Document:

Exhibit 10.1

 

 

ASSET PURCHASE
AGREEMENT

 

This Asset
Purchase Agreement (this “Agreement”), dated as of February 13, 2019
(the “Effective Date”), is entered into between LUXEMARK CAPITAL LLC, a New York limited liability company
(the “Company”), Avraham Zeines, an individual, Oskar Kowalski, an individual,
Kamil Blaszczak, an individual (each a “Seller Principal” and, collectively, along with the Company, the “Sellers”),
and LM CAPITAL SOLUTIONS, LLC, a New York limited liability company (the “Buyer”).

 

bACKGROUND

 

A.       The
Company is engaged in, among other things, the business of: (i) facilitating and monitoring the provision of syndication capital,
loans, lines of credit or other leverage to funding companies within the merchant cash advance space and; (ii) facilitating the
connection of merchants seeking merchant cash advances to funding companies within the merchant cash advance space (the “Business”).

 

B.       The
Seller Principals collectively own all of the membership interests in the Company.

 

C.       The
Company wishes to sell to the Buyer, and the Buyer wishes to purchase from the Company, all right, title and interest in and to
the Purchased Assets (as defined below), subject to the terms and conditions set forth herein.

 

 

NOW, THEREFORE, in
consideration of the mutual covenants and agreements hereinafter set forth and for other good and valuable consideration, the receipt
and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:

 

Article
1

Purchase
and Sale

 

1.1       Purchase
and Sale of Purchased Assets. Subject to the terms and conditions set forth herein, as of
the Effective Date, the Company hereby sells, assigns, transfers, conveys and delivers to the Buyer, and the Buyer hereby purchases
from the Company, all of the Company’s right, title and interest in and to all of the assets, properties and rights of every
kind and nature used or held for use in connection with the Business, including, without limitation, the name “Luxemark
Capital LLC” and all related intellectual property and those assets listed on Schedule 1.1(a) attached
hereto (such assets, collectively, the “Purchased Assets”), in each case free and clear of any mortgage, pledge,
lien, charge, security interest, claim or other encumbrance (“Encumbrance”). Notwithstanding the foregoing,
the Purchased Assets shall not include the assets set forth on Schedule 1.1(b) attached
hereto, if any (collectively, the “Excluded Assets”).

 

1.2       Assignment
and Assumption of Assumed Liabilities. Subject to the terms and conditions set forth herein,
the Buyer shall assume and agree to pay, perform and discharge only the Liabilities (as defined below) specifically listed on Schedule
1.2 attached hereto, but only to the extent that such Liabilities do not relate to or arise
out of any breach, default or violation by the Company or any of its affiliates on or prior to the Effective Date (collectively,
the “Assumed Liabilities”). For the avoidance of doubt, the Buyer shall not assume any Liabilities other than
the Assumed Liabilities. For purposes of this Agreement, “Liabilities” means liabilities, obligations or commitments
of any nature whatsoever, asserted or unasserted, known or unknown, absolute or contingent, accrued or unaccrued, matured or unmatured
or otherwise.

 

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1.3       Excluded
Liabilities. Notwithstanding anything to the contrary herein, the Company shall retain, and
shall be responsible for paying, performing and discharging, when due, and the Buyer and its Affiliates shall not assume or have
any responsibility for any Liabilities of the Company, including as set forth on Schedule 1.3 hereto
(all excluded Liabilities collectively, “Excluded Liabilities”), other than the Assumed Liabilities.

 

1.4       Purchase
Price. The aggregate purchase price payable by the Buyer for the Purchased Assets shall be
the sum of: (a) the Initial Purchase Price (as defined below); (b) the Equity Consideration (as defined below); (c) the Initial
Earn-Out (as defined below); and (d) the Performance Based Earn-Out (as defined below), payable as follows:

 

		a.	Initial Purchase Price. At the Closing,
the Buyer shall pay to the Company the amount of One Million Dollars ($1,000,000) (the “Initial Purchase Price”).

 

		b.	Equity Consideration. At the Closing,
the Buyer shall issue to the Company a twenty percent (20%) membership interest in the Buyer (the “Equity Consideration”).

 

		c.	Initial Earn-Out. Within ten (10)
business days after the final determination of Distributable Net Income (as defined below) of the Company for the year ending in
December 31, 2018, pursuant to Section 1.5 of this Agreement, the Buyer shall pay to the Company the “Initial Earn-Out”,
if any, which shall equal the difference of:

 

		(i)	One Million Dollars ($1,000,000) minus

 

		(ii)	the Distributable Net Income of the Company
for the year ending on December 31, 2018.

 

“Distributable
Net Income” means the difference of (a) the sum of (i) net income actually realized, plus (ii) depreciation, plus
(iii) non-cash stock compensation, minus (b) capital additions greater than $10,000, in each case of the Company or the
Buyer, as applicable, as reported in its audited financial statements. Any review or dispute about the amount of the Distributable
Net Income shall be determined in accordance with the procedures set forth in Section 1.5. For the avoidance of doubt, if
the Initial Earn-Out is earned and the Buyer pays the Initial Earn-Out pursuant to Section 1.4(e), the Buyer shall have
no further payment or other obligations under this Section. Notwithstanding anything to the contrary herein, the maximum amount
payable to the Company under this Section 1.4(c) is One Million Dollars ($1,000,000). 

 

		d.	Performance Based Earn-Out.

 

		(i)	Within ten (10) days after the final determination
of Distributable Net Income of the Buyer for each of the years ending in December 31, 2019, December 31, 2020, December 31, 2021
and December 31, 2022, the Buyer shall pay to the Company the “Performance Based Earn-Out”, if any, for the
immediately preceding year which, if fully earned, shall equal One Million Dollars ($1,000,000). 

 

 

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		(ii)	The Performance Based Earn-Out for each
year shall only be fully earned in the event that the Buyer achieves or exceeds the Performance Target (as defined below) for such
year. In the event that the Buyer does not achieve or exceed the Performance Target for a given year in which the Company is eligible
to receive the Performance Based Earn-Out, the Performance Based Earn-Out with respect to such year shall be paid as follows: 

 

(a)
if the Buyer achieves less than 100% but at least 75% of the Performance Target in such year, the Performance Based Earn-Out payable
to the Company with respect to such year will be an amount equal to (1) the percentage of the Performance Target achieved in such
year by the Buyer multiplied by (2) One Million Dollars ($1,000,000); and

 

(b)
if the Buyer achieves less than 75% of the Performance Target in such year, the Performance Based Earn-Out payable to the Company
with respect to such year shall equal Zero Dollars ($0.00). 

 

		(iii)	In the event (a) a Sale of the Company
(as defined in the Buyer LLCA) occurs prior to the final determination of Distributable Net Income for the year ending on December
31, 2022, and (B) the net consideration paid to the equity holders of Buyer in connection with such Sale of the Company exceeds
the Earn-Out Acceleration Proceeds Threshold for the year in which such Sale of the Company is consummated, the Buyer will be deemed
to have earned the maximum Performance Based Earn-Out possible with respect to each year listed in Section 1.4(d)(i) that
is not completed at the time of such Sale of the Company, and all such Performance Based Earn-Out payments shall be due and payable
concurrently with such Sale of the Company. For example, if a Sale of the Company occurs in June 2021 and the net consideration
paid to the equity holders of Buyer in connection with such Sale of the Company exceeds the Earn-Out Acceleration Proceeds Threshold
for 2021, the Company will be deemed to have earned the maximum Performance Based Earn-Out for the years ending on December 31,
2021 and December 31, 2022 pursuant to Sections 1.4(d)(i) and (ii) and be entitled to an aggregate payment of Two
Million Dollars ($2,000,000). “Earn-Out Acceleration Proceeds Threshold” means the amounts set forth on Schedule 1.4(d)
with respect to the applicable periods denoted therein. For the avoidance of doubt, no payments
shall be made under this Section 1.4(d)(iii) for any unearned Performance Based Earn-Out payments for years which have
been completed prior to the Sale of the Company.

 

		(iv)	For the avoidance of doubt, if the Performance
Based Earn-Out is earned in a given year and the Buyer pays any Performance Based Earn-Out for such year pursuant to Section
1.4(e), the Buyer shall have no further payment or other obligations under this Section for that particular year. Notwithstanding
anything to the contrary herein, the maximum amount payable to the Company under this Section 1.4(d) shall be Four Million
Dollars ($4,000,000).

 

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		e.	Each of the Initial Purchase Price, the
Initial Earn-Out and the Performance Based Earn-Out, when and if earned, shall be paid by wire transfer of immediately available
funds in accordance with the wire transfer instructions set forth on Schedule 1.4(e)
attached hereto.

 

		1.5	Distributable Net Income Determination; Earn-Out Procedures.

 

a.       Distributable
Net Income Determination.

 

(i)       As
promptly as practicable following the completion of the routine independent third party audit of the financial statements of the
Buyer for the year ending December 31, 2018, the Buyer shall submit to the Company in writing the proposed calculation of the Distributable
Net Income of the Company or the Buyer (as applicable, the “Distributable Net Income Calculation”), together
with supporting documentation reasonably necessary for the Sellers’ review of such proposed Distributable Net Income Calculation.
This process will be repeated for each of the calendar years ending on December 31, 2019, December 31, 2020, December 31, 2021
and December 31, 2022.

 

(ii)       The
Company shall have thirty (30) days following delivery by the Buyer of the proposed Distributable Net Income Calculation during
which to notify the Buyer of any dispute of such proposed Distributable Net Income Calculation, which notice shall set forth in
reasonable detail the basis for such dispute. If the Company does not notify the Buyer of any dispute within such thirty (30) day
period, the Distributable Net Income Calculation provided by the Buyer pursuant to Section 1.5(a)(i) above shall be deemed
to be final and binding on the parties. If the Company does notify the Buyer of any dispute within such fifteen (15) day period,
the Buyer and the Company shall cooperate in good faith to resolve such dispute as promptly as possible, and upon such resolution,
the Distributable Net Income shall be determined in accordance with the mutual written agreement of the Buyer and the Company.
If the Buyer and the Company are unable to resolve any dispute regarding such Distributable Net Income Calculation within fifteen
(15) days (or such longer period as the Buyer and the Company shall mutually agree in writing) of notice of a dispute, the dispute
shall be resolved by a neutral arbitrator. The neutral arbitrator shall be mutually agreed upon by each of the Buyer and the Company
and shall be appointed within ten (10) days after the expiration of the period to resolve the dispute. In the event the Buyer and
the Company cannot agree upon the appointment of a neutral arbitrator within ten (10) days, the Company shall appoint one arbitrator
and the Buyer shall appoint one arbitrator, and the appointed arbitrators shall select a third arbitrator to serve with them, with
the decision(s) and resolution(s) of a majority of the arbitrators so selected to be controlling with respect to any decision(s)
or resolution(s) required to be made by the arbitrator(s) under this Agreement. The resolution of the arbitrator(s) shall be final
and binding on the parties. The arbitrator(s) shall use commercially reasonable efforts to complete its work within thirty (30)
days of its engagement. The fees, costs and expenses of the arbitrator(s) (i) shall be borne by the Buyer in the proportion that
the aggregate dollar amount of all such disputed items so submitted that are successfully disputed by the Sellers (as finally determined
by the arbitrator) bears to the aggregate dollar amount of such items so submitted and (ii) shall be borne by the Sellers, on a
joint and several basis, in the proportion that the aggregate dollar amount of such disputed items so submitted that are unsuccessfully
disputed by the Sellers (as finally determined by the arbitrator) bears to the aggregate dollar amount of all such items so submitted.
Within ten (10) business days after the final determination of Distributable Net Income pursuant to this Section 1.5, the
Buyer shall pay to the Company, by wire transfer or delivery of immediately available funds, the amount of the Initial Earn-Out
(if any) or the Performance Based Earn-Out (if any) based on Distributable Net Income as finally determined. 

 

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b.       Performance
Targets. The performance target which the Buyer must meet or exceed in the current year in order to earn the Performance Based
Earn-Out (the “Performance Target”) with respect to the years ending on each of December 31, 2019, December
31, 2020, December 31, 2021 and December 31, 2022 are set forth in Schedule 1.5(b) attached hereto.

 

c.       Operating
and Accounting Procedures of the Company.

 

(i)       Generally.
The parties agree that the guidelines set forth in Schedule 1.5(c) shall be used in calculating Distributable
Net Income. Additionally, nothing contained in this Agreement shall be construed to restrict in any way management of the Buyer
and its affiliates from operating the Buyer in the manner which the Buyer’s management and board of managers reasonably deem
most beneficial for the Buyer and the Buyer’s equity holders, subject to the provisions of the Buyer LLCA (as defined below);
provided, that in no event shall Buyer take any action with the intent, or sole purpose of, avoiding the obligation to make
the Initial Earn-Out or the Performance Based Earn-Out.

 

(ii)       Accounting
Standards. All matters relating to the calculation of Distributable Net Income shall be calculated in a manner consistent with
GAAP and pursuant to the methodology set forth in Schedule 1.5(c).

 

1.6       Purchase
Price Allocation. The Sellers and the Buyer agree to allocate the Purchase Price among the
Purchased Assets for federal and, where applicable, state and local income tax purposes in accordance with the methodology set
forth on Schedule 1.6 attached hereto. The Buyer and the Sellers shall file all
tax returns (including amended returns and claims for refund) and information reports in a manner consistent with such allocation.
The Buyer shall be entitled to deduct and withhold from the Purchase Price all taxes that the Buyer may be required to deduct and
withhold under any applicable tax law. All such withheld amounts shall be treated as delivered to the Company hereunder.

 

Article
2

Closing

 

2.1       Closing.
The closing of the transactions contemplated by this Agreement (the “Closing”)
shall occur simultaneously with the execution of this Agreement on the Effective Date via remote exchange of electronic signature
pages or scanned copies of original signature pages. The consummation of the transactions contemplated by this Agreement shall
be deemed to occur at 12:01 a.m. Eastern Time on the Effective Date.

 

2.2       Closing
Deliverables.

 

(a)       At
the Closing, the Sellers shall deliver to the Buyer the following:

 

(i)       a
bill of sale in a form mutually agreed by the Buyer and the Sellers (the “Bill of Sale”), duly executed by the
Company;

 

(ii)       an
assignment and assumption agreement in a form mutually agreed by the Buyer and the Sellers (the “Assignment and Assumption
Agreement”), duly executed by the Company;

 

(iii)       an
assignment in a form mutually agreed by the Buyer and the Sellers (the “Intellectual Property Assignment”),
duly executed by the Company;

 

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(iv)       a
duly executed joinder to the Buyer Limited Liability Company Agreement (“Buyer LLCA”), in a in a form mutually
agreed by the Buyer and the Sellers;

 

(v)       copies
of the Company’s financial statements prepared in accordance with U.S. GAAP, consistently applied, covering the time period
from the Company’s inception until its most recently completed fiscal year.

 

(vi)       a
Restrictive Covenant Agreement in a form mutually agreed by the Buyer and the Sellers (a “Restrictive Covenant Agreement”),
duly executed by the Company and each of the Seller Principals;

 

(vii)       copies
of all consents, approvals, waivers and authorizations referred to in Schedule 3.2 attached hereto, if any;

 

(viii)       for
each Investor, an executed copy of a commercial agreement with such Investor in a form mutually agreed by the Buyer and the Sellers,
which the parties agree the Business will use as a form contract for investor agreements going forward;

 

(ix)       for
each Funder, an executed copy of a commercial agreement with such Funder in a form mutually agreed by the Buyer and the Sellers,
which the parties agree the Business will use as a form contract for funder agreements going forward;

 

(x)       an
Employment Agreement between the Buyer and Adrian Miller in a form reasonably satisfactory to the Buyer (the “Employment
Agreement”), duly executed by Adrian Miller;

 

(xi)       a
certificate pursuant to Treasury Regulations Section 1.1445-2(b) that the Company is not a foreign person within the meaning of
Section 1445 of the Internal Revenue Code duly executed by the Company;

 

(xii)       a
certificate of the Secretary or Assistant Secretary (or equivalent officer) of the Company certifying as to (A) the resolutions
of the board of directors of the Company, duly adopted and in effect, which authorize the execution, delivery and performance of
this Agreement and the transactions contemplated hereby, and (B) the names and signatures of the officers of the Company authorized
to sign this Agreement and the documents to be delivered hereunder;

 

(xiii)       a
pledge agreement pledging the Equity Consideration in favor of the Buyer and Holdings (the “Pledge Agreement”),
duly executed by the Sellers;

 

(xiv)       consulting
agreements in a form mutually agreed by the Buyer and the Sellers, duly executed by each of the Seller Principals (the “Consulting
Agreements”); and

 

(xv)       such
other instruments of transfer, assumption, filings or documents, in form and substance reasonably satisfactory to the Buyer, as
may be required to give effect to this Agreement.

