Company: PRMB
Filing Date: 2025-02-07
Form Type: S-1/A
Source: 0001193125-25-022806
Chunk: 61

Company: Primo Brands Corp
Filing Date: 2025-02-07
Form: S-1/A
Chunk 61
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 judicial forum that
they find favorable for disputes with the Company or our directors, officers, associates, or Stockholders, which may discourage such lawsuits against the Company and our directors, officers, associates, and Stockholders even though an action, if
successful, might benefit our Stockholders. Alternatively, if a court were to find the Delaware Forum Provision or the Federal Forum Provision contained in our bylaws to be inapplicable or unenforceable in an action, we may incur additional costs
associated with resolving such action in other jurisdictions, which could materially and adversely affect our business, financial condition, and results of operations.

Our ability to use certain tax attributes may be subject to limitations.

As of September 30, 2024, BlueTriton had no U.S. federal net operating loss carryforwards and state and Canadian net operating loss
carryforwards of approximately $11.9 million and $19.5 million, respectively, and disallowed interest expense carryforwards under Section 163(j) of the Internal Revenue Code of 1986, as amended (the “Code”), of approximately
$369.1 million. As of November 8, 2024, we estimate Primo Water and its subsidiaries had approximately $60.5 million of U.S. federal net operating loss carryforwards, $247.5 million of Canadian net operating loss carryforwards and
disallowed interest expense carryforwards under Section 163(j) of the Code of approximately $33.5 million.

Our ability to
utilize any U.S. federal net operating carryforwards and disallowed interest expense carryforwards (the “Tax Attributes”) may become limited under Section 382 of the Code. The limitation applies if we experience an “ownership
change,” which is generally defined as a greater than 50 percentage point change (by value) in the ownership of our equity by certain stockholders over a rolling three-year period. The amount of the annual limitation is generally equal to the
product of the applicable long-term tax exempt-rate (as published by the IRS for the month in which the “ownership change” occurred) and the value of our outstanding stock immediately prior to the “ownership change.” If we have a
net unrealized built-in gain in our assets immediately prior to the “ownership change,” the annual limitation may be increased in certain situations. Similar provisions of state tax law may also
apply to limit the use of our state net operating loss carryforwards.

All of the U.S. federal