Company: NCEL
Filing Date: 2025-05-16
Form Type: 20-F
Source: 0001213900-25-044868
Chunk: 135

Company: NewcelX Ltd.
Filing Date: 2025-05-16
Form: 20-F
Item: Item 3
Chunk 135
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, trade secrets can be difficult to protect. The combined
company seeks to protect its proprietary technology and processes, in part, by entering into confidentiality agreements with its
employees, consultants, scientific advisors, and contractors. It also seeks to preserve the integrity and confidentiality of its
data, trade secrets and intellectual property by maintaining physical security of its premises and physical and electronic security
of its information technology systems. Agreements or security measures may be breached, and the combined company may not have
adequate remedies for any breach. In addition, the combined company’s trade secrets and intellectual property may otherwise
become known or be independently discovered by competitors.

The combined company cannot
provide any assurances that its trade secrets and other confidential proprietary information will not be disclosed in violation of its
confidentiality agreements or that competitors will not otherwise gain access to its trade secrets or independently develop substantially
equivalent information and techniques. Also, misappropriation or unauthorized and unavoidable disclosure of its trade secrets and intellectual
property could impair its competitive position and may have a material adverse effect on its business. Additionally, if the steps taken
to maintain its trade secrets and intellectual property are deemed inadequate, it may have insufficient recourse against third parties
for misappropriating any trade secret.

Third parties may initiate legal proceedings
alleging that the combined company is infringing their intellectual property rights, the outcome of which would be uncertain and could
have a material adverse effect on the success of its business.

The combined company’s
commercial success depends upon its ability to develop, manufacture, market and sell its platform technology without infringing the proprietary
rights of third parties. There is considerable intellectual property litigation in the drug substances and product candidates and pharmaceutical
industries. While no such litigation has been brought against it and the combined company has not been held by any court to have infringed
a third party’s intellectual property rights, the combined company cannot guarantee that its technology or use of its technology
does not infringe third-party patents. It is also possible that it has failed to identify relevant third-party patents or applications.
For example, applications filed before November 29, 2000, and certain applications filed after that date that will not be filed outside
the United States remain confidential until patents issue. Patent applications in the United States and elsewhere are published
approximately 18 months after the earliest filing, which is referred to as the priority date. Therefore, patent applications covering
its technology could have been filed by others without its knowledge. Additionally, pending patent applications which