Company: BEAG
Filing Date: 2025-03-28
Form Type: 10-K
Source: 0001013762-25-003594
Chunk: 432

Company: Bold Eagle Acquisition Corp.
Filing Date: 2025-03-28
Form: 10-K
Item: Item 1B
Chunk 432
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otment Option Liability was measured
at fair value at inception and on a recurring basis, with changes in fair value presented within change in fair value of
Over-Allotment Option Liability in the statements of operations. Upon the partial exercise of the Over-Allotment Option by the underwriters on December 9, 2024, the Company recorded an unrealized gain
on change in fair value of Over-Allotment Option Liability of $236,900.

The Company used a Black-Scholes model to value the Over-Allotment
Option. The Over-Allotment Option Liability was classified within Level 3 of the fair value hierarchy at the measurement dates due to
the use of unobservable inputs inherent in pricing models are assumptions related to expected share-price volatility, expected life and
risk-free interest rate. The Company estimated the volatility of its ordinary shares based on historical volatility. The risk-free interest
rate was based on the 1-month U.S. Treasury yield. The expected life of the option was assumed to be equivalent to their remaining contractual
term.

F-16

The key inputs into the Black-Scholes model were as follows at initial
measurement of the Over-Allotment Option:

    Input 
    October 25,
 2024 
  
    Risk-free interest rate 
     4.9%
  
    Expected term (years) 
     0.12 
  
    Expected volatility 
     3.0%
  
    Exercise price 
    $10.00 
  
    Fair value of Over-Allotment Option Unit 
    $0.08 

The following table provides a summary of the changes in the fair value
of the Over-Allotment Option Liability:

    Over- allotment Option liability 
  
    Initial measurement of Over-Allotment Option Liability at October 25, 2024 
    $298,500 
  
    Change in fair value of Over-Allotment Option Liability at December 9, 2024 
     (9,750)
  
    Reduction in Over-Allotment Option Liability upon partial exercise of Over-Allotment Option at December 9, 2024 
     (61,600)
  
    Forfeiture of Over-Allotment Option Liability at December 9, 2024 
     (227,150)
  
    Fair value of Over-Allotment Option Liability at December 31, 2024 
    $-