Company: PFSA
Filing Date: 2025-02-27
Form Type: PRER14A
Source: 0001213900-25-017608
Chunk: 22

Company: Profusa, Inc.
Filing Date: 2025-02-27
Form: PRER14A
Chunk 22
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Following the delisting of our securities from the Nasdaq, we may face increased difficulties and uncertainties in meeting the initial
and continued listing requirement of Nasdaq, such as the requirements as to the market value of unrestricted publicly held shares and
market value of listed securities, and therefore face increased uncertainties as to its ability to successfully consummate the business
combination with Profusa or any other target company.

If we are deemed to be an investment company under the Investment Company Act, we may be required to institute burdensome compliance requirements and our activities may be restricted, which may make it difficult for us to complete our business combination.

If we are deemed to be an investment company under the Investment Company
Act, our activities may be restricted, including, without limitation, restrictions on the nature of our investments, and restrictions
on the issuance of our securities, each of which may make it difficult for us to complete our business combination. In addition, we may
have imposed upon us burdensome requirements, including, without limitation, registration as an investment company; adoption of a specific
form of corporate structure; and reporting, record keeping, voting, proxy and disclosure requirements and other rules and regulations.

In order not to be regulated as an investment company under the
Investment Company Act, unless we can qualify for an exclusion, we must ensure that we are engaged primarily in a business other
than investing, reinvesting or trading in securities and that our activities do not include investing, reinvesting, owning, holding
or trading “investment securities” constituting more than 40% of our total assets (exclusive of U.S. government
securities and cash items) on an unconsolidated basis. Our business will be to identify and complete a business combination and
thereafter to operate the post-transaction business or assets for the long term. We do not plan to buy businesses or assets with a
view to resale or profit from their resale. We do not plan to buy unrelated businesses or assets or to be a passive investor.

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We do not believe that our anticipated principal activities will subject
us to the Investment Company Act. The proceeds held in the trust account were previously invested by the trustee only in United States
government treasury bills with a maturity of 185 days or less or in money market funds investing solely in United States Treasuries
and meeting certain conditions under Rule 2a-7 under the Investment Company Act. However, to mitigate the risk of us being deemed
to