Document:

EX-10.14

 Exhibit 10.14 

ZYMEWORKS INC. 

EMPLOYEE STOCK OPTION PLAN 

 TABLE OF CONTENTS 

 

							
	 	  	 	  	Page	 
		
	ARTICLE 1 DEFINITIONS AND INTERPRETATION	  	 	1	 
			
	        1.1	  	Definitions	  	 	1	 
			
	        1.2	  	Choice of Law	  	 	4	 
			
	        1.3	  	Headings	  	 	4	 
		
	ARTICLE 2 PURPOSE AND PARTICIPATION	  	 	4	 
			
	        2.1	  	Purpose	  	 	4	 
			
	        2.2	  	Participation	  	 	4	 
			
	        2.3	  	Notification of Award	  	 	4	 
			
	        2.4	  	Copy of Plan	  	 	5	 
			
	        2.5	  	Limitation	  	 	5	 
		
	ARTICLE 3 TERMS AND CONDITIONS OF OPTIONS	  	 	5	 
			
	        3.1	  	Board to Issue Common Shares	  	 	5	 
			
	        3.2	  	Number of Common Shares	  	 	5	 
			
	        3.3	  	Term of Option	  	 	5	 
			
	        3.4	  	Termination	  	 	5	 
			
	        3.5	  	Exercise Price	  	 	8	 
			
	        3.6	  	Additional Terms	  	 	9	 
			
	        3.7	  	Going Public Agreements	  	 	9	 
			
	        3.8	  	Assignment of Options	  	 	9	 
			
	        3.9	  	Adjustments	  	 	9	 
			
	        3.10	  	Option Grant and Vesting Terms	  	 	10	 
			
	        3.11	  	Incentive Stock Options	  	 	10	 
		
	ARTICLE 4 EXERCISE OF OPTION	  	 	11	 
			
	        4.1	  	Exercise of Option	  	 	11	 
			
	        4.2	  	Subscription Agreement	  	 	11	 
			
	        4.3	  	Execution of Shareholder’s Agreement	  	 	11	 
			
	        4.4	  	Issue of Share Certificates	  	 	12	 
			
	        4.5	  	Condition of Issue	  	 	12	 
			
	        4.6	  	Net Settlement	  	 	12	 
		
	ARTICLE 5 ADMINISTRATION	  	 	13	 
			
	        5.1	  	Administration	  	 	13	 
			
	        5.2	  	Interpretation	  	 	13	 
			
	        5.3	  	Withholding	  	 	13	 

  
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 TABLE OF CONTENTS 

 

							
	 	  	 	  	Page	 
		
	ARTICLE 6 AMENDMENT, TERMINATION AND NOTICE	  	 	13	 
			
	    6.1	  	Prospective Amendment	  	 	13	 
			
	    6.2	  	Retrospective Amendment	  	 	14	 
			
	    6.3	  	Approvals	  	 	14	 
			
	    6.4	  	Termination	  	 	14	 
			
	    6.5	  	Agreement	  	 	14	 
			
	    6.6	  	Notice	  	 	14	 

  

					
	 SCHEDULE “A”
	  	 	1	 
	 SCHEDULE “B”
	  	 	1	 
	 SCHEDULE “B-1”
	  	 	1	 
	 SCHEDULE “C”
	  	 	1	 
	 SCHEDULE “D”
	  	 	1	 

  
 ii 

 STOCK OPTION PLAN 

ARTICLE 1 
 DEFINITIONS
AND INTERPRETATION 
  

	1.1	Definitions 

 As used herein, unless there is something in the subject matter or context inconsistent
therewith, the following terms will have the meanings set forth below: 
  

	 	(a)	“Administrator” means, initially, the Chief Financial Officer of the Corporation and thereafter will mean such director or other senior officer or employee of the Corporation as may be designated as
Administrator by the Board from time to time. 

  

	 	(b)	“Award Date” means the date on which the Board awards a particular Option or such other effective award date determined by the Board. 

 

	 	(c)	“Board” means the board of directors of the Corporation, or any committee thereof to which the board of directors of the Corporation has delegated the power to administer and grant Options under the
Plan. 

  

	 	(d)	“Cause” means: 

  

	 	(i)	Cause as such term is defined in either the written employment agreement between the Corporation and the Option Holder or the applicable Option Certificate; or 

 

	 	(ii)	in the event there is no written employment agreement between the Corporation and the Option Holder or Cause is not defined therein, the usual meaning of just cause under the common law or the laws of the jurisdiction
in which the Option Holder is employed. 

  

	 	(e)	“Code” has the meaning given to that term under section 3.11. 

  

	 	(f)	“Common Share” or “Common Shares” means, as the case may be, one or more common shares without par value in the capital of the Corporation. 

 

	 	(g)	“Corporation” means Zymeworks Inc. 

  

	 	(h)	“Compensation Committee” means the compensation committee of the Corporation, if and as constituted from time to time; 

 

	 	(i)	“Convertible Shares” has the meaning given to that term under section 3.4(f). 

  

	 	(j)	“Director” means any individual holding the office of director of the Corporation. 

  

	 	(k)	“Employee” means any individual regularly employed on a full-time basis by the Corporation or any of its subsidiaries and such other individuals, such as service providers and consultants, as may, from
time to time, be permitted or not precluded by the rules and policies of the applicable Regulatory Authorities to be granted Options. 

  
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	 	(l)	“Equity Securities” means: 

  

	 	(i)	Shares or any other security of the Corporation that carries the residual right to participate in the earnings of the Corporation and, on liquidation, dissolution or winding-up, in the assets of the Corporation, whether
or not the security carries voting rights; 

  

	 	(ii)	any warrants, options or rights entitling the holders thereof to purchase or acquire any such securities; or 

  

	 	(iii)	any securities issued by the Corporation which are convertible or exchangeable into such securities. 

  

	 	(m)	“Exercise Notice” means the notice respecting the exercise of an Option, in the form set out as Schedule “B” hereto, duly executed by the Option Holder. 

 

	 	(n)	“Exercise Period” means the period during which a particular Option may be exercised and is the period from and including the date upon which the Option (or the applicable portion thereof) first becomes
vested through to and including the Expiry Date. 

  

	 	(o)	“Exercise Price” means the price at which an Option may be exercised as determined in accordance with section 3.5. 

  

	 	(p)	“Expiry Date” means the date determined in accordance with section 3.4 and after which a particular Option cannot be exercised. 

 

	 	(q)	“Fixed Expiry Date” has the meaning given to that term under section 3.4. 

  

	 	(r)	“IPO” means the offering and sale to the public of securities of the Corporation in connection with which the securities of the Corporation are listed or quoted on an organized trading facility.

  

	 	(s)	“ISO” has the meaning given to that term under section 3.11. 

  

	 	(t)	“Market Value” means the market value of the Common Shares as determined in accordance with section 3.5. 

  

	 	(u)	“Net Settlement” has the meaning given to that term under section 4.6. 

  

	 	(v)	“Notice of Net Settlement” means the notice of Net Settlement as set out in Schedule “B-1”. 

  

	 	(w)	“Option” means an option to acquire Common Shares, awarded to a Director or Employee under the Plan. 

  

	 	(x)	“Option Certificate” means the certificate, substantially in the form set out as Schedule “A” hereto (with such changes as the Board or Administrator may determine), evidencing an Option.

  
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	 	(y)	“Option Holder” means a Director or Employee, or former Director or Employee, who holds an unexercised and unexpired Option or, where applicable, the Personal Representative of such person.

  

	 	(z)	“Person” means any individual, partnership, joint venture, syndicate, sole proprietorship, company or corporation with or without share capital, trust, trustee, executor, administrator, or other legal
personal representatives, regulatory body or agency, government or governmental agency, authority or entity howsoever designated or constituted. 

  

	 	(aa)	“Personal Representative” means: 

  

	 	(i)	in the case of a deceased Option Holder, the executor or administrator of the deceased duly appointed by a court or public authority having jurisdiction to do so; and 

 

	 	(ii)	in the case of an Option Holder who for any reason is unable to manage his or her affairs, the person entitled by law to act on behalf of such Option Holder. 

 

	 	(bb)	“Plan” means this stock option plan. 

  

	 	(cc)	“Purchaser” has the meaning given to that term under section 3.4(f). 

  

	 	(dd)	“Regulatory Authorities” means all stock exchanges, inter-dealer quotation networks and other organized trading facilities on which the Shares are listed and all securities commissions or similar
securities regulatory bodies having jurisdiction over the Corporation. 

  

	 	(ee)	“Schedule D Option” means an Option listed on Schedule D, as amended from time to time, and “Schedule D Options” means more than one Option listed on Schedule D. 

 

	 	(ff)	“Selling Shareholders” has the meaning given to that term under section 3.4(f). 

  

	 	(gg)	“Share” or “Shares” means, as the case may be, one or more Common Shares or shares of any other class in the share capital of the Corporation from time to time. 

 

	 	(hh)	“Substantial Sale” has the meaning given to that term under section 3.4(f). 

  

	 	(ii)	“Termination Date” means: 

  

	 	(i)	in the case of the resignation of the Option Holder’s employment or the termination of the Option Holder’s consulting or service contract by the Option Holder, the date that the Option Holder provides notice
of such resignation or termination to the Corporation (or, if no notice is given, the last day of the individual’s employment or service, as the case may be); or 

 

	 	(ii)	in the case of the termination of the Option Holder’s employment or consulting or service contract by the Corporation for any reason other than death or disability, the date that the Corporation delivers written
notice of termination of the Option Holder’s employment or consulting or service contract to the Option Holder; or 

  
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	 	(iii)	in the case of the expiry of a fixed-term employment or consulting or service contract that is not renewed or extended, the last day of the term. 

 

	 	(jj)	“Transfer” includes any sale, exchange, assignment, gift, bequest, disposition, mortgage, charge, pledge, encumbrance, grant of a security interest or other arrangement by which possession, legal title
or beneficial ownership passes from one Person to another, or to the same Person in a different capacity, whether or not voluntarily and whether or not for value, and any agreement to effect any of the foregoing; and the words
“Transferred”, “Transferring” and similar words have corresponding meanings. 

  

	 	(kk)	“U.S. Option Holder” has the meaning given to that term under section 3.11. 

  

	 	(ll)	“Withholding Obligations” has the meaning given to that term under section 5.3. 

  

	1.2	Choice of Law 

 The Plan is established under, and the provisions of the Plan will be subject to and
interpreted and construed in accordance with, the laws of the Province of British Columbia. 
  

	1.3	Headings 

 The headings used herein are for convenience only and are not to affect the interpretation of
the Plan. 
 ARTICLE 2 

PURPOSE AND PARTICIPATION 
  

	2.1	Purpose 

 The purpose of the Plan is to provide the Corporation with a share-related mechanism to
attract, retain and motivate qualified Directors and Employees, to reward such of those Directors and Employees as may be awarded Options under the Plan by the Board from time to time for their contributions toward the long term goals of the
Corporation and to enable and encourage such Directors and Employees to acquire Common Shares as long term investments. 
  

	2.2	Participation 

 The Compensation Committee will, from time to time, recommend to the Board those
Directors and Employees, if any, to whom Options should be awarded. The Board will, from time to time and in its sole discretion, taking into account any recommendations of the Compensation Committee, determine those Directors and Employees, if any,
to whom Options are to be awarded. The Board may, in its sole discretion, grant the majority of the Options to insiders of the Corporation. 
  

	2.3	Notification of Award 

 Following the approval by the Board of the awarding of an Option, the
Administrator will notify the Option Holder in writing of the award and will enclose with such notice the Option Certificate representing the Option so awarded. 

  
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	2.4	Copy of Plan 

 Each Option Holder, concurrently with the notice of the award of the Option, will be
provided with a copy of the Plan. A copy of any amendment to the Plan will be promptly provided by the Administrator to each Option Holder. 
  

	2.5	Limitation 

 The Plan does not give any Option Holder that is a Director the right to serve or continue
to serve as a Director of the Corporation nor does it give any Option Holder that is an Employee the right to be or to continue to be employed with the Corporation, have a consulting relationship with the Corporation or provide services to the
Corporation. 
 ARTICLE 3 

TERMS AND CONDITIONS OF OPTIONS 
  

	3.1	Board to Issue Common Shares 

 The Common Shares to be issued to Option Holders upon the exercise of
Options (including for greater certainty, a Net Settlement pursuant to the terms of section 4.6 hereof) will be authorized and unissued Common Shares the issuance of which will have been authorized by the Board. 

 

	3.2	Number of Common Shares 

 Subject to adjustment as provided for in section 3.9 of the Plan, the number of
Common Shares that will be available for Directors and Employees to acquire pursuant to Options granted under the Plan will not exceed 20% of the outstanding issue, subject to approval of the Board. If any Option expires or otherwise terminates for
any reason without having been exercised in full, the number of Common Shares in respect of which the Option was not exercised will again be available for the purposes of the Plan. 

 

	3.3	Term of Option 

 An Option Holder may exercise an Option (including for greater certainty, a Net
Settlement pursuant to the terms of section 4.6 hereof) in whole or in part at any time or from time to time during the Exercise Period. Any Option or part thereof not exercised within the Exercise Period will terminate and become null, void and of
no effect as of 5:00 p.m. local time in Vancouver, British Columbia on the Expiry Date. 
  

