Document:

Exhibit 10.67

   

  

   

  

  KINETA, INC.

   

  COMMON STOCK PURCHASE AGREEMENT

   

  THIS COMMON STOCK PURCHASE AGREEMENT (this “Agreement”), is made as of is made as of May 27, 2021, by and among
    Kineta, Inc., a Washington corporation (the “Company”) and the investor listed on Exhibit A attached to this Agreement (the “Purchaser”).

   

  The parties hereby agree as follows:

   

  1.

  Purchase

      and Sale of Common Stock.

   

  1.1           Sale and Issuance of Common Stock.

   

  (a)
    
The
      Company shall have adopted and filed with the Secretary of State of the State of Washington on or before the Closing (as defined below) the Amended and Restated Articles of Incorporation in the form of Exhibit B attached to this Agreement
      (the “Restated Articles”).

   

  (b)

  Subject to the terms and conditions of this Agreement, the Purchaser agrees to purchase at the Closing (as defined below) and the Company agrees to sell and issue to the Purchaser at the Closing that number of shares of Voting
      Common Stock, par value $0.0001 per share (the “Voting Common Stock”), and Non-Voting Common Stock, par value $0.0001 per share (the “Non-Voting Common Stock”), set forth opposite the Purchaser’s
      name on Exhibit A, at a purchase price of $1.89 per share for Voting Common Stock and a purchase price of $1.89 per share for Non-Voting Common Stock. The shares of Voting Common Stock and Non-Voting Common Stock issued to the Purchaser
      pursuant to this Agreement shall be referred to in this Agreement as the “Shares.”

   

  1.2           Closing; Delivery.

   

  (a)

  The purchase and sale of the Shares shall take place remotely via the exchange of documents and signatures, at 10:00 a.m., Pacific Time on the date hereof, or at such other time and place as
    the Company and the Purchaser mutually agree, orally or in writing (which time and place are designated as the “Closing”).

   

  (b)

  At
    the Closing, the Company shall deliver to the Purchaser a certificate representing the Shares being purchased by such Purchaser at the Closing against payment of the purchase price therefor by wire transfer to a bank account designated by the Company.

   

  1.3           Use of Proceeds. All of the proceeds
    from the sale of the Shares are to be used for working capital and the Fee Reimbursement (as defined herein). For the avoidance of doubt, no portion of such proceeds shall be used to (i) repurchase shares, provide loans, or extend credit to any of the
    officers, directors or Key Holders of the Company, (ii) make, declare or authorize any dividends or similar distribution on any class or series of capital stock, or (iii) make any payments on the principal amounts of the Company’s outstanding
    convertible notes, in each case without the consent of the Purchaser.

   

  

  
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  1.4           Defined Terms Used in this Agreement.
    In addition to the terms defined above, the following terms used in this Agreement shall be construed to have the meanings set forth or referenced below.

   

  (a)
    
“Affiliate”
      means, with respect to any specified Person, any other Person who, directly or indirectly, controls, is controlled by, or is under common control with such Person, including, without limitation, any general partner, managing member, officer, director
      or trustee of such Person, or any venture capital fund or registered investment company now or hereafter existing that is controlled by one (1) or more general partners, managing members or investment advisers of, or shares the same management
      company or investment adviser with, such Person.

   

  (b)

  “Code”
    means the Internal Revenue Code of 1986, as amended.

   

  (c)

  “Company Intellectual Property” means all patents, patent applications, registered and unregistered trademarks, trademark applications, registered and unregistered service marks,
    service mark applications, tradenames, copyrights, trade secrets, domain names, mask works, similar or other intellectual property rights, subject matter of any of the foregoing (“Intellectual Property Rights”), information and proprietary
    rights and processes, and, tangible embodiments of any of the foregoing, and in any and all such cases that are owned or used by the Company in the conduct of the Company’s business as now conducted and as presently proposed to be conducted.

   

  (d)

  “Common Stock” means the Voting Common Stock and Non-Voting Common Stock, collectively.

   

  (e) 

  “Indemnification Agreement” means the agreement between the Company and the director designated by any Purchaser entitled to designate a member of the Board of Directors pursuant to the
    Voting Agreement, dated as of the date of the Closing, in the form of Exhibit D attached to this Agreement.

   

  (f)
    
“Investor
        Rights Agreement” means the agreement among the Company and the Purchaser and certain other shareholders of the Company dated as of the date of the Closing, in the form of Exhibit E attached to this Agreement.

   

  (g)

  “Key Employee” means any executive-level employee (including division director and vice president-level positions) as well as any employee or consultant who either alone or in concert with
      others develops, invents, programs or designs any Company Intellectual Property.

   

  (h)

  “Key Holders” means Craig Philips, Pauline Kenny, Shawn Iadonato, and all members of the Board as of the date of this Agreement.

   

  (i)

  “Knowledge” including the phrase “to the Company’s knowledge” shall mean the knowledge after reasonable investigation and assuming such knowledge as the individual would have as a
      result of the reasonable performance of his or her duties in the ordinary course of the following officers: Shawn Iadonato, Craig Philips, Pauline Kenny, Eric Tarcha, Thierry Guillaudeux, and Chanya Swartz. Additionally, for purposes of Section 2.8,
      the Company shall be deemed to have “knowledge” of a patent right if the Company has actual knowledge of the patent right or would be found to be on notice of such patent right as determined by reference to United States patent laws.

   

  

  
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  (j)

  “Material Adverse Effect” means a material adverse effect on the business, assets (including intangible assets), liabilities, financial condition, property, or results of operations of
    the Company.

   

  (k)

  “Non-Voting Common Stock” has the meaning set forth in Section 1.1(b).

   

  (l)

  “Person”
    means any individual, corporation, partnership, trust, limited liability company, association or other entity.

   

  (m)

  “Right of First Refusal and Co-Sale Agreement” means the agreement among the Company, the Purchaser, and certain other shareholders of the Company, dated as of the date of the Closing,
    in the form of Exhibit G attached to this Agreement.

   

  (n)
    
“Securities
        Act” means the Securities Act of 1933, as amended, and the rules and regulations promulgated thereunder.

   

  (o)
    
“Transaction
        Agreements” means this Agreement, the Investor Rights Agreement, the Right of First Refusal and Co-Sale Agreement, and the Voting Agreement.

   

  (p)

  “Voting Agreement” means the agreement among the Company, the Purchaser and certain other shareholders of the Company, dated as of the date of the Closing, in the form of Exhibit H
    attached to this Agreement.

   

  (q)

  “Voting Common Stock” has the meaning set forth in Section 1.1(b).

   

  2.

  Representations

      and Warranties of the Company. The Company hereby represents and warrants to the Purchaser that, except as set forth on the Disclosure Schedule attached as Exhibit C to this Agreement, which exceptions shall be deemed to be part of the
    representations and warranties made hereunder, the following representations are true, correct, and complete as of the date of the Closing, except as otherwise indicated. The Disclosure Schedule shall be arranged in sections corresponding to the
    numbered and lettered sections contained in this Section 2, and the disclosures in any section of the Disclosure Schedule shall qualify other sections in this Section 2 only to the extent it is readily apparent from a reading of the
    disclosure that such disclosure is applicable to such other sections.

   

  For purposes of these representations and warranties (other than those in Sections 2.2, 2.3, 2.4,
    2.5, and 2.6), the term the “Company” shall include any subsidiaries of the Company, unless otherwise noted herein.

   

  2.1           Organization, Valid Existence, Corporate
      Power and Qualification. The Company is a corporation duly organized and validly existing and in good standing under the laws of the State of Washington and has all requisite corporate power and authority to carry on its business as now conducted
    and as presently proposed to be conducted. The Company is duly qualified to transact business and is in good standing in each jurisdiction in which the failure to so qualify would have a Material Adverse Effect.

   

  

  
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  2.2           Capitalization.

   

  (a)
    
The
      authorized capital of the Company consists, immediately prior to the Closing, of:

   

  (i)            250,000,000 shares of Common Stock, of
    which 45,000,000 shares have been designated Voting Common Stock, 20,610,359 of which are issued and outstanding immediately prior to the Closing, and of which 205,000,000 shares have been designated Non-Voting Common Stock, 37,430,010 of which are
    issued and outstanding immediately prior to the Closing. The rights, privileges and preferences of the Common Stock are as stated in the Restated Articles and as provided by the Washington Business Corporation Act. All of the outstanding shares of
    Common Stock have been duly authorized, are fully paid and nonassessable and were issued in compliance with all applicable federal and state securities laws. The Company holds no Common Stock in its treasury.

   

  (b)             

   

  (i)            The Company has reserved 3,000,000 shares
    of Non-Voting Common Stock and 3,000,000 shares of Voting Common Stock for issuance to officers, directors, employees and consultants of the Company pursuant to its 2020 Stock Plan duly adopted by the Board of Directors and approved by the Company
    shareholders (the “2020 Stock Plan”). Of such reserved shares of Non-Voting Common Stock, 0 shares have been issued pursuant to restricted stock purchase agreements and options to purchase 1,085,267 shares have been granted and are currently
    outstanding. Of such reserved shares of Voting Common Stock, 0 shares have been issued pursuant to restricted stock purchase agreements and options to purchase 2,977,473 shares have been granted and are currently outstanding. 1,914,733 shares of
    Non-Voting Common Stock and 22,527 shares of Voting Common Stock remain available for issuance to officers, directors, employees and consultants pursuant to the 2020 Stock Plan. The Company has furnished to the Purchaser complete and accurate copies of
    the 2020 Stock Plans and forms of agreements used thereunder.

   

  (ii)            The Company has reserved 4,603,750 shares
    of Non-Voting Common Stock for issuance to officers, directors, employees and consultants of the Company pursuant to its 2010 Stock Plan duly adopted by the Board of Directors and approved by the Company shareholders (the “2010 Stock Plan”). Of
    such reserved shares of Non-Voting Common Stock, 13,335 shares have been issued pursuant to restricted stock purchase agreements and options to purchase 4,603,750 shares have been granted and are currently outstanding. 0 shares of Non-Voting Common
    Stock remain available for issuance to officers, directors, employees and consultants pursuant to the 2010 Stock Plan. The Company has furnished to the Purchaser complete and accurate copies of the 2010 Stock Plan and forms of agreements used
    thereunder.

    

  (iii)          The Company has reserved 4,021,000 shares
    of Non-Voting Common Stock for issuance to officers, directors, employees and consultants of the Company pursuant to its 2008 Stock Plan duly adopted by the Board of Directors and approved by the Company shareholders (the “2008 Stock Plan”). Of
    such reserved shares of Non-Voting Common Stock, 0 shares have been issued pursuant to restricted stock purchase agreements and options to purchase 4,021,000 shares have been granted and are currently outstanding. 0 shares of Non-Voting Common Stock
    remain available for issuance to officers, directors, employees and consultants pursuant to the 2008 Stock Plan. The Company has furnished to the Purchaser complete and accurate copies of the 2008 Stock Plan and forms of agreements used thereunder.

   

  

  
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  (c)
    
Section
      2.2(c) of the Disclosure Schedule sets forth the capitalization of the Company immediately following the Closing including the number of shares of the following: (i) issued and outstanding Common Stock, including, with respect to restricted Common
      Stock, vesting schedule and repurchase price; (ii) outstanding stock options, including vesting schedule and exercise price; (iii) shares of Common Stock reserved for future award grants under the Stock Plan; and (iv) warrants or stock purchase
      rights, if any. Except for the rights provided in Section 4 of the Investor Rights Agreement, there are no outstanding options, warrants, rights (including conversion or preemptive rights and rights of first refusal or similar rights) or
      agreements, orally or in writing, to purchase or acquire from the Company any shares of Common Stock, or any securities convertible into or exchangeable for shares of Common Stock. All outstanding shares of the Company’s Common Stock and all shares
      of the Company’s Common Stock underlying outstanding options are subject to (i) a right of first refusal in favor of the Company upon any proposed transfer (other than transfers for estate planning purposes); and (ii) a lock-up or market standoff
      agreement of not less than one hundred eighty (180) days following the Company’s initial public offering pursuant to a registration statement filed with the Securities and Exchange Commission under the Securities Act.

