Document:

EX-10.1

 Exhibit 10.1 

Och-Ziff Capital Management Group LLC 

9 West 57th Street 

New York, New York 10019 

January 27, 2018 
 Daniel S. Och 

c/o Och-Ziff Capital Management Group LLC 
 9 West 57th Street 
 New York, New York 10019 

Re: OZ Corporate Governance Arrangements 

Ladies and Gentlemen: 
 This
binding letter agreement (as amended, supplemented or otherwise modified from time to time, this “Agreement”) is effective as of February 5, 2018 (the “Effective Date”) and sets forth the agreements,
arrangements, understandings and intentions of Och-Ziff Capital Management Group LLC (the “Company”), the subsidiaries of the Company set forth on the signature pages hereto (the “OZ Subsidiaries”) and, solely for
the purposes of the “Release” section in Exhibit A and the sections related thereto contained in this Agreement, the members of the Company’s board of directors (the “Board”) set forth on the signature pages
hereto (the “Independent Directors”, and together with the Company and the OZ Subsidiaries, the “OZ Parties”), on the one hand, and Daniel S. Och (“DSO”), on the other, with respect to certain
corporate governance arrangements to be implemented at the Company and its subsidiaries. 
 In connection with the foregoing, the parties
hereto, each intending to be legally bound, agree as follows: 
 1. Governance Terms and Conditions. As of the Effective Date, the OZ
Parties and DSO, on behalf of themselves and their affiliates and related parties, hereby agree to the terms and conditions set forth on Exhibit A, the terms of which are hereby incorporated by reference. As promptly as practicable following
the date hereof, the parties hereto shall in good faith negotiate and execute such amendments to the organizational documents of the OZ Parties and any other agreement to which an OZ Party, DSO or their respective affiliates or related parties is a
party (collectively, the “Existing OZ Agreements”), which Existing OZ Agreements include (x) the Second Amended and Restated Limited Liability Company Agreement of the Company, as amended (the “Company LLC
Agreement”), (y) the Class B Shareholders Agreement, dated as of November 13, 2007, by and among the Company and the individuals set forth on the signature pages thereto, as amended, and (z) the Amended and Restated Exchange
Agreement, dated as of August 1, 2012, by and among the Company the subsidiaries of the Company party thereto and the Och-Ziff Limited Partners and Class B Shareholders from time to time party thereto, as amended, and shall take such other
actions as are reasonably necessary to reflect the terms hereof. Notwithstanding the foregoing, this Agreement shall remain binding and enforceable on the parties hereto in accordance with its terms if the parties hereto do not execute and deliver
such amendments to the Existing OZ Agreements, and the parties hereto, intending to be bound hereby, declare that the terms hereof will be sufficient to effect the transactions contemplated hereby and agree to take all steps within their power to
effect such transactions. In the event of any conflict between any provision of an Existing OZ Agreement, on the one hand, and any provision of this Agreement, on the other hand, the provisions of this Agreement shall control. 

  
 1 

 2. Representations and Warranties. Each of the OZ Parties and DSO represents and warrants
to the other as follows: (a) in the case of an OZ Party, it is duly organized, validly existing and in good standing under the laws of the jurisdiction where it purports to be organized; (b) such party has full power and authority (and, in
the case of DSO, legal capacity) to enter into and perform its obligations under this Agreement; (c) all actions (including, in the case of the OZ Parties, the approval of the Conflicts Committee (as defined in the Company LLC Agreement))
necessary to authorize such party’s signing and delivery of this Agreement, the performance of its obligations hereunder and the acknowledgements made by such party hereunder (including the acknowledgements set forth in in “DSO Continuing
Role” in Exhibit A), have been duly taken; (d) in the case of an OZ Party, this Agreement has been duly signed and delivered by a duly authorized officer or other representative of such OZ Party; (e) this Agreement constitutes
the legal, valid and binding obligation of such party enforceable in accordance with its terms (except as such enforceability may be affected by applicable bankruptcy, insolvency or other similar laws affecting creditors’ rights
generally, and except that the availability of equitable remedies is subject to judicial discretion); (f) no consent, approval or notification of any other person or entity (including any governmental authority) is required in connection with the
signing, delivery and performance of this Agreement by such party that have not been obtained; and (g) the signing, delivery and performance of this Agreement do not violate the organizational documents of such party (in the case of the OZ
Parties) or any material agreement to which such party is a party or by which it is bound. 
 4. Expenses. Except as set forth in
Exhibit A, each party hereto shall bear its own costs and expenses in connection with this Agreement and the transactions contemplated hereby. 

5. Notices. All notices, requests, claims, demands and other communications under this Agreement shall be in writing and shall be deemed
given upon receipt by the parties at the following addresses (or at such other address for a party as will be specified by like notice): 

A. if to an OZ Party, to: 

Och-Ziff Capital Management Group LLC 

9 West 57th Street 
 New York,
New York 10019 
 Email: David.Levine@ozm.com 

Attention: Chief Legal Officer 

with a copy (which will not constitute notice) to: 

Debevoise & Plimpton LLP 

919 Third Avenue 
 New York, New
York 10022 
 Email: jrosen@debevoise.com 

Attention: Jeffrey J. Rosen 

Attention: Mark P. Goodman 
 B.
if to DSO, to: 
 Daniel S. Och 

c/o Willoughby Capital Holdings, LLC 

10 Bank Street, Suite 1120 

White Plains, NY 10606 

  
 2 

 with a copy (which will not constitute notice) to: 

Paul, Weiss, Rifkind, Wharton & Garrison LLP 

1285 Avenue of the Americas 

New York, New York 10019-6064 

Facsimile: (212) 757-3990 

Email:      Ajdeckelbaum@paulweiss.com 

Eching@paulweiss.com 

Attention:   Ariel J. Deckelbaum 

Attention:   Ellen N. Ching 
 All such
notices or communications will be deemed to have been delivered and received (a) if delivered in person, on the day of such delivery, (b) if by facsimile or electronic mail, on the day on which such facsimile or electronic mail was sent;
provided, that receipt is confirmed, (c) if by certified or registered mail (return receipt requested), on the seventh business day after the mailing thereof or (d) if by reputable overnight delivery service, on the second business
day after the sending thereof. 
 6. Governing Law; Submission to Jurisdiction; Waiver of Jury Trial. This Agreement shall be
construed in accordance with and governed by the laws of the State of Delaware without regard to principles of conflict of laws. Each party hereto (i) irrevocably submits to the jurisdiction of the Court of Chancery of the State of Delaware or,
if such court lacks jurisdiction, any Delaware state court or U.S. federal court sitting in Wilmington, Delaware in any action arising out of this Agreement and (ii) consents to the service of process by mail. 

7. Counterparts. This Agreement may be executed in counterparts and signatures may be delivered by facsimile or by e-mail delivery of a “.pdf” format data file, each one of which shall be deemed an original and all of which together shall constitute one and the same Agreement. 

8. Construction; Headings. As used herein, (i) “or” shall mean “and/or”; (ii) the terms “hereof”,
“herein”, “hereby” and derivative or similar words refer to this entire Agreement; and (iii) “including” or “include” shall mean “including, without limitation.” The headings and captions herein are
inserted for convenience of reference only and are not intended to govern, limit or aid in the construction of any term or provision hereof. It is the intention of the parties that every covenant, term and provision of this Agreement shall be
construed simply according to its fair meaning and not strictly for or against any party (notwithstanding any rule of law requiring an Agreement to be strictly construed against the drafting party), it being understood that the parties to this
Agreement are sophisticated and have had adequate opportunity and means to retain counsel to represent their interests and to otherwise negotiate the provisions of this Agreement. 

9. Severability. If any provision of this Agreement is or becomes invalid, illegal or unenforceable in any respect, the validity,
legality and enforceability of the remaining provisions contained herein shall not be affected thereby. 
 10. Successors and Assigns.
Except as otherwise provided herein, all of the terms and provisions of this Agreement shall inure to the benefit of and be binding upon each of the parties hereto and their respective permitted assigns and transferees. This Agreement may not be
assigned by any of the parties without the prior written consent of the other parties hereto. 

  
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 11. Entire Agreement. Except as expressly contemplated herein, this Agreement constitutes
the entire agreement among the parties hereto pertaining to the subject matter hereof and supersedes all prior agreements and understandings pertaining thereto. 

12. No Third Party Beneficiaries. It is understood and agreed among the parties that this Agreement and the covenants made herein are
made expressly and solely for the benefit of the parties hereto, and that, except as otherwise expressly provided for in this Agreement, no other person or entity shall be entitled or be deemed to be entitled to any benefits or rights hereunder, nor
be authorized or entitled to enforce any rights, claims or remedies hereunder or by reason hereof. 
 13. Amendments; Remedies and
Waivers. No provision of this Agreement may be amended, modified or waived except in writing signed by the Company and DSO. Except as otherwise expressly set forth herein, no delay or omission on the part of any party to this Agreement in
exercising any right, power or remedy provided by law or provided hereunder shall impair such right, power or remedy or operate as a waiver thereof. The single or partial exercise of any right, power or remedy provided by law or provided hereunder
shall not preclude any other or further exercise of any other right, power or remedy. The rights, powers and remedies provided hereunder are cumulative and are not exclusive of any rights, powers and remedies provided by law. 

