Company: CUB
Filing Date: 2025-08-12
Form Type: 10-Q
Source: 0001213900-25-074966
Chunk: 87

Company: Lionheart Holdings
Filing Date: 2025-08-12
Form: 10-Q
Item: Part I, Item 8
Chunk 87
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 of the initial Business Combination subject to the terms of the Underwriting Agreement,. This Deferred
Discount will become payable to the underwriters of the Initial Public Offering solely in the event that we complete a Business Combination,
subject to the terms of the Underwriting Agreement. If we fail to consummate an initial Business Combination within the Combination Period,
such Deferred Discount will be included with the funds held in the Trust Account that will be available to fund the redemption of our
Public Shares upon the liquidation of the Trust Account.

21

Legal Engagement Letter

Lionheart Capital, an affiliate
of our Sponsor, has engaged Wasserstrom to represent Lionheart Capital and its affiliated companies, as corporate general counsel and
otherwise in connection with any corporate and/or transactional matters. The engagement letter between Lionheart Capital and Wasserstrom
is for an indefinite period only subject to termination rights of either party, of which no termination has occurred since the agreement
was executed. Jessica Wasserstrom, the principal of Wasserstrom, currently holds the title of Chief Legal Officer of Lionheart Capital
and its affiliated companies.

In connection therewith,
Wasserstrom was specifically engaged by us to provide counsel for general corporate legal matters. As of June 30, 2025, we incurred an
aggregate of $250,000 of legal fees from Wasserstrom, which were recorded within accrued offering costs in the financial statements included
in this Report under Item 1. “Financial Statements”. On June 25, 2024, we paid $50,000 and the remainder ($125,000 at December
31, 2024) is recorded within deferred legal fees since it is due at the time of the Business Combination.

Critical Accounting Estimates

The preparation of the unaudited
condensed financial statements and related disclosures included in this Report under Item 1. “Financial Statements” in conformity
with GAAP requires Management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure
of contingent assets and liabilities at the date of the financial statements, and income and expenses during the periods reported. Making
estimates requires Management to exercise significant judgement. It is at least reasonably possible that the estimate of the effect of
a condition, situation or set of circumstances that existed at the date of the unaudited condensed financial statements included in this
Report under Item 1. “Financial Statements”, which Management consider in formulating its estimated, could change in the
near term due to one or more future confirming events. Accordingly, the actual results could