Company: CERO
Filing Date: 2025-11-19
Form Type: 10-Q
Source: 0001213900-25-112619
Chunk: 217

Company: CERO THERAPEUTICS HOLDINGS, INC.
Filing Date: 2025-11-19
Form: 10-Q
Item: Item 8
Chunk 217
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 a mutual option of the Company and certain investors and satisfaction of customary closing conditions.

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The Fifth Securities Purchase
Agreement includes the consent of the holders of the Company’s outstanding Series C and Series D Preferred Stock to the issuance
of the Series E Preferred Stock pari passu therewith, in consideration for the reduction of the conversion price for the Company’s
outstanding Series C and Series D convertible preferred stock to $1.76, effective as of the date of the Fifth Securities Purchase Agreement.

On October 14, 2025, the Company filed the Certificate
of Designations of Rights and Preferences of the Series E Preferred Stock (the “Series E Certificate of Designations”) establishing
and designating 10,000 shares of the Company’s Series E Preferred Stock and establishing the rights, preferences and privileges
of the Series E Preferred Stock, as summarized below:

General. Each share
of Series E Preferred Stock has a stated value of $1,000 per share and, when issued, the Series E Preferred Stock will be fully paid and
non-assessable.

Ranking. The Series
E Preferred Stock, with respect to the payment of dividends, distributions and payments upon the liquidation, dissolution and winding
up of the Company, ranks senior to all capital stock of the Company (except the Series A convertible preferred stock which will rank senior
to the Series E Preferred Stock and except for the Series C convertible preferred stock and Series D convertible preferred stock, which
will rank pari passu to the Series E Preferred Stock) unless the Required Holders (as defined in the Fifth Securities Purchase
Agreement) consent to the creation of other capital stock of the Company that is senior or equal in rank to the Series E Preferred Stock.

Dividends. The holders
of Series E Preferred Stock will be entitled to dividends, on an as-if converted basis, equal to and in the same form as dividends actually
paid on shares of the Common Stock, when and if actually paid.

Purchase Rights.
If at any time the Company grants, issues or sells any options, convertible securities, or rights to purchase stock, warrants, securities
or other property pro rata to all or substantially all of the record holders of any class of Common Stock (the “Series E Purchase
Rights”), then each holder of Series E Preferred Stock will be entitled to acquire, upon the terms applicable to such Series E Purchase
Rights, the aggregate Series E Purchase Rights which such holder could have acquired if such holder had held the number of shares of