Company: ATMCW
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001641172-25-004801
Chunk: 1518

Company: ALPHATIME ACQUISITION CORP
Filing Date: 2025-04-15
Form: 10-K
Item: Item 1
Chunk 1518
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 extent of any liability for
such third-party claims. We have not independently verified whether our Sponsor has sufficient funds to satisfy its indemnity obligations
and believe that our Sponsor’s only assets are securities of our Company. We have not asked our Sponsor to reserve for such indemnification
obligations. Therefore, we cannot assure you that our Sponsor would be able to satisfy those obligations. As a result, if any such claims
were successfully made against the Trust Account, the funds available for our initial business combination and redemptions could be reduced
to less than $10.18 per public share. In such event, we may not be able to complete our initial business combination, and you would receive
such lesser amount per share in connection with any redemption of your Public Shares. None of our officers will indemnify us for claims
by third parties including, without limitation, claims by vendors and prospective target businesses.

19

Our
independent directors may decide not to enforce the indemnification obligations of our Sponsor, resulting in a reduction in the amount
of funds in the Trust Account available for distribution to our public shareholders.

In
the event that the proceeds in the Trust Account are reduced below the lesser of (i) $10.18 per public share or (ii) such lesser amount
per share held in the Trust Account as of the date of the liquidation of the Trust Account due to reductions in the value of the trust
assets, in each case net of the interest which may be withdrawn to pay taxes, and our Sponsor asserts that it is unable to satisfy its
obligations or that it has no indemnification obligations related to a particular claim, our independent directors would determine whether
to take legal action against our Sponsor to enforce its indemnification obligations.

While
we currently expect that our independent directors would take legal action on our behalf against our Sponsor to enforce its indemnification
obligations to us, it is possible that our independent directors in exercising their business judgment may choose not to do so if, for
example, the cost of such legal action is deemed by the independent directors to be too high relative to the amount recoverable or if
the independent directors determine that a favorable outcome is not likely. If our independent directors choose not to enforce these
indemnification obligations, the amount of funds in the Trust Account available for distribution to our public shareholders may be reduced
below $10.18 per share.

If,
after we distribute the proceeds in the Trust Account to our public shareholders, we file a bankruptcy