Company: GAUZ
Filing Date: 2025-03-11
Form Type: 20-F
Source: 0001213900-25-022437
Chunk: 65

Company: Gauzy Ltd.
Filing Date: 2025-03-11
Form: 20-F
Item: Item 5
Chunk 65
---

with respect to certain amounts under the “phantom warrant.” See “Liquidity and Capital Resources - Indebtedness
 - Credit Facility” below for additional information. In addition, in January 2024, we amended the 2024 Note Purchase
Agreement, or the 2024 NPA Amendment, pursuant to which the 2024 Note Purchasers made available to us an additional commitment in the
principal amount of up to $2.5 million that may be utilized and drawn down by way of issuance and sale of additional senior secured notes
by Vision Lite to the 2024 Note Purchasers. In April 2024, the $2.5 million additional commitment under the 2024 Note Purchase Agreement
(as amended by the 2024 NPA Amendment) was utilized by way of issuance and sale of additional 2024 Notes.

In addition, under the 2024
Note Purchase Agreement, the 2024 Note Purchasers extended a commitment to purchase additional notes in an amount of up to $15.0 million
(which commitment was reduced in full on a dollar-for-dollar basis by amounts invested by the 2024 Note Purchasers in our initial public
offering in June 2024).

The 2024 Notes bear annual
interest, payable quarterly, and are due on November 8, 2028, provided that 2024 Notes may be subject to partial prepayment following
the date the annual financial statements of the Company are due to be delivered in accordance with the 2024 Note Purchase Agreement,
in an amount equal to 25% of the excess cash flow calculated in accordance with the terms of the 2024 Note Purchase Agreement. Subject
to certain conditions specified therein, the 2024 Notes may be voluntarily prepaid at any time.

Amounts owing under the 2024
Note Purchase Agreement, including the principal, interest and fees payable on any issued 2024 Notes, are secured by first-ranking liens
on our and certain of our subsidiaries’ assets.

In connection with the 2024
Note Purchase Agreement and the 2024 NPA Amendment, we issued to the 2024 Note Purchasers warrants, or the 2024 Note Purchaser Warrants,
to purchase up to 682,282 series D-5 preferred shares of the Company with an exercise price of $15.61 per share. Following the closing
of our initial public offering in June 2024, the 2024 Note Purchaser Warrants were exercisable into