
by
    	
 
    	
)
    
	
 
    	
 
    	
)
    	
/s/ Pang Kee Chan Hebert
    
	
 
    	
 
    	
Name: Pang Kee Chan   Hebert                            26 FEB   2018
    
	
 
    	
 
    	
Title: Authorized   Signatory
    
	
 
    	
 
    	
 
    
	
Witness
    	
 
    	
 
    
	
in the presence of
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
/s/ Huang Yan
    	
 
    	
Signature of witness
    
	
 
    	
 
    	
 
    
	
Huang yan
    	
 
    	
Name of witness
    

 

[Signature Page to Shareholders Agreement]

 

 

THIS AGREEMENT has been signed and executed as a DEED by the parties and is delivered by them on the date specified above.

 

	
Executed   as a DEED by
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
for and on behalf of
    	
 
    	
)
    
	
IDG China IV Investors   L.P.
    	
 
    	
)
    
	
by
    	
 
    	
)
    
	
 
    	
 
    	
)
    	
/s/ Chi Sing Ho
    
	
 
    	
 
    	
Name: Chi Sing Ho
    
	
 
    	
 
    	
Title: Authorized   Signatory
    
	
 
    	
 
    	
 
    
	
Witness
    	
 
    	
 
    
	
in the presence of
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
/s/   Huang Yongsheng
    	
 
    	
Signature of witness
    
	
 
    	
 
    	
 
    
	
Huang   Yongsheng
    	
 
    	
Name of witness
    

 

[Signature Page to Shareholders Agreement]

 

 

THIS AGREEMENT has been signed and executed as a DEED by the parties and is delivered by them on the date specified above.

 

	
Executed   as a DEED by
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
for and on behalf of
    	
 
    	
)
    
	
IDG China Venture Capital   Fund IV L.P.
    	
 
    	
)
    
	
by
    	
 
    	
)
    
	
 
    	
 
    	
)
    	
/s/ Chi Sing Ho
    
	
 
    	
 
    	
Name: Chi Sing Ho
    
	
 
    	
 
    	
Title: Authorized   Signatory
    
	
 
    	
 
    	
 
    
	
Witness
    	
 
    	
 
    
	
in the presence of
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
/s/   Huang Yongsheng
    	
 
    	
Signature of witness
    
	
 
    	
 
    	
 
    
	
Huang   Yongsheng
    	
 
    	
Name of witness
    

 

[Signature Page to Shareholders Agreement]

 

 

THIS AGREEMENT has been signed and executed as a DEED by the parties and is delivered by them on the date specified above.

 

	
Executed   as a DEED by
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
for and on behalf of
    	
 
    	
)
    
	
Castle Peak Limited
    	
 
    	
)
    
	
by
    	
 
    	
)
    
	
 
    	
 
    	
)
    	
/s/ Fang Yan Zau   Alexander
    
	
 
    	
 
    	
Name: FANG YAN ZAU   ALEXANDER
    
	
 
    	
 
    	
Title: Authorized   Signatory
    
	
 
    	
 
    	
 
    
	
Witness
    	
 
    	
 
    
	
in the presence of
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
/s/ Alice Wong
    	
 
    	
Signature of witness
    
	
 
    	
 
    	
 
    
	
Alice Wong
    	
 
    	
Name of witness
    

 

[Signature Page to Shareholders Agreement]

 

 

THIS AGREEMENT has been signed and executed as a DEED by the parties and is delivered by them on the date specified above.

 

	
Executed   as a DEED by
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
for and on behalf of
    	
 
    	
)
    
	
Lightspeed China Partners   II, L.P.
    	
 
    	
)
    
	
by
    	
 
    	
 
    	
)
    	
 
    
	
 
    	
 
    	
 
    	
)
    	
/s/ James Mi
    
	
 
    	
 
    	
Name: James Mi
    
	
 
    	
 
    	
Title: Authorized   Signatory
    
	
 
    	
 
    	
 
    
	
Witness
    	
 
    	
 
    
	
in the presence of
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
/s/ Grace Gu
    	
 
    	
Signature of witness
    
	
 
    	
 
    	
 
    
	
Grace Gu
    	
 
    	
Name of witness
    

 

[Signature Page to Shareholders Agreement]

 

 

THIS AGREEMENT has been signed and executed as a DEED by the parties and is delivered by them on the date specified above.

 

	
Executed   as a DEED by
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
/s/ Wu Chak Man
    	
 
    	
)
    
	
WU CHAK MAN
    	
 
    	
)
    
	
 
    	
 
    	
)
    
	
 
    	
 
    	
)
    
	
 
    	
 
    	
 
    
	
Witness
    	
 
    	
 
    
	
in the presence of
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
/s/ Joanna Chang
    	
 
    	
Signature of witness
    
	
 
    	
 
    	
 
    
	
Joanna Chang
    	
 
    	
Name of witness
    

 

[Signature Page to Shareholders Agreement]

 

 

THIS AGREEMENT has been signed and executed as a DEED by the parties and is delivered by them on the date specified above.