	3.4	Termination 

 The Expiry Date of an Option will be the earlier of the date that is the tenth
anniversary of the Award Date of such Option, or such other date so fixed by the Board at the time the particular Option is awarded provided that such date will be no later than the tenth anniversary of the Award Date of such Option (the
“Fixed Expiry Date”), or the date established, if applicable, in subsections (a) to (f) below: 
  

	 	(a)	Death 

 In the event that the Option Holder should die while he or she is a Director (if
he or she holds his or her Option as a Director) or Employee (if he or she holds his or her Option as an Employee), the Expiry Date for any vested portion or portions of the Option will be the date that is six months after the date of the Option
Holder’s death (but not later than the Fixed Expiry Date for such Option). The Expiry Date for any unvested portion of the Option will be the date of the Option Holder’s death. 

  
 5 

	 	(b)	Disability 

 In the event that the Option Holder becomes permanently disabled while he or
she is a Director (if he or she holds his or her Option as a Director) or Employee (if he or she holds his or her Option as an Employee) and ceases to be a Director or Employee as a result of the permanent disability, the Expiry Date for any vested
portion or portions of the Option will be the date that is six months after the date that the Option Holder ceases to be an Employee or Director, as the case may be (but not later than the Fixed Expiry Date for such Option). The Expiry Date for any
unvested portion of the Option will be the date that the Option Holder ceases to be an Employee or Director, as the case may be. 
  

	 	(c)	Ceasing to Hold Office 

 In the event that the Option Holder holds his or her Option as a
Director of the Corporation and such Option Holder ceases to be a Director of the Corporation other than by reason of death or permanent disability, the Expiry Date for any vested portion or portions of the Option will be, unless otherwise provided
for in the Option Certificate, three years following the date that the Option Holder ceases to be a Director of the Corporation (but not later than the Fixed Expiry Date for such Option) unless the Option Holder ceases to be a Director of the
Corporation as a result of: 
  

	 	(i)	ceasing to meet the qualifications required under applicable laws; 

  

	 	(ii)	being removed from office in accordance with applicable laws; or 

  

	 	(iii)	an order made by any Regulatory Authority having jurisdiction to so order, 

 in which case the
Expiry Date will be the date that the Option Holder ceases to be a Director of the Corporation. The Expiry Date for any unvested portion of the Option will be the date that the Option Holder ceases to be a Director of the Corporation. 

 

	 	(d)	Ceasing to be Employee 

 In the event that the Option Holder holds his or her Option as
an Employee of the Corporation and such Option Holder ceases to be an Employee of the Corporation other than by reason of death or permanent disability, the Expiry Date of any vested portion or portions of the Option will be the 90th day following
the Termination Date (but not later than the Fixed Expiry Date for such Option) unless the Option Holder ceases to be an Employee of the Corporation as a result of: 
  

	 	(i)	termination of employment for Cause; or 

  

	 	(ii)	an order made by any Regulatory Authority having jurisdiction to so order, 

 in which case the
Expiry Date will be the Termination Date. The Expiry Date for any unvested portion of the Option will be the Termination Date. 

  
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	 	(e)	Initial Public Offering 

 Prior to completion of an IPO, the Board or the Regulatory
Authorities or the underwriter may require that there be no outstanding Options and the Corporation may deliver a notice to the Option Holder to this effect, in which case the unvested portion of the Option held by the Option Holder, if any, will
immediately vest and the Expiry Date of the Option will be the 30th day following the date of the notice. In the event that the Corporation does not complete the IPO, the Corporation will, to the extent reasonably practicable, grant to the Option
Holder an Option equivalent (including the original vesting terms, if any) to the Option cancelled or exercised, provided that in the case of an Option that was exercised, the Option Holder surrenders for cancellation the Common Shares acquired upon
the exercise of the Option. This subsection 3.4(e) shall only apply if the Board or the Regulatory Authorities or the underwriter requires that there be no outstanding Options in the event of an IPO. If there is no such requirement, all Options
granted under the Plan shall survive the IPO and shall continue to be governed by the terms of this Plan. In addition, this subsection 3.4(e) shall only apply to Option Holders who have held Options for a minimum of two months prior to the notice of
the IPO. Unvested Options of Option Holders who have not been Option Holders for the minimum period of two months will expire, terminate and be cancelled in the event of an IPO. 

 

	 	(f)	Substantial Sale 

 If security holders of the Corporation (the “Selling
Shareholders”) have agreed to Transfer to a Person, or Persons acting jointly or in concert, (a “Purchaser”), Equity Securities representing more than 66 2/3% of the Common Shares (a “Substantial Sale”) and the Purchaser also offers to buy the Options of an Option Holder, then the Option Holder must sell his or her Options to the
Purchaser at a price equal to: 
  

					
	 The number of Shares then Exercisable under the Option
	  	X    	  	The price per Share being paid by the Purchaser to the Selling Shareholder minus the exercise price per Share under the Option

 and on otherwise similar terms and conditions as are applicable under the Substantial Sale. If the Selling
Shareholders have agreed to sell Equity Securities which are convertible into Shares only (“Convertible Shares”), the price per Share applicable in the above formula will be calculated on an as converted basis (and if there is more
than one conversion rate applicable to different classes or series of Convertible Shares outstanding, the conversion will be computed on a pro rata basis based upon the ratio of the number of Shares which holders of each class or series of
Convertible Shares may acquire to the total number of Shares which all holders of all classes and series of Convertible Shares may acquire). 

If the Purchaser offers to buy the Options of an Option Holder and the Option Holder does not sell the Option Holder’s Options to the
Purchaser as contemplated above, then that Option Holder’s Options will expire, terminate and be cancelled on completion of the Substantial Sale. 

  
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 Notwithstanding any term contained in the Plan and subject to any necessary approval from the Corporation’s
shareholders and the Regulatory Authorities, the Board may in its discretion (a) extend the Expiry Date of any Option that is not an ISO, provided that in no case will an Option be exercisable later than the tenth anniversary of the Award Date
of the Option; or (b) alter or change the vesting terms applicable to an Option. 
 Notwithstanding any term contained in the Plan and subject to any
necessary approval from the Corporation’s shareholders and the Regulatory Authorities, the Board may in its discretion (a) extend the Expiry Date of any Schedule D Option that is not an ISO, provided that in no case, will a Schedule D
Option be exercisable later than the fourteenth anniversary of the Award Date of the Option; or (b) alter or change the vesting terms applicable to a Schedule D Option. If the Board extends the Expiry Date of a Schedule D Option then the Expiry
Date of the Schedule D Option will be the earlier of the date so fixed by the Board or the date established, if applicable, in subsections 3.4 (a) to (f). 
  

	3.5	Exercise Price 

 The price at which an Option Holder may purchase a Common Share upon the exercise of an
Option (including for greater certainty, a Net Settlement pursuant to the terms of section 4.6 hereof) will be as set forth in the Option Certificate issued in respect of such Option and in any event will not be less than the Market Value of the
Common Shares as of the Award Date. The Market Value of the Common Shares for a particular Award Date will be determined as follows: 
  

	 	(a)	for each organized trading facility on which the Common Shares are listed, Market Value will be determined by a resolution of the Board and must be either: 

 

	 	(i)	the closing trading price of the Common Shares on the last trading day immediately preceding the Award Date; or 

  

	 	(ii)	a value that is within the parameters set by the guidelines or policies of such organized trading facility; 

  

	 	(b)	if the Common Shares trade on an organized trading facility outside of Canada, then the Market Value determined for that organized trading facility will be converted into Canadian dollars at a conversion rate determined
by the Administrator having regard for the published conversion rates as of the Award Date; 

  

	 	(c)	if the Common Shares are listed on more than one organized trading facility, then Market Value will be the greatest of the Market Values determined for each organized trading facility on which those Common Shares are
listed as determined for each organized trading facility in accordance with subsections (a) and (b) above; 

  

	 	(d)	if the Common Shares are listed on one or more organized trading facility but have not traded during the ten trading day period immediately preceding the Award Date, then the Market Value will be, subject to the
necessary approvals of the applicable Regulatory Authorities, such value as is determined by resolution of the Board; and 

  

	 	(e)	if the Common Shares are not listed on any organized trading facility, then the Market Value will be, subject to the necessary approvals of the applicable Regulatory Authorities, such value as is determined by the
Board. 

  
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 Notwithstanding anything else contained herein, in no case will the Market Value be less than the minimum
prescribed by each of the organized trading facilities as would apply to the Award Date in question. For awards of Options to U.S. Option Holders, Market Value shall be determined in a manner consistent with the requirements of U.S. Treasury
Regulation 1.409A-1(b)(5)(iv)(A) or (B), as applicable. 
  

	3.6	Additional Terms 

 Subject to all applicable securities laws and regulations and the rules and policies
of all applicable Regulatory Authorities, the Board may attach other terms and conditions to the grant of a particular Option, such terms and conditions to be referred to in a schedule attached to the Option Certificate. These terms and conditions
may include, but are not necessarily limited to, the following: 
  

	 	(a)	providing that an Option expires on a date other than as provided for herein, provided that in no case will an Option be exercisable later than the tenth anniversary of the Award Date of the Option (other than with
respect to Schedule D Options); 

  

	 	(b)	providing that a portion or portions of an Option vest after certain periods of time or upon the occurrence of certain events, or expire after certain periods of time or upon the occurrence of certain events other than
as provided for herein; and 

  

	 	(c)	providing that an Option be exercisable immediately, in full, notwithstanding that it has vesting provisions, upon the occurrence of certain events, such as a friendly or hostile takeover bid for the Corporation.

  

	3.7	Going Public Agreements 

 If the Corporation proceeds to list its Shares on a public stock exchange or
commences a public offering, each Option Holder will promptly enter into all such escrow, pooling or other agreements as are required by the securities regulatory authorities, the exchange, the agents or the underwriters in connection with such
listing or public offering. 
  

	3.8	Assignment of Options 

 Options may not be assigned or transferred, provided however that the Personal
Representative of an Option Holder may, to the extent permitted by section 4.1 or section 4.6, exercise the Option within the Exercise Period. 
  

	3.9	Adjustments 

 If prior to the complete exercise of an Option (including for greater certainty, a
Net Settlement pursuant to the terms of section 4.6 hereof) the Common Shares are consolidated, subdivided, converted, exchanged or reclassified or in any way substituted for (collectively, the “Event”), an Option, to the extent
that it has not been exercised, will be adjusted by the Board in accordance with such Event in the manner the Board deems appropriate. No fractional Common Shares will be issued upon the exercise of an Option and accordingly, if as a result of the
Event, an Option Holder would become entitled to a fractional Common Share, such Option Holder will have the right to purchase only the next lowest whole number of Common Shares and no payment or other adjustment will be made with respect to the
fractional interest so disregarded. 

  
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	3.10	Option Grant and Vesting Terms 

 Unless otherwise determined by the Board in accordance with the terms
and conditions of this Plan, Options will be granted by the Board and an Option granted to an Employee will vest over a four year period as follows: 
  

	 	(a)	25% of such Option will vest on the first anniversary of the commencement of such service; and 

  

	 	(b)	on the last day of each month thereafter, a further 1/36 of the total number of Options remaining will vest.

 For clarity, the Board may deviate from the terms of this Section 3.4 and Section 3.10 with respect to the grant of Options
provided that such grant is made in accordance with the other terms of this Plan. 
  

	3.11	Incentive Stock Options 

 Any Option granted under this Plan to an Employee who is (1) a
citizen or resident of the United States (including its territories, possessions and all areas subject to the jurisdiction) and (2) an “employee” with respect to the Corporation within the meaning of Section 422(a)(2) of the
Internal Revenue Code of 1986, as amended, of the United States (the “Code”) and the Treasury Regulations promulgated thereunder, as described more fully below (a “U.S. Option Holder”), including Directors who meet
such requirements, may be an incentive stock option (an “ISO”) within the meaning of Section 422 of the Code, but only if so designated by the Corporation in the applicable Option Certificate. No provision of this Plan, as it
may be applied to a U.S. Option Holder with respect to Options which are designated as ISOs, shall be construed or applied so as to be inconsistent with any provision of Section 422 of the Code or the Treasury Regulations thereunder. Grants of
Options to U.S. Option Holders which are not designated as or otherwise do not qualify as ISOs will be treated as nonstatutory stock options for U.S. federal tax purposes. Notwithstanding anything in this Plan contained to the contrary, the
following provisions shall apply to Options designated as ISOs granted to any U.S. Option Holder: 
  

	 	(a)	ISOs shall only be granted to individual U.S. Option Holders who are, at the time of grant, employees of the Corporation (or any parent corporation or subsidiary corporation thereof) within the meaning of
Section 423(e) or 424(f) of the Code, respectively; 

  

	 	(b)	the aggregate Market Value (determined as of the Award Date of the ISO) of the Common Shares subject to ISOs exercisable for the first time by a U.S. Option Holder during any calendar year under this Plan and all other
stock option plans, within the meaning of Section 422 of the Code, of the Corporation shall not exceed One Hundred Thousand Dollars in U.S. funds (U.S. $100,000); 

 

	 	(c)	the Exercise Price for Common Shares under each ISO granted to a U.S. Option Holder pursuant to this Plan shall, except as set forth in clause (e) below), be not less than the Market Value of the Common Shares as
of the Award Date, as determined pursuant to section 3.5 of this Plan (unless such ISO is granted pursuant to an assumption or substitution for another option in a manner satisfying the provisions of Section 424(a) of the Code);

  

	 	(d)	the ISO shall not be transferable by the U.S. Option Holder otherwise than by will or the laws of descent and distribution and shall be exercisable during the U.S. Option Holder’s lifetime only by the U.S. Option
Holder; 

  
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	 	(e)	if any U.S. Option Holder to whom an ISO is to be awarded under this Plan at the Award Date of such ISO is the owner of shares possessing more than ten percent (10%) of the total combined voting power of all
classes of shares of the Corporation (determined in accordance with Section 422(b)(6) of the Code, then the following special provisions shall be applicable to the ISO granted to such individual: 

 

	 	(i)	the Exercise Price (per share) subject to such ISO shall not be less than one hundred ten percent (110%) of the Market Value of one Common Share at the Award Date; and 

 

	 	(ii)	the Exercise Period shall not exceed five (5) years from the Award Date; 

  

	 	(f)	no ISO may be granted hereunder to a U.S. Option Holder following the expiration of ten (10) years after November 9, 2016 (subject to shareholder approval); 

 

	 	(g)	no ISO granted to a U.S. Option Holder under this Plan shall become exercisable unless and until the Plan shall have been approved by the shareholders of the Corporation; and 

 

	 	(h)	notwithstanding anything in this Plan contained to the contrary, the maximum number of Common Shares which may be issued under this Plan as ISOs shall be 500,000 Common Shares. 

