Company: PFSA
Filing Date: 2025-11-19
Form Type: 10-Q
Source: 0001213900-25-112723
Chunk: 178

Company: Profusa, Inc.
Filing Date: 2025-11-19
Form: 10-Q
Item: Part I, Item 8
Chunk 178
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 by issuing a promissory note. Such modification did not result in additional stock-based compensation expense. The full
note amount of $428 thousand was considered settled and paid in full upon the Closing as this balance was netted within the total consideration
due to the Company’s CEO as payment for the successful Closing, and as such, the transaction was recorded in stock-based compensation.
The early exercised options were fully vested, with no remaining responsibility on a note as of July 11, 2025, at which time they converted
into Company Common Stock. On both July 11, 2025 and September 30, 2025 these exercised options are included in the Company’s Common
Stock outstanding.

31

Stock-Based Compensation Expense by Function

The following table is a summary of stock compensation expense by function
recognized for the three and nine months ended September 30, 2025 and 2024 (in thousands):

    Nine months ended
 September 30, 

    2025  
    2024 
  
    General Administrative 
    $612  
    $5 
  
    Research and development 
     92  
     11 

    $704  
    $16 

    Three months ended
 September 30, 

    2025  
    2024 
  
    General Administrative 
    $579  
    $3 
  
    Research and development 
     38  
     9 

    $617  
    $12 

Note 10 — Related Party Transactions

The Company has funded its operations to date primarily through private
sales of convertible preferred stock, convertible debt, loans payable and promissory notes. These investments have included various related
parties issued at arms-length.

The following table presents the various significant related party
transactions and investments in the Company for the periods presented (in thousands):

  Related Party  Nature of relationship  Description of investment or transaction  September 30,  2025   December 31,  2024   Tasly  Shareholder  Convertible debt payable at fair value  $2,207   $2,234   Ascent PIPE convertible note  Shareholder  Loan payable related party at fair value   14,359    -   Northview Acquisition Corp Sponsor  Shareholder  Convertible debt payable at fair value   1,920    -   The founders  Shareholder  Promiss