Company: FGMCU
Filing Date: 2025-12-30
Form Type: S-4/A
Source: 0001104659-25-124947
Chunk: 344

Company: FG Merger II Corp.
Filing Date: 2025-12-30
Form: S-4/A
Chunk 344
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 ● | BOXABL is the larger entity, in terms of substantive assets. |

Another determining factor was that FGMC does not meet the definition of a “business” pursuant to ASC 805-10-55, Business Combinations (“ ASC 805”), and thus, for accounting purposes, the Business Combination will be accounted for as a reverse recapitalization, within the scope of ASC 805. The net assets of FGMC will be stated at historical cost, with no goodwill or other intangible assets recorded. Any excess of the fair value of shares issued to FGMC over the fair value of FGMC’s identifiable net assets acquired represents compensation for the service of a stock exchange listing for its shares and is expensed as incurred. Note 4 — Adjustments to Unaudited Pro Forma Condensed Combined Balance Sheet as of September 30, 2025

| A. | Reflects the liquidation and reclassification of $81,850,181 funds held in the Trust Account to cash that becomes available following the Business Combination. |

| B. | Represents preliminary estimated transaction costs expected to be incurred by FGMC and BOXABL of approximately $14,435,350 which represents underwriter fee, legal, accounting, printing, director and officer’s insurance and other transaction related fees incurred as part of the Business Combination. |

| ● | Total estimated transaction cost for FGMC is approximately $5,100,000, of which approximately $394,000 is allocated as prepaid director and officer insurance premium. The remaining $4,706,000 is included as an adjustment to additional paid-in capital |

| ● | Total estimated transaction cost for BOXABL is approximately $9,400,000, of which $2,300,000 is allocated as prepaid director and officer insurance premium. The remaining approximately $7,100,000 is included as an adjustment to additional paid-in capital |

| C. | Represents the reclassification of FGMC’s Common Stock subject to possible redemptions to permanent equity under Scenario 1 — No Redemption. In Scenario 2 — 50% Redemption, it reflects 50% redemption of 4,000,000 FGMC shares for approximate aggregate redemption payment of 40,925,090. In scenario 3 — Maximum Redemption it reflects the maximum Redemption of 8,000,000 FGMC shares for aggregate redemption payments of $81,850,181, net of tax liability at a Redemption price of approximately $10.23 per share. This scenario presents additional adjustments to reflect the effect of