Company: IXHL
Filing Date: 2025-04-28
Form Type: 424B3
Source: 0001213900-25-036065
Chunk: 7

Company: Incannex Healthcare Inc.
Filing Date: 2025-04-28
Form: 424B3
Chunk 7
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2.5) years after
the date of Stockholder Approval. If a registration statement registering the resale of the shares of Common Stock underlying the
Series A Warrants is not effective or available following the date of Stockholder Approval, the holder may, in its sole discretion,
elect to exercise the Series A Warrants through a cashless exercise. The Series A Warrants also include a zero exercise price
provision (referred to in the text of the Series A Warrants as an “alternative cashless exercise”) where, following
Stockholder Approval (even if a registration statement registering the issuance or resale of shares of Common Stock underlying the
Series A Warrant is effective), the holder of a Series A Warrant has the right to receive, without paying any additional cash or
consideration to the Company, an aggregate number of shares of Common Stock equal to the product of (x) the aggregate number of
shares of Common Stock that would be issuable upon a cash exercise of the Series A Warrant multiplied (which is subject to
adjustment, as described below, to a number of shares that is up to 10 times the number of shares underlying the Series A Warrant at
issuance) by (y) three (3.0). As a result of these zero exercise price provisions, it is unlikely investors would choose to
cash exercise the Series A Warrants, and we are unlikely to receive any cash proceeds from the exercise of the Series A Warrants.
Similarly, as a result of the zero exercise price provisions, it is unlikely investors would choose to exercise the Series A
Warrants on a “net” or “cashless” basis that would reduce the number of shares issuable upon exercise of the
Series A Warrant by a number of shares having an aggregate value equal to the exercise price. The number of shares issuable upon
exercise of the Series A Warrants is subject to adjustment in connection with the adjustment of the exercise price of the Series A
Warrants, as described below, to a number of shares that is up to 10 times the number of shares underlying the Series A Warrant at
issuance. The number of shares issuable pursuant to the Series A Warrants, including by way of its zero exercise price provisions,
is also subject to proportional adjustments for stock splits, dividends, reclassifications and similar adjustments.

In addition, if
we grant, issue or sell any options, convertible securities, or rights to purchase stock, warrants, securities or other property