ARTICLE 4 
 EXERCISE OF
OPTION 
  

	4.1	Exercise of Option 

 An Option may be exercised only by the Option Holder or the Personal Representative
of the Option Holder. An Option Holder or the Personal Representative of the Option Holder may exercise the vested portion or portions of an Option in whole or in part at any time or from time to time during the Exercise Period up to 5:00 p.m. local
time in Vancouver, British Columbia on the Expiry Date by delivering to the Administrator an Exercise Notice, the applicable Option Certificate and a certified cheque or bank draft payable to “Zymeworks Inc.” in an amount equal to the
aggregate Exercise Price of the Common Shares to be purchased pursuant to the exercise of the Option. 
  

	4.2	Subscription Agreement 

 It is a condition of the Plan that an Option Holder who wishes to exercise an
Option (including for greater certainty, a Net Settlement pursuant to the terms of section 4.6 hereof) in whole or in part prior to the completion of an IPO must, if required by the Board, be a party to a subscription agreement with the Corporation
substantially in the form set out as Schedule “C” hereto. The subscription agreement establishes certain rights and obligations with respect to the holding and sale of all Common Shares purchased from time to time by the Option Holder upon
the exercise of Options. 
  

	4.3	Execution of Shareholder’s Agreement 

 As soon as practicable following the receipt of the Exercise
Notice or Notice of Net Settlement, as applicable, the Administrator will establish whether the Option Holder is a party to a shareholder’s agreement with the Corporation. If the Option Holder is not a party to a shareholder’s agreement
and, if so required by the Board, the Administrator will cause to be delivered to the Option Holder a shareholder’s agreement substantially in the form set out as Schedule “C” hereto for execution by the Option Holder and return to
the Administrator. 

  
 11 

	4.4	Issue of Share Certificates 

 As soon as practicable following the receipt of the Exercise Notice or
Notice of Net Settlement, as applicable (or following receipt of the executed shareholder’s agreement, if required), the Administrator will, in his sole discretion, either cause to be delivered to the Option Holder a certificate for the Common
Shares purchased by the Option Holder or cause to be delivered to the Option Holder a copy of such certificate and the original of such certificate will be placed in the minute book of the Corporation. If the number of Common Shares in respect of
which the Option was exercised (including for greater certainty, a Net Settlement pursuant to the terms of section 4.6 hereof) is less than the number of Common Shares subject to the Option Certificate surrendered, the Administrator will forward a
new Option Certificate to the Option Holder concurrently with delivery of the share certificate for the balance of the Common Shares available under the Option. 
  

	4.5	Condition of Issue 

 The Options and the issue of Common Shares by the Corporation pursuant to the
exercise of Options (including for greater certainty, a Net Settlement pursuant to the terms of section 4.6 hereof) are subject to the terms and conditions of the Plan and compliance with the rules and policies of all applicable Regulatory
Authorities with respect to the granting of such Options and the issuance and distribution of such Common Shares, and to all applicable securities laws and regulations. The Option Holder agrees to comply with all such laws, regulations, rules and
policies and agrees to furnish to the Corporation any information, reports or undertakings required to comply with, and to fully cooperate with, the Corporation in complying with such laws, regulations, rules and policies. 

 

	4.6	Net Settlement 

 In lieu of exercising the Option by delivery of the Exercise Notice along with aggregate
Exercise Price as provided in Section 4.1 hereof, with the prior written approval of the Corporation, which may be granted or withheld in its sole discretion, any Option Holder may elect to transfer and dispose of a specified number of vested
Options to the Corporation in exchange for a number of Common Shares having a fair market value equal to the intrinsic value of such vested Options disposed of and transferred to the Corporation (“Net Settlement”) by completing the
Notice of Net Settlement set out as Schedule “B-1”. The decision of whether or not to permit Net Settlement for any Option is in the sole discretion of the Corporation and will be made on a case by case basis. Upon the Net Settlement of
Options (the “Disposed Options”), the Corporation shall deliver to the Option Holder, that number of fully paid and non-assessable Common Shares (“X”) equal to the number of Common Shares that may be acquired by the
Disposed Options (“Y”) multiplied by the quotient obtained by dividing the result of the Market Value of one Common Share (“B”) less the Exercise Price per Common Share (“A”) by the Market Value of one Common Share
(“B”). Expressed as a formula, such number of Common Shares shall be computed as follows: 
  

			
	X = (Y) x    	  	    (B - A)    
		  	       (B)       

 No fractional Common Shares shall be issuable upon the Net Settlement of Options; such Common Shares will be rounded down to
the nearest whole number. 

  
 12 

 ARTICLE 5 

ADMINISTRATION 
  

	5.1	Administration 

 The Plan will be administered by the Administrator on the instructions of the Board. The
Compensation Committee may, from time to time, recommend to the Board how the Plan should be administered. The Board may make, amend and repeal at any time and from time to time such policies not inconsistent with the Plan as it may deem necessary
or advisable for the proper administration and operation of the Plan and such policies will form part of the Plan. The Board may delegate to the Administrator or any director, officer or employee of the Corporation such administrative duties and
powers as it may see fit. 
  

	5.2	Interpretation 

 The interpretation by the Board of any of the provisions of the Plan and any
determination by it pursuant thereto will be final and conclusive and will not be subject to any dispute by any Option Holder. No member of the Board or any person acting pursuant to authority delegated by it hereunder will be liable for any action
or determination in connection with the Plan made or taken in good faith and each member of the Board and each such person will be entitled to indemnification with respect to any such action or determination in the manner provided for by the
Corporation. 
  

	5.3	Withholding. 

 The Corporation may withhold from any amount payable to an Option Holder, either under
this Plan or otherwise, such amount as it reasonably believes is necessary to enable the Corporation to comply with the applicable requirements of any federal, provincial, local, or foreign law, or any administrative policy of any applicable tax
authority, relating to the withholding of tax or any other required deductions with respect to Options (“Withholding Obligations”). The Corporation may also satisfy any liability for any such Withholding Obligations, on such terms
and conditions as the Corporation may determine in its discretion, by requiring an Option Holder as a condition to the exercise of any Options or acquisition of Common Shares pursuant to the Net Settlement provisions of Section 4.6, to make
such arrangements as the Corporation may require so that the Corporation can satisfy such Withholding Obligations including, without limitation, (a) requiring the Option Holder to remit to the Corporation in advance, or reimburse the
Corporation for, any such Withholding Obligations or, if the Common Shares are listed on an organized trading facility, (b) selling on the Option Holder’s behalf, or requiring the Option Holder to sell, any Common Shares acquired by the
Option Holder under the Plan, or retaining any amount which would otherwise be payable to the Option Holder in connection with any such sale. 

ARTICLE 6 
 AMENDMENT,
TERMINATION AND NOTICE 
  

	6.1	Prospective Amendment 

 The Board may, from time to time and in accordance with any third party
obligations of the Corporation, amend the Plan and the terms and conditions of any Option thereafter to be granted and, without limiting the generality of the foregoing, may make such amendment for the purpose of meeting any changes in any relevant
law, rule or regulation applicable to the Plan, any Option or the Common Shares, or for any other purpose which may be permitted by all relevant laws, regulations, rules and policies provided always that any such amendment (with the exception of an
amendment pursuant to section 3.4(f)) will not alter the terms or conditions of any Option or impair any right of any Option Holder pursuant to any Option awarded prior to such amendment. Notwithstanding the foregoing, the Board may not amend any
provisions of the Plan or any Option in a manner that would cause Options theretofore issued as ISOs to cease to qualify as ISOs without the consent of the affected Option Holder. 

  
 13 

	6.2	Retrospective Amendment 

 The Board may from time to time retrospectively amend the Plan and, with the
consent of the affected Option Holders, retrospectively amend the terms and conditions of any Options which have been previously granted. 
  

	6.3	Approvals 

 The Plan and any amendments hereto are subject to all necessary approvals of the applicable
Regulatory Authorities. 
  

	6.4	Termination 

 The Board may terminate the Plan at any time provided that such termination will not alter
the terms or conditions of any Option or impair any right of any Option Holder pursuant to any Option awarded prior to the date of such termination which will continue to be governed by the provisions of the Plan. 

 

	6.5	Agreement 

 The Corporation and every Option awarded hereunder will be bound by and subject to the terms
and conditions of the Plan. By accepting an Option granted hereunder, the Option Holder has expressly agreed with the Corporation to be bound by the terms and conditions of the Plan. 

 

	6.6	Notice 

 Any notice or other communication contemplated under the Plan to be given by the Corporation to
an Option Holder will be given by the Corporation delivering or faxing the notice to the Option Holder at the last address for the Option Holder in the Corporation’s records. Any such notice will be deemed to have been given on the date on
which it was delivered, or in the case of fax, the next business day after transmission. An Option Holder may, at any time, advise the Corporation of a change in the Option Holder’s address or fax number. 

  
 14 

 SCHEDULE “A” 

ZYMEWORKS INC. 
 STOCK
OPTION PLAN 
 OPTION CERTIFICATE 

This Certificate is issued pursuant to the provisions of the Zymeworks Inc. (the “Corporation”) stock option plan (the
“Plan”) and evidences that ● is the holder (the “Option Holder”) of an option (the “Option”) to purchase up to ● Common shares without par value (the “Common Shares”) in
the capital stock of the Corporation. The Exercise Price of the Option is Cdn. $● per Common Share. The Option [is intended to be an ISO][does not constitute and ISO] (as defined in the Plan). 

Subject to the provisions of the Plan: 
  

	 	(a)	the Award Date of the Option is ●, 200●; and 

  

	 	(b)	the Fixed Expiry Date of the Option is ●, 200●. 

 The vested portion or portions of the Option may
be exercised at any time and from time to time from and including the Award Date through to 5:00 p.m. local time in Vancouver, British Columbia on the Expiry Date by delivering to the Administrator of the Plan an Exercise Notice, in the form
provided in the Plan, together with this Certificate and (i) a certified cheque or bank draft payable to “Zymeworks Inc.” in an amount equal to the aggregate of the Exercise Price of the Common Shares in respect of which the Option is
being exercised or (ii) a Notice of Net Settlement in the form of Schedule “B-1” to the Plan. 
 Upon receiving the Exercise Notice, the
Administrator may deliver a shareholder’s agreement substantially in the form set out as Schedule “C” to the Plan to the Option Holder. The Option and the issue of Common Shares by the Corporation pursuant to the exercise of the
Option are subject to the Option Holder signing and returning to the Administrator a copy of the shareholder’s agreement, if so required by the Administrator. 

This Certificate and the Option evidenced hereby are not assignable, transferable or negotiable and are subject to the detailed terms and conditions contained
in the Plan, the terms and conditions of which the Option Holder hereby expressly agrees with the Corporation to be bound by. This Certificate is issued for convenience only and in the case of any dispute with regard to any matter in respect hereof,
the provisions of the Plan and the records of the Corporation will prevail. 
 The Option is also subject to the terms and conditions contained in the
schedules, if any, attached hereto. All terms not otherwise defined in this Certificate will have the meanings given to them under the Plan. 
 Dated this
● day of ●, 200●. 
  

			
	Zymeworks Inc.
		
	Per:	 	 
		 	Administrator, Stock Option Plan Zymeworks Inc.

  
 1 

 OPTION CERTIFICATE—SCHEDULE 

The additional terms and conditions attached to the Option represented by this Certificate are as follows: 

 

	1.	[Vesting Provisions] 

  

			
	Zymeworks Inc.
		
	Per:	 	 
		 	Administrator, Stock Option Plan Zymeworks Inc.

  
 2 

 SCHEDULE “B” 

ZYMEWORKS INC. 
 STOCK
OPTION PLAN 
 NOTICE OF EXERCISE OF OPTION 
  

	TO:	The Administrator, Stock Option Plan 

	 	Zymeworks Inc. 

	 	540 - 1385 West 8th Avenue 

	 	Vancouver, British Columbia, V6H 3V9 

 The undersigned hereby irrevocably gives notice, pursuant to the
Zymeworks Inc. stock option plan (the “Plan”), of the exercise of the Option to acquire and hereby subscribes for (cross out inapplicable item): 

 

	 	(a)	all of the Common Shares; or 

  

	 	(b)	                 of the Common Shares, 

which are the subject of the Option Certificate attached hereto. 

