Company: CSLMF
Filing Date: 2025-07-03
Form Type: DEFM14A
Source: 0001193125-25-155514
Chunk: 645

Company: CSLM ACQUISITION CORP.
Filing Date: 2025-07-03
Form: DEFM14A
Chunk 645
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 three months ended March 31, 2024.

F-124

Common Stock Warrants—In connection with the 2023 Notes Agreement, the
Company issued to the lender common stock warrants (the “Common Stock Warrants”) to purchase up to 140,133 shares of the Company’s common stock, exercisable immediately, with an exercise price of $0.46 per share with a contractual
term of 10 years. The Company determined that the Common Stock Warrants are freestanding financial instruments and were determined to be within the scope of ASC 480-10, and accordingly, are liability
classified. As of three month ended March 31, 2025 and December 31, 2024, the fair value and carrying amount of the Common Stock Warrant Liability was $971.0 thousand and $945.0 thousand, respectively (refer to “Note 3 -
Fair Value Measurements”).

The Company recorded a charge of $26.0 thousand and $445.0 thousand related to changes in fair
value, which is recorded as loss on change in fair value in the unaudited condensed consolidated interim statements of operations and comprehensive loss, for the three month ended March 31, 2025 and 2024, respectively.

April 2024 Convertible Note

In
April 2024, the Company entered into a convertible note agreement (the “April 2024 Convertible Note Agreement”) with a lender for the aggregate principal amount of $125.0 thousand, that bears interest at a rate of 4.71% per annum and
is convertible to common stock (the “April 2024 Convertible Note”). The April 2024 Convertible Promissory Note matures in April 2025.

On April 4, 2025, the maturity date of April 2024 convertible note was extended to April 5, 2026 from the maturity date of
April 5, 2025 pursuant to the original agreement.

Automatic conversion into common stock –If on or before the
maturity date in April 2025, the Company closes the plan of merger as described in the Merger Agreement (as defined in “Note 1 – Organization”), the Company will notify the holder of the April 2024 Convertible Note five days prior to
the merger. Immediately prior to the closing of the merger, all of the then outstanding obligations of the April 2024 Convertible Note will automatically convert into the number of common shares equal to the amount outstanding