# EDGAR Filing Document

**Accession Number:** 0001830210
**File Stem:** 0001830210-23-000044
**Filing Date:** 2023-3
**Character Count:** 553627
**Document Hash:** e0799ac7e559dff3913dcae3eedb6463
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001830210-23-000044.hdr.sgml**: 20230316

**ACCESSION NUMBER**: 0001830210-23-000044

**CONFORMED SUBMISSION TYPE**: 10-K

**PUBLIC DOCUMENT COUNT**: 143

**CONFORMED PERIOD OF REPORT**: 20221231

**FILED AS OF DATE**: 20230316

**DATE AS OF CHANGE**: 20230316

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Benson Hill, Inc.
- **CENTRAL INDEX KEY:** 0001830210
- **STANDARD INDUSTRIAL CLASSIFICATION:** FOOD & KINDRED PRODUCTS [2000]
- **IRS NUMBER:** 000000000
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 10-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-39835
- **FILM NUMBER:** 23739336

**BUSINESS ADDRESS:**
- **STREET 1:** 1001 N. WARSON RD.
- **CITY:** ST. LOUIS
- **STATE:** MO
- **ZIP:** 63132
- **BUSINESS PHONE:** 314-222-8218

**MAIL ADDRESS:**
- **STREET 1:** 1001 N. WARSON RD.
- **CITY:** ST. LOUIS
- **STATE:** MO
- **ZIP:** 63132

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** Star Peak Corp II
- **DATE OF NAME CHANGE:** 20201027

?xml version="1.0" ? bhil-20221231

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**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**Washington, D.C. 20549**

__________________________

**FORM 10-K**

__________________________

**(Mark One)**

⌧ **ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934**

**For the fiscal year ended December 31, 2022**

**OR**

□ **TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934**

**For the transition period from &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; to &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**

**Commission file number 001-39835**

__________________________

**Benson Hill, Inc.**

__________________________

**(Exact name of Registrant as specified in its Charter)**

---

| | | | |
|:---|:---|:---|:---|
| **Delaware** | | | **85-3374823** |
| (State or other jurisdiction of incorporation or organization) | | | (I.R.S. Employer Identification No.) |
| **1001 North Warson Rd** | **St. Louis,** | **Missouri** | **63132** |
| (Address of Principal Executive Offices) | | | (Zip Code) |

---

**(314) 222-8218**

**(Registrant's telephone number, including area code)**

Securities registered pursuant to Section 12(b) of the Act:

---

| | | |
|:---|:---|:---|
| Title of each class | Trading Symbol(s) | Name of each exchange on which registered |
| Common Stock, $0.0001 par value | **BHIL** | **The New York Stock Exchange** |
| Warrants exercisable for one share of common stock at an exercise price of $11.50 | **BHIL WS** | **The New York Stock Exchange** |

---

Securities registered pursuant to Section 12(g) of the Act: None

Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act.

&nbsp;&nbsp;&nbsp;&nbsp; Yes □ No ⌧

Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or 15(d) of the Act.

&nbsp;&nbsp;&nbsp;&nbsp;Yes □ No ⌧

Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. &nbsp;&nbsp;&nbsp;&nbsp;Yes ⌧ No □

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).

&nbsp;&nbsp;&nbsp;&nbsp; Yes ⌧ No □

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act. (Check one):

---

| | | | |
|:---|:---|:---|:---|
| Large accelerated filer | □ | Accelerated filer | ⌧ |
| Non-accelerated filer | □ | Smaller reporting company | □ |
| | | Emerging growth company | ⌧ |

---

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. □

Indicate by check mark whether the registrant has filed a report on and attestation to its management's assessment of the effectiveness of its internal control over financial reporting under Section 404(b) of the Sarbanes-Oxley Act (15 U.S.C. 7262(b)) by the registered public accounting firm that prepared or issued its audit report. □

If securities are registered pursuant to Section 12(b) of the Act, indicate by check mark whether the financial statements of the registrant included in the filing reflect the correction of an error to previously issued financial statements. □

Indicate by check mark whether any of those error corrections are restatements that required a recovery analysis of incentive-based compensation received by any of the registrant's executive officers during the relevant recovery period pursuant to §240.10D-1(b). □

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act). &nbsp;&nbsp;&nbsp;&nbsp;Yes □ No ⌧

The aggregate market value of voting stock held by non-affiliates of the registrant as of June 30, 2022, the last business day of the registrant's most recently completed second fiscal quarter, was approximately $552 million based on the closing sales price of $2.74 per share of the registrant's common stock as reported by the New York Stock Exchange. For purposes of this calculation, shares of common stock beneficially owned by each executive officer, director, and beneficial owner of more than 10% of the registrant's common stock have been excluded to reflect that such persons may be deemed to be affiliates. This determination of affiliate status is not necessarily a conclusive determination for other purposes.

As of March 14, 2023, 206,865,922 shares of the registrant's common stock, $0.0001 par value, were issued and outstanding.

**DOCUMENTS INCORPORATED BY REFERENCE**

Portions of the registrant's definitive proxy statement relating to its 2023 Annual Meeting of Stockholders are incorporated by reference into Part III of this Annual Report on Form 10-K where indicated. Such proxy statement will be filed with the U.S. Securities and Exchange Commission within 120 days after the end of the fiscal year to which this report relates.

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**TABLE OF CONTENTS**

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| | |
|:---|:---|
| | Page |
| **<u>[PART I](#i437deb9913be4f4a8711fb195a433029_10)</u>** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>[Item 1. Business](#i437deb9913be4f4a8711fb195a433029_16)</u> | [2](#i437deb9913be4f4a8711fb195a433029_16) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>[Item 1A. Risk Factors](#i437deb9913be4f4a8711fb195a433029_19)</u> | [10](#i437deb9913be4f4a8711fb195a433029_19) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>[Item 1B. Unresolved Staff Comments](#i437deb9913be4f4a8711fb195a433029_22)</u> | [32](#i437deb9913be4f4a8711fb195a433029_22) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>[Item 2. Properties](#i437deb9913be4f4a8711fb195a433029_25)</u> | [32](#i437deb9913be4f4a8711fb195a433029_25) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>[Item 3. Legal Proceedings](#i437deb9913be4f4a8711fb195a433029_28)</u> | [33](#i437deb9913be4f4a8711fb195a433029_28) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>[Item 4. Mine Safety Disclosures](#i437deb9913be4f4a8711fb195a433029_31)</u> | [33](#i437deb9913be4f4a8711fb195a433029_31) |
| **<u>[PART II](#i437deb9913be4f4a8711fb195a433029_34)</u>** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>[Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities](#i437deb9913be4f4a8711fb195a433029_37)</u> | [34](#i437deb9913be4f4a8711fb195a433029_37) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>[Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations](#i437deb9913be4f4a8711fb195a433029_40)</u> | [34](#i437deb9913be4f4a8711fb195a433029_40) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>[Item 7A. Quantitative and Qualitative Disclosures About Market Risk](#i437deb9913be4f4a8711fb195a433029_70)</u> | [46](#i437deb9913be4f4a8711fb195a433029_70) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>[Item 8. Financial Statements and Supplementary Data](#i437deb9913be4f4a8711fb195a433029_73)</u> | [48](#i437deb9913be4f4a8711fb195a433029_73) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>[Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosures](#i437deb9913be4f4a8711fb195a433029_172)</u> | [90](#i437deb9913be4f4a8711fb195a433029_172) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>[Item 9A. Controls and Procedures](#i437deb9913be4f4a8711fb195a433029_175)</u> | [90](#i437deb9913be4f4a8711fb195a433029_175) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>[Item 9B. Other Information](#i437deb9913be4f4a8711fb195a433029_178)</u> | [92](#i437deb9913be4f4a8711fb195a433029_178) |
| **<u>[PART III](#i437deb9913be4f4a8711fb195a433029_181)</u>** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>[Item 10. Directors, Executive Officers and Corporate Governance](#i437deb9913be4f4a8711fb195a433029_184)</u> | [93](#i437deb9913be4f4a8711fb195a433029_184) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>[Item 11. Executive Compensation](#i437deb9913be4f4a8711fb195a433029_187)</u> | [93](#i437deb9913be4f4a8711fb195a433029_187) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>[Item 12. Security Ownership of Certain Beneficial Owner and Management and Related Stockholder Matters](#i437deb9913be4f4a8711fb195a433029_190)</u> | [93](#i437deb9913be4f4a8711fb195a433029_190) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>[Item 13. Certain Relationships and Related Transactions, and Director Independence](#i437deb9913be4f4a8711fb195a433029_193)</u> | [93](#i437deb9913be4f4a8711fb195a433029_193) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>[Item 14. Principal Accounting Fees and Services](#i437deb9913be4f4a8711fb195a433029_196)</u> | [93](#i437deb9913be4f4a8711fb195a433029_196) |
| **<u>[PART IV](#i437deb9913be4f4a8711fb195a433029_199)</u>** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>[Item 15. Exhibits and Financial Statement Schedules](#i437deb9913be4f4a8711fb195a433029_202)</u> | [94](#i437deb9913be4f4a8711fb195a433029_202) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>[Item 16. Form 10-K Summary](#i437deb9913be4f4a8711fb195a433029_205)</u> | [97](#i437deb9913be4f4a8711fb195a433029_205) |
| <u>[Signatures](#i437deb9913be4f4a8711fb195a433029_208)</u> | [98](#i437deb9913be4f4a8711fb195a433029_208) |

---

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**Cautionary Note Regarding Forward-Looking Statements**

Some of the statements contained in this report and documents incorporated by reference herein are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). These forward-looking statements are subject to known and unknown risks, uncertainties and assumptions about us that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Given these uncertainties, you should not place undue reliance on these forward-looking statements.

Generally, statements that are not historical facts, including statements concerning possible or assumed future actions, business strategies, events or results of operations, are forward-looking statements. These statements may be preceded by, followed by or include the words "believe," "estimate," "expect," "intend," "project," "forecast," "may," "will," "should," "could," "would," "seek," "plan," "scheduled," "anticipate," "intend," or similar expressions. Forward-looking statements contained in this report include, but are not limited to, statements about our ability to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• realize the anticipated benefits of the divestiture of our Fresh business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• execute our business strategy, including monetization of services provided and expansions in and into existing and new lines of business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• meet future liquidity requirements and comply with restrictive covenants related to long-term indebtedness;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• consummate favorable strategic transactions and successfully integrate acquired businesses;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• obtain additional capital, including by accessing the debt and equity markets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• anticipate the impact of the COVID-19 pandemic and its effect on our business and financial conditions, and manage the associated operational risks;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• anticipate the uncertainties inherent in the development of new business lines and business strategies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• retain and hire necessary employees;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• increase brand awareness;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• attract, train and retain effective officers, key employees and directors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• upgrade and maintain information technology systems;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• acquire and protect intellectual property;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• effectively respond to general economic and business conditions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• maintain our listing on the New York Stock Exchange;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• enhance future operating and financial results;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• anticipate rapid technological changes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• comply with laws and regulations applicable to our business, including laws and regulations related to data privacy and insurance operations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• stay abreast of modified or new laws and regulations applying to our business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• anticipate the impact of, and respond to, applicable new accounting standards;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• respond to fluctuations in commodity prices and foreign currency exchange rates and political unrest and regulatory changes in international markets from various events, such as the current conflict in Ukraine;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• anticipate a further rise in interest rates that would increase the cost of capital;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• anticipate the significance and timing of contractual obligations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• maintain key strategic relationships with partners and distributors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• respond to uncertainties associated with product and service development and market acceptance;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• manage to finance operations on an economically viable basis;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• anticipate the impact of new U.S. federal income tax laws, including the impact on deferred tax assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• successfully defend litigation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• access, collect and use personal data about consumers.

Forward-looking statements represent our estimates and assumptions only as of the date of this report. You should understand that the following important factors, in addition to those discussed under the heading *"Risk Factors"* and elsewhere in this report, could affect our future results, and could cause those results or other outcomes to differ materially from those expressed or implied in the forward-looking statements in this report:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• litigation, complaints, product liability claims and/or adverse publicity;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the impact of changes in consumer spending patterns, consumer preferences, local, regional and national economic conditions, crime, weather, demographic trends and employee availability;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• privacy and data protection laws, privacy or data breaches, or the loss of data; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the impact of the COVID-19 pandemic and its effect on our business, financial condition and results of operations.

These and other factors that could cause actual results to differ from those implied by the forward-looking statements in this report are more fully described under the heading *"Risk Factors"* and elsewhere in this report. The risks described under the heading "*Risk Factors*" are not exhaustive. Other sections of this report describe additional factors that could adversely affect our business, financial condition or results of operations. New risk factors emerge from time to time and it is not possible to

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predict all such risk factors, nor can we assess the impact of all such risk factors on our business, or the extent to which any factor or combination of factors may cause actual results to differ materially from those contained in any forward-looking statements. Except as otherwise required by law, we expressly disclaim any obligation or undertaking to release publicly any updates or revisions to any forward-looking statement contained in this report to reflect any change in our expectations or any change in events, conditions or circumstances on which any of our forward-looking statements are based. We qualify all of our forward-looking statements by these cautionary statements.

**Item 1. Business**

**Introduction**

Benson Hill is a food technology company on a mission to lead the pace of innovation in food. We have a vision to build a healthier and happier world by unlocking the natural genetic diversity of plants with our leading technology platform, CropOS<sup>®</sup>. Starting with consumer demand, we leverage CropOS and advanced breeding techniques to design food that's better from the beginning: more nutritious, more flavorful, and more accessible, while enabling efficient production and delivering novel sustainability benefits to food and feed customers. We are headquartered in St. Louis, Missouri, where the majority of our research and development activities are managed. We operate a soy crushing and food-grade white flake and soy flour manufacturing operation in Creston, Iowa, a soy crushing facility in Seymour, Indiana, and we process dry peas in North Dakota, which we sell throughout North America.

We have an integrated go-to-market approach, leveraging the existing parts of the supply chain to create efficiencies and a feedback loop between consumers, farmers, and seed developers that has been lacking across the siloed agri-food value chain. We are working to design products with the consumer in mind, contract with farmers to grow and buy back the harvest, preserve the product identity through manufacturing, and ultimately sell food and ingredients directly to food companies, retailers, and others. We believe this integration and control of the product throughout the entire supply chain will enable us to link data to outcomes in our CropOS platform to fuel the next generation of products. Additionally, we believe this product information linkage will work to optimize environmental and social impacts, as well as traceability throughout the supply chain.

We believe that our commitment to environmental and social issues impacting our planet and our purpose-driven culture are fundamental to our ability to achieve our mission. Environmental, Social and Governance ("ESG") principles help guide our thinking and approach throughout the development and commercialization of our products, and our innovative culture is rooted in our Core Values of *Be Bold*, *Be Inspired* and *Be Real*. We believe our leading technology platform, vertically integrated go-to-market strategy, and purpose-driven culture will help bridge the divide between evolving consumer preferences and quality traits already present within the genetic diversity of plants. We see nature as our partner; technology as our enabler; and innovators like our company, our stakeholders, our stockholders and our partners as the catalysts to activate the change needed.

We partner with farmers, ingredient companies, and plant-based food and feed customers to commercialize our proprietary innovations in soybean, and in the near future yellow pea, for broad market applications in human food ingredients, edible oils, pet food and aquafeed. In particular, our Ultra-High Protein ("UHP") soy-based ingredients have the potential to eliminate costly water- and energy-intensive ingredient processing steps associated with producing soy protein concentrate ("SPC") products for the food and feed markets, which can alleviate supply constraints in North America and elsewhere. Our proprietary portfolio includes soy flake, soy grits, soy meal and soy flour for established food markets such as snacks, baked goods and meat extensions, and a functional alternative to traditional SPC for plant-based protein alternatives to meat, dairy, and other emerging categories.

**Evolving Food Industry**

Consumers are demanding food choices with more recognizable ingredients that benefit their health and the health of our planet. By combining proprietary data with artificial intelligence capabilities, advances in plant genomics and with our go-to-market strategy, we believe we can accelerate the development and delivery of better food and ingredient options from the beginning—with a focus on both quantity *and* quality. Our approach aims to develop food, feed, and ingredients that fuel accessible scaling and product differentiation for evolving consumer preferences, with a particular focus on the fast growing plant-based food market.

As awareness of diet-related health issues and environmental concerns grow, consumers are emphasizing a healthier lifestyle and a desire for nutritionally rich foods that are better tasting, less processed, more sustainable, and with fewer additives. These trends are increasing the demand for innovation in plant-based foods. Companies across the value chain are working to formulate new products for this category with a focus on taste, nutrition, traceability, accessibility, and sustainability. As a result of these major trends, food companies are looking for specialty ingredients and foods that satisfy customers' evolving needs and drive sustainable practices.

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Our modern food system is an amazing innovation. Genomics has been used for decades to develop crops for our food system, but most agricultural companies have focused almost exclusively on increasing the yield of a few crops, resulting in commodity ingredients and a food system based on the quantity of calories available. We believe the current food supply chain is siloed with fundamental disconnects that prevent it from adapting to rapidly changing consumer demands. Grain processors and food manufacturers are largely limited to commodity ingredients. While focus on quantity is important, it often comes with trade-offs in areas such as nutrient density and flavor.

**Our Strengths and Solution: Technology and CropOS Platform**

Navigating the pressures on our food system will require innovation, as well as better connectivity not only from farm to fork but also from seed to fork. Technology is an essential enabler as innovation cycles in food are not measured in weeks or months; they're measured in years. A key differentiator for Benson Hill is our holistic approach to product development that starts with the consumer outcome and leverages the combination of data science, plant science and food science to achieve it.

Our CropOS food innovation engine is a proprietary, continuously learning and expanding product design and development platform that uses predictive breeding and other advanced tools like CRISPR gene editing technology to tap into the vast potential within the genome. We believe that the combination of the predictive capability of the CropOS platform, the precision of our genomic tools, our Crop Accelerator (a controlled environment research facility), and our extensive field-testing network will enable us to develop differentiated products with targeted attributes much more quickly and cost effectively than traditional methods.

We designed our headquarters in St. Louis, Missouri, to foster an intentional gathering of data science, plant science and food science disciplines within 160,000 square feet, including 25,000 square feet of laboratory space. We are working on capturing consumer-relevant data on products through our food innovation team, along with insights from our integrated supply chain, from which we draw meaningful and actionable linkages back to plants' genetics and direct product development through a process we call food digitization.

We are developing products leveraging our CropOS platform through a three-step, iterative "Design, Build, Test" process that improves in precision and intelligence with each turn of the flywheel. The key inputs to our approach are twofold. The first is an unparalleled data library comprising genotypic, phenotypic, and agronomic data on our crops, consumer insight data on our ingredients, and environmental data on our growing sites. The second is a robust machine learning capability, which leverages our data library to design before we build. We believe this combination of relevant data and advanced simulation lets us get our products to market more efficiently, faster, and on timelines that can more effectively respond to evolving consumer preferences and farmer needs.

In our Design step, the CropOS platform employs a diverse array of simulations and predictions to execute the most efficient and cost-effective path to novel product development. The platform can consider billions of data points in millions of pipeline configurations to identify the starting parental plant breeding combinations, predict gene targets, and analyze optimal farm management and environmental conditions. These state-of-the-art platform capabilities and enabling technologies allow us to assess the probability of success early in the research and development process, focusing resources and avoiding potentially expensive late-stage failures. In turn, this allows for a larger breadth of products to be designed.

Once an optimal path is identified, we enter our Build step. In this stage of our development process, candidate products are created through predictive breeding and gene editing. Our proprietary suite of gene editing technologies and intellectual property portfolio enable us to edit the plant's own genome predictably and precisely, which we consider an advance form of seed breeding. We can leverage our knowledge of plant gene functions to unlock and restore lost or muted genetic variation that is within the natural diversity of the plant or knock out genes that are unwanted. This approach is distinguished from transgenic, or "GMO" technology, in that we are advancing natural genetic variation that could be achieved using traditional breeding approaches rather than introducing genes foreign to the species.

Through our Crop Accelerator, opened in October 2021, in St. Louis, Missouri, the Build step of our process is sped up within our controlled environment, indoor product development facility. This approximately 47,000-square-foot facility features approximately 20,000 square feet of dynamically adaptive Conviron® growth houses and chambers, equipped with sophisticated sensor and environmental controls, including multi-channel LEDs, imaging capabilities, additive carbon dioxide, and temperature, humidity, and lighting controls. The Crop Accelerator enables rapid testing and target candidate selection over multiple growth cycles. Insights and data points gathered during each growing cycle further enhance the predictive capabilities of the CropOS platform. We believe this cycle of feedback will accelerate our ability to develop new offerings, including continued expansion of our proprietary portfolio of soy ingredients.

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After a potential commercial product is built, it then enters our Test step where it is evaluated within our network (comprised of internal and third-party sites and capabilities) of hundreds of field-level testing research and production sites. We believe our predictive optimization capabilities have the potential to maximize the return on our genetics by using proprietary placement models, which are built on environmental and performance data to predict where to contract acres to lift protein content. We then use digital agriculture technology to collect on-farm data through our grower data partnership program and other relationships to enhance the CropOS platform, further feeding our data flywheel.

**Environmental, Social and Governance Strategy**

Environmental and social impact strategy guides our work and is a competitive advantage that helps to guide decisions and work across our company. We believe our ESG strategy is fundamental to achieving our vision and long-term profitability. We are striving to optimize the environmental impact of our facilities and operations, but we recognize the greatest potential for impact is through our product development process of designing seeds, ingredients, and food that generates social and environmental benefit throughout the food value chain for all stakeholders.

At the farm level, we believe our integrated business model will offer additional revenue opportunities for farmers through potential input efficiencies, ecosystem service markets, and allow us to drive conservation and regeneration farming practices. At the manufacturing level, we are designing products that we believe will reduce water and energy intensive processing steps. And at the product level, we believe we can enable improved scaling, accessibility, and adoption of end products with environmental and social benefits, such as plant-based meats, meat extension products, and dairy alternatives.

Benson Hill has developed an internal strategy including foundational policies and processes to manage and assess our ESG success and impact. As a company, some of our primary ESG goals are the following:

**Develop nutrient rich and sustainable ingredient options for food companies and retailers.** Driven by growing consumer demand and climate-related risks, many food manufacturers have set ESG measurement and reporting programs, such as reporting on their own greenhouse gas ("GHG") emission production. Benson Hill is positioned to assist in meeting food and feed manufacturers' goals of reducing GHG emissions in their scope 3 supply chains by developing products with reduced environmental impact. For example, Benson Hill has conducted a consultant-led life cycle assessment on one of our UHP soybean ingredient products, and our preliminary results show a significant reduction in required GHG emissions and water use due to the reduction, or elimination, of a protein-concentration processing step that is used to create commodity soy protein concentrate today. We believe this reduction in GHG emissions and water, among other environmental impact indicators, will support our food manufacturer customers' ESG objectives.

**Improve farm cost-effectiveness and sustainability.** Our farmer partners are critical to our commercial success, and we value these relationships greatly. Benson Hill's on-farm ESG strategy addresses two key concerns for farmers — first, ongoing pressure to reduce food production costs, and second, best practices for land and soil stewardship to ensure long-term viability. Our strategy is to directly collect agronomic performance data from the farm and provide recommendations for land conservation and regenerative practices, as well as enable profitable opportunities through input reduction or alternative revenue streams. Agronomic data collection will inform data-based decision making in our product life cycle assessments, company GHG emissions assessments, product development and many other business functions.

**Meet consumer demands for supply chain transparency and traceability.** Through our integrated business model, we have the ability to maintain the integrity of our proprietary products through each stage of the supply chain, until the product is sold to our customers. We believe this enables us to enhance transparency and traceability, which is appealing to our customers. This approach provides us direct line of sight to data we intend to collect, as well as creates strong partnerships with our seed growers, farmers, and agrifood partners. We are working toward being able to measure the environmental impact at the farm through manufacturing as well as at the product level. Through improved traceability capabilities, Benson Hill will also continue to seek out and leverage third-party certifications, such as the Non-GMO Project Verified, ProTerra certification or others, meeting certain demands for both food and feed manufacturers and consumers.

**Recruit and retain purpose-driven talent.** Current research suggests employees are increasingly interested in working for companies that have an integrated ESG mission and purpose. Benson Hill has developed processes and internal programs, such as employee-led committees, that promote working together and re-thinking how we do business within our company, with our partners, and across the supply chain. We are working to develop teams that are grounded in a spirit of diversity, equality, and inclusion, and encouraged to think more innovatively, boldly, and transparently. Our goal is a workplace that is not just productive, but one of mutual respect and an environment for team members to continuously develop as professionals.

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Benson Hill's ESG strategy and business objectives will continue to progress and evolve based on industry shifts and stakeholders' needs. We believe our long-term profitability goals and our ESG strategy are mutually inclusive concepts.

**Merger with Star Peak Corp II**

On September 29, 2021 (the "Closing Date"), Star Peak Corp II ("STPC"), a special purpose acquisition company, consummated a merger (the "Closing") pursuant to that certain Agreement and Plan of Merger, dated May 8, 2021 (the "Merger Agreement"), by and among STPC, STPC Merger Sub Corp., a Delaware corporation and wholly owned subsidiary of STPC ("Merger Sub"), and Benson Hill, Inc., a Delaware corporation ("Legacy Benson Hill"). Pursuant to the terms of the Merger Agreement, a business combination between STPC and Legacy Benson Hill was affected through the merger of Merger Sub with and into Legacy Benson Hill, with Legacy Benson Hill surviving the transaction as a wholly owned subsidiary of STPC (the "Merger"). On the Closing Date, STPC changed its name to Benson Hill, Inc. and Legacy Benson Hill changed its name to Benson Hill Holdings, Inc. As a consequence of the Merger, we became the successor to a company registered with the Securities and Exchange Commission (the "SEC") and listed on the New York Stock Exchange (the "NYSE"). Our future results of consolidated operations and financial position may not be comparable to historical results as a result of the Merger.

**Business Segments, Growth Strategies, and Products**

Benson Hill's business is comprised of one operating and reportable segment, our Ingredients Business, which aims to combine our seed innovation through our CropOS platform with critical infrastructure capabilities and best practices in the field to develop and commercialize differentiated products. We are currently developing a diversified portfolio spanning the following key markets — protein ingredients, aquaculture and specialty animal feed, and vegetable oils. For each product, our research and development efforts are focused on quality-centric traits, such as nutrient density, carbohydrate profiles, flavor, ingredient functionality, and sustainability, as well as yield potential and agronomic improvements.

Integral to our go-to-market strategy are the infrastructure capabilities along with partnerships across the supply chain. Unlike traditional agriculture crop improvement companies that have typically focused their impact on development of the seed that they sell to the farmer, we have an integrated supply chain through directly owned or controlled assets, tolling agreements, and strategic partnerships in order to provide adequate capacity and influence throughout the food and ingredient supply chain. We believe this approach ensures the integrity of our products, and enables the efficient development, commercialization, and scaling of our product offerings. Importantly, it also enables a more direct relationship with those who will be realizing the benefits of those products—i.e., retailers, consumer packaged goods ("CPG") companies, and consumers—which informs our product development.

Our partnerships with farmers are an essential part of our supply chain. Within the traditional agriculture industry, farmers typically sell to elevators or processors who operate a high volume/low margin business to store commodity crops and convert them into largely aquaculture and specialty animal feed and industrial products. Our strategy is to partner with farmers who grow our seeds using appropriate agronomic and identity preservation practices and, in turn, we purchase their harvest for ultimate sale to an end-user customer. We believe structuring the relationship in this way will better allow us to drive best practices for on-farm sustainability, ensure traceability of our products, and help create new markets and profitable opportunities for farmers.

Once we obtain the harvest from the farmer, we secure the processing and distribution capacity that is appropriate for the product to meet our customers where they are. CPG and retailer customers sell directly to consumers. We share their focus on the end consumer in order to better align incentives, focus product development, and deliver our products through a channel that best serves their supply chain with the high-quality standards, traceability, and sustainability data that consumers desire.

Our growth strategy, or "growth playbook," is a repeatable process that we believe will enable us to remain at the forefront of food and agriculture innovation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Step 1: Create the foundation** — At this initial step, we are focused on entering the market through an owned or controlled channel, selling non-proprietary products to agrifood manufacturers, food and ingredient companies, aquaculture and specialty animal feed customers, and retailers. We use this time to build relationships across the value chain and invest in the data to inform our CropOS® platform with low capital investment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Step 2: Integrated route to market** — In this step, we introduce our proprietary products in the channel to prove the product concept, scale, ensure traceability, and catalyze customer demand for our differentiated products. This stage may include the use of owned or third-party processing capabilities, and exploring strategic partnerships that can further expand production capacities.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Step 3: Broad adoption** — We believe this will be the most asset-light step of our strategy where we intend to focus on maximizing the benefit and scale of our proprietary products by building partnerships and licensing relationships for our products. In this step, it is envisioned that we will grow beyond our proving ground acreage and increase commercial and supply chain efficiencies by leveraging others' existing infrastructure.

As part of our growth strategy, we may pursue merger and acquisition opportunities to expand our capabilities and grow our industry and geographic footprint.

**Ingredients Business Segment**

Our Ingredients Business is currently focused on enhancing soy and yellow pea with proprietary ingredients serving multiple plant-based protein markets through customers including ingredient companies, CPG companies, aquaculture production and feed companies, food-service operations, and grocery retail.

<u>Soy Ingredient Products</u>

We are in Step 3 of our growth playbook for our soy ingredients business and are currently working to scale our current generation of proprietary soy products targeted toward the protein ingredients, aquaculture and specialty animal feed, and vegetable oils markets.

We entered into a strategic partnership with Archer Daniels, Midland ("ADM") in August of 2022 to collaborate on an exclusive basis in the commercialization of certain high-protein soy ingredients for the human food and nutrition market in North America based on certain of our proprietary commercial soybean seed genetics. We collaborate with ADM to use certain of our UHP varieties with their farmer network, soy crush capabilities in Decatur, Illinois, and market and sales organizations to offer new and existing ingredient products a broad base of customers. We seek to partner with others to further leverage our current and future innovations in soy and yellow pea.

Our current focus is on specialty markets that have historically lacked value-added innovations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Protein Ingredients Market**: Soy, specifically soy protein concentrate ("SPC"), is the number one protein ingredient used in plant-based meat applications. SPC is largely made through the processing of defatted soy flour, which is costly and water- and energy-intensive. Our initial offerings include a high-protein soy flour that is a less processed alternative to SPC, as well as texturized protein ingredients for broad use across soy protein applications, including for plant-based alternatives.

Our pipeline of soy products for food-grade applications includes high-protein and UHP soy flour, flake and texturized flour ingredients. We are in the process of developing future generation of products with improved protein qualities and other functional attributes to better serve the needs of our customers and ultimately the consumer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Aquaculture and Specialty Animal Feed**: Soybean meal is an ideal protein source for swine, poultry, and fish due to its availability, cost, high protein content, and balanced amino acid profile. However, its use is restricted because, like many plant proteins, soybean meal has a high concentration of anti-nutritional compounds ("ANCs"), including oligosaccharides such as raffinose and stachyose that can have a negative effect on protein digestibility, leading to low energy values, poor metabolism, and excessive secretion impacting water quality in aquaculture systems. Apart from anti-nutritional factors, the steady historical decline in protein content of soy — an unintended consequence of breeding primarily for yield and other agronomic traits — has rendered soy meal a continually less valuable feed ingredient.

Our pipeline of soy products for aquaculture and specialty animal feed includes a high protein soymeal that is low in anti-nutrients and a low-cost, sustainable SPC substitute. As we build this portfolio of feed products, we intend to devote additional research and development resources toward developing future generations of products with improved protein qualities to further improve the value of feed ingredients options available to formulators that seek to prioritize fish and animal health, sustainability, and profitability of their operations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Vegetable Oils**: In 2020, we launched Veri™, a non-GMO, high-heat soy cooking oil that is rich with omega-9 fatty acids. Our Veri™ brand soy oil is high in oleic acid and low in linolenic acid with an optimized fatty acid profile from both a human consumption and food service operations standpoint.

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<u>Yellow Pea Ingredients</u>

We are in Step 1 of our growth playbook for yellow pea, and over the near term we expect to enter Step 2 with the start of commercialization of our first proprietary yellow pea protein ingredient products through our existing supply chain infrastructure, including premium texturized and un-texturized yellow pea protein concentrates.

Despite being one of the fastest growing protein ingredients for plant-based meats, yellow pea has received comparatively little genomic innovation to date. The pea-based protein ingredient primarily used today by many plant-based companies, is pea protein isolate ("PPI"). The PPI production process, similar to SPC, is expensive as well as water- and energy- intensive; however, such processing is necessary to concentrate protein to higher levels and help ameliorate native off-putting flavors of pea.

We have sequenced and assembled a reference genome for yellow pea — a high resolution "genomic map" — that, in combination with our CropOS® platform, is enabling us to accelerate our yellow pea breeding program. As a result, we believe we will develop differentiated varieties of yellow pea for first commercial plantings in the near term. We are working on a pipeline of products that has the potential to significantly reduce off-flavors, increase the protein content of the plant, and ultimately reduce or displace the need for expensive, water- and energy-intensive processing steps typically required for ingredients used in plant-based meat alternatives.

Our subsidiary Dakota Dry Bean Inc., an upper Midwest-based yellow pea processor, has an established channel with commodity pea protein concentrate, split peas, pea flour and pea fiber. We have expanded and upgraded the capabilities of Dakota Ingredients to better serve the pet and human food markets. Through our elite grower program and integrated production capabilities, the operation can now test premium yellow pea varieties and supply ingredients that are traceable and meet certain food-grade, kosher, and non-GMO certification standards.

Our proprietary and non-proprietary revenues were as follows for the years ended December 31, 2022 and 2021:

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| | | |
|:---|:---|:---|
| | **Year Ended December 31,** | **Year Ended December 31,** |
| | **2022** | **2021** |
| Proprietary | $72578 | $38043 |
| Non-Proprietary | 308655 | $52902 |
| &nbsp;&nbsp;Total Revenues | 381233 | 90945 |

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**Fresh Business Segment divestiture** 

For the year ended December 31, 2022, the Company made a strategic decision to exit the Fresh segment. On December 29, 2022, the Company entered into a stock purchase agreement to sell J&J Produce, Inc. ("J&J") and all of the outstanding equity securities of J&J's subsidiaries for aggregate cash consideration of $3 million, subject to certain adjustments (the "Stock Purchase Agreement"). J&J was the main component of the Fresh segment. The closing of the transactions contemplated by the Stock Purchase Agreement is scheduled to occur on June 30, 2023, or such other date as is mutually agreed by the parties. In connection with the Stock Purchase Agreement, on December 29, 2022, J&J entered into a purchase and sale agreement, pursuant to which J&J sold certain real and personal property comprising an agricultural production and processing facility located in Vero Beach, Florida for an aggregate purchase price of $18 million, subject to certain adjustments (the "Purchase and Sale Agreement"). Certain property was leased back to J&J pursuant to a separate agricultural and facility lease for a short period of time. The Company's strategic shift to exit the Fresh segment met the criteria to be classified as businesses held for sale and to be presented as a discontinued operation. Refer to *[Footnote 4](#i437deb9913be4f4a8711fb195a433029_885)* — *[Discontinued Operations](#i437deb9913be4f4a8711fb195a433029_885)* for further details on the divestiture of the Fresh segment.

**Competitors**

We believe that our technology platform coupled with our integrated go-to-market approach is unique to Benson Hill and sets us apart from others in the agriculture and food markets, but we do compete with others in certain areas of our business. For example, we compete with seeds and trait companies as well as smaller biotechnology and ag-tech companies, particularly for grower contracting and access to acres. Key competitors in this space include Bayer, Corteva, Syngenta, and Pairwise. For our ingredients that are commercialized, we compete with food and feed ingredient companies. Key competitors in these industries include Archer Daniels Midland Company, CHS, Inc., and Cargill, Inc. In addition, advancements in fields such as gene editing, biologics, digital agriculture, data science, and artificial intelligence may enable disruptive technology that could alter the competitive landscape for food and agriculture.

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**Intellectual Property**

Our success depends in part on our ability to obtain and maintain intellectual property and proprietary protection for our product candidates and technology related to our business, defend and enforce our intellectual property rights, in particular, our patent rights, preserve the confidentiality of our trade secrets, and operate without infringing valid and enforceable intellectual property rights of others. We seek to protect our proprietary position by, among other things, licensing and filing United States ("U.S.") and certain non-U.S. patents and patent applications related to our technology, products and product candidates, and improvements that are important to the development of our business, where patent protection is available. We also rely on trade secrets, plant breeders' rights, and/or contractual provisions to develop and maintain our proprietary position and protect aspects of our business that are not amenable to, or that we do not consider appropriate for, patent protection. We seek to protect our proprietary technologies, in part, by confidentiality agreements with our employees, consultants, scientific advisors, and contractors. Notwithstanding these efforts, we cannot be sure that patents will be granted with respect to any patent applications we have licensed or filed or may license or file in the future, and we cannot be sure that any patents we have licensed or patents that may be licensed or granted to us in the future will not be challenged, invalidated, or circumvented or that such patents will be commercially useful in protecting our product candidates and technology. Moreover, trade secrets can be difficult to protect. While we have confidence in the measures we take to protect and preserve our trade secrets, such measures can be breached, and we may not have adequate remedies for any such breach. In addition, our trade secrets may otherwise become known or be independently discovered by competitors. For more information regarding the risks related to our intellectual property, please see "*Risk Factors — Risks Relating to Our Business and Industry — Risks Relating to Intellectual Property*."

As of December 31, 2022, we have approximately 238 pending or issued patents. Approximately 89 of those are for plant varieties, 76% of which have issued. Approximately 87 are product-related, 29% of which have issued. Approximately 62 are enabling technologies, 5% of which have issued. All patents or applications filed on our plant varieties are in the U.S., while 37% and 47% of the product-related or enabling technology patents are in the U.S., respectively. We also have approximately 92 pending applications for plant breeders' rights on our plant varieties, divided among the U.S. and other countries. In addition to these patents and patent applications, we also hold licenses from other parties related to certain products and activities.

These patents expire at varying times depending on the jurisdiction and filing date. Individual patent terms extend for varying periods of time, depending upon the date of filing of the patent application, the date of patent issuance, and the legal term of patents in the countries in which they are obtained. In most countries in which patent applications are filed, including the United States, the patent term is 20 years from the date of filing of the first non-provisional application to which priority is claimed. Under certain circumstances, a patent term can be extended. For example, in the U.S., a patent's term may be lengthened by patent term adjustment, which compensates a patentee for administrative delays by the U.S. Patent and Trademark Office in reviewing and granting a patent or may be shortened if a patent is terminally disclaimed over an earlier-filed patent. However, the actual protection afforded by a patent varies on a product-by-product basis, from country-to-country, and depends upon many factors, including the type of patent, the scope of its coverage, the availability of legal remedies in a particular country, and the validity and enforceability of the patent.

As of December 31, 2022, we had 26 U.S. trademarks and six pending U.S. trademark applications, and we had 97 registered non-U.S. trademarks and 18 pending non-U.S. trademark applications.

**Research and Development**

As of December 31, 2022, we had approximately 175 employees dedicated to our product and platform development. This team has technical expertise in data science, machine learning software, genome engineering, molecular biology, biochemistry, genetics and genetic engineering, plant physiology, and plant breeding. The activities of this team are conducted principally at our St. Louis, Missouri facilities. We have made, and will continue to make, substantial investments in this capability. Our research and development expenses were $47.5 million, $40.6 million and $29.5 million for the years ended December 31, 2022, 2021 and 2020, respectively.

**Employees**

As of December 31, 2022, we employed approximately 575 individuals in total, including approximately 440 full-time employees.

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**Regulatory**

We are subject to laws and regulations in the jurisdictions in which we operate. This includes laws and regulations governing biotechnology and food companies related to the development, approval, manufacturing, import, marketing, and sale of our products.

<u>Regulation of Plant Biotechnology Products</u>

The three primary agencies with responsibility for regulation of plant biotechnology products in the U.S. are the U.S. Department of Agriculture's ("USDA") Animal and Plant Health Inspection Services ("APHIS"), the U.S. Environmental Protection Agency ("EPA"), and the U.S. Food and Drug Administration ("FDA"). APHIS regulates plant biotechnology products to ensure that they do not pose a plant pest risk under the Plant Protection Act. The EPA regulates pesticides (including plant-incorporated protectants) pursuant to the Federal Insecticide, Fungicide, and Rodenticide Act ("FIFRA"). The FDA regulates food and animal feed under the Federal Food, Drug, and Cosmetic Act ("FDCA").

Plant gene editing uses relatively new technology and the regulatory landscape continues to evolve in this area. Under the USDA's recently revised regulations, certain categories of our products currently in development using gene editing may be exempt from certain regulations related to genetic engineering under the Plant Protection Act because they could otherwise have been developed through conventional breeding techniques, which may include gene edited soybeans or yellow peas. Other plant biotechnology products currently in development may be subject to certain regulations related to genetic engineering under the Plant Protection Act in the future. The FDA offers a voluntary consultation process to determine whether foods derived from plant biotechnology products would require regulatory review and approval before marketing such products.

Other countries also have laws and regulations that apply to plant biotechnology products. The regulatory landscape around gene edited plant biotechnology products varies in each country and continues to evolve.

<u>Regulation of Food and Ingredient Products</u>

We are also subject to laws and regulations administered by various federal, state and local government agencies in the U.S., such as the FDA, the Federal Trade Commission, the EPA, the Occupational Safety and Health Administration, and the USDA, related to the processing, packaging, distribution, sale, marketing, labeling, quality, safety, and transportation of our products, as well as our occupational safety and health practices.

Among other things, the facilities in which our products are grown, packed or processed may be required to register with the FDA, and comply with regulatory schemes including the Food Safety Modernization Act ("FSMA"), among other laws and regulations implemented by the FDA, the USDA, and other regulators. We are also subject to parallel state and local food safety regulation, including registration and licensing requirements for our facilities, enforcement of standards and label registration for our products and facilities by state and local health agencies, and regulation of our trade practices in connection with selling our products. We are also subject to labor and employment laws, laws governing advertising, privacy laws, safety regulations and other laws, including consumer protection regulations that regulate retailers or govern the promotion and sale of merchandise.

**Corporate Information**

We were originally incorporated in the State of Delaware on October 8, 2020 as a special purpose acquisition company, formed for the purpose of effecting a merger, capital stock exchange, asset acquisition, share purchase, reorganization or similar business combination with one or more businesses. In connection with the consummation of the Merger, we changed our name to Benson Hill, Inc.

Benson Hill is a registered trademark of Benson Hill, Inc. Other trademarks, logos, and slogans registered or used by Benson Hill and its subsidiaries include, but are not limited to, the following: CropOS® and Veri™.

All other brand names or trademarks appearing in this report are the property of their respective owners. Benson Hill's use or display of other parties' trademarks, trade dress or products in this report does not imply that Benson Hill has a relationship with, or endorsement or sponsorship of, the trademark or trade dress owners.

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**Available Information**

Our internet website address is www.bensonhill.com. Through our website, we make available, free of charge, our annual report on Form 10-K, quarterly reports on Form 10-Q, current reports on Form 8-K and any amendments to those reports, as well as proxy statements, and, from time to time, other documents as soon as reasonably practicable after we electronically file such material with, or furnish it to, the SEC. These SEC reports can be accessed through the investor relations section of our website. The information found on our website is not part of this or any other report we file with or furnish to the SEC.

The SEC maintains an internet website that contains reports, proxy and information statements, and other information regarding Benson Hill and other issuers that file electronically with the SEC. The SEC's internet website address is www.sec.gov.

**Item 1A. Risk Factors**

An investment in our securities involves a high degree of risk. In evaluating our business, you should consider carefully the risks described below, as well as the other information contained in this report and in our other filings with the SEC. Additional risks not presently known to us or that we currently deem immaterial may also adversely affect our business. The occurrence of any of these events or circumstances could individually or in the aggregate have a material adverse effect on our business, financial condition, cash flow or results of operations. In that event, the trading price of our securities could decline, and you could lose all or part of your investment. This report contains forward-looking statements; please refer to the cautionary statements made under the heading "*Cautionary Note Regarding Forward-Looking Statements*" for more information on the qualifications and limitations on forward-looking statements*.* References in this section to "we," "our," or "us" generally refer to Benson Hill, unless otherwise specified.

**Risk Factors Summary**

Risks Relating to Our Business and Industry

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We have a limited operating history, which makes it difficult to evaluate our current business and prospects and may increase the risk of investment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We have a history of net losses and we may not achieve or maintain profitability.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We expect we will need to raise additional funding to achieve our goals, which could dilute existing stockholders, and a failure to obtain this necessary capital when needed on acceptable terms, or at all, may force us to delay, limit, reduce or terminate our product development efforts or other operations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We face significant competition and many of our competitors have substantially greater financial, technical and other resources than we do.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Any collaboration arrangements that we have entered into or may enter into in the future may not be successful, which could adversely affect our anticipated revenues and our ability to develop and commercialize our product candidates.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• To compete effectively, we must introduce new products that achieve market acceptance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to contract for sufficient acreage with the appropriate nutrient profile on a cost-effective basis presents challenges.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The overall agricultural industry is susceptible to commodity price changes and we are exposed to market risks from changes in commodity prices.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Adverse weather conditions, natural disasters, crop disease, pests and other natural conditions can impose significant costs and losses on our business.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The regulatory environment in the U.S. for our current and future products is uncertain and evolving.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The regulatory environment outside the U.S. varies greatly from jurisdiction to jurisdiction and there is less certainty how our products will be regulated.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Government policies and regulations, particularly those affecting the agricultural sector and related industries, could adversely affect our operations and profitability.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• To the extent we pursue strategic acquisitions, divestitures or joint ventures, we might experience operating difficulties and other consequences that may harm our business, financial condition, and operating results, and we may not be able to successfully consummate favorable transactions or successfully integrate acquired businesses.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We are subject to numerous affirmative and negative covenants in our debt financings, which may impede our ability to execute our business plan or secure additional financing, and, if breached, may adversely affect our business, results of operations and financial condition.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Cybersecurity vulnerabilities, threats and more sophisticated and targeted computer crimes pose a risk to our systems, networks, products and data.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our business activities are currently conducted at a limited number of locations, which makes us susceptible to damage or business disruptions caused by natural disasters or acts of vandalism.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Patents and patent applications involve highly complex legal and factual questions, which, if determined adversely to us, could negatively impact our competitive position.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We will not seek to protect our intellectual property rights in all jurisdictions throughout the world and we may not be able to adequately enforce our intellectual property rights even in the jurisdictions where we seek protection.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our ability to successfully operate is largely dependent upon the efforts of certain of our key personnel. Any loss of such key personnel could negatively impact our operations and financial results.

Risks Relating to Ownership of Our Securities

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The NYSE may delist our securities from trading on its exchange, which could limit investors' ability to make transactions in our securities and subject us to additional trading restrictions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The market price of our common stock is highly volatile and you could lose all or part of your investment as a result.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• If we are unable to remediate the material weaknesses in our internal control over financial reporting, or if we identify additional material weaknesses in the future or otherwise fail to maintain an effective system of internal control over financial reporting, this may result in material misstatements of our consolidated financial statements or failure to meet our periodic reporting obligations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Issuances of additional common stock, or securities convertible into common stock, could dilute common stockholders, and we may issue additional common stock pursuant to our shelf registration statement (including our at-the-market facility), upon exercise of outstanding warrants, for additional financing purposes, in connection with strategic transactions such as acquisitions or collaboration agreements, or otherwise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Because there are no current plans to pay cash dividends on our common stock for the foreseeable future, you may not receive any return on your investment unless you sell your common stock for a price greater than that which you paid for it.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Certain of our stockholders may engage in business activities which compete with ours or otherwise conflict with our interests.

<u>Risks Relating to Our Business and Operations</u>

***We have a limited operating history, which makes it difficult to evaluate our current business and prospects and may increase the risk of investment.***

We are an early-stage food technology company with a limited operating history that to date has been focused primarily on research and development, software development, conducting field trials, pursuing initial commercialization efforts, building our management team and increasing our manufacturing capability. Investment in food technology development is a highly speculative endeavor. It entails substantial upfront research and development investment and, to the extent gene editing technology may be employed, there is significant risk that we will not be able to edit the genes in a particular plant to express a desired trait, or, once edited, we will not be able to replicate that trait across entire crops in order to commercialize the product candidate. Moreover, the regulatory pathway for our product candidates can be uncertain and could add significant additional cost and time to development.

Our limited operating history may make it difficult to evaluate our current business and our prospects. We have encountered, and will continue to encounter, risks and difficulties frequently experienced by growing companies in rapidly developing and changing industries, including challenges in forecasting accuracy, determining appropriate investments of our limited resources, gaining market acceptance of the products made using our gene editing and speed breeding platform and through our crop prototyping process, managing a complex regulatory landscape and developing new product candidates. These risks are exacerbated by the additional requirements, and associated costs of compliance, we face as a publicly traded company. We may also face challenges in scaling our supply chain in a cost-effective manner, as we will rely on contracting with seed production companies, seed distributors, farmers, crushers, millers, refiners, food companies and retailers, and logistics and transportation providers, in order to get our products to market. We may not be able to fully implement or execute on our business strategy or realize, in whole or in part within our expected time frames, the anticipated benefits of our growth strategies. You should consider our business and prospects in light of the risks and difficulties we face as an early-stage company focused on developing products in the field of food technology.

***We have a history of net losses and we may not achieve or maintain profitability.***

Our net losses from continuing operations were $99.7 million for the year ended December 31, 2022, $122.2 million for the year ended December 31, 2021 and $64.5 million for the year ended December 31, 2020. As of December 31, 2022, we had an accumulated deficit of $408.5 million. We will need to generate significant revenues to achieve profitability, and we may not be able to achieve and maintain profitability in the near future or at all, which may depress our stock price. Our future success will

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depend, in part, on our ability to grow revenue associated with closed loop production, production partnerships, the licensing of our intellectual property and our ability to market and sell additional products from our pipeline of product candidates.

The net losses we incur may fluctuate significantly from year-to-year and quarter-to-quarter, such that a period-to-period comparison of our results of operations may not be a reliable indication of our future performance, and it should not be considered such.

We may not be successful in our efforts to increase revenues, successfully commercialize products, generate revenue from licensing arrangements, or attain and maintain profitable operations. If we are unsuccessful in these efforts, our cash balances and operating cash flow alone will be insufficient to fund our longer-term capital and liquidity needs. To fund our longer-term capital and liquidity needs, we expect we will need to secure additional capital. Our business plan and financing needs are subject to change depending on, among other things, the success of our efforts to grow revenue and our efforts to continue to effectively manage expenses.

***We expect we will need to raise additional funding to achieve our goals, and a failure to obtain this necessary capital when needed on acceptable terms, or at all, may force us to delay, limit, reduce or terminate our product development efforts or other operations.***

Since our inception, substantially all of our resources have been dedicated to the development of our core technology and product platforms, including purchases of property, plant and equipment. We believe that we will continue to expend substantial resources for the foreseeable future as we build and enhance our capabilities and commercialize our products. These expenditures are expected to include costs associated with research and development, manufacturing and supply, marketing and selling existing and new products, working capital, costs of acquiring and building out new facilities, costs associated with planting and harvesting, such as the purchase of seeds and growing supplies, and the cost of attracting and retaining key executives and a skilled local labor force. In addition, other anticipated and unanticipated costs may arise, including those arising from the unique nature of our controlled environment agriculture facilities.