14. Further Action. The parties shall execute and deliver all documents, provide all information and take or refrain from taking action
as may be necessary or appropriate to achieve the purposes of this Agreement. 
 15. Specific Performance. The parties hereto agree
that irreparable damage would occur if any of the provisions of this Agreement were not performed in accordance with its specific terms or were otherwise breached. It is accordingly agreed that the parties shall be entitled to an injunction or
injunctions to prevent breaches of this Agreement and to enforce specifically the terms and provisions hereof, in addition to any other remedy to which they are entitled at law or in equity, and shall not be required to post a bond or other
collateral in connection therewith. 
 16. Public Announcements. The initial press release and other filings announcing the
transactions contemplated hereby (the “Initial Filings”) shall be mutually agreed by the Company and DSO. No party hereto shall issue, or cause to be issued, any public announcements or disseminate any marketing material concerning
the existence or terms of this Agreement without the prior written approval of the other party, except to the extent such announcement is required by law or stock exchange requirements; provided, however, that the foregoing shall not
apply to any press release or materials to the extent it contains substantially the same information as previously communicated in the Initial Press Filings or by one or more of the parties without breach of the provisions hereof. If a public
announcement is required by law or stock exchange requirements, the parties hereto will consult with each other before making the public announcement. To the extent any announcement or any marketing material permitted under this Section 16
expressly refers to any party or its affiliates or related party, such party shall, in its sole discretion, have the right to revise such announcement or advertising or marketing material prior to granting such written approval. 

17 Actions and Determinations by the OZ Parties. With respect to any notice, consent, approval, waiver or other action or determination
that is required or permitted to be taken, given or made by any of the OZ Parties pursuant to this Agreement, such notice, consent, approval, waiver or other action or determination shall be taken, given or made only by or with the express
authorization of the Conflicts Committee. Without limiting the foregoing, the Conflicts Committee shall be entitled to exercise all rights and remedies of the OZ parties against DSO hereunder, and the parties hereto shall take all action necessary
to cause the OZ Parties to comply with the directives of the Conflicts Committee 

  
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issued pursuant hereto.    Further, notwithstanding anything to the contrary in the Company LLC Agreement or in any other agreement or document, the Conflicts Committee shall
consist of those members of the Conflicts Committee in office as of the date hereof (for so long as each continues as a director and subject to each of their earlier resignation from the Conflicts Committee) and any other independent director
elected to serve on the Conflicts Committee by a majority of the members of the Conflicts Committee.
 If this Agreement correctly sets forth our
understanding, please so acknowledge by signing below and returning a signed copy of this Agreement to us. 
  

			
	Very truly yours,
	
	OCH-ZIFF CAPITAL MANAGEMENT GROUP LLC
		
	 By:
	 	 /s/ Alesia J. Haas

		 	 Name: Alesia J. Haas

		 	 Title: Chief Financial Officer

 Accepted and Agreed as of the date first set forth above: 

 

			
	 DSO:
  

	 /s/ Daniel S. Och

	 Daniel S. Och

	  
 OZ PARTIES:

 
 OZ MANAGEMENT LP

 
 By: Och-Ziff Holding Corporation, its general partner

 

	By:	 	 /s/ Alesia J. Haas

		 	Name: Alesia J. Haas
		 	Title: Chief Financial Officer
	  
 OZ ADVISORS LP

 
 By: Och-Ziff Holding Corporation, its general partner

 

	By:	 	 /s/ Alesia J. Haas

		 	Name: Alesia J. Haas
		 	Title: Chief Financial Officer

  
 5 

			
	 OZ ADVISORS II LP
  

By: Och-Ziff Holding LLC, its general partner
  

	By:	 	 /s/ Alesia J. Haas

		 	Name: Alesia J. Haas
		 	Title: Chief Financial Officer
	  
 OCH-ZIFF HOLDING
CORPORATION
  

	By:	 	 /s/ Alesia J. Haas

		 	Name: Alesia J. Haas
		 	Title: Chief Financial Officer
	  
 OCH-ZIFF HOLDING
LLC
  

	By:	 	 /s/ Alesia J. Haas

		 	Name: Alesia J. Haas
		 	Title: Chief Financial Officer

			
	INDEPENDENT DIRECTORS
		
	By:	 	 /s/ Allan S. Bufferd

		 	Name: Allan S. Bufferd
		 	Title: Lead Independent Director
		
	By:	 	  

		 	Name: William P. Barr
		 	Title: Independent Director
		
	By:	 	 /s/ J. Barry Griswell

		 	Name: J. Barry Griswell
		 	Title: Independent Director
		
	By:	 	 /s/ Jerome P. Kenney

		 	Name: Jerome P. Kenney
		 	Title: Independent Director
		
	By:	 	 /s/ Georganne C. Proctor

		 	Name: Georganne C. Proctor
		 	Title: Independent Director

 Exhibit A 

Governance Terms 
  

			
	  

CHIEF EXECUTIVE
 OFFICER ROLE
	  	  

●   The Board of Directors of OZ (the “Board”), with the
approval of the Class B Shareholder Committee (the “Class B Committee”), will appoint and announce a new Chief Executive Officer of the OZ Group (the “New CEO”).

 

●   The New CEO shall enter into an employment agreement on terms and
conditions to be negotiated by the Board’s Compensation Committee.
  

●   Daniel S. Och (“DSO”) shall resign as CEO concurrently
with the New CEO’s appointment.

	 	 
	 CLASS B

SHAREHOLDER
 COMMITTEE
	  	
●   On the 18-month anniversary of the
appointment of the New CEO, if the New CEO is continuing to serve as the Chief Executive Officer of the OZ Group as of such date, the Class B Committee shall relinquish its consent rights with respect to the approval of a successor CEO and the
Class B Shareholders Agreement shall be amended to reflect such relinquishment.
  

●   The Class B Committee will be disbanded and the Class B
Shareholders Agreement will be terminated (the “Class B Committee Dissolution”) effective December 31, 2019 (such date, the “Transition Date”, and the period of time until the Transition
Date, the “Transition Period”) unless (i) the OZ Group has, following the date of the appointment of the New CEO, advised DSO in writing that he may not withdraw capital invested in the firm that he has requested to withdraw,
or (ii) (x) DSO is advised in writing by his counsel (which written advice is promptly furnished to the OZ Group) that he is prohibited by law (other than laws relating to DSO’s possession of material nonpublic information of the OZ Group
(“OZ MNPI”), which shall be determined by the OZ Group and its counsel, and such determination shall be communicated to DSO as contemplated by the immediately preceding clause (i)) from withdrawing capital invested in the firm that
he has requested to withdraw and (y) counsel to the OZ Group does not thereafter inform DSO in writing that he is not so prohibited (any such blockage or restriction, a “Withdrawal Restriction”), in which event the Transition
Date shall be deferred and the Transition Period extended if and to the extent contemplated by the following subparagraph.

  
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●   In the event that (i) DSO is prohibited by a Withdrawal Restriction
from withdrawing an amount of capital that he has, in accordance with the applicable fund documents, requested to withdraw during a redemption window, (ii) DSO so seeks in each subsequent redemption window pertinent to such withdrawal request
to withdraw any unwithdrawn amount of such request and (iii) DSO is prohibited by subsequent Withdrawal Restrictions from withdrawing the remaining unwithdrawn amount thereof, then the Transition Period shall be tolled and the Transition Date
shall be extended, until the day following the closing of the next redemption window pertinent to such withdrawal request as to which no Withdrawal Restriction restricts DSO’s ability to withdraw unwithdrawn amounts requested to be withdrawn
prior to January 1, 2019. The provisions of the preceding sentence may apply sequentially to subsequent redemption windows and simultaneously to multiple requests to withdraw capital.

 

●   From and after the Transition Date, each of the Class B Shareholders
shall be able to vote his or her Class B shares directly.

	 	 
	 EXCHANGE

COMMITTEE
	  	
●   Promptly following the Transition Date, the Exchange Committee will be
disbanded and the Amended and Restated Exchange Agreement will be terminated (the “Exchange Committee Dissolution”, and together with the Class B Committee Dissolution, the “Committee Dissolutions”).

 

●   Following the date of the Exchange Committee Dissolution, (a) any
partner, including any Class B Shareholder, shall be free to exchange his or her vested units over a period of two years in three equal installments commencing upon the date of the Exchange Committee Dissolution and on each of the first and
second anniversary thereof (and thereafter such units shall be freely exchangeable) and (b) thereafter, whenever a tranche of any partner’s units vest, such partner shall be free to exchange such vested units over a period of two years in
three equal installments commencing upon the date of such vesting and on each of the first and second anniversary thereof (and thereafter such units shall be freely exchangeable).

