Company: PFSA
Filing Date: 2025-05-15
Form Type: 424B3
Source: 0001213900-25-044417
Chunk: 469

Company: Profusa, Inc.
Filing Date: 2025-05-15
Form: 424B3
Chunk 469
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ensed immediately. Loss on change in the fair value of related party Tasly convertible debt —Loss on change in the fair value of related party convertible loan increased by $0.3million or 1,314% during the year ended December31, 2024 from $22 thousand in the year ended December31, 2023. The Company elected to apply a fair value option to account for the Tasly Convertible Debt, under which none of the embedded conversion or redemption features were bifurcated and separately accounted for. The Tasly Convertible Debt fair value was determined using the discounted cash flow methodology based on probability weighted scenarios of the convertible notes conversion. The Tasly Convertible Debt was recorded at fair value at inception and is subject to remeasurement to fair value at each balance sheet date, with the change in fair value reflected in the statements of operations. Interest Expense— Interest expense increased by $0.1 million, or 3%, to $4.4 million during the year ended December31, 2024 from $4.3 million during the year ended December31, 2023. The increase was primarily due to additional notes issued throughout 2024 at 12% interest per annum. Other Income— Other income decreased by $0.1 million, or 95%, to $0 during the year ended December31, 2024 from $100 during the year ended December31, 2023. Liquidity and Capital Resources Sources of Liquidity We incurred net losses and negative operating cash flows from operations since inception, and we expect to continue to incur losses and negative operating cash flows for the foreseeable future until we successfully commence sustainable commercial operations. To date, we have funded our operations primarily with proceeds from the issuance of convertible preferred stock, junior and senior convertible notes, PPP Loans available to us under the Paycheck Protection Program and promissory notes. From inception through December31, 2024, we raised gross proceeds of $96.5 million from the issuances of convertible preferred stock and convertible notes and loans, received $2.5 million from PPP Loans and received $0.9 million from issuance of promissory notes. As of December31, 2024, we had cash and cash equivalents of $0.1 million. Our junior convertible notes bear interest at 12% per annum and, as of December31, 2024, their then outstanding principal and accrued but unpaid interest will automatically convert into common shares of New Profusa at $7.00 per share upon consum