Document:

REGISTRATION
RIGHTS AGREEMENT

 

REGISTRATION
RIGHTS AGREEMENT (this “Agreement”), dated as of August 6, 2019, by and among Marrone Bio Innovations,
Inc., a Delaware corporation, with headquarters located at 1540 Drew Avenue, Davis, CA 95618 (the “Company”),
and the Investors (as hereinafter defined).

 

WHEREAS:

 

A.
Pursuant to the Warrant Amendment and Plan of Reorganization Agreement by and among the Company, Ospraie Ag LLC (“Ospraie”)
and Ardsley Partners Renewable Energy Fund, L.P. (“Ardsley”) and Ivan Saval (Mr. Saval, together with Ospraie
and Ardsley, the “Investors” and each, an “Investor”) dated as of the date hereof (the “Warrant
Reorganization Agreement”), the Company has agreed, upon the terms and subject to the conditions of the Warrant Reorganization
Agreement, to issue and sell to each Investor warrants (the “Warrants”), which will be exercisable to purchase
shares of Common Stock (as exercised, collectively, the “Warrant Shares”) in accordance with the terms of the
Warrants.

 

B.
In connection with transactions described above, the Company has agreed to provide certain registration rights under the Securities
Act of 1933, as amended, and the rules and regulations thereunder, or any similar successor statute (collectively, the “1933
Act”).

 

NOW,
THEREFORE, in consideration of the premises and the mutual covenants contained herein and other good and valuable consideration,
the receipt and sufficiency of which are hereby acknowledged, the Company and each of the Investors hereby agree as follows:

 

1.
Definitions.

 

	 	A.	Capitalized
    terms used herein and not otherwise defined herein shall have the respective meanings set forth in the Warrant Reorganization
    Agreement (or, if not defined herein or in the Warrant Reorganization Agreement, the Securities Purchase Agreement, dated
    as of December 15, 2017, by and among the Company and the Investors). As used in this Agreement, the following terms shall
    have the following meanings:

 

(a)
“Additional Effective Date” means the date the Additional Registration Statement is declared effective by the
SEC.

 

(b)
“Additional Effectiveness Deadline” means the date which is the earlier of (x) (i) the date which is one hundred
twenty (120) calendar days after the earlier of the Additional Filing Date and the Additional Filing Deadline and (y) the fifth
(5th) Business Day after the date the Company is notified (orally or in writing, whichever is earlier) by the SEC that such Additional
Registration Statement will not be reviewed or will not be subject to further review; provided, however, that if the Additional
Effectiveness Deadline falls on a Saturday, Sunday or other day that the SEC is closed for business, the Additional Effectiveness
Deadline shall be extended to the next Business Day on which the SEC is open for business.

 

(c)
“Additional Filing Date” means the date on which the Additional Registration Statement is filed with the SEC.

 

(d)
“Additional Filing Deadline” means if Cutback Shares are required to be included in any Additional Registration
Statement, the later of (i) the date sixty (60) days after the date substantially all of the Registrable Securities registered
under the immediately preceding Registration Statement are sold and (ii) the date six (6) months from the Initial Effective Date
or the most recent Additional Effective Date, as applicable.

 

(e)
“Additional Registrable Securities” means, (i) any Cutback Shares not previously included on a Registration
Statement, and (ii) any capital stock of the Company issued or issuable with respect to the Warrants, the Warrant Shares or the
Cutback Shares, as applicable, as a result of any stock split, stock dividend, recapitalization, exchange or similar event or
otherwise, without regard to any limitations on exercise of the Warrants; provided, that any such Additional Registrable
Securities shall cease to be Additional Registrable Securities to the extent: (i) a Registration Statement with respect to the
sale of such Additional Registrable Securities has become effective under the 1933 Act and such Additional Registrable Securities
have been disposed of pursuant to such Registration Statement; (ii) such Additional Registrable Securities are able to be sold
pursuant to Rule 144 without regard to the volume and manner of sale limitations contained thereunder and without the requirement
of the Company to comply with Rule 144(c)(1); (iii) such Additional Registrable Securities shall have been otherwise transferred
and no longer bear a legend restricting transfer under the 1933 Act, and may be resold without registration under the 1933 Act;
or (iv) such Additional Registrable Securities cease to be outstanding.

 

    	 	 	 

     

    

 

(f)
“Additional Registration Statement” means a registration statement or registration statements of the Company
filed under the 1933 Act covering the resale of any Additional Registrable Securities.

 

(g)
“Additional Required Registration Amount” means any Cutback Shares not previously included on a Registration
Statement, without regard to any limitations on the exercise of the Warrants.

 

(h)
“Business Day” means any day other than Saturday, Sunday or any other day on which commercial banks in the
City of New York are authorized or required by law to remain closed.

 

(i)
“Cutback Shares” means any of the Initial Required Registration Amount or the Additional Required Registration
Amount of Registrable Securities not included in any Registration Statements previously declared effective hereunder as a result
of a limitation on the maximum number of shares of Common Stock of the Company permitted to be registered by the staff of the
SEC pursuant to Rule 415. The number of Cutback Shares shall be allocated pro rata among the Investors with each Investor entitled
to elect the portion of its Warrant Shares that are to be considered Cutback Shares.

 

(j)
“effective” and “effectiveness” refer to a Registration Statement that has been declared
effective by the SEC and is available for the resale of the Registrable Securities required to be covered thereby.

 

(k)
“Effective Date” means the Initial Effective Date and the Additional Effective Date, as applicable.

 

(l)
“Effectiveness Deadline” means the Initial Effectiveness Deadline and the Additional Effectiveness Deadline,
as applicable.

 

(m)
“Eligible Market” means the Principal Market, The New York Stock Exchange, Inc., the NYSE American LLC, The
NASDAQ Global Select Market or The NASDAQ Global Market.

 

(n)
“Filing Deadline” means the Initial Filing Deadline and the Additional Filing Deadline, as applicable.

 

(o)
“Initial Effective Date” means the date that the Initial Registration Statement has been declared effective
by the SEC.

 

(p)
“Initial Effectiveness Deadline” means June 30, 2020; provided, however, that that if the Initial Effectiveness
Deadline falls on a Saturday, Sunday or other day that the SEC is closed for business, the Initial Effectiveness Deadline shall
be extended to the next Business Day on which the SEC is open for business.

 

(q)
“Initial Filing Date” means the date on which the Initial Registration Statement is filed with the SEC.

 

(r)
“Initial Filing Deadline” means March 31, 2020.

 

(s)
“Initial Registrable Securities” means the Warrant Shares issued or issuable upon exercise of the Warrants
and (iii) any capital stock of the Company issued or issuable with respect to the Common Shares, the Warrant Shares or the Warrants,
in each case as a result of any stock split, stock dividend, recapitalization, exchange or similar event or otherwise, without
regard to any limitations on the exercise of the Warrants; provided, that any such Initial Registrable Securities shall
cease to be Initial Registrable Securities to the extent: (i) a Registration Statement with respect to the sale of such Initial
Registrable Securities has become effective under the 1933 Act and such Initial Registrable Securities have been disposed of pursuant
to such Registration Statement; (ii) such Initial Registrable Securities are able to be sold pursuant to Rule 144 without regard
to the volume and manner of sale limitations contained thereunder and without the requirement of the Company to comply with Rule
144(c)(1); (iii) such Initial Registrable Securities shall have been otherwise transferred and no longer bear a legend restricting
transfer under the 1933 Act, and may be resold without registration under the 1933 Act; or (iv) such Initial Registrable Securities
cease to be outstanding.

 

(t)
“Initial Registration Statement” means a registration statement or registration statements of the Company filed
under the 1933 Act covering the resale of the Initial Registrable Securities.

 

(u)
“Initial Required Registration Amount” means the sum of (i) the number of Common Shares issued and

 

(i)
the maximum number of Warrant Shares issued and issuable pursuant to the Warrants, each as of the Trading Day immediately preceding
the applicable date of determination, without regard to any limitations on the exercise of the Warrants.

 

(v)
“Investors” means the investors listed on the Schedule of Investors attached hereto and any other holder of
Registrable Securities that is a party to this Agreement or that succeeds to the rights hereunder in accordance with Section 9.

 

(w)
“Lead Investor” means Ospraie Ag Science LLC.

 

    	 	 	 

     

    

 

(x)
“Person” means an individual, a limited liability company, a partnership, a joint venture, a corporation, a
trust, an unincorporated organization and a government or any department or agency thereof.

 

(y)
“Principal Market” means The NASDAQ Capital Market.

 

(z)
“register,” “registered,” and “registration” refer to a registration
effected by preparing and filing one or more Registration Statements (as defined below) in compliance with the 1933 Act and pursuant
to Rule 415, and the declaration or ordering of effectiveness of such Registration Statement(s) by the SEC.

 

(aa)
“Registrable Securities” means the Initial Registrable Securities and the Additional Registrable Securities;
provided, that any such Registrable Securities shall cease to be Registrable Securities to the extent: (i) a Registration
Statement with respect to the sale of such Registrable Securities has become effective under the 1933 Act and such Registrable
Securities have been disposed of pursuant to such Registration Statement; (ii) such Registrable Securities are able to be sold
pursuant to Rule 144 without regard to the volume and manner of sale limitations contained thereunder and without the Company’s
requirement to comply with Rule 144(c)(1); (iii) such Registrable Securities shall have been otherwise transferred and no longer
bear a legend restricting transfer under the 1933 Act, and may be resold without registration under the 1933 Act; or (iv) such
Registrable Securities cease to be outstanding.

 

(bb)
“Registration Statement” means the Initial Registration Statement and the Additional Registration Statement,
as applicable.

 

(cc)
“Required Holders” means the holders of at least a majority of the Registrable Securities and shall include
the Lead Investor so long as the Lead Investor or any of its Affiliates together maintain the Lead Investor Minimum Threshold
(as defined in the Warrants).”

 

(dd)
“Required Registration Amount” means either the Initial Required Registration Amount or the Additional Required
Registration Amount, as applicable.

 

(ee)
“Rule 144” means Rule 144 (or any successor thereto) promulgated under the 1933 Act.

 

(ff)
“Rule 415” means Rule 415 promulgated under the 1933 Act or any successor rule providing for offering securities
on a continuous or delayed basis.

 

(gg)
“SEC” means the United States Securities and Exchange Commission.

 

(hh)
“Trading Day” means any day on which the Common Stock is traded on the Principal Market, or, if the Principal
Market is not the principal trading market for the Common Stock, then on the principal securities exchange or securities market
on which the Common Stock is then traded; provided that “Trading Day” shall not include any day on which the Common
Stock is scheduled to trade on such exchange or market for less than 4.5 hours or any day that the Common Stock is suspended from
trading during the final hour of trading on such exchange or market (or if such exchange or market does not designate in advance
the closing time of trading on such exchange or market, then during the hour ending at 4:00:00 p.m., New York time).

 

2.
Registration.

 

(a)
Initial Mandatory Registration. The Company shall prepare, and, in no event later than the Initial Filing Deadline, file
with the SEC the Initial Registration Statement on Form S-3 covering the resale of all of the Initial Registrable Securities.
In the event that Form S-3 is unavailable for such a registration, the Company shall use such other form as is available for such
a registration on another appropriate form that the Company is then eligible to use, subject to the provisions of Section 2(e).
The Initial Registration Statement prepared pursuant hereto shall register for resale at least the number of shares of Common
Stock equal to the Initial Required Registration Amount determined as of the date the Initial Registration Statement is initially
filed with the SEC. The Initial Registration Statement shall contain the “Plan of Distribution” and “Selling
Stockholders” sections in substantially the form attached hereto as Exhibit B. The Company shall use its reasonable
best efforts to have the Initial Registration Statement declared effective by the SEC no later than the Initial Effectiveness
Deadline. By 9:30 a.m. New York time on the second Business Day following the Initial Effective Date, the Company shall file with
the SEC in accordance with Rule 424 under the 1933 Act the final prospectus to be used in connection with sales pursuant to such
Initial Registration Statement.

 

(b)
Additional Mandatory Registrations. The Company shall prepare, and, as soon as practicable but in no event later than the
Additional Filing Deadline, file with the SEC an Additional Registration Statement on Form S-3 covering the resale of all of the
Additional Registrable Securities not previously registered on an Additional Registration Statement hereunder. To the extent the
staff of the SEC does not permit the Additional Required Registration Amount to be registered on an Additional Registration Statement,
the Company shall file Additional Registration Statements successively trying to register on each such Additional Registration
Statement the maximum number of remaining Additional Registrable Securities until the Additional Required Registration Amount
has been registered with the SEC.

 

    	 	 	 

     

    

 

In
the event that Form S-3 is unavailable for such a registration, the Company shall use such other form as is available for such
a registration on another appropriate form that the Company is then eligible to use, subject to the provisions of Section 2(e).
Each Additional Registration Statement prepared pursuant hereto shall register for resale at least that number of shares of Common
Stock equal to the Additional Required Registration Amount determined as of the date such Additional Registration Statement is
initially filed with the SEC. Each Additional Registration Statement shall contain the “Plan of Distribution” and
“Selling Stockholders” sections in substantially the form attached hereto as Exhibit B. The Company shall use
its reasonable best efforts to have each Additional Registration Statement declared effective by the SEC as soon as practicable,
but in no event later than the Additional Effectiveness Deadline. By 9:30 a.m. New York time on the second Business Day following
the Additional Effective Date, the Company shall file with the SEC in accordance with Rule 424 under the 1933 Act the final prospectus
to be used in connection with sales pursuant to such Additional Registration Statement.

 

(c)
Allocation of Registrable Securities. The initial number of Registrable Securities included in any Registration Statement
and any increase or decrease in the number of Registrable Securities included therein shall be allocated pro rata among the Investors
based on the number of Registrable Securities held by each Investor at the time the Registration Statement covering such initial
number of Registrable Securities or increase or decrease thereof is declared effective by the SEC. In no event shall the Company
include any securities other than Registrable Securities on any Registration Statement without the prior written consent of the
Required Holders.

 

(d)
Investors’ Counsel. Subject to Section 5 hereof, the Required Holders shall have the right to select one legal counsel
for the Investors to review any registration pursuant to this Section 2 (“Investors’ Counsel”), which
shall be Schulte Roth & Zabel LLP or such other counsel as thereafter designated by the Required Holders. The Company and
Investors’ Counsel shall reasonably cooperate with each other in performing the Company’s obligations under this Agreement.

 

(e)
Ineligibility for Form S-3. In the event that Form S-3 is not available for the registration of the resale of Registrable
Securities hereunder, the Company shall (i) use such other form as is available for such a registration on another appropriate
form that the Company is then eligible to use and (ii) use its reasonable best efforts to register the Registrable Securities
on Form S-3 as soon as practicable after the Company becomes eligible to use such form, provided that the Company shall use its
reasonable best efforts to maintain the effectiveness of the Registration Statement then in effect until such time as a Registration
Statement on Form S-3 covering the Registrable Securities has been declared effective by the SEC. Notwithstanding the foregoing,
the Company shall take all actions necessary to maintain its eligibility to register the Registrable Securities for resale by
the Investors on Form S-3.

 

3.
Related Obligations. At such time as the Company is obligated to file a Registration Statement with the SEC pursuant to
Section 2(a), 2(b) or 2(e), the Company will use its reasonable best efforts to effect the registration of the Registrable Securities
in accordance with the intended method of disposition thereof and, pursuant thereto, the Company shall have the following obligations:

 

(a)
The Company shall use its reasonable best efforts to keep each Registration Statement effective pursuant to Rule 415 as long as
the securities covered thereby are Registrable Securities (the “Registration Period”). The Company shall ensure
that each Registration Statement (including any amendments or supplements thereto and prospectuses contained therein) shall not
contain any untrue statement of a material fact or omit to state a material fact required to be stated therein, or necessary to
make the statements therein (in the case of prospectuses, in the light of the circumstances in which they were made) not misleading.
The term “reasonable best efforts” shall mean, among other things, that the Company shall submit to the SEC, within
two (2) Business Days after the later of the date that (i) the Company learns that no review of a particular Registration Statement
will be made by the staff of the SEC or that the staff has no further comments on a particular Registration Statement, as the
case may be, and (ii) the approval of Investors’ Counsel pursuant to Section 3(c) (which approval is immediately sought),
a request for acceleration of effectiveness of such Registration Statement to a time and date not later than two (2) Business
Days after the submission of such request. The Company shall respond in writing to comments made by the SEC in respect of a Registration
Statement as soon as reasonably practicable, but in no event later than fifteen (15) days after the receipt of comments by or
notice from the SEC that an amendment is required in order for a Registration Statement to be declared effective.

 

(b)
The Company shall prepare and file with the SEC such amendments (including post-effective amendments) and supplements to a Registration
Statement and the prospectus used in connection with such Registration Statement, which prospectus is to be filed pursuant to
Rule 424 promulgated under the 1933 Act, as may be necessary to keep such Registration Statement effective at all times during
the Registration Period, and, during such period, comply with the provisions of the 1933 Act with respect to the disposition of
all Registrable Securities covered by such Registration Statement until such time as all of such Registrable Securities shall
have been disposed of in accordance with the intended methods of disposition by the seller or sellers thereof as set forth in
such Registration Statement. In the case of amendments and supplements to a Registration Statement which are required to be filed
pursuant to this Agreement (including pursuant to this Section 3(b)) by reason of the Company filing a report on Form 10-K, Form
10-Q, Form 8-K or any analogous report under the Securities Exchange Act of 1934, as amended (the “1934 Act”),
the Company shall have incorporated such report by reference into such Registration Statement, if applicable, or shall file such
amendments or supplements with the SEC on the same day on which the 1934 Act report is filed which created the requirement for
the Company to amend or supplement such Registration Statement.

 

    	 	 	 

     

    

 

(c)
The Company shall (A) permit Investors’ Counsel to review and comment upon (i) a Registration Statement at least four (4)
Business Days prior to its filing with the SEC and (ii) all amendments and supplements to all Registration Statements (except
for Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K, and any similar or successor reports)
within a reasonable number of days prior to their filing with the SEC, and (B) not file any Registration Statement or amendment
or supplement thereto (except for Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K, and
any similar or successor reports) in a form to which Investors’ Counsel reasonably objects. The Company shall not submit
a request for acceleration of the effectiveness of a Registration Statement or any amendment or supplement thereto without the
prior approval of Investors’ Counsel, which consent shall not be unreasonably withheld. The Company shall furnish to Investors’
Counsel, without charge, (i) copies of any correspondence from the SEC or the staff of the SEC to the Company or its representatives
relating to any Registration Statement, (ii) promptly after the same is prepared and filed with the SEC, one copy of any Registration
Statement and any amendment(s) thereto, including financial statements and schedules, all documents incorporated therein by reference,
if requested by an Investor, and all exhibits and (iii) upon the effectiveness of any Registration Statement, one copy of the
prospectus included in such Registration Statement and all amendments and supplements thereto. The Company shall reasonably cooperate
with Investors’ Counsel in performing the Company’s obligations pursuant to this Section 3.

 

(d)
The Company shall furnish to each Investor whose Registrable Securities are included in any Registration Statement, without charge,
(i) if requested by an Investor, promptly after the same is prepared and filed with the SEC, at least one copy of such Registration
Statement and any amendment(s) thereto, including financial statements and schedules, all documents incorporated therein by reference,
all exhibits and each preliminary prospectus, (ii) upon the effectiveness of any Registration Statement, such number of copies
of the prospectus included in such Registration Statement and all amendments and supplements thereto as such Investor may reasonably
request and (iii) such other documents, including copies of any preliminary or final prospectus, as such Investor may reasonably
request from time to time in order to facilitate the disposition of the Registrable Securities owned by such Investor.

 

(e)
The Company shall use its reasonable best efforts to (i) register and qualify, unless an exemption from registration and qualification
applies, the resale by Investors of the Registrable Securities covered by a Registration Statement under such other securities
or “blue sky” laws of all applicable jurisdictions in the United States, (ii) prepare and file in those jurisdictions
such amendments (including post-effective amendments) and supplements to such registrations and qualifications as may be necessary
to maintain the effectiveness thereof during the Registration Period, (iii) take such other actions as may be necessary to maintain
such registrations and qualifications in effect at all times during the Registration Period, and (iv) take all other actions reasonably
necessary or advisable to qualify the Registrable Securities for sale in such jurisdictions; provided, however, that the Company
shall not be required in connection therewith or as a condition thereto to (x) qualify to do business in any jurisdiction where
it would not otherwise be required to qualify but for this Section 3(e), (y) subject itself to general taxation in any such jurisdiction,
or (z) file a general consent to service of process in any such jurisdiction. The Company shall promptly notify Investors’
Counsel and each Investor of the receipt by the Company of any notification with respect to the suspension of the registration
or qualification of any of the Registrable Securities for sale under the securities or “blue sky” laws of any jurisdiction
in the United States or its receipt of actual notice of the initiation or threatening of any proceeding for such purpose.

 

(f)
The Company shall notify Investors’ Counsel and each Investor in writing of the happening of any event but in any event
on the same Trading Day as such event, as promptly as practicable after becoming aware of such event, as a result of which the
prospectus included in a Registration Statement, as then in effect, includes an untrue statement of a material fact or omits to
state a material fact required to be stated therein or necessary to make the statements therein, in the light of the circumstances
under which they were made, not misleading, (provided that in no event shall notice contain any material, nonpublic information,
unless an Investor gives its prior written consent thereto), and, subject to Section 3(r), promptly prepare a supplement or amendment
to such Registration Statement to correct such untrue statement or omission, and deliver such number of copies of such supplement
or amendment to Investors’ Counsel and each Investor as Investors’ Counsel or such Investor may reasonably request.
The Company shall also promptly notify Investors’ Counsel and each Investor in writing (i) when a prospectus or any prospectus
supplement or post-effective amendment has been filed, and when a Registration Statement or any post-effective amendment has become
effective (notification of such effectiveness shall be delivered to Investors’ Counsel and each Investor by facsimile or
email on the same day of such effectiveness and by overnight mail), (ii) of any request by the SEC for amendments or supplements
to a Registration Statement or related prospectus or related information and (iii) of the Company’s reasonable determination
that a post-effective amendment to a Registration Statement would be appropriate. By 9:30 a.m. New York City time on the second
Business Day following the date any post-effective amendment has become effective, the Company shall file with the SEC in accordance
with Rule 424 under the 1933 Act the final prospectus to be used in connection with sales pursuant to such Registration Statement.

 

    	 	 	 

     

    

 

(g)
The Company shall use its reasonable best efforts to prevent the issuance of any stop order or other suspension of effectiveness
of a Registration Statement, or the suspension of the qualification of any of the Registrable Securities for sale in any jurisdiction
and, if such an order or suspension is issued, use its reasonable best efforts to obtain the withdrawal of such order or suspension
at the earliest possible moment and to notify Investors’ Counsel and each Investor who holds Registrable Securities being
sold of the issuance of such order and the resolution thereof or its receipt of actual notice of the initiation of any proceeding
for such purpose.

 

(h)
If any Investor is required under applicable securities laws to be described in the Registration Statement as an underwriter or
an Investor reasonably believes (based on the advice of Investors’ Counsel) that it could reasonably be deemed to be an
underwriter of Registrable Securities, at the reasonable request of such Investor, the Company shall furnish to such Investor,
on the date of the effectiveness of the Registration Statement and thereafter from time to time on such dates as an Investor may
reasonably request (i) a letter, dated such date, from the Company’s independent certified public accountants in form and
substance as is customarily given by independent certified public accountants to underwriters in an underwritten public offering,
addressed to such Investor, and (ii) an opinion, dated as of such date, of counsel representing the Company for purposes of such
Registration Statement, in form, scope and substance as is customarily given in an underwritten public offering, addressed to
such Investor.

