Company: XTIA
Filing Date: 2025-01-10
Form Type: 8-K
Source: 0001213900-25-002385
Chunk: 4

Company: XTI Aerospace, Inc.
Filing Date: 2025-01-10
Form: 8-K
Item: Item 3.02
Chunk 4
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Item 3.02 Unregistered
Sales of Equity Securities.

On
December 23, 2024, the Company entered into an exchange agreement with a holder of shares of the Company’s Series 9 Preferred Stock
pursuant to which the Company and the holder agreed to exchange 429 shares of Series 9 Preferred Stock with an aggregate stated value
of $450,450 (the “ Preferred Shares”) for 10,475,581 shares of Common Stock (the “ Exchange Shares”) at an effective
price per share of $0.043. The Company issued the Exchange Shares to the holder on December 26, 2024, at which time the Preferred Shares
were cancelled. The Exchange Shares were issued in reliance on the exemption from registration provided by Section 3(a)(9) of the Securities
Act of 1933, as amended, on the basis that (a) the Exchange Shares were issued in exchange for other outstanding securities of the Company;
(b) there was no additional consideration delivered by the holder in connection with the exchange; and (c) there were no commissions or
other remuneration paid by the Company in connection with the exchange.

As
of January 10, 2025, the Company has 1,848,121 shares of Common Stock outstanding on a post-Reverse Stock Split basis (subject to adjustment
in connection with the rounding of fractional shares), which excludes the Shares to be issued at the closing of the Offering.

Because
the Exchange Shares constituted less than 5% of the outstanding Common Stock as of December 23, 2024, the disclosure under this Item 3.02
is being disclosed voluntarily.

Item 3.03 Material Modification to Rights of
Security Holders.