   

  (d)
    
None
      of the Company’s stock purchase agreements or stock option documents contains a provision for acceleration of vesting (or lapse of a repurchase right) or other changes in the vesting provisions or other terms of such agreement or understanding upon
      the occurrence of any event or combination of events, including, without limitation, in the case where the Company’s Stock Plan is not assumed in an acquisition. The Company has never adjusted or amended the exercise price of any stock options
      previously awarded, whether through amendment, cancellation, replacement grant, repricing, or any other means. Except as set forth in the Restated Articles, the Company has no obligation (contingent or otherwise) to purchase or redeem any of its
      capital stock.

   

  (e)

  Section
    2.2(e) of the Disclosure Schedule sets forth the capitalization of each of the Company’s subsidiaries immediately following the Closing including the number of shares of the following: (i) issued and outstanding capital stock of such applicable
    subsidiary, including, with respect to restricted capital stock, vesting schedule and repurchase price, as applicable; (ii) outstanding stock options, including vesting schedule and exercise price; (iii) shares of common stock reserved for future award
    grants under any stock plan; and (iv) warrants or stock purchase rights, if any. There are no outstanding options, warrants, rights (including conversion or preemptive rights and rights of first refusal or similar rights) or agreements, orally or in
    writing, to purchase or acquire from any of the Company’s subsidiaries any shares of capital stock. All outstanding shares of each subsidiary of the Company and all shares of such subsidiary’s capital stock underlying outstanding options are subject to
    (i) a right of first refusal in favor of such applicable subsidiary upon any proposed transfer (other than transfers for estate planning purposes); and (ii) a lock-up or market standoff agreement of not less than one hundred eighty (180) days following
    such applicable subsidiary’s initial public offering pursuant to a registration statement filed with the Securities and Exchange Commission under the Securities Act.

   

  

  
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  (f)

  The
    Company has obtained valid waivers of any rights by other parties to purchase any of the Shares covered by this Agreement.

   

  (g)

  409A. Any
    “nonqualified deferred compensation plan” (as such term is defined under Section 409A(d)(1) of the Code and the guidance thereunder) under which the Company makes, is obligated to make or promises to make, payments (each, a “409A Plan”) complies in all material respects, in both form and operation, with the requirements of Section 409A of the Code and the guidance thereunder. No payment to be made under any 409A Plan is, or will be, subject to the
    penalties of Section 409A(a)(1) of the Code.

   

  2.3           Subsidiaries. The Company does not
    currently own or control, directly or indirectly, any interest in any other corporation, partnership, trust, joint venture, limited liability company, association, or other business entity. The Company is not a participant in any joint venture,
    partnership or similar arrangement.

   

  2.4           Authorization. All corporate action
    required to be taken by the Company’s Board of Directors and shareholders in order to authorize the Company to enter into the Transaction Agreements, and to issue the Shares at the Closing, has been taken. All action on the part of the officers of the
    Company necessary for the execution and delivery of the Transaction Agreements, the performance of all obligations of the Company under the Transaction Agreements to be performed as of the Closing, and the issuance and delivery of the Shares has been
    taken. The Transaction Agreements, when executed and delivered by the Company, shall constitute valid and legally binding obligations of the Company, enforceable against the Company in accordance with their respective terms except (i) as limited by
    applicable bankruptcy, insolvency, reorganization, moratorium, fraudulent conveyance, or other laws of general application relating to or affecting the enforcement of creditors’ rights generally, (ii) as limited by laws relating to the availability of
    specific performance, injunctive relief, or other equitable remedies, or (iii) to the extent the indemnification provisions contained in the Investor Rights Agreement and the Indemnification Agreement may be limited by applicable federal or state
    securities laws.

   

  2.5           Valid Issuance of Shares. The Shares,
    when issued, sold and delivered in accordance with the terms and for the consideration set forth in this Agreement, will be validly issued, fully paid and nonassessable and free of restrictions on transfer other than restrictions on transfer under the
    Transaction Agreements, applicable state and federal securities laws and liens or encumbrances created by or imposed by a Purchaser. Assuming the accuracy of the representations of the Purchaser in Section 3 of this Agreement and subject to the
    filings described in the Voting Agreement, the Shares will be issued in compliance with all applicable federal and state securities laws.

   

  2.6           Governmental Consents and Filings.
    Assuming the accuracy of the representations made by the Purchaser in Section 3 of this Agreement, no consent, approval, order or authorization of, or registration, qualification, designation, declaration or filing with, any federal, state or
    local governmental authority is required on the part of the Company in connection with the consummation of the transactions contemplated by this Agreement, except for (i) the filing of the Restated Articles, which will have been filed as of the
    Closing, and (ii) filings pursuant to applicable securities laws, which have been made or will be made in a timely manner after Closing.

   

  

  
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  2.7           Litigation. There is no claim,
    action, suit, proceeding, arbitration, complaint, charge or investigation pending or to the Company’s knowledge, currently threatened in writing (i) against the Company or any officer, director or Key Employee of the Company arising out of their
    employment or board relationship with the Company; or (ii) to the Company’s knowledge, that questions the validity of the Transaction Agreements or the right of the Company to enter into them, or to consummate the transactions contemplated by the
    Transaction Agreements; or (iii) to the Company’s knowledge, that would reasonably be expected to have, either individually or in the aggregate, a Material Adverse Effect. Neither the Company nor, to the Company’s knowledge, any of its officers,
    directors or Key Employees is a party or is named as subject to the provisions of any order, writ, injunction, judgment or decree of any court or government agency or instrumentality (in the case of officers, directors or Key Employees, such as would
    affect the Company). There is no action, suit, proceeding or investigation by the Company pending or which the Company intends to initiate. The foregoing includes, without limitation, actions, suits, proceedings or investigations pending or threatened
    in writing (or any basis therefor known to the Company) involving the prior employment of any of the Company’s employees, their services provided in connection with the Company’s business, any information or techniques allegedly proprietary to any of
    their former employers or their obligations under any agreements with prior employers.

   

  2.8           Intellectual Property.

   

  (a)
    
The
      Company owns or possesses or believes it can acquire on commercially reasonable terms sufficient legal rights to all Company Intellectual Property without any known conflict with, or infringement of, the rights of others, including prior employees or
      consultants, or academic or medical institutions with which any of them may be affiliated now or may have been affiliated in the past. The Company has not received any communications alleging that the Company has violated, or by conducting its
      business, would violate or require a license under any of the Intellectual Property Rights of any other Person.

   

  (b)
    
To
      the Company’s knowledge, no product or service marketed or sold (or proposed to be marketed or sold) by the Company violates or will violate any license or infringes or will infringe any Intellectual Property Rights of any other party.

   

  (c)

  Other
    than with respect to commercially available software products under standard end-user object code license agreements, there are no outstanding options, licenses, agreements, claims, encumbrances or shared ownership interests of any kind relating to the
    Company Intellectual Property, nor is the Company bound by or a party to any options, licenses or agreements of any kind with respect to Intellectual Property Rights of any other Person.

   

  (d)
    
The
      Company has obtained and possesses valid licenses to use all of the software programs present on the computers and other software-enabled electronic devices that it owns or leases or that it has otherwise provided to its employees for their use in
      connection with the Company’s business.

   

  

  
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  (e)
    
Each
      employee and consultant has assigned to the Company all Intellectual Property Rights he or she owns that are related to the Company’s business as now conducted and as presently proposed to be conducted and all Intellectual Property Rights that he,
      she or it solely or jointly conceived, reduced to practice, developed or made during the period of his, her or its employment or consulting relationship with the Company that (i) relate, at the time of conception, reduction to practice, development,
      or making of such Intellectual Property Right, to the Company’s business as then conducted or as then proposed to be conducted, (ii) were developed on any amount of the Company’s time or with the use of any of the Company’s equipment, supplies,
      facilities or information or (iii) resulted from the performance of services for the Company. To the Company’s knowledge, it will not be necessary to use any inventions of any of its employees or consultants (or Persons it currently intends to hire)
      made prior to their employment by the Company, including prior employees or consultants, or academic or medical institutions with which any of them may be affiliated now or may have been affiliated in the past.

   

  (f)

  Section 2.8(f)
    of the Disclosure Schedule lists all patents, patent applications, registered trademarks, trademark applications, service marks, service mark applications, tradenames, registered copyrights, and licenses to and under any of the foregoing, in each case
    owned by the Company.

   

  (g)
    
No
      government funding, facilities of a university, college, other educational institution or research center, or funding from third parties was used in the development of any Company Intellectual Property. No Person who was involved in, or who
      contributed to, the creation or development of any Company Intellectual Property, has performed services for the government, university, college, or other educational institution or research center in a manner that would affect Company’s rights in
      the Company Intellectual Property.

   

  2.9           Compliance with Other Instruments.
    The Company is not in violation or default (i) of any provisions of its Restated Articles or Bylaws, (ii) of any instrument, judgment, order, writ or decree, (iii) under any note, indenture or mortgage, or (iv) under any lease, agreement, contract or
    purchase order to which it is a party or by which it is bound that is required to be listed on the Disclosure Schedule, or (v) to its knowledge, of any provision of federal or state statute, rule or regulation applicable to the Company, the violation
    of which would have a Material Adverse Effect. The execution, delivery and performance of the Transaction Agreements and the consummation of the transactions contemplated by the Transaction Agreements will not result in any such violation or be in
    conflict with or constitute, with or without the passage of time and giving of notice, either (i) a default under any such provision, instrument, judgment, order, writ, decree, contract or agreement; or (ii) an event which results in the creation of
    any lien, charge or encumbrance upon any assets of the Company or the suspension, revocation, forfeiture, or nonrenewal of any material permit or license applicable to the Company.

   

  2.10         Agreements; Actions.

   

  (a)
    
Except
      for the Transaction Agreements, there are no agreements, understandings, instruments, contracts or proposed transactions to which the Company is a party or by which it is bound that involve (i) obligations (contingent or otherwise) of, or payments
      to, the Company in excess of $100,000, (ii) the license of any patent, copyright, trademark, trade secret or other proprietary right to or from the Company, (iii) the grant of rights to manufacture, produce, assemble, license, market, or sell its
      products to any other Person that limit the Company’s exclusive right to develop, manufacture, assemble, distribute, market or sell its products, or (iv) indemnification by the Company with respect to infringements of proprietary rights.

   

  

  
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  (b)
    
The
      Company has not (i) declared or paid any dividends, or authorized or made any distribution upon or with respect to any class or series of its capital stock, (ii) incurred any indebtedness for money borrowed or incurred any other liabilities
      individually in excess of $50,000 or in excess of $100,000 in the aggregate, (iii) made any loans or advances to any Person, other than ordinary advances for business expenses, or (iv) sold, exchanged or otherwise disposed of any of its assets or
      rights, other than in the ordinary course of business. For the purposes of (a) and (b) of this Section 2.10, all indebtedness, liabilities, agreements, understandings, instruments, contracts and proposed transactions involving the same Person
      (including Persons the Company has reason to believe are affiliated with each other) shall be aggregated for the purpose of meeting the individual minimum dollar amounts of such section.

   

  (c)
    
The
      Company is not a guarantor or indemnitor of any indebtedness of any other Person.

   

  (d)

  The
    Company has not engaged in the past three (3) months in any discussion with any representative of any Person regarding (i) a sale or exclusive license of all or substantially all of the Company’s assets, or (ii) any merger, consolidation or other
    business combination transaction of the Company with or into another Person.

   

  2.11         Certain Transactions.

   

  (a)
    
Other
      than (i) standard employee benefits generally made available to all employees, standard employee offer letters and Confidential Information Agreements (as defined below), (ii) standard director and officer indemnification agreements approved by the
      Board of Directors, (iii) the purchase of shares of the Company’s capital stock and the issuance of options to purchase shares of the Company’s Common Stock, in each instance, approved in the written minutes of the Board of Directors (previously
      provided to the Purchaser or their respective counsel), and (iv) the Transaction Documents, there are no agreements, understandings or proposed transactions between the Company and any of its officers, directors, consultants or Key Employees, or any
      Affiliate thereof.

