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result in substantial dilution for our current stockholders and the terms may include liquidation or other preferences that adversely affect the rights of our current stockholders. Furthermore,
the issuance of additional securities, whether equity or debt, by us, or the possibility of such issuance, may cause the market price of our common stock to decline and existing stockholders may not
agree with our financing plans or the terms of such financings. Moreover, the incurrence of debt financing could result in a substantial portion of our operating cash flow being dedicated to the
payment of principal and interest on such indebtedness and could impose restrictions on our operations, such as limitations on our ability to incur additional debt, limitations on our ability to
acquire, sell or license intellectual property rights and other operating restrictions that could adversely impact our ability to conduct our business. Additional funding may not be available to us on
acceptable terms, or at all.
If securities analysts do not publish research or reports about our business or if they downgrade our stock, the price of our common stock could decline.
The trading market for our common stock will rely in part on the research and reports that industry or financial analysts publish about
us, our business, our markets and our competitors. We do not control these analysts. If securities analysts do not cover our common stock after the closing of this offering, the lack of research
coverage may adversely affect the market price of our common stock. Furthermore, if one or more of the analysts who do cover us downgrade our stock or if those analysts issue other unfavorable
commentary about us or our business, our stock price would likely decline. If one or more of these analysts cease coverage of us or fails to regularly publish reports on us, we could lose visibility
in the market and interest in our stock could decrease, which in turn
could cause our stock price or trading volume to decline and may also impair our ability to expand our business with existing customers and attract new customers.
The concentration of our capital stock ownership with insiders upon the closing of this offering will likely limit your ability to influence corporate matters.
We anticipate that our executive officers, employees, directors, current 5% or greater stockholders, and their respective affiliates
will together beneficially own or control, in aggregate, approximately % of the shares of our outstanding common stock, after giving effect to the conversion of all outstanding preferred
stock and assuming no exercise of outstanding options or warrants following the closing of this offering (assuming no exercise of the underwriters' option to purchase additional shares). As a result,
these executive officers, directors and principal stockholders, acting together, will have substantial influence over most matters that require approval by our stockholders, including the election of
directors, any merger, consolidation or sale of all or substantially all or of our assets or any other significant corporate transaction. Corporate action might be taken even if other stockholders,
including those who purchase shares in this offering, oppose such action. These stockholders may delay or prevent a change of control or otherwise discourage a potential acquirer from attempting to
obtain control of our company, even if such change of control would benefit our other stockholders. This concentration of stock ownership may adversely affect investors' perception of our corporate
governance or delay, prevent or cause a change in control of our company, any of which could adversely affect the market price of our common stock.
Sales of a substantial number of shares of our common stock by our existing stockholders in the public market may cause our stock price to decline.
Sales of our common stock in the public market after this offering, or the perception that these sales may occur, could cause the
market price of our common stock to decline. Upon the closing of this offering, we will have shares of
common stock outstanding, assuming no exercise of the underwriters'
over-allotment option. Of these, only the shares of our common stock sold in this offering, plus any shares sold upon exercise of the underwriters' over-allotment option, will be freely transferable
without restriction or additional registration under the Securities Act of 1933, as amended, or the Securities Act. The remaining shares outstanding after this offering will be available for sale,
upon the expiration of the 180-day lock-up period beginning from the date of this prospectus, if applicable, subject to volume and