Document:

Exhibit 10.1

 

EXECUTION VERSION

 

NEITHER THIS DEBENTURE NOR THE SECURITIES
INTO WHICH THIS DEBENTURE IS CONVERTIBLE HAVE BEEN REGISTERED WITH THE SECURITIES AND EXCHANGE COMMISSION OR THE SECURITIES COMMISSION
OF ANY STATE. THESE SECURITIES HAVE BEEN SOLD 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.

 

SEEDO
CORP.

 

Convertible
Debenture

 

	Issuance Date:  August 7, 2020	Original Principal Amount:    $200,000
	 	 
	No. SEDO-4-1	 

 

FOR VALUE RECEIVED,
SEEDO CORP., a Delaware corporation (the “Company”), hereby promises to pay to the order of YAII PN, LTD. or registered
assigns (the “Holder”) the amount set out above as the Original Principal Amount (as reduced pursuant to the terms
hereof pursuant to redemption, conversion or otherwise, the “Principal”) when due, on the Maturity Date (as defined
below), acceleration, redemption or otherwise (in each case in accordance with the terms hereof) and to pay interest (“Interest”)
on any outstanding Principal at the applicable Interest Rate from the date set out above as the Issuance Date (the “Issuance
Date”) until the same becomes due and payable, whether upon the Maturity Date, acceleration, conversion, redemption or
otherwise (in each case in accordance with the terms hereof). This Convertible Debenture (including all Convertible Debentures
issued in exchange, transfer or replacement hereof, this “Debenture”) is issued pursuant to the Securities Purchase
Agreement. Certain capitalized terms used herein are defined in Section 17.

 

(1) GENERAL
TERMS

 

(a) Payment
of Principal. On the Maturity Date, the Company shall pay to the Holder an amount in cash representing all outstanding Principal,
accrued and unpaid Interest. The “Maturity Date” shall be August 7, 2022, as may be extended at the option of
the Holder (i) in the event that, and for so long as, an Event of Default (as defined below) shall have occurred and be continuing
on the Maturity Date (as may be extended pursuant to this Section 1) or any event shall have occurred and be continuing on the
Maturity Date (as may be extended pursuant to this Section 1) that with the passage of time and the failure to cure would result
in an Event of Default. Other than as specifically permitted by this Debenture, the Company may not prepay or redeem any portion
of the outstanding Principal without the prior written consent of the Holder.

 

     

     

    

 

(b) Interest.
Interest shall accrue on the outstanding principal balance hereof at an annual rate equal to 10% (“Interest Rate”).
Interest shall be calculated on the basis of a 365-day year and the actual number of days elapsed, to the extent permitted by applicable
law. Interest hereunder shall be paid on the Maturity Date (or sooner if upon conversion or acceleration by the Holder as provided
herein) to the Holder or its assignee in whose name this Debenture is registered on the records of the Company regarding registration
and transfers of Debentures at the option of the Company in cash, or, provided that the Equity Conditions are then satisfied converted
into Common Stock at the Market Conversion Price on the Trading Day immediately prior to the date paid.

 

(2) EVENTS
OF DEFAULT. 

 

(a) An
“Event of Default”, wherever used herein, means any one of the following events (whatever the reason and whether
it shall be voluntary or involuntary or effected by operation of law or pursuant to any judgment, decree or order of any court,
or any order, rule or regulation of any administrative or governmental body):

 

(i) the
Company’s failure to pay to the Holder any amount of Principal, Interest, or other amounts when and as due under this Debenture
(including, without limitation, the Company’s failure to pay any redemption payments or amounts hereunder) or any other Transaction
Document;

 

(ii) The
Company or any subsidiary of the Company shall commence, or there shall be commenced against the Company or any subsidiary of the
Company under any applicable bankruptcy or insolvency laws as now or hereafter in effect or any successor thereto, or the Company
or any subsidiary of the Company commences any other proceeding under any reorganization, arrangement, adjustment of debt, relief
of debtors, dissolution, insolvency or liquidation or similar law of any jurisdiction whether now or hereafter in effect relating
to the Company or any subsidiary of the Company or there is commenced against the Company or any subsidiary of the Company any
such bankruptcy, insolvency or other proceeding which remains undismissed for a period of 61 days; or the Company or any subsidiary
of the Company is adjudicated insolvent or bankrupt; or any order of relief or other order approving any such case or proceeding
is entered; or the Company or any subsidiary of the Company suffers any appointment of any custodian, private or court appointed
receiver or the like for it or any substantial part of its property which continues undischarged or unstayed for a period of 61
days; or the Company or any subsidiary of the Company makes a general assignment for the benefit of creditors; or the Company or
any subsidiary of the Company shall fail to pay, or shall state that it is unable to pay, or shall be unable to pay, its debts
generally as they become due; or the Company or any subsidiary of the Company shall call a meeting of its creditors with a view
to arranging a composition, adjustment or restructuring of its debts; or the Company or any subsidiary of the Company shall by
any act or failure to act expressly indicate its consent to, approval of or acquiescence in any of the foregoing; or any corporate
or other action is taken by the Company or any subsidiary of the Company for the purpose of effecting any of the foregoing;

 

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(iii) The
Company or any subsidiary of the Company shall default in any of its obligations under any other debenture or any mortgage, credit
agreement or other facility, indenture agreement, factoring agreement or other instrument under which there may be issued, or by
which there may be secured or evidenced any indebtedness for borrowed money or money due under any long term leasing or factoring
arrangement of the Company or any subsidiary of the Company in an amount exceeding $100,000, whether such indebtedness now exists
or shall hereafter be created and such default shall result in such indebtedness becoming or being declared due and payable prior
to the date on which it would otherwise become due and payable;

 

(iv) If
the Common Stock is quoted or listed for trading on the following and it ceases to be so quoted or listed for trading and shall
not again be quoted or listed for trading on the OTCQB-MKT (the “Primary Market”) within 5 Trading Days of such
delisting;

 

(v) The
Company or any subsidiary of the Company shall be a party to any Change of Control Transaction (as defined in Section 17) unless
in connection with such Change of Control Transaction this Debenture is retired;

 

(vi) the
Company’s (A) failure to cure a Conversion Failure by delivery of the required number of shares of Common Stock within 5 Business
Days after the applicable Conversion Failure or (B) notice, written or oral, to any holder of the Debenture, including by way of
public announcement, at any time, of its intention not to comply with a request for conversion of the Debenture into shares of
Common Stock that is tendered in accordance with the provisions of the Debentures, other than pursuant to Section 4(e);

 

(vii) The
Company shall fail for any reason to deliver the payment in cash pursuant to a Buy-In (as defined herein) within 3 Business Days
after such payment is due;

 

(viii) The
Company shall fail to observe or perform any other covenant, agreement or warranty contained in, or otherwise commit any breach
or default of any provision of this Debenture (except as may be covered by Section 2(a)(i) through 2(a)(vii) hereof) or any Transaction
Documents (as defined in Section 17) which is not cured within the time prescribed.

 

(ix) any
Event of Default occurs with respect to any Transaction Document.

 

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(b) During
the time that any portion of this Debenture is outstanding, if any Event of Default has occurred, the full unpaid Principal amount
of this Debenture, together with interest and other amounts owing in respect thereof, to the date of acceleration shall become
at the Holder’s election, immediately due and payable in cash; provided however, the Holder may request (but shall have no obligation
to request) payment of such amounts in Common Stock of the Company. If an Event of Default occurs and for so long as such Event
of Default remains uncured, the Interest Rate on this Debenture shall immediately become 15% per annum and shall remain at such
increased interest rate until the applicable Event of Default is cured. Furthermore, in addition to any other remedies, the Holder
shall have the right (but not the obligation) to convert this Debenture at any time after (x) an Event of Default at the Market
Conversion Price or (y) the Maturity Date at the Market Conversion Price. The Holder need not provide and the Company hereby waives
any presentment, demand, protest or other notice of any kind, (other than required notice of conversion) and the Holder may immediately
and without expiration of any grace period enforce any and all of its rights and remedies hereunder and all other remedies available
to it under applicable law. Such declaration may be rescinded and annulled by Holder at any time prior to payment hereunder. No
such rescission or annulment shall affect any subsequent Event of Default or impair any right consequent thereon.

 

(3) COMPANY
REDEMPTION.

 

(a) Company’s
Cash Redemption. The Company at its option shall have the right to redeem (a “Redemption”), in part or in
whole, outstanding Principal and Interest under this Debenture prior to the Maturity Date provided that as of the date of the Holder’s
receipt of a Redemption Notice (as defined herein) (i) the VWAP of the Company’s Common Stock is less than the Fixed Conversion
Price and (ii) there is no Equity Conditions Failure. The Company shall pay an amount equal to the principal amount being redeemed
plus a redemption premium (“Redemption Premium”) equal to 10% of the outstanding Principal Amount being redeemed
plus outstanding and accrued Interest. In order to make a Redemption pursuant to this Section, the Company shall first provide
5 business days advanced written notice to the Holder of its intention to make a redemption (the “Redemption Notice”)
setting forth the amount of Principal and Interest it desires to redeem plus the applicable Redemption Premium (the “Redemption
Amount”). After receipt of the Redemption Notice the Holder shall have 5 Business Days to elect to convert all or any
portion of this Debenture, subject to the limitations set forth in Section 4(e). On the 6th Business Day after the Redemption
Notice, the Company shall deliver to the Holder via wire transfer of immediately available funds the Redemption Amount with respect
to the Principal Amount and Interest redeemed after giving effect to conversions by the Holder effected during the 5 Business Day
period.

 

(4) CONVERSION
OF DEBENTURE. This Debenture shall be convertible into shares of the Company’s Common Stock, on the terms and
conditions set forth in this Section 4.

 

(a) Conversion
Right. Subject to the provisions of Section 4(f), at any time or times on or after the Issuance Date and not withstanding any
pending Company Redemption, the Holder shall be entitled to convert at its option any portion of the outstanding and unpaid Conversion
Amount (as defined below) into fully paid and nonassessable shares of Common Stock in accordance with Section 4(e), at the lower
of the Fixed Conversion Price then in effect or the Market Conversion Price except as provided for in Section 2(b). The number
of shares of Common Stock issuable upon conversion of any Conversion Amount pursuant to this Section 4(a) shall be determined by
dividing (x) such Conversion Amount by (y) the Fixed Conversion Price or (z) the Market Conversion Price, as applicable (the “Conversion
Rate”). The Company shall not issue any fraction of a share of Common Stock upon any conversion. If the issuance would
result in the issuance of a fraction of a share of Common Stock, the Company shall round such fraction of a share of Common Stock
up to the nearest whole share. The Company shall pay any and all transfer, stamp and similar taxes that may be payable with respect
to the issuance and delivery of Common Stock upon conversion of any Conversion Amount.

 

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(b)
“Conversion Amount” means the portion of the Principal and accrued Interest to be converted, redeemed or otherwise
with respect to which this determination is being made.

 

(c) “Fixed
Conversion Price” means, as of any Conversion Date (as defined below) or other date of determination, $0.102, subject
to adjustment as provided herein. All such determinations to be appropriately adjusted for any stock split, stock dividend, stock
combination or other similar transaction.

 

(d) “Market
Conversion Price” means, as of any Conversion Date (as defined below) or other date of determination, 80% of the lowest
VWAP of the Company’s Common Stock during the 10 Trading Days immediately preceding the Conversion Date. All such determinations
to be appropriately adjusted for any stock split, stock dividend, stock combination or other similar transaction.

 

(e) Mechanics
of Conversion.

 

(i) Optional
Conversion. To convert any Conversion Amount into shares of Common Stock on any date (a “Conversion Date”),
the Holder shall (A) transmit by electronic mail (or otherwise deliver), for receipt on or prior to 11:59 p.m., New York Time,
on such date, a copy of an executed notice of conversion in the form attached hereto as Exhibit I (the “Conversion
Notice”) to the Company and (B) if required by Section 4(e)(iii), surrender this Debenture to a nationally recognized
overnight delivery service for delivery to the Company (or an indemnification undertaking reasonably satisfactory to the Company
with respect to this Debenture in the case of its loss, theft or destruction). On or before the 3rd Business Day following the
date of receipt of a Conversion Notice (the “Share Delivery Date”), the Company shall (X) if legends are not required
to be placed on certificates of Common Stock pursuant to the Securities Purchase Agreement and provided that the Transfer Agent
is participating in the Depository Trust Company’s (“DTC”) Fast Automated Securities Transfer Program, credit
such aggregate number of shares of Common Stock to which the Holder shall be entitled to the Holder’s or its designee’s balance
account with DTC through its Deposit Withdrawal Agent Commission system or (Y) if the Transfer Agent is not participating in the
DTC Fast Automated Securities Transfer Program, issue and deliver to the address as specified in the Conversion Notice, a certificate,
registered in the name of the Holder or its designee, for the number of shares of Common Stock to which the Holder shall be entitled
which certificates shall not bear any restrictive legends unless required pursuant to Section 3(g) of the Securities Purchase Agreement.
If this Debenture is physically surrendered for conversion and the outstanding Principal of this Debenture is greater than the
Principal portion of the Conversion Amount being converted, then the Company shall as soon as practicable and in no event later
than 3 Business Days after receipt of this Debenture and at its own expense, issue and deliver to the holder a new Debenture representing
the outstanding Principal not converted. The Person or Persons entitled to receive the shares of Common Stock issuable upon a conversion
of this Debenture shall be treated for all purposes as the record holder or holders of such shares of Common Stock upon the transmission
of a Conversion Notice.

 

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(ii) Company’s
Failure to Timely Convert. If within 3 Trading Days after the Company’s receipt by electronic mail a copy of a Conversion Notice
the Company shall fail to issue and deliver a certificate to the Holder or credit the Holder’s balance account with DTC for the
number of shares of Common Stock to which the Holder is entitled upon such conversion of any Conversion Amount (a “Conversion
Failure”), and if on or after such Trading Day the Holder purchases (in an open market transaction or otherwise) Common
Stock to deliver in satisfaction of a sale by the Holder of Common Stock issuable upon such conversion that the Holder anticipated
receiving from the Company (a “Buy-In”), then the Company shall, within 3 Business Days after the Holder’s request
and in the Holder’s discretion, either (i) pay cash to the Holder in an amount equal to the Holder’s total purchase price (including
brokerage commissions and other out of pocket expenses, if any) for the shares of Common Stock so purchased (the “Buy-In
Price”), at which point the Company’s obligation to deliver such certificate (and to issue such Common Stock) shall
terminate, or (ii) promptly honor its obligation to deliver to the Holder a certificate or certificates representing such Common
Stock and pay cash to the Holder in an amount equal to the excess (if any) of the Buy-In Price over the product of (A) such number
of shares of Common Stock, times (B) the Closing Bid Price on the Conversion Date.

 

(iii) Book-Entry.
Notwithstanding anything to the contrary set forth herein, upon conversion of any portion of this Debenture in accordance with
the terms hereof, the Holder shall not be required to physically surrender this Debenture to the Company unless (A) the full Conversion
Amount represented by this Debenture is being converted or (B) the Holder has provided the Company with prior written notice (which
notice may be included in a Conversion Notice) requesting reissuance of this Debenture upon physical surrender of this Debenture.
The Holder and the Company shall maintain records showing the Principal and Interest converted and the dates of such conversions
or shall use such other method, reasonably satisfactory to the Holder and the Company, so as not to require physical surrender
of this Debenture upon conversion.

 

(f) Limitations
on Conversions.

