Company: XTIA
Filing Date: 2025-03-31
Form Type: 424B5
Source: 0001013762-25-004458
Chunk: 26

Company: XTI Aerospace, Inc.
Filing Date: 2025-03-31
Form: 424B5
Chunk 26
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 will have no rights with respect to our common stock underlying
such Warrants. Upon exercise of the Warrants, the holders will be entitled to exercise the rights of a stockholder of our common stock
only as to matters for which the record date occurs after the exercise date.

Moreover, following this offering,
the market value of the Warrants is uncertain. There can be no assurance that the market price of our common stock will ever equal or
exceed the price of the Warrants, and, consequently, whether it will ever be profitable for investors to exercise their Warrants.

We will not receive any meaningful amount of additional funds upon the exercise of the Pre-funded Warrants.

Each Pre-funded Warrant will
be exercisable until it is fully exercised and by means of payment of the nominal cash purchase price upon exercise or through a “cashless
exercise” procedure. Accordingly, we will not receive any meaningful additional funds upon the exercise of the Pre-funded Warrants.

<div align='center'>S-10</div>

Significant holders or beneficial holders of shares of our common stock may not be permitted to exercise the Warrants that they hold.

A holder of the Warrants will
not be entitled to exercise any portion of any Warrant that, upon giving effect to such exercise, would cause the aggregate number of
shares of our common stock beneficially owned by such holder (together with its affiliates) to exceed 4.99% (or 9.99% at the election
of the holder) of the number of shares of our common stock immediately after giving effect to the exercise, as such percentage ownership
is determined in accordance with the terms of the Warrants. As a result, you may not be able to exercise your Warrants for shares of our
common stock at a time when it would be financially beneficial for you to do so. In such a circumstance, you could seek to sell your Warrants
to realize value, but you may be unable to do so in the absence of an established trading market and due to applicable transfer restrictions.

Adverse judgments or settlements in legal proceedings could materially harm our business, financial condition, operating results and cash flows.

We may be a party to claims
that arise from time to time in the ordinary course of our business, which may include those related to, for example, our securities offerings,
contracts, sub-contracts, protection of confidential information or trade secrets, adversary proceedings arising from customer bankruptcies,
employment of our workforce and immigration requirements or compliance with any of a