Company: BLNE
Filing Date: 2025-01-17
Form Type: PRE 14A
Source: 0001493152-25-002779
Chunk: 62

Company: Beeline Holdings, Inc.
Filing Date: 2025-01-17
Form: PRE 14A
Chunk 62
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 F-1 Special Adjustment Feature” at page 99.

Consequences if ELOC Share Issuance is not Approved

If the ELOC Share Issuance (Proposal 2) is not approved by our shareholders, the Company will not be able to engage in the transactions contemplated by the ELOC Agreement, and will not be able to access capital thereunder. In such event, the Company will need to seek alternative means of raising capital, including for the purposes and uses described in the preceding subsection titled “Consequences of the ELOC,” which it may be unable to do within a reasonable period of time, on favorable terms, or at all. However, the Company has been advised that Nasdaq applies a six month aggregation following a change of control like the Merger. We are uncertain whether Nasdaq would aggregate the ELOC if we tried to use the ELOC after six months have passed from the closing of the Merger, or April 7, 2025.

Nasdaq Rules

The Company is seeking shareholder approval under this Proposal 2 for purposes of Nasdaq Rule 5635(b) (which is discussed in Proposal 1 under “Nasdaq Rules)), and Nasdaq Rule 5635(d) which also requires shareholder approval for certain offerings of over 20% of the outstanding common stock at a price per share which is less than the “Minimum Price” as defined therein. These Nasdaq rules and related guidance are included in the “Nasdaq rules” referred to with respect to Proposals 1 and 2.

Vote Required

Approval of the Equity Line of Credit Proposal (Proposal 2) requires the affirmative vote of a majority of votes cast on the Proposal.

Dissenters’ (Appraisal) Rights

There are no “dissenters’” or “appraisal” rights in connection with the Equity Line of Credit.

<div align='center'>THE BOARD UNANIMOUSLY RECOMMENDS THAT YOU VOTE “FOR”

THE EQUITY LINE OF CREDIT PROPOSAL

PRINCIPAL SHAREHOLDERS</div>

As of January 23, 2025, there were 4,689,503 shares of Eastside common stock outstanding, 2,500,000 shares of Series B are authorized and outstanding, 255,474 shares of Series D outstanding, 200,000 shares of Series E outstanding, for a total combined voting power of 4,729,826 shares.

The following tables set forth the capitalization of our