Company: RAIN
Filing Date: 2025-02-12
Form Type: 424B3
Source: 0001213900-25-012904
Chunk: 110

Company: Rain Enhancement Technologies Holdco, Inc.
Filing Date: 2025-02-12
Form: 424B3
Chunk 110
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in order to align the associated cash requirements, especially for working capital, with actual timing and/or realized proceeds of the
Business Combination. Adjustments have been made by reducing or shifting planned operational costs and R&D investments, on a short-term
basis, until additional funding is obtained. RET management has determined that the RET system’s design is complete, requiring no
additional R&D in the near-term, and that the main cash requirement for operations in the next 12 months will be staffing and operations.
On January 29, 2025, the Company closed an additional $500,000 of investment pursuant to the PIPE Subscription Agreements and issued an aggregate of 43,910 shares of Class A Common Stock to the PIPE Investors. On February 6, 2025, the Company closed on the remaining$150,000 of investment pursuant to the PIPE Subscription Agreements and issued an aggregate of 13,173 shares of Class A Common Stock to the PIPE Investors.Additionally, the Company has $7 million available which may be borrowed under a
line of credit from an affiliate of Harry You, of which $300,000 has been borrowed as of the date of this prospectus. However, we cannot
assure you that the Company will not need additional sources of capital to operate its business in the next 12 months, or that it will
be able to obtain additional capital for its five-year business plan. See “Risk Factors - RET will need additional capital to pursue its business objectives and respond to business opportunities, challenges or unforeseen circumstances, and it cannot be sure that additional financing will be available.”

For more information, see
“RET Management’s Discussion and Analysis of Financial Condition and Results of Operations - Plan of Operations - Summary of Milestones and Material Cash Requirements.”

Government and Other Regulations

RET expects its technology will be subject to certain environmental and governmental regulations. Certain jurisdictions have codified regulations around cloudseeding that may subject RET’s rainfall generation platforms to certain licensing and permitting requirements. For instance, the Texas Department of Licensing and Regulation regulates the use of cloudseeding through a licensing and permitting procedure codified in the Texas Weather Modification Act. Furthermore, the use of certain materials for seeding purposes will likely be subject to governmental and other regulations. For more information, see “ Risk Factors - Risks Relating to Regulatory and Legal Matters”.

Research & Development

RET’s research and development groups will work closely with its sales and marketing groups, as well as its clients and partners, to bring its products to market in