Company: VEEAW
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001213900-25-032215
Chunk: 301

Company: VEEA INC.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 1A
Chunk 301
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31,
2024 which was $3.81. These derivative instruments were entered into in 2024 related to the Business Combination.

Other
expense

Other
expenses relate to immaterial non-operating expenses incurred during the period. These amounts were immaterial for the years ended December
31, 2024 and 2023.

Interest
expense

Interest
expense decreased by $3.5 million, or 66%, in the year ended December 31, 2024 compared to the year ended December 31, 2023. The decrease
was due to loans coming to term or being converted into equity.

59

Liquidity
and Capital Resources

To date, we have financed our operations primarily through private
placements of equity securities and debt to related parties. We plan to fund our operations and capital funding needs through a combination of private and
public equity and debt offerings, or a combination thereof. Since our inception, we have incurred significant operating losses and negative
cash flows. As of December 31, 2024 and 2023, we had an accumulated deficit of $217.8 million and $170.3 million, respectively.

As
of December 31, 2024 and 2023, we had cash of $1.7 million and $6.0 million, respectively. As of December 31, 2024 we had $13.9 million
outstanding debt, of which approximately $1.2 million was outstanding under the September 2024 Notes and $12.7 million was outstanding
under our working capital facility.

During
the year ended December 31, 2024 compared to the year ended December 31, 2023, the Company has incurred net losses of $47.5 million and
$15.6 million, respectively, and had an accumulated deficit of $217.8 million as of December 31, 2024. The Company expects to continue
to incur net losses as it continues to grow and scale its business. Historically, the Company’s activities have been financed through
private placements, of equity securities and debt to related parties. 

Although we have incurred recurring losses each
year since our inception, we plan to fund our operations and capital funding needs through a combination of private and public equity
and debt offerings, or a combination thereof, including, (1) available cash proceeds from equity sales under the ELOC Program, (2) cash
proceeds from a substantial strategic investment anticipated to close in