Company: QSEA
Filing Date: 2025-02-24
Form Type: S-1
Source: 0001829126-25-001168
Chunk: 134

Company: Quartzsea Acquisition Corp
Filing Date: 2025-02-24
Form: S-1
Chunk 134
---
 substantial profit even if we
complete a business combination with a target business that subsequently declines in value and is unprofitable for public
investors.

The value of the founder shares following completion of our initial business combination is likely to be substantially higher than the nominal price paid for them, even if the trading price of our public shares at such time is substantially less than $10.05 per public share.

Upon the consummation of this offering, assuming
no exercise of the underwriters’ over-allotment option, our Sponsor and its affiliates will have invested in us an aggregate of
$2,475,000, comprised of the $25,000 purchase price for the founder shares and the $2,450,000 purchase price for the private placement
units. Assuming a trading price of $10.05 per public share upon consummation of our initial business combination, the founder shares
(assuming no exercise of the over-allotment option) would have an aggregate implied value of $2,450,000, and the private shares (assuming
no exercise of the over-allotment option) would have an aggregate implied value of $2,562,500. As a result, our Sponsor is likely to
have the ability to recoup its investment in us and make a substantial profit on that investment, even if our public shares have lost
significant value. Accordingly, our management team, which owns interests in our Sponsor, may have an economic incentive that differs
from that of the public shareholders to pursue and consummate an initial business combination rather than to liquidate and to return
all of the cash in the trust to the public shareholders, even if that business combination were with a riskier or less-established target
business. For the foregoing reasons, you should consider our management team’s financial incentive to complete an initial business
combination when evaluating whether to redeem your shares prior to or in connection with the initial business combination.

<div align='center'>82</div>

The determination of the offering price of our units and the size of this offering is more arbitrary than the pricing of securities and size of an offering of an operating company in a particular industry. You may have less assurance, therefore, that the offering price of our units properly reflects the value of such units than you would have in a typical offering of an operating company.

Prior to this offering there has been no public market for any of our securities. The public offering price of the units were negotiated between us and the underwriters. In determining the size of this offering