Company: NCEL
Filing Date: 2025-03-03
Form Type: F-4/A
Source: 0001213900-25-018981
Chunk: 180

Company: NewcelX Ltd.
Filing Date: 2025-03-03
Form: F-4/A
Chunk 180
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 may be required to pay penalties and refund grants previously received. The combined company’s research and development efforts have been financed in part through royalty -bearinggrants that it received from the Israel Innovation Authority, or the IIA. The combined company is further required to comply with the requirements of the Israeli Encouragement of Industrial Research, Development and Technological Innovation Law, 5744 -1984, as amended, and related regulations, or the Research Law, with respect to those past grants. When a company develops know -how, technology or products using IIA grants, the terms of these grants and the Research Law restrict the transfer or license of such know -how, and the transfer of manufacturing or manufacturing rights of such products, technologies or know -howoutside of Israel, without the prior approval of the IIA. Therefore, the discretionary approval of an IIA committee would be required for any transfer or license to third parties inside or outside of Israel of know how or for the transfer outside of Israel of manufacturing or manufacturing rights related to those aspects of such technologies. The combined company may not receive those approvals. Furthermore, the IIA may impose certain conditions on any arrangement under which it permits the combined company to transfer technology or development. The transfer or license of IIA -supportedtechnology or know -howoutside of Israel and the transfer of manufacturing of IIA -supportedproducts, technology or know -howoutside of Israel may involve the payment of significant amounts, depending upon the value of the transferred or licensed technology or know -how, the combined company’s research and development expenses, the amount of IIA support, the time of completion of the IIA -supportedresearch project and availability of similar services in Israel and other factors. These restrictions and requirements for payment may impair its ability to sell, license or otherwise transfer its technology assets outside of Israel or to outsource or transfer development or manufacturing activities with respect to any product or technology outside of Israel. Furthermore, the consideration available to the combined company’s shareholders in a transaction involving the transfer outside of Israel of technology or know -howdeveloped with IIA funding (such as a merger or similar transaction) may be reduced by any amounts that the combined company are required to pay to the IIA. The combined company may not be able to enforce covenants not-to-compete under current Israeli law that might result in added competition for its products. The combined company have non -competitionagreements with all of its employees, all of which are governed by Israeli law. These agreements prohibit the combined company employees