Company: OCEA
Filing Date: 2025-04-08
Form Type: 10-K
Source: 0001641172-25-003155
Chunk: 2976

Company: Ocean Biomedical, Inc.
Filing Date: 2025-04-08
Form: 10-K
Item: Item 8
Chunk 2976
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 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 December 31, 2024 and 2023, the amount due for these expenses was $0.1
million. These amounts were recorded as accrued expenses – related party on the consolidated balance sheets.

Transactions
with Chief Accounting Officer

The
Company’s former Chief Accounting Officer previously provided consulting services to the Company with RJS Consulting, LLC, his
wholly owned limited liability company through June 15, 2021, before becoming the Company’s Chief Accounting Officer. As of December
31, 2024 and 2023, the Company owed RJS Consulting, LLC $0.2 million. The amounts were recorded as accounts payable on the consolidated
balance sheets.

15. Segment Reporting

We operate and manage the business as one reportable
and operating segment, which is the business of discovering and developing therapeutic products in oncology, fibrosis, infectious diseases
and inflammation. Our chief executive officer, who is the chief operating decision maker, or CODM, reviews financial information on an
aggregate basis for allocating and evaluating financial performance.

16.
Subsequent Events

The
Company has evaluated subsequent events through April 8, 2025, the date that these consolidated financial statements were issued. Except
for the matters disclosed below, no additional subsequent events have occurred that would require recognition or disclosure in these consolidated
financial statements.

2024
Convertible Notes

On
January 13, 2025, the Company issued 3,844,466 restricted shares in accordance with the July 23, 2024 amendment and restatement of its
2023 Convertible Notes in settlement of all past defaults and penalties, subject to a leak out of 15% of daily trading value unless the
sales price of such shares is above $5.00 per share.

In January 2025, the Company issued 1,332,806 shares
to its investor in the 2024 Convertible Notes in connection with the exercise of the SPA Warrants issued in the amendment and exchange
agreement.

During the first quarter of fiscal year
2025, the investor converted $13.7 million related to the 2024 Convertible Notes into 125,964,905 shares