Evolv Technologies Holdings, Inc. Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

Fair Value Measurements (Tables)

Fair Value Measurements (Tables)

12 Months Ended

Dec. 31, 2021

Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]

Schedule of financial assets and liabilities measured at fair value on a recurring basis

The following tables present information about the Company’s financial assets and liabilities measured at fair value on a recurring basis and indicate the level of the fair value hierarchy used to determine such fair values (in thousands):


	Fair Value Measurements at December 31, 2021
	Level 1		Level 2		Level 3		Total
Assets:
Money market funds	$	297,536	$	—	$	—	$	297,536
	$	297,536	$	—	$	—	$	297,536
Liabilities:
Contingent earn-out liability	$	—	$	—	$	20,809	$	20,809
Contingently issuable common stock liability		—		—		5,264		5,264
Public Warrant liability		—		—		11,030		11,030
	$	—	$	—	$	37,103	$	37,103


	Fair Value Measurements as of December 31, 2020
	Level 1		Level 2		Level 3		Total
Liabilities:
Common stock warrant liability	$	—	$	—	$	1	$	1
Derivative liability		—		—		1,000		1,000
	$	—	$	—	$	1,001	$	1,001

Warrants to purchase common stock

Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]

Schedule of common stock warrant liability

The following table provides a rollforward of the common stock warrant liability (in thousands):


Balance at December 31, 2020	$	1
Change in fair value		879
Conversion of common stock warrant to common stock upon the closing of the Merger		(880)
Balance at December 31, 2021	$	—

Derivative Liability.

Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]

Schedule of derivative liability

The following table provides a rollforward of the derivative liability (in thousands):


Balance at December 31, 2020	$	1,000
Initial fair value of the embedded derivative		16,986
Change in fair value		1,745
Settlement of derivative liability upon the closing of the Merger		(19,731)
Balance at December 31, 2021	$	—

Contingent Earn-Out Liability

Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]

Schedule of contingent earn-out liability

The following table provides a rollforward of the contingent earn-out liability (in thousands):


Balance at December 31, 2020	$	—
Initial fair value of the instrument		67,021
Change in fair value		(46,212)
Balance at December 31, 2021	$	20,809

Contingently Issuable Common Stock Liability

Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]

Schedule of common stock warrant liability

The following table provides a rollforward of the contingently issuable common shares (in thousands):


Balance at December 31, 2020	$	—
Initial fair value of the instrument		11,670
Change in fair value		(6,406)
Balance at December 31, 2021	$	5,264

Public Warrant Liability.

Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]

Schedule of common stock warrant liability

The following table provides a rollforward of the public warrant liability (in thousands):


Balance at December 31, 2020	$	—
Initial fair value of the instrument		23,636
Change in fair value		(12,606)
Balance at December 31, 2021	$	11,030