Document:

Exhibit 10.6

 Exhibit 10.6 
 *** Text Omitted and Filed Separately 
 Confidential
Treatment Requested 
 Under 17 CFR §200.80(b)(4) and 230.406 
 LICENSE AGREEMENT 
 THIS LICENSE AGREEMENT (the “AGREEMENT”) made and entered into October 12, 2000 (the “EFFECTIVE DATE”), by and between DUKE UNIVERSITY, a North Carolina not-for-profit corporation, (hereinafter called
“DUKE”), having its principal office at Durham, North Carolina 27708, and STEMCO BIOMEDICAL, INC., a Delaware corporation organized under the laws of Delaware (hereinafter called “STEMCO”), having a mailing address at P.O. Box
14509, Research Triangle Park, North Carolina 27709. 
 WHEREAS, Clayton A. Smith, O. Michael Colvin, Susan M. Ludeman, and
Robert W. Storms are inventors of an invention (the “1609 INVENTION” hereinafter) described in Duke Office of Science and Technology File #1609 and in related patent applications defined hereinafter; and 
 WHEREAS, Clayton A. Smith, Robert W. Storms, and Eli Gilboa are inventors of an invention (the “1366 INVENTION” hereinafter)
described in Duke Office of Science and Technology File #1366 and in related patent applications defined hereinafter; and 
 WHEREAS, DUKE has the right to grant licenses to the 1609 INVENTION and to the 1366 INVENTION under PATENT RIGHTS (as hereinafter defined), and wishes to have the inventions covered by the PATENT RIGHTS utilized in the public interest; and

 WHEREAS, subject to certain U.S. Government rights disclosed herein, DUKE represents that it is the sole owner of the entire
right, title and interest in and to said inventions and PATENT RIGHTS; and 
 WHEREAS, STEMCO has informed DUKE that it wishes
to obtain an exclusive license to commercialize the 1609 INVENTION and the 1366 INVENTION under the terms and conditions specified hereinafter; and 
 WHEREAS, STEMCO represents that it intends to develop and commercialize the PATENT RIGHTS so that products made under the PATENT RIGHTS shall become available to the public; 
 NOW THEREFORE, in consideration of the premises and the faithful performance of the covenants herein contained, IT IS AGREED: 
 ARTICLE 1 - DEFINITIONS 
 1.01 - For the purposes of this AGREEMENT, and solely for that purpose, the terms and phrases set forth hereinafter in capital letters shall be defined as follows: 
  

	 	a.	“INVENTORS” shall mean Clayton A. Smith, O. Michael Colvin, Susan M. Ludeman, Robert Storms, and Eli Gilboa. 

  
  

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	 	b.	“FIELD” shall mean all uses of KNOW-HOW and PATENT RIGHTS, specifically including, without limitation, research and development, diagnosis, prevention,
therapy, and monitoring of all human and animal diseases or disorders. 

  

	 	c.	“PATENT RIGHTS” shall mean all U.S. and foreign Patent Applications filed to protect the 1609 INVENTION or the 1366 INVENTION and any patent now issued or
hereafter issuing on any such patent application, substitutes, continuations, extensions, renewals, reissues, reexaminations, additions, continuations-in-part, divisionals, or reissues thereof and any patent revalidations, registrations,
supplementary protection certificates, patents of importation or cautionary notices thereof in connection with the 1609 INVENTION or 1366 INVENTION. As of the EFFECTIVE DATE of this AGREEMENT, PATENT RIGHTS related to the 1366 INVENTION consist of a
provisional application filed in the USA numbered 60/067305, a PCT application numbered US98/25732, a US patent application numbered 09/205181, and EPC, Australian, Canadian, and Japanese patent applications filed based on the PCT applications that
have not yet been assigned numbers. As of the EFFECTIVE DATE of this AGREEMENT, PATENT RIGHTS related to the 1609 INVENTION consist of a provisional application filed in the USA numbered 60/111195 and a PCT application designating all possible
countries and numbered US99/28769. 

  

	 	d.	“KNOW-HOW” shall mean any research information, technical information, technical data or other information generated at DUKE by one of the INVENTORS prior to
or during the term of this AGREEMENT, which relate to and are necessary for the practice of the PATENT RIGHTS in the FIELD. For avoidance of doubt, KNOW-HOW shall include all unpatented and unpatentable inventions, technology, cell lines, biological
materials, compounds, probes, sequences, and methods necessary for the practice of the PATENT RIGHTS under this AGREEMENT. KNOW-HOW shall not, however, include any such materials or information or any uses of such materials and information that DUKE
cannot provide to STEMCO on either an exclusive or non-exclusive basis because of other legal obligations of DUKE pursuant to sponsored research, clinical research, material transfer, confidentiality or other agreements. 

  

	 	e.	“VALID CLAIM” means a claim of an issued patent which has not lapsed or become abandoned or been declared invalid or unenforceable by a court of competent
jurisdiction or an administrative agency for which there is no right of appeal or for which the right of appeal is waived. 

  

	 	f.	“LICENSED PRODUCT” shall mean any product which is produced or sold by STEMCO that utilizes the KNOW-HOW or that infringes one or more VALID CLAIMS of the
PATENT RIGHTS, and which is intended for use in, or is used in, the FIELD. 

  

	 	g.	“NET SALES” shall mean the total invoiced sales of LICENSED PRODUCTS sold by STEMCO, less the following sums actually paid or credited by STEMCO as shall be
detailed in STEMCO’s reports made pursuant to Article 5.02 of this AGREEMENT: 

  

	 	(a)	trade, quantity or cash discounts or commissions allowed in amounts customary in the trade; 

  

	 	(b)	any tax, excise or other governmental charge upon or measured by the production, sale, transportation, delivery or use and duties imposed on the import of LICENSED
PRODUCTS included in such amount; 

  

	 	(c)	outbound transportation charges prepaid or allowed on the cost of shipping to customers, if any; and 

  
  

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	 	(d)	credits or allowances, if given or made for LICENSED PRODUCTS, price adjustments, returns, rejections, recalls or destructions (voluntarily made by or requested or made
by an appropriate government agency, subdivision or department) of LICENSED PRODUCTS previously delivered. 

 LICENSED PRODUCTS used by STEMCO for its own use in the FIELD, LICENSED PRODUCTS sold to Affiliates, and internal sales for use in service businesses in arms length transactions shall be considered to be NET SALES for purposes of computing
royalty obligations, except such LICENSED PRODUCT used for non-revenue producing activity such as promotional items or field trials shall not be considered to be NET SALES. 
 With respect to a LICENSED PRODUCT which is sold together with any other products and/or services in a country at a unit price, whether
packaged together or separately or that is sold together with a delivery system comprising a device, equipment, instrumentation, or other components (but not solely containers or packaging) designed to assist in the preparation or administration of
the LICENSED PRODUCT (a “BUNDLED PRODUCT”), the NET SALES of a BUNDLED PRODUCT shall first be calculated in accordance with the definition of NET SALES given in the preceding paragraph, and then the parties to this Agreement shall
negotiate in good faith to determine by mutual agreement an equitable reduction in NET SALES which represents the proportionate economic value added by other products or the delivery system in BUNDLED PRODUCTS. Disputes concerning the determination
of NET SALES of BUNDLED PRODUCTS shall be resolved according to Article 20 of this AGREEMENT. 
  

	 	h.	“AFFILIATE” shall mean any entity that controls, is controlled by or is under common control with STEMCO. An entity shall be regarded as in control of another
entity if it owns or controls more than fifty percent (50%) of the voting power of the entity. 

  

	 	i.	“CAPITAL STOCK” shall mean common stock of STEMCO issued and outstanding by STEMCO prior to closing the first round of equity financing with outside
investors. The fair market value and price of CAPITAL STOCK shall be deemed to be one cent ($0.01) per share. DUKE and STEMCO agree that all CAPITAL STOCK issued shall be dilutable to the same extent upon each stage of subsequent financing of
STEMCO. 

 ARTICLE 2 - LICENSE 
 2.01 - DUKE hereby grants to STEMCO and STEMCO hereby accepts from DUKE, upon the terms and conditions herein specified, an exclusive
worldwide license under the PATENT RIGHTS and a non-exclusive, world-wide license to KNOW-HOW to make, have made, use, import, offer to sell, sell, offer to provide and provide LICENSED PRODUCTS. Such licenses are worldwide to the full end of the
term as provided in Article 11.01 herein, unless sooner terminated as hereinafter provided. DUKE hereby represents that it has the full right and authority to enter into this AGREEMENT, to grant the licenses provided herein and to perform its other
obligations hereunder. 
 2.02 - STEMCO shall have the right to grant sub-licenses. Any such sub-licenses shall be subject to
terms of this AGREEMENT. Royalties paid to DUKE for NET SALES of LICENSED PRODUCTS by sublicensees shall be equal to the royalties that would have been paid to DUKE if LICENSED PRODUCTS were sold directly by STEMCO. The terms of any non-cash
sub-licenses will be negotiated by DUKE and STEMCO. STEMCO agrees to be responsible for the payment to DUKE of royalties on funds received by STEMCO from its sublicensees and for using commercially reasonable efforts to enforce the terms of the
sublicense agreements. If, for any reason, this AGREEMENT is terminated, STEMCO agrees to assign all such sublicenses directly to DUKE. 
  
  

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 2.03 - It is agreed that, notwithstanding any provisions of this AGREEMENT, DUKE shall be
free to use the 1609 INVENTION, the 1366 INVENTION, and PATENT RIGHTS for its own non-commercial educational, teaching, research and clinical purposes without restriction and without payment of royalties or other fees. Further, DUKE shall retain the
right to provide materials related to the 1609 INVENTION, the 1366 INVENTION, and/or PATENT RIGHTS to other academic research institutions for their own non-commercial research purposes under a materials transfer agreement (“MTA”), a form
of which is set forth in Appendix A herein, which shall stipulate that no commercial entity shall gain rights to the results or inventions arising from that institution’s research with the subject materials. In addition, notwithstanding any
provisions of this Agreement, DUKE shall be free to use KNOW-HOW for its own educational, teaching, research and clinical purposes without restriction. 
 2.04 - Nothing in this AGREEMENT shall be construed to grant to DUKE any rights in the inventions, discoveries, technology, patent rights or other intellectual property developed by or for STEMCO or its
AFFILIATES or sublicensees and which are not covered by the PATENT RIGHTS or KNOW-HOW. 
 2.05 - Nothing in this AGREEMENT shall
be construed to confer any rights upon STEMCO by implication, estoppel, or otherwise as to any technology or intellectual property owned solely or jointly by DUKE which is not covered by the PATENT RIGHTS or KNOW-HOW as described in Article 1.01c.
and Article 1.01d herein, respectively. 
 2.06 - Within thirty (30) days following the execution of this AGREEMENT and
thereafter during the period of this AGREEMENT, DUKE agrees to provide STEMCO with reasonable access to all technical KNOW-HOW it may have or later obtain relative to the PATENT RIGHTS or KNOW-HOW, and with copies of any and all patents or patent
applications owned or controlled by DUKE covering the PATENT RIGHTS or KNOW-HOW or the use of the PATENT RIGHTS or KNOW-HOW or processes for the manufacture of the LICENSED PRODUCTS, including all Patent Office actions received and amendments filed,
if any, relative thereto. 
 ARTICLE 3 - GOVERNMENT RIGHTS 
 3.01 - DUKE hereby discloses to STEMCO and STEMCO acknowledges that the research leading to the 1366 INVENTION and to the 1609 INVENTION and
to PATENT RIGHTS was funded in part by the U.S. Government, and the parties agree that, notwithstanding any use of descriptive terms such as “exclusive” in Article 2.01 herein and elsewhere in this AGREEMENT, the U.S. Government has
certain rights in the 1366 INVENTION and the 1609 INVENTION as set forth in 37 CFR 401. STEMCO agrees to comply with all obligations resulting from such government rights, including, but not limited to, the requirement that any products sold in the
United States based upon such technology be substantially manufactured in the United States. 
 ARTICLE 4 - CONSIDERATION 

 4.01 - As consideration for the rights granted by DUKE in this AGREEMENT, STEMCO shall transfer to DUKE upon execution of
this AGREEMENT, ownership of three hundred thousand (300,000) fully vested, non-voting shares of the CAPITAL STOCK which shall be equal to twenty two point nine one percent (22.91%) of the issued and outstanding CAPITAL STOCK of STEMCO as of the
date hereof. At the time that STEMCO closes on the sale of CAPITAL STOCK to the public through a registration statement registered under the Securities Act of 1933, as amended, DUKE’S shares will convert to voting shares of common stock.

 4.02 - As further consideration for the rights granted by DUKE in this AGREEMENT, at the times and in the manner set forth
hereinafter, STEMCO shall pay to DUKE a royalty on NET SALES of LICENSED PRODUCTS. Such royalty shall be at the rate of [ * * * ] percent ([ * * * ]%) of NET SALES of LICENSED PRODUCTS sold by STEMCO, by AFFILIATES, or by sublicensees; provided,
however, that 
  
 [ * * * ] = Certain information on this page has
been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with respect to the omitted portions. 
  

