Company: CDAQF
Filing Date: 2025-03-25
Form Type: DEF 14A
Source: 0001641172-25-000430
Chunk: 7

Company: Compass Digital Acquisition Corp.
Filing Date: 2025-03-25
Form: DEF 14A
Chunk 7
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 its right to withdraw up to $100,000 of interest accrued on the Trust Account to pay dissolution expenses, as permitted by the Amended and Restated Charter, should the Company ultimately liquidate before consummating a Business Combination. Instead, the Company agreed that it will withdraw only up to $50,000 of interest for such dissolution expenses upon liquidation, and any remaining interest accrued will be held in the Trust Account and will, subject to applicable law, be released to Public Shareholders upon the redemption of 100% of the Public Shares if the Company is unable to complete a Business Combination within the Combination Period.

If the Third Extension Amendment Proposal is approved, the Board will have the right, without any further action by the Company’s shareholders, to decide to liquidate the Company at any time prior to April 20, 2026.

If the Redemption Limitation Amendment Proposal is approved, even if redemptions of the Public Shares in the Third Extension Redemptions would cause the Company to exceed the Redemption Limitation, the Board will be able to proceed with the Third Extension and the Third Extension Redemptions.

The Adjournment Proposal, if adopted, will allow the Board to adjourn the Meeting to a later date or dates, or indefinitely, to permit further solicitation of proxies.

If the Third Extension Amendment Proposal is not approved, or the Company is otherwise unable to complete the Third Extension, and the Business Combination is not completed within the Combination Period, as contemplated by and in accordance with the Amended and Restated Charter, the Company will (i) cease all operations except for the purpose of winding up, (ii) as promptly as reasonably possible, but not more than ten business days thereafter, redeem the Public Shares, at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the Trust Account, including interest earned on the funds held in the Trust Account and not previously released to the Company (less taxes payable, if any, and up to $50,000 of interest to pay dissolution expenses), divided by the number of then Public Shares in issue, which redemption will completely extinguish Public Shareholders’ rights as shareholders (including the right to receive further liquidation distributions, if any) and (iii) as promptly as reasonably possible following such redemption, subject to the approval of the Company’s remaining shareholders and the Board, liquidate and dissolve, subject in the case of clauses (ii) and (iii) to the Company’s obligations under Cayman Islands law to provide for claims