Company: NOEMW
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001013762-25-004368
Chunk: 83

Company: CO2 Energy Transition Corp.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1
Chunk 83
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 Factors — Past performance by our management team and their respective affiliates may not be indicative of future
performance of an investment in the company.”

Initial Business Combination

Nasdaq rules require that
our initial business combination must be with one or more operating businesses or assets with a fair market value equal to at least 80%
of the net assets held in the trust account (net of amounts disbursed to management for working capital purposes, if permitted, and excluding
the amount of any deferred underwriting discounts held in trust). We refer to this as the 80% of net assets test. If our board of directors
is not able independently to determine the fair market value of the target business or businesses, we may obtain an opinion from an independent
investment banking firm or another independent entity that commonly renders valuation opinions with respect to the satisfaction of such
criteria. Although we may purchase multiple businesses in related industries in connection with our initial business combination, we
do not currently intend to purchase multiple businesses in unrelated industries in conjunction with our initial business combination,
although there is no assurance that will be the case.

We anticipate structuring
our initial business combination so that the post-transaction company in which our public stockholders own shares will own or acquire
100% of the issued and outstanding equity interests or assets of the target business or businesses. We may, however, structure our initial
business combination such that the post-transaction company owns or acquires less than 100% of such interests or assets of the target
business in order to meet certain objectives of the target management team or stockholders or for other reasons, but we will only complete
such business combination if the post-transaction company owns or acquires 50% or more of the issued and outstanding voting securities
of the target or otherwise acquires a controlling interest in the target business sufficient for it not to be required to register as
an investment company under the Investment Company Act of 1940, as amended (the “Investment Company Act”).
Even if the post-transaction company owns or acquires 50% or more of the voting securities of the target, our stockholders prior
to our initial business combination may collectively own a minority interest in the post-transaction company, depending on valuations
ascribed to the target and us in our initial business combination transaction. For example, we could pursue a transaction in which we
issue a substantial number of new shares in exchange for all of the issued and outstanding capital stock, shares or