Company: IXHL
Filing Date: 2025-04-17
Form Type: PRER14A
Source: 0001213900-25-033013
Chunk: 22

Company: Incannex Healthcare Inc.
Filing Date: 2025-04-17
Form: PRER14A
Chunk 22
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 Series A Warrant has the right to receive, without paying any additional cash or consideration to the Company, an aggregate number of         
 shares of common stock equal to the product of (x) the aggregate number of shares of common stock that would be issuable upon a cash exercise 
 of the Series A Warrant multiplied (which is subject to adjustment, as described above and below, to a number of shares that is up to         
 10 times the number of shares underlying the Series A Warrant at issuance) by (y) three (3.0); and                                            |

| (e) | to consent to an increase in the number of shares of our common stock authorized for issuance under our Amended and Restated Certificate  
 of Incorporation from 100,000,000 shares to a minimum of 500,000,000 shares of common stock. We are requesting an increase to 800,000,000 
 shares of common stock in Proposal No. 2.                                                                                                 |

If the Warrant Stockholder Approval is not
obtained, the Series A Warrants will not be exercisable. At present, we do not currently have sufficient authorized shares of common
stock for the full exercise of the Series A Warrants, and in the Private Placement, have agreed not to complete a reverse stock
split prior to September 6, 2025 unless we are expressly required to effect a reverse split as a result of changes in applicable
laws effected after the closing of the Private Placement related to the listing requirements of the trading market (currently the
Nasdaq Stock Market LLC) or we obtain a waiver from the investors who purchased at least 50.1% of the Shares and Pre-Funded Warrants sold in the Private Placement. So, are seeking stockholder approval for an increase in the number of authorized shares of our common
stock in order to obtain the portion of the Warrant Stockholder Approval in (e) above. If stockholders do not approve both Proposal
No. 1 and Proposal No. 2, the Series A Warrants will not be exercisable upon completion of the Special Meeting. If stockholders
approve both Proposal No. 1 and Proposal No. 2 and the number of outstanding shares of the Company increase prior to September 30,
2025, then the evergreen provision of the amended 2023 Plan (as discussed below) will automatically increase the number of shares
available under the 2023 Plan by 20% of the then outstanding shares, in accordance