Company: FSHPU
Filing Date: 2025-05-13
Form Type: 10-Q
Source: 0001829126-25-003624
Chunk: 35

Company: Flag Ship Acquisition Corp
Filing Date: 2025-05-13
Form: 10-Q
Item: Part I, Item 1
Chunk 35
---
 available for future drawdown requests even if prepaid.
The 2024 Note is subject to customary events of default, the occurrence of certain of which entitles the Sponsor to declare, by written
notice to us, the unpaid principal balance of the 2024 Note and all other sums payable with regard to the 2024 Note becoming immediately
due and payable.

We have incurred and expect to continue to incur
significant professional costs to remain as a publicly traded company and to incur significant transaction costs in pursuit of the consummation
of a business combination. In order to complete a Business Combination, we will need to raise additional capital through loans or additional
investments from our Sponsor, shareholders, officers, directors, or third parties. Our officers, directors and Sponsor may, but are not
obligated to, loan us funds, from time to time or at any time, in whatever amount they deem reasonable in their sole discretion, to meet
our working capital needs. Accordingly, we may not be able to obtain additional financing. If we are unable to raise additional capital,
we may be required to take additional measures to conserve liquidity, which could include, but not necessarily be limited to, curtailing
operations, suspending the pursuit of a potential transaction, and reducing overhead expenses. We cannot provide any assurance that new
financing will be available to us on commercially acceptable terms, if at all. These conditions raise substantial doubt about our ability
to continue as a going concern one year from the issuance date of the unaudited financial statements.

The unaudited financial statements do not include
any adjustments that might result from the outcome of this uncertainty. In connection with our assessment of going concern considerations
in accordance with FASB ASC Topic 205-40, “Presentation of Financial Statements—Going Concern,” management has determined
that mandatory liquidation, should a business combination not occur, and potential subsequent dissolution raises substantial doubt about
our ability to continue as a going concern for a reasonable period of time, which is considered to be one year from the issuance date
of the unaudited financial statements. Our management plans to address this uncertainty through the initial business combination as discussed
above. There is no assurance that our plans to consummate the initial business combination will be successful or successful by the deadline
of completing an initial business combination as described above. The unaudited financial statements do not include any adjustments that
might result from the outcome of this uncertainty.

23

Contractual Obligations

We do not have any