Company: DTSQ
Filing Date: 2025-05-14
Form Type: 10-Q
Source: 0001641172-25-010262
Chunk: 51

Company: DT Cloud Star Acquisition Corp
Filing Date: 2025-05-14
Form: 10-Q
Item: Part I, Item 8
Chunk 51
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 consummates an IPO or the date on which the Company determines not to
conduct the IPO. The first Promissory Note terminated and paid back after consummation of IPO on July 29, 2024.

On
October 28, 2024, the Company issued an unsecured promissory note to the Sponsor, pursuant to which the Company may borrow up to an aggregate
principal amount of $300,000. The Promissory Note is non-interest-bearing and payable on the date
which the Company consummates an initial business combination.

As
of March 31, 2025 and December 31, 2024, the principal amount due and owing under the Promissory Note were nil, respectively.

Due
to Related Party

As
of March 31, 2025 and December 31, 2024, the Company had a temporary advance of $114,500 and $84,500 from the Sponsor, respectively.
The balance is unsecured, interest-free and has no fixed terms of repayment.

    14

DT
CLOUD STAR ACQUISITION CORPORATION

NOTES
TO UNAUDITED FINANCIAL STATEMENTS

Administrative
Services Arrangement

An
affiliate of the Sponsor will agree that, commencing from the date that the Company’s securities are first listed on NASDAQ through
the earlier of the Company’s consummation of a Business Combination and its liquidation, to make available to the Company certain
general and administrative services, including office space, administrative and support services, as the Company may require from time
to time. The Company has agreed to pay the affiliate of the Sponsor $10,000 per month for these services commencing on the closing date
of the initial public offering for 15 months. For the three months ended March 31, 2025 and 2024, the Company incurred $30,000 and $nil
for these services in total, included in General and administrative expenses. During the three months ended March 31, 2025 and 2024,
we paid administrative expense of $nil and $nil, respectively.

Working
Capital 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 directors and officers may, but are not obligated to, loan the Company funds as may be required (“Working Capital
Loans”). If the Company completes a Business Combination, the Company would repay the Working Capital Loans out of