Company: NCEL
Filing Date: 2025-05-16
Form Type: 20-F
Source: 0001213900-25-044868
Chunk: 126

Company: NewcelX Ltd.
Filing Date: 2025-05-16
Form: 20-F
Item: Item 3
Chunk 126
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 armed conflicts, such as the war in Israel and  

  other disruptions in means of transportation.  

Any significant interruption
at the combined company’s distribution facilities, an inability to transport its products to or from these facilities, or to or
from its domestic or foreign customers or suppliers, or an increase in transportation costs, for any reason, would materially adversely
affect the combined company.

Because the combined
company relies on internal and external logistics to transport its drug substances and products and medical related inventory
throughout the United States to and from its research and development center and other development hubs in U. S. locations,
it is subject to business risks and costs associated with the transportation industry. Many of these risks and costs are out of the
combined company’s control, and any of them could have a material adverse effect on its business, financial condition, and
results of operations.

The combined company relies
on a combination of internal and external logistics to transport its drug substances, drug products and medical related inventory into
and throughout the United States to and from its research and development center and other development hubs in U. S. locations.
As a result, the combined company is exposed to risks associated with the transportation industry such as weather, traffic patterns, gasoline
prices, shipping costs, foreign, and local and federal U. S. regulations, vehicular crashes, rising prices of transportation vendors,
fuel prices, taxes, license and registration fees, insurance premiums, self-insurance levels, difficulty in recruiting and retaining qualified
drivers, disruption of its technology systems, equipment supply, equipment quality, and increasing equipment and operational costs. Its
failure to successfully manage its logistics and fulfillment process could cause a disruption in its inventory supply chain and distribution,
which may adversely affect its operating results and financial condition.

The combined company relies on a limited
number of suppliers or, in some cases, single suppliers, for some of its laboratory instruments and materials and may not be able to find
replacements or immediately transition to alternative suppliers on a cost-effective basis, or at all.

The combined company sources
components of its technology from third parties and certain components are sole sourced. Obtaining substitute components may be difficult
or require the combined company to re-design its products. Any natural or other disasters, such as wild fire, earthquake, acts of war
or terrorism, shipping embargoes, labor unrest or political instability, failure in supply or other logistical channels, electrical outages
or other reasons or similar events at its third-party suppliers’ facilities that cause a