Company: XTIA
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001213900-25-032213
Chunk: 606

Company: XTI Aerospace, Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 8
Chunk 606
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 a transaction bonus obligation of approximately $2.1 million payable to Mr. Ali, which is included in accrued expenses and other
current liabilities on the accompanying consolidated balance sheets. On March 31, 2025, the Company repaid the remaining transaction
bonus obligation to Mr. Ali pursuant to the Settlement Agreement.

Grafiti
Group Divestiture

On February 21, 2024, Inpixon completed the disposition
of the remaining portion of the Shoom, SAVES, and GYG business lines and assets (“Grafiti Group Divestiture”) in accordance
with the terms and conditions of an Equity Purchase Agreement, dated February 16, 2024, by and among Inpixon (“Seller”),
Grafiti LLC, and Grafiti Group LLC (an entity controlled by Nadir Ali, the Company’s former CEO) (“Buyer”) (the “Equity
Purchase Agreement”). Pursuant to the terms of the Equity Purchase Agreement, Buyer acquired from 100% of the equity interest
in Grafiti LLC, including the assets and liabilities primarily relating to Inpixon’s Saves, Shoom and Game Your Game business,
including 100% of the equity interests of Inpixon India, Grafiti GmbH (previously Inpixon GmbH) and Game Your Game, Inc. from the
Company for a minimum purchase price of $1.0 million paid in two annual cash installments of $0.5 million due within 60 days
after December 31, 2024 and 2025 (the “Grafiti Purchase Amount”). The purchase price and annual cash installment payments
will be (i) decreased for the amount of transaction expenses assumed; and (ii) increased or decreased by the amount working capital of
Grafiti LLC on the closing balance sheet is greater or less than $1.0 million. The Company notes that $0.5 million of the receivable
is included in current assets as other receivables in the Company’s consolidated balance sheet as of December 31, 2024, and the
remaining $0.5 million of the receivable is included in long term assets as other assets in the Company’s consolidated balance
sheet as of December 31, 2024. 

Pursuant to the Settlement Agreement, the Company
agreed that, effective as of the Effective Date of the Settlement Agreement, the Grafiti Purchase