Company: LRHC
Filing Date: 2025-11-19
Form Type: 10-Q
Source: 0001213900-25-112656
Chunk: 212

Company: La Rosa Holdings Corp.
Filing Date: 2025-11-19
Form: 10-Q
Item: Item 8
Chunk 212
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 the Notes. The Company also agreed
to obtain stockholder approval for the issuance of more than 19.99% of the issued and outstanding common stock in this financing.

On
the Closing Date, as required by the SPA, stockholders holding a majority of the voting power of the Company, approved (i) the issuance
of the Initial Note, the Incremental Warrants and Incremental Notes, all Interest Shares and all of the Conversion Shares and Incremental
Conversion Shares (each as defined in the SPA) in excess of 19.99% (without regard to any limitation on conversion or exercise thereof)
of the Company’s issued and outstanding common stock at a price less than the minimum price required by the Nasdaq in accordance
with Nasdaq Listing Rules 5635(b) and 5635(d); (ii) authorization to complete a reverse split of our common stock; and (iii) authorization
to increase the number of authorized shares of our common stock to ensure that the Company has a sufficient number of authorized shares
reserved for issuance to equal at least 200% of the maximum number of shares issuable upon conversion of the Notes, as determined under
the Securities Purchase Agreement. Such approval was effective on March 27, 2025, or 20 days after commencement of mailing of the definitive
information statement regarding this approval to the stockholders of the Company.

On June 18, 2025, with the prior approval by
the Company’s Board of Directors, the Company and the 2025 Investor entered into, and closed the transactions contemplated by,
that certain Amendment and Exchange Agreement (the “Exchange Agreement”) pursuant to which (among other things) the 2025
Investor surrendered and exchanged all of its Incremental Warrants in exchange for (the “Exchange”) 6,000 shares of the Company’s
Series B Convertible Preferred Stock, par value $0.0001 per share (“Series B Preferred Stock”). On the same date, the Company
filed a Certificate of Designation of Rights and Preferences of the Series B Preferred Stock (the “Certificate of Designation”)
with the Secretary of State of the State of Nevada. The Initial Note remains outstanding post-Exchange. 

Pursuant
to the terms of the Exchange Agreement, conversion of the Series B Preferred Stock into shares of common stock of the Company in excess
of 19.99% of the Company’s outstanding shares of common stock is conditional upon obtaining the approval of the Company’s
stockholders