As of December 31, 2022, we had cash and cash equivalents and marketable securities of $157.2 million, restricted cash of $17.9 million, term debt and notes payable of $106.2 million, and an accumulated deficit of $408.5 million. For the year ended December 31, 2022, we incurred a net loss from continuing operations of $99.7 million and had negative cash flows from operating activities of $93.4 million. As described elsewhere in this Annual Report (including Management's Discussion and Analysis of Financial Condition and Results of Operations—Liquidity and Capital Resources), in March 2023, we entered into a third amendment to our existing term loan credit facility, which, among other things, extended the interest-only period for six months, through the second quarter of 2024, and allowed the restricted cash to be counted towards the required minimum liquidity covenant calculation. While we believe that our cash and cash equivalents and marketable securities on hand as of December 31, 2022 are sufficient to meet the needs of operations, including working capital requirements, debt requirements and our currently planned capital expenditure requirements for a period of at least 12 months from the date of this Annual Report, we expect we will need to raise additional funding to achieve our strategic goals and execute our business plan.

Our business prospects are subject to risks, expenses, and uncertainties frequently encountered by emerging growth companies, including access to capital. To date, we have been funded primarily by equity and debt financings, including the issuance of convertible preferred stock, term debt, and revolving debt. See "*We are subject to numerous affirmative and negative covenants with respect to certain debt financings. The covenants may impede our ability to execute our business plan and, if breached, may adversely affect our business, results of operations and financial condition*" below.

Attaining and maintaining profitable operations is also dependent upon future events, including obtaining adequate financing to complete and commercialize our research and development activities, obtaining adequate grower relationships, building our customer base, successfully executing our business and marketing strategy and hiring appropriate personnel.

We do not expect that we will be able to fund our longer-term capital and liquidity needs based on our current cash balances and operating cash flow alone. To the extent we continue to incur losses, our liquidity needs could increase. To fund our longer-term capital and liquidity needs, we expect we will need to secure additional capital. However, our business plan and financing needs are subject to change depending on, among other things:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the number and characteristics of any additional products or manufacturing processes we develop or acquire to serve new or existing markets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the scope, progress, results and costs of researching and developing future products or improvements to existing products or manufacturing processes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the expenses associated with our sales and marketing initiatives;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our investment in manufacturing to expand our manufacturing and production capacity;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the costs required to fund domestic and international growth;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• any lawsuits commenced against us, whether related to our products or otherwise;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the expenses needed to attract and retain skilled personnel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the costs associated with being a public company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the costs involved in preparing, filing, prosecuting, maintaining, defending and enforcing intellectual property claims, including litigation costs and the outcome of such litigation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the timing, receipt and amount of sales of, or royalties on, any future approved products, if any.

We are continuously assessing our business plans and capital structure. In order to find our longer-term capital and liquidity needs and grow our business, we expect we will need to secure additional capital, which could be debt or equity financing and may lead to dilution of our common stockholders. We have and may continue to seek to obtain additional funds through public or private equity or debt financings or other sources, such as strategic collaborations. For example, in August 2022, we entered into a strategic partnership with Archer-Daniels-Midland Company ("ADM"). We also have the ability to sell up to $400 million of additional shares of our common stock, or securities convertible into common stock, to the public through our shelf registration statement, including $100 million through our at-the-market facility. We currently intend to use our shelf registration statement (which may include our at-the-market facility), or alternative equity financing, to raise up to $100 million to supplement our projected cash needs. Any sales under our shelf registration statement are likely to result in dilution to our existing stockholders, and other types of equity financing may also result in dilution to our existing stockholders.

Although we may seek to obtain additional financing through non-dilutive means, we may be unable to do so. For example, we have announced that we currently intend to pay off our existing debt facility prior to maturity, and replace it with a conventional, lower cost lending facility. We can make no assurances that we will be able to retire our existing debt early on the anticipated timeframe, or at all, or that we will be able to replace such debt with a conventional, lower cost lending facility, or any facility, on favorable terms, in a timely manner, or at all. If we are successful in our endeavors to retire our existing debt and replace such debt with a new facility, we cannot assure that we will be able to realize the benefits anticipated with any such new facility.

Accordingly, additional financings may result in dilution to stockholders, issuance of securities with priority as to liquidation and dividend and other rights more favorable than common stock, imposition of debt covenants and repayment obligations, or other restrictions that may adversely affect our business. In addition, we may seek additional capital due to favorable market conditions or strategic considerations even if we believe that we have sufficient funds for current or future operating plans. We cannot guarantee that we will be able to meet existing financial covenants or that new financing will be available to us on favorable terms, or at all. Our failure to raise capital as and when needed may make it more difficult for us to operate our business or implement our growth plans and we may be required to delay, limit, reduce or terminate our manufacturing, research and development activities, growth and expansion plans, establishment of sales and marketing capabilities or other activities that may be necessary to generate revenue and achieve profitability, any of which could have significant negative consequences for our business, financial condition and results of consolidated operations.

***The market price of our common stock is highly volatile, which could lead to losses by investors and costly securities litigation.***

The market price for our common stock is highly volatile. For example, since we consummated the Merger, the closing sales price of our common stock has fluctuated from a high of $9.87 per share on September 29, 2021, the day we consummated the Merger, to a low of $1.50 per share on March 14, 2023. The stock market recently has experienced extreme volatility. This volatility often has appeared to be unrelated or disproportionate to the operating performance of particular companies. You may not be able to resell your shares of our common stock at an attractive price due to a number of factors such as those listed in "*Risks Relating to Our Business and Industry*" and the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• results of operations that vary from the expectations of securities analysts and investors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• results of operations that vary from those of our competitors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• guidance, if any, that we provide to the public, any changes in this guidance or our failure to meet this guidance;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in expectations as to our future financial performance, including financial estimates and investment recommendations by securities analysts and investors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• declines in the market prices of stocks generally;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• strategic actions by us or our competitors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• announcements by us or our competitors of significant contracts, acquisitions, joint ventures, other strategic relationships or capital commitments;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• any significant change in our management;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in general economic or market conditions or trends in our industry or markets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in business or regulatory conditions, including new laws or regulations or new interpretations of existing laws or regulations applicable to our business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• future sales of our common stock or other securities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• investor perceptions or the investment opportunity associated with our common stock relative to other investment alternatives;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the public's response to press releases or other public announcements by us or third parties, including our filings with the SEC;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• litigation involving us, our industry, or both, or investigations by regulators into our operations or those of our competitors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the development and sustainability of an active trading market for our common stock;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• actions by institutional or activist stockholders;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the impact of the COVID-19 pandemic and its effect on our business and financial conditions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in accounting standards, policies, guidelines, interpretations or principles; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• other events or factors, including those resulting from natural disasters, war, or the threat of war, in particular, the current conflict in Ukraine, acts of terrorism or responses to these events.

Broad market and industry fluctuations may adversely affect the market price of our common stock, regardless of our actual operating performance, financial results or prospects. In addition, price volatility may be greater if the public float and trading volume of our common stock is low. Some companies that have had volatile market prices for their securities have been the target of a hostile takeover or subject to involvement by activist stockholders. If we were to become the target of such a situation, it could result in substantial costs and divert resources and the attention of executive management from our business.

The current market price of our securities may not be indicative of future market prices or intrinsic value, and we may not be able to sustain or increase the value of an investment in our securities. Investors in our securities may experience a decrease, which could be substantial, in the value of their securities, including decreases unrelated to our operating performance, financial results or prospects. Your only opportunity to achieve a return on your investment in our securities may be if the market price of our securities appreciates and you sell your securities at a profit. The market price for our securities may never exceed, and may fall below, the price that you paid for such securities. You could lose all or part of your investment in us as a result.

In the past, following periods of market volatility, stockholders have instituted securities class action litigation. If we were involved in securities litigation, it could have a substantial cost and divert resources and the attention of executive management from our business regardless of the outcome of such litigation.

***We face significant competition and many of our competitors have substantially greater financial, technical and other resources than we do.***

The market for plant-based products is highly competitive, and we face significant direct and indirect competition in several aspects of our business. Mergers and acquisitions in the plant science, specialty food ingredient, and agricultural biotechnology and seed industries may result in the further concentration of resources among a smaller number of our competitors.

Most of our competitors have substantially greater financial, technical, marketing, sales, distribution, supply chain infrastructure, and other resources than we do, such as larger research and development staff, more experienced marketing, manufacturing, and supply chain organizations and more well-established sales forces. As a result, we may be unable to compete successfully against our current or future competitors, which may result in price reductions, reduced margins and/or the inability to achieve market acceptance for our products. We expect to continue to face significant competition in the markets in which we intend to commercialize our products.

Many of our competitors engage in ongoing research and development, and technological developments by our competitors could render our products less competitive or obsolete, resulting in reduced sales compared to our expectations. Our ability to compete effectively and to achieve commercial success depends in part on our ability to control manufacturing and marketing costs, effectively price and market our products, successfully develop an effective marketing program and an efficient supply chain, develop new products with properties attractive to customers, and commercialize our products quickly without incurring major regulatory costs. We may not be successful in achieving these factors and any such failure may adversely affect our business, results of operations and financial condition.

From time to time, certain companies that are potential competitors of ours may seek new traits or trait development technologies and may seek to license our technology for such purposes. We have entered into such licensing arrangements and may enter into similar arrangements in the future. Some of these companies may have significantly greater financial resources than we do and may compete with our business, which could enable such competitors to use our technologies to develop their own products that would compete with our products.

We also anticipate increased future competition as new companies enter the market and new technologies become available, particularly in the area of gene editing. Our technology may be rendered obsolete or uneconomical by technological advances or entirely different approaches developed by our competitors that are more effective or that enable them to develop and

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commercialize products more quickly, more efficiently or with lower expense than we do. Our ability to generate revenues from the commercialization of our products may be limited or prevented if for any reason our technology becomes obsolete or uneconomical relative to that of our competitors' technologies.

***Any collaboration arrangements that we have or may enter into may not be successful, which could adversely affect our ability to develop and commercialize our product candidates.***

We have entered into and may seek to enter into additional collaboration arrangements with third parties for the development or commercialization of our products. For example, in August 2022 we agreed to collaborate on an exclusive basis with ADM in the commercialization of certain high-protein soy ingredients for the human food and nutrition market in North America based on certain of our proprietary commercial soybean seed genetics. To the extent that we decide to enter additional collaboration arrangements, we will face significant competition in seeking appropriate partners, and we will likely have limited control over the amount and timing of resources that any future collaborators dedicate to the development or commercialization of our product candidates. In addition, future collaborators may have significantly greater financial resources than we do and may compete with our business, which could enable such competitors to use our technologies to develop their own products that would compete with our products. Our ability to generate revenue from these arrangements will depend on our collaborators' abilities to successfully perform the functions assigned to them. If our collaborations do not result in the successful development and commercialization of products, or if any of our collaborators terminates its agreement with us, we may not receive any milestone or royalty or other payments under the collaborations. If we do not receive the payments we expect under these agreements, our development of product candidates could be delayed and we may need additional resources to develop our product candidates. In addition, if any collaborator terminates its agreement with us, we may find it more difficult to attract new collaborators and our reputation among the business and financial communities could be adversely affected.

Moreover, collaboration arrangements are complex and time-consuming to negotiate, document, implement and maintain. To the extent that we seek to enter into additional collaboration agreements, we may not be successful in our efforts to establish and implement such collaboration or other alternative arrangements in a timely manner, on favorable terms, or at all. If we are unable to do so, we may have to curtail the development of the product candidate for which we are seeking to collaborate, or increase our expenditures and undertake development or commercialization activities at our own expense. If we elect to increase our expenditures to fund development or commercialization activities on our own, we may need to obtain additional capital, which may not be available to us on acceptable or timely terms, or at all. If we do not have sufficient funds, we may not be able to further develop our product candidates or bring them to market and generate product revenue.

***To compete effectively, we must introduce new products that achieve market acceptance.***

In order to remain competitive and increase revenue, we must introduce new products from our pipeline of product candidates. If we fail to anticipate or respond to technological developments, market requirements, or consumer preferences, or if we are significantly delayed in developing and introducing products, our revenues will not increase.

Development of successful agricultural products using gene editing technologies requires significant levels of investment in research and development, including laboratory, greenhouse and field testing, to demonstrate product effectiveness and can take several years or more. We incurred research and development expenses of $47.5 million in the year ended December 31, 2022, $40.6 million in the year ended December 31, 2021, and $29.5 million in the year ended December 31, 2020. We must commit significant resources and may incur obligations (such as royalty obligations or milestone fees) to develop new products before knowing whether our investments will result in products the market will accept and without knowing the levels of revenue, if any, that may be derived from these products.

Development of new or improved agricultural products involve risks of failure inherent in the development of products based on innovative and complex technologies. These risks include the possibility that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our products may not perform as expected in the field;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our products may not receive necessary regulatory permits and governmental clearances in the markets in which we intend to sell them;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• consumer preferences, which are unpredictable and can vary greatly, may change quickly, making our products no longer desirable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our competitors may develop new products that taste better or have other more appealing characteristics than our products;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our products may be viewed as too expensive by our customers as compared to competitive products;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our products may be difficult to produce on a large scale or may not be economical to grow;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• intellectual property and other proprietary rights of third parties may prevent us or our collaborators from marketing and selling our products;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• we may be unable to patent or otherwise obtain intellectual property protection for our discoveries in the necessary jurisdictions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• we or our collaborators may be unable to fully develop or commercialize products in a timely manner or at all; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• third parties may develop superior or equivalent products.

Accordingly, if we experience any significant delays in the development or introduction of new products or if our new products do not achieve market acceptance, our business, operating results and financial condition would be adversely affected.

***If our early testing of pipeline products is unsuccessful, we may be unable to complete the development of product candidates on a timely basis or at all.***

We rely on early testing and research, including greenhouse activities and field trials, to demonstrate the efficacy of product candidates that we develop and evaluate. Field trials allow us to test product candidates in the field as well as to increase seed production, and to measure performance across multiple geographies and conditions. Successful completion of early testing is critical to the success of our product development efforts. If our ongoing or future testing is unsuccessful or produces inconsistent results or unanticipated adverse effects on the agronomic performance of our crops, or if the testing does not produce reliable data, our product development efforts could be delayed, subject to additional regulatory review or abandoned entirely. In addition, in order to support our commercialization efforts, it is necessary to collect data across multiple growing seasons and from different geographies. Even in cases where initial field trials are successful, we cannot be certain that additional field trials conducted on a greater number of acres or in different geographies will also be successful. Many factors that are beyond our control may adversely affect the success of these field trials, including unique geographic conditions, weather and climatic variations, disease or pests, or acts of protest or vandalism. Field trials, which may take up to two to three years, are costly, and any field trial failures that we may experience may not be covered by insurance and, therefore, could result in increased costs, which may negatively impact our business and results of operations.

***The successful commercialization of our products depends on our ability to produce high-quality products cost-effectively on a large scale and to accurately forecast demand for our products, and we may be unable to do so.***

The production of commercial-scale quantities of seeds and products requires the multiplication of the plants or seeds through a succession of plantings and seed harvests. The cost-effective production of high-quality, high-volume quantities of any product candidates we successfully develop depends on our ability to scale our production processes to produce plants and seeds in enough quantity to meet demand. For example, food ingredients such as soybean oil and soy protein concentrate will require optimized production and commercialization of the underlying plant and seed harvests. We cannot assure that our existing or future seed production techniques or acreage procurement efforts will enable us to meet our large-scale production goals cost-effectively for the products in our pipeline. Even if we are successful in developing ways to minimize yield drag and enhance quality, we may not be able to do so cost effectively or on a timely basis, which could adversely affect our ability to achieve profitability. If we are unable to maintain or enhance the quality of our plants and seeds, or procure acreage cost-effectively as we increase our production capacity, including through the expected use of third parties, we may experience reductions in customer or farmer demand, higher costs, reduced margins, increased inventory write-offs, and more limited viability of certain product categories.

In addition, because of the length of time it takes to produce commercial quantities of marketable seeds, we will need to make seed production decisions well in advance of product sales. Our ability to accurately forecast supply can be adversely affected by several factors outside of our control, including changes in market conditions, competition, base commodity prices, and environmental factors, such as pests and diseases, and adverse weather conditions. A shortfall in the supply of our products may reduce product revenue, damage our reputation in the market and adversely affect relationships. Any product surplus we have on hand may negatively impact cash flows, reduce the quality of our inventory and ultimately result in write-offs of inventory.

Additionally, we will take financial risk in our inventory given that we will have to keep the inventory at its net realizable value on our balance sheet. Fluctuations in the spot price of our crops in inventory could have negative impacts on our consolidated financial statements. Any failure on our part to produce enough inventory, or overproduction of a product, could harm our business, results of operations and financial condition. In addition, our customers may cancel orders, request a decrease in quantity, or make returns, which may lead to a surplus of our products.

While we estimate that the potential size of our target markets for our products is significant, that estimate has not been independently verified and is based on certain assumptions that may not prove to be accurate. Our ability to accurately forecast demand is dependent on the timing of customer decisions, qualification cycles, and other factors outside of our control. As a result, these estimates could differ materially from actual market sizes, which could result in decreased demand for our products and therefore adversely impact our future business prospects, results of operation and financial condition.

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***Our ability to contract for sufficient acreage with the appropriate nutrient profile on a cost-effective basis presents challenges.***

In order to increase revenues, we continue to need production acreage with the appropriate nutrient profile. The costs of contracting acreage have recently increased and, if this persists, we will be challenged to balance our need for planned inventory levels against our future forecasts. We cannot assure you that we will be able to obtain the acreage and nutrient profile we need in order to expand our production in a timely or cost-effective manner, or at all. Even if we are able to increase the number of acres under contract and/or to move production into new geographical locations and realize our nutrient profile targets, we may face challenges that can impede our ability to produce as much inventory as we anticipated. For example, when we move production into new geographical locations, we may find it difficult to identify growers with the expertise to grow our seed crops, and we may not have sufficient company personnel available in such new locations to provide production advice on a timely basis. Our prediction methods for identifying the right planting location may not generate the desired nutrient profile. If we are unable to secure the acreage we need at the appropriate nutrient profile to meet our planned production for the crop year, our results of operations could suffer, as could our reputation.

***If we fail to manage our future growth effectively, our business could be materially adversely affected.***

We have grown rapidly since inception and anticipate further growth. For example, our revenues from continuing operations increased from $59.1 million in 2020 to $90.9 million in 2021 to $381.2 million in 2022. This growth has and is likely to continue to place significant demands on our management, financial, operational, technological and other resources. The anticipated growth and expansion of our business and our product offerings will continue to require significant additional resources to meet our needs, which may not be available in a cost-effective manner, or at all. If we do not effectively manage our growth, we may not be able to execute on our business plan, respond to competitive pressures, take advantage of market opportunities, satisfy customer requirements or maintain high-quality product offerings, any of which could harm our business, brand, results of operations and financial condition.

***The successful commercialization of our products may face challenges from public perceptions of gene-edited products and ethical, legal, environmental, health and social concerns.***

The successful commercialization of our product candidates depends, in part, on public acceptance of gene-edited agricultural products.

Consumers may not understand the nature of our technologies or the scientific distinction between our non-transgenic gene-edited products and transgenic products of competitors. Non-transgenic gene-edited products are final products that do not contain any genes foreign to the plant species. As a result, they may transfer negative perceptions and attitudes regarding transgenic products to our products and product candidates. A lack of understanding of our technologies may also make consumers more susceptible to the influence of negative information provided by opponents of biotechnology. Some opponents of biotechnology actively seek to raise public concern about gene editing, whether transgenic or non-transgenic, by claiming that plant products developed using biotechnology are unsafe for consumption or that their use poses a risk of damage to the environment, or creates legal, social and ethical dilemmas. The commercial success of our products and product candidates may be adversely affected by such claims, even if unsubstantiated. Opponents of biotechnology have also vandalized the fields of farmers planting biotech seeds and facilities used by biotechnology companies, and any such acts of vandalism targeting the fields of our farmer partners, our field-testing sites or our research, production or other facilities could adversely affect our sales and our costs.

Negative public perceptions about gene editing can also affect the regulatory environment in the jurisdictions in which we are targeting the sale of our products and the commercialization of our product candidates. Any increase in such negative perceptions or any restrictive government regulations enacted in response could have a negative effect on our business and may delay or impair the sale of our products or the development or commercialization of our product candidates. Public pressure may also lead to increased regulation of products produced using biotechnology, further legislation regarding novel trait development technologies or administrative litigation concerning prior regulatory determinations, any of which could adversely affect our ability to sell our product or commercialize our product candidates. In addition, labeling requirements could heighten public concerns and make consumers less likely to purchase our food products containing gene-edited ingredients.

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***If our products become adulterated, misbranded, or mislabeled, we might need to recall those items and may experience product liability claims if consumers or animals are injured.***

We sell our products in the human and animal food market segments. If our products become adulterated, misbranded or mislabeled we may need to recall such products. A widespread product recall could result in significant losses due to the costs of a recall, the destruction of product inventory, and lost sales due to the unavailability of product for a period of time. We could also suffer losses from a significant product liability judgment against us. A significant product recall or product liability case or judgment against us could also result in adverse publicity, damage to our reputation, and a loss of consumer or purchaser confidence in our products, which could have an adverse effect on our business, results of operations and financial condition and the value of our brands.

***Products that we develop, and food containing our products, may fail to meet standards established by third-party non-GMO verification organizations, which could reduce the value of our products to customers.***

Certain third-party organizations offer verification programs that seek to identify non-GMO products to consumers. These organizations verify the status of products (such as foods, beverages and vitamins) as non-GMO based on independently developed standards, and often authorize the display of specific markers or labels illustrating such status on the verified product's packaging. Standards established by such third-party organizations for the verification of non-GMO status may differ from applicable regulatory legal standards applied by U.S. regulators. As a result, notwithstanding a determination as to the non-regulated status of a product pursuant to the regulatory procedures of the APHIS of the USDA (or a similar determination in other jurisdictions), our products, and third-party products that utilize our gene-edited products as ingredients, may fail to meet more restrictive or non-scientific standards imposed by these independent verification organizations, which could result in reduced sales of such products and have an adverse effect on our revenues.

***If we are sued for defective products and if such lawsuits were determined adversely, we could be subject to substantial damages, for which insurance coverage is not available.***

We may be held liable if any product we develop, or any product that uses or incorporates any of our technologies, is found unsuitable for use or consumption during marketing, sale, or consumption of our products. For example, the detection of an unintended trait in a commercial seed variety or the crops and products produced may result in governmental actions such as mandated crop destruction, product recalls or environmental cleanup or monitoring. Concerns about seed quality could also lead to additional regulations being imposed on our business, such as regulations related to testing procedures, mandatory governmental reviews of biotechnology advances, or additional regulations relating to the integrity of the food supply chain from the farm to the finished product.

***We identified a material weakness in our internal control over financial reporting. If we are unable to remediate the material weakness, or if we identify additional material weaknesses in the future or otherwise fail to maintain an effective system of internal control over financial reporting, this may result in material misstatements or restatements of our consolidated financial statements or cause us to fail to meet our periodic reporting obligations.***

As a public company, we are required to provide management's attestation on internal control over financial reporting. Management may not be able to effectively and timely implement controls and procedures that adequately respond to the increased regulatory compliance and reporting requirements that apply to us as a public company. If we are not able to implement the additional requirements of Section 404(a) of the Sarbanes-Oxley Act of 2002 (the "Sarbanes-Oxley Act") in a timely manner or with adequate compliance, we may not be able to assess whether our internal control over financial reporting is effective, which may subject us to adverse regulatory consequences and could harm investor confidence and the market price of our securities.

In connection with the preparation and audit of our consolidated financial statements, a material weakness was identified in our internal control over financial reporting within the historical Fresh segment relating to the year ended December 31, 2022. A material weakness is a deficiency, or a combination of deficiencies, in internal control over financial reporting such that there is a reasonable possibility that a material misstatement of our annual or interim financial statements will not be prevented or detected on a timely basis.

We did not design or maintain an effective control environment commensurate with our financial reporting requirements. Specifically, we did not design, implement, or test transaction level or IT General Controls at the Fresh segment. These controls specifically related to transactions that originated and were recorded at the Fresh segment level. As discussed in Item 9A of this report, management expects the Fresh segment will be fully divested as of the date of the next assessment of our report on internal control over financial reporting.

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In order to maintain and improve the effectiveness of our internal control over financial reporting, we have expended, and anticipate that we will continue to expend, significant resources, including accounting-related costs and significant management oversight. Our independent registered public accounting firm is not required to formally attest to the effectiveness of its internal control over financial reporting until after we are no longer an "emerging growth company" as defined in Section 2(a)(19) of the Securities Act, as modified by the Jumpstart Our Business Startups Act of 2012 (the "JOBS Act"). At such time, our independent registered public accounting firm may issue a report that is adverse in the event it is not satisfied with the level at which our internal control over financial reporting is documented, designed, or operating. Any failure to maintain effective disclosure controls and internal control over financial reporting could adversely affect our business and operating results and could cause a decline in the price of our securities.

***Our risk management strategies may not be effective.***

Our business includes contracting with farmers to plant and harvest our proprietary seeds. While our proprietary seeds are not commodities, we purchase crops using a commodity base price. Therefore, we can be affected by fluctuations in agricultural commodity prices. Also, our business is affected by fluctuations in agricultural commodity prices to the extent we purchase commodity seeds for processing at our processing facilities. The legacy, non-proprietary commodity processing business of our Creston, Iowa and Seymour, Indiana facilities further exposes us to commodity-based price fluctuations. From time to time, we engage in hedging transactions to manage risks associated with the fluctuation of commodity prices. Continued commodity volatility is expected and our commodity hedging activities may not sufficiently offset this volatility.

Entering into hedging transactions or utilizing other hedging techniques may not always be possible, our exposures may not always be fully hedged, and our hedging strategies may not be successful in mitigating our exposure to the financial risks presented by fluctuations in agricultural commodity prices. In addition, the use of hedging transactions involves certain risks, including the risk of an imperfect correlation between the risk sought to be hedged and the hedging transaction used, the possibility that our counterparty fails to honor its obligations, and the risk that we are unable to close out or unwind a hedging transaction on terms that are favorable to us, if at all. While we have implemented risk management policies, practices, and procedures to mitigate potential losses, they may not in all cases be successful in anticipating significant risk exposures and mitigating losses that have the potential to impair our financial position. Although we may enter into hedging transactions to seek to reduce the risks associated with fluctuations in agricultural commodity prices, we cannot make assurances that such hedging transactions will adequately protect us against these risks, and they may instead result in a poorer overall performance than if we had not engaged in such hedging transactions.

***We depend on key management personnel and attracting, training and retaining other qualified personnel, and our business could be harmed if we lose key management personnel or cannot attract, train and retain other qualified personnel.***

Our success and future growth depend largely upon the technical skills and continued service of our executive officers as well as other key employees. These executives and key employees have been primarily responsible for determining the strategic direction of the business and executing our growth strategy and are integral to our brand, culture and reputation with distributors and others in the industry. From time to time, there may be changes in our executive management team or other key employees resulting from the hiring or departure of these personnel. The loss of one or more executive officers or the failure by the executive team to effectively work with employees and lead the company could harm our business.

Additionally, the majority of our personnel is involved in research, development and regulatory activities and competition for these highly skilled employees is intense. Our business is therefore dependent on our ability to recruit, train and retain a highly skilled and educated workforce with expertise in a range of disciplines, including biology, biochemistry, plant genetics, agronomics, mathematics, agribusiness, and other subjects relevant to our operations. If we are unable to hire and retain skilled and highly educated personnel, it could limit our growth and hinder our research and development efforts. There can be no assurance that we will be successful in attracting or retaining such personnel and the failure to do so could have a material adverse effect on our business, results of operations and financial condition.

Further, our success depends in part upon our ability to attract, train and retain a sufficient number of employees who understand and appreciate our culture and can represent our brand effectively and establish credibility with our business partners and consumers. We believe a critical component of our success has been our company culture and long-standing core values. We have invested substantial time and resources in building our team. If we are unable to hire and retain employees capable of meeting our business needs and expectations, or if we fail to preserve our company culture among a larger number of employees dispersed in various geographic regions as we continue to grow and develop the infrastructure associated with being a more mature public company, our business and brand image may be impaired. Any failure to meet our staffing needs or any

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material increase in turnover rates of our employees may adversely affect our business, results of operations and financial condition.

***Our management has limited experience in operating a public company.***

Our executive officers have limited experience in the management of a publicly traded company. Our management team may not successfully or effectively manage our transition to a public company, which has and will continue to subject us to significant regulatory oversight and reporting obligations under federal securities laws. Their limited experience in dealing with increasingly complex laws pertaining to public companies could be a significant disadvantage in that it is likely that an increasing amount of their time may be devoted to these activities which will result in less time being devoted to the management and growth of our company. We may not have adequate personnel with the appropriate level of knowledge, experience, and training in the accounting policies, practices or internal controls over financial reporting required of public companies. The development and implementation of the standards and controls necessary for us to achieve the level of accounting standards required of a public company may require costs greater than expected. It is possible that we will be required to expand our employee base and hire additional employees to support our operations as a public company, which would increase our operating costs in future periods.

***We incur increased costs as a result of operating as a public company, and our management devotes substantial time to new compliance initiatives.***

As a public company, we incur significant legal, accounting and other expenses that we did not incur as a private company, and these expenses may increase even more after we are no longer an "emerging growth company," as defined in Section 2(a)(19) of the Securities Act. As a public company, we are subject to the reporting requirements of the Exchange Act, the Sarbanes-Oxley Act, the Dodd-Frank Wall Street Reform and Consumer Protection Act, as well as rules adopted, and to be adopted, by the SEC and the NYSE. Our management and other personnel will devote a substantial amount of time to these compliance initiatives. Moreover, these rules and regulations have substantially increased our legal and financial compliance costs and made some activities more time-consuming and costly. The increased costs contribute to our net loss. For example, these rules and regulations make it more difficult and more expensive to obtain director and officer liability insurance, compared to when we were a private company, and we may be forced to accept reduced policy limits or incur substantially higher costs to maintain the same or similar coverage. We cannot predict or estimate the amount or timing of any additional costs we may incur to respond to these requirements. The impact of these requirements could also make it more difficult for us to attract and retain qualified persons to serve on our board of directors, our board committees or as executive officers.

***Cybersecurity vulnerabilities, threats and more sophisticated and targeted computer crimes could pose a risk to our systems, networks, products and data.***

Increased global cybersecurity vulnerabilities, threats, computer viruses and more sophisticated and targeted cyber-related attacks (such as the recent increasing use of "ransomware" and phishing attacks), as well as cybersecurity failures resulting from human error, catastrophic events (such as fires, floods, hurricanes and tornadoes), and technological errors, pose a risk to our systems, networks, products and data as well as potentially to our employees', customers', partners', suppliers' and third-party service providers' systems and data. An attack could result in security breaches, theft, lost or corrupted data, misappropriation of sensitive, confidential or personal data or information, loss of trade secrets, other intellectual property and commercially valuable information, production downtimes and operational disruptions. The financial and/or operational impact from such threats could negatively impact our business.

***We rely on information technology systems and any inadequacy, failure, interruption or security breaches of those systems may harm our ability to effectively operate our business.***

We are dependent on various information technology systems, including, but not limited to, networks, applications and outsourced services in connection with the current and planned operation of our business. A failure of these information technology systems to perform as anticipated could cause our business to suffer. In addition, our information technology systems may be vulnerable to damage or interruption from circumstances beyond our control, including fire, natural disasters, systems failures, viruses and security breaches. Any such damage or interruption could negatively impact our business.

***Our business activities are currently conducted at a limited number of locations, which makes us susceptible to damage or business disruptions caused by natural disasters or acts of vandalism.***

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Our current headquarters and research and development facilities, which include an office, laboratories, greenhouses, field testing acreage and a demonstration test kitchen, are primarily located in St. Louis, Missouri. In addition, we acquired an established food grade white flake and soy flour manufacturing operation in Creston, Iowa in December 2021, and a soy crushing facility in Seymour, Indiana in September 2021, and in October 2021, we opened our Crop Accelerator, a state-of-the-art, controlled environment research facility located near our St. Louis headquarters. Our seed production, field-testing and production and research take place primarily in the U.S., with concentration in certain geographic regions. Third party warehousing for seed storage, and our limited number of processing partners (e.g., storage, transportation, crushers and refiners) are predominantly located in the U.S. We take precautions to safeguard our facilities, including through insurance coverage and by implementing health and safety protocols, however our insurance may not cover certain losses or our losses may exceed our coverage limits. A natural disaster, such as a hurricane, drought, fire, flood, tornado, earthquake, or other intentional or negligent acts, including acts of vandalism, could damage or destroy our equipment, inventory, development projects, field trials or data, and cause us to incur significant additional expenses to repair or replace the damaged physical facilities, which in the case of seed production may be the result of years of development work that is not easily or quickly reproduced, and could lengthen the development schedule for our pipeline of product candidates.

***Disruptions in the worldwide economy may adversely affect our business, results of operations and financial condition.***

The global economy can be negatively impacted by a variety of factors such as the spread or fear of spread of contagious diseases (such as the recent COVID-19 pandemic) in locations where our products are sold, man-made or natural disasters, actual or threatened war (such as the current conflict in Ukraine), terrorist activity, political unrest, civil strife, adverse developments impacting financial institutions, and other geopolitical uncertainty. Such adverse and uncertain economic conditions may impact distributor, retailer, food service and consumer demand for our products. In addition, our ability to manage normal commercial relationships with our suppliers, co-manufacturers, distributors, retailers, restaurant and food service customers and consumers and creditors may suffer. Consumers may shift purchases to lower-priced or other perceived value offerings during economic downturns as a result of various factors, including job losses, inflation, higher taxes, reduced access to credit, change in federal economic policy and recent international trade disputes. In particular, consumers may reduce the amount of plant-based food products that they purchase where there are conventional animal-based protein offerings, which generally have lower retail prices. In addition, consumers may choose to purchase private label products rather than branded products because they are generally less expensive. A decrease in consumer discretionary spending may also result in consumers reducing the frequency and amount spent on food prepared away from home. Distributors, retailers and food service customers may become more conservative in response to these conditions and seek to reduce their inventories. Our results of operations depend upon, among other things, our ability to maintain and increase sales volume with our existing distributors, retailer and food service customers, our ability to attract new consumers, the financial condition of our consumers and our ability to provide products that appeal to consumers at the right price. Decreases in demand for our products without a corresponding decrease in costs would put downward pressure on margins and would negatively impact our financial results. Prolonged unfavorable economic conditions or uncertainty may have an adverse effect on our sales and profitability and may result in consumers making long-lasting changes to their discretionary spending behavior on a more permanent basis. In addition, adverse developments that affect financial institutions, transactional counterparties, or other companies in the financial services industry or the financial services industry generally, or concerns or rumors about any events of these kinds or other similar risks, have in the past and may in the future lead to market-wide liquidity problems, which could have material adverse impacts on our business, financial condition, or results of operations.

***The divestiture of our Fresh business and related assets presents risks and challenges that could negatively impact our business, financial condition and results of operations. There is no assurance that we will realize any of the anticipated benefits of the divestiture consistent with our expectations.***

Management's strategic focus on global opportunities across our ingredients business led to the decision to divest the Fresh business and related assets in a two-part transaction pursuant to the Purchase and Sale Agreement and the Stock Purchase Agreement. The transactions contemplated under the Purchase and Sale Agreement closed on December 29, 2022, and the transactions contemplated under the Stock Purchase Agreement are expected to close on June 30, 2023. The divestiture of the Fresh business presents ongoing risks and challenges that could negatively impact our business, financial condition and the results of operations. For example, we may be unable to satisfy the conditions to the consummation of the transactions contemplated under the Stock Purchase Agreement in a timely manner, or at all. If this were to occur, we could be unable to consummate the pending transactions under the Stock Purchase Agreement pertaining to the Fresh assets remaining to be sold, or otherwise complete the divestiture in a manner consistent with our expectations. In addition, the divestiture of the Fresh business has and will continue to present risks relating to the availability and use of proceeds that we have and expect to realize as a result of the divestiture of the Fresh business in light of contractual restrictions under the Stock Purchase Agreement and the Purchase and Sale Agreements, as well as under the instruments governing our existing debt facilities. We may also encounter challenges relating to the separation of operations, products, services or personnel, and as a result of any future liabilities we may retain after completing the divestiture of the Fresh business. Any difficulties that we face in connection with completing the divestiture of the Fresh business may result in management's attention being diverted from our continuing

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business operations. The occurrence of any of the foregoing could result in significant harm to our business and financial conditions, and our results of operations could be materially adversely affected as a result.

***To the extent we pursue strategic acquisitions, divestitures or joint ventures, we might experience operating difficulties and other consequences that may harm our business, financial condition, and operating results, and we may not be able to successfully consummate favorable transactions or successfully integrate acquired businesses.***

We may pursue acquisitions or investments that we believe will help us achieve our strategic objectives. However, we may not be able to find other acquisition candidates in the future, and even if we do, we may not be able to complete acquisitions on favorable terms, if at all, and any such candidates may not be suitable for our business. If we do complete acquisitions, we may not ultimately achieve our goals or realize the anticipated benefits. The pursuit of such acquisitions could divert management time and focus from operation of our then-existing business and any integration process will require significant time and resources, which we may not be able to manage successfully. In addition, any acquisitions we complete could be viewed negatively by our customers or consumers and cause decreases in customer loyalty or product orders, which could negatively impact our financial condition. An acquisition, investment or other transaction, such as the acquisition of the Creston, Iowa and Seymour, Indiana facilities, for example, may also result in unforeseen operating difficulties and expenditures by disrupting our ongoing operations, subjecting us to additional liabilities (both known and unknown) and increasing our expenses, any of which could have an adverse effect on our business, financial condition and operating results. Moreover, the anticipated benefits of any acquisition, investment or business relationship may not be realized if, for example, we fail to retain and develop the acquired workforce, fail to integrate financial reporting systems, fail to manage the effects of unknown contingent liabilities, or are otherwise unable to successfully integrate the acquired business into our company. To pay for any such acquisitions, we would have to use cash, incur debt, or issue equity securities, each of which may affect our financial condition or the value of our securities and could result in dilution to our stockholders. If we incur more debt it would result in increased fixed obligations and could also subject us to covenants or other restrictions that would impede our ability to manage our operations. The integration of an acquired business, whether or not successful, requires significant efforts which may result in additional expenses and divert the attention of our management and technical personnel from other projects, which could disrupt our business and harm our business, financial condition and results of operations.

***The extent to which the COVID-19 pandemic and resulting deterioration of worldwide economic conditions adversely impact our business, financial condition, and operating results will depend on future developments, which are difficult to predict.***

In response to the COVID-19 pandemic and in accordance with governmental orders, we have also modified our business practices and implemented proactive measures to protect the health and safety of employees, including restricting employee travel, requiring, at times, remote work arrangements for non-laboratory employees, implementing social distancing, and enhanced sanitary measures in our headquarters, and cancelling attendance at events and conferences. Many of the suppliers, vendors, and service providers on whom we rely have made similar modifications. To date, with the exception of us modifying our physical business practices, including lower travel, and delays in the receipt of certain laboratory supplies and the performance of related services, we have not experienced a material impact on business operations from the effects of COVID-19. There is no certainty measures implemented by government authorities will be sufficient to mitigate the risks posed by, or the impacts and disruptions of, the COVID-19 pandemic.

As a result of the COVID-19 pandemic and government actions to contain it, related volatility in the financial markets and deterioration of national and global economic conditions, we could experience material adverse operational and financial impacts, including:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• overall lower expenditures by potential commercial partners as a result of challenging economic circumstances arising from the COVID-19 pandemic;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• interruptions or delays in seed production or grain sales resulting from supply chain disruptions, including as a result of restrictions or disruptions to transportation or operational disruptions at warehousing, storage, crushing and/or refining facilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• overall reduced operational productivity resulting from challenges associated with remote work arrangements, limited resources available to our employees (particularly with respect to our business development employees for whom in-person access to our customers and customer prospects has been significantly limited) and increased cybersecurity risks as a result of remote access to our information systems; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• constraints on financing opportunities resulting from dislocations in the capital markets, which may make it too costly or difficult for us to pursue public or private equity or debt financings on acceptable terms.

The resumption of normal business operations after interruptions caused by COVID-19 may be delayed or constrained by lingering effects of COVID-19 on us or our suppliers, third-party service providers, counterparties in collaboration arrangement or licenses, or customers. Even after the COVID-19 outbreak has subsided, we may experience material and adverse impacts on

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our business, operating results, and financial condition as a result of the global economic impact of COVID-19 outbreak, including any recession that has occurred or may occur in the future.

The impact of COVID-19 may also exacerbate other risks discussed in this *"Risk Factors"* section, any of which could have a material effect on us. This situation is changing rapidly, and additional impacts may arise that we are not aware of currently.

<u>Risks Relating to Our Industry</u>

***The overall agricultural industry is susceptible to commodity price changes and we are exposed to market risks from changes in commodity prices.***

Conditions in the U.S. agricultural industry significantly impact our operating results. Changes in the prices of commodity products could result in higher overall costs along the agricultural supply chain, which may negatively affect our ability to commercialize our products. We are susceptible to changes in costs in the agricultural industry as a result of factors beyond our control, such as general economic conditions, seasonal fluctuations, weather conditions, demand, food safety concerns, product recalls and government regulations. As a result, we may not be able to anticipate or react to changing costs by adjusting our practices, which could cause our operating results to deteriorate.

***Adverse weather conditions, natural disasters, crop disease, pests and other natural conditions can impose significant costs and losses on our business.***

The ability to grow our products is vulnerable to adverse weather conditions, including windstorms, floods, drought and temperature extremes, the effects of which may be influenced and intensified by ongoing global climate change. Unfavorable growing conditions can reduce both crop size and crop quality. In extreme cases, entire harvests may be lost in some geographic areas. Such adverse conditions can result in harvesting delays or loss of crops for farmers and cause us to be delayed, or to fail entirely, in delivering product to customers, resulting in loss of revenue. Furthermore, significant fluctuations in market prices for agricultural inputs and crops could also have an adverse effect on the prices of our products.

The ability to grow our products is also vulnerable to crop disease and to pests, which may vary in severity and effect, depending on the stage of production at the time of infection or infestation, the type of treatment applied, climatic conditions and the risks associated with ongoing global climate change. The costs to control disease and infestations vary depending on the severity of the damage and the extent of the plantings affected. Moreover, there can be no assurance that available technologies to remedy or control such diseases and infestations will continue to be effective. These diseases and infestations can also increase costs, decrease revenues and lead to additional changes to earnings, which may have a material adverse effect on our business, financial position and results of operations.

<u>Risks Relating to Regulatory and Legal Matters</u>

***The regulatory environment in the United States for our current and future products is uncertain and evolving.***

Changes in applicable regulatory requirements could result in a substantial increase in the time and costs associated with developing our products and negatively impact our operating results. While the USDA and the FDA currently have petition processes that we have successfully completed in the past, these processes and the manner in which the USDA and the FDA interpret their own regulations may change in the future, negatively impacting our speed to market and cost to launch product candidates. We cannot predict whether advocacy groups will challenge existing regulations and USDA or FDA determinations or whether the USDA or the FDA will alter the manner in which it interprets its own regulations or institutes new regulations, or otherwise modifies regulations in a way that will subject our products to more burdensome standards, thereby substantially increasing the time and costs associated with developing our product candidates.

***The regulatory environment outside the United States varies greatly from jurisdiction to jurisdiction and there is less certainty how our products will be regulated.***

The regulatory environment around gene editing in plants for food ingredients is greatly uncertain outside of the U.S. and varies greatly from jurisdiction to jurisdiction. Each jurisdiction may have its own regulatory framework regarding genetically modified foods, which may include restrictions and regulations on planting and growing genetically modified plants and in the consumption and labeling of genetically modified foods that could apply to our products. To the extent regulatory frameworks outside of the U.S. are not receptive to our gene editing technologies, our ability to expand internationally may be limited.

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Complying with the regulatory requirements outside the U.S. will be costly and time-consuming, and there is no guarantee we will be able to commercialize our products outside of the U.S.

We cannot predict whether or when any jurisdiction will change its regulations with respect to our products. Advocacy groups have engaged in publicity campaigns and filed lawsuits in various countries against companies and regulatory authorities, seeking to halt regulatory approval or clearance activities or influence public opinion against genetically engineered and/or gene-edited products. In addition, governmental reaction to negative publicity concerning our products could result in greater regulation of genetic research and derivative products or regulatory costs that render our products cost prohibitive.

The scale of the commodity food and agricultural industry may make it difficult to monitor and control the distribution of our products. As a result, our products may be sold inadvertently within jurisdictions where they are not approved for distribution. Such sales may lead to regulatory challenges or lawsuits against us, which could result in significant expenses and management attention.

***Government policies and regulations, particularly those affecting the agricultural sector and related industries, could adversely affect our operations and profitability.***

Agricultural production and trade flows are subject to government policies and regulations. Governmental policies and approvals of technologies affecting the agricultural industry, such as taxes, tariffs, duties, subsidies, incentives and import and export restrictions on agricultural commodities and commodity products can influence the planting of certain crops, the location and size of crop production, and the volume and types of imports and exports. In addition, as we grow our business, we may be required to secure additional permits and licenses. For example, we are required to obtain a seed permit from each state in which we sell seed and, as we expand into additional states, we will be required to acquire seed permits in those additional states. In addition, future government policies in the U.S. or in other countries may discourage our customers from using our products or encourage the use of products more advantageous to our competitors, which would put us at a commercial disadvantage and could negatively impact our future revenues and results of operations.

***We are subject to numerous environmental, health and safety laws and regulations relating to our use of biological materials and our food production operations. Compliance with such laws and regulations could be time consuming and costly.***

We are subject to numerous federal, state, local and foreign environmental, health and safety laws and regulations, including those governing laboratory procedures, the handling, use, storage, treatment, manufacture and disposal of hazardous materials and wastes, discharge of pollutants into the environment and human health and safety matters. Our research and development processes involve the controlled use of hazardous materials, including biological materials. We may be sued for any injury or contamination that results from our use or the use by third parties of these materials, or may otherwise be required to remediate such contamination, and our liability may exceed any insurance coverage and our total assets. Compliance with environmental, health and safety laws and regulations may be expensive and may impair our research and development efforts. If we fail to comply with these requirements, we could incur substantial costs and liabilities, including civil or criminal fines and penalties, clean-up costs or capital expenditures for control equipment or operational changes necessary to achieve and maintain compliance. In addition, we cannot predict the impact on our business of new or amended environmental, health and safety laws or regulations or any changes in the way existing and future laws and regulations are interpreted and enforced. These current or future laws and regulations may impair our research, development or production efforts or result in increased expense of compliance.

We are also subject to the food safety regulations of the jurisdictions where our facilities are located and our products are distributed, and failure to comply with such food safety regulations can result in substantial fines and penalties. Specifically, we are subject to the FSMA, which enhances the FDA's ability to regulate the growing, harvesting, manufacturing, processing, labeling, packaging, distributing and marketing of food in the U.S. The FDA has been active in implementing the requirements of the FSMA by issuing regulations to reduce the risk of contamination in food manufacturing. These regulations affect our daily operations, particularly those of our newly acquired Creston, Iowa and Seymour, Indiana facilities, and in order to remain in compliance with these regulations we may be required to modify our operations, purchase new equipment or make capital improvements. Any such modifications, improvements, fines or penalties could have an adverse effect on our business, financial condition and results of operations.

***Litigation or legal proceedings could expose us to significant liabilities and have a negative impact on our reputation or business.***

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From time to time, we may be a party to various claims and litigation proceedings. We evaluate these claims and litigation proceedings to assess the likelihood of unfavorable outcomes and to estimate, if possible, the amount of potential losses. Based on these assessments and estimates, we may establish reserves, as appropriate. These assessments and estimates are based on the information available to management at the time and involve a significant amount of management judgment. Actual outcomes or losses may differ materially from our assessments and estimates. We are not currently party to any material litigation. Even when not merited, the defense of these lawsuits may divert management's attention, and we may incur significant expenses in defending these lawsuits. The results of litigation and other legal proceedings are inherently uncertain, and adverse judgments or settlements in some of these legal disputes may result in adverse monetary damages, penalties or injunctive relief against us, which could negatively impact our financial position, cash flows or results of operations. Any claims or litigation, even if fully indemnified or insured, could damage our reputation and make it more difficult to compete effectively or to obtain adequate insurance in the future.

Furthermore, while we maintain insurance for certain potential liabilities, such insurance does not cover all types and amounts of potential liabilities and is subject to various exclusions as well as caps on amounts recoverable. Even if we believe a claim is covered by insurance, insurers may dispute our entitlement to recovery for a variety of potential reasons, which may affect the timing and, if the insurers prevail, the amount of our recovery.

***Our ability to use net operating loss carryforwards and other tax attributes may be limited in connection with the Merger or other ownership changes.***

We have incurred losses during our history and do not expect to become profitable in the near future and may never achieve profitability. To the extent that we continue to generate taxable losses, unused losses will carry forward to offset future taxable income, if any, until such unused losses expire, if at all. As of December 31, 2022, we had U.S. federal net operating loss carryforwards of approximately $276.6 million.

Under the Tax Cuts and Jobs Act (the "Tax Act"), as modified by the Coronavirus Aid, Relief, and Economic Security Act (the "CARES Act"), U.S. federal net operating loss carryforwards generated in taxable periods beginning after December 31, 2017, may be carried forward indefinitely, but the deductibility of such net operating loss carryforwards in taxable years beginning after December 31, 2020, is limited to 80% of taxable income. The extent to which states conform to the Tax Act or the CARES Act varies.

In addition, our net operating loss carryforwards are subject to review and possible adjustment by the U.S. Internal Revenue Service, and state tax authorities. Under Sections 382 and 383 of the Internal Revenue Code of 1986, as amended (the "Code"), our federal net operating loss carryforwards and other tax attributes may become subject to an annual limitation in the event of certain cumulative changes in our ownership. An "ownership change" pursuant to Section 382 of the Code generally occurs if one or more stockholders or groups of stockholders who own at least 5% of a company's stock increase their ownership by more than 50 percentage points over their lowest ownership percentage within a rolling three-year period. Our ability to utilize our net operating loss carryforwards and other tax attributes to offset future taxable income or tax liabilities may be limited as a result of ownership changes, including potential changes in connection with the business combination or other transactions. Similar rules may apply under state tax laws. If we earn taxable income, such limitations could result in increased future income tax liability to us and our future cash flows could be adversely affected. We have recorded a valuation allowance related to our net operating loss carryforwards and other deferred tax assets due to the uncertainty of the ultimate realization of the future benefits of those assets.

<u>Risks Relating to Intellectual Property</u>

***Patents and patent applications involve highly complex legal and factual questions, which, if determined adversely to us, could negatively impact our competitive position.***

The patent positions of biotechnology companies and other actors in our fields of business can be highly uncertain and involve complex scientific, legal and factual analyses. The interpretation and breadth of claims allowed in some patents covering biological compositions may be uncertain and difficult to determine and are often affected materially by the facts and circumstances that pertain to the patented compositions and the related patent claims. The issuance and scope of patents cannot be predicted with certainty. Patents, if issued, may be challenged, invalidated, narrowed or circumvented. Challenges to our or our licensors' patents and patent applications, if successful, may result in the denial of our or our licensors' patent applications or the loss or reduction in their scope. In addition, defending against such challenges may be costly and involve the diversion of significant management time. Accordingly, rights under any of our patents may not provide us with enough protection against

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competitive products or processes and any loss, denial or reduction in scope of any of such patents and patent applications may have a material adverse effect on our business.

Even if not challenged, our patents and patent applications may not adequately protect our product candidates or technology or prevent others from designing their products or technology to avoid being covered by our patent claims. If the breadth or strength of protection provided by the patents we own or license is threatened, it could dissuade companies from partnering with us to develop, and could threaten our ability to successfully commercialize, our product candidates.

If we fail to obtain and maintain patent protection and trade secret protection of our product candidates and technology, we could lose our competitive advantage and competition we face would increase, reducing any potential revenues and have a material adverse effect on our business.

