Company: RAIN
Filing Date: 2025-04-16
Form Type: 10-K
Source: 0001213900-25-032239
Chunk: 208

Company: Rain Enhancement Technologies Holdco, Inc.
Filing Date: 2025-04-16
Form: 10-K
Item: Item 1A
Chunk 208
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 5,914,057 shares of Class A Common
Stock are subject to registration rights, representing approximately 78.6% of the 7,528,761 outstanding shares of Class A Common Stock
as of April 15, 2025 and approximately 242.3% of the approximately 2,441,042 shares of Class A Common Stock in the public float as of April
15, 2025.

The registration of these shares permits the public resale of such
shares, subject to any applicable contractual lock-up obligation. The registration and availability of a significant number of securities
for trading in the public market may have an adverse effect on the market price of the Class A Common Stock.

32

Sales of a substantial number of shares
of Class A Common Stock in the public market, particularly sales by our executive officers, directors and significant shareholders, or
the perception that these sales could occur, could cause the market price of Class A Common Stock to decline.

Sales of a substantial number of shares of Class
A Common Stock in the public market, particularly sales by our executive officers, directors and principal shareholders, or the perception
that these sales might occur, could cause the market price of Class A Common Stock to decline. Some of our executive officers, directors
and the holders of a substantial number of shares of Class A Common Stock following the Business Combination are subject to lock-up provisions
pursuant to the Lock-up Agreement that, for a period of at least two years from the date of Closing, subject to certain exceptions, prohibit
them from offering for sale, selling, contracting to sell, granting any option for the sale of, transferring or otherwise disposing of
any shares of Class A Common Stock and of any securities convertible into or exercisable for Class A Common Stock.

When the applicable lock-up periods expire, our
security holders subject to lock-up provisions will be able to sell shares of Class A Common Stock in the public market. Sales of a substantial
number of such shares upon expiration of the lock-up provisions, the perception that such sales may occur or early release of these provisions
could cause our market price to fall or make it more difficult for you to sell your Class A Common Stock at a time and price that you
deem appropriate.

In addition, we may file a registration statement
to register shares reserved for future issuance under our equity compensation plans. Subject to the satisfaction of applicable vesting
requirements and expiration of the lock-up provisions referred to above, the shares issued upon exercise of outstanding stock