Company: NKLR
Filing Date: 2025-12-16
Form Type: 424B3
Source: 0001213900-25-121900
Chunk: 247

Company: Terra Innovatum Global N.V.
Filing Date: 2025-12-16
Form: 424B3
Chunk 247
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, unless repayment
is requested by the quotaholders.

The Company utilizes office space provided by
a related party at no charge. There is no formal lease agreement, and no amounts have been recognized for rent expense in the accompanying
financial statements. Management has determined that the fair value of the contributed office space is not material to the financial
statements.

Note 5. Commitment and Contingencies

On December 18, 2024, the Company entered
into an engagement letter with Park Avenue Capital Group Corp. (“PAC”) to provide financial advisory services in connection
with a potential business combination with a special purpose acquisition company (“SPAC”). Under the agreement, PAC is engaged
to assist with negotiation, structuring, and execution of the business combination, preparation of marketing materials, and securing
potential backstop financing.

Pursuant to the agreement, the Company has committed
to a retainer fee of $50,000, payable upon execution of the engagement letter, and a LOI signature fee of $25,000, payable upon signing
a mutually exclusive letter of intent with a SPAC. Upon the public announcement of the business combination, the Company will be
required to pay an announcement milestone fee of $225,000. Additionally, upon the closing of the business combination, PAC will be entitled
to a cash success fee of $2,500,000, along with 623,000 shares of the SPAC/combined entity’s common stock, subject to vesting conditions
tied to shareholder milestones, and one million warrants with a strike price of $7 per share, exercisable within 60 months from
the business combination closing date.

The agreement includes an expense reimbursement
provision, under which the Company is responsible for reasonable, pre-approved out-of-pocket expenses incurred by PAC, capped at $50,000
unless otherwise agreed.

Additionally, the Company has agreed to indemnify
PAC for certain liabilities arising from its engagement.

As of December 31, 2024, the Company has
incurred $46,800 in advisory fees, related to the Retainer Fee and LOI Signature Fee. Future obligations under this agreement remain
contingent upon the execution and closing of the business combination.

Note 6. Prepaid expenses and other current assets

Prepaid expenses and other current assets consisted
of the following:

|                          |     |   | December 31, 
         2024 |     |   | December 31, 
         2023 |