Company: CERO
Filing Date: 2025-11-20
Form Type: 424B3
Source: 0001213900-25-113118
Chunk: 114

Company: CERO THERAPEUTICS HOLDINGS, INC.
Filing Date: 2025-11-20
Form: 424B3
Chunk 114
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 stated value
of an amount equal to the value of the shares of Common Stock into which the Series A Preferred Stock or Series B Preferred Stock would
have been convertible if the conversion price were equal to 80% of the lowest volume weighted average price during the five trading days
immediately prior to conversion. Such penalties and adjustments, which applied during the period when substantially all of the conversions
since the Business Combination occurred as a result of a failure to file and cause the SEC to declare a registration statement with respect
to the resale of the underlying shares in a timely manner, have resulted and may in the future result in the issuance of shares of Common
Stock at an effective conversion price below the trading price of our Common Stock at the time of such conversion.

We cannot assure you that
we will remain in compliance with all of the terms of the Series A Preferred Stock, Series C Preferred Stock, Series D Preferred Stock
or Series E Preferred Stock and that such penalties and adjustments will not apply in the future. In addition, we cannot assure you that
we will not issue additional convertible or other derivative securities with highly dilutive penalty or adjustment provisions. As described
elsewhere in this Quarterly Report, the Company needs to obtain financing to fund its research and development activities and clinical
trials, as well as other operations. Under challenging conditions in the equity capital markets, particularly for pre-commercialization
biotech companies, we may have no viable alternatives to agreeing to inclusion of such provisions in the terms of future financings.

Disruptions at the FDA, the SEC and other government agencies caused by reduction in staffing, funding shortages or global health concerns could hinder their ability to hire and retain key leadership and other personnel, prevent new products and services from being developed or commercialized in a timely manner or otherwise prevent those agencies from performing normal business functions on which the operation of our business may rely, which could negatively impact our business.

The ability of the FDA to review and approve
new products can be affected by a variety of factors, including staffing levels, government budget and funding levels, ability to hire
and retain key personnel and accept the payment of user fees, and statutory, regulatory, and policy changes. Average review times at
the agency have fluctuated in recent years as a result. In addition, government funding of the SEC and other government agencies on which
our operations may rely, including those that fund R&D activities is subject to the political process, which is inherently fluid
and unpredictable. The Trump Administration has issued executive orders seeking to greatly