The undersigned tenders herewith a certified cheque or bank draft (circle one) payable to “Zymeworks Inc.” in an amount equal to the
aggregate Exercise Price of the aforesaid Common Shares and directs the Corporation to issue the certificate evidencing said Common Shares in the name of the undersigned to be mailed to the undersigned at the following address: 

 

					
		  	 	  	
			
		  	 	  	
			
		  	 	  	

 The undersigned acknowledges that upon receiving the Exercise Notice, the Administrator may deliver a shareholder’s
agreement substantially in the form set out as Schedule “C” to the Plan to the undersigned. The Option and the issue of Common Shares by the Corporation pursuant to the exercise of the Option are subject to the undersigned signing and
returning to the Administrator a copy of the shareholder’s agreement, if so required by the Administrator. 
 By executing this Notice of Exercise of
Option the undersigned hereby confirms that the undersigned has read the Plan and agrees to be bound by the provisions of the Plan, including without limitation section 4.2. All terms not otherwise defined in this Notice of Exercise of Option
will have the meanings given to them under the Option Certificate. 
 DATED the      day of
                            ,
                 
  

	
	   

	Signature of Option Holder
	
	 
	Name of Option Holder (please print)

  
 1 

 SCHEDULE “B-1” 

ZYMEWORKS INC. 
 STOCK
OPTION PLAN 
 NOTICE OF NET SETTLEMENT 

Date:                      

 

	TO:	The Administrator, Stock Option Plan 

	 	Zymeworks Inc. 

	 	540 - 1385 West 8th Avenue 

	 	Vancouver, British Columbia, V6H 3V9 

 The undersigned hereby requests, pursuant to the Zymeworks Inc. (the
“Corporation”) stock option plan (the “Plan”), the Corporation accept the transfer, disposition and surrender of the right to exercise
                     vested Options in exchange for, subject to the terms of the Plan and the Options, the number of Common Shares
representing the fair market value of the Options disposed of and transferred to the Corporation pursuant to the net settlement provisions set out in Section 4.6 of the Plan (the “Net Settlement Provisions”). 

The undersigned, subject to the terms of the Plan and the Options, is requesting to receive the fair market value of the Options in Common Shares
pursuant to the Net Settlement Provisions. The undersigned directs the Corporation to issue the certificate evidencing said Common Shares in the name of the undersigned to be mailed to the undersigned at the following address: 

					
			
		  	 	  	
			
		  	 	  	
			
		  	 	  	

 The undersigned acknowledges that upon receiving the Notice of Net Settlement, the Administrator may deliver a
shareholder’s agreement substantially in the form set out as Schedule “C” to the Plan to the undersigned. The Option and the issue of Common Shares by the Corporation pursuant to the exercise of the Option are subject to the
undersigned signing and returning to the Administrator a copy of the shareholder’s agreement, if so required by the Administrator. By executing this Notice of Net Settlement the undersigned hereby confirms that the undersigned has read the Plan
and agrees to be bound by the provisions of the Plan, including, without limitation section 4.2 and the withholding provisions in section 5.3 thereof. All terms not otherwise defined in this Notice of Net Settlement will have the meanings given to
them under the Plan. 
 DATED the      day of
                            ,
                . 
  

	
	   

	Signature of Option Holder
	
	 
	Name of Option Holder (please print)

  
 1 

 SCHEDULE “C” 

ZYMEWORKS INC. 
 STOCK
OPTION PLAN 
 SHAREHOLDERS AGREEMENT 

Please see attached. 

  
 1 

 SCHEDULE “D” 

 

													
	 Schedule D
Option Number
	  	 Name
	  	 Issue Date
	  	Strike
Price ($)	 	  	Total
Outstanding	 
	1	  	Srinivasan, Siddharth	  	2007/02/05	  	 	1.50	 	  	 	8,000	 
	2	  	Dixit, Surjit	  	2007/07/01	  	 	1.50	 	  	 	16,000	 
	3	  	Klompas, Neil	  	2007/07/01	  	 	1.50	 	  	 	16,000	 
	4	  	Dixit, Surjit	  	2008/01/01	  	 	1.99	 	  	 	3,957	 
	5	  	Klompas, Neil	  	2008/01/01	  	 	1.99	 	  	 	49,765	 
	6	  	Poon, David	  	2008/01/01	  	 	1.99	 	  	 	5,000	 
	7	  	Srinivasan, Siddharth	  	2008/01/01	  	 	1.99	 	  	 	6,784	 
	8	  	Tcaciuc, Dimitri	  	2008/01/01	  	 	1.99	 	  	 	5,000	 
	9	  	Bedford, Nick	  	2008/01/01	  	 	1.99	 	  	 	32,875	 
	10	  	Farris, Haig	  	2008/01/01	  	 	1.99	 	  	 	21,900	 
	11	  	Wright, Andrew	  	2008/01/01	  	 	1.99	 	  	 	21,900	 
	12	  	Dixit, Surjit	  	2009/07/01	  	 	1.99	 	  	 	65,000	 
	13	  	Klompas, Neil	  	2009/07/01	  	 	1.99	 	  	 	20,000	 
	14	  	Poon, David	  	2009/07/01	  	 	1.99	 	  	 	7,500	 
	15	  	Srinivasan, Siddharth	  	2009/07/01	  	 	1.99	 	  	 	10,000	 
	16	  	Tcaciuc, Dimitri	  	2009/07/01	  	 	1.99	 	  	 	7,500	 

  
 1EX-10.15

 Exhibit 10.15 

ZYMEWORKS INC. 
 STOCK
OPTION PLAN 

 TABLE OF CONTENTS 

 

							
	 •    ARTICLE 1 INTERPRETATION
	  	 	3	 
			
		  	 Section 1.1 Definitions
	  	 	3	 
			
		  	 Section 1.2 Interpretation
	  	 	6	 
		
	 •    ARTICLE 2 GENERAL PROVISIONS
	  	 	6	 
			
		  	 Section 2.1 Administration
	  	 	6	 
			
		  	 Section 2.2 Shares Reserved
	  	 	7	 
			
		  	 Section 2.3 Amendment and Termination
	  	 	8	 
			
		  	 Section 2.4 Compliance with Legislation
	  	 	9	 
			
		  	 Section 2.5 Effective Time
	  	 	10	 
			
		  	 Section 2.6 Tax Withholdings and Deductions
	  	 	10	 
			
		  	 Section 2.7 Non-Transferability
	  	 	10	 
			
		  	 Section 2.8 Participation in this Plan
	  	 	11	 
			
		  	 Section 2.9 Notice
	  	 	11	 
			
		  	 Section 2.10 Right to Issue Other Shares
	  	 	11	 
			
		  	 Section 2.11 Quotation of Shares
	  	 	11	 
			
		  	 Section 2.12 No Fractional Shares
	  	 	12	 
			
		  	 Section 2.13 Governing Law
	  	 	12	 
		
	 •    ARTICLE 3 OPTIONS
	  	 	12	 
			
		  	 Section 3.1 Grant
	  	 	12	 
			
		  	 Section 3.2 Exercise Price
	  	 	12	 
			
		  	 Section 3.3 Vesting
	  	 	12	 
		
	 •    ARTICLE 4 EXERCISE & EXPIRY
	  	 	13	 
			
		  	 Section 4.1 Conditions of Exercise
	  	 	13	 
			
		  	 Section 4.2 Exercise Period
	  	 	14	 
			
		  	 Section 4.3 Termination Date
	  	 	14	 
			
		  	 Section 4.4 Change of Control
	  	 	17	 

  
 2 

 ARTICLE 1 

INTERPRETATION 
  

	Section 1.1	Definitions 

 For the purposes of this Plan, the following terms shall have the following meanings: 

 

	(a)	“Affiliate” or “Affiliated” means, with respect to any specified Person, any other Person which directly or indirectly through one or more intermediaries controls, or is controlled by,
or is under common control with, such specified Person (for the purposes of this definition, “control” (including, with correlative meanings, the terms “controlling,” “controlled by” and “under common control
with”), as used with respect to any Person, means the possession, directly or indirectly, of the power to direct or cause the direction of the management or policies of such Person, whether through the ownership of voting securities, by
agreement or otherwise); 

  

	(b)	“Authorized Leave” means any leave of absence (paid or unpaid) approved in writing by the Corporation for a period of more than four (4) weeks that occurs while the Participant continues to be
employed as a full-time employee by the Corporation or retained as a full-time Consultant by the Corporation and includes any parental leave, short term disability or other bona fide paid or unpaid leave of absence or sabbatical period;

  

	(c)	“Board” means the board of directors of the Corporation as constituted from time to time, or a committee thereof to which authority has been delegated by the board of directors with respect to any
particular functions of the board of directors, as set forth in Section 2.1(c) herein; 

  

	(d)	“Business Day” means a day, other than a Saturday or Sunday, on which banking institutions in Vancouver, British Columbia are not authorized or obligated by law to close; 

 

	(e)	“Change of Control” means the happening, in a single transaction or in a series of related transactions, of any of the following events: 

 

	 	(i)	any transaction (other than a transaction described in clause (ii) below) pursuant to which any person or group of persons acting jointly or in concert acquires the direct or indirect beneficial ownership of
securities of the Corporation representing 50% or more of the aggregate voting power of all of the Corporation’s then issued and outstanding securities entitled to vote in the election of directors of the Corporation; 

 

	 	(ii)	there is consummated an arrangement, amalgamation, merger, consolidation or similar transaction involving (directly or indirectly) the Corporation and, immediately after the consummation of such arrangement,
amalgamation, merger, consolidation or similar transaction, the shareholders of the Corporation immediately prior thereto do not beneficially own, directly or indirectly, either (A) outstanding voting securities representing more than 50% of
the combined outstanding voting power of the surviving or resulting entity in such amalgamation, merger, consolidation or similar transaction or (B) more than 50% of the combined outstanding voting power of the parent of the surviving or
resulting entity in such arrangement, amalgamation merger, consolidation or similar transaction, in each case in substantially the same proportions as their beneficial ownership of the outstanding voting securities of the Corporation immediately
prior to such transaction; 

  

	 	(iii)	the sale, lease, exchange, license or other disposition of all or substantially all of the Corporation’s assets to a person other than (A) a disposition to a Person that was an Affiliate of the Corporation at
the time of such sale, lease, exchange, license or other disposition or (B) a sale, lease, exchange, license or other disposition to an entity, more than fifty percent (50%) of the combined voting power of the voting securities of which
are beneficially owned by Shareholders of the Corporation in substantially the same proportions as their beneficial ownership of the outstanding voting securities of the Corporation immediately prior to such sale, lease, exchange, license or other
disposition; 

  
 3 

	 	(iv)	the passing of a resolution by the Board or Shareholders to substantially liquidate the assets of the Corporation or wind up the Corporation’s business or significantly rearrange its affairs in one or more
transactions or series of transactions or the commencement of proceedings for such a liquidation, winding-up or re-arrangement (except where such re-arrangement is part of a bona fide reorganization of the Corporation in circumstances where the
business of the Corporation is continued and the shareholdings remain substantially the same following the re-arrangement); or 

  

	 	(v)	individuals who, on the Effective Time, are members of the Board (the “Incumbent Board”) cease for any reason to constitute at least a majority of the members of the Board; provided, however, that if
the appointment or election (or nomination for election) of any new Board member was approved or recommended by a majority vote of the members of the Incumbent Board then still in office, such new member will, for purposes of this Plan, be
considered as a member of the Incumbent Board. 

  

	(f)	“Code” has the meaning given to that term in Appendix 1; 

  

	(g)	“Consultant” means an individual (including an individual whose services are contracted through a personal holding corporation) with whom the Corporation or any of its subsidiaries has a contract for
services who is approved for participation in the Plan by the Board and for whom there exists an exemption from applicable prospectus requirements permitting the granting of an Option; provided that if Form S-8 under the Securities Act of 1933 is
being used to register the sale of securities to the Consultant, the individual must meet the requirements of the definition set forth in General Instruction A.1.(a)(1) of such form; 

 

	(h)	“Corporation” means Zymeworks Inc. and its respective successors and assigns; 

  

	(i)	“Date of Grant” means the date on which a particular Option is granted by the Board as evidenced by the Grant Agreement pursuant to which the particular Option was granted; 

 

	(j)	“Effective Time” has the meaning given to that term in Section 2.5; 

  

	(k)	“Eligible Person” means any director, officer, employee or Consultant of the Corporation or any of its direct or indirect subsidiaries; 

 

	(l)	“Exercise Notice” means an election to exercise Options granted to a Participant under this Plan, substantially in the form attached as Exhibit “B” to the Grant Agreement, as may be amended
from time to time by the Corporation; 

  

	(m)	“Exercise Period” means the period from the Vesting Date to the close of business on the Expiry Date during which a particular Option may be exercised in the manner described in Section 4.1;

  

	(n)	“Exercise Price” has the meaning given to that term in Section 3.2; 

  

	(o)	“Expire” means, with respect to an Option or Legacy Option, the termination of such Option or Legacy Option, on the occurrence of which such Option or Legacy Option is void, incapable of exercise and of
no value whatsoever; and Expires, Expired and Expiry have a similar meaning; 

  

	(p)	“Expiry Date” means the date on which an Option Expires; 

  
 4 

	(q)	“Fair Market Value” means, on any particular day, the Market Price of a Share, but if the Shares are not listed and posted for trading on an applicable stock exchange at the relevant time, it shall be
the fair market value of the Share, as determined by the Board acting in good faith; 

  

