Company: VEEAW
Filing Date: 2025-01-15
Form Type: 424B3
Source: 0001213900-25-003892
Chunk: 266

Company: VEEA INC.
Filing Date: 2025-01-15
Form: 424B3
Chunk 266
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 a weighted average period of 1.70 years.

The fair value of each stock option
granted is estimated using the Black-Scholes option-pricing model using the single-option award approach.

The following assumptions are used
in the Black-Scholes option-pricing model:

Risk-Free Interest Rate - The
risk-free interest rate is based on the implied yield available on the date of grant on U.S. Treasury zero-coupon securities issued with
a term that is equal to the option’s expected term at the grant date.

Expected Volatility - The Company
estimates the volatility for option grants by evaluating the average historical volatility of a peer group of companies for the period
immediately preceding the option grant for a term that is approximately equal to the option’s expected term.

Expected Term - The expected
term represents the period over which options granted are expected to be outstanding using the simplified method, as the Company’s
historical share option exercise experience does not provide a reasonable basis upon which to estimate the expected term. The simplified
method deems the term to be the average of the time-to-vesting and contractual life of the stock-based awards.

Dividend Yield - The Company
has not declared or paid dividends to date and does not anticipate declaring dividends. As such, the dividend yield has been estimated
to be zero.

10
- WARRANTS

As part of Plum’s initial
public offering (“IPO”), Plum issued warrants to third-party investors where each whole warrant entitles the holder to purchase
one share of the Company’s common stock at an exercise price of $11.50 per share (the “Public Warrants”). Simultaneously
with the closing of the IPO, Plum completed the private sale of warrants (the “Private Placement Warrants” and together with
the Public Warrants, the “Warrants”) where each Private Placement Warrant allows the holder to purchase one share of the
Company’s common stock at $11.50 per share. At September 30, 2024, there are 6,384,326 Public Warrants and 6,256,218 Private Placement
Warrants outstanding.

The Public Warrants become exercisable
at $11.50 per share, subject to adjustment, at any time commencing 30 days after ; provided that the Company has an effective registration
statement under the Securities Act covering the shares of Common Stock issuable upon exercise of the Public Warrants and a current prospectus
relating to them is available (or the Company permits