Company: NKLR
Filing Date: 2025-11-10
Form Type: S-1
Source: 0001213900-25-108246
Chunk: 56

Company: Terra Innovatum Global N.V.
Filing Date: 2025-11-10
Form: S-1
Chunk 56
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) we
should not be regarded as a tax resident of any jurisdiction other than Italy, either for purposes of the domestic tax laws of such jurisdiction
or for the purposes of any applicable tax treaty.

However, the determination of our tax residency
depends primarily upon our place of effective management, which is largely a question of fact, based on all relevant circumstances.

Therefore, no assurance can be given regarding the
final determination of our tax residency by tax authorities. In addition, changes to applicable laws and income tax treaties or interpretations
thereof and changes to applicable facts and circumstances (e.g., a change of board members or the place where board meetings take place),
may have a bearing on the determination of our tax residency and the consequent tax treatment.

If the competent tax authorities of a jurisdiction
other than Italy, including the Netherlands, take the position that we should be treated as (exclusively) tax resident of that jurisdiction
for purposes of an applicable tax treaty, we would be subject to corporation tax and all distributions made by us to our shareholders
would be subject to any applicable dividend withholding tax in such other jurisdiction(s) as well as in Italy.

To resolve any dual tax residency issue, we may
have access to a mutual agreement procedure and/or dispute resolution mechanisms under an applicable tax treaty and the dispute resolution
mechanism under the EU Arbitration Directive (if it is an EU jurisdiction), or we could submit our case for judicial review by the relevant
courts.

These procedures would require substantial time,
costs and efforts, and it is not certain that double taxation issues can be resolved in all circumstances.

Risks Relating to Terra Innovatum’s Capital Resources

In order to fulfill our business plan, we will require additional funding. To the extent we require such additional investor funding in the future, such funding may be dilutive to our investors and no assurances can be provided as to terms of any such funding. Any such funding and the associated terms will be highly dependent upon market conditions and the progress of our business at the time we seek such funding. The terms of any financing that we pursue may be less favorable than previously anticipated and could become even less favorable depending on the amount of funds we may require.

Our business is capital intensive. We expect that
significant additional capital will be needed in the future to continue our planned operations, including commercialization efforts, expanded
research and development activities and costs associated with operating a public company. To raise capital, we may enter into financing
arrangements that may be costly or