Company: FSHPU
Filing Date: 2025-03-04
Form Type: 10-K
Source: 0001829126-25-001450
Chunk: 498

Company: Flag Ship Acquisition Corp
Filing Date: 2025-03-04
Form: 10-K
Item: Item 2
Chunk 498
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 a portion of the working
capital held outside the trust account to repay such loaned amounts but no proceeds from our trust account would be used for such repayment.
Up to $1,500,000 of such loans may be convertible into units at a price of $10.00 per unit (which, for example, would result in the holders
being issued 150,000 ordinary shares and 150,000 rights to receive 15,000 shares if $1,500,000 of notes were so converted) at the option
of the lender. The units would be identical to the placement units issued to the initial holder. The terms of such loans by our officers
and directors, if any, have not been determined and no written agreements exist with respect to such loans. We do not expect to seek loans
from parties other than our sponsor or an affiliate of our sponsor as we do not believe third parties will be willing to loan such funds
and provide a waiver against any and all rights to seek access to funds in our trust account.

86

The
founder shares, private placement units and any underlying securities are each subject to transfer restrictions pursuant to lock-up provisions
in the letter agreement with us entered into by our sponsor upon the effective date of our IPO. Those lock-up provisions provide that
such securities are not transferable or salable (i) in the case of (A) 50% of the founder shares, until the earlier of (x) six months
after the date of the consummation of our initial business combination or (z) the date on which the closing price of our ordinary shares
equals or exceeds $12.50 per share (as adjusted for share splits, share surrenders, reorganizations and recapitalizations) for any 20
trading days within any 30-trading day period commencing after our initial business combination and (B) the remaining 50% of the founder
shares may not be transferred, assigned or sold until six months after the date of the consummation of our initial business combination,
or earlier, in either case, if, subsequent to our initial business combination, we consummate a subsequent liquidation, merger, share
exchange or other similar transaction which results in all of our shareholders having the right to exchange their ordinary shares for
cash, securities or other property, and (ii) in the case of the private placement units and the underlying securities, until 30 days
after the completion of our initial business combination, except in each case