Company: PAII-WT
Filing Date: 2025-05-29
Form Type: DRS
Source: 0001213900-25-049013
Chunk: 308

Company: Pyrophyte Acquisition Corp. II
Filing Date: 2025-05-29
Form: DRS
Chunk 308
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 EACH PROSPECTIVE INVESTOR IN OUR SECURITIES IS URGED TO CONSULT ITS OWN TAX ADVISOR WITH RESPECT TO THE PARTICULAR TAX CONSEQUENCES TO SUCH INVESTOR OF THE ACQUISITION, OWNERSHIP AND DISPOSITION OF OUR SECURITIES, INCLUDING THE APPLICABILITY AND EFFECT OF ANY UNITED STATES FEDERAL NON -INCOME, STATE, LOCAL, AND NON -UNITEDSTATES TAX LAWS.

| 212 |

| Certain income tax considerations |

Allocation of purchase price and characterization of a unit No statutory, administrative or judicial authority directly addresses the treatment of a unit or any instrument similar to a unit for United States federal income tax purposes, and therefore, that treatment is not entirely clear. The acquisition of a unit should be treated for United States federal income tax purposes as the acquisition of one Class A ordinary share and one -halfof one warrant, and we intend to treat the acquisition of a unit in such manner. By purchasing a unit, you agree to adopt such treatment for United States federal income tax purposes. For United States federal income tax purposes, each holder of a unit must allocate the purchase price paid by such holder for such unit between the one Class A ordinary share and the one -halfof one warrant based on the relative fair market value of each at the time of issuance. Under U.S. federal income tax law, each investor must make such investor’s own determination of such value based on all the relevant facts and circumstances. Therefore, we strongly urge each investor to consult such investor’s tax advisor regarding the determination of value for these purposes. The price allocated to each Class A ordinary share and the one -halfof one warrant should be the holder’s initial tax basis in such share and the fraction of a warrant. Any disposition of a unit should be treated for United States federal income tax purposes as a disposition of the Class A ordinary share and one -halfof one warrant comprising the unit, and the amount realized on the disposition should be allocated between the Class A ordinary share and one -halfof one warrant based on their respective fair market values (as determined by each such unit holder based on all the relevant facts and circumstances) at the time of disposition. The separation of the Class A ordinary share and the one -halfof one warrant comprising a unit and the combination of halves of one warrant into a single warrant should not be a taxable event for United States federal income tax purposes. The foregoing treatment of the units, Class A ordinary shares and warrants