Company: RAIN
Filing Date: 2025-04-16
Form Type: 10-K
Source: 0001213900-25-032239
Chunk: 1239

Company: Rain Enhancement Technologies Holdco, Inc.
Filing Date: 2025-04-16
Form: 10-K
Item: Item 8
Chunk 1239
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 Company determined to be the then-current
fair market value, based in part on a valuation from an independent third party valuation firm.

Upon the Closing, such options became Options
of Holdco exercisable for shares of Class A Common Stock at an exercise price of $2.06 per share. The Options are fully vested and are
exercisable at any time for cash or on a cashless basis and expire 10 years after grant. The terms of the options are governed by the
terms of the 2024 Incentive Plan.

PIPE Subscription Agreements

In connection with the Business Combination, on December 20, 2024 and
December 23, 2024, Holdco entered into the PIPE Subscription Agreements with certain investors, including existing shareholders of RWT
and Coliseum and members of the Board, or the PIPE Investors pursuant to which, among other things, Holdco agreed to issue and sell to
the PIPE investors, and the PIPE Investors agreed to subscribe for and purchase in a private placement, an aggregate of 83,429 shares
of Class A Common Stock, at a purchase price of approximately $11.39 per share, which was the then-approximate per share redemption price
of Coliseum’s public shares in the Business Combination, for an aggregate of $950,000.

On December 31, 2024, Holdco entered into PIPE Subscription Agreements
with additional PIPE Investors pursuant to which, among other things, Holdco agreed to issue and sell to the PIPE investors, and the PIPE
Investors agreed to subscribe for and purchase in a private placement, an aggregate of 35,128 shares of Class A Common Stock at a purchase
price of approximately $11.39 per share, for an aggregate additional subscription amount of $400,000. Together with the previous PIPE
Subscription Agreements, the aggregate amount sold pursuant to the PIPE Subscription Agreements was approximately 118,557 shares of Class
A Common Stock for an aggregate investment amount of approximately $1,350,000.

On the Closing Date, the Company closed on $700,000 of investment pursuant
to the PIPE Subscription Agreements and issued an aggregate of 61,474 shares of Class A Common Stock to the PIPE Investors and recorded
a subscription receivable of $650,000 from two PIPE Investors for the purchase of 57,083 shares of Class A Common Stock. On January 29,
2025, the Company closed $500,000 of such subscription receivable pursuant to the PIPE