Company: NCEL
Filing Date: 2025-03-03
Form Type: F-4/A
Source: 0001213900-25-018981
Chunk: 228

Company: NewcelX Ltd.
Filing Date: 2025-03-03
Form: F-4/A
Chunk 228
---
 cost of equity premium of 33.23%, and a market premium variable of 4.2% for the Damodaran (USA). Moore then performed a sensitivity analysis for the value of Kadimastem in relation to two parameters, market penetration and royalty rates. The two parameters sensitivity analysis was performed individually for each of the parameters (meaning that the analysis was performed for the market penetration without changes to the royalty rates, and vice versa). The results are as follows: •Sensitivity to market penetration: Moore analyzed the change in Kadimastem value if the market penetration parameter is up and down 3% (e.g. if market penetration parameter was originally set to 15% then Moore checked Kadimastem value for this parameter’s values of 12% and 18%). 107 •Sensitivity to royalty rates: Moore analyzed the change in Kadimastem value if the royalty rates parameters are up and down 2% (e.g. if royalty rate parameter was originally set to 10% then we checked the Kadimastem value for this parameter’s values of 8% and 12%). Based on the above DCF Analysis and sensitivity analysis, Moore determined that Kadimastem’s value is between $54million and $88million. On the date immediately prior to the Merger, July26, 2024, NLS’ closing price per share on the Nasdaq was $7.60, with a market capitalization of $25,203,492, and Kadimastem’s price per share on the Tel Aviv Stock Exchange was $1.47, with a market capitalization of $6,661,646. At the time of rendering its opinion, Moore considered Kadimastem’s trading price on the TASE and market capitalization. On December19, 2024, the time of Moore’s execution of its final opinion, Kadimastem’s market capitalization was $22,329,905 and its closing price per share was $3.161, each as calculated and converted from NIS to dollars based on a conversion rate of 3.645 on such day. However, due to reduced market liquidity on the TASE over the past twelve months (as a result of the war in the Middle East), Moore prepared its valuation of Kadimastem based on a DCF Analysis model. Valuation of NLS Moore based NLS’ valuation on NLS’ publicly available financial statements and its market capitalization and trading price on the Nasdaq