Company: RAIN
Filing Date: 2025-04-18
Form Type: POS AM
Source: 0001213900-25-033116
Chunk: 84

Company: Rain Enhancement Technologies Holdco, Inc.
Filing Date: 2025-04-18
Form: POS AM
Chunk 84
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 Warrants for cash, but not from the net share exercise of any Warrants or from the resale of any shares of Class A Common Stock by the selling shareholders pursuant to this prospectus. Each Warrant entitles the holder thereof to purchase one share of Class A Common Stock at an initial exercise price of $11.50 per share. If each outstanding Warrant is exercised for cash, we will receive aggregate cash proceeds of $57.5 million. The Warrants are exercisable on a cashless basis under certain circumstances specified in the Warrant Agreement. To the extent that any Warrants are exercised on a cashless basis, the aggregate amount of cash we would receive from the exercise of the Warrants will decrease. We believe the likelihood that the holders will exercise their Warrants is dependent upon the trading price of our Class A Common Stock. If the trading price of our Class A Common Stock is less than the exercise price of the Warrants, we believe the holders are unlikely to exercise their Warrants. Conversely, the holders are more likely to exercise their Warrants the higher the prices of our Class A Common Stock is above the exercise price of the Warrant. On April 14, 2025, the closing price of our Class A Common Stock was $2.68. Accordingly, we believe the holders are unlikely to exercise their Warrants. We intend to use the proceeds from the cash exercise of Warrants for general corporate and working capital purposes. 41 DETERMINATION OF OFFERING PRICE Our Class A Common Stock and Warrants are listed on Nasdaq under the symbols “RAIN” and “RAINW,” respectively. The actual offering price of the shares of Class A Common Stock offered by selling shareholders pursuant to this prospectus will be determined by prevailing market prices at the time of sale, by negotiated private transactions, or as otherwise described in the section entitled “ Plan of Distribution.” The exercise price of the Warrants is $11.50 per share and the exercise price of the Options is $2.06 per share. MARKET PRICE OF AND DIVIDENDS ON CLASS A COMMON STOCK Market Information Shares of our Class A Common Stock and Warrants began trading on Nasdaq under the symbols “RAIN” and “RAINW”, respectively, on January 2, 2025. Shares of our Class B Common Stock do not trade on any market. As of April 17, 2025, there were approximately 32 record holders of Class A Common Stock, 3 record holders of Class B Common Stock and