Company: VEEAW
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001213900-25-111013
Chunk: 119

Company: VEEA INC.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 8
Chunk 119
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eea renewed the lease for an additional five-year term, with all other terms
and conditions of the lease remaining the same. The renewal term expired February 28, 2024, and was subsequently extended to December
31, 2025. Rent for the office space is accrued and not paid in cash. The Company recognized rent expense of $72,000 and $532,800 for each
of the three and nine months ended September 30, 2025 and 2024, respectively, which is classified as general and administrative expenses
in the Company’s condensed consolidated statements of operations and comprehensive income (loss). Accrued and unpaid rent expense
included in the Company’s condensed consolidated balance sheets was $2,160,000 and $1,944,000 as of September 30, 2025 and December
31, 2024, respectively.

22

Related Party Debt 

At the Closing of the Business Combination,
promissory notes evidencing loans made by NLabs to the Company from 2021 through the Closing (the “Related Party Notes”) in
the aggregate amount, including accrued interest, of $15,739,897, were converted into shares of Common Stock at a price of $5.00 per share,
which shares were not considered Existing Veea Shares and were in addition to the shares of Common Stock issued to holders of Existing
Veea Shares. See Note 4 for further information regarding the conversion of the Related Party Notes. 

During the nine months ended September
30, 2025, NLabs made loans to the Company in the aggregate principal amount of $3,176,000 (the “NLabs 2025 Notes”). Interest
on the loans accrued at a rate of 10% per annum, calculated on the basis of a 365-day year. The Company satisfied the payment of
the outstanding NLabs 2025 Notes, plus accrued interest, in the aggregate amount of $3,239,096, with the issuance of 3,239,096 shares
of Common Stock with accompanying common warrants issued in the August 2025 Public Offering, based on the offering price of $1.00 per
share.

In October and November 2025, NLabs
made additional loans to the Company in the aggregate principal amount of $130,000 pursuant to certain promissory notes. Interest on the
NLabs promissory notes accrue at a rate of 10% per annum, calculated on the basis of a 365