Company: PCAP
Filing Date: 2025-02-20
Form Type: DRS
Source: 0001213900-25-015424
Chunk: 224

Company: ProCap Acquisition Corp
Filing Date: 2025-02-20
Form: DRS
Chunk 224
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 Further, the sponsor membership interests (including the interests held by the non -managingmembers) are locked up and not transferable because the letter agreement prohibits indirect transfers. While non -managingmembers will not be a direct party to the letter agreement discussed above, to the extent they own any membership interests in the sponsor, they will be bound by the restrictions set forth above with respect to their allocated founder shares, the private placement units and the Class A ordinary shares underlying the private placement units (including the restriction on transfer of their membership interests because the letter agreement prohibits indirect transfers). The securities held by the sponsor are expected to only be distributed directly to the members of the sponsor in connection with or following the consummation of our initial business combination, provided that such members agree to become subject to the applicable transfer restrictions with respect to such securities, including the letter agreement. Indirect transfers of the securities held by the sponsor, such as to another member of the sponsor or their affiliate, a family member or a new member of the sponsor, may be permitted with the prior consent of Mr. Pompliano, the sole member of our sponsor, as long as such transfer complies with the applicable transfer restrictions with respect to such securities to the same extent as the party originally subject to such restrictions. Registration Rights The holders of the (i) founder shares, which were issued in a private placement prior to the closing of this offering, (ii) private placement units which will be issued in a private placement simultaneously with the closing of this offering and the Class A ordinary shares underlying such private placement units and (iii) private placement units and units that may be issued upon conversion of working capital loans will have registration rights to require us to register a sale of any of our securities held by them and any other securities of the company acquired by them prior to the consummation of our initial business combination pursuant to a registration rights agreement to be signed prior to or on the effective date of this offering. Pursuant to the registration rights agreement and assuming $1,500,000 of working capital loans are converted into private placement -equivalentunits, we will be obligated to register up to 6,330,000 Class A ordinary shares and approximately 193,333 Class A ordinary shares that may be issued upon exercise of the warrants underlying the private placement units. The number of Class A ordinary shares includes (i) 5,750,000 Class A ordinary shares to be issued upon conversion of the founder shares, (ii) 580,000 Class A ordinary shares underlying