	 	 
	 BOARD

COMPOSITION
	  	
●   As promptly as practicable following the appointment of the New CEO, the
Board shall consist of seven members, constituted and selected as follows: (a) the New CEO, who shall be appointed by DSO (in his capacity as the member of the Class B Committee) as a Class B Director, replacing William Barr who
resigned, effective January 31, 2018; (b) DSO, as a Class B Director; (c) all those other current directors who choose to remain on the Board for at least the remainder of their term (none of whom (other than David Windreich) shall be
Class B Directors); (d) to the extent of any vacancy of a Class B Director, an individual who shall qualify as an independent director and be appointed by DSO (in his capacity as the member of the Class B Committee) as a Class B
Director with the approval, which shall not be unreasonably withheld, of the Nominating, Corporate Governance and Conflicts Committee; and (e) if any other(s) of such other current directors choose not to remain on the Board, one or more
replacement individual(s) who shall qualify as independent directors and be selected jointly by DSO and the Nominating, Corporate Governance and Conflicts Committee.

  
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●   DSO shall waive the Class B Committee’s right to appoint
Class B Directors (other than with respect to the three directors described in clauses (a), (b) and (d) above), until the applicable nomination period for the 2019 Shareholder Meeting. In the event that DSO chooses in connection with such
nomination period to exercise such right to appoint additional directors, such additional directors shall qualify as independent directors and shall be presented to the Nominating, Corporate Governance and Conflicts Committee for that
Committee’s approval, which may only be withheld on reasonable grounds that such additional directors are manifestly unqualified or not independent of DSO and the OZ Group.

 

●   For the avoidance of doubt, the Board shall at all times have a majority
of members who shall qualify as independent directors. Contemporaneously with the Board changes contemplated hereby, J. Barry Griswell shall be designated the lead independent director.

	 	 
	 DSO CONTINUING

ROLE:
	  	
●   Following DSO’s resignation as CEO, DSO will remain Chairman of the
Board. No later than March 31, 2019, DSO shall resign and be replaced by a successor Nonexecutive Chairman of the Board selected from the existing Board members and mutually agreed upon by the Nominating, Corporate Governance and Conflicts
Committee and the Class B Committee.
  

●   As Chairman of the Board, DSO will oversee and be involved with the
overall direction and vision of the OZ Group and will devote such business time as reasonably required to fulfill his responsibilities to the OZ Group in a manner consistent with his Continuing Positions.

 

●   DSO will receive annual compensation in consideration for his service as
Chairman of the Board in an amount consistent with the compensation of the directors of OZ more generally (both in terms of amount and composition (cash and stock mix)).

 

●   Following DSO’s resignation as Chairman of the Board, DSO shall have
the right to continue to serve as a director on the Board for as long as DSO continues to own either (i) preferred shares of OZ with an initial liquidation preference not less than 33% of the initial liquidation preference of the preferred
shares currently owned by DSO or (ii) a number of common equity units (on an as-converted basis) of OZ not less than 33% of the number of common equity units (on an
as-converted basis) of OZ currently owned by DSO.

  
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●   For the avoidance of doubt, the transactions contemplated hereby, and
any discussions in connection herewith, will not constitute a “Withdrawal” by DSO pursuant to the limited partnership agreements of OZ Advisors LP, OZ Advisors II LP and OZ Management LP (each such entity, an “Operating
LP” and together, the “Operating Group”, and each such limited partnership agreement, a “LPA”) or the Class B Shareholders Agreement, and DSO’s continuing rights and obligations with respect to
the OZ Group will be determined in the manner set forth in this Term Sheet.

	 	 
	 FUND

INVESTMENTS:
	  	
●   For as long as DSO or his related parties have any investments in the
firm, any liquid balances of such investments that are not currently charged fees would be charged the same management fees or be subject to the same incentive allocation as are applicable to other former Partners (on a MFN basis); provided,
however, that the fees on such investments by DSO or his related parties shall not exceed, a maximum of 1% in respect of management fees or 10% in respect of incentive fees.

 

●   For the avoidance of doubt, other than as advised by counsel to comply
with applicable law and without limiting the tolling provisions described above, (i) DSO and his related parties will continue to not be subject to any restrictions on their ability to withdraw or transfer their capital invested in the firm,
(ii) the OZ Group shall not restrict or block (or attempt to restrict or block) any withdrawals or transfers of invested capital by DSO and/or his related parties and (iii) the OZ Group shall take all actions necessary to give effect to
any withdrawal or transfer notice provided by DSO and/or his related parties.

	 	 
	DSO TITLES:	  	
●   Until the effectuation of the Committee Dissolutions, DSO will continue to
serve as the (i) sole member of the Class B Committee and (ii) Chairman of the Exchange Committee (collectively, together with the Chairman position, DSO’s “Continuing Positions”).

 

●   The parties will develop a transition plan with respect to DSO’s
other roles and responsibilities. In particular, to the extent required by law or contract, DSO will serve in certain specified roles on a transitional basis on a timeframe to be mutually agreed, provided that, to the extent necessary and in
any event prior to December 31, 2018, OZ will seek consents or waivers to effect such transition. OZ has proposed the following transitional roles, the final scope of which will be agreed between DSO and OZ following the determination of any
effects on DSO’s restricted activities as described below:
  

o   a Director of Och-Ziff Holding Corporation and a Member of Och-Ziff Holding LLC,
together with at least two other Directors and Members, respectively, to be mutually agreed between DSO and OZ; and

  
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o   a Director of the offshore OZ funds set forth on Annex A hereto, together
with at least two other Directors to be mutually agreed between DSO and OZ.
  

●   Except as expressly noted above, DSO will resign from all officer
positions and from the boards of directors of all OZ Group subsidiaries. For the avoidance of doubt, DSO will not serve as an officer or director of any future OZ funds.

 

●   As part of the transition, DSO would, subject to his reasonable
availability and in any event on a schedule no more burdensome than consistent with prior practice:
  

o   support the OZ Group in its initiatives to refinance the debt;

 

o   support the ongoing process for pursuing strategic alternatives; and

 

o   discuss with management the operations of OZ Management LP and provide strategic
advice.
  

●   Prior to DSO’s resignation as Chairman, DSO and the OZ Group shall
mutually agree on other customary separation matters.

	 	 
	RELEASE:	  	
●   In connection with entering into the transactions contemplated hereby,
the OZ Group, DSO and the independent directors shall all enter into and provide one another with full mutual reciprocal releases.

	 	 
	EXPENSES:	  	
●   The OZ Group will reimburse DSO for his
out-of-pocket legal fees and expenses incurred from and including December 25, 2017, in an aggregate amount not to exceed $750,000.

	 	 
	 NON-
 CIRCUMVENTION:
	  	
●   The OZ Group and DSO to be bound by
non-circumvention restrictions prohibiting the OZ Group from taking actions that would otherwise be inconsistent with the terms and intent of this Term Sheet.

 

●   Notwithstanding the foregoing, nothing in this Term Sheet shall limit or
otherwise modify any of DSO’s contractual rights or any of DSO’s rights as a shareholder of OZ (including, without limitation, the rights relating to DSO’s preferred investment and tax receivables agreement) that are not expressly to
be modified or amended pursuant to this Term Sheet.

  
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 Annex A 

	1.	 OZ Master Fund, Ltd. 

	 	 OZ Overseas Fund, Ltd. 

	 	 OZ Overseas Fund II, Ltd. 

	 	 OZ Overseas Institutional Fund, Ltd. 

	 	 OZ Overseas GBP Fund, Ltd. 

	 	 OZ Overseas EUR Fund, Ltd. 

 

	2.	 OZ Asia Master Fund, Ltd. 

	 	 OZ Asia Overseas Fund, Ltd. 

	 	 OZ Asia Overseas Institutional Fund, Ltd. 

 

	3.	 OZ Europe Master Fund, Ltd. 

	 	 OZ Europe Overseas Fund, Ltd. 

	 	 OZ Europe Overseas Fund II, Ltd. 

	 	 OZ Europe Overseas Institutional Fund, Ltd. 

 

	4.	 OZ Credit Opportunities Master Fund, Ltd. 

 

	5.	 OZ European Credit Opportunities Master Fund, Ltd. 

 

	6.	 OZ ELS Master Fund, Ltd. 

	 	 OZ ELS Overseas Fund, Ltd. 

 

	7.	 OZ Enhanced Master Fund, Ltd. 

	 	 OZ Enhanced Overseas Fund, Ltd. 

	 	 OZ Enhanced Overseas Institutional Fund, Ltd. 

 

	8.	 OZ Global Equity Opportunities Master Fund, Ltd. 

	 	 OZ Global Equity Opportunities Overseas Fund, Ltd. 

	 	 OZ Global Equity Opportunities Overseas Institutional Fund, Ltd. 

 

	9.	 OZ ESC Master Fund, Ltd. 

	 	 OZ ESC Overseas Fund, Ltd. 

 

	10.	 OZ GC Opportunities Master Fund, Ltd. 

	 	 OZ GC Opportunities Overseas Fund, Ltd. 

