Company: LTRYW
Filing Date: 2025-01-16
Form Type: POS AM
Source: 0001493152-25-002444
Chunk: 98

Company: Lottery.com Inc.
Filing Date: 2025-01-16
Form: POS AM
Chunk 98
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 The UCIL Loan Agreement is with United Capital Investments London Limited
(“UCIL”), an entity in which each of Matthew McGahan, the Company’s Chief Executive Officer and Chair of the Company’s
Board, and Barney Battles, a former member of the Board, have an indirect or direct interest, respectively. The decision by the
Company to enter into the UCIL Loan Agreement followed an acknowledgment by the Company that it had not received the requisite funding
on a timely basis that it expected from Woodford, despite the Company making several requests to Woodford for said funding under the
Woodford Loan Agreement. Moreover, the Board of Directors determined that it was in the best interest of the Company and its stockholders
to enter into the UCIL Loan Agreement with UCIL, as an alternative lender to Woodford, upon receiving an event of default notice on July
21, 2023 (the “Default Notice”) and an event of default and crystallization notice on July 25, 2023 (the “Crystallization
Notice”) from Woodford under the Woodford Loan Agreement. Neither McGahan or Battles participated in the vote on the UCIL agreement
to ensure proper independence and correct corporate governance. On July 24, 2023, the Company responded to the Default Notice disputing
that an event of default had occurred given the Company’s earlier announcement that UCIL had agreed to enter into a funding arrangement
with the Company. On July 27, 2023, the Company replied to the Crystallization Notice denying that an event of default occurred or continued,
and further asserted that Woodford’s attempt for crystallization was inappropriate and unlawful under the Woodford Loan Agreement.
Given the uncertainty of the continued financing under the Woodford Loan Agreement, the Board of Directors sought to secure and formalize
the Company’s alternative funding by entering into the UCIL Loan Agreement.

Investors Placed by Univest Securities, LLC

As reported on
form 8-K filed with the SEC on February 6, 2024, on December 6, 2023, Univest Securities, LLC ( “Univest”), agreed to act
as placement agent in connection with the Company’s offering (“Offering”) of convertible debt at a Conversion Price
of 125% of the closing price on the day prior to the Issuance Date (date of funding) with warrant coverage at 50% up to $1,000,000; including
convertible promissory notes (each