Company: SUNE
Filing Date: 2025-04-22
Form Type: S-3
Source: 0001213900-25-033892
Chunk: 9

Company: SUNation Energy, Inc.
Filing Date: 2025-04-22
Form: S-3
Chunk 9
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to realize a gain on an investment in our common stock could have an adverse effect on our business, financial condition and results of
operations by potentially limiting our ability to attract and retain qualified employees and to raise capital. In addition, there may
be increased risk of securities litigation following periods of fluctuations in our stock price. Securities class action lawsuits are
often brought against companies after periods of volatility in the market price of their securities. These and other consequences of volatility
in our stock price which could be exacerbated by macroeconomic conditions that affect the market generally, or our industries in particular,
could have the effect of diverting management’s attention and could materially harm our business.

Management will have broad discretion as to the use of the proceeds from an offering, and we may not use the proceeds effectively.

You will be relying on the judgment of our management
with regard to the use of net proceeds from an offering, and you will not have the opportunity, as part of your investment decision, to
assess whether the proceeds are being used appropriately. Our management will have broad discretion in the application of the net proceeds
from an offering and could spend the proceeds in ways that do not improve our results of operations or enhance the value of our common
stock. Our failure to apply these funds effectively could have a material adverse effect on our business and cause the price of our common
stock to decline.

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Stockholders may be diluted if additional capital stock is issued to raise capital, including to finance acquisitions, repay debt or in connection with strategic transactions.

We intend to seek to raise additional funds for
our operations, to finance acquisitions, repay existing debt or to develop strategic relationships by issuing equity or convertible debt
securities, which would reduce the percentage ownership of our existing stockholders. Our board of directors has the authority, without
action or vote of the stockholders, to issue all or any part of our authorized but unissued shares of common or preferred stock. Following
our recent shareholder approval, our amended and restated certificate of incorporation authorizes us to issue up to 1,000,000,000 shares
of common stock and 3,000,000 shares of preferred stock. Future issuances of common or preferred stock would reduce your influence over
matters on which stockholders vote and would be dilutive to earnings per share. In addition, any newly issued preferred stock could have
rights, preferences and privileges senior to those of the common stock. Those rights, preferences and privileges could include