Company: KOYNU
Filing Date: 2025-07-31
Form Type: S-1/A
Source: 0001829126-25-005627
Chunk: 377

Company: CSLM Digital Asset Acquisition Corp III, Ltd
Filing Date: 2025-07-31
Form: S-1/A
Chunk 377
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 imposition of penalty bids; and |

| ● | syndicate covering transactions. |

<div align='center'>221</div>

Stabilizing transactions consist
of bids or purchases made for the purpose of preventing or retarding a decline in the market price of our units while this offering is
in progress. Stabilization transactions permit bids to purchase the underlying security so long as the stabilizing bids do not exceed
a specified maximum. These transactions may also include making short sales of our units, which involve the sale by the underwriter of
a greater number of units than it is required to purchase in this offering and purchasing units on the open market to cover short positions
created by short sales. Short sales may be “covered short sales,” which are short positions in an amount not greater than
the underwriter’s option to purchase additional units referred to above, or may be “naked short sales,” which are short
positions in excess of that amount.

The underwriter may close out
any covered short position by either exercising its over-allotment option, in whole or in part, or by purchasing units in the open market.
In making this determination, the underwriter will consider, among other things, the price of units available for purchase in the open
market as compared to the price at which they may purchase units through the over-allotment option.

Naked short sales are short
sales made in excess of the over-allotment option. The underwriter must close out any naked short position by purchasing units in the
open market. A naked short position is more likely to be created if the underwriter is concerned that there may be downward pressure
on the price of the units in the open market that could adversely affect investors who purchased in this offering.

These stabilizing transactions,
short sales, purchases to cover positions created by short sales, the imposition of penalty bids and syndicate covering transactions
may have the effect of raising or maintaining the market price of our units or preventing or retarding a decline in the market price
of our units. As a result of these activities, the price of our units may be higher than the price that otherwise might exist in the
open market. The underwriter may carry out these transactions on Nasdaq, in the over-the-counter market or otherwise. Neither we nor
the underwriter make any representation or prediction as to the effect that the transactions described above may have on the price of
the units. Neither we, nor the underwriter make any representation that the underwriter will engage in