Company: CDAQF
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001493152-25-021994
Chunk: 30

Company: Compass Digital Acquisition Corp.
Filing Date: 2025-11-12
Form: 10-Q
Item: Part I, Item 1
Chunk 30
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171
was for deferred underwriting fees). On August 11, 2023 and August 14, 2023, the underwriters informed the Company of their decision
to waive their rights to the deferred underwriting commission held in the Trust Account.

NOTE
4 - PRIVATE PLACEMENT

Simultaneously
with the closing of the Initial Public Offering, the Legacy Sponsor purchased 4,666,667 Private Placement Warrants at a price of $1.50
per Private Placement Warrant, generating total proceeds of $7,000,000 to the Company. Substantially concurrently with the closing of
the Private Placement, the Institutional Anchor Investors paid the Legacy Sponsor $280,000 for the transfer of an aggregate of 186,667
Private Placement Warrants, which transfer will take place upon the closing of the initial Business Combination. In connection with the
partial exercise of the Over-Allotment option, the Legacy Sponsor purchased an additional 165,398 Private Placement Warrants at a purchase
price of $1.50 per whole Private Placement Warrant.

Each
Private Placement Warrant is identical to the Public Warrants, except there are no redemption rights or liquidating distributions from
the Trust Account with respect to Private Placement Warrants, which will expire worthless if the Company does not consummate a Business
Combination within the Combination Period.

NOTE
5 - RELATED PARTY TRANSACTIONS

Founder
Shares

On
March 9, 2021, the Company issued an aggregate of 5,750,000 Class B Ordinary Shares (the “Founder Shares”) to the Legacy
Sponsor for an aggregate purchase price of $25,000. On May 13, 2021, the Legacy Sponsor transferred an aggregate of 721,402 Founder Shares
to the Company’s independent directors at their original issue price. The Founder Shares include an aggregate of up to 750,000
shares subject to forfeiture by the Legacy Sponsor to the extent that the Over-Allotment Option was not exercised in full or in part,
so that the Legacy Sponsor would collectively own, on an as-converted basis, 20% of the Company’s issued and outstanding shares
after the Initial Public Offering. On November 30, 2021, the underwriters partially exercised the Over-Allotment Option to purchase an
additional 1,240,488 Units. As a result, the Company forfeited 439,878 Class B Ordinary Shares. On October 19, 2023, the