Company: JUNS
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001493152-25-023603
Chunk: 94

Company: JUPITER NEUROSCIENCES, INC.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part II, Item 1
Chunk 94
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The
Company is dependent on certain proprietary supply-chain vulnerabilities with operational and supply chain risks.

The
Company’s dependence on proprietary technology like JOTROL™ and partnerships, such as with Aquanova for NovaSOL® Astaxanthin,
introduces supply chain vulnerabilities. Disruptions in raw material availability, manufacturing delays, or quality control issues could
hinder production timelines and product consistency. Scaling up manufacturing to meet demand while maintaining pharmaceutical-grade standards
poses additional operational challenges. Any failure to deliver on the expected third quarter launch could erode consumer trust and investor
confidence.

If
there are intellectual property disputes relating to the JOTROL technology, it could threaten Nugevia’s market position

The
Company’s competitive edge hinges on its patented JOTROL™ technology. However, intellectual property disputes or challenges
to JOTROL patent validity could threaten Nugevia’s market position. Competitors may attempt to develop similar bioavailability-enhancing
technologies, which circumvent JOTROL’s patent. Furthermore, any adverse events linked to Nugevia’s ingredients, even if
rare, could result in product liability claims, damaging the brand’s reputation and financial stability.

33

ITEM
2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

On
April 23, 2025, the Company issued 25,000 shares of its Common Stock to a marketing firm and 78,816 shares of its Common Stock to an
investor relations firm for services rendered under consulting agreements. The shares were issued with an aggregate grant date fair value
of $66,000. The shares issued to these consultants are restricted and bear a Rule 144 legend.

On
June 10, 2025, the Company approved the grant of 250,000 options pursuant to the Company’s 2023 Equity Incentive Plan to a consultant
for services to be rendered under a consulting agreement. The exercise price of the options is $0.67 per share, with 25% of the options
vesting immediately and the remainder vesting ratably on a monthly basis, commencing on July 31, 2025 and ending on May 31, 2027. The
options expire ten years after the grant date.

On
July 2, 2025, the Compensation Committee approved the grant of an aggregate of 357,448 stock options issued to certain executives. The
stock options have an exercise price of $1.19 per