Document:

Cooperation Agreement

 Exhibit 10.6 
 Cooperation Agreement on the Incorporation of Medgenn (Hong Kong) Ltd 
 Party A: Bestspeed Investments Limited
(BVI) 
 Incorporation Place: British Virgin Island 
 It is
incorporated by Doctor Luo Yongzhang with the authorization of Yantai Medgenn Co., Ltd 
 Party B: Yantai Medgenn Co., Ltd 
 Incorporation Place: Yantai Economic & Technologic Development Area 
 Party A and Party B agree to deal with various matters concerning the incorporation of the cooperative company in Hong Kong as follows: 
 Article I. The Name of the Cooperative Company 
 Chinese Name:

 
 English Name: Medgenn (Hong Kong) Ltd 
 hereinafter called the “Cooperative Company” 
 Article II. Incorporation Place 
 Hong Kong, China 
 Article III. Cooperation Purpose 
 Party A is an investments and advisory company incorporated by a group of lawyers, accountants and economists who engage in the research and development of
bio-pharmaceuticals and bio-technologies, the trading of relevant patents and technologies, the marketing of hi-tech products and the financing in the financial market. Party A has rich experiences in aforesaid fields and has established link
offices all over the world. 
 Party B is incorporated by the government of Yantai Economic & Technologic Development Area, Yantai Rongchang
Pharmaceutical Co., Ltd and a group of overseas returned doctors, which exclusively engage in the research and development of bio-technologies and bio-pharmaceuticals. The anti-cancer protein drug (“YH-16”) developed by Party B has already
been certified as Class 1 New Drug by State Food and Drug Administration (SFDA) and its Phase III clinical trial has already been finished now. 
 The
purpose of the incorporation of the cooperative company by Party A and Party B is to take advantage of Hong Kong’s position as the free port and the international financial center so as to promote Party B’s products and technologies, carry
out international registration of intellectual properties and the resale and trading of patented technologies and products, sign relevant contracts on behalf of both parties, collect relevant information regarding the research and development of
bio-pharmaceuticals for Party B, recruit professional talents for Party B, and make preparations for Party B’s international financing. 
 Article
IV. Shareholding Structure 
 Party A and Party B agree that Party A shall own 60% shares in the cooperative company while Party B shall own 40% shares in
the cooperative company. 

 Article V. Liabilities and Obligations 
 Party A and Party B confirm that the patent application rights and subsequent patent rights concerning YH-16 outside China (not including Hong Kong, Macau and Taiwan) shall be enjoyed by the Cooperative Company.

 Party A and Party B agree that Party B shall issue a letter of authorization regarding the international transaction about the patented technologies and
relevant products to Party A. Said letter of authorization shall be made in both English and Chinese and two copies, and Party A and Party B each shall keep one copy. 
 Party A and Party B undertake that either party shall not, without both parties’ written consents, unilaterally use the Cooperative Company to carry out business unrelated to Party B’s research, development
and production. 
 Party A shall: 
  

	1.	carry out applications and registrations about relevant technologies and products outside China for and on behalf of the Cooperative Company, and undertake fees and charges arising
therefrom; 

  

	2.	carry out transfer transactions concerning relevant technologies and patents for and on behalf of the Cooperative Company, and undertake fees and charges arising therefrom;

  

	3.	carry out international promotion for Party B’s products on behalf of the Cooperative Company, and undertake costs and expenses arising therefrom; 

  

	4.	sign and perform all international cooperation agreements related to aforesaid business and transaction for and in the name of the Cooperative Company; 

  

	5.	perform relevant terms of this Agreement, independently undertake any and all debts of the Cooperative Company, and enjoy relevant distribution in accordance with relevant terms of
this Agreement; 

  

	6.	negotiate and keep in touch with Party B on important issues concerning the Cooperative Company. 

 Party B shall: 
  

	1.	co-operate with Party A in the applications and registrations concerning Party B’s relevant technologies and products in relevant countries and jurisdictions.

  

	2.	co-operate with Party A in the transactions concerning Party B’s relevant technologies and patents; 

  

	3.	assist Party A to carry out international promotion concerning Party B’s products; 

  

	4.	assist Party A to sign relevant contracts with a third party on behalf of the Cooperative Company; 

  

	5.	perform relevant terms of this Agreement, not undertake any and all debts of the Cooperative Company, and enjoy relevant distribution in accordance with relevant terms of this
Agreement; 

  

	6.	negotiate and keep in touch with Party B on important issues concerning the Cooperative Company. 

