Document:

Exhibit 4.1

 

 

 

WARRANTEE, INC.

 

AND

 

THE BANK OF NEW YORK MELLON

 

As Depositary

 

AND

 

OWNERS AND HOLDERS OF AMERICAN DEPOSITARY SHARES

 

Deposit Agreement

 

__________, 2022

 

 

 

     

     

    

 

TABLE OF CONTENTS

 

	ARTICLE 1.	DEFINITIONS	1
	 	SECTION 1.1.	 	American Depositary Shares	1
	 	SECTION 1.2.	 	Commission	2
	 	SECTION 1.3.	 	Company	2
	 	SECTION 1.4.	 	Custodian	2
	 	SECTION 1.5.	 	Deliver; Surrender	2
	 	SECTION 1.6.	 	Deposit Agreement	3
	 	SECTION 1.7.	 	Depositary; Depositary’s Office	3
	 	SECTION 1.8.	 	Deposited Securities	3
	 	SECTION 1.9.	 	Disseminate	3
	 	SECTION 1.10.	 	Dollars	3
	 	SECTION 1.11.	 	DTC	4
	 	SECTION 1.12.	 	Foreign Registrar	4
	 	SECTION 1.13.	 	Holder	4
	 	SECTION 1.14.	 	Owner	4
	 	SECTION 1.15.	 	Receipts	4
	 	SECTION 1.16.	 	Registrar	4
	 	SECTION 1.17.	 	Replacement	4
	 	SECTION 1.18.	 	Restricted Securities	5
	 	SECTION 1.19.	 	Securities Act of 1933	5
	 	SECTION 1.20.	 	Shares	5
	 	SECTION 1.21.	 	SWIFT	5
	 	SECTION 1.22.	 	Termination Option Event	5
	 	 	 	 	 
	ARTICLE 2.	FORM OF RECEIPTS, DEPOSIT OF SHARES, DELIVERY, TRANSFER AND SURRENDER OF AMERICAN DEPOSITARY SHARES	6
	 	SECTION 2.1.	 	Form of Receipts; Registration and Transferability of American Depositary Shares	6
	 	SECTION 2.2.	 	Deposit of Shares	7
	 	SECTION 2.3.	 	Delivery of American Depositary Shares	9
	 	SECTION 2.4.	 	Registration of Transfer of American Depositary Shares; Combination and Split-up of Receipts; Interchange of Certificated and Uncertificated American Depositary Shares	9
	 	SECTION 2.5.	 	Surrender of American Depositary Shares and Withdrawal of Deposited Securities	10
	 	SECTION 2.6.	 	Limitations on Delivery, Registration of Transfer and Surrender of American Depositary Shares	11
	 	SECTION 2.7.	 	Lost Receipts, etc.	12
	 	SECTION 2.8.	 	Cancellation and Destruction of Surrendered Receipts	12
	 	SECTION 2.9.	 	DTC Direct Registration System and Profile Modification System	13

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	ARTICLE 3.	CERTAIN OBLIGATIONS OF OWNERS AND HOLDERS OF AMERICAN DEPOSITARY SHARES	13
	 	SECTION 3.1.	 	Filing Proofs, Certificates and Other Information	13
	 	SECTION 3.2.	 	Liability of Owner for Taxes	14
	 	SECTION 3.3.	 	Warranties on Deposit of Shares	14
	 	SECTION 3.4.	 	Disclosure of Interests	14
	 	 	 	 	 
	ARTICLE 4.	THE DEPOSITED SECURITIES	15
	 	SECTION 4.1.	 	Cash Distributions	15
	 	SECTION 4.2.	 	Distributions Other Than Cash, Shares or Rights	16
	 	SECTION 4.3.	 	Distributions in Shares	17
	 	SECTION 4.4.	 	Rights	17
	 	SECTION 4.5.	 	Conversion of Foreign Currency	19
	 	SECTION 4.6.	 	Fixing of Record Date	20
	 	SECTION 4.7.	 	Voting of Deposited Shares	21
	 	SECTION 4.8.	 	Tender and Exchange Offers; Redemption, Replacement or Cancellation of Deposited Securities	21
	 	SECTION 4.9.	 	Reports	23
	 	SECTION 4.10.	 	Lists of Owners	23
	 	SECTION 4.11.	 	Withholding	23
	 	 	 	 	 
	ARTICLE 5.	THE DEPOSITARY, THE CUSTODIANS AND THE COMPANY	24
	 	SECTION 5.1.	 	Maintenance of Office and Register by the Depositary	24
	 	SECTION 5.2.	 	Prevention or Delay of Performance by the Company or the Depositary	25
	 	SECTION 5.3.	 	Obligations of the Depositary and the Company	26
	 	SECTION 5.4.	 	Resignation and Removal of the Depositary	27
	 	SECTION 5.5.	 	The Custodians	28
	 	SECTION 5.6.	 	Notices and Reports	28
	 	SECTION 5.7.	 	Distribution of Additional Shares, Rights, etc.	29
	 	SECTION 5.8.	 	Indemnification	29
	 	SECTION 5.9.	 	Charges of Depositary	31
	 	SECTION 5.10.	 	Retention of Depositary Documents	31
	 	SECTION 5.11.	 	Exclusivity	32
	 	SECTION 5.12.	 	Information for Regulatory Compliance	32

 

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	ARTICLE 6.	AMENDMENT AND TERMINATION	32
	 	SECTION 6.1.	 	Amendment	32
	 	SECTION 6.2.	 	Termination	33
	 	 	 	 	 
	ARTICLE 7.	MISCELLANEOUS	34
	 	SECTION 7.1.	 	Counterparts; Signatures; Delivery	34
	 	SECTION 7.2.	 	No Third Party Beneficiaries	34
	 	SECTION 7.3.	 	Severability	34
	 	SECTION 7.4.	 	Owners and Holders as Parties; Binding Effect	35
	 	SECTION 7.5.	 	Notices	35
	 	SECTION 7.6.	 	Appointment of Agent for Service of Process; Submission to Jurisdiction; Jury Trial Waiver	36
	 	SECTION 7.7.	 	Waiver of Immunities	37
	 	SECTION 7.8.	 	Governing Law	37

 

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DEPOSIT AGREEMENT

 

DEPOSIT AGREEMENT dated as of
__________, 2022 among WARRANTEE, INC., a company incorporated under the laws of Japan (herein called the Company), THE BANK OF NEW
YORK MELLON, a New York banking corporation (herein called the Depositary), and all Owners and Holders (each as hereinafter defined) from
time to time of American Depositary Shares issued hereunder.

 

W I T N E S S E T H:

 

WHEREAS, the Company desires
to provide, as set forth in this Deposit Agreement, for the deposit of Shares (as hereinafter defined) of the Company from time to time
with the Depositary or with the Custodian (as hereinafter defined) under this Deposit Agreement, for the creation of American Depositary
Shares representing the Shares so deposited and for the execution and delivery of American Depositary Receipts evidencing the American
Depositary Shares; and

 

WHEREAS, the American Depositary
Receipts are to be substantially in the form of Exhibit A annexed to this Deposit Agreement, with appropriate insertions, modifications
and omissions, as set forth in this Deposit Agreement;

 

NOW, THEREFORE, in consideration
of the premises, it is agreed by and between the parties hereto as follows:

 

ARTICLE 1.       DEFINITIONS

 

The following definitions shall
for all purposes, unless otherwise clearly indicated, apply to the respective terms used in this Deposit Agreement:

 

SECTION 1.1.       American
Depositary Shares.

 

The term “American
Depositary Shares” shall mean the securities created under this Deposit Agreement representing rights with respect to the Deposited
Securities. American Depositary Shares may be certificated securities evidenced by Receipts or uncertificated securities. The form of
Receipt annexed as Exhibit A to this Deposit Agreement shall be the prospectus required under the Securities Act of 1933 for sales
of both certificated and uncertificated American Depositary Shares. Except for those provisions of this Deposit Agreement that refer specifically
to Receipts, all the provisions of this Deposit Agreement shall apply to both certificated and uncertificated American Depositary Shares.

 

Each American Depositary Share
shall represent the number of Shares specified in Exhibit A to this Deposit Agreement, except that, if there is a distribution
upon Deposited Securities covered by Section 4.3, a change in Deposited Securities covered by Section 4.8 with respect to which
additional American Depositary Shares are not delivered or a sale of Deposited Securities under Section 3.2 or 4.8, each American
Depositary Share shall thereafter represent the amount of Shares or other Deposited Securities that are then on deposit per American Depositary
Share after giving effect to that distribution, change or sale.

 

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SECTION 1.2.       Commission.

 

The term “Commission”
shall mean the Securities and Exchange Commission of the United States or any successor governmental agency in the United States.

 

SECTION 1.3.       Company.

 

The term “Company”
shall mean Warrantee, Inc., a company incorporated under the laws of Japan, and its successors.

 

SECTION 1.4.       Custodian.

 

The term “Custodian”
shall mean Mitsubishi UFJ Bank, as custodian for the Depositary in Japan for the purposes of this Deposit Agreement, and any other firm
or corporation the Depositary appoints under Section 5.5 as a substitute or additional custodian under this Deposit Agreement, and
shall also mean all of them collectively.

 

SECTION 1.5.       Deliver;
Surrender.

 

(a)         The
term “deliver”, or its noun form, when used with respect to Shares or other Deposited Securities, shall mean (i) book-entry
transfer of those Shares or other Deposited Securities to an account maintained by an institution authorized under applicable law to
effect transfers of such securities designated by the person entitled to that delivery or (ii) physical transfer of certificates
evidencing those Shares or other Deposited Securities registered in the name of, or duly endorsed or accompanied by proper instruments
of transfer to, the person entitled to that delivery.

 

(b)         The
term “deliver”, or its noun form, when used with respect to American Depositary Shares, shall mean (i) registration
of those American Depositary Shares in the name of DTC or its nominee and book-entry transfer of those American Depositary Shares to an
account at DTC designated by the person entitled to that delivery, (ii) registration of those American Depositary Shares not evidenced
by a Receipt on the books of the Depositary in the name requested by the person entitled to that delivery and mailing to that person of
a statement confirming that registration or (iii) if requested by the person entitled to that delivery, execution and delivery at
the Depositary’s Office to the person entitled to that delivery of one or more Receipts evidencing those American Depositary Shares
registered in the name requested by that person.

 

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(c)         The
term “surrender”, when used with respect to American Depositary Shares, shall mean (i) one or more book-entry
transfers of American Depositary Shares to the DTC account of the Depositary, (ii) delivery to the Depositary at its Office of an
instruction to surrender American Depositary Shares not evidenced by a Receipt or (iii) surrender to the Depositary at its Office
of one or more Receipts evidencing American Depositary Shares.

 

SECTION 1.6.       Deposit
Agreement.

 

The term “Deposit Agreement”
shall mean this Deposit Agreement, as it may be amended from time to time in accordance with the provisions of this Deposit Agreement.

 

SECTION 1.7.       Depositary;
Depositary’s Office.

 

The term “Depositary”
shall mean The Bank of New York Mellon, a New York banking corporation, and any successor as depositary under this Deposit Agreement.
The term “Office”, when used with respect to the Depositary, shall mean the office at which its depositary receipts
business is administered, which, at the date of this Deposit Agreement, is located at 240 Greenwich Street, New York, New York 10286.

 

SECTION 1.8.       Deposited
Securities.

 

The term “Deposited
Securities” as of any time shall mean Shares at such time deposited or deemed to be deposited under this Deposit Agreement,
including without limitation, Shares that have not been successfully delivered upon surrender of American Depositary Shares, and any and
all other securities, property and cash received by the Depositary or the Custodian in respect of Deposited Securities and at that time
held under this Deposit Agreement.

 

SECTION 1.9.       Disseminate.

 

The term “Disseminate,”
when referring to a notice or other information to be sent by the Depositary to Owners, shall mean (i) sending that information to
Owners in paper form by mail or another means or (ii) with the consent of Owners, another procedure that has the effect of making
the information available to Owners, which may include (A) sending the information by electronic mail or electronic messaging or
(B) sending in paper form or by electronic mail or messaging a statement that the information is available and may be accessed by
the Owner on an Internet website and that it will be sent in paper form upon request by the Owner, when that information is so available
and is sent in paper form as promptly as practicable upon request.

 

SECTION 1.10.     Dollars.

 

The term “Dollars”
shall mean United States dollars.

 

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SECTION 1.11.       DTC.

 

The term “DTC”
shall mean The Depository Trust Company or its successor.

 

SECTION 1.12.       FEFTA.

 

The term “FEFTA”
shall mean the Japanese Foreign Exchange and Foreign Trade Act and related regulations.

 

SECTION 1.13.       Foreign
Registrar.

 

The term “Foreign Registrar”
shall mean the entity that carries out the duties of registrar for the Shares and any other agent of the Company for the transfer and
registration of Shares, including, without limitation, any securities depository for the Shares.

 

SECTION 1.14.       Holder.

 

The term “Holder”
shall mean any person holding a Receipt or a security entitlement or other interest in American Depositary Shares, whether for its own
account or for the account of another person, but that is not the Owner of that Receipt or those American Depositary Shares.

 

SECTION 1.15.       Owner.

 

The term “Owner”
shall mean the person in whose name American Depositary Shares are registered on the books of the Depositary maintained for that purpose.

 

SECTION 1.16.       Receipts.

 

The term “Receipts”
shall mean the American Depositary Receipts issued under this Deposit Agreement evidencing certificated American Depositary Shares, as
the same may be amended from time to time in accordance with the provisions of this Deposit Agreement.

 

SECTION 1.17.       Registrar.

 

The term “Registrar”
shall mean any corporation or other entity that is appointed by the Depositary to register American Depositary Shares and transfers of
American Depositary Shares as provided in this Deposit Agreement.

 

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SECTION 1.18.       Replacement.

 

The term “Replacement”
shall have the meaning assigned to it in Section 4.8.

 

SECTION 1.19.       Restricted
Securities.

 

The term “Restricted
Securities” shall mean Shares that (i) are “restricted securities,” as defined in Rule 144 under the Securities
Act of 1933, except for Shares that could be resold in reliance on Rule 144 without any conditions, (ii) are beneficially owned
by an officer, director (or person performing similar functions) or other affiliate of the Company, (iii) otherwise would require
registration under the Securities Act of 1933 in connection with the public offer and sale thereof in the United States or (iv) are
subject to other restrictions on sale or deposit under the laws of Japan, a shareholder agreement or the articles of association or similar
document of the Company.

 

SECTION 1.20.       Securities
Act of 1933.

 

The term “Securities
Act of 1933” shall mean the United States Securities Act of 1933, as from time to time amended.

 

SECTION 1.21.       Shares.

 

The term “Shares”
shall mean common shares of the Company that are validly issued and outstanding, fully paid and nonassessable and that were not issued
in violation of any pre-emptive or similar rights of the holders of outstanding securities of the Company; provided, however,
that, if there shall occur any change in nominal or par value, a split-up or consolidation or any other reclassification or, upon the
occurrence of an event described in Section 4.8, an exchange or conversion in respect of the Shares of the Company, the term “Shares”
shall thereafter also mean the successor securities resulting from such change in nominal value, split-up or consolidation or such other
reclassification or such exchange or conversion.

 

SECTION 1.22.       SWIFT.

 

The term “SWIFT”
shall mean the financial messaging network operated by the Society for Worldwide Interbank Financial Telecommunication, or its successor.

 

SECTION 1.23.       Termination
Option Event.

 

The term “Termination
Option Event” shall mean any of the following events or conditions:

 

(i)         the
Company institutes proceedings to be adjudicated as bankrupt or insolvent, consents to the institution of bankruptcy or insolvency proceedings
against it, files a petition or answer or consent seeking reorganization or relief under any applicable law in respect of bankruptcy or
insolvency, consents to the filing of any petition of that kind or to the appointment of a receiver, liquidator, assignee, trustee, custodian
or sequestrator (or other similar official) of it or any substantial part of its property or makes an assignment for the benefit of creditors,
or if information becomes publicly available indicating that unsecured claims against the Company are not expected to be paid;

 

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(ii)         if
applicable, the Shares are delisted, or the Company announces its intention to delist the Shares, from a stock exchange outside the United
States, and the Company has not applied to list the Shares on any other stock exchange outside the United States;

 

(iii)         the
American Depositary Shares are delisted from a stock exchange in the United States on which the American Depositary Shares were listed
and, 30 days after that delisting, the American Depositary Shares have not been listed on another stock exchange in the United States,
nor is there a symbol available for over-the-counter trading of the American Depositary Shares in the United States;

 

(iv)         the
Depositary has received notice of facts that indicate, or otherwise has reason to believe, that the American Depositary Shares have become,
or with the passage of time will become, ineligible for registration on Form F-6 under the Securities Act of 1933; or

 

(v)         an
event or condition that is defined as a Termination Option Event in Section 4.1, 4.2 or 4.8.

 

ARTICLE 2.   FORM OF
RECEIPTS, DEPOSIT OF SHARES, DELIVERY, TRANSFER AND SURRENDER OF AMERICAN DEPOSITARY SHARES

 

SECTION 2.1.       Form of
Receipts; Registration and Transferability of American Depositary Shares.

 

Definitive Receipts shall be
substantially in the form set forth in Exhibit A to this Deposit Agreement, with appropriate insertions, modifications and omissions,
as permitted under this Deposit Agreement. No Receipt shall be entitled to any benefits under this Deposit Agreement or be valid or obligatory
for any purpose, unless that Receipt has been (i) executed by the Depositary by the manual signature of a duly authorized officer
of the Depositary or (ii) executed by the facsimile signature of a duly authorized officer of the Depositary and countersigned by
the manual signature of a duly authorized signatory of the Depositary or the Registrar or a co-registrar. The Depositary shall maintain
books on which (x) each Receipt so executed and delivered as provided in this Deposit Agreement and each transfer of that Receipt
and (y) all American Depositary Shares delivered as provided in this Deposit Agreement and all registrations of transfer of American
Depositary Shares, shall be registered. A Receipt bearing the facsimile signature of a person that was at any time a proper officer of
the Depositary shall, subject to the other provisions of this paragraph, bind the Depositary, even if that person was not a proper officer
of the Depositary on the date of issuance of that Receipt.

 

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The Receipts and statements
confirming registration of American Depositary Shares may have incorporated in or attached to them such legends or recitals or modifications
not inconsistent with the provisions of this Deposit Agreement as may be required by the Depositary or required to comply with any applicable
law or regulations thereunder or with the rules and regulations of any securities exchange upon which American Depositary Shares
may be listed or to conform with any usage with respect thereto, or to indicate any special limitations or restrictions to which any particular
Receipts and American Depositary Shares are subject by reason of the date of issuance of the underlying Deposited Securities or otherwise.

 

American Depositary Shares evidenced
by a Receipt, when the Receipt is properly endorsed or accompanied by proper instruments of transfer, shall be transferable as certificated
registered securities under the laws of the State of New York. American Depositary Shares not evidenced by Receipts shall be transferable
as uncertificated registered securities under the laws of the State of New York. The Depositary, notwithstanding any notice to the contrary,
may treat the Owner of American Depositary Shares as the absolute owner thereof for the purpose of determining the person entitled to
distribution of dividends or other distributions or to any notice provided for in this Deposit Agreement and for all other purposes, and
neither the Depositary nor the Company shall have any obligation or be subject to any liability under this Deposit Agreement to any Holder
of American Depositary Shares (but only to the Owner of those American Depositary Shares).

 

SECTION 2.2.       Deposit
of Shares.

 

Subject to the terms and conditions
of this Deposit Agreement, Shares or evidence of rights to receive Shares may be deposited under this Deposit Agreement by delivery thereof
to any Custodian, accompanied by any appropriate instruments or instructions for transfer, or endorsement, in form satisfactory to the
Custodian.

 

As conditions of accepting Shares
for deposit, the Depositary may require (i) any certification required by the Depositary or the Custodian in accordance with the
provisions of this Deposit Agreement, (ii) a written order directing the Depositary to deliver to, or upon the written order of,
the person or persons stated in that order American Depositary Shares representing those deposited Shares, (iii) evidence satisfactory
to the Depositary that those Shares have been re-registered in the books of the Company or the Foreign Registrar in the name of the Depositary,
a Custodian or a nominee of the Depositary or a Custodian, (iv) evidence satisfactory to the Depositary that any necessary approval
for the transfer or deposit has been granted by any governmental body in each applicable jurisdiction and (v) an agreement or assignment,
or other instrument satisfactory to the Depositary, that provides for the prompt transfer to the Custodian of any dividend, or right to
subscribe for additional Shares or to receive other property, that any person in whose name those Shares are or have been recorded may
thereafter receive upon or in respect of those Shares, or, in lieu thereof, such agreement of indemnity or other agreement as shall be
satisfactory to the Depositary.

 

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The Depositary has been advised
that, as of the date of this Deposit Agreement, under FEFTA, it must obtain pre-clearance from the applicable Japanese governmental authority
prior to accepting Shares for deposit and that the applicable governmental authority may take up to 30 days to respond to applications
for that pre-clearance. Accordingly, persons wishing to deposit Shares should notify the Depositary of that desire at least 30 days in
advance. The Depositary shall not accept Shares for deposit until any required pre-clearance has been obtained. The Depositary has been
advised that, as of the date of this Deposit Agreement, FEFTA also requires it to notify the applicable governmental authority within
45 days after accepting Shares for deposit. The Company agrees to reimburse the Depositary for its expenses, including fees and expenses
of counsel, for applying for any required pre-clearance or notification in connection with deposits of Shares.

 

At the request and risk and
expense of a person proposing to deposit Shares, and for the account of that person, the Depositary may receive certificates for Shares
to be deposited, together with the other instruments specified in this Section, for the purpose of forwarding those Share certificates
to the Custodian for deposit under this Deposit Agreement.

 

The Depositary shall instruct
each Custodian that, upon each delivery to a Custodian of a certificate or certificates for Shares to be deposited under this Deposit
Agreement, together with the other documents specified in this Section, that Custodian shall, as soon as transfer and recordation can
be accomplished, present that certificate or those certificates to the Company or the Foreign Registrar, if applicable, for transfer and
recordation of the Shares being deposited in the name of the Depositary or its nominee or that Custodian or its nominee.

 

The Depositary shall refuse,
and shall instruct the Custodian to refuse, to accept Shares for deposit if the Depositary has received a notice from the Company that
the Company has restricted transfer of those Shares under the Company’s articles of association or any applicable laws or that the
deposit would result in any violation of the Company’s articles of association or any applicable laws.

 

Deposited Securities shall be
held by the Depositary or by a Custodian for the account and to the order of the Depositary or at such other place or places as the Depositary
shall determine.

 

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SECTION 2.3.       Delivery
of American Depositary Shares.

 

The Depositary shall instruct
each Custodian that, upon receipt by that Custodian of any deposit pursuant to Section 2.2, together with the other documents or
evidence required under that Section, that Custodian shall notify the Depositary of that deposit and the person or persons to whom or
upon whose written order American Depositary Shares are deliverable in respect thereof. Upon receiving a notice of a deposit from a Custodian,
or upon the receipt of Shares or evidence of the right to receive Shares by the Depositary, the Depositary, subject to the terms and conditions
of this Deposit Agreement, shall deliver, to or upon the order of the person or persons entitled thereto, the number of American Depositary
Shares issuable in respect of that deposit, but only upon payment to the Depositary of the fees and expenses of the Depositary for the
delivery of those American Depositary Shares as provided in Section 5.9, and of all taxes and governmental charges and fees payable
in connection with that deposit and the transfer of the deposited Shares. However, the Depositary shall deliver only whole numbers
of American Depositary Shares.

 

SECTION 2.4.       Registration
of Transfer of American Depositary Shares; Combination and Split-up of Receipts; Interchange of Certificated and Uncertificated American
Depositary Shares.

 

The Depositary, subject to the
terms and conditions of this Deposit Agreement, shall register a transfer of American Depositary Shares on its transfer books upon (i) in
the case of certificated American Depositary Shares, surrender of the Receipt evidencing those American Depositary Shares, by the Owner
or by a duly authorized attorney, properly endorsed or accompanied by proper instruments of transfer or (ii) in the case of uncertificated
American Depositary Shares, receipt from the Owner of a proper instruction (including, for the avoidance of doubt, instructions through
DRS and Profile as provided in Section 2.9), and, in either case, duly stamped as may be required by the laws of the State of New
York and of the United States of America. Upon registration of a transfer, the Depositary shall deliver the transferred American Depositary
Shares to or upon the order of the person entitled thereto.

 

The Depositary, subject to the
terms and conditions of this Deposit Agreement, shall upon surrender of a Receipt or Receipts for the purpose of effecting a split-up
or combination of such Receipt or Receipts, execute and deliver a new Receipt or Receipts for any authorized number of American Depositary
Shares requested, evidencing the same aggregate number of American Depositary Shares as the Receipt or Receipts surrendered.

 

The Depositary, upon surrender
of certificated American Depositary Shares for the purpose of exchanging for uncertificated American Depositary Shares, shall cancel the
Receipt evidencing those certificated American Depositary Shares and send the Owner a statement confirming that the Owner is the owner
of the same number of uncertificated American Depositary Shares. The Depositary, upon receipt of a proper instruction (including, for
the avoidance of doubt, instructions through DRS and Profile as provided in Section 2.9) from the Owner of uncertificated American
Depositary Shares for the purpose of exchanging for certificated American Depositary Shares, shall cancel those uncertificated American
Depositary Shares and register and deliver to the Owner a Receipt evidencing the same number of certificated American Depositary Shares.

 

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The Depositary may appoint one
or more co-transfer agents for the purpose of effecting registration of transfers of American Depositary Shares and combinations and split-ups
of Receipts at designated transfer offices on behalf of the Depositary. In carrying out its functions, a co-transfer agent may require
evidence of authority and compliance with applicable laws and other requirements by Owners or persons entitled to American Depositary
Shares and will be entitled to protection and indemnity to the same extent as the Depositary.

 

SECTION 2.5.       Surrender
of American Depositary Shares and Withdrawal of Deposited Securities.

 

Upon surrender of American Depositary
Shares for the purpose of withdrawal of the Deposited Securities represented thereby and payment of the fee of the Depositary for the
surrender of American Depositary Shares as provided in Section 5.9 and payment of all taxes and governmental charges payable in connection
with that surrender and withdrawal of the Deposited Securities, and subject to the terms and conditions of this Deposit Agreement, the
Owner of those American Depositary Shares shall be entitled to delivery (to the extent delivery can then be lawfully and practicably made),
to or as instructed by that Owner, of the amount of Deposited Securities at the time represented by those American Depositary Shares,
but not any money or other property as to which a record date for distribution to Owners has passed (since money or other property
of that kind will be delivered or paid on the scheduled payment date to the Owner as of that record date), and except that the
Depositary shall not be required to accept surrender of American Depositary Shares for the purpose of withdrawal to the extent it would
require delivery of a fraction of a Deposited Security. That delivery shall be made, as provided in this Section, without unreasonable
delay.

 

As a condition of accepting
a surrender of American Depositary Shares for the purpose of withdrawal of Deposited Securities, the Depositary may require (i) that
each surrendered Receipt be properly endorsed in blank or accompanied by proper instruments of transfer in blank and (ii) that the
surrendering Owner execute and deliver to the Depositary a written order directing the Depositary to cause the Deposited Securities being
withdrawn to be delivered to or upon the written order of a person or persons designated in that order.

 

Thereupon, the Depositary shall
direct the Custodian to deliver, subject to Sections 2.6, 3.1 and 3.2, the other terms and conditions of this Deposit Agreement and local
market rules and practices, to the surrendering Owner or to or upon the written order of the person or persons designated in the
order delivered to the Depositary as above provided, the amount of Deposited Securities represented by the surrendered American Depositary
Shares, and the Depositary may charge the surrendering Owner a fee and its expenses for giving that direction by cable (including SWIFT)
or facsimile transmission.

 

    	 	-10-	 

     

    

 

If Deposited Securities are
delivered physically upon surrender of American Depositary Shares for the purpose of withdrawal, that delivery will be made at the Custodian’s
office, except that, at the request, risk and expense of an Owner surrendering American Depositary Shares for withdrawal of Deposited
Securities, and for the account of that Owner, the Depositary shall direct the Custodian to forward any cash or other property comprising,
and forward a certificate or certificates, if applicable, and other proper documents of title, if any, for, the Deposited Securities represented
by the surrendered American Depositary Shares to the Depositary for delivery at the Depositary’s Office or to another address specified
in the order received from the surrendering Owner.

 

The Depositary has been advised
that, as of the date of this Deposit Agreement, under FEFTA, any Foreign Investor (as defined under FEFTA) expecting to receive delivery
of Shares upon surrender of American Depositary Shares must obtain pre-clearance from the applicable Japanese governmental authority prior
to accepting that delivery and that the applicable governmental authority may take up to 30 days to respond to applications for that pre-clearance.
Accordingly, Owners that are Foreign Investors wishing to surrender American Depositary Shares for the purpose of withdrawal of deposited
Shares should apply or advise the persons to whom they intend to direct delivery of Shares to apply for pre-clearance at least 30 days
in advance. The Depositary shall not accept surrender of American Depositary Shares for the purpose of withdrawal of Shares until it receives
assurances satisfactory to it that any required pre-clearance for delivery of the Shares to be withdrawn to a Foreign Investor has been
obtained. The Depositary has been further advised that, as of the date of this Deposit Agreement, under FEFTA, it must notify the applicable
Japanese governmental authority within 45 days whenever it delivers deposited Shares upon a surrender of American Depositary Shares. The
Company agrees to reimburse the Depositary for its expenses, including fees and expenses of counsel, for making required notifications
of that kind.

 

SECTION 2.6.       Limitations
on Delivery, Registration of Transfer and Surrender of American Depositary Shares.

 

As a condition precedent to
the delivery, registration of transfer or surrender of any American Depositary Shares or split-up or combination of any Receipt or withdrawal
of any Deposited Securities, the Depositary, Custodian or Registrar may require payment from the depositor of Shares or the presenter
of the Receipt or instruction for registration of transfer or surrender of American Depositary Shares not evidenced by a Receipt of a
sum sufficient to reimburse it for any tax or other governmental charge and any stock transfer or registration fee with respect thereto
(including any such tax or charge and fee with respect to Shares being deposited or withdrawn) and payment of any applicable fees as provided
in this Deposit Agreement, may require the production of proof satisfactory to it as to the identity and genuineness of any signature
and may also require compliance with any regulations the Depositary may establish consistent with the provisions of this Deposit Agreement,
including, without limitation, this Section 2.6.

 

    	 	-11-	 

     

    

 

The Depositary may refuse to
accept deposits of Shares for delivery of American Depositary Shares or to register transfers of American Depositary Shares in particular
instances, or may suspend deposits of Shares or registration of transfer generally, whenever it or the Company considers it necessary
or advisable to do so. The Depositary may refuse surrenders of American Depositary Shares for the purpose of withdrawal of Deposited Securities
in particular instances, or may suspend surrenders for the purpose of withdrawal generally, but, notwithstanding anything to the contrary
in this Deposit Agreement, only for (i) temporary delays caused by closing of the Depositary’s register or the register
of holders of Shares maintained by the Company or the Foreign Registrar, or the deposit of Shares, in connection with voting at a shareholders’
meeting or the payment of dividends, (ii) the payment of fees, taxes and similar charges, (iii) compliance with any U.S. or
foreign laws or governmental regulations relating to the American Depositary Shares or to the withdrawal of the Deposited Securities or
(iv) any other reason that, at the time, is permitted under paragraph I(A)(1) of the General Instructions to Form F-6 under
the Securities Act of 1933 or any successor to that provision.

