Company: KOYNU
Filing Date: 2025-07-31
Form Type: S-1/A
Source: 0001829126-25-005627
Chunk: 109

Company: CSLM Digital Asset Acquisition Corp III, Ltd
Filing Date: 2025-07-31
Form: S-1/A
Chunk 109
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 100% of our public shares if we do not complete our initial business combination
within the completion window; or (B) with respect to any other provision relating to the rights of holders of our Class A ordinary shares
or pre-initial business combination activity; or (iii) absent an initial business combination within the completion window, from the
closing of this offering, our return of the funds held in the trust account to our public shareholders as part of our redemption of the
public shares.

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We are aware of litigation claiming
that certain SPACs should be considered to be investment companies. Although we believe that these claims were without merit, we cannot
guarantee that we will not be deemed to be an investment company and thus subject to the Investment Company Act. If we were deemed to
be subject to the Investment Company Act, compliance with these additional regulatory burdens would require additional expenses for which
we have not allotted funds and may hinder our ability to complete an initial business combination or may result in our winding down our
operations and our liquidation. If we are unable to complete our initial business combination, our public shareholders may receive only
approximately $10.00 per share on the liquidation of our trust account and our warrants will expire worthless, and our public shareholders
would also lose the possibility of an investment opportunity in a target company as well as any potential price appreciation in the combined
company following a business combination.

To mitigate the risk that we might be deemed to be an investment company for purposes of the Investment Company Act, we may, at any time, instruct the trustee to liquidate the securities held in the trust account and instead to hold the funds in the trust account in cash until the earlier of the consummation of our initial business combination or our liquidation. As a result, following the liquidation of securities in the trust account, the interest earned on the funds held in the trust account may be materially reduced, which would reduce the dollar amount our public shareholders would receive upon any redemption or liquidation of the Company.

We intend to initially hold
the funds in the trust account as cash, including in demand deposit accounts at a bank, or in U.S. government treasury obligations with
a maturity of 185 days or less or in money market funds investing solely in U.S. government treasury obligations and meeting certain
conditions under Rule 2a-7 under the Investment Company Act. U.S. government treasury obligations are considered “securities”
for purposes of the Investment