Company: PFSA
Filing Date: 2025-11-19
Form Type: 10-Q
Source: 0001213900-25-112723
Chunk: 167

Company: Profusa, Inc.
Filing Date: 2025-11-19
Form: 10-Q
Item: Part I, Item 8
Chunk 167
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 amounts owed thereunder. The Initial Note provides for certain events of default that are typical for a transaction
of this type, including, among other things, any breach of the representations or warranties made by the Company and our subsidiaries.
The Initial Note also provides for a 10% late fee in case of late payments and mandatory prepayments upon Subsequent Offerings (as defined
in the Initial Note) and, in the absence of an event of default, may be prepaid upon 10 business days prior notice, subject to certain
conversion rights of the PIPE Investors.

The Initial Note may not be converted by the PIPE Investors into shares
of our Common Stock if such conversion would result in the investors or their affiliates owning in excess of 4.99% of the number of shares
of our Common Stock outstanding immediately after giving effect to the issuance of all shares issuable upon conversion of the Initial
Note (the “Beneficial Ownership Limitation”); provided, that the PIPE Investors may increase or decrease the Beneficial Ownership
Limitation upon at least 61 days’ prior notice to us so long as such increase does not exceed 9.99% of the number of shares of our
Common Stock outstanding immediately after giving effect to the issuance of all shares issuable upon conversion of the Initial Note. On
August 1, 2025, pursuant to a Notice and Waiver, the Beneficial Ownership Limitation was increased from 4.99% to 9.99% and the Company
waived the requirement for the 60 days’ advance notice for such increase.

24

On August 25, 2025, the Company entered into Amendment No. 1 (the
“SPA Amendment”) to the PIPE Subscription Agreement. Pursuant to the SPA Amendment, Section 2.1 of the PIPE Subscription Agreement
was amended and restated to provide for four tranches of Notes: (i) an initial closing for Notes in an aggregate principal amount of $10,000,000
(the “First Tranche”), which already occurred on July 11, 2025; (ii) a second closing for Notes in an aggregate principal
amount of $2,222,222 (the “Second Tranche”) for a purchase price of $2,000,000, subject to the satisfaction of certain conditions
including the filing of a registration statement on Form S-1 covering all conversion shares and no Nasdaq listing deficiency; (iii) a
third closing for Notes in an aggregate principal amount of $