Company: NCEL
Filing Date: 2025-09-10
Form Type: 424B3
Source: 0001213900-25-086600
Chunk: 458

Company: NewcelX Ltd.
Filing Date: 2025-09-10
Form: 424B3
Chunk 458
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 to the decrease in operating loss. Liquidity and Capital Resources Kadimastem is a research and development entity that funds its operations through capital raising, convertible loans, loans from interested parties, and national and international research grants. To enhance its exposure to capital markets, Kadimastem often engages external consultants. Since Kadimastem’s inception, it has financed its operations primarily through the sale of equity securities, debt financing, convertible loans and royalty -bearinggrants that Kadimastem’s received from the Israel Innovation Authority. Kadimastem’s primary requirements for liquidity and capital are to finance working capital, capital expenditures and general corporate purposes. Kadimastem’s net loss during the fiscals years ended December31, 2024, December31, 2023 and December31, 2022 was $7,178,333, $3,254,423 and $6,764,864, respectively. During the fiscal years ended December31, 2024, December31, 2023 and December31, 2022, Kadimastem had negative cash flows from operations in the amount of $705,483, $2,995,813 and $5,960,198, respectively. As of December31, 2024, Kadimastem’s accumulated deficit was $76,529,697, compared to an accumulated deficit of $69,345,362 as of December31, 2023. Between 2021 to 2024, Kadimastem raised approximately $17.3million in equity for the issuance of 2,150,844 Kadimastem Ordinary Shares. In the same time period, Kadimastem received grants from the BIRD Foundation, the IIA and the Australian Innovation Authority totaling $2.65million. Kadimastem monitors its cash flow projections on a current basis and take active measures to obtain the funding it requires to continue Kadimastem’s operations. However, these cash flow projections are subject to various uncertainties concerning their fulfilment. If Kadimastem is not successful in generating sufficient cash flow or completing additional financing, including debt refinancing which shall release restricted cash, then Kadimastem will need to execute a new cost reduction plan in addition to previous cost reduction plans that were executed so far. Kadimastem’s transition to profitable operations is dependent on generating a level of revenue adequate to support Kadimastem’s cost structure. Kadimastem expects to fund operations using cash on hand, through