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 STEMCO shall not be obliged to pay a total royalty on any LICENSED PRODUCT to all parties in excess of
[ * * * ] percent ([ * * * ]%) of NET SALES. In the event that STEMCO’s total royalty obligation on a LICENSED PRODUCT exceeds [ * * * ] percent ([ * * * ]%) the amount of royalty paid to all parties will
be decreased proportionately so that the total royalty obligation is reduced to [ * * * ] percent ([ * * * ]%); however, in no event shall the royalty paid to DUKE be less than [ * * * ] percent ([ * * * ]%). For avoidance of doubt, the parties
agree that any other royalties due to DUKE for the LICENSED PRODUCTS based on other agreements between DUKE and STEMCO shall be included in the calculation of total royalties set forth in this paragraph. 
 4.03 - STEMCO will pay to DUKE a minimum annual royalty of five thousand dollars ($5,000) per year beginning the calendar year that begins
on the second January 1 after the first commercial sale of a LICENSED PRODUCT that does not require FDA approval. 
 4.04 -
STEMCO will pay to DUKE a minimum annual royalty of twenty-five thousand dollars ($25,000) per year beginning the calendar year that begins on the second January 1 after [ *** ] of the [ * * * ] by the [ * * * ] or a [ * * * ] in a [ * * * ].
In the event that STEMCO is already obligated to pay a minimum annual royalty pursuant to Article 4.03 herein at the time such [ * * * ] of the [ * * * ] by the [ * * * ] or a [ * * * ] in a [ * * * ] is obtained, then this
Article 4.04 shall control and the minimum annual royalty due for such calendar year shall be twenty-five thousand dollars ($25,000) per year. 
 4.05 - STEMCO has determined, for its internal corporate purposes only, that consideration paid to DUKE under this Article 4 will be allocated as follows: [ * * * ] percent ([ * * * ]%) as consideration
for the license granted to the 1609 INVENTION and related PATENT RIGHTS under Article 2 herein and [ * * * ] ([ * * * ]%) percent, as consideration for the license granted to the 1366 INVENTION and related PATENT RIGHTS under Article 2 herein.

 4.06 - DUKE shall be entitled to have one person reasonably acceptable to STEMCO attend all meetings of the Board of
Directors of STEMCO as an observer for a period of five (5) years from the EFFECTIVE DATE of this AGREEMENT. Accordingly, STEMCO shall provide DUKE with reasonable advance notification regarding the time and place of each such meeting of the
STEMCO Board of Directors. 
 ARTICLE 5 - RECORDS AND REPORTS 
 5.01 - STEMCO shall render to DUKE prior to February 28th of each year a written account of progress made toward fulfillment of any due
diligence requirements and commercialization of PATENT RIGHTS pursuant to Article 6 herein. 
 5.02 -
STEMCO shall render to DUKE prior to February 28th and August 31st of each year a written account of the NET SALES of LICENSED PRODUCTS subject to royalty hereunder made during the prior six (6) month period ending December 31st and June 30th, respectively, and shall simultaneously pay to DUKE the royalties due on such NET SALES in United States
Dollars. Reports tendered shall include the calculation of royalties by LICENSED PRODUCT by country in substantially the format provided in Appendix B hereto. Minimum annual royalties, if any, which are due DUKE for any calendar year, shall be paid
by STEMCO along with the written report due on February 28th of each year. 
 5.03 - STEMCO will make all payments on or before the date required by the terms of this AGREEMENT,
or, in the case of reimbursement of patent costs under Articles 7.02, 7.03, and 7.04 herein, within thirty (30) days of any invoice date on invoices received from DUKE. If STEMCO has not paid any amount due to DUKE in accordance with this
Article, DUKE shall increase the amount due (in US Dollars) by an annual percentage rate equal to two percent (2%) above the prime rate in effect at the Wachovia Bank (N.A.) (or its successor, as the case may be) on the due date. Such increase(s)
shall compound monthly until such time as the STEMCO has met the full financial obligation due at the time of the next payment or invoice due date. The payment of such interest shall not foreclose DUKE from exercising any other rights it may have as
a consequence of the lateness of the payment, including termination in accordance with Article 11.03 herein. 
  
 [ * * * ] = Certain information on this page has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with respect to the omitted
portions. 
  

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 5.04 - STEMCO shall keep full, true and accurate books of accounts and other records
containing all particulars which may be necessary to properly ascertain and verify the royalties payable by it hereunder. Upon DUKE’s request, STEMCO shall permit an independent Certified Public Accountant selected by DUKE (except one to whom
STEMCO has some reasonable objection) to have access during ordinary business hours to such of STEMCO’s records as may be necessary to determine, in respect of any quarter ending not more than two (2) years prior to the date of such request,
the correctness of any report and/or payment made under this AGREEMENT. Such Certified Public Accountant shall execute a written non-disclosure agreement reasonably acceptable to STEMCO. If such examination determines that STEMCO underpaid the
royalties and other consideration due to DUKE by more than five percent (5%), STEMCO shall bear the cost of such examination. 
 5.05 - During the term of this AGREEMENT, representatives of DUKE will meet with representatives of STEMCO at times and places mutually agreed upon to discuss the progress and results, as well as ongoing plans, with respect to the
evaluation and development of the PATENT RIGHTS licensed to STEMCO; provided, however, that should DUKE’s personnel be required by STEMCO to consult with STEMCO outside of Durham County, North Carolina, STEMCO will reimburse reasonable travel
and living expenses incident thereto. 
 ARTICLE 6 - DUE DILIGENCE REQUIREMENTS 
 6.01 - STEMCO shall use reasonable commercial diligence in performing research and development to bring LICENSED PRODUCTS to market through
a thorough, vigorous, and diligent program for exploitation of the PATENT RIGHTS, to develop manufacturing capabilities, and to continue active, diligent marketing efforts for LICENSED PRODUCTS throughout the term of this AGREEMENT, and to
vigorously sublicense PATENT RIGHTS for applications STEMCO will not pursue throughout the life of this AGREEMENT. Further, it is agreed that STEMCO shall actively offer for sale in the United States at least one LICENSED PRODUCT within four (4)
years of the EFFECTIVE DATE. 
 6.02 - Within three (3) months of the EFFECTIVE DATE, STEMCO shall provide DUKE with a
written business plan showing annual projections over a three (3) year period for the following: operating costs, revenue, capital expenditures, and funding. 
 6.03 - Within twelve (12) months of the EFFECTIVE DATE, STEMCO shall raise at least two million dollars (US $2,000,000) in equity financing. Further, within sixty (60) months of the Effective Date, STEMCO
shall raise an additional sum of equity financing equal to at least six million dollars (US $6,000,000). 
 6.04 - DUKE may
terminate this AGREEMENT or convert this AGREEMENT to a non-exclusive AGREEMENT if STEMCO fails to meet any of the commercialization milestones set forth in Articles 6.01, 6.02, and 6.03 herein and STEMCO has failed to cure such failure within
ninety (90) days after receiving written notice from DUKE of such failure. 
 ARTICLE 7 - PATENTS 
 7.01 - Upon execution of this License Agreement, DUKE shall retain the primary responsibility for applying for, seeking prompt issuance of,
and maintaining the PATENT RIGHTS until STEMCO assumes such responsibility for perfecting PATENT RIGHTS as provided for in Articles 7.04 and 7.05 herein. DUKE shall keep STEMCO advised as to the status of the PATENT RIGHTS by providing STEMCO, in a
timely manner, with copies of all official documents and correspondence relating to the prosecution, 
  
  

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maintenance, and validity of the PATENT RIGHTS. DUKE shall consult with STEMCO in such prosecution and maintenance, shall diligently seek STEMCO’s advice on all matters pertaining to PATENT
RIGHTS, and shall not abandon prosecution of any patent application or any of the claims of the PATENT RIGHTS without first notifying STEMCO in writing in a timely manner. DUKE’S obligations under this Article 7.01 herein shall include, without
limitation, an obligation to seek input from STEMCO in a timely manner concerning foreign countries in which patent applications should be filed and prosecuted. DUKE will make diligent efforts to implement reasonable strategies for or reasonable
actions related to the prosecution of PATENT RIGHTS requested by STEMCO during the period that DUKE has primary responsibility for perfecting PATENT RIGHTS. Notwithstanding the foregoing, during the period that DUKE has primary responsibility for
perfecting PATENT RIGHTS, all decisions with respect to the filing, prosecution, and maintenance of PATENT RIGHTS shall reside with DUKE; however, DUKE shall give reasonable consideration to all suggestions made by STEMCO concerning such filing,
prosecution, and maintenance of PATENT RIGHTS. 
 7.02 - DUKE shall pay all expenses associated with the establishment and
perfection of PATENT RIGHTS during the period that DUKE maintains primary responsibility for such activities as specified in Article 7.01 herein, and STEMCO shall reimburse DUKE for all such expenses related to PATENT RIGHTS incurred by DUKE during
this period, such reimbursement to be made within thirty (30) days of being invoiced by DUKE. 
 7.03 - STEMCO shall
reimburse DUKE for all expenses incurred by DUKE in the perfection and maintenance of PATENT RIGHTS prior to the EFFECTIVE DATE on the earlier of the following: within sixty (60) days of the EFFECTIVE DATE of this AGREEMENT or prior to assuming
primary responsibility for perfecting PATENT RIGHTS. 
 7.04 - STEMCO shall have the option to assume primary responsibility for
all activities associated with the perfection and maintenance of PATENT RIGHTS. In order to exercise this option, STEMCO shall inform DUKE in writing that it is ready to undertake responsibility for PATENT RIGHTS, ask DUKE for approval of the legal
counsel that STEMCO intends to retain for such purposes, and reimburse DUKE for any unreimbursed expenses incurred by DUKE in pursuit of PATENT RIGHTS. DUKE shall not unreasonably withhold approval of STEMCO’s designated legal counsel and shall
make diligent efforts to assist the transfer of responsibility for prosecution of PATENT RIGHTS from DUKE to STEMCO within forty-five (45) days of both receipt of the written notice of the exercise of the option from STEMCO and of reimbursement
for any expense amount due to DUKE with regard to PATENT RIGHTS. STEMCO’s rights and obligations with respect to PATENT RIGHTS should STEMCO opt to assume such responsibilities are more fully set forth in Articles 7.05 through 7.08 herein.

 7.05 - After STEMCO assumes primary responsibility for perfection and maintenance of PATENT RIGHTS as provided in Article
7.04 herein, STEMCO shall keep DUKE advised as to the status of the PATENT RIGHTS by providing DUKE, in a timely manner, with copies of all official documents and correspondence relating to the prosecution, maintenance, and validity of the PATENT
RIGHTS. STEMCO shall consult with DUKE in such prosecution and maintenance, shall diligently seek DUKE’s advice on all matters pertaining to the PATENT RIGHTS, shall diligently seek strong and broad claims under the PATENT RIGHTS, and shall not
abandon prosecution of any patent application or any of the claims of the PATENT RIGHTS without first notifying DUKE in a timely manner of STEMCO’s intention and reason therefor, and providing DUKE with reasonable opportunity to assume
responsibility for prosecution and maintenance of the patents. All decisions with respect to the prosecution of the PATENT RIGHTS shall be made by STEMCO, subject to the approval of DUKE, which approval shall not be unreasonably withheld. However,
notwithstanding the foregoing, no claims of the PATENT RIGHTS shall be modified, deleted, or abandoned by STEMCO or its patent counsel without the express, prior written approval of DUKE. STEMCO’s obligations under this Article 7.05 shall
include, without limitation, an obligation to inform DUKE in a timely manner that STEMCO will not purse patents in any foreign countries where patent protection may be available such that DUKE may prosecute patents in such countries if DUKE so
desires. If DUKE pursues such foreign patent protection, then from that time forward all such subject patent applications and any patents arising therefrom shall no longer be considered PATENT RIGHTS under this AGREEMENT and STEMCO shall forfeit all
rights under this AGREEMENT to such patent applications and any patents arising therefrom. 
  

