Company: XTIA
Filing Date: 2025-03-31
Form Type: 424B5
Source: 0001013762-25-004458
Chunk: 70

Company: XTI Aerospace, Inc.
Filing Date: 2025-03-31
Form: 424B5
Chunk 70
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, 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.

Dividends.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.

Conversion.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 $1,674,000 per share (subject to adjustment
described below). This right to convert is limited by the beneficial ownership limitation described below.

Anti-Dilution Protection. 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 $1,674,000.

Beneficial Ownership Limitation. 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 Act,