Company: NCEL
Filing Date: 2025-05-16
Form Type: 20-F
Source: 0001213900-25-044868
Chunk: 269

Company: NewcelX Ltd.
Filing Date: 2025-05-16
Form: 20-F
Item: Item 4
Chunk 269
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000 for the option exclusivity and $170,000 upon execution of the definitive agreement to exercise the option for the
License Agreement, of which $40,000 was paid in cash and the remaining $130,000 was paid in 23,028 common shares. In addition, Aexon
will receive 15% of all proceeds earned by us in any future sub-licensing agreements. We must also make royalty payments to
Aexon upon the occurrence of certain milestones. Such payments upon the occurrence of milestones contemplated in the License
Agreement range from $100,000 to $300,000, in addition to percentage royalty payments ranging from 5% to 15% which may decrease or
increase up to 30% if we challenge the validity of the patents under the agreement, depending on the result of such challenge.
Further, pursuant to the License Agreement, we agreed to pay Aexon a percentage of license fees, milestones and royalties received
from sublicensees, ranging between 5% and 15% which may decrease or increase up to 30% if we challenge the validity of the patents
under the agreement, depending on the result of such challenge. In January 2025 through April 2025, we paid $50,000 in consideration
for 50% of the proof of concept first milestone under the License Agreement.

Debt Conversion

During
the month of October 2024, we entered into Debt Forgiveness Agreements with certain lenders, including Alexander Zwyer, Ronald
Hafner, Eric Konofal, Florence Allouche Aknin, Audrey Greenberg and Gian-Marco Rinaldi, or the Lenders, pursuant to which the
Company issued an aggregate of 493,986 common shares, par value CHF 0.80 per share, or the Common Shares, of the Company, at a
conversion price of $5.65 (rounded) per share, in full satisfaction of an aggregate amount of CHF 2,089,945 ($2,296,643) and
$492,007 in loans and advances previously provided to the Company by the Lenders, or collectively, the Loan Agreements described
under “ - Shareholders and Officer and Director Loans” above. This conversion was facilitated through an ordinary capital increase, providing the necessary shares for the debt holders, and was recorded
at fair market value with no gain or loss recognized in the statement of operations.

October
2024 Financings

On
October