Company: IXHL
Filing Date: 2025-09-29
Form Type: 10-K
Source: 0001213900-25-092837
Chunk: 163

Company: Incannex Healthcare Inc.
Filing Date: 2025-09-29
Form: 10-K
Item: Item 1
Chunk 163
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 could expose us to additional cybersecurity risks and vulnerabilities, as our systems could be negatively
affected by vulnerabilities present in acquired or integrated entities’ systems and technologies. Additionally, we may discover
security vulnerabilities or risks that were not found during due diligence of such acquired or integrated entities, and it may be difficult
to integrate companies into our information technology environment and security program.

While we take steps to detect and remediate vulnerabilities,
we may not be able to detect and remediate all vulnerabilities because the threats and techniques used to exploit such vulnerabilities
change frequently and are often sophisticated in nature. Therefore, such vulnerabilities could be exploited but may not be detected until
after a cybersecurity incident has occurred, if at all. Further, we may experience delays in developing and deploying remedial measures
designed to address any such identified vulnerabilities.

Any of the previously identified or similar threats
could cause a cybersecurity incident or other interruption that could result in unauthorized, unlawful, or accidental acquisition, modification,
destruction, loss, alteration, encryption, disclosure of, or access to our sensitive data or our information technology systems, or those
of the third parties upon whom we rely. A cybersecurity incident or other interruption could disrupt our ability (and that of third parties
upon whom we rely) to provide our services, develop our products, and conduct clinical trials.

The costs related to significant cybersecurity
incidents or disruptions could be material and cause us to incur significant expenses. If the information technology systems of our clinical
sites, and other contractors and consultants become subject to disruptions or cybersecurity incidents, we may have insufficient recourse
against such third parties and we may have to expend significant resources to mitigate the impact of such an event, and to develop and
implement protections to prevent future events of this nature from occurring.

We may expend significant resources or modify our
business activities (including our clinical trial activities) in an effort to protect against cybersecurity incidents. Certain data privacy
and security obligations may require us to implement and maintain specific security measures, industry-standard or reasonable security
measures to protect our information technology systems and data. Despite the implementation of security measures in an effort to protect
systems that store our information, given their size and complexity and the increasing amounts of information maintained on our internal
information technology systems, and those of third parties upon which we rely (including sites performing our clinical trials), there
can be no assurance that these measures will be effective. We also cannot be sure that our insurance coverage will be adequate or sufficient
to protect us from or to mitigate liabilities arising out