   

  (b)

  The
    Company is not indebted, directly or indirectly, to any of its directors, officers or employees or to their respective spouses or children or to any Affiliate of any of the foregoing, other than in connection with expenses or advances of expenses
    incurred in the ordinary course of business or employee relocation expenses and for other customary employee benefits made generally available to all employees. None of the Company’s directors, officers or employees, or any members of their immediate
    families, or any Affiliate of the foregoing are, directly or indirectly, indebted to the Company or, to the Company’s knowledge, have any (i) material commercial, industrial, banking, consulting, legal, accounting, charitable or familial relationship
    with any of the Company’s customers, suppliers, service providers, joint venture partners, licensees and competitors; (ii) direct or indirect ownership interest in any firm or corporation with which the Company is affiliated or with which the Company
    has a business relationship, or any firm or corporation which competes with the Company except that directors, officers, employees or stockholders of the Company may own stock in (but not exceeding 2% of the outstanding capital stock of) publicly
    traded companies that may compete with the Company; or (iii) financial interest in any material contract with the Company.

   

  

  
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  2.12        Rights of Registration and Voting Rights.
    Except as provided in the Investor Rights Agreement, the Company is not under any obligation to register under the Securities Act any of its currently outstanding securities or any securities issuable upon exercise or conversion of its currently
    outstanding securities. To the Company’s knowledge, except as contemplated in the Voting Agreement, no shareholder of the Company has entered into any agreements with respect to the voting of capital shares of the Company.

   

  2.13        Property. The property and assets that
    the Company owns are free and clear of all mortgages, deeds of trust, liens, loans and encumbrances, except for statutory liens for the payment of current taxes that are not yet delinquent and encumbrances and liens that arise in the ordinary course of
    business and do not materially impair the Company’s ownership or use of such property or assets. With respect to the property and assets it leases, the Company is in compliance with such leases and holds a valid leasehold interest free of any liens,
    claims or encumbrances other than those of the lessors of such property or assets. The Company does not own any real property.

   

  2.14        Financial Statements. The Company has
    delivered to the Purchaser its audited financial statements as of December 31, 2018 and its unaudited financial statements (including balance sheet, income statement and statement of cash flows) as of March 31, 2021 (the “Balance Sheet Date”)
    and for the three-month period ended on the Balance Sheet Date (collectively, the “Financial Statements”). The Financial Statements have been prepared in accordance with generally accepted accounting principles (“GAAP”) applied on a
    consistent basis throughout the periods indicated, except that the unaudited Financial Statements may not contain all footnotes required by GAAP. The Financial Statements fairly present in all material respects the financial condition and operating
    results of the Company as of the dates, and for the periods, indicated therein, subject in the case of the unaudited Financial Statements to normal year-end audit adjustments. Except as set forth in the Financial Statements, the Company has no material
    liabilities or obligations, contingent or otherwise, other than (i) liabilities incurred in the ordinary course of business subsequent to the Balance Sheet Date; (ii) obligations under contracts and commitments incurred in the ordinary course of
    business; and (iii) liabilities and obligations of a type or nature not required under GAAP to be reflected in the Financial Statements, which, in all such cases, individually and in the aggregate would not have a Material Adverse Effect. The Company
    maintains and will continue to maintain a standard system of accounting established and administered in accordance with GAAP.

   

  

  
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  2.15        Changes. Since the Balance Sheet Date
    there has not been:

   

  (a)           any change in the assets, liabilities,
    financial condition or operating results of the Company from that reflected in the Financial Statements, except changes in the ordinary course of business that have not caused, in the aggregate, a Material Adverse Effect;

   

  (b)           any damage, destruction or loss, whether
    or not covered by insurance, that would have a Material Adverse Effect;

   

  (c)           any waiver or compromise by the Company of
    a valuable right or of a material debt owed to it;

   

  (d)           any satisfaction or discharge of any lien,
    claim, or encumbrance or payment of any obligation by the Company, except in the ordinary course of business and the satisfaction or discharge of which would not have a Material Adverse Effect;

   

  (e)           any material change to a material contract
    or agreement by which the Company or any of its assets is bound or subject;

   

  (f)            any material change in any compensation
    arrangement or agreement with any employee, officer, director or shareholder of the Company;

   

  (g)           any resignation or termination of
    employment of any officer or Key Employee of the Company;

   

  (h)           any mortgage, pledge, transfer of a
    security interest in, or lien, created by the Company, with respect to any of its material properties or assets, except liens for taxes not yet due or payable and liens that arise in the ordinary course of business and do not materially impair the
    Company’s ownership or use of such property or assets;

   

  (i)            any loans or guarantees made by the
    Company to or for the benefit of its employees, officers or directors, or any members of their immediate families, other than travel advances and other advances made in the ordinary course of its business;

   

  (j)            any declaration, setting aside or payment
    or other distribution in respect of any of the Company’s capital stock, or any direct or indirect redemption, purchase, or other acquisition of any of such stock by the Company;

   

  (k)           any sale, assignment or transfer of any
    Company Intellectual Property that could reasonably be expected to result in a Material Adverse Effect;

   

  (l)             receipt of notice that there has been a
    loss of, or material order cancellation by, any major customer of the Company;

   

  (m)          to the Company’s knowledge, any other event
    or condition of any character, other than events affecting the economy or the Company’s industry generally, that could reasonably be expected to result in a Material Adverse Effect; or

   

  (n)           any arrangement or commitment by the
    Company to do any of the things described in this Section 2.15.

   

  

  
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  2.16        Employee Matters.

   

  (a)
    
To
      the Company’s knowledge, none of its employees is obligated under any contract (including licenses, covenants or commitments of any nature) or other agreement, or subject to any judgment, decree or order of any court or administrative agency, that
      would materially interfere with such employee’s ability to promote the interest of the Company or that would conflict with the Company’s business. Neither the execution or delivery of the Transaction Agreements, nor the carrying on of the Company’s
      business by the employees of the Company, nor the conduct of the Company’s business as now conducted and as presently proposed to be conducted, will, to the Company’s knowledge, conflict with or result in a breach of the terms, conditions, or
      provisions of, or constitute a default under, any contract, covenant or instrument under which any such employee is now obligated.

   

  (b)

  The
    Company is not delinquent in payments to any of its employees, consultants, or independent contractors for any wages, salaries, commissions, bonuses, or other direct compensation for any service performed for it to the date hereof or amounts required
    to be reimbursed to such employees, consultants or independent contractors. The Company has complied in all material respects with all applicable state and federal equal employment opportunity laws and with other laws related to employment, including
    those related to wages, hours, worker classification and collective bargaining. The Company has withheld and paid to the appropriate governmental entity or is holding for payment not yet due to such governmental entity all amounts required to be
    withheld from employees of the Company and is not liable for any arrears of wages, taxes, penalties or other sums for failure to comply with any of the foregoing.

   

  (c)
    
To
      the Company’s knowledge, no Key Employee intends to terminate employment with the Company or is otherwise likely to become unavailable to continue as a Key Employee. The Company does not have a present intention to terminate the employment of any of
      the foregoing. The employment of each employee of the Company is terminable at the will of the Company. Except as set forth in Section 2.16(c)(i) of the Disclosure Schedule or as required by law, upon termination of the employment of any such
      employees, no severance or other payments will become due. Except as set forth in Section 2.16(c)(ii) of the Disclosure Schedule, the Company has no policy, practice, plan or program of paying severance pay or any form of severance
      compensation in connection with the termination of employment services.

   

  (d)
    
The
      Company has not made any representations regarding equity incentives to any officer, employee, director or consultant that are inconsistent with the share amounts and terms set forth in the minutes of meetings of (or actions taken by unanimous
      written consent by) the Company’s Board of Directors.

   

  (e)

  Each
    former Key Employee whose employment was terminated by the Company has entered into an agreement with the Company providing for the full release of any claims against the Company or any related party arising out of such employment.

   

  (f)

  Section 2.16(f)
    of the Disclosure Schedule sets forth each employee benefit plan maintained, established or sponsored by the Company, or which the Company participates in or contributes to, which is subject to the Employee Retirement Income Security Act of 1974, as
    amended (“ERISA”). The Company has made all required contributions and has no liability to any such employee benefit plan, other than liability for health plan continuation coverage described in Part 6 of Title I(B) of ERISA, and has complied in
    all material respects with all applicable laws for any such employee benefit plan.

   

  

  
    12 

    
      
 

  

   

  (g)

  To
    the Company’s knowledge, none of the Key Employees or directors of the Company has been (i) subject to any order, judgment or decree (not subsequently reversed, suspended, or vacated) of any court of competent jurisdiction permanently or temporarily
    enjoining him or her from engaging, or otherwise imposing limits or conditions on his or her engagement in any securities, investment advisory, banking, insurance, or other type of business or acting as an officer or director of a public company; or
    (ii) found by a court of competent jurisdiction in a civil action or by the Securities and Exchange Commission or the Commodity Futures Trading Commission to have violated any federal or state securities, commodities, or unfair trade practices law,
    which such judgment or finding has not been subsequently reversed, suspended, or vacated.

   

  (h)

  To
    the Company’s knowledge, none of the Key Employees or directors of the Company has been informed, following an internal investigation (A) by the Company that such Key Employee or director has violated any Company policy regarding appropriate workplace
    behavior or any Company anti-harassment or anti-discrimination policy prohibiting discrimination and/or harassment at the Company, or (B) by any prior employer of the violation of any substantially similar policy.

   

  2.17        Tax Returns and Payments. There are no
    federal, state, county, local or foreign taxes due and payable by the Company which have not been timely paid. There are no accrued and unpaid federal, state, county, local or foreign taxes of the Company which are due, whether or not assessed or
    disputed. There have been no examinations or audits of any tax returns or reports by any applicable federal, state, local or foreign governmental agency. The Company has duly and timely filed all federal, state, county, local and foreign tax returns
    required to have been filed by it and there are in effect no waivers of applicable statutes of limitations with respect to taxes for any year.

   

  2.18        Insurance. The Company has in full
    force and effect insurance policies concerning such casualties as would be reasonable and customary for companies like the Company, with extended coverage, sufficient in amount (subject to reasonable deductions) to allow it to replace any of its
    properties that might be damaged or destroyed.

   

  2.19        Employee Agreements. Each current and
    former employee, consultant and officer of the Company has executed an agreement with the Company regarding confidentiality and proprietary information substantially in the form or forms delivered to the Purchaser or their respective counsel (the “Confidential

      Information Agreements”). No current or former Key Employee has excluded works or inventions from his or her assignment of inventions pursuant to such Key Employee’s Confidential Information Agreement. Each current and former Key Employee has
    executed a non-solicitation agreement substantially in the form or forms delivered to the Purchaser or their respective counsel. The Company is not aware that any of its Key Employees is in violation of any agreement described in this Section 2.19.

   

  

  
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  2.20        Permits. The Company has all
    franchises, permits, licenses and any similar authority necessary for the conduct of its business, the lack of which could reasonably be expected to have a Material Adverse Effect. The Company is not in default in any material respect under any of such
    franchises, permits, licenses or other similar authority.

   

  2.21        Corporate Documents. The Articles of
    Incorporation and Bylaws of the Company as of the date of this Agreement are in the form provided to the Purchaser. The copy of the minute books of the Company provided to the Purchaser contains minutes of all meetings of directors and shareholders and
    all actions by written consent without a meeting by the directors and shareholders since the date of incorporation and accurately reflects in all material respects all actions by the directors (and any committee of directors) and shareholders.

   

  2.22        83(b) Elections. To the Company’s
    knowledge, all elections and notices under Section 83(b) of the Code have been or will be timely filed by all individuals who have acquired unvested shares of the Company’s Common Stock.

