Company: HVIIR
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001741
Chunk: 118

Company: Hennessy Capital Investment Corp. VII
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1A
Chunk 118
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 direct U. S. government obligations.
While short-term U. S. government treasury bills currently yield a positive rate of interest, they have briefly yielded negative interest
rates in recent years. Central banks in Europe and Japan pursued interest rates below zero in recent years, and the Open Market Committee
of the Federal Reserve has not ruled out the possibility that it may in the future adopt similar policies in the United States. In the
event that HVII is unable to complete its initial business combination or make certain amendments to its amended and restated memorandum
and articles of association, public shareholders are entitled to receive their pro-rata share of the proceeds held in the trust account,
plus any interest income not released to HVII, net of taxes payable. Negative interest rates could impact the per share redemption amount
that may be received by public shareholders.

HVII’s
share rights and private placement units may have an adverse effect on the market price of HVII’s Class A ordinary shares and make
it more difficult to effectuate its initial business combination.

HVII
issued share rights that convert into 1,583,333 shares of Class A ordinary shares as part of the units offered in HVII’s initial
public offering and, simultaneously with the closing of its initial public offering, HVII issued an aggregate of 690,000 private placement
units at a price of $10.00 per unit in a private placement to HVII’s sponsor and underwriters. In addition, if HVII’s sponsor
makes any working capital loans, up to $2,500,000 of such loans may be convertible, at the option of the lender, into private placement
units at a price of $10.00 per unit of the post business combination entity. To the extent HVII issues Class A ordinary shares to effectuate
a business combination, the potential for the issuance of a substantial number of additional shares of Class A ordinary shares upon exercise
of these share rights and private placement rights could make HVII a less attractive acquisition vehicle to a target business. Such share
rights would increase the number of issued and outstanding Class A ordinary shares and reduce the value of the Class A ordinary shares
issued to complete the business combination. Therefore, HVII’s share rights and private placement rights may make it more difficult
to effectuate a business combination or increase the cost of acquiring the target business.

General
Risk Factors

HVII
is subject to changing law and regulations regarding regulatory matters, corporate governance and public disclosure that have increased
both its costs and