Document:

Exhibit 10.28

 

Execution Version

 

LOAN AND SECURITY AGREEMENT

 

Dated as of June 3, 2022

 

between

 

ORCHESTRA BIOMED, INC.,

a Delaware corporation,

 

as “Borrower”,

 

and

 

AVENUE VENTURE OPPORTUNITIES FUND II, L.P.,

a Delaware limited partnership, (“Avenue
2“)

as a lender

 

and

 

AVENUE VENTURE OPPORTUNITIES FUND, L.P.,

a Delaware limited partnership (“Avenue”)

as administrative agent and collateral agent
(in such capacity “Agent”)

and as a lender (in such capacity, together
with Avenue 2, a “Lender” and collectively, the “Lenders”)

 

     

     

    

 

LOAN AND SECURITY AGREEMENT

 

Borrower, Lenders and Agent
have entered into this Loan and Security Agreement pursuant to which each Lender agrees to make available to Borrower a loan facility
governed by the terms and conditions set forth in this document and the Supplement executed by Borrower, Lenders and Agent which incorporate
this document by reference. The Supplement constitutes a supplement to and forms part of this document and will be read and construed
as one with this document, so that this document and the Supplement constitute a single agreement between the parties (collectively referred
to as this “Agreement”).

 

Accordingly, the parties agree
as follows:

 

ARTICLE 1 - INTERPRETATION

 

1.1 Definitions.
The terms defined in Article 11 and in the Supplement will have the meanings therein specified for purposes of this Agreement.

 

1.2 Inconsistency.
In the event of any inconsistency between the provisions of the Supplement and this document, the provisions of the Supplement will be
controlling for the purpose of all relevant transactions.

 

ARTICLE 2 - THE COMMITMENT AND THE LOAN

 

2.1 The
Commitment. Subject to the terms and conditions of this Agreement, each Lender agrees to make term loans to Borrower on the Closing
Date and, subject to Section 4.2 hereof and Part 2, Section 1(a) of the Supplement, from time to time thereafter up to December 31, 2023,
in an aggregate principal amount not to exceed the Commitment. The Commitment is not a revolving credit commitment, and Borrower does
not have the right to repay and reborrow hereunder. The aggregate Loans requested by Borrower to be made on a single Business Day shall
be for a minimum principal amount set forth in the Supplement, except to the extent the remaining Commitment is a lesser amount.

 

2.2 Notes
Evidencing Loans; Repayment. Each Loan shall be evidenced by separate Notes payable to each Lender, in the total principal amount
of the Loan. Principal and interest of each Loan shall be payable at the times and in the manner set forth in the Notes and regularly
scheduled payments thereof shall be effected by automatic debit of the appropriate funds from Borrower’s Primary Operating Account
as specified in the Supplement hereto. Repayment of the Loans and payment of all other amounts owed to each Lender will be paid by Borrower
in the currency in which the same has been provided (i.e., United States Dollars).

 

2.3 Procedures
for Borrowing.

 

(a) At
least two (2) Business Days prior to a proposed Borrowing Date (or such lesser period of time as may be agreed upon by each Lender in
its sole discretion), Lenders shall have received from Borrower a written request for a borrowing hereunder (a “Borrowing
Request”). Each Borrowing Request shall be in substantially the form of Exhibit “B” to the Supplement,
shall be executed by a responsible executive or financial officer of Borrower, and shall state how much is requested, and shall be accompanied
by such other information and documentation as Lenders may reasonably request, including the executed Notes for such Loan covered by the
Borrowing Request.

 

(b) No
later than 1:00 p.m. Pacific Standard Time on the Borrowing Date, if Borrower has satisfied the conditions precedent in Article 4 by 9:00
a.m. Pacific Standard Time on such Borrowing Date, each Lender shall make its Loan available to Borrower in immediately available funds.

 

2.4 Interest.
Except as otherwise specified in the applicable Notes and/or Supplement, Basic Interest on the outstanding principal balance of each Loan
shall accrue daily at the Designated Rate from the Borrowing Date. If the outstanding principal balance of such Loan is not paid at maturity,
interest shall accrue at the Default Rate until paid in full, as further set forth herein.

 

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2.5 Intentionally
Omitted.

 

2.6 Interest
Rate Calculation. Basic Interest, along with charges and fees under this Agreement and any Loan Document, shall be calculated for
actual days elapsed on the basis of a 360-day year, which results in higher interest, charge or fee payments than if a 365-day year were
used. In no event shall Borrower be obligated to pay Lenders interest, charges or fees at a rate in excess of the highest rate permitted
by applicable law from time to time in effect.

 

2.7 Default
Interest. Any unpaid payments in respect of the Obligations shall bear interest from their respective maturities, whether scheduled
or accelerated, at the Default Rate, compounded monthly. Borrower shall pay such interest promptly on written demand.

 

2.8 Late
Charges. If Borrower is late in making any scheduled payment in respect of the Obligations by more than five (5) days, then Borrower
agrees to pay a late charge of five percent (5%) of the payment due, but not less than fifty dollars ($50.00) for any one such delinquent
payment. This late charge may be charged by Lenders for the purpose of defraying the expenses incidental to the handling of such delinquent
amounts. Borrower acknowledges that such late charge represents a reasonable sum considering all of the circumstances existing on the
date of this Agreement and represents a fair and reasonable estimate of the costs that will be sustained by Lenders due to the failure
of Borrower to make timely payments. Borrower further agrees that proof of actual damages would be costly and inconvenient. Such late
charge shall be paid without prejudice to the right of Lenders and Agent to collect any other amounts provided to be paid or to declare
a default under this Agreement or any of the other Loan Documents or from exercising any other rights and remedies of Lenders or Agent.

 

2.9 Lender’s
Records. Principal, Basic Interest and all other sums owed under any Loan Document shall be evidenced by entries in records maintained
by each Lender for such purpose. Each payment on and any other credits with respect to principal, Basic Interest and all other sums outstanding
under any Loan Document shall be evidenced by entries in such records. Absent manifest error, Lenders’ records shall be conclusive
evidence thereof.

 

2.10 Grant
of Security Interests; Filing of Financing Statements.

 

(a) To secure the timely
payment and performance of all of Borrower’s Obligations, Borrower hereby grants to Agent, for the ratable benefit of Lenders, continuing
security interests in all of the Collateral. In connection with the foregoing, Borrower authorizes Agent to prepare and file any financing
statements describing the Collateral without otherwise obtaining Borrower’s signature or consent with respect to the filing of such
financing statements. Such financing statements may indicate the Collateral as “all assets of the Debtor” or words of similar
effect.

 

(b) In furtherance
of Borrower’s grant of the security interests in the Collateral pursuant to Section 2.10(a) above, Borrower hereby pledges and grants
to Agent, for the ratable benefit of Lenders, a security interest in all the Shares, together with all proceeds and substitutions thereof,
all cash, stock and other moneys and property paid thereon, all rights to subscribe for securities declared or granted in connection therewith,
and all other cash and noncash proceeds of the foregoing, as security for the performance of the Obligations. On the Closing Date or at
any time thereafter, including promptly following issuance of new Shares (but no more than two (2) Business Days), the certificate or
certificates for the Shares will be delivered to Agent, accompanied by an instrument of assignment duly executed in blank by Borrower,
unless such Shares have not been certificated. To the extent required by the terms and conditions governing the Shares, Borrower shall
cause the books of each entity whose Shares are part of the Collateral and any transfer agent to reflect the pledge of the Shares. Upon
the occurrence and during the continuance of an Event of Default hereunder, Agent may effect the transfer of any securities included in
the Collateral (including but not limited to the Shares) into the name of Agent and cause new certificates representing such securities
to be issued in the name of Agent or its transferee(s). Borrower will execute and deliver such documents, and take or cause to be taken
such actions, as Agent may reasonably request in writing to perfect or continue the perfection of Agent’s security interest in the
Shares. Except as provided in the following sentence, Borrower shall be entitled to exercise any voting rights with respect to the Shares
and to give consents, waivers and ratifications in respect thereof, provided that no vote shall be cast or consent, waiver or ratification
given or action taken which would constitute a violation of this Agreement. All such rights to vote and give consents, waivers and ratifications
shall terminate upon the occurrence and continuance of an Event of Default and Agent’s written notice to Borrower of Agent’s
intent to exercise its rights and remedies under this Agreement, including this Section 2.10(b); provided that such rights shall automatically
be reinstated upon the cure or waiver of such Event of Default in accordance with this Agreement. Notwithstanding the foregoing, following
the Closing Date and upon written notice to Borrower, Agent may (in its reasonable discretion) require Borrower to pledge (a) the capital
stock, membership units or other securities issued by Motus GI Holdings, Inc. and/or VivaSure Medical Ltd. that are owned or held of record
by Borrower or any of its Subsidiaries and/or (b) any Royalty Payment Rights Certificate issued by Motus GI Holdings, Inc. and held by
Borrower or any of its Subsidiaries, to Agent, and in such case, perform in accordance with this Section 2.10(b).

 

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(c) Borrower is and
shall remain absolutely and unconditionally liable for the performance of its Obligations, including, without limitation, any deficiency
by reason of the failure of the Collateral to satisfy all amounts due to each Lender under any of the Loan Documents.

 

(d) All Collateral
pledged by Borrower under this Agreement and the Supplement shall secure the timely payment and performance of all Obligations. Except
as expressly provided in this Agreement, no Collateral pledged under this Agreement or the Supplement shall be released until such time
as all Obligations have been satisfied and paid in full (other than inchoate indemnity obligations).

 

(e) The Borrower hereby
grants to Agent, for the ratable benefit of Lenders, a negative pledge in (i) any capital stock, membership units or other securities
owned or held of record by Borrower or any of its Subsidiaries in Motus GI Holdings, Inc. and/or VivaSure Medical Ltd. and (ii) any Royalty
Payment Rights Certificate held by Borrower or any of its Subsidiaries issued by Motus GI Holdings, Inc.

 

ARTICLE 3 - REPRESENTATIONS AND WARRANTIES

 

Borrower represents and warrants
that, except as set forth in the Supplement or the Schedule of Exceptions hereto, if any, as of the Closing Date and each Borrowing Date:

 

3.1 Due
Organization. Borrower is a corporation duly organized and validly existing in good standing under the laws of the jurisdiction of
its incorporation, and is duly qualified to conduct business and is in good standing in each other jurisdiction in which its business
is conducted or its properties are located, except where the failure to be so qualified would not reasonably be expected to have a Material
Adverse Effect.

 

3.2 Authorization,
Validity and Enforceability. The execution, delivery and performance of all Loan Documents executed by Borrower are within Borrower’s
powers, have been duly authorized, and are not in conflict with Borrower’s certificate of incorporation or by-laws, or the terms
of any charter or other organizational document of Borrower, as amended from time to time; and all such Loan Documents constitute valid
and binding obligations of Borrower, enforceable in accordance with their terms (except as may be limited by bankruptcy, insolvency and
similar laws affecting the enforcement of creditors’ rights in general, and subject to general principles of equity).

 

3.3 Compliance
with Applicable Laws. Borrower has complied with all licensing, permit and fictitious name requirements necessary to lawfully conduct
the business in which it is engaged, and to any sales, leases or the furnishing of services by Borrower, including without limitation
those requiring consumer or other disclosures, the noncompliance with which would have a Material Adverse Effect.

 

3.4 No
Conflict. The execution, delivery, and performance by Borrower of all Loan Documents to which it is a party are not in conflict with
any law, rule, regulation, order or directive, or any indenture, agreement, or undertaking to which Borrower is a party or by which Borrower
may be bound or affected except as would not reasonably be expected to result in a Material Adverse Effect. Without limiting the generality
of the foregoing, the issuance of each Warrant and the grant of registration rights in connection therewith do not violate any agreement
or instrument by which Borrower is bound or require the consent of any holders of Borrower’s securities other than consents which
have been obtained prior to the Closing Date except as would not reasonably be expected to result in a Material Adverse Effect.

 

3.5 No
Litigation, Claims or Proceedings. There is no litigation, tax claim, proceeding or dispute pending, or, to the knowledge of Borrower,
threatened against or affecting Borrower, its property or the conduct of its business except any litigation, tax claim, proceeding or
dispute that could not reasonably be expected to have a Material Adverse Effect.

 

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3.6 Correctness
of Financial Statements. Borrower’s financial statements which have been delivered to Lenders fairly and accurately, in all
material respects, reflect Borrower’s financial condition in accordance with GAAP as of the latest date of such financial statements
and since that date there has been no Material Adverse Change.

 

3.7 Subsidiaries.
As of the Closing Date, Borrower is not a majority owner of or in a control relationship with any other business entity, except for BackBeat
Medical, LLC, Caliber Therapeutics, LLC, FreeHold Surgical, LLC and Accelerated Technologies, LLC.

 

3.8 Environmental
Matters. To its knowledge after reasonable inquiry, Borrower has concluded that Borrower is in compliance with Environmental Laws,
except to the extent a failure to be in such compliance would not reasonably be expected to have a Material Adverse Effect.

 

3.9 No
Event of Default. Immediately after giving effect to this Agreement, no Default or Event of Default has occurred and is continuing.

 

3.10 Full
Disclosure. None of the representations or warranties made by Borrower in the Loan Documents as of the date such representations and
warranties are made or deemed made, and none of the written statements contained in any exhibit, report, statement or certificate furnished
by or on behalf of Borrower in connection with the Loan Documents (including disclosure materials delivered by or on behalf of Borrower
to either Lender prior to the Closing Date or pursuant to Section 5.2 hereof), taken as a whole, contains any untrue statement of a material
fact or omits any material fact required to be stated therein or necessary to make the statements made therein, in light of the circumstances
under which they are made, not misleading as of the time when made or delivered provided that, with respect to projected financial information,
the Borrower represents only that such information was prepared in good faith based upon assumptions believed to be reasonable at the
time delivered and, if such projected financial information was delivered prior to the Closing Date, as of the Closing Date (it being
the understanding that the projections, by their nature, are inherently uncertain, no assurances are being given that the results reflected
in the projections will be achieved, and actual results during the period or periods covered by any such projections may differ from the
projected results in material respects).

 

3.11 Specific
Representations Regarding Collateral.

 

(a) Title.
Except for the security interests created by the Loan Documents and Permitted Liens, (i) Borrower is the unconditional legal and beneficial
owner of the Collateral, and (ii) the Collateral is genuine and subject to no Liens other than Permitted Liens. There exist no prior assignments
or encumbrances of record with the U.S. Patent and Trademark Office or U.S. Copyright Office affecting any Collateral in favor of any
third party, other than Permitted Liens.

 

(b) Rights
to Payment. The names of the obligors, amount owing to Borrower, due dates and all other information with respect to the Rights to
Payment are and will be correctly stated in all material respects in all Records relating to the Rights to Payment. Borrower further represents
and warrants, to its knowledge, that each Person appearing to be obligated on a Right to Payment has authority and capacity to contract
and is bound as it appears to be.

 

(c) Location
of Collateral. As of the Closing Date, Borrower’s chief executive office, Inventory, Records, Equipment, and any other offices
or places of business are located at the address(es) shown on the Perfection Certificate.

 

(d) Business
Names. Other than its full corporate name, within the past three years, Borrower has not conducted business using any trade names
or fictitious business names except as shown on the Perfection Certificate.

 

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3.12 Copyrights,
Patents, Trademarks and Licenses.

 

(a) Borrower
owns or is licensed or otherwise has the right to use all of the patents, trademarks, service marks, trade names, copyrights, contractual
franchises, authorizations and other similar rights that are reasonably necessary for the operation of its business, without known material
conflict with the rights of any other Person.

 

(b) To
Borrower’s knowledge, no slogan or other advertising device, product, process, method, substance, part or other material now employed,
or now contemplated to be employed, by Borrower infringes upon any rights held by any other Person in any material respect.

 

(c) No
claim or litigation regarding any of the foregoing is pending or, to Borrower’s knowledge, threatened, and, to Borrower’s
knowledge, no patent, invention, device, application, principle or any statute, law, rule, regulation, standard or code is pending or
proposed which, in either case, could reasonably be expected to have a Material Adverse Effect.

 

3.13 Regulatory
Compliance. Borrower has met the minimum funding requirements of ERISA with respect to any employee benefit plans subject to ERISA.
No event has occurred resulting from Borrower’s failure to comply with ERISA that is reasonably likely to result in Borrower’s
incurring any liability that could have a Material Adverse Effect. Borrower is not required to be registered as an “investment company”
or a company “controlled” by an “investment company” within the meaning of the Investment Company Act of 1940.
Borrower is not engaged principally, or as one of its important activities, in the business of extending credit for the purpose of purchasing
or carrying margin stock (within the meaning of Regulations T and U of the Board of Governors of the Federal Reserve System). Borrower
has complied in all material respects with all the provisions of the Federal Fair Labor Standards Act.

 

3.14  Shares.
Borrower has full power and authority to create a first priority Lien on the Shares and no disability or contractual obligation exists
that would prohibit Borrower from pledging the Shares pursuant to this Agreement. To Borrower’s knowledge, there are no subscriptions,
warrants, rights of first refusal or other restrictions on transfer relative to, or options exercisable with respect to the Shares. The
Shares have been and will be duly authorized and validly issued, and are fully paid and non-assessable. To Borrower’s knowledge,
the Shares are not the subject of any present or threatened suit, action, arbitration, administrative or other proceeding and Borrower
knows of no reasonable grounds for the institution of any such proceedings.

 

3.15 Compliance with Anti-Corruption
Laws. Borrower has not taken any action that would cause a violation of any anti-corruption law, including but not limited to, the
Foreign Corrupt Practices Act, the United Kingdom Bribery Act, and all other applicable anti-corruption laws. Borrower, its employees,
agents and representatives have not, directly or indirectly, offered, paid, given, promised or authorized the payment of any money, gift
or anything of value to any person acting in an official capacity for any government department, agency or instrumentality, including
state-owned or controlled companies or entities, and public international organizations, as well as a political party or official thereof
or candidate for political office. None of Borrower’s principals or staff are officers, employees or representatives of governments,
government agencies, or government-owned or controlled enterprises.

 

3.16
Survival. The representations and warranties of Borrower as set forth in this Agreement survive the execution and delivery of this
Agreement.

 

ARTICLE 4 - CONDITIONS PRECEDENT

 

4.1 Conditions
to First Loan. The obligation of each Lender to make its first Loan hereunder is, in addition to the conditions precedent specified
in Section 4.2 and in the Supplement, subject to the fulfillment of the following conditions and to the receipt by Lenders of the documents
described below, duly executed and in form and substance satisfactory to each Lender and its counsel:

 

(a) Resolutions.
A certified copy of the resolutions of the Board of Directors of Borrower authorizing the execution, delivery and performance by Borrower
of the Loan Documents.

 

(b) Incumbency
and Signatures. A certificate of the secretary of Borrower certifying the names of the officer or officers of Borrower authorized
to sign the Loan Documents, together with a sample of the true signature of each such officer.

