Company: CPMV
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001683168-25-002584
Chunk: 113

Company: Mosaic ImmunoEngineering Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 1
Chunk 113
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 rights to Oncotelic’s
clinical stage necroptosis cancer therapies associated with its vascular disruptive agents (“VDAs”) and related regulatory
and clinical packages, and (ii) non-exclusive access to its proprietary Artificial Intelligence (“AI”) technologies for identifying
immunotherapy combinations, in exchange for the issuance of shares of our common stock valued at $15.0 million upon execution of the definitive
agreement (representing 47,923,322 shares of our common stock), or a combination of common stock and preferred stock to be determined
by the parties, along with additional milestones allowing Oncotelic to earn up to an additional $15.0 million in shares of common stock
that would be valued at the time of issuance, if earned. Pursuant to the Binding Term Sheet, we and Oncotelic agreed to negotiate in good
faith towards the execution of a definitive agreement and the closing of the transaction by June 30, 2025, as amended, which is subject
to customary due diligence and other conditions, including us obtaining shareholder approval for the transaction and receiving waivers
from our holders of Convertible Notes representing at least 90% of the principal amount outstanding from any payment that would become
due and payable upon a corporate transaction as contemplated under the Binding Term Sheet (see Note 7).

In addition, under the Binding Term Sheet, (i) we
will continue the development work necessary to achieve the mutually agreed upon milestones upon the requisite funding, (ii) Oncotelic
will provide a loan to us to cover certain operational costs of the Company through June 1, 2024, (iii) Oncotelic will assist the Company
in potentially raising initial funding to support the technologies of $2 million, and (iv) in the event the Company is unable to raise
the requisite funding, then the transaction may proceed to a reverse acquisition/merger, with conditions typical of such a transaction.

If we enter into a definitive agreement under the
terms of the Binding Term Sheet, our present stockholders will experience immediate substantial dilution and will not have control of
our majority voting securities. In addition, if we do not receive shareholder approval for a possible transaction by Juen 30, 2025, as
amended, we may not be able to enter into a definitive agreement with Oncotelic, and we may need to cease our operations altogether. Currently,
we and Oncotelic are continuing to pursue a potential transaction under the Binding Term Sheet although there are no guarantees we