Company: OCEA
Filing Date: 2025-04-08
Form Type: 10-K
Source: 0001641172-25-003155
Chunk: 2204

Company: Ocean Biomedical, Inc.
Filing Date: 2025-04-08
Form: 10-K
Item: Item 1A
Chunk 2204
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 samples, we do not have any exclusive
arrangements with such sources and there is no guarantee that we will be able to enter into or renew such agreements on commercially
reasonable terms, if at all. If we were unable to enter into or renew such agreements, we would be forced to seek new arrangements with
new hospitals, clinics or health institutions. If so, we may not be able to reach agreements with alternative partners or do so on terms
acceptable to us. If we are unable to enter into such agreements, our research and development activities will be delayed and our ability
to implement a key part of our development strategy will be compromised.

91

We
are a party to sublicense agreements pursuant to which we are obligated to make substantial payments upon achievement of milestone events.
The sublicense agreements may be terminated in their entirety immediately upon notice for failure by us to meet certain milestone events
by certain dates.

We
are a party to various sublicense agreements that are important to our business and to our current and future product candidates. For
example, we sublicense all of the technologies forming our oncology, fibrosis and infectious disease programs from Elkurt, Inc. (“Elkurt”),
a company formed by our scientific co-founders Jack A. Elias, M.D. and Jonathan Kurtis, M.D., Ph.D., both of whom also serve on our board
of directors. Elkurt licenses such technologies from Brown University and Rhode Island University. These agreements contain obligations
that require us to make substantial payments in the event certain milestone events are achieved.

All
of our current product candidates are being developed through sublicense agreements from Elkurt. Our rights to use currently licensed
intellectual property from Elkurt are subject to the continuation of and our compliance with the terms of our sublicense agreements with
Elkurt. In spite of our efforts, Elkurt might conclude that we have materially breached our obligations under one or more of such sublicenses
and might therefore terminate any of such agreements, thereby removing or limiting our ability to develop and commercialize products
and technology covered by these agreements. For example, our sublicense of the FRG Antibody from Elkurt (which licenses such technology
from Brown University on substantially parallel terms) is subject to termination by Elkurt in the event of a default by us that is not
cured within 30 days. If any of our existing sublicense agreements were to be terminated, our business and prospects could be substantially
harmed.

Additionally,
the sublicense agreements may be terminated in their entirety immediately upon notice