 

	
Executed   as a DEED by
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
for and on behalf of
    	
 
    	
)
    	
 
    
	
MFUND, L.P.
    	
 
    	
)
    	
 
    
	
by
    	
 
    	
 
    	
)
    	
 
    
	
 
    	
 
    	
)
    	
/s/ Wu Chak Man
    
	
 
    	
 
    	
Name: WU Chak Man
    
	
 
    	
 
    	
Title: Authorized   Signatory
    
	
 
    	
 
    	
 
    
	
Witness
    	
 
    	
 
    
	
in the presence of
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
/s/ Joanna Chang
    	
 
    	
Signature of witness
    
	
 
    	
 
    	
 
    
	
Joanna Chang
    	
 
    	
Name of witness
    
					

 

[Signature Page to Shareholders Agreement]

 

 

THIS AGREEMENT has been signed and executed as a DEED by the parties and is delivered by them on the date specified above.

 

	
Executed as a DEED by
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
for and on behalf of
    	
 
    	
)
    
	
FPCI Sino-French   (Innovation) Fund
    	
 
    	
)
    
	
represented by its   management company Cathay
    	
 
    	
)
    
	
Innovation SAS, itself   represented by Denis Barrier
    	
 
    	
)
    	
/s/   Denis Barrier
    
	
 
    	
 
    	
Name: Denis Barrier
    
	
 
    	
 
    	
Title: Authorized   Signatory
    
	
 
    	
 
    	
 
    
	
Witness
    	
 
    	
 
    
	
in the presence of
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
/s/ Simon Wh
    	
 
    	
Signature of witness
    
	
 
    	
 
    	
 
    
	
Simon Wh
    	
 
    	
Name of witness
    

 

[Signature Page to Shareholders Agreement]

 

 

Annex A

 

Definition

 

(a)                                 Capitalized terms used but not otherwise defined in this Agreement shall have the meanings indicated:

 

“Affiliate”, with respect to any Person, shall mean any Person which, directly or indirectly, Controls, is Controlled by or is under common Control with such Person, including, without limitation any member, general partner, officer or director of such Person and any venture capital fund now or hereafter existing which is Controlled by or under common Control with, or is managed by or shares common management with, such Person or any other entity which, directly or indirectly, Controls, is Controlled by or is under common Control with such Person. Notwithstanding the foregoing, the Parties acknowledge and agree that (a) the name “Sequoia Capital” is commonly used to describe a variety of entities (collectively, the “Sequoia Entities”) that are affiliated by ownership or operational relationship and engaged in a broad range of activities related to investing and securities trading and (b) notwithstanding any other provision of this Agreement to the contrary, this Agreement shall not be binding on, or restrict the activities of, any (x) Sequoia Entity outside of the Sequoia China Sector Group or (y) entity primarily engaged in investment and trading in the secondary securities market. For purposes of the foregoing, the “Sequoia China Sector Group” means all Sequoia Entities (whether currently existing or formed in the future) that are principally focused on companies located in, or with connections to, the PRC.

 

“Big-Four Accounting Firms” shall mean, collectively, PricewaterhouseCoopers, KPMG, Deloitte and Ernst & Young.

 

“Board” shall mean the board of directors of the Company.

 

“Business Day” or “business day” shall mean any day that is not a Saturday, Sunday, legal holiday or a day on which banks are required to be closed in the Cayman Islands, New York, Hong Kong or the PRC.

 

“Class A Ordinary Shares” shall mean the class A ordinary shares of the Company, par value US$0.000005 per share, each shall be entitled to one (1) vote on all matters subject to vote at shareholders meetings of the Company.

 

“Class B Ordinary Shares” shall mean the class B ordinary shares of the Company, par value US$0.000005 per share, each shall be entitled to ten (10) vote on all matters subject to vote at shareholders meetings of the Company.

 

“Closing” shall have the meaning ascribed in the Series D Share Purchase Agreement.

 

“Control” (including the terms “Controlling”, “Controlled” and “under common Control with”) of a given Person means the possession, direct or indirect, of the power or authority, whether exercised or not, to direct or cause the direction of the business, management and policies of such Person (including without limitation, the power to determine or cause the determination of equity investment), whether through the ownership of voting securities, by contract or otherwise, provided that such power or authority shall conclusively be presumed to exist upon (a) possession of beneficial ownership or power to direct the vote of more than fifty percent (50%) of the votes entitled to be cast at a meeting of the members or shareholders of such Person or power to control the composition of a majority of the board of directors of such Person or (b) over other members of such Person’s immediate family. Immediate family members of a Person include, without limitation, such Person’s spouse, their respective parents, children, siblings, mother-in-law and father-in-law and brothers and sisters-in-law.

