Company: MIRA
Filing Date: 2025-03-28
Form Type: 10-K
Source: 0001641172-25-001183
Chunk: 711

Company: MIRA PHARMACEUTICALS, INC.
Filing Date: 2025-03-28
Form: 10-K
Item: Item 7
Chunk 711
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 offset by $0.02 million of interest income.

Research
and Development Expenses. During the year ended December 31, 2024, we incurred $3.3 million in research and development expenses,
which were primarily related to pre-IND submission work, consultants and stock compensation. During the year ended December 31, 2023,
we incurred $1.6 million in research and development expenses, which were primarily related to initial payments for toxicology studies,
consultants and stock compensation. The increase in research and development expenses during 2024 are related to the IND enabling studies
and submission. Major components of research and development expenses during the year ended December 31, 2024 are as follows:

    R&D
    Category 
    Expense 
  
    R&D
    consultants 
    $0.53
                                            million 
  
    R&D
    research 
    $0.96
                                            million 
  
    R&D
    toxicology 
    $1.72
                                            million 
  
    R&D
    stock compensation 
    $0.10
                                            million 

Liquidity
and Capital Resources

Since
our inception in September 2020, we have financed our operations primarily through an unsecured line of credit with a major shareholder
and an affiliated company and through a private placement of shares of our common stock that occurred during the fourth quarter 2021
and during 2022. We intend to finance our clinical development programs and working capital needs from existing cash, potential new sources
of debt and equity financing, including the proceeds from our completed IPO in August 2023, and through proceeds of an ATM offering.
We may also enter into new licensing and commercial partnership agreements.

60

On
August 12, 2024, the Company filed a shelf registration statement on Form S-3 with the SEC. The terms of any offering under the shelf
registration statement will be established at the time of such offering and will be described in a prospectus supplement filed with the
SEC prior to completion of any such offering

On
April 28, 2023, we entered into a Promissory Note and Loan Agreement with the Bay Shore Trust, a trust established by our founder, and
under which various of his family members are beneficiaries (the “Bay Shore Trust”). Under this Promissory Note and Loan
Agreement (the “Bay Shore Note”), we have the right to borrow up to an aggregate of $5,000,000 from the Bay