Company: VEEAW
Filing Date: 2025-08-19
Form Type: 10-Q
Source: 0001213900-25-078177
Chunk: 28

Company: VEEA INC.
Filing Date: 2025-08-19
Form: 10-Q
Item: Part I, Item 1
Chunk 28
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 described below (the “ELOC
Program”), at a purchase price equal to (i) 96.5% of the volume weighted average stock price for the three consecutive
business days after a purchase notice is given, (ii) 98% of the volume weighted average stock price on the day a notice is delivered,
or (iii) the lowest traded price for a given purchase date.

The Company controls the timing and
amount of any sales to White Lion, which depend on a variety of factors including, among other things, market conditions, the trading
price of the Common Stock, and determinations by the Company as to appropriate sources of funding for its business and operations. However,
White Lion’s obligation to purchase shares is subject to certain conditions, including the daily trading volume of the Company’s
stock. In all instances, the Company may not sell shares of Common Stock under the Purchase Agreement if it would result in White Lion
and its affiliate beneficially owning more than 4.99% of its outstanding voting power or shares of the Common Stock at any one point
in time, or the aggregate number of shares of common stock would not exceed 19.99% of the voting power of the issued and outstanding
Common Stock.

During the three and six months ended
June 30, 2025, the Company received $232,340 and $836,766, respectively, in proceeds and issued 117,500 and 358,000 shares, respectively,
of Common Stock, pursuant to the ELOC Program.

The Company agreed to issue to White
Lion shares of Common Stock as a commitment fee (the “Commitment Shares”). The fair value of the Commitment Shares was $25,000,
which pursuant to ASC 815, was recorded in transaction costs in the condensed consolidated statement of operations and comprehensive income
(loss) during the six months ended June 30, 2025. The Common Stock Purchaser has agreed that during the term of the Common Stock Purchase
Agreement, neither it nor any of its affiliates will engage in any short sales or hedging transactions involving the Common Stock. Further,
the Common Stock Purchase Agreement provided for the issuance of additional Commitment Shares to the Common Stock Purchaser if the Company
failed to sell at least $1,000,000 in gross proceeds to the Common Stock Purchaser by the sixth-month anniversary of signing of the Common
Stock Purchase Agreement. The Company and the Common Stock Purchaser amended the Common Stock Purchase Agreement effective of June