Company: ABTC
Filing Date: 2025-07-22
Form Type: S-4/A
Source: 0001213900-25-066299
Chunk: 92

Company: American Bitcoin Corp.
Filing Date: 2025-07-22
Form: S-4/A
Chunk 92
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phon Common Stock and impair Gryphon’s ability to raise adequate capital through the sale of additional equity securities. As of March 31, 2025, Gryphon had outstanding a total of approximately 69,985,037shares of common stock. Of these shares, approximately 51.3 million shares of common stock are freely tradable, without restriction, in the public market, unless they are purchased by one of Gryphon’s affiliates. Sales of these shares or perceptions that they will be sold, could cause the trading price of Gryphon Common Stock to decline. Future sales and issuances of Gryphon Common Stock or rights to purchase common stock, including in connection with Gryphon’s equity incentive plan, could result in dilution of the percentage ownership of its stockholders and could cause Gryphon’s stock price to fall. Additional capital will be needed to continue Gryphon’s operations. To the extent Gryphon raises additional capital by issuing equity securities, its stockholders may experience substantial dilution. The Merger Agreement contains restrictions on, among other things, the ability of Gryphon to issue Gryphon Common Stock without the consent of ABTC. Under the Merger Agreement, Gryphon is permitted to utilize its ATM program to a limited extent, and ABTC may grant consent for further issuances of Gryphon Common Stock and use of the ATM program. Subject to the terms of the Merger Agreement, Gryphon may sell common stock, convertible securities or other equity securities in one or more transactions at prices and in a manner it determines from time to time. If Gryphon sells common stock, convertible securities or other equity securities in more than one transaction, investors may be materially diluted by subsequent sales. These sales may also result in material dilution to Gryphon’s existing stockholders and new investors could gain rights superior to existing stockholders. Pursuant to the 2024 Omnibus Incentive Plan (the “ 2024 Plan”), the Gryphon Board is authorized to grant stock options and other equity -basedawards to its employees, directors and consultants, which equity -basedawards would cause dilution to existing stockholders upon exercise or settlement of such awards. The number of shares of Gryphon Common Stock reserved for issuance under the 2024 Plan was originally set at 15% of the total number of the shares of common stock outstanding at the Closing of the Akerna Merger, subject to a discretionary annual increase by the Gryphon Board. As of May 8, 2025, there were 2,122,