Company: OCEA
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-011080
Chunk: 181

Company: Ocean Biomedical, Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Item 8
Chunk 181
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 Island License Agreement has been sublicensed to the Company’s
subsidiary, Ocean Sihoma Inc.

Refer to Note 13, Related
Party Transactions, for further detail on the Company’s relationship to Elkurt.

Development and Manufacturing Services Agreement

In December 2020, the Company
entered into a Development and Manufacturing Services Agreement with Lonza AG and affiliate Lonza Sales AG (“Lonza”). The
Company engaged Lonza pursuant to the development and manufacture of certain products and services along with the assistance in developing
the product OCX-253. The agreement outlines the pricing for services and raw materials as incurred and payment terms. For the three-month
period ended March 31, 2025, the Company did not incur expenses under this agreement. For the three-month period ended March 31, 2024,
the Company incurred expenses under this agreement of $0.2 million. These costs are reflected in research and development costs on the
Company’s condensed consolidated statement of operations.

The Development and Manufacturing
Services Agreement will terminate on December 31, 2025. Either party may terminate the agreement within 60 days after it becomes apparent
to either party that it will not be possible to complete the services for a scientific or technical reason after a good faith effort is
made to resolve such problems. The agreement may be terminated by either party, immediately for any uncured material breach, insolvency,
or liquidation. In the event of termination, the Company will pay Lonza all costs incurred through the termination date.

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13. Related Party Transactions

License Agreements with Elkurt, Inc.

Elkurt/Brown & Rhode Island Hospital Licenses

The Company is party to the License
Agreements between Elkurt and Brown and the License Agreements between Elkurt and Rhode Island Hospital (see Note 12 Licensing and
Manufacturing Agreements above). Elkurt is a company formed by the Company’s scientific co-founders Jack A. Elias, M.D., former
Dean of Medicine and current Special Advisor for Health Affairs to Brown University, and Jonathan Kurtis, M.D., PhD, Chair of the Department
of Pathology and Laboratory Medicine at Brown University. Dr. Elias and Dr. Kurtis are members of the Company’s Board.

Transactions with Legacy Ocean’s Founder
and Executive Chairman

The Legacy Ocean founder and
executive chairman had paid certain expenses on behalf of the Company. He is reimbursed when the Company has sufficient working capital
to do so. As of March