Company: PFSA
Filing Date: 2025-02-27
Form Type: PRER14A
Source: 0001213900-25-017608
Chunk: 27

Company: Profusa, Inc.
Filing Date: 2025-02-27
Form: PRER14A
Chunk 27
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 any failure to meet the initial listing requirements of Nasdaq could result in an inability to list the combined company’s common stock and warrants on Nasdaq and the obligation to comply with the “penny stock” rules and could affect the combined company’s cash position following the closing of an initial business combination.

The NTA Requirement in the charter of NorthView prevents NorthView
from redeeming public shares to the extent that it would cause NorthView’s net tangible assets to be less than $5,000,001. The initial
purpose of the NTA Requirement in the charter was to ensure that NorthView would not be subject to the “penny stock” rules
of the SEC, and to therefore not be deemed a “blank check company” as defined under Rule 419 of the Securities Act, because
it complied with the NTA Requirement.

However, if the NTA Amendment Proposal is approved and if the net tangible
assets of the combined company (following our initial business combination) are less than $5,000,001 upon closing, the combined company’s
failure to meet the initial listing requirements of Nasdaq could result in (i) the inability of the combined company to list the common
stock and warrants on Nasdaq and (ii) the obligation to comply with the “penny stock” trading rules.

If an initial business combination is consummated but the combined
company is not able to list its common stock and warrants on Nasdaq, such securities would likely then trade only in the over-the-counter
market and the market liquidity of such securities could be adversely affected and their market price could decrease. If the common stock
and warrants were to trade on the over-the-counter market, selling such securities could be more difficult because smaller quantities
of such securities would likely be bought and sold, transactions could be delayed, and the combined company could face significant material
adverse consequences, including: (i) a limited availability of market quotations for its securities, (ii) reduced liquidity for its securities,
(iii) a determination that the common stock are a “penny stock” which will require brokers trading in such shares to adhere
to more stringent rules, including being subject to the depository requirements of Rule 419 of the Securities Act, and possibly result
in a reduced level of trading activity in the secondary trading market for the securities, (iv) limited or no news or analyst coverage,
and (v) a decreased ability to issue additional securities or obtain additional financing in the future. These factors could result in