Company: CERO
Filing Date: 2025-02-07
Form Type: 424B3
Source: 0001213900-25-011071
Chunk: 366

Company: CERO THERAPEUTICS HOLDINGS, INC.
Filing Date: 2025-02-07
Form: 424B3
Chunk 366
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 Agreement”), by and among the Company,
PBCE Merger Sub, Inc., a Delaware corporation (“Merger Sub”), and CERo. Immediately after the merger, the Company changed
its name from Phoenix Biotech Acquisition Corporation to CERo Therapeutics Holdings, Inc.

<div align='center'>F-33

PHOENIX BIOTECH ACQUISITION CORP.

NOTES TO FINANCIAL STATEMENTS

DECEMBER 31, 2023</div>

At the effective time (the “Effective Time”)
of the of the merger between Merger Sub and CERo (the “Business Combination”), (i) each outstanding share of CERo common
stock, par value $0.0001 per share (the “CERo common stock”), will be cancelled and converted into (a) the right to
receive a number of shares of Class A common stock, par value $0.0001 per share (“Class A common stock”), equal
to $50,000,000, minus the Aggregate Liquidation Preference (as defined in the Business Combination Agreement), divided by
the Fully Diluted Company Capitalization (as defined in the Business Combination Agreement), divided by $10.00 (the
“Exchange Ratio”) and (b) the right to receive a portion of up to 2,200,000 additional shares of Class A common
stock if certain trading price hurdles are achieved or a Change of Control (as defined in the Business Combination Agreement) occurs
within four years after the Closing (“Earnout Shares”); (ii) each outstanding option to purchase CERo common stock (each,
a “CERo option”) will be converted into an option to purchase a number of shares of Class A common stock, equal to (A) the
number of shares of CERo common stock subject to such option immediately prior to the Effective Time, multiplied by
(B) the Exchange Ratio, at an exercise price per share equal to the current exercise price per share for such option divided by
the Exchange Ratio; in each case, rounded down to the nearest whole share, and rounded up to the nearest whole cent in the case of the
exercise price of the CERo options; (iii) each outstanding share of CERo preferred stock, par value $0.0001 per share (the “CERo
preferred stock”), will be converted into a number of shares of Class A common stock, equal to the number of shares of Class A