Company: GCL
Filing Date: 2025-03-17
Form Type: DRS
Source: 0001213900-25-024502
Chunk: 340

Company: GCL Global Holdings Ltd
Filing Date: 2025-03-17
Form: DRS
Chunk 340
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 “Note”) which shall be convertible into the Company’s fully paid
and nonassessable ordinary shares that would be exchanged for 6,672,221 shares of Merger Consideration Shares (as defined in the
Merger Agreement) at $4.50 per share at the closing of the transactions (the “Conversion Date”) contemplated by the
Merger Agreement (the “Business Combination”). The number of Merger Consideration Shares is determined based on the
exchange ratio established in the Merger Agreement. Pursuant to the Note Purchase Agreements, an additional thirty percentage (30%)
of the number of Merger Consideration Shares issued to the Transaction Investors (the “Bonus Shares”) will be held in an
escrow account for three (3) years from the Conversion Date. At the end of each of the first three anniversary dates of the
Conversion Date (each such year, a “Bonus Year”), one-third (1/3) of the Bonus Shares shall be released from the escrow
account to either the Transaction Investors or to the Company for cancellation, based on the number of Merger Consideration Shares
held by the Transaction Investors at the end of Bonus Year. In the event that the lowest volume-weighted average closing price of
the Merger Consideration Shares is less than $4.50 per share for any ten(10) consecutive trading days during the last month
prior to the third anniversary day of the Conversion Date, the Transaction Investors will be entitled to receive certain Top-Up
Shares (defined in the Note Purchase Agreement) and, under certain limited circumstances, a cash payment, based on the number of
Merger Consideration Shares held on the third anniversary date of the Business Combination. The Transaction Investors will be
entitled to receive 110% of the outstanding principal balance of the Note in the event that the Business Combination is not
consummated on or before March 28, 2025, or if the per share price used to the calculate the exchange ratio for the Business
Combination is less than $10.00 per share. Epic SG has agreed to unconditionally guarantee all of the Company’s obligations
and performance under $30,250,000 of the Note, including but not limited to the Company’s obligation to pay. In
September 2024, two accredited investors had deposited $4,012,500 to the Company prior to the execution of the Note Purchase
Agreements in October 2024.

In
December 2024, PubCo,