 

(i)
If any Investor is required under applicable securities laws to be described in the Registration Statement as an underwriter or
an Investor reasonably believes (based on the advice of Investors’ Counsel) that it could reasonably be deemed to be an
underwriter of Registrable Securities, the Company shall make available for inspection by (i) such Investor and (ii) Investors’
Counsel and (iii) one firm of accountants or other agents retained by the Investors (collectively, the “Inspectors”),
all pertinent financial and other records, and pertinent corporate documents and properties of the Company (collectively, the
“Records”), as shall be reasonably deemed necessary by each Inspector, and cause the Company’s officers,
directors and employees to supply all information which any Inspector may reasonably request; provided, however, that each Inspector
shall agree to hold in strict confidence and shall not make any disclosure (except to an Investor) or use of any Record or other
information which the Company determines in good faith to be confidential, and of which determination the Inspectors are so notified,
unless (a) the disclosure of such Records is necessary to avoid or correct a material misstatement or omission in any Registration
Statement or is otherwise required under the 1933 Act, (b) the release of such Records is ordered pursuant to a final, non-appealable
subpoena or order from a court or government body of competent jurisdiction, or (c) the information in such Records has been made
generally available to the public other than by disclosure in violation of this Agreement. Each Investor agrees that it shall,
upon learning that disclosure of such Records is sought in or by a court or governmental body of competent jurisdiction or through
other means, give prompt notice to the Company and allow the Company, at its expense, to undertake appropriate action to prevent
disclosure of, or to obtain a protective order for, the Records deemed confidential. Nothing herein (or in any other confidentiality
agreement between the Company and any Investor) shall be deemed to limit the Investors’ ability to sell Registrable Securities
in a manner which is otherwise consistent with applicable laws and regulations.

 

(j)
The Company shall hold in confidence and not make any disclosure of information concerning an Investor provided to the Company
unless (i) disclosure of such information is necessary to comply with federal or state securities laws, (ii) the disclosure of
such information is necessary to avoid or correct a misstatement or omission in any Registration Statement, (iii) the release
of such information is ordered pursuant to a subpoena or other final, non-appealable order from a court or governmental body of
competent jurisdiction, or (iv) such information has been made generally available to the public other than by disclosure in violation
of this Agreement. The Company agrees that it shall, upon learning that disclosure of such information concerning an Investor
is sought in or by a court or governmental body of competent jurisdiction or through other means, give prompt written notice to
such Investor and allow such Investor, at the Investor’s expense, to undertake appropriate action to prevent disclosure
of, or to obtain a protective order for, such information.

 

(k)
The Company shall promptly use its reasonable best efforts to either (i) cause all of the Registrable Securities covered by a
Registration Statement to be listed on each securities exchange on which securities of the same class or series issued by the
Company are then listed, if any, if the listing of such Registrable Securities is then permitted under the rules of such exchange
or (ii) secure the inclusion for quotation of all of the Registrable Securities on the Principal Market or another Eligible Market
that is then the principal trading market on which the Common Stock is listed. The Company shall use its reasonable best efforts
to maintain the authorization for quotation of the Common Stock on the Principal Market or any other Eligible Market. Neither
the Company nor any of its Subsidiaries (as defined in the Warrant Reorganization Agreement) shall take any action which would
be reasonably expected to result in the delisting or suspension of the Common Stock on the Principal Market. The Company shall
pay all fees and expenses in connection with satisfying its obligation under this Section 3(k).

 

    	 	 	 

     

    

 

(l)
The Company shall cooperate with the Investors who hold Registrable Securities being offered and, to the extent applicable, facilitate
the timely preparation and delivery of certificates (not bearing any restrictive legend) representing the Registrable Securities
to be offered pursuant to a Registration Statement and enable such certificates to be in such denominations or amounts, as the
case may be, as the Investors may reasonably request and registered in such names as the Investors may request.

 

(m)
If requested by an Investor, the Company shall as soon as practicable (i) incorporate in a prospectus supplement or post-effective
amendment such information as an Investor reasonably requests to be included therein relating to the sale and distribution of
Registrable Securities, including, without limitation, information with respect to the number of Registrable Securities being
offered or sold, the purchase price being paid therefor and any other terms of the offering of the Registrable Securities to be
sold in such offering (to the extent such information relates to information relating to such Investor); and (ii) make all required
filings of such prospectus supplement or post-effective amendment after being notified of the matters to be incorporated in such
prospectus supplement or post-effective amendment.

 

(n)
The Company shall use its reasonable best efforts to cause the Registrable Securities covered by a Registration Statement to be
registered with or approved by such other governmental agencies or authorities as may be necessary to consummate the disposition
of such Registrable Securities.

 

(o)
The Company shall make generally available to its security holders as soon as practical, but not later than ninety (90) days after
the close of the period covered thereby, an earnings statement (in form complying with, and in the manner provided by, the provisions
of Rule 158 under the 1933 Act) covering a twelve-month period beginning not later than the first day of the Company’s fiscal
quarter next following the applicable Effective Date of a Registration Statement.

 

(p)
The Company shall otherwise use its reasonable best efforts to comply with all applicable rules and regulations of the SEC in
connection with any registration hereunder.

 

(q)
Within two (2) Business Days after a Registration Statement which covers Registrable Securities is declared effective by the SEC,
the Company shall deliver, and shall cause legal counsel for the Company to deliver, to the transfer agent for such Registrable
Securities confirmation that such Registration Statement has been declared effective by the SEC in the form attached hereto as
Exhibit A.

 

(r)
Notwithstanding anything to the contrary herein, at any time after the Effective Date, the Company may delay the disclosure of
material, non-public information concerning the Company the disclosure of which at the time is not, in the good faith opinion
of the Board of Directors of the Company and its counsel, in the best interest of the Company and, in the opinion of counsel to
the Company, otherwise required (a “Grace Period”); provided, that the Company shall promptly (i) notify the
Investors in writing of the existence of material, non- public information giving rise to a Grace Period (provided that in each
notice the Company will not disclose the content of such material, non-public information to the Investors) and the date on which
the Grace Period will begin, and (ii) notify the Investors in writing of the date on which the Grace Period ends; and, provided
further, that no Grace Period shall exceed twenty (20) consecutive days and during any three hundred sixty five (365) day period
such Grace Periods shall not exceed an aggregate of sixty (60) days and the first day of any Grace Period must be at least five
(5) Trading Days after the last day of any prior Grace Period (each, an “Allowable Grace Period”). For purposes
of determining the length of a Grace Period above, the Grace Period shall begin on and include the date the Investors receive
the notice referred to in clause (i) and shall end on and include the later of the date the Investors receive the notice referred
to in clause (ii) and the date referred to in such notice. The provisions of Section 3(g) hereof shall not be applicable during
the period of any Allowable Grace Period. Upon expiration of the Grace Period, the Company shall again be bound by the first sentence
of Section 3(f) with respect to the information giving rise thereto unless such material, non-public information is no longer
applicable. Notwithstanding anything to the contrary, the Company shall cause its transfer agent to deliver unlegended shares
of Common Stock to a transferee of an Investor in accordance with the terms of the Warrant Reorganization Agreement in connection
with any sale of Registrable Securities with respect to which an Investor has entered into a contract for sale, prior to the Investor’s
receipt of the notice of a Grace Period and for which the Investor has not yet settled.

 

(s)
Neither the Company nor any Subsidiary or affiliate thereof shall identify any Investor as an underwriter in any public disclosure
or filing with the SEC, the Principal Market or any Eligible Market and any Investor being deemed an underwriter by the SEC; provided,
however, that the foregoing shall not prohibit the Company from including the disclosure found in the “Plan of Distribution”
section attached hereto as Exhibit B in the Registration Statement.

 

    	 	 	 

     

    

 

(t)
Neither the Company nor any of its Subsidiaries has entered, as of the date hereof, nor shall the Company or any of its Subsidiaries,
on or after the date of this Agreement, without the prior written consent of the Required Holders, enter into any agreement with
respect to its securities, that conflict with or impair the registration rights granted to the Investors in this Agreement or
otherwise conflicts with the provisions hereof.

 

4.
Obligations of the Investors.

 

(a)
At least five (5) Business Days prior to the first anticipated Filing Date of a Registration Statement, the Company shall notify
each Investor in writing of the information the Company requires from each such Investor if such Investor elects to have any of
such Investor’s Registrable Securities included in such Registration Statement. It shall be a condition precedent to the
obligations of the Company to complete any registration pursuant to this Agreement with respect to the Registrable Securities
of a particular Investor that such Investor shall furnish to the Company such information regarding itself, the Registrable Securities
held by it and the intended method of disposition of the Registrable Securities held by it as shall be reasonably required to
effect and maintain the effectiveness of the registration of such Registrable Securities and shall execute such documents in connection
with such registration as the Company may reasonably request.

 

(b)
Each Investor, by such Investor’s acceptance of the Registrable Securities, agrees to cooperate with the Company as reasonably
requested by the Company in connection with the preparation and filing of any Registration Statement hereunder, unless such Investor
has notified the Company in writing of such Investor’s election to exclude all of such Investor’s Registrable Securities
from such Registration Statement.

 

(c)
Each Investor agrees that, upon receipt of any notice from the Company of the happening of any event of the kind described in
Section 3(g) or the first sentence of Section 3(f), such Investor will immediately discontinue disposition of Registrable Securities
pursuant to any Registration Statement(s) covering such Registrable Securities until such Investor’s receipt of copies of
the supplemented or amended prospectus as contemplated by Section 3(g) or the first sentence of Section 3(f) or receipt of notice
that no supplement or amendment is required. Notwithstanding anything to the contrary, the Company shall cause its transfer agent
to deliver unlegended shares of Common Stock to a transferee of an Investor in accordance with the terms of the Warrant Reorganization
Agreement in connection with any sale of Registrable Securities with respect to which an Investor has entered into a contract
for sale prior to the Investor’s receipt of a notice from the Company of the happening of any event of the kind described
in Section 3(g) or the first sentence of Section 3(f) and for which the Investor has not yet settled.

 

(d)
Each Investor covenants and agrees that it will comply with the prospectus delivery requirements of the 1933 Act as applicable
to it or an exemption therefrom in connection with sales of Registrable Securities pursuant to the Registration Statement.

 

5.
Expenses of Registration. All expenses incident to the Company’s performance of or compliance with this Agreement
shall be paid by the Company, including, without limitation, all registration, listing and qualifications fees, printers fees,
fees and expenses of the Company’s independent auditors, and fees and expenses of counsel for the Company shall be paid
by the Company. The Company shall also be responsible for the reasonable fees and disbursements of Investors’ Counsel in
connection with registration, filing or qualification pursuant to Sections 2 and 3 of this Agreement, which amount shall be limited
to $15,000 for each such registration, filing or qualification; provided, however, that the Company shall not be required
to reimburse the Investors’ for fees and disbursements of Investors’ Counsel in accordance with the foregoing with
respect to more than three (3) such registrations. Notwithstanding the foregoing, in connection with any offerings pursuant to
a Registration Statement filed in accordance with this Agreement, each Investor shall pay (i) any underwriting fees, discounts
or commissions attributable to the sale of Registrable Securities by such Investor, (ii) any fees and expenses of brokers, advisors,
accountants or counsel to such Investor (other than as set forth in the immediately preceding sentence) and (iii) any applicable
transfer or similar taxes.

 

    	 	 	 

     

    

 

6.
Indemnification. In the event any Registrable Securities are included in a Registration Statement under this Agreement:

 

(a)
To the fullest extent permitted by law, the Company shall indemnify and hold harmless each Investor, the directors, officers,
partners, members, employees, agents, representatives of, and each Person, if any, who controls any Investor within the meaning
of the 1933 Act or the 1934 Act (each, an “Indemnified Person”), against any losses, claims, damages, liabilities,
judgments, fines, penalties, charges, costs, reasonable attorneys’ fees, amounts paid in settlement or expenses, joint or
several (collectively, “Claims”), incurred in investigating, preparing or defending any action, claim, suit,
inquiry, proceeding, investigation or appeal taken from the foregoing by or before any court or governmental, administrative or
other regulatory agency, body or the SEC, whether pending or threatened, whether or not an indemnified party is or may be a party
thereto (“Indemnified Damages”), to which any of them may become subject insofar as such Claims arise out of
or are based upon: (i) any untrue statement or alleged untrue statement of a material fact in a Registration Statement or any
post-effective amendment thereto or in any filing made in connection with the qualification of the offering under the securities
or other “blue sky” laws of any jurisdiction in which Registrable Securities are offered (“Blue Sky Filing”),
or the omission or alleged omission to state a material fact required to be stated therein or necessary to make the statements
therein not misleading, (ii) any untrue statement or alleged untrue statement of a material fact contained in any preliminary
prospectus if used prior to the effective date of such Registration Statement, or contained in the final prospectus (as amended
or supplemented, if the Company files any amendment thereof or supplement thereto with the SEC) or the omission or alleged omission
to state therein any material fact necessary to make the statements made therein, in light of the circumstances under which the
statements therein were made, not misleading, (iii) any violation or alleged violation by the Company of the 1933 Act, the 1934
Act, any other law, including, without limitation, any state securities law, or any rule or regulation thereunder relating to
the offer or sale of the Registrable Securities pursuant to a Registration Statement or (iv) any violation of this Agreement (the
matters in the foregoing clauses (i) through (iv) being, collectively, “Violations”). Subject to Section 6(c),
the Company shall reimburse the Indemnified Persons, promptly as such expenses are incurred and are due and payable, for any legal
fees or other reasonable expenses incurred by them in connection with investigating or defending any such Claim. Notwithstanding
anything to the contrary contained herein, the indemnification agreement contained in this Section 6(a): (i) shall not apply to
a Claim by an Indemnified Person arising out of or based upon a Violation which occurs in reliance upon and in conformity with
information furnished in writing to the Company by such Indemnified Person or by counsel to such Indemnified Person for such Indemnified
Person expressly for use in connection with the preparation of the Registration Statement or any such amendment thereof or supplement
thereto if such prospectus was timely made available by the Company pursuant to Section 3(d); and (ii) shall not apply to amounts
paid in settlement of any Claim if such settlement is effected without the prior written consent of the Company, which consent
shall not be unreasonably withheld or delayed. Such indemnity shall remain in full force and effect regardless of any investigation
made by or on behalf of the Indemnified Person and shall survive the transfer of the Registrable Securities by the Investors pursuant
to Section 9.

 

(b)
In connection with any Registration Statement in which an Investor is participating, each such Investor shall, severally and not
jointly, indemnify and hold harmless, to the fullest extent permitted by law, the Company, each of its directors and officers
who signs the Registration Statement and each Person, if any, who controls the Company within the meaning of the 1933 Act or the
1934 Act (each, an “Indemnified Party”), against any Claim or Indemnified Damages to which any of them may
become subject, under the 1933 Act, the 1934 Act or otherwise, insofar as such Claim or Indemnified Damages arise out of or are
based upon any Violation, in each case to the extent, and only to the extent, that such Violation occurs in reliance upon and
in conformity with written information furnished to the Company by such Investor or by counsel to such Investor expressly for
use in connection with such Registration Statement; provided, however, that the indemnity agreement contained in this Section
6(b) and the agreement with respect to contribution contained in Section 7 shall not apply to amounts paid in settlement of any
Claim if such settlement is effected without the prior written consent of such Investor, which consent shall not be unreasonably
withheld or delayed; provided, further, however, that the Investor shall be liable under this Section 6(b) for only that amount
of a Claim or Indemnified Damages as does not exceed the net proceeds to such Investor as a result of the sale of Registrable
Securities pursuant to such Registration Statement. Such indemnity shall remain in full force and effect regardless of any investigation
made by or on behalf of such Indemnified Party and shall survive the transfer of the Registrable Securities by the Investors pursuant
to Section 9.

 

(c)
Promptly after receipt by an Indemnified Person or Indemnified Party under this Section 6 of notice of the commencement of any
action or proceeding (including any governmental action or proceeding) involving a Claim, such Indemnified Person or Indemnified
Party shall, if a Claim in respect thereof is to be made against any indemnifying party under this Section 6, deliver to the indemnifying
party a written notice of the commencement thereof, and the indemnifying party shall have the right to participate in, and, to
the extent the indemnifying party so desires, jointly with any other indemnifying party similarly noticed, to assume control of
the defense thereof with counsel selected by the Indemnified Person or the Indemnified Party and reasonably acceptable to the
indemnifying party, as the case may be; provided, however, that an Indemnified Person or Indemnified Party shall have the right
to retain its own counsel with the fees and expenses of not more than one counsel for all such Indemnified Person or Indemnified
Party to be paid by the indemnifying party, if, in the reasonable opinion of counsel retained by the Indemnified Person or Indemnified
Party, as applicable, the representation by such counsel of the Indemnified Person or Indemnified Party, as the case may be, and
the indemnifying party would be inappropriate due to actual or potential differing interests between such Indemnified Person or
Indemnified Party and any other party represented by such counsel in such proceeding. In the case of an Indemnified Person, legal
counsel referred to in the immediately preceding sentence shall be selected by the Investors holding at least a majority in interest
of the Registrable Securities included in the Registration Statement to which the Claim relates. The Indemnified Party or Indemnified
Person shall reasonably cooperate with the indemnifying party in connection with any negotiation or defense of any such action
or Claim by the indemnifying party and shall furnish to the indemnifying party all information reasonably available to the Indemnified
Party or Indemnified Person which relates to such action or Claim. The indemnifying party shall keep the Indemnified Party or
Indemnified Person fully apprised at all times as to the status of the defense or any settlement negotiations with respect thereto.
No indemnifying party shall be liable for any settlement of any action, claim or proceeding effected without its prior written
consent, provided, however, that the indemnifying party shall not unreasonably withhold, delay or condition its consent. No indemnifying
party shall, without the prior written consent of the Indemnified Party or Indemnified Person, consent to entry of any judgment
or enter into any settlement or other compromise which does not include as a term thereof the giving by the claimant or plaintiff
to such Indemnified Party or Indemnified Person of an unconditional release from all liability in respect to such Claim or litigation
and such settlement shall not include any admission as to fault on the part of the Indemnified Party. Following indemnification
as provided for hereunder, the indemnifying party shall be subrogated to all rights of the Indemnified Party or Indemnified Person
with respect to all third parties, firms or corporations relating to the matter for which indemnification has been made. The failure
to deliver written notice to the indemnifying party within a reasonable time of the commencement of any such action shall not
relieve such indemnifying party of any liability to the Indemnified Person or Indemnified Party under this Section 6, except to
the extent that the indemnifying party is prejudiced in its ability to defend such action as a result of such failure or delay.

 

    	 	 	 

     

    

 

(d)
The indemnification required by this Section 6 shall be made by periodic payments of the amount thereof during the course of the
investigation or defense, as and when bills are received or Indemnified Damages are incurred.

 

(e)
The indemnity agreements contained herein shall be in addition to (i) any cause of action or similar right of the Indemnified
Party or Indemnified Person against the indemnifying party or others, and (ii) any liabilities the indemnifying party may be subject
to pursuant to the law.

 

7.
Contribution. If the indemnification provided for in Section 6 is unavailable or insufficient to hold harmless an indemnified
party in respect of any Losses, then each indemnifying party shall, in lieu of indemnifying such indemnified party, contribute
to the amount paid or payable by such indemnified party as a result of such Losses in such proportion as appropriate to reflect
the relative fault of the indemnifying party, on the one hand, and indemnified party, on the other hand, which relative fault
shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of a material fact or
omission or alleged omission to state a material fact relates to information supplied by such indemnified party or indemnifying
party, and such parties’ relative intent, knowledge, access to information and opportunity to correct or mitigate the damage
in respect of or prevent the untrue statement or omission giving rise to such indemnification obligation; provided, however, that:
(i) no Person involved in the sale of Registrable Securities which Person is guilty of fraudulent misrepresentation (within the
meaning of Section 11(f) of the 1933 Act) in connection with such sale shall be entitled to contribution from any Person involved
in such sale of Registrable Securities who was not guilty of fraudulent misrepresentation; and (ii) contribution by any seller
of Registrable Securities shall be limited in amount to the amount of net proceeds received by such seller from the sale of such
Registrable Securities pursuant to such Registration Statement.

 

8. Reports
Under the 1934 Act. With a view to making available to the Investors the benefits of Rule 144, the Company agrees that it
will: (i) make and keep public information available, as those terms are understood and defined in Rule 144; (ii)
without limiting the generality of the foregoing clause (i), file with the SEC in a timely manner all reports and other
documents required of the Company under the 1933 Act and the 1934 Act so long as the Company remains subject to such
requirements (or, if the Company is not required to file such reports, it will, upon the reasonable request of any Investor,
make publicly available such necessary information for so long as necessary to permit sales pursuant to Rule 144); and (iii)
take all such actions necessary to maintain its eligibility to sell such securities pursuant to Rule 144. Upon the request of
an Investor, the Company will deliver to such Investor a written statement as to whether it has complied with such
requirements. The Company shall not terminate its status as an issuer required to file reports under the 1934 Act even if the
1934 Act or the rules and regulations thereunder would no longer require or otherwise permit such termination.

 

9.
Assignment of Registration Rights. The rights of any Investor under this Agreement may be assigned by such Investor to
any transferee of all or any portion of such Investor’s Registrable Securities; provided, that: (i) the Investor agrees
in writing with the transferee or assignee to assign such rights, and a copy of such agreement is furnished to the Company within
a reasonable time after such assignment; (ii) the Company is, within a reasonable time after such transfer or assignment, furnished
with written notice of (a) the name and address of such transferee or assignee, and (b) the Registrable Securities with respect
to which such registration rights are being transferred or assigned; (iii) immediately following such transfer or assignment the
further disposition of such securities by the transferee or assignee is restricted under the 1933 Act or applicable state securities
laws; (iv) at or before the time the Company receives the written notice contemplated by clause (ii) of this sentence, the transferee
or assignee agrees in writing with the Company, in form and substance reasonably acceptable to the Company, to be bound by all
of the provisions contained herein; and (v) such transfer shall have been made in accordance with the applicable requirements
of the Warrant Reorganization Agreement.

 

10.
Amendment of Registration Rights. Provisions of this Agreement may be amended and the observance thereof may be waived
(either generally or in a particular instance and either retroactively or prospectively), only with the written consent of the
Company and the Required Holders. Any amendment or waiver effected in accordance with this Section 10 shall be binding upon each
Investor and the Company. No such amendment shall be effective to the extent that it applies to less than all of the holders of
the Registrable Securities. No consideration shall be offered or paid to any Person to amend or consent to a waiver or modification
of any provision of this Agreement unless the same consideration (other than the reimbursement of legal fees) also is offered
to all of the parties to this Agreement.

 

    	 	 	 

     

    

 

11.
Miscellaneous.

 

(a)
This Agreement shall be effective as of the date hereof. This Agreement shall automatically terminate as to any Investor, at such
time when such Investor ceases to hold any Registrable Securities. This Agreement shall terminate automatically, and the Company
shall have no further obligations hereunder, at such time when no Investor holds Registrable Securities.

 

(b)
If the Company receives conflicting instructions, notices or elections from two or more Persons with respect to the same Registrable
Securities, the Company shall act upon the basis of instructions, notice or election received from such record owner of such Registrable
Securities.

 

(c)
Any notices, consents, waivers or other communications required or permitted to be given under the terms of this Agreement must
be in writing and will be deemed to have been delivered: (i) upon receipt, when delivered personally; (ii) upon delivery, when
sent by facsimile (provided confirmation of transmission is mechanically or electronically generated and kept on file by the sending
party); (iii) upon delivery, when sent by electronic mail (provided that the sending party does not receive an automated rejection
notice); or (iv) one Business Day after deposit with a nationally recognized overnight delivery service, in each case properly
addressed to the party to receive the same. The addresses and facsimile numbers for such communications shall be:

 

If
to the Company:

 

	Marrone
    Bio Innovations, Inc. 