 

 

(b)       At
the Closing, the Buyer shall deliver to the Sellers the following:

 

(i)       the
Initial Purchase Price, payable in accordance with Section 1.3;

 

(ii)       the
Equity Consideration;

 

(iii)       a
Warrant, in a form satisfactory to the Buyer, granting the Company the right to purchase a number of shares of the common stock,
par value $0.01 per share, of CCUR Holdings, Inc. (“Holdings”) equal to five percent (5%) of the fully diluted
equity capitalization of Holdings as of the Effective Date (each such share, a “Warrant Share”) at a price per
Warrant Share equal to the greater of (A) the fair market value of one Warrant Share at the close of trading on the Effective Date,
and (B) $6.50 (the “Holdings Warrant”), duly executed by Holdings;

 

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(iv)       each
Restrictive Covenant Agreement, duly executed by the Buyer;

 

(v)       the
Employment Agreement, duly executed by the Buyer;

 

(vi)       the
Consulting Agreements, duly executed by the Buyer;

 

(vii)       the
Master Promissory Note by and between Holdings and the Buyer, in a form mutually agreeable to Holdings and the Buyer, duly executed
by Holdings and the Buyer; and

 

(viii)       a
certificate of the Secretary or Assistant Secretary (or equivalent officer) of the Buyer certifying as to (A) the resolutions of
the board of directors of the Buyer, duly adopted and in effect, which authorize the execution, delivery and performance of this
Agreement and the transactions contemplated hereby, and (B) the names and signatures of the officers of the Buyer authorized to
sign this Agreement and the documents to be delivered hereunder.

 

 

Article
3

Representations and warranties of The sellerS

 

Each of the Seller
Principals and the Company, jointly and severally, represents and warrants to the Buyer that the statements contained in this Article
III are true and correct as of the execution of this Agreement. For purposes of this Article III, “Company’s
Knowledge” means the actual or constructive knowledge of each of the Seller Principals or any director or officer of the
Company or such knowledge that such persons should have after conducting due inquiry into the matter at hand.

 

3.1       Organization
and Authority of the Sellers; Enforceability. Except as set forth in Schedule 3.1, the Company is a
limited liability company, duly organized, validly existing and in good standing under the laws of the State of New York. The Company
has full limited liability company power and authority to enter into this Agreement and the documents to be delivered hereunder,
to carry out its obligations hereunder and to consummate the transactions contemplated hereby. The execution, delivery and performance
by the Company of this Agreement and the documents to be delivered hereunder and the consummation of the transactions contemplated
hereby have been duly authorized by all requisite actions on the part of the Company. Each of the Seller Principals has all requisite
right, capacity, power and authority to enter into this Agreement and the documents to be delivered hereunder, to carry out its
obligations hereunder and to consummate the transactions contemplated hereby. This Agreement and the documents to be delivered
hereunder have been duly executed and delivered by each of the Seller Principals and the Company, and (assuming due authorization,
execution and delivery by the Buyer) this Agreement and the documents to be delivered hereunder constitute legal, valid and binding
obligations of each of the Seller Principals and the Company, enforceable against each in accordance with their respective terms.

 

3.2       No
Conflicts; Consents. Except as set forth in Schedule 3.2 attached hereto, the execution, delivery and performance
by the Sellers of this Agreement and the documents to be delivered hereunder, and the consummation of the transactions contemplated
hereby, do not and will not: (a) violate or conflict with the certificate of incorporation, by-laws or other organizational documents
of the Company; (b) violate or conflict with any judgment, order, decree, statute, law, ordinance, rule or regulation applicable
to any Seller or the Purchased Assets; (c) conflict with, or result in (with or without notice or lapse of time or both) any violation
of, or default under, or give rise to a right of termination, acceleration or modification of any obligation or loss of any benefit
under any contract or other instrument to which any Seller is a party or to which any of the Purchased Assets are subject; or (d)
result in the creation or imposition of any Encumbrance on the Purchased Assets. Except as set forth in Schedule 3.2
attached hereto, no consent, approval, waiver or authorization is required to be obtained by any Seller from any person or entity
(including any governmental authority) in connection with the execution, delivery and performance by such Seller of this Agreement
and the consummation of the transactions contemplated hereby.

 

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3.3       Title,
Sufficiency and Condition of Purchased Assets; Inventory. 

 

(a)       The
Company owns and has good title to the Purchased Assets, free and clear of Liens. Upon the consummation of the transactions contemplated
hereby, the Buyer will acquire sole ownership of all of the Purchased Assets, free and clear of all Liens (as defined below). All
of the Purchased Assets of the Company are free and clear of any mortgage, pledge, lien, conditional sale agreement, security title,
encumbrance, easement, right of way, charge or other title retention agreement of any kind or nature (a “Lien”).
There are no breaches or defaults under, and no events or circumstances have occurred which, with or without notice or lapse of
time or both, would constitute a breach of or a default under, any instrument, agreement or other document that creates, evidences
or constitutes any Lien or that evidences, secures or governs the terms of any indebtedness or obligation secured by any Lien (any
such instrument, agreement or other document is referred to herein as a “Lien Instrument”). The sale of the
Purchased Assets by the Company to the Buyer will not: (i) constitute a breach or a default under any Lien Instrument; (ii) permit
(with or without notice, lapse of time or both), cause or result in (A) the acceleration of any indebtedness or other obligation
evidenced, secured or governed by a Lien Instrument, or (B) the foreclosure or other enforcement of any Lien; (iii) permit or cause
the terms of any Lien Instrument to be renegotiated; or (iv) require the consent of any party to or holder of a Lien Instrument
or of any third party.

 

(b)       The
Purchased Assets, taken together with the services, assets and rights to be provided hereunder or under the documents to be delivered
in connection with the Closing, constitute all of the assets necessary to operate the Business in substantially the manner immediately
after the Closing as it is currently conducted by the Company or currently proposed to be conducted after the Closing. The tangible
Purchased Assets are in good condition and are adequate for the uses to which they are currently being put, and none of such Purchased
Assets are in need of maintenance or repairs except for ordinary, routine maintenance and repairs that are not material in nature
or cost. All inventory, finished goods, raw materials, work in progress, packaging, supplies, parts and other inventories included
in the Purchased Assets consist of a quality and quantity usable and saleable in the ordinary course of business.

 

(c)       No
licenses or consents from, or payments to, any other person are or will be necessary for the Buyer to use any of the Purchased
Assets in the same manner in which such Purchased Assets are currently used in the conduct of the Business prior to the Closing.
No restrictions will exist on the Buyer’s right to use, sell, resell, license or exploit any of the Purchased Assets, nor
will any restrictions be imposed on the Buyer as a consequence of the transactions contemplated by this Agreement.

 

(d)       Other
than the Company, no other person or entity owns, uses, holds for use, possesses or controls, or has any right, title, or interest
in or to, any Purchased Asset. None of the Excluded Assets are used in, held for use in, necessary for, or related to the use or
enjoyment of the Purchased Assets following the Closing as currently used or enjoyed, or as currently contemplated by the Company
to be used or enjoyed.

 

3.4       Relationship
With Affiliates. Other than pursuant to the agreements set forth on Schedule 3.4, neither any of the
Sellers nor any affiliate or relative (by blood or marriage) of any of the Sellers provides or supplies assets, services or facilities
or is party to any other agreements, contracts, arrangements or courses of dealing which are, individually or in the aggregate,
material to the operations of the Company. The Company has not loaned funds to any of its employees or equity holders other than
advances of expenses in the ordinary course of business.

 

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3.5       Financial
Statements; Absence of Changes.

 

 

(a)       Listed
on Schedule 3.5(a) are (i) an unaudited balance sheet of the Company as of December 31, 2017 and the most recently
closed month (not to be more than 62 days prior to the Closing Date) (the “Base Balance Sheet”, and such date,
the “Balance Sheet Date”), (ii) unaudited statements of operations for the Business for the 12-month period
ending December 31, 2017 and for the most recently closed year to date period (not to be more than 62 days prior to the Closing
Date), and (iii) unaudited statements of cash flow for the Business for the 12-month period ending December 31, 2017 and for the
most recently closed year to date period (not to be more than 62 days prior to the Closing Date) (such financial information referred
to in clauses (i)-(iii) together are referred to herein as the “Financial Statements”). The Financial Statements
have been prepared in accordance with GAAP applied on a consistent basis throughout the periods covered thereby, each of which
has been prepared in accordance with the books and records of the Business, each fairly represents in all material respects the
financial position and results of operations of the Business as of the dates and for the periods set forth therein.

 

(b)       Except
as set forth in the Financial Statements from Balance Sheet Date to the date of this Agreement, (i) the Company has operated the
Business in the ordinary course of business consistent with past practices and have used reasonable efforts to preserve the Purchased
Assets and the Business intact and to preserve the goodwill of suppliers, customers, employees and others having business relations
with the Company with respect to the Business, (ii) there has been no material adverse effect on the Business.

 

3.6       Real
and Personal Property.

 

(a)       Leased
Facilities. Schedule 3.6 contains a true and correct list of each parcel of real property used or occupied by
the Company (each, a “Facility”) as the lessor or sublessor thereof. Prior to the Closing, each Facility listed
on Schedule 3.6 (other than those denoted with an asterisk) was leased by the Company under a lease or sublease with
a lessor or subleassor unaffiliated with any Seller (collectively, the “Real Estate Leases”). As of the Closing,
the Company is not party to or bound by any contract related to any Facility except the Real Estate Leases. The Company has valid
leasehold estates in the real properties leased by it free and clear of all encumbrances, but subject to the leases relating thereto,
for the full term thereof. As of the date hereof, each of the Real Estate Leases is a legal, valid and binding agreement of the
Company and of the lessor named therein, enforceable against the Company and the lessor named therein in accordance with its terms.
Neither the Company nor any other party thereto is in default under any Real Estate Lease and to the Company’s Knowledge,
no event has occurred which, after notice or lapse of time or both, would constitute a default under any Real Estate Lease.

 

(b)       Condition
of Improvements. The improvements located at each Facility are in good condition and in good repair, ordinary wear and tear
excepted, and, other than repairs or maintenance to be performed in the ordinary course of business. All utilities and similar
systems which are required for the operation of the Business at all Facilities are installed and operating and are sufficient to
enable all real property to continue to be used and operated in the manner currently being used and operated by the Company.

 

(c)       Ownership
of Real Property. The Company does not own any real property (including without limitation any option or other right or obligation
to purchase any real property or any interest therein).

 

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3.7       Tangible
Personal Property. Except as listed on Schedule 3.7, the Company is in possession of and has good title to,
or has valid leasehold interests in or valid rights under contract to use, all the tangible personal property used in the conduct
of its business. Except as set forth on Schedule 3.7, all such tangible personal property is free and clear of all
Liens and is in all material respects in good condition, ordinary wear and tear excepted.

 

3.8       Intellectual
Property. Schedule 3.8 contains a complete and accurate list and summary description of all of the following (“Intellectual
Property Assets”): (a) U.S. and foreign registered, pending and common law (i) trade names, (ii) service marks, (iii)
trademarks, and (iv) logos, (b) all U.S. and foreign issued and pending patents, (c) all U.S. and foreign copyrights, including
computer software, whether or not registered, owned by the Company, and (d) all intellectual property, including computer software,
licensed to the Company. The Company represents and warrants that the Company is the sole and exclusive owner of the entire right,
title and interest in and to the Intellectual Property Assets, other than the rights of licensor under any license agreements,
and has good and marketable title to the Intellectual Property Assets owned by the Company free and clear of all royalty obligations
and other Liens. Except as set forth in Schedule 3.8, neither the Company's use of the Intellectual Property Assets,
nor any products or services produced or provided by the Company, conflicts with, infringes upon, misappropriates, or violates
the intellectual property rights of any third party or any license and no such claim of infringement, misappropriation or violation
has been threatened or asserted in writing or is pending against the Company, its end-user customers, licensees or licensors. Except
as set forth in Schedule 3.8, to the Company’s Knowledge, none of the foregoing claims or demands by any third
party will be, or is likely to be made, and there is no fact or circumstance that could reasonably give rise to any such claim.
The Company has not entered into any agreement, license, release, or order that restricts the right of the Company to use the Intellectual
Property Assets in any way. The Intellectual Property Assets are valid and enforceable and the Company has taken all necessary
steps to ensure the validity and enforceability of the Intellectual Property Assets. The Company has the right to use all Intellectual
Property Assets used in, or necessary for, the operation of the Business as currently conducted. Each Intellectual Property Asset
owned or used by the Company immediately prior to the Effective Date will be owned or available for use by the Buyer on identical
terms and conditions immediately subsequent to the Effective Date hereunder.

 

3.9       Tax
Matters.

(a)       The
Sellers have prepared and timely filed all required federal and state Tax Returns related to the Business or the Purchased Assets
and due on or before the Effective Date, and all such Tax Returns are true, correct and complete in all material respects and have
been completed in accordance with all applicable U.S. federal, state, municipal or local or foreign laws, statutes, codes, orders,
judgments, or any other legal requirements having the force or effect of law. The Sellers have paid all Taxes owed with respect
to the Business or the Purchased Assets, and have no material liability for unpaid Taxes. There has been no audit, investigation,
dispute with, or correspondence from any Tax authority to the Company related to the Business or the Purchased Assets. There are
no accrued and unpaid Taxes of the Company related to the Business or the Purchased Assets which are due, whether or not assessed
or disputed.

 

(b)       The
Company has withheld with respect to employees and other third parties all Taxes required to have been withheld, and such withheld
amounts have been timely paid over to the appropriate Tax authority.

 

(c)       There
are no liens for Taxes upon any of the Purchased Assets, except for liens for Taxes not yet due and payable.

 

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(d)       There
is no Tax deficiency outstanding, assessed or proposed against or with respect to any Seller related to the Business or the Purchased
Assets, nor has any outstanding waiver of any statute of limitations on or extension of the period for which the assessment or
collection of any Tax of or with respect to any Seller related to the Business or the Purchased Assets been executed or requested.

 

(e)       No
written claim has ever been made that any Seller is or may be subject to taxation in a jurisdiction in which it does not file Tax
Returns by virtue of the operation of the Business or ownership of the Purchased Assets.

 

(f)       For
purposes of this Agreement, “Tax” or “Taxes” shall mean (i) any net income, alternative or
add-on minimum tax, gross income, estimated, gross receipts, sales, use, ad valorem, value added, transfer, franchise, fringe benefit,
capital stock, profits, license, registration, withholding, payroll, social security (or equivalent), employment, unemployment,
disability, excise, severance, stamp, occupation, premium, property (real, tangible or intangible), environmental, escheat, unclaimed
property, or windfall profit tax, custom duty or other tax, governmental fee or other like assessment or charge of any kind whatsoever,
together with any interest or any penalty, addition to tax or additional amount (whether disputed or not) imposed by any governmental
entity responsible for the imposition of any such tax, (ii) any Liability for the payment of any amounts of the type described
in clause (i) of this sentence as a result of being (or ceasing to be) a member of an affiliated, consolidated, combined, unitary
or aggregate group for any Taxable period, and (iii) any Liability for the payment of any amounts of the type described in clause
(i) or (ii) of this sentence as a result of being a transferee of or successor to any person or as a result of any express or implied
obligation to assume such Taxes or to indemnify any other person. For purposes of this Agreement, “Tax Return”
shall mean any return, report or statement filed or required to be filed with respect to any Tax, including any information return,
declaration of estimated tax, claim for refund, election, or voluntary disclosure agreement, and any schedule, addendum or attachment
thereto, and any amendment thereof.

 

3.10       Assigned
Contracts; Transferred Permits. 

 

(a)       Assigned
Contracts. Schedule 3.10(a) attached hereto lists: (i) each material contract to which the Company is a party
and which relates to the Business and/or the Purchased Assets; and (ii) each contract that is necessary for the operation of the
Business or is the source of any funds paid or payable to the Company in the connection with the Business (collectively, the “Assigned
Contracts”). Each Assigned Contract is valid and binding on the Company in accordance with its terms and is in
full force and effect. None of the Company or, to the Company’s Knowledge, any other party thereto is in breach of or default
under (or is alleged to be in breach of or default under), or has provided or received any notice of any intention to terminate,
any Assigned Contract. No event or circumstance has occurred that, with or without notice or lapse of time or both, would constitute
an event of default under any Assigned Contract or result in a termination thereof or would cause or permit the acceleration or
other changes of any right or obligation or the loss of benefit thereunder. The Company has made available to the Buyer true,
complete and correct copies of each Assigned Contract. There are no disputes pending or threatened under any Assigned Contract.

