Company: ATMCW
Filing Date: 2025-11-17
Form Type: DEFM14A
Source: 0001493152-25-023842
Chunk: 2

Company: ALPHATIME ACQUISITION CORP
Filing Date: 2025-11-17
Form: DEFM14A
Chunk 2
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 issuance, prior to the Closing Date under the symbols “HCYC and HCYCW.”

Pursuant to the Merger Agreement, (i) at the effective time of the First SPAC Merger, each ordinary share of AlphaTime (“ ATMC Ordinary Share”) issued and outstanding immediately prior to the effective time of the First SPAC Merger shall automatically be cancelled and cease to exist in exchange for the right to receive, without interest, one PubCo Ordinary Share, (ii) at the effective time of the Acquisition Merger, each ordinary share of HCYC (“ HCYC Ordinary Share”) shall automatically be cancelled and cease to exist in exchange for the right to receive, without interest, such number of PubCo Ordinary Shares that is equal to the Exchange Ratio (as defined below).

The multiple merger structure was chosen by the parties to the Merger Agreement for business, legal and accounting reasons. In particular, given PubCo’s eligibility as a foreign private issuer, its reporting obligations under U.S. securities laws will be less burdensome compared to domestic registrants and PubCo will be able to prepare and file its financial statements in accordance with the International Financial Reporting Standards. Such benefit will not be available immediately upon Closing (defined below) if the Business Combination were to be conducted through a reverse triangular merger in which HCYC would be acquired directly by AlphaTime, which would continue to report as a domestic registrant upon Closing until further assessment of factors such as its shareholder base and location of assets at a future date pursuant to U.S. securities laws. Operationally, following the Business Combination conducted via the proposed structure, PubCo will be a holding company that will operate HCYC’s current business through its subsidiaries, which is consistent with the expectations of HCYC and AlphaTime’s management in relation to post-Business Combination corporate and operational structure.

In addition, the Initial Mergers are structured as two separate mergers primarily for U.S. tax reasons. The exchange of ATMC Securities (as defined in the section entitled “ Material U.S. Federal Income Tax Considerations”) for PubCo Securities (as defined in the section entitled “ Material U.S. Federal Income Tax Considerations”) pursuant to the Business Combination is intended to qualify as a tax-free transaction for U.S. federal income tax purposes. See the section entitled “ The Business Combination Proposal - Background of the Business Combination - Material Tax Considerations - Material U.S. Federal Income Tax Considerations - Consequences of the Business Combination - Qualification of the Initial Mergers