Company: TMCWW
Filing Date: 2025-05-12
Form Type: 424B5
Source: 0001104659-25-047372
Chunk: 167

Company: TMC the metals Co Inc.
Filing Date: 2025-05-12
Form: 424B5
Chunk 167
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 warrant are complex, and U.S. Holders are urged to consult their tax advisors on the tax consequences any such
constructive distribution with respect to a public warrant.

Passive Foreign Investment Company Rules

The treatment of U.S. Holders of Common Shares
and public warrants could be materially different from that described above if the Company is treated as a PFIC for U.S. federal income
tax purposes.

If the Company is a PFIC for any taxable year,
U.S. Holders of Common Shares or public warrants may be subject to adverse U.S. federal income tax consequences with respect to dispositions
of, and distributions with respect to Common Shares, and may be subject to additional reporting requirements.

A non-U.S. corporation will be classified as a
PFIC for U.S. federal income tax purposes if either (i) at least 75% of its gross income in a taxable year, including its pro rata
share of the gross income of any corporation in which it is considered to own at least 25% of the shares by value, is passive income,
or the Income Test or (ii) at least 50% of its assets in a taxable year (ordinarily determined based on fair market value and averaged
quarterly over the year), including its pro rata share of the assets of any corporation in which it is considered to own at least 25%
of the shares by value, are held for the production of, or produce, passive income, or the Asset Test. Passive income generally includes
dividends, interest, rents and royalties (other than rents or royalties derived from the active conduct of a trade or business) and gains
from the disposition of passive assets.

Based on our initial assessment, we do not believe
that the Company was classified as a PFIC for U.S. federal income tax purposes for the taxable year ending December 31, 2022. However,
the application of the PFIC rules is subject to uncertainty in several respects, and we cannot assure you that the IRS will not take
a contrary position. Furthermore, whether the Company is classified as a PFIC is a factual determination that must be made annually after
the close of each taxable year. Accordingly, there can be no assurance with respect to the Company’s status as a PFIC for the current
or any future taxable year. Although PFIC status is generally determined annually, if the Company is determined to be a PFIC for any taxable
year (or portion thereof) that is included in the