Company: SVREW
Filing Date: 2025-03-21
Form Type: 20-F
Source: 0001013762-25-001028
Chunk: 68

Company: SaverOne 2014 Ltd.
Filing Date: 2025-03-21
Form: 20-F
Item: Item 4
Chunk 68
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 mode of mobile communication devices or an event related to the communication between them      N/A                   Pending         N/A         

Research
and Development

Our
investment in research and development is critical to driving our future growth. We expended approximately NIS 19.4 (approximately
$5.3 million) on research and development in 2024, NIS 22.9 million (approximately $6.3 million) in 2023, and NIS 21.5
million (approximately $6.1 million) in 2022. Our investment in research and development reflects the following: internal research
and development programs, pilot programs, engineering efforts that incorporate customer feedback into continuous improvement efforts
for our products.

Our
research and development expenses consist primarily of salaries and related expenses, materials and subcontractors, regulation and quality
assurance, rent and maintenance and other related research and development expenses, net of grants from the IIA.

Our
research and development expenses are highly dependent on the development phases of our products associated with our development projects
and therefore may fluctuate highly from quarter to quarter.

Grants
from the Israel Innovation Authority and the Israeli Ministry of Economy (MOE)

Our
research and development efforts are financed in part through royalty-bearing grants from the Israeli Innovations Authority, or the IIA.
As of December 31, 2024, we have received the aggregate amount of NIS 1.7 million (approximately $0.5 million) from the IIA for the development
of our technology. With respect to such grants, we are committed to pay certain royalties up to the total grant amount. Regardless of
any royalty payment, we are further required to comply with the requirements of the Research Law, with respect to those past grants.
When a company develops know-how, technology or products using IIA grants, the terms of these grants and the Research Law restrict the
transfer of such know-how, and the transfer of manufacturing or manufacturing rights of such products, technologies or know-how outside
of Israel, without the prior approval of the IIA. We do not believe that these requirements will materially restrict us in any way.

We
have also received a grant from the MOE with respect to certain consulting and marketing activities conducted outside of Israel. For
information, see Note 11b to our audited financial statements included elsewhere in this Annual Report on Form 20-F.

Employees

As
of date of this report, we employed or engaged approximately 50 employees and contractors,