Company: XTIA
Filing Date: 2025-06-20
Form Type: S-1/A
Source: 0001213900-25-055855
Chunk: 55

Company: XTI Aerospace, Inc.
Filing Date: 2025-06-20
Form: S-1/A
Chunk 55
---
 another advisory agreement with ThinkEquity,
pursuant to which we agreed to issue 125,000 shares of restricted common stock, subject to certain registration rights, to ThinkEquity
in consideration for financial advisory services agreed to be rendered to the Company pursuant to the advisory agreement. We agreed to
register such shares within 60 days of the date of the advisory agreement. ThinkEquity did not receive any demand or piggyback registration
rights with respect to such shares. Accordingly, such registration rights comply with FINRA Rule 5110(g)(8)(C) and (D). Such shares have
been deemed compensation by FINRA and are therefore subject to a 180-day lock-up pursuant to Rule 5110 (d)(1)(A) of FINRA.

<div align='center'>30</div>

Price Stabilization, Short Positions and Penalty Bids

In connection with this Offering,
the underwriters may engage in transactions that stabilize, maintain or otherwise affect the price of our common stock. Specifically,
the underwriters may over-allot in connection with this Offering by selling more shares than are set forth on the cover page of this prospectus.
This creates a short position in our common stock for its own account. The short position may be either a covered short position or a
naked short position. In a covered short position, the number of shares of common stock over-allotted by the underwriters is not greater
than the number of shares of common stock that they may purchase in the over-allotment option. In a naked short position, the number of
shares of common stock involved is greater than the number of shares of common stock in the over-allotment option. To close out a short
position, the underwriters may elect to exercise all or part of the over-allotment option. The underwriters may also elect to stabilize
the price of our common stock or reduce any short position by bidding for, and purchasing, common stock in the open market.

The underwriters may also
impose a penalty bid. This occurs when a particular underwriter or dealer repays selling concessions allowed to it for distributing shares
of common stock in this Offering because the underwriter repurchases the shares of common stock in stabilizing or short covering transactions.

Finally, the underwriters
may bid for, and purchase, shares of our common stock in market making transactions, including “passive” market making transactions
as described below.

These activities may stabilize
or maintain the market price of our common