Company: PCAP
Filing Date: 2025-11-10
Form Type: 10-Q
Source: 0001213900-25-108209
Chunk: 122

Company: ProCap Acquisition Corp
Filing Date: 2025-11-10
Form: 10-Q
Item: Part I, Item 3
Chunk 122
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 may be approved
by our shareholders), particularly if the SEC is unable to timely review our filings, or those of a target business or other entity that
relate to our initial business combination, or to declare such filings effective as may be applicable. Additionally, following consummation
of our initial business combination, the combined company’s operations or its ability to raise additional capital to support its
operations could be materially adversely affected by any prolonged government shutdown.

21

Item 2. Unregistered Sales of Equity Securities
and Use of Proceeds.

Unregistered Sales of Equity Securities

On May 22, 2025, the Company consummated the Initial
Public Offering of 25,000,000 Units, which includes the partial exercise by the underwriters of their over-allotment option in the amount
of 3,000,000 Units, at $10.00 per Unit, generating gross proceeds of $250,000,000. The securities sold in the offering were registered
under the Securities Act on registration statement on Form S-1 (Nos. 333-286876 and 333-287454). The SEC declared the registration
statement effective on May 20, 2025.

Simultaneously with the closing of the Initial
Public Offering, the Company consummated the sale of 430,000 Private Placement Units at a price of $10.00 per Private Placement Unit,
in a private placement to the Sponsor, generating gross proceeds to the Company of $4,300,000. The Private Placement Units (and underlying
securities) are identical to the Units sold in the Initial Public Offering, except as otherwise disclosed in our IPO Registration Statement.
No underwriting discounts or commissions were paid with respect to such sale. The issuance of the Private Placement Units was made pursuant
to the exemption from registration contained in Section 4(a)(2) of the Securities Act of 1933, as amended.

Use of Proceeds

Following the closing of our Initial Public Offering
on May 22, 2025, a total of $250,000,000 (which amount includes $11,250,000 of the Deferred Fee) was placed in a U.S.-based Trust Account
maintained by Odyssey Transfer and Trust Company, acting as trustee. The proceeds held in the Trust Account may be invested by the trustee
only in U.S. government securities with a maturity of 185 days or less or in money market funds investing solely in U.S. government treasury
obligations