Company: PFSA
Filing Date: 2025-10-29
Form Type: 424B3
Source: 0001213900-25-103174
Chunk: 368

Company: Profusa, Inc.
Filing Date: 2025-10-29
Form: 424B3
Chunk 368
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 required within 12 months of the balance sheet date.

Convertible Promissory Note

The fair value of the Company’s
convertible promissory note is valued using a compound option formula on the convertible feature and a present value of the host contract.
The valuation technique requires inputs that are both unobservable and significant to the overall fair value measurement. These inputs
reflect management’s own assumption about the assumptions a market participant would use in pricing the working capital loan.

Warrant Liabilities

The Company accounts for the 17,404,250
warrants issued in connection with the IPO (the 9,487,500 Public Warrants, the 7,347,500 Private Placement Warrants,
and the 569,250 Representative Warrants inclusive of the underwriters’ over-allotment option) in accordance with the guidance
contained in ASC 815-40. Such guidance provides that because the warrants do not meet the criteria for equity treatment thereunder,
each warrant must be recorded as a liability. Accordingly, the Company has classified each warrant as a liability at its fair value. This
liability is subject to re-measurement at each balance sheet date. With each such re-measurement, the warrant liabilities will be
adjusted to fair value, with the change in fair value recognized in the Company’s consolidated statements of operations (See Note 8).

In determining the fair value
of the Private Placement Warrants and the Representative’s Warrants, assumptions related to expected share-price volatility, expected
life and risk-free interest rate are utilized. The Company estimates the volatility of its common stock based on historical volatility
that matches the expected remaining life of the warrants.

<div align='center'>F-67

NORTHVIEW ACQUISITION CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS</div>

Note 2 — Summary of Significant Accounting Policies (cont.)

Net (Loss) Income Per Common Stock

The Company has two categories
of shares, which are referred to as common stock subject to possible redemption and common stock. Earnings and losses are shared pro rata
between the two categories of shares. The 17,404,250 potential shares of common stock for outstanding warrants to purchase the Company’s
shares were excluded from diluted earnings per share for the years ended December 31, 2024 and 2023 because the warrants are contingently
exercisable, and the contingencies have not yet been met. As a result, diluted net (loss) income per share of common stock is