 

The Depositary shall not knowingly
accept for deposit under this Deposit Agreement any Shares that, at the time of deposit, are Restricted Securities.

 

SECTION 2.7.       Lost
Receipts, etc.

 

If a Receipt is mutilated, destroyed,
lost or stolen, the Depositary shall deliver to the Owner the American Depositary Shares evidenced by that Receipt in uncertificated form
or, if requested by the Owner, execute and deliver a new Receipt of like tenor in exchange and substitution for such mutilated Receipt,
upon surrender and cancellation of that mutilated Receipt, or in lieu of and in substitution for that destroyed, lost or stolen Receipt.
However, before the Depositary will deliver American Depositary Shares in uncertificated form or execute and deliver a new Receipt,
in substitution for a destroyed, lost or stolen Receipt, the Owner must (a) file with the Depositary (i) a request for that
replacement before the Depositary has notice that the Receipt has been acquired by a bona fide purchaser and (ii) a sufficient indemnity
bond and (b) satisfy any other reasonable requirements imposed by the Depositary.

 

SECTION 2.8.       Cancellation
and Destruction of Surrendered Receipts.

 

The Depositary shall cancel
all Receipts surrendered to it and is authorized to destroy Receipts so cancelled.

 

    	 	-12-	 

     

    

 

SECTION 2.9.       DTC
Direct Registration System and Profile Modification System.

 

(a)           Notwithstanding
the provisions of Section 2.4, the parties acknowledge that DTC’s Direct Registration System (“DRS”) and
Profile Modification System (“Profile”) apply to the American Depositary Shares upon acceptance thereof to DRS by DTC.
DRS is the system administered by DTC that facilitates interchange between registered holding of uncertificated securities and holding
of security entitlements in those securities through DTC and a DTC participant. Profile is a required feature of DRS that allows a DTC
participant, claiming to act on behalf of an Owner of American Depositary Shares, to direct the Depositary to register a transfer of those
American Depositary Shares to DTC or its nominee and to deliver those American Depositary Shares to the DTC account of that DTC participant
without receipt by the Depositary of prior authorization from the Owner to register that transfer.

 

(b)         In
connection with DRS/Profile, the parties acknowledge that the Depositary will not determine whether the DTC participant that is claiming
to be acting on behalf of an Owner in requesting a registration of transfer and delivery as described in paragraph (a) above has
the actual authority to act on behalf of that Owner (notwithstanding any requirements under the Uniform Commercial Code). For the avoidance
of doubt, the provisions of Sections 5.3 and 5.8 apply to the matters arising from the use of the DRS/Profile. The parties agree that
the Depositary’s reliance on and compliance with instructions received by the Depositary through the DRS/Profile system and otherwise
in accordance with this Deposit Agreement shall not constitute negligence or bad faith on the part of the Depositary.

 

ARTICLE 3.  CERTAIN
OBLIGATIONS OF OWNERS AND HOLDERS OF AMERICAN DEPOSITARY SHARES

 

SECTION 3.1.       Filing
Proofs, Certificates and Other Information.

 

Any person presenting Shares
for deposit or any Owner or Holder may be required from time to time to file with the Depositary or the Custodian such proof of citizenship
or residence, exchange control approval, or such information relating to the registration on the books of the Company or the Foreign Registrar,
if applicable, to execute such certificates and to make such representations and warranties, as the Depositary may deem necessary or proper,
or as the Company may reasonably require by written request to the Depositary. The Depositary may withhold the delivery or registration
of transfer of American Depositary Shares, the distribution of any dividend or other distribution or of the proceeds thereof or the delivery
of any Deposited Securities until that proof or other information is filed or those certificates are executed or those representations
and warranties are made. The Depositary shall provide the Company, upon the Company’s written request, and at the Company’s
expense, as promptly as practicable, with copies of any information or other materials that it receives pursuant to this Section 3.1,
to the extent that the requested disclosure is permitted under applicable law.

 

    	 	-13-	 

     

    

 

SECTION 3.2.       Liability
of Owner for Taxes.

 

If any tax or other governmental
charge shall become payable by the Custodian or the Depositary with respect to or in connection with any American Depositary Shares or
any Deposited Securities represented by any American Depositary Shares or in connection with a transaction to which Section 4.8 applies,
that tax or other governmental charge shall be payable by the Owner of those American Depositary Shares to the Depositary. The Depositary
may refuse to register any transfer of those American Depositary Shares or any withdrawal of Deposited Securities represented by those
American Depositary Shares until that payment is made, and may withhold any dividends or other distributions or the proceeds thereof,
or may sell for the account of the Owner any part or all of the Deposited Securities represented by those American Depositary Shares and
apply those dividends or other distributions or the net proceeds of any sale of that kind in payment of that tax or other governmental
charge but, even after a sale of that kind, the Owner of those American Depositary Shares shall remain liable for any deficiency.
The Depositary shall distribute any net proceeds of a sale made under this Section that are not used to pay taxes or governmental
charges to the Owners entitled to them in accordance with Section 4.1. If the number of Shares represented by each American Depositary
Share decreases as a result of a sale of Deposited Securities under this Section, the Depositary may call for surrender of the American
Depositary Shares to be exchanged on a mandatory basis for a lesser number of American Depositary Shares and may sell American Depositary
Shares to the extent necessary to avoid distributing fractions of American Depositary Shares in that exchange and distribute the net proceeds
of that sale to the Owners entitled to them.

 

SECTION 3.3.       Warranties
on Deposit of Shares.

 

Every person depositing Shares
under this Deposit Agreement shall be deemed thereby to represent and warrant that those Shares and each certificate therefor, if applicable,
are validly issued, fully paid and nonassessable and were not issued in violation of any preemptive or similar rights of the holders of
outstanding securities of the Company and that the person making that deposit is duly authorized so to do. Every depositing person shall
also be deemed to represent that the Shares, at the time of deposit, are not Restricted Securities. All representations and warranties
deemed made under this Section shall survive the deposit of Shares and delivery of American Depositary Shares.

 

SECTION 3.4.       Disclosure
of Interests.

 

When required in order to comply
with applicable laws and regulations or the articles of association or similar document of the Company, the Company may from time to time
request each Owner and Holder to provide to the Depositary information relating to: (a) the capacity in which it holds American
Depositary Shares, (b) the identity of any Holders or other persons or entities then or previously interested in those
American Depositary Shares and the nature of those interests and (c) any other matter where disclosure of such matter is required
for that compliance.   Each Owner and Holder agrees to provide all information known to it in response to a request made pursuant
to this Section.  Each Holder consents to the disclosure by the Depositary and the Owner or any other Holder through which it
holds American Depositary Shares, directly or indirectly, of all information responsive to a request made pursuant to this Section relating
to that Holder that is known to that Owner or other Holder.  The Depositary agrees to use reasonable efforts to comply
with written instructions requesting that the Depositary forward any request authorized under this Section to the Owners and to forward
to the Company any responses it receives in response to that request. The Depositary may charge the Company a fee and its expenses for
complying with requests under this Section 3.4.

 

    	 	-14-	 

     

    

 

ARTICLE 4.       THE
DEPOSITED SECURITIES

 

SECTION 4.1.       Cash
Distributions.

 

Whenever the Depositary receives
any cash dividend or other cash distribution on Deposited Securities, the Depositary shall, subject to the provisions of Section 4.5,
convert that dividend or other distribution into Dollars and distribute, as promptly as practicable, the amount thus received (net of
the fees and expenses of the Depositary as provided in Section 5.9) to the Owners entitled thereto, in proportion to the number of
American Depositary Shares representing those Deposited Securities held by them respectively; provided, however, that if
the Custodian or the Depositary shall be required to withhold and does withhold from that cash dividend or other cash distribution an
amount on account of taxes or other governmental charges, the amount distributed to the Owners of the American Depositary Shares representing
those Deposited Securities shall be reduced accordingly. However, the Depositary will not pay any Owner a fraction of one cent,
but will round each Owner’s entitlement to the nearest whole cent.

 

The Company or its agent will
remit to the appropriate governmental agency in each applicable jurisdiction all amounts withheld by them and owing to such agency. The
Depositary or the Custodian will remit to the appropriate governmental agency in each applicable jurisdiction all amounts, if any, withheld
by them in respect of taxes and owing to such agency.

 

If a cash distribution would
represent a return of all or substantially all the value of the Deposited Securities underlying American Depositary Shares, the Depositary
may:

 

(i)  require payment
of or deduct the fee for surrender of American Depositary Shares (whether or not it is also requiring surrender of American Depositary
Shares) as a condition of making that cash distribution; or

 

(ii)  sell all Deposited
Securities other than the subject cash distribution and add any net cash proceeds of that sale to the cash distribution, call for surrender
of all those American Depositary Shares and require that surrender as a condition of making that cash distribution.

 

If the Depositary acts under this paragraph, that
action shall also be a Termination Option Event.

 

    	 	-15-	 

     

    

 

SECTION 4.2.       Distributions
Other Than Cash, Shares or Rights.

 

Subject to the provisions of
Sections 4.11 and 5.9, whenever the Depositary receives any distribution other than a distribution described in Section 4.1, 4.3
or 4.4 on Deposited Securities (but not in exchange for or in conversion or in lieu of Deposited Securities), the Depositary shall cause
the securities or property received by it to be distributed to the Owners entitled thereto, after deduction or upon payment of any fees
and expenses of the Depositary and any taxes or other governmental charges, in proportion to the number of American Depositary Shares
representing such Deposited Securities held by them respectively, in any manner that the Depositary deems equitable and practicable for
accomplishing that distribution (which may be a distribution of depositary shares representing the securities received); provided,
however, that if in the opinion of the Depositary such distribution cannot be made proportionately among the Owners entitled thereto,
or if for any other reason (including, but not limited to, any requirement that the Company or the Depositary withhold an amount on account
of taxes or other governmental charges or that securities received must be registered under the Securities Act of 1933 in order to be
distributed to Owners or Holders) the Depositary deems such distribution not to be lawful and feasible, the Depositary, after consultation
with the Company to the extent practicable, may adopt such other method as it may deem equitable and practicable for the purpose of effecting
such distribution, including, but not limited to, the public or private sale of the securities or property thus received, or any part
thereof, and distribution of the net proceeds of any such sale (net of the fees and expenses of the Depositary as provided in Section 5.9)
to the Owners entitled thereto, all in the manner and subject to the conditions set forth in Section 4.1. The Depositary may withhold
any distribution of securities under this Section 4.2 if it has not received satisfactory assurances from the Company that the distribution
does not require registration under the Securities Act of 1933. The Depositary may sell, by public or private sale, an amount of securities
or other property it would otherwise distribute under this Section 4.2 that is sufficient to pay its fees and expenses in respect
of that distribution.

 

If a distribution to be made
under this Section 4.2 would represent a return of all or substantially all the value of the Deposited Securities underlying American
Depositary Shares, the Depositary may:

 

(i)  require payment
of or deduct the fee for surrender of American Depositary Shares (whether or not it is also requiring surrender of American Depositary
Shares) as a condition of making that distribution; or

 

(ii)  sell all Deposited
Securities other than the subject distribution and add any net cash proceeds of that sale to the distribution, call for surrender of all
those American Depositary Shares and require that surrender as a condition of making that distribution.

 

If the Depositary acts under this paragraph, that
action shall also be a Termination Option Event.

 

    	 	-16-	 

     

    

 

SECTION 4.3.       Distributions
in Shares.

 

Whenever the Depositary receives
any distribution on Deposited Securities consisting of a dividend in, or free distribution of, Shares, the Depositary may, and if the
Company so requests in writing, shall, deliver to the Owners entitled thereto, in proportion to the number of American Depositary Shares
representing those Deposited Securities held by them respectively, an aggregate number of American Depositary Shares representing the
amount of Shares received as that dividend or free distribution, subject to the terms and conditions of this Deposit Agreement with respect
to the deposit of Shares and issuance of American Depositary Shares, including withholding of any tax or governmental charge as provided
in Section 4.11 and payment of the fees and expenses of the Depositary as provided in Section 5.9 (and the Depositary may sell,
by public or private sale, an amount of the Shares received (or American Depositary Shares representing those Shares) sufficient to pay
its fees and expenses in respect of that distribution). In lieu of delivering fractional American Depositary Shares, the Depositary may
sell the amount of Shares represented by the aggregate of those fractions (or American Depositary Shares representing those Shares) and
distribute the net proceeds, all in the manner and subject to the conditions described in Section 4.1. If and to the extent that
additional American Depositary Shares are not delivered and Shares or American Depositary Shares are not sold, each American Depositary
Share shall thenceforth also represent the additional Shares distributed on the Deposited Securities represented thereby.

 

If the Company declares a distribution
in which holders of Deposited Securities have a right to elect whether to receive cash, Shares or other securities or a combination of
those things, or a right to elect to have a distribution sold on their behalf, the Depositary may, after consultation with the Company,
make that right of election available for exercise by Owners in any manner the Depositary considers to be lawful and practical. As a condition
of making a distribution election right available to Owners, the Depositary may require satisfactory assurances from the Company that
doing so does not require registration of any securities under the Securities Act of 1933 that has not been effected.

 

SECTION 4.4.       Rights.

 

(a)          If
rights are granted to the Depositary in respect of deposited Shares to purchase additional Shares or other securities, the Company and
the Depositary shall endeavor to consult as to the actions, if any, the Depositary should take in connection with that grant of rights.
The Depositary may, to the extent deemed by it to be lawful and practical (i) if requested in writing by the Company, grant to all
or certain Owners rights to instruct the Depositary to purchase the securities to which the rights relate and deliver those securities
or American Depositary Shares representing those securities to Owners, (ii) if requested in writing by the Company, deliver the rights
to or to the order of certain Owners, or (iii) sell the rights to the extent practicable and distribute the net proceeds of that
sale to Owners entitled to those proceeds. To the extent rights are not exercised, delivered or disposed of under (i), (ii) or (iii) above,
the Depositary shall permit the rights to lapse unexercised.

 

    	 	-17-	 

     

    

 

 

(b)           If
the Depositary will act under (a)(i) above, the Company and the Depositary will enter into a separate agreement setting forth the
conditions and procedures applicable to the particular offering. Upon instruction from an applicable Owner in the form the Depositary
specified and upon payment by that Owner to the Depositary of an amount equal to the purchase price of the securities to be received
upon the exercise of the rights, the Depositary shall, on behalf of that Owner, exercise the rights and purchase the securities. The
purchased securities shall be delivered to, or as instructed by, the Depositary. The Depositary shall (i) deposit the purchased
Shares under this Deposit Agreement and deliver American Depositary Shares representing those Shares to that Owner or (ii) deliver
or cause the purchased Shares or other securities to be delivered to or to the order of that Owner. The Depositary will not act under
(a)(i) above unless the offer and sale of the securities to which the rights relate are registered under the Securities Act of 1933
or the Depositary has received an opinion of United States counsel that is reasonably satisfactory to it to the effect that those securities
may be sold and delivered to the applicable Owners without registration under the Securities Act of 1933.

 

(c)           If
the Depositary will act under (a)(ii) above, the Company and the Depositary will enter into a separate agreement setting forth the
conditions and procedures applicable to the particular offering. Upon (i) the request of an applicable Owner to deliver the rights
allocable to the American Depositary Shares of that Owner to an account specified by that Owner to which the rights can be delivered and
(ii) receipt of such documents as the Company and the Depositary agreed to require to comply with applicable law, the Depositary
will deliver those rights as requested by that Owner. For the avoidance of doubt, nothing in this Deposit Agreement shall create any obligation
on the part of the Company to file a registration statement with respect to rights or the underlying securities or to endeavor to have
such a registration statement declared effective.

 

(d)           If
the Depositary will act under (a)(iii) above, the Depositary will use reasonable efforts to sell the rights in proportion to the
number of American Depositary Shares held by the applicable Owners and pay the net proceeds to the Owners otherwise entitled to the rights
that were sold, upon an averaged or other practical basis without regard to any distinctions among such Owners because of exchange restrictions
or the date of delivery of any American Depositary Shares or otherwise.

 

(e)           Payment
or deduction of the fees of the Depositary as provided in Section 5.9 and payment or deduction of the expenses of the Depositary
and any applicable taxes or other governmental charges shall be conditions of any delivery of securities or payment of cash proceeds under
this Section 4.4.

 

(f)            The
Depositary shall not be responsible for any failure to determine that it may be lawful or feasible to make rights available to or exercise
rights on behalf of Owners in general or any Owner in particular, or to sell rights.

 

    	 	-18-	 

     

    

 

SECTION 4.5.       Conversion
of Foreign Currency.

 

Whenever the Depositary or the
Custodian receives foreign currency, by way of dividends or other distributions or the net proceeds from the sale of securities, property
or rights, and if at the time of the receipt thereof the foreign currency so received can in the judgment of the Depositary be converted
on a reasonable basis into Dollars and the resulting Dollars transferred to the United States, the Depositary or one of its agents or
affiliates or the Custodian shall convert or cause to be converted by sale or in any other manner that it may determine that foreign currency
into Dollars, and those Dollars shall be distributed, as promptly as practicable, to the Owners entitled thereto.  A cash distribution
may be made upon an averaged or other practicable basis without regard to any distinctions among Owners based on exchange restrictions,
the date of delivery of any American Depositary Shares or otherwise and shall be net of any expenses of conversion into Dollars incurred
by the Depositary as provided in Section 5.9.

 

If a conversion of foreign currency
or the repatriation or distribution of Dollars can be effected only with the approval or license of any government or agency thereof,
the Depositary may, but will not be required to, file an application for that approval or license.

 

If the Depositary determines
that in its judgment any foreign currency received by the Depositary or the Custodian is not convertible on a reasonable basis into Dollars
transferable to the United States, or if any approval or license of any government or agency thereof that is required for such conversion
is not filed or sought by the Depositary or is not obtained within a reasonable period as determined by the Depositary, the Depositary
may distribute the foreign currency received by the Depositary to, or in its discretion may hold such foreign currency uninvested and
without liability for interest thereon for the respective accounts of, the Owners entitled to receive the same.

 

If any conversion of foreign
currency, in whole or in part, cannot be effected for distribution to some of the Owners entitled thereto, the Depositary may in its discretion
make that conversion and distribution in Dollars to the extent practicable and permissible to the Owners entitled thereto and may distribute
the balance of the foreign currency received by the Depositary to, or hold that balance uninvested and without liability for interest
thereon for the account of, the Owners entitled thereto.

 

The Depositary may convert currency
itself or through any of its affiliates, or the Custodian or the Company may convert currency and pay Dollars to the Depositary. Where
the Depositary converts currency itself or through any of its affiliates, the Depositary acts as principal for its own account and not
as agent, advisor, broker or fiduciary on behalf of any other person and earns revenue, including, without limitation, transaction spreads,
that it will retain for its own account.  The revenue is based on, among other things, the difference between the exchange rate assigned
to the currency conversion made under this Deposit Agreement and the rate that the Depositary or its affiliate receives when buying or
selling foreign currency for its own account.  The Depositary makes no representation that the exchange rate used or obtained by
it or its affiliate in any currency conversion under this Deposit Agreement will be the most favorable rate that could be obtained at
the time or that the method by which that rate will be determined will be the most favorable to Owners, subject to the Depositary’s
obligations under Section 5.3.  The methodology used to determine exchange rates used in currency conversions made by the Depositary
is available upon request. Where the Custodian converts currency, the Custodian has no obligation to obtain the most favorable rate that
could be obtained at the time or to ensure that the method by which that rate will be determined will be the most favorable to Owners,
and the Depositary makes no representation that the rate is the most favorable rate and will not be liable for any direct or indirect
losses associated with the rate.  In certain instances, the Depositary may receive dividends or other distributions from the Company
in Dollars that represent the proceeds of a conversion of foreign currency or translation from foreign currency at a rate that was obtained
or determined by or on behalf of the Company and, in such cases, the Depositary will not engage in, or be responsible for, any foreign
currency transactions and neither it nor the Company makes any representation that the rate obtained or determined by the Company is the
most favorable rate and neither it nor the Company will be liable for any direct or indirect losses associated with the rate.

 

    	 	-19-	 

     

    

 

SECTION 4.6.        Fixing
of Record Date.

 

Whenever a cash dividend, cash
distribution or any other distribution is made on Deposited Securities or rights to purchase Shares or other securities are issued with
respect to Deposited Securities (which rights will be delivered to or exercised or sold on behalf of Owners in accordance with Section 4.4)
or the Depositary receives notice that a distribution or issuance of that kind will be made, or whenever the Depositary receives notice
that a meeting of holders of Shares will be held in respect of which the Company has requested the Depositary to send a notice under Section 4.7,
or whenever the Depositary will assess a fee or charge against the Owners, or whenever the Depositary causes a change in the number of
Shares that are represented by each American Depositary Share, or whenever the Depositary otherwise finds it necessary or convenient,
the Depositary shall fix a record date, which shall be the same as, or as near as practicable to, any corresponding record date set by
the Company with respect to Shares, (a) for the determination of the Owners (i) who shall be entitled to receive the benefit
of that dividend or other distribution or those rights, (ii) who shall be entitled to give instructions for the exercise of voting
rights at that meeting, (iii) who shall be responsible for that fee or charge or (iv) for any other purpose for which the record
date was set, or (b) on or after which each American Depositary Share will represent the changed number of Shares. Subject to the
provisions of Sections 4.1 through 4.5 and to the other terms and conditions of this Deposit Agreement, the Owners on a record date fixed
by the Depositary shall be entitled to receive the amount distributable by the Depositary with respect to that dividend or other distribution
or those rights or the net proceeds of sale thereof in proportion to the number of American Depositary Shares held by them respectively,
to give voting instructions or to act in respect of the other matter for which that record date was fixed, or be responsible for that
fee or charge, as the case may be.

 

    	 	-20-	 

     

    

 

SECTION 4.7.        Voting
of Deposited Shares.

 

(a)           Upon
receipt of notice of any meeting of holders of Shares at which holders of Shares will be entitled to vote, if requested in writing by
the Company, the Depositary shall, as soon as practicable thereafter, Disseminate to the Owners a notice, the form of which shall
be in the sole discretion of the Depositary, that shall contain (i) the information contained in the notice of meeting received by
the Depositary, (ii) a statement that the Owners as of the close of business on a specified record date will be entitled, subject
to any applicable provision of Japanese law and of the articles of association or similar documents of the Company, to instruct the Depositary
as to the exercise of the voting rights pertaining to the amount of Shares represented by their respective American Depositary Shares,
(iii) a statement as to the manner in which those instructions may be given and (iv) the last date on which the Depositary will
accept instructions (the “Instruction Cutoff Date”).

 

(b)           Upon
the written request of an Owner of American Depositary Shares, as of the date of the request or, if a record date was specified by the
Depositary, as of that record date, received on or before any Instruction Cutoff Date established by the Depositary, the
Depositary may, and if the Depositary sent a notice under the preceding paragraph shall, endeavor, in so far as practicable, to vote or
cause to be voted the amount of deposited Shares represented by those American Depositary Shares in accordance with the instructions set
forth in that request. The Depositary shall not vote or attempt to exercise the right to vote that attaches to the deposited Shares other
than in accordance with instructions given by Owners and received by the Depositary.

 

(c)           There
can be no assurance that Owners generally or any Owner in particular will receive the notice described in paragraph (a) above
in time to enable Owners to give instructions to the Depositary prior to the Instruction Cutoff Date.

 

(d)           In
order to give Owners a reasonable opportunity to instruct the Depositary as to the exercise of voting rights relating to Shares, if the
Company will request the Depositary to Disseminate a notice under paragraph (a) above, the Company shall give the Depositary
notice of the meeting, details concerning the matters to be voted upon and copies of materials to be made available to holders of Shares
in connection with the meeting not less than 45 days prior to the meeting date.

 

SECTION 4.8.        Tender
and Exchange Offers; Redemption, Replacement or Cancellation of Deposited Securities.

 

(a)           The
Depositary shall not tender any Deposited Securities in response to any voluntary cash tender offer, exchange offer or similar offer made
to holders of Deposited Securities (a “Voluntary Offer”), except when instructed in writing to do so by an Owner surrendering
American Depositary Shares and subject to any conditions or procedures the Depositary may require.

 

    	 	-21-	 

     

    

 

(b)           If
the Depositary receives a written notice that Deposited Securities have been redeemed for cash or otherwise purchased for cash in a transaction
that is mandatory and binding on the Depositary as a holder of those Deposited Securities (a “Redemption”), the Depositary,
at the expense of the Company, shall (i) if required, surrender Deposited Securities that have been redeemed to the issuer of those
securities or its agent on the redemption date, (ii) Disseminate a notice to Owners (A) notifying them of that Redemption, (B) calling
for surrender of a corresponding number of American Depositary Shares and (C) notifying them that the called American Depositary
Shares have been converted into a right only to receive the money received by the Depositary upon that Redemption and those net proceeds
shall be the Deposited Securities to which Owners of those converted American Depositary Shares shall be entitled upon surrenders of those
American Depositary Shares in accordance with Section 2.5 or 6.2 and (iii) distribute the money received upon that Redemption
to the Owners entitled to it upon surrender by them of called American Depositary Shares in accordance with Section 2.5 (and, for
the avoidance of doubt, Owners shall not be entitled to receive that money under Section 4.1). If the Redemption affects less than
all the Deposited Securities, the Depositary shall call for surrender a corresponding portion of the outstanding American Depositary Shares
and only those American Depositary Shares will automatically be converted into a right to receive the net proceeds of the Redemption.
The Depositary shall allocate the American Depositary Shares converted under the preceding sentence among the Owners pro-rata to their
respective holdings of American Depositary Shares immediately prior to the Redemption, except that the allocations may be adjusted
so that no fraction of a converted American Depositary Share is allocated to any Owner. A Redemption of all or substantially all of the
Deposited Securities shall be a Termination Option Event.

 

(c)           If
the Depositary is notified of or there occurs any change in nominal value or any subdivision, combination or any other reclassification
of the Deposited Securities or any recapitalization, reorganization, sale of assets substantially as an entirety, merger or consolidation
affecting the issuer of the Deposited Securities or to which it is a party that is mandatory and binding on the Depositary as a holder
of Deposited Securities and, as a result, securities or other property have been or will be delivered in exchange, conversion, replacement
or in lieu of, Deposited Securities (a “Replacement”), the Depositary shall, if required, surrender the old Deposited
Securities affected by that Replacement of Shares and hold, as new Deposited Securities under this Deposit Agreement, the new securities
or other property delivered to it in that Replacement. However, the Depositary may elect to sell those new Deposited Securities
if in the opinion of the Depositary it is not lawful or not practical for it to hold those new Deposited Securities under this Deposit
Agreement because those new Deposited Securities may not be distributed to Owners without registration under the Securities Act of 1933
or for any other reason, at public or private sale, at such places and on such terms as it deems proper and proceed as if those new Deposited
Securities had been Redeemed under paragraph (b) above. A Replacement shall be a Termination Option Event.

 

    	 	-22-	 

     

    

 

(d)           In
the case of a Replacement where the new Deposited Securities will continue to be held under this Deposit Agreement, the Depositary may
call for the surrender of outstanding Receipts to be exchanged for new Receipts specifically describing the new Deposited Securities and
the number of those new Deposited Securities represented by each American Depositary Share. If the number of Shares represented by each
American Depositary Share decreases as a result of a Replacement, the Depositary may call for surrender of the American Depositary Shares
to be exchanged on a mandatory basis for a lesser number of American Depositary Shares and may sell American Depositary Shares to the
extent necessary to avoid distributing fractions of American Depositary Shares in that exchange and distribute the net proceeds of that
sale to the Owners entitled to them.

 

(e)           If
there are no Deposited Securities with respect to American Depositary Shares, including if the Deposited Securities are cancelled, or
the Deposited Securities with respect to American Depositary Shares have become apparently worthless, the Depositary may call for surrender
of those American Depositary Shares or may cancel those American Depositary Shares, upon notice to Owners, and that condition shall be
a Termination Option Event.

 

SECTION 4.9.        Reports.

 

The Depositary shall make available
for inspection by Owners at its Office any reports and communications, including any proxy solicitation material, received from the Company
which are both (a) received by the Depositary as the holder of the Deposited Securities and (b) made generally available to
the holders of those Deposited Securities by the Company. The Company shall furnish reports and communications, including any proxy soliciting
material to which this Section applies, to the Depositary in English, to the extent those materials are required to be translated
into English pursuant to any regulations of the Commission.

 

SECTION 4.10.      Lists
of Owners.

 

Upon written request by the
Company, the Depositary shall, at the expense of the Company, furnish to it a list, as of a recent date, of the names, addresses and American
Depositary Share holdings of all Owners.

 

SECTION 4.11.      Withholding.

 

If the Depositary determines
that any distribution received or to be made by the Depositary (including Shares and rights to subscribe therefor) is subject to any tax
or other governmental charge that the Depositary is obligated to withhold, the Depositary may sell, by public or private sale, all or
a portion of the distributed property (including Shares and rights to subscribe therefor) in the amounts and manner the Depositary deems
necessary and practicable to pay those taxes or charges, and the Depositary shall distribute the net proceeds of that sale, after deduction
of those taxes or charges, to the Owners entitled thereto in proportion to the number of American Depositary Shares held by them respectively.

 

    	 	-23-	 

     

    

 

Services for Owners and Holders
that may permit them to obtain reduced rates of tax withholding at source or reclaim excess tax withheld, and the fees and costs associated
with using services of that kind, are not provided under, and are outside the scope of, this Deposit Agreement.

 

Each Owner and Holder agrees
to indemnify the Company, the Depositary, the Custodian and their respective directors, employees, agents and affiliates for, and hold
each of them harmless against, any claim by any governmental authority with respect to taxes, additions to tax, penalties or interest
arising out of any refund of taxes, reduced withholding at source or other tax benefit received by it.

 

ARTICLE 5.           THE
DEPOSITARY, THE CUSTODIANS AND THE COMPANY

 

SECTION 5.1.       Maintenance
of Office and Register by the Depositary.

 

Until termination of this Deposit
Agreement in accordance with its terms, the Depositary shall maintain facilities for the delivery, registration of transfers and surrender
of American Depositary Shares in accordance with the provisions of this Deposit Agreement.

 

The Depositary shall keep a
register of all Owners and all outstanding American Depositary Shares, which shall be open for inspection by the Owners at the Depositary’s
Office during regular business hours, but only for the purpose of communicating with Owners regarding the business of the Company or a
matter related to this Deposit Agreement or the American Depositary Shares.

 

The Depositary may close the
register for delivery, registration of transfer or surrender for the purpose of withdrawal from time to time as provided in Section 2.6
or upon the Company’s written request.

 

If any American Depositary Shares
are listed on one or more stock exchanges, the Depositary shall act as Registrar or appoint a Registrar or one or more co-registrars for
registration of those American Depositary Shares in accordance with any requirements of that exchange or those exchanges.

