Company: QSEA
Filing Date: 2025-02-24
Form Type: S-1
Source: 0001829126-25-001168
Chunk: 175

Company: Quartzsea Acquisition Corp
Filing Date: 2025-02-24
Form: S-1
Chunk 175
---
ata interest earned on the
funds held in the trust account and not previously released to us to pay our taxes (less up to $50,000 of interest to pay liquidation
and dissolution expenses). The proceeds deposited in the trust account could, however, become subject to claims of our creditors that
are in preference to the claims of public shareholders.

Our public shareholders shall be entitled to
receive funds from the trust account only in the event of our failure to complete our initial business combination in the required time
period, if we hold a shareholder vote to amend any provisions of our Memorandum and Articles of Association relating to shareholder’s
rights or pre-business combination activity (including the substance or timing within which we have to complete a business combination),
or if the shareholders seek to have us redeem their respective public shares upon a business combination which is actually completed
by us. In no other circumstances shall a shareholder have any right or interest of any kind to or in the trust account.

If we are forced to file a bankruptcy case
or an involuntary bankruptcy case is filed against us which is not dismissed, the proceeds held in the trust account could be subject
to applicable bankruptcy law, and may be included in our bankruptcy estate and subject to the claims of third parties with priority over
the claims of our shareholders. To the extent any bankruptcy claims deplete the trust account, the per public share redemption or conversion
amount received by public shareholders may be less than $10.05.

<div align='center'>109</div>

If, after we distribute the proceeds in the trust account to our public shareholders, we file a bankruptcy petition or an involuntary bankruptcy petition is filed against us that is not dismissed, any distributions received by shareholders could be viewed under applicable debtor-creditor and/or bankruptcy laws as either a “preferential transfer” or a “fraudulent conveyance.” As a result, a bankruptcy court could seek to recover all amounts received by our shareholders. In addition, our board of directors may be deemed as having breached its fiduciary duty to our creditors and/or having acted in bad faith, thereby exposing itself and us to claims of punitive damages, by paying public shareholders from the trust account prior to addressing the claims of creditors. Claims may be brought against us for these reasons.

Memorandum and Articles of Association

Our Memorandum and Articles of Association
to be adopted with effect from the effectiveness of this prospectus will contain certain requirements and restrictions relating to this
offering that will apply to us until the consummation of