Document:

Exhibit 10.1

 

SECURITIES PURCHASE AGREEMENT

 

This Securities Purchase
Agreement (this “Agreement”) is dated as of April 29, 2019, between Borqs Technologies, Inc., a British Virgin
Islands corporation (the “Company”), and the purchaser identified on the signature page hereto (including its
successors and assigns, collectively, the “Purchaser”).

 

WHEREAS, subject to
the terms and conditions set forth in this Agreement and pursuant to Section 4(a)(2) of the Securities Act of 1933, as amended
(the “Securities Act”), and Rule 506 promulgated thereunder, the Company desires to issue and sell to the Purchaser,
and the Purchaser desires to purchase from the Company, securities of the Company as more fully described in this Agreement.

 

NOW, THEREFORE, IN
CONSIDERATION of the mutual covenants contained in this Agreement, and for other good and valuable consideration, the receipt and
adequacy of which are hereby acknowledged, the Company and the Purchaser agree as follows:

 

ARTICLE I. 

DEFINITIONS

 

1.1 
Definitions. The following terms have the meanings set forth in this Section 1.1:

 

“6-K
Filing” shall mean the current report on Form 6-K filed on EDGAR with the Commission disclosing the sale of equity securities
pursuant to this Agreement and attaching as exhibits thereto all material Transaction Documents, including, without limitation,
this Agreement, and other relevant documents.

 

“Acquiring
Person” shall have the meaning ascribed to such term in Section 4.6.

 

“Action”
shall have the meaning ascribed to such term in Section 3.1(j).

 

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

 

“Board
of Directors” means the board of directors of the Company.

 

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

 

“Bylaws”
shall have the meaning ascribed to it in Section 3.1(h).

 

“Certificate
of Incorporation” shall have the meaning ascribed to it in Section 3.1(h).

 

     

     

    

 

“Closing”
means the closing of the purchase and sale of the Securities pursuant to Section 2.1.

 

“Closing
Date” means the Trading Day on which all of the Transaction Documents have been executed and delivered by the applicable
parties thereto, and all conditions precedent to (i) the Purchaser’s obligations to pay the Subscription Amount and (ii)
the Company’s obligations to deliver the Securities, in each case, have been satisfied or waived.

 

“Closing
Statement” means the Closing Statement in the form on Annex A attached hereto.

 

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

 

“Common
Stock” means the common stock of the Company, par value $0.01 per share, and any other class of securities into which
such securities may hereafter be reclassified or changed.

 

“Company
Counsel” means Ellenoff Grossman & Schole LLP, with offices located at 1345 Avenue of the Americas, Fl11, New York,
New York 10105, U.S.A. or any successor counsel of the Company.

 

“Contingent
Obligation” means, as to any Person, any direct or indirect liability, contingent or otherwise, of that Person with respect
to any indebtedness, lease, dividend or other obligation of another Person if the primary purpose or intent of the Person incurring
such liability, or the primary effect thereof, is to provide assurance to the obligee of such liability that such liability will
be paid or discharged, or that any agreements relating thereto will be complied with, or that the holders of such liability will
be protected (in whole or in part) against loss with respect thereto;

 

“Disclosure
Schedules” shall have the meaning ascribed to such term in Section 3.1.

 

“Effective
Date” shall have the meaning ascribed to such term in this Agreement.

 

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

 

“GAAP”
shall have the meaning ascribed to such term in Section 3.1(i).

 

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“Indebtedness”
of any Person means, without duplication (A) all indebtedness for borrowed money, (B) all obligations issued, undertaken or assumed
as the deferred purchase price of property or services (including, without limitation, “capital leases” in accordance
with generally accepted accounting principles) (other than trade payables entered into in the ordinary course of business), (C)
all reimbursement or payment obligations with respect to letters of credit, surety bonds and other similar instruments, (D) all
obligations evidenced by notes, bonds, debentures or similar instruments, including obligations so evidenced incurred in connection
with the acquisition of property, assets or businesses, (E) all indebtedness created or arising under any conditional sale or other
title retention agreement, or incurred as financing, in either case with respect to any property or assets acquired with the proceeds
of such indebtedness (even though the rights and remedies of the seller or bank under such agreement in the event of default are
limited to repossession or sale of such property), (F) all monetary obligations under any leasing or similar arrangement which,
in connection with generally accepted accounting principles, consistently applied for the periods covered thereby, is classified
as a capital lease, (G) all indebtedness referred to in clauses (A) through (F) above secured by (or for which the holder of such
Indebtedness has an existing right, contingent or otherwise, to be secured by) any mortgage, lien, pledge, charge, security interest
or other encumbrance upon or in any property or assets (including accounts and contract rights) owned by any Person, even though
the Person which owns such assets or property has not assumed or become liable for the payment of such indebtedness, and (H) all
Contingent Obligations in respect of indebtedness or obligations of others of the kinds referred to in clauses (A) through (G)
above.

 

“Intellectual
Property Rights” shall have the meaning ascribed to such term in Section 3.1(w).

 

“Legend
Removal Date” shall have the meaning ascribed to such term in Section 4.1(c).

 

“Liens”
means a lien, charge, security interest, encumbrance, right of first refusal, preemptive right or other restriction.

 

“Material
Adverse Effect” shall mean (i) a material adverse effect on the legality, validity or enforceability of any Transaction
Document, (ii) a material adverse effect on the results of operations, assets, business, prospects or condition (financial or otherwise)
of the Company and the Subsidiaries, taken as a whole, or (iii) a material adverse effect on the Company’s ability to perform
in any material respect on a timely basis its obligations under any Transaction Document.

 

“Material
Permits” shall have the meaning ascribed to such term in Section 3.1(k).

 

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

 

“Proceeding”
means an action, claim, suit, investigation or proceeding (including, without limitation, an informal investigation or partial
proceeding, such as a deposition), whether commenced or threatened.

 

“Public
Information Failure” shall have the meaning ascribed to it in Section 4.2(b).

 

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“Public
Information Failure Payments” shall have the meaning ascribed to it in Section 4.2(b).

 

“Required
Approvals” shall have the meaning ascribed to such term in Section 3.1(f).

 

“Required
Minimum” means, as of any date, the maximum aggregate number of Shares then issued or potentially issuable in the future
pursuant to the Transaction Documents, ignoring any conversion or exercise limits set forth therein.

 

“Rule
144” means Rule 144 promulgated by the Commission pursuant to the Securities Act, as such Rule may be amended from time
to time, or any similar rule or regulation hereafter adopted by the Commission having substantially the same effect as such Rule.

 

“Rule
424” means Rule 424 promulgated by the Commission pursuant to the Securities Act, as such Rule may be amended or interpreted
from time to time, or any similar rule or regulation hereafter adopted by the Commission having substantially the same purpose
and effect as such Rule.

 

“SEC
Reports” shall have the meaning ascribed to such term in Section 3.1(i).

 

“Securities”
means the Shares.

 

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

 

“Shares”
means the shares of Common Stock issued or issuable to the Purchaser pursuant to this Agreement.

 

“Shareholder
Approval” means such approval as may be required by the applicable rules and regulations of the Nasdaq Capital Market
(or any successor entity) from the shareholders of the Company with respect to the transactions contemplated by the Transaction
Documents, including the issuance of any Shares in excess of 19.9% of the issued and outstanding Common Stock on the Closing Date.

 

“Short
Sales” means all “short sales” as defined in Rule 200 of Regulation SHO under the Exchange Act (but shall
not be deemed to include the location and/or reservation of borrowable shares of Common Stock). 

 

“Stockholder
Approval” shall have the meaning ascribed to it in Section 3.1(a).

 

“Subscription
Amount” means, as to the Purchaser, the aggregate amount to be paid for Shares purchased hereunder as specified below
the Purchaser’s name on the signature page of this Agreement and next to the heading “Subscription Amount,” in
United States dollars, or the equivalent amount in other currencies, and in immediately available funds.

 

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“Subsidiary”
means any subsidiary of the Company as set forth on Schedule 3.1(b) and shall, where applicable, also include any direct
or indirect subsidiary of the Company formed or acquired after the date hereof.

 

“Trading
Day” means a day on which the principal Trading Market is open for trading.

 

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

 

“Transaction
Documents” means this Agreement, all exhibits and schedules thereto and hereto and any other documents or agreements
executed in connection with the transactions contemplated hereunder.