***We will not seek to protect our intellectual property rights in all jurisdictions throughout the world and we may not be able to adequately enforce our intellectual property rights even in the jurisdictions where we seek protection.***

Filing, prosecuting and defending patents in all countries and jurisdictions throughout the world would be prohibitively expensive. Patent prosecution must be sought on a country-by-country basis, which is an expensive and time-consuming process with uncertain outcomes. Our intellectual property rights in some countries outside the U.S. could be less extensive than those in the U.S., assuming that rights are obtained in the U.S. In addition, the laws of some foreign countries do not protect intellectual property rights to the same extent as federal and state laws in the U.S. Consequently, we may not be able to prevent third parties from practicing our inventions in all countries outside the U.S., or from selling or importing products made using our inventions in and into the U.S. or other jurisdictions.

Competitors may use our technologies in jurisdictions where we or our licensors do not pursue and obtain patent protection. Further, competition may export otherwise infringing products to territories where we or our licensors have patent protection, but where the ability to enforce those patent rights is not as strong as in the U.S. These products may compete with our products and our intellectual property rights and such rights may not be effective or enough to prevent such competition.

In addition, changes in, or different interpretations of, patent laws in the U.S. and other countries may permit others to use our discoveries or to develop and commercialize our technology and products without providing any notice or compensation to us or may limit the scope of patent protection that we or our licensors are able to obtain. The laws of some countries do not protect intellectual property rights to the same extent as U.S. laws and those countries may lack adequate rules and procedures for defending our intellectual property rights.

Furthermore, proceedings to enforce our patent rights and other intellectual property rights in foreign jurisdictions could result in substantial costs and divert our efforts and attention from other aspects of our business, could put our patents at risk of being invalidated or interpreted narrowly, could put our or our licensors' patent applications at risk of not issuing and could provoke third parties to assert claims against us. We may not prevail in any lawsuits that we initiate, and the damages or other remedies awarded to us, if any, may not be commercially meaningful, while the damages and other remedies we may be ordered to pay to such third parties may be significant. Accordingly, our efforts to enforce our intellectual property rights around the world may be inadequate to obtain a significant commercial advantage from the intellectual property that we develop or license.

***Third parties may assert rights to inventions we develop or otherwise regard as our own.***

Third parties may in the future make claims challenging the inventorship or ownership of our or our licensors' intellectual property. We may face claims by third parties that our agreements with employees, contractors, or consultants obligating them to assign intellectual property to us are ineffective or are in conflict with prior or competing contractual obligations of assignment. Litigation may be necessary to resolve an ownership dispute, and if we are not successful, we may be precluded from using certain intellectual property and associated products and technology or may lose our rights in that intellectual property.

***We may be unsuccessful in developing, licensing or acquiring intellectual property that may be required to develop and commercialize our product candidates.***

Our programs may involve additional product candidates that may require the use of intellectual property or proprietary rights held by third parties; the growth of our business may depend in part on our ability to acquire, in-license or use these intellectual property and proprietary rights.

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However, we may be unable to acquire or in-license any third-party intellectual property or proprietary rights that may be key to development. Even if we can acquire or in-license such rights, we may be unable to do so on commercially reasonable terms. The licensing and acquisition of third-party intellectual property and proprietary rights is a competitive area, and several more established companies are also pursuing strategies to license or acquire third-party intellectual property and proprietary rights that we may consider attractive or necessary. These established companies may have a competitive advantage over us due to their size, capital resources and agricultural development and commercialization capabilities.

In addition, companies that perceive us to be a competitor may be unwilling to assign or license intellectual property and proprietary rights to us. We also may be unable to license or acquire third-party intellectual property and proprietary rights on terms that would allow us to make an appropriate return on our investment, or at all. If we are unable to successfully acquire or in-license rights to required third-party intellectual property and proprietary rights or maintain the existing intellectual property and proprietary rights we have, we may have to cease development of the relevant program, product or product candidate, which could have a material adverse effect on our business.

<u>Risks Relating to Outstanding Warrants</u>

***The Company's outstanding warrants are exercisable for common stock, which would increase the number of shares eligible for future resale in the public market and result in dilution to stockholders.***

The outstanding Private Placement Warrants and Public Warrants to purchase an aggregate of 16.6 million shares of our common stock are exercisable as of January 8, 2023. Each such warrant entitles the holder thereof to purchase one share of common stock at a price of $11.50 per whole share, subject to adjustment. These warrants may be exercised only for a whole number of shares of common stock. In addition, the Company issued additional private warrants in connection with the issuance of certain notes payable in February 2020 and December 2021, and in connection with a private placement that was completed in March 2022 (see Note 15 to the audited consolidated financial statements under the headings "*Notes Payable Warrants,*" "*Convertible Notes Payable Warrants*" *and "PIPE Investment Warrants"*). To the extent such warrants are exercised, additional shares of common stock will be issued, which will result in dilution to the then existing holders of common stock and increase the number of shares eligible for resale in the public market. Sales of substantial numbers of such shares in the public market could adversely affect the market price of our common stock.

***We may amend the terms of the Public Warrants in a manner that may be adverse to holders of Public Warrants with the approval by the holders of at least 65% of the then-outstanding Public Warrants. As a result, the exercise price of the Public Warrants could be increased, the exercise period could be shortened and the number of shares of common stock purchasable upon exercise of a Public Warrant could be decreased, all without your approval.***

The Private Placement Warrants and the Public Warrants were issued in registered form under a warrant agreement (the "Warrant Agreement") between us and Continental Stock Transfer & Trust Company, as warrant agent. The Warrant Agreement provides that the terms of the Private Placement Warrants and the Public Warrants may be amended without the consent of any holder to cure any ambiguity or correct any defective provision, but requires the approval by the holders of at least 65% of the then-outstanding Public Warrants to make any change that adversely affects the interests of the registered holders of the Public Warrants. Accordingly, we may amend the terms of the Public Warrants in a manner adverse to a holder if holders of at least 65% of the then-outstanding Public Warrants approve of such amendment.

Although our ability to amend the terms of the Public Warrants with the consent of at least 65% of the then-outstanding Public Warrants is unlimited, examples of such amendments could be amendments to, among other things, increase the exercise price of the Public Warrants, convert the Public Warrants into cash or stock, shorten the exercise period or decrease the number of shares of common stock purchasable upon exercise of a Public Warrant.

***We may redeem unexpired Public Warrants prior to their exercise at a time that is disadvantageous to you, thereby making the Public Warrants worthless.***

We have the ability to redeem outstanding Public Warrants at any time after they become exercisable and prior to their expiration, at a price of $0.01 per warrant, provided that the last reported sales price of common stock equals or exceeds $18.00 per share (as adjusted for stock splits, stock dividends, reorganizations, recapitalizations and the like) for any twenty (20) trading days within a thirty (30) trading-day period commencing once the Public Warrants become exercisable and ending on the third trading day prior to the date on which we give proper notice of such redemption and provided certain other conditions are met. If and when the Public Warrants become redeemable by us, we may not exercise our redemption right if the issuance of shares of common stock upon exercise of the Public Warrants is not exempt from registration or qualification under applicable

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state blue sky laws or we are unable to effect such registration or qualification. We will use our best efforts to register or qualify such shares of common stock under the blue sky laws of the state of residence in those states in which the Public Warrants were offered. Redemption of the outstanding Public Warrants could force warrantholders (i) to exercise their Public Warrants and pay the exercise price therefore at a time when it may be disadvantageous to do so, (ii) to sell their Public Warrants at the then-current market price when a warrantholder might otherwise wish to hold its Public Warrants or (iii) to accept the nominal redemption price which, at the time the outstanding Public Warrants are called for redemption, is likely to be substantially less than the market value of the Public Warrants. The Public Warrants are currently listed on the NYSE under the symbol "BHIL WS."

***Holders of our warrants will have no rights as a common stockholder until such holders exercise their warrants and acquire our common stock.***

Until a warrant holder acquires shares of common stock upon exercise of their warrants, they will have no rights with respect to the shares of our common stock underlying such warrants. Upon exercise of their warrants, they will be entitled to exercise the rights of a common stockholder only as to matters for which the record date occurs after the exercise date.

<u>Risks Relating to our Current Financings</u>

***We are subject to numerous affirmative and negative covenants with respect to certain debt financings. The covenants may impede our ability to execute our business plan or to secure additional debt financing, and, if breached, may adversely affect our business, results of operations and financial condition.***

*Risks Relating to Avenue Capital Loan*

On December 29, 2021 we and certain of our subsidiaries (collectively, the "Borrowers"), entered into a Loan and Security Agreement (the "Loan Agreement") with Avenue Capital Management II, L.P. (the "Agent"), as administrative agent and collateral agent for several funds managed by the Agent (the "Lenders"), pursuant to which the Lenders loaned to the Borrowers the aggregate sum of $80 million and committed to loan to the Borrowers an additional aggregate sum of $100 million (the "Avenue Capital Loan").

The Avenue Capital Loan is secured by a first lien security interest granted by the Borrowers to the Lenders in collateral consisting of all of each Borrower's right, title and interest in all receivables, equipment, fixtures, general intangibles, inventory, investment property, deposit accounts, shares, goods, records, and other personal property of the Borrowers, and any proceeds of each of the foregoing, subject to certain specified limitations.

The Loan Agreement and other documentation entered into by the Borrowers in connection with the Avenue Capital Loan contain numerous affirmative and negative covenants on the part of the Borrowers in favor of the Agent and the Lenders. If we breach these covenants, the Agent may declare all amounts immediately due and payable and exercise its rights with respect to the security for those loans.

Among the affirmative covenants are a covenant on the part of the Borrowers to maintain at all times a "remaining months liquidity" for a period of time as provided in the Loan Agreement. Among the negative covenants are covenants requiring the Borrowers to obtain the Agent's and/or the Lenders' consent, subject to certain specified exceptions, prior to undertaking certain actions, including to: enter into a new business line; liquidate or dissolve, enter into any change of control transaction, or acquire another entity; sell, transfer, lease or license any assets other than in the ordinary course of business; make any loans, guarantees, advances or investments; prepay any indebtedness; repay any subordinated indebtedness; pay or declare dividends; take on any new indebtedness; create or incur any new liens; enter into any new personal property lease with an aggregate value of more than $1.5 million annually; make material changes to our insurance policies; or give material discounts, credits or rebates on an existing right to receive payment. These covenants may impede our ability to execute our business plan in the most efficient and effective manner.

If the Avenue Capital Loan covenants are breached, we plan to attempt to secure a waiver of those covenants or an amendment that modifies the covenants, but there are no assurances that we will be able to comply with our future covenants without such a waiver or amendment, or that we will be successful in obtaining a waiver or an amendment.

*Our stockholders may experience dilution as a result of the Avenue Capital Loan*

At any time after six months from the initial closing of the Avenue Capital Loan and before the 42-month anniversary of the initial closing of the Avenue Capital Loan, up to $20 million of the principal amount of the Loan then outstanding may be converted (at a Lender's option) into shares of our common stock (the "Conversion Option"), as further discussed in Note 14 to the audited consolidated financial statements under the heading "*Convertible Notes Payable*."

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As additional consideration for the Avenue Capital Loan, the Lenders received warrants (the "Convertible Notes Payable Warrants") exercisable or exchangeable (at a Lender's option) for shares of our common stock, as further discussed in Note 15 to the audited consolidated financial statements under the heading "*Convertible Notes Payable Warrants*."

The exercise of the Conversion Option and/or the exercise of the Convertible Notes Payable Warrants could result in dilution for our existing stockholders.

*Risks Relating to First National Bank of Omaha Loan*

The operations of our wholly-owned subsidiary, Dakota Dry Bean Inc. ("DDB"), have been funded in part through a term loan from First National Bank of Omaha ("FNBO") and a revolving line of credit provided by FNBO (the "FNBO Loans"). The FNBO Loans are secured by a limited guaranty from us. The FNBO Loans are also secured by a first lien security interest granted by DDB to FNBO in collateral consisting of all of DDB's right, title and interest in all DDB personal property assets and any proceeds of such assets, and by first priority mortgages of all of DDB's right, title and interest in all DDB owned real property assets and improvements thereon.

The FNBO Loans require DDB to comply with financial covenants, for which DDB will likely require financial support from us to remain in compliance. The FNBO Loans also require us to maintain a minimum cash balance. If DDB or we breach any of these FNBO Loan covenants, FNBO may declare all amounts immediately due and payable and exercise its rights with respect to the security for those debt financings.

If the FNBO Loan covenants are breached, we plan to attempt to secure a waiver of those covenants or an amendment that modifies the covenants, but there are no assurances that we will be able to comply with our future covenants without such a waiver or amendment, or that we will be successful in obtaining a waiver or an amendment.

<u>Additional Risks Relating to Ownership of Our Securities</u>

***We qualify as an "emerging growth company" within the meaning of the Securities Act, and if we take advantage of certain exemptions from disclosure requirements available to emerging growth companies, it could make our securities less attractive to investors and may make it more difficult to compare our performance to the performance of other public companies.***

We qualify as an "emerging growth company" as defined in Section 2(a)(19) of the Securities Act. As such, we are eligible for and intend to take advantage of certain exemptions from various reporting requirements applicable to other public companies that are not emerging growth companies for as long as we continue to be an emerging growth company, including, but not limited to, (a) not being required to comply with the auditor attestation requirements of Section 404 of the Sarbanes-Oxley Act, (b) reduced disclosure obligations regarding executive compensation in our periodic reports and proxy statements and (c) exemptions from the requirements of holding a nonbinding advisory vote on executive compensation and stockholder approval of any golden parachute payments not previously approved. As a result, our stockholders may not have access to certain information they may deem important. We will remain an emerging growth company until the earliest of (a) December 31, 2026, (b) the last date of our fiscal year in which we have total annual gross revenue of at least $1.235 billion, (c) the date on which we are deemed to be a "large accelerated filer" under the rules of the SEC with at least $700.0 million of outstanding securities held by non-affiliates or (d) the date on which we have issued more than $1.0 billion in non-convertible debt securities during the previous three years. Investors may find our securities less attractive because we will rely on these exemptions. If some investors find our securities less attractive as a result of our reliance on these exemptions, the trading prices of our securities may be lower than they otherwise would be, there may be a less active trading market for our securities and the trading prices of our securities may be more volatile.

Further, Section 102(b)(1) of the JOBS Act exempts emerging growth companies from being required to comply with new or revised financial accounting standards until private companies (that is, those that have not had a Securities Act registration statement declared effective or do not have a class of securities registered under the Exchange Act) are required to comply with the new or revised financial accounting standards. The JOBS Act provides that a company can elect to opt out of the extended transition period and comply with the requirements that apply to non-emerging growth companies but any such election to opt out is irrevocable. We have elected not to opt out of such extended transition period, which means that when a standard is issued or revised and it has different application dates for public or private companies, we, as an emerging growth company, can adopt the new or revised standard at the time private companies adopt the new or revised standard. This may make comparison of our financial statements with another public company which is neither an emerging growth company nor an emerging growth company which has opted out of using the extended transition period difficult or impossible because of the potential differences in accounting standards used.

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***The NYSE may delist our securities from trading on its exchange, which could limit investors' ability to make transactions in our securities and subject us to additional trading restrictions.***

In order to continue listing our securities on the NYSE, we will be required to maintain certain financial, distribution and stock price levels. Generally, we will be required to maintain a minimum market capitalization (generally $50,000,000), a minimum number of holders of our securities (generally 400 holders), and a minimum average closing price for our common stock (generally at least $1.00).

If the NYSE delists our securities from trading on its exchange and we are not able to list our securities on another national securities exchange, we expect our securities could be quoted on an over-the-counter market. If this were to occur, we could face significant material adverse consequences, including:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a limited availability of market quotations for our securities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• reduced liquidity for our securities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a determination that our common stock is a "penny stock" which will require brokers trading in our common stock to adhere to more stringent rules and possibly result in a reduced level of trading activity in the secondary trading market for our securities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a limited amount of news and analyst coverage; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a decreased ability to issue additional securities or obtain additional financing in the future.

***Almost all of the Company's outstanding warrants are accounted for as liabilities and the changes in value of the warrants could have a material effect on our financial results.***

On April 12, 2021, the Acting Director of the Division of Corporation Finance and Acting Chief Accountant of the SEC together issued a statement regarding the accounting and reporting considerations for warrants issued by special purpose acquisition companies entitled "Staff Statement on Accounting and Reporting Considerations for Warrants Issued by Special Purpose Acquisition Companies ('SPACs')" (the "SEC Statement"). Specifically, the SEC Statement focused on certain settlement terms and provisions related to certain tender offers following a business combination, which terms are similar to those contained in the Warrant Agreement.

As a result of the SEC Statement, we reevaluated the accounting treatment of our warrants outstanding at the time, and determined to classify the warrants as derivative liabilities measured at fair value, with changes in fair value each period reported in earnings. Accounting Standards Codification 815, Derivatives and Hedging, provides for the remeasurement of the fair value of such derivatives at each balance sheet date, with a resulting non-cash gain or loss related to the change in the fair value being recognized in earnings in the statement of operations. Our consolidated financial statements and results of operations may fluctuate quarterly, as a result of the recurring fair value measurement of our outstanding warrants, based on factors which are outside of our control. Due to the recurring fair value measurement, we may recognize non-cash gains or losses on our outstanding warrants each reporting period and that the amount of such gains or losses could be material. The impact of changes in fair value on earnings may have an adverse effect on the market price of our securities.

***Because there are no current plans to pay cash dividends on our common stock for the foreseeable future, you may not receive any return on investment unless you sell your common stock for a price greater than that which you paid for it.***

We intend to retain future earnings, if any, for future operations, expansion and debt repayment and there are no current plans to pay any cash dividends for the foreseeable future. The declaration, amount and payment of any future dividends on shares of our common stock will be at the sole discretion of our board of directors. Our board of directors may take into account general and economic conditions, our financial condition and results of operations, our available cash and current and anticipated cash needs, capital requirements, contractual, legal, tax, and regulatory restrictions, implications on the payment of dividends by us to our stockholders or by our subsidiaries to us and such other factors as our board of directors may deem relevant. In addition, our ability to pay dividends is limited by covenants of our existing and outstanding indebtedness and may be limited by covenants of any future indebtedness we incur. As a result, you may not receive any return on an investment in our common stock unless you sell our common stock for a price greater than that which you paid for it.

***If securities analysts do not publish research or reports about our business or if they downgrade our common stock or our sector, our common stock price and its trading volume could decline.***

The trading market for our common stock relies in part on the research and reports that industry or financial analysts publish about us or our business. We do not control these analysts. In addition, some financial analysts may have limited expertise with our model and operations. Furthermore, if one or more of the analysts who do cover our business downgrade our common stock or industry, or the stock of any of our competitors, or publish inaccurate or unfavorable research about our business, the price of

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our common stock could decline. If one or more of these analysts ceases coverage of us or fails to publish reports on it regularly, we could lose visibility in the market, which in turn could cause our stock price or trading volume to decline.

***Future sales, or the perception of future sales, by us or our stockholders in the public market could cause the market price of our common stock to decline, and any issuance of additional common stock, or securities convertible into common stock, could dilute common stockholders. We may issue additional common stock, or securities convertible into common stock, pursuant to our shelf registration statement (including our at-the-market facility), upon exercise of outstanding warrants, for additional financing purposes, in connection with strategic transactions such as acquisitions or collaboration agreements, or otherwise, any of which could result in dilution to existing stockholders.***

The sale of shares of our common stock in the public market, or the perception that such sales could occur, could harm the prevailing market price of shares of our common stock. These sales, or the possibility that these sales may occur, also might make it more difficult for us to sell equity securities in the future at a time and at a price that we deem appropriate.

Shares of our common stock held by certain other of our stockholders are eligible for resale, subject to volume, manner of sale and other limitations under Rule 144 under the Securities Act ("Rule 144"). By exercising their registration rights and selling a large number of shares, these stockholders could cause the prevailing market price of our common stock to decline.

As restrictions on resale end or if these stockholders exercise their registration rights, the market price of shares of our common stock could drop significantly if the holders of these shares sell them or are perceived by the market as intending to sell them. These factors could also make it more difficult for us to raise additional funds through future offerings of shares of our common stock or other securities.

In addition, the shares of our common stock reserved for future issuance under our equity incentive plans will become eligible for sale in the public market once those shares are issued, subject to provisions relating to various vesting agreements, lock-up agreements and, in some cases, limitations on volume and manner of sale applicable to affiliates under Rule 144, as applicable. We have filed registration statements on Form S-8 under the Securities Act to register shares of our common stock issuable pursuant to our equity incentive plan and our employee stock purchase plan, and may in the future file one or more additional registration statements on FormS-8 for the same or similar purposes. Any such Form S-8 registration statements will automatically become effective upon filing. Accordingly, shares registered under such registration statements will be available for sale in the open market.

We have the ability to sell up to $400 million of additional shares of our common stock, or securities convertible into common stock, to the public through our shelf registration statement, including $100 million through our at-the-market facility. We currently intend to use our shelf registration statement (which may include our at-the-market facility), or alternative equity financing, to raise up to $100 million to supplement our projected cash needs. Any sales under our shelf registration statement are likely to result in dilution to our existing stockholders, and other types of equity financing may also result in dilution to our existing stockholders. Although we may obtain additional financing through non-dilutive means, we may be unable to do so. In the future, we may also issue our securities in connection with investments or acquisitions. The amount of shares of our common stock issued in connection with an investment or acquisition could constitute a material portion of our then-outstanding shares of common stock. Any issuance of additional securities may result in additional dilution to our stockholders.

***Anti-takeover provisions in our organizational documents could delay or prevent a change of control.***

Certain provisions of our second amended and restated certificate of incorporation and amended and restated bylaws have an anti-takeover effect and may delay, defer or prevent a merger, acquisition, tender offer, takeover attempt or other change of control transaction that a stockholder might consider in its best interest, including those attempts that might result in premium over the market price for the shares held by our stockholders.

These provisions, among other things:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• authorize our board of directors to issue new series of preferred stock without stockholder approval and create, subject to applicable law, a series of preferred stock with preferential rights to dividends or our assets upon liquidation, or with superior voting rights to our existing common stock;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• eliminate the ability of stockholders to fill vacancies on our board of directors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• establish advance notice requirements for nominations for election to our board of directors or for proposing matters that can be acted upon by stockholders at our annual stockholder meetings;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• permit our board of directors to establish the number of directors, provided that the board must consist of at least five and no more than fifteen directors;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• provide that our board of directors is expressly authorized to make, alter or repeal our amended and restated bylaws;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• require, prior to the third anniversary of the closing of the Merger, the affirmative vote of at least 66 2∕3% of the voting power of the outstanding shares of capital stock entitled to vote thereon, voting together as a single class, to amend our amended and restated bylaws and specific provisions of our second amended and restated certificate of incorporation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• limit the jurisdictions in which certain stockholder litigation may be brought.

As a Delaware corporation, we are subject to the anti-takeover provisions of Section 203 of the Delaware General Corporation Law (the "DGCL"), which prohibits a Delaware corporation from engaging in a business combination specified in the statute with an interested stockholder (as defined in the statute) for a period of three years after the date of the transaction in which the person first becomes an interested stockholder, unless the business combination is approved in advance by a majority of the independent directors or by the holders of at least two-thirds of the outstanding disinterested shares. The application of Section 203 of the DGCL could also have the effect of delaying or preventing a change of control of our company.

These anti-takeover provisions could make it more difficult for a third-party to acquire us, even if the third-party's offer may be considered beneficial by many of our stockholders. As a result, our stockholders may be limited in their ability to obtain a premium for their shares. These provisions could also discourage proxy contests and make it more difficult for you and other stockholders to elect directors of your choosing and to cause us to take other corporate actions you desire.

***Our second amended and restated certificate of incorporation designates the Court of Chancery of the State of Delaware as the sole and exclusive forum for certain types of actions and proceedings that may be initiated by our stockholders, which could limit our stockholders' ability to obtain a favorable judicial forum for disputes with us or our directors, officers, employees or stockholders.***

**Item 1B. Unresolved Staff Comments**

None.

**Item 2. Properties**

Our executive offices, which are leased, are located at 1001 North Warson Road, Saint Louis, Missouri 63132, and our telephone number is (314) 222-8218. In addition, we have principal plants and facilities at the following locations:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• St. Louis, Missouri (Crop Accelerator, a leased controlled environmental research facility)

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• St. Louis, Missouri (leased greenhouse, warehouse, office and research and development facilities)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Creston, Iowa (an owned soy flour manufacturing facility)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Bondurant, Iowa (a leased processing, warehouse, distribution, and research and development facility)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Seymour, Indiana (an owned soybean processing facility on leased land)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Minot, North Dakota (a leased research and development facility)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Crary, North Dakota (an owned yellow pea processing facility)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Devils Lake, North Dakota (an owned yellow pea processing facility)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Lansford, North Dakota (an owned yellow pea distribution facility)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Grand Forks, North Dakota (a leased office facility).

In addition to the properties identified above, we own or operate regional offices, seed production, field testing, distribution facilities, farmland, and other related properties. We believe that our facilities are sufficient to meet our current needs and that suitable additional space will be available as and when needed.

**Item 3. Legal Proceedings**

We are not a party to any material litigation or other material legal proceedings. From time to time, we may be subject to legal proceedings and claims in the ordinary course of our business.

**Item 4. Mine Safety Disclosures**

Not applicable.

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**Part II**

**Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities**

**Market Information**

Our common stock is traded on the New York Stock Exchange under the symbol "BHIL." Our Public Warrants are traded on the New York Stock Exchange under the symbol "BHIL WS."

**Holders**

As of March 14, 2023, there were 247 holders of record of our shares of common stock. The actual number of stockholders of our common stock is greater than this number of record holders and includes stockholders who are beneficial owners of our securities whose shares are held in the names of various security brokers, dealers, and registered clearing agencies.

**Dividends**

Holders of our common stock are entitled to receive dividends when they are declared by our board of directors. We have not paid any cash dividends on our common stock to date and do not intend to pay cash dividends in the foreseeable future, retaining future earnings, if any, for future operations, expansion and debt repayment. The payment of cash dividends in the future will be dependent upon our revenues and earnings, if any, capital requirements and general financial conditions. In addition, our board of directors is not currently contemplating and does not anticipate declaring any stock dividends in the foreseeable future.

**Recent Sales of Unregistered Equity Securities**

None.

**Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations**

The following discussion and analysis should be read in conjunction with the Consolidated Financial Statements, the information described under the caption "*Risk Factors*" in Part 1, Item 1A of this report and our Cautionary Note Regarding Forward-Looking Statements at the outset of this report.

**Overview**

Benson Hill is a food technology company on a mission to lead the pace of innovation in food. We have a vision to build a healthier and happier world by unlocking the natural genetic diversity of plants with the leading technology platform, CropOS<sup>®</sup>. Starting with consumer demand, we leverage CropOS and advanced breeding techniques to design food that's better from the beginning: more nutritious, more flavorful, and more accessible, while enabling efficient production and delivering novel sustainability benefits to food and feed customers. We are headquartered in St. Louis, Missouri, where the majority of our research and development activities are managed. We operate a soy crushing and food-grade white flake and soy flour manufacturing operation in Creston, Iowa, a soy crushing facility in Seymour, Indiana, and we process dry peas in North Dakota, which we sell throughout North America.

We have an integrated go-to-market approach, leveraging the existing parts of the supply chain to create efficiencies and a feedback loop between consumers, farmers, and seed developers that has been lacking across the siloed agri-food value chain. We are working to design products with the consumer in mind, contract with farmers to grow and buy back the harvest, preserve the product identity through manufacturing, and ultimately sell food and ingredients directly to food companies, retailers, and others. We believe this integration and control of the product throughout the entire supply chain will enable us to link data to outcomes in our CropOS platform to fuel the next generation of products. Additionally, we believe this product information linkage will work to optimize environmental and social impacts, as well as traceability throughout the supply chain.

We believe that our commitment to environmental and social issues impacting our planet and our purpose-driven culture are fundamental to our ability to achieve our mission. Environmental, Social and Governance ("ESG") principles help guide our thinking and approach throughout the development and commercialization of our products, and our innovative culture is rooted in our Core Values of *Be Bold*, *Be Inspired* and *Be Real*. We believe our leading technology platform, vertically integrated go-to-market strategy, and purpose-driven culture will help bridge the divide between evolving consumer preferences and quality

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traits already present within the genetic diversity of plants We see nature as our partner; technology as our enabler; and innovators like our company, our stakeholders, our stockholders and our partners as the catalysts to activate the change needed.

We partner with farmers, ingredient companies, and plant-based food and feed customers to commercialize our proprietary innovations in soybean, and in the near future yellow pea, for broad market applications in human food ingredients, edible oils, pet food and aquafeed. In particular, our Ultra-High Protein ("UHP") soy-based ingredients have the potential to eliminate costly water- and energy-intensive ingredient processing steps associated with producing soy protein concentrate ("SPC") products for the food and feed markets, which can alleviate supply constraints in North America and elsewhere. Our proprietary portfolio includes soy flake, soy grits, soy meal and soy flour for established food markets such as snacks, baked goods and meat extensions, and a functional alternative to traditional SPC for plant-based protein alternatives to meat, dairy, and other emerging categories.

**Merger with Star Peak Corp II**

On September 29, 2021 (the "Closing Date"), Star Peak Corp II ("STPC"), a special purpose acquisition company, consummated a merger (the "Closing") pursuant to that certain Agreement and Plan of Merger, dated May 8, 2021 (the "Merger Agreement"), by and among STPC, STPC Merger Sub Corp., a Delaware corporation and wholly-owned subsidiary of STPC ("Merger Sub"), and Benson Hill, Inc., a Delaware corporation ("Legacy Benson Hill"). Pursuant to the terms of the Merger Agreement, a business combination between STPC and Legacy Benson Hill was effected through the merger of Merger Sub with and into Legacy Benson Hill, with Legacy Benson Hill surviving the transaction as a wholly-owned subsidiary of STPC (the "Merger"). On the Closing Date, STPC changed its name to Benson Hill, Inc. and Legacy Benson Hill changed its name to Benson Hill Holdings, Inc.

As a consequence of the Merger, we became the successor to a company registered with the Securities and Exchange Commission (the "SEC") and listed on the New York Stock Exchange (the "NYSE"). Accordingly, we were and are required to hire additional personnel and implement procedures and processes to address public company regulatory requirements and customary practices. We expect to incur additional annual expenses as a public company for, among other things, directors' and officers' liability insurance, director fees, additional internal and external accounting fees, including audit fees and costs associated with readiness to comply with provisions of the Sarbanes-Oxley Act, legal and administrative resources, including increased external legal fees. We are classified as an "emerging growth company," as defined in Section 2(a)(19) of the Securities Act of 1933, as amended (the "Securities Act") as modified by the Jumpstart Our Business Startups Act of 2012 (the "JOBS Act"). As a result, we are provided certain disclosure and regulatory relief, provided by the SEC, as an "emerging growth company."

**COVID-19**

In response to the COVID-19 pandemic and in accordance with governmental orders, we have also modified our business practices and implemented proactive measures to protect the health and safety of employees, including limiting employee travel, requiring, at times, remote work arrangements for non-laboratory employees, implementing social distancing, and enhanced sanitary measures in our headquarters, and cancelling attendance at events and conferences. Many of the suppliers, vendors, and service providers on whom we rely have made similar modifications. To date, with the exception of us modifying our physical business practices, including lower travel, and delays in the receipt of certain laboratory supplies and the performance of related services, we have not experienced a material impact on business operations from the effects of COVID-19.

**Divestiture of J&J Produce, Inc.**

On December 29, 2022, we entered into a Stock Purchase Agreement to sell J&J Produce, Inc. ("J&J") and all of the outstanding equity securities of J&J's subsidiaries for aggregate cash consideration of $3.0 million, subject to certain adjustments. J&J was the main component of the Fresh segment. The closing of the transactions contemplated by the Stock Purchase Agreement is scheduled to occur on June 30, 2023, or such other date as is mutually agreed by the parties. In connection with the Stock Purchase Agreement, on December 29, 2022, J&J entered into a Purchase and Sale Agreement, pursuant to which J&J sold certain real and personal property comprising an agricultural production and processing facility located in Vero Beach, Florida for an aggregate purchase price of $18.0 million, subject to certain adjustments. Certain property was leased back to J&J pursuant to a separate agricultural and facility lease for a short period of time. Our strategic shift to exit the Fresh segment met the criteria to be classified as businesses held for sale and to be presented as a discontinued operation. As a result of the divestiture of the Fresh segment, we incurred an impairment charge of $11.6 million and loss on sale of $10.2 million for the year ended December 31, 2022. Refer to *[Footnote 4 - Discontinued Operations](#i437deb9913be4f4a8711fb195a433029_885)* for further details on the divestiture of the Fresh segment.

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**Collaboration Agreement with ADM**

On August 5, 2022, we entered into an exclusive collaboration and marketing rights agreement (the "Collaboration Agreement") with Archer-Daniels-Midland Company ("ADM") to collaborate on an exclusive basis in the commercialization of certain high-protein soy ingredients for the human food and nutrition market in North America based on certain of our proprietary commercial soybean seed genetics ("Proprietary Soy Genetics"). Pursuant to the terms of the Collaboration Agreement, we have agreed to collaborate with ADM to engage soybean growers in certain parts of the United States to source production and supply of grain grown from Proprietary Soy Genetics ("Proprietary Soy Grain") for processing by ADM into soy protein ingredients. We received an upfront cash payment, and expect to receive annual technology access fees and value sharing payments on all soy protein ingredients sold by ADM that are processed from the Proprietary Soy Grain supplied by us, and we are eligible to receive milestone payments upon achievement of certain objectives. Unless earlier terminated, the Collaboration Agreement will remain in effect until December 31, 2027, or until December 31, 2030 if extended pursuant to its terms. See the Current Report on Form 8-K filed with the SEC on August 8, 2022 for additional information.

**PIPE Investment**

On March 24, 2022, we entered into definitive subscription agreements with certain investors providing for the private placement of an aggregate of 26,150 units at a price of $3.25 per unit, for an aggregate purchase price of approximately $85.0 million (the "PIPE Investment"). Each unit consists of one share of our common stock and a warrant to purchase one-third of one share of our common stock. In connection with the PIPE Investment, we incurred transactions costs of $4.2 million. The net proceeds of $80.8 million provided us with additional liquidity to fund the business.

**Key Components of Statement of Operations**

<u>Revenue</u>

We generate revenue from product sales and commissions earned on product sales to consumer product companies, ingredient suppliers, feed companies and other customers. In addition, from time to time we engage in collaborative arrangements for joint operating activities.

Product sales consist primarily of sales of soybean grain, soybean oil, soybean meal, soybean flakes and soybean flour and texturized flour, sales of processed yellow pea and sales of seed.

The Company uses exchange-traded futures to manage price risk of fluctuating prices related to forecasted sales of soybean oil and soybean meal with the gains and losses on these instruments recorded in revenue. All of the Company's soybean oil and soybean meal futures have not been designated as hedging instruments, and as such, changes in fair value of these derivatives are recognized in earnings immediately.

See *[Note 2 — Summary of Significant Accounting Policies](#i437deb9913be4f4a8711fb195a433029_100)* in the notes to the audited consolidated financial statements for additional information on our revenue recognition.

<u>Cost of Sales</u>

Our cost of sales includes all costs incurred to purchase, process and provide the product or services to our customers. For harvested produce farmed by us, this includes the direct cost of land preparation, seed, planting, growing, maintenance, packaging and distribution of product sales. For produce we purchase from growers in non-exclusive arrangements and, hence, do not farm, this cost includes the acquisition, warehousing, packaging and distribution of the purchased inventory.

The cost of sales on processed yellow pea, soybean grain, soybean oil, soybean meal, soybean flakes and soybean flour includes the cost of the crop, inclusive of the grower contracting premiums, as well as the crush, refining and transportation costs necessary to prepare the product for sale.

The Company uses exchange-traded futures to manage price risk of fluctuating prices related to forecasted purchases of soybeans with the gains and losses on these instruments recorded in cost of sales. All of the Company's soybean futures have not been designated as hedging instruments, and as such, changes in fair value of these derivatives are recognized in earnings immediately.

<u>Research and Development</u>

Research and Development expenses consist of the costs of performing activities to discover and develop products and to advance our intellectual property. These costs consist primarily of employee-related expenses for personnel who research and develop our products, fees for contractors who support product development and breeding activities, expenses for trait

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validation, greenhouse and field trial expenses, purchasing material and supplies for our laboratories, licensing, information technology expenses, and other costs associated with operating our own laboratories.

<u>Selling, General and Administrative Expenses</u>

Selling, general and administrative expenses ("SG&A") consist of employee-related expenses for selling our products, and costs related to business development to commercialize our product offerings along with our executive, legal, intellectual property, finance and human resources functions. SG&A expenses also include facility and information technology expenses not otherwise allocated to research and development or cost of sales, professional fees for auditing, tax and legal services, expenses associated with maintaining patents, and consulting costs.

<u>Total Other (Income) Expense, Net</u>

Total other expense (income), net consists primarily of interest expense per the terms of our various financing obligations, amortization of debt discount and commitment fees, remeasurements of our warrant liability and interest related to finance leases as reduced by interest earned on cash and marketable securities.

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**Results from Continuing Operations**

The following discussion and analysis of our Consolidated Statements of Operations should be read along with our audited consolidated financial statements included in this Annual Report on Form 10-K. Unless otherwise indicated, all financial data in this Annual Report on Form 10-K refer to continuing operations only. For more information on the consolidated basis of preparation, see Note 2 to our audited consolidated financial statements in this Annual Report on Form 10-K. For a discussion and analysis of the year ended December 31, 2021, compared to the same period in 2020, please refer to Management's Discussion and Analysis of Financial Condition and Results of Operations included in Part II, Item 7 of our Annual Report on Form 10-K for the year ended December 31, 2021, filed with the SEC on March 28, 2022.

**2022 Compared to 2021**

The following table shows the amounts from our consolidated statements of operations for the periods presented:

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| | | |
|:---|:---|:---|
| | **Year Ended December 31,** | **Year Ended December 31,** |
|<br>**(in thousands USD)** | **2022** | **2021** |
| Revenues | $381233 | $90945 |
| Cost of sales | 377706 | 96846 |
| Gross profit (loss) | 3527 | (5901) |
| Operating expenses: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Research and development | 47500 | 40574 |
| &nbsp;&nbsp;&nbsp;&nbsp;Selling, general and administrative expenses | 81034 | 71947 |
| Total operating expenses | 128534 | 112521 |
| Loss from operations | (125007) | (118422) |
| Other (income) expense: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest expense, net | 21444 | 4481 |
| &nbsp;&nbsp;&nbsp;&nbsp;Loss on extinguishment of debt |  | 11742 |
| &nbsp;&nbsp;&nbsp;&nbsp;Change in fair value of warrants | (49063) | (12127) |
| &nbsp;&nbsp;&nbsp;&nbsp;Other income, net | 2253 | (549) |
| Total other (income) expense, net | (25366) | 3547 |
| Net loss before income tax | (99641) | (121969) |
| Income tax expense | 59 | 231 |
| Net loss from continuing operations | $(99700) | $(122200) |

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---

| | | |
|:---|:---|:---|
| | **Year Ended December 31,** | **Year Ended December 31,** |
|<br>**(in thousands USD)** | **2022** | **2021** |
| Revenues |  |  |
| &nbsp;&nbsp;Proprietary | $72578 | $38043 |
| &nbsp;&nbsp;Non-proprietary | 308655 | 52902 |
| Total revenues | $381233 | $90945 |

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<u>Revenues</u>

Revenues for the year ended December 31, 2022 were $381.2 million, an increase of $290.3 million or 319%, as compared to the same period in 2021. Included within revenues are the results of exchange-traded futures used to manage the risk of fluctuating Chicago Board of Trade prices related to forecasted ingredient sales entered into in the normal course of business. These economic hedges resulted in losses of $14.0 million for the year ended December 31, 2022 and losses of $0.8 million for the same period in 2021. After accounting for all hedging activity, the year-over-year increase in revenues was primarily driven by favorable commodity pricing for non-proprietary soybean ingredient and crude oil products, as well as yellow pea ingredients, and increasing demand for proprietary non-GMO soybean food ingredients, aquafeed ingredients and high oleic oil products. A primary driver of higher sales volumes was the acquisition of our Seymour, Indiana and Creston, Iowa facilities in the third and fourth quarters of 2021, respectively, which secured ingredient manufacturing capabilities for both our proprietary and non-proprietary offerings and grew our customer base.

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<u>Gross Profit (Loss)</u>

For the year ended December 31, 2022, we reported a gross profit of $3.5 million, an increase of $9.4 million as compared to the same period in 2021. Included within gross profit in 2022 are losses of $21.6 million associated with hedging activities that were offset by physical deliveries except for $4.9 million, which are tied to future period transactions and operations that are expected to be economically offset in future periods. Included within gross profit in 2021 were losses of $0.6 million associated with hedging activities. The overall increase in profitability was driven by the enablement of the closed-loop business model, which drove proprietary and non-proprietary soy and yellow pea revenues and achievement of higher through-put capacities at the two soy facilities acquired in the prior year, as well as a profit contribution from our partnership and licensing agreement. The overall increase in gross profit was partially offset by pressures in the supply chain, as well as the previously discussed losses associated with hedging activities.

<u>Research and Development Expenses</u>

Research and development expenses for the year ended December 31, 2022 of $47.5 million increased $6.9 million as compared to the same period in 2021. The increase was primarily driven by higher payroll and related expenses, including non-cash stock-based compensation expense, increases in staffing, as well as higher technology costs and facilities expenses. Higher facility costs are primarily related to the costs associated with our Crop Accelerator facility, which opened during the fourth quarter of 2021.

<u>Selling, General and Administrative Expenses</u>

Selling, general and administrative expenses for the year ended December 31, 2022 of $81.0 million increased $9.1 million as compared to the same period in 2021. The increase was primarily driven by increased staffing and related expenses, including non-cash stock-based compensation expense, increased insurance costs as a result of expanded operations and operating as a public company, and PIPE Investment transaction costs of $0.7 million. The increase in staff and related expenses resulted from the increase in personnel necessary to support the scale of our business operations and the requirements associated with being a public company.

<u>Total Other (Income) Expense, Net</u>

Total other income, net for the year ended December 31, 2022 of $25.4 million increased $28.9 million as compared to the same period in 2021. The increase was largely due to income of $49.1 million resulting from the change in fair value of the Company's warrant and conversion option liabilities, primarily driven by the decrease in the Company's share price in the current period, as compared to income of $12.1 million in the same period in 2021. Other income also increased as compared to 2021 as a result of $11.7 million of expense for extinguishment of debt incurred in 2021, which did not reoccur in 2022. These increases in other income were partially offset by an increase in interest expense of $17.0 million, including the amortization of debt discounts and commitment assets, driven by an increase in outstanding debt as well as an increase in financing lease obligations as a result of the commencement of the Crop Accelerator facility lease in the fourth quarter of 2021.

<u>Income Tax Expense</u> 

No net income tax benefit for net operating losses incurred in the U.S. has been recorded due to uncertainty in realizing a benefit from these items. The tax expense recorded for the years ended December 31, 2022 and 2021 were immaterial. See *[Note 16 — Income Taxes](#i437deb9913be4f4a8711fb195a433029_142)* in the notes to the audited consolidated financial statements for additional information.

<u>Adjusted EBITDA</u>

Adjusted EBITDA is a non-GAAP financial measure of performance. Among other financial metrics, our management reviews results of operations based upon Adjusted EBITDA. We calculate Adjusted EBITDA as consolidated net loss from continuing operations before net interest expense, income tax provision and depreciation and amortization, further adjusted to exclude stock-based compensation, and the impact of significant non-recurring items.

We believe that Adjusted EBITDA is useful in comparing our financial performance with the performance of other companies for the following reasons:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Adjusted EBITDA is widely used by investors and securities analysts to measure a company's operating performance without regard to items such as stock-based compensation expense, depreciation and interest expense, that can vary substantially from company to company depending upon their financing and capital structures, and the method by which assets were acquired; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Adjusted EBITDA provides consistency and comparability with our past financial performance, and facilitates comparisons with other companies, many of which use similar non-GAAP financial measures to supplement their GAAP results.

Our use of Adjusted EBITDA has limitations as an analytical tool, and you should not consider this measure in isolation or as a substitute for analysis of our financial results as reported under GAAP. Some of these limitations are as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Although depreciation expense is a non-cash charge, the assets being depreciated may have to be replaced in the future, and Adjusted EBITDA does not reflect cash capital expenditure requirements for such replacements or for new capital expenditure requirements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Adjusted EBITDA excludes stock-based compensation expense, which has been, and will continue to be for the foreseeable future, a significant recurring non-cash expense for our business and an important part of our compensation strategy;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Adjusted EBITDA excludes other material non-recurring items;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Adjusted EBITDA does not reflect: (1) recurring changes in, or cash requirements for, our working capital needs; (2) interest expense, or the cash requirements necessary to service interest or principal payments on our debt, which reduces cash available to us; or (3) tax payments that may represent a reduction in cash available to us; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the expenses and other items that we exclude in our calculation of Adjusted EBITDA may differ from the expenses and other items, if any, that other companies may exclude from Adjusted EBITDA when they report their operating results.

Because of these limitations, Adjusted EBITDA should be considered along with other operating and financial performance measures presented in accordance with GAAP. Adjusted EBITDA for each of the years ended December 31, 2022 and 2021, is presented below. A reconciliation of our consolidated net loss to Adjusted EBITDA is also presented below.

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| | | |
|:---|:---|:---|
| | **Year Ended December 31,** | **Year Ended December 31,** |
|<br>**(in thousands USD)** | **2022** | **2021** |
| **Adjustments to reconcile net loss from continuing operations to Adjusted EBITDA** | **Adjustments to reconcile net loss from continuing operations to Adjusted EBITDA** | **Adjustments to reconcile net loss from continuing operations to Adjusted EBITDA** |
| Net loss from continuing operations | $(99700) | $(122200) |
| &nbsp;&nbsp;&nbsp;Interest expense, net | 21444 | 4481 |
| &nbsp;&nbsp;&nbsp;Income tax expense (benefit) | 59 | 231 |
| &nbsp;&nbsp;&nbsp;Depreciation and amortization | 20513 | 10478 |
| &nbsp;&nbsp;&nbsp;Stock-based compensation | 19520 | 7183 |
| &nbsp;&nbsp;&nbsp;Change in fair value of warrants | (49063) | (12127) |
| &nbsp;&nbsp;&nbsp;Other non-recurring costs, including acquisition costs | 5582 | 4688 |
| &nbsp;&nbsp;&nbsp;Employee retention credit |  | (1550) |
| &nbsp;&nbsp;&nbsp;Merger transaction costs |  | 11693 |
| &nbsp;&nbsp;&nbsp;Non-recurring public company readiness costs |  | 5265 |
| &nbsp;&nbsp;&nbsp;Loss on extinguishment of debt |  | 11742 |
| &nbsp;&nbsp;&nbsp;South America seed production costs |  | 2805 |
| Adjusted EBITDA | $(81645) | $(77311) |

---

Adjusted EBITDA for the year ended December 31, 2022 was a loss of $81.6 million, which represents a decrease of $4.3 million as compared to the same period in 2021. The greater loss for 2022 was impacted by losses incurred on our portfolio of derivatives of $21.6 million, $4.9 million of which is attributable to economic hedges on future transactions and operations, compared to derivative losses of $0.6 million in 2021. The derivative losses in the current period were the result of record levels of commodity pricing of soybeans and soybean-related products. The decrease was also impacted by increases in centralized operations and research and developments costs from increased staffing and related expenses as previously discussed. Excluding the impact of our derivative losses, the Adjusted EBITDA loss improved year over year. The improvement in the loss was primarily driven by higher volumes resulting from the two soy facility acquisitions in the prior year as well as an increase in pricing for both soybean (proprietary and non-proprietary) and yellow pea ingredient products.

**Liquidity and Capital Resources**

Liquidity describes our ability to access sufficient cash flows to meet the cash requirements of our business operations, including working capital needs, debt service, acquisitions, contractual obligations and other commitments. We assess liquidity

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in terms of our ability to access cash flows from operations, marketable securities and available credit facilities and their sufficiency to fund our operating, investing and financing activities. To meet our payment service obligations, we must have sufficient highly liquid assets and be able to move funds on a timely basis.

Since inception, our primary sources of liquidity have been equity and debt financings. On December 31, 2022, our liquidity was comprised of cash and marketable securities of $157.2 million and restricted cash of $17.9 million. In March 2022, we entered into subscription agreements with a number of investors for the private placement of warrants to purchase shares of our common stock that resulted in proceeds, net of issuance costs, of approximately $80.8 million. On November 10, 2022, we filed a shelf registration statement on Form S-3, which was declared effective on November 22, 2022. Under our shelf registration statement, we may offer and sell up to $400.0 million in the aggregate of our common stock, preferred stock, debt securities, warrants and units from time to time in one or more offerings. Also on November 10, 2022, we entered into a sales agreement (the "Sales Agreement") with Cowen and Company, LLC ("Cowen") pursuant to which we may issue and sell from time to time up to $100.0 million of our common stock through or to Cowen as our sales agent or principal in an at-the-market offering (the "ATM Offering"), which is included in the $400.0 million of common stock that may be offered pursuant to our shelf registration statement. Any shares of our common stock sold in the ATM Offering are to be issued pursuant to our shelf registration statement and the prospectus supplement relating to the ATM Offering dated November 22, 2022. As of December 31, 2022, we sold 69,619 shares of our common stock for gross proceeds of $211 pursuant to the ATM Offering and received net proceeds of $204. We currently intend to use our shelf registration statement (which may include the ATM Offering), or alternative equity financing, to raise up to $100 million to supplement our projected cash needs. Any sales under our shelf registration statement are likely to result in dilution to our existing stockholders, and other types of equity financing may also result in dilution to our existing stockholders. Although we may seek to obtain additional financing through non-dilutive means, we may be unable to do so.

We have multiple debt instruments (see *[Note](#i437deb9913be4f4a8711fb195a433029_133)[14 - De](#i437deb9913be4f4a8711fb195a433029_133)[bt](#i437deb9913be4f4a8711fb195a433029_133)*), including term loans, notes payable and a revolving line of credit. As of December 31, 2022, our commitments include term debt and notes payable outstanding of $106.2 million, access to a revolving credit facility of up to $6.0 million, as capped by a defined borrowing base that could result in availability that is less than this amount, and lease liabilities of $81.4 million. Certain of our debt instruments require adherence to financial covenants, including maintaining minimum liquidity and maintenance of a minimum cash balance. If we breach these covenants, the holder of the debt may declare all amounts immediately due and payable. In March 2023, we entered into a third amendment to our existing term loan credit facility, which, among other things, extended the interest-only period for six months, through the second quarter of 2024, and allowed the restricted cash to be counted towards the required minimum liquidity covenant calculation.

In addition, our commitments include capital expenditures associated with expansion of our extruding capacity to manufacture soy flour texturization ingredients, operating costs supporting the sale of products, and general administrative expenses for the organization. For the year ended December 31, 2022, we incurred a net loss from continuing operations of $99.7 million and had negative cash flows from operating activities of $93.4 million.

Our business prospects are subject to risks, expenses, and uncertainties frequently encountered by emerging growth companies, including access to capital. We have incurred significant losses since inception primarily due to investment into technology and costs associated with early-stage commercialization of products. These factors, coupled with expected capital expenditures, indicated that, without further action, our forecasted cash flows would not have been sufficient for us to meet our contractual commitments and obligations as they came due in the ordinary course of business for 12 months after the date the consolidated financial statements were issued.

