Company: CRVO
Filing Date: 2025-03-17
Form Type: 10-K
Source: 0001437749-25-007829
Chunk: 122

Company: CervoMed Inc.
Filing Date: 2025-03-17
Form: 10-K
Item: Item 8
Chunk 122
---
,267  
  Cash and cash equivalents at beginning of period                                                                       7,792,846                  4,093,579  
  Cash and cash equivalents at end of period                                            $                                8,999,496      $           7,792,846  
  Supplemental disclosure of non-cash investing and financing activities:                                                                                      
  Conversion of convertible notes                                                       $                                        —      $           6,989,749  
  Conversion of convertible preferred stock                                             $                                        —      $          24,287,211  
  Unrealized gain on marketable securities                                              $                                   56,197      $                   —  
  Stock options granted in lieu of cash bonus                                           $                                  255,724      $                   —  
  Cashless exercise of pre-funded warrants                                              $                                      945      $                   —  

See accompanying notes to consolidated financial statements

95

CervoMed Inc.

Notes to the Consolidated Financial Statements

Note 1. The Company and Description of Business

The Company is a corporation organized under the laws of the state of Delaware and headquartered in Boston, Massachusetts. The Company is a clinical-stage biotechnology company focused on developing treatments for age-related neurologic disorders. The Company is currently focused on the development of its lead drug candidate, neflamapimod, an investigational, orally administered, small molecule brain penetrant that inhibits p38α in the neurons of people with neurodegenerative diseases. The Company believes neflamapimod has the potential to treat synaptic dysfunction, the reversible aspect of the underlying disease processes in DLB and certain other major neurological disorders. Neflamapimod is currently being evaluated in the Company's ongoing RewinD-LB Trial, a Phase 2b trial in patients with DLB funded primarily by a $21.3million grant from the NIA.

Note 2. Liquidity and Capital Resources

The Company has generated negative cash flows from operations and, as of December 31, 2024, had an accumulated deficit of $70.7million. Based on its current operating plan, the Company believes its existing cash and cash equivalents and marketable securities on hand as of December 31, 2024, will enable the Company to fund its operating expenses and capital expenditure requirements for at least twelve months from the issuance of these consolidated financial statements. The Company has based this estimate on assumptions that may prove to be wrong, and it could utilize its available capital resources sooner than it currently expects. The Company will continue to require additional