 

(b)       Transferred
Permits. Schedule 3.10(b) attached hereto lists all permits, licenses, franchises, approvals, authorizations,
registrations, certificates, variances and similar rights obtained from governmental authorities that are (i) necessary or advisable
in connection with the operation of the Business; or (ii) included in the Purchased Assets (the “Transferred
Permits”). The Transferred Permits are valid and in full force and effect and constitute all permits, licenses,
franchises, approvals, authorizations, registrations, certificates, variances and similar rights required to operate the Business
and own, use or hold the Purchased Assets. All fees and charges with respect to such Transferred Permits as of the Effective Date
have been paid in full. No event has occurred that, with or without notice or lapse of time or both, would reasonably be expected
to result in the revocation, suspension, lapse or limitation of any Transferred Permit.

 

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3.11       Compliance
With Laws; Non-Foreign Status. The Company has complied, and is now complying, with all applicable federal, state, local
and self-regulatory laws, rules, regulations, statutes, ordinances, declarations or other governing regimes applicable to ownership
and use of the Purchased Assets or the Business. Except as listed on Schedule 3.11 (a) the Company has only
conducted the Business in the state of New York, and (b) each Investor and each Funder is located in the state of New York. The
Company has not received any written notice to the effect that the Company is not in compliance in all material respects with any
such laws or orders. The Company is not a “foreign person” as that term is used in Treasury Regulations Section 1.1445-2.

 

3.12       Legal
Proceedings. There is not currently, nor has there been during the last three (3) years, any claim, action, suit, proceeding
or governmental investigation (“Action”) of any nature
pending or threatened against or by any Seller: (a) relating to or affecting the Purchased Assets, the Assumed Liabilities or
the Business; or (b) that challenges or seeks to prevent, enjoin or otherwise delay the transactions contemplated by this Agreement.
There is not currently, nor has there been during the last three (3) years, any inquiry or investigation by any governmental authority
pending or threatened against the Company (including any inquiry as to the qualification of the Company to hold or receive any
license or permit of the Business). No event has occurred or circumstances exist that may give rise to, or serve as a basis for,
any such Action.

 

3.13       Books
and Records. Without limiting any other provision of this Agreement, the Company has made available to the Buyer or its
counsel complete and correct copies of (a) all documents identified on the Schedules, including all exhibits, schedules, amendments
and the like, (b) the Company organizational documents, as currently in effect, (c) the minute books containing records of all
proceedings, consents, actions and meetings of each of the boards of directors of the Company (including any committees thereof),
and stockholders or members of the Company, as applicable, and (d) permits, orders and material consents issued by any regulatory
agency with respect to any securities or assets of the Company and all applications for such permits, orders and consents. The
minute books of the Company made available to the Buyer contain a complete and accurate summary of all meetings of directors and
stockholders or actions by written consent since the time of incorporation of the Company through the date of this Agreement, and
reflect all transactions referred to in such minutes accurately in all material respects. The books, records and accounts of the
Company (i) are true, correct and complete in all material respects, (ii) have been maintained in accordance with reasonable business
practices on a basis consistent with prior years, and (iii) accurately and fairly reflect the transactions and dispositions of
the Purchased Assets.

 

3.14       Investors
and Funders.

 

(a)       Schedule
3.14(a) sets forth (i) the names and addresses of each investor of funds in connection with the purchase of participation
interests in merchant accounts receivable from Funders (as defined below) during the twelve (12) month-period prior to the date
of this Agreement (collectively, the “Investors”), listed by the amounts invested by the Investors. The Company
has not received any notice, and the Company does not have any reason to believe, that any Investor, intends to pull its investment
in connection with the Business or otherwise act outside of the ordinary course of its current relationship with the Business.
To the Company’s Knowledge, the transactions contemplated by this Agreement will not adversely affect the respective relationships
between the Buyer and any Investors.

 

(b)       Schedule
3.14(b) sets forth the names and addresses of each funder who has worked with the Company to sell participation interests
in purchases of merchant accounts receivable to Investors during the twelve (12) months prior to the date of this Agreement (collectively,
the “Funders”), and the total amounts funded by each such Funder during such period as well any amounts funded
by the Company as a funder. The Company has not received any notice, and the Company does not have any reason to believe, that
any such Funder will terminate its service relationship with the Business after the Closing or otherwise act outside of the ordinary
course of its current relationship to the Business. To the Company’s Knowledge, the transactions contemplated by this Agreement
will not adversely affect the respective relationships between the Buyer and any Funders.

 

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3.15       Brokers.
Except as set forth on Schedule 3.15, no broker, finder or investment banker is entitled to any brokerage, finder’s
or other fee or commission in connection with the transactions contemplated by this Agreement based upon arrangements made by or
on behalf of the Company or the Seller Principals. Any brokerage, finder’s or other fee or commission in connection with
the transactions contemplated by this Agreement payable by any of the Sellers has been paid in full by the Sellers.

 

3.16       Solvency.
Assuming satisfaction of the conditions to this Agreement, and after giving effect to the transactions contemplated hereby, payment
of all amounts required to be paid in connection with the consummation of the transactions contemplated hereby, and payment of
all related fees and expenses, each Seller and its respective affiliates will not be insolvent as of the Closing and immediately
after the consummation of the transactions contemplated hereby.

 

3.17       Absence
of Undisclosed Liabilities. No Seller has any liability or obligation arising out of transactions entered into prior to
the Closing, or any action or inaction prior to the Closing, or any state of facts existing prior to the Closing, other than: (a)
liabilities reflected on the Financial Statements dated December 31, 2017; (b) liabilities which have arisen after the date of
such Financial Statements in the ordinary course of business (none of which is a liability resulting from breach of contract, breach
of warranty, tort, infringement, claim or lawsuit), and (c) other liabilities expressly disclosed in this Agreement.

 

3.18       Accredited
Investor. Each of the Sellers represent and warrant to the Buyer that it is an “Accredited Investor,” as that
term is defined in Rule 501(a) of Regulation D promulgated under the Securities Acts of 1933, as amended.

 

3.19       Independent
Investigation. Each of the Sellers represent and warrant to the Buyer that in making its decision to enter into this Agreement
and any ancillary agreements and to consummate the transactions contemplated hereby and thereby, other than reliance on the representations,
warranties, covenants and obligations of the Buyer set forth in this Agreement, such Seller has relied solely on its own independent
investigation, analysis and evaluation of the Buyer. Each of the Sellers confirm to the Buyer that such Seller is sophisticated
and knowledgeable in the Business and is capable of evaluating the matters set forth above.

 

3.20       Full
Disclosure. No representation or warranty by the Company in this Agreement and no statement contained in the schedules
to this Agreement or any certificate or other document furnished or to be furnished to the Buyer pursuant to this Agreement contains
any untrue statement of a material fact, or omits to state a material fact necessary to make the statements contained therein,
in light of the circumstances in which they are made, not misleading. There is no fact that the Company has not disclosed to the
Buyer and its counsel in writing and of which the Company (or any of them) is aware that is material to the Business or any of
the Purchased Assets.

 

 

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Article
4

Representations and warranties of The buyer

 

The Buyer represents
and warrants to the Sellers that the statements contained in this Article IV are true and correct as of the execution of
this Agreement. For purposes of this Article IV, “Buyer’s Knowledge” means the actual or constructive
knowledge of any director or officer of the Buyer, after due inquiry.

 

4.1       Organization
and Authority of Buyer; Enforceability. The Buyer is a limited liability company, duly organized, validly existing and
in good standing under the laws of the state of Delaware. The Buyer has full limited liability company power and authority to enter
into this Agreement and the documents to be delivered hereunder, to carry out its obligations hereunder and to consummate the transactions
contemplated hereby. The execution, delivery and performance by the Buyer of this Agreement and the documents to be delivered hereunder
and the consummation of the transactions contemplated hereby have been duly authorized by all requisite actions on the part of
the Buyer. This Agreement and the documents to be delivered hereunder have been duly executed and delivered by the Buyer, and (assuming
due authorization, execution and delivery by the Sellers) this Agreement and the documents to be delivered hereunder constitute
legal, valid and binding obligations of the Buyer enforceable against the Buyer in accordance with their respective terms.

 

4.2       No
Conflicts; Consents.  The execution, delivery and performance by the Buyer of this Agreement and the documents to be delivered
hereunder, and the consummation of the transactions contemplated hereby, do not and will not: (a) violate or conflict with the
certificate of incorporation, by-laws or other organizational documents of the Buyer; or (b) violate or conflict with any judgment,
order, decree, statute, law, ordinance, rule or regulation applicable to the Buyer. No consent, approval, waiver or authorization
is required to be obtained by the Buyer from any person or entity (including any governmental authority) in connection with the
execution, delivery and performance by the Buyer of this Agreement and the consummation of the transactions contemplated hereby.

 

4.3       Legal
Proceedings.  There is no Action of any nature pending or, to the Buyer’s Knowledge, threatened against or by the
Buyer that challenges or seeks to prevent, enjoin or otherwise delay the transactions contemplated by this Agreement.

 

4.4       Brokers.
No broker, finder or investment banker is entitled to any brokerage, finder’s or other fee or commission in connection
with the transactions contemplated by this Agreement based upon arrangements made by or on behalf of the Buyer.

 

4.5       Solvency.
Assuming satisfaction of the conditions to this Agreement, and after giving effect to the transactions contemplated hereby, payment
of all amounts required to be paid in connection with the consummation of the transactions contemplated hereby, and payment of
all related fees and expenses, the Buyer and its respective affiliates will not be insolvent as of the Closing and immediately
after the consummation of the transactions contemplated hereby.

 

Article
5

Covenants

 

5.1       Public
Announcements. From and after the Closing, unless otherwise required by applicable law, the Sellers shall not make any
public announcements or share any material information with any third party regarding this Agreement or the transactions contemplated
hereby without the prior written consent of the Buyer.

 

5.2       Bulk
Sales Laws. The parties hereby waive compliance with the provisions of any bulk sales, bulk transfer or similar laws of
any jurisdiction that may otherwise be applicable with respect to the sale of any or all of the Purchased Assets to the Buyer.

 

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5.3       Transfer
Taxes. All Taxes incurred in connection with this Agreement and the documents to be delivered hereunder shall be borne
and paid by the Company when due. The Company shall, and the Seller Principals shall cause the Company to, at its own expense,
timely file any Tax Return or other document with respect to such Taxes (and the Buyer shall cooperate with respect thereto as
necessary).

 

5.4       Name
Change. Within five (5) business days following the Closing, the Company shall, and the Seller Principals shall cause the
Company to, change its name and do such other things as shall be necessary to permit the Buyer to assume and use the name “Luxemark
Capital” and derivations thereof and use all other names utilized by the Company in operating the Business as an ongoing
concern. Without limiting the foregoing, the Company shall not, and the Seller Principals shall cause the Company not to, use the
name “LuxeMark Capital” in commerce or otherwise following the Closing.

 

5.5       Post-Closing
Company Operations. Promptly following the Closing, the Company shall, and the Seller Principals shall cause the Company
to, cease all of its operations (whether or not related to the Business) with the following exceptions: (i) owning and maintaining
all rights and obligations associated with the Equity Consideration; (ii) receiving, if any, Initial Earn-Out payments or Performance
Based Earn-Out Payments; (iii) entering into a consulting agreement with Abraham Zeines; and (iv) filing and paying all such fees,
franchise taxes and other costs associated with or ancillary to the biennial statement that the Company is required to file in
the State of New York (along with any earlier filings with the State of New York that were not timely made). If, in the Buyer’s
sole discretion, the Company is conducting any operations other than those explicitly set forth above, the Buyer maintains the
right to require the Company to wind up its affairs in accordance with the law of the state of the Company’s organization
(including, for the avoidance of doubt, establishing any reserves for Liabilities of the Company that are necessary or advisable
under such state law) and dissolve its existence under such state law.

 

5.6       Biennial
Statement. Within ten (10) business days following the Closing, the Seller Principals shall cause the Company to file the
biennial statement that it is required to file with the State of New York and shall pay all such fees, franchise taxes and other
costs associated with or ancillary to such filing and any earlier filings with the State of New York that were not timely made.

 

5.7       Further
Assurances. From and after the Closing, each of the parties hereto shall execute and deliver such additional documents,
instruments, conveyances and assurances and take such further actions as may be reasonably required to carry out the provisions
hereof and give effect to the transactions contemplated by this Agreement and the documents to be delivered hereunder. To the extent
that the Company’s rights under any Assigned Contract that is an Assumed Liability or any Transferred Permit that is a Purchased
Asset, or any other Purchased Asset, may not be assigned or transferred to the Buyer without the consent, authorization or waiver
of another person or entity which has not been obtained, this Agreement shall not constitute an agreement to assign or transfer
the same if an attempted assignment would constitute a breach thereof or be unlawful, and the Company shall reasonably cooperate,
at the Company’s expense, in the Company’s obtaining any such required consent(s), authorization(s) or waiver(s) as
promptly as possible. Notwithstanding the foregoing, except as required under applicable law (in which case, the Company shall
be solely responsible for such payment), neither the Company nor the Buyer (or any of their respective affiliates) shall be required
to pay any form of consideration to any third party to obtain any consent, authorization or waiver. Pending obtaining such consent,
authorization or waiver, the Company and the Buyer shall use their commercially reasonable efforts to cooperate with each other
to agree to any reasonable and lawful arrangements designed to provide to the Buyer the benefits such Purchased Asset or Assigned
Contract that it would have obtained had the Purchased Asset or Assigned Contract been assigned and transferred to the Buyer at
the Closing. Once the required consent, authorization or waiver is obtained, the Company shall, or shall cause its relevant affiliates
to, assign and transfer such Purchased Asset or Assigned Contract to the Buyer at no additional cost to the Buyer. The Company
shall hold in trust for and pay to the Buyer promptly upon receipt thereof, all income, proceeds and other monies received by the
Company or any of its affiliates in connection with its use of any Purchased Asset or Assigned Contract (net of any income Taxes
and any other costs imposed upon the Company) in connection with the arrangements under this Section 5.7, and the Buyer
shall be responsible for all economic liabilities incurred in the aforesaid use of such Purchased Asset or performance of such
Assigned Contract (except to the extent arising out of any breach or violation of, or default under, any applicable law or contract
by the Company or its affiliates).

 

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Article
6

Indemnification

 

6.1       Survival.
All representations, warranties, covenants and agreements contained herein and all related rights to indemnification shall
survive the Closing.

 

6.2       Indemnification
by the Sellers. The Sellers shall jointly and severally defend, indemnify and hold harmless the Buyer, its affiliates and
their respective stockholders, directors, officers and employees (each a “Buyer Indemnified Party”)
from and against all claims, judgments, damages, liabilities, settlements, losses, costs and expenses, including attorneys’
fees and disbursements (each a “Loss”), sustained or incurred by the Buyer Indemnified Parties (or any of them)
to the extent directly or indirectly resulting from, or arising out of, any of the following:

 

(a)       any
breach or failure to be true of any representation or warranty of the Sellers contained herein or contained in any certificate
or instrument of any officer of the Company required to be delivered pursuant to this Agreement;

 

(b)       any
breach or non-fulfillment of any covenant or other agreement made or to be performed by any Seller contained herein or any ancillary
agreement or any certificate or other instrument required to be delivered by any Seller pursuant to this Agreement;

 

(c)       any
fraud, willful breach or intentional misrepresentation by any Seller (or any of its agents); and

 

(d)       any
Excluded Liabilities.

 

6.3       Indemnification
by the Buyer. The Buyer shall defend, indemnify and hold harmless each of the Sellers, its affiliates and their respective
stockholders, directors, officers and employees (each a “Seller Indemnified Party”) from and against
all Losses sustained or incurred by the Seller Indemnified Parties (or any of them) to the extent directly or indirectly resulting
from, or arising out of, any of the following:

 

(a)       any
breach or failure to be true of any representation or warranty of the Buyer contained herein or contained in any certificate or
instrument of any officer of the Buyer required to be delivered pursuant to this Agreement;

 

(b)       any
breach or non-fulfillment of any covenant or other agreement made or to be performed by the Buyer contained herein or any ancillary
agreement or any certificate or other instrument required to be delivered by the Buyer pursuant to this Agreement; and

 

(c)       any
fraud, willful breach or intentional misrepresentation by the Buyer (or any of its agents).

