Company: COPL-UN
Filing Date: 2025-06-13
Form Type: 10-Q
Source: 0001829126-25-004483
Chunk: 33

Company: Copley Acquisition Corp
Filing Date: 2025-06-13
Form: 10-Q
Item: Part I, Item 1
Chunk 33
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 Working Capital Loans and Extension Loans. Up to
$3,450,000 of such Working Capital Loans and Extension Loans may be convertible into private placement-equivalent Units at a price
of $7.00 per Unit at the option of the lender. Such Units would be identical to the Private Placement Units. Except for the
foregoing, the terms of such Working Capital Loans and Extension Loans by our Sponsor or its affiliates, or our officers and
directors, if any, have not been determined and no written agreements exist with respect to such loans (except as disclosed below). As of March 31, 2025,
no Working Capital Loans or Extension Loans were outstanding.

On June 12, 2025, the Company entered into a Working
Capital Loan with the Sponsor, pursuant to which the Company may borrow up to $450,000. The Working Capital Loan is non-interest bearing
and matures on the earlier of (i) the date on which the Business Combination is consummated and (ii) the Company’s liquidation and
is subject to conversion into Units (as disclosed above). On June 12, 2025, the $146,609 balance on the Promissory Note was transferred
into the Working Capital Loan.

Other Contractual Obligations

Registration Rights

Pursuant to a registration rights agreement dated on the effectiveness of the Registration Statement on April 30, 2025, the holders of the Founder Shares, Private Placement Units (including securities contained therein), and units (including securities contained therein) that may be issued on conversion of working capital loans or extension loans are entitled to registration rights pursuant to a registration rights agreement, signed on the effective date of the IPO, requiring the Company to register such securities for resale. The holders of these securities are entitled to make up to three demands, excluding short form demands, that the Company’s register such securities. In addition, the holders have certain “piggy-back” registration rights with respect to registration statements filed subsequent to the Company completion of initial business combination and rights to require the Company to register for resale such securities pursuant to Rule 415 under the Securities Act. The Company will bear the expenses incurred in connection with the filing of any such registration statements.

Underwriting Agreement

The Company granted the underwriters a 45-day option to purchase up to 2,250,000 additional Units to cover over-allotments at the IPO price, less the underwriting discounts and commissions.

21

The underwriters were entitled to a cash underwriting discount