Company: DTSQ
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001417
Chunk: 506

Company: DT Cloud Star Acquisition Corp
Filing Date: 2025-03-31
Form: 10-K
Item: Item 2
Chunk 506
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 might result from the outcome of this uncertainty.

Registration
Rights

Pursuant
to a registration rights agreement entered into on July 26, 2024, the holders of the Founder Shares, Private Placement Units (including
securities contained therein), and units (including securities contained therein) that may be issued on conversion of working capital
loans or extension loans (and) are entitled to registration rights pursuant to a registration rights agreement signed on the effective
date of this offering requiring the Company to register such securities for resale. The holders of these securities are entitled to make
up to three demands, excluding short form demands, that the Company’s register such securities. In addition, the holders have certain
“piggy-back” registration rights with respect to registration statements filed subsequent to the Company completion of initial
business combination and rights to require the Company to register for resale such securities pursuant to Rule 415 under the Securities
Act. The Company will bear the expenses incurred in connection with the filing of any such registration statements.

Underwriter
Agreement

The
underwriters are entitled to aggregate 3.5% of the gross proceeds of the IPO and the Over-Allotment Option, including:

The
underwriters are entitled to a cash underwriting discount of 1.5% of the gross proceeds of the Initial Public Offering, upon the consummation
of IPO.

As
of July 26, 2024, the Company paid a cash underwriting commission of 1.5% of the gross proceeds of the IPO, or $1,035,000. The Company
issued 69,000 ordinary shares of $0.0001 par value each to A.G.P at the closing of the IPO as part of representative compensation. The
shares were accounted for as of July 26, 2024, and received by A.G.P on the IPO day.

The
underwriters are entitled to a cash underwriting discount of 1.0% of the gross proceeds of the of the Initial Public Offering, which
will be deferred and payable until the closing of the initial Business Combination, without accrued interest.

NOTE
8– FAIR VALUE MEASUREMENTS

The
fair value of the Company’s assets and liabilities, which qualify as financial instruments under ASC Topic 820, “Fair Value
Measurements and Disclosures,” approximates the carrying amounts represented in the accompanying balance sheet, primarily due to
their short-term nature.

“Fair
value” is defined as the price that would