Company: IXHL
Filing Date: 2025-04-28
Form Type: DEF 14A
Source: 0001213900-25-036057
Chunk: 22

Company: Incannex Healthcare Inc.
Filing Date: 2025-04-28
Form: DEF 14A
Chunk 22
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 registering the issuance of the shares of common stock underlying the Series A Warrants under the Securities Act is not effective or available following the date of receipt of the full Warrant Stockholder Approval, the holder may, in its sole discretion, elect to exercise the Warrants through a cashless exercise. Upon cashless exercise the holder would receive upon such exercise the net number of shares of common stock equal to the quotient obtained by dividing [(A -B) (X)] by (A), where (A) is the volume -weightedaverage price per share of common stock, (B) is the exercise price of the Warrant then in effect and (X) is the number of Warrant Shares that would be issuable upon exercise of the Warrant in accordance with the terms of this Warrant if such exercise were by means of a cash exercise rather than a cashless exercise. Given the zero exercise price provisions of the Series A Warrants described below, it is unlikely the Series A Warrants would be exercised on a cash or cashless basis. Series A Warrant Zero Exercise Price Provision.The Series A Warrants also include a zero exercise price provision (referred to in the text of the Series A Warrants as an “alternative cashless exercise”) where, following the Warrant Stockholder Approval (even if a registration statement registering the issuance or resale of shares of common stock underlying the Series A Warrant is effective), the holder of a Series A Warrant has the right to receive, without paying any additional cash or consideration to the Company, an aggregate number of shares of common stock equal to the product of (x) the aggregate number of shares of common stock that would be issuable upon a cash exercise of the Series A Warrant multiplied (which is subject to adjustment, as described below, to a number of shares that is up to 10 times the number of shares underlying the Series A Warrant at issuance) by (y) three (3.0). This amount is subject to proportional adjustments stock splits, dividends, reclassifications and similar adjustments. Fractional Shares.No fractional shares of common stock will be issued in connection with the exercise of a Warrant. In lieu of fractional shares upon exercise of a Series A Warrant, we would round down to the nearest whole share. As to any fraction of a share issuable upon exercise of a Pre -FundedWarrant, the Company will, at its election, either pay a cash adjustment in respect of such final fraction in an amount equal to such fraction multiplied by the exercise price