Company: ARAI
Filing Date: 2025-06-17
Form Type: S-1
Source: 0001641172-25-015428
Chunk: 142

Company: Arrive AI Inc.
Filing Date: 2025-06-17
Form: S-1
Chunk 142
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 2025, (iii) delivered 62,500 shares of our common stock (the “Commitment Shares”) to Streeterville on May 14,
2025, (iv) delivered 2,937,500 shares of our common stock (the “Pre-Delivery Shares”) against Streeterville’s payment
of $587.50 on May 14, 2025. The Pre-Delivery Shares were priced at the par value of $0.0002 per share, and the Company has the right
to repurchase the same number of shares of common stock from Streeterville at the par value of $0.0002 per share when certain conditions
are met. Pursuant to the Streeterville Purchase Agreement, we agreed to file a registration statement within 10 days from the date of
the Streeterville Purchase Agreement that covers the Commitment Shares, the Pre-Delivery Shares and 5,000,000 Purchase Shares (defined
below) issuable to Streeterville pursuant to the Initial Pre-Paid Purchase or any subsequent Pre-Paid Purchases.

Under the Purchase Agreement, each Pre-Paid Purchase
consists of a principal balance upon which Streeterville, at its option, may require the Company to issue shares of our common stock
(“Purchase Shares”), from time to time, in satisfaction of all or part of the outstanding balance of such Pre-Paid Purchase.
The Company will deliver these Purchase Shares at a per-share purchase price set forth in the Pre-Paid Purchase (the “Purchase
Share Purchase Price”), subject to a defined floor price and other conditions. Each Pre-Paid Purchase is a separate instrument
with its own outstanding balance and holding period.

The Initial Pre-Paid Purchase in the principal
amount of $4,330,000.00 carries an original issue discount of $320,000.00 (“OID”) and an additional transaction expense amount
of $10,000.00 to cover Streeterville’s legal, administrative, and due diligence costs (the “Transaction Expense Amount”).
Therefore, the net amount funded to the Company on May 14, 2025 was $4,000,000.00 (not including the Pre-Delivery Purchase Price). Along
with the Initial Pre-Paid Purchase, the Company issued 62,500 Commitment Shares to Streeterville. We have not issued any Purchase Shares
under the Initial Pre-Paid Purchase but may issue them upon the receipt of a written notice from Streeterville based on the pricing mechanism
described hereunder.

Under the