	(r)	“Grant Agreement” means an agreement between the Corporation and a Participant under which an Option is granted, substantially in the form attached hereto as Schedule “A”, as may be amended
from time to time by the Corporation; 

  

	(s)	“Incapacity” has the meaning given to that term in Section 4.3(c); 

  

	(t)	“Incumbent Board” has the meaning given to that term in Section 1.1(e); 

  

	(u)	“Insider” has the meaning given to that term in the policy manual of the TSX; 

  

	(v)	“Legacy Option” means an option to purchase a Share that was granted pursuant to the terms of the Legacy Option Plan; 

 

	(w)	“Legacy Option Plan” means the Corporation’s Employee Stock Option Plan, as may be amended from time to time; 

  

	(x)	“Market Price” means, on any particular day, the volume weighted average trading price of a Share on the TSX or the Primary Stock Exchange for the five (5) preceding days on which the Shares were
traded. Notwithstanding the foregoing, the Corporation may convert a Market Price denominated in United States currency to Canadian currency, or vice-versa, at the Bank of Canada noon exchange rate on the day prior to the particular day, and the
converted amount shall be the Market Price; 

  

	(y)	“Non-Executive Director” means any director of the Corporation who is not an employee or officer of the Corporation or any Affiliate; 

 

	(z)	“Option” means an option to purchase a Share that is granted to an Eligible Person pursuant to the terms of this Plan; 

 

	(aa)	“Participant” means an Eligible Person to whom an Option has been granted; 

  

	(bb)	“Person” means any individual, partnership, corporation, company, association, trust, joint venture, limited liability company, unincorporated organization, entity or division or any government,
governmental department or agency or political subdivision thereof; 

  

	(cc)	“Plan” means this Stock Option Plan, as may be amended from time to time; 

  

	(dd)	“Primary Stock Exchange” means a Stock Exchange where the majority of the trading volume and value of the Shares has occurred for the five (5) trading days immediately preceding the relevant date;

  

	(ee)	“Share” means a common share in the capital of the Corporation; 

  

	(ff)	“Share Compensation Arrangement” means any stock option, stock option plan, employee stock purchase plan, long-term incentive plan or any other compensation or incentive mechanism of the Corporation
involving the issuance or potential issuance of securities of the Corporation from treasury, including without limitation a Share purchase from treasury which is financially assisted by the Corporation by way of a loan, guarantee or otherwise, but
does not include any such arrangement which does not involve the issuance from treasury or potential issuance from treasury of securities of the Corporation; 

  

	(gg)	“Shareholders” means holders of Shares; 

  

	(hh)	“Stock Exchange” means the TSX and, if the Shares are listed and posted for trading on another stock exchange, the stock exchange(s) on which the Shares are listed or posted for trading;

  

	(ii)	“Surrender” has the meaning given to that term in Section 4.1(c); 

  
 5 

	(jj)	“Surrender Notice” has the meaning given to that term in Section 4.1(c); 

  

	(kk)	“Termination Date” has the meaning given to that term in Section 4.3(c); 

  

	(ll)	“TSX” means the Toronto Stock Exchange; and 

  

	(mm)	“Vesting Date” means the date or dates determined in accordance with the terms of the Grant Agreement entered into in respect of such Options (as described in Section 3.3), on and after which a
particular Option, or any part thereof, may be exercised, subject to amendment or acceleration from time to time in accordance with the terms hereof or the terms of the Grant Agreement. 

 

	Section 1.2	Interpretation 

  

	(a)	Whenever the Board is to exercise discretion or authority in the administration of the terms and conditions of this Plan, the term “discretion” or “authority” means the sole and absolute discretion
of the Board. 

  

	(b)	In the Plan, words importing the singular shall include the plural and vice versa and words importing any gender include any other gender. 

 

	(c)	Unless otherwise specified in the Participant’s Grant Agreement, all references to money amounts are to Canadian currency. 

  

	(d)	As used herein, the terms “Article” and “Section” mean and refer to the specified Article and Section of this Plan, respectively. 

 

	(e)	The words “including” and “includes” mean “including (or includes) without limitation”. 

ARTICLE 2 
 GENERAL
PROVISIONS 
  

	Section 2.1	Administration 

  

	(a)	The Board shall administer this Plan. Nothing contained herein shall prevent the Board from adopting other or additional Share Compensation Arrangements or other compensation arrangements. 

 

	(b)	Subject to the terms and conditions set forth herein, the Board has the authority: (i) to grant Options to purchase Shares to Eligible Persons; (ii) to determine the terms, including the limitations,
restrictions, vesting period and conditions, if any, of such grants; (iii) to interpret this Plan and all agreements entered into hereunder; (iv) to adopt, amend and rescind such administrative guidelines and other rules relating to this
Plan as it may from time to time deem advisable; and (v) to make all other determinations and to take all other actions in connection with the implementation and administration of this Plan as it may deem necessary or advisable. The
Board’s guidelines, rules, interpretations and determinations shall be conclusive and binding upon the Corporation, its subsidiaries and all Participants, Eligible Persons and their legal, personal representatives and beneficiaries.

  

	(c)	Notwithstanding the foregoing or any other provision contained herein, the Board shall have the right to delegate the administration and operation of this Plan, in whole or in part, to a committee thereof. For greater
certainty, any such delegation by the Board may be revoked or amended at any time at the Board’s sole discretion. 

  
 6 

	(d)	No member of the Board or any person acting pursuant to authority delegated by it hereunder shall be liable for any action or determination in connection with the Plan made or taken in good faith and each member of the
Board and each such person shall be entitled to indemnification by the Corporation with respect to any such action or determination. 

  

	(e)	The Board may adopt such rules or regulations and vary the terms of this Plan and any grant hereunder as it considers necessary to address tax or other requirements of any applicable non-Canadian jurisdiction, including
without limitation Sections 422 and 409A of the Code (with respect to Participants who are subject to taxation in the United States). 

  

	(f)	The Plan shall not in any way fetter, limit, obligate, restrict or constrain the Board with regard to the allotment or issue of any Shares or any other securities in the capital of the Corporation other than as
specifically provided for in the Plan. 

  

	Section 2.2	Shares Reserved 

  

	(a)	The maximum number of Shares reserved for issuance, in the aggregate, under this Plan shall include the number of Shares that are reserved for issuance upon the exercise of stock options outstanding as of the Effective
Time that were previously granted under the Legacy Option Plan and shall not exceed a rolling number equal to 17% of the issued and outstanding Shares of the Corporation (on a non-diluted basis) outstanding at the time of grant of Options under this
Plan. 

  

	(b)	For the purposes of calculating the maximum aggregate number of Shares which may be reserved for issuance under this Plan pursuant to Section 2.2(a), following the Expiry, cancellation or other termination of any
Options under this Plan and the Legacy Options under the Legacy Option Plan, a number of Shares equal to the number of Options, Legacy Options or rights so Expired, cancelled or terminated shall immediately and automatically become available for
issuance in respect of Options that may be subsequently granted under this Plan. 

  

	(c)	The Corporation shall at all times reserve for issuance and keep available such number of Shares as shall be sufficient to satisfy the requirements of this Plan. 

 

	(d)	Notwithstanding any other provision contained herein: 

  

	 	(i)	the number of Shares issuable to Insiders, at any time, under this Plan, together with the aggregate number of Shares issuable to Insiders under any other Share Compensation Arrangement, shall not exceed 10% of the
Corporation’s total issued and outstanding share capital; and 

  

	 	(ii)	the number of Shares issued to Insiders under the Plan, together with the aggregate number of Shares issued to Insiders under any other Share Compensation Arrangement, within a one year period shall not exceed 10% of
the Corporation’s total issued and outstanding share capital. 

  

	(e)	If there is a change in the outstanding Shares by reason of any stock dividend or split, or in connection with a reclassification, reorganization or other change of Shares, consolidation, distribution (other than an
ordinary course dividend in cash or Shares, but including for greater certainty shares or equity interests in a subsidiary or business unit of the Corporation or one of its subsidiaries or cash proceeds of the disposition of such a subsidiary or
business unit), merger or amalgamation or similar corporate transaction, the Board shall make, subject to any required approval of the Stock Exchange, the appropriate substitution or adjustment in order to maintain the Participants’ economic
rights in respect of their Options in connection with such change, including without limitation: 

  

	 	(i)	adjustments to the Exercise Price without any change in the total price applicable to the unexercised portion of the Option, but with a corresponding adjustment in the price for each Share covered by the Option;

  
 7 

	 	(ii)	adjustments to the number of Shares to which a Participant is entitled upon exercise of an Option; 

  

	 	(iii)	adjustments permitting the immediate exercise of any outstanding Options that are not otherwise exercisable; and 

  

	 	(iv)	adjustments to the number or kind of Shares or other securities reserved for issuance pursuant to the Plan and to the number or kind of Shares or other securities or other property issuable upon the exercise of Options.

  

	Section 2.3	Amendment and Termination 

  

	(a)	The Board may, in its sole discretion, suspend or terminate the Plan at any time or from time to time and/or amend or revise the terms of the Plan or of any Option granted under the Plan and any Grant Agreement relating
thereto, provided that such suspension, termination, amendment or revision shall: 

  

	 	(i)	not adversely alter or impair any Option previously granted except as permitted by the terms of this Plan; 

  

	 	(ii)	be in compliance with applicable law and subject to any regulatory approvals including, where required, the approval of the Stock Exchange; or 

 

	 	(iii)	be subject to Shareholder approval, where required by law, the requirements of the Stock Exchange or this Plan. 

  

	(b)	If the Plan is terminated, the provisions of the Plan and any administrative guidelines and other rules and regulations adopted by the Board and in force with respect to outstanding Options will continue in effect as
long as any such Option or any rights pursuant thereto remain outstanding and, notwithstanding the termination of the Plan, the Board will remain able to make such interpretations and amendments to the Plan or the Options as they would have been
entitled to make if the Plan were still in effect. 

  

	(c)	Subject to Section 2.3(a), the Board may from time to time, in its discretion and without the approval of Shareholders, make changes to the Plan or any Option that do not require the approval of Shareholders under
Section 2.3(d), which may include but are not limited to: 

  

	 	(i)	any amendment of a “housekeeping” nature, including without limitation those made to clarify the meaning of an existing provision of the Plan, correct or supplement any provision of the Plan that is
inconsistent with any other provision of the Plan, correct any grammatical or typographical errors or amend the definitions in the Plan regarding administration of the Plan; 

 

	 	(ii)	a change to the vesting provisions of the Plan or any Option; 

  

	 	(iii)	a change to the provisions governing assignability and the effect of termination of a Participant’s employment, contract or office; 

 

	 	(iv)	the addition of a form of financial assistance and any amendment to a financial assistance provision which is adopted; 

  
 8 

	 	(v)	a change to advance the date on which any Option may be exercised under the Plan; and 

  

	 	(vi)	an amendment of the Plan or an Option as necessary to comply with applicable law or the requirements of the Stock Exchange or any other regulatory body having authority over the Corporation, the Plan, the Participants
or the Shareholders. 

  

	(d)	Shareholder approval is required for the following amendments to the Plan: 

  

	 	(i)	any increase in the maximum number of Shares that may be issuable from treasury pursuant to Options granted under the Plan (as set out in Section 2.2), other than an adjustment pursuant to Section 2.2(e);

  

	 	(ii)	any reduction in the Exercise Price of an Option after the Option has been granted or any cancellation of such Option and the substitution of that Option with a new Option with a reduced Exercise Price, except in the
case of an adjustment pursuant to Section 2.2(e); 

  

	 	(iii)	any extension of the maximum Expiry Date of an Option, except in case of an extension due to a black-out period; 

  

	 	(iv)	a change to the definition of Eligible Persons; 

  

	 	(v)	the addition of a deferred or performance share unit or any other provision which results in Participants receiving securities while no cash consideration is received by the Corporation; 

 

	 	(vi)	any amendment to Section 2.2(d); and 

  

	 	(vii)	any amendment to Section 2.3(c) and Section 2.3(d). 

  

	Section 2.4	Compliance with Legislation 

  

	(a)	The Plan (including any amendments thereto), the terms of the grant of any Option under the Plan, the grant and exercise of any Option and the Corporation’s obligation to sell and deliver Shares upon the exercise
of any Option, shall be subject to all applicable federal, provincial, state and foreign laws, rules and regulations, the rules and regulations of the Stock Exchange and any other stock exchange on which the Shares are listed or posted for trading
and to such approvals by any regulatory or governmental agency as may, in the opinion of counsel to the Corporation, be required. The Corporation shall not be obliged by any provision of the Plan or the grant of any Option hereunder to issue or sell
Shares in violation of such laws, rules and regulations or any condition of such approvals. 

  

	(b)	No Option shall be granted, and no Shares shall be issued or sold hereunder, where such grant, issue or sale would require registration of the Plan or of Shares under the securities laws of any foreign jurisdiction
(other than the United States), and any purported grant of any Option or purported issue or sale of Shares hereunder in violation of this provision shall be void. 

 

	(c)	The Corporation shall have no obligation to issue any Shares pursuant to this Plan unless upon official notice of issuance such Shares shall have been duly listed with the Stock Exchange (and any other stock exchange on
which the Shares are listed or posted for trading). Shares issued and sold to Participants pursuant to the exercise of Options may be subject to limitations on sale or resale under applicable securities laws. 

 

	(d)	If Shares cannot be issued to a Participant upon the exercise of an Option due to legal or regulatory restrictions, the obligation of the Corporation to issue such Shares shall terminate and any funds paid to the
Corporation in connection with the exercise of such Option will be returned to the applicable Participant as soon as practicable. 