 

(c) Legal
Opinion. The opinion of legal counsel for Borrower as to such matters as Agent and Lenders may reasonably request, in form and substance
reasonably satisfactory to Agent and Lenders.

 

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(d) Charter
Documents. Copies of the organizational and charter documents of Borrower and each Subsidiary (e.g., Articles or Certificate of Incorporation
and Bylaws), as amended through the Closing Date, certified by an officer of Borrower or such Subsidiary as being true, correct and complete.

 

(e) This
Agreement. Counterparts of this Agreement and the initial Supplement, with all schedules completed and attached thereto, and disclosing
such information as is acceptable to Lenders.

 

(f) Financing
Statements. Filing copies (or other evidence of filing satisfactory to Agent and its counsel) of such UCC financing statements, collateral
assignments, account control agreements, and termination statements, with respect to the Collateral as Agent shall reasonably request
in writing.

 

(g) Intellectual
Property Security Agreement. An Intellectual Property Security Agreement executed by Borrower in form and substance reasonably satisfactory
to Lenders.

 

(h) Lien
Searches. UCC lien, judgment, bankruptcy and tax lien searches of Borrower from such jurisdictions or offices as Agent may reasonably
request, all as of a date reasonably satisfactory to Agent and its counsel.

 

(i) Good
Standing Certificate. A certificate of status or good standing of Borrower as of a date acceptable to Agent from the jurisdiction
of Borrower’s organization and any foreign jurisdictions where Borrower is qualified to do business.

 

(j) Warrant.
The Warrant issued by Borrower to each Lender exercisable for such number, type and class of shares of Borrower’s capital stock,
and for an initial exercise price as is specified therein.

 

(k) Insurance
Certificates. Insurance certificates showing Agent as loss payee or additional insured.

 

(l) Joinder
Agreement. A Joinder Agreement in substantially the form of Exhibit D to the Supplement for all Subsidiaries along with such limited
liability, corporate or other formation documentation evidencing authorization and incumbency as Agent or Lenders may reasonably request.

 

(m) Other
Documents. Such other documents and instruments as Agent or Lenders may reasonably request to effectuate the intents and purposes
of this Agreement.

 

4.2 Conditions
to All Loans. The obligation of each Lender to make its initial Loan and each subsequent Loan is subject to the following further
conditions precedent that:

 

(a) No
Default. No Default or Event of Default has occurred and is continuing or will result from the making of the Loan, and the representations
and warranties of Borrower contained in Article 3 of this Agreement and Part 3 of the Supplement are true and correct as of the Borrowing
Date of such Loan.

 

(b) No
Material Adverse Change. No event has occurred that has had or could reasonably be expected to have a Material Adverse Change.

 

(c) Borrowing
Request. Borrower shall have delivered to each Lender a Borrowing Request for such Loan.

 

(d) Notes.
Borrower shall have delivered executed Notes evidencing such Loan, substantially in the form attached to the Supplement as an exhibit.

 

(e) Supplemental
Lien Filings. Borrower shall have executed and delivered such amendments or supplements to this Agreement and additional Security
Documents, financing statements and third party waivers as Agent may reasonably request in connection with the proposed Loan, in order
to create, protect or perfect or to maintain the perfection of Agent’s Liens on the Collateral.

 

(f) [Reserved].

 

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(g) Financial
Projections. Borrower shall have delivered to Lenders Borrower’s business plan and/or financial projections or forecasts as
most recently approved by Borrower’s Board of Directors.

 

(h) Investment
Committee Approval. Agent or Lenders shall have obtained prior written approval from its investment committee for such Loan; provided
that this Section 4.2(h) shall not apply to the Second Tranche.

 

ARTICLE 5 - AFFIRMATIVE COVENANTS

 

During the term of this Agreement
and until its performance of all Obligations (other than inchoate indemnity obligations), Borrower will:

 

5.1 Notice
to Lenders. Promptly give written notice to Lenders of:

 

(a) Any
litigation or administrative or regulatory proceeding affecting Borrower where the amount claimed against Borrower is in excess of $100,000,
or where the granting of the relief requested could reasonably be expected to have a Material Adverse Effect; or of the acquisition by
Borrower of any commercial tort claim with an expected recovery in excess of $100,000, including brief details of such claim and such
other information as Agent may reasonably request to enable Agent to better perfect its Lien in such commercial tort claim as Collateral.

 

(b) Any
material dispute which may exist between Borrower and any governmental or regulatory authority.

 

(c) The
occurrence of any Default or any Event of Default.

 

(d) Any
change in the location of any of Borrower’s places of business (unless such location contains Collateral with a fair market value
of less than $100,000) at least thirty (30) days in advance of such change or of the establishment of any new, or the discontinuance of
any existing, place of business (unless such location contains Collateral with a fair market value of less than $100,000).

 

(e) Any
dispute or default by Borrower or any other party under any joint venture, partnering, distribution, cross-licensing, strategic alliance,
collaborative research or manufacturing, license or similar agreement which could reasonably be expected to have a Material Adverse Effect.

 

(f) The
formation or acquisition of any Subsidiary of the Borrower.

 

(g) The
acquisition or creation of registered Intellectual Property after the Closing Date, together with the delivery of each Compliance Certificate.

 

(h) Any
other matter which has resulted or might reasonably result in a Material Adverse Change.

 

5.2 Financial
Statements. Deliver to Lenders or cause to be delivered to Lenders, in form and detail reasonably satisfactory to Lenders the following
financial and other information, which Borrower warrants shall be accurate and complete in all material respects:

 

(a) Monthly
Financial Statements. As soon as available but no later than thirty (30) days after the end of each month, Borrower’s unaudited
balance sheet as of the end of such period, and Borrower’s unaudited income statement and cash flow statement for such period and
for that portion of Borrower’s financial reporting year ending with such period, prepared in accordance with GAAP and attested by
a responsible financial officer of Borrower as being complete and correct in all material respects and fairly presenting Borrower’s
financial condition and the results of Borrower’s operations as of the date(s) and for the period(s) covered thereby subject to
the absence of footnotes and normal year-end audit adjustments.

 

(b) Year-End
Financial Statements. As soon as available but no later than one hundred twenty (120) days after the end of each financial reporting
year, a complete copy of Borrower’s audit report, which shall include balance sheet, income statement, statement of changes in equity
and statement of cash flows for such year, prepared in accordance with GAAP and certified by an independent certified public accountant
selected by Borrower and reasonably satisfactory to Lenders (the “Accountant”). The Accountant’s certification
shall not be qualified as to going concern and scope of audit (other than solely with respect to, or resulting solely from an upcoming
maturity date under this Agreement or other Indebtedness occurring within one year from the time such report is delivered.

 

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(c) Compliance Certificates.
Simultaneously with the delivery of each set of financial statements referred to in paragraphs (a) and (b) above, a certificate of the
chief financial officer of Borrower (or other executive officer) substantially in the form of Exhibit “C” to the Supplement
(a “Compliance Certificate”) stating, among other things, whether any Default or Event of Default exists on
the date of such certificate, and if so, setting forth the details thereof and the action which Borrower is taking or proposes to take
with respect thereto. If requested by Agent, a Compliance Certificate also shall be delivered to Lender on the Closing Date.

 

(d) Reports.
Promptly after sending, issuing, making available, or filing, copies of all reports, proxy statements, and financial statements that Borrower
sends or makes available generally to its stockholders, and, not later than five (5) days after actual filing or the date such filing
was first due, all registration statements and reports that Borrower files or is required to file with the Securities and Exchange Commission,
or any other governmental or regulatory authority having similar authority.

 

(e) Other
Information. Such other statements, lists of property and accounts, budgets (as updated), sales projections, forecasts, reports, 409A
valuation reports (as updated), operating plans, financial exhibits, capitalization tables (as updated) and written information relating
to equity and debt financings consummated after the Closing Date (including post-closing capitalization table(s)), or other customary
information as any Lender may from time to time reasonably request in writing.

 

(f) Board
Packages. In addition to the information described in Section 5.2(e), Borrower will promptly provide Lenders with copies of all notices,
minutes, consents and other materials, financial or otherwise, which the Borrower provides to its Board of Directors in connection with
its regularly scheduled quarterly meetings or otherwise (collectively, “Board Packages”); provided, however,
that Borrower need not provide Lenders with copies of routine Board actions, such as option and stock grants under Borrower’s equity
incentive plan in the normal course of business; and provided, further, however, that such Board Packages may be
redacted to the extent that (i) based on the advice of counsel, Borrower’s Board of Directors determines such redaction is reasonably
necessary to preserve the attorney-client privilege, to protect highly confidential proprietary information, or for other similar reasons
or (ii) such redacted material relates to Lenders (or Borrower’s strategy regarding the Loans or Lenders).

 

5.3 Managerial Assistance
from Lenders. Permit Lenders to substantially participate in, and substantially influence the conduct of management of Borrower through
the exercise of “management rights,” with respect to the Borrower, as that term is defined in 29 C.F.R. § 2510.3-101(d),
which shall consist of the Borrower agreeing that (i) it will make its officers, directors, employees and affiliates available at such
times as Lenders may reasonably request in writing for Lenders to consult with and advise as to the conduct of Borrower’s business,
and its financial condition and prospects, (ii) Lenders shall have the right to inspect Borrower’s books, records, facilities and
properties at reasonable times during normal business hours on reasonable advance notice, and (iii) Lenders shall be entitled to recommend
prospective candidates for election or nomination for election to Borrower’s Board of Directors and Borrower shall give due consideration
to (but shall not be bound by) such recommendations, it being the intention of the parties that Lenders shall be entitled through such
rights, inter alia, to furnish “significant managerial assistance”, as defined in Section 2(a)(47) of the Investment
Company Act of 1940, to Borrower. Without limiting the generality of the foregoing, if any Lender reasonably believe that financial or
other developments affecting Borrower have impaired or are likely to impair Borrower’s ability to perform its obligations under
this Agreement, permit Lenders reasonable access to Borrower’s management and/or Board of Directors and opportunity to present Lenders’
views with respect to such developments.

 

Lenders shall cooperate with Borrower to ensure
that the exercise of Lenders’ rights shall not disrupt the business of Borrower. The rights enumerated above shall not be construed
as giving Lenders control over Borrower’s management or policies.

 

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The rights granted in this Section 5.3 shall terminate
upon the earliest to occur of (a) Borrower becoming subject to the periodic reporting requirements of Section 12(g) or 15(d) of the Securities
Exchange Act of 1934, as amended, (b) consummation of a sale of Borrower’s securities pursuant to a registration statement filed
by Borrower under the Securities Act of 1933, as amended, in connection with a firm commitment underwritten public offering of Borrower’s
securities, (c) such time as any Lender and its affiliates do not own any of the following that were issued by Borrower pursuant to this
Agreement: (i) the Notes; (ii) the Warrants; and (iii) the shares acquired pursuant to such Warrants, (d) the consummation of a merger
or consolidation of Borrower that is effected (i) for independent business reasons unrelated to extinguishing such rights and (ii) for
purposes other than (A) the reincorporation of Borrower in a different state or (B) the formation of a holding company that will be owned
exclusively by Borrower’s stockholders and will hold all of the outstanding shares of capital stock of Borrower’s successor,
and (e) the consummation of an Qualified Public Offering.

 

5.4 Existence.
Maintain and preserve Borrower’s existence, present form of business (including lines of business that are similar, related or incidental
thereto and reasonable extensions thereof), and all rights and privileges necessary in the normal course of its business; and keep all
Borrower’s property in good working order and condition, ordinary wear and tear excepted.

 

5.5 Insurance.
Obtain and keep in force insurance in such amounts and types as is usual in the type of business conducted by Borrower, with insurance
companies of recognized national standing and with a rating of A- or better by S&P Global Ratings or an equivalent rating by Moody's
Investors Service or Fitch Ratings. Such insurance policies must be in form and substance reasonably satisfactory to Lenders, and shall
list Agent as an additional insured or loss payee, as applicable, on endorsement(s) in form reasonably acceptable to Agent. Borrower shall
furnish to Agent such endorsements, and upon Agent’s request, copies of any or all such policies.

 

5.6 Accounting
Records. Maintain adequate books, accounts and records, and prepare all financial statements in accordance with GAAP, and in compliance
with the regulations of any governmental or regulatory authority having jurisdiction over Borrower or Borrower’s business; and permit
employees or agents of Agent during normal business hours on reasonable advance written notice upon Agent request, at Borrower’s
expense, to inspect Borrower’s properties, and to examine, review and audit, and make copies and memoranda of Borrower’s books,
accounts and records.

 

5.7 Compliance
with Laws. Comply with all laws (including Environmental Laws), rules, regulations applicable to, and all orders and directives of
any governmental or regulatory authority having jurisdiction over, Borrower or Borrower’s business, and with all material agreements
to which Borrower is a party, except where the failure to so comply would not have a Material Adverse Effect.

 

5.8 Taxes
and Other Liabilities. Pay all taxes and other governmental or regulatory assessments before delinquency or before any penalty attaches
thereto, except as may be contested in good faith by the appropriate procedures and for which Borrower shall maintain appropriate reserves;
and timely file all required tax returns (subject to any applicable extensions).

 

5.9 Special
Collateral Covenants.

 

(a) Maintenance
of Collateral; Inspection. Do all things reasonably necessary to maintain, preserve, protect and keep all Collateral in good working
order and saleable condition, ordinary wear and tear excepted, and use the Collateral lawfully and, to the extent applicable, as permitted
by Borrower’s insurance policies, subject to Transfers permitted by Section 6.5. Maintain, or cause to be maintained, complete and
accurate Records, in all material respects, relating to the Collateral. Upon reasonable prior written notice at reasonable times during
normal business hours, Borrower hereby authorizes Lenders’ officers, employees, representatives and agents to inspect the Collateral
and to discuss the Collateral and the Records relating thereto with Borrower’s officers and employees, and, in the case of any Right
to Payment, after consultation with Borrower, with any Person which is or may be obligated thereon.

 

(b) Documents of Title.
Not sign or authorize the signing of any financing statement or other document naming Borrower as debtor or obligor or acquiesce or cooperate
in the issuance of any bill of lading, warehouse receipt or other document or instrument of title with respect to any Collateral, except
those negotiated to Lenders, or those naming Agent as secured party, or if solely to create, perfect or maintain a Permitted Lien.

 

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(c) Change in Location
or Name. Without at least 30 days’ prior written notice to Lenders: (a) not relocate any Collateral or Records, its chief executive
office, or establish a place of business at a location other than as specified in the Supplement (unless such location contains Collateral
with a fair market value of less than $100,000); and (b) not change its name, mailing address, location of Collateral (unless such location
contains Collateral with a fair market value of less than $100,000), jurisdiction of incorporation or its legal structure.

 

(d) Agreement with Persons
in Possession of Collateral. Use its commercially reasonable efforts to obtain and maintain such acknowledgments, consents, waivers
and agreements (each a “Waiver”) from the owner, operator, licensor, lienholder, mortgagee, landlord or any
Person in possession of tangible Collateral in excess of $100,000 per location as Lenders may require, all in form and substance reasonably
satisfactory to Lenders. In addition, Lenders shall have the right to require Borrower to use its commercially reasonable efforts to provide
Agent with a Waiver for any Collateral that is located in a jurisdiction that provides for statutory landlord’s Liens and for any
location at which the Person in possession of such Collateral has a Lien thereon. Notwithstanding anything to the contrary in this Section
5.9(e), Borrower and Lender acknowledge and agree that all material Intellectual Property and Records that are maintained on items of
Collateral for which Borrower is unable to provide a Waiver also shall be maintained or backed up in a manner sufficient that Agent shall
be able to have access to such Intellectual Property and Records in accordance with the exercise of Agent’s rights hereunder.

 

(e) Certain Agreements
on Rights to Payment. Other than in the ordinary course of business, not make any material discount, credit, rebate or other reduction
in the original amount owing on a Right to Payment or accept in satisfaction of a Right to Payment less than the original amount thereof.

 

5.10
Authorization for Automated Clearinghouse Funds Transfer. (i) Authorize each Lender to initiate debit entries to Borrower’s
Primary Operating Account, specified in the Supplement hereto, through Automated Clearinghouse (“ACH”) transfers,
in order to satisfy the regularly scheduled payments of principal and interest; (ii) provide each Lender at least thirty (30) days’
notice of any change in Borrower’s Primary Operating Account; and (iii) grant each Lender any additional authorizations necessary
to begin ACH debits from a new account which becomes the Primary Operating Account.

 

5.11 Anti-Corruption
Laws. Provide true, accurate and complete information, in all material respects, in all product orders, reimbursement requests and
other communications relating to Borrower and its products.

 

5.12 Qualified
SPAC. In connection with any Qualified SPAC, Borrower shall provide any documents that Agent or Lenders may reasonably request to
maintain Agent’s security interest in the Collateral in accordance with Section 2.10.

 

ARTICLE 6 - NEGATIVE COVENANTS

 

During the term of this Agreement
and until the performance of all Obligations (other than inchoate indemnity obligations), Borrower and its Subsidiaries will not:

 

6.1 Indebtedness.
Be indebted for borrowed money, the deferred purchase price of property, or leases which would be capitalized in accordance with GAAP;
or become liable as a surety, guarantor, accommodation party or otherwise for or upon the obligation of any other Person, except:

 

(a) Indebtedness
incurred for the acquisition of supplies, inventory or other property or services on normal trade credit;

 

(b) Indebtedness
incurred pursuant to one or more transactions permitted under Section 6.4;

 

(c) Indebtedness
of Borrower under this Agreement;

 

(d) Subordinated
Debt;

 

(e) any
Indebtedness approved by Lenders prior to the Closing Date as shown on Schedule 6.1;

 

(f) Indebtedness
secured by a lien described in clause (c) of the defined term “Permitted Liens” not to exceed $100,000 in aggregate principal
amount outstanding at any time;

 

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(g) Indebtedness
incurred under corporate credit cards not to exceed $100,000 in aggregate principal amount outstanding at any time;

 

(h) guaranties
and similar surety obligations in respect of Indebtedness otherwise constituting Permitted Indebtedness; and

 

(i) extensions,
refinancings, modifications, amendments and restatement of any items of Indebtedness (a) through (h) above, provided that the principal
amount thereof is not increased or the terms thereof are not modified to impose more burdensome terms upon Borrower or any of its Subsidiaries,
as the case may be.

 

6.2 Liens.
Create, incur, assume or permit to exist any Lien, or grant any other Person a negative pledge, on any of Borrower’s property, except
Permitted Liens and any negative pledge in respect of any asset subject to a Lien permitted by clause (c) of the definition of Permitted
Liens. Borrower, Lenders and Agent agree that this covenant is not intended to constitute a lien, deed of trust, equitable mortgage, or
security interest of any kind on any of Borrower’s real property, and this Agreement shall not be recorded or recordable. Notwithstanding
the foregoing, however, violation of this covenant by Borrower shall constitute an Event of Default.

