Company: NAVN
Filing Date: 2025-09-19
Form Type: S-1
Source: 0001628280-25-042130
Chunk: 333

Company: Navan, Inc.
Filing Date: 2025-09-19
Form: S-1
Chunk 333
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3 million , respectively. The fair value of the redeemable convertible preferred stock warrant liability was determined using the Black-Scholes option pricing model. The following assumptions were used to calculate the fair value of the redeemable convertible preferred stock warrant liability:

|                                                                                                                                | Year Ended January 31, 
 2025                   |     | 2024         |
|:-------------------------------------------------------------------------------------------------------------------------------|:-----------------------|:----|:-------------|
| Volatility.................................................................................................................... | 55.0 - 65.0%           |     | 64.5 - 69.5% |
| Risk-free interest rate.............................................................................................           | 4.06 - 4.82%           |     | 3.61 - 4.86% |
| Expected term (in years)........................................................................................               | 3.9 - 4.4              |     | 4.9 - 5.4    |
| Dividend yield..........................................................................................................       | —%                     |     | —%           |

The redeemable convertible preferred stock warrant liability is recorded within other non-current liabilities on the consolidated balance sheets. Changes in fair value are recorded in gain (loss) on fair value adjustments on the accompanying consolidated statements of operations for the years ended January 31, 2025 and 2024. We will continue to adjust the redeemable convertible preferred stock warrant liability for changes in fair value until the earlier of conversion, exercise or expiration of the warrants. Fair value measurements are highly sensitive to changes in these inputs; significant changes in these inputs would result in a significantly higher or lower fair value. The change in value of the redeemable convertible preferred stock warrant liability during the years ended January 31, 2025 and 2024 is summarized below (in thousands):

| Balance as of January 31, 2023......................................................................................................            
 Change in fair value........................................................................................................................... 
 Balance as of January 31, 2024......................................................................................................            |  $433 
 (136) 
   297 |
|:------------------------------------------------------------------------------------------------------------------------------------------------|------:|
| Change in fair value........................................................................................................................... |   130 |
| Balance as of January 31, 2025......................................................................................................            |  $427 |

F-22 NAVAN, INC. AND SUBSIDIARIES Notes to Consolidated Financial Statements

Embedded Derivative Liability The embedded derivative liability is bifurcated from the convertible notes issued in June 2020. Refer to Note 8 — Debt for further information