Company: LNAI
Filing Date: 2025-02-19
Form Type: 10-Q
Source: 0001731122-25-000258
Chunk: 80

Company: Lunai Bioworks Inc.
Filing Date: 2025-02-19
Form: 10-Q
Item: Part I, Item 8
Chunk 80
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 the remaining vesting period, which is one year. The Company recognized
stock-based compensation expense of $538,127 related to the vesting of the stocks options during the period ended December 31, 2024. At
December 31, 2024, the Company had $806,716 of unrecognized compensation cost related to the options which vest at August 23, 2025.

 On October 14, 2024, the
Company issued 1,600,000 stock options to its Chief Executive Officer. The options had a fair value of $731,200, fully vest on January
1, 2027 and expire on October 14, 2034.

On November 4, 2024, the Company
issued 362,904 stock options to its board of directors. The options had a fair value of $190,525 on the grant date, fully vest on October
14, 2025 and expire on November 4, 2034.

    14

On November 4, 2024, the Company
issued 58,500 stock options to its former interim Chief Financial Officer. The options had a fair value of $31,005 on the grant date,
fully vest on January 6, 2025 and expire on November 4, 2034.

In
total, the Company recognized stock-based compensation expense related to options of $558,631 and $916,279 for the three and six
months ended December 31, 2024, respectively. The Company recognized stock-based compensation expense related to options of $465,372 and
$1,216,469 for the three and six months ended December 31, 2023, respectively. At December 31, 2024, the Company had approximately
$1,633,625 of unrecognized compensation cost related to non-vested options.

NOTE 7 — COMMITMENTS AND CONTINGENCIES 

Commitments

On January 31, 2020, the Company
entered into a Statement of Work and License Agreement (the “HBV License Agreement”) by and among the Company, G Tech Bio,
LLC, a California limited liability company (“G Tech”), and G Health Research Foundation, a not-for-profit entity organized
under the laws of California doing business as Seraph Research Institute (“SRI”) (collectively the “Licensors”),
whereby the Company acquired a perpetual, sublicensable, exclusive license (the