 

6.3 Dividends.
Pay any dividends or purchase, redeem or otherwise acquire or make any other distribution with respect to any of Borrower’s capital
stock, except (a) dividends or other distributions solely of capital stock of Borrower, (b) so long as no Event of Default has occurred
and is continuing, repurchases of stock from employees or contractors upon termination of employment or services under reverse vesting
or similar repurchase plans not to exceed $100,000 in any calendar year, (c) the conversion of Borrower’s convertible securities
into other securities pursuant to the terms of such convertible securities or otherwise in exchange thereof and (d) the purchase, redemption
or other acquisition of shares of Borrower’s capital stock with the proceeds received from a substantially concurrent issue of new
shares of its capital stock.

 

6.4 Fundamental
Changes. (a) Liquidate or dissolve; (b) enter into, or permit any of Borrower’s Subsidiaries to enter into, any Change of Control;
or (c) except as otherwise permitted under Section 6.6, acquire, or permit any of Borrower’s Subsidiaries to acquire, all or substantially
all of the capital stock or property of another Person, in each case, without the consent of the Lenders. Notwithstanding anything to
the contrary in this Section 6.4, Borrower may enter into a transaction that will constitute a Change of Control so long as: (i) the Person
that results from such Change of Control (the “Surviving Entity”) shall have executed and delivered to Lenders
an agreement in form and substance reasonably satisfactory to each Lender, containing an assumption by the Surviving Entity of the due
and punctual payment and performance of all Obligations and performance and observance of each covenant and condition of Borrower in the
Loan Documents; (ii) all such obligations of the Surviving Entity to Lenders shall be guaranteed by any Person that directly or indirectly
owns or controls 50% or more of the voting stock of the Surviving Entity; (iii) immediately after giving effect to such Change of Control,
no Event of Default or, event which with the lapse of time or giving of notice or both, would result in an Event of Default shall have
occurred and be continuing; and (iv) the credit risk to Lenders, in its sole discretion, with respect to the Obligations and the Collateral
shall not be increased. In determining whether the proposed Change of Control would result in an increased credit risk, each Lender may
consider, among other things, changes in Borrower’s management team, access to equity markets, financial position and/or disposition
of intellectual property rights which are contemplated as a result of the Change of Control. In addition, (i) a Subsidiary may merge or
consolidate into another Subsidiary and (ii) Borrower may consolidate or merge with any of Borrower’s Subsidiaries provided that
Borrower is the continuing or surviving Person.

 

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6.5 Sales
of Assets. Sell, transfer, lease, license or otherwise dispose of (a “Transfer”) any of Borrower’s
assets except (i) non-exclusive licenses of Intellectual Property in the ordinary course of business consistent with industry practice,
provided that such licenses of Intellectual Property neither result in a legal transfer of title of the licensed Intellectual Property
nor have the same effect as a sale of such Intellectual Property; (ii) Transfers of worn-out, obsolete or surplus property (each as determined
by Borrower in its reasonable judgment); (iii) Transfers of Inventory in the ordinary course of business; (iv) Transfers constituting
Permitted Liens; (v) Transfers permitted in Section 6.3, 6.4, 6.6 or 6.7 hereunder; (vi) Transfers of assets (other than Intellectual
Property) for fair consideration and in the ordinary course of its business; (vii) the exclusive license of the BackBeat CNT product with
a multinational corporation with an established business in the field of cardiac rhythm management and (viii) other exclusive licenses
of Intellectual Property in the ordinary course of business and consistent with the Model so long as (a) no Event of Default has occurred
and is continuing, (b) no such license shall be entered into with an Affiliate of the Borrower (other than one of its wholly owned Subsidiaries
that have complied with Section 6.14(a)), (c) each such license is the product of an “arms’ length” dealing, (d) the
Borrower has determined in its reasonable business judgement (in consultation with, but without the consent of, the Agent) that such licenses
are on commercially reasonable terms and conditions that are fair and reasonable to the Borrower or its applicable Subsidiary, (e) such
licenses are not for below fair market value (as reasonably determined in good faith by the Borrower) and (f) such licenses are approved
by the Board of Directors of the Borrower.

 

6.6 Loans/Investments.
Make or suffer to exist any loans, guaranties, advances, or investments (“Investments”) by Borrower or its Subsidiaries,
except:

 

(a) accounts
receivable in the ordinary course of Borrower’s business;

 

(b) Investments
in domestic certificates of deposit issued by, and other domestic investments with, financial institutions organized under the laws of
the United States or a state thereof, having at least One Hundred Million Dollars ($100,000,000) in capital and a rating of at least “investment
grade” or “A” by Moody’s or any successor rating agency;

 

(c) Investments
in marketable obligations of the United States of America and in open market commercial paper given the highest credit rating by a national
credit agency and maturing not more than one year from the creation thereof;

 

(d) temporary
advances to employees to cover incidental expenses to be incurred in the ordinary course of business not to exceed $10,000 in the aggregate
outstanding at any time;

 

(e) Investments
in joint ventures, strategic alliances, licensing and similar arrangements customary in Borrower’s industry and which do not require
Borrower to assume or otherwise become liable for the obligations of any third party not directly related to or arising out of such arrangement
or, without the prior written consent of Agent and each Lender, require Borrower to transfer ownership of non-cash assets to such joint
venture or other entity;

 

(f) Investments
in one or more wholly-owned domestic Subsidiaries of Borrower, so long as in accordance with Section 6.14(a) of this Agreement, each such
Person has been made a co-borrower hereunder by executing and delivery a Joinder Agreement or has executed and delivered to Lenders an
agreement, in form and substance reasonably satisfactory to Required Lenders, containing a guaranty of the Obligations;

 

(g) Investments
approved by Lenders in existence on the Closing Date as shown on Schedule 6.6;

 

(h) Investments
accepted in connection with Transfers permitted by Section 6.5;

 

(i) non-cash
loans approved by Borrower’s Board of Directors to employees, officers or directors relating to the purchase of equity securities
of Borrower pursuant to employee stock purchase plans or agreements approved by Borrower’s Board of Directors, limited to an aggregate
total of $250,000 at any time outstanding;

 

(j) Investments
(including debt obligations) received in connection with the bankruptcy or reorganization of customers or suppliers and in settlement
of delinquent obligations of, and other disputes with, customers or suppliers arising in the ordinary course of Borrower’s business;

 

(k) Investments
permitted under Section 6.11;

 

(l) Investments
consisting of notes receivable of, or prepaid royalties and other credit extensions to, customers and suppliers in the ordinary course
of business;

 

(m) Investments
in cash and, subject to compliance with Section 6.11, deposit accounts and securities accounts; and

 

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(n) so
long as no Event of Default has occurred and is continuing, other Investments in the ordinary course of business or contemplated in the
Model not to exceed an aggregate amount of $5,000,000 at any time outstanding; provided, however, any Subsidiary formed or acquired
in connection with this clause (n) shall be subject to Section 6.14(a).

 

6.7 Transactions
with Related Persons. Directly or indirectly enter into any transaction with or for the benefit of a Related Person on terms more
favorable to the Related Person than would have been obtainable in an “arms’ length” dealing, except (a) sales of equity
securities by Borrower and incurrence of Subordinated Debt for capital raising purposes and (b) Permitted Investments.

 

6.8 Other
Business. Engage in any material line of business other than the business Borrower conducts as of the Closing Date and any business
substantially similar or related or incidental thereto.

 

6.9 Financing
Statements and Other Actions. Fail to execute and deliver to Agent all financing statements, notices and other documents (including,
without limitation, any filings with the United States Patent and Trademark Office and the United States Copyright Office) from time to
time reasonably requested by Agent in writing to maintain a perfected first priority security interest in the Collateral in favor of Agent,
subject to Permitted Liens; perform such other acts, and execute and deliver to Agent such additional conveyances, assignments, agreements
and instruments, as Agent may at any time reasonably request in writing in connection with the administration and enforcement of this
Agreement or Agent’s rights, powers and remedies hereunder.

 

6.10 Compliance. Become
required to be registered as an “investment company” or controlled by an “investment company,” within the meaning
of the Investment Company Act of 1940, or become principally engaged in, or undertake as one of its important activities, the business
of extending credit for the purpose of purchasing or carrying margin stock, or use the proceeds of any Loan for such purpose. Fail to
meet the minimum funding requirements of ERISA, permit a Reportable Event or Prohibited Transaction, as defined in ERISA, to occur, fail
to comply with the Federal Fair Labor Standards Act or violate any law or regulation, which violation could reasonably be expected to
have a Material Adverse Effect or a material adverse effect on the Collateral or the priority of Agent’s Lien on the Collateral,
or permit any of its subsidiaries to do any of the foregoing.

 

6.11 Other Deposit and
Securities Accounts. Maintain any Deposit Accounts or accounts holding securities owned by Borrower except (i) Deposit Accounts and
investment/securities accounts as set forth in the Supplement and (ii) other Deposit Accounts and securities/investment accounts, in each
case, with respect to which Borrower and Agent shall have taken such action as Agent reasonably deems necessary to obtain a perfected
first priority security interest therein, subject to Permitted Liens; provided that after the date hereof, any deposit account control
agreements and securities account control agreements shall be required to be delivered within fifteen (15) days of the date any such Deposit
Account or securities account is established or acquired. The provisions of the previous sentence shall not apply to Deposit Accounts
exclusively used for payroll, payroll taxes and other employee wage and benefit payments to or for the benefit of Borrower’s employees
and identified to Lenders and Agent as such.

 

6.12 Prepayment
of Indebtedness. Prepay, redeem or otherwise satisfy in any manner prior to the scheduled repayment thereof any Indebtedness (other
than the Loans and Indebtedness permitted by Section 6.1 hereof). Notwithstanding the foregoing, Lenders agree that the conversion or
exchange into Borrower’s equity securities of any Indebtedness (other than the Loan) shall not be prohibited by this Section 6.12.

 

6.13 Repayment
of Subordinated Debt. Repay, prepay, redeem or otherwise satisfy in any manner any Subordinated Debt, except in accordance with the
terms of any subordination agreement among Borrower, Agent and the holder(s) of such Subordinated Debt. Notwithstanding the foregoing,
each Lender agrees that the conversion or exchange into Borrower’s equity securities of any Subordinated Debt and the payment of
cash in lieu of fractional shares shall not be prohibited by this Section 6.13.

 

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6.14 Subsidiaries.

 

(a) Acquire
or create any Subsidiary, unless such Subsidiary becomes, at Lender’s option, either a co-borrower hereunder by executing and delivery
a Joinder Agreement or executes and delivers to Agent one or more agreements, in form and substance reasonably satisfactory to Required
Lenders, containing a guaranty of the Obligations that is secured by first priority Liens on such Person’s assets, subject to Permitted
Liens. For clarity, the parties acknowledge and agree that Required Lenders shall have the exclusive right to determine whether any such
Person will be made a co-borrower hereunder or a guarantor of the Obligations. Prior to the acquisition or creation of any such Subsidiary,
Borrower shall notify Lenders thereof in writing, which notice shall contain the jurisdiction of such Person’s formation and include
a description of such Person’s fully diluted capitalization and Borrower’s purpose for its acquisition or creation of such
Subsidiary.

 

(b) Sell,
transfer, encumber or otherwise dispose of Borrower’s ownership interest in any Subsidiary other than Permitted Liens or except
as permitted by Section 6.5.

 

(c) Cause
or permit a Subsidiary to do any of the following: (i) grant Liens on such Subsidiary’s assets, except for Liens that would constitute
Permitted Liens if incurred by Borrower; provided, that with respect to any Lien securing Indebtedness incurred for the purpose
of financing the acquisition of any property, (x) such Lien attaches solely to the property acquired with such Indebtedness and (y) the
principal amount of such Indebtedness does not exceed one hundred percent (100%) of the cost of such property; and (ii) issue any additional
Shares, except to Borrower or a wholly owned Subsidiary of Borrower.

 

6.15 Leases.
Create, incur, assume, or suffer to exist any obligation as lessee for the rental or hire of any personal property (“Personal
Property Leases”), except for Personal Property Leases of Equipment in the ordinary course of business that do not in the aggregate
require Borrower to make payments (including taxes, insurance, maintenance and similar expenses which Borrower is required to pay under
the terms of any such lease) in any calendar year in excess of $100,000 in the aggregate. For the avoidance of doubt, this Section 6.15
will not be applicable to Indebtedness otherwise permitted under Section 6.1(f) of this Agreement.

 

6.16 Anti-Corruption
Laws. 

 

(a) Take
any action that would cause a violation of any anti-corruption law, including but not limited to, the Foreign Corrupt Practices Act, the
United Kingdom Bribery Act, and all other applicable anti-corruption laws.

 

(b) Directly
or indirectly, offer, pay, give, promise or authorize the payment of any money, gift, or anything of value to any person acting in an
official capacity for any government department, agency, or instrumentality, including state-owned or controlled companies or entities,
and public international organizations, as well as a political party or official thereof or candidates for political office, except in
compliance with applicable law.

 

ARTICLE 7 - EVENTS OF DEFAULT

 

7.1 Events
of Default; Acceleration. Upon the occurrence and during the continuation of any Event of Default, the obligation of each Lender to
make any additional Loan shall be suspended. Upon the occurrence and continuation of any of the following (each, an “Event
of Default”), (1) the Agent shall, at the direction of the Required Lenders make all sums of Basic Interest and principal,
as well as any other Obligations and amounts owing under any Loan Documents, immediately due and payable without notice of default, presentment
or demand for payment, protest or notice of nonpayment or dishonor or any other notices or demands, and (2) Agent, at the direction of
the Required Lenders, shall have the right to exercise any other right or remedy provided by contract or applicable law:

 

(a) Borrower
shall fail to pay any principal or interest under this Agreement or any Note, or fail to pay any fees or other charges when due under
any Loan Document, and such failure continues for three (3) Business Days or more after the same first becomes due; or an Event of Default
as defined in any other Loan Document shall have occurred.

 

(b) Any
representation or warranty made, or financial statement, certificate or other document provided, by Borrower under any Loan Document shall
prove to have been false or misleading in any material respect when made or deemed made herein.

 

(c) (i)
Borrower shall fail to pay its debts generally as they become due; or (ii) Borrower shall commence any Insolvency Proceeding with respect
to itself, an involuntary Insolvency Proceeding shall be filed against Borrower, or a custodian, receiver, trustee, assignee for the benefit
of creditors, or other similar official, shall be appointed to take possession, custody or control of the properties of Borrower, and
such involuntary Insolvency Proceeding, petition or appointment is acquiesced to by Borrower or is not dismissed within forty five (45)
days; or (iii) the dissolution, winding up, or termination of the business or cessation of operations of Borrower (including any transaction
or series of related transactions deemed to be a liquidation, dissolution or winding up of Borrower pursuant to the provisions of Borrower’s
charter documents); or (iv) Borrower shall take any corporate action for the purpose of effecting, approving, or consenting to any of
the foregoing.

 

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(d) Borrower
shall be in default beyond any applicable period of grace or cure under any other agreement involving the borrowing of money, the purchase
of property, the advance of credit or other Indebtedness to Lenders or to any Person in an amount in excess of $100,000.

 

(e) Any
governmental or regulatory authority shall take any judicial or administrative action, or any defined benefit pension plan maintained
by Borrower shall have any unfunded liabilities, any of which, in the reasonable judgment of Lenders, would reasonably be expected to
have a Material Adverse Effect.

 

(f) Any
sale, transfer or other disposition of all or a substantial or material part of the assets of Borrower, including without limitation to
any trust or similar entity, shall occur, other than in connection with any Qualified Public Offering or transaction permitted under Section
6.4.

 

(g) Any
judgment(s) singly or in the aggregate in excess of $200,000 (not covered by independent third party insurance as to which liability has
been unconditionally accepted by such insurance carrier) shall be entered against Borrower which remain unsatisfied, unvacated or unstayed
pending appeal for ten (10) or more days after entry thereof.

 

(h) Borrower
shall fail to perform or observe any covenant contained in Article 6 of this Agreement.

 

(i) Borrower
shall fail to perform or observe any covenant contained in Article 5 or elsewhere in this Agreement or any other Loan Document (other
than a covenant which is dealt with specifically elsewhere in this Article 7) and, if capable of being cured, the breach of such covenant
is not cured within 30 days after the sooner to occur of Borrower’s receipt of notice of such breach from Agent or any Lender or
the date on which such breach first becomes known to any officer of Borrower (the “Notice Date”); provided,
however that if such breach is not capable of being cured within such 30-day period and Borrower timely notifies Agent or any Lender
of such fact and Borrower diligently pursues such cure, then the cure period shall be extended to the date requested in Borrower’s
notice but in no event more than 90 days from the Notice Date; provided, further, that such additional 90-day opportunity
to cure shall not apply in the case of any failure to perform or observe any covenant which has been the subject of a prior failure within
the preceding 180 days or which is a willful and knowing breach by Borrower.

 

(j) Borrower
shall fail to perform the post-closing covenants contained in Part 2, Section 8(ii) and (iii) of the Supplement.

 

7.2 Remedies
upon Default. Upon the occurrence and during the continuance of an Event of Default, Agent and Lenders shall be entitled to, at its
option, exercise any or all of the rights and remedies available to a secured party under the UCC or any other applicable law, and exercise
any or all of its rights and remedies provided for in this Agreement and in any other Loan Document. The obligations of Borrower under
this Agreement shall continue to be effective or be reinstated, as the case may be, if at any time any payment of any Obligations is rescinded
or must otherwise be returned by any Lender or Agent upon, on account of, or in connection with, the insolvency, bankruptcy or reorganization
of Borrower or otherwise, all as though such payment had not been made.

 

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7.3 Sale
of Collateral. Upon the occurrence and during the continuance of an Event of Default, Agent may, at the direction of Required Lenders,
sell all or any part of the Collateral at public or private sales, to the Lenders or a designee of Lenders itself, a wholesaler, retailer
or investor, for cash, upon credit or for future delivery, and at such price or prices as Required Lenders may deem commercially reasonable.
To the extent permitted by law, Borrower hereby specifically waives all rights of redemption and any rights of stay or appraisal which
it has or may have under any applicable law in effect from time to time. Any such public or private sales shall be held at such times
and at such place(s) as Required Lenders may determine. In case of the sale of all or any part of the Collateral on credit or for future
delivery, the Collateral so sold may be retained by Agent until the selling price is paid by the purchaser, but neither Agent nor any
Lender shall incur any liability in case of the failure of such purchaser to pay for the Collateral and, in case of any such failure,
such Collateral may be resold. Agent may, at the direction of Required Lenders, instead of exercising its power of sale, proceed to enforce
its security interest in the Collateral by seeking a judgment or decree of a court of competent jurisdiction. Without limiting the generality
of the foregoing, if an Event of Default is in existence in each case, at the direction of Required Lenders:

 

(1) Subject
to the rights of any third parties, Agent may license, or sublicense, whether general, special or otherwise, and whether on an exclusive
or non-exclusive basis, any Copyrights, Patents or Trademarks included in the Collateral throughout the world for such term or terms,
on such conditions and in such manner as Required Lenders shall in their sole discretion determine;

 

(2) Agent
may (without assuming any obligations or liability thereunder), at any time and from time to time, enforce (and shall have the exclusive
right to enforce) against any licensee or sublicensee all rights and remedies of Borrower in, to and under any Copyright Licenses, Patent
Licenses or Trademark Licenses and take or refrain from taking any action under any thereof, and Borrower hereby releases Agent and each
Lender from, and agrees to hold Agent and each Lender free and harmless from and against any claims arising out of, any lawful action
so taken or omitted to be taken with respect thereto other than, with respect to Agent or any Lender claims arising out of the gross negligence
or willful misconduct of Agent or such Lender, respectively; and

 

(3) Upon
request by Agent, Borrower will execute and deliver to Agent a power of attorney, in form and substance reasonably satisfactory to Agent
for the implementation of any lease, assignment, license, sublicense, grant of option, sale or other disposition of a Copyright, Patent
or Trademark. In the event of any such disposition pursuant to this clause 3, Borrower shall supply its know-how and expertise
relating to the products or services made or rendered in connection with Patents, the manufacture and sale of the products bearing Trademarks,
and its customer lists and other records relating to such Copyrights, Patents or Trademarks and to the distribution of said products,
to Agent.

