Company: OCEA
Filing Date: 2025-04-08
Form Type: 10-K
Source: 0001641172-25-003155
Chunk: 14

Company: Ocean Biomedical, Inc.
Filing Date: 2025-04-08
Form: 10-K
Item: Item 1B
Chunk 14
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, 2024 and 2023, we had an accumulated deficit of $205.5 million and $196.1 million, respectively. Our
current liabilities are $33.9 million and $30.0 million as of December 31, 2024 and 2023, respectively. The current liabilities
consisted of accrued expenses including transaction costs, accounting and legal fees, accrued research and development costs, and short-term
loans. We expect that our expense and capital requirements will increase substantially in connection with ongoing activities to commercialize
our products in the future.

We
expect to continue to generate operating losses for the foreseeable future. Our future viability is dependent on the success of our research
and development and our ability to access additional capital to fund our operations. There can be no assurance that our current operating
plan will be achieved or that additional funding will be available on terms acceptable to us, or at all.

We
are subject to risks and uncertainties common to early-stage companies in the biotechnology industry including, but not limited to, new
technological innovations, protection of proprietary technology, dependence on key personnel, compliance with government regulations,
and the ability to obtain additional capital to fund operations. Our therapeutic products will require significant additional research
and development efforts, including preclinical and clinical testing and regulatory approval prior to commercialization. These efforts
require additional capital, adequate personnel and extensive compliance reporting capabilities. There can be no assurance that our research
and development will be successfully completed, that adequate protection for our intellectual property will be obtained, that any products
developed will obtain necessary government regulatory approval, or that any approved products will be commercially viable.

139

In
January 2019, we formed three wholly-owned subsidiaries of Legacy Ocean. In February 2021, we formed a fourth wholly-owned subsidiary.
The subsidiaries were formed to organize our therapeutic programs in order to optimize multiple commercialization options and to maximize
each program’s value. We anticipate that additional subsidiaries will also be formed in connection with future programs to provide
attractive economic upside to our partners at research universities and medical centers. Our license agreements with Brown University
and Rhode Island Hospital are licensed or sublicensed directly or indirectly, to the following subsidiaries:

    ●
    Ocean
    ChitofibroRx Inc. (January 15, 2019)—Fibrosis program (one license with Elkurt/ Brown University);

    ●
    Ocean
    ChitoRx Inc (January 15, 2019