Company: JUNS
Filing Date: 2025-03-28
Form Type: 10-K
Source: 0001641172-25-001261
Chunk: 1297

Company: JUPITER NEUROSCIENCES, INC.
Filing Date: 2025-03-28
Form: 10-K
Item: Item 5
Chunk 1297
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 cash was provided by or used in investing activities during the years ended December 31, 2024 and 2023.

Net
Cash Provided by Financing Activities:

Net
cash provided by financing activities for the year ended December 31, 2024 increased by $7,207,036 from the year ended December 31,
2023. The increase is mainly attributed the proceeds raised from the Company’s initial public offering, net of offering costs
of $9,725,213 partially offset by the repayments of notes payables of $2,361,677.

Off-balance
sheet financing arrangements

We
have no obligations, assets or liabilities which would be considered off-balance sheet arrangements. We do not participate in transactions
that create relationships with unconsolidated entities or financial partnerships, often referred to as variable interest entities, which
would have been established for the purpose of facilitating off-balance sheet arrangements. We have not entered into any off-balance
sheet financing arrangements, established any special purpose entities, guaranteed any debt or commitments of other entities, or purchased
any non-financial assets.

Asian
Business Development Activities

The
Company initiated business development activities in the Asian region beginning in October of 2021. The Company has a strong strategic
interest in accelerating the drug development and potential commercialization efforts of JOTROL in this market. Our Chairman & CEO,
Christer Rosén, presented in person, our company’s status and pipeline at the BIOHK 2023 in Hong Kong in September of 2023.
The presentation led to several follow-on meetings, and we have recently agreed to service agreements in the areas of business development,
CMC (Chemistry, Manufacturing, and Controls), regulatory affairs and clinical trial management. These agreements are further described
in the section “Other Material Agreements”.  The
Asian market is very large and hard to penetrate for a small company and we believe that our strategy with these agreements is cost
effective and have the possibility to accelerate an out-licensing deal in the South-East Asian territories. However, there are no assurances
that this approach will be successful.

The
agreements executed are very similar in nature that include an equity investment in our company by the other party and in turn the company
issued equity in form of shares of common stock, in lieu of cash, for 3 years of services from each company.

The
company believes these agreements to be favorable for both parties based on the cash position of the company and the need for these activities