Company: FLDDW
Filing Date: 2025-01-24
Form Type: 424B3
Source: 0001213900-25-006075
Chunk: 189

Company: Fold Holdings, Inc.
Filing Date: 2025-01-24
Form: 424B3
Chunk 189
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 to redeem 100% of the Public Shares if Emerald does not complete an initial business combination by the Extension Deadline or (B) with respect to any other material provisions of the Existing Charter relating to stockholders’ rights or pre -initialbusiness combination activity and (iii) the redemption of the Public Shares if Emerald is unable to complete an initial business combination by the Extension Deadline, subject to applicable law and as further described herein. In no other circumstances will a Public Stockholder have any right or interest of any kind in the Trust Account. Holders of Public Warrants will not have any right to the proceeds held in the Trust Account with respect to the Public Warrants. Accordingly, to liquidate their investment, Public Stockholders may be forced to sell their Public Shares or Public Warrants, potentially at a loss. Emerald may not have sufficient funds to satisfy indemnification claims of its directors and executive officers. Emerald has agreed to indemnify its officers and directors to the fullest extent permitted by law. However, Emerald’s officers and directors have agreed to waive any right, title, interest or claim of any kind in or to any monies in the Trust Account. Accordingly, any indemnification provided will be able to be satisfied by Emerald only if (i) Emerald has sufficient funds outside of the Trust Account or (ii) Emerald consummates an initial business combination. Emerald’s obligation to indemnify its officers and directors may discourage stockholders from bringing a lawsuit against its officers or directors for breach of their fiduciary duty. These provisions also may have the effect of reducing the likelihood of derivative litigation against Emerald’s officers and directors, even though such an action, if successful, might otherwise benefit Emerald and its stockholders. Furthermore, a stockholder’s investment may be adversely affected to the extent Emerald pays the costs of settlement and damage awards against its officers and directors pursuant to these indemnification provisions. If, after Emerald distributes the proceeds in the Trust Account to the Public Stockholders, it files a bankruptcy petition or an involuntary bankruptcy petition is filed against Emerald that is not dismissed, a bankruptcy court may seek to recover such proceeds, and Emerald and the Emerald Board may be exposed to claims of punitive damages. If, after Emerald distributes the proceeds in the Trust Account to its stockholders, it files a bankruptcy petition or an involuntary bankruptcy petition is filed against Emerald that is not dismissed, any distributions received by Emerald’s stockholders could be viewed under applicable debtor/creditor and/or bankruptcy laws as either a “preferential transfer” or a “fraudulent conveyance.”