Company: NCEL
Filing Date: 2025-09-25
Form Type: F-1
Source: 0001213900-25-091697
Chunk: 8

Company: NewcelX Ltd.
Filing Date: 2025-09-25
Form: F-1
Chunk 8
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. The initial target
share split resulted in Kadimastem shareholders holding approximately 85% and the Company holding approximately 15% on a fully diluted
basis immediately following the closing of the Merger (the “Closing” or the “Initial Split”). The final Exchange
Ratio (as defined in the Merger Agreement) is subject to certain adjustments, including as a result of estimated cash of NLS and Kadimastem
and estimated indebtedness of NLS, in each case as measured at the close of business on the day preceding the NLS Meeting. The Exchange
Ratio and related share allocations will be recalculated pursuant to the adjustment mechanisms set forth in the Merger Agreement, and
the resulting split may vary from the Initial Split based on these estimates and other specified factors. Based on various factors, including
gross cash proceeds from NLS’s financing transactions from October 2024 through June 2025 (approximately $6.7 million mostly from
investors introduced to NLS by Kadimastem, which satisfy the Investment Proceeds Adjustment (as defined below)), and additional financing
investments of approximately $2.5 million currently reasonably expected to be raised prior to the Closing Date (as defined in the Merger
Agreement), the parties currently estimate that application of the Exchange Ratio formula at the Closing will result in Kadimastem shareholders
collectively holding approximately 83% and NLS shareholders holding approximately 17% of the outstanding Common Shares on a fully diluted
basis immediately following the Closing. The Company will provide the final Exchange Ratio no later than the morning of the NLS Meeting.
The additional financing investments of approximately $2.5 million to be raised prior to the Closing Date is not a condition to Closing;
if more or less than $2.5 million is raised, the Exchange Ratio will change accordingly pursuant to the terms of the Merger Agreement.

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Pursuant to the terms of the
Merger Agreement, each Kadimastem Ordinary Share will be exchanged for and converted into the Common Shares constituting the Merger Consideration
(as defined in the Merger Agreement), without interest; provided, however, notwithstanding anything to the contrary contained in the Merger
Agreement, in the event that the Measurement Date (as defined in the Merger Agreement) indebtedness is greater than $0 and/or the Measurement
Date Cash (as defined in the Merger Agreement) is less than $600,000, the resulting number of Common