Company: CGCT
Filing Date: 2025-04-14
Form Type: S-1/A
Source: 0001104659-25-034635
Chunk: 77

Company: Cartesian Growth Corp III
Filing Date: 2025-04-14
Form: S-1/A
Chunk 77
---
. Those laws and regulations and their interpretation and application may also change from time to time and those changes could
have a material adverse effect on our business, investments and results of operations. In addition, a failure to comply with applicable
laws or regulations, as interpreted and applied, could have a material adverse effect on our business, including our ability to negotiate
and complete our initial business combination, and results of operations.

On January 24, 2024, the SEC adopted a series
of new rules relating to SPACs (the “SPAC Rules”) requiring, among other items, (i) additional disclosures relating
to SPAC business combination transactions; (ii) additional disclosures relating to dilution and to conflicts of interest involving
sponsors and their affiliates in both SPAC initial public offerings and de-SPAC transactions; (iii) the use of projections by SPACs
in SEC filings in connection with proposed business combination transactions; and (iv) both the SPAC and the target company’s
status as co-registrants on de-SPAC registration statements.

In addition, the SEC’s adopting release
provided guidance describing circumstances in which a SPAC could become subject to regulation under the Investment Company Act, including
its duration, asset composition, business purpose, and the activities of the SPAC and its management team in furtherance of such goals.

Compliance with the SPAC Rules and related
guidance may increase the costs of and the time needed to negotiate and complete an initial business combination and may constrain the
circumstances under which we could complete an initial business combination.

If we are deemed to be an investment company under the Investment Company Act, we may be required to institute burdensome compliance requirements and our activities may be restricted, which may make it difficult for us to complete our initial business combination.

As described in the risk factor above entitled
“— Changes in laws or regulations, or a failure to comply with any laws and regulations, may adversely affect our business, including our ability to negotiate and complete our initial business combination, and results of operations,” the
SEC’s adopting release with respect to the SPAC Rules provided guidance describing the extent to which SPACs could become
subject to regulation under the Investment Company Act and the regulations thereunder. Whether a SPAC is an investment company will be
a question of facts and circumstances. If our facts and circumstances change over time, we will update our disclosure to reflect how
those changes impact the risk that we may be considered to be operating as