1540 Drew Avenue
	Davis, CA 95618	 
	Telephone:
    	530-302-8289	 
	Facsimile:	530-302-0189	 
	Attention:	Linda
    V. Moore, General Counsel	 
	E-mail:	lmoore@marronebio.com	 

 

With
a copy (for informational purposes only) to:

 

	Morrison
    & Foerster LLP 

425 Market Street
	San
    Francisco, CA 94105	 
	Telephone:	415-258-6213	 
	Facsimile:
    	415-276-7201	 
	Attention:
    	Alfredo
    B. D. Silva, Esq.	 
	Email:	ASilva@mofo.com	 

 

If
to the Transfer Agent:

 

	American
    Stock Transfer & Trust Company, LLC 

6201 15th Avenue
	Brooklyn,
    NY 11219	 
	Telephone:	718-921-8337	 
	Facsimile:	718-765-8795	 
	Attention:	Craig
    Colosso, Relationship Manager	 
	E-mail:	ccolosso@amstock.com	 

 

If
to an Investor, to its address, facsimile number and/or email address set forth on the Schedule of Investors attached hereto,
with copies to such Investor’s representatives as set forth on the Schedule of Investors, or to such other address, facsimile
number and/or email address to the attention of such other Person as the recipient party has specified by written notice given
to each other party five (5) days prior to the effectiveness of such change. Written confirmation of receipt (A) given by the
recipient of such notice, consent, waiver or other communication, (B) mechanically or electronically generated by the sender’s
facsimile machine or e-mail transmission containing the time, date, recipient facsimile number or e-mail address and an image
of the first page of such transmission or (C) provided by a courier or overnight courier service shall be rebuttable evidence
of personal service, receipt by facsimile or receipt from a nationally recognized overnight delivery service in accordance with
clause (i), (ii) or (iii) above, respectively.

 

    	 	 	 

     

    

 

(d)
Failure of any party to exercise any right or remedy under this Agreement or otherwise, or delay by a party in exercising such
right or remedy, shall not operate as a waiver thereof.

 

(e)
All questions concerning the construction, validity,
enforcement and interpretation of this Agreement shall be governed by the internal laws of the State of New York, without giving
effect to any choice of law or conflict of law provision or rule (whether of the State of New York or any other jurisdictions)
that would cause the application of the laws of any jurisdictions other than the State of New York. Each party hereby irrevocably
submits to the exclusive jurisdiction of the state and federal courts sitting in The City of New York, Borough of Manhattan, for
the adjudication of any dispute hereunder or in connection herewith or with any transaction contemplated hereby or discussed herein,
and hereby irrevocably waives, and agrees not to assert in any suit, action or proceeding, any claim that it is not personally
subject to the jurisdiction of any such court, that such suit, action or proceeding is brought in an inconvenient forum or that
the venue of such suit, action or proceeding is improper. Each party hereby irrevocably waives personal service of process and
consents to process being served in any such suit, action or proceeding by mailing a copy thereof to such party at the address
for such notices to it under this Agreement and agrees that such service shall constitute good and sufficient service of process
and notice thereof. Nothing contained herein shall be deemed to limit in any way any right to serve process in any manner permitted
by law. EACH PARTY HEREBY IRREVOCABLY WAIVES ANY RIGHT IT MAY HAVE, AND AGREES NOT TO REQUEST, A JURY TRIAL FOR THE ADJUDICATION
OF ANY DISPUTE HEREUNDER OR IN CONNECTION HEREWITH OR ARISING OUT OF THIS AGREEMENT OR ANY TRANSACTION CONTEMPLATED HEREBY.

 

(f)
If any provision of this Agreement is prohibited by law or otherwise determined to be invalid or unenforceable by a court of competent
jurisdiction, the provision that would otherwise be prohibited, invalid or unenforceable shall be deemed amended to apply to the
broadest extent that it would be valid and enforceable, and the invalidity or unenforceability of such provision shall not affect
the validity of the remaining provisions of this Agreement so long as this Agreement as so modified continues to express, without
material change, the original intentions of the parties as to the subject matter hereof and the prohibited nature, invalidity
or unenforceability of the provision(s) in question does not substantially impair the respective expectations or reciprocal obligations
of the parties or the practical realization of the benefits that would otherwise be conferred upon the parties. The parties will
endeavor in good faith negotiations to replace the prohibited, invalid or unenforceable provision(s) with a valid provision(s),
the effect of which comes as close as possible to that of the prohibited, invalid or unenforceable provision(s).

 

(g)
This Agreement constitutes the entire agreement among the parties hereto with respect to the subject matter hereof. There are
no restrictions, promises, warranties or undertakings, other than those set forth or referred to herein. This Agreement, the other
Transaction Documents and the instruments referenced herein and therein supersede all prior agreements and understandings among
the parties hereto with respect to the subject matter hereof and thereof.

 

(h)
Subject to the requirements of Section 9, this Agreement shall inure to the benefit of and be binding upon the permitted successors
and assigns of each of the parties hereto.

 

(i)
The headings in this Agreement are for convenience of reference only and shall not limit or otherwise affect the meaning hereof.

 

(j)
This Agreement may be executed in identical counterparts, each of which shall be deemed an original but all of which shall constitute
one and the same agreement. This Agreement, once executed by a party, may be delivered to the other party hereto by facsimile
transmission or electronic mail of a copy of this Agreement bearing the signature of the party so delivering this Agreement.

 

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

 

(l)
All consents and other determinations required to be made by the Investors pursuant to this Agreement shall be made, unless otherwise
specified in this Agreement, by the Required Holders, determined as if all of the Warrants held by Investors then outstanding
have been exercised for Registrable Securities without regard to any limitations on exercise of the Warrants.

 

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

 

    	 	 	 

     

    

 

(n)
This Agreement is intended for the benefit of the parties hereto and their respective permitted successors and assigns, and is
not for the benefit of, nor may any provision hereof be enforced by, any other Person.

 

(o)
The obligations of each Investor hereunder are several and not joint with the obligations of any other Investor, and no provision
of this Agreement is intended to confer any obligations on any Investor vis-à-vis any other Investor. Nothing contained
herein, and no action taken by any Investor pursuant hereto, shall be deemed to constitute the Investors as a partnership, an
association, a joint venture or any other kind of entity, or create a presumption that the Investors are in any way acting in
concert or as a group with respect to such obligations or the transactions contemplated herein.

 

*
* * * * *

 

[Signature
Page Follows]

 

    	 	 	 

     

    

 

IN
WITNESS WHEREOF, each Investor and the Company have caused their respective signature page to this Registration Rights Agreement
to be duly executed as of the date first written above.

 

	 	COMPANY:
	 	 
	 	MARRONE
    BIO INNOVATIONS, INC.
	 	 
	 	By:	/s/
    James Boyd 
	 	Name:	James
    Boyd
	 	Title:	President
    and Chief Financial Officer

 

    	 	 	 

     

    

 

IN
WITNESS WHEREOF, each Investor and the Company have caused their respective signature page to this Registration Rights Agreement
to be duly executed as of the date first written above.

 

	 	INVESTORS:
	 	 
	 	OSPRAIE
    AG SCIENCE LLC
	 	 
	 	By:	/s/
    Dwight Anderson 
	 	Name: 	Dwight
    Anderson
	 	Title:	Managing
    Member

 

    	 	 	 

     

    

 

IN
WITNESS WHEREOF, each Investor and the Company have caused their respective signature page to this Registration Rights Agreement
to be duly executed as of the date first written above.

 

	 	INVESTORS:
	 	 
	 	ARDSLEY
    PARTNERS RENEWABLE ENERGY FUND, L.P.
	 	 
	 	By:	/s/
    Steve Napoli
	 	Name:	Steve
    Napoli
	 	Title:	Partner

 

    	 	 	 

     

    

 

IN
WITNESS WHEREOF, each Investor and the Company have caused their respective signature page to this Registration Rights Agreement
to be duly executed as of the date first written above.

 

	 	INVESTORS:
	 	 
	 	/s/
    Ivan Saval
	 	Ivan
    Saval

 

    	 	 	 

     

    

 

SCHEDULE
OF INVESTORS

 

	Investor	 	Investor
    Address and Facsimile Number
	 	 	 
	Ospraie
    Ag Science LLC	 	c/o
                                         Ospraie Management LLC

        437
        Madison Avenue, 28th Floor

        New
        York, NY 10022

        Attention:
        Dwight Anderson

        Telephone: 

        Email:
        

	 	 	 
	Ardsley
    Partners Renewable Energy Fund, L.P.	 	Ardsley
                                         Partners Renewable Energy Fund, L.P.

        262
        Harbor Drive, 4th Floor

        Stamford,
        CT 06902

        Attention:
        Steve Napoli

        Facsimile: 

        Telephone: 

        Email:
        

	 	 	 
	Ivan
    Saval	 	Ivan
                                         Saval 3

        

        Telephone: 

        Email:
        

 

    	 	 	 

     

    

 

EXHIBIT
A

 

FORM
OF NOTICE OF EFFECTIVENESS 

OF REGISTRATION STATEMENT

 

American
Stock Transfer & Trust Company, LLC 6201 15th Avenue

Brooklyn,
NY 11219

Telephone:
718-921-8337

Facsimile:
718-765-8795

Attention:
Craig Colosso, Relationship Manager E-mail: ccolosso@amstock.com

 

Re:
Marrone Bio Innovations, Inc.

 

 Ladies
and Gentlemen:

 

[We
are][I am] counsel to Marrone Bio Innovations, Inc., a Delaware corporation (the “Company”), and have represented
the Company in connection with that certain Registration Rights Agreement, dated as of [ ], 2019 (the “Registration Rights
Agreement”), entered into by and among the Company and the persons named therein (collectively, the “Holders”)
pursuant to which the Company agreed, among other things, to register the resale of the Registrable Securities (as defined in
the Registration Rights Agreement) under the Securities Act of 1933, as amended (the “1933 Act”). In connection
with the Company’s obligations under the Registration Rights Agreement, on                      ,
20         , the Company filed a Registration Statement on Form S-3 (File
No. 333-                                     )
(the “Registration Statement”) with the Securities and Exchange Commission (the “SEC”) relating
to the Registrable Securities which names each of the Holders as a selling stockholder thereunder.

 

In
connection with the foregoing, [we][I] advise you that a member of the SEC’s staff has advised [us][me] by telephone that
the SEC has entered an order declaring the Registration Statement effective under the 1933 Act at [ENTER TIME OF EFFECTIVENESS]
on [ENTER DATE OF EFFECTIVENESS] and to [our][my] knowledge, based on a review of the Stop Orders page of the
SEC’s website, there has not been issued any stop order suspending its effectiveness nor have there been any proceedings
for that purpose instituted nor are any such proceedings pending before or threatened by, the SEC and the Registrable Securities
are available for resale under the 1933 Act pursuant to the Registration Statement.

 

This
letter shall serve as our standing instruction to you that the shares of Common Stock are freely transferable by the Holders pursuant
to the Registration Statement. You need not require further letters from us to effect any future legend-free issuance or reissuance
of shares of Common Stock to the Holders as contemplated by the Company’s Irrevocable Transfer Agent Instructions dated       ,
20  .

 

	 	 	Very
    truly yours,
	 	 	 
	 	 	[ISSUER’S
    COUNSEL]
	 	 	 
	 	 	By: _____________________________________
	CC:
    [LIST NAMES OF HOLDERS]	 	 

 

    	 	 	 

     

    

 

EXHIBIT
B

 

SELLING
STOCKHOLDERS

 

The
common stock being offered by the selling stockholders are those previously issued to the selling stockholders, and those issuable
to the selling stockholders, upon exercise of the warrants. For additional information regarding the issuances of those shares
of common stock and warrants, see “Private Placement of Warrants” above. We are registering the shares of common stock
in order to permit the selling stockholders to offer the shares for resale from time to time. Except for the ownership of the
shares of common stock and the warrants, the selling stockholders have not had any material relationship with us within the past
three years.

 

The
table below lists the selling stockholders and other information regarding the beneficial ownership of the shares of common stock
by each of the selling stockholders. The second column lists the number of shares of common stock beneficially owned by each selling
stockholder, based on its ownership of the shares of common stock and warrants, as of               ,
20     , assuming exercise of the warrants held by the selling stockholders on that date, without
regard to any limitations on exercises.

 

The
third column lists the shares of common stock being offered by this prospectus by the selling stockholders.

 

In
accordance with the terms of a registration rights agreement with the selling stockholders, this prospectus generally covers the
resale of at least the sum of (i) the maximum number of shares of common stock issued and (ii) the maximum number of shares of
common stock issuable upon exercise of the related warrants, determined as if the outstanding warrants were exercised in full
as of the trading day immediately preceding the date this registration statement was initially filed with the SEC, each as of
the trading day immediately preceding the applicable date of determination and all subject to adjustment as provided in the registration
right agreement, without regard to any limitations on the exercise of the warrants. The fourth column assumes the sale of all
of the shares offered by the selling stockholders pursuant to this prospectus.

 

	Name
                                         of Selling

                                                                                Stockholder
	 	Number
    of shares of

 Common Stock Owned

 Prior to Offering	 	Maximum
                                         Number of 

        shares
        

        of
        Common Stock to be 

        Sold
        

        Pursuant
        to this 

        Prospectus
	 	Number
                                         of shares of

 Common Stock Owned

        After
        Offering

	 	 	 	 	 	 	 
	Ospraie
    Ag Science LLC	 	 	 	 	 	 
	 	 	 	 	 	 	 
	Ardsley Partners Renewable Energy Fund, L.P.	 	 	 	 	 	 
	 	 	 	 	 	 	 
	Ivan Saval	 	 	 	 	 	 

 

    	 	 	 

     

    

 

PLAN
OF DISTRIBUTION

 

We
are registering the shares of common stock previously issued and upon exercise of the warrants to permit the resale of these shares
of common stock by the holders thereof and holders of the shares of common stock warrants from time to time after the date of
this prospectus. We will not receive any of the proceeds from the sale by the selling stockholders of the shares of common stock.
We will bear all fees and expenses incident to our obligation to register the shares of common stock.

 

The
selling stockholders may sell all or a portion of the shares of common stock beneficially owned by them and offered hereby from
time to time directly or through one or more underwriters, broker-dealers or agents. If the shares of common stock are sold through
underwriters or broker-dealers, the selling stockholders will be responsible for underwriting discounts or commissions or agent’s
commissions. The shares of common stock may be sold in one or more transactions at fixed prices, at prevailing market prices at
the time of the sale, at varying prices determined at the time of sale, or at negotiated prices. These sales may be effected in
transactions, which may involve crosses or block transactions,

 

	 	●	on
    any national securities exchange or quotation service on which the securities may be listed or quoted at the time of sale;
	 	●	in
    the over-the-counter market;
	 	●	in
    transactions otherwise than on these exchanges or systems or in the over-the- counter market;
	 	●	through
    the writing of options, whether such options are listed on an options exchange or otherwise;
	 	●	ordinary
    brokerage transactions and transactions in which the broker-dealer solicits purchasers;
	 	●	block
    trades in which the broker-dealer will attempt to sell the shares as agent but may position and resell a portion of the block
    as principal to facilitate the transaction;
	 	●	purchases
    by a broker-dealer as principal and resale by the broker-dealer for its account;
	 	●	an
    exchange distribution in accordance with the rules of the applicable exchange;
	 	●	privately
    negotiated transactions;
	 	●	short
    sales;
	 	●	sales
    pursuant to Rule 144;
	 	●	broker-dealers
    may agree with the selling security holders to sell a specified number of such shares at a stipulated price per share;
	 	●	a
    combination of any such methods of sale; and
	 	●	any
    other method permitted pursuant to applicable law.

 

If
the selling stockholders effect such transactions by selling shares of common stock to or through underwriters, broker-dealers
or agents, such underwriters, broker-dealers or agents may receive commissions in the form of discounts, concessions or commissions
from the selling stockholders or commissions from purchasers of the shares of common stock for whom they may act as agent or to
whom they may sell as principal (which discounts, concessions or commissions as to particular underwriters, broker-dealers or
agents may be in excess of those customary in the types of transactions involved). In connection with sales of the shares of common
stock or otherwise, the selling stockholders may enter into hedging transactions with broker-dealers, which may in turn engage
in short sales of the shares of common stock in the course of hedging in positions they assume. The selling stockholders may also
sell shares of common stock short and deliver shares of common stock covered by this prospectus to close out short positions and
to return borrowed shares in connection with such short sales. The selling stockholders may also loan or pledge shares of common
stock to broker-dealers that in turn may sell such shares.

 

The
selling stockholders may pledge or grant a security interest in some or all of the warrants or shares of common stock owned by
them and, if they default in the performance of their secured obligations, the pledgees or secured parties may offer and sell
the shares of common stock from time to time pursuant to this prospectus or any amendment to this prospectus under Rule 424(b)(3)
or other applicable provision of the Securities Act of 1933, as amended, amending, if necessary, the list of selling stockholders
to include the pledgee, transferee or other successors in interest as selling stockholders under this prospectus. The selling
stockholders also may transfer and donate the shares of common stock in other circumstances in which case the transferees, donees,
pledgees or other successors in interest will be the selling beneficial owners for purposes of this prospectus.

 

The
selling stockholders and any broker-dealer participating in the distribution of the shares of common stock may be deemed to be
“underwriters” within the meaning of the Securities Act, and any commission paid, or any discounts or concessions
allowed to, any such broker-dealer may be deemed to be underwriting commissions or discounts under the Securities Act. At the
time a particular offering of the shares of common stock is made, a prospectus supplement, if required, will be distributed which
will set forth the aggregate amount of shares of common stock being offered and the terms of the offering, including the name
or names of any broker-dealers or agents, any discounts, commissions and other terms constituting compensation from the selling
stockholders and any discounts, commissions or concessions allowed or reallowed or paid to broker-dealers.

 

    	 	 	 

     

    

 

Under
the securities laws of some states, the shares of common stock may be sold in such states only through registered or licensed
brokers or dealers. In addition, in some states the shares of common stock may not be sold unless such shares have been registered
or qualified for sale in such state or an exemption from registration or qualification is available and is complied with.

 

There
can be no assurance that any selling stockholder will sell any or all of the shares of common stock registered pursuant to the
registration statement, of which this prospectus forms a part.

 

The
selling stockholders and any other person participating in such distribution will be subject to applicable provisions of the Securities
Exchange Act of 1934, as amended, and the rules and regulations thereunder, including, without limitation, Regulation M of the
Exchange Act, which may limit the timing of purchases and sales of any of the shares of common stock by the selling stockholders
and any other participating person. Regulation M may also restrict the ability of any person engaged in the distribution of the
shares of common stock to engage in market-making activities with respect to the shares of common stock. All of the foregoing
may affect the marketability of the shares of common stock and the ability of any person or entity to engage in market-making
activities with respect to the shares of common stock.

 

We
will pay all expenses of the registration of the shares of common stock pursuant to the registration rights agreement, estimated
to be $             in total, including, without limitation,
Securities and Exchange Commission filing fees and expenses of compliance with state securities or “blue sky” laws;
provided, however, that a selling stockholder will pay all underwriting discounts and selling commissions, if any. We will indemnify
the selling stockholders against liabilities, including some liabilities under the Securities Act, in accordance with the registration
rights agreements, or the selling stockholders will be entitled to contribution. We may be indemnified by the selling stockholders
against civil liabilities, including liabilities under the Securities Act, that may arise from any written information furnished
to us by the selling stockholder specifically for use in this prospectus, in accordance with the related registration rights agreement,
or we may be entitled to contribution.

 

Once
sold under the registration statement, of which this prospectus forms a part, the shares of common stock will be freely tradable
in the hands of persons other than our affiliates.Exhibit 10.1

 

STOCK PURCHASE AGREEMENT

 

STOCK PURCHASE AGREEMENT
(the “Agreement”) made as of this 5th day of August, 2019, by and between QPAGOS, a Nevada corporation (the
“Seller”) and Vivi Holdings, Inc., a Delaware corporation (the “Buyer”).

 

WITNESSETH:

 

WHEREAS, the
Seller owns one hundred percent (100%) of the outstanding common stock, $.001 par value (the “Shares”), of
QPAGOS Corporation, a Delaware corporation (the “Company”), and the Buyer desires to purchase from the Seller,
and Seller desires to sell, the Shares upon the terms and conditions hereinafter set forth herein.

 

NOW, THEREFORE,
in consideration of the mutual covenants and promises herein contained and upon the terms and conditions hereinafter set forth,
the parties hereto, intending to be legally bound, agree as follows:

 

ARTICLE I 

PURCHASE AND SALE OF SHARES.

 

Upon the terms and
conditions herein contained, at the Closing (as hereinafter defined), the Seller will sell, assign and transfer to the Buyer and
the Buyer will purchase from the Seller all rights of the Seller in and to the Shares (the “Sale”), free and
clear of all liens, claims, pledges, mortgages, restrictions, obligations, security interests and encumbrances of any kind, nature
and description.

 

ARTICLE II 

CONSIDERATION

 

In consideration for
the Shares the Buyer shall issue to the Seller (or its designees) an aggregate of Two Million Two Hundred Fifty Thousand (2,250,000)
fully paid and non-assessable shares of its common stock, $.001 par value (the “Buyer Common Stock”)1.

 

ARTICLE III 

CLOSING

 

The closing of the
transactions contemplated by this Agreement (the “Closing”) shall take place at the offices of Buyer, at 10:00
a.m. (local time) on the date that is two business days following the satisfaction or waiver of each of the conditions set forth
in Article 8 unless Buyer and Seller agree otherwise. simultaneously with the execution of this Agreement.

 

ARTICLE IV

SELLER REPRESENTATIONS AND WARRANTIES.

 

Seller hereby represents
and warrants to Buyer, as of the date hereof and as of the Closing Date as though made at the Closing Date, subject to such exceptions
as are specifically disclosed in writing (with reference to a specific section of this Agreement to which each such exception applies;
provided, however, that if any section of the Seller Disclosure Letter, as defined below, discloses
an item or information in such a way as to make its relevance to the disclosure required by another section reasonably apparent
based upon the substance of such disclosure, the matter shall be deemed to have been disclosed in such other section of the Seller
Disclosure Letter, notwithstanding the omission of an appropriate cross-reference to such other section) in a disclosure letter
supplied by Seller to Buyer, dated as of the date hereof and certified by a duly authorized officer of Seller (the “Seller
Disclosure Letter”), as follows:

 

 

1 Nine percent
(9%) of the Buyer Common Stock shall be allocated to the following designees, Gaston Pereira (5%), Andrey Novikov (2.5%), Joseph
Abrams (1.5%).

 

     

     

    

 

4.1  Organization
and Qualification.

 

(a)  Each
of Seller, the Company and the Company’s subsidiaries is a corporation duly organized, validly existing and in good standing
under the laws of the jurisdiction of its incorporation and has the requisite corporate power and authority to own, lease and operate
its assets and properties and to carry on its business as it is now being conducted.  Each of the Company and its subsidiaries
is in possession of all franchises, grants, authorizations, licenses, permits, easements, consents, certificates, approvals and
orders (“Approvals”) necessary to own, lease and operate the properties it purports to own, operate or lease
and to carry on its business as it is now being conducted, except where the failure to have such Approvals would not, individually
or in the aggregate, have a Material Adverse Effect (as defined in Section 11.3(c)) on the Company or its subsidiaries.  Each
of the Company and its subsidiaries is duly qualified or licensed as a foreign corporation to do business, and is in good standing,
in each jurisdiction where the character of the properties owned, leased or operated by it or the nature of its activities makes
such qualification or licensing necessary, except for such failures to be so duly qualified or licensed and in good standing that
would not, either individually or in the aggregate, have a Material Adverse Effect on the Company or its subsidiaries.

 

(b)  The
Company has no subsidiaries except for the entities identified in Section 4.1(b) of the Seller Disclosure Letter. Neither the Company
nor any of its subsidiaries has agreed, is it obligated to make, or is bound by, any written, oral or other agreement, contract,
sub-contract, lease, binding understanding, instrument, note, option, warranty, purchase order, license, sub-license, insurance
policy, benefit plan, commitment, or undertaking of any nature, as of the date hereof or as may hereafter be in effect under which
it may become obligated to make, any future investment in or capital contribution to any other entity.  Neither the Company
nor any of its subsidiaries directly or indirectly owns any equity or similar interest in or any interest convertible, exchangeable
or exercisable for, any equity or similar interest in, any corporation, partnership, joint venture or other business, association
or entity.

 

4.2  Certificate
of Incorporation and Bylaws.  The Company and each of its subsidiaries has previously furnished to Buyer a complete and
correct copy of its Certificate of Incorporation and Bylaws or any equivalent organizational documents, as amended to date. Such
Certificate of Incorporation, Bylaws and equivalent organizational documents of the Company and each of its subsidiaries are in
full force and effect.  Neither the Company nor any of its subsidiaries is in violation of any of the provisions of its Certificate
of Incorporation or Bylaws or equivalent organizational documents.

