Company: XTIA
Filing Date: 2025-03-31
Form Type: 424B5
Source: 0001013762-25-004458
Chunk: 39

Company: XTI Aerospace, Inc.
Filing Date: 2025-03-31
Form: 424B5
Chunk 39
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 their Pre-funded
Warrants.

Fundamental Transactions

Upon the consummation of a
fundamental transaction (as described in the Pre-funded Warrants, and generally including any reorganization, recapitalization or reclassification
of our shares of common stock, the sale, transfer or other disposition of all or substantially all of our properties or assets, our consolidation
or merger with or into another person, the acquisition of more than 50% of our outstanding shares of common stock, or any person or group
becoming the beneficial owner of 50% of the voting power of our outstanding shares of common stock), the holders of the Pre-funded Warrants
will be entitled to receive, upon exercise of the Pre-funded Warrants, the kind and amount of securities, cash or other property that
such holders would have received had they exercised the Pre-funded Warrants immediately prior to such fundamental transaction, without
regard to any limitations on exercise contained in the Pre-funded Warrants.

Subsequent Registration Statement

Because
the Current Shelf Registration Statement will not be available for the issuance of shares of our common stock upon the exercise of the
Pre-funded Warrants, we have agreed to file a registration statement (the “Subsequent Registration Statement”) covering the
issuance of the shares issuable upon exercise of the Pre-funded Warrants within 10 calendar days after their issuance date and use our
best efforts to have it declared effective under the Securities Act by the 45th calendar day following the issuance date of the Pre-funded
Warrants (or, in the event of a “full review” by the SEC, the 60th calendar day following the issuance date of the Pre-funded
Warrants).

Governing Law

The Pre-funded Warrants are
governed by New York law.

Common Warrants

The following summary of certain
terms and provisions of the Common Warrants that are being offered hereby is not complete and is subject to, and qualified in its entirety
by, the provisions of the Common Warrant, the form of which will be filed as an exhibit to a Current Report on Form 8-K that we will file
with the SEC. Prospective investors should carefully review the terms and provisions of the form of Common Warrant for a complete description
of the terms and conditions of the Common Warrants.

<div align='center'>S-18</div>

Duration and Exercise Price

Each Common Warrant offered
hereby will have an initial exercise price per share equal to $1.36