Company: NCEL
Filing Date: 2025-07-18
Form Type: F-4/A
Source: 0001213900-25-065783
Chunk: 471

Company: NewcelX Ltd.
Filing Date: 2025-07-18
Form: F-4/A
Chunk 471
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 of financial assets and liabilities. The accounting for expected R&D grants involves assumptions about the timing and amount of receipts, which can be uncertain due to regulatory processes and associated conditions. Quantitative and Qualitative Disclosure About Market Risk Kadimastem is exposed to market risks in the ordinary course of Kadimastem’s business. Market risk represents the risk of loss that may impact Kadimastem’s financial position, results of operations or cash flows due to adverse changes in financial market prices and rates, including interest rates and foreign exchange rates, of financial instruments. Interest Rate Risk Following the date of this registration statement, Kadimastem does not anticipate undertaking any significant long -termborrowings. At present, Kadimastem’s investments consist primarily of cash and cash equivalents and financial assets at fair value. Following the date of this proxy statement/prospectus, Kadimastem may invest in investment -grademarketable securities with maturities of up to three years, including commercial paper, money market funds, and government/non -governmentdebt securities. The primary objective of Kadimastem’s investment activities is to preserve principal while maximizing the income that it receives from its investments without significantly increasing risk and loss. Kadimastem’s investments are exposed to market risk due to fluctuation in interest rates, which may affect its interest income and the fair market value of its investments, if any. Kadimastem manages this exposure by performing ongoing evaluations of its investments. Due to the short -termmaturities, if any, of its investments to date, their carrying value has always approximated their fair value. If Kadimastem decides to invest in investments other than cash and cash equivalents, it will be its policy to hold such investments to maturity in order to limit its exposure to interest rate fluctuations. Foreign Currency Exchange Risk Kadimastem’s foreign currency exposures give rise to market risk associated with exchange rate movements of the NIS, its functional and reporting currency, mainly against the U.S. Dollar and the Euro. Although the NIS is Kadimastem’s functional currency, it incurs expenses denominated in both U.S. dollar and Euro. It is expected that the expenses involved in the Phase IIa trial in the United States for Kadimastem’s ALS -treatmentpharmaceutical product will be in U.S. Dollar. Furthermore, following the Merger with a Swiss company, Kadimastem expects to incur a significant amount of expenses in Euros and Swiss Francs. If the NIS