Company: RHNO
Filing Date: 2025-05-15
Form Type: PRE 14C
Source: 0001641172-25-010450
Chunk: 5

Company: RHINO BITCOIN INC.
Filing Date: 2025-05-15
Form: PRE 14C
Chunk 5
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reasons, the number of outstanding shares of our Common Stock and very low trading price of our Common Stock have contributed to a lack
of investor interest in the Company and has made it difficult for the Company to attract new investors and conduct equity financings
on attractive terms or at all. Our Board believes that it is necessary and prudent for the Company to amend our Articles of Incorporation
to affect the reverse stock split because it would reduce the number of outstanding shares of our Common Stock to a level more consistent
with other public companies with a similar anticipated market capitalization. Additionally, a reverse stock split should have the effect
of raising the minimum bid price of our Common Stock on the OTCPINK market, which was $0.036 per share as of May 15, 2025.
The effect of the Reverse Stock Split, if any, upon the stock price for our Common Stock cannot be predicted, and the history of similar
stock split combinations for companies like us is varied. We cannot assure you that the stock price of our Common Stock after the Reverse
Stock Split will rise in proportion to the reduction in the number of shares of Common Stock outstanding as a result of the Reverse Stock
Split because, among other things, the stock price of our Common Stock may be based on our performance and other factors as well. In
addition, there is no assurance that we will be able to raise additional equity capital on attractive terms or at all.

The Board also believes that the current market price of our Common Stock has a negative effect on the marketability of the existing shares, and that the Reverse Stock Split may make the Common Stock more attractive to a broader range of investors, as the current market price of the Common Stock may affect its acceptability to certain institutional investors, professional investors, and other members of the investing public. Many institutional investors look on stocks that are trading at low prices as unduly speculative in nature and, as a result, avoid investing in such stocks. Additionally, a variety of policies and practices of brokerage firms discourage individual brokers within those firms from dealing in low-priced stocks in light of brokers’ commissions and time consuming procedures that make the handling of low-priced stocks unattractive to brokers from an economic standpoint. Many brokerage firms are also reluctant to recommend low-priced stock to their customers and the analysts at many brokerage firms do not monitor the trading activity or otherwise provide coverage for low-priced stocks. The Board believes the Reverse Stock Split may help to alleviate some of these problems, but there is no guarantee of increased