Company: FLYE
Filing Date: 2025-08-19
Form Type: 10-Q
Source: 0001213900-25-078571
Chunk: 135

Company: Fly-E Group, Inc.
Filing Date: 2025-08-19
Form: 10-Q
Item: Part I, Item 8
Chunk 135
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 Warrants, except that upon notice from the holder to the Company,
the holder may waive such limitation up to a percentage, not in excess of 9.99%. The 2025 Warrants are also exercisable on a cashless
basis. 2025 Warrants are classified as equity as they are indexed to the Company’s own stock and meet the criteria for equity classification
according to ASC:815-40. None of the 2025 Warrants were exercised as of June 30, 2025.

23

The fair value of the Existing Warrant, using
the Black-Scholes Model on the date of issuance was $21,296,598. The key inputs into the Black-Scholes Model variables were as follows
at measurement date:

    June 4, 2025 
  
    Stock price 
    $2.7750 
  
    Risk-free interest rate 
     3.93%
  
    Volatility 
     53.92%
  
    Exercise price 
    $1.4565 
  
    Dividend yield 
    $— 

The stock price and exercise prices stated herein
have been retroactively adjusted to reflect the reverse stock split that occurred in July 2025.

The following table summarizes the Company’s
activities and status of the Representative’s Warrants and 2025 Warrants:

     Number of  Warrant   Weighted  Average  Exercise Price   Weighted Average Remaining Term (Years)   Outstanding as of March 31, 2025   25,875   $20.0000    4.2   Issued   11,438,222   $1.4565        Exercised   —   $—        Forfeited or expired   —   $—        Outstanding as of June 30, 2025   11,464,097   $1.4984    4.9  

The number of shares and warrants, as well as
the exercise prices stated herein, have been retroactively adjusted to reflect the reverse stock split that occurred in July 2025.

From July 1, 2025 to July 28, 2025, certain holders
of the Company’s 2025 Warrants exercised their rights to acquire common stock. The exercises were completed on a cashless basis
pursuant to the terms of the warrant agreements, resulting in