Company: RAIN
Filing Date: 2025-02-12
Form Type: 424B3
Source: 0001213900-25-012904
Chunk: 166

Company: Rain Enhancement Technologies Holdco, Inc.
Filing Date: 2025-02-12
Form: 424B3
Chunk 166
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 total amount owed under the Note and advances from its officers and investors to approximately $617,000. The Note has an annual interest rate of 5% and is currently due on demand. RET repaid the advance amount of approximately $17,000 to its officers in April 2023. As of September 30, 2024 and December 31, 2023, RET has $600,000 outstanding under the Note and has an accrued interest of approximately $49,000 and $27,000, respectively.

In addition to the Note, Harry You also covered additional expenses on behalf of RET. As of September 30, 2024 and December 31, 2023, RET has approximately $204,000 and $11,000 in outstanding advances received from Harry You.

Subscription Agreements

RET entered into subscription
agreements on June 20, 2024, which were later rescinded. On August 23, 2024, RET entered into new subscription agreements with Rainwater
LLC and affiliates of Harry You and Niccolo de Masi, to sell an aggregate of 250 shares of RET Class A Common Stock at a purchase price
of approximately $2,955.78 per share, which the Company determined to be the then-current fair market value based in part on a valuation
from an independent third party valuation firm, and 40 shares of RET Class B Common Stock at a purchase price of approximately $3,103.57
per share, which the Company determined to be the then-current fair market value based in part on a valuation from an independent third
party valuation firm, for an aggregate subscription amount of $865,000.

Issuance of Options

On August 23, 2024, RET granted
options to purchase up to 1,000 shares of RET Class A Common Stock to Harry You and options to purchase up to 500 shares of RET Class
A Common Stock to Niccolo de Masi, in consideration for services provided to RET. Each option has an exercise price of $2,955.78 per share,
which the 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 of the Business
Combination, 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