 

(i) Beneficial
Ownership. The Company shall not effect any conversions of this Debenture and the Holder shall not have the right to convert
any portion of this Debenture or receive shares of Common Stock as payment of interest hereunder to the extent that after giving
effect to such conversion or receipt of such interest payment, the Holder, together with any affiliate thereof, would beneficially
own (as determined in accordance with Section 13(d) of the Exchange Act and the rules promulgated thereunder) in excess of 4.99%
of the number of shares of Common Stock outstanding immediately after giving effect to such conversion or receipt of shares as
payment of interest. Since the Holder will not be obligated to report to the Company the number of shares of Common Stock it may
hold at the time of a conversion hereunder, unless the conversion at issue would result in the issuance of shares of Common Stock
in excess of 4.99% of the then outstanding shares of Common Stock without regard to any other shares which may be beneficially
owned by the Holder or an affiliate thereof, the Holder shall have the authority and obligation to determine whether the restriction
contained in this Section will limit any particular conversion hereunder and to the extent that the Holder determines that the
limitation contained in this Section applies, the determination of which portion of the principal amount of this Debenture is convertible
shall be the responsibility and obligation of the Holder. If the Holder has delivered a Conversion Notice for a principal amount
of this Debenture that, without regard to any other shares that the Holder or its affiliates may beneficially own, would result
in the issuance in excess of the permitted amount hereunder, the Company shall notify the Holder of this fact and shall honor the
conversion for the maximum principal amount permitted to be converted on such Conversion Date in accordance with Section 4(a) and,
any principal amount tendered for conversion in excess of the permitted amount hereunder shall remain outstanding under this Debenture.
The provisions of this Section may be waived by a Holder (but only as to itself and not to any other Holder) upon not less than
65 days prior notice to the Company. Other Holders shall be unaffected by any such waiver.

 

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(g) Other
Provisions.

 

(i) The
Company shall at all times reserve and keep available out of its authorized Common Stock the full number of shares of Common Stock
issuable upon conversion of all outstanding amounts under this Debenture; and within 3 Business Days following the receipt by the
Company of a Holder’s notice that such minimum number of Underlying Shares is not so reserved, the Company shall promptly reserve
a sufficient number of shares of Common Stock to comply with such requirement.

 

(ii) All
calculations under this Section 4 shall be rounded to the nearest $0.0001 or whole share.

 

(iii) The
Company covenants that it will at all times reserve and keep available out of its authorized and unissued shares of Common Stock
solely for the purpose of issuance upon conversion of this Debenture and payment of interest on this Debenture, each as herein
provided, free from preemptive rights or any other actual contingent purchase rights of persons other than the Holder, not less
than such number of shares of the Common Stock as shall (subject to any additional requirements of the Company as to reservation
of such shares set forth in this Debenture or in the Transaction Documents) be issuable (taking into account the adjustments and
restrictions set forth herein) upon the conversion of the outstanding principal amount of this Debenture and payment of interest
hereunder. The Company covenants that all shares of Common Stock that shall be so issuable shall, upon issue, be duly and validly
authorized, issued and fully paid, nonassessable and, if the Underlying Shares Registration Statement has been declared effective
under the Securities Act, registered for public sale in accordance with such Underlying Shares Registration Statement.

 

(iv) Nothing
herein shall limit a Holder’s right to pursue actual damages or declare an Event of Default pursuant to Section 2 herein for the
Company’s failure to deliver certificates representing shares of Common Stock upon conversion within the period specified
herein and such Holder shall have the right to pursue all remedies available to it at law or in equity including, without limitation,
a decree of specific performance and/or injunctive relief, in each case without the need to post a bond or provide other security.
The exercise of any such rights shall not prohibit the Holder from seeking to enforce damages pursuant to any other Section hereof
or under applicable law.

 

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(5) Adjustments
to the Fixed Conversion Price.

 

(a) Adjustment
of Fixed Conversion Price upon Issuance of Common Stock. If the Company, at any time while this Debenture is outstanding, issues
or sells, or in accordance with this Section 5(a) is deemed to have issued or sold, any shares of Common Stock, excluding shares
of Common Stock deemed to have been issued or sold by the Company in connection with an Excluded Securities, for a consideration
per share (the “New Issuance Price”) less than a price equal to the Fixed Conversion Price in effect immediately
prior to such issue or sale (such price the “Applicable Price”) (the foregoing a “Dilutive Issuance”),
then immediately after such Dilutive Issuance the Fixed Conversion Price then in effect shall be reduced to an amount equal to
the New Issuance Price. For purposes of determining the adjusted Fixed Conversion Price under this Section 5(a), the following
shall be applicable:

 

(i) Issuance
of Options. If the Company in any manner grants or sells any Options and the lowest price per share for which one share of
Common Stock is issuable upon the exercise of any such Option or upon conversion or exchange or exercise of any Convertible Securities
issuable upon exercise of such Option is less than the Applicable Price, then such share of Common Stock shall be deemed to be
outstanding and to have been issued and sold by the Company at the time of the granting or sale of such Option for such price per
share. For purposes of this Section, the “lowest price per share for which one share of Common Stock is issuable upon the
exercise of any such Option or upon conversion or exchange or exercise of any Convertible Securities issuable upon exercise of
such Option” shall be equal to the sum of the lowest amounts of consideration (if any) received or receivable by the Company
with respect to any one share of Common Stock upon granting or sale of the Option, upon exercise of the Option and upon conversion
or exchange or exercise of any Convertible Securities issuable upon exercise of such Option. No further adjustment of the Conversion
Price shall be made upon the actual issuance of such share of Common Stock or of such Convertible Securities upon the exercise
of such Options or upon the actual issuance of such Common Stock upon conversion or exchange or exercise of such Convertible Securities.

 

(ii) Issuance
of Convertible Securities. If the Company in any manner issues or sells any Convertible Securities and the lowest price per
share for which one share of Common Stock is issuable upon such conversion or exchange or exercise thereof is less than the Applicable
Price, then such share of Common Stock shall be deemed to be outstanding and to have been issued and sold by the Company at the
time of the issuance or sale of such Convertible Securities for such price per share. For the purposes of this Section, the “lowest
price per share for which one share of Common Stock is issuable upon such conversion or exchange or exercise” shall be equal
to the sum of the lowest amounts of consideration (if any) received or receivable by the Company with respect to any one share
of Common Stock upon the issuance or sale of the Convertible Security and upon the conversion or exchange or exercise of such Convertible
Security. No further adjustment of the Fixed Conversion Price shall be made upon the actual issuance of such share of Common Stock
upon conversion or exchange or exercise of such Convertible Securities, and if any such issue or sale of such Convertible Securities
is made upon exercise of any Options for which adjustment of the Fixed Conversion Price had been or are to be made pursuant to
other provisions of this Section, no further adjustment of the Fixed Conversion Price shall be made by reason of such issue or
sale.

 

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(iii) Change
in Option Price or Rate of Conversion. If the purchase price provided for in any Options, the additional consideration, if
any, payable upon the issue, conversion, exchange or exercise of any Convertible Securities, or the rate at which any Convertible
Securities are convertible into or exchangeable or exercisable for Common Stock changes at any time, the Fixed Conversion Price
in effect at the time of such change shall be adjusted to the Conversion Price which would have been in effect at such time had
such Options or Convertible Securities provided for such changed purchase price, additional consideration or changed conversion
rate, as the case may be, at the time initially granted, issued or sold. For purposes of this Section, if the terms of any Option
or Convertible Security that was outstanding as of the Issuance Date are changed in the manner described in the immediately preceding
sentence, then such Option or Convertible Security and the Common Stock deemed issuable upon exercise, conversion or exchange thereof
shall be deemed to have been issued as of the date of such change. No adjustment shall be made if such adjustment would result
in an increase of the Conversion Price then in effect.

 

(iv) Calculation
of Consideration Received. In case any Option is issued in connection with the issue or sale of other securities of the Company,
together comprising one integrated transaction in which no specific consideration is allocated to such Options by the parties thereto,
the Options will be deemed to have been issued for the difference of (x) the aggregate fair market value of such Options and other
securities issued or sold in such integrated transaction, less (y) the fair market value of the securities other than such Option,
issued or sold in such transaction and the other securities issued or sold in such integrated transaction will be deemed to have
been issued or sold for the balance of the consideration received by the Company. If any Common Stock, Options or Convertible Securities
are issued or sold or deemed to have been issued or sold for cash, the consideration received therefor will be deemed to be the
gross amount raised by the Company; provided, however, that such gross amount is not greater than 110% of the net amount received
by the Company therefor. If any Common Stock, Options or Convertible Securities are issued or sold for a consideration other than
cash, the amount of the consideration other than cash received by the Company will be the fair value of such consideration, except
where such consideration consists of securities, in which case the amount of consideration received by the Company will be the
Closing Bid Price of such securities on the date of receipt. If any Common Stock, Options or Convertible Securities are issued
to the owners of the non-surviving entity in connection with any merger in which the Company is the surviving entity, the amount
of consideration therefor will be deemed to be the fair value of such portion of the net assets and business of the non-surviving
entity as is attributable to such Common Stock, Options or Convertible Securities, as the case may be. The fair value of any consideration
other than cash or securities will be determined jointly by the Company and the Holder. If such parties are unable to reach agreement
within ten 10 days after the occurrence of an event requiring valuation (the “Valuation Event”), the fair value
of such consideration will be determined within 5 Business Days after the 10th day following the Valuation Event by
an independent, reputable appraiser jointly selected by the Company and the Holder. The determination of such appraiser shall be
deemed binding upon all parties absent manifest error and the fees and expenses of such appraiser shall be borne by the Company.

 

(v) Record
Date. If the Company takes a record of the holders of Common Stock for the purpose of entitling them (A) to receive a dividend
or other distribution payable in Common Stock, Options or in Convertible Securities or (B) to subscribe for or purchase Common
Stock, Options or Convertible Securities, then such record date will be deemed to be the date of the issue or sale of the Common
Stock deemed to have been issued or sold upon the declaration of such dividend or the making of such other distribution or the
date of the granting of such right of subscription or purchase, as the case may be.

 

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(b) Adjustment
of the Fixed Conversion Price upon Subdivision or Combination of Common Stock. If the Company, at any time while this Debenture
is outstanding, shall (a) pay a stock dividend or otherwise make a distribution or distributions on shares of its Common Stock
or any other equity or equity equivalent securities payable in shares of Common Stock, (b) subdivide outstanding shares of Common
Stock into a larger number of shares, (c) combine (including by way of reverse stock split) outstanding shares of Common Stock
into a smaller number of shares, or (d) issue by reclassification of shares of the Common Stock any shares of capital stock of
the Company, then the Fixed Conversion Price shall be multiplied by a fraction of which the numerator shall be the number of shares
of Common Stock (excluding treasury shares, if any) outstanding before such event and of which the denominator shall be the number
of shares of Common Stock outstanding after such event. Any adjustment made pursuant to this Section shall become effective immediately
after the record date for the determination of stockholders 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.

 

(c) Purchase
Rights. If at any time the Company grants, issues or sells any Options, Convertible Securities or rights to purchase stock,
warrants, securities or other property pro rata to the record holders of any class of Common Stock (the “Purchase Rights”),
then the Holder will be entitled to acquire, upon the terms applicable to such Purchase Rights, the aggregate Purchase Rights which
the Holder could have acquired if the Holder had held the number of shares of Common Stock acquirable upon complete conversion
of this Debenture (without taking into account any limitations or restrictions on the convertibility of this Debenture) immediately
before the date on which a record is taken for the grant, issuance or sale of such Purchase Rights, or, if no such record is taken,
the date as of which the record holders of Common Stock are to be determined for the grant, issue or sale of such Purchase Rights.

 

(d) Other
Events. If any event occurs of the type contemplated by the provisions of this Section 5 but not expressly provided for by
such provisions (including, without limitation, the granting of stock appreciation rights, phantom stock rights or other rights
with equity features), then the Company’s Board of Directors will make an appropriate adjustment in the Conversion Price so as
to protect the rights of the Holder under this Debenture; provided that no such adjustment will increase the Conversion Price as
otherwise determined pursuant to this Section 5.

 

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(e) Other
Corporate Events. In addition to and not in substitution for any other rights hereunder, prior to the consummation of any Fundamental
Transaction pursuant to which holders of shares of Common Stock are entitled to receive securities or other assets with respect
to or in exchange for shares of Common Stock (a “Corporate Event”), the Company shall make appropriate provision
to insure that the Holder will thereafter have the right to receive upon a conversion of this Debenture, at the Holder’s option,
(i) in addition to the shares of Common Stock receivable upon such conversion, such securities or other assets to which the Holder
would have been entitled with respect to such shares of Common Stock had such shares of Common Stock been held by the Holder upon
the consummation of such Corporate Event (without taking into account any limitations or restrictions on the convertibility of
this Debenture) or (ii) in lieu of the shares of Common Stock otherwise receivable upon such conversion, such securities or other
assets received by the holders of shares of Common Stock in connection with the consummation of such Corporate Event in such amounts
as the Holder would have been entitled to receive had this Debenture initially been issued with conversion rights for the form
of such consideration (as opposed to shares of Common Stock) at a conversion rate for such consideration commensurate with the
Conversion Rate. Provision made pursuant to the preceding sentence shall be in a form and substance satisfactory to the Required
Holders. The provisions of this Section shall apply similarly and equally to successive Corporate Events and shall be applied without
regard to any limitations on the conversion or redemption of this Debenture.

 

(f) Whenever
the Fixed Conversion Price is adjusted pursuant to Section 5 hereof, the Company shall promptly mail to the Holder a notice setting
forth the Fixed Conversion Price after such adjustment and setting forth a brief statement of the facts requiring such adjustment.

 

(g) In
case of any (1) merger or consolidation of the Company or any subsidiary of the Company with or into another Person, or (2) sale
by the Company or any subsidiary of the Company of more than one-half of the assets of the Company in one or a series of related
transactions, a Holder shall have the right to (A) exercise any rights under Section 2(b), (B) convert the aggregate amount of
this Debenture then outstanding into the shares of stock and other securities, cash and property receivable upon or deemed to be
held by holders of Common Stock following such merger, consolidation or sale, and such Holder shall be entitled upon such event
or series of related events to receive such amount of securities, cash and property as the shares of Common Stock into which such
aggregate principal amount of this Debenture could have been converted immediately prior to such merger, consolidation or sales
would have been entitled, or (C) in the case of a merger or consolidation, require the surviving entity to issue to the Holder
a convertible Debenture with a principal amount equal to the aggregate principal amount of this Debenture then held by such Holder,
plus all accrued and unpaid interest and other amounts owing thereon, which such newly issued convertible Debenture shall have
terms identical (including with respect to conversion) to the terms of this Debenture, and shall be entitled to all of the rights
and privileges of the Holder of this Debenture set forth herein and the agreements pursuant to which this Debentures were issued.
In the case of clause (C), the conversion price applicable for the newly issued shares of convertible preferred stock or convertible
Debentures shall be based upon the amount of securities, cash and property that each share of Common Stock would receive in such
transaction and the Fixed Conversion Price in effect immediately prior to the effectiveness or closing date for such transaction.
The terms of any such merger, sale or consolidation shall include such terms so as to continue to give the Holder the right to
receive the securities, cash and property set forth in this Section upon any conversion or redemption following such event. This
provision shall similarly apply to successive such events.

 

    11

     

    

 

(6) REISSUANCE
OF THIS DEBENTURE.

 

(a) Transfer.
If this Debenture is to be transferred, the Holder shall surrender this Debenture to the Company, whereupon the Company will, subject
to the satisfaction of the transfer provisions of the Securities Purchase Agreement, forthwith issue and deliver upon the order
of the Holder a new Debenture (in accordance with Section 6(d)), registered in the name of the registered transferee or assignee,
representing the outstanding Principal being transferred by the Holder and, if less then the entire outstanding Principal is being
transferred, a new Debenture (in accordance with Section 6(d)) to the Holder representing the outstanding Principal not being transferred.
The Holder and any assignee, by acceptance of this Debenture, acknowledge and agree that, by reason of the provisions of Section
4(e)(iii) following conversion or redemption of any portion of this Debenture, the outstanding Principal represented by this Debenture
may be less than the Principal stated on the face of this Debenture.

 

(b) Lost,
Stolen or Mutilated Debenture. Upon receipt by the Company of evidence reasonably satisfactory to the Company of the loss,
theft, destruction or mutilation of this Debenture, and, in the case of loss, theft or destruction, of any indemnification undertaking
by the Holder to the Company in customary form and, in the case of mutilation, upon surrender and cancellation of this Debenture,
the Company shall execute and deliver to the Holder a new Debenture (in accordance with Section 6(d)) representing the outstanding
Principal.

