Company: WLACW
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001493152-25-021938
Chunk: 21

Company: Willow Lane Acquisition Corp.
Filing Date: 2025-11-12
Form: 10-Q
Item: Part I, Item 1
Chunk 21
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 to have purchased the Class B Ordinary Shares for $0.005 per
share.

    13

WILLOW
LANE ACQUISITION CORP.

NOTES
TO CONDENSED FINANCIAL STATEMENTS

SEPTEMBER
30, 2025

(Unaudited)

The
number of Founder Shares outstanding was determined based on the expectation that the total size of the Initial Public Offering would
be a maximum of 12,650,000 Units if the Over-Allotment Option was exercised in full, and therefore that such Founder Shares would represent
approximately 26.79% of the issued and outstanding Ordinary Shares after the Initial Public Offering. Up to 603,740 Founder Shares were
to be surrendered for no consideration depending on the extent to which the Over-Allotment Option was exercised. On November 12, 2024,
the Over-Allotment Option was exercised in full and such Founder Shares are no longer subject to forfeiture.

Pursuant
to the Letter Agreement, the Sponsor and the Company’s directors and officers have agreed not to transfer, assign or sell any of
their Founder Shares and any Class A Ordinary Shares issued upon conversion thereof until the earlier to occur of (i) six months after
the completion of the initial Business Combination or (ii) the date on which the Company completes a liquidation, merger, share exchange
or other similar transaction after the initial Business Combination that results in all of the Company’s shareholders having the
right to exchange their Class A Ordinary Shares for cash, securities or other property. Any permitted transferees will be subject to
the same restrictions and other agreements as the Sponsor and the Company’s directors and officers with respect to any Founder
Shares (the “Lock-up”). Notwithstanding the foregoing, if (x) the closing price of the Class A Ordinary Shares equals or
exceeds $12.00 per share (as adjusted for share sub-divisions, share capitalizations, reorganizations, recapitalizations and the like)
for any 20 trading days within any 30-trading day period commencing after the initial Business Combination or (y) if the Company consummates
a transaction after the initial Business Combination that results in the Company’s shareholders having the right to exchange their
shares for cash, securities or other property, the Founder Shares will be released from the Lock-up.

IPO
Promissory Note

The
Sponsor agreed to loan the Company an aggregate of up to $300,000 to