 

6.4       Materiality
and Knowledge Qualifiers. For the purposes of this Article VI, when determining the amount of Losses suffered by
a Buyer Indemnified Party or a Seller Indemnified Party as a result of any breach, inaccuracy or failure, or the occurrence, determination
or existence of such breach, inaccuracy or failure, of any representation, warranty, covenant or agreement given or made by any
Seller or the Buyer, as applicable, that is qualified or limited in scope as to materiality or knowledge, such representation,
warranty, covenant or agreement shall be deemed to be made or given without such qualification or limitation.

 

    16 

     

    

 

6.5       Indemnification
Procedures. Whenever any claim shall arise for indemnification hereunder, the Seller Indemnified Party or the Buyer Indemnified
Party shall promptly provide written notice of such claim to the other party (the “Indemnifying
Party”). In connection with any claim giving rise to indemnity hereunder resulting from or arising out of any Action
by a person or entity who is not a party to this Agreement, the Seller Indemnified Party or the Buyer Indemnified Party, as applicable,
may assume the defense of any such Action with counsel reasonably satisfactory to the Indemnifying Party. The Indemnifying Party
shall be entitled to participate in the defense of any such Action, with its counsel and at its own cost and expense. If the Seller
Indemnified Party or the Buyer Indemnified Party, as applicable, does not assume the defense of any such Action, the Indemnifying
Party may do so, but only if and to the extent it defends against such Action vigorously and in good faith. The Indemnifying Party
shall not settle any Action without the Indemnified Party’s prior written consent.

 

6.6       Right
of Set-Off; Pledge Security. The Buyer or the Sellers may set-off any Losses for which a Buyer Indemnified Party or a Seller
Indemnified Party is indemnified under this Agreement by the Sellers or the Buyer, as applicable, from any amounts payable to the
Sellers or the Buyer pursuant this Agreement. For the avoidance of doubt, such set-off right of the Buyer shall include, but not
limited to, the Earn-Out. Each of the Sellers acknowledge and agree that the Sellers’ indemnification obligations pursuant
to this Article VI shall additionally be secured by the Equity Consideration and a pledge thereof pursuant to the Pledge Agreement.

 

6.7       Miscellaneous.
All indemnification payments made by any party under this Agreement shall be treated by the parties as an adjustment to the
Purchase Price for tax purposes, unless otherwise required by law. The Buyer’s right to indemnification or other remedy based
on the representations, warranties, covenants and agreements of the Sellers contained herein will not be affected by any investigation
conducted by the Buyer with respect to, or any knowledge acquired by the Buyer at any time, with respect to the accuracy or inaccuracy
of or compliance with, any such representation, warranty, covenant or agreement. The rights and remedies provided in this Article
VI are cumulative and are in addition to and not in substitution for any other rights and remedies available at law or in equity
or otherwise.

 

 

Article
7

Miscellaneous

 

7.1       Expenses.
All costs and expenses incurred in connection with this Agreement and the transactions contemplated hereby shall be paid by
the party incurring such costs and expenses.

 

7.2       Notices.
All notices, requests, consents, claims, demands, waivers and other communications hereunder shall be in writing and shall
be deemed to have been given: (a) when delivered by hand (with written confirmation of receipt); (b) when received by the addressee
if sent by a nationally recognized overnight courier (receipt requested); (c) on the date sent by facsimile or e-mail of a PDF
document (with confirmation of transmission) if sent during normal business hours of the recipient, and on the next business day
if sent after normal business hours of the recipient; or (d) on the third day after the date mailed, by certified or registered
mail, return receipt requested, postage prepaid. Such communications must be sent to the respective parties at the applicable address
specified on the signature page to this Agreement.

 

7.3       Headings.
The headings in this Agreement are for reference only and shall not affect the interpretation of this Agreement.

 

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7.4       Severability.
If any term or provision of this Agreement is invalid, illegal or unenforceable in any jurisdiction, such invalidity, illegality
or unenforceability shall not affect any other term or provision of this Agreement or invalidate or render unenforceable such term
or provision in any other jurisdiction.

 

7.5       Entire
Agreement. This Agreement and the documents to be delivered hereunder constitute the sole and entire agreement of the parties
to this Agreement with respect to the subject matter contained herein, and supersede all prior and contemporaneous understandings
and agreements, both written and oral, with respect to such subject matter. In the event of any inconsistency between the statements
in the body of this Agreement and the documents to be delivered hereunder and Schedules (other than an exception expressly set
forth as such in the Schedules), the statements in the body of this Agreement will control.

 

7.6       Successors
and Assigns. This Agreement shall be binding upon and shall inure to the benefit of the parties hereto and their respective
successors and permitted assigns. None of the Sellers may assign its rights or obligations hereunder without the prior written
consent of the Buyer, which consent shall not be unreasonably withheld or delayed. No assignment shall relieve the assigning party
of any of its obligations hereunder.

 

7.7       No
Third-Party Beneficiaries. Except as provided in Article VI, this Agreement is for the sole benefit of the parties
hereto and their respective successors and permitted assigns and nothing herein, express or implied, is intended to or shall confer
upon any other person or entity any legal or equitable right, benefit or remedy of any nature whatsoever under or by reason of
this Agreement.

 

7.8       Amendment
and Modification. This Agreement may only be amended, modified or supplemented by an agreement in writing signed by each
party hereto.

 

7.9       Waiver.
No waiver by any party of any of the provisions hereof shall be effective unless explicitly set forth in writing and signed
by the party so waiving. No waiver by any party shall operate or be construed as a waiver in respect of any failure, breach or
default not expressly identified by such written waiver, whether of a similar or different character, and whether occurring before
or after that waiver. No failure to exercise, or delay in exercising, any right, remedy, power or privilege arising from this Agreement
shall operate or be construed as a waiver thereof; nor shall any single or partial exercise of any right, remedy, power or privilege
hereunder preclude any other or further exercise thereof or the exercise of any other right, remedy, power or privilege.

 

7.10       Governing
Law. This Agreement shall be governed by and construed in accordance with the internal laws of the State of Delaware without
giving effect to any choice or conflict of law provision or rule (whether of the State of Delaware or any other jurisdiction) that
would cause the application of laws of any jurisdiction other than those of the State of Delaware.

 

7.11       Submission
to Jurisdiction. Any legal suit, action or proceeding arising out of or based upon this Agreement or the transactions contemplated
hereby may be instituted in the federal courts of the United States of America or the courts of the State of Delaware in each case
located in Wilmington, Delaware, and each party irrevocably submits to the exclusive jurisdiction of such courts in any such suit,
action or proceeding.

 

7.12       Waiver
of Jury Trial. Each party acknowledges and agrees that any controversy which may arise under this Agreement is likely to
involve complicated and difficult issues and, therefore, each such party irrevocably and unconditionally waives any right it may
have to a trial by jury in respect of any legal action arising out of or relating to this Agreement or the transactions contemplated
hereby.

 

    18 

     

    

 

7.13       Specific
Performance. The parties agree that irreparable damage would occur if any provision of this Agreement were not performed
in accordance with the terms hereof and that the parties shall be entitled to specific performance of the terms hereof, in addition
to any other remedy to which they are entitled at law or in equity.

 

7.14       Counterparts.
This Agreement may be executed in counterparts, each of which shall be deemed an original, but all of which together shall
be deemed to be one and the same agreement. A signed copy of this Agreement delivered by facsimile, e-mail or other means of electronic
transmission shall be deemed to have the same legal effect as delivery of an original signed copy of this Agreement.

 

[SIGNATURE PAGE FOLLOWS]

 

    19 

     

    

 

IN WITNESS WHEREOF,
the parties hereto have caused this Agreement to be executed as of the date first written above by their respective officers thereunto
duly authorized.

 

	 	
        LUXEMARK CAPITAL LLC

         

         

	 	
        By /s/ Oskar Kowalski

        Name: Oskar Kowalski

        Title: Managing Member

	 	
         

         

        /s/ Avraham Zeines

        Avraham Zeines

         

         

        /s/ Oskar Kowalski

        Oskar Kowalski

         

         

        /s/ Kamil Blaszczak

        Kamil Blaszczak

         

         

	 	
        30 Broad Street

        12th Floor, Suite
        1201

        New York, NY 10004

	 	
         

        With a copy to:

         

        New Venture Attorneys, P.C.

        101 Church Street, Suite 22

        Los Gatos, CA 95030

        Attn: Tomer Tal

        Email: tomer@newventureattorneys.com

         

 

 

[Signature Page to Asset Purchase Agreement]

     

     

    

 

IN WITNESS WHEREOF,
the parties hereto have caused this Agreement to be executed as of the date first written above by their respective officers thereunto
duly authorized.

 

 

	 	
        LM CAPITAL SOLUTIONS, LLC

         

         

	 	
        By /s/ Wayne Barr

        Name: Wayne Barr

        Title: President

	 	 
	 	c/o CCUR Holdings, Inc.
	 	
        4375 River Green Parkway

        Suite 210

        Duluth, GA

        United States

	 	 
	 	 With a copy to:

 

Moore & Van Allen PLLC

100 North Tryon Street, Suite 4700

Charlotte, NC 28202

Attn: Michael R. Miller

Email: michaelmiller@mvalaw.com

 

[Signature Page to Asset Purchase Agreement]Exhibit 10.2

 

EXECUTION VERSION

 

 

MANAGEMENT AGREEMENT 

BETWEEN 

CCUR HOLDINGS, INC. 

AND 

CIDM LLC

 

 

This management agreement,
dated as of February 14, 2019 (this “Agreement”), is between CIDM LLC, a Delaware limited liability company
(the “Manager”), and CCUR Holdings, Inc., a Delaware corporation (the “Company”).

 

WHEREAS, the Company’s
business currently consists of real estate operations, identifying and acquiring fairly- to under-valued businesses that have growth
potential, creating operating activities and businesses that will enhance stockholder value, as well as managing its cash and tax
assets; and

 

WHEREAS, the Company
desires to avail itself of the experience, sources of information, advice, assistance, and certain facilities available to the
Manager and to have the Manager undertake the duties and responsibilities hereinafter set forth on behalf of and subject to the
supervision of the Board of Directors of the Company (the “Board”) in furtherance of the Company businesses;
and

 

WHEREAS, the Manager
is willing to accept the duties and the responsibilities with respect to the Assets of the Company as provided hereunder.

NOW, THEREFORE, in
consideration of the promises and mutual considerations provided in this Agreement, and intending to be legally bound, the Company
and the Manager agree as follows:

 

1.       Appointment;
Duties of the Manager.

 

(a)       Appointment.
The Company hereby appoints the Manager to serve as its asset manager on the terms and conditions set forth below, and the Manager
hereby accepts such appointment.

 

(b)       Duties
of the Manager. The Manager shall advise the Company with respect to managing and administering, from time to time, the assets
held from time to time by the Company and any assets owned by subsidiaries of the Company (such subsidiaries of the Company, “Subsidiaries”)
(such assets of the Company and any of the Subsidiaries, collectively, the “Assets”), which Assets shall include,
but not be limited to, operating businesses, real estate (owned and financed), other operating assets, liquid equity, debt, government
and money market securities, tax assets, and such other tangible and intangible resources intended by the Company to produce value.
Subject to the limitations set forth in this Agreement, including Section 4, and the continuing and exclusive authority of the
Board over the management of the Company, the Manager shall perform the following duties:

 

(i)       serve
as the Company’s asset manager and, when reasonably requested, provide the Board with reports in connection with the Assets
and investment policies;

 

(ii)       assist
the Company in the identification of potential business or entity acquisition candidates for the Company;

 

(iii)       assist
the Company in the performance of due diligence and underwriting duties as reasonably requested by the Board in order to permit
the Board to make reasonable business judgments as to the management, acquisition, and disposition of the Assets;

 

     

     

    

 

(iv)       assist
the Company in connection with formulating and implementing short-term investment strategies to periodically invest capital in
liquid securities;

 

(v)       monitor
and evaluate the performance of the Assets;

 

(vi)       from
time to time, or at any time reasonably requested by the Board, prepare and deliver reports to the Board of its performance of
services to the Company, as applicable under this Agreement; and

 

(vii)       do
all things reasonably necessary to assure its ability to render the services described in this Agreement.

 

2.       Assets;
Approved Allocation Plans.

 

(a)       Assets.
Subject to the terms and conditions of this Agreement, the appointment of the Manager in Section 1(a) above shall include (i) discretionary
trading authority with respect to equity and debt securities traded on a National Exchange (as defined below) (individually, a
“Publicly Traded Security,” and collectively, the “Trading Portfolio”) and (ii) advising
the asset management committee of the Board (the “Asset Management Committee”) regarding the asset allocation
strategy to be employed by the Company with respect to the Assets, taken as a whole (i.e., the percentage of Assets to be
held in each of the Portfolios (as defined below)).

 

(b)       Portfolios.
In addition to the Trading Portfolio, the Company may, from time to time, establish and maintain (i) one or more accounts at various
financial institutions into which cash and cash equivalents may be deposited and from which they may be withdrawn (the “Cash
Portfolio”) and (ii) one or more accounts to hold any securities (debt, equity, or hybrid) that are not Publicly Traded
Securities (individually, “Illiquid Securities,” and collectively, the “Illiquid Portfolio,”
and together with the Trading Portfolio, the Cash Portfolio, and the Subsidiaries, the “Portfolios”).

 

(c)       Approved
Allocation Plans. The Manager’s initial allocation plan with respect to the allocation of Assets among the Portfolios
shall be delivered by the Manager to the Company not later than March 31, 2019, which initial allocation plan shall be in form
and substance satisfactory to the Asset Management Committee (as accepted by the Asset Management Committee, the “Initial
Approved Allocation Plan”). At least ten (10) Business Days prior to the end of each calendar quarter, the Manager shall
prepare and deliver to the Asset Management Committee for its review and approval a new allocation plan with respect to the Assets,
which shall include (i) a description of the current holdings, NAV (as defined below), and allocation of Assets in each Portfolio
and (ii) a proposal, if any, for a rebalancing of Assets in each Portfolio based on the proposed target NAV of each Portfolio (each,
an “Approved Subsequent Allocation Plan,” and together with the Initial Approved Allocation Plan, the “Approved
Allocation Plans”).

 

(d)       For
purposes hereof, the “NAV” of the Assets (including any cash contributed) as of any date of determination means
the fair market value of the Assets, less any liabilities of the Company and after reduction
for all paid and accrued expenses (other than the accrued Management Fee and the accrued Performance Fee (if any)(as defined in
Schedule A), each as calculated by the Manager as of such Business Day, provided that, for all purposes of
this Agreement, until the Company disposes of an Illiquid Security, the NAV of such Illiquid Security shall be its cost basis,
less any write-downs or write-offs, as of such date of determination. A “Business Day” shall mean any day other
than a Saturday, Sunday, or other day on which commercial banks in New York, New York, are required or authorized by law to be
closed for business.

 

    2 

     

    

 

(e)       The
Manager shall manage the investment and reinvestment of the Trading Portfolio from time to time in accordance with the investment
limitations and guidelines set forth in Company’s Statement of Investment Policy, as in effect on the date hereof and as
amended by the Board from time to time (the “Investment Policy”) (a copy of which shall be provided to the Manager
concurrently with the execution of this Agreement and promptly following any amendment by the Board). Subject to the terms hereof,
the Manager undertakes to give to the Company the benefit of its best judgment, efforts, and facilities in the execution of its
duties hereunder within the investment objectives, strategies, and restrictions set forth in the Investment Policy. The Company
understands and acknowledges that there is no assurance that investment gains shall be achieved and that investment results may
vary substantially over time.

 

(f)       For
purposes hereof, “National Exchange” means any of the NASDAQ Global Select Market, the NASDAQ Global Market,
the NASDAQ Capital Market, the New York Stock Exchange, or the NYSE American, but excluding Pink Sheets. “Pink Sheets”
means the daily publication compiled by the National Quotation Bureau with bid and ask prices of over-the-counter (OTC) stocks,
including the market makers who trade them.

 

3.       Custody
and Counterparties.

 

(a)       Custodians.
The Assets constituting the Trading Portfolio, the Illiquid Portfolio, and the Cash Portfolio shall be held in one or more accounts
established in the name of the Company from time to time with such custodians, prime brokers, clearing agents, or other financial
institutions as may be selected by the Company (the “Custodians”). The Company will notify each Custodian of
the Manager’s authority hereunder and take all steps necessary or advisable to vest in the Manager all applicable authorities
to transact in the Portfolios as contemplated hereby. The Manager shall not cause or permit such Assets to be held by any person
other than a Custodian or to be commingled with the assets of any person other than the Company.

 

(b)       Counterparties.

