Company: SCAG
Filing Date: 2025-01-06
Form Type: 424B3
Source: 0001213900-25-001215
Chunk: 45

Company: Scage Future
Filing Date: 2025-01-06
Form: 424B3
Chunk 45
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 issuance of PubCo Ordinary Shares, represented by PubCo ADSs, in the Business Combination will dilute the equity interests of Finnovate Public Shareholders who do not exercise their redemption rights and may adversely affect prevailing market prices for PubCo Ordinary Shares. Finnovate Public Shareholders who do not exercise their redemption rights may experience dilution to varying degrees in connection with and after the Business Combination, including: •the issuance of PubCo Ordinary Shares, represented by PubCo ADSs, as part of the consideration in connection with the consummation of the Business Combination; and •the exercise of PubCo Warrants. The issuance of PubCo Ordinary Shares, represented by PubCo ADSs, in connection with the Business Combination, including through any of the foregoing, could have the following effects for Finnovate Public Shareholders who elect not to redeem their Public Shares: •their proportionate ownership interest in PubCo will decrease; •the amount of cash available per share, including for payment of dividends in the future, may decrease; •the relative voting strength of each previously outstanding Finnovate Ordinary Shares will be diminished; or •the market price of PubCo Ordinary Shares or PubCo Warrants, as applicable, may decline. The following table illustrates varying beneficial ownership levels in PubCo, as well as possible sources and extents of dilution for non -redeemingFinnovate Public Shareholders, assuming no additional redemptions by Finnovate Public Shareholders, 25% redemption by Finnovate Public Shareholders, 50% redemption by Finnovate Public Shareholders, 75% redemption by Finnovate Public Shareholders and the Contractual Maximum Redemption by Finnovate Public Shareholders. The calculations are based upon (1) 5,327,792 issued and outstanding ordinary shares of Finnovate as of the Record Date, and (2) 67,482,417 PubCo Ordinary Shares, represented by PubCo ADSs, to be issued to Scage International’s shareholders (based on an Aggregate Merger Consideration Amount calculated on June30, 2024 and assuming no conversion of outstanding convertible bonds of Scage International). The “Contractual Maximum Redemption scenario” assumes that the NTA Proposal is approved. If the NTA Proposal is approved by Finnovate shareholders at the Meeting and the net asset test that is the subject of such proposal is removed, then the number of redemptions by holders of Finnovate Public Shares will not be limited to such number of redemptions as would