Company: TGE
Filing Date: 2025-05-06
Form Type: F-4/A
Source: 0001213900-25-040058
Chunk: 107

Company: Generation Essentials Group
Filing Date: 2025-05-06
Form: F-4/A
Chunk 107
---
 redemption may instead be treated as a distribution for U.S. federal income tax purposes depending on the amount of ordinary shares that a U.S. Holder owns or is deemed to own (including through the ownership of warrants) at the relevant time. As discussed in more detail below, Black Spade II anticipates that it will be treated as a passive foreign investment company (“PFIC”) with respect to its current taxable year. In that case, the U.S. federal income tax treatment of any income or gain recognized by a U.S. Holder that exercises its redemption rights will depend on the application of the PFIC rules discussed below and whether the U.S. Holder has made a QEF Election (as defined below) or mark -to -marketelection with respect to its BSII Class A Ordinary Shares. For a more complete discussion of the U.S. federal income tax considerations of an exercise of redemption rights by a U.S. Holder, see the sections titled “ Tax Considerations — U.S. Federal Income Tax Considerations — Effects to U.S. Holders of Exercising Redemption Rights” and “ Tax Considerations — U.S. Federal Income Tax Considerations — PFIC Considerations.” All holders considering exercising redemption rights should consult their tax advisors regarding the tax consequences to them of an exercise of redemption rights, including the applicability and effect of U.S. federal, state, local and non -U.S. tax laws. U.S. Federal Income Tax Consequences of the Merger Black Spade II and TGE intend to treat the merger as a taxable exchange of BSII Class A Ordinary Shares and BSII Warrants (collectively, the “BSII Securities”) for TGE Class A Ordinary Shares and TGE warrants (collectively, the “TGE Securities”), unless Black Spade II receives an opinion of counsel of recognized standing to the effect that it is more likely than not that the merger qualifies as a “reorganization” within the meaning of Section 368(a) of the Code (a “Reorganization,” and such opinion, a “Reorganization Tax Opinion”). As discussed in more detail below, there are significant factual and legal uncertainties as to whether the merger might qualify as a Reorganization, and there can be no assurance that it will so qualify. If the merger is a taxable exchange for U.S. federal income tax purposes, U.S. Holders (as defined in the section titled “ Tax Considerations — U.S. Federal Income Tax Considerations” below) will be required to recognize gain or loss