 

“Transfer
Agent” means Continental Stock Transfer and Trust Company, the current transfer agent of the Company, with a mailing
address of One State Street, 30th Floor, New York, NY 10004-1561, U.S.A., and any successor transfer agent of the Company.

 

“Trigger
Date” shall have the meaning ascribed to it in Section 4.1(b).

 

PURCHASE AND SALE

 

1.2 
Closing. On the Closing Date, upon the terms and subject to the conditions set forth herein, substantially concurrent
with the execution and delivery of this Agreement by the parties hereto, the Company agrees to sell, and the Purchaser agrees to
purchase, up to an aggregate of 3,734,283 Shares at a per share purchase price equal to US$3.713 per share. The Purchaser shall
deliver to the Company via wire transfer of funds equal to the Purchaser’s Subscription Amount as set forth on the signature
page hereto executed by the Purchaser, and the Company shall deliver to the Purchaser its irrevocable instructions to the Transfer
Agent for the issuance of respective Common Stock as determined pursuant to Section 2.2(a), and the Company and the Purchaser shall
deliver the other items set forth in Section 2.2 deliverable at the Closing. Upon satisfaction of the covenants and conditions
set forth in Sections 2.2 and 2.3, the Closing shall occur at the offices of Ellenoff Grossman & Schole LLP at 1345 Avenue
of the Americas, New York, NY 10105, U.S.A., or such other location as the parties shall mutually agree.

 

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1.3 
Deliveries.

 

(a) 
On or prior to the Closing Date, the Company shall deliver or cause to be delivered to the Purchaser the following:

 

 (i) this Agreement duly executed by the Company; and

 

(ii) 
a copy of the instructions to the Transfer Agent instructing the Transfer Agent to deliver, on an expedited basis, a certificate
evidencing a number of Shares equal to the Purchaser’s Subscription Amount divided by the per share purchase price of US$3.713
per share, issued in the name of the Purchaser.

 

(b) 
On or prior to the Closing Date, the Purchaser shall deliver or cause to be delivered to the Company the following:

 

(i) 
this Agreement duly executed by the Purchaser;

 

(ii) 
the Purchaser’s Subscription Amount by wire transfer to the account as specified in writing by the Company; and

 

(iii) the
Purchaser Questionnaire in the form on Annex B-1 or B-2, as applicable, attached hereto.

 

1.4 
Closing Conditions.

 

(a) 
The obligations of the Company hereunder in connection with the Closing are subject to the following conditions being met:

 

(i) 
the accuracy in all material respects on the Closing Date of the representations and warranties of the Purchaser contained
herein (unless as of a specific date therein);

 

(ii) 
all obligations, covenants and agreements of the Purchaser required to be performed at or prior to the Closing Date shall
have been performed; and

 

(iii) 
the delivery by the Purchaser of the items set forth in Section 2.2(b) of this Agreement.

 

(b) 
The respective obligations of the Purchaser hereunder in connection with the Closing are subject to the following conditions
being met:

 

(i) 
the accuracy in all material respects (except that any representation and warranty that is qualified as to “materiality”
or “Material Adverse Effect” shall be true and correct in all respects) when made and on the Closing Date of the representations
and warranties of the Company contained herein (except for those which by their terms specifically refer to an earlier date, in
which case such representations and warranties shall have been true and correct in all material respects (except that any representation
and warranty that is qualified as to “materiality” or “Material Adverse Effect” shall be true and correct
in all respects) as of such earlier date);

 

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(ii) 
all obligations, covenants and agreements of the Company required to be performed at or prior to the Closing Date shall
have been performed;

 

(iii) 
the delivery by the Company of the items set forth in Section 2.2(a) of this Agreement;

 

(iv) 
there shall have been no Material Adverse Effect with respect to the Company since the date hereof; and

 

(v) 
from the date hereof to the Closing Date, trading in the Common Stock shall not have been suspended by the Commission or
the Company’s principal Trading Market (except for any suspension of trading of limited duration agreed to by the Company,
which suspension shall be terminated prior to the Closing).

 

ARTICLE II. 

REPRESENTATIONS, WARRANTIES AND COVENANTS

 

2.1 
Representations and Warranties of the Company. Except as set forth in the Disclosure Schedules, which Disclosure
Schedules shall be deemed a part hereof and shall qualify any representation or otherwise made herein to the extent of the disclosure
contained in the corresponding section of the Disclosure Schedules, the Company hereby makes the following representations and
warranties to the Purchaser:

 

(a) 
Subsidiaries. All of the direct and indirect subsidiaries of the Company are set forth on Schedule 3.1(b).
The Company owns, directly or indirectly, such percentage of the Subsidiary as set forth in Schedule 3.1(b).

  

(b) 
Organization and Qualification. The Company and each of the Subsidiaries is an entity duly incorporated or otherwise
organized, validly existing and in good standing under the laws of the jurisdiction of its incorporation or organization, with
the requisite power and authority to own and use its properties and assets and to carry on its business as currently conducted.
Each of the Company and the Subsidiaries is duly qualified to conduct business and is in good standing as a foreign corporation
or other entity in each jurisdiction in which the nature of the business conducted or property owned by it makes such qualification
necessary, except where the failure to be so qualified or in good standing, as the case may be, could not have or reasonably be
expected to result in a Material Adverse Effect and no Proceeding has been initiated in any such jurisdiction revoking, limiting
or curtailing or seeking to revoke, limit or curtail such power and authority or qualification.

 

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(c) 
Authorization; Enforcement. The Company has the requisite corporate power and authority to enter into and to consummate
the transactions contemplated by each of the Transaction Documents and otherwise to carry out its obligations hereunder and thereunder.
The execution and delivery of each of the Transaction Documents by the Company and the consummation by it of the transactions contemplated
hereby and thereby have been duly authorized by all necessary action on the part of the Company and no further action is required
by the Company, the Board of Directors or the Company’s stockholders in connection therewith other than in connection with
the Required Approvals. Each Transaction Document to which it is a party has been (or upon delivery will have been) duly executed
by the Company and, when delivered in accordance with the terms hereof and thereof, will constitute the valid and binding obligation
of the Company enforceable against the Company in accordance with its terms, except: (i) as limited by general equitable principles
and applicable bankruptcy, insolvency, reorganization, moratorium and other laws of general application affecting enforcement of
creditors’ rights generally, (ii) as limited by laws relating to the availability of specific performance, injunctive relief
or other equitable remedies and (iii) insofar as indemnification and contribution provisions may be limited by applicable law.

 

(d) 
No Conflicts. The execution, delivery and performance by the Company of the Transaction Documents, the issuance and
sale of the Securities and the consummation by it of the transactions contemplated hereby and thereby to which it is a party do
not and will not: (i) conflict with or violate any provision of the Company’s or any Subsidiary’s certificate or articles
of incorporation, bylaws or other organizational or charter documents, (ii) conflict with, or constitute a default (or an event
that with notice or lapse of time or both would become a default) under, result in the creation of any Lien upon any of the properties
or assets of the Company or any Subsidiary, or give to others any rights of termination, amendment, acceleration or cancellation
(with or without notice, lapse of time or both) of, any agreement, credit facility, debt or other instrument (evidencing a Company
or Subsidiary debt or otherwise) or other understanding to which the Company or any Subsidiary is a party or by which any property
or asset of the Company or any Subsidiary is bound or affected, or (iii) subject to the Required Approvals, conflict with or result
in a violation of any law, rule, regulation, order, judgment, injunction, decree or other restriction of any court or governmental
authority to which the Company or a Subsidiary is subject (including federal and state securities laws and regulations), or by
which any property or asset of the Company or a Subsidiary is bound or affected; except in the case of each of clauses (ii) and
(iii), such as could not have or reasonably be expected to result in a Material Adverse Effect.

 

(e) 
Issuance of the Securities. The Shares are duly authorized and, when issued and paid for in accordance with the applicable
Transaction Documents, will be duly and validly issued, fully paid and nonassessable, free and clear of all Liens other than restrictions
on transfer provided for in the Transaction Documents.

