Company: XTIA
Filing Date: 2025-08-01
Form Type: S-3
Source: 0001213900-25-070681
Chunk: 36

Company: XTI Aerospace, Inc.
Filing Date: 2025-08-01
Form: S-3
Chunk 36
---
 forth in the June 2025 Common Warrants.

Exercise Limitation. In general, a holder will not have the right to exercise any portion of a June 2025 Common Warrant if the holder (together with its Attribution Parties (as defined in the June 2025 Common Warrant)) would beneficially own in excess of 4.99% or 9.99%, at the election of the holder, of the number of shares of our common stock outstanding immediately after giving effect to the exercise, as such percentage ownership is determined in accordance with the terms of the June 2025 Common Warrant. However, any holder may increase or decrease such percentage to any other percentage not in excess of 9.99% upon notice to us, provided, that any increase in this limitation will not be effective until 61 days after such notice from the holder to us and such increase or decrease will apply only to the holder providing such notice.

Fractional Shares. No fractional shares of common stock will be issued upon the exercise of the June 2025 Common Warrants. Rather, the number of shares of common stock to be issued will, at our election, either be rounded up to the next whole share or we will pay a cash adjustment in respect of such final fraction in an amount equal to such fraction multiplied by the exercise price.

Transferability. Subject to applicable laws, a June 2025 Common Warrant may be transferred at the option of the holder upon surrender of the June 2025 Common Warrant to us together with the appropriate instruments of transfer and funds sufficient to pay any transfer taxes payable upon such transfer.

Trading Market. There is no trading market available for the June 2025 Common Warrants on any securities exchange or nationally recognized trading system, and we do not expect a trading market to develop. We have not applied to list the June 2025 Common Warrants on any securities exchange or nationally recognized trading market. Without a trading market, the liquidity of the June 2025 Common Warrants is extremely limited.

Right as a Stockholder. Except as otherwise provided in the June 2025 Common Warrants or by virtue of such holder’s ownership of common stock, the holders of the June 2025 Common Warrants do not have the rights or privileges of holders of our common stock, including any voting rights, until they exercise their June 2025 Common Warrants. The June 2025 Common Warrants provide that holders have the right to participate in distributions or dividends paid on our common stock.

Fund