Company: CPMV
Filing Date: 2025-08-19
Form Type: 10-Q
Source: 0001683168-25-006318
Chunk: 11

Company: Mosaic ImmunoEngineering Inc.
Filing Date: 2025-08-19
Form: 10-Q
Item: Part I, Item 1
Chunk 11
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 product equal to 80% times the lowest per unit purchase price of the equity securities issued for
cash in the Qualified Financing or Smaller Financing, or (ii) $2.377 for the May Convertible Notes (“May Conversion Price”)
or $1.00 for the February Convertible Notes (“February Conversion Price”). Pursuant to the February Note Agreement, for each
holder of the May Convertible Notes that purchased a February Convertible Note in the amount of (a) $50,000 or (b) an amount equivalent
to the principal amount of their May Convertible Note, the conversion price of the May Convertible Notes was adjusted to the February
Conversion Price. As of June 30, 2025, the principal amount of the Convertible Notes that may be converted at the February Conversion
Price was $866,632. In addition, the conversion price may be reduced or increased proportionately as a result of stock splits, stock dividends,
recapitalizations, reorganizations, and similar transactions. Upon any conversion of the Convertible Notes in connection with a Qualified
Financing or a Smaller Financing, as applicable, the Convertible Notes shall convert immediately prior to the closing thereof, such that
the investors paying cash in such Qualified Financing or Smaller Financing, as applicable, are not diluted by the conversion of the Convertible
Notes.

Pursuant to the Convertible Notes, a Qualified Financing
represents a single transaction or series of transactions whereby the Company receives aggregate gross proceeds of at least $5 million
from the sale of equity securities following the issuance date (excluding proceeds from the issuance of any future convertible notes).
A Smaller Financing represents any sale of equity securities whereby the aggregate gross proceeds are less than $5 million (excluding
proceeds from the issuance of any future convertible notes).

In addition, in the event of a corporate transaction
covering the sale of all or substantially all of the Company’s assets, or merger or consolidation with or into another entity, or
change in ownership of at least 50% in voting securities of the Company, the holder of the Convertible Note may elect that either: (a)
the Company pay the holder of such Convertible Note an amount equal to the sum of (i) all accrued and unpaid interest due on such Convertible
Note and (ii) one and one-half (1.5) times the outstanding principal balance of such Convertible Note; or (b) such Convertible Note will
convert into that number of conversion