Our liquidity plans and operating budget include further actions that we believe are probable of being achieved in the 12 months after the date the consolidated financial statements are issued. These actions include improving operating efficiencies by reducing certain operating costs and restructuring certain parts of our organization, exploring strategic options involving our Seymour, Indiana soy crush facility, supplementing cash needs by selling additional shares of our common stock, or securities convertible into common stock, to the public through our shelf registration statement, or obtaining alternative equity financing, and attempting to refinance our current high-cost debt with a conventional, lower cost, lending facility of up to $100 million. There are no guarantees that we will achieve any of these plans, which involve risks and uncertainties, but based on these plans and our forecast and related assumptions, we believe it is probable that we will meet our obligations as they become due in the ordinary course of business for the 12 months following the date our financial statements were issued. See *[N](#i437deb9913be4f4a8711fb195a433029_97)[o](#i437deb9913be4f4a8711fb195a433029_97)[te 1 — Description of Business](#i437deb9913be4f4a8711fb195a433029_97)* in the notes to the audited consolidated financial statements for further discussion.

To grow our business, we expect we will need to secure additional capital, which could be debt or equity financing and may lead to dilution of our common stockholders. We believe that our liquidity plans and operating budget mentioned above will supplement our future strategic growth initiatives and our longer-term capital needs. We are continuously assessing our business plans and capital structure. We may also require additional capital in the future to fund capital expenditures, acquisitions or other investments. These capital requirements could be substantial. The amount and timing of our future funding

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requirements will depend on many factors, including the success of the commercialization of certain of our products, our ability to continue to satisfy our financial covenants under our financing facilities, and the ability to repay or refinance our indebtedness as it becomes due. We could potentially use our available financial resources sooner than we currently expect. Our failure to raise capital as and when needed could have significant negative consequences for our business, financial condition and results of consolidated operations. We cannot guarantee that we will be able to meet existing financial covenants or obtain new financing on favorable terms, if at all. Our future capital requirements and the adequacy of available funds will depend on many factors, including those more fully described under the heading "*Risk Factors — Risks Relating to Our Business and Industry*" in Part I, Item 1A of this Annual Report.

**Summary of Cash Flows**

A summary of the Company's cash flows from operating, investing and financing activities is presented in the following table:

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| | | |
|:---|:---|:---|
| | **Year Ended December 31,** | **Year Ended December 31,** |
|<br>**(in thousands USD)** | **2022** | **2021** |
| **Statement of Cash Flows Data:** |  |  |
| &nbsp;&nbsp;&nbsp;Net cash used in operating activities | $(93396) | $(117750) |
| &nbsp;&nbsp;&nbsp;Net cash used in investing activities | (40246) | (154589) |
| &nbsp;&nbsp;&nbsp;Net cash provided by financing activities | 98009 | 341555 |
| &nbsp;&nbsp;&nbsp;Effect of exchange rate changes on cash | (9) | 4 |
| Net increase (decrease) in cash, cash equivalents and restricted cash | (35642) | 69220 |
| Cash, cash equivalents and restricted cash, beginning of period | 78963 | 9743 |
| **Cash, cash equivalents and restricted cash, end of period** | $43321 | $78963 |

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<u>Net Cash Used in Operating Activities</u>

On a consolidated basis, net cash flows used by operating activities were $93.4 million and $117.8 million for the year ended December 31, 2022 and 2021, respectively. The increase in cash inflows of $24.4 million for the year ended December 31, 2022 as compared to the same period in 2021 was primarily attributed to the improvement in our operating assets and liabilities of $12.7 million.

Net cash flows provided by operating activities from discontinued operations were not significant for the year ended December 31, 2022 as compared to net cash flows of $9.5 million used by operating activities for the year ended December 31, 2021. The increase in cash inflows of $9.5 million from operating activities in 2022 as compared to 2021 was primarily driven by a reduction in inventories of $5.8 million and a decrease in accounts receivables of $4.5 million in discontinued operations.

<u>Net Cash Used in Investing Activities</u>

On a consolidated basis, net cash flows used by investing activities were $40.2 million and $154.6 million for the years ended December 31, 2022 and 2021, respectively, representing a decrease in cash outflows of $114.4 million in 2022. We paid $116.3 million in connection with the acquisition of two soybean processing facilities and related assets in 2021. There were no acquisitions in 2022. An increase in net investment of $33.0 million in marketable securities was offset by net cash proceeds of $17.1 million from the divestiture of the Fresh business and a decrease in payments for property and equipment of $15.0 million for the year ended December 31, 2022 as compared to the same period in 2021.

Net cash flows provided by investing activities from discontinued operations were $7.6 million for the year ended December 31, 2022 as compared to net cash flows of $23.9 million used by investing activities for the year ended December 31, 2021. The increase in cash inflows of $31.5 million from investing activities in 2022 as compared to 2021 was attributed to the proceeds of $17.1 million from the divestiture of the Fresh segment and a decrease of $14.4 million in payments for property and equipment.

<u>Net Cash Provided by Financing Activities</u>

On a consolidated basis, net cash flows provided by financing activities were $98.0 million and $341.6 million for the years ended December 31, 2022 and 2021, respectively, representing a decrease of $243.5 million of cash inflows from financing activities. Cash inflows from the merger and equity financing activities decreased by $204.3 million and cash inflows from debt financing decreased by $40.0 million for the year ended December 31, 2022 as compared to the same period in 2021.

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Net cash flows provided by financing activities from discontinued operations were $2.8 million attributed to debt financing activities for the year ended December 31, 2022. Net cash flows used by financing activities from discontinued operations were immaterial for the year ended December 31, 2021.

**Commitments and Contingencies**

The information set forth in *Note 22* – *Commitments and Contingencies* to the accompanying Consolidated Financial Statements included in Part II, Item 8 of this report is incorporated herein by reference.

**Off-Balance Sheet Arrangements**

The Company has not entered into off-balance sheet arrangements, as defined in the rules and regulations of the SEC.

**Critical Accounting Policies and Estimates**

Our discussion and analysis of financial condition and results of operations are based upon our consolidated financial statements included elsewhere in this report. The preparation of our consolidated financial statements in accordance with GAAP requires us to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenue and expenses. We base our estimates on past experience and other assumptions that we believe are reasonable under the circumstances, and we evaluate these estimates on an ongoing basis. Actual results may differ from those estimates.

Our critical accounting policies are those that materially affect our consolidated financial statements and involve difficult, subjective or complex judgments by management. A thorough understanding of these critical accounting policies is essential when reviewing our consolidated financial statements. We believe that the critical accounting policies listed below involve the most difficult management decisions because they require the use of significant estimates and assumptions as described above.

See *Note 2 — Summary of Significant Accounting Policies* in the notes to the audited consolidated financial statements for more information.

<u>Revenue Recognition</u>

We generate revenue from product sales and commissions earned on product sales to consumer product companies, ingredient suppliers, feed companies and other customers. In addition, from time to time we engage in collaborative arrangements for joint operating activities.

Product sales consist primarily of sales of soybean grain, soybean oil, soybean meal, soybean flakes and soybean flour and texturized flour, sales of processed yellow pea and sales of seed.

*Product Sales*

We recognize revenue on product sales, consisting primarily of soybean grain, soybean oil, soybean meal, soybean flakes and soybean flour and texturized flour, processed yellow pea and seed at the point in time when obligations under the terms of a contract with the customer are satisfied. This generally occurs at the time of transfer of control of the product. In reaching this conclusion, we consider several control indicators of the timing of the transfer of control, including significant risks and rewards of ownership, physical possession, and our right to receive payment. Shipping and handling costs related to contracts with customers for product sales are accounted for as a fulfillment activity and not as a separate performance obligation to customers.

Sales, use, value-added, and other excise taxes are excluded from the measurement of the transaction price. We generally do not allow a right of return.

*Collaborative Arrangements*

The Company analyzes its collaborative arrangements to assess whether such arrangements involve joint operating activities performed by parties that are both active participants in the activities and exposed to significant risks and rewards, and therefore are within the scope of FASB ASC Topic 808, Collaborative Arrangements ("ASC 808"). These arrangements provide various types of payments to the Company, including upfront fees, funding of research and development services, usage fees and royalty payments on product sales. These payments may not commensurate with the timing of revenue recognition, and therefore, result in deferral of revenue recognition. We recognize revenue based on the amount of the transaction price that is allocated to each respective performance obligation when or as the performance obligation is satisfied.

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<u>Stock-Based Compensation</u>

Stock-based compensation expense is measured at the grant date based on the fair value of the award and is recognized over the requisite service period, which typically is the vesting period. Stock-based compensation is classified as research and development and selling, general and administrative expenses in our consolidated statements of income.

<u>Impairment of Goodwill and Intangible Assets</u>

Goodwill, arising from a business combination as the excess of purchase price and related costs over the fair value of identifiable assets acquired and liabilities assumed is not amortized and is subject to an annual impairment test as of December 1, unless events indicate an interim test is required. In performing this impairment test, management will first qualitatively assess indicators of a reporting unit's fair value. If after completing the qualitative assessment, management believes it is likely that a reporting unit is impaired, a discounted cash flow analysis is prepared to estimate the fair value of the reporting unit.

Critical estimates in the determination of the fair value of each reporting unit include, but are not limited to, future expected cash flows based on estimates of future sales volumes, sales prices, production costs, and discount rates. These estimates generally constitute unobservable Level 3 inputs under the fair value hierarchy. An adjustment to goodwill will be recorded for any goodwill that is determined to be impaired. Impairment of goodwill is measured as the excess of the carrying amount of goodwill over the fair value of the reporting unit.

Intangible assets consist primarily of customer relationships, trade names, employment agreements, technology licenses and developed and acquired technology. Intangible assets are valued based on the income approach which utilizes discounted cash flows. These estimates generally constitute Level 3 inputs under the fair value hierarchy.

In conjunction with business acquisitions, we obtain trade names, permits, enter into employment agreements, and gain access to the distribution channels and customer relationships of the acquired companies. Trade names and permits are amortized over their estimated useful life, which is generally ten years. Developed and acquired technology are amortized over their estimated useful life of 13 years to 15 years. Employment agreements are being amortized over the contractual period. Customer relationships are expected to provide us with economic benefits over the estimated life of the relationship, which is generally 15 years, and are amortized on a straight-line basis. The amortization period of customer relationships represents management's best estimate of the expected usage or consumption of the economic benefits of the acquired assets, which is based on our historical experience of customer attrition rates.

Definite lived intangible assets are reviewed for impairment, at the asset group level, whenever, in management's judgement, impairment indicators are present. At a minimum, we assess all definite lived intangible assets annually for indicators of impairment. When indicators of impairment are present, such an assessment involves estimating undiscounted cash flows over the remaining useful life of the intangible. If the review indicates that undiscounted cash flows are less than the carrying value of the intangible asset, the asset group is written down to fair value, and any impairment is assigned to the asset in the asset group in accordance with the applicable guidance, and a corresponding impairment is recognized in the consolidated statement of operations and comprehensive loss.

<u>Derivatives</u>

We have master netting agreements with our counterparties which allow for the settlement of contracts in an asset position with contracts in a liability position in the event of default or termination. Further, all of our derivative contracts are centrally cleared and therefore are cash-settled on a daily basis which results in the derivative contracts having a fair value that approximates zero on a daily basis.

The accounting for changes in the fair value (i.e., gains or losses) of a derivative instrument depends on whether it has been designated and qualifies as part of a hedging relationship and on the type of hedging relationship. All of our derivatives have not been designated as hedging instruments, and as such, changes in fair value of these derivatives are recognized in earnings immediately.

Our soybean positions are designed to hedge risk related to inventory purchases therefore the gains and losses on soybean instruments are recorded in cost of sales in the consolidated statements of operations. Our meal and oil positions are designed to hedge risk related to sales transactions therefore the gains and losses on meal and oil instruments are recorded in revenues in the consolidated statements of operations.

We classify the cash effects of our derivatives within the "Cash Flows From Operating Activities" section of the condensed consolidated statements of cash flows.

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<u>Warrant Liabilities</u>

We account for our PIPE Investment Warrants, Private Placement Warrants, Public Warrants, Notes Payable Warrants and Convertible Notes Payable Warrants as derivative warrant liabilities in accordance with ASC 815 with the exception of the Notes Payable Warrant issued in connection with the Merger which qualifies for equity treatment. Accordingly, we recognize the warrant instruments as liabilities at fair value and adjust the instruments to fair value at each reporting period. The liabilities are subject to re-measurement at each balance sheet date until exercised, and any change in fair value is recognized in the change in fair value of warrants in the consolidated statements of operations. The fair value of the Public Warrants are measured based on the closing price of the warrant traded on the NYSE. The Private Placement Warrants and Convertible Notes Payable Warrants are estimated at each measurement date using a Black-Scholes option pricing model. The PIPE Investment Warrants are estimated at each measurement date using the Monte Carlo simulation. As the Notes Payable Warrant holder has the ability to exercise the warrant at no cost into the our common stock upon expiration, we value the warrant at each measurement date based on the closing price of our common stock.

<u>Conversion Option Liability</u> 

We account for the conversion option on our convertible term loan as a derivative liability in accordance with ASC 815 and therefore recognize the conversion option at fair value and adjust the liability to fair value at each reporting period. The liability is subject to re-measurement at each balance sheet date until exercised or expired, and any change in fair value is recognized in the consolidated statements of operations. The fair value of the conversion option is measured using a Black-Scholes option pricing model.

<u>Business Combinations</u>

We allocate the purchase price of our acquisitions to the assets acquired and liabilities assumed based upon their respective fair values at the acquisition date. We utilize management estimates and an independent third-party valuation firm to assist in determining these fair values. When necessary based on the timing of an acquisition, we will utilize a benchmarking approach based on our historical acquisitions and similar industry acquisitions to determine the preliminary fair values for certain acquired assets. The excess of the acquisition price over the estimated fair value of the net assets acquired is recorded as goodwill. Goodwill is adjusted for any changes to acquisition date fair value amounts made within the measurement period. Acquisition-related transaction costs are recognized separately from the business combination and expensed as incurred.

<u>Income Tax Valuation Allowances</u>

The determination of the income tax valuation allowances requires us to use judgements and assumptions that may have a material impact on our consolidated financial statements, especially at the early stage of commercialization. We provide deferred taxes for deductible and taxable temporary differences. Deferred tax assets are reduced by a valuation allowance when we believe it is more likely than not that some portion or all the deferred tax assets will not be realized. Because we generate losses currently, a full valuation allowance is recorded against our net deferred tax assets, as we believe it is more likely than not that some portion or all the deferred tax assets will not be realized. If we were to generate cumulative profits, the valuation allowance may change.

**Emerging Growth Company**

We are an "emerging growth company" as defined in Section 2(a)(19) of the Securities Act, and have elected to take advantage of the benefits of the extended transition period for new or revised financial accounting standards. We expect to remain an emerging growth company at least through December 31, 2023 and expect to continue to take advantage of the benefits of the extended transition period, although we may decide to early adopt such new or revised accounting standards to the extent permitted by such standards. We expect to use this extended transition period for complying with new or revised accounting standards that have different effective dates for public and non-public companies until the earlier of the date we (i) are no longer an emerging growth company or (ii) affirmatively and irrevocably opt out of the extended transition period provided in the Jumpstart Our Business Startups Act of 2012 ("JOBS Act"). This may make it difficult or impossible to compare our financial results with the financial results of another public company that is either not an emerging growth company or is an emerging growth company that has chosen not to take advantage of the extended transition period exemptions because of the potential differences in accounting standards used.

In addition, we intend to rely on the other exemptions and reduced reporting requirements provided by the JOBS Act. Subject to certain conditions set forth in the JOBS Act, if, as an emerging growth company, we intend to rely on such exemptions, we are not required to, among other things: (a) provide an auditor's attestation report on our system of internal control over financial reporting pursuant to Section 404(b) of the Sarbanes-Oxley Act; (b) provide all of the compensation disclosure that may be

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required of non-emerging growth public companies under the Dodd-Frank Wall Street Reform and Consumer Protection Act; (c) comply with any requirement that may be adopted by the Public Company Accounting Oversight Board regarding mandatory audit firm rotation or a supplement to the auditor's report providing additional information about the audit and the financial statements (auditor discussion and analysis); and (d) disclose certain executive compensation-related items such as the correlation between executive compensation and performance and comparisons of the Chief Executive Officer's compensation to median employee compensation.

We will remain an emerging growth company under the JOBS Act until the earliest of (a) December 31, 2026, (b) the last date of our fiscal year in which we have total annual gross revenue of at least $1.235 billion, (c) the date on which we are deemed to be a "large accelerated filer" under the rules of the SEC with at least $700.0 million of outstanding securities held by non-affiliates or (d) the date on which we have issued more than $1.0 billion in non-convertible debt securities during the previous three years.

**Recent Accounting Guidance**

From time to time, new accounting pronouncements are issued by the FASB or other standard setting bodies that are adopted by the Company as of the specified effective date. Unless otherwise discussed, the Company believes that the impact of recently issued standards that are not yet effective will not have a material impact on the Company's financial position or results of operations under adoption. See *Note 2 — Summary of Significant Accounting Policies* in the notes to the audited consolidated financial statements for more information about recent accounting pronouncements, the timing of their adoption and the Company's assessment, to the extent the Company has made one, of their potential impact on the Company's financial condition and results of operations.

**Item 7A. Quantitative and Qualitative Disclosures About Market Risk**

Market risk represents the risk of loss that may impact our financial position because of adverse changes in financial market prices and rates. Our market risk exposure is primarily a result of exposure resulting from potential changes in inflation, exchange rates or interest rates. We do not hold financial instruments for trading purposes.

<u>Commodity Price Risk</u>

Although our proprietary soybeans and soybean products are not commodities, we purchase crops using a commodity base price and therefore we may be affected by fluctuations in agricultural commodity prices. Further, our business is affected by fluctuations in agricultural commodity prices to the extent we purchase commodity soybeans for processing at our processing facilities. From time to time, we engage in hedging transactions to manage risks associated with the fluctuation of commodity prices however our commodity hedging activities may not sufficiently offset the volatility.

<u>Interest Rate Risk</u>

Interest rate risk is the risk that the value or yield of fixed-income investments may decline if interest rates change. Fluctuations in interest rates may impact the level of interest expense recorded on outstanding borrowings. In addition, our notes payable, financing obligations bear interest at a fixed base rate plus a floating rate pegged to an index and are not publicly traded. Therefore, fair value of our notes payable, financing obligations and interest expense is not materially affected by changes in the market interest rates. We do not enter into derivative financial instruments, including interest rate swaps, for hedging or speculative purposes.

<u>Credit Risk</u>

Credit risk with respect to accounts receivable is generally not significant due to a limited carrying balance of receivables. We routinely assess the creditworthiness of our customers. We generally have not experienced any material losses related to receivables from individual customers, or groups of customers for the years ended December 31, 2022, 2021 and 2020. We do not require collateral. Due to these factors, no additional credit risk beyond amounts provided for collection losses is believed by management to be probable in our accounts receivable.

<u>Foreign Currency Exchange Risk</u>

Our expenses are generally denominated in U.S. dollars. However, we have foreign currency risks related to operating expenses denominated in Canadian dollars and Brazilian reals and intercompany loans denominated in Brazilian reals. We have entered into a limited number of operation support contracts with vendors with payments denominated in foreign currencies. We are subject to foreign currency transaction gains or losses on our contracts denominated in foreign currencies. To date, foreign

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currency transaction gains and losses have not been material to our financial statements. We have not engaged in the hedging of foreign currency transactions to date, although we may choose to do so in the future.

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**Item 8. Financial Statements and Supplementary Data**

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| **<u>Financial Statements</u>** | Page |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Report of Independent Registered Public Accounting Firm (PCAOB ID: 42)</u> | [49](#i437deb9913be4f4a8711fb195a433029_76) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Consolidated Balance Sheets</u> | [50](#i437deb9913be4f4a8711fb195a433029_79) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Consolidated Statements of Operations</u> | [51](#i437deb9913be4f4a8711fb195a433029_82) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Consolidated Statements of Comprehensive Loss</u> | [52](#i437deb9913be4f4a8711fb195a433029_85) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Consolidated Statements of Stockholders' Equity</u> | [53](#i437deb9913be4f4a8711fb195a433029_88) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Consolidated Statements of Cash Flows</u> | [54](#i437deb9913be4f4a8711fb195a433029_91) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>Notes to the Consolidated Financial Statements</u> | [56](#i437deb9913be4f4a8711fb195a433029_94) |

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**Report of Independent Registered Public Accounting Firm**

To the Stockholders and the Board of Directors of Benson Hill, Inc.

**Opinion on the Financial Statements**

We have audited the accompanying consolidated balance sheets of Benson Hill, Inc. and subsidiaries (the Company) as of December 31, 2022 and 2021, the related consolidated statements of operations**,** comprehensive loss, stockholders' equity, and cash flows for each of the three years in the period ended December 31, 2022, and the related notes and the financial statement schedule listed in the Index at Item 15 (a) (collectively referred to as the "consolidated financial statements"). In our opinion, the consolidated financial statements present fairly, in all material respects, the financial position of the Company at December 31, 2022 and 2021, and the results of its operations and its cash flows for each of the three years in the period ended December 31, 2022, in conformity with U.S. generally accepted accounting principles.

**Basis for Opinion**

These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on the Company's financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for purpose of expressing an opinion on the effectiveness of the Company's internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

/s/ Ernst & Young LLP

We have served as the Company's auditor since 2018.

St. Louis, Missouri

March 16, 2023

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**Benson Hill, Inc. Consolidated Balance Sheets *(In Thousands USD)***

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| | | |
|:---|:---|:---|
| | **December 31,** | **December 31,** |
| | **2022** | **2021** |
| **Assets** |  |  |
| Current assets: |  |  |
| &nbsp;&nbsp;&nbsp;Cash and cash equivalents | $25053 | $78940 |
| &nbsp;&nbsp;&nbsp;Marketable securities | 132121 | 103689 |
| &nbsp;&nbsp;&nbsp;Accounts receivable, net | 28591 | 22128 |
| &nbsp;&nbsp;&nbsp;Inventories, net | 62110 | 37004 |
| &nbsp;&nbsp;&nbsp;Prepaid expenses and other current assets | 29346 | 16806 |
| &nbsp;&nbsp;&nbsp;Current assets held for sale | 23507 | 24791 |
| Total current assets | 300728 | 283358 |
| Property and equipment, net | 99759 | 98076 |
| Right of use asset, net | 68193 | 73712 |
| Goodwill and intangible assets, net | 27377 | 35397 |
| Other assets | 4863 | 4538 |
| Noncurrent assets held for sale |  | 39816 |
| Total assets | $500920 | $534897 |

---

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| | | |
|:---|:---|:---|
| **Liabilities and stockholders' equity** | | |
| Current liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;Accounts payable | $36717 | $20288 |
| &nbsp;&nbsp;&nbsp;Current lease liability | 3682 | 1831 |
| &nbsp;&nbsp;&nbsp;Current maturities of long-term debt | 2242 | 6901 |
| &nbsp;&nbsp;&nbsp;Accrued expenses and other liabilities | 33435 | 25608 |
| &nbsp;&nbsp;&nbsp;Current liabilities held for sale | 16441 | 17054 |
| Total current liabilities | 92517 | 71682 |
| Long-term debt | 103991 | 77035 |
| Long-term lease liability | 77722 | 77152 |
| Warrant liabilities | 24285 | 46051 |
| Conversion option liability | 8091 | 8783 |
| Deferred tax liabilities | 283 | 294 |
| Other non-current liabilities | 129 | 316 |
| Noncurrent liabilities held for sale |  | 2137 |
| Total liabilities | 307018 | 283450 |
| Commitments and contingencies (refer to *[Footnote 22](#i437deb9913be4f4a8711fb195a433029_160)*) |  |  |
| Stockholders' equity: |  |  |
| &nbsp;&nbsp;&nbsp;Redeemable convertible preferred stock, $0.0001 par value; 1,000 authorized, no shares issued and outstanding as of December 31, 2022 and 2021, respectively |  |  |
| &nbsp;&nbsp;&nbsp;Common stock, $0.0001 par value, 440,000 and 440,000 shares authorized; 206,668 and 178,089 shares issued and outstanding as of December 31, 2022 and 2021, respectively | 21 | 18 |
| &nbsp;&nbsp;&nbsp;Additional paid-in capital | 609450 | 533101 |
| &nbsp;&nbsp;&nbsp;Accumulated deficit | (408474) | (280569) |
| &nbsp;&nbsp;&nbsp;Accumulated other comprehensive loss | (7095) | (1103) |
| Total stockholders' equity | 193902 | 251447 |
| Total liabilities and stockholders' equity | $500920 | $534897 |

---

*See accompanying notes to the consolidated financial statements.*

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**Benson Hill, Inc. Consolidated Statements of Operations (*In Thousands USD, Except Per Share Information*)**

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| | | | |
|:---|:---|:---|:---|
| | **Year Ended December 31,** | **Year Ended December 31,** | **Year Ended December 31,** |
| | **2022** | **2021** | **2020** |
| Revenues | $381233 | $90945 | $59070 |
| Cost of sales | 377706 | 96846 | 54421 |
| Gross profit (loss) | 3527 | (5901) | 4649 |
| Operating expenses: |  |  |  |
| &nbsp;&nbsp;&nbsp;Research and development | 47500 | 40574 | 29457 |
| &nbsp;&nbsp;&nbsp;Selling, general and administrative expenses | 81034 | 71947 | 29466 |
| &nbsp;&nbsp;&nbsp;Impairment of goodwill |  |  | 2954 |
| Total operating expenses | 128534 | 112521 | 61877 |
| Loss from operations | (125007) | (118422) | (57228) |
| Other (income) expense: |  |  |  |
| &nbsp;&nbsp;&nbsp;Interest expense, net | 21444 | 4481 | 6554 |
| &nbsp;&nbsp;&nbsp;Loss on extinguishment of debt |  | 11742 |  |
| &nbsp;&nbsp;&nbsp;Change in fair value of warrants and conversion options | (49063) | (12127) | 661 |
| &nbsp;&nbsp;&nbsp;Other (income) expense, net | 2253 | (549) | 29 |
| Total other (income) expense, net | (25366) | 3547 | 7244 |
| Net loss from continuing operations before income tax | (99641) | (121969) | (64472) |
| Income tax expense | 59 | 231 | 48 |
| &nbsp;&nbsp;Net loss from continuing operations, net of tax | (99700) | (122200) | (64520) |
| Net loss from discontinued operations, net of tax (refer to*[Footnote](#i437deb9913be4f4a8711fb195a433029_885)[4](#i437deb9913be4f4a8711fb195a433029_885)*) | (28205) | (4047) | (2639) |
| Net loss | $(127905) | $(126247) | $(67159) |
| Net loss per common share: |  |  |  |
| &nbsp;&nbsp;&nbsp;Basic and diluted net loss per common share from continuing operations | $(0.55) | $(1.00) | $(0.77) |
| &nbsp;&nbsp;&nbsp;Basic and diluted net loss from discontinued operations, net of tax | $(0.16) | $(0.04) | $(0.03) |
| &nbsp;&nbsp;&nbsp;Basic and diluted net loss per common share | $(0.71) | $(1.04) | $(0.81) |
| Weighted average shares outstanding: |  |  |  |
| &nbsp;&nbsp;&nbsp;Basic and diluted weighted average shares outstanding | 179867 | 121838 | 83295 |

---

*See accompanying notes to the consolidated financial statements.*

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**Benson Hill, Inc. Consolidated Statements of Comprehensive Loss *(In Thousands USD*)**

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| | | | |
|:---|:---|:---|:---|
| | **Year Ended December 31,** | **Year Ended December 31,** | **Year Ended December 31,** |
| | **2022** | **2021** | **2020** |
| Net loss | $(127905) | $(126247) | $(67159) |
| Foreign currency: |  |  |  |
| &nbsp;&nbsp;&nbsp;Comprehensive (loss) income | (9) | 4 | (226) |
|  | (9) | 4 | (226) |
| Marketable securities: |  |  |  |
| &nbsp;&nbsp;&nbsp;Comprehensive loss | (3678) | (1813) | (109) |
| &nbsp;&nbsp;&nbsp;Adjustments for net (losses) income realized in net loss | (2305) | 1031 | 223 |
|  | (5983) | (782) | 114 |
| Total other comprehensive (loss) income | (5992) | (778) | (112) |
| Total comprehensive loss | $(133897) | $(127025) | $(67271) |

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*See accompanying notes to the consolidated financial statements.*

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**Benson Hill, Inc. Consolidated Statements of Stockholders' Equity (*In Thousands USD*)**

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| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **Common Stock** | **Common Stock** | **Additional**<br>**Paid-In**<br>**Capital** | **Accumulated**<br>**Deficit** | **Accumulated**<br>**Other**<br>**Comprehensive**<br>**Loss** | **Total**<br>**Stockholders'**<br>**Equity (Deficit)** |
| | **Shares** | **Amount** | **Additional**<br>**Paid-In**<br>**Capital** | **Accumulated**<br>**Deficit** | **Accumulated**<br>**Other**<br>**Comprehensive**<br>**Loss** | **Total**<br>**Stockholders'**<br>**Equity (Deficit)** |
| **Balance as of December 31, 2020** | 71900 | $7 | $135299 | $(83395) | $(213) | $51698 |
| Impact of adoption of Topic 606 |  |  |  | 519 |  | 519 |
| Stock Option exercises, net | 332 |  | 72 |  |  | 72 |
| Stock-based compensation expense |  |  | 1010 |  |  | 1010 |
| Sale of Series D redeemable convertible preferred stock, net of issuance costs of $4,668 | 38412 | 4 | 154416 |  |  | 154420 |
| Retirement of redeemable convertible preferred stock, including deemed dividend: |  |  |  |  |  |  |
| &nbsp;&nbsp;Retirement of Series A | (1543) |  | (1164) |  |  | (1164) |
| &nbsp;&nbsp;Retirement of Series B | (404) |  | (500) |  |  | (500) |
| &nbsp;&nbsp;Deemed dividend |  |  | (1815) | (4287) |  | (6102) |
| Comprehensive loss |  |  |  | (67159) | (112) | (67271) |
| **Balance as of December 31, 2021** | 108697 | $11 | $287318 | $(154322) | $(325) | $132682 |
| Merger and PIPE Shares, net of transaction costs of $36,770 | 68069 | 7 | 233333 |  |  | 233340 |
| Conversion of warrants into common stock and issuance of equity classified warrants upon Merger | 325 |  | 4576 |  |  | 4576 |
| Stock Option exercises, net | 998 |  | 713 |  |  | 713 |
| Stock-based compensation expense |  |  | 7183 |  |  | 7183 |
| Other |  |  | (22) |  |  | (22) |
| Comprehensive loss |  |  |  | (126247) | (778) | (127025) |
| **Balance as of December 31, 2021** | 178089 | $18 | $533101 | $(280569) | $(1103) | $251447 |
| PIPE Investment and at-the-market offering, net of issuance cost of $4,087 | 26220 | 3 | 54504 |  |  | 54507 |
| Stock Option exercises, net | 2265 |  | 2325 |  |  | 2325 |
| Restricted Stock Units, net | 94 |  |  |  |  |  |
| Stock-based compensation expense |  |  | 19520 |  |  | 19520 |
| Other |  |  |  |  |  |  |
| Comprehensive loss |  |  |  | (127905) | (5992) | (133897) |
| **Balance as of December 31, 2022** | 206668 | $21 | $609450 | $(408474) | $(7095) | $193902 |

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*See accompanying notes to the consolidated financial statements.*

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**Benson Hill, Inc. Consolidated Statements of Cash Flows (*In Thousands USD*)**

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| | | | |
|:---|:---|:---|:---|
| | **Year Ended December 31,** | **Year Ended December 31,** | **Year Ended December 31,** |
| | **2022** | **2021** | **2020** |
| **Operating activities** |  |  |  |
| Net loss | $(127905) | $(126247) | $(67159) |
| Adjustments to reconcile net loss to net cash used in operating activities: |  |  |  |
| &nbsp;&nbsp;&nbsp;Depreciation and amortization | 22836 | 12817 | 7504 |
| &nbsp;&nbsp;&nbsp;Stock-based compensation expense | 19520 | 7183 | 1010 |
| &nbsp;&nbsp;&nbsp;Bad debt expense | 863 | 309 | 133 |
| &nbsp;&nbsp;&nbsp;Change in fair value of warrants and conversion options | (49063) | (12127) | 661 |
| &nbsp;&nbsp;&nbsp;Amortization related to financing activities | 9279 | 1389 | 2507 |
| &nbsp;&nbsp;&nbsp;Loss on extinguishment of debt |  | 11742 |  |
| &nbsp;&nbsp;&nbsp;Loss on divestiture of discontinued operations | 10246 |  |  |
| &nbsp;&nbsp;&nbsp;Impairment | 11579 |  | 4832 |
| &nbsp;&nbsp;&nbsp;Loss on investments and amortization of premiums | 4755 |  |  |
| &nbsp;&nbsp;&nbsp;Other | 4579 | (65) | 364 |
| &nbsp;&nbsp;&nbsp;Changes in operating assets and liabilities: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts receivable | (3070) | (7038) | 693 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Inventories | (4663) | (11690) | (5364) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other assets | 6542 | (13149) | (30) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable | (5313) | 11293 | (1949) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accrued expenses | 6419 | 7539 | 4120 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other liabilities |  | 294 |  |
| Net cash used in operating activities | (93396) | (117750) | (52678) |
| **Investing activities** |  |  |  |
| Purchases of marketable securities | (372170) | (648923) | (208780) |
| Proceeds from maturities of marketable securities | 139063 | 2499 | 9070 |
| Proceeds from sales of marketable securities | 193250 | 639612 | 107243 |
| Payments for acquisitions of property and equipment | (16486) | (31490) | (9855) |
| Payments made in connection with business acquisitions | (1034) | (116287) |  |
| Proceeds from divestitures of discontinued operations | 17131 |  | 1650 |
| Net cash used in investing activities | (40246) | (154589) | (100672) |
| **Financing activities** |  |  |  |
| Net contributions from Merger, at-the-market offering and PIPE financing, net of transaction costs of $4,087 and $34,940 for 2022 and 2021, respectively | 81109 | 285378 |  |
| Payments for extinguishment of debt |  | (43082) |  |
| Principal payments on debt | (7288) | (4400) | (8941) |
| Proceeds from issuance of debt | 23540 | 103634 | 24534 |
| Borrowing under revolving line of credit | 19774 | 20954 | 25587 |
| Repayments under revolving line of credit | (19821) | (20907) | (27082) |
| Proceeds from issuance of redeemable convertible preferred stock, net of costs |  |  | 154420 |
| Retirement of redeemable convertible preferred stock |  |  | (7766) |
| Repayments of financing lease obligations | (1630) | (703) | (121) |
| Proceeds from the exercise of stock options and warrants | 2325 | 681 | 72 |
| Net cash provided by financing activities | 98009 | 341555 | 160703 |
| Effect of exchange rate changes on cash | (9) | 4 | (226) |
| Net (decrease) increase in cash, cash equivalents and restricted cash | (35642) | 69220 | 7127 |
| Cash, cash equivalents and restricted cash, beginning of year | 78963 | 9743 | 2616 |
| Cash, cash equivalents and restricted cash, end of year | $43321 | $78963 | $9743 |

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| | | | |
|:---|:---|:---|:---|
| **Supplemental disclosure of cash flow information** | | | |
| Cash paid for taxes | $57 | $53 | $— |
| Cash paid for interest | $14398 | $6591 | $4685 |
| **Supplemental disclosure of non-cash activities** |  |  |  |
| Issuance of Notes Payable Warrants and Convertible Notes Payable Warrants | $— | $6663 | $4580 |
| Conversion of Notes Payable Warrants upon Merger | $— | $4576 | $— |
| Public Warrants and Private Placement Warrants acquired in Merger | $— | $50850 | $— |
| Issuance of conversion option | $— | $8783 | $— |
| Purchases of property and equipment included in accounts payable and accrued expenses and other current liabilities | $3058 | $3578 | $669 |
| Purchases of inventory included in accounts payable and accrued expenses and other current liabilities | $1553 | $1854 | $— |
| Financing leases | $806 | $46021 | $33523 |

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*See accompanying notes to the consolidated financial statements.*

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**Benson Hill, Inc. Notes to the Consolidated Financial Statements *(Dollar and Share Amounts in Thousands USD)***

**1. Description of Business**

Benson Hill is a food technology company on a mission to lead the pace of innovation in food. We have a vision to build a healthier and happier world by unlocking the natural genetic diversity of plants with the leading technology platform, CropOS<sup>®</sup>. Starting with consumer demand, we leverage CropOS and advanced breeding techniques to design food that's better from the beginning: more nutritious, more flavorful, and more accessible, while enabling efficient production and delivering novel sustainability benefits to food and feed customers. We are headquartered in St. Louis, Missouri, where the majority of our research and development activities are managed. We operate a soy crushing and food-grade white flake and soy flour manufacturing operation in Creston, Iowa, a soy crushing facility in Seymour, Indiana, and we process dry peas in North Dakota, which we sell throughout North America.

We have an integrated go-to-market approach, leveraging the existing parts of the supply chain to create efficiencies and a feedback loop between consumers, farmers, and seed developers that has been lacking across the siloed agri-food value chain. We are working to design products with the consumer in mind, contract with farmers to grow and buy back the harvest, preserve the product identity through manufacturing, and ultimately sell food and ingredients directly to food companies, retailers, and others. We believe this integration and control of the product throughout the entire supply chain will enable us to link data to outcomes in our CropOS platform to fuel the next generation of products. Additionally, we believe this product information linkage will work to optimize environmental and social impacts, as well as traceability throughout the supply chain.

We believe that our commitment to environmental and social issues impacting our planet and our purpose-driven culture are fundamental to our ability to achieve our mission. Environmental, Social and Governance ("ESG") principles help guide our thinking and approach throughout the development and commercialization of our products, and our innovative culture is rooted in our Core Values of *Be Bold*, *Be Inspired* and *Be Real*. We believe our leading technology platform, vertically integrated go-to-market strategy, and purpose-driven culture will help bridge the divide between evolving consumer preferences and quality traits already present within the genetic diversity of plants We see nature as our partner; technology as our enabler; and innovators like our company, our stakeholders, our stockholders and our partners as the catalysts to activate the change needed. We partner with farmers, ingredient companies, and plant-based food and feed customers to commercialize our proprietary innovations in soybean, and in the near future yellow pea, for broad market applications in human food ingredients, edible oils, pet food and aquafeed. In particular, our Ultra-High Protein ("UHP") soy-based ingredients have the potential to eliminate costly water- and energy-intensive ingredient processing steps associated with producing soy protein concentrate ("SPC") products for the food and feed markets, which can alleviate supply constraints in North America and elsewhere. Our proprietary portfolio includes soy flake, soy grits, soy meal and soy flour for established food markets such as snacks, baked goods and meat extensions, and a functional alternative to traditional SPC for plant-based protein alternatives to meat, dairy, and other emerging categories.

**Merger with Star Peak Corp II**

On September 29, 2021 (the "Closing Date"), Star Peak Corp II ("STPC"), a special purpose acquisition company, consummated a merger (the "Closing") pursuant to that certain Agreement and Plan of Merger, dated May 8, 2021 (the "Merger Agreement"), by and among STPC, STPC Merger Sub Corp., a Delaware corporation and wholly owned subsidiary of STPC ("Merger Sub"), and Benson Hill, Inc., a Delaware corporation ("Legacy Benson Hill"). Pursuant to the terms of the Merger Agreement, a business combination between STPC and Legacy Benson Hill was affected through the merger of Merger Sub with and into Legacy Benson Hill, with Legacy Benson Hill surviving the transaction as a wholly owned subsidiary of STPC (the "Merger"). On the Closing Date, STPC changed its name to Benson Hill, Inc. and Legacy Benson Hill changed its name to Benson Hill Holdings, Inc. As a consequence of the Merger, we became the successor to a company registered with the Securities and Exchange Commission (the "SEC") and listed on the New York Stock Exchange (the "NYSE"). Our future results of consolidated operations and financial position may not be comparable to historical results as a result of the Merger.

**Fresh Business Segment divestiture**

For the year ended December 31, 2022, the Company made a strategic decision to exit the Fresh segment. On December 29, 2022, the Company entered into a Stock Purchase Agreement to sell J&J Produce, Inc. ("J&J") and all of the outstanding equity securities of J&J's subsidiaries for aggregate cash consideration of $3 million, subject to certain adjustments. J&J was the main component of the Fresh segment. The closing of the transactions contemplated by the Stock Purchase Agreement is scheduled to occur on June 30, 2023, or such other date as is mutually agreed by the parties. In connection with the Stock Purchase Agreement, on December 29, 2022, J&J entered into a Purchase and Sale Agreement, pursuant to which J&J sold certain real

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and personal property comprising an agricultural production and processing facility located in Vero Beach, Florida to for an aggregate purchase price of $18 million, subject to certain adjustments. Certain property was leased back to J&J pursuant to a separate agricultural and facility lease for a short period of time. The Company's strategic shift to exit the Fresh segment met the criteria to be classified as businesses held for sale and to be presented as a discontinued operation. Refer to *[Footnote 4 - Discontinued Operations](#i437deb9913be4f4a8711fb195a433029_885)* for further details on the divestiture of the Fresh segment.

**Liquidity and Going Concern**

The accompanying consolidated financial statements have been prepared in conformity with U.S. GAAP and Securities and Exchange Commission regulations, assuming the Company will continue as a going concern. In evaluating the Company's ability to continue as a going concern, management considered the conditions and events that could raise substantial doubt about the Company's ability to continue as a going concern within 12 months after the Company's financial statements were issued on March 16, 2023. Management considered the Company's current financial condition and liquidity sources, including current funds available, forecasted future cash flows and the Company's conditional and unconditional obligations due before 12 months from the issuance of the Company's financial statements up to March 16, 2024.

For the year ended December 31, 2022, the Company incurred a net loss from continuing operations of $99,700, had negative cash flows from operating activities of $93,396 and had capital expenditures of $16,486. As of December 31, 2022, the Company had cash and marketable securities of $157,174, restricted cash of $17,912 and positive working capital of $53,984. Furthermore, as of December 31, 2022, the Company had an accumulated deficit of $408,474 and term debt and notes payable of $106,233, which are subject to repayment terms and covenants further described in *[Note 14](#i437deb9913be4f4a8711fb195a433029_133)[– Debt](#i437deb9913be4f4a8711fb195a433029_133)*. The Company has incurred significant losses since inception primarily to fund investment into technology and costs associated with early-stage commercialization of products. These factors, coupled with expected capital expenditures to manufacture soy flour texturization ingredients, indicated that, without further action, the Company's forecasted cash flows would not have been sufficient for the Company to meet its contractual commitments and obligations as they came due in the ordinary course of business for 12 months after the date the consolidated financial statements were issued.

During the first quarter of 2023, the Company entered into an amendment to its existing Convertible Loan and Security Agreement, which among other things, extended the interest-only period by six months through the second quarter of 2024, and allowed the restricted cash to be counted towards the required minimum liquidity covenant calculation. In addition, the Company's liquidity plans and operating budget include further actions that management believes are probable of being achieved in the 12 months after the date the consolidated financial statements are issued. These actions include improving operating efficiencies by reducing certain operating costs and restructuring certain parts of the organization, exploring strategic options involving its Seymour, Indiana soy crush facility, supplementing cash needs by selling additional shares of its common stock, or securities convertible into common stock, to the public through its shelf registration statement, or obtaining alternative equity financing, and attempting to refinance its current high-cost debt with a conventional, lower cost, lending facility of up to $100 million. There are no guarantees that the Company will achieve any of these plans, which involve risks and uncertainties, but based on these plans and management's forecast and related assumptions, management believes it is probable the Company will meet its obligations as they become due in the ordinary course of business for the 12 months following the date these financial statements are issued.

**2. Summary of Significant Accounting Policies Basis**

**Basis of Presentation and Principles of Consolidation**

The consolidated financial statements include the accounts of the Company and our wholly owned subsidiaries. All intercompany transactions and balances have been eliminated in consolidation. The Company prepares its consolidated financial statements in conformity with U.S. GAAP and Securities and Exchange Commission regulations. In the opinion of management, all adjustments considered necessary for a fair presentation have been included.

Any reference in these notes to applicable guidance is meant to refer to the authoritative U.S. GAAP as found in the Accounting Standards Codification ("ASC") and an Accounting Standards Update ("ASU") of the Financial Accounting Standards Board ("FASB").

Certain prior period balances have been reclassified to conform to the current period presentation in the audited consolidated financial statements and the accompanying notes.

All dollar and share amounts are in thousands USD, except per share amounts, unless otherwise noted. Share and per share amounts are presented on a post-conversion basis for all periods presented, unless otherwise specified.

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**Emerging Growth Company Status**

We are an "emerging growth company," as defined in Section 2(a) of the Securities Act and have elected to take advantage of the benefits of the extended transition period for new or revised financial accounting standards. We expect to remain an emerging growth company at least through the December 31, 2023 and expect to continue to take advantage of the benefits of the extended transition period, although we may decide to early adopt such new or revised accounting standards to the extent permitted by such standards. We expect to use this extended transition period for complying with new or revised accounting standards that have different effective dates for public and non-public companies until the earlier of the date we (i) are no longer an emerging growth company or (ii) affirmatively and irrevocably opt out of the extended transition period provided in the Jumpstart Our Business Startups Act of 2012 ("JOBS Act"). This may make it difficult or impossible to compare our financial results with the financial results of another public company that is either not an emerging growth company or is an emerging growth company that has chosen not to take advantage of the extended transition period exemptions because of the potential differences in accounting standards used.

In addition, we intend to rely on the other exemptions and reduced reporting requirements provided by the JOBS Act. Subject to certain conditions set forth in the JOBS Act, if, as an emerging growth company, we intend to rely on such exemptions, we are not required to, among other things: (a) provide an auditor's attestation report on our system of internal control over financial reporting pursuant to Section 404(b) of the Sarbanes-Oxley Act; (b) provide all of the compensation disclosure that may be required of non-emerging growth public companies under the Dodd-Frank Wall Street Reform and Consumer Protection Act; (c) comply with any requirement that may be adopted by the Public Company Accounting Oversight Board regarding mandatory audit firm rotation or a supplement to the auditor's report providing additional information about the audit and the financial statements (auditor discussion and analysis); and (d) disclose certain executive compensation-related items such as the correlation between executive compensation and performance and comparisons of the Chief Executive Officer's compensation to median employee compensation.

We will remain an emerging growth company under the JOBS Act until the earliest of (a) December 31, 2026, (b) the last date of our fiscal year in which we have total annual gross revenue of at least $1.235 billion, (c) the date on which we are deemed to be a "large accelerated filer" under the rules of the SEC with at least $700.0 million of outstanding securities held by non-affiliates or (d) the date on which we have issued more than $1.0 billion in non-convertible debt securities during the previous three years.

**Use of Estimates**

The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in its consolidated financial statements and accompanying notes. Actual results could differ from those estimates. Significant management estimates include those with respect to allowance for doubtful accounts, reserves for inventory obsolescence, the recoverability of long-lived assets, intangibles and goodwill and the estimated value of our warrant liabilities and conversion option liability.

**Cash, Cash Equivalents and Restricted Cash**

We consider all short-term, highly liquid investments with maturities of 90 days or less at acquisition date to be cash equivalents. Restricted cash primarily represents cash proceeds from the sale of certain assets pursuant to the covenants with a lender. Restricted cash is classified as non-current if the Company expects that the cash will remain restricted for a period greater than one-year. Current restricted cash is included in the prepaid expenses and other current assets on the consolidated balance sheets.

The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the consolidated balance sheets, inclusive of $356 of cash and cash equivalents reported within current assets held for sale due to discontinued operations, to the amounts shown in the consolidated statements of cash flows (in thousands USD):

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| | | |
|:---|:---|:---|
| | **December 31,** | **December 31,** |
| | **2022** | **2021** |
| Cash and cash equivalents | $25409 | $78963 |
| Restricted cash, current | 17912 |  |
| Total cash, cash equivalents and restricted cash shown in the consolidated statements of cash flows | $43321 | $78963 |

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**Marketable Securities**

We classify our investment securities as available-for-sale on the date of purchase. The securities are recorded at their fair value with the unrealized gains and losses, net of tax effect, recorded in other comprehensive income and loss. Realized gains and losses affect income, including the release of previously unrealized gains and losses from other comprehensive income and loss. Premiums and discounts are amortized on the straight-line method. Gains and losses on the sale of securities are determined using the specific-identification method.

**Accounts Receivable**

Accounts receivable represent amounts owed to us from the sale of harvested grain, soybean meal, soybean oil, soybean flakes, soybean flour, royalties, and licensing of proprietary technology. The carrying value of our receivables represent estimated net realizable values. We generally do not require collateral and estimate any required allowance for doubtful accounts based on historical collection trends, the age of outstanding receivables, and existing economic conditions. If events or changes in circumstances indicate that specific receivable balances may be impaired, further consideration is given to the collectability of those balances and the allowance is recorded accordingly.

Past-due receivable balances are written off when the Company's internal collection efforts have been unsuccessful in collecting the amounts due. The Company had amounts reserved for doubtful accounts as of December 31, 2022 and 2021, of $743 and $216, respectively.

**Derivatives**

The Company uses exchange-traded futures to manage price risk of fluctuating Chicago Board of Trade ("CBOT") prices related to forecasted purchases and sales of soybean and soybean related products in the normal course of business. The Company has master netting agreements with its counterparties which allow for the settlement of contracts in an asset position with contracts in a liability position in the event of default or termination. Further, all of the Company's derivative contracts are centrally cleared and therefore are cash-settled on a daily basis which results in the derivative contracts having a fair value that approximates zero on a daily basis. Refer to Note 7 for more information.

The accounting for changes in the fair value (i.e., gains or losses) of a derivative instrument depends on whether it has been designated and qualifies as part of a hedging relationship and on the type of hedging relationship. All of the Company's derivatives have not been designated as hedging instruments, and as such, changes in fair value of these derivatives are recognized in earnings immediately.

The Company's soybean positions are designed to hedge risk related to inventory purchases therefore the gains and losses on soybean instruments are recorded in cost of sales in the consolidated statements of operations. The Company's meal and oil positions are designed to hedge risk related to sales transactions therefore the gains and losses on meal and oil instruments are recorded in revenues in the consolidated statements of operations.

The Company classifies the cash effects of its derivatives within the "Cash Flows From Operating Activities" section of the consolidated statements of cash flows.

**Inventories**

Inventories, primarily comprised of dry beans, seeds, grain, soybean meal, soybean oil, soybean flakes, soybean flour and related packaging materials, are recorded at the lower of cost or net realizable value with cost determined on the first-in, first-out basis. Work in process inventory includes direct costs for land preparation, seed, planting, growing, and maintenance as well as seed provided to contracted seed producers and growers with which we hold a purchase option for, or are required to purchase, the future harvested seeds or grain.

We evaluate inventory balances for obsolescence on a regular basis based on the age of the inventory and our sales forecasts. We also determine the net realizable value of our inventory balances using projected selling prices for our products, market

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prices for the underlying agricultural markets, the age of products, our anticipated costs, and other factors, and compare those prices with the current weighted average costs of our inventories. If our costs are higher than the net realizable value, a valuation adjustment is recorded.

Certain seed costs associated with products not yet commercialized are expensed to research and development.

**Property and Equipment**

Property and equipment are stated at cost less accumulated depreciation. Depreciation is computed using the straight-line method over the estimated useful life of the respective assets. Leasehold improvements are depreciated over the shorter of their useful life or remaining term of the lease.

Expenses for repairs and maintenance are expensed as incurred, and upon retirement or sale, the cost and related accumulated depreciation of the disposed assets are removed from the accounts and any resulting gain or loss is recognized in the consolidated statement of operations and comprehensive loss. Depreciation expense has been calculated using the following estimated useful lives:

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| | |
|:---|:---|
| Furniture and fixtures | 5-7 years |
| Machinery, field and laboratory equipment | 5-7 years |
| Computer equipment | 3-5 years |
| Vehicles | 3-7 years |
| Buildings and production facilities | 15-25 years |
| Building and production facility improvements | 5-15 years |
| Industrial, crushing and milling equipment | 10-20 years |

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Long-lived assets are reviewed for impairment whenever, in management's judgement, conditions indicate a possible loss. Such impairment tests compare estimated undiscounted cash flows with the carrying value of the asset. If an impairment is indicated, the asset is written down to its fair value. The Company did not record property or equipment impairment for its continuing operations for the years ended December 31, 2022 and 2021.

