Item
2.01
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Completion of
Acquisition or Disposition of Assets.
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On
July 27, 2021, Intec Pharma Ltd., an Israeli company (the “Company” or “Intec Israel”), Intec Parent, Inc., a
Delaware corporation (“Intec Parent”), and Domestication Merger Sub Ltd., an Israeli company and a wholly-owned subsidiary
of Intec Parent (the “Domestication Merger Sub”), completed the previously announced domestication merger pursuant to the
terms and conditions of the Agreement and Plan of Merger and Reorganization, dated April 27, 2021 (the “Domestication Merger Agreement”),
whereby Domestication Merger Sub merged with and into Intec Israel, with Intec Israel being the surviving entity and a wholly-owned subsidiary
of Intec Parent (the “Domestication Merger”). As a result of the Domestication Merger,
Intec Israel continues to possess all of its assets, rights, powers and property as constituted immediately prior to the Domestication
Merger and continues to be subject to all of its debts, liabilities and obligations as constituted immediately prior to the Domestication
Merger. The Domestication Merger Agreement was
entered into in connection with an Agreement and Plan of Merger and Reorganization (the “Merger Agreement”), dated March
15, 2021, by and among Intec Israel, Intec Parent, Domestication Merger Sub, Dillon Merger Subsidiary, Inc. (“Merger Sub”)
and Decoy Biosystems, Inc., a Delaware corporation (“Decoy”), whereby upon satisfaction of certain closing conditions set
forth in the Merger Agreement, including consummation of the Domestication Merger, the Merger Sub will merge with and into Decoy, with
Decoy being the surviving entity and a wholly-owned subsidiary of Intec Parent (the “Merger”).
To
effect the Domestication Merger, Intec Israel ordinary shares, having no par value per share (the “Intec Israel Shares”),
outstanding immediately prior to the Domestication Merger converted, on a one-for-one basis, into shares of Intec Parent common stock,
$0.01 par value per share (“Intec Parent Common Stock”), and all options and warrants to purchase Intec Israel Shares outstanding
immediately prior to the Domestication Merger were exchanged for equivalent securities of Intec Parent.
Consummation
of the Domestication Merger was subject to certain closing conditions, including, among other things, the receipt of tax rulings from
the Israel Tax Authority (“ITA”). On July 19, 2021, Intec Israel obtained a tax ruling from the ITA approving that the exchange
of shares under the Domestication Merger by the Interested Public (as defined herein), in consideration for Intec Parent’s
shares shall not constitute a tax event (in accordance with and subject to conditions of Section 104H of the Israeli Income Tax Ordinance
[New Version], 5721-1961 (“the Ordinance”)) and therefore no withholding tax obligations apply to Intec Israel with respect
to the exchange of shares (the “Tax Ruling”) subject to certain conditions set forth in the Tax Ruling. For the purpose of
the Tax Ruling, a shareholder of Intec Israel falls within the definition of the “Interested Public” if, among
other things, the shareholder holds less than 5% of the share capital of Intec Israel (on a fully diluted basis), purchased
the shares after they were listed for trading, is not an Interested Party under the Israeli Securities Law, 5728-1968, and is
not a controlling shareholder as defined in section 103 of the Ordinance. The registration statement on Form S-4, as amended (File No.
333-255389), filed by Intec Israel and Intec Parent as co-registrants with the Securities and Exchange Commission on May 12, 2021 (the
“Registration Statement”), contains additional information about the tax consequences of the Domestication Merger.
The
foregoing description of the Domestication Merger Agreement and the transactions contemplated thereby does not purport to be complete
and is qualified in its entirety by reference to the Domestication Merger Agreement, which was filed as Exhibit 2.1 to Intec Israel’s
Current Report on Form 8-K filed on April 30, 2021.