 

The Company shall have the right,
at all reasonable times, upon written request, to inspect the transfer and registration records of the Depositary, the Registrar and any
co-transfer agents or co-registrars and to require them to supply, at the Company’s expense (unless otherwise agreed in writing
between the Company and the Depositary), copies of such portion of those records as the Company may reasonably request.

 

    	 	-24-	 

     

    

 

SECTION 5.2.       Prevention
or Delay of Performance by the Company or the Depositary.

 

Neither the Depositary nor the
Company nor any of their respective directors, employees, agents or affiliates shall incur any liability to any Owner or Holder:

 

(i) if by reason of (A) any
provision of any present or future law or regulation or other act of the government of the United States, any State of the United States
or any other state or jurisdiction, or of any governmental or regulatory authority or stock exchange; (B) (in the case of the Depositary
only) any provision, present or future, of the articles of association or similar document of the Company, or any provision of any securities
issued or distributed by the Company, or any offering or distribution thereof; or (C) any event or circumstance, whether natural
or caused by a person or persons, that is beyond the ability of the Depositary or the Company, as the case may be, to prevent or counteract
by reasonable care or effort (including, but not limited to, earthquakes, floods, severe storms, fires, explosions, war, terrorism, civil
unrest, labor disputes, criminal acts or outbreaks of infectious disease; interruptions or malfunctions of utility services, Internet
or other communications lines or systems; unauthorized access to or attacks on computer systems or websites; or other failures or malfunctions
of computer hardware or software or other systems or equipment), the Depositary or the Company is, directly or indirectly, prevented from,
forbidden to or delayed in, or could be subject to any civil or criminal penalty on account of doing or performing and therefore does
not do or perform, any act or thing that, by the terms of this Deposit Agreement or the Deposited Securities, it is provided shall be
done or performed;

 

(ii) for any exercise of,
or failure to exercise, any discretion provided for in this Deposit Agreement (including any determination by the Depositary or the Company,
to take, or not take, any action that this Deposit Agreement provides the Depositary or the Company, as the case may be, may take);

 

(iii) for the inability
of any Owner or Holder to benefit from any distribution, offering, right or other benefit that is made available to holders of Deposited
Securities but is not, under the terms of this Deposit Agreement, made available to Owners or Holders; or

 

(iv) for any special, consequential
or punitive damages for any breach of the terms of this Deposit Agreement.

 

Where, by the terms of a distribution
to which Section 4.1, 4.2 or 4.3 applies, or an offering to which Section 4.4 applies, or for any other reason, that distribution
or offering may not be made available to Owners, and the Depositary may not dispose of that distribution or offering on behalf of Owners
and make the net proceeds available to Owners, then the Depositary shall not make that distribution or offering available to Owners, and
shall allow any rights, if applicable, to lapse.

 

    	 	-25-	 

     

    

 

SECTION 5.3.        Obligations
of the Depositary and the Company.

 

The Company assumes no obligation
nor shall it be subject to any liability under this Deposit Agreement to any Owner or Holder, except that the Company agrees to perform
its obligations specifically set forth in this Deposit Agreement without negligence or bad faith.

 

The Depositary assumes no obligation
nor shall it be subject to any liability under this Deposit Agreement to any Owner or Holder (including, without limitation, liability
with respect to the validity or worth of the Deposited Securities), except that the Depositary agrees to perform its obligations specifically
set forth in this Deposit Agreement without negligence or bad faith, and the Depositary shall not be a fiduciary or have any fiduciary
duty to Owners or Holders.

 

Neither the Depositary nor the
Company shall be under any obligation to appear in, prosecute or defend any action, suit or other proceeding in respect of any Deposited
Securities or in respect of the American Depositary Shares on behalf of any Owner or Holder or any other person.

 

Each of the Depositary and the
Company may rely, and shall be protected in relying upon, any written notice, request, direction or other document believed by it to be
genuine and to have been signed or presented by the proper party or parties.

 

Neither the Depositary nor the
Company shall be liable for any action or non-action by it in reliance upon the advice of or information from legal counsel, accountants,
any person presenting Shares for deposit, any Owner or any other person believed by it in good faith to be competent to give such advice
or information.

 

The Depositary shall not be
liable for any acts or omissions made by a successor depositary whether in connection with a previous act or omission of the Depositary
or in connection with any matter arising wholly after the removal or resignation of the Depositary, provided that in connection with the
issue out of which such potential liability arises the Depositary performed its obligations without negligence or bad faith while it acted
as Depositary.

 

The Depositary shall not be
liable for the acts or omissions of any securities depository, clearing agency or settlement system in connection with or arising out
of book-entry settlement of American Depositary Shares or Deposited Securities or otherwise.

 

In the absence of bad faith
on its part, the Depositary shall not be responsible for any failure to carry out any instructions to vote any of the Deposited Securities,
or for the manner in which any such vote is cast or the effect of any such vote.

 

    	 	-26-	 

     

    

 

The Depositary shall have no
duty to make any determination or provide any information as to the tax status of the Company. Neither the Depositary nor the Company
shall have any liability for any tax consequences that may be incurred by Owners or Holders as a result of owning or holding American
Depositary Shares. Neither the Company nor the Depositary shall be liable for the inability or failure of an Owner or Holder to obtain
the benefit of a foreign tax credit, reduced rate of withholding or refund of amounts withheld in respect of tax or any other tax benefit.

 

SECTION 5.4.        Resignation
and Removal of the Depositary.

 

The Depositary may at any time
resign as Depositary hereunder by written notice of its election so to do delivered to the Company, to become effective upon the appointment
of a successor depositary and its acceptance of that appointment as provided in this Section. The effect of resignation if a successor
depositary is not appointed is provided for in Section 6.2.

 

The Depositary may at any time
be removed by the Company by 90 days’ prior written notice of that removal, to become effective upon the later of (i) the 90th
day after delivery of the notice to the Depositary and (ii) the appointment of a successor depositary and its acceptance of its appointment
as provided in this Section.

 

If the Depositary resigns or
is removed, the Company shall use its commercially reasonable efforts to appoint a successor depositary, which shall be a bank or trust
company having an office in the Borough of Manhattan, The City of New York. Every successor depositary shall execute and deliver to the
Company an instrument in writing accepting its appointment under this Deposit Agreement. If the Depositary receives notice from the Company
that a successor depositary has been appointed following its resignation or removal, the Depositary, upon payment of all sums due it from
the Company, shall deliver to its successor a register listing all the Owners and their respective holdings of outstanding American Depositary
Shares and shall deliver the Deposited Securities to or to the order of its successor. When the Depositary has taken the actions specified
in the preceding sentence (i) the successor shall become the Depositary and shall have all the rights and shall assume all the duties
of the Depositary under this Deposit Agreement and (ii) the predecessor depositary shall cease to be the Depositary and shall be
discharged and released from all obligations under this Deposit Agreement, except for its duties under Section 5.8 with respect to
the time before that discharge. A successor Depositary shall notify the Owners of its appointment as soon as practical after assuming
the duties of Depositary.

 

Any corporation or other entity
into or with which the Depositary may be merged or consolidated shall be the successor of the Depositary without the execution or filing
of any document or any further act.

 

    	 	-27-	 

     

    

 

SECTION 5.5.        The
Custodians.

 

The Custodian shall be subject
at all times and in all respects to the directions of the Depositary and shall be responsible solely to it. The Depositary in its discretion
may at any time appoint a substitute or additional custodian or custodians, each of which shall thereafter be one of the Custodians under
this Deposit Agreement. If the Depositary receives notice that a Custodian is resigning and, upon the effectiveness of that resignation
there would be no Custodian acting under this Deposit Agreement, the Depositary shall, as promptly as practicable after receiving that
notice, appoint a substitute custodian or custodians, each of which shall thereafter be a Custodian under this Deposit Agreement. The
Depositary shall notify the Company of the appointment of a substitute or additional Custodian as promptly as practicable. The Depositary
shall require any Custodian that resigns or is removed to deliver all Deposited Securities held by it to another Custodian.

 

SECTION 5.6.        Notices
and Reports.

 

If the Company takes or decides
to take any corporate action of a kind that is addressed in Sections 4.1 to 4.4, or 4.6 to 4.8, or that effects or will effect a change
of the name or legal structure of the Company, or that effects or will effect a change to the Shares, the Company shall notify the Depositary
and the Custodian of that action or decision as soon as it is lawful and practical to give that notice.  The notice shall be in English
and shall include all details that the Company is required to include in any notice to any governmental or regulatory authority or securities
exchange or is required to make available generally to holders of Shares by publication or otherwise.

 

The Company will arrange for
the translation into English, if not already in English, to the extent required pursuant to any regulations of the Commission, and the
prompt transmittal by the Company to the Depositary and the Custodian of all notices and any other reports and communications which are
made generally available by the Company to holders of its Shares. If requested in writing by the Company, the Depositary will Disseminate,
at the Company’s expense, those notices, reports and communications to all Owners or otherwise make them available to Owners in
a manner that the Company specifies as substantially equivalent to the manner in which those communications are made available to holders
of Shares and compliant with the requirements of any securities exchange on which the American Depositary Shares are listed. The Company
will timely provide the Depositary with the quantity of such notices, reports, and communications, as requested by the Depositary from
time to time, in order for the Depositary to effect that Dissemination.

 

The Company represents, as of
the date of this Deposit Agreement, that the statements in Article 11 of the form of Receipt appearing as Exhibit A to this
Deposit Agreement or, if applicable, most recently filed with the Commission pursuant to Rule 424(b) under the Securities Act
of 1933 with respect to the Company’s obligation to file periodic reports under the United States Securities Exchange Act of 1934,
as amended, or its qualification for exemption from registration under that Act pursuant to Rule 12g3-2(b) under that Act, as
the case may be, are true and correct. The Company agrees to promptly notify the Depositary upon becoming aware of any change in the truth
of any of those statements or if there is any change in the Company’s status regarding those reporting obligations or that qualification.

 

    	 	-28-	 

     

    

 

SECTION 5.7.        Distribution
of Additional Shares, Rights, etc.

 

If the Company or any affiliate
of the Company determines to make any issuance or distribution of (1) additional Shares, (2) rights to subscribe for Shares,
(3) securities convertible into Shares, or (4) rights to subscribe for such securities (each a “Distribution”),
the Company shall notify the Depositary in writing in English as promptly as practicable and in any event before the Distribution starts
and, if reasonably requested in writing by the Depositary, the Company shall promptly furnish to the Depositary either (i) evidence
satisfactory to the Depositary that the Distribution is registered under the Securities Act of 1933 or (ii) a written opinion from
U.S. counsel for the Company that is reasonably satisfactory to the Depositary, stating that the Distribution does not require, or, if
made in the United States, would not require, registration under the Securities Act of 1933.

 

The Company agrees with the
Depositary that neither the Company nor any company controlled by, controlling or under common control with the Company will at any time
deposit any Shares that, at the time of deposit, are Restricted Securities.

 

SECTION 5.8.       Indemnification.

 

The Company agrees to indemnify
the Depositary, its directors, employees, agents and affiliates and each Custodian against, and hold each of them harmless from, any liability
or expense (including, but not limited to any documented fees and expenses incurred in seeking, enforcing or collecting such indemnity
and the documented reasonable fees and expenses of counsel) that may arise out of or in connection with (a) any registration with
the Commission of American Depositary Shares or Deposited Securities or the offer or sale thereof or (b) acts performed or omitted,
pursuant to the provisions of or in connection with this Deposit Agreement and the American Depositary Shares, as the same may be amended,
modified or supplemented from time to time, (i) by either the Depositary or a Custodian or their respective directors, employees,
agents and affiliates, except for any liability or expense arising out of the negligence or bad faith of either of them, or (ii) by
the Company or any of its directors, employees, agents and affiliates.

 

The indemnities contained in
the preceding paragraph shall not extend to any losses arising out of information relating to the Depositary or any Custodian, as the
case may be, furnished in writing by the Depositary to the Company expressly for use in any registration statement, proxy statement, prospectus
or preliminary prospectus or any other offering documents relating to the American Depositary Share, the Shares or any other Deposited
Securities (it being acknowledged that, as of the date of this Deposit Agreement, the Depositary has not furnished any information of
that kind).

 

    	 	-29-	 

     

    

 

The Depositary agrees to indemnify
the Company, its directors, employees, agents and affiliates and hold them harmless from any liability or expense (including but not limited
to any documented fees and expenses incurred in seeking, enforcing or collecting such indemnity and documented, reasonable fees and expenses
of counsel) that may arise out of acts performed or omitted by the Depositary or any Custodian or their respective directors, employees,
agents and affiliates due to their negligence or bad faith.

 

If a claim is asserted or an
action is commenced against a person that is entitled to seek and intends to seek indemnification for that claim or action under this
Section 5.8 (an “Indemnifiable Claim”), that person (an “Indemnified Person”) shall (i) promptly notify
in writing the person obligated to provide that indemnification (the “Indemnifying Person”) of that assertion or commencement
and (ii) consult in good faith with the Indemnifying Person as to the conduct of the defense of that Indemnifiable Claim. To the
extent that (x) no conflict of interest exists in the conduct of the defense and (y) no legal defenses are available to the
Indemnified Person that are different from or in addition to those available to the Indemnifying Person, the Indemnifying Person may,
by written notice to the Indemnified Person, assume the defense of an Indemnifiable Claim with counsel reasonably satisfactory to the
Indemnified Person. After notice from the Indemnifying Person to the Indemnified Person of its election to assume the defense of an Indemnifiable
Claim, and provided no conflict of interest exists or no different or additional legal defenses are available, the Indemnifying Person
shall not be liable to the Indemnified Person for any legal expenses of other counsel or any other expenses subsequently incurred by the
Indemnified Person in connection with the defense other than reasonable costs of investigation. Neither the Indemnified Person nor the
Indemnifying Person shall compromise or settle an Indemnifiable Claim without the consent of the other (which consent shall not be unreasonably
withheld). The Indemnifying Person shall have no obligation to indemnify and hold harmless the Indemnified Person from any loss, expense
or liability incurred by the Indemnified Person as a result of a default judgment entered against the Indemnified Person in an Indemnifiable
Claim unless that judgment was entered after the Indemnifying Person agreed, in writing, to assume the defense of that Indemnifiable Claim.

 

    	 	-30-	 

     

    

 

SECTION 5.9.        Charges
of Depositary.

 

The following charges shall
be incurred by any party depositing or withdrawing Shares or by any party surrendering American Depositary Shares or to whom American
Depositary Shares are issued (including, without limitation, issuance pursuant to a stock dividend or stock split declared by the Company
or an exchange of stock regarding the American Depositary Shares or Deposited Securities or a delivery of American Depositary Shares pursuant
to Section 4.3), or by Owners, as applicable: (1) taxes and other governmental charges, (2) such registration fees as may
from time to time be in effect for the registration of transfers of Shares generally on the Share register of the Company or Foreign Registrar
and applicable to transfers of Shares to or from the name of the Depositary or its nominee or the Custodian or its nominee on the making
of deposits or withdrawals hereunder, (3) such cable (including SWIFT) and facsimile transmission fees and expenses as are expressly
provided in this Deposit Agreement, (4) such expenses as are incurred by the Depositary in the conversion of foreign currency pursuant
to Section 4.5, (5) a fee of $5.00 or less per 100 American Depositary Shares (or portion thereof) for the delivery of American
Depositary Shares pursuant to Section 2.3, 4.3 or 4.4 and the surrender of American Depositary Shares pursuant to Section 2.5
or 6.2, (6) a fee of $.05 or less per American Depositary Share (or portion thereof) for any cash distribution made pursuant to this
Deposit Agreement, including, but not limited to Sections 4.1 through 4.4 and Section 4.8, (7) a fee for the distribution of
securities pursuant to Section 4.2 or of rights pursuant to Section 4.4 (where the Depositary will not exercise or sell those
rights on behalf of Owners), such fee being in an amount equal to the fee for the execution and delivery of American Depositary Shares
referred to above which would have been charged as a result of the deposit of such securities under this Deposit Agreement (for purposes
of this item 7 treating all such securities as if they were Shares) but which securities are instead distributed by the Depositary to
Owners, (8) in addition to any fee charged under item 6 above, a fee of $.05 or less per American Depositary Share (or portion thereof)
per annum for depositary services, which will be payable as provided in item 9 below, and (9) any other charges payable by the Depositary
or the Custodian, any of the Depositary's or Custodian’s agents or the agents of the Depositary's or Custodian’s agents, in
connection with the servicing of Shares or other Deposited Securities (which charges shall be assessed against Owners as of the date or
dates set by the Depositary in accordance with Section 4.6 and shall be payable at the sole discretion of the Depositary by billing
those Owners for those charges or by deducting those charges from one or more cash dividends or other cash distributions).

 

The Depositary may collect any
of its fees by deduction from any cash distribution payable, or by selling a portion of any securities to be distributed, to Owners that
are obligated to pay those fees.

 

In performing its duties under
this Deposit Agreement, the Depositary may use brokers, dealers, foreign currency dealers or other service providers that are owned by
or affiliated with the Depositary and that may earn or share fees, spreads or commissions.

 

The Depositary may own and deal
in any class of securities of the Company and its affiliates and in American Depositary Shares.

 

SECTION 5.10.      Retention
of Depositary Documents.

 

The Depositary is authorized
to destroy those documents, records, bills and other data compiled during the term of this Deposit Agreement at the times permitted by
the laws or regulations governing the Depositary, unless the Company, at the Company’s expense, requests in writing, sufficiently
prior to such destruction, that those papers be retained for a longer period.

 

    	 	-31-	 

     

    

 

SECTION 5.11.      Exclusivity.

 

Without prejudice to the Company’s
rights under Section 5.4, the Company agrees not to appoint any other depositary for issuance of depositary shares, depositary receipts
or any similar securities or instruments so long as The Bank of New York Mellon is acting as Depositary under this Deposit Agreement.

 

SECTION 5.12.      Information
for Regulatory Compliance.

 

Each of the Company and the
Depositary shall provide to the other, as promptly as practicable, information from its records or otherwise available to it that is reasonably
requested by the other to permit the other to comply with applicable law or requirements of governmental or regulatory authorities.

 

ARTICLE 6.           AMENDMENT
AND TERMINATION

 

SECTION 6.1.        Amendment.

 

The form of the Receipts and
any provisions of this Deposit Agreement may at any time and from time to time be amended by agreement between the Company and the Depositary
without the consent of Owners or Holders in any respect that they may deem necessary or desirable. Any amendment that would impose or
increase any fees or charges (other than taxes and other governmental charges, registration fees, cable (including SWIFT) or facsimile
transmission costs, delivery costs or other such expenses), or that would otherwise prejudice any substantial existing right of Owners,
shall, however, not become effective as to outstanding American Depositary Shares until the expiration of 30 days after notice of that
amendment has been Disseminated to the Owners of outstanding American Depositary Shares. Every Owner and Holder, at the time any amendment
so becomes effective, shall be deemed, by continuing to hold American Depositary Shares or any interest therein, to consent and agree
to that amendment and to be bound by this Deposit Agreement as amended thereby. Upon the effectiveness of an amendment to the form of
Receipt, including a change in the number of Shares represented by each American Depositary Share, the Depositary may call for surrender
of Receipts to be replaced with new Receipts in the amended form or call for surrender of American Depositary Shares to effect that change
of ratio. In no event shall any amendment impair the right of the Owner to surrender American Depositary Shares and receive delivery of
the Deposited Securities represented thereby, except in order to comply with mandatory provisions of applicable law.

 

    	 	-32-	 

     

    

 

SECTION 6.2.        Termination.

 

(a)           The
Company may initiate termination of this Deposit Agreement by notice to the Depositary. The Depositary may initiate termination of this
Deposit Agreement if (i) at any time 90 days shall have expired after the Depositary delivered to the Company a written resignation
notice and a successor depositary has not been appointed and accepted its appointment as provided in Section 5.4 or (ii) a Termination
Option Event has occurred or will occur. If termination of this Deposit Agreement is initiated, the Depositary shall Disseminate a notice
of termination to the Owners of all American Depositary Shares then outstanding setting a date for termination (the “Termination
Date”), which shall be at least 90 days after the date of that notice, and this Deposit Agreement shall terminate on that Termination
Date.

 

(b)           After
the Termination Date, the Company shall be discharged from all obligations under this Deposit Agreement except for its obligations to
the Depositary under Sections 5.8 and 5.9.

 

(c)           At
any time after the Termination Date, the Depositary may sell the Deposited Securities then held under this Deposit Agreement and may thereafter
hold uninvested the net proceeds of any such sale, together with any other cash then held by it hereunder, unsegregated and without liability
for interest, for the pro rata benefit of the Owners of American Depositary Shares that remain outstanding, and those Owners will be general
creditors of the Depositary with respect to those net proceeds and that other cash. After making that sale, the Depositary shall be discharged
from all obligations under this Deposit Agreement, except (i) to account for the net proceeds and other cash (after deducting,
in each case, the fee of the Depositary for the surrender of American Depositary Shares, any expenses for the account of the Owner of
such American Depositary Shares in accordance with the terms and conditions of this Deposit Agreement and any applicable taxes or governmental
charges) and to pay them to Owners upon surrender of American Depositary Shares in accordance with Section 2.5, (ii) for its
obligations under Section 5.8 and (iii) to act as provided in paragraph (d) below.

 

(d)           After
the Termination Date, if any American Depositary Shares remain outstanding, the Depositary shall continue to receive dividends and other
distributions pertaining to Deposited Securities (that have not been sold), may sell rights and other property as provided in this Deposit
Agreement and shall deliver Deposited Securities (or sale proceeds) upon surrender of American Depositary Shares (after payment or upon
deduction, in each case, of the fee of the Depositary for the surrender of American Depositary Shares, any expenses for the account of
the Owner of those American Depositary Shares in accordance with the terms and conditions of this Deposit Agreement and any applicable
taxes or governmental charges). After the Termination Date, the Depositary shall not accept deposits of Shares or deliver American Depositary
Shares. After the Termination Date, (i) the Depositary may refuse to accept surrenders of American Depositary Shares for the purpose
of withdrawal of Deposited Securities (that have not been sold) or reverse previously accepted surrenders of that kind that have not settled
if in its judgment the requested withdrawal would interfere with its efforts to sell the Deposited Securities, (ii) the Depositary
will not be required to deliver cash proceeds of the sale of Deposited Securities until all Deposited Securities have been sold and (iii) the
Depositary may discontinue the registration of transfers of American Depositary Shares and suspend the distribution of dividends and other
distributions on Deposited Securities to the Owners and need not give any further notices or perform any further acts under this Deposit
Agreement except as provided in this Section.

 

    	 	-33-	 

     

    

 

ARTICLE 7.           MISCELLANEOUS

 

SECTION 7.1.       Counterparts;
Signatures; Delivery.

 

This Deposit Agreement may be
executed in any number of counterparts, each of which shall be deemed an original and all of those counterparts shall constitute one and
the same instrument. Copies of this Deposit Agreement shall be filed with the Depositary and the Custodians and shall be open to inspection
by any Owner or Holder during regular business hours.

 

The exchange of copies of this
Deposit Agreement and manually-signed signature pages by facsimile, or email attaching a pdf or similar bit-mapped image, shall constitute
effective execution and delivery of this Deposit Agreement as to the parties to it; copies and signature pages so exchanged may be
used in lieu of the original Deposit Agreement and signature pages for all purposes and shall have the same validity, legal effect
and admissibility in evidence as an original manual signature; the parties to this Deposit Agreement hereby agree not to argue to the
contrary.

 

SECTION 7.2.       No
Third Party Beneficiaries.

 

This Deposit Agreement is for
the exclusive benefit of the Company, the Depositary, the Owners and the Holders and their respective successors and shall not be deemed
to give any legal or equitable right, remedy or claim whatsoever to any other person.

 

SECTION 7.3.       Severability.

 

In case any one or more of the
provisions contained in this Deposit Agreement or in a Receipt should be or become invalid, illegal or unenforceable in any respect, the
validity, legality and enforceability of the remaining provisions contained in this Deposit Agreement or that Receipt shall in no way
be affected, prejudiced or disturbed thereby.

 

    	 	-34-	 

     

    

 

SECTION 7.4.       Owners
and Holders as Parties; Binding Effect.

 

The Owners and Holders from
time to time shall be parties to this Deposit Agreement and shall be bound by all of the terms and conditions of this Deposit Agreement
and of the Receipts by acceptance of American Depositary Shares or any interest therein.

 

SECTION 7.5.       Notices.

 

Any and all notices to be given
to the Company shall be in writing and shall be deemed to have been duly given if personally delivered or sent by domestic first class
or international air mail or air courier or sent by facsimile transmission or email attaching a pdf or similar bit-mapped image of a signed
writing, addressed to Warrantee, Inc., Harumi Building, Koutoubashi 2-5-9, Sumida-ku, Tokyo, Japan, Attention: _____________, or
any other place to which the Company may have transferred its principal office with notice to the Depositary.

 

Any and all notices to be given
to the Depositary shall be in writing and shall be deemed to have been duly given if in English and personally delivered or sent by first
class domestic or international air mail or air courier or sent by facsimile transmission or email attaching a pdf or similar bit-mapped
image of a signed writing, addressed to The Bank of New York Mellon, 240 Greenwich Street, New York, New York 10286, Attention:
Depositary Receipt Administration, or any other place to which the Depositary may have transferred its Office with notice to the Company.

 

Delivery of a notice to the
Company or Depositary by mail or air courier shall be deemed effected when deposited, postage prepaid, in a post-office letter box or
received by an air courier service. Delivery of a notice to the Company or Depositary sent by facsimile transmission or email shall be
deemed effected when the recipient acknowledges receipt of that notice.

 

A notice to be given to an Owner
shall be deemed to have been duly given when Disseminated to that Owner. Dissemination in paper form will be effective when personally
delivered or sent by first class domestic or international air mail or air courier, addressed to that Owner at the address of that Owner
as it appears on the transfer books for American Depositary Shares of the Depositary, or, if that Owner has filed with the Depositary
a written request that notices intended for that Owner be mailed to some other address, at the address designated in that request. Dissemination
in electronic form will be effective when sent in the manner consented to by the Owner to the electronic address most recently provided
by the Owner for that purpose.

 

    	 	-35-	 

     

    

 

SECTION 7.6.       Appointment
of Agent for Service of Process; Submission to Jurisdiction; Jury Trial Waiver.

 

The Company hereby (i) designates
and appoints the person named in Exhibit A to this Deposit Agreement as the Company's authorized agent in the United States upon
which process may be served in any suit or proceeding arising out of or relating to the Shares or Deposited Securities, the American Depositary
Shares, the Receipts or this Deposit Agreement (a “Proceeding”), (ii) consents and submits to the jurisdiction of any
state or federal court in the State of New York in which any Proceeding may be instituted and (iii) agrees that service of process
upon said authorized agent shall be deemed in every respect effective service of process upon the Company in any Proceeding. The Company
agrees to deliver to the Depositary, upon the execution and delivery of this Deposit Agreement, a written acceptance by the agent named
in Exhibit A to this Deposit Agreement of its appointment as process agent. The Company further agrees to take any and all action,
including the filing of any and all such documents and instruments, as may be necessary to continue that designation and appointment in
full force and effect, or to appoint and maintain the appointment of another process agent located in the United States as required above,
and to deliver to the Depositary a written acceptance by that agent of that appointment, for so long as any American Depositary Shares
or Receipts remain outstanding or this Deposit Agreement remains in force. In the event the Company fails to maintain the designation
and appointment of a process agent in the United States in full force and effect, the Company hereby waives personal service of process
upon it and consents that a service of process in connection with a Proceeding may be made by certified or registered mail, return receipt
requested, directed to the Company at its address last specified for notices under this Deposit Agreement, and service so made shall be
deemed completed five (5) days after the same shall have been so mailed.

 

EACH PARTY TO THIS DEPOSIT AGREEMENT
(INCLUDING, FOR AVOIDANCE OF DOUBT, EACH OWNER AND HOLDER) HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW,
ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN ANY SUIT, ACTION OR PROCEEDING AGAINST THE COMPANY AND/OR THE DEPOSITARY DIRECTLY OR
INDIRECTLY ARISING OUT OF OR RELATING TO THE SHARES OR OTHER DEPOSITED SECURITIES, THE AMERICAN DEPOSITARY SHARES OR THE RECEIPTS, THIS
DEPOSIT AGREEMENT OR ANY TRANSACTION CONTEMPLATED HEREIN OR THEREIN, OR THE BREACH HEREOF OR THEREOF, INCLUDING, WITHOUT LIMITATION,
ANY QUESTION REGARDING EXISTENCE, VALIDITY OR TERMINATION (WHETHER BASED ON CONTRACT, TORT OR ANY OTHER THEORY) AND ANY CLAIM BASED ON
U.S. FEDERAL SECURITIES LAWS.

 

No disclaimer of liability under
the United States federal securities laws or the rules and regulations thereunder is intended by any provision of this Deposit Agreement,
inasmuch as no person is able to effectively waive the duty of any other person to comply with its obligations under those laws, rules and
regulations.

 

    	 	-36-	 

     

    

 

SECTION 7.7.       Waiver
of Immunities.

 

To the extent that the Company
or any of its properties, assets or revenues may have or may hereafter become entitled to, or have attributed to it, any right of immunity,
on the grounds of sovereignty or otherwise, from any legal action, suit or proceeding, from the giving of any relief in any respect thereof,
from setoff or counterclaim, from the jurisdiction of any court, from service of process, from attachment upon or prior to judgment, from
attachment in aid of execution or judgment, or from execution of judgment, or other legal process or proceeding for the giving of any
relief or for the enforcement of any judgment, in any jurisdiction in which proceedings may at any time be commenced, with respect to
its obligations, liabilities or any other matter under or arising out of or in connection with the Shares or Deposited Securities, the
American Depositary Shares, the Receipts or this Deposit Agreement, the Company, to the fullest extent permitted by law, hereby irrevocably
and unconditionally waives, and agrees not to plead or claim, any immunity of that kind and consents to relief and enforcement as provided
above.

 

SECTION 7.8.       Governing
Law.

 

This Deposit Agreement and the
Receipts shall be interpreted in accordance with and all rights hereunder and thereunder and provisions hereof and thereof shall be governed
by the laws of the State of New York.

 

    	 	-37-	 

     

    

 

IN WITNESS WHEREOF, WARRANTEE, INC.
and THE BANK OF NEW YORK MELLON have duly executed this Deposit Agreement as of the day and year first set forth above and all Owners
and Holders shall become parties hereto upon acceptance by them of American Depositary Shares or any interest therein.

 

	 	WARRANTEE, INC.
	 	 
	 	 
	 	By:	                                 
	 	Name:
	 	Title:
	 	 
	 	THE BANK OF NEW YORK MELLON,
	 	as Depositary
	 	 
	 	 
	 	By:	 
	 	Name:
	 	Title:

 

    	 	-38-	 

     

    

 

EXHIBIT A

 

	 	AMERICAN DEPOSITARY SHARES
	 	(Each American Depositary Share represents
	 	[one] deposited Share)

 

THE BANK OF NEW YORK MELLON

AMERICAN DEPOSITARY RECEIPT

FOR COMMON SHARES OF

WARRANTEE, INC.

