Company: OCEA
Filing Date: 2025-04-08
Form Type: 10-K
Source: 0001641172-25-003155
Chunk: 748

Company: Ocean Biomedical, Inc.
Filing Date: 2025-04-08
Form: 10-K
Item: Item 5
Chunk 748
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 2023-07, but the adoption did not have a material impact to its consolidated financial statements and related
disclosures for the year ended December 31, 2024.

In
December 2023, the FASB issued ASU No. 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures to enhance the
transparency and decision usefulness of income tax disclosures. This standard is effective for the Company for fiscal years beginning
after December 15, 2024 and can be applied on a prospective or retrospective basis. The Company is currently evaluating the effect that
the adoption of this ASU may have on its Consolidated Financial Statements.

Emerging
Growth Company and Smaller Reporting Company Status

The
Jumpstart Our Business Startups Act of 2012 permits an “emerging growth company” such as us to take advantage of an extended
transition period to comply with new or revised accounting standards applicable to public companies until those standards would otherwise
apply to private companies. We have elected to not “opt out” of this provision and, as a result, we will adopt new or revised
accounting standards at the time private companies adopt the new or revised accounting standard and will do so until such time that we
either (i) irrevocably elect to “opt out” of such extended transition period or (ii) no longer qualify as an emerging growth
company.

We
are also a “smaller reporting company” meaning that the market value of our stock held by non- affiliates plus the proposed
aggregate amount of gross proceeds to us as a result of this offering is expected to be less than $700 million and our annual revenue
was less than $100 million during the most recently completed fiscal year. We may continue to be a smaller reporting company after this
offering if either (i) the market value of our stock held by non-affiliates is less than $250 million or (ii) our annual revenue was
less than $100 million during the most recently completed fiscal year and the market value of our stock held by non-affiliates is less
than $700 million. If we are a smaller reporting company at the time that we cease to be an emerging growth company, we may continue
to rely on exemptions from certain disclosure requirements that are available to smaller reporting companies. Specifically, as a smaller
reporting company, we may choose to present only the two most recent fiscal years of audited financial statements in our Annual