Company: CERO
Filing Date: 2025-05-07
Form Type: DEF 14A
Source: 0001213900-25-040263
Chunk: 37

Company: CERO THERAPEUTICS HOLDINGS, INC.
Filing Date: 2025-05-07
Form: DEF 14A
Chunk 37
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 this Proposal If this proposal is approved, existing stockholders will suffer dilution in ownership interests and voting rights as a result of the issuance of shares of Common Stock upon the exercise of the February 2025 Common Warrants. Assuming the issuance of all shares of Common Stock upon the exercise of all of the Pre -FundedWarrants and February 2025 Common Warrants, the February 2025 Investors would own approximately 5,102,040shares of Common Stock, assuming continued ownership of the shares of Common Stock acquired thereby in the February 2025 Registered Direct Offering and/or pursuant to exercises of Pre -FundedWarrants. Such shares would constitute approximately 36.6% of the then -CommonStock after the issuance of such shares. The ownership interest of the existing stockholders (other than the February 2025 Investors) would be correspondingly reduced. The number of shares of Common Stock described above does not give effect to any other potential future issuances of Common Stock. The sale into the public market of these shares also could materially and adversely affect the market price of the Common Stock. If this proposal is approved, the issuance of the Common Stock could have an anti -takeovereffect because such issuance would make it more difficult for, or discourage an attempt by, a party to obtain control of the Company by tender offer or other means. The issuance of the Common Stock will increase the number of shares entitled to vote, increase the number of votes required to approve a change of control of the Company, and dilute the interest of a party attempting to obtain control of the Company. The Board does not have any current knowledge of any effort by any third party to accumulate the Company’s securities or obtain control of the Company by any means. If this proposal is not approved, the February 2025 Investors will not be able to vote or exercise the February 2025 Common Warrants. The Company may be unable to obtain alternative financing, which would prevent the Company from having sufficient resources to fund its operations. As a result, the Company may be required to liquidate or seek bankruptcy protection. Additionally, if stockholders do not approve this proposal at the Annual Meeting, the Company would have to include a proposal to approve this proposal at a subsequent meeting of stockholders. In the event that stockholder approval is not obtained at such subsequent meeting, the Company must cause additional meetings of stockholders to be held semi -annuallythereafter until such approval is obtained. The Company would bear the costs associated with including this proposal for stockholder