(INCORPORATED UNDER THE LAWS OF JAPAN)

 

The Bank of New York Mellon,
as depositary (hereinafter called the “Depositary”), hereby certifies that_________________________________________, or registered
assigns IS THE OWNER OF _____________________________

 

AMERICAN DEPOSITARY SHARES

 

representing deposited common shares (herein called
 “Shares”) of Warrantee, Inc., incorporated under the laws of Japan (herein called the “Company”).
At the date hereof, each American Depositary Share represents [one] Share deposited or subject to deposit under the Deposit Agreement
(as such term is hereinafter defined) with a custodian for the Depositary (herein called the “Custodian”) that, as
of the date of the Deposit Agreement, was Mitsubishi UFJ Bank located in Japan. The Depositary's Office and its principal executive office
are located at 240 Greenwich Street, New York, N.Y. 10286.

 

THE DEPOSITARY'S OFFICE ADDRESS IS

240 GREENWICH STREET, NEW YORK, N.Y. 10286

 

    A-1

    

    

 

	1.	THE DEPOSIT AGREEMENT.

 

This American Depositary Receipt
is one of an issue (herein called “Receipts”), all issued and to be issued upon the terms and conditions set forth
in the Deposit Agreement dated as of __________, 2022 (herein called the “Deposit Agreement”) among the Company, the
Depositary, and all Owners and Holders from time to time of American Depositary Shares issued thereunder, each of whom by accepting American
Depositary Shares agrees to become a party thereto and become bound by all the terms and conditions thereof. The Deposit Agreement sets
forth the rights of Owners and Holders and the rights and duties of the Depositary in respect of the Shares deposited thereunder and any
and all other securities, property and cash from time to time received in respect of those Shares and held thereunder (those Shares, securities,
property, and cash are herein called “Deposited Securities”). Copies of the Deposit Agreement are on file at the Depositary's
Office in New York City and at the office of the Custodian.

 

The statements made on the
face and reverse of this Receipt are summaries of certain provisions of the Deposit Agreement and are qualified by and subject to the
detailed provisions of the Deposit Agreement, to which reference is hereby made. Capitalized terms defined in the Deposit Agreement and
not defined herein shall have the meanings set forth in the Deposit Agreement.

 

	2.	SURRENDER OF AMERICAN DEPOSITARY SHARES AND WITHDRAWAL OF SHARES.

 

Upon surrender of American
Depositary Shares for the purpose of withdrawal of the Deposited Securities represented thereby and payment of the fee of the Depositary
for the surrender of American Depositary Shares as provided in Section 5.9 of the Deposit Agreement and payment of all taxes and
governmental charges payable in connection with that surrender and withdrawal of the Deposited Securities, and subject to the terms and
conditions of the Deposit Agreement, the Owner of those American Depositary Shares shall be entitled to delivery (to the extent delivery
can then be lawfully and practicably made), to or as instructed by that Owner, of the amount of Deposited Securities at the time represented
by those American Depositary Shares, but not any money or other property as to which a record date for distribution to Owners has
passed (since money or other property of that kind will be delivered or paid on the scheduled payment date to the Owner as of that record
date), and except that the Depositary shall not be required to accept surrender of American Depositary Shares for the purpose of
withdrawal to the extent it would require delivery of a fraction of a Deposited Security. The Depositary shall direct the Custodian with
respect to delivery of Deposited Securities and may charge the surrendering Owner a fee and its expenses for giving that direction by
cable (including SWIFT) or facsimile transmission. If Deposited Securities are delivered physically upon surrender of American Depositary
Shares for the purpose of withdrawal, that delivery will be made at the Custodian’s office, except that, at the request,
risk and expense of the surrendering Owner, and for the account of that Owner, the Depositary shall direct the Custodian to forward any
cash or other property comprising, and forward a certificate or certificates, if applicable, and other proper documents of title, if any,
for, the Deposited Securities represented by the surrendered American Depositary Shares to the Depositary for delivery at the Depositary’s
Office or to another address specified in the order received from the surrendering Owner.

 

    A-2

    

    

 

The Depositary has been advised
that, as of the date of the Deposit Agreement, under FEFTA, any Foreign Investor (as defined under FEFTA) expecting to receive delivery
of Shares upon surrender of American Depositary Shares must obtain pre-clearance from the applicable Japanese governmental authority
prior to accepting that delivery and that the applicable governmental authority may take up to 30 days to respond to applications for
that pre-clearance. Accordingly, Owners that are Foreign Investors wishing to surrender American Depositary Shares for the purpose of
withdrawal of deposited Shares should apply or advise the persons to whom they intend to direct delivery of Shares to apply for pre-clearance
at least 30 days in advance. The Depositary shall not accept surrender of American Depositary Shares for the purpose of withdrawal of
Shares until it receives assurances satisfactory to it that any required pre-clearance for delivery of the Shares to be withdrawn to
a Foreign Investor has been obtained.

 

	3.	REGISTRATION OF TRANSFER OF AMERICAN DEPOSITARY SHARES; COMBINATION AND SPLIT-UP OF RECEIPTS; INTERCHANGE
OF CERTIFICATED AND UNCERTIFICATED AMERICAN DEPOSITARY SHARES.

 

The Depositary, subject to
the terms and conditions of the Deposit Agreement, shall register a transfer of American Depositary Shares on its transfer books upon
(i) in the case of certificated American Depositary Shares, surrender of the Receipt evidencing those American Depositary Shares,
by the Owner or by a duly authorized attorney, properly endorsed or accompanied by proper instruments of transfer or (ii) in the
case of uncertificated American Depositary Shares, receipt from the Owner of a proper instruction (including, for the avoidance of doubt,
instructions through DRS and Profile as provided in Section 2.9 of the Deposit Agreement), and, in either case, duly stamped as may
be required by the laws of the State of New York and of the United States of America. Upon registration of a transfer, the Depositary
shall deliver the transferred American Depositary Shares to or upon the order of the person entitled thereto.

 

The Depositary, subject to
the terms and conditions of the Deposit Agreement, shall upon surrender of a Receipt or Receipts for the purpose of effecting a split-up
or combination of such Receipt or Receipts, execute and deliver a new Receipt or Receipts for any authorized number of American Depositary
Shares requested, evidencing the same aggregate number of American Depositary Shares as the Receipt or Receipts surrendered.

 

The Depositary, upon surrender
of certificated American Depositary Shares for the purpose of exchanging for uncertificated American Depositary Shares, shall cancel the
Receipt evidencing those certificated American Depositary Shares and send the Owner a statement confirming that the Owner is the owner
of the same number of uncertificated American Depositary Shares. The Depositary, upon receipt of a proper instruction (including, for
the avoidance of doubt, instructions through DRS and Profile as provided in Section 2.9 of the Deposit Agreement) from the Owner
of uncertificated American Depositary Shares for the purpose of exchanging for certificated American Depositary Shares, shall cancel those
uncertificated American Depositary Shares and register and deliver to the Owner a Receipt evidencing the same number of certificated American
Depositary Shares.

 

    A-3

    

    

 

As a condition precedent to
the delivery, registration of transfer, or surrender of any American Depositary Shares or split-up or combination of any Receipt or withdrawal
of any Deposited Securities, the Depositary, the Custodian, or Registrar may require payment from the depositor of the Shares or the presenter
of the Receipt or instruction for registration of transfer or surrender of American Depositary Shares not evidenced by a Receipt of a
sum sufficient to reimburse it for any tax or other governmental charge and any stock transfer or registration fee with respect thereto
(including any such tax or charge and fee with respect to Shares being deposited or withdrawn) and payment of any applicable fees as provided
in the Deposit Agreement, may require the production of proof satisfactory to it as to the identity and genuineness of any signature and
may also require compliance with any regulations the Depositary may establish consistent with the provisions of the Deposit Agreement.

 

The Depositary may refuse
to accept deposits of Shares for delivery of American Depositary Shares or to register transfers of American Depositary Shares in particular
instances, or may suspend deposits of Shares or registration of transfer generally, whenever it or the Company considers it necessary
or advisable to do so. The Depositary may refuse surrenders of American Depositary Shares for the purpose of withdrawal of Deposited Securities
in particular instances, or may suspend surrenders for the purpose of withdrawal generally, but, notwithstanding anything to the contrary
in the Deposit Agreement, only for (i) temporary delays caused by closing of the Depositary’s register or the register
of holders of Shares maintained by the Company or the Foreign Registrar, or the deposit of Shares, in connection with voting at a shareholders’
meeting or the payment of dividends, (ii) the payment of fees, taxes and similar charges, (iii) compliance with any U.S. or
foreign laws or governmental regulations relating to the American Depositary Shares or to the withdrawal of the Deposited Securities or
(iv) any other reason that, at the time, is permitted under paragraph I(A)(1) of the General Instructions to Form F-6 under
the Securities Act of 1933 or any successor to that provision.

 

The Depositary shall not knowingly
accept for deposit under the Deposit Agreement any Shares that, at the time of deposit, are Restricted Securities.

 

The Depositary has been advised
that, as of the date of the Deposit Agreement, under FEFTA, it must obtain pre-clearance from the applicable Japanese governmental authority
prior to accepting Shares for deposit and that the applicable governmental authority may take up to 30 days to respond to applications
for that pre-clearance. Accordingly, persons wishing to deposit Shares should notify the Depositary of that desire at least 30 days in
advance. The Depositary shall not accept Shares for deposit until any required pre-clearance has been obtained. The Company agrees to
reimburse the Depositary for its expenses, including fees and expenses of counsel, for applying for any required pre-clearance.

 

    A-4

    

    

 

	4.	LIABILITY OF OWNER FOR TAXES.

 

If any tax or other governmental
charge shall become payable by the Custodian or the Depositary with respect to or in connection with any American Depositary Shares or
any Deposited Securities represented by any American Depositary Shares or in connection with a transaction to which Section 4.8 of
the Deposit Agreement applies, that tax or other governmental charge shall be payable by the Owner of those American Depositary Shares
to the Depositary. The Depositary may refuse to register any transfer of those American Depositary Shares or any withdrawal of Deposited
Securities represented by those American Depositary Shares until that payment is made, and may withhold any dividends or other distributions
or the proceeds thereof, or may sell for the account of the Owner any part or all of the Deposited Securities represented by those American
Depositary Shares, and may apply those dividends or other distributions or the net proceeds of any sale of that kind in payment of that
tax or other governmental charge but, even after a sale of that kind, the Owner shall remain liable for any deficiency. The Depositary
shall distribute any net proceeds of a sale made under Section 3.2 of the Deposit Agreement that are not used to pay taxes or governmental
charges to the Owners entitled to them in accordance with Section 4.1 of the Deposit Agreement. If the number of Shares represented
by each American Depositary Share decreases as a result of a sale of Deposited Securities under Section 3.2 of the Deposit Agreement,
the Depositary may call for surrender of the American Depositary Shares to be exchanged on a mandatory basis for a lesser number of American
Depositary Shares and may sell American Depositary Shares to the extent necessary to avoid distributing fractions of American Depositary
Shares in that exchange and distribute the net proceeds of that sale to the Owners entitled to them.

 

	5.	WARRANTIES ON DEPOSIT OF SHARES.

 

Every person depositing Shares
under the Deposit Agreement shall be deemed thereby to represent and warrant that those Shares and each certificate therefor, if applicable,
are validly issued, fully paid and nonassessable and were not issued in violation of any preemptive or similar rights of the holders of
outstanding securities of the Company and that the person making that deposit is duly authorized so to do. Every depositing person shall
also be deemed to represent that the Shares, at the time of deposit, are not Restricted Securities. All representations and warranties
deemed made under Section 3.3 of the Deposit Agreement shall survive the deposit of Shares and delivery of American Depositary Shares.

 

    A-5

    

    

 

	6.	FILING PROOFS, CERTIFICATES, AND OTHER INFORMATION.

 

Any person presenting Shares
for deposit or any Owner or Holder may be required from time to time to file with the Depositary or the Custodian such proof of citizenship
or residence, exchange control approval, or such information relating to the registration on the books of the Company or the Foreign Registrar,
if applicable, to execute such certificates and to make such representations and warranties, as the Depositary may deem necessary or proper,
or as the Company may reasonably require by written request to the Depositary. The Depositary may withhold the delivery or registration
of transfer of any American Depositary Shares, the distribution of any dividend or other distribution or of the proceeds thereof or the
delivery of any Deposited Securities until that proof or other information is filed or those certificates are executed or those representations
and warranties are made. As conditions of accepting Shares for deposit, the Depositary may require (i) any certification required
by the Depositary or the Custodian in accordance with the provisions of the Deposit Agreement, (ii) a written order directing the
Depositary to deliver to, or upon the written order of, the person or persons stated in that order, the number of American Depositary
Shares representing those Deposited Shares, (iii) evidence satisfactory to the Depositary that those Shares have been re-registered
in the books of the Company or the Foreign Registrar in the name of the Depositary, a Custodian or a nominee of the Depositary or a Custodian,
(iv) evidence satisfactory to the Depositary that any necessary approval for the transfer or deposit has been granted by any governmental
body in each applicable jurisdiction and (v) an agreement or assignment, or other instrument satisfactory to the Depositary, that
provides for the prompt transfer to the Custodian of any dividend, or right to subscribe for additional Shares or to receive other property,
that any person in whose name those Shares are or have been recorded may thereafter receive upon or in respect of those Shares, or, in
lieu thereof, such agreement of indemnity or other agreement as shall be satisfactory to the Depositary.

 

The Depositary shall refuse,
and shall instruct the Custodian to refuse, to accept Shares for deposit if the Depositary has received a notice from the Company that
the Company has restricted transfer of those Shares under the Company’s articles of association or any applicable laws or that the
deposit would result in any violation of the Company’s articles of association or any applicable laws.

 

	7.	CHARGES OF DEPOSITARY.

 

The following charges shall
be incurred by any party depositing or withdrawing Shares or by any party surrendering American Depositary Shares or to whom American
Depositary Shares are issued (including, without limitation, issuance pursuant to a stock dividend or stock split declared by the Company
or an exchange of stock regarding the American Depositary Shares or Deposited Securities or a delivery of American Depositary Shares pursuant
to Section 4.3 of the Deposit Agreement), or by Owners, as applicable: (1) taxes and other governmental charges, (2) such
registration fees as may from time to time be in effect for the registration of transfers of Shares generally on the Share register of
the Company or Foreign Registrar and applicable to transfers of Shares to or from the name of the Depositary or its nominee or the Custodian
or its nominee on the making of deposits or withdrawals hereunder, (3) such cable (including SWIFT) and facsimile transmission fees
and expenses as are expressly provided in the Deposit Agreement, (4) such expenses as are incurred by the Depositary in the conversion
of foreign currency pursuant to Section 4.5 of the Deposit Agreement, (5) a fee of $5.00 or less per 100 American Depositary
Shares (or portion thereof) for the delivery of American Depositary Shares pursuant to Section 2.3, 4.3 or 4.4 of the Deposit Agreement
and the surrender of American Depositary Shares pursuant to Section 2.5 or 6.2 of the Deposit Agreement, (6) a fee of $.05 or
less per American Depositary Share (or portion thereof) for any cash distribution made pursuant to the Deposit Agreement, including, but
not limited to Sections 4.1 through 4.4 and 4.8 of the Deposit Agreement, (7) a fee for the distribution of securities pursuant to
Section 4.2 of the Deposit Agreement or of rights pursuant to Section 4.4 of the Deposit Agreement (where the Depositary will
not exercise or sell those rights on behalf of Owners), such fee being in an amount equal to the fee for the execution and delivery of
American Depositary Shares referred to above which would have been charged as a result of the deposit of such securities under the Deposit
Agreement (for purposes of this item 7 treating all such securities as if they were Shares) but which securities are instead distributed
by the Depositary to Owners, (8) in addition to any fee charged under item 6, a fee of $.05 or less per American Depositary Share
(or portion thereof) per annum for depositary services, which will be payable as provided in item 9 below, and (9) any other charges
payable by the Depositary or the Custodian, any of the Depositary's or Custodian’s agents or the agents of the Depositary's or Custodian’s
agents, in connection with the servicing of Shares or other Deposited Securities (which charges shall be assessed against Owners as of
the date or dates set by the Depositary in accordance with Section 4.6 of the Deposit Agreement and shall be payable at the sole
discretion of the Depositary by billing those Owners for those charges or by deducting those charges from one or more cash dividends or
other cash distributions).

 

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The Depositary may collect
any of its fees by deduction from any cash distribution payable, or by selling a portion of any securities to be distributed, to Owners
that are obligated to pay those fees.

 

The Depositary may own and
deal in any class of securities of the Company and its affiliates and in American Depositary Shares.

 

From time to time, the Depositary
may make payments to the Company to reimburse the Company for costs and expenses generally arising out of establishment and maintenance
of the American Depositary Shares program, waive fees and expenses for services provided by the Depositary or share revenue from the fees
collected from Owners or Holders. In performing its duties under the Deposit Agreement, the Depositary may use brokers, dealers, foreign
currency dealers or other service providers that are owned by or affiliated with the Depositary and that may earn or share fees, spreads
or commissions.

 

	8.	DISCLOSURE OF INTERESTS.

 

When required in order to
comply with applicable laws and regulations or the articles of association or similar document of the Company, the Company may from time
to time request each Owner and Holder to provide to the Depositary information relating to: (a) the capacity in which it
holds American Depositary Shares, (b) the identity of any Holders or other persons or entities then or previously
interested in those American Depositary Shares and the nature of those interests and (c) any other matter where disclosure of
such matter is required for that compliance.   Each Owner and Holder agrees to provide all information known to it in response
to a request made pursuant to Section 3.4 of the Deposit Agreement.  Each Holder consents to the disclosure by the Depositary
and the Owner or other Holder through which it holds American Depositary Shares, directly or indirectly, of all information responsive
to a request made pursuant to that Section relating to that Holder that is known to that Owner or other Holder.

 

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	9.	TITLE TO AMERICAN DEPOSITARY SHARES.

 

It is a condition of the American
Depositary Shares, and every successive Owner and Holder of American Depositary Shares, by accepting or holding the same, consents and
agrees that American Depositary Shares evidenced by a Receipt, when the Receipt is properly endorsed or accompanied by proper instruments
of transfer, shall be transferable as certificated registered securities under the laws of the State of New York, and that American Depositary
Shares not evidenced by Receipts shall be transferable as uncertificated registered securities under the laws of the State of New York.
The Depositary, notwithstanding any notice to the contrary, may treat the Owner of American Depositary Shares as the absolute owner thereof
for the purpose of determining the person entitled to distribution of dividends or other distributions or to any notice provided for in
the Deposit Agreement and for all other purposes, and neither the Depositary nor the Company shall have any obligation or be subject to
any liability under the Deposit Agreement to any Holder of American Depositary Shares, but only to the Owner.

 

	10.	VALIDITY OF RECEIPT.

 

This Receipt shall not be
entitled to any benefits under the Deposit Agreement or be valid or obligatory for any purpose, unless this Receipt shall have been (i) executed
by the Depositary by the manual signature of a duly authorized officer of the Depositary or (ii) executed by the facsimile signature
of a duly authorized officer of the Depositary and countersigned by the manual signature of a duly authorized signatory of the Depositary
or the Registrar or a co-registrar.

 

	11.	REPORTS; INSPECTION OF TRANSFER BOOKS.

 

The Company is subject to
the periodic reporting requirements of the Securities Exchange Act of 1934 and, accordingly, files certain reports with the Securities
and Exchange Commission. Those reports will be available for inspection and copying through the Commission's EDGAR system or at public
reference facilities maintained by the Commission in Washington, D.C.

 

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The Depositary will make
available for inspection by Owners at its Office any reports, notices and other communications, including any proxy soliciting material,
received from the Company which are both (a) received by the Depositary as the holder of the Deposited Securities and (b) made
generally available to the holders of those Deposited Securities by the Company. The Company shall furnish reports and communications,
including any proxy soliciting material to which Section 4.9 of the Deposit Agreement applies, to the Depositary in English, to
the extent such materials are required to be translated into English pursuant to any regulations of the Commission.

 

The Depositary will maintain
a register of American Depositary Shares and transfers of American Depositary Shares, which shall be open for inspection by the Owners
at the Depositary’s Office during regular business hours, but only for the purpose of communicating with Owners regarding the business
of the Company or a matter related to the Deposit Agreement or the American Depositary Shares.

 

	12.	DIVIDENDS AND DISTRIBUTIONS.

 

Whenever the Depositary receives
any cash dividend or other cash distribution on Deposited Securities, the Depositary will, if at the time of receipt thereof any amounts
received in a foreign currency can in the judgment of the Depositary be converted on a reasonable basis into Dollars transferable to the
United States, and subject to the Deposit Agreement, convert that dividend or other cash distribution into Dollars and distribute the
amount thus received (net of the fees and expenses of the Depositary as provided in Article 7 hereof and Section 5.9 of the
Deposit Agreement) to the Owners entitled thereto; provided, however, that if the Custodian or the Depositary is required
to withhold and does withhold from that cash dividend or other cash distribution an amount on account of taxes or other governmental charges,
the amount distributed to the Owners of the American Depositary Shares representing those Deposited Securities shall be reduced accordingly.

 

If a cash distribution would
represent a return of all or substantially all the value of the Deposited Securities underlying American Depositary Shares, the Depositary
may:

 

(i)   require
payment of or deduct the fee for surrender of American Depositary Shares (whether or not it is also requiring surrender of American
Depositary Shares) as a condition of making that cash distribution; or

 

(ii)   sell
all Deposited Securities other than the subject cash distribution and add any net cash proceeds of that sale to the cash
distribution, call for surrender of all those American Depositary Shares and require that surrender as a condition of making that
cash distribution.

 

If the Depositary acts under this paragraph, that
action shall also be a Termination Option Event.

 

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Subject to the provisions
of Section 4.11 and 5.9 of the Deposit Agreement, whenever the Depositary receives any distribution other than a distribution described
in Section 4.1, 4.3 or 4.4 of the Deposit Agreement on Deposited Securities (but not in exchange for or in conversion or in lieu
of Deposited Securities), the Depositary will cause the securities or property received by it to be distributed to the Owners entitled
thereto, after deduction or upon payment of any fees and expenses of the Depositary and any taxes or other governmental charges, in any
manner that the Depositary deems equitable and practicable for accomplishing that distribution (which may be a distribution of depositary
shares representing the securities received); provided, however, that if in the opinion of the Depositary such distribution
cannot be made proportionately among the Owners entitled thereto, or if for any other reason (including, but not limited to, any requirement
that the Company or the Depositary withhold an amount on account of taxes or other governmental charges or that securities received must
be registered under the Securities Act of 1933 in order to be distributed to Owners or Holders) the Depositary deems such distribution
not to be lawful and feasible, after consultation with the Company to the extent practicable, the Depositary may adopt such other method
as it may deem equitable and practicable for the purpose of effecting such distribution, including, but not limited to, the public or
private sale of the securities or property thus received, or any part thereof, and distribution of the net proceeds of any such sale
(net of the fees and expenses of the Depositary as provided in Article 7 hereof and Section 5.9 of the Deposit Agreement) to
the Owners entitled thereto all in the manner and subject to the conditions set forth in Section 4.1 of the Deposit Agreement. The
Depositary may withhold any distribution of securities under Section 4.2 of the Deposit Agreement if it has not received satisfactory
assurances from the Company that the distribution does not require registration under the Securities Act of 1933. The Depositary may
sell, by public or private sale, an amount of securities or other property it would otherwise distribute under this Article that
is sufficient to pay its fees and expenses in respect of that distribution.

 

If a distribution to be made
under Section 4.2 of the Deposit Agreement would represent a return of all or substantially all the value of the Deposited Securities
underlying American Depositary Shares, the Depositary may:

 

(i)   require payment of
or deduct the fee for surrender of American Depositary Shares (whether or not it is also requiring surrender of American Depositary Shares)
as a condition of making that distribution; or

 

(ii)  sell all Deposited
Securities other than the subject distribution and add any net cash proceeds of that sale to the distribution, call for surrender of all
those American Depositary Shares and require that surrender as a condition of making that distribution.

 

If the Depositary acts under this paragraph, that
action shall also be a Termination Option Event.

 

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Whenever the Depositary receives
any distribution consisting of a dividend in, or free distribution of, Shares, the Depositary may, and if the Company so requests in
writing, shall deliver to the Owners entitled thereto, an aggregate number of American Depositary Shares representing the amount of Shares
received as that dividend or free distribution, subject to the terms and conditions of the Deposit Agreement with respect to the deposit
of Shares and issuance of American Depositary Shares, including the withholding of any tax or other governmental charge as provided in
Section 4.11 of the Deposit Agreement and the payment of the fees and expenses of the Depositary as provided in Article 7 hereof
and Section 5.9 of the Deposit Agreement (and the Depositary may sell, by public or private sale, an amount of Shares received (or
American Depositary Shares representing those Shares) sufficient to pay its fees and expenses in respect of that distribution). In lieu
of delivering fractional American Depositary Shares, the Depositary may sell the amount of Shares represented by the aggregate of those
fractions (or American Depositary Shares representing those Shares) and distribute the net proceeds, all in the manner and subject to
the conditions described in Section 4.1 of the Deposit Agreement. If and to the extent that additional American Depositary Shares
are not delivered and Shares or American Depositary Shares are not sold, each American Depositary Share shall thenceforth also represent
the additional Shares distributed on the Deposited Securities represented thereby.

 

If the Company declares a
distribution in which holders of Deposited Securities have a right to elect whether to receive cash, Shares or other securities or a combination
of those things, or a right to elect to have a distribution sold on their behalf, the Depositary may, after consultation with the Company,
make that right of election available for exercise by Owners in any manner the Depositary considers to be lawful and practical. As a condition
of making a distribution election right available to Owners, the Depositary may require satisfactory assurances from the Company that
doing so does not require registration of any securities under the Securities Act of 1933 that has not been effected.

 

If the Depositary determines
that any distribution received or to be made by the Depositary (including Shares and rights to subscribe therefor) is subject to any tax
or other governmental charge that the Depositary is obligated to withhold, the Depositary may sell, by public or private sale, all or
a portion of the distributed property (including Shares and rights to subscribe therefor) in the amounts and manner the Depositary deems
necessary and practicable to pay those taxes or charges, and the Depositary shall distribute the net proceeds of that sale, after deduction
of those taxes or charges, to the Owners entitled thereto in proportion to the number of American Depositary Shares held by them respectively.

 

Each Owner and Holder agrees
to indemnify the Company, the Depositary, the Custodian and their respective directors, employees, agents and affiliates for, and hold
each of them harmless against, any claim by any governmental authority with respect to taxes, additions to tax, penalties or interest
arising out of any refund of taxes, reduced withholding at source or other tax benefit received by it. Services for Owners and Holders
that may permit them to obtain reduced rates of tax withholding at source or reclaim excess tax withheld, and the fees and costs associated
with using services of that kind, are not provided under, and are outside the scope of, the Deposit Agreement.

 

    A-11

    

    

 

	13.	RIGHTS.

 

(a)            If
rights are granted to the Depositary in respect of deposited Shares to purchase additional Shares or other securities, the Company and
the Depositary shall endeavor to consult as to the actions, if any, the Depositary should take in connection with that grant of rights.
The Depositary may, to the extent deemed by it to be lawful and practical (i) if requested in writing by the Company, grant to all
or certain Owners rights to instruct the Depositary to purchase the securities to which the rights relate and deliver those securities
or American Depositary Shares representing those securities to Owners, (ii) if requested in writing by the Company, deliver the rights
to or to the order of certain Owners, or (iii) sell the rights to the extent practicable and distribute the net proceeds of that
sale to Owners entitled to those proceeds. To the extent rights are not exercised, delivered or disposed of under (i), (ii) or (iii) above,
the Depositary shall permit the rights to lapse unexercised.

 

(b)            If
the Depositary will act under (a)(i) above, the Company and the Depositary will enter into a separate agreement setting forth the
conditions and procedures applicable to the particular offering. Upon instruction from an applicable Owner in the form the Depositary
specified and upon payment by that Owner to the Depositary of an amount equal to the purchase price of the securities to be received upon
the exercise of the rights, the Depositary shall, on behalf of that Owner, exercise the rights and purchase the securities. The purchased
securities shall be delivered to, or as instructed by, the Depositary. The Depositary shall (i) deposit the purchased Shares under
the Deposit Agreement and deliver American Depositary Shares representing those Shares to that Owner or (ii) deliver or cause the
purchased Shares or other securities to be delivered to or to the order of that Owner. The Depositary will not act under (a)(i) above
unless the offer and sale of the securities to which the rights relate are registered under the Securities Act of 1933 or the Depositary
has received an opinion of United States counsel that is satisfactory to it to the effect that those securities may be sold and delivered
to the applicable Owners without registration under the Securities Act of 1933. For the avoidance of doubt, nothing in the Deposit Agreement
shall create any obligation on the part of the Company to file a registration statement with respect to rights or the underlying securities
or to endeavor to have such a registration statement declared effective.

 

(c)            If
the Depositary will act under (a)(ii) above, the Company and the Depositary will enter into a separate agreement setting forth the
conditions and procedures applicable to the particular offering. Upon (i) the request of an applicable Owner to deliver the rights
allocable to the American Depositary Shares of that Owner to an account specified by that Owner to which the rights can be delivered and
(ii) receipt of such documents as the Company and the Depositary agreed to require to comply with applicable law, the Depositary
will deliver those rights as requested by that Owner.

 

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(d)            If
the Depositary will act under (a)(iii) above, the Depositary will use reasonable efforts to sell the rights in proportion to the
number of American Depositary Shares held by the applicable Owners and pay the net proceeds to the Owners otherwise entitled to the rights
that were sold, upon an averaged or other practical basis without regard to any distinctions among such Owners because of exchange restrictions
or the date of delivery of any American Depositary Shares or otherwise.

 

(e)            Payment
or deduction of the fees of the Depositary as provided in Section 5.9 of the Deposit Agreement and payment or deduction of the expenses
of the Depositary and any applicable taxes or other governmental charges shall be conditions of any delivery of securities or payment
of cash proceeds under Section 4.4 of the Deposit Agreement.

 

(f)            The
Depositary shall not be responsible for any failure to determine that it may be lawful or feasible to make rights available to or exercise
rights on behalf of Owners in general or any Owner in particular , or to sell rights.

 

	14.	CONVERSION OF FOREIGN CURRENCY.

 

Whenever the Depositary or
the Custodian receives foreign currency, by way of dividends or other distributions or the net proceeds from the sale of securities, property
or rights, and if at the time of the receipt thereof the foreign currency so received can in the judgment of the Depositary be converted
on a reasonable basis into Dollars and the resulting Dollars transferred to the United States, the Depositary or one of its agents or
affiliates or the Custodian shall convert or cause to be converted by sale or in any other manner that it may determine that foreign currency
into Dollars, and those Dollars shall be distributed, as promptly as practicable, to the Owners entitled thereto.  A cash distribution
may be made upon an averaged or other practicable basis without regard to any distinctions among Owners based on exchange restrictions,
the date of delivery of any American Depositary Shares or otherwise and shall be net of any expenses of conversion into Dollars incurred
by the Depositary as provided in Section 5.9 of the Deposit Agreement.

