SEC Contract Filing

Filing Date: 2016-09-26

Document Content:
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<TYPE>EX-10.1
<SEQUENCE>3
<FILENAME>exh_101.htm
<DESCRIPTION>EXHIBIT 10.1
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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: right"><B>Exhibit 10.1</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: right"><B></B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: right"><I>Execution Copy</I></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><FONT STYLE="text-transform: uppercase"><B>XBIOTECH
INC.</B></FONT></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><FONT STYLE="text-transform: uppercase"><B>$50,260,000</B></FONT><BR>
<BR>
<FONT STYLE="text-transform: uppercase"><B><U>cOMMON STOCK</U></B></FONT><BR>
<BR>
<FONT STYLE="text-transform: uppercase"><B><U>SALES AGREEMENT</U></B></FONT><BR>
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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: right">September 26, 2016</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">H.C. Wainwright &amp; Co. LLC</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">430 Park Avenue</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">New York, NY 10022</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">Ladies and Gentlemen:</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in">XBiotech Inc. (the &ldquo;<B><U>Company</U></B>&rdquo;),
confirms its agreement (this &ldquo;<B><U>Agreement</U></B>&rdquo;) with H.C. Wainwright &amp; Co. LLC (&ldquo;<B><U>HCW</U></B>&rdquo;),
as follows:</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">1.&nbsp;&nbsp;<FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</FONT><U>Issuance and Sale of Placement Shares</U>. Company agrees that, from time to time during the term of this Agreement,
on the terms and subject to the conditions set forth herein, it may issue and sell through HCW, shares (the &ldquo;<B><U>Placement
Shares</U></B>&rdquo;);<I> </I>of the Company&rsquo;s common stock, no par value per share (the &ldquo;<B><U>Common Stock</U></B>&rdquo;);
<I>provided however, </I>that in no event shall the Company issue or sell through HCW such number of Placement Shares that (a)
exceeds the number of shares or dollar amount of Common Stock registered on the effective Registration Statement (as defined below)
pursuant to which the offering is being made, or (b) exceeds the number of shares or dollar amount registered on the Prospectus
Supplement (as defined below), (the lesser of (a) or (b), the &ldquo;<B><U>Maximum Amount</U></B>&rdquo;). Notwithstanding anything
to the contrary contained herein, the parties hereto agree that compliance with the limitations set forth in this <U>Section 1</U>
on the number of Placement Shares issued and sold under this Agreement shall be the sole responsibility of the Company and that
HCW shall have no obligation in connection with such compliance. The issuance and sale of Placement Shares through HCW will be
effected pursuant to the Registration Statement (as defined below), although nothing in this Agreement shall be construed as requiring
the Company to use the Registration Statement to issue any Placement Shares.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">The Company has filed,
in accordance with the provisions of the Securities Act of 1933, as amended, and the rules and regulations thereunder (the &ldquo;<B><U>Securities
Act</U></B>&rdquo;), with the Securities and Exchange Commission (the &ldquo;<B><U>Commission</U></B>&rdquo;), a registration statement
on Form S-3, including a base prospectus (the &ldquo;<B><U>Base Prospectus</U></B>&rdquo;) relating to certain Company securities,
including the Placement Shares, to be offered and sold from time to time by the Company, and which incorporates by reference documents
that the Company has filed or will file with the Commission in accordance with the provisions of the Securities Exchange Act of
1934, as amended, and the rules and regulations thereunder (the &ldquo;<B><U>Exchange Act</U></B>&rdquo;). The Company shall include,
within the Registration Statement, a prospectus supplement to the Base Prospectus specifically relating to the offer and sale of
the Placement Shares (the &ldquo;<B><U>Prospectus Supplement</U></B>&rdquo;). Upon request, the Company will furnish to HCW such
number of copies of the Base Prospectus and the Prospectus Supplement as HCW shall reasonably request.</P>

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