 

	11.	 OZC Global Equities Overseas Fund, Ltd. 

 

	12.	 OZ Global Special Investments, Ltd. 

 

	13.	 OZ Institutional Income Master Fund, Ltd. 

 

	14.	 Och-Ziff Capital Structure Arbitrage Master Fund, Ltd. 

	 	 Och-Ziff Capital Structure Arbitrage Overseas Fund, Ltd. 

 

	15.	 OZ Overseas Select Fund, Ltd. 

  
 6Exhibit 4.1 

 

 

NEITHER THIS SECURITY NOR THE
SECURITIES FOR WHICH THIS SECURITY IS EXERCISABLE HAVE BEEN REGISTERED WITH THE SECURITIES AND EXCHANGE COMMISSION OR THE SECURITIES
COMMISSION OF ANY STATE IN RELIANCE UPON AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES
ACT”), AND, ACCORDINGLY, MAY NOT BE OFFERED OR SOLD EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES
ACT OR PURSUANT TO AN AVAILABLE EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE SECURITIES
ACT AND IN ACCORDANCE WITH APPLICABLE STATE SECURITIES LAWS. THIS SECURITY AND THE SECURITIES ISSUABLE UPON EXERCISE OF THIS SECURITY
MAY BE PLEDGED IN CONNECTION WITH A BONA FIDE MARGIN ACCOUNT OR OTHER LOAN SECURED BY SUCH SECURITIES.

 

COMMON
SHARE PURCHASE WARRANT

 

AURIS
MEDICAL holding ag

 

	Warrant Shares: _______	 	Initial Exercise Date: January 30, 2018
	 	 	Issue Date: January 30, 2018

 

THIS
COMMON SHARE PURCHASE WARRANT (the “Warrant”) certifies that, for value received, _____________ or
its assigns (the “Holder”) is entitled, upon the terms and subject to the limitations on exercise and
the conditions hereinafter set forth, at any time on or after the date hereof (the “Initial Exercise
Date”) and on or prior to the close of business on January   30, 2025 (the “Termination Date”)
but not thereafter, to subscribe for and purchase from Auris Medical Holding AG, a company established in Switzerland
(the “Company”), up to ______ (as subject to adjustment hereunder, the “Warrant
Shares”) of registered common shares, nominal value CHF 0.40 per share (each, a “Common Share”).
The purchase price of one Common Share under this Warrant shall be equal to the Exercise Price, as defined in Section
2(b).

 

Section
1.Definitions. Capitalized terms used and not otherwise defined herein shall have the meanings set forth in that
certain Securities Purchase Agreement (the “Purchase Agreement”), dated January 26, 2018, among the Company
and the purchasers signatory thereto. The following terms, as used herein, have the following meanings:

 

“Accredited
Investor” has the meaning set forth in Rule 501 of Regulation D promulgated under the Securities Act.

 

 

    1 

     

    

 

“Affiliate”
means any Person that, directly or indirectly through one or more intermediaries, controls or is controlled by or is under common
control with a Person, as such terms are used in and construed under Rule 405 under the Securities Act.

 

“Business
Day” means any day except any Saturday, any Sunday, any day which is a federal legal holiday in the United States or
Switzerland or any day on which banking institutions in the State of New York or in the Canton of Basel-City, Zurich or Zug (Switzerland)
are authorized or required by law or other governmental action to close.

 

“Commission”
means the United States Securities and Exchange Commission.

 

“Exchange
Act” means the Securities Exchange Act of 1934, as amended, and the rules and regulations promulgated thereunder.

 

“Market
Price” of a Common Share on any date shall mean the arithmetic mean of the VWAP on each of the five (5) consecutive
Trading Days immediately preceding such date. The Market Price shall be appropriately adjusted for any stock dividend, stock split,
stock combination or other similar transaction during such period.

 

“Person”
means an individual or corporation, partnership, trust, incorporated or unincorporated association, joint venture, limited liability
company, joint stock company, government (or an agency or subdivision thereof) or other entity of any kind.

 

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

 

“Trading
Day” means a day on which the Common Stock is traded on a Trading Market.

 

“Trading
Market” means any of the following markets or exchanges on which the Common Stock is listed or quoted for trading on
the date in question: the NYSE MKT, the Nasdaq Capital Market, the Nasdaq Global Market, the Nasdaq Global Select Market, the
New York Stock Exchange or the OTC Bulletin Board (or any successors to any of the foregoing).

 

“Transfer
Agent” means the transfer agent for the Company’s Common Shares.

 

“VWAP”
means, for any date, the price determined by the first of the following clauses that applies: (a) if the Common Shares are then
listed or quoted on a Trading Market, the daily volume weighted average price per share of the Common Shares for such date (or
the nearest preceding date) on the Trading Market on which the Common Shares are then listed or quoted as reported by Bloomberg
L.P. (based on a Trading Day from 9:30 a.m. (New York City time) to 4:02 p.m. (New York City time)). If VWAP cannot be calculated
on such date on any of the foregoing bases, the VWAP on such date shall be the fair market value per share of the Common Shares
as mutually determined by the Company and the Holder.

 

Section
2.Exercise.

 

a)       Exercise
of Warrant. Exercise of the purchase rights represented by this Warrant may be made, in whole or in part, at any time or times
on or after the Initial

 

    2 

     

    

 

Exercise
Date and on or before the Termination Date by (i) delivery to the Company (or such other office, agency or bank of the Company
as it may designate by notice in writing to the registered Holder at the address of the Holder appearing on the books of the Company)
of the duly executed original of the Notice of Exercise in the form attached hereto as Exhibit A and (ii) payment of the aggregate
Exercise Price for the Common Shares specified in such Notice of Exercise in cash by wire transfer to a bank account in Switzerland
specified by the Company (the “Bank Account”); provided, that any single exercise shall be for Common
Shares with an aggregate Exercise Price of no less than $25,000 (or if the Holder’s purchase rights hereunder shall then
be for Common Shares with an aggregate Exercise Price of less than $25,000, such exercise shall be for all Common Shares then
subject to purchase hereunder). At the Holder’s election, such Holder may deposit an executed Notice of Exercise in escrow
with the Company and may thereafter provide irrevocable instructions to the Company with information necessary to complete such
Notice of Exercise via email sent to [XXXXXXXXXX]. The Company will complete such Notice of Exercise with such information and
thereafter release such Notice of Exercise from escrow such that the Notice of Exercise shall be delivered to the Company. Within
one (1) Trading Day following the date that a Notice of Exercise is sent to the Company or, if the Notice of Exercise is held
in escrow by the Company, the date that the relevant instruction to complete the Notice of Exercise is sent via email to the Company,
the Holder shall deliver the aggregate Exercise Price for the Common Shares specified in such Notice of Exercise to the Bank Account.
No medallion guarantee (or other type of guarantee or notarization) of any Notice of Exercise form shall be required. Notwithstanding
anything herein to the contrary, the Holder shall not be required to physically surrender this Warrant to the Company until the
Holder has purchased all of the Warrant Shares available hereunder and the Warrant has been exercised in full, in which case,
the Holder shall surrender this Warrant to the Company for cancellation within three (3) Trading Days of the date the final Notice
of Exercise is delivered to the Company. Partial exercises of this Warrant resulting in purchases of a portion of the total number
of Warrant Shares available hereunder shall have the effect of lowering the outstanding number of Warrant Shares purchasable hereunder
in an amount equal to the applicable number of Warrant Shares purchased. The Holder and the Company shall maintain records showing
the number of Warrant Shares purchased and the date of such purchases. The Company shall deliver any objection to any Notice of
Exercise within one (1) Business Day of receipt of such notice. If there is no effective registration statement under the Securities
Act permitting the issuance of Warrant Shares upon exercise of this Warrant, a Holder may not exercise the purchase rights represented
by this Warrant unless such Holder, at the time of such exercise, is an Accredited Investor and such Holder, at the Company’s
request, represents the same to the Company in writing. The Holder and any assignee, by acceptance of this Warrant, acknowledge
and agree that, by reason of the provisions of this paragraph, following the purchase of a portion of the Warrant Shares hereunder,
the number of Warrant Shares available for purchase hereunder at any given time may be less than the amount stated on the face
hereof.

 

b)       Exercise
Price. The exercise price per Common Share under this Warrant shall be $_____, subject to adjustment hereunder (the
“Exercise Price”). In no event

 

    3 

     

    

 

shall
the Exercise Price be adjusted below the nominal value (or U.S. dollar equivalent) of the Common Shares, which is CHF 0.40 as
of the Initial Exercise Date.

