Company: PFSA
Filing Date: 2025-10-29
Form Type: 424B3
Source: 0001213900-25-103174
Chunk: 90

Company: Profusa, Inc.
Filing Date: 2025-10-29
Form: 424B3
Chunk 90
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 increasing uncertainty with regard to our ability to obtain
patents in the future, this combination of events has created uncertainty with respect to the value of patents, once obtained. Depending
on actions by the U.S. Congress and decisions by the federal courts and the USPTO, the laws and regulations governing patents could
change in unpredictable ways that could weaken our ability to obtain new patents or to enforce our existing patents and patents that we
might obtain in the future.

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Several inventions covered by our patent portfolio were made using U.S. government funding. The U.S. government has an irrevocable, non-exclusive, royalty-free license to use such other inventions.

U.S. government grant
funding was used in the inventions covered by four U.S. patents and two pending U.S. patent applications in Profusa’s
patent portfolio. As a result of this funding, the government is granted an irrevocable, non-exclusive, royalty-free license to use these
patents/applications. The government’s ability to practice the inventions described in these patents/applications is limited to
practice for or on behalf of the United States. However, the license can be used to allow a third party to practice the invention
solely for the government’s benefit.

In some circumstances, the
U.S. government agency that provided the grants has the right to “march-in” and require Profusa to license its invention
to a third party. These circumstances are as follows: (a) the inventing party has not tried to achieve practical application of the
invention; (b) such a license is needed to alleviate health or safety concerns; (c) such a license is needed to meet public
use requirements specified in federal regulations; or (d) the inventing party fails to ensure that the invention will be “manufactured
substantially” in the United States.

The negative effects of march-in
rights on Profusa’s business could be profound. Most importantly, Profusa could be compelled to grant licenses for its patented
inventions to third parties, including competitors. This scenario could lead to increased competition, loss of market exclusivity, and
diminished control over the commercialization of its innovations.

Furthermore, the forced licensing
of patents under march-in rights may result in reduced revenues and profitability for Profusa. The terms and conditions of such licenses
could be dictated by the government, potentially impacting the company’s ability to generate income from its intellectual property