 

(4) If,
at any time when Required Lenders shall determine to exercise its right to sell the whole or any part of the Shares hereunder, such Shares
or the part thereof to be sold shall not, for any reason whatsoever, be effectively registered under the Securities Act (or any similar
statute), then Agent may, at the direction of Required Lenders in their sole discretion (subject only to applicable requirements of law),
sell such Shares or part thereof by private sale in such manner and under such circumstances as Required Lenders may deem necessary or
advisable, but subject to the other requirements of this Article 7, and shall not be required to effect such registration or to
cause the same to be effected. Without limiting the generality of the foregoing, in any such event, Agent may, at the direction of Required
Lenders in their discretion may (i) in accordance with applicable securities laws proceed to make such private sale notwithstanding that
a registration statement for the purpose of registering such Shares or part thereof could be or shall have been filed under the Securities
Act (or similar statute), (ii) approach and negotiate with a single possible purchaser to effect such sale, and (iii) restrict such sale
to a purchaser who is an accredited investor under the Securities Act and who will represent and agree that such purchaser is purchasing
for its own account, for investment and not with a view to the distribution or sale of such Shares or any part thereof. In addition to
a private sale as provided above in this Article 7, if any of the Shares shall not be freely distributable to the public without
registration under the Securities Act (or similar statute) at the time of any proposed sale pursuant to this Article 7, then Agent
shall not be required to effect such registration or cause the same to be effected but, in its discretion (subject only to applicable
requirements of law), may require that any sale hereunder (including a sale at auction) be conducted subject to restrictions:

 

(A) as to the
financial sophistication and ability of any Person permitted to bid or purchase at any such sale;

 

(B) as to the
content of legends to be placed upon any certificates representing the Shares sold in such sale, including restrictions on future transfer
thereof;

 

(C) as to the
representations required to be made by each Person bidding or purchasing at such sale relating to such Person’s access to financial
information about Borrower or any of its Subsidiaries and such Person’s intentions as to the holding of the Shares so sold for investment
for its own account and not with a view to the distribution thereof; and

 

(D) as to such
other matters as Agent may, in its discretion, deem necessary or appropriate in order that such sale (notwithstanding any failure so to
register) may be effected in compliance with the Bankruptcy Code and other laws affecting the enforcement of creditors’ rights and
the Securities Act and all applicable state securities laws.

 

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(5) Borrower
recognizes that Agent may be unable to effect a public sale of any or all the Shares and may be compelled to resort to one or more private
sales thereof in accordance with clause (4) above. Borrower also acknowledges that any such private sale may result in prices and
other terms less favorable to the seller than if such sale were a public sale and, notwithstanding such circumstances, agrees that any
such private sale shall not be deemed to have been made in a commercially unreasonable manner solely by virtue of such sale being private.
Agent shall be under no obligation to delay a sale of any of the Shares for the period of time necessary to permit the applicable Subsidiary
to register such securities for public sale under the Securities Act, or under applicable state securities laws, even if Borrower and/or
the Subsidiary would agree to do so.

 

7.4 Borrower’s
Obligations upon Default. Upon the written request of Agent, at the direction of Required Lenders, after the occurrence and during
the continuance of an Event of Default, Borrower will:

 

(a) Assemble
and make available to Agent the Collateral at such place(s) as Agent shall reasonably designate, segregating all Collateral so that each
item is capable of identification; and

 

(b) Subject
to the rights of any lessor, permit Agent, by Agent’s officers, employees, agents and representatives, to enter any premises where
any Collateral is located, to take possession of the Collateral, to complete the processing, manufacture or repair of any Collateral,
and to remove the Collateral, as applicable, or to conduct any public or private sale of the Collateral, all without any liability of
Agent or any Lender for rent or other compensation for the use of Borrower’s premises.

 

ARTICLE 8 - SPECIAL COLLATERAL PROVISIONS

 

8.1 Compromise
and Collection. Borrower and Agent recognize that setoffs, counterclaims, defenses and other claims may be asserted by obligors with
respect to certain of the Rights to Payment; that certain of the Rights to Payment may be or become uncollectible in whole or in part;
and that the expense and probability of success of litigating a disputed Right to Payment may exceed the amount that reasonably may be
expected to be recovered with respect to such Right to Payment. Borrower hereby authorizes Agent, after and during the continuance of
an Event of Default, to compromise with the obligor, accept in full payment of any Right to Payment such amount as Agent shall negotiate
with the obligor, or abandon any Right to Payment. Any such action by Agent shall be considered commercially reasonable so long as Required
Lenders act in good faith based on information known to them at the time Agent takes any such action.

 

8.2 Performance
of Borrower’s Obligations. Without having any obligation to do so, upon reasonable prior notice to Borrower, Agent, at the direction
of Required Lenders may perform or pay any obligation which Borrower has agreed to perform or pay under this Agreement, including, without
limitation, the payment or discharge of taxes or Liens levied or placed on or threatened against the Collateral. In so performing or paying,
Lenders shall determine the action to be taken and the amount necessary to discharge such obligations. Borrower shall reimburse Agent
on demand for any amounts paid by Agent or any pursuant to this Section, whereupon, Agent shall promptly deliver to Lenders such payments,
which amounts shall constitute Obligations secured by the Collateral and shall bear interest from the date of demand at the Default Rate.

 

8.3 Power
of Attorney. For the purpose of protecting and preserving the Collateral and Agent’s and Lenders’ rights under this Agreement,
Borrower hereby irrevocably appoints Agent, with full power of substitution, as its attorney-in-fact with full power and authority, after
the occurrence and during the continuance of an Event of Default, to do any act which Borrower is obligated to do hereunder; as directed
by Required Lenders to exercise such rights with respect to the Collateral as Borrower might exercise, as directed by Required Lenders;
to use such Inventory, Equipment, Fixtures or other property as Borrower might use; to enter Borrower’s premises; to give notice
of Agent’s security interest in, and to collect the Collateral, as directed by Required Lenders; and before or after Default, to
execute and file in Borrower’s name any financing statements, amendments and continuation statements, account control agreements
or other Security Documents necessary or desirable to create, maintain, perfect or continue the perfection of Agent’s security interests
in the Collateral. Borrower hereby ratifies all that Agent shall lawfully do or cause to be done by virtue of this appointment.

 

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8.4 Authorization
for Agent to Take Certain Action. The power of attorney created in Section 8.3 is a power coupled with an interest and shall be irrevocable.
The powers conferred on Agent hereunder are solely to protect its interests in the Collateral and shall not impose any duty upon Agent
to exercise such powers. Agent shall be accountable only for amounts that it actually receives as a result of the exercise of such powers
and in no event shall Agent or any of its directors, officers, employees, agents or representatives be responsible to Borrower for any
act or failure to act, except for gross negligence or willful misconduct. After the occurrence and during the continuance of an Event
of Default, Agent may exercise this power of attorney without notice to or assent of Borrower, in the name of Borrower, or in Agent’s
own name, from time to time in Agent’s sole discretion and at Borrower’s expense. To further carry out the terms of this Agreement,
after the occurrence and during the continuance of an Event of Default, Agent, at the direction of Required Lenders, may:

 

(a) Execute
any statements or documents or take possession of, and endorse and collect and receive delivery or payment of, any checks, drafts, notes,
acceptances or other instruments and documents constituting Collateral, or constituting the payment of amounts due and to become due or
any performance to be rendered with respect to the Collateral.

 

(b) Sign
and endorse any invoices, freight or express bills, bills of lading, storage or warehouse receipts; drafts, certificates and statements
under any commercial or standby letter of credit relating to Collateral; assignments, verifications and notices in connection with Accounts;
or any other documents relating to the Collateral, including without limitation the Records.

 

(c) Use
or operate Collateral or any other property of Borrower for the purpose of preserving or liquidating Collateral.

 

(d) File
any claim or take any other action or proceeding in any court of law or equity or as otherwise deemed appropriate by Agent for the purpose
of collecting any and all monies due or securing any performance to be rendered with respect to the Collateral.

 

(e) Commence,
prosecute or defend any suits, actions or proceedings or as otherwise deemed appropriate by Agent for the purpose of protecting or collecting
the Collateral. In furtherance of this right, upon the occurrence and during the continuance of an Event of Default, Agent may apply for
the appointment of a receiver or similar official to operate Borrower’s business.

 

(f) Prepare,
adjust, execute, deliver and receive payment under insurance claims, and collect and receive payment of and endorse any instrument in
payment of loss or returned premiums or any other insurance refund or return, and apply such amounts at Agent’s sole discretion,
toward repayment of the Obligations or replacement of the Collateral.

 

8.5 Application
of Proceeds. If an Event of Default has occurred and is continuing, any Proceeds and other monies or property received by Agent pursuant
to the terms of this Agreement or any Loan Document may be applied by Agent first to the payment of expenses of collection, including
without limitation reasonable and documented out-of-pocket attorneys’ fees, and then to the payment of the Obligations in direct
order application as Agent may elect.

 

8.6 Deficiency.
If the Proceeds of any disposition of the Collateral made by the Agent pursuant to the terms of this Agreement are insufficient to cover
all costs and expenses of such sale and the payment in full of all the Obligations, plus all other sums required to be expended or distributed
by Agent or any Lender, then Borrower shall be liable for any such deficiency.

 

8.7 Agent
Transfer. Upon the transfer of all or any part of the Obligations in accordance with the terms of this Agreement and the Loan Documents,
Agent may transfer all or part of the Collateral and shall be fully discharged thereafter from all liability and responsibility with respect
to such Collateral so transferred, and the transferee shall be vested with all the rights and powers of Agent hereunder with respect to
such Collateral so transferred, but with respect to any Collateral not so transferred, Agent shall retain all rights and powers hereby
given.

 

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8.8 Agent’s
Duties.

 

(a) Agent shall use reasonable care
in the custody and preservation of any Collateral in its possession. Without limitation on other conduct which may be considered the
exercise of reasonable care, Agent shall be deemed to have exercised reasonable care in the custody and preservation of such Collateral
if such Collateral is accorded treatment substantially equal to that which Agent accords its own property, it being understood that Agent
shall not have any responsibility for ascertaining or taking action with respect to calls, conversions, exchanges, maturities, declining
value, tenders or other matters relative to any Collateral, regardless of whether Agent has or is deemed to have knowledge of such matters;
or taking any necessary steps to preserve any rights against any Person with respect to any Collateral. Under no circumstances shall
Agent be responsible for any injury or loss to the Collateral or any part thereof, arising from any cause beyond the reasonable control
of Agent. Notwithstanding the foregoing, Agent shall take reasonable care to preserve the Intellectual Property constituting Collateral
in accordance with the confidentiality provisions of Section 9.13 and in a manner substantially equal to that which Agent accords its
own property.

 

(b) Agent
may at any time deliver the Collateral or any part thereof to Borrower and the receipt of Borrower shall be a complete and full acquittance
for the Collateral so delivered, and Agent shall thereafter be discharged from any liability or responsibility therefor.

 

(c) Neither
Agent, nor any of its directors, officers, employees, agents, attorneys or any other person affiliated with or representing Agent shall
be liable for any claims, demands, losses or damages, of any kind whatsoever, made, claimed, incurred or suffered by Borrower or any other
party through the ordinary negligence of Agent, or any of its directors, officers, employees, agents, attorneys or any other person affiliated
with or representing Agent.

 

8.9 Termination
of Security Interests and Loan Documents. Upon the payment in full of the Obligations (other than inchoate indemnity obligations)
and satisfaction of all Borrower’s obligations under this Agreement and the other Loan Documents, and if Lenders have no further
obligations under its Commitment, the security interest granted hereby shall terminate, all rights to the Collateral shall revert to Borrower
and this Agreement and the other Loan Documents shall terminate; provided that (i) those obligations, liabilities, covenants and terms
that are expressly specified herein and in any other Loan Document as surviving that respective agreement’s termination, including
without limitation, Borrower’s indemnity obligations set forth in this Agreement, shall continue to survive notwithstanding anything
to the contrary set forth herein, and (ii) nothing set forth herein shall affect or be deemed to affect those obligations, liabilities,
covenants and terms set forth in any warrant instrument issued to a Lenders’ parent company or set forth in any other equity securities
or convertible debt securities of Borrower acquired by Lenders in connection with this Agreement. Upon any such termination, Agent shall
return all Collateral in its possession or control to Borrower and, at Borrower’s expense, execute and deliver to Borrower such
documents as Borrower shall reasonably request to evidence such termination. In connection therewith, Borrower agrees to provide each
Lender with such information as may be reasonably requested in writing by such Lender as to whether the securities issuable upon the exercise
of any Warrant issued in connection with this Agreement constitute “qualified small business stock” for purposes of Section
1202(c) of the Internal Revenue Code.

 

ARTICLE 9 - GENERAL PROVISIONS

 

9.1 Notices.
Any notice given by any party under any Loan Document shall be in writing and personally delivered, sent by overnight courier, or United
States mail, postage prepaid, or sent by facsimile, or other authenticated message, charges prepaid, to the other party’s or parties’
addresses shown on the Perfection Certificate. Each party may change the address or facsimile number to which notices, requests and other
communications are to be sent by giving written notice of such change to each other party. Notice given by hand delivery shall be deemed
received on the date delivered; if sent by overnight courier, on the next Business Day after delivery to the courier service; if by first
class mail, on the third Business Day after deposit in the U.S. Mail; and if by facsimile, on the date of transmission.

 

9.2 Binding
Effect. The Loan Documents shall be binding upon and inure to the benefit of Borrower, Lenders, and Agent and their respective successors
and assigns; provided, however, that Borrower may not assign or transfer Borrower’s rights or obligations under any Loan Document.
Each Lender reserves the right to sell, assign, transfer, negotiate or grant participations in all or any part of, or any interest in,
such Lender’s rights and obligations under the Loan Documents provided that, (i) so long as no Event of Default has occurred and
is continuing, no Lender shall assign any of such rights or obligations to any person that is not a bank or financial institutional without
the prior written consent of the Borrower, not to be unreasonably withheld or delayed and (ii) in no event shall any Lender assign its
rights and obligations to the Warrant to any person to any person that is not a bank or financial institutional without the prior written
consent of the Borrower, not to be unreasonably withheld or delayed. Notwithstanding the foregoing, any Lender may sell, assign, transfer,
negotiate or grant participations in all or any part of, or any interest in, such Lender’s rights and obligations under the Loan
Documents or the Warrant to any other Lender or any Affiliate of a Lender. In connection with any of the foregoing, Lenders and Agent
may disclose all documents and information which Lenders and Agent now or hereafter may have relating to the Loans, Borrower, or its business,
provided that any Person who receives such information shall have agreed in writing in advance to maintain the confidentiality of such
information on terms no less favorable to Borrower than are set forth in Section 9.13 hereof.

 

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9.3 No
Waiver. Any waiver, consent or approval by Agent and Lenders of any Event of Default or breach of any provision, condition, or covenant
of any Loan Document must be in writing and shall be effective only to the extent set forth in writing. No waiver of any breach or default
shall be deemed a waiver of any later breach or default of the same or any other provision of any Loan Document. No failure or delay on
the part of Agent or any Lender in exercising any power, right, or privilege under any Loan Document shall operate as a waiver thereof,
and no single or partial exercise of any such power, right, or privilege shall preclude any further exercise thereof or the exercise of
any other power, right or privilege. Agent and each Lender has the right at its sole option to continue to accept interest and/or principal
payments due under the Loan Documents after default, and such acceptance shall not constitute a waiver of said default or an extension
of the maturity of any Loan unless Agent agrees otherwise in writing.

 

9.4 Rights
Cumulative. All rights and remedies existing under the Loan Documents are cumulative to, and not exclusive of, any other rights or
remedies available under contract or applicable law.

 

9.5 Unenforceable
Provisions. Any provision of any Loan Document executed by Borrower which is prohibited or unenforceable in any jurisdiction, shall
be so only as to such jurisdiction and only to the extent of such prohibition or unenforceability, but all the remaining provisions of
any such Loan Document shall remain valid and enforceable.

 

9.6 Accounting
Terms. Except as otherwise provided in this Agreement, accounting terms and financial covenants and information shall be determined
and prepared in accordance with GAAP.

 

9.7 Indemnification;
Exculpation. Borrower shall pay and protect, defend and indemnify each Lender, Agent and each Lender’s and Agent’s employees,
officers, directors, shareholders, affiliates, correspondents, agents and representatives (other than Lenders and Agent, collectively
“Representatives”) against, and hold each Lender, Agent and each such Representative harmless from, all claims,
actions, proceedings and reasonable and documented liabilities, damages, losses, expenses (including, without limitation, reasonable and
documented attorneys’ fees and costs; provided that unless an Event of Default has occurred, such attorneys fees and costs shall
be limited to one counsel to all indemnitees taken as a whole and, if reasonably necessary, a single local counsel for all indemnitees
taken as a whole in each relevant jurisdiction that is material to the interest of such indemnitees and, solely in the case of an actual
or perceived conflict of interest between indemnitees (where the indemnitee affected by such conflict of interest informs the Borrower
in writing of such conflict of interest), one additional counsel in each relevant jurisdiction to each group of affected indemnitees similarly
situated taken as a whole) and other amounts incurred by each Lender, Agent and each such Representative, arising from (i) the matters
contemplated by this Agreement or any other Loan Documents, (ii) any dispute between Borrower and a third party, or (iii) any contention
that Borrower has failed to comply with any law, rule, regulation, order or directive applicable to Borrower’s business; provided,
however, that this indemnification shall not apply to any of the foregoing to the extent incurred as the result of any Lender’s,
Agent’s, or any Representative’s gross negligence or willful misconduct. This indemnification shall survive the payment and
satisfaction of all of Borrower’s Obligations to Lenders.

