Company: HCWB
Filing Date: 2025-03-28
Form Type: 10-K
Source: 0000950170-25-046724
Chunk: 317

Company: HCW Biologics Inc.
Filing Date: 2025-03-28
Form: 10-K
Item: Item 1B
Chunk 317
---
 under financing leases.  As of December 31, 2024, the remaining lease payments were as follows:   

        2025
         
        $
        293,844

        2026
         
        $
        49,349

        Total future minimum lease payments
         
        $
        343,193

       For the years ended December 31, 2023 and 2024, rent expense recognized by the Company was $169,700 and $196,000, respectively, of which $88,800 and $101,300, respectively, is included in Research and development in the statements of operations included in the audited financial statements. Contractual Commitments The Company has commitments with a third-party manufacturing organization to supply us with clinical grade materials.  As of December 31, 2024, we are under contract for obligations of $12,500 that we expect to pay during the year ending December 31, 2025.  As of December 31, 2024 the Company had commitments to fund $4.4 million for future construction costs related to the buildout of its new headquarters and manufacturing facility under the terms of a construction agreement with BE&K Building Group (“Construction Contract”) , which are not included in the balance sheets.  The Construction Contract was terminated as of December 31, 2024.  As of December 31, 2024, certain subcontractors had filed mechanics liens related to unpaid invoices issued in connection with the facility. On December 16, 2024, BE&K sent the Company a draft, unfiled lawsuit and requested the parties discuss payment. On January 22, 2025, the Company entered into a forbearance agreement with BE&K to allow the Company until March 31, 2025 to continue efforts to find the financing required to complete the construction and renovation of the building.  Pursuant to the forbearance agreement, the Company made an initial payment of $1.0 million in partial satisfaction of amounts owing to BE&K and its subcontractors.  The Company has continued to pursue financing alternatives to provide the funding needed to come current in past amounts due and complete the construction and renovation of the Property.  Project FinancingOn January 10, 2024, the Company exercised its right to terminate its credit agreement (the “Credit Agreement”), dated April 21, 2023, with Prime Capital Ventures, LLC (the “