  
 9 

	Section 2.5	Effective Time and Termination 

 The Plan shall be effective at the time (the
“Effective Time”) immediately preceding the closing of the initial public offering of the Shares. No Options may be issued under the Plan from and after the later of: (i) the tenth anniversary of the date upon which the
Effective Time occurs or (ii) the tenth anniversary of the date shareholders of the Corporation approve the Plan, provided that Options issued prior to such date shall remain in effect following such date in accordance with their terms. 

 

	Section 2.6	Tax Withholdings and Deductions 

 Notwithstanding any other provision contained herein,
the exercise of each Option granted under this Plan is subject to the condition that if at any time the Corporation determines, in its discretion, that the satisfaction of withholding tax or other withholding liabilities is necessary or desirable in
respect of such exercise, such exercise is not effective unless such withholding has been effected to the satisfaction of the Corporation. In such circumstances, the Corporation may require that a Participant pay to the Corporation, in addition to
the Exercise Price for the Shares, such amount as the Corporation is obliged to remit to the relevant taxing authority in respect of the exercise of the Option. Any such additional payment is due no later than the date as of which any amount with
respect to the Option exercised first becomes includable in the gross income of the Participant for tax purposes. A Participant may direct a portion of the Shares acquired pursuant to sections 4.1(b) or (c) to be sold by a broker to satisfy
withholding obligations and the funds from such sale to be paid to the Corporation to be remitted to the relevant taxing authority. In addition, the Corporation or the relevant subsidiary, as applicable, shall be entitled to withhold from any amount
payable to a Participant, either under this Plan or otherwise, such amount as may be necessary so as to ensure that the Corporation or the relevant subsidiary is in compliance with the all applicable withholding taxes or other source deductions
relating to the exercise of such Options. 
  

	Section 2.7	Non-Transferability 

 Except as set forth herein, Options are not transferable. Options
may be exercised only by: 
  

	 	(i)	the Participant to whom the Options were granted; 

  

	 	(ii)	with the Board’s prior written approval and subject to such conditions as the Corporation may stipulate (which may include conditions with respect to compliance with applicable securities law), such
Participant’s family or retirement savings trust or any registered retirement savings plans or registered retirement income funds of which the Participant is and remains the annuitant; 

 

	 	(iii)	upon the Participant’s death, by the legal representative of the Participant’s estate; or 

  

	 	(iv)	upon the Participant’s Incapacity, the legal representative having authority to deal with the property of the Participant; 

provided that any such legal representative shall first deliver evidence satisfactory to the Corporation of entitlement to exercise any Option.
A person exercising an Option may subscribe for Shares only in the person’s own name or in the person’s capacity as a legal representative. 

  
 10 

	Section 2.8	Participation in this Plan 

  

	(a)	No Participant has any claim or right to be granted an Option (including, without limitation, an Option granted in substitution for any Option that has expired pursuant to the terms of this Plan), and the granting of
any Option does not and is not to be construed as giving a Participant a right to continued employment or to remain a Consultant, director, officer or employee, as the case may be, of the Corporation or an Affiliate of the Corporation. Nothing
contained in this Plan or in any Option granted under this Plan shall interfere in any way with the rights of the Corporation or an Affiliate of the Corporation in connection with the employment, retention or termination of any such person.

  

	(b)	No Participant has any rights or privileges as a shareholder of the Corporation in respect of Shares issuable on the exercise of rights to acquire Shares under any Option until the allotment and issuance to the
Participant of certificates representing such Shares or the entry of such Participant’s name on the share register of the Corporation as the holder of Shares and that person becomes the holder of record of those Shares. The Participant or the
Participant’s legal representative shall not, by reason of the grant of any Option, be considered to be a shareholder of the Corporation until an Option has been duly exercised and shares have been issued in respect thereof. 

 

	(c)	The Corporation makes no representation or warranty as to the future market value of the Shares or with respect to any income tax matters affecting the Participant resulting from the grant or exercise of an Option or
transactions in the Shares. With respect to any fluctuations in the market price of Shares, neither the Corporation, nor any of its directors, officers, employees, shareholders or agents shall be liable for anything done or omitted to be done by
such person or any other person with respect to the price, time, quantity or other conditions and circumstances of the issuance of Shares hereunder or in any other manner related to the Plan. For greater certainty, no amount will be paid to, or in
respect of, a Participant under the Plan or pursuant to any other arrangement, and no additional Options will be granted to such Participant to compensate for a downward fluctuation in the price of the Shares, nor will any other form of benefit be
conferred upon, or in respect of, a Participant for such purpose. The Corporation does not assume responsibility for the income or other tax consequences resulting to the Participant and they are advised to consult with their own tax advisors.

  

	Section 2.9	Notice 

 Each notice relating to the Option, including the exercise thereof, must be in
writing. All notices to the Corporation must be delivered personally, by prepaid registered mail or by email and must be addressed to the secretary of the Corporation. All notices to the Participant will be addressed to the principal address of the
Participant on file with the Corporation. Either the Corporation or the Participant may designate a different address by written notice to the other. Such notices are deemed to be received: (i) if delivered personally, on the date of delivery;
(ii) if sent by prepaid, registered mail, on the fifth Business Day following the date of mailing; or (iii) if sent by email, when the sender receives an email from the recipient acknowledging receipt, provided that an automatic “read
receipt” does not constitute acknowledgment of an email for purposes hereof. Any notice given by either the Participant or the Corporation is not binding on the recipient thereof until received. 

 

	Section 2.10	Right to Issue Other Shares 

 The Corporation shall not by virtue of this Plan be in any
way restricted from declaring and paying stock dividends, issuing further Shares, repurchasing Shares or varying or amending its share capital or corporate structure. 
  

	Section 2.11	Quotation of Shares 

 So long as the Shares are listed on a Stock Exchange, the
Corporation must apply to the Stock Exchange for the listing or quotation, as applicable, of the Shares issued upon the exercise of all Options granted under the Plan, however, the Corporation cannot guarantee that such Shares will be listed or
quoted on the Stock Exchange or any other stock exchange. 

  
 11 

	Section 2.12	No Fractional Shares 

 No fractional Shares shall be issued upon the exercise of any
Option granted under the Plan and, accordingly, if a Participant would become entitled to a fractional Share upon the exercise of an Option, or from an adjustment permitted by the terms of this Plan, such Participant shall only have the right to
purchase the next lowest whole number of Shares, and no payment or other adjustment will be made with respect to the fractional interest so disregarded. 
  

	Section 2.13	Governing Law 

 The Plan shall be governed by the laws of the Province of British
Columbia and the federal laws of Canada applicable therein. 
 ARTICLE 3 

OPTIONS 
  

	Section 3.1	Grant 

  

	(a)	Subject to the provisions of this Plan, the Board may grant Options to any Eligible Person upon the terms, conditions and limitations set forth herein or such other terms, conditions and limitations as the Board may
determine and set forth in the Grant Agreement; provided that no Option in respect of which Shareholder approval is required under the rules of the Stock Exchange is granted until the time that such grant has been approved by the Shareholders.

  

	(b)	An Option shall be evidenced by a Grant Agreement, signed on behalf of the Corporation. 

  

	(c)	The grant of an Option to, or the exercise of an Option by, a Participant under the Plan shall neither entitle such Participant to receive nor preclude such Participant from receiving subsequently granted Options.

  

	Section 3.2	Exercise Price 

 An Option may be exercised at a price that shall be fixed by the Board
at the time that the Option is granted, but in no event shall it be less than the Fair Market Value of the Shares on the Date of Grant (the “Exercise Price”). The Exercise Price shall be subject to adjustment in accordance with the
provisions of Section 2.2(e) hereof. 
  

	Section 3.3	Vesting 

  

	(a)	All Options granted hereunder shall vest in accordance with the terms of the Grant Agreement entered into in respect of such Options. The Board has the right to accelerate the date upon which any Option becomes
exercisable notwithstanding the vesting schedule set forth for such Option, regardless of any adverse or potentially adverse tax consequences resulting from such acceleration. 

 

	(b)	 Notwithstanding any other provision of the Plan, unless otherwise approved by the Board, the vesting of any
Options granted hereunder shall be suspended and postponed during any period of Authorized Leave and, upon a Participant’s return from such Authorized Leave, the vesting of such Options shall be extended by a period equivalent to such period of
Authorized Leave provided that any such extension will not extend the Expiry Date of the option. Notwithstanding the foregoing, upon a Participant’s return from an Authorized Leave that was a parental leave, the rate of vesting of such
Participant’s Options shall be accelerated to twice the rate provided for in the Participant’s Grant Agreement until such time as the Participant holds vested Options in accordance with the original schedule of Vesting Dates provided for
in the Participant’s Grant Agreement. For certainty, nothing contained herein shall limit the effect of Section 4.3 of the Plan 

  
 12 

	 	
upon the termination of any Participant’s employment or service as a Consultant, and the calculation of the number of Options vested as of a Participant’s Termination Date for purposes
thereof shall take into account any suspension, postponement or adjustment of the vesting schedule applicable to such Options contemplated by this Section 3.3(b). 

ARTICLE 4 

EXERCISE & EXPIRY 
  

	Section 4.1	Conditions of Exercise 

  

	(a)	Vested Options may only be exercised during the Exercise Period by the Participant or upon the Participant’s death or Incapacity, his or her legal representative (provided that such legal representative shall first
deliver evidence satisfactory to the Corporation of entitlement to exercise such vested Options). Subject to the restrictions set out in this Plan and to any alternative exercise procedure which may be established from time to time by the Board,
Options to acquire Shares may be exercised by delivering to the Corporation an Exercise Notice, together with a bank draft, certified cheque or other form of payment acceptable to the Corporation in an amount equal to the aggregate Exercise Price of
the Shares to be purchased pursuant to the exercise of the Options and, if required by Section 2.6, the amount necessary to satisfy any source deductions or withholding taxes. 

 

	(b)	Pursuant to the Exercise Notice, a Participant may choose to undertake a “cashless exercise” with the assistance of a broker in order to facilitate the exercise of such Participant’s Options. The
“cashless exercise” procedure may include a sale of such number of Shares as is necessary to raise an amount equal to the aggregate Exercise Price for all Options being exercised by that Participant under an Exercise Notice. The
Participant shall also comply with Section 2.6 of this Plan with regards to any applicable withholding tax and shall comply with all such other procedures and policies as the Corporation may prescribe or determine to be necessary or advisable
from time to time in connection with such “cashless exercise.” 

  

	(c)	In addition, in lieu of exercising any vested Option in the manner described in this Article 4, and pursuant to the terms of this Article 4, a Participant may provide a properly endorsed notice of surrender to the
Secretary of the Corporation, substantially in the form of Exhibit “C” to the Grant Agreement (a “Surrender Notice”) pursuant to which the Participant agrees to transfer, dispose and surrender an Option
(“Surrender”) to the Corporation and elects to receive that number of Shares calculated using the following formula, after deduction of any income tax and other amounts required by law to be withheld pursuant to Section 2.6:

 X = Y * (A-B) / A 

Where: 
 X = the number of
Shares to be issued to the Participant 
 Y = the number of Shares underlying the Options to be Surrendered 

A = the Fair Market Value of the Shares as at the date of the Surrender 

B = the Exercise Price of such Options 

The decision of whether or not to permit Surrender for any Option is at the sole discretion of the Corporation and will be made on a case by
case basis. 

  
 13 

	(d)	Where Shares are to be issued to the Participant pursuant to the terms of this Section 4.1, as soon as practicable following the receipt of the Exercise Notice and, if Options are exercised only in accordance with
the terms of Section 4.1(a), the required bank draft, certified cheque or other acceptable form of payment, the Corporation shall duly issue such Shares to the Participant as fully paid and non-assessable. 

 

	Section 4.2	Exercise Period 

  

	(a)	The Exercise Period shall be determined by the Board in its sole and absolute discretion at the time the Option is granted and: 

  

	 	(i)	each Option shall Expire not later than ten (10) years after the Date of Grant; 

  

	 	(ii)	unless otherwise provided in the Participant’s Grant Agreement, the Exercise Period shall be automatically reduced or the Expiry Date postponed in accordance with this Article 4 upon the occurrence of any of the
events referred to herein; and 

  

	 	(iii)	unless otherwise provided in the Participant’s Grant Agreement, no Option in respect of which Shareholder approval is required under the rules of the Stock Exchange shall be exercisable until the time that such
Option has been approved by the Shareholders. 

  

	(b)	Notwithstanding any other provision of the Plan, if the Expiry Date of an Option falls on a date upon which such Participant is prohibited from exercising such Option due to a blackout period or other trading
restriction imposed by the Corporation, then the Expiry Date of such Option shall be automatically extended to the tenth (10th) Business Day following the date the relevant black-out period or other trading restriction imposed by the
Corporation is lifted, terminated or removed; provided, however, that notwithstanding the foregoing, the Expiry Date of an Option shall in no case extend beyond the tenth (10th) anniversary of the date on which it is granted. 

