Company: FSHPU
Filing Date: 2025-07-25
Form Type: PRE 14A
Source: 0001829126-25-005363
Chunk: 8

Company: Flag Ship Acquisition Corp
Filing Date: 2025-07-25
Form: PRE 14A
Chunk 8
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 Extensions to provide the Company with additional time to consummate an initial business combination. Following
the Extensions, the Company may complete a business combination until up to 24 months from the closing of the IPO if the Sponsor
deposits additional funds into the Trust Account as described herein. Without the Extensions, the Company believes that the Company
may not be able to complete its business combination on or before September 20, 2025. If that were to occur, the Company would
be precluded from completing a business combination and would be forced to liquidate. The Board has further determined that the
approval of the Extension Fee Reduction Proposal (Proposal 1) will provide the Sponsor and its affiliates with an incentive to fund
the Monthly Extension Fee required for each Monthly Extensions that may be required for the Company to complete an initial business
combination. Accordingly, the Board believes that Proposal 1 is necessary in order to be able to consummate an initial business
combination. Therefore, the Board has determined that it is in the best interests of our shareholders to approve Proposal 1 to
incentivize the Sponsor to fund such Amended Monthly Extension Fees and provide such Monthly Extensions as may be required for us to
complete an initial business combination by or before June 20, 2026, which will provide our shareholders with the opportunity to
participate in an initial business combination. The funding by the Sponsor of one or more Extensions will be required in order for
us to have the opportunity to complete the initial business combination disclosed in our current filings with the Securities and
Exchange Commission (the “SEC”). Notwithstanding the foregoing, we may decide to abandon the Extension Fee Reduction
Proposal at any time and for any reason prior to effectuating the Extension.

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If the Extension Fee Reduction Proposal is approved by the shareholders, to effectuate each Monthly Extension, the Sponsor and/or its designee will deposit the lesser of (i) $60,000 for all remaining Public Shares and (ii) $0.033 for each remaining Public Share into the Trust Account. The Amended Monthly Extension Fee, if and to the extent approved at the Extraordinary General Meeting, will become operative for the monthly extension fee beginning on the 20 of the first month following the approval of the Amended Monthly Extension Fee at the Extraordinary General Meeting and the 20 of each succeeding month until June 20, 2026.

In connection with the Extension Fee Reduction Proposal, holders of outstanding ordinary shares, par