Company: CUB
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001213900-25-109274
Chunk: 77

Company: Lionheart Holdings
Filing Date: 2025-11-12
Form: 10-Q
Item: Part I, Item 8
Chunk 77
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 connection with a Business Combination, the Sponsor or an affiliate of the Sponsor or certain of the Company’s officers
and directors may, but are not obligated to, loan the Company Working Capital Loans as may be required. If the Company completes a Business
Combination, the Company would repay the Working Capital Loans. In the event that a Business Combination does not close, the Company may
use a portion of the working capital held outside the Trust Account to repay the Working Capital Loans, but no proceeds from the Trust
Account would be used to repay the Working Capital Loans. Up to $1,500,000 of such Working Capital Loans may be convertible into warrants
of the post Business Combination entity at a price of $1.00 per warrant at the option of the lender. These warrants would be identical
to the Private Placement Warrants. As of September 30, 2025 and December 31, 2024, no such Working Capital Loans were outstanding.

12

NOTE 6. COMMITMENTS AND CONTINGENCIES

Risks and Uncertainties

The
Company’s ability to complete an initial Business Combination may be adversely affected by various factors, many of which are beyond
the Company’s control. The Company’s ability to consummate an initial Business Combination could be impacted by, among other
things, changes in laws or regulations, downturns in the financial markets or in economic conditions, inflation, fluctuations in interest
rates, increases in tariffs, supply chain disruptions, declines in consumer confidence and spending, public health considerations, and
geopolitical instability, such as the military conflicts in Ukraine and the Middle East. The Company cannot at this time predict the likelihood
of one or more of the above events, their duration or magnitude or the extent to which they may negatively impact the Company’s
ability to complete an initial Business Combination.

Registration Rights Agreement

The holders of the (i) Founder
Shares, (ii) Private Placement Warrants and (iii)  warrants that may be issued upon conversion of Working Capital Loans (and
in each case holders of their underlying securities, as applicable) have registration rights to require the Company to register a sale
of any of the Company’s securities held by them and any other securities of the Company acquired by them prior to the consummation
of the initial Business Combination pursuant to a registration rights agreement, dated June 17, 2024, by and between the Company and certain
security holders. The holders of these securities are entitled to make up to three demands