Company: CDAQF
Filing Date: 2025-03-25
Form Type: DEF 14A
Source: 0001641172-25-000430
Chunk: 28

Company: Compass Digital Acquisition Corp.
Filing Date: 2025-03-25
Form: DEF 14A
Chunk 28
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 any Public Shares owned by them) in favor of the Proposals. The Sponsors, directors, officers and their respective affiliates are not entitled to redeem any Ordinary Shares held by them in connection with the Charter Amendment Proposals. On the Record Date, our Sponsors, directors and officers collectively beneficially owned and were entitled to vote an aggregate of 3,200,000 Class A Ordinary Shares and 2,110,122 Class B Ordinary Shares, representing approximately 68.15% of our total issued and outstanding Ordinary Shares. Our Sponsors, directors, officers and their affiliates do not intend to purchase shares of Ordinary Shares in the open market or in privately negotiated transactions in connection with the shareholder vote on Charter Amendment Proposals.

In addition, the Sponsor may enter into arrangements with a limited number of shareholders pursuant to which such shareholders would agree not to redeem the Public Shares beneficially owned by them in connection with the Charter Amendment Proposals. The Sponsor and/or our Company may provide such shareholders either our securities or membership interests in the Sponsor or other consideration pursuant to such arrangements.

What interests do our Sponsors and our directors and officers have in the approval of the Proposals?

Our Sponsors, directors and officers have interests in the Proposals that may be different from, or in addition to, your interests as a shareholder. These interests include, among others, ownership of (i) 3,200,000 Class A Ordinary Shares (purchased for a nominal price), 2,110,122 Class B Ordinary Shares (purchased for a nominal price) and 4,832,065 Private Placement Warrants (purchased for $1.50 per Private Placement Warrant), which would expire worthless if the Business Combination is not consummated, (ii) a promissory note in the principal amount of up to $1,000,000 issued to YAS International, LLC (d/b/a Gupta Capital Group), an affiliate of our Prior Sponsor (“ GCG”) on December 30, 2021in connection with working capital loans made to us by GCG (the “ 2021 Promissory Note”), of which $125,000 was outstanding as of December 31, 2024, (iii) the Polar Capital Investment of up to $1,500,000 in us, subject to certain funding milestones, pursuant to the Polar Subscription Agreement with the Sponsor, in order to meet the Sponsor’s commitment to us under a drawdown request, of which $1,250,000 was drawn down as of