 

(i)       The
Manager may select, in its discretion, any counterparties (including brokers and dealers through whom a transaction is effected
and counterparties from whom and to whom securities are bought and sold, as the case may be) to execute transactions for and with
the Company (the “Counterparties”). On or prior to the date of this Agreement, the Manager shall provide the
Company with a list of the Counterparties and shall promptly notify the Company in the event of any change or proposed change to
such list. During the term of this Agreement, the Company hereby authorizes the Counterparties to execute trades and transactions
for the Company in accordance with the Manager’s instructions; provided, however, at any time by notice to
the Manager, the Company may, in its discretion, revoke such authorization with respect to any individual Counterparty and require
the Manager to remove such Counterparty from the list. For the avoidance of doubt, following any such removal notice from the Company,
any pending but unsettled trades may proceed to settlement unaffected. In selecting a Counterparty to execute a particular transaction,
the Manager shall exercise its reasonable discretion and take into consideration the prompt execution of orders at the most favorable
prices obtainable, and in doing so shall consider a number of factors, including, without limitation, the overall direct net economic
result to the Company, the financial strength and stability of the counterparty, the efficiency with which the transaction is effected,
the ability to effect the transaction at all where a large block is involved, the availability of the counterparty to stand ready
to execute possibly difficult transactions in the future, and quality and reliability of the brokerage and research services made
available to the Manager for the direct benefit of the Company. No client commission (“soft dollar”) arrangement
between the Manager and a Counterparty covering commissions generated by the Assets shall be allowed without the prior written
consent of the Company and any such arrangement must comport with the safe harbor included in Section 28(e) of the Securities Exchange
Act of 1934, as amended (the “Exchange Act”) and Release No. 34-23170 promulgated thereunder. Each Counterparty,
for all purposes of this Agreement, unless otherwise expressly authorized under this Agreement, has no authority to act for or
represent the Company in any way or otherwise be deemed an agent of the Company.

 

    3 

     

    

 

(ii)       Neither
the Manager nor any partner, principal, employee, or other affiliate of the Manager shall directly or indirectly act (or receive
fees, commissions, compensation, or other payments for acting, either directly or indirectly, except for the Management Fees) as
a broker, dealer, underwriter, or principal with respect to any transaction relating to the Assets. The prohibitions established
in the preceding sentence shall include actions taken through any affiliate, related company, partnership, joint venture, and/or
entity wherein the Manager or such partner, principal, employee, or other affiliate has an economic interest, and such prohibitions
shall be construed in such a manner as to avoid any possibility of self-dealing or conflict of interest.

 

4.       Authority
of the Manager. Subject to the terms of this Agreement and any other investment restrictions or guidelines that may from time
to time be communicated in writing to the Manager by the Company or by the Company’s authorized agent, the Manager shall
have full discretion and authority, without obtaining the Company’s prior approval, to manage the investment and trading
of the Trading Portfolio. The authority granted under this Agreement shall remain in full force and effect until this Agreement
is terminated in accordance with Section 15, but any such revocation shall not affect any transaction consummated prior
to receipt of such notice of revocation.

 

5.       Investment
Limitations and Guidelines.

 

(a)       Investment
Guidelines. Without the prior written consent of the Company (which may be given with respect to specific transactions or generic
classes of transactions), the Manager shall not make any investment that would result in any limitations or investment restrictions
set out in the Investment Guidelines being exceeded or breached. If any of the Investment Guidelines are exceeded or breached,
the Manager shall promptly notify the Company and shall not make any investment that is likely to result in any Investment Guidelines
being further exceeded or breached. The Manager shall consult with the Company as to the action, if any, to be taken by the Manager
in light of any written change to the Investment Guidelines. An investment’s compliance with the Investment Guidelines shall
be determined on the date of purchase only, based on the price and characteristics of the investment on the date of purchase compared
to the NAV and the then-existing portfolio of Assets in the Portfolios as of the most recent valuation date, and the Manager shall
not be deemed to have breached the Investment Guidelines or this Agreement by reason of changes in value of an investment following
purchase or other events beyond the Manager’s control.

 

(b)       No
Cross or Principal Trades. Without the prior written consent of the Company, no Assets shall be sold or otherwise directly
or indirectly transferred to any other account managed or advised by the Manager or by any partner, principal, employee, or other
affiliate of the Manager, or to any client of the Manager or of any partner, principal, employee, or other affiliate of the Manager,
and no Assets shall be purchased or otherwise directly or indirectly acquired from, any account managed by the Manager or by any
partner, principal, employee, or other affiliate of the Manager or any client of the Manager or of any partner, principal, employee,
or other affiliate of the Manager. The prohibitions established in this paragraph shall include purchases or sales or transfers
to or from any account or client managed or advised by any affiliate, related company, partnership, joint venture, or entity wherein
the Manager or any partner, principal, employee, or other affiliate of the Manager has an economic interest.

 

    4 

     

    

 

(c)       Agreements.
Without the prior written consent of the Company, the Manager shall not have the authority to make and execute, in the name and
on behalf of the Company, any documents, including the opening of securities accounts or derivatives accounts (including ISDA and
repurchase agreements). Furthermore, without the prior written consent of the Company, the Manager shall not have the authority
to retain any sub-advisors for the Company or invest the Assets in any collective investment vehicle, other than mutual funds.
For the avoidance of doubt, only the Company is authorized to execute any investment documents relating to the Illiquid Securities.

 

(d)       Proxies.
The Manager shall vote all proxies in accordance with the written instructions of the Company as and when provided to the Manager;
provided, that if the Company does not provide the Manager written instructions with respect to voting, the Manager shall
vote all proxies in accordance with the best interests of the Company as determined by the Manager in its reasonable discretion.
The Manager shall provide voting recommendations when and as reasonably requested by the Company. The Manager’s proxy policy
shall be provided to the Company upon request. The Manager is authorized and directed to instruct the Custodian to (i) forward
promptly to the Manager copies of all proxies and shareholder communications relating to securities held in the Portfolios and
(ii) after the date hereof, provide one copy of all proxies and shareholder communications relating to securities held in the Portfolios
to the Company and one copy of such materials to the Manager. Notwithstanding any provision herein to the contrary, without the
Company’s prior written consent, the Manager shall not make any investment on behalf of the Company hereunder that would
result in the Company (together with the Company’s Affiliates and such other persons or parties acting as a group together
with the Company or any of the Company’s Affiliates) beneficially owning more than 4.9% of the then outstanding common stock
of any entity that has a class of securities registered under Section 12 of the Securities Exchange Act or which is subject to
Section 15(d) of the Securities Exchange Act. For purposes of this Section 5(d), beneficial ownership shall be calculated in accordance
with Section 13(d) of the Securities Exchange Act and the rules and regulations promulgated thereunder.

 

(e)       Illiquid
Investments.

 

(i)       The
documentation for each Illiquid Investment shall be completed only by the Company, and the Manager shall have no authority to bind
the Company whatsoever in respect of the Illiquid Portfolio.

 

(ii)       Any
instruments and other investment documentation evidencing any investment in Illiquid Securities shall be held by the Custodian,
with a copy provided to the Company.

 

(iii)       The
Company shall have (A) sole authority to exercise all of the voting, approval, veto, and consent rights associated with the Illiquid
Security (“Voting Rights”) and to sell or otherwise dispose of any Illiquid Securities and (B) the authority
to execute and deliver, or instruct the Custodian to execute and deliver, any resolutions, consents, or other documentation reasonably
necessary to reflect the exercise of any of such Voting Rights, and, in the event of a sale or other disposition, to execute and
deliver any instruments or certificates of ownership to the purchaser thereof.

 

(iv)       In
the event an Illiquid Security becomes a Publicly Traded Security, such investment shall be reclassified under this Agreement as
an Asset in the Trading Portfolio and no longer an Illiquid Security.

 

    5 

     

    

 

6.       Fees
and Expenses.

 

(a)       For
the Manager’s services under this Agreement, the Company agrees to pay to the Manager the fees that the Portfolios shall
bear or to reimburse the Manager for the expenses (such expenses to be payable out of the Assets of the Portfolios) stated in Schedule
A. Expenses shall be due and payable from the Portfolios within thirty (30) calendar days after the Company’s receipt
of the Manager’s invoice and documentation for the relevant expenses, subject to (i) the Company’s verification thereof
to its reasonable satisfaction and (ii) the Company’s prompt receipt of documentation evidencing the expenses. In the event
that the Company disputes any expense, it shall notify the Manager, and the two parties shall work together in good faith to determine
reasonable expenses mutually acceptable to them. Notwithstanding any other provision of this Agreement, when the nature or amount
of such expense is the subject of dispute between the parties, any expense that is not disputed shall be payable by the Company
in accordance with the terms set forth herein, and the remainder, if any, shall be payable at the time that such dispute is resolved.

 

(b)       Except
for the Illiquid Portfolio which shall be valued at cost (less write-downs and write-offs) and the Subsidiaries which shall be
marked to market based on third party valuations, the Assets shall be valued by the Manager in accordance with the valuation policies
of the Manager, which such policies shall be provided to the Company from time to time upon request.

 

(c)       All
calculations of fees contemplated by this Agreement shall be performed by the Manager, and promptly following the end of each quarter
in the case of Management Fees (as defined in Schedule A), the Manager will deliver to the Company an invoice setting forth
the Manager’s calculation of the amount of the relevant fee showing the methods and sources for determining such valuations
and calculations and any work-sheets showing how the valuations and calculations were calculated. Fees shall be due and payable
from the Portfolios within thirty (30) calendar days after receipt of the Manager’s invoice for the relevant quarter in the
case of Management Fees, subject to (i) the Company’s verification thereof to its reasonable satisfaction and (ii) retention
of reserves for contingencies related to the Portfolios reasonably determined by the Company to be appropriate until the contingency
has been resolved. In the event that the Company or the Manager disputes any valuation or calculation, it shall notify the other
party, and the two parties shall work together (with the Custodian) in good faith to determine a valuation or fee mutually acceptable
to them. Notwithstanding any other provision of this Agreement, when the nature or amount of such fee is the subject of dispute
between the parties, the lower fee calculated by either the Company or the Manager, as applicable, shall be payable by the Company
in accordance with the terms set forth in herein, and the remainder, if any, shall be payable at the time that such dispute is
resolved.

 

7.       Allocation
of Opportunities.

 

(a)       The
Manager will act in a fair and reasonable manner in allocating investment and trading opportunities among the Company and any other
account managed by the Manager or any of its affiliates. In furtherance of the foregoing, the Manager will consider participation
by the Company in all appropriate opportunities within the purpose and scope of the Company’s objectives that are under consideration
for the accounts of other clients of the Manager or any of its affiliates, and the Manager will evaluate such factors as it considers
relevant in determining whether a particular situation or strategy is suitable and feasible for the Company.

 

(b)       When
the Manager determines that it would be appropriate for the Company to participate in an investment opportunity, the Manager will
execute orders on a basis that is equitable. In such situations, the Manager will use reasonable efforts to place orders for the
Company and each such other managed account simultaneously and if all such orders are not filled at the same price, the Manager
will cause the Company to pay or receive a price that is no less favorable than the average of the prices at which the orders were
filled for the Company, all managed accounts and its own proprietary capital. If all such orders cannot be fully executed under
prevailing market conditions, the Manager will allocate, in an equitable manner among the Company and such other accounts, the
orders that are capable of being executed. The Manager shall not be prohibited from co-investing in any investment opportunities
it presents to the Company.

 

    6 

     

    

 

8.       Access
to Information.

 

(a)       Other
Information. The Manager shall furnish information as the Company may reasonably request to monitor compliance with the requirements
of this Agreement.

 

(b)       Records.
The Manager shall retain, for a period of at least seven (7) years, copies (including electronic copies) of any documents generated
or received by the Manager in the ordinary course of business pertaining to the financial condition of the Company or to the compensation
payable to the Manager. At the request of the Company, which request shall be made at least five (5) Business Days in advance,
the Manager shall allow the Company or the Company’s independent auditors reasonable access to such documents during customary
business hours and shall permit the Company or the Company’s auditors to make copies thereof or extracts therefrom at the
expense of the Company.

 

(c)       Investment
Adviser Assignment. The Manager shall not make an “assignment” of this Agreement, as such term is defined in Section
202(a)(1) of the Advisers Act, unless such assignment is permitted under the Advisers Act and the Company has consented thereto
in accordance with Section 23.

 

(d)       Taxes.
Upon the request of the Company, the Manager shall provide such information or documentation as is reasonably available to the
Manager and relevant to the Company’s application for a refund or an exemption of any taxes imposed by any taxing authority
with respect to income generated by the Company.

 

(e)       Performance.
Within forty-five (45) days following the end of each quarter, the Manager will provide the Company with a written report, substantially
similar in form and substance to the investor letter the Manager currently delivers to its other advisory clients, summarizing
drivers of portfolio performance for the Company.

 

(f)       Due
Diligence. The Manager agrees that the Company shall have the right to conduct a yearly on-site back office review of the Manager’s
administration and operations relating to the Company and that the Manager shall cooperate with and fulfill such documentary and
other due diligence and verifications as are made by the Manager during such reviews and on an ongoing basis between such reviews.

 

9.       Scope
of Liabilities; Indemnification.

 

(a)       The
Manager shall indemnify and hold harmless the Company and its affiliates and the respective trustees, affiliates, officers, agents,
and employees of any of them, from and against any and all losses, claims, demands, actions, or liability of any nature, including
but not limited to reasonable attorneys’ fees, expenses, and court costs, directly arising or resulting from any act or omission
constituting bad faith, fraud, willful misconduct, negligence, breach of this Agreement, breach of applicable fiduciary duty, or
violation of applicable Law (as defined in Section 11(b)) by any of the Manager, its affiliates, and any of their respective
partners, members, shareholders, directors, officers, employees, or agents of any of them.

 

    7 

     

    

 

(b)       The
Company shall indemnify and hold harmless the Manager from all liabilities, obligations, losses, damages, suits, and expenses which
may be incurred by or asserted against the Manager resulting from the Company’s material breach of this Agreement.

 

(c)       The
availability to a party of the indemnification provided in this Section 9 shall not preclude the exercise of any other rights,
at law or in equity, which such party may have against the other party.

 

10.       Independent
Contractor. For all purposes of this Agreement, the Manager shall be an independent contractor and not an employee or dependent
agent of the Company, nor shall anything herein be construed as making the Company a partner or co-venturer with the Manager or
any of its affiliates or other clients. Except as provided in this Agreement, the Manager shall not have any authority to bind,
obligate, or represent the Company.

 

11.       Representations
of the Manager. The Manager hereby represents and warrants to the Company as follows, which representations and warranties
shall be deemed repeated at and as of all times during the term of this Agreement including without limitation in connection with
each call for a capital contribution by the Company:

 

(a)       Organization
and Authority. The Manager is a limited liability company duly organized, validly existing, and in good standing under the
laws of Delaware and has full power and authority to carry on its business as it has been and is conducted. The execution and delivery
of this Agreement and the consummation of the transactions contemplated hereby are within the power and authority of the Manager
and have been duly authorized by all necessary corporate and other action, and constitute legal, valid, and binding obligations
enforceable against the Manager in accordance with their respective terms.

 

(b)       No
Breach. Neither the execution and delivery of this Agreement nor the consummation of the transactions contemplated herein will
(i) violate any agreement to which the Manager is a party or by which it is bound, or any law, statute, regulation, rule, vote,
order, injunction, or approval of any government or political subdivision or any agency, central bank or other instrumentality
of either, or any court, tribunal, arbitrator, or self-regulatory organization, in each case whether domestic, foreign, or international
(any of such being defined herein as “Law”) or (ii) any provision of the Manager’s organizational documents,
or any indenture, agreement, or instrument to which the Manager is a party or by which any of its assets or properties is bound,
or conflict with, result in a breach of or constitute (with due notice or lapse of time or both) a default under any such indenture,
agreement, or instrument.

 

(c)       Investigations.
None of the Manager or, to the Manager’s actual knowledge, any of its officers, partners, members, managers, directors, employees,
or affiliates are the subject of any formal investigation for violation of any applicable law, rule, or regulation or subject to
a prohibition or suspension of trading privileges or other determination of an arbitrator on any securities exchange, board of
trade, or other organized market, court, or other government authority applicable or binding upon any such entity or person that
the Company has not previously been made aware of.

