Company: QTIWW
Filing Date: 2025-01-31
Form Type: S-1/A
Source: 0001628280-25-003316
Chunk: 363

Company: QT IMAGING HOLDINGS, INC.
Filing Date: 2025-01-31
Form: S-1/A
Chunk 363
---
 and bearing annual interest of 5% on any amounts drawn. An additional note was issued in March 2022 as part of the 2020 Notes, but with an annual interest rate of 8%. All principal and interest payments are due on or before July 1, 2025. The 2020 Notes are convertible, at the holder’s option, into shares of common stock of the Company at the lower of $ 5.00per share or the offering price in a financing of at

<div align='center'>F-24</div>

#### QT IMAGING, INC.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
<div align='center'>For the years ended December 31, 2023 and 2022</div>

least $ 5,000,000in equity from unaffiliated parties. As of December 31, 2023, an aggregate of 704,299shares of common stock would be issued if the entire principal and interest under the 2020 Notes was converted. Management assessed whether the embedded features in the 2020 Notes should have been bifurcated from the debt host and concluded that none of the features were required to be accounted for separately from the debt instruments.

In November 2023, $ 200,000of the 2020 Notes plus accrued interest of $ 33,644was converted through a negotiated induced conversion to 100,000shares of common stock, which resulted in an induced conversion expense of $ 168,356to other expenses in the consolidated statements of operations and comprehensive loss. The induced conversion expense represented the fair value of the common stock issued upon conversion in excess of the common stock issuable under the original terms of the 2020 Notes. As of December 31, 2023 and 2022, the outstanding amount of the 2020 Notes was $ 3,143,725and $ 3,343,725and accrued interest of $ 377,772and $ 230,627, respectively. Interest expense for the years ended December 31, 2023 and 2022 was $ 180,789and $ 137,709, respectively.

Working Capital Loans

On May 3, 2023, the Company issued a promissory note (the “Working Capital Note”) to a shareholder for a principal amount of $ 250,000. The Working Capital Note was subsequently amended and restated six times on June 12, 2023 to add an additional principal