Company: XAIR
Filing Date: 2025-06-20
Form Type: 10-K
Source: 0001641172-25-015750
Chunk: 1583

Company: Beyond Air, Inc.
Filing Date: 2025-06-20
Form: 10-K
Item: Item 5
Chunk 1583
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 and 12% payable in kind through June 30, 2026 and thereafter all in cash; (iv) a royalty interest of 8% of the Company’s
net sales on a quarterly basis from July 2026 until the facility is repaid in full; (v) the Company’s obligations will be secured
by substantially all of the Company’s assets and (vi) the Company shall issue the lenders warrants to purchase shares of the Company’s
common stock at an exercise price of $0.3793 per share.

Subsequent
to March 31, 2025, the Company received commitments from certain lenders under the Loan Agreement to provide additional financing of
at least $2.0 million in aggregate principal. The additional loans are expected to be issued on terms and conditions that are materially
consistent with those of the Loan Agreement.

On September 26, 2024, the Company,
entered into a securities purchase agreement (the “Securities Purchase Agreement II”) with certain institutional and accredited
investors, including certain directors and officers of the Company. Pursuant to the purchase agreement, the Company sold to the investors
in a private placement offering, (i) an aggregate of 24,999,999 shares of Common Stock”, at a purchase price of $0.5043 per Share,
(ii) pre-funded warrants to purchase up to 15,848,712 shares of common stock at a purchase price of $0.5042 per pre-funded warrant and
(iii) warrants to purchase up to 40,848,711 shares of common stock, for aggregate for gross proceeds of $20.6 million (which includes
$2.0 million from related parties). Each share and each pre-funded warrant was sold with an accompanying common warrant to purchase one
share of common stock. The pre-funded warrants have an exercise price of $0.0001 per share, and the common warrants have an exercise price
of $0.3793 per share. Members of the Board of Directors and certain executives of the Company are considered related parties to this offering.
The offering closed on December 31, 2024. The Company received net proceeds of $18.9 million after deductions for placement agent commissions
and other offering costs of $1.4 million and $0.3 million, respectively. (See Note 4 to our financial statements for the fiscal year ended
March 31, 2025).

In addition, Beyond Air and Avenue
Capital Management II, L.P., Avenue