Company: PFSA
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076861
Chunk: 119

Company: Profusa, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 8
Chunk 119
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 placement
that closed simultaneously with the closing of the IPO. Of such amount, 5,162,500 Private Placement Warrants were purchased by the Sponsor
and 2,185,000 Private Placement Warrants were purchased by I-Bankers and Dawson James.

The Private Placement Warrants are identical
to the warrants included in the units sold in the IPO, except that the Private Placement Warrants: (i) will not be redeemable by the
Company and (ii) may be exercised for cash or on a cashless basis, in each case so long as they are held by the initial purchasers or
any of their permitted transferees. If the Private Placement Warrants are held by holders other than the initial purchasers or any of
their permitted transferees, the Private Placement Warrants will be redeemable by the Company and exercisable by the holders on the same
basis as the warrants included in the Units being sold in the IPO.

16

Note 5 – Related Party Transactions

Founder Shares

In April 2021, the Sponsor paid $25,000, or approximately
$0.005 per share, to cover certain of the offering costs in exchange for an aggregate of 5,175,000 shares of common stock, par value
$0.0001 per share (the “Founder Shares”). In October 2021, the Sponsor irrevocably surrendered to the Company for cancellation
and for no consideration 862,500 shares of common stock. On December 20, 2021, the Company effected a 1.1- for-1 stock dividend of its
common stock, resulting in the Sponsor holding an aggregate of 4,743,750 shares of common stock. The Founder Shares include an aggregate
of up to 618,750 shares subject to forfeiture if the over-allotment option is not exercised by the underwriters in full. On December
22, 2021, the over-allotment option was fully exercised and such shares are no longer subject to forfeiture.

The Sponsor has agreed not to transfer, assign
or sell any of their Founder Shares until the earlier to occur of: (A) one year after the completion of the initial Business Combination
or (B) the date on which the Company completes a liquidation, merger, stock exchange or other similar transaction after the initial Business
Combination that results in all of the Company’s public stockholders having the right to exchange their shares of common stock
for cash, securities or other property (