Company: XTIA
Filing Date: 2025-05-19
Form Type: 10-Q
Source: 0001213900-25-045396
Chunk: 207

Company: XTI Aerospace, Inc.
Filing Date: 2025-05-19
Form: 10-Q
Item: Part I, Item 2
Chunk 207
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 of these areas
presents significant opportunities for us, they also pose material challenges and risks that we must successfully address to achieve FAA
certification of the TriFan 600 and further reach our current aircraft delivery forecasts.

38

Corporate Strategy Update

The Company’s
primary focus is to power the vertical economy by delivering high-performance VTOL solutions that scale from aircraft to innovative technologies
and infrastructure. With the TriFan 600 as our flagship commercial aviation product, we are laying the groundwork for an innovative family
of versatile aircraft and solutions addressing passenger travel, logistics, autonomous operations, and defense missions that we believe
will unlock significant growth and market leadership.

Expanding
into autonomous, remotely operated drones is key to our strategic focus. By combining drone technology with VTOL innovation, we believe
we are positioning the Company to accelerate the development of both unmanned aerial vehicles (UAV) and VTOL solutions, expand its market
presence, and create new revenue-generating opportunities across multiple industries. We will also be opportunistic and may consider other
strategic transactions, which may include, but not be limited to other alternative investment opportunities, such as minority investments
and joint ventures. If we make any acquisitions in the future, we expect that we may pay for such acquisitions with cash, equity securities
and/or debt in combinations appropriate for each acquisition.

Recent Events

January 2025 Registered Direct Offering, March
2025 Underwritten Offering and Debt Repayment

On January 7, 2025, the Company
entered into a placement agency agreement with ThinkEquity LLC (“ThinkEquity”), as placement agent, pursuant to which the
Company agreed to issue and sell directly to various investors, in a best efforts public offering (the “January Offering”),
an aggregate of 1,454,546 shares of common stock at an offering price of $13.75 per share. The January Offering closed on January 10,
2025, resulting in net proceeds to the Company, after deducting commissions and expenses, of approximately $18.3 million.

On March 28, 2025, the Company
entered into an underwriting agreement with ThinkEquity LLC, as the representative of the underwriters named therein, relating to a firm
commitment underwritten public offering (the “March Offering”) of 765,200 shares of common stock (the “Shares”),
pre-funded warrants (the “Pre-funded Warrants”) to purchase up to 2,176,000 shares of common stock, and common warrants (