Company: QSEA
Filing Date: 2025-04-30
Form Type: 10-Q
Source: 0001829126-25-003185
Chunk: 18

Company: Quartzsea Acquisition Corp
Filing Date: 2025-04-30
Form: 10-Q
Item: Part I, Item 1
Chunk 18
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 Company and the Sponsor entered into the Second Amendment to the Subscription Agreement,
pursuant to which the purchased amount of Founder Shares was adjusted to 2,898,000.

Rights — As of
February 28, 2025 and November 30, 2024, there were no rights outstanding. Each holder of a right will receive one-fifth
(1/5) of one ordinary share upon consummation of a Business Combination, even if the holder of such right redeemed all shares held
by it in connection with a Business Combination. No fractional shares will be issued upon conversion of the rights. No additional
consideration will be required to be paid by a holder of rights in order to receive its additional shares upon consummation of a
Business Combination, as the consideration related thereto has been included in the Unit purchase price paid for by investors in the
IPO. If the Company enters into a definitive agreement for a Business Combination in which the Company will not be the surviving
entity, the definitive agreement will provide for the holders of rights to receive the same per ordinary share consideration the
holders of the ordinary shares will receive in the transaction on an as-converted into ordinary shares basis and each holder of a
right will be required to affirmatively covert its rights in order to receive one share underlying each right (without paying
additional consideration). The shares issuable upon conversion of the rights will be freely tradable (except to the extent held by
affiliates of the Company).

If the Company is unable to complete a Business Combination within the Combination Period and the Company liquidates the funds held in the Trust Account, holders of rights will not receive any of such funds with respect to their rights, nor will they receive any distribution from the Company’s assets held outside of the Trust Account with respect to such rights, and the rights will expire worthless. Further, there are no contractual penalties for failure to deliver securities to the holders of the rights upon consummation of a Business Combination. Additionally, in no event will the Company be required to net cash settle the rights. Accordingly, the rights may expire worthless.

    14

Note 8 — Segment Information

ASC Topic 280, “Segment Reporting,” establishes standards for companies to report in their financial statements information about operating segments, products, services, geographic areas, and major customers. Operating segments are defined as components of an enterprise for which separate financial information is available that is regularly evaluated by the Company’s chief operating decision maker, or group, in deciding how to