**Spare Parts**

The Company maintains an inventory of spare parts at its processing plants for repairs and maintenance in the normal course of operations to minimize downtime. The spare parts are recorded at cost and assessed for obsolescence. As the spare parts are primarily composed of critical spares which generally do not turn within 12 months the Company classifies spare parts as a non-current asset and presents them in other assets. As of December 31, 2022 and 2021, the Company had spare parts of $2,348 and $2,000, respectively.

**Leases**

The Company, at the inception of the contract, determines whether a contract is or contains a lease. For leases with terms greater than 12 months, the Company records the related operating or finance right of use asset and lease liability at the present value of lease payments over the lease term. Renewal options are not included in the measurement of the right of use assets and lease liabilities unless the Company is reasonably certain to exercise the optional renewal periods. Some leases also include early termination options, which can be exercised under specific conditions. Additionally, certain leases contain incentives, such as construction allowances from landlords. These incentives reduce the right-of-use asset related to the lease.

Some of the Company's leases contain rent escalations over the lease term. The Company recognizes expense for operating leases on a straight-line basis over the lease term. The Company recognizes interest expense and depreciation expense for finance leases. Depreciation expense for assets held under finance leases is computed using the straight-line method over the lease term or useful life for leases that contain a transfer of title or reasonably certain purchase option.

Our lease agreements contain variable lease payments for increases in rental payment as a result of indexation, common area maintenance, utility, and maintenance charges. The Company has elected the practical expedient to combine lease and non-lease components for all asset categories. Therefore, the lease payments used to measure the lease liability for these leases include fixed minimum rentals along with fixed non lease component charges. The Company does not have significant residual value guarantees or restrictive covenants in the lease portfolio.

Most of the Company's leases do not provide a readily available implicit interest rate. Therefore, the Company estimates the incremental borrowing discount rate based on information available at lease commencement. The incremental borrowing rate

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represents an estimate of the market interest rate the Company would incur at lease commencement to borrow an amount equal to the lease payments on a collateralized basis over the term of a lease.

**Goodwill and Intangible Assets**

Goodwill, arising from a business combination as the excess of purchase price and related costs over the fair value of identifiable assets acquired and liabilities assumed is not amortized and is subject to an annual impairment test as of December 1, unless events indicate an interim test is required. In performing this impairment test, management will first qualitatively assess indicators of a reporting unit's fair value. If, after completing the qualitative assessment, management believes it is likely that a reporting unit is impaired, a discounted cash flow analysis is prepared to estimate the fair value of the reporting unit.

Critical estimates in the determination of the fair value of each reporting unit include, but are not limited to, future expected cash flows based on estimates of future sales volumes, sales prices, production costs, and discount rates. These estimates generally constitute unobservable Level 3 inputs under the fair value hierarchy. An adjustment to goodwill will be recorded for any goodwill that is determined to be impaired.

Impairment of goodwill is measured as the excess of the carrying amount of goodwill over the fair value of the reporting unit. During the years ended December 31, 2022 and 2021, the Company evaluated goodwill for impairment using a quantitative assessment for all reporting units concluding that goodwill was not impaired. During the year ended December 31, 2020, the Company used a qualitative assessment for one reporting unit and a quantitative assessment for all other reporting units resulting in a goodwill impairment charge of $2,954.

Intangible assets consist primarily of customer relationships, trade names, employment agreements, technology licenses, and developed or acquired technology. Intangible assets are valued based on the income approach, which utilizes discounted cash flows, or cost buildup. These estimates generally constitute Level 3 inputs under the fair value hierarchy.

In conjunction with business acquisitions, we obtain trade names and permits, enter into employment agreements, and gain access to the developed technology, distribution channels and customer relationships of the acquired companies. Trade names and permits are amortized over their estimated useful life, which is generally 10 years. The developed and acquired technology is amortized over its estimated useful life of 13 years. Customer relationships are expected to provide economic benefits to the Company over the amortization period of 15 years and are amortized on a straight-line basis. The amortization period of customer relationships represents management's best estimate of the expected usage or consumption of the economic benefits of the acquired assets, which is based on our historical experience of customer attrition rates.

Definite lived intangible assets are reviewed for impairment, at the asset group level, whenever, in management's judgement, impairment indicators are present. At a minimum, we assess all definite lived intangible assets annually for indicators of impairment. When indicators of impairment are present, such an assessment involves estimating undiscounted cash flows over the remaining useful life of the intangible. If the review indicates that undiscounted cash flows are less than the carrying value of the intangible asset, the asset group is written down to fair value, and any impairment is assigned to the assets in the asset group in accordance with the applicable guidance, and a corresponding impairment is recognized in the consolidated statement of operations and comprehensive loss. The Company did not record any definite lived intangible asset impairments for its continuing operations for the years ended December 31, 2022, 2021 or 2020.

**Debt Issuance Costs**

The Company capitalizes costs incurred in connection with new borrowings, the establishment or enhancement of credit facilities and the issuance of debt securities. These costs are amortized as an adjustment to interest expense over the life of the borrowing or term of the credit facility using the effective interest method. Debt issuance costs related to a recognized liability are presented in the balance sheet as a direct reduction from the carrying amount of that liability. The unamortized balance of deferred financing costs shown as a reduction from the carrying amount of the liability was $1,973 and $1,231 as of December 31, 2022 and 2021, respectively. Amortization of debt issuance costs was $204, $206 and $228 for the years ended December 31, 2022, 2021 and 2020, respectively.

**Warrant Liabilities**

We account for our PIPE Investment Warrants, Private Placement Warrants, Public Warrants, Notes Payable Warrants, and Convertible Notes Payable Warrants as derivative warrant liabilities in accordance with ASC 815 with the exception of the Notes Payable Warrants issued in connection with the Merger which qualify for equity treatment. Accordingly, we recognize the warrant instruments as liabilities at fair value and adjust the instruments to fair value at each reporting period. The liabilities are subject to re-measurement at each balance sheet date until exercised, and any change in fair value is recognized in the

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change in fair value of warrants in the consolidated statements of operations. The fair value of the Public Warrants is measured based on the closing price of the warrant traded on the NYSE. The Private Placement Warrants and Convertible Notes Payable Warrants are estimated at each measurement date using a Black-Scholes option pricing model. The PIPE Investment Warrants are estimated at each measurement date using the Monte Carlo simulation. As the Notes Payable Warrant holder has the ability to exercise the warrant at no cost into the Company's common stock upon expiration, the value of the warrant at each measurement date is based on the closing price of the Company's common stock.

**Conversion Option Liability** 

We account for the conversion option on our convertible term loans as a derivative liability in accordance with ASC 815 and therefore recognize the conversion option at fair value and adjust the liability to fair value at each reporting period. The liability is subject to re-measurement at each balance sheet date until exercised or expired, and any change in fair value is recognized in the consolidated statements of operations. The fair value of the conversion option is measured using a Black-Scholes option pricing model.

**Business Combinations**

The Company allocates the purchase price of its acquisitions to the assets acquired and liabilities assumed based upon their respective fair values at the acquisition date. The Company utilizes management estimates and an independent third-party valuation firm to assist in determining these fair values. The excess of the acquisition price over the estimated fair value of the net assets acquired is recorded as goodwill. Goodwill is adjusted for any changes to acquisition date fair value amounts made within the measurement period. Acquisition-related transaction costs are recognized separately from the business combination and expensed as incurred.

**Fair Value**

Assets and liabilities recorded at fair value on a recurring basis on the balance sheets are categorized based upon the level of judgment associated with the inputs used to measure their fair values. Fair value is defined as the exchange price that would be received for an asset or an exit price that would be paid to transfer a liability in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs. The authoritative guidance on fair value measurements establishes a three-tier fair value hierarchy for disclosure of fair value measurements as follows:

Level 1 — Observable inputs such as unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date.

Level 2 — Inputs (other than quoted prices included in Level 1) are either directly or indirectly observable for the asset or liability. These include quoted prices for similar assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active.

Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

**Revenue Recognition**

<u>Product Sales</u>

We recognize revenue on product sales, consisting primarily of soybean grain, soybean oil, soybean meal, soybean flakes and soybean flour and texturized flour, processed yellow pea and seed at the point in time when obligations under the terms of a contract with the customer are satisfied. This generally occurs at the time of transfer of control of the product. In reaching this conclusion, we consider several control indicators of the timing of the transfer of control, including significant risks and rewards of ownership, physical possession, and our right to receive payment. Shipping and handling costs related to contracts with customers for product sales are accounted for as a fulfillment activity and not as a separate performance obligation to customers.

Sales, use, value-added, and other excise taxes are excluded from the measurement of the transaction price. We generally do not allow a right of return.

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<u>Collaborative Arrangements</u>

The Company analyzes its collaborative arrangements to assess whether such arrangements involve joint operating activities performed by parties that are both active participants in the activities and exposed to significant risks and rewards, and therefore are within the scope of FASB ASC Topic 808, Collaborative Arrangements ("ASC 808"). These arrangements provide various types of payments to the Company, including upfront fees, funding of research and development services, usage fees and royalty payments on product sales. These payments may not be commensurate with the timing of revenue recognition, and therefore, result in deferral of revenue recognition. We recognize revenue based on the amount of the transaction price that is allocated to each respective performance obligation when or as the performance obligation is satisfied. The revenues from collaborative arrangements were not significant to the consolidated statement of operations for the years ended December 31, 2022 and 2021.

**Research and Development Expenses**

Research and development expenses consist of the costs of performing activities to discover and develop products and to advance our intellectual property. These costs consist primarily of employee-related expenses for personnel who research and develop our products, fees for contractors who support product development and breeding activities, expenses for trait validation, greenhouse and field trial expenses, purchasing materials and supplies for our laboratories, licensing, information technology expenses, and other costs associated with operating our own laboratories. Reimbursements of research and development costs from third-party grants are recognized as a reduction of research and development expense. For the years ended December 31, 2022, 2021 and 2020, the Company received grant reimbursement of $295, $479 and $1,016, respectively.

**Patents**

We expense patent costs, including related legal costs, as incurred. Costs to maintain, in-license, and defend patents are recorded as selling, general and administrative expenses on the consolidated statements of operations. Costs to write and support the research for filing patents are recorded as research and development expenses on the consolidated statements of operations.

**Stock-Based Compensation**

We measure all stock options and restricted stock units ("RSUs") granted to employees and directors based on the fair value on the date of the grant and recognize compensation expense of those awards over the requisite service period, which is generally the vesting period of the respective awards or the derived service period for awards with market performance vesting conditions. We recognize forfeitures of awards as they occur.

We classify stock-based compensation expense in our consolidated statement of operations as research and development and selling, general and administrative expenses as this is consistent with the manner in which the award recipient's payroll costs are classified.

**Income Taxes**

Income taxes are accounted for using the asset and liability method. Under this method, deferred tax assets and liabilities are determined based on temporary differences between the financial statement basis and tax basis of assets and liabilities and net operating loss and credit carryforwards using enacted tax rates in effect for the year in which the differences are expected to reverse. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Valuation allowances are established when it is more likely than not that some portion of the deferred tax assets will not be realized.

When uncertain tax positions exist, the Company recognizes the tax benefit of tax positions to the extent that some or all of the benefit will more likely than not be realized. The determination as to whether the tax benefit will more likely than not be realized is based upon the technical merits of the tax position, as well as consideration of the available facts and circumstances.

**Discontinued Operations**

In determining whether a disposal of a component of an entity or a group of components of an entity is required to be presented as a discontinued operation, we make a determination as to whether the disposal represents a strategic shift that had, or will have, a major effect on our operations and financial results. A component of an entity comprises operations and cash flows that can be clearly distinguished from the rest of the entity both operationally and for financial reporting purposes. If we conclude that the disposal represents a strategic shift, then the results of operations of the group of assets being disposed of (as well as

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any gain or loss on the disposal transaction) are aggregated for separate presentation apart from our continuing operating results in the consolidated financial statements.

**Forward Purchase and Sales Contracts**

We enter into seed and grain production agreements ("Forward Purchase Contracts") with seed producers and growers. The seed and grower contracts often require us to pay prices for the seed and grain produced at commodity futures market prices plus a premium. The grower has the option to fix their price with us throughout the term of the agreement. The grower contracts allow for delivery of grain to us at harvest if so specified when the agreement is executed, otherwise delivery occurs on a date that we elect through a specified date of the following year.

We enter into sales contracts with grain and ingredients customers ("Forward Sales Contracts") for the sale of soybeans, processed soybean products, and processed yellow pea. These sales contracts are for a fixed or determinable quantity at a fixed or determinable price and will be physically settled with the delivery of the underlying product.

We designate all Forward Purchase Contracts and Forward Sales Contracts as normal purchases and normal sales and as a result are exempt from derivative accounting.

**Significant Concentrations and Credit Risk**

Financial instruments that potentially expose us to concentrations of credit risk consist primarily of cash and cash equivalents, restricted cash, marketable securities, accounts receivable, and Forward Purchase Contracts.

We have cash and cash equivalents, restricted cash and marketable securities at accredited financial institutions and, at times, maintain balances in excess of insured limits but believe such credit risk is minimal. Concentrations of credit risk associated with unsecured accounts receivable may vary between years because of the nature of our business.

Our customers primarily consist of businesses operating in the agriculture industry, including retailers that sell our produce, consumer package goods manufacturers that incorporate our ingredients. For the year ended December 31, 2022, one customer generated greater than 10% of consolidated revenue for a total of $45,053. For the year ended December 31, 2021, one customer generated greater than 10% of consolidated revenue for a total of $27,493. For the year ended December 31, 2020, four customers each generated greater than 10% of consolidated revenue for a total of $15,270.

**Foreign Currency Translation**

The financial statements for our overseas operations, primarily comprising licensing arrangements and research and development activities in Brazil and Canada, respectively, are translated to U.S. dollars at current exchange rates. For assets and liabilities, the fiscal year-end rate is used. For revenues, expenses, gains, and losses, an approximation of the average rate for the period is used. Unrealized currency adjustments in the consolidated financial statements are accumulated in equity as a component of accumulated other comprehensive loss.

The Company has entered into a limited number of operation support contracts with vendors with payments denominated in foreign currencies. We are subject to foreign currency transaction gains or losses on our contracts denominated in foreign currencies. Gains and losses resulting from foreign currency transactions are separately reflected in the consolidated statement of comprehensive loss. To date, foreign currency transaction gains and losses have not been material to our financial statements.

**Recently Adopted Accounting Guidance**

In June 2016, the FASB issued ASU 2016-13, Financial Instruments — Credit Losses ("ASU 2016-13" or "CECL"), which requires measurement and the recognition of expected credit losses for financial assets held. The standard requires the measurement of expected credit losses to be based on relevant information, including historical experience, current conditions and a forecast that is supportable. The Company adopted the standard in the first quarter of 2022, with minimal impact to its consolidated financial statements.

As part of the adoption, the Company reviewed its' portfolio of available-for-sale debt securities in an unrealized loss position, and assessed whether it intends to sell, or will more likely than not be required to sell, such debt securities before recovering the amortized cost basis. Additionally, the Company evaluated whether the decline in fair value has resulted from credit losses or other factors by considering the extent to which the fair value is less than amortized cost, any changes to the rating of the security by a rating agency, and adverse conditions specifically related to the security, among other factors. If this assessment indicates that a credit loss exists, the Company compares the present value of the cash flows expected to be collected against the amortized cost basis. A credit loss is recorded if the present value of the cash flows is less than the amortized cost basis, limited

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by the amount that the fair value is less than the amortized cost basis. Upon adoption, the Company did not record an allowance for credit losses on its available-for-sale debt securities.

Additionally, the Company reviewed its open trade receivables arising from contractual sales. As part of its analysis, the Company performed periodic credit reviews of all active customers, reviewed all trade receivables greater than 90 days past due, calculated historical loss rates and reviewed current payment trends of all customers.

**Recently Issued Accounting Guidance Not Yet Effective**

In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform ("ASU 2020-04"). ASU 2020-04 provides optional expedients and exceptions for applying GAAP to contracts, hedging relationships and other transactions affected by reference rate reform if certain criteria are met. In December 2022, the FASB issued ASU 2022-06 and deferred the sunset date of the Reference Rate Reform (Topic 848) from December 31, 2022 to December 31, 2024, after which entities will no longer be permitted to apply the relief in Topic 848. The amendments apply to all entities that have contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. The Company has a floating rate revolving credit facility, a term loan and an equipment loan due in April 2024 and plans on phasing out LIBOR as a reference rate before December 31, 2024.

In August 2020, the FASB issued ASU 2020-06, Debt ("ASU 2020-06"). ASU 2020-06 reduces the number of accounting models for convertible debt instruments and convertible preferred stock. For convertible instruments with conversion features that are not required to be accounted for as derivatives under ASC 815, Derivatives and Hedging, or that do not result in substantial premiums accounted for as paid-in capital, the embedded conversion features no longer are separated from the host contract. ASU 2020-06 is effective for public business entities that meet the definition of a Securities and Exchange Commission ("SEC") filer, excluding entities eligible to be smaller reporting companies as defined by the SEC, for fiscal years beginning after December 15, 2021, including interim periods within those fiscal years. For all other entities, the amendments are effective for fiscal years beginning after December 15, 2023, including interim periods within those fiscal years. Early adoption is permitted, but no earlier than fiscal years beginning after December 15, 2020, including interim periods within those fiscal years. The Company is currently evaluating the impact ASU 2020-06 will have on its consolidated financial statements.

**3. Business Combinations**

**ZFS Creston**

On December 30, 2021, we completed the acquisition of a food-grade white flake and soy flour manufacturing operation and related assets through the acquisition of ZFS Creston, LLC, a Delaware limited liability company ("ZFS Creston"), for aggregate cash consideration of $103,099, which includes a working capital adjustment payment of $1,034 made during the first quarter of 2022. The soybean processing facility will process the Company's proprietary soybean varieties for distribution to end customers. The acquisition of the food-grade white flake and soy flour manufacturing facility was accounted for as a business combination, and accordingly, the acquired assets and liabilities were recorded at their fair value, as presented below:

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| | |
|:---|:---|
| | **Fair Value at** <br>**December 30, 2021** |
| **Assets:** | |
| &nbsp;&nbsp;Cash and cash equivalents | $56 |
| &nbsp;&nbsp;Accounts receivable | 11746 |
| &nbsp;&nbsp;Inventories | 17283 |
| &nbsp;&nbsp;Prepaid expenses and other current assets | 3627 |
| &nbsp;&nbsp;Property and equipment | 68182 |
| &nbsp;&nbsp;Right of use asset | 853 |
| &nbsp;&nbsp;Other assets | 2000 |
| &nbsp;&nbsp;Identified intangible assets | 2220 |
| &nbsp;&nbsp;Goodwill | 7586 |
| Total assets acquired | $113553 |
| **Liabilities:** |  |
| &nbsp;&nbsp;Accounts payable | 4661 |
| &nbsp;&nbsp;Lease liability | 853 |
| &nbsp;&nbsp;Accrued expenses and other liabilities | 4940 |
| Total liabilities assumed | $10454 |
| Total purchase price | $103099 |

---

During the fourth quarter of 2022, we finalized our valuation of the acquisition date assets acquired and liabilities assumed. The measurement period adjustments recorded in 2022 primarily impacted property and equipment, intangible assets, and goodwill. Individually, the measurement period adjustments resulted in an increase to property and equipment by $8,182, an increase to Accounts Receivable by $1,017, a decrease to Inventories by $926, a decrease to Intangible assets by $8,780 and an increase to Goodwill by $1,541. The measurement period adjustments did not have a significant impact on our results of operations.

The identified intangible assets consist of customer relationships of $2,000 and permits of $220, respectively. The identified intangible assets are amortized using the straight-line method over their estimated useful lives of 15 years for customer relationships and 10 years for permits. The excess purchase price recorded to goodwill primarily represents the future economic benefits the Company expects to achieve as a result of combining operations and ZFS Creston's workforce. All of the goodwill is expected to be deductible for income tax purposes.

Effective December 30, 2021, results from the operations of the soybean processing facility have been included in the continuing operations of our consolidated statements of operations and comprehensive loss. For the year ended December 31, 2022, $169,978 of revenue was included in the consolidated statement of operations and comprehensive loss.

The unaudited pro forma impact on operating results, as if the acquisition had been completed as of the beginning of 2021, would have resulted in reported revenues and a net loss of $220,610 and $140,991, respectively. For purposes of the pro forma disclosures, the Company adjusted for $2,078 of costs attributable to the acquisition. The unaudited pro forma impact on operating results, as if the acquisition had been completed as of the beginning of 2020, would have resulted in reported revenues and a net loss of $160,804 and $82,166, respectively. The unaudited pro forma financial information is presented for informational purposes only and does not purport to represent what the results of operations would have been had the Company completed the acquisition on the date assumed, nor is it necessarily indicative of the results of operations that may be expected in future periods.

In conjunction with the acquisition we incurred $2,078 of acquisition-related costs, including legal and accounting fees. These costs were recorded in selling, general, and administrative expenses in the consolidated statement of operations for the year ended December 30, 2021.

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**Rose Acre Farms**

On September 17, 2021, we completed the acquisition of a soybean processing facility and related assets from Rose Acre Farms, Inc. ("Rose Acre Farms") based in Seymour, Indiana for cash consideration of $14,567 and entered into a long-term ground lease for the real estate upon which such soybean processing facility is located. The soybean processing facility will process the Company's proprietary soybean varieties for distribution to end customers. Effective September 17, 2021, results from the operations of the soybean processing facility have been included in the continuing operations of our consolidated statements of operations and comprehensive loss.

**4. Discontinued Operations**

On December 29, 2022, the Company entered into a Stock Purchase Agreement to sell J&J Produce, Inc. ("J&J") and all of the outstanding equity securities of J&J's subsidiaries for aggregate cash consideration of $3,000, subject to certain adjustments. J&J was the main component of the Company's former Fresh segment. The closing of the transactions contemplated by the Stock Purchase Agreement is scheduled to occur on June 30, 2023, or such other date as is mutually agreed by the parties. In connection with the Stock Purchase Agreement, on December 29, 2022, J&J entered into a Purchase and Sale Agreement, pursuant to which J&J sold certain real and personal property comprising an agricultural production and processing facility located in Vero Beach, Florida for an aggregate purchase price of $18,000, subject to certain adjustments. Certain property was leased back to J&J pursuant to a separate agricultural and facility lease for a short period of time. The Company will retain continuing involvement of certain operations related to the current harvest season and through the leaseback transaction executed with the buyer. These activities are expected to continue through the close date pursuant to the Stock Purchase Agreement. There were minimal amounts recognized in the current period related to the continued involvement in the current period. The Company incurred an impairment charge of $11,579 and net loss on the sale of $10,246 from the divestiture for the year ended December 31, 2022. The Company's strategic shift to exit the Fresh segment met the criteria to be classified as businesses held for sale and to be presented as a discontinued operation. Accordingly, the Company reclassified the results of operations of the Fresh segment to discontinued operations in its Consolidated Statements of Operations and for all periods presented.

The carrying amounts of the assets and liabilities of the discontinued operations reclassified from their historical balance sheet presentation to assets and liabilities of businesses held for sale were as follows:

---

| | | |
|:---|:---|:---|
| | **December 31,** | **December 31,** |
| | **2022** | **2021** |
| **Assets** |  |  |
| Current assets: |  |  |
| &nbsp;&nbsp;&nbsp;Cash and cash equivalents | $356 | $23 |
| &nbsp;&nbsp;&nbsp;Accounts receivable, net | 9808 | 9601 |
| &nbsp;&nbsp;&nbsp;Inventories, net | 11633 | 11720 |
| &nbsp;&nbsp;&nbsp;Prepaid expenses and other current assets | 1710 | 3447 |
| Property and equipment, net |  | 28809 |
| Right of use asset, net |  | 3740 |
| Goodwill and intangible assets, net |  | 7267 |
| Total assets of businesses held for sale | $23507 | $64607 |
| **Liabilities** |  |  |
| Current liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;Accounts payable | $9743 | $15220 |
| &nbsp;&nbsp;&nbsp;Current lease liability | 1890 | 591 |
| &nbsp;&nbsp;&nbsp;Current maturities of long-term debt | 3194 | 80 |
| &nbsp;&nbsp;&nbsp;Accrued expenses and other liabilities | 1614 | 1163 |
| Long-term debt |  | 135 |
| Long-term lease liability |  | 2002 |
| Total liabilities of businesses held for sale | $16441 | $19191 |

---

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As of December 31, 2022 and 2021, the fair value of the debt included in the liabilities of business held for sale was $3,305 and $214, respectively. Fair values are based upon valuation models using market information, which fall into Level 3 in the fair value hierarchy. The Company capitalized $1,236, $1,320 and $215 of interest costs into property and equipment during the years ended December 31, 2022, 2021 and 2020, respectively.

The operating results of the discontinued operations, net of tax, were as follows:

---

| | | | |
|:---|:---|:---|:---|
| | **Year Ended December 31,** | **Year Ended December 31,** | **Year Ended December 31,** |
| | **2022** | **2021** | **2020** |
| Revenues | $61521 | $56267 | $55278 |
| Cost of sales | 58744 | 51311 | 48009 |
| Gross profit | 2777 | 4956 | 7269 |
| Operating expenses: |  |  |  |
| &nbsp;&nbsp;&nbsp;Research and development | 22 | 4 |  |
| &nbsp;&nbsp;&nbsp;Selling, general and administrative expenses | 9168 | 9605 | 7980 |
| &nbsp;&nbsp;&nbsp;Impairment | 11579 |  | 1878 |
| Total operating expenses | 20769 | 9609 | 9858 |
| Loss from discontinued operations | (17992) | (4653) | (2589) |
| Interest expense | 33 | 9 | 154 |
| Other expense (income), net | 10179 | (615) | (104) |
| Net loss before income tax | (28204) | (4047) | (2639) |
| Income tax expense | 1 |  |  |
| Net loss from discontinued operations, net of tax | $(28205) | $(4047) | $(2639) |

---

Depreciation, amortization and significant operating and investing items in the Consolidated Statement of Cash Flows for the discontinued operations are as follows:

---

| | | | |
|:---|:---|:---|:---|
| | **Year Ended December 31,** | **Year Ended December 31,** | **Year Ended December 31,** |
| | **2022** | **2021** | **2020** |
| **Operating activities** |  |  |  |
| &nbsp;&nbsp;&nbsp;Depreciation and amortization | $2323 | $2339 | $1428 |
| &nbsp;&nbsp;&nbsp;Bad debt expense | 122 | 341 | 44 |
| &nbsp;&nbsp;&nbsp;Impairment | 11579 |  | 1878 |
| &nbsp;&nbsp;&nbsp;Net loss on divestiture | 10246 |  |  |
| **Investing activities** |  |  |  |
| Payments for acquisitions of property and equipment | (9503) | (23941) | (885) |
| Proceeds from divestiture | 17131 |  |  |

---

**5. Fair Value Measurements**

Our financial instruments consist of cash and cash equivalents, restricted cash, marketable securities, accounts receivable, commodity derivatives, commodity contracts, accounts payable, accrued liabilities, warrant liabilities, conversion option liabilities, and notes payable. As of December 31, 2022 and 2021, we had cash and cash equivalents of $25,053 and $78,940, respectively, which includes money market funds with maturities of less than three months. As of December 31, 2022, we had restricted cash of $17,912. We had no restricted cash as of December 31, 2021. As of December 31, 2022 and 2021, the carrying values of cash and cash equivalents, restricted cash, accounts receivable, accounts payable and accrued liabilities approximated fair value due to their short maturities.

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The following tables provide the financial instruments measured at fair value on a recurring basis based on the fair value hierarchy:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **December 31, 2022** | **December 31, 2022** | **December 31, 2022** | **December 31, 2022** |
| | **Level 1** | **Level 2** | **Level 3** | **Total** |
| **Assets** | | | | |
| &nbsp;&nbsp;&nbsp;U.S. treasury securities | $1059 | $— | $— | $1059 |
| &nbsp;&nbsp;&nbsp;Corporate bonds |  | 116616 |  | 116616 |
| &nbsp;&nbsp;&nbsp;Preferred stock |  | 14446 |  | 14446 |
| Marketable securities | $1059 | $131062 | $— | $132121 |
| **Liabilities** |  |  |  |  |
| Warrant liabilities | $5469 | $— | $18816 | $24285 |
| Conversion option liability |  |  | 8091 | 8091 |
| Total liabilities | $5469 | $— | $26907 | $32376 |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **December 31, 2021** | **December 31, 2021** | **December 31, 2021** | **December 31, 2021** |
| | **Level 1** | **Level 2** | **Level 3** | **Total** |
| **Assets** | | | | |
| &nbsp;&nbsp;&nbsp;U.S. treasury securities | $— | $— | $— | $— |
| &nbsp;&nbsp;&nbsp;Corporate bonds |  | 82086 |  | 82086 |
| &nbsp;&nbsp;&nbsp;Preferred stock |  | 21603 |  | 21603 |
| Marketable securities | $— | $103689 | $— | $103689 |
| **Liabilities** |  |  |  |  |
| Warrant liabilities | $20818 | $— | $25233 | $46051 |
| Conversion option liability |  |  | 8783 | 8783 |
| Total liabilities | $20818 | $— | $34016 | $54834 |

---

There were no transfers of financial assets or liabilities into or out of Level 1, Level 2, or Level 3 for 2022 or 2021.

All of the Company's derivative contracts are centrally cleared and therefore are cash-settled on a daily basis. This results in the derivative contracts having a fair value that approximates zero on a daily basis. Therefore, there are no derivative assets or liabilities included in the table above. Refer to Note 7 for further discussion.

The warrant liabilities consist of PIPE Investment Warrants, Convertible Notes Payable Warrants, Notes Payable Warrants, Private Placement Warrants, and Public Warrants. The PIPE Investment Warrants are valued based on a Monte Carlo simulation that values the warrants using a probability weighted discounted cash flow model, which are considered Level 3 liabilities. The Convertible Notes Payable Warrants, Private Placement Warrants and the Conversion Option Liability are valued based on a Black-Scholes option pricing model, which are considered Level 3 liabilities. The Public Warrants are separately listed on the NYSE and traded under the symbol "BHIL WS" and, are therefore, considered Level 1 liabilities. As the Notes Payable Warrants are exercisable to the Company's common stock at no cost, they are marked to the closing price of the Company's common stock, and therefore, are considered Level 1 liabilities. Generally, increases or decreases in the fair value of the underlying common stock would result in a directionally similar impact in the fair value measurement of the associated Level 3 warrant liabilities.

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The significant inputs to the valuation of Level 3 warrant and conversion liabilities for the year ended December 31, 2022 were as follows:

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| | | | | |
|:---|:---|:---|:---|:---|
| | **PIPE Investment Warrants** | **Private Placement Warrants** | **Convertible Notes Payable Warrants** | **Conversion Liability** |
| Exercise Price | $3.90 | $11.50 | $2.47 | $2.47 |
| Stock Price | $2.55 | $2.55 | $2.55 | $2.55 |
| Volatility | 90.4% | 84.0% | 89.0% | 64.7% |
| Remaining term in years | 4.24 | 3.75 | 4.00 | 2.00 |
| Risk-free rate | 4.0% | 4.1% | 4.1% | 4.4% |
| Dividend yield | —% | —% | —% | —% |

---

The significant inputs to the valuation of Level 3 warrant and conversion liabilities for the year ended December 31, 2021 were as follows:

---

| | | | |
|:---|:---|:---|:---|
| | **Private Placement Warrants** | **Convertible Notes Payable Warrants** | **Conversion Liability** |
| Exercise Price | $11.50 | $7.86 | $8.22 |
| Stock Price | $7.29 | $7.29 | $7.29 |
| Volatility | 72.5% | 72.5% | 52.5% |
| Remaining term in years | 4.75 | 5.00 | 3.00 |
| Risk-free rate | 1.2% | 1.3% | 1.1% |
| Dividend yield | —% | —% | —% |

---

The following table summarizes the change in the warrant and conversion option liabilities categorized as Level 3 for the years ended December 31, 2022 and 2021.

---

| | |
|:---|:---|
| | **Year Ended December 31, 2022** |
| Balance, beginning of period | $34016 |
| Change in estimated fair value | (33713) |
| Issuance of PIPE Investment warrants | 26604 |
| Balance, end of period | $26907 |

---

---

| | |
|:---|:---|
| | **Year Ended December 31, 2021** |
| Balance, beginning of period | $5241 |
| Issuance of Notes Payable Warrants and Convertible Notes Payable Warrants | 2113 |
| Issuance of Convertible Notes Payable conversion option | 8783 |
| Assumption of Private Placement Warrants upon Merger | 34045 |
| Change in estimated fair value | (11616) |
| Conversion of Notes Payable Warrants upon Merger | $(4550) |
| Balance, end of period | $34016 |

---

**Fair Value of Long-Term Debt**

As of December 31, 2022 and 2021, the fair value of the Company's debt, including amounts classified as current, was $103,814 and $84,949, respectively. Fair values are based upon valuation models using market information, which fall into Level 3 in the fair value hierarchy.

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**6. Investments in Available-for-Sale Securities**

The Company has invested in marketable debt securities, primarily investment grade corporate bonds, preferred stock, and highly liquid U.S Treasury securities, which are held in the custody of a major financial institution. These securities are classified as available-for-sale and, accordingly, the unrealized gains and losses are recorded through other comprehensive income and loss.

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **December 31, 2022** | **December 31, 2022** | **December 31, 2022** | **December 31, 2022** |
| | **Cost Basis** | **Gross Unrealized Gains** | **Gross Unrealized Losses** | **Fair Value** |
| U.S government and agency securities | $1059 | $— | $— | $1059 |
| Corporate notes and bonds | 122257 |  | (5641) | 116616 |
| Preferred stock | 15454 |  | (1008) | 14446 |
| Total investments | $138769 | $— | $(6648) | $132121 |

---

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| | | | | |
|:---|:---|:---|:---|:---|
| | **December 31, 2021** | **December 31, 2021** | **December 31, 2021** | **December 31, 2021** |
| | **Cost Basis** | **Gross Unrealized Gains** | **Gross Unrealized Losses** | **Fair Value** |
| U.S government and agency securities | $— | $— | $— | $— |
| Corporate notes and bonds | 82007 | 572 | (493) | 82086 |
| Preferred stock | 21553 | 126 | (76) | 21603 |
| Total investments | $103560 | $698 | $(569) | $103689 |

---

The aggregate fair value of investments with unrealized losses that had been owned for less than a year was $66,296 and $48,098 as of December 31, 2022 and 2021, respectively. The aggregate fair value of investments with unrealized losses that had been owned for more than one year was $64,723 as of December 31, 2022. The Company did not have any unrealized losses on investments owned for more than one year as of December 31, 2021. The Company does not intend to sell these securities before recovery of their amortized cost basis.

Available-for-sale investments outstanding as of December 31, 2022, classified as marketable securities in the consolidated balance sheets, have maturity dates ranging from the first quarter of 2023 through the fourth quarter of 2026. The fair value of marketable securities as of December 31, 2022 with maturities within one year and one to five years are $47,063 and $85,058, respectively. The Company classifies available-for-sale investments as current based on the nature of the investments and their availability to provide cash for use in current operations, if needed.

**7. Derivatives**

<u>Corporate Risk Management Activities</u>

The Company uses exchange-traded futures to manage price risk of fluctuating Chicago Board of Trade ("CBOT") prices related to forecasted purchases and sales of soybeans and soybean related products in the normal course of business. These risk management activities are actively monitored for compliance with the Company's risk management policies.

As of December 31, 2022, the Company held financial futures related to a portion of its forecasted purchases of soybeans for an aggregate notional volume of 3,730 bushels of soybeans. 3,715 bushels of the aggregate notional volume will settle in 2023 with the remaining 15 bushels settling in Q1 2024. As of December 31, 2022, the Company held financial futures related to a portion of its forecasted sales of soybean oil for an aggregate notional volume of 364 pounds of soybean oil, all of which will settle in 2023. As of December 31, 2022, the Company held financial futures related to a portion of its forecasted sales of soybean meal for an aggregate notional volume of 91 tons of soybean meal, all of which will settle in 2023.

<u>Tabular Derivatives Disclosures</u>

The Company has master netting agreements with its counterparties which allow for the settlement of contracts in an asset position with contracts in a liability position in the event of default or termination. Such netting arrangements reduce the Company's credit exposure related to these counterparties. As all of the Company's derivative contracts are centrally cleared and therefore are cash-settled on a daily basis, the fair value approximates zero.

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The Company's derivative contracts were as follows:

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| | | | | |
|:---|:---|:---|:---|:---|
| | **Year Ended December 31, 2022** | **Year Ended December 31, 2022** | **Year Ended December 31, 2021** | **Year Ended December 31, 2021** |
| | **Asset Derivative** | **Liability Derivative** | **Asset Derivative** | **Liability Derivative** |
| Soybeans | $1112 | $1925 | $18 | $49 |
| Soybean oil | 533 | 73 | 5 | 1 |
| Soybean meal | 400 | 2414 |  | 1228 |
| Effect of daily cash settlement | (2045) | (4412) | (23) | (1278) |
| Net derivatives as classified in the balance sheet | $— | $— | $— | $— |

---

The Company had a current asset representing excess cash collateral posted to a margin account of $2,714 as of December 31, 2022. These amounts are not included with the derivatives presented in the table above and are included in prepaid expenses and other current assets in the accompanying consolidated balance sheets.

Currently, the Company does not seek cash flow hedge accounting treatment for its derivative financial instruments and thus changes in fair value are reflected in current earnings.

The tables below show the amounts of pre-tax gains and losses related to the Company's derivatives

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **Year Ended December 31, 2022** | **Year Ended December 31, 2022** | **Year Ended December 31, 2022** | **Year Ended December 31, 2021** | **Year Ended December 31, 2021** | **Year Ended December 31, 2021** |
| | **Gain (loss) realized on**<br>**derivatives** | **Unrealized (loss) gain on**<br>**derivatives** | **Total (loss) gain**<br>**recognized in**<br>**income** | **Gain (loss) realized on**<br>**derivatives** | **Unrealized (loss) gain on**<br>**derivatives** | **Total (loss) gain**<br>**recognized in**<br>**income** |
| Soybeans | $(7230) | $(783) | $(8012) | $211 | $(31) | $180 |
| Soybean oil | (9781) | 438 | (9343) | 1148 | 4 | $1152 |
| Soybean meal | (3247) | (786) | (4034) | (680) | (1228) | $(1908) |
| Total | $(20258) | $(1131) | $(21389) | $679 | $(1255) | $(576) |

---

The Company's soybean positions are designed to hedge risk related to inventory purchases, therefore the gains and losses on soybean instruments are recorded in cost of sales in the accompanying consolidated statements of operations. The Company's soybean oil and soybean meal positions are designed to hedge risk related to sales transactions therefore the gains and losses on soybean oil and soybean meal instruments are recorded in revenues in the accompanying consolidated statements of operations.

The Company classifies the cash effects of its derivatives within the "Cash Flows From Operating Activities" section of the consolidated statements of cash flows.

The Company did not commence trading until January 2021, therefore there was no derivative activity or balances as of December 31, 2020.

**8. Inventories**

Inventories consist of the following:

---

| | | |
|:---|:---|:---|
| | **December 31,** | **December 31,** |
| | **2022** | **2021** |
| Raw materials and supplies | $37483 | $18018 |
| Work-in-process | 4977 | 2932 |
| Finished goods | 19650 | 16054 |
| Total inventories | $62110 | $37004 |

---

Work-in-process inventory consists of seed provided to contracted seed producers and growers with which we hold a purchase option for, or are required to purchase, the future harvested seeds or grain as well as crops under production which represent the direct costs of land preparation, seed, planting, growing, and maintenance.

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**9. Property and Equipment**

Components of property and equipment consist of the following:

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| | | |
|:---|:---|:---|
| | **December 31,** | **December 31,** |
| | **2022** | **2021** |
| Land | $812 | $123 |
| Furniture and fixtures | 3535 | 2974 |
| Machinery, field, and laboratory equipment | 33143 | 43754 |
| Computer equipment | 2062 | 1697 |
| Vehicles | 447 | 437 |
| Buildings, production facilities and improvements | 60686 | 35362 |
| Industrial, crushing and milling equipment | 25268 | 25268 |
| Construction in progress | 4372 | 1256 |
|  | 130325 | 110871 |
| Less accumulated depreciation | (30566) | (12795) |
| Property and equipment, net | $99759 | $98076 |

---

Depreciation expense was $14,788, $6,035 and $3,872 for the years ended December 31, 2022, 2021 and 2020, respectively.

**10. Leases**

The Company leases and subleases real estate in the form of land, laboratory, greenhouse, warehouse, and office facilities. The Company also leases equipment in the form of laboratory equipment, vehicles, railcars, and office equipment. The term for real estate leases ranges from one year to 21 years at inception of the contract and the term for equipment leases ranges from 3 years to 20 years at inception of the contract. Most real estate leases include one or more options to renew, with renewal terms that generally can extend the lease term from one year to 10 years. The leases considered to be financing leases include the office lease for the Company's headquarters, a building and equipment lease for the Company's Crop Accelerator facility which opened in 2021, a land lease and two equipment leases.

Lease costs are included within cost of sales, selling, general and administrative expenses, and research and development on the consolidated statements of income and comprehensive loss.

---

| | | | |
|:---|:---|:---|:---|
| | **2022** | **2021** | **2020** |
| Lease cost |  |  |  |
| Finance lease cost: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Amortization of right-of-use assets | $6620 | $3901 | $1809 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest on lease liabilities | 7101 | 3916 | 1704 |
| Operating lease cost | 1047 | 253 | 342 |
| Total lease cost | $14768 | $8070 | $3855 |

---

Operating and finance lease right of use assets and liabilities as of the balance sheet dates are as follows:

---

| | | |
|:---|:---|:---|
| | **2022** | **2021** |
| **Assets** |  |  |
| Finance lease right-of-use assets | $66533 | $72470 |
| Operating lease right-of-use assets | 1660 | 1242 |
| **Liabilities** |  |  |
| Current |  |  |
| &nbsp;&nbsp;&nbsp;Finance lease liabilities | $3318 | $1046 |
| &nbsp;&nbsp;&nbsp;Operating lease liabilities | 364 | 785 |
| Noncurrent |  |  |
| &nbsp;&nbsp;&nbsp;Finance lease liabilities | $76431 | $76712 |
| &nbsp;&nbsp;&nbsp;Operating lease liabilities | 1291 | 440 |

---

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Lease term and discount rate consisted of the following as of December 31:

---

| | | |
|:---|:---|:---|
| | **2022** | **2021** |
| Weighted-average remaining lease term (years): |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Finance leases | 13.4 | 14.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;Operating leases | 7.2 | 2.8 |
| Weighted-average discount rate: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Finance leases | 9.2% | 9.2% |
| &nbsp;&nbsp;&nbsp;&nbsp;Operating leases | 9.2% | 6.8% |

---

Supplemental cash flow and other information related to leases for each of the periods ended December 31 were as follows:

---

| | | | |
|:---|:---|:---|:---|
| | **2022** | **2021** | **2020** |
| Other information |  |  |  |
| Cash paid for amounts included in measurement of liabilities: |  |  |  |
| &nbsp;&nbsp;&nbsp;Operating cash flows from operating leases | $1931 | $261 | $796 |
| &nbsp;&nbsp;&nbsp;Operating cash flows from finance leases | 4622 | 3332 | 1472 |
| &nbsp;&nbsp;&nbsp;Financing cash flows from finance leases | 1583 | 703 | 88 |
| Right-of-use assets obtained in exchange for new lease liabilities: |  |  |  |
| &nbsp;&nbsp;&nbsp;Finance leases | $806 | $46021 | $33523 |
| &nbsp;&nbsp;&nbsp;Operating leases | 2180 | 1229 | 202 |

---

The table below reconciles the undiscounted future minimum lease payments (displayed by year and in the aggregate) under noncancellable operating leases with terms of more than one year to the total operating and finance lease liabilities recognized on the consolidated balance sheet as of December 31, 2022.

---

| | | |
|:---|:---|:---|
| | **Finance Lease** | **Operating Lease** |
| 2023 | $8505 | $502 |
| 2024 | 11030 | 367 |
| 2025 | 10996 | 224 |
| 2026 | 11107 | 199 |
| 2027 | 11304 | 172 |
| Thereafter | 94035 | 856 |
| Total lease payments | 146977 | 2320 |
| Less: NPV discount | 67227 | 665 |
| Present value of lease liabilities | $79749 | $1655 |

---

**11. Goodwill and Intangible Assets**

Information regarding our goodwill and intangible assets are as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Useful Life** | **Gross Amount** | **Accumulated**<br>**Amortization** | **Net** |
| **December 31, 2022** | | | | |
| Goodwill | Indefinite | $19226 | $— | $19226 |
| Customer relationships | 15 years | 3876 | (661) | 3215 |
| Trade names | 10 years | 715 | (292) | 423 |
| Developed and acquired technology | 13 years | 4710 | (724) | 3986 |
| Permits | 10 years | 600 | (73) | 527 |
|  |  | $29127 | $(1750) | $27377 |

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| | | | | |
|:---|:---|:---|:---|:---|
| | **Useful Life** | **Gross Amount** | **Accumulated**<br>**Amortization** | **Net** |
| **December 31, 2021** | | | | |
| Goodwill | Indefinite | $17685 | $— | $17685 |
| Customer relationships | 15 years | 7376 | (375) | 7001 |
| Trade names | 10 years | 2715 | (219) | 2496 |
| Developed and acquired technology | 15 years | 7710 | (362) | 7348 |
| Permits | 10 years | 880 | (13) | 867 |
|  |  | $36366 | $(969) | $35397 |

---

Adjustments to the fair values of the assets acquired in connection with the acquisition of ZFS Creston during the measurement period resulted in an increase in goodwill of $1,541 and a decrease in customer relationships of $5,500. In conjunction with the quantitative goodwill impairment analysis performed annually, we concluded that the fair value of goodwill exceeded the carrying amount for the years ended December 31, 2022 and 2021. We had an impairment charge of $2,954 to goodwill for the year ended December 31, 2020.

Amortization expense on definite lived intangibles was $782, $566 and $440 for the years ended December 31, 2022, 2021 and 2020, respectively.

As of December 31, 2022, future amortization of intangible assets is estimated as follows:

---

| | |
|:---|:---|
| | **Amount** |
| **Year ending December 31:** | |
| 2023 | $779 |
| 2024 | 779 |
| 2025 | 779 |
| 2026 | 779 |
| 2027 | 779 |
| Thereafter | 4256 |
|  | $8151 |

---

The weighted average amortization period in total and by intangible asset class as of December 31, 2022 is as follows:

---

| | |
|:---|:---|
| Customer relationships | 15.0 years |
| Trade names | 10.0 years |
| Developed technology | 13.0 years |
| Permits | 10.0 years |
| Total | 13.4 years |

---

**12. Other Current Assets**

Prepaid expenses and other current assets consist of the following:

---

| | | |
|:---|:---|:---|
| | **December 31,** | **December 31,** |
| | **2022** | **2021** |
| Restricted Cash | $17912 | $— |
| Prepaid expenses | $7372 | $8443 |
| Derivative margin asset | 2714 | 3273 |
| Contract asset | 433 | 2588 |
| Tax receivable | 181 | 1578 |
| Deposits | 702 | 508 |
| Commitment asset |  | 416 |
| Other | 32 |  |
|  | $29346 | $16806 |

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**13. Accrued Expenses and Other Current Liabilities**

Accrued expenses and other current liabilities consist of the following:

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| | | |
|:---|:---|:---|
| | **December 31,** | **December 31,** |
| | **2022** | **2021** |
| Payroll and employee benefits | $12306 | $8736 |
| Insurance premiums | 4687 | 4098 |
| Professional services | 2842 | 2517 |
| Research and development | 924 | 1043 |
| Inventory | 530 | 3168 |
| Interest | 167 | 178 |
| Contract liability | 9965 | 2652 |
| Other | 2014 | 3216 |
|  | $33435 | $25608 |

---

**14. Debt**

---

| | | |
|:---|:---|:---|
| | **December 31,** | **December 31,** |
| | **2022** | **2021** |
| DDB Term Loan, due April 2024 | $7393 | $8531 |
| DDB Equipment Loan, due April 2024 | 1225 | 1925 |
| Convertible Notes Payable, due January 2025 | 104591 | 80000 |
| Creston Note Payable, matured August 2022 |  | 5000 |
| Equipment financing, due March 2025 | 873 |  |
| Notes payable, varying maturities through June 2026 | 81 | 98 |
| DDB Revolver |  | 47 |
| Less: unamortized debt discount and debt issuance costs | (7930) | (11665) |
|  | 106233 | 83936 |
| Less: DDB Revolver |  | (47) |
| Less: current maturities of long-term debt | (2242) | (6854) |
| Long-term debt | $103991 | $77035 |

---

<u>Term Loan, Equipment Loan and Revolver</u>

In April 2019, our wholly owned subsidiary, DDB entered into a Credit Agreement comprised of a $14,000 aggregate principal amount of floating rate, five-year term loan ("DDB Term Loan"), a $3,500 floating rate, five-year loan to be used for facility expansion ("DDB Equipment Loan"), and a $6,000 floating rate revolving credit facility ("DDB Revolver"), which is renewed annually (together the "Credit Agreement"). As of December 31, 2022, the interest rate is U.S. prime rate plus 0.75% on the DDB Term Loan and DDB Equipment Loan, and U.S. prime rate plus 0.25% on the DDB Revolver.

The Credit Agreement is secured by substantially all the real and personal property of DDB and is guaranteed, in part, by Benson Hill, the parent company, to a maximum of $7,000. The DDB Term Loan is payable in equal quarterly installments of $284 plus interest with the remaining balance of $5,972 due in April 2024. The Equipment Loan is payable in equal quarterly installments of $175 plus interest through July 2024.

Under the Credit Agreement, DDB and the Company must comply with certain financial covenants based on DDB's operations, including a minimum working capital covenant, a minimum net worth covenant, a funded debt to EBITDA ratio covenant, and a fixed charge coverage ratio covenant.

Benson Hill as guarantor must also comply with a minimum cash covenant. The Credit Agreement also contains various restrictions on our activities, including restrictions on indebtedness, liens, investments, distributions, acquisitions and dispositions, control changes, transactions with affiliates, establishment of bank and brokerage accounts, sale-leaseback transactions, margin stocks, hazardous substances, hedging, and management agreements. During 2022, we were not in violation of the financial covenants under the Credit Agreement.

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In the fourth quarter of 2022, the DDB Revolver maturity date was extended to November 2023. While the Company is currently in compliance with the amended covenants, there is a risk that the Company will not maintain compliance with the covenants, as discussed further in *[Note 1](#i437deb9913be4f4a8711fb195a433029_97)[- Description of Business](#i437deb9913be4f4a8711fb195a433029_97)*.

<u>Convertible Notes Payable</u>

In December 2021, the Company entered into a financing agreement with an investment firm (the "Convertible Loan and Security Agreement"), which included a commitment by the lender to make term loans available to the Company in an amount of up to $100,000 with $80,000 available immediately. Under the original Convertible Loan and Security Agreement, upon the Company's achievement of certain milestones, a second tranche of $20,000 is available on June 30, 2022 and the Company can extend the interest-only period from 12 to 24 months and the maturity date by six months effective September 30, 2022.

