Company: FSHPU
Filing Date: 2025-08-05
Form Type: DEF 14A
Source: 0001829126-25-005812
Chunk: 24

Company: Flag Ship Acquisition Corp
Filing Date: 2025-08-05
Form: DEF 14A
Chunk 24
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 unless our shareholders approve the Extension Fee Reduction Proposal.

If the Extension Fee Reduction
Proposal is not approved, the ability of the Company to extend the time frame of the Combination Period will be contingent upon the Sponsor
depositing the currently required amount of funds for each monthly extension ($0.033 per Public Share). If the Extension Fee Reduction
Proposal is not approved and the Sponsor does not agree to implement any additional Monthly Extensions, and we do not consummate a business
combination by September 20, 2025, the Company will (i) cease all operations except for the purpose of winding up, (ii) as promptly as
reasonably possible but not more than ten business days thereafter, and subject to having lawfully available funds therefor, redeem 100%
of the outstanding Public Shares, or distribute the Trust Account to the holders of the Public Shares, on a pro rata basis, at a per share
price, payable in cash, equal to the aggregate amount then on deposit in the Trust Account, including interest earned on the funds held
in the trust account and not previously released to the Company to pay taxes, divided by the number of then outstanding Public Shares,
which redemption will completely extinguish Public Shareholders’ rights as shareholders (including the right to receive further
liquidation distributions, if any), subject to applicable law, and (iii) as promptly as reasonably possible following such redemption,
subject to the approval of our remaining shareholders and the Board, dissolve and liquidate, subject in each case to our obligations under
applicable law to provide for claims of creditors and requirements of other applicable law. There will be no redemption rights or liquidating
distributions with respect to our rights, which will expire worthless in the event the Company winds up.

The Sponsor, officers and directors have waived their rights to liquidating
distributions from the Trust Account with respect to their founder shares and private shares if we fail to complete our initial business
combination prior to the end of the Combination Period. The Company will pay the costs of liquidation from its remaining assets outside
of the Trust Account. If such funds are insufficient, to the extent that there is any interest accrued in the Trust Account not required
to pay taxes, we may request the trustee to release to us an additional amount of up to $60,000 of such accrued interest to pay those
costs and expenses.

If the Extension Fee Reduction Proposal is Approved

If the Extension Fee
Reduction Proposal is approved, the Company’s Sponsor would be incentivized to fund