Company: OCEA
Filing Date: 2025-01-13
Form Type: 10-Q
Source: 0001493152-25-001880
Chunk: 234

Company: Ocean Biomedical, Inc.
Filing Date: 2025-01-13
Form: 10-Q
Item: Item 2
Chunk 234
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 segment.
ASU 2023-07 is effective for public business entities with fiscal years beginning after December 15, 2023, and interim periods within
fiscal years beginning after December 15, 2024. The Company is currently evaluating the impact of adopting ASU 2023-07 on its consolidated
financial statements and related disclosures.

In
December 2023, the FASB issued ASU No. 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures to enhance the
transparency and decision usefulness of income tax disclosures. This standard is effective for the Company for fiscal years beginning
after December 15, 2024 and can be applied on a prospective or retrospective basis. The Company is currently evaluating the effect that
the adoption of this ASU may have on its consolidated financial statements.

49

Emerging
Growth Company and Smaller Reporting Company Status

The
Jumpstart Our Business Startups Act of 2012 permits an “emerging growth company” such as us to take advantage of an extended
transition period to comply with new or revised accounting standards applicable to public companies until those standards would otherwise
apply to private companies. We have elected to not “opt out” of this provision and, as a result, we will adopt new or revised
accounting standards at the time private companies adopt the new or revised accounting standard and will do so until such time that we
either (i) irrevocably elect to “opt out” of such extended transition period or (ii) no longer qualify as an emerging growth
company.

We
are also a “smaller reporting company” meaning that the market value of our stock held by non-affiliates is expected to be
less than $700 million and our annual revenue was less than $100 million during the most recently completed fiscal year. We may continue
to be a smaller reporting company if either (i) the market value of our stock held by non-affiliates is less than $250 million or (ii)
our annual revenue was less than $100 million during the most recently completed fiscal year and the market value of our stock held by
non-affiliates is less than $700 million. If we are a smaller reporting company at the time that we cease to be an emerging growth company,
we may continue to rely on exemptions from certain disclosure requirements that are available to smaller reporting companies. Specifically,
as a smaller reporting company, we may choose to present only the two