Company: LNAI
Filing Date: 2025-09-29
Form Type: 10-K
Source: 0001731122-25-001316
Chunk: 430

Company: Lunai Bioworks Inc.
Filing Date: 2025-09-29
Form: 10-K
Item: Item 3
Chunk 430
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zero. Intrinsic value is measured using the fair market value at the date of exercise (for shares exercised) and at June 30, 2025
(for outstanding warrants), less the applicable exercise price.

Restricted Stock Awards (RSA)

The Company recognized stock-based
compensation expense related to RSAs of $36,972 for the year ended June 30, 2025. The restricted stock awards are related to a grant
of 250,000 shares of restricted stock with a 5-year vesting period made to the Chief Executive Officer of Renovaro Cube with
a total value of $177,500. At June 30, 2025, the Company had $140,527 of unrecognized stock-based compensation expense remaining to be
amortized.

The Company recognized stock-based
compensation expense related to RSAs of $1,415,157 for the year ended June 30, 2024. The restricted stock awards are related to a
grant of 1,000,000 shares of restricted stock with a 3-year vesting period made to a former director as consideration for advisory
services, with a total value of $2,760,000.

    F-27

NOTE 11 — COMMITMENTS AND CONTINGENCIES

Commitments

On January 31, 2020, the Company
entered into a Statement of Work and License Agreement (the “HBV License Agreement”) by and among the Company, G Tech Bio,
LLC, a California limited liability company (“G Tech”), and G Health Research Foundation, a not-for-profit entity organized
under the laws of California doing business as Seraph Research Institute (“SRI”) (collectively the “Licensors”),
whereby the Company acquired a perpetual, sublicensable, exclusive license (the “HBV License”) for a treatment under development
(the “Treatment”) aimed to treat Hepatitis B Virus (HBV) infections.

The HBV License Agreement states
that in consideration for the HBV License, the Company shall provide cash funding for research costs and equipment and certain other in-kind
funding related to the Treatment over a 24-month period, and provides for an up-front payment of $1.2 million within 7 days of January
31, 2020, along with additional payments upon the occurrence of certain benchmarks in the development of the technology set forth in the
HBV License Agreement, in each case subject to the terms of the HBV License