Company: NAVN
Filing Date: 2025-10-10
Form Type: S-1/A
Source: 0001628280-25-044812
Chunk: 385

Company: Navan, Inc.
Filing Date: 2025-10-10
Form: S-1/A
Chunk 385
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         50.0% |     |           55.0% |
| Risk-free interest rate.............................................................................................           |          3.9% |     |            4.1% |
| Expected term (in years)........................................................................................               |           3.1 |     |             3.9 |
| Dividend yield..........................................................................................................       |            —% |     |              —% |

The redeemable convertible preferred stock warrant liability is recorded within other non-current liabilities on the condensed consolidated balance sheets. Changes in fair value are recorded in gain (loss) on fair value adjustments on the accompanying condensed consolidated statements of operations for the six months ended July 31, 2025 and 2024 . We will continue to adjust the redeemable convertible

F-58 NAVAN, INC. AND SUBSIDIARIES Notes to Condensed Consolidated Financial Statements (unaudited)

preferred stock warrant liability for changes in fair value until the earlier of conversion, exercise or expiration of the warrants. Fair value measurements are highly sensitive to changes in these inputs; significant changes in these inputs would result in a significantly higher or lower fair value. The change in value of the redeemable convertible preferred stock warrant liability during the six months ended July 31, 2025 is summarized below (in thousands):

| Balance as ofJanuary 31, 2025......................................................................................................             | $427 |
| Change in fair value........................................................................................................................... |    6 |
| Balance as of July 31, 2025.............................................................................................................        | $433 |

Embedded Derivative Liability The embedded derivative liability is bifurcated from the convertible notes issued in June 2020. Refer to Note 7 — Debt for further information regarding the convertible notes. The fair value of the embedded derivative liability was computed using a combination of the income approach, the Black-Scholes option pricing model, a probability-weighted estimate of the time to conversion, and other Level 3 inputs. Significant management assumptions and estimates were involved in this determination. The significant unobservable inputs used in measuring the fair value of the embedded derivative liability include the following:

|                                                                                                                         | As of         
 July 31, 2025 |     | January 31, 2025 |
|:------------------------------------------------------------------------------------------------------------------------|:--------------|:----|:-----------------|
| Time to expiration (in years)..........................................................................                 | 0.21 - 1.21   |     | 0.70 - 1.70