Company: GIGGU
Filing Date: 2025-03-06
Form Type: 10-K
Source: 0000950170-25-034611
Chunk: 123

Company: GigCapital7 Corp.
Filing Date: 2025-03-06
Form: 10-K
Item: Item 1A
Chunk 123
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 to our initial business combination, Nasdaq may consider us to be a “controlled company” within the meaning of Nasdaq’s rules and, as a result, we may qualify for exemptions from certain corporate governance requirements that would otherwise provide protection to shareholders of other companies. 

After completion of the Offering, only holders of our founder shares and private placement shares will have the right to vote on the appointment of directors. As a result, Nasdaq may consider us to be a “controlled company” within the meaning of Nasdaq’s corporate governance standards. Under Nasdaq corporate governance standards, a company of which more than 50% of the voting power for the election of directors is held by an individual, a group or another company is a “controlled company” and may elect not to comply with certain corporate governance requirements, including the requirements that: 

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    we have a board that includes a majority of “independent directors,” as defined under Nasdaq rules; 

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    we have a compensation committee of our board that is comprised entirely of independent directors with a written charter addressing the committee’s purpose and responsibilities; and 

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    we have independent director oversight of our director nominations. 

We do not intend to utilize these exemptions and intend to comply with the corporate governance requirements of Nasdaq, subject to applicable phase-in rules. However, if we determine in the future to utilize some or all of these exemptions, you will not have the same protections afforded to shareholders of companies that are subject to all of Nasdaq’s corporate governance requirements. 

Because our Sponsor paid an aggregate of $100,000, or $0.00979696 per founder share, our consultant paid an aggregate of $3,000, or $0.01 per founder share, and certain non-managing investors purchased 2,826,087 private placement shares, or $1.15 per share, you will experience immediate and substantial dilution from the purchase of our public shares. 

The difference between the public offering price per share (allocating the entire unit purchase price to the public shares and none to the warrants included in the public units) and the pro forma net tangible book value per public share after the Offering constitutes the dilution to you and the other investors in the Offering. Our Sponsor and consultant acquired the founder shares at a nominal price and non-managing investors purchased private placement shares at $1.15 per share, contributing to this dilution. Upon closing of the Offering, you and the other 

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public shareholders