 

9.8 Reimbursement.
Borrower shall reimburse each Lender and Agent for all reasonable and documented costs and expenses, including without limitation reasonable
and documented attorneys’ fees and disbursements expended or incurred by each Lender and Agent in any arbitration, mediation, judicial
reference, legal action or otherwise in connection with (a) the preparation and negotiation of the Loan Documents, (b) the amendment and
enforcement of the Loan Documents, including without limitation during any workout, attempted workout, and/or in connection with the rendering
of legal advice as to each Lender’s and Agent’s rights, remedies and obligations under the Loan Documents, (c) collecting
any sum which becomes due to each Lender under any Loan Document, (d) any proceeding for declaratory relief, any counterclaim to any proceeding,
or any appeal, or (e) the protection, preservation or enforcement of any rights of Lenders or Agent under the Loan Documents. For the
purposes of this section, attorneys’ fees shall include, without limitation, fees incurred in connection with the following: (1)
contempt proceedings; (2) discovery; (3) any motion, proceeding or other activity of any kind in connection with an Insolvency Proceeding;
(4) garnishment, levy, and debtor and third party examinations; and (5) post judgment motions and proceedings of any kind, including without
limitation any activity taken to collect or enforce any judgment; provided however, unless an Event of Default has occurred, attorneys
fees and costs shall be limited to one counsel to all indemnitees taken as a whole and, if reasonably necessary, a single local counsel
for all indemnitees taken as a whole in each relevant jurisdiction that is material to the interest of such indemnitees and, solely in
the case of an actual or perceived conflict of interest between indemnitees (where the indemnitee affected by such conflict of interest
informs the Borrower in writing of such conflict of interest), one additional counsel in each relevant jurisdiction to each group of affected
indemnitees similarly situated taken as a whole). All of the foregoing costs and expenses shall be payable upon demand by any Lender or
Agent, and if not paid within forty-five (45) days of presentation of invoices shall bear interest at the Default Rate.

 

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9.9 Execution
in Counterparts; Electronic Signatures. This Agreement and the other Loan Documents may be executed in any number of counterparts,
each of which shall be deemed an original, but all of which together shall constitute one and the same agreement. This Agreement and each
of the other Loan Documents may be executed by electronic signatures. Borrower, Lenders and Agent expressly agree to conduct the transactions
contemplated by this Agreement and the other Loan Documents by electronic means (including, without limitation, with respect to the execution,
delivery, storage and transfer of this Agreement and each of the other Loan Documents by electronic means and to the enforceability of
electronic Loan Documents). Delivery of an executed signature page to this Agreement and each of the other Loan Documents by facsimile
or other electronic mail transmission (including pdf or any electronic signature complying with the U.S. federal ESIGN Act of 2000, e.g.,
www.docusign.com) shall be effective as delivery of a manually executed counterpart hereof and thereof, as applicable. The words “execution,”
“signed,” “signature” and words of like import herein shall be deemed to include electronic signatures or the
keeping of records in electronic form, each of which shall be of the same legal effect, validity and enforceability as a manually executed
signature or the use of a paper-based recordkeeping systems, as the case may be, to the extent and as provided for in any applicable law,
including, without limitation, any state law based on the Uniform Electronic Transactions Act.

 

9.10 Entire
Agreement. The Loan Documents are intended by the parties as the final expression of their agreement and therefore contain the entire
agreement between the parties and supersede all prior understandings or agreements concerning the subject matter hereof. This Agreement
may be amended only in a writing signed by Borrower, each Lender and Agent.

 

9.11 Governing
Law and Jurisdiction.

 

(a) THIS
AGREEMENT AND THE LOAN DOCUMENTS SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE INTERNAL LAWS OF THE STATE OF NEW YORK.

 

(b) ANY
LEGAL ACTION OR PROCEEDING WITH RESPECT TO THIS AGREEMENT OR ANY OTHER LOAN DOCUMENT MAY BE BROUGHT IN THE COURTS OF THE STATE OF NEW
YORK OR OF THE UNITED STATES FOR THE NORTHERN DISTRICT OF NEW YORK, AND BY EXECUTION AND DELIVERY OF THIS AGREEMENT, EACH OF BORROWER,
LENDER AND AGENT CONSENTS, FOR ITSELF AND IN RESPECT OF ITS PROPERTY, TO THE NON-EXCLUSIVE JURISDICTION OF THOSE COURTS. EACH OF BORROWER,
LENDER AND AGENT IRREVOCABLY WAIVES ANY OBJECTION, INCLUDING ANY OBJECTION TO THE LAYING OF VENUE OR BASED ON THE GROUNDS OF FORUM NON
CONVENIENS, WHICH IT MAY NOW OR HEREAFTER HAVE TO THE BRINGING OF ANY ACTION OR PROCEEDING IN SUCH JURISDICTION IN RESPECT OF THIS AGREEMENT
OR ANY DOCUMENT RELATED HERETO. BORROWER, LENDER AND AGENT EACH WAIVE PERSONAL SERVICE OF ANY SUMMONS, COMPLAINT OR OTHER PROCESS, WHICH
MAY BE MADE BY ANY OTHER MEANS PERMITTED BY NEW YORK LAW.

 

9.12 Waiver
of Jury Trial. TO THE EXTENT NOT PROHIBITED BY APPLICABLE LAW, BORROWER, LENDER AND AGENT EACH WAIVES ITS RESPECTIVE RIGHTS TO A TRIAL
BY JURY OF ANY CLAIM OR CAUSE OF ACTION BASED UPON OR ARISING OUT OF OR RELATED TO THIS AGREEMENT, THE OTHER LOAN DOCUMENTS, OR THE TRANSACTIONS
CONTEMPLATED HEREBY OR THEREBY, IN ANY ACTION, PROCEEDING OR OTHER LITIGATION OF ANY TYPE BROUGHT BY ANY OF THE PARTIES AGAINST ANY OTHER
PARTY OR ANY PARTICIPANT OR ASSIGNEE, WHETHER WITH RESPECT TO CONTRACT CLAIMS, TORT CLAIMS, OR OTHERWISE. BORROWER, LENDER AND AGENT EACH
AGREES THAT ANY SUCH CLAIM OR CAUSE OF ACTION SHALL BE TRIED BY A COURT TRIAL WITHOUT A JURY. WITHOUT LIMITING THE FOREGOING, THE PARTIES
FURTHER AGREE THAT THEIR RESPECTIVE RIGHT TO A TRIAL BY JURY IS WAIVED BY OPERATION OF THIS SECTION AS TO ANY ACTION, COUNTERCLAIM OR
OTHER PROCEEDING WHICH SEEMS, IN WHOLE OR IN PART, TO CHALLENGE THE VALIDITY OR ENFORCEABILITY OF THIS AGREEMENT OR THE OTHER LOAN DOCUMENTS
OR ANY PROVISION HEREOF OR THEREOF. THIS WAIVER SHALL APPLY TO ANY SUBSEQUENT AMENDMENTS, RENEWALS, SUPPLEMENTS OR MODIFICATIONS TO THIS
AGREEMENT AND THE OTHER LOAN DOCUMENTS.

 

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9.13  Confidentiality.
Agent and each Lender agrees to hold in confidence all confidential information that it receives from Borrower pursuant to the Loan Documents,
except for disclosure as shall be reasonably required: (a) to legal counsel and accountants for each Lender and Agent (so long as such
recipients agree to hold such information confidential on terms substantially similar to this Section 9.13); (b) to other professional
advisors to each Lender and Agent (so long as such recipients agree to hold such information confidential on terms substantially similar
to this Section 9.13); (c) to regulatory officials having jurisdiction over each Lender and Agent to the extent required by law; provided
that (except to the extent prohibited by law) the Agent or the applicable Lender shall give the Borrower prompt written notice thereof;
(d) to each Lender’s and Agent’s investors and prospective investors (subject to the same confidentiality obligation set forth
herein), and in Lender’s and Agent’s SEC filings as required by law; (e) as required by law or legal process or in connection
with any legal proceeding to which Lenders, Agent and Borrower are adverse parties; (f) in connection with a disposition or proposed disposition
of any or all of each Lender’s rights hereunder to any assignee or participant (subject to the same confidentiality obligation set
forth herein); (g) to each Lender’s and Agent’s subsidiaries or Affiliates in connection with their business with Borrower
(subject to the same confidentiality obligation set forth herein); (h) as required by valid order of a court of competent jurisdiction,
administrative agency or governmental body, or by any applicable law, rule, regulation, subpoena, or any other administrative or legal
process, or by applicable regulatory or professional standards, including in connection with any judicial or other proceeding involving
any Lender or Agent relating to this Agreement and the transactions contemplated hereby; and (i) as required in connection with each Lender’s
and Agent’s examination or audit. For purposes of this section, any Lender or Agent and Borrower agree that “confidential
information” shall mean any information regarding or relating to Borrower other than: (i) information which is or becomes generally
available to the public other than as result of a disclosure by such Lender or Agent in violation of this section, (ii) information which
becomes available to any Lender or Agent from any other source (other than Borrower or any of its Affiliates) which such Lender or Agent
does not know is bound by a confidentiality agreement with respect to the information made available, and (iii) information that such
Lender or Agent knows on a non-confidential basis prior to Borrower disclosing it to such Lender or Agent. In addition, Borrower agrees
that such Lender or Agent may use Borrower’s name, logo and/or trademark in connection with certain promotional materials that such
Lender or Agent may disseminate to the public, including, but are not limited to, brochures, internet website, press releases and any
other materials relating to the fact that such Lender or Agent has a financing relationship with Borrower.

 

ARTICLE 10 - AGENCY

 

10.1 Appointment.
Each Lender hereby irrevocably appoints Avenue Venture Opportunities Fund, L.P. to act on its behalf as the administrative agent hereunder
and under the other Loan Documents and authorizes the Agent to take such actions on its behalf and to exercise such powers as are delegated
to the Agent by the terms hereof or thereof, together with such actions and powers as are reasonably incidental thereto.

 

10.2 Indemnity.
Each Lender agrees to indemnify the Agent in its capacity as such (to the extent not reimbursed by Borrower and without limiting the obligation
of Borrower to do so), according to its respective commitment percentage in effect on the date on which indemnification is sought under
this Section 10.2, from and against any and all liabilities, obligations, losses, damages, penalties, actions, judgments, suits, costs,
expenses or disbursements of any kind whatsoever that may at any time be imposed on, incurred by or asserted against the Agent in any
way relating to or arising out of, this Agreement, the Supplement, any of the other Loan Documents or any documents contemplated by or
referred to herein or therein or the transactions contemplated hereby or thereby or any action taken or omitted by the Agent under or
in connection with any of the foregoing. The agreements in this Section shall survive the payment of each Loan and all other amounts payable
hereunder. Agent shall not be liable for any action taken or not taken by it (i) with the consent or at the request of any Lender or as
Agent shall believe in good faith shall be necessary, under the circumstances or (ii) in the absence of its own gross negligence or willful
misconduct.

 

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10.3 Agent
in Its Individual Capacity.  The Person serving as the Agent hereunder shall have the same rights and powers in its capacity as a
Lender as any other Lender and may exercise the same as though it were not the Agent and the term “Lender” shall, unless otherwise
expressly indicated or unless the context otherwise requires, include each such Person serving as Agent hereunder in its individual capacity.

 

10.4 Exculpatory Provisions.
The Agent shall have no duties or obligations except those expressly set forth herein and in the other Loan Documents. Without limiting
the generality of the foregoing, the Agent shall not:

 

		(a)	be subject to any fiduciary or other implied duties, regardless of whether any default or any Event of
Default has occurred and is continuing;

 

		(b)	have any duty to take any discretionary action or exercise any discretionary powers, except discretionary
rights and powers expressly contemplated hereby or by the other Loan Documents that Agent is required to exercise as directed in writing
by both Lenders, provided that the Agent shall not be required to take any action that, in its opinion or the opinion of its counsel,
may expose the Agent to liability or that is contrary to any Loan Document or applicable law; and

 

		(c)	except as expressly set forth herein and in the other Loan Documents, have any duty to disclose, and the
Agent shall not be liable for the failure to disclose, any information relating to the Borrowers or any of its Affiliates that is communicated
to or obtained by any Person serving as Agent or any of its Affiliates in any capacity.

 

10.5 Duties.
Agent shall not be responsible for or have any duty to ascertain or inquire into (i) any statement, warranty or representation made in
or in connection with this Agreement or any other Loan Document, (ii) the contents of any certificate, report or other document delivered
hereunder or thereunder or in connection herewith or therewith, (iii) the performance or observance of any of the covenants, agreements
or other terms or conditions set forth herein or therein or the occurrence of any default or Event of Default, (iv) the validity, enforceability,
effectiveness or genuineness of this Agreement, any other Loan Document or any other agreement, instrument or document or (v) the satisfaction
of any condition set forth in Article 4 or elsewhere herein, other than to confirm receipt of items expressly required to be delivered
to the Agent.

 

10.6 Reliance
by Agent. Agent may rely, and shall be fully protected in acting, or refraining to act, upon, any resolution, statement, certificate,
instrument, opinion, report, notice, request, consent, order, bond or other paper or document that it has no reason to believe to be other
than genuine and to have been signed or presented by the proper party or parties or, in the case of cables, telecopies and telexes, to
have been sent by the proper party or parties. In the absence of its gross negligence or willful misconduct, Agent may conclusively rely,
as to the truth of the statements and the correctness of the opinions expressed therein, upon any certificates or opinions furnished to
Agent and conforming to the requirements of the Loan Agreement or any of the other Loan Documents. Agent may consult with counsel, and
any opinion or legal advice of such counsel shall be full and complete authorization and protection in respect of any action taken, not
taken or suffered by Agent hereunder or under any Loan Documents in accordance therewith. Agent shall have the right at any time to seek
instructions concerning the administration of the Collateral from any court of competent jurisdiction. Agent shall not be under any obligation
to exercise any of the rights or powers granted to Agent by this Agreement, the Supplement and the other Loan Documents at the request
or direction of Lenders unless Agent shall have been provided by Lenders with adequate security and indemnity against the costs, expenses
and liabilities that may be incurred by it in compliance with such request or direction.

 

10.6 Collateral
Agent. The Agent shall also act as the “collateral agent” under the Loan Documents, and each of the Lenders hereby irrevocably
appoints and authorizes the Agent to act as the agent of such Lender for purposes of acquiring, holding and enforcing any and all Liens
on Collateral granted by Borrower to secure any of the Obligations. Each Lender hereby authorizes Agent, on behalf of and for the ratable
benefit of Lenders, in its capacity as collateral agent, to enter into any of the Loan Documents as secured party for purposes of acquiring,
holding and enforcing all Liens on Collateral (and any other collateral from time to time securing the Obligations), and as Agent for
and representative of Lender thereunder, and each Lender agrees to be bound by the terms of each such document. All powers, rights and
remedies under the Loan Documents may be exercised solely by Agent for the benefit of Lenders and Agent in accordance with the terms thereof.
In the event of a foreclosure on any of the Collateral pursuant to a public or private sale, either Agent or any Lender may be the purchaser
of any or all of such Collateral at any such sale and Agent, as agent for and representative of Lenders (but not any Lender or Lenders
in its or their respective individual capacities unless Required Lenders shall otherwise agree in writing) shall be entitled (subject
to the proviso at the end of this sentence), for the purpose of bidding and making settlement or payment of the purchase price for all
or any portion of the Collateral sold at any such public sale, to use and apply any of the Obligations as a credit on account of the purchase
price for any Collateral payable by Agent at such sale; provided however, that neither Agent nor any Lender shall “credit bid”
at any foreclosure and/or other public or private sale absent the consent of the Required Lenders. Without limiting the generality of
the foregoing, Agent is hereby expressly authorized to execute any and all documents (including releases) that bind Lenders with respect
to (i) the Collateral and the rights of Lenders with respect thereto, as contemplated by and in accordance with the provisions of the
Loan Documents, and (ii) any other subordination agreement with respect to any Subordinated Debt.

 

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10.7 Successor
Agents. Agent may resign upon thirty (30) days’ notice to the Lenders and Borrowers. If Agent shall resign in its capacity under
this Agreement and the other Loan Documents, then the Required Lenders shall (with the prior written consent of the Borrower (not to be
unreasonably withheld, conditioned or delayed) unless an Event of Default has occurred and is continuing) appoint a successor agent, whereupon
such successor agent shall succeed to the rights, powers and duties of Agent in its capacity, and the term “Agent” shall mean
such successor agent effective upon such appointment and approval, and the former Agent’s rights, powers and duties as Agent in
its capacity shall be terminated, without any other or further act or deed on the part of such former Agent or any of the parties to this
Agreement or any Lender. If no applicable successor agent has accepted appointment as such Agent in its capacity by the date that is twenty
(20) days following such retiring Agent’s notice of resignation, such retiring Agent’s resignation shall nevertheless thereupon
become effective and the Lenders shall assume and perform all of the duties of such Agent hereunder until such time, if any, as the Required
Lenders (with the prior written consent of the Borrower (not to be unreasonably withheld, conditioned or delayed) unless an Event of Default
has occurred and is continuing) appoint a successor agent as provided for above. After any retiring Agent’s resignation as Agent,
the provisions of this Section 10 shall inure to its benefit as to any actions taken or omitted to be taken by it while it was an Agent
under this Agreement and the other Loan Documents.

 

ARTICLE 11 - DEFINITIONS

 

The definitions appearing
in this Agreement or the Supplement shall be applicable to both the singular and plural forms of the defined terms:

 

“Account” means any
“account,” as such term is defined in the UCC, now owned or hereafter acquired by Borrower or in which Borrower now holds
or hereafter acquires any interest and, in any event, shall include, without limitation, all accounts receivable, book debts and other
forms of obligations (other than forms of obligations evidenced by Chattel Paper, Documents or Instruments) now owned or hereafter received
or acquired by or belonging or owing to Borrower (including, without limitation, under any trade name, style or division thereof) whether
arising out of goods sold or services rendered by Borrower or from any other transaction, whether or not the same involves the sale of
goods or services by Borrower (including, without limitation, any such obligation that may be characterized as an account or contract
right under the UCC) and all of Borrower’s rights in, to and under all purchase orders or receipts now owned or hereafter acquired
by it for goods or services, and all of Borrower’s rights to any goods represented by any of the foregoing (including, without limitation,
unpaid seller’s rights of rescission, replevin, reclamation and stoppage in transit and rights to returned, reclaimed or repossessed
goods), and all monies due or to become due to Borrower under all purchase orders and contracts for the sale of goods or the performance
of services or both by Borrower or in connection with any other transaction (whether or not yet earned by performance on the part of Borrower),
now in existence or hereafter occurring, including, without limitation, the right to receive the proceeds of said purchase orders and
contracts, and all collateral security and guarantees of any kind given by any Person with respect to any of the foregoing.

