Company: VEEAW
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001213900-25-111013
Chunk: 45

Company: VEEA INC.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 1
Chunk 45
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     2,040,000 
  
    Total 
    $5,366,824  
     -  
    $367,935  
    $4,998,889 

    December 31, 2024 
    Total  
    Level 1  
    Level 2  
    Level 3 
  
    SPAC Private Placement Warrant liability 
    $840,994  
             -  
    $840,994  
    $- 
  
    Convertible note option liability 
     60,000  
     -  
     -  
     60,000 
  
    Earn-out Share Liability 
     15,560,000  
     -  
     -  
     15,560,000 
  
    Total 
    $16,460,994  
     -  
    $840,994  
    $15,620,000 

Warrant Liabilities

The Company’s initial value of
the SPAC Private Placement Warrant liability as of September 13, 2024, was based on a valuation model utilizing management judgment and
pricing inputs from observable and unobservable markets with less volume and transaction frequency than active markets and was classified
as level 3. The subsequent measurement of the SPAC Private Placement Warrants is classified as Level 2 because these warrants are economically
equivalent to the Public Warrants, based on the terms of the SPAC Private Placement Warrant agreement, and as such their value is principally
derived by the value of the Public Warrants. Significant deviations from these estimates and inputs could result in a material change
in fair value.

2025 Investor Warrants

The Company established the initial
fair value of the 2025 Investor Warrants liability as of August 14, 2025, the date of the August 2025 Public Offering. As of September
30, 2025, the fair value was remeasured using an option pricing model. The option pricing model was used to value the liability for the
initial period and subsequent measurement periods.

The 2025 Investor Warrant liability
was classified within Level 3 of the fair value hierarchy due to the use of unobservable inputs. The key inputs into the option pricing
model were as follows at August 14, 2025 initial value, and at September 30, 2025:

    September 30,  2025