Company: CERO
Filing Date: 2025-08-22
Form Type: 10-Q
Source: 0001213900-25-079898
Chunk: 50

Company: CERO THERAPEUTICS HOLDINGS, INC.
Filing Date: 2025-08-22
Form: 10-Q
Item: Item 1
Chunk 50
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 with this
offering, the Company received net proceeds of approximately $4.2 million, which is net of offering costs and fees of $839,004. During
the three months ended March 31, 2025, 15,000 shares of common stock were purchased upon the closing of the Offering and 91,214 shares
were issued in connection with the exercise of pre-funded warrants, totaling 106,214 shares of its common stock issued of the aggregate
amount of 127,551 Common Stock shares sold. During the three months ended June 30, 2025, 10,550 shares were issued in connection with
the exercise of pre-funded warrants. At June 30, 2025, 10,787 pre-funded warrants remain exercisable.

The
Warrants have an exercise price of $39.20 per share, are immediately exercisable upon stockholder approval and have a term of exercise
equal to five years following the initial exercise date. The exercise price and number of shares of Common Stock issuable upon exercise
is subject to appropriate adjustment in the event of stock dividends, stock splits, reorganizations or similar events affecting the Common
Stock and the exercise price.

In
connection with the Offering, on February 5, 2025, the Company entered into a placement agency agreement (the “Placement Agency
Agreement”) with Alliance Global Partners (“A.G.P.”), as the exclusive placement agent in connection with the Offering
(the “Placement Agent”). Pursuant to a side letter between the Placement Agent and JonesTrading Institutional Services LLC
(“Jones”), dated February 3, 2025, Jones agreed to be a financial advisor for the Offering. In connection with the services
provided by Jones, the Placement Agent and Jones agreed that the Placement Agent will receive an aggregate fee equal to 6% of the gross
proceeds received in the Offering and Jones will receive an aggregate fee equal to 3% of the gross proceeds received in the Offering.
In addition, the Company agreed to reimburse the Placement Agent for its legal fees and expenses and other out-of-pocket expenses in
an amount up to $85,000, non-accountable expenses of up to $25,000 and has agreed to reimburse Jones for all reasonable and documented
out-of-pocket fees and expenses, including but not limited to travel and other out-of-pocket expenses in an amount not to exceed $15,000.

The
Company’s directors and executive officers agreed not to offer, issue, sell, contract