Company: CERO
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001213900-25-032134
Chunk: 174

Company: CERO THERAPEUTICS HOLDINGS, INC.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 1
Chunk 174
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 2025 Common Warrants to purchase an aggregate of 247,914 shares of Common Stock at an
exercise price ranging from $5.61 to $5.82, (vii) February 2025 Common Warrants to purchase an aggregate of 2,551,020 shares of
Common Stock at an exercise price of $1.96, (viii) Pre-Funded Warrants to purchase an aggregate of 215,740 shares of Common Stock at
an exercise price of $0.0001, and (ix) Public Warrants and Private Placement Warrants to purchase an aggregate of 91,925 shares of
Common Stock at an exercise price of $1,150.00 per share.

Although each of the
conversion price of the Preferred Shares and the exercise prices of the December 2024 Common Warrants, January 2025 Common Warrants,
and Series A Warrants are at or above the trading price of our Common Stock as of the date of this Annual
Report, if such trading price increases, such conversion prices and exercise prices will not change as a result thereof and could be
below the trading price of our Common Stock as of the date of any future conversion or exercise thereof, resulting in dilution to
our stockholders. In addition, the terms of the Series A Preferred Stock, the Series B Preferred Stock and the Series C Preferred
Stock contain certain penalties and adjustments to the amount included in determination of the conversion rate following certain
breaches of the Company’s obligations thereunder, including, among other things, as a result of a failure to file or cause the
SEC to declare one or more registration statements relating to the resale of the shares of Common Stock issuable upon conversion
thereof by specified deadlines, certain defaults under indebtedness of the Company or judgments against the Company and failure to
deliver shares of Common Stock upon conversion in a timely manner. For example, the penalties and adjustments include a 25% premium
added to the stated value for determining the conversion rate in connection with breaches other than the breach of the requirement
to redeem the shares of Series A Preferred Stock and Series B Preferred Stock by August 14, 2025, which results in a 50% premium,
and the addition to the stated value of an amount equal to the value of the shares of Common Stock into which the Series A Preferred
Stock or Series B Preferred Stock would have been convertible if the conversion price were equal to 80% of the lowest volume
weighted average price during the