Company: NKLR
Filing Date: 2025-11-10
Form Type: S-1
Source: 0001213900-25-108246
Chunk: 127

Company: Terra Innovatum Global N.V.
Filing Date: 2025-11-10
Form: S-1
Chunk 127
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 by Sponsor which                           
 represents 5,495,000 issued and outstanding GSR III Class B Ordinary Shares held by Sponsor at the Closing, including 549,500               
 Vesting Sponsor Shares, subject to the vesting conditions pursuant to the Business Combination Agreement as the Sponsor will retain voting  
 power with respect to the Vesting Sponsor Shares, (ii) 384,428 and 38,072 GSR III Class A Ordinary Shares held by Sponsor                   
 and related parties of Sponsor, respectively, (iii) 255,000 issued and outstanding GSR III Class B Ordinary Shares held                     
 by related parties of Sponsor, (iv) 54,918 and 5,439 Private Placement Rights held by Sponsor and related parties of Sponsor, respectively, 
 which converted on a one-for-one-basis into GSR III Class A Ordinary Shares immediately prior to the Closing.                               |

| (4) | Consists of (i) 223,000 PubCo Ordinary Shares issued                                                                               
 to PAC as a success fee upon the Closing of the Business Combination and (ii) 851,483 PubCo Ordinary Shares issued from conversion 
 of the Bridge Loans upon the Closing of the Business Combination.                                                                  |

| (5) | Consists of 3,683,500 PubCo Ordinary Shares issued upon Closing 
 as a result of the PIPE Financing.                              |

| 2. | Accounting Treatment for the Transaction |

In connection with the Terra Pre-Closing Restructuring,
each issued and outstanding quota of New TopCo converted into PubCo Ordinary Shares at the Common Conversion Ratio. Subsequent to the
Terra Pre-Closing Restructuring, GSR III merged into Terra MergerCo with GSR III surviving and becoming a wholly owned subsidiary
of PubCo. As a result of the merger, GSR III’s issued and outstanding shares converted into PubCo Ordinary Shares on a one-for-one
basis. PubCo’s acquisition of GSR III was accounted for as a recapitalization by/via an asset acquisition in accordance with
ASC 805-50, as GSR III does not meet the ASC 805 definition of a business.

The consideration transferred to the GSR III
shareholders to effect the asset acquisition consists of PubCo Ordinary Shares and contingently issuable PubCo Ordinary Shares. As GSR III
is comprised primarily of monetary assets (Cash and Investments held in Trust Account), the fair value of the aforementioned consideration
transferred is deemed equivalent to GSR III’s net assets. As the consideration transferred is deemed