Company: CDAQF
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001493152-25-021994
Chunk: 150

Company: Compass Digital Acquisition Corp.
Filing Date: 2025-11-12
Form: 10-Q
Item: Part I, Item 2
Chunk 150
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 if a Business Combination is not consummated. However, the Sponsors will be entitled to liquidating distributions from the Trust Account
with respect to any Public Shares purchased during or after the Initial Public Offering if we fail to complete our Business Combination.

If
we are unable to complete a Business Combination by April 20, 2026, the end of the Combination Period, unless our Combination Period
is further extended, we will (i) cease all operations except for the purpose of winding up, (ii) as promptly as reasonably possible but
no more than ten business days thereafter, redeem the Public Shares, at a per-share price, payable in cash, equal to the aggregate amount
then on deposit in the Trust Account, including interest earned on the funds held in the Trust Account and not previously released to
us to pay taxes (less up to $50,000 of interest to pay dissolution expenses), divided by the number of then outstanding Public Shares,
which redemption will completely extinguish Public Shareholder’s rights as shareholders (including the right to receive further
liquidation distributions, if any), subject to applicable law, and (iii) as promptly as reasonably possible following such redemption,
subject to the approval of the remaining shareholders and our Board of Directors, proceed to commence a voluntary liquidation and thereby
a formal dissolution of our Company, subject in each case to our obligations under Cayman Islands law to provide for claims of creditors
and the requirements of applicable law. In the event of such distribution, it is possible that the per share value of the assets remaining
available for distribution will be less than approximately $11.58 per Public Share (net of taxes paid or payable, as of September 30,
2025).

As
of September 30, 2025 and December 31, 2024, we held cash of $721 and $27,720, respectively, and current liabilities of $9,050,038 and
$6,162,507, respectively. Further, we expect to continue to incur significant costs in the pursuit of our initial Business Combination.
We cannot assure you that our plans to complete an initial Business Combination will be successful.

Recent
Developments

Through
the date of this filing, the Company has drawn an additional $27,000 on the 2024 Promissory Note. The total outstanding balance on
the 2024 Promissory Note is $1,662,872.

Sponsor
Handover

On
August 30, 2023, our S