Company: NCEL
Filing Date: 2025-07-18
Form Type: F-4/A
Source: 0001213900-25-065783
Chunk: 261

Company: NewcelX Ltd.
Filing Date: 2025-07-18
Form: F-4/A
Chunk 261
---
 in consideration for employees’ service inventions. As a result, the combined company could be required to pay additional remuneration or royalties to its current and/or former employees, or be forced to litigate such claims, which could negatively affect the combined company’s business. The combined company received Israeli government grants for certain of its research and development activities, the terms of which may require it to pay royalties and to satisfy specified conditions in order to manufacture products and transfer technologies outside of Israel. If the combined company fails to satisfy these conditions, it 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