Company: PFSA
Filing Date: 2025-08-11
Form Type: PRE 14A
Source: 0001213900-25-073801
Chunk: 13

Company: Profusa, Inc.
Filing Date: 2025-08-11
Form: PRE 14A
Chunk 13
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 we will be unable to issue any shares pursuant to the Purchase Agreement in excess of the Exchange Cap, unless the average price per share of all applicable sales of our common stock to Ascent under the Purchase Agreement equals or exceeds the Minimum Price (which represents the lower of (a) the official closing price of our common stock on Nasdaq immediately preceding the signing of the Purchase Agreement and (b) the average official closing price of our common stock on Nasdaq for the five consecutive trading days ending on the trading day immediately preceding the date of the Purchase Agreement) such that issuances and sales of our common stock to Ascent under the Purchase Agreement would be exempt from the Exchange Cap limitation under the Nasdaq 20% Rule. Accordingly, if stockholder approval of this Proposal No. 1 is not obtained, we may need to seek alternative sources of financing, which financing may not be available on advantageous terms, or at all, and which may result in the incurrence of additional transaction expenses. Our ability to successfully implement our business plans and ultimately generate value for our stockholders is dependent upon our ability to raise capital and satisfy our ongoing business needs. If we are unable to issue shares pursuant to the Purchase Agreement in excess of the Exchange Cap, we may be unable to fully satisfy our ongoing business needs on the terms or timeline we anticipate, if at all, the effect of which could materially and adversely impact future operating results, and result in a delay in or modification or abandonment of our business plans. Dilution The Purchase Agreement will not affect the rights of the holders of outstanding common stock, but the sale of shares to Ascent pursuant to the terms of the Purchase Agreement will have a dilutive effect on the existing stockholders, including the voting power and economic rights of the existing stockholders. After Ascent has acquired shares, Ascent may resell all, some or none of such shares at any time or from time to time in its discretion and at different prices. As a result, investors who purchase shares from Ascent in this offering at different times will likely pay different prices for those shares, and so may experience different levels of dilution, and in some cases substantial dilution, and different outcomes in their investment results. 8 Required Vote and Recommendation In accordance with our certificate of incorporation, as amended, and Delaware law, approval and adoption of this ELOC Transaction Proposal requires the affirmative vote of a majority of the total votes cast, in person or by proxy. As a result, abstentions and broker non -votes, if any, will