Company: RAIN
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001213900-25-044438
Chunk: 29

Company: Rain Enhancement Technologies Holdco, Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 1
Chunk 29
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5 and December 31, 2024, the
Company had an aggregate of 7,528,761 shares of Class A Common Stock issued and outstanding.

17

RAIN ENHANCEMENT TECHNOLOGIES
HOLDCO, INC.

NOTES TO UNAUDITED CONDENSED
CONSOLIDATED FINANCIAL STATEMENTS

MARCH 31, 2025

Holdco Class B Common Stock

As of March 31, 2025 and December 31, 2024, the
Company had an aggregate of 57,752  shares of Class B Common Stock issued and outstanding.

Stock Options

On August 23, 2024, the Company granted 1,433,892 and 716,946 options,
as retroactively restated to reflect the Business Combination, to purchase RWT’s Class A common stock to Harry You and Niccolo
de Masi, respectively. The options expire ten years from the date of grant, had an exercise price of $2.06 and were fully
vested upon the grant date.

The Company fully recognized approximately $2.8 million
for stock-based compensation expenses upon issuance of such options in August 2024.

Note 9 — Segment
Information

ASC Topic 280, “Segment Reporting,”
establishes standards for companies to report in their financial statement information about operating segments, products, services,
geographic areas, and major customers. Operating segments are defined as components of an enterprise for which separate financial information
is available that is regularly evaluated by the Company’s chief operating decision maker, or group, in deciding how to allocate
resources and assess performance.

The Company operates and manages the business
as one reportable and operating segment, which is the business of developing, manufacturing and commercializing ionization
rainfall generation technology. The Company’s Chief Executive Officer has been identified as the chief operating decision maker
(“CODM”), who reviews the operating results for the Company as a whole to make decisions about allocating resources and assessing
financial performance. Accordingly, management has determined that the Company only has one operating segment.

When evaluating the Company’s performance
and making key decisions regarding resource allocation the CODM reviews several key metrics, which include the following:

    For the three months ended  March 31, 

    2025  
    2024 
  
    General and administrative expenses 
    $1,342,482  
    $21,