Company: LNAI
Filing Date: 2025-02-19
Form Type: 10-Q/A
Source: 0001731122-25-000250
Chunk: 43

Company: Lunai Bioworks Inc.
Filing Date: 2025-02-19
Form: 10-Q/A
Chunk 43
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 by the holder was applied to the
exercise price of the warrants (see Note 8).

Acquisition of Renovaro Denmark —At March 31, 2024, and June 30, 2023, the Company maintained a reserve of 17,414
shares of Common Stock of the Registrant held in escrow according to Danish law (the “Escrow Shares”), all of which are
reflected as issued and outstanding in the accompanying consolidated financial statements. The Escrow Shares are reserved to acquire
the shares of Renovaro Denmark held by non-consenting shareholders of Renovaro Denmark on both March 31, 2024, and June 30, 2023, in
accordance with Section 70 of the Danish Companies Act and the Articles of Association of DanDrit Denmark. There have been 167,639
shares of Common Stock issued to non-consenting shareholders of Renovaro Denmark as of March 31, 2024. During the three and nine
months ended March 31, 2024, the Company issued zero 0
shares of Common Stock to such non-consenting shareholders of Renovaro Denmark. There is no impact on outstanding shares as these
shares are reflected as issued and outstanding.

Stock-based Compensation

The Company recognizes compensation
costs for stock option awards to employees and directors based on their grant-date fair value. The value of each stock option is estimated
on the date of grant using the Black-Scholes option-pricing model. The weighted-average assumptions used to estimate the fair values of
the stock options granted using the Black-Scholes option-pricing model are as follows in the three months ended March 31, 2024:

| Schedule of weighted-average assumptions used to estimate the fair values of the stock options granted |     |               |                 |   |
|                                                                                                        |     | Renovaro Inc. |                 |   |
| Expected term (in years)                                                                               |     |               |       5.0 – 6.5 |   |
| Volatility                                                                                             |     |               | 84.33% – 108.79 | % |
| Risk free interest rate                                                                                |     |               |    3.12% – 4.83 | % |
| Dividend yield                                                                                         |     |               |               0 | % |

On
February 13, 2024, the Company repriced 3,849,931 eligible employee and consultant options from the