The Company executed term notes with the lender in December 2021 in the aggregate amount of $80,000 with an initial term of 36 months payable in interest only, at the greater of (a) the prime rate of interest as published in the Wall Street Journal or (b) 3.25% per annum, plus 5.75% per annum for the first 12 months and principal and interest payments for the remaining 24 months. The term notes are secured by substantially all of the Company's assets.

In June 2022, the Company amended the Convertible Loan and Security Agreement, which changed the definition of gross margin, the Conversion Price and the Exercise Price. The amendment to the definition of gross margin removed the impact of derivative hedging gains or losses related to future periods and resulted in the Company's achievement of the milestones required to draw on the second tranche. The Company drew on the full amount of the second tranche, $20,000.

In November 2022, the Company entered into a second amendment to the Convertible Loan and Security Agreement, which, among other things, changed the definition of Outstanding Shares based on the updated definition of Market Cap Threshold I. This update served to affirm that the Company successfully met the market capitalization threshold for the 30 trading days ended September 22, 2022. Additionally, the required minimum liquidity covenant requirement was reduced from six months to four months. The amendment also increased the designated interest rate by 25 basis points. Pursuant to the amendment, the Company achieved the milestones required to extend the interest-only period from 12 to 24 months and extend the maturity date by six months. This extended the interest-free period through 2023 and the maturity date to July 2025.

Upon maturity or other satisfaction of the term notes, a final payment (in addition to other payments of principal and interest) equal to $10,700 is payable by the Company to the lenders, however in the event all or any part of any term notes are outstanding when a change of control as defined in the Convertible Loan and Security Agreement occurs, the required final payment is $14,200. In the event the term notes are prepaid, a prepayment fee is due, ranging from 1% to 6% of the principal amount of the term notes, based upon the time from the initial closing to the prepayment date.

At any time after six months and before 42 months from the closing date of the initial term loans, up to $20,000 of the principal amount of the term loans then outstanding may be converted (at the lender's option) into shares of the Company's common stock at a price per share ("Conversion Price") equal to the lower of (a) $2.47; (b) in the case of any "equity purchase commitments" and/or "at-the-market" or similar transactions, which result in the realization by the Company of gross proceeds of $20,000 or more over any period of 14 consecutive trading days prior to September 30, 2022, the VWAP of the common stock on the last trading day of such 14 day period; or (c) the effective price per share of any bona fide equity offering, which closes after June 30, 2022 and prior to September 30, 2022.

The conversion option is subject to: (a) the closing sales price of the Company's common stock for each of the seven consecutive trading days immediately preceding the conversion, being greater than or equal to the conversion price; (b) the shares of the Company's common stock issued in connection with any such conversion not exceeding 20% of the total trading volume of the Company's common stock for the 22 consecutive trading days immediately prior to and including the effective date of the conversion; and (c) all lenders' pro forma shares of the Company's common stock resulting from the conversion option, when added to all lenders' pro forma shares of the Company's common stock resulting from the exercise of the warrants (see *[Note](#i437deb9913be4f4a8711fb195a433029_136)[1](#i437deb9913be4f4a8711fb195a433029_136)[5](#i437deb9913be4f4a8711fb195a433029_136)[- Warrant Liabilities](#i437deb9913be4f4a8711fb195a433029_136)*), not exceeding 2.5% of the number of shares of the Company's common stock outstanding at the time of the conversion.

As of the date of this report, the lender has not yet exercised their conversion option for any portion of the outstanding principal. The fair value of the conversion option, estimated at $8,783 at issuance, was recorded as a debt discount, which is amortized over the life of the term notes using the effective interest method and recorded as interest expense.

Under the terms of the Convertible Loan and Security Agreement, we must comply with certain affirmative, negative, and financial covenants. These covenants are primarily restrictions on our activities, including restrictions on indebtedness, liens, dividends, and significant business changes. The Company is required to maintain, at all times, a minimum liquidity equal to or greater than four months. We were in compliance with these covenants for the year ended December 31, 2022.

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<u>Creston Note Payable</u>

In connection with the acquisition of ZFS Creston in December 2021, the Company entered into a note payable with Zeeland Farm Services, Inc., a Michigan corporation, in the amount of $5,000 (the "Creston Note Payable"). The Creston Note Payable was payable in monthly installments equal to the greater of the reduction in the inventory value at ZFS Creston in the preceding month or $833 plus interest at 3% per annum from March 2022 to August 2022. The amount was paid in full as of August 2022.

<u>Equipment Financing</u>

In March 2022, the Company entered into a sale-leaseback transaction relating to certain of the Company's equipment. The Company evaluated whether the transaction qualified as a sale under ASC 606 and ultimately determined that as the leases are classified as financing leases under ASC 842, the transaction did not qualify as a sale and therefore control of the equipment was not transferred. Therefore, the proceeds from the sales of $1,160 were recorded as a financing liability. The Company will make monthly payments of $33 under the financing arrangement for a term of 36 months.

<u>Debt maturities</u>

The contractual maturities of debt as of December 31, 2022 are as follows:

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| | |
|:---|:---|
| | **Amount** |
| **Year ending December 31:** | |
| 2023 | $2242 |
| 2024 | 73860 |
| 2025 | 33458 |
| 2026 | 12 |
| Thereafter |  |
|  | $109573 |

---

The contractual maturities table excludes the Convertible Notes Payable final payment outlined above.

**15. Warrant Liabilities**

<u>Notes Payable Warrants</u>

In February 2020, the Company issued 1,077 warrants to purchase Series C-1 preferred shares or any subsequent preferred share round of Benson Hill Preferred Stock. The preferred stock warrant remained outstanding at the close of the Merger and, therefore, converted into a New Benson Hill Warrant without any action on the part of the Company or the warrant holder. Each warrant was converted based on the Exchange Ratio of 1.0754 resulting in 1,158 warrants to purchase New Benson Hill Common Stock which remained outstanding as of December 31, 2022 at an adjusted stock purchase price of $3.43.

The warrants are exercisable at the warrant holder's discretion at any time before the expiration date of December 2035. If the New Benson Hill Warrant is held to expiration or if a change of control occurs, the warrants shall automatically exercise at no cost to the holder. Should the Company consummate a bridge financing prior to a change of control, the holders of the warrants may surrender their warrants to the Company and receive in exchange all of the same consideration, securities, instruments and rights as if the holder participated in the bridge financing with a loan in an amount equal to the shares issuable upon exercise of the warrants multiplied by the stock purchase price.

Immediately prior to the closing of the Merger with STPC on September 29, 2021, which qualified as a Liquidity Event, the warrant was automatically exchanged for 325 shares of Legacy Benson Hill Common Stock at no cost to the holder and a stock purchase warrant for 225 shares of the Company's common stock was issued to the holder at an exercise price of $10.00. The Legacy Benson Hill Common Stock issued was converted at the Exchange Ratio resulting in 350 shares of New Benson Hill Common Stock and the stock purchase warrant was converted at the Exchange Ratio resulting in 242 warrants to purchase New Benson Hill Common Stock at an adjusted stock purchase price of $9.30. The stock purchase warrant was determined to be equity classified in accordance with U.S. GAAP and was outstanding as of December 31, 2022.

<u>Convertible Notes Payable Warrants</u>

In December 2021 and in connection with the issuance of Convertible Notes Payable with an original principal amount of $80,000 along with a commitment to extend an additional $20,000 upon the achievement of certain milestones (see *[Note](#i437deb9913be4f4a8711fb195a433029_133)[14](#i437deb9913be4f4a8711fb195a433029_133)[—](#i437deb9913be4f4a8711fb195a433029_133)*

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*[Debt](#i437deb9913be4f4a8711fb195a433029_133)*), the Company issued warrants exercisable or exchangeable for up to such aggregate number of shares of the Company's common stock determined by dividing $3,000 by the exercise price of $2.47. The warrants remained outstanding as of December 31, 2022.

The warrants are exercisable at the warrant holder's discretion at any time before the expiration date of December 2026. Upon a change in control the warrants would be automatically exchanged for shares of the Company's common stock at no cost to the holder.

<u>PIPE Investment Warrants</u>

In March 2022, the Company entered into definitive subscription agreements with certain investors providing for the private placement of an aggregate of 26,150 units at a price of $3.25 per unit ("PIPE Investment"), for an aggregate purchase price of $85,000. Each unit consists of (i) one share of the Company's common stock, par value $0.0001 per share, and (ii) a warrant to purchase one-third of one share of common stock for a total of 8,716 warrants. All 8,716 warrants remained outstanding as of December 31, 2022.

Each warrant to purchase common stock has an exercise price of $3.90 per share and may not be exercised if the aggregate number of shares of common stock beneficially owned by the holder thereof would exceed a specified threshold set forth therein, subject to increase to up to 19.99% at the option of the holder. Each warrant is redeemable by the Company for $0.10 if the closing price of the Company's common stock exceeds $9.75 per share for any 20 trading days within a 30-trading day period.

The warrants are exercisable at the warrant holder's discretion at any time before the expiration date of March 2027.

<u>Public and Private Placement Warrants</u>

On January 8, 2021, Star Peak Corp II consummated its IPO of 40,250 units. Each unit consists of one share of Class A common stock and one-fourth of one Public Warrant for a total of 10,063 Public Warrants. Simultaneously with the closing of STPC's IPO, STPC consummated the private placement of 6,553 Private Placement Warrants. Upon the completion of the Merger, the Company assumed each of these warrants, which remain outstanding in whole as of December 31, 2022.

Public Warrants may only be exercised for a whole number of shares of common stock. No fractional Public Warrants will be issued upon separation of the Units and only whole Public Warrants are publicly traded under the ticker BHIL WS. The Public Warrants have an exercise price of $11.50 per share, subject to adjustments, and will expire five years after the completion of a Business Combination (September 2026) or earlier upon redemption or liquidation. The Public Warrants will become exercisable on January 8, 2022. The Private Placement Warrants are identical to the Public Warrants, except the Private Placement Warrants will be non-redeemable so long as they are held by Star Peak Sponsor II LLC ("the Sponsor") or its permitted transferees. If the Private Placement Warrants are held by someone other than the Sponsor or its permitted transferees, the Private Placement Warrants will be redeemable by the Company and exercisable by such holders on the same basis as the Public Warrants.

*Redemption of Public Warrants and Private Placement Warrants when the price per share of common stock equals or exceeds $18.00:* 

Once the Public Warrants and Private Placement Warrants become exercisable, the Company may redeem the outstanding warrants (except as described herein with respect to the Private Placement Warrants): in whole and not in part; at a price of $0.01 per warrant; upon a minimum of 30 days' prior written notice of redemption; and if, and only if, the last reported sale price (the "closing price") of common stock equals or exceeds $18.00 per share (as adjusted) for any 20 trading days within a 30-trading day period ending on the third trading day prior to the date on which the Company sends the notice of redemption to the warrant holders.

The Company will not redeem the warrants as described above unless a current prospectus relating to those shares of common stock is available throughout the 30-day redemption period. Any such exercise would not be on a "cashless" basis and would require the exercising holder to pay the exercise price for each warrant being exercised.

*Redemption of Public Warrants and Private Placement Warrants when the price per share of common stock equals or exceeds $10.00:*

Commencing 90 days after the warrants become exercisable, the Company may redeem the outstanding warrants: in whole and not in part; at $0.01 per warrant upon a minimum of 30 days' prior written notice of redemption, provided that holders will be able to exercise their warrants, but only on a cashless basis, prior to redemption and receive that number of shares determined by reference to an agreed table based on the redemption date and the "fair market value" of common stock; if, and only if, the

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closing price of the common stock equals or exceeds $10.00 per Public Share (as adjusted) for any 20 trading days within the 30-trading day period ending three trading days before the Company sends the notice of redemption to the warrant holders; and if the closing price of the common stock for any 20 trading days within a 30-trading day period ending on the third trading day prior to the date on which the Company sends the notice of redemption to the warrant holders is less than $18.00 per share (as adjusted), the Private Placement Warrants must also be concurrently called for redemption on the same terms as the outstanding Public Warrants, as described above.

The "fair market value" of common stock for the above purpose shall mean the volume weighted average price of common stock during the 10 trading days ending on the third trading day immediately following the date on which the notice of redemption is sent to the holders of warrants. In no event will the warrants be exercisable in connection with this redemption feature for more than 0.361 shares of common stock per warrant (subject to adjustment).

**16. Income Taxes**

The components of income (loss) before income taxes for the years ended December 31 consists of the following (in thousands USD):

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| | | | |
|:---|:---|:---|:---|
| | **2022** | **2021** | **2020** |
| Domestic operations | $(99448) | $(121508) | $(64593) |
| Foreign operations | (193) | (461) | 121 |
| Total loss before income taxes | $(99641) | $(121969) | $(64472) |

---

The provision for income taxes for the years ended December 31 consists of the following (in thousands USD):

---

| | | | |
|:---|:---|:---|:---|
| | **2022** | **2021** | **2020** |
| Current: |  |  |  |
| &nbsp;&nbsp;Federal | $— | $— | $— |
| &nbsp;&nbsp;State | 17 |  | 7 |
| &nbsp;&nbsp;Foreign | 53 | (63) | 41 |
| Total current | 70 | (63) | 48 |
| Deferred: |  |  |  |
| &nbsp;&nbsp;Federal | 15 | 54 |  |
| &nbsp;&nbsp;State | 5 | 43 |  |
| &nbsp;&nbsp;Foreign | (31) | 197 |  |
| Total deferred | (11) | 294 |  |
| Income tax expense | $59 | $231 | $48 |

---

Reconciliation of the Federal statutory income tax provision for the Company's effective income tax provision for the years ended December 31 (in thousands USD):

---

| | | | |
|:---|:---|:---|:---|
| | **2022** | **2021** | **2020** |
| Tax at federal statutory rate | $(20925) | $(25613) | $(13539) |
| State taxes, net of federal effect | (4898) | (2463) | (2040) |
| R&D Credit | (2513) | (2442) | (1289) |
| Valuation allowance | 40377 | 30213 | 15724 |
| Warrant revaluation | (12156) | (3728) | 162 |
| Transaction costs | (1237) | 2936 |  |
| Stock based compensation | 1763 | 628 | 176 |
| Other, net | (352) | 700 | 854 |
| Provision for income taxes | $59 | $231 | $48 |

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The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities as of December 31 are presented as follows (in thousands USD):

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| | | |
|:---|:---|:---|
| | **2022** | **2021** |
| Deferred tax assets: |  |  |
| &nbsp;&nbsp;Net operating losses | $65905 | $51580 |
| &nbsp;&nbsp;R&D credits | 9013 | 6672 |
| &nbsp;&nbsp;Interest limitation carryover | 6467 | 3682 |
| &nbsp;&nbsp;Intangible assets | 12213 | 10439 |
| &nbsp;&nbsp;Stock based compensation | 3866 | 1031 |
| &nbsp;&nbsp;Advance payments | 2492 |  |
| &nbsp;&nbsp;Capitalized R&D expenditures | 10566 |  |
| &nbsp;&nbsp;Right of use lease liabilities | 20457 | 19833 |
| &nbsp;&nbsp;Loss on discontinued operations | 9976 |  |
| &nbsp;&nbsp;Other | 7258 | 2331 |
| &nbsp;&nbsp;Gross deferred tax assets | 148213 | 95568 |
| &nbsp;&nbsp;Less valuation allowance | (118040) | (65134) |
| Net deferred tax assets | 30173 | 30434 |

---

---

| | | |
|:---|:---|:---|
| Deferred tax liabilities: |  |  |
| &nbsp;&nbsp;Right of use assets | $(17137) | $(18503) |
| &nbsp;&nbsp;Property and equipment | (11826) | (11933) |
| &nbsp;&nbsp;Other | (1493) | (292) |
| &nbsp;&nbsp;Gross deferred tax liabilities | (30456) | (30728) |
| Net deferred tax liability | $(283) | $(294) |

---

As discussed in *[Note 1 -](#i437deb9913be4f4a8711fb195a433029_97)[Description of the Business](#i437deb9913be4f4a8711fb195a433029_97)*, the Company has made the strategic decision to exit the Fresh segment. The tax treatment of the divestiture will result in tax loss recognition to the Company in the year of divestiture with no carryover of tax losses and other attributes of the divested business. As a result we have recorded a deferred tax asset of $9,976 that is expected to be recognized in 2023. There was no tax benefit recorded due to our valuation allowance position. Any tax benefit would have been recorded as a benefit to discontinued operations.&nbsp;&nbsp;&nbsp;&nbsp;

On August 16, 2022, the Inflation Reduction Act of 2022 ("IRA") was signed into law. This legislation introduces a 15% corporate alternative minimum tax and a 1% excise tax on stock buybacks among its key tax provisions. The IRA is effective for years beginning after December 31, 2022. The Company does not anticipate material impact in the current year and will continue to evaluate the impacts this will have on future periods.

Under the Tax Cuts and Jobs Act of 2017, research and development costs are no longer fully deductible and are required to be capitalized and amortized for U.S. tax purposes effective January 1, 2022. The increase to our gross deferred tax assets related to the mandatory capitalization requirement is fully offset by the valuation allowance.

As of December 31, 2022, and 2021, the Company has a net operating loss carryforward, before tax effect, of $276,638 and $223,961 for federal tax purposes, respectively, $156,501 and $106,644 for state tax purposes, respectively and $408 and $1,383 for foreign, respectively. Beginning in tax year 2018 and forward, the federal law has changed such that net operating losses generated after December 31, 2017 may be carried forward indefinitely but may only offset 80% of taxable income. Based on the current law, $24,429 of the federal net operating losses will begin to expire in 2032 and $252,209 of the federal net operating losses have no expiration. The state and foreign losses will begin to expire in 2027 and 2037, respectively.

As of December 31, 2022, and 2021, the Company also has federal research and development tax credit carryforwards of approximately $9,013 and $6,672, respectively, to offset future income taxes, which will begin to expire in December 2034.

Net operating losses and other tax attributes may become subject to an annual limitation in the event of certain cumulative changes in the ownership interest as defined under Sections 382 and 383 in the Internal Revenue Code. This could limit the amount of tax attributes that can be utilized annually to offset future taxable income or tax liabilities. Analysis of ownership activity occurring through December 31, 2021, indicated that approximately $3,200 of our federal net operating losses and R&D equivalents would be limited under Section 382 due to an ownership change that occurred in 2015. These attributes have

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been removed from the carryforwards and reflected in the statutory rate reconciliation above. We have not yet finalized analysis of activity through December 31, 2022, or possible impacts on state net operating losses, but these are not expected to have a material permanent impact on our ability to utilize our federal and state net operating losses.&nbsp;&nbsp;&nbsp;&nbsp;

We provide for a valuation allowance when it is more likely than not that we will not realize a portion of the deferred tax assets. We have established a valuation allowance against our deferred tax assets described above as current evidence does not suggest we will realize enough taxable income of the appropriate character within the carryforward period to allow us to realize these deferred tax benefits. As of December 31, 2022, and 2021, the Company has provided a valuation allowance of $118,040 and $65,134, respectively. The change in the valuation allowance of $52,906 was primarily due to the generation of additional net operating losses and tax credits for which no benefit was provided.

We are subject to federal income taxes in the U.S., Brazil, and Canada, as well as various state and local jurisdictions. Currently, no federal or state income tax returns are under examination by the respective income tax authorities, although tax years 2019-2022 remain open for U.S. federal purposes. Tax years 2018-2022 remain open for most states, Brazil and Canada.

Several years may elapse before an uncertain tax position is audited and finally resolved. While it is often difficult to predict the outcome or the timing of resolution of any uncertain tax position, we do not believe that we need to recognize any liabilities for uncertain tax positions as of December 31, 2022 or 2021. Further, the Company does not anticipate a significant change to the amount of unrecognized tax benefits within the next twelve months. The Company's policy is to accrue or charge tax penalties and interest related to tax balances to income tax expense. No penalties or interest have been expensed in the reported periods.

**17. Comprehensive Loss**

The Company's other comprehensive income (loss) ("OCI") consists of unrealized gains and losses on marketable debt securities classified as available for sale and foreign currency translation adjustments from its subsidiaries in Brazil and Canada. The following table shows changes in accumulated other comprehensive income (loss) ("AOCI") by component for the years ended 2022, 2021 and 2020:

---

| | | | |
|:---|:---|:---|:---|
| | **Cumulative<br>Foreign Currency<br>Translation** | **Unrealized<br>Gains/(Losses) on<br>Marketable Securities** | **Total** |
| Balance as of December 31, 2019 | $(154) | $(59) | $(213) |
| &nbsp;&nbsp;&nbsp;&nbsp;Other comprehensive loss before reclassifications | (226) | (109) | (335) |
| &nbsp;&nbsp;&nbsp;&nbsp;Amounts reclassified from AOCI |  | 223 | 223 |
| &nbsp;&nbsp;Other comprehensive (loss) income | (226) | 114 | (112) |
| Balance as of December 31, 2020 | (380) | 55 | (325) |
| &nbsp;&nbsp;&nbsp;&nbsp;Other comprehensive (loss) income before reclassifications | 4 | (1813) | (1809) |
| &nbsp;&nbsp;&nbsp;&nbsp;Amounts reclassified from AOCI |  | 1031 | 1031 |
| &nbsp;&nbsp;Other comprehensive (loss) income | 4 | (782) | (778) |
| Balance as of December 31, 2021 | (376) | (727) | (1103) |
| &nbsp;&nbsp;&nbsp;&nbsp;Other comprehensive loss before reclassifications | (9) | (3678) | (3687) |
| &nbsp;&nbsp;&nbsp;&nbsp;Amounts reclassified from AOCI |  | (2305) | (2305) |
| &nbsp;&nbsp;Other comprehensive loss | (9) | (5983) | (5992) |
| Balance as of December 31, 2022 | $(385) | $(6710) | $(7095) |

---

Amounts reclassified from AOCI were reported within "Other (income) expense, net" on the consolidated statement of operations. The Company's accounting policy is to release the income tax effects (if applicable) from AOCI when the individual units of account are sold.

**18. Loss Per Common Share**

The Company computes basic net income (loss) per share using the weighted average number of common shares outstanding during the period. Diluted net income (loss) per share is computed using the weighted average number of common shares and the effect of potentially dilutive securities outstanding during the period. Potentially dilutive securities may consist of warrants, stock options, and restricted stock units. The dilutive effect of outstanding warrants, stock options, and restricted stock units are reflected in diluted earnings per share by application of the treasury stock method. The weighted average share impact of

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warrants, stock options, and restricted stock units that were excluded from the calculation of diluted shares outstanding due to the Company incurring a net loss for the years ended December 31, 2022, 2021 and 2020 were as follows:

---

| | | | |
|:---|:---|:---|:---|
| Anti-dilutive common share equivalents: | **2022** | **2021** | **2020** |
| Warrants |  | 577 | 75 |
| Stock options | 4230 | 6773 | 2090 |
| Restricted stock units | 4981 | 116 |  |
| Total anti-dilutive common share equivalents | 9211 | 7466 | 2165 |

---

The following table provides the reconciliation of net loss from continuing operations attributable to common stockholders and basic and diluted loss per common share by outlining the numerators and denominators of the computations for the years ended December 31:

---

| | | | |
|:---|:---|:---|:---|
| | **2022** | **2021** | **2020** |
| Numerator: |  |  |  |
| &nbsp;&nbsp;Net loss from continuing operations | $(99700) | $(122200) | $(64520) |
| Denominator: |  |  |  |
| &nbsp;&nbsp;Weighted average common shares outstanding, basic and diluted | 179867 | 121838 | 83295 |
| Net loss from continuing operations per common share, basic and diluted | $(0.55) | $(1.00) | $(0.77) |

---

**19. Stock-Based Compensation**

On June 12, 2012, the shareholders approved the 2012 Equity Incentive Plan (the "2012 Plan"), which has been subsequently amended. The 2012 Plan provides for the issuance of up to 17,464 equity-based awards in the form of restricted common stock or stock options awards to eligible employees, directors, and consultants.

On September 29, 2021, stockholders approved the 2021 Omnibus Incentive Plan, (the "Plan"), replacing the 2012 Equity Incentive Plan ("2012 Plan"), pursuant to which the Company's Board of Directors (the "Board") may grant stock awards, including stock options, stock appreciation rights, restricted stock awards, restricted stock units and other stock-based awards, to officers, employees, and directors. The Plan allows for non-employee director grants, which are accounted for in the same manner as employee awards. The Plan provides for the issuance of up to 16,502 stock awards as of December 31, 2022 in addition to the number of shares which remained available for issuance under the 2012 Plan.

<u>Stock Options</u>

Granted stock options typically vest over two years for board members and four years for all other grants with a contractual life of ten years. The exercise price of stock options were set at the fair market value of such shares on the date of grant.

There were no stock options granted for the year ended December 31, 2022. The grant date fair value for the Company's stock options for the year ended December 31, 2021 were based on the following assumptions used within the Black-Scholes option pricing model:

---

| | |
|:---|:---|
| Expected dividend yield | 0% |
| Expected volatility | 63% |
| Risk-free interest rate | 0.7% |
| Expected term in years | 6.1 years |
| Weighted average grant date fair value | $1.49 |

---

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The following is a summary of our stock option information:

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| | | | | |
|:---|:---|:---|:---|:---|
| | **Shares** | **Weighted Average Exercise Price** | **Weighted Average Remaining Contractual Term** | **Aggregate Intrinsic Value as of December 31, 2022** |
| Balance at December 31, 2021 | 12100 | $1.76 |  |  |
| &nbsp;&nbsp;&nbsp;Granted |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Exercised | (2333) | 1.05 |  |  |
| &nbsp;&nbsp;&nbsp;Canceled & Forfeited | (1325) | 2.24 |  |  |
| &nbsp;&nbsp;&nbsp;Expired | (90) | 3.27 |  |  |
| Balance at December 31, 2022<sup>(1)</sup> | 8352 | $1.87 | 6.95 years | $7515 |
| Exercisable at December 31, 2022 | 5555 | $1.57 | 6.66 years | $5863 |

---

(1)&nbsp;&nbsp;&nbsp;&nbsp;All 8,352 shares were vested or expected to vest at December 31, 2022.

<u>Restricted Stock Units</u> 

RSUs are convertible into shares of Company common stock upon vesting on a one-to-one basis. The RSUs outstanding as of December 31, 2022 represent a combination of RSUs subject to only time vesting conditions and RSUs subject to both time and market based performance vesting conditions. Any unvested portion of the RSUs shall be terminated and forfeited upon termination of employment or service of the grantee or the failure to achieve performance-based vesting conditions within the award term. The time based awards' grant date fair value was determined based on the Company's stock price on the date of grant. Certain of the market based performance awards' grant date fair value was determined using a Monte Carlo simulation. Recognition of stock-based compensation expense of all vesting tranches commenced on the date of grant, as the probability of meeting the price thresholds are not considered in determining the timing of expense recognition. Key assumptions for estimating the market based performance awards' fair value at the date of grant included the closing price of the Company's common stock on the grant date, historical volatilities of the common stock of comparable publicly traded companies, the risk free interest rate, and the grant term.

Information regarding the RSUs activity and weighted average grant-date fair value follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Time Based Awards** | **Time Based Awards** | **Market Based Performance Awards** | **Market Based Performance Awards** |
|<br>**Time Based Awards** | **RSUs** | **Weighted<br>Average Grant Date Fair Value** | **RSUs** | **Weighted<br>Average Grant Date Fair Value** |
| Balance as of December 31, 2021 | 226 | $8.28 | 1682 | $6.14 |
| &nbsp;&nbsp;&nbsp;Granted | 7580 | 5.07 | 3025 | 4.05 |
| &nbsp;&nbsp;&nbsp;Released | (107) | 6.62 |  |  |
| &nbsp;&nbsp;&nbsp;Cancelled and forfeited | (1201) | 6.05 | (466) | 5.08 |
| Balance as of December 31, 2022 | 6498 | $4.98 | 4241 | $4.76 |

---

<u>Stock-Based Compensation Expense</u> 

The Company recognized $19,520, $7,183 and $1,010 of compensation expense related to grants during the years ended December 31, 2022, 2021 and 2020, respectively.

As of December 31, 2022, the total unrecognized compensation cost related to equity awards granted was $50,020. The Company expects to recognize total unrecognized compensation cost over a remaining weighted average period of 2.1 years.

**20. Common Stock**

The Company is authorized to issue 440,000 shares of common stock with a par value of $0.0001 per share. Holders of common stock are entitled to one vote for each share. As of December 31, 2022, there were 206,668 shares issued and outstanding. The common stock has the following characteristics:

<u>Voting</u>: Each holder of common stock shall be entitled to one vote for each such share on any matter that is submitted to a vote of stockholders and shall otherwise have the rights conferred by applicable law in respect of such shares.

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<u>Dividends</u>: Dividends, or other distributions in cash, securities or other property of the Company may be declared and paid or set apart for payment upon the common stock by the Board of Directors from time to time out of any assets or funds of the Company legally available for the payment of dividends, and all holders of common stock shall be entitled to participate in such dividends ratably on a per share basis. No dividends have been declared or paid in the year ended December 31, 2022.

<u>Liquidation</u>*:* Upon any liquidation, dissolution or winding up of the Company, whether voluntary or involuntary, and after the holders of the preferred stock of each series shall have been paid in full the amounts to which they respectively shall be entitled in preference to the common stock in accordance with the terms of any outstanding preferred stock and applicable law, the remaining net assets and funds of the Company shall be distributed pro rata to the holders of the common stock and the holders of any preferred stock, but only to the extent that the holders of any preferred stock shall be entitled to participate in such distributions in accordance with the terms of any outstanding preferred stock or applicable law. A consolidation or merger of the Company with or into another corporation or corporations or a sale, whether for cash, shares of stock, securities or properties, or any combination thereof, of all or substantially all of the assets of the Company shall not be deemed or construed to be a liquidation, dissolution or winding up of the Company.

<u>Shares Available for Future Issuance</u>: Shares of common stock available for future issuance along with a reconciliation of shares issued or issuable are as follows as of December 31, 2022:

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| | |
|:---|:---|
| Common stock issued and outstanding | 206668 |
| Warrants granted and outstanding | 36043 |
| Options granted and outstanding | 8352 |
| RSUs granted and outstanding | 10739 |
| 2021 Omnibus plan reserved shares | 3538 |
| Employee Stock Purchase Plan reserved shares | 5000 |
| At The Market (ATM) reserved shares | 39930 |
| Total | 310270 |
| Maximum number of shares available for issuance | 129730 |
| Shares authorized | 440000 |

---

During the fourth quarter of 2022, the Company filed, and the SEC subsequently declared effective, a shelf registration statement on Form S-3 that includes an "at-the-market" facility for the offer and sale of the Company's Common Stock with an aggregate offering price of up to $100 million.

**21. Employee Benefit Plans and Other Compensation Benefits**

<u>Retirement Plans</u>

We sponsor four qualified plans under Section 401(k) of the Internal Revenue Code along with a simple individual retirement account retirement plan. All employees who meet certain tenure requirements are eligible to participate in one of these plans but not more than one. Under each plan, employees may elect to defer a portion of pretax or post-tax annual compensation, subject to Internal Revenue Service limits, that are matched by the Company at rates ranging from 3% to 5% of qualifying compensation, depending on the plan. During 2022, 2021 and 2020, the Company made contributions to these plans and recognized expense in the amount of $1,636, $1,193 and $912, respectively.

<u>Employee Stock Purchase Plan</u> 

Beginning in the third quarter of 2022, the Company implemented an employee stock purchase plan (the "ESPP") that allows eligible employees to acquire shares of the Company's Common Stock at a 15% discount from the closing sales price of the Company's Common Stock on final day of the applicable offering period. The ESPP is a qualified plan under Section 423 of the Internal Revenue Code. The compensation expense associated with the ESPP was not significant to the consolidated statement of operations for the year ended December 31, 2022.

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**22. Commitments and Contingencies**

<u>Litigation</u>

The Company accrues for cost related to contingencies when a loss is probable, and the amount is reasonably determinable. Disclosure of contingencies is included in the consolidated financial statements when it is at least reasonably possible that a material loss or an additional material loss in excess of amounts already accrued may be incurred. For all litigation matters, the Company accrued $0 for the years ended December 31, 2022 and 2021.

<u>Other Commitments</u>

As of December 31, 2022, the Company has committed to purchase from seed producers and growers at dates throughout 2023 and 2024 at fixed prices aggregating to $124.4 million based on commodity futures or market prices, other payments to growers and estimated yields per acre, of which $122.4 are due within one year and the remainder is due in 2024. In addition to the obligations for which the price is fixed or determinable, the Company has committed to purchase from seed producers and growers 3.8 million bushels throughout 2023 and 2024 for which the pricing is currently variable. These amounts are not recorded in the condensed consolidated financial statements because the Company has not taken delivery of the grain or seed as of December 31, 2022 and due to the fact that the grain or seed are subject to specified quality standards prior to delivery.

**23. Segment Information**

In 2022, the Company divested its Fresh segment and reclassified the related financial information to discontinued operations for all periods presented. As the Company divested its Fresh segment, the Company re-evaluated its operating and reportable segments and concluded that it operates under one operating segment and one reportable segment, Ingredients, as its chief operating decision maker ("CODM") reviews financial information presented on a consolidated basis for purposes of making operating decisions, allocating resources and evaluating financial performance. The Company's current business delivers healthy food ingredients derived from soybean seeds, meal and oil and processed yellow peas. Although the CODM assesses performance and allocates resources on a consolidated basis, the Company has relevant product level revenue disaggregation. Specifically, the Company's revenue can be disaggregated into the following product categories: Proprietary and Non-Proprietary. Proprietary revenue is defined as any sale of a proprietary bean, byproduct from crushing a proprietary bean, or a blend of proprietary byproducts with commodity grade byproducts. Non-Proprietary revenue is all other revenue from non-Proprietary sources.

The Company recognized revenues of $11,631 from shipments to overseas locations and revenues of $369,602 from domestic sales for the year ended December 31, 2022. The revenues from overseas shipments were immaterial for the years ended December 31, 2021 and 2020. In addition, the revenues were also presented for the years ended December 31, 2022, 2021 and 2020 as follows:

---

| | | | |
|:---|:---|:---|:---|
| | **Year Ended December 31,** | **Year Ended December 31,** | **Year Ended December 31,** |
| | **2022** | **2021** | **2020** |
| **Revenues** |  |  |  |
| Point in time | $375876 | $90672 | $58835 |
| Over time | 5357 | 273 | 235 |
| &nbsp;&nbsp;Total Revenues | $381233 | $90945 | $59070 |
| Proprietary<sup>(1)</sup> | 72578 | 38043 |  |
| Non-Proprietary | 308655 | 52902 | 59070 |
| &nbsp;&nbsp;Total Revenues | $381233 | $90945 | $59070 |

---

(1)&nbsp;&nbsp;&nbsp;&nbsp;Proprietary revenues were not significant for the year ended December 31, 2020.

The CODM uses Adjusted EBITDA to review and assess the operating performance of the Company. The Company defines Adjusted EBITDA as net loss from continuing operations excluding income taxes, interest, depreciation, amortization, stock-based compensation, and the impact of significant non-recurring items. Adjustments to reconcile net loss from continuing operations to Adjusted EBITDA for the year ended December 31, 2022 were as follows*:*

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| | |
|:---|:---|
| Net loss from continuing operations | $(99700) |
| &nbsp;&nbsp;&nbsp;Interest expense, net | 21444 |
| &nbsp;&nbsp;&nbsp;Income tax expense (benefit) | 59 |
| &nbsp;&nbsp;&nbsp;Depreciation and amortization | 20513 |
| &nbsp;&nbsp;&nbsp;Stock-based compensation | 19520 |
| &nbsp;&nbsp;&nbsp;Change in fair value of warrants | (49063) |
| &nbsp;&nbsp;&nbsp;Other non-recurring costs, including acquisition costs | 5582 |
| Total Adjusted EBITDA | $(81645) |

---

Adjustments to reconcile consolidated net loss to Adjusted EBITDA from our continuing operations for the year ended December 31, 2021 were as follows*:*

---

| | |
|:---|:---|
| Net loss from continuing operations | $(122200) |
| &nbsp;&nbsp;&nbsp;Interest expense, net | 4481 |
| &nbsp;&nbsp;&nbsp;Income tax (expense) benefit | 231 |
| &nbsp;&nbsp;&nbsp;Depreciation and amortization | 10478 |
| &nbsp;&nbsp;&nbsp;Stock-based compensation | 7183 |
| &nbsp;&nbsp;&nbsp;Change in fair value of warrants | (12127) |
| &nbsp;&nbsp;&nbsp;Other non-recurring costs, including acquisition costs | 4688 |
| &nbsp;&nbsp;&nbsp;Employee retention credit | (1550) |
| &nbsp;&nbsp;&nbsp;Merger transaction costs | 11693 |
| &nbsp;&nbsp;&nbsp;Non-recurring public company readiness costs | 5265 |
| &nbsp;&nbsp;&nbsp;Loss on extinguishment of debt | 11742 |
| &nbsp;&nbsp;&nbsp;South America seed production costs | 2805 |
| Total Adjusted EBITDA | $(77311) |

---

Adjustments to reconcile net loss from continuing operations to Adjusted EBITDA for the year ended December 31, 2020 were as follows*:*

---

| | |
|:---|:---|
| Net loss from continuing operations | $(64520) |
| &nbsp;&nbsp;&nbsp;Interest expense, net | 6554 |
| &nbsp;&nbsp;&nbsp;Income tax (expense) benefit | 48 |
| &nbsp;&nbsp;&nbsp;Depreciation and amortization | 6076 |
| &nbsp;&nbsp;&nbsp;Stock-based compensation | 1010 |
| &nbsp;&nbsp;&nbsp;Change in fair value of warrants | 661 |
| &nbsp;&nbsp;&nbsp;Other non-recurring costs, including acquisition costs | 528 |
| &nbsp;&nbsp;&nbsp;Impairment of goodwill | 2954 |
| Total Adjusted EBITDA | $(46689) |

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**24. Quarterly Financial Data (Unaudited)**

Summarized quarterly financial data for 2022 and 2021 were as follows:

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| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** |
| | **Mar. 31** | **Jun. 30** | **Sep. 30** | **Dec. 31** |
| **2022:** | | | | |
| Revenues | $66126 | $93631 | $122296 | $99180 |
| Gross profit (loss) | $(8935) | $5742 | $5931 | $789 |
| Net loss from continuing operations | $(17424) | $(25098) | $(26415) | $(30763) |
| Net loss per share<sup>(1)</sup>: |  |  |  |  |
| &nbsp;&nbsp;Basic | $(0.10) | $(0.15) | $(0.16) | $(0.29) |
| &nbsp;&nbsp;Diluted | $(0.10) | $(0.15) | $(0.16) | $(0.29) |
| **2021:** |  |  |  |  |
| Revenues | $14238 | $22786 | $23189 | $30732 |
| Gross profit (loss) | $(938) | $(2603) | $880 | $(3240) |
| Net loss from continuing operations | $(21662) | $(27057) | $(32288) | $(41193) |
| Net loss per share<sup>(1)</sup>: |  |  |  |  |
| &nbsp;&nbsp;Basic | $(0.21) | $(0.25) | $(0.29) | $(0.27) |
| &nbsp;&nbsp;Diluted | $(0.21) | $(0.25) | $(0.29) | $(0.27) |

---

(1)&nbsp;&nbsp;&nbsp;&nbsp;Net loss per share is computed independently for each of the periods presented. The sum of the quarterly earnings per share do not equal the total earnings per share computed for the year due to rounding.

**25. Subsequent Events**

We consider events or transactions that occur after the balance sheet date but prior to the date the financial statements are available to be issued for potential recognition or disclosure in the financial statements. The Company has completed an evaluation of all subsequent events after the audited balance sheet date of December 31, 2022 through the date the accompanying financial statements were available to be issued, to ensure that these financial statements include appropriate disclosure of events both recognized in the financial statements as of December 31, 2022, and events that occurred subsequently but were not recognized in the financial statements.

In March 2023, the Company entered into a third amendment to the Convertible Loan and Security Agreement, which, among other things, extended the interest-only period for six months through the second quarter of 2024 and allowed the restricted cash to be counted towards the required minimum liquidity covenant calculation. In addition, the terms of this amendment increased the final balloon payment by 200 basis points, reset the prime rate floor from 5.75% to 7.75%, and amended the exercise price of the Convertible Notes Payable Warrants to be the lower of (i) $2.47; (ii) the 5-day VWAP determined as of March 10, 2023, where "5-day VWAP" means the volume-weighted average price of the Company's Common Stock, determined for the five consecutive trading days ending on the last trading day immediately preceding the applicable date; and (iii) the effective price per share of any bona fide equity offering prior to March 10, 2024. Fees associated with the amendment were 2% of the outstanding balance, or $2 million.

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**Item 9. Changes in and Disagreements With Accountants on Accounting and Financial Disclosures**

None.

**Item 9A. Controls and Procedures**

**Evaluation of Disclosure Controls and Procedures**

We maintain "disclosure controls and procedures" as defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act that are designed to ensure that information required to be disclosed in the reports the Company files or submit under the Exchange Act, are recorded, processed, summarized, and reported within the time periods specified in the SEC's rules and forms. Disclosure controls and procedures include, without limitation, controls and procedures designed to ensure that information required to be disclosed by the Company in reports we file or submit under the Exchange Act is accumulated and communicated to our management, including our principal executive officer and principal financial officer, as appropriate to allow timely decisions regarding required disclosure. In designing and evaluating our disclosure controls and procedures, management recognizes that any controls and procedures, no matter how well designed and operated, can provide only reasonable assurance of achieving their objectives, and management necessarily applies its judgment in evaluating the benefits of possible controls and procedures relative to their costs.

Our management, with the participation of our Chief Executive Officer and Chief Financial Officer, who serve as our principal executive officer and principal financial officer, respectively, has evaluated the effectiveness of our disclosure controls and procedures as of December 31, 2022. Based on such evaluation, our Chief Executive Officer and Chief Financial Officer have concluded that our disclosure controls and procedures were effective as of December 31, 2022.

**Limitations on Controls and Procedures**

In designing and evaluating our disclosure controls and procedures, management recognizes that disclosure controls and procedures, no matter how well conceived and operated, can provide only reasonable, not absolute, assurance that the objectives of the disclosure controls and procedures are met. Additionally, in designing disclosure controls and procedures, our management necessarily was required to apply its judgment in evaluating the cost-benefit relationship of possible disclosure controls and procedures. The design of any system of controls also is based in part upon certain assumptions about the likelihood of future events, and there can be no assurance that any design will succeed in achieving its stated goals under all potential future conditions; over time, controls may become inadequate because of changes in conditions, or the degree of compliance with policies or procedures may deteriorate. Because of the inherent limitations in a control system, misstatements due to error or fraud may occur and not be detected.

**Management's Report on Internal Control over Financial Reporting**

Our management is responsible for establishing and maintaining adequate internal control over financial reporting as defined in Rules 13a-15(f) under the Exchange Act. Our internal control over financial reporting is designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with GAAP and includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the Company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with GAAP, and that receipts and expenditures of the Company are being made only in accordance with authorizations of management and directors of the Company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the Company's assets that could have a material effect on the financial statements.

Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

Management has assessed the effectiveness of the Company's internal control over financial reporting as of December 31, 2022, utilizing the criteria in the Committee of Sponsoring Organizations of the Treadway Commission's Internal Control-Integrated Framework (2013). Based on its assessment, our management concluded that the previously reported material weakness has been remediated; however, a new material weakness related to the historical Fresh segment was identified.

**Remediation of Prior Material Weakness**

In connection with the preparation and audit of our consolidated financial statements, a material weakness was identified in our internal control over financial reporting relating to the years ended December 31, 2020 and 2019, which remained unremediated

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as of December 31, 2021. A material weakness is a deficiency, or a combination of deficiencies, in internal control over financial reporting, such that a reasonable possibility exists that a material misstatement of our annual or interim financial statements would not be prevented or detected on a timely basis. We did not design or maintain an effective control environment commensurate with our financial reporting requirements. Specifically, we did not maintain a sufficient complement of personnel to appropriately analyze, record and disclose accounting matters commensurate with our accounting and reporting requirements. Further, we did not design and maintain formal accounting policies, procedures and controls over significant accounts and disclosures to achieve complete, and accurate financial accounting, reporting and disclosures.

In 2022, management implemented measures designed to improve the Company's internal control over financial reporting to remediate this material weakness, including (i) taking into consideration the root cause of the deficiency, (ii) determining a remediation plan that detailed out the actions needed to address the control deficiencies that represented the material weakness, and (iii) implementing, revising, or enhancing the controls based on the remediation plan.

Management designed and implemented a series of controls that address the individual control deficiencies that aggregated to the material weakness identified. The remediation included:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Developing and delivering internal controls training to executives, other management, and finance/accounting resources. The training included a review of managements and individual roles and responsibilities related to internal controls.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Hiring, training and developing experienced accounting executives and personnel with a level of public accounting knowledge and experience in the application of U.S. GAAP commensurate with our financial reporting requirements and the complexity of our operations and transactions. A portion of their job responsibilities is to perform reviews, reconciliations, and other financial reporting monitoring controls.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Establishing and implementing policies and practices for the attraction, development, and retention of competent public accounting personnel in alignment with objectives.

**Material Weakness in Internal Control Over Financial Reporting**

In connection with the preparation and audit of our consolidated financial statements, a material weakness was identified in our internal control over financial reporting within the historical Fresh segment relating to the year ended December 31, 2022. A material weakness is a deficiency, or a combination of deficiencies, in internal control over financial reporting, such that a reasonable possibility exists that a material misstatement of our annual or interim financial statements would not be prevented or detected on a timely basis.

We did not design, implement, or test transaction level or IT General Controls at the historical Fresh segment. These controls specifically related to transactions that originated and were recorded at the historical Fresh segment level that have been included as "Discontinued Operations" with the consolidated financial statements.

**Plan to Remediate Material Weakness in Internal Control Over Financial Reporting**

As noted within *[Footnote](#i437deb9913be4f4a8711fb195a433029_885)[4 - Discontinued Operations](#i437deb9913be4f4a8711fb195a433029_885)* in the notes to our consolidated financial statements, management is in the process of divesting the Fresh segment in its entirety and has classified the historical Fresh segment as a "Discontinued Operation" for all financial periods presented. Management expects the historical Fresh segment will be fully divested as of the next Report on Internal Controls Over Financial Reporting assessment date. In the event that we are unable to divest the Fresh segment we will implement measures designed to improve the Company's internal control over financial reporting as it relates to the Fresh segment to remediate this material weakness, including (i) taking into consideration the root cause of the deficiency, (ii) determining a remediation plan that detailed out the actions needed to address the control deficiencies that represented the material weakness, and (iii) implementing, revising, or enhancing the controls based on the remediation plan.

**Changes in Internal Control Over Financial Reporting**

Other than changes described under "Remediation of Prior Material Weakness" and "Material Weakness in Internal Control Over Financial Reporting" above, there was no change in our internal control over financial reporting identified in connection with the evaluation required by Rule 13a-15(d) and 15d-15(d) of the Exchange Act that occurred during the three months ended December 31, 2022, that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements or prevent or detect all error and fraud. Any control system, no matter how well designed and operated, is based upon certain assumptions, and can provide only reasonable, not absolute, assurance that its objectives will be met. Further, no evaluation of controls can provide absolute assurance that misstatements due to error or fraud will not occur or that all control issues and instances of fraud, if any, within the Company have been detected. Projections of any evaluation of effectiveness to future periods are

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subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

Our independent registered public accounting firm is not required to formally attest to the effectiveness of its internal control over financial reporting until after we are no longer an "emerging growth company" as defined in the JOBS Act. At such time, our independent registered public accounting firm may issue a report that is adverse in the event it is not satisfied with the level at which our internal control over financial reporting is documented, designed, or operating. Any failure to maintain effective disclosure controls and internal control over financial reporting could adversely affect our business and operating results and could cause a decline in the price of our securities.

**Item 9B. Other Information**

On March 10, 2023 (the "Amendment Date"), the Company and its directly or indirectly wholly-owned subsidiaries Benson Hill Holdings, Inc., BHB Holdings, LLC, DDB Holdings, Inc., Dakota Dry Bean Inc., Benson Hill Ingredients, LLC, Benson Hill Seeds Holding, Inc., Benson Hill Seeds, Inc., Benson Hill Fresh, LLC, J&J Produce, Inc., J&J Southern Farms, Inc., and Trophy Transport, LLC (the Company and such subsidiaries are each individually referred to as a "Borrower" and are all collectively referred to as the "Borrowers"), entered into a Third Amendment to Loan Documents (the "Third Amendment") with Avenue Capital Management II, L.P., as administrative agent and collateral agent (the "Agent"); and Avenue Venture Opportunities Fund, L.P., Avenue Venture Opportunities Fund II, L.P., Avenue Sustainable Solutions Fund, L.P., Avenue Global Dislocation Opportunities Fund, L.P., and Avenue Global Opportunities Master Fund LP (each individually referred to as a "Lender" and all collectively as the "Lenders"). The Third Amendment amends the Loan and Security Agreement among the Borrowers, the Lenders, and the Agent entered into December 29, 2021 (as amended, restated, or supplemented from time to time, the "Loan Agreement"), which was previously filed as Exhibit 10.1 to the Current Report on Form 8-K filed on January 4, 2022 (the "January 2022 8-K"), as previously amended pursuant to (i) the Joinder and First Amendment to Loan Documents previously filed as Exhibit 10.1 to the Current Report on Form 8-K filed on July 7, 2022 (the "July 2022 8-K"), and (ii) the Second Amendment to Loan Documents previously filed as Exhibit 10.1 to the Current Report on Form 8-K filed on November 10, 2022 (the "November 2022 8-K" and, collectively with the January 2022 8-K and July 2022 8-K, the "2022 8-Ks").

Pursuant to the Third Amendment:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The interest-only period was extended through June 30, 2024.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• For each of the five months following expiration of the interest-only period, there is a "catch up" principal payment of the amortized principal payments deferred by reason of the extension of the interest-only period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The "floor" on the rate of interest applied as the "prime rate" of interest was increased from 5.75% per annum to 7.75% per annum.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The "Final Payment" under the Loan was increased by 200 basis points.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• With respect to the restricted, blocked account in favor of the Agent established pursuant to the Second Amendment to Loan Documents:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ All funds held in such account on or after the Amendment Date may be included in the remaining months' liquidity calculation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ To the extent the Company issues equity securities on or after June 1, 2023, 50% of the net proceeds of such sale shall be deposited in a restricted account, which shall be released upon repayment of Borrowers' obligations under the Loan Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Until Borrowers' obligations under the Loan Agreement have been repaid, Borrowers may not incur any new Indebtedness.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• In connection with the Third Amendment, the Agent earned a $2,000,000 amendment fee, which has been paid.

The other material terms of the Loan Agreement remain effective as described in the 2022 8-Ks. The foregoing description of the Third Amendment does not purport to be complete and is qualified in its entirety by reference to the text of the Loan Agreement, which was previously filed as Exhibit 10.1 to the January 2022 8-K; the Joinder and First Amendment to Loan Documents, which was previously filed as Exhibit 10.1 to the July 2022 8-K; the Second Amendment to Loan Documents, which was previously filed as Exhibit 10.1 to the November 2022 8-K; and the Third Amendment, which is filed as Exhibit 10.32 to this Annual Report on Form 10-K, all of which are incorporated herein by reference.

In connection with the Third Amendment, on the Amendment Date, the Warrants to purchase shares of the Company's Common Stock, previously filed as Exhibit 4.1 to the January 2022 8-K, were amended and restated, such that the per share exercise price of the Warrants as amended is the lowest of (i) $2.47; (ii) the 5-day VWAP determined as of March 10, 2023, where "5-day VWAP" means the volume-weighted average price of the Company's Common Stock, determined for the five consecutive trading days ending on the last trading day immediately preceding the applicable date; and (iii) the effective price per share of any bona fide equity offering prior to March 10, 2024. The foregoing description of the Warrants does not purport to be complete and is qualified in its entirety by reference to the text of the Warrants, the form of which is filed as Exhibit 4.4 to this Annual Report on Form 10-K, and is incorporated herein by reference.

