Company: BLRX
Filing Date: 2025-03-31
Form Type: 20-F
Source: 0001178913-25-001123
Chunk: 36

Company: BioLineRx Ltd.
Filing Date: 2025-03-31
Form: 20-F
Item: Item 3
Chunk 36
---

includes, among other things, certain dividends, interest, royalties, rents and gains from commodities and securities transactions and
from the sale or exchange of property that gives rise to passive income. Passive income also includes amounts derived by reason of the
temporary investment of funds, including those raised in a public offering. In determining whether a non-U. S. corporation is a PFIC, a
proportionate share of the income and assets of each corporation in which it owns, directly or indirectly, at least a 25% interest (by
value) is taken into account. We believe that we may have been a PFIC for the year ended December 31, 2024. Although we have not determined
whether we will be a PFIC for our taxable year ending December 31, 2025, or in any subsequent year, our operating results for any such
years may cause us to be a PFIC. Because PFIC status is determined annually and is based on our income, assets and activities for the
entire taxable year, it is not possible to determine with certainty whether we will be characterized as a PFIC for the 2025 taxable year
until after the close of the year, and there can be no assurance that we will not be classified as a PFIC in any future year. If we are
a PFIC for our taxable year ending December 31, 2024, or any subsequent year, and a U. S. Investor (as defined below) does not make an
election to treat us as a “qualified electing fund,” or QEF, or make a “mark-to-market” election, then “excess
distributions” to a U. S. Investor, and any gain realized on the sale or other disposition of our ordinary shares or ADSs will be
subject to special rules. Under these rules: (i) the excess distribution or gain would be allocated ratably over the U. S. Investor’s
holding period for the ordinary shares (or ADSs, as the case may be); (ii) the amount allocated to the current taxable year and any period
prior to the first day of the first taxable year in which we were a PFIC would be taxed as ordinary income; and (iii) the amount allocated
to each of the other taxable years would be subject to tax at the highest rate of tax in effect for the applicable class of taxpayer for
that year, and an interest charge for the deemed deferral benefit would be imposed with