 

(c) Debenture
Exchangeable for Different Denominations. This Debenture is exchangeable, upon the surrender hereof by the Holder at the principal
office of the Company, for a new Debenture or Debentures (in accordance with Section 6(d)) representing in the aggregate the outstanding
Principal of this Debenture, and each such new Debenture will represent such portion of such outstanding Principal as is designated
by the Holder at the time of such surrender.

 

(d) Issuance
of New Debentures. Whenever the Company is required to issue a new Debenture pursuant to the terms of this Debenture, such
new Debenture (i) shall be of like tenor with this Debenture, (ii) shall represent, as indicated on the face of such new Debenture,
the Principal remaining outstanding (or in the case of a new Debenture being issued pursuant to Section 6(a) or Section 6(c), the
Principal designated by the Holder which, when added to the principal represented by the other new Debentures issued in connection
with such issuance, does not exceed the Principal remaining outstanding under this Debenture immediately prior to such issuance
of new Debentures), (iii) shall have an issuance date, as indicated on the face of such new Debenture, which is the same as the
Issuance Date of this Debenture, (iv) shall have the same rights and conditions as this Debenture, and (v) shall represent accrued
and unpaid Interest from the Issuance Date.

 

    12

     

    

 

(7) NOTICES.
Any notices, consents, waivers or other communications required or permitted to be given under the terms of this Agreement
must be in writing and will be deemed to have been delivered upon: (i) receipt, when delivered personally, (ii) 1 Business
Day after deposit with an overnight courier service with next day delivery specified, in each case, properly addressed to the
party to receive the same, or (iii) receipt, when sent by electronic mail (provided that the electronic mail transmission is
not returned in error or the sender is not otherwise notified of any error in transmission. The addresses and e-mail addresses
for such communications shall be:

 

	If to the Company, to:	Seedo Corp.
	 	#3 Bethesda Metro Center – Suite 700
	 	Bethesda, MD 20814
	 	
        Attention: David Grossman

        Telephone: (800) 608-6432

	 	Email: dudigrossman@outlook.com   
	 	 
	With a copy to:	
        Law Offices of David E. Price, PC

        #3 Bethesda Metro Center – Suite 700

        Bethesda, MD 20814

	 	Attention: David E. Price, Esq.
	 	Telephone: (202) 536-5191
	 	Email: David@TopTier.eu

 

	If to the Holder:	
        YAII PN, Ltd.

        c/o Yorkville Advisors Global, LP

	 	1012 Springfield Avenue
	 	Mountainside, NJ 07092
	 	
        Attention: Matthew Beckman

        Telephone: (732) 213-1864

	 	Email: mbeckman@yorkvilleadvisors.com
	 	 
	With a copy to:	David Gonzalez, Esq.
	 	1012 Springfield Avenue
	 	Mountainside, NJ 07092
	 	Telephone (201) 536-5109
	 	Email: dgonzalez@yorkvilleadvisors.com 

 

or at such other address and/or electronic
email address and/or to the attention of such other person as the recipient party has specified by written notice given to each
other party 3 Business Days prior to the effectiveness of such change. Written confirmation of receipt (i) given by the recipient
of such notice, consent, waiver or other communication, (ii) mechanically or electronically generated by the sender’s computer
containing the time, date, recipient’s electronic mail address and the text of such electronic mail or (iii) provided by
a nationally recognized overnight delivery service, shall be rebuttable evidence of personal service, receipt by electronic mail
or receipt from a nationally recognized overnight delivery service in accordance with clause (i), (ii) or (iii) above, respectively.

 

(8) Except
as expressly provided herein, no provision of this Debenture shall alter or impair the obligations of the Company, which are absolute
and unconditional, to pay the principal of, interest and other charges (if any) on, this Debenture at the time, place, and rate,
and in the coin or currency, herein prescribed. This Debenture is a direct obligation of the Company. As long as this Debenture
is outstanding, the Company shall not and shall cause their subsidiaries not to, without the consent of the Holder, (i) amend its
certificate of incorporation, bylaws or other charter documents so as to adversely affect any rights of the Holder (which shall
include combining (by way of reverse stock split) outstanding shares of Common Stock into a smaller number of shares); (ii) repay,
repurchase or offer to repay, repurchase or otherwise acquire shares of its Common Stock or other equity securities other than
as to the Underlying Shares to the extent permitted or required under the Transaction Documents; or (iii) enter into any agreement
with respect to any of the foregoing.

 

    13

     

    

 

(9) This
Debenture shall not entitle the Holder to any of the rights of a stockholder of the Company, including without limitation, the
right to vote, to receive dividends and other distributions, or to receive any notice of, or to attend, meetings of stockholders
or any other proceedings of the Company, unless and to the extent converted into shares of Common Stock in accordance with the
terms hereof.

 

(10) No
indebtedness of the Company is senior to this Debenture in right of payment, whether with respect to interest, damages or upon
liquidation or dissolution or otherwise. Without the Holder’s consent, the Company will not and will not permit any of their
subsidiaries to, directly or indirectly, enter into, create, incur, assume or suffer to exist any indebtedness of any kind, on
or with respect to any of its property or assets now owned or hereafter acquired or any interest therein or any income or profits
there from that is senior in any respect to the obligations of the Company under this Debenture.

 

(11) This
Debenture shall be governed by and construed in accordance with the laws of the State of New Jersey, without giving effect to conflicts
of laws thereof. Each of the parties consents to the jurisdiction of the Superior Courts of the State of New Jersey sitting in
Union County, New Jersey and the U.S. District Court for the District of New Jersey sitting in Newark, New Jersey in connection
with any dispute arising under this Debenture and hereby waives, to the maximum extent permitted by law, any objection, including
any objection based on forum non conveniens to the bringing of any such proceeding in such jurisdictions.

 

(12) If
the Company fails to strictly comply with the terms of this Debenture, then the Company shall reimburse the Holder for all fees,
costs and expenses, including, without limitation, reasonable attorneys’ fees and expenses incurred by the Holder in any
action in connection with this Debenture, including, without limitation, those incurred: (i) during any workout, attempted workout,
and/or in connection with the rendering of legal advice as to the Holder’s rights, remedies and obligations, (ii) collecting
any sums which become due to the Holder, (iii) defending or prosecuting any proceeding or any counterclaim to any proceeding or
appeal; or (iv) the protection, preservation or enforcement of any rights or remedies of the Holder.

 

(13) Any
waiver by the Holder of a breach of any provision of this Debenture shall not operate as or be construed to be a waiver of any
other breach of such provision or of any breach of any other provision of this Debenture. The failure of the Holder to insist upon
strict adherence to any term of this Debenture on one or more occasions shall not be considered a waiver or deprive that party
of the right thereafter to insist upon strict adherence to that term or any other term of this Debenture. Any waiver must be in
writing.

 

(14) If
any provision of this Debenture is invalid, illegal or unenforceable, the balance of this Debenture shall remain in effect, and
if any provision is inapplicable to any person or circumstance, it shall nevertheless remain applicable to all other persons and
circumstances. If it shall be found that any interest or other amount deemed interest due hereunder shall violate applicable laws
governing usury, the applicable rate of interest due hereunder shall automatically be lowered to equal the maximum permitted rate
of interest. The Company covenants (to the extent that it may lawfully do so) that it shall not at any time insist upon, plead,
or in any manner whatsoever claim or take the benefit or advantage of, any stay, extension or usury law or other law which would
prohibit or forgive the Company from paying all or any portion of the principal of or interest on this Debenture as contemplated
herein, wherever enacted, now or at any time hereafter in force, or which may affect the covenants or the performance of this indenture,
and the Company (to the extent it may lawfully do so) hereby expressly waives all benefits or advantage of any such law, and covenants
that it will not, by resort to any such law, hinder, delay or impeded the execution of any power herein granted to the Holder,
but will suffer and permit the execution of every such as though no such law has been enacted.

 

    14

     

    

 

(15) Whenever
any payment or other obligation hereunder shall be due on a day other than a Business Day, such payment shall be made on the next
succeeding Business Day.

 

(16) THE
PARTIES HEREBY KNOWINGLY, VOLUNTARILY AND INTENTIONALLY WAIVE THE RIGHT ANY OF THEM MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY
LITIGATION BASED HEREON OR ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS AGREEMENT OR ANY TRANSACTION DOCUMENT OR ANY COURSE
OF CONDUCT, COURSE OF DEALING, STATEMENTS (WHETHER VERBAL OR WRITTEN) OR ACTIONS OF ANY PARTY. THIS PROVISION IS A MATERIAL INDUCEMENT
FOR THE PARTIES’ ACCEPTANCE OF THIS AGREEMENT.

 

(17)CERTAIN DEFINITIONS
For purposes of this Debenture, the following terms shall have the following meanings:

 

(a) “Approved
Stock Plan” means a stock option plan that has been approved by the Board of Directors of the Company, pursuant to which
the Company’s securities may be issued only to any employee, officer, or director or third party service providers in the
normal course of business, for services provided to the Company.

 

(b) “Bloomberg”
means Bloomberg Financial Markets.

 

(c) “Business
Day” means any day except Saturday, Sunday and any day which shall be a federal legal holiday in the United States or
a day on which banking institutions are authorized or required by law or other government action to close.

 

(d)
“Change of Control Transaction” means the occurrence of (a) an acquisition after the date hereof by an individual
or legal entity or “group” (as described in Rule 13d-5(b)(1) promulgated under the Exchange Act) of effective control
(whether through legal or beneficial ownership of capital stock of the Company, by contract or otherwise) of in excess of 50% of
the voting securities of the Company (except that the acquisition of voting securities by the Holder or any other current holder
of convertible securities of the Company shall not constitute a Change of Control Transaction for purposes hereof), (b) a replacement
at one time or over time of more than one-half of the members of the board of directors of the Company which is not approved by
a majority of those individuals who are members of the board of directors on the date hereof (or by those individuals who are serving
as members of the board of directors on any date whose nomination to the board of directors was approved by a majority of the members
of the board of directors who are members on the date hereof), (c) the merger, consolidation or sale of 50% or more of the assets
of the Company or any subsidiary of the Company in one or a series of related transactions with or into another entity, or (d)
the execution by the Company of an agreement to which the Company is a party or by which it is bound, providing for any of the
events set forth above in (a), (b) or (c).

 

    15

     

    

 

(e) “Closing
Bid Price” means the price per share in the last reported trade of the Common Stock on a Primary Market or on the exchange
which the Common Stock is then listed as quoted by Bloomberg.

 

(f) “Convertible
Securities” means any stock or securities (other than Options) directly or indirectly convertible into or exercisable
or exchangeable for Common Stock.

 

(g) “Commission”
means the Securities and Exchange Commission.

 

(h) “Common
Stock” means the common stock, par value $0.0001, of the Company and stock of any other class into which such shares
may hereafter be changed or reclassified.

 

(i) “Equity
Conditions” means that each of the following conditions is satisfied: (i) on each day during the period beginning 2 weeks
prior to the applicable date of determination and ending on and including the applicable date of determination (the “Equity
Conditions Measuring Period”), all applicable shares of Common Stock to be issued in connection with the event requiring
determination shall be eligible for sale without restriction and without the need for registration under any applicable federal
or state securities laws; (ii) on each day during the Equity Conditions Measuring Period, the Common Stock is designated for quotation
on the Principal Market and shall not have been suspended from trading on such exchange or market nor shall delisting or suspension
by such exchange or market been threatened or pending either (A) in writing by such exchange or market or (B) by falling below
the then effective minimum listing maintenance requirements of such exchange or market; (iii) during the Equity Conditions Measuring
Period, the Company shall have delivered Conversion Shares upon conversion of the Debentures to the Holder on a timely basis as
set forth in Section 4(e)(i) hereof; (iv) any applicable shares of Common Stock to be issued in connection with the event requiring
determination may be issued in full without violating Section 4(f) hereof and the rules or regulations of the Primary Market; (v)
during the Equity Conditions Measuring Period, there shall not have occurred either (A) an Event of Default or (B) an event that
with the passage of time or giving of notice would constitute an Event of Default; and (vii) the Company shall have no knowledge
of any fact that would cause any applicable shares of Common Stock to be issued in connection with the event requiring determination
not to be eligible for sale without restriction and without the need for registration under any applicable federal or state securities
laws.

 

(j) “Equity
Conditions Failure” means that on any applicable date the Equity Conditions have not been satisfied (or waived in writing
by the Holder).

 

(k) “Exchange
Act” means the Securities Exchange Act of 1934, as amended.

 

    16

     

    

 

(l) “Excluded
Securities” means, (a) shares issued or deemed to have been issued by the Company pursuant to an Approved Stock Plan
and (b) the shares of Common Stock issued or deemed to be issued by the Company upon conversion of this Debenture.

 

(m) “Options”
means any rights, warrants or options to subscribe for or purchase shares of Common Stock or Convertible Securities.

 

(n) “Original
Issue Date” means the date of the first issuance of this Debenture regardless of the number of transfers and regardless
of the number of instruments, which may be issued to evidence such Debenture.

 

(o) “Person”
means a corporation, an association, a partnership, organization, a business, an individual, a government or political subdivision
thereof or a governmental agency.

 

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

 

(q) “Securities
Purchase Agreement” means the Securities Purchase Agreement dated the date hereof by and among the Company and the Holder.

 

(r)
“Trading Day” means a day on which the shares of Common Stock are quoted on the Primary Market on which the
shares of Common Stock are then quoted or listed; provided, that in the event that the shares of Common Stock are not listed or
quoted, then Trading Day shall mean a Business Day.

 

(s) “Transaction
Documents” means the Securities Purchase Agreement or any other agreement delivered in connection with the Securities
Purchase Agreement, including, without limitation, the Irrevocable Transfer Agent Instructions and the Warrant.

 

(t) “Underlying
Shares” means the shares of Common Stock issuable upon conversion of this Debenture or as payment of interest in accordance
with the terms hereof.

 

(u) “VWAP”
means, for any security as of any date, the daily dollar volume-weighted average price for such security as reported by Bloomberg,
LP through its “Historical Price Table Screen (HP)” with Market: Weighted Avg function selected, or, if no dollar volume-weighted
average price is reported for such security by Bloomberg, the average of the highest closing bid price and the lowest closing ask
price of any of the market makers for such security as reported in the “pink sheets” by Pink Sheets LLC.

 

[Signature Page Follows]

 

    17

     

    

 

IN WITNESS WHEREOF,
the Company has caused this Convertible Debenture to be duly executed by a duly authorized officer as of the date set forth above.

 

	 	COMPANY:
	 	 
	 	SEEDO CORP.
	 	 
	 	By:	 
	 	Name: 	David Grossman
	 	Title:	Chief Executive Officer

 

    18

     

    

 

EXHIBIT I

CONVERSION NOTICE

 

(To be executed by the Holder in order
to Convert the Debenture)

 

TO:

 

The undersigned hereby
irrevocably elects to convert $                     of the principal amount of Debenture No. SEDO-4-1 into Shares of Common Stock of SEEDO
CORP., according to the conditions stated therein, as of the Conversion Date written below.

 

	Conversion Date:	______________________________________
	 	 
	Conversion Amount to be converted:	$______________________________________
	 	 
	Conversion Price:	$______________________________________
	 	 
	Number of shares of Common 

Stock to be issued:	______________________________________
	 	 
	Amount of Debenture Unconverted:	$______________________________________
	 	 
	 	 
	Please issue the shares of Common Stock in the following name and to the following address:
	 
	Issue to:	 
	 	 
	 	 
	 	 
	Authorized Signature:	______________________________________
	 	 
	Name:	______________________________________
	 	 
	Title:	______________________________________
	 	 
	Broker DTC Participant Code:	______________________________________
	 	 
	Account Number:	______________________________________Exhibit 10.2

 

EXECUTION VERSION

 

SECURITIES PURCHASE AGREEMENT

 

THIS SECURITIES
PURCHASE AGREEMENT (this “Agreement”), dated as of August 7, 2020, by and among SEEDO CORP., a Delaware
corporation (the “Company”), and YAII PN, LTD., a Cayman Islands exempt company (“Investor”).