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 7.06 - After STEMCO assumes primary responsibility for perfection and maintenance of PATENT
RIGHTS as provided in Article 7.04 herein, STEMCO shall be responsible for and pay all costs and expenses incurred during the term of this Agreement, for the preparation, filing, prosecution, issuance and maintenance of the PATENT RIGHTS. STEMCO
shall not allow PATENT RIGHTS to become abandoned due to nonpayment of fees without first affording DUKE the opportunity to assume responsibility for the prosecution and further costs and expenses incurred relating to said PATENT RIGHTS. If DUKE
assumes the responsibility for such prosecution and further costs and expenses of a subject PATENT RIGHTS, then from that time forward all such subject patent applications (and any patents arising therefrom) and patents shall no longer be considered
PATENT RIGHTS under this AGREEMENT and STEMCO shall forfeit all rights under this AGREEMENT to such patent applications (and any patents arising therefrom) and patents. 
 7.07 - In the event that DUKE assumes responsibility for prosecution and maintenance of the PATENT RIGHTS pursuant to Article 7.05 or 7.06 above, STEMCO shall provide reasonable technical assistance to
DUKE in the further prosecution of the PATENT RIGHTS. 
 7.08 - In the event that this Agreement is terminated pursuant to
Article 11 herein, the sole responsibility for applying for, seeking prompt issuance of, and maintaining the PATENT RIGHTS shall revert to DUKE, and DUKE shall pay expenses subsequently incurred for the preparation, filing, prosecution, issuance and
maintenance of the PATENT RIGHTS. In the event that responsibility for patent prosecution reverts to DUKE as specified in this Article 7.08 STEMCO shall, at its own expense, transfer all pertinent documents and materials related to the PATENT RIGHTS
to DUKE in a timely manner so as to avoid loss of potential patent rights. 
 ARTICLE 8 - INFRINGEMENT BY THIRD PARTIES 

 8.01 - Upon learning of the infringement of PATENT RIGHTS by a third party, the party learning of such infringement shall
promptly inform the other party in writing of that fact along with any evidence available pertaining to the infringement. STEMCO shall have the right, at its own expense, to take whatever steps are necessary to stop the infringement and recover
damages. In such case, STEMCO will keep DUKE informed of the steps taken and the progress of any legal actions taken. 
 STEMCO
will pay to DUKE royalties pursuant to Article 4.02 herein on any such damages recovered and allocated by the court, or in the absence of such allocation by the court, reasonably allocated by the mutual agreement of STEMCO and DUKE, as consideration
for lost sales of LICENSED PRODUCTS that are in excess of out-of-pocket legal expenses incurred by STEMCO in enforcing the PATENT RIGHTS plus STEMCO’s reimbursement to DUKE for its out-of-pocket expenses in cooperating with STEMCO in
prosecution or arbitration of such infringement. Any damages recovered by STEMCO in excess of those allocated as set forth above shall be shared, with [ *** ] receiving [ *** ] percent ([ *** ]%) and [ *** ] receiving [ *** ] percent ([ *** ]%). If
STEMCO does not undertake, within sixty (60) days of the date of the notice of infringement, to enforce the PATENT RIGHTS against the infringing party, DUKE shall have the right, at its own expense to take whatever steps are necessary to stop
the infringement and recover damages, and shall be entitled to retain damages so recovered and allocated by the court, or in the absence of such allocation by the court, reasonably allocated by the mutual agreement of STEMCO and DUKE, as
consideration for lost sales of LICENSED PRODUCTS that are in excess of out-of-pocket legal expenses incurred by DUKE in enforcing the PATENT RIGHTS plus DUKE’s reimbursement to STEMCO for its out-of-pocket expenses in cooperating with DUKE in
prosecution or arbitration of such infringement. Any damages recovered by DUKE in excess of those allocated as set forth above shall be shared, with [ *** ] receiving [ *** ] percent ([ *** ]%) and [ *** ] receiving [ *** ] percent ([ *** ]%).

  
 [ * * * ] = Certain information on this page has been omitted and
filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with respect to the omitted portions. 
  

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 ARTICLE 9 - GOVERNMENT CLEARANCE AND EXPORT 
 9.01 - STEMCO agrees to use its best efforts to have the LICENSED PRODUCTS cleared for marketing and sale in those countries in which STEMCO
intends to sell LICENSED PRODUCTS by the responsible government agencies requiring such clearance. Where such clearance requires payment of taxes or fees, STEMCO shall maintain full responsibility for that payment, which shall not be creditable
against any other amounts due under this AGREEMENT. To accomplish said clearances at the earliest possible date, STEMCO agrees to file, according to the usual practice of STEMCO, any necessary data with said government agencies. 
 9.02 - This AGREEMENT is subject to all of the United States laws and regulations controlling the export of technical data, computer
software, laboratory prototypes and other commodities and technology. 
 ARTICLE 10 - PUBLICATION 
 10.01 - STEMCO agrees that the right of publication/presentation of the 1609 INVENTION, the 1366 INVENTION, and information in related
PATENT RIGHTS shall reside in the inventors and other staff of DUKE. DUKE shall use reasonable efforts to provide STEMCO a review copy of such publications/presentations forty-five (45) days in advance of submission for publication or public
disclosure, but such prior review by STEMCO will be in no way construed as a right to restrict such publication/presentation. Such review shall be granted solely so that DUKE and STEMCO can pursue patent protection prior to public disclosure. STEMCO
shall also have the right to publish/present and/or co-author, in accordance with customary academic standards, any publication/presentation on the 1609 INVENTION and the 1366 INVENTION based upon data developed by STEMCO. 
 ARTICLE 11 - DURATION AND TERMINATION 
 11.01 - This AGREEMENT shall become effective upon the EFFECTIVE DATE, and unless sooner terminated in accordance with any of the provisions herein, shall remain in full force and effect for the life of
the last-to-expire of the patents included in the PATENT RIGHTS, or any patents issued on KNOW-HOW. Upon the expiration of this AGREEMENT, but not in the event of termination for reasons other than expiration of the last-to expire of the patents
included in the PATENT RIGHTS or any patents issued on KNOW-HOW, DUKE shall grant STEMCO a non-exclusive, worldwide, fully paid license, with the right to grant sub-licenses, under the KNOW-HOW to make, have made, use, import, offer to sell, sell,
offer to provide and provide LICENSED PRODUCTS. 
 11.02 - STEMCO may terminate this AGREEMENT by giving DUKE written notice at
least three (3) months prior to such termination, and thereupon terminate the manufacture, use, and sale of LICENSED PRODUCTS, subject to Article 11.04 herein. 
 11.03 - Either party may immediately terminate this AGREEMENT for fraud, willful misconduct, or illegal conduct of the other party that materially adversely affects such party upon written notice of same
to that other party. Except as provided above, if either party fails to fulfill any of its material obligations under this AGREEMENT, the non-breaching party may terminate this AGREEMENT, upon written notice to the breaching party, as provided
below. Such notice must contain a full description of the event or occurrence constituting a material breach of this AGREEMENT. The party receiving notice of the breach shall submit a written plan to cure such breach to the non-defaulting party
within thirty (30) days of receipt of such notice. The plan shall be subject to the reasonable acceptance, rejection or modification by the non-defaulting party within ten (10) days of receipt of the plan. The defaulting party shall have
the opportunity to cure that breach in accordance with the terms of the accepted plan. If the breach is not cured within that time, the termination will be effective as of the end of the cure period set forth in the accepted plan. A party’s
ability to cure a breach will apply only to the first two breaches properly noticed under the terms of this 
  
  

 Page 9 of 20 

 
AGREEMENT, regardless of the nature of those breaches. Any subsequent breach by that party will entitle the other party to terminate this AGREEMENT effective immediately upon the breaching
party’s receipt of written notice of the same. 
 11.04 - Upon the termination of this AGREEMENT in accordance with
Articles 6.04, 11.02, 11.03, or 11.04 herein, STEMCO shall notify DUKE of the amount of LICENSED PRODUCTS that STEMCO then has on hand and STEMCO shall then have a license to sell that amount of LICENSED PRODUCTS, but no more, for a period of ninety
(90) days following such termination of this AGREEMENT provided STEMCO shall pay the royalty thereon at the rate and at the time provided for herein. Further, STEMCO shall, within one hundred and eighty (180) days of such termination of
this Agreement destroy in a safe and legal manner all remaining LICENSED PRODUCTS that STEMCO has on hand. 
 11.05 - Within one
hundred and twenty (120) days following termination of this AGREEMENT pursuant to Article 11.03, and except for reason of expiration, STEMCO shall assign to DUKE its full interest and title in all market clearance applications associated with
regulatory/marketing approval of any and all LICENSED PRODUCT(S) (including all data thereto) and all data related to as yet unified market clearance applications associated with regulatory/marketing approval of any LICENSED PRODUCT. 
 11.06 - If during the term of this AGREEMENT, STEMCO shall become bankrupt or insolvent or if the business of STEMCO shall be placed in the
hands of a receiver or trustee, whether by the voluntary act of STEMCO or otherwise, or if STEMCO shall cease to exist as an active business, this Agreement shall immediately terminate, and STEMCO shall immediately cease all use of PATENT RIGHTS and
KNOW-HOW, including, inter alia, manufacture, use, and sale of LICENSED PRODUCTS. In such event, DUKE shall have all the remedies and rights available to it for termination with cause; provided, however, that this provision of this Article
11.06 shall not apply to a reorganization of STEMCO under Chapter 11 of the United States Bankruptcy Code. 
 11.07 - Within
thirty (30) days of any termination or expiration of this AGREEMENT, STEMCO shall destroy in a safe and legal manner any biological materials (including modifications and derivatives thereof) which have been provided to STEMCO by DUKE under
this AGREEMENT. Further, within fifteen (15) days of such destruction STEMCO shall provide DUKE with written certification of such safe and legal destruction of the subject biological materials. 
 11.08 - No termination or expiration of this AGREEMENT shall relieve STEMCO from any obligations of amounts due to DUKE under Articles 2.02,
4.02, 4.03, 4.04, 5.03, 7.02, and 8.01 herein prior to or on the date of such termination/expiration. 
 ARTICLE 12 - LAW TO
GOVERN 
 12.01 - This AGREEMENT shall be construed and enforced in accordance with the laws of the State of North Carolina
without regard to its conflict of laws provisions. 
 ARTICLE 13 - NOTICES 
 13.01 - Notice hereunder shall be deemed sufficient if personally delivered, if given by registered mail, postage prepaid, or by national
overnight courier, charges prepaid, and in each instance addressed to the party to receive such notice at the address given below, or such other address as may hereafter be designated by notice in writing. 
  
  

 Page 10 of 20 

			
	 DUKE
	  	 STEMCO

	 Office of Science and Technology
 Duke University
  
 Room 230, North Building
 Box 90083
 Durham, NC 27708
	  	 P.O. Box 14509
 Research
Triangle Park, NC 27709
  
 ATTENTION: CEO

		
	 cc: Office of the University Counsel
 Duke University Medical Center
 DUMC Box 3024
 2400 Pratt Street, Suite 4000
 Durham, NC 27710
	  	 cc: Fred D. Hutchison, Esquire
 Hutchison & Mason PLLC
 Suite 100
 3110 Edwards Mill Road
 Raleigh, NC 27612

 13.02 - Information and transactions exchanged between the parties in relation to
financial consideration contemplated under this AGREEMENT, including but not limited to royalty reports and payments, shall be tendered to the following offices of each party respectively: 
  

			
	 DUKE
	  	 STEMCO

	 Office of Science and Technology
 Attn.: Financial Administrator
 Room 230, North Building
 Box 90083
 Durham, NC 27708
	  	 P.O. Box 14509
 Research
Triangle Park, NC 27709
 ATTENTION: CEO

 ARTICLE 14 - ASSIGNMENT 
 14.01 - This AGREEMENT shall be binding upon and inure to the benefit of the respective successors and assigns of the parties hereto.
However, STEMCO may not assign its rights in this AGREEMENT without approval by DUKE, such approval not to be unreasonably withheld; provided, however, that no such approval shall be required from DUKE if this AGREEMENT is assigned in connection
with the sale of all or substantially all of the assets or stock of STEMCO, whether by merger, acquisition or otherwise. 
 ARTICLE 15 - INDEMNITY, INSURANCE, REPRESENTATIONS, STATUS 
 15.01 - STEMCO agrees to indemnify, hold harmless
and defend DUKE, its trustees, officers, employees, students, and agents, against any and all claims, suits, losses, damages, costs, fees, and expenses asserted by third parties, both government. and non-government, resulting from or arising out of
the exercise of the license granted under this AGREEMENT. STEMCO shall not be responsible for the gross negligence or intentional wrong doing of DUKE. 
 15.02 - STEMCO shall maintain in force at its sole cost and expense, with reputable insurance companies, general liability insurance and products liability insurance coverage in amounts customary for
companies similarly situated in the same industry. DUKE shall have the right to ascertain from time to time that such coverage exists, such right to be exercised in a reasonable manner. In lieu of said coverage, DUKE agrees to consider the existence
of an adequate self-insurance program as an acceptable alternative. 
 15.03 - NOTHING IN THIS AGREEMENT SHALL BE DEEMED TO BE A
REPRESENTATION OR WARRANTY BY DUKE OF THE VALIDITY OF ANY OF THE PATENTS OR THE ACCURACY, SAFETY, EFFICACY, OR USEFULNESS, FOR ANY PURPOSE, OF ANY PATENT RIGHTS. DUKE SHALL HAVE NO OBLIGATION, EXPRESS OR IMPLIED, TO SUPERVISE, MONITOR, REVIEW OR
OTHERWISE ASSUME RESPONSIBILITY FOR THE PRODUCTION, MANUFACTURE, TESTING, MARKETING OR SALE OF ANY LICENSED PRODUCT, AND DUKE SHALL HAVE NO LIABILITY WHATSOEVER TO STEMCO OR ANY THIRD PARTIES FOR OR ON ACCOUNT OF ANY INJURY, LOSS, OR DAMAGE, OF ANY
KIND OR NATURE, SUSTAINED BY, OR ANY DAMAGE ASSESSED OR 
  
  

 Page 11 of 20 

 
ASSERTED AGAINST, OR ANY OTHER LIABILITY INCURRED BY OR IMPOSED UPON STEMCO OR ANY OTHER PERSON OR ENTITY, ARISING OUT OF OR IN CONNECTION WITH OR RESULTING FROM: 
  

	 	a.	the production, use, or sale of any LICENSED PRODUCT; 

  

	 	b.	the use of any PATENT RIGHTS by STEMCO or its sublicensees; or 

  

	 	c.	any advertising or other promotional activities by STEMCO with respect to any of the foregoing. 

