Company: FORL
Filing Date: 2025-04-30
Form Type: 10-K
Source: 0001213900-25-037576
Chunk: 280

Company: Four Leaf Acquisition Corp
Filing Date: 2025-04-30
Form: 10-K
Item: Item 1A
Chunk 280
---
 In the case that additional
shares of Class A common stock, or equity-linked securities convertible or exercisable for Class A common stock, are issued or deemed
issued in excess of the amounts offered in our Initial Public Offering and related to the closing of the initial business combination,
the ratio at which Founder Shares shall convert into Class A common stock will be adjusted so that the number of Class A common stock
issuable upon conversion of all Founder Shares will equal, in the aggregate, on an as-converted basis, approximately 20% of the total
number of all outstanding shares of common stock upon completion of the initial business combination, excluding the Private Placement
Warrants and underlying Class A common stock, the Representative Shares, any shares or equity-linked securities issued, or to be issued,
to any seller in the business combination and any private placement-equivalent warrants and their underlying Class A common stock issued
to our Sponsor or its affiliates upon conversion of loans made to us. This is different from most other similarly structured special purpose
acquisition companies in which the initial stockholder will only be issued an aggregate of 20% of the total number of shares to be outstanding
prior to the initial business combination. Additionally, the aforementioned adjustment will not take into account any shares of Class
A common stock redeemed in connection with the business combination. Accordingly, the holders of the Founder Shares could receive additional
shares of Class A common stock even if the additional shares of Class A common stock, or equity-linked securities convertible or exercisable
for Class A common stock, are issued or deemed issued solely to replace those shares that were redeemed in connection with the business
combination. The foregoing may make it more difficult and expensive for us to consummate an initial business combination.

Our warrants and Founder Shares may have an adverse effect on the
market price of our Class A common stock and make it more difficult to effectuate our initial business combination.

Our initial stockholders currently own an aggregate of 1,355,250 Founder
Shares. The Founder Shares are convertible into shares of Class A Common Stock on a one-for-one basis, subject to adjustment as set forth
herein. In addition, if our Sponsor or its affiliates, or any of our officers or directors, makes any Working Capital Loans, up to $2,000,000
of such loans may be converted into Private Placement-equivalent warrants at a price of $1.00 per warrant (which, for example, would result
in the holders being issued 2,000,000 warrants if $