 

4.3
Capitalization.

 

(a) The authorized
capital stock of the Company consists of fifty million (50,000,000) shares of common stock, $.001 par value, and ten million (10,000,000)
shares of preferred stock, $.001 par value, of which only the Shares are issued and outstanding. The Shares have been duly authorized
and are validly issued, fully paid and non-assessable. Except as set forth in Section 4.3 (a) of the Seller Disclosure Letter,
the Company owns all of the issued and outstanding shares of its subsidiaries, which shares have been duly authorized and are validly
issued, fully paid and non-assessable. The Shares and all outstanding shares of capital stock of each subsidiary of the Company
have been issued and granted in compliance with (i) all applicable securities laws and other applicable federal, state, local,
municipal, foreign or other law, statute, constitution, principle of common law, resolution, ordinance, code, edict, decree, rule,
regulation, ruling or requirement issues, enacted, adopted, promulgated, implemented or otherwise put into effect by or under the
authority of any Governmental Entity (as defined below) and (ii) all requirements set forth in applicable contracts, agreements,
and instruments. 

 

    2

     

    

 

(b) Seller owns the
Shares free and clear of all liens, pledges, hypothecations, charges, mortgages, security interests, encumbrances, claims, infringements,
interferences, options, right of first refusals, preemptive rights, community property interests or restriction of any nature (including
any restriction on the voting of any security, any restriction on the transfer of any security or other asset, any restriction
on the possession, exercise or transfer of any other attribute of ownership of any asset) directly or indirectly through one or
more subsidiaries, as of the date of this Agreement, there are no equity securities, partnership interests or similar ownership
interests of any class of equity security of the Company or any subsidiary of the Company, or any security exchangeable or convertible
into or exercisable for such equity securities, partnership interests or similar ownership interests, issued, reserved for issuance
or outstanding. There are no subscriptions, options, warrants, equity securities, partnership interests or similar ownership interests,
calls, rights (including preemptive rights), commitments or agreements of any character to which Seller, the Company or any of
their subsidiaries is a party or by which they are bound obligating Seller, the Company or any of their subsidiaries to issue,
deliver or sell, or cause to be issued, delivered or sold, or repurchase, redeem or otherwise acquire, or cause the repurchase,
redemption or acquisition of, any shares of capital stock, partnership interests or similar ownership interests of the Company
or any of its subsidiaries or obligating the Company or any of its subsidiaries to grant, extend, accelerate the vesting of or
enter into any such subscription, option, warrant, equity security, call, right, commitment or agreement. As of the date of this
Agreement, there are no registration rights and there is, no voting trust, proxy, rights plan, antitakeover plan or other agreement
or understanding to which the Company or any of its subsidiaries is a party or by which they are bound with respect to any equity
security of any class of Company or with respect to any equity security, partnership interest or similar ownership interest of
any class of any of its subsidiaries.

 

4.4 Authority Relative
to this Agreement.  Seller has all necessary corporate power and authority to execute and deliver this Agreement and
to perform its obligations hereunder and, subject to obtaining the approval of the stockholders of Seller of the Sale, to consummate
the transactions contemplated hereby. The execution and delivery of this Agreement by Seller and the consummation by Seller of
the transactions contemplated hereby and thereby have been duly and validly authorized by all necessary corporate action on the
part of Seller and no other corporate proceedings on the part of Seller are necessary to authorize this Agreement or to consummate
the transactions so contemplated (other than, with respect to the Sale, the approval and adoption of this Agreement and the approval
of the Sale by holders of a majority of the outstanding shares of Seller’s capital stock in accordance with Nevada Law and
Seller’s Articles of Incorporation and Bylaws).  This Agreement has been duly and validly executed and delivered by
Seller and, assuming the due authorization, execution and delivery by Buyer, constitutes legal and binding obligations of Seller,
enforceable against Seller in accordance with their respective terms.

 

    3

     

    

 

4.5  No
Conflict; Required Filings and Consents.

 

(a)  The
execution and delivery of this Agreement by Seller does not, and the performance of this Agreement by Seller will not, (i) conflict
with or violate the Articles of Incorporation or Bylaws or equivalent organizational documents of Seller or any of its subsidiaries,
(ii) subject to obtaining the approval of Seller’s stockholders in favor of approval and adoption of this Agreement
and approval of the Sale, and obtaining the consents, approvals, authorizations and permits and making registrations, filings and
notifications set forth in Section 4.5(b) hereof (or Section 4.5(b) of the Seller Disclosure Letter), to
the best of Seller’s knowledge, conflict with or violate any law, rule, regulation, order, judgment or decree applicable
to Seller, the Company or any of their subsidiaries or by which any of their respective properties is bound or affected, or (iii) result
in any breach of or constitute a default (or an event that with notice or lapse of time or both would become a default) under,
or impair the Company’s or any of its subsidiaries rights or alter the rights or obligations of any third party under, or
give to others any rights of termination, amendment, acceleration or cancellation of, or result in the creation of a lien or encumbrance
on any of the properties or assets of the Company or any of its subsidiaries pursuant to, any material note, bond, mortgage, indenture,
contract, agreement, lease, license, permit, franchise or other instrument or obligation to which Seller, the Company or any of
their subsidiaries is a party or by which Seller, the Company, any of their subsidiaries or any of their respective properties
are bound or affected, except in the case of clauses (ii) and (iii), to the extent such conflict, violation, breach, default,
impairment or other effect could not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect
on the Company or its subsidiaries.

 

(b)  The execution
and delivery of this Agreement by Seller does not, and the performance of this Agreement by Seller will not, require any consent,
approval, authorization or permit of, or registration, filing with or notification to, any court, administrative agency, commission,
governmental or regulatory authority, domestic or foreign (each, a “Governmental Entity” and, collectively,
“Governmental Entities”), except for (i) applicable requirements, if any, of the Securities Act of 1933,
as amended (the “Securities Act”), the Securities Exchange Act of 1934, as amended (the “Exchange
Act”), state securities laws (“Blue Sky Laws”), and the rules and regulations promulgated
thereunder and (ii) where the failure to obtain such consents, approvals, authorizations or permits, or to make such filings
or notifications, (A) would not prevent consummation of the Sale or otherwise prevent Seller from performing its obligations
under this Agreement, or (B) could not, individually or in the aggregate, reasonably be expected to have a Material Adverse
Effect on the Company or its subsidiaries.

 

4.6 SEC Filings.
Seller has made available to Buyer a correct and complete copy of each report, schedule, registration statement and definitive
proxy statement filed by Seller with the Securities and Exchange Commission (the “SEC”) on or after January 1,
2018 and prior to the date of this Agreement (the “Seller SEC Reports”), which are all the forms, reports and
documents required to be filed by Seller with the SEC since such date. The Seller SEC Reports (i) were prepared in accordance
with the requirements of the Securities Act or the Exchange Act, as the case may be, and (ii) did not at the time they were
filed (or if amended or superseded by a filing prior to the date of this Agreement then on the date of such filing) contain any
untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary in order to make
the statements therein, in light of the circumstances under which they were made, not misleading. Neither the Company nor any
of its subsidiaries is required to file any reports or other documents with the SEC.

 

4.7  Compliance;
Permits.

 

(a)  Neither
the Company nor any of its subsidiaries is in conflict with, or in default or violation of, (i) any law, rule, regulation,
order, judgment or decree applicable to the Company or any of its subsidiaries or by which its or any of their properties is bound
or affected, or (ii) any material note, bond, mortgage, indenture, contract, agreement, lease, license, permit, franchise
or other instrument or obligation to which the Company or any of its subsidiaries is a party or by which the Company or any of
its subsidiaries or its or any of their respective properties is bound or affected, except for any conflicts, defaults or violations
that (individually or in the aggregate) would not have a Material Adverse Effect on the Company or its subsidiaries. No investigation
or review by any governmental or regulatory body or authority is pending or, to the knowledge of Seller, threatened against the
Company or its subsidiaries, nor has any governmental or regulatory body or authority indicated an intention to conduct the same,
other than, in each such case, those the outcome of which could not, individually or in the aggregate, reasonably be expected to
have a Material Adverse Effect on the Company or its subsidiaries.

 

    4

     

    

 

(b) The Company and
its subsidiaries hold all permits, licenses, variances, exemptions, orders and approvals from Governmental Entities which are
material to the operation of the business of the Company and its subsidiaries (collectively, the “Company Permits”). 
The Company and its subsidiaries are in compliance in all material respects with the terms of the Company Permits.

 

4.8 No Undisclosed
Liabilities. Neither the Company nor any of its subsidiaries has any liabilities (absolute, accrued, contingent or otherwise)
of a nature required to be disclosed on a balance sheet or in the related notes to the consolidated financial statements prepared
in accordance with GAAP, which are, individually or in the aggregate, material to the business, results of operations, financial
condition or prospects of the Company and its subsidiaries taken as a whole except (i) liabilities provided for in the Seller SEC
Reports, (ii) liabilities reflected in the Seller Disclosure Letter, or (iii) liabilities incurred since the date reflected in
the Seller SEC Reports in the ordinary course of business.

 

4.9 Absence of Certain
Changes or Events. Since the date of the last filed Seller SEC Report, there has not been: (i) any Material Adverse
Effect on the Company or any of its subsidiaries, (ii) any declaration, setting aside or payment of any dividend on, or other
distribution (whether in cash, stock or property) in respect of, any of the Company’s or any of its subsidiaries’ capital
stock, or any purchase, redemption or other acquisition by Seller or the Company of any of the Company’s capital stock or
any other securities of the Company or its subsidiaries or any options, warrants, calls or rights to acquire any such shares or
other securities, (iii) any split, combination or reclassification of any of the Company’s or any of its subsidiaries’
capital stock, (iv) any granting by the Company or any of its subsidiaries of any increase in compensation or fringe benefits,
except for normal increases of cash compensation in the ordinary course of business consistent with past practice, or any payment
by the Company or any of its subsidiaries of any bonus, except for bonuses made in the ordinary course of business consistent with
past practice, or any granting by the Company or any of its subsidiaries of any increase in severance or termination pay or any
entry by the Company or any of its subsidiaries into any currently effective employment, severance, termination or indemnification
agreement or any agreement the benefits of which are contingent or the terms of which are materially altered upon the occurrence
of a transaction involving Seller of the nature contemplated hereby, (v) entry by the Company or any of its subsidiaries into
any licensing or other agreement with regard to the acquisition or disposition of any Intellectual Property (as defined in Section 4.18
hereof) other than licenses in the ordinary course of business consistent with past practice, and other than any licenses disclosed
on Section 4.18(j) of the Seller Disclosure Letter, (vi) any material change by the Company in its accounting
methods, principles or practices, except as required by concurrent changes in GAAP, (vii) any revaluation by the Company or
any of its subsidiaries of any of its or their assets, including, without limitation, writing down the value of capitalized inventory
or writing off notes or accounts receivable, or (viii) any sale of assets of the Company or its subsidiaries other than in
the ordinary course of business.

 

4.10 Absence of
Litigation. Except as set forth in Section 4.10 of the Seller Disclosure Letter, there are no claims, actions,
suits or proceedings pending or, to the knowledge of Seller, threatened (or, to the knowledge of Seller, any governmental or regulatory
investigation pending or threatened) against the Company or any of its subsidiaries or any properties or rights of the Company
or any of its subsidiaries, before any Governmental Entity.

 

    5

     

    

  

4.11 Employee Benefit
Plans.

 

(a) Neither the Company
nor any of its subsidiaries has at any time ever maintained, established, sponsored, participated in, or contributed to, any employee
compensation, incentive, fringe or benefit plans, programs, policies, commitments or other arrangements (whether or not set forth
in a written document and including, without limitation, all “employee benefit plans” (within the meaning of Section 3(3) of
the Employee Retirement Income Security Act of 1974, as amended (“ERISA”)) covering (i) any active or
former employee, director or consultant of the Company, (ii) any subsidiary of the Company, or (iii) any trade or business
(whether or not incorporated) which is a member of a controlled group or which is under common control with the Company within
the meaning of Section 414 of the Internal Revenue Code of 1986, as amended (the “Code”), or with respect
to which the Company or any of its subsidiaries has or, to Seller’s knowledge, may in the future have liability.

 

(b) Neither the Company
nor any of its subsidiaries has at any time ever maintained, established, sponsored, participated in, or contributed to any plan
subject to Title IV of ERISA or Section 412 of the Code and at no time has Seller or any of its subsidiaries contributed
to or been requested to contribute to any “multiemployer plan,” as such term is defined in ERISA or to any plan described
in Section 413(c) of the Code. Neither the Company, any of its subsidiaries, nor any officer or director of the
Company or any of its subsidiaries is subject to any liability or penalty under Section 4975 through 4980B of the Code or
Title I of ERISA. There are no audits, inquiries or proceedings pending or, to the knowledge of Seller, threatened by the
Internal Revenue Service or Department of Labor with respect to any employee benefit plan of the Company or any of its subsidiaries.

 

(d) Neither the Company
nor any of its subsidiaries has in any material respect, violated any of the health continuation requirements of the Consolidated
Omnibus Budget Reconciliation Act of 1985, as amended (“COBRA”), the requirements of Family Medical Leave
Act of 1993, as amended, the requirements of the Women’s Health and Cancer Rights Act, as amended, the requirements of the
Newborns’ and Mothers’ Health Protection Act of 1996, as amended, or any similar provisions of state law applicable
to employees of the Company or any of its subsidiaries. 

 

(e) Neither the Company
nor any of its subsidiaries is bound by or subject to (and none of its respective assets or properties is bound by or subject to)
any arrangement with any labor union. No employee of the Company or any of its subsidiaries is represented by any labor union
or covered by any collective bargaining agreement and, to the knowledge of Seller, no campaign to establish such representation
is in progress. There is no pending or, to the knowledge of Seller, threatened labor dispute involving the Company or any of its
subsidiaries and any group of its employees nor has the Company or any of its subsidiaries experienced any labor interruptions
over the past three (3) years, and the Company and its subsidiaries consider their relationships with their employees to be
good. The Company and its subsidiaries are in compliance in all material respects with all applicable foreign, federal, state
and local laws, rules and regulations regarding employment, employment practices, terms and conditions of employment and wages
and hours.

 

(f) Neither the execution
and delivery of this Agreement nor the consummation of the transactions contemplated hereby will result in any payment (including
severance, unemployment compensation, golden parachute, bonus or otherwise) becoming due to any stockholder, director or employee
of the Company or any of its subsidiaries.

 

    6

     

    

 

4.12  Labor
Matters. (i) There are no controversies pending or, to the knowledge of Seller, threatened, between the Company
or any of its subsidiaries and any of their respective employees; (ii) as of the date of this Agreement, neither the Company
nor any of its subsidiaries is a party to any collective bargaining agreement or other labor union contract applicable to persons
employed by the Company or its subsidiaries nor does the Company or its subsidiaries know of any activities or proceedings of any
labor union to organize any such employees; and (iii) as of the date of this Agreement, neither the Company nor any of its
subsidiaries has any knowledge of any strikes, slowdowns, work stoppages or lockouts, or threats thereof, by or with respect
to any employees of the Company or any of its subsidiaries.

 

4.13  Restrictions
on Business Activities. There is no agreement, commitment, judgment, injunction, order or decree binding upon the Company
or any of its subsidiaries or to which the Company or any of its subsidiaries is a party or any of its subsidiaries which has or
could reasonably be expected to have the effect, in any material respect, of prohibiting or impairing any present business practice
of the Company or any of its subsidiaries , any acquisition of property by the Company or any of its subsidiaries or the conduct
of business by the Company or any of its subsidiaries as currently conducted.

 

4.14  Title
to Property. Except as set forth on Section 4.14 of the Seller Disclosure Letter, neither the Company nor
any of its subsidiaries owns any material real property. Except as set forth on Section 4.14 of the Seller Disclosure
Letter, the Company and each of its subsidiaries have good and defensible title to all of their material real and personal properties
and assets, free and clear of all liens, charges and encumbrances except liens for taxes not yet due and payable and such liens
or other imperfections of title, if any, as do not materially detract from the value of or interfere with the present use of the
property affected thereby; and all leases pursuant to which the Company or any of its subsidiaries lease from others material amounts
of real or personal property are in good standing, valid and effective in accordance with their respective terms, and there is
not, under any of such leases, any existing material default or event of default (or any event which with notice or lapse of time,
or both, would constitute a material default and in respect of which the Company or subsidiary has not taken adequate steps to
prevent such default from occurring). All the plants, structures and equipment owned by or being acquired under a capital lease
by the Company and its subsidiaries, except such as may be under construction, are in good operating condition and repair, in all
material respects, subject to normal wear and tear.

 

4.15  Taxes.

 

(a)  Definition
of Taxes. For all purposes of and under this Agreement, “Tax” or “Taxes” refers
to any and all federal, state, local and foreign taxes, assessments and other governmental charges, duties, impositions and liabilities
relating to taxes, including taxes based upon or measured by gross receipts, income, profits, sales, use and occupation, and value
added, ad valorem, transfer, franchise, withholding, payroll, recapture, employment, excise and property taxes, together with all
interest, penalties and additions imposed with respect to such amounts and any obligations under any agreements or arrangements
with any other person with respect to such amounts and including any liability for taxes of a predecessor entity.

 

    7

     

    

 

(b)  Tax Returns
and Audits.

 

(i)
The Company and each of its subsidiaries have timely filed all federal, state, local and foreign returns, estimates, information
statements and reports (“Company Returns”) relating to Taxes required to be filed by the Company and each
of its subsidiaries with any Tax authority, except such Returns which are not material to the Company or which are for taxes being
contested. Such Company Returns are true and correct in all material respects, have been completed in accordance with applicable
law, and all Taxes shown to be due on such Company Returns have been paid. There are no liens for Taxes (other than Taxes
not yet due and payable) upon any assets of the Company or any of its subsidiaries.

 

(ii)
The Company and each of its subsidiaries as of the Closing Date will have withheld with respect to its employees all federal and
state income taxes, Taxes pursuant to the Federal Insurance Contribution Act (“FICA”), Taxes pursuant to the
Federal Unemployment Tax Act (“FUTA”) and other Taxes required to be withheld.

 

(iii)
Neither the Company nor any of its subsidiaries has been delinquent in the payment of any material Tax nor is there any material
Tax deficiency outstanding, proposed or assessed against the Company or any of its subsidiaries , nor has the Company or any of
its subsidiaries executed any unexpired waiver of any statute of limitations on or extending the period for the assessment or collection
of any Tax.

 

(iv)
No audit or other examination of Company Return by any Tax authority is presently in progress, nor has the Company or any of its
subsidiaries been notified of any request for such an audit or other examination.

 

(v)
No adjustment relating to any Company Returns filed by the Company or any of its subsidiaries has been proposed in writing formally
or informally by any Tax authority to the Company or any of its subsidiaries or any representative thereof.

 

(vi)
Neither the Company nor any of its subsidiaries has any liability for any material unpaid Taxes, contingent or otherwise, which
is material to the Company or its subsidiaries, other than any liability for unpaid Taxes that may have accrued since the date
reflected in the Seller SEC Reports in connection with the operation of the business of the Company and its subsidiaries in the
ordinary course.

 

(vii)
There is no contract, agreement, plan or arrangement to which the Company or any of its subsidiaries is a party as of the date
of this Agreement, including but not limited to the provisions of this Agreement, covering any employee or former employee of the
Company or any of its subsidiaries that, individually or collectively, would reasonably be expected to give rise to the payment
of any amount that would not be deductible pursuant to Sections 280G, 404 or 162(m) of the Code. There is no contract,
agreement, plan or arrangement to which Seller is a party or by which it is bound to compensate any individual for excise taxes
paid pursuant to Section 4999 of the Code.

 

(viii)
Neither the Company nor any of its subsidiaries has filed any consent agreement under Section 341(f) of the Code or agreed
to have Section 341(f)(2) of the Code apply to any disposition of a subsection (f) asset (as defined in Section 341(f)(4) of
the Code) owned by the Company or any of its subsidiaries.

 

(ix)
Neither the Company nor any of its subsidiaries is party to or has any obligation under any tax-sharing, tax indemnity or tax allocation
agreement or arrangement.

 

    8

     

    

 

(x)
None of the Company’s or its subsidiaries’ assets are tax exempt use property within the meaning of Section 168(h) of
the Code.

 

(xi)
Neither the Company nor any subsidiary of the Company has participated as either a “distributing corporation” or a
“controlled corporation” in a distribution of stock qualifying for tax-free treatment under Section 355 of the
Code.

 

4.16 Environmental
Matters. Except as set forth on Section 4.17 of the Seller Disclosure Letter, the operations of the Company
and each of its subsidiaries are and have been in compliance in all material respects with all applicable Environmental Laws (as
defined below), which compliance includes obtaining, maintaining in good standing and complying in all material respects with all
Environmental Permits (as defined below) and no action or proceeding is pending or threatened to revoke, modify or terminate any
such Environmental Permit, and, to the knowledge of Seller, no facts, circumstances or conditions currently exist that could adversely
affect such continued compliance with Environmental Laws and Environmental Permits or require currently unbudgeted capital expenditures
to achieve or maintain such continued compliance with Environmental Laws and Environmental Permits.

 

“Environmental
Law” means any law, as now or hereafter in effect, in any way relating to the protection of human health and safety,
the environment or natural resources including the Comprehensive Environmental Response, Compensation and Liability Act (42 U.S.C.
§ 9601 et seq. ), the Hazardous Materials Transportation Act (49 U.S.C. App. § 1801 et seq.
), the Resource Conservation and Recovery Act (42 U.S.C. § 6901 et seq. ), the Clean Water Act (33 U.S.C. § 1251
et seq. ), the Clean Air Act (42 U.S.C. § 7401 et seq. ) the Toxic Substances Control Act (15 U.S.C.
§ 2601 et seq. ), the Federal Insecticide, Fungicide, and Rodenticide Act (7 U.S.C. § 136 et seq.
), and the Occupational Safety and Health Act (29 U.S.C. § 651 et seq. ), as each has been or may be amended and
the regulations promulgated pursuant thereto.

 

“Environmental
Permit” means any permit required by Environmental Laws for the operation of such company.

 

4.17 Brokers. Seller has not incurred, nor will it incur, directly or indirectly, any liability for brokerage or finders fees or agent’s
commissions or any similar charges in connection with this Agreement or any transaction contemplated hereby.

 

4.18 Intellectual
Property.

 

(a)  For
the purposes of this Agreement, the following terms have the following definitions:

 

(i)
“Intellectual Property” means any or all of the following and all rights in, arising out of, or associated
therewith: (i) all United States, international and foreign patents and applications therefor and all reissues, divisions,
renewals, extensions, provisionals, continuations and continuations-in-part thereof; (ii) all inventions (whether patentable
or not), invention disclosures, improvements, trade secrets, proprietary information, know how, technology, technical data and
customer lists, and all documentation relating to any of the foregoing; (iii) all copyrights, copyrights registrations and
applications therefor, and all other rights corresponding thereto throughout the world; (iv) all mask works, mask work registrations
and applications therefor, and any equivalent or similar rights in semiconductor masks, layouts, architectures or topology; (v) domain
names, uniform resource locators and other names and locators associated with the Internet, (vi) all computer software, including
all source code, object code, firmware, development tools, files, records and data, and all media on which any of the foregoing
is recorded; (vii) all industrial designs and any registrations and applications therefor throughout the world; (viii) all
trade names, logos, common law trademarks and service marks, trademark and service mark registrations and applications therefor
throughout the world; (ix) all databases and data collections and all rights therein throughout the world; (x) all moral
and economic rights of authors and inventors, however denominated, throughout the world, and (xi) any similar or equivalent
rights to any of the foregoing anywhere in the world.

 

    9

     

    

 

(ii)
“Company Intellectual Property” shall mean any Intellectual Property that is owned by, or exclusively licensed
to, the Company or any of its subsidiaries.

 

(iii)
“Registered Intellectual Property” means all United States, international and foreign: (i) patents and
patent applications (including provisional applications); (ii) registered trademarks, applications to register trademarks,
intent-to-use applications, or other registrations or applications related to trademarks; (iii) registered copyrights and
applications for copyright registration; and (iv) any other Intellectual Property that is the subject of an application, certificate,
filing, registration or other document issued, filed with, or recorded by any state, government or other public legal authority.

