Company: HVIIR
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001741
Chunk: 111

Company: Hennessy Capital Investment Corp. VII
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1A
Chunk 111
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 ordinary shares in the aftermarket
or in privately negotiated transactions, this would increase their influence over these actions.

In
addition, HVII’s board of directors, whose members were appointed by Sponsor, is and will be divided into three classes, each of
which will generally serve for a term of three years with only one class of directors being appointed in each year. HVII may not hold
an annual general meeting to appoint new directors prior to the completion of its initial business combination, in which case all of
the current directors will continue in office until at least the completion of the business combination. If there is an annual general
meeting, as a consequence of HVII’s “staggered” board of directors, only a minority of the board of directors will
be considered for appointment and HVII’s sponsor, because of their ownership position and control of Sponsor, will control the
outcome, as only holders of HVII’s Class B ordinary shares will have the right to vote on the appointment of directors and to remove
directors prior to its initial business combination.

Accordingly,
holders of HVII’s founder shares will exert significant influence over actions requiring a shareholder vote at least until the
completion of its initial business combination.

Unlike
many other similarly structured SPACs, HVII’s initial shareholders will receive additional Class A ordinary shares if HVII issues
shares to consummate an initial business combination.

The
founder shares will automatically convert into Class A ordinary shares at the time of HVII’s initial business combination, or at
any time prior thereto at the option of the holder thereof, on a one-for-one basis, subject to adjustment as provided herein. In the
case that additional Class A ordinary shares, or equity-linked securities, are issued or deemed issued in excess of the amounts sold
in HVII’s initial public offering and related to the closing of HVII’s initial business combination, the ratio at which Class
B ordinary shares shall convert into Class A ordinary shares will be adjusted (unless the holders of a majority of the outstanding Class
B ordinary shares agree to waive such anti-dilution adjustment with respect to any such issuance or deemed issuance) so that the number
of Class A ordinary shares issuable upon conversion of all Class B ordinary shares will equal, in the aggregate, on an as-converted basis,
24% of the total number of all ordinary shares outstanding upon completion of HVII’s initial public offering plus all Class A ordinary
shares and equity-linked securities issued or deemed issued in connection with