 

WITNESSETH

 

WHEREAS, the
Company and the Investor are executing and delivering this Agreement in reliance upon an exemption from securities registration
pursuant to Section 4(2) and/or Rule 506 of Regulation D (“Regulation D”) as promulgated by the U.S. Securities
and Exchange Commission (the “SEC”) under the Securities Act of 1933, as amended (the “Securities Act”);

 

WHEREAS, the
parties desire that, upon the terms and subject to the conditions contained herein, the Company shall issue and sell to the Investor,
as provided herein, and the Investor shall purchase a secured convertible debenture substantially in the form attached hereto as
“Exhibit A” in the principal amount of USD$200,000 (the “Convertible Debenture”), which shall
be convertible into shares of the Company’s common stock, par value $0.0001 (the “Common Stock”) (as converted,
the “Conversion Shares”), within 1 business day following the date hereof (the “Closing”)
for a total purchase price of USD$200,000 (the “Purchase Price”);

 

WHEREAS, contemporaneously
with the Closing the Company shall issue to the Investor a warrant to purchase 500,000 shares of the Company’s Common Stock
(the “Warrant Shares”) in the form attached hereto as Exhibit B (the “Warrant”);

 

WHEREAS, contemporaneously
with the execution and delivery of this Agreement, the parties hereto are executing and delivering Irrevocable Transfer Agent Instructions
(the “Irrevocable Transfer Agent Instructions”); and

 

WHEREAS, the
Convertible Debenture, the Conversion Shares, the Warrant and the Warrant Shares, collectively are referred to herein as the “Securities”);

 

WHEREAS, contemporaneously
with the execution and delivery of this Agreement, (i) the Investor, the Company, and each subsidiary of the Company are executing
and delivering a Security Agreement (all such security agreements shall be referred to as the “Security Agreement”)
pursuant to which the Company and its wholly owned subsidiaries agree to provide the Investor a security interest in Pledged Property
(as this term is defined in the Security Agreement), and (ii) each subsidiary of the Company is executing and delivering a Global
Guaranty dated the date hereof (the “Guaranty” and collectively with the Security Agreement, the “Security
Documents”) in favor of the Investor.

 

     

     

    

 

NOW, THEREFORE,
in consideration of the mutual covenants and other agreements contained in this Agreement the Company and the Investor hereby agree
as follows:

 

1. CERTAIN
DEFINITIONS.

 

(a) “Anti-Bribery
Laws” shall mean of any provision of any applicable law or regulation implementing the OECD Convention on Combating Bribery
of Foreign Public Officials in International Business Transactions or any applicable provision of the U.S. Foreign Corrupt Practices
Act of 1977, as amended (the “FCPA”), the U.K. Bribery Act 2010, or any other similar law of any other jurisdiction
in which the Company operates its business, including, in each case, the rules and regulations thereunder.

 

(b) “Applicable
Laws” shall mean applicable laws, statutes, rules, regulations, orders, executive orders, directives, policies, guidelines,
ordinance or regulation of any governmental entity and codes having the force of law, whether local, national, or international,
as amended from time to time, including without limitation (i) all applicable laws that relate to money laundering, terrorist financing,
financial record keeping and reporting, (ii) all applicable laws that relate to anti-bribery, anti-corruption, books and records
and internal controls, including the Anti-Bribery Laws, (iii) OFAC and any Sanctions Laws or Sanctions Programs, and (iv) CAATSA
and any CAATSA Sanctions Programs, Anti-Money Laundering Laws.

 

(c) “BHCA”
shall mean the Bank Holding Company Act of 1956, as amended.

 

(d) “CAATSA”
shall mean Public Law No. 115-44 The Countering America’s Adversaries Through Sanctions Act.

 

(e) “CAATSA
Sanctions Programs” shall mean a country or territory that is, or whose government is, the subject of sanctions imposed
by CAATSA.

 

(f) 
“Anti-Money Laundering Laws” shall mean applicable financial recordkeeping and reporting requirements and all
other applicable U.S. and non-U.S. anti-money laundering laws, rules and regulations, including, but not limited to, those of the
Currency and Foreign Transactions Reporting Act of 1970, as amended, the United States Bank Secrecy Act, as amended by the USA
PATRIOT Act of 2001, and the United States Money Laundering Control Act of 1986 (18 U.S.C. §§1956 and 1957), as amended,
as well as the implementing rules and regulations promulgated thereunder, and the applicable money laundering statutes of all applicable
jurisdictions, the rules and regulations thereunder and any related or similar rules, regulations or guidelines, issued, administered
or enforced by any governmental agency or self-regulatory.

 

(g) “OFAC”
shall mean the U.S. Department of Treasury’s Office of Foreign Asset Control.

 

(h) “Sanctioned
Country” shall mean a country or territory that is the subject or target of a comprehensive embargo or Sanctions Laws
prohibiting trade with the country or territory, including, without limitation, Crimea, Cuba, Iran, North Korea, Sudan and Syria.

 

    2

     

    

 

(i) “Sanctions
Laws” shall mean any sanctions administered or enforced by OFAC or the U.S. Departments of State or Commerce and including,
without limitation, the designation as a “Specially Designated National” or on the “Sectoral Sanctions Identifications
List”, collectively “Blocked Persons”), the United Nations Security Council (“UNSC”), the
European Union, Her Majesty’s Treasury (“HMT”) or any other relevant sanctions authority.

 

(j) “Sanctions
Programs” shall mean any OFAC, HMT or UNSC economic sanction program including, without limitation, programs related
to a Sanctioned Country.

 

(k) “Sarbanes-Oxley
Act” means the Sarbanes-Oxley Act of 2002, as amended.

 

2. PURCHASE
AND SALE OF THE CONVERTIBLE DEBENTURE.

 

(a) Purchase
of the Convertible Debenture. Subject to the satisfaction (or waiver) of the terms and conditions of this Agreement, the Investor
agrees, to purchase at the Closing and the Company agrees to sell and issue to Investor, at the Closing the Convertible Debenture.

 

(b) Closing
Date. The Closing of the purchase and sale of the Convertible Debenture shall take place at 10:00 a.m. Eastern Standard Time
on the 1st business day following the date hereof, subject to notification of satisfaction of the conditions to the Closing set
forth herein and in Sections 7 and 8 below (or such later date as is mutually agreed to by the Company and the Investor (the “Closing
Date”).

 

(c) Form
of Payment. Subject to the satisfaction of the terms and conditions of this Agreement, on the Closing Date, (i) the Investor
shall deliver to the Company such aggregate proceeds for the Convertible Debenture to be issued and sold to the Investor at the
Closing, minus the fees to be paid directly from the proceeds of such Closing as set forth herein, and (ii) the Company shall
deliver to the Investor a Convertible Debenture which the Investor is purchasing at the Closing duly executed on behalf of the
Company.

 

3. INVESTOR’S
REPRESENTATIONS AND WARRANTIES.

 

The Investor represents
and warrants, that:

 

(a) Investment
Purpose. The Investor is acquiring the Securities for its own account for investment only and not with a view towards, or for
resale in connection with, the public sale or distribution thereof, except pursuant to sales registered or exempted under the Securities
Act; provided, however, that by making the representations herein, the Investor reserves the right to dispose of the Securities
at any time in accordance with or pursuant to an effective registration statement covering such Securities or an available exemption
under the Securities Act. The Investor does not presently have any agreement or understanding, directly or indirectly, with any
corporation, association, partnership, organization, business, individual, government or political subdivision thereof or governmental
agency (“Person”) to distribute any of the Securities.

 

    3

     

    

 

(b) Accredited
Investor Status. The Investor is an “Accredited Investor” as that term is defined in Rule 501(a)(3) of Regulation
D.

 

(c) Reliance
on Exemptions. The Investor understands that the Securities are being offered and sold to it in reliance on specific exemptions
from the registration requirements of United States federal and state securities laws and that the Company is relying in part upon
the truth and accuracy of, and the Investor’s compliance with, the representations, warranties, agreements, acknowledgments
and understandings of the Investor set forth herein in order to determine the availability of such exemptions and the eligibility
of the Investor to acquire the Securities.

 

(d) Information.
The Investor and its advisors (and his or, its counsel), if any, have been furnished with all materials relating to the business,
finances and operations of the Company and information he deemed material to making an informed investment decision regarding his
purchase of the Securities, which have been requested by the Investor. The Investor and its advisors, if any, have been afforded
the opportunity to ask questions of the Company and its management. Neither such inquiries nor any other due diligence investigations
conducted by the Investor or its advisors, if any, or its representatives shall modify, amend or affect the Investor’s right
to rely on the Company’s representations and warranties contained in Section 4 below. The Investor understands that its investment
in the Securities involves a high degree of risk. The Investor is in a position regarding the Company, which, based upon employment,
family relationship or economic bargaining power, enabled and enables the Investor to obtain information from the Company in order
to evaluate the merits and risks of this investment. The Investor has sought such accounting, legal and tax advice, as it has considered
necessary to make an informed investment decision with respect to its acquisition of the Securities.

 

(e) No
Governmental Review. The Investor understands that no United States federal or state agency or any other government or governmental
agency has passed on or made any recommendation or endorsement of the Securities, or the fairness or suitability of the investment
in the Securities, nor have such authorities passed upon or endorsed the merits of the offering of the Securities.

 

(f) Transfer
or Resale. The Investor understands that: (i) the Securities have not been and are not being registered under the Securities
Act or any state securities laws, and may not be offered for sale, sold, assigned or transferred unless (A) subsequently registered
thereunder, (B) the Investor shall have delivered to the Company an opinion of counsel, in a generally acceptable form, to the
effect that such Securities to be sold, assigned or transferred may be sold, assigned or transferred pursuant to an exemption from
such registration requirements, or (C) the Investor provides the Company with reasonable assurances (in the form of seller and
broker representation letters) that such Securities can be sold, assigned or transferred pursuant to Rule 144 or Rule 144A promulgated
under the Securities Act, as amended (or a successor rule thereto) (collectively, “Rule 144”), in each case
following the applicable holding period set forth therein; (ii) any sale of the Securities made in reliance on Rule 144 may be
made only in accordance with the terms of Rule 144 and further, if Rule 144 is not applicable, any resale of the Securities under
circumstances in which the seller (or the person through whom the sale is made) may be deemed to be an underwriter (as that
term is defined in the Securities Act) may require compliance with some other exemption under the Securities Act or the rules and
regulations of the SEC thereunder; and (iii) neither the Company nor any other person is under any obligation to register the Securities
under the Securities Act or any state securities laws or to comply with the terms and conditions of any exemption thereunder.

 

    4

     

    

 

(g) Legends.
The Investor agrees to the imprinting, so long as is required by this Section 3(g), of a restrictive legend in substantially the
following form:

 

THE SECURITIES REPRESENTED BY THIS CERTIFICATE
HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR APPLICABLE STATE SECURITIES LAWS. THE SECURITIES HAVE
BEEN ACQUIRED SOLELY FOR INVESTMENT PURPOSES AND NOT WITH A VIEW TOWARD RESALE AND MAY NOT BE OFFERED FOR SALE, SOLD, TRANSFERRED
OR ASSIGNED IN THE ABSENCE OF AN EFFECTIVE REGISTRATION STATEMENT FOR THE SECURITIES UNDER THE SECURITIES ACT OF 1933, AS AMENDED,
OR APPLICABLE STATE SECURITIES LAWS, OR AN OPINION OF COUNSEL, IN A GENERALLY ACCEPTABLE FORM, THAT REGISTRATION IS NOT REQUIRED
UNDER SAID ACT OR APPLICABLE STATE SECURITIES LAWS.

 

Certificates evidencing the Conversion
Shares and the Warrant Shares, shall not contain any legend (including the legend set forth above), (i) while a registration statement
covering the resale of such security is effective under the Securities Act, (ii) following any sale of such Conversion Shares or
Warrant Shares pursuant to Rule 144, (iii) if such Conversion Shares or Warrant Shares are eligible for sale under Rule 144, or
(iv) if such legend is not required under applicable requirements of the Securities Act (including judicial interpretations and
pronouncements issued by the staff of the SEC). The Company shall cause its counsel to issue a legal opinion to the Company’s
transfer agent promptly after the effective date (the “Effective Date”) of a registration statement if required
by the Company’s transfer agent to effect the removal of the legend hereunder. If all or any portion of the Convertible Debenture
is converted and/or the Warrant is exercised by the Investor that is not an Affiliate of the Company (a “Non-Affiliated
Investor”) at a time when there is an effective registration statement to cover the resale of the Conversion Shares and
Warrant Shares, such Conversion Shares and/or Warrant Shares shall be issued free of all legends. The Company agrees that following
the Effective Date or at such time as such legend is no longer required under this Section 3(g), it will, no later than 3 Trading
Days following the delivery by a Non-Affiliated Investor to the Company or the Company’s transfer agent of a certificate
representing Conversion Shares and/or the Warrant Shares, issued with a restrictive legend (such 3rd Trading Day, the
“Legend Removal Date”), deliver or cause to be delivered to such Non-Affiliated Investor a certificate representing
such shares that is free from all restrictive and other legends. The Company may not make any notation on its records or give instructions
to any transfer agent of the Company that enlarge the restrictions on transfer set forth in this Section. The Investor acknowledges
that the Company’s agreement hereunder to remove all legends from Conversion Shares and/or the Warrant Shares is not an affirmative
statement or representation that such Conversion Shares and/or Warrant Shares are freely tradable. The Investor, agrees that the
removal of the restrictive legend from certificates representing Securities as set forth in this Section 3(g) is predicated upon
the Company’s reliance that the Investor will sell any Securities pursuant to either the registration requirements of the
Securities Act, including any applicable prospectus delivery requirements, or an exemption therefrom, and that if Securities are
sold pursuant to a registration statement, they will be sold in compliance with the plan of distribution set forth therein.

 

    5

     

    

 

(h) Authorization,
Enforcement. This Agreement has been duly and validly authorized, executed and delivered on behalf of the Investor and is a
valid and binding agreement of the Investor enforceable in accordance with its terms, except as such enforceability may be limited
by general principles of equity or applicable bankruptcy, insolvency, reorganization, moratorium, liquidation and other similar
laws relating to, or affecting generally, the enforcement of applicable creditors’ rights and remedies.

 

(i) Receipt
of Documents. The Investor and his or its counsel has received and read in their entirety: (i) this Agreement and each representation,
warranty and covenant set forth herein and the Transaction Documents (as defined herein); (ii) all due diligence and other information
necessary to verify the accuracy and completeness of such representations, warranties and covenants; (iii) all EDGAR filings, including
but not limited to the Company’s Form 10-K for the fiscal year ended September 30, 2018; (iv) the Company’s Transition
report under Section 13 or 15(d) of the Securities Exchange Act for the period January 1, 2019 to March 31, 2019 and the Company’s
Form 10-Q for the fiscal quarter ended September 30, 2019 and (v) answers to all questions the Investor submitted to the Company
regarding an investment in the Company; and the Investor has relied on the information contained therein and has not been furnished
any other documents, literature, memorandum or prospectus.

 

(j) Due
Formation of Corporate and Other Investors. If the Investor is a corporation, trust, partnership or other entity that is not
an individual person, it has been formed and validly exists and has not been organized for the specific purpose of purchasing the
Securities and is not prohibited from doing so.

 

(k) No
Legal Advice From the Company. The Investor acknowledges, that it had the opportunity to review this Agreement and the transactions
contemplated by this Agreement with his or its own legal counsel and investment and tax advisors. The Investor is relying solely
on such counsel and advisors and not on any statements or representations of the Company or any of its representatives or agents
for legal, tax or investment advice with respect to this investment, the transactions contemplated by this Agreement or the securities
laws of any jurisdiction.

