Company: CERO
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001213900-25-044335
Chunk: 107

Company: CERO THERAPEUTICS HOLDINGS, INC.
Filing Date: 2025-05-15
Form: 10-Q
Item: Item 2
Chunk 107
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ations of Rights and Preferences of the Series D Preferred Stock (the “Certificate of
Designations”) for the purpose of designating and establishing the Company’s Series D Preferred Stock. Additional funds are
necessary to maintain current operations and to continue R&D activities. However, there can be no assurance that sufficient funding
will be available to allow the Company to successfully continue its R&D activities and planned regulatory filings with the FDA. If
the Company is unable to obtain the necessary funds, significant reductions in spending and the delay or cancellation of planned activities
may be necessary. These actions would have a material adverse effect on the Company’s business, results of operations, and prospects.
These conditions raise substantial doubt about the Company’s ability to continue as a going concern within one year from the date
these accompanying financial statements are issued. The accompanying financial statements do not include any adjustments relating to the
recoverability and classification of recorded asset amounts or the amounts and classification of liabilities that might result from the
outcome of this uncertainty.

Recent Developments

Reverse Stock Split

At 12:01 a.m. Eastern time
on January 8, 2025, we effected the Reverse Stock Split pursuant to which each 100 shares of our Common Stock outstanding immediately
prior thereto was converted into 1 share of our Common Stock outstanding immediately thereafter.

February 2025 Offering

On February 7, 2025, we closed
our reasonable best efforts public offering, with participation from a member of our board of directors and a single institutional investor,
for the purchase and sale of (i) 2,551,020 shares of Common Stock or common stock equivalents in lieu thereof; and (ii) February 2025
Common Warrants to purchase up to 2,551,020 shares of common stock, at a combined public offering price of $1.96 per share and warrant.
In connection with the offering, on February 5, 2025, we entered into the SPA with the investors. Such transaction is referred to as the
“February 2025 Offering.” The shares of Common Stock and the Warrants described above and the shares of Common Stock underlying
the Warrants were offered pursuant to the Registration Statement on Form S-1 (File No. 333-284007), as amended, which was declared effective
by the Securities and Exchange Commission on February 5, 2025. In connection with this offering, we received net proceeds of approximately
$4.3 million.

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April 2025 PIPE