Company: LGN
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0002052568-25-000018
Chunk: 77

Company: Legence Corp.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 8
Chunk 77
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 OptionsWeighted-Average Grant Date Fair Value per ShareWeighted-Average Exercise Price per ShareOutstanding as of December 31, 2024—$— $— Granted668,57016.46 28.00 Vested—— — Forfeited—— — Outstanding as of September 30, 2025668,57016.46 28.00 Vested and exercisable as of September 30, 2025—$— $— As of September 30, 2025, unrecognized stock-based compensation expense related to stock options was $10.8 million, which is expected to be recognized over a weighted-average period of 3.0 years. For the three and nine months ended September 30, 2025, the Company recognized $0.2 million of stock-based compensation expense related to stock options in Selling, general and administrative on the Condensed Consolidated Statements of Operations. Weighted-average inputs used in the Black-Scholes option pricing model for options granted under the 2025 Omnibus Incentive Plan were as follows:Stock price$28.00Expected term (in years)6.0Expected volatility60.0%Risk-free interest rate3.7%Dividend yield—%

Note 12 - Noncontrolling Interests

As noted above, Legence Corp. is the sole managing member of Legence Holdings, and the Company consolidates the financial results of Legence Holdings. Therefore, the Company reports a noncontrolling interest on the portion of net assets and income not attributable to Legence.The following table summarizes the ownership of Legence Holdings as of September 30, 2025. There were no changes in ownership between September 12, 2025 and September 30, 2025.LGN UnitsOwnership PercentageLegence Corp.'s ownership of LGN A Units58,510,56755.62 %Legence Parent's ownership of LGN B Units46,680,76244.38 %Balance at end of period105,191,329100.00 %In addition to the LGN B Units noted above, which represents an economic interest in Legence Holdings, Legence Parent owns 46,680,762 shares of Class B Common Stock, which together, may be exchanged at the option of Legence Parent on a one-for-one basis for shares of Class A Common Stock or the cash equivalent thereof (based on the 10-day volume weighted average price of the