Company: AEMD
Filing Date: 2025-04-18
Form Type: DEF 14A
Source: 0001683168-25-002685
Chunk: 23

Company: AETHLON MEDICAL INC
Filing Date: 2025-04-18
Form: DEF 14A
Chunk 23
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 this Proposal 1, the effective increase in the authorized number of shares of our common stock as a result ofthe Reverse Stock Split could have anti-takeover implications. If our stockholders approve this Proposal 1, the implementation of a Reverse Stock Split will result
in an effective increase in the authorized number of shares of our common stock available for issuance (as our authorized number of shares
of common stock will remain at 60,000,000 shares), which could, under certain circumstances, have anti-takeover implications. The additional
shares of common stock that would become available for issuance if this Proposal 1 is approved and a Reverse Stock Split is implemented
could be used by us to oppose a hostile takeover attempt or to delay or prevent changes in control or our management. For example, without
further stockholder approval, the Board of Directors could adopt a “poison pill” which would, under certain circumstances
related to an acquisition of our securities that is not approved by the Board of Directors, give certain holders the right to acquire
additional shares of our common stock at a low price. The Board of Directors also could strategically sell shares of common stock in a
private transaction to purchasers who would oppose a takeover or favor the current Board of Directors. Although this Proposal 1 has been
prompted by business and financial considerations and not by the threat of any hostile takeover attempt (nor is the Board of Directors
currently aware of any such attempts directed at us), stockholders should be aware that approval of this Proposal 1 could facilitate future
efforts by us to deter or prevent changes in control, including transactions in which the stockholders might otherwise receive a premium
for their shares over then current market prices.

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Effects of Reverse Stock Split

After the effective time of a Reverse Stock Split
(if approved by the stockholders and implemented by our Board of Directors), each stockholder will own a reduced number of shares of common
stock as compared to immediately prior to the effective time of the Reverse Stock Split. However, any Reverse Stock Split that is implemented
by our Board of Directors would affect all of our stockholders uniformly and would not affect any stockholder’s percentage ownership
interests in the Company, except for adjustments that may result from the treatment of fractional shares as described below. Voting rights
and other rights and preferences of the holders of our common stock will not be affected by a Reverse Stock Split (other than for adjustments
that may result from the treatment of fractional shares as described below). For