Company: XAIR
Filing Date: 2025-06-20
Form Type: 10-K
Source: 0001641172-25-015750
Chunk: 371

Company: Beyond Air, Inc.
Filing Date: 2025-06-20
Form: 10-K
Item: Item 16
Chunk 371
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 into an Option Agreement (the “Option Agreement”) with Pulmonox Technologies
Corporation (“Pulmonox”) whereby BA Ltd. acquired the option (the “Option”) to purchase certain intellectual property
assets and rights. On January 13, 2017, BA Ltd. exercised the Option and paid $0.5 million to Pulmonox. BA Ltd. became obligated to make
certain one-time development and sales milestone payments to Pulmonox, commencing with the date on which BA Ltd. receives regulatory approval
for the commercial sale of the first product candidate qualifying under the Option Agreement. These milestone payments are capped at a
total of $87 million across three separate and distinct indications that fall under the agreement, with the majority of them, approximately
$83 million, being sales-related based on cumulative sales milestones for each of the three products. BA Ltd. is not currently developing
any qualifying products.

On January 31, 2018, the Company entered into an agreement
(the “NitricGen Agreement”) with NitricGen, Inc. (“NitricGen”) to acquire a global, exclusive, transferable license
and associated assets including intellectual property, know-how, trade secrets and confidential information from NitricGen related to
the LungFit®. The Company acquired the licensing right to use the technology and agreed to pay NitricGen a total of $2.0
million in future payments based upon achieving certain milestones, as defined in the NitricGen Agreement, and single-digit royalties
on sales of the LungFit®. The Company paid NitricGen $0.1 million upon the execution of the NitricGen Agreement, $0.1 million
upon achieving the next milestone and $1.5 million in January 2023, six months after approval of the LungFit® by the FDA,
and issued 100,000 warrants to purchase the Company’s common stock valued at $0.3 million upon executing the NitricGen Agreement.
As of March 31, 2025 the remaining future milestone payments total $0.3 million.

Supply Agreement and Purchase Order

In August 2020, the Company entered into a supply
agreement with an initial expiration date of December 31, 2024. The agreement will renew automatically for successive three-year periods
unless and until the Company provides 12 months’ notice of intent not to renew. As of the date of this report, the Company has not
provided such notice. The Company has opened several non