 

(f) 
Litigation. There is no undisclosed action, suit, inquiry, notice of violation, proceeding or investigation pending
or, to the knowledge of the Company, threatened against or affecting the Company before or by any court, arbitrator, governmental
or administrative agency or regulatory authority (federal, state, county, local or foreign) (collectively, an “Action”)
which (i) adversely affects or challenges the legality, validity or enforceability of any of the Transaction Documents or the Securities
or (ii) could, if there were an unfavorable decision, have or reasonably be expected to result in a Material Adverse Effect. Neither
the Company nor any director or officer thereof, is or has been the subject of any Action involving a claim of violation of or
liability under federal or state securities laws or a claim of breach of fiduciary duty. There has not been, and to the knowledge
of the Company, there is not pending or contemplated, any investigation by the Commission involving the Company or any current
or former director or officer of the Company. The Commission has not issued any stop order or other order suspending the effectiveness
of any registration statement filed by the Company under the Exchange Act or the Securities Act.

 

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(g) 
Listing and Maintenance Requirements. The Company’s Common Stock is currently listed on the Nasdaq Capital
Market (“Nasdaq”), and has not received notice from Nasdaq that the Company is not in compliance with the listing or
maintenance requirements of Nasdaq. The Company is unaware of any facts or circumstances that could reasonably be expected to cause
failure to maintain the continued listing of its Common Stock on Nasdaq.

 

(h) 
Disclosure. Except with respect to the material terms and conditions of the transactions contemplated by the Transaction
Documents, the Company confirms that neither it nor any other Person acting on its behalf has provided any of the Purchaser or
their agents or counsel with any information that it believes constitutes or might constitute material, non-public information.
The Company understands and confirms that the Purchaser will rely on the foregoing representation in effecting transactions in
securities of the Company. All of the disclosure furnished by or on behalf of the Company to the Purchaser regarding the Company,
its business and the transactions contemplated hereby, including the Disclosure Schedules to this Agreement, is true and correct
and does not contain any untrue statement of a material fact or omit to state any material fact necessary in order to make the
statements made therein, in light of the circumstances under which they were made, not misleading.

 

(i) 
No Integrated Offering. Assuming the accuracy of the Purchaser’s representations and warranties set forth in
Section 3.2, neither the Company, nor any of its Affiliates, nor any Person acting on its or their behalf has, directly or indirectly,
made any offers or sales of any security or solicited any offers to buy any security, under circumstances that would cause this
offering of the Securities to be integrated with prior offerings by the Company for purposes of (i) the Securities Act which would
require the registration of any such securities under the Securities Act, or (ii) any applicable shareholder approval provisions
of any Trading Market on which any of the securities of the Company are listed or designated.

 

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(j) 
No General Solicitation. Neither the Company nor any person acting on behalf of the Company has offered or sold any
of the Securities by any form of general solicitation or general advertising. The Company has offered the Securities for sale only
to the Purchaser and certain other “accredited investors” within the meaning of Rule 501 under the Securities Act.

 

(k) 
Acknowledgment Regarding Purchaser’s Purchase of Securities. The Company acknowledges and agrees that the Purchaser
is acting solely in the capacity of an arm’s length purchaser with respect to the Transaction Documents and the transactions
contemplated thereby. The Company further acknowledges that no Purchaser is acting as a financial advisor or fiduciary of the Company
(or in any similar capacity) with respect to the Transaction Documents and the transactions contemplated thereby and any advice
given by any Purchaser or any of their respective representatives or agents in connection with the Transaction Documents and the
transactions contemplated thereby is merely incidental to the Purchaser’s purchase of the Securities. The Company further
represents to the Purchaser that the Company’s decision to enter into this Agreement and the other Transaction Documents
has been based solely on the independent evaluation of the transactions contemplated hereby by the Company and its representatives.

 

(l) 
Title to Assets. The Company and the Subsidiaries have good and marketable title in all personal property owned by
them that is material to the business of the Company and the Subsidiaries, in each case free and clear of all Liens, except for
Liens as do not materially affect the value of such property and do not materially interfere with the use made and proposed to
be made of such property by the Company and the Subsidiaries and Liens for the payment of federal, state or other taxes, the payment
of which is neither delinquent nor subject to penalties. Any real property and facilities held under lease by the Company and the
Subsidiaries are held by them under valid, subsisting and enforceable leases with which the Company and the Subsidiaries are in
compliance.

 

(m) 
Shell Company Status. The Company is an issuer identified in Rule 144(i)(1).

 

2.2 
Representations and Warranties of the Purchaser. The Purchaser, for itself and for no other Purchaser, hereby represents
and warrants as of the date hereof and as of the Closing Date to the Company as follows (unless as of a specific date therein):

 

(a) 
Organization; Authority. The Purchaser is either an individual or an entity duly organized, validly existing and
in good standing under the laws of the jurisdiction of its organization with full right, corporate or partnership power and authority
to enter into and to consummate the transactions contemplated by the Transaction Documents and otherwise to carry out its obligations
hereunder and thereunder. The execution and delivery of the Transaction Documents and performance by the Purchaser of the transactions
contemplated by the Transaction Documents have been duly authorized by all necessary corporate, partnership, limited liability
company or similar action, as applicable, on the part of the Purchaser. Each Transaction Document to which it is a party has been
duly executed by the Purchaser, and when delivered by the Purchaser in accordance with the terms hereof, will constitute the valid
and legally binding obligation of the Purchaser, enforceable against it in accordance with its terms, except: (i) as limited by
general equitable principles and applicable bankruptcy, insolvency, reorganization, moratorium and other laws of general application
affecting enforcement of creditors’ rights generally, (ii) as limited by laws relating to the availability of specific performance,
injunctive relief or other equitable remedies and (iii) insofar as indemnification and contribution provisions may be limited by
applicable law.

 

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(b) 
Own Account. The Purchaser understands that the Securities are “restricted securities” and have not been
registered under the Securities Act or any applicable state securities law and is acquiring the Securities as principal for its
own account and not with a view to or for distributing or reselling such Securities or any part thereof in violation of the Securities
Act or any applicable state securities law, has no present intention of distributing any of such Securities in violation of the
Securities Act or any applicable state securities law and has no direct or indirect arrangement or understandings with any other
persons to distribute or regarding the distribution of such Securities in violation of the Securities Act or any applicable state
securities law (this representation and warranty not limiting the Purchaser’s right to sell the Securities pursuant to the
Registration Statement or otherwise in compliance with applicable federal and state securities laws). The Purchaser is acquiring
the Securities hereunder in the ordinary course of its business. The amount of shares the Purchaser is acquiring pursuant to this
Agreement will result in owning less than 10% of the outstanding shares of the Company; and in the absence of other conditions
that may cause an alteration of the Purchaser’s status, the Purchase may resale or dispose of the Shares as a non-affiliated
stockholder under Rule 144 after a holding period of one year.

 

(c) 
Purchaser Status. At the time the Purchaser was offered the Securities, it was, and as of the date hereof, it is
either: (i) an “accredited investor” as defined in Rule 501(a)(1), (a)(2), (a)(3), (a)(7) or (a)(8) under the Securities
Act or (ii) a “qualified institutional buyer” as defined in Rule 144A(a) under the Securities Act. The Purchaser is
not required to be registered as a broker-dealer under Section 15 of the Exchange Act.

 

(d) 
Experience of the Purchaser. The Purchaser, either alone or together with its representatives, has such knowledge,
sophistication and experience in business and financial matters so as to be capable of evaluating the merits and risks of the prospective
investment in the Securities, and has so evaluated the merits and risks of such investment. The Purchaser is able to bear the economic
risk of an investment in the Securities and, at the present time, is able to afford a complete loss of such investment.

 

(e) 
General Solicitation. The Purchaser is not, to its knowledge, purchasing the Securities as a result of any advertisement,
article, notice or other communication regarding the Securities published in any newspaper, magazine or similar media or broadcast
over television or radio or presented at any seminar or, to the Purchaser’s knowledge, any other general solicitation or general
advertisement.

 

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(f) 
Access to Information. The Purchaser acknowledges that it has had the opportunity to review the Transaction Documents
(including all exhibits and schedules thereto) and the SEC Reports and has been afforded, (i) the opportunity to ask such questions
as it has deemed necessary of, and to receive answers from, representatives of the Company concerning the terms and conditions
of the offering of the Securities and the merits and risks of investing in the Securities; (ii) access to information about the
Company and its financial condition, results of operations, business, properties, management and prospects sufficient to enable
it to evaluate its investment; and (iii) the opportunity to obtain such additional information that the Company possesses or can
acquire without unreasonable effort or expense that is necessary to make an informed investment decision with respect to the investment. 

