Company: VEEAW
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001213900-25-032215
Chunk: 184

Company: VEEA INC.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 1
Chunk 184
---
 accelerate
nor vest on the consummation of the Business Combination. All stock option activity was retroactively restated to reflect the effect of
the Exchange Ratio. Generally, stock options vest 25% on the first anniversary of the vesting commencement date and then quarterly thereafter
for 12 quarters, or pursuant to another vesting schedule as approved by the Board and set forth in the option agreement. Stock options
have a maximum term of ten years from the date of grant.

F-26

Veea
Inc. and Subsidiaries

Notes
to the Consolidated Financial Statements 

For
the Years ended December 31, 2024 and 2023

Option
Activity

Stock
option activity under the Plan was as follows for the year ended December 31, 2024:

     Number of Options   Weighted- Average  Exercise Price  per Share   Weighted- Average  Remaining  Contractual Term  (years)   Outstanding at December 31, 2023, recasted   1,202,724   $0.55    5.85   Granted   3,063,139    1.78    -   Exercised   (60,454)   -    -   Forfeited   (9,127)   0.54    -   Outstanding at December 31, 2024   4,196,282    1.04    5.98   Exercisable at December 31, 2024   4,145,552            

The
aggregate intrinsic value is the fair market value on the reporting date less the exercise price for each option.

The fair value of each stock option award is estimated on the date
of the grant using the Black-Scholes option-pricing model. For options granted during the year ended December 31, 2024 and December 31,
2023, the weighted average estimated fair value using the Black-Scholes option pricing model was $1.49 and $0.46 per option, respectively.

Stock
compensation expense related to the common stock options outstanding for the years ended December 31, 2024 and 2023, was approximately
$5.5 million and $0.5 million, respectively, which is included in general and administrative expense, net in the Company’s