Company: CDAQF
Filing Date: 2025-03-25
Form Type: 10-K
Source: 0001641172-25-000421
Chunk: 806

Company: Compass Digital Acquisition Corp.
Filing Date: 2025-03-25
Form: 10-K
Item: Item 4
Chunk 806
---
    Net decrease in cash 
     (16,326) 
     (892,388)
  
    Cash, beginning of period 
     44,046  
     936,434 
  
    Cash, end of period 
    $27,720  
    $44,046 

    Supplemental disclosure of non-cash investing and financing activities 

    Fair value of Ordinary Shares issued in satisfaction of professional legal fees 
    $-  
    $523,000 
  
    Deferred underwriting fees waiver 
    $-  
    $7,187,357 
  
    Allocation of Polar Capital Investment payable proceeds to equity instrument 
    $613,640  
    $409,091 
  
    Accretion of Class A Ordinary Shares to redemption value 
    $1,928,109  
    $1,726,802 

The
accompanying notes are an integral part of these financial statements.

F-6

COMPASS
DIGITAL ACQUISITION CORP.

NOTES
TO FINANCIAL STATEMENTS

NOTE
1. DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS

Compass
Digital Acquisition Corp. (the “Company”) is a blank check company incorporated in the Cayman Islands on March 8, 2021. The
Company was formed for the purpose of effectuating a merger, share exchange, asset acquisition, share purchase, reorganization or similar
business combination with one or more businesses (the “Business Combination”). The Company is an early-stage and emerging
growth company and, as such, the Company is subject to all of the risks associated with early-stage and emerging growth companies.

As
of December 31, 2024, the Company had not yet commenced any operations. All activity for the period from March 8, 2021 (inception) through
December 31, 2024 relates to the Company’s formation, the initial public offering that was consummated by the Company on October
19, 2021 (the “Initial Public Offering” or “IPO”), which is described below, and the search for a target business
with which to consummate an initial Business Combination. The Company will not generate any operating revenues until after the completion
of its initial Business Combination, at the earliest. The Company generates non-operating income in the form of interest income from
the proceeds derived from the Initial Public Offering and the Private Placement (as defined below). The Company has selected December