Company: NCEL
Filing Date: 2025-06-09
Form Type: F-4/A
Source: 0001213900-25-052354
Chunk: 274

Company: NewcelX Ltd.
Filing Date: 2025-06-09
Form: F-4/A
Chunk 274
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 single product or market. •Geographic Diversification: Operating in diverse regions mitigates exposure to regional downturns. •Customer Base Expansion: Broadening the customer base reduces reliance on a few key clients. •Risks •Complexity in Managing Multiple Markets: Different regulatory requirements, economic conditions, and customer behaviors could create challenges. •Brand Positioning Conflicts: If the companies have different brand identities, customers may struggle to understand the new value proposition and or story. •Risk Concentration in Certain Markets: If the Merger does not achieve its intended diversification, the combined company may become overexposed to certain high -riskareas. Cultural and Vision Alignment •Advantages •Shared Mission: Aligning strategic goals unifies purpose. •Cultural Compatibility: A strong cultural fit is expected to ensure smoother integration and employee retention. •Risks •Loss of Corporate Identity: If one company’s culture dominates, employees of the other company may feel marginalized. •Employee Resistance: Resistance to change may lead to decreased productivity and engagement. •Leadership Clashes: Differences in leadership style and decision -makingprocesses could create friction at the executive level. Access to Resources •Advantages •Capital and Financing: Greater financial resources facilitate investment in growth areas. •Intellectual Property (IP): Combining IP assets strengthens competitive positioning. •Talent Pool: Retaining top talent enhances operational capabilities. •Risks •Overestimated Resource Availability: Anticipated capital, talent retention, or IP benefits may not fully materialize. •Debt Accumulation: If the Merger involves significant debt financing, it could strain financial stability. •Regulatory Barriers: Accessing new markets or intellectual property may require additional compliance efforts. The NLS Board and its legal advisors conducted a comprehensive review of strategic alternatives, including remaining a standalone company, liquidation, dissolution, and other strategic transactions. After thorough consideration, the NLS Board determined that the Merger provided greater value to NLS’s shareholders than any other alternatives. Following arm’s -lengthnegotiations, the NLS Board believes the Merger Agreement’s terms, including the Exchange Ratio, are 133 the most favorable achievable under the circumstances. In evaluating and approving the Merger Agreement and the transactions contemplated thereby, the Board considered a variety of factors, including the potential benefits and risks associated with the Merger. The Board did not assign relative or specific weights to the individual factors considered, and no single factor was determinative or outweighed any other factors in its decision. The decision of the Board