 

 

c)       If
an executed Notice of Exercise is delivered to the Company in accordance with the provisions of Section 2(a) after the Required
Effectiveness Date, and there is no effective registration statement registering the resale of the Warrant Shares by the Holder,
or the prospectus contained therein is not available for the resale of the Warrant Shares by the Holder (“Registration
Unavailability Period”), then, (i) the Company shall pay to the Holder, in cash, an amount equal to the product of (A-B)
and (X) and (ii) the number of Warrant Shares available for purchase hereunder shall be decreased by an amount equal to (X), where:

 

(A)
=  the last VWAP immediately preceding the time of delivery of the executed Notice of Exercise during the Registration Unavailability
Period (to clarify, the “last VWAP” will be the last VWAP as calculated over an entire Trading Day such that, in the
event the Notice of Exercise is delivered at a time that the Trading Market is open, the prior Trading Day’s VWAP shall
be used in this calculation);

 

(B)
=  the Exercise Price of this Warrant, as adjusted hereunder; and

 

(X) =  the number of Warrant
Shares that would be issuable upon exercise of this Warrant pursuant to the executed Notice of Exercise delivered during the Registration
Unavailability Period.

 

d)       Mechanics
of Exercise.

 

i.       Delivery
of Warrant Shares Upon Exercise. The Company shall cause the Warrant Shares purchased hereunder to be transmitted by the Transfer
Agent to the Holder by crediting the account of the Holder’s or its designee’s balance account with The Depository
Trust Company through its Deposit or Withdrawal at Custodian system (“DWAC”) if the Company is then a participant
in such system and there is an effective registration statement under the Securities Act permitting the issuance of the Warrant
Shares to or resale of the Warrant Shares by Holder, and otherwise by physical delivery of a certificate, registered in the Company’s
share register in the name of the Holder or its designee, for the number of Warrant Shares to which the Holder is entitled pursuant
to such exercise to the address specified by the Holder in the Notice of Exercise by the date that is the earlier of (i) two (2)
Trading Days and (ii) the number of Trading Days comprising the Standard Settlement Period (as defined herein) following the date
that the Company receives the latter of the executed Notice of Exercise and the applicable Exercise Price (such date, the “Warrant
Share Delivery Date”). With respect to a Holder that elects to deposit an executed Notice of Exercise with the Company,
such Holder shall be deemed, for purposes of Regulation SHO, to have become a holder of the Warrant Shares with respect to which
this Warrant has

 

    4 

     

    

 

been
exercised upon the email delivery of the relevant instruction necessary to complete the Notice of Exercise to the Company. If
the Company fails for any reason to deliver to the Holder the Warrant Shares subject to a Notice of Exercise by the Warrant Share
Delivery Date, the Company shall pay to the Holder, in cash, as liquidated damages and not as a penalty, for each $1,000 of Warrant
Shares subject to such exercise (based on the VWAP of the Common Shares on the date of the applicable Notice of Exercise), $5
per Trading Day (increasing to $10 per Trading Day on the fifth Trading Day after such liquidated damages begin to accrue) for
each Trading Day after such Warrant Share Delivery Date until such Warrant Shares are delivered. The Company agrees to maintain
a transfer agent that is a participant in the FAST program so long as this Warrant remains outstanding and exercisable. As used
herein, “Standard Settlement Period” means the standard settlement period, expressed in a number of Trading
Days, on the Company’s primary Trading Market with respect to the Common Shares as in effect on the date of delivery of
the Notice of Exercise.

 

ii.       Delivery
of New Warrants Upon Exercise. If this Warrant shall have been exercised in part, the Company shall, at the request of a Holder
and upon surrender of this Warrant, at the time of delivery of the Warrant Shares, deliver to the Holder a new Warrant evidencing
the rights of the Holder to purchase the unpurchased Warrant Shares called for by this Warrant, which new Warrant shall in all
other respects be identical with this Warrant.

 

iii.       [Reserved].

 

iv.       Compensation
for Buy-In on Failure to Timely Deliver Warrant Shares Upon Exercise. In addition to any other rights available to the Holder,
if the Company fails to cause the Transfer Agent to transmit to the Holder the Warrant Shares in accordance with the provisions
of Section 2(d)(i) above pursuant to an exercise on or before the Warrant Share Delivery Date, and if after such date the Holder
is required by its broker to purchase (in an open market transaction or otherwise) or the Holder’s brokerage firm otherwise
purchases, Common Shares to deliver in satisfaction of a sale by the Holder of the Warrant Shares which the Holder anticipated
receiving upon such exercise (a “Buy-In”), then the Company shall (A) pay in cash to the Holder the amount,
if any, by which (x) the Holder’s total purchase price (including brokerage commissions, if any) for the Common Shares so
purchased exceeds (y) the amount obtained by multiplying (1) the number of Warrant Shares that the Company was required to deliver
to the Holder in connection with the exercise at issue times (2) the price at which the sell order giving rise to
such purchase obligation was executed (without deducting brokerage commissions, if any), and (B) at the option of the Holder,
either reinstate the portion of the Warrant and equivalent number of Warrant Shares for

 

    5 

     

    

 

which
such exercise was not honored (in which case such exercise shall be deemed rescinded) or deliver to the Holder the number of Common
Shares that would have been issued had the Company timely complied with its exercise and delivery obligations hereunder. For example,
if the Holder purchases Common Shares having a total purchase price of $11,000 to cover a Buy-In with respect to an attempted
exercise of Common Shares with an aggregate sale price giving rise to such purchase obligation of $10,000, under clause (A) of
the immediately preceding sentence the Company shall be required to pay the Holder $1,000. The Holder shall provide the Company
written notice indicating the amounts payable to the Holder in respect of the Buy-In and, upon request of the Company, evidence
of the amount of such loss. Nothing herein shall limit a Holder’s right to pursue any other remedies available to it hereunder,
at law or in equity including, without limitation, a decree of specific performance and/or injunctive relief with respect to the
Company’s failure to timely deliver Common Shares upon exercise of the Warrant as required pursuant to the terms hereof.

 

v.       No
Fractional Shares or Scrip. No fractional shares or scrip representing fractional shares shall be issued upon the exercise
of this Warrant. As to any fraction of a share which the Holder would otherwise be entitled to purchase upon such exercise, the
Company shall, at its election, either pay a cash adjustment in respect of such final fraction in an amount equal to such fraction
multiplied by the Exercise Price or round up to the next whole share.

 

vi.       Charges,
Taxes and Expenses. Issuance of Warrant Shares shall be made without charge to the Holder for any issue or transfer tax or
other incidental expense in respect of the issuance of such Warrant Shares, all of which taxes and expenses shall be paid by the
Company, and such Warrant Shares shall be issued in the name of the Holder or in such name or names as may be directed by the
Holder; provided, however, that in the event that Warrant Shares are to be issued in a name other than the name
of the Holder, this Warrant when surrendered for exercise shall be accompanied by the Assignment Form attached hereto as Exhibit
B duly executed by the Holder and the Company may require, as a condition thereto, the payment of a sum sufficient to reimburse
it for any transfer tax incidental thereto. The Company shall pay all Transfer Agent fees required for same-day processing of
any Notice of Exercise and all fees to the Depository Trust Company (or another established clearing corporation performing similar
functions) required for same-day electronic delivery of the Warrant Shares.

 

vii.       Closing
of Books. The Company will not close its shareholder books or records in any manner which prevents the timely exercise of
this Warrant, pursuant to the terms hereof.

 

    6 

     

    

 

e)       Holder’s
Exercise Limitations. The Company shall not effect any exercise of this Warrant, and a Holder shall not have the right to
exercise any portion of this Warrant, pursuant to Section 2 or otherwise, to the extent that after giving effect to such issuance
after exercise as set forth on the applicable Notice of Exercise, the Holder (together with the Holder’s Affiliates, and
any other Persons acting as a group together with the Holder or any of the Holder’s Affiliates (such Persons, “Attribution
Parties”)), would beneficially own in excess of the Beneficial Ownership Limitation (as defined below), provided that
this restriction shall not apply with respect to exercises of this Warrant by a Holder to the extent such Holder together with
its Affiliates and Attribution Parties beneficially owned in excess of the Beneficial Ownership Limitation prior to the Initial
Exercise Date.  For purposes of the foregoing sentence, the number of Common Shares beneficially owned by the Holder and
its Affiliates and Attribution Parties shall include the number of Common Shares issuable upon exercise of this Warrant with respect
to which such determination is being made, but shall exclude the number of Common Shares which would be issuable upon (i) exercise
of the remaining, nonexercised portion of this Warrant beneficially owned by the Holder or any of its Affiliates or Attribution
Parties and (ii) exercise or conversion of the unexercised or nonconverted portion of any other securities of the Company (including,
without limitation, any other Common Share Equivalents) subject to a limitation on conversion or exercise analogous to the limitation
contained herein beneficially owned by the Holder or any of its Affiliates or Attribution Parties.  Except as set forth in
the preceding sentence, for purposes of this Section 2(e), beneficial ownership shall be calculated in accordance with Section
13(d) of the Exchange Act and the rules and regulations promulgated thereunder, it being acknowledged by the Holder that the Company
is not representing to the Holder that such calculation is in compliance with Section 13(d) of the Exchange Act and the Holder
is solely responsible for any schedules required to be filed in accordance therewith. To the extent that the limitation contained
in this Section 2(e) applies, the determination of whether this Warrant is exercisable (in relation to other securities owned
by the Holder together with any Affiliates and Attribution Parties) and of which portion of this Warrant is exercisable shall
be in the sole discretion of the Holder, and the submission of a Notice of Exercise shall be deemed to be the Holder’s determination
of whether this Warrant is exercisable (in relation to other securities owned by the Holder together with any Affiliates and Attribution
Parties) and of which portion of this Warrant is exercisable, in each case subject to the Beneficial Ownership Limitation, and
the Company shall have no obligation to verify or confirm the accuracy of such determination. In addition, a determination as
to any group status as contemplated above shall be determined in accordance with Section 13(d) of the Exchange Act and the rules
and regulations promulgated thereunder. For purposes of this Section 2(e), in determining the number of outstanding Common Shares,
a Holder may rely on the number of outstanding Common Shares as reflected in (A) the Company’s most recent annual report
filed with the Commission, (B) a more recent public announcement by the Company or (C) a more recent written notice by the Company
or the Transfer Agent setting forth the number of Common Shares outstanding.  Upon the written or oral request of a Holder,
the Company shall within two Trading Days confirm orally and in writing to the Holder the number of Common Shares then outstanding. 
In any case, the number of outstanding Common Shares shall be determined after giving

