Company: QSEA
Filing Date: 2025-02-24
Form Type: S-1
Source: 0001829126-25-001168
Chunk: 93

Company: Quartzsea Acquisition Corp
Filing Date: 2025-02-24
Form: S-1
Chunk 93
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purpose of filing. Our Sponsor and certain of our executive officers and directors have significant ties to the PRC, and we may seek
to acquire a company that is based in China or Hong Kong in an initial business combination. The business combination we contemplate
may be considered the concentration of business operators, and to the extent required by the Antitrust Law and the criteria established
by the State Council, we must file with the antitrust authority under the PRC State Council prior to conducting the contemplated business
combination. If the antitrust authority decides not to further investigate whether the contemplated business combination has the effect
of precluding or impeding competition or fails to make a decision within 30 days from receipt of relevant materials, we may proceed to
consummate the contemplated business combination. If antitrust authority decides to prohibit the contemplated business combination after
further investigation, we must terminate such business combination and would then be forced to either attempt to complete a new business
combination if it was prior to 18 months from the closing of this offering or we would be required to return any amounts which were held
in the trust account to our shareholders. When we evaluate a potential business combination, we will consider the need to comply with
the Antitrust Law and other relevant regulations which may limit our ability to effect an acquisition or may result in our modifying
or not pursuing a particular transaction.

If we become directly subject to the recent scrutiny, criticism and negative publicity involving U.S.-listed Chinese companies, we may have to expend significant resources to investigate and resolve the matter which could harm our business operations, this offering and our reputation and could result in a loss of your investment in our ordinary shares, especially if such matter cannot be addressed and resolved favorably.

Recently, U.S. public companies that have substantially all of their operations in China, have been subjected to intense scrutiny, criticism and negative publicity by investors, financial commentators and regulatory agencies, such as the SEC. Much of the scrutiny, criticism and negative publicity has centered around financial and accounting irregularities, a lack of effective internal controls over financial accounting, inadequate corporate governance policies or a lack of adherence thereto and, in many cases, allegations of fraud. As a result of the scrutiny, criticism and negative publicity, the publicly traded stock of many U.S. listed Chinese companies has sharply decreased in value and, in some cases, has become virtually worthless. Many of these companies are now subject to shareholder lawsuits and SEC enforcement actions and are conducting internal and external investigations into the allegations. It is not clear what