Company: RAIN
Filing Date: 2025-04-16
Form Type: 10-K
Source: 0001213900-25-032239
Chunk: 35

Company: Rain Enhancement Technologies Holdco, Inc.
Filing Date: 2025-04-16
Form: 10-K
Item: Item 1
Chunk 35
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 RWT’s ability to grow its business and negatively affect its results of operations.

RWT’s results of operations may vary based on the impact of changes
in its industry or the global economy on RWT or its potential clients. Negative conditions in the general economy both in the United States
and abroad, including conditions resulting from changes in gross domestic product growth, financial and credit market fluctuations, international
trade relations, pandemics (such as the COVID-19 pandemic), political turmoil, natural catastrophes, warfare, and terrorist attacks on
the United States or elsewhere, could cause a decrease in business investments, including the progress on development of rainfall generation
technologies, and negatively affect the growth of RWT’s business. In addition, in challenging economic times, potential future clients
may experience cash flow problems and as a result may modify, delay or cancel plans to purchase RWT’s products and services. Additionally,
if RWT’s clients are not successful in generating sufficient revenue or are unable to secure financing, they may not be able to
pay, or may delay payment of, accounts receivable due to RWT. Moreover, RWT’s key suppliers may reduce their output or become insolvent,
thereby adversely impacting RWT’s ability to manufacture its products. Furthermore, uncertain economic conditions may make it more
difficult for RWT to raise funds through borrowings or private or public sales of debt or equity securities. RWT cannot predict the timing,
strength or duration of any economic slowdown, instability or recovery, generally or within any particular industry.

21

Holdco may invest in or acquire other businesses in the future,
which may or may not be complementary to the RWT business. Investing in or acquiring other businesses will require the devotion of a significant
amount of time and resources, may not be successful, and could negatively impact Holdco’s results of operations, financial condition
and liquidity.

Following the Closing, each of RWT (as the surviving
entity of the Company Merger) and Merger Sub 1 (as the surviving company of the SPAC Merger) are wholly-owned subsidiaries of Holdco.
We intend for the business of developing, improving, and commercializing ionization rainfall generation technology to continue to be conducted
by RWT as a subsidiary of Holdco.

Under the Holdco A&R Articles, Holdco may engage in any and all
lawful business for which a business corporation may engage in under the MBCA. In the future, Holdco, directly or indirectly, may acquire