Company: FLDDW
Filing Date: 2025-01-24
Form Type: 424B3
Source: 0001213900-25-006075
Chunk: 185

Company: Fold Holdings, Inc.
Filing Date: 2025-01-24
Form: 424B3
Chunk 185
---
 Class A Common Stock or Fold Capital Stock, the market value of the shares of Emerald Class A Common Stock issued in connection with the Business Combination and the Fold Capital Stock converted in connection with the Business Combination may be higher or lower than the values of those shares on earlier dates, and may be higher or lower than the value used to determine the Exchange Ratio. Accordingly, at the time of providing written consent to the Fold Business Combination Proposal, Fold stockholders will not know or be able to calculate the market value of the shares of Emerald Class A Common Stock they would receive upon the completion of the Business Combination. Stock price changes may result from a variety of factors, including changes in the business, operations or prospects of Emerald or Fold, regulatory considerations and general business, market, industry or economic conditions. Many of these factors are outside of the control of Emerald and Fold. Our Public Stockholders will experience immediate dilution due to the issuance of shares of Emerald Class A Common Stock to Fold stockholders in the Business Combination. Having a minority share position may reduce the influence that our current stockholders have on the management of New Fold. It is anticipated that, following the completion of the Business Combination (for illustrative purposes), Emerald’s public stockholders will retain an ownership interest in the range of 9.6%, 7.3% and 2.4% of New Fold under the minimum redemption, 25% redemption and maximum redemption scenarios, respectively, and Fold stockholders will own an amount in the range of 70.5%, 72.3% and 76.4% of New Fold under the minimum 100 redemption, 25% redemption and maximum redemption scenarios, respectively. For a description of the assumptions used in the minimum redemption, 25% redemption and maximum redemption scenarios, please see the section entitled “ Questions and Answers About the Business Combination — What equity stake will current Emerald stockholders and Fold stockholders have in New Fold?” To the extent that any of the Emerald Warrants are exercised for New Fold Common Stock, current stockholders may experience substantial dilution. Such dilution could, among other things, limit the ability of our current stockholders to influence management of New Fold through the election of directors following the Business Combination. Neither Emerald nor its stockholders will have the protection of any indemnification, escrow, price adjustment or other provisions that allow for a post-closing adjustment to be made to the total Merger Consideration in the event that any of the representations and warranties made by Fold in the Merger Agreement