Company: LRHC
Filing Date: 2025-11-24
Form Type: PRE 14C
Source: 0001213900-25-113797
Chunk: 21

Company: La Rosa Holdings Corp.
Filing Date: 2025-11-24
Form: PRE 14C
Chunk 21
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The Board of Directors is
notifying stockholders of the proposed Reverse Stock Split in connection with the requirements of the Securities Purchase Agreement. Accordingly,
for this and other reasons described in this Information Statement, we believe that providing an authority to the Board of Directors to
effect the Reverse Stock Split is in the Company’s and our stockholders’ best interests.

We believe that a potential
Reverse Stock Split may improve our ability to maintain listing on Nasdaq. Nasdaq requires, among other items, maintenance of a continued
minimum bid price of at least $1.00 per share under Nasdaq Listing Rule 5550(a)(2) (the “Minimum Bid Price Requirement”).
We currently meet the Nasdaq Minimum Bid Requirement. However, we may not meet it in the future. If that’s the case, the Reverse
Stock Split would potentially increase our bid price such that we meet the Minimum Bid Requirement required for maintaining the listing
requirements for the Nasdaq Capital Market. A decrease in the number of outstanding shares of our Common Stock resulting from a Reverse
Stock Split should, absent other factors, increase the per share market price of our Common Stock, although we cannot provide any assurance
that our minimum bid price would remain over the Minimum Bid Price Requirement of Nasdaq following the Reverse Stock Split.

We cannot provide any assurances
that a potential Reverse Stock Split will have a long-term positive effect on the market price of our Common Stock or increase our ability
to be maintain listing for trading on Nasdaq.

Additionally, we believe that the Reverse Stock Split will make our
Common Stock more attractive to a broader range of institutional and other investors, as we have been advised that the current market
price of our Common Stock may affect its acceptability to certain institutional investors, professional investors and other members of
the investing public. As previously discussed, many brokerage houses and institutional investors have internal policies and practices
that either prohibit them from investing in low-priced stocks or tend to discourage individual brokers from recommending low-priced stocks
to their customers. In addition, some of those policies and practices may function to make the processing of trades in low-priced stocks
economically unattractive to brokers. Moreover, because brokers’ commissions on low-priced stocks generally represent a higher percentage
of the stock price than commissions on higher-priced stocks, the current average price per share of Common Stock can result in individual
stockholders paying transaction costs representing a higher percentage of their total share value than would be the case if the share
price were substantially higher. We believe that