Company: CERO
Filing Date: 2025-11-19
Form Type: 10-Q
Source: 0001213900-25-112619
Chunk: 194

Company: CERO THERAPEUTICS HOLDINGS, INC.
Filing Date: 2025-11-19
Form: 10-Q
Item: Item 8
Chunk 194
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 The conversion ratios were at the Series D Adjustment
Price.

As of September 30, 2025,
there were 9,800 remaining shares of Series D Preferred Stock, which were convertible into approximately 1,828,358 shares of Common Stock.

Purchase of Common Stock by Keystone Capital Partners under the
Equity Line of Credit (“ELOC”)

On February 14, 2024, in
conjunction with, and as a condition to the closing of the Series A PIPE Financing, the Company entered into a common stock purchase agreement
with Keystone Capital Partners, L.P. (“Keystone”), pursuant to which we may sell and issue, and Keystone is obligated to purchase,
up to 12,500 shares subject to the Company obtaining all necessary stockholder approvals to issue the shares to Keystone. The price of
the shares purchased by Keystone under the ELOC is 90% of various volume-weighted average price (“VWAP”) and closing price-based
formulae, and requires a waiver, should the selling price be below $2,000.00 per share. As consideration for Keystone’s commitment
to purchase shares of Common Stock pursuant to the Old Keystone Purchase Agreement, we issued an aggregate of 932 shares of Common Stock
to Keystone.

During the nine months ended September 30, 2024, the Company sold 10,244
shares for net proceeds of approximately $3.6 million under the Keystone ELOC. The Company sought and received a waiver to sell the shares
below $2,000.00 per share. The Company also issued 807 and 992 shares of common stock to Keystone as consideration for the ELOC in the
three-month period ended September 30, 2024 and the period from February 14, 2024 to September 30, 2024, respectively. The $3.6 million
net proceeds included $933,345 of issuance costs, including issuances of Common Stock as consideration for the ELOC.

On November 8, 2024, the
Company consummated a purchase agreement with Keystone (the “November 2024 Keystone Purchase Agreement”) pursuant to which
we may sell and issue, and Keystone is obligated to purchase, up to $20.6 million of shares of Common Stock, constituting the remaining
unsold balance under the original Keystone Purchase Agreement, subject to certain market conditions. The price of the shares purchased
by Keystone under the ELOC is 90% of various volume-weighted average price (“