 Article VI Board of Directors and Management Organizations 
  

	1.	The Cooperative Company shall have 5 directors to make resolutions on the Cooperative Company’s important issues. Party A shall be entitled to appoint 3 directors (“Party
A’s Directors”) while Party B shall be entitled to appoint 2 directors (“Party B’s Directors”). 

	2.	The Board of Directors of the Cooperative Company shall be entitled to decide the establishment of the management organizations. Party A shall be entitled to appoint the board
chairman of the Cooperative Company from Party A’s Directors while Party B shall be entitled to appoint the general manager of the Cooperative Company from Party B’s Directors. 

  

	3.	In consideration of the purpose and current situation of the Cooperative Company, the general manager shall be responsible for the daily management of the Cooperative Company.

  

	4.	The Cooperative Company may further recruit other management officers to satisfy its business development requirements. When the Cooperative Company generate profits, the
Cooperative Company shall establish a financial department which shall be responsible for the distribution in accordance with this Agreement. 

  

	5.	The tenure of directors and management officers shall be 5 years. 

 Article VII Default Liabilities 
  

	1.	In event either Party A or Party B materially violate this Agreement or any representations and warranties under this Agreement and does not rectify its default behaviors within 30
days as from the date it receive relevant notice from the observatory party, the observatory party shall be entitled to claim for compensation to the default party. 

  

	2.	In event Party A does not materially violate this Agreement, Party B shall not unilaterally terminate this Agreement, otherwise Party B shall reimburse Party A all pre-establishment
expenses plus a penalty equal to 5% of said expenses. When the Cooperative Company generate profits or shall generate profits in accordance with relevant agreements, Party B shall further pay Party A a compensation equal to 65% of the total profits
or amounts receivable of the Cooperative Company. 

 Article VIII Force Majeure 
  

	1.	Force Majeure means those events that are beyond either party’s control and cause said party fail to perform its obligations under this Agreement. Force Majeure events include
but not limited to any ban or action adopted by government or public authorities, riots, war, hostile acts, civil commotions, strike, other labor disputes and locked-out, pause or break-down of communications or other public utilities, epidemic,
fire, flood, earthquake, storm, tsunami or other nature disasters. 

  

	2.	In event either party suffering Force Majeure could not fully or partly perform any obligations, except for obligations under Article VII and Article VIII, said party shall notify
the other party of the occurrence and termination of Force Majeure with registered letter within 15 days as from the date of the occurrence and termination of said Force Majeure. The registered letter shall be accompanied with relevant
certifications or published news so as to prove the facts and the accuracy of provided materials. The party suffering Force Majeure is obligated to provide relevant evidences to prove the direct casual link between the Force Majeure and the
non-performance of relevant obligations. 

  

	3.	 In case the Force Majeure cause either party to fail or delay the performance its obligations under this Agreement, said party shall no be responsible for any
damages, costs or losses 

	 	 
arising therefrom, and the non-performance or delay shall not be deemed as a default to this Agreement. Other obligations and its time schedule under this
Agreement shall not be affected, and either party shall not claim penalties, interests or other compensation or donation for its looses arising from the delay or non-performance due to Force Majeure. 

 Article IX Arbitration 
  

	1.	Parties hereto shall try their best to resolve any and all disputes related to the resolution or the execution of the resolution through friendly consultation.

  

	2.	Parties hereto agree to submit disputes, which could not be resolved through friendly consultation, to China International Economic and Trade Arbitration Commission located in
Beijing for arbitration in accordance its effective arbitration rules. 

  

	3.	The arbitration award shall be final and bind parties hereto. 

 Article
X Term 
  

	1.	The term of this Agreement shall be 10 years as from the date when representatives duly authorized by parties hereto sign this Agreement. 

  

	2.	This Agreement shall be deemed as having being terminated when following conditions arises: 

  

	(1)	either party hereto is dissolved or goes into liquidation; 

  

	(2)	parties hereto agree to terminated this Agreement earlier; 

  

	(3)	this Agreement is rescinded or terminated in accordance with the award made by the arbitration commission; 

  

	(4)	the term of this Agreement expires. 