   

  2.23        Real Property Holding Corporation. The Company is not now and has never been a “United States real property holding corporation” as defined in the Code and any applicable regulations promulgated thereunder. The Company has filed with the Internal Revenue
      Service all statements, if any, with its United States income tax returns which are required under such regulations.

   

  2.24        Environmental and Safety Laws. Except
    as could not reasonably be expected to have a Material Adverse Effect and to the best of its knowledge (a) the Company is and has been in compliance with all Environmental Laws; (b) there has been no release or to the Company’s knowledge threatened
    release of any pollutant, contaminant or toxic or hazardous material, substance or waste or petroleum or any fraction thereof (each a “Hazardous Substance”), on, upon, into or from any site currently or heretofore owned, leased or otherwise used
    by the Company; (c) there have been no Hazardous Substances generated by the Company that have been disposed of or come to rest at any site that has been included in any published U.S. federal, state or local “superfund” site list or any other similar
    list of hazardous or toxic waste sites published by any governmental authority in the United States; and (d) there are no underground storage tanks located on, no polychlorinated biphenyls (“PCBs”) or PCB-containing equipment used or stored on,
    and no hazardous waste as defined by the Resource Conservation and Recovery Act, as amended, stored on, any site owned or operated by the Company, except for the storage of hazardous waste in compliance with Environmental Laws. The Company has made
    available to the Purchaser true and complete copies of all material environmental records, reports, notifications, certificates of need, permits, pending permit applications, correspondence, engineering studies and environmental studies or assessments.

   

  For purposes of this Section 2.24, “Environmental Laws” means any law, regulation, or other applicable
    requirement relating to (a) releases or threatened release of Hazardous Substance; (b) pollution or protection of employee health or safety, public health or the environment; or (c) the manufacture, handling, transport, use, treatment, storage, or
    disposal of Hazardous Substances.

   

  

  
    14 

    
      
 

  

   

  2.25        Foreign Corrupt Practices Act. Neither
    the Company nor any of its directors, officers, employees or agents have, directly or indirectly, made, offered, promised or authorized any payment or gift of any money or anything of value to or for the benefit of any “foreign official” (as such term
    is defined in the U.S. Foreign Corrupt Practices Act of 1977, as amended (the “FCPA”)), foreign political party or official thereof or candidate for foreign political office for the purpose of (a) influencing any official act or decision of such
    official, party or candidate; (b) inducing such official, party or candidate to do or omit to do any act in violation of his, her or its lawful duty; (c) inducing such official, party or candidate to use his, her or its influence to affect any act or
    decision of a foreign governmental authority; or (d) securing any improper advantage, in the case of (a), (b), (c) and (d) above in order to assist the Company or any of its affiliates in obtaining or retaining business for or with, or directing
    business to, any person. Neither the Company nor any of its directors, officers, employees or agents have made or authorized any bribe, rebate, payoff, influence payment, kickback or other unlawful payment of funds or received or retained any funds in
    violation of any law, rule or regulation. The Company further represents that it has maintained, and has caused each of its subsidiaries and affiliates to maintain, systems of internal controls (including, but not limited to, accounting systems,
    purchasing systems and billing systems) and written policies to ensure compliance with the FCPA or any other applicable anti-bribery or anti-corruption law, and to provide reasonable assurances that all books and records of the Company accurately and
    fairly reflect, in reasonable detail, all transactions and dispositions of funds and assets. Neither the Company nor any of its officers, directors or employees are the subject of any allegation, voluntary disclosure, investigation, prosecution or
    other enforcement action related to the FCPA or any other anti-corruption law (collectively, “Enforcement Action”).

   

  2.26        Data Privacy. In connection with its
    collection, storage, use and/or disclosure of any information that constitutes “personal information,” “personal data” or “personally identifiable information” as defined in applicable laws (collectively “Personal Information”) by or on behalf
    of the Company, the Company is and has been, to the Company’s knowledge, in compliance with (i) all applicable laws (including, without limitation, laws relating to privacy, data security, telephone and text message communications, and marketing by
    email or other channels) in all relevant jurisdictions, and (ii) the Company’s privacy policies. The Company maintains and has maintained reasonable physical, technical, and administrative security measures and policies designed to protect all Personal
    Information owned, stored, used, maintained or controlled by or on behalf of the Company from and against unlawful, accidental or unauthorized access, destruction, loss, use, modification and/or disclosure. To the extent the Company maintains or
    transmits protected health information, as defined under 45 C.F.R. § 160.103, the Company is in compliance with the applicable requirements of the Health Insurance Portability and Accountability Act of 1996, as amended by the Health Information
    Technology for Economic and Clinical Health Act, including all rules and regulations promulgated thereunder. The Company is and has been in compliance in all material respects with all laws relating to data loss, theft and breach of security
    notification obligations.

   

  2.27        Export Control Laws. The Company has conducted all export transactions in accordance with applicable provisions of United States export control laws and regulations, including the Export Administration Regulations, the International Traffic in
      Arms Regulations, the regulations administered by the Office of Foreign Assets Control of the U.S. Treasury Department, and the export control laws and regulations of any other applicable jurisdiction. Without limiting the foregoing: (a) the Company
      has obtained all export licenses and other approvals, timely filed all required filings and has assigned the appropriate export classifications to all products, in each case as required for its exports of products, software and technologies from the
      United States and any other applicable jurisdiction; (b) the Company is in compliance with the terms of all applicable export licenses, classifications, filing requirements or other approvals; (c) there are no pending or, to the Company’s knowledge,
      threatened claims against the Company with respect to such exports, classifications, required filings or other approvals; (d) there are no pending investigations related to the Company’s exports; (e) there are no actions, conditions, or circumstances
      pertaining to the Company’s export transactions that would reasonably be expected to give rise to any material future claims; and (f) the Company’s export classifications are provided in Section 2.29 of the Disclosure Schedule.

   

  

  
    15 

    
      
 

  

   

  2.29        CFIUS Representations. The Company does
    not engage in (a) the design, fabrication, development, testing, production or manufacture of one (1) or more “critical technologies” within the meaning of the Defense Production Act of 1950, as amended, including all implementing regulations thereof
    (the “DPA”); (b) the ownership, operation, maintenance, supply, manufacture, or servicing of “covered investment critical infrastructure” within the meaning of the DPA (where such activities are covered by column 2 of Appendix A to 31 C.F.R.
    Part 800); or (c) the maintenance or collection, directly or indirectly, of “sensitive personal data” of U.S. citizens within the meaning of the DPA. The Company has no current intention of engaging in such activities in the future.

   

  2.30        Preclinical Development and Clinical Trials.
    The studies, tests, preclinical development and clinical trials, if any, conducted by or on behalf of the Company are being conducted in all material respects in accordance with experimental protocols, procedures and controls pursuant to accepted
    professional and scientific standards for products or product candidates comparable to those being developed by the Company and all applicable laws and regulations, including the Federal Food, Drug, and Cosmetic Act
    and 21 C.F.R. parts 50, 54, 56, 58, 312, and 812. The descriptions of, protocols for, and data and other results of, the studies, tests, development and trials conducted by or on behalf of the Company that have been
    furnished or made available to the Purchaser are accurate and complete. The Company is not aware of any studies, tests, development or trials the results of which reasonably call into question the results of the studies, tests, development and trials
    conducted by or on behalf of the Company, and the Company has not received any notices or correspondence from the U.S. Food and Drug Administration (“FDA”) or any other governmental entity or any institutional review board or comparable
    authority requiring the termination, suspension or material modification of any studies, tests, preclinical development or clinical trials conducted by or on behalf of the Company.

   

  2.31        FDA Approvals. The Company possesses
    all permits, licenses, registrations, certificates, authorizations, orders and approvals from the appropriate federal, state or foreign regulatory authorities necessary to conduct its business as now conducted, including all such permits, licenses,
    registrations, certificates, authorizations, orders and approvals required by the FDA or any other federal, state or foreign agencies or bodies engaged in the regulation of drugs, pharmaceuticals, medical devices or biohazardous materials. The Company has not received any notice of proceedings relating to the suspension, modification, revocation or cancellation of any such permit, license, registration, certificate,
    authorization, order or approval. Neither the Company nor, to the Company’s knowledge, any officer, employee or agent of the Company has been convicted of any crime or engaged in any conduct that has previously caused or would reasonably be expected to
    result in (A) disqualification or debarment by the FDA under 21 U.S.C. Sections 335(a) or (b), or any similar law, rule or regulation of any other governmental entities, (B) debarment, suspension, or exclusion under any
      federal healthcare programs or by the General Services Administration, or (C) exclusion under 42 U.S.C. Section 1320a-7 or any similar law, rule or regulation of any governmental entities. Neither the Company nor any of its officers,
    employees, or, to the Company’s knowledge, any of its contractors or agents is the subject of any pending or threatened investigation by FDA pursuant to its “Fraud, Untrue Statements of Material Facts, Bribery, and Illegal Gratuities” policy as stated
    at 56 Fed. Reg. 46191 (September 10, 1991) (the “FDA Application Integrity Policy”) and any amendments thereto, or by any other similar governmental entity pursuant to any similar policy. Neither the Company nor any of its officers, employees,
    contractors, and agents has committed any act, made any statement or failed to make any statement that would reasonably be expected to provide a basis for FDA to invoke the FDA Application Integrity Policy or for any similar governmental entity to
    invoke a similar policy. Neither the Company nor any of its officers, employees, or to the Company’s knowledge, any of its contractors or agents has made any materially false statements on, or material omissions from, any notifications, applications,
    approvals, reports and other submissions to FDA or any similar governmental entity.

   

  

  
    16 

    
      
 

  

   

  2.32        FDA Regulation. The Company is and has
    been in compliance with all applicable laws administered or issued by the FDA or any similar governmental entity, including the Federal Food, Drug, and Cosmetic Act and all other laws regarding developing, testing, manufacturing, marketing,
    distributing or promoting the products of the Company, or complaint handling or adverse event reporting.

   

  2.33        PPP Loan. The Company applied in good
    faith for a loan under the Paycheck Protection Program administered by the U.S. Small Business Administration, and on February 22, 2021, the Company received such loan (the “February PPP Loan”). The Company also previously received a loan under
    the Paycheck Protection Program administered by the U.S. Small Business Administration on April 20, 2020 (the “April PPP Loan” and together with the February PPP Loan, the “PPP Loans”) and the April PPP Loan was forgiven in full on May
    23, 2021. The Company has complied in all respects with the Paycheck Protection Program and applicable legal requirements in respect of the PPP Loans, including, but not limited to, that the PPP Loans proceeds have only been used for authorized
    purposes under the Paycheck Protection Program. Each of the certifications made in connection with applying for the PPP Loans were made in good faith, and the representations and warranties made by the Company in the PPP Loans documents were true and
    correct when made.

   

  2.34        EIDL Loan. The Company applied in good
    faith for a loan under the Economic Injury Disaster Loan program administered by the U.S. Small Business Administration, and on August 19, 2020, the Company received such loan (the “EIDL Loan”). The Company has complied in all respects with the
    Economic Injury Disaster Loan program and applicable legal requirements in respect of the EIDL Loan, including, but not limited to, that the EIDL Loan proceeds have only been used for authorized purposes under the Economic Injury Disaster Loan program.
    Each of the certifications made in connection with applying for the EIDL Loan were made in good faith, and the representations and warranties made by the Company in the EIDL Loan documents were true and correct when made.

   

  2.35        Disclosure. The Company has made
    available to the Purchaser all the information reasonably available to the Company that the Purchaser have requested for deciding whether to acquire the Shares, including certain of the Company’s projections describing its proposed business plan (the “Business

      Plan”). No representation or warranty of the Company contained in this Agreement, as qualified by the Disclosure Schedule, and no certificate furnished or to be furnished to Purchaser at the Closing contains any untrue statement of a material
    fact or, to the Company’s knowledge, omits to state a material fact necessary in order to make the statements contained herein or therein not misleading in light of the circumstances under which they were made. The Business Plan was prepared in good
    faith; however, the Company does not warrant that it will achieve any results projected in the Business Plan. It is understood that this representation is qualified by the fact that the Company has not delivered to the Purchaser, and has not been
    requested to deliver, a private placement or similar memorandum or any written disclosure of the types of information customarily furnished to purchasers of securities.

