Company: ARAI
Filing Date: 2025-04-18
Form Type: S-1/A
Source: 0001641172-25-005394
Chunk: 105

Company: Arrive AI Inc.
Filing Date: 2025-04-18
Form: S-1/A
Chunk 105
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 result of
the Merger and as set forth in the Merger Agreement, at closing the outstanding shares of Arrive AI’s common stock, would
be exchanged for common shares of PubCo (the “PubCo Shares”) representing, upon issuance, 94.5% of PubCo’s issued and
outstanding common shares on a fully diluted basis and the legacy shareholders of PubCo would own shares of PubCo common shares representing
5.5% of PubCo’s issued and outstanding common shares on a fully diluted basis. Prior to Closing, PubCo would, among other things,
effect a reverse stock split with respect to PubCo’s common shares at a ratio within the range of 6-for-1 to 200-for-1. PubCo,
as of the closing, would maintain a net cash minimum as defined in the terms of the Merger Agreement consisting of cash and cash equivalents
after full payment of current liabilities, including any financing in connection with the above referenced amount and all expenses related
to the transaction (“Net Cash Minimum”). After closing, PubCo would sell, transfer and assign all existing legacy business,
assets and liabilities of PubCo (“Legacy Business”) to a purchaser, including in the form of a newly established entity (“Purchaser”),
and pursuant to that certain separation and distribution agreement to be entered into by and between PubCo and Purchaser on terms and
conditions to be mutually agreed by PubCo and Purchaser (the “Separation Agreement”). The sale, transfer and assignment of
the Legacy Business would be conducted after the Merger became effective. The Merger Agreement contained customary representations and
warranties by the parties thereto. Certain of the representations and warranties qualified by materiality. The Merger Agreement also
contained pre-closing covenants by the parties thereto, including obligations of the parties to use reasonable efforts to operate their
respective businesses in the ordinary course consistent with past practice, and to refrain from taking certain specified actions without
the prior written consent of the other applicable parties, in each case, subject to certain exceptions and qualifications. Under the
Merger Agreement, the obligations of the parties to consummate the Merger were subject to a number of customary conditions including,
among others: “…PubCo having satisfied any applicable continuing listing requirements of Nasdaq and PubCo having not received
any notice of non-compliance therewith”.

The PubCo was delisted from the Nasdaq Stock Market
LLC in June 2024. The company terminated the Mer