Company: CDAQF
Filing Date: 2025-03-25
Form Type: DEF 14A
Source: 0001641172-25-000430
Chunk: 64

Company: Compass Digital Acquisition Corp.
Filing Date: 2025-03-25
Form: DEF 14A
Chunk 64
---
 Amendment Proposal and recommends that you vote “FOR” such proposal.

If the Third Extension Amendment Proposal is Approved

Upon approval of the Third Extension Amendment Proposal by the affirmative vote of a majority of at least two-thirds (2/3) of the votes cast by the holders of Ordinary Shares, voting as a single class, who, being entitled to do so, vote in person (including shareholders who vote online) or by proxy at the Meeting, or any adjournment thereof, (i) the Third Extension Amendment will be effective and (ii) we will file the Third Extension Amendment, as provided in the resolutions set forth in Annex Ahereto, with the Cayman Islands Registrar of Companies. We will remain a reporting company under the Exchange Act and our Units, Public Shares and Public Warrants will remain publicly traded. We will then continue to work to consummate the EEW Business Combination by the Third Extended Date.

| 30 |

If the Charter Amendment Proposals are approved, and one or more of our shareholders elect to redeem their Public Shares pursuant to the Third Extension Redemptions, we will remove from the Trust Account and deliver to the holders of such redeemed Public Shares the Withdrawal Amount, and retain the remainder of the funds in the Trust Account for our use in connection with consummating the Business Combination on or before the Third Extended Date. Any such redeemed Public Shares will increase the percentage interest of our Founder Shares held by the Sponsors and our directors and our officers as a result of their ownership of Founder Shares, including Class B Ordinary Shares.

If the Charter Amendment Proposals are approved, the removal from the Trust Account of the Withdrawal Amount will reduce our net asset value. We cannot predict the amount that will remain in the Trust Account following the Third Extension Redemptions if the Third Extension Amendment Proposal is approved; the amount remaining in the Trust Account may be only a small fraction of the approximately $27.85 million that was in the Trust Account as of December 31, 2024.

If the Charter Amendment Proposals are approved, our Board will have the right, without any further action by our shareholders, to decide to liquidate our Company at any time prior to April 20, 2026.

If the Third Extension Amendment Proposal is not Approved

Without the approval of the Third Extension Amendment Proposal, we will not be able to complete the Business Combination on or before the Second Extended Date. If that were to occur, as contemplated by and in accordance with the Amended and Restated Charter, we will (