 15.04 - Neither party hereto is an agent or subcontractor of the other party for any purpose whatsoever. 
 ARTICLE 16 - USE OF A PARTY’S NAME 
 16.01 - Neither party will, without the express, prior written consent of the other party: 
  

	 	a.	use in advertising, publicity, press release, promotional activity, or otherwise, the name or image of that party or its employees, students, or agents, any trade-name,
personal name, trademark, trade device, service mark, symbol, or any abbreviation, contraction or simulation thereof owned by the other party; or 

  

	 	b.	represent, either directly or indirectly, that any product or service of the other party is a product or service of the representing party or that it is made in
accordance with or utilizes the information or documents of the other party. 

 ARTICLE 17 - SEVERANCE, WAIVER
AND ALTERATION 
 17.01 - Each clause of this AGREEMENT is a distinct and severable clause and if any clause is deemed
illegal, void or unenforceable, the validity, legality or enforceability of any other clause or portion of this AGREEMENT will not be affected thereby. 
 17.02 - The failure of a party in any instance to insist upon the strict performance of the terms of this AGREEMENT will not be construed to be a waiver or relinquishment of any of the terms of this
AGREEMENT, either at the time of the party’s failure to insist upon strict performance or at any time in the future, and such terms will continue in full force and effect. 
 17.03 - Any alteration, modification, or amendment to this AGREEMENT must be in writing and signed by both parties, 
 ARTICLE 18 - CONFIDENTIALITY 
 18.01 - During the term of this AGREEMENT and for a period of five (5) years following the disclosure of subject information, DUKE and STEMCO each agree to treat any confidential information
disclosed to it by the other party to this AGREEMENT with reasonable care and to avoid disclosure of such information to any other person, firm or corporation, except AFFILIATES bound by the obligations of confidentiality and restricted use set
forth in this Article 18, and either party shall be liable for unauthorized disclosure or failure to exercise such reasonable care. Further, the receiving party will not use the disclosing party’s confidential information other than for the
benefit of the parties hereto and relating to this AGREEMENT. Neither party shall have an obligation, with respect to confidential information disclosed to it, or any part thereof, which: 
  

	 	a.	is already known to the party at the time of the disclosure; 

  
  

 Page 12 of 20 

	 	b.	becomes publicly known without the wrongful act or breach of this AGREEMENT by the party; 

  

	 	c.	is rightfully received by the party from a third party on a non-confidential basis; 

  

	 	d.	is subsequently and independently developed by employees of the party who had no knowledge of the information, as verified by written records; or

  

	 	e.	is approved for release by prior written authorization of the party disclosing the information; or 

  

	 	f.	is disclosed pursuant to any judicial or government request, requirement or order, provided that the party so disclosing takes reasonable steps to provide the other
party sufficient prior notice in order to contest such request, requirement or order. 

 18.02 - DUKE and STEMCO
agree that any information to be treated as confidential information under this Article 18 must be disclosed in writing or in another tangible medium and must be clearly marked “CONFIDENTIAL”. Information disclosed orally must be
summarized and reduced to writing and communicated to the other party within thirty (30) days of such disclosure, and the other party agrees that such disclosed information shall be deemed confidential. 
 18.03 - Notwithstanding the foregoing, STEMCO shall have the right to use and disclose any confidential information related to the PATENT
RIGHTS and KNOW-HOW to investors, prospective investors, employees, consultants and agents with a need to know, collaborators, prospective collaborators and other third parties in the chain of manufacturing and distribution provided that STEMCO
obtains from such parties written confidentiality agreements the provisions of which are at least as strenuous as those provided in this Article 18. If a party refuses to execute a written confidentiality agreement, STEMCO may request from DUKE that
such requirement be waived, such consent to waiver not to be unreasonably withheld by DUKE. 
 ARTICLE 19 - TITLES

 19.01 - All titles and article headings contained in this AGREEMENT are inserted only as a matter of convenience and
reference. They do not define, limit, extend or describe the scope of this AGREEMENT or the intent of any of its provisions. 
 ARTICLE 20 - ARBITRATION 
 20.01 - Disputes relating to the terms and conditions of this AGREEMENT shall be
settled by final and binding arbitration in the City of Durham in the State of North Carolina pursuant to commercial arbitration rules of the American Arbitration Association, in accordance with the following procedures: 
 (a) The arbitration tribunal shall consist of three arbitrators. Each party shall nominate in the request for arbitration and the answer
thereto one arbitrator and the two arbitrators so named will then jointly appoint a third arbitrator as chair of the arbitration tribunal. 
 (b) The decision of the arbitration tribunal shall be final and binding upon the parties hereto and enforceable in any court of competent jurisdiction. 
  
  

 Page 13 of 20 

 ARTICLE 21 - SURVIVAL OF TERMS 
 21.01 - The provisions of Articles 1, 4.01, 4.02, 5.02, 5.03, 5.04, 7.07, 7.08, 8.01, 11.01, 11.04, 11.05, 11.06, 11.07, 11.08, 12.01, 13,
15, 16, 18.01, 20, and 21 shall survive the expiration or termination of this AGREEMENT. 
 This space left blank
intentionally. 
  
  

 Page 14 of 20 

 ARTICLE 22 - ENTIRE UNDERSTANDING 
 22.01 - This AGREEMENT represents the entire understanding between the parties with respect to the subject matter hereof, and supersedes all
other agreements, express or implied, between the parties concerning the 1609 INVENTION, the 1366 INVENTION, the PATENT RIGHTS and the KNOW-HOW. 
 IN WITNESS WHEREOF, the parties have caused these presents to be executed in duplicate as of the EFFECTIVE DATE. 
  

									
	DUKE UNIVERSITY	 		 	STEMCO BIOMEDICAL, INC.
					
	By:	 	/s/ Robert L. Taber, Ph.D.	 		 	By:	 	/s/ Clayton A. Smith, M.D.
		 	 Robert L. Taber, Ph.D.
 Vice
Chancellor
 Science and Technology
 Development
	 		 		 	 Name: Clayton A. Smith, M.D.
 Title: President

  

									
	Date: 10/12/2000	 		 	Date: 10/15/2000
				
	The undersigned, being all of the INVENTORS
have read and understood the foregoing license
agreement and have reached agreement as to their
respective
chares of consideration to be received
under the foregoing license agreement.	 	 	 	 	 	 
					
	By:	 	/s/ Clayton A. Smith, M.D.	 		 		 	
		 	Clayton A. Smith, M.D.	 		 		 	
				
	Date: 10/15/2000	 		 		 	
					
	By:	 	/s/ O. Michael Colvin, M.D.	 		 		 	
		 	O. Michael Colvin, M.D.	 		 		 	
				
	Date: 10/12/2000	 		 		 	
					
	By:	 	/s/ Susan M. Ludeman, Ph.D.	 		 		 	
		 	Susan M. Ludeman, Ph.D.	 		 		 	
				
	Date: October 13, 2000	 		 		 	
					
	By:	 	/s/ Robert W. Storms, Ph.D.	 		 		 	
		 	Robert W. Storms, Ph.D.	 		 		 	
				
	Date: October 13, 2000	 		 		 	
					
	By:	 	/s/ Eli Gilboa, Ph.D.	 		 		 	
		 	Eli Gilboa, Ph.D.	 		 		 	

  

									
	Date: 10/13/2000	 		 		 	

  
  

 Page 15 of 20 

 APPENDIX A 
 MATERIAL TRANSFER AGREEMENT 
 Duke University
(“Duke”) 
 Durham, NC 27710 
 to 
 ____________________ (“Recipient”) 
 _______________________ 
 Definitions: 
 Recipient’s Scientist:  _______________________________________________

 Original Material:  _________________________________________________ 
 __________________________________________________________________ 
 Progeny: Unmodified descendant from the Original Material, such as virus from virus, cell from cell, or organism from organism.

 Derivatives: Substances created by Recipient which constitute an important unmodified functional subunit, fractionated
subset, intermediate, or expression product of the Original Material, including, but not limited to, subclones of unmodified cell lines, purified or fractionated sub-sets of the Original Material such as novel plasmids or vectors, proteins expressed
by DNA or RNA, antibodies secreted by a hybridoma. 
 Information: All information disclosed to Recipient by Duke relating
to the Material and/or Modifications. 
 Material: Original Material plus Derivatives and Information. 
 Modifications: Substances created by Recipient which contain/incorporate any form of the Material (Original Material, Progeny or
Derivatives), including, but not limited to, chemical or structural derivatives. 
 Research: 
________________________________________________________________ 
 __________________________________________________________________________ 
  
  

 Page 16 of 20 

 Terms and Conditions of this Agreement: 
 1. (a) The Material is and remains the property of Duke and is to be used by Recipient’s at Recipient’s institutional facilities only, and only
under the direction of Recipient’s Scientist. 
 (b) The Material is to be used strictly for internal, noncommercial
Research as stated above and for no other purpose. 
 (c) Duke does not claim ownership of substances and Modifications produced
as a result of Recipient’s research with the material that are not included in the definition of Material above; however, Duke does retain ownership of any form of the Material included therein. 
 (d) Except as expressly provided in this Agreement, no rights are provided to Recipient under any patent applications, trade secrets or
other proprietary rights of Duke. In particular, no rights are provided to use the Material or Modifications for profit-making or commercial purposes, such as sale; use in manufacturing; use in drug screening, evaluation, or design programs; or
provision of a commercial service based upon the Material or Modifications. 
 (e) If Recipient desires to use the Material or
Modifications for such profit-making or commercial purposes, Recipient agrees that it must first negotiate a license or other appropriate agreement with Duke and third parties as may be required, and it is further understood by Recipient that Duke
shall have no obligation to enter into such a license or agreement and in fact may grant exclusive or non-exclusive commercial licenses to others. 
 (f) Recipient acknowledges that Duke has granted an exclusive commercial license to the Material to a third party, and that any rights granted to Recipient under this Agreement are subject to the terms of
said license. 
 (g) Recipient represents that research with the Material and/or Modifications will not be subject to the terms
of any consultant, option, license, or sponsored research agreement in which a third party (other than the government) gains rights to the intellectual property arising from research with the Material and/or Modifications. 
 2. Recipient’s Scientist agrees not to transfer the Material or Modifications to anyone who does not work under his or her direct supervision at
Recipient’s Institution without the prior written consent of Duke. To the extent supplies are available, Duke will make the Material available under a material transfer agreement substantially similar to this Agreement upon request from
appropriate scientists at non-profit or governmental institutions for the purpose of replicating Recipient’s Scientist’s research. 
 3. Recipient agrees to hold confidential all Information except as such Information: (a) can be demonstrated was known by the Recipient at the time of disclosure; (b) becomes part of the public domain, except by breach of this
Agreement by Recipient; (c) is rightfully received by Recipient from a third party without an obligation of confidence to Duke; or (d) is independently developed by Recipient’s personnel who have not had access to Information,
Material or Modifications as demonstrated by competent written proof. Recipient’s obligations of nondisclosure of Information shall terminate five (5) years from the date that this Agreement is signed by Duke. 
 4. If Recipient’s research results in an invention, a new use, or a product based on, containing, or relating to the Material or Modifications
(collectively referred to as “Invention”), Recipient agrees promptly to disclose the Invention to Duke on a confidential basis. Inventorship shall be determined in accordance with U.S. patent law (if patentable) or by mutual agreement
between the parties (if not patentable), taking into account the role and contributions of individuals involved in the development of the Invention. Ownership shall reflect inventorship. Notwithstanding the foregoing, any Inventions that could not
have been made but for use of the Material or Modifications shall be jointly owned by Duke and Recipient. In the case of a joint invention between Duke and Recipient, these parties agree to negotiate a joint invention agreement which shall provide
for fair and equitable sharing of patent costs, income, and invention management responsibilities based on the respective parties’ contributions to the Invention. If either Recipient or Duke decides not to pursue the further development of a
joint Invention hereunder, then the other party may elect to pursue the patenting or commercial development of said joint Invention with third parties. If either Recipient or Duke is the sole inventor of any Invention, that party shall be free to
dispose of such Invention as it sees fit. Duke will have the right to use for its non-profit research and teaching purposes inventions developed through use of the Material under this Agreement without payment of license or royalty fees. 

