Company: PFSA
Filing Date: 2025-02-18
Form Type: PRE 14A
Source: 0001213900-25-014919
Chunk: 22

Company: Profusa, Inc.
Filing Date: 2025-02-18
Form: PRE 14A
Chunk 22
---
 regulated as an investment company under the
Investment Company Act, unless we can qualify for an exclusion, we must ensure that we are engaged primarily in a business other
than investing, reinvesting or trading in securities and that our activities do not include investing, reinvesting, owning, holding
or trading “investment securities” constituting more than 40% of our total assets (exclusive of U.S. government
securities and cash items) on an unconsolidated basis. Our business will be to identify and complete a business combination and
thereafter to operate the post-transaction business or assets for the long term. We do not plan to buy businesses or assets with a
view to resale or profit from their resale. We do not plan to buy unrelated businesses or assets or to be a passive investor.

<div align='center'>20</div>

We do not believe that our anticipated principal activities will subject
us to the Investment Company Act. The proceeds held in the trust account were previously invested by the trustee only in United States
government treasury bills with a maturity of 185 days or less or in money market funds investing solely in United States Treasuries
and meeting certain conditions under Rule 2a-7 under the Investment Company Act. However, to mitigate the risk of us being deemed
to be an unregistered investment company (including under the subjective test of Section 3(a)(1)(A) of the Investment Company
Act) under the proposed rules issued by the SEC and thus potentially subject to regulation under the Investment Company Act, in January 2024,
we instructed Continental, the trustee with respect to the Trust Account, to liquidate the U.S. government treasury obligations or
money market funds held in the Trust Account and thereafter to hold all funds in the Trust Account in an interest bearing demand deposit
account at a bank until the earlier of the consummation of a Business Combination or the liquidation of the Company. Following such liquidation,
we may receive less interest on the funds held in the Trust Account than we would have if we had not liquidated such assets. As a result,
our public stockholders would receive a lower amount upon any redemption or liquidation of the Company as compared to what they would
have received had the investments not been so liquidated. Because the investment of the proceeds will be restricted to these instruments,
we believe we will meet the requirements for the exemption provided in Rule 3a-1 promulgated under the Investment Company Act. If
we were