Company: PFSA
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001013762-25-004396
Chunk: 595

Company: Profusa, Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 2
Chunk 595
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 needs had been
satisfied through a capital contribution from the Sponsor of $25,000 for the founder shares to cover certain of the offering costs and
the loan under an unsecured promissory note from the Sponsor of $204,841, which was fully paid upon the IPO. Subsequent to the consummation
of the Initial Public Offering and Private Placement, the Company’s liquidity needs have been satisfied through the proceeds from
the consummation of the Private Placement not held in the Trust Account, and the drawdowns on the convertible promissory note.

In
order to finance transaction costs in connection with an intended Business Combination, the initial stockholders or an affiliate of the
initial stockholders or certain of the Company’s officers and directors may, but are not obligated to, provide the Company Working
Capital Loans (see Note 5).

On
April 27, 2023, the Company signed a Convertible Working Capital Promissory Note (“the Note”) with the Sponsor for $1,200,000.
The Note is non-interest bearing and is due the earlier of the consummation of a business combination or the date of liquidation. The
Sponsor may elect to convert all or any portion of the unpaid principal balance of this Note into warrants, at a price of $1.00 per warrant.

On
January 10, 2024, the Company’s Board of Directors approved, and the Company amended the Note to increase the principal amount
of the Note that could be drawn on to $1.5 million. The amended and restated Note also allows for the conversion of the outstanding
principal balance of the Note to be repaid in shares of Company common stock at a price of $2.22 per share at the election of the sponsor.

On May 31, 2024, the Company’s Board of
Directors approved, and the Company second amended its Note to increase the principal amount of the Note that could be drawn on to $2.5 million.
The second amended and restated Note also allows for the conversion of the outstanding principal balance of the Note to be repaid in shares
of Company common stock at a price of $2.22 per share at the election of the sponsor.

The Company had principal outstanding of $1,919,796 and is presenting
the Note at fair value on its balance sheet at December 31, 2024 in the amount of $8,908,052. As of December 31,