Company: CERO
Filing Date: 2025-11-19
Form Type: 10-Q
Source: 0001213900-25-112619
Chunk: 68

Company: CERO THERAPEUTICS HOLDINGS, INC.
Filing Date: 2025-11-19
Form: 10-Q
Item: Item 1
Chunk 68
---
 the immediately preceding December 31, or 9,485 shares. On May 29, 2025, at the Company’s annual meeting,
the stockholders approved an amendment to the 2024 Plan to increase the number of shares issuable thereunder by an additional 100,000
shares of Common Stock.

On March 25, 2024, stockholders
approved the 2024 Employee Stock Purchase Plan (the “2024 ESPP”), with initial reserves of 255 shares of common stock. The
2024 ESPP became effective on February 14, 2024. The 2024 ESPP also has an evergreen provision. On January 1, 2025, the reserve increased
by 510 shares. No awards have been granted under the 2024 ESPP as of September 30, 2025.

On March 4, 2025, the Company’s
Board of Directors granted an aggregate of 20,313 stock options under the 2024 Plan, to board members, exercisable on the date of grant
at $28.60 per share with a ten-year term and vest over a requisite service period, which is usually the vesting period, and upon the completion
of certain performance-based vesting terms. These options were valued at $488,720 on the grant date using a Black Scholes option pricing
model using the assumptions summarized below. The Company recorded the fair value of the unvested stock options, in the amount of $488,720
as deferred compensation on the grant date, which is being amortized over the vesting period or as certain performance-based vesting terms
become probable.

On May 30, 2025, the Company’s
Board of Directors granted an aggregate of 50,591 stock options under the 2024 Plan, to executive officers, board members, employees,
and consultants, exercisable on the date of grant at $8.91 per share with a ten-year term and vest over a requisite service period, which
is usually the vesting period, or as certain performance-based vesting terms become probable. These options were valued at $351,862 on
the grant date using a Black Scholes option pricing model using the assumptions summarized below. The Company recorded the fair value
of the unvested stock options, in the amount of $351,862 as deferred compensation on the grant date, which is being amortized over the
vesting period or as certain performance-based vesting