 

“Control Documents” shall mean any and all agreements entered into by the WFOE, the Domestic Company and other parties thereto as applicable for the purpose of a variable interest entities structure,

 

 

including but not limited to: (i) Exclusive Business Cooperation Agreement (独家业务合作协议) dated June 5, 2015 by and among the WFOE and the Domestic Company, (ii) Second Amended and Restated Exclusive Option Agreement (经第二次修订和重述的独家购买权合同) dated June 28, 2017 by and among the WFOE, the Domestic Company and the shareholders of the Domestic Company, (iii) Second Amended and Restated Share Pledge Agreement (经第二次修订和重述的股权质押合同) dated June 28, 2017 by and among the WFOE, the Domestic Company and the shareholders of the Domestic Company, and (iv) Second Amended and Restated Loan Agreement (经第二次修订和重述的借款协议), and (v) Second Amended and Restated Proxy Agreement (经第二次修订和重述的股东表决权委托协议) dated June 28, 2017 by and among the WFOE and the shareholders of the Domestic Company.

 

“Director” shall mean a member of the Board.

 

“ESOP” shall mean the employee incentive plans of the Company approved by the Board in accordance with this Agreement (as amended from time to time), pursuant to which a total of 1,199,576,760 Class A Ordinary Shares (proportionally adjusted to reflect any share dividends, share splits, or similar transactions) are reserved for issuance according to the terms and conditions thereunder as of the date hereof.

 

“Equity Securities” means, with respect to any Person that is a legal entity, any and all shares of capital stock, membership interests, units, profits interests, ownership interests, equity interests, registered capital, and other equity securities of such Person, and any right, warrant, option, call, commitment, conversion privilege, preemptive right or other right to acquire any of the foregoing, or security convertible into, exchangeable or exercisable for any of the foregoing, or any Contract providing for the acquisition of any of the foregoing.

 

“Excluded Ordinary Shares” shall mean the Ordinary Shares held by the Initial Series A-1 Purchasers as of the date hereof.

 

“Group Companies” shall mean the Company, the HK Company, the WFOE, the Domestic Company, the Other Domestic Operational Companies and each of their direct or indirect Subsidiaries (each a “Group Company”).

 

“Hong Kong” shall mean the Hong Kong Special Administrative Region of the PRC.

 

“IFRS” shall mean the applicable International Financial Reporting Standards published by the International Accounting Standards Board from time to time.

 

“Liquidation Event” shall mean any (a) liquidation, dissolution or winding up of the Company, whether voluntary or involuntary; or (b) sale of shares, merger, consolidation or other similar transaction involving the Company as a result of which its shareholders immediately prior to such transaction will cease to own a majority of the equity securities or voting power in the surviving or resulting entity immediately following the consummation of such transaction; or (c) a sale, lease, transfer or other disposition of all or substantially all the Company’s assets; or (d) a sale, transfer or exclusive license of all or substantially all of the intellectual properties of the Group Companies.

 

“Investor Directors” shall mean the director appointed by any Investor pursuant to this Agreement (as amended from time to time).

 

“Ordinary Majority” shall mean the holders of more than fifty percent (50%) of the then issued and outstanding Ordinary Shares (other than the Ordinary Shares issued upon the conversion of Preferred Shares and Ordinary Shares held by the Investors).

 

“Ordinary Shareholders” shall mean the holders of the Ordinary Shares of the Company.

 

 

“Ordinary Shares” shall mean the Class A Ordinary Shares and the Class B Ordinary Shares.

 

“Person” shall mean any individual, corporation, partnership, limited partnership, proprietorship, association, limited liability company, firm, trust, estate or any other enterprise or entity.

 

“PRC” shall mean the People’s Republic of China, excluding Hong Kong, the Macau Special Administrative Region and the Islands of Taiwan.

 

“Preferred Majority” shall mean the holders of (a) more than two-thirds (2/3) of the then issued and outstanding Series A Preferred Shares, (b) more than seventy-five percent (75%) of the then issued and outstanding Series B Preferred Shares, (c) more than fifty percent (50%) of the then issued and outstanding Series C-1/C-2 Preferred Shares, (d) more than fifty percent (50%) of the then issued and outstanding Series C-3 Preferred Shares and (e) more than fifty percent (50%) of the then issued and outstanding Series D Preferred Shares.

 

“Preferred Shareholders” shall mean the holders of the Preferred Shares of the Company.

 

“Preferred Shares” shall mean, collectively, the Series A Preferred Shares, the Series B Preferred Shares, the Series C Preferred Shares and the Series D Preferred Shares.