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**Part III**

**Item 10. Directors, Executive Officers and Corporate Governance**

The information required by this item is incorporated by reference to, and will be contained in, our Proxy Statement to be filed in connection with our 2023 Annual Meeting of Stockholders, to be filed with the SEC within 120 days after the close of our fiscal year.

**Item 11. Executive Compensation**

The information required by this item is incorporated by reference to, and will be contained in, our Proxy Statement to be filed in connection with our 2023 Annual Meeting of Stockholders, to be filed with the SEC within 120 days after the close of our fiscal year.

**Item 12. Security Ownership of Certain Beneficial Owner and Management and Related Stockholder Matters**

The information required by this item is incorporated by reference to, and will be contained in, our Proxy Statement to be filed in connection with our 2023 Annual Meeting of Stockholders, to be filed with the SEC within 120 days after the close of our fiscal year.

**Item 13. Certain Relationships and Related Transactions, and Director Independence**

The information required by this item is incorporated by reference to, and will be contained in, our Proxy Statement to be filed in connection with our 2023 Annual Meeting of Stockholders, to be filed with the SEC within 120 days after the close of our fiscal year.

**Item 14. Principal Accounting Fees and Services**

The information required by this item is incorporated by reference to, and will be contained in, our Proxy Statement to be filed in connection with our 2023 Annual Meeting of Stockholders, to be filed with the SEC within 120 days after the close of our fiscal year.

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**Part IV**

**Item 15. Exhibits and Financial Statement Schedules.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;&nbsp;&nbsp;&nbsp;The following documents are filed as part of this Form 10-K:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**(1)&nbsp;&nbsp;&nbsp;&nbsp;Financial Statements:**

Reference is made to Item 8. Financial Statements and Supplementary Data of this report.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**(2)&nbsp;&nbsp;&nbsp;&nbsp;Financial Statement Schedules:**

**Schedule II**

**Benson Hill, Inc. Valuation and Qualifying Accounts *(In Thousands USD)***

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| | | | |
|:---|:---|:---|:---|
| | **Balance at Beginning of Year** | **Additions (Reductions) Charged to Costs and Expenses** | **Balance at End of Year** |
| Year Ended December 31, 2022 |  |  |  |
| Reserves deducted from asset accounts: |  |  |  |
| &nbsp;&nbsp;&nbsp;Accounts receivable and other receivables | $341 | $527 | $868 |
| &nbsp;&nbsp;&nbsp;Inventories | 698 | (271) | 427 |
| &nbsp;&nbsp;&nbsp;Deferred income taxes | 65134 | 52906 | 118040 |
| Year Ended December 31, 2021 |  |  |  |
| Reserves deducted from asset accounts: |  |  |  |
| &nbsp;&nbsp;&nbsp;Accounts receivable and other receivables | $122 | $219 | $341 |
| &nbsp;&nbsp;&nbsp;Inventories | 341 | 357 | 698 |
| &nbsp;&nbsp;&nbsp;Deferred income taxes | 34921 | 30213 | 65134 |
| Year Ended December 31, 2020 |  |  |  |
| Reserves deducted from asset accounts: |  |  |  |
| &nbsp;&nbsp;&nbsp;Accounts receivable and other receivables | $9 | $113 | $122 |
| &nbsp;&nbsp;&nbsp;Inventories | 211 | 130 | 341 |
| &nbsp;&nbsp;&nbsp;Deferred income taxes | 19293 | 15628 | 34921 |

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All other financial statement schedules listed under SEC rules but not included in this report are omitted because they are not applicable or the required information is provided in the notes to our consolidated financial statements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**(3)&nbsp;&nbsp;&nbsp;&nbsp;Exhibits:**

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| | |
|:---|:---|
| **Exhibit No.** | **Description** |
| &nbsp;&nbsp;1.1 | <u>[Benson Hill, Inc. $100,000,000 Common Stock Sales Agreement, dated November 10, 2022 by and between the Company and Cowen and Company, LLC (incorporated by reference to Exhibit 1.2 to the Company's Registration Statement on Form S-3 (File No. 333-268284) filed on November 10, 2022).](https://www.sec.gov/Archives/edgar/data/1830210/000110465922116672/tm2227681d2_ex1-2.htm)</u> |
| 2.1† | <u>[Agreement and Plan of Merger, dated as of May 8, 2021, by and among Star Peak Corp II, STPC Merger Sub Corp. and Benson Hill, Inc. (](http://www.sec.gov/Archives/edgar/data/1830210/000110465921063410/tm2115705d1_ex2-1.htm)[incorporated](http://www.sec.gov/Archives/edgar/data/1830210/000110465921063410/tm2115705d1_ex2-1.htm)[by reference to Exhibit 2.1 to the Company's Current Report on Form 8-K filed on May 10, 2021).](http://www.sec.gov/Archives/edgar/data/1830210/000110465921063410/tm2115705d1_ex2-1.htm)</u> |
| &nbsp;&nbsp;2.2† | <u>[Membership Interest Purchase Agreement, dated as of December 30, 2021, by and among Benson Hill, Inc., DDB Holdings, Inc., ZFS Creston, LLC, ZFS Solutions, LLC, as Sellers' Representative, and the Sellers set forth therein (incorporated by reference to Exhibit 2.1 to the Company's Current Report on Form 8-K filed on January 4, 2022).](http://www.sec.gov/Archives/edgar/data/1830210/000183021022000003/ex21membershipinterestpurc.htm)</u> |
| &nbsp;&nbsp;2.3† | <u>[Stock Purchase Agreement dated December 29, 2022, by and among Sweet Sixty, LLC, Benson Hill Fresh, LLC and Benson Hill Holdings, Inc. (incorporated by reference to Exhibit 2.1 to the Company's Current Report on Form 8-K](https://www.sec.gov/Archives/edgar/data/1830210/000183021023000006/ex21jjtransactionstockpurc.htm)[/A](https://www.sec.gov/Archives/edgar/data/1830210/000183021023000006/ex21jjtransactionstockpurc.htm)[filed on January](https://www.sec.gov/Archives/edgar/data/1830210/000183021023000006/ex21jjtransactionstockpurc.htm)[4](https://www.sec.gov/Archives/edgar/data/1830210/000183021023000006/ex21jjtransactionstockpurc.htm)[, 2023).](https://www.sec.gov/Archives/edgar/data/1830210/000183021023000006/ex21jjtransactionstockpurc.htm)</u> |

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| | |
|:---|:---|
| **Exhibit No.** | **Description** |
| &nbsp;&nbsp;2.4† | <u>[Purchase and Sale Agreement dated December 29, 2022, by and among Sweet Sixty, LLC and J&J Produce Inc. (incorporated by reference to Exhibit 2.2 to the Company's Current Report on Form 8-K](https://www.sec.gov/Archives/edgar/data/1830210/000183021023000006/ex22jjtransactionpurchasea.htm)[/A](https://www.sec.gov/Archives/edgar/data/1830210/000183021023000006/ex22jjtransactionpurchasea.htm)[filed on January](https://www.sec.gov/Archives/edgar/data/1830210/000183021023000006/ex22jjtransactionpurchasea.htm)[4](https://www.sec.gov/Archives/edgar/data/1830210/000183021023000006/ex22jjtransactionpurchasea.htm)[, 2023).](https://www.sec.gov/Archives/edgar/data/1830210/000183021023000006/ex22jjtransactionpurchasea.htm)</u> |
| 3.1 | <u>[Second Amended and Restated Certificate of Incorporation of Benson Hill, Inc. (incorporated by reference to Exhibit 3.1 to the Company's Current Report on Form 8-K filed on October 5, 2021).](http://www.sec.gov/Archives/edgar/data/1830210/000110465921122710/tm2129027d4_ex3-1.htm)</u> |
| 3.2 | <u>[Amended and Restated Bylaws of Benson Hill, Inc. (incorporated by reference to Exhibit 3.2 to the Company's Current Report on Form 8-K filed on October 5, 2021).](http://www.sec.gov/Archives/edgar/data/1830210/000110465921122710/tm2129027d4_ex3-2.htm)</u> |
| &nbsp;&nbsp;4.1 | <u>[Form of Common Stock Certificate of Benson Hill, Inc. (incorporated by reference to Exhibit 4.1 to the Company's Current Report on Form 8-K filed on October 5, 2021).](http://www.sec.gov/Archives/edgar/data/1830210/000110465921122710/tm2129027d4_ex4-1.htm)</u> |
| 4.2 | <u>[Form of Warrant Certificate (incorporated by reference to Exhibit 4.2 to the Company's Current Report on Form 8-K filed on October 5, 2021).](http://www.sec.gov/Archives/edgar/data/1830210/000110465921122710/tm2129027d4_ex4-2.htm)</u> |
| &nbsp;&nbsp;4.3\* | <u>[Form of Amended and Restated Stock Purchase Warrant of Benson Hill, Inc.](exhibit43formofamendedandr.htm)</u> |
| &nbsp;&nbsp;4.4† | <u>[Warrant Agreement, dated as of January 8, 2021, by and between Benson Hill, Inc. and Continental Stock Transfer & Trust Company (incorporated by reference to Exhibit 4.1 to the Company's Current Report on Form 8-K filed on January 8, 2021).](http://www.sec.gov/Archives/edgar/data/1830210/000110465921002466/tm2034696d12_ex4-1.htm)</u> |
| 4.5 | <u>[Investor Rights Agreement, dated as of September 29, 2021, by and among Benson Hill, Inc. and certain of its stockholders (incorporated by reference to Exhibit 4.4 to the Company's Quarterly Report on Form 10-Q filed on November 15, 2021).](http://www.sec.gov/Archives/edgar/data/1830210/000183021021000011/exhibit44investorrightsagr.htm)</u> |
| &nbsp;&nbsp;4.6 | <u>[Form of Lock-up Agreement (incorporated by reference to Annex H to the Company's definitive Proxy Statement/Prospectus filed on September 2, 2021).](http://www.sec.gov/Archives/edgar/data/1830210/000110465921112189/tm2116035-16_424b3.htm#tANNH)</u> |
| &nbsp;&nbsp;4.7 | <u>[Form of Indenture (incorporated by reference to Exhibit 4.4 to the Company's Registration Statement on Form S-3 (File No. 333-268284) filed on November 10, 2022).](https://www.sec.gov/Archives/edgar/data/1830210/000110465922116672/tm2227681d2_ex4-4.htm)</u> |
| &nbsp;&nbsp;4.8 | <u>[Form of 2020 Notes Payable Warrant (and Notice of Adjustment) (incorporated by reference to Exhibit 4.10 to the Company's Registration Statement on Form S-3 (File No. 333-268284) filed on November 10, 2022).](https://www.sec.gov/Archives/edgar/data/1830210/000110465922116672/tm2227681d2_ex4-10.htm)</u> |
| &nbsp;&nbsp;4.9 | <u>[Form of 2021 Notes Payable Warrant (and Notice of Adjustment) (incorporated by reference to Exhibit 4.11 to the Company's Registration Statement on Form S-3 (File No. 333-268284) filed on November 10, 2022).](https://www.sec.gov/Archives/edgar/data/1830210/000110465922116672/tm2227681d2_ex4-11.htm)</u> |
| &nbsp;&nbsp;4.10 | <u>[Description of Securities (incorporated by reference to Exhibit 4.7 to the Company's Annual Report on Form 10-K filed on March 28, 2022).](https://www.sec.gov/Archives/edgar/data/1830210/000183021022000074/exhibit47descriptionofsecu.htm)</u> |
| &nbsp;&nbsp;10.1 | <u>[Form of Subscription Agreement (incorporated by reference to Exhibit 10.4 to the Company's Current Report on Form 8-K filed on May 10, 2021).](http://www.sec.gov/Archives/edgar/data/1830210/000110465921063410/tm2115705d1_ex10-4.htm)</u> |
| &nbsp;&nbsp;10.2 | <u>[Form of Subscription Agreement (incorporated by reference to Exhibit 10.1 to the Company's Current Report on Form 8-K filed on March 28, 2022).](https://www.sec.gov/Archives/edgar/data/1830210/000183021022000072/exhibit101formofsubscripti.htm)</u> |
| &nbsp;&nbsp;10.3† | <u>[Earnout Escrow Agreement, dated as of September 29, 2021, by and among Benson Hill, Inc., Shareholder Representative Services LLC, and Continental Stock Transfer & Trust Company (incorporated by reference to Exhibit 10.2 to the Company's Current Report on Form 8-K filed on October 5, 2021).](http://www.sec.gov/Archives/edgar/data/1830210/000110465921122710/tm2129027d4_ex10-2.htm)</u> |
| &nbsp;&nbsp;10.4# | <u>[Benson Hill, Inc. 2021 Omnibus Incentive Plan effective September 29, 2021](https://www.sec.gov/Archives/edgar/data/1830210/000183021022000074/exhibit1032021omnibusincen.htm)[(incorporated by reference to Exhi](https://www.sec.gov/Archives/edgar/data/1830210/000183021022000074/exhibit1032021omnibusincen.htm)[bit 10.](https://www.sec.gov/Archives/edgar/data/1830210/000183021022000074/exhibit1032021omnibusincen.htm)[3 to the Company](https://www.sec.gov/Archives/edgar/data/1830210/000183021022000074/exhibit1032021omnibusincen.htm)['](https://www.sec.gov/Archives/edgar/data/1830210/000183021022000074/exhibit1032021omnibusincen.htm)[s Annual Report on Form](https://www.sec.gov/Archives/edgar/data/1830210/000183021022000074/exhibit1032021omnibusincen.htm)[10-K filed on March 28, 2022)](https://www.sec.gov/Archives/edgar/data/1830210/000183021022000074/exhibit1032021omnibusincen.htm)[.](https://www.sec.gov/Archives/edgar/data/1830210/000183021022000074/exhibit1032021omnibusincen.htm)</u> |
| &nbsp;&nbsp;10.5# | <u>[Benson Hill, Inc. 2022 Employee Stock Purchase Plan effective on April 20, 2022 and approved by stockholders on June 13, 2022 (incorporated by reference to Exhibit](https://www.sec.gov/Archives/edgar/data/1830210/000183021022000162/exhibit1012022employeestoc.htm)[10.](https://www.sec.gov/Archives/edgar/data/1830210/000183021022000162/exhibit1012022employeestoc.htm)[1](https://www.sec.gov/Archives/edgar/data/1830210/000183021022000162/exhibit1012022employeestoc.htm)[to the Company's Quarterly Report on Form 10-Q filed on August 10, 2022).](https://www.sec.gov/Archives/edgar/data/1830210/000183021022000162/exhibit1012022employeestoc.htm)</u> |
| &nbsp;&nbsp;10.6# | <u>[Benson Hill, Inc. 2023 Long-Term Incentive Plan effective January 1, 2023 (incorporated by reference to Exhibit 10.1 to the Company's Current Report on Form 8-K filed on March 7, 2023).](https://www.sec.gov/Archives/edgar/data/1830210/000183021023000018/exhibit101bensonhill2023lo.htm)</u> |
| &nbsp;&nbsp;10.7# | <u>[Employment Agreement, dated as of September 29, 2021, by and between Benson Hill, Inc. and Matthew B. Crisp (incorporated by reference to Exhibit 10.5 to the Company's Quarterly Report on Form 10-Q filed on November 15, 2021).](http://www.sec.gov/Archives/edgar/data/1830210/000183021021000011/exhibit105bensonhillemploy.htm)</u> |
| &nbsp;&nbsp;10.8# | <u>[Employment Agreement, dated as of September 29, 2021, by and between Benson Hill, Inc. and Jason Bull (incorporated by reference to Exhibit 10.7 to the Company's Quarterly Report on Form 10-Q filed on November 15, 2021).](http://www.sec.gov/Archives/edgar/data/1830210/000183021021000011/exhibit107bensonhillemploy.htm)</u> |
| &nbsp;&nbsp;10.9# | <u>[Employment Agreement, dated as of September 29, 2021, by and between Benson Hill, Inc. and Bruce Bennett (incorporated by reference to Exhibit 10.8 to the Company's Quarterly Report on Form 10-Q filed on November 15, 2021).](http://www.sec.gov/Archives/edgar/data/1830210/000183021021000011/exhibit108bensonhillemploy.htm)</u> |
| &nbsp;&nbsp;10.10# | <u>[Employment Agreement, dated as of March 25, 2022, by and between Benson Hill, Inc. and Dean Freeman (incorporated by reference to Exhibit 10.](https://www.sec.gov/Archives/edgar/data/1830210/000183021022000074/exhibit108freemanemploymen.htm)[8](https://www.sec.gov/Archives/edgar/data/1830210/000183021022000074/exhibit108freemanemploymen.htm)[to the Company's Annual Report on Form 10-K filed on May 16, 2022).](https://www.sec.gov/Archives/edgar/data/1830210/000183021022000074/exhibit108freemanemploymen.htm)</u> |
| &nbsp;&nbsp;10.11# | <u>[Form of Indemni](https://www.sec.gov/Archives/edgar/data/1830210/000110465921122710/tm2129027d4_ex10-10.htm)[ty](https://www.sec.gov/Archives/edgar/data/1830210/000110465921122710/tm2129027d4_ex10-10.htm)[Agreement (incorporated by reference to Exhibit 10.10 to the Company's Current Report on Form 8-K filed on October 5, 2021).](https://www.sec.gov/Archives/edgar/data/1830210/000110465921122710/tm2129027d4_ex10-10.htm)</u> |

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<u>[T](#i437deb9913be4f4a8711fb195a433029_7)[a](#i437deb9913be4f4a8711fb195a433029_7)[ble of Contents](#i437deb9913be4f4a8711fb195a433029_7)</u>

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| | |
|:---|:---|
| **Exhibit No.** | **Description** |
| &nbsp;&nbsp;10.12# | <u>[Benson Hill, Inc. Executive Severance Plan (incorporated by reference to Exhibit 10.9 to Amendment No. 4 to the Company's Registration Statement on Form S-4 (File No. 333-256161) filed on August 30, 2021).](http://www.sec.gov/Archives/edgar/data/1830210/000110465921110768/tm2116035d15_ex10-9.htm)</u> |
| &nbsp;&nbsp;10.13# | <u>[Form of Benson Hill, Inc. Restricted Stock Unit Agreement—Earn Out Award for Matthew Crisp granted under the Benson Hill, Inc. 2021 Omnibus Incentive Plan (incorporated by reference to Exhibit 10.11 to the Company's Quarterly Report on Form 10-Q filed on November 15, 2021).](http://www.sec.gov/Archives/edgar/data/1830210/000183021021000011/exhibit1011formofbensonhil.htm)</u> |
| &nbsp;&nbsp;10.14# | <u>[Form of Benson Hill, Inc. Restricted Stock Unit Agreement—Earn Out Award for DeAnn Brunts granted under the Benson Hill, Inc. 2021 Omnibus Incentive Plan (incorporated by reference to Exhibit 10.12 to the Company's Quarterly Report on Form 10-Q filed on November 15, 2021).](http://www.sec.gov/Archives/edgar/data/1830210/000183021021000011/exhibit1012formofbensonhil.htm)</u> |
| &nbsp;&nbsp;10.15# | <u>[Form of Benson Hill, Inc. Restricted Stock Unit Agreement—Earn Out Award for Jason Bull granted under the Benson Hill, Inc. 2021 Omnibus Incentive Plan (incorporated by reference to Exhibit 10.13 to the Company's Quarterly Report on Form 10-Q filed on November 15, 2021).](http://www.sec.gov/Archives/edgar/data/1830210/000183021021000011/exhibit1013formofbensonhil.htm)</u> |
| &nbsp;&nbsp;10.16# | <u>[Form of Benson Hill, Inc. Restricted Stock Unit Agreement—Earn Out Award for Yevgeny Fundler granted under the Benson Hill, Inc.](http://www.sec.gov/Archives/edgar/data/1830210/000183021021000011/exhibit1014formofbensonhil.htm)[2021 Omnibus Incentive Plan (incorporated by reference to Exhibit 10.14 to the Company's Quarterly Report on Form 10-Q filed on November 15, 2021).](http://www.sec.gov/Archives/edgar/data/1830210/000183021021000011/exhibit1014formofbensonhil.htm)</u> |
| &nbsp;&nbsp;10.17# | <u>[Form of Benson Hill, Inc. Restricted Stock Unit Agreement—Outperformance Award for Matthew Crisp, as amended, granted under the Benson Hill, Inc. 2021 Omnibus Incentive Plan (incorporated by reference to Exhibit 10.15 to the Company's Annual Report on Form 10-K filed on May 16, 2022)](https://www.sec.gov/Archives/edgar/data/1830210/000183021022000074/exhibit1015bensonhill-cris.htm)</u>. |
| &nbsp;&nbsp;10.18# | <u>[Form of Benson Hill, Inc. Restricted Stock Unit Agreement—Founder's Grant for](http://www.sec.gov/Archives/edgar/data/1830210/000183021022000012/ex102executivefoundersgrant.htm)[DeAnn Brunts](http://www.sec.gov/Archives/edgar/data/1830210/000183021022000012/ex102executivefoundersgrant.htm)[,](http://www.sec.gov/Archives/edgar/data/1830210/000183021022000012/ex102executivefoundersgrant.htm)[Jason Bull and Bruce Bennett, granted under the Benson Hill, Inc. 2021 Omnibus Incentive Plan (incorporated by reference to Exhibit 10.2 to the Company's Current Report on Form 8-K filed on January 11, 2022).](http://www.sec.gov/Archives/edgar/data/1830210/000183021022000012/ex102executivefoundersgrant.htm)</u> |
| &nbsp;&nbsp;10.19# | <u>[Form of Benson Hill, Inc. Restricted Stock Unit Agreement—2022 Annual LTIP Award granted under the Benson Hill Inc. 2021 Omnibus Incentive Plan (incorporated by reference to Exhibit 10.17 to the Company's Annual Report on Form 10-K filed on May 16, 2022).](https://www.sec.gov/Archives/edgar/data/1830210/000183021022000074/exhibit1017rsu2022ltipawar.htm)</u> |
| &nbsp;&nbsp;10.20# | <u>[Form of Benson Hill, Inc. Restricted Stock Unit Agreement—2022 Annual LTIP Award for Dean Freeman, Jason Bull and Bruce Bennett, granted under the Benson Hill, Inc. 2021 Omnibus Incentive Plan (incorporated by reference to Exhibit 10.18 to the Company's Annual Report on Form 10-K filed on May 16, 2022).](https://www.sec.gov/Archives/edgar/data/1830210/000183021022000074/exhibit1018freeman_bennett.htm)</u> |
| &nbsp;&nbsp;10.21# | <u>[Form of Benson Hill, Inc. Restricted Stock Unit Agreement—Sign On Award for Dean Freeman, granted under the Benson Hill, Inc. 2021 Omnibus Incentive Plan (incorporated by reference to Exhibit 10.19 to the Company's Annual Report on Form 10-K filed on May 16, 2022).](https://www.sec.gov/Archives/edgar/data/1830210/000183021022000074/exhibit1019freemansignonrs.htm)</u> |
| &nbsp;&nbsp;10.22# | <u>[Form of Benson Hill, Inc. Restricted Stock Unit Agreement—2022 Director Award granted under the Benson Hill, Inc. 2021 Omnibus Incentive Plan (incorporated by reference to Exhibit 10.3 to the Company's Quarterly Report on Form 10-Q filed on August 10, 2022).](https://www.sec.gov/Archives/edgar/data/1830210/000183021022000162/exhibit103bensonhillbodfy2.htm)</u> |
| &nbsp;&nbsp;10.23# | <u>[Offer Letter, dated as of April 29, 2021, by and between Benson Hill, Inc. and Yevgeny Fundler (incorporated by reference to Exhibit 10.20 to the Company's Annual Report on Form 10-K filed on May 16, 2022).](https://www.sec.gov/Archives/edgar/data/1830210/000183021022000074/exhibit10undlerofferletter.htm)</u> |
| &nbsp;&nbsp;10.24† | <u>[Sublease Agreement, dated as of August 9, 2019, as amended, by and between Edge @ BRDG, LLC and Benson Hill Holdings, Inc. (formerly known as Benson Hill, Inc.) (incorporated by reference to Exhibit 10.15 to the Company's](http://www.sec.gov/Archives/edgar/data/1830210/000183021021000011/exhibit1015hqsubleaseandam.htm)[Quarterly Report on](http://www.sec.gov/Archives/edgar/data/1830210/000183021021000011/exhibit105bensonhillemploy.htm)</u> <u>[Form 10-Q filed on November 15, 2021).](http://www.sec.gov/Archives/edgar/data/1830210/000183021021000011/exhibit1015hqsubleaseandam.htm)</u> |
| &nbsp;&nbsp;10.25† | <u>[Lease Agreement, dated as of November 4, 2020, as amended, by and between 1200 Research Owner, LLC and Benson Hill Holdings, Inc. (incorporated by reference to Exhibit 10.16 to the Company's Quarterly Report on Form 10-Q filed on November 15, 2021).](http://www.sec.gov/Archives/edgar/data/1830210/000183021021000011/exhibit1016cropaccelerator.htm)</u> |
| &nbsp;&nbsp;10.26† | <u>[Credit Agreement, dated as of April 11, 2019, as amended, by and between Dakota Dry Bean Inc. as Borrower and First National Bank of Omaha as Lender (incorporated by reference to Exhibit 10.17 to the Company's Quarterly Report on Form 10-Q filed on November 15, 2021).](http://www.sec.gov/Archives/edgar/data/1830210/000183021021000011/exhibit1017fnbo-dakotadryb.htm)</u> |
| &nbsp;&nbsp;10.27\*† | <u>[Tenth Amendment to Credit Agreement, dated as of November 1, 2021, by and between Dakota Dry Bean Inc. as Borrower and First National Bank of Omaha as Lender.](exhibit1027tenthamendmentt.htm)</u> |
| &nbsp;&nbsp;10.28\*† | <u>[Eleventh Amendment to Credit Agreement, dated as of November 1, 2022, by and between Dakota Dry Bean Inc. as Borrower and First National Bank of Omaha as Lender.](exhibit1028eleventhamendme.htm)</u> |
| &nbsp;&nbsp;10.29† | <u>[Loan and Security Agreement (with Supplement), dated as of December 29, 2021, by and among the Company, certain of the Company's direct and indirect wholly-owned subsidiaries, the Agent, and the Lenders (incorporated by reference to Exhibit 10.1 to the Company's Current Report on Form 8-K filed on January 4, 2022).](http://www.sec.gov/Archives/edgar/data/1830210/000183021022000003/ex101loanandsecurityagreem.htm)</u> |
| &nbsp;&nbsp;10.30† | <u>[Joinder and First Amendment to Loan Documents, dated June 30, 2022, by and among the Company, certain of the Company's direct and indirect wholly-owned subsidiaries, the Agent, and the Lenders (incorporated by reference to Exhibit 10.1 to the Company's Current Report on Form 8-K filed on July 7, 2022).](https://www.sec.gov/Archives/edgar/data/1830210/000110465922078057/tm2220487d1_ex10-1.htm)</u> |
| &nbsp;&nbsp;10.31† | <u>[Second Amendment to Loan Documents, dated November 8, 2022, by and among the Company, certain of the Company's direct and indirect wholly-owned subsidiaries, the Agent, and the Lenders (incorporated by reference to Exhibit 10.1 to the Company's Current Report on Form 8-K filed on November 10, 2022).](https://www.sec.gov/Archives/edgar/data/1830210/000183021022000179/ex101bhilavecapsecondamend.htm)</u> |

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<u>[T](#i437deb9913be4f4a8711fb195a433029_7)[a](#i437deb9913be4f4a8711fb195a433029_7)[ble of Contents](#i437deb9913be4f4a8711fb195a433029_7)</u>

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| | |
|:---|:---|
| **Exhibit No.** | **Description** |
| &nbsp;&nbsp;10.32\*† | <u>[Third Amendment to Loan Documents, dated March 10, 2023, by and among the Company, certain of the Company's direct and indirect wholly-owned subsidiaries, the Agent, and the Lenders](exhibit1032thirdamendmentt.htm)</u> |
| &nbsp;&nbsp;10.33†^ | <u>[Exclusive Collaboration and Marketing Rights Agreement, dated August 5, 2022, by and between Benson Hill Holdings, Inc. and Archer-Daniels-Midland Company (incorporated by reference to Exhibit 10.1 to the Company's Current Report on Form 8-K filed on August 8, 2022).](https://www.sec.gov/Archives/edgar/data/1830210/000183021022000153/exhibit101adm-bhcollaborat.htm)</u> |
| &nbsp;&nbsp;21.1\* | <u>[Subsidiaries of Benson Hill, Inc.](exhibit211subsidiaries2022.htm)</u> |
| &nbsp;&nbsp;23.1\* | <u>[Consent of Independent Registered Accounting Firm Ernst & Young LLP.](exhibit231eyconsent2022form.htm)</u> |
| &nbsp;&nbsp;31.1\* | <u>[Section 302 Certification Statement of Chief Executive Officer](exhibit311ceocertification.htm)</u><u>.</u> |
| &nbsp;&nbsp;31.2\* | <u>[Section 302 Certification Statement of Chief Financial Officer](exhibit312cfocertification.htm)</u><u>.</u> |
| &nbsp;&nbsp;32\*\* | <u>[Section 906 Certification Statement of Chief Executive Officer and Chief Financial Officer](exhibit32ceoandcfocertific.htm)</u><u>.</u> |
| &nbsp;&nbsp;101.INS\* | XBRL Instance Document - the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document. |
| &nbsp;&nbsp;101.SCH\* | XBRL Taxonomy Extension Schema Document. |
| &nbsp;&nbsp;101.CAL\* | XBRL Taxonomy Extension Calculation Linkbase Document. |
| &nbsp;&nbsp;101.DEF\* | XBRL Taxonomy Extension Definition Linkbase Document. |
| &nbsp;&nbsp;101.LAB\* | XBRL Taxonomy Extension Label Linkbase Document. |
| &nbsp;&nbsp;101.PRE\* | XBRL Taxonomy Extension Presentation Linkbase Document. |
| &nbsp;&nbsp;104 | Cover Page Interactive Data File - the cover page interactive data file does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document. |

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__________________________

\* Filed herewith.

\*\* Furnished herewith.

† Certain of the exhibits and schedules of this Exhibit have been omitted in accordance with Regulation S-K Item 601(b)(5).

^ Certain portions of this Exhibit have been redacted in accordance with Regulation S-K Item 601(b)(10)(iv).

The registrant agrees to furnish a copy of all omitted exhibits and schedules to the Securities and Exchange Commission upon its request.

# Indicates management contract or compensatory plan or arrangement.

**Item 16. Form 10-K Summary**

None.

------

<u>[T](#i437deb9913be4f4a8711fb195a433029_7)[a](#i437deb9913be4f4a8711fb195a433029_7)[ble of Contents](#i437deb9913be4f4a8711fb195a433029_7)</u>

**SIGNATURES**

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

---

| | | |
|:---|:---|:---|
| **BENSON HILL, INC. (Registrant)** | **BENSON HILL, INC. (Registrant)** | **BENSON HILL, INC. (Registrant)** |
| By: | /s/ Matthew B. Crisp | /s/ Matthew B. Crisp |
|  | Name: | Matthew B. Crisp |
|  | Title: | Chief Executive Officer |

---

Date: March 16, 2023

Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

---

| | | |
|:---|:---|:---|
| **Signatures** | **Title** | **Date** |
| /s/ Matthew B. Crisp | Chief Executive Officer and Director<br>(Principal Executive Officer) | March 16, 2023 |
| Matthew B. Crisp | Chief Executive Officer and Director<br>(Principal Executive Officer) | March 16, 2023 |
| /s/ Dean Freeman | Chief Financial Officer<br>(Principal Financial and Accounting Officer) | March 16, 2023 |
| Dean Freeman | Chief Financial Officer<br>(Principal Financial and Accounting Officer) | March 16, 2023 |
| /s/ DeAnn Brunts | Director | March 16, 2023 |
| DeAnn Brunts | Director | March 16, 2023 |
| /s/ J. Stephan Dolezalek | Director | March 16, 2023 |
| J. Stephan Dolezalek | Director | March 16, 2023 |
| /s/ Adrienne Elsner | Director | March 16, 2023 |
| Adrienne Elsner | Director | March 16, 2023 |
| /s/ Daniel Jacobi | Director | March 16, 2023 |
| Daniel Jacobi | Director | March 16, 2023 |
| /s/ David J. Lee | Director | March 16, 2023 |
| David J. Lee | Director | March 16, 2023 |
| /s/ Molly Montgomery | Director | March 16, 2023 |
| Molly Montgomery | Director | March 16, 2023 |
| /s/ Craig Rohr | Director | March 16, 2023 |
| Craig Rohr | Director | March 16, 2023 |
| /s/ Linda Whitley-Taylor | Director | March 16, 2023 |
| Linda Whitley-Taylor | Director | March 16, 2023 |

---

## Exhibit 4.3

**Exhibit 4.3**

**THIS WARRANT HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "ACT"), OR THE SECURITIES LAWS OF ANY STATE, AND THIS WARRANT MAY NOT BE SOLD OR OTHERWISE TRANSFERRED IN THE ABSENCE OF AN EFFECTIVE REGISTRATION STATEMENT UNDER SUCH ACT AND LAWS UNLESS COMPANY RECEIVES AN OPINION OF COUNSEL REASONABLY ACCEPTABLE TO IT THAT SUCH REGISTRATION IS NOT REQUIRED.**

Dated: December 29, 2021&nbsp;&nbsp;&nbsp;&nbsp;Certificate No. W-__

**BENSON HILL, INC.<br>AMENDED AND RESTATED STOCK PURCHASE WARRANT**

THIS AMENDED AND RESTATED STOCK PURCHASE WARRANT (the "**Warrant**") amends, restates and completely replaces the Stock Purchase Warrant issued by the Company to ____, a ____,<sup>1</sup> or permitted assigns on December 29, 2021 (the "**Prior Warrant**"). The Prior Warrant is hereby superseded in its entirety by the terms hereof and is no longer of any force or effect.

THIS CERTIFIES THAT for value received, subject to the terms and conditions hereinafter set forth, ____, a ____, or permitted assigns (the "**Holder**"), is entitled to purchase shares of the capital stock of Benson Hill, Inc., a Delaware corporation (the "**Company**"), as determined in accordance with this Warrant, upon presentation of this Warrant and payment of the Exercise Price (as defined below) for the shares of capital stock purchased at the principal office of the Company or at such other place as shall have been designated by the Company. This Warrant is issued in connection with that certain Loan and Security Agreement and Supplement thereto, both of even date herewith (as amended, restated and supplemented from time to time, the "**Loan Agreement**" and the "**Supplement**", respectively), between Company, as borrower, and Holder, as lender ("**Lender**").

This Warrant is subject to the following provisions:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.<u>Definitions</u>. Capitalized terms used herein and not otherwise defined in this Warrant shall have the meaning(s) ascribed to them in the Loan Agreement and the Supplement, unless the context would otherwise require. Certain other terms used herein are defined as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)"**5-day VWAP**" means the volume-weighted average price of the Common Stock, determined for the five (5) consecutive Trading Days ending on the last Trading Day immediately preceding the applicable date, as reported by Bloomberg, L.P.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)"**Affiliate**" means any Person which directly or indirectly controls, is controlled by, or is under common control with Holder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)"**Applicable Number**" means the number of shares of Common Stock purchasable hereunder obtained by dividing (i) $3,000,000<sup>2</sup> (such amount sometimes referred to hereinafter as the "**Coverage Amount**") by (ii) the Exercise Price.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)**"Business Day"** means any day other than a Saturday, Sunday or other day on which commercial banks in New York City or San Francisco are authorized or required by law to close.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)"**Common Stock**" means the Company's Common Stock, par value $0.0001 per share.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)"**Control**," "**controlled by**" and "<u>u</u>**nder common control with**" mean direct or indirect possession of the power to direct or cause the direction of management or policies (whether through ownership of voting securities, by contract or otherwise); provided, that control shall be conclusively presumed when any Person or affiliated group directly or indirectly owns five percent (5%) or more of the securities having ordinary voting power for the election of directors of a corporation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)"**Exercise Price**" means the lowest of (i) $2.47; (ii) the 5-day VWAP determined as of March 10, 2023; and (iii) the effective price per share of any bona fide equity offering prior to March 10, 2024; provided that

<sup>1</sup> Warrant to be replicated for each Avenue fund acting as a Lender under the Loan Agreement.

<sup>2</sup> Amount to be "split" based upon pro rata commitment of each Lender.

------

such effective price per share shall be determined accordingly to Method 1 in <u>Appendix A</u> to that certain Joinder and First Amendment to Loan Documents made and entered into as of June 30, 2022.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)"**NYSE**" means the New York Stock Exchange.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)"**Outstanding Shares**" means all shares of Parent's capital stock which have been issued and are outstanding, including diluted shares outstanding that are deemed convertible (including, but not limited to, warrants, options, preferred shares, bonds, and employee stock options).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)"**Person**" means any individual, sole proprietorship, partnership, joint venture, trust, unincorporated organization, association, corporation, limited liability company, institution, public benefit corporation, other entity or government (whether federal, state, county, city, municipal, local, foreign, or otherwise, including any instrumentality, division, agency, body or department thereof).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k)"**Trading Day**" means a day when the NYSE is open for trading in shares of the Common Stock.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l)"**VWAP**" means, for any period of determination (other than a period for determination of 5-day VWAP), the volume-weighted average price of the Common Stock ending on the last Trading Day of such period, as reported by Bloomberg, L.P.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.<u>Class, Number, and Exercise Price of Shares of Capital Stock</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)This Warrant may be exercised for the Applicable Number of shares of the Company's Common Stock (the "**Warrant Shares**"), subject to possible adjustment as provided herein; *provided, however*, that the pro forma Common Stock resulting from exercise of all Warrants issued in connection with the Loan Agreement when added to all Lenders' pro forma Common Stock resulting from exercise of the Conversion Option (as defined in the Supplement), shall not exceed two and one-half percent (2.50%) of the Outstanding Shares of the Common Stock at the effective time of the exercise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)The purchase price for each Warrant Share purchased upon exercise of this Warrant shall be the Exercise Price, subject to possible adjustment as provided herein, payable in lawful money of the United States of America in full upon exercise of this Warrant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.<u>Exercise of Warrant</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)This Warrant may be exercised, in whole or in part, by the surrender of this Warrant to the Company (with the Notice of Exercise form attached hereto as <u>Exhibit A</u> duly executed), at the principal office of the Company at 1001 North Warson Road, St. Louis, Missouri 63132 (or at such other location as Company may advise Holder in writing) at any time or from time to time during the Exercise Period, and upon payment in immediately available funds of the aggregate Exercise Price for the number of shares for which this Warrant is being exercised determined in accordance with the provisions hereof. The Exercise Price and the Warrant Shares purchasable hereunder are subject to further adjustment as provided in this Warrant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)The "**Exercise Period**" is that period beginning on the date hereof, and continuing up to and including 11:59.59 p.m., St. Louis Missouri time, on December 29, 2026 (the "**Expiration Date**").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.<u>Adjustment of Exercise Price and Number of Shares</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)The Exercise Price and Warrant Shares shall be subject to the following adjustments:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)If, at any time during the Exercise Period, the Company shall declare and pay on the Company's Common Stock a dividend or other distribution payable in shares of Common Stock, the Warrant Shares shall be proportionately increased so that the Holder shall be entitled to receive (upon exercise of this Warrant) the number of shares of Common Stock which the Holder would have owned or been entitled to receive after the declaration and payment of such dividend or other distribution if the Warrant had been exercised immediately prior to the record date for the determination of stockholders entitled to receive such dividend or other distribution, and the Exercise Price shall be proportionately decreased so that the aggregate Exercise Price payable upon exercise in full of this Warrant shall remain the same.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)If, at any time during the Exercise Period, the Company shall subdivide the Outstanding Shares of the Company's Common Stock into a greater number of shares, or combine the Outstanding Shares of Common Stock into a lesser number of shares, or issue by reclassification of its shares of Common Stock any shares of the Company's Common Stock, the Warrant Shares shall be proportionately adjusted so that the Holder shall be entitled to receive (upon exercise of this Warrant) the number of shares of Common Stock or such other shares which the Holder would have owned or been entitled to receive after the happening of any of the events described above if the Warrant had been exercised immediately prior to the happening of such event on the day upon which such subdivision, combination or reclassification, as the case may be, becomes effective, and the Exercise Price shall be proportionately adjusted so that the aggregate Exercise Price payable upon exercise in full of this Warrant shall remain the same.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Whenever the Warrant Shares or the Exercise Price shall be adjusted pursuant to this Section 4, the Company shall deliver to the Holder a written notice setting forth in reasonable detail the event requiring the adjustment and the method by which such adjustment was calculated and specifying the new Warrant Shares and Exercise Price. All calculations under this Section 4 shall be made to the nearest one-one hundredth of a share.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.<u>No Fractional Shares or Scrip</u>. No fractional shares or scrip representing fractional shares shall be issued upon the exercise of this Warrant, but in lieu of such fractional shares the Company shall make a cash payment therefor on the basis of the Exercise Price then in effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.<u>Net Exercise</u>. Holder, in lieu of exercising this Warrant by payment of the Exercise Price in immediately available funds pursuant to Section 3(a), may elect, at any time on or before the expiration of the Exercise Period, to surrender this Warrant and receive that number of shares of Common Stock computed using the following formula:

![image_0.jpg](image_0.jpg)

Where:&nbsp;&nbsp;&nbsp;&nbsp;X&nbsp;&nbsp;&nbsp;&nbsp;=&nbsp;&nbsp;&nbsp;&nbsp;the number of shares of Common Stock to be issued to Holder.

&nbsp;&nbsp;&nbsp;&nbsp;Y&nbsp;&nbsp;&nbsp;&nbsp;=&nbsp;&nbsp;&nbsp;&nbsp;the number of shares of Common Stock that Holder would otherwise have been entitled to purchase hereunder pursuant to Section 2(a) (or such lesser number of shares as Holder may designate in the case of a partial exercise of this Warrant).

&nbsp;&nbsp;&nbsp;&nbsp;A&nbsp;&nbsp;&nbsp;&nbsp;=&nbsp;&nbsp;&nbsp;&nbsp;the NYSE closing price on the last Trading Day prior to exercise of this Warrant.

&nbsp;&nbsp;&nbsp;&nbsp;B&nbsp;&nbsp;&nbsp;&nbsp;=&nbsp;&nbsp;&nbsp;&nbsp;the Exercise Price.

Election to exercise under this Section 6 may be made by delivering to Company a signed Notice of Exercise form in accordance with Section 3(a), to be followed by delivery of this Warrant. Notwithstanding anything to the contrary contained in this Warrant, if as of the close of business on the last Business Day preceding the Expiration Date this Warrant remains unexercised as to all or a portion of the shares of Common Stock purchasable hereunder, then effective as 9:00 a.m. (Pacific time) on the Expiration Date, Holder shall be deemed, automatically and without need for notice to Company, to have elected to exercise this Warrant in full pursuant to the provisions of this Section 6, and upon surrender of this Warrant shall be entitled to receive that number of shares of Common Stock computed using the above formula, provided that the application of such formula as of the Expiration Date yields a positive number for "X".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.<u>Change of Control</u>. In the event of a Change of Control (as hereinafter defined), this Warrant shall be automatically exchanged for a number of shares of Company's securities, such number of shares being equal to the maximum number of shares issuable pursuant to the terms hereof (after taking into account all adjustments described herein) had Holder elected to exercise this Warrant immediately prior to the closing of such Change of Control and purchased all such shares pursuant to the "cash exercise" provision set forth in Section 3(a) hereof (as opposed to the "net exercise" provision set forth in Section 6 hereof). Company acknowledges and agrees that Holder shall not be required to make any payment (cash or otherwise) for such shares as further consideration for their issuance pursuant to the terms of the preceding sentence. "**Change of Control**" shall mean: (a) any sale, license, or other disposition of all or substantially all of the assets of Company; or (b) any reorganization, consolidation, merger or other transaction involving Company; in each of clause (a) and (b) where the holders of

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Company's securities before the transaction beneficially own less than 50% of the outstanding voting securities of the surviving entity after the transaction; provided that an issuance of equity securities for the primary purpose of raising capital shall not be considered a Change of Control under this Warrant. This Warrant shall terminate upon Holder's receipt of the number of shares of Company's equity securities described in this Section 7.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.<u>Representations of the Company</u>. The Company represents that (i) all corporate actions on the part of the Company, its officers, directors and stockholders necessary for the sale and issuance of this Warrant have been taken; (ii) upon exercise of this Warrant, the Common Stock will be exempt from the registration requirements of the Securities Act, and are exempt from the qualification requirements of any applicable state securities laws; and neither the Company nor anyone acting on its behalf will take any action hereafter that would cause the loss of such exemptions; (iii) the Company will use commercially reasonable efforts to maintain the listing of the Common Stock issuable upon exercise of this Warrant on the NYSE, for so long as the Company's Common Stock is listed on the NYSE; (iv) upon exercise of this Warrant, if the Company's Common Stock is then certificated, the Company will use commercially reasonable efforts to cause stock certificates representing the shares of Common Stock purchased pursuant to the exercise to be issued in the names of Holder, its nominees or assignees, as appropriate at the time of such exercise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.<u>Shares of Common Stock in Reserve</u>. The Company shall at all times to reserve a sufficient number of authorized but unissued shares of Common Stock for the purposes of this Warrant, and to take such action as may be necessary to ensure that all Warrant Shares issued upon exercise of this Warrant will be duly and validly authorized and issued and fully paid and nonassessable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.<u>Rights of Stockholders</u>. The Holder shall not be entitled, as a warrant holder, to vote or receive dividends or be deemed the holder of the Warrant Shares or any other securities of the Company which may at any time be issuable on the exercise hereof for any purpose, nor shall anything contained herein be construed to confer upon the Holder, as a warrant holder, any of the rights of a stockholder of the Company or any right to vote for the election of directors or upon any matter submitted to stockholders at any meeting thereof, or to give or withhold consent to any corporate action (whether upon any recapitalization, issuance of stock, reclassification of stock, change of par value, consolidation, merger, conveyance, or otherwise) or to receive notice of meetings, or to receive dividends or subscription rights or otherwise until this Warrant shall have been exercised and the Warrant Shares purchasable upon the exercise hereof shall have become deliverable, as provided herein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.<u>Compliance with Securities Laws</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)By its acceptance of this Warrant, the Holder represents, warrants, and covenants unto the Company, and acknowledge as appropriate, that: (i) the Holder is an "accredited investor," as that term is defined pursuant to the securities law of the United Sates and regulations of the United States Securities and Exchange Commission (the "**SEC**"); (ii) the Holder has sufficient business and financial knowledge and experience so as to be capable of evaluating the merits and risks of its investment in the Warrant Shares, and is able financially to bear the risks thereof; (iii) the Holder has had an opportunity to discuss the Company's business, management and financial affairs with the Company's management; (iv) this Warrant is acquired for the Holder's own account for investment purposes; (v) this Warrant and the Warrant Shares issuable upon exercise hereof, respectively, have not been registered under the Securities Act of 1933 and, accordingly, any transfer of this Warrant and such Warrant Shares will be subject to legal restrictions; and (vi) the Holder will not offer for sale or sell, assign or otherwise dispose of (except exercise) this Warrant or any Warrant Shares issued to it pursuant to exercise hereof, except in accordance with applicable securities laws.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Notwithstanding anything to the contrary contained in this Warrant, if at any time specified herein for the issuance of Warrant Shares to the Holder, any law, or any regulation or requirement of the SEC or any other federal, state or local governmental authority having jurisdiction, shall require either the Company or the Holder to take any action in connection with the Warrant Shares then to be issued, other than (i) customary approvals required by applicable corporation laws, or (ii) notice filings on SEC Form D and similar or related federal, state or local filings (the actions described in clauses (i) and (ii) are collectively referred to as the "**Required Actions**"), to the extent such action is required to be taken prior to the issuance of such Warrant Shares the issuance of such Warrant Shares shall be deferred until such action shall have been taken. The Company shall be under no obligation to take such action, other than a Required Action, and the Company shall have no liability whatsoever as a result of the non-issuance of such Warrant Shares as a result of not taking such action, other than a Required Action, except to refund to the Holder any consideration tendered in respect of the Exercise Price.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)Unless and until the Warrant Shares have been registered in the Act, all stock certificates evidencing the Warrant Shares shall be restricted by a legend on each certificate in substantially the following form:

The shares represented by this certificate have not been registered under the Securities Act of 1933. These shares have been acquired for investment and not with a view to distribution or resale, and may not be mortgaged, pledged, hypothecated, or otherwise transferred without an effective registration statement for such shares under the Securities Act of 1933 or an opinion of counsel for the corporation that registration is not required under such Act.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.<u>Replacement Warrant for Lost Certificate</u>. Upon receipt by the Company of evidence reasonably satisfactory to it of the loss, theft, destruction or mutilation of this Warrant, and, in case of loss, theft or destruction, of indemnity or security reasonably satisfactory to the Company, and reimbursement to the Company of all reasonable expenses incidental thereto (and upon surrender and cancellation of this Warrant if mutilated), the Company will execute and deliver a new Warrant of like tenor, in lieu of this Warrant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.<u>Issue Tax</u>. The issuance of certificates for the Warrant Shares upon the exercise of this Warrant shall be made without charge to the holder of this Warrant for any issue tax (other than applicable income taxes) in respect thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;14.<u>Closing of Books</u>. The Company shall not close its transfer books against the transfer of any warrant or of any Shares issued or issuable upon the exercise of any warrant in any manner that interferes with the timely exercise of this Warrant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15.<u>Warrant Agent</u>. By notice to the holder of this Warrant, the Company may appoint a warrant agent as the Company's agent for purposes of the administration of this Warrant and the exercise thereof (the "**Warrant Agent**"), and in such case the Holder shall abide by any such Warrant Agent's instructions and procedures not inconsistent with the provisions of this Warrant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;16.<u>Rights and Obligations Survive Exercise of Warrant</u>. Unless otherwise provided herein, the rights and obligations of the Company, of the holder of this Warrant and of the holder of the Warrant Shares issued upon exercise of this Warrant, shall survive the exercise of this Warrant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;17.<u>Notices</u>. Unless Any notice, request or other document required or permitted to be given or delivered to Holder or Company shall be in writing and personally delivered, sent by overnight courier, or United States mail, postage prepaid, or sent by facsimile or electronic mail, or other authenticated message, charges prepaid, to the other party's or parties' addresses shown on the books of Company (in the case of the Holder) at the address indicated therefor in the opening paragraphs of this Warrant (in the case of the Company). Each party may change the address, facsimile number or email address to which notices, requests and other communications are to be sent by giving written notice of such change to each other party. Notice given by hand delivery shall be deemed received on the date delivered; if sent by overnight courier, on the next Business Day after delivery to the courier service; if by first class mail, on the third Business Day after deposit in the U.S. Mail; and if by facsimile or electronic mail, on the date of transmission.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18.<u>Governing Law</u>. This Warrant shall be governed by and construed under the laws of the State of Delaware as applied to agreements entered into and to be performed entirely within Delaware.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;19.<u>Assignability and Binding Effect</u>. The Company and any Warrant Agent may deem and treat the registered Holder of this Warrant as the absolute owner of this Warrant, for the purpose of any exercise hereof, of any distribution to the holder of this Warrant, and for all other purposes. Without the prior written consent of the Company, this Warrant may not be assigned by the Holder other than to an Affiliate of the Holder, and in the case of a permitted assignment the Form of Transfer attached hereto as Exhibit B shall be used to effect such permitted assignment. This Warrant shall be binding upon and inure to the benefit of the Company and the Holder, and their respective permitted successors and assigns. Without limiting the foregoing, each Holder and each person to whom this Warrant is subsequently transferred represents and warrants to the Company and agrees (by acceptance of such transfer) that it will not transfer this Warrant unless (i) there is an effective registration statement under the Securities Act and applicable state securities laws covering any such transaction, (ii) pursuant to Rule 144 under the Securities Act (or any other rule under the Securities Act relating to the disposition of securities), (iii) the Company receives an opinion of counsel, reasonably satisfactory to the Company, that an exemption from such registration is available or (iv) the Company otherwise satisfies itself that such transaction is exempt from registration.