 

    7 

     

    

 

effect
to the conversion or exercise of securities of the Company, including this Warrant, by the Holder or its Affiliates or Attribution
Parties since the date as of which such number of outstanding Common Shares was reported. The “Beneficial Ownership Limitation”
shall be 4.99% of the number of Common Shares outstanding immediately after giving effect to the issuance of Common Shares issuable
upon exercise of this Warrant. The Holder, upon notice to the Company, may increase or decrease the Beneficial Ownership Limitation
provisions of this Section 2(e), provided that the Beneficial Ownership Limitation in no event exceeds 9.99% of the number of
Common Shares outstanding immediately after giving effect to the issuance of Common Shares upon exercise of this Warrant held
by the Holder and the provisions of this Section 2(e) shall continue to apply. Any increase in the Beneficial Ownership Limitation
will not be effective until the 61st day after such notice is delivered to the Company. The provisions of this paragraph
shall be construed and implemented in a manner otherwise than in strict conformity with the terms of this Section 2(e) to correct
this paragraph (or any portion hereof) which may be defective or inconsistent with the intended Beneficial Ownership Limitation
herein contained or to make changes or supplements necessary or desirable to properly give effect to such limitation. The limitations
contained in this paragraph shall apply to a successor holder of this Warrant.

 

Section
3.Certain Adjustments.

 

a)       Share
Dividends and Splits. If the Company, at any time while this Warrant is outstanding: (i) pays a share dividend or otherwise
makes a distribution or distributions on Common Shares or any other equity or equity equivalent securities payable in Common Shares
(which, for avoidance of doubt, shall not include any Common Shares issued by the Company upon exercise of this Warrant), (ii)
subdivides outstanding Common Shares into a larger number of shares, (iii) combines (including by way of reverse share split)
outstanding Common Shares into a smaller number of shares, or (iv) issues by reclassification of the Common Shares any shares
of capital share of the Company, then in each case the Exercise Price shall be multiplied by a fraction of which the numerator
shall be the number of Common Shares (excluding treasury shares, if any) outstanding immediately before such event and of which
the denominator shall be the number of Common Shares outstanding immediately after such event, and the number of Warrant Shares
issuable upon exercise of this Warrant shall be proportionately adjusted such that the aggregate Exercise Price of this Warrant
shall remain unchanged. Any adjustment made pursuant to this Section 3(a) shall become effective immediately after the record
date for the determination of shareholders entitled to receive such dividend or distribution and shall become effective immediately
after the effective date in the case of a subdivision, combination or re-classification.

 

b)       [Reserved].

 

c)       Cash
Dividends. During such time as this Warrant is outstanding, if the Company shall declare or make any cash dividend or other
cash distribution to holders of Common Shares (a “Cash Dividend”), at any time after the issuance of this Warrant,
then, then (i) any Exercise Price in effect immediately prior to the close of business on the record date fixed for the determination
of holders of Common Shares entitled to

 

    8 

     

    

 

receive
the Cash Dividend shall be reduced, effective as of the close of business on such record date, to a price determined by multiplying
such Exercise Price by a fraction of which (A) the numerator shall be the Market Price of the Common Shares on the Trading
Day immediately preceding such record date minus the amount of the Cash Dividend applicable to one Common Share, and (B) the
denominator shall be the Market Price of the Common Shares on the Trading Day immediately preceding such record date; and (ii) the
number of Warrant Shares shall be increased to a number of Common Shares equal to the number of shares of Common Stock obtainable
immediately prior to the close of business on the record date fixed for the determination of holders of shares of Common Stock
entitled to receive the Cash Dividend multiplied by the reciprocal of the fraction set forth in the immediately preceding clause
(i).

 

d)       Fundamental
Transaction. If, at any time while this Warrant is outstanding, (i) the Company, directly or indirectly, in one or more related
transactions effects any merger or consolidation of the Company with or into another Person, (ii) the Company, directly or indirectly,
effects any sale, lease, license, assignment, transfer, conveyance or other disposition of all or substantially all of its assets
in one or a series of related transactions, (iii) any, direct or indirect, purchase offer, tender offer or exchange offer (whether
by the Company or another Person) is completed pursuant to which holders of Common Shares are permitted to sell, tender or exchange
their shares for other securities, cash or property and has been accepted by the holders of 50% or more of the outstanding Common
Shares, (iv) the Company, directly or indirectly, in one or more related transactions effects any reclassification, reorganization
or recapitalization of the Common Shares or any compulsory share exchange pursuant to which the Common Shares are effectively
converted into or exchanged for other securities, cash or property, or (v) the Company, directly or indirectly, in one or more
related transactions consummates a share or share purchase agreement or other business combination (including, without limitation,
a reorganization, recapitalization, spin-off or scheme of arrangement) with another Person or group of Persons whereby such other
Person or group acquires more than 50% of the outstanding Common Shares (not including any Common Shares held by the other Person
or other Persons making or party to, or associated or affiliated with the other Persons making or party to, such share or share
purchase agreement or other business combination) (each a “Fundamental Transaction”), then, upon any subsequent
exercise of this Warrant, the Holder shall have the right to receive, for each Warrant Share that would have been issuable upon
such exercise immediately prior to the occurrence of such Fundamental Transaction, at the option of the Holder (without regard
to any limitation in Section 2(e) on the exercise of this Warrant), the number of Common Shares of the successor or acquiring
corporation or of the Company, if it is the surviving corporation, and any additional consideration (the “Alternate Consideration”)
receivable as a result of such Fundamental Transaction by a holder of the number of Common Shares for which this Warrant is exercisable
immediately prior to such Fundamental Transaction (without regard to any limitation in Section 2(e) on the exercise of this Warrant).
For purposes of any such exercise, the determination of the Exercise Price shall be appropriately adjusted to apply to such Alternate
Consideration based on the amount of Alternate Consideration issuable in respect of one Common Share in such Fundamental Transaction,
and the Company shall apportion the Exercise Price among the Alternate Consideration in a reasonable manner

 

    9 

     

    

 

reflecting
the relative value of any different components of the Alternate Consideration. If holders of Common Shares are given any choice
as to the securities, cash or property to be received in a Fundamental Transaction, then the Holder shall be given the same choice
as to the Alternate Consideration it receives upon any exercise of this Warrant following such Fundamental Transaction. Notwithstanding
anything to the contrary, in the event of a Fundamental Transaction (other than a Fundamental Transaction resulting from the merger
of the Company with a wholly-owned subsidiary of the Company in which the common shares of the surviving entity remain listed
or quoted on a Trading Market), the Company or any Successor Entity (as defined below) shall, at the Holder’s option, exercisable
at any time concurrently with, or within 30 days after, the consummation of the Fundamental Transaction, purchase this Warrant
from the Holder by paying to the Holder an amount of cash equal to the Black Scholes Value of the remaining unexercised portion
of this Warrant on the date of the consummation of such Fundamental Transaction. “Black Scholes Value” means
the value of this Warrant based on the Black and Scholes Option Pricing Model obtained from the “OV” function on Bloomberg,
L.P. (“Bloomberg”) determined as of the day of consummation of the applicable Fundamental Transaction for pricing
purposes and reflecting (A) a risk-free interest rate corresponding to the U.S. Treasury rate for a period equal to the time between
the date of the public announcement of the applicable Fundamental Transaction and the Termination Date, (B) an expected volatility
equal to the greater of 100% and the 100 day volatility obtained from the HVT function on Bloomberg as of the Trading Day immediately
following the public announcement of the applicable Fundamental Transaction, (C) the underlying price per share used in such calculation
shall be the sum of the price per share being offered in cash, if any, plus the value of any non-cash consideration, if any, being
offered in such Fundamental Transaction and (D) a remaining option time equal to the time between the date of the public announcement
of the applicable Fundamental Transaction and the Termination Date. The payment of the Black Scholes Value will be made by wire
transfer of immediately available funds within five Business Days of the Holder’s election (or, if later, on the effective
date of the Fundamental Transaction). The Company shall cause any successor entity in a Fundamental
Transaction in which the Company is not the survivor (the “Successor Entity”) to assume in writing all of the
obligations of the Company under this Warrant in accordance with the provisions of this Section 3(e) pursuant to written agreements
prior to such Fundamental Transaction and shall, at the option of the Holder, deliver to the Holder in exchange for this Warrant
a security of the Successor Entity evidenced by a written instrument substantially similar in form and substance to this Warrant
which is exercisable for a corresponding number of shares in the share capital of such Successor Entity (or its parent entity)
equivalent to the Common Shares acquirable and receivable upon exercise of this Warrant (without regard to any limitations on
the exercise of this Warrant) prior to such Fundamental Transaction, and with an exercise price which applies the exercise price
hereunder to such shares (but taking into account the relative value of the Common Shares pursuant to such Fundamental Transaction
and the value of such shares, such number of shares and such exercise price being for the purpose of protecting the economic value
of this Warrant immediately prior to the consummation of such Fundamental Transaction). Upon the occurrence of any such Fundamental
Transaction, the Successor Entity shall succeed to, and be substituted for (so that from and after the date of such Fundamental
Transaction,