 

(iv)
“Company Registered Intellectual Property” means all of the Registered Intellectual Property owned by, or
filed in the name of, the Company or any of its subsidiaries.

 

(b)  Section 4.18(b)
 of the Seller Disclosure Letter contains a complete and accurate list of (i) all Company Registered Intellectual Property
and specifies, where applicable, the jurisdictions in which each such item of Company Registered Intellectual Property has been
issued or registered, and (ii) all proceedings or actions before any court or tribunal (including the United States Patent
and Trademark Office (the “PTO”) or equivalent authority anywhere else in the world) related to any of Company
Registered Intellectual Property.

 

(c)  Section 4.18(c)
 of the Seller Disclosure Letter contains a complete and accurate list (by name and version number) of all products, software
or service offerings of the Company or any of its subsidiaries (collectively, “Company Products”) that have
been sold, distributed or otherwise disposed of in the five (5)-year period preceding the date hereof or which the Company or any
of its subsidiaries currently intends to sell, distribute or otherwise dispose of in the future, including any products or service
offerings under development.

 

(d)  No Company
Intellectual Property or Company Product is subject to any proceeding or outstanding decree, order, judgment, contract, license,
agreement, or stipulation restricting in any manner the use, transfer, or licensing thereof by the Company or any of its subsidiaries,
or which may affect the validity, use or enforceability of such Company Intellectual Property or Company Product.

 

(e)  Each item
of Company Registered Intellectual Property is valid and subsisting, all necessary registration, maintenance and renewal fees currently
due in connection with such Company Registered Intellectual Property have been made and all necessary documents, recordations and
certificates in connection with such Company Registered Intellectual Property have been filed with the relevant patent, copyright,
trademark or other authorities in the United States or foreign jurisdictions, as the case may be, for the purposes of prosecuting,
maintaining or perfecting such Company Registered Intellectual Property.

 

    10

     

    

 

(f)  Section 4.18(f)
 of the Seller Disclosure Letter contains a complete and accurate list of all actions that are required to be taken by the
Company within ninety (90) days of the date hereof with respect to any of Company Registered Intellectual Property.

 

(g)  The Company
owns and has good and exclusive title to each item of Company Intellectual Property owned by it, free and clear of any lien or
encumbrance (excluding non-exclusive licenses and related restrictions granted in the ordinary course). Without limiting
the generality of the foregoing, (i) to the knowledge of Seller, the Company or its subsidiaries are the exclusive owner of
all trademarks and trade names used in connection with the operation or conduct of the business of the Company and its subsidiaries,
including the sale, distribution or provision of any Company Products by the Company or any of its subsidiaries , (ii) the
Company or its subsidiaries own exclusively, and have good title to, all copyrighted works that are included or incorporated into
Company Products or which the Company or any of its subsidiaries otherwise purports to own, and (iii) to the knowledge of
the Seller, the manufacture, sale or use of Company Products does not infringe any patents.

 

(h)  To
the extent that any technology, software or Intellectual Property has been developed or created independently or jointly by a third
party for the Company or any of its subsidiaries, or is incorporated into any of Company Products, the Company and its subsidiaries
have a written agreement with such third party with respect thereto and the Company and its subsidiaries thereby either (i) have
obtained ownership of, and are the exclusive owner of, or (ii) have obtained perpetual, irrevocable, worldwide non-terminable
licenses (sufficient for the conduct of its business as currently conducted and as proposed to be conducted) to all such third
party’s Intellectual Property in such work, material or invention by operation of law or by valid assignment or license,
to the fullest extent it is legally possible to do so.

 

(i)
Neither the Company nor any of its subsidiaries has transferred ownership of, or granted any exclusive license with respect to,
any Intellectual Property that is or was Company Intellectual Property, to any third party, or knowingly permitted the Company’s
rights in such Company Intellectual Property to lapse or enter the public domain other than for trademarks for Company Products
no longer sold by the Company for which the Company has let the applicable trademark rights become abandoned in the Company’s
ordinary course of business.

 

(j)
Other than “shrink wrapped” and similar widely available commercial end-user licenses, Section 4.18(j)
 of the Seller Disclosure Letter contains a complete and accurate list of all contracts, licenses and agreements to which
the Company or any of its subsidiaries is a party (i) with respect to Company Intellectual Property licensed or transferred
to any third party, or (ii) pursuant to which a third party has licensed or transferred any material Intellectual Property
to the Company or any of its subsidiaries.

 

(k)  All
contracts, licenses and agreements relating to either (i) Company Intellectual Property or (ii) Intellectual Property
of a third party licensed to the Company or any of its subsidiaries, are, to the knowledge of Seller, in full force and effect. 
The consummation of the transactions contemplated by this Agreement will neither violate nor result in the breach, modification,
cancellation, termination, suspension of, or acceleration of any payments with respect to, such contracts, licenses and agreements. 
Each of the Company and its subsidiaries is in material compliance with, and has not materially breached any term of any such contracts,
licenses and agreements and, to the knowledge of Seller, all other parties to such contracts, licenses and agreements are in compliance
with, and have not materially breached any term of, such contracts, licenses and agreements. Following the Closing Date,
the Buyer will be permitted to exercise all of the Company’s and its subsidiaries’ rights under such contracts, licenses
and agreements to the same extent the Company and its subsidiaries would have been able to had the transactions contemplated by
this Agreement not occurred and without the payment of any additional amounts or consideration other than ongoing fees, royalties
or payments which the Company or any of its subsidiaries would otherwise be required to pay. Following the Closing Date,
the Buyer will be permitted to exercise all of the Company’s and its subsidiaries’ rights under such contracts,
licenses and agreements to the same extent as the Company and its subsidiaries would have been able to had the transactions contemplated
by this Agreement not occurred and without being required to pay any additional amounts or consideration other than fees, royalties
or payments which the Company or its subsidiaries would otherwise be required to pay had such transactions contemplated hereby
not occurred.

 

    11

     

    

 

 

(l)  The
operation of the business of the Company and its subsidiaries as such business currently is conducted, including (i) the Company’s
and its subsidiaries’ design, development, manufacture, distribution, reproduction, marketing or sale of the products,
software or services of the Company and its subsidiaries (including Company Products), and (ii) the Company’s use of
any product, device or process, to the knowledge of Seller, has not, does not and will not infringe or misappropriate the Intellectual
Property of any third party or, to its knowledge, constitute unfair competition or trade practices under the laws of any jurisdiction.

 

(m)  Company
Intellectual Property constitutes all the Intellectual Property owned by the Company or exclusively licensed to the Company and
used in and/or necessary to the conduct of the business of the Company and its subsidiaries as it currently is conducted, and as
it is currently planned or contemplated to be conducted by the Company and its subsidiaries, including, without limitation, the
design, development, manufacture, use, import and sale of products, technology and performance of services (including Company Products).

 

(n)  Neither
the Company nor any of its subsidiaries has received notice from any third party that the operation of the business of the Company
or any of its subsidiaries or any act, product or service of the Company or any of its subsidiaries, infringes or misappropriates
the Intellectual Property of any third party or constitutes unfair competition or trade practices under the laws of any jurisdiction.

 

(o)  To
the knowledge of Seller, no person has or is infringing or misappropriating any Company Intellectual Property.

 

(p)  The
Company and each of its subsidiaries has taken reasonable steps to protect the Company’s and its subsidiaries’ rights
in the Company’s confidential information and trade secrets that it wishes to protect or any trade secrets or confidential
information of third parties provided to the Company or any of its subsidiaries, and, without limiting the foregoing, each of the
Company and its subsidiaries has and enforces a policy requiring each employee and contractor to execute a proprietary information/confidentiality
agreement substantially in the form provided to Buyer and all current and former employees and contractors of the Company and any
of its subsidiaries have executed such an agreement, except where the failure to do so is not reasonably expected to be material
to the Company.

 

4.19 Agreements,
Contracts and Commitments.

 

(a)  Except
as set forth on Section 4.19(a) of the Seller Disclosure Letter, neither the Company nor any of its subsidiaries is
a party to or is bound by:

 

(i)
any employment or consulting agreement, contract or commitment with any officer or director or higher level employee or member
of the Company’s Board of Directors, other than those that are terminable by the Company or any of its subsidiaries on no
more than thirty (30) days notice without liability or financial obligation to the Company;

 

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(ii)
any agreement or plan, including, without limitation, any stock option plan, stock appreciation right plan or stock purchase plan,
any of the benefits of which will be increased, or the vesting of benefits of which will be accelerated, by the occurrence of any
of the transactions contemplated by this Agreement or the value of any of the benefits of which will be calculated on the basis
of any of the transactions contemplated by this Agreement;

 

(iii)
any agreement of indemnification or any guaranty other than any agreement of indemnification entered into in connection with the
sale, license, distribution, reselling or other transfer of software products in the ordinary course of business or in connection
with the provision of services in the ordinary course of business;

 

(iv)
any agreement, contract or commitment containing any covenant limiting in any respect the right of the Company or any of its subsidiaries
to engage in any line of business presently conducted by the Company or any subsidiary, or to compete with any person or granting
any exclusive distribution rights;

 

(v)
any agreement, contract or commitment currently in force relating to the disposition or acquisition by the Company or any of its
subsidiaries after the date of this Agreement of a material amount of assets not in the ordinary course of business or pursuant
to which the Company or any of its subsidiaries has any material ownership interest in any corporation, partnership, joint venture
or other business enterprise other than the Company’s subsidiaries;

 

(vi)
any dealer, distributor, joint marketing or development agreement currently in force under which the Company or any of its subsidiaries
have continuing material obligations to jointly market any product, technology or service and which may not be canceled without
penalty upon notice of sixty (60) days or less, or any material agreement pursuant to which the Company or any of its subsidiaries
have continuing material obligations to jointly develop any intellectual property that will not be owned, in whole or in part,
by Seller or any of its subsidiaries and which may not be canceled without penalty upon notice of sixty (60) days or less;

 

(vii)
any agreement, contract or commitment currently in force to provide source code to any third party for any product or technology
that is material to the Company and its subsidiaries taken as a whole;

 

(viii)
any agreement, contract or commitment currently in force to license any third party to manufacture or reproduce any Company Products,
service or technology or any agreement, contract or commitment currently in force to sell or distribute any Company Products, services
or technology, except agreements with distributors or sales representative in the normal course of business cancelable without
penalty upon written notice of ninety (90) days or less;

 

(ix)
any mortgages, indentures, guarantees, loans or credit agreements, security agreements or other agreements or instruments relating
to the borrowing of money or extension of credit;

 

(x)
any material settlement agreement entered into within three (3) years prior to the date of this Agreement; or

 

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(xi)
any other material agreement, contract or commitment currently in force that is outside the ordinary course of business or that
has a value of $50,000 or more within a twelve (12) month period in any individual case.

 

(b)  Neither
the Company nor any of its subsidiaries, nor to Seller’s knowledge any other party to a Company Contract (as defined below),
is in material breach, violation or default under, and neither the Company nor any of its subsidiaries has received written notice
that it has breached, violated or defaulted under, any of the material terms or conditions of any of the agreements, contracts
or commitments to which the Company or any of its subsidiaries is a party or by which it is bound that are required to be set forth
in the Seller Disclosure Letter (any such agreement, contract or commitment, a “Company Contract”) in such
a manner as would permit any other party to cancel or terminate any such Company Contract, or would permit any other party to seek
material damages or other remedies (for any or all of such breaches, violations or defaults, in the aggregate).

 

4.20 Insurance.
The Company maintains insurance policies and fidelity bonds covering the assets, business, equipment, properties, operations,
employees, officers and directors of the Company and its subsidiaries (collectively, the “Insurance Policies”)
which are of the type and in amounts customarily carried by persons conducting businesses similar to those of the Company and
its subsidiaries. There is no material claim by the Company or any of its subsidiaries pending under any of the Insurance Policies
as to which coverage has been questioned, denied or disputed by the underwriters of such policies or bonds. The Company is not
aware of, and has not received notice under any Insurance Policies of, (i) an insurer’s intention or threat to cancel
or terminate any of the Insurance Policies, (ii) an insurer’s intention or threat to increase the premiums due under
any of the Insurance Policies.

 

4.21 Board Approval. The Board of Directors of Seller has, as of the date of this Agreement, (i) approved this Agreement and the transactions
contemplated hereby, subject to stockholder approval, (ii) determined that the Sale is fair to and in the best interests of
the stockholders of Seller, and (iii) recommended that the stockholders of Seller approve and adopt this Agreement and approve
the Sale.

 

4.22 Vote
Required. The affirmative vote of the holders of a majority of the outstanding shares of Seller’s common stock,
$.001 par value (“Seller Common Stock”), is the only vote of the holders of any class or series of Seller’s
capital stock necessary to approve and adopt this Agreement and approve the Sale.

 

ARTICLE V 

BUYER REPRESENTATIONS AND WARRANTIES.

 

Buyer hereby represents
and warrants to Seller, as of the date hereof and as of the Closing Date as though made at the Closing Date, subject to such exceptions
as are specifically disclosed in writing (with reference to the specific sections of this Agreement to which each such exception
applies; provided, however, that if any section of the Buyer Disclosure Letter, as defined below, discloses
an item or information in such a way as to make its relevance to the disclosure required by another section reasonably apparent
based upon the substance of such disclosure, the matter shall be deemed to have been disclosed in such other section of the Buyer
Disclosure Letter, notwithstanding the omission of an appropriate cross-reference to such other section) in the disclosure letter
supplied by Buyer to Seller, dated as of the date hereof and certified by a duly authorized officer of Buyer (the “Buyer
Disclosure Letter”), as follows:

 

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5.1  Organization
and Qualification; subsidiaries.

 

(a)  Each
of Buyer and its subsidiaries is a corporation duly organized, validly existing and in good standing under the laws of the jurisdiction
of its incorporation and has the requisite corporate power and authority to own, lease and operate its assets and properties and
to carry on its business as it is now being conducted. Each of Buyer and its subsidiaries is in possession of all Approvals necessary
to own, lease and operate the properties it purports to own, operate or lease and to carry on its business as it is now being conducted,
except where the failure to have such Approvals would not, individually or in the aggregate, have a Material Adverse Effect on
Buyer. Each of Buyer and its subsidiaries is duly qualified or licensed as a foreign corporation to do business, and is in good
standing, in each jurisdiction where the character of the properties owned, leased or operated by it or the nature of its activities
makes such qualification or licensing necessary, except for such failures to be so duly qualified or licensed and in good standing
that would not, either individually or in the aggregate, have a Material Adverse Effect on Buyer or its subsidiaries.

 

(b)  Buyer
has no subsidiaries except for the corporations identified in Section 5.1(b) of the Buyer Disclosure Letter. 
Neither Buyer nor any of its subsidiaries has agreed, is obligated to make, or is bound by, any written, oral or other agreement,
contract, sub-contract, lease, binding understanding, instrument, note, option, warranty, purchase order, license, sub-license,
insurance policy, benefit plan, commitment, or undertaking of any nature, as of the date hereof or as may hereafter be in effect
under which it may become obligated to make, any future investment in or capital contribution to any other entity. Neither
Buyer nor any of its subsidiaries directly or indirectly owns any equity or similar interest in or any interest convertible, exchangeable
or exercisable for, any equity or similar interest in, any corporation, partnership, joint venture or other business, association
or entity.

 

5.2  Certificate
of Incorporation and Bylaws. Buyer and each of its subsidiaries has previously furnished to Seller a complete and correct
copy of its Certificate of Incorporation and Bylaws as amended to date. Such Certificate of Incorporation, Bylaws and equivalent
organizational documents of Buyer and each of its subsidiaries are in full force and effect. Neither Buyer nor any of its subsidiaries
is in violation of any of the provisions of its Certificate of Incorporation or Bylaws or equivalent organizational documents.

 

5.3  Capitalization.

 

(a)  The
authorized capital stock of Buyer consists of 480,000,000 shares of Buyer Common Stock and 20,000,000 shares of Preferred Stock,
including 1,000 shares of Series A Preferred Stock and 10,000 shares of Series B Preferred Stock. As of the close of business
on the date hereof, (i) [93,980,312] shares of Buyer Common Stock were issued and outstanding, all of which are validly issued,
fully paid and nonassessable, (ii) no shares of Buyer Common Stock were held in treasury by Buyer or by any subsidiaries of
Buyer, (iii) {disclose outstanding options and warrants}. As of the date hereof, 1,000 shares of Buyer Series A Preferred
Stock and no shares of Series B Preferred Stock were issued or outstanding. All outstanding shares of Buyer Common Stock,
all outstanding Buyer Stock Options, and all outstanding shares of capital stock of each subsidiary of Buyer have been issued and
granted in compliance with (i) all applicable securities laws and other applicable federal, state, local, municipal, foreign
or other law, statute, constitution, principle of common law, resolution, ordinance, code, edict, decree, rule, regulation, ruling
or requirement issues, enacted, adopted, promulgated, implemented or otherwise put into effect by or under the authority of any
Governmental Entity and (ii) all requirements set forth in applicable contracts, agreements, and instruments.

 

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(b)  Except
for securities that Buyer owns free and clear of all liens, pledges, hypothecations, charges, mortgages, security interests, encumbrances,
claims, infringements, interferences, options, right of first refusals, preemptive rights, community property interests or restriction
of any nature (including any restriction on the voting of any security, any restriction on the transfer of any security or other
asset, any restriction on the possession, exercise or transfer of any other attribute of ownership of any asset) directly or indirectly
through one or more subsidiaries, and except for shares of capital stock or other similar ownership interests of subsidiaries of
Buyer that are owned by certain nominee equity holders as required by the applicable law of the jurisdiction of organization of
such subsidiaries (which shares or other interests do not materially impact Buyer’s control of such subsidiaries), as of
the date of this Agreement, there are no equity securities, partnership interests or similar ownership interests of any class of
equity security of any subsidiary of Buyer, or any security exchangeable or convertible into or exercisable for such equity securities,
partnership interests or similar ownership interests, issued, reserved for issuance or outstanding. Except as set forth in Section 5.3(b)
 of the Buyer Disclosure Letter or as set forth in Section 5.3(a) hereof, there are no subscriptions, options,
warrants, equity securities, partnership interests or similar ownership interests, calls, rights (including preemptive rights),
commitments or agreements of any character to which Buyer or any of its subsidiaries is a party or by which it is bound obligating
Buyer or any of its subsidiaries to issue, deliver or sell, or cause to be issued, delivered or sold, or repurchase, redeem or
otherwise acquire, or cause the repurchase, redemption or acquisition of, any shares of capital stock, partnership interests or
similar ownership interests of Buyer or any of its subsidiaries or obligating Buyer or any of its subsidiaries to grant, extend,
accelerate the vesting of or enter into any such subscription, option, warrant, equity security, call, right, commitment or agreement.
As of the date of this Agreement, except as contemplated by this Agreement, there are no registration rights and there is, except
for the Voting Agreements, no voting trust, proxy, rights plan, antitakeover plan or other agreement or understanding to which
Buyer or any of its subsidiaries is a party or by which they are bound with respect to any equity security of any class of Buyer
or with respect to any equity security, partnership interest or similar ownership interest of any class of any of its subsidiaries.

 

(c)  The
shares of Buyer Common Stock to be issued pursuant to the Sale, when issued and delivered in accordance with this Agreement, will
be duly authorized, validly issued, fully paid and non-assessable and issued in compliance with federal and state securities laws
free and clear of all liens, charges, encumbrances.

 

5.4  Authority
Relative to this Agreement. Buyer has all necessary corporate power and authority to execute and deliver this Agreement,
and to perform its obligations hereunder and thereunder, to consummate the transactions contemplated hereby and thereby. The execution
and delivery of this Agreement by Buyer and the consummation by Buyer of the transactions contemplated hereby and thereby have
been duly and validly authorized by all necessary corporate action on the part of Buyer and no other corporate proceedings on the
part of Buyer are necessary to authorize this Agreement or to consummate the transactions so contemplated. This Agreement have
been duly and validly executed and delivered by Buyer and, assuming the due authorization, execution and delivery by Seller, constitute
legal and binding obligations of Buyer, enforceable against Buyer in accordance with their respective terms.

 

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5.5  No
Conflict; Required Filings and Consents.

 

(a)  The
execution and delivery of this Agreement by Buyer does not, and the performance of this Agreement by Buyer will not (i) conflict
with or violate the Certificate of Incorporation, Bylaws or equivalent organizational documents of Buyer or any of its subsidiaries,
(ii) to the best of Buyer’s knowledge, conflict with or violate any law, rule, regulation, order, judgment or decree
applicable to Buyer or any of its subsidiaries or by which it or their respective properties are bound or affected, or (iii) result
in any breach of or constitute a default (or an event that with notice or lapse of time or both would become a default) under,
or impair Buyer’s or any such subsidiary’s rights or alter the rights or obligations of any third party under, or give
to others any rights of termination, amendment, acceleration or cancellation of, or result in the creation of a lien or encumbrance
on any of the properties or assets of Buyer or any of its subsidiaries pursuant to, any material note, bond, mortgage, indenture,
contract, agreement, lease, license, permit, franchise or other instrument or obligation to which Buyer or any of its subsidiaries
is a party or by which Buyer or any of its subsidiaries or its or any of their respective properties are bound or affected, or
(iv) cause the acceleration of any vesting of any awards for or rights to the Shares or the payment of or the acceleration
of payment of any change in control, severance, bonus or other cash payments or issuances of shares of Buyer Common Stock, with
respect to Buyer or any of its subsidiaries, except in the case of clauses (ii) or (iii), to the extent such conflict, violation,
breach, default, impairment or other effect could not individually or in the aggregate, reasonably be expected to have a Material
Adverse Effect on Buyer or any of its subsidiaries.

 

(b)  The
execution and delivery of this Agreement by Buyer does not, and the performance of this Agreement by Buyer will not, require any
consent, approval, authorization or permit of, or registration, filing with or notification to, any Governmental Entity, except
for (i) applicable requirements, if any, of the Securities Act, the Exchange Act, Blue Sky Laws, and foreign Governmental
Entities and the rules and regulations promulgated thereunder, and (ii) where the failure to obtain such consents,
approvals, authorizations or permits, or to make such filings or notifications, (A) would not prevent consummation of the
Sale or otherwise prevent Buyer from performing its obligations under this Agreement, or (B) could not, individually or in
the aggregate, reasonably be expected to have a Material Adverse Effect on Buyer or its subsidiaries.

 

5.6  SEC
Filings. Buyer’s registration statement on Form 10 has been declared effective by the SEC and Buyer has registered
the Buyer Common Stock pursuant to Section 12 of the Exchange Act. Buyer has made available to Seller through EDGAR a correct and
complete copy of each report, schedule, registration statement and definitive proxy statement filed by Buyer with the SEC on or
after December 10, 2018 and prior to the date of this Agreement (the “Buyer SEC Reports”), which are all the
forms, reports and documents required to be filed by Buyer with the SEC since such date. The Buyer SEC Reports (i) were
prepared in accordance with the requirements of the Securities Act or the Exchange Act, as the case may be, and (ii) did not
at the time they were filed (or if amended or superseded by a filing prior to the date of this Agreement then on the date of such
filing) contain any untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary
in order to make the statements therein, in light of the circumstances under which they were made, not misleading. None of Buyer’s
subsidiaries is required to file any reports or other documents with the SEC. The Buyer is not, and has not ever been, a shell
issuer as described in Rule 144(i)(1)(i) of the Securities Act of 1933.

 

5.7  Compliance;
Permits. (a) Neither Buyer nor any of its subsidiaries is in conflict with, or in default or violation of, (i) any
law, rule, regulation, order, judgment or decree applicable to Buyer or any of its subsidiaries or by which its or any of their
respective properties is bound or affected, or (ii) any material note, bond, mortgage, indenture, contract, agreement, lease,
license, permit, franchise or other instrument or obligation to which Buyer or any of its subsidiaries is a party or by which Buyer
or any of its subsidiaries or its or any of their respective properties is bound or affected, except for any conflicts, defaults
or violations that (individually or in the aggregate) would not have a Material Adverse Effect on Buyer or its subsidiaries. 
No investigation or review by any governmental or regulatory body or authority is pending or, to the knowledge of Buyer, threatened
against Buyer or its subsidiaries, nor has any governmental or regulatory body or authority indicated an intention to conduct the
same, other than, in each such case, those the outcome of which could not, individually or in the aggregate, reasonably be expected
to have a Material Adverse Effect on Buyer or any of its subsidiaries.

