Company: LGN
Filing Date: 2025-08-15
Form Type: S-1
Source: 0001193125-25-181698
Chunk: 311

Company: Legence Corp.
Filing Date: 2025-08-15
Form: S-1
Chunk 311
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 Performance Interests and Exit Interests is approximately $5.0 million and $4.2 million, respectively. As a liquidity event (including Change of Control) is not considered probable until it occurs, the Company does not estimate the time period for the compensation expense to be recognized. Restricted Series C Common Interests In connection with an acquisition in 2023, Parent issued as compensation for future services Restricted Series C Common Intereststo certain of the acquiree’s former shareholders and employees who became Company employees in connection with the acquisition .These awards are liability-classified. F-52

Legence Holdings LLC and Subsidiaries Notes to Consolidated Financial Statements The activity of the Restricted Series C Common Interests issued to employees of the Company was as follows:

| Outstanding as of December 31, 2022 |     | Restricted 
 Series C   
 Common     
 Interests  |     — |     | Weighted-       
 average Grant   
 Date Fair Value 
 Per Interest    |     — |
|:------------------------------------|:----|:-----------|------:|:----|:----------------|------:|
| Granted                             |     |            | 1,278 |     | $               | 1,571 |
| Outstanding as of December 31, 2023 |     |            | 1,278 |     | $               | 1,571 |
| Granted                             |     |            |     — |     | $               |     — |
| Outstanding as of December 31, 2024 |     |            | 1,278 |     | $               | 1,571 |

The fair value was estimated using the hybrid method as of December 31, 2024 and the OPM as of December 31, 2023 with the following assumptions:

|                         |     | December 31, |     |      |
|                         |     |         2024 |     | 2023 |
| Expected dividend yield |     |          — % |     |  — % |
| Risk-free interest rate |     |         4.3% |     | 3.8% |
| Expected volatility     |     |          75% |     |  55% |
| Expected life (years)   |     |          2.7 |     |  5.0 |

The hybrid method assumptions above for December 31, 2024 were based on the weighted average assumptions of potential future scenarios as follows:

|                         |     |