Company: LNAI
Filing Date: 2025-07-30
Form Type: DEF 14A
Source: 0001731122-25-001053
Chunk: 17

Company: Lunai Bioworks Inc.
Filing Date: 2025-07-30
Form: DEF 14A
Chunk 17
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 remains in excess of $1.00 per share, we may be delisted due to a failure
to meet other continued listing requirements, including the Nasdaq requirements related to the minimum number of shares that must be in
the public float and the minimum market value of the public float.

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A decline in the market price of our common stock after the Reverse Split is implemented may result in a greater percentage decline than would occur in the absence of the Reverse Split.

If the Reverse Split is implemented
and the market price of our common stock declines, the percentage decline may be greater than would occur in the absence of the Reverse
Split. The market price of our common stock will, however, also be based upon our performance and other factors, which are unrelated to
the number of shares of common stock outstanding.

The Reverse Split may decrease the liquidity of our common stock.

The liquidity of our common
stock may be harmed by the Reverse Split given the reduced number of shares of common stock that would be outstanding after the Reverse
Split, particularly if the stock price does not increase as a result of the Reverse Split.

The Reverse Split may result in future dilution to our stockholders.

The Reverse Split will reduce
the number of outstanding shares of our common stock without a proportionate reduction in the number of shares of authorized but unissued
common stock in the Certificate of Incorporation, which will give the Company a larger number of authorized shares available to be issued
in the future without further stockholder action, except as may be required by applicable laws or the rules of any stock exchange on which
our common stock is listed. The issuance of additional shares of our common stock may have a dilutive effect on the ownership of existing
stockholders.

Determination of the Ratio for the Reverse Split

If Proposal 1 is approved by
stockholders and our Board determines that it is in the best interests of the Company and its stockholders to move forward with the
Reverse Split, the ratio on which the Reverse Split will be effected will be a ratio within the Approved Split Ratios to be selected
by our Board, in its sole discretion, and announced by the Company before the effectiveness of the Reverse Split Amendment. However,
the Approved Split Ratio will not be less than a ratio of one-for-three (1:3) or exceed a ratio of one-for-ten (1:10). In
determining the Approved Split Ratio to use as the Final Split Ratio, our Board will consider numerous factors