Company: BLRX
Filing Date: 2025-03-31
Form Type: 20-F
Source: 0001178913-25-001123
Chunk: 35

Company: BioLineRx Ltd.
Filing Date: 2025-03-31
Form: 20-F
Item: Item 3
Chunk 35
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 a party to other patent litigation or proceedings, including interference or re-examination proceedings filed with the U. S. Patent
and Trademark Office or opposition proceedings in other foreign patent offices regarding intellectual property rights with respect to
our products and technology, as well as other disputes regarding intellectual property rights with licensees, licensors or others with
whom we have contractual or other business relationships. Post-issuance oppositions are not uncommon and we, our licensee or our licensor
will be required to defend these opposition procedures as a matter of course. Opposition procedures may be costly, and there is a risk
that we may not prevail.

21

We may be subject to damages
resulting from claims that we or our employees or contractors have wrongfully used or disclosed alleged trade secrets of their former
employers.

Many of our employees and contractors were previously employed
at universities or other biotechnology or pharmaceutical companies, including our competitors or potential competitors. Although no claims
against us are currently pending, we may be subject to claims that we or any employee or contractor has inadvertently or otherwise used
or disclosed trade secrets or other proprietary information of his or her former employers. Litigation may be necessary to defend against
these claims. If we fail in defending such claims, in addition to paying monetary damages, we may lose valuable intellectual property
rights or personnel. A loss of key research personnel or their work product could hamper or prevent our ability to commercialize certain
therapeutic candidates, which could severely harm our business, financial condition and results of operations. Even if we are successful
in defending against these claims, litigation could result in substantial costs and be a distraction to management.

Risks Related to Our Ordinary Shares and ADSs

There can be no assurance
that we will not be classified as a “passive foreign investment company,” or PFIC, for U. S. federal income tax purposes in
the current taxable year or may become one in any subsequent taxable year. There generally would be negative tax consequences for U. S.
taxpayers that are holders of our ordinary shares if we are or were to become a PFIC.

We will be treated as a PFIC for U. S. federal income tax purposes
in any taxable year in which either (i) at least 75% of our gross income is “passive income” or (ii) on average at least 50%
of our assets by value produce passive income or are held for the production of passive income. Passive income for this purpose generally