Company: CERO
Filing Date: 2025-11-19
Form Type: 10-Q
Source: 0001213900-25-112619
Chunk: 212

Company: CERO THERAPEUTICS HOLDINGS, INC.
Filing Date: 2025-11-19
Form: 10-Q
Item: Item 8
Chunk 212
---
 exercisable on the date of grant
at $28.60 per share with a ten-year term and vest over a requisite service period, which is usually the vesting period, and upon the completion
of certain performance-based vesting terms. These options were valued at $488,720 on the grant date using a Black Scholes option pricing
model using the assumptions summarized below. The Company recorded the fair value of the unvested stock options, in the amount of $488,720
as deferred compensation on the grant date, which is being amortized over the vesting period or as certain performance-based vesting terms
become probable.

On May 30, 2025, the Company’s
Board of Directors granted an aggregate of 50,591 stock options under the 2024 Plan, to executive officers, board members, employees,
and consultants, exercisable on the date of grant at $8.91 per share with a ten-year term and vest over a requisite service period, which
is usually the vesting period, or as certain performance-based vesting terms become probable. These options were valued at $351,862 on
the grant date using a Black Scholes option pricing model using the assumptions summarized below. The Company recorded the fair value
of the unvested stock options, in the amount of $351,862 as deferred compensation on the grant date, which is being amortized over the
vesting period or as certain performance-based vesting terms become probable.

28

Stock option activity under
the 2024 Plan for the nine months ended September 30, 2025 was as follows:

             Weighted          Weighted   Average          Average   Remaining          Exercise   Contractual      Outstanding   Price Per   Life      Shares   Share   (in Years)   Balance, December 31, 2024 (Successor)   3,247   $200.00    9.64   Options granted   70,904   $14.55    -   Balance, September 30, 2025 (Successor)   74,151   $22.67    9.57   Options exercisable as of September 30, 2025   24,489   $39.90    9.48  

The Company estimated the
fair value of the stock