Company: ATMCW
Filing Date: 2025-11-17
Form Type: DEFM14A
Source: 0001493152-25-023842
Chunk: 200

Company: ALPHATIME ACQUISITION CORP
Filing Date: 2025-11-17
Form: DEFM14A
Chunk 200
---
 the opinion of Winston & Strawn LLP, the following are the material U.S. federal income tax consequences of the Business Combination to U.S. Holders of ATMC Securities and to ATMC. As used in this section entitled “ - Consequences of the Business Combination to U.S. Holders of ATMC Securities and to ATMC,” the term “U.S. Holder” means a U.S. Holder of ATMC Securities.

Separation of a Public Unit

No statutory, administrative or judicial authority directly addresses the treatment of an instrument such as a Public Unit for U.S. federal income tax purposes and, therefore, that treatment is not entirely clear. The separation of the ATMC Ordinary Share, Public Warrant and Public Right comprising a Public Unit should not be a taxable event for U.S. federal income tax purposes. However, because there are no authorities that directly address instruments that are similar to the Public Units, no assurance can be given that the IRS or a court will agree with the characterization described above.

| 110 |

Conversion of Public Rights into ATMC Ordinary Shares

No statutory, administrative or judicial authority directly addresses the treatment of instruments similar to the Public Rights for U.S. federal income tax purposes and, therefore, that treatment is not entirely clear. While we believe that a U.S. Holder of Public Rights should not be required to recognize gain or loss upon the receipt of ATMC Ordinary Shares pursuant to the conversion of the Public Rights, no assurance can be given that the IRS or a court will agree with this treatment. If this treatment is respected, the tax basis of an ATMC Ordinary Share acquired by a U.S. Holder pursuant to the terms of the Public Rights should be equal to the U.S. Holder’s tax basis in the relevant ten Public Rights with respect to which the share was issued. The holding period of such ATMC Ordinary Share should begin on the day after the conversion of the Public Rights into such ATMC Ordinary Share. U.S. Holders of Public Rights that do not receive ATMC Ordinary Shares with respect thereto (because they hold fewer than ten Public Rights) should consult their tax advisers regarding their ability to claim a loss with respect to such non-converted Public Rights.

Unless the context indicates otherwise, the term “ATMC Ordinary Shares,” as used in the remainder of this discussion, includes any ATMC Ordinary Shares a U.S. Holder receives upon the conversion of such holder’s Public Rights in connection with the consummation of the Business Combination.

Qualification of the Initial Mergers