Company: SAC-UN
Filing Date: 2025-08-22
Form Type: DRS
Source: 0002077096-25-000043
Chunk: 147

Company: Safeguard Acquisition Corp.
Filing Date: 2025-08-22
Form: DRS
Chunk 147
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 of all principal and accrued interest, if any, if the debt security is payable on demand; •post -businesscombination company’s inability to obtain necessary additional financing if the debt security contains covenants restricting its ability to obtain such financing while the debt security is outstanding; •using a substantial portion of the post -businesscombination company’s cash flow to pay principal and interest on its debt, which will reduce the funds available for expenses, capital expenditures, acquisitions and other general corporate purposes; •limitations on the post -businesscombination company’s flexibility in planning for and reacting to changes in its business and in the industry in which it operates; •increased vulnerability to adverse changes in general economic, industry and competitive conditions and adverse changes in government regulation; and •limitations on the post -businesscombination company’s ability to borrow additional amounts for expenses, capital expenditures, acquisitions, debt service requirements, execution of its strategy and other purposes and other disadvantages compared to its competitors who have less debt. As indicated in the accompanying financial statements, as of July 23, 2025, we had no cash and a working capital deficit of $15,509. Further, we expect to incur significant costs in the pursuit of our initial business combination. We cannot assure you that our plans to raise capital or to complete our initial business combination will be successful. 97 Results of Operations and Known Trends or Future Events We have neither engaged in any operations nor generated any revenues to date. Our only activities since inception have been organizational activities and those necessary to prepare for this offering. Following this offering, we will not generate any operating revenues until after completion of our initial business combination. We will generate non -operatingincome in the form of interest income on cash and cash equivalents after this offering. There has been no significant change in our financial or trading position and no material adverse change has occurred since the date of our audited financial statements. After this offering, we expect to incur increased expenses as a result of being a public company (for legal, financial reporting, accounting and auditing compliance), as well as for due diligence expenses. We expect our expenses to increase substantially after the closing of this offering. Liquidity and Capital Resources Our liquidity needs have been satisfied prior to the completion of this offering through a payment of $25,000 to cover certain of our expenses in exchange for the issuance of the founder shares and a commitment from our sponsor to loan up to $500,000 to us to cover our expenses in connection with this offering. We estimate that the net proceeds from (i) the