   

  

  
    17 

    
      
 

  

   

  3.

  Representations

      and Warranties of the Purchaser. The Purchaser hereby represents and warrants to the Company, severally and not jointly, that:

   

  3.1          Authorization. The Purchaser has full
    power and authority to enter into the Transaction Agreements. The Transaction Agreements to which the Purchaser is a party, when executed and delivered by the Purchaser, will constitute valid and legally binding obligations of the Purchaser,
    enforceable against such Purchaser in accordance with their terms, except (a) as limited by applicable bankruptcy, insolvency, reorganization, moratorium, fraudulent conveyance and any other laws of general application affecting enforcement of
    creditors’ rights generally, and as limited by laws relating to the availability of specific performance, injunctive relief or other equitable remedies, or (b) to the extent the indemnification provisions contained in the Investor Rights Agreement may
    be limited by applicable federal or state securities laws.

   

  3.2          Purchase Entirely for Own Account.
    This Agreement is made with the Purchaser in reliance upon the Purchaser’s representation to the Company, which by the Purchaser’s execution of this Agreement, the Purchaser hereby confirms, that the Shares to be acquired by the Purchaser will be
    acquired for investment for the Purchaser’s own account, not as a nominee or agent, and not with a view to the resale or distribution of any part thereof, and that the Purchaser has no present intention of selling, granting any participation in, or
    otherwise distributing the same. By executing this Agreement, the Purchaser further represents that the Purchaser does not presently have any contract, undertaking, agreement or arrangement with any Person to sell, transfer or grant participations to
    such Person or to any third Person, with respect to any of the Shares. The Purchaser has not been formed for the specific purpose of acquiring the Shares.

   

  3.3          Disclosure of Information. The
    Purchaser has had an opportunity to discuss the Company’s business, management, financial affairs and the terms and conditions of the offering of the Shares with the Company’s management and has had an opportunity to review the Company’s facilities.
    The foregoing, however, does not limit or modify the representations and warranties of the Company in Section 2 of this Agreement or the right of the Purchaser to rely thereon.

   

  3.4          Restricted Securities. The Purchaser
    understands that the Shares have not been, and will not be, registered under the Securities Act, by reason of a specific exemption from the registration provisions of the Securities Act which depends upon, among other things, the bona fide nature of
    the investment intent and the accuracy of the Purchaser’s representations as expressed herein. The Purchaser understands that the Shares are “restricted securities” under applicable U.S. federal and state securities laws and that, pursuant to these
    laws, the Purchaser must hold the Shares indefinitely unless they are registered with the Securities and Exchange Commission and qualified by state authorities, or an exemption from such registration and qualification requirements is available. The
    Purchaser acknowledges that the Company has no obligation to register or qualify the Shares, or the Common Stock into which it may be converted, for resale except as set forth in the Investor Rights Agreement. The Purchaser further acknowledges that if
    an exemption from registration or qualification is available, it may be conditioned on various requirements including, but not limited to, the time and manner of sale, the holding period for the Shares, and on requirements relating to the Company which
    are outside of the Purchaser’s control, and which the Company is under no obligation and may not be able to satisfy.

   

  

  
    18 

    
      
 

  

   

  3.5          No Public Market. The Purchaser
    understands that no public market now exists for the Shares, and that the Company has made no assurances that a public market will ever exist for the Shares.

   

  3.6          Legends. The Purchaser understands
    that the Shares and any securities issued in respect of or exchange for the Shares, may be notated with one or all of the following legends:

   

  “THE SHARES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AND HAVE BEEN ACQUIRED FOR INVESTMENT AND NOT
    WITH A VIEW TO, OR IN CONNECTION WITH, THE SALE OR DISTRIBUTION THEREOF. NO SUCH TRANSFER MAY BE EFFECTED WITHOUT AN EFFECTIVE REGISTRATION STATEMENT RELATED THERETO OR AN OPINION OF COUNSEL IN A FORM SATISFACTORY TO THE COMPANY THAT SUCH REGISTRATION
    IS NOT REQUIRED UNDER THE SECURITIES ACT OF 1933.”

   

  (a)           Any legend set forth in, or required by,
    the other Transaction Agreements.

   

  (b)           Any legend required by the securities laws
    of any state to the extent such laws are applicable to the Shares represented by the certificate, instrument, or book entry so legended.

   

  3.7          Accredited Investor. The Purchaser is
    an accredited investor as defined in Rule 501(a) of Regulation D promulgated under the Securities Act.

   

  3.8          Foreign Investors. If the Purchaser is
    not a United States person (as defined by Section 7701(a)(30) of the Code), the Purchaser hereby represents that it has satisfied itself as to the full observance of the laws of its jurisdiction in connection with any invitation to subscribe for the
    Shares or any use of this Agreement, including (i) the legal requirements within its jurisdiction for the purchase of the Shares, (ii) any foreign exchange restrictions applicable to such purchase, (iii) any governmental or other consents that may need
    to be obtained, and (iv) the income tax and other tax consequences, if any, that may be relevant to the purchase, holding, redemption, sale, or transfer of the Shares. The Purchaser’s subscription and payment for and continued beneficial ownership of
    the Shares will not violate any applicable securities or other laws of the Purchaser’s jurisdiction.

   

  

  
    19 

    
      
 

  

   

  3.9          No General Solicitation. Neither the
    Purchaser, nor any of its officers, directors, employees, agents, shareholders or partners has either directly or indirectly, including, through a broker or finder (a) engaged in any general solicitation, or (b) published any advertisement in
    connection with the offer and sale of the Shares.

   

  3.10        Exculpation. The Purchaser acknowledges
    that it is not relying upon any Person, other than the Company and its officers and directors, in making its investment or decision to invest in the Company.

   

  3.11        Residence. If the Purchaser is an
    individual, then the Purchaser resides in the state or province identified in the address of the Purchaser set forth on Exhibit A; if the Purchaser is a partnership, corporation, limited liability company or other entity, then the office or
    offices of the Purchaser in which its principal place of business is identified in the address or addresses of the Purchaser set forth on Exhibit A.

   

  4.

  Conditions to the Purchaser’s Obligations at Closing. The obligations of the Purchaser to purchase Shares at the Closing are subject to the fulfillment, on
    or before such Closing, of each of the following conditions, unless otherwise waived:

   

  4.1          Representations and Warranties. The
    representations and warranties of the Company contained in Section 2 shall be true and correct in all respects as of such Closing.

   

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

   

  4.3          Compliance Certificate. The President
    of the Company shall deliver to the Purchaser at such Closing a certificate certifying that the conditions specified in Sections 4.1 and 4.2 have been fulfilled.

   

  4.4          Qualifications. All authorizations,
    approvals or permits, if any, of any governmental authority or regulatory body of the United States or of any state that are required in connection with the lawful issuance and sale of the Shares pursuant to this Agreement shall be obtained and
    effective as of such Closing.

   

  4.5          Board of Directors. As of the Closing,
    the authorized size of the Board shall be seven, and the Board shall be comprised of Shawn Iadonato, Ray Bartoszek, Don Merlino, Marion R. Foote, Steve Mitchell, Richard Samuelson, and Kyungwon Oh.

   

  4.6          Indemnification Agreement. The Company
    shall have executed and delivered the Indemnification Agreements.

   

  

  
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  4.7           Investor Rights Agreement. The
    Company and the Purchaser (other than the Purchaser relying upon this condition to excuse such Purchaser’s performance hereunder) and the other shareholders of the Company named as parties thereto shall have executed and delivered the Investor Rights
    Agreement.

   

  4.8          Right of First Refusal and Co-Sale
      Agreement. The Company, the Purchaser (other than the Purchaser relying upon this condition to excuse such Purchaser’s performance hereunder), and the other shareholders of the Company named as parties thereto shall have executed and delivered
    the Right of First Refusal and Co-Sale Agreement.

   

  4.9          Voting Agreement. The Company, the
    Purchaser (other than the Purchaser relying upon this condition to excuse such Purchaser’s performance hereunder), and the other shareholders of the Company named as parties thereto shall have executed and delivered the Voting Agreement.

   

  4.10        Restated Articles. The Company shall
    have filed the Restated Articles with the Secretary of State of Washington on or prior to the Closing, which shall continue to be in full force and effect as of the Closing.

   

  4.11        Secretary’s Certificate. The Secretary
    of the Company shall have delivered to the Purchaser at the Closing a certificate certifying (i) the Articles of Incorporation and Bylaws of the Company as in effect at the Closing, (ii) resolutions of the Board of Directors of the Company approving
    the Transaction Agreements and the transactions contemplated under the Transaction Agreements, and (iii) resolutions of the shareholders of the Company approving the Restated Articles.

   

  4.12        Proceedings and Documents. All
    corporate and other proceedings in connection with the transactions contemplated at the Closing and all documents incident thereto shall be reasonably satisfactory in form and substance to the Purchaser, and the Purchaser (or its respective counsel)
    shall have received all such counterpart original and certified or other copies of such documents as reasonably requested. Such documents may include good standing certificates.

   

  5.

  Conditions of the Company’s Obligations at Closing. The obligations of the Company to sell Shares to the Purchaser at the Closing are
    subject to the fulfillment, on or before the Closing, of each of the following conditions, unless otherwise waived:

   

  5.1          Representations and Warranties. The
    representations and warranties of the Purchaser contained in Section 3 shall be true and correct in all material respects as of such Closing.

   

  5.2          Performance. The Purchaser shall have
    performed and complied with all covenants, agreements, obligations and conditions contained in this Agreement that are required to be performed or complied with by them on or before such Closing.

   

  5.3          Qualifications. All authorizations,
    approvals or permits, if any, of any governmental authority or regulatory body of the United States or of any state that are required in connection with the lawful issuance and sale of the Shares pursuant to this Agreement shall be obtained and
    effective as of the Closing.

   

  

  
    21 

    
      
 

  

   

  5.4          Investor Rights Agreement. The
    Purchaser shall have executed and delivered the Investor Rights Agreement.

   

  5.5          Right of First Refusal and Co-Sale
      Agreement. The Purchaser and the other shareholders of the Company named as parties thereto shall have executed and delivered the Right of First Refusal and Co-Sale Agreement.

   

  5.6          Voting Agreement. The Purchaser and
    the other shareholders of the Company named as parties thereto shall have executed and delivered the Voting Agreement.

   

  6.

  Miscellaneous.

   

  6.1          Survival of Warranties. Unless
    otherwise set forth in this Agreement, the representations and warranties of the Company and the Purchaser contained in or made pursuant to this Agreement shall survive the execution and delivery of this Agreement and each Closing and shall in no way
    be affected by any investigation or knowledge of the subject matter thereof made by or on behalf of the Purchaser or the Company.

   

  6.2          Successors and Assigns. The terms and
    conditions of this Agreement shall inure to the benefit of and be binding upon the respective successors and assigns of the parties. Nothing in this Agreement, express or implied, is intended to confer upon any party other than the parties hereto or
    their respective successors and assigns any rights, remedies, obligations or liabilities under or by reason of this Agreement, except as expressly provided in this Agreement.

   

  6.3          Governing Law. This Agreement shall be
    governed by the internal law of the State of Delaware, without regard to conflict of law principles that would result in the application of any law other than the law of the State of Delaware.

   

  6.4          Counterparts. This Agreement may be
    executed in two (2) or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. Counterparts may be delivered via electronic mail (including pdf or any electronic signature
    complying with the U.S. federal ESIGN Act of 2000, e.g., www.docusign.com) or other transmission method and any counterpart so delivered shall be deemed to have been duly and validly delivered and be valid and effective for all purposes.

   

  6.5          Titles and Subtitles. The titles and
    subtitles used in this Agreement are used for convenience only and are not to be considered in construing or interpreting this Agreement.

