Company: IXHL
Filing Date: 2025-09-29
Form Type: 10-K
Source: 0001213900-25-092837
Chunk: 124

Company: Incannex Healthcare Inc.
Filing Date: 2025-09-29
Form: 10-K
Item: Item 1
Chunk 124
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 or obtain accurate price quotations
for our shares. Delisting would likely also reduce the visibility, liquidity, and value of our common stock, reduce institutional investor
interest in our company, and may increase the volatility of our common stock. Delisting could also cause a loss of confidence of potential
industry partners, lenders, and employees, which could further harm our business and our future prospects.

Unless
our common stock is listed on a national securities exchange, such as Nasdaq, our common stock may also be subject to the regulations
and restrictions regarding trading in “penny stocks,” which are those securities trading for less than $5.00 per share, and
that are not otherwise exempted from the definition of a penny stock under other exemptions provided for in the applicable regulations.
These penny stock requirements and regulations could severely limit the liquidity of our common stock in the secondary market because
fewer brokers or dealers would likely to be willing to undertake related compliance activities to trade in our common stock. If our common
stock is not listed on a national securities exchange, the rules and restrictions regarding penny stock transactions may limit an investor’s
ability to sell to a third-party and our trading activity in the secondary market may be reduced. Delisting from Nasdaq would also likely
limit the range and attractiveness of strategic alternatives that we are able to consider, adversely affect our ability to raise additional
capital through the public or private sale of equity securities, significantly affect the ability of investors to trade our securities,
and/or negatively affect the value and liquidity of our common stock.

We
cannot guarantee that our share repurchase program will be utilized to the full value approved, if at all, or that it will
enhance long-term stockholder value. Any repurchases we consummate could increase the volatility of the price of our common stock and
could have a negative impact on our available cash balance.

Our board of directors authorized
a share repurchase program pursuant to which we may repurchase up to $20 million of our common stock. The manner, timing and
amount of any share repurchases may fluctuate and will be determined by us based on a variety of factors, including the market price of
our common stock, our priorities for the use of cash to support our business operations and plans, general business and market conditions,
tax laws, and alternative investment opportunities. The share repurchase program authorization does not obligate us to acquire
any specific number or dollar value of shares. Further, our share repurchases