Company: OCEA
Filing Date: 2025-04-08
Form Type: 10-K
Source: 0001641172-25-003155
Chunk: 1178

Company: Ocean Biomedical, Inc.
Filing Date: 2025-04-08
Form: 10-K
Item: Item 7
Chunk 1178
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 a minimum of ten consecutive business days, Nasdaq will provide the Company
written confirmation of compliance and this matter will be closed. In the event the Company does not regain compliance by June 2, 2025,
the Company may be eligible for additional time to regain compliance, or may face delisting.

Section
5550(b)(2) of The Listing Rules (the “Rules”) require listed securities to maintain a minimum Market Value of Listed Securities
(MVLS) of $35 million. On December 5, 2024, Nasdaq sent a letter to the Company notifying it that based upon the Company’s MVLS
for the last 30 consecutive business days, the Company no longer meets this requirement. Consequently, a deficiency exists with regard
to the Rule. However, the Rules also provide the Company a compliance period of 180 calendar days in which to regain compliance. If at
anytime during this compliance period the Company’s MVLS closes at $35 million or more for a minimum of ten consecutive business
days, Nasdaq will provide written confirmation of compliance and this matter will be closed. In the event the Company does not regain
compliance with the Rule prior to the expiration of the compliance period, it will receive written notification that its securities are
subject to delisting and it may be eligible for additional time to regain compliance, or may face delisting.

    F-27

Virion
Contribution Agreement

On
October 11, 2023, the Company entered into an Amended and Restated Contribution Agreement (the “Contribution Agreement”)
with Virion Therapeutics, LLC (“Virion”) and Poseidon Bio LLC to provide financial, technical and operational assistance
to further growth and development of Virion’s Intelligent and Adaptable CD8+ T cell-based Immunotherapy (“VIACT”)
platform. Pursuant to the Contribution Agreement, the Company acquired a 50%
membership interest in Virion and purchased one membership unit of Virion for an initial contribution of either a) $4.1
million in cash, or b) 750,000
shares of the Company’s common stock, 250,000
of which were transferred to Virion by Poseidon Bio LLC, with the remaining 500,000
shares issued by the Company on December 1, 2023. The Company elected to fund the initial contribution via the issuance of shares of
its common stock. In the case of an initial contribution in the form of shares of common stock