Company: HVIIR
Filing Date: 2025-12-23
Form Type: S-4
Source: 0001493152-25-029121
Chunk: 243

Company: Hennessy Capital Investment Corp. VII
Filing Date: 2025-12-23
Form: S-4
Chunk 243
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 profits amount” (as defined in Treasury Regulations Section 1.367(b)-2(d)) with respect to its HVII shares. If HVII’s cumulative earnings and profits through the date of the Domestication are not greater than zero, then a U.S. Holder should not be required to include in gross income an “all earnings and profits amount” with respect to its HVII shares. However, if HVII’s earnings and profits are greater than zero through the date of the Domestication, depending upon the period in which a U.S. Holder held its HVII shares, such U.S. Holder could be required to include its earnings and profits amount in income as a deemed dividend under Treasury Regulations Section 1.367(b)-3(b)(3) as a result of the Domestication. The determination of HVII’s earnings and profits is complex and may be impacted by numerous factors.

U.S. Holders Who Own Less Than 10% of HVII

Subject to the discussion below under the section entitled “ — 4. PFIC Considerations”, a U.S. Holder who, on the date of the Domestication, is not a 10% U.S. Shareholder and whose HVII Class A Ordinary Shares have a fair market value of $50,000 or more on the date of the Domestication will recognize gain (but not loss) with respect to its HVII Class A Ordinary Shares in the Domestication or, in the alternative, may elect to recognize the “all earnings and profits” amount attributable to such U.S. Holder’s HVII Class A Ordinary Shares as described below.

Subject to the discussion below under the section entitled “— 4. PFIC Considerations”, unless a U.S. Holder makes the “all earnings and profits election” as described below, such U.S. Holder generally must recognize gain (but not loss) with respect to shares of New ONE Nuclear Common Stock received in the Domestication in an amount equal to the excess of the fair market value of such shares of New ONE Nuclear Common Stock over the U.S. Holder’s adjusted tax basis in the HVII Class A Ordinary Shares deemed surrendered in exchange therefor. U.S. Holders who hold different blocks of HVII Class A Ordinary Shares (generally, HVII Class A Ordinary Shares purchased or acquired on different dates or at different prices) should consult their tax advisors to determine how the above rules apply to them.

In lieu of recognizing any gain as described in the preceding paragraph, a U.S. Holder may elect to