Company: CSLMF
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076682
Chunk: 13

Company: CSLM ACQUISITION CORP.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 1
Chunk 13
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 Amendment (a) amends the definition of the “PIPE Investment Amount” to mean the sum of (i)
$8,840,000, and (ii) the Contingent PIPE Investment Amount, if any; and (b) removes the delay fees incurred in connection with
delivery of Fusemachines’ financial statements.

6

In connection with the 2nd Amendment, an affiliate (the
“Sponsor Affiliate”) of the Sponsor, provided financing to Fusemachines in the amount of $2,160,000, in exchange for a
new convertible note which note shall convert into shares of common stock of Fusemachines at a price of $0.44 per share (a)
automatically at the time of the Business Combination, or (b) on July 12, 2025 at the option of the holder, if not, then payable in
cash (the “Escrow Note”). The funds from the Escrow Note shall be put in an escrow account held at Continental Stock
Transfer and Trust Company, CSLM’s transfer agent (“CST”) pursuant to an escrow agreement among CSLM, the Sponsor
Affiliate, Fusemachines and CST (the “Escrow Agreement”) and shall be released to the Surviving Corporation upon the
consummation of the Business Combination. In addition, the maturity dates on the two promissory notes issued by Fuse to the Sponsor
Affiliate on January 25, 2024 in the amounts of $4.5 million and $2 million, were extended to July 12, 2025.

On February 4, 2025, in connection with the 2nd Amendment, the parties
to that certain Subscription Agreement dated January 25, 2024 among Fusemachines, the Company, the Sponsor and an affiliate of the Sponsor
(the “Subscription Agreement”), entered into an amendment to the Subscription Agreement to revise the PIPE Investment Amount
to $8,840,000 (the “Subscription Agreement Amendment”).

Risks and Uncertainties

Results of operations and the Company’s ability to complete an
Initial Business Combination may be adversely affected by various factors that could cause economic uncertainty and volatility in the
financial markets, many of which are beyond its control. The business could be impacted by, among other things, downturns in the financial
markets or in economic conditions, inflation, increases in interest rates, adverse developments affecting the financial services industry,
and geopolitical instability, such as the military conflict in the Ukraine and the