Company: QTIWW
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001844505-25-000038
Chunk: 279

Company: QT IMAGING HOLDINGS, INC.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 8
Chunk 279
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 with no goodwill or other intangible assets recorded. QT Imaging has been determined to be the accounting acquirer based on evaluation of the following facts and circumstances:•QT Imaging's stockholders have a majority of the voting power of the Company;•The majority of QT Imaging's board of directors continued to serve as directors of the Company;•The majority of QT Imaging's management continued to serve as management of the Company;•QT Imaging comprises the ongoing operations of the Company; and•QT Imaging is the larger entity based on historical business activity and the larger employee base.The following summarizes the elements of the Merger to the consolidated statements of stockholders’ deficit and cash flows, including the transaction funding, sources, and uses of cash: RecapitalizationCash in GigCapital5 Trust Account, net of redemptions$13,952,524 Plus: cash in GigCapital5 operating bank account4,829 Less: Payments made pursuant to non-redemption agreements(10,791,550)Less: GigCapital5 transaction costs paid from Trust(1,073,667)Less: Repayment of GigCapital5 related party notes(853,607)Net cash proceeds from GigCapital51,238,529 Assumed net liabilities from GigCapital5 including the initial recognition of the earnout liability, excluding net cash proceeds(14,177,694)Net impact of the Merger on the consolidated statement of stockholders' deficit$(12,939,165)Merger Related ActivitiesOn November 15, 2023, GigCapital5, QT Imaging and Yorkville, a Cayman Islands exempt limited partnership managed by Yorkville Advisors Global, LP, entered into the SEPA. Upon the closing of the Merger, the Company has the right, provided there is no balance outstanding under the Yorkville Note (as defined below) or, if there is a balance outstanding under a Yorkville Note, with Yorkville’s prior written consent, or upon the occurrence of certain trigger events, to issue and sell to Yorkville, and Yorkville shall purchase from the Company, up to $10,000,000 in aggregate gross purchase price (the “Commitment Amount”) of newly issued shares of the common stock (each such sale, an “Advance”) by delivering written notice to Yorkville (each, an “Advance Notice” and the date on which the Company is deemed to have delivered an Advance Notice, the “Advance Notice Date”). As consideration for a payment of 

F-18

$10,000,000 (