Company: CUB
Filing Date: 2025-05-13
Form Type: 10-Q
Source: 0001213900-25-042278
Chunk: 80

Company: Lionheart Holdings
Filing Date: 2025-05-13
Form: 10-Q
Item: Part I, Item 8
Chunk 80
---
, 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 March 31, 2025, we incurred an aggregate
of $225,000 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 remaining $175,000 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 materially differ from
those estimates. As of March 31, 2025, we did not have any critical accounting estimates to be disclosed.

Item 3. Quantitative
and Qualitative Disclosures About Market Risk.

 We are a smaller reporting
company as defined by Rule 12b-2 of the Exchange Act and are not required to provide the information otherwise