Company: FTII
Filing Date: 2025-04-09
Form Type: 10-K
Source: 0001641172-25-003384
Chunk: 415

Company: FutureTech II Acquisition Corp.
Filing Date: 2025-04-09
Form: 10-K
Item: Item 1A
Chunk 415
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we may abandon our efforts to complete an initial Business Combination and instead liquidate the Company. Were we to liquidate, our warrants
would expire worthless, and our securityholders would lose the investment opportunity associated with an investment in the combined company,
including any potential price appreciation of our securities.

9

To
mitigate the risk that we might be deemed to be an investment company for purposes of the Investment Company Act, in February 2024, we
instructed Continental Stock Transfer & Trust Company, the trustee with respect to the Trust Account to liquidate the investments
held in the Trust Account and instead to hold the funds in the Trust Account in an interest-bearing demand deposit account at a bank
until the earlier of the consummation of our initial Business Combination or our liquidation. As a result, following such liquidation
of investments in the Trust Account, we will receive less interest on the funds held in the Trust Account than we would have received
had we not liquidated such investments in the Trust Account, which would reduce the dollar amount our public shareholders would receive
upon any redemption or liquidation of the Company.

Until
February 2024, the funds in the Trust Account had been, since our IPO, held only in U.S. government treasury obligations with a maturity
of 185 days or less or in money market funds investing solely in U.S. government treasury obligations and meeting certain conditions
under Rule 2a-7 under the Investment Company Act. However, to mitigate the risk of us being deemed to be an unregistered investment company
(including under the subjective test of Section 3(a)(1)(A) of the Investment Company Act) and thus subject to regulation under the Investment
Company Act, in February 2024, we instructed the trustee to instead to hold the funds in the Trust Account in an interest-bearing demand
deposit account at a bank until the earlier of the consummation of our initial Business Combination or our liquidation. Following such
liquidation, we may receive less interest on the funds held in the Trust Account than the interest we would have received pursuant to
our original Trust Account investments; however, interest previously earned on the funds held in the Trust Account still may be released
to us to pay our taxes, if any, and certain other expenses as permitted. Consequently, the transfer of the funds in the Trust Account
into an interest-bearing demand deposit account at a bank in February 2024 could reduce the dollar amount our public shareholders would
receive upon any redemption