Company: OCEA
Filing Date: 2025-04-08
Form Type: 10-K
Source: 0001641172-25-003155
Chunk: 2239

Company: Ocean Biomedical, Inc.
Filing Date: 2025-04-08
Form: 10-K
Item: Item 1A
Chunk 2239
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 other regulatory authorities,
and become subject to litigation from investors and stockholders, which could harm our reputation and our financial condition, or divert
financial and management resources from our core business.

109

Our
independent registered public accounting firm has not performed an evaluation of our internal control over financial reporting in accordance
with the provision of the Sarbanes-Oxley Act of 2002, as amended, or the Sarbanes-Oxley Act, because no such evaluation has been required.
Had an independent registered public accounting firm performed an evaluation of our internal control over financial reporting in accordance
with the provisions of the Sarbanes-Oxley Act, additional material weaknesses might have been identified.

If
we fail to maintain an effective system of internal control over financial reporting, we may not be able to accurately report our financial
results or prevent fraud. As a result, stockholders could lose confidence in our financial and other public reporting, which would harm
our business and the trading price of our common stock.

Effective
internal controls over financial reporting are necessary for us to provide reliable financial reports and, together with adequate disclosure
controls and procedures, are designed to prevent fraud. Any failure to implement required new or improved controls, or difficulties encountered
in their implementation could cause us to fail to meet our reporting obligations. In addition, any testing by us conducted in connection
with Section 404, may reveal deficiencies in our internal
controls over financial reporting that are deemed to be material weaknesses or that may require prospective or retroactive changes to
our financial statements or identify other areas for further attention or improvement. Inferior internal controls could also cause investors
to lose confidence in our reported financial information, which could have a negative effect on the trading price of our stock.

We
are required to disclose changes made in our internal controls and procedures on a quarterly basis and our management is required to
assess the effectiveness of these controls annually. If we are no longer considered an EGC, then we will be required to have
an audit of the effectiveness of internal controls over financial reporting. We could be an EGC for up to five years. An independent assessment of the effectiveness of our
internal controls over financial reporting could detect problems that our management’s assessment might not. Undetected material
weaknesses in our internal controls over financial reporting could lead to restatements of our financial statements and require us to
incur the expense of remediation.

Our
disclosure controls and procedures may not prevent or detect all errors or acts of