Company: MKDWW
Filing Date: 2025-01-23
Form Type: F-1
Source: 0001493152-25-003296
Chunk: 255

Company: MKDWELL Tech Inc.
Filing Date: 2025-01-23
Form: F-1
Chunk 255
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 the Original Aggregate Share Value, then the Company, the MKD Parties or their successor in interest shall compensate EFH either in cash or issuing additional Ordinary Shares at the New Share Price in an amount equal to the Difference in Amount on such date. If the Company, the MKD Parties, or their successor in interest decide to compensate EFH for the Difference in Amount in issuing additional Ordinary Shares, then the New Share Price of such additional Ordinary Shares shall equal an amount that is the lowest of the VWAP for a period of five (5) trading days immediately prior to the end of the twelve-month month period immediately following the closing of the Business Combination, subject to certain limitations as set forth in the Satisfaction and Discharge Agreement. But the parties hereto agree that the Company and the MKD Parties shall also be treated as having discharged all liability relating to the Difference in Amount by issuing an additional 200,000Ordinary Shares to EF Hutton (for a total of 315,000Ordinary Shares issued to EF Hutton). The Company will nevertheless proceed to register all or any of the Ordinary Shares EF Hutton has requested to be registered.

MKDWELL Tech Inc. has agreed to register the resale of the Ordinary Shares that may be issued to EFH pursuant to the Satisfaction & Discharge Agreement.

As result, the fair value of Deferred underwriting commission was substantially changed. According to ASC Topic 470, if it is determined that the original and new debt instruments are substantially different, and the new debt instrument shall be initially recorded at fair value, and that amount shall be used to determine the debt extinguishment gain or loss to be recognized and the effective rate of the new instrument. Therefore, the new deferred underwriting commission was initially recorded at fair value, amounting to $ 2,130,500which consisted the cash payment of $ 862,500and the fair value of 115,000ordinary shares as of June 30, 2024, and a loss from extinguishment of debt with amounting to $ 405,500was recognized in the six months ended June 30, 2024.

| (c) | Right            
 of First Refusal |

For a period beginning on the closing of the IPO and ending 24 months from the closing of a business combination, we have granted EF Hutton a right of first refusal to act as lead-left book running manager and lead left manager for any and all future private or public equity, convertible and debt offerings during such period. In accordance with FINRA Rule