 
  

 Page 17 of 20 

 5. Recipient’s Scientist agrees to provide appropriate acknowledgment of the source of the Material in
all publications and presentations based on use of the Material or Information, and agrees to furnish Duke with a copy of the manuscript or abstract disclosing such results not less than thirty (30) days prior to submission for publication for
Duke’s review and comment. If Duke determines that the proposed publication contains subject matter that requires patent protection, Recipient will delay submission for no longer than an additional forty-five (45) days for the filing of
patent applications. 
 6. Any Material delivered pursuant to this Agreement is understood to be experimental in nature, and DUKE MAKES NO
REPRESENTATIONS AND EXTENDS NO WARRANTIES OF ANY KIND, EITHER EXPRESS OR IMPLIED. THERE ARE NO EXPRESS OR IMPLIED WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE, OR THAT THE USE OF THE MATERIAL WILL NOT INFRINGE ANY PATENT,
COPYRIGHT, TRADEMARK, OR OTHER RIGHTS, OR THAT THE MATERIAL WILL NOT POSE A SAFETY OR HEALTH RISK. 
 7. Recipient agrees to defend, indemnify,
and hold harmless Duke from any loss, claim, damage, or liability, of any kind whatsoever, which may arise from Recipient’s receipt, use, storage, or disposal of the Material, and Recipient assumes liability for damages which may arise from its
receipt, use, storage or disposal of the Material. 
 8. In no event shall the Material be used in human beings (including for diagnostic
purposes), and further provided, that any other research involving the Material (including but not limited to research involving the use of animals and recombinant DNA) shall be conducted in accordance with all federal, state, local and other laws,
regulations, and ordinances governing such research including applicable NIH guidelines. 
 9. (a) This Agreement will terminate on the earliest
of the following dates: (1) on completion of Recipient’s proposed research studies with the Material, or (2) on thirty (30) days written notice by either party to the other, or (3) two years from the date that this Agreement
is signed by Duke. 
 (b) On termination of this Agreement, Recipient shall immediately discontinue its use of the Material and
shall, within ten (10) days of receiving direction of Duke, return or destroy all Material. Further, Recipient shall, within ten (10) days of receiving direction from Duke, destroy all Modifications. In the case of destruction of the
Material and/or Modifications under the preceding two (2) sentences, Recipient shall provide Duke with written certification of the complete, safe, and legal destruction of all of the Material and/or Modifications, as the case may be.

 (c) Paragraphs 3, 4, 5, 6, 7, 9(b) and 9(c) shall survive termination. 
  
  

 Page 18 of 20 

 10. This Agreement is not assignable without the prior written consent of Duke. 
  

					
	AGREED:	 		 	
			
	Duke’s Investigator:	 		 	Recipient’s Scientist:
			
	  	 		 	  
	(Signature)                                     
                                         
  (date)	 		 	(Signature)                                     
                                       
(date)
			
	Duke’s Investigator Approval:	 		 	Recipient’s Institutional Approval:
			
	  	 		 	  
	 Linda Fuge Abruzzini,Ph.D.                                  
                  (date)
 Assoc. Director,
Office of Science & Technology
 DUMC Box 3664, M454 Davison Building
 Durham, NC 27710 USA
 Mtastemco.doc
	 		 	 (authorized signature)                                   
                       (date)
 Name:
 Title:
 Address:

  
  

 Page 19 of 20 

 APPENDIX B 
 ROYALTY REPORT 
  

																							
	 ROYALTY REPORT for period ending ____________________________

	 Duke File #1366 and 1609
	 		 		 		 		 		 	
	 Country
	 	Product	 	Sales in
<Month>	 	Sales in
<Month>	 	Sales in
<Month>	 	Sales in
<Month>	 	Sales in
<Month>	 	Sales in
<Month>	 	TOTAL
GROSS
SALES	 	Reductions
to Sales**	 	TOTAL
NET
SALES	 	%
Royalty
Due
												
	 SubTOTAL x Country
	 		 		 		 		 		 		 		 		 		 		 	
												
	 SubTOTAL x Country
	 		 		 		 		 		 		 		 		 		 		 	
												
	 GRANT TOTAL
	 		 		 		 		 		 		 		 		 		 		 	
												
	 ROYALTIES PAID
	 		 		 		 		 		 		 		 		 		 		 	
	
	 **     Note that Reductions to Sales are limited to allowances to customers for spoiled,
damaged and returned goods and Product used for promotional trials

				
	 (Article 1.01.g of the License Agreement).
	 		 		 	

  
  

 Page 20 of 20Exhibit 10.7

 Exhibit 10.7 
 *** Text Omitted and Filed Separately 
 Confidential
Treatment Requested 
 Under 17 CFR §200.80(b)(4) and 230.406 
 LICENSE AGREEMENT 
 THIS LICENSE AGREEMENT (the “Agreement”) is entered into by and between THE JOHNS HOPKINS UNIVERSITY, a Maryland corporation having an address at 111 Market Place, Suite 906, Baltimore, MD 21202 (“JHU”) and Stemco
Biomedical, Inc., a Delaware corporation having a mailing address c/o Hutchison and Mason, PLLC, Suite 100, 3110 Edwards Mill Rd., Raleigh, NC 27612 (Company), with respect to the following: 
 RECITALS 
 WHEREAS, as a center for research and
education, JHU is interested in licensing PATENT RIGHTS (hereinafter defined) in a manner that will benefit the public by facilitating the distribution of useful products and the utilization of new methods, but is without capacity to commercially
develop, manufacture, and distribute any such products or methods; and 
 WHEREAS, a valuable invention entitled “METHODS
FOR IDENTIFICATION OR PURIFICATION OF CELLS CONTAINING AN ENZYMATIC INTRACELLULAR MARKER” (JHU Ref. DM-[ * * * ]) was developed during the course of research conducted by Drs. Jones; Richard J., Colvin; O. Michael, Hilton; John, Parkton, MD,
Sharkis; Saul, (all hereinafter, “Inventors”); and 
 WHEREAS, JHU has acquired through assignment all rights, title
and interest, with the exception of certain retained rights by the United States government, in its interest in said valuable invention; and 
 WHEREAS, Company desires to commercially develop, manufacture, use and distribute such products and processes throughout the world; 
 NOW THEREFORE, in consideration of the premises and the mutual promises and covenants contained in this Agreement, and for other good and
valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties hereto agree as follows: 
 ARTICLE I 
 DEFINITIONS 
 All references to particular Exhibits and Articles shall mean the Exhibits to, and Articles of, this Agreement, unless otherwise specified. For the purposes of this Agreement and the Exhibits hereto, the
following words and phrases shall have the following meanings: 
 1.1 “AFFILIATED COMPANY” as used herein
in either singular or plural shall mean any corporation, company, partnership, joint venture or other entity, which controls, is controlled by or is under common control with Company. For purposes of this Paragraph 1.1, control shall mean the direct
or indirect ownership of at least fifty-percent (50%). 
 1.2 “EFFECTIVE DATE” of this License Agreement shall
mean the date the last party hereto has executed this Agreement. 
  
 [ * * * ] = Certain information on this page has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with respect to the omitted portions. 
  

 1. 

 1.3 “EXCLUSIVE LICENSE” shall mean a grant by JHU to Company of its
entire right and interest in the PATENT RIGHTS subject to rights retained by the United States government in accordance with P.L. 96-517, as amended by P.L. 98-620, and subject to the retained right of JHU to make; have made, provide and use for its
and The Johns Hopkins Health Systems’ purposes LICENSED PRODUCT and LICENSED SERVICE, including the ability to distribute any biological material covered under PATENT RIGHTS for nonprofit academic research use to non-commercial entities as is
customary in the scientific community. 
 1.4 “LICENSED FIELD” shall mean reagent sales, therapeutic and
diagnostic uses. 
 1.5 “LICENSED PRODUCT” as used herein in either singular or plural shall mean any
material, compositions, drug, or other product, the manufacture, use or sale of which would constitute, but for the license granted to Company pursuant to this Agreement, an infringement of a claim of PATENT RIGHTS (infringement shall include, but
is not limited to, direct, contributory, or inducement to infringe). 
 1.6 “LICENSED SERVICE” as used
herein in either singular or plural shall mean the performance on behalf of a third party of any method or the manufacture of any product or the use of any product or composition which would constitute, but for the license granted to Company
pursuant to this Agreement, an infringement of a claim of the PATENT RIGHTS, (infringement shall include, but not be limited to, direct, contributory or inducement to infringe). 
 1.7 “NET SALES” shall mean the total invoiced sales of LICENSED PRODUCTS sold by Company, less the following sums
actually paid or credited by Company as shall be detailed in Company’s reports made pursuant to Paragraph 5.1 of this AGREEMENT: 
 (a) trade, quantity or cash discounts allowed in amounts customary in the trade; 
 (b) outbound transportation charges prepaid or allowed on the cost of shipping to customers that are included as a separate line item, if any; and 
 (c) credits or allowances, if given or made for LICENSED PRODUCTS, price adjustments, returns, rejections, recalls or
destructions (voluntarily made by or requested or made by an appropriate government agency, subdivision or department) of LICENSED PRODUCTS previously delivered. 
 LICENSED PRODUCT used for non-revenue producing activity such as promotional items or field trials to support future sales shall not be considered to be NET SALES. 
 In the event that Company, AFFILIATED COMPANY or its sublicensee sells a LICENSED PRODUCT in combination with other active ingredients or biological or
chemical components which are not LICENSED PRODUCTS (“Other Items”), the NET SALES for purposes of royalty payments on the combination shall be calculated as follows: 
 (a) If all LICENSED PRODUCTS and Other Items contained in the combination are available separately, the NET SALES for
purposes of royalty payments will be calculated by multiplying the NET SALES of the combination by the fraction A/A+B, where A is the separately available price of all LICENSED PRODUCTS in the combination, and B is the separately available price for
all Other Items in the combination. 
  

 2. 

 (b) If the combination includes Other Items which are not sold
separately (but all LICENSED PRODUCTS contained in the combination are available separately), the NET SALES for purposes of royalty payments will be calculated by multiplying the NET SALES of the combination by A/C, where A is as defined above and C
is the invoiced price of the combination. 
 (c) If the LICENSED PRODUCTS contained in the combination are
not sold separately, the NET SALES for such combination shall be NET SALES of such combination as defined in the first sentence of this Paragraph 1.7. However, the parties agree to negotiate a reduction in the royalty rate to reflect the fair value
that the LICENSED PRODUCT attributed to the overall product sold, but in no event shall the royalty rates be reduced by greater than [ * * * ] percent ([ * * * ])%. 
 The term “Other Items” does not include solvents, diluents, carriers, excipients, buffers or the like used in formulating a product. 
 In the event that Company, AFFILIATED COMPANY or its sublicensee sells a LICENSED PRODUCT(S) in combination with a system comprising a
device or equipment to be used for the administration of LICENSED PRODUCT(S) to a patient (“Other Components”) as part of a bundled product (“Bundled Product(s)”), the NET SALES for purposes of royalty payments shall be
calculated by multiplying the NET SALES of that Bundled Product(s) by the fraction A/A+B, where A is the higher of Company, AFFILIATED COMPANY or Sublicensees highest then-current gross selling price or fair market value of the LICENSED PRODUCT(S),
and B is the lower of the lowest then-current gross selling price or fair market value of the Other Components provided that in no event shall the NET SALES for the purpose of calculating royalty be reduced below of Company, AFFILIATED
COMPANY or Sublicensees highest then-current gross selling price for the LICENSED PRODUCT(S) if sold on a stand-alone basis. 
 1.8 “NET SERVICE REVENUES” shall mean the total invoiced service revenues for the performance of LICENSED SERVICE sold by Company, less the following sums actually paid or credited by Company as shall be detailed in
Company’s reports made pursuant to Paragraph 5.1 of this AGREEMENT: 
 (a) trade, quantity or cash
discounts allowed in amounts customary in the trade; 
 (b) outbound transportation charges prepaid or
allowed on the cost of shipping to customers that are included as a separate line item, if any; and 
 (c)
credits or allowances, if given or made for LICENSED SERVICES, price adjustments, returns, rejections, recalls or destructions (voluntarily made by or requested or made by an appropriate government agency, subdivision or department) of LICENSED
SERVICES previously delivered. 
 LICENSED SERVICES used for non-revenue producing activity such as promotional items or field trials to support
future sales shall not be considered to be NET SALES. 
 1.9 “PATENT RIGHTS” shall mean the issued U.S.
Patent No. 5,876,956 and assigned to JHU entitled “METHODS FOR IDENTIFICATION OR PURIFICATION OF CELLS CONTAINING AN ENZYMATIC INTRACELLULAR MARKER” and the invention disclosed and claimed therein, and all continuations,
continuation-in-parts, divisions, and reissues based 
  
 [ * * * ] =
Certain information on this page has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with respect to the omitted portions. 
  

 3. 

 
therein. JHU warrants that as of the EFFECTIVE DATE it is not prosecuting any additional patent application, and is not intending to prosecute any additional patent application, and has not
received a Notice of Allowance in any country relating to any additional patent application that is a continuation, division, reissue based thereof, patents of addition, or other equivalent foreign patent application based on the PATENT RIGHTS.

