Company: CERO
Filing Date: 2025-11-20
Form Type: 424B3
Source: 0001213900-25-113117
Chunk: 59

Company: CERO THERAPEUTICS HOLDINGS, INC.
Filing Date: 2025-11-20
Form: 424B3
Chunk 59
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specific terms and applicable authoritative guidance in ASC 480 and ASC 815, Derivatives and Hedging. Management has concluded that the
Public Warrants issued pursuant to the warrant agreement qualify for equity accounting treatment.

Series A Common Warrants (Successor) - February 2024

The Company’s 306 Series
A Common Warrants were initially exercisable for cash at an exercise price equal to the greater of (x) $18,400 (as adjusted for stock
splits, stock dividends, stock combinations, recapitalizations and similar events) and (y) the closing price of the Common Stock on the
trading day immediately prior to the Subscription Date (as defined in the Series A Common Warrant Agreement). The exercise price is subject
to adjustment for stock splits, combinations and similar events, and, in the event of stock dividends and splits, the number of shares
of Common Stock issuable upon the exercise of the February 2024 PIPE Common Warrants will also be adjusted so that the aggregate exercise
price shall be the same immediately before and immediately after any such adjustment. On stockholder approval for the issuance of shares
underlying the warrants, granted April 30, 2024, the exercise price of the Series A Common Warrants was adjusted to $2,780 per share,
per the terms of the Securities Purchase Agreement.

The Series A Common Warrants
became exercisable beginning six months after the issuance date (the “Initial Exercisability Date”) and expiring on the third
anniversary of the Initial Exercisability Date. The Series A Common Warrants require “buy-in” payments to be made by us for
failure to deliver any shares of Common Stock issuable upon exercise.

If at the time of exercise
of the Series A Common Warrants, there is no effective registration statement registering the shares of the Common Stock underlying the
Series A Common Warrants, such warrants may be exercised on a cashless basis pursuant to their terms.

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If we issue options, convertible
securities, warrants, shares, or similar securities to holders of Common Stock, each holder of February 2024 PIPE Common Warrants has
the right to acquire the same as if the holder had exercised its Series A Common Warrants. The holders of Series A Common Warrants are
entitled to receive any dividends paid or distributions made to our holders of Common Stock on an “as if converted” basis.

The Series A Common Warrants