Company: FGMCU
Filing Date: 2025-01-21
Form Type: S-1/A
Source: 0001104659-25-004764
Chunk: 124

Company: FG Merger II Corp.
Filing Date: 2025-01-21
Form: S-1/A
Chunk 124
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 $4.00 per share, the market value of our
listed securities would be required to be at least $75 million (or we would need to satisfy
certain stockholders’ equity or total assets and total revenue requirements) and we
would be required to have a minimum of 400 round lot holders of our securities (with at least
50% of such round lot holders holding securities with a market value of at least $2,500).
We cannot assure you that we will be able to meet those initial listing requirements at that
time.

If NASDAQ delists our securities from trading on its exchange and
we are not able to list our securities on another national securities exchange, we expect our securities could be quoted on an over-the-counter
market. If this were to occur, we could face significant material adverse consequences, including:

| · | a limited availability of market quotations for our 
 securities;                                         |

| · | reduced liquidity for our securities; |

| · | a determination that our common stock is a “penny                                                                      
 stock” which will require brokers trading in our common stock to adhere to more stringent rules and possibly result in 
 a reduced level of trading activity in the secondary trading market for our securities;                                |

| · | a limited amount of news and analyst coverage; and |

| · | a decreased ability to issue additional securities 
 or obtain additional financing in the future.      |

The National Securities Markets Improvement Act of 1996, which is
a federal statute, prevents or preempts the states from regulating the sale of certain securities, which are referred to as “covered
securities.” Because we expect that our units and eventually our common stock and rights will be listed on NASDAQ, our units, common
stock and rights will qualify as covered securities under the statute. Although the states are preempted from regulating the sale of
our securities, the federal statute does allow the states to investigate companies if there is a suspicion of fraud, and, if there is
a finding of fraudulent activity, then the states can regulate or bar the sale of covered securities in a particular case. While we are
not aware of a state having used these powers to prohibit or restrict the sale of securities issued by blank check companies, other than
the State of Idaho, certain state securities regulators view blank check companies unfavorably and might use these powers, or threaten
to use these powers, to hinder the sale of securities of blank check companies in their states. Further, if we were no longer listed