Company: FLDDW
Filing Date: 2025-01-22
Form Type: S-4/A
Source: 0001213900-25-005202
Chunk: 237

Company: Fold Holdings, Inc.
Filing Date: 2025-01-22
Form: S-4/A
Chunk 237
---
 There will be no redemption rights or liquidating distributions with respect to the warrants, which will expire worthless if Emerald fails to complete our initial business combination by the Extension Deadline. The Sponsor purchased the founder shares prior to Emerald’s IPO for an aggregate purchase price of $25,000. In accordance with the terms of the 2021 Letter Agreement and the Sponsor Share Restriction Agreement, upon the Closing, approximately 5.3million of such founder shares will be subject to transfer restrictions that will lift for one -thirdof the shares when the closing share price of New Fold’s Common Stock exceeds $12.00 for 20 out of any 30 consecutive trading days, one -thirdof the shares upon the earlier of (a)(x) in the event that Emerald and Fold raise $50million or more as of the Closing, one year following the Closing, and (y) in the event that Emerald and Fold raise less than $50million as of the Closing, two years following the Closing, or (b) the first date that the stock price exceeds $15.00 for 20 out of any 30 consecutive trading days, and the remaining one -thirdwhen the closing share price of New Fold’s Common Stock exceeds $17.00 for 20 out of any 30 consecutive trading days. •Simultaneously with the closing of the IPO, Emerald consummated the sale of 976,081 Private Placement Units at a price of $10.00 per unit to our Sponsor. The Private Placement Warrants, which are included in the Private Placement Units, are each exercisable commencing 30 days following the Closing for one Emerald Common Stock at $11.50 per share. In accordance with the terms of the Sponsor Share Restriction Agreement, the Sponsor will surrender all 488,041 Private Placement Warrants at Closing. If 138 Emerald does not consummate a business combination transaction by the Extension Deadline, then the proceeds from the sale of the Private Placement Units will be part of the liquidating distribution to the holders of Emerald Public Shares, and the warrants held by the Sponsor will be worthless. The warrants held by the Sponsor had an aggregate market value of approximately $0.4million based upon the closing price of $0.80 per warrant on the OTCQB Venture Market on January17, 2025. •The Sponsor and Emerald’s officers and directors will lose their entire investment if Emerald does not complete a business combination by the Extension Deadline. •The Sponsor and Emerald’s executive officers and directors have agreed to waive