Company: XTIA
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001213900-25-032213
Chunk: 64

Company: XTI Aerospace, Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 1
Chunk 64
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 a result, you will not receive any return on your investment
prior to selling your shares in our Company and, for the other reasons discussed in this “Risk Factors” section, you may
not receive any return on your investment even when you sell your shares in our Company.

33

Some
provisions of our articles of incorporation and bylaws may deter takeover attempts, which may inhibit a takeover that stockholders consider
favorable and limit the opportunity of our stockholders to sell their shares at a favorable price.

Our
bylaws divide our board of directors into three classes, with members of each class serving staggered three-year terms. The classified
board provision could increase the likelihood that, in the event an outside party acquired a controlling block of our stock, incumbent
directors nevertheless would retain their positions for a substantial period, which may have the effect of discouraging, delaying, or
preventing a change in control. In addition, under our articles of incorporation, our Board may issue additional shares of common stock
or preferred stock. Our Board has the ability to authorize “blank check” preferred stock without future shareholder approval.
This makes it possible for our Board to issue preferred stock with voting or other rights or preferences that could impede the success
of any attempt to acquire us by means of a merger, tender offer, proxy contest or otherwise, including a transaction in which our stockholders
would receive a premium over the market price for their shares and/or any other transaction that might otherwise be deemed to be in their
best interests, and thereby protects the continuity of our management and limits an investor’s opportunity to profit by their investment
in the Company. Specifically, if in the due exercise of its fiduciary obligations, the Board were to determine that a takeover proposal
was not in our best interest, shares could be issued by our Board without stockholder approval in one or more transactions that might
prevent or render more difficult or costly the completion of the takeover by:

●diluting
                                            the voting or other rights of the proposed acquirer or insurgent stockholder group,

●putting
                                            a substantial voting bloc in institutional or other hands that might undertake to support
                                            the incumbent Board, or

●effecting
                                            an acquisition that might complicate or preclude the takeover.

These
provisions of our articles of incorporation and bylaws, alone or together, could delay or prevent hostile takeovers and changes in control
or changes in our management.

Nevada
Anti-Takeover Law may