 

“Affiliate” means any
Person which directly or indirectly controls, is controlled by, or is under common control with Borrower. “Control,” “controlled
by” and “under common control with” mean direct or indirect possession of the power to direct or cause the direction
of management or policies (whether through ownership of voting securities, by contract or otherwise); provided, that control shall be
conclusively presumed when any Person or affiliated group directly or indirectly owns ten percent (10%) or more of the securities having
ordinary voting power for the election of directors of a corporation.

 

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“Agreement” means this
Loan and Security Agreement and the Supplement thereto, as each may be amended or supplemented from time to time.

 

“Bankruptcy Code” means
the Federal Bankruptcy Reform Act of 1978 (11 U.S.C. §101, et seq.), as amended.

 

“Basic Interest” means
the rate of interest payable on the outstanding balance of each Loan at the applicable Designated Rate.

 

“Borrowing Date” means
the Business Day on which the proceeds of a Loan are disbursed by any Lender.

 

“Borrowing Request”
means a written request from Borrower in substantially the form of Exhibit “B” to the Supplement, requesting the funding
of one or more Loans on a particular Borrowing Date.

 

“Business Day” means
any day other than a Saturday, Sunday or other day on which commercial banks in New York City or San Francisco are authorized or required
by law to close.

 

“Change of Control”
means (a) any sale, license, or other disposition of all or substantially all of the assets of Borrower; (b) any reorganization, consolidation,
merger or other transaction involving Borrower; or (c) any transaction or series of related transactions in which any Person or two or
more Persons acting in concert (other than the holders of the equity interests of the Borrower on the Closing Date) shall have acquired
the power to control the management of Borrower, or to control the equity interests of Borrower entitled to vote for members of the Board
of Directors or equivalent governing body of Borrower on a fully-diluted basis (and taking into account all such securities that such
Person or Persons have the right to acquire pursuant to any option right) representing 50% or more of the combined voting power of such
securities (other than in connection with a Qualified Public Offering or a sale to recognized venture capital investors in a transaction
or series of transactions effected by Borrower for financing purposes, so long as Borrower identifies to Agent the venture capital investors
prior to the closing of the transaction and provides Agent with a description of the material terms of such transaction).

 

“Chattel Paper” means
any “chattel paper,” as such term is defined in the UCC, now owned or hereafter acquired by Borrower or in which Borrower
now holds or hereafter acquires any interest.

 

“Closing Date” means
the date of this Agreement.

 

“Collateral” means all
of Borrower’s right, title and interest in and to the following property, whether now owned or hereafter acquired and wherever located:
(a) all Receivables; (b) all Equipment; (c) all Fixtures; (d) all General Intangibles; (e) all Investment Property; (f) all Deposit Accounts;
(g) all Shares; (h) Inventory; (i) all Intellectual Property; (j) all other Goods and personal property of Borrower, whether tangible
or intangible and whether now or hereafter owned or existing, leased, consigned by or to, or acquired by, Borrower and wherever located;
(k) all Records; and (l) all Proceeds of each of the foregoing and all accessions to, substitutions and replacements for, and rents, profits
and products of each of the foregoing.

 

Notwithstanding the foregoing, the term “Collateral”
shall not include: (i) “intent-to-use” trademarks at all times prior to the filing and acceptance of a “Statement of
Use” pursuant to Section 1(d) of the Lanham Act or an “Amendment to Allege Use” pursuant to Section 1(c) of the Lanham
Act with respect thereto, (ii) any asset in which Borrower has any right, title or interest if and to the extent (x) such asset is subject
to a provision containing a restriction on assignment such that the creation of a security interest in the right, title or interest of
Borrower therein would be prohibited and would, in and of itself, cause or result in a default thereunder enabling another person to enforce
any remedy with respect thereto or (y) the creation of a security interest therein is prohibited by or in violation of any applicable
law; provided, however, that the foregoing exclusion shall not apply if (A) such prohibition has been waived or such other person
has otherwise consented to the creation hereunder of a security interest in such asset, or (B) such prohibition would be rendered ineffective
pursuant to Sections 9-407(a) or 9-408(a) of the UCC, as applicable and as then in effect in any relevant jurisdiction, or any other applicable
law (including the Bankruptcy Code or principles of equity); provided, further, that immediately upon the ineffectiveness, lapse
or termination of any such provision, the term “Collateral” shall include, and Borrower shall be deemed to have granted a
security interest in, all its rights, title and interests in and to such asset as if such provision had never been in effect; and provided,
further, that the foregoing exclusion shall in no way be construed so as to limit, impair or otherwise affect Agent’s unconditional
continuing security interest in and to all rights, title and interests of Borrower in or to any payment obligations or other rights to
receive monies due or to become due under any such asset and in any such monies and other proceeds of such asset and (iii) any asset with
respect to which the Agent has determined in its sole discretion that the cost of obtaining, perfecting or maintaining a security interest
or pledge shall be excessive in view of the value of such asset and/or the benefits to be obtained by the Agent and the Lenders therefrom.

 

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“Commitment” means the
obligation of each Lender to make Loans to Borrower up to the aggregate principal amount set forth in the Supplement.

 

“Copyright License” means
any written agreement granting any right to use any Copyright or Copyright registration now owned or hereafter acquired by Borrower or
in which Borrower now holds or hereafter acquires any interest.

 

“Copyrights” means all
of the following now owned or hereafter acquired by Borrower or in which Borrower now holds or hereafter acquires any interest: (i) all
copyrights, whether registered or unregistered, held pursuant to the laws of the United States, any State thereof or of any other country;
(ii) all registrations, applications and recordings in the United States Copyright Office or in any similar office or agency of the United
States, any State thereof or any other country; (iii) all continuations, renewals or extensions thereof; and (iv) any registrations to
be issued under any pending applications.

 

“Default” means an event
which with the giving of notice, passage of time, or both would constitute an Event of Default.

 

“Default Rate” means
the applicable Designated Rate plus five percent (5%) per annum.

 

“Deposit Accounts” means
any “deposit accounts,” as such term is defined in the UCC, now owned or hereafter acquired by Borrower or in which Borrower
now holds or hereafter acquires any interest.

 

“Designated Rate” means
the rate of interest per annum described in the Supplement as being applicable to an outstanding Loan from time to time.

 

“Disqualified Equity Interests”
means any capital stock that, by its terms (or by the terms of any security or other capital stock into which it is convertible or
for which it is exchangeable), or upon the happening of any event or condition, (i) matures or is mandatorily redeemable (other than solely
for capital stock that does not constitute Disqualified Equity Interests), pursuant to a sinking fund obligation or otherwise (except
as a result of a change of control or asset sale, as long as any rights of the holders thereof upon the occurrence of a change of control
or asset sale event is subject to the prior repayment in full of the Loans and all other Obligations that are accrued and payable and
the termination of the Commitments); (ii) is redeemable at the option of the holder thereof (other than solely for capital stock that
does not constitute Disqualified Equity Interests), in whole or in part; (iii) provides for the scheduled payments of dividends that are
required to be made only in cash; or (d) is or becomes convertible into or exchangeable for Indebtedness or any other capital stock that
would constitute Disqualified Equity Interests; in each case, prior to the maturity date of the Loans at the time of issuance; provided
that if such capital stock is issued pursuant to a plan for the benefit of one or more employees, officers or directors of the Borrower
or by any such plan to one or more such Persons, such capital stock shall not constitute Disqualified Equity Interests solely because
they may be required to be repurchased by the Borrower in order to satisfy applicable statutory or regulatory obligations or as a result
of a such Person’s termination, death or disability.

 

“Documents” means any
“documents,” as such term is defined in the UCC, now owned or hereafter acquired by Borrower or in which Borrower now holds
or hereafter acquires any interest.

 

“Dollars” or “$”
means lawful currency of the United States.

 

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“Environmental Laws”
means all federal, state or local laws, statutes, common law duties, rules, regulations, ordinances and codes, together with all administrative
orders, directed duties, requests, licenses, authorizations and permits of, and agreements with, any governmental authorities, in each
case relating to environmental, health, or safety matters.

 

“Equipment” means any
“equipment,” as such term is defined in the UCC, now owned or hereafter acquired by Borrower or in which Borrower now holds
or hereafter acquires any interest and any and all additions, substitutions and replacements of any of the foregoing, wherever located,
together with all attachments, components, parts, equipment and accessories installed thereon or affixed thereto.

 

“Event of Default” means
any event described in Section 7.1.

 

“Fixtures” means any
“fixtures,” as such term is defined in the UCC, now owned or hereafter acquired by Borrower or in which Borrower now holds
or hereafter acquires any interest.

 

“GAAP” means generally
accepted accounting principles and practices consistent with those principles and practices promulgated or adopted by the Financial Accounting
Standards Board and the Board of the American Institute of Certified Public Accountants, their respective predecessors and successors.
Each accounting term used but not otherwise expressly defined herein shall have the meaning given it by GAAP.

 

“General Intangibles”
means any “general intangibles,” as such term is defined in the UCC, now owned or hereafter acquired by Borrower or in which
Borrower now holds or hereafter acquires any interest and, in any event, shall include, without limitation, all right, title and interest
that Borrower may now or hereafter have in or under any contract, all customer lists, Copyrights, Trademarks, Patents, websites, domain
names, and all applications therefor and reissues, extensions, or renewals thereof, other items of, and rights to, Intellectual Property,
interests in partnerships, joint ventures and other business associations, Licenses, permits, trade secrets, proprietary or confidential
information, inventions (whether or not patented or patentable), technical information, procedures, designs, knowledge, know-how, software,
data bases, data, skill, expertise, recipes, experience, processes, models, drawings, materials and records, goodwill (including, without
limitation, the goodwill associated with any Trademark, Trademark registration or Trademark licensed under any Trademark License), claims
in or under insurance policies, including unearned premiums, uncertificated securities, money, cash or cash equivalents, deposit, checking
and other bank accounts, rights to sue for past, present and future infringement of Copyrights, Trademarks and Patents, rights to receive
tax refunds and other payments and rights of indemnification.

 

“Goods” means any “goods,”
as such term is defined in the UCC, now owned or hereafter acquired by Borrower or in which Borrower now holds or hereafter acquires any
interest.

 

“Indebtedness” of any
Person means at any date, without duplication and without regard to whether matured or unmatured, absolute or contingent: (i) all obligations
of such Person for borrowed money; (ii) all obligations of such Person evidenced by bonds, debentures, notes, or other similar instruments;
(iii) all obligations of such Person to pay the deferred purchase price of property or services, except trade accounts payable arising
in the ordinary course of business; (iv) all obligations of such Person as lessee under capital leases; (v) all obligations of such Person
to reimburse or prepay any bank or other Person in respect of amounts paid under a letter of credit, banker’s acceptance, or similar
instrument, whether drawn or undrawn; (vi) all obligations of such Person to purchase securities which arise out of or in connection
with the sale of the same or substantially similar securities; (vii) any Disqualified Equity Interests issued by such Person; (viii) all
obligations to repurchase assets previously sold (including any obligation to repurchase any accounts or chattel paper under any factoring,
receivables purchase, or similar arrangement); (ix) obligations of such Person under interest rate swap, cap, collar or similar hedging
arrangements; and (x) all obligations of others of any type described in clause (i) through clause (ix) above guaranteed by such
Person.

 

“Insolvency Proceeding”
means with respect to a Person (a) any case, action or proceeding before any court or other governmental authority relating to bankruptcy,
reorganization, insolvency, liquidation, receivership, dissolution, winding-up or relief of debtors with respect to such Person, or (b)
any general assignment for the benefit of creditors, composition, marshalling of assets for creditors, or other, similar arrangement in
respect of such Person’s creditors generally or any substantial portion of its creditors, undertaken under U.S. Federal, state or
foreign law, including the Bankruptcy Code, but in each case, excluding any avoidance or similar action against such Person commenced
by an assignee for the benefit of creditors, bankruptcy trustee, debtor in possession, or other representative of another Person or such
other Person’s estate.

 

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“Instruments” means
any “instrument,” as such term is defined in the UCC, now owned or hereafter acquired by Borrower or in which Borrower now
holds or hereafter acquires any interest.

 

“Intellectual Property”
means all of Borrower’s Copyrights, Trademarks, Patents, Licenses, trade secrets, source codes, customer lists, proprietary
or confidential information, inventions (whether or not patented or patentable), technical information, procedures, designs, knowledge,
know-how, software, data bases, skill, expertise, experience, processes, models, drawings, materials, records and goodwill associated
with the foregoing.

 

“Intellectual Property Security Agreement”
means any Intellectual Property Security Agreement executed and delivered by Borrower in favor of Lenders or Agent, as the same may be
amended, restated, amended and restated, supplemented, or otherwise modified from time to time.

 

“Inventory” means any
“inventory,” as such term is defined in the UCC, wherever located, now owned or hereafter acquired by Borrower or in which
Borrower now holds or hereafter acquires any interest, and, in any event, shall include, without limitation, all inventory, goods and
other personal property that are held by or on behalf of Borrower for sale or lease or are furnished or are to be furnished under a contract
of service or that constitute raw materials, work in process or materials used or consumed or to be used or consumed in Borrower’s
business, or the processing, packaging, promotion, delivery or shipping of the same, and all finished goods, whether or not the same is
in transit or in the constructive, actual or exclusive possession of Borrower or is held by others for Borrower’s account, including,
without limitation, all goods covered by purchase orders and contracts with suppliers and all goods billed and held by suppliers and all
such property that may be in the possession or custody of any carriers, forwarding agents, truckers, warehousemen, vendors, selling agents
or other Persons.

 

“Investment Property” means
any “investment property,” as such term is defined in the UCC, now owned or hereafter acquired by Borrower or in which Borrower
now holds or hereafter acquires any interest.

 

“Joinder Agreement”
means any Joinder Agreement in substantially the form of Exhibit D to the Supplement executed and delivered by a Subsidiary in favor of
Lenders or Agent, as the same may be amended, restated, amended and restated, supplemented, or otherwise modified from time to time.

 

“Letter of Credit Rights”
means any “letter of credit rights,” as such term is defined in the UCC, now owned or hereafter acquired by Borrower or in
which Borrower now holds or hereafter acquires any interest, including any right to payment under any letter of credit.

 

“License” or “Licenses”
means any Copyright License, Patent License, Trademark License or other license of rights or interests now held or hereafter acquired
by Borrower or in which Borrower now holds or hereafter acquires any interest and any renewals or extensions thereof.

 

“Lien” means any mortgage,
deed of trust, pledge, hypothecation, assignment for security, security interest, encumbrance, levy, lien or charge of any kind, whether
voluntarily incurred or arising by operation of law or otherwise, against any property, any conditional sale or other title retention
agreement, any lease in the nature of a security interest, and the filing of any financing statement (other than a precautionary financing
statement with respect to a lease that is not in the nature of a security interest) under the UCC or comparable law of any jurisdiction.

 

“Loan” means an extension
of credit by each Lender under this Agreement.

 

“Loan Documents” means,
individually and collectively, this Loan and Security Agreement, the Supplement, the Notes, any Intellectual Property Security Agreement,
any Joinder Agreement, any other security or pledge agreement(s), any Warrant issued by Borrower in connection with this Agreement, and
all other contracts, instruments, addenda and documents executed in connection with this Agreement or the extensions of credit which are
the subject of this Agreement.

 

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“Material Adverse Effect”
or “Material Adverse Change” means (a) a material adverse change in, or a material adverse effect upon, the
operations, business, properties, or condition (financial or otherwise) of Borrower; (b) a material impairment of the ability of Borrower
to perform under any Loan Document; or (c) a material adverse effect upon the legality, validity, binding effect or enforceability against
Borrower of any Loan Document.

 

“Model” means the Borrower’s
Series D Offering Presentation, dated February 2022, delivered to Agent prior to the Closing Date

 

“Note” means a promissory
note substantially in the form attached to the Supplement as Exhibit “A”, executed by Borrower evidencing the Loan.

 

“Obligations” means
all debts, obligations and liabilities of Borrower to each Lender or Agent now or hereafter made, incurred or created under, pursuant
to or in connection with this Agreement or any other Loan Document (other than the Warrants), whether voluntary or involuntary and however
arising or evidenced, whether direct or acquired by such Lender or Agent by assignment or succession, whether due or not due, absolute
or contingent, liquidated or unliquidated, determined or undetermined, and whether Borrower may be liable individually or jointly, or
whether recovery upon such debt may be or become barred by any statute of limitations or otherwise unenforceable; and all renewals, extensions
and modifications thereof; and all attorneys’ fees and costs incurred by each Lender or Agent in connection with the collection
and enforcement thereof as provided for in any such Loan Document.

 

“Patent License” means
any written agreement granting any right with respect to any invention on which a Patent is in existence now owned or hereafter acquired
by Borrower or in which Borrower now holds or hereafter acquires any interest.

 

“Patents” means all
of the following property now owned or hereafter acquired by Borrower or in which Borrower now holds or hereafter acquires any interest:
(a) all letters patent of, or rights corresponding thereto in, the United States or any other country, all registrations and recordings
thereof, and all applications for letters patent of, or rights corresponding thereto in, the United States or any other country, including,
without limitation, registrations, recordings and applications in the United States Patent and Trademark Office or in any similar office
or agency of the United States, any State thereof or any other country; (b) all reissues, continuations, continuations-in-part or
extensions thereof; (c) all petty patents, divisionals, and patents of addition; and (d) all patents to be issued under any such applications.

 

“Perfection Certificate”
means that certain Perfection Certificate delivered by the Borrower as of the date hereof.

 

“Permitted Lien” means:

 

(a) involuntary
Liens which, in the aggregate, would not have a Material Adverse Effect and which in any event would not exceed, in the aggregate, $100,000;

 

(b) Liens
for current taxes or other governmental or regulatory assessments which are not delinquent, or which are contested in good faith by the
appropriate procedures and for which appropriate reserves are maintained;

 

(c) security
interests on any property held or acquired by Borrower in the ordinary course of business securing Indebtedness incurred or assumed for
the purpose of financing all or any part of the cost of acquiring such property; provided, that such Lien attaches solely to the
property acquired with such Indebtedness (and refinancing Indebtedness in respect thereof, so long as the aggregate principal amount of
such refinancing Indebtedness does not exceed the aggregate principal amount of the Indebtedness which was refinanced) and that the principal
amount of such Indebtedness does not exceed one hundred percent (100%) of the cost of such property;

 

(d) Liens
in favor of Agent;

 

(e) bankers’
liens, rights of setoff and similar Liens incurred on deposits made in the ordinary course of business as long as an account control agreement
(or equivalent) for each account in which such deposits are held in a form acceptable to Agent has been executed and delivered to Agent
to the extent required under Section 6.11;

 

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(f)
materialmen’s, mechanics’, repairmen’s, warehousemen’s, carriers’, landlord’s (subject to Section
5.9(e) hereof), employees’ or other like Liens arising in the ordinary course of business and which are not delinquent for more
than 45 days or are being contested in good faith by appropriate proceedings;

 

(g)
any judgment, attachment or similar Lien, unless the judgment constitutes an Event of Default;

 

(h)
licenses or sublicenses of Intellectual Property in accordance with the terms of Section 6.5 hereof;

 

(i) Liens
securing Subordinated Debt;

 

(j) Liens
which have been approved by Lenders in writing prior to the Closing Date, as shown on Schedule 6.2 hereto;

 

(k) the
interests of licensors under inbound licenses to Borrower;

 

(l) the
interests of sub-lessees under subleases of real property;

 

(m) Liens
to secure payment of workers’ compensation, employment insurance, old-age pensions, social security and other like obligations incurred
in the ordinary course of business (other than Liens imposed by ERISA);

 

(n) deposits
to secure the performance of bids, trade contracts (other than for Indebtedness), leases (other than capital lease obligations), statutory
obligations, surety and appeal bonds, performance bonds and other obligations of a like nature arising as a matter of law and incurred
in the ordinary course of business; and

 

(o) zoning
restrictions, easements, rights of way, restrictions on use of real property and other similar encumbrances incurred in the ordinary course
of business which, in the aggregate, are not substantial in amount and do not materially detract from the value of the property subject
thereto or interfere with the ordinary conduct of the business of the Borrower or any of its Subsidiaries.

