Company: SCAG
Filing Date: 2025-01-06
Form Type: 424B3
Source: 0001213900-25-001215
Chunk: 657

Company: Scage Future
Filing Date: 2025-01-06
Form: 424B3
Chunk 657
---
 their book value. Related Party Loans In March 2021, the Sponsor issued an unsecured Promissory Note to the Company, pursuant to which the Company was permitted to borrow an aggregate principal amount of $250,000. The Promissory Note was non -interestbearing, and the Promissory Note was fully repaid as of November 8, 2021, upon the closing of the IPO. In addition, in order to fund working capital deficiencies or finance transaction costs in connection with a Business Combination, the Sponsor or an affiliate of the Sponsor may, but is not obligated to, provide the Company with Working Capital Loans. Any such loans would be on an interest -freebasis. If the Company completes a Business Combination, the Company may repay the Working Capital Loans out of the proceeds of the Trust Account released to the Company. In the event that a Business Combination does not close, the Company may use a portion of proceeds held outside the Trust Account to repay the Working Capital Loans, but no proceeds held in the Trust Account would be used to repay the Working Capital Loans. At the lender’s discretion, up to $1,500,000 of such Working Capital Loans may be convertible into warrants of the post -BusinessCombination entity at a price of $1.00 per warrant. The warrants would be identical to the Private Placement Warrants. On May 8, 2023, in connection with the Sunorange Investment, the outstanding balance under the existing Promissory Note was forgiven. This was deemed to be a benefit to the Company under SAB Topic 5T. In order to recognize this benefit, the Company de -recognizedthe outstanding Promissory Note and reclassified it to additional paid -incapital, as an in -substancecapital contribution. As of December 31, 2023 and 2022, the Company had $0 and $449,765 of outstanding borrowings under the Working Capital Loan, respectively. F-96

FINNOVATE ACQUISITION CORP.
NOTES TO FINANCIAL STATEMENTS NOTE 5—RELATED PARTY TRANSACTIONS (cont.) On June 2, 2023, the Company issued the June 2023 Promissory Note in the aggregate principal amount of up to $1,200,000 to the Sponsor, which will be deposited into the Trust Account for the benefit of each Public Share that was not redeemed in connection with the Company’s May 8, 2023shareholder vote to approve the Extension. The