 

    10 

     

    

 

the provisions of this Warrant referring to the “Company” shall refer instead to the Successor Entity),
and may exercise every right and power of the Company and shall assume all of the obligations of the Company under this Warrant
with the same effect as if such Successor Entity had been named as the Company herein.

 

e)       Calculations.
All calculations under this Section 3 shall be made to the nearest cent or the nearest 1/100th of a share, as the case may be.
For purposes of this Section 3, the number of Common Shares deemed to be issued and outstanding as of a given date shall be the
sum of the number of Common Shares (excluding treasury shares, if any) issued and outstanding.

 

f)        Notice
to Holder.

 

i.       Adjustment
to Exercise Price. Whenever the Exercise Price is adjusted pursuant to any provision of this Section 3, the Company shall
promptly publish on its website at www.aurismedical.com a notice setting forth the Exercise Price after such adjustment and any
resulting adjustment to the number of Warrant Shares and setting forth a brief statement of the facts requiring such adjustment.

 

ii.       Notice
to Allow Exercise by Holder. If (A) the Company shall declare a dividend (or any other distribution in whatever form) on the
Common Shares, (B) the Company shall declare a special nonrecurring cash dividend on or a redemption of the Common Shares, (C)
the Company shall authorize the granting to all holders of the Common Shares rights or warrants to subscribe for or purchase any
shares of any class or of any rights, (D) the approval of any shareholders of the Company shall be required in connection with
any reclassification of the Common Shares, any consolidation or merger to which the Company is a party, any sale or transfer of
all or substantially all of the assets of the Company, or any compulsory share exchange whereby the Common Shares is converted
into other securities, cash or property, or (E) the Company shall authorize the voluntary or involuntary dissolution, liquidation
or winding up of the affairs of the Company, then, in each case, the Company shall cause to be published on its website at www.aurismedical.com,
at least 20 calendar days prior to the applicable record or effective date hereinafter specified, a notice stating (x) the date
on which a record is to be taken for the purpose of such dividend, distribution, redemption, rights or warrants, or if a record
is not to be taken, the date as of which the holders of the Common Shares of record to be entitled to such dividend, distributions,
redemption, rights or warrants are to be determined or (y) the date on which such reclassification, consolidation, merger, sale,
transfer or share exchange is expected to become effective or close, and the date as of which it is expected that holders of the
Common Shares of record shall be entitled to exchange their Common Shares for securities, cash or other property deliverable upon
such reclassification, consolidation, merger, sale, transfer or share exchange; provided that the failure to deliver such notice
or any

 

    11 

     

    

 

defect
therein or in the delivery thereof shall not affect the validity of the corporate action required to be specified in such notice.
To the extent that any notice required by this Warrant constitutes, or contains, material, non-public information regarding the
Company, the Company shall simultaneously file such notice with the Commission pursuant to a Report on Form 6-K. The Holder shall
remain entitled to exercise this Warrant during the period commencing on the date of such notice to the effective date of the
event triggering such notice except as may otherwise be expressly set forth herein.

 

g)       Applicability
of article 653d para. 2 Swiss Code Obligations. For the avoidance of doubt, the parties hereto acknowledge and agree that
article 653d para. 2 Swiss Code Obligations shall apply.

 

Section
4.Transfer of Warrant.

 

a)       Transferability.
Subject to compliance with any applicable securities laws and the conditions set forth in Section 4(d) hereof and to the provisions
of Section 4.1 of the Purchase Agreement, this Warrant and all rights hereunder (including, without limitation, any registration
rights) are transferable, in whole or in part, upon surrender of this Warrant at the principal office of the Company or its designated
agent, together with a written assignment of this Warrant substantially in the form attached hereto duly executed by the Holder
or its agent or attorney and funds sufficient to pay any transfer taxes payable upon the making of such transfer. Upon such surrender
and, if required, such payment, the Company shall execute and deliver a new Warrant or Warrants in the name of the assignee or
assignees, as applicable, and in the denomination or denominations specified in such instrument of assignment, and shall issue
to the assignor a new Warrant evidencing the portion of this Warrant not so assigned, and this Warrant shall promptly be cancelled.
Notwithstanding anything herein to the contrary, the Holder shall not be required to physically surrender this Warrant to the
Company unless the Holder has assigned this Warrant in full, in which case, the Holder shall surrender this Warrant to the Company
within three (3) Trading Days of the date on which the Holder delivers an assignment form to the Company assigning this Warrant
in full. The Warrant, if properly assigned in accordance herewith, may be exercised by a new holder for the purchase of Warrant
Shares without having a new Warrant issued.

 

b)       New
Warrants. This Warrant may be divided or combined with other Warrants upon presentation hereof at the aforesaid office of
the Company, together with a written notice specifying the names and denominations in which new Warrants are to be issued, signed
by the Holder or its agent or attorney. Subject to compliance with Section 4(a), as to any transfer which may be involved in such
division or combination, the Company shall execute and deliver a new Warrant or Warrants in exchange for the Warrant or Warrants
to be divided or combined in accordance with such notice. All Warrants issued on transfers or exchanges shall be dated the initial
issuance date of this Warrant and shall be identical with this Warrant except as to the number of Warrant Shares issuable pursuant
thereto.

 

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c)       Warrant
Register. The Company shall register this Warrant, upon records to be maintained by the Company for that purpose (the “Warrant
Register”), in the name of the record Holder hereof from time to time. The Company may deem and treat the registered
Holder of this Warrant as the absolute owner hereof for the purpose of any exercise hereof or any distribution to the Holder,
and for all other purposes, absent actual notice to the contrary.

 

d)       Transfer
Restrictions. If, at the time of the surrender of this Warrant in connection with any transfer of this Warrant, the transfer
of this Warrant shall not be either (i) registered pursuant to an effective registration statement under the Securities Act and
under applicable state securities or blue sky laws or (ii) eligible for resale without volume or manner-of-sale restrictions or
current public information requirements pursuant to Rule 144, the Company may require, as a condition of allowing such transfer,
that the Holder or transferee of this Warrant, as the case may be, comply with the provisions of Section 5.7 of the Purchase Agreement.

 

e)       Representation
by the Holder. The Holder, by the acceptance hereof, represents and warrants that it is acquiring this Warrant and, upon any
exercise hereof, will acquire the Warrant Shares issuable upon such exercise, for its own account and not with a view to or for
distributing or reselling such Warrant Shares or any part thereof in violation of the Securities Act or any applicable state securities
law, except pursuant to sales registered or exempted under the Securities Act.

 

Section
5.Miscellaneous.

 

a)       No
Rights as Shareholder Until Exercise. This Warrant does not entitle the Holder to any voting rights, dividends or other rights
as a shareholder of the Company. Upon receipt by the Company of a Notice of Exercise executed by a Holder and the applicable Exercise
Price, such Holder shall be entitled to the voting rights, dividends and other rights as a shareholder of the Company with respect
to the Common Shares specified in such Notice of Exercise.

 

b)       Loss,
Theft, Destruction or Mutilation of Warrant. The Company covenants that upon receipt by the Company of evidence reasonably
satisfactory to it of the loss, theft, destruction or mutilation of this Warrant or any share certificate relating to the Warrant
Shares, and in case of loss, theft or destruction, of indemnity or security reasonably satisfactory to it (which, in the case
of the Warrant, shall not include the posting of any bond), and upon surrender and cancellation of such Warrant or share certificate,
if mutilated, the Company will make and deliver a new Warrant or share certificate of like tenor and dated as of such cancellation,
in lieu of such Warrant or share certificate.

