Company: OCEA
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-011080
Chunk: 84

Company: Ocean Biomedical, Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Item 1
Chunk 84
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19, 2024, related to the principal amount of $0.1 million
and the other entered on May 21, 2024 related to costs and attorneys’ fees incurred in the amount of $0.03 million. Both judgments
accrue interest until paid. The Company has concluded that a loss is probable and has recorded a liability of $0.1 million as of March
31, 2025, within accounts payable and accrued expenses on the consolidated balance sheet.

Entoro Securities LLC v. Ocean Biomedical,
Inc.

In June 2024, Entoro Securities
LLC (“Entoro”) filed an action against the Company in the Superior Court of Delaware. Entoro claims that its subcontractor
introduced the Company to Aesther Healthcare Acquisition Corp. and claims that the Company is obligated to pay Entoro a finder’s
fee as a result of the Business Combination. Entoro seeks a finder’s fee in the amount of $2 million and 4,750,000 shares of the
Company’s common stock. Discovery is underway. Based on the Company’s investigation to date, the Company does not believe
the allegations in the Complaint have merit. The Company has concluded at this time that a loss is not probable nor reasonably estimable,
as such no liability has been recorded as of March 31, 2025.

Meteora Special Opportunity Fund I, LP, et al. v. Ocean Biomedical,
Inc.

On May 22, 2024,
Meteora Special Opportunity Fund I, LP, et al. (comprised of Meteora Special Opportunity Fund I, LP; Meteora Capital Partners, LP; and
Meteora Select Trading Opportunities Master, LP, together “the Plaintiffs”), filed an action against the Company in the Supreme
Court of the State of New York, New York County. The Plaintiffs claim that the Seller VWAP Triggering Event related to the Backstop Agreement
as described in Note 2, Basis of Presentation and Summary of Significant Accounting Policies and Note 3, Business Combination
and Backstop Agreement, occurred on November 3, 2023, when the Company’s stock price traded below $4.00
per share for 30 of the preceding 45 trading days. The Plaintiffs set a Maturity Date for February 2024, at which time the Plaintiffs
allege the entire Maturity Consideration became due and owed to the Plaintiffs in the amount of $6.3