Company: CXAI
Filing Date: 2025-05-09
Form Type: S-1
Source: 0001829126-25-003532
Chunk: 60

Company: CXApp Inc.
Filing Date: 2025-05-09
Form: S-1
Chunk 60
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 the fees and expenses of our counsel and
independent registered public accountants.

Although we receive no proceeds
from this resale offering, we have obtained—and may obtain—capital under the Avondale Purchase Agreement:

| ● | Avondale Capital, LLC (March 26, 2025): Gross proceeds of $4.2 million (net $4.0 million) from the initial Avondale Pre-Paid Purchase, and up to $15.8 million (before discounts) available under future tranches, subject to minimum trading-volume thresholds, Nasdaq Rule 5635(d) approval and other conditions. |

We have used—and intend
to continue using—the net proceeds from these financings for working capital and general corporate purposes, including product
development, sales and marketing expansion and other operational needs. We may also deploy a portion of those proceeds for strategic
investments or acquisitions that complement our business, although we have no binding acquisition agreements at this time.

There is no assurance we
will draw the full $20 million available under the Avondale Purchase Agreement or any additional funds under the Avondale Purchase
Agreement; our ability to do so depends on our financing needs and satisfaction of the contract terms and Nasdaq requirements. All funds
received under these agreements have been and will be used in the ordinary course of business, and no proceeds are held in escrow or
similar arrangements.

Because this is a resale
offering by the Selling Securityholders, we are not required to—and do not—specify an exact allocation of proceeds from the
Avondale Pre-Paid Purchases. Our management will have broad discretion in applying any net proceeds we receive.

<div align='center'>40</div>

<div align='center'>DETERMINATION OF OFFERING PRICE</div>

We cannot currently determine the price or prices at which shares of common stock may be sold by the Selling Securityholders under this
prospectus.

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<div align='center'>DIVIDEND POLICY</div>

We have never declared or paid any cash dividends on our common stock to date and do not intend to pay cash dividends. We anticipate that we will retain all available funds and any future earnings, if any, for use in the operation of our business and do not anticipate paying cash dividends in the foreseeable future. In addition, future debt instruments may materially restrict our ability to pay dividends on our common stock. Payment of future cash dividends, if any, will be at the discretion