 

(g) 
Certain Transactions and Confidentiality. Other than consummating the transactions contemplated hereunder, the Purchaser
has not directly or indirectly, nor has any Person acting on behalf of or pursuant to any understanding with the Purchaser, executed
any purchases or sales, including Short Sales, of the securities of the Company during the period commencing as of the time
that the Purchaser first received a term sheet (written or oral) from the Company or any other Person representing the Company
setting forth the material terms of the transactions contemplated hereunder and ending immediately prior to the execution hereof.
Notwithstanding the foregoing, in the case of a Purchaser that is a multi-managed investment vehicle whereby separate portfolio
managers manage separate portions of the Purchaser’s assets and the portfolio managers have no direct knowledge of the investment
decisions made by the portfolio managers managing other portions of the Purchaser’s assets, the representation set forth
above shall only apply with respect to the portion of assets managed by the portfolio manager that made the investment decision
to purchase the Securities covered by this Agreement. Other than to other Persons party to this Agreement, the Purchaser has maintained
the confidentiality of all disclosures made to it in connection with this transaction (including the existence and terms of this
transaction). Notwithstanding the foregoing, for avoidance of doubt, nothing contained herein shall constitute a representation
or warranty, or preclude any actions, with respect to the identification of the availability of, or securing of, available shares
to borrow in order to effect Short Sales or similar transactions in the future.

 

(h) 
Investment Representations, Warranties and Covenants by Non-United States Persons

 

The Purchaser
who is a Non-U.S. person (as that term is defined in Section 4.8(c)) hereby represents and warrants to the Company as follows:

 

(i) 
This Agreement is made by the Company with the Purchaser, who is a Non-U.S. person, in reliance upon such Non-U.S. person’s
representations, warranties and covenants made in this Section 4.8.

 

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(ii) 
Such Non-U.S. person has been advised and acknowledges that:

 

1) 
the Securities have not been, and when issued, will not be registered under the Securities Act, the securities laws of any
state of the United States or the securities laws of any other country;

 

2) 
in issuing and selling the Securities to such Non-U.S. person pursuant hereto, the Company is relying upon the “safe
harbor” provided by Regulation S and/or in Section 4(a)(2) of the Securities Act;

 

3) 
it is a condition to the availability of the Regulation S “safe harbor” that the Securities not be offered or
sold in the United States or to a U.S. person until the expiration of a one-year “distribution compliance period” (or
a six-month “distribution compliance period,” if the issuer is a “reporting issuer,” as defined in Regulation S)
following the Closing Date; and

 

4) 
notwithstanding the foregoing, prior to the expiration of the one-year “distribution compliance period” (or
six-month “distribution compliance period,” if the issuer is a “reporting issuer,” as defined in Regulation S)
after the Closing (the “Restricted Period”), the Securities may be offered and sold by the holder thereof only
if such offer and sale is made in compliance with the terms of this Agreement and either: (A) if the offer or sale is within
the United States or to or for the account of a U.S. person (as such terms are defined in Regulation S), the securities are offered
and sold pursuant to an effective registration statement or pursuant to Rule 144 under the Securities Act or pursuant to an exemption
from the registration requirements of the Securities Act; or (B) the offer and sale is outside the United States and to other
than a U.S. person.

 

(iii) 
 As used herein, the term “United States” means the United States of America, its territories and possessions,
any State of the United States, and the District of Columbia, and the term “U.S. person” means any “U.S.
person” as defined in Rule 902(k)(2). As used herein, the term “Non-U.S. person” means any person who
is not a U.S. person or is deemed not to be a U.S. person under Rule 902(k)(2) of the Securities Act.

 

(iv) Such Non-U.S. person
agrees that with respect to the Securities, until the expiration of the Restricted Period:

 

1) 
such Non-U.S. person, its agents or its representatives have not and will not solicit offers to buy, offer for sale or sell
any of the Securities, or any beneficial interest therein in the United States or to or for the account of a U.S. person; and

 

2) 
notwithstanding the foregoing, the Securities may be offered and sold by the holder thereof only if such offer and sale
is made in compliance with the terms of this Agreement and either: (A) if the offer or sale is within the United States or
to or for the account of a U.S. person, the securities are offered and sold pursuant to an effective registration statement or
pursuant to Rule 144 under the Securities Act or pursuant to an exemption from the registration requirements of the Securities
Act; or (B) the offer and sale is outside the United States and to other than a U.S. person; and

 

    13

     

    

 

3) 
such Non-U.S. person shall not engage in hedging transactions with regard to the Securities unless in compliance with the
Securities Act.

 

The foregoing restrictions
are binding upon subsequent transferees of the Securities, except for transferees pursuant to an effective registration statement.
Such Non-U.S. person agrees that after the Restricted Period, the Securities may be offered or sold within the United States or
to or for the account of a U.S. person only pursuant to applicable securities laws.

 

(v) 
 Such Non-U.S. person has not engaged, nor is it aware that any party has engaged, and such Non-U.S. person will not engage
or cause any third party to engage, in any “directed selling efforts” (as such term is defined in Regulation S) in
the United States with respect to the Securities.

 

(vi) Such Non-U.S. person:
(i) is domiciled and has its principal place of business outside the United States; (ii) certifies it is not a U.S. person
and is not acquiring the Securities for the account or benefit of any U.S. person; and (iii) at the time of the Closing Date,
the Non-U.S. person or persons acting on Non-U.S. person’s behalf in connection therewith will be located outside the United
States.

 

(vii) 
At the time of offering to such Non-U.S. person and communication of such Non-U.S. person’s order to purchase the
Securities and at the time of such Non-U.S. Person’s execution of this Agreement, the Non-U.S. person or persons acting on
Non-U.S. person’s behalf in connection therewith were located outside the United States.

 

(viii) 
Such Non-U.S. person is not a “distributor” (as defined in Regulation S) or a “dealer” (as defined
in the Securities Act).

 

(ix) Such Non-U.S. person
acknowledges that the Company shall make a notation in its stock book regarding the restrictions on transfer set forth in this
Section 4.8 and shall transfer such shares on the books of the Company only to the extent consistent therewith. In particular,
such Non-U.S. person acknowledges that the Company shall refuse to register any transfer of the Securities not made in accordance
with the provisions of Regulation S, pursuant to registration under the Securities Act or pursuant to an available exemption from
registration.

 

    14

     

    

 

ARTICLE III.

OTHER AGREEMENTS OF THE PARTIES

 

3.1 
Transfer Restrictions and Lock Up Period.

 

(a) 
The Securities may only be disposed of in compliance with state and federal securities laws. In connection with any transfer
of Securities other than pursuant to an effective registration statement or Rule 144, the Company may require the transferor thereof
to provide to the Company an opinion of counsel selected by the Company, to the effect that such transfer does not require registration
of such transferred Securities under the Securities Act. As a condition of transfer, any such transferee shall agree in writing
to be bound by the terms of this Agreement and shall have the rights and obligations of a Purchaser under this Agreement. The Purchaser
understands and agrees that the purchased Shares shall be locked-up from transfer or selling for a period of one year from the
Closing Date (the “Lock Up Period”).

 

(b) 
The Purchaser agrees to the imprinting, so long as is required by this Section 4.1, of a legend on the purchased Shares,
in substantially the following form:

 

“THESE SECURITIES ARE BEING OFFERED TO INVESTORS
WHO ARE NOT U.S. PERSONS (AS DEFINED IN REGULATION S UNDER THE SECURITIES ACT OF 1933, AS AMENDED (“THE SECURITIES ACT”))
AND WITHOUT REGISTRATION WITH THE UNITED STATES SECURITIES AND EXCHANGE COMMISSION UNDER THE SECURITIES ACT IN RELIANCE UPON REGULATION
S PROMULGATED UNDER THE SECURITIES ACT. TRANSFER OF THESE SECURITIES IS PROHIBITED, EXCEPT IN ACCORDANCE WITH THE PROVISIONS OF
REGULATION S PROMULGATED UNDER THE SECURITIES ACT, PURSUANT TO REGISTRATION UNDER THE SECURITIES ACT, OR PURSUANT TO AVAILABLE
EXEMPTION FROM REGISTRATION. HEDGING TRANSACTIONS MAY NOT BE CONDUCTED UNLESS IN COMPLIANCE WITH THE SECURITIES ACT.”

