Company: TLGYF
Filing Date: 2025-09-29
Form Type: S-4
Source: 0001213900-25-092592
Chunk: 321

Company: TLGY ACQUISITION CORP
Filing Date: 2025-09-29
Form: S-4
Chunk 321
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 with respect to such U.S. Holder. Subject to the PFIC rules discussed below under “— Passive Foreign Investment Company Rules”, the amount of cash that is paid to such U.S. Holder in the Redemption with respect to such U.S. Holder’s redeemed Public Shares out of TLGY’s current or accumulated earnings and profits (as determined for U.S. federal income tax purposes) generally will be includible in such U.S. Holder’s taxable income as dividend income, and generally will not be eligible for the dividends -receiveddeduction allowed to corporations under the Code. The amount of such cash received by such U.S. Holder in the Redemption in excess of the amount so treated as dividends generally will be applied against and reduce such U.S. Holder’s tax basis in such U.S. Holder’s TLGY Ordinary Shares (but not below zero) and, to the extent in excess of such tax basis, will be treated as gain from the sale or exchange of the applicable TLGY Ordinary Shares (see “— Tax Consequences if the Redemption Is Treated as a Sale with Respect to the Redeemed U.S. Holder” above). Because TLGY does not expect to maintain calculations of TLGY’s earnings and profits in accordance with U.S. federal income tax principles, U.S. Holders should expect that amounts treated as distributions generally will be treated as dividends for U.S. federal income tax purposes. With respect to a U.S. Holder that is an individual, because TLGY is no longer listed on Nasdaq and because there is a substantial likelihood that TLGY is and has been a PFIC (as further discussed below), no assurance can be given that dividends from TLGY received in connection with the Redemption will qualify as “qualified dividend income” eligible for being taxed at the lower rate applicable to long -termcapital gains, and such dividends may be taxed as ordinary income. U.S. Holders should consult their own tax advisors regarding the availability of the lower rate for any dividends deemed paid in connection with the Redemption. Passive Foreign Investment Company Rules A foreign (i.e., non -U.S.) corporation generally will be classified as a “passive foreign investment company” (“ PFIC”) for U.S. federal income tax purposes with respect to a taxable year of the foreign corporation if: (i) 75% or more of its gross income in a taxable year consists of passive income; or (ii) at least 50% of its assets in a taxable year, ordinarily determined based on fair market value (but which may be