Company: IMNN
Filing Date: 2025-06-09
Form Type: DEF 14A
Source: 0001641172-25-014324
Chunk: 48

Company: Imunon, Inc.
Filing Date: 2025-06-09
Form: DEF 14A
Chunk 48
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daq Listing Rule 5635 requires that a listed company seek stockholder approval in certain circumstances, including prior to the issuance, in a transaction other than a public offering, of 20% or more of the company’s outstanding common stock or voting power outstanding before the issuance at a price that is less than the lower of (i) the Nasdaq Official Closing Price (as reflected on Nasdaq.com) immediately preceding the signing of the binding agreement in connection with such transaction, or (ii) the average Nasdaq Official Closing Price of the common stock (as reflected on Nasdaq.com) for the five trading days immediately preceding the signing of such binding agreement (the “Minimum Price”).

Reasons for the Private Placement

As of March 31, 2025 and December 31, 2024, we had cash and cash equivalents of $2.9 million and $5.9 million, respectively. We previously received a delisting notice from Nasdaq, as we are not in compliance with certain listing requirements. On May 29, 2025, the Company appealed the Nasdaq staff’s determination to a Nasdaq Hearings Panel, which will stay the delisting and suspension of the Company’s common stock pending a decision by the Nasdaq Hearings Panel. There can be no assurance that our request for continued listing will be granted. We believe that the Private Placement, which yielded gross proceeds of approximately $3.25 million, was necessary in light of our cash and funding requirements at the time. In addition, at the time of the Private Placement, our Board considered numerous other alternatives to the transaction, none of which proved to be feasible or, in the opinion of our Board, would have resulted in aggregate terms equivalent to, or more favorable than, the terms obtained in the Private Placement.

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The Purchase Agreement

The Purchase Agreement contains representations and warranties of us and the institutional and accredited investors, which are typical for transactions of this type. In addition, the Purchase Agreement contains customary covenants on our part that are typical for transactions of this type, including the following (each as set forth more fully in the Purchase Agreement):

| ● | We                                                                                          
 agreed not to effect or agree to effect any variable rate transactions until one year after 
 the effective date of the Registration Statement, subject to certain exceptions;            |

| ● | We                                                                                            
 agreed not to issue any shares of common stock or common stock equivalents or to file any     
 other registration statement with the SEC (in each case, subject to certain exceptions