Company: GAUZ
Filing Date: 2025-03-11
Form Type: 20-F
Source: 0001213900-25-022437
Chunk: 189

Company: Gauzy Ltd.
Filing Date: 2025-03-11
Form: 20-F
Item: Item 19
Chunk 189
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, the Company reclassified the preferred shares
carrying amount totaling to $70,241into permanent equity (see Note 1(b)).

Following the IPO, and as of December 31, 2024, the authorized
share capital of the Company is49,200,191ordinary shares with no par value.

NOTE 15 - CONVERTIBLE LOAN AGREEMENTS:

  During the first quarter of 2020, the Company entered into convertible loan agreement (the “2020                                 
  CLA”) which latest amendment was signed on July 31, 2023 with several lenders, pursuant to which the CLA Lenders agreed to loan  
  the Company a sum of $ 2.35 million. The CLAs were issued with warrants to purchase series C and D shares, see Note 16(b).       
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On July 31, 2023, the CLA and the accompanying
warrants mentioned above, were further amended in order to extend the term of the underlying loan for an additional 24 months until July
31, 2025. In addition, the interest was amended such that in the event the CLA is converted in accordance with its terms prior to the
amended maturity date, the CLA shall accrue total interest of24% from the date of the amendment until the earlier of the conversion and
the maturity date.

Upon consummation of the IPO, the remaining
balance of the 2020 CLA (including the accrued interest) converted into322,476ordinary shares based upon the initial public offering
price of $17.00. as well as8,087ordinary shares received upon cashless exercise of warrants.

F-40

GAUZY LTD.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)

(U. S. dollars in thousands, except share and per
share amounts)

NOTE 15 - CONVERTIBLE LOAN AGREEMENTS(continued):

  During 2023 the Company entered into convertible                                                                                         
  loan agreements, (the “ 2023 CLA ”)                                                                                                      
  with several lenders (the “ CLA Lenders ”),                                                                                              
  which were amended on March 2024. Pursuant to which the CLA Lenders agreed to loan the Company up to $ 40.0 million (the “ Loan          
  Amount ”). A sum of $ 39 million was subscribed by the lenders to