Company: BWAY
Filing Date: 2025-04-22
Form Type: 20-F
Source: 0001171843-25-002347
Chunk: 62

Company: Brainsway Ltd.
Filing Date: 2025-04-22
Form: 20-F
Item: Item 5
Chunk 62
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 15-year anniversary
of the first commercial sale (per country) of a product developed on the basis of the agreement, if later for the development, creation,
use, import, offer, and sale of any product or treatment that relates to Deep TMS technology and that is developed on the basis of such
patents or (in the case of the agreement with Yeda) such research. These agreements require us, as a condition to the maintenance of our
license and other rights, to make milestone and royalty payments and satisfy certain performance obligations, including with respect to
manufacturing. If we were to receive a notice of non-compliance under any of these agreements, we would need to either obtain appropriate
waivers and/or cure such non-compliance, which may require us to modify our operations.

The first patent family upon which our Deep TMS
products are based, which is owned by the DHHS (based on an assignment of the related rights from the PHS) and is exclusively in-licensed
to us under a license agreement with the PHS, expired in the U. S. in January 2024, and a divisional patent within this family will expire
in the U. S. in 2026. See “ Business - Intellectual Property. ” While we have secured additional patents which we
believe extend the protection of our products into future years, we cannot be certain that this protection will completely compensate
for the expiration of this underlying patent.

All of the above-described obligations impose significant
financial and logistical burdens upon our ability to carry out our business plan. Furthermore, if we do not meet such obligations in a
timely manner, we could lose the rights to our proprietary technology, which would have a material adverse effect on our business, financial
condition, and results of operations.

In certain cases, we may rely on our licensors to
conduct prosecution, maintenance and/or defense of patents on our behalf. Our ability to ensure that these patents are properly prepared,
prosecuted, maintained, enforced or defended is therefore limited, which may adversely affect our licensed intellectual property rights.
Any failure by our licensors to properly prepare, prosecute, maintain, enforce, and defend patents or other licensed rights could materially
harm our ability to protect our products and prevent infringement of intellectual property rights by competitors, thereby materially reducing
our potential profits.

The key patents
that underlie our Deep TMS technology are subject to the U. S. government’s royalty free usage rights on a worldwide basis for any