UNITED STATES

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 Washington, D.C. 20549

 FORM 10-K

 (Mark One)

 ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

 For the fiscal year ended December 31, 2024

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 TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

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 Item 1.

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 Item 1A.

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 Exhibit and Financial Statement Schedules

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 Form 10–K Summary

 i

 As used in this Annual Report on Form 10-K, unless
the context requires otherwise, references to the "Company", "Jasper", "we", "us", "our",
and similar terms refer to Jasper Therapeutics, Inc., a Delaware corporation formerly known as Amplitude Healthcare Acquisition Corporation
("AMHC"), and its consolidated subsidiary. References to "Old Jasper" refer to the private Delaware corporation
that is now our wholly-owned subsidiary and named Jasper Tx Corp. (formerly known as Jasper Therapeutics, Inc.).

 On September 24, 2021, we consummated the
previously announced Business Combination (as defined below) (pursuant to the Business Combination Agreement, dated May 5, 2021, by
and among AMHC, Ample Merger Sub, Inc. ("Merger Sub") and Old Jasper). Pursuant to the terms of the Business Combination
Agreement, a business combination (herein referred to as the "Business Combination" or "Reverse
Recapitalization" for accounting purposes) between AMHC and Old Jasper was effected through the merger of Merger Sub with and
into Old Jasper with Old Jasper surviving as AMHC's wholly-owned subsidiary. In connection with the Business Combination, AMHC
changed its name from Amplitude Healthcare Acquisition Corporation to Jasper Therapeutics, Inc.

 Unless otherwise noted or the context requires
otherwise, references to our "common stock" refer to our voting common stock, par value $0.0001 per share. In addition, except
as otherwise indicated, all information in this Annual Report on Form 10-K gives effect to the 1-for-10 reverse stock split of the common
stock that was effected on January 4, 2024.

 CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS

 Certain statements contained in this Annual Report
on Form 10-K may constitute "forward-looking statements" for purposes of federal securities laws. Such statements can be identified
by the fact that they do not relate strictly to historical or current facts. In addition, any statements that refer to projections, forecasts
or other characterizations of future events or circumstances, including any underlying assumptions, are forward-looking statements. The
words " anticipate, " " believe, " " contemplate, " " continue, "
" could, " " estimate, " " expect, " " intends, " " may, "
" might, " " plan, " " possible, " " potential, " " predict, "
" project, " " should, " " will, " " would " and similar expressions
(including the negative of any of the foregoing) may identify forward-looking statements, but the absence of these words does not mean
that a statement is not forward-looking.

 Forward-looking statements in this Annual Report
on Form 10-K may include, for example, but are not limited to, statements about:

 our or our management team's
expectations, hopes, beliefs, intentions or strategies regarding the future, including those relating to the impact of the Business
Combination on our business, financial condition, liquidity and results of operations;

 our ability to research, discover
and develop additional product candidates;

 the success, cost and timing
of our product development activities and clinical trials;

 the potential attributes and
benefits of our product candidates;

 our ability to obtain and maintain
regulatory approval for our product candidates;

 our ability to obtain funding
for our operations;

 our projected financial information,
anticipated growth rate and market opportunity;

 our ability to maintain the
listing of our public securities on The Nasdaq Stock Market LLC ("Nasdaq");

 our public securities'
potential liquidity and trading;

 our success in retaining or
recruiting, or changes required in, officers, key employees or directors;

 ii

 our ability to grow and manage
growth profitably;

 the implementation, market acceptance
and success of our business model, developments and projections relating to our competitors and industry;

 our ability to obtain and maintain
intellectual property protection and not infringe on the rights of others;

 our ability to identify, in-license
or acquire additional technology; and

 our ability to maintain existing
license agreements and manufacturing arrangements.

 These forward-looking statements are based on current
expectations and beliefs concerning future developments and their potential effects. There can be no assurance that future developments
affecting us will be those that we have anticipated. These forward-looking statements involve a number of risks, uncertainties (some of
which are beyond our control) or other assumptions that may cause actual results or performance to be materially different from those
expressed or implied by these forward-looking statements. These risks and uncertainties include, but are not limited to, those factors
described under the heading "Risk Factors" in this Annual Report on Form 10-K. Should one or more of these risks or uncertainties
materialize, or should any of our assumptions prove incorrect, actual results may vary in material respects from those projected in these
forward-looking statements. There may be additional risks that we consider immaterial or which are unknown. It is not possible to predict
or identify all such risks. Readers are cautioned not to place undue reliance on forward-looking statements because of the risks and uncertainties
related to them and to the risk factors. We do not undertake any obligation to update or revise any forward-looking statements, whether
as a result of new information, future events or otherwise, except as may be required under applicable securities laws.

 iii

 ITEM 1. BUSINESS

 Overview

 We are a clinical-stage biotechnology company
focused on developing therapeutics targeting mast cell driven diseases such as Chronic Spontaneous Urticaria ("CSU"), Chronic
Inducible Urticaria ("CIndU") and Asthma. We are evaluating additional indications in mast cell driven diseases for potential
future development and we have also historically supported development programs in diseases where targeting diseased hemopoietic stem
cells can provide benefits, such as and stem cell transplant conditioning regimens.

 Our
lead product candidate, briquilimab, is a monoclonal antibody designed to block stem cell factor ("SCF") from binding to
and signaling through the CD117 ("c-Kit") receptor on mast and stem cells. The SCF/c-Kit pathway is a survival signal for
mast cells and we believe that blocking this pathway may lead to depletion of these cells throughout the body, including in the lungs
and in the skin, which could lead to significant clinical benefit for patients with mast-cell driven diseases such as asthma and chronic
urticarias. To that end, we are focusing on advancing a portfolio of clinical programs in mast cell driven diseases. Development highlights
include:

 We commenced the Phase 1b/2a BEACON study in CSU in late 2023 and in January 2025, we presented positive preliminary data as of December
31, 2024 from the first 8 dosing cohorts in the study (10mg, 40mg, 80mg Q8W, 120mg Q8W, 120mg Q12W, 180mg Q8W, 180mg Q12W, 240mg single-dose).
Average patient duration on study as of the cutoff date for the data presented was approximately 28 weeks. Highlights of the data are
as follows:

 Briquilimab demonstrated a rapid onset of clinical efficacy:

 Clinical responses were seen as early as 1 week post-dose; and

 Complete responses were observed as early as week 2 post-dose

 Briquilimab drove deep and meaningful clinical responses:

 UAS7 reductions of as much as 29 points were noted 4 weeks post-dose (120mg Q12W); and

 100% complete responses through 8 weeks were demonstrated at the 240mg dose level

 Dose dependent durability was observed in complete responses and well-controlled disease

 Complete responses showed durability out to:

 4 weeks at 120mg

 6 weeks at 180mg

 8 weeks at 240mg

 Briquilimab was well tolerated and demonstrated a favorable safety profile:

 C-kit related adverse events ("AEs") were low frequency, transient, low-grade events;

 The majority of AEs observed were resolved while on study prior to subsequent doses; and

 No dose delays, missed doses or discontinuations were reported due to AEs possibly related to c-Kit blockade

 We commenced the Phase 1b/2a SPOTLIGHT study in CIndU in early 2024.
In October 2024, we presented positive preliminary data on the 40mg and 120mg cohorts from the study showing the following for the 6-week
preliminary analysis period following dosing, as follows:

 Across
 the 40mg and 120mg dosing cohorts in the study, 14 of the 15 participants (93%) achieved
 a clinical response;

 In
 the 120mg dose cohort, 10 of 12 participants (83%) experienced a complete response, and 1
 participant experienced a partial response; and

 Briquilimab has been well-tolerated in the study, with no serious adverse
events ("SAEs") and no grade 3 or higher adverse events reported

 We commenced an Open Label Extension (the "OLE") study
whereby the participants from BEACON and SPOTLIGHT, on study completion, may roll over to the study, to receive 180mg SC briquilimab every
8 weeks.

 We
 commenced a Phase 1b/2a ETESIAN study in Asthma in late 2024.

 We
 are actively evaluating the potential for briquilimab in additional mast cell driven diseases.

 We
are also developing briquilimab as a one-time conditioning therapy for severe combined immunodeficiency ("SCID") patients
undergoing a second stem cell transplant for which we are currently conducting a Phase 1/2 clinical trial.

 We intend to become a fully integrated discovery,
development and commercial company in the field of mast cell therapeutics. We are developing our product candidates to be used individually
or, in some cases, in combination with other therapeutics. Our goal is to advance our product candidates through regulatory approval and
bring them to the commercial market based on the data from our clinical trials and communications with regulatory agencies and payor communities.
We expect to continue to broaden our pipeline with additional mast cell indications and next-generation products by leveraging our research
organization.

 We have an exclusive license agreement with Amgen Inc. ("Amgen")
for the development and commercialization of the briquilimab monoclonal antibody in all indications and territories worldwide. We also
have an exclusive license agreement with Stanford for the right to use briquilimab in the clearance of diseased stem cells prior to the
transplantation of hematopoietic stem cells ("HSCs").

 Briquilimab

 We believe briquilimab is a unique, humanized,
monoclonal antibody that targets the underlying biology of mast cell survival to potentially serve as a therapeutic to prevent mast cell
driven diseases. In addition, we believe briquilimab targets a key differentiation pathway for HSCs and may be developed to improve the
efficacy and safety of hematopoietic stem cell transplantation. Briquilimab binds to human c-Kit, the receptor for SCF, which is expressed
on the surface of various cells, including mast cells and hematopoietic stem and progenitor cells. The interaction of SCF and c-Kit is
required for mast cells to survive and for HSCs to remain in the bone marrow. By blocking SCF from binding to c-Kit and disrupting these
critical signals, briquilimab leads to the depletion of mast cells in the skin and the differentiation of stem cells in the bone marrow.
Briquilimab is designed to bind to c-Kit with a greater affinity than SCF.

 The monoclonal antibody isotype and other modifications
of briquilimab were chosen carefully to retain high affinity binding to the c-Kit receptor and SCF signal blockade without recruiting
other immune cells that could lead to receptor activation, mast cell degranulation or other off-target toxicities. For example, designing
briquilimab as an IgG1 isotype instead of an IgG2 isotype results in more potent inhibition of c-Kit, potentially increasing the effect
on mast cell depletion. Briquilimab was also designed to be aglycosylated in order to eliminate the recruitment of other immune effector
cells that may bring unwanted effects to any cell that expresses c-Kit. This finding and other data demonstrate that not all anti-c-Kit
antibodies behave equally or have the same mechanism of action.

 We are focused on advancing Briquilimab in development
as a chronic therapy in mast cell driven diseases such as CSU, CIndU, Asthma and other mast cell driven indications currently under evaluation.
We also currently have an ongoing study evaluating Briquilimab as a conditioning agent to clear HSCs from the bone marrow prior to re-transplant
in patients with SCID.

 Briquilimab as a Primary Therapeutic for Disorders
of Mast Cells

 Mast cells are primary cells of the immune system
derived from HSCs in the bone marrow. Mast cells store a number of different chemical mediators such as tryptase, histamine, interleukins
and heparin in granules found throughout the cell. When a mast cell is triggered, such as by an allergen specific to membrane-bound Immunoglobulin
E ("IgE") antibodies, the mast cell is activated and releases the content of the granules into the surrounding tissue. These
chemical mediators attract other immune cells to help with any response as well as produce a local allergic reaction consisting of inflammation,
swelling, contraction of smooth muscle and increased mucus secretion. Mast cells are usually long-lived and found at boundaries to the
external environment such as the skin, mucosal surfaces of the gut and lungs and eye.

 Dysfunctional regulation and activation of mast
cells is thought to be a significant driver of multiple diseases, including urticarias, asthma, prurigo nodularis, allergic eye disease
and others. Each of these diseases has been shown to have local concentrations of mast cells, cellular response consistent with mast cell
degranulation and disease modification with use of antihistamines. Unfortunately, currently approved agents targeting mast cells in these
diseases are ineffective in many patients, leading to continued high disease burden.

 Briquilimab blocks signaling on the c-Kit receptor
by inhibiting the binding of SCF, the ligand for the c-Kit receptor. The interaction of SCF/c-Kit on mast cells is critical for development,
proliferation and survival. Without continued signaling through c-Kit, mast cells will undergo apoptosis and die. We have shown that a
single subcutaneous dose of briquilimab leads to depletion of mast cells in the skin of healthy human volunteers for at least 29 days.
We believe that depletion of mast cells in the skin of patients with chronic urticaria or other mast cell driven diseases has the potential
to lead to improved disease control for those patients without adequate response to current therapies.

 Figure 1 – Healthy volunteers administered single
doses of briquilimab 42 mg to 280 mg subcutaneously received punch skin biopsies to evaluate the decreases in mast cells at 4 weeks after
briquilimab was administered compared to the baseline.

 (1)

 Jasper internal data (Phase 1a, healthy volunteer study).

 Briquilimab in Chronic Urticaria

 Mast cells are immune cells that play a key role
in the inflammatory response to pathogens or injury and are typically found in the skin, lungs, digestive track, conjunctiva of the eye
and the mucosal linings of the mouth and nose. Typically, mast cells are triggered by a specific antigen or antibody interaction to release
histamine, a variety of cytokines and other chemical mediators in order fight a potential infection and to recruit additional types of
immune cells to aid in the body's response. However, with certain diseases, such as CSU, CIndU, allergic asthma, prurigo nodularis
and eosinophilic esophagitis, the mast cell response is dysregulated and may lead to unwanted responses such as hives, itching, airway
constriction or conjunctivitis. Current therapeutic approaches to controlling mast cell response include antihistamines to counteract
the release of histamine by activated mast cells and anti-IgE antibody therapy to try to eliminate the antibodies responsible for a trigger
of mast cell activation. We believe that new chronic therapies that target mast cells could be beneficial in treating many diseases that
are a function of mast cell dysfunction.

 In late 2023, we commenced a Phase 1b/2a clinical study in patients
with CSU. CSU is a disorder of mast cells in the skin in which patients experience swelling, redness and itching of the skin that lasts
at least six weeks due to either an unknown cause, Type I autoimmunity with Immunoglobulin E antibodies ("IgE") against self
or Type IIb autoimmunity with activating antibodies directed at mast cells. CSU is thought to affect over five million patients in the
United States, France, Germany, Italy, Spain, and the United Kingdom. The U.S. Food and Drug Administration (the "FDA")-approved
drug therapy for CSU includes second generation H1-antihistamines for first line use followed by consideration for use of omalizumab,
a monoclonal antibody directed at circulating IgE. The biologic rationale for both of these therapies is based on modulating mast cell
response. Antihistamines work to counteract the effects of histamine that is released from activated mast cells and omalizumab is designed
to reduce IgE, which is thought to be a trigger of mast cell activation. Based on human healthy volunteer clinical data showing that briquilimab
can deplete mast cells from the skin and from data in a study of CSU patients showing that an anti-c-Kit antibody can control disease
symptoms, we believe that briquilimab could be effective therapy for CSU patients. The Phase 1b/2a study is a monotherapy study being
conducted in CSU patients who are refractory to antihistamine therapy and who have had an inadequate response to omalizumab. The study
design has three parts. The first part is an open-label 3+3 dose escalation with two dose cohorts (10mg and 40mg). The second part consists
of seven dose cohorts (80mg Q8W, 120mg Q8W, 120mg Q12W, 180mg Q8W, 180mg Q12W, 240mg Q8W and 240mg followed by 180mg Q8W) in a double-blind
placebo controlled format. The final part is a single dose cohort with two dose levels being explored (240mg single-dose and 360mg single-dose)
in a double-blind placebo controlled format.

 Figure 3 – Study Design for the Phase
1b/2a CSU Study

 We commenced the Phase 1b/2a BEACON study in CSU in late 2023. In
January 2025, we presented positive preliminary data from the first 8 dosing cohorts in the study (10mg, 40mg, 80mg Q8W, 120mg Q8W, 120mg
Q12W, 180mg Q8W, 180mg Q12W, 240mg single-dos e). Patient duration
on study as of the cutoff date for the data presented was as long as 28 weeks:

 o
 Briquilimab
demonstrated a rapid onset of deep clinical responses

 UAS7
reductions with much as 29 points noted 4 weeks post-dose (120mg Q12W)

 Clinical
responses seen as early as 1 week post dose and complete responses demonstrated as early as week 2

 100%
complete responses through 8 weeks demonstrated at the 240mg dose level

 o
 Dose
 dependent durability observed in complete responses and well-controlled disease

 Complete
 responses showed durability out to 4 weeks (120mg), 6 weeks (180mg) and 8 weeks (240mg)

 Well
 controlled disease durable to 4 weeks at 120mg (75%), 6 weeks at 180mg (43%) and 8 weeks
 at 240mg (100%)

 o
 Briquilimab
 was well-tolerated and demonstrated a favorable safety profile

 C-kit
 related AEs were low frequency, transient, low-grade events

 C-kit
 related AEs were low frequency, transient, low-grade events

 The
 majority of AEs observed resolved while on study prior to subsequent doses

 No
 dose delays, missed doses o r discontinuations reported due to AEs possibly related
 to c-Kit blockade

 We are also conducting a Phase 1b/2a clinical study
in patients with CIndU. Similar to CSU, CIndU is a disorder of mast cells in the skin in which patients experience swelling, redness and
itching of the skin that lasts at least six weeks, but CIndU is induced by specific physical or environmental stimuli, including cold,
heat, exercise, pressure, sunlight and others. CIndU includes physical urticarias, such as symptomatic dermographism and cold urticaria,
as well as non-physical urticarias caused by exposure to specific stimuli, such as cholinergic urticaria and aquagenic urticaria.

 The FDA-approved drug therapy for CIndU consists
solely of second generation H1-antihistamines. The biologic rationale for this therapy is based on modulating mast cell response. Antihistamines
work to counteract the effects of histamine that is released from activated mast cells. CIndU is thought to affect over two million patients
in the United States, France, Germany, Italy, Spain and the United Kingdom. Approximately 40% of these patients' CIndU is not controlled
by first line antihistamines and these patients could be eligible for biologic therapy depending on disease severity. Based on preclinical
and human healthy volunteer clinical data showing that briquilimab can deplete mast cells from the skin, we believe that briquilimab could
be an effective therapeutic for CIndU patients. The Phase 1b/2a study is a monotherapy study being conducted in CIndU patients who are
refractory to antihistamine therapy. The study design contains a single dose in three dosing cohorts (40mg, 120mg and 180mg) with a provocation
test measured at 12 weeks post-dosing.

 Figure 4 – Study Design for the Phase
1b/2a CIndU Study

 We commenced the Phase 1b/2a SPOTLIGHT study in CIndU in early 2024.
In October 2024, we presented positive preliminary data on the 40mg and 120mg cohorts from the study showing the following for the 6-week
preliminary analysis period following dosing:

 o
 Across the 40mg and 120mg dosing cohorts in the study, 14
of the 15 participants (93%) achieved a clinical response,

 o
 In the 120mg dose cohort, 10 of 12 participants (83%) experienced
a complete response, and 1 participant experienced a partial response, and

 o

 Briquilimab has been well-tolerated in the study, no SAEs and no grade 3 or higher AEs reported

 Briquilimab in Asthma

 Allergic asthma is a form of asthma triggered by
specific allergens that leads to constriction of smooth muscles in the airways, cellular infiltration of various immune mediators and
excess production of mucus. Patients with allergic asthma may have an increased number of mast cells in the bronchi and mast cells are
believed to not only be a direct driver of inflammation the asthmatic response, but to also be recruiters of other cell types that contribute
to that inflammation. Given these factors, we believe that asthma may be responsive to agents that modulate mast cell response, including
antihistamines and anti-IgE monoclonal antibody therapy.

 In late 2024, we commenced a Phase 1b/2a clinical
study in patients with allergic asthma. The Phase 1b/2a study is a double-blind placebo controlled single-dose monotherapy allergen challenge
study being conducted in allergic asthma patients. Patients enrolled in the study will either receive placebo, or a single 180mg dose
of briquilimab. Endpoints evaluated will include both asthmatic response, as measured by % decrease in FEV1 relative to baseline, and
change in airway hyperresponsiveness from baseline, and both will be measured at 6 weeks post-dose and 12 weeks post-dose.

 Figure 5 – Study Design for the Phase
1b/2a Asthma Study

 Briquilimab in Other Mast Cell Disorders

 Mast cells may also be the key cellular target for a number of other
inflammatory or autoimmune diseases outside of the chronic urticarias and asthma, such as atopic dermatitis, eosinophilic esophagitis
or prurigo nodularis.

 Atopic dermatitis is a chronic disease that causes
inflammation, redness, and irritation of the skin. It is a common condition that usually begins in childhood; however, anyone can get
the disease at any age. Atopic dermatitis causes the skin to become extremely itchy. In most cases, there are periods of time when the
disease is worse, called flares, followed by periods when the skin improves or clears up entirely, called remissions. Treatments include
moisturizers, topical steroids, immunomodulators (tacrolimus and pimecrolimus) and biologic therapies (dupilumab). Mast cells may
play an important role in the disease and agents that modulate mast cells may provide benefit to patients.

 Eosinophilic esophagitis is an immune disorder
leading to build up of eosinophils in the esophagus and causes difficulty in eating, chronic reflux and/or the sensation of heartburn.
Along with the buildup of eosinophils, there is typically buildup of other immune cells in the affected area including mast cells, basophils
and lymphocytes. Patients may be treated with changes to diet, use of proton pump inhibitors, antihistamines and dupilumab.

 Prurigo Nodularis is also a disease that
manifests in the skin. Patients develop severe itch and firm bumps on the skin, called nodules, that may lead to loss of sleep and
bleeding due to scratching. Degranulation of mast cells in the skin is thought to trigger peripheral sensory neurons in the skin
leading to itch. Various medications are used to treat Prurigo Nodularis including anti-itch creams and topical steroids. For cases
that remain uncontrolled physicians may prescribe antihistamines or biologics such as dupilumab.

 We are currently engaged in pre-clinical evaluation
of briquilimab as a potential therapeutic in these and a number of other mast cell driven diseases and expect to continue to expand our
portfolio of mast cell indications in clinical development moving forward.

 Briquilimab as a Conditioning Agent for SCID Patients Undergoing
Re-Transplantation

 We are also developing briquilimab as a conditioning
agent for SCID patients undergoing a stem cell re-transplantation. Due to genetic errors at birth, SCID patients do not possess fully
functional immune systems, which results in chronic infections, failure to thrive and significantly decreased lifespans. If available,
these patients are typically given a transplant from a close relative with the goal of allowing healthy donor stem cells to establish
in the patient's bone marrow, leading to production of normal immune cells. However, stem cell transplants are not universally successful.
SCID patients with poor transplant outcomes are typically dependent on external therapies such as intravenous immunoglobin ("IVIG")
and often have poor immunity, leading to chronic infections and decreased lifespans. SCID patients who fail transplant are not usually
given a second transplant due to their fragile health and the significant toxicities of current conditioning agents.

 SCID is a genetically heterogeneous group of over 20 monogenic conditions
of the immune system characterized by the lack of normal T lymphocyte development, in addition to deficiencies of B cells, NK cells, or
both in some forms which is currently curable only by hematopoietic cell transplant ("HCT"). The incidence of SCID is estimated
at one in 80,000 live births across all ethnic groups. Due to the toxicities associated with the current chemotherapy regimens used in
standard allogeneic HCT to deplete endogenous HSC, some centers do not use conditioning regimens. SCID patients who undergo unconditioned
HCT have relatively improved overall survival but often experience incomplete immune reconstitution characterized by inadequate T cell
numbers and/or ongoing deficiency of B cell humoral immunity. This issue occurs more frequently in those patients who do not have a human
leukocyte antigen-matched donor and who therefore receive T cell depleted haploidentical donor grafts.

 Patients who receive full or reduced doses of busulfan
conditioning (a DNA damaging drug) tend to engraft well and have full lymphocyte reconstitution. However, due to busulfan's off-target
toxic effects, these patients experience both short- and long-term complications. Since these patients typically receive busulfan as infants,
they experience chronic complications such as growth retardation, cognitive defects, craniofacial abnormalities, liver toxicity, seizures
and endocrine defects, including infertility, and increased cancer risk.

 Pre-clinical Data for Briquilimab for Severe Combined Immunodeficiency
Re-Transplantation

 The ability of briquilimab to open a human hematopoietic
stem cell niche was evaluated in humanized immune deficient mice that were stably engrafted with human hematopoietic grafts at Stanford.
Two weeks after a single treatment with 0.3 mg/kg or 1.0 mg/kg of briquilimab, mice showed depletion of human HSCs and progenitor cells
(CD45+CD34+c-Kit+) in the bone marrow.

 To model human transplantation with a briquilimab-based
conditioning regimen, humanized immune deficient mice that had been stably engrafted with human hematopoietic cells underwent a second
transplant using conditioning with briquilimab. The second human HSC graft was transduced with a lentiviral vector expressing fluorescent
mCitrine to allow assessment of its engraftment. mCitrine-marked second human donor cells were observed in all mice treated with briquilimab,
whereas no evidence of second human donor cells were found in unconditioned mice, demonstrating that briquilimab conditioning permitted
second donor HSC engraftment.

 Clinical Data for Briquilimab for Severe Combined Immunodeficiency
Re-Transplantation

 We have an ongoing Phase 1/2 dose escalation
open label clinical trial to evaluate briquilimab as the sole conditioning agent to achieve HSC engraftment in SCID patients
undergoing stem cell re-transplantation. The primary endpoint in Phase 1 is to assess the safety and tolerability of briquilimab as
a conditioning agent in SCID patients. The two primary efficacy endpoints defined in the Phase 2 study are the
proportion of patients achieving adequate donor HSC engraftment and the proportion of patients achieving na ve CD4+ T cell
production greater than or equal to 85 cells/uL, a level expected to provide immune reconstitution, during weeks 36 to 104
post-transplant. Secondary endpoints include durability of na ve T cell production, incidence and severity of GvHD,
hematopoietic recovery and pharmacokinetic properties of briquilimab. Patients receive a single intravenous infusion of briquilimab
on study day 0 in one of four dose cohorts: 0.1 mg/kg, 0.3 mg/kg, 0.6mg/kg or 1.0 mg/kg. Patients will be followed for five years
following transplant. This trial is currently open for enrollment at multiple clinical trial sites in the United States.

 Other studies have shown that SCID patients who
fail to achieve durable donor cell engraftment from a first transplant may not be candidates for a second transplant using current conditioning
agents due to the toxicity of the conditioning regimen and fragile nature of most SCID patients. These patients may remain on medically
supportive immune therapies such as intravenous immunoglobulin ("IVIG") or receive an unconditioned "boost" transplant
of donor cells which does not lead to sustained production of new immune cells.

 We believe briquilimab has enabled immune reconstitution for patients
based on na ve CD4+ T-cell levels and has shown clinical benefit in T-B-SCID patients in a re-transplant setting. Patients have shown
resolution of chronic infections, independence from or reduction of IVIG therapy and antibody response to vaccine challenge. Through
December 31, 2024, in this open label clinical trial, eleven T-B-SCID re-transplant patients have been treated in the ongoing
SCID Phase 1/2 study. Seven of the eleven transplanted patients with 1- 5 years of follow-up have shown engraftment of donor
cells and production of functional immune cells. No briquilimab treatment-related "SAEs" have been reported through December
31, 2023 in this clinical trial.

 The FDA has granted rare pediatric disease designation
to briquilimab as a conditioning treatment for patients with SCID. In addition, both the FDA and the European Medicines Agency ("EMA")
have granted orphan drug designation to briquilimab for conditioning treatment prior to hematopoietic stem cell transplantation.

 Stem Cell Transplant Indications

 We have historically evaluated briquilimab in a number of stem cell
transplant indications, including patients with Fanconi Anemia ("FA"), Sickle Cell Disease ("SCD"), Chronic Granulomatous
Disease ("CGD"), GATA-2 MDS and others through Investigator Sponsored Trials ("ISTs") run by partners including
the National Institute of Health ("NIH"), the National Heart, Lung, and Blood Institute, the National Institute of Allergy
and Infectious Diseases, the National Cancer Institute and Stanford University.

 While promising data has been generated to date
in FA, SCD, CGD and GATA-2 MDS, given our corporate focus on mast cell driven diseases, we have discontinued these ISTs and we have no
plans to pursue additional clinical development in these indications.

 Our Strategy

 Our goal is to develop and commercialize briquilimab
as a safe and efficacious therapeutic to address the significant unmet medical need for patients suffering from mast cell driven diseases
such as CSU, CIndU and Asthma. As part of our strategy, we aim to:

 Build a leading biotechnology company to
enable cures via immune modulation. We are bringing together a team of biotech veterans, leading academic institutions and a strong
syndicate of healthcare-focused investors to achieve our vision of developing and commercializing therapeutics with a focus on mast cell
driven diseases.

 Advance the development of briquilimab
as a chronic therapeutic in mast cell driven diseases. We are focused on developing briquilimab as a repeat dose therapy for
disorders of mast cells, including CSU, CIndU, Asthma and additional mast cell driven indications currently under pre-clinical
evaluation utilizing our proprietary Jasper Mouse.

 Commercialize our product candidates to expand
the use of effective and safe mast cell therapies for patients and physicians in our target markets. If approved, we plan to bring
our product candidates to the American, European and Japanese markets, focusing on the top physicians and hospital-based prescribers who
administer the majority of mast cell therapies.

 Form and strengthen strategic collaborations
with leading industry and academic organizations to further develop our pipeline, unlock the commercial potential of our portfolio and
provide enabling technologies for collaborators. We intend to continue collaborations with our existing partners and enter new
strategic partnerships to develop additional candidates, generate evidence, and commercialize new products in the field of mast cell therapies.

 Agreements with Amgen

 In November 2019, we entered into a worldwide exclusive
license agreement with Amgen for briquilimab (formerly AMG-191 and JSP191) in all indications and territories worldwide, which also includes
translational science and materials from Stanford University. We were assigned and accepted Amgen's rights and obligations, effective
November 21, 2019, for the Investigator Sponsored Research Agreement ("ISRA"), entered into in June 2013, between Amgen
and The Board of Trustees of the Leland Stanford Junior University ("Stanford") and Quality Agreement between Amgen and Stanford,
effective as of October 7, 2015. Under the ISRA, we received an option to negotiate a definitive license with Stanford for rights to certain
Stanford intellectual property related to the study of briquilimab in exchange for an option exercise fee of $1.0 million, payable over
a two-year period (the "Option"). We exercised the Option to Stanford docket S06-265 "Antibody-based clearance of endogenous
stem cell niches prior to transplantation of bone marrow or HSCs (c-kit)" granted by Stanford under the ISRA on June 2, 2020. As
a result, we have worldwide exclusive rights to develop and commercialize briquilimab in all indications, including stem cell transplants.
The issued U.S. patents would be expected to expire in 2027, absent any applicable patent term extensions.

 License Agreement with Stanford

 In March 2021, we entered into an exclusive license
agreement with respect to the use of briquilimab from the Stanford Office of Technology Licensing to license U.S. Patent Application Serial
Number 60/856,435, filed Nov. 3, 2006, and U.S. Patent Application Serial Number 12/447,634 (publication number US 2010/0226927 Al) and
know-how for the purpose of depleting endogenous blood stem cells in patients for whom hematopoietic cell transplantation is indicated.

 Intellectual Property

 Our success depends in part on our ability to obtain
and maintain proprietary protection for our product candidates and other discoveries, inventions, trade secrets and know-how that are
critical to our business operations. It also depends in part on our ability to operate without infringing the proprietary rights of others,
and in part, on our ability to prevent others from infringing our proprietary rights. We have a series of in-licensed patents outlined
below with an additional pending patent application in the United States.

 In-licensed Amgen Portfolio

 We have exclusively licensed a patent family from Amgen applicable
to our clinical development programs that contain patents and applications directed to humanized c-kit antibody. As of February 14, 2025,
this patent portfolio includes three issued U.S. patents and one European patent, as well as granted patents in Australia, Canada, Japan,
and Mexico, and pending patent applications in Europe and Hong Kong. The issued U.S. and European patents would be expected to expire
in 2027, absent any applicable patent term extensions.

 In-licensed Stanford Portfolio

 We have an exclusive license in the field of use of briquilimab for
the purpose of depleting endogenous blood stem cells in patients for whom hematopoietic cell transplantation is indicated to a patent
family from Stanford University applicable to targeted conditioning that contains patents and applications directed to immunodepletion
of endogenous stem cell niche prior to hematopoietic stem cell transplantation. As of February 14, 2025, this patent portfolio includes
two issued U.S. patents and two European patents, as well as pending U.S., European, and Hong Kong patent applications. The issued U.S.
and European patents would be expected to expire in 2027, absent any applicable patent term extensions.

 Jasper Portfolio

 As of February 14, 2025, we own six patent families directed to compositions
and/or methods for hematopoietic stem cell transplantation, one patent family directed to other methods of treating certain hematopoietic
malignancies, three patent families directed to treating mast cell-driven disease, and one patent family directed to therapeutic efficacy
testing models. These patent families include two pending U.S. provisional applications, five pending U.S. utility applications, four
pending Patent Cooperation Treaty applications, and applications pending in Europe, and certain other jurisdictions. Any patents that
grant from these applications would be expected to expire in 2042 to 2046, absent any applicable patent term extensions.

 Additional Intellectual Property

 We also rely on trade secrets, including know-how,
confidential information, unpatented technologies and other proprietary information, to strengthen or enhance our competitive position,
and prevent competitors from reverse engineering or copying our technologies. We maintain, as trade secrets, information relating our
product candidates currently in development, as well as information related to our business strategy and business methods. However, trade
secrets and confidential know-how are difficult to protect. To avoid inadvertent and improper disclosure of trade secrets, and to avoid
the risks of former employees using these trade secrets to gain future employment, it is our policy to require employees, consultants
and independent contractors to assign to us all rights to intellectual property they develop in connection with their employment with
or services for us. We also protect our existing and developing intellectual property expressly through confidentiality provisions in
agreements with third parties. There can be no assurance, however, that these agreements will be self-executing or otherwise provide
meaningful protection for our trade secrets or other intellectual property or proprietary information, or adequate remedies in the event
of unauthorized use or disclosure of such trade secrets or other intellectual property or proprietary information. We also seek to preserve
the integrity and confidentiality of our trade secrets and other confidential information by maintaining physical security of our premises
and physical and electronic security of our information technology systems. While we have confidence in the measures we take to protect
and preserve our trade secrets, such measures can be breached, and we may not have adequate remedies for any such breach. In addition,
our trade secrets may otherwise become known or be independently discovered by competitors.

 We intend to pursue additional intellectual property
protection to the extent we believe it would advance our business objectives, which may include objectives within and outside the United
States. Despite our efforts to protect our intellectual property rights these rights may not be respected in the future or may be circumvented
or challenged (and potentially invalidated) in a legal proceeding in any jurisdiction where we have intellectual property rights. In addition,
the laws of various foreign countries may not afford the same protections or assurances to the same extent as the laws in the United States.
See the section titled "Risk Factors — Risks Related to Our Intellectual Property" for additional information regarding
these and other risks related to intellectual property.

 Competition

 The industry we operate is in highly competitive
and dynamic, subject to rapid technological change. We have competition in the market for both our product candidates and may face competition
from large pharmaceutical and biotechnology companies, smaller pharmaceutical and biotechnology companies, specialty pharmaceutical companies,
generic drug companies, academic institutions, government agencies, research institutions and others.

 We believe that our intellectual property, proprietary scientific knowledge,
development experience and partnerships will provide us with competitive advantages in the market we operate in.

 We are aware of competing products and adjacent
therapies, not limited to small molecules, biologics and cell therapies, that address the same domain of conditions we are targeting.
The following list of competitors indicate companies that are directly competing with our product candidate.

 Competitors for our briquilimab c-Kit targeted
therapeutic program include the following:

 Celldex Therapeutics, Inc.,
which is developing an antibody to c-Kit that is being studied in mast cell diseases;

 Third Harmonic, Inc., which
is developing small molecule inhibitors to c-Kit for mast cell diseases;

 Blueprint Medicines, which is
developing a small molecule c-Kit inhibitor for mast cell diseases;

 Novartis, Inc., which is developing
a small molecule inhibitor to Bruton's Tyrosine Kinase for mast cell diseases;

 Sanofi Aventis, Inc., which is developing an antibody to the Interleukin 4 receptor alpha for mast cell diseases;

 Evommune, Inc., which is developing a small-molecule antagonist of MRGPRX2 in mast cell driven diseases.

 Sales and Marketing

 We do not currently have sales and marketing infrastructure
to support commercial launch of our product candidates, if approved. We may build such capabilities in North America prior to potential
launch of briquilimab. Outside of North America, we may rely on licensing, co-sale and co-promotion agreements with strategic partners
for the commercialization of our product candidates. If we build a commercial infrastructure to support marketing in North America, such
commercial infrastructure could be expected to include a targeted sales force supported by sales management, internal sales support, an
internal marketing group and distribution support. To develop the appropriate commercial infrastructure internally, we would have to invest
financial and management resources, some of which would have to be deployed prior to any confirmation that briquilimab will be approved.

 Research and Development

 We invest significantly in our research and development
efforts, to discover and validate therapeutics while improving our processes and approach to drug making. We strive to progress candidates
that can address unmet or underserved clinical needs and favor programs with well-validated targets and defined regulatory approval paths.
Our R&D team has played key roles in discovering and developing a number of promising candidates over the past 20 plus years while
at Jasper, and while at Alexion, Amgen, Arcus, AstraZeneca, Bayer, BeiGene, Bristol-Myers Squibb, Genentech, Gilead, Johnson & Johnson,
Portola, and others. They have leveraged experience, insights and capabilities to optimize development, along with fostering collaboration
with external partners to innovate and expand into potential additional indications. Our current development-stage portfolio consists
of briquilimab in mast and stem cell diseases.

 Manufacturing

 We do not currently own or operate any manufacturing facility. We rely
on contract manufacturing organizations to produce our drug candidates in accordance with cGMP regulations for use in our clinical studies.
The manufacture of pharmaceuticals is subject to extensive cGMP regulations, which impose various procedural and documentation requirements
and govern all areas of record keeping, production processes and controls, personnel and quality control. Under our license agreement
with Amgen, we have received a substantial amount of drug product to support initiation of our planned clinical trials of briquilimab.
In November 2019, we entered into development and manufacturing agreements with Lonza Sales AG ("Lonza") relating to the manufacturing
of briquilimab and product quality testing. The facility of Lonza in Slough, United Kingdom is responsible for production and testing
of drug substance. The facility of Lonza in Stein, Switzerland is responsible for production and testing of drug product. Labelling, packaging
and storage of finished drug product is provided by PCI Pharma Services, in San Diego, California. Our agreement with Lonza includes certain
limitations on our ability to enter into supply arrangements with any other supplier without Lonza's consent. In addition, Lonza
has the right to increase the prices it charges us for certain supplies depending on a number of factors, some of which are outside of
our control.

 Government Regulation

 Government authorities in the United States, at
the federal, state and local level, and in other countries and jurisdictions, including the European Union, extensively regulate, among
other things, the research, development, testing, manufacture, pricing, reimbursement, sales, quality control, approval, packaging, storage,
recordkeeping, labeling, advertising, promotion, distribution, marketing, post-approval monitoring and reporting, and import and export
of pharmaceutical products, including biological products. The processes for obtaining marketing approvals in the United States and in
foreign countries and jurisdictions, along with subsequent compliance with applicable statutes and regulations and other regulatory authorities,
require the expenditure of substantial time and financial resources.

 Licensure and Regulation of Biologics in the United States

 In the United States, our product candidates are
regulated as biological products, or biologics, under the Public Health Service Act ("PHSA") and the Food, Drug, and Cosmetic
Act ("FDCA") and its implementing regulations and guidance. The failure to comply with the applicable U.S. requirements at
any time during the product development process, including preclinical testing, clinical testing, the approval process, or post-approval
process, may subject an applicant to delays in the conduct of the study, regulatory review, and approval, and/or administrative or judicial
sanctions.

 An applicant seeking approval to market and distribute
a new biologic in the United States generally must satisfactorily complete each of the following steps:

 preclinical laboratory tests,
animal studies, and formulation studies all performed in accordance with the FDA's good laboratory practice ("GLP")
regulations;

 completion of the manufacture,
under cGMP conditions, of the drug substance and drug product that the sponsor intends to use in human clinical trials along with
required analytical and stability testing;

 submission to the FDA of an investigational new drug (" IND") application for human clinical testing, which must become effective before human clinical trials may begin;

 approval by an institutional review board ("IRB") representing each clinical site before each clinical trial may be initiated;

 performance of adequate and
well-controlled human clinical trials to establish the safety, potency, and purity of the product candidate for each proposed indication,
in accordance with cGCPs;

 preparation and submission to
the FDA of a biologics license application ("BLA") for a biologic product requesting marketing for one or more proposed indications,
including submission of detailed information on the manufacture and composition of the product in clinical development and proposed labelling;

 review of the product by an
FDA advisory committee, where appropriate or if applicable;

 satisfactory completion of one
or more FDA inspections of the manufacturing facility or facilities, including those of third parties, at which the product, or components
thereof, are produced to assess compliance with cGMP requirements and to assure that the facilities, methods, and controls are adequate
to preserve the product's identity, strength, quality, and purity;

 satisfactory completion of any
FDA audits of the preclinical studies and clinical trial sites to assure compliance with GLP, as applicable, and good clinical practices
("GCP"), and the integrity of clinical data in support of the BLA;

 payment of user fees under the Prescription Drug User Fee Act
("PDUFA");

 securing FDA approval of the BLA and licensure of the new biologic product; and

 compliance with any post-approval
requirements, including the potential requirement to implement a Risk Evaluation and Mitigation Strategy ("REMS") and any
post-approval studies or other post-marketing commitments required by the FDA.

 Preclinical Studies and Investigational New Drug Application

 Before testing any biologic product candidate in
humans, the product candidate must undergo preclinical testing. Preclinical tests include laboratory evaluations of product chemistry,
formulation and stability, as well as studies to evaluate the potential for efficacy and toxicity in animal studies. The conduct of the
preclinical tests and formulation of the compounds for testing must comply with federal regulations and requirements. The results of the
preclinical tests, together with manufacturing information and analytical data, are submitted to the FDA as part of an IND application.

 An IND is an exemption from the FDCA that allows
an unapproved product candidate to be shipped in interstate commerce for use in an investigational clinical trial and a request for FDA
authorization to administer such investigational product to humans. The IND automatically becomes effective 30 days after receipt by the
FDA, unless before that time the FDA raises concerns or questions about the product or conduct of the proposed clinical trial, including
concerns that human research subjects will be exposed to unreasonable health risks. In that case, the IND sponsor and the FDA must resolve
any outstanding FDA concerns before the clinical trials can begin or recommence.

 As a result, submission of the IND may result in
the FDA not allowing the trials to commence or allowing the trial to commence on the terms originally specified by the sponsor in the
IND. If the FDA raises concerns or questions either during this initial 30-day period, or at any time during the IND review process, it
may choose to impose a partial or complete clinical hold. Clinical holds are imposed by the FDA whenever there is concern for patient
safety, may be a result of new data, findings, or developments in clinical, preclinical, and/or chemistry, manufacturing, and controls
or where there is non-compliance with regulatory requirements. This order issued by the FDA would delay either a proposed clinical trial
or cause suspension of an ongoing trial, until all outstanding concerns have been adequately addressed and the FDA has notified the company
that investigations may proceed. This could cause significant delays or difficulties in completing our planned clinical trial or future
clinical trials in a timely manner.

 Human Clinical Trials in Support of a BLA

 Clinical trials involve the administration of the
investigational product candidate to healthy volunteers or patients with the disease or condition to be treated under the supervision
of a qualified principal investigator in accordance with GCP requirements. Clinical trials are conducted under protocols detailing, among
other things, the objectives of the trial, inclusion and exclusion criteria, the parameters to be used in monitoring safety, and the effectiveness
criteria to be evaluated. A protocol for each clinical trial and any subsequent protocol amendments must be submitted to the FDA as part
of the IND.

 A sponsor who wishes to conduct a clinical
trial outside the United States may, but need not, obtain FDA authorization to conduct the clinical trial under an IND. When a
foreign clinical trial is conducted under an IND, all FDA IND requirements must be met unless waived. When a foreign clinical trial
is not conducted under an IND, the sponsor must ensure that the trial complies with certain regulatory requirements of the FDA in
order to use the trial as support for an IND or application for marketing approval. Specifically, the FDA requires that such trials
be conducted in accordance with GCP, including review and approval by an independent ethics committee and informed consent from
participants. The GCP requirements encompass both ethical and data integrity standards for clinical trials. The FDA's
regulations are intended to help ensure the protection of human subjects enrolled in non-IND foreign clinical trials, as well as the
quality and integrity of the resulting data. They further help ensure that non-IND foreign trials are conducted in a manner
comparable to that required for clinical trials in the United States.

 Further, each clinical trial must be reviewed and
approved by an IRB either centrally or individually at each institution at which the clinical trial will be conducted. The IRB will consider,
among other things, clinical trial design, patient informed consent, ethical factors, the safety of human subjects, and the possible liability
of the institution. An IRB must operate in compliance with FDA regulations. The FDA, IRB, or the clinical trial sponsor may suspend or
discontinue a clinical trial at any time for various reasons, including a finding that the clinical trial is not being conducted in accordance
with FDA requirements or that the participants are being exposed to an unacceptable health risk. Clinical testing also must satisfy extensive
GCP rules and the requirements for informed consent.

 Additionally, some clinical trials are overseen
by an independent group of qualified experts organized by the clinical trial sponsor, known as a data safety monitoring board ("DSMB")
or Independent Data Safety Monitoring Committee ("IDMC"). This group may recommend continuation of the trial as planned, changes
in trial conduct, or cessation of the trial at designated check points based on certain available data from the trial to which only the
DSMB or IDMC has access.

 Clinical trials typically are conducted in three
sequential phases, but the phases may overlap or be combined. Additional studies may be required after approval.

 Phase 1 clinical trials are
initially conducted in a limited population to test the product candidate for safety, including adverse effects, dose tolerance, absorption,
metabolism, distribution, excretion, and pharmacodynamics in healthy humans or, on occasion, in patients, such as cancer patients.

 Phase 2 clinical trials are
generally conducted in a limited patient population to identify possible adverse effects and safety risks, evaluate the efficacy of the
product candidate for specific targeted indications and determine dose tolerance and optimal dosage. Multiple Phase 2 clinical trials
may be conducted by the sponsor to obtain information prior to beginning larger and more costly Phase 3 clinical trials.

 Phase 3 clinical trials proceed
if the Phase 2 clinical trials demonstrate that a dose range of the product candidate is potentially effective and has an acceptable
safety profile. Phase 3 clinical trials are undertaken within an expanded patient population to further evaluate dosage, provide substantial
evidence of clinical efficacy, and further test for safety in an expanded and diverse patient population at multiple, geographically
dispersed clinical trial sites. A well-controlled, statistically robust Phase 3 trial may be designed to deliver the data that regulatory
authorities will use to decide whether or not to approve, and, if approved, how to appropriately label a biologic; such Phase 3 studies
are referred to as "pivotal."

 In some cases, the FDA may approve a BLA for a product but require
the sponsor to conduct additional clinical trials to further assess the product's safety and effectiveness after licensure. Such
post-approval studies are typically referred to as Phase 4 clinical trials. These studies are used to gain additional experience from
the treatment of patients in the intended therapeutic indication and to document a clinical benefit in the case of biologics approved
under accelerated approval regulations. The FDA may require a post-approval study to be underway prior to approval or within a specified
time period following approval, and the submission of progress reports for the study. The FDA is authorized to initiate enforcement action
for the failure to conduct with due diligence a required post-approval study, including a failure to meet any required conditions specified
by the FDA or to submit timely reports. If the FDA approves a product while a company has ongoing clinical trials that were not necessary
for approval, a company may be able to use the data from these clinical trials to meet all or part of any Phase 4 clinical trial requirement
or to request a change in the product labeling. The failure to exercise due diligence with regard to conducting Phase 4 clinical trials
could result in withdrawal of approval for products.

 Information about applicable clinical trials must
be submitted within specific timeframes to the NIH for public dissemination on its ClinicalTrials.gov website.

 Compliance with cGMP Requirements

 Before approving a BLA, the FDA typically will inspect the facility
or facilities where the product is manufactured. The FDA will not approve an application unless it determines that the manufacturing processes
and facilities comply with cGMP requirements and adequate to assure consistent production of the product within required specifications.
The PHSA emphasizes the importance of manufacturing control for products like biologics whose attributes cannot be precisely defined.

 Manufacturers and others involved in the manufacture
and distribution of products must also register their establishments with the FDA and certain state agencies. Both domestic and foreign
manufacturing establishments must register and provide additional information to the FDA upon their initial participation in the manufacturing
process. Any product manufactured by or imported from a facility that has not registered, whether foreign or domestic, is deemed misbranded
under the FDCA. Establishments may be subject to periodic unannounced inspections by government authorities to ensure compliance with
cGMPs and other laws. Inspections must follow a "risk-based schedule" that may result in certain establishments being inspected
more frequently. Manufacturers may also have to provide, on request, electronic or physical records regarding their establishments. Delaying,
denying, limiting, or refusing inspection by the FDA may lead to a product being deemed to be adulterated.

 Review and Approval of a BLA

 The results of product candidate development, preclinical
testing, and clinical trials, including negative or ambiguous results as well as positive findings, are submitted to the FDA as part of
a BLA requesting a license to market the product. The BLA must contain extensive manufacturing information and detailed information on
the composition of the product and proposed labeling as well as payment of a user fee. Under federal law, the submission of most BLAs
is subject to an application user fee. The sponsor of a licensed BLA is also subject to an annual program fee. Certain exceptions and
waivers are available for some of these fees, such as an exception from the application fee for products with orphan designation and a
waiver for certain small businesses.

 The FDA has 60 days after submission of the application
to conduct an initial review to determine whether it is sufficient to accept for filing based on the agency's threshold determination
that it is sufficiently complete to permit substantive review. Once the submission has been accepted for filing, the FDA begins an in-depth
review of the application. Under the goals and policies agreed to by the FDA under the PDUFA, the FDA has ten months in which to complete
its initial review of a standard application and respond to the applicant, and six months for a priority review of the application. The
FDA does not always meet its PDUFA goal dates for standard and priority BLAs. The review process may often be significantly extended by
FDA requests for additional information or clarification. The review process and the PDUFA goal date may be extended by three months if
the FDA requests or if the applicant otherwise provides additional information or clarification regarding information already provided
in the submission within the last three months before the PDUFA goal date.

 Under the PHSA, the FDA may approve a BLA if it
determines that the product is safe, pure, and potent, and the facility where the product will be manufactured meets standards designed
to ensure that it continues to be safe, pure, and potent. On the basis of the FDA's evaluation of the application and accompanying
information, including the results of the inspection of the manufacturing facilities and any FDA audits of preclinical and clinical trial
sites to assure compliance with GCPs, the FDA may issue an approval letter or a complete response letter. An approval letter authorizes
commercial marketing of the product with specific prescribing information for specific indications. If the application is not approved,
the FDA will issue a complete response letter, or CRL, which will contain the conditions that must be met in order to secure final approval
of the application, and when possible will outline recommended actions the sponsor might take to obtain approval of the application. Sponsors
that receive a CRL may submit to the FDA information that represents a complete response to the issues identified by the FDA.

 The FDA may also refer the application to an advisory
committee for review, evaluation, and recommendation as to whether the application should be approved. In particular, the FDA may refer
applications for novel biologic products or biologic products that present difficult questions of safety or efficacy to an advisory committee.
Typically, an advisory committee is a panel of independent experts, including clinicians and other scientific experts, that reviews, evaluates,
and provides a recommendation as to whether the application should be approved and under what conditions. The FDA is not bound by the
recommendations of an advisory committee, but it considers such recommendations carefully when making decisions.

 If the FDA approves a new product, it may limit
the approved indication(s) for use of the product. It may also require that contraindications, warnings, or precautions be included in
the product labeling. In addition, the FDA may call for post-approval studies, including Phase 4 clinical trials, to further assess the
product's efficacy and/or safety after approval. The agency may also require testing and surveillance programs to monitor the product
after commercialization, or impose other conditions, including distribution restrictions or other risk management mechanisms, including
REMS, to help ensure that the benefits of the product outweigh the potential risks. REMS can include medication guides, communication
plans for healthcare professionals, and elements to assure safe use.

 Expedited Review Programs

 The FDA is authorized to expedite the review of
BLAs in several ways. Under the Fast Track program, the sponsor of a product candidate may request the FDA to designate the product for
a specific indication as a Fast Track product concurrent with or after the filing of the IND. Candidate products are eligible for Fast
Track designation if they are intended to treat a serious or life-threatening condition and demonstrate the potential to address unmet
medical needs for the condition. Fast Track designation applies to the combination of the product candidate and the specific indication
for which it is being studied. In addition to other benefits, such as the ability to have greater interactions with the FDA, the FDA may
initiate review of sections of a Fast Track application before the application is complete, a process known as rolling review.

 Any product candidate submitted to the FDA for
marketing, including under a Fast Track program, may be eligible for other types of FDA programs intended to expedite development and
review, such as breakthrough therapy designation, priority review and accelerated approval.

 Breakthrough therapy designation.
To qualify for the breakthrough therapy program, product candidates must be intended to treat a serious or life-threatening disease or
condition and preliminary clinical evidence must indicate that such product candidates may demonstrate substantial improvement on one
or more clinically significant endpoints over existing therapies. The FDA will seek to ensure the sponsor of a breakthrough therapy product
candidate receives intensive guidance on an efficient drug development program, intensive involvement of senior managers and experienced
staff on a proactive, collaborative and cross-disciplinary review and rolling review.

 Priority review. A product candidate
is eligible for priority review if it treats a serious condition and, if approved, it would be a significant improvement in the safety
or effectiveness of the treatment, diagnosis or prevention compared to marketed products. The FDA aims to complete its review of priority
review applications within six months as opposed to 10 months for standard review.

 Accelerated approval. Drug or
biologic products studied for their safety and effectiveness in treating serious or life-threatening illnesses and that provide meaningful
therapeutic benefit over existing treatments may receive accelerated approval. Accelerated approval means that a product candidate may
be approved on the basis of adequate and well controlled clinical trials establishing that the product candidate has an effect on a surrogate
endpoint that is reasonably likely to predict a clinical benefit, or on the basis of an effect on a clinical endpoint other than survival
or irreversible morbidity or mortality or other clinical benefit, taking into account the severity, rarity and prevalence of the condition
and the availability or lack of alternative treatments. As a condition of approval, the FDA may require that a sponsor of a drug or biologic
product candidate receiving accelerated approval perform adequate and well controlled post-marketing clinical trials. In addition, the
FDA currently requires as a condition for accelerated approval pre-approval of promotional materials.

 Regenerative advanced therapy.
With passage of the 21st Century Cures Act (the "Cures Act") in December 2016, Congress authorized the FDA to accelerate
review and approval of products designated as regenerative advanced therapies. A product is eligible for this designation if it is a
regenerative medicine therapy that is intended to treat, modify, reverse or cure a serious or life-threatening disease or condition and
preliminary clinical evidence indicates that the product candidate has the potential to address unmet medical needs for such disease
or condition. The benefits of a regenerative advanced therapy designation include early interactions with the FDA to expedite development
and review, benefits available to breakthrough therapies, potential eligibility for priority review and accelerated approval based on
surrogate or intermediate endpoints.

 None of these expedited programs change the standards
for approval but they may help expedite the development or approval process of product candidates.

 Post-Approval Regulation

 If regulatory approval for marketing of a product or new indication
for an existing product is obtained, the sponsor will be required to comply with all regular post-approval regulatory requirements as
well as any post-approval requirements that the FDA have imposed as part of the approval process. The sponsor will be required to report
certain safety and other postmarketing information and submissions, provide updated safety and efficacy information, implement product
tracking and tracing requirements, and comply with requirements concerning advertising and promotional labeling requirements. Manufacturers
and certain of their subcontractors are required to register their establishments with the FDA and certain state agencies and are subject
to periodic unannounced inspections by the FDA and certain state agencies for compliance with ongoing regulatory requirements, including
cGMP regulations, which impose certain procedural and documentation requirements upon manufacturers. Accordingly, the sponsor and its
third-party manufacturers must continue to expend time, money, and effort in the areas of production and quality control to maintain compliance
with cGMP regulations and other regulatory requirements.

 A product may also be subject to official lot release,
meaning that the manufacturer is required to perform certain tests on each lot of the product before it is released for distribution.
If the product is subject to official lot release, the manufacturer must submit samples of each lot, together with a release protocol
showing a summary of the history of manufacture of the lot and the results of all of the manufacturer's tests performed on the lot,
to the FDA. The FDA may in addition perform certain confirmatory tests on lots of some products before releasing the lots for distribution.
Finally, the FDA will conduct laboratory research related to the safety, purity, potency, and effectiveness of pharmaceutical products.

 Once an approval is granted, the FDA may withdraw
the approval if compliance with regulatory requirements and standards is not maintained or if problems occur after the product reaches
the market. Later discovery of previously unknown problems with a product, including adverse events of unanticipated severity or frequency,
or with manufacturing processes, or failure to comply with regulatory requirements, may result in revisions to the approved labeling to
add new safety information; imposition of post-market studies or clinical trials to assess new safety risks; or imposition of distribution
or other restrictions under a REMS program. Other potential consequences include, among other things:

 investigation or additional study obligations;

 communications to prescribers or patients about specific information or issues;

 restrictions on the marketing
or manufacturing of the product, complete withdrawal of the product from the market or product recalls;

 fines, warning or untitled letters or holds on post-approval clinical
 trials;

 refusal of the FDA to approve
pending applications or supplements to approved applications, or suspension or revocation of product license approvals;

 product recall, seizure or detention,
or refusal to permit the import or export of products; or

 injunctions or the imposition
of civil or criminal penalties.

 Pharmaceutical products may be promoted only for
the approved indications and in accordance with the provisions of the approved label. Although healthcare providers may prescribe products
for uses not described in the drug's labeling, known as off-label uses, in their professional judgment, drug manufacturers are prohibited
from soliciting, encouraging or promoting unapproved uses of a product. The FDA and other agencies actively enforce the laws and regulations
prohibiting the promotion of off-label uses, and a company that is found to have improperly promoted off-label uses may be subject to
significant liability.

 The FDA strictly regulates the marketing, labeling,
advertising, and promotion of prescription drug products placed on the market. This regulation includes, among other things, standards
and regulations for direct-to-consumer advertising, communications regarding unapproved uses, industry-sponsored scientific and educational
activities, and promotional activities involving the Internet and social media. Promotional claims about a drug's safety or effectiveness
are prohibited before the drug is approved. After approval, a drug product generally may not be promoted for uses that are not approved
by the FDA, as reflected in the product's prescribing information.

 If a company is found to have promoted off-label
uses, it may become subject to adverse public relations and administrative and judicial enforcement by the FDA, the Department of Justice
or the Office of the Inspector General of the Department of Health and Human Services, as well as state authorities. This could subject
a company to a range of penalties that could have a significant commercial impact, including civil and criminal fines and agreements that
materially restrict the manner in which a company promotes or distributes drug products. The federal government has levied large civil
and criminal fines against companies for alleged improper promotion and has also requested that companies enter into consent decrees or
permanent injunctions under which specified promotional conduct is changed or curtailed.

 Regulation and Procedures Governing Approval of Medicinal Products
in the European Union

 In order to market any product outside of the United
States, a company must also comply with numerous and varying regulatory requirements of other countries and jurisdictions regarding quality,
safety, and efficacy, and governing, among other things, clinical trials, marketing authorization, commercial sales, and distribution
of drug products. Whether or not it obtains FDA approval for a product, an applicant will need to obtain the necessary approvals by the
comparable foreign regulatory authorities before it can commence clinical trials or marketing of the product in those countries or jurisdictions.
Specifically, the process governing approval of medicinal products in the European Union generally follows the same lines as in the United
States. It entails satisfactory completion of preclinical studies and adequate and well-controlled clinical trials to establish the safety
and efficacy of the product for each proposed indication. It also requires the submission to the relevant competent authorities of a marketing
authorization application ("MAA") and granting of a marketing authorization by these authorities before the product can be
marketed and sold in the European Union.

 Clinical Trial Approval

 Pursuant to Clinical Trials Directive 2001/20/EC
and the Directive 2005/28/EC on GCP, a system for the approval of clinical trials in the European Union was implemented through national
legislation of the member states. Under this system, an applicant must obtain approval from the competent national authority of a European
Union member state in which the clinical trial is to be conducted, or in multiple member states if the clinical trial is to be conducted
in a number of member states. Furthermore, the applicant may only start a clinical trial at a specific site after the competent ethics
committee has issued a favorable opinion. The clinical trial application must be accompanied by an investigational medicinal product dossier
with supporting information prescribed by Directive 2001/20/EC and Directive 2005/28/EC and corresponding national laws of the member
states and further detailed in applicable guidance documents.

 In April 2014, the European Union adopted a new
Clinical Trials Regulation (EU) No 536/2014, which became effective on January 31, 2022. It overhauled the current system of approvals
for clinical trials in the European Union. Specifically, the new legislation, which is directly applicable in all member states, is aimed
at simplifying and streamlining the approval of clinical trials in the European Union. For instance, the new Clinical Trials Regulation
provides for a streamlined application procedure via a single-entry point, the Clinical Trials Information System ("CTIS"),
and strictly defined deadlines for the assessment of clinical trial applications.

 The conduct of all clinical trials commenced in
the European Union prior to January 31, 2022 will continue to be bound by the previously applicable provisions. However, if a clinical
trial continues for more than three years after January 31, 2022, the Clinical Trials Regulation will at that time begin to apply to the
clinical trial. As of January 31, 2023, all new trial authorizations must be applied for under the Clinical Trials Regulation and utilize
CTIS.

 Marketing Authorization

 To obtain a marketing authorization for a product
under the European Union regulatory system, an applicant must submit an MAA, either under a centralized procedure administered by the
EMA or one of the procedures administered by competent authorities in European Union Member States (decentralized procedure, national
procedure, or mutual recognition procedure). A marketing authorization may be granted only to an applicant established in the European
Union. Regulation (EC) No 1901/2006 provides that prior to obtaining a marketing authorization in the European Union, an applicant must
demonstrate compliance with all measures included in an EMA approved Pediatric Investigation Plan ("PIP") covering all subsets
of the pediatric population, unless the EMA has granted a product specific waiver, class waiver, or a deferral for one or more of the
measures included in the PIP.

 The centralized procedure provides for the grant
of a single marketing authorization by the European Commission that is valid for all European Union member states. Pursuant to Regulation
(EC) No. 726/2004, the centralized procedure is compulsory for specific products, including for medicines produced by certain biotechnological
processes, products designated as orphan medicinal products, advanced therapy products and products with a new active substance indicated
for the treatment of certain diseases, including products for the treatment of cancer. For products with a new active substance indicated
for the treatment of other diseases and products that are highly innovative or for which a centralized process is in the interest of patients,
the centralized procedure may be optional. Manufacturers must demonstrate the quality, safety, and efficacy of their products to the EMA,
which provides an opinion regarding the MAA. The European Commission grants or refuses marketing authorization in light of the opinion
delivered by the EMA.

 Under the centralized procedure, the CHMP established
at the EMA is responsible for conducting an initial assessment of a product. Under the centralized procedure in the European Union, the
maximum timeframe for the evaluation of an MAA is 210 days, excluding clock stops when additional information or written or oral explanation
is to be provided by the applicant in response to questions of the CHMP. Accelerated evaluation may be granted by the CHMP in exceptional
cases, when a medicinal product is of major interest from the point of view of public health and, in particular, from the viewpoint of
therapeutic innovation. If the CHMP accepts such a request, the time limit of 210 days will be reduced to 150 days, but it is possible
that the CHMP may revert to the standard time limit for the centralized procedure if it determines that it is no longer appropriate to
conduct an accelerated assessment.

 Coverage, Pricing, and Reimbursement

 Significant uncertainty exists as to the coverage
and reimbursement status of any product candidates for which we may seek regulatory approval by the FDA or other government authorities.
In the United States and markets in other countries, patients who are prescribed treatments for their conditions and providers performing
the prescribed services generally rely on third-party payors to reimburse all or part of the associated healthcare costs. Patients are
unlikely to use any product candidates we may develop unless coverage is provided and reimbursement is adequate to cover a significant
portion of the cost of such product candidates. Even if any product candidates we may develop are approved, sales of such product candidates
will depend, in part, on the extent to which third-party payors, including government health programs in the United States such as Medicare
and Medicaid, commercial health insurers, and managed care organizations, provide coverage, and establish adequate reimbursement levels
for, such product candidates. The process for determining whether a payor will provide coverage for a product may be separate from the
process for setting the price or reimbursement rate that the payor will pay for the product once coverage is approved. Third-party payors
are increasingly challenging the prices charged, examining the medical necessity, and reviewing the cost-effectiveness of medical products
and services and imposing controls to manage costs. Third-party payors may limit coverage to specific products on an approved list, also
known as a formulary, which might not include all of the approved products for a particular indication.

