Company: PFSA
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076861
Chunk: 153

Company: Profusa, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 8
Chunk 153
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. $50,000 for expenses incurred in connection
with the offering.

On
June 15, 2023, the Company engaged the Benchmark Company LLC (“Benchmark”) to provide advisory services related to the Business
Combination and the Convertible Notes. The Company was to pay Benchmark at the closing of the Business Combination an advisory fee of
$750,000 in two tranches. The first tranche will be $500,000 earned upon the closing of the Business Combination in the surviving public
entity’s common stock (“Tranche 1”). The number of
shares to be issued is calculated on the 30th day following the Closing by dividing $500,000 and the trailing 5-day VWAP of
the Company’s common stock as calculated by Bloomburg with a minimum price of $2.00.  The second tranche will be $250,000,
at the Company’s option, in either cash or in the surviving entity’s common shares calculated by dividing $250,000 by the
lowest trailing 5-day VWAP in the prior 30 days (“Tranche 2”). Upon funding of the Convertible Notes by investors introduced
by Benchmark, the Company will pay to Benchmark fees in cash equal to 5% of the net proceeds of any Convertible Note draw at the time
of funding of such draw (“Arrangement Fees”). The Tranche 2 fee shall be reduced by the amount of any fees paid to Benchmark
for other transactions during the Term other than Arrangement Fees associated with Convertible Notes, after the Business Combination,
up to $250,000. As a result of the Business Combination, Benchmark was paid in shares of the post-combination company in the amount of
$500,000.

Non-Redemption Agreement

On May 8, 2025, the Company entered into a non-redemption agreement
(the “Non-Redemption Agreement”) with I-Bankers Securities, Inc. and Dawson James Securities, Inc. (together, the “Investors”),
pursuant to which such Investors agreed that to the extent that redemptions in connection with the vote to approve the Business Combination
reduces the Company’s trust account balance below $1.25 million, the Investors would offer such redeeming shareholders an
opportunity to rescind the redemption of their shares and would instead purchase such shares. Such purchases would be structured in compliance
with the requirements of Rule 14e-5 under the