Company: BEAG
Filing Date: 2025-03-28
Form Type: 10-K
Source: 0001013762-25-003594
Chunk: 4

Company: Bold Eagle Acquisition Corp.
Filing Date: 2025-03-28
Form: 10-K
Item: Item 1
Chunk 4
---
 the post-business combination entity. Generally, the issuance of additional shares in a business combination
may significantly dilute the equity interest of investors in the Initial Public Offering, which dilution would increase if the anti-dilution
provisions in the Class B ordinary shares resulted in the issuance of Class A ordinary shares on a greater than one-to-one basis upon
conversion of the Class B ordinary shares, may subordinate the rights of holders of Class A ordinary shares if preference shares are
issued with rights senior to those afforded our Class A ordinary shares, could cause a change in control if a substantial number of our
Class A ordinary shares are issued, may have the effect of delaying or preventing a change of control by diluting the share ownership
or voting rights of a person seeking to obtain control, and may adversely affect prevailing market prices for our Class A ordinary shares.
The price of the shares we may issue in such a transaction may be less, and potentially significantly less, than $10.00 per share or
the market price for our shares at such time. Any such issuances of equity securities at a price that is less than $10.00 or the prevailing
market price of our shares at that time could be structured to ensure a return on investment to the investors and could dilute the interests
of our existing shareholders in a manner that would not ordinarily occur in a traditional initial public offering and could result in
both a reduction in the trading price of our shares to the price at which we issue such equity securities and fluctuations in the net
tangible book value per share of the combined company’s securities following the completion of our initial business combination.
We may also provide price protection or other incentives, or issue convertible securities such as preferred equity or convertible debt,
and the exercise or conversion price of those securities may be fixed or adjustable, and may be less, and potentially significantly less,
than $10.00 per share or the market price for our shares at such time. Such issuances could also result in additional transaction costs
related to our initial business combination compared to a traditional initial public offering, including the placement fees associated
with the engagement of a placement agent in connection with PIPE transactions. Such potential dilutive issuances of securities are likely
to increase as the pro forma equity value of a prospective combined company increases, and we intend to target a combined company that
has a pro forma equity value of $3 billion or greater. We may choose to incur substantial debt to complete our initial business combination.
No issuance of debt will affect the per