 In order to secure coverage and reimbursement
for any product that might be approved for sale, a company may need to conduct expensive pharmacoeconomic studies in order to
demonstrate the medical necessity and cost-effectiveness of the product, in addition to the costs required to obtain FDA or other
comparable marketing approvals. Nonetheless, product candidates may not be considered medically necessary or cost-effective. A
decision by a third-party payor not to cover any product candidates we may develop could reduce physician utilization of such
product candidates once approved and have a material adverse effect on our sales, results of operations and financial condition.
Additionally, a payor's decision to provide coverage for a product does not imply that an adequate reimbursement rate will be
approved. Further, one payor's determination to provide coverage for a product does not assure that other payors will also
provide coverage and reimbursement for the product, and the level of coverage and reimbursement can differ significantly from payor
to payor. Third-party reimbursement and coverage may not be available to enable us to maintain price levels sufficient to realize an
appropriate return on our investment in product development. In addition, any companion diagnostic tests require coverage and
reimbursement separate and apart from the coverage and reimbursement for their companion pharmaceutical or biological products.
Similar challenges to obtaining coverage and reimbursement applicable to pharmaceutical or biological products will apply to any
companion diagnostics.

 The containment of healthcare costs also has become
a priority of federal, state and foreign governments and the prices of pharmaceuticals have been a focus in this effort. Governments have
shown significant interest in implementing cost-containment programs, including price controls, restrictions on reimbursement, and requirements
for substitution of generic products. Adoption of price controls and cost-containment measures, and adoption of more restrictive policies
in jurisdictions with existing controls and measures, could further limit a company's revenue generated from the sale of any approved
products. Coverage policies and third-party reimbursement rates may change at any time. Even if favorable coverage and reimbursement status
is attained for one or more products for which a company or its collaborators receive marketing approval, less favorable coverage policies
and reimbursement rates may be implemented in the future.

 If we obtain approval in the future to market in
the United States any product candidates we may develop, we may be required to provide discounts or rebates under government healthcare
programs or to certain government and private purchasers in order to obtain coverage under federal healthcare programs such as Medicaid.
Participation in such programs may require us to track and report certain drug prices. We may be subject to fines and other penalties
if we fail to report such prices accurately.

 Outside the United States, ensuring adequate coverage
and payment for any product candidates we may develop will face challenges. Pricing of prescription pharmaceuticals is subject to governmental
control in many countries. Pricing negotiations with governmental authorities can extend well beyond the receipt of regulatory marketing
approval for a product and may require us to conduct a clinical trial that compares the cost-effectiveness of any product candidates we
may develop to other available therapies. The conduct of such a clinical trial could be expensive and result in delays in our commercialization
efforts.

 In the European Union, pricing and reimbursement
schemes vary widely from country to country. Some countries provide that products may be marketed only after a reimbursement price has
been agreed. Some countries may require the completion of additional studies that compare the cost-effectiveness of a particular product
candidate to currently available therapies (so called health technology assessments) in order to obtain reimbursement or pricing approval.
For example, the European Union provides options for its member states to restrict the range of products for which their national health
insurance systems provide reimbursement and to control the prices of medicinal products for human use. European Union member states may
approve a specific price for a product, or they may instead adopt a system of direct or indirect controls on the profitability of the
company placing the product on the market. Other member states allow companies to fix their own prices for products but monitor and control
prescription volumes and issue guidance to physicians to limit prescriptions. Recently, many countries in the European Union have increased
the amount of discounts required on pharmaceuticals and these efforts could continue as countries attempt to manage healthcare expenditures,
especially in light of the severe fiscal and debt crises experienced by many countries in the European Union. The downward pressure on
healthcare costs in general, particularly prescription products, has become intense. As a result, increasingly high barriers are being
erected to the entry of new products. Political, economic, and regulatory developments may further complicate pricing negotiations, and
pricing negotiations may continue after reimbursement has been obtained. Reference pricing used by various European Union member states,
and parallel trade (arbitrage between low-priced and high-priced member states), can further reduce prices. There can be no assurance
that any country that has price controls or reimbursement limitations for pharmaceutical products will allow favorable reimbursement and
pricing arrangements for any of our products, if approved in those countries.

 Healthcare Law and Regulation

 Healthcare providers and third-party payors play
a primary role in the recommendation and prescription of drug products that are granted marketing approval. Arrangements with providers,
consultants, third-party payors, and customers are subject to broadly applicable fraud and abuse, anti-kickback, false claims laws, patient
privacy laws and regulations and other healthcare laws and regulations that may constrain our business and/or financial arrangements.
Restrictions under applicable federal and state healthcare laws and regulations, include the following:

 the U.S. federal Anti-Kickback
Statute, which prohibits, among other things, persons and entities from knowingly and willfully soliciting, offering, paying, receiving,
or providing remuneration, directly or indirectly, in cash or in kind, to induce or reward either the referral of an individual for,
or the purchase, order or recommendation of, any good or service, for which payment may be made, in whole or in part, under a federal
healthcare program such as Medicare and Medicaid;

 the federal civil and criminal
false claims laws, including the civil False Claims Act, and civil monetary penalties laws, which prohibit individuals or entities from,
among other things, knowingly presenting, or causing to be presented, to the federal government, claims for payment that are false, fictitious,
or fraudulent or knowingly making, using, or causing to made or used a false record or statement to avoid, decrease, or conceal an obligation
to pay money to the federal government;

 the FCPA, which prohibits companies
and their intermediaries from making, or offering or promising to make improper payments to non-U.S. officials for the purpose of obtaining
or retaining business or otherwise seeking favorable treatment; and

 the federal transparency requirements
known as the federal Physician Payments Sunshine Act, which requires certain manufacturers of drugs, devices, biologics and medical supplies
to report annually to the CMS within the U.S. Department of Health and Human Services, information related to payments and other transfers
of value made by that entity to physicians, as defined by such law, and teaching hospitals, as well as ownership and investment interests
held by physicians and their immediate family members.

 Further, some state laws require pharmaceutical
companies to comply with the pharmaceutical industry's voluntary compliance guidelines and the relevant compliance guidance promulgated
by the federal government in addition to requiring pharmaceutical manufacturers to report information related to payments to physicians
and other healthcare providers or marketing expenditures. In addition, certain state and local laws require the registration of pharmaceutical
sales representatives in the jurisdiction. State and foreign laws also govern the privacy and security of health information in some circumstances,
many of which differ from each other in significant ways and often are not preempted by the federal Health Insurance Portability and Accountability
Act of 1996 ("HIPAA"), thus complicating compliance efforts.

 Failure to comply with these laws described above
or any other governmental regulations that apply to us, may subject us to, without limitation, civil, criminal, and administrative penalties,
damages, monetary fines, disgorgement, exclusion from government-funded healthcare programs, such as Medicare and Medicaid or similar
programs in other countries or jurisdictions, integrity oversight and reporting obligations to resolve allegations of non-compliance,
imprisonment, contractual damages, reputational harm, diminished profits and future earnings and curtailment or restructuring of our operations,
any of which could adversely affect our business, financial condition and results of operations.

 Employees and Human Capital

 As of December 31, 2024, we employed 64 full-time
employees. The 64 full-time employees were engaged in research and development, operations, finance, and business development. Eleven
employees held Ph. D. degrees and six held an M.D. degree. Our employees are not represented by labor unions or covered under any collective
bargaining agreements. We consider our relationship with our employees to be good.

 Our human capital resources objectives include,
as applicable, identifying, recruiting, retaining, incentivizing and integrating our existing and additional employees. The principal
purposes of our equity incentive plans are to attract, retain and motivate selected employees and directors through the granting of stock-based
compensation awards.

 Facilities

 We lease a total of approximately 25,900 square
feet of space across two buildings for our headquarters in Redwood City, California under a single lease agreement that expires in August
2026. Thereafter, at our option, we may extend the term for an additional five years to August 2031. We believe that our existing
facilities are adequate to meet our current needs, and that suitable additional alternative spaces will be available in the future
on commercially reasonable terms.

 Indemnification and Insurance

 Our business exposes us to potential liability
including, but not limited to, potential liability for (i) non-compliance with applicable laws and regulations, and (ii) employment-related
claims. In certain circumstances, we may also be liable for the acts or omissions of others, such as suppliers of goods or services.

 We attempt to manage our potential liability to
third parties through contractual protection (such as indemnification and limitation of liability provisions) in our contracts and through
insurance. The contractual indemnification provisions vary in scope and generally do not protect us against all potential liabilities.
In addition, in the event that we seek to enforce such an indemnification provision, the indemnifying party may not have sufficient resources
to fully satisfy its indemnification obligations or may otherwise not comply with its contractual obligations.

 We currently maintain insurance coverage with limits
we believe to be appropriate. The coverage provided by such insurance may not be adequate for all claims made, and such claims may be
contested by applicable insurance carriers.

 Organization

 We were organized as a corporation under the laws
of the State of Delaware on August 13, 2019 under the name "Amplitude Healthcare Acquisition Corporation". On September 24,
2021, we consummated the previously announced Business Combination (pursuant to the Business Combination Agreement, dated May 5, 2021,
by and among AMHC, Merger Sub and Old Jasper). Pursuant to the terms of the Business Combination Agreement, a Business Combination or
Reverse Recapitalization for accounting purposes between AMHC and Old Jasper was effected through the merger of Merger Sub with and into
Old Jasper with Old Jasper surviving as AMHC's wholly-owned subsidiary. In connection with the Business Combination, AMHC changed
its name from Amplitude Healthcare Acquisition Corporation to Jasper Therapeutics, Inc.

 Website Access to SEC Filings

 We file annual, quarterly and special reports,
proxy statements and other information with the Securities and Exchange Commission (the "SEC"). The SEC maintains an Internet
website at  that contains reports, proxy and information statements, and other information regarding issuers that file
electronically with the SEC, including Jasper. We maintain an Internet website at www.jaspertherapeutics.com. The information contained
on our website or that can be accessed through our website does not constitute a part of this report. We make available, free of charge
through our Internet website, our Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K
and amendments to those reports filed or furnished pursuant to Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended (the
"Exchange Act"), as soon as reasonably practicable after we electronically file or furnish this information to the SEC.

 ITEM 1A. RISK FACTORS

 Investing in our common stock involves a
high degree of risk. Before making an investment decision, you should carefully consider the risks described below before deciding
whether to invest in our common stock. Before you make a decision to buy our securities, in addition to the risks and uncertainties
discussed above under "Cautionary Note Regarding Forward-Looking Statements", you should carefully consider
the specific risks set forth herein. If any of these risks actually occur, it may materially harm our business, financial condition,
liquidity and results of operations. As a result, the market price of our securities could decline, and you could lose all or part
of your investment. Additionally, the risks and uncertainties described below are not the only risks and uncertainties that we face.
Additional risks and uncertainties not presently known to us or that we currently believe to be immaterial may become material and
adversely affect our business.

 Risk Factor Summary

 Below is a summary of the principal factors that
make an investment in our common stock speculative or risky. This summary does not address all of the risks that we face. Additional discussion
of the risks summarized in this risk factor summary, and other risks that we face, can be found below and should be carefully considered,
together with other information in this Annual Report on Form 10-K and our other filings with the SEC before making an investment decision
regarding our common stock.

 Risks Related to Our Financial
Position and Need for Additional Capital, including, among others, that:

 We have incurred significant
net losses and negative operating cash flows since our inception. We expect to incur net losses for the foreseeable future and may never
achieve or maintain profitability.

 We will need substantial additional
funding, which may not be available on acceptable terms, or at all. If we are unable to raise capital when needed, we would be forced
to delay, reduce or eliminate our research and product development programs or future commercialization efforts.

 Risks Related to Discovery,
Development, Manufacturing and Commercialization, including, among others, that:

 We are substantially dependent
on the success of our most advanced product candidate, briquilimab. If we are unable to complete development of, obtain approval for
and commercialize our product candidates, including briquilimab, in a timely manner or at all, our business will be harmed.

 We may not be successful in
our efforts to identify, develop and commercialize additional product candidates. If these efforts are unsuccessful, we may never become
a commercial stage company or generate any revenues.

 We may expend our limited resources
to pursue a particular product candidate or indication and fail to capitalize on product candidates or indications that may be more profitable
or for which there is a greater likelihood of success.

 If any of our product candidates
cause serious adverse events, undesirable side effects or unexpected characteristics, such events, side effects or characteristics could
delay or prevent regulatory approval of the product candidate, limit our commercial potential or result in significant negative consequences
following any potential marketing approval.

 Results of preclinical studies
and early clinical trials may not be predictive of results of future clinical trials, and such results do not guarantee approval of a
product candidate by regulatory authorities. In addition, our clinical trials to date have been limited in scope, and results received
to date may not be replicated in expanded or additional future clinical trials.

 We have never obtained regulatory
approval for a drug, may never receive regulatory approval for any of our product candidates, and may therefore never generate revenues
from product sales.

 We face significant competition
in an environment of rapid technological change, and there is a possibility that our competitors may achieve regulatory approval before
us or develop therapies that are safer or more advanced or effective than ours, which may harm our financial condition and our ability
to successfully market or commercialize our product candidates.

 Risks Related to Regulatory
Review, including, among others, that:

 If clinical trials of our product
candidates fail to demonstrate safety and efficacy to the satisfaction of regulatory authorities or do not otherwise produce positive
results, we may incur additional costs or experience delays in completing, or ultimately be unable to complete, the development and commercialization
of such product candidates.

 Risks Related to Our Relationships with Third Parties, including, among others, that:

 We rely on third parties to conduct our preclinical and clinical trials and will rely on them to perform other tasks for us. If these third parties do not successfully carry out their contractual duties, meet expected deadlines or comply with regulatory requirements, we may not be able to obtain regulatory approval for or commercialize our product candidates and our business could be substantially harmed.

 We currently rely on a single manufacturer for our clinical supply of our product candidates. In the event of a loss of this manufacturer, or a failure by such manufacturer to comply with FDA regulations, we may not be able to find an alternative source on commercially reasonable terms, or at all. In addition, third-party manufacturers and any third-party collaborators may be unable to successfully scale-up manufacturing of our current or future product candidates in sufficient quality and quantity, which would delay or prevent us from developing our product candidates and commercializing approved products, if any.

 Risks Related to Our Intellectual Property, including, among others, that:

 We are highly dependent on intellectual property licensed from third parties, and termination of any of these licenses could result in the loss of significant rights, which would harm our business.

 Our commercial success depends on our ability to obtain, maintain and protect our intellectual property and proprietary technology.

 Risks Related to Ownership of Our Common Stock and Warrants, including, among others, that:

 We have incurred and will continue to incur significant increased expenses and administrative burdens as a public company, which could negatively impact our business, financial condition and results of operations.

 Risks Related to Our Financial Position and Need for Additional
Capital

 We have incurred significant net losses and negative operating
cash flows since our inception. We expect to incur net losses for the foreseeable future and may never achieve or maintain profitability.

 We are a clinical-stage biotechnology company dedicated to enabling
cures through therapeutics targeting mast and hematopoietic stem cells and have a limited operating history. Investment in biopharmaceutical
product development is highly speculative because it entails substantial upfront capital expenditures and significant risk that any potential
product candidate will fail to demonstrate adequate effect or an acceptable safety profile, gain regulatory approval and become commercially
viable. We have no products approved for commercial sale and have not generated any revenue from product sales to date, and we continue
to incur significant research and development and other expenses related to our ongoing operations. As a result, we are not profitable
and have incurred losses and negative operating cash flows in each period since our inception. For the years ended December 31,
2024 and 2023, we reported net losses of $71.3 million and $64.5 million, respectively. For the years ended December 31, 2024
and 2023, we reported negative operating cash flows of $62.6 million and $52.1 million, respectively. As of December 31, 2024, we had
an accumulated deficit of $240.9 million. We have devoted all of our efforts to organizing and staffing our company, business and scientific
planning, raising capital, acquiring and developing technology, identifying potential product candidates, undertaking research and preclinical
studies of potential product candidates, developing manufacturing capabilities and evaluating a clinical path for our pipeline programs.
We expect to continue to incur significant expenses and increasing operating losses for the foreseeable future, and we expect these losses
to increase as we continue our research and development of, and seek regulatory approvals for, our product candidates.

 The net losses we incur may fluctuate significantly
from quarter to quarter. We anticipate that our expenses will increase substantially if and as we:

 continue the clinical development
of briquilimab in chronic diseases such as Chronic Spontaneous Urticaria ("CSU"), Chronic Inducible Urticaria ("CIndU"),
Asthma and other indications;

 continue the open label Phase 1/2 clinical trial for
 briquilimab for Severe Combined Immunodeficiency ("SCID") and the Phase 1b/2a clinical trial of subcutaneous briquilimab
 for the treatment of CIndU;

 continue our current research programs and development of other potential product candidates from our current research programs;

 seek to identify additional product candidates and research programs;

 initiate preclinical testing and clinical trials for any other product candidates we identify and develop;

 maintain, expand, enforce, defend and protect our intellectual property portfolio, and provide reimbursement of third-party expenses related to our patent portfolio;

 seek marketing approvals for any product candidates that successfully complete clinical trials;

 ultimately establish a sales, marketing and distribution infrastructure to commercialize any product candidates for which we may obtain marketing approval;

 adapt our regulatory compliance efforts to incorporate requirements applicable to any approved product candidates;

 hire additional research and development and clinical personnel;

 hire commercial personnel and advance market access and reimbursement strategies;

 add operational, financial and management information systems and personnel, including personnel to support our product development;

 acquire or in-license product candidates, intellectual property and technologies;

 develop or in-license manufacturing and distribution technologies;

 should we decide to do so and receive approval for any of our product candidates, build and maintain, or purchase and validate, commercial-scale manufacturing facilities designed to comply with current Good Manufacturing Practices ("cGMP") requirements; and

 incur additional legal, accounting and other expenses in operating as a public company.

 As a company, we have not completed clinical development
of any product candidate and expect that it will be several years, if ever, before we have a product candidate ready for commercialization.
To become and remain profitable, we must develop and, either directly or through collaborators, eventually commercialize a product or
products with significant market potential. This will require us to be successful in a range of challenging activities, including identifying
product candidates, completing preclinical testing and clinical trials of product candidates, obtaining marketing approval for these product
candidates, manufacturing, marketing and selling those products for which we may obtain marketing approval and satisfying any post-marketing
requirements.

 We may never succeed in these activities and, even
if we do, may never generate revenues that are significant or large enough to achieve profitability. Our product candidates and research
programs are currently only in the early stages of development. Because of the numerous risks and uncertainties associated with developing
product candidates, we are unable to predict the extent of any future losses or when we will become profitable, if at all. If we do achieve
profitability, we may not be able to sustain or increase profitability on a quarterly or annual basis. Our failure to become and remain
profitable would decrease the value of our company and could impair our ability to raise capital, maintain our research and development
efforts, expand our business or continue our operations. A decline in the value of our company could also cause you to lose all or
part of your investment.

 We will need substantial additional funding, which may not be
available on acceptable terms, or at all. If we are unable to raise capital when needed, we would be forced to delay, reduce or eliminate
our research and product development programs or future commercialization efforts.

 We expect to spend substantial amounts of cash to conduct further research
and development and preclinical testing and clinical trials of our product candidates, to seek regulatory approvals for our product candidates
and to launch and commercialize any product candidates for which we receive regulatory approval. Furthermore, we expect to incur additional
costs associated with operating as a public company. Accordingly, we will need to obtain substantial additional funding in order to maintain
our continuing operations. If we are unable to raise capital when needed or on attractive terms, we would be forced to delay, reduce or
eliminate our research and product development programs or future commercialization efforts. As of December 31, 2024, our cash and cash
equivalents were $71.6 million and we had an accumulated deficit of $240.9 million. We will need to raise additional financing to continue
our products' development for the foreseeable future, and will continue to need to do so until we become profitable. Our future
financing requirements will depend on many factors, including:

 the initiation, progress, timing, costs and results of preclinical studies and clinical trials for our product candidates;

 the costs of continuing to build our technology platform for use in developing our product candidates;

 the costs of developing, acquiring or in-licensing additional targeted therapies to use in combination with briquilimab and other product candidates we may develop;

 the costs of preparing, filing and prosecuting patent applications, maintaining and enforcing our intellectual property and proprietary rights and defending intellectual property-related claims in the United States and internationally;

 the number and characteristics of product candidates that we develop or may in-license;

 our ability to establish and maintain collaborations on favorable terms, if at all;

 the achievement of milestones or occurrence of other developments that trigger payments under any collaboration agreements we enter into;

 the outcome, timing and cost of meeting regulatory requirements established by the U.S. Food and Drug Administration (the "FDA"), the European Medical Agency (the "EMA") and other comparable foreign regulatory authorities;

 the cost and timing of completion of commercial-scale outsourced manufacturing activities;

 the cost of establishing sales, marketing and distribution capabilities for any product candidates for which we may receive regulatory approval in regions where we choose to commercialize our products on our own; and

 the costs of operating as a public company.

 Conducting preclinical testing and clinical trials
is a time-consuming, expensive and uncertain process that takes years to complete, and we may never generate the necessary data or
results required to obtain marketing approval and achieve product sales. In addition, even if we successfully develop product candidates
and those are approved, we may not achieve commercial success. Our commercial revenues, if any, will be derived from sales of products
that we do not expect to be commercially available for several years, if at all. Accordingly, we will need to continue to rely
on additional financing to achieve our business objectives.

 We currently have an effective universal shelf
registration statement on Form S-3, which we filed with the SEC on April 28, 2023, and which was declared effective on May 5, 2023 and
will expire on May 5, 2026 (the "Shelf Registration Statement"). Pursuant to the Shelf Registration Statement, we may offer
from time to time up to an aggregate of $250.0 million of securities, including any combination of common stock, preferred stock, debt
securities, warrants, rights, units and depositary shares. On November 10, 2022, we entered into a Controlled
Equity Offering SM Sales Agreement with Cantor Fitzgerald & Co. (the "Agent"), pursuant to which
we may offer and sell through or to the Agent, as sales agent or principal, shares of common stock from time to time (the "ATM Offering").
On May 5, 2023, we filed with the SEC under the Shelf Registration Statement a prospectus with the SEC in connection with the ATM Offering
(the "ATM Prospectus"), pursuant to which we may offer pursuant to the ATM Offering shares of our common stock having an aggregate
offering price of up to $75.0 million. No securities were sold pursuant to the ATM Prospectus as of December 31, 2024. In February 2024,
we issued and sold 3,900,000 shares of our common stock in an underwritten offering pursuant to the Shelf Registration Statement for net proceeds of $47.2 million pursuant an underwriting agreement with Cowen and Company, LLC and Evercore Group L.L.C., as the
representatives of the several underwriters named therein.

 As of February 25, 2025, $75.0 million remains
allocated and available under the ATM Prospectus and approximately $124.5 million remains available and unallocated under the Shelf Registration
Statement.

 If we raise additional capital by issuing equity
securities, the percentage ownership of our existing stockholders may be reduced, and accordingly these stockholders may experience substantial
dilution. We may also issue equity securities that provide for rights, preferences and privileges senior to those of our common stock.
Given our need for cash and that equity issuances are the most common type of fundraising for similarly situated companies, the risk of
dilution is particularly significant for our stockholders.

 Any additional fundraising efforts may divert our
management from our day-to-day activities, which may adversely affect our ability to develop and commercialize product candidates.
We cannot be certain that additional funding will be available on acceptable terms, or at all. We have no committed source of additional
capital and, if we are unable to raise additional capital in sufficient amounts or on terms acceptable to us, we may have to significantly
delay, scale back or discontinue the development or commercialization of product candidates or other research and development initiatives.
Our license agreements and any future collaboration agreements may also be terminated if we are unable to meet the payment or other obligations
under the agreements. We could be required to seek collaborators for product candidates at an earlier stage than otherwise would be desirable
or on terms that are less favorable than might otherwise be available or relinquish or license on unfavorable terms our rights to product
candidates in markets where we otherwise would seek to pursue development or commercialization ourselves.

 As a result of our history of losses
and negative cash flows from operations, our management has performed an analysis and concluded that substantial doubt exists about our
ability to continue as a going concern, and we will need to raise additional financing to continue our products' development.

 Our history of operating
losses and negative cash flows from operations combined with our anticipated use of cash to fund operations raises substantial doubt about
our ability to continue as a going concern beyond one year from the date of filing of this Annual Report on Form 10-K. Our financial statements
as of December 31, 2024 do not include any adjustments that might result from the outcome of this uncertainty. Based on our current operating
plan, we will need to raise additional financing to continue our products' development for the foreseeable future, and until we
become profitable. Our future viability as an ongoing business is dependent on our ability to generate cash from our operating activities
or to raise additional capital to finance our operations. We expect to finance our future cash needs through equity or debt financings,
collaborations or a combination of these approaches. The sale of equity or convertible debt securities may result in dilution to our stockholders,
and, in the case of preferred equity securities or convertible debt, those securities could provide for rights, preferences or privileges
senior to those of our common stock. Debt financings may subject us to covenant limitations or restrictions on our ability to take specific
actions, such as incurring additional debt or making capital expenditures. Our ability to raise additional funds may be adversely impacted
by negative global economic conditions and any disruptions to and volatility in the credit and financial markets in the United States
and worldwide or other factors. There can be no assurance that we will be successful in acquiring additional funding at levels sufficient
to fund our operations or on terms favorable or acceptable to us. If we are unable to obtain adequate financing when needed or on terms
favorable or acceptable to us, we may be forced to delay, reduce the scope of or eliminate one or more of our research and development
programs.

 The perception that we
might be unable to continue as a going concern may also make it more difficult to obtain financing for the continuation of our operations
on terms that are favorable to us, or at all, and could result in the loss of confidence by investors and employees. Our consolidated
financial statements do not include any adjustments that might result from the outcome of this uncertainty. If we are unable to continue
as a going concern, we may have to liquidate our assets and may receive less than the value at which those assets are carried on our consolidated
financial statements, and it is likely that our investors will lose all or a part of their investment.

 We have a limited operating history and no history of commercializing
pharmaceutical products, which may make it difficult to evaluate the prospects for our future viability.

 We are a clinical stage company. We were founded
and commenced operations in March 2018. Our operations to date have been limited to organizing and staffing our company, business
planning, raising capital, acquiring and developing our technology, identifying potential product candidates and undertaking preclinical
studies and clinical trials. Although we have initiated clinical trials for briquilimab, we have not yet demonstrated an ability to successfully
complete clinical trials of our product candidates; obtained marketing approvals; manufactured a commercial-scale medicine or therapy,
or arranged for a third party to do so on our behalf; or conducted sales and marketing activities necessary for successful commercialization.
Typically, it takes about 10 to 15 years to develop a new medicine from the time it is discovered to when it is available
for treating patients. Consequently, any predictions we make about our future success or viability may not be as accurate as they could
be if we had a longer operating history.

 In addition, as a young business, we may encounter
unforeseen expenses, difficulties, complications, delays and other known and unknown factors. We will need to transition at some point
from a company with a research and development focus to a company capable of supporting commercial activities. We may not be successful
in such a transition.

 We have never generated revenue from product sales and may never
be profitable.

 Our ability to generate revenue from product
sales and achieve profitability depends on our ability, alone or with collaborators, to successfully complete the development of,
and obtain the regulatory approvals necessary to commercialize, product candidates. We do not anticipate generating revenues from
product sales for the next several years, if ever. Our ability to generate future revenue from product sales depends heavily on
our, or our future collaborators', ability to successfully:

 identify product candidates and complete research and preclinical and clinical development of any product candidates we may identify;

 seek and obtain regulatory and marketing approvals for any product candidates for which we complete clinical trials;

 launch and commercialize any product candidates for which we obtain regulatory and marketing approval by establishing a sales force, marketing and distribution infrastructure or, alternatively, collaborating with a commercialization partner;

 qualify for coverage and adequate reimbursement by government and third-party payors for any product candidates for which we obtain regulatory and marketing approval;

 develop, maintain, and enhance a sustainable, scalable, reproducible, and transferable manufacturing process for the product candidates we may develop;

 establish and maintain supply and manufacturing relationships with third parties that can provide adequate, in both amount and quality, products and services to support clinical development and the market demand for any product candidates for which we obtain regulatory and marketing approval;

 obtain market acceptance of product candidates as viable treatment options;

 address competing technological and market developments;

 implement internal systems and infrastructure, as needed;

 negotiate favorable terms in any collaboration, licensing or other arrangements into which we may enter, and perform our obligations in such arrangements;

 maintain, protect, enforce, defend and expand our portfolio of intellectual property rights, including patents, trade secrets and know-how, in the United States and internationally;

 avoid and defend against third-party interference, infringement and other intellectual property claims in the United States and internationally; and

 attract, hire and retain qualified personnel.

 Even if one or more of the product candidates we
develop are approved for commercial sale, we anticipate incurring significant costs associated with commercializing any approved product
candidate. Our expenses could increase beyond expectations if we are required by the FDA, the EMA or other regulatory authorities to perform
clinical and other studies in addition to those that we currently anticipate.

 Many of the factors listed above are beyond our
control, and could cause us to experience significant delays or prevent us from completing the development of our product candidates,
obtaining regulatory approvals or commercializing our product candidates. Even if we do achieve profitability, we may not be able to sustain
or increase profitability on a quarterly or annual basis. A failure to become or remain profitable could result in a decline in the value
of our company and could also cause you to lose all or part of your investment.

 Our ability to utilize our net operating loss carryforwards and
certain other tax attributes to offset taxable income or taxes may be limited.

 As of December 31, 2024, we had net
operating loss carryforwards for federal income tax purposes of $123.2 million that can be carried forward indefinitely. As of
December 31, 2024, we had net operating loss carryforwards for state income tax purposes of $131.9 million that begin to
expire in 2038. Portions of these net operating loss carryforwards could expire unused and be unavailable to offset future
income tax liabilities. Under the legislation enacted in 2017, informally titled the Tax Cuts and Jobs Act (the "Tax
Act"), as modified by the Coronavirus Aid, Relief, and Economic Security Act (the "CARES Act"), U.S. federal
net operating losses incurred in taxable years beginning after December 31, 2017 may be carried forward indefinitely, but
the deductibility of such federal net operating losses in taxable years beginning after December 31, 2020 is limited. It
is uncertain how various states will respond to the Tax Act and the CARES Act. For state income tax purposes, there may be periods
during which the use of net operating loss carryforwards is suspended or otherwise limited, which could accelerate or permanently
increase state taxes owed. In addition, under Sections 382 and 383 of the Internal Revenue Code of 1986, as amended (the
"Code"), and corresponding provisions of state law, if a corporation undergoes an "ownership change," which
is generally defined as a greater than 50% change, by value, in its equity ownership over a three-year period, the
corporation's ability to use its pre-change net operating loss carryforwards and other pre-change tax attributes to offset its
post-change income or taxes may be limited. Our existing net operating loss carryforwards may be subject to limitations arising out
of previous ownership changes and we may be limited as to the amount that can be utilized each year as a result of such previous
ownership changes, including the Business Combination and related transactions. In addition, future changes in our stock ownership,
including future offerings, as well as other changes that may be outside of our control, could result in additional ownership
changes. We have completed a Section 382 analysis covering taxable periods from its inception through the year ended
December 31, 2021. We experienced an ownership change on November 21, 2019 for both federal and California tax purposes
related to its Series A redeemable convertible preferred stock financing. Any net operating loss generated for taxable periods
in 2018 and through November 21, 2019 in excess of $2.87 million will be permanently limited for California tax purposes.
We reduced our California net operating loss deferred tax assets balance by the permanently limited amount of $0.6 million as of December 31, 2021.
There would be no permanent loss of federal net operating loss based on the limits. We experienced an additional ownership change on
September 24, 2021; however, we do not expect there are additional tax attributes that will expire unused before the expiration
periods. There is a full valuation allowance for net deferred tax assets, including net operating loss carryforwards for the year
ended December 31, 2024.

 Business disruptions caused by natural or man-made disasters,
acts of war or other hostilities could seriously harm our future revenues and financial condition and increase our costs and expenses
generally.

 Our corporate headquarters are located in the San
Francisco Bay Area, a region known for seismic activity. Our suppliers may also experience a disruption in their business as a result
of natural or man-made disasters. A significant natural or man-made disaster, such as an earthquake, prolonged or repeated power outage,
hurricane, flood, fire, drought or other extreme weather events and changing weather patterns, which are increasing in frequency due to
the impacts of climate change, could severely damage or destroy our headquarters or facilities or the facilities of our manufacturers
or suppliers, which could have a material and adverse effect on our business, financial condition and results of operations. In addition,
terrorist acts, acts of war or the outbreak of hostilities against the U.S. or other countries globally, could cause damage or disruption
to us, our employees, facilities, partners and suppliers, which could have a material adverse effect on our business, financial condition
and results of operations.

 Recent and future changes to tax laws could materially adversely
affect our company.

 The tax regimes we are subject to or operate
under, including with respect to income and non-income taxes, are unsettled and may be subject to significant change.
Changes in tax laws, regulations, or rulings, or changes in interpretations of existing laws and regulations, could materially
adversely affect our company. For example, the Tax Cuts and JOBS Act, the Coronavirus Aid, Relief, and Economic Security Act, and
the Inflation Reduction Act, or the IRA, enacted many significant changes to the U.S. tax laws. Future guidance from the Internal
Revenue Service and other tax authorities with respect to such legislation may affect us, and certain aspects thereof could be
repealed or modified in future legislation. For example, the IRA includes provisions that will impact the U.S. federal income
taxation of certain corporations, including imposing a 15% minimum tax on the book income of certain large corporations and a 1%
excise tax on certain corporate stock repurchases that would be imposed on the corporation repurchasing such stock. Additionally,
new income, sales, use or other tax laws, statutes, rules, regulations or ordinances could be enacted at any time, which could
adversely affect our business operations and financial performance. Further, existing tax laws, statutes, rules, regulations or
ordinances could be interpreted, changed, modified or applied adversely to us. For example, the Trump administration has proposed
various U.S. federal tax law changes, which if enacted could have a material impact on our business, cash flows, financial condition
or results of operations. It is also uncertain if and to what extent various states will conform to federal tax laws. In addition,
many countries in Europe, as well as a number of other countries and organizations (including the Organization for Economic
Cooperation and Development and the European Commission), have proposed, recommended, or (in the case of countries) enacted or
otherwise become subject to changes to existing tax laws or new tax laws that could significantly increase our tax obligations in
the countries where we do business or require us to change the manner in which we operate our business. Future tax reform
legislation could have a material impact on the value of our deferred tax assets, could result in significant one-time charges, and
could increase our future tax expense.

 Risks Related to Discovery, Development, Manufacturing and Commercialization

 We are substantially dependent on the success of our most advanced
product candidate, briquilimab. If we are unable to complete development of, obtain approval for and commercialize our product candidates,
including briquilimab, in a timely manner or at all, our business will be harmed.

 Our future success is dependent on our ability
to timely advance and complete clinical trials, obtain marketing approval for and successfully commercialize our product candidates. We
are not permitted to market or promote briquilimab or any other product candidate before we receive marketing approval from the FDA and
comparable foreign regulatory authorities, and we may never receive such marketing approvals.

 The success of our product candidates will depend
on several factors, including the following:

 the acceptance of individual
 institutional review boards ("IRBs") and scientific review committees at each clinical trial site as to the adequacy of
 the preclinical data package to support clinical development of briquilimab and their overall general agreement with the use of
 briquilimab in the intended patient population in the intended manner;

 the initiation and successful patient enrollment and completion of additional clinical trials of briquilimab in CSU, CIndU, and Asthma on a timely basis;

 the frequency and severity of adverse events in the clinical trials;

 the successful and timely completion of our ongoing Phase 1/2 clinical trial of briquilimab as a conditioning agent for SCID patients undergoing re-transplantation, the ongoing Phase 1b/2a clinical trial of subcutaneous briquilimab for the treatment of CIndU and the ongoing Phase 1b/2a clinical study of briquilimab in allergic asthma;

 maintaining and establishing relationships with contract research organizations ("CROs") and clinical sites for the clinical development of briquilimab both in the United States and internationally;

 successful completion of toxicology studies, biodistribution studies and minimally efficacious dose studies in animals, where applicable;

 successful completion of clinical trials, under the FDA's current Good Clinical Practices ("cGCPs") and the FDA's current Good Laboratory Practices;

 effective investigational new drug ("IND") applications or Clinical Trial Authorizations that allow commencement of our planned clinical trials or future clinical trials for our product candidates;

 the results of clinical trials conducted by third parties in hematopoietic cell transplant ("HCT") if such trials result in changes to the standard of care for HCT or otherwise cause us to change our clinical trial protocols;

 the efficacy, safety and tolerability profiles that are satisfactory to the FDA, EMA or any comparable foreign regulatory authority for marketing approval;

 the timely receipt of marketing approvals for our product candidates from applicable regulatory authorities;

 the extent of any required post-marketing approval commitments to applicable regulatory authorities;

 the maintenance of existing or the establishment of new supply arrangements with third-party suppliers and manufacturers for clinical development of briquilimab;

 the maintenance of existing, or the establishment of new, scaled production arrangements with third-party manufacturers to obtain finished products that are appropriate for commercial sale of briquilimab, if it is approved;

 obtaining and maintaining patent protection, trade secret protection and regulatory exclusivity, both in the United States and internationally;

 a continued acceptable safety profile following any marketing approval;

 commercial acceptance by patients, the medical community and third-party payors;

 our ability to obtain coverage and adequate reimbursement from third-party payors for our products, and patients' willingness to pay out-of-pocket in the absence of such coverage and adequate reimbursement; and

 our ability to compete with other treatments.

 We do not have complete control over many of these
factors, including certain aspects of clinical development and the regulatory submission process, potential threats to our intellectual
property rights and the manufacturing, marketing, distribution and sales efforts of any future collaborator. If we are not successful
with respect to one or more of these factors in a timely manner or at all, we could experience significant delays or an inability to successfully
commercialize briquilimab, which would materially harm our business. If we do not receive marketing approvals for briquilimab, we may
not be able to continue our operations.

 We may not be successful in our efforts to identify, develop
and commercialize additional product candidates. If these efforts are unsuccessful, we may never become a commercial stage company
or generate any revenues.

 The success of our business depends primarily
upon our ability to identify, develop, and commercialize additional product candidates based on, or complementary with, our
technology platform. We are currently enrolling patients in a Phase 1b/2a trial evaluating briquilimab in patients with CSU, a Phase
1b/2a trial evaluating briquilimab in patients with CIndU, a Phase 1b/2a asthma challenge study of briquilimab in asthma and a
Phase 1/2 clinical trial of briquilimab as a conditioning agent prior to allogenic transplant for SCID patients. We are also in
the process of initiating other product development programs in mast cell drive diseases that are still in the research or
preclinical stage of development. Our research programs may fail to identify additional indications for clinical development or
product candidates for clinical development for a number of reasons. Our research methodology may be unsuccessful in identifying
potential product candidates, our potential product candidates may be shown to have harmful side effects in preclinical in vitro
experiments or animal model studies, they may not show promising signals of efficacy in such experiments or studies or they may have
other characteristics that may make the product candidates impractical to manufacture, unmarketable or unlikely to receive marketing
approval. The historical failure rate for product candidates is high due to risks relating to safety, efficacy, clinical execution,
changing standards of medical care, and other unpredictable variables. In addition, although we believe our technology platform will
position us to rapidly expand our portfolio of product candidates beyond our current product candidates, our ability to expand our
portfolio may never materialize.

 If any of these events occur, we may be forced
to abandon our research or development efforts for a program or programs, which would have a material adverse effect on our business,
financial condition, results of operations and prospects. Research programs to identify new product candidates require substantial technical,
financial and human resources. We may focus our efforts and resources on potential programs or product candidates that ultimately prove
to be unsuccessful, which would be costly and time-consuming.

 We may expend our limited resources to pursue a particular product
candidate or indication and fail to capitalize on product candidates or indications that may be more profitable or for which there is
a greater likelihood of success.

 Because we have limited financial and managerial
resources, we focus on research programs and product candidates that we identify for specific indications among many potential options.
As a result, we may forego or delay pursuit of opportunities with other product candidates or for other indications that later prove to
have greater commercial potential. For example, on January 10, 2023, we announced, as part of an overall portfolio prioritization, that
we will focus on the development of our lead product candidate, briquilimab (formerly known as JSP191), in chronic mast and stem cell
diseases as well as a conditioning agent for stem cell transplant in rare diseases. This portfolio includes new programs as a therapeutic
for patients with CSU, CIndU and asthma, along with our existing program for briquilimab as a conditioning agent for stem cell transplant
in patients with sickle cell disease, Fanconi anemia or severe combined immunodeficiency. Additionally, in May 2024, we announced the
expansion of our mast cell development program with a Phase 1b/2a study evaluating briquilimab in asthma patients. Our resource allocation
decisions may cause us to fail to capitalize on viable commercial medicines or profitable market opportunities. Our projections of both
the number of people who have these diseases, as well as the subset of people with these diseases who have the potential to benefit from
treatment with our product candidates, are based on estimates. If any of our estimates are inaccurate, the market opportunities for any
of our product candidates could be significantly diminished and have an adverse material impact on our business. Additionally, the potentially
addressable patient population for our product candidates may be limited, or may not be amenable to treatment with our product candidates.
Our spending on current and future research and development programs and product candidates for specific indications may not yield any
commercially viable product candidates. If we do not accurately evaluate the commercial potential or target market for a particular product
candidate (including briquilimab), we may relinquish valuable rights to that product candidate through collaboration, licensing, or other
royalty arrangements in cases in which it would have been more advantageous for us to retain sole development and commercialization rights
to such product candidate. Any such event could have a material adverse effect on our business, financial condition, results of operations
and prospects.

 If any of our product candidates cause serious adverse events,
undesirable side effects or unexpected characteristics, such events, side effects or characteristics could delay or prevent regulatory
approval of the product candidate, limit our commercial potential or result in significant negative consequences following any potential
marketing approval.

 Undesirable side effects or adverse events caused
by briquilimab or other therapeutics we may develop could cause us or regulatory authorities to interrupt, delay or halt clinical trials
and could result in a more restrictive label or the delay or denial of regulatory approval by the FDA or comparable foreign regulatory
authorities. Results of our clinical trials could reveal a high and unacceptable severity and prevalence of side effects or unexpected
characteristics. Treatment-related side effects could also affect patient recruitment or the ability of enrolled patients to complete
the trials or result in potential product liability claims.

 If any product candidates we develop are associated
with serious adverse events, undesirable side effects or unexpected characteristics, we may need to abandon their development or limit
development to certain uses or subpopulations in which the serious adverse events, undesirable side effects or other characteristics are
less prevalent, less severe or more acceptable from a risk-benefit perspective, any of which would have a material adverse effect on our
business, financial condition, results of operations, and prospects. Many product candidates that initially showed promise in early stage
testing have later been found to cause side effects that prevented further clinical development of the product candidates.

 Results of preclinical studies and early clinical trials may
not be predictive of results of future clinical trials, and such results do not guarantee approval of a product candidate by regulatory
authorities. In addition, our clinical trials to date have been limited in scope, and results received to date may not be replicated in
expanded or additional future clinical trials.

 The outcome of preclinical studies and early clinical
trials may not be predictive of the success of later clinical trials, and interim results of clinical trials do not necessarily predict
success in the results of completed clinical trials. There can be no assurance that any of our current or future preclinical and clinical
trials will ultimately be successful or support further preclinical or clinical development of any of our product candidates. Many companies
in the pharmaceutical and biotechnology industries have suffered significant setbacks in late-stage clinical trials after achieving positive
results in earlier development, and we could face similar setbacks. The design of a clinical trial can determine whether its results will
support approval of a product, and flaws in the design of a clinical trial may not become apparent until the clinical trial is well advanced.
Many companies that believed their product candidates performed satisfactorily in preclinical studies and clinical trials have nonetheless
failed to obtain regulatory approval for their product candidates. In addition, preclinical and clinical data are often susceptible to
varying interpretations and analyses, which may delay, limit or prevent regulatory approval. In addition, regulatory delays or rejections
may be encountered as a result of many factors, including changes in regulatory policy during the period of product development. Any such
adverse events may cause us to delay, limit or terminate planned clinical trials, any of which would have a material adverse effect on
our business, financial condition, results of operations and prospects.

 In some instances, there can be significant variability
in safety or efficacy results between different clinical trials of the same product candidate due to numerous factors, including changes
in trial procedures set forth in protocols, differences in the size and type of the patient populations, changes in and adherence to the
dosing regimen and other clinical trial procedures and the rate of dropout among clinical trial participants. If we fail to receive positive
results in clinical trials of our product candidates, the development timeline and regulatory approval and commercialization prospects
for our most advanced product candidate, and, correspondingly, our business and financial prospects would be negatively impacted.

 If we experience delays or difficulties in the enrollment of
patients in clinical trials, the cost of developing product candidates could increase and our receipt of necessary regulatory approvals
could be delayed or prevented.

 Patient enrollment is a significant factor in the
timing of clinical trials. The timing of our clinical trials depends, in part, on the speed at which we can recruit patients to participate
in our trials. We or our collaborators may not be able to continue clinical trials for briquilimab or any other product candidates we
identify or develop if we are unable to locate and enroll a sufficient number of eligible patients to participate in these trials as required
by the FDA, the EMA or other analogous regulatory authorities outside the United States, or as needed to provide appropriate statistical
power for a given trial. Patients may be unwilling to participate in our clinical trials because of negative publicity from adverse events
related to the biotechnology competitive clinical trials for similar patient populations, clinical trials in competing products or for
other reasons. As a result, the timeline for recruiting patients, conducting trials and obtaining regulatory approval of product candidates
may be delayed.

 Patient enrollment is also affected by other factors,
including:

 severity of the disease under investigation;

 size of the patient population and process for identifying patients;

 design of the trial protocol;

 availability and efficacy of approved medications for the disease under investigation;

 availability of genetic testing for potential patients;

 ability to obtain and maintain patient informed consent;

 risk that enrolled patients will drop out before completion of the trial;

 eligibility and exclusion criteria for the trial in question;

 perceived risks and benefits of the product candidate under trial;

 perceived risks and benefits of the companion therapeutics that may be administered in combination or in sequence with briquilimab;

 efforts to facilitate timely enrollment in clinical trials;

 patient referral practices of physicians;

 ability to monitor patients adequately during and after treatment;

 proximity and availability of clinical trial sites for prospective patients, especially for those conditions that have small patient pools;

 the requirement for HCT to be performed in centers that specialize in this procedure; and

 changes to diagnostic technologies, methodologies or criteria used to identify HCT patients at high risk for relapse.

 In addition, our clinical trials will compete with
other clinical trials for product candidates that are in the same therapeutic areas as our product candidates, and this competition will
reduce the number and types of patients available to us because some patients who have opted to enroll in our trials may instead opt to
enroll in a trial being conducted by a competitor. We may conduct some of our clinical trials at the same clinical trial sites that some
of our competitors use, which will reduce the number of patients who are available for our clinical trials at such clinical trial sites.

 Enrollment delays in our clinical trials may result
in increased development costs for briquilimab or any other product candidates we may develop, which would cause the value of our company
to decline and limit our ability to obtain additional financing. If we or our collaborators have difficulty enrolling a sufficient number
of patients to conduct our clinical trials as planned, we may need to delay, limit or terminate ongoing or planned clinical trials, any
of which would have an adverse effect on our business, financial condition, results of operations and prospects.

 We have never obtained regulatory approval for a drug, may never
receive regulatory approval for any of our product candidates, and may therefore never generate revenues from product sales.

 As a company, we have never obtained
regulatory approval for, or commercialized, a drug. It is possible that the FDA may refuse to accept any or all future product
candidates for substantive review or may conclude after review of our data that our application is insufficient to obtain regulatory
approval for any current or future product candidates. If the FDA does not approve any future product candidates, it may require
that we conduct additional costly clinical, preclinical or manufacturing validation studies before the FDA will reconsider one or
more of our applications. Depending on the extent of these or any other FDA-required studies, approval of any product candidates or
other application that we submit may be significantly delayed, possibly for several years, or may require us to expend more
resources than we have available. Any failure or delay in obtaining regulatory approvals would prevent us from commercializing
briquilimab or any other product candidate, generating revenues and achieving and obtaining or sustaining profitability. It is also
possible that additional studies, if performed and completed, may not be considered sufficient by the FDA to approve any new drug
application or other application we submit. If any of these outcomes occur, we may be forced to abandon the development of our
product candidates, which would materially adversely affect our business and could potentially cause us to cease operations. We face
similar risks for our applications in foreign jurisdictions.

 Our commercial success depends upon attaining significant market
acceptance of our product candidates, if approved, among physicians, patients, healthcare payers and operators of major clinics, and we
may not be successful in attaining such market acceptance.

 Even with the requisite approvals from the FDA
in the U.S., the EMA in the European Union and other regulatory authorities internationally, the commercial success of our product candidates
will depend, in part, upon the degree of market acceptance by physicians, patients, third-party payors and others in the medical community.
Any product that we commercialize may not gain acceptance by physicians, patients, health care payors and others in the medical community.
If these products do not achieve an adequate level of acceptance, we may not generate significant product revenue and may not become profitable.
Efforts to educate the medical community and third-party payors on the benefits of our product candidates may require significant resources,
including our management's time and financial resources, and may not be successful. Even if any product candidate we develop receives
marketing approval, it may nonetheless fail to gain sufficient market acceptance by physicians, patients, healthcare payors and others
in the medical community. The degree of market acceptance of any product candidate we develop, if approved for commercial sale, will depend
on a number of factors, including:

 the efficacy and safety of such product candidate as demonstrated in clinical trials;

 the efficacy and safety of other products that are used in combination or in sequence with our product candidates;

 the potential and perceived advantages of our product candidates compared to alternative treatments;

 the limitation to our targeted patient population and limitations or warnings contained in approved labeling by the FDA or other regulatory authorities;

 the ability to offer our products for sale at competitive prices;

 convenience and ease of administration compared to alternative treatments;

 the clinical indications for which the product candidate is approved by the FDA, the EMA or other regulatory agencies;

 the willingness of the target patient population to try novel biologics and of physicians to prescribe these treatments, as well as their willingness to accept an intervention that involves the alteration of the patient's gene;

 product labeling or product insert requirements of the FDA, the EMA or other regulatory authorities, including any limitations or warnings contained in a product's approved labeling;

 relative convenience and ease of administration;

 the strength of marketing and distribution support;

 availability of third-party coverage and sufficiency of reimbursement; and

 the prevalence and severity of any side effects.

 Even if a product candidate is approved, such product
may not achieve an adequate level of acceptance, we may not generate significant product revenues, and we may not become profitable.

 If we are unable to establish effective marketing and sales capabilities
or enter into agreements with third parties to market and sell our product candidates, if approved, we may not be able to effectively
market and sell our product candidates, if approved, or generate product revenues.

 We have limited marketing capabilities and limited
experience in the sale, marketing or distribution of pharmaceutical products. In addition, we do not have a large sales, promotion and
marketing budget. As a result of our limited marketing capabilities, to achieve commercial success for any approved product for which
we retain sales and marketing responsibilities, we must either develop a sales and marketing organization or outsource these functions
to third parties. In the future, we may choose to build a focused sales, marketing and commercial support infrastructure to sell, or participate
in sales activities with our collaborators for, some of our product candidates if and when they are approved.

 Factors that may inhibit our efforts to commercialize
our product candidates on our own include:

 our inability to recruit and retain adequate numbers of effective sales, marketing, reimbursement, customer service, medical affairs and other support personnel;

 the inability of sales personnel to obtain access to physicians or educate adequate numbers of physicians on the benefits of prescribing any future products;

 the inability of reimbursement professionals to negotiate arrangements for formulary access, reimbursement and other acceptance by payors;

 restricted or closed distribution channels that make it difficult to distribute our product candidates to segments of the patient population;

 the lack of complementary products to be offered by sales personnel, which may put us at a competitive disadvantage relative to companies with more extensive product lines; and

 unforeseen costs and expenses associated with creating an independent commercialization organization.

 We may not be successful in entering into arrangements
with third parties to commercialize our product candidates or may be unable to do so on terms that are favorable to us. We may have little
control over such third parties, and any of them may fail to devote the necessary resources and attention to sell and market our products
effectively. If we do not establish commercialization capabilities successfully, either on our own or in collaboration with third parties,
we will not be successful in commercializing our product candidates.

 We face significant competition in an environment of rapid technological
change, and there is a possibility that our competitors may achieve regulatory approval before us or develop therapies that are safer
or more advanced or effective than ours, which may harm our financial condition and our ability to successfully market or commercialize
our product candidates.

 The development and commercialization of new drug
and biologic products is highly competitive. Moreover, the biotechnology field generally is characterized by rapidly changing technologies,
significant competition and a strong emphasis on intellectual property. We will face competition with respect to briquilimab and any other
product candidates that we develop or commercialize in the future from major pharmaceutical companies, specialty pharmaceutical companies
and biotechnology companies worldwide. Potential competitors also include academic institutions, government agencies and other public
and private research organizations that conduct research, seek patent protection and establish collaborative arrangements for research,
development, manufacturing and commercialization.

 There are a number of large pharmaceutical
and biotechnology companies that currently market and sell products or are pursuing the development of products for the treatment of
the disease indications for which we have product candidates and research programs. Some of these competitive products and therapies
are based on scientific approaches that are the same as or similar to our approach, and others are based on entirely different
approaches. Any product candidates that we successfully develop and commercialize will compete with existing therapies and new
therapies that may become available in the future that are approved to treat the same diseases for which we may obtain approval for
our product candidates. This may include other types of therapies, such as small molecule, antibody and/or protein therapies.

 Many of our current or potential competitors, either
alone or with their collaboration partners, may have significantly greater financial resources and expertise in research and development,
manufacturing, preclinical testing, conducting clinical trials, obtaining regulatory approvals and marketing approved products than we
do. Mergers and acquisitions in the pharmaceutical, biotechnology and gene therapy industries may result in even more resources being
concentrated among a smaller number of our competitors. Smaller or early-stage companies may also prove to be significant competitors,
particularly through collaborative arrangements with large and established companies. These competitors also compete with us in recruiting
and retaining qualified scientific and management personnel and establishing clinical trial sites and patient registration for clinical
trials, as well as in acquiring technologies complementary to, or necessary for, our programs. Our commercial opportunity could be reduced
or eliminated if our competitors develop and commercialize product candidates that are safer, more effective, have fewer or less severe
side effects, are more convenient or are less expensive than our product candidates or that would render our product candidates obsolete
or non-competitive. Our competitors also may obtain FDA or other regulatory approval for their product candidates more rapidly than we
may obtain approval for ours, which could result in our competitors establishing a strong market position before we are able to enter
the market. Additionally, technologies developed by our competitors may render our product candidates uneconomical or obsolete, and we
may not be successful in marketing any product candidates against competitors.

 Competitors of briquilimab include the following:

 Celldex Therapeutics, Inc., which is developing an antibody to c-Kit that is being studied in mast cell diseases;

 Third Harmonic, Inc., which is developing small molecule inhibitors to c-Kit for mast cell diseases;

 Blueprint Medicines which is developing a small molecule c-Kit inhibitor for mast cell diseases;

 Novartis, Inc., which is developing a small molecule inhibitor to Bruton's Tyrosine Kinase for mast cell diseases;

 Sanofi Aventis, Inc., which is developing an antibody to the Interleukin 4 receptor alpha for mast cell diseases;

 Evommune, Inc., which is developing a small-molecule antagonist of MRGPRX2 in mast cell driven diseases.

 If product liability lawsuits are brought against us, we may
incur substantial liabilities and may be required to limit commercialization of our product candidates.

 We face an inherent risk of product liability exposure
related to the testing in human clinical trials of our product candidates and will face an even greater risk if we commercially sell any
products that we may develop. For example, we may be sued if our product candidates cause, or are perceived to cause, injury or are found
to be otherwise unsuitable during clinical trials, manufacturing, marketing or sale. Any such product liability claims may include allegations
of defects in manufacturing, defects in design, a failure to warn of dangers inherent in the product, negligence, strict liability or
a breach of warranties. Claims could also be asserted under state consumer protection acts. If we cannot successfully defend ourselves
against claims that our product candidates or products caused injuries, we could incur substantial liabilities or be required to limit
commercialization of our product candidates. Even a successful defense would require significant financial and management resources. Regardless
of merit or eventual outcome, liability claims may result in:

 the inability to commercialize any products that we may develop;

 decreased demand for our product candidates or products that we may develop;

 injury to our reputation and significant negative media attention;

 withdrawal of clinical trial participants;

 significant time and costs to defend the related litigation;

 substantial monetary awards to trial participants or patients; and

 loss of revenue.

 Although we maintain product liability insurance
coverage, it may not be adequate to cover all liabilities that we may incur. We anticipate that we will need to increase our insurance
coverage as we continue clinical trials and if we successfully commercializes any product. Insurance coverage is increasingly expensive.
We may not be able to maintain insurance coverage at a reasonable cost or in an amount adequate to satisfy any liability that may arise.

 Our product candidates are complex and difficult to manufacture.
We could experience delays in satisfying regulatory authorities or production problems that result in delays in our development or commercialization
programs, limit the supply of our product candidates, or otherwise harm our business.

 Our product candidates require processing steps
that are more complex than those required for most chemical and other biological pharmaceuticals. As a result, assays of the finished
product candidate may not be sufficient to ensure that the product candidate will perform in the intended manner. Problems with the manufacturing
process, even minor deviations from the normal process, could result in product defects or manufacturing failures that result in lot failures,
product recalls, product liability claims, insufficient inventory or potentially delay progression of our clinical trials. If we successfully
develop product candidates, we may encounter problems achieving adequate quantities and quality of clinical-grade materials that meet
FDA, EMA or other comparable applicable foreign standards or specifications with consistent and acceptable production yields and costs.
In addition, our product candidates will require complicated delivery modalities, such as electroporation, which will introduce additional
complexities into the manufacturing process.

 In addition, the FDA, the EMA and other regulatory
authorities may require us to submit samples of any lot of approved product together with the protocols showing the results of applicable
tests at any time. Under some circumstances, the FDA, the EMA or other regulatory authorities may require that we not distribute a lot
until the agency authorizes its release. Slight deviations in the manufacturing process, including those affecting quality attributes
and stability, may result in unacceptable changes in the product that could result in lot failures or product recalls. Lot failures or
product recalls could cause us to delay clinical trials or product launches, which could be costly to us and otherwise harm our business,
financial condition, results of operations and prospects.

 Moreover, the clinical development of our product
candidates depends on the availability of certain materials and agents used in our clinical trials. Specifically, our clinical trial protocols
for briquilimab-based conditioning include the administration of fludarabine, and the FDA recently reported a shortage of fludarabine.
Any failure or delays by us or by our clinical sites to obtain sufficient quantities of fludarabine or other components and agents necessary
for the conduct of our clinical trials, may delay our ability to enroll and treat patients in, or complete, our current or future clinical
trials of our product candidates on time, if at all.

 Some of the raw materials that we anticipate will
be required in our manufacturing process are derived from biologic sources. Such raw materials are difficult to procure and may be subject
to contamination or recall. A material shortage, contamination, recall or restriction on the use of biologically derived substances in
the manufacture of our product candidates could adversely impact or disrupt the commercial manufacturing or the production of clinical
material, which could materially harm our development timelines and our business, financial condition, results of operations and prospects.

 If we or any contract research organizations, contract manufacturers
or suppliers that we engage fail to comply with environmental, health and safety laws and regulations, we could become subject to fines
or penalties or incur costs that could have a material adverse effect on the success of our business.

 We and any contract research organizations, contract
manufacturers and suppliers we engage are subject to numerous federal, state and local environmental, health and safety laws, regulations
and permitting requirements, including those governing laboratory procedures; the generation, handling, use, storage, treatment and disposal
of hazardous and regulated materials and wastes; the emission and discharge of hazardous materials into the ground, air and water; and
employee health and safety. Our operations involve the use of hazardous and flammable materials, including chemicals and biological and
radioactive materials. Our operations also produce hazardous waste. We generally contract with third parties for the disposal of these
materials and wastes. Although we believe that our and such third parties' procedures for handling, storing and disposing of these
materials and waste comply with legally prescribed standards, we cannot eliminate the risk of contamination or injury from these materials.
In the event of contamination or injury resulting from our use of hazardous materials, we could be held liable for any resulting damages,
and any liability could exceed our resources. Under certain environmental laws, we could be held responsible for costs relating to any
contamination at our current or past facilities and at third-party facilities. We also could incur significant costs associated with civil
or criminal fines and penalties.

 Compliance with applicable environmental laws and
regulations may be expensive, and current or future environmental laws and regulations may impair our product development and research
efforts. In addition, we cannot entirely eliminate the risk of accidental injury or contamination from these materials or wastes. Although
we maintain workers' compensation insurance to cover us for costs and expenses we may incur due to injuries to our employees resulting
from the use of hazardous materials, this insurance may not provide adequate coverage against potential liabilities. We do not carry specific
biological or hazardous waste insurance coverage, and our property, casualty and general liability insurance policies specifically exclude
coverage for damages and fines arising from biological or hazardous waste exposure or contamination. Accordingly, in the event of contamination
or injury, we could be held liable for damages or be penalized with fines in an amount exceeding our resources, and our clinical trials
or regulatory approvals could be suspended, which could have a material adverse effect on our business, financial condition, results of
operations and prospects.

 In addition, we may incur substantial costs in
order to comply with current or future environmental, health and safety laws, regulations and permitting requirements. For example, our
products are considered to contain genetically modified organisms or cells, which are regulated in different ways depending upon the country
in which preclinical research or clinical trials are conducted. These current or future laws, regulations and permitting requirements
may impair our research, development or production efforts. Failure to comply with these laws, regulations and permitting requirements
also may result in substantial fines, penalties or other sanctions or business disruption, which could have a material adverse effect
on our business, financial condition, results of operations and prospects.

 Any third-party contract research organizations,
contract manufacturers and suppliers we engage will also be subject to these and other environmental, health and safety laws and regulations.
Liabilities they incur pursuant to these laws and regulations could result in significant costs or an interruption in operations, which
could have a material adverse effect on our business, financial condition, results of operations and prospects.

 Risks Related to Regulatory Review

 If clinical trials of our product candidates fail to demonstrate
safety and efficacy to the satisfaction of regulatory authorities or do not otherwise produce positive results, we may incur additional
costs or experience delays in completing, or ultimately be unable to complete, the development and commercialization of such product candidates.

 Before obtaining marketing approval from
regulatory authorities for the sale of briquilimab and any other product candidates we identify and develop, we must complete
preclinical development and then conduct extensive clinical trials to demonstrate the safety and efficacy of such product candidates
in humans. Clinical testing is expensive, difficult to design and implement, can take many years to complete and is uncertain
as to outcome. A failure of one or more clinical trials can occur at any stage of testing. The outcome of preclinical testing and
early clinical trials may not be predictive of the success of later clinical trials, and interim results of a clinical trial do not
necessarily predict final results. Moreover, preclinical and clinical data are often susceptible to varying interpretations and
analyses. Many companies that have believed their product candidates performed satisfactorily in preclinical studies and clinical
trials have nonetheless failed to obtain marketing approval of their product candidates.

 We and our collaborators, if any, may experience
numerous unforeseen events during, or as a result of, clinical trials that could delay or prevent our ability to receive marketing approval
or commercialize any product candidates, including:

 delays in reaching a consensus with regulators on trial design;

 regulators, IRBs, independent ethics committees or scientific review boards may not authorize us or our investigators to commence a clinical trial or conduct a clinical trial at a prospective trial site;

 delays in reaching or failing to reach agreement on acceptable clinical trial contracts or clinical trial protocols with prospective CROs and clinical trial sites;

 clinical trials of product candidates may produce negative or inconclusive results, and we may decide, or regulators may require us, to conduct additional clinical trials or abandon product development or research programs;

 difficulty in designing well-controlled clinical trials due to ethical considerations that may render it inappropriate to conduct a trial with a control arm that can be effectively compared to a treatment arm;

 difficulty in designing clinical trials and selecting endpoints for diseases that have not been well-studied and for which the natural history and course of the disease is poorly understood;

 the number of patients required for clinical trials of briquilimab and any other product candidates we may develop may be larger than we anticipate; enrollment of suitable participants in these clinical trials, which may be particularly challenging for some of the rare genetically defined diseases we are targeting in our most advanced programs, may be delayed or slower than we anticipate; or patients may drop out of these clinical trials at a higher rate than we anticipate;

 our third-party contractors may fail to comply with regulatory requirements or meet their contractual obligations to us in a timely manner, or at all;

 regulators, IRBs or independent ethics committees may require that we or our investigators suspend or terminate clinical research or clinical trials for various reasons, including noncompliance with regulatory requirements, a finding of undesirable side effects or other unexpected characteristics, or that the participants are being exposed to unacceptable health risks or after an inspection of our clinical trial operations or trial sites;

 the cost of clinical trials may be greater than we anticipate;

 the supply or quality of product candidates or other materials necessary to conduct clinical trials may be insufficient or inadequate, including as a result of delays in the testing, validation, manufacturing and delivery of product candidates to the clinical sites by us or by third parties with whom we have contracted to perform certain of those functions;

 delays in having patients complete participation in a trial or return for post-treatment follow-up;

 clinical trial sites dropping out of a trial;

 selection of clinical endpoints that require prolonged periods of clinical observation or analysis
 of the resulting data;

 occurrence of serious adverse events associated with product candidates that are viewed to outweigh their potential benefits;

 occurrence of serious adverse events in trials of the same class of agents conducted by other sponsors; and

 changes in regulatory requirements and guidance that require amending or submitting new clinical protocols.

