Company: SZZL
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001213900-25-044190
Chunk: 15

Company: Sizzle Acquisition Corp. II
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 1
Chunk 15
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,000 Founder Shares represented by such membership interests assigned
to the holders of such interests on March 27, 2025 was $206,780 or $1.477 per share. The Company established the initial fair value of
the Founder Shares on March 27, 2025, the date of the grant agreement, using a calculation prepared by a third party valuation team which
takes into consideration the market adjustment of 15.0%, a risk free rate of 4.28% and a stock price of $9.85. The Founder Shares are
classified as Level 3 at the measurement date due to the use of unobservable inputs, and other risk factors. The membership interests
were assigned subject to a performance condition (i.e., providing services through Business Combination). Stock-based compensation would
be recognized at the date a Business Combination is considered probable (i.e., upon consummation of a Business Combination) in an amount
equal to the number of membership interests that ultimately vest, times the assignment date fair value per share (unless subsequently
modified), less the amount initially received for the assignment of the membership interests. As of March 31, 2025, the Company determined
that the initial Business Combination is not considered probable and therefore no compensation expense has been recognized.

The Company’s Initial Shareholders have agreed not to transfer, assign
or sell any of their Founder Shares and any Class A Ordinary Shares issued upon conversion thereof until the earlier to occur of (i) six
months after the completion of the initial Business Combination or (ii) the date on which the Company completes a liquidation, merger,
share exchange or other similar transaction after the initial Business Combination that results in all of the Company’s shareholders
having the right to exchange their Class A Ordinary Shares for cash, securities or other property. Any permitted transferees will be subject
to the same restrictions and other agreements of the Company’s Initial Shareholders with respect to any Founder Shares (the “Lock-up”).
Notwithstanding the foregoing, if (1) the closing price of the Class A Ordinary Shares equals or exceeds $12.00 per share (as adjusted
for share subdivisions, share capitalizations, reorganizations, recapitalizations and the like) for any 20 trading days within any 30-trading
day period commencing after the initial Business Combination or (2) if the Company consummates a transaction after the initial Business
Combination which results in the Company’s shareholders having the right to exchange their shares for cash, securities