Company: NKLR
Filing Date: 2025-12-16
Form Type: 424B3
Source: 0001213900-25-121900
Chunk: 121

Company: Terra Innovatum Global N.V.
Filing Date: 2025-12-16
Form: 424B3
Chunk 121
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 associated conversion feature which will be automatically 
 triggered if contingent milestones are met subsequent to the Closing. Refer to the Introduction       
 section above for description of the various milestones.                                              |

The PubCo Preferred Shares will be forfeited by the holder
if they are not converted within 20 years from the issuance date, the Closing. As the PubCo Preferred Shares may be forfeited, management
has concluded that they should be evaluated, accounted for, and classified, as a freestanding equity-linked instrument, rather than as
outstanding shares.

Management has concluded that the change of control provision
and the permit-driven performance target milestones described in the Introduction section above cause the freestanding equity-linked
instrument to not be considered indexed to PubCo’s own stock as these represent potential settlement adjustments that are not permissible
within the guidance of ASC 815. Therefore, the freestanding equity-linked instrument has been recorded as a liability at its estimated
fair value, with the offsetting amount recorded to additional paid-in capital. The value of the Share-settled contingent liability was
calculated using a probability weighted-average analysis of the achievement of each of the milestones and a Monte Carlo simulation model.
The simulation incorporated (i) an underlying share price of $7.41 per share, (ii) a 3.9% risk free rate, and (iii) an estimated volatility
of 125% based on historical data of comparable public companies.

| (c) | To reflect the issuance of 223,000 PubCo Ordinary Shares                                            
 to PAC upon the Closing for banking advisory services provided to Terra Innovatum. The issuance     
 of the shares was accounted for in accordance with Staff Accounting Bulletin Topic 5.A (“SAB        
 Topic 5.A”) as a specific incremental cost associated with the equity offering, with                
 the grant date fair value recorded as a decrease to additional paid-in capital with a corresponding 
 increase to par value.                                                                              |

| (d) | To reflect the                                                              
 settlement of GSR III’s deferred underwriting fee payable upon the Closing. |

| (e) | To reflect the payment on the Closing Date of total transaction 
 costs of $2.7 million related to GSR III, including:            |

(i) $167.3 thousand of costs incurred after September 30,
2025, which are not specific incremental costs directly attributable to the offering.

(ii) $2.5 million of costs incurred prior to September 30,
2025, which are not specific incremental costs directly attributable to the offering