 If we or our collaborators, if any, are required
to conduct additional clinical trials or other testing of product candidates beyond those that we currently contemplate, if we or our
collaborators are unable to successfully complete clinical trials or other testing of product candidates, or if the results of these trials
or tests are not positive or are only modestly positive or if there are safety concerns, we or our collaborators may:

 be delayed in obtaining marketing approval for any such product candidates or not obtain marketing approval at all;

 obtain approval for indications or patient populations that are not as broad as intended or desired;

 obtain approval with labeling that includes significant use or distribution restrictions or safety warnings, including boxed warnings;

 be subject to changes in the way the product is administered;

 be required to perform additional clinical trials to support approval or be subject to additional post-marketing testing requirements;

 have regulatory authorities withdraw or suspend their approval of the product or impose restrictions on its distribution in the form of a Risk Evaluation and Mitigation Strategy ("REMS") or through modification to an existing REMS;

 be sued; or

 experience damage to our reputation.

 Product development costs will also increase if
we or our collaborators experience delays in clinical trials or other testing or in obtaining marketing approvals. We do not know whether
any clinical trials will begin as planned, will need to be restructured or will be completed on schedule, or at all. Significant clinical
trial delays also could shorten any periods during which we may have the exclusive right to commercialize product candidates, could allow
our competitors to bring products to market before we do and could impair our ability to successfully commercialize product candidates,
any of which may harm our business, financial condition, results of operations and prospects.

 Further, disruptions at the FDA and other agencies
may prolong the time necessary for new drugs to be reviewed and/or approved by necessary government agencies, which would adversely affect
our business. For example, over the last several years, the U.S. government has shut down several times and certain regulatory
agencies, including the FDA, have furloughed critical employees and stopped critical activities. If a prolonged government shutdown occurs,
it could significantly impact the ability of the FDA to timely review and process our regulatory submissions, which could have a material
adverse effect on our business.

 Failure to obtain marketing approval in foreign jurisdictions
would prevent any product candidates we develop from being marketed in such jurisdictions, which, in turn, would materially impair our
ability to generate revenue.

 In order to market and sell any product candidates
we develop in the European Union and many other foreign jurisdictions, we or our collaborators must obtain separate marketing approvals
and comply with numerous and varying regulatory requirements. The approval procedure varies among countries and can involve additional
testing. The time required to obtain approval may differ substantially from that required to obtain FDA approval. The regulatory approval
process outside the United States generally includes all of the risks associated with obtaining FDA approval. In addition, in many
countries outside the United States, it is required that the product be approved for reimbursement before the product can be approved
for sale in that country. We or our collaborators may not obtain approvals from regulatory authorities outside the United States
on a timely basis, if at all. Approval by the FDA does not ensure approval by regulatory authorities in other countries or jurisdictions,
and approval by one regulatory authority outside the United States does not ensure approval by regulatory authorities in other countries
or jurisdictions or by the FDA. We may not be able to file for marketing approvals and may not receive necessary approvals to commercialize
our product candidates in any jurisdiction, which would materially impair our ability to generate revenue.

 Additionally, we could face heightened risks with
respect to seeking marketing approval in the United Kingdom as a result of the recent withdrawal of the United Kingdom from the European
Union on December 31, 2020, commonly referred to as Brexit. Pursuant to the formal withdrawal arrangements agreed between the United
Kingdom and the European Union, the United Kingdom withdrew from the European Union, effective December 31, 2020. On December 24,
2020, the United Kingdom and European Union entered into a Trade and Cooperation Agreement. The agreement sets out certain procedures
for approval and recognition of medical products in each jurisdiction.

 Since the regulatory framework for pharmaceutical
products in the United Kingdom covering the quality, safety, and efficacy of pharmaceutical products, clinical trials, marketing authorization,
commercial sales, and distribution of pharmaceutical products is derived from European Union directives and regulations, Brexit could
materially impact the future regulatory regime that applies to products and the approval of product candidates in the United Kingdom.
Any delay in obtaining, or an inability to obtain, any marketing approvals, as a result of Brexit or otherwise, would prevent us from
commercializing any product candidates in the United Kingdom and/or the European Union and restrict our ability to generate revenue and
achieve and sustain profitability. If any of these outcomes occur, we may be forced to restrict or delay efforts to seek regulatory approval
in the United Kingdom and/or the European Union for any product candidates, which could significantly and materially harm our business.

 The regulatory approval processes of the FDA and comparable foreign
regulatory authorities are lengthy, time-consuming and inherently unpredictable, and if we are ultimately unable to obtain regulatory
approval for our product candidates, our business, financial condition and results of operations will be substantially harmed. Even if
we complete the necessary clinical trials, we cannot predict when, or if, we will obtain regulatory approval to commercialize our product
candidates in the United States or any other jurisdiction, and any such approval may be for a more narrow indication than we seek.

 We cannot commercialize a product candidate until
the appropriate regulatory authorities have reviewed and approved the product candidate. Even if our product candidates meet their safety
and efficacy endpoints in clinical trials, the regulatory authorities may not complete their review processes in a timely manner, or we
may not be able to obtain regulatory approval. The time required to obtain marketing approval from the FDA or comparable foreign regulatory
authorities for a product candidate is unpredictable but typically takes many years following the commencement of clinical trials and
depends upon numerous factors, including the substantial discretion of the regulatory authorities, and its outcome is inherently uncertain.
Additional delays may result if an FDA Advisory Committee or other regulatory authority recommends non-approval or restrictions on approval.
In addition, we may experience delays or rejections based upon additional government regulation from future legislation or administrative
action, or changes in regulatory authority policy during the period of product development, clinical trials and the review process.

 Regulatory authorities also may approve a product
candidate for more limited indications than requested or they may impose significant limitations in the form of narrow indications, warnings
or a REMS. These regulatory authorities may require labeling that includes precautions or contra-indications with respect to conditions
of use, or they may grant approval subject to the performance of costly post-marketing clinical trials. In addition, regulatory authorities
may not approve the labeling claims that are necessary or desirable for the successful commercialization of our product candidates. Any
of the foregoing scenarios could materially harm the commercial prospects for our product candidates and materially adversely affect our
business, financial condition, results of operations and prospects.

 Marketing approval by the FDA in the
United States, if obtained, does not ensure approval by regulatory authorities in other countries or jurisdictions. In
addition, clinical trials conducted in one country may not be accepted by regulatory authorities in other countries, and regulatory
approval in one country does not guarantee regulatory approval in any other country. Approval processes vary among countries and can
involve additional product candidate testing and validation and additional administrative review periods. Seeking foreign regulatory
approval could result in difficulties and costs for us and require additional preclinical studies or clinical trials, which could be
costly and time-consuming. Regulatory requirements can vary widely from country to country and could delay or prevent the
introduction of our product candidates we may develop in those countries. The foreign regulatory approval process involves all of
the risks associated with FDA approval. We do not have any product candidates approved for sale in any jurisdiction, including
international markets, and we do not have experience in obtaining regulatory approval in international markets. If we fail to comply
with regulatory requirements in international markets or to obtain and maintain required approvals, or if regulatory approvals in
international markets are delayed, our target market will be reduced and our ability to realize the full market potential of our
product candidates will be unrealized.

 Even if we obtain regulatory approval of any of our product candidates,
the approved products may be subject to post-approval studies and will remain subject to ongoing regulatory requirements. If we fail to
comply, or if concerns are identified in subsequent studies, our approval could be withdrawn, and our product sales could be suspended.

 If we are successful at obtaining regulatory approval
for briquilimab or any of our other product candidates, regulatory agencies in the U.S. and other countries where a product will
be sold may require extensive additional clinical trials or post-approval clinical trials that are expensive and time-consuming to conduct.
These studies may be expensive and time-consuming to conduct and may reveal side effects or other harmful effects in patients that use
our therapeutic products after they are on the market, which may result in the limitation or withdrawal of our drugs from the market.
Alternatively, we may not be able to conduct such additional trials, which might force us to abandon our efforts to develop or commercialize
certain product candidates. Even if post-approval studies are not requested or required, after our products are approved and are on the
market, there might be safety issues that emerge over time that require a change in product labeling, additional post-market studies or
clinical trials, imposition of distribution and use restrictions under a REMS or withdrawal of the product from the market, which would
cause our revenue to decline.

 Additionally, any products that we may successfully
develop will be subject to ongoing regulatory requirements after they are approved. These requirements will govern the manufacturing,
packaging, marketing, distribution, and use of our products. If we fail to comply with such regulatory requirements, approval for our
products may be withdrawn, and product sales may be suspended. We may not be able to regain compliance, or we may only be able to regain
compliance after a lengthy delay, significant expense, lost revenues and/or damage to our reputation.

 We also cannot predict the likelihood, nature
or extent of government regulation that may arise from future legislation or administrative or executive action, either in the United
States or abroad. For example, certain policies of the current U.S. administration may impact our business and industry. Namely, recent
U.S. administrations have taken several executive actions, including the issuance of a number of Executive Orders, that could impose
significant burdens on, or otherwise materially delay, the FDA's ability to engage in routine regulatory and oversight activities
such as implementing statutes through rulemaking, issuance of guidance, and review and approval of marketing applications. It is difficult
to predict how these executive actions, including the Executive Orders, will be implemented, and the extent to which they will impact
the FDA's ability to exercise its regulatory authority. If these executive actions impose constraints on FDA's ability to
engage in oversight and implementation activities in the normal course, our business, financial condition and results of operations may
be negatively affected.

 The FDA's and other regulatory authorities'
policies may change, and additional laws or government regulations may be enacted that could prevent, limit or delay regulatory approval
of our product candidates. If we are slow or unable to adapt to changes in existing requirements or the adoption of new requirements or
policies, or if we are not able to maintain regulatory compliance, we may lose any marketing approval that we may have obtained, which
would adversely affect our ability to generate revenue and achieve or sustain profitability. Changes in law or government regulations
may also alter the competitive landscape, potentially to our disadvantage.

 In addition, three decisions from the U.S. Supreme
Court in June and July 2024 may lead to an increase in litigation against regulatory agencies that could create uncertainty and thus negatively
impact our business. The first decision overturned established precedent that required courts to defer to regulatory agencies' interpretations
of ambiguous statutory language. The second decision overturned a regulatory agency's ability to impose civil penalties in administrative
proceedings. The third decision extended the statute of limitations within which entities may challenge agency actions. These cases may
result in increased litigation by industry against regulatory agencies and impact how such agencies choose to pursue enforcement and compliance
actions. However, the specific, lasting effects of these decisions, which may vary within different judicial districts and circuits, is
unknown. We also cannot predict the extent to which FDA and other agency regulations, policies, and decisions may become subject to increasing
legal challenges, delays and changes.

 Interim "top-line" and preliminary results from our
clinical trials that we may announce or publish from time to time may change as more patient data become available and are subject to
audit and verification procedures that could result in material changes in the final data.

 From time to time, we may publish interim top-line
or preliminary results from our preclinical studies and clinical trials, which are based on a preliminary analysis of then-available data,
and the results and related findings and conclusions are subject to change following a more comprehensive review of the data related to
the particular study or trial. In particular, we have announced, and may in the future announce, interim results from our ongoing clinical
trials of briquilimab. Interim results from clinical trials that we may complete are subject to the risk that one or more of the clinical
outcomes may materially change as patient enrollment continues and more patient data become available. Preliminary or top-line results
also remain subject to audit and verification procedures that may result in the final data being materially different from the preliminary
data we previously published. As a result, interim and preliminary data should be viewed with caution until the final data are available.
Differences between preliminary or interim data and final data could significantly harm our business prospects and may cause the trading
price of our common stock to fluctuate significantly.

 Further, others, including regulatory
agencies, may not accept or agree with our assumptions, estimates, calculations, conclusions or analyses or may interpret or weigh
the importance of data differently, which could impact the value of the particular program, the approvability or commercialization
of the particular product candidate or product and us in general. In addition, the information we choose to publicly disclose
regarding a particular study or clinical trial is based on what is typically extensive information, investors or others may not
agree with what we determine is material or otherwise appropriate information to include in our disclosure, and any information we
determine not to disclose may ultimately be deemed significant with respect to future decisions, conclusions, views, activities or
otherwise regarding a particular product, product candidate or our business. If the interim, topline or preliminary data that we
report differ from actual results, or if others, including regulatory authorities, disagree with the conclusions reached, our
ability to obtain approval for, and commercialize, our product candidates may be harmed, which could harm our business, operating
results, prospects or financial condition.

 We may seek Fast Track or other accelerated review designations
for some or all of our product candidates. We may not receive such designation, and even for those product candidates for which we do,
it may not lead to a faster development or regulatory review or approval process, and will not increase the likelihood that product candidates
will receive marketing approval.

 We may seek Fast Track or other accelerated review
designations for some or all of our other product candidates. If a drug or biologic is intended for the treatment of a serious or life-threatening
condition or disease, and nonclinical or clinical data demonstrate the potential to address an unmet medical need, the product may qualify
for FDA Fast Track designation, for which sponsors must apply. If granted, a Fast Track or other accelerated review designation makes
a product candidate eligible for more frequent interactions with the FDA to discuss the development plan and clinical trial design, as
well as rolling review of the application, which means that we can submit completed sections of our marketing application for review prior
to completion of the entire submission. Marketing applications of product candidates with a Fast Track or other accelerated review designation
may qualify for priority review under the policies and procedures offered by the FDA, but a Fast Track or other accelerated review designation
does not assure any such qualification or ultimate marketing approval by the FDA. The FDA has broad discretion with respect to whether
or not to grant this designation. Thus, even if we believe a particular product candidate is eligible for this designation, the FDA may
decide not to grant it. Moreover, even if we do receive a Fast Track or another accelerated review designation, we or our collaborators
may not experience a faster development process, review or approval compared to conventional FDA procedures. In addition, the FDA may
withdraw a Fast Track or other accelerated review designation if it believes that the designation is no longer supported by data from
our clinical development program.

 We may seek priority review designation for our product candidates,
but we might not receive such designation, and even if we do, such designation may not lead to a faster development or regulatory review
or approval process.

 If the FDA determines that a product candidate
offers a treatment for a serious condition and, if approved, the product would provide a significant improvement in safety or effectiveness,
the FDA may designate the product candidate for priority review. A priority review designation means that the goal for the FDA to review
an application is six months, rather than the standard review period of ten months. The FDA has broad discretion with respect
to whether or not to grant priority review status to a product candidate, so even if we believe a particular product candidate is eligible
for such designation or status, the FDA may decide not to grant it. Moreover, a priority review designation does not necessarily mean
a faster development or regulatory review or approval process or necessarily confer any advantage with respect to approval compared to
conventional FDA procedures. Receiving priority review from the FDA does not guarantee approval within the six-month review cycle or at
all.

 In addition, the FDA's Rare Pediatric Disease
Priority Review Voucher Program, or PRV Voucher Program, awards Priority Review Vouchers, or PRVs, to sponsors of rare pediatric product
applications that meet certain criteria. Under the program, a company that receives an approval for a product for a rare pediatric disease
(as determined by the applicable regulations) may qualify for a PRV that can be redeemed to receive Priority Review of a subsequent marketing
application for a different product. PRVs may also be sold by the company to third parties. The current PRV Voucher Program is scheduled
to sunset such that the FDA may only award a PRV for a product application if a company receives the rare pediatric disease designation
from the FDA for the product candidate by December 20, 2024, and the FDA will cease awarding PRVs after September 30, 2026. Extension
of the current PRV Voucher Program is subject to approval by Congress and it is currently uncertain whether the program will be extended.
The FDA has granted rare pediatric disease designation to briquilimab as a conditioning treatment for patients with SCID. If our qualifying
product candidate is approved by the FDA after the current approval deadlines, we will not be eligible to receive a PRV for our product
candidate and accordingly, we would be unable to use such PRV for Priority Review for another one of our programs or to sell such PRV,
which sale has the potential to generate significant proceeds.

 A Breakthrough Therapy Designation by the FDA, even if granted
for any of our product candidates, may not lead to a faster development or regulatory review or approval process, and it does not increase
the likelihood that our product candidates will receive marketing approval.

 We may seek a Breakthrough Therapy
Designation for our product candidates if the clinical data support such a designation for one or more product candidates. A
breakthrough therapy is defined as a drug or biologic that is intended, alone or in combination with one or more other drugs or
biologics, to treat a serious or life-threatening disease or condition and preliminary clinical evidence indicates that the drug, or
biologic, may demonstrate substantial improvement over existing therapies on one or more clinically significant endpoints, such as
substantial treatment effects observed early in clinical development. For product candidates that have been designated as
breakthrough therapies, interaction and communication between the FDA and the sponsor of the trial can help to identify the most
efficient path for clinical development while minimizing the number of patients placed in ineffective control regimens. Drugs and
biologics designated as breakthrough therapies by the FDA may also be eligible for accelerated approval.

 Designation as a breakthrough therapy is within
the discretion of the FDA. Accordingly, even if we believe one of our product candidates meets the criteria for designation as a
breakthrough therapy, the FDA may disagree and determine not to make such designation. In any event, the receipt of a Breakthrough Therapy
Designation for a product candidate may not result in a faster development process, review or approval compared to drugs considered for
approval under non-expedited FDA review procedures and does not assure ultimate approval by the FDA. In addition, even if one or
more of our product candidates qualify as breakthrough therapies, the FDA may later decide that the product no longer meets the conditions
for such qualification.

 We may not be able to obtain orphan drug exclusivity for one
or more of our product candidates, and even if we do, that exclusivity may not prevent the FDA or EMA from approving other competing products.

 Under the Orphan Drug Act of 1983, the
FDA may designate a product as an orphan drug if it is a drug or biologic intended to treat a rare disease or condition. A similar regulatory
scheme governs approval of orphan products by the EMA in the European Union. Generally, if a product candidate with an orphan drug designation
subsequently receives the first marketing approval for the indication for which it has such designation, the product is entitled to a
period of marketing exclusivity, which precludes the FDA or EMA from approving another marketing application for the same product for
the same therapeutic indication for that time period. The applicable period is seven years in the United States and ten years
in the European Union. The exclusivity period in the European Union can be reduced to six years if a product no longer meets the
criteria for orphan drug designation, in particular if the product is sufficiently profitable so that market exclusivity is no longer
justified.

 In order for the FDA to grant orphan drug exclusivity
to one of our products, the FDA must find that the product is indicated for the treatment of a condition or disease with a patient population
of fewer than 200,000 individuals annually in the United States. The FDA may conclude that the condition or disease for which we
may seek orphan drug exclusivity does not meet this standard. Even if we obtain orphan drug exclusivity for a product, that exclusivity
may not effectively protect the product from competition because different products can be approved for the same condition. In particular,
the concept of what constitutes the "same drug" for purposes of orphan drug exclusivity remains in flux in the context of
gene therapies, and the FDA has issued guidance suggesting that it would not consider two genetic medicine products to be different drugs
solely based on minor differences in the transgenes or vectors within a given vector class. In addition, even after an orphan drug is
approved, the FDA can subsequently approve the same product for the same condition if the FDA concludes that the later product is clinically
superior in that it is shown to be safer, more effective or makes a major contribution to patient care. Orphan drug exclusivity may also
be lost if the FDA or EMA determines that the request for designation was materially defective or if the manufacturer is unable to assure
sufficient quantity of the product to meet the needs of the patients with the rare disease or condition.

 The FDA has historically taken the position that
the scope of orphan exclusivity aligns with the approved indication or use of a product, rather than the disease or condition for which
the product received orphan designation. However, in Catalyst Pharms., Inc. v. Becerra, 14 F.4th 1299 (11th Cir. 2021), the court disagreed
with this position, holding that orphan-drug exclusivity blocked the FDA's approval of the same drug for all uses or indications
within the same orphan-designated disease. On January 24, 2023, the FDA published a notice in the Federal Register to clarify that the
FDA intends to continue to apply its longstanding interpretation of the regulations to all matters outside of the scope of the Catalyst
order and will continue tying the scope of orphan-drug exclusivity to the uses or indications for which a drug is approved. It is unclear
how future litigation, legislation, agency decisions, and administrative actions will impact the scope of orphan drug exclusivity. We
do not know if, when, or how the FDA may change the orphan drug regulations and policies in the future, and it is uncertain how any changes
might affect our business. Depending on what changes the FDA may make to its orphan drug regulations and policies, our business could
be adversely impacted.

 Disruptions at the FDA and other government agencies caused by
changes in funding, reductions in resources or global health concerns could hinder their ability to hire, retain or deploy key leadership
and other personnel, or otherwise prevent new or modified products from being developed, approved or commercialized in a timely manner
or at all, which could negatively impact our business.

 The ability of the FDA to review and approve new products can be affected
by a variety of factors, including government budget and funding levels, statutory, regulatory, and policy changes, the FDA's ability
to hire and retain key personnel and accept the payment of user fees, and other events that may otherwise affect the FDA's ability
to perform routine functions. Average review times at the agency have fluctuated in recent years as a result. In addition, government
funding of other government agencies that fund research and development activities is subject to the political process, which is inherently
fluid and unpredictable. Disruptions at the FDA and other agencies may also slow the time necessary for new biologics or modifications
to cleared or approved biologics to be reviewed and/or approved by necessary government agencies, which would adversely affect our business.
For example, over the last several years, including for 35 days beginning on December 22, 2018, the U.S. government
has shut down several times and certain regulatory agencies, such as the FDA, have furloughed critical FDA employees and stopped critical
activities. If a prolonged government shutdown occurs or the FDA experiences other significant resource reductions, it could significantly
impact the ability of the FDA to timely review and process our regulatory submissions, which could have a material adverse effect on our
business.

 Separately, in response to the COVID-19 pandemic, the FDA announced
its intention to postpone most inspections of domestic and foreign manufacturing facilities If another government shutdown occurs, or
if global health concerns prevent the FDA or other regulatory authorities from conducting their regular inspections, reviews, or other
regulatory activities, it could significantly impact the ability of the FDA or other regulatory authorities to timely review and process
our regulatory submissions, which could have a material adverse effect on our business.

 Risks Related to Our Relationships with Third Parties

 We rely on third parties to conduct our preclinical and clinical
trials and will rely on them to perform other tasks for us. If these third parties do not successfully carry out their contractual duties,
meet expected deadlines or comply with regulatory requirements, we may not be able to obtain regulatory approval for or commercialize
our product candidates and our business could be substantially harmed.

 Although we have recruited a team that has experience
with clinical trials, as a company, we have limited experience in conducting clinical trials. Moreover, we do not have the ability to
independently conduct preclinical studies and clinical trials, and we have relied upon, and plan to continue to rely upon, medical institutions,
clinical investigators, contract laboratories and other third parties, or our CROs, to conduct preclinical studies and future clinical
trials for our product candidates. We expect to rely heavily on these parties for execution of preclinical and future clinical trials
for our product candidates and control only certain aspects of their activities. Nevertheless, we will be responsible for ensuring that
each of our preclinical and clinical trials is conducted in accordance with the applicable protocol, legal and regulatory requirements
and scientific standards and our reliance on CROs will not relieve us of our regulatory responsibilities. For any violations of laws and
regulations during the conduct of our preclinical studies and clinical trials, we could be subject to warning letters or enforcement action
that may include civil and other penalties up to and including criminal prosecution.

 We and our CROs will be required to comply with regulations, including
cGCPs for conducting, monitoring, recording and reporting the results of preclinical and clinical trials to ensure that the data and results
are scientifically credible and accurate and that the trial patients are adequately informed of the potential risks of participating in
clinical trials and their rights are protected. These regulations are enforced by the FDA, the Competent Authorities of the Member States
of the European Economic Area and comparable foreign regulatory authorities for any drugs in clinical development. The FDA enforces cGCP
regulations through periodic inspections of clinical trial sponsors, IRBs, and principal investigators and trial sites. If we or our CROs
fail to comply with applicable cGCPs, the clinical data generated in our clinical trials may be deemed unreliable and the FDA or comparable
foreign regulatory authorities may require us to perform additional clinical trials before approving our marketing applications. We cannot
assure you that, upon inspection, the FDA will determine that any of our future clinical trials will comply with cGCPs. In addition, our
clinical trials must be conducted with product candidates produced in accordance with the requirements in the FDA's current cGMPs
requirements. Our failure or the failure of our CROs to comply with these regulations may require us to repeat clinical trials, which
would delay the regulatory approval process and could also subject us to enforcement action.

 Although we intend to design our planned clinical
trials for our product candidates, for the foreseeable future CROs will conduct all of our planned clinical trials. As a result, many
important aspects of our development programs, including their conduct and timing, will be outside of our direct control. Our reliance
on third parties to conduct future preclinical studies and clinical trials will also result in less day-to-day control over the management
of data developed through preclinical studies and clinical trials than would be the case if we were relying entirely upon our own staff.

 If any of our relationships with these third-party
CROs terminate, we may not be able to enter into arrangements with alternative CROs. If CROs do not successfully carry out their contractual
duties or obligations or meet expected deadlines, if they need to be replaced or if the quality or accuracy of the clinical data they
obtain is compromised due to the failure to adhere to our clinical protocols, regulatory requirements or for other reasons, any preclinical
studies or clinical trials with which such CROs are associated with may be extended, delayed or terminated. In such cases, we may not
be able to obtain regulatory approval for or successfully commercialize our product candidates. As a result, our financial results and
the commercial prospects for our product candidates in the subject indication could be harmed, our costs could increase and our ability
to generate revenue could be delayed.

 We currently rely on a single manufacturer for our clinical supply
of our product candidates. In the event of a loss of this manufacturer, or a failure by such manufacturer to comply with FDA regulations,
we may not be able to find an alternative source on commercially reasonable terms, or at all. In addition, third-party manufacturers and
any third-party collaborators may be unable to successfully scale-up manufacturing of our current or future product candidates in sufficient
quality and quantity, which would delay or prevent us from developing our product candidates and commercializing approved products, if
any.

 We do not have any manufacturing facilities at the present time. We
currently rely on third-party manufacturers, including Lonza Sales AG ("Lonza") as a single source supplier, for the manufacture
and supply of our materials for preclinical and clinical studies, and expect to continue to do so for future clinical testing and for
commercial supply of briquilimab and any other product candidates that we may develop and for which we or our collaborators obtain marketing
approval. Our agreement with Lonza includes certain limitations on our ability to enter into supply arrangements with any other supplier
without Lonza's consent. In addition, Lonza has the right to increase the prices it charges us for certain supplies depending on
a number of factors, some of which are outside of our control. We may be unable to maintain or establish any agreements with third-party
manufacturers or suppliers or to do so on acceptable terms. Even if we are able to establish agreements with third-party manufacturers
or suppliers, reliance on third-party manufacturers entails additional risks, including:

 the possible breach of the manufacturing or supply agreement by the third party;

 the possible termination or nonrenewal of the agreement by the third party at a time that is costly or inconvenient for us; and

 reliance on the third party for regulatory compliance, quality assurance, safety and pharmacovigilance and related reporting.

 In addition, pursuant to our Exclusive License
Agreement with Amgen Inc., Lonza Biologics, Inc. has been engaged to manufacture briquilimab for us. The agreement provides that in the
event we wish to change the manufacturer of briquilimab to a different party, we must obtain Amgen Inc.'s prior consent. As a result,
our ability to obtain any alternative supplier of briquilimab may be further limited.

 Third-party manufacturers may not be able to
comply with cGMP regulations or similar regulatory requirements outside the United States. Our failure, or the failure of our
third-party manufacturers or suppliers, to comply with applicable regulations could result in sanctions being imposed on us,
including fines, injunctions, civil penalties, delays, suspension or withdrawal of approvals, license revocations, seizures or
recalls of product candidates or products, operating restrictions and criminal prosecutions, any of which could significantly and
adversely affect supplies of our products and harm our business, financial condition, results of operations and prospects.

 Our product candidates may compete with other product
candidates and products for access to manufacturing facilities and other supplies. There are a limited number of manufacturers that operate
under cGMP regulations and that might be capable of manufacturing for us. Also, prior to the approval of our product candidates, we would
need to identify a contract manufacturer that could produce our products at a commercial scale and that could successfully complete FDA
pre-approval inspection and inspections by other health authorities. Agreements with such manufacturers or suppliers may not be available
to us at the time we would need to have that capability and capacity.

 Any performance failure on the part of our existing
or future manufacturers or suppliers, or any decision by a manufacturer or supplier to remove our products from the market or restrict
access to our products, could delay clinical development or marketing approval. We do not currently have arrangements in place for redundant
or guaranteed supply for many of the materials we currently use in our clinical trials or preclinical studies, and we may have difficulty
or be unable to establish alternative sources of these materials.

 We may enter into collaborations with third parties for the research,
development and commercialization of certain product candidates we may develop. If any such collaborations are not successful, we may
not be able to capitalize on the market potential of those product candidates.

 We may seek third-party collaborators for the research,
development and commercialization of certain product candidates we may develop. If we enter into any such arrangements with any third
parties, we will likely have limited control over the amount and timing of resources that our collaborators dedicate to the development
or commercialization our product candidates. Our ability to generate revenues from these arrangements will depend on our collaborators'
abilities to successfully perform the functions assigned to them in these arrangements. We cannot predict the success of any collaboration
that we enter into.

 Collaborations involving our current or future
product candidates or research programs pose numerous risks to us, including the following:

 Collaborators may not pursue development and commercialization of our product candidates or may elect not to continue or renew development or commercialization programs based on clinical trial results, changes in the collaborator's strategic focus or available funding or external factors such as an acquisition that diverts resources or creates competing priorities.

 Collaborators may delay clinical trials, provide insufficient funding for a clinical trial program, stop a clinical trial or abandon a product candidate, repeat or conduct new clinical trials or require a new formulation of a product candidate for clinical testing.

 Collaborators could independently develop, or develop with third parties, products that compete directly or indirectly with our product candidates if the collaborators believe that competitive products are more likely to be successfully developed or can be commercialized under terms that are more economically attractive than ours.

 Collaborators with marketing and distribution rights to one or more products may not commit sufficient resources to the marketing and distribution of such products.

 Collaborators may not properly obtain, maintain, enforce or defend our intellectual property or proprietary rights or may use our proprietary information in such a way as to invite litigation that could jeopardize or invalidate our proprietary information or expose us to potential litigation.

 Disputes may arise between the collaborators and us that result in the delay or termination of the research, development or commercialization of our products or product candidates or that result in costly litigation or arbitration that diverts management attention and resources.

 We may lose certain valuable rights under circumstances identified in our collaborations, including if we undergo a change of control; and

 Collaboration agreements may not lead to development or commercialization of product candidates in the most efficient manner or at all. If a present or future collaborator of ours were to be involved in a business combination, the continued pursuit and emphasis on our product development or commercialization program under such collaboration could be delayed, diminished or terminated.

 If our collaborations do not result in the successful
development and commercialization of product candidates, or if one of our collaborators terminates our agreement with us, we may not receive
any future research funding or milestone or royalty payments under the collaboration. If we do not receive the funding we expect under
these agreements, our development of product candidates could be delayed, and we may need additional resources to develop product candidates.
In addition, if one of our collaborators terminates its agreement with us, we may find it more difficult to find a suitable replacement
collaborator or attract new collaborators, and our development programs may be delayed or the perception of us in the business and financial
communities could be adversely affected. All of the risks relating to product development, regulatory approval and commercialization described
in this Annual Report on Form 10-K apply to the activities of our collaborators.

 These relationships, or those like them, may require
us to incur non-recurring and other charges, increase our near- and long-term expenditures, issue securities that dilute our existing
stockholders, or disrupt our management and business.

 If we are not able to establish collaborations on commercially
reasonable terms, we may have to alter our development and commercialization plans.

 Our product development and research programs and
the potential commercialization of briquilimab or any other product candidates we may develop will require substantial additional cash
to fund expenses. For some of the product candidates we may develop, we may decide to collaborate with other pharmaceutical and biotechnology
companies for the development and potential commercialization of those product candidates.

 We would face significant competition in seeking
appropriate collaborators. Whether we reach a definitive agreement for a collaboration will depend, among other things, upon our assessment
of the collaborator's resources and expertise, the terms and conditions of the proposed collaboration, and the proposed collaborator's
evaluation of a number of factors. Those factors may include the design or results of clinical trials, the likelihood of approval by the
FDA, the EMA or similar regulatory authorities outside the United States, the potential market for the subject product candidate,
the costs and complexities of manufacturing and delivering such product candidate to patients, the potential of competing products, the
existence of uncertainty with respect to our ownership of technology, which can exist if there is a challenge to such ownership without
regard to the merits of the challenge, and industry and market conditions generally. The collaborator may also consider alternative product
candidates or technologies for similar indications that may be available to collaborate on and whether such a collaboration could be more
attractive than the one with us.

 We may also be restricted under existing collaboration
agreements from entering into future agreements on certain terms with potential collaborators. Collaborations are complex and time-consuming
to negotiate and document. In addition, there have been a significant number of recent business combinations among large pharmaceutical
companies that have resulted in a reduced number of potential future collaborators.

 We may not be able to negotiate
collaborations on a timely basis, on acceptable terms, or at all. If we are unable to do so, we may have to curtail the development
of the product candidate for which we are seeking to collaborate, reduce or delay our development program or one or more of our
other development programs, delay our potential commercialization or reduce the scope of any sales or marketing activities, or
increase our expenditures and undertake development or commercialization activities at our own expense. If we elect to increase our
expenditures to fund development or commercialization activities on our own, we may need to obtain additional capital, which may not
be available to us on acceptable terms or at all. If we do not have sufficient funds, we may not be able to develop product
candidates or bring them to market and generate product revenue.

 Risks Related to Our Intellectual Property

 We are highly dependent on intellectual property licensed from
third parties, and termination of any of these licenses could result in the loss of significant rights, which would harm our business.

 We are dependent on the patents, know-how and proprietary
technology licensed from third parties for the development and, if approved, commercialization of briquilimab. Any termination of these
licenses, or a finding that such intellectual property lacks legal effect, could result in the loss of significant rights and could harm
our ability to commercialize our current or future product candidates.

 For example, we rely on our worldwide exclusive
license agreement with Amgen Inc., whereby we license a patent portfolio from Amgen Inc. applicable to our targeted conditioning program
that contains patent families directed to humanized c-kit antibody. We also rely on our license agreement with Stanford, whereby we license
a patent portfolio applicable to our targeted conditioning program that contains patent families directed to immunodepletion of endogenous
stem cell niche for engraftment.

 Each of our license agreements with third parties
impose certain obligations on us, including obligations to use diligent efforts to meet development thresholds and payment obligations.
Non-compliance with such obligations may result in termination of the respective license agreement or in legal and financial consequences.
If any of our licensors terminates its respective license agreement, we may not be able to develop or commercialize briquilimab or any
other product candidates covered by these agreements. Termination of our license agreements or reduction or elimination of our rights
under them may result in us having to negotiate a new or reinstated agreement, which may not be available to us on equally favorable terms,
or at all, which may mean we are unable to develop, commercialize or sell the affected product candidate or may cause us to lose our rights
under the agreement.

 In addition, our licensors may make decisions in
prosecuting, maintaining, enforcing and defending any licensed intellectual property rights that may not be in our best interest. Moreover,
if our licensors take any action with respect to any licensed intellectual property rights, for example, any licensed patents or patent
applications, that results in a successful challenge to the licensed intellectual property by a third party, such patents may be invalidated
or held to be unenforceable, and we may lose our rights under such patents, which could materially harm our business.

 Further, the agreements under which we currently
license intellectual property from third parties are complex, and certain provisions in such agreements may be susceptible to multiple
interpretations. Accordingly, disputes may arise between us and our licensors regarding intellectual property subject to a license agreement.
The resolution of any contract interpretation disagreement that may arise could narrow what we believe to be the scope of our rights to
the relevant intellectual property or technology, or increase what we believe to be our financial or other obligations under the relevant
agreement. If disputes over intellectual property that we have licensed prevent or impair our ability to maintain our current licensing
arrangements on acceptable terms, or are insufficient to provide us with the necessary rights to use the intellectual property, we may
be unable to successfully develop and commercialize the affected product candidates.

 Our commercial success depends on our ability to obtain, maintain
and protect our intellectual property and proprietary technology.

 Our commercial success depends in large part on
our ability to obtain, maintain and protect intellectual property rights through patents, trademarks and trade secrets in the United States
and other countries with respect to our proprietary product candidates. If we do not adequately protect our intellectual property rights,
competitors may be able to erode, negate or preempt any competitive advantage we may have, which could harm our business and ability to
achieve profitability.

 To protect our proprietary position, we own and
have in-licensed certain intellectual property rights, including certain issued patents and patent applications, and have filed and may
file provisional and non-provisional patent applications in the United States or abroad related to our product candidates that are
important to our business. Provisional patent applications are not eligible to become issued patents until, among other things, we file
a non-provisional patent application within 12 months of the filing of one or more of our related provisional patent applications.
If we do not timely file non-provisional patent applications, we may lose our priority date with respect to our provisional patent applications
and any patent protection on the inventions disclosed in our provisional patent applications. While we intend to timely file non-provisional
patent applications relating to our provisional patent applications, we cannot predict whether any such patent applications will result
in the issuance of patents that provide us with any competitive advantage. Moreover, the patent application and approval process is expensive
and time-consuming. We may not be able to file and prosecute all necessary or desirable patent applications at a reasonable cost or in
a timely manner.

 The patent application, prosecution, and enforcement
processes are subject to numerous risks and uncertainties, and there can be no assurance that we, our licensors, or any of our future
collaborators will be successful in protecting our product candidates by obtaining, defending, and/or asserting patent rights. These risks
and uncertainties include the following:

 the U.S. Patent and Trademark Office (the "USPTO") and various foreign governmental patent agencies require compliance with a number of procedural, documentary, fee payment and other provisions during the patent process. There are situations in which noncompliance can result in abandonment or lapse of a patent or patent application, resulting in partial or complete loss of patent rights in the relevant jurisdiction. In such an event, competitors might be able to enter the market earlier than would otherwise have been the case;

 patent applications may not result in any patents being issued;

 patents that may be issued or in-licensed may be challenged, invalidated, modified, revoked, circumvented, found to be unenforceable or otherwise may not provide any competitive advantage;

 our competitors, many of whom have substantially greater resources and many of whom have made significant investments in competing technologies, may seek or may have already obtained patents that will limit, interfere with or eliminate our ability to make, use, and sell our potential product candidates;

 there may be significant pressure on the U.S. government and international governmental bodies to limit the scope of patent protection both inside and outside the United States for disease treatments that prove successful, as a matter of public policy regarding worldwide health concerns; and

 countries other than the United States may have patent laws less favorable to patentees than those upheld by U.S. courts, allowing foreign competitors a better opportunity to create, develop and market competing product candidates.

 In some instances, agreements through which we
license intellectual property rights may not give us control over patent prosecution or maintenance, so that we may not be able to control
which claims or arguments are presented, how claims are amended, and may not be able to secure, maintain or successfully enforce necessary
or desirable patent protection from those patent rights. We cannot be certain that patent prosecution and maintenance activities by our
licensors have been or will be conducted in compliance with applicable laws and regulations or will result in valid and enforceable patents.

 Moreover, some of our in-licensed patents and patent
applications may be, and some of our future owned and licensed patents may be, co-owned with third parties. If we are unable to obtain
an exclusive license to any such third-party co-owners' interest in such patents or patent applications, such co-owners may be able
to license their rights to other third parties, including our competitors, and our competitors could market competing products and technology.
In addition, we may need the cooperation of any such co-owners of our patents in order to enforce such patents against third parties,
and such cooperation may not be provided to us.

 The patent protection we obtain for our product candidates may
not be sufficient enough to provide us with any competitive advantage or our patents may be challenged.

 Our owned and licensed patents and pending patent
applications, if issued, may not provide us with any meaningful protection or may not prevent competitors from designing around our patent
claims to circumvent our patents by developing similar or alternative technologies or therapeutics in a non-infringing manner. For example,
a third party may develop a competitive product that provides benefits similar to one or more of our product candidates but falls outside
the scope of our patent protection or license rights. If the patent protection provided by the patents and patent applications we hold
or pursue with respect to our product candidates is not sufficiently broad to impede such competition, our ability to successfully commercialize
our product candidates could be negatively affected, which would harm our business. Currently, a significant portion of our patents and
patent applications are in-licensed, though similar risks would apply to any patents or patent applications that we now own or may own
or in-license in the future.

 It is possible that defects of form in the preparation
or filing of our patents or patent applications may exist, or may arise in the future, for example with respect to proper priority claims,
inventorship, claim scope or requests for patent term adjustments. If we or our partners, collaborators, licensees or licensors, whether
current or future, fail to establish, maintain or protect such patents and other intellectual property rights, such rights may be reduced
or eliminated. If our partners, collaborators, licensees or licensors, are not fully cooperative or disagree with us as to the prosecution,
maintenance or enforcement of any patent rights, such patent rights could be compromised. If there are material defects in the form, preparation,
prosecution or enforcement of our patents or patent applications, such patents may be invalid and/or unenforceable, and such applications
may never result in valid, enforceable patents. Any of these outcomes could impair our ability to prevent competition from third parties,
which may have an adverse impact on our business.

 In addition, the determination of patent rights
with respect to clinical compositions of matter and treatment methods commonly involves complex legal and factual questions, which are
dependent upon the current legal and intellectual property context, extant legal precedent and interpretations of the law by individuals.
As a result, the issuance, scope, validity, enforceability and commercial value of our patent rights are characterized by uncertainty.

 Changes in either the patent laws or interpretation
of the patent laws in the United States and other countries may diminish the value of our patents or narrow the scope of our patent
protection. In addition, the laws of foreign countries may not protect our rights to the same extent or in the same manner as the laws
of the United States. For example, patent laws in various jurisdictions, including significant commercial markets such as Europe,
restrict the patentability of methods of treatment of the human body more than U.S. law does. If these changes were to occur, they
could have a material adverse effect on our ability to generate revenue.

 Pending patent applications cannot be enforced
against third parties practicing the technology claimed in such applications unless and until a patent issues from such applications.
Assuming the other requirements for patentability are met, currently, the first party to file a patent application is generally entitled
to the patent. However, prior to March 16, 2013, in the United States, the first party to invent was entitled to the patent.
Publications of discoveries in the scientific literature often lag behind the actual discoveries, and patent applications in the United States
and other jurisdictions are not published until 18 months after filing, or in some cases not at all. Therefore, we cannot be
certain that we were the first to make the inventions claimed in our patents or pending patent applications, or that we were the first
to file for patent protection of such inventions. Similarly, we cannot be certain that parties from whom we do or may license or purchase
patent rights were the first to make relevant claimed inventions, or were the first to file for patent protection for them. If third parties
have filed prior patent applications on inventions claimed in our patents or applications that were filed on or before March 15,
2013, an interference proceeding in the United States can be initiated by such third parties to determine who was the first to invent
any of the subject matter covered by the patent claims of our applications. If third parties have filed such prior applications after
March 15, 2013, a derivation proceeding in the United States can be initiated by such third parties to determine whether our
invention was derived from theirs.

 Moreover, because the issuance of a patent is
not conclusive as to its inventorship, scope, validity or enforceability, our owned and licensed patents or pending patent
applications may be challenged in the courts or patent offices in the United States and abroad. There is no assurance that all
of the potentially relevant prior art relating to our patents and patent applications has been found. If such prior art exists, it
may be used to invalidate a patent, or may prevent a patent from issuing from a pending patent application. For example, such patent
filings may be subject to a third-party submission of prior art to the USPTO, or to other patent offices around the world.
Alternately or additionally, we may become involved in post-grant review procedures, oppositions, derivation proceedings, ex parte
reexaminations, inter parties review, supplemental examinations, or interference proceedings or challenges in district court, in the
United States or in various foreign patent offices, including both national and regional, challenging patents or patent
applications in which we have rights, including patents on which we rely to protect our business. For example, the two European
patents we have licensed from Stanford are currently being opposed. An adverse determination in these oppositions or any other
challenges to our patents or patent applications may result in loss of the patent or in patent claims being narrowed, invalidated or
held unenforceable, in whole or in part, or in denial of the patent application or loss or reduction in the scope of one or more
claims of the patent application, any of which could limit our ability to stop others from using or commercializing similar or
identical technology and products, or limit the duration of the patent protection of our technology and products. In addition, given
the amount of time required for the development, testing and regulatory review of new product candidates, patents protecting such
candidates might expire before or shortly after such candidates are commercialized.

 Issued patents that we have or may obtain or license
may not provide us with any meaningful protection, prevent competitors from competing with us or otherwise provide us with any competitive
advantage. Our competitors may be able to circumvent our patents by developing similar or alternative technologies or products in a non-infringing
manner. Our competitors may also seek approval to market their own products similar to or otherwise competitive with our products. Alternatively,
our competitors may seek to market generic versions of any approved products or pursue similar strategies in the United States or
other jurisdictions, in which they claim that patents owned or licensed by us are invalid, unenforceable or not infringed. In these circumstances,
we may need to defend or assert our patents, or both, including by filing lawsuits alleging patent infringement. In any of these types
of proceedings, a court or other agency with jurisdiction may find our patents invalid or unenforceable, or that our competitors are competing
in a non-infringing manner. Thus, even if we have valid and enforceable patents, these patents still may not provide protection against
competing products or processes sufficient to achieve our business objectives. Any of the foregoing could have a material adverse effect
on our business, financial condition, results of operations and prospects.

 Other parties have developed or may develop technologies
that may be related to or competitive with our approach, and may have filed or may file patent applications and may have been issued or
may be issued patents with claims that overlap or conflict with our patent applications, either by claiming the same materials, formulations
or methods, or by claiming subject matter that could dominate our patent position. In addition, certain parts or all of the patent portfolios
licensed to us are, or may be, licensed to third parties and such third parties may have or may obtain certain enforcement rights. If
the scope of the patent protection we or our licensors obtain is not sufficiently broad, we may not be able to prevent others from developing
and commercializing technology and products similar or identical to ours. The degree of patent protection we require to successfully compete
in the marketplace may be unavailable or severely limited in some cases and may not adequately protect our rights or permit us to gain
or keep any competitive advantage. We cannot provide any assurances that any of our licensed patents have, or that any of our pending
owned or licensed patent applications that mature into issued patents will include, claims with a scope sufficient to protect our product
candidates or otherwise provide any competitive advantage, nor can we provide any assurance that our licenses will remain in force.

 In addition, there are situations in which noncompliance
can result in abandonment or lapse of the patent or patent application, resulting in partial or complete loss of patent rights in the
relevant jurisdiction. Noncompliance events that could result in abandonment or lapse of a patent or patent application include, but are
not limited to, failure to respond to official actions within prescribed time limits, non-payment of fees and failure to properly legalize
and submit formal documents.

 Obtaining and maintaining our patent protection depends on compliance
with various procedural, document submission, fee payment and other requirements imposed by governmental patent agencies, and our patent
protection could be reduced or eliminated for non-compliance with these requirements.

 Periodic maintenance fees on any issued
patent are due to be paid to the USPTO and foreign patent agencies in several stages over the lifetime of the patent. The USPTO and
various foreign governmental patent agencies require compliance with a number of procedural, documentary, fee payment and other
similar provisions during the patent application process. While an inadvertent lapse can in many cases be cured by payment of a late
fee or by other means in accordance with the applicable rules, there are situations in which noncompliance can result in abandonment
or lapse of the patent or patent application, resulting in partial or complete loss of patent rights in the relevant jurisdiction.
Noncompliance events that could result in abandonment or lapse of a patent or patent application include, but are not limited to,
failure to respond to official actions within prescribed time limits, non-payment of fees and failure to properly legalize and
submit formal documents. In such an event, our competitors might be able to enter the market earlier than would otherwise have been
the case, which would have a material adverse effect on our business, financial condition, results of operations, and prospects.

 If we are unable to protect the confidentiality of our trade
secrets, our business and competitive position may be harmed.

 In addition to the protection afforded by patents,
we rely upon trade secret protection, know-how and continuing technological innovation to develop and maintain our competitive position.
We seek to protect our proprietary technology and processes, in part, by entering into confidentiality agreements with our contractors,
collaborators, scientific advisors, employees and consultants and invention assignment agreements with our consultants and employees.
However, we may not obtain these agreements in all circumstances, and individuals with whom we have these agreements may not comply with
their terms. The assignment of intellectual property rights under these agreements may not be self-executing or the assignment agreements
may be breached, and we may be forced to bring claims against third parties, or defend claims that they may bring against us, to determine
the ownership of what we regard as our intellectual property. In addition, we may not be able to prevent the unauthorized disclosure or
use of our technical know-how or other trade secrets by the parties to these agreements despite the existence of confidentiality agreements
and other contractual restrictions. Monitoring unauthorized uses and disclosures is difficult and we do not know whether the steps we
have taken to protect our proprietary technologies will be effective. If any of the contractors, collaborators, scientific advisors, employees
and consultants who are parties to these agreements breaches or violates the terms of any of these agreements, we may not have adequate
remedies for any such breach or violation. As a result, we could lose our trade secrets. Enforcing a claim against a third party that
illegally obtained and is using our trade secrets, like patent litigation, is expensive and time-consuming and the outcome is unpredictable.
In addition, courts outside the United States are sometimes less willing or unwilling to protect trade secrets. Any of the foregoing
could have a material adverse effect on our business, financial condition, results of operations, and prospects.

 Moreover, our trade secrets could otherwise become
known or be independently discovered by our competitors or other third parties. Competitors and other third parties could attempt to replicate
some or all of the competitive advantages we derive from our development efforts, willfully infringe our intellectual property rights,
design around our protected technology or develop their own competitive technologies that fall outside of our intellectual property rights.
If any of our trade secrets were to be lawfully obtained or independently developed by a competitor or other third party, we would have
no right to prevent them, or those to whom they communicate it, from using that technology or information to compete with us. If our trade
secrets are not adequately protected or sufficient to provide an advantage over our competitors, our competitive position could be adversely
affected, as could our business. Additionally, if the steps taken to maintain our trade secrets are deemed inadequate, we may have insufficient
recourse against third parties for misappropriating our trade secrets.

 If our trademarks and trade names are not adequately protected,
then we may not be able to build name recognition in our markets of interest and our business may be adversely affected.

 Our current or future trademarks or trade names
may be challenged, infringed, circumvented or declared generic or descriptive or determined to be infringing on other marks. We may not
be able to protect our rights to these trademarks and trade names or may be forced to stop using these names, which we need for name
recognition by potential partners or customers in our markets of interest. Our company name and logo, as well as our product candidate
names "briquilimab", "JSP191", and "JSP502", are not registered trademarks. If we seek to register
any of our trademarks, during trademark registration proceedings, we may receive rejections of our applications by the USPTO or in other
foreign jurisdictions. Although we would be given an opportunity to respond to those rejections, we may be unable to overcome such rejections.
In addition, in the USPTO and in comparable agencies in many foreign jurisdictions, third parties are given an opportunity to oppose
pending trademark applications and to seek to cancel registered trademarks. Opposition or cancellation proceedings may be filed against
our trademarks, and our trademarks may not survive such proceedings. If we are unable to establish name recognition based on our trademarks
and trade names, we may not be able to compete effectively and our business may be adversely affected. We may license our trademarks
and trade names to third parties, such as distributors. Although these license agreements may provide guidelines for how our trademarks
and trade names may be used, a breach of these agreements or misuse of our trademarks and tradenames by our licensees may jeopardize
our rights in or diminish the goodwill associated with our trademarks and trade names.

 Moreover, any name we have proposed to use with
our product candidate in the United States must be approved by the FDA, regardless of whether we have registered it, or applied
to register it, as a trademark. Similar requirements exist in Europe. The FDA typically conducts a review of proposed product names,
including an evaluation of potential for confusion with other product names. If the FDA (or an equivalent administrative body in a foreign
jurisdiction) objects to any of our proposed proprietary product names, we may be required to expend significant additional resources
in an effort to identify a suitable substitute name that would qualify under applicable trademark laws, not infringe the existing rights
of third parties and be acceptable to the FDA. Furthermore, in many countries, owning and maintaining a trademark registration may
not provide an adequate defense against a subsequent infringement claim asserted by the owner of a senior trademark. At times, competitors
or other third parties may adopt trade names or trademarks similar to ours, thereby impeding our ability to build brand identity and
possibly leading to market confusion. In addition, there could be potential trade name or trademark infringement claims brought by owners
of other registered trademarks or trademarks that incorporate variations of our registered or unregistered trademarks or trade names.
If we assert trademark infringement claims, a court may determine that the marks we have asserted are invalid or unenforceable, or that
the party against whom we have asserted trademark infringement has superior rights to the marks in question. In this case, we could ultimately
be forced to cease use of such trademarks.

 We may not be successful in acquiring or in-licensing necessary
rights to key technologies underlying briquilimab or any future product candidates we may develop.

 We currently have rights to intellectual property,
through licenses from third parties, to develop briquilimab, and we expect to seek to expand our intellectual property footprint related
to our product candidate pipeline in part by in-licensing the rights to key technologies. The future growth of our business will depend
in part on our ability to in-license or otherwise acquire the rights to develop additional product candidates and technologies. Although
we have succeeded in licensing technologies from third-party licensors, including Amgen Inc. and Stanford, in the past, we can give no
assurance that we will be able to in-license or acquire the rights to other technologies relevant to our product candidates from third
parties on acceptable terms or at all.

 In order to market our product candidates, we
may find it necessary or prudent to obtain licenses from such third-party intellectual property holders. However, it may be unclear who
owns the rights to intellectual property we wish to obtain, or we may be unable to secure such licenses or otherwise acquire or in-license
intellectual property rights from third parties that we identify as necessary for product candidates we may develop and technology we
employ. We currently conduct our preclinical research and clinical trials under 35 U.S.C. § 271(e)(1), which provides a safe
harbor from patent infringement for uses of patented technology reasonably related to the development and submission of information under
a federal law which regulates the manufacture, use, or sale of drugs.

 The licensing or acquisition of third-party intellectual
property rights is a highly competitive area, and other companies may pursue strategies to license or acquire third-party intellectual
property rights that we may consider attractive or necessary. Such companies may have a competitive advantage over us, e.g., due to their
size, capital resources and greater clinical development and commercialization capabilities. In addition, companies that perceive us
to be a competitor may be unwilling to assign or license rights to us. We also may be unable to license or acquire third-party intellectual
property rights on terms that would allow us to make an appropriate return on our investment or at all. If we are unable to successfully
obtain rights to required third-party intellectual property rights or maintain the existing intellectual property rights we have, we
may have to abandon development of the relevant program or product candidate, which could have a material adverse effect on our business,
financial condition, results of operations and prospects.

 Even if we were able to obtain such a license,
it could be non-exclusive, thereby giving our competitors and other third parties access to the same technologies licensed to us, and
it could require us to make substantial licensing and royalty payments. If we are unable to obtain a necessary license to a third-party
patent on commercially reasonable terms, we may be unable to commercialize our product candidates or such commercialization efforts may
be significantly delayed, which could in turn significantly harm our business.

 Third-party claims of intellectual property infringement, misappropriation
or other violations may prevent or delay our product discovery and development efforts and have a material adverse effect on our business.

 Our commercial success depends in part on us avoiding
infringement, misappropriation and other violations of the patents and proprietary rights of third parties. There is a substantial amount
of litigation involving patents and other intellectual property rights in the biotechnology and pharmaceutical industries, as well as
administrative proceedings for challenging patents, including interference and reexamination proceedings before the USPTO or oppositions
and other comparable proceedings in foreign jurisdictions. Recently, under U.S. patent reform, new procedures including inter
partes review and post grant review have been implemented. This reform will bring uncertainty to the possibility of challenge to
our patents in the future. Numerous U.S.-and foreign-issued patents and pending patent applications, which are owned by third parties,
exist in the fields in which we are developing our product candidates, and third parties may allege they have patent rights encompassing
our product candidates, technologies or methods. Third parties may assert that we are employing their proprietary technology without
authorization and may file patent infringement claims or lawsuits against us, and if we are found to infringe such third-party patents,
we may be required to pay damages, cease commercialization of the infringing technology or obtain a license from such third parties,
which may not be available on commercially reasonable terms or at all.

 There may be third-party patents with patent rights
to materials, formulations, methods of manufacture or methods of treatment related to the use or manufacture of our product candidates.
Because patent applications can take many years to issue, there may be currently pending patent applications which may later result
in issued patents that our product candidates may infringe. In addition, third parties may obtain patents in the future and claim that
use of our technologies infringes upon these patents. Further, we or our licensors may fail to identify even those relevant third-party
patents that have issued or may incorrectly interpret the relevance, scope or expiration of such patents. The scope of a patent claim
is determined by an interpretation of the law, the written disclosure in a patent and the patent's prosecution history. Our interpretation
of the relevance or scope of a patent or a pending application may be incorrect. If any third-party patents were held by a court of competent
jurisdiction to cover the manufacturing process of our product candidates, materials used in or formed during the manufacturing process
or any final product itself, the holders of any such patents may be able to block our ability to commercialize the product candidate
unless we obtained a license under the applicable patents, or until such patents expire or they are finally determined to be held invalid
or unenforceable. Similarly, if any third-party patent were held by a court of competent jurisdiction to cover aspects of our materials,
formulations or methods, including without limitation, combination therapy or patient selection methods, the holders of any such patent
may be able to block our ability to develop and commercialize the product candidate unless we obtained a license or until such patent
expires or is finally determined to be held invalid or unenforceable.

 Parties making claims against us may seek and
obtain injunctive or other equitable relief, which could effectively block our ability to further develop and commercialize our product
candidates. Defense of these claims, regardless of their merit, would involve substantial litigation expense and would involve a substantial
diversion of employee resources from our business. We may not have sufficient resources to bring these actions to a successful conclusion,
which may result in significant cost and may impede our inability to pursue any affected products or product candidates. There could
also be public announcements of the results of hearings, motions or other interim proceedings or developments. If securities analysts
or investors perceive these results to be negative, it could have a material adverse effect on the price of shares of our common stock.

 In the event of a successful claim of infringement
against us, we may have to pay substantial damages, including treble damages and attorneys' fees for willful infringement, obtain
one or more licenses from third parties, pay royalties or redesign our infringing products, which may be impossible or require substantial
time and monetary expenditure.

 Some intellectual property that we have in-licensed may have
been discovered through government-funded programs and thus may be subject to federal regulations such as "march-in" rights,
certain reporting requirements and a preference for U.S.-based companies. Compliance with such regulations may limit our exclusive rights
and limit our ability to contract with non-U.S. manufacturers.

 Any of the intellectual property rights that we
have licensed or may license in the future and that have been generated through the use of U.S. government funding are subject to
certain federal regulations. As a result, the U.S. government may have certain rights to intellectual property embodied in our current
or future product candidates pursuant to the Bayh-Dole Act of 1980 ("Bayh-Dole Act"). These U.S. government rights
in certain inventions developed under a government-funded program include a non-exclusive, non-transferable, irrevocable worldwide license
to use inventions for any governmental purpose. In addition, the U.S. government would have the right to require us to grant exclusive,
partially exclusive, or non-exclusive licenses to any such intellectual property rights to a third party if it determines that:

 adequate steps have not been taken to commercialize the invention;

 government action is necessary to meet public health or safety needs; or

 government action is necessary to meet requirements for public use under federal regulations (also referred
 to as "march-in rights").

 The U.S. government also has the right to
take title to such intellectual property rights if we, or the applicable licensor, fail to disclose the invention to the government and
fail to file an application to register the intellectual property within specified time limits. Intellectual property generated under
a government-funded program is also subject to certain reporting requirements, compliance with which may require us or the applicable
licensor to expend substantial resources. We cannot be certain that our current or future licensors will comply with the disclosure or
reporting requirements of the Bayh-Dole Act at all times, or be able to rectify any lapse in compliance with these requirements.

 In addition, the U.S. government requires
that any products embodying the subject invention or produced through the use of the subject invention be manufactured substantially
in the United States. The manufacturing preference requirement can be waived if the owner of the intellectual property can show
that reasonable but unsuccessful efforts have been made to grant licenses on similar terms to potential licensees that would be likely
to manufacture substantially in the United States or that under the circumstances domestic manufacture is not commercially feasible.
This preference for U.S. manufacturers may limit our ability to contract with non-U.S. product manufacturers for products covered
by such intellectual property. To the extent any of our current or future intellectual property is generated through the use of U.S. government
funding, the provisions of the Bayh-Dole Act may similarly apply.

 We may become involved in lawsuits to protect or enforce our
patents or other intellectual property, which could be expensive, time-consuming and unsuccessful.

 Competitors may infringe our patents, trademarks,
copyrights or other intellectual property. To counter infringement or unauthorized use, we may be required to file infringement claims,
which can be expensive and time-consuming and divert the time and attention of our management and scientific personnel. Any claims we
assert against perceived infringers could provoke these parties to assert counterclaims against us alleging that we infringe their patents,
in addition to counterclaims asserting that our patents are invalid or unenforceable, or both. In any patent infringement proceeding,
there is a risk that a court will decide that a patent of ours is invalid or unenforceable, in whole or in part, and that we do not have
the right to stop the other party from using the invention at issue. There is also a risk that, even if the validity of such patents
is upheld, the court will construe the patent's claims narrowly or decide that we do not have the right to stop the other party
from using the invention at issue on the grounds that our patent claims do not cover the invention. An adverse outcome in a litigation
or proceeding involving our patents could limit our ability to assert our patents against those parties or other competitors, and may
curtail or preclude our ability to exclude third parties from making and selling similar or competitive products. Any of these occurrences
could adversely affect our competitive business position, business prospects and financial condition. Similarly, if we assert trademark
infringement claims, a court may determine that the marks we have asserted are invalid or unenforceable, or that the party against whom
we have asserted trademark infringement has superior rights to the marks in question. In this case, we could ultimately be forced to
cease use of such trademarks.

 Even if we establish infringement, the court may
decide not to grant an injunction against further infringing activity and instead award only monetary damages, which may or may not be
an adequate remedy. Furthermore, because of the substantial amount of discovery required in connection with intellectual property litigation,
there is a risk that some of our confidential information could be compromised by disclosure during litigation. There could also be public
announcements of the results of hearings, motions or other interim proceedings or developments. If securities analysts or investors perceive
these results to be negative, it could have a material adverse effect on the price of shares of our common stock. Moreover, there can
be no assurance that we will have sufficient financial or other resources to file and pursue such infringement claims, which typically
last for years before they are concluded. Even if we ultimately prevail in such claims, the monetary cost of such litigation and
the diversion of the attention of our management and scientific personnel could outweigh any benefit we receive as a result of the proceedings.
Any of the foregoing may have a material adverse effect on our business, financial condition, results of operations and prospects.

 We may not be able to protect our intellectual property rights
throughout the world.

 Filing, prosecuting, maintaining, defending and
enforcing patents on our product candidates in all countries throughout the world would be prohibitively expensive, and our intellectual
property rights in some countries outside the United States can be less extensive than those in the United States. In addition,
the laws of some foreign countries do not protect intellectual property rights to the same extent as federal and state laws in the United States.
Consequently, we may not be able to prevent third parties from practicing our inventions in all countries outside the United States,
or from selling or importing products made using our inventions in and into the United States or other jurisdictions. Competitors
may use our technologies in jurisdictions where we have not obtained patent protection to develop their own drugs and may export otherwise
infringing drugs to territories where we have patent protection, but enforcement rights are not as strong as those in the United States.
These drugs may compete with our product candidates and our patents or other intellectual property rights may not be effective or sufficient
to prevent them from competing.

 Many companies have encountered significant problems
in protecting and defending intellectual property rights in foreign jurisdictions. The legal systems of some countries do not favor the
enforcement of patents and other intellectual property protection, which could make it difficult for us to stop the infringement of our
patents generally. Proceedings to enforce our patent rights in foreign jurisdictions could result in substantial costs and divert our
efforts and attention from other aspects of our business, could put our patents at risk of being invalidated or interpreted narrowly
and our patent applications at risk of not issuing and could provoke third parties to assert claims against us. We may not prevail in
any lawsuits that we initiate, and the damages or other remedies awarded, if any, may not be commercially meaningful.

 Many countries have compulsory licensing laws
under which a patent owner may be compelled under specified circumstances to grant licenses to third parties. In addition, many countries
limit the enforceability of patents against government agencies or government contractors. In those countries, we may have limited remedies
if patents are infringed or if we are compelled to grant a license to a third party, which could materially diminish the value of those
patents. This could limit our potential revenue opportunities. Accordingly, our efforts to enforce our intellectual property rights around
the world may be inadequate to obtain a significant commercial advantage from the intellectual property that we develop or license, which
could adversely affect our business, financial condition, results of operations, and prospects.

 If we do not obtain patent term extension and data exclusivity
for briquilimab or any other product candidates we may develop, our business may be materially harmed.

 Depending upon the timing, duration and conditions
of any FDA marketing approval of our product candidates, one or more of our U.S. patents may be eligible for limited patent term
extension under the Drug Price Competition and Patent Term Restoration Act of 1984, referred to as the Hatch-Waxman Amendments,
and similar legislation in the European Union. The Hatch-Waxman Amendments permit a patent term extension of up to five years for
a patent covering an approved product as compensation for effective patent term lost during product development and the FDA regulatory
review process. However, we may not receive an extension if we fail to exercise due diligence during the testing phase or regulatory
review process, fail to apply within applicable deadlines, fail to apply prior to expiration of relevant patents or otherwise fail to
satisfy applicable requirements. Moreover, the length of the extension could be less than we request. Only one patent per approved product
can be extended; the extension cannot extend the total patent term beyond 14 years from approval; and only those claims covering
the approved drug, a method for using it or a method for manufacturing it may be extended. If we are unable to obtain patent term extension
or the term of any such extension is less than we request, the period during which we can enforce our patent rights for the applicable
product candidate will be shortened, and our competitors may obtain approval to market competing products sooner. As a result, our revenue
from applicable products could be reduced. Further, if this occurs, our competitors may take advantage of our investment in development
and trials by referencing our clinical and preclinical data and launch their product earlier than might otherwise be the case, and our
competitive position, business, financial condition, results of operations, and prospects could be materially harmed.

