Company: CUB
Filing Date: 2025-05-13
Form Type: 10-Q
Source: 0001213900-25-042278
Chunk: 20

Company: Lionheart Holdings
Filing Date: 2025-05-13
Form: 10-Q
Item: Part I, Item 1
Chunk 20
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Business Combination within the Combination Period or (y) with respect to any other material provisions relating to shareholders’
rights or pre-initial Business Combination activity; (iii) waive their rights to liquidating distributions from the Trust Account
with respect to their Founder Shares if the Company fails to complete the initial Business Combination within the Combination Period,
although they will be entitled to liquidating distributions from the Trust Account with respect to any Public Shares they hold if the
Company fails to complete the initial Business Combination within the Combination Period and to liquidating distributions from assets
outside the Trust Account; and (iv) vote any Founder Shares held by them and any Public Shares purchased during or after the Initial
Public Offering (including in open market and privately-negotiated transactions) in favor of the initial Business Combination (except
that any Public Shares such parties may purchase in compliance with the requirements of Rule 14e-5 under the Exchange Act would not be
voted in favor of approving the Business Combination transaction).

Related Party Loans

In order to finance transaction
costs in connection with a Business Combination, the Sponsor or an affiliate of the Sponsor or certain of the Company’s officers
and directors may, but are not obligated to, loan the Company funds as may be required (the “Working Capital Loans”). If the
Company completes a Business Combination, the Company would repay the Working Capital Loans. In the event that a Business Combination
does not close, the Company may use a portion of the working capital held outside the Trust Account to repay the Working Capital Loans,
but no proceeds from the Trust Account would be used to repay the Working Capital Loans. Up to $1,500,000 of such Working Capital Loans
may be convertible into warrants of the post Business Combination entity at a price of $1.00 per warrant at the option of the lender.
These warrants would be identical to the Private Placement Warrants. As of March 31, 2025 and December 31, 2024, no such Working Capital
Loans were outstanding.

NOTE 6. COMMITMENTS AND CONTINGENCIES

Risks and Uncertainties

The United States and global
markets are experiencing volatility and disruption following the geopolitical instability resulting from the ongoing Russia-Ukraine conflict
and the recent escalation of the Israel-Hamas conflict. In response to the ongoing Russia-Ukraine conflict, the North Atlantic Treaty
Organization (“NATO”) deployed additional military forces to eastern Europe, and the United States, the United Kingdom, the
European Union and