Company: PFSA
Filing Date: 2025-08-11
Form Type: S-1
Source: 0001213900-25-073872
Chunk: 295

Company: Profusa, Inc.
Filing Date: 2025-08-11
Form: S-1
Chunk 295
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 the Company’s founders provided $ million to the Company to fund general corporate purposes in exchange for promissory notes. The notes accrue interest annually at a simple interest rate of % with no set maturity date.

During the year ended December 31, 2022, the Company borrowed $ million from two of its founders at zero percent interest rate to finance its short-term operations, from which $ million was repaid in the same period.

During the year ended December 31, 2023, the Company borrowed short-term promissory notes of $ million from an existing investor and additional $ million from an unrelated party repayable on demand at any time after December 31, 2023, with annual interest rate of %. No new issuances or repayments of promissory notes occurred during the year ended December 31, 2024 or during the three months ended March 31, 2025.

As of March 31, 2025 and December 31, 2024, accrued and unpaid interest on the promissory notes was $ million and $ million, respectively. Interest expense on the promissory notes was less than $ million for each of the three months ended March 31, 2025 and 2024. The carrying value of the promissory notes as of March 31, 2025 and December 31, 2024 was $ million and $ million, respectively. The Company recognized that the promissory notes are in default as of the date of this filing. The note holders will be repaid subsequent to the potential closing of the Business Combination, and the full balance of these notes are held in current liabilities on the Consolidated Balance Sheets.

F-42

PROFUSA, INC. AND SUBSIDIARY
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED) Note 5 — Debt (cont.)

Paycheck Protection Program

On May 25, 2021, the Company borrowed $ million (the “PPP Loan 2”) as a Paycheck Protection Program loan. The Paycheck Protection Program, established as part of the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act, provides for loans to qualifying businesses and is administered by the U.S. Small Business Administration (the “SBA”). The annual interest rate of the PPP Loan 2 is %.

Under the terms of PPP Loan2, if the Company does not submit forgiveness application within weeks the initial disbursement of the loan