Company: AIRJW
Filing Date: 2025-03-25
Form Type: 10-K
Source: 0001013762-25-002263
Chunk: 1727

Company: AirJoule Technologies Corp.
Filing Date: 2025-03-25
Form: 10-K
Item: Item 11
Chunk 1727
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 stock on the Nasdaq Capital Market (“Nasdaq”) as reported by Bloomberg L.P. equals or exceeds
$12.00 per share (as adjusted for extraordinary transactions, stock splits, extraordinary stock dividends, reorganizations, recapitalizations
and the like) for 20 trading days within any 30 consecutive trading day period during the vesting period; or (B) if, prior
to the $12.00 vesting time, any Subject Vesting Shares have vested simultaneously with the Earnout Stock Payment, then (x) if the
number of Subject Vesting Shares that have vested exceeds 690,368, then no additional Subject Vesting Shares shall vest and (y) if
the number of Subject Vesting Shares that have vested is less than 690,368 (the “Deficit Amount”), then a number of Subject
Vesting Shares equal to 690,368 less the Deficit Amount shall vest; and

    ● Any remaining Subject Vesting Shares shall vest in full at the same time that the volume weighted average price of Class A common stock on the Nasdaq as reported by Bloomberg L.P. equals or exceeds $14.00 per share (as adjusted for extraordinary transactions, stock splits, extraordinary stock dividends, reorganizations, recapitalizations and the like) for any 20 trading days within any 30 consecutive trading day period. 

On March 8, 2024, XPDB and an investor entered into a Subscription
Agreement pursuant to which XPDB agreed to sell 588,235 shares of Class A common stock to the investor for an aggregate purchase
price of approximately $5.0 million, contingent on the Closing of the Business Combination. The Subscription Agreement provides that,
subject to certain conditions set forth therein, the Company may be required to issue to the investor up to an additional 840,336 shares
of Class A common stock (the “True Up Shares”) if the trading price of the Class A common stock falls below the per share
purchase price within one year of the Closing of the Business Combination. The True Up Shares are considered a variable-share obligation
under ASC 480-10-25-14, and as a result were accounted for as a liability recognized at fair value at each reporting period with changes
in fair value included in earnings. See Note 12 – Fair Value Measurements.

As discussed in Note 1 - Organization and Business Operations,
the Business Combination was consumm