Company: COPL-UN
Filing Date: 2025-06-13
Form Type: 10-Q
Source: 0001829126-25-004483
Chunk: 42

Company: Copley Acquisition Corp
Filing Date: 2025-06-13
Form: 10-Q
Item: Part I, Item 2
Chunk 42
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, the $251,803 balance due to
the Sponsor was transferred into the Promissory Note. On May 30, 2025, $105,194 of these borrowings were repaid using proceeds not
held in the Trust Account, resulting in a balance of $146,609, which was transferred into a Working Capital Loan on June 12,
2025. Following the repayment and transfer, the Promissory Note was settled in full, and no further borrowings are permitted
under its terms.

Due to Related Party

The Sponsor paid certain formation, operating or deferred offering costs on behalf of the Company. These amounts are due on demand and non-interest bearing. During the period from November 26, 2024 (inception) through March 31, 2025, the Sponsor paid $276,803 on behalf of the Company, of which $25,000 was paid in exchange for the issuance of Founder Shares. As of March 31, 2025, the amount due to the related party was $251,803. On May 2, 2025, the $251,803 balance due to the Sponsor was transferred into the Promissory Note.

Working Capital Loans

In addition, in order to finance transaction
costs in connection with a Business Combination, the Sponsor or an affiliate of the Sponsor or certain of the Company’s
directors and officers may, but are not obligated to, loan the Company funds as may be required (“Working Capital
Loans”). In addition, the Sponsor or an affiliate of the Sponsor or certain officers and directors may loan the Company funds
of up to $3,450,000 (assuming the underwriters exercise their over-allotment option, and no public shares have been redeemed at the
time of each extension) to cover the cost of extension options to allow additional time to complete an initial Business Combination
(“Extension Loans”). If the Company completes a Business Combination, the Company will repay the Working Capital Loans
and Extension Loans out of the proceeds of the Trust Account released to the Company. Otherwise, the Working Capital Loans and
Extension Loans would be repaid only out of funds held outside the Trust Account. In the event that a Business Combination does not
close, the Company may use a portion of proceeds held outside the Trust Account to repay the Working Capital Loans and Extension
Loans, but no proceeds held in the Trust Account would be used to repay the Working Capital Loans and Extension Loans. Up to
$3,450,