 

3.2 
Integration. The Company shall not sell, offer for sale or solicit offers to buy or otherwise negotiate in respect
of any security (as defined in Section 2 of the Securities Act) that would be integrated with the offer or sale of the Securities
in a manner that would require the registration under the Securities Act of the sale of the Securities or that would be integrated
with the offer or sale of the Securities for purposes of the rules and regulations of any Trading Market such that it would require
shareholder approval prior to the closing of such other transaction unless shareholder approval is obtained before the closing
of such subsequent transaction.

 

3.3 
Securities Laws Disclosure; Publicity. The Company shall within four Business Days immediately following the date
hereof, issue a Current Report on Form 6-K and press release disclosing the material terms of the transactions contemplated hereby,
and including the Transaction Documents as exhibits thereto. Notwithstanding the foregoing, the Company shall not publicly disclose
the name of any Purchaser, or include the name of any Purchaser in any filing with the Commission or any regulatory agency or Trading
Market, without the prior written consent of the Purchaser, except: (a) as required by federal securities law in connection with
the filing of final Transaction Documents (including signature pages thereto) with the Commission and (b) to the extent such disclosure
is required by law or Trading Market regulations, in which case the Company shall provide the Purchaser with prior notice of such
disclosure permitted under this clause (b).

 

    15

     

    

 

3.4 
Certain Transactions and Confidentiality. The Purchaser, severally and not jointly with the other Purchasers, covenants
that neither it, nor any Affiliate acting on its behalf or pursuant to any understanding with it will execute any purchases or
sales, including Short Sales, of any of the Company’s securities during the period commencing with the execution of this
Agreement and ending at such time that the transactions contemplated by this Agreement are first publicly announced pursuant to
the initial press release as described in Section 4.5.  The
Purchaser, severally and not jointly with the other Purchasers, covenants that until such time as the transactions contemplated
by this Agreement are publicly disclosed by the Company, the Purchaser will maintain the confidentiality of the existence and terms
of this transaction and the information included in the Transaction Documents and the Disclosure Schedules. Notwithstanding the
foregoing, in the case of a Purchaser that is a multi-managed investment vehicle whereby separate portfolio managers manage separate
portions of the Purchaser’s assets and the portfolio managers have no direct knowledge of the investment decisions made by
the portfolio managers managing other portions of the Purchaser’s assets, the covenant set forth above shall only apply with
respect to the portion of assets managed by the portfolio manager that made the investment decision to purchase the Securities
covered by this Agreement.

 

ARTICLE IV. 

MISCELLANEOUS

 

4.1 
Termination.  This Agreement may be terminated by any Purchaser, as to the Purchaser’s obligations hereunder
only and without any effect whatsoever on the obligations between the Company and the other Purchasers, by written notice to the
other parties, if the Closing has not been consummated on or before April 30, 2019.

 

4.2 
Fees and Expenses. Except as expressly set forth in the Transaction Documents to the contrary, each party shall pay
the fees and expenses of its advisers, counsel, accountants and other experts, if any, and all other expenses incurred by such
party incident to the negotiation, preparation, execution, delivery and performance of this Agreement. The Company shall pay all
Transfer Agent fees, stamp taxes and other taxes and duties levied in connection with the delivery of any Securities to the Purchaser.

 

4.3 
Entire Agreement. The Transaction Documents, together with the exhibits and schedules thereto, contain the entire
understanding of the parties with respect to the subject matter hereof and supersede all prior agreements and understandings, oral
or written, with respect to such matters, which the parties acknowledge have been merged into such documents, exhibits and schedules.

 

4.4 
Notices. Any and all notices or other communications or deliveries required or permitted to be provided hereunder
shall be in writing and shall be deemed given and effective on the earliest of: (a) the date of transmission, if such notice or
communication is delivered via email of the signature pages attached hereto prior to 5:30 p.m. (New York City time) on a Trading
Day, (b) the next Trading Day after the date of transmission, if such notice or communication is delivered via email to the email
address set forth on the signature pages attached hereto on a day that is not a Trading Day or later than 5:30 p.m. (New York City
time) on any Trading Day, (c) the second (2nd) Trading Day following the date of mailing, if sent by U.S. nationally
recognized overnight courier service or (d) upon actual receipt by the party to whom such notice is required to be given. The address
for such notices and communications shall be as set forth on the signature pages attached hereto.

 

    16

     

    

 

4.5 
Amendments; Waivers. No provision of this Agreement may be waived, modified, supplemented or amended except in a
written instrument signed, in the case of an amendment, by the Company and the Purchaser holding at least an majority in interest
of the Securities purchased hereunder or, in the case of a waiver, by the party against whom enforcement of any such waived provision
is sought. No waiver of any default with respect to any provision, condition or requirement of this Agreement shall be deemed to
be a continuing waiver in the future or a waiver of any subsequent default or a waiver of any other provision, condition or requirement
hereof, nor shall any delay or omission of any party to exercise any right hereunder in any manner impair the exercise of any such
right.

 

4.6 
Headings. The headings herein are for convenience only, do not constitute a part of this Agreement and shall not
be deemed to limit or affect any of the provisions hereof.

 

4.7 
Successors and Assigns. This Agreement shall be binding upon and inure to the benefit of the parties and their successors
and permitted assigns. The Company may not assign this Agreement or any rights or obligations hereunder without the prior written
consent of the Purchaser (other than by merger). Any Purchaser may assign any or all of its rights under this Agreement to any
Person to whom the Purchaser assigns or transfers any Securities, provided that such transferee agrees in writing to be bound,
with respect to the transferred Securities, by the provisions of the Transaction Documents that apply to the “Purchaser.”

 

4.8 
No Third-Party Beneficiaries. This Agreement is intended for the benefit of the parties hereto and their respective
successors and permitted assigns and is not for the benefit of, nor may any provision hereof be enforced by, any other Person,
except as otherwise set forth in Section 4.10.

 

4.9 
Governing Law. All questions concerning the construction, validity, enforcement and interpretation of the Transaction
Documents shall be governed by and construed and enforced in accordance with the internal laws of the State of New York, without
regard to the principles of conflicts of law thereof. Each party agrees that all legal proceedings concerning the interpretations,
enforcement and defense of the transactions contemplated by this Agreement and any other Transaction Documents (whether brought
against a party hereto or its respective affiliates, directors, officers, shareholders, employees or agents) shall be commenced
exclusively via arbitration by the Hong Kong International Arbitration Centre (HKIAC) according to the laws of the State of New
York. If either party shall commence an action or proceeding to enforce any provisions of the Transaction Documents, then the prevailing
party in such action or proceeding shall be reimbursed by the other party for its reasonable attorneys’ fees and other costs
and expenses incurred with the investigation, preparation and prosecution of such action or proceeding.

 

    17

     

    

 

4.10 
Survival. The representations and warranties contained herein shall survive the Closing and the delivery of the Securities.

 

4.11 
Execution. This Agreement may be executed in two or more counterparts, all of which when taken together shall be
considered one and the same agreement and shall become effective when counterparts have been signed by each party and delivered
to the other party, it being understood that both parties need not sign the same counterpart. In the event that any signature is
delivered by e-mail delivery of a “.pdf” format data file, such signature shall create a valid and binding obligation
of the party executing (or on whose behalf such signature is executed) with the same force and effect as if such “.pdf”
signature page were an original thereof.

 

4.12 
Severability. If any term, provision, covenant or restriction of this Agreement is held by a court of competent jurisdiction
to be invalid, illegal, void or unenforceable, the remainder of the terms, provisions, covenants and restrictions set forth herein
shall remain in full force and effect and shall in no way be affected, impaired or invalidated, and the parties hereto shall use
their commercially reasonable efforts to find and employ an alternative means to achieve the same or substantially the same result
as that contemplated by such term, provision, covenant or restriction. It is hereby stipulated and declared to be the intention
of the parties that they would have executed the remaining terms, provisions, covenants and restrictions without including any
of such that may be hereafter declared invalid, illegal, void or unenforceable.

 

4.13 
Replacement of Securities. If any certificate or instrument evidencing any Securities is mutilated, lost, stolen
or destroyed, the Company shall issue or cause to be issued in exchange and substitution for and upon cancellation thereof (in
the case of mutilation), or in lieu of and substitution therefor, a new certificate or instrument, but only upon receipt of evidence
reasonably satisfactory to the Company of such loss, theft or destruction. The applicant for a new certificate or instrument under
such circumstances shall also pay any reasonable third-party costs (including customary indemnity) associated with the issuance
of such replacement Securities.

