Company: CDAQF
Filing Date: 2025-05-14
Form Type: 10-Q
Source: 0001641172-25-010268
Chunk: 49

Company: Compass Digital Acquisition Corp.
Filing Date: 2025-05-14
Form: 10-Q
Item: Part I, Item 1
Chunk 49
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Legacy Sponsor at the original purchase price of $0.004 per share. Following the approval of the Founder Share Amendment Proposal by
our shareholders at the 2023 EGM, the Founder Shares may be converted into Class A Ordinary Shares at any time at the election of a holder
of Founder Shares or at the time of our initial Business Combination, on a one-for-one basis, subject to adjustment as provided in the
Amended and Restated Charter.

Following
the closing of our Initial Public Offering on October 19, 2021, an amount of $200,000,000 ($10.00 per Unit) from the net proceeds of
the sale of the Units in our Initial Public Offering and the Private Placement was placed in the Trust Account located in the United
States and were initially invested only in (i) U.S. government treasury obligations with a maturity of 185 days or less or (ii) money
market funds meeting certain conditions under Rule 2a-7 under the Investment Company Act, which invest only in direct U.S. government
treasury obligations, as determined by us. On October 19, 2023, we instructed Continental to liquidate the investments held in the Trust
Account and instead to hold the funds in the Trust Account in an interest-bearing demand deposit account at Citibank, N.A., with Continental
continuing to act as trustee, until the earlier of the consummation of the initial Business Combination or our liquidation. As a result,
following the liquidation of investments in the Trust Account, the remaining proceeds from the Initial Public Offering and Private Placement
are no longer invested in U.S. government securities or money market funds invested in U.S. government securities.

The
underwriters of the Initial Public Offering notified us of their intention to partially exercise the Over-Allotment Option on November
30, 2021. As such, on November 30, 2021, we consummated the sale of an additional (i) 1,240,488 Over-Allotment Units, at $10.00 per Over-Allotment
Unit, and (ii) 165,398 Private Placement Warrants, at $1.50 per Private Placement Warrant, generating total gross proceeds of $12,404,880
and $248,097, respectively. The underwriters forfeited the balance of the Over-Allotment Option. A total of $12,404,880 of the net proceeds
was deposited into