Company: FLDDW
Filing Date: 2025-01-22
Form Type: S-4/A
Source: 0001213900-25-005202
Chunk: 200

Company: Fold Holdings, Inc.
Filing Date: 2025-01-22
Form: S-4/A
Chunk 200
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 issued and outstanding shares of Emerald Class A Common Stock. The Existing Charter provides that a Public Stockholder, individually or together with any affiliate of such stockholder or any other person with whom such stockholder is acting in concert or as a “group” (as defined under Section 13 of the Exchange Act), will be restricted from seeking redemption rights with respect to an aggregate of more than 20% of the shares of Emerald Class A Common Stock sold in the IPO without Emerald’s prior written consent. The inability of a stockholder to redeem an aggregate of more than 20% of the shares of Emerald Class A Common Stock sold in the IPO will reduce its influence over Emerald’s ability to consummate its initial business combination and such stockholder could suffer a material loss on its investment in Emerald if it sells such Excess Shares in open market transactions. If third parties bring claims against Emerald, the proceeds held in the Trust Account could be reduced and the per-share redemption amount received by stockholders may be less than $10.10 per share. Emerald’s placing of funds in the Trust Account may not protect those funds from third -partyclaims against Emerald. Although Emerald has sought to have all vendors, service providers, prospective target businesses and other entities with which it does business (except its independent registered accounting firm) execute agreements with Emerald waiving any right, title, interest or claim of any kind in or to any monies held in the Trust Account for the benefit of the Public Stockholders, such parties may not execute such agreements, or even if they execute such agreements they may not be prevented from bringing claims against the Trust Account, including, but not limited to, fraudulent inducement, breach of fiduciary responsibility or other similar claims, as well as claims challenging the enforceability of the waiver, in each case in order to gain advantage with respect to a claim against Emerald’s assets, including the funds held in the Trust Account. If any third party refuses to execute an agreement waiving such claims to the monies held in the Trust Account, Emerald’s management will perform an analysis of the alternatives available to it and will only enter into an agreement with a third party that has not executed a waiver if management believes that such third party’s engagement would be significantly more beneficial to Emerald than any alternative. If we do not obtain a waiver from a third party, we will obtain the written consent of our Sponsor before entering into an agreement with such third party. Examples of possible instances where Emerald may engage a third party that refuses to execute a waiver include