Company: SCAG
Filing Date: 2025-01-06
Form Type: 424B3
Source: 0001213900-25-001215
Chunk: 922

Company: Scage Future
Filing Date: 2025-01-06
Form: 424B3
Chunk 922
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|       |     | Ke = |     | the cost of equity                                |
|       |     | Wd = |     | the proportion of debt in the capital structure   |
|       |     | Kd = |     | the pretax cost of debt                           |
|       |     | Tm = |     | the marginal tax rate for a C corporation         |

We based the capital structure estimates on the median of the guideline companies’ debt to capital ratio. Based on these determinations, the weighted average cost of capital was determined as: [0.808 * 40.0%] + [0.192 * 11.7% * (1 - 15.0%)] = 34.2% (rounded) Schedule B.8 shows the details of the WACC calculation and Schedule B.9 presents the discounted cash flow calculations. Conclusion—Income Approach Analysis Based on the forecasts and methodologies presented in this analysis, the income approach indicated an enterprise value of ¥8.1 billion on a controlling, marketable interest basis for Scage as of the Valuation Date. Market Approach—Guideline Public Company Method The first step in performing the guideline public company analysis was the identification and selection of comparable companies. To be included in our guideline sample, companies had to be engaged in the same or similar line of business as Scage as of the Valuation Date. The second criterion was that the comparable companies face similar industry and economic risks. Based on our examination of the industry, our discussions with Management, and our search from the S&P Capital IQ database, we identified the following companies: 1.Heavy Next Gen Truck OEMs a.Nikola Corporation (NasdaqGS: NKLA) b.Hyliion Holdings Corp. (NYSE: HYLN) c.Hyzon Motors Inc. (NasdaqGS: HYZN)

Annex D-1-18 2.Electric Vehicle OEMs a.Tesla, Inc. (NasdaqGS: TSLA) b.NIO Inc. (NYSE: NIO) c.Lucid Group, Inc. (NasdaqGS: LCID) d.Rivian Automotive, Inc. (NasdaqGS: RIVN) 3.Truck Component Suppliers a.Cummins Inc. (NYSE: CMI) b.Allison Transmission Holdings, Inc. (NYSE: ALSN) 4.Truck OEMs a.AB Volvo (OM: VOLV B) b.PACCAR Inc (