Company: VEEAW
Filing Date: 2025-07-23
Form Type: S-1
Source: 0001213900-25-066815
Chunk: 269

Company: VEEA INC.
Filing Date: 2025-07-23
Form: S-1
Chunk 269
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 value and at December 31, 2024:

|                       |     |   | December 31, 
         2024 |   |     |   | September 13, 
          2023 |   |
|:----------------------|:----|:--|-------------:|:--|:----|:--|--------------:|:--|
| Stock Price           |     | $ |         3.81 |   |     | $ |         12.00 |   |
| Expected term (years) |     |   |          1.2 |   |     |   |           1.5 |   |
| Volatility            |     |   |         75.0 | % |     |   |          70.0 | % |
| Risk-Free Rate        |     |   |         4.18 | % |     |   |          3.79 | % |
| Interest rate         |     |   |         6.49 | % |     |   |          7.33 | % |

| Balance at January 1, 2024   |     | Year         
 ended        
 December 31, 
 2024         |        - |   |
|:-----------------------------|:----|:-------------|---------:|:--|
| Initial value, September 13, 
 2024                         |     |              |  900,933 |   |
| Change in fair value         |     |              | (607,067 | ) |
| Balance at December 31, 2024 |     | $            |  293,866 |   |

F-59 Veea Inc. and Subsidiaries Notes to the Consolidated Financial Statements For the Years ended December 31, 2024 and 2023

Earn-out Share Liability

Following the closing of the Business Combination, holders of certain capital
stock of Private Veea immediately prior to the closing will have the contingent right to receive up to million additional shares of
the Company’s common stock if certain trading-price based milestones of the Company’s common stock are achieved or a
change of control transaction occurs during the ten-year period following the Closing. The Company’s obligation to issue the earnout
shares is recorded as a contingent liability (the “Earn-Out Share Liability”) in the Company’s financial statements.
The initial value of the contingent earnout share liability of $ million is recorded as a transaction cost within operating expenses
for the year