 1.10 “SUBLICENSEE” as used herein in either singular or plural shall mean any person or entity other
than an AFFILIATED COMPANY to which Company has granted a sublicense under this Agreement. 
 ARTICLE II 
 LICENSE GRANT 
 2.1 Grant. Subject to the terms and conditions of this Agreement, JHU hereby grants to Company an EXCLUSIVE LICENSE to make, have made, use, and sell the LICENSED PRODUCT and to provide the LICENSED SERVICE in the United
States and worldwide under the PATENT RIGHTS in the LICENSED FIELD. 
 2.2 Sublicense. Company may sublicense
others under this Agreement, subject to JHU’s approval which shall not be unreasonably withheld, and shall provide a copy of each such sublicense agreement to JHU promptly after it is executed. Each sublicense shall be consistent with the terms
of this Agreement. 
 ARTICLE III 
 FEES, ROYALTIES, & PAYMENTS 
 3.1 License Fee.
Company shall pay to JHU within thirty (30) days of the EFFECTIVE DATE of this Agreement a license fee as set forth in Exhibit A. JHU will not submit an invoice for the license fee, which is nonrefundable and shall not be credited
against royalties or other fees. 
 3.2 Minimum Annual Royalties. Company shall pay to JHU minimum annual
royalties as set forth in Exhibit A. These minimum annual royalties shall be due within thirty (30) days each anniversary of the EFFECTIVE DATE beginning with the first anniversary. In any year where there are sales of LICENSED PRODUCT
or LICENSED SERVICE the minimum annual royalties shall be credited against running royalties due in that year). 
 3.3
Royalties. Company shall pay to JHU, a running royalty as set forth in Exhibit A, for each LICENSED PRODUCT sold, and for each LICENSED SERVICE provided, by Company, AFFILIATED COMPANIES, based on NET SALES and NET SERVICE REVENUES for
the term of this Agreement. Such payments shall be made quarterly. All non-US taxes related to LICENSED PRODUCT or LICENSED SERVICE sold under this Agreement shall be paid by Company and shall not be deducted from royalty or other payments due to
JHU. 
 In order to insure JHU the full royalty payments contemplated hereunder, Company agrees that in the event any LICENSED
PRODUCT shall be sold to an AFFILIATED COMPANY or to a corporation, firm or association with which Company shall have any agreement, understanding or arrangement with respect to consideration (such as, among other things, an 
  

 4. 

 
option to purchase stock or actual stock ownership, or an arrangement involving division of profits or special rebates or allowances) the royalties to be paid hereunder for such LICENSED PRODUCT
shall be based upon the greater of: 1) the net selling price at which the purchaser of LICENSED PRODUCT resells such product to the end user, 2) the NET SERVICE REVENUES received from using the LICENSED PRODUCT in providing a service, 3) the fair
market value of the LICENSED PRODUCT or 4) the net selling price of LICENSED PRODUCT paid by the purchaser. 
 3.4
Other Consideration. In addition to the running royalty as set forth under Paragraph 3.3, Company shall pay to JHU [ * * * ] percent ([ * * * ]%) of any “Sublicense revenues” received as consideration received
for sublicenses under this Agreement, including, but not limited to, license fees, maintenance fees, milestone payments and equity. “Sublicense revenues” shall mean consideration of any kind received by the Company or AFFILIATED COMPANIES
from a SUBLICENSEE for sales of LICENSED PRODUCT, for providing LICENSED SERVICE, or for fees received, such as upfront fees or milestone fees and including any premium paid by the SUBLICENSEE over Fair Market Value for stock of the Company or an
Affiliated Company in consideration for such sublicense. However, not included in SUBLICENSEE REVENUES are amounts paid to the Company or an AFFILIATED COMPANY by the SUBLICENSEE for product development, research work, clinical studies and
regulatory approvals performed by or for the Company or AFFILIATED COMPANIES, or third parties on their behalf pursuant to a specific agreement including a performance plan and commensurate budget. The term “Fair Market Value” shall mean
the average price that the stock in question is publicly trading at for twenty (20) days prior to the announcement of its purchase by the SUBLICENSEE or if the stock is not publicly traded, the value of such stock as determined by the most
recent private financing through a financial investor (an entity whose sole interest in the Company or AFFILIATED COMPANY is financial). of the Company or AFFILIATED COMPANY that issued the shares. 
 3.5 Reimbursement. Company will reimburse JHU, within sixty (60) days of the receipt of an invoice from JHU, for all
costs associated with the preparation, filing, maintenance, and prosecution of PATENT RIGHTS in the United States Patent and Trademark Office (“USPTO”) incurred by JHU on or before the EFFECTIVE DATE of this Agreement. In accordance with
Paragraph 4.1 below, Company will reimburse JHU, within thirty (30) days of the receipt of an invoice from JHU, for all costs associated with the maintenance of PATENT RIGHTS in the USPTO incurred by JHU subsequent to the EFFECTIVE DATE of this
Agreement. 
 3.6 Form of Payment. All payments under this Agreement shall be made in U.S. Dollars the Company.
Checks are to be made payable to “The Johns Hopkins University”. Wire transfers may be made through: 
 The Johns
Hopkins University 
 AllFirst Bank 
 25 S. Charles Street 
 Baltimore, Maryland 21203 
 Transit/Routing/ABA number: [ * * * ] 
 Account Number: [ * * * ] 
 Reference: [ * * * ] 
 (JHU REF. DM-[ * * * ]) 
 Attn: [ * * * ] 
  
 [ * * * ] = Certain information on this
page has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with respect to the omitted portions. 
  

 5. 

 Company shall be responsible for any and all costs associated with wire transfers.

 3.7 Late Payments. In the event that any payment due hereunder is not made when due, the payment shall accrue
interest beginning on the tenth day following the due date thereof, calculated at the annual rate of the sum of (a) two percent (2%) plus (b) the prime interest rate quoted by The Wall Street Journal on the date said payment is due,
the interest being compounded on the last day of each calendar quarter, provided however, that in no event shall said annual interest rate exceed the maximum legal interest rate for corporations. Each such payment when made shall be accompanied by
all interest so accrued. Said interest and the payment and acceptance thereof shall not negate or waive the right of JHU to seek any other remedy, legal or equitable, to which it may be entitled because of the delinquency of any payment including,
but not limited to termination of this Agreement as set forth in Paragraph 9.2. 
 ARTICLE IV 
 PATENT PROSECUTION, MAINTENANCE, & INFRINGEMENT 
 4.1 Prosecution & Maintenance. JHU, at Company’s expense, shall maintain all patents specified under PATENT RIGHTS upon authorization of Company and Company shall be licensed
thereunder. Title to, all such patents and patent applications shall reside in JHU. JHU shall have full and complete control over all patent matters in connection therewith under the PATENT RIGHTS, provided however, that JHU will consider and
incorporate reasonable comments received from Company. Company will provide payment authorization to JHU at least one (1) month before an action is due, provided that Company has received timely notice of such action from JHU. Failure to
provide authorization can be considered by JHU as a Company decision not to authorize an action. In any country where Company elects not to have a patent application filed or to pay expenses associated with filing, prosecuting, or maintaining a
patent application or patent, JHU may file, prosecute, and/or maintain the patent application or patent at its own expense and for its own exclusive benefit and Company thereafter shall not be licensed under such patent or patent application.

 4.2 Notification. Each party will notify the other promptly in writing when any infringement by another is
uncovered or suspected. 
 4.3 Infringement. Company shall have the first right to enforce any patent within
PATENT RIGHTS against any infringement or alleged infringement thereof, and shall at all times keep JHU informed as to the status thereof. Company may, in its sole judgment and at its own expense, institute suit against any such infringer or alleged
infringer and control, settle, and defend such suit in a manner consistent with the terms and provisions hereof and recover, for its account, any damages, awards or settlements resulting therefrom, subject to Paragraph 4.4. This right to sue for
infringement shall not be used in an arbitrary or capricious manner. JHU shall reasonably cooperate in any such litigation at Company’s expense. 
 If Company elects not to enforce any patent within the PATENT RIGHTS, then it shall so notify JHU in writing within ninety (90) days of receiving notice that an infringement exists, and JHU may, in
its sole judgment and at its own expense, take steps to enforce any patent and control, settle, and defend such suit in a manner consistent with the terms and provisions hereof, and recover, for its own account, any damages, awards or settlements
resulting therefrom. 
  

 6. 

 4.4 Recovery. Any recovery by Company under Paragraph 4.3 shall be deemed to
reflect loss of commercial sales, and Company shall pay to JHU [ * * * ] percent ([ * * * ]%) of the recovery net of all reasonable costs and expenses associated with each suit or settlement. If the cost and expenses exceed the recovery, then
one-half (1/2) of the excess shall be credited against royalties payable by Company to JHU hereunder in connection with sales in the country of such legal proceedings, provided, however, that any such credit under this Paragraph shall not
exceed fifty percent (50%) of the royalties otherwise payable to JHU with regard to sales in the country of such action in any one calendar year, with any excess credit being carried forward to future calendar years. 
 ARTICLE V 
 OBLIGATIONS OF THE PARTIES 
 5.1 Reports. Company shall provide to JHU within thirty
(30) days of the end of each March, June, September and December after the EFFECTIVE DATE of this Agreement, a written report to JHU of the amount of LICENSED PRODUCT sold, and LICENSED SERVICE sold, the total NET SALES and NET SERVICE REVENUES
of such LICENSED PRODUCT and LICENSED SERVICE, and the running royalties due to JHU as a result of NET SALES and NET SERVICE REVENUES by Company, AFFILIATED COMPANIES and SUBLICENSEE thereof. Payment of any such royalties due shall accompany such
report. The report of sales and royalties due shall be substantially in the format of the sales and royalty report form given in Exhibit B. Until Company, an AFFILIATED COMPANY or a SUBLICENSEE has achieved a first commercial sale of a
LICENSED PRODUCT and received FDA market approval, a report shall be submitted at the end of every June and December after the EFFECTIVE DATE of this Agreement and will include a full written report describing Company’s, AFFILIATED COMPANIES or
any SUBLICENSEE’s technical efforts towards meeting its obligations under the terms of this Agreement. 
 5.2
Records. Company shall make and retain, for a period of three (3) years following the period of each report required by Paragraph 5.1, true and accurate records, files and books of account containing all the data reasonably required for the
full computation and verification of sales and other information required in Paragraph 5.1. Such books and records shall be in accordance with generally accepted accounting principles consistently applied. Company shall permit the inspection and
copying of such records, files and books of account by JHU or its agents during regular business hours upon ten (10) business days’ written notice to Company. Such inspection shall not be made more than once each calendar year. All costs
of such inspection and copying shall be paid by JHU, provided that if any such inspection shall reveal that an error has been made in the amount equal to five percent (5%) or more of such payment, such costs shall be borne by Company. Company shall
include in any agreement with its AFFILIATED COMPANIES or its SUBLICENSEE which permits such party to make, use or sell the LICENSED PRODUCT or provide LICENSED SERVICE, a provision requiring such party to retain records of sales of LICENSED PRODUCT
and records of LICENSED SERVICE and other information as required in Paragraph 5.1 and permit JHU to inspect such records as required by this Paragraph. 
  
 [ * * * ] = Certain information on this page has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has
been requested with respect to the omitted portions. 
  

 7. 

 5.3 Diligence Efforts. Company shall exercise reasonable commercial efforts to
develop and to introduce the LICENSED PRODUCT and LICENSED SERVICE into the commercial market as soon as practicable, consistent with sound and reasonable business practice and judgement; thereafter, until the expiration of the Agreement, Company
shall endeavor to keep LICENSED PRODUCT and LICENSED SERVICE reasonably available to the public. 
 Company shall meet the
following business-related milestones: 
 (1) hire professional management and raise two million dollars
($2,000,000) in equity funding within [ * * * ] of the EFFECTIVE DATE; and, 
 (2) offer a LICENSED
PRODUCT for sale within [ * * * ] of the EFFECTIVE DATE. 
 Company shall meet the following milestones towards development of a
diagnostic product: 
 (1) identify a diagnostic LICENSED PRODUCT and provide a corresponding development
plan to JHU within [ * * * ] of the EFFECTIVE DATE; and, 
 (2) file an IND or IDE with the FDA within [ *
* * ] of the EFFECTIVE DATE for a diagnostic product; and, 
 (3) introduce a diagnostic LICENSED PRODUCT
to the commercial marketplace within [ * * * ] of the EFFECTIVE DATE. 
 Company shall meet the following milestones towards
development of a therapeutic product: 
 (1) identify a therapeutic LICENSED PRODUCT and provide a
corresponding development plan to JHU within [ * * * ] of the EFFECTIVE DATE; and 
 (2) file an IND for a
therapeutic LICENSED PRODUCT within [ * * * ] of the EFFECTIVE DATE; and, 
 (3) introduce a therapeutic
LICENSED PRODUCT to the commercial marketplace within [ * * * ]. 
 Company shall also exercise commercially reasonable efforts
to develop other LICENSED PRODUCT suitable for different indications, so that the PATENT RIGHTS can be commercialized as broadly and as speedily as good scientific and business judgement would deem possible. 
 5.4 Patent Acknowledgement. Company agrees that all packaging containing individual LICENSED PRODUCT sold by Company,
AFFILIATED COMPANIES and SUBLICENSEE of Company will be marked with the number of the applicable patent(s) licensed hereunder in accordance with each country’s patent laws. 
 ARTICLE VI 
 REPRESENTATIONS 
 6.1 Representations by JHU. JHU warrants that it has good and marketable title to its interest in the inventions claimed under
PATENT RIGHTS with the exception of certain retained rights of the United States government. JHU does not warrant the validity of any 
  
 [ * * * ] = Certain information on this page has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has
been requested with respect to the omitted portions. 
  

