Company: LTRYW
Filing Date: 2025-05-21
Form Type: 10-Q
Source: 0001641172-25-011865
Chunk: 44

Company: Lottery.com Inc.
Filing Date: 2025-05-21
Form: 10-Q
Item: Part I, Item 2
Chunk 44
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 of the
Business Combination Agreement, Merger Sub merged with and into AutoLotto with AutoLotto surviving the merger as a wholly owned subsidiary
of TDAC, which was renamed “ Lottery. com Inc.” The aggregate value of the consideration paid by TDAC to the holders of AutoLotto
common stock in the Business Combination (excluding shares that may be issued to former AutoLotto stockholders (the “ Sellers”)
as earnout consideration) was approximately $440 million, consisting of approximately 2,000,000 shares of common stock valued at $220.00
per share. In addition, each Seller was entitled to receive its pro rata portion of 150,000 Seller Earnout Shares and each Founder Holder
was entitled to receive one-third of 100,000 Founder Holders Earnout Shares, subject to adjustments in the normal course of business.

Reverse
Stock Split

On
August 9, 2023, the Company amended its Charter to implement, effective at 5:30 p. m., Eastern time, a 1-for-20 Reverse Stock Split. At
the effective time of the Reverse Stock Split, every 20 shares of common stock either issued and outstanding or held as treasury stock
were automatically combined into one issued and outstanding share of common stock, without any change in the par value per share. Stockholders
who would have otherwise been entitled to fractional shares of common stock as a result of the Reverse Stock Split received a cash payment
in lieu of receiving fractional shares. In addition, as a result of the Reverse Stock Split, proportionate adjustments will be made to
the number of shares of common stock underlying the Company’s outstanding equity awards, the number of shares issuable upon the
exercise of the Company’s outstanding warrants and the number of shares issuable under the Company’s equity incentive plans
and certain existing agreements, as well as the exercise, grant and acquisition prices of such equity awards and warrants, as applicable.
The Reverse Stock Split was approved by the Company’s stockholders at the Company’s 2023 Annual Meeting of Stockholders on
August 7, 2023 and was subsequently approved by the Board of Directors on August 7, 2023.

International
Expansion

In
June 2021, we closed the acquisition of Global Gaming, which holds 80% of the equity of each of Aganar and JuegaLotto. Aganar operates
in the licensed Online Lottery market in Mexico and is licensed to sell Mexican National Lottery