Company: NKLR
Filing Date: 2025-09-11
Form Type: S-4/A
Source: 0001213900-25-086741
Chunk: 521

Company: Terra Innovatum Global N.V.
Filing Date: 2025-09-11
Form: S-4/A
Chunk 521
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 released from its obligations, and the Company assumes them. The lender is also entitled to a liquidation preference for shares received upon conversion, receiving either 150% of the conversion price or a pro rata share of the liquidation proceeds, whichever is greater. Following the closing of the Merger, the lenders will be issued Company warrants (also see Note 11 — Quotaholders’ Deficit). The issuance of certain of these warrants was contingent upon meeting funding thresholds specified within those Bridge Loan agreements on June 6, 2025. The Company incurred a total debt discount of $2,518,607 for the Bridge Loans as a result of issuance costs and the allocation of proceeds to the warrants that will be issued following consummation of the Merger, which is being amortized over the term of the loans using the effective interest method. The effective interest rates on the Bridge Loans range from 22.72% to 153.73%. The weighted average interest rate as of June 30, 2025 is 99.74%. As of June 30, 2025, the aggregate principal amount outstanding of the Bridge Loans, including interest paid in kind, was $5,108,545. The Bridge Loans are presented net of unamortized debt discount of $2,402,913 and issuance costs of $12,085, resulting in a net carrying value of $2,693,547. Note 10. Fair Value Measurements The authoritative guidance on fair value measurements establishes a three -tierfair value hierarchy for disclosure of fair value measurements as follows:

| Level 1 — |     | Quoted prices for identical assets or liabilities in active markets.                                                                                                                                                                                                                                                |
| Level 2 — |     | Inputs other than quoted prices within Level 1 that are observable either directly or indirectly, including quoted prices in markets that are not active, quoted prices in active markets for similar assets or liabilities, and observable inputs other than quoted prices such as interest rates or yield curves. |
| Level 3 — |     | Unobservable inputs reflecting management’s view about the assumptions that market participants would use in pricing the asset or liability.                                                                                                                                                                        |

Assets and liabilities measured at fair value are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires management to make judgments and consider factors specific to the asset or liability.

F-63 Terra Innovatum Global, Srl