 

(d)       No
Violation of Law. None of the Manager, any of its principals or, to the Manager’s actual knowledge, any of its employees
is, or has ever been, (i) a party to (A) any proceeding (including an arrest, indictment, or formal investigation) brought by a
governmental agency, regulatory authority, or self-regulatory organization, or (B) any litigation or arbitration brought by any
third person, that (in the case of clause (A) or (B)) alleges the Manager or employee(s) is or was (w) acting in a manner that
constitutes fraud, gross negligence, or a breach of fiduciary duty, (x) failing to act where action would have been required to
avoid fraud, gross negligence, or a breach of fiduciary duty, (y) committing a felony or material securities or commodities regulation
violation, or (z) committing employment discrimination or sexual harassment under applicable law or engaging in any other disreputable
conduct, or (ii) to the Manager’s or Julian Singer’s (the “Key Person”) actual knowledge, the object
of any claim alleging any of the foregoing acts set forth in this subsection (d).

 

    8 

     

    

 

(e)       License,
Approvals, etc. The Manager has and will maintain all necessary governmental and regulatory licenses, approvals, and exemptions
to provide the services contemplated herein and such memberships in self-regulatory organizations as may be required by applicable
law. None of the Manager or any of its officers, employees, or agents has paid or agreed to pay any referral or solicitation fees
to anyone in connection with this Agreement.

 

(f)       Insurance.
The Manager has in place errors and omissions insurance adequate in light of its obligations and potential liabilities under this
Agreement. All such policies or binders of insurance are valid and enforceable in accordance with their terms and are in full force
and effect, and provide professional liability limits of at least five million dollars (US$5 million) per occurrence. There has
been no impairment of limits under any such policy or binder, and the Manager has not received notice of cancellation or non-renewal
of any such policy or binder. The Manager will, upon request, provide the Company with a list and brief description of the nature,
amount, and name(s) of carrier(s) of all such insurance or with copies of such insurance policies or other additional information
as may be appropriate. The Manager will promptly notify the Company in the event that any such coverage is modified, canceled,
or otherwise terminated.

 

(g)       Accuracy
of Documents. Each representation or warranty contained in this Agreement and each certificate or document furnished or to
be furnished to the Company by or on behalf of the Manager pursuant to this Agreement is or will be, as the case may be, true,
accurate, and complete.

 

(h)       Capacity.
The person or persons executing and delivering this Agreement on behalf of the Manager have all requisite power, authority, and
capacity to so execute and deliver them.

 

(i)       No
Material Adverse Change. Since December 31, 2017, there has not been, occurred, or arisen any material adverse change in the
financial condition or in the business of the Manager or any event, condition, or state of facts which materially and adversely
affects, or to its knowledge threatens to materially affect, the business or financial condition of the Manager.

 

(j)       Compliance.
The Manager is in compliance with all applicable laws, rules, and regulations, including, without limitation, the Advisers Act,
applicable state investment advisers statutes, and all other applicable laws, rules, and regulations related to investments or
which seek to prohibit or limit business activities which pose the potential for supporting or advancing terrorist related activities,
particularly business activities in sanctioned or sensitive foreign countries (as identified by the U.S. federal government, the
Department of Treasury, or the Securities and Exchange Commission).

 

(k)       Anti-Corruption.
Each of the Manager and, to the Manager’s actual knowledge, any of its officers, partners, members, managers, directors,
employees, or affiliates of the Manager (i) has used funds for lawful purposes, (ii) has not violated applicable anticorruption
laws, including without limitation the Foreign Corrupt Practices Act (“FCPA”), the United Kingdom Bribery Act
of 2010 (“UK Bribery Act”), and the OECD Convention on Combating Bribery of Foreign Public Officials in International
Business Transactions (“OECD Convention”), (iii) has not, directly or indirectly, given or offered anything
of value, including without limitation cash, contributions, gifts, or entertainment, to foreign or domestic government officials
or to any private commercial person or entity for the purpose of gaining an improper business advantage in violation of any such
applicable anticorruption laws, and (iv) has established sufficient internal controls and procedures to ensure compliance with
applicable anticorruption laws, including, without limitation, the FCPA, the UK Bribery Act, and the OECD Convention.

 

    9 

     

    

 

(l)       No
Litigation. No litigation, proceeding, or formal investigation of or before any court, arbitrator, or government authority,
including without limitation the Financial Conduct Authority of the United Kingdom, the Securities Commission, or any state securities
regulatory authority is, to the Manager’s actual knowledge, pending (i) asserting the invalidity or unenforceability of this
Agreement, (ii) seeking to prevent the consummation of any transactions contemplated by this Agreement, (iii) seeking any determination
or ruling that would reasonably be expected to have an adverse effect on the ability of the Manager to perform its obligations
under this Agreement, or (iv) claiming or alleging the violation of any law, rule, or regulation or the breach of applicable fiduciary
duties (a “Material Action”) by the Manager or any of its officers, partners, members, managers, directors,
employees, or affiliates and none of the Manager nor any of its officers, partners, members, managers, directors, employees, or
affiliates has been convicted or found guilty in connection with any Material Action.

 

The Manager shall promptly notify the Company
if any of the foregoing representations or warranties cease to be true.

 

12.       Representations
and Warranties of the Company. The Company hereby represents and warrants to the Manager as follows, which representations
and warranties shall be deemed repeated at and as of all times during the terms of this Agreement:

 

(a)       Organization
and Authority. The Company is a corporation duly organized, validly existing, and in good standing under the laws of Delaware
and has full power and authority to carry on its business as it has been and is conducted. The execution and delivery of this Agreement
and the consummation of the transactions contemplated hereby are within the power and authority of the Company have been duly authorized
by all necessary corporate and other action and constitute legal, valid, and binding obligations enforceable against the Company
in accordance with their respective terms.

 

(b)       No
Breach. Neither the execution and delivery of this Agreement nor the consummation of the transactions contemplated herein will
(i) violate any agreement to which the Company is a party or by which it is bound, Law, any provision of the Company’s organizational
documents, or any indenture, agreement or instrument to which the Company is a party or by which any of its assets or properties
is bound or (ii) conflict with, result in a breach of, or constitute (with due notice or lapse of time or both) a default under
any such indenture, agreement, or instrument.

 

(c)       Capacity.
The person or persons executing and delivering this Agreement on behalf of the Company have all requisite power, authority, and
capacity to so execute and deliver them.

 

(d)       Compliance.
Neither the Company nor any affiliate of the Company is included on either of the following lists:

 

(x)       the
U.S. Office of Foreign Assets Control list of foreign nations, organizations, and individuals subject to economic and trade sanctions,
based on U.S. foreign policy and national security goals (as such list is amended from time to time) (currently found at http://www.treas.gov.ofac);
or

 

(y)       the
list of individuals and groups with whom U.S. persons are prohibited from doing business because such persons have been identified
as terrorists or persons who support terrorism pursuant to U.S. Executive Order 13224 (as such list is amended from time to time)
(currently found at www.treas.gov/terrorism.html); and

 

    10 

     

    

 

the Company represents and warrants that:
(i) it is acting for its own account, risk, and beneficial interest; (ii) in its activities with the Manager, it will not employ
the services of a bank (a) with no physical presence in any country, (b) operating under a license that prohibits it from conducting
a banking business with the citizens of the licensing country or in the currency of that country, or (c) operating under a license
issued by a “Non-Cooperative Country,” as determined by the Financial Action Task Force; (iii) to the best of the Company’s
knowledge and belief, the funds the Company intends to transmit to the Portfolios are not derived from any criminal enterprise
or activity; and (iv) the Company agrees to provide the Manager with such information as it determines to be reasonably necessary
and appropriate to verify compliance with anti-money laundering, anti-terrorism, or similar regulations of any applicable jurisdiction
or to respond to requests for information concerning the Company’s identity from any governmental authority, self-regulatory
organization, or financial institution in connection with its anti-money laundering, anti-terrorism, or similar compliance procedures,
and to update such information as necessary.

 

13.       Covenants
of the Manager. The Manager covenants with the Company as follows:

 

(a)       Compliance
with Laws. The Manager:

 

(i)       shall
comply and cause each of its officers, partners, members, managers, directors, employees, fiduciaries, independent contractors,
representatives, agents, and affiliates to comply, with all governmental, regulatory, and exchange licenses, registrations, and
approvals required by law as may be necessary to perform its obligations under this Agreement and to perform such acts throughout
the term of this Agreement;

 

(ii)       shall
comply with all Laws applicable to it in its performance of this Agreement, including, without limitation, the Advisers Act and
applicable state investment advisers statutes;

 

(iii)       shall
ensure that it will be in compliance with all applicable United States federal anti-terrorism and anti-terrorist financing laws
and regulations related to investments, including, if applicable, the Uniting and Strengthening of America by Providing the Appropriate
Tools Required to Intercept and Obstruct Terrorist Act of 2001, as amended;

 

(iv)       shall,
and shall cause each of its officers, partners, members, managers, directors, employees, or affiliates to, (A) use funds for lawful
purposes, (B) not violate applicable anticorruption laws, including without limitation the FCPA, the UK Bribery Act, and the OECD
Convention, (C) not, directly or indirectly, give or offer anything of value, including, but not limited to, cash, contributions,
gifts, or entertainment, to foreign or domestic government officials or to any private commercial person or entity for the purpose
of gaining an improper business advantage in violation of any such applicable anticorruption laws, and (D) establish sufficient
internal controls and procedures to ensure compliance with applicable anticorruption laws, including, but not limited to, the FCPA,
the UK Bribery Act, and the OECD Convention;

 

(v)       shall
comply with all applicable federal laws and regulations related to investments, directly or through either a domestic or foreign
affiliate, in countries outside of the United States of America, related to laws and regulations which seek to prohibit or limit
business activities which pose the potential for supporting or advancing terrorist related activities, particularly business activities
in sanctioned or sensitive foreign countries (as identified by the U.S. federal government, the Department of Treasury, or the
Securities and Exchange Commission).

 

    11 

     

    

 

(b)       Duty
of Care. The Manager acknowledges that it is a fiduciary with respect to the Company and the management of the Portfolios under
this Agreement and shall act with the care, skill, prudence, and diligence then prevailing that a prudent expert, acting in like
capacity and familiar with such matters, would use in the conduct of investing a portfolio of securities with like objectives.

 

(c)       Use
of Name, etc. Without the prior written consent of the Company, the Manager and its affiliates shall not use the name of the
Company, or any of its affiliates, or any name derivative thereof, in any offering material, press release, brochure, notice, publication,
or marketing presentation, including any written communication made in connection with the offering of interests in any fund, account,
or other investment vehicle, except as may be required by applicable Law or a judicial order.

 

(d)       Examinations,
etc. If the Manager is subject to any non-routine examination or inspection, excluding sweeps and other general requests for
information, which involves or relates to the investment advisory activities of any of the Manager, its affiliates, principals,
partners, or employees, by any regulatory authority, including without limitation the Securities and Exchange Commission, to the
extent not prohibited by applicable law or regulatory instruction, the Manager shall promptly notify the Company and shall provide
to the Company a description of (i) the subject matter of such examination or inspection and (ii) the key legal issues of such
examination or inspection.

 

(e)       Notice
of Material Action. The Manager shall promptly notify the Company of any Material Action being instituted against it or any
of its officers, partners, members, managers, directors, employees, or affiliates, and will furnish the Company with a reasonably
detailed written explanation of such Material Action.

 

(f)       Filings
and Registrations. The Manager shall maintain during the term of this Agreement, all filings and registrations with governmental
and regulatory authorities necessary or required in order to perform its obligation hereunder.

 

(g)       Required
Reports. The Manager shall cause to be prepared and timely filed, with appropriate federal and state regulatory and administrative
authorities, all securities law reports required to be filed by the Company due to securities positions taken in the Portfolios
with those authorities under then current applicable laws, rules, and regulations.

 

(h)       Change
in Management. The Manager shall promptly notify the Company of any change or proposed change in the identity of any of the
individuals principally responsible for the management of the Portfolios.

 

(i)       Investment
Guidelines. If the Manager invests the Assets in violation of the Investment Guidelines, or the Investment Guidelines are violated
in any other way, the Manager will promptly notify the Company of such deviation or breach.

 

(j)       Most
Favored Nation. Neither the Manager nor any of its affiliates has entered into any side letter, investment management agreement,
or similar written agreement (collectively, “Separate Agreements”) with any other investor or prospective investor
investing an amount less than or equal to the capital commitment of the Company (“Capital Commitment”) in an
account managed by the Manager (a “Manager Account”) on or prior to the date hereof, except as provided to the
Company prior to the date of this Agreement. If the Manager or any of its affiliates shall in the future enter into any Separate
Agreement with a proposed or existing investor investing in a Manager Account an amount less than or equal to the Capital Commitment,
the Manager shall promptly furnish the Company with a summary of such Separate Agreement. The Manager agrees that it shall offer
all of such terms and rights in such existing and future Separate Agreements, to the extent applicable, to the Company, and if
the Company elects within sixty (60) days of receipt of such summary of Separate Agreements to be subject to such terms and rights,
the Company shall become subject to the same conditions to obtain such applicable terms and rights as are required of such other
investor. Notwithstanding any of the foregoing provisions of this clause (j), the Company acknowledges that it shall not (i) receive
any rights or benefits established in favor of another investor by reason of the fact that such other investor is subject to any
laws, rules, regulations, or policies to which the Company is not also subject, or (ii) receive any rights or benefits established
in favor of another investor based solely on the place of organization, or headquarters of, organizational form of, or other particular
restriction applicable to such other investor (unless such characteristics apply equally to the Company). The Manager may in its
sole discretion exclude any identifying information, including, without limitation, the name and address of the other investors,
from any summaries of the applicable Separate Agreements provided to the Company pursuant to this clause (j).

 

    12 

     

    

 

(k)       Material
Adverse Change. The Manager shall give the Company prompt (but no more than two (2) Business Days) written notice of any adverse
change in the Manager’s condition, financial, or otherwise, or in its business, or any other change which the Manager reasonably
believes is likely to have a materially adverse effect on the Manager or the Portfolios.

 

(l)       Bankruptcy
Event. The Manager shall give the Company prompt (but no more than two (2) Business Days) written notice of any actual Bankruptcy
Event. A “Bankruptcy Event” will be deemed to occur with respect to the Manager if: (i) the Manager or a Key
Person, pursuant to or within the meaning of the applicable bankruptcy law (A) commences a voluntary case; (B) consents to the
entry of an order for relief against it in an involuntary case; (C) consents to the appointment of a custodian of it or for all
or substantially all of its property; (D) makes a general assignment for the benefit of its creditors; or (E) is insolvent; or
(ii) if a court of competent jurisdiction enters an order or decree under the applicable bankruptcy law that: (A) is for relief
against the Manager or a Key Person; (B) appoints a custodian of the Manager or a Key Person or for all or substantially all of
the property of the Manager or a Key Person; or (C) orders the liquidation of the Manager; and the order or decree remains unstayed
and in effect for thirty (30) days.

 

(m)       Intentionally
Omitted.

 

(n)       Failure
of Counterparty. The Manager shall give the Company prompt (but no more than two (2) Business Days after the event) written
notice and take whatever actions as are reasonably requested by the Company if any Counterparty fails, within such reasonable period
as the Manager may decide (but in no event more than ten (10) Business Days after the required settlement date), to deliver any
security or necessary documents or, as the case may be, to pay any amount due.

 

(o)       Intentionally
Omitted.

 

(p)       Joint
Defense. The Manager shall, upon written request by the Company, enter in good faith into an agreement on terms reasonably
acceptable to the Company to cooperate in the defense of, and keep confidential all materials and information related to, any dispute,
claim, lawsuit, action, or other proceeding against the Company relating to any transaction, agreement, undertaking, obligation,
liability, or other event or circumstance contemplated by, resulting from, or related to this Agreement or the transactions contemplated
hereby.

 

14.       Time
Devotion.

 

(a)       The
Key Person shall devote as much time and attention to the Portfolios as is sufficient to ensure their proper and successful operation
and performance.

 

    13 

     

    

 

(b)       The
Manager shall notify the Company within two (2) Business Days in the event of (i) the reduction by the Key Person of his ownership
interest in the Manager from its level as of the date of this Agreement (including, without limitation, any involuntary reductions
thereof, such as those resulting from divorce or by operation of law) or (ii) the departure, death, or incapacity of the Key Person
or any other circumstances under which the Key Person is no longer devoting his full time to the Manager and as much time and attention
to the Portfolios as is sufficient to ensure their proper and successful operation and performance, or if he ceases to have a senior
management role with respect to the Manager (each such event described in clauses (i) and (ii), a “Key Person Event”).

