Company: PFSA
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001013762-25-004396
Chunk: 235

Company: Profusa, Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1A
Chunk 235
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 treasury
obligations or money market funds held in the Trust Account and thereafter to hold all funds in the Trust Account in an interest bearing
demand deposit account at a bank until the earlier of the consummation of a Business Combination or the liquidation of the Company. Following
such liquidation, we may receive less interest on the funds held in the Trust Account than we would have if we had not liquidated such
assets. As a result, our public stockholders would receive a lower amount upon any redemption or liquidation of the Company as compared
to what they would have received had the investments not been so liquidated. Because the investment of the proceeds will be restricted
to these instruments, we believe we will meet the requirements for the exemption provided in Rule 3a-1 promulgated under the Investment
Company Act. If we were deemed to be subject to the Investment Company Act, compliance with these additional regulatory burdens would
require additional expenses for which we have not allotted funds and may hinder our ability to consummate a business combination. If we
are unable to complete our initial business combination, our public stockholders may receive only approximately $10.10 per share on the
liquidation of our trust account and our rights and warrants will expire worthless.

38

Changes in laws or regulations, or a failure
to comply with any laws and regulations, may adversely affect our business, investments and results of operations.

We are subject to laws and
regulations enacted by national, regional and local governments. In particular, we will be required to comply with certain SEC and other
legal requirements. Compliance with, and monitoring of, applicable laws and regulations may be difficult, time consuming and costly. Those
laws and regulations and their interpretation and application may also change from time to time and those changes could have a material
adverse effect on our business, investments and results of operations. In addition, a failure to comply with applicable laws or regulations,
as interpreted and applied, could have a material adverse effect on our business and results of operations.

A market for our securities may not develop,
which would adversely affect the liquidity and price of our securities.

The price of our securities
may vary significantly due to one or more potential business combinations and general market or economic conditions. Furthermore, an active
trading market for our securities may never develop or, if developed, it may not be sustained. You may be unable to sell your securities
unless a market can be established and sustained.

We are an emerging growth company within the