Company: XTIA
Filing Date: 2025-11-19
Form Type: 10-Q
Source: 0001213900-25-112615
Chunk: 309

Company: XTI Aerospace, Inc.
Filing Date: 2025-11-19
Form: 10-Q
Item: Part I, Item 2
Chunk 309
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 the PIPE Offering. As compensation, the Company paid ThinkEquity $1,750,000 of placement agent fees,
reimbursed ThinkEquity for $175,000 of actual out-of-pocket offering expenses, and issued ThinkEquity and its designees warrants to purchase
an aggregate of 837,801 shares of common stock, which were exercisable commencing November 12, 2025, expire November 12, 2030 and have
an exercise price of $1.492 per share. The Company’s obligation to issue shares upon exercise of the warrants is subject to the
Company’s receipt of Shareholder Approval.

40

Valkyrie Investment and the Vanguard Platform

On October 27, 2025, the Company
and Valkyrie Sciences Holdings LLC (“Valkyrie”), a company developing enterprise solutions via the integration of artificial
intelligence and advanced materials, announced the Vanguard Platform, an intelligent technology system for the next generation of VTOL
aircraft. The Vanguard Platform will apply Valkyrie’s experience with graphene and composite materials, battery technology, and
smart systems architecture to the Company’s TriFan 600 program. In connection with this collaboration, on October 21, 2025, the
Company made a $2 million strategic investment in Valkyrie through the purchase of a convertible promissory note (the “Valkyrie
Note”) with an initial principal amount of $2 million issued by Valkyrie. Valkyrie and its affiliate Valkyrie Andromeda Corporation
(together with Valkyrie, the “Borrower”) are jointly and severally liable under the Valkyrie Note. Interest accrues on the
outstanding principal amount at the lesser of 10% per annum or the maximum rate permissible by law. The outstanding principal amount,
together with any accrued but unpaid interest, is due and payable on December 31, 2026 (the “Maturity Date”). After a Qualified
Financing (as defined in the Valkyrie Note) and if the Company does not elect to convert the Valkyrie Note, the Company may, prior to
the Maturity Date, elect to require the Borrower to pay the remaining balance of the Valkyrie Note within 60 days after the delivery of
the election notice to Valkyrie.

September 2025 Offering

On September 12, 2025, the
Company entered into a placement agency agreement with ThinkEquity LLC (“ThinkEquity”), pursuant