Company: COPL-UN
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001829126-25-006317
Chunk: 24

Company: Copley Acquisition Corp
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 1
Chunk 24
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of the Sponsor or certain officers and directors may loan the Company funds of up to $3,450,000
(assuming the underwriters exercise their over-allotment option, and no public shares have been redeemed at the time of each extension)
to cover the cost of extension options to allow additional time to complete an initial Business Combination (“Extension Loans”).
Such Working Capital Loans and Extension Loans may be convertible into units at a price of $7.00
per unit at the option of the lender at the time of the Business Combination. The units would be identical to the Private Placement
Units and include one-half of one private warrant (each a “Working Capital Warrant” or “Extension Warrant”, respectively).
If the Company does not complete an initial Business Combination, the Working Capital Loans and Extension Loans would be repaid out of
funds not held in the Trust Account, and only to the extent available. Except for the foregoing, the terms of such Working Capital Loans
and Extension Loans by the Sponsor or its affiliates, or officers and directors, if any, have not been determined and no written agreements
exist with respect to such loans (except as disclosed below).

As of December 31, 2024, no Working Capital Loans were outstanding. On June 12, 2025, the Company entered into a Working Capital Loan
with the Sponsor, pursuant to which the Company may borrow up to $450,000.
The Working Capital Loan is non-interest bearing and matures on the earlier of (i) the date on which the Business Combination is consummated
and (ii) the Company’s liquidation and is subject to conversion into units (as disclosed above). On June 12, 2025, the $146,609
balance on the Promissory Note was transferred into the Working Capital Loan, resulting in a $146,609 balance outstanding as of June 30, 2025. As of June 30, 2025 and December 31, 2024, no Extension Loans were outstanding.

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NOTE 6. COMMITMENTS AND CONTINGENCIES

Registration Rights

The holders of the Founder Shares, Private Placement Units and units that may be issued upon conversion of loans made by the Sponsor or an affiliate of the Sponsor or certain officers and directors, and their permitted transferees, will have registration rights to require to register a sale of any of securities held by them (in the case of the Founder Shares, only after conversion to Class A ordinary shares) pursuant to