Company: OCEA
Filing Date: 2025-04-08
Form Type: 10-K
Source: 0001641172-25-003155
Chunk: 542

Company: Ocean Biomedical, Inc.
Filing Date: 2025-04-08
Form: 10-K
Item: Item 4
Chunk 542
---
 a
subscription agreement pursuant to which Polar purchased 1,350,000 newly issued shares of our common stock at a per share purchase price
of approximately $10.56 and an aggregate purchase price of $14.3 million (the “Polar Subscription”). Under the Backstop Agreement,
the Additional Shares are subject to the same terms as the Recycled Shares, including with regard to repayment and repurchase as described
below.

From
time to time, each Backstop Party, in its discretion, may declare an early termination of the Backstop Agreement with regard to all or
a portion of the Recycled Shares and Additional Shares (such shares “Terminated Shares”) and remit to us, no later than the
later of (i) the third local business day following the date the shares become Terminated Shares and (ii) the last day of each calendar
quarter after the date the shares become terminated shares, an amount equal to the number of Terminated Shares multiplied by a price
(the “Reset Price”) that adjusts on the first scheduled trading day of each month to be the lowest of (a) the then-current
Reset Price, (b) the per share redemption price of $10.56 and (c) the VWAP for the last ten trading days of the prior month, but in no
case less than $10.34.

142

Under
the Backstop Agreement, we have agreed to purchase the Recycled Shares and Additional Shares (together, the “Backstop Shares”)
from the Backstop Parties on a forward basis upon the maturity of the Backstop Agreement at a per share purchase price equal to the redemption
price, which has been funded by the Prepayment. The Backstop Agreement matures on the earlier to occur of (a) February 14, 2026 (three
years after the closing of the Business Combination Agreement), (b) the date specified by a Backstop Party in a written notice delivered
at a Backstop Party’s discretion if either (i) the volume weighted average price (“VWAP”) of the shares during 30 out
of 45 consecutive trading days is less than $4.00 per share, (ii) we fail to register the Backstop Shares as required by the Backstop
Agreement, or (iii) the shares cease to be listed on a national securities exchange, and (c) the date specified by us in a written notice
delivered at our discretion if (i) the VWAP of the shares is at