Company: APXIF
Filing Date: 2025-03-31
Form Type: F-4/A
Source: 0001213900-25-026339
Chunk: 325

Company: APx Acquisition Corp. I
Filing Date: 2025-03-31
Form: F-4/A
Chunk 325
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 the difference between the fair market value of the Company Warrants received and such U.S. Holder’s adjusted tax basis in such U.S. Holder’s Public Warrants. A U.S. Holder’s tax basis in the Company Warrants received will equal the fair market value of such Company Warrants. A U.S. Holder’s holding period in the Company Warrants received should begin on the day after the Merger. Subject to the PFIC rules discussed below under “— PFIC Rules”, any gain recognized by a U.S. Holder whose Public Warrants become Company Warrants pursuant to the Merger would generally be long -termcapital gain if the holder’s holding period for the Public Warrants was more than one year at the time of the Merger, and the holder’s holding period in the Company Warrants would begin on the day following the exchange. The U.S. Holder’s tax basis in the Company Warrants received in the exchange would be equal to their fair market value at the time of the Merger. Section 367(a) Section 367(a) of the Code and the Treasury Regulations promulgated thereunder, in certain circumstances described below, impose additional requirements for a U.S. Holder to qualify for tax -deferredtreatment under Section 351 of the Code with respect to the exchange of APx Securities in the Merger. Specifically, a U.S. Holder that is a “five -percenttransferee shareholder” with respect to the Company immediately after the transfer may be required to enter into a gain recognition agreement with respect to the transfer of its APx Securities in order to obtain non -recognitiontreatment in the Merger. In general, a “five -percenttransferee shareholder” is a U.S. Holder who holds APx Securities and will own directly, indirectly or constructively through attribution rules, at least five percent of either the total voting power or total value of shares of the Company immediately after the Business Combination. The attribution rules for determining ownership are complex, and neither APx nor the Company can offer any assurance that a U.S. Holder will not be a five -percenttransferee shareholder based on its particular facts and circumstances. If you believe you could become a five -percenttransferee shareholder of the Company, you are urged to consult your tax advisor. Tax Consequences of Ownership and Disposition of Company Securities Distributions on Company Shares Subject to the PFIC rules discussed below under “— PFIC Rules”, the gross amount of any distribution on Company Shares that is