Company: LTRYW
Filing Date: 2025-12-10
Form Type: PRE 14A
Source: 0001493152-25-027089
Chunk: 32

Company: Lottery.com Inc.
Filing Date: 2025-12-10
Form: PRE 14A
Chunk 32
---
(s) Proposal is obtained or a Forward Stock Split is effectuated, it will not impact the number of authorized shares of our preferred stock.

| 20 |

Effect on Outstanding Equity Awards

If a Forward Stock Split is effected, the terms of equity awards granted under our Lottery.com 2021 Incentive Plan or any amendment thereto (the “Incentive Plan”) or any subsequent incentive plan, including the per share exercise price of options, the number of shares issuable under such options and the number of shares delivered upon the vesting and settlement of a restricted stock unit or a performance share unit, may be proportionally adjusted to maintain their economic value, subject to adjustments for any fractional shares as described herein. In addition, the total number of shares of Common Stock that may be the subject of future grants under the Incentive Plan, as well as any plan limits on the size of such grants, shall be adjusted and proportionately increased as a result of a Forward Stock Split.

Effect on Warrants

If a Forward Stock Split is implemented, the number of shares of Common Stock issuable upon the exercise of our outstanding warrants, will be increased by the same ratio as the reduction in the outstanding shares. Correspondingly, the exercise price for individual warrants, on a per share basis, will be proportionally decreased (i.e., the aggregate exercise price for all outstanding warrants will be unaffected, but following a Forward Stock Split such exercise price will apply to the increased number of shares).

Accounting Matters

The par value of
the shares of our Common Stock is not changing as a result of the implementation of a Forward Stock Split. Our stated capital,
which consists of the par value per share of our Common Stock multiplied by the aggregate number of shares of our Common Stock issued
and outstanding, will be increased proportionately on the effective date of a Forward Stock Split. Correspondingly, our
additional paid-in capital, which consists of the difference between our stated capital and the aggregate amount paid to us upon the
issuance of all currently outstanding shares of our Common Stock, will be decreased by a number equal to the increase in
stated capital. Further, net loss per share, book value per share and other per share amounts will be decreased as a result of
a Forward Stock Split because there will be more shares of Common Stock outstanding.

Possible Disadvantages of Forward Stock Split

Even though the Board believes that the potential advantages of Forward Stock Split(s) outweigh any disadvantages that might result, the following are some of the possible