Company: SATT
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001683168-25-002119
Chunk: 634

Company: SATIVUS TECH CORP.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 8
Chunk 634
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3 
  
    Share price 
    $0.13  
    $0.16 
  
    Dividend yield 
     0  
     0% 
  
    Risk-free interest rate 
     4.37%  
     5.26% 
  
    Expected term (in years) 
     0.25  
     0.50 
  
    Volatility 
     69.59%  
     54.14% 

During the year ended December 31, 2024,
and 2023, the Company recorded interest expenses related to February 2019 Loan in the amount of $28 and $30, respectively.

     F-17 

SATIVUS TECH CORP.

NOTES TO FINANCIAL STATEMENTS

U.S. dollars in thousands, except per share
data

    NOTE 3:-
    CONVERTIBLE LOANS (Cont.)

    b.
    On October 15, 2019, the Company received a convertible loan from a third party (“October 2019 Lender”) in the principal amount of $1,100 that bears an annual 10% interest rate (“October 2019 Loan”). The October 2019 Loan had a two-year term. Prior to the maturity date of the October 2019 Loan, the Company, at its option, has the right to redeem, in cash, in part or in whole, the amounts outstanding provided that as of the date of the redemption notice (i) the volume-weighted average price of the Company’s ordinary shares is less than $12.50 and (ii) there is no equity condition failures as defined therein. In the event that the Company wishes to redeem any amount under the convertible loan, the Company shall pay an amount equal to the principal amount being redeemed plus a redemption premium equal to 20% of the outstanding amount being redeemed in addition to outstanding and accrued interest.

The October 2019 Lender shall be entitled
to convert the principal loan and the outstanding interest (the “Conversion Amount”) into such number of ordinary shares determined
by dividing (x) such Conversion Amount by (y) the fixed conversion price of $12.50 or (z) 80% of the lowest the volume-weighted average
price of the Company’s ordinary shares during the 10 trading days immediately preceding the conversion date.

The Company accounted for the October
2019 Loan in accordance with ASC 470-20, Debt with conversion and other Options.