Company: DTSQ
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001417
Chunk: 183

Company: DT Cloud Star Acquisition Corp
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1A
Chunk 183
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 To liquidate your
investment, therefore, you may be forced to sell your public shares, potentially at a loss.

Our
public shareholders shall be entitled to receive funds from the trust account only in the event of a redemption to public shareholders
prior to any winding up in the event we do not consummate our initial business combination or our liquidation, if they redeem their shares
in connection with an initial business combination that we consummate or if we seek to amend our memorandum and articles of association
to affect the substance or timing of our redemption obligation to redeem all public shares if we cannot complete an initial business
combination within 15 months of the closing of our initial public offering. In no other circumstances will a shareholder have any right
or interest of any kind to the funds in the trust account. Holders of rights will not have any right to the proceeds held in the trust
account with respect to the rights. Accordingly, to liquidate your investment, you may be forced to sell your public shares, potentially
at a loss.

30

We
may be limited to the funds held outside of the trust account to fund our search for target businesses, to pay our tax obligations and
expenses, to operate before our initial business combination, and to complete our initial business combination.

Following
the closing of our initial public offering, $2,069,000 of the net proceeds was released to us and will fund our future working capital
needs. The funds available to us outside of the trust account may not be sufficient to allow us to structure, negotiate or close our
initial business combination, pay our expenses, or to operate for at least the next 15 months, assuming that our initial business combination
is not consummated during that time. Of the funds available to us, we could use a portion of the funds available to us to pay fees to
consultants to assist us with our search for a target business. We could also use a portion of the funds as a down payment or to fund
a “no-shop” provision (a provision in letters of intent designed to keep target businesses from “shopping” around
for transactions with other companies on terms more favorable to such target businesses) with respect to a particular proposed business
combination, although we do not have any current intention to do so. If we are unable to fund such down payments or “no shop”
provisions, our ability to close a contemplated transaction could be impaired. Furthermore, if we entered into a letter of intent where
we paid for the right