 

“Qualified Financing” means any bona fide equity financing round undertaken by the Company, resulting in a pre-money valuation of the Company that is higher than the post-money valuation of the Company in its latest round of bona fide equity financing, provided that (i) the relevant rights and privileges for the new class of preferred shares issued and for the new investors with respect to such equity financing are no more favorable than those of the other classes of Preferred Shares (save in respect of customarily differentiated preferential rights, including rights of priority, dividend rights and liquidation preference rights, but excluding rights relating to the transfer or issuance of Equity Securities of the Company that not on a pro rata basis with all the other Investors); (ii) there shall not be any material expansion or addition to any obligations of the Preferred Shareholders under this Agreement; and (iii) the new class of preferred shares and the new investors shall be subject to the same restrictions and obligations that are applicable to all Preferred Shares and Preferred Shareholders under this Agreement and the Restated Articles.

 

“Qualified Initial Public Offering” shall mean a firm commitment underwritten public offering of the Ordinary Shares (or securities representing such Ordinary Shares) on the New York Stock Exchange or the Nasdaq Global or Global Select Market, that has been registered under the Securities Act, with the implied market capitalization of the Company prior to such public offering being no less than US$15,000,000,000 and with the net proceeds (including the proceeds from sale of Shares by existing Shareholders upon such public offering) being no less than US$1,000,000,000 before deduction of underwriting discounts and registration expenses, or in a similar public offering of the Ordinary Shares (or securities representing such Ordinary Shares) which results in the Ordinary Shares (or securities representing such Ordinary Shares) trading publicly on the Main Board of the Hong Kong Stock Exchange; provided that such offering in terms of price, net proceeds, implied market capitalization and regulatory approval is reasonably equivalent to the aforementioned public offering in the United States.

 

“Restated Articles” shall mean the Eighth Amended and Restated Memorandum and Articles of Association of the Company adopted by special resolutions of the Company passed on March 5, 2018, as amended from time to time.

 

“Restricted Person” shall mean the Persons listed on Schedule 5 hereof.

 

“SAFE” means the State Administration of Foreign Exchange of the PRC.

 

 

“Securities Act” shall mean the United States Securities Act of 1933, as amended from time to time, including any successor statutes.

 

“Series A-1 Preferred Shares” shall mean the series A-1 convertible preferred shares of the Company, par value US$0.000005 per share.

 

“Series A-2 Preferred Shares” shall mean the series A-2 convertible preferred shares of the Company, par value US$0.000005 per share.

 

“Series A Preferred Shares” shall mean, collectively, the Series A-1 Preferred Shares and the Series A-2 Preferred Shares.

 

“Series A Share Purchase Agreement” shall mean the Series A Preferred Shares Purchase Agreement dated May 27, 2015 by and among the Company and other parties thereto, under which the Company shall issue and allot an aggregate of 3,592,469 Series A-1 Preferred Shares and an aggregate of 11,920,990 Series A-2 Preferred Shares to the Investors named therein.

 

“Series B-1 Preferred Shares” shall mean the series B-1 convertible preferred shares of the Company, par value US$0.000005 per share.

 

“Series B-1 Share Purchase Agreement” shall mean the Series B-1 Preferred Shares Purchase Agreement dated November 6, 2015 by and among the Company and other parties thereto, under which the Company shall issue and allot an aggregate of 10,579,436 Series B-1 Preferred Shares to the Investors named therein.

 

“Series B-2 Preferred Shares” shall mean the series B-2 convertible preferred shares of the Company, par value US$0.000005 per share.

 

“Series B-2 Share Purchase Agreement” shall mean the Series B-2 Preferred Shares Purchase Agreement dated January 14, 2016 by and among the Company and other parties thereto, under which the Company shall issue and allot an aggregate of 1,389,064 Series B-2 Preferred Shares to the Investors named therein.

 

“Series B-3 Preferred Shares” shall mean the series B-3 convertible preferred shares of the Company, par value US$0.000005 per share.

 

“Series B-3 Share Purchase Agreement” shall mean the Series B-3 Preferred Shares Purchase Agreement dated March 25, 2016 by and among the Company and other parties thereto, under which the Company shall issue and allot an aggregate of 7,298,927 Series B-3 Preferred Shares to the Investors named therein.

 

“Series B-4 Preferred Shares” shall mean the series B-4 convertible preferred shares of the Company, par value US$0.000005 per share.

 

“Series B-4 Share Purchase Agreement” shall mean the Series B-3 Preferred Shares Purchase Agreement dated June 22, 2016 by and among the Company and other parties thereto, under which the Company shall issue and allot an aggregate of 14,620,739 Series B-4 Preferred Shares to the Investors named therein.

 

“Series B Preferred Shares” shall mean, collectively, the Series B-1 Preferred Shares, the Series B-2 Preferred Shares, the Series B-3 Preferred Shares and the Series B-4 Preferred Shares.

