Company: LRHC
Filing Date: 2025-07-11
Form Type: PRE 14C
Source: 0001213900-25-063319
Chunk: 7

Company: La Rosa Holdings Corp.
Filing Date: 2025-07-11
Form: PRE 14C
Chunk 7
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 to which the Investor surrendered and exchanged all of its Incremental Warrants
in exchange for New Preferred Shares.

The Exchange Agreement includes
customary representations, warranties and covenants by the Company and standard closing conditions. The Exchange Agreement also requires
that the Company obtain the Stockholder Approval within 120 days after the date of the Exchange Agreement. In accordance with the
Exchange Agreement Joseph La Rosa, the Chief Executive Officer and Chairman of the Board, executed a voting agreement with the Company,
pursuant to which Mr. La Rosa has agreed to vote in favor of the Stockholder Approval.

On June 18, 2025, the Company filed the Certificate
of Designation with the Secretary of State of the State of Nevada.

No Dividends; Voting Rights

The Series B Preferred Stock bears no dividends.

Holders of shares of Series B Preferred Stock
are entitled to vote with the holders of outstanding shares of Common Stock, voting together as a single class, with respect to any and
all matters presented to the shareholders of the Company for their action or consideration (whether at a meeting or shareholders of the
Company, by written action of shareholders in lieu of a meeting or otherwise). In any such vote, each share of Series B Preferred Stock
will be entitled to a number of votes equal to the lesser of (a) the number of shares of Common Stock into which such shares of Series
B Preferred Stock are convertible as of the record date for such vote or written consent or, if there is no specified record date, as
of the date of such vote or written consent and (b) 4.99% of the shares of the Company’s Common Stock outstanding immediately after
giving effect to such a conversion (the “Maximum Percentage”).

Conversion Rights

Subject to the Maximum Percentage, holders of
outstanding shares of Series B Preferred Stock are entitled to convert any portion of the outstanding and unpaid Conversion Amount (as
hereinafter defined) thereof into shares of Common Stock at the Conversion Rate (as hereinafter defined). For such purpose: (i) “Conversion
Amount” means the stated value thereof and any other unpaid amounts owed to such holder(s) under the Exchange Documents (as defined
in the Exchange Agreement); (ii) “Conversion Rate” means the amount determined by dividing (x) such Conversion Amount by (y)
the Conversion Price; and (iii) “Conversion Price”, as of any date of determination and subject to adjustment as provided
therein (if any), at