 

4.14 
Remedies. In addition to being entitled to exercise all rights provided herein or granted by law, including recovery
of damages, each of the Purchaser and the Company will be entitled to specific performance under the Transaction Documents. The
parties agree that monetary damages may not be adequate compensation for any loss incurred by reason of any breach of obligations
contained in the Transaction Documents and hereby agree to waive and not to assert in any action for specific performance of any
such obligation the defense that a remedy at law would be adequate.

 

4.15 
Construction. The parties agree that each of them and/or their respective counsel has reviewed and had an opportunity
to revise the Transaction Documents and, therefore, the normal rule of construction to the effect that any ambiguities are to be
resolved against the drafting party shall not be employed in the interpretation of the Transaction Documents or any amendments
hereto. In addition, each and every reference to share prices and shares of Common Stock in any Transaction Document shall be subject
to adjustment for reverse and forward stock splits, stock dividends, stock combinations and other similar transactions of the Common
Stock that occur after the date of this Agreement.

 

(Signature Pages Follow)

 

    18

     

    

 

IN WITNESS WHEREOF,
the parties hereto have caused this Securities Purchase Agreement to be duly executed by their respective authorized signatories
as of the date first indicated above.

  

	BORQS
    TECHNOLOGIES, INC.	 	Address for Notice:
	 	 	 	 
	 	 	 	Borqs
        Technologies, Inc.

C/o
Ellenoff Grossman & Schole LLP

1345
Avenue of the Americas

New
York, NY 10105

U. S. A.

	By:	/s/
    Pat Sek Yuen Chan	 	Fax:
        1-212-370-7889

Email: jyuan@egsllp.com

	Name:	Pat Sek Yuen Chan	 	 
	Title:	Chief Executive Officer	 	 
	 	 	 	 
	With a copy to (which shall not
    constitute notice):	 	 

  

	 	For Purchaser:	Chongqing City Youtong Equity Investment
	 		Fund, Limited Liability Partnership
	 	Subscription amount:	$13,865,393
	 	Common shares:	3,734,283

 

First closing: on or before May 17, 2019

	 	Cash portion:  	$10,399,045 in US$ or other acceptable
                                                                  currencies 
 
	 	For   	2,800,712 Shares

 

Second closing: within 6 months after closing
of cash portion 

	 	Real property portion:	 $3,466,348
in US$ or equivalent value 
 
	 	For   	933,571 Shares

  

[REMAINDER OF PAGE INTENTIONALLY LEFT BLANK

SIGNATURE PAGE FOR PURCHASER FOLLOWS]

 

    19

     

    

 

PURCHASER
SIGNATURE PAGES TO SECURITIES PURCHASE AGREEMENT

 

IN WITNESS WHEREOF,
the undersigned have caused this Securities Purchase Agreement to be duly executed by their respective authorized signatories as
of the date first indicated above.

 

Name of Purchaser: Chongqing City Youtong
Equity Investment Fund, Limited Liability Partnership

 

	Subscription Amount:	US$13,865,393	 
	 	Cash portion: $10,399,045	for 2,800,712 Shares
	 	Real property portion: $3,466,348	for 933,571 Shares

  

Signature of Authorized Signatory of
Purchaser: /s/ Xia Jiang (Purchaser Seal Placed)

 

Name of Authorized Signatory: Xia
Jiang                                                                                                                    

 

Title of Authorized Signatory: General
Manager Assistant                                                                                          

 

Email Address of Authorized Signatory:
3523805454@qq.com

 

Facsimile Number of Authorized Signatory: +86-23- 44559968

 

Address for Notice of Purchaser:

Administration Committee, Industrial Park

No.123 Jin Tong Avenue, Tongnan District

Chongqing, P.R. China

 

	 
	 
	 
	 

 

Address for Delivery of Securities for Purchaser (if not same
as address for notice):

  

	 
	 
	 
	 

 

    20Exhibit 10.2

 

	
        INTERNATIONAL COURT OF ARBITRATION

        INTERNATIONAL CHAMBER OF COMMERCE

        ----------------------------------------------------------------------        
	
         

         

        x
	 
	
        Samsung Electronics Co., Ltd.,

         

        Claimant,

         

        - against -

         

        Borqs Hong Kong Limited,

         

        Respondent.
	
        :

        :

        :

        :

        :

        :

        :

        :

        :
	
         

         

         

        Case No. 19790/CYK

        AGREEMENT OF SETTLEMENT

	----------------------------------------------------------------------	x	 

 

This settlement agreement (the
“Agreement”) is entered into as of April 26, 2019 (the “Effective Date”), by and among (i)
Claimant Samsung Electronics Co., Ltd. (“Samsung”), (ii) Respondent Borqs Hong Kong Limited, (iii)
Borqs International Holding Corp., (iv) Borqs Technologies, Inc., and (v) Borqs Beijing Ltd. (collectively with Borqs
Hong Kong Limited, Borqs International Holding Corp. and Borqs Technologies, Inc., “Borqs”). Each of Samsung, Borqs
Hong Kong Limited, Borqs International Holding Corp., Borqs Technologies, Inc., and Borqs Beijing Ltd. is a “Party”
and, collectively, they are the “Parties.” Borqs International Holding Corp., Borqs Technologies, Inc., and
Borqs Beijing Ltd., collectively, are the “Guarantors.”

 

WHEREAS, on November 27, 2018, the Secretariat
of the International Court of Arbitration for the International Chamber of Commerce (“ICC”) issued an award
in the above-captioned arbitration (the “Final Award”) that constituted a final decision on the merits of all
claims, counterclaims, demands and defenses asserted in the arbitration; and

 

WHEREAS, the Final Award orders
Borqs Hong Kong Limited to pay Samsung the following sums: US$ 2,546,401 inclusive of interest through May 15, 2018; US$ 1,641,204.25
for its legal fees; US$ 28,840.49 for its expenses; and US$ 63,500 for the costs of the arbitration, plus simple interest on each
and all of those amounts, at the New York statutory rate of 9 percent per annum, running from May 16, 2018 until full payment is
made; and

 

WHEREAS, the Parties now desire
to fully and finally resolve all of the rights and obligations provided in the Final Award without further proceedings;

 

     

     

    

 

NOW, THEREFORE, in consideration
of the foregoing recitals and the mutual promises, agreements and releases between the Parties set forth in this Agreement, and
for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties, as represented
below, hereby agree as follows:

 

1. SETTLEMENT
PAYMENT. In full satisfaction of its obligations under the Final Award, Borqs shall pay to Samsung the sum of: (i) US$
4,279,945 (the “Principal Amount”), plus (ii) accrued interest from March 31, 2019 on the outstanding
balance of the Principal Amount at a rate equal to 9% per annum simple interest (together with the Principal Amount, the “Settlement
Payment”), as further specified in Paragraph 2 of this Agreement.

 

2. PAYMENT
TERM. Borqs shall pay the full and total amount of the Settlement Payment in Monthly Installments, as provided in Paragraph
2(a) below, over a period of twenty-four (24) months beginning on March 31, 2019 (the “Payment Term”). Notwithstanding
the foregoing, the first payment of US$ 100,000 shall be due no later than 5:00 p.m. Korea Standard Time on April 30, 2019 and
the second payment of US$ 309,091.51 shall be due no later than 5:00 p.m. Korea Standard Time on May 20, 2019, and each remaining
Monthly Installment (starting with the Monthly Installment due on May 31, 2019) shall be due no later than 5:00 p.m. Korea Standard
Time on the last day of each month during the remainder of the Payment Term (the “Payment Date”), in accordance
with the Payment Schedule attached as Exhibit B. Failure to pay any payment by the time and date prescribed above shall be deemed
an Event of Default as defined in Paragraph 7 below.

 

		a.	MONTHLY INSTALLMENTS. Each Monthly Installment shall consist of (i) US$ 178,331.04,
plus (ii) simple interest at a rate of 9% per annum accrued as of that date on the total outstanding balance of the Principal
Amount (the “Minimum Installment Payment”). Notwithstanding the foregoing, Borqs has the right to pay any amount
of the Settlement Payment above the Minimum Installment Payment before the Payment Date without penalty or fee.

 

		b.	PAYMENT METHOD. Borqs shall make each payment towards the Settlement Payment by wire transfer
to the following account:

 

Name of Account Holder: SAMSUNG ELECTRONICS CO.,
LTD.

