Company: NCEL
Filing Date: 2025-05-16
Form Type: 20-F
Source: 0001213900-25-044868
Chunk: 252

Company: NewcelX Ltd.
Filing Date: 2025-05-16
Form: 20-F
Item: Item 4
Chunk 252
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 provided by financing activities of $5,039,516 for the year ended December 31, 2024, consisted of $5,252,725 of net proceeds from
the issuance of common shares and preferred shares in private placement offerings and $173,123 of net proceeds from the exercise of pre-funded,
offset by $386,332 of equity issuance costs. Net cash provided by financing activities of $1,633,746 for the year ended December 31,
2023, consisted of $1,633,746 of net proceeds from short-term loan agreements with certain existing shareholders of the Company.

Current Outlook

During
2024, our operations have been primarily financed through the proceeds from the sale of our common shares, preferred shares and short
term loans obtained from related parties at the end of 2023. We have incurred losses and generated negative cash flows from operations
since inception in 2015. To date we have not generated revenues, and we do not expect to generate any significant revenue from the sale
of our product candidates in the near future.

We
expect to generate losses for the foreseeable future, and these losses could increase as we continue product development until we successfully
achieve regulatory approvals for our product candidates and begin to commercialize any approved products. We are subject to all the risks
pertinent to the development of new products, and we may encounter unforeseen expenses, difficulties, complications, delays and other
unknown factors that may harm our business. We expect to incur additional costs associated with operating as a public company and we
anticipate that we will need substantial additional funding in connection with our continuing operations. If we need to raise additional
capital to fund our operations and complete our ongoing and planned clinical studies, funding may not be available to us on acceptable
terms, or at all.

As
of December 31, 2024, our cash and cash equivalents was $1.7 million. Our existing cash and cash equivalents and access to existing
financing arrangements will not be sufficient to fund operations for a period of one year as of December 31, 2024. We expect to continue
to generate operating losses and negative operating cash flows for the next few years and will need additional funding to support
our planned operating activities through profitability. We are actively exploring a range of options to raise funds, including strategic
partnerships, out-licensing, or divestment of assets of NLS, and other future strategic actions. In March 2025 we have completed our