Company: OCEA
Filing Date: 2025-04-08
Form Type: 10-K
Source: 0001641172-25-003155
Chunk: 2274

Company: Ocean Biomedical, Inc.
Filing Date: 2025-04-08
Form: 10-K
Item: Item 1A
Chunk 2274
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 privileges
more favorable than those of our common stock. Because our decision to issue debt or equity in the future will depend on market conditions
and other factors beyond our control, we cannot predict or estimate the amount, timing, nature or success of our future capital raising
efforts. As a result, future capital raising efforts may reduce the market price of our common stock and warrants and be dilutive to
existing stockholders.

There
can be no assurance that we will be able to comply with the continued listing standards of Nasdaq. Our failure to meet the continued
listing requirements of Nasdaq could result in a delisting of our common stock and warrants.

Following
the Business Combination, our common stock and warrants (other than warrants issued to Second Street Capital, LLC (the “Second
Street Warrants”)) were listed on Nasdaq under the symbols “OCEA” and “OCEAW,” respectively. If we are
not able to comply with the continued listing standard of Nasdaq, we and our stockholders could face significant material adverse consequences
including, but not limited to:

    ●
    a
    limited availability of market quotations for our securities;

    ●
    reduced
    liquidity for our securities;

    ●
    a
    determination that our common stock is a “penny stock,” which will require brokers trading in our common stock to adhere
    to more stringent rules and possibly result in a reduced level of trading activity in the secondary trading market for our common
    stock;

    ●
    a
    limited amount of analyst coverage; and

    ●
    a
    decreased ability to issue additional securities or obtain additional financing in the future.

128

The
National Securities Markets Improvement Act of 1996, which is a federal statute, prevents or preempts the states from regulating the
sale of certain securities, which are referred to as “covered securities.” Since our common stock and warrants are listed
on Nasdaq, they will be covered securities. Although the states are preempted from regulating the sale of our securities, the federal
statute does allow the states to investigate companies if there is a suspicion of fraud, and, if there is a finding of fraudulent activity,
then the states can regulate or bar the sale of covered securities in a particular case. While we are not aware of a state, other than
the state of Idaho, having used these powers to prohibit or restrict the sale of securities issued by blank check companies, certain
state securities regulators view blank