[The Next Page is the Signature Page]

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IN WITNESS WHEREOF, the Company has executed this Warrant under seal effective as of the date first above written.

**COMPANY:**

BENSON HILL, INC. [SEAL]

By: <u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u>

Dean Freeman

Executive Vice President; Chief Financial Officer

Signature Page to Amended and Restated Stock Purchase Warrant

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**EXHIBIT A<br><u>NOTICE OF EXERCISE</u>**

To:&nbsp;&nbsp;&nbsp;&nbsp;Benson Hill, Inc.<br>Attn.:&nbsp;&nbsp;&nbsp;&nbsp;Chief Financial Officer <br>1001 N. Warson Road<br>St. Louis, Missouri 63132

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.The undersigned hereby irrevocably elects to purchase __________ shares of the Common Stock, $0.0001 par value, of Benson Hill, Inc., a Delaware corporation (the "**Company**"), pursuant to the terms of the attached Warrant (the "**Warrant**").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.[*Select Applicable Provision*]

☐&nbsp;&nbsp;&nbsp;&nbsp;This Notice of Exercise is the undersigned's check made payable to "Benson Hill, Inc." in the amount of $______, or the undersigned has transferred or caused to be transferred to the Company lawful money of the United States of America in such amount, representing payment in full for the Exercise Price of the shares being purchased, together with all applicable transfer taxes, if any.

☐&nbsp;&nbsp;&nbsp;&nbsp;The undersigned elects to exercise the Warrant on a "net exercise" basis pursuant to Section 6 of the Warrant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.Please issue a certificate or certificates representing the number of shares for which the Warrant has been exercised in the name of the undersigned or in such other name as is specified below:

(Name)&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u>

(Address)&nbsp;&nbsp;&nbsp;&nbsp;<u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.The undersigned hereby represents and warrants that the number of shares for which the Warrant has been exercised are being acquired for the account of the undersigned for investment and not with a view to, or for resale, in connection with the distribution thereof, and that the undersigned has no present intention of distributing or reselling such shares and all representations and warranties of the undersigned set forth in Section 11 of the Warrant (including Section 11(a) thereof) are true and correct as of the date hereof.

[Signature Page Follows]

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Dated:<u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u>

<u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u>

By: <u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u><br> Name: <br>Title:

11 West 42nd Street, 9th Floor<br>New York, New York 10036

Signature Page to Notice of Exercise

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**EXHIBIT B<br><u>FORM OF TRANSFER</u>**

(To be signed only upon transfer of Warrant)

FOR VALUE RECEIVED, the undersigned hereby sells, assigns and transfers unto <u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u> (United States taxpayer identification number <u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u>), with an address at <u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u>, the right represented by the attached Warrant to purchase <u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u> shares of the Common stock, $0.0001 par value per share, of Benson Hill, Inc., a Delaware corporation (the "**Company**"), to which the attached Warrant relates, and appoints <u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u> attorney to transfer such right on the books of the Company, with full power of substitution in the premises.

Dated:<u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u>

<u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u>

By: <u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u><br> Name: <br>Title:

11 West 42nd Street, 9th Floor<br>New York, New York 10036

Dated:<u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u>

Signature Page to Form of Transfer

## Exhibit 10.27

**Exhibit 10.27**

**TENTH AMENDMENT TO CREDIT AGREEMENT**

THIS TENTH AMENDMENT TO CREDIT AGREEMENT (this "<u>Tenth Amendment</u>") is dated this 1st day of November, 2021 by and among DAKOTA DRY BEAN INC., a North Dakota corporation (together with its successors and assigns, the "<u>Borrower</u>"), and FIRST NATIONAL BANK OF OMAHA, a national banking association (together with its successors and assigns, the "<u>Lender</u>"). Capitalized terms used herein and not otherwise defined have the meanings ascribed to them in the Credit Agreement (defined below).

**RECITALS**

WHEREAS, Borrower and Lender are parties to that certain Credit Agreement dated April 11, 2019, First Amendment to Credit Agreement dated April 1, 2020, Second Amendment to Credit Agreement dated June 1, 2020, Third Amendment to Credit Agreement dated October 23, 2020, Fourth Amendment to Credit Agreement dated March 23, 2021, Fifth Amendment to Credit Agreement dated April 29, 2021, Sixth Amendment to Credit Agreement dated May 30, 2021, Seventh Amendment to Credit Agreement dated July 1, 2021, Eighth Amendment to Credit Agreement dated September 1, 2021 and Ninth Amendment to Credit Agreement dated September 29, 2021 (as the same may from time to time be amended, restated, modified or otherwise supplemented, collectively the "<u>Credit Agreement</u>"), pursuant to which Lender has agreed to make loans to Borrower; and

WHEREAS, Borrower and Lender desire to amend and modify certain terms and conditions of the Credit Agreement.

NOW, THEREFORE, for and in consideration of the Recitals set forth above, which are incorporated into this Tenth Amendment by this reference, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:

**AGREEMENT**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.&nbsp;&nbsp;&nbsp;&nbsp;Section 2.1 of the Credit Agreement is hereby amended by deleting paragraph

(d) in its entirety and substituting the following paragraph (d) in its place:

"(d) The term of the Revolving Credit Facility shall expire on November 1, 2022. All Revolving Credit Loans under the Revolving Credit Facility shall be repaid on or before the earliest of (i) November 1, 2022, (ii) termination of the Revolving Credit Facility and (iii) termination of this Agreement (the earliest of such dates, the "<u>Revolving Credit Maturity Date</u>"). After the Revolving Credit Maturity Date, no further Advances under the Revolving Credit Facility shall be available from Lender. The term of the Term Loan Facility (Facility - A) shall expire on April 1, 2024. The Term Loan (Facility - A) under the Term Loan Facility (Facility - A) shall be repaid on or before the earliest of (i) April 1, 2024, (ii) termination of the Term Loan Facility (Facility - A) and (iii) termination of this Agreement (the earliest of such dates, the "<u>Term Loan</u> <u>Maturity Date (Facility - A)</u>"). After the Term Loan Maturity Date (Facility - A), no Advance under the Term Loan Facility (Facility - A) shall be available from Lender. The term of the Term Loan Facility (Facility - B) shall expire on April 1, 2024. The Term Loan (Facility - B) under the Term Loan Facility (Facility - B) shall be repaid on or before the earliest of (i) April 1, 2024, (ii) termination of the Term Loan Facility (Facility - B) and (iii) termination of this Agreement (the earliest of such dates, the "<u>Term Loan Maturity Date (Facility - B)</u>"). After the Term Loan Maturity Date (Facility - B), no Advance under the Term Loan Facility (Facility - B) shall be available from Lender. The term of the Term Loan Facility (Facility - Equipment) shall expire on

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the January 1, April 1, July 1 or October 1 which first precedes the date that is five (5) years after the Second Closing Date. The Term Loan (Facility - Equipment) under the Term Loan Facility (Facility - Equipment) shall be repaid on or before the earliest of (i) the January 1, April 1, July 1 or October 1 which first precedes the date that is five (5) years after the Second Closing Date,

(ii) termination of the Term Loan Facility (Facility - Equipment) and (iii) termination of this Agreement (the earliest of such dates, the "<u>Term Loan Maturity Date (Facility - Equipment)</u>"). After the Term Loan Maturity Date (Facility - Equipment), no Advance under the Term Loan Facility (Facility - Equipment) shall be available from Lender."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.&nbsp;&nbsp;&nbsp;&nbsp;Section 5.9 of the Credit Agreement is hereby amended by deleting paragraph

(d) in its entirety and substituting the following paragraph (d) in its place:

"(d) Borrower shall maintain a Funded Debt to EBITDA Ratio equal to or less than (i) 4.00x from November 1, 2021 through December 30, 2021, (ii) 3.50x from December 31, 2021 through March 30, 2022 and (iii) 2.50x on and after March 31, 2022, measured as of the last day of each fiscal quarter of Borrower."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.&nbsp;&nbsp;&nbsp;&nbsp;The form of Compliance Certificate attached to the Credit Agreement as Exhibit G is hereby amended by deleting such form in its entirety and substituting the form attached hereto as <u>Exhibit A</u> in its place.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.&nbsp;&nbsp;&nbsp;&nbsp;In connection with the execution of this Tenth Amendment, and as a condition precedent hereto, Borrower shall execute and / or deliver to Lender the following on the date hereof:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;&nbsp;&nbsp;&nbsp;A Fifth Amendment to Revolving Credit Note dated of even date herewith between Borrower and Lender (the "<u>Fifth Revolving Credit Note Amendment</u>"), amending that certain Revolving Credit Note dated April 11, 2019 from Borrower to the order of Lender, First Amendment to Revolving Credit Note dated April 1, 2020, Second Amendment to Revolving Credit Note dated June 1, 2020, Third Amendment to Revolving Credit Note dated July 1, 2021 and Fourth Amendment to Revolving Credit Note dated September 1, 2021 (as the same may from time to time be amended, restated, modified, supplemented, replaced or refinanced, collectively the "<u>Original Revolving Credit Note</u>"). The Fifth Revolving Credit Note Amendment is incorporated herein by reference, made a part hereof and shall be substantially in the form of <u>Exhibit B</u> attached hereto. References to "Revolving Credit Note" in the Credit Agreement are hereby amended so that such term includes the Original Revolving Credit Note, the Fifth Revolving Credit Note Amendment and any amendments, restatements, modifications, supplements, replacements or refinancings of the same.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;&nbsp;&nbsp;&nbsp;A First Amendment to Term Loan Note (Facility - A) dated of even date herewith between Borrower and Lender (the "<u>First Term Loan Note (Facility - A)</u> <u>Amendment</u>"), amending that certain Term Loan Note (Facility - A) dated April 11, 2019 from Borrower to the order of Lender (as the same may from time to time be amended, restated, modified, supplemented, replaced or refinanced, the "<u>Original</u> <u>Term Loan Note (Facility - A)</u>"). The First Term Loan Note (Facility - A) Amendment is incorporated herein by reference, made a part hereof and shall be substantially in the form of <u>Exhibit C</u> attached hereto. References to "Term Loan Note (Facility - A)" in the Credit Agreement are hereby amended so that such term includes the Original Term Loan Note (Facility - A), the First Term Loan

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Note (Facility - A) Note Amendment and any amendments, restatements, modifications, supplements, replacements or refinancings of the same.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)A First Amendment to Term Loan Note (Facility - Equipment) dated of even date herewith between Borrower and Lender (the "<u>First Term Loan Note (Facility -</u> <u>Equipment) Amendment</u>"), amending that certain Term Loan Note (Facility - Equipment) dated July 31, 2019 from Borrower to the order of Lender (as the same may from time to time be amended, restated, modified, supplemented, replaced or refinanced, the "<u>Original Term Loan Note (Facility - Equipment)</u>"). The First Term Loan Note (Facility - Equipment) Amendment is incorporated herein by reference, made a part hereof and shall be substantially in the form of <u>Exhibit D</u> attached hereto. References to "Term Loan Note (Facility - Equipment)" in the Credit Agreement are hereby amended so that such term includes the Original Term Loan Note (Facility - Equipment), the First Term Loan Note (Facility - Equipment) Note Amendment and any amendments, restatements, modifications, supplements, replacements or refinancings of the same.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;&nbsp;&nbsp;&nbsp;Such resolutions, certificates, written opinions of Borrower's independent counsel and other instruments, documents, agreements, information and reports as may be requested by Lender, in form and substance satisfactory to Lender.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.&nbsp;&nbsp;&nbsp;&nbsp;Borrower hereby represents and warrants that no Event of Default or Unmatured Event of Default has occurred and continues to exist under the Credit Agreement and the other Loan Documents and that all representations and warranties in the Credit Agreement and the other Loan Documents are reaffirmed to be true and correct as of the date hereof, which representations and warranties shall survive execution of this Tenth Amendment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.&nbsp;&nbsp;&nbsp;&nbsp;Borrower has previously delivered to Lender all of the relevant organizational and governing documents and agreements of Borrower and all such documents and agreements remain in full force and effect and have not been amended or modified since they were delivered to Lender.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.&nbsp;&nbsp;&nbsp;&nbsp;Borrower shall be responsible for paying all Expenses incurred by Lender in connection with this Tenth Amendment pursuant to Section 8.5 of the Credit Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.&nbsp;&nbsp;&nbsp;&nbsp;Except as specifically amended herein, the Credit Agreement shall remain in full force and effect as originally executed. Except for any specific waiver set forth in this Tenth Amendment, nothing herein shall be deemed to be a consent to a waiver or amendment of any covenant or agreement contained in the Credit Agreement or the other Loan Documents and all such other covenants and agreements contained in the Credit Agreement and the other Loan Documents are hereby confirmed and ratified in all respects and shall remain in full force and effect in accordance with their respective terms.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.&nbsp;&nbsp;&nbsp;&nbsp;This Tenth Amendment shall be binding on the successors and assigns of the parties hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.&nbsp;&nbsp;&nbsp;&nbsp;This Tenth Amendment may be executed in any number of counterparts, each of which when so executed shall be deemed to be an original and all of which when taken together shall constitute but one and the same agreement.

*[Signature Pages Follow]*

------

IN WITNESS WHEREOF, the parties have executed this Tenth Amendment as of the day and year first set forth above.

---

| |
|:---|
| BORROWER: |
| DAKOTA DRY BEAN INC. |
| <br>By: <u>/s/ Matthew Crisp</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Name: Matthew Crisp |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Title:&nbsp;&nbsp;&nbsp;&nbsp;Chief Executive Officer |
| <br>LENDER: |
| FIRST NATIONAL BANK OF OMAHA |
| By: <u>/s/ Kenneth Feaster</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<br>Name: Kenneth Feaster |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Title:&nbsp;&nbsp;&nbsp;&nbsp;Vice President |

---

## Exhibit 10.28

**Exhibit 10.28**

**ELEVENTH AMENDMENT TO CREDIT AGREEMENT**

THIS ELEVENTH AMENDMENT TO CREDIT AGREEMENT (this "<u>Eleventh Amendment</u>") is dated this 1<sup>st</sup> day of November, 2022 by and among DAKOTA DRY BEAN INC., a North Dakota corporation (together with its successors and assigns, the "<u>Borrower</u>"), and FIRST NATIONAL BANK OF OMAHA, a national banking association (together with its successors and assigns, the "<u>Lender</u>"). Capitalized terms used herein and not otherwise defined have the meanings ascribed to them in the Credit Agreement (defined below).

**RECITALS**

WHEREAS, Borrower and Lender are parties to that certain Credit Agreement dated April 11, 2019, First Amendment to Credit Agreement dated April 1, 2020, Second Amendment to Credit Agreement dated June 1, 2020, Third Amendment to Credit Agreement dated October 23, 2020, Fourth Amendment to Credit Agreement dated March 23, 2021, Fifth Amendment to Credit Agreement dated April 29, 2021, Sixth Amendment to Credit Agreement dated May 30, 2021, Seventh Amendment to Credit Agreement dated July 1, 2021, Eighth Amendment to Credit Agreement dated September 1, 2021, Ninth Amendment to Credit Agreement dated September 29, 2021 and Tenth Amendment to Credit Agreement dated November 1, 2021 (as the same may from time to time be amended, restated, modified or otherwise supplemented, collectively the "<u>Credit Agreement</u>"), pursuant to which Lender has agreed to make loans to Borrower; and

WHEREAS, Borrower and Lender desire to amend and modify certain terms and conditions of the Credit Agreement.

NOW, THEREFORE, for and in consideration of the Recitals set forth above, which are incorporated into this Eleventh Amendment by this reference, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:

**AGREEMENT**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.&nbsp;&nbsp;&nbsp;&nbsp;Section 1.1 of the Credit Agreement is hereby amended by deleting the definition of "<u>Borrowing Base Factors</u>" in its entirety and substituting the following definition in its place:

""<u>Borrowing Base Factors</u>" means the sum of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;&nbsp;&nbsp;&nbsp;90% of the Value of Eligible Insured Accounts Receivable; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;&nbsp;&nbsp;&nbsp;80% of the Value of Eligible Accounts Receivable; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;&nbsp;&nbsp;&nbsp;75% of the Value of Eligible Grain Inventory; plus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;&nbsp;&nbsp;&nbsp;65% of the Value of Eligible Non-Grain Inventory; minus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;&nbsp;&nbsp;&nbsp;100% of accounts payable owed by Borrower to suppliers of Eligible Grain Inventory; minus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;&nbsp;&nbsp;&nbsp;100% of outstanding checks and other outstanding forms of payment by Borrower; minus

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)&nbsp;&nbsp;&nbsp;&nbsp;100% of accrued and unpaid interest on Debt owed to Lender.

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As of any date, the Borrowing Base Factors shall be determined on the basis of the information contained in the most recent Borrowing Base Report delivered to Lender pursuant to Section 5.1(d) hereof."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.&nbsp;&nbsp;&nbsp;&nbsp;Section 2.1 of the Credit Agreement is hereby amended by deleting paragraph (d) in its entirety and substituting the following paragraph (d) in its place:

"(d)&nbsp;&nbsp;&nbsp;&nbsp;The term of the Revolving Credit Facility shall expire on November 1, 2023. All Revolving Credit Loans under the Revolving Credit Facility shall be repaid on or before the earliest of (i) November 1, 2023, (ii) termination of the Revolving Credit Facility and (iii) termination of this Agreement (the earliest of such dates, the "<u>Revolving Credit Maturity Date</u>"). After the Revolving Credit Maturity Date, no further Advances under the Revolving Credit Facility shall be available from Lender. The term of the Term Loan Facility (Facility - A) shall expire on April 1, 2024. The Term Loan (Facility - A) under the Term Loan Facility (Facility - A) shall be repaid on or before the earliest of (i) April 1, 2024, (ii) termination of the Term Loan Facility (Facility - A) and (iii) termination of this Agreement (the earliest of such dates, the "<u>Term Loan Maturity Date (Facility - A)</u>"). After the Term Loan Maturity Date (Facility - A), no Advance under the Term Loan Facility (Facility - A) shall be available from Lender. The term of the Term Loan Facility (Facility - B) shall expire on April 1, 2024. The Term Loan (Facility - B) under the Term Loan Facility (Facility - B) shall be repaid on or before the earliest of (i) April 1, 2024, (ii) termination of the Term Loan Facility (Facility - B) and (iii) termination of this Agreement (the earliest of such dates, the "<u>Term Loan Maturity Date (Facility - B)</u>"). After the Term Loan Maturity Date (Facility - B), no Advance under the Term Loan Facility (Facility - B) shall be available from Lender. The term of the Term Loan Facility (Facility - Equipment) shall expire on the January 1, April 1, July 1 or October 1 which first precedes the date that is five (5) years after the Second Closing Date. The Term Loan (Facility - Equipment) under the Term Loan Facility (Facility - Equipment) shall be repaid on or before the earliest of (i) the January 1, April 1, July 1 or October 1 which first precedes the date that is five (5) years after the Second Closing Date, (ii) termination of the Term Loan Facility (Facility - Equipment) and (iii) termination of this Agreement (the earliest of such dates, the "<u>Term Loan Maturity Date (Facility - Equipment)</u>"). After the Term Loan Maturity Date (Facility - Equipment), no Advance under the Term Loan Facility (Facility - Equipment) shall be available from Lender."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.&nbsp;&nbsp;&nbsp;&nbsp;The form of the Borrowing Base Report attached to the Credit Agreement as Exhibit F is hereby amended by deleting such form in its entirety and substituting the form attached hereto as <u>Exhibit A</u> in its place.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.&nbsp;&nbsp;&nbsp;&nbsp;In connection with the execution of this Eleventh Amendment, and as a condition precedent hereto, Borrower shall execute and / or deliver to Lender the following on the date hereof:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;&nbsp;&nbsp;&nbsp;A Sixth Amendment to Revolving Credit Note dated of even date herewith between Borrower and Lender (the "<u>Sixth Revolving Credit Note Amendment</u>"), amending that certain Revolving Credit Note dated April 11, 2019 from Borrower to the order of Lender, First Amendment to Revolving Credit Note dated April 1, 2020, Second Amendment to Revolving Credit Note dated June 1, 2020, Third Amendment to Revolving Credit Note dated July 1, 2021, Fourth Amendment to Revolving Credit Note dated September 1, 2021 and Fifth Amendment to Revolving Credit Note dated November 1, 2021 (as the same may from time to time be amended, restated, modified, supplemented, replaced or refinanced, collectively the "<u>Original Revolving Credit Note</u>"). The Sixth Revolving Credit Note Amendment is incorporated herein by reference, made a part hereof and shall be substantially in the form of <u>Exhibit B</u> attached hereto. References to "Revolving Credit Note" in the Credit Agreement are hereby amended so that such term includes the Original Revolving Credit Note, the Sixth Revolving Credit Note Amendment and any amendments, restatements, modifications, supplements, replacements or refinancings of the same.

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;&nbsp;&nbsp;&nbsp;Such resolutions, certificates, written opinions of Borrower's independent counsel and other instruments, documents, agreements, information and reports as may be requested by Lender, in form and substance satisfactory to Lender.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.&nbsp;&nbsp;&nbsp;&nbsp;Borrower hereby represents and warrants that no Event of Default or Unmatured Event of Default has occurred and continues to exist under the Credit Agreement and the other Loan Documents and that all representations and warranties in the Credit Agreement and the other Loan Documents are reaffirmed to be true and correct as of the date hereof, which representations and warranties shall survive execution of this Eleventh Amendment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.&nbsp;&nbsp;&nbsp;&nbsp;Borrower has previously delivered to Lender all of the relevant organizational and governing documents and agreements of Borrower and all such documents and agreements remain in full force and effect and have not been amended or modified since they were delivered to Lender.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.&nbsp;&nbsp;&nbsp;&nbsp;Borrower shall be responsible for paying all Expenses incurred by Lender in connection with this Eleventh Amendment pursuant to Section 8.5 of the Credit Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.&nbsp;&nbsp;&nbsp;&nbsp;Except as specifically amended herein, the Credit Agreement shall remain in full force and effect as originally executed. Except for any specific waiver set forth in this Eleventh Amendment, nothing herein shall be deemed to be a consent to a waiver or amendment of any covenant or agreement contained in the Credit Agreement or the other Loan Documents and all such other covenants and agreements contained in the Credit Agreement and the other Loan Documents are hereby confirmed and ratified in all respects and shall remain in full force and effect in accordance with their respective terms.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.&nbsp;&nbsp;&nbsp;&nbsp;This Eleventh Amendment shall be binding on the successors and assigns of the parties hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.&nbsp;&nbsp;&nbsp;&nbsp;This Eleventh Amendment may be executed in any number of counterparts, each of which when so executed shall be deemed to be an original and all of which when taken together shall constitute but one and the same agreement.

*[Signature Pages Follow]*

------

IN WITNESS WHEREOF, the parties have executed this Eleventh Amendment as of the day and year first set forth above.

---

| |
|:---|
| BORROWER: |
| DAKOTA DRY BEAN INC. |
| By: <u>/s/ Matthew Crisp</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Name: Matthew Crisp |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Title: Chief Executive Officer |
| LENDER: |
| FIRST NATIONAL BANK OF OMAHA |
| By: <u>/s/ Kenneth Feaster</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Name: Kenneth Feaster |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Title: Vice President |

---

## Exhibit 10.32

**Exhibit 10.32**

**THIRD AMENDMENT TO LOAN DOCUMENTS**

THIS THIRD AMENDMENT TO LOAN DOCUMENTS (the "**Third Amendment**"), is made and entered into as of March 10, 2023 (the "**Third Amendment Effective Date**"), by and among (1) Benson Hill, Inc., a Delaware corporation (the "**Parent**"), Benson Hill Holdings, Inc., a Delaware corporation ("**BH Holdings**"), BHB Holdings, LLC, a North Carolina limited liability company ("**BHB Holdings**"), DDB Holdings, Inc., a Delaware corporation "**DDB Holdings**"), Dakota Dry Bean Inc., a North Dakota corporation ("**Dakota Dry Bean**"), Benson Hill Ingredients, LLC, a Delaware limited liability company "**BHI**"), Benson Hill Seeds Holding, Inc., a Delaware corporation ("**BHS Holding**"), Benson Hill Seeds, Inc., a Delaware corporation ("**BHS**"), Benson Hill Fresh, LLC, a Delaware limited liability company ("**BHF**"), J&J Produce, Inc., a Florida corporation ("**JJP**"), J&J Southern Farms, Inc., a Florida corporation ("**JSF**"), and Trophy Transport, LLC, a Florida limited liability company ("**Trophy Transport**") (Parent and each of BH Holdings, BHB Holdings, DDB Holdings, Dakota Dry Bean, BHI, BHS Holding, BHS, BHF, JJP, JSF, and Trophy Transport are each individually referred to as a "**Borrower**" and all collectively as the "**Borrowers**"); (2) Avenue Capital Management II, L.P., a Delaware limited partnership, as administrative agent and collateral agent (the "**Agent**"); and (3) Avenue Venture Opportunities Fund, L.P., a Delaware limited partnership, Avenue Venture Opportunities Fund II, L.P., a Delaware limited partnership, Avenue Sustainable Solutions Fund, L.P., a Delaware limited partnership, Avenue Global Dislocation Opportunities Fund, L.P., a Delaware limited partnership, and Avenue Global Opportunities Master Fund LP, a Delaware limited partnership (each individually referred to as a "**Lender**" and all collectively as the "**Lenders**");

**Recitals**:

A.Borrowers (other than BHI), Agent, and Lenders are parties to those certain Loan Documents, dated as of December 29, 2021, including the Loan and Security Agreement, as amended by that certain Joinder and First Amendment to Loan Documents dated June 30, 2022 (the "**First Amendment**") and that certain Second Amendment to Loan Documents dated November 8, 2022 (the "**Second Amendment**") (collectively and as may be further amended from time to time, the **"Agreement"**) and the Supplement to Loan and Security Agreement (as may be further amended from time to time, the **"Supplement"** and together with the Agreement, the "**Loan Documents**");

B.Pursuant to the terms of the Agreement, Borrowers (other than BHI) and BHF Holdings delivered to the Lenders their Promissory Notes dated as of December 29, 2021 and made payable to the Lenders in the aggregate original principal amount of One Hundred Million Dollars ($100,000,000) (each individually a "**Note**" and all collectively the "**Notes**");

C.Pursuant to the Loan and Security Agreement, the Parent delivered to the Lenders its Stock Purchase Warrants dated December 29, 2021, each exercisable for an aggregate "Applicable Number" (as defined therein) of shares of the Parent's Common Stock, par value $0.0001 per share (each individually a "**Warrant**" and all collectively the "**Warrant**");

D.Pursuant to a Joinder and First Amendment to Loan Documents made and entered into as of June 30, 2022, among other things, (1) BHI was added and joined as a co-Borrower to the Agreement and other Loan Documents, and (2) the Loan Documents were amended; and

------

E.The parties desire to amend the Loan Documents in accordance with the terms of this Amendment.

**Agreement**:

NOW, THEREFORE, for and in consideration of the premises, and the mutual covenants contained herein, and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties hereto hereby agree as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.<u>Definition of Terms</u>. All capitalized terms contained herein and not otherwise defined shall be defined as provided in the Agreement, as supplemented by the Supplement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.<u>Agreement and Supplement Amendments</u>. The Agreement and Supplement hereby are amended, or amended and restated, as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a.Article 11 of the Agreement is amended to add the following additional definition:

"**<u>Third Amendment Effective Date</u>**" means March 10, 2023.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b.Part I of the Supplement is amended to add or amended and restated, as the case may be, the following definitions:

"**<u>Final Payment</u>**" means a payment (in addition to and not a substitution for the regular monthly payments of principal plus accrued interest) equal to twelve and seventy one hundredths percent (12.70%) of the original Commitment amount of One Hundred Million Dollars ($100,000,000); provided that, in the event all or any part of any Loan is outstanding when a Change of Control occurs, "Final Payment" shall mean a payment (in addition to and not a substitution for the regular monthly payments of principal plus accrued interest) equal to sixteen and twenty one hundredths percent (16.20%) of the original Commitment amount of One Hundred Million Dollars ($100,000,000), and, provided further, the applicable Final Payment shall be increased pursuant to Section 5.10(b) and (c) of the Agreement.

"**<u>Interest-only Period</u>**" means the period commencing on the Closing Date and continuing until June 30, 2024.

**"<u>Prime Rate</u>"** is the greater of (i) rate of interest per annum from time to time published in the money rates section of The Wall Street Journal or any successor publication thereto as the "prime rate" then in effect and (ii) seven and three-quarters of one percent (7.75%).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c.Section 5.10 of the Agreement is amended and restated in its entirety to read as follows:

"**5.10&nbsp;&nbsp;&nbsp;&nbsp;RML Financial Covenant**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) From the Second Amendment Effective Date through March 31, 2023, maintain at all times an RML equal to or greater than four (4) months (the "**RML Relief**"). From April 1, 2023, through April 30, 2024 (the "**RML Relief Election Period**"), maintain at all times an RML equal to or greater than (i) four (4) months, or (ii) six (6) months if the RML Relief is terminated in writing by

------

Borrower. Thereafter, Borrower shall maintain at all times an RML equal to or greater than six (6) months.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) For each month during the RML Relief Election Period that (i) Parent's Average Public Market Capitalization over the prior thirty (30) Trading Days is at least Market Cap Threshold 1, and (ii) Borrower's unrestricted cash balance is at least One Hundred Million Dollars ($100,000,000) when measured on the last day of the prior month, the Final Payment shall increase by ten basis points (10bps) if Borrower has not yet terminated the RML Relief.

As an example, if Borrower elects to terminate the RML Relief such that the RML Relief terminates on May 31, 2023, the Final Payment would increase by twenty basis points (20bps) from twelve and seventy one hundredths percent (12.70%) to twelve and ninety one hundredths percent (12.90%) (or from sixteen and twenty one hundredths percent (16.20%) to sixteen and forty one hundredths percent (16.40%) if all or any part of any Loan is outstanding when a Change of Control occurs).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) For each month during the RML Relief Election Period that either (i) Parent's Average Public Market Capitalization over the prior thirty (30) Trading Days is less than Market Cap Threshold 1, or (ii) Borrower's unrestricted cash balance is less than One Hundred Million Dollars ($100,000,000) when measured on the last day of the prior month, the Final Payment shall increase by twenty-five basis points (25bps) if Borrower has not yet terminated the RML Relief.

As an example, if Borrower elects to terminate the RML Relief such that the RML Relief terminates on May 31, 2023, the Final Payment would increase by fifty basis points (50bps) from twelve and seventy one hundredths percent (12.70%) to twelve and ninety one hundredths percent (12.90%) (or from sixteen and twenty one hundredths percent (16.20%) to sixteen and forty one hundredths percent (16.40%) if all or any part of any Loan is outstanding when a Change of Control occurs).

Notwithstanding anything in the foregoing or anywhere else in the Loan Documents to the contrary, Borrower may rely on Cash held in the Blocked Account on or after the Third Amendment Effective Date in calculating RML regardless of whether such cash has been released to Borrower pursuant to Section 4 of the Second Amendment."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d.Section 1(c) of Part 2 of the Supplement is amended and restated in its entirety to read as follows:

"**(c)&nbsp;&nbsp;&nbsp;&nbsp;Repayment of Growth Capital Loans**. Principal of, and interest on, each Growth Capital Loan shall be payable as set forth in a Note evidencing such Growth Capital Loan (substantially in the form attached hereto as <u>Exhibit "A"</u>), which Note shall provide substantially as follows: principal shall be fully amortized over the Amortization Period in equal, monthly principal installments plus, in each case, unpaid interest thereon at the Designated Rate, commencing after the Interest-only Period of interest-only installments at the Designated Rate. In particular, on the Borrowing Date applicable to such Growth Capital Loan, Borrower shall pay to Agent (i) if the Borrowing Date is earlier than the Loan Commencement Date, interest only at the Designated Rate, in advance, on the outstanding principal balance of the Growth Capital Loan for the period from the Borrowing Date through the last day of the calendar month in which such

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Borrowing Date occurs (it being understood that this clause (i) shall not apply in the case the Borrowing Date is on the same date as the Loan Commencement Date), and (ii) the first (1st) interest-only installment at the Designated Rate, in advance, on the outstanding principal balance of the Note evidencing such Loan for the ensuing month. Commencing on the first day of the second full month after the Borrowing Date and continuing on the first day of each month during the Interest-only Period thereafter, Borrower shall pay to Agent interest only at the Designated Rate, in advance, on the outstanding principal balance of the Loan evidenced by such Note for the ensuing month. Commencing on the first day of the first full month after the end of the Interest-only Period, and continuing on the first day of each consecutive calendar month thereafter, Borrower shall pay to Agent equal consecutive monthly principal installments in advance in an amount sufficient to fully amortize the Loan evidenced by such Note over the Amortization Period, plus interest at the Designated Rate for such month. On the Maturity Date, all principal and accrued interest then remaining unpaid and the Final Payment shall be due and payable.

Notwithstanding anything in the foregoing or the Note to the contrary, Borrower hereby acknowledges and agrees that for the first five (5) principal payments after the Interest-only Period, beginning with the principal payment on July 1, 2024, Borrower shall pay to Agent, on behalf of the Lenders, an amount equal to Eleven Million One Hundred Eleven Thousand One Hundred Eleven Dollars and Eleven Cents ($11,111,111.11) on each payment date."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.<u>Future Equity and/or Convertible Note Financings</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a.&nbsp;&nbsp;&nbsp;&nbsp;For any sale of Parent's equity securities (including, but not limited to, (i) any offering of debt, convertible in whole or in part to Parent's equity securities; (ii) any offering debt, with which will be issued warrants or similar rights to purchase Parent's equity securities; (iii) an underwritten "public" offering of Parent's registered equity securities; and (iv) any "follow-on"; "PIPE"; "ATM"; "overnight block" or similar) which occurs on or after June 1, 2023, Borrower shall cause fifty percent (50.00%) of the net proceeds of such sale to be deposited into the Blocked Account within one (1) Business Day of receipt.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b.&nbsp;&nbsp;&nbsp;&nbsp;See <u>Annex I</u> attached hereto and incorporated herein by reference.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.<u>Blocked Account</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a.&nbsp;&nbsp;&nbsp;&nbsp;Notwithstanding anything in Section 4(a) of the Second Amendment to the contrary, Cash held in the Blocked Account shall only be released to Borrower upon the repayment in full, in cash, of all Obligations owing to Lenders. Borrower may only prepay the Growth Capital Loans pursuant to Section 2 of Part 2 of the Supplement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.<u>Indebtedness</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a.&nbsp;&nbsp;&nbsp;&nbsp;Notwithstanding anything in the definitions of "Permitted Indebtedness"; "Permitted Investments"; or "Permitted Liens" or anywhere else in the Loan Documents to the contrary, from and after the Third Amendment Effective Date, Borrower shall not incur any new Indebtedness (whether in the form of Subordinated Debt, equipment financings or otherwise) unless and until Lenders receive repayment in full, in cash of all Obligations. Borrower may only prepay the Growth Capital Loans pursuant to Section 2 of Part 2 of the Supplement.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.<u>Amendment Fees</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a.As partial consideration for this Amendment, Borrower shall pay to Lenders an amendment fee equal to Two Million Dollars ($2,000,000), which has been fully earned and shall be non-refundable, the receipt of Five Hundred Thousand Dollars ($500,000) towards which Agent hereby confirms, and the balance of which shall be payable to Agent by Borrower on the Third Amendment Effective Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.<u>No Waiver</u>. No course of dealing on the part of any Lender, nor any failure or delay in the exercise of any right by any Lender, shall operate as a waiver thereof, and any single or partial exercise of any such right shall not preclude any later exercise of any such right. A Lender's failure at any time to require strict performance by any Borrower of any provision of the Loan Documents shall not affect any right of any Lender thereafter to demand strict compliance and performance of the Loan Documents. Any suspension or waiver of a right under the Loan Documents must be in writing signed on behalf of each Lender by an authorized person thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.<u>Full Force and Effect</u>. The Loan Documents, as amended hereby, shall be and remain in full force and effect in accordance with their respective terms and hereby are ratified and confirmed in all respects. Except as expressly set forth herein, the execution, delivery, and performance of this Amendment shall not operate as a waiver of, or as an amendment of, any right, power, or remedy of any Lender under the Loan Documents, as in effect prior to the date hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9.<u>Due Power and Authority</u>. Each Borrower hereby represents that (a) such Borrower has the power and due authority to execute and deliver this Amendment and to perform its obligations under the Loan Documents, as amended by this Amendment; and (b) the organizational documents of such Borrower delivered to Agent on the Closing Date, and updated pursuant to subsequent deliveries by such Borrower to Agent, remain true, accurate and complete and have not been amended, supplemented or restated and are and continue to be in full force and effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.<u>Conditions Precedent</u>. As a condition to the effectiveness of this Amendment, Lenders shall have received, in form and substance reasonably satisfactory to Lenders, the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a.this Amendment, duly executed by Borrower;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b.all reasonable Lender expenses incurred through the date of this Amendment, which Borrower shall remit via wire transfer on the date of execution of this Amendment per the instructions set forth on <u>Annex II</u> hereto; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c.such other documents, and completion of such other matters, as Lender may reasonably deem necessary or appropriate (and Lender's execution and delivery to Borrower of this Amendment shall constitute confirmation that this condition has been satisfied).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11.<u>Entire Agreement</u>. The Loan Documents, as amended by this Amendment, (a) represent the entire agreement among the parties with respect to the subject matter hereof, and are intended to be an integration of, and (b) supersede all prior or contemporaneous agreements, conditions, or undertakings between the parties hereto with respect to the subject matter hereof, including without limitation that certain Proposal between the parties dated March 2, 2023.

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12.<u>Electronic Signatures and Delivery</u>. Delivery of an executed counterpart of this Agreement by facsimile or in electronic (i.e., "pdf" or "tif") format shall be effective as delivery of an original, and execution by use of an electronic signature or digital signature shall be valid for all purposes, but all of which together shall constitute one instrument.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13.<u>Successors and Assigns</u>. This Amendment shall apply to, inure to the benefit of, and be binding upon the parties hereto and upon their respective legal representatives, successors and permitted assigns, except as otherwise provided herein.

[Signature Page Follows]

------

IN WITNESS WHEREOF, this Amendment has been executed by the parties hereto, in duplicate originals, as of the Second Amendment Effective Date.

**BORROWERS:**

BENSON HILL, INC.

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>/s/ Dean Freeman&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name:&nbsp;&nbsp;&nbsp;&nbsp;Dean Freeman&nbsp;&nbsp;&nbsp;&nbsp;

Title:&nbsp;&nbsp;&nbsp;&nbsp;Authorized Signatory

BENSON HILL HOLDINGS, INC.

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>/s/ Dean Freeman&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name:&nbsp;&nbsp;&nbsp;&nbsp;Dean Freeman&nbsp;&nbsp;&nbsp;&nbsp;

Title:&nbsp;&nbsp;&nbsp;&nbsp;Authorized Signatory

BHB HOLDINGS, LLC

By:&nbsp;&nbsp;&nbsp;&nbsp;Benson Hill, Inc.

Its:&nbsp;&nbsp;&nbsp;&nbsp;Sole Member

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>/s/ Dean Freeman&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name:&nbsp;&nbsp;&nbsp;&nbsp;Dean Freeman&nbsp;&nbsp;&nbsp;&nbsp;

Title:&nbsp;&nbsp;&nbsp;&nbsp;Authorized Signatory

DDB HOLDINGS, INC.

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>/s/ Dean Freeman&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name:&nbsp;&nbsp;&nbsp;&nbsp;Dean Freeman&nbsp;&nbsp;&nbsp;&nbsp;

Title:&nbsp;&nbsp;&nbsp;&nbsp;Authorized Signatory

DAKOTA DRY BEAN INC.

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>/s/ Dean Freeman&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name:&nbsp;&nbsp;&nbsp;&nbsp;Dean Freeman&nbsp;&nbsp;&nbsp;&nbsp;

Title:&nbsp;&nbsp;&nbsp;&nbsp;Authorized Signatory

Signature Page<br>to<br>Third Amendment to Loan Documents

------

BENSON HILL INGREDIENTS LLC

By:&nbsp;&nbsp;&nbsp;&nbsp;DDB Holdings, Inc.

Its:&nbsp;&nbsp;&nbsp;&nbsp;Sole Member

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>/s/ Dean Freeman&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name:&nbsp;&nbsp;&nbsp;&nbsp;Dean Freeman&nbsp;&nbsp;&nbsp;&nbsp;

Title:&nbsp;&nbsp;&nbsp;&nbsp;Authorized Signatory

BENSON HILL SEEDS HOLDING, INC.

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>/s/ Dean Freeman&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name:&nbsp;&nbsp;&nbsp;&nbsp;Dean Freeman&nbsp;&nbsp;&nbsp;&nbsp;

Title:&nbsp;&nbsp;&nbsp;&nbsp;Authorized Signatory

BENSON HILL SEEDS, INC.

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>/s/ Dean Freeman&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name:&nbsp;&nbsp;&nbsp;&nbsp;Dean Freeman&nbsp;&nbsp;&nbsp;&nbsp;

Title:&nbsp;&nbsp;&nbsp;&nbsp;Authorized Signatory

BENSON HILL FRESH, LLC

By:&nbsp;&nbsp;&nbsp;&nbsp;Benson Hill Holdings, Inc.

Its:&nbsp;&nbsp;&nbsp;&nbsp;Sole Member

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>/s/ Dean Freeman&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name:&nbsp;&nbsp;&nbsp;&nbsp;Dean Freeman&nbsp;&nbsp;&nbsp;&nbsp;

Title:&nbsp;&nbsp;&nbsp;&nbsp;Authorized Signatory

J&J PRODUCE, INC.

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>/s/ Dean Freeman&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name:&nbsp;&nbsp;&nbsp;&nbsp;Dean Freeman&nbsp;&nbsp;&nbsp;&nbsp;

Title:&nbsp;&nbsp;&nbsp;&nbsp;Authorized Signatory

J&J SOUTHERN FARMS, INC.

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>/s/ Dean Freeman&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name:&nbsp;&nbsp;&nbsp;&nbsp;Dean Freeman&nbsp;&nbsp;&nbsp;&nbsp;

Title:&nbsp;&nbsp;&nbsp;&nbsp;Authorized Signatory

Signature Page<br>to<br>Third Amendment to Loan Documents

------

TROPHY TRANSPORT, LLC

By:&nbsp;&nbsp;&nbsp;&nbsp;J&J Produce, Inc.

Its:&nbsp;&nbsp;&nbsp;&nbsp;Sole Member

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>/s/ Dean Freeman&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name:&nbsp;&nbsp;&nbsp;&nbsp;Dean Freeman&nbsp;&nbsp;&nbsp;&nbsp;

Title:&nbsp;&nbsp;&nbsp;&nbsp;Authorized Signatory

Signature Page<br>to<br>Third Amendment to Loan Documents

------

**AGENT:**

AVENUE CAPITAL MANAGEMENT II, L.P.

By:&nbsp;&nbsp;&nbsp;&nbsp;Avenue Capital Management II GenPar, LLC

Its:&nbsp;&nbsp;&nbsp;&nbsp;General Partner

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>/s/ Sonia Gardner&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name:&nbsp;&nbsp;&nbsp;&nbsp;Sonia Gardner

Title:&nbsp;&nbsp;&nbsp;&nbsp;Member

**LENDERS:**

AVENUE VENTURE OPPORTUNITIES FUND, L.P.

By:&nbsp;&nbsp;&nbsp;&nbsp;Avenue Venture Opportunities Partners, LLC

Its:&nbsp;&nbsp;&nbsp;&nbsp;General Partner

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>/s/ Sonia Gardner&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name:&nbsp;&nbsp;&nbsp;&nbsp;Sonia Gardner

Title:&nbsp;&nbsp;&nbsp;&nbsp;Authorized Signatory

AVENUE VENTURE OPPORTUNITIES FUND II, L.P.

By:&nbsp;&nbsp;&nbsp;&nbsp;Avenue Venture Opportunities Partners II, LLC

Its:&nbsp;&nbsp;&nbsp;&nbsp;General Partner

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>/s/ Sonia Gardner&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name:&nbsp;&nbsp;&nbsp;&nbsp;Sonia Gardner

Title:&nbsp;&nbsp;&nbsp;&nbsp;Authorized Signatory

AVENUE SUSTAINABLE SOLUTIONS FUND, L.P.

By:&nbsp;&nbsp;&nbsp;&nbsp;Avenue Sustainable Solutions Partners, LLC

Its:&nbsp;&nbsp;&nbsp;&nbsp;General Partner

By:&nbsp;&nbsp;&nbsp;&nbsp;GL Sustainable Solutions Partners, LLC

Its:&nbsp;&nbsp;&nbsp;&nbsp;Managing Member

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>/s/ Sonia Gardner&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name:&nbsp;&nbsp;&nbsp;&nbsp;Sonia Gardner

Title:&nbsp;&nbsp;&nbsp;&nbsp;Member

Signature Page<br>to<br>Third Amendment to Loan Documents

------

AVENUE GLOBAL DISLOCATION OPPORTUNITIES FUND, L.P.

By:&nbsp;&nbsp;&nbsp;&nbsp;Avenue Global Dislocation Opportunities GenPar, LLC

Its:&nbsp;&nbsp;&nbsp;&nbsp;General Partner

By:&nbsp;&nbsp;&nbsp;&nbsp;GL Global Dislocation Opportunities Partners, LLC

Its:&nbsp;&nbsp;&nbsp;&nbsp;Managing Member

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>/s/ Sonia Gardner&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name:&nbsp;&nbsp;&nbsp;&nbsp;Sonia Gardner

Title:&nbsp;&nbsp;&nbsp;&nbsp;Member

AVENUE GLOBAL OPPORTUNITIES MASTER FUND LP&nbsp;&nbsp;&nbsp;&nbsp;

By:&nbsp;&nbsp;&nbsp;&nbsp;Avenue Global Opportunities GenPar Holdings Ltd

Its:&nbsp;&nbsp;&nbsp;&nbsp;General Partner

By:&nbsp;&nbsp;&nbsp;&nbsp;<u>/s/ Sonia Gardner&nbsp;&nbsp;&nbsp;&nbsp;</u>

Name:&nbsp;&nbsp;&nbsp;&nbsp;Sonia Gardner

Title:&nbsp;&nbsp;&nbsp;&nbsp;Director

Signature Page<br>to<br>Third Amendment to Loan Documents

------

**Annex I**

<br> *[Annex I to Second Amendment to Loan Documents]*

------

**Annex II**

<br> *[Annex II to Second Amendment to Loan Documents]*

## Exhibit 21.1

**Exhibit 21.1**

**BENSON HILL, INC.**

**SUBSIDIARIES OF REGISTRANT**

The Registrant, Benson Hill, Inc., a Delaware corporation, has no parent

The following are subsidiaries of the Registrant

(as of December 31, 2022)

---

| | |
|:---|:---|
| **Subsidiary Name** | **Country or State of Incorporation** |
| Benson Hill Biosystem do Brasil—Inovacao Tecnologica LTDA | Brazil |
| Benson Hill Fresh, LLC | Delaware |
| Benson Hill Holdings, Inc. | Delaware |
| Benson Hill Ingredients, LLC | Delaware |
| Benson Hill Seeds Holding, Inc. | Delaware |
| Benson Hill Seeds, Inc. | Delaware |
| BHB Holdings, LLC | North Carolina |
| Dakota Dry Bean Inc. | North Dakota |
| DDB Holdings, Inc. | Delaware |
| J&J Farms NC, LLC | Florida |
| J&J Farms TN, LLC | Florida |
| J&J Florida Farms 2, LLC | Florida |
| J&J Produce, Inc. | Florida |
| J&J Southern Farms, Inc. | Florida |
| Trophy Transport, LLC | Florida |

---

## Exhibit 23.1

**Exhibit 23.1**

Consent of Independent Registered Public Accounting Firm

We consent to the incorporation by reference in the following Registration Statements:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) Registration Statement (Form S-3 No. 333-259679) of Benson Hill, Inc.,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) Registration Statement (Form S-3 No. 333-268284) of Benson Hill, Inc.,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) Registration Statement (Form S-8 No. 333-263902) pertaining to the Benson Hill, Inc. 2021 Omnibus Incentive Plan., and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) Registration Statement (Form S-8 No. 333-266270) pertaining to the Benson Hill, Inc. 2022 Employee Stock Purchase Plan.

of our report dated March 16, 2023, with respect to the consolidated financial statements and financial statement schedule of Benson Hill, Inc. and subsidiaries included in this Annual Report (Form 10-K) of Benson Hill, Inc. for the year ended December 31, 2022.

/s/ Ernst & Young LLP

St. Louis, Missouri

March 16, 2023

## Exhibit 31.1

**Exhibit 31.1**

**<u>Certification Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002</u>**

I, Matthew B. Crisp, Chief Executive Officer of Benson Hill, Inc. certify that:

1. I have reviewed this annual report on Form 10-K of Benson Hill, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c)Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d)Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date: March 16, 2023&nbsp;&nbsp;&nbsp;&nbsp;<u>/s/ Matthew B. Crisp&nbsp;&nbsp;&nbsp;&nbsp;</u> 

Matthew B. Crisp

Chief Executive Officer

(Principal Executive Officer)

## Exhibit 31.2

**Exhibit 31.2**

**<u>Certification Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002</u>**

I, Dean Freeman, Chief Financial Officer of Benson Hill, Inc., certify that:

1. I have reviewed this annual report on Form 10-K of Benson Hill, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a.Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b.Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c.Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d.Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a.All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b.Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date: March 16, 2023&nbsp;&nbsp;&nbsp;&nbsp;<u>/s/ Dean Freeman</u>

Dean Freeman

Chief Financial Officer

(Principal Financial Officer)

## Ex-32

**Exhibit 32**

**<u>Certification Pursuant to 18 U.S.C. Section 1350, as adopted pursuant to</u>**

**<u>Section 906 of the Sarbanes-Oxley Act of 2002</u>**

In connection with the annual report on Form 10-K of Benson Hill, Inc., a Delaware corporation (the "Company"), I Matthew B. Crisp, Chief Executive Officer and I, Dean Freeman, Chief Financial Officer of the Company, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that, to our knowledge:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1)&nbsp;&nbsp;&nbsp;&nbsp;the Annual Report on Form 10-K for the fiscal year ended December 31, 2022, (the "Form 10-K") of the Company fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2)&nbsp;&nbsp;&nbsp;&nbsp;the information contained in the Annual Report on Form 10-K fairly presents, in all materials respects, the financial condition and results of operations of the Company.

A signed original of these written statements required by Section 906 has been provided to Benson Hill, Inc. and will be retained by Benson Hill, Inc. and furnished to the Securities and Exchange Commission or its staff upon request.

Date: March 16, 2023&nbsp;&nbsp;&nbsp;&nbsp;<u>/s/ Matthew B. Crisp&nbsp;&nbsp;&nbsp;&nbsp;</u> 

Matthew B. Crisp

Chief Executive Officer

(Principal Executive Officer)

Date: March 16, 2023&nbsp;&nbsp;&nbsp;&nbsp;<u>/s/ Dean Freeman&nbsp;&nbsp;&nbsp;&nbsp;</u> 

Dean Freeman

Chief Financial Officer

(Principal Financial Officer)

<br>