Company: TACOW
Filing Date: 2025-04-18
Form Type: S-1/A
Source: 0001829126-25-002771
Chunk: 82

Company: Berto Acquisition Corp.
Filing Date: 2025-04-18
Form: S-1/A
Chunk 82
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, which could dilute the interests of our existing shareholders and add costs.

In connection with our initial
business combination, the post-business combination company may issue shares to investors in private placement transactions (so-called
PIPE transactions) in order to complete an initial business combination and provide sufficient liquidity and capital to the post-business
combination entity. The price of the shares so issued in connection with an initial business combination may be less, and potentially
significantly less, than $10.00 per share or the market price for our shares at such time. Any such issuances of equity securities at
a price that is less than $10.00 or the prevailing market price of our shares at that time could be structured to ensure a return on
investment to the investors and could dilute the interests of our existing shareholders in a manner that would not ordinarily occur in
a traditional initial public offering and could result in both a reduction in the trading price of our shares to the price at which the
post-business combination company issues such equity securities and fluctuations in the net tangible book value per share of the combined
company’s securities following the completion of our initial business combination. The post-business combination company may also
provide price protection or other incentives, or issue convertible securities such as preferred equity or convertible debt, and the exercise
or conversion price of those securities may be fixed or adjustable, and may be less, and potentially significantly less, than $10.00
per share or the market price for our shares at such time. Such issuances could also result in additional transaction costs related to
our initial business combination compared to a traditional initial public offering, including the placement fees associated with the
engagement of a placement agent in connection with PIPE transactions.

We may only be able to complete one business combination with the proceeds of this offering and the sale of the private placement warrants, which will cause us to be solely dependent on a single business which may have a limited number of products or services. This lack of diversification may negatively impact our operations and profitability.

The net proceeds from
this offering and the private placement of warrants will provide us with $250,000,000 (or $287,500,000 if the underwriters’ over-allotment
option is exercised in full) that we may use to complete our initial business combination (after taking into account the $1,350,000 of
underwriting commissions payable at the closing of this offering, an estimated $720,000 of other offering expenses, and excluding approximately
$1,430