Company: LEGT
Filing Date: 2025-02-19
Form Type: 10-K
Source: 0001829126-25-001098
Chunk: 2

Company: Legato Merger Corp. III
Filing Date: 2025-02-19
Form: 10-K
Item: Item 1
Chunk 2
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 served as a member of the Board of Legato I and Legato II.

We believe that potential sellers of target businesses will view the fact that our management team has successfully closed seven business combinations with vehicles similar to our company (and entered into a business combination agreement for an eighth one) as a positive factor in considering whether or not to enter into a business combination with us. However, there is no assurance that we will complete a business combination.

Given its track record of reviewing and completing SPAC transactions in the infrastructure, E&C, industrial and renewables segments, coupled with Mr. Pratt’s management and transaction related experience in these industries, we believe that our management team and board has the skills and experience to identify, evaluate and consummate a business combination in sectors that we have identified. In addition, we believe that our management team is uniquely positioned to assist the business that we may ultimately acquire.

Notwithstanding the foregoing, past performance of our management team is not a guarantee either (i) that we will be able to identify a suitable candidate for our initial business combination or (ii) of success with respect to any business combination we may consummate. You should not rely on the historical performance record of our management team as indicative of our future performance. Additionally, in the course of their respective careers, members of our management team have been involved in businesses and deals that were unsuccessful.

Competitive Strengths

Alternative Path to Becoming Public

We believe our structure will make us an attractive business combination partner to prospective target businesses that desires to become a publicly listed company. A merger with us will offer a target business an alternative process to a public listing rather than the traditional initial public offering process. We believe that target businesses may favor this alternative, which we believe is less expensive and takes less time, while offering greater certainty of execution than the traditional initial public offering. Furthermore, once a proposed business combination is approved by our shareholders and the transaction is consummated, the target business will have effectively become public, whereas an initial public offering is always subject to the underwriters’ ability to complete the offering, as well as general market conditions that could prevent the offering from occurring. Once public, we believe the target business would have greater access to capital and additional means of creating management incentives that are better aligned with shareholders’ interests than it would as a private company. A public company can offer further benefits by augmenting a company’s profile among potential new customers and vendors and aid in attracting talented management. With public company corporate governance standards, a target business may become