 

	Section 4.3	Termination Date 

  

	(a)	Subject to Section 4.2, unless otherwise provided in the Participant’s Grant Agreement, employment agreement or consulting agreement: 

 

	 	(i)	if, at any time, a Participant ceases to be a full-time employee of the Corporation or a subsidiary as a result of the Participant’s retirement with the concurrence of the Board, any Options granted to such
Participant and vested as of the Termination Date (as defined below) shall remain exercisable by such Participant until the earlier of: (i) 90 days following the Termination Date; and (ii) the Expiry Date. As of the Termination Date, all
unvested Options of such Participant shall Expire and such Participant shall no longer be eligible for a grant of Options; 

  

	 	(ii)	if, at any time, a Participant ceases to be a full-time employee of the Corporation or a subsidiary as a result of the Participant’s death or Incapacity, any Options granted to such Participant and vested as of the
Termination Date shall remain exercisable by such Participant (or, in accordance with Section 2.7, the Participant’s legal representative) until the earlier of: (i) one year following the date of death or the date on which the Board
determines that the Incapacity will prevent the employee from fulfilling his or her full-time duties with the Corporation; and (ii) the Expiry Date. As of the Termination Date, all unvested Options of such Participant shall Expire;

  

	 	(iii)	if, at any time, a Participant ceases to be a full-time employee of the Corporation or a subsidiary as a result of the Participant’s termination for cause, as determined by the Board, in its discretion, then, as of
the Termination Date, the vested and unvested Options granted to such Participant shall Expire and be of no further force or effect whatsoever and such Participant shall no longer be eligible for a grant of Options; 

  
 14 

	 	(iv)	if, at any time, a Participant ceases to be a full-time employee of the Corporation or a subsidiary as a result of the Participant’s resignation, then any Options granted to such Participant and vested as of the
Termination Date shall remain exercisable by such Participant until the earlier of: (i) 90 days following the Termination Date; and (ii) the Expiry Date. As of the Termination Date, all unvested Options granted to such Participant shall
Expire and be of no further force or effect whatsoever and such Participant shall no longer be eligible for a grant of Options; 

  

	 	(v)	if, at any time, a Participant ceases to be a full-time employee of the Corporation or a subsidiary as a result of the Participant’s dismissal without cause, any Options granted to such Participant and vested as of
the Termination Date shall remain exercisable by such Participant until the earlier of: (i) ninety (90) days following the Termination Date; and (ii) the Expiry Date. As of the Termination Date, all unvested Options of such
Participant shall Expire (for certainty, without regard to any period of reasonable notice that the Corporation or a subsidiary, as the case may be, may be required at law to provide to the Participant) and such Participant shall no longer be
eligible for a grant of Options; 

  

	 	(vi)	where, in the case of a Consultant, the Participant’s consulting agreement or arrangement terminates by reason of: (i) termination by the Corporation or an Affiliate for any reason whatsoever other than for
material breach of the consulting agreement or arrangement (whether or not such termination is effected in compliance with any termination provisions contained in the Participant’s consulting agreement or arrangement); or (ii) voluntary
termination by the Participant, then any Options held by the Participant that are exercisable at the Termination Date continue to be exercisable by the Participant until the earlier of: (A) the date that is ninety (90) days from the
Termination Date; and (B) the Expiry Date. Any Options held by the Participant that are not exercisable at the Termination Date immediately expire and are cancelled on such date; 

 

	 	(vii)	where, in the case of a Consultant, the Participant’s consulting agreement or arrangement terminates by reason of the death or Incapacity of the Participant, then any Options held by the Participant that are
exercisable at the date of the death or Incapacity of the Participant continue to be exercisable by the Participant (or, in accordance with Section 2.7, the Participant’s legal representative) until the earlier of: (i) the date that
is one year from the date of the death or Incapacity of the Participant; and (ii) the Expiry Date. Any Options held by the Participant that are not exercisable at the date of the death or Incapacity of the Participant immediately expire and are
cancelled on such date; 

  

	 	(viii)	where, in the case of a Consultant, the Participant’s consulting agreement or arrangement is terminated by the Corporation or an Affiliate for material breach of the consulting agreement or arrangement (whether or
not such termination is effected in compliance with any termination provisions contained in the Participant’s consulting agreement or arrangement), as determined by the Board, in its discretion, then any Options held by the Participant, whether
or not such Options are exercisable at the Termination Date, immediately expire and are cancelled on the Termination Date at a time determined by the Board, in its discretion; 

 

	 	(ix)	if, at any time, a Participant ceases to be a director, officer or member of an advisory board of the Corporation or a subsidiary (and is not or does not continue as a full-time employee or consultant of the Corporation
or a subsidiary) for a reason other than the death or Incapacity of the Participant, the Options granted to such Participant and vested as of the Termination Date may be exercised by such Participant until the earlier of: (i) ninety
(90) days following the Termination Date; and (ii) the Expiry Date. As of the Termination Date, all unvested Options granted to such Participant shall cease and terminate and be of no further force or effect whatsoever; 

  
 15 

	 	(x)	if, at any time, a Participant ceases to be a director, officer or member of an advisory board of the Corporation or a subsidiary (and is not or does not continue as a full-time employee or consultant of the Corporation
or a subsidiary) as a result of the Participant’s death or Incapacity, any Options granted to such Participant and vested as of the Termination Date shall remain exercisable by such Participant (or, in accordance with Section 2.7, the
Participant’s legal representative) until the earlier of: (i) the date that is one year from the date of the death or Incapacity of the Participant; and (ii) the Expiry Date. As of the Termination Date, all unvested Options granted to
such Participant shall cease and terminate and be of no further force or effect whatsoever; and 

  

	 	(xi)	if, at any time, a Participant who is a Non-Executive Director, ceases to be a director of the Corporation or a subsidiary for a reason other than the death or Incapacity of the Participant, the Options granted to such
Participant and vested as of the Termination Date may be exercised by such Participant until the earlier of: i) the date that is one year from the Termination Date; and (ii) the Expiry Date. As of the Termination Date, all unvested Options of
such Participant shall Expire and such Participant shall no longer be eligible for a grant of Options. 

  

	(b)	Notwithstanding any other provisions of this Section 4.3, the Board may extend the expiration date of vested and unvested Options of a Participant beyond the Expiry Dates set out above, provided that such extended
dates are not later than the initial assigned maximum Expiry Date of any such Option. 

  

	(c)	For purposes of the foregoing: 

 “Incapacity” means the permanent and total
incapacity of a Participant as determined in accordance with procedures established by the Board for purposes of this Plan; and 

“Termination Date” means: 
  

	 	(i)	in the case of a Participant whose employment or term of office with the Corporation or a subsidiary terminates in the circumstances set out in Section 4.3, the date that is designated by the Corporation or a
subsidiary, as the case may be, as the last day of the Participant’s employment or term of office with the Corporation or a subsidiary, as the case may be, provided that in the case of termination of employment by voluntary resignation by the
Participant, such date shall not be earlier than the date notice of resignation was given, and, in the case of a termination by the Corporation without cause, “Termination Date” specifically does not mean the date on which any
period of reasonable notice that the Corporation or a subsidiary, as the case may be, may be required at law to provide to the Participant, would expire; and 

  

	 	(ii)	in the case of a Participant who is a Consultant and whose consulting agreement or arrangement with the Corporation or a subsidiary, as the case may be, terminates in the circumstances set out in Section 4.3, the
date that is designated by the Corporation or a subsidiary, as the case may be, as the date on which the Participant’s consulting agreement or arrangement is terminated, provided that in the case of voluntary termination by the Participant,
such date shall not be earlier than the date notice of voluntary termination was received by the Corporation, and, in the case of a termination by the Corporation without cause, “Termination Date” specifically does not mean the date
on which any period of notice of termination that the Corporation or a subsidiary, as the case may be, may be required to provide to the Participant under the terms of the consulting agreement or arrangement, would expire. 

  
 16 

	Section 4.4	Change of Control 

  

	(a)	Notwithstanding anything else in this Plan or any Grant Agreement, the Board has the right to provide for the conversion or exchange of any outstanding Options into or for options, rights or other securities in any
entity participating in or resulting from a Change of Control, cash or other property. 

  

	(b)	Upon the Corporation entering into an agreement relating to a transaction which, if completed, would result in a Change of Control, or otherwise becoming aware of a pending Change of Control, the Corporation shall give
written notice of the proposed Change of Control to the Option holders, together with a description of the effect of such Change of Control on outstanding Options, not less than seven (7) days prior to the closing of the transaction resulting
in the Change of Control. 

  

	(c)	The Board may, in its sole discretion, accelerate the vesting and/or the Expiry Date of any or all outstanding Options to provide that, notwithstanding the vesting provisions of such Options or any Grant Agreement, such
designated outstanding Options shall be fully vested and conditionally exercisable upon (or prior to) the completion of the Change of Control provided that the Board shall not, in any case, authorize the exercise of Options pursuant to this
Section 4.4(c) beyond the Expiry Date of the Options. If the Board elects to accelerate the vesting and/or the Expiry Date of the Options, then if any of such Options are not exercised within seven (7) days after the Option holders are
given the notice contemplated in Section 4.4(b) (or such later Expiry Date as the Board may prescribe), such unexercised Options shall, unless the Board otherwise determines, terminate and Expire following the completion of the proposed Change
of Control. If, for any reason, the Change of Control does not occur within the contemplated time period, the acceleration of the vesting and the Expiry Date of the Options shall be retracted and vesting shall instead revert to the manner provided
in the Grant Agreement. 

  

	(d)	To the extent that the Change of Control would also result in a capital reorganization, arrangement, amalgamation or reclassification of the share capital of the Corporation and the Board does not accelerate the vesting
and/or the Expiry Date of Options pursuant to Section 4.4(c), the Corporation shall make adequate provisions to ensure that, upon completion of the proposed Change of Control, the number and kind of shares subject to outstanding Options and/or
the Exercise Price per share of Options shall be appropriately adjusted (including by substituting the Options for options to acquire securities in any successor entity to the Corporation) in such manner as the Board considers equitable to prevent
substantial dilution or enlargement of the rights granted to Option holders. The Board may make changes to the terms of the Options or the Plan to the extent necessary or desirable to comply with any rules, regulations or policies of any stock
exchange on which any securities of the Corporation may be listed, provided that the value of previously granted Options and the rights of Option holders are not materially adversely affected by any such changes. 

 

	(e)	Notwithstanding anything else to the contrary herein, in the event of a potential Change of Control, the Board shall have the power, in its sole discretion, to modify the terms of this Plan and/or the Options
(including, for greater certainty, to cause the vesting of all unvested Options) to assist the Participants to tender into a take-over bid or other transaction leading to a Change of Control. For greater certainty, in the event of a take-over bid or
other transaction leading to a Change of Control, the Board shall have the power, in its sole discretion, to permit Participants to conditionally exercise their Options, such conditional exercise to be conditional upon the take-up by such offeror of
the Shares or other securities tendered to such take-over bid in accordance with the terms of such take-over bid (or the effectiveness of such other transaction leading to a Change of Control). If, however, the potential Change of Control referred
to in this Section 4.4(e) is not completed within the time specified therein (as the same may be extended), then notwithstanding this Section 4.4(e) or the definition of “Change of Control”: (i) any conditional exercise of
vested Options shall be deemed to be null, void and of no effect, and such conditionally exercised Options shall for all purposes be deemed not to have been exercised; (ii) Shares which were issued pursuant to exercise of options which vested
pursuant to this Section 4.4 shall be returned by the Participant to the Corporation and reinstated as authorized but unissued Shares; and (iii) the original terms applicable to Options which vested pursuant to this Section 4.4 shall
be reinstated. 

  
 17 

 APPENDIX 1 

US RESIDENT EMPLOYEES 

The terms of the Plan are hereby modified with respect to those Participants who are U.S. Participants: 

SPECIAL APPENDIX 
 to the 

Zymeworks Inc. 
 Stock Option Plan

 Special Provisions Applicable to Participants Subject to 

the United States Internal Revenue Code 

This Appendix sets forth special provisions of the Zymeworks Inc. Stock Option Plan (the “Plan”) that apply to U.S.
Participants. All Options issued under the Plan to U.S. Participants are intended to be exempt from Section 409A of the Code, or any successor thereto, and all provisions hereunder shall be read, interpreted, and applied with that purpose in
mind. Terms used herein that are defined in the Plan shall have the meanings set forth in the Plan, as amended from time to time. 
  

	1.	Interpretation 

  

	(a)	For the purposes of this Appendix, the following terms have the following meanings: 

  

	 	(i)	“Code” means the United States Internal Revenue Code of 1986, as amended, and any applicable United States Treasury Regulations and other binding regulatory guidance thereunder; 

 

	 	(ii)	“Incentive Stock Option” means any Option granted under the Plan which is designated in the Grant Agreement (at the time it is granted) as an incentive stock option within the meaning of
Section 422 of the Code or any successor thereto and which also satisfies the requirements of such section (including, without limitation, the requirement that the Participant is employed by the Corporation or a “parent corporation”
or “subsidiary corporation” of the Corporation (as such terms are defined in Section 424 of the Code)); 

  

	 	(iii)	“Non-Qualified Option” means any Option granted under the Plan to a U.S. Participant which is not an Incentive Stock Option; 

 

	 	(iv)	“Ten Percent Shareholder” means a U.S. Participant who owns (or is deemed to own pursuant to Section 424(d) of the Code) stock possessing more than ten percent (10%) of the total combined
voting power of all classes of stock of the Corporation or any subsidiary of the Corporation, as applicable (determined in accordance with Section 422 of the Code); 

 

	 	(v)	“Separation From Service” shall have the meaning as set forth in United States Treasury Regulation Section 1.409A-1(h) (after giving effect to the presumptions contained therein); and

  

	 	(vi)	“U.S. Participant” shall have the meaning set forth in Section 2(a), below. 

