Company: QSEA
Filing Date: 2025-03-12
Form Type: S-1/A
Source: 0001829126-25-001750
Chunk: 249

Company: Quartzsea Acquisition Corp
Filing Date: 2025-03-12
Form: S-1/A
Chunk 249
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 open market. The underwriters have advised us
that, in accordance with Regulation M under the Securities Exchange Act of 1934, as amended, they may engage in short sale transactions,
purchases to cover short positions, which may include purchases pursuant to the over-allotment option, stabilizing transactions, syndicate
covering transactions or the imposition of penalty bids in connection with this offering. These activities may have the effect of stabilizing
or maintaining the market price of our units at a level above that which might otherwise prevail in the open market.

| ● | Short sales involve secondary market                                                                    
 sales by the underwriters of a greater number of units than it is required to purchase in the offering. |

| ● | “Covered” short sales                                                                                             
 are sales of units in an amount up to the number of units represented by the underwriters’ over-allotment option. |

| ● | “Naked” short sales are sales of units in an amount in                                
 excess of the number of units represented by the underwriters’ over-allotment option. |

| ● | Covering transactions involve purchases                                                                                           
 of units either pursuant to the over-allotment option or in the open market after the distribution has been completed in order to 
 cover short positions.                                                                                                            |

| ● | To close a naked short position, the                                                                                                 
 underwriters must purchase units in the open market after the distribution has been completed. A naked short position is more likely 
 to be created if the underwriters are concerned that there may be downward pressure on the price of the units in the open market     
 after pricing that could adversely affect investors who purchase in the offering.                                                    |

| ● | To close a covered short position,                                                                                                    
 the underwriters must purchase units in the open market after the distribution has been completed or must exercise the over-allotment 
 option. In determining the source of units to close the covered short position, the underwriters will consider, among other things,   
 the price of units available for purchase in the open market as compared to the price at which they may purchase units through the    
 over-allotment option.                                                                                                                |

| ● | Stabilizing transactions involve bids                                                
 to purchase units so long as the stabilizing bids do not exceed a specified maximum. |

Purchases to cover short positions and stabilizing
purchases, as well as other purchases by the underwriters for their own account, may have the effect of preventing or retarding a decline
in the market price of the units. They