Company: FLDDW
Filing Date: 2025-01-24
Form Type: 424B3
Source: 0001213900-25-006075
Chunk: 55

Company: Fold Holdings, Inc.
Filing Date: 2025-01-24
Form: 424B3
Chunk 55
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 for the New Fold Investor Warrants, which shall have the same terms as the December 2024 Investor Warrants. Fold Simple Agreements for Future Equity (“SAFEs”) At the Effective Time, outstanding Fold SAFEs will be converted into Fold Common Stock based on the valuation caps or discount rates stated within the terms of the individual SAFE agreements. Consideration to be Received in the Business Combination At the Closing, holders of Fold Common Stock (including holders of Fold Preferred Stock and Fold SAFEs, which will convert or be deemed to convert into Fold Common Stock immediately prior to the Closing) shall receive merger consideration in shares of Emerald Class A Common Stock equal to the quotient obtained by (a) the Aggregate Merger Consideration, dividedby (b) the number of shares of Fold Fully Diluted Capital Stock (the “Exchange Ratio”). In the event the 60 -volumeweighted average price of Bitcoin as of the day immediately prior to the Closing is greater than $90,000, the Aggregate Merger Consideration to be paid to holders of Fold Common Stock will be increased by 20% of the increase in value of the amount of Bitcoin in Fold’s treasury as of July 24, 2024, up to a maximum increase of $54.75 million. 25 Representations and Warranties The Merger Agreement contains representations and warranties of the parties thereto that are customary for a transaction of this size and nature. The representations and warranties are, in many respects, qualified by materiality and knowledge, and will not survive the Business Combination, but their accuracy forms the basis of some of the conditions to the obligations of Emerald, Merger Sub and Fold to complete the Business Combination. Fold has made representations and warranties relating to, among other things, Fold’s organization, good standing and qualification, Fold’s capital structure, corporate authority, approval and fairness, governmental filings, the absence of violations, financial statements and internal controls, the absence of certain changes, the absence of undisclosed liabilities, litigation, compliance with laws, permits, employee benefits, labor matters, environmental matters, tax matters, real and personal property, intellectual property, IT assets, data privacy, insurance, Fold’s material contracts, brokers and finders, this Registration Statement, transactions with related parties, no ownership of Emerald Common Stock, the Investment Company Act, and the absence of outside reliance. Emerald and Merger Sub have made representations and warranties relating to, among other things, organization, good standing and qualification, Emerald’s capital structure, corporate authority and approval, governmental