 8. 

 
patents or that practice under such patents shall be free of infringement. EXCEPT AS EXPRESSLY SET FORTH IN THIS PARAGRAPH 6.1, COMPANY, AFFILIATED COMPANIES AND SUBLICENSEE AGREE THAT THE PATENT
RIGHTS ARE PROVIDED “AS IS”, AND THAT JHU MAKES NO REPRESENTATION OR WARRANTY WITH RESPECT TO THE PERFORMANCE OF LICENSED PRODUCT AND LICENSED SERVICE INCLUDING THEIR SAFETY, EFFECTIVENESS, OR COMMERCIAL VIABILITY. JHU DISCLAIMS ALL
WARRANTIES WITH REGARD TO PRODUCT AND SERVICE LICENSED UNDER THIS AGREEMENT, INCLUDING, BUT NOT LIMITED TO, ALL WARRANTIES, EXPRESS OR IMPLIED, OF MERCHANTABILITY AND FITNESS FOR ANY PARTICULAR PURPOSE. NOTWITHSTANDING ANY OTHER PROVISION OF THIS
AGREEMENT, JHU ADDITIONALLY DISCLAIMS ALL OBLIGATIONS AND LIABILITIES ON THE PART OF JHU AND INVENTORS, FOR DAMAGES, INCLUDING, BUT NOT LIMITED TO, DIRECT, INDIRECT, SPECIAL, AND CONSEQUENTIAL DAMAGES, ATTORNEYS’ AND EXPERTS’ FEES, AND
COURT COSTS (EVEN IF JHU HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES, FEES OR COSTS), ARISING OUT OF OR IN CONNECTION WITH THE MANUFACTURE, USE, OR SALE OF THE PRODUCT AND SERVICE LICENSED UNDER THIS AGREEMENT. COMPANY, AFFILIATED COMPANIES
AND SUBLICENSEE ASSUME ALL RESPONSIBILITY AND LIABILITY FOR LOSS OR DAMAGE CAUSED BY A PRODUCT AND SERVICE MANUFACTURED, USED, OR SOLD BY COMPANY, ITS SUBLICENSEE AND AFFILIATED COMPANIES WHICH IS A LICENSED PRODUCT OR LICENSED SERVICE AS DEFINED IN
THIS AGREEMENT. 
 ARTICLE VII 
 INDEMNIFICATION 
 7.1 Indemnification. JHU and the Inventors
of LICENSED PRODUCT and LICENSED SERVICE will not, under the provisions of this Agreement or otherwise, have control over the manner in which Company or its AFFILIATED COMPANIES or its SUBLICENSEE or those operating for its account or third parties
who purchase LICENSED PRODUCT or LICENSED SERVICE from any of the foregoing entities, practice the inventions of LICENSED PRODUCT and LICENSED SERVICE. Company shall defend and hold JHU, The Johns Hopkins Health Systems, their present and former
trustees, officers, Inventors of PATENT RIGHTS, agents, faculty, employees and students harmless as against any judgments, fees, expenses, or other costs arising from or incidental to any product liability or other lawsuit, claim, demand or other
action brought as a consequence of the practice of said inventions by any of the foregoing entities, whether or not JHU or said inventors, either jointly or severally, is named as a party defendant in any such lawsuit. Practice of the inventions
covered by LICENSED PRODUCT and LICENSED SERVICE, by an AFFILIATED COMPANY or an agent or a SUBLICENSEE or a third party on behalf of or for the account of Company or by a third party who purchases LICENSED PRODUCT and LICENSED SERVICE from Company,
shall be considered Company’s practice of said inventions for purposes of this Paragraph. The obligation of Company to defend and indemnify as set out in this Paragraph shall survive the termination of this Agreement. 
 7.2 Prompt Notice. Each party’s obligation to indemnify as set forth above is conditioned on the indemnified party or
parties giving the indemnifying party prompt written notice of all claims, providing reasonable cooperation in their investigation and defense, and permitting the indemnifying party to defend said claims at indemnifying party’s expense with
legal counsel of indemnifying party’s choice. Notwithstanding the above, the indemnifying party will not be required to defend or indemnify any party with respect to losses or expenses caused by that party’s won negligence or willful
misconduct. 
  

 9. 

 ARTICLE VIII 
 CONFIDENTIALITY 
 8.1 Confidentiality.
If necessary, the parties will exchange information, which they consider to be confidential. The recipient of such information agrees to accept the disclosure of said information which is marked as confidential at the time it is sent to the
recipient, and to employ all reasonable efforts to maintain the information secret and confidential, such efforts to be no less than the degree of care employed by the recipient to preserve and safeguard its own confidential information. The
information shall not be disclosed or revealed to anyone except employees of the recipient who have a need to know the information and who have entered into a secrecy agreement with the recipient under which such employees are required to maintain
confidential the proprietary information of the recipient and such employees shall be advised by the recipient of the confidential nature of the information and that the information shall be treated accordingly. 
 The obligations of this Paragraph shall also apply to AFFILIATED COMPANIES and/or SUBLICENSEE provided such information by Company.
JHU’s, Company’s, AFFILIATED COMPANIES, and SUBLICENSEES’ obligations under this Paragraph shall extend until three (3) years after the termination of this Agreement. 
 8.2 Exceptions. The recipient’s obligations under Paragraph 8.1 shall not extend to any part of the information:

 (a) that can be demonstrated to have been in the public domain or publicly known and readily available
to the trade or the public prior to the date of the disclosure; or 
 (b) that can be demonstrated, from
written records to have been in the recipient’s possession or readily available to the recipient from another source not under obligation of secrecy to the disclosing party prior to the disclosure; or 
 (c) that becomes part of the public domain or publicly known by publication or otherwise, not due to any unauthorized
act by the recipient; or 
 (d) that is demonstrated from written records to have been developed by or for
the receiving party without reference to confidential information disclosed by the disclosing party. 
 (e) that is required to be disclosed by law, government regulation or court order. 
 8.3 Right to
Publish. JHU may publish manuscripts, abstracts or the like describing the PATENT RIGHTS and inventions contained therein provided confidential information of Company as defined in Paragraph 8.1, is not included or without first obtaining
approval from Company to include such confidential information. Otherwise, JHU and the Inventors shall be free to publish manuscripts and abstracts or the like directed to the work done at JHU related to the licensed technology without prior
approval. 
  

 10. 

 ARTICLE IX 
 TERM & TERMINATION 
 9.1 Term.
The term of this Agreement shall commence on the EFFECTIVE DATE and shall continue until the date of expiration of the last to expire patent included within PATENT RIGHTS. 
 9.2 Termination By Either Party. This Agreement may be terminated by either party, in the event that the other party:
(a) files or has filed against it a petition under the Bankruptcy Act, makes an assignment for the benefit of creditors, has a receiver appointed for it or a substantial part of its assets, or otherwise takes advantage of any statute or law
designed for relief of debtors; or (b) fails to perform or otherwise breaches any of its obligations hereunder, if, following the giving of notice by the terminating party of its intent to terminate and stating the grounds therefor, the party
receiving such notice shall not have cured the failure or breach within sixty (60) days. In no event, however, shall such notice or intention to terminate be deemed to waive any rights to damages or any other remedy which the party giving
notice of breach may have as a consequence of such failure or breach. 
 9.3 Termination by Company. Company may
terminate this Agreement and the license granted herein, for any reason, upon giving JHU sixty (60) days written notice. 
 9.4 Obligations and Duties upon Termination. If this Agreement is terminated, both parties shall be released from all obligations and duties imposed or assumed hereunder to the extent so terminated, except as expressly
provided to the contrary in this Agreement. Upon termination, both parties shall cease any further use of the confidential information disclosed to the receiving party by the other party. Termination of this Agreement, for whatever reason, shall not
affect the obligation of either party to make any payments for which it is liable prior to or upon such termination. Termination shall not affect JHU’s right to recover unpaid royalties or fees or reimbursement for patent expenses incurred
pursuant to Paragraph 4.1 prior to termination. Upon termination Company shall submit a final royalty report to JHU and any royalty payments and unreimbursed patent expenses due JHU shall become immediately payable. Furthermore, upon termination of
this Agreement, all rights in and to the licensed technology shall revert immediately to JHU at no cost to JHU. Upon termination of this Agreement, any SUBLICENSEE shall become a direct licensee of JHU. Company shall provide written-notice of such
to each SUBLICENSEE with a copy of such notice provided to JHU. 
 ARTICLE X 
 MISCELLANEOUS 
 10.1 Use of Name. Company shall not use the name of The Johns Hopkins University or The Johns Hopkins Health System or any of its constituent parts, such as the Johns Hopkins Hospital or any contraction thereof or the name of
Inventors of PATENT RIGHTS in any advertising, promotional, sales literature or fundraising documents without prior written consent from an officer of JHU. Company shall allow at least seven (7) business days notice of any proposed public
disclosure for JHU’s review and comment or to provide written consent. 
 10.2 No Partnership. Nothing in
this Agreement shall be construed to create any agency, employment, partnership, joint venture or similar relationship between the parties other than that of a licensor/licensee. Neither party shall have any right or authority whatsoever to incur
any liability or obligation (express or implied) or otherwise act in any manner in the name or on the behalf of the other, or to make any promise, warranty or representation binding on the other. 
  

 11. 

 10.3 Insurance; Liability to Third Persons. JHU and Company, each at their own
expense, shall obtain and thereafter maintain workers’ compensation and comprehensive general liability (bodily injury and property damage) insurance, with respect to performance under this Agreement. Each party shall give the other or its
representative immediately notice of any suit or action filed, or prompt notice of any claim made, against them arising out of the performance of this Agreement. 
 10.4 Product Liability. Prior to initial human testing or first commercial sale of any LICENSED PRODUCT or LICENSED SERVICE as the case may be in any particular country, Company shall
establish and maintain, in each country in which Company, an AFFILIATED COMPANY or SUBLICENSEE shall test or sell LICENSED PRODUCT and LICENSED SERVICE, product liability or other appropriate insurance coverage appropriate to the risks involved in
marketing LICENSED PRODUCT and LICENSED SERVICE and will annually present evidence to JHU that such coverage is being maintained. Upon JHU’s request, Company will furnish JHU with a Certificate of Insurance of each product liability insurance
policy obtained. JHU shall be listed as an additional insured in Company’s said insurance policies. If such Product Liability insurance is underwritten on a ‘claims made’ basis, Company agrees that any change in underwriters during
the term of this Agreement will require the purchase of ‘prior acts’ coverage to ensure that coverage will be continuous throughout the term of this Agreement. 
 10.5 Governing Law. This Agreement shall be construed, and legal relations between the parties hereto shall be determined, in accordance with the laws of the State of Maryland applicable to
contracts solely executed and wholly to be performed within the State of Maryland without giving effect to the principles of conflicts of laws. 
 10.6 Disputes. The parties shall attempt to resolve all disputes through informal means. This may include mediation or any other procedures upon which the parties agree. Each party agrees that,
prior to resorting to litigation to resolve any dispute, it will confer with other party to determine whether other procedures that are less expensive or less time consuming can be adopted to resolve the dispute. This agreement shall be interpreted
under the law of the State of Maryland. Jurisdiction and venue shall be in courts located in the City of Baltimore. 
 10.7
Notice. All notices or communication required or permitted to be given by either party hereunder shall be deemed sufficiently given if mailed by registered mail or certified mail or sent by overnight courier, such as Federal Express, to the
other party at its respective address set forth below or to such other address as one party shall give notice of to the other from time to time hereunder. Mailed notices shall be deemed to be received on the third business day following the date of
mailing. Notices sent by overnight courier shall be deemed received the following business day. 
 If to
Company:                       StemCo Biomedical, Inc. 
 c/o Hutchison and Mason, PLLC 
 Suite 100 
 3110 Edwards Mill Rd. 
  

 12. 

 Raleigh, NC 27612 
 Attn: Fred D. Hutchison 
 If to JHU:                               Office of Technology Licensing 

The Johns Hopkins University 
 School of Medicine 
 111 Market Place, Suite 906 
 Baltimore, MD 21202 
 Attn: Director 
 10.8 Compliance with All Laws. In all activities undertaken pursuant to this Agreement, both
JHU and Company covenant and agree that each will in all material respects comply with such Federal, state and local laws and statutes, as may be in effect at the time of performance and all valid rules, regulations and orders thereof regulating
such activities. 
 10.9 Successors and Assigns. Neither this Agreement nor any of the rights or obligations created
herein, except for the right to receive any remuneration hereunder, may be assigned by either party, in whole or in part, without the prior written consent of the other party, except that either party shall be free to assign this Agreement in
connection with any sale of substantially all of its assets without the consent of the other. Such Assignment shall be subject to JHU approval, which approval shall not be unreasonably withheld. This Agreement shall bind and inure to the benefit of
the successors and permitted assigns of the parties hereto. 
 10.10 No Waivers; Severability. No waiver of any breach of
this Agreement shall constitute a waiver of any other breach of the same or other provision of this Agreement, and no waiver shall be effective unless made in writing. Any provision hereof prohibited by or unenforceable under any applicable law of
any jurisdiction shall as to such jurisdiction be deemed ineffective and deleted herefrom without affecting any other provision of this Agreement. It is the desire of the parties hereto that this Agreement be enforced to the maximum extent permitted
by law, and should any provision contained herein be held by any governmental agency or court of competent jurisdiction to be void, illegal and unenforceable, the parties shall negotiate in good faith for a substitute term or provision which carries
out the original intent of the parties. 
 10.11 Entire Agreement; Amendment. Company and JHU acknowledge that they have
read this entire Agreement and that this Agreement, including the attached Exhibits constitutes the entire understanding and contract between the parties hereto and supersedes any and all prior or contemporaneous oral or written communications with
respect to the subject matter hereof, all of which communications are merged herein. It is expressly understood and agreed that (i) there being no expectations to the contrary between the parties hereto, no usage of trade, verbal agreement or
another regular practice or method dealing within any industry or between the parties hereto shall be used to modify, interpret, supplement or alter in any manner the express terms of this Agreement; and (ii) this Agreement shall not be
modified, amended or in any way altered except by an instrument in writing signed by both of the parties hereto. 
 10.12
Delays or Omissions. Except as expressly provided herein, no delay or omission to exercise any right, power or remedy accruing to any party hereto, shall impair any such right, power or remedy to such party nor shall it be construed to be a
waiver of any such breach or default, or an acquiescence therein, or in any similar breach or default. be deemed a waiver of any other breach or default theretofore or thereafter occurring. Any waiver, permit, 
  

 13. 

