Company: AEAQ
Filing Date: 2025-11-10
Form Type: S-1
Source: 0001213900-25-107760
Chunk: 194

Company: Activate Energy Acquisition Corp.
Filing Date: 2025-11-10
Form: S-1
Chunk 194
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 part of the private units to be purchased by our sponsor and BTIG simultaneously with the closing of this offering as well as conversion of any working capital loans into units, if elected by the sponsor or by another person or entity who made such working capital loans. The exercise of the warrants would cause the actual dilution to the public shareholders to be higher, particularly where a cashless exercise is utilized. See the sections titled “ Risk Factors — Risks Relating to our Securities — The nominal purchase price paid by our sponsor for the founder shares may result in significant dilution to the implied value of your public shares upon the consummation of our initial business combination, and our sponsor is likely to make a substantial profit on its investment in us in the event we consummate an initial business combination, even if the business combination causes the trading price of our ordinary shares to materially decline” and “ Dilution.” The founder shares will automatically convert into Class A ordinary shares concurrently with or immediately following the consummation of our initial business combination, or at any time prior thereto at the option of the holder thereof, on a one -for-onebasis, subject to adjustment as provided herein. In the case that additional Class A ordinary shares, or equity -linkedsecurities, are issued or deemed issued in excess of the amounts sold in this offering and related to the closing of our initial business combination, the ratio at which Class B ordinary shares shall convert into Class A ordinary shares will be adjusted (unless the holders of a majority of the outstanding Class B ordinary shares agree to waive such anti -dilutionadjustment with respect to any such issuance or deemed issuance) so that the number of Class A ordinary shares issuable upon conversion of all Class B ordinary shares will equal, in the aggregate, on an as -convertedbasis, approximately 25% of sum of (i) the total number of all Class A ordinary shares outstanding upon the completion of this offering (including any Class A ordinary shares issued pursuant to the underwriters’ over -allotmentoption and excluding the Class A ordinary shares that are included within the private units), plus (ii) all Class A ordinary shares and equity -linkedsecurities issued or deemed issued, in connection with the closing of the initial business combination (excluding any shares or equity -linkedsecurities issued, or to be issued, to any seller in the initial business combination and any units issued to our sponsor or any of its affiliates or to our officers or directors upon conversion of working capital loans) minus (iii) any redem