Company: PFSA
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076861
Chunk: 37

Company: Profusa, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 1
Chunk 37
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 and would instead purchase such shares. Such purchases would be structured in compliance
with the requirements of Rule 14e-5 under the Exchange Act or would otherwise not constitute a tender offer pursuant
to the Exchange Act. As of the Closing Date, the Company’s trust account balance was not below $1.25 million.

18

Representative’s Shares

On December 22, 2021, the Company issued 450,000 shares
(Representative Shares) of common stock (which included 37,500 Representative Shares issued pursuant to the full exercise of
the over-allotment option) at the consummation of the IPO to I-Bankers and Dawson James (and/or their designees). I-Bankers and
Dawson James (and/or their designees) have agreed not to transfer, assign or sell any such shares until the completion of the initial
Business Combination. In addition, I-Bankers and Dawson James (and/or their designees) have agreed (i) to waive their redemption
rights with respect to such shares in connection with the completion of the initial Business Combination and (ii) to waive their
rights to liquidating distributions from the Trust Account with respect to such shares if the Company fails to complete its initial Business
Combination within the Combination Period. The fair value of the Representative’s Shares issued are recognized as offering
costs directly attributable to the issuance of an equity contract to be classified in equity and are recorded as a reduction of equity
(see Note 1).

Representative’s Warrants

The Company granted to I-Bankers and Dawson
James (and/or their designees) 569,250 warrants (which included 74,250 warrants issued pursuant to the full exercise of the over-allotment
option) exercisable at $11.50 per share (or an aggregate exercise price of $6,546,375) at the closing of the IPO. The Representative
Warrants issued are recognized as derivative liabilities in accordance with ASC 815-40 and recorded as liabilities at fair value each
reporting period (see Notes 1 and 8). The warrants may be exercised for cash or on a cashless basis, at the holder’s option, at
any time during the period commencing on the later of the first anniversary of the effective date of the registration statement of which
the IPO forms a part and the closing of the initial Business Combination and