Company: XTIA
Filing Date: 2025-12-02
Form Type: DEFA14A
Source: 0001213900-25-116942
Chunk: 7

Company: XTI Aerospace, Inc.
Filing Date: 2025-12-02
Form: DEFA14A
Chunk 7
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,” consists of Ms. Axton (Chair) and Mr. Brody. The composition of the
Governance Committee is expected to remain unchanged following the Annual Meeting.”

<div align='center'>4</div>

| 2. | New Proposal                            
 Three: The Nasdaq 20% Issuance Proposal |

The Proxy Statement is amended
by adding the following new Proposal Three immediately after Proposal Two, as follows.

<div align='center'>PROPOSAL THREE:

NASDAQ 20% ISSUANCE PROPOSAL</div>

Overview

On November 10, 2025, the
Company entered into a securities purchase agreement (the “PIPE Purchase Agreement”) with Unusual Machines, Inc., a Nevada
corporation (the “Purchaser”), pursuant to which the Company sold to the Purchaser 25,000 shares of the Company’s newly
designated Series 10 Convertible Preferred Stock, par value $0.001 per share (the “Series 10 Preferred Stock”), at a subscription
amount of $1,000 per share of Series 10 Preferred Stock for an aggregate subscription amount of $25,000,000 (the “Subscription
Amount”), pursuant to a private placement that closed on November 12, 2025 (the “PIPE Offering”).

The Series 10 Preferred
Stock has a stated value of $1,000 per share (the “Stated Value”), and is initially convertible at a conversion price of
$1.492 per share (the “Conversion Price”), subject to adjustment pursuant to the Certificate of Designation (as defined below).
On the Shareholder Approval Date (as defined below), the Series 10 Preferred Stock will automatically convert into shares of the Company’s
common stock. In addition, each outstanding share of Series 10 Preferred Stock is entitled to receive Preferential Dividends (as defined
below), payable quarterly in arrears, at an annual rate of 12.0% of the Stated Value, payable, at the option of the Company, either in-kind
in shares of the Company’s common stock, through an accrual on the Stated Value of the Series 10 Preferred Stock or in cash, subject
to, with respect to the issuance of shares of the Company’s common stock, the receipt of Shareholder Approval (as defined below)
and the Beneficial Ownership Limitation (as defined below). The rights to Preferential Dividends expire automatically on the two-year
anniversary of the original issuance date of the Series