Company: NCEL
Filing Date: 2025-05-16
Form Type: 20-F
Source: 0001213900-25-044868
Chunk: 150

Company: NewcelX Ltd.
Filing Date: 2025-05-16
Form: 20-F
Item: Item 4
Chunk 150
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restrictions, the Company may under certain circumstances provide information to and engage in discussions or negotiations with
third parties with respect to an acquisition proposal that the Board determines in good faith, after consultation with its financial
advisor and outside legal counsel, constitutes or is reasonably likely to constitute or lead to a Parent Superior Proposal (as
defined in the Merger Agreement). In addition, the Board is permitted, subject to the terms and conditions set forth in the Merger
Agreement, to make a Parent Adverse Recommendation Change (as defined in the Merger Agreement).

The Merger Agreement contains
customary termination rights for each of the Company and Kadimastem. On January 30, 2025, the Merger Agreement was amended such that the
amended Merger Agreement includes the right of the Company and Kadimastem to terminate the Merger Agreement if the Closing shall not have
occurred on or before April 30, 2025, which outside date can be further extended by mutual agreement. On May 5, 2025, the Merger Agreement
was further amended to further extend the outside date to June 30, 2025. The Merger Agreement also provides that the Company shall pay
to Kadimastem a termination fee of $10,000,000 plus the Company Operating Expenses (as defined in the Merger Agreement), up to a maximum
of $250,000 per month beginning July 28, 2024, and the Transaction Expenses (as defined in the Merger Agreement) if the Company terminates
the Merger Agreement prior to obtaining the Parent Requisite Vote (as defined in the Merger Agreement) to enter into a definitive agreement
providing for a Parent Superior Proposal (as defined in the Merger Agreement) in accordance with terms of the Merger Agreement.

For a more comprehensive discussion
of the risks related to the Merger, please see under the section “ Risk Factors - Risks Related to the Merger.”

Contingent Value Right
Agreement

Prior to the Closing, the
Company will enter into the CVR Agreement with VStock Transfer, LLC, which will govern the terms of the CVRs. Each CVR will represent
the right to additional payments based on the proceeds, subject to certain adjustments, received by the Company from the disposition of
the Legacy Assets.

The right to the CVRs as evidenced
by the CVR Agreement is a contractual right only and will not be transferable, except in the limited circumstances