Company: HVIIR
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001741
Chunk: 90

Company: Hennessy Capital Investment Corp. VII
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1A
Chunk 90
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 economic
conditions. Any change in the relative value of such currency against HVII’s reporting currency may affect the attractiveness of
any target business or, following consummation of its initial business combination, its financial condition and results of operations.
Additionally, if a currency appreciates in value against the dollar prior to the consummation of HVII’s initial business combination,
the cost of a target business as measured in dollars will increase, which may make it less likely that HVII is able to consummate such
transaction.

HVII
would be subject to a second level of U. S. federal income tax on a portion of HVII’s income if it is determined to be a personal
holding company (a “ PHC”) for U. S. federal income tax purposes.

A
U. S. corporation generally will be classified as a PHC for U. S. federal income tax purposes in a given taxable year if (i) at any time
during the last half of such taxable year, five or fewer individuals (without regard to their citizenship or residency and including
as individuals for this purpose certain entities such as certain tax-exempt organizations, pension funds and charitable trusts) own or
are deemed to own (pursuant to certain constructive ownership rules) more than 50% of the stock of the corporation by value and (ii)
at least 60% of the corporation’s adjusted ordinary gross income, as determined for U. S. federal income tax purposes, for such
taxable year consists of PHC income (which includes, among other things, dividends, interest, certain royalties, annuities and, under
certain circumstances, rents).

  51  

HVII’s
search for an initial business combination, and any target business with which HVII may ultimately consummate an initial business combination,
may be materially adversely affected by current global geopolitical conditions resulting from the ongoing Russia-Ukraine conflict and
the recent escalation of the Israel-Hamas conflict.

United
States and global markets are experiencing volatility and disruption following the geopolitical instability resulting from the ongoing
Russia-Ukraine conflict and the recent escalation of the Israel-Hamas conflict. In response to the ongoing Russia-Ukraine conflict, the
North Atlantic Treaty Organization (“ NATO”) deployed additional military forces to eastern Europe, and the United States,
the United Kingdom, the European Union and other countries have announced various sanctions and restrictive actions against Russia, Belarus
and related individuals and entities, including the removal of certain financial institutions from the Society for Worldwide Interbank
Financial