Company: NAVN
Filing Date: 2025-06-20
Form Type: DRS
Source: 0001628279-25-000383
Chunk: 333

Company: Navan, Inc.
Filing Date: 2025-06-20
Form: DRS
Chunk 333
---
 2022 Promissory Note, the fair value of the common stock warrants was $11.8 million and was recorded as a debt discount. Debt issuance costs were approximately $0.1 million, consisting of advisor fees, legal fees and other related expenses. Both amounts were recorded as a reduction of the carrying amount of the debt liability. The debt discount and debt issuance costs are amortized to interest expense at an effective interest rate of 14.5% over the term of the loan. The common stock warrants were subsequently exercised during the year ended January 31, 2023.

The 2022 Promissory Note contains certain affirmative or negative covenants including, among other things, restrictions on repurchases of stock, dividends and other distributions. As of January 31, 2025 and

<div align='center'>F-29</div>

2024, we remain in compliance with all covenants. The net carrying amount of the 2022 Promissory Note was as follows (in thousands):

|                                         |     | As of January 31, |    2025 |     |   |    2024 |
|:----------------------------------------|:----|:------------------|--------:|:----|:--|--------:|
| Principal                               |     | $                 | 150,000 |     | $ | 150,000 |
| Unamortized debt discount               |     |                   |  -3,342 |     |   |  -7,488 |
| Unamortized debt issuance costs         |     |                   |     -28 |     |   |     -64 |
| PIK interest added to principal balance |     |                   |  28,708 |     |   |  15,877 |
| Net carrying amount                     |     | $                 | 175,338 |     | $ | 158,325 |

Interest expense related to the 2022 Promissory Note was as follows (in thousands):

|                                     |     | Year Ended January 31, |   2025 |     |   |   2024 |
|:------------------------------------|:----|:-----------------------|-------:|:----|:--|-------:|
| Amortization of debt discount       |     | $                      |  4,147 |     | $ |  3,295 |
| Amortization of debt issuance costs |     |                        |     35 |     |   |