 Third parties may assert that our employees or consultants have
wrongfully used or disclosed confidential information or misappropriated trade secrets.

 We employ individuals who were previously employed
at universities or other biopharmaceutical companies, including our competitors or potential competitors, and we may in the future be
subject to claims that former employees, consultants, or other third parties have an interest in our patents or other intellectual property
as an inventor, co-inventor, or owner of trade secrets. Although it is our policy to require our employees and consultants who may be
involved in the conception or development of intellectual property to execute agreements assigning that intellectual property to us,
we may be unsuccessful in executing such an agreement with each party who conceives or develops intellectual property that we regard
as our own or such party may breach the assignment agreement, or we may be subject to claims that we or our employees, consultants or
independent contractors have inadvertently or otherwise used or disclosed intellectual property, including trade secrets or other proprietary
information, of a former employer or other third parties. We may also be subject to claims that patents and applications that we may
file to protect inventions of our employees or consultants are rightfully owned by their former employers or other third parties. Litigation
may be necessary to defend against these claims. If we fail in defending any such claims, in addition to paying monetary damages, we
may lose valuable intellectual property rights or personnel. Even if we are successful in defending against such claims, litigation could
result in substantial costs and be a distraction to management and other employees. Any of the foregoing would harm our business, financial
condition, results of operations, and prospects.

 Changes in U.S. patent law or the patent law of other countries
or jurisdictions could diminish the value of patents in general, thereby impairing our ability to protect our products.

 The U.S. has enacted and implemented wide-ranging
patent reform legislation. The U.S. Supreme Court has ruled on several patent cases in recent years, either narrowing the scope of patent
protection available in certain circumstances or weakening the rights of patent owners in certain situations. In addition to increasing
uncertainty with regard to our ability to obtain patents in the future, this combination of events has created uncertainty with respect
to the value of patents, once obtained. Depending on actions by the U.S. Congress, the federal courts and the USPTO, the laws and regulations
governing patents could change in unpredictable ways that would weaken our ability to obtain new patents or to enforce patents that we
have licensed or that we might obtain in the future. Similarly, changes in patent law and regulations in other countries or jurisdictions
or changes in the governmental bodies that enforce them or changes in how the relevant governmental authority enforces patent laws or
regulations may weaken our ability to obtain new patents or to enforce patents that we have licensed or that we may obtain in the future.
For example, the complexity and uncertainty of European patent laws have also increased in recent years. In Europe, in June 2023, a new
unitary patent system was introduced, which will significantly impact European patents, including those granted before the introduction
of the system. Under the unitary patent system, after a European patent is granted, the patent proprietor can request unitary effect,
thereby getting a European patent with unitary Effect (a "Unitary Patent"). Each Unitary Patent is subject to the jurisdiction
of the Unitary Patent Court ("UPC"). As the UPC is a new court system, there is no precedent for the court, increasing the
uncertainty of any litigation. Patents granted before the implementation of the UPC will have the option of opting out of the jurisdiction
of the UPC and remaining as national patents in the UPC countries. Patents that remain under the jurisdiction of the UPC may be potentially
vulnerable to a single UPC-based revocation challenge that, if successful, could invalidate the patent in all countries who are signatories
to the UPC. We cannot predict with certainty the long-term effects of the new unitary patent system.

 Risks Related to Other Legal Compliance Matters

 If any of our product candidates are approved, an unfavorable
reimbursement determination in any of the major markets could have a negative impact on us. Further, an unfavorable change in such regimes
(e.g., price controls) could have a negative impact on us.

 The regulations that govern marketing approvals,
pricing, and reimbursement for new medicines vary widely from country to country. In the U.S., recently enacted legislation may significantly
change the approval requirements in ways that could involve additional costs and cause delays in obtaining approvals. Some countries
require approval of the sale price of a medicine before it can be marketed. In many countries, the pricing review period begins after
marketing or product licensing approval is granted. In some foreign markets, prescription pharmaceutical pricing remains subject to continuing
governmental control even after initial approval is granted. As a result, we might obtain marketing approval for a medicine in a particular
country, but then be subject to price regulations that delay our commercial launch of the medicine, possibly for lengthy time periods,
and negatively impact the revenues we are able to generate from the sale of the medicine in that country. Adverse pricing limitations
may hinder our ability to recoup our investment in one or more product candidates, even if any product candidates we may develop obtain
marketing approval.

 Our ability to commercialize any medicines successfully
also will depend in part on the extent to which reimbursement for these medicines and related treatments will be available from government
health administration authorities, private health insurers, and other organizations. Government authorities and third-party payors, such
as private health insurers and health maintenance organizations, decide which medications they will pay for and establish reimbursement
levels. A primary trend in the U.S. healthcare industry and elsewhere is cost containment. Government authorities and third-party
payors have attempted to control costs by limiting coverage and the amount of reimbursement for particular medications. For example,
in May 2019, the Centers for Medicare & Medicaid Services ("CMS") issued a final rule to allow Medicare Advantage
Plans the option of using step therapy, a type of prior authorization for Medicare Party B drugs, beginning January 1, 2020. This
final rule codified CMS's policy change that was effective January 1, 2019.

 Congress and the Biden administration have each
indicated that it will continue to seek new legislative and/or administrative measures to control drug costs. Individual states in the
U.S. have also increasingly passed legislation and implemented regulations designed to control pharmaceutical product pricing, including
price or patient reimbursement constraints, discounts, restrictions on certain product access and marketing cost disclosure and transparency
measures, and, in some cases, designed to encourage importation from other countries and bulk purchasing. See the discussion below under
the heading "The prices of prescription pharmaceuticals in the United States and foreign jurisdictions are subject to considerable
legislative and executive actions and could impact the prices we obtain for our products, if and when licensed" for additional
detail.

 At the state level, legislatures have become increasingly
aggressive in passing legislation and implementing regulations designed to control pharmaceutical and biological product pricing. Some
of these measures include price or patient reimbursement constraints, discounts, restrictions on certain product access, marketing cost
disclosure and transparency measures, and, in some cases, measures designed to encourage importation from other countries and bulk purchasing.
In addition, regional health care authorities and individual hospitals are increasingly using bidding procedures to determine what pharmaceutical
products and which suppliers will be included in their prescription drug and other health care programs. Also, increasingly, third-party
payors are requiring that drug companies provide them with predetermined discounts from list prices and are challenging the prices charged
for medical products. We cannot be sure that reimbursement will be available for any medicine that we commercialize and, if reimbursement
is available, the level of reimbursement. Reimbursement may impact the demand for, or the price of, any product candidate for which we
obtain marketing approval. If reimbursement is not available or is available only to limited levels, we may not be able to successfully
commercialize any product candidate for which we obtain marketing approval.

 There may be significant delays in obtaining reimbursement
for newly approved medicines, and coverage may be more limited than the purposes for which the medicine is approved by the FDA or similar
regulatory authorities outside the U.S. Moreover, eligibility for reimbursement does not imply that any medicine will be paid for
in all cases or at a rate that covers our costs, including research, development, manufacture, sale and distribution. Interim reimbursement
levels for new medicines, if applicable, may also not be sufficient to cover our costs and may not be made permanent. Reimbursement rates
may vary according to the use of the medicine and the clinical setting in which it is used, may be based on reimbursement levels already
set for lower cost medicines and may be incorporated into existing payments for other services. Net prices for medicines may be reduced
by mandatory discounts or rebates required by government healthcare programs or private payors and by any future relaxation of laws that
presently restrict imports of medicines from countries where they may be sold at lower prices than in the U.S. Any such reductions
could negatively impact our net product sales, if any of our product candidates are ever approved.

 Any product candidate for which we obtain marketing approval
could be subject to restrictions or withdrawal from the market, and we may be subject to substantial penalties if we fail to comply with
regulatory requirements or if we experience unanticipated problems with our medicines, when and if any of them are approved.

 The FDA and other regulatory agencies closely
regulate the post approval marketing and promotion of medicines to ensure that they are marketed only for the approved indications and
in accordance with the provisions of the approved labeling. The FDA and other regulatory agencies impose stringent restrictions on manufacturers'
communications regarding off label use, and if we do not market our medicines for their approved indications, we may be subject to enforcement
action for off label marketing by the FDA and other federal and state enforcement agencies, including the Department of Justice. Violation
of the Federal Food, Drug, and Cosmetic Act and other statutes, including the False Claims Act, relating to the promotion and advertising
of prescription products may also lead to investigations or allegations of violations of federal and state healthcare fraud and abuse
laws and state consumer protection laws.

 In addition, later discovery of previously unknown
problems with our medicines, third-party manufacturers, or manufacturing processes, or failure to comply with regulatory requirements,
may yield various results, including:

 restrictions on such medicines, manufacturers, or manufacturing processes;

 restrictions on the labeling or marketing of a medicine;

 restrictions on the distribution or use of a medicine;

 requirements to conduct post marketing clinical trials;

 receipt of warning or untitled letters;

 withdrawal of the medicines from the market;

 refusal to approve pending applications or supplements to approved applications that we submit;

 recall of medicines;

 fines, restitution, or disgorgement of profits or revenue;

 suspension or withdrawal of marketing approvals;

 suspension of any ongoing clinical trials;

 refusal to permit the import or export of our medicines;

 product seizure; and

 injunctions or the imposition of civil or criminal penalties.

 Any government investigation of alleged violations
of law could require us to expend significant time and resources in response and could generate negative publicity. The occurrence of
any event or penalty described above may inhibit our ability to commercialize any product candidates we develop and adversely affect
our business, financial condition, results of operations, and prospects.

 Additionally, if any of our product candidates
receives marketing approval, the FDA could require it to adopt a Risk Evaluation and Mitigation Strategy, to ensure that the benefits
outweigh its risks, which may include, among other things, a medication guide outlining the risks of the product for distribution to
patients and a communication plan to healthcare practitioners. Furthermore, if we or others later identify undesirable side effects caused
by any of our product candidates, several potentially significant negative consequences could result, including:

 regulatory authorities may suspend or withdraw approvals of such product candidate;

 regulatory authorities may require additional warnings on the label;

 we may be required to change the way such product candidate is administered or conduct additional
 clinical trials;

 we could be sued and held liable for harm caused to patients; and

 our reputation may suffer.

 Our relationships with healthcare providers, including physicians,
and third-party payors will be subject to applicable anti-kickback, fraud and abuse, anti-bribery and other healthcare laws and regulations,
which could expose us to criminal sanctions, civil penalties, contractual damages, reputational harm and diminished profits and future
earnings.

 Healthcare providers and third-party payors play
a primary role in the recommendation and prescription of any product candidates for which we obtain marketing approval. Our current and
future arrangements with healthcare providers, third-party payors and customers may expose us to broadly applicable fraud and abuse and
other healthcare laws and regulations that may constrain the business or financial arrangements and relationships through which we research
as well as market, sell and distribute our products for which we obtain marketing approval. Restrictions under applicable federal and
state healthcare laws and regulations, including certain laws and regulations applicable only if we have marketed products, include,
but are not limited to, the following:

 the federal healthcare program Anti-Kickback Statute, which prohibits, among other things, persons
 or entities from knowingly and willfully soliciting, receiving, offering, or providing any remuneration (including any kickback,
 bribe or certain rebates), directly or indirectly, in cash or in kind, to induce, or in return for, either the referral of an individual,
 for the purchase, lease, order or recommendation of any item, good, facility or service for which payment may be made, in whole or
 in part, under federal healthcare programs, such as Medicare and Medicaid. A person or entity does not need to have actual knowledge
 of the statute or specific intent to violate it in order to have committed a violation;

 federal false claims, including the False Claims Act that can be enforced through whistleblower
 actions, false statements and civil monetary penalties laws, which prohibit, among other things, any person or entity from knowingly
 presenting, or causing to be presented, a false or fraudulent claim for payment of government funds or knowingly making, or causing
 to be made, a false record or statement material to a false or fraudulent claim to get a false claim paid or to avoid, decrease or
 conceal an obligation to pay money to the federal government. In addition, the government may assert that a claim including items
 and services resulting from a violation of the U.S. federal Anti-Kickback Statute constitutes a false or fraudulent claim for
 purposes of the False Claims Act;

 the federal Health Insurance Portability and Accountability Act of 1996 ("HIPAA"),
 which, prohibits, among other things, executing, or attempting to execute, a scheme to defraud any healthcare benefit program or
 making false, fictitious, or fraudulent statements in connection with the delivery of, or payment for, healthcare benefits, items
 or services relating to healthcare matters. Similar to the federal Anti-Kickback Statute, a person or entity does not need to have
 actual knowledge of the statute or specific intent to violate it in order to have committed a violation;

 the federal false statements statute, which prohibits knowingly and willfully falsifying, concealing,
 or covering up a material fact or making any materially false statement in connection with the delivery of or payment for healthcare
 benefits, items, or services;

 the federal Food, Drug, and Cosmetic Act, which among other things, strictly regulates drug marketing,
 prohibits manufacturers from marketing such products for off-label use and regulates the distribution of samples;

 federal laws that require pharmaceutical manufacturers to report certain calculated product prices
 to the government or provide certain discounts or rebates to government authorities or private entities, often as a condition of
 reimbursement under government healthcare programs;

 the federal Physician Payments Sunshine Act, which requires certain manufacturers of drugs, devices,
 biologics and medical supplies for which payment is available under Medicare, Medicaid or the Children's Health Insurance Program
 (with certain exceptions) to report annually to the CMS within the U.S. Department of Health and Human Services, information
 related to payments or other transfers of value made during the previous year to physicians, (defined to include doctors, dentists,
 optometrists, podiatrists and chiropractors) and teaching hospitals, as well as ownership and investment interests held by physicians
 and their immediate family members. Beginning in 2022, such obligations include payments and other transfers of value provided
 in the previous year to certain other healthcare professionals, including physician assistants, nurse practitioners, clinical nurse
 specialists, certified nurse anesthetists, anesthesiologist assistants and certified nurse midwives; and

 analogous state and foreign laws and regulations, such as state anti-kickback and false claims
 laws, which may be broader in scope and apply to healthcare items or services that are reimbursed by non-governmental third-party
 payors, including private insurers.

 Some state laws also require pharmaceutical companies
to comply with specific compliance standards, restrict financial interactions between pharmaceutical companies and healthcare providers
or require pharmaceutical companies to report information related to payments to health care providers or marketing expenditures. Certain
state laws also require the reporting of information related to drug pricing. Further, certain state and local laws require the registration
of pharmaceutical sales representatives.

 Efforts to ensure that our business arrangements
with third parties will comply with applicable healthcare laws and regulations will involve substantial costs. Given the breadth of the
laws and regulations and evolving government interpretations of the laws and regulations, governmental authorities may possibly conclude
that our business practices, including certain of our advisory board arrangements with physicians, some of whom are compensated in the
form of stock or stock options, may not comply with healthcare laws and regulations. If our operations are found to be in violation of
any of the laws described above or any other government regulations that apply to us, we may be subject to significant penalties, including
administrative, civil and criminal penalties, damages, fines, disgorgement, exclusion from participation in government health care programs,
such as Medicare and Medicaid, imprisonment, integrity oversight and reporting obligations, contractual damages, reputational harm, diminished
profits and future earnings, and the curtailment or restructuring of our operations, any of which could adversely affect our business,
financial condition, results of operations, and prospects.

 The European Union has strict laws governing the
provision of benefits or advantages to healthcare professionals in order to induce or encourage the prescription, recommendation, endorsement,
purchase, supply, order or use of medicinal products. Such laws and associated codes of practice set out the rules and requirements that
the provision of hospitality, sponsorship, gifts and promotional items must meet before they can be accepted by healthcare professionals.
The provision of benefits or advantages to healthcare professionals is also governed by the national anti-bribery laws of European Union
Member States. Infringement of these laws could result in substantial fines and imprisonment.

 Payments made to healthcare professionals in certain
European Union Member States may be publicly disclosed. Moreover, agreements with healthcare professionals often must be the subject
of prior notification and approval by the healthcare professionals' employer, his or her competent professional organization, and/or
the regulatory authorities of the individual European Union Member States. These requirements are provided in the national laws, industry
codes, or professional codes of conduct applicable in the European Union Member States. Failure to comply with these requirements could
result in reputational risk, public reprimands, administrative penalties, fines or imprisonment.

 Healthcare and other reform legislation, may increase the difficulty
and cost for us and any collaborators we may have to obtain marketing approval of and commercialize briquilimab and any other product
candidates we may develop and affect the prices we, or they, may obtain.

 In the United States and some foreign jurisdictions,
there have been, and continue to be, ongoing efforts to implement legislative and regulatory changes regarding the healthcare system.
Such changes could prevent or delay marketing approval of briquilimab and any other product candidates that we may develop, restrict
or regulate post-approval activities and affect our ability to profitably sell any product candidates for which we obtain marketing approval.
Although we cannot predict what healthcare or other reform efforts will be successful, such efforts may result in more rigorous coverage
criteria, in additional downward pressure on the price that we, or our future collaborators, may receive for any approved products or
in other consequences that may adversely affect our ability to achieve or maintain profitability.

 Within the United States, the federal government
and individual states have aggressively pursued healthcare reform, as evidenced by the passing of the ACA and the ongoing efforts to
modify or repeal that legislation. The ACA substantially changed the way healthcare is financed by both governmental and private insurers
and contains a number of provisions that affect coverage and reimbursement of drug products and/or that could potentially reduce the
demand for pharmaceutical products such as increasing drug rebates under state Medicaid programs for brand name prescription drugs and
extending those rebates to Medicaid managed care and assessing a fee on manufacturers and importers of brand name prescription drugs
reimbursed under certain government programs, including Medicare and Medicaid. Other aspects of healthcare reform, such as expanded government
enforcement authority and heightened standards that could increase compliance-related costs, could also affect our business. There are,
and may continue to be, judicial challenges, including review by the United States Supreme Court. We cannot predict the ultimate
content, timing or effect of any changes to the ACA or other federal and state reform efforts. There is no assurance that federal or
state healthcare reform will not adversely affect our future business and financial results, and we cannot predict how future federal
or state legislative, judicial or administrative changes relating to healthcare reform will affect our business.

 Federal and state governments have shown significant
interest in implementing cost-containment programs to limit the growth of government-paid healthcare costs, including price controls,
waivers from Medicaid drug rebate law requirements, restrictions on reimbursement and requirements for substitution of generic products
for branded prescription drugs. The private sector has also sought to control healthcare costs by limiting coverage or reimbursement
or requiring discounts and rebates on products. We are unable to predict what additional legislation, regulations or policies, if any,
relating to the healthcare industry or third party coverage and reimbursement may be enacted in the future or what effect such legislation,
regulations or policies would have on our business. Any cost containment measures could significantly decrease the available coverage
and the price we might establish for our potential products, which would have an adverse effect on our net revenues and operating results.

 Legislative and regulatory proposals have been
made to expand post-approval requirements and restrict sales and promotional activities for biotechnology products. We cannot be sure
whether additional legislative changes will be enacted, or whether FDA regulations, guidance or interpretations for biological products
will be changed, or what the impact of such changes on the marketing approvals of our product candidates, if any, may be. In addition,
increased scrutiny by the U.S. Congress of the FDA's approval and decision-making processes may significantly delay or prevent
marketing approval, as well as subject us to more stringent product labeling and post-marketing testing and other requirements.

 The prices of prescription pharmaceuticals in the United States
and foreign jurisdictions are subject to considerable legislative and executive actions and could impact the prices we obtain for our
products, if and when licensed.

 The prices of prescription pharmaceuticals have
also been the subject of considerable discussion in the United States. To date, there have been several recent U.S. congressional
inquiries and proposed and enacted state and federal legislation designed to, among other things, bring more transparency to drug pricing,
review the relationship between pricing and manufacturer patient programs, reduce the costs of drugs under Medicare and reform government
program reimbursement methodologies for products. To those ends, in October 2020, the FDA issued final guidance that describes procedures
drug manufacturers can follow to facilitate importation of prescription drugs, including biological products, that are FDA-approved,
manufactured abroad, authorized for sale in any foreign country, and originally intended for sale in that foreign country.

 At the state level, individual states are increasingly
aggressive in passing legislation and implementing regulations designed to control pharmaceutical and biological product pricing, including
price or patient reimbursement constraints, discounts, restrictions on certain product access and marketing cost disclosure and transparency
measures, and, in some cases, designed to encourage importation from other countries and bulk purchasing. In addition, regional health
care organizations and individual hospitals are increasingly using bidding procedures to determine what pharmaceutical products and which
suppliers will be included in their prescription drug and other health care programs. These measures could reduce the ultimate demand
for our products, once approved, or put pressure on our product pricing. We expect that additional state and federal healthcare reform
measures will be adopted in the future, any of which could limit the amounts that federal and state governments will pay for healthcare
products and services, which could result in reduced demand for our product candidates or additional pricing pressures.

 In the European Union, similar political, economic
and regulatory developments may affect our ability to profitably commercialize our product candidates, if approved. In markets outside
of the United States and the European Union, reimbursement and healthcare payment systems vary significantly by country, and many
countries have instituted price ceilings on specific products and therapies. In some countries, particularly the countries of the European
Union, the pricing of prescription pharmaceuticals is subject to governmental control. In these countries, pricing negotiations with
governmental authorities can take considerable time after the receipt of marketing approval for a product. To obtain reimbursement or
pricing approval in some countries, we may be required to conduct a clinical trial that compares the cost-effectiveness of our product
candidates to other available therapies. If reimbursement of our products is unavailable or limited in scope or amount, or if pricing
is set at unsatisfactory levels, our business could be harmed, possibly materially.

 In addition, on August 16, 2022, President Biden
signed into law the Inflation Reduction Act of 2022, which, among other things, includes policies that are designed to have a direct
impact on drug prices and reduce drug spending by the federal government, took effect in 2023. Under the Inflation Reduction Act of 2022,
Congress authorized Medicare beginning in 2026 to negotiate lower prices for certain costly single-source drug and biologic products
that do not have competing generics or biosimilars. This provision is limited in terms of the number of pharmaceuticals whose prices
can be negotiated in any given year and it only applies to drug products that have been approved for at least 9 years and biologics that
have been licensed for 13 years. Drugs and biologics that have been approved for a single rare disease or condition are categorically
excluded from price negotiation. Further, the new legislation provides that if pharmaceutical companies raise prices in Medicare faster
than the rate of inflation, they must pay rebates back to the government for the difference. The new law also caps Medicare out-of-pocket
drug costs at $2,000 a year.

 Our employees, principal investigators, consultants and commercial
partners may engage in misconduct or other improper activities, including non-compliance with regulatory standards and requirements and
insider trading.

 We are exposed to the risk of fraud or other misconduct
by our employees, consultants and commercial partners, and, if we commence clinical trials, our principal investigators. Misconduct by
these parties could include intentional failures to comply with FDA regulations or the regulations applicable in the European Union and
other jurisdictions, provide accurate information to the FDA, the EMA and other regulatory authorities, comply with healthcare fraud
and abuse laws and regulations in the United States and abroad, report financial information or data accurately or disclose unauthorized
activities to us. In particular, sales, marketing and business arrangements in the healthcare industry are subject to extensive laws
and regulations intended to prevent fraud, misconduct, kickbacks, self-dealing and other abusive practices. These laws and regulations
restrict or prohibit a wide range of pricing, discounting, marketing and promotion, sales commission, customer incentive programs and
other business arrangements. Such misconduct also could involve the improper use of information obtained in the course of clinical trials
or interactions with the FDA, the EMA or other regulatory authorities, which could result in regulatory sanctions and cause serious harm
to our reputation. We have adopted a code of conduct applicable to all of our employees, but it is not always possible to identify and
deter employee misconduct, and the precautions we take to detect and prevent this activity may not be effective in controlling unknown
or unmanaged risks or losses or in protecting us from government investigations or other actions or lawsuits stemming from a failure
to comply with these laws or regulations. If any such actions are instituted against us, and we are not successful in defending ourselves
or asserting our rights, those actions could have a significant impact on our business, financial condition, results of operations and
prospects, including the imposition of significant fines or other sanctions.

 Laws and regulations governing any international operations
we may have in the future may preclude us from developing, manufacturing and selling certain product candidates outside of the United States
and require us to develop and implement costly compliance programs.

 We may be subject to numerous laws and regulations
in each jurisdiction outside of the United States in which we may operate. The creation, implementation and maintenance of international
business practices compliance programs is costly and such programs are difficult to enforce, particularly where reliance on third parties
is required.

 The Foreign Corrupt Practices Act (the "FCPA"),
prohibits any U.S. individual or business from paying, offering, authorizing payment or offering of anything of value, directly
or indirectly, to any foreign official, political party or candidate for the purpose of influencing any act or decision of the foreign
entity in order to assist the individual or business in obtaining or retaining business. The FCPA also obligates companies whose securities
are listed in the United States to comply with certain accounting provisions requiring us to maintain books and records that accurately
and fairly reflect all transactions of the corporation, including international subsidiaries, and to devise and maintain an adequate
system of internal accounting controls for international operations. The anti-bribery provisions of the FCPA are enforced primarily by
the Department of Justice. The SEC is involved with enforcement of the books and records provisions of the FCPA.

 Similarly, the U.K. Bribery Act 2010
has extra-territorial effect for companies and individuals having a connection with the United Kingdom. The U.K. Bribery Act
prohibits inducements both to public officials and private individuals and organizations. Compliance with the FCPA and the U.K. Bribery
Act is expensive and difficult, particularly in countries in which corruption is a recognized problem. In addition, the FCPA presents
particular challenges in the pharmaceutical industry, because, in many countries, hospitals are operated by the government, and doctors
and other hospital employees are considered foreign officials. Certain payments to hospitals in connection with clinical trials and other
work have been deemed to be improper payments to government officials and have led to FCPA enforcement actions.

 Various laws, regulations and executive orders
also restrict the use and dissemination outside of the United States, or the sharing with certain non-U.S. nationals, of information
classified for national security purposes, as well as certain products and technical data relating to those products. Our expansion outside
of the United States has required, and will continue to require, us to dedicate additional resources to comply with these laws,
and these laws may preclude us from developing, manufacturing or selling certain product candidates outside of the United States,
which could limit our growth potential and increase our development costs. The failure to comply with laws governing international business
practices may result in substantial penalties, including suspension or debarment from government contracting. Violation of the FCPA can
result in significant civil and criminal penalties. Indictment alone under the FCPA can lead to suspension of the right to do business
with the U.S. government until the pending claims are resolved. Conviction of a violation of the FCPA can result in long-term disqualification
as a government contractor. The termination of a government contract or relationship as a result of our failure to satisfy any of our
obligations under laws governing international business practices would have a negative impact on our operations and harm our reputation
and ability to procure government contracts. The SEC also may suspend or bar issuers from trading securities on U.S. exchanges for
violations of the FCPA's accounting provisions.

 Compliance with global privacy and data security requirements
could result in additional costs and liabilities to us or inhibit our ability to collect and process data globally, and the failure to
comply with such requirements could subject us to significant fines and penalties, which may have a material adverse effect on our business,
financial condition and results of operations.

 The regulatory framework for the collection, use,
safeguarding, sharing, transfer, and other processing of information worldwide is rapidly evolving and is likely to remain uncertain
for the foreseeable future. Globally, virtually every jurisdiction in which we operate has established its own data security and privacy
frameworks with which we must comply. For example, the collection, use, disclosure, transfer, or other processing of personal data regarding
individuals in the European Union, including personal health data, is subject to the EU General Data Protection Regulation (the "GDPR"),
which took effect across all member states of the European Economic Area (the "EEA") in May 2018. The GDPR is wide-ranging
in scope and imposes numerous requirements on companies that process personal data, including requirements relating to processing health
and other sensitive data, obtaining consent of the individuals to whom the personal data relates, providing information to individuals
regarding data processing activities, implementing safeguards to protect the security and confidentiality of personal data, providing
notification of data breaches, and taking certain measures when engaging third-party processors. The GDPR increases our obligations with
respect to clinical trials conducted in the EEA by expanding the definition of personal data to include coded data and requiring changes
to informed consent practices and more detailed notices for clinical trial subjects and investigators. In addition, the GDPR imposes
strict rules on the transfer of personal data to countries outside the European Union, including the United States, and, as a result,
increases the scrutiny that clinical trial sites located in the EEA should apply to transfers of personal data from such sites to countries
that are considered to lack an adequate level of data protection, such as the United States. The GDPR also permits data protection
authorities to require destruction of improperly gathered or used personal information and/or impose substantial fines for violations
of the GDPR, which can be up to four percent of global revenues or 20 million Euros, whichever is greater, and it also confers a
private right of action on data subjects and consumer associations to lodge complaints with supervisory authorities, seek judicial remedies,
and obtain compensation for damages resulting from violations of the GDPR. In addition, the GDPR provides that European Union member
states may make their own further laws and regulations limiting the processing of personal data, including genetic, biometric or health
data.

 Further, Brexit has led and could also lead to
legislative and regulatory changes and may increase our compliance costs. As of January 1, 2021 and the expiry of transitional arrangements
agreed to between the United Kingdom and the European Union, data processing in the United Kingdom is governed by a United Kingdom version
of the GDPR (combining the GDPR and the Data Protection Act 2018), exposing us to two parallel regimes, each of which authorizes similar
fines and other potentially divergent enforcement actions for certain violations. On June 28, 2021, the European Commission adopted an
Adequacy Decision for the United Kingdom, allowing for the relatively free exchange of personal information between the European Union
and the United Kingdom, however, the European Commission may suspend the Adequacy Decision if it considers that the United Kingdom no
longer provides for an adequate level of data protection. Other jurisdictions outside the European Union are similarly introducing or
enhancing privacy and data security laws, rules and regulations.

 Similar actions are either in place or under way in the United States.
There are a broad variety of data protection laws that are applicable to our activities, and a wide range of enforcement agencies at both
the state and federal levels that can review companies for privacy and data security concerns based on general consumer protection laws.
The Federal Trade Commission and state Attorneys General all are aggressive in reviewing privacy and data security protections for consumers.
New laws also are being considered at both the state and federal levels. For example, the California Consumer Privacy Act — which
went into effect on January 1, 2020 — is creating similar risks and obligations as those created by the GDPR, though the
California Consumer Privacy Act does exempt certain information collected as part of a clinical trial subject to the Federal Policy for
the Protection of Human Subjects (the Common Rule). As of January 1, 2023, the California Consumer Privacy Act (as amended by the California
Privacy Rights Act) is in full effect, while enforcement by California's dedicated privacy enforcement agency began in 2023. While
California was first among the states in adopting comprehensive data privacy legislation similar to the GDPR, many other states are following
suit. For example, Utah, Colorado, Connecticut, Virginia, Montana, Oregon and Texas passed similar laws which took effect in 2023 and
2024. Additionally, Delaware, Indiana, Iowa, Kentucky, Maryland, Minnesota, Nebraska, New Hampshire, New Jersey, Rhode Island and Tennessee
also adopted privacy laws, which take effect from January 1, 2025 through 2026. Further, Washington's My Health My Data Act, effective
as of July 1, 2024, imposes similar requirements specific to consumer health data. Many other states are considering similar legislation.
A broad range of legislative measures also have been introduced at the federal level. Accordingly, failure to comply with federal and
state laws (both those currently in effect and future legislation) regarding privacy and security of personal information could expose
us to fines and penalties under such laws. There also is the threat of consumer class actions related to these laws and the overall protection
of personal data. This is particularly true with respect to data security incidents, and sensitive personal information, including health
and biometric data. Even if we are not determined to have violated these laws, government investigations into these issues typically require
the expenditure of significant resources and generate negative publicity, which could harm our reputation and business.

 Given the breadth and depth of changes in data
protection obligations, preparing for and complying with these requirements is rigorous and time intensive and requires significant resources
and a review of our technologies, systems and practices, as well as those of any third-party collaborators, service providers, contractors
or consultants that process or transfer personal data collected in the European Union. The GDPR, new state privacy laws and other changes
in laws or regulations associated with the enhanced protection of certain types of sensitive data, such as healthcare data or other personal
information from our clinical trials, could require us to change our business practices and put in place additional compliance mechanisms,
may interrupt or delay our development, regulatory and commercialization activities and increase our cost of doing business, and could
lead to government enforcement actions, private litigation and significant fines and penalties against us and could have a material adverse
effect on our business, financial condition and results of operations.

 We and our partners may be subject to stringent privacy laws,
information security laws, regulations, policies and contractual obligations related to data privacy and security, and changes in such
laws, regulations, policies or how they are interpreted or changes in contractual obligations could adversely affect our business.

 There are numerous U.S. federal and state
data privacy and protection laws and regulations that apply to the collection, transmission, processing, storage and use of personally-identifying
information, which among other things, impose certain requirements relating to the privacy, security and transmission of personal information.
The legislative and regulatory landscape for privacy and data protection continues to evolve in jurisdictions worldwide, and there has
been an increasing focus on privacy and data protection issues with the potential to affect our business. Failure to comply with any
of these laws and regulations could result in enforcement action against us, including fines, imprisonment of company officials and public
censure, claims for damages by affected individuals, damage to our reputation and loss of goodwill, any of which could have a material
adverse effect on our business, financial condition, results of operations or prospects.

 If we are unable to properly protect the privacy
and security of health-related information or other sensitive or confidential information in our possession, we could be found to have
breached our contracts. Further, if we fail to comply with applicable privacy laws, including applicable HIPAA privacy and security standards,
we could face significant administrative, civil and criminal penalties. Enforcement activity can also result in financial liability and
reputational harm, and responses to such enforcement activity can consume significant internal resources. In addition, state attorneys
general are authorized to bring civil actions seeking either injunctions or damages in response to violations that threaten the privacy
of state residents.

 Our ability to effectively monitor and respond to the rapid
and evolving developments and expectations relating to sustainability, including the environmental, social and governance matters, may
impose unexpected costs or results in reputational or other harm that could have a material adverse effect on our business.

 There is an increasing focus from certain investors,
employees, regulators, listing exchanges and other stakeholders concerning corporate responsibility and sustainability matters, including
with regard to environmental, social and governance factors. Some investors and investor groups may use these factors—either positively
or negatively—to guide their investment strategies and, in some cases, investors may choose not to invest in our company if they
believe our policies or practices relating to corporate responsibility and sustainability do not align with their expectations. Currently,
a number of third-party providers of corporate responsibility and sustainability ratings measure the performance of companies on such
topics, and the results of these assessments are widely publicized. Investors, particularly institutional investors, use these ratings
to benchmark companies against their peers, and some major institutional investors have publicly emphasized the importance of these measures
to their investment decisions. Topics taken into account in such assessments include, among others, companies' efforts and impacts
on climate change, human rights, business ethics and compliance, diversity, equity and inclusion and the role of companies' board
of directors in overseeing various sustainability-related issues. In light of investors' increased focus on these matters, if we
are, for example, perceived as lagging in taking steps with respect to these initiatives, certain investors may seek to engage with us
on improving our corporate responsibility and sustainability disclosures or performance. They may also make voting decisions or take
other actions to hold us and our board of directors accountable.

 In addition, there are rapidly evolving developments
and changing expectations relating to sustainability matters. As a result, the criteria by which our corporate responsibility and sustainability
practices are assessed may change, which could cause us to undertake costly initiatives or actions to satisfy new demands. If we elect
not to or are unable to adequately recognize and respond to such developments and changing governmental, societal, investor and/or consumer
expectations relating to sustainability matters, we may miss corporate opportunities, become subject to additional scrutiny or incur
unexpected costs. We may face risk of litigation or reputational damage in the event that our sustainability policies or practices do
not meet the standards set by various constituencies.

 We may also face reputational damage in the event
our corporate responsibility initiatives or objectives do not meet the standards set by our investors, stockholders, lawmakers, listing
exchanges or other constituencies, or if we are unable to achieve an acceptable sustainability rating from third-party rating services.
A low sustainability rating by a third-party rating service could also result in the exclusion of our common stock from consideration
by certain investors who may elect to invest with our competitors instead. Ongoing focus on corporate responsibility and sustainability
matters by investors and other stakeholders as described above may impose additional costs or expose us to new risks. Any failure or
perceived failure by us in this regard could have a material adverse effect on our reputation and on our business, financial condition
or results of operations, including the sustainability of our business over time, and could cause the market value of our common stock
to decline.

 Further, our emphasis on sustainability issues
may not maximize short-term financial results and may yield financial results that conflict with the market's expectations. We
may in the future make business decisions consistent with our sustainability goals that we believe, based on considered analysis, will
create value and improve our financial performance over the long-term. These decisions, however, may not be consistent with the short-term
expectations of our stockholders and may not produce the long-term benefits that we expect, in which case our business, financial condition
and results of operations could be harmed.

 Risks Related to Employee Matters, Managing Growth and Information
Technology

 If we lose key management personnel, or if we fail to recruit
additional highly skilled personnel, our ability to continue developing and to identify and develop new or next-generation product candidates
will be impaired, which could result in delays in the development process, loss of market opportunities, make us less competitive and
have a material adverse effect on our business, financial condition and results of operations.

 Our ability to compete in the highly competitive
biotechnology and pharmaceutical industries depends upon our ability to attract and retain highly qualified managerial, scientific and
medical personnel. We are highly dependent on our management, particularly our Chief Executive Officer, the members of our executive
team, and key scientific and medical personnel employees. The loss of the services of any of our executive officers, key employees, and
scientific and medical advisors, and our inability to find suitable replacements, could result in delays in product development and harm
our business.

 We conduct our operations at our facility in the
San Francisco Bay Area. This region is headquarters to many other biopharmaceutical companies and many academic and research institutions.
Competition for skilled personnel in our market is intense and may limit our ability to hire and retain highly qualified personnel on
acceptable terms or at all. In addition, regulation or legislation impacting the workforce, such as the proposed rule published by the
Federal Trade Commission which would, if issued, generally prevent employers from entering into non-compete with employees and require
employers to rescind existing non-competes, may lead to increased uncertainty in hiring and competition for talent.

 To induce valuable employees to remain at our
company, in addition to salary and cash incentives, we have provided stock options that vest over time. The value to employees of stock
options that vest over time may be significantly affected by movements in our stock price that are beyond our control, and may at any
time be insufficient to counteract more lucrative offers from other companies. Despite our efforts to retain valuable employees, members
of our management, scientific and development teams may terminate their employment with us on short notice. In addition, we may experience
employee turnover either as a result of the ongoing "great resignation" occurring throughout the U.S. economy or as a result
of return to work policies or transitions away from remote work, which have impacted job market dynamics. New hires require training
and take time before they achieve full productivity. New employees may not become as productive as we expect, and we may be unable to
hire or retain sufficient numbers of qualified individuals. Although we have employment agreements with our key employees, these agreements
provide for at-will employment, which means that any of our employees could leave our employment at any time, with or without notice.
We do not maintain "key man" insurance policies on the lives of these individuals or the lives of any of our other employees.
Our success also depends on our ability to continue to attract, retain and motivate highly skilled junior, mid-level and senior managers
as well as junior, mid-level and senior scientific and medical personnel.

 We and our management have a limited track record as an operating
company. Failures in the operational execution of the expected business plans may have a material impact on our commercial prospects.
Further, if we are not able to attract and retain highly-qualified personnel, we may not be able to successfully implement our business
strategy.

 Our management team has worked together for only
a limited period of time and has a limited track record of executing our business plan as a team. In addition, we have recently filled
a number of positions in our finance and accounting staff. Accordingly, certain key personnel have only recently assumed the duties
and responsibilities they are now performing, and it is difficult to predict whether our management team, individually and collectively,
will be effective in operating our business. These changes may cause speculation and uncertainty regarding our commercial prospects and
may cause or result in:

 disruption of our business or distraction of our employees and management;

 difficulty in recruiting, hiring, motivating, and retaining talented and skilled personnel;

 stock price volatility; and

 difficulty in negotiating, maintaining, or consummating business or strategic relationships or
 transactions.

 If we are unable to mitigate these risks or to
attract and retain highly qualified personnel, our revenue, operating results and financial condition may be adversely impacted.

 We will need to grow the size of our organization, and we may
experience difficulties in managing this growth.

 As of December 31, 2024, we had 64 full-time
employees. As our development, manufacturing and commercialization plans and strategies develop and we continue our operations as a public
company, we expect to need and are actively recruiting additional managerial, operational, sales, marketing, financial and other personnel.
Future growth would impose significant added responsibilities on members of management, including:

 identifying, recruiting, integrating, maintaining and motivating additional employees;

 managing our internal development efforts effectively, including the clinical, the FDA and
 international regulatory review process for our product candidates, while complying with our contractual obligations to contractors
 and other third parties; and

 improving our operational, financial and management controls, reporting systems and procedures.

 Our future financial performance and our ability
to commercialize our product candidates will depend, in part, on our ability to effectively manage any future growth, and our management
may also have to divert a disproportionate amount of time to managing these growth activities.

 We currently rely, and for the foreseeable future
will continue to rely, in substantial part on certain independent organizations, advisors and consultants to provide certain services,
including substantially all aspects of regulatory approval, clinical management and manufacturing. We cannot assure you that the services
of independent organizations, advisors and consultants will continue to be available to us on a timely basis when needed, or that we
can find qualified replacements. In addition, if we are unable to effectively manage our outsourced activities or if the quality or accuracy
of the services provided by consultants is compromised for any reason, our clinical trials may be extended, delayed or terminated, and
we may not be able to obtain regulatory approval of our product candidates or otherwise advance our business. We cannot assure you that
we will be able to manage our existing consultants or find other competent outside contractors and consultants on economically reasonable
terms, or at all. If we are not able to effectively expand our organization by hiring new employees and expanding our groups of consultants
and contractors, or if we are not able to effectively build out new facilities to accommodate this expansion, we may not be able to successfully
implement the tasks necessary for further development and commercialization of our product candidates and, accordingly, may not achieve
our research, development and commercialization goals.

 Our insurance policies may be inadequate and potentially expose
us to unrecoverable risks.

 We have limited director and officer insurance
and commercial insurance policies. Any significant insurance claims would have a material adverse effect on our business, financial condition
and results of operations. Insurance availability, coverage terms and pricing continue to vary with market conditions. We endeavor to
obtain appropriate insurance coverage for insurable risks that we identify; however, we may fail to correctly anticipate or quantify
insurable risks; we may not be able to obtain appropriate insurance coverage; and insurers may not respond as we intend to cover insurable
events that may occur. We have observed rapidly changing conditions in the insurance markets relating to nearly all areas of traditional
corporate insurance. Such conditions have resulted in higher premium costs, higher policy deductibles and lower coverage limits. For
some risks, we may not have or maintain insurance coverage because of cost or availability.

 Our internal computer systems, or those of our third-party vendors,
collaborators or other contractors or consultants, may fail or suffer security breaches, which could result in a material disruption
of our product development programs, compromise sensitive information related to our business or prevent us from accessing critical information,
potentially exposing us to liability or otherwise adversely affecting our business.

 Our internal computer systems and those of our
current and any future third-party vendors, collaborators and other contractors or consultants are vulnerable to damage or interruption
from computer viruses, computer hackers, malicious code, employee theft or misuse, denial-of-service attacks, sophisticated nation-state
and nation-state-supported actors, unauthorized access, natural disasters, terrorism, war and telecommunication and electrical failures.
While we seek to protect our information technology systems from system failure, accident and security breach, if such an event were
to occur and cause interruptions in our operations, it could result in a disruption of our development programs and our business operations,
whether due to a loss of our trade secrets or other proprietary information or other disruptions. For example, the loss of clinical trial
data from future clinical trials could result in delays in our regulatory approval efforts and significantly increase our costs to recover
or reproduce the data. We have experienced cybersecurity incidents and expect that we will continue to be subject to cybersecurity attacks
in the future. If we were to experience a significant cybersecurity breach of our information systems or data, the costs associated with
the investigation, remediation and potential notification of the breach to counter-parties and data subjects could be material. In addition,
our remediation efforts may not be successful. If we do not allocate and effectively manage the resources necessary to build and sustain
the proper technology and cybersecurity infrastructure, we could suffer significant business disruption, including transaction errors,
supply chain or manufacturing interruptions, processing inefficiencies, data loss or the loss of or damage to intellectual property or
other proprietary information.

 Although we take such steps to help protect confidential
and other sensitive information from unauthorized access or disclosure, our information technology and infrastructure may be vulnerable
to attacks by hackers or viruses, failures, or breaches due to third-party action, employee negligence or error, malfeasance, or other
incidents or disruptions. For example, we could be the target of phishing attacks seeking confidential information regarding our employees.
Furthermore, while we have implemented data privacy and security measures in an effort to comply with applicable laws and regulations
relating to privacy and data protection, some health-related and other personal information or confidential information may be transmitted
to us by third parties, who may not implement adequate security and privacy measures, and it is possible that laws, rules and regulations
relating to privacy, data protection, or information security may be interpreted and applied in a manner that is inconsistent with our
practices or those of third parties who transmit health-related and other personal information or confidential information to us.

 To the extent that we or these third parties are
found to have violated such laws, rules or regulations or that any disruption or security breach were to result in a loss of, or damage
to, us or our third-party vendors', collaborators' or other contractors' or consultants' data or applications,
or inappropriate disclosure of confidential or proprietary information, we could incur liability including litigation exposure, penalties
and fines, we could become the subject of regulatory action or investigation, our competitive position could be harmed and the further
development and commercialization of our product candidates could be delayed. Any of the above could have a material adverse effect on
our business, financial condition, results of operations or prospects.

 Artificial intelligence presents risks and challenges that can
impact our business, including by posing security risks to our confidential information, proprietary information and personal data.

 Issues in the development and use of artificial
intelligence, combined with an uncertain regulatory environment, may result in reputational harm, liability, or other adverse consequences
to our business operations. As with many technological innovations, artificial intelligence presents risks and challenges that could
impact our business. We may adopt and integrate generative artificial intelligence tools into our systems for specific use cases reviewed
by legal and information security. Our vendors may incorporate generative artificial intelligence tools into their offerings without
disclosing this use to us, and the providers of these generative artificial intelligence tools may not meet existing or rapidly evolving
regulatory or industry standards with respect to privacy and data protection and may inhibit our or our vendors' ability to maintain
an adequate level of service and experience. If we, our vendors, or our third-party partners experience an actual or perceived breach
or privacy or security incident because of the use of generative artificial intelligence, we may lose valuable intellectual property
and confidential information and our reputation and the public perception of the effectiveness of our security measures could be harmed.
Further, bad actors around the world use increasingly sophisticated methods, including the use of artificial intelligence, to engage
in illegal activities involving the theft and misuse of personal information, confidential information, and intellectual property. Any
of these outcomes could damage our reputation, result in the loss of valuable property and information, and have a material adverse effect
on our business, financial condition and results of operations.

 Unstable market and economic conditions may have serious adverse
consequences on our business, financial condition and share price.

 As widely reported, global credit and financial
markets have experienced volatility and disruptions in the past several years and especially in 2020, 2021 and 2022 due to the impacts
of the COVID-19 pandemic, and, more recently, the Israel-Hamas war, the ongoing conflict between Ukraine and Russia and the global impact
of restrictions and sanctions imposed on Russia, including severely diminished liquidity and credit availability, declines in consumer
confidence, declines in economic growth, increases in unemployment rates and uncertainty about economic stability. Moreover, the global
impacts of the Israel-Hamas war are still unknown. There can be no assurances that further deterioration in credit and financial markets
and confidence in economic conditions will not occur. For example, U.S. debt ceiling and budget deficit concerns have increased the possibility
of additional credit-rating downgrades and economic slowdowns, or a recession in the United States. Although U.S. lawmakers passed legislation
to raise the federal debt ceiling on multiple occasions, including a suspension of the federal debt ceiling in June 2023, ratings agencies
have lowered or threatened to lower the long-term sovereign credit rating on the United States. The impact of this or any further downgrades
to the U.S. government's sovereign credit rating or its perceived creditworthiness could adversely affect the U.S. and global financial
markets and economic conditions. Absent further quantitative easing by the Federal Reserve, these developments could cause interest rates
and borrowing costs to rise, which may negatively impact our results of operations or financial condition. Moreover, disagreement over
the federal budget has caused the U.S. federal government to shut down for periods of time. Our general business strategy may be adversely
affected by any such continued adverse political conditions, economic downturn, volatile business environment or continued unpredictable
and unstable market conditions. If the current equity and credit markets deteriorate, it may make any necessary debt or equity financing
more difficult, more costly and more dilutive. Failure to secure any necessary financing in a timely manner and on favorable terms could
have a material adverse effect on our growth strategy, financial performance and share price and could require us to delay or abandon
clinical development plans.

 The impact of the Russian invasion of Ukraine on the global
economy, energy supplies and raw materials is uncertain, but may prove to negatively impact our business and operations.

 The short and long-term implications of Russia's
invasion of Ukraine are difficult to predict at this time. We continue to monitor any adverse impact that the outbreak of war in Ukraine
and the subsequent institution of sanctions against Russia by the United States and several European and Asian countries may have on
the global economy in general, on our business and operations and on the businesses and operations of our suppliers and other third parties
with which we conduct business. For example, the continuing conflict has resulted and may continue to result in increased inflation,
escalating energy prices and constrained availability, and thus increasing costs, of raw materials. We will continue to monitor this
fluid situation and develop contingency plans as necessary to address any disruptions to our business operations as they develop. To
the extent the war in Ukraine may adversely affect our business as discussed above, it may also have the effect of heightening many of
the other risks described herein. Such risks include, but are not limited to, adverse effects on macroeconomic conditions, including
inflation; disruptions to our technology infrastructure, including through cyberattack, ransom attack, or cyber-intrusion; adverse changes
in international trade policies and relations; disruptions in global supply chains; and constraints, volatility, or disruption in the
capital markets, any of which could negatively affect our business and financial condition.

 Adverse developments affecting the financial services industry,
such as actual events or concerns involving liquidity, defaults or non-performance by financial institutions or transactional counterparties,
could adversely affect our current and projected business operations and its financial condition and results of operations.

 Actual events involving limited liquidity, defaults,
non-performance or other adverse developments that affect financial institutions, transactional counterparties or other companies in
the financial services industry or the financial services industry generally, or concerns or rumors about any events of these kinds or
other similar risks, have in the past and may in the future lead to market-wide liquidity problems. For example, on March 10, 2023, Silicon
Valley Bank (SVB) was closed by the California Department of Financial Protection and Innovation, which appointed the Federal Deposit
Insurance Corporation (FDIC) as receiver. Similarly, on March 12, 2023, Signature Bank and Silvergate Capital Corp. were each swept into
receivership. Although a statement by the Department of the Treasury, the Federal Reserve and the FDIC stated all depositors of SVB would
have access to all of their money after only one business day of closure, including funds held in uninsured deposit accounts, borrowers
under credit agreements, letters of credit and certain other financial instruments with SVB, Signature Bank or any other financial institution
that is placed into receivership by the FDIC may be unable to access undrawn amounts thereunder. If any of our lenders or counterparties
to any such instruments were to be placed into receivership, we may be unable to access such funds. In addition, counterparties to SVB
credit agreements and arrangements, and third parties such as beneficiaries of letters of credit (among others), may experience direct
impacts from the closure of SVB and uncertainty remains over liquidity concerns in the broader financial services industry. Similar impacts
have occurred in the past, such as during the 2008-2010 financial crisis.

 Although we assess our banking relationships as
we believe necessary or appropriate, our access to funding sources and other credit arrangements in amounts adequate to finance or capitalize
our current and projected future business operations could be significantly impaired by factors that affect us, the financial institutions
with which we have credit agreements or arrangements directly, or the financial services industry or economy in general. These
factors could include, among others, events such as liquidity constraints or failures, the ability to perform obligations under various
types of financial, credit or liquidity agreements or arrangements, disruptions or instability in the financial services industry or
financial markets, or concerns or negative expectations about the prospects for companies in the financial services industry. These
factors could involve financial institutions or financial services industry companies with which we have financial or business relationships,
but could also include factors involving financial markets or the financial services industry generally.

 The results of events or concerns that involve
one or more of these factors could include a variety of material and adverse impacts on our current and projected business operations
and our financial condition and results of operations. These could include, but may not be limited to, the following:

 delayed access to deposits or other financial assets or the uninsured loss of deposits or other
 financial assets;

 loss of access to revolving existing credit facilities or other working capital sources and/or the inability to refund, roll over or extend the maturity of, or enter into new credit facilities or other working capital resources;

 potential or actual breach of contractual obligations that require us to maintain letters or credit
 or other credit support arrangements;

 potential or actual breach of financial covenants in our credit agreements or credit arrangements;

 potential or actual cross-defaults in other credit agreements, credit arrangements or operating
 or financing agreements; or

 termination of cash management arrangements and/or delays in accessing or actual loss of funds
 subject to cash management arrangements.

 Any decline in available funding or access to
our cash and liquidity resources could, among other risks, adversely impact our ability to meet our operating expenses, financial obligations
or fulfill our other obligations, result in breaches of our financial and/or contractual obligations or result in violations of federal
or state wage and hour laws. Any of these impacts, or any other impacts resulting from the factors described above or other related or
similar factors not described above, could have material adverse impacts on our liquidity and our current and/or projected business operations
and financial condition and results of operations.

 In addition, any further deterioration in the
macroeconomic economy or financial services industry could lead to losses or defaults by our customers or suppliers, which in turn, could
have a material adverse effect on our current and/or projected business operations and results of operations and financial condition.
For example, a customer may fail to make payments when due, default under their agreements with us, become insolvent or declare bankruptcy,
or a supplier may determine that it will no longer deal with us as a customer. In addition, a customer or supplier could be adversely
affected by any of the liquidity or other risks that are described above as factors that could result in material adverse impacts on
our company, including but not limited to delayed access or loss of access to uninsured deposits or loss of the ability to draw on existing
credit facilities involving a troubled or failed financial institution. Any customer or supplier bankruptcy or insolvency, or the failure
of any customer to make payments when due, or any breach or default by a customer or supplier, or the loss of any significant supplier
relationships, could result in material losses to our company and may have material adverse impacts on our business.

 Risks Related to Ownership of Our Common Stock and Warrants

 If our operations and performance do not meet the expectations
of investors or securities analysts or for other reasons, the market price of our securities may decline, and the market price of our
common stock may continue to be volatile.

 Any of the factors listed below could have a negative
impact on your investment in our securities, and our securities may trade at prices significantly below the price you paid for them.
In such circumstances, the trading price of our securities may not recover and may experience a further decline.

 Factors affecting the trading price of our securities
may include:

 adverse regulatory decisions;

 any delay in our regulatory filings for our product candidates and any adverse development or perceived
 adverse development with respect to the applicable regulatory authority's review of such filings, including without limitation
 the FDA's issuance of a "refusal to file" letter or a request for additional information;

 the Israel-Hamas war, the ongoing conflict between Ukraine and Russia and the global impact of
 restrictions and sanctions imposed on Russia and the impact thereof on the markets generally, including any adverse effects on macroeconomic
 conditions such as inflation;

 the commencement, enrollment or results of any future clinical trials we may conduct, or changes
 in the development status of our product candidates;

 adverse results from, delays in or termination of clinical trials;

 unanticipated serious safety concerns related to the use of our product candidates;

 lower than expected market acceptance of our product candidates following approval for commercialization;

 changes in financial estimates by us or by any securities analysts who might cover our stock;

 changes in the market valuations of similar companies;

 stock market price and volume fluctuations of comparable companies and, in particular, those that
 operate in the biopharmaceutical industry;

 publication of research reports about us or our industry or positive or negative recommendations
 or withdrawal of research coverage by securities analysts;

 announcements by us or our competitors of significant acquisitions, strategic partnerships or divestitures;

 announcements of investigations or regulatory scrutiny of our operations or lawsuits filed against
 us;

 investors' general perception of our business or management;

 recruitment or departure of key personnel;

 overall performance of the equity markets;

 disputes or other developments relating to intellectual property rights, including patents, litigation
 matters and our ability to obtain, maintain, defend, protect and enforce patent and other intellectual property rights for our technologies;

 significant lawsuits, including patent or stockholder litigation;

 proposed changes to healthcare laws in the U.S. or foreign jurisdictions, or speculation regarding
 such changes;

 general political and economic conditions; and

 other events or factors, many of which are beyond our control.

 In addition, the stock market in general, Nasdaq
and pharmaceutical companies in particular have experienced extreme price and volume fluctuations that have often been unrelated or disproportionate
to the operating performance of these companies. The trading price of our common stock is, and is likely to continue to be, volatile.
For example, from January 2, 2024 to December 31, 2024, our closing stock price ranged from $6.63 to $30.00 per share. From January 2,
2025 to February 25, 2025, our closing stock price ranged from $5.34 to $21.09 per share. Broad market and industry factors may negatively
affect the market price of our securities, regardless of our actual operating performance. As a result of this volatility, our stockholders
may not be able to sell their common stock at or above the prices at which they purchased their shares. Moreover, in the past, stockholders
have initiated class action lawsuits against pharmaceutical and biotechnology companies following periods of volatility in the market
prices of these companies' stock. Such litigation, if instituted against us, could cause us to incur substantial costs and divert
management's attention and resources from our business.

 Insiders have substantial control over us, which could limit
your ability to affect the outcome of key transactions, including a change of control.

 As of December 31, 2024, our directors and executive officers and their
affiliates beneficially owned approximately 20.5% of the outstanding shares of our common stock. As a result, these stockholders, if they
act together, will be able to influence our management and affairs and all matters requiring stockholder approval, including the election
of directors and approval of significant corporate transactions, such as a merger or other sale of our company or our assets. This concentration
of ownership may have the effect of delaying or preventing a change in control of our company or discouraging a potential acquirer from
making a tender offer or otherwise attempting to obtain control, even if that change in control would benefit our other stockholders.
This significant concentration of ownership may also adversely affect the trading price for our common stock because investors often perceive
disadvantages in owning stock in companies with controlling stockholders.

 We have incurred and will continue to incur significant increased
expenses and administrative burdens as a public company, which could negatively impact our business, financial condition and results
of operations.

 We face increased legal, accounting, administrative
and other costs and expenses as a public company. The Sarbanes-Oxley Act, including the requirements of Section 404, as well as rules
and regulations subsequently implemented by the SEC, the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 and
the rules and regulations promulgated and to be promulgated thereunder, and the securities exchanges, impose additional reporting and
other obligations on public companies. Compliance with public company requirements increases costs and makes certain activities more time-consuming.
Furthermore, if any issues in complying with those requirements are identified (for example, if a material weakness or significant deficiency
is identified in the internal control over financial reporting), we could incur additional costs rectifying those issues, and the existence
of those issues could adversely affect our reputation or investor perceptions of us. Risks associated with our status as a public company
may make it more difficult to attract and retain qualified persons to serve on our board of directors or as executive officers. The reporting
and other obligations imposed by these rules and regulations will continue to increase legal and financial compliance costs and the costs
of related legal, accounting and administrative activities. These increased costs will require us to divert a significant amount of money
that could otherwise be used to expand our business and achieve strategic objectives. Advocacy efforts by stockholders and third parties
may also prompt additional changes in governance and reporting requirements, which could further increase costs.

 If we fail to comply with the continued listing requirements
of the Nasdaq Capital Market, our common stock may be delisted and the price of our common stock and our ability to access the capital
markets could be negatively impacted.

 We must continue to satisfy the Nasdaq Capital
Market's continued listing requirements, including, among other things, a minimum closing bid price requirement of $1.00 per share
for 30 consecutive business days. If a company fails for 30 consecutive business days to meet the $1.00 minimum closing bid price requirement,
The Nasdaq Stock Market LLC ("Nasdaq") will send a deficiency notice to the company, advising that it has been afforded a
"compliance period" of 180 calendar days to regain compliance with the applicable requirements.

 A delisting of our common stock from the Nasdaq
Capital Market could materially reduce the liquidity of our common stock and result in a corresponding material reduction in the price
of our common stock. In addition, delisting could harm our ability to raise capital through alternative financing sources on terms acceptable
to us, or at all, and may result in the potential loss of confidence by investors and employees.

 On October 18, 2023, we received written notice
from Nasdaq indicating that, for the last 30 consecutive business days, the bid price for our common stock had closed below the minimum
$1.00 per share requirement for continued listing on the Nasdaq Capital Market under Nasdaq Listing Rule 5550(a)(2). In accordance with
Nasdaq Listing Rule 5810(c)(3)(A), had been provided with an initial period of 180 calendar days, or until April 15, 2024, to regain
compliance. On January 3, 2024, we filed a Certificate of Second Amendment to our Second Amended and Restated Certificate of Incorporation,
as amended (the "Certificate of Amendment"), with the Secretary of State of the State of Delaware to effect a 1-for-10 reverse
stock split (the "Reverse Split") of our voting common stock. The Reverse Stock Split was effective at 12:01 a.m., Eastern
Time, on January 4, 2024. The Reverse Stock Split was intended for us to regain compliance with the minimum bid price requirement of
$1.00 per share of our common stock for continued listing on the Nasdaq Capital Market. On January 19, 2024, we received a letter from
Nasdaq notifying us that we regained full compliance with Nasdaq Listing Rule 5550(a)(2) after the closing bid price of our common stock
had been at $1.00 per share or greater for ten consecutive business days from January 4, 2024 through January 18, 2024.

 Even though we have regained compliance with the
Nasdaq Capital Market's minimum closing bid price requirement, there is no guarantee that we will remain in compliance with such
listing requirements or other listing requirements in the future. Any failure to maintain compliance with continued listing requirements
of the Nasdaq Capital Market could result in delisting of our common stock from the Nasdaq Capital Market and negatively impact our company
and holders of our common stock, including by reducing the willingness of investors to hold our common stock because of the resulting
decreased price, liquidity and trading of our common stock, limited availability of price quotations and reduced news and analyst coverage.
Delisting may adversely impact the perception of our financial condition, cause reputational harm with investors, our employees and parties
conducting business with us and limit our access to debt and equity financing.

 Our failure to timely and effectively implement controls and
procedures required by Section 404(a) of the Sarbanes-Oxley Act could negatively impact our business.

 Absent an applicable exemption, we are required
to provide a management's attestation on internal controls over financial reporting, and we were not previously required to do
this as a private company. The standards required for a public company under Section 404(a) of the Sarbanes-Oxley Act are significantly
more stringent than those required of us when we were a privately held company. Management may not be able to effectively and timely
implement controls and procedures that adequately respond to the increased regulatory compliance and reporting requirements. If we are
not able to implement the additional requirements of Section 404(a) in a timely manner or with adequate compliance, we may
not be able to assess whether our internal controls over financial reporting are effective, which may subject us to adverse regulatory
consequences and could harm investor confidence and the market price of our securities.

 We are a "smaller reporting company" within the
meaning of the Securities Act, and if we take advantage of certain exemptions from disclosure requirements available to smaller reporting
companies, it could make our securities less attractive to investors.

 We are a "smaller reporting company" within the meaning
of the Securities Act. As such, we are eligible for and intend to take advantage of certain exemptions from various reporting requirements
applicable to other public companies that are not smaller reporting companies for as long as we continue to be a smaller reporting company,
including, but not limited to, not being required to comply with the auditor attestation requirements of Section 404 of the Sarbanes-Oxley
Act of 2002, as amended, or the Sarbanes-Oxley Act, and (b) reduced disclosure obligations
regarding executive compensation in our periodic reports and proxy statements. In addition, for as long as we are deemed neither a large
accelerated filer nor an accelerated filer, we will continue to use the exemption from compliance with the auditor attestation requirements
of Section 404 of the Sarbanes-Oxley.

 We will remain a smaller reporting company and
non-accelerated filer until we have a public float of $700 million or more and annual revenues of less than $100 million, or a public
float of $250 million or more. We reassessed our public float as of June 30, 2024, and since it was less than $700 million and our annual
revenues were less than $100 million, we have determined that we will continue as a smaller reporting company and a non-accelerated filer
until at least December 31, 2025. We will need to reassess, as of June 30, 2025, whether we will continue to qualify as a smaller reporting
company and a non-accelerated filer for filings beyond the fiscal year ending December 31, 2025.

 We cannot predict if investors will find our common
stock less attractive because we may rely on these exemptions. If some investors find our common stock less attractive as a result, there
may be a less active trading market for our common stock and our stock price may be more volatile.

 If securities or industry analysts do not publish or cease publishing
research or reports about us, our business, or our market, or if they change their recommendations regarding our securities adversely,
the price and trading volume of our securities could decline.

 The trading market for our common stock will be
influenced by the research and reports that industry or financial analysts publish about us or our business. Securities and industry
analysts do not currently, and may never, publish research on us. If no or few analysts commence coverage of us, the trading price of
our securities would likely decrease. Even if we do obtain analyst coverage, if one or more of the analysts covering our business downgrade
their evaluations of our securities, the price of our securities could decline. If one or more of these analysts cease to cover our securities,
we could lose visibility in the market for our securities, which in turn could cause the price of our securities to decline.

 Future sales, or the perception of future sales, by us or our
stockholders in the public market, the issuance of rights to purchase our common stock, including pursuant to the Equity Incentive Plan
and the ESPP, and future exercises of registration rights could result in the additional dilution of the percentage ownership of our
stockholders and cause the market price for our common stock to decline.

