Company: GCL
Filing Date: 2025-03-17
Form Type: DRS
Source: 0001213900-25-024502
Chunk: 378

Company: GCL Global Holdings Ltd
Filing Date: 2025-03-17
Form: DRS
Chunk 378
---
 $11.23 per share. On
September 25, 2024, a total of $13,136,586 in redemption payments were made in connection with this redemption. Following the redemption,
the Company recorded $131,365 of excise tax expense and excise tax payable related to the redemption. As of December 31, 2024 and December
31, 2023, the total excise tax payable was $1,038,102 and $906,736, respectively.

Class A Common Stock Subject to Possible Redemption

The Company accounts for its
Class A common stock subject to possible redemption in accordance with the guidance in FASB ASC Topic 480 “Distinguishing Liabilities
from Equity.” Class A common stock subject to mandatory redemption (if any) are classified as liability instruments and are measured
at fair value. Conditionally redeemable Class A common stock (including Class A common stock that feature redemption rights that are either
within the control of the holder or subject to redemption upon the occurrence of uncertain events not solely within the Company’s
control) are classified as temporary equity. At all other times, Class A common stock are classified as stockholders’ equity. The
Company’s Class A common stock feature certain redemption rights that are considered to be outside of the Company’s control
and subject to the occurrence of uncertain future events. Accordingly, the Class A common stock is subject to possible redemption and
is presented as temporary equity, outside of the stockholders’ equity section of the Company’s balance sheet.

The Company recognizes changes
in redemption value immediately as they occur and adjusts the carrying value of redeemable common stock to equal the redemption value
at the end of each reporting period. Increases or decreases in the carrying amount of redeemable common stock are affected by charges
against additional paid in capital (to the extent available) and accumulated deficit.

<div align='center'>F-109</div>

At December 31, 2024,
the Class A common stock subject to possible redemption reflected in the balance sheet is reconciled in the following table:

| Class A common stock subject to possible redemption at December 31, 2022 |     | $ | 117,146,232 |   |
| Less:                                                                    |     |   |             |   |
| Stockholder redemption of 7,391,973 shares at redemption value           |     |   | (76,054,240 | ) |
| Stockholder redemption of 1,363,378 shares at redemption value