Company: CERO
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001213900-25-044335
Chunk: 59

Company: CERO THERAPEUTICS HOLDINGS, INC.
Filing Date: 2025-05-15
Form: 10-Q
Item: Item 1
Chunk 59
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2.4 million.

Further, on April 21, 2025,
the Company entered into a Securities Purchase Agreement (the “Securities Purchase Agreement”) with certain accredited investors
named therein. Pursuant to the Securities Purchase Agreement, up to 10,000 shares of the Company’s Series D Preferred Stock shall
be purchased for an aggregate purchase price of up to $8 million in one or more closings (each a “Closing”). On April 22,
2025, pursuant to the Securities Purchase Agreement, the Company issued and sold, and the investors purchased, in a private placement
(the “Private Placement”): 6,250 shares of the Series D Preferred Stock for aggregate proceeds of approximately $5 million,
paid through the transfer of certain Transfer Shares (as defined in the Securities Purchase Agreement) in lieu of cash. The
date of the first closing is referred to as the “First Closing Date.” Each additional closing of the Private Placement is
at the option of the investors upon notice to the Company and subject to satisfaction of customary closing conditions. On April 22, 2025,
the Company filed the Certificate of Designations of Rights and Preferences of the Series D Preferred Stock (the “Certificate of
Designations”) for the purpose of designating and establishing the Company’s Series D Preferred Stock. Additional funds are
necessary to maintain current operations and to continue R&D activities. However, there can be no assurance that sufficient funding
will be available to allow the Company to successfully continue its R&D activities and planned regulatory filings with the FDA. If
the Company is unable to obtain the necessary funds, significant reductions in spending and the delay or cancellation of planned activities
may be necessary. These actions would have a material adverse effect on the Company’s business, results of operations, and prospects.
These conditions raise substantial doubt about the Company’s ability to continue as a going concern within one year from the date
these accompanying financial statements are issued. The accompanying financial statements do not include any adjustments relating to the
recoverability and classification of recorded asset amounts or the amounts and classification of liabilities that might result from the
outcome of this uncertainty.

Recent Developments

Reverse Stock Split

At 12:01 a.m. Eastern time
on January 8, 2025, we effected the Reverse Stock Split pursuant to which each 100 shares of our Common Stock outstanding immediately
prior thereto was converted into 1 share of our Common Stock outstanding immediately thereafter.

February 2025 Offering

On February 7,