Company: FLYE
Filing Date: 2025-02-19
Form Type: 10-Q
Source: 0001213900-25-015334
Chunk: 42

Company: Fly-E Group, Inc.
Filing Date: 2025-02-19
Form: 10-Q
Item: Part I, Item 1
Chunk 42
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 approved a 1-for-110,000 stock split of the Company’s capital stock. The stock split became effective on April 2, 2024.
The par value of the Company’s common stock remained unchanged at $0.01 per share, and the number of authorized shares of the Company’s
capital stock was increased from 440 to 48,400,000, with the number of authorized shares of common stock and preferred stock being increased
from 400 to 44,000,000 and from 40 to 4,400,000, respectively.

On June 7, 2024, the Company completed its initial
public offering and issued 2,250,000 shares of common stock, at a price of $4.00 per share. The gross proceeds of the offering were $9.0
million, prior to deducting the underwriting discounts, commissions and offering expenses payable by the Company. In addition, the Company
granted the underwriters a 30-day option to purchase an additional 337,500 shares of common stock at the initial public offering price,
less underwriting discounts and commissions, to cover over-allotments. On June 25, 2024, the Company issued an additional 337,500 shares
of common stock to the underwriters for gross proceeds of $1.4 million upon full exercise of the underwriters’ over-allotment option.
Net proceeds received by the Company from the initial public offering, including the exercise of over-allotment option, were approximately
$9.2 million.

Upon the closing of IPO offering in June 2024,
the Company issued to Benchmark the representative of the underwriters warrants to purchase 129,375 shares of common stock. The Representative’s
Warrants have an exercise price equal to $4.00 per share and are exercisable until the date on June 7, 2029, after the date of commencement
on December 7, 2024. The Representative’s Warrants are also exercisable on a cashless basis. As the Representative’s Warrants
are considered indexed to the Company’s own stock and meet the criteria for equity classification according to ASC:815-40, the Representative’s
Warrants are classified as equity.  None of the Representative’s Warrants were exercised as of December 31, 2024.

The fair value of the warrant, using the Black-Scholes
Model on the date of issuance was $274,472. The key inputs into the