 

“Person” means any individual,
sole proprietorship, partnership, joint venture, trust, unincorporated organization, association, corporation, limited liability company,
institution, public benefit corporation, other entity or government (whether federal, state, county, city, municipal, local, foreign,
or otherwise, including any instrumentality, division, agency, body or department thereof).

 

“Proceeds” means “proceeds,”
as such term is defined in the UCC and, in any event, shall include, without limitation, (a) any and all Accounts, Chattel Paper, Instruments,
cash or other forms of money or currency or other proceeds payable to Borrower from time to time in respect of the Collateral, (b) any
and all proceeds of any insurance, indemnity, warranty or guaranty payable to Borrower from time to time with respect to any of the Collateral,
(c) any and all payments (in any form whatsoever) made or due and payable to Borrower from time to time in connection with any requisition,
confiscation, condemnation, seizure or forfeiture of all or any part of the Collateral by any governmental authority (or any Person acting
under color of governmental authority), (d) any claim of Borrower against third parties (i) for past, present or future infringement
of any Copyright, Patent or Patent License or (ii) for past, present or future infringement or dilution of any Trademark or Trademark
License or for injury to the goodwill associated with any Trademark, Trademark registration or Trademark licensed under any Trademark
License and (e) any and all other amounts from time to time paid or payable under or in connection with any of the Collateral.

 

“Qualified Public Offering”
means (i) the closing of a firmly underwritten public offering of Borrower’s common stock with net proceeds received by the Borrower
or (ii) a Qualified SPAC.

 

“Receivables” means
all of Borrower’s Accounts, Instruments, Documents, Chattel Paper, Supporting Obligations, and letters of credit and Letter of Credit
Rights.

 

“Records” means all
Borrower’s computer programs, software, hardware, source codes and data processing information, all written documents, books, invoices,
ledger sheets, financial information and statements, and all other writings concerning Borrower’s business.

 

    31

     

    

 

“Related Person” means
any Affiliate of Borrower, or any officer, employee, director or equity security holder of Borrower or any Affiliate.

 

“Required Lenders” (and
each a “Required Lender”) means, as of any date of determination, Lenders holding at least 51% of the outstanding principal
balance of the total principal amount of Loans then outstanding.

 

“Rights to Payment”
means all Borrower’s accounts, instruments, contract rights, documents, chattel paper and all other rights to payment, including,
without limitation, the Accounts, all negotiable certificates of deposit and all rights to payment under any Patent License, any Trademark
License, or any commercial or standby letter of credit.

 

“Security Documents”
means this Loan and Security Agreement, the Supplement hereto, the Intellectual Property Security Agreement, and any and all account control
agreements, collateral assignments, chattel mortgages, financing statements, amendments to any of the foregoing and other documents from
time to time executed or filed to create, perfect or maintain the perfection of Agent’s Liens on the Collateral.

 

“Shares” means one hundred
percent (100%) of the issued and outstanding capital stock, membership units or other securities owned or held of record by Borrower in
any Subsidiary.

 

“Subordinated Debt”
means Indebtedness (i) approved by Required Lenders in its sole but reasonable discretion; and (ii) where each holder’s right to
payment of such Indebtedness, the priority of any Lien securing the same, and the rights of each holder thereof to enforce remedies against
Borrower following default have been made subordinate to the Liens of Agent and to the prior payment to each Lender of the Obligations,
either (A) pursuant to a written subordination agreement approved by Required Lenders in their sole but reasonable discretion or (B) on
terms otherwise approved by Required Lenders in their sole but reasonable discretion.

 

“Subsidiary” means any
Person a majority of the equity ownership or voting stock of which is directly or indirectly now owned or hereafter acquired by Borrower
or by one or more other Subsidiaries, including, as of the Closing Date, BackBeat Medical, LLC, Caliber Therapeutics, LLC, FreeHold Surgical,
LLC and Accelerated Technologies, LLC.

 

“Supplement” means that
certain supplement to the Loan and Security Agreement, as the same may be amended restated, amended and restated, supplemented, or otherwise
modified from time to time, and any other supplements entered into between Borrower, Agent and each Lender, as the same may be amended,
restated, amended and restated, supplemented, or otherwise modified from time to time.

 

“Supporting Obligations”
means any “supporting obligations,” as such term is defined in the UCC, now owned or hereafter acquired by Borrower or in
which Borrower now holds or hereafter acquires any interest.

 

“Trademark License”
means any written agreement granting any right to use any Trademark or Trademark registration now owned or hereafter acquired by Borrower
or in which Borrower now holds or hereafter acquires any interest.

 

“Trademarks” means all
of the following property now owned or hereafter acquired by Borrower or in which Borrower now holds or hereafter acquires any interest:
(a) all trademarks, tradenames, corporate names, business names, trade styles, service marks, logos, other source or business identifiers,
prints and labels on which any of the foregoing have appeared or appear, designs and general intangibles of like nature, now existing
or hereafter adopted or acquired, all registrations and recordings thereof, and any applications in connection therewith, including, without
limitation, registrations, recordings and applications in the United States Patent and Trademark Office or in any similar office or agency
of the United States, any State thereof or any other country or any political subdivision thereof and (b) reissues, extensions or
renewals thereof.

 

“UCC” means the Uniform
Commercial Code as the same may, from time to time, be in effect in the State of New York; provided, that in the event that, by
reason of mandatory provisions of law, any or all of the attachment, perfection or priority of, or remedies with respect to, Agent’s
Lien on any Collateral is governed by the Uniform Commercial Code as enacted and in effect in a jurisdiction other than the State of New
York, the term “UCC” shall mean the Uniform Commercial Code as enacted and in effect in such other jurisdiction solely for
purposes of the provisions thereof relating to such attachment, perfection, priority or remedies and for purposes of definitions related
to such provisions. Unless otherwise defined herein, terms that are defined in the UCC and used herein shall have the meanings given to
them in the UCC.

 

“Warrant” or “Warrants”
has the meaning specified in the Supplement.

 

[Signature page follows]

 

    32

     

    

 

[Signature page to Loan and Security Agreement]

 

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

 

	BORROWER:	 
	 	 
	ORCHESTRA BIOMED, INC.	 
	 	 
	By:	/s/ Michael D. Kaswan	 
	Name:	Michael D. Kaswan	 
	Title:	Chief Financial Officer	 
	 	 
	LENDERS:	 
	 	 
	AVENUE VENTURE OPPORTUNITIES FUND, L.P.
	 	 
	By: 	Avenue Venture Opportunities Partners,
    LLC
	Its: 	General Partner	 
	 	 
	By:	/s/ Sonia Gardner	 
	Name:	Sonia Gardner	 
	Title:	President and Managing Partner	 
	 	 
	AVENUE VENTURE OPPORTUNITIES FUND II, L.P.
	 	 
	By:	Avenue Venture Opportunities Partners II,
    LLC
	Its:	General Partner	
	 	 
	By:	/s/ Sonia Gardner	 
	Name: 	Sonia Gardner	 
	Title:	President and Managing Partner	 
	 	 
	AGENT:	 
	 	 
	AVENUE VENTURE OPPORTUNITIES FUND, L.P.
	 	 
	By: 	Avenue Venture Opportunities Partners,
    LLC
	Its: 	General Partner	 
	 	 
	By:	/s/ Sonia Gardner	 
	Name:	Sonia Gardner	 
	Title:	President and Managing Partner	 
	 	 
	[Schedules to Loan and Security Agreement
    follow]

     

     

    

 

Schedules to

Loan and Security Agreement

dated as of June 3, 2022

between

Orchestra BioMed, Inc.,

Avenue Venture Opportunities Fund II, L.P., as
a lender

and

Avenue Venture Opportunities Fund, L.P., as a
lender and as administrative agent and collateral agent

 

Schedule of Exceptions

 

Schedule 6.1. Permitted Indebtedness

 

None

 

Schedule 6.2. Permitted Liens

 

Cash Collateral in favor of Silicon Valley Bank for Letter of Credit
in the amount of $251,859.81

 

Schedule 6.6. Permitted Investments

 

Subsidiary Stock and Investments

 

	Issuer	Owner	Type of Security	% Class
	BackBeat Medical, LLC	Orchestra BioMed, Inc.	Membership Interests	100%
	FreeHold Surgical, LLC	Orchestra BioMed, Inc.	Membership Interests	100%
	Caliber Therapeutics, LLC	Orchestra BioMed, Inc.	Membership Interests	100%
	Accelerated Technologies, Inc.	Orchestra BioMed, Inc.	Common Stock	100%
	Motus GI Holdings, Inc.	Orchestra BioMed, Inc.	Common Stock	7%
	Motus GI Holdings, Inc.	Orchestra BioMed, Inc.	Royalty Interest	1.6% Of Revenue (in excess of $20mm threshold)
	VivaSure Medical, Ltd.	Orchestra BioMed, Inc.	Preferred Shares	20.46%Exhibit 10.30

 

Orchestra
BioMed, Inc.

Employment Agreement

 

THIS EMPLOYMENT AGREEMENT
(this “Agreement”) is entered into as of May 31, 2018 (the “Effective Date”), by and between Orchestra
BioMed, Inc., a Delaware corporation (the “Company”), and David Hochman (“Executive”).

 

WHEREAS, the Company desires
to employ Executive, and Executive desires to be employed by the Company, upon the terms and subject to the conditions set forth herein.

 

NOW, THEREFORE, in consideration
of the employment of Executive by the Company and the mutual agreements hereinafter set forth, the parties hereto agree as follows:

 

1. Employment.
During the Employment Period (as defined below), the Company hereby agrees to employ Executive as Chief Executive Officer of the Company,
and Executive hereby accepts such employment and agrees to serve as Chief Executive Officer, all in accordance with the terms and conditions
of this Agreement. Executive hereby represents and warrants that neither Executive’s entry into this Agreement nor Executive’s
performance of Executive’s obligations hereunder will conflict with or result in a breach of the terms, conditions or provisions
of any other agreement or obligation of any nature to which Executive is a party or by which Executive is bound, including, without limitation,
any non-competition agreement, non-solicitation agreement or confidentiality agreement or policy entered into by Executive or to which
Executive is subject.

 

2. Term
of Employment. The term of Executive’s employment under this Agreement will commence on the Effective Date and will continue
until terminated in accordance with Section 8 hereof (such term, the “Employment Period”).

 

3. Position
and Responsibilities. During the Employment Period: (a) Executive shall serve in the position of Chief Executive Officer; (b) Executive
shall have the duties, responsibilities, functions and authority, including administrative, financial, executive and managerial, as shall
be designated by the Company’s board of directors (the “Board”) from time to time; (c) Executive will use his
best efforts to promote the interests, prospects, condition (financial and otherwise) and welfare of the Company and shall perform his
duties and responsibilities to the best of his ability in a diligent, trustworthy, businesslike and efficient manner; and (d) Executive
shall comply at all times with all policies and codes of conduct of the Company, as such policies and codes may change from time to time.

 

(a) Board
of Directors. Subject to the terms and conditions of this Agreement, in the event (an “Appointment Event”) that
either (a) Executive is no longer the designee of the Company’s Series A shareholders to serve on the Board of Directors of the
Company (a “Director”), (b) the Company’s Series A shareholders no longer have the right to designate a Director,
or (c) Executive is terminated as Chief Executive Officer hereunder other than for Cause, then Company shall, as of the date of such Appointment
Event, cause the Executive to be appointed as a Director, and Executive hereby agrees to serve the Company in such position. Executive
shall serve as a Director for so long as they are an Executive hereunder; provided that in the case of (c) Executive’s service
as a Director shall continue until the earlier of (i) the end of Executive’s then-current term as Director and (ii) (a) the death
of the Director; (b) the termination of the Director from his membership on the Board of Directors by the mutual agreement of the Company
and the Director; and (c) the resignation by the Director from the Board of Directors. Any service as a Director thereafter shall be subject
to any necessary approval by the Company’s shareholders.

 

     

     

    

 

4. Compensation.

 

(a) Salary.
During the Employment Period, the Company shall pay to Executive a base salary at the rate of $395,000 per annum (the “Base Salary”).
The Base Salary shall be paid in accordance with the Company’s standard payroll practices in effect from time to time.

 

(b) Bonus.
Commencing on the Effective Date, in addition to the Base Salary, Executive shall be eligible to receive a discretionary annual bonus
during each fiscal year of the Employment Period. Such bonus amount, and the performance metrics and goals required to receive such bonus
amount, shall be determined by the Board based on appropriate comparative benchmarks within sixty (60) days following the commencement
of each fiscal year. The bonus, if any, payable under this Section 4(b) shall be paid within thirty (30) days following receipt
of the Company’s audited financial statements for the applicable fiscal year, unless such payment is delayed due to an unforeseeable
administrative impracticability, in which case, such bonus will be paid as soon as administratively practicable thereafter, but in no
event later than the end of the fiscal year immediately following the applicable fiscal year; provided that Executive is an employee
in good standing with the Company at such time of payment and Executive has not breached any provision of this Agreement.

 

(c) Equity
Interest. Company shall award Executive common stock of the Company (the “Common Shares”) or options to acquire
the same, in an amount representing, in the aggregate, the Equity Award Percentage (as defined below). Within sixty (60) days after each
of the Private Placement Date and the Follow-on Offering Date (as each such term is defined below), the Company will provide Executive
with a written notice of the then-current fair market value of the Common Shares, and, within thirty (30) days of the receipt of such
fair market value, Executive shall elect in a written notice to the Company the allocation of the award as between Restricted Shares (as
defined below) and an Option Grant (as defined below) (such notice, the “Executive Award Allocation”).

 

(i) Defined
Terms. For the purposes of this Agreement, the following defined terms shall be construed to have the meanings set forth or referenced
below.

 

(1) “Equity
Award Percentage” means four percent (4%) of the fully diluted Common Shares as of each of (i) the Private Placement Date and
(ii) the Follow-on Offering Date.

 

(2) “Follow-on
Offering Date” means the earlier of (i) the date of the final closing of the Follow-on Offering (as such term is defined in
that certain Investor Rights Agreement dated as of the Effective Date), and (ii) the effective date of the Company’s first firm
commitment underwritten public offering of its Common Stock under the Securities Act.

 

    2

     

    

 

(3) “Private
Placement Date” means the date of the final closing of the private placement of Company securities conducted under that certain
Private Placement Memorandum dated January 22, 2018, as supplemented.

 

(4) “Equity
Vesting Schedule” means that thirty-three percent (33%) of any options or restricted stock awarded to the Executive shall be
fully vested at the time of the award and sixty-seven percent (67%) of any options or restricted stock award to the Executive shall vest
on a quarterly basis (on the last day of each quarter) over three years, with the first vesting date being the end of the first calendar
quarter after the date of the award.

 

(ii) Options
Award. Upon the receipt of each the Executive Award Allocation, the Company shall take all necessary action to issue to the Executive
an option grant (“Option Grant”) to purchase shares of common stock of the Company (the “Common Shares”)
in the amount (if any) set forth in such Executive Award Allocation. Such options shall vest according to the Equity Vesting Schedule.
The Option Grant shall contain the following additional terms:

 

(1) Upon
the “change-in-control” of the Company, any unvested options shall become fully vested. “Change of Control” shall
mean the consummation of any one of the following events: (i) a sale, lease, transfer or other disposition of all or substantially
all of the assets of the Company; (ii) a consolidation or merger of the Company with or into any other corporation or other entity
or person, or any other corporate reorganization, in which the stockholders of the Company immediately prior to such consolidation, merger
or reorganization, own less than fifty percent (50%) of the Company’s outstanding voting power of the surviving entity following
the consolidation, merger or reorganization; or (iii) any transaction (or series of related transactions involving a person or entity,
or a group of affiliated persons or entities) in which in excess of fifty percent (50%) of the Company’s then-outstanding voting
power is transferred, excluding any consolidation or merger effected exclusively to change the domicile of the Company and excluding any
such change of voting power resulting from a bona fide equity financing event or public offering of the stock of the Company.

 

(2) If
the Executive is terminated without Cause (as defined below), or voluntarily terminates the Employment Period with Good Reason, any unvested
options shall become fully vested.

 

(iii) Grant
of Restricted Shares. Upon the receipt of each Executive Award Allocation, the Company shall take all necessary action to grant to
the Executive, subject to the terms and conditions of a restricted stock award agreement pursuant to the Company’s equity incentive
plan, the number of Common Shares, if any, set forth in such Executive Award Allocation (the “Restricted Shares”),
such shares shall vest according to the Equity Vesting Schedule. The Restricted Shares may not be transferred by the Executive, other
than by the laws of descent and distribution or to a trust or similar vehicle created for estate planning purposes, prior to the second
anniversary of the Effective Date. Any stock certificates evidencing shares of Restricted Shares will bear a legend evidencing such restriction
as set forth in the Restricted Stock Award Agreement.

 

    3

     

    

 

5. Benefit
Plans. During the Employment Period, Executive shall be eligible to participate in and receive benefits under the employee benefit
plans, equity incentive plans, practices, policies, perquisites and programs established and maintained by the Company from time to time
for which employees of the Company are generally eligible, in each case, subject to the eligibility and participation requirements thereof;
provided that the Company shall pay (or in the case of another company paying, reimbursing) seventy-five percent (75%) of the cost
of health insurance premiums and Executive paying for the remainder.

 

6. Business
Expenses. The Company, in accordance with policies and practices established by the Company from time to time, will pay or reimburse
Executive for all expenses reasonably incurred by Executive during the Employment Period in connection with the performance of Executive’s
duties under this Agreement; provided, that Executive shall provide to the Company reasonable documentation or evidence of expenses
for which Executive seeks reimbursement in accordance with the policies and procedures established by the Company from time to time. Executive
shall be entitled to business class travel for all air travel related to the performance of his services hereunder that exceeds four hours’
scheduled flying time in duration.

