Company: EMCRF
Filing Date: 2025-12-10
Form Type: 10-Q
Source: 0001493152-25-027065
Chunk: 32

Company: Embrace Change Acquisition Corp.
Filing Date: 2025-12-10
Form: 10-Q
Item: Part I, Item 1
Chunk 32
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 it in connection with a Business Combination. No fractional shares will be issued
upon exchange of the rights. No additional consideration will be required to be paid by a holder of rights in order to receive its additional
shares upon consummation of a Business Combination as the consideration related thereto has been included in the unit purchase price
paid for by investors in the IPO. If the Company enters into a definitive agreement for a Business Combination in which the Company will
not be the surviving entity, the definitive agreement will provide for the holders of rights to receive the same per share consideration
the holders of the ordinary share will receive in the transaction on an as- converted into ordinary share basis and each holder of a
right will be required to affirmatively convert its rights in order to receive 1/8 share underlying each right (without paying additional
consideration). The shares issuable upon exchange of the rights will be freely tradable (except to the extent held by affiliates of the
Company).

Additionally,
in no event will the Company be required to net cash settle the rights. If the Company is unable to complete a Business Combination within
the Combination Period and the Company liquidates the funds held in the Trust Account, holders of rights will not receive any of such
funds with respect to their rights, nor will they receive any distribution from the Company’s assets held outside of the Trust
Account with respect to such rights. Accordingly, the rights may expire worthless.

NOTE
10. SUBSEQUENT EVENTS

Subsequent
to September 30, 2025, the Company received an aggregated amount of $275,000
from Tianji and its subsidiaries for working capital and extension deposits purposes. These amounts are unsecured, non-interest bearing and due on demand. Up to the date the unaudited
interim consolidated financial statements were issued, the Company received $1,950,000
in total, from Tianji and its subsidiaries, for working capital and extension deposits purposes.

On December
4, 2025, the Company paid approximately $26 million to holders of 2,097,743 ordinary shares for the redemption requests they submitted
on August 11, 2025.

On October
16, 2025, the Company entered into Amendment No. 1 to the Merger Agreement. See Note 1.

18

Item
2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

References
to the “Company,” “Embrace Change,” “our,” “us” or “we