Company: GCTS
Filing Date: 2025-04-23
Form Type: S-3
Source: 0001104659-25-038103
Chunk: 14

Company: GCT Semiconductor Holding, Inc.
Filing Date: 2025-04-23
Form: S-3
Chunk 14
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,668 shares of Common Stock,
which number of shares is equal to 19.99% of the shares of Common Stock outstanding immediately prior to the execution of the Purchase
Agreement (the “Exchange Cap”), unless (i) we obtain stockholder approval to issue shares of Common Stock in excess of
the Exchange Cap in accordance with applicable NYSE rules, or (ii) the average price per share paid by B. Riley Principal Capital
II for all of the shares of Common Stock that we direct B. Riley Principal Capital II to purchase from us pursuant to the Purchase Agreement,
if any, equals or exceeds $4.43 per share (with the minimum price used to calculate such per share amount representing the lower of (a) the
official closing price of our Common Stock on the NYSE on the trading day immediately preceding the date of the execution of the Purchase
Agreement and (b) the average official closing price of our Common Stock on the NYSE for the five consecutive trading days ending
on the trading day immediately preceding the date of the execution of the Purchase Agreement, adjusted as required by the NYSE), so that
the Exchange Cap limitation will not apply to issuances and sales of Common Stock pursuant to the Purchase Agreement.

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Moreover, we may not issue
or sell any shares of Common Stock to B. Riley Principal Capital II under the Purchase Agreement which, when aggregated with all other
shares of Common Stock then beneficially owned by B. Riley Principal Capital II and its affiliates (as calculated pursuant to Section 13(d) of
the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and Rule 13d-3 thereunder), would result in B.
Riley Principal Capital II beneficially owning more than 4.99% of the outstanding shares of our Common Stock (the “Beneficial Ownership
Limitation”).

The net proceeds to us from
sales of Common Stock that we elect to make to B. Riley Principal Capital II under the Purchase Agreement, if any, will depend on the
frequency and prices at which we sell shares of our Common Stock to B. Riley Principal Capital II. We expect that any proceeds received
by us from such sales to B. Riley Principal Capital II will be used for working capital and general corporate purposes.

There are no restrictions
on future financings, rights of first refusal, participation rights, penalties or liquidated damages in the Purchase Agreement or Registration
Rights Agreement, other than a prohibition (with certain limited