 

c)       Saturdays,
Sundays, Holidays, etc. If the last or appointed day for the taking of any action or the expiration of any right required
or granted herein shall not be a Business Day, then, such action may be taken or such right may be exercised on the next succeeding
Business Day.

 

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d)       Conditional
Capital.

 

During
the term of this Warrant, the Company will at all times have authorized and reserved a sufficient number of its Common Shares
as contingent capital (bedingtes Kapital) to provide for the exercise of the rights to purchase Common Shares as provided for
herein. Alternatively, the Company may use its current or future authorized share capital or treasury shares to issue the Warrant
Shares. The Company acknowledges that compensation for damages may not be sufficient remedy for the Holder in case of the Company’s
failure to comply with its obligations under this paragraph and therefore expressly confirms that the Holder may in such case
request specific performance (Realerfüllung) upon due exercise of its purchase rights pursuant to Section 2 hereof from time
to time by obligating the Company to deliver such number of shares as would have been issued to the Holder in connection with
such exercise of its purchase rights from time to time.

 

The
Company will take all such reasonable action as may be necessary to assure that such Warrant Shares may be issued as provided
herein without violation of any applicable law or regulation, including by maintaining an effective registration statement under
the Securities Act permitting the issuance of Warrant Shares upon exercise of this Warrant from the Initial Exercise Date until
the Termination Date, or of any requirements of the Trading Market upon which the Common Shares may be listed. The Company covenants
that all Warrant Shares which may be issued upon the exercise of the purchase rights represented by this Warrant will, upon exercise
of the purchase rights represented by this Warrant and payment for such Warrant Shares in accordance herewith, be duly authorized,
validly issued, fully paid and nonassessable and free from all taxes, liens and charges created by the Company in respect of the
issue thereof (other than taxes in respect of any transfer occurring contemporaneously with such issue).

 

Except
and to the extent as waived or consented to by the Holder, the Company shall not by any action, including, without limitation,
amending its articles of incorporation or through any reorganization, transfer of assets, consolidation, merger, dissolution,
issue or sale of securities or any other voluntary action, avoid or seek to avoid the observance or performance of any of the
terms of this Warrant, but will at all times in good faith assist in the carrying out of all such terms and in the taking of all
such actions as may be necessary or appropriate to protect the rights of Holder as set forth in this Warrant against impairment.
Without limiting the generality of the foregoing, the Company will (i) not increase the nominal value of any Warrant Shares above
the amount payable therefor upon such exercise immediately prior to such increase in nominal value, (ii) take all such action
as may be necessary or appropriate in order that the Company may validly and legally issue fully paid and nonassessable Warrant
Shares upon the exercise of this Warrant and payment for such Warrant Shares and (iii) use commercially reasonable efforts to
obtain all such authorizations, exemptions or consents from any public regulatory body

 

    14 

     

    

 

having
jurisdiction thereof, as may be, necessary to enable the Company to perform its obligations under this Warrant.

 

Before
taking any action which would result in an adjustment in the number of Warrant Shares for which this Warrant is exercisable or
in the Exercise Price, the Company shall obtain all such authorizations or exemptions thereof, or consents thereto, as may be
necessary from any public regulatory body or bodies having jurisdiction thereof.

 

e)       Governing
Law. This Warrant shall be governed by, and construed and enforced in accordance with, the laws of the State of New York,
excluding conflict of laws principles that would cause the application of laws of any other jurisdiction. For the avoidance of
doubt, matters involving the rights of shareholders, issuance of Common Shares and the validity of Common Shares shall be governed
by the laws of Switzerland.

 

f)       Restrictions.
The Holder acknowledges that the Warrant Shares acquired upon the exercise of this Warrant, if not registered, will have restrictions
upon resale imposed by state and federal securities laws.

 

g)       Nonwaiver
and Expenses. No course of dealing or any delay or failure to exercise any right hereunder on the part of Holder shall operate
as a waiver of such right or otherwise prejudice the Holder’s rights, powers or remedies. Without limiting any other provision
of this Warrant, if the Company willfully and knowingly fails to comply with any provision of this Warrant, which results in any
material damages to the Holder, the Company shall pay to the Holder such amounts as shall be sufficient to cover any costs and
expenses including, but not limited to, reasonable attorneys’ fees, including those of appellate proceedings, incurred by
the Holder in collecting any amounts due pursuant hereto or in otherwise enforcing any of its rights, powers or remedies hereunder.

 

h)       Notices.
Any notice, request or other document required or permitted to be given or delivered to the Holder by the Company shall be delivered
to the address of the Holder set forth in the Warrant Register.

 

i)       Limitation
of Liability. No provision hereof, in the absence of any affirmative action by the Holder to exercise this Warrant to purchase
Warrant Shares, and no enumeration herein of the rights or privileges of the Holder, shall give rise to any liability of the Holder
for the purchase price of any Common Share or as a shareholder of the Company, whether such liability is asserted by the Company
or by creditors of the Company.

 

j)       Remedies.
The Holder, in addition to being entitled to exercise all rights granted by law, including recovery of damages, will be entitled
to specific performance of its rights under this Warrant. The Company agrees that monetary damages would not be adequate compensation
for any loss incurred by reason of a breach by it of the provisions of this Warrant and hereby agrees to waive and not to assert
the defense in any action for specific performance that a remedy at law would be adequate.

 

    15 

     

    

 

k)       Successors
and Assigns. Subject to applicable securities laws, this Warrant and the rights and obligations evidenced hereby shall inure
to the benefit of and be binding upon the successors and permitted assigns of the Company and the successors and permitted assigns
of Holder. The provisions of this Warrant are intended to be for the benefit of any Holder from time to time of this Warrant and
shall be enforceable by the Holder or holder of Warrant Shares.

 

l)       Amendment.
This Warrant may be modified or amended or the provisions hereof waived with the written consent of the Company and the Holder.

 

m)       Severability.
Wherever possible, each provision of this Warrant shall be interpreted in such manner as to be effective and valid under applicable
law, but if any provision of this Warrant shall be prohibited by or invalid under applicable law, such provision shall be ineffective
to the extent of such prohibition or invalidity, without invalidating the remainder of such provisions or the remaining provisions
of this Warrant.

 

n)       Headings.
The headings used in this Warrant are for the convenience of reference only and shall not, for any purpose, be deemed a part of
this Warrant.

 

********************

 

(Signature
Page Follows)

 

 

    16 

     

    

 

IN WITNESS
WHEREOF, the Company has caused this Warrant to be executed by its officer thereunto duly authorized as of the date first above
indicated.

 

	 	auris medical holding ag

 

 

 

	 	By:	 
	 	 	Name:	 
	 	 	Title:	 

 

 

    17 

     

    

 

EXHIBIT
A

 

NOTICE
OF EXERCISE

 

To:Auris
medical holding ag

 

(1)       Reference
is made to (i) the articles of association of Auris Medical Holding AG, Zug[, (ii) the resolutions of the shareholders’
meeting dated [...] of Auris Medical Holding AG, Zug regarding the authorization of the board of directors to increase the
share capital by a maximum of CHF [...] whereby such authorization entered into force on [...], and in view of the resolutions
of the board of directors to increase the share capital in the relevant amount[, and (iii) the offering prospectus dated [...]]
whereby (i)-[(iii)] are known to the undersigned].

 

(2)       The
undersigned hereby unconditionally and irreversibly exercises the Warrant pursuant to the terms of the attached Warrant (only
if exercised in full) to take up ___________ common shares in Auris Medical Holding AG, Zug, with a nominal value of CHF [...]each
at the issue price of CHF [...] per share, CHF [amount] in total.

 

(3)       Payment
shall be made in lawful money of the United States to the bank account of Auris Medical Holding AG as further specified by Auris
Medical Holding AG.

 

(4)       Please
issue said Warrant Shares in the name of the undersigned or in such other name as is specified below:

 

_______________________________

 

The Warrant Shares shall be delivered
to the following DWAC Account Number:

 

_______________________________

 

_______________________________

 

_______________________________

 

 

[SIGNATURE
OF HOLDER]

 

Name of Investing Entity: _______________________________________________________________________

 

Signature of Authorized Signatory
of Investing Entity: _________________________________________________

 

Name of Authorized Signatory:
___________________________________________________________________

 

Title of Authorized Signatory:
____________________________________________________________________

 

Date: _______________________________________________________________________________________

 

 

    18 

     

    

 

EXHIBIT
B

 

ASSIGNMENT
FORM

 

(To assign
the foregoing Warrant, execute this form and supply required information. Do not use this form to purchase shares.)

 

FOR VALUE
RECEIVED, the foregoing Warrant and all rights evidenced thereby are hereby assigned to

 

	Name:	 
	 	(Please Print)
	 	 
	Address:	 
	

         
	(Please Print)

	 	 
	Phone Number:	 
	 	 
	Email Address:	 
	 	 
	Dated: _______________ __, ______	 
	 	 
	Holder’s Signature:                                           	 
	 	 
	Holder’s Address:                                             	 

 

 

    19

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