 The sale of shares of our common stock, convertible
securities or other equity securities in the public market, or the perception that such sales could occur, could harm the prevailing
market price of shares of our common stock. These sales, or the possibility that these sales may occur, also might make it more difficult
for us to sell equity securities in the future at a time and at a price that we deem appropriate. In addition, if we sell shares of our
common stock, convertible securities or other equity securities, investors may be materially diluted by subsequent sales. Such sales
may also result in material dilution to our existing stockholders, and new investors could gain rights, preferences, and privileges senior
to the holders of our common stock.

 Pursuant to the Jasper Therapeutics, Inc. 2024
Equity Incentive Plan (the "Equity Incentive Plan"), which became effective on June 6, 2024, we are authorized to grant equity
awards to our employees, directors and consultants. In addition, pursuant to the Jasper Therapeutics, Inc. 2024 Employee Stock Purchase
Plan (the "ESPP"), which became effective on June 6, 2024, we are authorized to sell shares to our employees. As of December
31, 2024, 1,791,291 shares and 981,370 shares of our common stock are reserved for future issuance under the Equity Incentive Plan and
the ESPP, respectively.

 On March 14, 2022, the Compensation Committee
of our Board of Directors (the "Compensation Committee") adopted the 2022 Inducement Equity Incentive Plan (the "2022
Inducement Plan"). On June 2, 2023, the Compensation Committee approved an amendment and restatement of our 2022 Inducement Plan
to increase the maximum number of shares of our voting common stock available for grant by 250,000 shares of common stock to an aggregate
of 550,000 shares of common stock. As of December 31, 2024, 16,885 shares of our common stock are available for future issuance under
the 2022 Inducement Plan. The 2022 Inducement Plan has not been and will not be approved by our stockholders. Under the 2022 Inducement
Plan, we can grant nonstatutory stock options, restricted stock awards, stock appreciation rights, restricted stock units, performance
awards and other awards, but only to an individual, as a material inducement to such individual to enter into employment with us or an
affiliate of ours, who (i) has not previously been an employee or director of ours or (ii) is rehired following a bona fide period of
non-employment with us.

 As of December 31, 2024, options to purchase an aggregate of 1,628,378
shares of our common stock and 20,000 performance-based restricted stock units were outstanding.

 In the future, we may also issue our securities
in connection with investments or acquisitions. The amount of shares of our common stock issued in connection with an investment or acquisition
could constitute a material portion of our then-outstanding shares of our common stock. Any issuance of additional securities in connection
with investments or acquisitions may result in additional dilution to our stockholders.

 Because there are no current plans to pay cash dividends on
our common stock for the foreseeable future, you may not receive any return on investment unless you sell shares of our common stock
for a price greater than that which you paid for it.

 We may retain future earnings, if any, for future
operations, expansion and debt repayment and have no current plans to pay any cash dividends for the foreseeable future. Any decision
to declare and pay dividends as a public company in the future will be made at the discretion of our board of directors and will depend
on, among other things, our results of operations, financial condition, cash requirements, contractual restrictions and other factors
that our board of directors may deem relevant. In addition, our ability to pay dividends may be limited by covenants of any existing
and future outstanding indebtedness we or our subsidiaries incur. As a result, you may not receive any return on an investment in our
common stock unless you sell your shares of our common stock for a price greater than that which you paid for it.

 Anti-takeover provisions in our Certificate of Incorporation
and under Delaware law could make an acquisition of us, which may be beneficial to our stockholders, more difficult and may prevent attempts
by our stockholders to replace or remove our current management.

 Our Certificate of Incorporation contains provisions
that could delay or prevent a change of control of us or changes in our board of directors that our stockholders might consider favorable.
Some of these provisions include:

 a board of directors divided into three classes serving staggered three-year terms, such that not
 all members of our board of directors will be elected at one time;

 a prohibition on stockholder action through written consent, which requires that all stockholder
 actions be taken at a meeting of our stockholders;

 a requirement that special meetings of stockholders be called only by the chairperson of our board
 of directors, the chief executive officer, the president, or by a majority of the total number of authorized directors;

 advance notice requirements for stockholder proposals and nominations for election to our board
 of directors;

 a requirement that no member of our board of directors may be removed from office by our stockholders
 except for cause and, in addition to any other vote required by law, upon the approval of not less than two-thirds of all outstanding
 shares of our voting stock then entitled to vote in the election of directors;

 a requirement of approval of not less than two-thirds of all outstanding shares of our voting stock
 to amend any bylaws by stockholder action or to amend specific provisions of our Certificate of Incorporation; and

 the authority of our board of directors to issue preferred stock on terms determined by our board
 of directors without stockholder approval and which preferred stock may include rights superior to the rights of the holders of our
 common stock.

 In addition, because we are incorporated in the
State of Delaware, we are governed by the provisions of Section 203 of the General Corporation Law of the State of Delaware ("DGCL"),
which may prohibit certain business combinations with stockholders owning 15% or more of our outstanding voting stock. These anti-takeover
provisions and other provisions in our Certificate of Incorporation and Second Amended and Restated Bylaws (our "Bylaws")
could make it more difficult for stockholders or potential acquirors to obtain control of our board of directors or initiate actions
that are opposed by our then-current board of directors and could also delay or impede a merger, tender offer, or proxy contest involving
us. These provisions could also discourage proxy contests and make it more difficult for you and other stockholders to elect directors
of your choosing or cause us to take other corporate actions you desire. Any delay or prevention of a change of control transaction or
changes in our board of directors could cause the market price of our common stock to decline.

 Our Certificate of Incorporation provides that the Court of
Chancery of the State of Delaware is the exclusive forum for substantially all disputes between us and our stockholders, which could
limit our stockholders' ability to obtain a favorable judicial forum for disputes with us or our directors, officers or employees.

 Our Certificate of Incorporation provides that
the Court of Chancery of the State of Delaware is the exclusive forum for the following types of actions or proceedings under Delaware
statutory or common law: (i) any derivative action or proceeding brought on our behalf; (ii) any action or proceeding asserting
a claim of breach of a fiduciary duty owed by any of our current or former directors, officers, or other employees to us or our stockholders;
(iii) any action or proceeding asserting a claim against us or any of our current or former directors, officers, or other employees,
arising out of or pursuant to any provision of the DGCL, our Certificate of Incorporation or Bylaws; (iv) any action or proceeding
to interpret, apply, enforce, or determine the validity of our Certificate of Incorporation or Bylaws; (v) any action or proceeding
as to which the DGCL confers jurisdiction to the Court of Chancery of the State of Delaware; and (vi) any action asserting a claim
against us or any of our directors, officers, or other employees governed by the internal affairs doctrine, in all cases to the fullest
extent permitted by law and subject to the court's having personal jurisdiction over the indispensable parties named as defendants.
These provisions would not apply to suits brought to enforce a duty or liability created by the Exchange Act. Furthermore, Section 22
of the Securities Act creates concurrent jurisdiction for federal and state courts over all such Securities Act actions. Accordingly,
both state and federal courts have jurisdiction to entertain such claims. To prevent having to litigate claims in multiple jurisdictions
and the threat of inconsistent or contrary rulings by different courts, among other considerations, our Certificate of Incorporation
provides that the federal district courts of the United States of America shall be exclusive forum for resolving any complaint asserting
a cause of action arising under the Securities Act, including all causes of action asserted against any defendant named in such complaint.
While the Delaware courts have determined that such choice of forum provisions are facially valid, a stockholder may nevertheless seek
to bring a claim in a venue other than those designated in the exclusive forum provisions. In such instance, we would expect to vigorously
assert the validity and enforceability of the exclusive forum provisions of our Certificate of Incorporation. This may require significant
additional costs associated with resolving such action in other jurisdictions, and the provisions may not be enforced by a court in those
other jurisdictions.

 These exclusive forum provisions may limit a stockholder's
ability to bring a claim in a judicial forum that it finds favorable for disputes with us or our directors, officers, or other employees
and may discourage these types of lawsuits. In addition, a stockholder that is unable to bring a claim in the judicial forum of its choosing
may be required to incur additional costs in the pursuit of actions that are subject to these exclusive forum provisions, particularly
if the stockholder does not reside in or near Delaware. Furthermore, the enforceability of similar choice of forum provisions in other
companies' certificates of incorporation or bylaws has been challenged in legal proceedings, and it is possible that a court could
find these types of provisions to be inapplicable or unenforceable. If a court were to find the exclusive forum provision contained in
our Certificate of Incorporation to be inapplicable or unenforceable in an action, we may incur further significant additional costs
associated with resolving such action in other jurisdictions, all of which could seriously harm our business.

 Any exercise of the outstanding warrants to purchase shares
of our common stock would increase the number of shares eligible for future resale in the public market and result in dilution to our
stockholders.

 Outstanding warrants to purchase an aggregate
of 499,986 shares of our common stock became exercisable in accordance with the terms of the Warrant Agreement, dated November 19, 2019,
between Continental Stock Transfer & Trust Company, as warrant agent, and us (the "Warrant Agreement") commencing
on October 24, 2021 (the "Public Warrants"). As of December 31, 2024, 4,999,863 Public Warrants to purchase an aggregate
of 499,986 shares of our common stock were outstanding. The exercise price of these Public Warrants is $115.00 per share for every ten
Public Warrants. To the extent such Public Warrants are exercised, additional shares of our common stock will be issued, which will result
in dilution to the holders of our common stock and increase the number of shares eligible for resale in the public market. Sales of substantial
numbers of such shares in the public market or the fact that such Public Warrants may be exercised could adversely affect the prevailing
market prices of our common stock. However, there is no guarantee that the Public Warrants will ever be in the money prior to their expiration,
and as such, the Public Warrants may expire worthless. See below risk factor, " The Public Warrants may never be in the money,
they may expire worthless and the terms of the Public Warrants may be amended in a manner adverse to a holder if holders of at least
50% of the then-outstanding Public Warrants approve of such amendment."

 The Public Warrants may never be in the money, they may expire
worthless and the terms of the Public Warrants may be amended in a manner adverse to a holder if holders of at least 50% of the then-outstanding
Public Warrants approve of such amendment.

 The Public Warrants were issued in registered
form under the Warrant Agreement. The Warrant Agreement provides that the terms of the Public Warrants may be amended without the consent
of any holder to cure any ambiguity or correct any defective provision or correct any mistake, but requires the approval by the holders
of at least 50% of the then-outstanding Public Warrants to make any change that adversely affects the interests of the registered holders
of Public Warrants. Accordingly, we may amend the terms of the Public Warrants in a manner adverse to a holder if holders of at least
50% of the then-outstanding Public Warrants approve of such amendment. Although our ability to amend the terms of the Public Warrants
with the consent of at least 50% of the then-outstanding Public Warrants is unlimited, examples of such amendments could be amendments
to, among other things, increase the exercise price of the Public Warrants, convert the Public Warrants into cash, shorten the exercise
period, or decrease the number of shares of our common stock purchasable upon exercise of a Public Warrant.

 We may redeem your unexpired Public Warrants prior to their
exercise at a time that is disadvantageous to you, thereby making your Public Warrants worthless.

 We have the ability to redeem outstanding Public Warrants at any time
after they become exercisable and prior to their expiration, at a price of $0.10 per Public Warrant, provided that the last reported sales
price of our common stock equals or exceeds $180.00 per share (as adjusted for share subdivisions, share dividends, rights issuances,
subdivisions, reorganizations, recapitalizations, and the like) for any 20 trading days within a 30-trading-day period
ending on the third trading day prior to the date we send the notice of redemption to the warrantholders. If and when the Public
Warrants become redeemable by us, we may exercise our redemption right even if we are unable to register or qualify the underlying securities
for sale under all applicable state securities laws. Redemption of the outstanding Public Warrants could force you to: (i) exercise
your Public Warrants and pay the exercise price therefor at a time when it may be disadvantageous for you to do so; (ii) sell your
Public Warrants at the then-current market price when you might otherwise wish to hold your Public Warrants; or (iii) accept the
nominal redemption price that, at the time the outstanding Public Warrants are called for redemption, is likely to be substantially less
than the market value of your Public Warrants.

 In addition, we may redeem your Public Warrants
at any time after they become exercisable and prior to their expiration at a price of $1.00 per Public Warrant upon a minimum of 30 days'
prior written notice of redemption; provided that holders will be able to exercise their Public Warrants prior to redemption for a number
of our common stock determined based on the redemption date and the fair market value of our common stock. The value received upon exercise
of the Public Warrants (1) may be less than the value the holders would have received if they had exercised their Public Warrants
at a later time where the underlying share price is higher and (2) may not compensate the holders for the value of the Public Warrants.

 ITEM 1B. UNRESOLVED STAFF COMMENTS

 None.

 ITEM 1C. CYBERSECURITY

 Risk Management and Strategy

 Our Information Security team manages our Information
Security Program, which is focused on assessing, identifying, and managing cyber risk and information security threats. We evaluate cybersecurity
risk on an ongoing basis, and it is a risk monitored through our overall enterprise risk management program, including by the executive
leadership and our Board of Directors (the "Board"), as described below under the sub-heading " Governance."

 To proactively manage cybersecurity risk in our
organization, our management team has instituted an Information Technology Security Policy that is available to all employees through
our Quality Management System. We also conduct regular cybersecurity awareness and training campaigns for existing employees. Stakeholders
can access Jasper's Information Technology helpdesk 24/7 online or by phone, to report any security incidents for escalation.

 To proactively identify, mitigate, and prepare
for potential cybersecurity incidents, we maintain a cyber incident response plan with formalized workflows and playbooks. We conduct
simulation exercises involving employees at various levels of the organization. We also periodically engage external partners to conduct
annual audits of our systems and test our Information Technology infrastructure. Through these channels and others, we work to proactively
identify potential vulnerabilities in our information security system. We recognize that we are exposed to cybersecurity threats associated
with our use of third-party service providers. To minimize the risk and vulnerabilities to our own systems stemming from such use, our
Information Security team identifies, and addresses known cybersecurity threats and incidents at third-party service providers on a continuous
basis. In addition, we strive to minimize cybersecurity risks when we first select or renew a vendor by including cybersecurity risk
as part of our overall vendor evaluation and due diligence process.

 Our risks associated with cybersecurity threats
are set forth under " Risk Factors " in Part I, Item 1A in this report. Except as set forth therein, risks from cybersecurity
threats, including as a result of any previous cybersecurity incidents, have not materially affected and are not reasonably likely to
materially affect our company, including our business strategy, results of operations, or financial condition.

 Governance

 The Board, in coordination with the Audit Committee
of the Board (the "Audit Committee"), oversees our risk management program, including the management of cybersecurity threats.
 The Board and the Audit Committee each receive regular presentations and reports on developments in the cybersecurity space, including
risk management practices, recent developments, evolving standards, vulnerability assessments, third-party and independent reviews, the
threat environment, technological trends, and information security issues encountered by our peers and third parties. The Board and the
Audit Committee also receive prompt and timely information regarding any cybersecurity risk that meets pre-established reporting thresholds,
as well as ongoing updates regarding any such risk. On an annual basis, the Board and the Audit Committee discuss our approach to overseeing
cybersecurity threats with our CFO and other members of senior management. Our CEO, CFO and other members of our senior management collectively
have several decades of experience managing risk at our company or similar companies and assessing cybersecurity threats.

 ITEM 2. PROPERTIES

 We lease a total of approximately 25,900 square
feet of space across two buildings for our headquarters in Redwood City, California under a single lease agreement that expires in August
2026. Thereafter, at our option, we may extend the term for an additional five years to August 2031. We believe that our existing
facilities are adequate to meet our current needs, and that suitable additional alternative spaces will be available in the future
on commercially reasonable terms.

 ITEM 3. LEGAL PROCEEDINGS

 We are not currently a party to any material legal
proceedings. From time to time, we may be subject to various legal proceedings and claims that arise in the ordinary course of our business
activities.

 ITEM 4. MINE SAFETY DISCLOSURES

 Not applicable.

 ITEM 5. MARKET FOR REGISTRANT'S COMMON EQUITY, RELATED
STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES

 Market Information

 Our common stock and Public Warrants are currently listed on the Nasdaq
Capital Market under the symbols "JSPR" and "JSPRW," respectively. As of February 25, 2025, there were 7 holders
of record of our common stock and 1 holder of record of our Public Warrants.

 Prior to the consummation of the Business Combination,
AMHC's Class A Common Stock, units and warrants were listed on Nasdaq under the symbols "AMHCU," "AMHC"
and "AMHCW," respectively.

 Dividend Policy

 We have never declared or paid any dividends on
shares of our common stock. We anticipate that we will retain all of our future earnings, if any, to fund the development and growth
of our business. Any future determination to pay dividends on our capital stock will be at the discretion of our board of directors ("Board").
It is the present intention of our Board to retain all earnings, if any, for use in our business operations and, accordingly, our Board
does not anticipate declaring any dividends in the foreseeable future. Further, if we incur any indebtedness, our ability to declare
dividends may be limited by restrictive covenants we may agree to in connection therewith.

 Performance Graph

 We were a smaller reporting company, as defined by Rule 12b-2 of the
Securities Exchange Act of 1934, as amended, as of December 31, 2024, and are not required to provide a performance graph.

 Unregistered Sales of Equity Securities

 None.

 Purchases of Equity Securities by the Issuer and Affiliated Purchasers

 None.

 ITEM 6. [RESERVED]

 ITEM 7. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS

 You should read the following discussion and
analysis of our financial condition and results of operations together with our consolidated financial statements and the related notes
included in Part II, Item 8 of this Annual Report on Form 10-K. This discussion and analysis and other parts of this Annual Report
on Form 10-K contain forward-looking statements based upon current beliefs, plans and expectations related to future events and our future
financial performance that involve risks, uncertainties and assumptions, such as statements regarding our intentions, plans, objectives,
expectations, forecasts and projections. Our actual results and the timing of selected events could differ materially from those anticipated
in these forward-looking statements as a result of several factors, including those set forth under Part I, Item 1A, "Risk Factors"
and elsewhere in this Annual Report on Form 10-K.

 Overview

 We are a clinical-stage biotechnology company
focused on developing therapeutics targeting mast cell driven diseases such as Chronic Spontaneous Urticaria ("CSU"), Chronic
Inducible Urticaria ("CIndU") and Asthma. We are evaluating additional indications in mast cell driven diseases for potential
future development and we have also historically supported development programs in diseases where targeting diseased hemopoietic stem
cells can provide benefits, such as and stem cell transplant conditioning regimens.

 Our lead product candidate, briquilimab, is a
monoclonal antibody designed to block stem cell factor ("SCF") from binding to and signaling through the CD117 ("c-Kit")
receptor on mast and stem cells. The SCF/c-Kit pathway is a survival signal for mast cells and we believe that blocking this pathway
may lead to depletion of these cells throughout the body, including in the lungs and in the skin, which could lead to significant clinical
benefit for patients with mast-cell driven diseases such as asthma and chronic urticarias. To that end, we are focusing on advancing
a portfolio of clinical programs in mast cell driven diseases. Development highlights include:

 We commenced the Phase 1b/2a BEACON study in CSU in late 2023 and in January 2025, we presented positive preliminary data as of December
31, 2024 from the first 8 dosing cohorts in the study (10mg, 40mg, 80mg Q8W, 120mg Q8W, 120mg Q12W, 180mg Q8W, 180mg Q12W, 240mg single-dose).
Average patient duration on study as of the cutoff date for the data presented was approximately 28 weeks. Highlights of the data are
as follows:

 Briquilimab demonstrated a rapid onset of clinical efficacy:

 Clinical responses were seen as early as 1 week post-dose; and

 Complete responses were observed as early as week 2 post-dose

 Briquilimab drove deep and meaningful clinical responses:

 UAS7 reductions of as much as 29 points were noted 4 weeks post-dose (120mg
Q12W); and

 100% complete responses through 8 weeks were demonstrated at the 240mg dose
level

 Dose dependent durability was observed in complete responses and well-controlled disease

 Complete responses showed durability out to:

 4 weeks at 120mg

 6 weeks at 180mg

 8 weeks at 240mg

 Briquilimab was well tolerated and demonstrated a favorable safety profile:

 C-kit related adverse events ("AEs") were low frequency, transient,
low-grade events;

 The majority of AEs observed were resolved while on study prior to subsequent
doses; and

 No dose delays, missed doses or discontinuations were reported due to AEs
possibly related to c-Kit blockade

 We commenced the Phase 1b/2a SPOTLIGHT study in CIndU in early
2024. In October 2024, we presented positive preliminary data on the 40mg and 120mg cohorts from the study showing the following for
the 6-week preliminary analysis period following dosing, as follows:

 o
 Across the 40mg and 120mg dosing cohorts in the study, 14 of the 15 participants (93%) achieved a clinical response;

 o
 In the 120mg dose cohort, 10 of 12 participants (83%) experienced a complete response, and 1 participant experienced a partial
 response; and

 o
 Briquilimab has been well-tolerated in the study, with no serious adverse events ("SAEs") and no grade 3 or higher AEs
reported

 We commenced an Open Label Extension (the "OLE") study whereby the participants from BEACON and SPOTLIGHT, on study completion, may roll over to the study, to receive 180mg SC briquilimab every 8 weeks.

 We commenced a Phase 1b/2a ETESIAN study in Asthma in late
2024.

 We are actively evaluating the potential for briquilimab in
additional mast cell driven diseases.

 We are also developing briquilimab as a one-time
conditioning therapy for severe combined immunodeficiency ("SCID") patients undergoing a second stem cell transplant for which
we are currently conducting a Phase 1/2 clinical trial.

 We intend to become a fully integrated discovery,
development and commercial company in the field of mast cell therapeutics. We are developing our product candidates to be used individually
or, in some cases, in combination with other therapeutics. Our goal is to advance our product candidates through regulatory approval and
bring them to the commercial market based on the data from our clinical trials and communications with regulatory agencies and payor communities.
We expect to continue to broaden our pipeline with additional mast cell indications and next-generation products by leveraging our research
organization.

 We
have an exclusive license agreement with Amgen Inc. ("Amgen") for the development and commercialization of the briquilimab
monoclonal antibody in all indications and territories worldwide. We also have an exclusive license agreement with Stanford University
for the right to use briquilimab in the clearance of diseased stem cells prior to the transplantation of hematopoietic stem cells
(" HSCs").

 Since our inception, we have devoted substantially
all of our resources to performing research and development, enabling manufacturing activities in support of our product development efforts,
hiring personnel, acquiring and developing our technology and product candidates, performing business planning, establishing our intellectual
property portfolio, raising capital and providing general and administrative support for these activities. We do not have any products
approved for sale and have not generated any revenue from product sales. We expect to continue to incur significant and increasing expenses
and substantial losses for the foreseeable future as we continue our development of and seek regulatory approvals for our product candidates
and commercialize any approved products, seek to expand our product pipeline and invest in our organization. We expect to incur increased
expenses associated with operating as a public company, including significant legal, audit, accounting, regulatory, tax-related, director
and officer insurance, investor relations and other expenses.

 We have incurred significant losses and negative
cash flows from operations since our inception. During the years ended December 31, 2024 and 2023, we incurred net losses of $71.3 million
and $64.5 million, respectively. We generated negative operating cash flows of $62.6 million and $52.1 million for the years ended
December 31, 2024 and 2023, respectively. As of December 31, 2024, we had an accumulated deficit of $240.9 million.

 We had cash and cash equivalents of $71.6 million
as of December 31, 2024. We expect to continue to incur substantial losses for the foreseeable future, and our transition to profitability
will depend upon successful development, approval and commercialization of our product candidates and upon achievement of sufficient revenues
to support our cost structure. We do not expect to generate any revenue from commercial product sales unless and until we successfully
complete development and obtain regulatory approval for one or more of our product candidates. We may never achieve profitability, and
unless we do and until then, we will need to continue to raise additional capital.

 Our management plans to monitor expenses and raise
additional capital through a combination of public and private equity, debt financings, collaborations or a combination of these approaches.
Our ability to access capital when needed is not assured and, if capital is not available to us when, and in the amounts, needed, we may
be required to significantly curtail, delay or discontinue one or more of our research or development programs or the commercialization
of any product candidate, or be unable to expand our operations or otherwise capitalize on our business opportunities, as desired, which
could materially harm our business, financial condition and results of operations.

 We expect our expenses will increase substantially
in connection with our ongoing and planned activities, as we:

 advance product candidates through preclinical studies and clinical trials;

 procure the manufacture of supplies for our preclinical studies and clinical trials;

 acquire, discover, validate, and develop additional product candidates;

 attract, hire and retain additional personnel;

 operate as a public company;

 implement operational, financial and management systems;

 pursue regulatory approval for any product candidate that successfully completes clinical trials;

 establish a sales, marketing, and distribution infrastructure to commercialize any product candidate for which we may obtain marketing approval and related commercial manufacturing build-out; and

 obtain, maintain, expand, and protect our portfolio of intellectual property rights.

 We do not currently own or operate any manufacturing
facility. We rely on contract manufacturing organizations ("CMOs") to produce our drug candidates in accordance with the FDA's
current good manufacturing practices ("cGMP") regulations for use in our clinical studies. The manufacture of pharmaceuticals
is subject to extensive cGMP regulations, which impose various procedural and documentation requirements and govern all areas of record
keeping, production processes and controls, personnel and quality control. Under our license agreement with Amgen, we have received a
substantial amount of drug product to support initiation of our planned clinical trials of briquilimab. In November 2019, we entered
into development and manufacturing agreements with Lonza Sales AG ("Lonza") relating to the manufacturing of briquilimab and
product quality testing. The facility of Lonza in Slough, United Kingdom is responsible for production and testing of drug substance.
The facility of Lonza in Stein, Switzerland is responsible for production and testing of drug product. Labelling, packaging and storage
of finished drug product is provided by PCI Pharma Services, in San Diego, California. Our agreement with Lonza includes certain limitations
on our ability to enter into supply arrangements with any other supplier without Lonza's consent. In addition, Lonza has the right
to increase the prices it charges us for certain supplies depending on a number of factors, some of which are outside of our control.

 We do not currently have sales and marketing infrastructure
to support commercial launch of our product candidates, if approved. We may build such capabilities in North America prior to potential
launch of briquilimab. Outside of North America, we may rely on licensing, co-sale and co-promotion agreements with strategic partners
for the commercialization of our product candidates. If we build a commercial infrastructure to support marketing in North America, such
commercial infrastructure could be expected to include a targeted sales force supported by sales management, internal sales support, an
internal marketing group and distribution support. To develop the appropriate commercial infrastructure internally, we would have to invest
financial and management resources, some of which would have to be deployed prior to any confirmation that briquilimab will be approved.

 Because of the numerous risks and uncertainties
associated with product development, we are unable to predict the timing or amount of increased expenses or when or if we will be able
to achieve or maintain profitability. Even if we are able to generate revenue from the sale of our product candidates, we may not become
profitable. If we fail to become profitable or are unable to sustain profitability on a continuing basis, then we may be unable to continue
our operations at planned levels and may be forced to reduce our operations.

 Business Impact of the Geopolitical and Macroeconomic Factors

 We are unable to predict the effect that geopolitical
and macroeconomic factors, including inflation, supply chain issues, rising interest rates, future bank failures, increased geopolitical
tensions between the U.S. and China and the impact of the Russia-Ukraine conflict and the Israel-Hamas war, may have on our operations.
To the extent that geopolitical and macroeconomic factors adversely affect our business prospects, financial condition, and results of
operations, they may also have the effect of exacerbating many of the other risks described or referenced in the section titled "Risk
Factors" in this Annual Report on Form 10-K such as those relating to the supply of materials for our product candidates, and the timing and possible disruptions
of our ongoing and future preclinical studies and clinical trials, and our access to the financial markets.

 Amgen License Agreement

 In November 2019, we entered into a worldwide
exclusive license agreement with Amgen for briquilimab (formerly AMG-191 and JSP191) that also includes translational science and materials
from Stanford University. We were assigned and accepted Amgen's rights and obligations, effective November 21, 2019, for the Investigator
Sponsored Research Agreement ("ISRA"), entered into in June 2013, between Amgen and The Board of Trustees of the Leland
Stanford Junior University ("Stanford") and Quality Agreement between Amgen and Stanford, effective as of October 7, 2015.
Under the ISRA, we received an option to negotiate a definitive license with Stanford for rights to certain Stanford intellectual property
related to the study of briquilimab in exchange for an option exercise fee of $1.0 million, payable over a two-year period (the "Option").
We exercised the Option to Stanford docket S06-265 "Antibody-based clearance of endogenous stem cell niches prior to transplantation
of bone marrow or hematopoietic stem cells (c-kit)" granted by Stanford under the ISRA on June 2, 2020. As a result, we have worldwide
exclusive rights to develop and commercialize briquilimab. The issued U.S. patents would be expected to expire in 2027, absent any applicable
patent term extensions.

 Stanford License Agreements

 In March 2021, we entered into an exclusive
license agreement with respect to the use of briquilimab from the Stanford Office of Technology Licensing to license U.S. Patent Application
Serial Number 60/856,435, filed November 3, 2006, and U.S. Patent Application Serial Number 12/447,634 (publication number US 2010/0226927
Al) and know-how for the purpose of depleting endogenous blood stem cells in patients for whom hematopoietic cell transplantation is indicated
(the "2021 Stanford License Agreement"). In July 2023, we entered into an amendment to this exclusive license agreement to
modify certain milestones set forth thereunder.

 In December 2024, we entered into a co-exclusive
license agreement to license U.S. Patent Application Serial Number 11,642,379, issued September 5, 2023 for the use in the field of the
treatment and prevention of human diseases, including the use of anti-CD117 antibodies (other than briquilimab) for the purpose of depleting
endogenous blood stem cells in patients for whom hematopoietic cell transplantation is indicated (the "2024 Stanford License Agreement").

 Collaboration and Clinical Trial Agreements

 Collaboration with Stanford University

 Effective September 2020, we entered into a sponsored
research agreement with Stanford, pursuant to which Stanford will execute a Phase 1/2 clinical trial utilizing briquilimab to treat Fanconi
Anemia patients in Bone Marrow Failure requiring allogeneic transplant with non-sibling donors at Stanford Lucile Packard Children's
Hospital. As consideration for the services performed by Stanford under this agreement, we agreed to pay Stanford a total of $0.9 million
over approximately three years upon the achievement of the first development and clinical milestone, including FDA filings and patient
enrollment. The first $0.3 million milestone was achieved in 2020 and paid by us in February 2021. The second $0.3 million milestone was
achieved in February 2022 and paid by us in March 2022. The third and final milestone in the amount of $0.3 million was achieved in July
2023.

 Components of Results of Operations

 Operating Expenses

 Research and Development

 The largest component of our total operating expenses
since our inception has been research and development activities, including the preclinical and clinical development of our product candidates.
Research and development expenses consist primarily of compensation and benefits for research and development employees, including stock-based compensation;
expenses incurred under agreements with CROs and investigative sites that conduct preclinical and clinical studies; the costs of acquiring
and manufacturing clinical study materials and other supplies; payments under licensing and research and development agreements; other
outside services and consulting costs; and facilities, information technology and overhead expenses. Research and development costs are
expensed as incurred.

 External research and development costs include:

 costs incurred under agreements with third-party CROs, CMOs and other third parties that conduct preclinical and clinical activities on our behalf and manufacture our product candidates;

 costs associated with acquiring
technology and intellectual property licenses that have no alternative future uses;

 consulting fees associated with
our research and development activities; and

 other costs associated with
our research and development programs, including laboratory materials and supplies.

 Internal research and development costs include:

 employee-related costs,
including salaries, benefits and stock-based compensation expense for our research and development personnel; and

 other expenses and allocated
overheads incurred in connection with our research and development programs.

 We expect our research and development expenses
to increase substantially for the foreseeable future as we advance our product candidates into and through preclinical studies and clinical
trials, pursue regulatory approval of our product candidates and expand our pipeline of product candidates. The process of conducting
the necessary preclinical and clinical research to obtain regulatory approval is costly and time-consuming. The actual probability of
success for our product candidates may be affected by a variety of factors, including the safety and efficacy of our product candidates,
early clinical data, investment in our clinical programs, competition, manufacturing capability and commercial viability. We may never
succeed in achieving regulatory approval for any of our product candidates. As a result of the uncertainties discussed above, we are unable
to determine the duration and completion costs of our research and development projects or if, when and to what extent we will generate
revenue from the commercialization and sale of our product candidates, if approved.

 Our future research and development costs may vary
significantly based on factors, such as:

 the scope, rate of progress,
expense and results of our discovery and preclinical development activities;

 the costs and timing of our
chemistry, manufacturing and controls activities, including fulfilling cGMP-related standards and compliance, and identifying and
qualifying suppliers;

 per patient clinical trial costs;

 the number of trials required
for approval;

 the number of sites included
in our clinical trials;

 the countries in which the trials
are conducted;

 delays in adding a sufficient
number of trial sites and recruiting suitable patients to participate in our clinical trials;

 the number of patients that
participate in the trials;

 the number of doses that patients
receive;

 patient drop-out or discontinuation
rates;

 potential additional safety
monitoring requested by regulatory agencies;

 the duration of patient participation
in the trials and follow up;

 the cost and timing of manufacturing
our product candidates;

 the phase of development of
our product candidates;

 the efficacy and safety profile
of our product candidates;

 the timing, receipt, and terms of any approvals from applicable regulatory authorities, including the FDA and non-U.S. regulators;

 maintaining a continued acceptable safety profile of our product candidates following approval, if any, of our product candidates;

 significant and changing government
regulation and regulatory guidance;

 changes in the standard of care
on which a clinical development plan was based, which may require new or additional trials;

 the extent to which we establish
additional strategic collaborations or other arrangements; and

 the impact of any business interruptions
to our operations or to those of the third parties with whom we work, particularly in light of geopolitical and macroeconomic trends.

 General and Administrative

 General and administrative expenses consist primarily
of personnel costs and expenses, including salaries, employee benefits, stock-based compensation for our executive and other administrative
personnel; legal services, including relating to intellectual property and corporate matters; accounting, auditing, consulting and tax
services; insurance; and facility and other allocated costs not otherwise included in research and development expenses. We expect our
general and administrative expenses to increase substantially for the foreseeable future as we anticipate an increase in our personnel
headcount to support expansion of research and development activities, as well as to support our operations generally. We also expect
to continue to incur significant expenses associated with being a public company, including costs related to accounting, audit, legal,
regulatory, and tax-related services associated with maintaining compliance with applicable Nasdaq and SEC requirements; additional
director and officer insurance costs; and investor and public relations costs.

 Other Income, Net

 Other income, net includes foreign currency transactions gains and
losses, interest income, changes in the fair value of common stock warrant liability and earnout liability. These financial instruments
were classified as liabilities in our consolidated financial statements and re-measured at each reporting period end until they are
exercised, settled or have expired. In January 2023, all outstanding common stock warrants met equity classification and are no longer
remeasured. The estimated fair value of the earnout liability was minimal as of December 31, 2023, due to the price of our common
stock relative to the price that would trigger a release of the earnout shares. The earnout liability expired in September 2024 as the
common stock price targets were not achieved prior to the expiration of the earnout period.

 Results of Operations

 Comparison of the Years Ended December 31, 2024 and 2023

 The following table summarizes our results of operations
for the years ended December 31, 2024 and 2023 (in thousands):

 Year Ended

 Change

 Change

 2024

 2023

 $

 %

 Operating expenses

 Research and development

 $
 55,821

 $
 51,785

 $
 4,036

 General and administrative

 20,418

 17,076

 3,342

 Total operating expenses

 76,239

 68,861

 7,378

 Loss from operations

 (76,239
)

 (68,861
)

 (7,378
)

 Interest income

 5,058

 5,199

 (141
)

 (3
)

 Change in fair value of earnout liability

 -

 (18
)

 (100
)

 Change in fair value of common stock warrant liability

 -

 (575
)

 (100
)

 Other expense, net

 (88
)

 (246
)

 (64
)

 Total other income, net

 4,970

 4,396

 Net loss and comprehensive loss

 $
 (71,269
)

 $
 (64,465
)

 $
 (6,804
)

 Research and Development Expenses

 The following table summarizes our research and
development expenses for the periods indicated (in thousands):

 Change

 Change

 2024

 2023

 $

 %

 Personnel-related costs

 $
 14,941

 $
 10,022

 $
 4,919

 Facilities and overhead costs

 6,612

 4,986

 1,626

 Program costs

 34,268

 36,777

 (2,509
)

 (7
)

 Total research and development expenses

 $
 55,821

 $
 51,785

 $
 4,036

 Research and development expenses increased by
$4.0 million, from $51.8 million for the year ended December 31, 2023 to $55.8 million for the year ended December 31, 2024.

 Personnel-related costs, including employee payroll
and related expenses increased by $4.9 million, from $10.0 million for the year ended December 31, 2023 to $14.9 million for the year
ended December 31, 2024, as a result of hiring additional employees in our research and development organization. Stock-based compensation
expenses, included in personnel-related costs, increased by $0.4 million, from $1.6 million for the year ended December 31, 2023 to $2.0
million for the year ended December 31, 2024.

 Facilities and overhead costs include common facilities, human resources
and information technology related expenses allocated to research and development and increased primarily due to and expansion of leased
facilities in 2024.

 Program costs decreased by $2.5 million, from $36.8 million for the
year ended December 31, 2023 to $34.3 million for the year ended December 31, 2024. The decrease is primarily due to a decrease in CMO
expenses of $12.2 million from $21.7 million for the year ended December 31, 2023 to $9.5 million for the year ended December 31, 2024
due to manufacturing and validation work performed in 2023 to supply the expansion of clinical programs. Clinical program expenses increased
primarily due to an increase in costs for the CSU program from $3.4 million for the year ended December 31, 2023 to $10.7 million for
the year ended December 31, 2024 and the initiation of the Asthma program in the year ended December 31, 2024.

 Our program costs for the years ended December 31, 2024 and 2023 were
as follows (in thousands):

 2024

 2023

 Briquilimab platform

 $
 5,637

 $
 4,639

 CMO

 9,500

 21,709

 CSU

 10,689

 3,368

 CIndU

 2,234

 Asthma

 1,975

 -

 MDS/AML

 1,824

 3,955

 SCID

 2,409

 2,917

 Total program costs

 $
 34,268

 $
 36,777

 General and Administrative Expenses

 General and administrative expenses increased by
$3.3 million, from $17.1 million for the year ended December 31, 2023 to $20.4 million for the year ended December 31,
2024. Employee payroll and related expenses increased by $3.9 million, from $7.5 million for the year ended December 31, 2023
to $11.4 million for the year ended December 31, 2024, as a result of continued hiring of executives and administrative employees.
Stock-based compensation expenses, included in employee payroll and related expenses, were $4.6 million and $3.6 million for the years
ended December 31, 2024 and 2023, respectively. Expenses related to professional consulting services increased by $0.4 million, from $6.8 million
for the year ended December 31, 2023 to $7.2 million for the year ended December 31, 2024. Rent expenses increased by $0.3 million
for the year ended December 31, 2024 as compared to the year ended December 31, 2023. Other expenses decreased by $1.3 million for
the year ended December 31, 2024 as compared to the year ended December 31, 2023, primarily related to a decrease in allocation of
overhead costs of $1.6 million and a decrease in insurance costs of $0.5 million, partially offset by an increase in other general administrative
expenses of $0.8 million.

 Total Other Income, Net

 Total other income, net increased by $0.6 million,
from $4.4 million net income for the year ended December 31, 2023 to $5.0 million net income for the year ended December 31, 2024.

 Interest income decreased by $0.1 million, from
$5.2 million for the year ended December 31, 2023 to $5.1 million for the year ended December 31, 2024, primarily due to lower cash balances
invested in money market funds.

 We recognized $0.6 million of other expense related to the change in
the fair value of the common stock warrants for the year ended December 31, 2023. These warrants are publicly traded, were classified
as liabilities and were remeasured at fair value, which was the closing market price of a warrant, at the end of each reporting period
until January 2023. In January 2023, a holder converted all its outstanding shares of non-voting common stock into shares of voting common
stock, and we no longer have any outstanding shares of non-voting common stock. As such, the outstanding warrants met equity classification
criteria, were reclassified to equity and are no longer remeasured at fair value at the end of each reporting period.

 Our earnout liability related to the earnout shares placed in escrow
upon the closing of the Business Combination in September 2021. The common stock price targets were not achieved and the earnout shares
were forfeited and cancelled and the earnout liability expired in September 2024. We recognized a gain of zero and$0.1 million for the
years ended December 31, 2024 and 2023, respectively.

 Other expense, net is comprised of foreign currency
transactions gains and losses and was $0.1 million and $0.2 million for the years ended December 31, 2024 and 2023, respectively.

 Liquidity and Capital Resources

 As of December 31, 2024, we had $71.6 million of
cash and cash equivalents.

 In order to assist in funding our future operations,
including our planned clinical trials, on April 28, 2023, we filed a universal shelf registration statement on Form S-3 with the SEC,
which was declared effective on May 5, 2023 and will expire on May 5, 2026 (the "S-3"), which allows us to, from time to time,
offer up to $250.0 million of securities, including any combination of common stock, preferred stock, debt securities, warrants, rights,
units and depositary shares. We believe that the S-3 will provide us with the flexibility to raise additional capital to finance our operations
as needed. From time to time, we may offer securities under the S-3 in response to market conditions or other circumstances if we believe
such a plan of financing is in the best interests of our stockholders. The terms of any offering under the S-3 will be established at
the time of such offering and will be described in a prospectus supplement to the S-3 filed with the SEC prior to the completion of any
such offering.

 On November 10, 2022, we entered into a Controlled
Equity Offering SM Sales Agreement (the "Sales Agreement") with Cantor Fitzgerald & Co. (the "Agent"),
pursuant to which we may offer and sell through or to the Agent, as sales agent or principal, shares of our voting common stock from time
to time (the "ATM Offering"). The Agent will use commercially reasonable efforts consistent with its normal sales and trading
practices to sell shares from time to time, based upon our instructions (including any price or size limits or other customary parameters
or conditions we may impose). We will pay a commission equal to 3.0% of the aggregate gross proceeds of any shares sold through the Agent
pursuant to the Sales Agreement. We are not obligated to sell any shares under the Sales Agreement. The Sales Agreement will continue
until all shares available under the Sales Agreement have been sold unless it is terminated earlier. On May 5, 2023, we filed with the
SEC a prospectus under the S-3 in connection with the ATM Offering (the "ATM Prospectus"), pursuant to which we may offer
and sell shares of common stock having an aggregate offering price of up to $75.0 million. As of December 31, 2024, there have been no
sales pursuant to the ATM Prospectus.

 In February 2024, we closed an underwritten offering
that was conducted off the S-3 and issued 3,900,000 shares of common stock for net proceeds of $47.2 million.

 As of December 31, 2024, $75.0 million remains
allocated and available under the ATM Prospectus and $124.5 million remains available and unallocated under the S-3.

 Future Funding Requirements

 Our primary uses of cash are to fund our operations,
which consist primarily of research and development expenditures related to our programs and, to a lesser extent, general and administrative
expenditures. We anticipate that we will continue to incur significant expenses for the foreseeable future as we continue to advance our
product candidates, expand our corporate infrastructure, operate as a public company, further our research and development initiatives
for our product candidates, scale our laboratory and manufacturing operations, and incur marketing costs associated with potential commercialization.
We are subject to all the risks typically related to the development of new drug candidates, and we may encounter unforeseen expenses,
difficulties, complications, delays and other unknown factors that may adversely affect our business. We anticipate
that we will need substantial additional funding in connection with our continuing operations.

 We have incurred significant losses and negative
cash flows from operations since our inception. As of December 31, 2024, we had an accumulated deficit of $240.9 million. Given our recurring
losses from operations and negative cash flows, and based on our current operating plan, we have concluded that there is substantial doubt
about our ability to continue as a going concern within one year from the date of filing of this Annual Report on Form 10-K. We expect
to finance our future cash needs through equity or debt financings, collaborations or a combination of these approaches. The sale of equity
or convertible debt securities may result in dilution to our stockholders, and, in the case of preferred equity securities or convertible
debt, those securities could provide for rights, preferences or privileges senior to those of our common stock. Debt financings may subject
us to covenant limitations or restrictions on our ability to take specific actions, such as incurring additional debt or making capital
expenditures. Our ability to raise additional funds may be adversely impacted by negative global economic conditions and any disruptions
to and volatility in the credit and financial markets in the United States and worldwide or other factors. There can be no assurance that
we will be successful in acquiring additional funding at levels sufficient to fund our operations or on terms favorable or acceptable
to us. If we are unable to obtain adequate financing when needed or on terms favorable or acceptable to us, we may be forced to delay,
reduce the scope of or eliminate one or more of our research and development programs.

 Our future financing requirements will depend on
many factors, including:

 the timing, scope, progress,
results and costs of research and development, preclinical and non-clinical studies and clinical trials for our current and future
product candidates;

 the number, scope and duration
of clinical trials required for regulatory approval of our current and future product candidates;

 the outcome, timing and costs of seeking and obtaining regulatory approvals from the FDA and comparable foreign regulatory authorities for our product candidates, including any requirement to conduct additional studies or generate additional data beyond that which we currently expect would be required to support a marketing application;

 the costs of manufacturing clinical
and commercial supplies of our current and future product candidates;

 the costs and timing of future
commercialization activities, including product manufacturing, marketing, sales and distribution, for any of our product candidates for
which we receive marketing approval;

 any product liability or other
lawsuits related to our product candidates;

 the revenue, if any, received
from commercial sales of any product candidates for which we may receive marketing approval;

 our ability to establish a commercially
viable pricing structure and obtain approval for coverage and adequate reimbursement from third-party and government payers;

 the costs to establish, maintain,
expand, enforce and defend the scope of our intellectual property portfolio, including the amount and timing of any payments we may be
required to make, or that we may receive, in connection with licensing, preparing, filing, prosecuting, defending and enforcing our patents
or other intellectual property rights;

 expenses incurred to attract,
hire and retain skilled personnel; and

 the costs of operating as a
public company.

 A change in the outcome of any of these or other
variables could significantly change the costs and timing associated with the development of our product candidates. Furthermore, our
operating plans may change in the future, and we may need additional funds to meet operational needs and capital requirements associated
with such change.

 Contractual Obligations and Commitments

 We enter into contracts in the normal course of
business with CROs for clinical trials, with CMOs for clinical supplies manufacturing and with other vendors for preclinical
studies, supplies and other services and products for operating purposes. These contracts generally provide for termination on notice
or may have a potential termination fee if a purchase order is cancelled within a specified time, and therefore are cancelable contracts.
We do not expect any such contract terminations and did not have any non-cancellable obligations under these agreements as of December
31, 2024.

 Leases

 In August 2020, January 2022 and July 2024, we
leased approximately 25,900 square feet of space for our headquarters in Redwood City, California. The lease expires in August 2026. We
have an option to extend the term for an additional five years to August 2031. In addition to base rent, we pay our share of operating
expenses and taxes. As of December 31, 2024, our rent commitments under the lease agreement were $1.2 million within the next 12 months
from December 31, 2024, and $0.7 million for the remainder of the lease term.

 Stanford License Agreements

 In March 2021, we entered into the 2021 Stanford
License Agreement. In July 2023, we entered into an amendment to the 2021 Stanford License Agreement to modify certain milestones set
forth thereunder. Pursuant to the 2021 Stanford License Agreement we are required to pay annual license maintenance fees, beginning on
the first anniversary of the effective date of the agreement and ending upon the first commercial sale of a product, method, or service
in the licensed field of use, as follows: $25,000 for each first and second year, $35,000 for each third and fourth year, and $50,000
at each anniversary thereafter ending upon the first commercial sale. We are also obligated to pay late-stage clinical development milestone
payments and first commercial sales milestone payments of up to $9.0 million in total. We will also pay low single-digit royalties on
net sales of licensed products. All products are in development as of December 31, 2024, and no such royalties were due as of such date
and no milestones were achieved.

 In December 2024, we entered into the 2024 Stanford License Agreement.
Pursuant to the 2024 Stanford License Agreement, we are required to pay a license issuance fee of $75,000 and annual license maintenance
fees, beginning on the first anniversary of the effective date of the agreement: $25,000 for each of the first through third years, $50,000
for each of the fourth through sixth years and $65,000 at each anniversary thereafter. We are also obligated to pay clinical development
milestone payments of up to $1.3 million and sales milestone payments of up to $7.0 million in total. We will also pay low single-digit
royalties on net sales of licensed products. All products are in development as of December 31, 2024, and no such royalties were due as
of such date and no milestones were achieved.

 Cash Flows

 The following table summarizes our sources and
uses of cash for the periods presented (in thousands):

 Year ended

 2024

 2023

 Net cash used in operating activities

 $
 (62,602
)

 $
 (52,067
)

 Net cash used in investing activities

 (532
)

 (267
)

 Net cash provided by financing activities

 47,884

 100,971

 Net (decrease) increase in cash and cash equivalents and restricted
cash

 $
 (15,250
)

 $
 48,637

 Cash Flows from Operating Activities

 Net cash used in operating activities was $62.6
million and $52.1 million for the years ended December 31, 2024 and 2023, respectively.

 Cash used in operating activities in the year ended December 31, 2024
was primarily due to our net loss for the period of $71.3 million, adjusted by non-cash net loss of $8.5 million and a net change of $0.2
million in our net operating assets and liabilities. The non-cash amounts consisted of $6.6 million related to stock-based compensation
expense, $1.4 million related to depreciation and amortization expense and $0.5 million non-cash lease expense. The changes in our net
operating assets and liabilities were primarily due to an increase of $2.9 million in accrued expenses and other current liabilities and
a decrease of $0.5 million in other non-current assets, offset by an increase of $2.1 million in prepaid expenses and other current assets,
a decrease of $1.0 million in operating lease liability and a decrease of $0.1 million in accounts payable.

 Cash used in operating activities in the year ended
December 31, 2023 was primarily due to our net loss for the period of $64.5 million, adjusted by non-cash net loss of $7.3 million and
a net change of $5.1 million in our net operating assets and liabilities. The non-cash amounts consisted of $5.2 million related to stock-based
compensation expense, $1.1 million related to depreciation and amortization expense, $0.6 million net loss related to the changes in the
fair value of the common stock warrant liability and the earnout liability, and $0.4 million non-cash lease expense. The changes in our
net operating assets and liabilities were primarily due to an increase of $2.8 million in accrued expenses and other current liabilities,
an increase of $2.4 million in accounts payable, a decrease of $0.7 million in other receivables and a decrease of $0.8 million in prepaid
expenses and other current assets, offset by a decrease of $0.9 million in operating lease liability, an increase of $0.6 million in other
non-current assets, and a decrease of $0.1 million in other non-current liabilities.

 Cash Flows from Investing Activities

 Cash used in investing activities was $0.5 million for the year ended
December 31, 2024, principally consisting of purchases of property and equipment.

 Cash used in investing was $0.3 million for the
year ended December 31, 2023, which consisted of purchases of lab equipment.

 Cash Flows from Financing Activities

 Cash provided by financing activities for the year
ended December 31, 2024 was $47.9 million, which consisted primarily of net proceeds from the issuance and sale of shares of common stock
in an underwritten public offering of $47.2 million, cash received from the exercise of stock options of $0.3 million and cash received
from the issuance of common stock in connection with purchases under our employee stock purchase plan of $0.4 million.

 Cash provided by financing activities for the year
ended December 31, 2023 was $101.0 million, which consisted primarily of net proceeds from the issuance and sale of shares of common stock
in an underwritten public offering and the ATM Offering of $101.5 million, cash received from the exercise of stock options of $0.4 million
and cash received from the issuance of common stock upon employee stock purchase plan purchases of $0.1 million, partially offset by taxes
withheld and paid related to net settlement of equity awards of $1.0 million.

 Critical
Accounting Policies and Significant Judgments and Estimates

 Our critical accounting policies are disclosed
in Note 2 of the notes to the consolidated financial statements included in Part II, Item 8 of this Annual Report on Form 10-K.

 Our management's discussion and analysis
of our financial condition and results of operations is based on our consolidated financial statements, which have been prepared in accordance
with accounting principles generally accepted in the United States of America. The preparation of these consolidated financial statements
requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent
assets and liabilities at the date of the consolidated financial statements, as well as the reported expenses incurred during the reporting
periods. Our estimates are based on our historical experience and on various other factors that we believe are reasonable under the circumstances,
the results of which form the basis for making judgments about the carrying value of assets and liabilities that are not readily apparent
from other sources. Actual results may differ from these estimates under different assumptions or conditions.

 While our significant accounting policies are described
in more detail in Note 2 to our consolidated financial statements included in Part II, Item 8 of this Annual Report on Form 10-K,
we believe that the following accounting policies are those most critical to the judgments and estimates used in the preparation of our
consolidated financial statements.

 Accrued Research and Development Expenses

 We have entered into various agreements with outsourced
vendors, including CROs and CMOs. Research and development expenses are recognized as services are performed and as costs occur. We make
significant judgments and estimates in determining the accrual balance in each reporting period. As actual costs become known, we adjust
our accruals. Although we do not expect our estimates to be materially different than the actual amounts incurred, such estimates for
the status and timing of services performed relative to the actual status and timing of services performed may vary and could result in
us reporting amounts that are too high or too low in any one period. Our accrual is dependent, in part, upon the receipt of timely and
accurate reporting from CROs, CMOs, and other third-party vendors. Variations in the assumptions used to estimate accruals including,
but not limited to, the number of patients enrolled, the rate of patient enrollment and the actual services performed, may vary from our
estimates, resulting in adjustments to clinical trial expenses in future periods. Payments made under these arrangements in advance of
the performance of the related services are recorded as prepaid expenses and other current assets until the services are rendered. To
date, there have been no material differences between estimates of such expenses and the amounts actually incurred.

 Stock-Based Compensation

 We measure stock-based awards made to employees
and non-employees based on the estimated fair values of the awards as of the grant dates using the Black-Scholes option-pricing model.
The model requires management to make a number of assumptions including common stock fair value, expected volatility, expected term, risk-free
interest rate and expected dividend yield.

 Expected Volatility — Expected
volatility is estimated by studying the volatility of the prices of shares of common stock of comparable public companies for similar
terms.

 Expected Term — Expected
term represents the period that our stock-based awards are expected to be outstanding and is determined using the simplified method.

 Risk-Free Interest Rate — The
risk-free interest rate is based on the U.S. Treasury zero-coupon issued in effect at the time of grant for periods corresponding
with the expected term of the option.

 Expected Dividend — The
Black-Scholes valuation model calls for a single expected dividend yield as an input. To date, we have not declared or paid any dividends.

 Common Stock Fair Value — We
estimate the fair value of our common stock based on the closing quoted market price of our common stock as reported on the Nasdaq Capital
Market.

 We recorded stock-based compensation expense of
$6.6 million and $5.2 million for the years ended December 31, 2024 and 2023, respectively. As of December 31, 2024, there was
$15.0 million of total unrecognized compensation expense, which we expect to recognize over a remaining weighted-average period of
2.59 years. We expect to continue to grant equity-based awards in the future, and to the extent that we do, our stock-based compensation
expense recognized in future periods will likely increase.

 Recently Issued Accounting Pronouncements

 See Note 2 to the consolidated financial statements
included in Part II, Item 8 of this Annual Report on Form 10-K for more information regarding recently issued accounting pronouncements.

 Smaller Reporting Company Status

 Previously, we were an emerging growth company
as defined by the Jumpstart Our Business Startups Act of 2012 (the "JOBS Act"). The JOBS Act exempts emerging growth companies
from being required to comply with new or revised financial accounting standards until private companies (that is, those that have not
had a U.S. Securities Act of 1933, as amended, registration statement declared effective or do not have a class of securities registered
under the Securities Exchange Act of 1934, as amended (the "Exchange Act")) are required to comply with the new or revised
financial accounting standards. The JOBS Act provides that a company can elect to opt out of the extended transition period and comply
with the requirements that apply to non-emerging growth companies but any such election to opt out is irrevocable. As of December
31, 2024, we ceased to be an emerging growth company.

 We are now a "smaller reporting company,"
as defined in Item 10(f)(1) of Regulation S-K. Smaller reporting companies may take advantage of certain reduced disclosure
obligations, including, among other things, providing only two years of audited financial statements. We will remain a smaller reporting
company until the last day of the fiscal year in which (i) the market value of our common stock held by non-affiliates exceeds $250
million as of the last business day of our second fiscal quarter, or (ii) our annual revenue exceeded $100 million during such completed
fiscal year and the market value of our common stock held by non-affiliates exceeds $700 million as of the last business day of our second
fiscal quarter.

 ITEM 7A. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

 Interest Rate Risk

 We had cash and cash equivalents of $71.6 million
as of December 31, 2024, which consisted of checking account and money market funds. Historical fluctuations in interest rates have not
been significant for us, and we believe a hypothetical 10% change in interest rates during any of the periods presented would not have
had a material effect on our consolidated financial statements included in Part II, Item 8 of this Annual Report on Form 10-K. We had
no outstanding debt as of December 31, 2024. To minimize risk in the future, we intend to maintain our portfolio of cash equivalents in
institutional market funds that are composed of U.S. Treasury and U.S. Treasury-backed repurchase agreements or short-term U.S. Treasury
securities.

 Foreign Currency Exchange Risk

 All of our employees are currently located in the
United States; however, we do utilize certain vendors outside of the United States for our manufacturing of drug substances
and clinical supplies. As such, our expenses are denominated in both U.S. dollars and foreign currencies. Therefore, our operations
are and will continue to be subject to fluctuations in foreign currency exchange rates. To date, foreign currency transaction gains and
losses have not been material to our consolidated financial statements, and we have not had a formal hedging program with respect to foreign
currency. We believe a hypothetical 10% change in exchange rates during any of the periods presented would not have a material effect on our consolidated financial
statements included in Part II, Item 8 of this Annual Report on Form 10-K.

 Effects of Inflation

 Inflation generally affects us by increasing our
cost of labor and in the future our clinical trial costs. We believe that inflation has not had a material effect on our consolidated
financial statements included in Part II, Item 8 of this Annual Report on Form 10-K.

 ITEM 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA

 INDEX TO THE FINANCIAL STATEMENTS

 Page

 Audited Consolidated Financial Statements

 Report of Independent Registered Public Accounting Firm (PCAOB ID 238)

 Consolidated Balance Sheets

 Consolidated Statements of Operations and Comprehensive Loss

 Consolidated Statements of Stockholders' Equity

 Consolidated Statements of Cash Flows

 Notes to Consolidated Financial Statements

 F- 1

 Report of Independent Registered Public Accounting
Firm

 To the Board of Directors and Stockholders of Jasper Therapeutics,
Inc.

 Opinion on the Financial Statements

 We have audited the accompanying consolidated balance sheets of Jasper
Therapeutics, Inc. and its subsidiary (the "Company") as of December 31, 2024 and December 31, 2023 and the related consolidated
statements of operations and comprehensive loss, of stockholders' equity and of cash flows for the years then ended, including the
related notes (collectively referred to as the "consolidated financial statements"). In our opinion, the consolidated financial
statements present fairly, in all material respects, the financial position of the Company as of December 31, 2024 and 2023, and the results
of its operations and its cash flows for the years then ended in conformity with accounting principles generally accepted in the United
States of America.

 Substantial Doubt About the Company's Ability to Continue as a Going
Concern

 The accompanying consolidated financial statements have been prepared
assuming that the Company will continue as a going concern. As discussed in Note 2 to the consolidated financial statements, the Company
has incurred significant losses and negative cash flows from operations since its inception that raise substantial doubt about its ability
to continue as a going concern. Management's plans in regard to these matters are also described in Note 2. The consolidated financial
statements do not include any adjustments that might result from the outcome of this uncertainty.

 Basis for Opinion

 These consolidated financial statements are the responsibility of the
Company's management. Our responsibility is to express an opinion on the Company's consolidated financial statements based
on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and
are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules
and regulations of the Securities and Exchange Commission and the PCAOB.

 We conducted our audits of these consolidated financial statements
in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audits to obtain reasonable assurance
about whether the consolidated financial statements are free of material misstatement, whether due to error or fraud. The Company is not
required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audit we are
required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the
effectiveness of the Company's internal control over financial reporting. Accordingly, we express no such opinion.

 Our audits included performing procedures to assess the risks of material
misstatement of the consolidated financial statements, whether due to error or fraud, and performing procedures that respond to those
risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the consolidated financial
statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as
evaluating the overall presentation of the consolidated financial statements. We believe that our audits provide a reasonable basis for
our opinion.

 F- 2

 Critical Audit Matters

 The critical audit matter communicated below is a matter arising from
the current period audit of the consolidated financial statements that was communicated or required to be communicated to the audit committee
and that (i) relates to accounts or disclosures that are material to the consolidated financial statements and (ii) involved our especially
challenging, subjective, or complex judgments. The communication of critical audit matters does not alter in any way our opinion on the
consolidated financial statements, taken as a whole, and we are not, by communicating the critical audit matter below, providing a separate
opinion on the critical audit matter or on the accounts or disclosures to which it relates.

 Accrued Research and Development Expenses Related to Contract Manufacturing
Organization Activities

 As described in Note 2 to the consolidated financial statements, the
Company has entered into various agreements with contract manufacturing organizations (CMOs). As disclosed by management, the Company
relies on CMOs to produce drug candidates in accordance with the U.S. Food and Drug Administration's current good manufacturing
practices regulations for use in clinical studies. Management makes estimates of accrued research and development expenses as of each
balance sheet date based on facts and circumstances known at that time. Management periodically confirms the accuracy of the Company's
estimates with the service providers and makes adjustments, if necessary. Research and development accruals are estimated based on the
level of services performed, progress of the studies, including the phase or completion of events, and contracted costs. If the actual
timing of the performance of services or the level of effort varies from the original estimates, the Company will adjust the accrual accordingly.
The Company recorded $10.1 million of accrued expenses and other current liabilities as of December 31, 2024, a portion of which relates
to accrued research and development expenses related to CMO activities.

 The principal consideration for our determination that performing procedures
relating to accrued research and development expenses related to CMO activities is a critical audit matter is a high degree of auditor
effort in performing procedures related to the Company's accrued research and development expenses related to CMO activities.

 Addressing the matter involved performing procedures and evaluating
audit evidence in connection with forming our overall opinion on the consolidated financial statements. These procedures included, among
others (i) evaluating the appropriateness of the method used by management to calculate the accrued research and development expenses
related to CMO activities; (ii) testing the accrued research and development expenses, on a sample basis, by obtaining and inspecting
source documents, such as the CMO contract and invoices, and recalculating the accrued research and development expenses recognized; and
(iii) confirming relevant information, such as key terms and percentage of completion, with the CMO.

 /s/ PricewaterhouseCoopers LLP

 San Jose, California

 We have served as the Company's auditor since 2021.

 F- 3

 CONSOLIDATED BALANCE SHEETS

 (in thousands, except share and per share
data)

 2024

 2023

 Assets

 Current assets:

 Cash and cash equivalents

 $
 71,637

 $
 86,887

 Prepaid expenses and other current assets

 4,174

 2,051

 Total current assets

 75,811

 88,938

 Property and equipment, net

 1,875

 2,727

 Operating lease right-of-use assets

 1,467

 Restricted cash

 Other non-current assets

 1,343

 Total assets

 $
 79,899

 $
 94,892

 Liabilities and Stockholders' Equity

 Current liabilities:

 Accounts payable

 $
 4,027

 $
 4,149

 Current portion of operating lease liabilities

 1,089

 Accrued expenses and other current liabilities

 10,121

 7,253

 Total current liabilities

 15,237

 12,374

 Non-current portion of operating lease liabilities

 1,814

 Other non-current liabilities

 2,264

 2,264

 Total liabilities

 18,225

 16,452

 Commitments and contingencies (Note 8)

 Stockholders' equity

 Preferred stock: $ 0.0001 par value — 10,000,000 shares authorized at December 31, 2024 and 2023; none issued and outstanding at December 31, 2024 and 2023

 —

 —

 Common stock: $ 0.0001 par value — 492,000,000 shares authorized at December 31, 2024 and 2023; 15,022,122 and 11,163,896 shares issued and outstanding at December 31, 2024 and 2023, respectively

 Additional paid-in capital

 302,541

 248,039

 Accumulated deficit

 ( 240,869
)

 ( 169,600
)

 Total stockholders' equity

 61,674

 78,440

 Total liabilities and stockholders' equity

 $
 79,899

 $
 94,892

 The accompanying notes are an integral part of
these consolidated financial statements.

 F- 4

 CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE
LOSS

 (in thousands, except share and per share
data)

 Year Ended

 2024

 2023

 Operating expenses

 Research and development

 $
 55,821

 $
 51,785

 General and administrative

 20,418

 17,076

 Total operating expenses

 76,239

 68,861

 Loss from operations

 ( 76,239
)

 ( 68,861
)

 Interest income

 5,058

 5,199

 Change in fair value of earnout liability

 —

 Change in fair value of common stock warrant liability

 —

 ( 575
)

 Other expense, net

 ( 88
)

 ( 246
)

 Total other income, net

 4,970

 4,396

 Net loss and comprehensive loss

 $
)

 $
)

 Net loss per share attributable to common stockholders, basic and diluted

 $
 ( 4.89
)

 $
 ( 6.18
)

 Weighted-average shares used in computing net loss per share attributable to common stockholders, basic and diluted

 14,584,870

 10,439,034

 The accompanying notes are an integral part of
these consolidated financial statements.

