Company: FLDDW
Filing Date: 2025-01-24
Form Type: 424B3
Source: 0001213900-25-006075
Chunk: 171

Company: Fold Holdings, Inc.
Filing Date: 2025-01-24
Form: 424B3
Chunk 171
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’s business, that it would be possible to uncover all material issues through a customary amount of due diligence or that factors outside of Fold’s business and outside of its control will not later arise. As a result of these factors, New Fold may be forced to later write -downor write -offassets, restructure its operations or incur impairment or other charges that could result in its reporting losses. Even if Emerald’s due diligence successfully identified certain risks, unexpected risks may arise and previously known risks may materialize in a manner not consistent with Emerald’s risk analysis. Even though these charges may be non -cashitems and would not have an immediate impact on New Fold’s liquidity, the fact that New Fold reports charges of this nature could contribute to negative market perceptions of New Fold or its securities. Accordingly, any stockholders who choose to remain stockholders following the Business Combination could suffer a reduction in the value of their shares. Such stockholders are unlikely to have a remedy for such reduction in value. Emerald and Fold will incur significant transaction and transition costs in connection with the Business Combination. Emerald and Fold have both incurred and expect to incur significant, non -recurringcosts in connection with consummating the Business Combination and operating as a public company following the consummation of the Business Combination. Emerald and Fold may also incur additional costs to retain key employees. All expenses incurred in connection with the Merger Agreement and the Business Combination, including all legal, accounting, consulting, investment banking and other fees, expenses and costs, will be for the account of the party incurring such fees, expenses and costs. 92 Future resales of New Fold’s securities may cause the market price of such securities to drop significantly, even if New Fold’s business is doing well. The sale of our securities in the public market, including by entities to which we have issued shares in connection with transactions, or the perception that such sales could occur, could harm the prevailing market price of our securities. These sales, or the possibility that these sales may occur, also might make it more difficult for us to sell equity securities in the future at a time and at a price that we deem appropriate. New Fold may issue additional shares or other equity securities without your approval, which would dilute your ownership interest and may depress the market price of New Fold’s Common Stock. Pursuant to the Incentive Award Plan and the ESPP, following the consummation of the Business Combination, New Fold may initially issue an aggregate of up to the number of shares equal to 12