Company: XTIA
Filing Date: 2025-06-03
Form Type: DRS
Source: 0001213900-25-050156
Chunk: 17

Company: XTI Aerospace, Inc.
Filing Date: 2025-06-03
Form: DRS
Chunk 17
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 which may be senior to our common stock as to distributions and in liquidation, which could negatively affect the value of our common stock.

In the future, we may attempt
to increase our capital resources by entering into debt or debt-like financing that is unsecured or secured by up to all of our assets,
or by issuing additional debt or equity securities, which could include issuances of secured or unsecured commercial paper, medium-term
notes, senior notes, subordinated notes, guarantees, preferred stock, hybrid securities, or securities convertible into or exchangeable
for equity securities. In the event of our liquidation, our lenders and holders of our debt and preferred securities would receive distributions
of our available assets before distributions to the holders of our common stock. Because our decision to incur debt and issue securities
in future offerings may be influenced by market conditions and other factors beyond our control, we cannot predict or estimate the amount,
timing or nature of our future offerings or debt financings. Further, market conditions could require us to accept less favorable terms
for the issuance of our securities in the future.

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The holders of any securities
or instruments we may issue may have rights superior to the rights of our common stockholders. If we experience dilution from the issuance
of additional securities and we grant superior rights to new securities over holders of our common stock it may negatively impact the
trading price of our common stock and you may lose all or part of your investment.

There is no public market for the Pre-funded Warrants being offered in this Offering.

There is no established public
trading market for the Pre-funded Warrants, and we do not expect a market to develop. In addition, we do not intend to apply to list the
Pre-funded Warrants on any national securities exchange or other nationally recognized trading system. Without an active market, the liquidity
of the Pre-funded Warrants will be limited.

Holders of the Pre-funded Warrants will have no rights as a common stockholder until they acquire our common stock, except as otherwise set forth therein.

Until holders
of the Pre-funded Warrants acquire shares of our common stock upon exercise of the Pre-funded Warrants, the holders will have no rights
with respect to shares of our common stock issuable upon exercise of the Pre-funded Warrants, except as otherwise set forth in the Pre-funded
Warrants. Upon exercise of the Pre-funded Warrants, the holder will be entitled to exercise the rights of a common stockholder as