Company: TACOW
Filing Date: 2025-04-18
Form Type: S-1/A
Source: 0001829126-25-002771
Chunk: 156

Company: Berto Acquisition Corp.
Filing Date: 2025-04-18
Form: S-1/A
Chunk 156
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Quantitative and Qualitative Disclosures about Market Risk

The net proceeds of this offering,
the sale of the private placement warrants and the overfunding loans held in the trust account will initially be invested in U.S. government
securities, within the meaning of Section 2(a)(16) of the Investment Company Act, with a maturity of 185 days or less or in money market
funds meeting certain conditions under Rule 2a-7 under the Investment Company Act which invest only in direct U.S. government treasury
obligations. Due to the short-term nature of these investments, we believe there will be no associated material exposure to interest
rate risk.

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Related Party Transactions

Founder Shares

On November 11, 2024,
our sponsor and its affiliates purchased $23,957 for an aggregate of 6,887,500 ordinary shares (up to 937,500 of which will be
surrendered to us for no consideration depending on the extent to which the underwriters’ over-allotment option is exercised)
and Meteora (our consultant) paid $1,043 for an aggregate of 300,000 ordinary shares (none of which are subject to forfeiture in
connection with the exercise of the over-allotment option). These 7,187,500 ordinary shares are referred herein as “Founder
Shares”. Of these 7,187,500 Founder Shares, each of the Sponsor, Sponsor’s affiliates: Harry You and Robert You, and
Meteora held 2,575,000 shares (of which 375,000 shares are subject to forfeiture if the underwriters do not exercise their over-allotment
option), 2,300,000 shares (of which 300,000 shares are subject to forfeiture if the underwriters do not exercise their over-allotment
option), 2,012,500 shares (of which 262,500 shares are subject to forfeiture if the underwriters do not exercise their over-allotment
option) and 300,000 shares, respectively.

Administrative Support Agreement

Commencing on the date
of the Proposed Public Offering, we will agree to reimburse our sponsor or an affiliate thereof in an amount equal to $15,000 per
month for office space, utilities and secretarial and administrative support. Upon completion of the Initial Business Combination
or our liquidation, we will cease paying these monthly fees. Payment for such administrative services to our sponsor will be