Company: XTIA
Filing Date: 2025-04-30
Form Type: 424B3
Source: 0001213900-25-037074
Chunk: 21

Company: XTI Aerospace, Inc.
Filing Date: 2025-04-30
Form: 424B3
Chunk 21
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 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.

.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.

.Each
share of Series 4 Preferred Stock is convertible, at any time and from time to time at the option of the holder thereof, into that number
of shares of Common Stock determined by dividing the stated value of $1,000 by the current conversion price equal to $418,500,000 per
share. In addition, the conversion price per share is subject to adjustment for stock dividends, distributions, subdivisions, combinations
or reclassifications. This right to convert is limited by the beneficial ownership limitation described below.

.
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.

<div align='center'>9</div>

.
A holder will have no right to convert any portion of Series 4 Preferred Stock, to the extent that, after giving effect to such conversion,
such holder, together with such holder's affiliates, and any persons acting as a group together with such holder or any such affiliate,
would beneficially own in excess of 4.99% (or, upon election of a purchaser prior to the issuance of any shares, 9.99%) of the number
of shares of Common Stock outstanding immediately after giving effect to the issuance of shares of Common Stock upon such conversion (subject
to the right of the holder to increase such beneficial ownership limitation upon notice to us, provided that any increase in beneficial
ownership limitation will not be effective until 61 days following notice to us and provided that such limitation can never exceed 9.99%
and such 61 day period cannot be waived). Beneficial ownership of the holder and its affiliates will be determined in accordance with
Section 13(d) of the Exchange