Company: PFSA
Filing Date: 2025-07-18
Form Type: 8-K
Source: 0001213900-25-065686
Chunk: 42

Company: Profusa, Inc.
Filing Date: 2025-07-18
Form: 8-K
Chunk 42
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 by dividing $150.0 million by the Company’s fully diluted capitalization, or (ii) the per share price paid
by investors in the Qualified Financing, subject to 30% discount. Upon occurrence of a change of control, the junior notes were required
to be repaid in the amount equal to 200% of the junior notes’ outstanding principal balance plus accrued but unpaid interest.

We commenced issuance of our
senior convertible notes in April 2021 and continued issuing them through June 9, 2025. Our senior convertible notes bore interest at
12% per annum and, as of March 31, 2025, their then outstanding principal and accrued but unpaid interest of $26,617,117 was to automatically
convert into New Profusa Common Stock between $0.50 and $4.00 per share upon consummation of the Merger transaction based on the fixed
conversion price defined in the agreement. In addition, all former senior noteholders have a right to receive additional shares upon achievement
by New Profusa of certain share price and sales milestones (the earnout shares).

On August 8, 2023, a new wholly
owned subsidiary, APAC, was created and incorporated by the Company under the laws of Singapore. Upon creation, the new entity was capitalized
by the Company by payment of $1,000 for 1,000 Ordinary Shares. As a result, at the time of incorporation, the entity became a wholly owned
subsidiary of the Company. The entity was created with the expectation of jointly conducting the business of developing, manufacturing
and commercializing the Lumee Glucose and the Lumee Oxygen products, currently under development by the Company, together with a third
party. No business or activities have been conducted by the entity from the date of formation through and until the closing date of the
proposed License Agreement and Shareholders Agreement between the Company and Best Life Technology Ltd, an entity wholly owned and controlled
by the Tasly Holding Group (“Tasly”). In connection with and on or around the same date as the closing of the Business Combination,
the Company expects to sign and execute a License Agreement and Shareholders Agreement (the “APAC Joint Venture”) setting
forth the relative and other terms under which the development and business activities of the entity will be conducted.

The Company is in the process
of negotiating the formation of the joint venture (“APAC Joint Venture”), which includes the related party from which the
amounts under the