Company: CSLMF
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076682
Chunk: 144

Company: CSLM ACQUISITION CORP.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 2
Chunk 144
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 in the merger. In addition the Merger Agreement Amendment includes a provision that increases the amount
the Company may borrow from the Sponsor from $2,000,000 to $2,750,000.

On February 4, 2025, the Company issued a third amended and restated
promissory note (the “3rd A&R WC Promissory Note”) pursuant to which the Company may borrow up to an aggregate principal
amount of $3,000,000. The 3rd A&R Promissory Note additionally includes a conversion feature whereby, notwithstanding the foregoing
in the event of the Business Combination, the outstanding balance may be repaid at the Sponsor’s discretion, in cash or $1,491,000
of the principal and accrued and unpaid interest shall be converted into the Company’s Class A ordinary shares at a share price
of four dollars ($4.00), the balance of which shall be payable in cash at the closing of the Business Combination.

On February 4, 2025, Fusemachines, the Company, and CSLM Merger
Sub, Inc. entered into the second amendment to the Merger Agreement (the “2nd Amendment”) which amends the Merger
Agreement dated January 22, 2024 and the Merger Agreement Amendment dated August 27, 2024 (together, the “Original Merger
Agreement”). The 2nd Amendment (a) amends the definition of the “PIPE Investment Amount” to mean the sum of (i)
$8,840,000, and (ii) the Contingent PIPE Investment Amount, if any; and (b) removes the delay fees incurred in connection with
delivery of Fusemachines’ financial statements.

In connection with the 2nd Amendment, an affiliate (the
“Sponsor Affiliate”) of the Sponsor, provided financing to Fusemachines in the amount of $2,160,000, in exchange for a
new convertible note which note shall convert into shares of common stock of Fusemachines at a price of $0.44 per share (a)
automatically at the time of the Business Combination, or (b) on July 12, 2025 at the option of the holder, if not, then payable in
cash (the “Escrow Note”). The funds from the Escrow Note shall be put in an escrow account held at Continental Stock
Transfer and Trust Company, CSLM’s transfer agent (“CST”) pursuant to