Company: TACOW
Filing Date: 2025-03-21
Form Type: S-1
Source: 0001829126-25-001978
Chunk: 246

Company: Berto Acquisition Corp.
Filing Date: 2025-03-21
Form: S-1
Chunk 246
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 public warrants,
each public warrant holder will be entitled to exercise his, her or its warrant prior to the scheduled redemption date. However, the
price of the ordinary shares may fall below the $18.00 redemption trigger price (as adjusted for share splits, share capitalizations,
reorganizations, recapitalizations and the like and for certain issuances of ordinary shares and equity-linked securities for capital
raising purposes in connection with the closing of our initial business combination as described elsewhere in this prospectus) as well
as the warrant exercise price after the redemption notice is issued.

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Redemption procedures and cashless exercise

If we call the warrants for redemption
as described above under “— Redemption of public warrants for cash”, our management will have the option to
require any holder that wishes to exercise his, her or its warrant to do so on a “cashless basis.” In determining whether
to require all holders to exercise their warrants on a “cashless basis,” our management will consider, among other factors,
our cash position, the number of warrants that are outstanding and the dilutive effect on our shareholders of issuing the maximum number
of ordinary shares issuable upon the exercise of our warrants. If our management takes advantage of this option, all holders of warrants
would pay the exercise price by surrendering their warrants for that number of ordinary shares equal to the quotient obtained by dividing
(x) the product of the number of ordinary shares underlying the warrants, multiplied by the excess of the “fair market value”
of our ordinary shares (defined below) over the exercise price of the warrants by (y) the fair market value. The “fair market value”
will mean the average closing price of the ordinary shares for the 10 trading days ending on the third trading day prior to the date
on which the notice of redemption is sent to the holders of warrants. If our management takes advantage of this option, the notice of
redemption will contain the information necessary to calculate the number of ordinary shares to be received upon exercise of the warrants,
including the “fair market value” in such case. Requiring a cashless exercise in this manner will reduce the number of shares
to be issued and thereby lessen the dilutive effect of a warrant redemption. We believe this feature is an attractive option to us if
we do not need the cash from the exercise of the warrants after our initial business combination.

Maximum Percentage.A
holder of a warrant may notify us in writing in the event it elects to be