Company: PFSA
Filing Date: 2025-04-28
Form Type: S-4/A
Source: 0001213900-25-035718
Chunk: 276

Company: Profusa, Inc.
Filing Date: 2025-04-28
Form: S-4/A
Chunk 276
---
 investor presented a term sheet for the purchase of convertible promissory notes, which contemplated warrant coverage on the note purchase. Profusa, NorthView and their respective counsel reviewed such term sheets and discussions with the institutional investor and discussions continued through January of 2025 (see “Ascent Financing Background”). On July 12, 2024, NorthView presented the institutional investor with an indicative term sheet for a senior secured note to Vellar and asked for their approval to move forward with a PIPE transaction with that structure. Vellar exercised its right to approve the transaction and allowed NorthView to move forward with investors that would provide a PIPE in the form of a senior secured convertible note. On September 24, 2024, a meeting was held between NorthView and Vellar. Vellar notified NorthView that it would be terminating the binding term sheet and on September 25, 2024, Vellar sent NorthView a termination letter thus terminating the Amended and Restated Binding Principal Terms and Conditions with NorthView and Profusa. In late July of 2024, Profusa and NorthView discussed that the closing of the Merger transaction was taking longer than expected, and that as a result, Profusa would need to raise additional bridge financing and working capital loans prior to the consummation of the Merger in order to fund its operations (For reference, the Profusa Bridge Loan was commenced in November 2023 and had a conversion price of $2.22). NorthView acknowledged that such financings were necessary for Profusa to continue its ongoing operations and that the financings provided a benefit to the transaction. In early August, Profusa negotiated terms with an anchor investor for a new Senior Secured Convertible Note, which had a conversion price of $0.50. On or about August 1, 2024, and subsequent to Profusa’s new Senior Secured Convertible Note, Profusa discussed with NorthView that there was an original bridge noteholder, who was frustrated with the delay in consummating the Merger and the improved terms of the new Senior Secured Convertible Note. Profusa suggested that the parties seek another investor to purchase the bridge note from the noteholder to relieve tensions in Profusa’s investor base. Both parties acknowledged that Profusa may be required to issue incentive shares to any investor who would consider buying out such noteholder. On January 8, 2025, Profusa and NorthView continued discussions regarding a potential amendment to the Merger Agreement to address Prof