Company: EMCRF
Filing Date: 2025-08-19
Form Type: 10-Q
Source: 0001641172-25-024827
Chunk: 12

Company: Embrace Change Acquisition Corp.
Filing Date: 2025-08-19
Form: 10-Q
Item: Part I, Item 1
Chunk 12
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, for a total value equal to the merger consideration, $450,000,000 (the “Merger Consideration Shares”), to the
shareholders of Tianji (the “Tianji Shareholders”) at the Business Combination closing (the “Closing”). Upon
Closing, the Tianji Shareholders will no longer hold any rights in the Tianji ordinary shares they held prior to the Closing, and they
will hold the right to receive their portion of the Merger Consideration Shares pursuant to the Merger Agreement.

Issuance
of Share Consideration

In
connection with the Acquisition Merger, fractional shares of the Purchaser Ordinary Shares that would otherwise be issued to the Tianji
Shareholders will be rounded down to the nearest whole share.

Liquidity
and Capital Resources

As
of June 30, 2025, the Company had $469 of cash in its operating bank account.

The
Company’s liquidity needs prior to the consummation of the Initial Public Offering were satisfied through the payment of $25,000
from the Sponsor to cover for certain offering costs on the Company’s behalf in exchange for issuance of Founder Shares (as defined
in Note 5), and loan from the Sponsor of $159,478 under the promissory note, which has been terminated upon closing of the Initial Public
Offering. Subsequent to the consummation of the Initial Public Offering, the Company’s liquidity has been satisfied through the
net proceeds from the consummation of the Initial Public Offering, the Private Placement held outside of the Trust Account, the Convertible
Promissory Notes (as defined and described in Note 5), the amount due to third party which is defined and described in Note 6 and the
promissory note - third party which is defined and described in Note 7. As of June 30, 2025, there was $851,112 outstanding under the
Convertible Promissory Notes, which was issued to the Company’s related party for extension and working capital purposes, $144,060
due to related party for working capital purposes, $56,927 outstanding under the promissory note - third party, which was issued for
working capital purpose and $1,175,000 due to third party for extension purposes. Subsequent to June 30, 2025, the Company received an
additional $500,000 from Tianji and its subsidiaries for working capital purposes, resulting an aggregated of $1,675,000 due to