  

	(b)	The Plan and this Appendix are complementary to each other and shall, with respect to Options granted to U.S. Participants, be read and deemed as one. In the event of any contradiction, whether explicit or implied,
between the provisions of this Appendix and the Plan, the provisions of this Appendix shall prevail with respect to Options granted to U.S. Participants. Options may be granted under this Appendix either as Incentive Stock Options or as
Non-Qualified Options, subject to any applicable restrictions or limitations as provided under applicable law. 

  
 18 

	2.	Application 

  

	(a)	The following special rules and limitations are applicable to Options issued under the Plan to Participants subject to taxation in the United States (referred to hereunder as “U.S. Participants”) at the
time of grant. 

  

	(b)	Incentive Stock Options may be granted with respect to a maximum fixed amount equal to 20% of the Shares reserved for issuance under the Plan at the Effective Time (subject to adjustment pursuant to Section 2.2(e)
of the Plan). 

  

	(c)	To the extent that the aggregate fair market value (determined as of the time the Option is granted) of the Shares with respect to which Incentive Stock Options are exercisable for the first time by the U.S. Participant
under all Share Compensation Arrangements of the Corporation and/or its Affiliates (if applicable) exceeds US$100,000 during any calendar year, the Options or portions thereof that exceed such limit (according to the order in which they are granted)
shall constitute Non-Qualified Options in accordance with Section 422(d) of the Code or any successor thereto, notwithstanding any contrary provision of the Plan and/or Grant Agreement. 

 

	(d)	Each U.S. Participant is solely responsible and liable for the satisfaction of all taxes and penalties that may be imposed on or for the account of such U.S. Participant in connection with the Plan (including any taxes
and penalties under Section 409A), and neither the Corporation nor any Affiliate of the Corporation shall have any obligation to pay, indemnify or otherwise hold such U.S. Participant (or any beneficiary) harmless from any or all of such taxes
or penalties. 

  

	(e)	The Corporation and its Affiliates, if applicable, shall withhold taxes according to the requirements of applicable laws, rules and regulations, including the withholding of taxes at source to satisfy any applicable
federal, provincial, state or local tax withholding obligation and employment taxes. 

  

	(f)	Each recipient of an Option hereunder who is or who becomes a U.S. Participant is advised to consult with his or her personal tax advisor with respect to the tax consequences under federal, state, local and other tax
laws of the receipt and/or exercise of an Option hereunder. 

  

	(g)	Without derogating from the powers and authorities of the Board detailed in the Plan, and unless specifically required under applicable law, the Board shall also have the sole and full discretion and authority to
administer the provisions of this Appendix and all actions related thereto including, in addition to any powers and authorities specified in the Plan, the performance, from time to time and at any time, of either or both of the following:

  

	 	(i)	deciding whether to issue Options as Incentive Stock Options or as Non-Qualified Options; and 

 

	 	(ii)	adopting standard forms of Grant Agreements to be applied with respect to U.S. Participants, incorporating and reflecting, inter alia, relevant provisions regarding the grant of Options in accordance with this Appendix
and amending or modifying the terms of such standard forms from time to time. 

  

	3.	Exercise Price 

 The Exercise Price of each Option granted under the Plan to a U.S.
Participant shall not be less than the Fair Market Value of a Share on the date such Option is granted. Notwithstanding any other provision of the Plan, in determining the Fair Market Value of a Share under the Plan in connection with the grant of
an Option to a U.S. Participant, the Board will make the determination of Fair Market Value in good faith consistent with the rules of Sections 422 and 409A of the Code and the rules of the TSX, to the extent applicable. 

  
 19 

	4.	Expiry of Option 

 Notwithstanding any other provision of the Plan and any provisions of
the Grant Agreement to the contrary, Options granted to U.S. Participants may not be exercised under any circumstance following the ten (10) year anniversary of the date of grant. 

 

	5.	Disqualifying Disposition 

 Without limiting the generality of the foregoing, if a U.S.
Participant sells or otherwise disposes of any of the Shares acquired pursuant to an Incentive Stock Option on or before the later of (i) the date two years after the date the Option is granted or (ii) the date one year after the transfer
of such Shares to the U.S. Participant upon exercise of the Incentive Stock Option, the U.S. Participant shall notify the Corporation in writing within 30 days after the date of any such disposition (“Disqualifying Disposition”) and
shall remit to the Corporation or its Affiliate, as applicable, the amount of any applicable federal, state, provincial and local withholding and employment taxes which the Corporation is required to collect (if any). 

 

	6.	Adjustments to Options 

 In the event of a corporate transaction requiring the adjustment
of an Option held by a U.S. Participant, the number of Shares deliverable on the exercise of an Option held by a U.S. Participant and the Exercise Price of an Option held by a U.S. Participant shall be adjusted in a manner intended to keep the
Options exempt from Section 409A of the Code and to comply with Section 422 of the Code, if applicable, in the case of an Incentive Stock Option. 
  

	7.	Amendment of Appendix 

 The Board shall retain the power and authority to amend or modify
this Appendix and any Option issued hereunder to the extent the Board in its sole discretion deems necessary or advisable to comply with law or regulation, including to comply with any guidance issued under Sections 409A or 422 of the Code. Such
amendments may be made without the approval of any U.S. Participant. 
  

	8.	Ten Percent Shareholders 

  

	(a)	If any U.S. Participant to whom an Incentive Stock Option is to be granted under this Plan is, at the time of the grant of such Option, a Ten Percent Shareholder, then the following special provisions shall apply:

  

	 	(i)	the per share price at which Shares may be purchased upon the exercise of an Incentive Stock Option shall be no less 110% of the fair market value of a Share at such time as the Option is granted (as determined under
the applicable provisions of the Code); and 

  

	 	(ii)	the maximum term of the Option shall not exceed five (5) years from the date the Option is granted. 

  

	(b)	Subject to the provisions of this Section 8 regarding Ten Percent Shareholders, and applicable requirements for securityholder approval, no Incentive Stock Option may be granted hereunder to a U.S. Participant
following the expiry of ten (10) years after the date on which this Plan is adopted by the Board. 

  
 20 

 SCHEDULE “A” 

ZYMEWORKS INC. 
 STOCK
OPTION GRANT AGREEMENT 
 This agreement (the “Grant Agreement”) evidences the Options granted by Zymeworks Inc. (the
“Corporation”) to the undersigned (the “Participant”), pursuant to and subject to the terms of the Zymeworks Inc. Stock Option Plan (the “Plan”), which is incorporated herein by reference. The
Schedules attached to this Stock Option Grant Agreement shall form an integral part of this Stock Option Grant Agreement. 
 The Corporation
hereby grants to the Participant on the Date of Grant such number of Options as set forth in the attached Schedule “A”, as may be amended from time to time, with each Option representing the right to purchase, on the terms provided herein
and in the Plan (including, without limitations, the applicable exercise provisions), a Share with an Exercise Price per Share as set forth in the attached Schedule “A”, as may be amended from time to time, in each case subject to
adjustment in accordance with the provisions of the Plan. 
 ARTICLE 1 

INTERPRETATION 
  

	(a)	Capitalized terms used herein and not otherwise defined shall have the meanings given to them in the Plan. 

  

	(b)	Words importing the singular shall include the plural and vice versa and words importing any gender include any other gender. 

  

	(c)	Unless otherwise specified herein, all references to money amounts are to Canadian currency. 

  

	(d)	The words “including” and “includes” mean “including (or includes) without limitation”. 

ARTICLE 2 
 VESTING

  

	Section 2.1	Options 

 Unless earlier terminated, relinquished or expired, Options granted pursuant to
this Grant Agreement shall vest in accordance with the provisions set forth in the attached Schedule “A” as may be amended from time to time. 

ARTICLE 3 
 GENERAL
PROVISIONS 
  

	Section 3.1	Participation in the Plan 

 No Participant has any claim or right to be granted an Option
(including, without limitation, an Option granted in substitution for any Option that has expired pursuant to the terms of this Plan), and the granting of any Option is not to be construed as giving a Participant a right to continued employment or
to remain a Consultant, director, officer or employee, as the case may be, of the Corporation or an Affiliate of the Corporation. Nothing contained in this Grant Agreement or the Plan shall interfere in any way with the rights of the Corporation or
an Affiliate of the Corporation in connection with the employment or termination of any such person. Upon any such termination, a Participant’s rights to exercise Options will be subject to restrictions and time limits for the exercise of
Options. Complete details of such restrictions are set out in the Plan, and in particular in Article 4 thereof (except to the extent that such provisions are varied in accordance with Schedule “A” hereto). The Participant hereby agrees
that any rule, regulation or determination, including the interpretation by the Board of the Plan, the Option granted hereunder and the exercise thereof, is final and conclusive for all purposes and binding on all persons including the Corporation
and the Participant. 

  
 21 

	Section 3.2	Binding Agreement 

 The exercise of the Options granted hereby, issuance of Shares and
ownership of the Shares are subject to the terms and conditions of the Plan (all of which are incorporated into and form part of this Grant Agreement) and this Grant Agreement. This Agreement shall inure to the benefit of and be binding upon the
parties and their respective successors (including any successor by reason of amalgamation of any party) and permitted assigns. 
  

	Section 3.3	Governing Law 

 This Grant Agreement shall be governed by the laws of the Province of
British Columbia and the federal laws of Canada applicable therein. 
 [The remainder of this page is intentionally left blank] 

  
 22 

 By acceptance of these Options, the undersigned acknowledges receipt of the Plan text and agrees
hereby to be subject and bound to the terms of the Plan. The undersigned further acknowledges and agrees that the Participant’s abovementioned participation is voluntary and has not been induced by expectation of engagement, appointment,
employment, continued engagement or continued employment, as the case may be. 
 Accepted and agreed to this      day of
                    ,             . 

 

							
	Corporation:	 		 	ZYMEWORKS INC.
				
		 		 	By:	 	 
				
		 		 	 Name:
	 	 
				
		 		 	Title:	 	 
			
	Participant:	 		 	
			
		 		 	 
		 		 	Signature of Option Holder
			
		 		 	 
		 		 	Name of Option Holder (Please Print)
			
	Address:	 		 	
			
		 		 	 
			
		 		 	 
			
		 		 	 

  
 23 

 EXHIBIT “A” 

OPTION GRANT 
  

			
	Participant:	  	[❑]
		
	Number of Options                	  	[❑]
		
	Exercise Price:	  	[❑]
		
	Date of Grant:	  	[❑]
		
	Vesting Schedule	  	[❑]
		
	Expiry Date1	  	[❑]
		
	Type of Option2	  	[Incentive Stock Option/Non-Qualified Option]

  

	1 	Include here any provisions with respect to the expiry of vested/unvested options that would depart from Section 4.3 of the Plan (i.e., the impact of certain events on the vesting/exercise period, including
termination for cause, voluntary resignation, termination other than for cause, termination upon a change of control, and retirement, death or disability). 

	2 	Add for U.S. Participants. 

  
 24 

 EXHIBIT “B” 

ELECTION TO EXERCISE STOCK OPTIONS 
  

	TO:	ZYMEWORKS INC. (the “Corporation”) 

 The undersigned option holder hereby
elects to exercise Options granted by the Corporation to the undersigned pursuant to a Grant Agreement dated                     ,
20         under the Zymeworks Inc. Stock Option Plan (the “Plan”), for the number Shares set forth below. Capitalized terms used herein and not otherwise defined shall have the
meanings given to them in the Plan. 
  

			
	 1. Number of Shares to be Acquired:
	  	2.     ____________________________________
		
	 3. Option Exercise Price (per Share):
	  	4.    $____________________________________
		
	 5. Aggregate Purchase Price:
	  	6.    $____________________________________
		
	7. Amount enclosed that is payable on account of any Source Deductions relating to this Option exercise (contact the Corporation for details of such amount):	  	8.     ____________________________________
		
	9.    ☐    10. Or check here if alternative arrangements have been made with the Corporation;	  	11.
	
	 12. and hereby tenders a certified cheque, bank draft or other form of payment confirmed as acceptable by the Corporation for
such aggregate purchase price, and, if applicable, all Source Deductions, and
  

13. directs such Shares to be registered in the name of
                                         
                                         
                                  

 I hereby agree to file or cause the Corporation to file on my behalf, on a timely basis, all insider reports and other reports
that I may be required to file under applicable securities laws. I understand that this request to exercise my Options is irrevocable. 
 DATED this
     day of                     ,             .

  

			
	                            .
	
	 
	Signature of Option Holder
	
	 
	Name of Option Holder (Please Print)

  
 25 

 EXHIBIT “C” 

SURRENDER NOTICE 
  

	TO:	ZYMEWORKS INC. (the “Corporation”) 

 The undersigned option holder hereby elects
to transfer, dispose and surrender                      Options granted by the Corporation to the undersigned pursuant to a Grant Agreement
dated                     , 20 under the Zymeworks Inc. Stock Option Plan (the “Plan”) to the Corporation in exchange for
Shares as calculated in accordance with Section 4.1(c) of the Plan. Capitalized terms used herein and not otherwise defined shall have the meanings given to them in the Plan. 

Please issue a certificate or certificates representing the Shares in the name of: 

                          
                                         
                                         
                                         
                               . 

I hereby agree to file or cause the Corporation to file on my behalf, on a timely basis, all insider reports and other reports that I may be required to file
under applicable securities laws. I understand that this request to exercise my Options is irrevocable. 
 DATED this     
day of                     ,             . 

 

			
	 
	Signature of Option Holder
	
	 
	Name of Option Holder (Please Print)

  
 26

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