Company: XTIA
Filing Date: 2025-06-20
Form Type: S-1/A
Source: 0001213900-25-055855
Chunk: 38

Company: XTI Aerospace, Inc.
Filing Date: 2025-06-20
Form: S-1/A
Chunk 38
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 stock then issuable upon conversion in full of the Series 4 Preferred Stock.

.Holders
of the Series 4 Preferred Stock will be entitled to receive dividends equal (on an “as converted to common stock” basis) to
and in the same form as dividends actually paid on shares of our common stock when, as and if such dividends are paid on shares of our
common stock. No other dividends will be paid on shares of Series 4 Preferred Stock.

. Except
as otherwise provided in the certificate of designation or as otherwise required by law, the Series 4 Preferred Stock has no voting rights.

.Upon
any dissolution, liquidation or winding up, whether voluntary or involuntary, holders of Series 4 Preferred Stock will be entitled to
receive distributions out of our assets, whether capital or surplus, of the same amount that a holder of common stock would receive if
the Series 4 Preferred Stock were fully converted (disregarding for such purposes any conversion limitations hereunder) to common stock
which amounts will be paid pari passu with all holders of common stock.

.
The Series 4 Preferred contain an anti-dilution protection feature, to adjust the conversion price if shares of common stock are sold
or issued for a consideration per share less than the conversion price then in effect (subject to certain exemptions), provided, that
the conversion price will not be less than $418,500,000.

.
We are not obligated to redeem or repurchase any shares of Series 4 Preferred Stock. Shares of Series 4 Preferred Stock are not otherwise
entitled to any redemption rights, or mandatory sinking fund or analogous provisions.

Series 5 Preferred Stock

Our board of directors
designated 12,000 shares of preferred stock as Series 5 Convertible Preferred Stock, $0.001 par value with a stated value of $1,000 (the
“Series 5 Preferred Stock”). The Series 5 Preferred Stock was originally issued in our rights offering consummated on January
15, 2019. As of June 18, 2025, there were 126 shares of Series 5 Preferred Stock outstanding convertible into 1 share of common stock.
Our board of directors may, without stockholder approval, issue shares of an additional class or series of preferred stock with voting
and conversion rights which could adversely affect the voting power of the holders of the Series 5 Preferred Stock, except as prohibited
by the certificate of designation of preferences, rights and limitations of the Series 5 Preferred Stock.