Company: HVIIR
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010497
Chunk: 95

Company: Hennessy Capital Investment Corp. VII
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 2
Chunk 95
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 business combination, it may repay such loaned amounts out of the proceeds of the Trust Account released to HVII. In the event that
a business combination does not close, HVII may use a portion of the working capital held outside the Trust Account to repay such loaned
amounts, but no proceeds from the Trust Account would be used for such repayment. Up to $2,500,000 of such loans may be convertible into
units, at a price of $10.00 per unit, at the option of the lender. The units would be identical to the private placement units. Except
for the foregoing, the terms of such loans by HVII’s sponsor, an affiliate of HVII’s sponsor or HVII’s officers and
directors, if any, have not been determined and no written agreements exist with respect to such loans. HVII does not expect to seek loans
from parties other than HVII’s sponsor, an affiliate of HVII’s sponsor or its officers and directors, if any, as HVII does
not believe third parties will be willing to loan such funds and provide a waiver against any and all rights to seek access to funds in
the Trust Account.

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HVII does not believe it will
need to raise additional funds in order to meet the expenditures required for operating its business. However, if HVII’s estimate
of the costs of identifying a target business, undertaking in-depth due diligence and negotiating a business combination are less than
the actual amount necessary to do so, HVII may have insufficient funds available to operate its business prior to its business combination.
Moreover, HVII may need to obtain additional financing either to complete its business combination or because it becomes obligated to
redeem a significant number of its public shares upon completion of its business combination, in which case HVII may issue additional
securities or incur debt in connection with such business combination. If HVII raises additional funds through the incurrence of indebtedness,
such indebtedness would have rights that are senior to HVII’s equity securities and could contain covenants that restrict HVII’s
operations. Further, due to the anti-dilution rights of the founder shares, public shareholders may incur material dilution. In addition,
HVII intends to target businesses with enterprise values that are greater than it could acquire with its current funds, and, as a result,
if the cash portion of the purchase price exceeds the amount available from the Trust Account, net of amounts needed to satisfy redemptions
by public shareholders,