 

If a conversion of foreign
currency or the repatriation or distribution of Dollars can be effected only with the approval or license of any government or agency
thereof, the Depositary may, but will not be required to, file an application for that approval or license.

 

If the Depositary determines
that in its judgment any foreign currency received by the Depositary or the Custodian is not convertible on a reasonable basis into Dollars
transferable to the United States, or if any approval or license of any government or agency thereof that is required for such conversion
is not filed or sought by the Depositary or is not obtained within a reasonable period as determined by the Depositary, the Depositary
may distribute the foreign currency received by the Depositary to, or in its discretion may hold such foreign currency uninvested and
without liability for interest thereon for the respective accounts of, the Owners entitled to receive the same.

 

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If any conversion of foreign
currency, in whole or in part, cannot be effected for distribution to some of the Owners entitled thereto, the Depositary may in its
discretion make that conversion and distribution in Dollars to the extent practicable and permissible to the Owners entitled thereto
and may distribute the balance of the foreign currency received by the Depositary to, or hold that balance uninvested and without liability
for interest thereon for the account of, the Owners entitled thereto.

 

The Depositary may convert
currency itself or through any of its affiliates, or the Custodian or the Company may convert currency and pay Dollars to the Depositary.
Where the Depositary converts currency itself or through any of its affiliates, the Depositary acts as principal for its own account and
not as agent, advisor, broker or fiduciary on behalf of any other person and earns revenue, including, without limitation, transaction
spreads, that it will retain for its own account.  The revenue is based on, among other things, the difference between the exchange
rate assigned to the currency conversion made under the Deposit Agreement and the rate that the Depositary or its affiliate receives when
buying or selling foreign currency for its own account.  The Depositary makes no representation that the exchange rate used or obtained
by it or its affiliate in any currency conversion under the Deposit Agreement will be the most favorable rate that could be obtained at
the time or that the method by which that rate will be determined will be the most favorable to Owners, subject to the Depositary’s
obligations under Section 5.3 of the Deposit Agreement.  The methodology used to determine exchange rates used in currency conversions
made by the Depositary is available upon request. Where the Custodian converts currency, the Custodian has no obligation to obtain the
most favorable rate that could be obtained at the time or to ensure that the method by which that rate will be determined will be the
most favorable to Owners, and the Depositary makes no representation that the rate is the most favorable rate and will not be liable for
any direct or indirect losses associated with the rate.  In certain instances, the Depositary may receive dividends or other distributions
from the Company in Dollars that represent the proceeds of a conversion of foreign currency or translation from foreign currency at a
rate that was obtained or determined by or on behalf of the Company and, in such cases, the Depositary will not engage in, or be responsible
for, any foreign currency transactions and neither it nor the Company makes any representation that the rate obtained or determined by
the Company is the most favorable rate and neither it nor the Company will be liable for any direct or indirect losses associated with
the rate.

 

	15.	RECORD DATES.

 

Whenever a cash dividend,
cash distribution or any other distribution is made on Deposited Securities or rights to purchase Shares or other securities are issued
with respect to Deposited Securities (which rights will be delivered to or exercised or sold on behalf of Owners in accordance with Section 4.4
of the Deposit Agreement) or the Depositary receives notice that a distribution or issuance of that kind will be made, or whenever the
Depositary receives notice that a meeting of holders of Shares will be held in respect of which the Company has requested the Depositary
to send a notice under Section 4.7 of the Deposit Agreement, or whenever the Depositary will assess a fee or charge against the Owners,
or whenever the Depositary causes a change in the number of Shares that are represented by each American Depositary Share, or whenever
the Depositary otherwise finds it necessary or convenient, the Depositary shall fix a record date, which shall be the same as, or as near
as practicable to, any corresponding record date set by the Company with respect to Shares, (a) for the determination of the Owners
(i) who shall be entitled to receive the benefit of that dividend or other distribution or those rights, (ii) who shall be entitled
to give instructions for the exercise of voting rights at that meeting, (iii) who shall be responsible for that fee or charge or
(iv) for any other purpose for which the record date was set, or (b) on or after which each American Depositary Share will represent
the changed number of Shares. Subject to the provisions of Sections 4.1 through 4.5 of the Deposit Agreement and to the other terms and
conditions of the Deposit Agreement, the Owners on a record date fixed by the Depositary shall be entitled to receive the amount distributable
by the Depositary with respect to that dividend or other distribution or those rights or the net proceeds of sale thereof in proportion
to the number of American Depositary Shares held by them respectively, to give voting instructions or to act in respect of the other matter
for which that record date was fixed, or be responsible for that fee or charge, as the case may be.

 

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	16.	VOTING OF DEPOSITED SHARES.

 

(a)            Upon
receipt of notice of any meeting of holders of Shares at which holders of Shares will be entitled to vote, if requested in writing by
the Company, the Depositary shall, as soon as practicable thereafter, Disseminate to the Owners a notice, the form of which shall
be in the sole discretion of the Depositary, that shall contain (i) the information contained in the notice of meeting received by
the Depositary, (ii) a statement that the Owners as of the close of business on a specified record date will be entitled, subject
to any applicable provision of Japanese law and of the articles of association or similar documents of the Company, to instruct the Depositary
as to the exercise of the voting rights pertaining to the amount of Shares represented by their respective American Depositary Shares,
(iii) a statement as to the manner in which those instructions may be given and (iv) the last date on which the Depositary will
accept instructions (the “Instruction Cutoff Date”).

 

(b)            Upon
the written request of an Owner of American Depositary Shares, as of the date of the request or, if a record date was specified by the
Depositary, as of that record date, received on or before any Instruction Cutoff Date established by the Depositary, the
Depositary may, and if the Depositary sent a notice under the preceding paragraph shall, endeavor, in so far as practicable, to vote or
cause to be voted the amount of deposited Shares represented by those American Depositary Shares in accordance with the instructions set
forth in that request. The Depositary shall not vote or attempt to exercise the right to vote that attaches to the deposited Shares other
than in accordance with instructions given by Owners and received by the Depositary.

 

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(c)            There
can be no assurance that Owners generally or any Owner in particular will receive the notice described in paragraph (a) above
in time to enable Owners to give instructions to the Depositary prior to the Instruction Cutoff Date.

 

(d)            In
order to give Owners a reasonable opportunity to instruct the Depositary as to the exercise of voting rights relating to Shares, if the
Company will request the Depositary to Disseminate a notice under paragraph (a) above, the Company shall give the Depositary
notice of the meeting, details concerning the matters to be voted upon and copies of materials to be made available to holders of Shares
in connection with the meeting not less than 45 days prior to the meeting date.

 

		17.	TENDER AND EXCHANGE OFFERS; REDEMPTION, REPLACEMENT OR CANCELLATION OF DEPOSITED SECURITIES.

 

(a)            The
Depositary shall not tender any Deposited Securities in response to any voluntary cash tender offer, exchange offer or similar offer made
to holders of Deposited Securities (a “Voluntary Offer”), except when instructed in writing to do so by an Owner surrendering
American Depositary Shares and subject to any conditions or procedures the Depositary may require.

 

(b)            If
the Depositary receives a written notice that Deposited Securities have been redeemed for cash or otherwise purchased for cash in a transaction
that is mandatory and binding on the Depositary as a holder of those Deposited Securities (a “Redemption”), the Depositary,
at the expense of the Company, shall (i) if required, surrender Deposited Securities that have been redeemed to the issuer of those
securities or its agent on the redemption date, (ii) Disseminate a notice to Owners (A) notifying them of that Redemption, (B) calling
for surrender of a corresponding number of American Depositary Shares and (C) notifying them that the called American Depositary
Shares have been converted into a right only to receive the money received by the Depositary upon that Redemption and those net proceeds
shall be the Deposited Securities to which Owners of those converted American Depositary Shares shall be entitled upon surrenders of those
American Depositary Shares in accordance with Section 2.5 or 6.2 of the Deposit Agreement and (iii) distribute the money received
upon that Redemption to the Owners entitled to it upon surrender by them of called American Depositary Shares in accordance with Section 2.5
of the Deposit Agreement (and, for the avoidance of doubt, Owners shall not be entitled to receive that money under Section 4.1 of
the Deposit Agreement). If the Redemption affects less than all the Deposited Securities, the Depositary shall call for surrender a corresponding
portion of the outstanding American Depositary Shares and only those American Depositary Shares will automatically be converted into a
right to receive the net proceeds of the Redemption. The Depositary shall allocate the American Depositary Shares converted under the
preceding sentence among the Owners pro-rata to their respective holdings of American Depositary Shares immediately prior to the Redemption,
except that the allocations may be adjusted so that no fraction of a converted American Depositary Share is allocated to any Owner.
A Redemption of all or substantially all of the Deposited Securities shall be a Termination Option Event.

 

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(c)            If
the Depositary is notified of or there occurs any change in nominal value or any subdivision, combination or any other reclassification
of the Deposited Securities or any recapitalization, reorganization, sale of assets substantially as an entirety, merger or consolidation
affecting the issuer of the Deposited Securities or to which it is a party that is mandatory and binding on the Depositary as a holder
of Deposited Securities and, as a result, securities or other property have been or will be delivered in exchange, conversion, replacement
or in lieu of, Deposited Securities (a “Replacement”), the Depositary shall, if required, surrender the old Deposited
Securities affected by that Replacement of Shares and hold, as new Deposited Securities under the Deposit Agreement, the new securities
or other property delivered to it in that Replacement. However, the Depositary may elect to sell those new Deposited Securities
if in the opinion of the Depositary it is not lawful or not practical for it to hold those new Deposited Securities under the Deposit
Agreement because those new Deposited Securities may not be distributed to Owners without registration under the Securities Act of 1933
or for any other reason, at public or private sale, at such places and on such terms as it deems proper and proceed as if those new Deposited
Securities had been Redeemed under paragraph (b) above. A Replacement shall be a Termination Option Event.

 

(d)            In
the case of a Replacement where the new Deposited Securities will continue to be held under the Deposit Agreement, the Depositary may
call for the surrender of outstanding Receipts to be exchanged for new Receipts specifically describing the new Deposited Securities and
the number of those new Deposited Securities represented by each American Depositary Share. If the number of Shares represented by each
American Depositary Share decreases as a result of a Replacement, the Depositary may call for surrender of the American Depositary Shares
to be exchanged on a mandatory basis for a lesser number of American Depositary Shares and may sell American Depositary Shares to the
extent necessary to avoid distributing fractions of American Depositary Shares in that exchange and distribute the net proceeds of that
sale to the Owners entitled to them.

 

(e)            If
there are no Deposited Securities with respect to American Depositary Shares, including if the Deposited Securities are cancelled, or
the Deposited Securities with respect to American Depositary Shares become apparently worthless, the Depositary may call for surrender
of those American Depositary Shares or may cancel those American Depositary Shares, upon notice to Owners, and that condition shall be
a Termination Option Event.

 

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	18.	LIABILITY OF THE COMPANY AND DEPOSITARY.

 

Neither the Depositary nor
the Company nor any of their respective directors, employees, agents or affiliates shall incur any liability to any Owner or Holder:

 

(i) if by reason of
(A) any provision of any present or future law or regulation or other act of the government of the United States, any State of the
United States or any other state or jurisdiction, or of any governmental or regulatory authority or stock exchange; (B) (in the
case of the Depositary only) any provision, present or future, of the articles of association or similar document of the Company, or
by reason of any provision of any securities issued or distributed by the Company, or any offering or distribution thereof; or (C) any
event or circumstance, whether natural or caused by a person or persons, that is beyond the ability of the Depositary or the Company,
as the case may be, to prevent or counteract by reasonable care or effort (including, but not limited to earthquakes, floods, severe
storms, fires, explosions, war, terrorism, civil unrest, labor disputes, criminal acts or outbreaks of infectious disease; interruptions
or malfunctions of utility services, Internet or other communications lines or systems; unauthorized access to or attacks on computer
systems or websites; or other failures or malfunctions of computer hardware or software or other systems or equipment), the Depositary
or the Company is, directly or indirectly, prevented from, forbidden to or delayed in, or could be subject to any civil or criminal penalty
on account of doing or performing and therefore does not do or perform, any act or thing that, by the terms of the Deposit Agreement
or the Deposited Securities, it is provided shall be done or performed;

 

(ii) for any exercise
of, or failure to exercise, any discretion provided for in the Deposit Agreement (including any determination by the Depositary or the
Company to take, or not take, any action that the Deposit Agreement or the Company, as the case may be, provides the Depositary may take);

 

(iii) for the inability
of any Owner or Holder to benefit from any distribution, offering, right or other benefit that is made available to holders of Deposited
Securities but is not, under the terms of the Deposit Agreement, made available to Owners or Holders; or

 

(iv) for any special,
consequential or punitive damages for any breach of the terms of the Deposit Agreement.

 

Where, by the terms of a distribution
to which Section 4.1, 4.2 or 4.3 of the Deposit Agreement applies, or an offering to which Section 4.4 of the Deposit Agreement
applies, or for any other reason, that distribution or offering may not be made available to Owners, and the Depositary may not dispose
of that distribution or offering on behalf of Owners and make the net proceeds available to Owners, then the Depositary shall not make
that distribution or offering available to Owners, and shall allow any rights, if applicable, to lapse.

 

Neither the Company nor the
Depositary assumes any obligation or shall be subject to any liability under the Deposit Agreement to Owners or Holders, except that they
agree to perform their obligations specifically set forth in the Deposit Agreement without negligence or bad faith. The Depositary shall
not be a fiduciary or have any fiduciary duty to Owners or Holders. The Depositary shall not be subject to any liability with respect
to the validity or worth of the Deposited Securities. Neither the Depositary nor the Company shall be under any obligation to appear in,
prosecute or defend any action, suit, or other proceeding in respect of any Deposited Securities or in respect of the American Depositary
Shares, on behalf of any Owner or Holder or other person. Neither the Depositary nor the Company shall be liable for any action or non-action
by it in reliance upon the advice of or information from legal counsel, accountants, any person presenting Shares for deposit, any Owner
or Holder, or any other person believed by it in good faith to be competent to give such advice or information. Each of the Depositary
and the Company may rely, and shall be protected in relying upon, any written notice, request, direction or other document believed by
it to be genuine and to have been signed or presented by the proper party or parties. The Depositary shall not be liable for any acts
or omissions made by a successor depositary whether in connection with a previous act or omission of the Depositary or in connection with
a matter arising wholly after the removal or resignation of the Depositary, provided that in connection with the issue out of which such
potential liability arises, the Depositary performed its obligations without negligence or bad faith while it acted as Depositary. The
Depositary shall not be liable for the acts or omissions of any securities depository, clearing agency or settlement system in connection
with or arising out of book-entry settlement of American Depositary Shares or Deposited Securities or otherwise. In the absence of bad
faith on its part, the Depositary shall not be responsible for any failure to carry out any instructions to vote any of the Deposited
Securities or for the manner in which any such vote is cast or the effect of any such vote. The Depositary shall have no duty to make
any determination or provide any information as to the tax status of the Company. Neither the Depositary nor the Company shall have any
liability for any tax consequences that may be incurred by Owners or Holders as a result of owning or holding American Depositary Shares.
Neither the Depositary nor the Company shall be liable for the inability or failure of an Owner or Holder to obtain the benefit of a foreign
tax credit, reduced rate of withholding or refund of amounts withheld in respect of tax or any other tax benefit.

 

    A-18

    

    

 

	19.	RESIGNATION AND REMOVAL OF THE DEPOSITARY; APPOINTMENT OF SUCCESSOR CUSTODIAN.

 

The Depositary may at any
time resign as Depositary under the Deposit Agreement by written notice of its election so to do delivered to the Company, to become effective
upon the appointment of a successor depositary and its acceptance of such appointment as provided in the Deposit Agreement. The Depositary
may at any time be removed by the Company by 90 days’ prior written notice of that removal, to become effective upon the later of
(i) the 90th day after delivery of the notice to the Depositary and (ii) the appointment of a successor depositary and its acceptance
of its appointment as provided in the Deposit Agreement. The Depositary in its discretion may at any time appoint a substitute or additional
custodian or custodians.

 

	20.	AMENDMENT.

 

The form of the Receipts and
any provisions of the Deposit Agreement may at any time and from time to time be amended by agreement between the Company and the Depositary
without the consent of Owners or Holders in any respect which they may deem necessary or desirable. Any amendment that would impose or
increase any fees or charges (other than taxes and other governmental charges, registration fees, cable (including SWIFT) or facsimile
transmission costs, delivery costs or other such expenses), or that would otherwise prejudice any substantial existing right of Owners,
shall, however, not become effective as to outstanding American Depositary Shares until the expiration of 30 days after notice of that
amendment has been Disseminated to the Owners of outstanding American Depositary Shares. Every Owner and Holder, at the time any amendment
so becomes effective, shall be deemed, by continuing to hold American Depositary Shares or any interest therein, to consent and agree
to that amendment and to be bound by the Deposit Agreement as amended thereby. Upon the effectiveness of an amendment to the form of Receipt,
including a change in the number of Shares represented by each American Depositary Share, the Depositary may call for surrender of Receipts
to be replaced with new Receipts in the amended form or call for surrender of American Depositary Shares to effect that change of ratio.
In no event shall any amendment impair the right of the Owner to surrender American Depositary Shares and receive delivery of the Deposited
Securities represented thereby, except in order to comply with mandatory provisions of applicable law.

 

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	21.	TERMINATION OF DEPOSIT AGREEMENT.

 

(a)            The
Company may initiate termination of the Deposit Agreement by notice to the Depositary. The Depositary may initiate termination of the
Deposit Agreement if (i)at any time 90 days shall have expired after the Depositary delivered to the Company a written resignation notice
and a successor depositary has not been appointed and accepted its appointment as provided in Section 5.4 of the Deposit Agreement
or (ii) a Termination Option Event has occurred. If termination of the Deposit Agreement is initiated, the Depositary shall Disseminate
a notice of termination to the Owners of all American Depositary Shares then outstanding setting a date for termination (the “Termination
Date”), which shall be at least 90 days after the date of that notice, and the Deposit Agreement shall terminate on that Termination
Date.

 

(b)            After
the Termination Date, the Company shall be discharged from all obligations under the Deposit Agreement except for its obligations to the
Depositary under Sections 5.8 and 5.9 of the Deposit Agreement.

 

(c)            At
any time after the Termination Date, the Depositary may sell the Deposited Securities then held under the Deposit Agreement and may thereafter
hold uninvested the net proceeds of any such sale, together with any other cash then held by it hereunder, unsegregated and without liability
for interest, for the pro rata benefit of the Owners of American Depositary Shares that remain outstanding, and those Owners will be general
creditors of the Depositary with respect to those net proceeds and that other cash. After making that sale, the Depositary shall be discharged
from all obligations under the Deposit Agreement, except (i) to account for the net proceeds and other cash (after deducting, in
each case, the fee of the Depositary for the surrender of American Depositary Shares, any expenses for the account of the Owner of such
American Depositary Shares in accordance with the terms and conditions of the Deposit Agreement and any applicable taxes or governmental
charges) and pay them to Owners upon surrender of American Depositary Shares in accordance with Section 2.5 of the Deposit Agreement
and, (ii) for its obligations under Section 5.8 of the Deposit Agreement and (iii) to act as provided in paragraph (d) below.

 

    A-20

    

    

 

(d)            After
the Termination Date, if any American Depositary Shares remain outstanding, the Depositary shall continue to receive dividends and other
distributions pertaining to Deposited Securities (that have not been sold), may sell rights and other property as provided in the Deposit
Agreement and shall deliver Deposited Securities (or sale proceeds) upon surrender of American Depositary Shares (after payment or upon
deduction, in each case, of the fee of the Depositary for the surrender of American Depositary Shares, any expenses for the account of
the Owner of those American Depositary Shares in accordance with the terms and conditions of the Deposit Agreement and any applicable
taxes or governmental charges). After the Termination Date, the Depositary shall not accept deposits of Shares or deliver American Depositary
Shares. After the Termination Date, (i) the Depositary may refuse to accept surrenders of American Depositary Shares for the purpose
of withdrawal of Deposited Securities (that have not been sold) or reverse previously accepted surrenders of that kind that have not settled
if in its judgment the requested withdrawal would interfere with its efforts to sell the Deposited Securities, (ii) the Depositary
will not be required to deliver cash proceeds of the sale of Deposited Securities until all Deposited Securities have been sold and (iii) the
Depositary may discontinue the registration of transfers of American Depositary Shares and suspend the distribution of dividends and other
distributions on Deposited Securities to the Owners and need not give any further notices or perform any further acts under the Deposit
Agreement except as provided in Section 6.2 of the Deposit Agreement.

 

	22.	DTC DIRECT REGISTRATION SYSTEM AND PROFILE MODIFICATION SYSTEM.

 

(a)            Notwithstanding
the provisions of Section 2.4 of the Deposit Agreement, the parties acknowledge that DTC’s Direct Registration System (“DRS”)
and Profile Modification System (“Profile”) apply to the American Depositary Shares upon acceptance thereof to DRS
by DTC. DRS is the system administered by DTC that facilitates interchange between registered holding of uncertificated securities and
holding of security entitlements in those securities through DTC and a DTC participant. Profile is a required feature of DRS that allows
a DTC participant, claiming to act on behalf of an Owner of American Depositary Shares, to direct the Depositary to register a transfer
of those American Depositary Shares to DTC or its nominee and to deliver those American Depositary Shares to the DTC account of that DTC
participant without receipt by the Depositary of prior authorization from the Owner to register that transfer.

 

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(b)            In
connection with DRS/Profile, the parties acknowledge that the Depositary will not determine whether the DTC participant that is claiming
to be acting on behalf of an Owner in requesting registration of transfer and delivery as described in paragraph (a) above has the
actual authority to act on behalf of that Owner (notwithstanding any requirements under the Uniform Commercial Code). For the avoidance
of doubt, the provisions of Sections 5.3 and 5.8 of the Deposit Agreement apply to the matters arising from the use of the DRS/Profile.
The parties agree that the Depositary’s reliance on and compliance with instructions received by the Depositary through the DRS/Profile
system and otherwise in accordance with the Deposit Agreement, shall not constitute negligence or bad faith on the part of the Depositary.

 

	23.	APPOINTMENT OF AGENT FOR SERVICE OF PROCESS; SUBMISSION TO JURISDICTION; JURY TRIAL WAIVER; WAIVER OF
IMMUNITIES.

 

The Company has (i) appointed
______________________________________ as the Company's authorized agent in the United States upon which process may be served in any
suit or proceeding arising out of or relating to the Shares or Deposited Securities, the American Depositary Shares, the Receipts or the
Deposit Agreement, (ii) consented and submitted to the jurisdiction of any state or federal court in the State of New York in which
any such suit or proceeding may be instituted, and (iii) agreed that service of process upon said authorized agent shall be deemed
in every respect effective service of process upon the Company in any such suit or proceeding.

 

EACH PARTY TO THE DEPOSIT
AGREEMENT (INCLUDING, FOR AVOIDANCE OF DOUBT, EACH OWNER AND HOLDER) THEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE
LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN ANY SUIT, ACTION OR PROCEEDING AGAINST THE COMPANY AND/OR THE DEPOSITARY DIRECTLY
OR INDIRECTLY ARISING OUT OF OR RELATING TO THE SHARES OR OTHER DEPOSITED SECURITIES, THE AMERICAN DEPOSITARY SHARES OR THE RECEIPTS,
THE DEPOSIT AGREEMENT OR ANY TRANSACTION CONTEMPLATED HEREIN OR THEREIN, OR THE BREACH HEREOF OR THEREOF, INCLUDING, WITHOUT LIMITATION,
ANY QUESTION REGARDING EXISTENCE, VALIDITY OR TERMINATION (WHETHER BASED ON CONTRACT, TORT OR ANY OTHER THEORY) AND ANY CLAIM BASED ON
U.S. FEDERAL SECURITIES LAWS.

 

No disclaimer of liability
under the United States federal securities laws or the rules and regulations thereunder is intended by any provision of the Deposit
Agreement, inasmuch as no person is able to effectively waive the duty of any other person to comply with its obligations under those
laws, rules and regulations.

 

To the extent that the Company
or any of its properties, assets or revenues may have or hereafter become entitled to, or have attributed to it, any right of immunity,
on the grounds of sovereignty or otherwise, from any legal action, suit or proceeding, from the giving of any relief in any respect thereof,
from setoff or counterclaim, from the jurisdiction of any court, from service of process, from attachment upon or prior to judgment, from
attachment in aid of execution or judgment, or other legal process or proceeding for the giving of any relief or for the enforcement of
any judgment, in any jurisdiction in which proceedings may at any time be commenced, with respect to its obligations, liabilities or any
other matter under or arising out of or in connection with the Shares or Deposited Securities, the American Depositary Shares, the Receipts
or the Deposit Agreement, the Company, to the fullest extent permitted by law, hereby irrevocably and unconditionally waives, and agrees
not to plead or claim, any such immunity and consents to such relief and enforcement.

 

    A-22Document

Exhibit 10.1

AMENDMENT TO OPTION AND EQUITY PURCHASE AGREEMENT
THIS AMENDMENT (this “Amendment”), entered into and effective as of June 17, 2022, is made by and among (a) Bioventus LLC, a Delaware limited liability company (“Buyer”), (b) CartiHeal (2009) Ltd., an Israeli private company registered under number 514279645 (the “Company”) and (c) Elron Ventures Ltd. (formerly known as Elron Electronic Industries Ltd.), an Israeli public company, in its capacity as the Securityholder Representative (the “Securityholder Representative”), and amends that certain Option and Equity Purchase Agreement (the “Agreement”), dated July 15, 2020, by and among Buyer, the Company, the Securityholder Representative and the Securityholders party thereto. Buyer, the Company and the Securityholder Representative are collectively referred to herein as the “Parties” and, each individually, as a “Party.” Capitalized terms used but not otherwise defined herein shall have the meanings set forth in the Agreement.

RECITALS

    WHEREAS, Section 11.04 of the Agreement provides that the Agreement may be may be amended, supplemented or modified by written instrument making specific reference to the Agreement and signed by the Company, Buyer and the Securityholder Representative, and that any amendment of the Agreement as to which the Securityholder Representative has given its written consent shall be binding upon and effective against the Securityholders whether or not they have signed such amendment; 

    WHEREAS, it is acknowledged that (i) the Regulatory Approval Milestone has been achieved, (ii) the Agreed Milestone Achievement Date is April 4, 2022, and (iii) the Call Option Exercise Notice was delivered by Buyer on the Agreed Milestone Achievement Date and prior to the expiration of the Call Option Exercise Period; and

    WHEREAS, the Parties wish to amend the Agreement on the terms set forth herein. 

