Company: LEGT
Filing Date: 2025-11-12
Form Type: 425
Source: 0001829126-25-008967
Chunk: 1

Company: Legato Merger Corp. III
Filing Date: 2025-11-12
Form: 425
Chunk 1
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 exercisable for ordinary shares at an exercise price of $11.50 per share |     | LEGT WS           |     | NYSE American                             |

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☒

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

| Item 1.01. | Entry Into a Material Definitive Agreement. |

On November 12, 2025, Legato Merger Corp. III, a Cayman Islands exempted company (“ Legato”), Einride AB, a limited liability company formed under the laws of Sweden (“ Einride”), and Einride Cayman Sub Limited, a Cayman Islands exempted company and a direct, wholly-owned subsidiary of Einride (“ Merger Sub”), entered into a Business Combination Agreement (“ BCA”). Pursuant to the BCA, Legato will merge with and into Merger Sub, with Merger Sub surviving the merger (“ Merger”). As a result of the Merger, Merger Sub will continue as a direct, wholly-owned subsidiary of Einride, with the shareholders of Legato becoming shareholders of Einride.

The Merger and the other transactions contemplated by the BCA (the “ Transactions”) are expected to be consummated in the first quarter of 2026, following receipt of the required approval by Legato’s and Einride’s shareholders and the fulfilment of certain other conditions set forth in the BCA (the “ Closing”) and described herein.

The following summary of the BCA is qualified in its entirety by reference to the text of the BCA, which is attached as an exhibit hereto and is incorporated herein by reference.

BCA

Closing Consideration

Pursuant to the BCA, (i) immediately prior to the effective time of the Merger (“ Effective Time”), Einride will effectuate a stock split (“ Stock Split”), such that there will be 165,137,615 outstanding common shares, no par value (“ Einride Common Shares”), immediately after the Stock Split (including the net number Einride Common Shares underlying