Company: CSLMF
Filing Date: 2025-07-03
Form Type: DEFM14A
Source: 0001193125-25-155514
Chunk: 135

Company: CSLM ACQUISITION CORP.
Filing Date: 2025-07-03
Form: DEFM14A
Chunk 135
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 of our business. If adequate funds are not available or are not available on acceptable terms, we may not be able to further fund our business or the expansion
thereof, take advantage of strategic acquisitions or investment opportunities or respond to competitive pressures. Such inability to obtain additional financing when needed could have a material adverse effect on our business, results of operations,
cash flow, financial condition and prospects.

Fusemachines’ independent registered public accounting firm’s report for the year ended December 31, 2023 contains an explanatory paragraph that expresses substantial doubt about its ability to continue as a "going concern."

As of December 31, 2023, Fusemachines had cash of approximately $100.0 thousand. For the year ended December 31, 2023, the Company used
approximately $2,474.0 thousand in cash for operating activities. The Company has incurred recurring net losses from operations and negative cash flows from operating activities in two of the last three years. As of December 31, 2023, the Company
had an accumulated deficit of approximately $18,834.0 thousand. These factors raise substantial doubt regarding the Company’s ability to continue as a going concern within one year of the date these consolidated financial statements were
issued. The continuation of the Company as a going concern is dependent upon the continued financial support from its stockholders and debt holders. Specifically, continuation is contingent on the Company’s ability to obtain necessary equity or
debt financing to continue operations, and ultimately the Company’s ability to generate profit from sales and positive operating cash flows, which is not assured.

Our indebtedness could adversely affect our business and growth prospects.

We have existing indebtedness, and we may be able to incur additional debt from time to time to finance working

capital, capital expenditures, investments or acquisitions, or for other purposes.

71

Fusemachines faces intense competition within its industry and is subject to the effects of technological change.

The industry in which we are engaged is subject to rapid and significant technological change.
There can be no assurance that Fusemachines’ systems can be upgraded to meet future innovations in the industry or that new technologies will not emerge, or existing technologies will not be improved, which would render Fusemachines’
offerings obsolete or non-competitive. Many of the companies we compete with enjoy significant competitive advantages over us, including greater name recognition; greater financial, technical and service resources; established networks; additional
product offerings; and greater resources for product development and sales and marketing. In addition, there