    NOW, THEREFORE, in exchange for good and valuable consideration, the sufficiency of which is hereby acknowledged, the Parties, intending to be legally bound hereby, hereby agree as follows:

Article I. Amendments

1.Section 1.01 of the Agreement is hereby amended as follows:
A.A new definition of “Additional Publication Milestone” is added to Section 1.01 of the Agreement as follows: 
“Additional Publication Milestone” means publication, after the Second Paper Milestone, in a peer-reviewed orthopedic journal of any additional paper (whether by or on behalf of Buyer, the Company, any of their Affiliates, or any physician or researcher whatsoever, and whether in print or electronic media) presenting new or additional clinical data with respect to the Initial Device.
B.A new definition of “Additional Publication Payment” is added to Section 1.01 of the Agreement as follows: 
“Additional Publication Payment” means an amount in cash equal to $25,000,000.
C.A new definition of “Additional Publication Tranche” is added to Section 1.01 of the Agreement as follows: 
“Additional Publication Tranche” means an amount in cash equal to (a) the Additional Publication Payment plus (b) the Applicable Interest minus (c) any Tranche Set Off Amount. 
D.The definition of “Adjustment Escrow Fund” is deleted in its entirety. 
E.The definition of Aggregate Closing Consideration is deleted in its entirety and replaced as follows: 
“Aggregate Closing Consideration” means the difference between the Closing Purchase Consideration and the Securityholder Expense Fund.
F.A new definition of “Agreed Closing Date” is added to Section 1.01 of the Agreement as follows: 
“Agreed Closing Date” means July 5, 2022. 
G.A new definition of “Agreed Reimbursement Code” is added to Section 1.01 of the Agreement as follows: 
“Agreed Reimbursement Code” means a U.S. Category 1 CPT reimbursement code from CMS for the Initial Device. 
H.A new definition of “Annual Interest Payment” is added to Section 1.01 of the Agreement as follows: 
“Annual Interest Payment” means, with respect to any Annual Interest Period, an amount in cash equal to the simple interest accrued during such Annual Interest Period on any Post-Closing Payment that was not paid prior to or during such Annual Interest Period, calculated at the rate of 8.0% per annum, based on a 365-day year.
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I.A new definition of “Annual Interest Period” is added to Section 1.01 of the Agreement as follows: 
“Annual Interest Period” means, until such time as all Post-Closing Payments have been made pursuant to this Agreement, each twelve (12) month period preceding each anniversary of the Closing Date. 
J.A new definition of “Applicable Accrued Interest” is added to Section 1.01 of the Agreement as follows: 
“Applicable Accrued Interest” means, with respect to any Post-Closing Payment, an amount in cash equal to the simple interest accrued on such Post-Closing Payment during the Annual Interest Period in which the Post-Closing Payment Date or Acceleration Date, as applicable, occurs and to the extent not previously paid in connection with payment of an Annual Interest Payment for such Annual Interest Period, calculated at the rate of 8.0% per annum, based on a 365-day year. 
K.A new definition of “Applicable Interest” is added to Section 1.01 of the Agreement as follows: 
“Applicable Interest” means, with respect to a Post-Closing Payment, each Annual Interest Payment for such Post-Closing Payment and any Applicable Accrued Interest that becomes payable with respect to such Post-Closing Payment, in each case, in accordance with Section 3.09.
L.A new definition of “Bankruptcy Code” is added to Section 1.01 of the Agreement as follows: 
“Bankruptcy Code” means Title 11 of the United States Code entitled “Bankruptcy,” as now and hereafter in effect, or any successor statute.
M.The definition of the “Base Purchase Consideration” is deleted in its entirety.
N.A new definition of “Burn Rate Amount” is added to Section 1.01 of the Agreement as follows: 
“Burn Rate Amount” means the amount of cash (which shall in no event exceed $750,000 in any thirty (30) day period) spent by the Company since 12:01 am Israel time on May 17, 2022 and until 12:01 am on the Closing Date.
O.The definition of “Buyer Entity” is deleted in its entirety and replaced as follows:
“Buyer Entity” means Buyer, Parent (including any successor thereof) and their respective controlled Affiliates. 
P.The definition of “Buyer Fundamental Change” is deleted in its entirety and replaced as follows: 
“Buyer Fundamental Change” means  (a) a merger or other consolidation involving Buyer or Parent where Buyer or Parent, as applicable, is not the surviving or remaining entity (other than any merger or consolidation solely involving Buyer or Parent, on the one hand, and a wholly owned  Affiliate of Buyer or Parent, on the other hand) , or (b) a sale of all or substantially all of the assets of Buyer or Parent, to another Person (other than to a wholly owned Affiliate of Buyer or Parent), or (c) a transaction following which the stockholders of Buyer or Parent, as applicable, immediately prior to such transaction, do not, immediately following such transaction, continue to hold at least the majority of the voting or economic power of the equity interest of Buyer and/or Parent, as applicable, or (d) a transaction following which a “person” (as such term is used in Sections 13(d) and 14(d) of the Exchange Act),  is or becomes the “beneficial owner” (as defined in Rules 13d-3 and 13d-5 of the Exchange Act as in effect on the Effective Date) of more than 35% (except that only with respect to each of EW Healthcare Partners LP and Smith & Nephew, of more than 50%) of the voting or economic power of the equity interests of Buyer and/or Parent, as applicable, or (e) to the extent that Buyer, if a wholly owned Subsidiary of Parent and not Parent itself, shall no longer be (directly or indirectly) a wholly owned Subsidiary of Parent.  
Q.A new definition of “Buyer Insolvency Event” is added to Section 1.01 of the Agreement as follows: 
 “Buyer Insolvency Event” means the occurrence of any of the following events with respect to a Relevant Person: 
(a) the entry of a decree or order for relief by a court of competent jurisdiction in respect of a Relevant Person in an involuntary case under the Bankruptcy Code or under any other applicable bankruptcy, insolvency or similar law now or hereafter in effect, or any other similar relief is granted under any applicable federal or state law; 
(b) (i) the commencement of an involuntary case against a Relevant Person under the Bankruptcy Code or under any other applicable bankruptcy, insolvency or similar law now or hereafter in effect, (ii) the entry of a decree or order of a court having jurisdiction in the 
2

premises for the appointment of a receiver, liquidator, sequestrator, trustee, custodian or other officer having similar powers over a Relevant Person, or over all or a substantial part of its property or (iii) the involuntary appointment of an interim receiver, trustee or other custodian of a Relevant Person for all or a substantial part of its property; or the issuance of a warrant of attachment, execution or similar process against any substantial part of the property of a Relevant Person, and any such event described in this clause (b) continues for sixty (60) days without having been dismissed,; or
(c) the entry of an order for relief is entered with respect to a Relevant Person;
(d) a Relevant Person commences of a voluntary case under the Bankruptcy Code or under any other applicable bankruptcy, insolvency or similar law now or hereafter in effect; 
(e) a Relevant Person consents to the entry of an order for relief in an involuntary case, or to the conversion of an involuntary case to a voluntary case, under any such law, or consents to the appointment of or taking possession by a receiver, trustee or other custodian for all or a substantial part of its property; 
(f) a Relevant Person makes any assignment for the benefit of creditors; 
(g) the calling by a Relevant Person of a meeting of creditors for the purpose of entering into a scheme or arrangement with them;
(h)(i) a Relevant Person substantially ceases to conduct business for thirty (30) days or more, or (ii) the business of a Relevant Person is suspended, substantially curtailed or ceased for a period longer than forty five (45) days;
(i) a Relevant Person becomes unable, or fails generally, or admits in writing its inability, to pay its debts as such debts become due; 
(j) a Relevant Person becomes insolvent on any given date based on a balance sheet test;
(k)  the board of directors of a Relevant Person (or any committee thereof which resolution is not subject to approval of the board of directors) adopts any resolution or otherwise authorizes any action to approve any of the actions referred to in clauses (b) through  (j) above, to the extent applicable; or
(l) any creditor of a Relevant Person declares an event of default on any debt instrument of such Relevant Person with a value of at least US$10,000,000.
R. The definition of “Closing Cash” is deleted in its entirety and replaced as follows:  
“Closing Cash” means (i) the aggregate amount of unrestricted cash and cash equivalents held by the Company and the Company Subsidiaries as of 12:01 am Israel time on May 17, 2022, (a) net of all checks written (but not yet cashed), outbound wire transfers sent (but not yet cleared) and (b) credited for all checks received (but not yet cashed) and wire transfers received (but not yet cleared), plus (ii) the Burn Rate Amount, plus (iii) the amount of US$3,000,000 plus applicable VAT payable to CS pursuant to the CS Agreement at the Closing Date (which shall be payable by the Payment Agent directly to CS). 
S.The definition of “Closing Indebtedness” is deleted in its entirety and replaced as follows: 
“Closing Indebtedness” means the aggregate amount of Indebtedness of the Company and the Company Subsidiaries as of 12:01 am Israel time on May 17, 2022. 
T.A new definition of “Closing Purchase Consideration” is added to Section 1.01 of the Agreement as follows: 
“Closing Purchase Consideration” means an amount in cash equal to (a) US$100,000,000 (which, for the avoidance of doubt, shall not be multiplied by the Securityholder Ownership Percentage), plus (b) the Aggregate Exercise Price, minus (c) the sum of (i) the amount of Estimated Closing Indebtedness and (ii) the amount of Estimated Unpaid Company Transaction Expenses and (iii) the Estimated Closing Working Capital Shortfall, plus (d) the amount of Estimated Closing Cash”.
U.The definition of “Closing Working Capital” is deleted in its entirety and replaced as follows: 
“Closing Working Capital” means Working Capital as of 12:01 am Israel time on May 17, 2022.  By way of illustration only, the calculation of Working Capital as of the close of business on March 31, 2020, is set forth on Schedule 1.01(b).
V.A new definition of “Continuing Claim” is added to Section 1.01 of the Agreement as follows: 
“Continuing Claim” means any amount which Buyer notifies the Securityholder Representative in writing that Buyer determines in good faith to be necessary to satisfy all claims for indemnification, compensation or reimbursement that have been asserted, but not resolved on or prior to the due payment of any Post-Closing Tranche and/or the Sales Milestone Consideration, in accordance with and subject to the limitations of and procedures set forth under Article X.
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W. The definition of “Company Divestiture” is amended to that, following the end of the existing definition, the following shall be added: 
“Notwithstanding anything herein to the contrary, prior to the payment in full of all Post-Closing Payments, “Company Divestiture” shall also mean, in addition to all of the foregoing: (i) any disposition in the Company’s share capital, whether as a result of issuance of new, or transfer of existing, securities of the Company, provided however, that (x) subject to all of the other limitations set forth hereunder, Buyer shall be permitted to transfer all (but not less than all) of the holdings in the Company to another Buyer Entity which is fully owned, directly or indirectly, by Buyer Parent subject to a prior written notice to the Securityholder Representative, to the extent that a condition precedent to such transfer shall be that such Buyer Entity receiving such holdings becomes a party to this Agreement, executes and perfects the applicable Pledge Agreement in connection with such holdings, and that Buyer and Parent shall remain liable for their entire obligations hereunder in accordance with the provisions hereof and the Guaranteed Obligations),  (ii) any sale, transfer, license, disposition, in any manner whatsoever, of any portion of the Company’s rights and interests in the Initial Device and/or any Company IP and/or any coral inventory, implants in process or finished goods (except for sales of finished goods in the ordinary course of business), surgical tools sets, rights and title to regulatory approvals, assets and rights related to manufacturing, including any developments, inventions or creations made to any such Company IP or other assets, and (iii) any action of Buyer which shall result in cessation of the operation of the manufacturing line of the Company in Israel or the disposal of any of the designated machines, operational, active and calibrated related thereto, and the handling of all operations related to the Initial Device and/or the Company IP through the Company as a separate legal entity, provided however, that (i) the parallel operation of an additional manufacturing line for the Initial Device outside of the State of Israel (provided that the manufacturing line in Israel shall be operated at a minimal level of at least 1000 Initial Devices per annum), and (ii) commercial sales and marketing operations of the Initial Device by Buyer and its Affiliates outside of Israel (in each case, subject to all other restrictions contained herein) shall not be deemed as a Company Divestiture. For the avoidance of doubt, any such sale, transfer, or other disposition contemplated above may occur in connection with or as the result of any Buyer Fundamental Change, subject to the acceleration provisions set forth under Section 3.9 hereof. For purposes of this definition of Company Divestiture, all references to Buyer will be deemed to include any successor-in-interest to Buyer or any direct or indirect parent entity or holding company of Buyer or such successor-in-interest.
X.A new definition of “Employees Deferred Bonus” is added to Section 1.01 as follows: 
“Employees Deferred Bonus” means an aggregate amount of up to US$1,250,000, payable as a one-time retention bonus to certain employees and consultants of the Company as follows: (i) aggregate amount of up to US$625,000 upon and subject to the actual payment of the First Paper Tranche by Buyer to the Securityholders, and (ii) additional aggregate amount of up to US$625,000 upon and subject to the actual payment of the Implantation Tranche by Buyer to the Securityholders; all of the foregoing, in accordance with such allocation between such employees and consultants as shall be directed by the Securityholder Representative and provided, with respect to each such employee or consultant, that he/she are still engaged by the Company at the relevant time for payment of such bonus (and otherwise distributed to Securityholders in accordance with the Consideration Spreadsheet, as the Securityholder Representative shall instruct the Payment Agent).
Y.The definition of “Equity Purchase Consideration” is deleted in its entirety and replaced as follows:
“Equity Purchase Consideration” means the Aggregate Closing Consideration plus the amount of the Post-Closing Payments. 
Z.A new definition of “Escrow Agreement Amendment” is added to Section 1.01 as follows: 
“Escrow Agreement Amendment” means an amendment to the Escrow Agreement in a form to be agreed upon between the parties to the Escrow Agreement prior to the Closing, which shall include adjustments required in order to comply with the provisions of this Amendment, and the deposit at the Closing in escrow of the entire share capital of the Company acquired by Buyer with the Escrow Agent (including blank executed share transfer deeds allowing for the transfer thereof in accordance with the instructions of the Securityholder Representative) and a mechanism according to which, upon a written notice of the Securityholder Representative to the Escrow Agent about the occurrence of an Acceleration Event, be automatically and immediately transferred and allocated to the Securityholders in accordance with the instructions of the Securityholder Representative. 
AA.A new definition of “First Paper Milestone” is added to Section 1.01 of the Agreement as follows: 
“First Paper Milestone” means publication, after the Closing, in a peer-reviewed orthopedic journal of an article (whether in print or electronic media) that presents the results of Pivotal Clinical Trial. 
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AB.A new definition of “First Paper Payment” is added to Section 1.01 of the Agreement as follows: 
“First Paper Payment” means an amount in cash equal to $50,000,000.
AC.A new definition of “First Paper Tranche” is added to Section 1.01 of the Agreement as follows: 
“First Paper Tranche” means an amount in cash equal to (a) the First Paper Payment plus (b) the Applicable Interest minus (c) any Tranche Set Off Amount. 
AD.The definition of “Indebtedness” is deleted in its entirety and replaced as follows: 
“Indebtedness” of any Person means (a) all obligations of such Person for borrowed money, whether current or funded, secured or unsecured, contingent or otherwise, all obligations of such Person evidenced by bonds, debentures, notes or similar instruments, and any interest, premium, fees, penalties unpaid and owing with respect to the foregoing Liabilities (including any costs and fees incurred with prepaying or redeeming any such Liabilities and any related hedging arrangements), (b) all obligations of such Person for the deferred purchase price of property or services, (c) all obligations of such Person in respect of any lease of (or other arrangement conveying the right to use) real property or personal property, or a combination thereof, which obligations are required to be classified and accounted for under IFRS as capital leases, (d) any payment obligation of such Person in respect of interest under any existing interest rate swap or hedge agreement, (e) any negative cash or overdraft balances with respect to any bank account in the name of such Person, (f) all Liabilities of others secured by any Encumbrance on any asset of such Person (whether or not the Liability secured thereby has been assumed by such Person); (g) all Liabilities of such Person under any letter of credit, banker’s acceptance or similar credit transaction, and (h) all guarantees by such Person of any of the foregoing Liabilities of any other Person; but specifically excluding from clauses (a) through (h) above: (i) any Liabilities to the IIA; (ii) Liabilities repaid or terminated prior to the Closing; (iii) Company Transaction Expenses; and (iv) intercompany Liabilities solely between the Company and any of its Subsidiaries.
AE.The definition of “Indemnity Escrow Fund” is deleted in its entirety. 
AF.A new definition of “Implantation Milestone” is added to Section 1.01 of the Agreement as follows: 
“Implantation Milestone” means the implantation of the Initial Device in 100 patients in the United States (whether as part of commercialization of the Initial Device or as part of any clinical trial with respect to the Initial Device (but excluding implantation of the Initial Device in connection with the Pivotal Clinical Trial)). 
AG.A new definition of “Implantation  Payment” is added to Section 1.01 of the Agreement as follows: 
“Implantation Payment” means an amount in cash equal to $50,000,000.
AH.A new definition of “Implantation Tranche” is added to Section 1.01 of the Agreement as follows: 
“Implantation Tranche” means an amount in cash equal to (a) the Implantation Payment plus (b) the Applicable Interest minus (c) any Tranche Set Off Amount. 
AI.A new definition of “Payment Dispute” is added to Section 1.01 of the Agreement as follows: 
“Payment Dispute” means any Section 3.06(b) Dispute and any Section 3.09(b) Dispute. 
AJ.A new definition of “Payment Agent Agreement Amendment” is added to Section 1.01 of the Agreement as follows: 
“Payment Agent Agreement Amendment” means an amendment to the Payment Agent Agreement, which shall include adjustments required in order to comply with the provisions of this Amendment, in a form to be agreed upon between the parties to the Payment Agent Agreement prior to the Closing.  
AK.A new definition of “Payment Pro Rata Share” is added to Section 1.01 of the Agreement as follows: 
“Payment Pro Rata Share” means, with respect to any Person, the actual portion of the applicable payment such Person is entitled to receive out of such payment, as set forth in the Consideration Spreadsheet.
AL.A new definition of “Perfection Materials” is added to Section 1.01 of the Agreement as follows: 
“Perfection Materials” means duly executed original signatures of Buyer (together with Buyer’s stamp) to the Pledge Agreements and any ancillaries thereto and duly executed original notices 
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to the Israeli Registrar of Companies and the Israeli Registrar of Pledges for the registration of the pledges under the Pledge Agreements, together with evidence reasonably satisfactory to the Securityholder Representative that all other actions required to have been taken by Buyer, the Company or any other party to the Pledge Agreements, other than the Securityholder Representative, shall have been taken and all consents and other authorizations by Buyer, the Company or any other party to the Pledge Agreements, other than the Securityholder Representative, shall have been obtained, all in accordance with the terms of the Pledge Agreements.   
AM.A new definition of “Pledge Agreements” is added to Section 1.01 of the Agreement as follows: 
“Pledge Agreements” means (a) first ranking fixed pledge agreements pursuant to which Buyer shall pledge the share capital of the Company and the Company shall pledge the Intellectual Property of the Company in favor of the Securityholders, and the Company shall create in their favor also a first ranking floating pledge over the assets of the Company, with the Securityholder Representative acting as agent for the Securityholders, in order to secure payment of the Post Closing Tranches and any other amounts due (including without limitation, costs and expenses incurred in connection with enforcement of such pledges) in accordance with the provisions hereof and thereof, which pledge agreements, jointly with all annexes and exhibits thereof, and (b)  a first ranking pledge created pursuant to an Intellectual Property Security Agreement executed by the Company in favor of the Securityholders with the Securityholder Representative acting as agent for the Securityholders (the “US Pledge Agreement”); all of which as may be modified or restated from time to time in accordance with their terms and  in form and substance reasonably acceptable to Buyer, the Company and the Securityholder Representative prior to the Closing.
AN.The definition of “Pre-Closing Tax Period” is deleted in its entirety and replaced as follows: 
“Pre-Closing Tax Period” means any Tax period ending on or before the Closing Date and that portion of any Straddle Period ending on (and including) May 17, 2022. 
AO.A new definition of “Post-Closing Milestones” is added to Section 1.01 of the Agreement as follows: 
“Post-Closing Milestones” means the First Paper Milestone, the Implantation Milestone, the Second Paper Milestone, the Additional Publication Milestone and the Reimbursement Code Milestone.
AP.A new definition of “Post-Closing  Payments” is added to Section 1.01 of the Agreement as follows: 
“Post-Closing  Payments” means each of the First Paper Payment, the Implantation Payment, the Second Paper Payment, the Additional Publication Payment and the Reimbursement Code Payment. 
AQ.A new definition of “Post-Closing Payment Date” is added to Section 1.01 of the Agreement as follows: 
“Post-Closing Payment Date” means each of the First   Paper Payment Date, the Implantation Payment Date, the Second Paper Payment Date, the Additional Publication Payment Date and the  Reimbursement Code Payment Date.
AR.A new definition of “Post-Closing Tranches” is added to Section 1.01 of the Agreement as follows: 
“Post-Closing Tranches” means each of the First Paper Tranche, the Implantation Tranche, the Second Paper Tranche, the Additional Publication Tranche and the Reimbursement Code Tranche.
AS. A new definition of “Reimbursement Code Milestone” is added to Section 1.01 of the Agreement as follows: 
“Reimbursement Code Milestone” means the achievement of a U.S. category 1 CPT reimbursement code from the Centers for Medicare and Medicaid Services for the Initial Device.
AT.A new definition of “Reimbursement Code Payment” is added to Section 1.01 of the Agreement as follows: 
“Reimbursement Code Payment” means an amount in cash equal to $65,000,000.
AU.A new definition of “Reimbursement Code Tranche” is added to Section 1.01 of the Agreement as follows:
“Reimbursement Code Tranche” means an amount in cash equal to (a) the Reimbursement Code Payment plus (b) the Applicable Interest minus (c) any Tranche Set Off Amount. 
AV.A new definition of “Relevant Person” is added to Section 1.01 of the Agreement as follows: 
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“Relevant Person” means Parent, Buyer or any direct or indirect wholly owned Subsidiary of Parent or Buyer (in each case, other than any immaterial subsidiary). 
AW.The definition of “Sales Milestone Consideration” is deleted in its entirety and replaced as follows: 
“Sales Milestone Consideration” means an amount in cash equal to (a) the product of (i) $150,000,000 multiplied by (ii) the Securityholder Ownership Percentage minus (b) any Milestone Set Off Amount plus (c) the amount of US$1,000,000 plus applicable VAT payable to CS pursuant to the CS Agreement upon payment of the Sales Milestone Consideration.
AX.The definition of “Sales Milestone” is deleted in its entirety and replaced as follows: 
“Sales Milestone” means Sales, over any consecutive twelve (12) calendar month period, in excess of $75,000,000. 
AY.A new definition of “Second Paper Milestone” is added to Section 1.01 of the Agreement as follows: 
“Second Paper Milestone” means publication, after the First Paper Milestone, in a peer-reviewed orthopedic journal of any additional paper (whether by or on behalf of Buyer, the Company, any of their Affiliates, or any physician or researcher whatsoever, and whether in print or electronic media) presenting new or additional clinical data with respect to the Initial Device.
AZ.A new definition of “Second Paper Payment” is added to Section 1.01 of the Agreement as follows: 
“Second Paper Payment” means an amount in cash equal to $25,000,000.
BA.A new definition of “Second Paper Tranche” is added to Section 1.01 of the Agreement as follows:
“Second Paper Tranche” means an amount in cash equal to (a) the Second Paper Payment plus (b) the Applicable Interest minus (c) any Tranche Set Off Amount. 
BB. The definition of “Securityholder Expense Fund” is deleted in its entirety and replaced as follows: 
“Securityholder Expense Fund” means an amount in cash equal to (i) US$200,000 plus (ii) the Tax Ruling Expenses, as shall be notified in writing by the Securityholder Representative to the Payment Agent. 
BC.The definition of “Straddle Period” is deleted in its entirety and replaced as follows: 
“Straddle Period” shall mean any taxable period beginning on or before the Closing Date and ending after May 17, 2022. 
BD.A new definition of “Tax Ruling Expenses” is added to Section 1.01 of the Agreement as follows: 
“Tax Ruling Expenses” means the aggregate amount of the Company Transaction Expenses payable to Alter Attorneys at Law, pending results of the Option Tax Ruling (and otherwise distributed to Securityholders in accordance with the Consideration Spreadsheet, as the Securityholder Representative shall instruct the Payment Agent).
BE.A new definition of “Tranche Set Off Amount” is added to Section 1.01 of the Agreement as follows: 
“Tranche Set Off Amount” means, as of any relevant date of determination, an amount in cash equal to the aggregate Shortfall Amount or Damages for which Buyer has elected to exercise the Set Off Right in accordance with Section 3.04(b) or Section 10.03(i), as applicable, and that have not previously been applied in satisfaction of Buyer’s obligation to pay any Post-Closing Tranche or the Sales Milestone Consideration, but subject always to the limitations set forth under Section 10.03(b) hereto. 
BF.The definition of “Unpaid Company Transaction Expenses” is deleted in its entirety and replaced as follows: 
“Unpaid Company Transaction Expenses” means any Company Transaction Expenses that have not been paid as of 12:01 a.m.  Pacific time on the Closing Date, specifically excluding (i) any Company Transaction Expenses payable to Credit Suisse Securities (USA) LLC (“CS”) pursuant to that agreement dated January 1, 2020 (the “CS Agreement”), and (ii) the Tax Ruling Expenses, and (iii) the Employees Deferred Bonus. 
BG.A new definition of “Unpaid Post-Closing Tranche Amount” is added to Section 1.01 of the Agreement as follows: 
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“Unpaid Post-Closing Tranche Amount” means an amount in cash equal to the aggregate amount of all Post-Closing Payments that have not previously been deposited with the Payment Agent or otherwise paid to the Securityholders as of the Acceleration Date, together with all Applicable Accrued Interest with respect thereto.  
2.Section 3.01 of the Agreement is deleted in its entirety and replaced as follows: 
Section 3.01 Closing.  The consummation of the transactions contemplated by this Agreement (the “Closing”) shall take place electronically by exchange of PDF copies of documents on a date and at a time to be specified by the parties, which shall be no later than the Agreed Closing Date (unless otherwise agreed in writing by the Buyer, the Company and the Securityholder Representative in each of their sole discretion)  subject to the satisfaction or waiver of the last of the conditions set forth in Article VIII to be satisfied or waived (other than those conditions that by their nature are to be satisfied at the Closing).  The date on which the Closing actually takes place is referred to in this Agreement as the “Closing Date” and the Closing shall be deemed to have occurred as of 11:59 p.m.  North Carolina time on the Closing Date (the “Effective Time”).
3.A new clause (xiii) is added to Section 3.02(a) of the Agreement as follows: 
(xiii) the Escrow Agreement Amendment duly executed by the Company.  

