Company: VGASW
Filing Date: 2025-05-14
Form Type: 10-Q
Source: 0001628280-25-025504
Chunk: 34

Company: Verde Clean Fuels, Inc.
Filing Date: 2025-05-14
Form: 10-Q
Item: Part I, Item 1
Chunk 34
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 was based on historical volatility for public company peers that operate in the Company’s industry. The expected term of awards granted represents management’s estimate for the number of years until a liquidity event as of the grant date. The risk-free rate for the period of the expected term was based on the U.S. Treasury yield curve in effect at the time of grant.The table below presents activity related to stock options during the three months ended March 31, 2025:Number of optionsWeighted average exercise  price per  shareWeighted average remaining contractual  life (years)Outstanding as of December 31, 20243,387,638$7.82 5.7Granted---Exercised-- -Forfeited / expired(163,445)$5.99 -Outstanding as of March 31, 20253,224,193$7.91 5.7Unvested as of March 31, 20252,886,348$7.60 5.8Exercisable as of March 31, 202528,843$5.99 0.5There were no stock options granted during the three months ended March 31, 2025 and 2024. As of March 31, 2025, there were 2,783,631 options granted to employees and officers outstanding, of which 2,445,786 were unvested, and 440,562 options granted to non-employee directors outstanding, all of which were unvested.Restricted Stock UnitsIn April 2024, all 141,656 of RSUs outstanding were vested. Of these vested RSUs, 120,824 were converted into an equal number of shares of the Company’s Class A common stock, and the remaining 20,832 were outstanding as of March 31, 2025, as the awardee elected to defer receipt.

17

Incentive UnitsPrior to Closing, certain subsidiaries of the Company, including Intermediate, were wholly owned subsidiaries of Holdings. Holdings, which was outside of the Business Combination perimeter, had entered into several compensation-related arrangements with certain of Intermediate's management and employees. Compensation costs associated with those arrangements were allocated by Holdings to Intermediate as the employees were rendering services to Intermediate. However, the ultimate contractual obligation related to these awards, including any future settlement, rested and continues to rest with Holdings. The Holdings equity compensation instruments consist of 1,000 Series A Incentive