Company: VEEAW
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001213900-25-032215
Chunk: 1967

Company: VEEA INC.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 9A
Chunk 1967
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’s initial value of the warrant liability was based on a valuation model utilizing management judgment and pricing inputs
from observable and unobservable markets with less volume and transaction frequency than active markets and classified as level 3. The
subsequent measurement of the Private Warrants is classified as Level 2 because these warrants are economically equivalent to the Public
Warrants, based on the terms of the Private Warrant agreement, and as such their value is principally derived by the value of the Public
Warrants. Significant deviations from these estimates and inputs could result in a material change in fair value. For the year ended
December 31, 2024, there were no transfers amongst level 1, 2, and 3 values during the period.

The conversion feature of the September 2024 Notes is measured at fair
value using a Monte Carlo model that fair values the conversion option.

The following table presents fair value information as of December
31, 2024 and 2023 of the Company’s financial assets and liabilities that were accounted for at fair value on a recurring basis and
indicates the fair value hierarchy of the valuation techniques the Company utilized to determine such fair value.

    December
    31, 2024 
    Total  
    Level
    1  
    Level
    2  
    Level
    3 
  
    Assets 

    Money
    Market Funds 
    $-  
    $-  
    $-  
    $- 
  
    Liabilities 

    Private
    warrant liability 
     840,995  
     -  
     840,955  
     - 
  
    Convertible
    note option liability 
     60,000  
     -  
     -  
     60,000 
  
    Earn-out Share Liability 
     15,560,000  
           -  
     -  
     15,560,000 
  
    Total 
    $16,460,995  
    $-  
    $840,995  
    $15,620,000 

    December 31, 2023 
    Total  
    Level 1  
    Level 2  
    Level 3 
  
    Assets 

    Money Market Funds 
    $120,000  
    $120,000  
    $                  -  
    $