Company: FTII
Filing Date: 2025-02-14
Form Type: S-4
Source: 0001493152-25-006997
Chunk: 90

Company: FutureTech II Acquisition Corp.
Filing Date: 2025-02-14
Form: S-4
Chunk 90
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Tech and FutureTech’s board of directors may be exposed to claims of punitive damages.

If, after FutureTech distributes the proceeds in the Trust Account to our public stockholders, FutureTech files an insolvency or bankruptcy petition or an involuntary insolvency or bankruptcy petition is filed against FutureTech that is not dismissed, any distributions received by stockholders could be viewed under applicable debtor/ creditor and/or insolvency laws as a voidable preference. As a result, a liquidator could seek to recover some or all amounts received by FutureTech’s stockholders. In addition, the FutureTech Board may be viewed as having breached its fiduciary duty to our creditors and/or having acted in bad faith, thereby exposing it and FutureTech to claims of punitive damages, by paying public stockholders from the Trust Account prior to addressing the claims of creditors. FutureTech cannot assure you that claims will not be brought against FutureTech for these reasons.

If, before distributing the proceeds in the Trust Account to our public stockholders, FutureTech files an insolvency or bankruptcy petition or an involuntary insolvency or bankruptcy petition is filed against FutureTech that is not dismissed, the claims of creditors in such proceeding may have priority over the claims of our stockholders and the per share amount that would otherwise be received by FutureTech’s stockholders in connection with our liquidation may be reduced.

If, before distributing the proceeds in the Trust Account to FutureTech’s public stockholders, FutureTech files a winding-up or bankruptcy petition or an involuntary winding-up or bankruptcy petition is filed against FutureTech that is not dismissed, the proceeds held in the Trust Account could be subject to applicable insolvency law, and may be included in FutureTech’s liquidation estate and subject to the claims of third parties with priority over the claims of FutureTech’s stockholders. To the extent any liquidation claims deplete the Trust Account, the per share amount that would otherwise be received by FutureTech’s stockholders in connection with FutureTech’s liquidation may be reduced.

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FutureTech’s stockholders may be held liable for claims by third parties against FutureTech to the extent of distributions received by them upon redemption of their public shares.

If FutureTech is forced to enter into an insolvent liquidation, any distributions received by stockholders could be viewed as an unlawful payment if it was proved that immediately following the date on which the distribution was made, FutureTech was unable to pay its debts as they fall due in the ordinary course of business. As a result, a liquidator could seek to