Company: SRFM
Filing Date: 2025-11-12
Form Type: 8-K
Source: 0001193125-25-277566
Chunk: 5

Company: SURF AIR MOBILITY INC.
Filing Date: 2025-11-12
Form: 8-K
Item: Item 1.01
Chunk 5
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 (5) trading days prior to the earlier of (x) the effective date of such fundamental change and (y) the date that such fundamental change is publicly announced and ending on the date immediately preceding the fundamental change repurchase date and (II) the accrued and unpaid interest thereon

Immediately following the closing of the Note transaction, we are required to register the resale of the shares of Common Stock issuable upon conversion of the Note and use reasonable best efforts to cause the applicable registration statement to become effective within 21 days following the closing date. In the event such registration statement ceases to remain continuously effective, the Company is required to pay (i) on the first business day after such event an amount in cash, as partial liquidated damages, equal to the product of 2.0% multiplied by the aggregate principal amount of the Note then outstanding, and (ii) additional liquidated damages, which will automatically accrue on the principal amount of the Note then outstanding, at a rate per annum equal to 24.0%, from, and including, the date of the applicable event, to, but excluding the date that a registration statement is available for the resale of the shares of Common Stock issuable upon conversion of the Note and all outstanding liquidated damages have been paid; provided, however, that liquidated damages with respect to any suspension or termination of a resale registration statement following initial effectiveness shall be payable only through the fifth business day after the liquidated damages begin to accrue.

If certain events of default occur, the holder of the Note may declare the Note due and payable for cash in an amount equal to the greater of (A) the sum of (1) any amount paid pursuant to the Letter of Credit (as defined below), (2) 115% of 105% of the then outstanding principal amount of the Note, after deducting from such principal amount any payment pursuant to the Letter of Credit and (3) accrued and unpaid interest and (B) the sum of (1) 110% of the conversion value of the then outstanding principal amount of the Note and (2) accrued and unpaid interest (the “ Event of Default Acceleration Amount”). In the event the conversion value of the Note is equal to or less than their principal amount, the Company may instead redeem the Note in whole or in part or Park Lane Investments LLC (“ Park Lane”), the credit support provider, may purchase the Note in whole, but not in part, in either case for a cash price equal to the Event of Default Acceleration