Company: INV
Filing Date: 2025-04-15
Form Type: POS AM
Source: 0001628280-25-017889
Chunk: 199

Company: Innventure, Inc.
Filing Date: 2025-04-15
Form: POS AM
Chunk 199
---
PA became effective concurrently with the Business Combination. The SEPA includes two components subject to fair value measurement: the Purchased Put Option and Forward Contract. These are considered freestanding financial instruments not indexed to the Company’s stock.

The Purchased Put Option is accounted for as a derivative asset, initially measured at fair value upon Closing and subsequently measured at fair value each reporting period with changes in fair value recorded in the consolidated statements of operations and comprehensive income (loss). The Purchased Put Option fair value is considered de minimis upon Closing due to the exercise price being at a discount to market prices and remains de minimis as of December 31, 2024.

The Forward Contract is initially measured at fair value upon any Advance Notice and subsequently remeasured with changes in fair value recorded in the consolidated statements of operations and comprehensive income (loss). A derivative liability or asset will be recorded when there is an Advance Notice outstanding as of a reporting period. There were no outstanding Advance Notices as of December 31, 2024.

Derivative Liabilities

Embedded derivative liabilities contained within the 2025 Notes (as defined and further described in Note 5. Borrowings) are stated at fair value. Fair value is determined utilizing discounted cash flows, using unobservable market data inputs, and an option pricing model based on a probability-weighted expected outcome with respect to a financing or a change of control. The derivatives associated with the 2025 Notes were settled in March 2024 due to

<div align='center'>F-22</div>

#### Innventure, Inc. and Subsidiaries

### Notes to Consolidated Financial Statements
<div align='center'>(in thousands, except share or per share data)</div>

conversion of the 2025 Notes in a qualified financing. A summary of the significant unobservable inputs utilized to estimate the fair value is as follows:

| Embedded derivative within 2025 Note issued August 18, 2022 with a principal balance of $4,000                   |     | Settlement |     |   |     | December 31, 2023 |    |   |
| Discount Rate                                                                                                    |     |            |  35 | % |     | 35% -36%          |    |   |
| Probability of Expected Outcomes                                                                                 |     |            |     |   |     |                   |    |   |
| Financing                                                                                                        |     |            | 100 | % |     |                   | 95 | % |
| Change in control                                                                                                |