Company: NCEL
Filing Date: 2025-03-31
Form Type: F-4/A
Source: 0001213900-25-026428
Chunk: 318

Company: NewcelX Ltd.
Filing Date: 2025-03-31
Form: F-4/A
Chunk 318
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 support our growth strategy and our planned merger with Kadimastem. 2.Reducing Liabilities and Debt — Through targeted initiatives, we have lowered outstanding obligations, strengthening our balance sheet and liquidity position. 3.Optimizing Costs and Workforce Efficiency — We have taken steps to reduce discretionary expenditures, external consulting costs, and overall operational expenses. 4.Focusing Investment on Core R&D — We have prioritized funding for high -impactresearch and development initiatives, ensuring the continued advancement of our key programs. This targeted investment approach allows us to accelerate innovation, optimize resource allocation, and advance programs with the highest potential for clinical and commercial success. We continue to evaluate our R&D pipeline to ensure alignment with long -termstrategic objectives and unmet medical needs. All of the above measures have extended our cash runway and maximized the impact of our available resources, reinforcing our commitment to operational efficiency and long -termvalue creation. As of March28, 2025, our cash position increased by $6,834,341, primarily due to financing activities supporting working capital and general corporate purposes. This increase was driven by equity financings from July1, 2024, through March28, 2025, which generated $6,486,662 in gross proceeds, along with warrant exercises on September16, 2024, and January 2025, contributing an additional $347,679. Total liabilities were reduced by $10,010,431 through several key initiatives. Approximately $2,500,000 of deferred revenue was realized following the termination of the EF License Agreement on August28, 2024, which became effective on September30, 2024. Additionally, $4,000,000 in vendor debt was acquired through a debt purchase agreement with an investor and subsequently converted into preferred shares via an ordinary capital increase. Related party debt holders converted $2,788,650 in obligations into 493,986 common shares, further reducing outstanding liabilities. Lastly, restructuring measures led to a $721,781 reduction in accounts payable, accrued liabilities, and pension obligations, primarily due to lower payments to vendors, reduced bonus accruals, and decreased employee -relatedcosts. As part of our restructuring efforts, we also significantly reduced our reliance on external consultants, phasing out the equivalent of approximately 15 consultancy roles and related expenses by approximately $500,000. These measures have contributed to a leaner, more efficient operating structure, enhancing our financial resilience and improving overall liquidity. The additional financing, reduction of liabilities,