Company: LTRYW
Filing Date: 2025-04-25
Form Type: S-1/A
Source: 0001641172-25-006093
Chunk: 208

Company: Lottery.com Inc.
Filing Date: 2025-04-25
Form: S-1/A
Chunk 208
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) a final and fifth payment of $ 212,500( 70,834shares) due on or before the 31 stday following ninety days after the Fourth Issuance Date.

In the event that the closing price of the restricted stock units of common shares of the Company to be issued to the shareholders of S&MI, Ltd. is lower than the Fixed Purchase Price on the six (6) month anniversary of any issuance date of said shares (collectively the “Anniversary Issuance Price”), then the Fixed Purchase Price shall be adjusted downward to the volume-weighted average price (“VWAP”) of the common stock for the five (5) consecutive trading days immediately preceding the six (6) month anniversary date of said issuance date. Accordingly, the Company shall be obligated to tender to the shareholders of S&MI, Ltd. additional restricted stock units of common shares of the Company to make up the difference between the Fixed Purchase Price and the Anniversary Issuance Price.

| F-18 |

The opening balance of S&MI Ltd has
been included in our consolidated balance sheet since the date of the acquisition. Since the S&MI Ltd’s financial statements were denominated in British Pounds, the exchange rate of 1.3141 pounds per dollar was used to translate the balances.

The net purchase price was allocated to
the assets and liabilities acquired as per the table below. Goodwill represents the future economic benefits arising from other assets
acquired that could not be individually identified and separately recognized. The fair values of the acquired intangible assets were determined
using the valuation analysis performed by a third-party valuation firm.

The total purchase price of $ 1,000,000 consists of 333,333 shares of common stock at $ 3.00 per share. The total consideration transferred after net assets and assumption of long-term debt was approximately $ 440,000, reflecting the purchase price, net of cash on hand at S&MI Ltd and the principal amount of certain loans assumed by the Company. The purchase price is for a 100% ownership interest. The purchase price was allocated to the identified tangible and intangible assets acquired based on their estimated fair values at the acquisition date as follows:

Schedule of Identified Tangible and Intangible Asset Acquired

| Accounts receivable, net               
 Other Receivables                      
 Intangible assets                      
 Goodwill                               
 Total assets                           
 Accounts payable and other liabilities 
 Director’s Loan                        
 Total liabilities                      |     |   |   124,928 
    50,