Company: LNAI
Filing Date: 2025-02-19
Form Type: 10-Q/A
Source: 0001731122-25-000254
Chunk: 11

Company: Lunai Bioworks Inc.
Filing Date: 2025-02-19
Form: 10-Q/A
Chunk 11
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 basis                     
 The roll forward of the contingent consideration liability is as follows: |     | Fair Value Measurements at                 
 Reporting Date Using                       
 Quoted Prices in                           
 Active Markets for Identical Assets Inputs 
 (Level 1)                                  |   |     | Significant Other 
 Observable Inputs 
 (Level 2)         |   |     | Significant Other Unobservable Inputs 
 (Level 3)                             |            |   |
|:--------------------------------------------------------------------------|:----|:-------------------------------------------|:--|:----|:------------------|:--|:----|:--------------------------------------|-----------:|:--|
| Balance June 30, 2024                                                     |     |                                            | — |     |                   | — |     | $                                     | 12,310,000 |   |
| Fair value adjustment                                                     |     |                                            | — |     |                   | — |     |                                       | (9,250,000 | ) |
| Contingent Consideration Liability at September 30, 2024                  |     |                                            | — |     |                   | — |     | $                                     |  3,060,000 |   |

9

NOTE 5 — INTANGIBLE ASSETS AND GOODWILL

On February 13, 2024, the Company
acquired Renovaro Cube as a wholly owned subsidiary pursuant to a stock purchase agreement. As part of the acquisition of Renovaro
Cube, the Company acquired goodwill valued at $159,464,039.

Impairment – During the quarter ended September 30, 2024, the results of the assessment indicated
that the carrying value of the RENC reporting unit exceeded its fair value, due to the decline in the estimated fair value of the reporting
unit based on the Company’s market capitalization. Management concluded the significant driver for the change in the economic benefits
was due to the Company’s continued inability to raise capital for the further development of the technologies within this reporting
unit. Therefore, an impairment adjustment of $47,614,729 was recorded for the period ended September
30, 2024.

At September 30, 2024 and June
30, 2024, definite-life and indefinite-life intangible assets consisted of the following:

| Schedule of definite-life and indefinite-life intangible assets |     |          | Useful Life |   | June 30, 2024 |   |     |   | Additions |     |   | Amortization |   |     |   | Imp