Company: CDAQF
Filing Date: 2025-05-14
Form Type: 10-Q
Source: 0001641172-25-010268
Chunk: 34

Company: Compass Digital Acquisition Corp.
Filing Date: 2025-05-14
Form: 10-Q
Item: Part I, Item 1
Chunk 34
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 2025 and 2024, the total administrative expenses were $30,000. As of March 31, 2025 and December 31,
2024, there was $190,000 and $160,000, respectively, accrued, but not paid.

NOTE 6 - COMMITMENTS AND CONTINGENCIES

Registration Rights

The holders of the Founder Shares, Private Placement
Warrants and any 2021 Note Warrants or 2024 Note Warrants (and in each case, holders of their underlying securities, as applicable) are
entitled to registration rights pursuant to the Registration Rights Agreement, requiring the Company to register such securities for resale
(in the case of the Founder Shares, only after conversion to the Class A Ordinary Shares). The holders of the majority of these securities
are entitled to make up to three demands, excluding short form demands, that the Company register such securities. In addition, the holders
have certain “piggyback” registration rights with respect to registration statements filed subsequent to the consummation
of a Business Combination and rights to require the Company to register for resale such securities pursuant to Rule 415 under the Securities
Act. The Company will bear the expenses incurred in connection with the filing of any such registration statements. On August 31, 2023,
the Sponsor executed a joinder to the Registration Rights Agreement in connection with the Sponsor Handover.

Underwriting Agreement

In connection with the Initial Public Offering, the
underwriters were granted a 45-day option from the date of the prospectus to purchase up to 3,000,000 additional Units to cover over-allotments,
if any. On November 30, 2021, the underwriters purchased an additional 1,240,488 Units pursuant to the partial exercise of the Over-Allotment
Option. The Units issued upon the exercise of the Over-Allotment Option were sold at an offering price of $10.00 per Unit, generating
aggregate additional gross proceeds of $12,404,880 to the Company.

The underwriters of the Initial Public Offering were
entitled to a cash underwriting discount of 2.00% of the gross proceeds of the Initial Public Offering, or $4,000,000 (or $4,600,000 if
the Over-Allotment Option was exercised in full). In addition, the underwriters were entitled to a deferred fee of three and half percent
(3.50%) of the gross proceeds of the Initial Public