 

“Series C-1 Preferred Shares” shall mean the series C-1 convertible preferred shares of the Company, par value US$0.000005 per share.

 

 

“Series C-2 Preferred Shares” shall mean the series C-2 convertible preferred shares of the Company, par value US$0.000005 per share.

 

“Series C-1/C-2 Preferred Shares” shall mean, collectively, the Series C-1 Preferred Shares and the Series C-2 Preferred Shares.

 

“Series C-1/C-2 Share Purchase Agreement” shall mean the Series C-1/C-2 Preferred Shares Purchase Agreement dated January 26, 2017 by and among the Company and other parties thereto, under which the Company shall issue and allot an aggregate of 2,821,509 Series C-1 Preferred Shares and an aggregate of 11,913,039 Series C-2 Preferred Shares to the Investors named therein.

 

“Series C-3 Preferred Shares” shall mean the series C-3 convertible preferred shares of the Company, par value US$0.000005 per share.

 

“Series C-3 Share Purchase Agreement” shall mean the Series C-3 Preferred Shares Purchase Agreement dated June 28, 2017 by and among the Company and other parties thereto, under which the Company shall issue and allot an aggregate of 12,080,213 Series C-3 Preferred Shares to the Investors named therein.

 

“Series C Preferred Shares” shall mean, collectively, the Series C-1 Preferred Shares, the Series C-2 Preferred Shares and the Series C-3 Preferred Shares.

 

“Series D Preferred Shares” shall mean the series D convertible preferred shares of the Company, par value US$0.000005 per share.

 

“Series D Share Purchase Agreement” shall mean the Series D Preferred Shares Purchase Agreement dated February 14, 2018 by and among the Company and other parties thereto, under which the Company shall issue and allot an aggregate of 551,174,340 Series D Preferred Shares to the Investors named therein.

 

“Shareholders” shall mean the Ordinary Shareholders and the Preferred Shareholders (each a “Shareholder”), unless the context specifically requires otherwise.

 

“Shares” shall mean, collectively, the Ordinary Shares and the Preferred Shares.

 

“Share Purchase Agreements” shall mean the Series A Share Purchase Agreement, the Series B-1 Share Purchase Agreement, the Series B-2 Share Purchase Agreement, the Series B-3 Share Purchase Agreement, the Series B-4 Share Purchase Agreement, the Series C-1/C-2 Share Purchase Agreement, the Series C-3 Share Purchase Agreement and the Series D Share Purchase Agreement.

 

“Subsidiary” or “subsidiary” shall mean, with respect to any subject Person, any Person that is Controlled directly or indirectly by such subject Person.

 

“Tencent Director” shall mean the director appointed by Tencent pursuant to Section 1.2.

 

“Transaction Documents” shall mean this Agreement, the Restated Articles, the Share Purchase Agreements, the Control Documents and the various agreements, instruments or documents attached to or entered into in connection with the foregoing.

 

“Transfer” shall mean, with respect to any Share or equity interest, (i) when used as a verb, to sell, issue, assign, dispose of, exchange, charge (whether legal or equitable), encumber, hypothecate or otherwise transfer such Share or equity interest (as applicable) or any participation or interest therein (including by swap or similar arrangement), whether directly or indirectly, or agree or commit to do any of the foregoing, and (ii) when used as a noun, a direct or indirect sale, issuance, assignment, disposition, exchange, charge (whether legal or equitable), encumbrance, hypothecation, or other transfer of such Share or equity interest (as applicable) or any participation or interest therein (including by swap or

 

 

similar arrangement) or any agreement or commitment to do any of the foregoing. For the avoidance of doubt, a sale, issuance, assignment, disposition, exchange, charge (whether legal or equitable), encumbrance, hypothecation, or other transfer of an interest in any Shareholder, or direct or indirect parent thereof, or any direct or indirect Person holding any interest in any Shareholder, shall constitute a Transfer of Shares for purposes of this Agreement.

 

“U.S. GAAP” shall mean the generally accepted accounting principles in the United States.

 

“US$” shall mean the currency of the United States.

