Company: HCTI
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001213900-25-026218
Chunk: 236

Company: Healthcare Triangle, Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1A
Chunk 236
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 tranche of $1,700,000 on December 29, 2023.

Each Note matures 18 months after issuance, does
not bear any interest unless an event of default occurs, in which case the Note will bear interest at an annual rate of 18%, and is convertible
into shares of the Company’s common stock (the “Conversion Shares”) at an initial conversion price equal to $3.44688,
provided that if an event of default has occurred and is continuing without cure, the conversion price will be the lesser of (i) $3.44688,
(ii) 95% of the average of the three lowest daily volume weighted average prices of the common stock during the 20 trading days immediately
preceding the notice of conversion of the Note, and (iii) 80% of the lowest daily volume weighted average price in the 10 trading days
immediately preceding the applicable conversion date, subject to adjustment as further specified in the Note.

Each Note is fully repayable in cash upon maturity.
In addition, the Investor has the option of requiring prepayment of up to 25% of the issuance amount of a subsequent financing. In
addition, as to each Note, beginning on the earlier of (i) 60 days from issuance and (ii) the date on which the resale registration statement
registering the Conversion Shares issuable under the Note and the Warrant Shares issuable under the corresponding Warrants has been declared
effective by the Securities and Exchange Commission, the Company must make monthly payments equal to 105% of the total principal amount
multiplied by the quotient determined by dividing one by the number of months remaining until the maturity date as of the initial payment
date (the “Monthly Payments”), until the principal amount has been paid in full prior to or on the maturity date or,
if earlier, upon acceleration, conversion or redemption of the Note in accordance with its terms.

The Monthly Payments are payable in cash; provided
that subject to certain limitations the Company may elect to pay all or part of a Monthly Payment in Conversion Shares in lieu of a cash
payment based on a price per share equal to the lower of (i) conversion price then in effect, and (ii) 95% of the average of the three
lowest daily volume weighted average prices of the common stock during the 20 trading days immediately preceding the applicable payment
date, subject to adjustment and to the floor price set forth in the applicable Note. If for any Monthly Payment the number of