Company: FLDDW
Filing Date: 2025-04-01
Form Type: S-1
Source: 0001213900-25-026537
Chunk: 107

Company: Fold Holdings, Inc.
Filing Date: 2025-04-01
Form: S-1
Chunk 107
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 the Merger Agreement and February 9, 2025, and (iii) 0.2. Description of the December 2024 Initial Investor Financing On December 24, 2024, Fold entered into the December 2024 Securities Purchase Agreement with an institutional investor (the "Investor") pursuant to which the Investor purchased an Initial SPV Note with an aggregate principal amount of $20.0 million which is convertible to shares of Common Stock of Fold prior to the Business Combination, or shares of Common Stock of New Fold subsequent to the Business Combination. In conjunction with the Securities Purchase Agreement and Initial SPV Note, Fold also issued Series A, Series B, and Series C Warrants to the Investor (collectively with the Initial SPV Note, the "SPV Transaction") for approximately 0.9 million, 0.5 million, and 0.9 million shares, respectively. The Series A Warrants (the “SPV Series A Warrants”) are available for exercise for a period of eight years from December 24, 2024, at an exercise price of $12.50 per share. The Series B Warrants (the “SPV Series B Warrants”) are available for exercise after the Business Combination date, for a period of eight years from December 24, 2024, at a nominal exercise price of $0.001 per share. On February 14, 2025, in connection with the closing of the Business Combination, the Investor exercised the Series B Warrants in full for 500,000 shares of Common Stock. The Series C Warrants (the “SPV Series C Warrants”) are available for exercise for a period of one year from the Business Combination date, at an exercise price of $11.50 per share. Treatment of Fold Securities Fold Preferred Stock Immediately prior to the effective time of the Business Combination (the “Effective Time”), Fold Preferred Stock converted into Fold Common Stock. Fold Common Stock At the Effective Time, Fold Common Stock converted into Emerald Common Stock. Fold Restricted Stock Units (“RSUs”) At the Effective Time, outstanding Fold restricted stock units converted into an award of Emerald restricted stock units. Fold Simple Agreements for Future Equity (“SAFEs”) At the Effective Time, outstanding Fold SAFEs converted into Fold Common Stock based on the valuation caps or discount rates stated within the terms of the individual SAFE agreements. 58 Redemption of Class A Common Stock Pursuant to Emerald’s second amended and restated certificate of incorporation and in accordance with the terms