 

    6

     

    

 

4. REPRESENTATIONS
AND WARRANTIES OF THE COMPANY.

 

Except as set forth
under the corresponding section of the Disclosure Schedules which Disclosure Schedules shall be deemed a part hereof and to qualify
any representation or warranty otherwise made herein to the extent of such disclosure, the Company hereby makes the representations
and warranties set forth below to the Investor:

 

(a) Subsidiaries.
All of the direct and indirect subsidiaries of the Company are set forth on Schedule 4(a). The Company owns, directly or
indirectly, all of the capital stock or other equity interests of each subsidiary free and clear of any liens, and all the issued
and outstanding shares of capital stock of each subsidiary are validly issued and are fully paid, non-assessable and free of preemptive
and similar rights to subscribe for or purchase securities.

 

(b) Security Interests Granted. Except as set forth on Disclosure Schedule 4(b). There are no security
interests granted, issued or allowed to exist in any assets of the Company or subsidiary.

 

(c) Organization
and Qualification. The Company and its subsidiaries are corporations duly organized and validly existing in good standing under
the laws of the jurisdiction in which they are incorporated, and have the requisite corporate power to own their properties and
to carry on their business as now being conducted. Each of the Company and its subsidiaries is duly qualified as a foreign corporation
to do business and is in good standing in every jurisdiction in which the nature of the business conducted by it makes such qualification
necessary, except to the extent that the failure to be so qualified or be in good standing would not have or reasonably be expected
to result in (i) a material adverse effect on the legality, validity or enforceability of any Transaction Document, (ii) a material
adverse effect on the results of operations, assets, business or condition (financial or otherwise) of the Company and the subsidiaries,
taken as a whole, or (iii) a material adverse effect on the Company’s ability to perform in any material respect on a timely
basis its obligations under any Transaction Document (any of (i), (ii) or (iii), a “Material Adverse Effect”)
and no proceeding has been instituted in any such jurisdiction revoking, limiting or curtailing or seeking to revoke, limit or
curtail such power and authority or qualification as the Company is currently organized.

 

(d) Authorization,
Enforcement, Compliance with Other Instruments. (i) The Company has the requisite corporate power and authority to enter
into and perform its obligations under this Agreement, the Convertible Debenture, the Irrevocable Transfer Agent Instructions,
the Warrant, the Security Documents and each of the other agreements entered into by the parties hereto in connection with the
transactions contemplated by this Agreement (collectively the “Transaction Documents”) and to issue the Securities
in accordance with the terms hereof and thereof, (ii) the execution and delivery of the Transaction Documents by the Company and
the consummation by it of the transactions contemplated hereby and thereby, including, without limitation, the issuance of the
Securities, the reservation for issuance and the issuance of the Conversion Shares and the Warrant Shares, have been duly authorized
by the Company’s Board of Directors and no further consent or authorization is required by the Company, its Board of Directors
or its stockholders, (iii) the Transaction Documents have been duly executed and delivered by the Company, (iv) the Transaction
Documents constitute the valid and binding obligations of the Company enforceable against the Company in accordance with their
terms, except as such enforceability may be limited by general principles of equity or applicable bankruptcy, insolvency, reorganization,
moratorium, liquidation or similar laws relating to, or affecting generally, the enforcement of creditors’ rights and remedies.
The authorized officer of the Company executing the Transaction Documents knows of no reason why the Company cannot file the registration
statement if demanded by the Investor or perform any of the Company’s other obligations under the Transaction Documents.

 

    7

     

    

 

(e) Capitalization.
The authorized capital stock of the Company consists of 500,000,000 shares of Common Stock and 15,000,000 shares of Preferred Stock,
par value $0.0001 (“Preferred Stock”) of which 29,502,030 shares of Common Stock and 0 shares of Preferred Stock
are issued and outstanding. All of the outstanding shares of capital stock of the Company are validly issued, fully paid and nonassessable,
have been issued in compliance with all federal and state securities laws, and none of such outstanding shares was issued in violation
of any preemptive rights or similar rights to subscribe for or purchase securities. Except as disclosed in Schedule 4(e):
(i) none of the Company’s capital stock is subject to preemptive rights or any other similar rights or any liens or encumbrances
suffered or permitted by the Company; (ii) there are no outstanding options, warrants, scrip, rights to subscribe to, calls or
commitments of any character whatsoever relating to, or securities or rights convertible into, or exercisable or exchangeable for,
any capital stock of the Company or any of its subsidiaries, or contracts, commitments, understandings or arrangements by which
the Company or any of its subsidiaries is or may become bound to issue additional capital stock of the Company or any of its subsidiaries
or options, warrants, scrip, rights to subscribe to, calls or commitments of any character whatsoever relating to, or securities
or rights convertible into, or exercisable or exchangeable for, any capital stock of the Company or any of its subsidiaries; (iii)
there are no outstanding debt securities, notes, credit agreements, credit facilities or other agreements, documents or instruments
evidencing indebtedness of the Company or any of its subsidiaries or by which the Company or any of its subsidiaries is or may
become bound; (iv) there are no financing statements securing obligations in any material amounts, either singly or in the aggregate,
filed in connection with the Company or any of its subsidiaries; (v) there are no outstanding securities or instruments of the
Company or any of its subsidiaries which contain any redemption or similar provisions, and there are no contracts, commitments,
understandings or arrangements by which the Company or any of its subsidiaries is or may become bound to redeem a security of the
Company or any of its subsidiaries; (vi) there are no securities or instruments containing anti-dilution or similar provisions
that will be triggered by the issuance of the Securities; (vii) the Company does not have any stock appreciation rights or “phantom
stock” plans or agreements or any similar plan or agreement; and (viii) the Company and its subsidiaries have no liabilities
or obligations required to be disclosed in the SEC Documents but not so disclosed in the SEC Documents, other than those incurred
in the ordinary course of the Company’s or its subsidiaries’ respective businesses and which, individually or in the aggregate,
do not or would not have a Material Adverse Effect. The Company has furnished to the Investor true, correct and complete copies
of the Company’s Certificate of Incorporation, as amended and as in effect on the date hereof (the “Certificate of Incorporation”),
and the Company’s Bylaws, as amended and as in effect on the date hereof (the “Bylaws”), and the terms of all
securities convertible into, or exercisable or exchangeable for, shares of Common Stock and the material rights of the holders
thereof in respect thereto. No further approval or authorization of any stockholder, the Board of Directors of the Company or others
is required for the issuance and sale of the Securities. There are no stockholders agreements, voting agreements or other similar
agreements with respect to the Company’s capital stock to which the Company is a party or, to the knowledge of the Company,
between or among any of the Company’s stockholders.

 

(f) Issuance
of Securities. The issuance of the Convertible Debenture and the Warrant are duly authorized and free from all taxes, liens
and charges with respect to the issue thereof. Upon conversion in accordance with the terms of the Convertible Debenture and upon
exercise of the Warrant, the Conversion Shares and/or the Warrant Shares, when issued will be validly issued, fully paid and nonassessable,
free from all taxes, liens and charges with respect to the issue thereof. The Company has reserved from its duly authorized capital
stock the appropriate number of shares of Common Stock as set forth in this Agreement.

 

    8

     

    

 

(g) No
Conflicts. The execution, delivery and performance of the Transaction Documents by the Company and the consummation by the
Company of the transactions contemplated hereby and thereby (including, without limitation, the issuance of the Convertible Debenture,
and reservation for issuance and issuance of the Conversion Shares, the issuance of the Warrant, and the issuance of the Warrant
Shares) will not (i) result in a violation of any certificate of incorporation, certificate of formation, any certificate of designations
or other constituent documents of the Company or any of its subsidiaries, any capital stock of the Company or any of its subsidiaries
or bylaws of the Company or any of its subsidiaries or (ii) conflict with, or constitute a default (or an event which with notice
or lapse of time or both would become a default) in any respect under, or give to others any rights of termination, amendment,
acceleration or cancellation of, any agreement, indenture or instrument to which the Company or any of its subsidiaries is a party,
or (iii) result in a violation of any law, rule, regulation, order, judgment or decree (including foreign, federal and state securities
laws and regulations and the rules and regulations of the National Association of Securities Dealers Inc.’s OTC Markets)
applicable to the Company or any of its subsidiaries or by which any property or asset of the Company or any of its subsidiaries
is bound or affected; except in the case of each of clauses (ii) and (iii), such as could not, individually or in the aggregate,
have or reasonably be expected to result in a Material Adverse Effect. The business of the Company and its subsidiaries is not
being conducted, and shall not be conducted in violation of any material law, ordinance, or regulation of any governmental entity.
Except as specifically contemplated by this Agreement and as required under the Securities Act and any applicable state securities
laws, the Company is not required to obtain any consent, authorization or order of, or make any filing or registration with, any
court or governmental agency in order for it to execute, deliver or perform any of its obligations under or contemplated by this
Agreement in accordance with the terms hereof. All consents, authorizations, orders, filings and registrations which the Company
is required to obtain pursuant to the preceding sentence have been obtained or effected on or prior to the date hereof. The Company
and its subsidiaries are unaware of any facts or circumstance, which might give rise to any of the foregoing.

 

(h) SEC
Documents; Financial Statements. The Company is currently preparing to update and file all reports, schedules, forms, statements
and other documents required to be filed by it with the SEC under Section 13 or 15(d) of the Securities Exchange Act of 1934 (the
“Exchange Act”) during the 2 years preceding the date hereof (or such shorter period as the Company was required
by law or regulation to file such material) (all of the foregoing filed within the 2 years preceding the date hereof as amended
after the date hereof and all exhibits included therein and financial statements and schedules thereto and documents incorporated
by reference therein, being hereinafter referred to as the “SEC Documents”). From the date the Company again
becomes “Current”, it shall file on a timely basis or has received a valid extension of such time of filing and has
filed any such SEC Document prior to the expiration of any such extension (including pursuant to SEC from 12b-25). The Company
has delivered to the Investor or its representatives, or made available through the SEC’s website at http://www.sec.gov,
true and complete copies of the SEC Documents. As of their respective dates, the SEC Documents complied in all material respects
with the requirements of the Exchange Act and the rules and regulations of the SEC promulgated thereunder applicable to the SEC
Documents, and none of the SEC Documents, at the time they were filed with the SEC, contained any untrue statement of a material
fact or omitted to state a material fact required to be stated therein or necessary in order to make the statements therein, in
the light of the circumstances under which they were made, not misleading. As of their respective dates, the financial statements
of the Company and its subsidiaries included in the SEC Documents complied as to form in all material respects with applicable
accounting requirements and the published rules and regulations of the SEC with respect thereto. Such financial statements have
been prepared in accordance with generally accepted accounting principles, consistently applied, during the periods involved (except
(i) as may be otherwise indicated in such financial statements or the Debenture thereto, or (ii) in the case of unaudited interim
statements, to the extent they may exclude footnotes or may be condensed or summary statements) and fairly present in all material
respects the financial position of the Company as of the dates thereof and the results of its operations and cash flows for the
periods then ended (subject, in the case of unaudited statements, to normal year-end audit adjustments). No other information provided
by or on behalf of the Company to the Investor which is not included in the SEC Documents contains any untrue statement of a material
fact or omits to state any material fact necessary in order to make the statements therein, in the light of the circumstance under
which they are or were made, not misleading.

 

    9

     

    

 

(i) 10(b)-5.
The SEC Documents do not include any untrue statements of material fact, nor do they omit to state any material fact required to
be stated therein necessary to make the statements made, in light of the circumstances under which they were made, not misleading.

 

(j) Absence
of Litigation. There is no action, suit, proceeding, inquiry or investigation before or by any court, public board, government
agency, self-regulatory organization or body pending against or affecting the Company, the Common Stock or any of the Company’s
subsidiaries, wherein an unfavorable decision, ruling or finding would have a Material Adverse Effect.

 

(k) CAATSA.
Neither the Company or its subsidiaries, nor, to Company’s knowledge, any director, officer, agent, employee or affiliate
of the Company or subsidiaries, is a Person that is, or is owned or controlled by a Person that has a place of business in, or
is operating, organized, resident or doing business in a country or territory that is, or whose government is, the subject of the
CAATSA Sanctions Programs.

 

(l) Sarbanes-Oxley
Act. The Company and its subsidiaries are in compliance with any and all applicable requirements of the Sarbanes-Oxley Act,
that are effective as of the date hereof, and any and all applicable rules and regulations promulgated by the SEC thereunder that
are applicable to the Company and its subsidiaries and effective as of the date hereof.

 

(m) BHCA.
Neither the Company nor any of its Subsidiaries or affiliates is subject to BHCA and to regulation by the Board of Governors of
the Federal Reserve System (the “Federal Reserve). Neither the Company nor any of its Subsidiaries or affiliates owns or
controls, directly or indirectly, 5% or more of the outstanding shares of any class of voting securities or 25% or more of the
total equity of a bank or any entity that is subject to the BHCA and to regulation by the Federal Reserve. Neither the Company
nor any of its Subsidiaries or affiliates exercises a controlling influence over the management or policies of a bank or any entity
that is subject to the BHCA and to regulation by the Federal Reserve.

 

    10

     

    

 

(n) No
Disagreements with Accountants and Lawyers. There are no material disagreements of any kind presently existing, or reasonably
anticipated by the Company to arise, between the Company and the accountants and lawyers formerly or presently employed by the
Company and the Company is current with respect to any fees owed to its accountants and lawyers which could affect the Company’s
ability to perform any of its obligations under any of the Transaction Documents.

 

(o) Compliance
with Applicable Laws. The operations of the Company and its Subsidiaries are and have been conducted at all times in compliance
Applicable Laws and no action, suit or proceeding by or before any court or governmental agency, authority or body or any arbitrator
involving the Company or any of its Subsidiaries with respect to Applicable Laws is pending or, to the knowledge of the Company,
threatened.

 

(p) No
Conflicts with Sanctions Laws. Neither the Company nor any of its Subsidiaries, nor any director, officer, employee, agent,
affiliate or other person associated with or acting on behalf of the Company or any of its Subsidiaries or affiliates is, or is
directly or indirectly owned or controlled by, a Person that is currently the subject or the target of any Sanctions Laws or is
a Blocked Person; neither the Company, any of its Subsidiaries, nor any director, officer, employee, agent, affiliate or other
person associated with or acting on behalf of the Company or any of its Subsidiaries or affiliates, is located, organized or resident
in a country or territory that is the subject or target of a comprehensive embargo, Sanctions Laws or Sanctions Programs prohibiting
trade with a Sanctioned Country; the Company maintains in effect and enforces policies and procedures designed to ensure compliance
by the Company and its Subsidiaries with applicable Sanctions Laws and Sanctions Programs; neither the Company, any of its Subsidiaries,
nor any director, officer, employee, agent, affiliate or other person associated with or acting on behalf of the Company or any
of its Subsidiaries or affiliates, acting in any capacity in connection with the operations of the Company, conducts any business
with or for the benefit of any Blocked Person or engages in making or receiving any contribution of funds, goods or services to,
from or for the benefit of any Blocked Person, or deals in, or otherwise engages in any transaction relating to, any property or
interests in property blocked or subject to blocking pursuant to any applicable Sanctions Laws or Sanctions Programs; no action
of the Company or any of its Subsidiaries in connection with (i) the execution, delivery and performance of this Agreement and
the other Transaction Documents, (ii) the issuance and sale of the Securities, or (iii) the direct or indirect use of proceeds
from the Securities or the consummation of any other transaction contemplated hereby or by the other Transaction Documents or the
fulfillment of the terms hereof or thereof, will result in the proceeds of the transactions contemplated hereby and by the other
Transaction Documents being used, or loaned, contributed or otherwise made available, directly or indirectly, to any Subsidiary,
joint venture partner or other person or entity, for the purpose of (i) unlawfully funding or facilitating any activities of or
business with any person that, at the time of such funding or facilitation, is the subject or target of Sanctions Laws or Sanctions
Programs, (ii) unlawfully funding or facilitating any activities of or business in any Sanctioned Country or (iii) in any other
manner that will result in a violation by any Person (including any Person participating in the transaction, whether as underwriter,
advisor, investor or otherwise) of Sanctions Laws or Sanctions Programs. For the past 5 years, the Company and its Subsidiaries
have not knowingly engaged in and are not now knowingly engaged in any dealings or transactions with any person that at the time
of the dealing or transaction is or was the subject or the target of Sanctions Laws, Sanctions Programs or with any Sanctioned
Country.