 F- 5

 CONSOLIDATED STATEMENTS OF STOCKHOLDERS'
EQUITY

 (in thousands, except share data)

 Common Stock

 Additional
 Paid-In

 Accumulated

 Total
 Stockholders'

 Shares

 Amount

 Capital

 Deficit

 Equity

 Balance as of December 31, 2022

 3,804,427

 $
 —

 $
 141,124

 $
 ( 105,135
)

 $
 35,989

 Issuance of common stock upon exercise of stock options

 54,580

 —

 —

 Issuance of common stock through underwritten offering, net of discounts and commissions and offering expenses of $ 6.6 million

 6,900,000

 96,969

 —

 96,970

 Issuance of common stock through ATM offering, net of commissions and offering expenses of $ 0.1 million

 233,747

 —

 4,509

 —

 4,509

 Reclassification of common stock warrants from liability to equity (Note 7)

 —

 —

 —

 Settlement of restricted stock units

 238,605

 —

 —

 —

 —

 Shares withheld for taxes

 ( 80,462
)

 —

 ( 960
)

 —

 ( 960
)

 Issuance of common stock pursuant to Employee Stock Purchase Plan

 12,999

 —

 —

 Vesting of founders' restricted stock

 —

 —

 —

 Stock-based compensation expense

 —

 —

 5,211

 —

 5,211

 Net loss

 —

 —

 —

)

)

 Balance as of December 31, 2023

 11,163,896

 248,039

 ( 169,600
)

 78,440

 Issuance of common stock upon exercise of stock options

 33,735

 —

 —

 Issuance of common stock through underwritten offering, net of discounts and commissions and issuance costs of $ 3.3 million

 3,900,000

 47,194

 —

 47,195

 Issuance of common stock pursuant to Employee Stock Purchase Plan

 29,491

 —

 —

 Forfeiture of shares subject to earnout (Note 7)

 ( 105,000
)

 —

 —

 —

 —

 Stock-based compensation expense

 —

 —

 6,619

 —

 6,619

 Net loss

 —

 —

 —

)

)

 Balance as of December 31, 2024

 15,022,122

 $

 $
 302,541

 $
 ( 240,869
)

 $
 61,674

 The accompanying notes are an integral part of
these consolidated financial statements.

 F- 6

 CONSOLIDATED STATEMENTS OF CASH FLOWS

 (in thousands)

 Year Ended

 2024

 2023

 Cash flows used in operating activities

 Net loss

 $
)

 $
)

 Adjustments to reconcile net loss to net cash used in operating activities

 Depreciation and amortization expense

 1,373

 1,108

 Non-cash lease expense

 Stock-based compensation expense

 6,619

 5,211

 Change in fair value of common stock warrant liability

 —

 Change in fair value of earnout liability

 —

 ( 18
)

 Loss on disposal of property and equipment

 —

 Changes in operating assets and liabilities:

 Prepaid expenses and other current assets

 ( 2,123
)

 Other receivables

 —

 Other non-current assets

 ( 584
)

 Accounts payable

 ( 122
)

 2,381

 Accrued expenses and other current liabilities

 2,868

 2,821

 Operating lease liability

 ( 973
)

 ( 865
)

 Other non-current liabilities

 —

 ( 80
)

 Net cash used in operating activities

 ( 62,602
)

 ( 52,067
)

 Cash flows used in investing activities

 Purchases of property and equipment

 ( 552
)

 ( 267
)

 Proceeds from sales of property and equipment

 —

 Net cash used in investing activities

 ( 532
)

 ( 267
)

 Cash flows from financing activities

 Proceeds from issuance of common stock through ATM and underwritten offerings, net

 47,195

 101,479

 Proceeds from exercise of common stock options

 Proceeds from issuance of common stock pursuant to Employee Stock Purchase Plan

 Taxes withheld and paid related to net settlement of equity awards

 —

 ( 960
)

 Net cash provided by financing activities

 47,884

 100,971

 Net increase (decrease) in cash, cash equivalents and restricted cash

 ( 15,250
)

 48,637

 Cash, cash equivalents and restricted cash at beginning of the year

 87,304

 38,667

 Cash, cash equivalents and restricted cash at end of the year

 $
 72,054

 $
 87,304

 Supplemental and non-cash items reconciliations:

 Reclassification of common stock warrant liability into additional paid-in capital

 $
 —

 $

 The accompanying notes are an integral part of
these consolidated financial statements.

 F- 7

 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

 NOTE 1. ORGANIZATION AND DESCRIPTION OF BUSINESS

 Description of Business

 Jasper Therapeutics, Inc.
and its consolidated subsidiary, Jasper Tx Corp. (collectively, "Jasper" or the "Company"), is a clinical-stage
biotechnology company focused on developing therapeutics targeting mast cell driven diseases such as chronic spontaneous urticaria, chronic
inducible urticaria and asthma. The Company has also explored diseases where targeting diseased hematopoietic stem cells can provide benefits,
such as stem cell transplant conditioning regimens.

 The Company is headquartered in Redwood City, California.
The Company is a Delaware corporation and was incorporated in March 2018. In September 2021, the Company completed a merger with Amplitude
Healthcare Acquisition Corporation ("AMHC") and became a public company.

 NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

 Basis of Presentation

 The consolidated financial statements and accompanying
notes have been prepared in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP")
and applicable rules and regulations of the U.S. Securities and Exchange Commission for financial reporting.

 The financial statements are consolidated for the
years ended December 31, 2024 and 2023, and include the accounts of Jasper Therapeutics, Inc. and its wholly-owned subsidiary, Jasper
Tx Corp. All intercompany transactions and balances have been eliminated upon consolidation.

 Going Concern

 In accordance with Accounting Standards Codification
("ASC") Topic 205-40, Going Concern, the Company evaluated whether there are conditions and events, considered in the aggregate,
that raise substantial doubt about its ability to continue as a going concern within one year after the date that the consolidated financial
statements are issued. This evaluation initially does not take into consideration the potential mitigating effect of the Company's
plans that have not been fully implemented as of the date the financial statements are issued. When substantial doubt exists under this
methodology, the Company evaluates whether the mitigating effect of its plans sufficiently alleviates substantial doubt about its ability
to continue as a going concern. The mitigating effect of the Company's plans, however, is only considered if both (1) it is probable
that the plans will be effectively implemented within one year after the date that the financial statements are issued, and (2) it is
probable that the plans, when implemented, will mitigate the relevant conditions or events that raise substantial doubt about the Company's
ability to continue as a going concern within one year after the date that the consolidated financial statements are issued. In performing
this analysis, the Company excluded certain elements of its operating plan that cannot be considered probable.

 The Company has incurred significant losses and
negative cash flows from operations since its inception. During the years ended December 31, 2024 and 2023, the Company incurred net losses
of $ 71.3 million and $ 64.5 million, respectively. During the years ended December 31, 2024 and 2023, the Company had negative operating
cash flows of $ 62.6 million and $ 52.1 million, respectively. As of December 31, 2024, the Company had an accumulated deficit of $ 240.9
million. The Company expects to continue to incur substantial losses, and its ability to achieve and sustain profitability will depend
on the successful development, approval, and commercialization of product candidates and on the achievement of sufficient revenues to
support the Company's cost structure.

 F- 8

 Management expects to finance the Company's
future cash needs through equity or debt financings, collaborations or a combination of these approaches. However, due to several factors,
including those outside management's control, there can be no assurance that the Company
will be able to complete additional financings. The Company's ability to raise additional funds may be adversely impacted by negative
global economic conditions and any disruptions to and volatility in the credit and financial markets in the United States and worldwide
or other factors. There can be no assurance that the Company will be successful in acquiring additional funding at levels sufficient to
fund its operations or on terms favorable or acceptable to the Company. If the Company is unable to obtain adequate financing when needed
or on terms favorable or acceptable to it, the Company may be forced to delay, reduce the scope of or eliminate one or more of its research
and development programs. The Company concluded the likelihood that its plan to successfully obtain sufficient funding or adequately delay
or reduce expenditures, while reasonably possible, is less than probable. As of December 31, 2024, the Company had cash and cash equivalents
of $ 71.6 million. The Company's management expects that the existing cash and cash equivalents will not be sufficient to fund
the Company's operating plans for at least twelve months from the issuance date of these consolidated financial statements. Accordingly,
the Company has concluded that substantial doubt exists about its ability to continue as a going concern.

 The consolidated financial statements have been
prepared on a going concern basis, which contemplates the realization of assets and satisfaction of liabilities in the ordinary course
of business. The consolidated financial statements do not include any adjustments relating to the recoverability and classification of
recorded asset amounts or the amounts and classification of liabilities that might result from the outcome of the uncertainties described
above.

 Reverse Stock Split

 On January 4, 2024, the Company effected a 1-for-10
reverse stock split (the "Reverse Stock Split") of its common stock. The par value per share and the number of authorized
shares were not adjusted as a result of the Reverse Stock Split. The shares of common stock underlying outstanding stock options, common
stock warrants and other equity instruments were proportionately reduced and the respective exercise prices, if applicable, were proportionately
increased in accordance with the terms of the agreements governing such securities. In addition, the shares available for grants under
the Company's incentive plans were adjusted as a result of the Reverse Stock Split. All references to common stock, options to purchase
common stock, outstanding common stock warrants, common stock share data, per share data, and related information contained in the consolidated
financial statements have been retrospectively adjusted to reflect the effect of the Reverse Stock Split for all periods presented.

 Use of Estimates

 The preparation of consolidated financial statements
in conformity with U.S. GAAP requires management to make estimates, assumptions and judgements that affect the reported amounts of
assets and liabilities and disclosure of contingent liabilities as of the date of the consolidated financial statements and the reported
amounts of income and expenses during the reporting periods. Significant estimates and assumptions made in the consolidated financial
statements include but are not limited to, the determination of the accrued research and development expenses, and the measurement of
stock-based compensation expense. The Company evaluates its estimates and assumptions on an ongoing basis using historical experience
and other factors and adjusts those estimates and assumptions when facts and circumstances dictate. Actual results could materially differ
from those estimates.

 Cash, Cash Equivalents, and Restricted Cash

 The following table provides a reconciliation of
cash and cash equivalents and restricted cash reported within the consolidated balance sheets that sum to the total amount shown in the
consolidated statements of cash flows (in thousands):

 2024

 2023

 Cash and cash equivalents

 $
 71,637

 $
 86,887

 Restricted cash

 Total cash, cash equivalents and restricted cash

 $
 72,054

 $
 87,304

 Cash and cash equivalents consist of cash held
in operating accounts and investments in money market funds. Restricted cash relates to the letter of credit secured in conjunction with
the operating lease (Note 8).

 F- 9

 Concentrations of Credit Risk and Other Risks and Uncertainties

 The Company's cash and cash equivalents are
maintained with financial institutions in the United States of America. Cash balances are held at financial institutions and account
balances may exceed federally insured limits. To date, the Company has not experienced any losses on its cash, cash equivalents and marketable
securities' balances and periodically evaluates the creditworthiness of its financial institutions.

 The Company is subject to risks common to companies
in the development stage, including, but not limited to, development and regulatory approval of new product candidates, development of
markets and distribution channels, dependence on key personnel, and the ability to obtain additional capital as needed to fund its product
plans. To achieve profitable operations, the Company must successfully develop and obtain requisite regulatory approvals for, manufacture,
and market its product candidates. There can be no assurance that any such product candidate can be developed and approved or manufactured
at an acceptable cost and with appropriate performance characteristics, or that such product will be successfully marketed. These factors
could have a material adverse effect on the Company's future financial results.

 Products developed by the Company require approval
from the U.S. Food and Drug Administration (the "FDA") or other international regulatory agencies prior to commercial
sales. There can be no assurance that the Company's future products will receive the necessary clearances. If the Company were denied
such clearances or such clearances were delayed, it could have a materially adverse impact on the Company.

 Property and Equipment, Net

 Property and equipment, net is stated at cost less
accumulated depreciation and amortization. Depreciation and amortization are recorded using the straight-line method over the estimated
useful lives of the assets, generally 3 to 5 years. Leasehold improvements are amortized over the shorter of the estimated useful
life of the asset or the remaining term of the lease. Upon the sale or retirement of assets, the cost and related accumulated depreciation
and amortization are removed from the balance sheets and the resulting gain or loss is reflected in the consolidated statements of operations
and comprehensive loss. Maintenance and repairs are charged to operations as incurred.

 Impairment of Long-Lived Assets

 The Company reviews its long-lived assets for impairment,
principally property and equipment, whenever events or changes in business circumstances indicate the carrying amount of an asset may
not be fully recoverable. Recoverability of assets held and used is measured by comparing the carrying amount of an asset to future net
cash flows expected to be generated by the asset. If the Company determines that the carrying value of long-lived assets may not be recoverable,
the impairment to be recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets.
Fair value is determined through various valuation techniques, principally discounted cash flow models, to assess the fair values of long-lived
assets. The Company did not record any impairment of long-lived assets during the years ended December 31, 2024 and 2023.

 Leases

 The Company determines whether an arrangement is
or contains a lease at the inception of the arrangement and whether such a lease is classified as a financing lease or operating lease
at the commencement date of the lease. Leases with a term greater than one year are recognized on the balance sheet as operating right-of-use
assets, current portion of operating lease liabilities and non-current portion of operating lease liabilities. The Company elected not
to recognize the right-of-use assets and lease liabilities for leases with lease terms of 12 months or less (short-term leases). Lease
liabilities and their corresponding right-of-use assets are recorded based on the present value of lease payments over the expected lease
term. As the interest rate implicit in the Company's lease contracts is not readily determinable, the Company utilizes a collateralized
incremental borrowing rate based on the information available at the commencement date to determine the present value of lease payments.
Certain adjustments to the right-of-use asset may be required for items such as initial direct costs paid or
incentives received and impairment charges if the Company determines the right-of-use asset is impaired.

 F- 10

 The Company considers the lease term to be the
noncancelable period that it has the right to use the underlying asset, together with any periods where it is reasonably certain it will
exercise an option to extend (or not terminate) the lease. Periods covered by an option to extend (or not terminate) the lease in which
the exercise of the option is controlled by the lessor are included in the lease term.

 Rent expense for operating leases is recognized
on a straight-line basis over the lease term and is presented in operating expenses on the consolidated statements of operations and comprehensive
loss. The Company has elected to not separate lease and non-lease components for its real estate leases and has instead accounted for
each separate lease component and the non-lease components associated with that lease component as a single lease component. Variable
lease payments are recognized as lease expense as incurred and are presented in operating expenses on the consolidated statements of operations
and comprehensive loss.

 The Company has no finance leases as of December
31, 2024 and 2023.

 Fair Value of Financial Instruments

 The Company's financial instruments consist
of cash and cash equivalents, prepaid expenses and other current assets, accounts payable, accrued expenses and other current liabilities,
earnout liability and other non-current liabilities. Fair value is defined as the price that would be received to sell an asset or paid
to transfer a liability in an orderly transaction between market participants at the measurement date. As such, fair value is a market-based
measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. The carrying
amounts of cash, prepaid expenses and other current assets, accounts payable, accrued expenses and other current liabilities, approximate
fair value due to their short-term maturities.

 Common Stock Warrant Liability

 The Company has 4,999,863 outstanding warrants
to purchase an aggregate of 499,986 shares of its common stock (the "Common Stock Warrants"), all of which were issued in
connection with AMHC's initial public offering and entitle a holder to purchase one share of the Company's common stock for
every ten warrants at an exercise price of $ 115.00 per share. The Common Stock Warrants are publicly traded and exercisable during the
exercise period, which commenced on October 24, 2021 and ends on September 24, 2026, for cash or, in certain circumstances, on a cashless
basis. The Common Stock Warrants are accounted as derivative financial instruments. As long as the Company had shares of non-voting common
stock outstanding, the Common Stock Warrants did not meet the equity classification guidance and were accounted as non-current liabilities
at fair value. The Common Stock Warrants were subsequently remeasured at each reporting date with changes in fair value recorded in the
consolidated statements of operations and comprehensive loss until exercise or expiration. On January 31, 2023, the 91,102 outstanding
shares of the Company's non-voting common stock were converted into 91,102 shares of the Company's voting common stock per
the holder's request, leaving no shares of non-voting common stock remaining outstanding as of January 31, 2023. Upon conversion
of all outstanding shares of non-voting common stock into shares of voting common stock, the Common Stock Warrants met the equity classification
guidance and were reclassified to equity at the then-current fair value of $ 0.7 million. The Company recognized a loss of $ 0.6 million
for the year ended December 31, 2023, classified within change in fair value of common stock warrant liability in the consolidated statements
of operations and comprehensive loss.

 Accrued Research and Development Expenses

 The Company has entered into various agreements
with outsourced vendors, contract manufacturing organizations and clinical research organizations. The Company makes estimates of accrued
research and development expenses as of each balance sheet date based on facts and circumstances known at that time. The Company periodically
confirms the accuracy of its estimates with the service providers and makes adjustments, if necessary. Research and development accruals
are estimated based on the level of services performed, progress of the studies, including the phase or completion of events, and contracted
costs. The estimated costs of research and development services provided, but not yet invoiced, are included in accrued expenses on the
consolidated balance sheets. If the actual timing of the performance of services or the
level of effort varies from the original estimates, the Company will adjust the accrual accordingly. Payments made under these arrangements
in advance of the performance of the related services are recorded as prepaid expenses and other current assets until the services are
rendered. To date, there have been no material differences between estimates of such expenses and the amounts actually incurred.

 F- 11

 Research and Development

 The Company expenses research and development ("R&D")
expenses as incurred. R&D expenses consist primarily of personnel-related expenses, clinical studies, engineering and product development
costs to support regulatory clearance of, and related regulatory compliance for, the Company's products. Specifically, R&D expenses
that support regulatory approval of, and related regulatory compliance for, the Company's products include costs associated with
the Company's clinical studies, consisting of clinical trial design, clinical site establishment and management, clinical data management,
travel expenses and the costs of products used for the Company's clinical trials. Personnel-related expenses include salaries, benefits,
bonuses and stock-based compensation of the Company's R&D employees. Non personnel-related expenses include costs of outside
consultants, testing, materials and supplies, and allocated overhead. The Company allocates overheads related to rent, facility costs,
information technology and human resources costs. R&D expenses are charged to expense when incurred.

 General and Administrative

 General and administrative expenses include compensation,
employee benefits and stock-based compensation for executive management, finance administration and human resources, allocated facility
and information technology costs, professional service fees and other general overhead costs, including allocated depreciation to support
the Company's operations.

 Stock-Based Compensation

 The Company measures its stock options granted
to employees and non-employees based on the estimated fair values of the awards as of the grant date using the Black-Scholes option-pricing
model. The model requires management to make a number of assumptions, including expected volatility, expected term, risk-free interest
rate and expected dividend yield. For restricted stock unit awards, the estimated fair value is the fair market value of the underlying
stock on the grant date. The Company expenses the fair value of its equity-based compensation awards on a straight-line basis over the
requisite service period, which is the period in which the related services are received. The Company accounts for award forfeitures as
they occur. The expense for stock-based awards with performance conditions is recognized when it is probable that a performance condition
is met during the vesting period.

 Income Taxes

 The Company accounts for income taxes using the
asset and liability method. The Company recognizes deferred tax assets and liabilities for the expected future tax consequences of events
that have been included in the consolidated financial statements or tax returns. Deferred tax assets and liabilities are determined based
on the difference between the consolidated financial statements and tax basis of assets and liabilities using enacted tax rates in effect
for the year in which the differences are expected to reverse.

 In evaluating the ability to recover its deferred
income tax assets, the Company considers all available positive and negative evidence, including its operating results, ongoing tax planning,
and forecasts of future taxable income on a jurisdiction-by-jurisdiction basis. In the event the Company determines that it would be able
to realize its deferred income tax assets in the future in excess of their net recorded amount, it would make an adjustment to the valuation
allowance that would reduce the provision for income taxes. Conversely, if all or part of the net deferred tax assets are determined not
to be realizable in the future, an adjustment to the valuation allowance would be charged to the provision of income taxes in the period
when such determination is made. As of December 31, 2024 and 2023, the Company has recorded a full valuation allowance on its deferred
tax assets.

 Tax benefits related to uncertain tax positions
are recognized when it is more likely than not that a tax position will be sustained during an audit. Interest and penalties related to
unrecognized tax benefits are included within the provision for income tax. To date, there have been no interest or penalties recorded
in relation to unrecognized tax benefits.

 F- 12

 Foreign Currency Transactions

 Transactions denominated in foreign currencies
are initially measured in U.S. dollars using the exchange rate on the date of the transaction. Foreign currency denominated monetary assets
and liabilities are subsequently re-measured at the end of each reporting period using the exchange rate at that date, with
the corresponding foreign currency transaction gain or loss recorded in the consolidated statements of operations and comprehensive loss
and consolidated statements of cash flows. Nonmonetary assets and liabilities are not subsequently re-measured.

 Comprehensive Loss

 Comprehensive loss represents all changes in stockholders'
equity except those resulting from distributions to stockholders. There have been no items qualifying as other comprehensive income (loss)
during the years ended December 31, 2024 and 2023, and therefore, the Company's comprehensive loss was the same as its reported
net loss.

 Net Loss per Share Attributable to Common Stockholders

 Basic
net loss per common share is calculated by dividing the net loss attributable to common stockholders by the weighted-average number of
shares of common stock outstanding during the period, without consideration of potentially dilutive securities. Diluted net loss per share
is computed by dividing the net loss attributable to common stockholders adjusted for income (expenses), net of tax, related to any diluted
securities, by the weighted-average number of shares of common stock and potentially dilutive securities outstanding for the period. For
purposes of the diluted net loss per share calculation, the redeemable convertible preferred stock, common stock subject to repurchase,
common stock subject to restricted stock awards, the Earnout Shares (as defined in Note 7),
the Common Stock Warrants and stock options are considered to be potentially dilutive securities.

 Basic and diluted net loss attributable to common
stockholders per share is presented in conformity with the two-class method required for participating securities. The Company considers
all series of its redeemable convertible preferred stock, common stock subject to repurchase, common stock subject to restricted stock
awards and the Earnout Shares to be participating securities as the holders are entitled to receive dividends on a pari passu basis in
the event that a dividend is paid on common stock. The Company's participating securities do not have a contractual obligation to
share in the Company's losses. As such, the net loss is attributed entirely to common stockholders. For the years ended December
31, 2024 and 2023, the diluted net loss per common share was the same as basic net loss per share of common stock, as the impact of potentially
dilutive securities was antidilutive to the net loss per common share. The Earnout Shares and common stock subject to restricted stock
awards are contingently issuable shares and are not included in the diluted net loss per share calculation until contingencies are resolved.

 Segment Reporting

 The Company has one reportable and operating segment.
Financial information about the Company's operating segment is presented in Note 15.

 All long-lived assets are located in the United
States.

 Recent Accounting Pronouncements

 Recently Adopted Accounting Pronouncements

 In June 2022, the Financial Accounting Standards
Board ("FASB") issued Accounting Standards Update ("ASU") No. 2022-03, Fair Value Measurement (Topic 820): Fair
Value Measurement of Equity Securities Subject to Contractual Sales Restrictions, which (1) clarifies the guidance in Topic 820 on the
fair value measurement of an equity security that is subject to contractual restrictions that prohibit
the sale of an equity security and (2) requires specific disclosures related to such an equity security. This guidance is effective for
fiscal years beginning after December 15, 2023, and interim periods within those fiscal years. The Company adopted ASU 2022-03 as of January
1, 2024, and the adoption did not have a material impact on the Company's consolidated financial statements.

 F- 13

 In November 2023, the FASB issued ASU No. 2023-07, Segment Reporting
(Topic 280): Improvements to Reportable Segment Disclosures. This ASU requires public entities to disclose information about their reportable
segments' significant expenses and other segment items on an interim and annual basis. Public entities with a single reportable
segment are required to apply the disclosure requirements in ASU 2023-07, as well as all existing segment disclosures and reconciliation
requirements in ASC Topic 280 on an interim and annual basis. ASU No. 2023-07 is effective for fiscal years beginning after December 15,
2023, and for interim periods within fiscal years beginning after December 15, 2024. The Company adopted ASU 2023-07 as of December 31,
2024. The adoption of this standard did not impact the Company's reportable segments and additional required disclosures have been
included in Note 15.

 In March 2024, the FASB issued
ASU No. 2024-02, Codification Improvements - Amendments to Remove References to the Concepts Statements ("ASU 2024-02"). ASU
2024-02 clarifies and simplifies references to certain concept statements within U.S. GAAP and applies to all reporting entities within
the scope of the affected accounting guidance, but in most instances the references removed are extraneous and not required to understand
or apply the guidance. ASU 2024-02 is effective for fiscal years beginning after December 15, 2024 for public entities and for fiscal
years beginning after December 15, 2025 for all other entities, with early application permitted. The Company adopted this standard in
the consolidated financial statements for the year ended December 31, 2024. The adoption of this standard did not have a material impact
on its consolidated financial statements at the adoption date.

 Accounting Pronouncements Not Yet Adopted

 In December 2023, the FASB issued ASU No. 2023-09,
Income Taxes (Topic 740): Improvements to Income Tax Disclosures. This ASU requires public entities, on an annual basis, to provide disclosure
of specific categories in the rate reconciliation, as well as disclosure of income taxes paid disaggregated by jurisdiction. ASU No. 2023-09
is effective for fiscal years beginning after December 15, 2024, with early adoption permitted. The Company does not expect the adoption
of this ASU to have a significant impact on the Company's consolidated financial statements.

 In November 2024, the FASB issued ASU No.
2024-03, Income Statement-Reporting Comprehensive Income-Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income
Statement Expenses to improve financial reporting by requiring that public business entities disclose additional information about specific
expense categories in the notes to financial statements at interim and annual reporting periods. In January 2025, the FASB issued ASU
No. 2025-01, Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40): Clarifying the
Effective Date ("ASU 2025-01"). The amendments do not change or remove current expense disclosure requirements; however, the
amendments affect where such information appears in the notes to financial statements because entities are required to include certain
current disclosures in the same tabular format disclosure as the other disaggregation requirements in the amendments. The amendments are
effective for annual reporting periods beginning after December 15, 2026, and interim reporting periods beginning after December 15, 2027.
Early adoption is permitted. The Company is currently evaluating the impact of adopting this ASU to its consolidated financial statements.

 F- 14

 NOTE 3. FAIR VALUE MEASUREMENTS

 The Company measures certain financial assets
and liabilities at fair value on a recurring basis. Fair value is an exit price, representing the amount that would be received to
sell an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a
market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or a
liability. A three-tier fair value hierarchy is established as a basis for considering such assumptions and for inputs used in the
valuation methodologies in measuring fair value:

 Level 1 – Inputs are unadjusted,
quoted prices in active markets for identical assets or liabilities at the measurement date;

 Level 2 – Inputs are observable,
unadjusted quoted prices in active markets for similar assets or liabilities, unadjusted quoted prices for identical or similar assets
or liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for
substantially the full term of the related assets or liabilities; and

 Level 3 – Unobservable
inputs that are significant to the measurement of the fair value of the assets or liabilities that are supported by little or no market
data.

 In determining fair value, the Company utilizes
valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible as
well as considers counterparty credit risk in its assessment of fair value.

 Assets and liabilities measured at fair value are
classified in their entirety based on the lowest level of input that is significant to the fair value measurement. The Company's
assessment of the significance of a particular input to the fair value measurement in its entirety requires management to make judgments
and consider factors specific to the asset or liability.

 The fair value of Level 1 securities is determined
using quoted prices in active markets for identical assets. Level 1 securities consist of highly liquid money market funds. In addition,
restricted cash collateralized by money market funds is a financial asset measured at fair value and is a Level 1 financial instrument
under the fair value hierarchy.

 Financial assets and liabilities are considered
Level 2 when their fair values are determined using inputs that are observable in the market or can be derived principally from or corroborated
by observable market data, such as pricing for similar securities, recently executed transactions, cash flow models with yield curves,
and benchmark securities. In addition, Level 2 financial instruments are valued using comparisons to like-kind financial instruments and
models that use readily observable market data as their basis. The Company had no financial instruments classified at Level 2 as of December
31, 2024 and 2023.

 Financial assets and liabilities are considered
Level 3 when their fair values are determined using pricing models, discounted cash flow methodologies, or similar techniques and at least
one significant model assumption or input is unobservable. Level 3 liabilities that are measured at fair value on a recurring basis included
earnout liability as of December 31, 2023, which was recognized in connection with a merger with AMHC in September 2021 and expired in
September 2024. The Company had no financial instruments classified at Level 3 as of December 31, 2024.

 During the periods presented, the Company has not
changed the manner in which it values liabilities that are measured at estimated fair value using Level 3 inputs. There were no transfers
within the hierarchy during the years ended December 31, 2024 and 2023.

 The following tables set forth the fair value of
the Company's financial assets and liabilities measured on a recurring basis by level within the fair value hierarchy (in thousands):

 December 31, 2024

 Level 1

 Level 2

 Level 3

 Total

 Financial assets

 Money market funds

 $
 70,637

 $
 —

 $
 —

 $
 70,637

 Total fair value of assets

 $
 70,637

 $
 —

 $
 —

 $
 70,637

 F- 15

 December 31, 2023

 Level 1

 Level 2

 Level 3

 Total

 Financial assets

 Money market funds

 $
 85,887

 $
 —

 $
 —

 $
 85,887

 Total fair value of assets

 $
 85,887

 $
 —

 $
 —

 $
 85,887

 Financial liabilities

 Earnout liability

 $
 —

 $
 —

 $
 —

 $
 —

 Total fair value of financial liabilities

 $
 —

 $
 —

 $
 —

 $
 —

 The following table sets forth a summary of the
changes in the fair value of the Company's Level 3 financial liabilities (in thousands):

 Earnout Liability

 Fair Value as of December 31, 2022

 $

 Change in the fair value included in other income

 ( 18
)

 Fair Value as of December 31, 2023

 $
 —

 The estimated fair value of the earnout liability
was determined using a Monte Carlo simulation model, which uses a distribution of potential outcomes on a monthly basis over the earnout
period prioritizing the most reliable information available. The assumptions utilized in the calculation were based on the achievement
of certain stock price milestones, including the Company's current common stock price, expected volatility, risk-free rate and expected
term. On September 24, 2024, the earnout liability expired and the Earnout Shares that were previously held in escrow were forfeited and
cancelled.

 As of December 31, 2023, the fair value of the
earnout liability was minimal. The following table presents quantitative information about the inputs and valuation methodologies used
for the Company's fair value measurements classified in Level 3 of the fair value hierarchy at December 31, 2023:

 Fair value
 (in thousands)

 Valuation methodology

 Significant unobservable input

 Earnout liability

 $
 —

 Monte Carlo Simulation

 Common stock price

 $
 7.90

 Expected term (in years)

 0.73

 Expected volatility

 94.0
 %

 Risk-free interest rate

 4.92
 %

 NOTE 4. CONSOLIDATED BALANCE SHEET COMPONENTS

 Prepaid expenses and other current assets

 The following table summarizes the details of prepaid
expenses and other current assets as of the dates set forth below (in thousands):

 2024

 2023

 Research and development prepaid expenses

 $
 2,604

 $

 Prepaid insurance

 Prepaid travel expenses

 Payroll tax credit receivable

 —

 Other prepaid expenses and current assets

 Total

 $
 4,174

 $
 2,051

 F- 16

 Property and equipment, net

 The following table summarizes the details of property
and equipment, net as of the dates set forth below (in thousands):

 2024

 2023

 Leasehold improvements

 $
 2,711

 $
 2,477

 Lab equipment

 2,049

 1,973

 Office furniture & fixtures

 Computer equipment

 Capitalized software

 Property and equipment, gross

 5,682

 5,187

 Less: accumulated depreciation and amortization

 ( 3,807
)

 ( 2,460
)

 Property and equipment, net

 $
 1,875

 $
 2,727

 Depreciation and amortization expense for the years
ended December 31, 2024 and 2023 was $ 1.4 million and $ 1.1 million, respectively.

 Accrued expenses and other current liabilities

 The following table summarizes the details of accrued
expenses and other current liabilities as of the dates set forth below (in thousands):

 2024

 2023

 Research and development accrued expenses

 $
 6,424

 $
 5,169

 Accrued employee and related compensation expenses

 3,100

 1,767

 Other

 Total

 $
 10,121

 $
 7,253

 NOTE 5. CIRM GRANT

 In November 2020, California Institute for Regenerative
Medicine ("CIRM") awarded the Company $ 2.3 million in support of the research project related to a monoclonal antibody that
depletes blood stem cells and enables chemotherapy-free transplants. The award is payable to the Company upon achievement of milestones
that are primarily based on patient enrollment in the Company's clinical trials. CIRM could permanently cease disbursements if milestones
are not met within four months of the scheduled completion date. Additionally, if CIRM determines, in its sole discretion, that the Company
has not complied with the terms and conditions of the grant, CIRM may suspend or permanently cease disbursements. Funds received under
this grant may only be used for allowable project costs specifically identified with the CIRM-funded project. Such costs can include,
but are not limited to, salary for personnel, itemized supplies, consultants, and itemized clinical study costs. Under the terms of the
grant, both CIRM and the Company will co-fund the research project and the amount of the Company's co-funding requirement is predetermined
as a part of the award. Under the terms of the CIRM grant, the Company is obligated to pay royalties and licensing fees based on 0.1 %
of net sales of CIRM-funded product candidates or CIRM-funded technology per $ 1.0 million of CIRM grant. As an alternative to revenue
sharing, the Company has the option to convert the award to a loan. In the event the Company exercises its right to convert the award
to a loan, it would be obligated to repay the loan within ten business days of making such election. Repayment amounts vary dependent
on when the award is converted to a loan, ranging from 60 % of the award granted to amounts received plus interest at the rate of the three-month
LIBOR rate plus 25 % per annum. Since the Company may be required to repay some or all of the amounts awarded by CIRM, the Company accounted
for this award as a liability. Given the uncertainty in amounts due upon repayment, the Company has recorded amounts received without
any discount or interest recorded, and upon determination of amounts that would become due, the Company will adjust accordingly. In the
absence of explicit U.S. GAAP guidance on contributions received by business entities from government entities, the Company has applied
to the CIRM grant the recognition and measurement guidance in Accounting Standards Codification Topic 958-605 by analogy. The Company
has received an aggregate of $ 2.3 million from CIRM through December 31, 2024, of which $ 0.7 million was received during the year ended
December 31, 2023. As of December 31, 2024, $ 50,000 is available for future distribution to the Company under the grant upon the achievement
of a future milestone. As of each of December 31, 2024 and 2023, the amount of CIRM grant received of $ 2.3 million is included in
other non-current liabilities in the consolidated balance sheets.

 F- 17

 NOTE 6. SIGNIFICANT AGREEMENTS

 Amgen License Agreement

 In November 2019, the Company entered into a worldwide
exclusive license agreement with Amgen Inc. ("Amgen") for briquilimab (formerly known as AMG-191 and JSP191) that also includes
translational science and materials from The Board of Trustees of the Leland Stanford Junior University ("Stanford") (the
"Amgen License Agreement"). The Company was assigned and accepted Amgen's rights and obligations, effective November
21, 2019, under the Investigator Sponsored Research Agreement (the "ISRA"), entered into in June 2013, between Amgen and Stanford,
and the Quality Agreement between Amgen and Stanford, effective as of October 7, 2015. Under the ISRA, the Company exercised its option
and entered into a definitive license with Stanford for rights to certain Stanford intellectual property related to the study of briquilimab
(see Stanford License Agreements below).

 The Amgen License Agreement terminates on a country-by-country
basis on the 10th anniversary of the date on which the exploitation of the licensed products is no longer covered by a valid claim under
a licensed patent in such country. On a country-by-country basis, upon the expiration of the term in each country with respect to the
licensed products, the licenses to the Company by Amgen become fully paid and non-exclusive. The Company and Amgen have the right to terminate
the agreement for a material breach as specified in the agreement.

 Stanford License Agreements

 In March 2021, the Company entered into an exclusive
license agreement with Stanford (the "2021 Stanford License Agreement"). In July 2023, the Company entered into an amendment
to the 2021 Stanford License Agreement to modify certain milestones set forth thereunder. The Company received a worldwide, exclusive
license, with a right to sublicense, for briquilimab in the field of depleting endogenous blood stem cells in patients for whom hematopoietic
cell transplantation is indicated. Stanford transferred to the Company certain know-how and patents related to briquilimab (together,
the "Licensed Technology"). Under the terms of this agreement, the Company is required to use commercially reasonable efforts
to develop, manufacture, and sell licensed product and to develop markets for a licensed product. In addition, the Company is required
to use commercially reasonable efforts to meet the milestones as specified in the agreement over the six years from execution of the 2021
Stanford License Agreement and must notify Stanford in writing as each milestone is met.

 The Company is obligated to pay annual license
maintenance fees, beginning on the first anniversary of the effective date of the agreement and ending upon the first commercial sale
of a product, method, or service in the licensed field of use, as follows: $ 25,000 for each first and second year, $ 35,000 for each third
and fourth year and $ 50,000 at each anniversary thereafter ending upon the first commercial sale. The Company is also obligated to pay
late-stage clinical development milestone payments and first commercial sales milestone payments of up to $ 9.0 million in total. The Company
will also pay low single-digit royalties on net sales of licensed products, if approved. The Company paid $ 35,000 and $ 25,000 license
maintenance fee in March 2024 and 2023, respectively, which was recognized as research and development expense in the consolidated statements
of operations and comprehensive loss for the years ended December 31, 2024 and 2023.

 The 2021 Stanford License Agreement expires
on a country-by-country basis on the last-to-expire valid claim of a licensed patent in such country. The Company may terminate the
agreement by giving Stanford written notice at least 12 months in advance of the effective date of termination. The Company may also
terminate the agreement solely with respect to any particular patent application or patent by giving Stanford written notice at
least 60 days in advance of the effective date of termination. Stanford may terminate the agreement after 90 days from a written
notice by Stanford, specifying a problem, including a delinquency on any report required pursuant to the agreement or any payment,
missing a milestone or a material breach, unless the Company remediates the problem in that 90-day period.

 F- 18

 In
December 2024, the Company entered into a co-exclusive license agreement with Stanford (the "2024 Stanford License Agreement").
The Company received a co-exclusive license in the United States, with a right to sublicense, for a certain patent to be used in the field
of the treatment and prevention of human diseases, including the use of anti-CD117 antibodies (other than JSP191) for the purpose of depleting
endogenous blood stem cells in patients for whom hematopoietic cell transplantation is indicated (the "Co-Exclusive Licensed Field
of Use") and an exclusive license in the United States for the use of the same patent in the field provided in the 2021 Stanford
License Agreement (the "Exclusive Licensed Field of Use"). Stanford will have at most one other commercial license for the
licensed patent in the Co-Exclusive Licensed Field of Use. Under the terms of this agreement, the Company is required to use commercially
reasonable efforts to develop, manufacture, and sell a licensed product and to develop markets for a licensed product. In addition, the
Company is required to use commercially reasonable efforts to meet the milestones as specified in the agreement over approximately 4.5
years from the execution of the 2024 Stanford License Agreement and must notify Stanford in writing when, and if, each
milestone is met.

 The Company is obligated to pay a license issue
fee of $ 75,000, following the execution of the Agreement. The Company is also obligated to pay annual license maintenance fees, beginning
on the first anniversary of the effective date of the agreement, as follows: $ 25,000 for each of the first through third years, $ 50,000
for each of the fourth through sixth years and $ 65,000 at each anniversary thereafter. The Company is also obligated to pay clinical development
milestone payments of up to $ 1.3 million and sales milestone payments of up to $ 7.0 million in total. The Company will also pay low single-digit
royalties on net sales of licensed products, if approved. The Company will pay to Stanford a portion of sublicensee consideration if a
sublicense is granted. As of December 31, 2024, the Company recognized $ 75,000 related to the license issue fee as research and development
expense in the statement of operations and comprehensive loss and as accrued expenses and other current liabilities in the consolidated
balance sheet.

 The
Company may terminate the agreement by giving Stanford written notice at least 30 days in advance of the effective date of termination.
Stanford may terminate the agreement by giving the Company 90 days written
notice for a problem, including a delinquency on any report required pursuant to the agreement, missing a milestone or a material breach,
and by giving the Company 30 days written notice for a payment default,
unless the Company remediates the problem in that 90-day or 30-day period.

 NOTE 7. DERIVATIVE FINANCIAL INSTRUMENT

 Contingent Earnout Liability

 Upon the closing of the merger with AMHC and pursuant
to the Sponsor Support Agreement, dated May 5, 2021 and amended on September 24, 2021, by and among the Company, Amplitude Healthcare
Holdings LLC (the "Sponsor") and Jasper Tx Corp., the Sponsor agreed to place the 105,000 earnout shares into escrow
(the "Earnout Shares"), which would have been released as follows: (a) 25,000 Earnout Shares would have been released if,
during the period from and after September 24, 2021 until September 24, 2024 (the "Earnout Period"), over any twenty trading
days within any thirty day consecutive trading day period, the volume-weighted average price of the Company's common stock (the
"Applicable VWAP") was greater than or equal to $115.00, (b) 50,000 Earnout Shares would have been released if, during the
Earnout Period, the Applicable VWAP was greater than or equal to $150.00 and (c) 30,000 Earnout Shares would have been released if, during
the Earnout Period, the Applicable VWAP was greater than or equal to $180.00 (the "triggering events").

 The Earnout Shares placed in escrow were
legally issued and outstanding shares that participated in voting and dividends. Upon the closing of the merger, the contingent
obligation to release the Earnout Shares was accounted for as a liability-classified financial instrument upon the initial
recognition because the triggering events that determined the number of shares required to be released from escrow included events
that were not solely indexed to the common stock of the Company. The earnout liability was remeasured each reporting period with
changes in fair value recognized in earnings. On September 24, 2024, the Earnout Shares were forfeited and cancelled, and the
contingent liability's value became zero, as the triggering events described above were not achieved during the Earnout
Period.

 The estimated fair value of the earnout liability
was minimal as of December 31, 2023. The fair value was estimated using a Monte Carlo simulation model. Assumptions used in the valuation
as of December 31, 2023 are described in Note 3. The Company recognized a gain of less than $ 0.1 million for the year ended December 31,
2023, classified within change in fair value of earnout liability in the consolidated statements of operations and comprehensive loss.
The Company recognized minimal change in fair value of earnout liability during the year ended December 31, 2024.

 F- 19

 NOTE 8. COMMITMENTS AND CONTINGENCIES

 Operating Leases

 As of December 31, 2024, the Company leased approximately 13,400 square
feet of laboratory and office space in Redwood City, California, under an operating lease that expires in August 2026.

 In conjunction with signing the lease, the Company
secured a letter of credit in favor of the lessor in the amount of $ 0.4 million. The funds related to this letter of credit are presented
as restricted cash on the Company's consolidated balance sheets. The lease agreement includes an escalation clause for increased
base rent and a renewal provision allowing the Company to extend this lease for an additional 60 months at the prevailing rental rate,
which the Company is not reasonably certain to exercise. In addition to base rent, the Company pays its share of operating expenses and
taxes.

 The Company also pays variable costs related to
its share of operating expenses and taxes. These variable costs are recorded as lease expense as incurred and presented as operating expenses
in the consolidated statements of operations and comprehensive loss.

 The components of lease costs, which were included
in the Company's consolidated statements of operations and comprehensive loss, are as follows (in thousands):

 Year ended

 2024

 2023

 Lease cost

 Operating lease cost

 $

 $

 Short-term lease cost

 Variable lease cost

 Total lease cost

 $
 1,189

 $

 Supplemental information related to the Company's
operating leases is as follows:

 Year ended

 2024

 2023

 Cash paid for amounts included in the measurement of lease liabilities (in thousands)

 $
 1,153

 $
 1,119

 Weighted average remaining lease term (years)

 1.61

 2.6

 Weighted average discount rate

 8.00
 %

 8.00
 %

 F- 20

 The following table summarizes a maturity analysis
of the Company's operating lease liabilities showing the aggregate lease payments as of December 31, 2024 (in thousands):

 Amount

 Year ending December 31,

 2025

 $
 1,187

 2026

 Total undiscounted lease payments

 1,927

 Less imputed interest

 ( 114
)

 Total discounted lease payments

 1,813

 Less current portion of lease liability

 ( 1,089
)

 Noncurrent portion of lease liability

 $

 Stanford Sponsored Research Agreement

 In September 2020, the Company entered into a sponsored
research agreement with Stanford for a research program related to the treatment of Fanconi Anemia patients in Bone Marrow Failure requiring
allogeneic transplant with non-sibling donors at Stanford Lucile Packard Children's Hospital using briquilimab (the "Research
Project"). Stanford will perform the Research Project and is fully responsible for costs and operations related to the Research
Project. In addition, Stanford owns the entire right, title, and interest in and to all technology developed using Stanford facilities
and by Stanford personnel through the performance of the Research Project under this agreement (the "Fanconi Anemia Research Project
IP"). Under this agreement, Stanford granted the Company an exclusive option to license Stanford's rights in the Fanconi Anemia
Research Project IP (the "Fanconi Anemia Option") in the field of commercialization of briquilimab. There is no license granted
or other intellectual property transferred under this agreement until the Fanconi Anemia Option is exercised. As of December 31, 2024,
the Company has not yet exercised the Fanconi Anemia Option.

 As consideration for the services performed by
Stanford under this sponsored research agreement, the Company agreed to pay Stanford a total of $ 0.9 million over approximately three
years upon the achievement of development and clinical milestones, including the FDA filings and patient enrollment. The first milestone
in the amount of $ 0.3 million was achieved in 2020, the second milestone in the amount of $ 0.3 million was achieved in February
2022 and the third and final milestone in the amount of $ 0.3 million was achieved in July 2023. Each milestone was recognized as
a research and development expense in the consolidated statements of operations and comprehensive loss in the period in which the milestone
was achieved.

 License Agreements

 In March 2021, the Company entered into the 2021
Stanford License Agreement (Note 6), which was amended in July 2023, pursuant to which the Company is required to pay annual license maintenance
fees, clinical development and commercial sales milestone payments of up to an aggregate of $ 9.0 million, and low single-digit royalties
on net sales of licensed products. All products were in development as of December 31, 2024, and no royalties were due as of such date.
The Company paid $ 35,000 and $ 25,000 license maintenance fee in March 2024 and 2023, respectively, and recognized this as a research and
development expense in the consolidated statements of operations and comprehensive loss for each of the years ended December 31, 2024
and 2023. As of December 31, 2024 and 2023, no milestones were probable to be achieved and payable.

 In December 2024, the Company entered into the
2024 Stanford License Agreement (Note 6), pursuant to which the Company is required to pay a license issue and annual license maintenance
fees, clinical development and commercial sales milestone payments of up to an aggregate of $ 8.3 million and low single-digit royalties
on net sales of licensed products. All products were in development as of December 31, 2024, and no royalties were due as of such date.
As of December 31, 2024, no milestones were probable to be achieved and payable.

 Legal Proceedings

 The Company, from time to time, may be party to
litigation arising in the ordinary course of business. The Company was not subject to any material legal proceedings during the years
ended December 31, 2024 and 2023, and, to the best of its knowledge, no material legal proceedings are currently pending.

 F- 21

 Guarantees and Indemnifications

 In the normal course of business, the Company enters
into agreements that contain a variety of representations and provide for general indemnification. The Company's exposure under
these agreements is unknown because it involves claims that may be made against the Company in the future. To date, the Company has not
paid any claims or been required to defend any action related to its indemnification obligations. As of December 31, 2024 and 2023, the
Company does not have any material indemnification claims that were probable or reasonably possible and consequently has not recorded
related liabilities.

 NOTE 9. COMMON STOCK

 The Company is authorized to issue 490,000,000 shares
of voting common stock, 2,000,000 shares of non-voting common stock, and 10,000,000 shares of undesignated preferred stock.
There were 15,022,122 shares of voting common stock, no shares of non-voting common stock and no shares of preferred stock
issued and outstanding as of December 31, 2024.

 Holders of the voting common stock and the non-voting common
stock have similar rights, except that non-voting stockholders are not entitled to vote, including for the election of directors. Holders
of voting common stock do not have conversion rights, while holders of non-voting common stock have the right to convert each share
of non-voting common stock held by such holder into one share of voting common stock at such holder's election by providing
written notice to the Company, provided that as a result of such conversion, such holder, together with its affiliates, would not beneficially
own in excess of 9.9 % of the Company's voting common stock following such conversion. On January 31, 2023, 91,102 shares of the
Company's non-voting common stock were fully converted into 91,102 shares of the voting common stock per the holder's request,
and no shares of non-voting common stock remained outstanding after such conversion.

 As of December 31, 2024 and 2023, the Company had
common stock reserved for future issuance as follows:

 2024

 2023

 Outstanding and issued common stock options

 1,628,378

 1,040,875

 Shares issuable upon exercise of common stock warrants

 499,986

 499,986

 Shares available for grant under Equity Incentive Plans

 1,791,291

 119,014

 Shares available for grant under Employee Stock Purchase Plans

 981,370

 111,958

 Shares available for grant under 2022 Inducement Equity Incentive Plan

 16,885

 95,685

 Total shares of common stock reserved

 4,917,910

 1,867,518

 Shelf Registration Statement

 On October 7, 2022, the Company filed a shelf registration
statement on Form S-3 (the "Prior S-3") with the Securities and Exchange Commission (the "SEC"), which was declared
effective on October 18, 2022. The Company could sell from time to time up to $ 150.0 million of common stock, preferred stock, debt securities,
warrants, rights, units or depositary shares comprised of any combination of these securities, for the Company's own account in
one or more offerings under the Prior S-3. On April 28, 2023, the Company filed a new shelf registration statement on Form S-3 ("New
S-3") with the SEC, which was declared effective on May 5, 2023 and superseded the Prior S-3. As of December 31, 2024, the Company
can sell from time to time up to $ 250.0 million of common stock, preferred stock, debt securities, warrants, rights, units or depositary
shares comprised of any combination of these securities, for the Company's own account in one or more offerings under the New S-3.
The terms of any offering under the New S-3 will be established at the time of such offering and will be described in a prospectus supplement
to the New S-3 filed with the SEC prior to the completion of any such offering.

 F- 22

 ATM Offering

 In November 2022, the Company entered into a Controlled
Equity Offering SM Sales Agreement with Cantor Fitzgerald & Co. (the "Agent"), pursuant to which the Company
may offer and sell through or to the Agent, as sales agent or principal, shares of the Company's common stock from time to time
(the "ATM Offering"). On November 10, 2022, the Company filed with the SEC a prospectus supplement under the Prior S-3 in
connection with the ATM Offering, pursuant to which the Company could offer and sell shares of common stock having an aggregate offering
price of up to $ 15.5 million. In January 2023, the Company issued and sold an aggregate of 233,747 shares of common stock for net proceeds
of $ 4.5 million.

 On May 5, 2023, the Company filed with the SEC
a prospectus under the New S-3 in connection with the ATM Offering (the "ATM Prospectus"), pursuant to which the Company can
now offer and sell shares of common stock having an aggregate offering price of up to $ 75.0 million.

 As of December 31, 2024, $ 75.0 million remained
available under the ATM Prospectus.

 Public Offering

 In January 2023, the Company entered into an underwriting
agreement with Credit Suisse Securities (USA) LLC, William Blair & Company, L.L.C. and Oppenheimer & Co. Inc., as the representatives
of the several underwriters named therein (the "2023 Underwriters"), relating to an underwritten public offering under the
Prior S-3 of 6,900,000 shares of common stock, including 900,000 shares issued as a result of the exercise of the 2023 Underwriters'
option to purchase 900,000 shares. The Company received net proceeds of $ 97.0 million.

 Underwritten Offering

 In February 2024, the Company entered into an underwriting
agreement with Cowen and Company, LLC and Evercore Group L.L.C., as the representatives of the several underwriters named therein, related
to an underwritten offering under the New S-3 of 3,900,000 shares of common stock. The Company received net proceeds of $ 47.2 million.

 As of February 25, 2025, $ 124.5 million remained
available and unallocated under the New S-3.

 NOTE 10. STOCK-BASED COMPENSATION

 On June 6, 2024, the Company's 2024 Equity Incentive Plan (the
"2024 Plan") and the 2024 Employee Stock Purchase Plan (the "2024 ESPP") were approved by its stockholders and
became effective, superseding and replacing the Company's 2021 Equity Incentive Plan (the "2021 Plan") and the 2021
Employee Stock Purchase Plan (the "2021 ESPP"), respectively. No further awards or purchase rights will be granted under the
2021 Plan or the 2021 ESPP.

 Under the 2024 Plan, the Company can grant incentive
stock options, nonstatutory stock options, restricted stock awards, stock appreciation rights, restricted stock units ("RSUs"),
performance restricted stock units ("PSUs"), and other stock-based awards to employees, directors, and consultants. Under
the 2024 ESPP, the Company can grant purchase rights to employees to purchase shares of common stock at a purchase price which is equal
to 85 % of the fair market value of common stock on the offering date or on the exercise date, whichever is lower.

 On March 14, 2022, the Compensation Committee
of the Board (the "Compensation Committee") adopted the 2022 Inducement Equity Incentive Plan (the "2022 Inducement
Plan") and on June 2, 2023, the Compensation Committee approved an amendment and restatement of the 2022 Inducement Plan. Under
the 2022 Inducement Plan, the Company may grant nonstatutory stock options, restricted stock awards, stock appreciation rights, RSUs,
performance awards and other awards, but only to an individual, as a material inducement to such individual to enter into employment with
the Company or an affiliate of the Company, who (i) has not previously been an employee or director of the Company or (ii) is rehired
following a bona fide period of non-employment with the Company.

 F- 23

 Stock options under the 2024 Plan and the
2022 Inducement Plan may be granted for periods of up to 10 years and at prices no less than 100 % of the fair market value of the
shares on the date of grant, provided, however, that the exercise price of an incentive stock option (which cannot be granted
pursuant to the 2022 Inducement Plan) granted to a 10 % stockholder may not be less than 110 % of the fair market value of the shares.
Stock options granted to employees and non-employees generally vest ratably over four years.

 As of December 31, 2024, 2,762,719 shares were reserved for issuance
under the 2024 Plan, of which 1,791,291 shares were available for future grant and 971,428 shares were subject to outstanding options
and RSUs, including performance-based awards of 65,894. As of December 31, 2024, options to purchase 143,835 shares of common stock remained
outstanding and unexercised, and continue to be governed by the 2019 Equity Incentive Plan (the "2019 EIP"). As of December
31, 2024, 29,802 shares have been issued under the 2021 ESPP and 18,630 shares under the 2024 ESPP. As of December 31, 2024, 1,000,000
shares were reserved under the 2024 ESPP, of which 981,370 shares were available for future issuance. As of December 31, 2024, 550,000
shares were reserved for issuance under the 2022 Inducement Plan, of which 16,885 shares were available for future grant and 533,115 shares
were subject to outstanding stock options.

 Stock Option Activity

 The following table summarizes the stock option
activities, including performance-based stock options, under the 2024 Plan, the 2021 Plan, the 2022 Inducement Plan and the 2019 EIP for
the year ended December 31, 2024:

 Options
 Outstanding

 Weighted
 Average
 Exercise Price

 Weighted Average
 Remaining
 Contractual
 Life (Years)

 Aggregate
 Intrinsic Value

(in thousands)

 Balance, December 31, 2023

 1,040,875

 $
 19.82

 8.55

 $

 Options granted

 698,817

 $
 19.87

 Options exercised

 ( 33,735
)

 $
 9.79

 Options cancelled/forfeited

 ( 77,579
)

 $
 25.26

 Balance, December 31, 2024

 1,628,378

 $
 19.79

 8.31

 $
 6,608

 Vested and expected to vest, December 31, 2024

 1,628,378

 $
 19.79

 8.31

 $
 6,608

 Exercisable, December 31, 2024

 566,167

 $
 20.45

 7.22

 $
 3,131

 The aggregate intrinsic value represents the difference
between the estimated fair value of the underlying common stock and the exercise price of outstanding, in-the-money options. The total
intrinsic value of the options exercised during the years ended December 31, 2024 and 2023 was $ 0.5 million and $ 0.4 million, respectively.

 The total fair value of options that vested during
the years ended December 31, 2024 and 2023 was $ 5.5 million and $ 3.4 million, respectively. The weighted-average grant date fair value
of options granted during the years ended December 31, 2024 and 2023 was $ 16.89 and $ 12.82 per share, respectively.

 Unamortized stock-based compensation expense as
of December 31, 2024 was $ 14.3 million, which is expected to be recognized over a weighted-average period of 2.64 years, including less
than $ 0.1 million related to performance-based stock options, which is expected to be recognized over a weighted-average period of 0.3 years.

 F- 24

 Performance-based stock options

 The following table summarizes the performance-based
stock options activity under the 2024 Plan and 2021 Plan for the year ended December 31, 2024:

 Options
 Outstanding

 Weighted
 Average
 Exercise Price

 Weighted
 Average
 Remaining
 Contractual
 Life (Years)

 Aggregate
 Intrinsic Value

(in thousands)

 Balance, December 31, 2023

 46,394

 $
 14.19

 7.06

 $

 Options granted

 —

 Options cancelled/forfeited

 ( 500
)

 35.40

 Balance, December 31, 2024

 45,894

 13.95

 6.04

 Vested and expected to vest, December 31, 2024

 45,894

 13.95

 6.04

 Exercisable, December 31, 2024

 30,893

 7.33

 5.43

 Restricted Stock Units (RSUs)

 As of December 31, 2024, the Company had no unvested
outstanding RSUs and no RSUs were granted during the year ended December 31, 2024.

 The total fair value of RSUs that vested during
the year ended December 31, 2023 was $ 1.9 million. There was no unamortized stock-based compensation for RSUs as of December 31, 2023.

 Performance Restricted Stock Units (PSUs)

 The following table provides a summary of PSU activity
under the 2024 Plan during the year ended December 31, 2024:

 Number of Share

 Weighted-
 Average
 Grant Date Fair Value

 Unvested performance-based restricted stock units at December 31, 2023

 —

 $
 —

 Granted

 21.90

 Unvested performance-based restricted stock units at December 31, 2024

 21.90

 Outstanding performance-based restricted stock units at December 31, 2024

 21.90

 In June 2024, the Company granted PSUs for 20,000
shares that will vest in full if the closing price of the Company's common stock on the Nasdaq Capital Market reaches or exceeds
$ 35.00 per share (subject to adjustment for recapitalizations, stock splits and similar transactions) for thirty consecutive calendar
days within two years from the grant date. If the vesting condition is not met within two years from the grant date, the PSUs will be
forfeited. The Company concluded that issued PSUs are equity-based awards and include a market based vesting condition. The Company used
a Monte Carlo simulation model to estimate the fair value of the PSUs with the following assumptions: common stock fair value of $ 23.95,
which was the closing market price of the Company's common stock at the grant date, volatility of 133.00 %, risk free rate of 4.87 %,
and vesting term of 2.0 years. Total estimated fair value of $ 0.4 million was recognized as stock-based compensation expense over 0.4
years, the derived requisite service period from the grant date.

 F- 25

 Employee Stock Purchase Plan

 The Company issued 29,491 and 12,999 shares of
common stock under the 2021 ESPP and 2024 ESPP during the years ended December 31, 2024 and 2023, respectively, and recognized $ 0.2 million
and $ 0.1 million compensation expense related to the 2021 ESPP and 2024 ESPP during the years ended December 31, 2024 and 2023, respectively.
There was no unamortized stock-based compensation for shares issuable under the 2021 ESPP as of December 31, 2024. There was $ 0.7 million
unamortized stock-based compensation for shares issuable under the 2024 ESPP as of December 31, 2024, which is expected to be recognized
over a weighted-average period of 1.5 years. The Company recorded $ 0.1 million in accrued expenses and other current liabilities related
to contributions withheld as of December 31, 2024.

 Stock-Based Compensation Expense

 The following table presents stock-based compensation
expenses related to options, PSUs and RSUs granted to employee and non-employees, ESPP awards and restricted common stock shares issued
to founders (in thousands):

 2024

 2023

 General and administrative

 $
 4,580

 $
 3,607

 Research and development

 2,039

 1,604

 Total

 $
 6,619

 $
 5,211

 The Company recognized $ 0.5 million and less
than $ 0.1 million of stock-based compensation expense related to performance-based options and RSUs during the years ended December 31,
2024 and 2023, respectively.

 Valuation of Stock Options

 The grant date fair value of stock options was
estimated using a Black-Scholes option-pricing model with the following assumptions:

 2024

 2023

 Expected term (in years)

 5.50 – 6.08

 5.25 – 6.08

 Expected volatility

 95.8 % - 123.1 %

 103.31 % – 112.30 %

 Risk-free interest rate

 3.63 % - 4.50 %

 3.45 % – 4.71 %

 Expected dividend yield

 —

 —

 The determination of the fair value of stock options
on the date of grant using a Black-Scholes option-pricing model is affected by the estimated fair value of the Company's common
stock, as well as assumptions regarding a number of variables that are complex, subjective and generally require significant judgment
to determine. The Company estimates the fair value of its common stock based on the closing quoted market price of its common stock as
reported on the Nasdaq Capital Market.

 Expected Term

 The expected term represents the period that the
options granted are expected to be outstanding and is determined using the simplified method (based on the mid-point between the vesting
date and the end of the contractual term) as the Company has concluded that its stock option exercise history does not provide a reasonable
basis upon which to estimate expected term.

 Expected Volatility

 The Company derived the expected volatility from
the average historical volatilities over a period approximately equal to the expected term of comparable publicly traded companies within
its peer group that were deemed to be representative of future stock price trends. The Company will continue to apply this process until
a sufficient amount of historical information regarding the volatility of its own stock price becomes available.

 F- 26

 Risk-Free Interest Rate

 The risk-free interest rate is based on the U.S.
Treasury rate, with maturities similar to the expected term of the stock options.

 Expected Dividend Yield

 The Company does not anticipate paying any dividends
in the foreseeable future and, therefore, uses an expected dividend yield of zero.

 Valuation of ESPP Awards

 The grant date fair value of ESPP awards was estimated
using a Black-Scholes option-pricing model with the following assumptions:

 2024

 2023

 Expected term (in years)

 0.38 – 2.00

 0.50

 Expected volatility

 67.74 % - 154.96 %

 77.80 % - 266.24 %

 Risk-free interest rate

 4.13 % - 5.36 %

 5.39 % - 5.40 %

 Expected dividend yield

 —

 —

 NOTE 11. NET LOSS PER SHARE ATTRIBUTABLE TO COMMON STOCKHOLDERS

 The following table sets forth the computation
of basic and diluted net loss per share attributable to common stockholders (in thousands, except share and per share data):

 2024

 2023

 Numerator:

 Net loss attributable to common stockholders

 $
)

 $
)

 Denominator:

 Weighted average common shares outstanding

 14,661,468

 10,551,290

 Less: Weighted-average unvested restricted shares

 —

 ( 7,256
)

 Less: Shares subject to earnout

 ( 76,598
)

 ( 105,000
)

 Weighted average shares used to compute basic and diluted net loss per share

 14,584,870

 10,439,034

 Net loss per share attributable to common stockholders – basic and diluted

 $
 ( 4.89
)

 $
 ( 6.18
)

 The potential shares of common stock that were
excluded from the computation of diluted net loss per share attributable to common stockholders for the periods presented because including
them would have had an antidilutive effect were as follows:

 2024

 2023

 Outstanding and issued common stock options

 1,628,378

 1,040,875

 Shares issuable upon exercise of common stock warrants

 499,986

 499,986

 Unvested performance-based restricted stock units

 —

 Total

 2,148,364

 1,540,861

 F- 27

 NOTE 12. INCOME TAXES

 During the years ended December 31, 2024 and
2023, the Company did not incur any tax expense or benefit as the Company operated with taxable losses and provided a full valuation allowance.

 The provision for income taxes differs from the
amount computed by applying the federal statutory income tax rate to loss before taxes as follows (in thousands):

 2024

 2023

 Federal tax benefit at statutory rate

 $
 ( 14,966
)

 $
 ( 13,538
)

 State taxes

 ( 2
)

 Change in fair value of warrant liability

 —

 Change in fair value of earnout liability

 —

 ( 4
)

 Non-deductible expenses

 ( 38
)

 Research and development credits

 ( 1,492
)

 ( 1,628
)

 Change in valuation allowance

 15,123

 12,539

 Stock-based compensation

 Other

 1,726

 Provision for income taxes

 $

 $

 Significant components of the Company's net
deferred tax assets (liabilities) as of December 31, 2024 and 2023 were as follows (in thousands):

 2024

 2023

 Deferred tax assets:

 Accrued expenses and other

 $

 $

 Intangibles

 Net operating losses

 31,820

 25,146

 Research and development credits

 6,031

 4,873

 Stock-based compensation

 1,146

 Lease liability

 Section 195 start-up amortization

 Capitalized section 174

 21,128

 14,308

 Other

 Total deferred tax assets

 61,824

 46,953

 Valuation allowance

 ( 61,590
)

 ( 46,465
)

 Total net deferred tax assets

 Deferred tax liabilities:

 Right-of-use asset

 ( 206
)

 ( 308
)

 Fixed assets

 ( 28
)

 ( 180
)

 Total deferred tax liabilities

 ( 234
)

 ( 488
)

 Net deferred tax assets

 $
 —

 $
 —

 A valuation allowance is provided when it is more
likely than not that some portion of the deferred tax assets will not be realized. The Company believes that, based on a number of factors
such as the history of operating losses, it is more likely than not that the deferred tax assets will not be fully realized, such that
a full valuation allowance has been recorded. The valuation allowance increased by $ 15.1 million and $ 12.5 million for the years ended December 31,
2024 and 2023, respectively.

