Company: CERO
Filing Date: 2025-07-21
Form Type: S-1
Source: 0001213900-25-066152
Chunk: 377

Company: CERO THERAPEUTICS HOLDINGS, INC.
Filing Date: 2025-07-21
Form: S-1
Chunk 377
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 following public announcement of insolvency and the date the entire redemption payment has been made. Additionally, the Company may voluntarily redeem the Series C Preferred Stock as at 25% premium to the greater of the conversion amount or the number of shares multiplied by the highest closing price within the preceding 20 days. The holders of the Series C Preferred Stock have no voting rights. In September 2024, the Company consummated a private placement (the “Series C PIPE Financing”) of 2,853shares of Series C Preferred Stock and warrants to purchase 4,088shares of Common Stock (the “September 2024 PIPE Common Warrants”) (See Note 9 below), pursuant to the Securities Purchase Agreement, dated September 25, 2024, by and among the Company and certain accredited investors for aggregate gross cash proceeds to the Company of approximately $ 1.25million. The Company accounts for preferred stock as either equity or debt-like securities based on an assessment of the Preferred Stock rights and preferences and applicable authoritative guidance in ASC 480 and ASC 815, Derivatives and Hedging. The Company has concluded that the Series C Preferred Stock, which has no cash redemption features outside of the Company’s control are treated as equity. The Company has also concluded that the Series C Common Warrants do not possess redemption features outside of the Company’s control and are treated as equity. As of December 31, 2024, there were 2,853remaining shares of Series C Preferred Stock, which were convertible into 24,510shares of Common Stock. Predecessor Preferred Stock Conversion to Common Stock At December 31, 2023, Predecessor had 75,120,105shares of capital stock authorized, consisting of 45,350,000shares of Predecessor common stock and 29,770,105shares of Predecessor convertible preferred stock. All classes of the Predecessor’s stock had a par value of $ 0.0001. On February 14, 2024, on the close of the Merger, the Predecessor’s outstanding convertible preferred stock converted to Common Stock at a conversion ratio of 0.0806and 0.01757shares of Common Stock for each share of Predecessor Series Seed Convertible Preferred Stock and Predecessor Series A Convertible Preferred Stock, respectively. This resulted in the issuance of 208and 2,000shares of Common Stock for the Predecessor’s Series Seed Preferred Stock and Predecessor Series A