 When this Agreement terminates,
parties hereto shall carry out liquidate Cooperative Company in accordance with terms of this Agreement and local laws and regulations, and shall go through relevant legal formalities subsequent to the liquidation of the Cooperative Company.

 Article XI Miscellaneous 
  

	1.	All annexes of this Agreement shall be deemed as an integral part of this Agreement, and shall have same effects as the main text of this Agreement. The heading in the main text and
annexes shall not affect its interpretation. 

  

	2.	This Agreement shall be prepared in Chinese and English and in four copies, and either party shall keep two copies. In case of any discrepancy between the interpretation of the
Chinese text and the English text, the Chinese text shall prevail. 

  

	3.	Any and all amendments, alterations, additions or reductions to this Agreement shall be made in writing and signed by both parties’ authorized representatives, and shall be
supplements of this Agreement and have the same legal effects as provisions of this Agreement. 

  

	4.	Any matters unmentioned herein shall be otherwise decided by parties hereto. 

 Party A: Bestspeed Investments Limited (BVI) 
 Legal Representative: 

 Party B: Yantai Medgenn Co., Ltd 
 Legal Representative: 
 Date: 2005.2.10Implementation Rules of Supplementary Agreement

 Exhibit 10.7 
 Implementation Rules of Supplementary Agreement on Cooperation Agreement on the 
 Incorporation of
Medgenn (Hong Kong) Ltd 
 Party A: Yantai Medgenn Co., Ltd 
 Party B: Medgenn (Hong Kong) Ltd 
 Party A and Party B hereby stipulate following
implementation rules on the overseas sale of Party A’s product (“YH-16”) in accordance with relevant provisions under Cooperation Agreement on the Incorporation of Medgenn (Hong Kong) Ltd of February 10th, 2005 and Party A’s authorization concerning its overseas business under Supplementary Agreement on Cooperation
Agreement on the Incorporation of Medgenn (Hong Kong) Ltd: 
 Article I Pricing of Products 
 Party A shall determine the cost price of products for overseas sale basing on actual conditions. 
  

	1.	The cost price of YH-16 (the only product of Party A) shall include general and administrative expenses and relevant expense allocation in accordance with national pricing
regulations, but shall not include the amortization of research and development expenses, the interest expense of bank loan and the transportation insurance premiums. 

  

	2.	The domestic settlement price that Party A provides to Party B for overseas sale shall be 110% of the cost price. The cost price of the product shall be determined by the board of
directors of Party A, and shall not be changed unless relevant conditions materially change. 

  

	3.	Under present conditions, the cost price of the product is determined by Party A to be RMB 85.51 per unit. If necessary, said price may be adjusted in accordance with relevant
principles and procedures specified in paragraph 1 and paragraph 2. 

  

	4.	The sales price that Party A offers to Party B is limited to those products within 10% of the capacity that Party A has when relevant sales agreement is signed. As for those
products exceeding 10% of the capacity, Party A and Party B shall otherwise consult with each other on their sales price. 

 Article II
Purchase Order 
 Party B shall order products in accordance with overseas market demands, and shall place formal purchase orders with Party A.

  

	1.	A purchase order shall include the name of products, specification, quantity, time schedule, package and other major contents. 

  

	2.	The purchase order shall allow a reasonable time for Party A’s production. 

  

	3.	The purchase order shall be confirmed by both parties through signature. Upon singed, the purchase order shall be deemed as an economic agreement, and parties hereto shall perform
the purchase order in accordance with relevant requirements. 

 Article III Payment 
 Party B shall make payments to Party A in accordance with provisions of the purchase order. 
  

	1.	Party B shall pay 15% of the agreed settlement price as advance payment to Party A within 15 days as from the date the purchase order is placed with Party A. The rest payment shall
be made within 15 days as from the date Party A finish the delivery of products at the place appointed by Party B. 

	2.	Party B may be revoke the purchase order within 15 days as from the date Party B make aforesaid advance payment, and Party A shall be entitled not to refund said advance payment
under such condition. Unless conditions specified in paragraph 1 of Article VII occurs, Party B shall not revoke its purchase order 15 days after it has paid the advance payment. 

  

	3.	The payment for products shall be made in RMB in China. The company appointed by Party B shall settle with Party A and Party A shall issue relevant invoice.

 Article IV Warranty 
  

	1.	Party A shall deliver products to Party B in accordance with relevant provisions concerning the quality, quantity and time schedule specified in the purchase order.