 

15.       Termination.

 

(a)       This
Agreement shall commence as of the date first set forth above and shall continue in full force and effect until the date this Agreement
is terminated pursuant to one or more of the following provisions of this Section 15:

 

(i)       This
Agreement shall be subject to immediate termination for Cause at any time by written notice by the Company. “Cause”
means: (A) a material violation of applicable securities law or regulation by the Manager; (B) any act or omission by the Manager
or any of its principals or employees that constitutes fraud, material misrepresentation, negligence, breach of fiduciary duty,
or willful misconduct; (C) the commission by the Manager or any of its principals of employment discrimination, sexual harassment,
pornography, drug or arms trafficking, child molestation, or any felonious conduct that a reasonable person would find offensive,
reprehensible, or reasonably likely to cause embarrassment or reputational harm to the Company were this Agreement not terminated;
(D) a material breach of this Agreement, including, without limitation, a failure to timely provide the information required pursuant
to Section 8; (E) a Key Person Event; (F) transfer of twenty (20%) or more ownership of economic or voting interests in
the Manager to a third party who is not an affiliate of the Manager or an employee of the Manager; (G) the commencement by the
Manager of a lawsuit or administrative proceeding against Company, Company’s affiliates, or any of their affiliates, excluding
a lawsuit or proceeding whose sole claim is for nonpayment of fees when due; (H) the Company’s investment program as outlined
in the Investment Guidelines undergoes a material change, during any rolling 12-month period, which change is not approved by Company
in writing.

 

(ii)       This
Agreement may be terminated by either party upon ninety (90) days’ prior written notice.

 

(iii)       Any
notice of termination described in this Section 15(a), shall constitute a “Notice of Termination” for
purposes of this Agreement.

 

(b)       Upon
the effectiveness of either party’s Notice of Termination of this Agreement, the Manager shall, as and if directed by the
Company, (i) solely in respect of a termination by the Company for Cause or a termination by the Manager, immediately cease to
perform any and all of its investment management duties under this Agreement (including refraining from liquidating the Publicly
Traded Securities) and (ii) use its best efforts to liquidate positions in an orderly fashion, including by such date the Company
may set forth in a written notice to the Manager, if the Agreement was terminated by the Company for Cause or by the Manager (the
relevant completion date described in clauses (i) and (ii), the “Cessation of Services Date”). Upon termination
of this Agreement, the Manager shall be entitled to the undisputed amount of any Management Fees accrued through the Cessation
of Services Date. Notwithstanding any provision to the contrary in this Agreement, the Manager shall be entitled to payment without
prejudice of all outstanding or accrued Management Fees in the event of any termination of this Agreement, and the payment of such
Management Fees after termination of this Agreement shall otherwise be made in accordance with Section 6, this Section
15, and Schedule A in the same manner and based on the same calculations as would have been made in the absence of such
termination; provided, however, that if this Agreement is terminated for Cause or the Company otherwise has initiated a
claim based on a breach of this Agreement, the Company shall be entitled to withhold and offset against the fees otherwise payable
hereunder the amount the Company is entitled to recover from the Manager in accordance with this Agreement as a result of the actions
constituting such Cause for termination or such breach of this Agreement. A termination shall neither nullify obligations already
incurred for performance or failure to perform as of the date of termination nor affect any provision of this Agreement expressly
intended to survive termination, including Section 9.

 

    14 

     

    

 

(c)       Promptly
following delivery or receipt, as applicable, of a Notice of Termination, the Manager shall furnish to the Company a copy of all
relevant documentation in the Manager’s possession concerning rights, privileges, and obligations relating to any open Portfolio
positions at the time of such notice of termination.

 

(d)       Notwithstanding
termination of this Agreement, (i) except as otherwise expressly provided in this Agreement, the provisions of this Agreement shall
remain in effect for as long as any positions remain in the Portfolios for disposition by the Manager and at the Company’s
request and (ii) the provisions of Sections 6, 9, 10, 13(c), 13(d), 15, 17(a),
22, 23, 25, 26, 27, 28, 30, and 31 hereof shall survive such termination
and disposition of all Portfolio positions.

 

16.       Change
in Control of the Manager.

 

(a)       The
Manager shall notify the Company of any change or proposed change in the (i) identity of any of the persons constituting a partner
or principal of the Manager, or any successor thereto (including, without limitation, the departure of any partner or principal
of the Manager or any successor thereto) or (ii) identity of any of the persons principally responsible for the management of the
Portfolios or the amount of time any such person is devoting to the management of the Portfolios promptly upon the Manager’s
learning of such change or proposed change.

 

(b)       The
Manager shall immediately notify the Company in writing of any sale or other disposition (“Sale”) or proposed
Sale of any portion of the ownership interest in the Manager or any successor thereto to a person unaffiliated with the Manager
promptly upon the Manager’s learning of such Sale or proposed Sale.

 

17.       Confidentiality;
Information Barriers.

 

(a)       Except
as disclosure may be required by applicable law, the Manager shall maintain the strictest confidence regarding the Portfolios and
the business affairs of the Company.

 

(b)       It
is the intention of the parties that the Manager will provide discretionary investment management and non-discretionary advisory
services to the Company, upon the terms and subject to the conditions set forth in this Agreement, and that the Manager will do
so without reliance upon any information from the Company or any other affiliate of the Company as to the desirability of any investment.
Specifically, it is possible that the Company (or any of its affiliates) may from time to time obtain non-public information, including
by way of example information regarding corporate developments, earnings, or prospects regarding the issuers of certain securities
or other investments in the Manager’s universe of possible investments for the Portfolios. In order to enable the Manager
to invest without restriction as a result of the Company’s (or any of the Company’s affiliate’s) obtaining any
such information, the Manager agrees that:

 

    15 

     

    

 

(i)       neither
the Manager nor any of the Manager’s employees or agents will at any time discuss with employees or agents of the Company
or any other affiliate of the Company any material non-public information in respect of the issuer of any securities which the
Manager may from time to time consider for investment or disposition on behalf of the Company at any time in accordance with advice
or services provided by the Manager pursuant to this Agreement. In the event that the Company or any other affiliate of the Company
should at any time obtain any such material non-public information directly or indirectly from the Manager, the Company will inform
the Manager of such fact, and shall not take any action in respect of any investment to which it relates without the prior consent
of the Manager;

 

(ii)       neither
the Company nor any of its employees or agents will at any time discuss with employees or agents of the Manager any material non-public
information in respect of the issuer of any securities. In the event that the Manager should at any time obtain any such material
non-public information directly or indirectly from the Company (or any of its affiliates) the Manager will inform the Company (or
such person as the Company may from time to time designate for this purpose), and shall not take any action in respect of any investment
to which it relates without the prior consent of the Company; and

 

(iii)       the
Manager will act otherwise in accordance with such specifications as the Company may from time to time provide to the Manager in
this regard.

 

(c)       Notwithstanding
any provision to the contrary herein, the Company shall be permitted to disclose position-level information about the Portfolios
to service providers performing risk analytics and similar services; provided, that any such service providers receiving
position-level information shall be subject to industry standard confidentiality restrictions.

 

18.       Material
Non Public Information. The Manager acknowledges that it is aware, and agrees to advise its employees, representatives, and
advisors who are informed as to the matters that are the subject of this Agreement, that the United States securities laws prohibit
any person who has received from an issuer material, non-public information concerning the issuer or other matters which may be
the subject of this Agreement from purchasing or selling securities of such issuer or from communicating such information to any
other person under circumstances in which it is reasonably foreseeable that such person is likely to purchase or sell such securities.

 

19.       Standstill.
The Manager further agrees that neither it nor any of its Affiliates (defined below) nor any other person acting at its or its
Affiliates’ direct or indirect instruction will, directly or indirectly, alone, jointly, or in concert with any other person,
for a period of twelve (12) months after the date of this Agreement, without the prior written consent of the Board:

 

(i)       acquire,
announce an intention to acquire, offer or propose to acquire, or agree to acquire, directly or indirectly, by purchase or otherwise,
beneficial ownership of any: (x) of the issued and outstanding capital stock, equity securities, debt securities or indebtedness
of the Company or any of its subsidiaries (“Securities”), or (y) direct or indirect rights, options, or derivative
interests with respect to any Securities or any of the issued and outstanding capital stock, equity securities, debt securities,
or indebtedness of any person in control of the Company, or (z) assets or property of the Company or its subsidiaries, in each
case in an amount in excess of the Securities held by the Manager and its Affiliates on the date set forth above;

 

(ii)       (A)
make any statement or proposal, whether written or oral, to the Board or to any Company director or officer, or make any public
announcement or proposal whatsoever with respect to, or publicly support, a merger or other business combination, tender, or exchange
offer, sale, or transfer of assets or properties, recapitalization, reorganization, dividend, share repurchase, liquidation, or
other extraordinary corporate transaction with the Company or its subsidiaries or any other transaction which could result in a
change of control of the Company or (B) solicit or encourage any other person to make any such statement or proposal;

 

    16 

     

    

 

(iii)       make,
or in any way participate, directly or indirectly, in any “solicitation” of “proxies” (as such terms are
defined in Rule 14a-1 under the Securities Exchange Act of 1934, as amended (the “Exchange Act”)) to vote
or deliver a written consent with respect to any Securities, seek to advise, encourage, or influence any person or entity with
respect to the voting of any Securities or the delivery of a written consent with respect to any Securities, initiate or propose
any stockholder proposal or induce or attempt to induce any other person to initiate any stockholder proposal, or execute any written
consent, provided that this clause (iii) shall not prohibit the execution and delivery by the Manager or any of the Manager’s
representatives of a revocable proxy or consent in response to a public proxy contest or consent solicitation made generally to
all holders of Securities pursuant to, and in accordance with, the applicable rules and regulations under the Exchange Act;

 

(iv)       otherwise
act, alone or in concert with others, to seek or propose to control or influence the management, the Board, or policies or affairs
of the Company or any of its subsidiaries;

 

(v)       form,
join, or in any way participate in any “group” (within the meaning of Section 13(d) of the Exchange Act and the rules
and regulations promulgated thereunder) with respect to any Securities in connection with any of the foregoing;

 

(vi)       submit
a proposal (including any precatory proposal) to be considered by the stockholders of the Company, or take any action to nominate
any person for membership on the Board, or take any action to remove any director from the Board or to change the size or composition
of the Board;

 

(vii)       take
any action that could reasonably be expected to require the Company to make a public announcement regarding the possibility of
a transaction with the Manager or any of the Manager’s Affiliates or any of the other events described in this Section;

 

(viii)       take
any action challenging the validity or enforceability of this Section;

 

(ix)       advise,
assist, encourage, instruct, or direct any other person to do any of the foregoing;

 

(x)       make
a public request to the Company or its stockholders to take any action in respect of the foregoing matters or request that the
Company amend or waive any provision of this Section 19; or

 

(xi)       publicly
disclose any intention, plan, or arrangement inconsistent with the foregoing.

 

Notwithstanding the foregoing,
the Manager shall be permitted to take any action expressly permitted pursuant to any definitive written agreement with the
Company. As used in this Agreement, “Affiliates” means (1) with respect to the Manager, those persons who are
included in the Schedule 13D or Schedule 13G, as applicable, filed with the SEC and from time to time with respect to the Manager’s
beneficial ownership of the Company’s securities and (2) with respect to the Manager or any other person or entity, any other
person or entity that directly or indirectly controls, is controlled by, or is under common control with, the Manager or the Company
(as applicable), where “control” means (A) the possession, directly or indirectly, of the power to vote fifty
percent (50%) or more of the voting equity interests of an entity, (B) the possession, directly or indirectly, of the power to
direct or cause the direction of the management policies of a person or entity, or (C) being a director, officer, executor, trustee,
or fiduciary (or their equivalents) thereof. The Manager shall be permitted to vote any shares it owns in any manner it deems appropriate.

 

    17 

     

    

 

20.       Information.

 

(a)       Notwithstanding
any other provision in this Agreement, except as may be required by law or to the extent the information becomes generally available
to the public other than as a result of disclosure in breach of this Agreement, the Manager and its Affiliates, employees, agents,
and representatives (the “Manager Parties”) shall maintain the confidentiality of all confidential or proprietary
information of the Company (including the information delivered by the Company to the Manager pursuant to this Agreement) and agrees
not to disclose to any third party (other than its directors, officers, managers, employees, and advisors) any such confidential
or proprietary information without the prior consent of the Company.

 

(b)       The
Manager acknowledges that information disclosed to it under this Agreement may be non-public or inside information and agrees that
it shall, and shall cause the other Manager Parties to, comply with the requirements of any applicable laws, rules, and regulations
in relation to any dealings by any Manager Party in the Company’s securities.

 

(c)       In
the event that the Manager becomes aware that it or another Manager Party may reasonably expect to be required legally to publish
non-public information provided to it or them pursuant to this Agreement, the Manager shall give the Company prompt notice thereof
and shall consult with the Company, which shall engage promptly with the Manager to discuss. If, following such consultation, the
Manager determines, acting reasonably, it is required legally to publish such non-public information, the applicable Manager Party
may publish only such non-public information necessary to comply with such legal requirements and (to the extent legally permitted)
shall, upon request from the Company, delay such publication until after the Company has published such non-public information.

 

21.       MNPI
Cleansing. Any time after the expiration or termination of the Agreement, the Company hereby agrees that promptly (and, in
any event, not later than sixty (60) days) upon the reasonable request of the Manager, the Company shall issue a public press release
or file with the Securities and Exchange Commission a Current Report on Form 8-K, an Annual Report on Form 10-K (or an amendment
thereto), or a Quarterly Report on Form 10-Q (or an amendment thereto) containing any material non-public confidential information,
if any, that has been disclosed to Manager. Notwithstanding the foregoing, the Company shall not be obligated to issue any such
public press release or file with the Securities and Exchange Commission a Current Report on Form 8-K, an Annual Report on Form
10-K (or an amendment thereto), or a Quarterly Report on Form 10-Q (or an amendment thereto), if the Board determines that doing
so would not be in the best interest of the Company.

 

22.       Tax
Giveback. If at any time during the term or following termination of this Agreement, the Company is required to make a payment
to satisfy any tax obligation incurred as a result of trading for the Portfolios, the Company may recall from the Manager (and
if so recalled, the Manager shall pay the Company) an amount equal to the excess of the total Performance Fee actually received
by the Manager over the Performance Fee that would have been received if the tax obligation had been paid during the Performance
Period in which such tax obligation first accrued.

 

    18 

     

    

 

23.       Notices.
All notices and other communications given or made pursuant to this Agreement shall be in writing and shall be deemed effective
on the date of receipt. Any communications or notices provided for in this Agreement shall be sent to the Manager, the Company,
or the Custodian, respectively, in writing to the following addresses, or to such other addresses as the parties may direct by
written notice (for the avoidance of doubt, any notices or communications delivered via email shall be considered to be “in
writing”):

 

If to the Manager:

 

CIDM LLC

2200 Fletcher Avenue

Suite 5021

Fort Lee, NJ 07024

Attn: Managing Member

Telephone:

 

If to the Company:

 

CCUR Holdings, Inc.

4375 River Green Parkway

Suite 201

Duluth, GA 30096

Attn: Wayne Barr, Jr.

Telephone: (770) 305-6435

 

If to the Custodian:

 

At such addresses as
are provided by the Company to the Manager from time to time.

 

24.       Assignment.
This Agreement may not be assigned, nor may any obligations under this Agreement be transferred or delegated, by either party without
the prior written consent of the other, except that, without the prior written consent of the Manager, the Company may assign all
or a portion of its rights and obligations under this Agreement to any of the Company’s Affiliates.

 

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

 

26.       Amendment;
Modification; Waiver. No amendment of this Agreement will be effective unless it is in writing and signed by the parties. No
waiver of satisfaction of a condition or nonperformance of an obligation under this Agreement will be effective unless it is in
writing and signed by the party granting the waiver, and no such waiver will constitute a waiver of satisfaction of any other condition
or nonperformance of any other obligation.

 

27.       Governing
Law. The laws of the State of Georgia, without giving effect to principles of conflict of laws, govern all matters arising
under this Agreement.

 

28.       Consent
to Jurisdiction. The parties hereto agree that any action or proceeding arising directly or indirectly in connection with,
out of, or related to or from this Agreement, any breach hereof, or any transaction covered in this Agreement shall be resolved,
whether by arbitration or otherwise, within the State of Georgia. Accordingly, the parties consent and submit to the jurisdiction
of the federal and state courts and any applicable arbitral body located within the State of Georgia. The parties further agree
that any such action or proceeding brought by either party to enforce any right, assert any claim, or obtain any relief whatsoever
in connection with this Agreement shall be brought by such party exclusively in federal or state courts, or if appropriate before
any applicable arbitral body, located within the State of Georgia.