 

    11

     

    

 

(q) No
Conflicts with Anti-Bribery Laws. Neither the Company nor any of the Subsidiaries has made any contribution or other payment
to any official of, or candidate for, any federal, state or foreign office in violation of any law. Neither the Company, nor any
of its Subsidiaries or affiliates, nor any director, officer, agent, employee or other person associated with or acting on behalf
of the Company, or any of its Subsidiaries or affiliates, has (i) used any funds for any unlawful contribution, gift, entertainment
or other unlawful expense relating to political activity, (ii) made any direct or indirect unlawful payment to any foreign or domestic
government official or employee, to any employee or agent of a private entity with which the Company does or seeks to do business
(a “Private Sector Counterparty”) or to foreign or domestic political parties or campaigns, (iii) violated or
is in violation of any provision of any Anti-Bribery Laws, (iv) taken, is currently taking or will take any action in furtherance
of an offer, payment, gift or anything else of value, directly or indirectly, to any person while knowing that all or some portion
of the money or value will be offered, given or promised to anyone to improperly influence official action, to obtain or retain
business or otherwise to secure any improper advantage or (v) otherwise made any offer, bribe, rebate, payoff, influence payment,
unlawful kickback or other unlawful payment; the Company and each of its respective Subsidiaries has instituted and has maintained,
and will continue to maintain, policies and procedures reasonably designed to promote and achieve compliance with the laws referred
to in (iii) above and with this representation and warranty; none of the Company, nor any of its Subsidiaries or affiliates will
directly or indirectly use the proceeds of the Securities or lend, contribute or otherwise make available such proceeds to any
subsidiary, affiliate, joint venture partner or other person or entity for the purpose of financing or facilitating any activity
that would violate the laws and regulations referred to in (iii) above; to the knowledge of the Company, there are, and have been,
no allegations, investigations or inquiries with regard to a potential violation of any Anti-Bribery Laws by the Company, its Subsidiaries
or affiliates, or any of their respective current or former directors, officers, employees, stockholders, representatives or agents,
or other persons acting or purporting to act on their behalf.

 

(r) No
Disqualification Events. With respect to Securities to be offered and sold hereunder in reliance on Rule 506(b) under the 1933
Act (“Regulation D Securities”), none of the Company, any of its predecessors, any affiliated issuer, any director,
executive officer, other officer of the Company participating in the offering hereunder, any beneficial owner of 20% or more of
the Company’s outstanding voting equity securities, calculated on the basis of voting power, nor any promoter (as that term is
defined in Rule 405 under the 1933 Act) connected with the Company in any capacity at the time of sale (each, an “Issuer
Covered Person” and, together, “Issuer Covered Persons”) is subject to any of the “Bad Actor”
disqualifications described in Rule 506(d)(1)(i) to (viii) under the 1933 Act (a “Disqualification Event”),
except for a Disqualification Event covered by Rule 506(d)(2) or (d)(3). The Company has exercised reasonable care to determine
whether any Issuer Covered Person is subject to a Disqualification Event. The Company has complied, to the extent applicable, with
its disclosure obligations under Rule 506(e), and has furnished to the Investor a copy of any disclosures provided thereunder.

 

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(s) Acknowledgment
Regarding Investor’s Purchase of the Convertible Debenture. The Company acknowledges and agrees that the Investor is
acting solely in the capacity of an arm’s length purchaser with respect to this Agreement and the transactions contemplated
hereby. The Company further acknowledges that the Investor is not acting as a financial advisor or fiduciary of the Company (or
in any similar capacity) with respect to this Agreement and the transactions contemplated hereby and any advice given by the Investor
or any of their respective representatives or agents in connection with this Agreement and the transactions contemplated hereby
is merely incidental to the Investor’s purchase of the Securities. The Company further represents to the Investor that the
Company’s decision to enter into this Agreement has been based solely on the independent evaluation by the Company and its
representatives.

 

(t) No
General Solicitation. Neither the Company, nor any of its affiliates, nor any person acting on its or their behalf, has engaged
in any form of general solicitation or general advertising (within the meaning of Regulation D under the Securities Act) in connection
with the offer or sale of the Securities.

 

(u) No
Integrated Offering. Neither the Company, nor any of its affiliates, nor any person acting on its or their behalf has, directly
or indirectly, made any offers or sales of any security or solicited any offers to buy any security, under circumstances that would
require registration of the Securities under the Securities Act or cause this offering of the Securities to be integrated with
prior offerings by the Company for purposes of the Securities Act.

 

(v) Employee
Relations. Neither the Company nor any of its subsidiaries is involved in any labor dispute or, to the knowledge of the Company
or any of its subsidiaries, is any such dispute threatened. None of the Company’s or its subsidiaries’ employees is
a member of a union and the Company and its subsidiaries believe that their relations with their employees are good.

 

(w) Intellectual
Property Rights. The Company and its subsidiaries own or possess adequate rights or licenses to use all trademarks, trade names,
service marks, service mark registrations, service names, patents, patent rights, copyrights, inventions, licenses, approvals,
governmental authorizations, trade secrets and rights necessary to conduct their respective businesses as now formulated. The Company
and its subsidiaries do not have any knowledge of any infringement by the Company or its subsidiaries of trademark, trade name
rights, patents, patent rights, copyrights, inventions, licenses, service names, service marks, service mark registrations, trade
secret or other similar rights of others, and, to the knowledge of the Company there is no claim, action or proceeding being made
or brought against, or to the Company’s knowledge, being threatened against, the Company or its subsidiaries regarding trademark,
trade name, patents, patent rights, invention, copyright, license, service names, service marks, service mark registrations, trade
secret or other infringement; and the Company and its subsidiaries are unaware of any facts or circumstances which might give rise
to any of the foregoing.

 

    13

     

    

 

(x) Environmental
Laws. The Company and its subsidiaries are (i) in compliance with any and all applicable foreign, federal, state and local
laws and regulations relating to the protection of human health and safety, the environment or hazardous or toxic substances or
wastes, pollutants or contaminants (“Environmental Laws”), (ii) have received all permits, licenses or other
approvals required of them under applicable Environmental Laws to conduct their respective businesses and (iii) are in compliance
with all terms and conditions of any such permit, license or approval.

 

(y) Title.
All real property and facilities held under lease by the Company and its subsidiaries are held by them under valid, subsisting
and enforceable leases with such exceptions as are not material and do not interfere with the use made and proposed to be made
of such property and buildings by the Company and its subsidiaries.

 

(z) Insurance.
The Company and each of its subsidiaries is insured by insurers of recognized financial responsibility against such losses and
risks and in such amounts as management of the Company believes to be prudent and customary in the businesses in which the Company
and its subsidiaries are engaged. Neither the Company nor any such subsidiary has been refused any insurance coverage sought or
applied for and neither the Company nor any such subsidiary has any reason to believe that it will not be able to renew its existing
insurance coverage as and when such coverage expires or to obtain similar coverage from similar insurers as may be necessary to
continue its business at a cost that would not materially and adversely affect the condition, financial or otherwise, or the earnings,
business or operations of the Company and its subsidiaries, taken as a whole.

 

(aa) Regulatory Permits. The Company and its subsidiaries possess all material certificates, authorizations and permits
issued by the appropriate federal, state or foreign regulatory authorities necessary to conduct their respective businesses,
and neither the Company nor any such subsidiary has received any notice of proceedings relating to the revocation or
modification of any such certificate, authorization or permit.

 

(bb) Internal
Accounting Controls. The Company and each of its subsidiaries maintains a system of internal accounting controls sufficient
to provide reasonable assurance that (i) transactions are executed in accordance with management’s general or specific authorizations,
(ii) transactions are recorded as necessary to permit preparation of financial statements in conformity with generally accepted
accounting principles and to maintain asset accountability, and (iii) the recorded amounts for assets are compared with the existing
assets at reasonable intervals and appropriate action is taken with respect to any differences.

 

(cc) No Material
Adverse Breaches, etc. Other than the former subsidiary Eroll Grow Tech Ltd., which was removed from the Company by the Courts
in Israel pursuant to a Liquidation hearing on March 25, 2020. Neither the Company nor any of its subsidiaries is subject to any
charter, corporate or other legal restriction, or any judgment, decree, order, rule or regulation which in the judgment of the
Company’s officers has or is expected in the future to have a Material Adverse Effect on the business, properties, operations,
financial condition, results of operations or prospects of the Company or its subsidiaries. Neither the Company nor any of its
subsidiaries is in breach of any contract or agreement which breach, in the judgment of the Company’s officers, has or is
expected to have a Material Adverse Effect on the business, properties, operations, financial condition, results of operations
or prospects of the Company or its subsidiaries.

 

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(dd) Tax Status.
The Company and each of its subsidiaries has made and filed all federal and state income and all other tax returns, reports and
declarations required by any jurisdiction to which it is subject up to and including 2019; and (unless and only to the extent that
the Company and each of its subsidiaries has set aside on its books provisions reasonably adequate for the payment of all unpaid
and unreported taxes) has paid all taxes and other governmental assessments and charges that are material in amount, shown or determined
to be due on such returns, reports and declarations, except those being contested in good faith and has set aside on its books
provision reasonably adequate for the payment of all taxes for periods subsequent to the periods to which such returns, reports
or declarations apply. There are no unpaid taxes in any material amount claimed to be due by the taxing authority of any jurisdiction,
and the officers of the Company know of no basis for any such claim.

 

(ee) Certain
Transactions. Except for arm’s length transactions pursuant to which the Company makes payments in the ordinary course
of business upon terms no less favorable than the Company could obtain from third parties and other than the grant of stock options
disclosed in the SEC Documents, none of the officers, directors, or employees of the Company is presently a party to any transaction
with the Company (other than for services as employees, officers and directors), including any contract, agreement or other arrangement
providing for the furnishing of services to or by, providing for rental of real or personal property to or from, or otherwise requiring
payments to or from any officer, director or such employee or, to the knowledge of the Company, any corporation, partnership, trust
or other entity in which any officer, director, or any such employee has a substantial interest or is an officer, director, trustee
or partner.

 

(ff) Except with
respect to the material terms and conditions of the transactions contemplated by this Agreement, all of which shall be publicly
disclosed by the Company as soon as possible after the date hereof, the Company covenants and agrees that neither the Company,
nor any other person acting on its behalf, will provide the Investor or its agents or counsel with any information that the Company
believes constitutes material non-public information, unless prior thereto the Investor shall have entered into a written agreement
with the Company regarding the confidentiality and use of such information. The Company understands and confirms that the Investor
shall be relying on the foregoing covenant in effecting transactions in securities of the Company.

 

(gg) Fees and
Rights of First Refusal. The Company is not obligated to offer the securities offered hereunder on a right of first refusal
basis or otherwise to any third parties including, but not limited to, current or former shareholders of the Company, underwriters,
brokers, agents or other third parties.

 

(hh) Investment
Company. The Company is not, and is not an affiliate of, and immediately after receipt of payment for the Securities, will
not be or be an affiliate of, an “investment company” within the meaning of the Investment Company Act of 1940, as
amended. The Company shall conduct its business in a manner so that it will not become subject to the Investment Company Act.

 

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(ii) Registration
Rights. No Person has any right to cause the Company to effect the registration under the Securities Act of any securities
of the Company. There are no outstanding registration statements not yet declared effective and there are no outstanding comment
letters from the SEC or any other regulatory agency.

 

(jj) Private
Placement. Assuming the accuracy of the Investor’s representations and warranties set forth in Section 3, no registration
under the Securities Act is required for the offer and sale of the Securities by the Company to the Investor as contemplated hereby.
The issuance and sale of the Securities hereunder does not contravene the rules and regulations of the OTCQB-MKT (the “Primary
Market”).

 

(kk) Listing
and Maintenance Requirements. The Company’s Common Stock is registered pursuant to Section 12(b) or 12(g) of the Exchange
Act, and the Company has taken no action designed to terminate, or which to its knowledge is likely to have the effect of, terminating
the registration of the Common Stock under the Exchange Act nor has the Company received any notification that the SEC is contemplating
terminating such registration. The Company has not, in the 12 months preceding the date hereof, received notice from the Primary
Market on which the Common Stock is or has been listed or quoted to the effect that the Company is not in compliance with the listing
or maintenance requirements of such Primary Market. The Company is, and has no reason to believe that it will not in the foreseeable
future continue to be, in compliance with all such listing and maintenance requirements.

 

(ll) Reporting
Status.  With a view to making available to the Investor the benefits of Rule 144 or any similar rule or regulation of
the SEC that may at any time permit the Investor to sell securities of the Company to the public without registration, and as a
material inducement to the Investor’s purchase of the Securities, the Company represents and warrants to the following: (i)
the Company is, and has been for a period of at least 90 days immediately preceding the date hereof, subject to the reporting requirements
of section 13 or 15(d) of the Exchange Act (ii) the Company is now acting to prepare and file and file all required reports under
section 13 or 15(d) of the Exchange, as applicable, for the time period of the 12 months preceding the date hereof (or for such
shorter period that the Company was required to file such reports), (iii) the Company is not an issuer defined as a “Shell
Company,” and (iv) the Company is not an issuer that has been at any time previously an issuer defined as a “Shell
Company.” For the purposes hereof, the term “Shell Company” shall mean an issuer that meets the description defined
in paragraph (i)(1)(i) of Rule 144.

 

(mm) Disclosure. 
The Company has made available to the Investor and its counsel all the information reasonably available to the Company that the
Investor or its counsel have requested for deciding whether to acquire the Securities.  No representation or warranty of the
Company contained in this Agreement (as qualified by the Disclosure Schedule) or any of the other Transaction Documents, and no
certificate furnished or to be furnished to the Investor at the Closing, or any due diligence evaluation materials furnished by
the Company or on behalf of the Company, including without limitation, due diligence questionnaires, or any other documents, presentations,
correspondence, or information contains any untrue statement of a material fact or omits to state a material fact necessary in
order to make the statements contained herein or therein not misleading in light of the circumstances under which they were made.

 

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(nn) Manipulation
of Price.  The Company has not, and to its knowledge no one acting on its behalf has, (i) taken, directly or indirectly,
any action designed to cause or to result in the stabilization or manipulation of the price of any security of the Company to facilitate
the sale or resale of any of the Securities, (ii) sold, bid for, purchased, or, paid any compensation for soliciting purchases
of, any of the Securities, or (iii) paid or agreed to pay to any Person any compensation for soliciting another to purchase any
other securities of the Company, other than, in the case of clauses (ii) and (iii), compensation paid to the Company’s placement
agent in connection with the placement of the Securities.

 

(oo) Dilutive
Effect. The Company understands and acknowledges that the number of Conversion Shares issuable upon conversion of the Convertible
Debenture and the number of Warrant Shares issuable upon exercise of the Warrant, will increase in certain circumstances. The Company
further acknowledges that its obligation to issue Conversion Shares upon conversion of the Convertible Debenture in accordance
with this Agreement and the Convertible Debenture and Warrant Shares upon the exercise of the Warrant in accordance with this Agreement
and the Warrant is absolute and unconditional regardless of the dilutive effect that such issuance may have on the ownership interests
of other stockholders of the Company.

 

(pp) Relationship
of the Parties. Neither the Company, nor any of its subsidiaries, affiliates, nor any person acting on its or their behalf
is not a client or customer of the Investor or any of its affiliates and neither the Investor nor any of its affiliates has provided,
or will provide, any services to the Company or any of its affiliates, its subsidiaries, or any person acting on its or their behalf.
The Investor’s relationship to Company is solely as investor as provided for in the Agreement. 

