Company: DTSQ
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001417
Chunk: 26

Company: DT Cloud Star Acquisition Corp
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1
Chunk 26
---
 initial business combination. In addition, our amended and restated memorandum and articles of association will require us to provide
our public shareholders with the opportunity to redeem their public shares for cash if we propose an amendment to our amended and restated
memorandum and articles of association (a) that would modify the substance or timing of our obligation to provide holders of our public
shares the right to have their shares redeemed or repurchased in connection with our initial business combination or to redeem 100% of
our public shares if we do not complete our initial business combination within 15 months from the closing of our initial public offering
or (b) with respect to any other provision relating to the rights of holders of our public shares.

20

The
requirement that we complete an initial business combination within a specific period of time may give potential target businesses leverage
over us in negotiating our initial business combination and may limit the amount of time we have to conduct due diligence on potential
business combination targets as we approach our dissolution deadline, which could undermine our ability to consummate our initial business
combination on terms that would produce value for our shareholders.

We
have 15 months from the consummation of our initial public offering to complete an initial business combination. Any potential target
business with which we enter into negotiations concerning a business combination will be aware of this requirement. Consequently, such
target business may obtain leverage over us in negotiating a business combination, knowing that if we do not complete a business combination
with that particular target business, we may be unable to complete a business combination with any other target business. This risk will
increase as we get closer to the time limits referenced above. In addition, we may have limited time to conduct due diligence and may
enter into our initial business combination on terms that we would have rejected upon a more comprehensive investigation.

Our
ability to consummate an attractive business combination may be impacted by the market for initial public offerings.

If
the market for initial public offerings is limited, we believe there will be more attractive target businesses open to consummating an
initial business combination with us as a means to achieve publicly held status. Alternatively, if the market for initial public offerings
is robust, we believe that there will be fewer attractive target businesses amenable to consummating an initial business combination
with us to become a public reporting company. Accordingly, during periods with strong public offering markets, it may be more difficult
for us to complete an initial business combination.

As
the number of special purpose acquisition