   

  6.6          Notices.

   

  (a)

  General.
    All notices and other communications given or made pursuant to this Agreement shall be in writing and shall be deemed effectively given upon the earlier of actual receipt, or (a) personal delivery to the party to be notified, (b) when sent, if sent by
    electronic mail during normal business hours of the recipient, and if not sent during normal business hours, then on the recipient’s next business day, (c) five (5) days after having been sent by registered or certified mail, return receipt requested,
    postage prepaid, or (d) one (1) business day after deposit with a nationally recognized overnight courier, freight prepaid, specifying next business day delivery, with written verification of receipt. All communications shall be sent to the respective
    parties at their address as set forth on the signature page or Exhibit A, or to such e-mail address or address as subsequently modified by written notice given in accordance with this Section 6.6. If notice is given to the Company, a
    copy (which copy shall not constitute notice) shall also be sent to Blake A. Ilstrup, Orrick, Herrington & Sutcliffe, LLP, 701 5th Avenue, Suite 5600, Seattle WA
    98104, bilstrup@orrick.com, and if notice is given to the Purchaser , a copy (which copy shall not constitute notice) shall also be given to J. Randall Lewis, Wilson Sonsini Goodrich & Rosati, P.C., One Market Plaza, Spear Tower, Suite 3300, San
    Francisco, CA 94105.

   

  

  
    22 

    
      
 

  

   

  (b)

  Consent to Electronic Notice. The Purchaser consents to the delivery of any shareholder notice by electronic transmission pursuant to applicable laws at the e-mail address set forth
    below such Purchaser’s name on the signature page or Exhibit A, as updated from time to time by notice to the Company. To the extent that any notice given by means of electronic transmission is returned or undeliverable for any reason, the
    foregoing consent shall be deemed to have been revoked until a new or corrected e-mail address has been provided, and such attempted electronic notice shall be ineffective and deemed to not have been given. The Purchaser agrees to promptly notify the
    Company of any change in its e-mail address, and that failure to do so shall not affect the foregoing.

   

  6.7          No Finder’s Fees. Except as described
    in Section 6.7 of the Disclosure Schedule, each party represents that it neither is nor will be obligated for any finder’s fee or commission in connection with this transaction. The Purchaser agrees to indemnify and to hold harmless the Company from
    any liability for any commission or compensation in the nature of a finder’s or broker’s fee arising out of this transaction (and the costs and expenses of defending against such liability or asserted liability) for which the Purchaser or any of its
    officers, employees or representatives is responsible. The Company agrees to indemnify and hold harmless the Purchaser from any liability for any commission or compensation in the nature of a finder’s or broker’s fee arising out of this transaction
    (and the costs and expenses of defending against such liability or asserted liability) for which the Company or any of its officers, employees or representatives is responsible.

   

  6.8          Fees and Expenses. At the Closing, the
    Company shall pay the reasonable fees and expenses of Wilson Sonsini Goodrich & Rosati, P.C., the counsel for Purchaser, in an amount not to exceed, in the aggregate, $100,000 (the “Fee Reimbursement”).

   

  6.9          Amendments and Waivers. Any term of
    this Agreement may be amended, terminated or waived only with the written consent of the Company and the holders of at least a majority of the then-outstanding Shares. Any amendment or waiver effected in accordance with this Section 6.9 shall
    be binding upon the Purchaser and each transferee of the Shares (or the Common Stock issuable upon conversion thereof), each future holder of all such securities, and the Company.

   

  6.10        Severability. The invalidity or
    unenforceability of any provision hereof shall in no way affect the validity or enforceability of any other provision.

   

  

  
    23 

    
      
 

  

   

  6.11        Delays or Omissions. No delay or
    omission to exercise any right, power or remedy accruing to any party under this Agreement, upon any breach or default of any other party under this Agreement, shall impair any such right, power or remedy of such non-breaching or non-defaulting party
    nor shall it be construed to be a waiver of any such breach or default, or an acquiescence therein, or of or in any similar breach or default thereafter occurring; nor shall any waiver of any single breach or default be deemed a waiver of any other
    breach or default theretofore or thereafter occurring. Any waiver, permit, consent or approval of any kind or character on the part of any party of any breach or default under this Agreement, or any waiver on the part of any party of any provisions or
    conditions of this Agreement, must be in writing and shall be effective only to the extent specifically set forth in such writing. All remedies, either under this Agreement or by law or otherwise afforded to any party, shall be cumulative and not
    alternative.

   

  6.12        Entire Agreement. This Agreement
    (including the Exhibits hereto), the Restated Articles and the other Transaction Agreements constitute the full and entire understanding and agreement between the parties with respect to the subject matter hereof, and any other written or oral
    agreement relating to the subject matter hereof existing between the parties are expressly canceled.

   

  6.13        Prevailing Language. The parties hereto
    have agreed to draft this Agreement in American English and Korean. In the event of any conflicts between the American English version of the Agreement and the Korean version thereof, the American English version of the Agreement will prevail and be
    the authoritative document as to the subject matter contained herein.

   

  6.14        Dispute Resolution. The parties (a)
    hereby irrevocably and unconditionally submit to mandatory, final and binding arbitration to be held in London, England, administered by the International Court of Arbitration of the
    International Chamber of Commerce (the “ICC”), in accordance with the Arbitration Rules of the ICC in force at the moment in which the arbitration is filed, for the purpose of any suit, action or other proceeding arising out of or based upon
    this Agreement; (b) agree not to commence any suit, action or other proceeding arising out of or based upon this Agreement except as provided in Subsection 6.14(a); (c) hereby waive, and agree not to assert, by way of motion, as a defense, or
    otherwise, in any such suit, action or proceeding, any claim that it is not subject to personal jurisdiction in the forum set forth in Subsection 6.14(a), that its property is exempt or immune from attachment or execution with respect to any judgment
    issued in connection with respect to this Section 6.14(a), that the suit, action or proceeding is brought in an inconvenient forum, that the venue of the suit, action or proceeding is improper, or that this Agreement or the subject matter hereof may
    not be enforced in London, England; and (d) hereby agree that any judgment upon the award rendered by the arbitrator may be entered in any court having jurisdiction over the subject matter thereof.

   

  Waiver of Jury Trial: EACH PARTY HEREBY WAIVES ITS RIGHTS TO A JURY TRIAL OF ANY CLAIM
    OR CAUSE OF ACTION BASED UPON OR ARISING OUT OF THIS AGREEMENT, THE OTHER TRANSACTION DOCUMENTS, THE SECURITIES OR THE SUBJECT MATTER HEREOF OR THEREOF. THE SCOPE OF THIS WAIVER IS INTENDED TO BE ALL-ENCOMPASSING OF ANY AND ALL DISPUTES THAT MAY BE
    FILED IN ANY COURT AND THAT RELATE TO THE SUBJECT MATTER OF THIS TRANSACTION, INCLUDING, WITHOUT LIMITATION, CONTRACT CLAIMS, TORT CLAIMS (INCLUDING NEGLIGENCE), BREACH OF DUTY CLAIMS, AND ALL OTHER COMMON LAW AND STATUTORY CLAIMS. THIS SECTION HAS
    BEEN FULLY DISCUSSED BY EACH OF THE PARTIES HERETO AND THESE PROVISIONS WILL NOT BE SUBJECT TO ANY EXCEPTIONS. EACH PARTY HERETO HEREBY FURTHER WARRANTS AND REPRESENTS THAT SUCH PARTY HAS REVIEWED THIS WAIVER WITH ITS LEGAL COUNSEL, AND THAT SUCH PARTY
    KNOWINGLY AND VOLUNTARILY WAIVES ITS JURY TRIAL RIGHTS FOLLOWING CONSULTATION WITH LEGAL COUNSEL.

   

  

  
    24 

    
      
 

  

   

  Each party will bear its own costs in respect of any disputes arising under this Agreement. The prevailing party shall be entitled to
    reasonable attorney’s fees, costs, and necessary disbursements in addition to any other relief to which such party may be entitled.

   

  [Signature Page Follows]

   

  
    25 

    
      
 

  

   

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

   

  

  	 	COMPANY:
	 	 	 
	 	Kineta, Inc.
	 	 	 
	 	By:	/s/ Craig W. Philips

   

  	 	Name:	Craig W. Philips
	 	(print)	 
	 	 	 
	 	Title:	President
	 	 	 
	 	Address:	 

    

  Signature Page to Common Stock Purchase Agreement 

  
     

    
      
 

  

   

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

   

  

  

  	 	COMPANY:
	 	 	 
	 	Kineta, Inc.
	 	 	 
	 	By:	/s/ Shawn Iadonato

   

  	 	Name:	Shawn Iadonato
	 	(print)	 
	 	 	 
	 	Title:	CEO
	 	 	 
	 	Address:	 

    

  Signature Page to Common Stock Purchase Agreement 

  
     

    
      
 

  

   

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

   

  

  

  

  	 	PURCHASERS:
	 	 	 
	 	CBI USA, Inc.
	 	 	 
	 	By:	/s/ Kyungwon Oh

   

  	 	Name:	Kyungwon Oh
	 	(print)	 
	 	 	 
	 	Title:	President
	 	 	 

     Signature Page to Common Stock Purchase Agreement 

  
     

    
      
 

  

   

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

   

  

  

  

  

  	 	PURCHASERS:
	 	 	 
	 	CBI USA, Inc.
	 	 	 
	 	By:	/s/ Lee Ho Joon

   

  	 	Name:	Lee Ho Joon
	 	(print)	 
	 	 	 
	 	Title:	Director

     

  Signature Page to Common Stock Purchase Agreement 

  

  
     

    
      
 

  

  

   

  EXHIBITS

   

  	Exhibit A -	SCHEDULE OF PURCHASERS

   

  	Exhibit B -	FORM OF AMENDED AND RESTATED
	 	ARTICLES OF INCORPORATION

  

   

  	Exhibit C -	DISCLOSURE SCHEDULE

   

  	Exhibit D -	FORM OF INDEMNIFICATION AGREEMENT

   

  	Exhibit E -	FORM OF INVESTORS’ RIGHTS AGREEMENT

   

  	Exhibit F -	[RESERVED]

   

  	Exhibit G -	FORM OF RIGHT OF FIRST REFUSAL AND CO-SALE AGREEMENT

   

  	Exhibit H -	FORM OF VOTING AGREEMENT

   

  
     

    
      
 

  

  Exhibit A

   

  SCHEDULE OF PURCHASERS

   

  	Purchaser and Address	Investment Amount	Shares Purchased
	
          CBI USA, Inc.

           

          3000 Western Ave, Suite 400, Seattle, WA 98121

           

        	
          Voting Common Stock: $2,807,275.59

           

          Non-Voting Common Stock:$7,192,723.86

           

          Total: $9,999,999.45 

        	
          Voting Common Stock: 1,485,331

           

          Non-Voting Common Stock:

            3,805,674

           

          Total: 5,291,005Exhibit 10.68

    

    
       

      

      THE SECURITIES REPRESENTED BY THIS WARRANT HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AND HAVE BEEN ACQUIRED FOR INVESTMENT AND NOT WITH A VIEW TO, OR IN CONNECTION WITH, THE SALE OR DISTRIBUTION
        THEREOF.  NO SUCH SALE OR DISTRIBUTION MAY BE EFFECTED WITHOUT AN EFFECTIVE REGISTRATION STATEMENT RELATED THERETO OR AN OPINION OF COUNSEL IN A FORM SATISFACTORY TO THE COMPANY THAT SUCH REGISTRATION IS NOT REQUIRED UNDER THE SECURITIES ACT OF
        1933.

      
        
 

      
        
           

          

          	Warrant No. NVCW-79	
                   Number of Shares:  80,000

                
	Date of Issuance:  April 1, 2013	
                   (subject to adjustment)

                

        

      

      

      KINETA, INC.

