Company: TGE
Filing Date: 2025-04-25
Form Type: F-4/A
Source: 0001213900-25-035536
Chunk: 109

Company: Generation Essentials Group
Filing Date: 2025-04-25
Form: F-4/A
Chunk 109
---
 All holders considering exercising redemption rights should consult their tax advisors regarding the tax consequences to them of an exercise of redemption rights, including the applicability and effect of U.S. federal, state, local and non -U.S. tax laws. U.S. Federal Income Tax Consequences of the Merger Black Spade II and TGE intend to treat the merger as a taxable exchange of BSII Class A Ordinary Shares and BSII Warrants (collectively, the “BSII Securities”) for TGE Class A Ordinary Shares and TGE warrants (collectively, the “TGE Securities”), unless Black Spade II receives an opinion of counsel of recognized standing to the effect that it is more likely than not that the merger qualifies as a “reorganization” within the meaning of Section 368(a) of the Code (a “Reorganization,” and such opinion, a “Reorganization Tax Opinion”). As discussed in more detail below, there are significant factual and legal uncertainties as to whether the merger might qualify as a Reorganization, and there can be no assurance that it will so qualify. If the merger is a taxable exchange for U.S. federal income tax purposes, U.S. Holders (as defined in the section titled “ Tax Considerations — U.S. Federal Income Tax Considerations” below) will be required to recognize gain or loss for U.S. federal income tax purposes on the exchange of the BSII Securities for the TGE Securities pursuant to the merger. A U.S. Holder’s gain or loss will be equal to the difference between (i) the fair market value of the TGE Securities received in the merger and (ii) the U.S. Holder’s adjusted tax basis in the BSII Securities surrendered in the merger. If the merger were to qualify as a Reorganization, U.S. Holders that do not exercise their redemption rights generally would not recognize gain or loss for U.S. federal income tax purposes on the exchange of the BSII Securities for the TGE Securities pursuant to the merger. However, even if the merger does qualify as a Reorganization, U.S. Holders may be required to recognize gain (but not loss) by reason of the application of the PFIC rules, as described in more detail below under the section titled “ Tax Considerations — U.S. Federal Income Tax Considerations —Effects of the Business Combination — Consequences if the Business Combination is Treated as a Reorganization.” 53 Certain Material Cayman Islands Tax Consequences of the Merger The Cayman Islands currently has