Company: RVRC
Filing Date: 2025-08-13
Form Type: S-1/A
Source: 0001213900-25-075747
Chunk: 200

Company: Revium Rx.
Filing Date: 2025-08-13
Form: S-1/A
Chunk 200
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REVIUM RX.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

U.S. dollars in thousands

NOTE 3 – ACQUISITION

The Company accounted for the following
transaction as a business combination and allocated the purchase consideration to assets acquired and liabilities assumed based on their
estimated fair values.

On November 14, 2023, the Company entered
into the Stock Exchange Agreement (the “Share Exchange Agreement”) with Predecessor.(formerly known as LipoVac Ltd), an Israeli
company (“LipoVation”) and the shareholders of Predecessor pursuant to which the former shareholders of LipoVation have agreed
to contribute all of their shareholdings in Predecessor in exchange for the right to receive shares of the Company’s common stock.
On July 23, 2024, the transactions contemplated under the Stock Exchange Agreement were closed and as a result Predecessor became a wholly
owned subsidiary of the Company.

In consideration for the contribution
of all of their shareholdings in Predecessor to the Company, the Company issued to the former Predecessor shareholders an aggregate of
23,171,642 restricted shares of the Company’s common stock, representing 40% of the outstanding shares of the Company immediately
following the closing.

The company has calculated the fair
value of the Consideration shares based on the price of transactions close to the acquisition date. The Company didn’t use quoted
market prices of Revium RX due to the negligible volume of trading in its shares with no records of trading close to the transaction date.

Revium RX is a public company whose
common stock is listed on the over the counter market in the U.S. (OTC Market LLC) and due to the negligible volume of trading in its
shares management does not believe the share price on the OTC Market is an appropriate basis to determine the value of the consideration
shares. The Predecessor is a private company with no quoted price available for its shares. The transaction occurred between a willing
buyer and a willing seller and the merger ratio reflects the relative fair values of both of the companies (the buyer) and the acquired
company. Management has determined to evaluate the fair value of the consideration based on the fair value of Predecessor from a private
placement transaction.

The Company allocated the purchase
price to tangible and identified intangible assets acquired and liabilities assumed based on their fair values, which were determined
using generally accepted valuation techniques based on estimates and assumptions made by management.