CERO Therapeutics Completes Secured Financing with SRX Global

What Happened
CERO Therapeutics Holdings, Inc. announced on Aug 27, 2026 that it entered a secured financing with SRX Global Inc., issuing a Consolidated Senior Secured Promissory Note that consolidates prior convertible promissory notes and provides for additional advances. The Note consolidated previously outstanding debt of $5,666,108.77 and allows SRX to advance up to an additional $6,000,000, for a maximum aggregate loan of $11,666,108.77. SRX made an initial advance of $775,665 on the issue date (net of $50,000 withheld for SRX legal fees). Proceeds are intended for trade payables and general working capital for CERO and its subsidiary.

Key Details

• The consolidated prior debt amount: $5,666,108.77; maximum aggregate loan amount under the Note: $11,666,108.77.
• Initial advance funded: $775,665 (with $50,000 withheld for SRX legal expenses).
• Interest: 10% per annum (360/30 basis); default interest up to 24.99% per annum; maturity date Oct 15, 2026, with SRX able to extend up to four consecutive 30‑day periods.
• Security and guarantees: Company pledged its subsidiary stock; subsidiary granted a security interest in substantially all assets (including IP and assets related to CER‑T/CER‑1236) and provided an absolute guaranty of payment and performance.

Why It Matters
This transaction gives CERO near‑term cash to pay suppliers and fund operations but converts and secures existing unsecured debt and increases secured obligations against the company’s subsidiary and its IP. The short maturity (Oct 15, 2026), high default interest rate and restrictive covenants mean the company faces repayment or refinancing pressure in the near term; if an Event of Default occurs, SRX can accelerate repayment and enforce claims on pledged stock and IP. The Note was issued privately and is not registered under the Securities Act.