Company: FSTWF
Filing Date: 2025-02-28
Form Type: F-1
Source: 0001213900-25-018264
Chunk: 47

Company: FST Corp.
Filing Date: 2025-02-28
Form: F-1
Chunk 47
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 things, the composition of its income and assets, its market value and the market value of its subsidiaries’ shares and assets (including FST and SPAC). Changes in FST’s composition, the composition of its income or the composition of any of its subsidiaries’ assets may cause FST to be or become a PFIC for the current or subsequent taxable years. Whether FST is treated as a PFIC for U.S. federal income tax purposes is a factual determination that must be made annually at the close of each taxable year and, thus, is subject to significant uncertainty. If FST is a PFIC for any taxable year, a U.S. Holder (as defined below in the section titled “ Material U.S. Federal Income Tax Considerations for SPAC and Holders of SPAC Securities and FST Securities”) of FST Ordinary Shares may be subject to adverse tax consequences and may incur certain information reporting obligations. For more details, see “ Material U.S. Federal Income Tax Considerations for SPAC and Holders of SPAC Securities and FST Securities — 5. PFIC Considerations.” U.S. Holders of FST Ordinary Shares are strongly encouraged to consult their own advisors regarding the potential application of these rules to FST and the ownership of FST Ordinary Shares. 24 USE OF PROCEEDS All of the Ordinary Shares offered by the Selling Securityholders pursuant to this prospectus will be sold by the Selling Securityholders for their respective accounts. We will not receive any of the proceeds from such sales. We will pay certain expenses associated with the registration of the securities covered by this prospectus, as described in the section titled “Plan of Distribution.” We will, however, receive the proceeds from the exercise of Warrants to the extent such Warrants are exercised for cash. Each Warrant entitles the holder thereof to purchase one Ordinary Share at the applicable exercise price of such Warrant. The exercise price of the FST Warrants to purchase 14,399,985 Ordinary Shares is $11.50 per share, subject to adjustment as set forth therein. Assuming the exercise of all outstanding Warrants for cash, we would receive aggregate proceeds of approximately $165.6 million. We believe that the likelihood that Warrant holders determine to exercise their Warrants, and therefore the amount of cash proceeds that we would receive, is dependent upon the market price of our Ordinary Shares. If the market price for our Ordinary Shares is less than the applicable exercise price of the Warrants (on a per share basis), we believe