Company: CERO
Filing Date: 2025-08-22
Form Type: 424B3
Source: 0001213900-25-080017
Chunk: 66

Company: CERO THERAPEUTICS HOLDINGS, INC.
Filing Date: 2025-08-22
Form: 424B3
Chunk 66
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 Predecessor recorded an immaterial amount of stock-based compensation expense.

For the three months ended June 30, 2025, the Company recorded stock-based compensation expense of $183,328, of which $53,821 was related to research and development and $129,507 was related to general and administrative. For the six months ended June 30, 2025, the Company recorded stock-based compensation expense of $488,274, of which $127,123 was related to research and development and $361,151 was related to general and administrative.

As of June 30, 2025, the Company had approximately $1,379,000 of unamortized stock-based compensation expense related to unvested stock options, which is expected to be recognized over a weighted average period of 1.7 years. The weighted average grant date calculated fair value per share of the Company’s options granted during the six months ended June 30, 2025 was $11.86. The weighted average grant date calculated fair value per share of the Company’s options granted during the period February 14, 2024, through June 30, 2024, was $3,520.

NOTE 12 – 401(K) RETIREMENT SAVINGS PLAN

The Company sponsors a 401(k) defined contribution plan covering eligible employees who elect to participate. The Company is allowed to make discretionary profit sharing and 401(k) matching contributions as defined in the plan and as approved by the Board of Directors. The Company’s contributions for the period from February 14, 2024 through June 30, 2024 was $23,760 and Predecessor contributions during the period from January 1, 2024 through February 13, 2024 was $0. The Company did not make any contributions to the 401(k) during the six months ended June 30, 2025.

NOTE 13 – RELATED-PARTY TRANSACTIONS

In February 2024, we issued and sold an aggregate of 10,089 shares of Series A Preferred Stock, 306 Series A Common Warrants and 2,500 Preferred Warrants, at a price of $800 per share of Series A Preferred Stock, for aggregate cash proceeds of approximately $8.0 million, plus additional cash proceeds of up to $2.0 million if the Preferred Warrants are exercised.

The following table summarizes the shares of our Series A Preferred Stock issued to our related parties:

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