 

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(b) Buyer and its
subsidiaries hold all permits, licenses, variances, exemptions, orders and approvals from Governmental Entities which are material
to operation of the business of Buyer and its subsidiaries taken as a whole (collectively, the “Buyer Permits”).
Buyer and its subsidiaries are in compliance in all material respects with the terms of Buyer Permits.

 

5.8  No
Undisclosed Liabilities. Neither Buyer nor any of its subsidiaries has any liabilities (absolute, accrued, contingent
or otherwise) of a nature required to be disclosed on a balance sheet or in the related notes to the consolidated financial statements
prepared in accordance with GAAP, which are, individually or in the aggregate, material to the business, results of operations, 
financial condition or prospects of Buyer and its subsidiaries taken as a whole except (i) liabilities provided for in the
Buyer SEC Reports, (ii) liabilities reflected in the Buyer Disclosure Letter, or (iii) liabilities incurred since the
date reflected in the Buyer SEC Reports in the ordinary course of business.

 

5.9  Absence
of Certain Changes or Events. Since the date of the last filed Buyer SEC Report, there has not been: (i) any Material
Adverse Effect on Buyer or any of its subsidiaries, (ii) any declaration, setting aside or payment of any dividend on, or
other distribution (whether in cash, stock or property) in respect of, any of Buyer’s or any of its subsidiaries’ capital
stock, or any purchase, redemption or other acquisition by Buyer of any of Buyer’s capital stock or any other securities
of Buyer or its subsidiaries or any options, warrants, calls or rights to acquire any such shares or other securities except for
repurchases from employees following their termination pursuant to the terms of their pre-existing stock option or purchase agreements,
(iii) any split, combination or reclassification of any of Buyer’s or any of its subsidiaries’ capital stock,
(iv) any granting by Buyer or any of its subsidiaries of any increase in compensation or fringe benefits, except for normal
increases of cash compensation in the ordinary course of business consistent with past practice, or any payment by Buyer or any
of its subsidiaries of any bonus, except for bonuses made in the ordinary course of business consistent with past practice, or
any granting by Buyer or any of its subsidiaries of any increase in severance or termination pay or any entry by Buyer or any of
its subsidiaries into any currently effective employment, severance, termination or indemnification agreement or any agreement
the benefits of which are contingent or the terms of which are materially altered upon the occurrence of a transaction involving
Buyer of the nature contemplated hereby, (v) entry by Buyer or any of its subsidiaries into any licensing or other agreement
with regard to the acquisition or disposition of any Intellectual Property other than licenses in the ordinary course of business
consistent with past practice, (vi) any material change by Buyer in its accounting methods, principles or practices, except
as required by concurrent changes in GAAP, (vii) any revaluation by Buyer of any of its assets, including, without limitation,
writing down the value of capitalized inventory or writing off notes or accounts receivable, or (viii) any sale of assets
of Buyer other than in the ordinary course of business.

 

5.10 Absence of
Litigation. There are no claims, actions, suits or proceedings pending or, to the knowledge of Buyer, threatened (or,
to the knowledge of Buyer, any governmental or regulatory investigation pending or threatened) against Buyer or any of its subsidiaries
or any properties or rights of Buyer or any of its subsidiaries, before any Governmental Entity.

 

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5.11 Employee
Benefit Plans.

 

(a)  All
employee compensation, incentive, fringe or benefit plans, programs, policies, commitments or other arrangements (whether or not
set forth in a written document and including, without limitation, all “employee benefit plans” (within the meaning
of Section 3(3) of ERISA) (the “Buyer Plans”) covering (i) any active or former employee, director
or consultant of Buyer, (ii) any subsidiary of Buyer, or (iii) any affiliate, or with respect to which Buyer has or,
to Buyer’s knowledge, may in the future have liability (excluding consideration of Seller and its subsidiaries as affiliates
following the Closing Date), are listed in Section 5.11(a) of the Buyer Disclosure Letter. Buyer has provided
to Seller: (i) correct and complete copies of all documents embodying each Buyer Plan including (without limitation) all amendments
thereto, all related trust documents, and all material written agreements and contracts relating to each such Buyer Plan; (ii) the
three (3) most recent annual reports (Form Series 5500 and all schedules and financial statements attached thereto),
if any, required under ERISA or the Code in connection with each Buyer Plan; (iii) the most recent summary plan description
together with the summary(ies) of material modifications thereto, if any, required under ERISA with respect to each Buyer Plan;
(iv) all IRS determination, opinion, notification and advisory letters, and all applications and correspondence to or from
the IRS or the DOL with respect to such application or letter; (v) all material correspondence to or from any governmental
agency relating to any Buyer Plan; (vi) all COBRA forms and related notices within the last three (3) years; (vii) all
discrimination tests for each Buyer Plan for the most recent three (3) plan years; (viii) the most recent annual actuarial
valuations, if any, prepared for each Buyer Plan; (xi) if the Buyer Plans is funded, the most recent annual and periodic accounting
of Buyer Plan assets; (x) all material written agreements and contracts relating to each Buyer Plan, including, but not limited
to, administrative service agreements, group annuity contracts and group insurance contracts; (xi) all material communications
to employees or former employees within the last three (3) years relating to any amendments, terminations, establishments,
increases or decreases in benefits, acceleration of payments or vesting schedules or other events which would result in any material
liability under any Buyer Plan or proposed Buyer Plan; (xii) all policies pertaining to fiduciary liability insurance covering
the fiduciaries for each Buyer Plan; and (xiii) all registration statements, annual reports (Form 11-K and all attachments
thereto) and prospectuses prepared in connection with any Buyer Plan.

 

(b)  Each
Buyer Plan has been maintained and administered in all material respects in compliance with its terms and with the requirements
prescribed by any and all statutes, orders, rules and regulations (foreign or domestic), including but not limited to ERISA
or the Code, which are applicable to such Buyer Plans. No suit, action or other litigation (excluding claims for benefits incurred
in the ordinary course of Buyer Plan activities) has been brought, or to the knowledge of Buyer is threatened, against or with
respect to any such Buyer Plan. There are no audits, inquiries or proceedings pending or, to the knowledge of Buyer, threatened
by the IRS or DOL with respect to any Buyer Plans. All contributions, reserves or premium payments required to be made or
accrued as of the date hereof to the Buyer Plans have been timely made or accrued. Section 5.11(b) of the
Buyer Disclosure Letter includes a listing of the accrued vacation liability of Buyer and its subsidiaries as of December 31,
2011. Any Buyer Plan intended to be qualified under Section 401(a) of the Code and each trust intended to qualify under
Section 501(a) of the Code (i) has either obtained a favorable determination, notification, advisory and/or opinion
letter, as applicable, as to its qualified status from the IRS or still has a remaining period of time under applicable Treasury
regulations or IRS pronouncements in which to apply for such letter and to make any amendments necessary to obtain a favorable
determination, and (ii) incorporates or has been amended to incorporate all provisions required to comply with the Tax Reform
Act of 1986 and subsequent legislation. Buyer does not have any plan or commitment to establish any new Buyer Plan, to modify
any Buyer Plan (except to the extent required by law or to conform any such Buyer Plan to the requirements of any applicable law,
in each case as previously disclosed to Buyer in writing, or as required by this Agreement), or to enter into any new Buyer Plan.
Each Buyer Plan can be amended, terminated or otherwise discontinued after the Closing Date in accordance with its terms, without
liability to Buyer or any of its affiliates (other than ordinary administration expenses).

 

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(c)  Neither
Buyer, any of its subsidiaries, nor any of their affiliates has at any time ever maintained, established, sponsored, participated
in, or contributed to any plan subject to Title IV of ERISA or Section 412 of the Code and at no time has Buyer or any
of its subsidiaries contributed to or been requested to contribute to any “multiemployer plan,” as such term is defined
in ERISA or to any plan described in Section 413(c) of the Code. Neither Buyer, any of its subsidiaries, nor any
officer or director of Buyer or any of its subsidiaries is subject to any liability or penalty under Section 4975 through
4980B of the Code or Title I of ERISA. There are no audits, inquiries or proceedings pending or, to the knowledge of Buyer,
threatened by the IRS or DOL with respect to any Buyer Plan. No “prohibited transaction,” within the meaning of Section 4975
of the Code or Sections 406 and 407 of ERISA, and not otherwise exempt under Section 408 of ERISA, has occurred with
respect to any Buyer Plan.

 

(d)  Neither
Buyer, any of its subsidiaries, nor any of their affiliates has, prior to the Closing Date and in any material respect, violated
any of the health continuation requirements of COBRA, the requirements of Family Medical Leave Act of 1993, as amended, the
requirements of the Women’s Health and Cancer Rights Act, as amended, the requirements of the Newborns’ and Mothers’
Health Protection Act of 1996, as amended, or any similar provisions of state law applicable to employees of Buyer or any of its
subsidiaries. None of the Buyer Plans promises or provides retiree medical or other retiree welfare benefits to any person
except as required by applicable law and neither Buyer nor any of its subsidiaries has represented, promised or contracted (whether
in oral or written form) to provide such retiree benefits to any employee, former employee, director, consultant or other person,
except to the extent required by statute.

 

(e)  Neither
Buyer nor any of its subsidiaries is bound by or subject to (and none of its respective assets or properties is bound by or subject
to) any arrangement with any labor union. No employee of Buyer or any of its subsidiaries is represented by any labor union
or covered by any collective bargaining agreement and, to the knowledge of Buyer, no campaign to establish such representation
is in progress. There is no pending or, to the knowledge of Buyer, threatened labor dispute involving Buyer or any of its subsidiaries
and any group of its employees nor has Buyer or any of its subsidiaries experienced any labor interruptions over the past three
(3) years, and Buyer and its subsidiaries consider their relationships with their employees to be good. Buyer and its
subsidiaries are in compliance in all material respects with all applicable foreign, federal, state and local laws, rules and
regulations regarding employment, employment practices, terms and conditions of employment and wages and hours.

 

(f)  Neither
the execution and delivery of this Agreement nor the consummation of the transactions contemplated hereby will (i) result
in any payment (including severance, unemployment compensation, golden parachute, bonus or otherwise) becoming due to any stockholder,
director or employee of Buyer or any of its subsidiaries under any Buyer Plan or otherwise, (ii) materially increase any benefits
otherwise payable under any Buyer Plan, or (iii) result in the acceleration of the time of payment or vesting of any such
benefits.

 

(g)  No
payment or benefit that will or may be made by Buyer or its affiliates with respect to any employee will be characterized as a
“parachute payment” within the meaning of Section 280G of the Code.

 

(h)  Neither
Buyer nor any subsidiary has or is required to have an International Employee Plan.

 

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(i)  Except
as set forth in Section 5.11(i) of the Buyer Disclosure Letter, no Buyer Plan provides, reflects or represents any
liability to provide retiree health benefit to any person for any reason, except as may be required by COBRA or other applicable
statute, and Buyer has never represented, promised or contracted (whether in oral or written form) to any employee (either individually
or to employees as a group) or any other person that such employee(s) or other person would be provided with retiree health
benefits, except to the extent required by statute.

 

5.12  Labor
Matters. (i) There are no controversies pending or, to the knowledge of each of Buyer and its respective subsidiaries,
threatened, between Buyer or any of its subsidiaries and any of their respective employees; (ii) as of the date of this Agreement,
neither Buyer nor any of its subsidiaries is a party to any collective bargaining agreement or other labor union contract applicable
to persons employed by Buyer or its subsidiaries nor does Buyer or its subsidiaries know of any activities or proceedings of any
labor union to organize any such employees; and (iii) as of the date of this Agreement, neither Buyer nor any of its subsidiaries
has any knowledge of any strikes, slowdowns, work stoppages or lockouts, or threats thereof, by or with respect to any employees
of Buyer or any of its subsidiaries.

 

5.13  Information
Statement. None of the information supplied or to be supplied by Buyer for inclusion or incorporation by reference in
Seller’s Information Statement on Form 14C relating to the Sale will, on the date the Information Statement is mailed to
the stockholders of Seller and as of the date of the Sale, contain any untrue statement of a material fact or omit to state any
material fact required to be stated therein or necessary in order to make the statements therein, in light of the circumstances
under which they are made, not misleading.

 

5.14  Restrictions
on Business Activities. There is no agreement, commitment, judgment, injunction, order or decree binding upon Buyer
or any of its subsidiaries or to which Buyer or any of its subsidiaries is a party or any of its subsidiaries which has or could
reasonably be expected to have the effect, in any material respect, of prohibiting or impairing any present business practice of
Buyer or any of its subsidiaries, any acquisition of property by Buyer or any of its subsidiaries or the conduct of business by
Buyer or any of its subsidiaries as currently conducted.

 

Except as set forth
on Section 5.14 of the Buyer Disclosure Letter, neither Buyer nor any of its subsidiaries owns any material real property. 
Except as set forth on Section 5.14 of the Buyer Disclosure Letter, Buyer and each of its subsidiaries have good and
defensible title to all of their material real and personal properties and assets, free and clear of all liens, charges and encumbrances
except liens for taxes not yet due and payable and such liens or other imperfections of title, if any, as do not materially detract
from the value of or interfere with the present use of the property affected thereby; and all leases pursuant to which Buyer or
any of its subsidiaries lease from others material amounts of real or personal property are in good standing, valid and effective
in accordance with their respective terms, and there is not, under any of such leases, any existing material default or event of
default (or any event which with notice or lapse of time, or both, would constitute a material default and in respect of which
Buyer or any subsidiary has not taken adequate steps to prevent such default from occurring). All the plants, structures and equipment
owned by or being acquired under a capital lease by the Buyer and its subsidiaries, except such as may be under construction, are
in good operating condition and repair, in all material respects, subject to normal wear and tear.

 

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5.16  Taxes.

 

(a)  Buyer
and each of its subsidiaries have timely filed all federal, state, local and foreign returns, estimates, information statements
and reports (“Buyer Returns”) relating to Taxes required to be filed by Buyer and each of its subsidiaries
with any Tax authority, except such Buyer Returns which are not material to Buyer. Such Buyer Returns are true and correct in all
material respects, have been completed in accordance with applicable law, and all Taxes shown to be due on such Buyer Returns have
been paid. There are no liens for Taxes (other than Taxes not yet due and payable) upon any assets of Buyer or any of its
subsidiaries.

 

(b)  Buyer
and each of its subsidiaries as of the Closing Date will have withheld with respect to its employees all federal and state income
taxes, Taxes pursuant to FICA, Taxes pursuant to FUTA and other Taxes required to be withheld.

 

(c) Neither Buyer
nor any of its subsidiaries has been delinquent in the payment of any material Tax nor is there any material Tax deficiency outstanding,
proposed or assessed against Buyer or any of its subsidiaries, nor has Buyer or any of its subsidiaries executed any unexpired
waiver of any statute of limitations on or extending the period for the assessment or collection of any Tax.

 

(d)  No
audit or other examination of any Buyer Return or any of its subsidiaries by any Tax authority is presently in progress, nor has
Buyer or any of its subsidiaries been notified of any request for such an audit or other examination.

 

(e)  No
adjustment relating to any Buyer Returns or any of its subsidiaries has been proposed in writing formally or informally by any
Tax authority to Buyer or any of its subsidiaries or any representative thereof.

 

(f)  Neither
Buyer nor any of its subsidiaries has any liability for any material unpaid Taxes which has not been accrued for or reserved on
the financial statements included in the Buyer SEC Reports in accordance with GAAP, whether asserted or unasserted, contingent
or otherwise, which is material to Buyer, other than any liability for unpaid Taxes that may have accrued since the date of the
Buyer SEC Reports in connection with the operation of the business of Buyer and its subsidiaries in the ordinary course.

 

(g)  There
is no contract, agreement, plan or arrangement to which Buyer or any of its subsidiaries is a party as of the date of this Agreement,
including but not limited to the provisions of this Agreement, covering any employee or former employee of Buyer or any of its
subsidiaries that, individually or collectively, would reasonably be expected to give rise to the payment of any amount that would
not be deductible pursuant to Sections 280G, 404 or 162(m) of the Code. There is no contract, agreement, plan or arrangement
to which Buyer is a party or by which it is bound to compensate any individual for excise taxes paid pursuant to Section 4999
of the Code.

 

(h)  Neither
Buyer nor any of its subsidiaries has filed any consent agreement under Section 341(f) of the Code or agreed to have
Section 341(f)(2) of the Code apply to any disposition of a subsection (f) asset (as defined in Section 341(f)(4) of
the Code) owned by Buyer or any of its subsidiaries.

 

(i)
Except as set forth on Schedule 5.16(i) of the Buyer Disclosure Letter, neither Buyer nor any of its subsidiaries is party
to or has any obligation under any tax-sharing, tax indemnity or tax allocation agreement or arrangement.

 

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(j)  None
of Buyer’s or its subsidiaries’ assets are tax exempt use property within the meaning of Section 168(h) of
the Code.

 

(k)  Neither
Buyer nor any subsidiary of Buyer has participated as either a “distributing corporation” or a “controlled corporation”
in a distribution of stock qualifying for tax-free treatment under Section 355 of the Code.

 

5.17  Environmental
Matters. Except as set forth on Section 5.17 of the Buyer Disclosure Letter, the operations of Buyer and
each of its subsidiaries are and have been in compliance in all material respects with all applicable Environmental Laws, which
compliance includes obtaining, maintaining in good standing and complying in all material respects with all Environmental Permits
and no action or proceeding is pending or threatened to revoke, modify or terminate any such Environmental Permit, and, to the
knowledge of Buyer, no facts, circumstances or conditions currently exist that could adversely affect such continued compliance
with Environmental Laws and Environmental Permits or require currently unbudgeted capital expenditures to achieve or maintain such
continued compliance with Environmental Laws and Environmental Permits.

 

5.18 Brokers.
Buyer has not incurred, nor will it incur, directly or indirectly, any liability for brokerage or finders fees or agent’s
commissions or any similar charges in connection with this Agreement or any transaction contemplated hereby.

 

5.19  Intellectual
Property.

 

(a)  For
the purposes of this Agreement, the following terms have the following definitions:

 

(i)
“Buyer Intellectual Property” shall mean any Intellectual Property that is owned by, or exclusively licensed
to, Buyer or any of its subsidiaries.

 

(ii)
“Buyer Registered Intellectual Property” means all of the Registered Intellectual Property owned by, or filed
in the name of, Buyer or any of its subsidiaries.

 

(b)  Section 5.19(b)
 of the Buyer Disclosure Letter contains a complete and accurate list of (i) all Buyer Registered Intellectual Property
and specifies, where applicable, the jurisdictions in which each such item of Buyer Registered Intellectual Property has been issued
or registered, and (ii) all proceedings or actions before any court or tribunal (including the PTO) or equivalent authority
anywhere else in the world) related to any of Buyer Registered Intellectual Property.

 

(c)  Section 5.19(c)
 of the Buyer Disclosure Letter contains a complete and accurate list (by name and version number) of all products, software
or service offerings of Buyer or any of its subsidiaries (collectively, “Buyer Products”) that have been sold,
distributed or otherwise disposed of in the five (5)-year period preceding the date hereof or which Buyer or any of its subsidiaries
currently intends to sell, distribute or otherwise dispose of in the future, including any products or service offerings under
development.

 

(d)  No
Buyer Intellectual Property or Buyer Product is subject to any proceeding or outstanding decree, order, judgment, contract, license,
agreement, or stipulation restricting in any manner the use, transfer, or licensing thereof by Buyer or any of its subsidiaries,
or which may affect the validity, use or enforceability of such Buyer Intellectual Property or Buyer Product.

 

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(e) Each item of Buyer
Registered Intellectual Property is valid and subsisting, all necessary registration, maintenance and renewal fees currently due
in connection with such Buyer Registered Intellectual Property have been made and all necessary documents, recordations and certificates
in connection with such Buyer Registered Intellectual Property have been filed with the relevant patent, copyright, trademark
or other authorities in the United States or foreign jurisdictions, as the case may be, for the purposes of prosecuting, maintaining
or perfecting such Buyer Registered Intellectual Property.

 

(f)  Section 5.19(f)
f the Buyer Disclosure Letter contains a complete and accurate list of all actions that are required to be taken by Buyer within
ninety (90) days of the date hereof with respect to any of Buyer Registered Intellectual Property.

 

(g)  Buyer
owns and has good and exclusive title to each item of Buyer Intellectual Property owned by it, free and clear of any lien or encumbrance
(excluding non-exclusive licenses and related restrictions granted in the ordinary course). Without limiting the generality
of the foregoing, (i) to the knowledge of Buyer, Buyer is the exclusive owner of all trademarks and trade names used in connection
with the operation or conduct of the business of Buyer and its subsidiaries, including the sale, distribution or provision of any
Buyer Products by Buyer or any of its subsidiaries, (ii) Buyer owns exclusively, and has good title to, all copyrighted works
that are included or incorporated into Buyer Products or which Buyer or any of its subsidiaries otherwise purports to own, and
(iii) to the knowledge of Buyer, except as set forth on Schedule 5.19(g) of the Buyer Disclosure Letter, the manufacture,
sale or use of Buyer Products does not infringe any patents.

 

(h)  To
the extent that any technology, software or Intellectual Property has been developed or created independently or jointly by a third
party for Buyer or any of its subsidiaries, or is incorporated into any of Buyer Products, Buyer and its subsidiaries have a written
agreement with such third party with respect thereto and Buyer and its subsidiaries thereby either (i) have obtained ownership
of, and is the exclusive owner of, or (ii) have obtained perpetual, irrevocable, worldwide non-terminable licenses (sufficient
for the conduct of its business as currently conducted and as proposed to be conducted) to all such third party’s Intellectual
Property in such work, material or invention by operation of law or by valid assignment or license, to the fullest extent it is
legally possible to do so.

 

(i)  Neither
Buyer nor any of its subsidiaries has transferred ownership of, or granted any exclusive license with respect to, any Intellectual
Property that is or was Buyer Intellectual Property, to any third party, or knowingly permitted Buyer’s rights in such Buyer
Intellectual Property to lapse or enter the public domain other than for trademarks for Buyer Products no longer sold by Buyer
for which Buyer has let the applicable trademark rights become abandoned in Buyer’s ordinary course of business.

 

(j)  Other
than “shrink wrapped” and similar widely available commercial end-user licenses, Section 5.19(j) of the
Buyer Disclosure Letter contains a complete and accurate list of all contracts, licenses and agreements to which Buyer or any of
its subsidiaries is a party (i) with respect to Buyer Intellectual Property licensed or transferred to any third party, or
(ii) pursuant to which a third party has licensed or transferred any material Intellectual Property to Buyer or any of its subsidiaries.

 

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(k)  All
contracts, licenses and agreements relating to either (i) Buyer Intellectual Property or (ii) Intellectual Property of
a third party licensed to Buyer or any of its subsidiaries, are, to the knowledge of Buyer, in full force and effect. The
consummation of the transactions contemplated by this Agreement will neither violate nor result in the breach, modification, cancellation,
termination, suspension of, or acceleration of any payments with respect to, such contracts, licenses and agreements. Each
of Buyer and its subsidiaries is in material compliance with, and has not materially breached any term of any such contracts, licenses
and agreements and, to the knowledge of Buyer, all other parties to such contracts, licenses and agreements are in compliance with,
and have not materially breached any term of, such contracts, licenses and agreements. Following the Closing Date, the Buyer
will be permitted to exercise all of Buyer’s and its subsidiaries’ rights under such contracts, licenses and agreements
to the same extent Buyer and its subsidiaries would have been able to had the transactions contemplated by this Agreement not occurred
and without the payment of any additional amounts or consideration other than ongoing fees, royalties or payments which Buyer or
any of its subsidiaries would otherwise be required to pay. Following the Closing Date, the Buyer and its subsidiaries will
be permitted to exercise all of Buyer’s and its subsidiaries’ rights under such contracts, licenses and agreements
to the same extent as Buyer and its subsidiaries would have been able to had the transactions contemplated by this Agreement not
occurred and without being required to pay any additional amounts or consideration other than fees, royalties or payments which
Buyer or its subsidiaries would otherwise be required to pay had such transactions contemplated hereby not occurred.

