Company: FGMCU
Filing Date: 2025-01-21
Form Type: S-1/A
Source: 0001104659-25-004764
Chunk: 87

Company: FG Merger II Corp.
Filing Date: 2025-01-21
Form: S-1/A
Chunk 87
---
 by SPACs
in SEC filings in connection with proposed business combination transactions; (iv) amendments to the financial statement requirements
applicable to business combination transactions involving SPACs; and (v) both the SPAC and the target company’s status as
co-registrants on de-SPAC registration statements.

In addition, the SEC’s adopting release provided guidance describing
circumstances in which a SPAC could become subject to regulation under the Investment Company Act, including its duration, asset composition,
business purpose, and the activities of the SPAC and its management team in furtherance of such goals.

Compliance with the SPAC Rules and related guidance may increase the
costs of and the time needed to negotiate and complete an initial business combination and may constrain the circumstances under which
we could complete an initial business combination.

This evolution may result in continuing uncertainty regarding compliance
matters and additional costs necessitated by ongoing revisions to our disclosure and governance practices. A failure to comply with applicable
laws or regulations and any subsequent changes, as interpreted and applied, could have a material adverse effect on our business, including
our ability to negotiate and complete our initial business combination, and results of operations.

<div align='center'>44</div>

Our stockholders may be held liable for claims by third parties against us to the extent of distributions received by them upon redemption of their shares.

Under Nevada law, stockholders may be held liable for claims by third
parties against a corporation to the extent of distributions received by them in a dissolution.

The pro rata portion of our trust account distributed to our public
stockholders upon the redemption of our public shares in the event we do not complete our initial business combination within 24 months
from the closing of this offering (or such later date pursuant to an approved extension) may be considered a liquidating distribution
under Nevada law. We cannot assure you that we will properly assess all claims that may be potentially brought against us. As such, our
stockholders could potentially be liable for any claims to the extent of distributions received by them (but no more). Any action or
suit must be commenced within two years after the dissolution if the plaintiff knew or should have known the underlying facts on or before
the dissolution, or within three years after the date of dissolution in all other cases.

<div align='center'>45</div>

Furthermore, if the pro rata portion of our trust account distributed
to our public stockholders upon the redemption of our public shares in the event we