Company: QSEA
Filing Date: 2025-02-24
Form Type: S-1
Source: 0001829126-25-001168
Chunk: 157

Company: Quartzsea Acquisition Corp
Filing Date: 2025-02-24
Form: S-1
Chunk 157
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 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-operating income 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 consummation of this offering.

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Liquidity, Capital Resources and Going Concern

As indicated in the accompanying financial statements, as of November 30, 2024, we had $311,000 in cash and a working capital deficit of $175,166. Further, we have incurred and expect to continue to incur significant costs in pursuit of our financing and acquisition plans. Management plans to address this uncertainty through this offering, although we cannot assure you that our plans to raise capital or to consummate an initial business combination will be successful. These factors, among others, raise substantial doubt about our ability to continue as a going concern.

Our liquidity needs have been satisfied to
date through receipt of approximately $25,000 from the sale of the founder shares and a $500,000 loan from our Sponsor evidenced by a
promissory note dated November 5, 2024. The principal balance of this promissory note shall be payable the date we consummate this
offering. We estimate that the net proceeds from (1) the sale of the shares in this offering, after deducting estimated offering expenses
of approximately $680,000 and underwriting discounts payable in cash of $450,000 (or $517,500 if the over-allotment option is exercised
in full) and (2) the sale of the private units for a purchase price of $2,450,000 (or $2,562,500 if the over-allotment option is exercised
in full) will be $61,320,000 (or $70,365,000 if the over-allotment option is exercised in full) (including the deferred underwriting
discounts and commissions). Of this amount, an aggregate of $60,300,000 (or $69,345,000 if the over-allotment option