 
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.

 10.13 Force Majeure. If either party fails to fulfill its obligations hereunder (other than an obligation for the
payment of money), when such failure is due to an act of God, or other circumstances beyond its reasonable control, including but not limited to fire, flood, civil commotion, riot, war (declared and undeclared), revolution, or embargoes, then said
failure shall be excused for the duration of such event and for such a time thereafter as is reasonable to enable the parties to resume performance under this Agreement. 
 10.14 Further Assurances. Each party shall, at any time, and from to time, prior to or after the EFFECTIVE DATE of this Agreement, at reasonable request of the other party, execute and deliver to
the other such instruments and documents and shall take such actions as may be required to ‘more effectively carry out the terms of this Agreement. 
 10.15 Survival. All representations, warranties, covenants and agreements made herein and which by their express terms or by implication are to be performed after the execution and/or termination
hereof, or are prospective in nature, shall survive such execution and/or termination, as the case may be. This shall include Articles VI, VII, VIII, IX, and X. 
 10.16 No Third Party Beneficiaries. Nothing in this Agreement shall be construed as giving any person, firm, corporation or other entity, other than the parties hereto and their successors and
permitted assigns, any right, remedy or claim under or in respect of this Agreement or any provision hereof. 
 10.17
Headings. Article headings are for convenient reference and not a part of this Agreement. All Exhibits are incorporated herein by this reference. 
 10.18 Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an original and all of which when taken together shall be deemed but one instrument. 
  

 14. 

 IN WITNESS WHEREOF, this Agreement shall take effect as of the EFFECTIVE DATE when it has
been executed below by the duly authorized representatives of the parties. 
  

									
	THE JOHNS HOPKINS UNIVERSITY	 		 	
					
	By:	 	/s/ William P. Tew, Ph.D.,	 		 		 	 November 27, 2000

	Title:	 	William P. Tew, Ph.D., Executive Director
Technology and Business Development
School of Medicine	 		 		 	(Date)

  

									
	COMPANY	 		 	
					
	By:	 	/s/ Clayton A. Smith, M.D.	 		 		 	 10/15/2000

	Title:	 	Clayton A. Smith, M.D.	 		 		 	(Date)

 EXHIBIT A.    LICENSE FEE & ROYALTIES. 
 EXHIBIT B.    SALES & ROYALTY REPORT FORM. 
  

 15. 

 EXHIBIT A 
 LICENSE FEE & ROYALTIES 
 1. License
Fee: As partial consideration for the license granted by this Agreement Company will pay to JHU a first license fee of twelve thousand five hundred dollars ($12,500) within thirty (30) days of the EFFECTIVE DATE of this Agreement and a
second license fee of twelve thousand five hundred dollars ($12,500) within thirty (30) days of the first anniversary of the EFFECTIVE DATE of this Agreement. JHU will not submit an invoice for the first license fee, which is nonrefundable and
shall not be credited against royalties or any other fees. A one-time $10,000 fee will be deducted by the Office of Technology Licensing from any fees received by Company. 
 2. Minimum Annual Royalties: For the term of this Agreement Company shall pay to JHU minimum annual royalties as set forth below.
These minimum annual royalties shall be due within thirty (30) days of the anniversary of EFFECTIVE DATE of this Agreement. In any year where there are sales of LICENSED PRODUCT or LICENSED SERVICE the minimum annual royalties shall be credited
against any running royalty due in the corresponding royalty year. A $5000 maintenance fee will be deducted annually from any royalties or other fees received from Company. 
 1st year to 4th year Five thousand dollars ($5,000). 
 5th year and beyond Ten thousand dollars ($10,000) 
 3. Royalties. Company shall pay to JHU, a running royalty, for each LICENSED PRODUCT sold, and for each LICENSED SERVICE provided, by
Company, AFFILIATED COMPANIES and Company’s SUBLICENSEE, of [ *** ] percent ([ *** ]%) on NET SALES of [ *** ], [ *** ] percent ([ *** ]%) on NET SALES of [ *** ] and [ *** ] percent ([ *** ]%) on NET SALES of [ *** ] for the term of this
Agreement. Such payments shall be made quarterly. 
  
 [ * * * ] =
Certain information on this page has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been request with respected to the omitted portions. 
  

 16 

 EXHIBIT B 
 QUARTERLY SALES & ROYALTY REPORT 
 FOR LICENSE AGREEMENT BETWEEN
Company AND 
 THE JOHNS HOPKINS UNIVERSITY DATED 
 {EFFECTIVE DATE OF AGREEMENT} 
 FOR PERIOD OF
_______________ TO ________________ 
 TOTAL ROYALTIES DUE FOR THIS PERIOD $___________ 
  

									
	 PRODUCT
NAME
	  	*JHU
REFERENCE	  	TOTAL NET
SALES/SERVICES	  	ROYALTY
RATE	  	AMOUNT
DUE
		  		  		  		  	
		  		  		  		  	
		  		  		  		  	
		  		  		  		  	
		  		  		  		  	
		  		  		  		  	

  

	*	Please provide the JHU Disclosure Number or Patent Reference 

 This report format is to be used to report quarterly royalty statements to JHU. It should be placed on Company letterhead and accompany any royalty payments due for the reporting period. This report shall
be submitted even if no sales are reported. 
  

 17. 

 *** Text Omitted and Filed Separately 
 Confidential Treatment Requested 
 Under 17 CFR §§200.80(b)(4) and 230.406 
 FIRST
AMENDMENT TO LICENSE AGREEMENT 
 THIS
FIRST AMENDMENT (“First Amendment”), is made and entered into, effective as of October 30, 2009, (“Effective Date of First Amendment”) by and between
ALDAGEN, INC. (formerly known as StemCo Biomedical, Inc.), having a place of business at 2810 Meridian Parkway, Suite 148, Durham, NC 27713 (“Company”), and THE
JOHNS HOPKINS UNIVERSITY, having a place of business at 3400 N. Charles Street, Baltimore, MD 21218-2695 (“JHU”). Company and JHU each may be referred to herein
individually as a “Party,” or collectively as the “Parties.” 
 WHEREAS, the Parties have entered into that certain License Agreement, dated as of November 27, 2000 (the “Agreement”), and the Parties desire to amend the Agreement, as set forth below.

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

	1.	PARAGRAPH 3.6 OF THE AGREEMENT ON FORM OF PAYMENT SHALL BE AMENDED AND REPLACED IN ITS ENTIRETY AS FOLLOWS:

  

			
	3.6	  	Payment Information. All check payments from Company to JHU shall be sent to:
		
		  	 Director
 Johns Hopkins
Technology Transfer
 The Johns Hopkins University
 100 N. Charles Street, 5th Floor
 Baltimore, MD 21201
 Attn: JHU Agrmt# [* * *]

	
	or such other addresses which JHU may designate in writing from time to time. Checks are to be made payable to “The Johns Hopkins University”.
	
	Wire transfers may be made through:
		
		  	 Johns Hopkins University Central Lockbox
 Bank of America
 100 West 33rd Street
 New York, NY 10001
 Johns Hopkins University Central Lockbox

 [* * *] = Certain information on this page has been omitted and filed separately with the Securities
and Exchange Commission. Confidential treatment has been requested with respect to the omitted portions. 
  

 1. 

			
		  	 Transit/Routing/ABA number: [* * *]
 SWIFT code: [* * *]
 CHIPS ABA number: [* * *]
 Account Number: [* * *]
 Type of Account: Depository
 Reference: [* * *]
 (JHU Agrmt. #[* * *])

Attn: Financial Manager

 Company shall be responsible for any and all costs associated with wire transfers. 
  

	2.	SECTION 5.3 OF THE AGREEMENT ON DILIGENCE EFFORTS FOR DEVELOPMENT OF A THERAPEUTIC PRODUCT SHALL BE AMENDED AS FOLLOWS: 

 5.3 Company shall meet the following milestones towards development of a therapeutic product and shall pay the milestone payments listed
below to JHU within thirty (30) days of the achievement of each milestone. JHU will not submit an invoice for the milestone payments, which are nonrefundable and shall not be credited against royalties or other fees. 
  

	 	1.	Milestone 1: Completion of [* * *] of the [* * *] for a therapeutic product for [* * *] 

	 	    	Timing: To be completed within [* * *] of the Effective Date of the First Amendment 

	 	    	Payment: $[* * *]; and 

  

	 	2.	Milestone 2: [* * *] of a [* * *] for [* * *] of a therapeutic product for [* * *] with [* * *] 

	 	    	Timing: To be completed within [* * *] of the completion of [* * *] from the [* * *] for [* * *] (see Milestone 1) 

	 	    	Payment: $[* * *]; and 

  

	 	3.	Milestone 3: [* * *] of the [* * *] for a therapeutic product for [* * *] 

	 	    	Timing: Within [* * *] of the [* * *] of the [* * *] for a therapeutic product for [* * *] (see Milestone 2) 

	 	    	Payment: $[* * *]. 

 Notwithstanding any of the foregoing, Company agrees to pay the milestone payments for Milestones 1-3 under this amended Paragraph 5.3 for the first therapeutic LICENSED PRODUCT under this Agreement. 
 [* * *] = Certain information on this page has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has
been requested with respect to the omitted portions. 
  

 2. 

	3.	SECTION 10.7 OF THE AGREEMENT SHALL BE AMENDED AND REPLACED IN ITS ENTIRETY AS FOLLOWS: 

 10.7 Notice. All notices or communication required or permitted to be given by either party hereunder shall be deemed sufficiently given if
mailed by registered mail or certified mail, return receipt requested, or sent by overnight courier, such as Federal Express, to the other party at its respective address set forth below or to such other address as one party shall give notice of to
the other from time to time hereunder. Mailed notices shall be deemed to be received on the third business day following the date of mailing. Notices sent by overnight courier shall be deemed received the following business day. 
  

			
	 If to the Company:
	 	 Aldagen, Inc.
 2810 Meridian
Parkway, Suite 148
 Durham, NC 27713
 Attn: President

		
	 If to JHU:
	 	 Director
 Technology
Transfer
 Johns Hopkins University
 100 N. Charles Street
 5th Floor
 Baltimore, MD 21201
 Attn: Agrmt#[* * *]

 4. Miscellaneous. Other than as set forth in this First Amendment, all of
the terms and conditions of the Agreement will continue in full force and effect. Capitalized terms used herein without definition will have the meanings given to such terms in the Agreement. This First Amendment constitutes the entire understanding
of the Parties with respect to the subject matter hereof and supersedes any prior understanding, oral or written, between the Parties with respect thereto. To the extent there is a conflict between the terms of this First Amendment and the terms of
the Agreement, this First Amendment shall control. This First Amendment may be executed in two or more counterparts, each of which will be deemed an original, but all of which together will constitute one and the same instrument. 
 5. Amendment Fee. Company shall pay to JHU within thirty (30) days of the Effective Date of First Amendment an amendment fee of
$12,500. JHU will not submit an invoice for the amendment fee, which is nonrefundable and shall not be credited against royalties or other fees. 
 [* * *] = Certain information on this page has been omitted and filed separately with the Securities and Exchange Commission. Confidential treatment has been requested with respect to the omitted portions. 
 [REMAINDER OF PAGE DELIBERATELY LEFT UNMARKED] 
  

 3. 

 IN AGREEMENT WITH THE FOREGOING, the Parties have caused this First Amendment
to be signed by their respective duly authorized representatives and it shall be effective as of the date first written above. 
  

									
	ALDAGEN, INC.	 		 	THE JOHNS HOPKINS UNIVERSITY
					
	By:	 	 /s/    Edward L. Field
	 		 	By:	 	 /s/    Wesley D. Blakeslee

					
	Name:	 	Edward L. Field	 		 	Name:	 	Wesley D. Blakeslee, JD, CLP
					
	Title:	 	President	 		 	Title:	 	Executive Director

  

 4.

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