 

(l) The
operation of the business of Buyer and its subsidiaries as such business currently is conducted and reasonably contemplated to
be conducted, including (i) Buyer’s and its subsidiaries’ design, development, manufacture, distribution, reproduction,
marketing or sale of the products, software or services of Buyer and its subsidiaries (including Buyer Products), and (ii) except
as set forth on Schedule 5.19(l) of the Buyer Disclosure Letter, Buyer’s use of any product, device or process,
to the knowledge of Buyer, has not, does not and will not infringe or misappropriate the Intellectual Property of any third party
or, to its knowledge, constitute unfair competition or trade practices under the laws of any jurisdiction.

 

(m)  Buyer
Intellectual Property constitutes all the Intellectual Property owned by Buyer or exclusively licensed to Buyer and used in and/or
necessary to the conduct of the business of Buyer and its subsidiaries as it currently is conducted, and as it is currently planned
or contemplated to be conducted by Buyer and its subsidiaries, including, without limitation, the design, development, manufacture,
use, import and sale of products, technology and performance of services (including Buyer Products).

 

(n)  Neither
Buyer nor any of its subsidiaries has received notice from any third party that the operation of the business of Buyer or any of
its subsidiaries or any act, product or service of Buyer or any of its subsidiaries, infringes or misappropriates the Intellectual
Property of any third party or constitutes unfair competition or trade practices under the laws of any jurisdiction.

 

(o) To the knowledge
of Buyer, except as set forth on Schedule 5.19(o) of the Buyer Disclosure Letter, no person has or is infringing or misappropriating
any Buyer Intellectual Property.

 

(p)  Buyer
and each of its subsidiaries has taken reasonable steps to protect Buyer’s and its subsidiaries’ rights in Buyer’s
confidential information and trade secrets that it wishes to protect or any trade secrets or confidential information of third
parties provided to Buyer or any of its subsidiaries, and, without limiting the foregoing, each of Buyer and its subsidiaries has
and enforces a policy requiring each employee and contractor to execute a proprietary information/confidentiality agreement substantially
in the form provided to Buyer and all current and former employees and contractors of Buyer and any of its subsidiaries have executed
such an agreement, except where the failure to do so is not reasonably expected to be material to Buyer.

 

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5.20  Agreements,
Contracts and Commitments.

 

(a)  Except
as set forth in the Buyer SEC Reports or on Section 5.20 of the Buyer Disclosure Letter, neither Buyer nor any of its
subsidiaries is a party to or is bound by:

 

(i)
any employment or consulting agreement, contract or commitment with any officer or director or higher level employee or member
of Buyer’s Board of Directors, other than those that are terminable by Buyer or any of its subsidiaries on no more than thirty
(30) days notice without liability or financial obligation to Buyer;

 

(ii)
any agreement or plan, including, without limitation, any stock option plan, stock appreciation right plan or stock purchase plan,
any of the benefits of which will be increased, or the vesting of benefits of which will be accelerated, by the occurrence of any
of the transactions contemplated by this Agreement or the value of any of the benefits of which will be calculated on the basis
of any of the transactions contemplated by this Agreement;

 

(iii)
any agreement of indemnification or any guaranty other than any agreement of indemnification entered into in connection with the
sale, license, distribution, reselling or other transfer of software products in the ordinary course of business or in connection
with the provision of services in the ordinary course of business;

 

(iv)
any agreement, contract or commitment containing any covenant limiting in any respect the right of Buyer or any of its subsidiaries
to engage in any line of business presently conducted by Buyer or any subsidiary, or to compete with any person or granting any
exclusive distribution rights;

 

(v)
any agreement, contract or commitment currently in force relating to the disposition or acquisition by Buyer or any of its subsidiaries
after the date of this Agreement of a material amount of assets not in the ordinary course of business or pursuant to which Buyer
or any of its subsidiaries has any material ownership interest in any corporation, partnership, joint venture or other business
enterprise other than Buyer’s subsidiaries;

 

(vi)
any dealer, distributor, joint marketing or development agreement currently in force under which Buyer or any of its subsidiaries
have continuing material obligations to jointly market any product, technology or service and which may not be canceled without
penalty upon notice of sixty (60) days or less, or any material agreement pursuant to which Buyer or any of its subsidiaries have
continuing material obligations to jointly develop any intellectual property that will not be owned, in whole or in part, by Buyer
or any of its subsidiaries and which may not be canceled without penalty upon notice of sixty (60) days or less;

 

(vii)
any agreement, contract or commitment currently in force to provide source code to any third party for any product or technology
that is material to Buyer and its subsidiaries taken as a whole;

 

(viii)
any agreement, contract or commitment currently in force to license any third party to manufacture or reproduce any Buyer product,
service or technology or any agreement, contract or commitment currently in force to sell or distribute any Buyer product, services
or technology, except agreements with manufacturers or distributors or sales representative in the normal course of business cancelable
without penalty upon written notice of sixty (60) days or less;

 

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(ix)
any mortgages, indentures, guarantees, loans or credit agreements, security agreements or other agreements or instruments relating
to the borrowing of money or extension of credit;

 

(x)
any material settlement agreement entered into within three (3) years prior to the date of this Agreement; or

 

(xi)
any other material agreement, contract or commitment currently in force that is outside the ordinary course of business and that
has a value of $250,000 or more within a twelve (12) month period in any individual case.

 

(b)  Neither
Buyer nor any of its subsidiaries, nor to Buyer’s knowledge any other party to a Buyer Contract (as defined below), is in
material breach, violation or default under, and neither Buyer nor any of its subsidiaries has received written notice that it
has breached, violated or defaulted under, any of the material terms or conditions of any of the agreements, contracts or commitments
to which Buyer or any of its subsidiaries is a party or by which it is bound that are required to be set forth in the Buyer Disclosure
Letter (any such agreement, contract or commitment, a “Buyer Contract”) in such a manner as would permit any
other party to cancel or terminate any such Buyer Contract, or would permit any other party to seek material damages or other remedies
(for any or all of such breaches, violations or defaults, in the aggregate).

 

5.21 Insurance.
Buyer maintains insurance policies and fidelity bonds covering the assets, business, equipment, properties, operations, employees,
officers and directors of Buyer and its subsidiaries (collectively, the “Buyer Insurance Policies”) which are
of the type and in amounts customarily carried by persons conducting businesses similar to those of Buyer and its subsidiaries. 
There is no material claim by Buyer or any of its subsidiaries pending under any of the Buyer Insurance Policies as to which coverage
has been questioned, denied or disputed by the underwriters of such policies or bonds. Buyer is not aware of, and has not received
notice under any Buyer Insurance Policies of, (i) an insurer’s intention or threat to cancel or terminate any of the
Buyer Insurance Policies, (ii) an insurer’s intention or threat to increase the premiums due under any of the Buyer
Insurance Policies.

 

5.22  Board
Approval. The Board of Directors of Buyer has, as of the date of this Agreement, (i) approved this Agreement and
the transactions contemplated hereby, and (ii) determined that the Sale is fair to and in the best interests of the stockholders
of Buyer.

 

ARTICLE VI 

CONDUCT PRIOR TO THE CLOSING

 

6.1  Conduct
of Business by Seller and Buyer.

 

(a)  During
the period commencing with the execution and delivery of this Agreement and continuing until the earlier to occur of the termination
of this Agreement pursuant to its terms or the Closing Date, the parties and each of its subsidiaries shall, except to the
extent that the other parties shall otherwise consent in writing, carry on its business, in the usual, regular and ordinary course,
in substantially the same manner as heretofore conducted and in compliance with all applicable laws and regulations, pay its debts
and taxes when due subject to good faith disputes over such debts or taxes, pay or perform other material obligations when due,
and use its commercially reasonable efforts consistent with past practices and policies to (i) preserve intact its present
business organization, (ii) keep available the services of its present officers and employees and (iii) preserve its
relationships with customers, suppliers, distributors, licensors, licensees, and others with which it has business dealings. In
addition, the parties will promptly notify each other of any material event involving its business or operations.

 

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(b)  Except
as permitted or required by the terms of this Agreement, during the period commencing with the execution and delivery of this Agreement
and continuing until the earlier of the termination of this Agreement pursuant to its terms or the Closing Date, Seller shall not
do any of the following, and shall not permit any of its subsidiaries to do any of the following, except to the extent that the
other party shall otherwise consent in writing:

 

(i)
purchase, redeem or otherwise acquire, directly or indirectly, any shares of capital stock, except repurchases of unvested shares
at cost in connection with the termination of the employment relationship with any employee pursuant to stock option or purchase
agreements in effect on the date hereof;

 

(ii)
acquire or agree to acquire by merging or consolidating with, or by purchasing any equity interest in or a portion of the assets
of, or by any other manner, any business or any corporation, limited liability company, general or limited partnership, business
trust, unincorporated association or other business organization, entity or division thereof, or otherwise acquire or agree to
acquire all or substantially all of the assets of any of the foregoing, or enter into any joint ventures, strategic partnerships
or similar alliances;

 

(iii)
incur or enter into any agreement, contract or other commitment or arrangement requiring such party or any of its subsidiaries
to make payments in excess of $50,000 in any individual case, or $100,000 in the aggregate;

 

(v) engage in any
action with the intent to, directly or indirectly, adversely impact or materially delay the consummation of the Sale or any of
the other transactions contemplated by this Agreement; or

 

(vi)
agree in writing or otherwise to take any of the actions described in Section 6.1(b)(i) through Section 6.1(b)(v)
, inclusive.

 

(c)  Notwithstanding
anything contained in this Article VI , it is expressly agreed and understood that any action which might other fall
within the description of Section 6.1(a) or 6.1(b), but which could not be reasonably expected to materially affect the
business, operations or value of such party, shall not be prohibited by Article VI ; provided, however,
that prompt notice of any such actions shall be provided by the party taking such action to the other.

 

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ARTICLE VII 

ADDITIONAL AGREEMENTS

 

7.1  Information
Statement.  As promptly as practicable after the execution of this Agreement, Seller shall take all action necessary
in accordance with Nevada Law, its Articles of Incorporation and Bylaws and the Exchange Act to solicit a majority of the stockholders
of Seller to act by written consent to approve this Agreement and the Sale. Thereafter, Seller shall as promptly as practicable
prepare and file with the SEC an information statement to be delivered to the stockholders of Seller in connection with the Sale
(the “Information Statement”). Buyer shall promptly provide to Seller all information concerning its
business and financial statements and affairs as reasonably may be required or appropriate for inclusion in the Information Statement,
or in any amendments or supplements thereto, and to cause its counsel and auditors to cooperate with Seller’s counsel and
auditors in the preparation of the Information Statement. Seller shall respond to any comments of the SEC, and shall use
its commercially reasonable efforts to have the Information Statement cleared by the SEC as promptly as practicable after such
filing. Seller shall cause the Information Statement to be mailed to its stockholders at the earliest practicable time after it
is cleared by the SEC. As promptly as practicable after the date of this Agreement, each of Seller and Buyer shall prepare
and file any other filings required to be filed by it under the Exchange Act, the Securities Act or any other Federal, foreign,
state “blue sky” or related laws relating to the Sale and the transactions contemplated by this Agreement (the “Other Filings”). Seller shall promptly supply upon the receipt of any comments from the SEC or its staff or
any other government officials and of any request by the SEC or its staff or any other government officials for amendments or supplements
to the Information Statement or any Other Filing, or for additional information and shall supply the other with copies of all correspondence
between such party or any of its representatives, on the one hand, and the SEC or its staff or any other government officials,
on the other hand, with respect to the Information Statement, the Sale or any Other Filing. Each of Seller and Buyer shall cause
all documents that it is responsible for filing with the SEC or other regulatory authorities under this Section 7.1(a)
 to comply in all material respects with all applicable requirements of law and the rules and regulations promulgated
thereunder. Whenever any event occurs that is required to be set forth in an amendment or supplement to the Information Statement
or any Other Filing, Seller or Buyer, as the case may be, shall promptly inform the other of such occurrence and cooperate in filing
with the SEC or its staff or any other government officials, and/or mailing to the stockholders of Seller and Buyer, such amendment
or supplement.

 

7.2  Access
to Information. During the period commencing with the execution and delivery of this Agreement until the earlier to
occur of the termination of this Agreement pursuant to its terms and the Closing Date, each of Buyer and Seller shall afford the
other and its accountants, counsel and other representatives reasonable access during normal business hours to the properties,
books, records and personnel of Buyer or Seller, as applicable, to obtain all information concerning the business of such company,
including, without limitation, the status of its product development efforts, properties, results of operations and personnel,
as Buyer or Seller may reasonably request.   No information or knowledge obtained by Buyer or Seller during the course
of any investigation conducted pursuant to this Section 7.5 shall affect, or be deemed to modify in any respect any
representation or warranty contained herein or the conditions to the obligations of the parties to consummate the Sale contained
herein.

 

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7.3  No
Solicitation.

 

(a)  During
the period commencing with the execution and delivery of this Agreement until the earlier to occur of the termination of this Agreement
pursuant to its terms and the Closing Date, Seller and its subsidiaries shall not, nor will they authorize any of their respective
officers, directors, affiliates or employees or any investment banker, attorney or other advisor or representative retained by
any of them to, directly or indirectly, (i) solicit, initiate, encourage or induce the making, submission or announcement
of any Acquisition Proposal (as defined in Section 7.3(b) hereof), (ii) participate in any discussions or negotiations
regarding, or furnish to any person any information with respect to, or take any other action to facilitate any inquiries or the
making of any proposal that constitutes or may reasonably be expected to lead to, any Acquisition Proposal, (iii) engage in
discussions or negotiations with any person with respect to any Acquisition Proposal, except as to the existence of these provisions,
(iv) subject to the terms of Section 7.3(c) hereof, approve, endorse or recommend any Acquisition Proposal, or
(v) enter into any letter of intent or similar document or any contract agreement or commitment contemplating or otherwise
relating to any Acquisition Proposal; provided, however, that prior to the adoption and approval of
this Agreement and the approval of the Sale by the requisite vote of the stockholders of Seller, the terms of this Section 7.3(a)
shall not prohibit Seller from furnishing information regarding Seller or any of its subsidiaries to, or entering into a confidentiality
agreement or discussions or negotiations with, any person or group in response to a Superior Offer (as defined below) submitted
by such person or group (and not withdrawn) if (1) neither Seller nor any representative of Seller and its subsidiaries shall
have violated any of the restrictions set forth in this Section 7.3, (2) the Board of Directors of Seller concludes
in good faith, after consultation with its outside legal counsel, that such action is required in order for the Board of Directors
of Seller to comply with its fiduciary obligations to Seller’s stockholders under Nevada Law, (3) (x) at least
five (5) business days prior to furnishing any such information to, or entering into discussions or negotiations with, such
person or group, Seller gives Buyer written notice of the identity of such person or group and of Seller’s intention to furnish
information to, or enter into discussions or negotiations with, such person or group and (y) Seller receives from such person
or group an executed confidentiality agreement, and (4) contemporaneously with furnishing any such information to such person
or group, Seller furnishes such information to Buyer (to the extent such information has not been previously furnished by Seller
to Buyer). Seller and its subsidiaries shall immediately cease any and all existing activities, discussions or negotiations with
any parties conducted heretofore with respect to any Acquisition Proposal. Without limiting the generality of the foregoing, the
parties hereto understood and agree that any violation of the restrictions set forth in this Section 7.3(a) by any
officer, director or employee of Seller or any of its subsidiaries or any investment banker, attorney or other advisor or representative
of Seller or any of its subsidiaries shall be deemed to be a breach of this Section 7.3 (a) by Seller. In
addition to the foregoing, Seller shall (i) provide Buyer with at least forty-eight (48) hours prior notice (or such lesser
prior notice as provided to the members of the Board of Directors of Seller, but in no event less than twelve (12) hours) of any
meeting of the Board of Directors of Seller at which the Board of Directors of Seller is reasonably expected to consider a Superior
Offer, and (ii) provide Buyer with at least five (5) business days prior written notice (or such lesser prior notice
as provided to the members of the Board of Directors of Seller) of a meeting of the Board of Directors of Seller at which the Board
of Directors of Seller is reasonably expected to recommend a Superior Offer to the stockholders of Seller and together with such
notice a copy of the definitive documentation relating to such Superior Offer.

 

(b) For
all purposes of and under this Agreement, the term “Acquisition Proposal” shall mean any transaction or series
of related transactions, other than the transactions contemplated by this Agreement, involving (i) any acquisition or purchase
from Seller by any person or “group” (as defined under Section 13(d) of the Exchange Act and the rules and
regulations promulgated thereunder) of more than a twenty-five percent (25%) interest in the total outstanding voting securities
of Seller or any of its subsidiaries, or any tender offer or exchange offer that if consummated would result in any person or “group”
(as defined under Section 13(d) of the Exchange Act and the rules and regulations thereunder) beneficially owning
five percent (5%) or more of the total outstanding voting securities of Seller or any of its subsidiaries, or any Sale, consolidation,
business combination or similar transaction involving Seller pursuant to which the stockholders of Seller immediately preceding
such transaction would hold less than ninety five percent (95%) of the equity interests in the surviving or resulting entity of
such transaction; (ii) any sale, lease (other than in the ordinary course of business), exchange, transfer, license (other
than in the ordinary course of business), acquisition or disposition of more than five percent (5%) of the assets of Seller; or
(iii) any liquidation or dissolution of Seller.

 

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(c)
For all purposes of and under this Agreement, the term “Superior Offer” shall mean an unsolicited bona fide
written Acquisition Proposal (with all references to 25% in the definition of Acquisition Transaction being treated as references
to greater than 50% for these purposes) that: (a) was not obtained or made as a direct or indirect result of a breach of (or in
violation of) this Agreement; and (b) is on terms and conditions that the Board of Directors of Seller determines in good faith,
based on such matters that it deems relevant (including the likelihood of consummation thereof), as well as any written offer by
Buyer to amend the terms of this Agreement, and following consultation with its outside legal counsel and outside financial advisors,
if any, are more favorable, from a financial point of view, to the Seller’s stockholders than the transactions contemplated
by this Agreement.

 

(d)  In
addition to the obligations of Seller set forth in Section 7.3(a) hereof, Seller shall advise Buyer, as promptly as
practicable, and in any event within twenty-four (24) hours, orally, of (i) any request for information which Seller reasonably
believes could lead to an Acquisition Proposal or, (ii) any Acquisition Proposal, or (iii) any inquiry with respect to
or which Seller reasonably should believe could lead to any Acquisition Proposal, the (iv) material terms and conditions of
any such request, Acquisition Proposal or inquiry, and (v) the identity of the person or group making any such request, Acquisition
Proposal or inquiry. Seller shall keep Buyer informed in all material respects of the status and details (including material
amendments or proposed amendments) of any such request, Acquisition Proposal or inquiry.

 

7.4  Reporting
Company Status. So long as the Seller beneficially owns the Buyer Common Stock, Buyer shall file all reports required
to be filed with the SEC pursuant to Section 13 or 15(d) of the Exchange Act, and Buyer shall not terminate its status as an issuer
required to file reports under the Exchange Act even if the rules and regulations thereunder would permit such termination.

 

7.5 Public Disclosure.
Buyer and Seller shall consult with each other, and to the extent practicable, agree, before issuing any press release or otherwise
making any public statement with respect to this Agreement, the Sale or an Acquisition Proposal, and shall not issue any such
press release or make any such public statement prior to such consultation, except as may be required by applicable law or any
listing agreement with a national securities exchange. The parties hereto have agreed to the text of the joint press release announcing
the signing of this Agreement.

 

7.6  Reasonable
Efforts; Notification.

 

(a)  Upon
the terms and subject to the conditions set forth in this Agreement, each of the parties hereto shall use its commercially reasonable
best efforts to take, or cause to be taken, all actions, and to do, or cause to be done, and to assist and cooperate with the other
parties hereto in doing, all things necessary, proper or advisable to consummate and make effective, in the most expeditious manner
practicable, the Sale and the other transactions contemplated by this Agreement, including, without limitation, using reasonable
efforts to accomplish the following: (i) the taking of all reasonable actions necessary to cause the conditions precedent
set forth in Article VI hereof to be satisfied, (ii) the obtaining of all necessary actions or nonactions, waivers,
consents, approvals, orders and authorizations from Governmental Entities, and the making of all necessary registrations, declarations
and filings (including registrations, declarations and filings with Governmental Entities, if any), and the taking of all reasonable
steps as may be necessary to avoid any suit, claim, action, investigation or proceeding by any Governmental Entity, (iii) the
obtaining of all necessary consents, approvals or waivers from third parties which may be required or desirable as a result of,
or in connection with, the transactions contemplated by this Agreement, (iv) the defending of any suits, claims, actions,
investigations or proceedings, whether judicial or administrative, challenging this Agreement or the consummation of the transactions
contemplated hereby, including, without limitation, seeking to have any stay or temporary restraining order entered by any court
or other Governmental Entity vacated or reversed, and (v) the execution or delivery of any additional certificates, instruments
and other documents necessary to consummate the transactions contemplated by, and to fully carry out the purposes of, this Agreement. 
In connection with and without limiting the foregoing, each of Buyer and Seller and its respective Board of Directors shall, if
any state takeover statute or similar statute or regulation is or becomes applicable to the Sale, this Agreement or any of the
transactions contemplated by this Agreement, use all commercially reasonable efforts to ensure that the Sale and the other transactions
contemplated by this Agreement may be consummated as promptly as practicable on the terms contemplated by this Agreement and otherwise
to minimize the effect of such statute or regulation on the Sale, this Agreement and the transactions contemplated hereby. 
Notwithstanding anything to the contrary in this Agreement, nothing in this Agreement shall be deemed to require Buyer or Seller
or any subsidiary or affiliate thereof to agree to any divestiture by itself or any of its affiliates of shares of capital stock
or of any business, assets or property, or the imposition of any material limitation on the ability of any of them to conduct their
businesses or to own or exercise control of such assets, properties and stock.

 

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(b)  Seller
shall give prompt notice to Buyer upon becoming aware that any representation or warranty made by Seller in this Agreement has
become untrue or inaccurate, or that Seller has failed to comply with or satisfy in any material respect any covenant, condition
or agreement to be complied with or satisfied by it under this Agreement, in each case, such that the conditions set forth in Section 8.3(a)
 or Section 8.3(b) hereof would not be satisfied, provided, however, that no such notification
shall affect the representations, warranties, covenants or agreements of Seller, or the conditions to the obligations of the parties
under this Agreement.

 

(c)  Buyer
shall give prompt notice to Seller upon becoming aware that any representation or warranty made by Buyer in this Agreement has
become untrue or inaccurate, or that Buyer has failed to comply with or satisfy in any material respect any covenant, condition
or agreement to be complied with or satisfied by it under this Agreement, in each case, such that the conditions set forth in Section 8.2(a)
 or Section 8.2(b) hereof would not be satisfied, provided, however, that no such notification
shall affect the representations, warranties, covenants or agreements of Buyer, or the conditions to the obligations of the parties
under this Agreement.

 

7.7  Third
Party Consents. As soon as practicable following the date hereof, Buyer and Seller shall each use its respective commercially
reasonable best efforts to obtain any consents, waivers and approvals under any of its or its subsidiaries’ respective agreements,
contracts, licenses or leases required to be obtained in connection with the consummation of the transactions contemplated hereby.

 

7.8 Waiver of Non-compete
Provisions. Seller agrees to waive the non-competition provisions set forth in the employment agreements between Seller and
Gaston Pereira and Andrey Novikov, respectively, to permit them to accept employment positions with the Buyer.

 

7.9 Piggyback Registration.
Buyer shall include 1,000,000 shares of the Buyer Common Stock issuable to Seller hereunder (the “Registrable Securities”)
in the next registration statement it files with the Securities and Exchange Commission, use its commercially reasonable efforts
to cause the registration statement to be declared effective under the Securities Act of 1933, as amended (the “1933 Act”),
as promptly as possible after the filing thereof, and to keep such registration statement continuously effective under the 1933
Act until the earlier of: (x) such date as all Registrable Securities covered by such Registration Statement have been sold or
(y) one year after the date of the Closing.

