Company: OCEA
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-011080
Chunk: 36

Company: Ocean Biomedical, Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Item 4
Chunk 36
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, legislative, and regulatory factors as well as other factors that are beyond our control.
There can be no assurance that our business will generate cash flow from operations, or that additional capital will be available to us,
in amounts sufficient to enable us to meet our debt payment obligations and to fund other liquidity needs. Additionally, events and circumstances
may occur which would cause us to not be able to satisfy applicable draw-down conditions and utilize additional funds under the securities
purchase agreement entered into in May 2023 and amended and restated in July 2024. If we are unable to generate sufficient cash flows,
or the value of our common stock is insufficient to facilitate conversions of debt obligations as may be necessary to service our debt
payment obligations, we may need to refinance or restructure our debt, sell assets, reduce or delay capital investments, or seek to raise
additional capital. If we are unable to implement one or more of these alternatives, we may be unable to meet our debt payment obligations,
which could have a material adverse effect on our business, results of operations, or financial condition.

49

Despite our existing level
of indebtedness, we may incur more indebtedness. This could further exacerbate the risks described above, including our ability to service
our existing indebtedness.

We may be able to incur substantial
additional indebtedness in the future. Although certain of our debt arrangements contain restrictions on the incurrence of additional
indebtedness, such restrictions are subject to a number of qualifications and exceptions, and under certain circumstances indebtedness
incurred in compliance with such restrictions could be substantial. To the extent new debt is added to our current debt levels, the risks
described above would increase.

To service our indebtedness,
we will require a significant amount of cash. Our ability to generate cash depends on many factors beyond our control.

Our ability to make payments
on and to refinance our indebtedness, including our outstanding notes, and to fund intended research and development efforts will depend
on our ability to generate cash in the future. This, to a certain extent, is subject to general economic, financial, competitive, legislative,
regulatory and other factors that are beyond our control. We cannot assure you that our business when or if our operations will ultimately
generate sufficient cash flow from operations, that currently anticipated cost savings and operating improvements will be realized on
schedule or that future borrowings or another source of liquidity will be available to us u in an amount sufficient to enable us to pay
our obligations, or to