Company: NCEL
Filing Date: 2025-03-31
Form Type: F-4/A
Source: 0001213900-25-026428
Chunk: 305

Company: NewcelX Ltd.
Filing Date: 2025-03-31
Form: F-4/A
Chunk 305
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astem and be traded on Nasdaq. Under the proposed terms, existing Kadimastem shareholders will hold 85% of the outstanding NLS Common Shares and the existing shareholders of NLS will hold the remaining 15% of the issued and outstanding NLS Common Shares. Based on the cash balance of NLS following its most recent financing transactions from October 2024, December 2024 and March 2025 (for more information please see “ NLS’s Management’s Discussion and Analysis of Financial Condition and Results of Operations — Financing Activities” in this proxy statement/prospectus), the parties currently estimate the fully diluted share split at the Closing will be 80% to Kadimastem shareholders and 20% to NLS shareholders. The Merger is anticipated to be accounted for using the acquisition method (as a reverse triangular merger), with goodwill and other identifiable intangible assets recorded in accordance with IFRS, as applicable to be determined at the time of Merger. Under this method of accounting, NLS is anticipated to be treated as the “acquired” company for financial reporting purposes, and Kadimastem is to be the accounting acquirer based upon the terms of the Merger Agreement and other factors, including: (i) the expectation that Kadimastem shareholders will own approximately 80 -85% of the voting interests of the combined company immediately following the Closing; (ii) directors appointed by Kadimastem will constitute the majority of the board of directors of the combined company; and (iii) employees of Kadimastem will constitute the majority of the management of the combined company. Therefore, Kadimastem is anticipated to be the accounting acquirer because it is anticipated to control the board of directors, management of the combined company, and the preexisting shareholders of Kadimastem are expected to have the majority voting rights of the combined company. 163 At our ordinary shareholders’ meeting on June 27, 2024, all proposed agenda items were approved, including the election of a new statutory auditor in Switzerland. Subsequent to the notification of PricewaterhouseCoopers AG, or PwC Switzerland, declining to stand for re -election, we announced the intention to replace PwC Switzerland with Marcum LLP as our PCAOB -registeredindependent public accounting firm, pending engagement letter execution and Board approval. On August 9, 2024, we entered into an engagement letter with Marcum LLP, which was approved by both Marcum’s Client Acceptance Committee