      

      

      Non-Voting Common Stock Purchase Warrant

      

      

      Kineta, Inc. (the “Company”), for value received, hereby certifies that Quayle Associates, LLC
        or its registered assigns (the “Registered Holder”), is entitled, subject to the terms set forth below, to purchase from the Company, at any time after the date hereof and on or before the
        Expiration Date (as defined in Section 7 below), up to 80,000 shares (as adjusted from time to time pursuant to the provisions of this Warrant) of non-voting common stock of the Company (the “Non-Voting
          Common Stock”), at an exercise price of $2.10 per share.  The shares issuable upon exercise of this Warrant and the exercise price per share, as adjusted from time to time pursuant to the provisions of this Warrant, are sometimes
        hereinafter referred to as the “Warrant Stock” and the “Exercise Price,” respectively.

      

      

      1.          Exercise.

      

      

      (a)          Manner of Exercise.  Subject to Section 1(c) hereof, this Warrant may be exercised by the Registered Holder, in whole or in part, by
        surrendering this Warrant, with the purchase/exercise form appended hereto as Exhibit A duly executed by such Registered Holder or by such Registered Holder’s duly authorized attorney, at the principal office of the Company, or at such
        other office or agency as the Company may designate, accompanied by payment in full of the aggregate Exercise Price payable in respect of the number of shares of Warrant Stock purchased upon such exercise (the “Purchase Price”).  The Purchase Price may be paid by cash, check, wire transfer or by the surrender of promissory notes or other instruments representing indebtedness of the Company to the Registered Holder.

      

      

      (b)          Effective Time of Exercise.  Each exercise of this Warrant shall be deemed to have been effected immediately prior to the close of
        business on the day on which this Warrant shall have been surrendered to the Company as provided in Section 1(a) above.

      

      

      (c)          Vesting Schedule.  The Warrant Stock shall vest and become exercisable according to the following schedule:  (i) 10,000 shares of the
        Warrant Stock shall vest at the end of each of the first six months after the Vesting Commencement Date (as defined below), such that up to an aggregate of 60,000 shares will be vested and exercisable upon six full months of service to the Company
        under that certain Consulting Agreement entered into by and between the Company and the Registered Holder (the “Consulting Agreement”), and (ii) the remaining 20,000 shares of the Warrant
        Stock shall vest upon the execution of a licensing transaction by the Company or any of its subsidiaries during calendar year 2013 and during the term of the Consulting Agreement pursuant to which the Company or any of its subsidiaries receives at
        least $5,000,000 upon the signing or execution of the definitive agreement memorializing such licensing transaction (i.e., an upfront payment of such amount).

      

      

      
        
          

      

      
      For purposes of this Warrant, the “Vesting Commencement Date” shall be January 1, 2013.

      

      

      (d)          Delivery to Registered Holder.  As soon as practicable after the exercise of this Warrant in whole or in part, and in any event within
        ten days thereafter, the Company at its expense will cause to be issued in the name of, and delivered to, the Registered Holder, or as such Holder (upon payment by such Registered Holder of any applicable transfer taxes) may direct:

      

      

      (i)

      a certificate or certificates for the number of shares of Warrant Stock to which such Registered Holder shall be entitled, and

      

      

      (ii)

      in case such exercise is in part only, a new warrant or warrants (dated the date hereof) of like tenor and with the same date, calling in the aggregate on the face or faces thereof for the
        number of shares of Warrant Stock equal (without giving effect to any adjustment thereof) to the number of such shares called for on the face of this Warrant minus the number of such shares purchased by the Registered Holder upon such exercise as
        provided in Section 1(a) above (without giving effect to any adjustment thereof).

      

      

      (e)          Net Issue Exercise.

      

      

      (i)

      In lieu of exercising this Warrant in the manner provided above in Section 1(a), the Registered Holder may elect to receive Warrant Stock equal to the value of this Warrant (or the portion
        thereof being canceled) by surrender of this Warrant at the principal office of the Company together with notice of such election on the purchase/exercise form appended hereto as Exhibit A duly executed by such Registered Holder or such
        Registered Holder’s duly authorized attorney, in which event the Company shall issue to such Registered Holder a number of shares of Non-Voting Common Stock computed using the following formula:

      

      

      

      

      

      	Where	
              X = The number of shares of Non-Voting Common Stock to be issued to the Registered Holder.

            

      

      

      	

            	Y = The number of shares of Non-Voting Common Stock purchasable under this Warrant (at the date of such calculation).

      

      

      	

            	A = The fair market value of one share of Non-Voting Common Stock (at the date of such calculation).

      

      

      	

            	B = The Exercise Price (as adjusted to the date of such calculation).

      

      

      
        -2-

        
          

      

      (ii)

      For purposes of this Section 1(e), the fair market value of one share of Non-Voting Common Stock on the date of calculation shall mean:

      

      

      (A)          if the exercise is in connection with an initial public offering, and if the Company’s registration statement relating to such public offering has been declared effective by the
        Securities and Exchange Commission, then the fair market value shall be the initial “Price to Public” per share specified in the final prospectus with respect to the offering; and

      

      

      (B)          if this Warrant is exercised after, and not in connection with, the Company’s initial public offering, and if the Company’s securities are traded on a securities exchange or The
        Nasdaq Stock Market or actively traded over-the-counter:

      

      

      (1)          if the Company’s securities are traded on a securities exchange or The Nasdaq Stock Market, the fair market value shall be deemed to be the average of the closing prices over a 30 day
        period ending three days before the date of calculation; or

      

      

      (2)          if the Company’s securities are actively traded over-the-counter, the fair market value shall be deemed to be the average of the closing bid or sales price (whichever is applicable)
        over the 30 day period ending three days before the date of calculation; or

      

      

      if neither (A) nor (B) is applicable, the fair market value shall be at the highest price per share which the Company could obtain on the date of calculation from a willing buyer (not a current
        employee or director) for shares of Non-Voting Common Stock sold by the Company, from authorized but unissued units, as determined in good faith by the Board of Directors, unless the Company is at such time subject to an acquisition as described in
        Section 8(b) below, in which case the fair market value of a share of Non-Voting Common Stock shall be deemed to be the value of the consideration per share received by the holders of such shares pursuant to such acquisition.

      

      

      2.          Adjustments.

      

      

      (a)
        Splits and Dividends.  If the outstanding shares of the Company’s Common Stock shall be subdivided into a greater number of shares or a dividend
          in Common Stock shall be paid in respect of Common Stock, the Exercise Price in effect immediately prior to such subdivision or at the record date of such dividend shall simultaneously with the effectiveness of such subdivision or immediately
          after the record date of such dividend be proportionately reduced.  If outstanding shares of Common Stock shall be combined into a smaller number of shares, the Exercise Price in effect immediately prior to such combination shall, simultaneously
          with the effectiveness of such combination, be proportionately increased.  When any adjustment is required to be made in the Exercise Price, the number of Warrant Stock purchasable upon the exercise of this Warrant shall be changed to the number
          determined by dividing (i) an amount equal to the number of shares issuable upon the exercise of this Warrant immediately prior to such adjustment, multiplied by the Exercise Price in effect immediately prior to such adjustment, by (ii) the
          Exercise Price in effect immediately after such adjustment.

      

      

      

      
        -3-

        
          

      

      (b)
        Reclassification, Etc.  In case of any reclassification or change of the outstanding securities of the Company (or any other corporation the
          securities of which are at the time receivable upon the exercise of this Warrant) or any similar corporate reorganization on or after the date hereof, then and in each such case the holder of this Warrant, upon the exercise hereof at any time
          after the consummation of such reclassification, change, reorganization, merger or conveyance, shall be entitled to receive, in lieu of the shares or other securities and property receivable upon the exercise hereof prior to such consummation,
          the shares or other securities or property to which such holder would have been entitled upon such consummation if such holder had exercised this Warrant immediately prior thereto, all subject to further adjustment as provided in Section 2(a);
          and in each such case, the terms of this Section 2 shall be applicable to the shares or other securities properly receivable upon the exercise of this Warrant after such consummation

      

      

      

      (c)
        Adjustment Certificate.  When any adjustment is required to be made in the Warrant Stock or the Exercise Price pursuant to this Section 2, the
          Company shall promptly mail to the Registered Holder a certificate setting forth (i) a brief statement of the facts requiring such adjustment, (ii) the Exercise Price after such adjustment and (iii) the kind and amount of stock or other
          securities or property into which this Warrant shall be exercisable after such adjustment.

      

      

      

      3.          Transfers.

      

      

      (a)
        Unregistered Security.  Each holder of this Warrant acknowledges that this Warrant and the Warrant Stock have not been registered under the
          Securities Act of 1933, as amended (the “Securities Act”), and agrees not to sell, pledge, distribute, offer for sale, transfer or otherwise dispose of this Warrant or any Warrant Stock
          issued upon its exercise in the absence of (i) an effective registration statement under the Securities Act as to this Warrant or such Warrant Stock and registration or qualification of this Warrant or such Warrant Stock under any applicable U.S.
          federal or state securities law then in effect or (ii) an opinion of counsel, satisfactory to the Company, that such registration and qualification are not required.

      

      

      

      (b)          

      Transferability.  Subject to the provisions of Section 3(a) hereof, this Warrant and all rights hereunder are transferable, in whole or in part,
        upon surrender of the Warrant with a properly executed assignment (in the form of Exhibit B hereto) at the principal office of the Company.

      

      

      (c)
        Warrant Register.  The Company will maintain a register containing the names and addresses of the Registered Holders of this Warrant.  Until any
          transfer of this Warrant is made in the warrant register, the Company may treat the Registered Holder of this Warrant as the absolute owner hereof for all purposes; provided, however, that if this Warrant is properly assigned in
          blank, the Company may (but shall not be required to) treat the bearer hereof as the absolute owner hereof for all purposes, notwithstanding any notice to the contrary.  Any Registered Holder may change such Registered Holder’s address as shown
          on the warrant register by written notice to the Company requesting such change.

      

      

      

      4.          No Impairment.  The Company will not, by amendment of its charter or through reorganization, consolidation, merger, dissolution, sale of
        assets or any other voluntary action, avoid or seek to avoid the observance or performance of any of the terms of this Warrant, but will at all times in good faith assist in the carrying out of all such terms and in the taking of all such action as
        may be necessary or appropriate in order to protect the rights of the holder of this Warrant against impairment.

      

      

      
        -4-

        
          

      

      5.          Representations and Warranties of the Registered Holder.  The Registered Holder hereby represents and warrants to the Company that:

      

      

      (a)

      Authorization.  The Registered Holder has full power and authority to enter into this Warrant.  The Warrant, when executed and delivered by the
        Registered Holder, will constitute a valid and legally binding obligation of the Registered Holder, enforceable in accordance with its terms, except as limited by applicable bankruptcy, insolvency, reorganization, moratorium, fraudulent conveyance,
        and any other laws of general application affecting enforcement of creditors’ rights generally, and as limited by laws relating to the availability of specific performance, injunctive relief, or other equitable remedies.

      

      

      (b)

      Purchase Entirely for Own Account.  This Warrant is issued to the Registered Holder in reliance upon the Registered Holder’s representation to the
        Company, which by the Registered Holder’s acceptance of this Warrant, the Registered Holder hereby confirms, that the Warrant to be acquired by the Registered Holder, the Warrant Stock and the shares to be issued upon the conversion of the Warrant
        Stock (collectively, the “Securities”) will be acquired for investment for the Registered Holder’s own account, not as a nominee or agent, and not with a view to the resale or distribution of any part
        thereof, and that the Registered Holder has no present intention of selling, granting any participation in or otherwise distributing the same.  By accepting this Warrant, the Registered Holder further represents that the Registered Holder does not
        presently have any contract, undertaking, agreement or arrangement with any person to sell, transfer or grant participations to such person or to any third person, with respect to any of the Securities.  The Registered Holder has not been formed
        for the specific purpose of acquiring the Securities.

      

      

      (c)
        Disclosure of Information.  The Registered Holder has had an opportunity to discuss the Company’s business, management, financial affairs and the
          terms and conditions of the offering of the Securities with the Company’s management and has had an opportunity to review the Company’s facilities.  The Registered Holder understands that such discussions, as well as any written information
          delivered by the Company to the Registered Holder, were intended to describe the aspects of the Company’s business which it believes to be material.

