Company: MLAC
Filing Date: 2025-03-19
Form Type: 10-K
Source: 0001213900-25-025105
Chunk: 157

Company: Mountain Lake Acquisition Corp.
Filing Date: 2025-03-19
Form: 10-K
Item: Item 1
Chunk 157
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our sponsor, officers and directors and any other holder of our founder shares will lose their entire investment in us if our initial
business combination is not completed (other than with respect to any public shares they may acquire), and because our sponsor, officers
and directors and any other holder of our founder shares directly or indirectly may profit substantially from a business combination
as a result of their ownership of founder shares even under circumstances where our public shareholders would experience losses in connection
with their investment, a conflict of interest may arise in determining whether a particular business combination target is appropriate
for our initial business combination, including in connection with the shareholder vote in respect thereto.

As
of the date of this Annual Report, our sponsor owns 7,546,875 founder shares and 495,000 private units. If we do not complete our initial
business combination within 18 months from the closing of the initial public offering, unless the time to complete our initial business
combination is extended in accordance with our memorandum and articles of incorporation, the private units will expire worthless. Given
the differential in the purchase price paid for the founder shares as compared to the initial public offering price of the public shares
and the substantial number of Class A Ordinary Shares that holders of our founder shares would receive upon conversion of the founder
shares upon a business combination, the founder shares may have significant value after the business combination even if our Class A
Ordinary Shares trade below the initial public offering price and holders of our public shares have a substantial loss on their investment.

The
personal and financial interests of our sponsor, directors and officers and any holders of our founder shares or our private units may
influence their motivation in identifying and selecting a target business combination, completing an initial business combination and
influencing the operation of the business following the initial business combination and may result in a misalignment of interests between
the holders of our founder shares and our officers and directors, on the one hand, and our public shareholders, on the other. These risks
may become more acute as the deadline to complete our initial business combination nears. In particular, because the founder shares were
purchased at a purchase price of approximately $0.006 per share, the holders of our founder shares (including certain of our directors
and officers that directly or indirectly own founder shares) could make a substantial profit after our initial business combination even
if our public shareholders lose money on their investment as a result of a decrease in the post-combination value of their Class