4.Section 3.02(b) of the Agreement is deleted in its entirety and replaced as follows: 
(b) the Securityholder Representative shall deliver, or cause to be delivered, to the Company or its designees the Payment Agent Agreement and the Escrow Agreement Amendment and Payment Agent Agreement Amendment, duly executed by the Securityholder Representative; and
5. Section 3.02(c)(i) of the Agreement is deleted in its entirety and replaced as follows: 
(i) the Payment Agent Agreement and the Escrow Agreement Amendment, together with all of the deliverables to be provided thereunder and Payment Agent Agreement Amendment, duly executed by Buyer; 
6.A new clause (v) is added to Section 3.02(c) of the Agreement as follows: 
(v) the Pledge Agreements duly executed by Buyer and/or the Company, as applicable, together with all documents evidencing the perfection of  such Pledge Agreement, or alternatively at the discretion of the Securityholder Representative, the Perfection Materials, as reasonably required by the Securityholder Representative.
7.A new clause (vi) is added to Section 3.02(c) of the Agreement as follows: 
(vi) blank executed share transfer deeds and share certificates, covering the entire share capital of the Company acquired by Buyer, for the transfer thereof to the Securityholders in accordance with the instructions of the Securityholder Representative, pursuant to the provisions hereof and of the Escrow Agreement Amendment.
8.A new clause (vii) is added to Section 3.02(c) of the Agreement as follows: 
(vii) the deliverables constituting part of, and evidencing, the Key Employees Undertaking, and a certificate by Buyer confirming the compliance by Parent of the Altschuler Undertaking.
9. Section 3.03(a) of the Agreement is deleted in its entirety and replaced as follows: 
(a) Shares.  At the Closing, each Shareholder shall sell, convey, transfer, assign and deliver to Buyer, and Buyer shall acquire from each Shareholder, all of such Shareholder’s right, title and interest in and to all Shares held by such Shareholder as of immediately prior to the Effective Time, free and clear of all Encumbrances, other than those arising pursuant to applicable securities Laws or the Articles of Association of the Company, and in exchange therefor, each Shareholder shall have the right to receive (subject to such Shareholder’s compliance with Section 3.05) (i) the applicable portion of the Aggregate Closing Consideration payable to such Shareholder as set forth in the Consideration Spreadsheet and (ii) such Shareholder’s Payment Pro Rata Share of distributions, if any, of (A) the Securityholder Expense Fund pursuant to Section 11.01, (B) each of the Post-Closing Tranches and each Annual Interest Payment (C) the Sales Milestone Consideration pursuant to Section 3.06 and (D) any amounts payable as a result of any post-Closing adjustment made pursuant to Section 3.04(b), all in such allocation between them as set forth in the Consideration Spreadsheet (collectively, the “Aggregate Consideration”).
10. Section 3.03(b)(i) of the Agreement is deleted in its entirety and replaced as follows: 
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(i) Immediately prior to the Effective Time, each Company Option that is outstanding as of immediately prior to the Effective Time and that has a per share exercise price that is less than the Ordinary Per Share Consideration as set forth on the Consideration Spreadsheet (each such Company Option an “In-the-Money Company Option”), whether or not then exercisable or vested, will be cancelled and, in exchange therefor, each former holder of any such cancelled In-the-Money Company Option (each an “In-the-Money Company Optionholder”) will be entitled to receive, in consideration of such cancelled In-the-Money Company Option and in full settlement therefor, (i) the applicable portion of the Aggregate Closing Consideration payable to such In-the-Money Company Optionholder as set forth in the Consideration Spreadsheet, which shall be calculated as the product of (A) the aggregate number of Ordinary Shares subject to such In-the-Money Company Option immediately prior to the Effective Time multiplied by (B) the excess, if any, of the Ordinary Per Share Consideration over the exercise price per Ordinary Share applicable to such In-the-Money Company Option immediately prior to the Effective Time, and (ii) such In-the-Money Company Optionholder’s Payment Pro Rata Share of distributions, if any, of (A) the Securityholder Expense Fund pursuant to Section 11.01, (B) each of the Post-Closing Tranches and each Annual Interest Payment, (C) the Sales Milestone Consideration pursuant to Section 3.06 and (D) any amounts payable as a result of any post-Closing adjustment made pursuant to Section 3.04(b), all in such allocation between them as set forth in the Consideration Spreadsheet (the “Option Consideration”).
11.  Section 3.03(c)(i) of the Agreement is deleted in its entirety and replaced as follows: 
(i) Immediately prior to the Effective Time, each Company Warrant that is outstanding as of immediately prior to the Effective Time and that has a per share exercise price that is less than the per share consideration payable with respect to the applicable class of shares to which the relevant Company Warrant is exercisable as set forth on the Consideration Spreadsheet (each such Company Warrant an “In-the-Money Company Warrant”), will be cancelled and, in exchange therefor, each former holder of any such cancelled In-the-Money Company Warrant (each a “In-the-Money Company Warrantholder”) will be entitled to receive, in consideration of such cancelled In-the-Money Company Warrant and in full settlement therefor (subject to compliance with Section 3.05 by such In-the-Money Company Warrantholder), (i) the applicable portion of the Aggregate Closing Consideration payable to such In-the-Money Company Warrantholder as set forth in the Consideration Spreadsheet, which shall be calculated as the product of (A) the aggregate number of Ordinary Shares or Preferred Shares for which such In-the-Money Company Warrant is exercisable immediately prior to the Effective Time multiplied by (B) the excess, if any, of the per share consideration payable with respect to the applicable class of shares to which the relevant Company Warrant is exercisable as set forth on the Consideration Spreadsheet over the exercise price per Ordinary Share or Preferred Share applicable to such In-the-Money Company Warrant immediately prior to the Effective Time, and (ii) such In-the-Money Company Warrantholder’s  Payment Pro Rata Share of distributions, if any, of (A) the Securityholder Expense Fund pursuant to Section 11.01, (B) each of the Post-Closing  Tranches and each Annual Interest Payment, (C) the Sales Milestone Consideration pursuant to Section 3.06 and (D) any amounts payable as a result of any post-Closing adjustment made pursuant to Section 3.04(b), all in such allocation between them as set forth in the Consideration Spreadsheet. 
12.Section 3.04(a) of the Agreement is deleted in its entirety and replaced as follows: 
(a) Pre-Closing Estimate.  The Parties agree that Schedule 3.04(a) attached hereto (the “Closing Statement”) accurately sets forth (i) an unaudited consolidated balance sheet of the Company and the Company Subsidiaries as of March 31, 2022 and (ii) the Company’s good faith estimates, as of May 17, 2022, of (A) Closing Working Capital (such estimate, “Estimated Closing Working Capital”), (B) Closing Indebtedness (such estimate, “Estimated Closing Indebtedness”), (C) Closing Cash (such estimate, “Estimated Closing Cash”) and (D) Unpaid Company Transaction Expenses (such estimate, “Estimated Unpaid Company Transaction Expenses”).  The parties further agree that the Company has delivered supporting calculations and documentation of such calculations, in detail reasonably acceptable to Buyer, concurrently with the delivery of the Closing Statement.  The Parties agree that the Closing Statement shall be updated no less than five (5) Business Days prior to the Closing to reflect updates to the Burn Rate Amount and Estimated Unpaid Company Transactions (the “Permitted Updates”) and the Company shall consider in good faith any comments to such Permitted Updates provided by Buyer; provided that (i) other than the Permitted Updates, no updates to the Closing Statement shall be required or permitted and (ii) the approval by Buyer of the Permitted Updates shall not delay or prevent the consummation of the Closing (absent manifest error).
13.Section 3.04(b)(vi) of the Agreement is deleted in its entirety and replaced as follows: 
(vi) If the Adjustment Amount, as finally determined in accordance with this Section 3.04, is a negative number, then Buyer may, but shall not be obligated to, set off against any Post Closing Tranches and/or Sales Milestone Consideration that becomes payable pursuant to this Agreement the absolute value of such amount (the “Shortfall Amount”), pursuant to the Set Off Right, and subject to the provisions of Article X. 
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14.Section 3.04(b)(vii) of the Agreement is deleted in its entirety and replaced as follows: 
(vii) If the Adjustment Amount, as finally determined in accordance with this Section 3.04, is zero or a positive number (such positive number, the “Excess Amount”), then Buyer shall promptly, and within five (5) Business Days, deposit with the Payment Agent (for further disbursement to the Securityholders in proportion to their respective Payment Pro Rata Share), the Excess Amount (less the Payroll Portion of the Excess Amount, which shall be promptly paid directly by Buyer to the applicable Securityholders), if any.  
15.Section 3.05(d) of the Agreement is deleted in its entirety and replaced as follows:
(d) Buyer and the Payment Agent shall be entitled to rely entirely on the information contained in the Consideration Spreadsheet and any Transmittal Materials delivered hereunder for purposes of satisfying Buyer’s obligation to deliver the Aggregate Closing Consideration and any Post-Closing Tranche or Sales Milestone Consideration that may become payable hereunder.
16.Section 3.05(e) of the Agreement is deleted in its entirety and replaced as follows: 
(e) After the Closing Date, the Securityholders will have no rights as holders of any Equity Interest of the Company, other than (i) the right to receive the applicable portions of the Aggregate Closing Consideration to be issued at Closing, the Post-Closing Tranches and the Sales Milestone Consideration and any amounts payable as a result of any post-Closing adjustment made pursuant to Section 3.04(b), if any, and (ii) rights under this Agreement, the Escrow Agreement and the Pledge Agreements.
17.Section 3.05(g) of the Agreement is deleted in its entirety and replaced as follows: 
(g) In order to satisfy the condition to Closing set forth in Section 8.03(d), prior to the Closing Date, Buyer will deliver (or cause to be delivered) to ESOP Management and Trust Services, Ltd. (the “Escrow Agent”), as the escrow agent under the Escrow Agreement, an amount in cash equal to the sum of (i) the Aggregate Closing Consideration (as reduced pursuant to Section 7.18(c), if applicable, and less the Payroll Portion of the Aggregate Closing Consideration) plus (ii) the Securityholder Expense Fund (together, the “Closing Escrow Amount”).   
18.Section 3.05(j) of the Agreement is amended by adding thereto the words “or the Post-Closing Tranches” immediately following the words “Sales Milestone Consideration”. 
19.A new Section 3.09 is added to the Agreement as follows: 
Section 3.09    Post-Closing Tranches Obligations.  
(a) Post-Closing Tranches Covenants. During the period beginning on the Closing Date and continuing until the payment of all Post-Closing Tranches, except as would constitute a violation of applicable Law, as contemplated by this Agreement or as consented to by the Securityholder Representative in writing, Buyer shall and shall cause its controlled Affiliates to:
(i) use its Commercially Reasonable Efforts to achieve each Post-Closing Milestone;
(ii) not take any action or fail to take any action with the primary intent of avoiding the achievement of any Post-Closing Milestone; 
(iii) without limiting clauses (i) and (ii) of this Section 3.09(a), (x) assume all costs and funding requirements required for ongoing regulatory processes and approvals (including without limitation the maintenance of any such approvals and compliance with post-Regulatory Approval commitments of the Pivotal Clinical Trial), manufacturing, marketing and sale operations of the Company and its Subsidiaries, and (y) not discontinue the manufacture, sales and marketing of the Initial Device (other than in connection with a Company Divestiture or due to a material safety or efficacy issue involving the Initial Device). 
(iv) provide capital to or investments in the Company in an aggregate amount that is no less than $20,000,000, of which at least $8,000,000 shall be invested in the Company following the Closing Date in such manner which shall allow it to achieve, by no later than September 1, 2023, the Implantation Milestone (the “Required Budget”); 
(v) (A) undertake in writing not to terminate the employment agreements of the Key Employees prior to the date of the payment of the Fifth Post Closing Tranche, and (B) approve and effect, as soon as practicable prior to  the Closing, an incentive bonus plan which shall provide each of the Key Employees with an 
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incentive bonus opportunity on terms that are no less favorable, in the aggregate, than the terms of any incentive bonus opportunities made available to similarly situated employees of Buyer pursuant to its incentive bonus arrangements as of the Closing Date which bonus plan shall remain in place until  all Post-Closing Tranches are paid in full (the details of such incentive bonus plan shall be disclosed in writing to the  Securityholder Representative as soon as possible following the approval thereof and in any event prior to the Closing) (the “Key Employees Undertakings”);
(vi) shall ensure that the services to be provided to Parent pursuant to the provisions of that Consulting Agreement between Parent and Nir Altschuler dated July 15, 2020, shall be provided in connection with the Company and its operations, and that such agreement shall be amended prior to Closing to provide for annual automatic renewals, unless terminated by either party subject to an at least 90-day prior written notice prior to each such renewal, through  the date of the payment of the Fifth Post Closing Tranche (the “Altschuler Undertaking”); 
(vii) make all filings and payments, and take all actions to protect, defend and preserve and maintain (A) the scope, value, validity and enforceability of the Company IP as now existing and/or as hereinafter developed, conceived or reduced to practice, except to the extent that failure to do so would not reasonably be expected to be material to the Company’s ability to achieve any Post-Closing Milestone, and (B) the Company’s regulatory certificates including FDA's PMA approval, the CE mark and ISO13485; 
(viii) provide the Securityholder Representative, no later than thirty (30) days after the end of each fiscal quarter of Buyer (including for clarity purposes, each fiscal year of Buyer), with a reasonably detailed written report certified by an officer of Buyer of the efforts by or under the authority of Buyer or any of its controlled Affiliates to achieve the Post-Closing Milestones and the progress with respect thereto; provided, however, that Buyer shall not be required to disclose any information with respect to which disclosure is prohibited in accordance with the provisions of any applicable Law or Order; 
(ix) retain accurate records containing all material information reasonably necessary for the preparation of the written reports required by Section 3.09(a)(vii); 
(x) make available one or more representatives Buyer and/or its controlled Affiliates with supervisory authority over Buyer’s efforts to achieve the Post Closing Milestones to (A) conduct a telephone conference with the Securityholder Representative upon reasonable advance written notice from the Securityholder Representative and during normal business hours for the purposes of discussing Buyer’s progress toward achievement of the Post Closing Milestones and (B) respond to reasonable follow-up inquiries by the Securityholder Representative (which shall be reasonable in both scope and number) regarding the information provided by or on behalf of Buyer during any such telephone conference; provided, however, that the Securityholder Representative shall not request any such telephone conference, and Buyer shall have no obligation to participate in any such telephone conference, more than once during any calendar quarter.
(xi) permit the Securityholder Representative (at its own expense) to engage an accounting firm or an industry expert to perform, on behalf of the Securityholder Representative, a reasonable verification, review or audit, as the case may be, of the operations of the Buyer Entities, the Company and their respective controlled Affiliates, in each case, to the extent reasonably necessary to verify the information included in the written reports required by Section 3.09(a)(vii), and prepare an applicable report or opinion based on such verification, review or audit, as the case may be (each a “Milestone Report”). The Milestone Report shall be shared only with the applicable accounting firm and the Securityholder Representative and shall be treated as Confidential Transaction Information in accordance with Section 7.14. The audit right contemplated by this Section 3.09(a)(x) may only be exercised twice during any calendar year and upon no less than thirty (30) days’ prior written notice and any such verification, review or audit shall be conducted in a manner so as to not unreasonably interrupt or disturb the operations of Buyer and its controlled Affiliates. The Securityholder Representative will reasonably cooperate with Buyer with respect to scheduling any such verification, review or audit. Notwithstanding anything in this Section 3.09(a)(x) to the contrary, (A) none of Buyer, the Company or any of their controlled Affiliates shall be required to make available, disclose or provide access to any information with respect to which disclosure is prohibited in accordance with the provisions of any applicable Law or Order, (B) Buyer, the Company and any of their controlled Affiliates shall be permitted to redact or 
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otherwise refrain from disclosing any portion of their respective information so long as such information actually disclosed or made available is reasonably sufficient for purposes of verifying the information included in the written reports required by Section 3.09(a)(vii) and (C) other than as reasonably agreed by Buyer, neither the Securityholder Representative nor any accounting firm or other Person engaged on its behalf shall have the right to communicate with any personnel of a Buyer Entity other than Buyer’s Chief Executive Officer; and
(xii) not to consummate any Company Divestiture. 
(b) Achievement of the Post-Closing Milestones. 
(i) Upon the earliest to occur of (A) the date on which Buyer elects to prepay the First Paper Payment pursuant to Section 3.09(d), (B) the date on which the First Paper Milestone is achieved (of which Buyer shall provide the Securityholder Representative a written notice as soon as practicable but in any event within three (3) Business Days) and (C) July 1, 2023 (such date, the “First Paper Payment Date”), Buyer shall, on the First Paper Payment Date (or, if such First Paper Payment Date is as a result of achieving the First Paper Milestone, as soon as reasonably practicable following the First Paper Payment Date but in no event later than ten (10) calendar days following the First Paper Payment Date), deposit with the Payment Agent (for further disbursement to the Securityholders in proportion to their respective Payment Pro Rata Shares and as set forth in the Consideration Spreadsheet, provided that from such amount the Securityholder Representative shall direct the Payment Agent, at the discretion of the Securityholder Representative, to allocate the applicable amount of the Employees Deferred Bonus to the relevant employees and consultants), an amount in cash equal to the First Paper Tranche less the Payroll Portion of the First Paper Tranche (which shall be promptly paid directly by Buyer to the applicable Securityholders).
(ii) Upon the earliest to occur of (A) the date on which Buyer elects to prepay the Implantation Payment pursuant to Section 3.09(d), (B) the date on which the Implantation Milestone is achieved (of which Buyer shall provide the Securityholder Representative a written notice as soon as practicable but in any event within three (3) Business Days) and (C) September 1, 2023 (such date, the “Implantation Payment Date”), Buyer shall, on the Implantation Payment Date (or, if such Implantation Payment Date is as a result of achieving the Implantation Milestone, as soon as reasonably practicable following the Implantation Payment Date but in no event later than ten (10) calendar days following the Implantation Payment Date), deposit with the Payment Agent (for further disbursement to the Securityholders in proportion to their respective Payment Pro Rata Shares and as set forth in the Consideration Spreadsheet, provided that from such amount the Securityholder Representative shall direct the Payment Agent, at the discretion of the Securityholder Representative, to allocate the applicable amount of the Employees Deferred Bonus to the relevant employees and consultants) an amount in cash equal to the Implantation Tranche less the Payroll Portion of the Implantation Tranche (which shall be promptly paid directly by Buyer to the applicable Securityholders) .
(iv) Upon the earliest to occur of (A) the date on which Buyer elects to prepay the Second Paper Payment pursuant to Section 3.09(d), (B) the date on which the Second Paper Milestone is achieved (of which Buyer shall provide the Securityholder Representative a written notice as soon as practicable but in any event within three (3) Business Days) and (C) January 1, 2025 (such date, the “Second Paper  Payment Date”), Buyer shall, on the Second Paper Date (or, if such Second Paper Date is as a result of achieving the Second Paper Milestone, as soon as reasonably practicable following the Second Paper Payment Date but in no event later than ten (10) calendar days following the Second Paper Payment Date), deposit with the Payment Agent (for further disbursement to the Securityholders in proportion to their respective Payment Pro Rata Shares and as set forth in the Consideration Spreadsheet), an amount in cash equal to the Second Paper Tranche less the Payroll Portion of the Second Paper Tranche (which shall be promptly paid directly by Buyer to the applicable Securityholders) .
(v) Upon the earliest to occur of (A) the date on which Buyer elects to prepay the Additional Publication Payment pursuant to Section 3.09(d), (B) the date on which the Additional Publication Milestone is achieved (of which Buyer shall provide the Securityholder Representative a written notice as soon as practicable but in any event within three (3) Business Days) and (C) January 1, 2026 (such date, the “Additional Publication  Payment Date”), Buyer shall, on the Third Paper Date (or, if such Third Paper Date is as a result of achieving the Third Paper Milestone as soon as reasonably practicable following the Additional Publication Payment Date (but in no event later than ten (10) calendar days following the 
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Additional Publication Payment Date), deposit with the Payment Agent (for further disbursement to the Securityholders in proportion to their respective Payment Pro Rata Shares and as set forth in the Consideration Spreadsheet), an amount in cash equal to the Additional Publication Tranche less the Payroll Portion of the Additional Publication Tranche (which shall be promptly paid directly by Buyer to the applicable Securityholders.
(vi) Upon the earliest to occur of (A) the date on which Buyer elects to prepay the Reimbursement Code  Payment pursuant to Section 3.09(d), (B) the date on which the Reimbursement Code Milestone is achieved (of which Buyer shall provide the Securityholder Representative a written notice as soon as practicable but in any event within three (3) Business Days) and (C) January 1, 2027 (such date, the “Reimbursement Code  Payment Date”), Buyer shall, on the Reimbursement Code Date (or, if such Reimbursement Code Date is as a result of achieving the Reimbursement Code Milestone, as soon as reasonably practicable following the Reimbursement Code Payment Date but in no event later than ten (10) calendar days following the Reimbursement Code Payment Date), deposit with the Payment Agent (for further disbursement to the Securityholders in proportion to their respective Payment Pro Rata Share and as set forth in the Consideration Spreadsheet), an amount in cash equal to the Reimbursement Code Tranche less the Payroll Portion of the Reimbursement Code Tranche (which shall be promptly paid directly by Buyer to the applicable Securityholders) .
(vi) Without derogating from the provisions of Section 3.06(a)(viii) and Section 3.06(b) and in addition thereto,   upon  the earliest to occur of (A) immediately prior and as a condition to the consummation of a Company Divestiture, (B) the occurrence of a Buyer Insolvency Event, (C) immediately prior and as a condition to a Buyer Fundamental Change, (D) a material breach by Buyer of its obligations pursuant to this Section 3.09 and which remains uncured by Buyer in all material respects on the date that is thirty (30) days following notice from the Securityholder Representative to Buyer describing in reasonable detail the nature of such purported breach, provided however, that any delay in payment of any Post Closing Tranche or Annual Interest Payment of above fourteen (14) days shall be deemed as a material breach hereunder notwithstanding the foregoing provisions, or (E) Buyer (or any other Buyer Entity, including without limitation, the Company) obtaining a reimbursement code for the Initial Device other than the Agreed Reimbursement Code (each an “Acceleration Event” and the date on which an Acceleration Event occurs, the “Acceleration Date”), Buyer shall, (1) as soon as reasonably practicable (but in no event later than (x) ten (10) calendar days following the events  specified under clauses (B),  or (E), or (y) upon the occurrence any of the events specified under clauses (A), (C) or (D)), provide the Securityholder Representative a written notice with respect thereto and (2) upon the occurrence of the Acceleration Event (or, with respect to clause (E), within (10) calendar days following such event) deposit with the Payment Agent (for further disbursement to the Securityholders in proportion to their respective Payment Pro Rata Shares and as set forth in the Consideration Spreadsheet), and notwithstanding the fulfillment or lack of fulfillment of any milestone or condition related to any portion of such Aggregate Consideration,  an amount in cash equal to (X) only with respect to an Acceleration Event triggered by a Buyer Fundamental Change - the Unpaid Post-Closing Tranche Amount less the Payroll Portion of the Unpaid Post-Closing Tranche Amount (which shall be promptly paid directly by Buyer to the applicable Securityholders), or (Y) with respect to all other Acceleration Events, the remaining outstanding amount of all Aggregate Consideration less the Payroll Portion of such Aggregate Consideration (which shall be promptly paid directly by Buyer to the applicable Securityholders), provided however, that only with respect to any portion of the Aggregate Consideration constituting the Sales Milestone Consideration, Buyer shall be entitled to withhold from such payment the amount, if any, that Buyer determines in good faith to be necessary to satisfy all Continuing Claims (and Buyer shall provide notice to the Securityholder Representative of any such amounts retained by Buyer in respect of Continuing Claims) until such Continuing Claims shall be settled in accordance with the provisions of this Agreement. 
(vii) In the event that Buyer fails to make the payments due as provided under the foregoing clause (vi), Buyer shall be deemed to be in a material breach hereunder, and the Securityholders shall be entitled to pursue any or all of the remedies available to them hereunder and under the Escrow Agreement as amended, at the sole discretion of the Securityholder Representative, including without limitation: (X) to seek for enforcement of the Pledge Agreement in accordance with their terms, and (Y) to request from the Escrow Agent, upon a written notice of the Securityholder Representative to the Escrow Agent about the occurrence of an Acceleration Event, that the shares of the Company acquired by Buyer at the Closing shall be automatically and immediately transferred and allocated to the 
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Securityholders in accordance with the instructions of the Securityholder Representative.
(viii) It is further agreed that the entire Aggregate Consideration, including (without limitation) the Post Closing Tranches are fully earned and payable upon the Closing Date, without the need for further action from the Securityholders or the occurrence of further conditions or fulfillment of any milestones; provided that it is agreed that the Buyer’s payment of the Post-Closing Tranches and the Sales Milestone Consideration is deferred in accordance with the terms of this Agreement; provided, however, that, notwithstanding anything to the contrary in this Agreement, Buyer’s right to defer such payments shall immediately cease upon the occurrence of any Acceleration Event, at which time all Aggregate Consideration shall be immediately due and payable (notwithstanding the fulfillment or lack of fulfillment of any milestone or condition related to any portion of the Aggregate Consideration). 
(ix) Notwithstanding anything to the contrary in this Agreement, to the extent any Post-Closing Tranche (or the Unpaid Post-Closing Tranche Amount) or the Sales Milestone Consideration is not timely deposited with the Payment Agent or, with respect to the Payroll Portion of any such amount, not timely paid to the applicable Securityholders, in each case, in accordance with this Section 3.09(b), such amount shall bear interest at a rate of 10% per annum beginning on the first date such amount was due to be deposited with the Payment Agent or, with respect to the Payroll Portion of any such amount, paid to the applicable Securityholders, as applicable, pursuant to this Section 3.09(b) and continuing until such date as such amount is actually deposited with the Payment Agent or, with respect to the Payroll Portion of any such amount, paid to the applicable Securityholders, without derogating from any other remedy available to the Securityholders (including without limitation, their right to accelerate payments as set forth hereunder and/or to enforce the Pledge Agreements) and/or for excess damages incurred by the Securityholders as a result of such non-payment.    
(x) Notwithstanding anything to the contrary in this Agreement, in no event shall any Post-Closing Milestone be achieved (or deemed to have been achieved) on more than one occasion. 
(xi) Each of the Securityholders acknowledges and agrees that the right to receive any portion of the Post-Closing  Tranches shall not be represented by any form of additional certificate or other instrument, and, subject to the provisions of this Agreement, the Escrow Agreement and the Pledge Agreements,  does not constitute an equity or ownership interest in Buyer, the Company or any of their respective Affiliates, and the Securityholders shall not have any rights as a securityholder of Buyer, the Company or any of their respective Affiliates as a result of their contingent right to receive a portion of the Post-Closing Tranches.  
(xii) Any dispute as to when and/or whether a Post-Closing Milestone has been achieved in accordance with this Section 3.09(b) (a “Section 3.09(b) Dispute”) shall be resolved in accordance with Section 11.08. 
(c) Applicable Annual Interest Payments. Until such time as all Post-Closing Payments have been made pursuant to this Agreement, Buyer shall, no later than on each anniversary of the Closing Date, deposit with the Payment Agent (for further disbursement to the Securityholders in proportion to their respective Payment Pro Rata Shares and as set forth in the Consideration Spreadsheet), an amount in cash equal to the Annual Interest Payment for the most recently ended Annual Interest Period less the Payroll Portion of such Annual Interest Payment (which shall be promptly paid directly by Buyer to the applicable Securityholders). 
(d) Prepayment. Notwithstanding anything herein to the Contrary, Buyer may, at its option and in its sole discretion, prepay any and all Post-Closing Payments (together with any Applicable Accrued Interest Payment with respect thereto) at any time. 
20.Section 7.01(b)(i) of the Agreement is deleted in its entirety and replaced as follows: 
(i) amend the Organizational Documents of the Company or any Company Subsidiary (whether by merger, consolidation or otherwise) (other than any such amendment made pursuant to the Series G SPA); provided, with respect to this clause (y) that Buyer shall have the opportunity to review and comment on such amendment and the Company will consider Buyer’s comments in good faith, but without obligation to accept any such comments); 
21.Section 7.07(a) of the Agreement is deleted in its entirety and replaced as follows: 
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(a) No more than ten (10) Business Days and no less than five (5) Business Days prior to the Closing, the Company shall deliver to Buyer a spreadsheet (the “Consideration Spreadsheet”), prepared in accordance with the applicable provisions of the Organizational Documents of the Company and certified by the Chief Financial Officer of the Company and acknowledged as true, correct and complete by the Securityholder Representative.  The Consideration Spreadsheet will be substantially in the form attached hereto as Exhibit K (which reflects the pro forma Consideration Spreadsheet as of May 17, 2022), updated to reflect subject to further financial adjustments as required by this Section 7.07(a), and shall set forth, in reasonable detail and as of immediately prior to the Closing: (i) the Company’s calculations of the Fully Diluted Number, the Fully Diluted Ordinary Number, the Securityholder Ownership Percentage, the Aggregate Consideration, the Aggregate Closing Consideration and the Ordinary Per Share Consideration; and (ii) the following information for each Securityholder:
A.the name, address or email address of such Securityholder;
B.the number and type of Equity Interest held by such Securityholder;
C.the number of Shares subject to, and the exercise price per share in effect for, each In-the-Money Company Option held by such Securityholder; 
D.the number and class or series of Shares subject to, and the exercise price per share in effect for, each In-the-Money Company Warrant held by such Securityholder; 
E.a calculation of the portion of the Aggregate Closing Consideration (and each component thereof) payable to such Securityholder pursuant to Section 3.03(a), Section 3.03(b) and Section 3.03(c), as applicable; 
F.a calculation of the portion of Sales Milestone Consideration payable to such Securityholder pursuant to Section 3.06, assuming that the Sales Milestone Consideration becomes payable to the Securityholders pursuant to Section 3.06; 
G.a calculation of the portion of each Post-Closing Tranche payable to such Securityholder pursuant to clauses (i) through (v) of Section 3.09; and
H.such Securityholder’s Payment Pro Rata Share following each of, and assuming the full payment of each of, the Aggregate Closing Consideration, the Sales Milestone Consideration and each Post-Closing Payment. 
22.The final sentence of Section 7.07(b) of the Agreement is deleted in its entirety and replaced as follows: 
Notwithstanding anything to the contrary in this Agreement, the Company, Buyer, and the Securityholders acknowledge and agree that Buyer and each of its Affiliates and the Payment Agent shall be entitled to rely on the Consideration Spreadsheet as setting forth a true, correct and complete listing of all items set forth therein, and none of Buyer nor any of its Affiliates or the Payment Agent shall have any Liability or obligation to any Person, including the Securityholders or the Securityholder Representative, for any Liabilities arising from or relating to errors, omissions or inaccuracies in calculating the portion of the Aggregate Closing Consideration, Sales Milestone Consideration, any Post-Closing  Tranche or other amounts to be received by the Securityholders pursuant to this Agreement or any other errors, omissions or inaccuracy in the Consideration Spreadsheet. 
23.Section 7.16(c) of the Agreement is deleted in its entirety and replaced as follows: 
Option Tax Ruling.  As soon as reasonably practicable (if not earlier filed) but in any event no later than seven (7) Business Days following the date of the execution of the First Amendment to this Agreement, the Company shall instruct its Israeli counsel, advisors and/or accountants, in full coordination with Buyer and its counsel, advisors and/or accountants, to prepare, and each of Buyer, the Securityholder Representative and their respective counsels, advisors and/or accountants shall have had an opportunity to review, comment upon and approve, which review shall be performed and completed within three (3) Business Days of receipt of a complete draft (including a full set of attachments that includes the options database), and the Company shall file with the ITA no later than two (2) Business Days after receipt of such reviewed draft, an application for a ruling (the “Option Tax Ruling”) in a form reasonably acceptable to Buyer (whose approval shall not be unreasonably delayed, conditioned or withheld) and the Securityholder Representative, confirming that, inter alia, (a) the deposit with the Section 102 Trustee of the consideration payable pursuant to Section 3.03(b)(i) for the Section 102 Options and Section 3.03(a) for any Section 102 Shares will not result in a requirement for an immediate Israeli Tax payment or affect the Tax treatment of such Section 102 Options and Section 102 Shares and that the Israeli taxation will be deferred until completion of statutory holding period set out in Section 102 of the Israeli Code, and actual release of such consideration to its respective recipient in accordance herewith, as applicable, and remain subject to the provisions of Section 102 of the Israeli Code and deemed to be income subject to the “capital gains route” 
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thereunder, (b) Buyer and anyone acting on its behalf (including the Escrow Agent) shall not be required to withhold Israeli Tax in relation to any consideration payable to Israeli employees and Israeli consultants of the Company in relation to their Section 102 Options and Section 102 Shares where such consideration is transferred to the Payment Agent and/or the Section 102 Trustee and/or the Company, and (c) Buyer will not be required to withhold Israeli Tax in relation to any amounts paid to the Payment Agent, the Escrow Agent or the Section 102 Trustee.  To the extent that prior to the Closing an interim Option Tax Ruling shall have been obtained pursuant to an application which Buyer and the Securityholder Representative had an opportunity to review and comment on and approve (an “Interim Option Tax Ruling”), then the references herein to the Option Tax Ruling shall be deemed to refer to such Interim Option Tax Ruling, mutatis mutandis, until such time that a final definitive Option Tax Ruling is obtained (and in which event, the final Option Tax Ruling may be filed following the Closing).  The Parties agree and acknowledge that, notwithstanding the foregoing, the Company may grant, immediately prior to the Closing, additional Section 102 Options which, due to the timing of issuance, shall not entitle the holder(s) thereof to the tax benefits within the meaning of Section 102 of the Ordinance. Each of Buyer, the Securityholder Representative and the Company shall coordinate all activities and reasonably cooperate with each other with respect to Company’s preparation and filing of such application and in the preparation of any written or oral submissions that may be necessary, proper or advisable to obtain the Option Tax Ruling, or any interim ruling as customarily granted by the ITA.  The Company, the Securityholder Representative and Buyer shall, and shall instruct their respective representatives and advisors to, reasonably cooperate with each other and with their respective Israeli counsel, representatives and advisors with respect to the preparation and filing of such applications and in the preparation of any written or oral submissions that may be necessary, proper or advisable to obtain the Option Tax Ruling.  Subject to the terms and conditions hereof, the parties shall use reasonable efforts to promptly take, or cause to be taken, all action and to do, or cause to be done, all things necessary, proper or advisable under applicable Laws to obtain the Option Tax Ruling, as promptly as practicable.  For the avoidance of doubt, the Company, its representatives and advisors shall not make any application to, nor conduct any negotiation with, the ITA with respect to any matter relating to the subject matter of the Option Tax Ruling without prior notice to and coordination with Buyer, and neither prior or following the Closing, also the Securityholder Representative who shall have the right to review, comment and approve each such application and revisions thereto as part of any negotiations.  Notwithstanding any coordination with Buyer, the final text of the Option Tax Ruling shall in all circumstances be subject to the prior written confirmation of Buyer or its Israeli counsel, not to be unreasonably withheld, conditioned or delayed, and of the Securityholder Representative or its Israeli counsel.
24.Section 7.18(b) of the Agreement is deleted in its entirety and replaced as follows: 
(b) The Parties agree that, notwithstanding anything to the contrary in this Agreement, in the event of a Failure to Close Termination, the Designated Amount will be distributed by the Payment Agent, at the sole instructions of the Company and the Securityholder Representative, to the Company and the Securityholders in accordance with the Designated Amount Allocation and the provisions of the Company’s Organizational Documents..
25.Section 7.18(c) of the Agreement is deleted in its entirety and replaced as follows: 
(c) The Parties agree that on the Closing Date, the Designated Amount shall be treated as a portion of the Aggregate Closing Consideration and be allocated by the Payment Agent to the Securityholders accordingly. 
26.A new Section 7.18(d) is added to the Agreement as follows: 
(d) The Parties agree that, prior to or concurrently with the execution of the First Amendment to this Agreement, the Designated Amount shall be released to the Payment Agent and held for the benefit of (i) the Securityholders, as a down payment of the Aggregate Closing Consideration payable pursuant to this Agreement upon the Closing, or (ii) the Securityholders and the Company in accordance with the Designated Amount Allocation in the event of a Failure to Close Termination, and Buyer and the Company have executed and delivered irrevocable joint written instructions (in the form attached hereto as Schedule 7.18(d)) to the Escrow Agent and the Payment Agent, acknowledges in writing by the Payment Agent and Escrow Agent, instructing the Escrow Agent to so release the Designated Amount to the Payment Agent, and instructing the Payment Agent to distribute such Designated Amount in accordance with the provisions hereof (the “Instructions Letter”). The Parties agree that the Designated Amount shall be treated as a portion of the Aggregate Closing Consideration should the Closing occur, but otherwise shall be allocated to the Company and the Securityholders as provided under Section 7.18(b) (and in any event, shall not be payable to the Buyer under any circumstances whatsoever). 
27.At the end of Section 7.21(c) of the Agreement, the following language shall be added  as follows: 
In addition, prior to execution of the Amendment to this Agreement,  Buyer has delivered to the Company  a certificate, executed by an authorized officer of Buyer, certifying that (x) the 
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representation and warranty of Buyer contained in Section 6.05 remains true and correct in all respects and (y)  Buyer requires no further consents and approvals in order to consummate the Closing.  
28.A new Section 7.22 is added to the Agreement as follows: 
Section 7.22 Board Observer. Until the full payment of all Post-Closing Tranches, the Securityholder Representative shall be entitled to appoint, dismiss and replace a non-voting observer to the board of directors of Bioventus Inc. (or any successor parent company of Buyer) (“Parent”) and of the Company (each, a “BV Board”) which observer shall be either any of the directors of the Company as of immediately prior to the Closing, or otherwise reasonably acceptable to Buyer, and have the right to participate in all meetings of the BV Board and any committee incorporated by BV Board inter alia in order to discuss the Company’s operations, business, IP and/or the Initial Device, and receive any and all materials provided to all members of the BV Board and such committee, in their capacity as  such, at the same time as such are provided to such members (the “Board Materials”); provided, however, that Parent and the Buyer reserve the right to withhold any information and to exclude such observer from any material or meeting or portion thereof if Parent or the Buyer determine in good faith, and upon the advice of legal counsel, that providing access to such information or attendance at such meeting could (i) adversely affect the attorney-client privilege between Parent or the Buyer and its counsel, or (ii) result in the disclosure of highly confidential proprietary information unrelated to the Company, any Company IP or the Initial Device, in violation of a confidentiality obligation owed to a third party. Such observer shall execute a customary confidentiality undertaking towards Parent and the Buyer, with respect to all information provided to such observer in the framework of his/her participation in meetings of the BV Board or any committee as specified above. 
29. A new Section 7.23 is added to the Agreement as follows: 
Section 7.23. Intellectual Property Covenant. If the Company (a) obtains any Patent, registered Trademark, registered Copyright, registered mask work, or any pending application for any of the foregoing, whether as owner, licensee or otherwise, or (b) applies for any Patent or the registration of any Trademark (collectively, the “New IP”), then Buyer shall use its commercially reasonable efforts to provide written notice thereof to the Securityholder Representative  and shall execute such intellectual property security agreements, updates and/or amendments to the Pledge Agreements and other documents as may be required in order to perfect and maintain a first priority security interest in favor of the Securityholders over such New IP (in addition to all other IP Rights of the Company). Without derogating from the foregoing, once every calendar quarter Buyer shall provide the Securityholder Representative (and the Securityholder Representative shall be entitled to ask Buyer) to provide the Securitholder Representative with a detailed list of any such New IP for the foregoing purposes. 
30.A new Section 7.24 is added to the Agreement as follows: 
Section 7.24.    Additional Information Covenant. During the period beginning on the Closing Date and continuing until the payment of the Sales Milestone Consideration, at the request of the Securityholder Representative, the Buyer shall deliver to the Securityholder Representative (for the benefit of the Securityholders):
(i) Copies of the periodic compliance statements required to be submitted by the Parent to the Parent’s lenders pursuant to the Parent’s credit agreements with such lenders, at the same time that such compliance statements are provided to the respective lenders. 
(ii) Any copies of business plans, forecasts, budgets and revenue projections pertaining to the Company and its products. 
(iii) As soon as practicable, but in any event not later than two (2) days prior to  public release  after the end of each fiscal year of the Parent, the financial statements of Parent on a consolidated basis containing the balance sheet of the Parent, as of the end of such year, statements of income, statement of changes in shareholder’s equity, statements of cash flow , all on a consolidated basis and in reasonable detail, audited by an independent accounting firm which opinion shall state, in customary form, that such balance sheet and statements of income, shareholder’s equity and cash flow present fairly and accurately the financial position of the Parent as of their date. If the Parent ceases to be a public company, the Parent will continue to provide the above information within the same timetable as it was public.
(iv) As soon as practicable, but in any event not later than two (2) days prior to public release after the close of each of the first, second and third quarter of each fiscal year of the Parent  the financial statements of the Parent on a consolidated basis containing the t unaudited consolidated balance sheet of the Parent as at the end of each such quarter, statements of income, statement of changes in shareholder’s equity and cash flow of the Parent, for such quarter, and for the period from the beginning of the current fiscal year to the end of such quarterly period, all in reasonable 
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and customary detail. If the Parent ceases to be a public company, the Parent will continue to provide the above information within the same timetable as it was public.
(v) Notice of any material litigation threatened or instituted against the Company and any notice provided to the Parent’s lenders under its credit agreements of litigation, at the same time such notice is provided 
(vi) In addition, at the request of the Securityholder Representative within a reasonable time after receipt of such request, the Buyer shall deliver thereto all information relating to the Company which Securityholder Representative may reasonably require for purposes of compliance (by it and/or any security holder or their respective controlling shareholder(s)) with any disclosure obligation or demand under any applicable law (including without limitations, local or foreign securities laws and stock exchange rules and regulations), or may otherwise reasonably request and any such information may be publicly disclosed only if required by applicable law and/or stock exchange regulations.
In no way derogating from the foregoing, the Parent shall provide the Securityholder Representative with all BV Board presentations and material relating to the Company and its products that the observer which the Securityholder Representative is entitled to appoint pursuant Section 7.22 hereof, is entitled to receive, at the same time that such documentation is delivered to the BV Board.
The Securityholder Representative shall execute a customary confidentiality undertaking with respect to all information provided to the Securityholder Representative under this Section 7.24 
31.Section 8.01(d) of the Agreement is deleted in its entirety and replaced as follows: 
(d) The Company shall have obtained the Option Tax Ruling or the Interim Option Tax Ruling; provided, however, that in the absence of such ruling, the condition set forth in this Section 8.01(d) shall be satisfied upon the earlier of forty-five (45) days from the later of (i) the filing with the ITA of an application to obtain either such ruling, and (ii) the date any updated filing is made with the ITA after May 17, 2022. 
32.A new Section 8.01(e) is added to the Agreement as follows: 
 (e) The Company shall have obtained from the IIA its approval for the creation of the Pledge Agreement, to the extent applicable (the “IIA Approval”). 
33.A new Section 8.03(e) is added to the Agreement as follows: 
(e) Buyer shall have delivered to the Company and the Securityholder Representative copies of executed agreements of Buyer with applicable lending institutions, pursuant to which (i) Buyer shall be disbursed additional term loan in the amount of US$80 Million above the existing term loan of US$360 Million, and (ii) Buyer is entitled to extend its existing revolving credit line by additional US$15 Million above the existing US$50 Million revolving credit line. 
34.Section 9.01(c)(i) of the Agreement is deleted in its entirety and replaced as follows: 
(i) if the Equity Purchase shall not have been consummated, for whatever reason and at the sole discretion of the terminating party (which may be either the Buyer or the Company, and which notice shall have immediate effect), on or prior to the Agreed Closing Date (as the same may be extended in accordance with this Section 9.01(c)(i), the “Outside Date”); provided, however, that  the Outside Date may be extended to July 31, 2022, by written notice delivered by the Company to Buyer no less than three (3) days prior to the Agreed Closing Date, and to the extent required to obtain the Interim Tax Ruling and/or the IIA Approval; 
35.Section 9.03(a) of the Agreement is deleted in its entirety and replaced as follows:
(a) If this Agreement is validly terminated by either Party pursuant to Section 9.01(c)(i) or if any Party shall terminate this Agreement prior to the Closing for any other reason whatsoever  (any such termination a “Failure to Close Termination”), then the Designated Amount shall become, automatically and without the need for any further action by any Party, due and payable to the Company ($20,000,000 of the Designated Amount) and the Securityholders ($30,000,000 of the Designated Amount, allocated between the Securityholders in accordance with the provisions of the Articles of Association of the Company) (the “Designated Amount Allocation”), at such time and according to the sole instructions of the Company and the Securityholder Representative. In addition to the foregoing, following a Failure to Close Termination, the Company shall have the right to call for the surrender and Transfer to the Company of all Shares then held by Buyer and, for the avoidance of doubt, Buyer shall not be entitled to any consideration in connection with such surrender of Shares (such surrender and Transfer, together with the payment or forfeiture (as applicable) of the Designated Amount, the 
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“Failure to Close Remedy”) and Buyer hereby irrevocably waives any right to object to the enforcement of any such Failure to Close Remedy.  
Notwithstanding anything to the contrary in the Agreement, including the provisions of Section 9.03(e), in the event that, despite its irrevocable and unconditional undertakings in the preceding paragraph, Buyer shall in any manner attempt to breach the provisions of this Section 9.03(a), then, in addition to the Failure to Close Remedy, the Company and the Securityholders shall be entitled to full and maximum damages of any kind, at law or in equity or otherwise, including consequential, indirect, exemplary, loss of opportunity or punitive damages, against Buyer, the Parent, their Affiliates and Representatives, and shall be entitled to seek such losses, costs, attorneys’ fees, and damages in any jurisdiction they may choose, including without limitation, the court of competent jurisdiction in Tel Aviv, Israel, as well as to a specific performance of the transfer of the Escrowed Share, and each of the parties irrevocably waives, to the fullest extent permitted by law, any objection that it may now or hereafter have to the venue of any such action being in any such court or that any such action brought in any such court has been brought in an inconvenient forum.
36.  Section 9.03(e) of the Agreement is amended by deleting therefrom the words “(subject to Section 9.03(a) in the event an Escrow Release Objection is timely delivered by Buyer)”.   
37.Section 10.02(a)(vii) of the Agreement is deleted in its entirety and replaced as follows: 
(vii) any inaccuracy in the Consideration Spreadsheet or the failure of the allocation of the Equity Purchase Consideration (including each Post-Closing Payments) or Sales Milestone Consideration, in each case, as set forth in the Consideration Spreadsheet to be consistent in all respects with this Agreement and the Organizational Documents of the Company;
38. Section 10.03(b) of the Agreement is deleted in its entirety and replaced as follows:
(b) Recovery by a Buyer Indemnified Party for Damages pursuant to Section 10.02(a)(i) shall be limited to the aggregate amount of US$30,000,000 from all Securityholders, severally and not jointly, in accordance with their Pro Rata Shares; provided, however, that the foregoing limitation shall not apply to (i) indemnification for breaches of, or inaccuracies in, the Fundamental Representations or the Tax Representation or (ii) fraud, for which such Buyer Indemnified Party shall have all other rights and remedies available to it to recover any remaining amount directly from the Securityholders severally and not jointly and subject to the provisions of Section 10.03(c); provided further, however, that in no event shall the maximal amount due from any Securityholder for any indemnification hereunder exceed 10% of the amount of the aggregate Equity Purchase Consideration actually and previously paid to such Securityholder by Buyer hereunder (and any remaining amount of such recovery for Damages, if any, may only be offset in accordance with Buyer’s Set Off Rights from future payments on account of the Equity Purchase Consideration made to such Securityholder, but in such manner and notwithstanding anything herein to the contrary, so that not more than 10% of the aggregate Equity Purchase Consideration actually and previously paid to such Securityholder following such setoff shall be deducted due to such recovery of Damages). Notwithstanding anything herein to the contrary under Section 3.06(b), Buyer shall not be entitled to withhold any payment due and payable to the Securityholders on account of the Equity Purchase Consideration as a result of Continuing Claims, but only following and subject to final resolution thereof (pursuant to this Article X or otherwise upon the mutual written Agreement of Buyer and the Securityholder Representative) and as part of Buyer’s Set Off Rights.
39.Section 10.03(c) of the Agreement is amended to delete therefrom the words “(including such Securityholder’s Pro Rata Share of the Adjustment Escrow Fund and the Indemnity Escrow Fund)”.  
40.Section 10.03(i) of the Agreement is deleted in its entirety and replaced as follows: 
(i) Notwithstanding anything in this Agreement to the contrary (but, for the avoidance of doubt, (X) without limitation of Buyer’s rights pursuant to Section 3.06(b)(i) with respect to Continuing Claims, and (Y) subject to the limitations set forth under Section 10.03(b)), Buyer may, but shall not be obligated to, set off against any Sales Milestone Consideration and/or Post-Closing Tranches that become payable pursuant to this Agreement following the final resolution (pursuant to this Article X or otherwise upon the mutual written Agreement of Buyer and the Securityholder Representative) that any Buyer Indemnified Party is entitled to such Damages made in accordance with the provision hereof, any such amounts for which the Buyer Indemnified Parties are entitled to indemnification to pursuant to this Article X, applying such amounts in satisfaction, to the extent of such amount, of such owed amounts.  Buyer’s set off right under this Section 10.03(i) is referred to as the “Set Off Right”. Until the Post Closing Tranches are paid in full to the Securtyholders, Buyer shall not assert claims against any Securityholder but shall first exhaust in full any Set Off Rights available to the Buyer Indemnified Parties from the entire Post Closing Tranches. 
41.Section 10.03(j) of the Agreement is deleted in its entirety and replaced as follows: 
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(j) Absent fraud or Willful Breach of any specific Securityholder as provided under Section 10.03(c), the indemnification provisions contained in this Article X are the sole and exclusive remedy following the Closing as to all Damages (and any other damages, claims or causes of action of any kind or nature) any Buyer Indemnified Party may incur arising from or relating to this Agreement against such Securityholder (it being understood that nothing in this Section 10.03(j) or elsewhere in this Agreement shall affect the parties’ rights to specific performance or other equitable remedies with respect to the covenants referred to in this Agreement or to be performed after the Closing or any rights or remedies arising out of claims Buyer may have under any Transaction Document including the Transmittal Materials delivered pursuant to Section 3.05).  
42. Section 10.04(c) of the Agreement is deleted in its entirety and replaced as follows: 
(c) If the Securityholder Representative in good faith objects to any claim made by Buyer in any Officer’s Claim Certificate, then the Securityholder Representative shall deliver a written notice (a “Claim Dispute Notice”) to Buyer during the thirty (30)-day period commencing upon receipt by the Securityholder Representative of the Officer’s Claim Certificate.  The Claim Dispute Notice shall set forth in reasonable detail the principal basis for the dispute of any claim made by Buyer in the Officer’s Claim Certificate.  If the Securityholder Representative does not deliver a Claim Dispute Notice to Buyer prior to the expiration of such thirty (30)-day period, then each claim for indemnification set forth in such Officer’s Claim Certificate shall be deemed to have been conclusively determined in Buyer’s favor for purposes of this Article X on the terms set forth in the Officer’s Claim Certificate.
43.Section 10.04(d) of the Agreement is deleted in its entirety and replaced as follows: 
(d) If the Securityholder Representative delivers a Claim Dispute Notice, then Buyer and the Securityholder Representative shall attempt in good faith to resolve any such objections raised by the Securityholder Representative in such Claim Dispute Notice.  If Buyer and the Securityholder Representative agree to a resolution of such objection (subject, inter alia, to Section 11.01(b)(ii)), then a memorandum setting forth the matters conclusively determined by Buyer and the Securityholder Representative shall be prepared and signed by both parties. 
44. Section 10.04(e) of the Agreement is deleted in its entirety and replaced as follows: 
(e) If no such resolution can be reached during the forty-five (45)-day period following Buyer’s receipt of a given Claim Dispute Notice, then upon the expiration of such forty-five (45)-day period, either Buyer or the Securityholder Representative may bring suit to resolve the objection in accordance with Section 11.07; provided, however, that, to the extent any portion of the Sales Milestone Consideration has been withheld pursuant to Section 3.06(b)(i),  unless Buyer initiates an Action with respect to the claim in such Officer’s Claim Certificate (whether a third party Claim or otherwise) within one hundred twenty (120) days following Buyer’s receipt of such Claim Dispute Notice, such claim shall be deemed to have been conclusively determined in the Securityholder Representative’s favor for purposes of this Article X on the terms set forth in the Claim Dispute Notice. The decision of the trial court as to the validity and amount of any claim in such Officer’s Claim Certificate shall be nonappealable, binding and conclusive upon Buyer, the Securityholder Representative and the Securityholders.  Judgment upon any award rendered by the trial court may be entered in any court having jurisdiction.
45.Section 10.05 of the Agreement is deleted in its entirety and replaced as follows: 
Section 10.05 [RESERVED]. 
46.Clause (a) of Section 10.06 of the Agreement is deleted in its entirety and replaced as follows: 
(a) such settlement is on exclusively monetary terms which are entirely recovered from offset of the Post-Closing Tranches, the Unpaid Post-Closing Tranche Amount and/or Sales Milestone Consideration which is then due and payable to the Securityholders subject to the other provisions of this Article X and not, for the avoidance of doubt, otherwise being withheld pursuant to Section 3.06(b)(i) or clauses (i) through (vi) of Section 3.09(b) on account of any Continuing Claims unrelated to such settled Claim 
47.Section 11.01(b)(iii) of the Agreement is deleted in its entirety and replaced as follows: 
(iii) to direct the Payment Agent to disburse any portion of the amount paid to the Payment Agent that is payable to Buyer, any Buyer Indemnified Party or the Securityholders in accordance with this Agreement, the Consideration Spreadsheet and the Transaction Documents; 
48. The final paragraph of Section 11.01(b) of the Agreement is amended to delete therefrom the words “, or a reduction of any such Securityholder's Pro Rata Share of the Indemnity Escrow Fund”. 
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49.Section 11.01(c) of the Agreement is amended to clarify that the indemnification by the Securityholders to the Securityholder Representative shall be on a joint and several basis, and that the Securityholder Representative shall have no liability towards any of the Securityholders and their affiliates for the allocation set forth under the Consideration Spreadsheet. 
50.Section 11.01(d) of the Agreement is amended to delete therefrom the words “any portion of the Adjustment Escrow Fund, the Indemnity Escrow Fund or”
51.Section 11.01(g) of the Agreement is deleted in its entirety and replaced as follows:
No resignation of the Securityholder Representative shall become effective unless at least thirty (30) days’ prior written notice of the replacement or resignation of such Securityholder Representative (in its discretion) shall have been provided to each Securityholder, Buyer, the Payment Agent and the Escrow Agent.  For the avoidance of doubt, the Securityholder Representative may so resign at  any time, at its sole discretion, without incurring any liability for such resignation per se towards Buyer, it Affiliates, any of the Securityholders, the Payment Agent and/or the Escrow Agent. Buyer and its Affiliates (including, after the Closing, the Company), the Payment Agent and the Escrow Agent shall be entitled to rely at any time after receipt of any such notice on the most recent notice so received.  The Securityholders holding at least a majority of the Pro Rata Shares at any time may remove the Securityholder Representative by a written instrument delivered to the Securityholder Representative, Buyer, the Company, the Payment Agent and the Escrow Agent and, in such event and also if the Securityholder Representative shall have resigned, its successor who shall serve and exercise the powers of the Securityholder Representative hereunder shall be appointed by a written instrument signed by Securityholders holding at least a majority of the interest in the Pro Rata Shares at such time and delivered to Buyer, the Payment Agent and the Escrow Agent.
52.Section 11.01 of the Agreement is amended by adding the following clauses to the end of such Section 11.01: 
(i) In addition to any and all of the Securityholder Representative’s authorities, it is agreed and acknowledged by each Securityholder that the Securityholder Representative, in its capacity as such and subject to all other provisions of this Article XI which shall apply, mutatis mutandis, also to the authorities granted to the Securityholder Representative pursuant to this Amendment, shall be appointed as administrative agent and as collateral agent pursuant to the provisions of the Pledge Agreements (the “Administrative Agent”), and each Securityholder hereby authorizes the Administrative Agent to take such actions on its behalf and to exercise such powers as are delegated to the Administrative Agent by the terms hereof or thereof, together with such actions and powers as are reasonably incidental thereto. It is understood and agreed that the use of the term “agent” herein or in any Pledge Agreement with reference to the Administrative Agent is not intended to connote any fiduciary or other implied (or express) obligations arising under agency doctrine of any applicable Law. Instead such term is used as a matter of market custom, and is intended to create or reflect only an administrative relationship between contracting parties.
(j) Each of the Securityholders hereby irrevocably appoints and authorizes the Administrative Agent to act as the agent of such Securityholder for purposes of acquiring, holding and enforcing any and all liens on collateral pursuant to the Pledge Agreements, together with such powers and discretion as are reasonably incidental thereto, and to release any collateral created pursuant to the Pledge Agreement in accordance with the provisions hereof and thereof. In this connection, the Administrative Agent, as “collateral agent” and any co-agents, sub-agents and attorneys-in-fact appointed by the Administrative Agent for purposes of holding or enforcing any lien on the collateral (or any portion thereof) granted under the Pledge Agreements, or for exercising any rights and remedies thereunder at the direction of the Administrative Agent, shall be entitled to the benefits of all provisions of this Article XI as though such co-agents, sub-agents and attorneys-in-fact were the “collateral agent” under the Pledge Agreements as if set forth in full herein with respect thereto. 
(k) The Person serving as the Administrative Agent hereunder shall have the same rights and powers in its capacity as a Securityholder as any other Securityholder and may exercise the same as though it were not the Administrative Agent. Without limiting the generality of the foregoing, the Administrative Agent is further authorized on behalf of all the Securityholders, without the necessity of any notice to or further consent from the Securityholders, from time to time to take any action, or permit the any co-agents, sub-agents and attorneys-in-fact appointed by the Administrative Agent to take any action, with respect to any collateral or the Pledge Agreements which may be necessary to perfect and maintain perfected the liens upon any collateral granted pursuant to any Pledge Agreements. The Administrative Agent shall not be responsible for the negligence or misconduct of any sub-agents.
(l) In case of the pendency of any proceeding hereunder or any of the Pledge Agreements, the Administrative Agent shall be entitled and empowered, by intervention in such proceeding or otherwise: (a) to file and prove a claim for the whole amount of the principal and interest owing and unpaid to the Securityholders hereunder and to file such other documents as may be necessary or advisable in order to have the claims of the Securityholders and the Administrative 
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Agent allowed in such judicial proceeding; and (b) to collect and receive any monies or other property payable or deliverable on any such claims and to distribute the same; and any custodian, receiver, assignee, trustee, liquidator, sequestrator or other similar official in any such judicial proceeding is hereby authorized by each Securityholder to make such payments to the Administrative Agent or as it shall designate, and, in the event that the Administrative Agent shall consent to the making of such payments directly to the Securityholder, to pay to the Administrative Agent any amount due for the reasonable compensation, expenses, disbursements and advances of the Administrative Agent and its agents and counsel, and any other amounts due the Administrative Agent hereunder and under the Pledge Agreements. 
53.Section 11.05(a) of the Agreement is deleted in its entirety and replaced with the following: 
(a) This Agreement shall be binding upon and shall inure to the benefit of the Parties and their respective successors and permitted assigns.  None of the Parties may assign this Agreement or its rights, interests or obligations hereunder (whether by operation of law or otherwise) without the prior written consent of Buyer and Securityholder Representative, and any purported assignment without such prior written consent shall be null and void ab initio; provided that, prior to the Closing, Buyer may, without the prior written consent of the Securityholder Representative but subject to a prior notice to the Securityholder Representative, assign all or any portion of its rights and obligations under this Agreement to one or more of Buyer’s direct or indirect wholly owned Subsidiaries (who, upon such assignment, shall be entitled to such rights and liable for such obligations, and for the avoidance of doubt, following any such assignment, any references to Buyer’s financial statements shall be deemed a reference to the Parent financial statements, and any reference to controlled Affiliates of Buyer shall mean any Buyer Entity).  Notwithstanding anything to the contrary under the Agreement, each of the Securityholders may assign or otherwise transfer any of its rights or obligations under the Agreement (including without limitation, to any portion of the Aggregate Consideration), without the prior written consent of the Buyer or any other Party, to any assignee, including by way of participation, by way of pledge or assignment of a security interest, or otherwise, subject only to a written notice to that effect to the Buyer and to the Securityholder Representative. No assignment shall relieve the assigning Party of any of its obligations hereunder.
In the event that Buyer assigns its rights and obligations under this Agreement in accordance with the provisions hereof to a Buyer’s direct or indirect wholly owned Subsidiaries as provided above, Parent shall and hereby does continue to unconditionally and irrevocably guarantee and promise to the Securityholders, the performance, fulfillment and observance of each agreement, condition, covenant, obligation and undertaking of Buyer under this Agreement and all Transaction Documents executed by Buyer in connection herewith, on the terms and subject to the conditions set forth herein or therein (collectively, the “Guaranteed Obligations”), and if such Subsidiary of Parent fails to perform, fulfill or observe any of the Guaranteed Obligations in the manner provided in this Agreement or any relevant Transaction Document, Parent shall, upon written demand from the Securityholder Representative, promptly perform, fulfill or observe or cause to be performed, fulfilled or observed such Guaranteed Obligation, as the case may be. The Guaranteed Obligations under this guaranty shall constitute an absolute and unconditional present and continuing guarantee of payment and performance to the extent provided herein and not of collectability, and shall not be contingent upon any attempt by the Securityholder Representative or any Securityholder to enforce payment or performance by such Subsidiary of Parent.
The Guaranteed Obligations are absolute and shall remain in full force and effect without regard to (i) any insolvency, bankruptcy, dissolution, liquidation, reorganization or the like of Parent or such Subsidiary of Parent at any time; or (ii) absence of any notice to, or knowledge by, Parent of the existence or occurrence of any of the applicable matters or events.  
54.The provisions of Section 11.07 of the Agreement shall be amended to add that, notwithstanding anything herein or therein to the contrary, (i) for all matters involving enforcement, crystallization and exercise any rights under the Pledge Agreement (except for the US Pledge Agreement which shall be governed by the laws of the State of New York), shall be governed by the laws of the State of Israel applicable to contracts made and to be performed entirely in the State of Israel, and (ii) any claim made pursuant to the Agreement in connection with claims which requested remedies include, inter alia, the matters refereed to under the foregoing clause (i), the “Chosen Courts” may be, at the sole discretion of the Securityholder Representative, any court of competent jurisdiction in Tel Aviv, Israel (and with respect only to the US Pledge Agreement, also in New York).  Buyer hereby irrevocably consents to the jurisdiction of any such court (and the appropriate appellate courts therefrom) in any such action and irrevocably waives, to the fullest extent permitted by law, any objection that it may now or hereafter have to the laying of the venue of any such action in any such court or that any such action brought in any such court has been brought in an inconvenient forum.
55.Section 11.08 of the Agreement is deleted in its entirety and replaced as follows:
Section 11.08 Arbitration. Notwithstanding any other provision herein to the contrary, the parties hereto understand and agree that all Payment Disputes shall be resolved by final, binding, nonjudicial arbitration in accordance with the Rules of Arbitration of the International Chamber of Commerce pursuant to the following procedures:
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(a) The Securityholder Representative or Buyer may send another party or parties written notice identifying the Payment Dispute at issue and invoking the procedures of this Section 11.08 thereby demanding confidential arbitration conducted by three independent arbitrators, one selected by the Securityholder Representative, one selected by Buyer, and the third (who must be independent of the parties hereto) selected jointly by the two arbitrators previously so selected. All arbitrators must be appointed in accordance with the Rules of Arbitration of the International Chamber of Commerce. The arbitrators shall set a limited time period and establish procedures designed to reduce the cost and time for discovery of information relating to any Payment Dispute and allow a decision to be reached within thirty (30) calendar days while also allowing the parties an opportunity, adequate as determined in the sole judgment of the arbitrators, to discover relevant information from the opposing parties about the subject matter of the Payment Dispute. The arbitrators shall rule upon motions to compel, limit or allow discovery as they shall deem appropriate given the nature and extent of the disputed claim. The arbitrators shall also have the authority to impose sanctions, including attorneys’ fees and other costs incurred by the parties, to the same extent as a court of law or equity, if the arbitrators determine that discovery was sought without substantial justification or that discovery was refused or objected to by a party without substantial justification.  The decision of a majority of the three arbitrators shall be binding and conclusive upon the parties to this Agreement, and, notwithstanding anything to the contrary in this Agreement.  Such decision shall be written and shall be supported by written findings of fact and conclusions of law regarding the Payment Dispute, which shall set forth the award, judgment, decree or order of the arbitrators.
(b) Judgment upon any award, judgment, decree or order rendered by the arbitrators may be entered in any court having competent jurisdiction. Any such arbitration shall be held in New York, New York under the Rules of Arbitration of the International Chamber of Commerce then currently in effect and the language of arbitration shall be English. The non-prevailing party to any arbitration under this Section 11.08 shall pay its own expenses, the fees of each arbitrator, the administrative costs of the arbitration and the expenses, including reasonable attorneys’ fees and costs, incurred by the other party to the arbitration. The parties shall maintain the confidential nature of the arbitration proceeding and any award, judgment, decree or order rendered by the arbitrators, except as may be necessary to prepare for or conduct the arbitration hearing on the merits, or except as may be necessary in connection with a court application for a preliminary remedy, a judicial challenge to an award, judgment, decree or order rendered by the arbitrators or its enforcement, or unless otherwise required by Law or judicial decision.
56.Section 11.09 of the Agreement is deleted in its entirety and replaced follows: 
11.09 Remedies Cumulative; Specific Performance.  
1.Subject to Section 9.03 (including Section 9.03(e)) and Section 10.03(g), the rights and remedies of the Parties hereto shall be cumulative and not exclusive of any rights or remedies provided by applicable Law.  The Parties hereto agree that irreparable damage would occur if any provision of this Agreement were not performed in accordance with the terms hereof and that the Parties shall be entitled to an injunction or injunctions to prevent breaches of this Agreement or to enforce specifically the performance of the terms and provisions of this Agreement in addition to any other remedy to which they are entitled to at law or in equity, in each case without the requirement of posting any bond or other type of security; provided, that, notwithstanding the foregoing or anything to the contrary in this Agreement, other than the Failure to Close Remedy upon the valid termination of this Agreement pursuant to and subject to the provisions of Sections 9.01 and 9.03(a), none of the Company, the Securityholders, or any of their respective Affiliates or Representatives shall have the right to enforce specifically any obligation of the Buyer Related Parties under this Agreement, and the sole and exclusive remedy of the Company, the Securityholders, and their respective Affiliates and Representatives shall be termination of this Agreement pursuant to Section 9.01 and the Failure to Close Remedy in accordance with Section 9.03(a). Following the valid termination of this Agreement pursuant to Section 9.01, none of Buyer or any of its Affiliates or Representatives shall have the right to enforce specifically any obligation of the Company or the Securityholders (including their Subsidiaries and each of their respective Affiliates and  the former, current and future holders of any equity, controlling persons, directors, officers, employees, agents, attorneys, Affiliates, members, managers, general or limited partners, stockholders and assignees of each of the Company, the Securityholders, their Subsidiaries and each of their respective Affiliates), and shall have no right to any remedy from such Persons and their respective Representatives. 
57. A new Schedule 3.04(a) is appended to the Agreement as set forth on Schedule 3.04(a) attached hereto. 
58.A new Schedule 7.18(d) is appended to the Agreement as set forth on Schedule 7.18(d) attached hereto. 
59.Exhibit K attached to the Agreement is deleted and replaced with Exhibit K attached hereto. 
Article II. Miscellaneous
1.Buyer agrees and acknowledges that the Company shall still need to obtain, prior to the Closing, the approval of the shareholders of the Company to this Amendment and the matters referred to herein, in accordance with the provisions 
23

