Company: CPMV
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001683168-25-002584
Chunk: 102

Company: Mosaic ImmunoEngineering Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 1
Chunk 102
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 participated on the same terms as other accredited investors. Pursuant to the Note Agreement, we
received $525,003 in proceeds in addition to $49,997 in accrued payable to founder that was invested in convertible notes and the Company
issued unsecured convertible promissory notes (“May Convertible Notes”) in the aggregate principal amount of $575,000.

On February 18, 2022, we entered into additional convertible
note purchase agreements (“February Note Agreement”) with sixteen (16) accredited investors, including five (5) members of
our Board that participated on the same terms as other accredited investors. Pursuant to the February Note Agreement, we received $341,632
in proceeds and issued unsecured convertible promissory notes (“February Convertible Notes”) in the aggregate principal amount
of $341,632. The February Convertible Notes were issued as part of a convertible note offering authorized by the Company’s Board
(the “Convertible Notes Offering”) for raising up to $5 million from the issuance of convertible notes through June 30, 2022. 

The May and February Convertible Notes (collectively,
the “Convertible Notes”) have no stated maturity date; bear interest at a simple rate equal to eight percent (8.0%) per annum
until converted; and automatically convert into the same equity securities issued for cash in the Qualified Financing (as described below),
or at the option of the holder, into the same equity securities issued for cash in a Smaller Financing (as described below). Interest
on the Convertible Notes is accreted and added to the unpaid principal balance prior to conversion of the Convertible Notes. During the
years ended December 31, 2024 and 2023, the Company recorded non-cash interest expense on the Convertible Notes in the amount of $73,533
and $73,333, respectively.

     F-17 

    Mosaic ImmunoEngineering, Inc.

    Notes to Consolidated Financial Statements
    For the Years Ended December 31, 2024 and 2023 (continued)

The Convertible Notes will convert into the same equity
securities offered in the Qualified Financing or Smaller Financing (“Conversion Shares”), as described below, at a conversion
price equal to the lower of (i) the product equal to 80% times the lowest per unit purchase price of the equity securities issued for
cash in the Qualified Financing or Smaller Financing, or (ii) $2.377 for the May Convert