Company: NCEL
Filing Date: 2025-05-16
Form Type: 20-F
Source: 0001213900-25-044868
Chunk: 82

Company: NewcelX Ltd.
Filing Date: 2025-05-16
Form: 20-F
Item: Item 3
Chunk 82
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 completing these
activities could adversely impact us. Management of Kadimastem plans to seek additional equity financing through private and public
offerings or strategic partnerships and, in the longer term, by generating revenues from product sales. Kadimastem has incurred
losses in each year since its inception. Kadimastem’s net loss attributable to holders of ordinary shares of Kadimastem, no
par value, or Kadimastem Ordinary Shares, for the years ended December 31, 2024 and 2023 were $7.2 million and
$3.3 million, respectively. Substantially all of Kadimastem’s operating losses resulted from costs incurred in connection
with Kadimastem’s development program and from general and administrative costs associated with Kadimastem’s
operations.

Until Kadimastem can generate significant
revenues, if ever, it expects to satisfy Kadimastem’s future cash needs through debt or equity financing. It cannot be certain that
additional funding will be available to it on acceptable terms, if at all. If funds are not available, Kadimastem may be required to delay,
reduce the scope of, or eliminate research or development plans for, or commercialization efforts with respect to Kadimastem’s products.

Kadimastem expects its research
and development expenses to increase in connection with its planned expanded clinical trials. In addition, if Kadimastem obtains marketing
approval for AstroRx®and/or IsletRx or any other current or future product candidate, it will likely incur significant
sales, marketing and outsourced manufacturing expenses, as well as continued research and development expenses. Furthermore, in the period
following this annual report, it expects to incur additional costs associated with operating as a public company, which Kadimastem estimates
will be at least several hundred thousand dollars annually. As a result, Kadimastem expects to continue to incur significant and increasing
operating losses for the foreseeable future. Because of the numerous risks and uncertainties associated with developing pharmaceutical
products, Kadimastem is unable to predict the extent of any future losses or when it will become profitable, if at all.

Furthermore, in addition to
such operating expenses, Kadimastem expects to incur additional costs associated with operating as a public company subject to the rules
and regulations of the SEC, which it estimates will be at least one million dollars annually. As a result, Kadimastem expects to continue
to incur significant and