of approval law and the Organizational Documents of the Company, and the Company shall make is reasonable commercial efforts to obtain such approval as soon as possible.
2.The terms of the Agreement are incorporated into this Amendment by this reference.  The Agreement, as referenced in any other document that the parties have executed, means the Agreement as amended by, and read together with, this Amendment (as the Agreement may be further amended or modified after the date hereof in accordance with the terms thereof).  The Agreement, as amended by this Amendment, together with the Schedules and Exhibits to the Agreement and the Transaction Documents (as amended by this Amendment), and including without limitation, the Instructions Letter, constitute the entire agreement between the parties with respect to the transactions contemplated by the Agreement, and supersede all prior agreements and understandings, both oral and written, between the parties with respect to the Transactions including without limitation, that certain Agreement and Written Instructions re Designated Amount and Escrowed Shares, dated as of June 2, 2022, by and among Buyer, the Company, the Securityholder Representative and ESOP Management and Trust Services Ltd. (the “Letter Agreement”).  
3.Each Party agrees that, except as expressly set forth in Article I of this Amendment, (i) the Agreement remains in full force and effect and is ratified and reaffirmed, (ii) the provisions contained in the Agreement will not be superseded or expanded by this Amendment, but will remain in full force and effect to the full extent provided in the Agreement.  Except as expressly set forth in this Amendment, the execution of this Amendment will not, directly or by implication, operate as a waiver of any right, power, or remedy of any party, constitute a waiver of any provision of any of the Agreement, or serve to effect a novation of any obligation thereunder.
4.Sections 1.02, 11.02, 11.03, 11.04(a), 11.04(b), 11.04(c), 11.05, 11.06, 11.07, 11.08, 11.09, 11.10, 11.11 and 11.12 of the Agreement, in each applicable case as modified by this Amendment, shall apply to this Amendment mutatis mutandis.

[Signature Page Next]
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IN WITNESS WHEREOF, the Parties have caused this Amendment to be executed as of the date first written above.

BUYER

BIOVENTUS LLC

/s/ Kenneth M. Reali
Name: Kenneth M. Reali
Title: Chief Executive Officer and Director (Principal Executive Officer)    

COMPANY

CARTIHEAL (2009) LTD.

/s/ Zvika Slovin
Name: Zvika Slovin
Title: Director, Chairman    

SECURITYHOLDER REPRESENTATIVE

ELRON VENTURES LTD.

/s/ Yaron Elad
Name: Yaron Elad
Title: Chief Executive Officer

[SIGNATURE PAGE TO AMENDMENT TO OPTION AND EQUITY PURCHASE AGREEMENT] 

US-DOCS\132136910.5

Schedule 3.04(a)

Closing Statement as of May 17, 2022

(attached) 

US-DOCS\132136910.5

Schedule 7.18(d)

Joint Written Instructions

(attached) 

US-DOCS\132136910.5

Exhibit K

Consideration Spreadsheet

(attached)

US-DOCS\132136910.5

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