Company: CPMV
Filing Date: 2025-08-19
Form Type: 10-Q
Source: 0001683168-25-006318
Chunk: 24

Company: Mosaic ImmunoEngineering Inc.
Filing Date: 2025-08-19
Form: 10-Q
Item: Part I, Item 1
Chunk 24
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 additional capital to support our
research and development efforts, compensation and related expenses, and hiring additional staff (including clinical, scientific, operational,
financial, and management personnel) and to reduce our current liabilities. Pending our ability to identify new product candidates and
license or acquire those rights, we would expect to incur substantial expenditures in the foreseeable future for the research and development
of new potential product candidates, provided we are able to raise sufficient capital to advance these technologies and technologies under
the Binding Term Sheet, as noted below.

 19 

On July 1, 2024, we entered into a Master Services
Agreement with Oncotelic whereby we perform advisory and related services in connection with studies and projects. During the six months
ended June 30, 2025, we earned $14,000 for advisory and related services which is recorded in other income in the accompanying unaudited
condensed consolidated statements of operations.

On November 18, 2024, we entered into an unsecured
convertible promissory note (“Note Purchase Agreement”) with an accredited investor (“Investor”) for proceeds
of up to $200,000 to be used for general corporate purposes. On December 4, 2024, the Company received $200,000 under the note purchase
agreement and issued an unsecured convertible note bearing interest at a rate of 5% per annum that is due and payable upon closing a financing
of at least $10.0 million or convertible into shares of common stock of the Company, at the sole discretion of the accredited investor.
The number of shares of common stock to be issued, if converted, would be equal to the unpaid principal amount and accrued and unpaid
interest thereon divided by the closing price of our common stock on the date that is one day prior to such election.

We plan to continue to fund losses from operations
and future funding needs through our cash on hand and future potential equity and/or debt offerings. There are a number of uncertainties
associated with our ability to raise additional capital and we have no current arrangements with respect to any additional financing.
If we raise funds from the issuance of equity securities (which will be challenging in light of current market conditions combined with
our limited technologies), substantial dilution to our existing stockholders would likely result. If we raise additional funds by incurring
debt financing (also challenging in light of current market conditions combined with our limited technologies), the terms of the debt
may involve significant cash payment obligations as well as