Company: NEGG
Filing Date: 2025-04-28
Form Type: 20-F
Source: 0001213900-25-036055
Chunk: 104

Company: Newegg Commerce, Inc.
Filing Date: 2025-04-28
Form: 20-F
Item: Item 6
Chunk 104
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power of all classes of stock of Newegg or any subsidiaries, in which case, the term of the option shall be no more than five years from
the date of grant. In September 2015, the Newegg 2005 Incentive Award Plan was amended to permit additional awards to be made after the
tenth anniversary of the original adoption of said plan.

2021 Equity Incentive Plan

In November 2021, the Newegg 2021 Equity Incentive
Plan was approved, with 368,745 common shares reserved for issuance thereunder. In November 2021, all shares reserved under the 2021 Equity
Incentive Plan were granted to our executive officers and key employees in the form of restricted stock unit awards. These grants vest
over four years, with 25% vesting on the one-year anniversary of grant, and the remainder vesting monthly over the following three years,
such that they will be fully vested after four years. One half of the grants, or 184,373 RSUs, were granted to the Chief Executive Officer,
Anthony Chow. Our other executive officers received a combined total of 34,000 RSUs. The remaining 150,373 RSUs were granted or reserved
for 252 other key employees or expected new hires.

In July 2022, the Board of Directors approved
an amendment of the 2021 Plan to increase the maximum share pool from 368,745 to 818,745 shares. In August 2022, 277,289 performance-based
vesting restricted stock units (“ PRSUs”) were granted to the Chief Executive Officer, Anthony Chow, vesting over four performance
periods. The vesting of each PRSU is based on financial performance tied to Budgeted GMV as defined in the grant agreement. The vesting
of PRSUs is determined at the end of each of the four-year performance periods. The payout can vary from zero to 100% based on actual
results and performance goals may be adjusted by the Compensation Committee from time to time in its sole discretion.

In addition, a combined total of 11,250 RSUs were
granted to two executive officers who joined the Company in September and October of 2022.

All share amounts and per share amounts above
have been retroactively adjusted for the twenty-for-one share combination, effective April 7, 2025. See Note 1 of the consolidated financial
statements.

Agreements with Executive Officers

P