Company: CDAQF
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001493152-25-021994
Chunk: 55

Company: Compass Digital Acquisition Corp.
Filing Date: 2025-11-12
Form: 10-Q
Item: Part I, Item 1
Chunk 55
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7 under the Investment Company Act, which invest only in direct U.S. government
treasury obligations, as determined by us. On October 19, 2023, we instructed Continental to liquidate the investments held in the Trust
Account and instead to hold the funds in the Trust Account in an interest-bearing demand deposit account at Citibank, N.A., with Continental
continuing to act as trustee, until the earlier of the consummation of the initial Business Combination or our liquidation. As a result,
following the liquidation of investments in the Trust Account, the remaining proceeds from the Initial Public Offering and Private Placement
are no longer invested in U.S. government securities or money market funds invested in U.S. government securities.

The
underwriters of the Initial Public Offering notified us of their intention to partially exercise the Over-Allotment Option on November
30, 2021. As such, on November 30, 2021, we consummated the sale of an additional (i) 1,240,488 Over-Allotment Units, at $10.00 per Over-Allotment
Unit, and (ii) 165,398 Private Placement Warrants, at $1.50 per Private Placement Warrant, generating total gross proceeds of $12,404,880
and $248,097, respectively. The underwriters forfeited the balance of the Over-Allotment Option. A total of $12,404,880 of the net proceeds
was deposited into the Trust Account, bringing the aggregate proceeds deposited into the Trust Account in connection with our Initial
Public Offering to $212,404,880. We incurred additional offering costs of $682,268 in connection with the Over-Allotment Option (of which
$434,171 was for deferred underwriting fees). On August 11, 2023 and August 14, 2023, the underwriters of the Initial Public Offering
informed us of their decision to waive their rights to the deferred underwriting commission held in the Trust Account.

Our
Management has broad discretion with respect to the specific application of the net proceeds of the Initial Public Offering and the sale
of the Private Placement Warrants, although substantially all of the net proceeds are intended to be applied generally toward consummating
a Business Combination. We will only complete a Business Combination if the post-Business Combination company owns or acquires 50% or
more of the outstanding voting securities of the target or otherwise