Adamis Pharmaceuticals Corporation

Greetings and welcome to the Atomos Pharmaceuticals full year 2022 financial results conference call. At this time, all participants are in a listen-only mode. A brief question and answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Robert Ewell, ICR Westwick. Thank you, Robert. You may begin.

Thank you, operator. Welcome to the Atomos Pharmaceuticals full year 2022 financial results and corporate update conference call. Joining me on the call today are members of the Atomos executive team, including Chief Executive Officer David J. Margulio and Chief Financial Officer David Benedicto. In addition, DMK Pharmaceuticals CEO Dr. Ibu Versi will also join the call to provide an introduction to DMK. in the context of the proposed merger with Atomos. Our format for this call will consist of prepared remarks from Atomos management and Dr. Versi, followed by a Q&A session. This call is being webcast and will be available for replay in the investor section of our website at atomospharmaceuticals.com. In today's call, we will make certain forward-looking statements regarding our business based on current information and expectations. Those statements speak only as of today. And except as required by law, we do not assume any duty to update in the future any forward-looking statement made today. Of course, any forward-looking statements involve risks and uncertainties, and our actual results could differ materially from those anticipated by any forward-looking statements that we make today. Additional information concerning factors that could affect our business and financial results is included in our most recent annual report on Form 10-K, filed with the Securities and Exchange Commission, and in other subsequent filings that we make with the SEC. These are available on the SEC's website. Today's call may also include certain forward-looking statements related to DMK, its technologies, product candidates, and their market potential. All of these forward-looking statements are subject to risks, uncertainties, and assumptions that could cause actual results to differ materially from such forward-looking statements. Further, nothing in today's presentation should be considered an offering of securities or a solicitation of a proxy vote. The information discussed today is qualified in its entirety by the current report on Form 8K that was filed by Atomos on February 27, 2023, which may be accessed on the SEC's website. In the coming weeks, we intend to file and mail to stockholders a record of proxy statement that will provide details on the proposed merger transaction with DMK. We urge all ADMA stockholders to read the proxy statement after it is filed with the SEC and all current and future SEC filings which describe the proposed transaction carefully, because they will contain important information about DMK, the proposed transaction, and specific risks and uncertainties, particularly those described in the risk factors sections. Once available, these documents can be obtained free of charge from the SEC at sec.gov or on Adamus' website. Now, let me turn, let me hand the call over to David Margulio, CEO of Adamus.

Thank you, Robert. And thank you to everybody for joining our call this afternoon. Today we'll be discussing our full year 2022 operational and financial results. As you know, since October, the company has been engaged in a process to explore strategic and financing alternatives. That process concluded last month with the announcement of the execution of the merger agreement with DMK Pharmaceuticals. In the forthcoming proxy statement, we will describe and provide stockholders with more detail about the process, the terms of the merger agreement, and why management and our board of directors believe this transaction to be the best path forward to producing long-term value for the stockholders. While engaged in this process, we have also undertaken efforts to reduce the company's operating expenses, which included winding down all R&D activities and a significant reduction in headcount that should impact 2023 financials. There have also been some positive developments since the start of the year. At the end of December and early January, we sold off certain of USC's remaining assets, netting just over $1 million. We are now attempting to liquidate the remaining USC assets, which have an approximate book value of $2.9 million, but there can be no certainty regarding the timing or the net proceeds from those sales. Also in January, we received a tax refund which had been previously requested from the IRS under the Employee Retention Credit Program under the CARES Act. On February 23rd, we announced that NASDAQ had granted our request to extend the period for the company to regain compliance with the $1 minimum share price requirement. subject to the company evidencing compliance with all applicable criteria for continued listing by no later than a final extension date of June 26, 2023. The company's continued listing is subject to the timely satisfaction of certain interim milestones and the undertaking of certain corporate actions during the compliance period, including executing the merger agreement with DMK and effecting a reverse stock split of the common stock and achieving a minimum closing bid price of at least $1 per share for a minimum of 10 consecutive business days prior to the expiration of the compliance period. Within days of the NASDAQ's decision, the boards of both companies authorized and executed the merger agreement between Atomos and DMK. On Tuesday of this week, we announced a raise of $3 million in gross proceeds from a single healthcare-focused fund. This equity financing was intended to enable the company to operate through a period during which we can complete the merger with DMK. Now, before introducing Dr. Versi to discuss DMK's neurology-focused platform and clinical programs, David Benedicto will describe our year-end 2022 financials. David.