Company: SIMA
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001213900-25-026255
Chunk: 240

Company: SIM Acquisition Corp. I
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1B
Chunk 240
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 to obtain necessary additional financing if the debt security contains covenants restricting
our ability to obtain such financing while the debt security is outstanding;

●using a substantial portion of our cash flow to pay principal and interest on our debt, which will reduce
the funds available for expenses, capital expenditures, acquisitions and other general corporate purposes;

●limitations on our flexibility in planning for and reacting to changes in our business and in the industry
in which we operate;

●increased vulnerability to adverse changes in general economic, industry and competitive conditions and
adverse changes in government regulation; and

●limitations on our ability to borrow additional amounts for expenses, capital expenditures, acquisitions,
debt service requirements, execution of our strategy and other purposes and other disadvantages compared to our competitors who have less
debt.

Pursuant
to the Amended and Restated Memorandum, if we are unable to complete the initial Business Combination by July 11, 2026 (or such earlier
time as determined by our Board) and an extension of the Combination Period is not otherwise approved by our shareholders, we will (i)
cease all operations except for the purpose of winding up, (ii) as promptly as reasonably possible, but not more than ten business days
thereafter, redeem 100% of the outstanding Public Shares at a per share price, payable in cash, equal to the aggregate amount then on
deposit in the Trust Account, including interest earned thereon (less taxes payable and up to $100,000 of interest income to pay dissolution
expenses) and (iii) as promptly as reasonably possible following such redemption, subject to the approval of the remaining shareholders
and the Board, liquidate and dissolve. The Warrants will expire upon liquidation of the Trust Account and the holders of Warrants will
receive no proceeds in connection with the liquidation. The holders of the Founder Shares will not participate in any redemption distribution
with respect to their Founder Shares.

We may seek to extend
the Combination Period consistent with applicable laws, regulations and stock exchange rules by amending our Amended and Restated
Memorandum. Such an amendment would require the approval of our Public Shareholders, who will be provided the opportunity to redeem
all or a portion of their Public Shares in connection with the vote on such approval. Such redemptions will decrease the amount held
in our Trust Account and our capitalization, and may affect our ability to maintain our listing on Nasdaq. In addition,
Nasdaq’s rules currently require SPAC