 

(b)           The following terms have the meaning set forth in the Sections set forth below:

 

	
Defined Term
    	
 
    	
Location of Definition
    
	
Accepting Shareholders
    	
 
    	
Section 9.1(a)
    
	
Additional Number
    	
 
    	
Section 3.4(b)
    
	
Agreement
    	
 
    	
Preamble
    
	
Announcement
    	
 
    	
Section 7.3
    
	
Code
    	
 
    	
Section 11.12(a)
    
	
Confidential Information
    	
 
    	
Section 7.1
    
	
Commission
    	
 
    	
Section 2.2(f)
    
	
Committee
    	
 
    	
Section 1.4
    
	
Company
    	
 
    	
Preamble
    
	
Company Competitor
    	
 
    	
Section 10.2
    
	
Company Option Period
    	
 
    	
Section 4.1(b)
    
	
Company Restricted Persons
    	
 
    	
Section 4.8
    
	
Co-Sale Right
    	
 
    	
Section 4.5
    
	
Co-Sale Shares
    	
 
    	
Section 4.5
    
	
Deed of Adherence
    	
 
    	
Section 6.1(c)
    
	
Disclosing Party
    	
 
    	
Section 7.5
    
	
Dispute
    	
 
    	
Section 11.13(a)
    
	
Domestic Company
    	
 
    	
Preamble
    
	
Drag-Along Sale
    	
 
    	
Section 9.1(a)
    
	
Exchange Act
    	
 
    	
Section 2.2(i)
    
	
Financing Terms
    	
 
    	
Section 7.1
    
	
First Participation Notice
    	
 
    	
Section 3.4(a)
    
	
First Participation Period
    	
 
    	
Section 3.4(a)
    
	
Form F-3
    	
 
    	
Sections 2.2(e) and 2.3(a)
    
	
Founder
    	
 
    	
Preamble
    
	
Founder Director
    	
 
    	
Section 1.2
    
	
Founder Holding Companies
    	
 
    	
Preamble
    
	
Founder Holding Company
    	
 
    	
Preamble
    
	
Founder Offered Shares
    	
 
    	
Section 4.2(a)
    
	
Founder Selling Shareholder
    	
 
    	
Section 4.2(a)
    
	
Founder Transfer Notice
    	
 
    	
Section 4.2(a)
    
	
Founders
    	
 
    	
Preamble
    
	
HK Company
    	
 
    	
Preamble
    
	
HKIAC
    	
 
    	
Section 11.13(b)
    
	
Holder
    	
 
    	
Section 2.2(d)
    
	
Holders
    	
 
    	
Section 2.2(d)
    
	
Information Rights
    	
 
    	
Section 1.1(a)(iv)
    
	
Initiating Holders
    	
 
    	
Section 2.3(b)
    

 

 

	
Inspection Rights
    	
 
    	
Section 1.1(b)
    
	
Interested Director
    	
 
    	
Section 8.3
    
	
Investor
    	
 
    	
Preamble
    
	
Investor First Refusal Expiration Notice
    	
 
    	
Section 4.2(c)
    
	
Investor’s First Refusal Period
    	
 
    	
Section 4.2(b)
    
	
Investors
    	
 
    	
Preamble
    
	
Management Directors
    	
 
    	
Section 1.2
    
	
New Issuance
    	
 
    	
Section 3.4(a)
    
	
New Securities
    	
 
    	
Section 3.3
    
	
Non-Disclosing Parties
    	
 
    	
Section 7.5
    
	
Offered Shares
    	
 
    	
Section 4.1(a)
    
	
Other Domestic Operational Companies
    	
 
    	
Preamble
    
	
Parties
    	
 
    	
Preamble
    
	
Party
    	
 
    	
Preamble
    
	
Permitted Transferee
    	
 
    	
Section 4.6
    
	
PFIC
    	
 
    	
Section 11.12(a)
    
	
PFIC Shareholder
    	
 
    	
Section 11.12(c)
    
	
Preference Amount
    	
 
    	
Section 5.1(10)(b)
    
	
Principal Business
    	
 
    	
Recitals
    
	
Prior Shareholders Agreement
    	
 
    	
Recitals
    
	
Priority Portion
    	
 
    	
Section 3.6
    
	
Qualified Financing Amendments
    	
 
    	
Section 10.1(a)
    
	
register
    	
 
    	
Section 2.2(a)
    
	
registered
    	
 
    	
Section 2.2(a)
    
	
Registrable Securities
    	
 
    	
Section 2.2(b)
    
	
Registrable Securities then Outstanding
    	
 
    	
Section 2.2(c)
    
	
registration
    	
 
    	
Section 2.2(a)
    
	
Registration Expenses
    	
 
    	
Section 2.2(g)
    
	
Representative
    	
 
    	
Section 7.1
    
	
Request Notice
    	
 
    	
Section 2.3(a)
    
	
Right of Participation
    	
 
    	
Section 3.1
    
	
SEC
    	
 
    	
Section 2.2(f)
    
	
Second Participation Notice
    	
 
    	
Section 3.4(b)
    
	
Second Participation Period
    	
 
    	
Section 3.4(b)
    
	
Securities
    	
 
    	
Section 3.3(b)
    
	
Selling Expenses
    	
 
    	
Section 2.2(h)
    
	
Selling Shareholder
    	
 
    	
Section 4.1(a)
    
	
Series A Closing Date
    	
 
    	
