Company: LRHC
Filing Date: 2025-08-18
Form Type: 10-Q
Source: 0001213900-25-078012
Chunk: 64

Company: La Rosa Holdings Corp.
Filing Date: 2025-08-18
Form: 10-Q
Item: Item 1
Chunk 64
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 purposes of the listing requirements of the Nasdaq Capital Market. Since the Company
did not avail itself of certain of the controlled company exemptions afforded by Nasdaq to controlled companies, such change in the Company’s
status did not result in any corporate governance changes for the Company. The Company regained a “controlled company” status
on July 7, 2025 because as a result of Reverse Stock Split, Mr. Joseph La Rosa became a holder of more than 50% of the voting power of
the Company.

The Facility

On August 4, 2025 (the “Agreement Date”),
the Company entered into the Equity Purchase Facility Agreement (“Facility Agreement”) with an institutional investor (the
“Facility Investor”), pursuant to which the Facility Investor committed to purchase, subject to certain conditions and limitations,
up to $150,000,000 (the “Commitment Amount”) in newly issued shares of the common stock of the Company (the “Facility”).
In connection with the Facility, on the Agreement Date the Company also entered into a Registration Rights Agreement (the “RRA”)
with the Facility Investor.

Pursuant to the terms of the Facility Agreement,
the issuance of shares of common stock in excess of 19.99% of the Company’s outstanding shares of common stock is conditional upon
obtaining the approval of the Company’s stockholders in accordance with the rules and regulations of the Nasdaq Capital Market.
On August 6, 2025, the stockholders, holding approximately 96.3% of the votes of our outstanding voting stock approved the Facility Agreement
and RRA, including, but not limited to the issuance of the shares of common stock in excess of 19.99% of the Company’s issued and
outstanding common stock at a price less than the minimum price required by the Nasdaq Capital Market, in compliance with the rules and
regulations of the Nasdaq Capital Market. On August 8, 2025, the Company filed a preliminary information statement on Schedule 14C with
the SEC notifying stockholders of such approval. The Company filed a definitive information statement on Schedule 14C with
the SEC and commenced mailing of the definitive information statement to stockholders of record on August 18, 2025. Such stockholders’
approval will become effective 20 calendar days after commencement of mailing, or September 7, 2025.

32

February 2025 Financing and June 2025 Exchange Agreement

On February