Company: QTIWW
Filing Date: 2025-01-31
Form Type: S-1/A
Source: 0001628280-25-003316
Chunk: 139

Company: QT IMAGING HOLDINGS, INC.
Filing Date: 2025-01-31
Form: S-1/A
Chunk 139
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 between the Company and the Holder. The note contained the following derivative features (“ Derivatives ”) that were recognized at fair value:

• Monthly Payment Premium-If, any time after the issuance date, and from time to time thereafter, a Trigger Event (as such term is defined in the Yorkville Note) occurs, then the Company shall make monthly payments of Triggered Principal Amount, Payment Premium (as such term is defined in the Yorkville Note) and accrued and unpaid interest.

• Monthly Payment Discount-If, any time after the Issuance Date (as such term is defined in the Yorkville Note), and from time to time thereafter, a Trigger Event occurs, then the Company shall make monthly payments of Triggered Principal Amount minus the lesser of (x) $1,500,000 and (y) such amount of fifty percent (50%) of Yorkville’s net sales proceeds of the Yorkville Company Shares or fifty percent (50%) of the value of the Yorkville Company Shares on such date the cash payment is due.

• Variable Price Conversion Right-Subject to certain limitations, at any time or times on or after the Issuance Date, Yorkville shall be entitled to convert any portion of the outstanding and unpaid Conversion Amount into fully paid and nonassessable Common Stock in accordance with Section (3)(b) of the Yorkville Note, at the Conversion Price (as such term is defined in the Yorkville Note) of 95% of the lowest VWAP of the Company’s Common Stock during the 5 consecutive trading days immediately preceding the Conversion Date (as such term is defined in the Yorkville Note) or the date Yorkville submits an Investor Notice pursuant to and as defined in the SEPA, as applicable, or other date of determination, but not lower than the Floor Price.

• Failure to Timely Convert-If within three (3) trading days after the Company’s receipt of an email copy of a Conversion Notice (as such term is defined in the Yorkville Note) the Company shall fail to issue and deliver a certificate to Yorkville or credit Yorkville’s balance account with DTC for the number of shares of Common Stock to which Yorkville is entitled upon its conversion of any Conversion Amount (such failure, a “Conversion Failure”), and if on or after such trading day Yorkville purchases (in an open market transaction or otherwise) Common Stock to deliver in satisfaction of a sale by Yorkville of Common Stock issuable upon such conversion that Yorkville anticipated receiving from the Company (a “