Company: CERO
Filing Date: 2025-04-25
Form Type: PRE 14A
Source: 0001213900-25-035562
Chunk: 96

Company: CERO THERAPEUTICS HOLDINGS, INC.
Filing Date: 2025-04-25
Form: PRE 14A
Chunk 96
---
 options, convertible securities, or rights to purchase stock, warrants, securities or other property pro rata to all or substantially all of the record holders of any class of Common Stock (the “Purchase Rights”), then each holder of Series A Preferred Stock will be entitled to acquire, upon the terms applicable to such Purchase Rights, the aggregate Purchase Rights which such holder could have acquired if such holder had held the number of shares of Common Stock acquirable upon complete conversion of all the Series A Preferred Stock held by such holder immediately prior to the date as of which the record holders of shares of Common Stock are to be determined for the grant, issue or sale of such Purchase Rights at the Alternate Conversion Price (as defined in the Series A Certificate of Designations); subject to certain limitations on beneficial ownership. Conversion Rights Conversion at Option of Holder.Each holder of Series A Preferred Stock may convert all, or any part, of the outstanding Series A Preferred Stock, at any time at such holder’s option, into shares of the Common Stock (which converted shares of Common Stock are referred to as “Conversion Shares” herein) at an initially fixed “Conversion Price” of $10.00, which is subject to proportional adjustment upon the occurrence of any stock split, stock dividend, stock combination and/or similar transactions. As of the date of this proxy statement, after giving effect to various adjustments, including under “Other Adjustments” described below, in connection with the Company’s 100 for 1 reverse stock split of its shares of Common Stock, and in connection with certain financing transactions, the current Conversion Price is $1.96. Voluntary Adjustment Right.Subject to the rules and regulations of the Nasdaq, we have the right, at any time, with the written consent of the Required Holders (as defined in the Series A Certificate of Designations), to lower the fixed conversion price to any amount and for any period of time deemed appropriate by the Board. Alternate Conversion Upon a Triggering Event.Following the occurrence and during the continuance of a Triggering Event (as defined below), each holder may alternatively elect to convert the Series A Preferred Stock at the “Alternate Conversion Price” equal to the lesser of: •the Conversion Price, and •the greater of: •the floor price of $1.00; and •80% of the volume weighted average price of the Common Stock during the 5 consecutive trading days immediately prior to such conversion. The Series A Certificate of Designations contains standard and customary triggering events (each, a “Series A Trigger