 

5. COVENANTS.

 

(a) Best
Efforts. Each party shall use its best efforts to timely satisfy each of the conditions to be satisfied by it as provided in
Sections 7 and 8 of this Agreement.

 

(b) Compliance
with Applicable Laws. While the Investor owns any Securities the Company shall comply with all Applicable Laws and will not
take any action which will cause the Investor to be in violation of any such Applicable Laws.

 

(c) Conduct
of Business. While the Investor owns any Securities, the business of the Company shall not be conducted in violation of Applicable
Laws and will not take any action which will cause the Investor to be in violation of any such Applicable Laws.

 

(d) While
the Investor owns any Securities, neither the Company, nor any of its Subsidiaries or affiliates, directors, officers, employees,
representatives or agents shall:

 

(i) conduct
any business or engage in any transaction or dealing with or for the benefit of any Blocked Person, including the making or receiving
of any contribution of funds, goods or services to, from or for the benefit of any Blocked Person;

 

(ii) deal
in, or otherwise engage in any transaction relating to, any property or interests in property blocked or subject to blocking pursuant
to the applicable Sanctions Laws, Sanctions Programs, located in a Sanctioned Country, or CAATSA or CAATSA Sanctions Programs;

 

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(iii) use
any of the proceeds of the transactions contemplated by this Agreement to finance, promote or otherwise support in any manner any
illegal activity, including, without limitation, in contravention of any Anti-Money Laundering Laws, Sanctions Laws, Sanctioned
Program, Anti-Bribery Laws or in any Sanctioned Country.

 

(iv) violate,
attempt to violate, or engage in or conspire to engage in any transaction that evades or avoids, or has the purpose of evading
or avoiding, any of the Anti-Money Laundering Laws, Sanctions Laws, Sanctions Program, Anti-Bribery Laws, CAATSA or CAATSA Sanctions
Programs.

 

(e) While
the Investor owns any Securities, the Company shall maintain in effect and enforce policies and procedures designed to ensure compliance
by the Company and its Subsidiaries and their directors, officers, employees, agents representatives and affiliates with Applicable
Laws.

 

(f) While
the Investor owns any Securities, the Company will promptly notify the Investor in writing if any of the Company, or any of its
Subsidiaries or affiliates, directors, officers, employees, representatives or agents, shall become a Blocked Person, or become
directly or indirectly owned or controlled by a Blocked Person.

 

(g) The
Company shall provide such information and documentation it may have as the Investor or any of their affiliates may reasonably
request to satisfy compliance with Applicable Laws.

 

(h) The
covenants set forth above shall be ongoing while the Investor owns any Securities. The Company shall promptly notify the Investor
in writing should it become aware during such period (a) of any changes to these covenants, or (b) if it cannot comply with the
covenants set forth herein. The Company shall also promptly notify the Investor in writing during such period should it become
aware of an investigation, litigation or regulatory action relating to an alleged or potential violation of Applicable Laws.

 

(i) Form
D. The Company agrees to file a Form D with respect to the Securities as required under Regulation D and to provide a copy
thereof to the Investor promptly after such filing. The Company shall, on or before the Closing Date, take such action as the Company
shall reasonably determine is necessary to qualify the Securities, or obtain an exemption for the Securities for sale to the Investor
at the Closing pursuant to this Agreement under applicable securities or “Blue Sky” laws of the states of the United
States, and shall provide evidence of any such action so taken to the Investor on or prior to the Closing Date.

 

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(j) Reporting
Status. With a view to making available to the Investor the benefits of Rule 144 or any similar rule or regulation of the SEC
that may at any time permit the Investor to sell securities of the Company to the public without registration, and as a material
inducement to the Investor’s purchase of the Securities, the Company represents, warrants, and covenants to the following:

 

(i) The
Company is subject to the reporting requirements of section 13 or 15(d) of the Exchange Act and is now acting to prepare and file
all required reports under section 13 or 15(d) of the Exchange Act for the time period of during the 12 months prior to the date
hereof (or for such shorter period that the issuer was required to file such reports), other than Form 8-K reports;

 

(ii) From
the date hereof until all the Securities either have been sold by the Investor, or may permanently be sold by the Investor without
any restrictions pursuant to Rule 144, (the “Holding Period”) the Company, as soon as practical, shall file
with the SEC in a timely manner all required reports under section 13 or 15(d) of the Exchange Act and such reports shall conform
to the requirement of the Exchange Act and the SEC for filing thereunder;

 

(iii) The
Company shall furnish to the Investor so long as the Investor owns Securities, promptly upon request, (i) a written statement by
the Company that it has complied with the reporting requirements of Rule 144, (ii) a copy of the most recent annual or quarterly
report of the Company and such other reports and documents so filed by the Company, and (iii) such other information as may be
reasonably requested to permit the Investor to sell such securities pursuant to Rule 144 without registration; and

 

(iv) During
the Holding Period the Company shall not terminate its status as an issuer required to file reports under the Exchange Act even
if the Exchange Act or the rules and regulations thereunder would otherwise permit such termination.

 

(k) Use
of Proceeds. The Company shall use the proceeds from the issuance of the Convertible Debenture hereunder as set forth in the
Use of Proceeds Confirmation. So long as any amounts are outstanding on the Convertible Debenture, the Company shall not pay any
related party obligations all of which related party obligations shall be subordinated to the obligations owed to the Investor.
Neither the Company nor any subsidiary shall, directly or indirectly, use any portion of the proceeds of the transactions contemplated
herein, or lend, contribute, facilitate or otherwise make available such proceeds to any Person (i) to make any payment towards
any indebtedness or other obligations of the Company or subsidiary, except to the extent set forth in the Use of Proceeds Confirmation;
(ii) to pay any obligations of any nature or kind due or owing to any officers, directors, employees, or shareholders of the Company
or subsidiary, other than salaries payable in the ordinary course of business of the Company; (iii) to fund, either directly or
indirectly, any activities or business of or with any Blocked Person, in any Sanctioned Country, (iv) or in any manner or in a
country or territory, that, at the time of such funding, is, or whose government is, the subject of CAATSA Sanctions Programs or
(iv) in any other manner that will result in a violation of Anti-Money Laundering Laws, Sanctions Laws, Sanctioned Program, Anti-Bribery
Laws or CAATSA Sanctions Programs.

 

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(l) Reservation
of Shares. On the date hereof, the Company shall reserve for issuance to the Investor 20,000,000 shares for issuance upon conversions
of the Convertible Denture and the Company shall also reserve such Warrant Shares for issuance to the Investor upon exercise of
the Warrant (the “Share Reserve”). The Company represents that it has sufficient authorized and unissued shares
of Common Stock available to create the Share Reserve after considering all other commitments that may require the issuance of
Common Stock. The Company shall take all action reasonably necessary to at all times have authorized, and reserved for the purpose
of issuance, such number of shares of Common Stock as shall be necessary to effect the full conversion of the Convertible Debenture
and the Warrant. If at any time the Share Reserve is insufficient to effect the full conversion of the Convertible Debenture and
the Warrant, the Company shall increase the Share Reserve accordingly. If the Company does not have sufficient authorized and unissued
shares of Common Stock available to increase the Share Reserve, the Company shall call and hold a special meeting of the shareholders
within 30 days of such occurrence, for the sole purpose of increasing the number of shares authorized. The Company’s management
shall recommend to the shareholders to vote in favor of increasing the number of shares of Common Stock authorized. Management
shall also vote all of its shares in favor of increasing the number of authorized shares of Common Stock.

 

(m) Listings
or Quotation. The Company’s Common Stock shall be listed or quoted for trading on the Primary Market. The Company shall
promptly secure the listing of all of the Securities upon each national securities exchange and automated quotation system, if
any, upon which the Common Stock is then listed (subject to official notice of issuance) and shall maintain such listing of all
Securities from time to time issuable under the terms of the Transaction Documents.

 

(n) Fees
and Expenses.

 

(i) The
Company shall pay all of its costs and expenses incurred by it connection with the negotiation, investigation, preparation, execution
and delivery of the Transaction Documents.

 

(ii) On
the Closing Date the Company shall issue to the Investor the Warrant.

 

(o) Corporate
Existence. So long as the Convertible Debenture remains outstanding, the Company shall not directly or indirectly consummate
any merger, reorganization, restructuring, reverse stock split consolidation, sale of all or substantially all of the Company’s
assets or any similar transaction or related transactions (each such transaction, an “Organizational Change”)
unless, prior to the consummation an Organizational Change, the Company obtains the written consent of the Investor. In any such
case, the Company will make appropriate provision with respect to such holders’ rights and interests to insure that the provisions
of this Section 5(o) will thereafter be applicable to the Convertible Debenture.

 

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(p) Transactions
With Affiliates. So long as the Convertible Debenture is outstanding, the Company shall not, and shall cause each of its subsidiaries
not to, enter into, amend, modify or supplement, or permit any subsidiary to enter into, amend, modify or supplement any agreement,
transaction, commitment, or arrangement with any of its or any subsidiary’s officers, directors, person who were officers
or directors at any time during the previous 2 years, stockholders who beneficially own 5% or more of the Common Stock, or Affiliates
(as defined below) or with any individual related by blood, marriage, or adoption to any such individual or with any entity in
which any such entity or individual owns a 5% or more beneficial interest (each a “Related Party”), except for
(a) customary employment arrangements and benefit programs on reasonable terms, (b) any investment in an Affiliate of the Company,
(c) any agreement, transaction, commitment, or arrangement on an arms-length basis on terms no less favorable than terms which
would have been obtainable from a person other than such Related Party, (d) any agreement, transaction, commitment, or arrangement
which is approved by a majority of the disinterested directors of the Company. “Affiliate” for purposes hereof
means, with respect to any person or entity, another person or entity that, directly or indirectly, (i) has a 10% or more equity
interest in that person or entity, (ii) has 10% or more common ownership with that person or entity, (iii) controls that person
or entity, or (iv) shares common control with that person or entity. “Control” or “controls”
for purposes hereof means that a person or entity has the power, direct or indirect, to conduct or govern the policies of another
person or entity.

 

(q) Transfer
Agent. The Company covenants and agrees that, in the event that the Company’s agency relationship with the transfer agent
should be terminated for any reason prior to a date which is 2 years after the Closing Date, the Company shall immediately appoint
a new transfer agent and shall require that the new transfer agent execute and agree to be bound by the terms of the Irrevocable
Transfer Agent Instructions (as defined herein).

 

(r) Restriction
on Issuance of the Capital Stock. So long as the Convertible Debenture is outstanding, the Company shall not, without the prior
written consent of the Investor, (i) issue or sell shares of Common Stock or Preferred Stock without consideration or for a consideration
per share less than the bid price of the Common Stock determined immediately prior to its issuance, (ii) issue any preferred stock,
warrant, option, right, contract, call, or other security or instrument granting the holder thereof the right to acquire Common
Stock without consideration or for a consideration less than such Common Stock’s Bid Price, as quoted by Bloomberg, LP and
determined immediately prior to its issuance, (iii) enter into any security instrument granting the holder a security interest
in any and all assets of the Company, or (iv) other than for bona-fide employee stock option plans, file any registration statement
on Form S-8.

 

(s) Neither
the Investor nor any of its affiliates have an open short position in the Common Stock of the Company, and the Investor agrees
that it shall not, and that it will cause its affiliates not to, engage in any short sales of or hedging transactions with respect
to the Common Stock as long as any Convertible Debenture shall remains outstanding.

 

(t) Additional
Registration Statements. So long as the Convertible Debenture is outstanding, the Company will not file a registration statement
under the Securities Act relating to securities that are not the Securities without including the Securities.

 

(u) Review
of Public Disclosures. All SEC filings (including, without limitation, all filings required under the Exchange Act, which include
Forms 10-Q and 10-QSB, 10-K and 10K-SB, 8-K, etc) and other public disclosures made by the Company, including, without limitation,
all press releases, investor relations materials, and scripts of analysts meetings and calls, shall be reviewed and approved for
release by the Company’s attorneys and, if containing financial information, such as financial statements, the Company’s
independent certified public accountants.

 

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(v) Disclosure
of Transaction. Simultaneous with the execution of this Agreement, the Company shall file a Current Report on Form 8-K describing
the terms of the transactions contemplated by the Transaction Documents in the form required by the Exchange Act and attaching
the material Transaction Documents (including, without limitation, this Agreement, the form of the Convertible Debenture, the Warrant,
and the Irrevocable Transfer Agent Instructions) as exhibits to such filing.

 

(w) Granting
of Security. So long as any portion of Convertible Debenture is outstanding neither the Company nor any subsidiary may grant,
issue or allow to exist any security interest in any or all of the assets of the Company and or subsidiary.

 

6. TRANSFER
AGENT INSTRUCTIONS.

 

The Company shall issue
the Irrevocable Transfer Agent Instructions to its transfer agent in a form acceptable to the Investor.

 

7. CONDITIONS
TO THE COMPANY’S OBLIGATION TO SELL.

 

The obligation of the
Company hereunder to issue and sell the Convertible Debenture to the Investor at the Closing is subject to the satisfaction, at
or before the Closing Date, of each of the following conditions, provided that these conditions are for the Company’s sole
benefit and may be waived by the Company at any time in its sole discretion:

 

(a) The
Investor shall have executed the Transaction Documents and delivered them to the Company.

 

(b) The
Investor shall have delivered to the Company the Purchase Price for the Convertible Debenture, minus any fees to be paid directly
from the proceeds the Closing as set forth herein, by wire transfer of immediately available U.S. funds pursuant to the wire instructions
provided by the Company.

 

(c) The
representations and warranties of the Investor shall be true and correct in all material respects as of the date when made and
as of the Closing Date as though made at that time (except for representations and warranties that speak as of a specific date),
and the Investor shall have performed, satisfied and complied in all material respects with the covenants, agreements and conditions
required by this Agreement to be performed, satisfied or complied with by the Investor at or prior to the Closing Date.

 

8. CONDITIONS
TO THE INVESTOR’S OBLIGATION TO PURCHASE.

 

(a) The
obligation of the Investor hereunder to purchase the Convertible Debenture at the Closing is subject to the satisfaction, at or
before the Closing Date, of each of the following conditions, provided that these conditions are for the Investor’s sole
benefit and may be waived by the Investor at any time in its sole discretion:

 

(a) The
Company, and the Company’s Transfer Agent as applicable, shall have executed the Transaction Documents and delivered the
same to the Investor.

 

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(b) The
Company shall have issued the Warrant to the Investor.

 

(c) The
Common Stock shall be authorized for quotation or trading on the Primary Market, trading in the Common Stock shall not have been
suspended for any reason.

 

(d) The
representations and warranties of the Company shall be true and correct in all material respects (except to the extent that any
of such representations and warranties is already qualified as to materiality in Section 4 above, in which case, such representations
and warranties shall be true and correct without further qualification) as of the date when made and as of the Closing Date as
though made at that time (except for representations and warranties that speak as of a specific date) and the Company shall have
performed, satisfied and complied in all material respects with the covenants, agreements and conditions required by this Agreement
to be performed, satisfied or complied with by the Company at or prior to the Closing Date.

 

(e) The
Company shall have executed and delivered to the Investor the Convertible Debenture.

 

(f) The
Investor shall have received an opinion of counsel from counsel to the Company in a form satisfactory to the Investor.

 

(g) The
Company shall have provided to the Investor an executed Officer’s Certificate in a form satisfactory to the Investor.

 

(h) The
Company shall have provided Investor a true copy of a certificate of good standing evidencing the formation and good standing of
the Company from the secretary of state (or comparable office) from the jurisdiction in which the Company is incorporated, as of
a date within 10 days of the Closing Date.

 

(i) The
Company shall have delivered to the Investor a certificate, executed by an officer of the Company in a form satisfactory to the
Investor and dated as of the Closing Date, as to (i) the Company’s Article of Incorporation, (ii) the Bylaws of the Company,
(iii) the resolutions as adopted by the Company’s Board of Directors in a form reasonably acceptable to the Investor, (iv) the
Company’s Certificate of Good, each as in effect at the Closing.

 

(j) The
Company shall have created the Share Reserve.