 F- 28

 The following table sets forth the Company's
federal and state net operating loss carryforwards as of December 31, 2024 (in thousands):

 Amount

 Expiration
 Years

 Net operating losses, Federal

 $
 123,147

 Do not expire

 Net operating losses, states primarily California

 $
 131,875

 2038-2042

 As of December 31, 2024, the Company had research
and development credit carryforwards of approximately $ 4.9 million and $ 4.1 million available to reduce future taxable income, if any,
for both federal and California state income tax purposes, respectively. The federal research and development credit carryforwards begin
expiring in 2040, and California credits carryforward indefinitely.

 Utilization of the net operating loss carryforwards and research credit
carryforwards may be subject to an annual limitation due to the ownership percentage change limitations provided by the Internal Revenue
Code, as amended ("IRC"), and similar state provisions. Annual limitations may result in the expiration of the net operating
losses and tax credit carryforwards before they are utilized. As of December 31, 2022, the Company has completed an IRC Section 382 analysis
from inception through the year ended December 31, 2022. The Company experienced an ownership change on November 21, 2019 related to Series
A redeemable convertible preferred stock financing. Any net operating loss generated in excess of the $ 2.9 million will be permanently
limited for California tax purposes. The Company reduced its California net operating loss deferred tax assets balance by the permanently
limited amount of $ 0.6 million. Net federal operating losses are not limited as they can be carried forward indefinitely. The Company
experienced an additional ownership change on September 24, 2021 in connection with the business combination with Amplitude Healthcare
Acquisition Corporation, a special purpose acquisition company. Any further potential ownership change will be evaluated through a section
382 study. However, the Company does not expect there are additional tax attributes that will expire unused before the expiration periods.

 Uncertain Tax Positions

 A reconciliation of the beginning and ending balances
of the unrecognized tax benefits during the periods ended December 31, 2024 and 2023 is as follows (in thousands):

 2024

 2023

 Balance at beginning of year

 $
 2,420

 $
 1,722

 Additions based on tax positions related to current year

 Balance at end of year

 $
 3,059

 $
 2,420

 The Company recognizes interest accrued related
to unrecognized tax benefits and penalties as income tax expense. Related to the unrecognized tax benefits noted above, the Company did
not accrue any penalties or interest during tax year 2024 and 2023. The Company does not expect its unrecognized tax benefit to change
materially over the next twelve months.

 The Company is subject to examination by the United States federal
and state tax authorities for the tax years 2021 and later. State income tax returns are generally subject to examination for a period
of four years after filing of the respective return. To the extent the Company has tax attribute carryforwards, the tax years in which
the attribute was generated may still be adjusted upon examination by the Internal Revenue Service and state tax authorities to the extent
utilized in a future period. No income tax returns are currently under examination by taxing authorities.

 NOTE 13. 401(K) SAVINGS PLAN

 The Company has a retirement and savings plan
under Section 401(k) of the IRC (the "401(k) Plan"), covering all U.S. employees. The 401(k) Plan allows employees to
make pre-tax contributions up to the maximum allowable amount set by the Internal Revenue Service. The Company may make
contributions to the 401(k) Plan at its discretion. $ 0.2 million and $ 0.1 million contributions were made to the 401(k) Plan by the
Company for the years ended December 31, 2024 and 2023, respectively.

 F- 29

 NOTE 14. RELATED PARTIES

 The Company entered into consulting agreements
with two founders, one of whom is also a member of the Board, and each of whom also received founders' common stock shares for services
and assigned patents. The Company recorded $ 0.3 million for advisory and consulting services performed by Professor Judith Shizuru, one
of the founders of the Company and a member of the Board, for each of the years ended December 31, 2024 and 2023. These expenses were
recorded as research and development expenses in the consolidated statements of operations and comprehensive loss. The Company recorded
$ 0.1 million in accounts payable and accrued expenses related to advisory and consulting services performed by Dr. Shizuru as of
December 31, 2024. Also, the Company's Licensed Technology from Stanford (see Note 6) was created in the Stanford laboratory of
Dr. Shizuru.

 In the first quarter of 2024, a senior executive
of the Company joined the Board of Directors of an information technology service provider that the Company has utilized to support a
broad array of the Company's systems infrastructure as well as for general information technology support services. For the year
ended December 31, 2024, the Company paid that service provider $ 1.4 million for various information technology support services.

 NOTE 15. SEGMENT INFORMATION

 The Company has determined it operates as a single
operating and reportable segment, which is the research and development of therapeutic products in the fields of chronic urticaria and
asthma. The Company's chief operating decision maker, its Chief Executive Officer (the "CEO"), manages the Company's
operations on a consolidated basis. The CEO assesses the segments performance and allocates resources based on review of various development,
manufacturing and clinical programs expenses, along with the segment's personnel and general and overhead costs.

 In addition to the significant expense categories included within net
loss presented on the Company's consolidated statements of operations and comprehensive loss, see below for disaggregated amounts that
comprise total operating expenses:

 Year Ended

 2024

 2023

 Personnel-related costs

 $
 27,615

 $
 18,724

 Facilities and overhead costs

 14,356

 13,360

 Program costs

 Briquilimab platform

 5,637

 4,639

 CMO

 9,500

 21,709

 CSU

 10,689

 3,368

 CIndU

 2,234

 Asthma

 1,975

 --

 MDS/AML

 1,824

 3,955

 SCID

 2,409

 2,917

 Total program costs

 34,268

 36,777

 Total operating expense

 76,239

 68,861

 Other income, net

 4,970

 4,396

 Net loss

 $
)

 $
)

 All long-lived assets are located in the United
States.

 F- 30

 ITEM 9. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING
AND FINANCIAL DISCLOSURE

 None.

 ITEM 9A. CONTROLS AND PROCEDURES

 Management's Evaluation of Disclosure Controls and
Procedures

 We maintain disclosure controls and procedures
that are designed to ensure that information required to be disclosed by us in the reports we file or submit under the Exchange Act, is
recorded, processed, summarized and reported within the time periods specified in the SEC's rules and forms. Our disclosure controls
and procedures include, without limitation, controls and procedures designed to ensure that information required to be disclosed by us
in the reports we file under the Exchange Act is accumulated and communicated to our management, including our principal executive officer
and principal financial officer, as appropriate to allow timely decisions regarding required disclosure.

 In designing and evaluating the disclosure controls
and procedures, management recognizes that any controls and procedures, no matter how well designed and operated, can provide only reasonable
assurance of achieving the desired control objectives. As required by Rule 13a-15(b) or Rule 15d-15(b) promulgated by the SEC under the
Exchange Act, we carried out an evaluation, under the supervision and with the participation of our management, including our principal
executive officer and principal financial officer, of the effectiveness of the design and operation of our disclosure controls and procedures
as of the end of the period covered by this Annual Report on Form 10-K. Based on the foregoing, our principal executive officer and principal
financial officer concluded that our disclosure controls and procedures were effective as of the end of the period covered by this Annual
Report on Form 10-K at the reasonable assurance level.

 Management's Annual Report on Internal Control over Financial
Reporting

 Our management is responsible for establishing
and maintaining adequate internal control over financial reporting, as such term is defined in Exchange Act Rules 13a-15(f) and 15d-15(f).
Our management conducted an evaluation of the effectiveness of our internal control over financial reporting as of December 31, 2024 based
on the criteria established in Internal Control - Integrated Framework (2013) issued by the Committee of Sponsoring Organizations
of the Treadway Commission.

 Based on the results of its evaluation, management
concluded that our internal control over financial reporting was effective as of December 31, 2024.

 Attestation Report of the Registered Public Accounting Firm

 This Annual Report on Form 10-K does not include
an attestation report of our registered public accounting firm regarding internal control over financial reporting because as a smaller
reporting company we are not subject to Section 404(b) of the Sarbanes-Oxley Act of 2002.

 Changes in Internal Controls

 There have been no changes in our internal control
over financial reporting (as defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act) during the quarter ended December 31, 2024
that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

 ITEM 9B. OTHER INFORMATION

 During the fiscal quarter ended December 31, 2024,
none of our directors or officers (as defined in Section 16 of the Securities Exchange Act of 1934, as amended) adopted or terminated any
contract, instruction or written plan for the purchase or sale of our securities that was intended to satisfy the affirmative defense
conditions of Rule 10b5-1(c) or any "non-Rule 10b5-1 trading arrangement," as defined in Item 408(a) of Regulation S-K.

 ITEM 9C. DISCLOSURE REGARDING FOREIGN JURISDICTIONS THAT PREVENT
INSPECTIONS

 Not applicable.

 ITEM 10. DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE

 Our business and affairs are
managed under the direction of our Board. Our Board consists of eight directors, all of whom, other than Judith Shizuru, M.D., Ph. D. and
Ronald Martell, qualify as "independent" under the listing standards of the Nasdaq Capital Market ("Nasdaq"),
including Nasdaq Listing Rule 5605(a)(2). Our Board is divided into three staggered classes of directors. At each annual meeting of stockholders,
a class of directors will be elected for a three-year term to succeed the class whose term is then expiring.

 The following table sets forth the names, ages as of February 25, 2025,
and certain other information for each of the members of our Board:

 Class

 Age

 Position

 Director Since

 Current Term Expires

 Kurt von Emster (1)(2)(3)(4)

 I

 2019

 2025

 Scott Brun, M.D. (2)(4)

 I

 2023

 2025

 Vishal Kapoor (1)(3)

 I

 2023

 2025

 Judith Shizuru, M.D., Ph. D. (4)

 II

 2018

 2026

 Tom Wiggans

 II

 Chairperson of the Board*

 2023

 2026

 III

 2022

 2027

 Christian Nolet (2)(3)

 III

 2021

 2027

 Svetlana Lucas, Ph. D. (1)

 III

 2024

 2027

 (1)
 Member of the Nominating and Corporate Governance Committee
of the Board (the "Nominating and Corporate Governance Committee")

 (2)
 Member of the Compensation Committee of the Board (the "Compensation
Committee")

 (3)
 Member of the Audit Committee of the Board (the "Audit
Committee")

 (4)
 Member of the Research and Development Committee of the Board
(the "Research and Development Committee")

 *
 Independent Director

 Kurt von Emster. Mr.
von Emster has served as a member of our Board since September 2021. Mr. von Emster served on the Pre-Merger Board (as defined
below) from November 2019 to September 2021. Mr. von Emster has been a Partner at Abingworth LLP, a venture capital firm, since
January 2015 and as Managing Partner since July 2015. Prior to joining Abingworth, Mr. von Emster was a co-founder and Partner of
venBio LLC, a venture capital firm, from May 2009 until January 2015. In 2001, Mr. von Emster became a General Partner at MPM
Capital, a leading biotechnology private equity firm, and launched the MPM BioEquities Fund, a crossover public and private
biotechnology hedge fund. He was the portfolio manager of this fund from inception in 2001 until his departure in 2009. Mr. von
Emster's investment career started in 1989 at Franklin Templeton Investments where he founded and managed several health and
biotechnology funds in the 1990s. Mr. von Emster has served on the boards of directors of Tizona Therapeutics, Inc. since November
2020, Orbus Therapeutics, Inc. since July 2020, Launch Therapeutics since August 2021, SFJ Pharmaceuticals Inc. since April 2020 and
Iambic Therapeutics since November 2023. He previously served as a director of CymaBay Therapeutics, Inc. (Nasdaq: CBAY) from April
2009 until its acquisition by Gilead Sciences, Inc. in March 2024, CRISPR Therapeutics AG from March 2015 to June 2019, Vera
Therapeutics, Inc. (Nasdaq: VERA) from November 2020 to May 2022, Vaxcyte, Inc. (Nasdaq: PCVX) from June 2019 to June 2022 and
Trishula Therapeutics, Inc. from December 2020 to November 2021. Mr. von Emster holds a B.S. in Business and Economics from the
University of California, Santa Barbara and is a Chartered Financial Analyst (CFA). We believe that Mr. von Emster is qualified to
serve as a member of our Board because of his extensive financial and investment experience, as well as his experience serving on
the boards of directors of other therapeutic and pharmaceutical companies.

 Scott Brun, M.D. Dr.
Brun has served as a member of our Board since June 2023. Dr. Brun is currently President at Gold Mast Consulting, LLC, an advisory firm
he founded in 2019 to provide technical advice and strategic guidance related to biopharmaceutical research and development, pipeline
portfolio management, commercialization of new therapeutics and strategic communications related to R&D activities. Dr. Brun serves
as a Venture Partner at Abingworth LLP and a Senior Medical Advisor to Launch Therapeutics. Prior to his current roles, Dr. Brun had two
decades of experience in various leadership roles at AbbVie, Inc., including 15 years at the predecessor company, Abbott Laboratories.
The majority of his career has been focused on leading teams and clinical development organizations across a broad variety of therapeutic
areas including autoimmune, neurologic and renal, among others. He was most recently Corporate Vice President of Scientific Affairs and
Head of AbbVie Ventures, a corporate venture fund responsible for investment opportunities within AbbVie's R&D therapeutic areas
as well as technology platforms of interest from March 2016 to March 2019. Previously, Dr. Brun served as Corporate Vice President and
Head of Pharmaceutical Development at AbbVie from November 2013 to March 2016. During his tenure at AbbVie, Dr. Brun oversaw a global
organization with responsibilities for AbbVie's entire portfolio of early- and late-stage clinical pre-registration pipeline compounds
as well as marketed compounds within oncology, neurology, immunology, renal, infectious disease, and women's and men's health
therapeutic areas. Prior to joining AbbVie, Dr. Brun spent over 15 years at Abbott Laboratories, where he held positions of increasing
leadership responsibility in drug development within the R&D organization. Dr. Brun is a member of the boards of directors of Axial
Biotherapeutics, Inc. and Trishula Therapeutics, Inc., both private, clinical-stage biopharmaceutical companies, Forte Biosciences, Inc.
(Nasdaq: FBRX), a preclinical-stage company focused on autoimmune diseases, and Cabaletta Bio, Inc. (Nasdaq: CABA), a clinical-stage biotechnology
company focused on the discovery and development of engineered T cell therapies for autoimmune diseases. Previously, Dr. Brun served as
a Senior Advisor to the business development team at Horizon Therapeutics plc (Nasdaq: HZNP) from 2020 to 2023. Dr. Brun received his
B.S. in Biochemistry from the University of Illinois at Urbana-Champaign and earned his M.D. from the Johns Hopkins University School
of Medicine. He completed his residency in ophthalmology at the Massachusetts Eye and Ear Infirmary, Harvard Medical School. We believe
that Dr. Brun is qualified to serve as a member of our Board because of his extensive background in research, development and commercialization
of product candidates, as well as his current and prior service with pharmaceutical and biotechnology companies on matters pertaining
to strategy and operations.

 Vishal Kapoor. Mr.
Kapoor has served as a member of our Board since February 2023. He has been a Partner of Avego Management, LLC, an affiliate of Velan
Capital Partners LP, since January 2021, leading their life sciences venture investing strategy. He was previously with Amplitude Healthcare
Acquisition Corporation from January 2020 until our merger with it in September 2021. Prior to that, Mr. Kapoor was Chief Business Officer
of Iveric bio, Inc. (formerly known as Ophthotech) from April 2015 to December 2019. At Iveric bio, Inc., he was responsible for acquiring
an industry-leading portfolio of gene therapy and therapeutic assets in ophthalmology. From October 2014 to April 2015, Mr. Kapoor was
Director of Corporate Development at NPS Pharmaceuticals, Inc., which Shire PLC acquired in 2015 for approximately $5.2 billion. From
2005 to 2014, Mr. Kapoor spent nine years at Genentech, Inc. in various positions, including leading strategy for ophthalmology and central
nervous system pipeline assets, Lucentis marketing, commercial assessments for business development and medical affairs. In addition,
Mr. Kapoor has previously worked at Pfizer Inc. Mr. Kapoor received an MBA in Finance and Management from Columbia Business School in
2004 and a B.A. in Biology from Columbia University in 1997. We believe that Mr. Kapoor is qualified to serve as a member of our Board
in light of his years of experience in the life sciences industry, including with respect to acquisition, strategy, marketing and business
development.

 Judith Shizuru, M.D., Ph. D.
 Dr. Shizuru has served as a member of our Board since September 2021. Dr. Shizuru is our scientific co-founder and served as a member
of the board of directors of our Company prior to the merger with Amplitude Healthcare Acquisition Corporation (the "Pre-Merger
Board") from March 2018 to September 2021 and as Chair of its Scientific Advisory Board from December 2019 to September 2021. Dr.
Shizuru is a Professor of Medicine (Blood and Marrow Transplantation) and Pediatrics (Stem Cell Transplantation) at Stanford. Dr. Shizuru
is a member of the Stanford Blood and Marrow Transplantation and Cellular Therapy (BMT-CT) faculty, the Stanford Immunology Program, the
Stanford Cancer Institute, and the Institute for Stem Cell Biology and Regenerative Medicine. Dr. Shizuru received a Bachelor's
degree from Bennington College and an M.D. and Ph. D. from the Stanford University School of Medicine. She trained as a resident in adult
internal medicine at the University of California, San Francisco, and in the sub-specialty of hematology at Stanford. Dr. Shizuru has
been attending on the Stanford BM-CT clinical service since 1997, and she oversees a research laboratory. Her laboratory is focused on
understanding the cellular and molecular basis of resistance to engraftment of transplanted allogeneic hematopoietic cells, and the way
in which bone marrow grafts modify immune responses including the induction of immune tolerance. Dr. Shizuru's laboratory has developed
the translational science of anti-CD117 antibodies, and was the first to advance an anti-human CD117 antibody as a transplant conditioning
agent from the laboratory to the clinic. Dr. Shizuru has over 160 publications in the fields of immunology and hematopoietic cell transplantation.
We believe that Dr. Shizuru is qualified to serve as a member of our Board because of her expertise in immunology, antibody and cellular
therapies, and transplant conditioning agents, as well as her knowledge of our technology and product candidates, having co-founded our
Company in 2018.

 Tom Wiggans. Mr.
Wiggans has served as a member of our Board and as its Chairperson since November 2023. He most recently served as the Chief Executive
Officer and chair of the board of directors of Pardes Biosciences, Inc. (Nasdaq: PRDS) from March 2022 until its merger with MediPacific,
Inc. in August 2023. Mr. Wiggans founded Dermira, Inc. (Nasdaq: DERM) in August 2010, and served as its Chief Executive Officer and a
member of its board of directors from August 2010 and as the chairman of its board of directors from April 2014 until Dermira's
acquisition by Eli Lilly and Company in 2020. From October 2007, Mr. Wiggans served as chairman of the board of directors of Peplin, Inc.
and in August 2008, he became its Chief Executive Officer, serving in these positions until Peplin's acquisition by LEO Pharma Inc.
in November 2009. Previously, Mr. Wiggans served as chief executive officer of Connetics USA from 1994, and as chairman of the board of
directors of Connetics from January 2006 until December 2006 when Connetics was acquired by Stiefel Laboratories, Inc. From 1992 to 1994,
Mr. Wiggans served as President and Chief Operating Officer of CytoTherapeutics, Inc., a biotechnology company. From 1980 to 1992, Mr.
Wiggans served at Ares-Serono S.A. in various management positions, including as President of its U.S. pharmaceutical operations and Managing
Director of its U.K. pharmaceutical operations. Mr. Wiggans began his career with Eli Lilly and Company. He currently serves on the board
of directors of Annexon, Inc. (Nasdaq: ANNX), a position he has held since February 2017. Mr. Wiggans has previously served on the boards
of various industry organizations, educational institutions and private and public companies, including service on the boards of directors
of Cymabay Therapeutics, Inc. (Nasdaq: CBAY) from April 2021 until its acquisition by Gilead Sciences, Inc. in March 2024, Onyx Pharmaceuticals
Inc. from March 2005 until its acquisition by Amgen Inc. in October 2013, Sangamo Biosciences, Inc. from June 2008 until June 2012, Somaxon
Pharmaceuticals, Inc. from June 2008 until May 2012, Forma Therapeutics Holdings, Inc. from September 2020 until its acquisition by Novo
Nordisk A/S in October 2022, and as chairman of the board of directors of Excaliard Pharmaceuticals, Inc. from October 2010 until its
acquisition by Pfizer Inc. in December 2011. Mr. Wiggans was instrumental in the formation of the Biotechnology Industry Organization
and served as a member of its board of directors for many years. He is currently a member of the Board of Trustees of the University of
Kansas Endowment Association. Mr. Wiggans holds a B.S. in Pharmacy from the University of Kansas and an M.B.A. from Southern Methodist
University. We believe that Mr. Wiggans is qualified to serve as a member of our Board because of his leadership and business and product
development expertise, as well as his extensive experience in the pharmaceutical and therapeutics industry at both the executive and board
level.

 Ronald A. Martell. Mr. Martell has
served as our President, Chief Executive Officer and a member of our Board since March 2022. Mr. Martell has more than 30 years'
experience building and managing unique businesses in the biotech industry. Mr. Martell has served as a Director of MorphImmune, Inc.
since April 2021, and served as the Chief Executive Officer and President from April 2021 to March 2022. Prior to joining MorphImmune,
Inc., Mr. Martell served as the President and CEO of Nuvelution Pharma, Inc. from November 2019 to March 2021. He was also the Co-Founder
and Executive Chairman of Indapta Therapeutics, Inc. from April 2017 to March 2022. Mr. Martell was the Co-Founder and Executive Chairman
of Orca Bio from January 2016 to June 2019 and the Co-Founder and CEO of Achieve Life Sciences, Inc. from March 2015 to December 2017,
where he led the merger of the company with OncoGenex Pharmaceuticals, Inc. in August 2017. He served on the board of directors of Plus
Therapeutics, Inc. (previously Cytori Therapeutics, Inc.) (Nasdaq: PSTV) from December 2016 until December 2019. He served as Chief Executive
Officer of Sevion Therapeutics, Inc. from June 2014 to January 2015 and Executive Chairman of KaloBios Pharmaceuticals, Inc. from February
2015 to October 2015. Prior to Sevion, Mr. Martell was President and CEO of NeurogesX, Inc. from January 2012 to July 2013 and sold the
company's assets to Acorda Therapeutics, Inc. Prior to NeurogesX, he was Chief Executive Officer of Poniard Pharmaceuticals, Inc.
from February 2010 to March 2013. Before joining Poniard, he served in the capacity of the Office of the CEO and as Senior Vice President
of Commercial Operations at ImClone Systems. Mr. Martell built ImClone Systems' Commercial Operations and field sales force to market
and commercialize Erbitux with partners Bristol-Myers Squibb and Merck KGaA. Prior to joining ImClone Systems, Mr. Martell worked
for 10 years at Genentech, Inc. in a variety of positions, the last of which was Group Manager, Oncology Products. At Genentech, he was
responsible for the launch of Herceptin for metastatic HER-2 positive breast cancer and Rituxan for non-Hodgkin's
lymphoma. Mr. Martell began his career at Roche Pharmaceuticals. We believe that Mr. Martell is qualified to serve as a member of our
Board because of his depth of experience in oncology and cell therapy development and commercialization, as well as deep relationships
across the industry.

 Christian W. Nolet. Mr.
Nolet has served as a member of our Board since September 2021. Mr. Nolet has more than 44 years of experience in various leadership roles
in the audit services profession and in the life sciences industry. Mr. Nolet was an audit partner at Ernst & Young LLP ("EY"),
a professional services firm, from November 2001 to June 2019. While at EY, Mr. Nolet led the West EY Life Sciences Industry Group. He
served on both the Executive Committee and Finance Committee (Chair) of the California Life Sciences industry association from 2000 through
February 2024. Mr. Nolet was also a member of the Finance & Investment Committee and Emerging Companies Section of BIO (the Biotechnology
Innovation Organization). Prior to EY, Mr. Nolet was a partner at PricewaterhouseCoopers LLP from 1991 to 2001. Mr. Nolet holds a B.S.
in Accounting from San Diego State University and is a retired Certified Public Accountant in California. Mr. Nolet has served on the
board of directors of Revance Therapeutics, Inc. (Nasdaq: RVNC) from July 2019 to its acquisition in February 2025, and currently serves
on the board of directors of ArriVent Biopharma, Inc. (Nasdaq: AVBP) since September 2023. He was previously on the board of directors
of PolarityTE, Inc. (Nasdaq: PTE) from April 2020 to January 2023 and on the board of directors of Ambrx Biopharma Inc. (Nasdaq: AMAM)
from January 2021 to November 2021. Mr. Nolet also served on the board of directors of Viela Bio, Inc. (Nasdaq: VIE) from August 2019
until it was acquired in March 2021. We believe that Mr. Nolet is qualified to serve as a member of our Board because of his experience
with multiple life sciences companies ranging from growing venture-capital-backed start-ups to Fortune 100 companies, and his financial
expertise as a former audit partner and retired California Certified Public Accountant.

 Svetlana Lucas, Ph. D. Dr. Lucas has
served as a member of our Board since June 2024. Dr. Lucas has served as the Chief Business Officer at Scribe Therapeutics Inc., a genetic
medicine company, since June 2019, where she established multiple strategic collaborations with pharmaceutical companies, including Sanofi
and Prevail Therapeutics, a subsidiary of Eli Lilly and Company. Previously, she served as Senior Vice President, Business Development
at Tizona Therapeutics, Inc. (Tizona), a clinical-stage immunotherapy company, from January 2019 to June 2019, and prior to that as Vice
President, Business Development from June 2015 to January 2019, where she was responsible for the company's business development
strategy and transactions, including a global strategic collaboration with AbbVie Inc. Before joining Tizona, Dr. Lucas was Head of Oncology
and Inflammation External R&D Team at Amgen Inc. from August 2014 to July 2015 where she oversaw business development activities,
including Amgen's strategic cancer immunotherapy research collaboration and licensing agreement with Kite Pharma, and collaborated
with Amgen Ventures on several investments in oncology and inflammation. Dr. Lucas joined Amgen following the acquisition of Onyx Pharmaceuticals,
Inc., where she served as a Director, Corporate Development from September 2012 to August 2014 and spearheaded the company's oncology
partnering strategy and due diligence of new opportunities. She held positions of increasing responsibility in strategy, business development,
and strategic marketing at Amgen from January 2003 to September 2005, PDL BioPharma/ Facet Biotech (acquired by Abbvie) from September
2005 to July 2010, and XOMA Corporation from July 2010 to September 2012. From February 2001 to January 2003, Dr. Lucas was a strategy
consultant in the Life Sciences practice of McKinsey & Company, Inc. She received her undergraduate degree in Biology from Moscow
State University, and her Ph. D. in Molecular Biology and Biochemistry from the California Institute of Technology. Dr. Lucas has served
on the board of directors of aTyr Pharma, Inc. (Nasdaq: ATYR) since June 2019 and as an advisor to Radar Therapeutics since October 2023.
We believe that Dr. Lucas is qualified to serve as a member of our Board due to her extensive business development experience in the biotherapeutics
industry.

 The table below provides an enhanced disclosure
regarding the diversity of our Board members and nominees. Each of the categories listed in the below table has the meaning as it is
used in Nasdaq Rule 5605(f).

 Board Diversity Matrix As of February 25,
2025

 Board Size:

 Total Number of Directors: 8

 Male

 Female

 Non-Binary

 Gender Undisclosed

 Part I: Gender Identity

 Number of directors based on gender identity

 —

 —

 Part II: Demographic Background

 African American or Black

 —

 —

 —

 —

 Alaskan Native or Native American

 —

 —

 —

 —

 Asian

 —

 —

 —

 Hispanic or Latinx

 —

 —

 —

 —

 Native Hawaiian or Pacific Islander

 —

 —

 —

 —

 White

 —

 —

 Two or More Races or Ethnicities

 LGBTQ+ Did
 not Disclose Demographic Background

 Composition of Our Board of Directors

 The primary responsibilities
of our Board are to provide oversight, strategic guidance, counseling and direction to our management. Our Board meets on a regular basis
and on an ad hoc basis as required. Our Board currently consists of eight directors. Our Certificate of Incorporation provides that the
authorized number of directors may be changed only by resolutions approved by a majority of the authorized number of directors constituting
our Board. In accordance with our Certificate of Incorporation, our Board is divided into three classes with staggered three-year terms.
At each annual meeting of stockholders, the successors to directors whose terms are expiring will be elected to serve from the time of
election and qualification until the third annual meeting following election. Our directors are divided among the three classes as follows:

 the Class I directors are Mr. von Emster, Dr. Brun and Mr.
Kapoor, and their terms will expire at our annual meeting of stockholders to be held in 2025;

 the Class II directors are Dr. Shizuru and Mr. Wiggans, and
their terms will expire at our annual meeting of stockholders to be held in 2026; and

 the Class III directors are Mr. Martell, Mr. Nolet and Dr.
Lucas, and their terms will expire at our annual meeting of stockholders to be held in 2027.

 Any additional directorships
resulting from an increase in the number of directors will be distributed among the three classes so that, as nearly as possible, each
class will consist of one-third of the directors. The division of our Board into three classes with staggered three-year terms may delay
or prevent a change of our management or a change in control.

 Director Independence

 Under the listing requirements
and rules of Nasdaq, independent directors must comprise a majority of our Board as a listed company.

 Our Board has undertaken a review of its composition, the composition
of its committees and the independence of each director. Based upon information requested from and provided by each director concerning
the director's background, employment and affiliations, including family relationships, our Board has determined that each of Mr.
von Emster, Dr. Lucas, Mr. Kapoor, Dr. Brun, Mr. Wiggans and Mr. Nolet do not have any relationships that would interfere with the exercise
of independent judgment in carrying out the responsibilities of a director and that each of these directors is "independent"
as that term is defined under the applicable rules and regulations of the SEC and the listing requirements and rules of Nasdaq. Mr. Martell
was determined not to be independent as he currently serves as our President and Chief Executive Officer. Our Board further determined
that Dr. Shizuru is not independent due to the fact that she provides non-employee consulting services to our Company (See "Certain
Relationships and Related Party Transactions — Dr. Shizuru Consulting Agreement" in Part III, Item 13 of this Annual Report
on Form 10-K for additional information). In making these determinations, our Board considered the current and prior relationships that
each non-employee director has with our Company and all other facts and circumstances our Board deemed relevant in determining his or
her independence, including the beneficial ownership of our capital stock with respect to each non-employee director.

 Board Leadership Structure

 Mr. Wiggans currently serves
as the non-employee Chairperson of our Board. In such role, Mr. Wiggans has authority, among other things, to call and preside over our
Board meetings, to set meeting agendas and to determine materials to be distributed to our Board. As the roles of Chairperson of our Board
and Chief Executive Officer are separated between Mr. Wiggans and Mr. Martell, respectively, our Board believes our leadership structure
enhances the accountability of our Chief Executive Officer to our Board and encourages balanced decision making. In addition, our Board
believes that this structure provides an environment in which the independent directors are fully informed, have significant input into
the content of Board meetings, and can provide objective and thoughtful oversight of management.

 Each of the committees of our
Board, other than the Research and Development Committee of our Board (the "Research and Development Committee"), is comprised
solely of independent directors that provide strong independent leadership for each of these committees. Our independent directors generally
meet in executive session after each regular meeting of our Board. At each such meeting, the presiding director for each executive session
of our Board is an independent or non-employee director. Our Board will continue to evaluate this leadership structure on an ongoing basis
based on factors such as the experience of the applicable individuals and the current business environment.

 Board Meetings and Committees

 Our Board may establish the authorized
number of directors from time to time by resolutions adopted by a majority of the authorized number of directors constituting our Board.
Our Board currently consists of eight members.

 During our fiscal year ended December 31, 2024, our Board held six
meetings (including regularly scheduled and special meetings), and acted by written consent three times. Each director attended at least
75% of the aggregate of (i) the total number of meetings of our Board held during the period for which the director had been a director
and (ii) the total number of meetings held by all committees of our Board on which the director served during the periods that the
director served.

 Although our corporate governance guidelines do not have a formal policy
regarding attendance by members of our Board at annual meetings of stockholders, we encourage, but do not require, our directors to attend.
Those who do attend are expected to answer appropriate questions from stockholders. Ronald Martell attended our annual meeting of stockholders
in 2024.

 Our Board has established an
Audit Committee, a Compensation Committee, a Nominating and Corporate Governance Committee and a Research and Development Committee. The
composition and responsibilities of each of the committees of our Board are described below. Each committee of our Board has a written
charter approved by our Board. Copies of each charter are posted in the "Investors-Corporate Governance" portion of our website
at ir.jaspertherapeutics.com/corporate-governance/documents-charters. The reference to our website address does not constitute incorporation
by reference of the information contained at or available or accessible through our website, and you should not consider it to be a part
of this Annual Report on Form 10-K. Members serve on these committees until their resignation or until otherwise determined by our Board.
Our Board may establish other committees as it deems necessary or appropriate from time to time.

 Audit Committee

 The Audit Committee of our Board
(the "Audit Committee") consists of Mr. Nolet, Mr. von Emster and Mr. Kapoor. Our Board has determined that each member of
our Audit Committee satisfies the independence requirements under Nasdaq listing standards and Rule 10A-3(b)(1) of the Exchange Act. The
chairperson of our Audit Committee is Mr. Nolet. Our Board has determined that Mr. Nolet is an "audit committee financial expert"
within the meaning of SEC regulations. Each member of our Audit Committee can read and understand fundamental financial statements in
accordance with applicable requirements. In arriving at these determinations, our Board has examined each Audit Committee member's
scope of experience and the nature of his employment.

 The primary purpose of our Audit
Committee is to discharge the responsibilities of our Board with respect to our corporate accounting and financial reporting processes,
systems of internal control and financial statement audits, and to oversee our independent registered public accounting firm. Specific
responsibilities of our Audit Committee include, among other things:

 evaluating, appointing, determining the compensation of, retaining,
overseeing and evaluating our independent registered public accounting firm and any other registered public accounting firm engaged for
the purpose of performing other review or attest services for us;

 prior to commencement of the audit engagement, reviewing and
discussing with the independent registered public accounting firm a written disclosure by the prospective independent registered public
accounting firm of all relationships between us, or persons in financial oversight roles with us, and such independent registered public
accounting firm or their affiliates;

 determining and approving engagements of the independent registered
public accounting firm, prior to commencement of the engagement, and the scope of and plans for the audit;

 monitoring the rotation of partners of the independent registered
public accounting firm on our audit engagement;

 reviewing with management and the independent registered public
accounting firm any fraud that includes management or other employees who have a significant role in our internal control over financial
reporting and any significant changes in internal controls;

 establishing and overseeing procedures for the receipt, retention
and treatment of complaints regarding accounting, internal accounting controls or auditing matters and the confidential and anonymous
submission by employees of concerns regarding questionable accounting or auditing matters;

 reviewing the results of management's efforts to monitor
compliance with our programs and policies designed to ensure compliance with laws and rules;

 overseeing our programs, policies, and procedures related
to our information technology systems, including information asset security, data protection, data privacy, cybersecurity and back-up
of information systems, and the steps taken to monitor, mitigate and control such exposures and our plans to mitigate cybersecurity risks
and to respond to data breaches;

 providing oversight regarding our policies with respect to
risk assessment and risk management, including enterprise risk and risks pertaining to our financial, accounting and tax matters;

 overseeing insurance coverage for our directors and executive
officers; and

 reviewing and discussing with management and the independent
registered public accounting firm the results of the annual audit and the independent registered public accounting firm's assessment
of the quality and acceptability of our accounting principles and practices and all other matters required to be communicated to our
Audit Committee by the independent registered public accounting firm under generally accepted accounting standards, the results of the
independent registered public accounting firm's review of our quarterly financial information prior to public disclosure and our
disclosures in our periodic reports filed with the SEC.

 Our Audit Committee reviews,
discusses and assesses its own performance and composition at least annually. Our Audit Committee also periodically reviews and assesses
the adequacy of its charter, including its role and responsibilities as outlined in its charter, and recommends any proposed changes to
our Board for its consideration and approval.

 Our Audit Committee held five
meetings during fiscal year 2024 and acted by written consent one time during fiscal year 2024.

 Compensation Committee

 Our Compensation Committee consists
of Mr. von Emster, Mr. Nolet and Dr. Brun. The chairperson of our Compensation Committee is Mr. Nolet. Our Board has determined that each
member of our Compensation Committee is independent under the listing standards of Nasdaq and a "non-employee director" as
defined in Rule 16b-3 promulgated under the Exchange Act.

 The primary purpose of our Compensation
Committee is to discharge the responsibilities of our Board in overseeing our compensation policies, plans and programs and to review
and determine the compensation to be paid to our executive officers, directors and other senior management, as appropriate. Specific responsibilities
of our Compensation Committee include, among other things:

 reviewing, modifying and approving (or, if it deems appropriate,
making recommendations to our Board regarding) our overall compensation strategy and policies, and reviewing, modifying and approving
corporate performance goals and objectives relevant to the compensation of our executive officers and other senior management;

 determining and approving (or, if it deems appropriate, recommending
to our Board for determination and approval) the compensation and terms of employment of our Chief Executive Officer, including seeking
to achieve an appropriate level of risk and reward in determining the long-term incentive component of the Chief Executive Officer's
compensation;

 determining and approving (or, if it deems appropriate, recommending
to our Board for determination and approval) the compensation and terms of employment of our executive officers and other members of
senior management, including seeking to achieve an appropriate level of risk and reward;

 reviewing and approving (or, if it deems appropriate, making
recommendations to our Board regarding) the terms of employment agreements, severance agreements, change-of-control protections and other
compensatory arrangements for our executive officers and other senior management;

 conducting periodic reviews of the base compensation levels
of all of our employees generally;

 reviewing human capital management strategies, programs and
policies, including those relating to our workplace environment and culture;

 reviewing and approving the type and amount of compensation
to be paid or awarded to non-employee directors;

 reviewing and administering the "clawback policy"
applicable to our executive officers, in accordance with applicable rules and regulations of the SEC and Nasdaq;

 reviewing and approving the adoption, amendment and termination
of our stock option plans, stock appreciation rights plans, pension and profit sharing plans, incentive plans, stock bonus plans, stock
purchase plans, bonus plans, deferred compensation plans, 401(k) plans, supplemental retirement plans and similar programs, if any; and
administering all such plans, establishing guidelines, interpreting plan documents, selecting participants, approving grants and awards
and exercising such other power and authority as may be permitted or required under such plans;

 reviewing our incentive compensation arrangements to determine
whether such arrangements encourage excessive risk-taking, reviewing and discussing at least annually the relationship between our risk
management policies and practices and compensation and evaluating compensation policies and practices that could mitigate any such risk;
and

 reviewing and recommending to our Board for approval the frequency
with which we conduct a vote on executive compensation, taking into account the results of the most recent stockholder advisory vote
on the frequency of the vote on executive compensation, and reviewing and approving the proposals regarding the frequency of the vote
on executive compensation to be included in our annual meeting proxy statements.

 In addition, once we cease to
be a "smaller reporting company" as defined in the rules and regulations of the SEC, the responsibilities of our Compensation
Committee will include reviewing and discussing with management our Compensation Discussion and Analysis, and recommending to our Board
that the Compensation Discussion and Analysis be approved for inclusion in our Annual Reports on Form 10-K, registration statements and
annual meeting proxy statements.

 Under its charter, our Compensation
Committee may form, and delegate authority to, subcommittees as appropriate. Our Compensation Committee reviews, discusses and assesses
its own performance and composition at least annually. Our Compensation Committee also periodically reviews and assesses the adequacy
of its charter, including its role and responsibilities as outlined in its charter, and recommends any proposed changes to our Board for
its consideration and approval.

 Our Compensation Committee held
four meetings during fiscal year 2024 and acted by written consent six times during fiscal year 2024.

 Compensation Committee Processes
and Procedures

 Typically, our Compensation
Committee meets at least quarterly and with greater frequency if necessary. The agenda for each meeting is usually developed by the
chairperson of our Compensation Committee, in consultation with the Chief Executive Officer. Our Compensation Committee meets
regularly in executive session. However, from time to time, various members of management and other employees as well as outside
advisors or consultants may be invited by our Compensation Committee to make presentations, to provide financial or other background
information or advice or to otherwise participate in Compensation Committee meetings. The Chief Executive Officer may not
participate in, or be present during, any deliberations or determinations of our Compensation Committee regarding his compensation
or individual performance objectives. The charter of our Compensation Committee grants our Compensation Committee full access to all
of our books, records, facilities and personnel. In addition, under the charter, our Compensation Committee has the authority to
obtain, at our expense, advice and assistance from compensation consultants and internal and external legal, accounting or other
advisors and other external resources that our Compensation Committee considers necessary or appropriate in the performance of its
duties. Our Compensation Committee has direct responsibility for the oversight of the work of any consultants or advisers engaged
for the purpose of advising our Compensation Committee. In particular, our Compensation Committee has the sole authority to retain,
in its sole discretion, compensation consultants to assist in its evaluation of executive and director compensation, including the
authority to approve the consultant's reasonable fees and other retention terms. Under the charter, our Compensation Committee
may select, or receive advice from, a compensation consultant, legal counsel or other adviser to our Compensation Committee, other
than in-house legal counsel and certain other types of advisers, only after taking into consideration six factors, prescribed by the
SEC and Nasdaq, that bear upon the adviser's independence; however, there is no requirement that any adviser be
independent.

 For purposes of 2024 compensation,
our Compensation Committee utilized Alpine Rewards ("Alpine") as its compensation consultant. In connection with assessing
2024 compensation for our directors, officers and other employees, Alpine provided our Compensation Committee with general compensation
consultant services. The Compensation Committee assessed whether the work of Alpine as a compensation consultant has raised any conflict
of interest, taking into consideration the following factors: (i) the provision of other services, if any, to us by Alpine; (ii) the
amount of fees we paid to Alpine; (iii) Alpine's policies and procedures that are designed to prevent conflicts of interest;
(iv) any business or personal relationship of Alpine or the individual compensation advisors employed by the firm with an executive
officer of the Company; (v) any business or personal relationship of the individual compensation advisors with any member of Alpine;
and (vi) any shares of our common stock owned by Alpine or the individual compensation advisors employed by the firm. Our Compensation
Committee has determined, based on its analysis of the above factors, that the work of Alpine and the individual compensation advisors
employed by Alpine as our compensation consultant has not created any conflict of interest. Our Compensation Committee also assessed the
independence of Alpine pursuant to SEC rules and concluded that the work of Alpine has not raised any conflict of interest.

 Nominating and Corporate Governance Committee

Governance Committee consists of Mr. von Emster, Dr. Lucas and Mr. Kapoor. The chairperson of our Nominating and Corporate Governance
Committee is Mr. von Emster. Our Board has determined that each member of the Nominating and Corporate Governance Committee is independent
under the listing standards of Nasdaq.

 Specific responsibilities of
our Nominating and Corporate Governance Committee include, among other things:

 making recommendations to our Board regarding corporate governance
issues;

 evaluating the composition, size, organization and governance
of the Board and its committees to ensure that they appropriately reflect the knowledge, skills, integrity, ethics, diversity (including
that of gender, sexual orientation, disability, age, race, ethnicity or national origin, global perspective and experience, business
experience, functional expertise, stakeholder expectations, culture and geography), and other characteristics required to fulfill their
respective duties, and determine future requirements;

 identifying, reviewing and evaluating candidates to serve
as directors (consistent with criteria approved by our Board);

 determining the minimum qualifications for service on our
Board;

 reviewing and evaluating incumbent directors and Board performance
generally;

 instituting and overseeing director orientation and director
continuing education programs;

 serving as a focal point for communication among candidates,
non-committee directors and our management;

 recommending to our Board for selection candidates to serve
as nominees for director for the annual meeting of stockholders;

 assessing Board member independence;

 making other recommendations to our Board regarding matters
relating to the directors;

 reviewing succession plans for our Chief Executive Officer
and our other executive officers;

 reviewing and overseeing matters of corporate responsibility
and sustainability, including potential long- and short-term trends and impacts to our business of environmental, social and governance
issues, and our public reporting on these topics;

 overseeing our environmental, social and governance programs
and strategies; and

 considering any recommendations for nominees and proposals
submitted by stockholders.

Governance Committee periodically reviews, discusses and assesses the performance of our Board and the committees of our Board. In fulfilling
this responsibility, our Nominating and Corporate Governance Committee seeks input from senior management, our Board and others, which
may include external advisors. In assessing our Board, our Nominating and Corporate Governance Committee evaluates the overall composition
of our Board, our Board's contribution as a whole and its effectiveness in serving our best interests and the best interests of
our stockholders and, following the assessment process, our Nominating and Corporate Governance Committee may recommend changes in the
composition of our Board, changes in the size of our Board, or other recommended future additions or changes to our Board structure based
on our clinical programs and business focus. Our Nominating and Corporate Governance Committee reviews, discusses and assesses its own
performance and composition at least annually. Our Nominating and Corporate Governance Committee also periodically reviews and assesses
the adequacy of its charter, including its role and responsibilities as outlined in its charter, and recommends any proposed changes to
our Board for its consideration and approval.

Governance Committee held two meetings during fiscal year 2024 and acted by written consent three times during fiscal year 2024.

 Research and Development Committee

 Our Research and Development
Committee is an ad hoc committee of our Board that was formed in May 2022. Our Research and Development Committee consists of Dr. Brun,
Dr. Shizuru and Mr. von Emster. The chairperson of our Research and Development Committee is Dr. Brun. Specific responsibilities of our
Research and Development Committee include, among other things: (i) facilitating the technical review of our science and technology
strategy research and development and product innovation and strategy; and (ii) reporting to our Board regarding our Research and
Development Committee's activities, including its reviews and assessments of our internal technology development, technology assessment,
technology review and technical goals and research and development strategies, and any other matters deemed appropriate by our Research
and Development Committee.

 Our Research and Development Committee held 4 meetings
during fiscal year 2024 and did not act by written consent during fiscal year 2024.

 Identifying and Evaluating Director Nominees

Governance Committee is responsible for identifying, reviewing, evaluating and recommending candidates for nomination to our Board, including
candidates to fill any vacancies that may occur. Our Nominating and Corporate Governance Committee assesses the qualifications of candidates
in light of the policies and principles in our corporate governance guidelines and may also engage third-party search firms to identify
director candidates. Our Nominating and Corporate Governance Committee may conduct interviews, detailed questionnaires and comprehensive
background checks or use any other means that it deems appropriate to gather information to evaluate potential candidates. Based on the
results of the evaluation process, our Nominating and Corporate Governance Committee recommends candidates to our Board for approval as
director nominees for election to our Board. In assessing our Board, our Nominating and Corporate Governance Committee will evaluate the
overall composition of our Board, our Board's contribution as a whole and its effectiveness in serving our best interests and the
best interests of our stockholders.

 Minimum Requirements

Governance Committee believes that candidates for director should have certain minimum qualifications, including being able to read and
understand basic financial statements, being over 21 years of age and having the highest personal integrity and ethics. Some of the qualifications
that our Nominating and Corporate Governance Committee will also consider include, but are not limited to, such candidate's (i) level
of expertise, (ii) potential conflicts of interests or other commitments, (iii) demonstrated excellence in his or her field,
(iv) ability to exercise sound business judgment, (v) diversity with respect to personal background, perspective and experience
and (vi) commitment to rigorously representing our stockholders' long-term interests. Our Nominating and Corporate Governance
Committee also reviews director candidates in the context of the current size and composition of our Board, our operating requirements
and our stockholders' long-term interests. Although our Board does not maintain a specific policy with respect to board diversity,
our Board values diversity as a factor in selecting nominees. Our Nominating and Corporate Governance Committee considers a broad range
of backgrounds and experiences and may consider factors including gender, racial diversity, age, skills, and such other factors as it
deems appropriate to maintain an appropriate balance of knowledge, experience and capability. In the case of incumbent directors whose
terms of office are set to expire, our Nominating and Corporate Governance Committee reviews such directors' overall service to
us during their term, including the number of meetings attended, level of participation, quality of performance, and any other relationships
and transactions that might impair such directors' independence. In the case of new director candidates, our Nominating and Corporate
Governance Committee also determines whether the nominee is independent for purposes of Nasdaq listing rules.

 Stockholder Recommendations and Nominations
to the Board of Directors

 Stockholders may submit recommendations for director
candidates to our Nominating and Corporate Governance Committee by sending the individual's name and qualifications to our Corporate
Secretary at Jasper Therapeutics, Inc., 2200 Bridge Pkwy Suite #102, Redwood City, CA 94065, who will forward all recommendations to our
Nominating and Corporate Governance Committee. Our Nominating and Corporate Governance Committee will evaluate any candidates recommended
by stockholders against the same criteria and pursuant to the same policies and procedures applicable to the evaluation of candidates
proposed by directors or management.

 Stockholder and Other Interested Party Communications

 Our Board provides to every stockholder
and any other interested parties the ability to communicate with our Board as a whole, and with individual directors on our Board, through
an established process for stockholder communication. For a communication directed to our Board as a whole, stockholders and other interested
parties may send such communication to our Corporate Secretary at Jasper Therapeutics, Inc., 2200 Bridge Pkwy Suite #102, Redwood City,
CA 94065, Attn: Board of Directors c/o Corporate Secretary.

 For a stockholder or other interested
party communication directed to an individual director in his or her capacity as a member of our Board, stockholders and other interested
parties may send such communication to the attention of the individual director at Jasper Therapeutics, Inc., 2200 Bridge Pkwy Suite #102,
Redwood City, CA 94065, Attn: Name of Director.

 Our Corporate Secretary, in consultation
with appropriate members of our Board as necessary, will review all incoming communications and, if appropriate, all such communications
will be forwarded to the appropriate member or members of our Board, or if none is specified, to the Chairperson of our Board.

 Corporate Governance Guidelines and Code of
Business Conduct and Ethics

 Our Board has adopted corporate
governance guidelines that address items such as the qualifications and responsibilities of our directors and director candidates and
corporate governance policies and standards applicable to us in general. In addition, our Board has adopted a code of business conduct
and ethics that applies to our directors, officers and employees, including our principal executive officer, principal financial officer,
principal accounting officer or controller, and persons performing similar functions. Our code of business conduct and ethics is available
under the "Investors-Corporate Governance" section of our website at ir.jaspertherapeutics.com/corporate-governance/documents-charters.
In addition, we intend to post on our website all disclosures that are required by law or the listing standards of Nasdaq concerning any
amendments to, or waivers from, any provision of the code. The reference to our website address does not constitute incorporation by reference
of the information contained in or available or accessible through our website, and you should not consider it to be a part of this Annual
Report on Form 10-K.

 Risk Management

 Management is responsible for
the day-to-day management of risks we face, while our Board, as a whole and assisted by its committees, is responsible for the oversight
of risk management. In its risk oversight role, our Board has the responsibility to satisfy itself that the risk management processes
designed and implemented by management are appropriate and functioning as designed. Our Board is responsible for risk oversight. Our Board
believes that it is essential for effective risk management and oversight that there be open communication between management and our
Board. Our Board meets with our Chief Executive Officer, Chief Financial Officer and other members of the senior management team at quarterly
meetings of our Board, where, among other topics, they discuss strategy and risks facing us, as well as at such other times as they deem
appropriate.

 Our Audit Committee assists our
Board in fulfilling its oversight responsibilities with respect to risk management in the areas of internal control over financial reporting,
accounting, tax disclosure controls and procedures, enterprise risk and legal and regulatory compliance, and discusses with management
and the independent auditor guidelines and policies with respect to risk assessment and risk management. Our Audit Committee also reviews
our major financial, cybersecurity and information technology risk exposures and the steps management has taken to monitor and control
these exposures. Our Audit Committee also monitors certain key risks on a regular basis throughout the fiscal year, such as risk associated
with internal control over financial reporting and liquidity risk. Our Compensation Committee assesses risks created by the incentives
inherent in our compensation policies and evaluates our compensation policies and practices that could mitigate any such risks. Our Nominating
and Corporate Governance Committee assists our Board in fulfilling its oversight responsibilities with respect to the management of risk
associated with board organization, membership and structure, and environmental, social and corporate governance matters. Our full Board
also reviews strategic and operational risk in the context of reports from the management team, receives reports on all significant committee
activities at regular meetings of our Board, and evaluates the risks inherent in significant transactions.

 Scientific Advisory Board

 We have established a scientific
advisory board. We regularly seek advice and input from these experienced scientific leaders on matters related to our research and development
programs. Our scientific advisory board consists of experts across a range of key disciplines relevant to our programs and science. We
intend to continue to leverage the broad expertise of our advisors by seeking their counsel on important topics relating to our research
and development programs.

 Executive Officers

 The following table identifies
certain information about our executive officers as of February 25, 2025. Our executive officers are appointed by, and serve at the discretion
of, our Board and hold office until his successor is duly elected and qualified or until his earlier resignation or removal. There are
no family relationships among any of our directors or executive officers.

 Name

 Age

 Position(s)

 President, Chief Executive Officer and Director

 Herb Cross

 Chief Financial Officer and Corporate Secretary

 Jeet Mahal

 Chief Operating Officer

 Edwin Tucker, M.D.

 Chief Medical Officer

 Executive Officers

 Ronald A. Martell.
Please see above discussion of our directors for Mr. Martell's biography.

 Herb Cross. Mr.
Cross has served as our Chief Financial Officer and Corporate Secretary since September 2023. Previously, Mr. Cross had served as the
Chief Financial Officer of Atreca, Inc., a biotechnology company, since February 2019. From November 2017 to June 2018, he served as Chief
Financial Officer of ARMO Biosciences, Inc., a biotechnology company. From February 2016 to November 2017, Mr. Cross served as Chief Financial
Officer of Balance Therapeutics, Inc., a biotechnology company. From October 2013 to November 2015, he served as Chief Financial Officer
of KaloBios Pharmaceuticals, Inc., a biotechnology company, and interim Chief Executive Officer from January 2015 to November 2015. In
December 2015, KaloBios filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code. KaloBios emerged from Chapter 11
in July 2016. From November 2010 to June 2013, Mr. Cross served as Chief Financial Officer of Affymax, Inc., a biotechnology company.
He served as a director of Apexigen, Inc. from July 2022 to August 2023 and Apexigen America, Inc. from October 2019 to August 2023. Mr.
Cross received a B.S. in Business Administration from the University of California, Berkeley and is a certified public accountant (inactive).

 Jeet Mahal. Mr.
Mahal has served as our Chief Operating Officer since March 2022. He served as our Chief Financial Officer and Corporate Secretary from
September 2021 to September 2023 and as our Chief Business Officer from September 2021 to March 2022. Prior to that, Mr. Mahal had served
as our Chief Financial and Business Officer since December 2019. Prior to joining our Company, Mr. Mahal worked at Portola Pharmaceuticals,
Inc. from August 2008 to December 2019, where Mr. Mahal held a number of positions of increasing leadership, most recently as Vice President,
Strategic Marketing from January 2019 to December 2019 and Vice President, Business Development from February 2013 to December 2018. While
at Portola Pharmaceuticals, Inc., Mr. Mahal led the execution of multiple business development partnerships for Andexxa,
Bevyxxa and cerdulatinib. Mr. Mahal also played a key role in the company's equity financings, including its initial
public offering and multiple royalty transactions. Earlier in his career, from January 2006 to September 2008, Mr. Mahal was Director,
Business and New Product Development, at Johnson & Johnson on the cardiovascular in-licensing and Xarelto product
development teams. Mr. Mahal started his career in the drug development laboratories at COR Therapeutics. Mr. Mahal holds a Bachelor's
degree in Molecular and Cell Biology from U.C. Berkeley, a Master's degree in Engineering from North Carolina State University,
a Master's degree in Molecular and Cell Biology from the Illinois Institute of Technology and an MBA from Duke University.

 Edwin Tucker, M.D.
Dr. Tucker has served as our Chief Medical Officer since June 2023. He has over 30 years of clinical experience leading novel drug development.
Dr. Tucker was most recently Chief Medical Officer at Goldfinch Bio, where he led clinical development and helped build the regulatory,
medical affairs and clinical operations functions. Previously, he served as Chief Medical Officer at Mirum Pharmaceuticals, where he
contributed to the achievement of key milestones in the development of medicines for adult and pediatric cholestatic liver disease, including
the first FDA approval for Alagille Syndrome. Prior to joining Mirum, Dr. Tucker was at Acerta Pharma LLC, now part of the AstraZeneca
family of companies, ultimately serving as Chief Operating Officer. Prior to joining Acerta, he held leadership positions in development,
medical safety and medical affairs at Genentech, Janssen Research and Development and Bayer HealthCare Pharmaceuticals. Dr. Tucker is
a member of the Royal College of Physicians (UK) and received his M.B.A. from the University of Connecticut. Dr. Tucker holds degrees
in Pharmacology and Medicine from the University of Leeds, United Kingdom. Additionally, he serves as a managing director at Golden Seeds,
an investment firm dedicated to pursuing early-stage investment opportunities in women-led businesses.

 ITEM 11. EXECUTIVE COMPENSATION

 Executive Compensation

 Overview

 Our named executive officers for the year ended
December 31, 2024 were:

 Ronald Martell, our President and Chief Executive Officer;

 Herb Cross, our Chief Financial Officer and Corporate Secretary;

 Jeet Mahal, our Chief Operating Officer; and

 Edwin Tucker, M.D., our Chief Medical Officer.

 Executive Summary

 The following is a discussion and analysis of compensation
arrangements of our named executive officers. This discussion may contain forward-looking statements that are based on our current plans,
considerations, expectations and determinations regarding future compensation programs. As a "smaller reporting company" as
defined in the rules and regulations of the SEC, we are not required to include a Compensation Discussion and Analysis section and have
elected to comply with the scaled disclosure requirements applicable to smaller reporting companies.

 2024 Financial and P erformance
Highlights

 Our financial and performance highlights during 2024 include the following:

 Cash and cash equivalents as of December 31, 2024, totaled $71.6
million.

 Research and development expenses for the year ended December 31, 2024, were $55.8 million, including stock-based compensation expenses of $4.6 million.

 General and administrative expenses for the year ended December 31, 2024, were $20.4 million, including stock-based compensation expenses of $2.0 million.

 Reported a net loss of $71.3 million, or basic and diluted net loss
per share attributable to common stockholders of $4.89, for the year ended December 31, 2024.

 Compensation Philosophy and Practices

 To achieve our goals,
we have designed, and intend to modify as necessary, our compensation and benefits programs to attract, retain, incentivize and reward
deeply talented and qualified executives who share our philosophy and desire to work towards achieving our goals. We believe our compensation
programs should promote the success of our Company and align executive incentives with the long-term interests of our stockholders. This
section provides an overview of our executive compensation programs, incl uding a narrative description of the material factors
necessary to understand the information disclosed in the summary compensation table below.

 Insider Trading Policy

 Our Board has adopted an insider trading policy
(the "Insider Trading Policy"), which provides guidelines to our employees, directors, officers and consultants with respect
to transactions in our securities, including the purchase, sale and/or other disposition of our securities. We adopted the Insider Trading
Policy and the procedures set forth therein to help avoid inadvertent instances of improper insider trading. We believe the Insider Trading
Policy is reasonably designed to promote compliance with insider trading laws, rules and regulations and listing standards applicable
to Jasper.

 Prohibition on Hedging and Pledging Transactions

 Our Insider Trading Policy prohibits any director,
employee (including our executive officers) or consultant to our Company from, among other things, engaging in short sales, transactions
in put or call options, hedging transactions, margin accounts or other inherently speculative transactions with respect to our securities
at any time. Our directors, employees (including our executive officers) and consultants are also not permitted to pledge our securities
as collateral for a loan.

 Clawback Policy

 Effective October 1, 2023, our Board adopted a
restated compensation recovery ("clawback") policy pursuant to the listing standards approved by The Nasdaq Stock Market LLC
implementing Rule 10D-1 under the Exchange Act ("Rule 10D-1"). The clawback policy is administered by our Compensation Committee
and applies to our current and former executive officers as defined in Rule 10D-1 (each, an "Affected Officer"). Under the
clawback policy, if we are required to prepare an accounting restatement to correct our material noncompliance with any financial reporting
requirement under securities laws, including restatements that correct an error in previously issued financial statements that is material
to the previously issued financial statements or that would result in a material misstatement if the error were corrected in the current
period or left uncorrected in the current period (collectively, a "Restatement"), we are obligated to recover erroneously
awarded incentive-based compensation received from us by Affected Officers. Incentive-based compensation includes any compensation
that is granted, earned or vested based in whole or in part on the attainment of a financial reporting measure. Erroneously awarded incentive-based
compensation is the amount of incentive-based compensation received that exceeds the amount of incentive-based compensation that otherwise
would have been received had it been determined based on an applicable Restatement.

 Individual Compensation Elements

 During 2024, the principal elements of our executive
compensation program were as follows:

 Base Salaries

 We use base salaries to recognize the experience,
skills, knowledge and responsibilities required of all our employees, including our named executive officers. Base salaries are reviewed
annually, typically in connection with our annual performance review process, and adjusted from time to time after taking into account
individual responsibilities, performance and experience. For 2024, Mr. Martell earned an annual base salary of $727,272, Mr. Cross earned
an annual base salary of $476,100, Mr. Mahal earned an annual base salary of $481,301 and Dr. Tucker earned an annual base salary of $514,500.

 Annual Cash Incentive Bonuses

 We pay cash bonuses to reward our executives for
their performance over the fiscal year, based on an analysis by our Board or our Compensation Committee of our company performance and
each executive's performance during the year. During 2024, Mr. Martell's annual bonus target was equal to 50% of his annual
base salary, Mr. Cross' annual bonus target was equal to 45% of his annual base salary, Mr. Mahal's annual bonus target was
equal to 45% of his annual base salary and Dr. Tucker's annual bonus target was equal to 45% of his annual base salary.

 Our Board adopted corporate performance goals for
the 2024 bonus program for our employees based on milestones that primarily included: (1) generating positive data in our spontaneous
urticaria and inducible urticaria clinical trials; (2) commencing enrollment in our asthma program; (3) expanding our BEACON/SPOTLIGHT
clinical trials with additional cohorts; (4) chemistry, manufacturing and controls (CMC) goals; (5) research and translational goals and;
(6) corporate goals, including finance, business development and human resources. Our Compensation Committee determined that the total
attainment rate for 2024 was 85%. For 2024, Mr. Martell received a $309,091 bonus, Mr. Cross received a $182,108 bonus, Mr. Mahal received
a $184,098 bonus and Dr. Tucker received a $196,796 bonus. The bonus amounts for Mr. Martell, Mr. Mahal, Mr. Cross and Dr. Tucker were
determined based on the base salary earned by each executive officer for the calendar year multiplied by his bonus target percentage and
the 85% achievement level.

 Long-Term Equity Incentives

 We believe equity awards are a critical element
of our executive compensation programs as they provide an incentive for our executives to focus on driving growth in our stock price
and long-term stockholder value creation and help us to attract and retain key talent in a competitive market. Specifically, the granting
of stock options helps ensure that the interests of our executive officers are aligned with those of our stockholders as the options
only have value if the value of our stock increases after the date the option is granted.

 2024 Option Awards

 On February 15, 2024, Mr. Martell was granted an
option to purchase 100,000 shares of our common stock, of which 25% of the total number of shares subject to the option vested on February
15, 2025, and 1/48 th of the total number of shares subject to the option vest monthly thereafter, subject in each case to Mr.
Martell's continued service to us on each vesting date. On June 10, 2024, Mr. Martell was granted (a) an option to purchase 10,000
shares of our common stock, of which 25% of the total number of shares subject to the option will vest on June 10, 2025, and 1/48th of
the total number of shares subject to the option vest monthly thereafter, subject in each case to Mr. Martell's continued service
to us on each vesting date, and (b) performance-based restricted stock units with respect to 20,000 shares of our common stock ("PRSUs"),
with each PRSU representing a contingent right to receive one share of common stock. If, by June 10, 2026, the closing price of our common
stock on Nasdaq is at or above $35.00 per share (subject to adjustment for recapitalizations, stock splits and similar transactions) for
thirty consecutive calendar days, all of the shares of common stock subject to the PRSUs shall vest in full on such thirtieth day, subject
to Mr. Martell's continued service to us through such date. On February 15, 2024, Mr. Cross was granted an option to purchase 40,000
shares of our common stock, of which 25% of the total number of shares subject to the option vested on February 15, 2025 and 1/48 th
 of the total number of shares subject to the option vest monthly thereafter, subject in each case to Mr. Cross's continued
service to us on each vesting date. On February 15, 2024, Mr. Mahal was granted an option to purchase 40,000 shares of our common stock,
of which 25% of the total number of shares subject to the option vested on February 15, 2025 and 1/48 th of the total number
of shares subject to the option vest monthly thereafter, subject in each case to Mr. Mahal's continued service to us on each vesting
date. On February 15, 2024, Dr. Tucker was granted an option to purchase 45,000 shares of our common stock, of which 25% of the total
number of shares subject to the option vested on February 15, 2025 and 1/48 th of the total number of shares subject to the
option vest monthly thereafter, subject in each case to Dr. Tucker's continued service to us on each vesting date.

 Other Elements of Compensation

 Perquisites, Health, Welfare and Retirement Benefits

 Our executive officers, during their employment
with us, are eligible to participate in our employee benefit plans, including our medical and dental insurance plans, in each case on
the same basis as all of our other employees. We generally do not provide perquisites or personal benefits to our named executive officers,
except in limited circumstances. We do, however, cover a certain portion of the premiums for medical and dental insurance for all of our
employees, including our named executive officers. Our Board may elect to adopt qualified or nonqualified benefit plans in the future
if it determines that doing so is in our best interests.

