Company: LAAI
Filing Date: 2025-07-14
Form Type: DEF 14C
Source: 0001683168-25-005079
Chunk: 10

Company: Loan Artificial Intelligence Corp.
Filing Date: 2025-07-14
Form: DEF 14C
Chunk 10
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 receive), the Company shall pay cash (without interest) for such holder’s fractional
share equal to the product of the closing sales price of our Common Stock as reported on the OTC Markets on the Effective Date multiplied
by the fractional share that such holder would otherwise be entitled to receive.
After the Reverse Stock Split, then-current stockholders would have no further interest in our Company with respect to their fractional
shares. A stockholder otherwise entitled to a fractional share would not have any voting, dividend or other rights in respect of such
fractional share except to receive the cash payment (without interest) as described above. Such cash payments would reduce the number
of post-split stockholders to the extent that there are stockholders holding fewer than that number of pre-split shares within the range
of exchange ratios described above. Reducing the number of post-split stockholders, however, is not the purpose of the Reverse Stock Split.
As of the Record Date, there were approximately 800 stockholders of record of our Common Stock. If the Board elects to implement the Reverse
Stock Split, the Company expects that cashing out fractional stockholders would significantly reduce the number of stockholders of record
of our Common Stock.

Shares of Common
Stock held in registered form (that is, shares held by you in your own name on our Company’s share register maintained by our transfer
agent) and shares of Common Stock held in “street name” (that is, shares held by you through a bank, broker or other nominee)
for the same investor would be considered held in separate accounts and would not be aggregated when implementing the Reverse Stock Split.
Also, shares of Common Stock held in registered form but in separate accounts by the same investor would not be aggregated when implementing
the Reverse Stock Split.

Determination and Fairness of the Cash-out Price

In order to avoid the expense
and inconvenience of issuing fractional shares to shareholders who hold less than one share of Common Stock after the Reverse Stock Split,
under Florida state law, the Company may pay cash for their fair value. Florida law provides that the cash payment for fractional shares
is determined by the Company’s Board of Directors. Under Florida law, the good faith judgment of the Board of Directors as to the
fair value is conclusive. The Board of Directors has determined that the cash-out payment for fractional shares as set forth herein is
fair.

In reaching its determination
to proceed with the Reverse Split, the Board of Directors determined that the direct cost savings to the Company from decreasing the administrative