Company: NCEL
Filing Date: 2025-03-10
Form Type: 425
Source: 0001213900-25-021979
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Company: NewcelX Ltd.
Filing Date: 2025-03-10
Form: 425
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NASDAQ: NLSP), a Swiss clinical-stage biopharmaceutical company focused on developing
innovative therapies for central nervous system (CNS) disorders, today issued a letter to its shareholders.

Dear Shareholders,

We are thrilled to share the significant progress
and strategic milestones NLS Pharmaceutics has achieved, positioning our company for a transformative future in the biotechnology sector.

Strategic Merger with Kadimastem

In November 2024, we announced a definitive merger agreement with Kadimastem
Ltd. (TASE: KDST) (“Kadimastem”), a clinical-stage cell therapy company specializing in “off-the-shelf” allogeneic
cell products for neurodegenerative diseases and diabetes. This merger aims to create a Nasdaq-traded biotechnology company with a robust
portfolio of advanced therapies. Both companies’ boards of directors have unanimously approved the transaction, with Kadimastem’s
shareholders recently voting in favor and NLS major shareholders holding approximately 40% of NLSs’ common shares having signed
support letters for the NLS shareholders’ meeting to be convened soon. We currently anticipate closing the merger in the second
quarter of 2025, pending effectiveness of NLSs’ pending registration statement filed with the Securities and Exchange Commission
(“SEC”), Nasdaq approval, NLSs’ shareholders’ approval and customary closing conditions.

Regulatory Filings and Approvals

We filed a Registration Statement on Form F-4
and subsequent amendment with the SEC, detailing the proposed merger with Kadimastem. This filing is a necessary step toward finalizing
the merger and creating a combined entity focused on innovative therapies. In addition, we have submitted an application to list
the merged company on Nasdaq under the name of “NucelX Ltd.”, with the future ticker of NCEL.

Advancements in Diabetes Treatment

In collaboration with iTolerance Inc., Kadimastem
has successfully completed a pre-Investigational New Drug (“pre-IND”) meeting with the U.S. Food and Drug Administration (“FDA”)
for iTOL-102, a potential breakthrough therapy for Type 1 Diabetes. This innovative approach combines Kadimastem’s IsletRx cells
with iTolerance’s immunomodulator, aiming to cure Type 1 Diabetes without the need for lifelong immune suppression.

The diabetes treatment landscape has
experienced significant growth, underscored by notable mergers and acquisitions. For instance, Novo Nordisk’s acquisition