VSEE HEALTH, INC.

VSee Health, Inc. received a notice of default from ADI Funding, LLC regarding an 8% original issue discount secured promissory note with a principal amount of $271,739.13. The alleged defaults include the company's failure to file a resale registration statement on Form S-1 and an 8-K related to the Purchase Agreement by June 11, 2026. The company has ten trading days to cure the default, after which the holder may accelerate the debt and pursue other remedies. VSee Health is currently evaluating resolution alternatives.

VSee Health, Inc. has entered into a Standby Equity Purchase Agreement (SEPA) with YA II PN, LTD., effective June 2, 2026. This agreement grants VSee Health the right to sell up to $10 million of its common stock to the investor over a three-year period, subject to certain conditions. The company will pay a $25,000 structuring fee and issued 532,481 shares as a commitment fee.

VSEE HEALTH, INC. (VSEE) has entered into a securities purchase agreement with an institutional investor, issuing a secured promissory note for $271,739.13. The note has an 18% annual interest rate and a maturity date of December 8, 2026. The company has the option to prepay the note with a 10% fee, but is obligated to repay it immediately upon receiving proceeds from an equity line of credit financing. The note is secured by company assets.

VSee Health, Inc. has entered into a Stock Purchase Agreement to sell its wholly-owned subsidiary, VSee Lab, Inc., to its co-CEO and Chairman, Milton Chen. In connection with the sale, Mr. Chen resigned from his positions at VSee Health, and Dr. Imoigele Aisiku was appointed as the sole CEO and Chairman. The transaction involved the exchange of VSee Lab equity for Mr. Chen's shares in VSee Health. Pro forma financial statements show a reduction in net loss for both the first quarter of 2026 and the full year 2025 following the divestment.

VSee Health reported a net loss of $2.60 million for the first quarter of 2026, an improvement from a $3.96 million loss in the prior year period. However, total revenues decreased to $3.16 million from $3.32 million year-over-year, and the company's cash balance significantly declined. Management has raised substantial doubt about the company's ability to continue as a going concern due to liquidity conditions and historical operating losses, despite ongoing efforts to secure new contracts and additional financing.