Company: SIDU
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001742
Chunk: 170

Company: Sidus Space Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 8
Chunk 170
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 after the November 14, 2024 date of the offering agreement, for a period of five
years at an exercise price per share of $1.56
in connection with the common stock sold. The Company recognized the value of 296,635 underwriter warrants of $361,636 as direct incremental costs of the offering and
recorded as a reduction of additional paid in capital.

December
2024 offering

The
Company issued pre-funded warrants to purchase up to 1,162,802
shares of the Company’s Class A Common
Stock at an exercise price of $0.0001
per share and warrants to purchase up to 3,409,946
shares of the Company’s Common Stock, at
a purchase price of $2.25
per share of Common Stock and accompanying warrants.
The Common Warrants are exercisable immediately upon issuance at an exercise price of $2.25
per share and have a term of exercise equal to
five and one-half years from the date of issuance. In addition, the Company issued a total of 340,995
underwriter warrants exercisable 180 days after
the December 18, 2024 date of the offering agreement, for a period of five
years at an exercise price per share of $2.25
in connection with the common stock sold. The
Company recognized the value of 340,995 underwriter warrants of $1,881,092 as direct incremental costs of the offering and recorded as
a reduction of additional paid in capital.

The Company concluded that the warrants met the requirements to be classified
in stockholders’ equity. The
Company utilizes the Black-Scholes model to value its warrants. The Company utilized the following assumptions:

Schedule
of Warrant Valuation Assumption

    Year ended

December 31, 2024

     Year ended December
31, 2023 
  
    Expected term

    5 - 5.50 years
      
     5 years 
  
    Expected average volatility

    177 - 188
    % 
     182 - 190%
  
    Expected dividend yield

    -
      
     - 
  
    Risk-free interest rate

    3.97 - 4.32
    % 
     3.62 - 3.96%

    F-24

A
summary of activity of the warrants during the year ended December 31, 2024 and 2023 as