Section 5.1(9)(a)
    
	
Series A Preference Amount
    	
 
    	
Section 5.1(10)(b)
    
	
Series A-2 Preferred Share Preference Amount
    	
 
    	
Section 5.1(9)(b)
    
	
Series B Director
    	
 
    	
Section 1.2
    
	
Series B Directors
    	
 
    	
Section 1.2
    
	
Series B Preference Amount
    	
 
    	
Section 5.1(8)(b)
    
	
Series B-2 Preferred Share Preference Amount
    	
 
    	
Section 5.1(7)(b)
    
	
Series B-3 Preferred Share Preference Amount
    	
 
    	
Section 5.1(6)(b)
    
	
Series B-4 Preferred Share Preference Amount
    	
 
    	
Section 5.1(5)(b)
    
	
Series C Closing Date
    	
 
    	
Section 5.1(3)(a)
    
	
Series C Director
    	
 
    	
Section 1.2
    
	
Series C Directors
    	
 
    	
Section 1.2
    
	
Series C-1 Preferred Share Preference Amount
    	
 
    	
Section 5.1(4)(b)
    
	
Series C-2 Preferred Share Preference Amount
    	
 
    	
Section 5.1(3)(b)
    

 

 

	
Series C-3   Preferred Share Preference Amount
    	
 
    	
Section 5.1(2)(b)
    
	
Series D Preferred Share Preference Amount
    	
 
    	
Section 5.1(1)(b)
    
	
Shareholder
    	
 
    	
Preamble
    
	
Shareholders
    	
 
    	
Preamble
    
	
Tencent Acceptance Notice
    	
 
    	
Section 3.6
    
	
Tencent HoldCo
    	
 
    	
Section 4.9
    
	
Tencent Participation Notice
    	
 
    	
Section 3.6
    
	
Tencent Priority Participation Right
    	
 
    	
Section 3.6
    
	
Tencent Priority Securities
    	
 
    	
Section 3.6
    
	
Transfer Notice
    	
 
    	
Section 4.1(a)
    
	
Violation
    	
 
    	
Section 2.9(a)
    
	
WFOE
    	
 
    	
Preamble
    

 

 

EXHIBIT A

 

LIST OF CONTACT PERSON OF EACH PARTY

 

If to the Group Companies and the Founders:

 

	
Address:
    	
***
    
	
Attn:
    	
***
    
	
Tel:
    	
***
    
	
Email:
    	
***
    

 

With a copy to:

	
Attn:
    	
***
    
	
Address:
    	
***
    
	
Tel:
    	
***
    
	
Email:
    	
***
    

 

If to Banyan:

 

	
Address:
    	
***
    
	
Attn:
    	
***
    
	
Tel:
    	
***
    
	
Email:
    	
***
    
	
 
    	
 
    

If to Lightspeed:

 

	
Address:
    	
***
    
	
Attn:
    	
***
    
	
Tel:
    	
***
    
	
Fax:
    	
***
    
	
Email:
    	
***
    

 

If to IDG:

 

	
Address:
    	
***
    
	
Attn:
    	
***
    
	
Fax:
    	
***
    
	
Email:
    	
***
    

 

	
With a Copy to:
    
	
***
    

 

 

	
Attn:
    	
***
    
	
Fax:
    	
***
    
	
Email:
    	
***
    

 

If to MFund and ***

 

	
Address:
    	
***
    
	
Attn:
    	
***
    
	
Email: ***
    

 

If to CRI:

 

	
c/o Tencent Holdings   Limited
    
	
***
    
	
Attn:
    	
***
    
	
Email:
    	
***
    

 

	
With a Copy to:
    
	
***
    
	
Attention:
    	
***
    
	
Email:
    	
***
    

 

If to Castle Peak:

 

	
Address:
    	
***
    
	
Attn:
    	
***
    
	
Tel:
    	
***
    
	
Email:
    	
***
    

 

If to Sun Vantage Investment Limited:

 

	
Address:
    	
***
    
	
Attn:
    	
***
    
	
Tel:
    	
***
    
	
Fax
    	
***
    

 

	
With a copy to: Advantech   Advisors (HK) Limited
    
	
Address:
    	
***
    
	
Attn:
    	
***
    

 

 

	
Tel:
    	
***
    
	
Fax:
    	
***
    
	
Email:
    	
***
    

 

If to FPCI Sino-French (Innovation) Fund:

 

	
Address:
    	
***
    
	
Attn:
    	
***
    
	
Tel:
    	
***
    
	
Email:
    	
***
    

 

 

If to Sky Royal Trading Limited:

 

	
Address:
    	
***
    
	
Attn:
    	
***
    
	
Tel:
    	
***
    
	
Email:
    	
***
    

 

If to SCC Growth IV Holdco A, Ltd.:

 

