Company: TLGYF
Filing Date: 2025-04-10
Form Type: 8-K
Source: 0001104659-25-033546
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Company: TLGY ACQUISITION CORP
Filing Date: 2025-04-10
Form: 8-K
Item: Item 7.01
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Item 7.01. Regulation FD Disclosure.

On April 9, 2025, TLGY
Acquisition Corp., a Cayman Island corporation (the “ TLGY”), entered into a non-binding letter of intent (“ LOI”)
with the Ethena Foundation (“ Ethena”), a non-profit organization governing the Ethena crypto ecosystem (“ Ethena”),
to explore a potential corporate partnership (the “ Proposed Partnership”). The Proposed Partnership envisions TLGY acquiring
a validator business that will provide proof-of-stake services to the Ethena ecosystem, including on the forthcoming Converge network
(the “ Business Combination”). To support its proof-of-stake services following the closing of the Business Combination, the
LOI provides that TLGY will have the right to purchase from Ethena up to $100 million worth of native ENA tokens at a reasonable discount,
to be determined by mutual agreement, to ENA’s prevailing market price at the time of the closing of the Business Combination. The
LOI contemplates the funding of the ENA token purchase through a combination of cash remaining in TLGY’s trust account and equity
through a PIPE commitment from Ethena. The specific mix of cash and equity will be at Ethena’s option, to be determined at a later
date. The LOI contemplates that the parties will explore incorporating a right of participation mechanism, granting TLGY the opportunity
to participate in future discounted token sales on terms to be mutually agreed upon at a later date. The LOI also contemplates that the
Proposed Partnership will have a term of five years commencing on the effective date of the definitive partnership agreement. To support
the Proposed Partnership and reduce dilution to public shareholders, TLGY’s sponsors have expressed a willingness to forfeit a majority
of their founder shares in exchange for earnout shares tied to the long-term performance of TLGY. The actual amount forfeited will be
mutually agreed upon in connection with the execution of a definitive agreement relating to the Business Combination. A binding commitment
with respect to the Proposed Partnership or a proposed Business Combination will only result from the execution of a definitive agreement
and then only upon the terms and conditions set forth in the definitive agreement. There can be no assurance that TLGY and Ethena will
enter into a definitive agreement with respect to the Proposed Partnership, or, if entered into, there is no certainty of the terms that
will be contained in such definitive agreement.

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