      

      

      

      (d)
        Restricted Securities.  The Registered Holder understands that the Securities have not been, and will not be, registered under the Securities
          Act, by reason of a specific exemption from the registration provisions of the Securities Act which depends upon, among other things, the bona fide nature of the investment intent and the accuracy of the Registered Holder’s representations as
          expressed herein.  The Registered Holder understands that the Securities are “restricted securities” under applicable U.S. federal and state securities laws and that, pursuant to these laws, the Registered Holder must hold the Securities
          indefinitely unless they are registered with the Securities and Exchange Commission and qualified by state authorities, or an exemption from such registration and qualification requirements is available.  The Registered Holder acknowledges that
          the Company has no obligation to register or qualify the Securities for resale.  The Registered Holder further acknowledges that if an exemption from registration or qualification is available, it may be conditioned on various requirements
          including, but not limited to, the time and manner of sale, the holding period for the Securities, and on requirements relating to the Company which are outside of the Registered Holder’s control, and which the Company is under no obligation and
          may not be able to satisfy.

      

      

      

      
        -5-

        
          

      

      (e)
        No Public Market.  The Registered Holder understands that no public market now exists for any of the securities issued by the Company, and that
          the Company has made no assurances that a public market will ever exist for the Securities.

      

      

      

      (f)
        Accredited Investor; Sophistication.  The Registered Holder represents that (i) it is an accredited investor as defined in Rule 501(a) of
          Regulation D promulgated under the Securities Act, or (ii) it is a sophisticated investor, experienced in investing in securities of emerging growth companies, and can protect its own interests in connection with the Securities.  The Registered
          Holder further represents that it has sufficient knowledge and experience in financial and business matters to be capable of evaluating (alone or with a purchase representative) the merits and risks of acquiring the Securities.

      

      

      

      (g)
        No General Solicitation.  Neither the Registered Holder, nor any of its officers, employees, agents, directors, stockholders or partners has
          engaged the services of a broker, investment banker or finder to contact any potential investor nor has the Registered Holder or any of the Registered Holder’s officers, employees, agents, directors, stockholders or partners, agreed to pay any
          commission, fee or other remuneration to any third party to solicit or contact any potential investor.  Neither the Registered Holder, nor any of its officers, directors, employees, agents or partners has (a) engaged in any general solicitation,
          or (b) published any advertisement in connection with the offer and sale of the Securities.

      

      

      

      6.          Lock-up Agreement.

      

      

      (a) 

      Lock-up Period; Agreement.  In connection with the initial public offering of the Company’s securities and upon request of the Company or the
        underwriters managing such offering of the Company’s securities, the Registered Holder agrees not to sell, make any short sale of, loan, grant any option for the purchase of, or otherwise dispose of any securities of the Company (other than those
        included in the registration) without the prior written consent of the Company or such underwriters, as the case may be, for such period of time (not to exceed 180 days but subject to such extension or extensions as may be required by the
        underwriters in order to publish research reports while complying with the Rule 2711 of the Nation Association of Securities Dealers, Inc.) from the effective date of such registration as may be requested by the Company or such managing
        underwriters and to execute an agreement reflecting the foregoing as may be requested by the underwriters at the time of the Company’s initial public offering.,

      

      

      (b)
        Stop-Transfer Instructions.  In order to enforce the foregoing covenants, the Company may impose stop-transfer instructions with respect to the
          securities of the Registered Holder (and the securities of every other person subject to the restrictions in Section 6(a)).

      

      

      

      (c)
        Transferees Bound.  The Registered Holder agrees that prior to the Company’s initial public offering it will not transfer securities of the
          Company unless each transferee agrees in writing to be bound by all of the provisions of this Section 6.

      

      

      

      7.          Termination.  This Warrant (and the right to purchase securities upon exercise hereof) shall terminate upon the earliest to occur of the
        following (the “Expiration Date”):  (a) the seventh anniversary of the Date of Issuance set forth above, (b) the sale, conveyance or disposal of all or substantially all of the Company’s
        property or business or the Company’s merger with or into or consolidation with any other corporation (other than a wholly-owned subsidiary of the Company) or any other transaction or series of related transactions in which more than 50% of the
        voting power of the Company is disposed of, provided that this Section 7(b) shall not apply to a merger effected exclusively for the purpose of changing the domicile of the Company, a mere change in entity type (e.g., from a limited
        liability company to a C-corporation), or to an equity financing in which the Company is the surviving corporation, or (c) the closing of a firm commitment underwritten public offering pursuant to a registration statement under the Securities Act.

      

      

      
        -6-

        
          

      

      8.          Notices of Certain Transactions.  In case:

      

      

      (a)
        the Company shall set a record date for the holders of its Non-Voting Common Stock (or other securities at the time deliverable upon the exercise of this Warrant) for the purpose of entitling
          or enabling them to receive any dividend or other distribution, or to receive any right to subscribe for or purchase any shares of any class or any other securities, or to receive any other right, or

      

      

      

      (b)

      of any capital reorganization of the Company, any reclassification of the capital stock of the Company, any consolidation or merger of the Company with or into another corporation (other than a
        consolidation or merger in which the Company is the surviving entity), or any transfer of all or substantially all of the assets of the Company, or

      

      

      (c)

      of the voluntary or involuntary dissolution, liquidation or winding-up of the Company,

      

      

      then, and in each such case, the Company will mail or cause to be mailed to the Registered Holder of this Warrant a notice specifying, as the case may be, (i) the record date for the purpose of such dividend,
        distribution or right, and stating the amount and character of such dividend, distribution or right, or (ii) the effective date on which such reorganization, reclassification, consolidation, merger, transfer, dissolution, liquidation or winding-up
        is to take place, and the time, if any is to be fixed, as of which the holders of record of Non-Voting Common Stock (or such other stock or securities at the time deliverable upon such reorganization, reclassification, consolidation, merger,
        transfer, dissolution, liquidation or winding-up) are to be determined.  Such notice shall be mailed at least five (5) days prior to the record date or effective date for the event specified in such notice.

      

      

      9.          Reservation of Stock.  The Company will at all times reserve and keep available, such shares of Warrant Stock and other securities and
        property, as from time to time shall be issuable upon the exercise of this Warrant.

      

      

      10.          Exchange of Warrants.  Upon the surrender by the Registered Holder of any Warrant or Warrants, properly endorsed, to the Company at the
        principal office of the Company, the Company will, subject to the provisions of Section 3 hereof, issue and deliver to or upon the order of such Registered Holder, at the Company’s expense, a new Warrant or Warrants of like tenor, in the name of
        such Registered Holder or as such Registered Holder (upon payment by such Registered Holder of any applicable transfer taxes) may direct, calling in the aggregate on the face or faces thereof for the number of shares called for on the face or faces
        of the Warrant or Warrants so surrendered.

      

      

      
        -7-

        
          

      

      11.          Replacement of Warrants.  Upon receipt of evidence reasonably satisfactory to the Company of the loss, theft, destruction or mutilation
        of this Warrant and (in the case of loss, theft or destruction) upon delivery of an indemnity agreement (with surety if reasonably required) in an amount reasonably satisfactory to the Company, or (in the case of mutilation) upon surrender and
        cancellation of this Warrant, the Company will issue, in lieu thereof, a new Warrant of like tenor.

      

      

      12.          No Rights as Shareholder.  Until the exercise of this Warrant, the Registered Holder of this Warrant shall not have or exercise any
        rights by virtue hereof as a shareholder of the Company.

      

      

      13.          No Fractional Shares.  No fractional shares of Non-Voting Common Stock will be issued in connection with any exercise hereunder.  In lieu
        of any fractional shares which would otherwise be issuable, the Company shall pay cash equal to the product of such fraction multiplied by the fair market value of one share of Non-Voting Common Stock on the date of exercise, as determined in good
        faith by the Company’s Manager.

      

      

      14.          Amendment or Waiver.  Any term of this Warrant may be amended or waived only by an instrument in writing signed by the party against
        which enforcement of the amendment or waiver is sought.

      

      

      15.          Headings.  The headings in this Warrant are used for convenience only and are not to be considered in construing or interpreting any
        provision of this Warrant.

      

      

      16.          Governing Law.  This Warrant shall be governed, construed and interpreted in accordance with the laws of the State of Washington, without
        giving effect to principles of conflicts of law.

      

      

      17.          Successors and Assigns.  Unless otherwise provided in this Warrant, the terms and conditions of this Warrant shall inure to the benefit
        of and be binding upon the permitted successors and assigns of the parties.  Nothing in this Warrant, express or implied, is intended to confer upon any party other than the parties hereto or their respective successors and assigns any rights,
        remedies, obligations, or liabilities under or by reason of this Warrant, except as expressly provided in this Warrant.

      

      

      18.          Counterparts.  This Warrant may be executed in two or more counterparts, each of which shall be deemed an original and all of which
        together shall constitute one instrument.

      

      

      19.          Severability.  If one or more provisions of this Warrant are held to be unenforceable under applicable law, such provision shall be
        excluded from this Warrant, the balance of this Warrant shall be interpreted as if such provision were so excluded and shall be enforceable in accordance with its terms.

      

      

      
        -8-

        
          

      

      20.          Delays or Omissions.  No delay or omission to exercise any right, power or remedy accruing to any party under this Warrant, upon any
        breach or default of any other party under this Warrant, shall impair any such right, power or remedy of such non-breaching or non-defaulting party nor shall it be construed to be a waiver of any such breach or default, or an acquiescence therein,
        or of or in any similar breach or default thereafter occurring; nor shall any waiver of any single breach or default be deemed a waiver of any other breach or default theretofore or thereafter occurring.  Any waiver, permit, consent or approval of
        any kind or character on the part of any party of any breach or default under this Warrant, or any waiver on the part of any party of any provisions or conditions of this Warrant, must be in writing and shall be effective only to the extent
        specifically set forth in such writing.  All remedies, either under this Warrant or by law or otherwise afforded to any party, shall be cumulative and not alternative.

      

      

      21.          Notices.  Unless otherwise provided herein, any notice required or permitted by this Warrant shall be in writing and shall be deemed
        sufficient upon delivery, when delivered personally or by overnight courier or sent by facsimile, or 24 hours after being deposited in the U.S. mail, as certified or registered mail, with postage prepaid, addressed to the party to be notified at
        such party’s address as set forth on the signature page, or as subsequently modified by written notice.

      

      

      [Signature Page Follows]

      

      

      
        -9-

        
          

      

      

      

      
        	
                 

              	KINETA, INC.
	
                 

              	
                 

              	
                 

              
	
                 

              	
                 

              	
                 

              
	
                 

              	By: 

              	/s/ Charles Magness
	
                 

              	
                 

              	Charles Magness, Ph.D., CEO

      

      

      

      
        	
                 

              	Address:	219 Terry Ave North, Suite 300
	
                 

              	
                 

              	Seattle, WA 98109
	
                 

              	
                 

              	
                 

              
	
                 

              	Facsimile Number:  [***]

      

      

      

      

      

      

      	Accepted and Agreed:	
               

            	
               

            
	
               

            	
               

            	
               

            
	REGISTERED HOLDER	
               

            	
               

            
	
               

            	
               

            	
               

            
	Quayle Associates, LLC	
               

            	
               

            
	
               

            	
               

            	
               

            
	/s/ Craig Philips	
               

            
	Craig Philips	
               

            	
               

            
	
               

            	
               

            	
               

            
	Address:	7239 SE 29th St	
               

            
	
               

            	Mercer Island, WA 98040	
               

            
	
               

            	
               

            	
               

            
	Fax Number: [***]	
               

            	
               

            

      

      

      

      
        
          

      

      EXHIBIT A

      

      

      PURCHASE/EXERCISE FORM

      

      

      
        
          

      

      EXHIBIT B

      

      

      ASSIGNMENT FORM

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