Company: APXIF
Filing Date: 2025-07-03
Form Type: F-4/A
Source: 0001213900-25-061545
Chunk: 334

Company: APx Acquisition Corp. I
Filing Date: 2025-07-03
Form: F-4/A
Chunk 334
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 U.S. Holder are redeemed, and the U.S. Holder is eligible to waive, and effectively waives in accordance with specific rules, the attribution of stock owned by certain family members, the U.S. Holder does not constructively own any other stock and certain other requirements are met. A Redemption will not be essentially equivalent to a dividend if such Redemption results in a “meaningful reduction” of the U.S. Holder’s proportionate interest in APx. Whether the Redemption will result in a meaningful reduction in a U.S. Holder’s proportionate interest in APx will depend on the particular facts and circumstances. The IRS has indicated in a published ruling that even a small reduction in the proportionate interest of a small minority stockholder in a publicly held corporation who exercises no control over corporate affairs may constitute such a “meaningful reduction.” If none of the foregoing tests are satisfied, then the Redemption will be treated as a distribution and the tax effects will be as described below under “ — Taxation of Distributions.” U.S. Holders of Public Shares considering exercising their Redemption Rights are urged to consult their tax advisors to determine whether the Redemption would be treated as a sale or as a distribution under the Code. Taxation of Sale or Exchange Subject to the PFIC rules discussed below under “— PFIC Rules”, if a Redemption qualifies as a sale of Public Shares (rather than a distribution with respect to such Public Shares), a U.S. Holder generally will recognize gain or loss in an amount equal to the difference between (i) the cash received in the Redemption and (ii) the U.S. Holder’s adjusted tax basis in such Public Shares. Any such gain or loss generally will be capital gain or loss and will be long -termcapital gain or loss if the U.S. Holder’s holding period for such Public Shares exceeds one year. It is unclear, however, whether the redemption rights of a U.S. Holder with respect to the Public Shares may suspend the running of the applicable holding period for this purpose. Net short -termcapital gain generally is taxed at regular ordinary income tax rates. Long -termcapital gain realized by a non -corporateU.S. Holder generally may be taxable at reduced rates. The deductibility of capital losses is subject to limitations. Taxation of Distributions Subject to the PFIC rules discussed below under “— PFIC Rules”, if a Redemption is taxable as a distribution for U.S. federal income tax purposes, such distribution generally will be taxable as a dividend for U.S. federal income tax purposes