Company: OCEA
Filing Date: 2025-01-13
Form Type: 10-Q
Source: 0001493152-25-001880
Chunk: 100

Company: Ocean Biomedical, Inc.
Filing Date: 2025-01-13
Form: 10-Q
Item: Item 1
Chunk 100
---
 to assist management, and implementing and adopting additional controls and formal policies,
processes and documentation procedures relating to financial reporting. We plan to undertake recruitment efforts to identify additional
accounting personnel, including possible use of third-party service providers. Remediation costs consist primarily of additional personnel
expenses. We may identify additional material weaknesses in the future or otherwise fail to maintain proper and effective internal controls,
which may impair our ability to produce accurate financial statements on a timely basis.

However,
the implementation of these measures may not be sufficient to remediate the control deficiencies that may lead to material weaknesses
in our internal control over financial reporting or to prevent or avoid potential future material weaknesses. Moreover, our current controls
and any new controls that we develop may become inadequate in the future because of changes in conditions in our business. Furthermore,
we may not have identified all material weaknesses and weaknesses in our disclosure controls and internal control over financial reporting
may be discovered in the future. If we are unable to successfully remediate our existing or any future material weaknesses in our internal
control over financial reporting, or if we identify any additional material weaknesses, the accuracy and timing of our financial reporting
may be adversely affected, we may be unable to maintain compliance with securities law requirements regarding timely filing of periodic
reports in addition to applicable stock exchange listing requirements, investors may lose confidence in our financial reporting, and
our share price may decline as a result.

We
also could become subject to investigations by Nasdaq, the SEC, or other regulatory authorities. Any failure to develop or maintain effective
controls or any difficulties encountered in its implementation or improvement could negatively impact our operating results or cause
us to fail to meet its reporting obligations and may result in a restatement of our financial statements for prior periods, which could
cause the price of our common stock and warrants to decline.

For more information concerning the material weaknesses identified and
remediation steps, see the section titled “Risk Factors – We identified a material weakness in Legacy Ocean’s
internal control over financial reporting. If our remediation of these material weaknesses are not effective, or if we experience additional
material weaknesses or otherwise fail to maintain an effective system of internal controls in the future, we may not be able to accurately
report our financial condition or results of operations” included in our Annual Report on Form 10-K, filed on November 25, 2024.

Changes
in Internal Control over Financial Reporting

There
were no changes in our internal control over financial reporting during the three months ended September 30