Company: APXIF
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001213900-25-026189
Chunk: 1829

Company: APx Acquisition Corp. I
Filing Date: 2025-03-31
Form: 10-K
Item: Item 9B
Chunk 1829
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 Private Placement Warrants and Public Warrants were as follows at initial measurement:

    Inputs 
    December 9, 2021 (Initial Measurement) 
  
    Risk-free interest rate 
     1.26%
  
    Expected term (years) 
     5.0 
  
    Expected volatility 
     15.0%
  
    Exercise price 
    $11.50 
  
    Stock price 
    $9.59 

The Company’s
use of a Binomial Lattice simulation model required the use of subjective assumptions: 

●The
risk-free interest rate assumption was based on the five-year U.S. Treasury rate, which was commensurate with the contractual term of
the Warrants, which expire on the earlier of (i) five years after the completion of the initial business combination and (ii) upon redemption
or liquidation. An increase in the risk-free interest rate, in isolation, would result in an increase in the fair value measurement of
the warrant liabilities and vice versa.

●The
expected term was determined to be five years, in-line with a typical equity investor assumed holding period

●The
expected volatility assumption was based on the implied volatility from a set of comparable publicly-traded warrants as determined based
on the size and proximity of business combinations by similar special purpose acquisition companies. An increase in the expected volatility,
in isolation, would result in an increase in the fair value measurement of the warrant liabilities and vice versa.

●The
fair value of the Units, which each consist of one Class A ordinary share and one-half of one Public Warrant, represents the closing
price on the measurement date as observed from the ticker APXIU.

Subsequent Measurement

The Warrants
are measured at fair value on a recurring basis. At the subsequent measurement date of December 31, 2024, and 2023, the Private Placement
Warrants were fair valued using the Binomial Lattice Simulation Method. 

F-25

The key
inputs into the Binomial Lattice simulation model for the Private Placement Warrants are as follows at subsequent measurement: 

    Inputs 
    December 31, 2024  
    December 31, 2023 
  
    Risk-free interest rate 
     4.42% 
     3.88%
  
    Expected term (years) to exercise date 
     .33  
     .75 
  
    Expected volatility 
     1.11% 
     .55%