Company: NCEL
Filing Date: 2025-05-16
Form Type: 20-F
Source: 0001213900-25-044868
Chunk: 68

Company: NewcelX Ltd.
Filing Date: 2025-05-16
Form: 20-F
Item: Item 3
Chunk 68
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 substantially higher costs to obtain coverage. These rules and regulations could also make it more
difficult for NLS to attract and retain qualified directors.

Failure to consummate the Merger as currently
contemplated or at all could adversely affect the price of common shares and the future business and financial results of NLS.

The Merger may be consummated
on terms different than those contemplated by the Merger Agreement, or the Merger may not be consummated at all. If the Merger is not
completed, or is completed on different terms from those contemplated by the Merger Agreement, NLS could be adversely affected and subject
to a variety of risks associated with the failure to consummate the Merger, or to consummate the Merger as contemplated by the Merger
Agreement, including the following:

  NLS’s shareholders may be prevented from realizing the  
  anticipated benefits of the Merger;                     
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  the market price of common shares could decline significantly;  

  reputational harm due to the adverse perception of any failure  

  incurrence of substantial costs relating to the proposed Merger,                                                                             

  the attention of NLS’s management and employees may                                                                                 
  be diverted from their day-to-day business and operational matters as a result of efforts relating to attempting to consummate the  
  Merger.                                                                                                                             
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Any delay in the consummation
of the Merger or any uncertainty about the consummation of the Merger on terms other than those contemplated by the Merger Agreement,
or if the Merger is not completed, could materially adversely affect the business, financial results and share price of NLS.

The ownership interests of NLS’s will
be diluted by the consummation of the Merger, and NLS’s shareholders will exercise less influence over management than they exercised
before the Merger.

NLS’s shareholders have
the right to vote in the election of the NLS Board members and on certain other matters affecting NLS, as specified in NLS Bylaws, and
Kadimastem’s shareholders have the right to vote in the election of the Kadimastem Board and on certain other matters affecting
Kadimastem, as specified in Kadimastem’s articles of association. As a result of the Merger, the ownership position of existing
shareholders of NLS