 

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ARTICLE VIII 

CONDITIONS TO THE
SALE

 

8.1  Conditions
to Obligations of Each Party to Effect the Sale. The respective obligations of each party to this Agreement to effect
the Sale shall be subject to the satisfaction or fulfillment, at or prior to the Closing Date, of the following conditions:

 

(a)  Stockholder
Approval. This Agreement shall have been duly approved and adopted, and the Sale shall have been duly approved, by the
requisite vote under Nevada Law, by the stockholders of Seller.

 

(b)  Information
Statement Cleared. Seller shall have cleared all comments from the SEC with respect to the Information Statement, the
Information Statement shall have been mailed by Seller to its stockholders, and in accordance with the Exchange Act, twenty (20)
days shall have elapsed since such mailing date. All Other Filings shall have been approved or declared effective and no stop order
shall have been issued and no proceeding shall have been initiated to revoke any such approval or effectiveness.

 

(c)  No
Order. No Governmental Entity shall have enacted, issued, promulgated, enforced or entered any statute, rule, regulation,
executive order, decree, injunction or other order (whether temporary, preliminary or permanent) which is in effect and which has
the effect of making the Sale illegal or otherwise prohibiting consummation of the Sale.

 

8.2  Additional
Conditions to Obligations of Seller. The obligation of Seller to consummate and effect the Sale shall be subject to
the satisfaction or fulfillment, at or prior to the Closing Date, of each of the following conditions, any of which may be waived,
in writing, exclusively by Seller:

 

(a)  Representations
and Warranties. Each representation and warranty of Buyer contained in this Agreement (i) shall have been true
and correct in all material respects as of the date of this Agreement and (ii) shall be true and correct in all material respects
on and as of the Closing Date with the same force and effect as if made on the Closing Date, except for those representations and
warranties which address matters only as of a particular date, which representations and warranties shall have been true and correct
in all material respects as of such particular date; provided, however, that in all cases where a representation
or warranty contains a materiality or Material Adverse Effect qualifier, such representation or warranty shall be true and correct
in all respects as of the dates set forth above.  Seller shall have received a certificate with respect to the foregoing
signed on behalf of Buyer by duly authorized officer thereof.

 

(b) Agreements
and Covenants. Buyer shall have performed or complied in all material respects with all agreements and covenants required
by this Agreement to be performed or complied with by them on or prior to the Closing Date, and Seller shall have received a certificate
to such effect signed on behalf of Buyer by a duly authorized officer thereof.

 

(c)  Material
Adverse Effect. No Material Adverse Effect with respect to Buyer and its subsidiaries shall have occurred since the
date of this Agreement.

 

8.3
Additional Conditions to the Obligations of Buyer. The obligations of Buyer to consummate and effect the Sale shall
be subject to the satisfaction or fulfillment, at or prior to the Closing Date, of each of the following conditions, any of which
may be waived, in writing, exclusively by Buyer:

 

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(a)  Representations
and Warranties. Each representation and warranty of Seller contained in this Agreement (i) shall have been true and correct
in all material respects as of the date of this Agreement and (ii) shall be true and correct in all material respects on and
as of the Closing Date with the same force and effect as if made on the Closing Date, except for those representations and warranties
which address matters only as of a particular date, which representations and warranties shall have been true and correct in all
material respects as of such particular date; provided, however, that in all cases where a representation
or warranty contains a materiality or Material Adverse Effect qualifier, such representation or warranty shall be true and correct
in all respects as of the dates set forth above. Buyer shall have received a certificate with respect to the foregoing signed
on behalf of Seller by a duly authorized officer thereof.

 

(b)  Agreements
and Covenants. Seller shall have performed or complied in all material respects with all agreements and covenants required
by this Agreement to be performed or complied with by it at or prior to the Closing Date, and Buyer shall have received a certificate
to such effect signed on behalf of Seller by a duly authorized officer thereof.

 

(c)  Material
Adverse Effect. No Material Adverse Effect with respect to Seller and its subsidiaries shall have occurred since the
date of this Agreement.

 

ARTICLE IX 

TERMINATION, AMENDMENT AND WAIVER

 

9.1  Termination. This Agreement may be terminated at any time prior to the Closing Date, whether before or after the requisite approval
of the stockholders of Seller has been obtained in respect of this Agreement and the Sale:

 

(a)  by
mutual written consent of Buyer and Seller, duly authorized by the respective Boards of Directors of Buyer and Seller;

 

(b)  by
either Buyer or Seller if the Sale shall not have been consummated by the date that is six (6) months following the date of this
Agreement for any reason; provided, however, that the right to terminate this Agreement under this
Section 9.1(b) shall not be available to any party whose action or failure to act has been a principal cause of or
resulted in the failure of the Sale to occur on or before such date, and such action or failure to act constitutes a breach of
this Agreement;

 

(c)  by
either Buyer or Seller if a Governmental Entity shall have issued an order, decree or ruling or taken any other action, in
any case having the effect of permanently restraining, enjoining or otherwise prohibiting the Sale, which order, decree, ruling
or other action is final and nonappealable;

 

(d)  by
either Buyer or Seller if the requisite approval of the stockholders of Seller contemplated by this Agreement shall not have been
obtained by reason of the failure to obtain the requisite vote at a meeting of the stockholders of Seller, duly convened therefor
or at any adjournment or postponement thereof; provided, however, that the right to terminate this
Agreement under this Section 9.1(d) shall not be available to Seller in the event that the failure to obtain the requisite
approval of the stockholders of Seller shall have been caused by the action or failure to act of Seller, and such action or failure
to act constitutes a breach of Section 8.1 of this Agreement;

 

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(e)  by
Seller, upon a breach of any representation, warranty, covenant or agreement on the part of Buyer set forth in this Agreement,
or if any representation or warranty of Buyer shall have become untrue, in either case such that the conditions set forth in Section 8.2(a)
or Section 8.2(b) hereof would not be satisfied as of the time of such breach or as of the time such representation
or warranty shall have become untrue; provided, however, that if such inaccuracy in Buyer’s representations
and warranties or breach by Buyer is curable by Buyer through the exercise of its commercially reasonable efforts, then Seller
may not terminate this Agreement under this Section 9.1(e) for fifteen (15) calendar days following the delivery of
written notice from Seller to Buyer of such breach, provided Buyer continues to exercise commercially reasonable efforts to cure
such breach (it being understood that Seller may not terminate this Agreement pursuant to this Section 9.1(e) if such breach
by Buyer is cured during such thirty (30) calendar day period);

 

(f)  by
Buyer, upon a breach of any representation, warranty, covenant or agreement on the part of Seller set forth in this Agreement,
or if any representation or warranty of Seller shall have become untrue, in either case such that the conditions set forth in Section 8.3(a)
or Section 8.3(b) hereof would not be satisfied as of the time of such breach or as of the time such representation
or warranty shall have become untrue; provided, however, that if such inaccuracy in Seller’s
representations and warranties or breach by Seller is curable by Seller through the exercise of its commercially reasonable efforts,
then Buyer may not terminate this Agreement under this Section 9.1(f) for fifteen (15) calendar days following the
delivery of written notice from Buyer to Seller of such breach, provided Seller continues to exercise commercially reasonable efforts
to cure such breach (it being understood that Buyer may not terminate this Agreement pursuant to this Section 9.1(f) if
such breach by Seller is cured during such thirty (30) calendar day period); or

 

(g)  by
Buyer if a Material Adverse Effect with respect to the Company or its subsidiaries shall have occurred since the date of this Agreement;
provided, however, that if such Material Adverse Effect with respect to the Company or its subsidiaries
is curable by Seller through the exercise of its commercially reasonable efforts, then Buyer may not terminate this Agreement under
this Section 9.1(g) for fifteen (15) calendar days following the occurrence of such Material Adverse Effect, provided Seller
continues to exercise commercially reasonable efforts to cure such Material Adverse Effect (it being understood that Buyer may
not terminate this Agreement pursuant to this Section 9.1(g) if such Material Adverse Effect is cured during such thirty
(30) calendar day period.

 

(h)  by
Seller if a Material Adverse Effect with respect to the Buyer shall have occurred since the date of this Agreement; provided,
however, that if such Material Adverse Effect with respect to the Buyer is curable by Buyer through the exercise
of its commercially reasonable efforts, then Seller may not terminate this Agreement under this Section 9.1(h) for fifteen
(15) calendar days following the occurrence of such Material Adverse Effect, provided Buyer continues to exercise commercially
reasonable efforts to cure such Material Adverse Effect (it being understood that Seller may not terminate this Agreement pursuant
to this Section 9.1(h) if such Material Adverse Effect is cured during such thirty (30) calendar day period.

 

(i)   by
Seller, at any time, if (i) Seller has received a Superior Offer and (ii) Seller has complied with its obligations under Section
7.3(a) in order to accept such Superior Offer.

 

9.2  Notice
of Termination; Effect of Termination. Any termination of this Agreement pursuant to Section 9.1 hereof
shall be effective immediately upon the delivery of written notice of the terminating party to the other party or parties hereto. 
In the event of the termination of this Agreement pursuant to Section 9.1 hereof, this Agreement shall be of no further
force or effect, except (i) as set forth in this Section 9.2, and as set forth in Section 9.3 and
Article X (General Provisions) hereof, each of which shall survive the termination of this Agreement, and (ii) nothing
herein shall relieve any party hereto from any liability for any willful breach of this Agreement.

 

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9.3  Fees
and Expenses. Except as otherwise provided in this Section 9.3, all fees and expenses incurred in connection
with this Agreement and the transactions contemplated hereby shall be paid by the party incurring such fees and expenses, whether
or not the Sale is consummated.

 

9.4  Amendment. Subject to applicable law, this Agreement may be amended by the parties hereto at any time by execution of an instrument
in writing, signed on behalf of each of the parties hereto by a duly authorized officer thereof.

 

9.5  Extension;
Waiver. At any time prior to the Closing Date, any party hereto may, to the extent legally allowed, (i) extend
the time for the performance of any of the obligations or other acts of the other parties hereto, (ii) waive any inaccuracies
in the representations and warranties made to such party contained herein or in any document delivered pursuant hereto, and (iii) waive
compliance with any of the agreements or conditions for the benefit of such party contained herein. Any agreement on the part of
a party hereto to any such extension or waiver shall be valid only if set forth in an instrument in writing signed on behalf of
such party. Any delay in exercising any right under this Agreement shall not constitute a waiver of such right.

 

ARTICLE IX 

INDEMNIFICATION

 

10.1   Indemnification.

 

(a)   By
Seller. Subject to the other terms and conditions of this Article X, Seller shall indemnify and hold harmless
Buyer and its officers, directors and stockholders (each an “Buyer Indemnified Party”), from and against any
and all demands, claims, actions or causes of action, judgments, assessments, losses, liabilities, damages or penalties and reasonable
attorneys’ fees and related disbursements (collectively, “Claims”) suffered by such Buyer Indemnified
Party resulting from or arising out of any: (i) inaccuracy in or breach of any of the representations or warranties made by Seller
in this Agreement; or (ii) breach or nonfulfillment of any covenants or agreements made by Seller in this Agreement.

 

(b)   By
Buyer. Subject to the other terms and conditions of this Article X, Buyer shall indemnify and hold harmless Seller
and its officers, directors and stockholders (each an “Seller Indemnified Party”), from and against any and
all Claims suffered by such Seller Indemnified Party resulting from or arising out of any: (i) inaccuracy in or breach of any of
the representations or warranties made by Buyer in this Agreement; or (ii) breach or nonfulfillment of any covenants or agreements
made by Buyer in this Agreement.

 

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10.2   Indemnification
Procedures for Third-Party Claims. In making a claim under this Article X, the party making a claim is referred
to as the “Indemnified Party,” and the party against whom such claims are asserted is referred to as the “Indemnifying Party.”

 

(a)   Upon
obtaining knowledge of any Claim by a third party that has given rise to, or is expected to give rise to, a claim for indemnification
hereunder, the Indemnified Party shall give prompt written notice (“Notice of Claim”) of such claim or demand
to the Indemnifying Party, specifying in reasonable detail such information as the Indemnified Party may have with respect to such
indemnification claim (including copies of any summons, complaint or other pleading that may have been served on it and any written
claim, demand, invoice, billing or other document evidencing or asserting the same). Subject to the limitations set forth in Section
10.2 hereof, no failure or delay by an Indemnified Party in the performance of the foregoing shall reduce or otherwise affect
the obligation of the Indemnifying Party to indemnify and hold the Indemnified Party harmless, except to the extent that such failure
or delay shall have actually adversely affected the Indemnifying Party’s ability to defend against, settle or satisfy any
Claims for which the Indemnified Party is entitled to indemnification hereunder.

 

(b)   If
the claim or demand set forth in the Notice of Claim given by an Indemnified Party pursuant to Section 10.2(a) hereof is
a claim or demand asserted by a third party, the Indemnifying Party shall have fifteen (15) Business Days after the date on which
the Notice of Claim is delivered to notify the Indemnified Party in writing of its election to defend such third party claim or
demand on behalf of the Indemnified Party. If the Indemnifying Party elects to defend such third party claim or demand, the Indemnified
Party shall make available to the Indemnifying Party and its agents and representatives all records and other materials that are
reasonably required in the defense of such third party claim or demand and shall otherwise cooperate with, and assist the Indemnifying
Party in the defense of, such third party claim or demand, and so long as the Indemnifying Party is defending such third party
claim in good faith, the Indemnified Party shall not pay, settle or compromise such third party claim or demand. If the Indemnifying
Party elects to defend such third party claim or demand the Indemnified Party shall have the right to participate in the defense
of such third party claim or demand at the Indemnified Party’s expense. In the event, however, that such Indemnified
Party reasonably determines that representation by counsel to the Indemnifying Party of both the Indemnifying Party and such Indemnified
Party could reasonably be expected to present counsel with a conflict of interest, then the Indemnified Party may employ separate
counsel to represent or defend it in any such action or proceeding and the Indemnifying Party shall be liable for the reasonable
fees and expenses of such counsel. If the Indemnifying Party does not elect to defend such third party claim or demand or does
not defend such third party claim or demand in good faith, the Indemnified Party shall have the right, in addition to any other
right or remedy it may have hereunder, at the Indemnifying Party’s expense, to defend such third party claim or demand; provided,
however, that: (i) such Indemnified Party shall not have any obligation to participate in the defense of or defend
any such third party claim or demand; (ii) such Indemnified Party’s defense of or its participation in the defense of any
such third party claim or demand shall not in any way diminish or lessen the obligations of the Indemnifying Party under the agreements
of indemnification set forth in this Article X; and (iii) such Indemnified Party may not settle any claim without the consent
of the Indemnifying Party, which consent shall not be unreasonably withheld or delayed.

 

(c)   Except
for third party claims being defended in good faith, the Indemnifying Party shall satisfy its obligations under this Article
X in respect of a valid claim for indemnification hereunder that is not contested by the Indemnified Party in good faith by
wire transfer of immediately available funds to the Indemnified Party within thirty (30) days after the date on which Notice of
Claim is delivered to the Indemnified Party.

 

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10.3   Indemnification
Procedures for Non-Third Party Claims. In the event any Indemnified Party should have an indemnification claim against
the Indemnifying Party under this Agreement that does not involve a claim by a third party, the Indemnified Party shall promptly
deliver notice of such claim to the Indemnifying Party in writing and in reasonable detail and shall cooperate with, answers questions
and make available to the Indemnifying Party the information relied upon by the Indemnified Party to substantiate the claim. The
failure by any Indemnified Party to so notify the Indemnifying Party shall not relieve the Indemnifying Party from any liability
that it may have to such Indemnified Party, except to the extent that Indemnifying Party have been actually prejudiced by such
failure. If the Indemnifying Party does not notify the Indemnified Party within fifteen (15) Business Days following its receipt
of such notice that the Indemnifying Party dispute such claim, such claim specified by the Indemnified Party in such notice shall
be conclusively deemed a liability of the Indemnifying Party under this Article X and the Indemnifying Party shall pay the
amount of such liability to the Indemnified Party on demand, or in the case of any notice in which the amount of the claim is estimated,
on such later date when the amount of such claim is finally determined. If the Indemnifying Party disputes its liability with respect
to such claim in a timely manner, the Indemnifying Party and the Indemnified Party shall proceed in good faith to negotiate a resolution
of such dispute and, if not resolved through negotiations, such dispute shall be submitted to a court of law.

 

10.4   Damages. Notwithstanding anything to the contrary in this Agreement, neither party shall be liable to the other for any consequential,
indirect, exemplary or punitive damages.

 

ARTICLE XI 

GENERAL PROVISIONS

 

11.1  Representations
and Warranties. The representations and warranties of Seller and Buyer contained in this Agreement shall survive the
Closing for a period of two (2) years.

 

11.2 Notices.
All notices and other communications hereunder shall be in writing and shall be deemed given if delivered personally or by commercial
delivery service, or sent via telecopy (receipt confirmed) to the parties at the following addresses or telecopy numbers (or at
such other address or telecopy numbers for a party as shall be specified by like notice):

 

(a) if to Buyer, to:

 

VIVI HOLDINGS, INC.

Attn: Lucas Sodre

951 Yamato Road, Suite 101

Boca Raton, FL 33432

Email: lucas.sodre@vivitech.com.br

 

With a copy, which shall not
constitute notice, to:

 

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(b)
if to Seller, to:

 

QPAGOS

Attn: Andrey Novikov, COO

Paseo del la Reforma 404 Piso 15 PH

Col. Juarez, Del. Cuauhtemoc

Mexico, D.F. C.P.

Email: a.novikov@qpagos.com

 

With a copy, which shall not
constitute notice, to:

 

Gracin & Marlow, LLP

Leslie Marlow, Esq.

405 Lexington Avenue, 26th Floor

New York, New York 10174

Email:lmarlow@gracinmarlow.com

 

11.3  Interpretation;
Knowledge.

 

(a)  When
a reference is made in this Agreement to exhibits, such reference shall be to an exhibit to this Agreement unless otherwise
indicated. When a reference is made in this Agreement to sections, such reference shall be to a section of this Agreement. Unless
otherwise indicated the words “include,” “includes” and “including” when used herein shall
be deemed in each case to be followed by the words “without limitation.” The table of contents and headings contained
in this Agreement are for reference purposes only and shall not affect in any way the meaning or interpretation of this Agreement.
When reference is made herein to “the business of” an entity, such reference shall be deemed to include the business
of all direct and indirect subsidiaries of such entity. Reference to the subsidiaries of an entity shall be deemed to include all
direct and indirect subsidiaries of such entity.

 

(b)  For
purposes of this Agreement the term “knowledge” means with respect to a party hereto, with respect to any
matter in question, that any of the executive officers of such party has actual knowledge of such matter or knowledge that such
individual could reasonably be expected to obtain upon reasonable investigation or inquiry into such matter.

 

(c)  For
purposes of this Agreement, the term “Material Adverse Effect” when used in connection with an entity means
any change, event, violation, inaccuracy, circumstance or effect that is materially adverse to the business, assets (including
intangible assets), capitalization, financial condition or results of operations of such entity and its subsidiaries taken as a
whole. For purposes of this Agreement, the term “person” shall mean any individual, corporation (including
any non-profit corporation), general partnership, limited partnership, limited liability partnership, joint venture, estate, trust,
company (including any limited liability company or joint stock company), firm or other enterprise, association, organization,
entity or Governmental Entity.

 

11.4 Counterparts.
This Agreement may be executed in one or more counterparts, all of which shall be considered one and the same agreement and shall
become effective when one or more counterparts have been signed by each of the parties and delivered to the other party, it being
understood that all parties need not sign the same counterpart.

 

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11.5  Entire
Agreement; Third Party Beneficiaries. This Agreement and the documents and instruments and other agreements among
the parties hereto as contemplated by or referred to herein, including the Seller Disclosure Letter and the Buyer Disclosure Letter
(i) constitute the entire agreement among the parties with respect to the subject matter hereof and supersede all prior agreements
and understandings, both written and oral, among the parties with respect to the subject matter hereof; and (ii) are not intended
to confer upon any other person any rights or remedies hereunder.

 

11.6 Severability.
In the event that any provision of this Agreement or the application thereof, becomes or is declared by a court of competent jurisdiction
to be illegal, void or unenforceable, the remainder of this Agreement will continue in full force and effect and the application
of such provision to other persons or circumstances will be interpreted so as reasonably to effect the intent of the parties hereto.
The parties further agree to replace such void or unenforceable provision of this Agreement with a valid and enforceable provision
that will achieve, to the extent possible, the economic, business and other purposes of such void or unenforceable provision.

 

11.7  Other
Remedies; Specific Performance. Except as otherwise provided herein, any and all remedies herein expressly conferred
upon a party will be deemed cumulative with and not exclusive of any other remedy conferred hereby, or by law or equity upon such
party, and the exercise by a party of any one remedy will not preclude the exercise of any other remedy. The parties hereto agree
that irreparable damage would occur in the event that any of the provisions of this Agreement were not performed in accordance
with their specific terms or were otherwise breached. It is accordingly agreed that the parties shall be entitled to seek an injunction
or injunctions to prevent breaches of this Agreement and to enforce specifically the terms and provisions hereof in any court of
the United States or any state having jurisdiction, this being in addition to any other remedy to which they are entitled at law
or in equity.

 

11.8  Governing
Law. This Agreement, and all claims or causes of action (whether at law, in contract or in tort) that may be based upon,
arise out of or relate to this Agreement or the negotiation, execution or performance hereof, shall be governed by and construed
in accordance with the laws of the State of Delaware, without giving effect to any choice or conflict of law provision or rule
(whether of the State of Delaware or any other jurisdiction) that would cause the application of the laws of any jurisdiction other
than the State of Delaware. Each of the parties hereto (i) consents to submit itself to the personal jurisdiction of the
Court of Chancery of the State of Delaware in the event any dispute arises out of this Agreement or any of the transactions contemplated
hereby, and, in connection with any such matter, to service of process by notice as otherwise provided herein, (ii) agrees that
it will not attempt to deny or defeat such personal jurisdiction by motion or other request for leave from any such court and (iii)
agrees that it will not bring any action relating to this Agreement or any of the transactions contemplated hereby in any court
other than the Court of Chancery of the State of Delaware. Any party may make service on another party by sending or delivering
a copy of the process to the party to be served at the address and in the manner provided for the giving of notices in Section
11.2.

 

11.9  Rules
of Construction. The parties hereto agree that they have been represented by counsel during the negotiation and execution
of this Agreement and, therefore, waive the application of any law, regulation, holding or rule of construction providing that
ambiguities in an agreement or other document will be construed against the party drafting such agreement or document.

 

11.10 Assignment.
No party may assign either this Agreement or any of its rights, interests, or obligations hereunder without the prior written
approval of the other parties. Subject to the preceding sentence, this Agreement shall be binding upon and shall inure to the
benefit of the parties hereto and their respective successors and permitted assigns.

 

11.11 WAIVER OF
JURY TRIAL. EACH OF BUYER AND SELLER HEREBY IRREVOCABLY WAIVES ALL RIGHT TO TRIAL BY JURY IN ANY ACTION, PROCEEDING
OR COUNTERCLAIM (WHETHER BASED ON CONTRACT, TORT OR OTHERWISE) ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE ACTIONS OF BUYER
OR SELLER IN THE NEGOTIATION, ADMINISTRATION, PERFORMANCE AND ENFORCEMENT HEREOF.

 

[ Remainder of Page Intentionally Left
Blank ]

 

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IN WITNESS WHEREOF,
the parties hereto have caused this Agreement to be duly executed as of the date first above written.

 

	 	SELLER :
	 	 
	 	QPAGOS
	 	 
	 	By:	/s/ Gaston Pereira
	 	 	Name: 	Gaston Pereira
	 	 	Title: 	CEO
	 	 
	 	BUYER : 
	 	 
	 	VIVI HOLDINGS, INC.
	 	 
	 	By:	/s/ Marcelo Sant’Anna
	 	 	Name: 	Marcelo Sant’Anna
	 	 	Title: 	Chairman

 

 

41

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