Company: IPSI
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001213900-25-110820
Chunk: 152

Company: Innovative Payment Solutions, Inc.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 8
Chunk 152
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, 2023 and November 20, 2023, Cavalry converted $139,726 of interest and $192,774 of principal into 963,769 shares
of Common Stock at a conversion price of $0.345 per share realizing a loss on conversion of $42,210.

Between
September 5, 2024 and November 11, 2024, Cavalry converted an aggregate of $79,608 of principal and $88,876 of interest into 2,005,762 shares
of Common Stock at a conversion price of $0.084 per share realizing a loss on conversion of $37,490. Such conversion caused a reduction
in the $0.345 conversion price of the notes described above to $0.084.

Between
January 14, 2025 and August 12, 2025, Cavalry converted an aggregate $49,915 of interest into 58,163,177 shares of common
stock at an average conversion price of $0.00086 per share. The Company realized a loss on conversion of $162,365.

In terms of the agreement with Cavalry,
the conversion price of the convertible note will be adjusted downwards on any dilutive issuances. The conversion price of the convertible
debt has been adjusted to $0.0005, the lowest conversion price of conversions executed during the nine months ended September 30, 2025.

On August 13, 2025, the Company entered
into an agreement to modify the conversion price of the Cavalry convertible debt from $0.0005 to a conversion price of $0.01 per share
of common stock, thereby reducing the number of shares of common stock that the aggregate convertible debt at September 30, 2025 is convertible
into from 1,797,744,000 to 89,887,200. This is subject to certain conditions, including i) if the shares of common stock trade above $0.04
during the period expiring on December 31, 2025, the investors may convert up to 10% of the aggregate debt outstanding, ii) if the common
stock trades below $0.01 and/or the Company generates no revenue by December 31, 2025, then the conversion price reverts to the original
conversion price per common stock, iii) the Company has to produce revenues of at least $250,000 prior to December 31,