Company: NCEL
Filing Date: 2025-06-09
Form Type: F-4/A
Source: 0001213900-25-052354
Chunk: 768

Company: NewcelX Ltd.
Filing Date: 2025-06-09
Form: F-4/A
Chunk 768
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 the adjustment to the lease payments comes into effect). 3. Lease extension and termination options A non -cancellablelease term includes both the periods that are covered by an option to extend the lease, when it is reasonably certain that the option will be exercised, and the periods that are covered by an option to terminate the lease, when it is reasonably certain that the termination option will not be exercised. In the event that there is a change in the likelihood of exercising an extension option or the expected non -exerciseof the lease termination option, the Company remeasures the outstanding lease liability in accordance with the updated lease period, according to the updated discount rate on the day of the change in the likelihood, and the total change is credited to the balance of the right -of-useasset until it is zeroed and then, to profit or loss. In each reporting period, the Company’s management examines the likelihood of exercising an extension option and updates the aforementioned leases’ amortization schedules accordingly. According to the Company’s assessment, no extension option will be exercised. 4. Subleases In transactions where the Company leases an underlying asset (the “primary lease”) and subsequently subleases such underlying asset to a third party (the “sublease”), the Company assesses whether all the risks and rewards associated with ownership of the right -of-useasset have been transferred. This assessment includes, inter alia, an evaluation of the sublease term relative to the useful life of the right -of-useasset arising from the primary lease.

Annex G-10

KADIMASTEM LTD.
NOTES TO FINANCIAL STATEMENTS NOTE 2: — ACCOUNTING POLICIES (cont.) If all the risks and rewards of ownership of the right -of-useasset have been substantially transferred, the sublease is classified as a finance lease, otherwise it is classified as an operating lease. In the sublease entered into during the year, the risks and rewards were not transferred to the third party, therefore the accounting treatment was a reduction of lease expenses rather than classification as a financing lease. F. Property and equipment Property and equipment are presented at cost, including direct purchase costs, and less accumulated depreciation and accumulated impairment losses, and do not include current maintenance expenses. Depreciation is calculated at equal annual rates based on the straight -linemethod throughout the asset’s useful life, as follows:

|                                     |     |         % |     | Mainly % |
| Laboratory equipment and clean room |     |        15 |     |          |