	
Address:
    	
***
    
	
Attn:
    	
***
    
	
Tel:
    	
***
    
	
Email:
    	
***
    

 

If to Tencent Mobility Limited:

 

	
Address:
    	
***
    
	
Attn:
    	
***
    
	
Email:
    	
***
    

 

with a copy to:

 

	
Address:
    	
***
    
	
Attn:
    	
***
    
	
Email:
    	
***
    

 

If to Image Frame Investment (HK) Limited:

 

	
Address:
    	
***
    

 

 

	
Attn:
    	
***
    
	
Email:
    	
***
    

 

with a copy to:

 

	
Address:
    	
***
    
	
Attn:
    	
***
    
	
Email:
    	
***
    

 

 

EXHIBIT B

 

DEED OF ADHERENCE

 

This Deed of Adherence (“Deed of Adherence”) is entered into on the [·] day of 201[·] by and between Walnut Street Group Holding Limited, a Cayman Islands exempted company (the “Company”) and the undersigned (the “[Transferee/Subscriber]”) pursuant to the terms of that certain Shareholders Agreement dated as of [·], 201[·] (the “Agreement”) by and among the Company and certain of its shareholders and certain other parties named thereto, and in consideration of the Shares [acquired/subscribed] by the [Transferee/Subscriber] thereunder and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged. Capitalized terms used but not defined herein shall have the respective meanings ascribed to such terms in the Agreement. By the execution of this Deed of Adherence, the [Transferee] Subscriber] agrees as follows:

 

1.             Acknowledgment. [Transferee/Subscriber] acknowledges that [Transferee/Subscriber] is [acquiring/subscribing] [number] [Preferred/Ordinary] Shares of the Company (the “Shares”) from [Name of Transferor/Company] (the “Transferor”), subject to the terms and conditions of the Agreement.

 

2.             Agreement. [Transferee/Subscriber] hereby covenants to the Company as trustee for all other Persons who are at present or who may hereafter become bound by the Agreement, and to the Company itself, that immediately upon [transfer/issuance] of the Shares, [Transferee/Subscriber] (i) agrees that [Transferee/Subscriber] shall be bound by and subject to the terms of the Agreement [applicable to the Transferor/as an/a Ordinary Shareholder/Preferred Shareholder thereunder] and all documents expressed in writing to be supplemental or ancillary to the Agreement, and (ii) hereby adopts the Agreement with the same force and effect as if [Transferee/Subscriber] were an original party to the Agreement since the date thereof.

 

3.             Enforceability. Each existing Shareholder and the Company shall be entitled to enforce the Agreement against [Transferee/Subscriber], and [Transferee/Subscriber] shall be entitled to all rights and benefits of [Name of Transferor] (other than those that are non-assignable) under the Agreement in each case as if [Transferee/Subscriber] had been an original party to the Agreement since the date thereof

 

4.             Notice. Any notice required or permitted by the Agreement shall be given to [Transferee/Subscriber] at the address listed beside [Transferee/Subscriber]’s signature below.

 

5.             Governing Law. This Deed of Adherence shall be governed in all respects by the laws of the Hong Kong Special Administrative Region without regard to conflicts of law principles.

 

[Signature page to follow]

 

 

THIS DEED OF ADHERENCE has been signed and executed as a DEED by the undersigned and is delivered by it/him/her on the date specified above.

 

	
THE COMPANY
    	
 
    
	
 
    	
 
    
	
SIGNED, SEALED AND
    	
 
    
	
DELIVERED as a DEED by
    	
 
    
	
 
    	
 
    
	
for and on behalf of
    	
)
    
	
Walnut Street Group Holding Limited
    	
)
    
	
by its duly authorised representative
    	
)
    
	
 
    	
)
    
	
 
    	
Name:
    
	
 
    	
Title:
    
	
 
    	
 
    
	
Witness
    	
 
    
	
in the presence of
    	
 
    
	
 
    	
 
    
	
 
    	
 
    	
Signature of witness
    
	
 
    	
 
    
	
 
    	
 
    	
Name of witness
    
	
 
    	
 
    
	
[TRANSFEREE/SUBSCRIBER]
    	
 
    
	
 
    	
 
    
	
SIGNED, SEALED AND
    	
 
    
	
DELIVERED as a DEED by
    	
 
    
	
 
    	
 
    
	
for and on behalf of
    	
)
    
	
[·]
    	
)
    
	
by its duly authorised representative
    	
)
    
	
 
    	
)
    
	
 
    	
Name:
    
	
 
    	
Title:
    
	
 
    	
 
    
	
Witness
    	
 
    
	
in the presence of
    	
 
    
	
 
    	
 
    
	
 
    	
 
    	
Signature of witness
    
	
 
    	
 
    
	
 
    	
 
    	
Name of witness

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