 

    19 

     

    

 

29.       Severability.
If any provision of this Agreement is held to be unenforceable, then in construing this Agreement, such provision is to be either
modified to the minimum extent necessary to make it enforceable (if permitted by law) or disregarded (if not). If an unenforceable
provision is modified or disregarded in accordance with this Section 29, the rest of this Agreement is to remain in effect
as written, and the unenforceable provision is to remain as written in any circumstances other than those in which the provision
is held to be unenforceable.

 

30.       Counterparts.
This Agreement may be executed in several counterparts, each of which shall be deemed an original, but all of which together shall
constitute one and the same instrument. Counterparts may be delivered via facsimile, electronic mail (including PDF), or other
transmission method and any counterpart so delivered shall be deemed to have been duly and validly delivered and be valid and effective
for all purposes.

 

31.       Delays
or Omissions. No delay or omission to exercise any right, power, or remedy accruing to any party under this Agreement upon
any breach or default of any other party under this Agreement shall impair any such right, power or remedy of such non-breaching
or non-defaulting party, nor shall it be construed to be a waiver of or acquiescence to any such breach or default, or to any similar
breach or default thereafter occurring, nor shall any waiver of any single breach or default be deemed a waiver of any other breach
or default theretofore or thereafter occurring. All remedies, whether under this Agreement or by applicable law or otherwise afforded
to any party, shall be cumulative and not exclusive.

 

32.       Entire
Agreement. This Agreement (including any schedules and exhibits hereto) constitutes the entire agreement of the parties relating
to the subject matter of this Agreement and supersedes all other oral or written agreements thereto.

 

The parties are signing this Agreement
on the date stated in the introductory clause.

 

CCUR Holdings, Inc.

 

	By:	/s/ Wayne Barr	 
	 	Name: Wayne Barr	 
	 	Title: President	 
	 	 	 
	 	 	 
	By:	/s/ Warren Sutherland	 
	 	Name: Warren Sutherland	 
	 	Title: Chief Financial Officer	 

 

CIDM LLC

 

	By: 	/s/ Julian Singer	 
	 	Name: Julian Singer	 
	 	Title: Member	 

 

    20 

     

    

SCHEDULE A

FEE
SCHEDULE

 

Management
Fee. 

 

For
services rendered to the Company, the Manager shall be entitled to an annual management fee equal to two percent (2%) of the fair
market value of the Assets (the “Management Fee”). The Management Fee shall be payable quarterly in arrears.
If additional capital is contributed to the Portfolios, or the Portfolios are funded, or capital is withdrawn, after the beginning
of a quarter, the amount of the Management Fee attributable to such capital for that quarter shall be prorated on a time-weighted
basis.

 

Performance
Fee.

 

Subject
to the provisions of this Agreement, the Company shall pay (or cause to be paid) to the Manager an incentive-based fee (the “Performance
Fee”) with respect to the Portfolios. The Performance Fee shall be calculated as of the end of each Performance Period
(as defined below) and payable quarterly in arrears. 

 

The
Performance Fee in respect of each Performance Period shall be equal to twenty percent (20%) of the appreciation of end of year
NAV, as calculated pursuant to the 2019 CCUR Bonus Plan. 

 

Performance
Period.

 

“Performance
Period” means, with respect to all of the Assets, the period initially commencing on the date hereof and ending on the
earliest of (x) December 31 of each year or (y) any termination of this Agreement by either party. A new Performance Period shall
be deemed to commence on the day immediately following the last day of the preceding Performance Period, except in the instance
of a termination of this Agreement.

 

Expenses.

 

The Company shall be
responsible for all custodial fees, brokerage commissions, clearing fees, interest, expenses related to proxies, withholding or
transfer taxes, or other fees, costs, or expenses of whatever nature incurred in connection with the Company or any of its Portfolios.

 

The Manager shall be
responsible for all of its operating expenses, including, without limitation, its rent, salaries of its employees, utilities, and
any travel and related expenses incurred in connection with its performance of services under this Agreement, including any of
the Manager’s legal fees in connection with the negotiation, drafting, or monitoring of this Agreement. For the avoidance
of doubt, such expenses of the Manager include specific expenses incurred in obtaining systems, research, and other information
utilized for portfolio management purposes that facilitate valuations and accounting, including the costs of statistics and pricing
services, service contracts for quotations equipment, and related hardware and software.

 

     

     

    

 

Method of Payment.

 

The Company shall pay
any amounts payable to the Manager hereunder, including without limitation the Performance Fee, the Management Fee and reimbursement
of any expenses of the Manager subject to reimbursement hereunder, via a grant of stock appreciation rights in the form attached
as Exhibit A hereto (“SAR Grant”). The cash value of a SAR Grant for the purpose of determining
the amount by which it reduces the fees payable under this Agreement shall equal the Base Price (as defined in the SAR Grant) multiplied
by the number of Appreciation Rights (as defined in the SAR Grant) granted in such SAR Grant.

 

     

     

    

 

 

SCHEDULE B

OPERATIONS
AND REPORTING SCHEDULE

 

(a)       Accounting:
Portfolio accounting should be computed using the “average cost” method.

 

(b)       Holdings
and Net Asset Value Verification: It is expected that the Manager will provide a data file or manual listing of Portfolio holdings
(including cash and accruals), market values and realized gains and losses to the Custodian on or before noon Eastern Time on the
fourth (4th) Business Day after each month end, and in such case, the Custodian will be responsible for reporting all
differences back to the Manager and all values will be reconciled and agreed upon no later than the close of business on the ninth
(9th) Business Day after each month end. The Manager shall provide to the Company this same file updated with all current
values as of the sixth (6th) Business Day after month end and again when all values are finalized with the Custodian.

 

(c)       Performance
Verification: The Manager shall provide to the Company a report containing total return calculated on a time weighted basis, both
gross and net of Management Fees and Performance Fees, to be emailed to the Company Chief Financial Officer. Email delivery should
occur no later than one business day following the Manager’s receipt from the Company of its reported total assets for the
prior month end, which will typically occur between 5 and 7 days following each month end.  Returns should be provided for
the current month; rolling three (3) months; fiscal year-to-date (i.e., July 1 through the current month end); calendar
year-to-date; annualized performance for the prior thirty-six (36) months; and annualized performance from inception to the current
month end.

 

(d)       Trade
Errors: The Manager shall provide a report not later than the tenth (10th) Business Day following each month-end listing
all trade errors that occurred with respect to the Portfolios during the prior month, including the incorrect ticker, the intended
ticker, the amount of the loss or gain resulting from such trade error, an indication as to whether such trade error has been corrected
as of such month-end, and an indication of whether any outstanding trade errors from prior months have been corrected as of such
month-end.

 

 

     

     

    

EXHIBIT A

FORM OF SAR GRANT

 

(see attached)

 

 

     

     

    

 

CCUR HOLDINGS, INC.

STOCK APPRECIATION RIGHTS AGREEMENT

 

This Agreement (the
“Agreement”) is made as of [●] (the “Date of Grant”) by and between CCUR Holdings,
Inc., a Delaware corporation (the “Company”) and [●] (the “Grantee”).

 

1.       Grant
of Appreciation Rights. The Company hereby grants to the Grantee as of the Date of Grant
[●] appreciation rights (“Appreciation Rights”), which grant gives the Grantee the right to receive in
cash, on the date of exercise of each Appreciation Right, an amount equal to 100% of the “Spread”. The “Spread”
means the excess of (a) the Market Value per Share on the date of exercise over (b) the Base Price. The “Base Price”
means $[●][1]. “Market Value per Share”
means, as of any particular date, (i) the closing sale price per Common Share as reported on the exchange on which Common Shares
are then trading, if any, or, if there are no sales on such day, on the next preceding trading day during which a sale occurred,
or (ii) if clause (i) does not apply, the fair market value of the Common Shares as determined by the Company’s board
of directors. “Common Shares” means the Company’s currently authorized common stock, $0.01 par value,
and stock of any other class or other consideration into which such currently authorized capital stock may hereafter have been
changed.

 

2.       Exercise
of Appreciation Rights.

 

(a)       Unless
and until terminated as hereinafter provided, the Appreciation Rights will become exercisable upon the occurrence or achievement
of the following conditions or milestones set forth in Table I below:

 

TABLE I

 

	Appreciation Rights

Exercisability Condition	Number of

Appreciation Rights 

(Installments)	
        Number of

        Vested Appreciation Rights

        (Total)

	Change in Control	[●]	[●]

 

(b)       Definitions.

 

(i)       “Affiliate”
has the meaning given such term under Rule 12b-2 of the General Rules and Regulations under the Exchange Act.

 

(ii)       “Beneficial
Owner” has the meaning given such term under Rule 13d-3 of the General Rules and Regulations under the Exchange Act.

 

(iii)       “Change
in Control” means:

 

(a)       the
acquisition, directly or indirectly, by any “person” or “group” (as those terms are defined in Sections
3(a)(9), 13(d), and 14(d) of the Exchange Act and the rules thereunder, including, without limitation, Rule 13d-5(b)) of “beneficial
ownership” (as determined pursuant to Rule 13d-3 under the Exchange Act) of securities entitled to vote generally in the
election of directors (“voting securities”) of the Company that represent 50% or more of the combined voting
power of the Company’s then outstanding voting securities, other than: 

 

 

 

]
Note to Draft: Insert Market Value per Share on the Date of Grant as the Base Price.

     

     

    

 

(i)       an
acquisition by a trustee or other fiduciary holding securities under any employee benefit plan (or related trust) sponsored or
maintained by the Company or any person controlled by the Company or by any employee benefit plan (or related trust) sponsored
or maintained by the Company or any person controlled by the Company, or

 

(ii)       an
acquisition of voting securities by the Company or a corporation owned, directly or indirectly, by the stockholders of the Company
in substantially the same proportions as their ownership of the stock of the Company, or 

 

(iii)       an
acquisition of voting securities pursuant to a transaction described in clause (c) below that would not be a Change of Control
under clause (c);

 

(b)       the
consummation by the Company (whether directly involving the Company or indirectly involving the Company through one or more intermediaries)
of (x) a merger, consolidation, reorganization, or business combination or (y) a sale or other disposition of all or substantially
all of the Company’s assets or (z) the acquisition of assets or stock of another entity, in each case, other than in a transaction

 

(i)       that
results in the Company’s voting securities outstanding immediately before the transaction continuing to represent (either
by remaining outstanding or by being converted into voting securities of the Company or the person that, as a result of the transaction,
controls, directly or indirectly, the Company or owns, directly or indirectly, all or substantially all of the Company’s
assets or otherwise succeeds to the business of the Company (the Company or such person, the “Successor Entity”))
directly or indirectly, at least 50% of the combined voting power of the Successor Entity’s outstanding voting securities
immediately after the transaction, and

 

(ii)       after
which more than 50% of the members of the board of directors of the Successor Entity were members of the Board at the time of the
Board’s approval of the agreement providing for the transaction or other action of the Board approving the transaction (or
whose election or nomination was approved by a vote of at least two-thirds of the members who were members of the Board at that
time), and

 

(iii)       after
which no person or group beneficially owns voting securities representing 50% or more of the combined voting power of the Successor
Entity, unless the Board determines in its discretion that beneficial ownership by a person or group of voting securities representing
50% or more of the combined voting power of the Successor Entity shall not be deemed a Change of Control; or

 

(c)       a
liquidation or dissolution of the Company;

 

    2 

     

    

 

; provided,
that any transaction described in clause (a) or (b) above that results in the Grantee or any of the Grantee’s Affiliates,
taken together as a whole, having beneficial ownership of voting securities representing 50% or more of the combined voting power
of the Company or a Successor Entity, as applicable, a Change of Control shall be deemed not to have occurred.

 

(iv)       “Exchange
Act” means the Securities Exchange Act of 1934 and the rules and regulations thereunder, as such law, rules and regulations
may be amended from time to time.

 

(v)       “Group”
means persons and entities that act in concert as described in Section 14(d)(2) of the Exchange Act (other than the Company
or any Subsidiary thereof and other than any profit-sharing, employee stock ownership or any other employee benefit plan of the
Company or such Subsidiary, or any trustee of or fiduciary with respect to any such plan when acting in such capacity and other
than any executive officer of the Company).

 

(vi)       “Person”
means and includes any individual, corporation, partnership or other person or entity and any Group and all Affiliates and Associates
of any such individual, corporation, partnership, or other person or entity or Group.

 

(vii)       “Subsidiary”
means a corporation, company or other entity in which the Company has a direct or indirect ownership or other equity interest.

 

3.       Forfeiture
of Appreciation Rights. An Appreciation Right shall be forfeited (to the extent it has
not become exercisable pursuant to Section 2) if the Grantee’s service relationship with the Company has been terminated.

 

4.       Term
of Appreciation Rights. The Appreciation Rights will terminate on the date that is ten
years from the Date of Grant (i.e., [●]).

 

5.       Adjustments.
In the event of a stock split, combination of shares, recapitalization, merger, consolidation,
separation or reorganization or any other change in the capital structure of the Company that results in a change in the number
or value of a Common Share, an equivalent change shall be made in the number or value of Appreciation Rights.

 

6.       No
Voting and Other Rights. The Appreciation Rights granted under this Agreement shall not
entitle the Grantee to any voting or similar rights of a stockholder and nothing in this grant shall be construed as creating any
interest in or right to receive any Common Shares.

 

7.       Award
Non-transferable. Except with the consent of the Company, the Appreciation Rights may
not be sold, exchanged, assigned, transferred, pledged, encumbered or otherwise disposed of by the Grantee. Any purported transfer
or encumbrance in violation of the provisions of this Section 7 shall be void, and the other party to any such purported transaction
shall not obtain any rights to or interest in such Appreciation Rights.

 

8.       No
Service Contract. Nothing contained in this Agreement shall confer upon the Grantee any
right with respect to the establishment or continuance of employment or any other service relationship by the Company and its Subsidiaries,
nor limit or affect in any manner the right of the Company and its Subsidiaries to terminate the Company’s or any of its
Subsidiaries’ respective rights to terminate any employment or service relationship or adjust the compensation of the Grantee.

 

    3 

     

    

 

9.       Taxes
and Withholding. To the extent that the Company shall be required to withhold any federal,
state, local or other taxes in connection with cash obtained upon the exercise of the Appreciation Rights, and the amounts available
to the Company for such withholding are insufficient, it shall be a condition to payment that the Grantee shall pay such taxes
or make provisions that are satisfactory to the Company for the payment thereof. The Grantee may elect to satisfy all or any part
of any such withholding obligation by surrendering to the Company a portion of the payments due to the Grantee upon the exercise
of the Appreciation Rights.

 

10.       Amendments.
The Company may modify this Agreement upon written notice to the Grantee; provided,
that no modification or amendment to this Agreement that has an adverse impact on the material rights of the Grantee shall be binding
on the Grantee unless such modification or amendment is executed by the Company and the Grantee. Any waiver of any term or condition
or breach of this Agreement shall not be a waiver of any other term or condition or of the same term or condition.

 

11.       Severability.
In the event that one or more of the provisions of this Agreement shall be invalidated
for any reason by a court of competent jurisdiction, any provision so invalidated shall be deemed to be separable from the other
provisions hereof, and the remaining provisions hereof shall continue to be valid and fully enforceable.

 

12.       Successors
and Assigns. Without limiting Section 7 hereof, the provisions of this Agreement shall
inure to the benefit of, and be binding upon, the successors, administrators, heirs, legal representatives and assigns of the Grantee,
and the successors and assigns of the Company.

 

13.       Notices.
Any notice to the Company provided for herein shall be in writing to the Company and any
notice to the Grantee shall be addressed to the Grantee at his or her address on file with the Company. Except as otherwise provided
herein, any written notice shall be deemed to be duly given if and when delivered personally or deposited in the United States
mail, first class certified or registered mail, postage and fees prepaid, return receipt requested, and addressed as aforesaid.
Any party may change the address to which notices are to be given hereunder by written notice to the other party as herein specified
(provided that for this purpose any mailed notice shall be deemed given on the third business day following deposit of the same
in the United States mail).

 

[Signature Page Follows]

 

    4 

     

    

 

IN WITNESS WHEREOF,
the Company has caused this Agreement to be executed on its behalf by its duly authorized officer and the Grantee has also executed
this Agreement in duplicate, as of the day and year first above written.

 

	 	CCUR HOLDINGS, INC.	 
	 	 	 
	 	 	 
	 	By:	 	 
	 	 	Name:	 
	 	 	Title:	 

  

The undersigned hereby
acknowledges receipt of an executed original of this Agreement and accepts the award of the Appreciation Rights granted thereunder
on the terms and conditions set forth herein.

 

	 	 	 
	 	[●]	 	 
	 	 	 	 
	 	Date: 		 

 

[Signature Page to Stock Appreciation Rights
Agreement]

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