Company: BLIS
Filing Date: 2025-03-26
Form Type: 10-Q
Source: 0001199835-25-000092
Chunk: 18

Company: NAPC Defense, Inc.
Filing Date: 2025-03-26
Form: 10-Q
Item: Part I, Item 1
Chunk 18
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 into shares of common stock, then any such sales may result in a significant decrease
in the market price of the Company’s shares.

On
July 3, 2024, the Company entered into a convertible promissory note agreement with respect to the sale and issuance of: (i) an initial
commitment fee in the amount of 125,000 shares of the Company’s restricted common stock, (ii) a promissory note in the aggregate
principal amount of $75,000, and (iii) Common stock warrants to purchase 2,678,572 shares of the Company’s common stock at $0.28.
The company received proceeds of $67,500 resulting in an original issue discount of $7,500. The convertible promissory note has a due
date of July 3, 2025, and bears interest at the rate of 10% per year that is convertible into shares of common stock at $0.028. In the
event of default as defined in the note, the outstanding balance of the note will increase to 140% of the balance immediately prior to
the occurrence of the event of default. The conversion of the note into shares of the Company’s common stock is potentially highly
dilutive to current shareholders. The conversion of the note into shares of the Company’s common stock is potentially highly dilutive
to current shareholders. There are additional terms and conditions contained in the note that could result in the Company being required
to issue a significant amount of shares and/or warrants to the lender. If the note holder elects to sell the shares that it has acquired
as a result of converting the note into shares of common stock, then any such sales may result in a significant decrease in the market
price of the Company’s shares.

On
August 12, 2024 the Company entered into a convertible promissory note with a face value of $30,000, an annual rate of interest of 10%
that is convertible into shares of common stock at $0.02, and that is due on August 12, 2025. The Company also issued stock warrants
to the note holder to purchase 1,500,000 shares of the Company’s common stock at $0.02.

On
October 17, 2024, the Company entered into a convertible promissory note with respect to the sale and issuance of: (i) an initial
commitment fee in the amount of 750,000 shares of the