Company: VLDXW
Filing Date: 2025-08-07
Form Type: S-1
Source: 0001641172-25-022475
Chunk: 294

Company: Velo3D, Inc.
Filing Date: 2025-08-07
Form: S-1
Chunk 294
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ible Legacy Velo3D Equityholders may receive up to 41,444shares of common stock (the “Earnout Shares”), which is based on two tranches of 20,722per tranche. The Earnout Shares issuable to holders of employee stock options are accounted as stock-based compensation expense as they are subject to forfeiture based on the satisfaction of certain employment conditions. See Note 11, Equity Incentive Plans & Stock Based Compensation, for further discussion.

See Note 4, Fair Value Measurements, in this Report for the liability for contingent earnout liabilities carried at fair value for the six months ended June 30, 2025 and 2024.

Fair Value Assumptions– Contingent Earnout Liabilities

Assumptions used in the fair value of the contingent earnout liabilities are described below.

Schedule of Fair Value Assumptions Contingent Earnout Liabilities

|                                        |     |   |         As of 
 June 30, 2025 |   |     |   |             As of 
 December 31, 2024 |   |
|:---------------------------------------|:----|:--|--------------:|:--|:----|:--|------------------:|:--|
| Current stock price                    |     | $ |          7.20 |   |     | $ |             10.20 |   |
| Expected volatility                    |     |   |         161.2 | % |     |   |             161.2 | % |
| Risk-free interest rate                |     |   |           4.2 | % |     |   |               4.2 | % |
| Dividend yield                         |     |   |             — | % |     |   |                 — | % |
| Business combination measurement input |     |   |             — | % |     |   |                 — | % |
| Expected Term (years)                  |     |   |          1.25 |   |     |   |              1.75 |   |

Expected volatility: The expected volatility was derived from the implied volatility of the Company’s publicly traded common stock.

Risk-free interest rate: The risk-free interest rate is based on the U.S. Treasury yield curve in effect at the time of grant for zero-coupon U.S. Treasury notes with maturities corresponding to the expected term of the Earnout Shares.

| F-73 |

Expected dividend yield: The expected dividend rate is zero as the