• -- Works for cnt <= 10
    -- Expand the inline tally for cnt > 10
    ;WITH Process AS (
     SELECT t2.*, t1.cnt,
      rn = ROW_NUMBER() OVER(PARTITION BY c2 ORDER BY c1)
     FROM (SELECT c1, c2, GroupSize = COUNT(*) OVER(PARTITION BY c2) FROM #t2) t2
     LEFT JOIN #t1 t1
      ON t1. =  t2.c2
     CROSS APPLY (
      SELECT TOP(CAST(ROUND(t1.cnt/(GroupSize*1.0), 0) AS INT)) n
      FROM (VALUES (0),(0),(0),(0),(0),(0),(0),(0),(0),(0)) d (n)
     ) x
    )
    SELECT c1, c2
    FROM Process
    WHERE cnt >= rn
    ORDER BY c1

    “Write the query the simplest way. If through testing it becomes clear that the performance is inadequate, consider alternative query forms.” - Gail Shaw

    For fast, accurate and documented assistance in answering your questions, please read this article.
    Understanding and using APPLY, (I) and (II) Paul White
    Hidden RBAR: Triangular Joins / The "Numbers" or "Tally" Table: What it is and how it replaces a loop Jeff Moden