Company: NOEMW
Filing Date: 2025-05-13
Form Type: 10-Q
Source: 0001213900-25-042720
Chunk: 113

Company: CO2 Energy Transition Corp.
Filing Date: 2025-05-13
Form: 10-Q
Item: Part I, Item 2
Chunk 113
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, but not yet effective, accounting standards, if currently adopted, would have a material effect on our unaudited condensed
financial statements.

For more information on recently
issued accounting standards, see “Note 2— Summary of Significant Accounting Policies”, to the Notes to Condensed Financial
Statements included herein.

28

Commitments and Contractual Obligations

Registration Rights

The holders of founder shares,
private placement warrants and warrants that may be issued upon conversion of Working Capital Loans, if any (and any shares of common
stock issuable upon the exercise of the private placement warrants and Working Capital Note Units), are entitled to certain registration
rights pursuant to a registration rights agreement (discussed in greater detail above in NOTE 6. COMMITMENTS AND CONTINGENCIES, under
“Registration Rights” to the notes to financial statements. These holders will be entitled to certain demand and “piggy-back”
registration rights. We will bear the expenses incurred in connection with the filing of any such registration statements.

Underwriting Agreement

The underwriters were entitled
to a cash underwriting discount of 0.75% of the gross proceeds of the Initial Public Offering, or $517,500, which was paid upon the closing
of the Initial Public Offering. Additionally, the underwriters are entitled to a deferred underwriting discount of 3.00% of the gross
proceeds of the Initial Public Offering, or $2,070,000, payable upon the closing of an initial business combination from the amounts held
in the trust account, as well as 138,000 representative shares with the fair value of $77,268 issued to the underwriters in connection
with closing of the Initial Public Offering.

The deferred fee will become
payable to the underwriter from the amounts held in the trust account solely in the event that the Company completes an initial business
combination, subject to the terms of the underwriting agreement.

JOBS Act

The Jumpstart Our Business
Startups Act of 2012 (the “JOBS Act”) contains provisions that, among other things, relax certain reporting requirements for
qualifying public companies. We qualify as an “emerging growth company” and under the JOBS Act are allowed to comply
with new or revised accounting pronouncements based on the effective date for private (not publicly-traded) companies. We are electing
to delay the adoption of new or revised accounting standards, and as a result, we may not comply with new or revised accounting standards
on the relevant