Swift Code: KOEXKRSE

Bank Name: KEB HANA BANK

Branch Name: SAMSUNG ELECTRONICS BRANCH

Bank Address: SAMSUNG-RO 129, YEONGTONG-GU SUWON-SI,
GYEONGGI-DO (443-742) KOREA

Account Number: 148-JCD-100001

 

		c.	ACCELERATED PAYMENTS. Upon an Event of Default, as defined in Paragraph 7 below, Samsung
shall be entitled, without further notice or presentment, (i) to immediately accelerate the Settlement Payment and demand
the prompt payment of the entire outstanding balance of the Settlement Payment, as well as any interest that Samsung had been willing
to forgo under Paragraph 1 of this Agreement, including without limitation the additional interest that Borqs owes under the Final
Award when interest is accrued from May 16, 2018 onwards, rather than March 31, 2019, as provided for in Paragraph 1; and (ii)
to exercise all other rights under the escrow agreement provided for in Paragraph 3(a), including to foreclose on and take possession
of the shares held in the Escrow Account to retain in its own account, to sell or for any other purpose.

 

    2

     

    

 

3. PLEDGE
OF ASSETS AND BORQS TECHNOLOGIES, INC. SHARES. As security for its obligations under this Agreement, Borqs grants to Samsung:
(i) a second priority behind Borqs’ current lender known as Partners For Growth V, L.P, perfected security interest
in all of Borqs’ assets, accounts, inventory, equipment, collateral accounts, general intangibles (including without limitation
all intellectual property), all investment property, all other property, and any and all claims, rights and interests in any of
the above, and any guaranties and security for any of the above, and all substitutions and replacements for, additions, accessions,
attachments, accessories and improvements to, and proceeds (including proceeds of any insurance policies, proceeds of proceeds
and claims against third parties) of any and all of the above (the “Collateral”); and (ii) a perfected
security interest in an escrow account (the “Escrow Account”) containing registered, unrestricted and immediately
marketable shares of Borqs Technologies, Inc. common stock (the “Registered Shares”) that, as of April 30, 2019,
shall have an aggregate fair market value of not less than US$ 5,000,000 (the “Pledge”), subject to monthly
adjustment in accordance with Paragraph 3(c).  Notwithstanding the foregoing, Borqs may initially deposit into the Escrow
Account unregistered, newly issued shares of Borqs Technologies, Inc. common stock (the “Unregistered Shares”),
in lieu of some or all of the Registered Shares, by April 30, 2019. 

 

		a.	ESCROW AGREEMENT. No later than April 30, 2019, the Pledge in the Escrow Account shall
be fully funded pursuant to an escrow agreement among Samsung, Borqs Technologies, Inc., and Continental Stock Transfer & Trust
Company, the escrow agent, in form, content and the specific escrow agent all subject to Samsung’s discretion. Borqs shall
not unreasonably withhold from Samsung terms of the escrow agreement requested by Samsung and attached as Exhibit C.

 

		b.	ESCROW COSTS AND FEES. Borqs shall bear and be solely responsible for all costs and fees
of the escrow agent associated with the Escrow Account.

 

		c.	MONTHLY ADJUSTMENT. At all times during the Payment Term, the
aggregate fair market value of all Registered Shares and Unregistered Shares in the Escrow Account, as calculated based on the
average of the daily highest and lowest prices of Borqs Technologies, Inc. shares of common stock as traded on the Nasdaq market
for the twenty trading days immediately preceding the Payment Date (the “Current Stock Value”), shall not be
less than 125% of the unpaid Final Award amount plus applicable unpaid accrued interest (the “Then Outstanding Amount”).
On each Payment Date, to the extent that the aggregate fair market value of the shares in the Escrow Account is less than the Then
Outstanding Amount, Borqs shall deposit into the Escrow Account additional Registered Shares of Borqs Technologies, Inc. as is
necessary such that the Current Stock Value of the Escrow Account is equal to at least 125% of the Then Outstanding Amount but
not more than US$ 5,000,000. Notwithstanding the foregoing, , and solely to the extent that Borqs’ registration of
shares, as described in Paragraph 3(d) below, is not effective, Borqs may fulfill its obligations to deposit shares in the Escrow
Account with Unregistered Shares. 

 

    3

     

    

 

		d.	REGISTRATION OF SHARES. Borqs agrees (i) to file Borqs Technologies, Inc.’s
registration statement with the U.S. Securities and Exchange Commission no later than June 28, 2019, and to use its reasonable
best efforts to expedite the registration of Borqs Technologies, Inc.’s shares ; (ii) to include the escrowed Unregistered
Shares in that registration statement; and (iii) within 10 days of the date that Borqs Technologies, Inc.’s registration
of shares is effective, to cause removal of the restrictive legend on the escrowed shares at its own cost. Following registration
of Borqs Technologies, Inc.’s shares, if required to deposit additional shares into the Escrow Account, Borqs will deposit
only Registered Shares.

 

		e.	PLEDGE OBLIGATIONS. All of Borqs’ obligations provided in this Paragraph 3, including
its obligations to (i) deposit and maintain the Pledge in the Escrow Account as provided in Paragraph 3(a), (ii)
bear all costs and fees associated with the Escrow Account as provided in Paragraph 3(b), (iii) make monthly adjustments
as provided in Paragraph 3(c), and (iv) register shares as provided in Paragraph 3(d), are referred to collectively as the
“Pledge Obligations.”

 

4. GUARANTIES.
Each Guarantor shall execute and deliver to Samsung a guaranty consistent with the forms attached as Exhibit A contemporaneous
with the signing of this Agreement.

 

5. REQUIRED
POWER AND AUTHORITY; PRIORITY OF CLAIMS.  

Borqs hereby represents and warrants that it has all necessary
power and authority to enter into this Agreement and all the terms and obligations contemplated hereunder.  In addition, on
or before the Effective Date of this Agreement, Borqs shall provide Samsung with copies of signed consents, permissions and grants
of authority from and of creditors, lenders and other third parties holding a secured interest in any Collateral, including but
not limited to Partners For Growth V, L.P., to enter into this Agreement.

 

6. MUTUAL
RELEASES. 

 

		a.	RELEASE BY BORQS. Borqs, on behalf of itself, its affiliates, agents, predecessors, successors
and assigns, in consideration of any and all other consideration set forth in this Agreement, hereby releases and discharges Samsung
and all of Samsung’s past and present affiliates, agents, predecessors, successors and assigns from all actions, causes of
action, counterclaims, claims, entitlements, demands, suits, debts, penalties, reimbursements, dues, sums of money, accounts, contracts,
controversies, obligations, liabilities, agreements, indemnities, responsibilities, promises, damages, losses, fees, costs, expenses,
judgments, claims and demands whatsoever, whether known or unknown, asserted or unasserted, vested or contingent, suspected or
unsuspected, in law or in equity, including but not limited to any claims and demands that were or could have been raised or asserted
in, or relate in any way, directly or indirectly to the facts, acts, events transactions, occurrences, course of conduct, representations,
omissions, circumstances or other matters in any way relating to or connected with the above-captioned arbitration proceeding,
including but not limited to the Final Award, and any collateral litigation or post-decision enforcement actions related thereto.

 

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		b.	RELEASE BY SAMSUNG. Upon Borqs’ satisfaction of all of its obligations under this
Agreement, Samsung, on behalf of itself, its affiliates, agents, predecessors, successors and assigns, in consideration of the
Settlement Payment and any and all other consideration set forth in this Agreement, shall release and discharge Borqs and all of
Borqs’ past and present affiliates, agents, predecessors, successors and assigns from all actions, causes of action, counterclaims,
claims, entitlements, demands, suits, debts, penalties, reimbursements, dues, sums of money, accounts, contracts, controversies,
obligations, liabilities, agreements, indemnities, responsibilities, promises, damages, losses, fees, costs, expenses, judgments,
claims and demands whatsoever, whether known or unknown, asserted or unasserted, vested or contingent, suspected or unsuspected,
in law or in equity, including but not limited to any claims and demands that were or could have been raised or asserted in, or
relate in any way, directly or indirectly to the facts, acts, events transactions, occurrences, course of conduct, representations,
omissions, circumstances or other matters in any way relating to or connected with the above-captioned arbitration proceeding,
including but not limited to the Final Award, and any collateral litigation or post-decision enforcement actions related thereto.

