Company: FORL
Filing Date: 2025-04-30
Form Type: 10-K
Source: 0001213900-25-037576
Chunk: 353

Company: Four Leaf Acquisition Corp
Filing Date: 2025-04-30
Form: 10-K
Item: Item 1A
Chunk 353
---
 statements
filed subsequent to the completion of the initial business combination and rights to require us to register for resale such securities
pursuant to Rule 415 under the Securities Act. The registration rights agreement does not contain liquidated damages or other cash settlement
provisions resulting from delays in registering securities.

Underwriting Agreement

$1,897,350 in the aggregate (reflecting the partial
exercise by the underwriter of its over-allotment option), will be payable to the underwriter for deferred underwriting commissions. The
deferred fee will become payable to the underwriter from the amounts held in the Trust Account solely in the event that the Company completes
an initial business combination, subject to the terms of the underwriting agreement.

Administrative Support Agreement 

On March 22, 2023, the Company entered into the
administrative support agreement under which it pays the Sponsor a total of $10,000 per month, up until the completion of the Company’s
initial business combination or liquidation, for secretarial and administrative services. The Company’s expenses related to the
administrative support agreement were $120,000 and $90,000 for the years ended December 31, 2024 and 2023, respectively. Upon completion
of the initial business combination or the Company’s liquidation, the Company will cease paying these monthly fees. As of December
31, 2024 and 2023, $182,180 and $62,180, respectively, of amounts due to the Sponsor under the Administrative Support Agreement remain
unpaid and are included in Due to Related Party on the balance sheets.

Critical Accounting Policies and Estimates 

The preparation of the financial statements in
conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities
and disclosure of contingent assets and liabilities at the date of the financial statements. Significant assumptions include the fair
value of the Company’s Public Warrants and Representative Shares at their issuance dates, the valuation of the over-allotment option
provided to the underwriters and the excise tax liability in connection with redemption of Class A common stock. Actual results could
differ from those estimates

Derivative Financial Instruments 

The Company issued warrants to its investors,
and the over-allotment option to the underwriter. The Company accounts for financial instruments as either equity-classified or liability-classified
instruments based on an assessment of the specific terms of the instruments and applicable authoritative guidance in ASC 480,