 

(k) The
Company shall have closed on the issuance of an additional investment of $100,000.

 

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9. INDEMNIFICATION.

 

(a) In
consideration of the Investor’s execution and delivery of this Agreement and acquiring the Convertible Debenture, the Conversion
Shares upon conversion of the Debenture, the Warrant and the Warrant Shares issued upon exercise of the Warrant and in addition
to all of the Company’s other obligations under this Agreement, the Company shall defend, protect, indemnify and hold harmless
the Investor, and all of their officers, directors, employees and agents (including, without limitation, those retained in
connection with the transactions contemplated by this Agreement) (collectively, the “Investor Indemnitees”)
from and against any and all actions, causes of action, suits, claims, losses, costs, penalties, fees, liabilities and damages,
and expenses in connection therewith (irrespective of whether any such Investor Indemnitee is a party to the action for which indemnification
hereunder is sought), and including reasonable attorneys’ fees and disbursements (the “Indemnified Liabilities”),
incurred by the Investor Indemnitees or any of them as a result of, or arising out of, or relating to (a) any misrepresentation
or breach of any representation or warranty made by the Company in this Agreement, the Convertible Debenture or the other Transaction
Documents or any other certificate, instrument or document contemplated hereby or thereby, (b) any breach of any covenant, agreement
or obligation of the Company contained in this Agreement, or the other Transaction Documents or any other certificate, instrument
or document contemplated hereby or thereby, or (c) any cause of action, suit or claim brought or made against such Investor Indemnitee
and arising out of or resulting from the execution, delivery, performance or enforcement of this Agreement or any other instrument,
document or agreement executed pursuant hereto by any of the parties hereto, any transaction financed or to be financed in whole
or in part, directly or indirectly, with the proceeds of the issuance of the Convertible Debenture or the status of the Investor
or holder of the Convertible Debenture or the Conversion Shares, as an Investor of Convertible Debentures in the Company. To the
extent that the foregoing undertaking by the Company may be unenforceable for any reason, the Company shall make the maximum contribution
to the payment and satisfaction of each of the Indemnified Liabilities, which is permissible under applicable law.

 

(b) In
consideration of the Company’s execution and delivery of this Agreement, and in addition to all of the Investor’s other
obligations under this Agreement, the Investor shall defend, protect, indemnify and hold harmless the Company and all of its officers,
directors, employees and agents (including, without limitation, those retained in connection with the transactions contemplated
by this Agreement) (collectively, the “Company Indemnitees”) from and against any and all Indemnified Liabilities
incurred by the Indemnitees or any of them as a result of, or arising out of, or relating to (a) any misrepresentation or breach
of any representation or warranty made by the Investor(s) in this Agreement, instrument or document contemplated hereby or thereby
executed by the Investor, (b) any breach of any covenant, agreement or obligation of the Investor(s) contained in this Agreement,
the Transaction Documents or any other certificate, instrument or document contemplated hereby or thereby executed by the Investor,
or (c) any cause of action, suit or claim brought or made against such Company Indemnitee based on material misrepresentations
or due to a material breach and arising out of or resulting from the execution, delivery, performance or enforcement of this Agreement,
the Transaction Documents or any other instrument, document or agreement executed pursuant hereto by any of the parties hereto.
To the extent that the foregoing undertaking by the Investor may be unenforceable for any reason, the Investor shall make the maximum
contribution to the payment and satisfaction of each of the Indemnified Liabilities, which is permissible under applicable law.

 

    24

     

    

 

10. COMPANY
LIABILITY.

 

(a) The
Company shall be liable for all debt, principal, interest, and other amounts owed to the Investor by Company pursuant to this Agreement,
the Transaction Documents, or any other agreement, whether absolute or contingent, due or to become due, now existing or hereafter
arising (the “Obligations”) and the Investor may proceed against the Company to enforce the Obligations without
waiving its right to proceed against any other party. This Agreement and the Debenture are a primary and original obligation of
the Company and shall remain in effect notwithstanding future changes in conditions, including any change of law or any invalidity
or irregularity in the creation or acquisition of any Obligations or in the execution or delivery of any agreement between the
Investor and the Company. The Company shall be liable for existing and future Obligations as fully as if all of the funds advanced
by the Investor hereunder were advanced to the Company.

 

(b) Notwithstanding
any other provision of this Agreement or any other Transaction Documents the Company irrevocably waives, until all obligations
are paid in full, all rights that it may have at law or in equity (including, without limitation, any law subrogating the Company
to the rights of Investor under the Transaction Documents) to seek contribution, indemnification, or any other form of reimbursement
from the Company, or any other person now or hereafter primarily or secondarily liable for any of the Obligations, for any payment
made by the Company with respect to the Obligations in connection with the Transaction Documents or otherwise and all rights that
it might have to benefit from, or to participate in, any security for the Obligations as a result of any payment made by the Company
with respect to the Obligations in connection with the Transaction Documents or otherwise. Any agreement providing for indemnification,
reimbursement or any other arrangement prohibited under this Section shall be null and void. If any payment is made to the Company
in contravention of this Section, the Company shall hold such payment in trust for the Investor and such payment shall be promptly
delivered to the Investor for application to the Obligations, whether matured or unmatured.

 

11. GOVERNING
LAW: MISCELLANEOUS.

 

(a) Governing
Law; Mandatory Jurisdiction. TO INDUCE INVESTOR TO PURCHASE THE DEBENTURE, THE COMPANY IRREVOCABLY AGREES THAT ANY DISPUTE
ARISING UNDER, RELATING TO, OR IN CONNECTION WITH, DIRECTLY OR INDIRECTLY, THIS AGREEMENT OR RELATED TO ANY MATTER WHICH IS THE
SUBJECT OF OR INCIDENTAL TO THIS AGREEMENT ANY OTHER TRANSACTION DOCUMENT (WHETHER OR NOT SUCH CLAIM IS BASED UPON BREACH OF CONTRACT
OR TORT) SHALL BE SUBJECT TO THE EXCLUSIVE JURISDICTION AND VENUE OF THE STATE COURTS SITTING IN UNION COUNTY, NEW JERSEY AND THE
FEDERAL COURTS SITTING IN NEWARK, NEW JERSEY; PROVIDED, HOWEVER, INVESTOR MAY, AT ITS SOLE OPTION, ELECT TO BRING ANY ACTION
IN ANY OTHER JURISDICTION. THIS PROVISION IS INTENDED TO BE A “MANDATORY” FORUM SELECTION CLAUSE AND GOVERNED BY AND
INTERPRETED CONSISTENT WITH NEW JERSEY LAW. THE COMPANY HEREBY CONSENTS TO THE EXCLUSIVE JURISDICTION AND VENUE OF ANY STATE OR
FEDERAL COURT HAVING ITS SITUS IN SAID COUNTY, AND WAIVES ANY OBJECTION BASED ON FORUM NON CONVENIENS. THE COMPANY HEREBY WAIVES
PERSONAL SERVICE OF ANY AND ALL PROCESS AND CONSENT THAT ALL SUCH SERVICE OF PROCESS MAY BE MADE BY CERTIFIED MAIL, RETURN RECEIPT
REQUESTED, DIRECTED TO THE COMPANY AS SET FORTH HEREIN IN THE MANNER PROVIDED BY APPLICABLE STATUTE, LAW, RULE OF COURT OR OTHERWISE

 

    25

     

    

 

(b) Counterparts.
This Agreement may be executed in 2 or more identical counterparts, all of which shall be considered one and the same agreement
and shall become effective when counterparts have been signed by each party and physically or electronically delivered to the other
party.

 

(c) Usury.
To the extent it may lawfully do so, the Company hereby agrees not to insist upon or plead or in any manner whatsoever claim, and
will resist any and all efforts to be compelled to take the benefit or advantage of, usury laws wherever enacted, now or at any
time hereafter in force, in connection with any claim, action or proceeding that may be brought by the Investor in order to enforce
any right or remedy under any Transaction Document. Notwithstanding any provision to the contrary contained in any Transaction
Document, it is expressly agreed and provided that the total liability of the Company under the Transaction Documents for payments
in the nature of interest shall not exceed the maximum lawful rate authorized under applicable law (the “Maximum Rate”),
and, without limiting the foregoing, in no event shall any rate of interest or default interest, or both of them, when aggregated
with any other sums in the nature of interest that the Company may be obligated to pay under the Transaction Documents exceed such
Maximum Rate. It is agreed that if the maximum contract rate of interest allowed by law and applicable to the Transaction Documents
is increased or decreased by statute or any official governmental action subsequent to the date hereof, the new maximum contract
rate of interest allowed by law will be the Maximum Rate applicable to the Transaction Documents from the effective date thereof
forward, unless such application is precluded by applicable law. If under any circumstances whatsoever, interest in excess of the
Maximum Rate is paid by the Company to the Investor with respect to indebtedness evidenced by the Transaction Documents, such excess
shall be applied by the Investor to the unpaid principal balance of any such indebtedness or be refunded to the Company, the manner
of handling such excess to be at the Investor’s election.

 

(d) Headings.
The headings of this Agreement are for convenience of reference and shall not form part of, or affect the interpretation of, this
Agreement.

 

(e) Severability.
If any provision of this Agreement shall be invalid or unenforceable in any jurisdiction, such invalidity or unenforceability shall
not affect the validity or enforceability of the remainder of this Agreement in that jurisdiction or the validity or enforceability
of any provision of this Agreement in any other jurisdiction.

 

(f) Entire
Agreement, Amendments. This Agreement supersedes all other prior oral or written agreements between the Investor, the Company,
their affiliates and persons acting on their behalf with respect to the matters discussed herein, and this Agreement and the instruments
referenced herein contain the entire understanding of the parties with respect to the matters covered herein and therein and, except
as specifically set forth herein or therein, neither the Company nor any Investor makes any representation, warranty, covenant
or undertaking with respect to such matters. No provision of this Agreement may be waived or amended other than by an instrument
in writing signed by the party to be charged with enforcement.

 

    26

     

    

 

12. Notices.
Any notices, consents, waivers or other communications required or permitted to be given under the terms of this Agreement must
be in writing and will be deemed to have been delivered upon: (i) receipt, when delivered personally, (ii) 1 Business Day after
deposit with an overnight courier service with next day delivery specified, in each case, properly addressed to the party to receive
the same, or (iii) receipt, when sent by electronic mail (provided that the electronic mail transmission is not returned in error
or the sender is not otherwise notified of any error in transmission. The addresses and e-mail addresses for such communications
shall be:

 

	
        If to the Company, to:
	Seedo Corp.
	 	# 3 Bethesda Metro Center, #700
	 	Bethesda, MD 20814
	 	
        Attention: David Grossman

        Telephone: (800)608-6432

        Email: dudigrossman@outlook.com

	 	 
	With a copy to:	
        Law Offices of David E. Price, PC

        #3 Bethesda Metro Center – Suite 700

        Bethesda, MD 20814

	 	
        Attention: David E. Price, Esq.

        Telephone: (202)536-5191

        Email: David@TopTier.eu

	 	 
	If to the Investor:	YAII PN, Ltd.
	 	
        c/o Yorkville Advisors Global, LP

        1012 Springfield Avenue

	 	Mountainside, NJ 07092
	 	Attention: Matthew Beckman
	 	
        Telephone: (732) 213-1864

        Email: mbeckman@yorkvilleadvisors.com

	 	 
	With a copy to:	David Gonzalez, Esq.
	 	1012 Springfield Avenue
	 	Mountainside, NJ 07092
	 	Telephone: (201) 536-5109
	 	Email: dgonzalez@yorkvilleadvisors.com

 

or at such other address and/or electronic
email address and/or to the attention of such other person as the recipient party has specified by written notice given to each
other party 3 Business Days prior to the effectiveness of such change. Written confirmation of receipt (i) given by the recipient
of such notice, consent, waiver or other communication, (ii) mechanically or electronically generated by the sender’s computer
containing the time, date, recipient’s electronic mail address and the text of such electronic mail or (iii) provided by
a nationally recognized overnight delivery service, shall be rebuttable evidence of personal service, receipt by electronic mail
or receipt from a nationally recognized overnight delivery service in accordance with clause (i), (ii) or (iii) above, respectively.

 

    27

     

    

 

(a) Successors
and Assigns. This Agreement shall be binding upon and inure to the benefit of the parties and their respective successors and
assigns. Neither the Company nor any Investor shall assign this Agreement or any rights or obligations hereunder without the prior
written consent of the other party hereto.

 

(b) No
Third Party Beneficiaries. This Agreement is intended for the benefit of the parties hereto and their respective permitted
successors and assigns, and is not for the benefit of, nor may any provision hereof be enforced by, any other person.

 

(c) Survival.
Unless this Agreement is terminated under Section 11(f), all agreements, representations and warranties contained in this Agreement
or made in writing by or on behalf of any party in connection with the transactions contemplated by this Agreement shall survive
the execution and delivery of this Agreement and the Closing.

 

(d) Publicity.
The Company and the Investor shall have the right to approve, before issuance any press release or any other public statement with
respect to the transactions contemplated hereby made by any party; provided, however, that the Company shall be entitled, without
the prior approval of the Investor, to issue any press release or other public disclosure with respect to such transactions required
under applicable securities or other laws or regulations (the Company shall use its best efforts to consult the Investor in connection
with any such press release or other public disclosure relating to the Transaction Documents prior to its release and Investor
shall be provided with a copy thereof upon release thereof).

 

(e) Further
Assurances. Each party shall do and perform, or cause to be done and performed, all such further acts and things, and shall
execute and deliver all such other agreements, certificates, instruments and documents, as the other party may reasonably request
in order to carry out the intent and accomplish the purposes of this Agreement and the consummation of the transactions contemplated
hereby.

 

(f) Termination.
In the event that the Closing shall not have occurred on or before 5th business days from the date hereof due to the
Company’s or the Investor’s failure to satisfy the conditions set forth in Sections 7 and 8 above (and the non-breaching
party’s failure to waive such unsatisfied condition(s)), the non-breaching party shall have the option to terminate this
Agreement with respect to such breaching party at the close of business on such date without liability of any party to any other
party.

 

(g) Brokerage.
The Company represents that no broker, agent, finder or other party has been retained by it in connection with the transactions
contemplated hereby and that no other fee or commission has been agreed by the Company to be paid for or on account of the transactions
contemplated hereby.

 

(h) No
Strict Construction. The language used in this Agreement will be deemed to be the language chosen by the parties to express
their mutual intent, and no rules of strict construction will be applied against any party.

 

[REMAINDER
PAGE INTENTIONALLY LEFT BLANK]

 

    28

     

    

 

IN WITNESS WHEREOF,
each of the Investor and the Company has affixed their respective signatures to this Securities Purchase Agreement as of the date
first written above.

 

	 	COMPANY:
	 	 
	 	SEEDO CORP.
	 	 	 
	 	By:	 
	 	Name: 	David Grossman
	 	Title:	Chief Executive Officer
	 	 	 
	 	INVESTOR:
	 	 
	 	YA II PN, LTD.
	 	 	 
	 	By:	Yorkville Advisors Global, LP
	 	Its:	Investment Manager
	 	 	 
	 	By:	Yorkville Advisors Global II, LLC
	 	Its:	General Partner
	 	 	 
	 	By:	 
	 	Name:	 
	 	Title:	 

 

    29

     

    

 

LIST OF EXHIBITS:

 

Disclosure Schedule

 

Exhibit A – Form of Convertible Debenture

 

Exhibit B – Form of Warrant

 

Exhibit C – Use of Proceeds Confirmation

 

     

     

    

 

DISCLOSURE SCHEDULE

 

Schedule
4(a) – Subsidiaries – 

 

		●	Hachevra Legiduley Pkaot Beisrael Ltd.: Israel, 100 holding.

 

Schedule
4(b) – Security Interests Granted – None

 

Schedule
4(c)– Capitalization - None

 

     

     

    

 

EXHIBIT A

 

     

     

    

 

EXHIBIT B

 

     

     

    

 

EXHIBIT C

 

See Attached Excel

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