Company: LTRYW
Filing Date: 2025-08-19
Form Type: 10-Q
Source: 0001641172-25-024882
Chunk: 57

Company: Lottery.com Inc.
Filing Date: 2025-08-19
Form: 10-Q
Item: Part I, Item 1
Chunk 57
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 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.

The
effects of the Reverse Stock Split have been reflected in this Quarterly Report on Form 10Q for all periods presented.

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 draw games, instant win tickets, and
other games of chance online with access to a federally approved online casino and sportsbook gaming license. JuegaLotto is licensed
by Mexico authorities to commercialize international lottery games in Mexico through an authorized gaming portal and to commercialize
games of chance in other countries throughout Latin America. As of the date of this Report, according to Statista, the estimated size
of the Latin American lottery market is $.68 billion with a compound annual growth rate projected at 6.05% through 2028. Furthermore,
it is projected that there will be 3,000,000 online lottery players in the South American lottery market alone by 2028. Based on these
projections, we believe these acquisitions will provide opportunities for growth of our international operations throughout Mexico and
Latin America as we expand our portfolio of products and expose our existing products to new markets.

The
Company completed the acquisition of Spektrum Ltd from PlusEvo Ltd through a Share Purchase Agreement (SPA) executed on March 13,
2025. This acquisition, valued at $1.5 million in common stock at $3 per share, supports Lottery.com’s strategic expansion and
the development of Lottery.com International. The acquisition provides the Company with a compliant platform to support lottery,
sweepstakes and social gaming operations in dozens of international jurisdictions.

4

Operations
Prior to Operational Cessation

Prior
to the Operational Cessation, the Company was a provider of domestic and international lottery products and services. As an independent
third-party lottery game