Company: GAUZ
Filing Date: 2025-03-11
Form Type: 20-F
Source: 0001213900-25-022437
Chunk: 169

Company: Gauzy Ltd.
Filing Date: 2025-03-11
Form: 20-F
Item: Item 19
Chunk 169
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 statements and related disclosures.                                      
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  In December, 2023, the FASB issued ASU 2023-09, Improvements to Income Tax Disclosures, which requires                                        
  disclosure of disaggregated income taxes paid, prescribes standard categories for the components of the effective tax rate reconciliation,    
  and modifies other income tax-related disclosures. The ASU will be effective for fiscal years beginning after December 15, 2025, and allows   
  adoption on a prospective basis, with a retrospective option. The Company is in the process of assessing the impacts and method of adoption.  
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  In November 2024, the FASB issued ASU No. 2024-03 Income Statement— Reporting Comprehensive Income— Expense                                
  Disaggregation Disclosures (Subtopic 220-40). The ASU improves the disclosures about a public business entity’s expenses and provides      
  more detailed information about the types of expenses in commonly presented expense captions. The amendments require that at each interim  
  and annual reporting period an entity will, inter alia, disclose amounts of purchases of inventory, employee compensation, depreciation    
  and amortization included in each relevant expense caption (such as cost of sales, SG& A and research and development). The ASU is         
  effective for fiscal years beginning after December 15, 2026, and interim periods within fiscal years beginning after December 15, 2027.   
  Early adoption is permitted. The Company is currently evaluating this ASU to determine its impact on the Company’s disclosures.            
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F-21

GAUZY LTD.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)

(U. S. dollars in thousands, except share and per
share amounts)

Note 3
- Contingent consideration for business combination:

On January 26, 2022,
the Company acquired100% of the outstanding common shares of Vision (“ Business Combination”) for a total consideration of
$37,901.

The consideration
for the Business Combination included contingent consideration (“ Earn-out”) of up to €5,000. The contingent consideration
was split into two payments of up to €2,500million each,