  

	2.	Party A shall provide quality test report and other materials for each batch of products in accordance with international trade practices. 

  

	3.	The quality of Party A’s product shall not be below the examination standards of the destination country that Party A expressly indicates. Said examination standards shall form
a part of the sales agreement after being confirmed by both parties, and shall be the quality standards applicable to products. 

  

	4.	In case the quality of Party A’s products is not up to the standard specified in paragraph 3, Party B shall be entitled to refuse relevant products, and any and all losses
arising therefrom shall be undertaken by party A. 

  

	5.	After accepting Party A’s products, Party B shall be responsible for any and all quality problems arising because Party B does not abide by relevant transportation and storage
regulations. Except for that, Party A shall always assure the quality of relevant products. 

 Article V Transportation Insurance

  

	1.	Party A shall deliver products at the place appointed by Party B. The delivery of relevant products at said appointed place shall indicate the transfer of the ownership and the risk
of relevant products. Party B shall carry out examination at said appointed place, and shall submit its quality complaint, if any, to Party B in writing within 3 days. If Party B does not have any complaint about the quality, relevant products shall
be deemed as qualified products, and Party B shall make payments therefor. 

  

	2.	Party B shall assign a person for the customs clearance, consignment and insurance, and shall undertake relevant freights, insurance premiums and customs. Party A shall assist Party
B to deal with aforesaid matters. 

  

	3.	Party A’s product package shall satisfy Party B’s requirements. If Party B has no special requirements concerning the product package, Party A shall adopt packages which
satisfy international general standard. Party B shall indicate the “international general standard package” in the purchase order and provide a sample package to Party A. Once confirmed, package requirements shall bind Party A. If Party
A’s product package does not satisfy Party B’s requirements, Party shall be entitled to refuse relevant products and claim for compensation. 

  

	4.	 Party A is not responsible for the non-delivery or later delivery due to Force Majeure 

	 	 
existing during the production and transportation of relevant products. In case the existence of Force Majeure exceeds 90 days and the performance of
relevant sales contract does not complete within said period, Party B shall be entitled to revoke relevant sales contract. 

 Article VI
Profit Distribution 
  

	1.	Profit generated from overseas sale shall be distributed by Party B in accordance its shareholding structure. 

  

	2.	The profit shall be the amount that overseas sales price minus the domestic settlement price, freight, insurance premiums, sales tax, export duty and other tax levied by Hong Kong
government. 

  

	 3.
	 The profit distribution date shall be 10th each month, and the settlement place shall be Hong Kong. Party B shall submit monthly financial report to Party A. 

  

	4.	Party B shall submit its overseas sales contract and relevant documents to its shareholders for review. 

 Article VII Default and Arbitration 
  

	1.	Party A’s failure to deliver products which satisfy quality requirements and quantity requirements to Party B on time shall be deemed as a default. The default penalty for each
delayed day shall be 0.5% of the outstanding payments. If the delay in delivery exceeds 15 days, Party B shall be entitled to revoke the purchase order and claim the advance payment. Besides the default penalty computed in accordance with delayed
days, Party A shall compensate Party B for direct and indirect losses it suffers. 

  

	2.	Party B’s failure to make payments shall be deemed as a default. The default penalty for each delayed shall be 0.5% of the outstanding payments. Besides the default penalty
computed in accordance with delayed days, Party B shall also compensate Party A for direct and indirect losses it suffers. 

  

	3.	These implementation rules shall be governed by laws of People’s Republic of China. Party A and Party B agree to submit any disputes, which could not be solved through
consultation, to China International Economic and Trade Arbitration Commission located in Beijing for arbitration in accordance its effective arbitration rules. The arbitration award shall be final and bind parties hereto. 

Article VIII Miscellaneous 
  

	1.	Party B shall be responsible for any and all economic disputes and subsequent legal liabilities arising from intellectual property and other cause except for the product quality,
which occur when YH-16 products are sold outside China (not including Hong Kong, Macau and Taiwan). 

  

	2.	Any matters unmentioned herein may be otherwise supplemented by parties hereto through consultation. 

  

	3.	These implementation rules shall be prepared in 4 copies, and either party shall keep one copy. 

 Party A: Yantai Medgenn Co., Ltd 

 Party B: Medgenn (Hong Kong) Ltd 
 Date: 2005.8.6

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