 

7. EVENT
OF DEFAULT. Borqs’ failure to make any payment due on a Payment Date as provided in Paragraphs 1 and 2, its failure to
strictly comply with the Pledge Obligations, including but not limited to causing timely removal of the restrictive legend on Unregistered
Shares as provided in Paragraph 3(d), or its failure to strictly comply with any other provision of this Agreement or with any
deadline provided in this Agreement shall be deemed a material breach of this Agreement (an “Event of Default”).

 

8. REMEDIES
UPON ANY EVENT OF DEFAULT. Upon any Event of Default by Borqs, Samsung, in its sole discretion, shall have the right: (i)
to pursue all its rights and remedies under this Agreement in law and in equity, including to foreclose without notice on the Collateral
and shares of Borqs Technologies, Inc. common stock held in the Escrow Account; and (ii) to obtain judicial confirmation
and enforcement of the Final Award, and entry of judgment in the amount of the Final Award as specified in Paragraph 14 of this
Agreement, in any court of competent jurisdiction, as further specified in Paragraph 14. In addition to all other rights and remedies
under this Agreement and under the Final Award, Samsung shall be entitled to recover its attorneys’ fees and other fees and
expenses associated with collecting amounts due under this Agreement and the Final Award.

 

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9. TOLLING
OF STATUTE OF LIMITATIONS FOR ENFORCING FINAL AWARD. Samsung agrees to stay the exercise of its rights to bring any action
or proceeding to confirm, recognize or enforce the Final Award subject to Borqs’ satisfaction of all of its obligations under
this Agreement. In consideration of Samsung’s agreement to stay its rights to bring any action or proceeding to confirm,
recognize or enforce the Final Award, Borqs agrees that the statute of limitations for confirming, recognizing or enforcing the
Final Award shall be tolled for twenty-four (24) months (the “Tolling Period”), and waives any statute of limitations
defense in relation to the Tolling Period.

 

10. CONFIDENTIALITY.
The fact of the settlement represented by this Agreement, the terms of this Agreement, and the claims, allegations, defenses,
and written and oral submissions asserted or made by the Parties in the Proceedings (except as otherwise publicly available), and
any other personal, proprietary or confidential documents or information obtained during the Proceedings shall be kept in strict
confidence by the Parties and their employees, managers, directors, agents, parents, subsidiaries and affiliates and their legal
counsel, and shall not be disclosed or made available to any other person or entity except with the express written consent of
the Parties, except as required by law or regulatory process or as reasonably necessary for legal, administrative, accounting,
insurance or tax purposes. If at any time a Party is served with a subpoena or similar court or governmental process that seeks
to discover the substance or contents of this Agreement, the claims, allegations, or defenses asserted by the Parties during the
above-captioned arbitration proceeding, or any other personal, proprietary, or confidential documents or information obtained during
the above-captioned arbitration proceeding, the Party served with such process will, unless prohibited by law, within five (5)
business days notify the other Party and its respective counsel, and will not oppose any legal action taken by the latter Party
that attempts to prevent disclosure of the requested information.

 

11. REPRESENTATION
BY COUNSEL. The Parties represent that they have determined that this settlement is fair and reasonable under all the circumstances
and that this determination has been based upon their independent judgment after having the opportunity to consult with legal counsel
of their own choosing, and that, in making this determination, they have had an adequate opportunity to discuss and assess the
merits of all their claims, potential claims and defenses. The Parties further agree that no fact, event, evidence, circumstance
or transaction relating directly or indirectly to the disputes, or which could have been asserted in connection with the above-captioned
arbitration proceeding, or which may thereafter be discovered, shall in any manner affect the final and unconditional nature of
the settlement and covenant not to sue set forth herein. The Parties represent that they have read the foregoing Agreement, know
its contents and understand its terms and provisions and they have signed this Agreement of their own volition.

 

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12. GOVERNING
LAW. This Agreement, and any other documents executed by the Parties hereto in furtherance of the purposes of this Agreement,
shall be governed by, interpreted and enforced in accordance with the laws of the State of New York.

 

13. AGREEMENT
TO ARBITRATE DISPUTES HEREUNDER. All disputes arising out of or in connection with this
Agreement shall be finally settled under the Rules of Arbitration of the International Chamber of Commerce by a sole arbitrator
appointed in accordance with the said Rules. The arbitration shall take place in New York, New York. The language to be used in
the arbitral proceedings shall be English. The award rendered by the arbitrator (“New Award”) shall be final
and binding upon all Parties concerned. Samsung, in its sole discretion, may elect to consolidate into a single arbitration proceeding
any arbitration proceedings initiated pursuant to this Agreement with any arbitration proceedings initiated pursuant to any of
the Guaranties.

 

14. CONFIRMATION
OR ENFORCEMENT OF ARBITRATION AWARDS. In any action to confirm or enforce the
Final Award or any New Award, and to the extent permitted by law, Borqs hereby irrevocably (i) consents and agrees
to submit to the jurisdiction of any court selected by Samsung, in its sole discretion, and waives trial by jury and any objection
to such proceeding on the basis of venue or convenience of forum; (ii) waives
any defenses (other than as provided hereunder), and stipulates and consents to confirmation of the Final Award and/or any New
Award, entry of judgment and order of enforcement for the full amount of (a) the Final Award, subject only to setoff of
the aggregate amount of any payments already received by Samsung pursuant to the terms of this Agreement; and/or (b) any
New Award, including recovery of all damages, interest and attorneys’ fees awarded in the Final Award or any New Award; and
(iii) waives any basis under the United Nations Convention on the Recognition and Enforcement of Foreign Arbitration Awards
(New York, June 10, 1958), or under any applicable national law, for opposing the confirmation, entry of judgment or enforcement
of the Final Award and/or any New Award, or for seeking to vacate or annul the Final Award and/or any New Award.

 

15. MERGER.
This Agreement contains all the terms and conditions agreed upon by the Parties hereto, and no oral agreement entered into
at any time nor any written agreement entered into prior to the execution of this Agreement shall be deemed to exist, or to bind
the Parties hereto, or to vary the terms and conditions contained herein.

 

16. AMENDMENT.
This Agreement may not be modified or amended, nor may any of its provisions be waived, except by a writing signed by each
of the Parties or their successors-in-interest.

 

17. EXECUTION
IN COUNTERPARTS. This Agreement may be executed in one or more counterparts with such execution having the same force and effect
as if a single original Agreement had been executed by all the Parties. All executed counterparts and each of them shall be deemed
to be one and the same instrument provided that counsel for the Parties to this Agreement shall exchange among themselves electronic
copies of original signed counterparts.

 

18. BINDING
EFFECT. This Agreement is binding upon and shall inure to the benefit of the Parties and their respective agents, successors,
executors, heirs and assigns.

 

19. ENFORCEABILITY.
In the event that any provision of this Agreement should be held to be void, voidable, unlawful or for any reason unenforceable,
the remaining portions of this Agreement shall remain in full force and effect and to that end provisions of this Agreement are
declared to be severable.

 

[REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]

 

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IT IS FURTHER STIPULATED AND AGREED that
this Agreement may be signed in counterparts and a facsimile or electronic copy of this Agreement may be used in lieu of an original.

 

	SAMSUNG ELECTRONICS CO., LTD.	 	BORQS HONG KONG LIMITED
	 	 	 
	By:	/s/ OK SHIN WOO	 	By:	/s/ Pat Sek Yuen Chan
	Name:	OK SHIN WOO	 	Name:	Pat Sek Yuen Chan
	Title:	Senior Manager	 	Title:	CEO
	Date:	April 30, 2019	 	Date:	April 26, 2019
	 	 	 	 	 
	 	BORQS TECHNOLOGIES, INC.
	 	 
	 	 	 	By:	/s/
    Pat Sek Yuen Chan
	 	Name:	Pat Sek Yuen Chan
	 	Title:	CEO
	 	Date:	April 26, 2019
	 	 	 
	 	BORQS INTERNATIONAL HOLDING CORP.
	 	 
	 	By:	/s/ Pat Sek Yuen Chan
	 	 	 	Name:	Pat Sek Yuen Chan
	 	Title:	CEO
	 	Date:	April 26, 2019
	 	 	 
	 	BORQS BEIJING LTD.
	 	 
	 	By:	/s/ Pat Sek Yuen Chan
	 	 	 	Name:	Pat Sek Yuen Chan
	 	Title:	CEO
	 	Date:	April 26, 2019

 

 

8

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