Company: BLIS
Filing Date: 2025-10-09
Form Type: 10-Q
Source: 0001199835-25-000342
Chunk: 25

Company: NAPC Defense, Inc.
Filing Date: 2025-10-09
Form: 10-Q
Item: Part I, Item 1
Chunk 25
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, with a face value of $50,000, bears
interest at 10.0% per annum and was due on August 1, 2024. The convertible note payable is convertible upon default, at the note holder’s
option, into the Company’s common shares at a fixed conversion rate of $0.01. The principal balance of the convertible promissory
note payable was $50,000 at July 31, 2025 and April 30, 2025.

On June 14, 2024, the Company entered into a convertible
promissory note agreement with respect to the sale and issuance of: (i) an initial financing fee in the amount of 1,071,430 shares of
the Company’s restricted common stock, and(ii) a promissory note in the aggregate principal amount of $150,000 and (iii) warrants
to purchase 5,357,143 shares at $0.028. The company received proceeds of $135,000 resulting in an original issue discount of $15,000.
The convertible promissory note has a due date of June 14, 2025, and bears interest at the rate of 10% per year that is convertible into
shares of common stock at $0.028. In the event of default as defined in the note, the outstanding balance of the note will increase to
140% of the balance immediately prior to the occurrence of the event of default. There are additional terms and conditions contained in
the note that could result in the Company being required to issue a significant amount of shares and/or warrants to the lender. The common
stock and the warrants were recorded at their relative fair values of $13,199 and $65,742 respectively. The resulting debt discount on
this note was $93,941. The Company recorded a loan financing fee as additional principal of $60,000 during the three month period ended
July 31, 2025. The principal balance of the note at July 31, 2025 and April 30, 2025 is $210,000 and $150,000 respectively.

    15

On July 3, 2024, the Company entered into a convertible
promissory note agreement with respect to the sale and issuance of: (i) an initial financing fee in the amount of 125,000 shares of the
Company’s restricted common stock, and (ii) a promissory note in the aggregate principal amount