Company: GIGGU
Filing Date: 2025-11-12
Form Type: S-4
Source: 0001193125-25-277896
Chunk: 394

Company: GigCapital7 Corp.
Filing Date: 2025-11-12
Form: S-4
Chunk 394
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.S. Holder’s adjusted tax basis in its Domesticated GigCapital7 Common Stock following the Merger.

| 3. | Exercise, Lapse or Redemption of Domesticated GigCapital7 Warrants |

A U.S. Holder generally will not recognize taxable gain or loss on the acquisition of Domesticated GigCapital7 Common Stock upon exercise of Domesticated GigCapital7 Warrants for cash. The U.S. Holder’s tax basis in the shares of Domesticated GigCapital7 Common Stock received upon exercise of the Domesticated GigCapital7 Warrants generally will be an amount equal to the sum of the U.S. Holder’s tax basis in the Domesticated GigCapital7 Warrants and the exercise price. It is unclear whether the U.S. Holder’s holding period for the Domesticated GigCapital7 Common Stock received upon exercise of the Domesticated GigCapital7 Warrants will begin on the date following the date of exercise or on the date of exercise of the Domesticated GigCapital7 Warrants; in either case, the holding period will not include the period during which the U.S. Holder held the Domesticated GigCapital7 Warrants. If any Domesticated GigCapital7 Warrants are allowed to lapse unexercised, a U.S. Holder generally will recognize a capital loss equal to such holder’s tax basis in the lapsed Domesticated GigCapital7 Warrants. The tax consequences of a cashless exercise of Domesticated GigCapital7 Warrants are not clear under current tax law. A cashless exercise may not be taxable, either because the exercise is not a realization event or because 210

the exercise is treated as a recapitalization for U.S. federal income tax purposes. In either situation, a U.S. Holder’s basis in the Domesticated GigCapital7 Common Stock received would equal the U.S. Holder’s basis in the Domesticated GigCapital7 Warrants exercised therefor. If the cashless exercise were treated as not being a realization event, it is unclear whether a U.S. Holder’s holding period in the Domesticated GigCapital7 Common Stock would be treated as commencing on the date following the date of exercise or on the date of exercise of the Domesticated GigCapital7 Warrants; in either case, the holding period would not include the period during which the U.S. Holder held the Domesticated GigCapital7 Warrants. If the cashless exercise were treated as a recapitalization, the holding period of the Domesticated GigCapital7 Common Stock would include the holding period of the Domestic