Company: CDAQF
Filing Date: 2025-05-14
Form Type: 10-Q
Source: 0001641172-25-010268
Chunk: 72

Company: Compass Digital Acquisition Corp.
Filing Date: 2025-05-14
Form: 10-Q
Item: Part I, Item 8
Chunk 72
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MARCH 31, 2025

NOTE 1. DESCRIPTION OF ORGANIZATION AND BUSINESS
OPERATIONS

Compass Digital Acquisition Corp. (the “Company”)
is a blank check company incorporated in the Cayman Islands on March 8, 2021. The Company was formed for the purpose of effectuating a
merger, share exchange, asset acquisition, share purchase, reorganization or similar business combination with one or more businesses
(the “Business Combination”). The Company is an early-stage and emerging growth company and, as such, the Company is subject
to all of the risks associated with early-stage and emerging growth companies.

As of March 31, 2025, the Company had not yet commenced
any operations. All activity for the period from March 8, 2021 (inception) through March 31, 2025 relates to the Company’s formation,
the initial public offering that was consummated by the Company on October 19, 2021 (the “Initial Public Offering” or “IPO”),
which is described below, and the search for a target business with which to consummate an initial Business Combination. The Company will
not generate any operating revenues until after the completion of its initial Business Combination, at the earliest. The Company generates
non-operating income in the form of interest income from the proceeds derived from the Initial Public Offering and the Private Placement
(as defined below). The Company has selected December 31 as its fiscal year end.

The Company’s sponsor was originally Compass
Digital SPAC LLC (the “Legacy Sponsor”), until August 31, 2023 and has been HCG Opportunity, LLC, a Delaware limited liability
company (the “Sponsor,” together, with the Legacy Sponsor, the “Sponsors”), since August 31, 2023 (see Note 5).

The Registration Statement on Form S-1 for the Initial
Public Offering, initially filed with the Securities and Exchange Commission (the “SEC”) on September 14, 2021, as amended
(File No. 333-259502), was declared effective on October 14, 2021 (the “IPO Registration Statement”). On October 19, 2021,
the Company consummated the Initial Public Offering of 20,000,000 units (“Units” and, with respect to the (i) Class A Ordinary
Shares (as defined below) included in the Units offered, the “Public Shares” and (ii) redeemable