Company: HVIIR
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001741
Chunk: 93

Company: Hennessy Capital Investment Corp. VII
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1A
Chunk 93
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liabilities, management and prospects, as well as the value of HVII’s public and private placement units. At such valuation, each
of HVII’s ordinary shares would have an implied value of $6.91 per share upon consummation of HVII’s initial business combination,
which is a 30.9% decrease as compared to the initial implied value per public share of $10.00.

  Public shares                                                                 19,000,000  
  Founder shares                                                                 6,708,333  
  Private placement shares                                                         690,000  
  Total shares                                                                  26,398,333  
  Total funds in trust account available for initial business combination      182,400,000  
  Initial implied value per share before initial business combination                10.00  
  Implied value per share after initial business combination                          6.91  

  53  

The
value of the founder shares following completion of HVII’s initial business combination is likely to be substantially higher than
the nominal price paid for them, even if the trading price of HVII’s ordinary shares at such time is substantially less than $10.00
per share.

HVII’s
sponsor has invested an aggregate of $5,025,000, comprised of the $25,000 purchase price for the founder shares and the $5,000,000 purchase
price for the private placement units. Assuming a trading price of $10.00 per share upon consummation of HVII’s initial business
combination, the 6,708,333 founder shares would have an aggregate implied value of $ 67,083,330. Even if the trading price of HVII’s
ordinary shares were as low as approximately $0.75 per share, and the private placement units are worthless, the value of the founder
shares would be equal to the sponsor’s initial investment in HVII. As a result, HVII’s sponsor is likely to be able to make
a substantial profit on its investment in HVII at a time when HVII’s public shares have lost significant value. Accordingly, HVII’s
management team, which owns interests in HVII’s sponsor, may be more willing to pursue a business combination with a riskier or
less-established target business than would be the case if HVII’s sponsor had paid the same per share price for the founder shares
as HVII’s public shareholders paid for their public shares.

HVII’s
ability to successfully effect its initial business combination and to be successful thereafter