 401(k) Plan

 We currently maintain a 401(k) retirement savings
plan for our employees, including our named executive officers, who satisfy certain eligibility requirements. The 401(k) plan is intended
to qualify as a tax-qualified plan under the Internal Revenue Code. Our named executive officers are eligible to participate in the 401(k)
plan on the same basis as our other employees. The Internal Revenue Code allows eligible employees to defer a portion of their compensation,
within prescribed limits, on a pre-tax basis (or post-tax basis through a Roth 401(k) election) through contributions to the 401(k) plan.
We provided matching contributions of up to $3,000 per employee under our 401(k) plan during the year ended December 31, 2024.

 Pension Benefits

 Our named executive officers did not participate
in, or otherwise receive any benefits under, any pension or retirement plan sponsored by us during the year ended December 31, 2024.

 Nonqualified Deferred Compensation

 Our named executive officers did not participate
in, or earn any benefits under, any nonqualified deferred compensation plan sponsored by us during the year ended December 31, 2024. Our
Board may elect to provide our officers and other employees with nonqualified deferred compensation benefits in the future if it determines
that doing so is in our best interests.

 No Tax Gross-Ups

 In 2024, we did not make gross-up payments to cover
our named executive officers' personal income taxes that pertained to any of the compensation, perquisites or personal benefits
paid or provided by us. Currently, we have no agreements or arrangements in place with any executive officer that require or provide for
a tax gross-up or similar payment. We also do not intend to enter into any future employment or other agreement or arrangement with any
of our executive offices that includes a tax gross-up.

 Summary Compensation Table

 The following table presents all of the compensation
awarded to, earned by or paid to our named executive officers during the years ended December 31, 2024 and 2023, respectively:

 Name and Principal Position

 Year

 Salary ($)

 Non-Equity Incentive Plan Compensation ($)

 Bonus ($)

 Option Awards

 ($) (1)

 Stock Awards

 ($) (2)

 All Other Compensation ($)

 Total ($)

 2024

 727,272

 309,091

 —

 1,740,640

 438,000

 4,956

 3,219,959

 President and Chief
 Executive Officer

 2023

 695,255

 312,917

 —

 2,361,818

 —

 —

 3,369,990

 Herb Cross (3)

 2024

 476,100

 182,108

 —

 612,732

 —

 1,629

 1,272,569

 Chief Financial
 Officer and Corporate Secretary

 2023

 125,615

 51,552

 100,000
 (4)

 361,955

 —

 4,000
 (5)

 643,122

 Jeet Mahal (6)

 2024

 481,301

 184,098

 —

 612,732

 —

 2,229

 1,280,360

 Chief Operating
 Officer

 2023

 461,693

 187,024

 —

 535,990

 —

 —

 1,184,707

 Edwin Tucker, M.D. (7)

 2024

 514,500

 196,796

 —

 689,324

 —

 2,001

 1,402,621

 Chief Medical Officer

 2023

 272,955

 110,371

 50,000
 (8)

 544,400

 —

 —

 977,726

 (1)
 Amounts reported represent the aggregate grant date fair value of the stock options granted to the named executive officers during
2024 and 2023 under the 2024 Plan, the 2021 Plan or the Inducement Plan (as each term is defined under "Equity Compensation Plan"),
computed in accordance with FASB ASC Topic 718. The assumptions used in calculating the grant date fair value of the stock options reported
in this column are set forth in Note 10 to our consolidated financial statements included in Part II, Item 8 of this Annual Report
on Form 10-K. This amount does not reflect the actual economic value that may be realized by the named executive officer, which will depend
on factors including the continued service of the executive and the future value of our stock.

 (2)
 Amounts reported represent the aggregate grant date fair value of the restricted stock unit awards granted to the named executive
officers during 2024 under the 2021 Plan, computed in accordance with FASB ASC Topic 718. The assumptions used in calculating the grant
date fair value of the restricted stock units reported in this column are set forth in Note 10 to our consolidated financial statements
included in Part II, Item 8 of this Annual Report on Form 10-K. This amount does not reflect the actual economic value that may be realized
by the named executive officer, which will depend on factors including the continued service of the executive and the future value of
our stock.

 (3)
 Mr. Cross was appointed as our Chief Financial Officer effective September 22, 2023.

 (4)
 Represents a cash sign-on bonus in connection with the commencement of Mr. Cross' employment with us.

 (5)
 Represents consulting fees paid to Mr. Cross for consulting services prior to his appointment as our Chief Financial Officer and Corporate
Secretary effective September 22, 2023.

 (6)
 Mr. Mahal transitioned to the role of our Chief Operating Officer on September 22, 2023. Prior to such time, he served as our Chief
Operating and Financial Officer and Corporate Secretary.

 (7)
 Dr. Tucker was appointed as our Chief Medical Officer as of June 12, 2023.

 (8)
 Represents a cash sign-on bonus in connection with the commencement of Dr. Tucker's employment with us.

 Employment and Other Arrangements with Named Executive Officers

 The current amended and restated employment agreements
with our named executive officers generally provide for at-will employment and set forth the executive officer's initial base salary
and potential annual performance bonus, applicable signing bonuses, eligibility for employee benefits, confirmation of the terms of previously
issued equity grants, and severance benefits on a qualifying termination of employment or resignation. In addition, each of our named
executive officers has executed our standard employee confidential information and inventions assignment agreement. The key terms of these
agreements are described below.

 We entered into an Employment Agreement with
Ronald Martell, effective March 15, 2022 (the "Martell Employment Agreement"), pursuant to which Mr. Martell became our
President and Chief Executive Officer. Pursuant to the Martell Employment Agreement, Mr. Martell's initial annualized salary
was $675,000, and he was eligible to receive an annual performance bonus of up to 50% of his base salary. His salary and performance
bonus percentage may be adjusted in the future at the discretion of our Compensation Committee. Pursuant to the Martell Employment
Agreement, Mr. Martell was granted an option to purchase 170,432 shares of our common stock, of which 25% of the total number of
shares subject to the option vested on March 15, 2023 and 1/48 th of the total number of shares subject to the option vest
monthly thereafter, subject in each case to Mr. Martell's continued service to us on each vesting date. The agreement further
provided that in the event we close an equity financing of at least $50 million after the date of commencement of Mr.
Martell's employment with us, then, promptly following the closing of such financing, and subject to approval by the Board or
our Compensation Committee, Mr. Martell would be granted an additional option to purchase 1.0% of the outstanding shares of our
common stock (the "True-Up Option"), measured as of the date of grant. On February 2, 2023, Mr. Martell was granted an
option to purchase 109,383 shares of our common stock in satisfaction of our obligation to issue the True-Up Option to Mr. Martell.
The True-Up Option will vest over four years, with 25% of the total number of shares subject to the True-Up Option vesting on
February 2, 2024 and 1/48 th of the total number of shares subject to the True-Up Option vesting monthly thereafter,
subject in each case to Mr. Martell's continued service to us on each vesting date.

 In addition, the Martell Employment Agreement provided
that if Mr. Martell's employment with us is terminated by us without "Cause" or by Mr. Martell for "Good Reason"
(as each term is defined in the Martell Employment Agreement), then Mr. Martell would be entitled to receive 18 months of his base salary,
payable in accordance with our payroll cycle, subject to Mr. Martell executing a release in favor of us. On April 13, 2023, we entered
into an amendment to the Martell Employment Agreement with Mr. Martell (the "Martell Amendment"), which additionally provided
that, in the event Mr. Martell's employment was terminated by us without "Cause" or was terminated by Mr. Martell for
"Good Reason" (as each term is defined in the Martell Employment Agreement), in either case within 24 months following a "Change
in Control" of us (as defined in the Martell Amendment), all of the outstanding equity awards held by Mr. Martell would become fully
vested, subject to Mr. Martell executing a release in favor of us. The Martell Employment Agreement further provided that Mr. Martell
was not eligible for payments or benefits under the Severance Plan (as defined below).

 On June 10, 2024, we entered into an Amended and
Restated Employment Agreement with Mr. Martell (the "Martell A&R Employment Agreement"), pursuant to which Mr. Martell
will continue to serve as our President and Chief Executive Officer. Pursuant to the Martell A&R Employment Agreement, Mr. Martell's
initial annualized salary was $727,272, and he is eligible to receive an annual performance bonus of up to 50% of his base salary. His
salary and performance bonus percentage may be adjusted in the future at the discretion of the Compensation Committee. Mr. Martell's
employment is on an "at will" basis. Mr. Martell is also entitled to other customary employment benefits, including reimbursement
of expenses, paid vacation, and shall be eligible to participate in all benefit plans that are generally made available to our executive
officers.

 The Martell A&R Employment Agreement also provides
that if Mr. Martell's employment with us is terminated by us without "Cause" or by Mr. Martell for "Good Reason"
(as each term is defined in the Martell A&R Employment Agreement), then Mr. Martell shall be entitled to receive an amount equal to
18 months of his base salary, payable in accordance with our payroll cycle and we shall pay COBRA premiums for Mr. Martell and his covered
dependents for a period of up to 18 months, subject in each case to Mr. Martell executing a release in our favor. Additionally, in the
event Mr. Martell's employment is terminated by us without "Cause" or is terminated by Mr. Martell for "Good Reason"
(as each term is defined in the Martell A&R Employment Agreement), in either case within 24 months following a "Change in Control"
(as defined in the Martell A&R Employment Agreement), Mr. Martell shall be entitled to receive the sum of (i) 18 months of his base
salary plus (ii) 1.5 times his target incentive bonus for the year in which the termination occurred, any service-based outstanding equity
awards held by Mr. Martell shall become fully vested and any performance-based vesting requirement shall be deemed satisfied at target,
and we shall pay COBRA premiums for Mr. Martell and his covered dependents for a period of up to 18 months, subject in each case to Mr.
Martell executing a release in our favor.

 Herb Cross

 We entered into an Offer Letter with Herb
Cross, dated September 19, 2023 (the "Cross Offer Letter"), pursuant to which Mr. Cross became our Chief Financial
Officer. Pursuant to the Cross Offer Letter, Mr. Cross' initial annualized salary was $460,000, and he was eligible to receive
an annual performance bonus of up to 45% of his base salary. His salary and performance bonus percentage may be adjusted in the
future at the discretion of our Compensation Committee. Pursuant to the Cross Offer Letter, Mr. Cross received a sign-on bonus of
$100,000. If Mr. Cross had resigned from us without Good Reason (as defined in the Severance Plan) or no reason or Mr. Cross was
terminated by us for Cause (as defined in the Severance Plan) on or prior to September 22, 2024, Mr. Cross was required to repay us
100% of the sign-on bonus within 30 days of the date Mr. Cross ceases to be an employee. In addition, Mr. Cross was granted an
option to purchase 55,000 shares of our common stock, of which 25% of the total number of shares subject to the option will vest on
September 22, 2024 and 1/48th of the total number of shares subject to the option will vest monthly thereafter, subject in each case
to Mr. Cross' continued service to us on each vesting date. Mr. Cross was also eligible for payments and benefits under the
Severance Plan.

 On June 10, 2024, we entered into an Amended and
Restated Employment Agreement with Mr. Cross (the "Cross A&R Employment Agreement"), pursuant to which he will continue
to serve as our Chief Financial Officer. Pursuant to the Cross A&R Employment Agreement, Mr. Cross' initial annualized salary
was $476,100, and he is eligible to receive an annual performance bonus of up to 45% of his base salary. His salary and performance bonus
percentage may be adjusted in the future at the discretion of the Compensation Committee and Mr. Cross' base salary was most recently
increased to $493,000. Mr. Cross' employment is on an "at will" basis. Mr. Cross is also entitled to other customary
employment benefits, including reimbursement of expenses, paid vacation, and shall be eligible to participate in all benefit plans that
are generally made available to our executive officers.

 The Cross A&R Employment Agreement provides
that if Mr. Cross is terminated by us without "Cause" or by Mr. Cross for "Good Reason" (as each term is defined
in the Cross A&R Employment Agreement), then Mr. Cross shall be entitled to receive an amount equal to 12 months of his base salary,
payable in accordance with our payroll cycle and we shall pay COBRA premiums for Mr. Cross and his covered dependents for a period of
up to 12 months, subject in each case to Mr. Cross executing a release in our favor. Additionally, in the event Mr. Cross' employment
is terminated by us without "Cause" or is terminated by Mr. Cross for "Good Reason" (as each term is defined in
the Cross A&R Employment Agreement), in either case within 24 months following a "Change in Control" (as defined in the
Cross A&R Employment Agreement), Mr. Cross shall be entitled to receive the sum of (i) 12 months of his base salary plus (ii) 100%
of Mr. Cross' target incentive bonus for the year in which the termination occurred, any service-based outstanding equity awards
held by Mr. Cross shall become fully vested and any performance-based vesting requirement shall be deemed satisfied at target and we shall
pay COBRA premiums for Mr. Cross and his covered dependents for a period of up to 12 months, subject in each case to Mr. Cross executing
a release in our favor.

 Jeet Mahal

 On September 24, 2021, we entered into an Employment
Agreement with Jeet Mahal (the "Mahal Employment Agreement") as our Chief Financial Officer and Business Officer. The Mahal
Employment Agreement initially provided for an annual base salary of $400,000, subject to adjustment from time to time (the "Mahal
Base Salary"), and a target annual incentive bonus of 40% of the Mahal Base Salary. In accordance with the Mahal Employment Agreement,
on March 21, 2022, Mr. Mahal was granted an option to purchase 8,727 shares of our common stock pursuant to the 2021 Plan, of which 25%
of the total number of shares subject to the option vested on March 21, 2023 and 1/48 th of the total number of shares subject
to the option vest monthly thereafter, subject in each case to Mr. Mahal's continued service to us on each vesting date. Effective
March 1, 2022, Mr. Mahal's annual base salary was increased to $416,000. Then, effective March 21, 2022, Mr. Mahal was promoted
to the role of our Chief Operating and Financial Officer, at which time his annual base salary was increased to $445,000 and his target
bonus percentage was increased to 45%. Mr. Mahal transitioned to the role of our Chief Operating Officer effective September 22, 2023.

 Pursuant to the Mahal Employment Agreement, Mr.
Mahal was also eligible to participate in the benefit plans that are generally available to all of our executive employees. Mr. Mahal's
employment with us was at-will, meaning either we or Mr. Mahal may terminate the employment relationship with or without cause. However,
Mr. Mahal must provide at least 30 days' advance written notice of any termination of his employment under the Mahal Employment
Agreement. Mr. Mahal was also eligible for payments and benefits under the Severance Plan.

 On June 10, 2024, we entered into an Amended and
Restated Employment Agreement with Mr. Mahal (the "Mahal A&R Employment Agreement"), pursuant to which he will continue
to serve as our Chief Operating Officer. Pursuant to the Mahal A&R Employment Agreement, Mr. Mahal's initial annualized salary
was $481,301, and he is eligible to receive an annual performance bonus of up to 45% of his base salary. His salary and performance bonus
percentage may be adjusted in the future at the discretion of the Compensation Committee and Mr. Mahal's base salary was most recently
increased to $498,000. Mr. Mahal's employment is on an "at will" basis. Mr. Mahal is also entitled to other customary
employment benefits, including reimbursement of expenses, paid vacation, and shall be eligible to participate in all benefit plans that
are generally made available to our executive officers.

 The Mahal A&R Employment Agreement provides
that if Mr. Mahal is terminated by us without "Cause" or by Mr. Mahal for "Good Reason" (as each term is defined
in the Mahal A&R Employment Agreement), then Mr. Mahal shall be entitled to receive an amount equal to 12 months of his base salary,
payable in accordance with our payroll cycle and we shall pay COBRA premiums for Mr. Mahal and his covered dependents for a period of
up to 12 months, subject in each case to Mr. Mahal executing a release in our favor. Additionally, in the event Mr. Mahal's employment
is terminated by us without "Cause" or is terminated by Mr. Mahal for "Good Reason" (as each term is defined in
the Mahal A&R Employment Agreement), in either case within 24 months following a "Change in Control" (as defined in the
Mahal A&R Employment Agreement), Mr. Mahal shall be entitled to receive the sum of (i) 12 months of his base salary plus (ii) 100%
of Mr. Mahal's target incentive bonus for the year in which the termination occurred, any service-based outstanding equity awards
held by Mr. Mahal shall become fully vested and any performance-based vesting requirement shall be deemed satisfied at target and we shall
pay COBRA premiums for Mr. Mahal and his covered dependents for a period of up to 12 months, subject in each case to Mr. Mahal executing
a release in our favor.

 Edwin Tucker, M.D.

 We entered into an Offer Letter with Edwin Tucker,
M.D., dated June 7, 2023 (the "Tucker Offer Letter"), pursuant to which Dr. Tucker became our Chief Medical Officer. Pursuant
to the Tucker Offer Letter, Dr. Tucker's initial annualized salary was $490,000, and he was eligible to receive an annual performance
bonus of up to 45% of his base salary. His salary and performance bonus percentage may be adjusted in the future at the discretion of
our Compensation Committee. Pursuant to the Tucker Offer Letter, Dr. Tucker received a sign-on bonus of $50,000. If Dr. Tucker had resigned
from us without Good Reason (as defined in the Severance Plan) or no reason or Dr. Tucker was terminated by us for Cause (as defined in
the Severance Plan) on or prior to June 12, 2024, Dr. Tucker was required to repay us 100% of the sign-on bonus within 30 days of the
date Dr. Tucker ceased to be an employee. In addition, Dr. Tucker was granted an option to purchase 40,000 shares of our common stock,
of which 25% of the total number of shares subject to the option vested on June 12, 2024 and 1/48th of the total number of shares subject
to the option vest monthly thereafter, subject in each case to Dr. Tucker's continued service to us on each vesting date. Dr. Tucker
was also eligible for payments and benefits under the Severance Plan.

 On June 10, 2024, we entered into an Amended and
Restated Employment Agreement with Dr. Tucker (the "Tucker A&R Employment Agreement"), pursuant to which he will continue
to serve as our Chief Medical Officer. Pursuant to the Tucker A&R Employment Agreement, Dr. Tucker's initial annualized salary
was $514,500 and he is eligible to receive an annual performance bonus of up to 45% of his base salary. His salary and performance bonus
percentage may be adjusted in the future at the discretion of the Compensation Committee and Dr. Tucker's base salary was most
recently increased to $532,500. Dr. Tucker's employment is on an "at will" basis. Dr. Tucker is also entitled to other
customary employment benefits, including reimbursement of expenses, paid vacation, and shall be eligible to participate in all benefit
plans that are generally made available to our executive officers.

 The Tucker A&R Employment Agreement provides
that if Dr. Tucker is terminated by us without "Cause" or by Dr. Tucker for "Good Reason" (as each term is defined
in the Tucker A&R Employment Agreement), then Dr. Tucker shall be entitled to receive an amount equal to 12 months of his base salary,
payable in accordance with our payroll cycle and we shall pay COBRA premiums for Dr. Tucker and his covered dependents for a period of
up to 12 months, subject in each case to Dr. Tucker executing a release in our favor. Additionally, in the event Dr. Tucker's employment
is terminated by us without "Cause" or is terminated by Dr. Tucker for "Good Reason" (as each term is defined
in the Tucker A&R Employment Agreement), in either case within 24 months following a "Change in Control" (as defined in
the Tucker A&R Employment Agreement), Dr. Tucker shall be entitled to receive the sum of (i) 12 months of his base salary plus (ii)
100% of Dr. Tucker's target incentive bonus for the year in which the termination occurred, any service-based outstanding equity
awards held by Dr. Tucker shall become fully vested and any performance-based vesting requirement shall be deemed satisfied at target
and we shall pay COBRA premiums for Dr. Tucker and his covered dependents for a period of up to 12 months, subject in each case to Dr.
Tucker executing a release in our favor.

 Employee Severance Plan

 In connection with our entry into the amended and
restated employment agreements with our named executive officers on June 10, 2024, we terminated the Severance Plan in favor of individual
agreements with our employees as discussed above.

 Under our Employee Severance Plan for Vice Presidents
and Executive Committee Members previously applicable to Mr. Mahal, Mr. Cross, Dr. Tucker and other executive committee members, which
became effective in February 2021 and was terminated on June 10, 2024 (the "Severance Plan"), upon a named executive officer's
termination by us without "cause" (as defined in the Severance Plan) or a resignation by a named executive officer for "good
reason" (as defined in the Severance Plan) within 24 months after a change in control (as defined in the Severance Plan), the named
executive officer was eligible to receive (i) any earned but unpaid salary, unpaid and eligible expense reimbursements, accrued but
unused vacation and any vested benefits such named executive officer may have under any of our employee benefit plans, (ii) continued
payment of the named executive officer's base salary for 12 months following termination (less applicable tax withholdings) and
(iii) full acceleration of vesting of any equity awards subject to any maximum term (with any vesting based on satisfaction of performance
objectives deemed satisfied at 100% of target); provided that, in each case of (ii) and (iii), the terminated named executive officer
executed a separation agreement satisfactory to us containing, but not limited to, a general release of claims, a non-disparagement clause
and reaffirmation of such individual's post-termination restrictive covenants.

 Outstanding Equity Awards as of December
31, 2024

 The following table presents the outstanding equity
incentive plan awards held by each named executive officer as of December 31, 2024.

 Option Awards (1)

 Stock Awards

 Name

 Grant Date

 Vesting Commencement Date (1)

 Number of Securities Underlying Unexercised Options Exercisable (#)

 Number of Securities Underlying Unexercised Options Unexercisable (#) (2)

 Option Exercise Price ($)

 Option Expiration Date

 Number of Shares or Units of Stock That Have Not Vested

 (#)

 Market Value of Shares or Units of Stock That Have Not Vested

 ($)

 Equity Incentive Plan Awards: Number of Unearned Shares, Units or Other Rights That Have Not Vested

 (#) (3)

 Equity Incentive Plan Awards: Market or Payout Value of Unearned Shares, Units or Other Rights That Have Not Vested

 ($) (4)

 3/15/2022

 117,173

 53,259

 35.40

 3/21/2032

 —

 —

 —

 —

 2/2/2023

 2/2/2023

 50,133

 59,250

 17.80

 2/2/2033

 —

 —

 —

 —

 3/17/2023

 3/3/2023

 21,869

 28,130

 18.70

 3/17/2033

 —

 —

 —

 —

 —

 100,000

 17.95

 2/15/2034

 —

 —

 —

 —

 6/10/2024

 6/10/2024

 —

 10,000

 23.95

 6/10/34

 —

 —

 —

 —

 6/10/2024

 6/10/2024

 —

 —

 —

 —

 $
 427,600

 Herb Cross

 9/22/2023

 9/22/2023

 17.188

 37,812

 7.80

 9/22/2033

 —

 —

 —

 —

 —

 40,000

 17.95

 2/15/2034

 —

 —

 —

 —

 Jeet Mahal

 6/1/2020

 12/12/2019

 13,772

 —

 7.10

 6/1/2030

 —

 —

 —

 —

 12/7/2021

 35.40

 3/21/2032

 —

 —

 —

 —

 3,350

 2,730

 35.40

 3/21/2032

 —

 —

 —

 —

 4/7/2022

 2,814

 31.20

 4/7/2032

 —

 —

 —

 —

 3/17/2023

 3/3/2023

 15,310

 19,689

 18.70

 3/17/2033

 —

 —

 —

 —

 —

 40,000

 17.95

 2/15/2034

 —

 —

 —

 —

 Edwin Tucker, M.D.

 6/12/2023

 6/12/2023

 15,000

 25,000

 16.20

 6/12/2033

 —

 —

 —

 —

 —

 45,000

 17.95

 2/15/2034

 —

 —

 —

 —

 (1)
 Unless otherwise indicated, the shares underlying the stock options that are not fully vested are scheduled
to vest over a four-year period, with 1/4 th vesting on the first anniversary of the vesting commencement date and 1/48 th
vesting on a monthly basis thereafter through the fourth anniversary of the vesting commencement date, subject to the named executive
officer's continued service with us.

 (2)
 The unvested shares underlying the awards held by Mr. Martell are subject to accelerated vesting as described
in "— Employment and Other Arrangements with Named Executive Officers — Ronald Martell". The unvested shares underlying
the awards held by Mr. Cross, Mr. Mahal and Dr. Tucker are subject to accelerated vesting as described in "— Employment and
Other Arrangements with Named Executive Officers — Employee Severance Plan".

 (3)
 If, by June 10, 2026, the closing price of our common stock on Nasdaq is at or above $35.00 per share
(subject to adjustment for recapitalizations, stock splits and similar transactions) for thirty consecutive calendar days, all of the
shares subject to the award shall vest in full on such thirtieth day, so long as the award holder provides continuous services to us on
and through the vesting date, inclusive.

 (4)
 Amounts in this column are calculated by multiplying the number of shares shown as unvested in the prior
column by $21.38, the closing price of our common stock on December 31, 2024, as reported on Nasdaq.

 Equity Award Timing Procedures

 In accordance with Item 402(x) of Regulation S-K
under the Securities Act, we are providing information regarding our procedures related to the grant of certain equity awards close in
time to the release of material non-public information (" MNPI "). Although we do not have a formal policy, program or
plan that requires us to award equity or equity-based compensation on specific dates, we generally issue equity awards to our executive
officers annually in the first quarter, and such awards are approved by our Compensation Committee during the first quarter. Additionally,
our Insider Trading Policy prohibits directors, officers and employees from trading in our common stock while in possession of or on the
basis of MNPI about us. We have not timed, and do not plan to time, the disclosure of MNPI for the purpose of affecting the value of executive
compensation.

 In the year ended December 31, 2024, no options
were granted to our named executive officers within four business days prior to, or one business day following, the filing or furnishing
of a periodic or current report by us that disclosed MNPI.

 Non-Employee Director Compensation

 Pursuant to our Non-Employee Director Compensation
Policy for the compensation of our non-employee directors, during 2024, each of our non-employee directors received annual retainers,
subject to proration, for service on our Board and its committees as follows:

 Chairperson

 Each Other Member

 Board of Directors

 $
 70,000

 $
 40,000

 Audit Committee

 $
 15,000

 $
 7,500

 Compensation Committee

 $
 10,000

 $
 5,000

 Nominating and Corporate Governance Committee

 $
 8,000

 $
 4,000

 Research and Development Committee

 $
 11,300

 $
 6,300

 All cash retainers will be earned on a quarterly
basis based on a calendar quarter, and, if applicable, will be prorated for the portion of the calendar quarter during which such non-employee
director actually serves on our Board or a committee thereof, and will be paid in arrears no later than the 30th day following the end
of each calendar quarter.

 The Non-Employee Director Compensation Policy also
provides that we will reimburse reasonable expenses incurred by the non-employee directors in connection with attendance at Board or committee
meetings.

 From January 1, 2024 through April 18, 2024, our
Non-Employee Director Compensation Policy provided that any new non-employee director elected or appointed to our Board would, upon his
or her appointment to our Board, be granted a one-time stock option award to purchase 9,400 shares of our common stock (subject to adjustment
for recapitalizations, stock splits and similar transactions), of which 25% of the total number of shares subject to the option would
vest on the one-year anniversary of the date of grant and 1/48th of the total number of shares subject to the option would vest monthly
thereafter, subject to the director's continued service through such vesting dates. Also, from January 1, 2024 through April 18,
2024, our Non-Employee Director Compensation Policy provided that, on the date of each annual meeting of our stockholders, each individual
who is a non-employee director immediately prior to such annual meeting and who will continue to serve as a non-employee director immediately
following such annual meeting would be granted an annual stock option award to purchase 4,700 shares of our common stock (subject to adjustment
for recapitalizations, stock splits and similar transactions), which would vest in full upon the first anniversary of the date of the
grant, subject to the director's continued service through such vesting date.

 Employee directors receive no additional compensation
for their service as a director.

 2024 Updates to Non-Employee Director Compensation Policy

 Effective as of April 19, 2024, any new non-employee
director elected or appointed to our Board will, upon his or her appointment to our Board, be granted a one-time stock option award to
purchase 15,000 shares of our common stock, of which 25% of the total number of shares subject to the option shall vest on the one-year
anniversary of the date of grant and 1/48th of the total number of shares subject to the option shall vest monthly thereafter, subject
to the director's continued service through such vesting dates.

 Also effective as of April 19, 2024, on the date
of each annual meeting of our stockholders, each individual who is a non-employee director immediately prior to such annual meeting and
who will continue to serve as a non-employee director immediately following such annual meeting will be granted an annual stock option
award to purchase 7,500 shares of our common stock, which shall vest in full upon the first anniversary of the date of the grant, subject
to the director's continued service through such vesting date.

 Non-Employee Director Compensation Table

 The following table provides information regarding
the total compensation that was earned by or paid to each of our non-employee directors during the year ended December 31, 2024.

 Name

 Fees Earned or Paid in Cash

 Option Awards (1)(2)

 Other Compensation

 Total

 Judith Shizuru, M.D., Ph. D.

 $
 46,300

 $

 $
 250,000
 (3)

 $
 457,789

 Kurt von Emster

 $
 66,800

 $

 —

 $
 228,289

 Christian Nolet

 $
 65,000

 $

 —

 $
 226,489

 Vishal Kapoor

 $
 51,500

 $

 —

 $
 212,989

 Scott Brun, M.D.

 $
 56,300

 $

 —

 $
 217,789

 Tom Wiggans

 $
 70,000

 $

 —

 $
 231,489

 Svetlana Lucas, Ph. D. (4)

 $
 21,429

 $
 302,606

 —

 $
 324,034

 Anna French, D.Phil. (5)

 $
 29,330

 —

 —

 $
 29,330

 (1)
 Amounts reported represent the aggregate grant date fair
value of the stock options granted to the non-employee director under the 2024 Equity Incentive Plan, computed in accordance with Financial
Accounting Standards Board ("FASB") Accounting Standards Codification ("ASC") Topic 718. The assumptions used
in calculating the grant date fair value of the stock options reported in this column are set forth in Note 10 to our consolidated
financial statements included in Part II, Item 8 of this Annual Report on Form 10-K. This amount does not reflect the actual economic
value that may be realized by the non-employee director, which will depend on factors including the continued service of the non-employee
director and the future value of our stock.

 (2)
 The table below shows the aggregate number of option awards
(vested and unvested) held by each of our non-employee directors as of December 31, 2024:

 Name

 Number of Shares
 Underlying Outstanding
 Options as of

 2024

 Judith Shizuru, M.D., Ph. D.

 34,620

 Kurt von Emster

 20,004

 Christian Nolet

 20,004

 Scott Brun, M.D.

 16,900

 Tom Wiggans

 18,500

 Vishal Kapoor

 23,138

 Svetlana Lucas, Ph. D.

 15,000

 (3)
 Consists of fees earned by Dr. Shizuru for non-employee consulting
services provided to us. See "Certain Relationships and Related Party Transactions — Dr. Shizuru Consulting Agreement"
in Part III, Item 13 of this Annual Report on Form 10-K for additional information.

 (4)
 Dr. Lucas was appointed to our Board in June 2024.

 (5)
 Dr. French resigned from our Board in June 2024.

 Compensation Committee Interlocks and Insider
Participation

 None of the members of our Compensation
Committee is currently or has been at any time one of our officers or employees. None of our executive officers currently serves, or
has served during the last completed fiscal year, as a member of the board of directors or compensation committee of any entity that
has one or more executive officers serving as a member of our Board or Compensation Committee.

 ITEM 12. SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND
MANAGEMENT AND RELATED STOCKHOLDER MATTERS

 The following table sets forth information about
the beneficial ownership of our common stock as of February 14, 2025 for:

 each
 person or group known to us who beneficially owns more than 5% of our common stock;

 each
 of our directors and nominees for director;

 each of our named executive officers named in "Executive Compensation"
in Part III, Item 11 of this Annual Report on Form 10-K; and

 all
 of our directors and executive officers as a group.

 Each stockholder's percentage ownership is
based on 15,022,122 shares of our common stock outstanding as of February 14, 2025. Beneficial ownership for the purposes of the following
table is determined in accordance with the rules and regulations of the SEC. These rules generally provide that a person is the beneficial
owner of securities if such person has or shares the power to vote or direct the voting thereof, or to dispose or direct the disposition
thereof or has the right to acquire such powers within 60 days. Common stock subject to options that are currently exercisable or exercisable
within 60 days of February 14, 2025 are deemed to be outstanding and beneficially owned by the person holding the options. These shares,
however, are not deemed outstanding for the purposes of computing the percentage ownership of any other person. Except as disclosed in
the footnotes to this table and subject to applicable community property laws, we believe that each stockholder identified in the table
possesses sole voting and investment power over all common stock shown as beneficially owned by the stockholder.

 Unless otherwise indicated, the address of each
beneficial owner listed below is c/o Jasper Therapeutics, Inc., 2200 Bridge Pkwy Suite #102, Redwood City, CA 94065. Except as stated
in the footnotes below, none of the stockholders or their affiliates, officers, directors and principal equity holders have held any position
or office or have had any material relationship with us or our affiliates within the past three years.

 Name of Beneficial Owner

 Number of Shares

 Percent of Class

 5% Stockholders:

 Entities affiliated with The Carlyle Group Inc. (1)

 1,066,189

 7.1
 %

 BlackRock, Inc. (2)

 800,028

 5.3
 %

 Soleus Capital Management, L.P. (3)

 1,494,420

 9.9
 %

 Qiming U.S. Healthcare Fund II, L.P. (4)

 928,964

 6.2
 %

 Entities affiliated with Velan Capital Management LLC (5)

 1,471,903

 9.8
 %

 Directors and Named Executive Officers:

 Ronald Martell (6)

 278,942

 1.8
 %

 Herb Cross (7)

 32,291

 *

 Jeet Mahal (8)

 79,476

 *

 Edwin Tucker, M.D. (9)

 31,858

 *

 Svetlana Lucas, Ph. D.

 —

 —

 Scott Brun, M.D. (10)

 4,112

 *

 Tom Wiggans (11)

 8,895

 *

 Christian W. Nolet (12)

 15,754

 *

 Judith Shizuru, M.D. Ph. D. (13)

 143,021

 1.0
 %

 Kurt von Emster (14)

 14,621

 *

 Vishal Kapoor (15)

 16,367

 *

 All current directors and executive officers as a group (11 persons)

 625,337

 4.0
 %

 *
 Denotes
 less than one percent.

 (1)
 The
 shares reported herein are held of record by Abingworth Bioventures VII LP. The Carlyle Group
 Inc., which is a publicly traded entity listed on Nasdaq, is the sole shareholder of Carlyle
 Holdings I GP Inc., which is the sole member of Carlyle Holdings I GP Sub L.L.C., which is
 the general partner of Carlyle Holdings I L.P., which, with respect to the securities reported
 herein, is the managing member of CG Subsidiary Holdings L.L.C., which is the managing member
 of TC Group, L.L.C., which is the managing member of Carlyle Investment Management, L.L.C.,
 which is the sole member of Carlyle Genesis UK LLC, which is the principal member of Abingworth
 LLP. Abingworth Bioventures VII LP has delegated to Abingworth LLP all investment and dispositive
 power over the securities held of record by Abingworth Bioventures VII LP. Accordingly, each
 of the foregoing entities may be deemed to share beneficial ownership of the securities held
 of record by Abingworth Bioventures VII LP. The address of each of Abingworth LLP and Abingworth
 Bioventures VII LP is 38 Jermyn Street, London, SW1Y6DN, UK. The address of each of the foregoing
 entities is c/o The Carlyle Group, 1001 Pennsylvania Ave. NW, Suite 220 South, Washington,
 DC 20004-2505. Information in this footnote is based solely on a Schedule 13D/A jointly filed
 by The Carlyle Group Inc., Carlyle Holdings I L.P., Carlyle Holdings I GP Sub L.L.C., Carlyle
 Holdings I L.P., CG Subsidiary Holdings L.L.C., TC Group, L.L.C., Carlyle Investment Management
 L.L.C., Carlyle Genesis UK LLC, Abingworth LLP and Abingworth Bioventures VII LP on February
 12, 2024.

 (2)
 The
 shares reported herein are held by subsidiaries of BlackRock, Inc. BlackRock, Inc. is the
 parent holding company or control person in accordance with Rule 13d-1(b)(1)(ii)(G) and is
 deemed to have had sole voting and dispositive power over the share. The address for BlackRock,
 Inc. is 50 Hudson Yards, New York, New York 10001. Information in this footnote is based
 solely on a Schedule 13G filed by BlackRock, Inc. on November 8, 2024.

 (3)
 The
 shares reported herein are held directly by Soleus Private Equity Fund III, L.P. ("Soleus
 PE") and by Soleus Capital Master Fund, L.P. ("Master Fund"). Soleus Private
 Equity GP III, LLC ("Soleus PE GP") is the sole general partner of Soleus PE; Soleus
 PE GP III, LLC is the sole manager of Soleus PE GP; Soleus Capital Management, L.P. ("Soleus
 Capital Management") is the investment manager for Soleus PE; and Soleus GP, LLC is
 the sole general partner of Soleus Capital Management. Soleus Capital, LLC is the sole general
 partner of Master Fund; Soleus Capital Group, LLC is the sole managing member of Soleus Capital,
 LLC; Soleus Capital Management is the investment manager for Master Fund; and Soleus GP,
 LLC is the sole general partner of Soleus Capital Management. Guy Levy is the sole managing
 member of each of Soleus PE GP III, LLC, Soleus Capital Group, LLC and Soleus GP, LLC. Each
 of Soleus PE GP, Soleus PE GP III, LLC, Soleus Capital, LLC, Soleus Capital Group, LLC, Soleus
 Capital Management, Soleus GP, LLC and Mr. Levy disclaims beneficial ownership of these shares
 held directly by Soleus PE and Master Fund. The address for each of these entities and individual
 is 104 Field Point Road, 2nd Floor, Greenwich, CT 06830. Information in this footnote is
 based solely on a Schedule 13G jointly filed by Soleus PE GP, Soleus PE, Soleus PE GP III,
 LLC, Master Fund, Soleus Capital, LLC, Soleus Capital Group, LLC, Soleus Capital Management,
 Soleus GP, LLC and Guy Levy on February 11, 2025.

 (4)
 The
 shares reported herein are directly held by Qiming U.S. Healthcare Fund II, L.P. ("Qiming").
 The general partner of Qiming is Qiming U.S. Healthcare GP II, LLC ("Qiming GP").
 Gary Rieschel and Mark D. McDade are the managing partners of Qiming GP. Each of Qiming GP,
 Mr. Rieschel and Mr. McDade may be deemed to beneficially own the shares beneficially owned
 by Qiming, but each disclaims beneficial ownership of such shares. The address for each of
 these entities and individuals is 11100 NE 8 th Street, Suite 200, Bellevue, WA
 98004. Information in this footnote is based solely on a Schedule 13G/A jointly filed by
 Qiming, Qiming GP, Mr. McDade and Mr. Rieschel on February 14, 2024.

 (5)
 Consists
 of: (i) 1,188,500 shares directly beneficially owned by Velan Capital Master Fund LP ("Velan
 Master") and (ii) 283,403 shares directly beneficially owned by Avego Healthcare
 Capital, L.P. ("Avego Fund"). Velan Capital Holdings LLC ("Velan GP"),
 as the general partner of Velan Master, may be deemed to beneficially own the 1,188,500 shares
 owned by Velan Master. Avego Healthcare Capital Holdings, LLC ("Avego GP"), as
 the general partner of Avego Fund, may be deemed to beneficially own the 283,403 shares beneficially
 owned by Avego Fund. Avego Management, LLC ("Avego Management"), as the co-investment
 manager of Avego Fund, may be deemed to beneficially own the 283,403 shares beneficially
 owned by Avego Fund. Velan Capital Investment Management LP ("Velan Capital"),
 as the investment manager of Velan Master and co-investment manager of Avego Fund, may be
 deemed to beneficially own the 1,471,903 shares beneficially owned in the aggregate by Velan
 Master and Avego Fund. Velan Capital Management LLC ("Velan IM GP"), as the general
 partner of Velan Capital, may be deemed to beneficially own the 1,471,903 shares beneficially
 owned in the aggregate by Velan Master and Avego Fund. Adam Morgan, as a Managing Member
 of each of Velan GP and Velan IM GP, may be deemed to beneficially own the 1,471,903 shares
 beneficially owned in the aggregate by Velan Master and Avego Fund. Balaji Venkataraman,
 as the Managing Member of each of Avego GP and Avego Management and a Managing Member of
 each of Velan GP and Velan IM GP, may be deemed to beneficially own the 1,471,903 shares
 beneficially owned in the aggregate by Velan Master and Avego Fund. Each of Velan Master,
 Avego Fund, Velan GP, Avego GP, Avego Management, Velan Capital, Velan IM GP, Mr. Morgan
 and Mr. Venkataraman disclaims beneficial ownership of the securities reported herein that
 he or it does not directly own. Mr. Kapoor is a partner at Avego Management and is on our
 Board. The address for each of these entities and individuals is 1055b Powers Place, Alpharetta,
 Georgia 30009. Information in this footnote is based solely on a Schedule 13D/A jointly filed
 by Velan Master, Avego Fund, Velan GP, Avego GP, Avego Management, Velan Capital, Velan IM
 GP, Mr. Morgan, Mr. Venkataraman and Mr. Kapoor on February 9, 2024.

 (6)
 Consists of (i) 33,118 shares held directly, and (ii) 245,824
 shares issuable upon exercise of options exercisable within 60 days of February 14, 2025.

 (7)
 Consists of 32,291 shares issuable
upon exercise of options exercisable within 60 days of February 14, 2025.

 (8)
 Consists of (i) 25,009 shares held directly, and (ii) 54,467 shares
issuable upon exercise of options exercisable within 60 days of February 14, 2025.

 (9)
 Consists of (i) 400 shares held directly, and (ii) 31,458 shares issuable
upon exercise of options exercisable within 60 days of February 14, 2025.

 (10)
 Consists of 4,112 shares
 issuable upon exercise of options exercisable within 60 days of February 14, 2025.

 (11)
 Consists of (i) 5,000 shares held directly, and (ii) 3,895 shares issuable
upon exercise of options exercisable within 60 days of February 14, 2025.

 (12)
 Consists of (i) 3,250 shares held directly, and (ii) 12,504 shares
issuable upon exercise of options exercisable within 60 days of February 14, 2025.

 (13)
 Consists of (i) 115,901 shares held directly, and (ii) 27,120 shares
issuable upon exercise of options exercisable within 60 days of February 14, 2025.

 (14)
 Consists of (i) 2,117 shares held directly, and (ii) 12,504 shares
issuable upon exercise of options exercisable within 60 days of February 14, 2025.

 (15)
 Consists of (i) 4,375 shares held directly, and (ii) 11,992 shares
issuable upon exercise of options exercisable within 60 days of February 14, 2025.

 Equity Compensation Plan

 As of December 31, 2024, the 2024 Equity Incentive
Plan (the "2024 Plan"), the 2024 Equity Employee Stock Purchase Plan (the "2024 ESPP") and the 2022 Inducement
Equity Incentive Plan (the "Inducement Plan") were the only compensation plans under which our securities were authorized
for future grant. In addition, as of December 31, 2024, equity awards were outstanding under our 2021 Equity Incentive Plan (the "2021
Plan"). Effective as of the effectiveness of the 2024 Plan, we cannot grant future awards under the 2021 Plan. However, the 2021
Plan continues to govern awards outstanding thereunder. Each of the 2021 Plan, the 2024 Plan and the 2024 ESPP was approved by our stockholders.
The Inducement Plan has not been approved by our stockholders. In 2021, our 2019 Equity Incentive Plan (the "2019 EIP"),
which was adopted by our Board and stockholders on November 18, 2019, terminated prior to and contingent upon the consummation of the
business combination with Amplitude Healthcare Acquisition Corporation that was completed in 2021. However, the 2019 EIP continues to
govern awards outstanding thereunder. The following table provides information as of December 31, 2024 with respect to our existing and
predecessor plans.

 Plan Category

 (a) Number of Securities
 to be Issued Upon
 Exercise of Outstanding Options,
 Warrants and Rights

 (b) Weighted-
 Average Exercise Price of Outstanding Options,
 Warrants and Rights

 (c) Number of
 Securities
 Remaining
 Available for Future
 Issuance Under Equity Compensation Plans
 (Excluding Securities Reflected in Column (a))

 Equity compensation plans approved by stockholders (1)

 1,115,263

 $
 18.71
 (2)

 2,772,661
 (3)(4)

 Equity compensation plans not approved by stockholders (5)

 533,115

 $
 22.00

 16,885

 Total

 1,648,378

 $
 40.72

 2,789,546

 (1)
 Includes
 the following plans: the 2024 Plan, 2021 Plan, the 2019 EIP and the 2024 ESPP.

 (2)
 Amount
 is based on the weighted-average exercise price of vested and unvested stock options outstanding
 under the 2024 Plan, the 2021 Plan and the 2019 EIP and does not reflect the shares that
 will be issued upon the vesting of outstanding awards of restricted stock unit awards, which
 have no exercise price.

 (3)
 As of December 31, 2024, a total of 1,791,291 shares of our
 common stock were reserved for issuance for future grants pursuant to the 2024 Plan. All of the foregoing share numbers are subject
 to adjustment in the event of a stock split, stock dividend or other change in our capitalization. Shares subject to awards granted
 under the 2024 Plan that expire or terminate without being exercised in full will not reduce the number of shares available for
 issuance under the 2024 Plan. The settlement of any portion of an award in cash will not reduce the number of shares available for
 issuance under the 2024 Plan. Shares withheld under an award to satisfy the exercise, strike or purchase price of an award or to
 satisfy a tax withholding obligation will reduce the number of shares available for issuance under the 2024 Plan. With respect to a
 stock appreciation right, only shares of common stock that are issued upon settlement of the stock appreciation right will count
 towards reducing the number of shares available for issuance under the 2024 Plan. If any shares of our common stock issued pursuant
 to an award are forfeited back to or repurchased or reacquired by us because of a failure to meet a contingency or condition
 required for the vesting of such shares, the shares that are forfeited or repurchased or reacquired will revert to and again become
 available for issuance under the 2024 Plan. If any shares of our common stock issued pursuant to an award are forfeited back to or
 repurchased or reacquired by us (i) to satisfy the exercise, strike or purchase price of an award or (ii) to satisfy a tax
 withholding obligation in connection with an award, the shares that are forfeited or repurchased or reacquired will reduce the
 number of shares available for issuance under the 2024 Plan. We no longer make grants under the 2019 EIP or the 2021 Plan; however,
 up to 783,478 shares of our common stock (subject to adjustment for recapitalizations, stock splits and similar transactions)
 subject to outstanding stock options or other equity awards granted under the 2021 Plan that, following June 6, 2024, terminate or
 expire prior to exercise or settlement, are not issued because the award is settled in cash or are forfeited because of the failure
 to vest, became or will become available for issuance under the 2024 Plan.

 (4)
 As of December 31, 2024, a total of 981,370 shares of our common stock
were reserved for future issuance pursuant to the 2024 ESPP.

 (5)
 Includes
 solely the Inducement Plan.

 ITEM 13. CERTAIN RELATIONSHIPS AND RELATED PARTY TRANSACTIONS

 The following is a summary of transactions since January 1, 2024, to
which we have been a participant in which the amount involved exceeded or will exceed the lesser of $120,000 or one percent of the average
of our total assets at year-end for the last two completed fiscal years, and in which any of our directors, executive officers or holders
of more than five percent of our capital stock, or any member of the immediate family of the foregoing persons, had or will have a direct
or indirect material interest, other than compensation arrangements which are described in "Executive Compensation" in Part
III, Item 11 of this Annual Report on Form 10-K.

 We believe the terms obtained or consideration
that we paid or received, as applicable, in connection with the transactions described below were comparable to terms available or the
amounts that would be paid or received, as applicable, in arm's length transactions.

 Dr. Shizuru Consulting Agreement

 On December 16, 2019, we entered into a consulting
agreement with Judith Shizuru, M.D., Ph. D., a member of our Board and holder of more than 5% of our capital stock at the time the consulting
agreement was entered into, pursuant to which Dr. Shizuru provides us with consulting and advisory services in exchange for a cash fee
of $20,833 per month, or $250,000 per year.

 Employment Arrangements

 We have entered into employment agreements, offer letters and service
agreements with certain of our executive officers. For more information regarding these agreements with our executive officers, see "Executive
Compensation — Employment and Other Arrangements with Named Executive Officers" in Part III, Item 11 of this Annual Report
on Form 10-K.

 Annual Cash Bonus

 We have established a cash incentive plan for certain of our executive
officers. For a description of this plan, see "Executive Compensation — Individual Compensation Elements — Annual Cash
Incentive Bonuses" in Part III, Item 11 of this Annual Report on Form 10-K.

 Indemnification of Directors and Officers

 Our Certificate of Incorporation contains provisions
that limit the liability of our current and former directors and officers for monetary damages to the fullest extent permitted by Delaware
law. Delaware law provides that directors and officers of a corporation will not be personally liable for monetary damages for any breach
of fiduciary duties as directors or officers, except liability for:

 any breach of the director's or officer's duty
of loyalty to the corporation or its stockholders;

 any act or omission not in good faith or that involves intentional
misconduct or a knowing violation of law;

 as a director, unlawful payments of dividends or unlawful
stock repurchases or redemptions;

 as an officer, derivative claims brought on behalf of the
corporation by a stockholder; or

 any transaction from which the director or officer derived
an improper personal benefit.

 Such limitation of liability does not apply to
liabilities arising under federal securities laws and does not affect the availability of equitable remedies such as injunctive relief
or rescission.

 Our Certificate of Incorporation authorizes us
to indemnify our directors, officers, employees and other agents to the fullest extent permitted by Delaware law. Our Bylaws provide
that we are required to indemnify our directors and officers to the fullest extent permitted by Delaware law and may indemnify our other
employees and agents. Our Bylaws also provide that, on satisfaction of certain conditions, we will advance expenses incurred by a director
or officer in advance of the final disposition of any action or proceeding, and permit us to secure insurance on behalf of any officer,
director, employee or other agent for any liability arising out of his or her actions in that capacity regardless of whether we would
otherwise be permitted to indemnify him or her under the provisions of Delaware law.

 We have also entered, and expect to continue to
enter, into agreements to indemnify our directors and executive officers. With certain exceptions, these agreements provide for indemnification
for related expenses, including attorneys' fees, judgments, fines and settlement amounts incurred by any of these individuals in
connection with any action, proceeding or investigation. We believe that our Certificate of Incorporation, Bylaws and indemnification
agreements are necessary to attract and retain qualified persons as directors and officers. We also maintain customary directors'
and officers' liability insurance.

 Rule 10b5-1 Sales Plans

 Our directors and executive officers may adopt
written plans, known as Rule 10b5-1 plans, in which they will contract with a broker to buy or sell shares of our common stock on a periodic
basis. Under a Rule 10b5-1 plan, a broker executes trades pursuant to parameters established by the director or executive officer when
entering into the plan, without further direction from them. The director or executive officer may amend a Rule 10b5-1 plan in some circumstances
and may terminate a plan at any time. Our directors and executive officers also may buy or sell additional shares outside of a Rule 10b5-1
plan when they are not in possession of material nonpublic information, subject to compliance with the terms of our insider trading policy.

 Other Transactions

 We have granted stock and option awards to certain of our directors
and named executive officers. For more information regarding the stock and option awards granted to our directors and named executive
officers, see "Executive Compensation — Non-Employee Director Compensation — Non-Employee Director Compensation Table"
and "Executive Compensation — Outstanding Equity Awards as of December 31, 2024" in Part III, Item 11 of this Annual
Report on Form 10-K.

 We have entered into change-in-control agreements with certain of our
executive officers pursuant to our Severance Plan that, among other things, provide for certain severance and change-in-control benefits.
See the section titled "Executive Compensation — Employment and Other Arrangements with Named Executive Officers — Employee
Severance Plan" in Part III, Item 11 of this Annual Report on Form 10-K.

 Policies and Procedures for Related Party Transactions

 Our Board has adopted a related person transaction
policy setting forth the policies and procedures for the identification, review and approval or ratification of related person transactions.
This policy covers, with certain exceptions set forth in Item 404 of Regulation S-K under the Securities Act of 1933, as amended (the
"Securities Act"), any transaction, arrangement or relationship, or any series of similar transactions, arrangements or relationships,
in which we and a related person, as defined by the Securities Act, were or will be participants and the amount involved exceeds $120,000,
including purchases of goods or services by or from the related person or entities in which the related person has a material interest,
indebtedness and guarantees of indebtedness. In reviewing and approving any such transactions, our Audit Committee will consider all
relevant facts and circumstances as appropriate, such as the purpose of the transaction, the availability of other sources of comparable
products or services, whether the transaction is on terms comparable to those that could be obtained in an arm's length transaction,
management's recommendation with respect to the proposed related person transaction and the extent of the related person's
interest in the transaction.

 ITEM 14. PRINCIPAL ACCOUNTING FEES AND SERVICES

 Fees Paid to the Independent Registered Public Accounting Firm

 The following table presents fees for professional
audit services and other services rendered by PricewaterhouseCoopers LLP to us for our fiscal years ended December 31, 2024 and December
31, 2023 (in thousands).

 2024

 2023

 Audit Fees (1)

 $
 1,050

 $
 1,110

 Audit-Related Fees

 —

 —

 Tax Fees (2)

 —

 All Other Fees (3)

 Total

 1,052

 $
 1,125

 (1)
 Audit fees consist of fees billed for professional services by PricewaterhouseCoopers LLP
for financial statement audit and review services that are customary under generally accepted auditing standards or that are customary
for the purpose of rendering an opinion on or review of the financial statements, and comfort letters, consents and assistance with review
of documents relating to our registration statements on Form S-3 and Form S-8.

 (2)
 Tax fees consist of fees for tax compliance services.

 (3)
 Consist of fees for products and services other than the services described above. All other
fees for fiscal years 2024 and 2023 were related to annual subscription for accounting literature.

 Auditor Independence

 In our fiscal year ended December 31, 2024, there
were no other professional services provided by PricewaterhouseCoopers LLP, other than those listed above, that would have required our
Audit Committee to consider their compatibility with maintaining the independence of PricewaterhouseCoopers LLP.

 Pre-Approval Policies and Procedures

 Our Audit Committee is required to pre-approve
the audit and non-audit services performed by our independent registered public accounting firm in order to assure that the provision
of such services does not impair the auditor's independence. Any proposed services exceeding pre-approved cost levels require specific
pre-approval by our Audit Committee.

 Our Audit Committee at least annually reviews
and provides general pre-approval for the services that may be provided by the independent registered public accounting firm. The term
of the general pre-approval is 12 months from the date of approval unless our Audit Committee specifically provides for a different period.
If our Audit Committee has not provided general pre-approval, then the type of service requires specific pre-approval by our Audit Committee.

 Pursuant to its charter, our Audit Committee has
delegated pre-approval authority to the Chairperson of our Audit Committee so long as any such pre-approval decisions are presented to
the full Audit Committee at its next scheduled meeting. All services performed and related fees billed by PricewaterhouseCoopers LLP
during fiscal year 2024 were pre-approved by our Audit Committee pursuant to regulations of the SEC.

 ITEM 15. EXHIBITS, FINANCIAL STATEMENT SCHEDULES

 (a)(1) Financial Statements

 Our Financial Statements are listed in the "Index
to the Financial Statements" of Jasper Therapeutics, Inc. in Part II, Item 8 of this Annual Report on Form 10-K.

 (a)(2) Financial Statement Schedules

 All financial statement schedules have been omitted
because they are not required, not applicable, or the required information is included in the consolidated financial statements or notes
thereto included in Part II, Item 8 of this Annual Report on Form 10-K.

 (a)(3) Exhibits

 The following exhibits are filed herewith or incorporated
herein by reference:

 Incorporated
 by Reference

 Exhibit

 Number

 Description

 Form

 File

 Number

 Filing
 Date

 Exhibit

 2.1+

 Business
 Combination Agreement, dated as of May 5, 2021, by and among Amplitude Healthcare Acquisition Corporation, Ample Merger Sub,
 Inc., and Jasper Therapeutics, Inc.

 5/6/2021

 2.1

 3.1

 Second
 Amended and Restated Certificate of Incorporation of the Registrant.

 9/29/2021

 3.1

 3.2

 Certificate
 of Amendment to the Second Amended and Restated Certificate of Incorporation, dated June 8, 2023.

 6/8/2023

 3.1

 3.3

 Certificate
 of Second Amendment to the Second Amended and Restated Certificate of Incorporation of Jasper Therapeutics, Inc., filed with the
 Secretary of State of the State of Delaware on January 3, 2024.

 1/3/2024

 3.1

 3.4

 Third
 Amended and Restated Bylaws of the Registrant.

 2/17/2023

 3.1

 4.1

 Form
 of Warrant Agreement, dated November 19, 2019, by and between the Registrant and Continental Stock Transfer & Trust
 Company, as warrant agent.

 11/25/2019

 4.1

 4.2

 Specimen
 Warrant Certificate.

 S-1/A

 333-234324

 11/6/2019

 4.3

 4.3

 Description of Securities of Jasper Therapeutics, Inc.

 3/5/2024

 4.3

 10.1

 Jasper Therapeutics, Inc. 2021 Equity Incentive Plan

 9/29/2021

 10.3

 10.2

 and Restated Registration Rights Agreement, dated September 24, 2021.

 9/29/2021

 10.2

 10.3#

 Therapeutics, Inc. 2024 Equity Incentive Plan.

 S-8

 4.3

 10.4#

 Form
 of Stock Option Award Agreement under the Jasper Therapeutics, Inc. 2024 Equity Incentive Plan.

 S-8

 4.4

 10.5#

 Form
 of Restricted Stock Unit Award Agreement under the Jasper Therapeutics, Inc. 2024 Equity Incentive Plan.

 S-8

 4.5

 10.6#

 Form
 of Restricted Stock Award Agreement under the Jasper Therapeutics, Inc. 2024 Equity Incentive Plan.

 S-8

 4.6

 10.7#

 Therapeutics, Inc. 2024 Employee Stock Purchase Plan.

 S-8

 4.7

 10.8#

 Therapeutics, Inc. 2022 Amended and Restated Inducement Equity Incentive Plan.

 6/8/2023

 10.1

 10.9#

 Therapeutics, Inc. 2022 Inducement Equity Incentive Plan Form of Stock Option Agreement and Terms and Conditions of Stock Option
 Grant.

 S-8

 333-263702

 3/18/2022

 10.6

 10.10#

 Therapeutics, Inc. 2022 Inducement Equity Incentive Plan Form of Restricted Stock Unit Agreement and Terms and Conditions of Restricted
 Stock Unit Grant.

 S-8

 333-263702

 3/18/2022

 10.7

 10.11#

 Therapeutics, Inc. 2019 Equity Incentive Plan.

 S-4/A

 7/19/2021

 10.12

 10.12#

 and Restated Employment Agreement, dated as of June 10, 2024, by and between Jasper Therapeutics, Inc. and Ronald Martell.

 6/12/2024

 10.3

 10.13#

 and Restated Employment Agreement, dated as of June 10, 2024, by and between Jasper Therapeutics, Inc. and Herb Cross.

 6/12/2024

 10.4

 10.14#

 and Restated Employment Agreement, dated as of June 10, 2024, by and between Jasper Therapeutics, Inc. and Jeet Mahal.

 6/12/2024

 10.5

 10.15#

 and Restated Employment Agreement, dated as of June 10, 2024, by and between Jasper Therapeutics, Inc. and Edwin Tucker.

 6/12/2024

 10.6

 10.16#

 Consulting Agreement, dated December 16, 2019, by and between Jasper Therapeutics, Inc. and Judith Shizuru, M.D., Ph. D.

 S-4/A

 10.29

 10.17*#

 Jasper Therapeutics, Inc. Non-Employee Director Compensation Policy.

 10.18#

 Form
 of Indemnification Agreement by and between Jasper Therapeutics, Inc. and each of its directors and executive officers.

 S-4/A

 7/19/2021

 10.28

 10.19^

 Exclusive
 License Agreement, dated November 21, 2019, by and between Jasper Therapeutics, Inc. and Amgen Inc.

 S-4/A

 10.13

 10.20

 Assignment
 Agreement, dated as of November 21, 2019, by and between Jasper Therapeutics, Inc. and Amgen Inc.

 S-4/A

 10.14

 10.21^

 Investigator
 Sponsored Research Agreement, Amgen Protocol No. 20119244, effective as of June 18, 2013, between Jasper Therapeutics, Inc.,
 as successor in interest to Amgen Inc., and The Board of Trustees of the Leland Stanford Junior University for Stanford University.

 S-4/A

 10.15

 10.22^

 #1 to the Investigator Sponsored Research Agreement, Amgen Protocol No. 20119244, dated February 27, 2017, between Jasper Therapeutics,
 Inc., as successor in interest to Amgen Inc., and The Board of Trustees of the Leland Stanford Junior University for Stanford University.

 S-4/A

 10.16

 10.23^

 #2 to the Investigator Sponsored Research Agreement, Amgen Protocol No. 20119244, dated November 15, 2017, between Jasper Therapeutics,
 Inc., as successor in interest to Amgen Inc., and The Board of Trustees of the Leland Stanford Junior University for Stanford University.

 S-4/A

 10.17

 10.24^

 Quality
 Agreement, dated October 7, 2015, by and between Jasper Therapeutics, Inc., as successor in interest to Amgen Inc., and The
 Board of Trustees of the Leland Stanford Junior University for Stanford University.

 S-4/A

 10.18

 10.25^

 Exclusive
 License Agreement, effective as of March 25, 2021, by and between Jasper Therapeutics, Inc. and The Board of Trustees of the
 Leland Stanford Junior University.

 S-4/A

 10.19

 10.26^

 No. 1 to the Exclusive License Agreement, dated July 27, 2023, between Stanford University and Jasper Therapeutics, Inc.

 8/11/2023

 10.2

 10.27^

 Sponsored
 Research Agreement, effective September 1, 2020, by and between Jasper Therapeutics, Inc. and The Board of Trustees of the Leland
 Stanford Junior University.

 S-4/A

 10.20

 10.28^

 Development
 and Manufacturing Services Agreement, dated November 29, 2019, by and between Jasper Therapeutics, Inc. and Lonza Sales AG.

 S-4/A

 8/20/2021

 10.25

 10.29^

 No. 1 to Development and Manufacturing Services Agreement, executed April 24, 2020 by and between Jasper Therapeutics, Inc.
 and Lonza Sales AG.

 S-4/A

 8/20/2021

 10.26

 10.30^

 No. 2 to Development and Manufacturing Services Agreement, executed December 1, 2020, by and between Jasper Therapeutics, Inc.
 and Lonza Sales AG.

 S-4/A

 8/20/2021

 10.27

 10.31

 Controlled
 Equity Offering SM Sales Agreement, dated as of November 10, 2022, by and between Jasper Therapeutics, Inc. and Cantor
 Fitzgerald & Co.

 11/10/2022

 10.1

 19.1*

Therapeutics, Inc. Insider Trading Policy

 21.1

 List
 of Subsidiaries of the Registrant.

 9/29/2021

 21.1

 23.1*

 Consent of Independent Registered Public Accounting Firm.

 31.1*

 Certification of the Principal Executive Officer pursuant to Rule 13a-14(a) or 15d-14(a) of the Securities Exchange Act of 1934.

 31.2*

 Certification of the Principal Financial Officer pursuant to Rule 13a-14(a) or 15d-14(a) of the Securities Exchange Act of 1934.

 32.1**

 Certification of the Principal Executive Officer and Principal Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

 Jasper Therapeutics, Inc. Clawback Policy

 3/5/2024

 101.INS*

 101.SCH*

 101.CAL*

 Document.

 101.DEF*

 Document.

 101.LAB*

 Document.

 101.PRE*

 Document.

 104*

 Cover Page Interactive Data File (formatted as

 +

 The annexes, schedules, and certain exhibits to
 the Business Combination Agreement have been omitted pursuant to Item 601(b)(2) of Regulation S-K. The Registrant hereby agrees to
 furnish supplementally a copy of any omitted annex, schedule or exhibit to the SEC upon request.

 #

 Indicates a management contract or compensatory
 plan or arrangement.

 ^

 Certain identified information has been omitted
 pursuant to Item 601(b)(10) of Regulation S-K because such information is both (i) not material and (ii) of the type that the Registrant
 treats as private or confidential. The Registrant hereby undertakes to furnish supplemental copies of the unredacted exhibit upon
 request by the SEC.

 *

 Filed herewith.

 **

 Furnished herewith.

 ITEM 16. FORM 10-K SUMMARY

 None.

 SIGNATURES

 Pursuant to the requirements of Section 13 or 15(d) of the Securities
Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 Date: February 28, 2025

 By:

 /s/ Ronald Martell

 Ronald
 Martell

 Chief Executive Officer

 Pursuant to the requirements of the Securities Exchange Act of 1934,
this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

 Signature

 Title

 Date

 /s/ Ronald Martell

 President, Chief
 Executive Officer and Director

 (Principal Executive
 Officer)

 /s/ Herb Cross

 Chief
 Financial Officer

 Herb Cross

 (Principal
 Accounting and Financial Officer)

 /s/ Thomas G.
 Wiggans

 Chairperson
 of the Board

 Thomas G. Wiggans

 /s/ Scott Brun,
 M.D.

 Scott Brun, M.D.

 /s/ Vishal Kapoor

 Vishal Kapoor

 /s/
 Svetlana Lucas, Ph. D.

 Svetlana Lucas, Ph. D.

 /s/
Christian W. Nolet

 Christian W. Nolet

 /s/ Judith Shizuru,
 M.D., Ph. D.

 Judith Shizuru, M.D., Ph. D.

 /s/ Kurt von
 Emster

 Kurt von Emster

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