Company: HCTI
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0001213900-25-109581
Chunk: 23

Company: Healthcare Triangle, Inc.
Filing Date: 2025-11-13
Form: 10-Q
Item: Part I, Item 1
Chunk 23
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 exercisable on cash basis, whereas others were exercisable
on an alternative cashless basis) on a relative fair value basis and recorded the amount allocated to the Common Warrants within additional
paid-in capital on the accompanying consolidated balance sheet as the Common Warrants met all the criteria for equity classification.
During the nine months ended September 30, 2025, all of the prefunded warrants have been converted into equity and all of the alternative
cashless warrants have been exercised. As the remaining Common Warrants were equity classified, they do not require subsequent remeasurement
after the issuance.

The Common Warrants contain standard adjustments
to the exercise price including stock splits, stock dividend, rights offerings and pro rata distributions.

On June 16, 2025, Healthcare Triangle, Inc and
Niyama Healthcare, Inc., a Delaware corporation, a provider of Mental Health and Hospital Information Systems technology, across India,
Southeast Asia, and Europe (the “Seller”) entered into an Asset Transfer Agreement (the “Agreement”). Please
refer to note 3.3 for further details.

18

HEALTHCARE TRIANGLE, INC.

Notes To Condensed Consolidated Financial Statements

(Unaudited)

(In thousands except share and per share data)

Black Scholes warrant fair value:

    Instrument 
    Shares/ Warrants  
    Fair value  
    Gross Proceeds  
    Expenses on fund raising  
    Net Proceeds 
  
    Common Stock 
     28,183  
     2,947  
     95  
     (10) 
     85 
  
    Pre-funded Warrants 
     117,161  
     12,253  
     395  
     (40) 
     355 
  
    Series A Warrants (1) 
     1,453,434  
     -  
     -  
     -  
     - 
  
    Series B Warrants 
     4,360,300  
     456,000  
     14,710  
     (1,474) 
     13,236 

     471,200  
     15,200  
     (1,524) 
     13,676 

  (1) Series A warrants are cash
warrants. As at September 30, 2025, no investor has exercised these warrants as these warrants are materially