 

7. Paid
Time Off. Executive shall be entitled, during the Employment Period, to four (4) weeks of paid vacation and sick time in each calendar
year. Accrued vacation and sick time not taken in any calendar year may not be carried forward or be usable in any subsequent calendar
year, nor shall Executive be entitled to compensation for unused vacation or sick days during the Employment Period or upon termination
of employment. Paid holidays may be taken in accordance with the holiday policy and schedule of the Company as from time to time in effect.

 

8. Termination.

 

(a) Termination
For Cause. The Company may terminate the Employment Period immediately upon the occurrence of any of the following events (each of
which shall constitute “Cause”):

 

(i) Executive’s
breach of any of Executive’s obligations under Section 9;

 

(ii) Executive’s
breach of any of Executive’s obligations under this Agreement other than Section 9, which, to the extent curable, has not
been cured within thirty (30) days after Executive has been provided written notice of such breach;

 

(iii) Executive
being convicted of, or pleading guilty or nolo contendere to, or being indicted for, any felony or any misdemeanor involving theft, fraud,
dishonesty or moral turpitude; or

 

(iv) fraud
or embezzlement against the Company.

 

If the Employment Period is
terminated pursuant to this Section 8(a), the Company shall have no further obligation to Executive except for (i) payment
of Base Salary accrued but unpaid through the date of termination and (ii) subject to the provisions of Section 6, reimbursement
of any expense properly incurred by Executive through the date of termination (collectively, the “Accrued Obligations”).
The Accrued Obligations shall be paid in accordance with applicable state law and in no event later than thirty (30) days after the date
of termination.

 

    4

     

    

 

(b) Termination
upon Executive’s Death. The Employment Period shall terminate immediately upon the death of Executive. If the Employment Period
is terminated pursuant to this Section 8(b), the Company shall have the following obligations to Executive (or his estate)
(i) the payment of the Accrued Obligations, which shall be paid in accordance with Section 8(a), and (ii) the payment of Severance
Obligations, which shall be paid in accordance with Section 8(f).

 

(c) Termination
by the Company without Cause. The Company may terminate the Employment Period at any time without Cause upon written notice to Executive.
If the Employment Period is terminated pursuant to this Section 8(c), the Company shall have the following obligations to Executive
(or his estate): (i) Payment of all Accrued Obligations, which shall be paid in accordance with Section 8(a); and (ii) Payment
of the Severance Obligations as described in Section 8(f).

 

(d) Voluntary
Resignation by Executive – Without Cause. Executive may terminate the Employment Period for any reason upon not less than ten
(10) days’ prior written notice. If the Employment Period is terminated pursuant to this Section 8(d), the Company shall
have no further obligation to Executive except for Accrued Obligations, which shall be paid in accordance with Section 8(a).

 

(e) Voluntary
Resignation by Executive – With Good Reason. Executive may terminate the Employment Period, with Good Reason, upon not less
than ten (10) days’ prior written notice. If Executive terminates the Employment Period with Good Reason, the Company shall have
the following obligations to Executive (or his estate):

 

(i) Payment
of all Accrued Obligations, which shall be paid in accordance with Section 8(a); and

 

(ii) Payment
of the Severance Obligations as described in Section 8(f).

 

(iii) For
purposes of this Section 8(e), “Good Reason” shall mean each of: (A) the Company’s alteration of Executive’s
title, role, work description or responsibilities without the prior express written consent of Executive; (B) the failure to pay any of
the Company’s obligations owed to Executive hereunder (subject to a cure period of five (5) business days); (C) the requirement
by the Company for the Executive to relocate from Greenwich, Connecticut; (D) the Company’s performance of any illegal or civilly
actionable act that materially damages Executive’s reputation or is considered harassment under Federal or applicable state law,
as determined by a court of competent jurisdiction in a final, nonappealable adjudication; or (E) a liquidation, bankruptcy or receivership
of the Company.

 

(f) Severance
Payments. In the event Executive’s employment is terminated (i) by the Company without Cause or (ii) by Executive for Good Reason,
the Company shall continue to pay Executive as severance, Executive’s then-effective Base Salary for a period of twelve (12) months
beginning on the date such termination becomes effective (such payments, the Company’s “Severance Obligations”);
provided, that Executive executes a full and final release in a form reasonably satisfactory to the Company for any and all claims against
the Company predating Executive’s execution of such release. Any and all payments of Severance Obligations shall be less applicable
withholding and deductions. Further, Executive shall have twelve (12) months to exercise vested stock options.

 

    5

     

    

 

9. Restrictive
Covenants.

 

(a) Executive’s
Acknowledgment. Executive acknowledges that: (i) the Company is and will be engaged in its business during the Employment Period and
thereafter; (ii) Executive is one of a limited number of persons who is and will be developing the business and will, during the
Employment Period, have frequent and prolonged interactions with all customers and suppliers of the Company with respect to matters significantly
affecting the business relationship between those customers and suppliers and the Company; (iii) Executive occupies a position of
trust and confidence with the Company and is familiar with the Company’s trade secrets and with other proprietary and confidential
information concerning the Company and its business; and (iv) the agreements and covenants contained in this Section 9 are
essential to protect the Company and the goodwill of the business and are a condition precedent to the Company entering into this Agreement.
Executive acknowledges that he or she has carefully read this Agreement and has given careful consideration to the restraints imposed
upon him by this Agreement, and is in full accord as to their necessity for the reasonable and proper protection of confidential and proprietary
information and goodwill of the Company now existing or to be developed or created in the future.

 

(b) Non-Solicitation.
Executive will not, during the Restricted Period, directly or indirectly (whether as an owner, partner, shareholder, member, agent, officer,
director, manager, employee, independent contractor, consultant, or otherwise) with or through any individual or entity:

 

(i) solicit
for employment or engagement, or identify for another person or entity to employ, engage or solicit for employment or engagement, any
individual who is, or was at any time during the twelve (12) month period immediately preceding any such action, an employee of the Company,
or otherwise seek to adversely influence or alter any such employee’s relationship with the Company;

 

(ii) employ
or engage any individual who is, or was at any time during the twelve (12) month period immediately preceding any such action, an employee
of the Company; or

 

(iii) solicit
or encourage any individual or entity that is, or was during the twenty four (24) month period immediately preceding any such action,
a current or prospective customer, supplier or vendor of the Company (A) to terminate or otherwise adversely alter his, her or its relationship
with the Company or (B) for any purposes which are competitive with Company’s business.

 

(c) Right
to Conduct Activities. The Company acknowledges that Executive is in the business of venture capital or private equity investing and
therefore reviews the business plans and related proprietary information of many enterprises, including enterprises which may have products
or services which compete directly or indirectly with those of the Company. Nothing in this Agreement shall preclude or in any way restrict
the Executive from investing or participating in any particular enterprise whether or not such enterprise has products or services which
compete with those of the Company. During the term of this Agreement, and provided such service does not unreasonably interfere with Executive’s
obligations hereunder, Executive may continue to serve as a member of the Board of Directors or other governing body of the up to three
(3) for-profit entities, as well as any entity in which the Company has an investment. The Company hereby agrees that, to the extent permitted
under applicable law, Executive shall not be liable to the Company for any claim arising out of, or based upon, (i) the investment by
Executive in any entity competitive with the Company, or (ii) the service by Executive as a member of the Board of Directors or other
governing body of any of the entities set forth on Exhibit A, or any other entity approved by the Company; provided, however,
that the foregoing shall not relieve Executive from liability associated with the unauthorized disclosure of the Company’s confidential
information obtained pursuant to this Agreement.

 

    6

     

    

 

(d) Scope/Severability.
The parties acknowledge that the Company’s business is and will be conducted throughout the Restricted Territory and thus the covenants
in this Section 9 would be ineffective if the covenants were to be limited to a particular geographic area within the Restricted
Territory. If any court of competent jurisdiction at any time deems the Restricted Period too lengthy, or the Restricted Territory too
extensive, or any of the covenants set forth in this Section 9 otherwise not fully enforceable, the other provisions of this Section
9, and this Agreement in general, will nevertheless stand and to the full extent consistent with law continue in full force and effect,
and it is the intention and desire of the parties that the court treat any provisions of this Agreement which are not fully enforceable
as having been modified to the extent deemed necessary by the court to render them reasonable and enforceable and that the court enforce
them to such extent (for example, that Restricted Territory be deemed to comprise the largest territory permissible by law under the circumstances
but not in excess of the territory provided for herein).

 

10. Equitable
Remedies. Executive acknowledges and agrees that the agreements and covenants set forth in Section 9 of this Agreement are
reasonable and necessary for the protection of the Company’s business interests, that irreparable injury will result to the Company
if Executive breaches any of the terms of said covenants, and that in the event of Executive’s actual or threatened breach of any
such covenants, the Company will have no adequate remedy at law. Executive accordingly agrees that, in the event of any actual or threatened
breach by Executive of any of said covenants, the Company will be entitled to immediate injunctive and other equitable relief, without
bond and without the necessity of showing actual monetary damages or the necessity of showing that monetary damages are an inadequate
remedy. Nothing in this Section 10 will be construed as prohibiting the Company from pursuing any other remedies available to it
for such breach or threatened breach, including the recovery of any damages that it is able to prove.

 

11. Assistance.
From and after the date hereof (including after the termination of Executive’s employment with the Company for any reason), Executive
shall, upon reasonable notice, furnish the Company with such information as may be in Executive’s possession or control, and cooperate
with the Company, as the Company may reasonably request, in connection with any litigation, claim, or other dispute in which the Company
is or may become a party, provided that following termination of Executive’s employment with the Company, any such assistance shall
not unreasonably interfere with Executive’s personal or business affairs. The Company shall reimburse Executive for all reasonable
out-of-pocket expenses incurred by Executive in fulfilling Executive’s obligations under this Section 11.

 

    7

     

    

 

12. Definitions.
The following terms used herein shall have the definitions set forth below:

 

“Restricted Period”
means twelve (12) months following the date of termination.

 

“Restricted Territory”
means the United States of America.

 

13. Effect
of Prior Agreements. Unless otherwise provided herein, this Agreement contains the entire understanding between the Company and Executive
relating to the subject matter hereof and, as of the Effective Date, will supersede any prior employment agreement between Executive and
the Company and any other agreement relating to the subject matter hereof between Executive and the Company. Executive acknowledges that
he is not relying and has not relied on any oral or written statements, promises, representations or warranties (whether made by the Company
or any equity holder, director, officer, employee, agent or other representative of the Company or otherwise) that are not expressly set
forth in this Agreement and those documents expressly referred to herein. For the avoidance of doubt, the non-solicitation and other restrictive
covenants contained in this Agreement shall be in addition to, and not in lieu of, and shall not in any way limit or be limited by, any
restrictive covenant covering similar subject matter contained in any other agreement to which Executive is a party, including but not
limited to, any asset purchase agreement, equity subscription agreement or stockholder or operating agreement with respect to any equity
interest in the Company.

 

14. Confidential
Information and Intellectual Property Assignment Agreement. Notwithstanding anything herein to the contrary, the terms of that certain
Confidential Information and Intellectual Property Assignment Agreement, dated as of the date hereof, between Executive and the Company
are hereby incorporated by reference.

 

15. Withholding
and Deductions. All amounts payable to Executive (or his estate, as applicable) pursuant to this Agreement shall be subject to such
withholding and deductions by the Company as required by law and the applicable benefit plans of the Company.

 

16. Code
Section 409A. The Company and Executive agree that this Agreement and the rights granted to Executive hereunder are intended to meet
the requirements of paragraphs (2), (3) and (4) of Section 409A(a)(1)(A) of the Code. Accordingly, the parties agree that they shall negotiate
in good faith to revise any provisions of this Agreement that might otherwise fail to meet the requirements of paragraphs (2), (3) and
(4) of Section 409A of Code. However, the Company does not guarantee any particular tax effect of payments under this Agreement, and in
no event shall the Company have any obligation to “gross-up” or otherwise compensate Executive with respect to any tax effect
of payments under this Agreement. With respect to any reimbursement of expenses of, or any provision of in-kind benefits to, Executive,
as specified under this Agreement, such reimbursement of expenses or provision of in-kind benefits shall be subject to the following conditions:
(1) the expenses eligible for reimbursement or the amount of in-kind benefits provided in one taxable year shall not affect the expenses
eligible for reimbursement or the amount of in-kind benefits provided in any other taxable year, except for any medical reimbursement
arrangement providing for the reimbursement of expenses referred to in Section 105(b) of the Code; (2) the reimbursement of an eligible
expense shall be made no later than the end of the year after the year in which such expense was incurred; and (3) the right to reimbursement
or in-kind benefits shall not be subject to liquidation or exchange for another benefit. “Termination of employment,” or words
of similar import, as used in this Agreement means, for purposes of any payments under this Agreement that are payments of deferred compensation
subject to Section 409A, Executive’s “separation from service” as defined in Section 409A. For purposes of Section 409A,
the right to a series of installment payments under this Agreement shall be treated as a right to a series of separate payments.

 

    8

     

    

 

17. Modification
and Waiver. This Agreement may not be modified or amended, nor may any provisions of this Agreement be waived, except by an instrument
in writing signed by the parties hereto. No written waiver will be deemed to be a continuing waiver unless specifically stated therein,
and each such waiver will operate only as to the specific term or condition waived and shall not constitute a waiver of such term or condition
for the future or as to any act other than that specifically waived. No failure of any party hereto to exercise any right or remedy given
to such party under this Agreement or otherwise available to such party hereto or to insist upon strict compliance by any other party
hereto with its or his obligations hereunder, and no custom or practice of the parties in variance with the terms hereof, shall constitute
a waiver of any party’s right to demand exact compliance with the terms hereof.

 

18. Indemnification.
The Company hereby indemnifies Executive to the maximum extent provided in the Company’s By-Laws and organizational documents, as
currently in effect. Executive shall be entitled to coverage under the directors and officers liability insurance on terms no less favorable
to him in any respect than the coverage then being provided to any other current or former director or officer of the Company and which
the Company shall maintain with minimum coverage of One Million Dollars ($1 million).

 

19. Severability.
Without limiting Section 9(c): (i) if, for any reason, any provision of this Agreement is held invalid, such invalidity will not
affect any other provision of this Agreement, and each provision will, to the full extent consistent with law, continue in full force
and effect and (ii) if any provision of this Agreement is held invalid in part, such invalidity will in no way affect the rest of such
provision, and the rest of such provision, together with all other provisions of this Agreement, will, to the full extent consistent with
law, continue in full force and effect.

 

20. Notices.
Any notice, request, instruction or other document to be given hereunder by any party hereto to any other party hereto shall be in writing
and shall be given by delivery in person, by facsimile transmission, by email, by overnight courier or by registered or certified mail,
postage prepaid to the address set forth below or such other address as such party may give to the other parties by notice pursuant to
this Section 20. Notice shall be deemed given on (a) the date such notice is personally delivered, (b) the date of scheduled delivery
if sent by overnight courier, or (c) the date such notice is transmitted by facsimile or email, if such transmission is prior to 5:00
p.m. Eastern Time on a business day, or the next succeeding business day if such transmission is after 5:00 p.m. Eastern Time.

 

    9

     

    

 

	 	
    If to the Board or the Company:
	
    Orchestra BioMed, Inc.

    150 Union Square Drive

    New Hope, PA 18938

    E-Mail: [Omitted pursuant to Item 601(a)(6)]

	 	
     

    If to Executive:
	
     

    David Hochman

    Address: [Omitted pursuant to Item 601(a)(6)]

    E-Mail: [Omitted pursuant to Item 601(a)(6)]

 

21. Third
Party Beneficiaries. Nothing herein expressed or implied is intended or shall be construed to confer upon or give to any person or
entity, other than the parties to this Agreement, their respective permitted successors and assigns, any rights or remedies under or by
reason of this Agreement.

 

22. Headings.
The headings and other captions in this Agreement are included solely for convenience of reference and will not control the meaning and
interpretation of any provision of this Agreement.

 

23. Governing
Law. The validity, interpretation, performance, and enforcement of this Agreement will be governed by the laws of the State of Delaware,
without giving effect to any choice of law or conflict of law provision or rule (whether of the State of Delaware or any other jurisdiction)
that would cause the application of the laws of any jurisdiction other than the State of Delaware. Executive and the Company hereby irrevocably
submit to the exclusive jurisdiction of any state or federal court located in the State of Delaware, over any suit, action or proceeding,
whether at law or in equity, arising out of or relating to or concerning this Agreement. Each party hereto agrees that it will not challenge
the applicability of the laws of the State of Delaware, without giving effect to any choice of law or conflict of law provision or rule
(whether of the State of Delaware or any other jurisdiction), in any suit or proceeding regarding the validity, interpretation, performance,
or enforcement of any provision of this Agreement, regardless of who initiates such suit or proceeding.

 

24. Waiver
of Jury Trial. EACH OF THE PARTIES HERETO HEREBY IRREVOCABLY WAIVES ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING ARISING
OUT OF OR RELATED TO THIS AGREEMENT OR THE MATTERS CONTEMPLATED HEREBY, PROVIDED, HOWEVER, THAT THE PARTIES HERETO AGREE THAT SUCH WAIVER
SHALL NOT BE DEEMED TO CONSTITUTE A WAIVER OF ADJUDICATION BY A COURT HAVING APPROPRIATE JURISDICTION.

 

25. Non-Assignability/Binding
Effect. This Agreement shall not be assignable by either party without the prior written consent of the other party. This Agreement
will be binding upon and inure to the benefit of Executive, the Company, and their respective successors and permitted assigns.

 

26. Construction.
The parties hereto have participated jointly in the negotiation and drafting of this Agreement. In the event an ambiguity or question
of intent or interpretation arises, this Agreement shall be construed as if drafted jointly by the parties hereto, and no presumption
or burden of proof shall arise favoring or disfavoring any party by virtue of the authorship of any of the provisions of this Agreement.

 

27. Survival.
Termination of the Employment Period in accordance with Section 8 will not affect the provisions of Section 3(a) or Sections
9 through 28 of this Agreement, each of which shall survive such termination.

 

28. Counterparts.
This Agreement may be executed in separate counterparts and may be executed and delivered by facsimile or other electronic delivery, each
of which is deemed to be an original and all of which, taken together, constitute one and the same agreement.

 

[Remainder of Page Intentionally Blank; Signature
Page to Follow]

 

    10

     

    

 

IN WITNESS WHEREOF, the Company
has caused this Agreement to be executed by its duly authorized officer, and Executive has signed this Agreement, as of the date first
above written.

 

	 	ORCHESTRA BIOMED, INC.:
	 	 	 
	 	By:  	/s/ Todd Van Emburgh
	 	Name: 	Todd Van Emburgh
	 	Title:	President
	 	 	 
	 	EMPLOYEE:
	 	 	 
	 	/s/ David Hochman 
	 	David Hochman

 

[Signature Page to Employment Agreement]

 

     

     

    

 

Exhibit A

 

Boards of Directors

 

All boards of directors on which Executive
serves prior to the Effective Date.

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