Loan Modification and Warrant Agreement between Kanis SA and Clean Diesel Technologies, Inc.
Kanis SA and Clean Diesel Technologies, Inc. have agreed to modify the terms of three existing loans totaling $7.5 million. The maturity dates for all loans are extended to October 1, 2016, with other changes including the removal of a lender call option and an adjustment to a payment premium. In exchange for these changes, Kanis SA will receive 80,000 warrants to purchase shares at $1.75 each, exercisable over five years. The agreement was signed on November 11, 2014, by representatives of both parties.
EXHIBIT 10.17
Kanis SA
Dear Dr. Kanis,
The following documents the agreed to changes in terms for the loans from Kanis SA to Clean Diesel Technologies, Inc.
| Loan | Principal | Interest Rate | Current Maturity Date | Other Features | Revised Terms |
| 1 | $1,500,000 | 8% | June 30, 2015 | Payment Premium of $150,000 due at maturity | Maturity Date and Payment Premium Revised to 10/1/2016. |
| 2 | $3,000,000 | 8% | April 11, 2016 | Convertible into no more than 250,000 shares at $4.00 each. Callable by Lender at July 1, 2015. | Maturity Date Revised to 10/1/2016. Loan is no longer callable by Lender. |
| 3 | $3,000,000 | 8% | July 27, 2015 | None | Maturity Date Revised to 10/1/2016. |
In consideration of the above changes to the loans from Kanis SA to CDTi, Kanis SA will be granted 80,000 warrants with a strike price of $1.75 and a term of 5 years.
Agreed upon this date: November 11, 2014
Kanis SA
Clean Diesel Technology, Inc.
by: /s/John A. Kanis
by: /s/ David E. Shea
its: Director
its: Chief Financial Officer
1621 Fiske Place, Oxnard, California 93033 ● Tel ###-###-#### ● Fax ###-###-#### ● www.cdti.com
