Company: DTSQ
Filing Date: 2025-05-14
Form Type: 10-Q
Source: 0001641172-25-010262
Chunk: 70

Company: DT Cloud Star Acquisition Corp
Filing Date: 2025-05-14
Form: 10-Q
Item: Part I, Item 2
Chunk 70
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 entire activity since inception through March 31, 2025
related to our formation, the preparation for the initial public offering, and since the closing of the initial public offering, the
search for a prospective initial business combination. We do not expect to generate any operating revenues until the closing and completion
of our initial business combination, at the earliest. We will generate non-operating income in the form of interest income from the amount
held in the trust account. We expect that we will incur increased expenses as a result of being a public company (for legal, financial
reporting, accounting and auditing compliance), as well as for due diligence expenses in connection with search for, and completing,
a business combination.

For
the three months ended March 31, 2025, we had net income of $630,284, which consisted of operating costs of $110,859, offset by interest
and dividends earned on marketable securities held in the operating account and Trust Account of $741,143. For the three months ended
March 31, 2024, we had a net loss of $10,623, which consisted of operating cost of $10,623.

Contractual
Obligations

Registration
Rights

Pursuant
to a registration rights agreement entered into on July 24, 2024, the holders of the insider shares, private placement units (including
securities contained therein), and units (including securities contained therein) that may be issued on conversion of working capital
loans are entitled to certain customary registration rights for the resale of such securities. The holders of these securities are entitled
to make requests for no more than two demand registrations, excluding short form demands, that we register such securities. In addition,
the holders have certain “piggy-back” registration rights with respect to registration statements filed subsequent to our
completion of initial business combination and rights to require us to register for resale such securities pursuant to Rule 415 under
the Securities Act. We will bear the expenses incurred in connection with the filing of any such registration statements.

Underwriting
Agreement

The
underwriters are entitled to a cash underwriting commission of 2.5% of the gross proceeds of the initial public offering upon the closing
of the initial business combination, including (1) $0.15 per unit, or $1,035,000 in the aggregate, payable to the underwriters in cash
upon the consummation of the initial public offering, and (2) $0