Company: NCEL
Filing Date: 2025-07-29
Form Type: F-4/A
Source: 0001213900-25-068765
Chunk: 300

Company: NewcelX Ltd.
Filing Date: 2025-07-29
Form: F-4/A
Chunk 300
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96 per share. Pursuant to the debt purchase agreement, NLS agreed to grant the investor the right to purchase up to an additional $10.0 million worth of convertible NLS Preferred Shares beginning six months after the closing and continuing for as long as the investor owns NLS Preferred Shares. NLS also announced that it believes it has regained compliance with the minimum bid price requirement pursuant to Nasdaq Listing Rule 5550(a)(2), due to the fact that the NLS Common 130 Shares had traded above $1.00 for ten consecutive trading days. In addition, due in part to the foregoing transactions, NLS announced that it believes that it satisfies the shareholders’ equity requirement of at least $2.5 million pursuant to Nasdaq Listing Rule 5550(b)(1) for continued listing on the Nasdaq Capital Market. On November 4, 2024, the parties executed the Merger Agreement and the applicable ancillary documents, and the Company issued a press release announcing the transaction. Throughout the process, in determining the relative valuations of the companies for the Merger and Exchange Ratios, NLS and Kadimastem reviewed several comparable companies of comparable companies with similar businesses and market capitalizations. Specifically, the companies reviewed included publicly traded clinical -stagebiotechnology companies operating in similar therapeutic areas (neurology and regenerative medicine), with comparable development -stageassets, market capitalization ranges, and technology platforms. These included: Silo Pharma, Inc. (Nasdaq: SILO), Brainstorm Cell Therapeutics Inc. (Nasdaq: BCLI), Lineage Cell Therapeutics, Inc. (NYSE American: LCTX), ReNeuron Group plc (LSE: RENE), BioRestorative Therapies, Inc. (Nasdaq: BRTX) and Paladin Labs Inc. (for historical context and precedent transactions). These companies were used for high -levelbenchmarking of valuation multipliers, development timelines, and market perception of similar therapeutic platforms. The review process contributed to the valuation discussions and negotiation of the Exchange Ratio formula and ownership structure. The Initial Split and initial Exchange Ratio formula were subsequently finalized through negotiations between the parties, informed by updated valuation assessments, input from financial advisors including HCW, and mutual agreement on the relative contributions and future prospects of each company. The final Exchange Ratio reflects a negotiated outcome that balanced these considerations while ensuring alignment with the strategic rationale of the transaction and fairness to both sets of shareholders. NLS and Kadimastem then confirmed these