Company: NCEL
Filing Date: 2025-05-16
Form Type: 20-F
Source: 0001213900-25-044868
Chunk: 366

Company: NewcelX Ltd.
Filing Date: 2025-05-16
Form: 20-F
Item: Item 19
Chunk 366
---
 of $2.5million, consisting of the fixed upfront payment determined to be an advance on the License Performance Obligation. Upon
execution of the EF License Agreement, variable consideration consisting of milestone payments had been constrained and excluded from
the transaction price given the significant uncertainty of achievement of the development and regulatory milestones. As a result, the
Company allocated the transaction price entirely to a single License Performance Obligation and recorded $2.5million as deferred revenue,
which would have been recognized when the development services of Nolazol were completed, and the product candidate received applicable
regulatory approval in Latin America that allowed Eurofarma to commence commercialization of Nolazol in accordance with the EF License
Agreement.

On August 28, 2024, the Company agreed with Eurofarma
to terminate the EF License Agreement effective September 30, 2024. Neither party has any claims against the other in relation to the
EF License Agreement and its termination. As of December 31, 2024, the Company recognized $2.5million from its exclusive license agreement
(the “ EF License Agreement”) in the Statements of Operations and Comprehensive loss as Other income for termination of EF
License Agreement.

Note 8

Pension Liability:

The Company joined a collective pension plan operated
by an insurance company as of 2016 which covers the employees in Switzerland.

Both the Company and the participants provide
monthly contributions to the pension plan which are based on the covered salary. The respective saving parts of premiums are credited
to employees’ accounts. In addition, interest is credited to employees’ accounts at the rate provided in the plan. The pension
plan provides for retirement benefits as well as benefits on long-term disability and death.

The following table provides information on the
pension plan for the years ended December 31, 2024, 2023 and 2022:

                                                         2024                    2023                    2022                
 ─────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────
  Service cost                                           $           69,716      $           53,920      $           39,667  
  Interest cost                                                      24,375                  14,416                   2,743  
  Expected return on assets                                        ( 32,364                ( 14,767                ( 12,196  
  Effect of settlement, curtailment, plan amendment                ( 44,236                       -                ( 72,600